NatEx warns on profits as bidder circles October 22, 2009 National Express warned yesterday that profits would miss forecasts, leading some in the City to speculate that suitor Stagecoach may lower its offer price. Analysts took a knife to their forecasts after the troubled bus and rail operator admitted annual profits before tax would be “slightly below” its previous expectations. It blamed rising debt interest [...]
TORIES TO PRIVATISE THE POSTAL SERVICE October 22, 2009 SHADOW business secretary Ken Clarke yesterday said that a Tory government would privatise the Royal Mail if it wins the next election, as the Communication Workers Union (CWU) announced a second three-day walk out next week. Clarke said that only private capital and management could give Royal Mail a new lease of life and end [...]
FSA to banks: boost capital October 22, 2009 BANKS considered “too big to fail” should be forced to hold additional capital and possibly more low risk assets, under new rules proposed by Britain’s financial watchdog. In a discussion paper, the FSA also outlined plans to make banks write living wills to plan an orderly wind-down in case of trouble. The British Bankers’ Association [...]
Living wills are the best idea for banks October 22, 2009 Here are a few of the facts that show why the City is worth defending. Financial services alone account for seven per cent of UK GDP, with half of this made up of banking. In 2008, which of course was a much better year for the industry than this year, the financial sector’s net exports [...]
WHAT THE OTHER PAPERS SAY THIS MORNING October 22, 2009 FINANCIAL TIMES GARTMORE ON BRINK OF £500M IPOGartmore, the fund management group equally owned by management and private equity group Hellman & Friedman, aims to register flotation plans with the UK’s Financial Services Authority as early as next week. The group has appointed Morgan Stanley and Citigroup to advise it on completing an initial public [...]
Kindle boosts Amazon profits October 22, 2009 Online retailer Amazon yesterday said pre-tax profits surged by 62 per cent between July and September to $199m (£119m) on the same period last year. The group said sales had been boosted by sales of its Kindle e-reader. Overall sales climbed 28 per cent to $5.45bn.
AmEx earnings dive October 22, 2009 American Express yesterday reported its eighth straight quarter of falling profits as consumers spent and borrowed less. The group said profits fell 21 per cent to $640m (£385m). Chief executive Kenneth Chenault said the economy had moved out of its “freefall” and there were signs “the recession may be approaching an end”.
UK diners flock to McDonalds October 22, 2009 Fast-food giant McDonalds yesterday served up a six per cent rise in pre-tax profits to $1.26bn (£760.7m). Like-for-like sales in Britain jumped 12 per cent as cash-strapped diners took advantage of penny-saving meal deals. Sales rose 5.1 per cent globally. Chief executive Jim Skinner said he believed sales would remain positive in the UK.
Fed to police pay policies at 28 firms October 22, 2009 The Federal Reserve yesterday outlined plans to police 28 US banks’ pay policies to ensure that they do not encourage reckless decisions. The attack on Wall Street compensation is expected to apply to any employee able to take risks that could imperil an institution, not just those top staff whose large bonuses have been the [...]
BP mulls bid for Kosmos field stake October 22, 2009 BP is mulling a bid for Kosmos Energy’s stake in an oil field off the Ghanaian coast, a move that would put it in direct competition with rival Exxon Mobil, analysts said yesterday. Exxon has already entered an exclusivity agreement to buy Kosmos’ 23.49 per cent stake in the Jubilee field for at least $4bn [...]
