64 US banks seized this year July 26, 2009 Seven US banks were seized yesterday, including six owned by the same parent in Georgia, taking the number of failures in US banks to 64 so far this year. The six related banks were part of Security Bank, and had assets of around $2.8bn (£1.6bn), and deposits of $2.4bn. They had high exposure to real-estate [...]
Arab financier in fraud probe is found dead July 26, 2009 THE CHIEF executive of Kuwaiti investment group Al-Raya, in which Citigroup has a 10 per cent stake, has died in an apparent suicide three days after US regulator the SEC launched high-profile fraud charges against him. Hazem Khalid Al-Braikan, 37 years old, was found dead in bed with a gunshot wound to his head and a [...]
Ministers split over timing of VAT increase July 26, 2009 A CABINET rift has opened up over whether VAT should rise to its previous rate at the end of the year. Retail and hospitality executives, who have campaigned for months against the change, were buoyed last week when Harriet Harman said the planned rise from 15 per cent to 17.5 per cent on January 1 [...]
Citi appoints trio in bid to revamp board July 26, 2009 CITIGROUP continued its management reshuffle at the weekend, appointing three new directors as part of efforts to demonstrate its commitment to change to appease US regulators and government. The bank appointed former New York state banking regulator Diana Taylor, Timothy Collins, chief executive of investment firm Ripplewood Holdings and Robert Joss, business professor at Stanford [...]
Fresh wave of job cuts at Shell July 26, 2009 OIL giant Royal Dutch Shell is set to announce a set of job cuts this week, as new chief executive Peter Voser continues his wave of intense restructuring at the company. But reports that the number of job losses would be as high as 600 were yesterday dismissed. Voser is expected to give details of [...]
Economists say sorry to Queen July 26, 2009 ECONOMIC experts have written to the Queen, explaining why they did not predict the credit crunch. The letter, signed by Monetary Policy Committee member Tim Besley, blames the “failure of the collective imagination of many bright people” for not predicting the downturn. Last November the Queen asked why no one foresaw the slump. “We won’t [...]
North-South housing price divide widens July 26, 2009 THE chasm between house prices in the north and south of England widened in the month of July despite nationwide figures remaining broadly static, according to the latest Hometrack housing market survey. Overall house prices remained unchanged for a third consecutive month, Hometrack said. But among the 10 per cent of postcodes which did report [...]
INM is close to brink, warns major investor July 26, 2009 Independent News and Media (INM) could go into the Irish equivalent of Chapter 11 bankruptcy protection, the group’s second largest shareholder said at the weekend. Denis O’Brien, who owns a 26 percent stake, said: “We’ll have to consider it. I am being very clear.” But O’Brien said the costs of examinership would be prohibitive for [...]
Rexam pursues cash call to protect rating July 26, 2009 DRINKS can maker Rexam is considering launching a £350m cash call this week to reassure investors over its massive £2.7bn debt pile. The group said that tough trading conditions would hit its ability to pay down its debt next year. Rexam, whose clients include Coca Cola and Pepsi, is desperately trying to preserve its investment [...]
E&Y earns 3.2m while many Zavvi creditors miss out July 26, 2009 ERNST & Young (E&Y) has made £3.2m in fees after being appointed as joint administrators to Zavvi after the business collapsed last December, whilst unsecured creditors are set to receive only between 5-10p in the pound. Unsecured creditors, which include employees , trade creditors and voucher holders, are set to receive 5-10p for every pound [...]
