Big BP shareholder slams Rosneft deal March 28, 2011 ONE OF BP’s biggest shareholders spoke out against its revised plan to swap shares with Rosneft yesterday. David Cummings, head of UK equities at Standard Life Investments said in an interview: “[T]he logic for doing the £5bn share swap with Rosneft has gone in our view. I mean they’ve just had their joint venture blocked, [...]
Northern Rock to axe 680 jobs March 28, 2011 STATE-OWNED bank Northern Rock is to cut up to 680 jobs this year as it streamlines to cut costs before a return to the private sector. Newcastle-based Northern Rock said yesterday cost management was a key focus as it seeks to return to profit. The bank said economic and trading conditions were challenging for lenders [...]
Moody’s wary of JP Morgan loan March 28, 2011 THE proposed acquisition of T-Mobile by AT&T could harm banking giant JPMorgan Chase, credit ratings agency Moody’s warned yesterday. JPMorgan provided AT&T with a $20bn bridge loan to finance the T-Mobile deal, a move Moody’s said was a “credit negative.” Moody’s says the loan threatens JPMorgan’s corporate debt because it reveals the bank’s willingness to [...]
Insurer promises an Equitable payout March 28, 2011 EQUITABLE Life, the British insurer that almost collapsed in 2000, has promised an extra 12.5 per cent payout to customers cashing in their policies. The company, which has faced a 10-year battle with customers demanding the minimum payments it had guaranteed, said it had rebuilt its capital. Policyholders who cash in their policies will from [...]
TfL reveals details of £7.6bn savings March 28, 2011 TRANSPORT For London (TfL) has promised to make £7.6bn of savings between now and 2018 – well above the £5bn target announced in October’s government spending review. The bus and trains operator said most of the sum will come from outsourcing changes, IT cutbacks and an overhaul of the company structure to be led by [...]
Actelion hits back at rebel shareholders March 28, 2011 SWISS biotech company Actelion hit back at its activist shareholder Elliott Advisors yesterday, claiming the fund was trying to force a fast sale. Elliott, which holds a six per cent stake in Actelion, has since February been demanding an overhaul of the board and management to unlock value. Its calls have escalated from querying why [...]
Tax resolution boosts profits of AstraZeneca March 28, 2011 A TAX dispute between the US and UK authorities over pharmaceutical giant AstraZeneca was resolved yesterday, boosting the company’s profit outlook for the year. In London, shares in the company rose as the news broke yesterday, yet slipped back during the day, to close 0.05 per cent down. “It is a windfall and the market [...]
Only 4.2pc of top bankers are women March 28, 2011 ONLY 17 of the top 220 most senior bankers on investment banks’ executive committees or equivalent are women, according to research published yesterday. The study, carried out by Financial News, shows that women make up just eight per cent of banks’ executive, corporate and investment banking committees – fewer than one female member for each [...]
Friends Life launches from Resolution buyouts March 28, 2011 LIFE insurance consolidator Resolution announces its retail face with the launch of Friends Life today. Friends Provident chief executive Trevor Matthews will head the new brand, working on it from his native Australia when he returns there soon, he told City A.M. yesterday. Friends Life brings together five million life customers from Friends Provident, Axa [...]
Barclays Wealth mulls move back to Mayfair March 28, 2011 BARCLAYS Wealth is considering moving its high net worth team back to its Mayfair office after just over a year in Canary Wharf, City A.M. can confirm. Barclays Wealth, which has around 60 bankers in its high net worth division to manage assets for those with more than £5m to invest, could move back into [...]
