ROGUE TRADERS September 16, 2011 JEROME KERVIEL Former Société Générale trader Jerome Kerviel sentenced to three years in prison by a Paris court for his role in a trading scandal and ordered to reimburse the bank €4.9bn. The 33-year-old was found guilty of breach of trust, computer abuse and forgery. ALEXIS STENFORS Former senior trader at Merrill Lynch in London [...]
ANALYSIS l Biggest bank losses outstrip actions of rogue traders September 16, 2011 AIG Amount Lost: $61.7bn AIG posted the biggest quarterly loss in history in January 2009 on asset writedowns, having already taken $150bn in US aid. UBS Amount Lost: $12bn UBS chairman Marcel Ospel stepped down after it posted the subprime-related loss in the first quarter of 2008. CITIGROUP Amount Lost: $10bn Citi stunned markets with [...]
Spotlight on UBS risk rules September 16, 2011 BANKS spend millions of pounds and hundred of hours every year monitoring risk. UBS is no different, saying in its latest annual report that it has made a “significant investment” in risk management systems. So the news that $2bn of rogue trades had gone unnoticed will come as something of a shock – both to [...]
Jardine Matheson pays £166m to up JLT stake September 16, 2011 SHARES in insurance broker Jardine Lloyd Thompson (JLT) jumped more than seven per cent yesterday after one of its biggest shareholders paid £166m to increase its stake. Conglomerate Jardine Matheson will buy an additional ten per cent of JLT, upping its stake to 40.4 per cent of the fast-growing broker. The two companies said the [...]
Kingfisher to boost its UK headcount September 16, 2011 KINGFISHER said yesterday it will create 1,200 new jobs across the UK as its B&Q and Screwfix stores buck the retail gloom. The DIY retailer was boosted by a strong performance in France, where retail profits rose 24 per cent to £201m in the six months to the end of July. In the UK and [...]
ANALYST VIEWS: HOW DO KINGFISHER’S RESULTS MEASURE UP? September 16, 2011 PHILIP DORGAN | PANMURE GORDON “These excellent results and forecast upgrades further differentiate its investment case from the rest of the land-locked, online-vulnerable, cash flow-challenged retail sector. Kingfisher shares have significant upside, driven by cash generation, earnings growth and expansion. We recommend a Buy.” FREDDIE GEORGE | SEYMOUR PIERCE “The stock is undervalued considering these [...]
Dunelm profits and revenues rise September 16, 2011 Homewares retailer Dunelm said it was satisfied with its performance for the year in a tough operating environment for non-food retailers and raised its final dividend by 60 per cent. The group, which runs more than 100 mostly out-of-town stores, reported a nine per cent increase in total revenue, but like-for-like sales fell by less [...]
Johnston board buy up shares September 16, 2011 All the non-executive directors at Johnston Press bought tens of thousands of shares each yesterday at above-market prices. Chairman Ian Russell, who bought more than 248,000 shares at 5p each, and senior independent director Mark Pain who bought 81,000, were among the six directors splashing out on stakes in the troubled media group. Shares in [...]
BNP Paribas September 16, 2011 In our articled dated 15 September, we suggested that BNP Paribas planned to exit investment banking in the UK, Hungary and Switzerland. This was incorrect. The bank is only considering pulling out of its much smaller equipment leasing business in these countries. We also suggested it planned to reduce its investment bank funding needs by [...]
Kesa hit as Comet sales fall yet again September 16, 2011 KESA yesterday reaffirmed that it was pushing ahead with its Comet revamp plan yesterday as sales again tumbled. The electrical goods retailer said it was keeping its options open, including a possible sale of the struggling chain. “The Comet turnaround plan is underway while continuing to examine other strategic alternatives,” the firm said. In June [...]
