Darling: Budget cuts could send Britain into a Japan-style slump June 22, 2010 SHADOW chancellor Alistair Darling yesterday warned massive spending cuts could push Britain into a long-term Japanese-style slump. He claimed massive spending cuts and a sharp hike in VAT – both announced by George Osborne in his inaugural Budget yesterday – would depress demand and send the economy into a period of stagnation. “You have a situation [...]
BP shares fall to 13-year low June 22, 2010 BP’S SHARES continued their fall yesterday hitting a 13-year low as the embattled oil major admitted that the “financial consequences of the spill will be severe”. The group’s share price plummeted to 328.50p at its lowest point yesterday but regained some ground near the end of the day to close at 334.20p. The fall marks [...]
Diamond: Lehman creditors gained from Barclays bid June 22, 2010 Barclays president Bob Diamond said yesterday Lehman creditors fared better under his bank’s purchase of Lehman Brothers core US brokerage business than they would have if the assets had been sold on the open market. The testimony came on the second day of a trial over whether the British bank received an unfair $11bn windfall [...]
Aegon to slash UK overheads and sell US reinsurance arm June 22, 2010 SHARES in Aegon fell yesterday as investors took profits on news the Dutch company would shave a quarter from overheads in its UK arm and sell its US life reinsurance business. The insurance group told shareholders in London it wanted to save £80m annually from its British operations by cutting costs by 25 per cent [...]
Japanese PM strikes tough tone on debt June 22, 2010 JAPAN’S government pledged to consider doubling the country’s five per cent sales tax within three years yesterday in a bid to soothe concerns over its billowing national debt. Trying to address the fears of credit rating agencies, Prime Minister Naoto Kan said reform of Japan’s parlous fiscal affairs would be his top priority. In a [...]
EC investigates state bailout of WestLB June 22, 2010 EUROPEAN Union regulators extended their temporary approval of the state bailout of German lender WestLB yesterday while they investigate whether the rescue complies with EU rules. The European Commission, which had approved conditional state aid for WestLB, said data provided by the bank was more complex than expected and it needed extra time to assess [...]
NEWS | IN BRIEF June 22, 2010 Petrobras expects tighter rules Petrobras, the world leader in deepwater oil exploration, said yesterday that Brazilian regulators could tighten offshore drilling standards in its home country following BP’s oil spill in the Gulf of Mexico. BP’s Gulf of Mexico spill, which specialists call the worst such oil industry disaster in US history, would probably force [...]
JPMorgan set to find Dimon heir internally June 22, 2010 JPMorgan Chase yesterday reshuffled three top executives, including its chief financial officer, as part of an effort to ensure a deep bench of executives who could eventually succeed chief executive Jamie Dimon. The second-largest US bank by assets said it had replaced chief financial officer Michael Cavanagh with Doug Braunstein, the company’s head of investment [...]
Hedgie fined £50k by FSA June 22, 2010 A FORMER hedge fund manager was fined £50,000 for insider trading but escaped jail yesterday after agreeing to help the City’s Financial Services Authority (FSA) with its investigation into an unnamed associate. Anjam Ahmad, who worked for London-based AKO Capital until last September, was sentenced to 10 months in prison, suspended for two years and [...]
TUBE LINES STRIKE TO GO AHEAD June 22, 2010 MAINTENANCE workers on the underground will strike this evening after talks between rail union RMT and Tube Lines fell apart. The strike, which will be staged in two parts, is set to commence at 7pm and will last until Friday evening, with another strike planned between 14 and 16 July. Transport for London (TfL), which [...]
