MBIA faces legal battle May 13, 2009 Barclays and HSBC are among 18 or more of the world’s largest financial institutions that yesterday started legal action against MBIA, the bond insurer, claiming its recent split into a good and bad business wrongfully cut their odds of getting paid out on policies. The banks filed their complaint in a New York State Supreme [...]
Barratt rules out rights issue May 13, 2009 Housebuilder Barratt Developments quelled talk of an imminent cash call yesterday, saying debt was in line with its plans. The group also said it expected to be able to meet loan covenants, helped by an “acceptable” start to 2009. Barratt, the UK’s fifth largest housebuilder by market value is saddled with £1.42bn debt as of [...]
Suitors eye up Kleinwort May 13, 2009 COMMERZBANK subsidiary Kleinwort Benson, one of the City’s most historic names, has whipped up interest from more than 20 trade buyers as well as up to ten private equity firms interested in backing a management buy-out. Goldman Sachs has been putting together a sales memorandum with executives at Kleinwort Benson, which is likely to go out [...]
Suitors eye up Kleinwort May 13, 2009 Robert Taylor chief executive of Kleinwort Benson is in the midst of conversations with potential suitors
Fine hits Morgan Stanley May 13, 2009 The Financial Services Authority (FSA) has fined Morgan Stanley £1.4m and banned one of its traders over mis-marking which forced the bank to make a $120m (£79.2m) negative adjustment in June last year. Matthew Piper, a former proprietary trader with the firm, was banned from performing any regulated activity and fined £105,000 for deliberately mis-marking [...]
Rising profits on the menu for Compass May 13, 2009 Richard Cousins joined Compass in 2006, after former boss Mike Bailey issued three profit warnings in a year
WHAT THE OTHER PAPERS SAY THIS MORNING May 13, 2009 FINANCIAL TIMESCCB SHARE DEAL VOLUME SURGES AFTER BANK OF AMERICA SELL-DOWNThe volume of share dealing in China Construction Bank soared yesterday, fuelling speculation that some buyers of Bank of America’s $7.3bn (£4.8bn) sell down had flipped their holdings to pocket huge gains. The troubled US bank on Tuesday sold 13.5bn shares in the mainland lender [...]
VT Group battens down the hatches despite high profits May 13, 2009 Support Services firm VT Group said yesterday it was looking to contract, despite reporting a better-than-expected 41 per cent surge in underlying profit, and upping its dividend by 10 per cent. VT is expecting to do well as cost-conscious firms look to save money by outsourcing, but wants to slim down to prepare for a [...]
Banks’ borrowing costs drop May 13, 2009 The cost of borrowing between banks fell the most in almost two months yesterday in a sign that confidence is returning to markets. The London interbank offered rate (Libor) that banks charge each other for three-month loans dropped to pre-March levels indicating banks are now more willing to lend cash. Three-month dollar Libor rates fell [...]
Retail sales dip in US May 13, 2009 US retail sales fell 0.4 per cent in April, dashing hopes that consumer spending was starting to revive and would help end the recession. Economists said families who are worried about layoffs and unpaid job furloughs are saving more and spending less, delaying the start of a sustained recovery. Retail sales had posted gains in [...]
