UK supermarkets vs German discounters: Morrisons gets tough as Buffett attacks Tesco October 2, 2014 Britain’s embattled supermarkets have finally begun their fight back against German discounters Aldi and Lidl who have been eating their lunch in recent months with double-digit growth in the sector. Morrison, the UK’s fourth biggest supermarket, will launch its first customer loyalty card today, along with a price-matching scheme that its chief executive has labelled [...]
From Building Public Trust to European Diversity, the award for night with most awards held goes to… October 2, 2014 There’ll be some sore heads and award-laden pockets around the City this morning as its firms were treated to a variety of award ceremonies last night. PwC’s Building Public Trust awards took place on Park Lane, where four gongs were handed out recognising excellence in corporate reporting (no more pertinent an award in light of [...]
FTSE slumps to 2014 low after Draghi fails to light up markets – London Report October 2, 2014 BRITAIN’S top equity index yesterday slid to its lowest closing level so far this year on disappointment with the European Central Bank’s latest stimulus measures. The blue-chip FTSE 100 index ended down by 1.7 per cent, or 111.13 points, at 6,446.39 points – its lowest closing level since ending at 6,439.96 points in December 2013, [...]
Sports Direct now owns 11 per cent of Debenhams October 2, 2014 Sports Direct has just upped its exposure to underperforming department store chain Debenhams, buying a further £33m-worth of shares. The move comes months after the Mike Ashley-owned retailer took its original punt on the high street business, which was ultimately converted into a put option valued at £64m. The new investment equates to a 4.6 [...]
Warren Buffett admits he made “a huge mistake” on Tesco as share price tumbles again October 2, 2014 Warren Buffett has admitted making a “huge mistake” by investing in Tesco, as the supermarket's share price continued to fall today. The legendary investor, and second richest man in the world, is currently the third largest shareholder in Tesco, through his venture Berkshire Hathaway, which owns a 4.1 per cent stake. He first [...]
Steve Varley: The boss doing the running for EY October 1, 2014 No celebrations for EY Britain’s boss, Steve Varley, despite a 8.6pc rise in turnover. Steve Varley, head of EY’s British arm, laughs nervously. After three years at the helm, the Yorkshireman has clear, almost PR-perfect soundbite answers to any question about the business. The one that has flummoxed him is how he and [...]
Sainsbury’s new boss Mike Coupe blames “perfect storm” for sales drop October 1, 2014 Sainsbury's new chief executive said that a “perfect storm” of effects had plunged sales further into the red in the second quarter as the supermarket retailer cut its full-year sales forecast and warned that it might review its dividend. In his first official trading update since taking over from Justin King in July, Mike [...]
Sainsbury’s needs to shore up the shop – Bottom Line October 1, 2014 In business, timing is everything, and retail moves faster than most businesses. Justin King, Sainsbury’s ex-kingpin, seems to have grasped this better than most when he sailed off into the sunset earlier this year, just as the storm clouds were gathering over the supermarket. Under King’s helm, Sainsbury’s reported a 2.1 per cent rise in [...]
UK finance watchdog launches probe into Tesco’s profit debacle October 1, 2014 Tesco was put under further pressure yesterday after the Financial Conduct Authority (FCA) said it had launched a full investigation into the Tesco accounting scandal that had knocked £4bn off its market value. Britain’s biggest supermarket stunned the City after revealing last week that it had overstated first-half profits by £250m. The accounting error, which [...]
Supermarkets sweep to the bottom of FTSE – London Report October 1, 2014 BRITAIN’S top equity index fell yesterday to its lowest closing level in nearly six months, as a new slump in the shares of supermarket retailers hit the market. The sentiment was also hit by news that Britain’s manufacturing grew at the slowest rate in 17 months in September as demand weakened at home and in [...]