Tesco’s week from hell: £250m black hole, 16 per cent fall in share price since Friday September 26, 2014 Was this the week Tesco hit rock bottom? Having discovered a huge black hole in its finances, shares have fallen from Friday's closing price of 229.6p, to a low of 191.23p in early morning trading today. That's a fall of almost 17 per cent. Here's a handy, cut-out-and-keep guide to Tesco's week from hell Monday [...]
Tesco share price continues slump as Financial Reporting Council says it’s “closely monitoring” the situation September 24, 2014 The UK’s accounting regulator is keeping an eye on Tesco’s investigation into accounting errors which has caused more than £2bn to be wiped off its shares in the past two days. The Financial Reporting Council (FRC) said this morning it is "monitoring the situation closely" after Tesco’s announcement on Monday that it overstated profit estimates [...]
Investors should pause before gambling on the Alibaba flotation frenzy September 18, 2014 THE IPO of China’s largest e-commerce platform Alibaba has drawn frenzied interest from investors worldwide, with the company expected to raise at least $21bn on the New York Stock Exchange. But the listing has also prompted serious questions about the firm’s governance structure. Alibaba is, of course, a very successful business and investors have been [...]
Directors fear Financial Reporting Council future risks behaviour code: “Companies do not have crystal balls” September 16, 2014 Executives risk being punished under new guidelines for simply failing to have perfect knowledge of the future, the Institute of Directors (IoD) warned this morning. The Financial Reporting Council (FRC) wants bosses to give investors a fuller account of possible risks facing their company over the years ahead. The aim is to promote long-term thinking. “This [...]
Investors come first in the new corporate governance code September 3, 2014 THE latest version of the UK Corporate Governance Code will be launched by the Financial Reporting Council (FRC) this month. Setting the standards for good governance, companies with a premium listing must report on their compliance with the Code, but many others adhere to it to demonstrate to investors their commitment to best practice. The [...]
Scottish independence: Official campaigns barred from high schools August 22, 2014 With less than a month to go before voters north of the border decide whether to ditch the United Kingdom, 27 of Scotland's 32 local councils have barred the two sides from senior schools. Although the official campaigns may find themselves stuck outside the school gates, pupils are, of course, free talk about the merits [...]
London house prices to finally cool down as homeowners rush to sell properties August 11, 2014 The frothy London housing market is likely to come off the boil in the months ahead, with owners rushing to sell their properties following the recent surge in prices and buyers increasingly reticent to match the escalating valuations. The number of people looking to sell homes in the capital has climbed by nearly a third, [...]
Why regulators should be cautious about new banker bonus proposals July 30, 2014 IT CANNOT be ignored that trust in banking is still lingering at all-time lows and, according to a recent YouGov survey, 78 per cent of the public think there is an unhealthy bonus culture at the banks. Certainly, as the likes of Financial Reporting Council chairman Sir Win Bischoff have argued, more needs to be [...]
Supermarkets say Tesco tax would raise the price of food July 28, 2014 A senior executive at Sainsbury’s slammed proposals to levy another new tax on supermarkets yesterday, saying that the plans would lead to higher food prices. Derby City Council has proposed that local councils be permitted to introduce a “local levy” to supplement existing business rates, adding up to 8.5 per cent, to be kept by [...]
Doubts looming over Eurozone stimulus option July 17, 2014 QUANTITATIVE easing (QE) would have a less dramatic effect in the Eurozone than in the UK, according to research out yesterday, as a senior European official signalled that the policy may not be pursued at all. A report by credit ratings agency Moody’s argued that with sovereign bond yields already very low in the euro [...]