London Report: Carney to face questions over Bank oversight March 10, 2014 MARK CARNEY faces probably his toughest questioning so far as Bank of England governor tomorrow when lawmakers will seize on a foreign exchange scandal to press their demands for tighter oversight of the central bank. Carney will face the Treasury Select Committee over claims the Bank’s governance system is outdated. Last week the Bank suspended [...]
Tesco slashed the price of milk. Here’s how dairy farmers have responded March 3, 2014 Dairy farmers have accused Tesco of sparking a price war with its supermarket rivals that will cause further damage to an already fragile dairy industry, after the retail giant slashed the price of milk. Britain’s biggest food retailer delivered a fresh broadside in the battle for customers’ loyalty after cutting the price of a four [...]
Fund managers under attack from hyper-activist investor Elliott Management February 26, 2014 US ACTIVIST investor Elliott Management flexed its muscles yesterday by taking large stakes in two of Britain’s most prominent fund management groups. The group took its shareholding in F&C Asset Management to 11 per cent while building its ownership of Alliance Trust to 10 per cent. The move will unnerve both companies given Elliott’s aggressive [...]
Here’s what 3 banks are saying about Tesco’s latest turnaround plan February 26, 2014 Tesco’s shares are down more than four per cent, after the supermarket chain scrapped its profit margin target and laid out plans to invest in lowering its prices, prompting analysts cuts their ratings and price targets. Deutsche Bank cut its earning before interest and tax (EBIT) forecast of a £50m decline in the year to [...]
Calver resigns as Mothercare chief executive February 24, 2014 MOTHERCARE chief executive Simon Calver has stepped down just six weeks after a hefty profits warning that sent shares in the baby products chain tumbling by more than a third. The firm brought in the former head of online movie rental service Lovefilm two years ago to lead its turnaround and overhaul its UK estate. [...]
The week in brief February 23, 2014 Coca-Cola to reinvest $1bn in marketing after fall in sales The soft drinks company – one of many struggling to deal with declining demand – plans to make an extra $1bn (£600m) in productivity savings by 2016, most of which will then be reinvested back into marketing. Earlier this month, it announced a drop in [...]
Ukraine’s crisis sits on a knife edge as protest morphs into revolution February 20, 2014 THERE is almost nothing more difficult for a political risk analyst than assessing the dynamics of a revolution, a situation in which long-held conventional wisdom can be upended in a matter of minutes. For only one question matters in Kiev today: what is the likely end game for Ukraine, and how do we get there? [...]
Morrisons shares leap as banks step up to finance buyout February 19, 2014 SHARES in Morrisons surged almost five per cent yesterday amid rumours that banks are working on a £5bn financing deal to support a private equity buyout of the struggling grocery chain. The Morrison family, which owns a 9.5 per cent stake, has approached several private equity firms including Carlyle Group and CVC Capital with the [...]
London Report: FTSE pauses for breath as sharp rally peters out February 19, 2014 THE UK’S top shares steadied yesterday as analysts bet the strong rally that followed a slump in emerging markets has run out of steam, though Sports Direct gained on robust profits. The FTSE 100 closed up 0.28 points – flat in percentage terms – at 6,796.71 points. It hit 6,810.48, its highest since late January, [...]
Morrisons shares soar on sale reports February 19, 2014 Shares in Morrisons are spiking higher on news that of a potential sale of the supermarket. Reuters reports that bankers are working on a debt financing packages in the order of £5bn. The company is 9.5 per cent owned by its founding family, which is reported to have contacted buyout firms to gauge interest after [...]