Fri 7:22 am
The TimesEU confronts spectre of Greeces Euro exit: World leaders were scrambling for new ways to prop up the Euro even as they prepared for the possible exit of Greece from the single currency. As George Papandreou offered to abandon a threatened referendum on Greeces bailout package amid a bitter Cabinet power struggle, senior European figures conceded for the first time that contingency plans were being put in place in case Athens returned to the drachma.Friends in high places but only for the chosen few: a battalion of Britains most strategically important businesses has been granted unprecedented access to the heart of government. but some executives have expressed shock and surprise at the 38 companies on the list and those excluded.still motoring, but Mini takes its foot off the gas in the third lap: BMW sold more cars in the summer than in any third quarter in its history. but the German giant, which is a major manufacturer in the U.K., admitted that growth was slowing and sharply so at Mini and Rolls-Royce. The company, which also makes engines in the West Midlands, said that third quarter group revenues were up 8%, pegging back sales growth for the first nine months of the year to 20%.Post Office to stop over-the-counter saving: Unions and elderly peoples groups have lashed out at National Savings for halting face-to-face transactions with customers over post office counters. In a move intended to modernise its business, National Savings and Investments announced that it would allow people to open and manage its accounts only by post, telephone or via the internet.Giving people choice in public services could deliver growth: Personalisation and choice have become buzzwords in public services, with users increasingly being offered the option to exercise greater control through direct payments or personal budgets that they can spend or allocate at their will. but commentators are yet to analyse the real impact on public services if this is extended to areas such as healthcare, education, skills training and housing support, as proposed in the Public Open Services White Paper.Sound finance is going up in flames: when a multimillion-pound project to create nine regional fire and rescue centres was scrapped at cost of almost 500 million to the taxpayer, John Prescott blamed civil servants for not keeping him informed about progress. The National Audit Office described the project as a comprehensive failure and the Public Accounts Committee criticised officials for rushing into the project, managing it poorly and not following business procedures.Man Group stems withdrawal flow as it prepares to buy back shares: Man Group fuelled investor hopes that it was starting to put its troubles behind it as it reported a slowdown in fund withdrawals and announced a plan to buy back its own shares. The worlds biggest listed hedge fund manager shocked shareholders in September when it revealed that customers were pulling their investments at the fastest rate since early 2009.Property sell-off could be the dawn of a new age for Chelsea Pensioners: Veterans broken by age and war who live at the Royal Hospital Chelsea could soon be the beneficiaries of the booming prime residential market in London. The hospitals commissioners have decided to sell Gordon House on Tite Street to fund a refurbishment programme.Old Mutual loses ground in the United States: Old Mutuals funds under management fell by 9% to 272.6 billion as investors pulled assets from its American business and market falls in Europe chipped away at their worth. Assets under management at the Anglo-South African insurers U.S. division fell by 13% to 145 billion in the third quarter, although Julian Roberts, the Chief Executive, said that the impact on profits would be negligible.St Pauls camp attracts donations and a friend in the Barclays Boss: Up to 1,000 a day is being donated to the protest camp outside St Pauls Cathedral by hundreds of people, including City workers and tourists. Contributions, collected in pots in the encampments welcome tent and canteen, are in addition to online payments and donations in kind from businesses, which include food, tents, wireless internet and printing.Educational sales boost helps Pearson raise forecasts: Surging demand for educational materials in developing countries prompted Pearson to raise its earnings targets, despite gloomy economic conditions. The media company that owns the Financial Times revealed that nine-month sales in its education business were up 20% outside the United States, with digital and English language learning materials faring particularly well.Energy plans will push people into fuel poverty, engineers say: Alex Salmonds plans to make Scotland self-sufficient in renewable energy by 2020 risks pushing more people into fuel poverty, an influential engineering body has warned. a report by the Institution of Mechanical Engineers also expresses doubts that the SNP governments target can be achieved.Clinically proven to lift sales: The news that beauty sales are up at Boots is not actually that much of a surprise. In September, retail analysts Mintel predicted that the U.K. market alone would reach 1 billion in 2012. its the latest milestone in an astonishing upward trend that has seen sales of womens facial skincare products grow a healthy 26% over the past few turbulent years: up from 738 million in 2006 to 930 million in 2010.John Lewis pulls out of regeneration scheme: a proposed 700 million retail development has been scrapped after the John Lewis Partnership abandoned plans to anchor it. The retailer said that it was no longer in discussions with Lend Lease, the developer, about opening a 230,000 sq ft store in Preston.looking good in bad times boosts Boots: Affluent southerners are slapping on the Boots no 7, helping to lift sales at the high street chemists 2,500 shops. Perfume and haircurlers also did their bit to boost group revenue by 31.3% to 11.74 billion in the first half to 30 September.Small proving beautiful for CWC sales of smartphones: The insatiable public demand for smartphones has started to spread to some of the worlds smallest countries after Cable & Wireless Communications reported a surge in revenue on the back of stronger data usage among its far-flung customer base. The company had already launched Apples iPhone in Macau but expects the entry of the smartphone into the Panamanian market this month to be a better gauge of demand in the poorer markets where it operates.The Independent Boots stores report wider North-South trade divide: Alliance Boots, the retail and wholesale pharmaceuticals giant, revealed a sharp divide between trading at its stores in the South of England, including London, and the rest of the country. The Owner of the Boots chain said revenues had risen by 31.3% to 11.74 billion, powered by its pharmaceutical wholesale divisions two acquisitions in Turkey and Germany last year.Unilever warns about rising commodity prices: Rapid growth in emerging markets helped Unilever post its strongest quarterly revenue growth for three years. but the consumer goods giant warned higher commodity prices means its full year margins will be flat or lower. Unilever, which owns the Lipton tea, Vaseline and Domestos brands, grew underlying sales by 7.8% in its third quarter, with its personal care division the star performer.Apple acts on iPhone bug: Apple is to release a software update to its iOS 5 operating system, acknowledging customer complaints on the performance of the iPhone 4S battery. a small number of customers have reported lower-than-expected battery life on iOS 5 devices, Apple said. we have found a few bugs and we will release a software update to address those in a few weeks.Low growth is more likely, says Bean: The chances of Britains economic growth remaining weak over the next year have risen, the Bank of Englands Deputy Governor, Charlie Bean, warned. He noted that while the recovery appeared broadly intact earlier this year, as time has passed, so it has seemed less secure.Negative news for Kodak over bankruptcy fears: Eastman Kodak is heading deeper into the red and will draw on more of its cash reserves than previously expected; raising the possibility it could plunge into bankruptcy. The 131 year-old U.S. camera and film company is pinning its hopes on the sale of 1,100 technology patents it has filed over the years and has appointed restructuring experts to advise on its options.all Saints sinks to a loss after dire year: Profits were wiped out at the grungy fashion chain all Saints last year, reinforcing why it had to be rescued from the brink of administration in the spring. The private equity firms Lion Capital and Goode Partners acquired all Saints for a nominal fee in May, but they had to repay 105 million of the retailers debt.Financial TimesStudy challenges belief on executive pay: The pay of top executives rises when their company does well and falls when their company does badly, according to academic research, which challenges the suspicion that executive pay rises inexorably regardless of corporate performance. The research by two academics at the London School of Economics, which is based on a database of pay at 400 companies that represent 90% of the U.K.s stock market capitalisation, suggests there is a strong link between top pay and performance.Turkish and Saudi contracts boost Invensys: Two new emerging market contracts lifted Invensys, the U.K.-based engineering company, in spite of the announcement of weaker than expected half year results on Thursday. Invensys, whose products help control the smooth running of railways, nuclear power stations and washing machines, confirmed its rail division had won a 195 million ($269 million) contract in Turkey.Consumers to reclaim personal information: Consumers will soon be able to reclaim their personal information from Banks, telecoms providers, utilities and other companies, to help them learn about their consumption habits and switch for better deals. Under the Midata scheme put forward by the government, dozens of businesses are expected to make customer data available in a standardised, reusable digital format by early next year.Poor Economics takes business book prize: Poor Economics, which champions radical new ways of tackling global poverty, is the 2011 Financial Times and Goldman Sachs Business Book of the Year. With much of the developed world racked by crisis and shaken by protest about capitalisms deficiencies, the judges said co-authors Abhijit Banerjee and Esther Duflo offered a hopeful guide to the way forward.Ambrian to sell struggling brokerage to RFC: Ambrian Capital has agreed to sell its struggling brokerage division, Ambrian Partners, to Australian corporate advisory firm RFC Group for an undisclosed sum. RFC said that the purchase would give it a foothold in the London markets while Ambrian expressed relief at finding a buyer for the division in a tough environment.Asset Managers suffer as investors flee: a month ago, Man Group gave some indication of just how bad the third quarter would be for Asset Managers. Market turmoil in September had precipitated a hefty bout of redemptions at the firm from panicked investors. It was a trend that was to be repeated across the sector.Blistering nuclear experience for GDFs Mestrallet: With all the spin about Steven Spielbergs latest chart-topping film, Grard Mestrallet is probably wondering if he is not fast becoming the hapless protagonist of a new Belgian Tintin comic strip adventure. The last thing mr Mestrallet expected this week was for Belgiums government to accelerate the phase-out of its nuclear plants, which are all operated by his vast Franco-Belgian power utility.RSA sees strong full year despite flood claims: RSA has stuck to its profitability guidance for the full year in spite of claims from the severe rain and flooding in Copenhagen, Dublin and Bangkok since the summer which the U.K.-based general insurer estimates will cost it about 60 million. The ongoing flooding in the Thai capital has been the worst seen since the 1940s, according to new RSA Chief Executive, Simon Lee, and has led to forecasts of industry-wide losses of $5 billion.Tate & Lyle lifts profits on broad sales growth: Tate & Lyle trounced market expectations by unveiling a 19% surge in adjusted operating profit to 194 million at the halfway stage, triggering a 5% rally in the share price and a flurry of earnings upgrades by brokers. The ingredients company benefited from a bigger-than-expected 19 million ($30.5 million) gain from byproducts, much of which is sold as animal feed. however, the increases were broad-based, with speciality food ingredients sales up 12% in constant currency terms year on year in the first half.PwC faces legal challenge from Cattles: Cattles, the subprime lender that was almost forced into bankruptcy by accounting irregularities, is preparing to claim damages from PwC by alleging failings in the way that it audited Cattles accounts. In preliminary legal jousting in Londons High Court, Cattles has been granted the right to see audit documents held by PwC, the U.K.s biggest accountant by sales, as a prelude to potentially making a formal legal claim against the firm.Providers lack enthusiasm for Jisas: Less than half of the U.K.s savings providers have so far committed to offering a Junior individual savings account (Jisa) in spite of having six months to make a decision and design a product. Chancellor George Osborne announced the setting up of tax-free accounts for under 18s in his Budget in March this year but, as the first of them became available this week, only a handful of high street Banks have started accepting deposits into cash Jisas.Lex:ECB/Eurozone: rates and reverberations: Sometimes politics is an amusing sideshow as forces unleashed by monetary policy dominate the stage. The steep fall in U.S. policy rates during the first half of the 1990s was such a period. At other times the tinkering by central Banks seems embarrassingly irrelevant compared with monumental political tussles. With news that Greece might scrap its referendum breaking literally as the new European Central Bank President was hosting his first press conference on Thursday, a surprise cut in interest rates has never been less surprise-worthy. this is hardly Mario Draghis fault. Reducing the Eurozones main refinancing rate by 25 basis points was a sensible move given stalling growth in the region. What was so bold about it? nor is it just that politics behind the scenes is more important right now. Experience in the U.S. currently as well as in Japan over the past decade shows that easing rates at these low levels does little to spur aggregate demand anyway. Indeed, the ECB worries that already tepid annual growth of 2.2% in loans to non-financial companies and households in September could be affected by recent market tensions.Kellogg: cereal performers profit crunch: Sell the sizzle, not the steak, goes the old slogan. Kellogg has had some success pushing Rice Krispies with snap, crackle and pop, but for investors, the appeal of the stock has been its lack of excitement. Cereals and snacks sell in good times and bad. Kellogg has turned in mid to high single-digit sales growth in eight of the past 10 years. even in the bad years of 2008 and 2009, sales hardly fell. In addition, the company sends most of its profits back to investors in the form of dividends and share buy-backs. but third quarter results from Kellogg may have led investors to choke on their Pop-Tarts. The company lowered its operating profit growth expectations for 2011 by 2% (to between negative 2 to 4%) and projected that 2012 earnings per share growth would be between positive 2 to 4%, well below the companys long-term targets. The shares fell 7% early on Thursday.Unilever: steady as she goes: Pierce Brosnan thinks Lipton tea is irresistible, according to the brands Bond-like advertising campaign. The actor could say the same of a lot of other brands owned by Unilever, whose customers seem happy to pay more and buy more, too. Unilevers investors were less so however; even this investor darling suffered after warning that its operating margins could slip as it soaks up commodity price rises. The share price reaction a 2% fall, later largely reversed as markets rebounded looked overdone. some disappointment is understandable given watchers had factored in a slight improvement in margins this year. Instead they should come in flat to slightly down. but given that underlying sales have risen nearly 7% year-on-year over three quarters, absolute operating profits will still rise. moreover, the higher sales are the result of both volume growth (up 2.1% year to date) and price increases (up 4.3%). this time last year, volumes grew 6% but prices dropped 2.1%.Lombard: Absolutist King needs challenge from a City panel: Eyebrows can be scary, as those of Denis Healey and Frida Kahlo proved. Beware also the circumflex forehead fur of macroPrudential absolutist Sir Mervyn King. His vision of a Bank of England that intervenes unflinchingly to stem risks within Banks harks back to days when the Governor had only to raise an eyebrow to suppress racy lending. Sir Mervyn has told MPs that the Banks supervisory swat team, the Prudential Regulatory Authority, should have powers to order Banks to cut gearing or raise transparency without reference to detailed rules. that contrasts with current policing by the Financial Services Authority, due for abolition in 2013, whose clipboard bearers enforce a 3,000 page rule book. The approach has merit, given that the FSA has been better at box-ticking than far-sighted risk control. Free-wheeling regulators might do better. but there are quibbles. The historic record of Governors quizzically deflecting busts is patchy. Sir Mervyns competence as an eyebrow raiser is questionable, meanwhile. He failed to forestall the U.K. portion of the credit crunch as part of the discredited tripartite system of markets regulation. but a polarisation of blame after the event quoted Banks copped the bulk has allowed the central banker to centralise regulatory power on Threadneedle Street.Tate modern: Revenues from byproducts of ingredient processing that Tate & Lyle sells for animal foodstuffs rose more than one-third in the six months to end-September, writes Alison Smith, providing an extra 19 million of income. that unexpectedly high figure for the former doyen of the sugar sector helped produce pretax profit ahead of analysts expectations. The shares rose about 5% to close at 680p. The byproducts bonus made lower-margin bulk ingredients the main force behind earnings growth, overshadowing the speciality food ingredients division that is the strategic focus of Javed Ahmed and his team. while this focus has yet to produce stellar profit increases at the smaller, higher-margin division, mr Ahmed has a sound plan and some past successes to provide encouragement that it will come good. Tate is all the better for having sold last year the EU sugar business that was both a hallmark and a millstone. Similarly welcome is the rapid reduction in net debt, which stood at just 410 million at the half year.Perishable pixie dust: One prominent investor of our acquaintance is worried by profits at a part-owned Chinese leisure business. They are too high, he says. their acceleration does not suggest that Chinese growth is moderating as predicted. so he anticipates an economic crash. that prospect should also concern investors in the U.K.-listed companies who have sprinkled magic Chinese pixie dust on their shares as an antidote to European economic woes. The epicentre, catastrophists agree, would be residential property. an estimated 60 million -70 million of Chinese dwellings, about 10% of the total, are speculatively built apartments. Many are not even fitted out. One can almost hear the chill wind whistling through these concrete shells. big U.K. businesses with Chinese operations include Burberry, Michael Page, Kingfisher and Tesco. On Thursday Unilever trumpeted a rambunctious third quarter performance in China while Alliance Boots which is unlisted reiterated plans to acquire a stake in a regional pharmaceuticals distributor. Expanding into China has long-term logic. but it is a weak reason for confidence in these businesses shorter term.The Daily TelegraphBank of England should be left alone to police Banks, says Governor Sir Mervyn King: The Bank of England must be free to police Banks as it sees fit, and not be restricted by a specific set of rules, the central Banks Governor has told MPs. Sir Mervyn King said the rules-based regulatory framework in place before the financial crisis had allowed Banks to take excessive risks and left regulators unable to prevent them borrowing too much.BTs 37% jump in profits OK, says Chief Ian Livingston: a surge in customers opting for superfast broadband helped to grow BT Groups pretax profits by 37% to 1.07 billion in the first half – but its Chief Executive, Ian Livingston, said the performance was just OK. Between its consumer-facing division, BT Retail, and BT Wholesale, which wholesales to other internet service providers, the group added more than 500,000 new broadband customers during the six-month period. By contrast, Virgin added 1,000.U.K. services sector growth slower than expected: Growth in Britains dominant services sector slowed more than expected in October, reinforcing fears that the U.K. economy could contract in the fourth quarter. The Markit/CIPS services PMI fell to 51.3 from 52.9 in September, where anything above 50 indicates expansion. although the survey signalled growth in the sector, which accounts for about three-quarters of the U.K. economy, economists had expected a more modest fall in the PMI to 52.Groupon set to seal $12.6 billion flotation: Andrew Mason, Chief Executive, has been pitching Groupon to investors over the past week in the build-up to the most widely-watched initial public offering since the summers turmoil on global stock markets shut the window for flotations. Groupon, which makes its money by taking a cut of the daily online deals it offers to customers on everything from clothes to botox, will price its shares at $20 billion.Starbucks profit jumps 29% but sales weaken in Europe: The company, based in Seattle, reported Thursday that it earned $358.5 million, or 47 cents per share. thats up from $278.9 million, or 37 cents per share, last year. after adjusting for one-time gains and an extra week in the prior quarter, the company earned 37 cents compared with 32 cents last year. Revenue rose 7% to $3 billion, with some benefit from foreign exchange rates. Revenue jumped 15% after adjusting for the extra week last year.KPMG apologises for disruption and incovenience to MF Globals clients: KPMG said it had been deluged by thousands of emails, calls and letters with highly complex requests as it tries to stabilise the business. Richard Fleming, joint administrator, said the U.K. unit had to contend with a number of significant disruptions, including the Chapter 11 insolvency of the U.S. parent company and the forced liquidation of the companys positions by market participants, exchanges and clients.The Questor Column:L&G Eurozone exposure is minimal: The shares fell sharply this week as European financials plunged following Greeces decision to hold a referendum on its rescue plan. however, L&Gs exposure to European sovereign debt is pretty minimal. As of 30 June, its holdings of government debt in Portugal, Ireland, Italy, Greece and Spain were just 300 million out of total assets of 35.1 billion. this is just 0.8% of its total assets. The insurer should now easily beat its full year cash target. L&Gs nine-month net cash generation rose 17% to 631 million. its full year target is 700 million, but it could come in as high as 900 million. Revenues have been subdued by the weak housing market. Typically, it is a requirement of mortgage companies that people buying property also have life cover. L&G has come a long way since March 2009, when it was forced to cut its dividend payments for the first time in its history. The shares were tipped as a buy at 119.4p on 05 May this year and they are down 1% compared with a FTSE 100 down 7%. The shares are a yielding prospective 5.6% this year, rising to 6.3% next year. Trading on an earnings multiple of 8.1, falling to 7.4. Legal & General at 107p +4.9p. Questor Says buy.Gem is a hold until prices recover: Rough diamond prices rose rapidly last year, but they have been on the wane for the past few months. however, Gem Diamonds said that it had delivered a good performance since July. however, Clifford Elphick, Chief Executive, accepted production at its Ellendale mine in Australia was disappointing. Measures are being taken and the feasibility study for expansion at its key Letseng mine is progressing well. however, pricing of the yellow fancy diamonds produced by the Ellendale mine was better than analysts expectations. The mine achieved an average price of $5,153 (3,216) per carat, compared with $2,791 (1,742) per carat last year. Luxury goods consumption is surging across Asia and the Far East, particularly China, where it is now common to give diamond engagement rings. Questors view on the shares is unchanged. The initial recommendation to buy into Gem was given too early and the shares are now down 29% from the tip in January 2009. Trading on a current year earnings multiple of 11.8, falling to just 8.1 next year, the shares remain a hold until the diamond price stabilises. Gem Diamonds at 205.2p -4.8p. Questor Says Hold.The Guardian ECB cuts interest rates to 1.25%: The European Central Bank has reacted to deepening fears of a long recession in the Eurozone with a quarter-point cut in interest rates to 1.25%. The decision will cheer countries such as Spain and Italy, which criticised the ECB for raising rates earlier in the year despite the Greek debt crisis and worries that growth was faltering.Banks need to be better citizens, admits Barclays Boss: Bob Diamond says financial institutions need to work harder to earn public trust, in dramatic change of tone from Treasury committee appearance earlier in year. Barclays Chief Executive Bob Diamond has admitted that Banks need to be better citizens, in a dramatic shift from the start of the year when he called for the period of remorse and apology to be over.Bill Nighy takes Robin Hood tax to the G20: Bill Nighy is not your usual film star. Gaunt and diffident, he turns beetroot red at the mention of his Man of the Year title (editors special prize), awarded by GQ magazine and the idea of posing on the red carpets of the Cannes film festival fill him with dread.U.S. poverty data: 1 in 15 people among Americas poorest poor: The ranks of Americas poorest poor have climbed to a record high 1 in 15 people and spread widely across metropolitan areas, as the U.S. housing bust pushed many inner-city poor into suburbs and other outlying places and reduced jobs and income.The business of fighting Aids: Brian Brink is a rarity in the world of business: a company man at the forefront of the fight against Aids in southern Africa. As Chief Medical Officer of the mining group Anglo American, there isnt much he doesnt know about a disease that has decimated parts of the continent.Daily MailGlaxoSmithKline settles sales dispute with 1.9 billion: Drug-maker GlaxoSmithKline has agreed to pay 1.9 billion to settle a seven-year dispute with U.S. authorities over the way it sold and marketed its medicines in America. Britains biggest pharmaceuticals company was from 2004 hit with a string of civil and criminal investigations into its practices within the crucial U.S. healthcare market.Britains oldest confectionary company bought out after falling into administration: One of Britains oldest confectionary firms has been saved having come to a sticky end earlier in the week. Blackpool-based Coronation Rock, which holds a Guinness World record for making the largest stick of rock, measuring 14 foot and 70 stones, survived the depression and the second World War but collapsed into administration on Tuesday.Hilton Foods meets forecasts despite challenging conditions: Meat packer Hilton Foods said third quarter trading had met forecasts a despite challenging conditions for consumers in some markets.The firm which packs pork, beef, and lamb for supermarket customers made good progress in Western Europe and benefited from the recovery in the Swedish economy.BNP Paribas takes a huge hit on Greek debt as Eurozone crisis deepens: The severity of the Europes banking crisis was dramatically exposed after Frances biggest lender took a gigantic hit on its portfolio of Greek debt. BNP Paribas slashed the value of its Greek holdings by 2.3 billion as it braced itself for a 60% loss on its loans to Athens.Broker Views:Tower Resources: Westhouse Securities maintained a buy rating on the stock, with a target price of 14.80pRockhopper Exploration: Westhouse Securities maintained a buy rating on the stock, with a target price of 658.00pHuntsworth: Numis Securities ltd maintained a buy rating on the stock, with a target price of 165.00pLloyds Banking Group: Evolution Securities upgraded the stock to buy and increased the target price to 50.00pStagecoach Group: RBC Capital Markets upgraded the stock to Outperform and increased the target price to 300.00pInchcape: Numis Securities ltd upgraded the stock to buy and increased the target price to 390.00pDaily ExpressIAG flying high on BMI hopes: International Airlines Group took off 4% amid speculation it was closing in on a deal to buy U.K. carrier BMI British Midland. Loss-making BMIs German Owner Lufthansa is rumoured to be on the verge of entering exclusive talks with IAG, 63/4p higher at 168p, the parent company of British Airways, which is keen to secure more valuable slots at Londons Heathrow airport to support routes to emerging markets such as China and India.Asos is hit as belts tighten: CASH strapped young shoppers are tightening their belts as the bank of mum and dad curbs lending hitting sales at British online fashion retailer Asos. Asos said its domestic customers were reining back spending as parents provided less money, Banks and credit cards clamped down and worries over university fees rose.Shoppers help boots to look and feel good: Customers determined to defy the downturn by looking and feeling good are boosting Alliance Boots as well as themselves. Finance Director George Fairweather said the groups high street health and beauty chain still picked up market share and grew revenues over the six months to September by focusing on value.Debt crisis hits Aviva life sales: Strong sales of home and motor insurance helped Aviva partly overcome a fall in life insurance, where pension sales were hit by market conditions. The company saw general insurance sales rise by 9% to 7 billion for the nine months to September as those in its life arm fell by 8% to 23.6 billion.The Scottish HeraldOsborne must heed the warnings and bolster economy: THE U.K. economy, one leading economist pointed out in the wake of a worryingly weak report on the dominant services sector, is clearly on the ropes. according to the economist Howard Archer of IHS Global Insight, and many of his peers, renewed recession is a serious threat.BT continues its upwards trend under Scots Boss: SCOT Ian Livingston led BT to higher-than-expected core profits in its second quarter, as surging demand for super-fast broadband helped the business to continue its rebound from its problems of 2008. mr Livingston, the telecoms giants Chief Executive, revealed that revenues were down 2% to 4.9 billion for its second quarter to September 30, and 3% off for the half year as a whole, although this was still ahead of expectations.IoD Boss backs plans to scrap unfair dismissal: Simon Walker, the recently appointed Director General of the Institute of Directors (IoD), threw his weight behind proposals to overhaul the countrys employment laws, but added that he had no wish to send children up chimneys.Allied Vehicles drives up earnings: Earnings at family-owned taxi and minibus builder Allied Vehicles have risen almost nine-fold thanks, in part, to a pick-up in sales of wheelchair-adapted vehicles. Turnover at the Glasgow-based business, which works with manufacturers such as Vauxhall and Mercedes Benz to produce niche automotive products, rose 10.4% to 61.5 million in the year to 30 April.Slowing growth in services sector adds to slump fears: Fears that the U.K. economy is heading back into recession have intensified with the revelation that growth in the dominant services sector slowed sharply in October. The slowdown to near-stagnation was revealed in a key survey published by the Chartered Institute of Purchasing and Supply(CIPS).Profits at Deveron Homes surge: Aberdeenshire property developer Deveron Homes posted a five-fold profit rise on the back of a nascent housing market recovery and has secured a new funding deal with its bankers to support an expansion drive outside its core north-east market.Bowleven to weigh up Cameroon finds: Bowleven said it should be able to decide in the next 18 months if the oil and gas finds it has made off West Africa can be brought into production. The Edinburgh-based firm said it will spend 12 to 18 months completing appraisal work on the discoveries off Cameroon and assessing options for processing output before making a final investment decision.The Scotsman U.K.s service sector growth slows, fuelling fears of fresh recession: Fears that the U.K. economy may tip back into another lengthy recession grew as a key survey revealed fragile growth in the nations dominant service sector. Official data earlier this week revealed better-than-expected GDP growth over the summer, though most forecasters expect the rebound to be short-lived as companies and consumers come under increasing pressure.Paul Whitehouse puts Aviva in the picture: a hit television advertising campaign featuring comedian Paul Whitehouse has helped drive Aviva to the number one slot in U.K. general insurance, the company claimed. Sales of general insurance, a division whose HQ is in Perth, climbed 12% in the nine months to end-September, boosted by the former Fast Show TV star.Broadband and IT deals drive BT profits ahead of forecasts: Telecoms heavyweight BT Group posted higher-than-expected profits and sales, driven by consumers snapping up broadband services and multinational firms agreeing IT deals. The second-quarter results, which enabled the group to reiterate its full-year outlook, sent shares in the group up 3% as it outperformed peers in both corporate international services and domestic broadband.Sir Win Bischoff talks up Antonio HortaOsorio: Lloyds Banking Group chairman Sir Win Bischoff said he was very confident that Chief Executive Antonio Horta-Osorio would be back in harness before the end of the year. His comments, at the launch of a charity bike ride in London, followed Wednesdays news that Horta-Osorio had taken leave following medical advice.Cities hold key to Europes recovery: Tom Buchanan, Edinburgh councils economic development leader, has argued that the Scottish capital and other major European cities hold the key to getting Europes economy back on track.Union building pressure over illegal egg imports: there is now less than two months to go before a European Union wide ban on egg production from battery cages comes in and this week, NFU Scotland continued to put pressure on the European authorities to prevent eggs being imported from non-compliant producers.Tennents and Punch in war of words on price: Tennent Caledonian Breweries has fiercely defended its pricing policy following accusations that it was trying to force up the price of its lager by as much as 40p a pint. The Glasgow-based company said it was disappointed that Punch Taverns, which owns about 300 of Scotlands 11,500 pubs, has alerted landlords to an impending rise.News of the World axe hits News Corp: News Corp has revealed its publishing income has plunged by more than a third in the wake of the News of the World phone-hacking scandal. Results released by the global media empire for the financial first quarter showed operating income for its publishing arm fell by $68 million (42.7 million) compared with last year.
Related posts:
- Sage Michael Introduces a Revolutionary Book About Reaching and Embracing Your Highest Potential Titled, “How To Become A SuperHero: The Ultimate Guide To The Ultimate You” Including a Foreword by Legendary Marvel Comics Icon Stan Lee
- ‘Dolphin’ deposes ‘Lion’ with $14.2M to grab No. 1
- Hindi EBooks, India and the EBook Market Revolution
- Southland Jews To Begin Observing Yom Kippur at Sundown – Beverly Hills Courier, Beverly Hills Newspaper
- Criminal libel proceedings against Sunday Times editor