The Lex Column:
*Life on Mars - €urozone and UK monetary policy conditions are tighter than in the US.
*Buoyant Metro - Is Metro an example of how to buck the retail gloom? Help may be at hand from Metro’s new chief executive, appointed in November.
*S&N (SCTN) and bid tactics - There is a popular myth that bankers have a code book to reach for in takeover situations, when communication is reduced to terse public statements. The reality is often different.
The Lombard Column:
*Safe choice is sign of tougher times at the FSA – Sally Dewar’s choice as the person to head the supervision of the City’s largest institution is faintly disappointing, but understandable.
*Capital income – The success of Intermediate Capital’s (ICP) £175-million rights issue proves that investors believe the credit crunch creates opportunities for some niche players.
*Once Burren (BUR), twice shy – The withdrawal of the two Indian companies intention to outbid Eni for Burren.
The Power Player Column:
*Tim Breedon, CEO of Legal & General (LGEN).
Feature:
*FSA shakes up team to counter Rock (NRK) flak.
The Small Talk Column:
*Vantis (VTS) still on the deals trail in a challenging sector.
*Moving up the list – Hedge fund, Marwyn Capital started preparing a couple of months ago to move its biggest listed companies from AIM to the main market. On Wednesday Entertainment One (ETO) took another step to become a leading independent European film distributor by acquiring RCV Entertainment.
*Running for cover – So far this week 2 of last October’s winners of AIM awards, Silence Therapeutics (SLN) and Mecom (MEC), have run into a spot of bother. They say things come in three’s... so the other nine winners had better reach for their hats.
Further news:
*AIM companies fined by LSE (LSE) for website shortfalls.
*Unilever (ULVR) sparks strong interest on talk of big dividend.
*Poor reception for Countrywide.
*Minerva (MNR) defies the critics.
The Business Commentary Column:
*Blair proves that it is who you know - The former Prime Minister is going to work part-time for JPMorgan Chase, the American bank, and the instant reaction from British business leaders has not been to feel snubbed but to wonder what on earth Mr Blair can bring to a big business.
*Shareholders still rocking the boat - The war of words between the Chancellor and Northern Rock’s (NRK) rebel shareholders suggests an ugly fight lies ahead.
*Dot-com downer is CV must-have - A spell at a failed dot-com some time around 1999 or 2000 is starting to appear on the CVs of prominent business leaders. Eric Daniels had just such a blip between years at Citigroup (CGP) and his current role as chief executive of Lloyds TSB (LLOY).
Feature:
*Scottish & Newcastle (SCTN) to turn the tables on Carlsberg after rejecting £10-billion move.
Business Big Shot:
*Sally Dewar, new head of FSA’s wholesale division.
The Power 100:
*No.s 1-to-20.
The Tempus Column:
*SIG (SHI) – Buy.
*William Hill (WMH) – Avoid.
*Premier Foods (PFD) – Hold.
Further news:
*Housing market hits banks’ shares again.
*Pursuit Dynamics (PDX) was up 32¼p to 234p after tests of its biofuel processing prototype showed good results.
*Gulfsands Petroleum (GPX) rose 4.75p to 156.75p on the back of rumours that its second appraisal well in Syria – which on Monday it revealed produced 3,400 barrels of oil per day – may be even more productive than these tests showed.
The Comment Column:
*The risks are with Carlsberg as S&N (SCTN) plays hardball.
*We must not adopt US model of monetary management.
*Lessons to be learned from Sir John (Sir John Harvey-Jones’ legacy).
Feature:
*Beer battle with bitter taste (Scottish & Newcastle (SCTN) and Carlsberg consortium).
The Questor Column:
*British Energy (BGY) – Hold.
*Intermediate Capital (ICP) – Buy.
*Wellstream Holdings (WSM) - Hold.
Further news:
*Bank’s decision to maintain rates creates disappointment.
The Outlook Column:
*Investors still wary of nuclear ‘bonanza’.
*Bank of England refuses to cut rates.
*... and still S&N (SCTN) won’t talk to Carlsberg.
The Business Analysis Column:
*Carving up the nuclear spoils.
The Investment Column:
*Premier Foods (PFD) – Avoid.
*Legal & General (LGEN) – Hold.
*Mears (MER) – Buy.
Further news:
*Google bid for Yell (YELL) gets traders shouting.
From The FT
*Goldman eyes Rock (NRK) bond plan (p17)
*New York launches antitrust inquiry into Intel (ICO) (p17)
*Paragon (PAG) set to unveil discounted rights issue as squeeze takes toll (p17)
*SCi (SEG) sees 2008 loss and halts takeover talks (p18)
*Clients withdraw $1.8-billion from Man Group (EMG) (p18)
*Signet (SIG) loses lustre in Christmas trade (p20)
*Strong sales at JD Sports (JD.) buck gloomy retail trend (p20)
*Internet problems poised to hurt William Hill (WMH) (p20)
*Premier Foods (PFD) toasts a ‘decent performance’ (p20)
*Manchester United to carve out new global sponsorship deals (p21)
From The Times
*Rock (NRK) faces nationalisation, Darling warns shareholders (p52)
*BoA in talks to take over struggling Countrywide (p53)
*Sainsbury’s (SBRY) announces 3.7% rise and expects to ‘thrive’ in tough times (p56)
*LSE (LSE) planning to offer organised market in CFD’s by end of year (p59)
*Bernanke soothes US fears of recession
From The Daily Telegraph
*British and French discuss nuclear fusion (B1)
*Consortium may scrap S&N (SCTN) offer (B1)
*William Hill (WMH) blows £26-million on e-race (B2)
From The Independent
*Redrow (RDW) suffers 9% drop in housing orders (p43)
From The Daily Mail
*Time is running out to rescue the Rock (NRK) (p96).
*Sainsbury (SBRY) had a merry Christmas (P97).
From The Daily Express
*Retailers send out mixed messages.
SOME ITEMS THAT COULD INFLUENCE SHARE PRICES
*The Dow Jones closed up 117.78-points at 12858.09.
*Peter Hain admits failure to declare £100,000 campaign donations.
*Engineering firm Rolls-Royce (RR.) says it plans to cut up to 2,300 jobs to reduce costs and improve efficiency. The job losses come as the firm struggles with high raw material prices and a weak dollar. The cuts will affect the company's operations in the UK, US, Germany and the Nordic countries, the firm said. The losses will come among managerial, professional and clerical staff. The firm employs about 39,500 people in 50 countries, with 23,300 in the UK.
*Manchester United have moved to the top of the UK's football financial league after reporting record turnover for 2006/07 of £245-million, a 27% rise. That puts them ahead of the £200.8-million reported by Arsenal for last season, but behind Real Madrid of Spain, whose turnover was £263-million for the same period. Pre-tax profits rose 93% to £59.6-million, as United won the Premier League.
*Fed ready to cut rates amid recession fears.
*Bernanke hints at big rate cuts to stave off recession.
*Speaking in Jerusalem, Tony Blair said he believes a peace settlement between the Israelis and Palestinians is achievable. The former PM, who acts as Middle East Quartet envoy, said he was "cautiously optimistic" that a deal could be struck by the end of the year. Mr Blair spoke after a meeting in Jerusalem with US President George W Bush, who is on a Middle East tour. Mr Bush has called on Israel to end its occupation of some Arab land to allow the creation of a Palestinian state.
Compiled in association with HB PLC and WH Ireland Ltd
