The Lex Column:
*Automotive for the people – It is heartening this year’s show hosts competing ideas on boosting efficiency. This also serves as a reminder, however, that the industry is in a risky period of transition.
*Feeding inflation – Will the fortunes of general retailers and supermarkets diverge significantly in the coming year? Investors seem to think so.
*Kuwait’s helping hand – It is not surprising the Kuwait Investment Authority is to become the latest fund to help out a wobbly investment bank. Rivalry between the Gulf states is healthy and Kuwait is considered the laggard.
*Metals prices – When markets are on a high, the real world can be a nuisance. Physical metals premiums are a case in point.
*Kazakhstan oil – It can be hard to pick the loser when both sides emerge victorious. But in the resolution to the set-to over the Kashagan oilfield there is something for everyone.
The Lombard Column:
*Live from west London: Guy Hands and the suits (the changes afoot at EMI).
*Britain’s bespoke listings (changes in listing rules) – The aim is to ensure the London brand retains its reputation, while preserving its ability to make money for the UK.
The Power Player:
*Ray Kelvin, Ted Baker
(TBK) chief.
Feature:
*Mounting pressure could halt BT
(BT.A) renaissance.
Further news:
*Gold in vanguard of commodities price surge.
*Shire (SHP) suffers after expensive defensive stocks are dumped.
*BAT’s (BATS) slips 2% on continued rumours that Richemont
(RIT) will sell all, or part, of its stake next month.
*Silverjet (SIL) and broker in battle.
*Clapham House
(CPH) firmed as Capricorn Ventures lifts its stake and is seen as a credible bidder for CH.
*Bid talk lifts Restaurant Group
(RTN).
*IBM’s earnings surprise bolsters confidence.
The Business Commentary Column:
*(Guy) Hands is right to set record straight at EMI.
*Testing Tesco
(TSCO) (Wal-Mart’s US competition).
*Roadmap for a Citi of the future – Last June Citigroup had a market value of $261-billion, today it’s $141-billion and today’s 4th-quarter results are the first big opportunity for the new team of Sir Win Bischoff and Vikram Pandit, chairman and chief executive, to stamp their authority on the business and show that they can see a credible way out of its difficulties.
Feature:
*High noon on the High Street.
Business Big Shot:
*Chris Ronnie, chief executive of JJB Sports
(JJB).
Further news:
*Property crawls out of the basement.
*Silverjet (SIL) went into a tailspin yesterday after broker Daniel Stewart
(DAN) initiated coverage with a target price of 0p, saying that the business-class-only airline was “likely to fail”. The shares plunged 14p (28%), to a low of 35.5p compared with the May float at 112p.
*LonZim (LZM) is said to be near its first deal, the £2.5-million purchase of Blueberry International, owner of telecoms and chemicals groups, from Lonrho
(LONR), which brought LonZim to AIM last month and still holds 20%. There are also 2 other acquisitions expected in the next couple of weeks.
The Comment Column:
*Ignore the bleating vultures and nationalise the Rock
(NRK).
*End this confusion over anointing (Mervyn) King now - If Alistair Darling and Gordon Brown wanted to do one thing that might help bolster their rotten reputations they could stop dithering over choosing the next Governor of the Bank of England.
*Bitter tears for Carlsberg as Scottish & Newcastle
(SCTN) proves expensive.
Feature:
*Who’s best for Britain in the White House?
The Questor Column:
*IG Group (IGG) – Buy.
*Forth ports
(FPT) – Buy.
*N Brown - Buy.
Further news:
*China may scrap $2-billion Citigroup investment.
*Centrica (CNA)
buys stake in Ceres Power
(CWR).
*Property sector buoyed by Laxey’s
(LAX) £1-billion opportunity fund.
*Feature in Market Report ... All-time low – Erinaceous Group
(ERG).
*Rock (NRK) shares slide as crisis meeting looms.
*Bid talk sees gains for property sector.
*Pursuit Dynamics rises on news that John Morley had increased his stake.
From The FT
*London listing rules set for revamp (p1)
*Rock’s (NRK) fate still in the balance (p20)
*How BT (BT.A) got the wrong number (p20)
*Four US bidders vying for Whatman
(WHM) (p20)
*FSA defends trimmed fine, for Square Mile Securities (p22)
*Treasury lines up Rocket Ron (Sandler) to be saviour of Northern Rock
(NRK) (p23)
*Premier Oil
(PMO) flags rise in production (p24)
*Balfour Beatty sidesteps subprime slowdown (p24)
*China Mobile breaks off iPhone talks (p29)
From The Times
*Food and fuel drive fastest rise in industry’s costs for 16-years (p32)
*British Energy
(BGY) holds talks with Spanish over new nuclear plant (p37)
*Clapham House
(CPH) gained 3p to 167p after it confirmed that Capricorn Ventures, the owner of Nando’s, had upped its stake to 18.39% (p43)
From The Daily Telegraph
*IG Group
(IGG) bets on volatility and China (Business P2)
*Forth Ports
(FPT) buoyed bid talk of Babcock & Brown
(BBPP) bid (B2)
*Banding together for EMI revolt (B3)
*Taxpayer’ Northern Rock
(NRK) risk ‘disguised’, as the Government is accused of trickery over bank nationalisation plan, amid growing fears of damage to public funds (B7)
From The Independent
*Tesco’s
(TSCO) Fresh & Easy format in US under attack from Wal-Mart (p40)
From The Daily Mail
*2008 brings dark days for shopkeepers (p75)
*Defence giants in battle for £4-billion deal to manage MoD vehicles (p76)
*AGA (AGA) roasted in rough year (p76)
From The Daily Express
*Gold nears $1,000 an ounce (p54)
*Higher-class shops prove retail gems (p55)
SOME ITEMS THAT COULD INFLUENCE SHARE PRICES
*The Dow closed up 171.85-points at 12778.15, the Nasdaq added 38.36-points 2478.30, while the S&P closed up 15.23-points at 1416.25.
*Gold price surges above $900 as investors seek refuge from dollar.
*Prices charged by manufacturers are rising at the fastest rate in almost 17 years - in the latest sign that inflation remains a major threat to the British economy.
*According to official figures, food prices are accelerating at their fastest rate since records began, fuelling a rise in the average family's shopping bill of £750-a-year. Figures from the Office of National Statistics showed wholesale food prices rose by 7.4% in the past 12-months, more than 3-times the headline rate of inflation.
*The Government’s race relations chief, Trevor Phillips, has said that the flight of the white middle classes from the inner cities is accelerating.
*Work and Pensions Secretary Peter Hain could face a police inquiry into the late declaration of donations to his failed Labour deputy leader campaign. It is one of the options being looked at by the Electoral Commission, which is already investigating the matter.
*Conservatives would not block Bill to nationalise Northern Rock
(NRK).
*Tens of thousands of homeowners are braced for a repeat of last summer’s catastrophic flooding, after forecasters predicted more than a week’s rain could fall across Great Britain in just a few hours. The Met Office warned the ground across large parts of England and Wales was already saturated and so rain water would not drain away. The worst of the heavy rainfall was expected overnight but the deluge is expected to continue until this afternoon.
*Dollar tumbles on back of Fed rate cut rumours.
Compiled in association with HB PLC and WH Ireland Ltd
