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Thursday 2 February 2012

UK Financial News on 2012-02-02

AstraZeneca announces job losses
Drugs firm AstraZeneca is to cut further 7,300 job cuts over the next two years, including up to 300 at an R&D facility in the North West......

Xstrata in Glencore merger talks
Mining giant Xstrata and commodities trader Glencore International announce they are in talks over a possible "merger of equals"......

Facebook: Behind the likes and pokes
In papers filed at the beginning of its flotation process, Facebook reveals information about the company which had previously been private......

Balfour workers vote for strike
Members of the Unite union at construction company Balfour Beatty vote by more than two-to-one in favour of strike action over pay and conditions......

LVMH profits from luxury demand
Profits at LVMH for last year have beaten forecasts, with world's largest luxury goods group saying the outlook for 2012 was "excellent"......

Hackers fool bank security system
Criminal hackers have found ways around new security devices used for online banking, the BBC has learned......

MPC member attacks lending cuts
Bank of England Monetary Policy Committee member Adam Posen criticises banks for not lending enough to businesses, asking if they are "risk-averse jerks"......

Banker fears 'social time bomb'
Dr Josef Ackermann, the head of Germany's biggest bank, Deutsche Bank, warns of a "social time bomb" from wealth and income inequality......

Sony reports further heavy losses
Japanese electronics giant Sony reports another quarterly loss after sales were hit by lower production following the floods in Thailand......

Shell plans production expansion
Royal Dutch Shell has said it will launch a major investment drive in an effort to boost falling production......

More Galileo satellites ordered
The German-UK consortium building the operational spacecraft for Europe's Galileo sat-nav system wins a contract to provide an additional eight units......

Bank says Irish recession to stay
Ireland's Central Bank says the country's domestic economy will remain in recession through 2012......

India cancels telecom licences
India's Supreme Court cancels 122 telecommunications licences awarded to several companies, amid an ongoing corruption scandal......

Burma's foreign debt put at $11bn
Burma reveals it owes more than $11bn in foreign debt - a figure much higher than the previous estimate......

Debt crisis hits Deutsche profits
Deutsche Bank reports a sharp fall in profits as the eurozone debt crisis takes its toll on the company's investment banking division......

China 'considering' eurozone help
Premier Wen Jiabao says Beijing is "considering" contributing to European rescue funds, during a visit by German Chancellor Angela Merkel......

American Airlines cut 13,000 jobs
The loss-making parent company of American Airlines says it will shed 13,000 jobs - around 15% of its workforce......

Cold front ad for Mini backfires
An advertising agency for BMW pays to name Europe's cold weather "Cooper" in Germany, after the firm's Mini Cooper car, but the stunt backfires......

UK download speed gains 'uneven'
Ofcom reports a 22% gain in the UK's average broadband download speed between May and November, but not all ISPs improved......

MPs reverse Lords welfare defeats
MPs overturn a series of defeats inflicted on the government's welfare reform bill by peers, voting to reinstate child benefit into the proposed 26,000 total cap on payments......

Ash claims finally given go-ahead
Some 300 travellers with insurance claims resulting from the ash cloud disruption in May 2010 will finally have their cases resolved......

Winter freeze for UK house prices
UK house prices started the new year with a slight decline - falling by 0.2% in January compared with the previous month, the Nationwide says......

UK manufacturing activity expands
The UK's manufacturing sector returned to growth in January, a survey indicates, with activity at its highest level for eight months......

Case for tax cuts 'is stronger'
The argument for the chancellor to cut taxes to boost the economy is stronger than it was a year ago, the Institute for Fiscal Studies says......

Manufacturing data boosts markets
Promising figures for manufacturing output in economies throughout the world boost stock markets......

Facebook unveils plans to float
The world's largest social networking site, Facebook, confirms plans to raise $5bn (3.16bn) in a share sale and reveals it made $1bn profits......

Japan carmakers see US sales jump
Japanese carmakers report a jump in their US sales in January boosted by new models and the restoration of supply chains......

Criticism over Goodwin 'hysteria'
Figures from the business world hit out at a decision to strip former Royal Bank of Scotland boss Fred Goodwin of his knighthood......

Redknapp admits lying about cash
Harry Redknapp admits lying to a News of the World reporter about cash payments, during his second day on the stand at his tax evasion trial......

July verdict on technology - Fifa
Fifa will make a decision on goal-line technology in July......

VIDEO: Job losses at AstraZeneca
Anglo-Swedish drugs maker AstraZeneca has announced a further 7,300 job cuts over the next two years as part of a new restructuring programme......

VIDEO: Top banker warns of 'time-bomb'
Dr Josef Ackermann has warned of a "time-bomb" from wealth and income inequality......

VIDEO: Are young Brits up to the job?
The "Pret Effect" term came after London Mayor Boris Johnson wondered aloud why there were never any British people working for the sandwich chain......

VIDEO: Angela Merkel's China visit in focus
The German Chancellor is visiting China where she is expected to discuss China's currency policy and the eurozone debt crisis......

AUDIO: How safe is online banking?
Spencer Kelly talks to Winifred Robinson on Radio 4's You and Yours about the results of the BBC Click investigation into the new ways criminals are trying to hack into bank accounts......

AUDIO: Bankers 'overreacted' to crisis
A member of the Bank of England's interest-rate setting body told Radio 5 live why bankers are not doing enough to support the economy......

VIDEO: The oil-funded super rich of the UAE
The past year has been quite a challenging one for the global economy, with the US and European debt crises, the turbulence of the Arab Spring and the tsunami in Japan......

AUDIO: 'Great excitement' at Facebook IPO
Tim Bajarin market analyst at Creative Strategies Inc in California gives the reaction from Silicon Valley as Facebook launches its plan to sell shares in the company for the first time......

Comments on Zuckerberg letter
Decoding Mark Zuckerberg's letter to investors.....

Rolls-Royce opens Singapore plant
Rolls-Royce starts up engine production in Singapore.....

Living in the world's most expensive city
Living in Luanda, surprisingly, one of the world's priciest cities.....

Automatic pension enrolment timetable
The timetable for the auto-enrolment into a pension.....

Running a business: Your questions answered
A BBC panel of business experts answer readers' questions......

Egyptian mothers take to the internet
Egypt's mothers take to the internet for help and advice.....

The U.S. Day Ahead: IFR more bearish than consensus on jobs
Feb. 2 - IFR expects nonfarm payrolls rose by 135 thousand in January, a bit lower than the consensus estimate of a 150 thousand gain, and less than the prior month's 200 thousand jump......

Ads get social at Super Bowl
Feb 2 - Super Bowl ad campaigns are going beyond the field- tapping into social media to leverage the millions of dollars spent on the 30-second or 60-second ads aired during the big game. Bobbi Rebell reports......

May be two years before job growth is consistent, Dunne says
Feb. 2 - Philippa Dunne of the Liscio Report says that though the unemployment rate may fall, it will be due to a further drop in the labor force and says it may be two years before job growth is consistent......

Bernanke focused on lowering jobless rate
Feb. 02 - Federal Reserve Chairman Ben Bernanke defended his low interest rate policy before a House committee, telling lawmakers the Feds goal is to boost employment without igniting rampant inflation. Conway G. Gittens reports......

Europe crisis hits the "real economy"
Feb. 2 - Disappointing corporate results from a range of companies including AstraZeneca, Unilever and Electrolux show Europe's debt crisis is beginning to affect the "real economy". Joanna Partridge reports.....

Trading at Noon: Wall St. higher ahead of payroll report
Feb. 2 - U.S. stocks edged higher after weekly jobless claims fell, however investors were reluctant to make big bets ahead of Friday's payrolls report......

China: bigger role in EU rescue fund?
Feb. 2 - Chinese Premier Wen Jiabao says China says may consider greater involvement in resolving the European debt crisis while German Chancellor Angela Merkel urges Beijing to use influence on Iran, during her three-day state visit to China. Ciara .....

Europe Day Ahead: Friday
poll of economists......

Glencore & Xstrata's $80bln merger talks
Feb.02 - Mining group Xstrata and commodities trader Glencore are in talks about an all-share deal that could create a combined group worth almost 80 billion dollars. Sonia Legg reports.....

Morning Briefing: Facebook's wealth effect; Jan retail sales
Feb. 2 - A look at who stands to benefit from the Facebook IPO, and Limited Brands emerges as a big winner as retailers report January chain store sales......

Debt crisis dents Deutsche Bank
Feb.02 - Deutsche Bank has posted a fourth-quarter pretax loss after investment banking wilted amid the sovereign debt crisis, and as bad investments and litigation charges spoiled Josef Ackermann's final earnings presentation as chief executive. Hay.....

U.S. Morning Call: Valuing Facebook and Zuckerberg's wealth
Feb. 2 - Facebook's valuation is expected to go as high as $100 billion by spring, and CEO Mark Zuckerberg could become the 4th richest American......

Can't get a job? Become your own boss
Feb. 2 - More than 5.5 million under 25s are unemployed in Europe and the UK government is encouraging young entrepreneurs to start their own business and create jobs for the next generation. Hayley Platt reports......

Glencore can't afford to overpay for Xstrata
Breakingviews......

Captain Kaz to rock Sony's world
The new Sony CEO, Kazuo 'Kaz' Hirai, is young, smart and unorthodox - not your average suit and maybe just the ticket to shock the electronics company back into profit......

EU's great kowtow to China
Germany's Angela Merkel visits China with hands out for Europe, but don't expect Beijing to fall over itself with offers to save the EU from its debt disaster......

FACTBOX: Facebook by words and numbers
Feb. 1 - Insider takes a look at some of the key pieces of facts, figures and disclosures provided by Facebook in its S1 filing for a $5 billion dollar IPO......

Shell eyes big growth, but at big cost
Feb.02 - Royal Dutch Shell unveils ambitious new growth plans alongside disappointing fourth quarter results, raising concerns about how much profit the increased activity will bring. Ciara Sutton reports.....

Facebook to make history with IPO
Feb. 1 - Facebook officially filed paperwork with regulators on Wednesday for a $5 billion initial public offering, in what will be the biggest IPO ever to come out of Silicon Valley. Conway G Gittens reports......

Americans are car shopping again
Feb. 1 - U.S. auto sales continue to trend moderately higher, as Americans start to think about replacing their aging vehicles, and foreign automakers hope that will bring opportunities to grow their U.S. market share. Bobbi Rebell reports......

Market Pulse: China mulls more support for euro zone
Feb. 2 - The euro see-saws after premier Wen Jiabao said China was considering greater involvement in the EU's rescue funds......

Facebook IPO official; Stocks gain
Feb 1 - Summary of business headlines: Facebook officially files $5b IPO paperwork; EA posts winning earnings; Strong January auto sales; Global stocks higher. Conway G. Gittens reports......

Facebook lifts the veil; Zuckerberg will be rich
Feb. 1 - Sageworks CEO Brian Hamilton and Silicon Valley Start-up guru Steve Blank scrutinize Facebook's S1 filing for a $5 billion IPO, its profits and revenues, and salaries......

U.S. Day Ahead: U.S. lawmakers to press Bernanke on economy
Correspondent Pedro Da Costa says expect Fed Chair Ben Bernanke to face tough questions when he testifies before a House panel on the economy......

Facebook might look for deals after IPO, analyst says
Feb. 1 - M&A Analyst Sachin Shah of Tullett Prebon says that Facebook might look to acquire Yahoo's American assets for their advertising or BlackBerry maker Research in Motion for its patents......

London Olympic Games' security is key to aiding the recovery of UK plc
With the UK teetering on the brink of a second recession in four years and Bank of England Governor Sir Mervyn King warning the road to recovery will be long and arduous, the economic impact of the Olympics is becoming more important than ever.<im.....

Sheryl Sandberg: Facebook's $31m woman
Mark Zuckerberg and the scions of Silicon Valley have known for a long time that Sheryl Sandberg is a powerful woman. But on Wednesday the extent of that power became crystal clear to the outside world as well.<img width='1' height='1' src='http:/.....

Ed Miliband launches fresh assault on City pay
Ed Miliband will open a new front in his war on excessive City pay on Friday, as he calls for curbs on bonuses at banks that have not required government bail-outs.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/.....

Deutsche Bank profits rise despite fourth-quarter loss
Deutsche Bank, Germany's biggest bank, plunged from a 707m profit to a 351m pre-tax loss in the final quarter of last year, as the European debt crisis hampered trading and forced debt write-downs.<img width='1' height='1' src='http://telegraph.fe.....

AstraZeneca cuts a further 7,300 jobs as drug patents expire
AstraZeneca is poised to axe more than 7,000 jobs as Britain's second-biggest drug maker cuts costs in the face of patent expiring on some of its best-selling drugs.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s.....

Facebook graffiti artist stands to earn $200m from IPO
A graffiti artist who decorated the walls of Facebook's headquarters seven years ago is set for a $200m (126m) windfall when the social network makes its initial public offering (IPO).<img width='1' height='1' src='http://telegraph.feedsportal.com.....

Glencore and Xstrata in merger talks
Glencore's $81bn (51bn) merger talks with Xstrata are set to create the world's "number one mining predator" and the seventh biggest company on Britain's blue-chip index.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568.....

'Glenstrata' deal will give birth to mining titan
Rumours that a huge credit facility was being put in place were the first signal to the market that the mining mega-deal it had been anticipating for years was finally in play.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726.....

Debt crisis: as it happened - February 2, 2012
US Fed chairman Ben Bernanke warns that the country must rein in spending and create a sustainable budget in order to avoid a debt crisis similar to that seen by Italy and Spain in the eurozone.<img width='1' height='1' src='http://telegraph.feeds.....

Bank of England's Posen attacks banks for failing to deliver value for economy
Taxpayers are getting a bad deal from Britain's banks as lenders are failing to help the economy, Bank of England rate-setter Adam Posen has said.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c5b81a2/mf.gif' b.....

Facebook IPO: where ambition meets paranoia
Among the more colourful details of Facebook's 150-page S-1 filing with the Securities and Exchange Commission is a letter from founder Mark Zuckerberg setting out the social network's "mission".<img width='1' height='1' src='http://telegraph.feed.....

Eurozone bail-out funds not enough, warns OECD
The eurozone's bail-out funds are not big enough, the Organisation for Economic Co-operation and Development has warned, amid mounting concerns about a Greek default.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/.....

Debt crisis: live
US Fed chairman Ben Bernanke warns that the country must rein in spending and create a sustainable budget in order to avoid a debt crisis similar to that seen by Italy and Spain in the eurozone.<img width='1' height='1' src='http://telegraph.feeds.....

Japanese smoke signals push up Imperial
Having ticked up after a trading update earlier this week, Imperial Tobacco rose another 5p to 23.08 as takeover speculation refused to be stubbed out.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c5b217f/mf.g.....

FSA provokes City by adding 78m to funding requirement
The Financial Services Authority is to raise the fees it charges City firms by an inflation-busting 16pc in its last full year of operation.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c5b1a2c/mf.gif' border=.....

Smith & Nephew to cut 800 jobs worldwide
Medical devices group Smith & Nephew is to cut 800 jobs worldwide as part of a $150m (94.9m) cost cutting exercise.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c5ac8df/mf.gif' border='0'/><br/>&l.....

Cairn India boss nets 6.6m in share sale
Rahul Dhir, chief executive of oil and gas producer Cairn India, has netted 512.68m rupees (6.6m) by selling half of his stake in the company, ahead of receiving another round of stock options.<img width='1' height='1' src='http://telegraph.feedsp.....

Construction growth slows in January
Britain's construction industry grew at a slower-than-expected rate in January, weighed down by a weak housing market and stagnant employment.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c586871/mf.gif' borde.....

Fitness First could breach covenants in a month as entire management team is fired
BC Partners has a month to rescue Fitness First before its troubled gym chain, which employs over 13,000 people, faces breaching its banking covenants.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c5ac523/mf.g.....

Balfour Beatty workers vote to strike - again
Construction workers at Balfour Beatty have voted to strike for a second time in a long-running row over pay and conditions.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c5ae1c8/mf.gif' border='0'/>.....

Gold will rise against 'heavily debased' currencies
Troy's Francis Brooke: Spectrum fund has 16pc invested in the precious metal.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c5a15d0/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.....

More bank staff steal from customers
Dishonest actions by staff to gain a benefit by theft or deception had risen 41pc in twelve months, according to CIFAS, anti-fraud organisation.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c5a15d2/mf.gif' bor.....

Tax deadline day: tips for filing your tax return
Tax deadline day falls two days late this year. Here are some tips if you haven't got around to filling in your return yet:<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c5a15d4/mf.gif' border='0'/><br/&g.....

Tax deadline day: Q&A
It's tax deadline day with just hours to go before time runs out to fill in your tax return. Here is what you need to know:<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c59c700/mf.gif' border='0'/><br/&g.....

Taxpayers have saved more than 10m as self-assessment deadline extended
Around 100,000 taxpayers have taken advantage of the two-day extension to the self-assessment deadline.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1c59c701/mf.gif' border='0'/><br/><br/><a h.....