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Thursday 10 May 2012

UK Financial News on 2012-05-10

UK interest rates held at 0.5%
The Bank of England continues to hold UK interest rates at 0.5% and is not extending its programme to boost the economy by buying government bonds......

More shareholder revolts over pay
Shareholders in newspaper group Trinity Mirror and Britain's biggest operator of car dealerships, Pendragon, rebel against the company's executive pay awards......

Deutsche admits US mortgage fraud
Deutsche Bank is to pay $202m (125m) to settle charges it defrauded the US government over the resale of risky mortgages......

Aquascutum sold to YGM Trading
Luxury clothing brand Aquascutum is sold for 15m to a subsidiary of YGM Trading, which already owns the rights to the brand in Asia......

Coty raises bid for Avon Products
Coty, the firm behind fragrances for Adidas and Beyonce Knowles, raises its bid to $10.7bn (6.6bn) for the cosmetics firm Avon Products......

Thousands in public sector strike
Public sector workers are taking part in a 24-hour UK-wide strike over pensions, but the government insists it has made them a "generous offer"......

Coulson tells of share 'conflict'
Ex-Downing St press chief Andy Coulson says he only considered a conflict of interest in having News Corp shares after he quit No 10......

Production boost for Tesla Motors
Shares in US electric carmaker Tesla Motors rise 11% after the firm brings forward the delivery date for its new Model S car......

Home repossession levels 'stable'
A total of 9,600 homes were repossessed in the UK in the first three months of the year - the same as a year earlier, lenders say......

Manufacturing output up in March
UK manufacturing output bounced back in March, figures show, but overall industrial output fell due to a drop in oil and gas production......

Martin Currie hit by 8.6m fines
Edinburgh-based Martin Currie is fined a total of 8.6m for failing to manage a conflict of interest between two of its clients......

US trade deficit grows in March
The US trade deficit widened at the fastest rate for 10 months in March following a narrowing in February, official figures show......

Currys owner posts stronger sales
The owner of Currys and PC World, Dixons Retail, reports an 8% rise in sales for UK and Ireland in the final quarter of its financial year......

Bank of France predicts no growth
The Bank of France sees no growth in the first half of 2012, with official figures for the first quarter due on Francois Hollande's inauguration day......

Facebook launches its app store
Facebook announces App Center, a specialised store offering mobile apps, as it admits growing mobile use could hurt its revenues......

Spring sales boost for Barratt
UK homebuilder Barratt Developments says its spring selling season has been the strongest in five years......

Cheesy tune wanted as 'anthem'
Songwriters are being invited to create a "national anthem" for the UK's most popular cheese, Cheddar, in a national competition organised by industry bosses......

EU cuts the cost of Europe calls
Regulations to significantly reduce the cost of using a mobile phone abroad have been passed by the European Parliament......

Flat-rate state pension prepared
A new flat-rate state pension and a system to automatically raise the pension age have moved a step closer......

Benefits letters to arrive soon
Some people could receive letters explaining a new cap on benefits - even if they are exempt from the changes in April 2013......

Spanish bank is part-nationalised
Troubled Spanish lender Bankia is to be partly nationalised, the central bank confirms......

Greek bailout payment held back
The eurozone's rescue fund holds back 1bn euros ($1.3bn; 800m) of its latest instalment of its bailout to Greece......

Central bank boosts Indian rupee
The Reserve Bank of India introduces fresh measures aimed at boosting the Indian rupee after recent weakness in the currency......

Sony reports record annual loss
Japanese electronics maker Sony reports a record annual loss as natural disasters and a strong yen hurt its earnings......

BT's profits rise but sales fall
Telecoms group BT reports a rise in annual profits but sales fall and the company says the business environment remains challenging......

BMI Regional sold to consortium
Airline BMI Regional is sold to an Aberdeen-based consortium for 8m in cash, International Airlines Group announces......

Italian clubs face fixing probe
More than 20 Italian football teams and dozens of players are told they are under investigation as part of an inquiry into match-fixing......

Gers takeover 'still on course'
Rangers administrator Duff & Phelps insists new bidders can secure the club's future by the end of this week......

Jockey Club to boost prize money
The Jockey Club, the largest commercial group in British horse racing, is to increase prize money after a rise in turnover and profits in 2011......

VIDEO: Record attendances at UK racetracks
The BBC's Steph McGovern reports from Chester Racecourse on how the UK horse racing industry is enjoying record attendances at the tracks......

VIDEO: Comedian aims to help town high streets
Griff Rhys Jones called for people to join their civic societies - where he is president - to help improve their town centres......

VIDEO: Cable on executive pay and accountability
Business Secretary Vince Cable has spoken to the BBC's Jeremy Paxman about corporate governance and what he defines as "ludicrous" levels of executive pay......

AUDIO: 'We object to working longer for less'
Up to 400,000 civil servants, health workers and others are on strike today over government reforms to public sector pensions. Gail Cartmel, Assistant General Secretary of Unite, explains why his union backs the strike......

VIDEO: Repossession levels 'better' than expected
A total of 9,600 homes were repossessed in the UK in the first three months of the year, which was lower than the figure that the Council of Mortgage Lenders (CML) predicted......

VIDEO: Record annual loss for Sony
Japanese electronics maker Sony has reported a record annual loss as natural disasters last year and a strong yen hurt its earnings......

VIDEO: Public sector strike over pensions
Up to 400,000 public-sector workers are expected to join a 24-hour UK-wide strike in a dispute with the government over proposed pension changes......

What would a growth agenda look like?
What can governments do to promote growth?.....

How does Greece leave the euro?
How would Greece actually leave the euro?.....

Spilt milk prompts buy-local move
Sri Lanka wants people to buy local after dairy protest.....

Robot research laboratory opens
Robot research laboratory opens.....

Help wanted! Silicon Valley's hiring crunch
Behind Silicon Valley's hiring crunch.....

Enhanced annuities: Who can benefit?
Why it can pay to be a smoker.....

Q&A: End of austerity?
Is it possible to end austerity in Europe?.....

U.S. Day Ahead: Low inflation could signal Fed QE3
Jason Lange......

Claims, trade point to brighter days
May 10 - Hope emerges as weekly jobless claims drop and the U.S. trade deficit rises amid growing demand for exports and imports. Conway G. Gittens reports......

The Exchange: What's not to like about Facebook's IPO?
Rob Cox talks to "The Facebook Effect" author David Kirkpatrick about why the social network may be a great invention but a risky investment......

Breakingviews: Cotys beautified bid for Avon
Antony Currie and Breakingviews columnists mull whether the fragrance makers higher offer and Berkshire Hathaways support are enough to turn Avons head......

Trading at Noon: Cisco stock drops on poor earnings
May 10 - Investors dumping Cisco's stock as CEO Chambers blames European uncertainty for the company's disappointing earnings......

Wealth Strategies: T. Rowe likes LatAm corporate debt
May 10 - T. Rowe Price's Steven Huber says better growth and interest rate environments make corporate debt investments in Brazil & Mexico attractive and says long-term fundamentals for high-yield are positive.....

Europe Day Ahead: Spain to unveil "bad bank"
May 10 - The Spanish government is set to demand that the country's banks set aside another 35 billion euros to cover loans to the construction sector following the collapse in property values.....

3XSQ: Growth of mobile web hurting Facebook
May 10 - Facebook says its ad revenue isn't catching up with increase in mobile users. Also, eyeing Cisco and Coty......

Man and machine duet
May 10 - A French dance company has brought a CAT digger to life in an unusual duet between a man and an excavator. Sonia Legg reports.....

Greeks consider fresh elections
May 10 - As political parties struggle to form a coalition after Sunday's election, Greeks face the prospect of heading to the polls once again. Simon Hanna reports......

Spain takes over Bankia to steady sector
May 10 - Hoping to put an end to a four-year banking crisis, Spain's government has effectively taken over Bankia SA, one of the country's biggest banks, after days of market anxiety over the lender's viability. Ciara Sutton reports.....

Sports Spread: Premier League Final Day Thriller
May 10 - The 2011/12 Premier League season all hinges on one final round of matches this Sunday. Plus a look at the Barcelona Grand Prix......

Beijing set to expand its nuclear industry
May 10 - China sets long-term strategy to expand its nuclear industry, despite concerns over the controversial energy source. Sarah Sheffer reports......

Market Pulse: What's Moving Today and Why
Insider has its finger on the market pulse, analyzing and making sense of the biggest movers of the day......

Breakingviews: Markets unsure over Bankia deal
Breakingviews......

Reuters on the Road: Blottr boosts people-powered news
May 10 - Blottr founder Adam Baker takes the taxi challenge to talk about his citizen journalism service where anyone can capture and report the news......

Sleeping on the job during the Olympics
May 10 - With the London 2012 Olympic Games just a few months away some companies are taking extreme measures to ensure their staff don't get caught up in the travel chaos that threatens to disrupt journeys to and from work. Hayley Platt reports......

Economy 2012: Telekom Austria CEO on the business outlook
May 10 - Telekom Austria CEO, Hannes Ametsreiter, tells Insider how his company is faring in the current business climate......

Reuters Today: Spain combats banking crisis
May 10 - Spain takes over Bankia, Greece makes last attempt to form government, Sony reports record loss and art market breaks records at Sotheby's......

Data Freak: To be or not to be in India
May 10 - Some of India's regulatory risks are beginning to clear and the data suggests investors may want to stay invested in Asia's second-fastest growing economy......

Witness: What zero nuclear power looks like
' Chris Meyers tells us more......

U.S. Morning Call: Mobile hurting Facebook
May 10 - Facebook says mobile devices help attract new users, but not revenues from ads......

Cisco, News Corp beat the street
May 9 - Summary of business headlines: Cisco and News Corp both report better than expected results; Stocks weighed down by Euro concerns; Protesters march outside Bank of America meeting. Bobbi Rebell reports......

News Corp. Shakes off Scandal
May 9 - As News Corp. reports stronger than expected results, big questions remain about its ownership stake in BSkyB. Sasha Salama reports......

U.S. Day Ahead: Ben why aren't banks lending more?
May 8 - Fed Chair Ben Bernanke may finally shed light on why banks aren't lending more when he speaks at a Chicago Fed conference on the health of financials on Thursday......

JPMorgan shares slump 6.5pc after chief Jamie Dimon reveals unexpected $2bn trading loss
JPMorgan Chase shares fell 6.5pc in after-hours trading after it said it has taken an unexpected $2bn loss related to synthetic credit securities that were riskier than expected.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/327.....

Homeowners hit with biggest rise in mortgage costs since 2009
Homeowners were last month hit with the biggest rise in mortgage costs in almost three years despite interest rates remaining at a record low, according to Bank of England figures.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/3.....

Spanish banks need 100bn amid international aid warning
Spanish banks need 100bn (80.2bn) of extra capital which is "likely" to require international aid, analysts have warned, as Madrid prepares another attempt to rescue its financial sector alone.<img width='1' height='1' src='http://telegraph.feedsp.....

Trinity Mirror accused of double standards over chief Sly Bailey's pay
Sly Bailey may have resigned as chief executive of Trinity Mirror Group but that was not enough to see off accusations of corporate hypocrisy and a shareholder rebellion over her pay on Thursday.<img width='1' height='1' src='http://telegraph.feed.....

BA owner IAG sells bmi Regional for 8m
British Airways parent company International Airlines Group has signed a deal to sell the regional division of bmi for 8m, saving 330 jobs.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f3d1b6b/mf.gif' border='.....

It's too late for Germany to save the euro
The single currency could not survive Greece leaving it, predicts Jeremy Warner.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f3d1b6c/mf.gif' border='0'/><br/><br/><a href="http://da.feedspor.....

Companies must raise 28 trillion to finance 'wall' of debt
Companies across the world face a "perfect storm" as they have to raise more than 25 trillion to finance an upcoming "wall" of debt.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f3d994e/mf.gif' border='0'/>.....

Companies must raise 25 trillion to finance 'wall' of debt
Companies across the world face a "perfect storm" as they have to raise more than 25 trillion to finance an upcoming "wall" of debt.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f3ce410/mf.gif' border='0'/>.....

Pendragon scraps executive pay plan after revolt
Pendragon, Britain's largest car dealer, has scrapped its executive pay plan after becoming the latest victim of the "shareholder spring".<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f38ff28/mf.gif' border='0.....

SuperGroup growth slows for fourth quarter in a row
SuperGroup has played down suggestions that its Superdry fashion label is losing its appeal with shoppers after growth slowed for the fourth consecutive quarter.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f3.....

The annual meeting is very much alive and kicking
It wasn't long ago that many experts were predicting the end of the annual meeting.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f3cb435/mf.gif' border='0'/><br/><br/><a href="http://da.feeds.....

Market Report: Reckitt falls as Reimanns sell 4.9pc stake
The blue-chip index broke its losing streak but Reckitt Benckiser failed to benefit from the positive sentiment.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f3cb436/mf.gif' border='0'/><br/><br/&g.....

Debt crisis: as it happened - May 10, 2012
Democratic Left Party proposes an 'ecumenical government' formed from a coalition of all political powers in Greece which would rule until 2014.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f3c8d0a/mf.gif' bor.....

Chinese sovereign wealth fund stops buying European government debt
The eurozone has lost a crucial lifeline as China's biggest sovereign wealth fund said it no longer wanted to buy European government debt.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f3c8d0c/mf.gif' border='.....

Brent crude oil trade overtakes WTI for first time since 1995
Trade in UK Brent futures overtakes WTI for first time since 1995.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f3c2b57/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.com/r/1335.....

UK recovery gathering pace as world economy recovers, says OECD
Britain's recovery is gathering pace and the global economy has found its feet, the Organisation for Economic Co-operation & Development has said in its most upbeat assessment of world prospects for more than a year.<img width='1' height='1' s.....

Warren Buffett deserves applause for risking brand damage in election year
Warren Buffett is best known as an investor and allocator of capital.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f3bf365/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.com/r/1.....

Debt crisis: live
Democratic Left Party proposes an 'ecumenical government' formed from a coalition of all political powers in Greece which would rule until 2014.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f33a7ac/mf.gif' bor.....

BT raises dividend after demand for broadband and cost cuts lift profit
BT has raised its dividend and pledged a share buyback, after deep cost-cutting helped the telecoms giant to overcome a dip in revenues and deliver a double-digit hike in profits.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32.....

Outgoing L&G chief Tim Breedon to net 3m pay-off
Tim Breedon is set to walk away from Legal & General with a 3m pay-off when he stands down as chief executive of the insurer next month.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f3be25a/mf.gif' border=.....

HSBC in talks over sale of South American businesses
HSBC is in talks to sell several of its South American businesses as Britain's largest bank continues to cut back its international operations as part of a turnaround plan.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/5.....

Warren Buffett backs Coty's $10.7bn bid for perfume maker Avon
Billionaire investor Warren Buffett is backing an improved $10.7bn (6.62bn) offer from perfume maker Coty for Avon in a move that increases the pressure on the troubled door-to-door cosmetics seller.<img width='1' height='1' src='http://telegraph......

Demand for premium cars boosts dealers
Demand for premium cars in the UK is boosting sales for car dealers despite the economic uncertainty.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f3be25f/mf.gif' border='0'/><br/><br/><a hre.....

HMRC's tax tests for freelancers are "flawed"
An initiative designed to help freelancers comply with 'IR35' tax avoidance rules has been strongly criticised by business groups.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f3ba9e7/mf.gif' border='0'/>&l.....

Rio Tinto chairman Jan du Plessis 'cautious' over eurozone crisis
Rio Tinto, the FTSE 100 miner, sounded a cautious note on the world economy and the unravelling eurozone as it fended off shareholder calls for payouts.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/1f3b5df8/mf......