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Wednesday 24 October 2012

UK Financial News on 2012-10-24

Ford plans to shut Belgian plant
US car giant Ford announces plans to close its factory at Genk in Belgium and fears grow over the future of its Transit van plant in Southampton......

Nike agrees Umbro sale for $225m
Sportswear giant Nike agrees a deal to sell UK sports brand Umbro to US clothing company Iconix Brand Group for $225m......

Argos to close or move 75 stores
Home Retail Group, which owns Argos, announces a digital revamp for the catalogue retailer that will see 75 stores closed or relocated over five years......

Bank of America hit by fraud suit
Bank of America is being sued for $1bn for alleged mortgage fraud relating to loans it sold to US mortgage agencies Fannie Mae and Freddie Mac......

US bank boss jailed for two years
Former Goldman Sachs board member Rajat Gupta is sentenced to two years in jail after being found guilty on four counts of insider trading......

US unemployment 'elevated' - Fed
The Federal Reserve reiterates that the US economy is only growing slowly, and that the country's unemployment rate "remains elevated"......

SocGen rogue trader loses appeal
Former Societe Generale trader Jerome Kerviel loses his appeal against a five-year prison sentence for forgery and breach of trust, handed down in 2010......

Greece 'to get bailout extension'
Greece's Finance Minister, Yiannis Stournaras, says the country has been given more time to hit bailout targets......

Dyson accuses rival over 'mole'
Engineering firm Dyson accuses German rival Bosch of placing a mole within its headquarters in Wiltshire......

Huggies nappies ditched in Europe
Kimberly-Clark is to stop making and selling Huggies nappies in most of Europe and is closing its Barton plant near Hull......

Olympics effect to boost UK GDP
The Olympics are expected to help the economy show growth in the third quarter of the year, suggesting the double-dip recession is over......

Euro business activity dips again
Business activity in the eurozone contracted at its fastest pace in almost three-and-a-half years in October, a survey suggests......

UK tax rules face court scrutiny
A court will decide whether the UK has "disproportionate" differences in two tax rules for those operating within the EU and within the UK......

1.6bn North Sea oil bid approved
A 1.6bn plan to extend the life of North Sea oil fields has been approved by the UK government......

Council equal pay appeal bid lost
A total of 174 ex-Birmingham City Council workers can go ahead with compensation claims over missed bonuses after the council loses its appeal......

EU warns Microsoft on browsers
The European Commission has given Microsoft a formal warning for failing to obey an order to give customers a choice of internet browsers......

Pensioners' income 'on the rise'
Most pensioners are considerably better off than the previous generation, with incomes rising nearly every year since 1977, official figures show......

Flight delays must be compensated
Airlines must pay compensation to passengers who are delayed by three hours or more, the European Court of Justice rules......

Incomes 'down 13% in four years'
Incomes have suffered much more heavily since the current economic crisis began than in the aftermath of the UK's two previous recessions, figures show......

Hong Kong in more currency action
Hong Kong's central bank intervenes in financial markets again, weakening its currency after it jumped in value......

New EU fishing deal criticised
EU ministers agree to channel more funds into reducing overfishing - yet critics say the original EU plan was stronger......

Chinese factories hint at rebound
Levels of manufacturing in China are continuing to contract, but at a slower pace in October, signalling the possibility of a gradual recovery, according to HSBC......

Huawei offers access to equipment
China's Huawei offers to give Australia unrestricted access to its software source code and equipment, as it looks to ease fears that it is a security threat......

Facebook reports quarterly loss
The world's number one online social network site, Facebook, enjoys a 32% jump in third quarter revenues, but it still reports a loss......

Peugeot secures government funds
Carmaker Peugeot Citroen is asked to scale back planned job cuts after securing a 7bn euros state guarantee for its finance division, Banque PSA Finance......

Olympic legacy 'bypassing women'
A women's charity claims female competitors are being denied the chance to capitalise on the legacy of the London Olympics......

Armstrong 'must return Tour cash'
Lance Armstrong should be made to repay his prize money from winning seven Tour de France titles, says the race's director......

Goal-line technology moves closer
Fifa authorises two goal-line technology companies to install their systems in stadiums across the world......

VIDEO: How to join the 'energy revolution'
A scheme which has saved energy customers thousands of pounds in parts of Europe could hold the key to lowering prices in the UK......

VIDEO: Chancellor teased over rail ticket
Labour leader Ed Miliband has teased the Chancellor for making a journey from Cheshire to London with a standard class ticket in a first class seat on a Virgin service......

VIDEO: Equal pay: Landmark ruling
Former council workers in Birmingham have won a landmark equal pay compensation case at the Supreme Court which could benefit thousands of others......

VIDEO: Would you help fund this band?
John Maguire went to meet the entrepreneurs who want internet users to come up with the cash for their pet projects......

AUDIO: The 'illegal eyes and ears' of Wall Street
The former Goldman Sachs director Rajat Gupta will be sentenced later today, a year after the Wall Street executive was convicted of passing boardroom secrets to the now imprisoned hedge fund founder Raj Rajaratnam......

VIDEO: New food labelling system agreed
A consistent system of front-of-pack food labelling will be introduced in the UK next year, the government says......

VIDEO: Huawei offers Australia access to software
Huawei has offered to give Australia unrestricted access to its software source code and equipment, as it looks to ease fears that it is a security threat......

AUDIO: Is handwriting the key to a job?
Some companies are analysing handwriting as a way to sift the best from the rest......

Japan's women: The new drivers of growth?
Can increasing the number of women in workforce boost Japan's growth?.....

Brown wants Malala day of action
Gordon Brown calls for global day of action for Malala.....

Dreams to despair for Egypt's young
Egypt's young revolutionaries struggle with weak jobs market.....

Waterstones upbeat on Kindle deal
The boss of Waterstones explains why he's decided to sell Kindles.....

Saving or investing - what is best?
How risky is it to invest your long-term saving?.....

Afghanistan's telecom sector evolves
Afghanistan telecom sector evolves after decades of conflict.....

Connecting Mogadishu to the world
How Somalia is rebuilding with the help of internet connectivity.....

U.S. Day Ahead: iPhones set to drive up Apple's profits
Oct 24 - Apple is expected to see its profits grow thanks to the runaway success of its iPhone. But analysts are concerned it may miss its iPad sales target......

Saft Says: Bernanke successor will be Bernanke part two
Columnist James Saft says it is likely Bernanke's successor will not change most Fed policies......

Live from the Treasury lockup-FOMC statement
Correspondent Pedro Da Costa brings you the Federal Reserve's statement following its 2-day policy meeting......

Trading at Noon: Facebook soars and Netflix sinks
Oct 24 - Investors friend Facebook, Netflix sinks further and Zynga sends workers packing......

Breakingviews: Facebook answers mobile call
Oct 24 - Jeffrey Goldfarb and Breakingviews columnists discuss Facebook's strides in mobile advertising and the $8 billion of market value created as a result......

SocGen rogue trader loses jail appeal
Oct. 24 - French appeal judges uphold a three-year prison sentence handed down to former Societe Generale trader Jerome Kerviel, for his role in taking huge, risky bets that cost the bank 4.9 billion euros......

Ford to axe more than 4,000 jobs in Belgium next year
Oct. 24 - Ford Motor Company will close a factory employing 4,300 workers in the Belgian town of Genk in 2014, as the U.S. automaker tries to stem losses in Europe and match capacity to tumbling demand......

SocGen rogue trader loses appeal
A French appeals judges has upheld a three-year prison sentence handed down to former Societe Generale trader Jerome Kerviel, for his role in taking huge, risky bets that cost the bank 4.9 billion euros. Ciara Sutton reports......

Draghi defends ECB's mandate after Bundestag grilling
Oct. 24 - European Central Bank President Mario Draghi faced questions from German lawmakers who fear his bond-buying plan to ease the debt crisis could fuel inflation and undermine the ECB's independence......

Europe Day Ahead: Euro earnings gloom deepens
Oct. 24 - Daimler, Renault, BASF and Credit Suisse are just a few of the European firms due to report earnings tomorrow, and analysts aren't expecting much cause for cheer......

Wealth Strategies: IPO process outdated- Fidelity's Conroy
Oct. 24 - Fidelity Capital Markets' Brian Conroy says the botched Facebook IPO shows how efficient investors expect U.S. markets to be, but points out the IPO process must change to match the market's speed......

3XSQ: Facebook, Boeing buoy stock market
Oct 24 - Boeing posted stronger-than-expected results for the third quarter while Facebook's ad revenue grew at a faster-than-expected pace......

U.S. Morning Call: Mobiles, guns & money before the bell
Oct 24 - Northrop Grumman reported a lower quarterly profit but raised its full-year forecast. General Dynamics also saw third-quarter earnings slide 8 percent as margins fell......

Market Pulse: Carmakers skid, euro zone data deepens gloom
Oct. 24 - The mood darkens in the euro zone as PMI numbers hit their lowest level in over three years, and Peugeot says it's taking a government bailout for its financing arm......

Get ready for euro zone break-up - Faber
Oct. 24 - Veteran investor Marc Faber predicts some countries will have to leave the euro zone within five years and warns the S&P could plummet 20 percent from its recent highs in 2013......

Daily Digit: Puma profits crash
Oct. 24 - Sports apparel maker Puma said it was looking at more cost cutting as it reported third-quarter results below expectations, hit by a slowdown in Europe and China. Hayley Platt reports......

Breakingviews: Rosneft's Russian roulette
Oct. 24 - Oil is vital to the Russian economy and Rosneft is taking a gamble that it won't stifle competition and its own effectiveness by taking over TNK-BP's oil fields, say Breakingviews......

Reuters Today: More breathing space for Greece?
Oct. 24 - German broadsheet Sueddeutsche Zeitung reports that Greece will get two extra years to reach its fiscal target. ECB's Draghi is headed for the lion's den of the Bundestag to explain bond buying plans......

SAP co-CEO McDermott: pipeline strong, focus organic growth
Oct. 24 - SAP's co-CEO Bill McDermott is upbeat on the future and says businesses around the globe continue to invest in software after the world's biggest business software maker ups its forecast......

Daily Digit: China survey adds weight to rebound view
Oct. 24 - 49.1 is the latest reading for the China HSBC Flash Manufacturing Purchasing Manager's index - a three-month peak and the latest sign economic growth may be picking back up. Tessa Dunlop reports......

Apple's new iPad Mini and the Great Tablet Wars of 2012
Apple's iPad Mini is just the start - by year end the market will be flooded with new tablets competing to lure users on price, size and speed......

Ford to close Belgium plant
Oct.24 - Ford is to close its assembly plant in Belgium with the loss of more than 4500 jobs as it tries to stem losses in Europe as demand tumbles. Ciara Sutton reports......

FACTBOX: Apple jumps into the smaller tablet market
Oct 23 - Apple will begin to sell a mini-iPad on Friday to compete with Amazon.com's Kindle and other smaller tablets, but it set a higher-than-expected price tag of $329 that investors fear could curb demand......

iPad mini joins tablet turf war
Oct 23 - Apple introduces a smaller, cheaper version of its popular iPad, the iPad mini, hoping to fend off creeping competition in the tablet market. Jeanne Yurman reports......

Wall St. slammed by weak sales
Oct. 23 - Summary of business headlines: Stocks slump as weak sales and somber outlooks from DuPont, United Technologies, 3M, and UPS dent sentiment; Apple investors find iPad mini price unappealing; Facebook beats sales forecast; Netflix subscriber .....

Bundesbank slashed London gold holdings in mystery move
Germany withdrew two thirds of its vast holdings of gold from Bank of England vaults shortly after the launch of the euro more than a decade ago, according to a confidential report that emerged on Wednesday.<img width='1' height='1' src='http://te.....

Hard-to-tax companies should make other contributions to society
Puzzlement over why some high profile overseas companies aren't paying "enough" tax reached Number 10 on Wednesday when the Prime Minister demanded the Revenue look at the issue.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/327.....

Reckitt Benckiser rises on polished performance
Shares in the FTSE 100 group surged to a record high in trading today.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/24d6d5bc/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.com/r/.....

This is an assault on living standards set to run and run
Close to the start of the economic crisis, someone I've always considered one of the City's more astute practitioners privately ventured what seemed a somewhat startling prediction - by the time it was all over, average living standards in Britain an.....

Good News Britain: North Sea tax break helps UK energy security
1.6bn investment will extend the life of fields in the North Sea.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/24d6bfc1/mf.gif' border='0'/><br/><br/><a href="http://da.feedsportal.com/r/14865.....

Talisman invests 1.6bn to prolong North Sea oil fields
Oil company Talisman Energy is to invest 1.6bn in extending the life of fields in the North Sea, as a result of tax breaks unveiled by the Treasury last month.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/24d66.....

Sir Tom Hunter blasts Government's economic policy
Sir Tom Hunter, the Scottish entrepreneur and philanthropist, has attacked the Government's economic policy and called for the Chancellor to use the Budget to give the economy a "shot in the arm".<img width='1' height='1' src='http://telegraph.fee.....

Foreign firms face tax crackdown in UK and Europe
Foreign companies face a tax crackdown as David Cameron demanded an investigation into claims of large-scale avoidance while Brussels moved to close European loop-holes enjoyed by Amazon, Skype and Netflix.<img width='1' height='1' src='http://tel.....

Factory data takes gloss off return to growth
Hopes that the return to economic growth expected to be confirmed on Thursday would signal the start of a lasting recovery have been dented by a sharp slump in factory orders.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/.....

Germany not immune to eurozone slowdown
Germany is not immune to the contraction in the eurozone, as the European Central Bank's Mario Draghi defends bond-buying and Greece claims an austerity victory.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/24d.....

US sues Bank of America for $1bn over 'toxic' loans
The US government has launched a $1bn (624m) lawsuit against Bank of America, alleging that it fraudulently issued "toxic" loans that led to losses for American taxpayers.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/56.....

Argos signals beginning of the end for catalogue
Argos has signalled the beginning of the end for its trademark catalogue after almost 40 years as part of a 300m drive to modernise the high street retailer.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/24d63a0.....

Pensioners' investment income at 1977 levels
Pensioners have suffered a dramatic fall in their investment income in the past 20 years, with levels dropping almost to where they were in 1977, official figures have shown.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f.....

Small businesses have 'vital' bank overdrafts cut
Almost three out of four small businesses have seen their overdraft limit reduced by their bank over the last year, despite many entrepreneurs saying they rely on it as a "vital backstop" to keep their companies afloat.<img width='1' height='1' sr.....

Microsoft censured by Brussels over browser concerns
Microsoft risks a hefty fine after Brussels issued a formal complaint over its failure to allow Windows users an "easy" choice of rival internet browsers.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/24d63a07/m.....

Societe Generale rogue trader Jerome Kerviel appeal dismissed
Former trader Jerome Kerviel has been ordered to spend three years in prison and pay back 4.9 billion euros (3.9 billion) in damages for one of the biggest trading frauds in history.<img width='1' height='1' src='http://telegraph.feedsportal.com/c.....

Debt crisis: as it happened - October 24, 2012
ECB President Mario Draghi has defended his bond-buying plan to ease the eurozone's debt crisis, telling German lawmakers that bond purchases won't fuel inflation, jeopardize the bank's independence or put taxpayer money at risk.<img width='1' hei.....

Debt crisis: Draghi defends bond-buying plan - live
ECB President Mario Draghi has defended his bond-buying plan to ease the eurozone's debt crisis, telling German lawmakers that bond purchases won't fuel inflation, jeopardize the bank's independence or put taxpayer money at risk.<img width='1' hei.....

Bank of England transfers pensioners' wealth to the young, official report admits
Wealth is being transferred from pensioners to younger generations because the Bank of England has failed to control inflation, an official report has suggested.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/24d.....

David Cameron's 'good news' hint at Prime Minister's Question Time
David Cameron faces accusations that he may have broken the law at Prime Minister's Questions by hinting at improved GDP figures during, market-sensitive information that it is illegal to reveal ahead of their official announcement.<img width='1' .....

Guardian moves towards compulsory job cuts
The publisher of The Guardian and The Observer has proposed making compulsory job cuts amongst its newspaper journalists<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/24d4e843/mf.gif' border='0'/><br/>&.....

Equal pay ruling 'adds to the woes of businesses'
The Telegraph's Jobs Editor Louise Peacock says the landmark ruling by the Supreme Court on how and when employees can bring equal pay claims may be good news for workers but it will be a major headache for businesses trying to weather the grim econo.....

Equitable campaigners protest at annuity 'absurdity'
The plight of thousands of pensioners who are shut out of a 1.5 billion Equitable Life compensation scheme was to be highlighted in a demonstration outside Parliament today.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/.....

Facebook shares soar 22pc on mobile hopes
Facebook shares look set for their best ever day after signs the social networking site can make money from its mobile users sparked a buying frenzy.<img width='1' height='1' src='http://telegraph.feedsportal.com/c/32726/f/568300/s/24d49272/mf.gif.....

Debt crisis: eurozone declines further - live
ECB President Mario Draghi has defended his bond-buying plan to ease the eurozone's debt crisis, telling German lawmakers that bond purchases won't fuel inflation, jeopardize the bank's independence or put taxpayer money at risk.<img width='1' hei.....