Boots cuts nearly a third of its head office 15 Jan 2004 There s clearly a lot of fat to cut at the UK chemist, which plans to reinvest some of the proceeds in lower prices. Its plan is for volumes to pick up the slack. But with prices still higher than rivals, Boots may not staunch its market share decline.
iPod breaks free from Apple history 15 Jan 2004 The computer company has a history of seeing others profit from its ideas but it looks set to break this with iPod. Apple s dominance of online music sales ensures there will be a ready stream of iPod buyers.
Reuters turns the corner 15 Jan 2004 Sales may still be falling, but it looks like the worst is over for the information provider. It now needs to drum up enthusiasm for its new products while it plugs on with restructuring. The signs so far are encouraging.
Amvescap confesses to market-timing breaches 15 Jan 2004 The AngloUS fund manager last year denied, publicly and vigorously, accusations that it allowed dodgy trading in its mutual funds. Now it is backpeddling. Its previous carefullyworded defence of itself looks specious. At best, Amvescap seriously misjudged the issue.
IBM’s earnings rise 42% 15 Jan 2004 The weak dollar juiced IBM earnings in the fourth quarter. Demand still looks weak, but the tech cycle's progress will help the company s service and software divisions.
US mobile deal could unsettle European telcos 14 Jan 2004 A potential deal between Cingular Wireless and AT&T Wireless would have transatlantic repercussions. Deutsche Telekom would be stuck as a bit player in US mobile. And Vodafone would be trapped in its uneasy alliance with Verizon.
UK music industry cracks down on piracy 14 Jan 2004 It s about time too. The industry hopes to get pirates to actually pay for their music. But even if they do, the business model for online sales may not stack up.
Dollar takes bite out of bonuses 14 Jan 2004 Last year was a good one for most bankers, but those working for US firms are feeling the pinch from the sliding greenback. Goldman bonuses, for example, came in this week higher than the year before, but needed to rise by nearly 15% just to offset the buck.
Prudential in talks to sell egg 14 Jan 2004 The UK insurer risks coming over as a forced seller. But having cut the dividend to conserve capital, Prudential should have a strong hand. After a difficult few years, dumping egg on the cheap would surely be one slip too many for chief executive Jonathan Bloomer.
JP Morgan to buy Bank One 14 Jan 2004 The $58bn deal creates a global financial juggernaut and the first with the capital to take on Citi. All of Wall Street must take notice. It also marks the triumphant return of Bank One CEO Jamie Dimon to Wall Street, where he will take on the bank he helped Sandy Weill build.
Adecco compounds error with botched disclosures 14 Jan 2004 The Swiss staffing company s disclosure of weak accounting controls is being handled incredibly poorly. What s worse, Adecco is playing favourites in releasing information and Swiss market regulators are looking the other way.
Tesco looks for £1.6bn 13 Jan 2004 Tesco has a lot of plans for the cash. And with its stock up 60% since the trough in March, this is a good time for it to sell shares. The UK group raised almost £800m in a share placement, and is looking to squeeze that much again out of property and working capital.
Bank of England/BCCI case is tale of two Cities 13 Jan 2004 It is a reminder of how much the City of London has changed in the last decade. Gone is the informal regulatory system presided over by the Bank Governor's eyebrows along with the bowler hat and the long lunch.
Shell highlights flaws of dual listings 13 Jan 2004 The oil giant is a classic example of the doubleheaded genre. It is cumbersome, slow moving and bureaucratic. Unpicking this structure, however, may not be the best solution for Shell investors infuriated by last week's reserves restatement.
Standard Life admits to demutualisation plan 13 Jan 2004 The mutual insurer has all but announced it is heading for a float that could value it at up to £7bn. It has even appointed a new chief. The UK regulator, which has exposed the fact that its capital isn't as strong as once thought, has effectively forced the move.
Malone gears up for European cable M&A 13 Jan 2004 The US cable mogul has not only taken control of UGC Europe, the former UPC; he has launched a $1bn rights issue to do deals. Malone has not been put off by previous failed attempts to gobble up European cable. His investors seem enthusiastic too.
EMI might try to scupper Sony BMG deal – FT 13 Jan 2004 It s not the merger itself that appears to bug EMI, but the fact that Sony BMG might get special treatment from its parent companies. But it would still amount to a poor display of bad sportsmanship on the part of EMI.
Lloyds TSB loses finance director after clash 13 Jan 2004 Philip Hampton seems to have disagreed with chief executive Eric Daniels on several key issues. Daniels seems to find it difficult to take alternative views from a senior colleague.
Citigroup may be staring at huge loss on Infineon 12 Jan 2004 The bank's drive to buy market share in share placements with aggressively priced bids appears to have backfired. In a disaster reminiscent of Goldman Sachs's and Deutsche Bank's experience with Vivendi Universal, Citi may have lost nearly E50m.
M&S recovery fears mount 12 Jan 2004 Christmas may not have been a gift to the British high street. But it looks like the shopping giant had a harder time than most. Unless Marks & Spencer gets a grip on its clothing sales, its recovery could slip into reverse.
Another slap on the chic for analysts 12 Jan 2004 A French court has found Morgan Stanley guilty of defaming LVMH in some of its harderhitting investment research. Following the ruling, the pressure on analysts everywhere to sanitise their research can only grow.
Adecco savaged after revealing weak controls 12 Jan 2004 The world's leading recruitment company has had to delay its results after discovering weak internal controls in the US and elsewhere. Given the paucity of information revealed by Adecco and recent scandals like Parmalat and Ahold investors understandably fear the worst.
Italian risk premium returns 9 Jan 2004 Parmalat has surely soured investors ardour for Italy and rekindled old suspicions about cooked books and ineffective regulators. Yet by one measure, Italian stocks command a premium. That may be deserved, but it won t deter underperformance.
Emerging market bonds sell like hot cakes 9 Jan 2004 Bond prices are at record highs, spreads are tight, yet investors can t seem to get enough. Their demand for new issues is insatiable. A few years ago this sort of euphoria usually prefaced a crash. Today the rally looks more sustainable.
You can’t be sure of Shell 9 Jan 2004 Another booboo from the oil giant. Shell has cut its estimate of proved reserves by a whopping 20%. This is equivalent to lopping $7bn off future cash flows. The firm has not adequately explained why it overestimated in the first place.
3G equipment orders start to flow 8 Jan 2004 Verizon Wireless, a Vodafone joint venture, will reportedly spend $1bn over two years to roll out a wireless highspeed data network. The plans are a start, but equipment makers are priced for much, much more.
Questions raised over another Italian group 8 Jan 2004 What Grant Thornton audited company holds cash equivalent to over 70% of its gross debt and keeps raising money? No, it's not Parmalat. But there are striking similarities between the behaviour of the dairy group and small software firm Finmatica.
Airline investors get greedy 8 Jan 2004 Investors and travellers are shrugging aside security concerns and pouring into airlines. For BA at least, it all comes down to whether December's pickup in longhaul business traffic is here to stay. It may still be a bumpy ride.
Nokia blows through estimates 8 Jan 2004 The Finnish mobile phone maker has fixed two stubborn problems and its earnings will reflect it. The company has raised the price it charges per phone and resolved its troubled infrastructure division s problems.
Standard Life under scrutiny over solvency 8 Jan 2004 A dispute between the giant mutual insurer and the UK regulator has been exposed. The issue, solvency, couldn t be more serious. That could give ammunition to the dogged moves by some policyholders to get it to sell up.