News

Your daily news update straight from the City PM newsroom in London

Bankers think bonuses will break records

October 29, 2009

DESPITE protests from politicians and taxpayers against multi-million pound payouts, bankers expect this year’s bonus payments to break records, according to a new poll. One in ten executives expect their best ever payout this year while the majority of traders, analysts and fund managers believe their bonus will either increase or not change. And despite [...]
Threshers owner hires KPMGas administrators

October 29, 2009

FIRST Quench Retailing, the owner of off-licence chains Thresher and Wine Rack, yesterday said that it has appointed KPMG as administrator. The Board said it had not been able to inform colleagues and employees of impending job uncertainty before the news surfaced. KPMG said that the “best prospect for the business is a sale as [...]
Lovells and USrival to push on with merger

October 29, 2009

LONDON law firm Lovells and US rival Hogan & Hartson yesterday said they had received unanimous support from management of both firms to combine their partnerships. Management at Hogan & Hartson and Lovells will now make recommendations to their respective partnerships to go forward with the proposed merger of equals. A merger between the two [...]
Exxon Mobil profits dive on oil slump

October 29, 2009

OIL SUPERMAJOR Exxon Mobil slashed its spending outlook for the year yesterday as it reported a 68 per cent slump in third-quarter earnings on the back of a poor trading environment. The world’s biggest oil company said its profits fell to $4.73bn (£2.9bn), down from $14.83bn a year ago, as oil prices fell and its [...]
Why Britain’s recession is lasting longer than others

October 29, 2009

YESTERDAY’S US GDP figures were very good news for the world economy. The US has followed France, Germany, Japan and most other major economies out of recession. Britain now stands out as the laggard. The Prime Minister’s claim that we were “best placed” now lies in tatters, and his recession plan has patently failed. Why [...]
UK consumers at most confident in nine months

October 29, 2009

BRITISH consumers are now at their most confident since January 2008, showing a steady rise in optimism, according to the latest GfK/NOP consumer confidence survey. The index rose three points to -13 and confidence in the general economy over the past 12 months jumped 10 points, but is still low, at -53. However, consumers’ confidence [...]
Shell slashes staff as profit disappoints

October 29, 2009

OIL GIANT Royal Dutch Shell said yesterday it was cutting 5,000 jobs in a massive cost-cutting drive, as it reported disappointing profits and a gloomy outlook for 2010. Pre-tax profits slumped 73 per cent to $4.6bn (£2.8bn) for the third quarter. Shell said staff in its upstream arm would have to reapply for 15,000 new [...]
WILL SHELL’S RESTRUCTURING PLANS COME TOO LATE?

October 29, 2009

CHRISTINE TISCARENO STANDARD & POOR’S“We believe the company’s restructuring efforts will be more visible in the first half of next year, but the challenging global environment leads us to believe that overall margins will continue to deteriorate at Royal Dutch Shell in the fourth quarter and in the first quarter next year.” JONATHAN JACKSON KILLIK [...]
Aegon set to repay state

October 29, 2009

DUTCH insurer Aegon yesterday said it would repay €1bn (£896m) of state aid pumped into it last year. The company, which sealed a deal for state assistance in October last year, said it would give back the remaining €2bn “at the earliest possible opportunity”. Aegon saves between €350m to €375m in premium payments by repaying [...]
FSA imposes massive fine on GMAC-RFC for overcharging

October 29, 2009

THE financial services authority (FSA) slapped home loans provider GMAC -RFC with the biggest ever mortgage-related fine seen in the UK yesterday, accusing it of overcharging and dealing unfairly with customers in arrears. GMAC-RFC will have to pay a 2.8m fine, and repay 7.7m in unfair or excessive charges to 46,000 customers. It’s the biggest [...]