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FTSE 100 5,906.43 +37.47 DOW 12,493.69 +46.81 NASDAQ 2,796.50 +14.59 /$ 1.61 +0.02 / 1.13 unc /$ 1.42 +0.02
Moodys
puts US on
review for
downgrade
MARKETS dropped after Moodys put
the US on review for a downgrade last
night, citing a lack of meaningful
progress in negotiations to raise the
debt ceiling.
Analysts said that any US default
due to a failure to take the legal cap
off its spending would turn financial
markets upside-down, turning the
worlds risk-free rate into junk
overnight.
The dollar dropped 1.2 per cent
against the euro and rallies in the Dow
and Nasdaq were cut short as markets
turned their attention to the gridlock
in Washington that has reportedly
seen President Barack Obama storm
out of one meeting in a rage.
Despite some signs of progress, the
Republican House majority leader Eric
Cantor said that legislators are still
very far apart from the White House
on the deficit, and claimed that before
walking out of negotiations Obama
declared: Dont call my bluff. Im
going to the American people.
Regulators and analysts both agree
that even a temporary default involv-
ing several missed payments would
be catastrophic, with Federal Reserve
chair Ben Bernanke saying it would
amount to a major crisis.
Moodys warned: There is a small
but rising risk of a short-lived default
An actual default, regardless of dura-
tion, would fundamentally alter
Moodys assessment of the timeliness
of future payments, and an AAA rat-
ing would likely no longer be appro-
priate.
A note by analysts at Bank of
America says that US Treasuries per-
form a critical function as a safe
haven in money markets, with any
stoppage in payments likely to threat-
en this status permanently.
Citigroups Steven Wieting, mean-
while, simply compares a US default to
suicide. Its nearly unthinkable, he
says.
ALLISTER HEATH: P2
BY JULIET SAMUEL
US ECONOMY
MURDOCH
RETREATS
www.cityam.com Issue 1,424 Thursday 14 July 2011 FREE
BUSINESS WITH PERSONALITY
Certified Distribution
02/05/11 till 29/05/11 is 103,467
TYCOON ABANDONS SKY BID FOR NOW
l Rupert Murdoch was yesterday
left counting the cost of his failed
bid for Sky. Picture: REUTERS
RUPERT Murdochs bid for BSkyB
came crashing to earth yesterday
after News Corp caved in to intense
political pressure and ended its pur-
suit of the broadcaster.
The shock decision marks
Murdochs darkest day in his 42
years in the British media industry.
News Corp acknowledged that
proceeding with its much maligned
attempt to buy the 61 per cent of
BSkyB it doesnt already own would
prove too difficult in the firestorm
political climate.
In typical show-stealing fashion,
Murdoch pulled the bid just hours
before MPs were due to vote on a
motion opposing it.
The vote went ahead regardless
passing with no opposition after a
long debate in which Gordon Brown
made his first major speech in the
Commons since stepping down as
Labour leader.
In a rare show of unity, David
Cameron branded News
Internationals actions a disgrace
and set in motion a wide-ranging
inquiry into the press, to be led by
Lord Justice Leveson.
Ed Miliband, the Labour leader,
said the days events were a victory
for people up and down this country
who have been appalled by the reve-
lations and the failure of News
International to take responsibility.
Murdoch is now left to count the
cost of the failed bid. He is already
liable for a 38.5m break fee, to be
paid to Sky, after withdrawing the
bid and is disallowed from making a
new approach for at least six
months.
News Corp shares gained 3.78 per
cent yesterday to close at $15.93,
recouping some of the $6bn
(3.75bn) it has seen wiped from its
market value since the latest wave of
revelations hit the firm last week.
BSkyB closed at 705p, after fluctu-
ating wildly during the day. Before
the announcement, the stock hit a
low of 665p, on a day when more
than 27m shares changed hands
nine times the average trading vol-
ume. Even with yesterdays late gain,
Sky has seen more than 2.5bn
wiped from its value.
Other losers from the biggest
M&A collapse of the year include
Sky advisers Morgan Stanley, UBS
and Bank of America Merrill Lynch,
and News Corps banks Deutsche
Bank and JP Morgan, who were
poised to collect a combined $90m
in advisory fees upon completion of
the transaction.
Meanwhile, Murdoch now faces a
gathering storm across the pond in
the US, where two senators have
called on the Justice Department to
investigate whether News Corp has
broken any US laws. MORE: P 4-5
BY STEVE DINNEEN
MEDIA
News
2 CITYA.M. 14 JULY 2011
Debt to pass
100pc of GDP
A POPULATION time-bomb will see
UK national debt total more than 100
per cent of GDP if future governments
do not go beyond current efforts to
eliminate the annual deficit.
Despite the national debt being
expected to drop to around 60 per
cent of GDP by the mid-2020s, it could
hit 107 per cent by 2060-61 as people
live for longer, the governments fiscal
watchdog announced yesterday.
These authoritative forecasts rein-
force the necessity for the govern-
ment to stick to the current fiscal
consolidation programme, respond-
ed Citigroups Michael Saunders,
especially measures such as public
sector pensions and the retirement
age that have large effects in the
longer term.
Further long-term fiscal consolida-
tion measures may also be needed,
Saunders added.
Spending cuts or tax rises equiva-
lent to 0.5 per cent of GDP every
decade could be required to avert the
debt build-up, the Office for Budget
Responsibility (OBR) calculated.
There is considerable uncertainty
surrounding the scale of the fiscal
challenge that confronts future gov-
ernments, the OBR said in its report,
but the fact there is such a challenge
is not in doubt.
The announcement coincided with
the Treasury publishing government
accounts to private sector standards
for the first ever time.
As revealed in City A.M. earlier in the
week, the Treasury declared that pub-
lic sector pension liabilities hit 1.1
trillion in the fiscal year 2009-10.
CITY VIEWS ON THE UK DEBT: P7
BY JULIAN HARRIS
UK ECONOMY
The real bombshell that will hit us all

TOMORROW evening, a bombshell
will hit the economy. No, Im not refer-
ring to the latest explosion to rock
Rupert Murdochs empire; that story,
while a fascinating tale which could
permanently change the face of UK
politics and media, doesnt threaten to
plunge the world back into crisis. The
real flashpoint will be the release of
Europes banking stress tests at the
bizarre time of 5pm on Friday. The like-
ly failure of at least some players on
the continent (unless the tests are a
total joke) combined with the abject
lack of any plan to deal with the fall-
out by the authorities could mean seri-
ous trouble by Monday. One way or
the other, all the signals are flashing
red in the Eurozone: several senior
sources have expressed concern to me
that a 2008-style liquidity and solvency
crisis (depending on the country and
institution) could be on the cards
again. We are not there yet, of course,
but only a fool would deny that the
Eurozone crisis is now a massive threat
to the global economy.
To make matters worse, the US is
also on the brink: time is running out
for politicians to agree to increase
their national debt limit. Last night,
Moodys warned that it was putting
the US on downgrade watch, a poten-
tially cataclysmic event. Failure to
reach a deal could trigger a default on
US bonds; as Citi puts it, asking what
the economy might look like after a
possible Treasury default is akin to ask-
ing what will you do after you commit
suicide. While the UK banks will pass
the stress tests, a Eurozone implosion
or US default will affect everybody.
Even if the worst is avoided, the ten-
sion and angst already created is start-
ing to have a real effect. Decisions are
being put on hold; investments are not
happening. And instead of being free
to focus on these eventualities, the
Citys top firms are spending much of
their time talking to regulators and
politicians.
While the spotlight has moved away
from banking with tabloid journal-
ists now the latest whipping boy for
public opinion it remains the case
than none of the industrys issues have
gone way. Talks are still ongoing
between banks and the Independent
Commission on Banking; the defini-
tion of the ring-fence and of what will
be inside and outside remains frustrat-
ingly unclear. The discussion will prob-
ably end by the end of the month.
There remains a deep worry at the very
highest level of UK banking about
whether the authorities actually want
large financial firms to be based in
Britain; the idea that no bank will ever
leave the UK, which has become the
consensus over the past few months, is
absolutely wrong. In fact, if the ICBs
rules make it even more disadvanta-
geous to operate a global universal
bank from London then Im more cer-
tain than ever that one or more will
eventually quit the UK.
To make matters even bleaker, the
UK is facing another economic soft
patch. The latest (goodish) jobs figures
demonstrate this. Total employment
increased 50,000 on the quarter (good,
but not as good as in the previous
three months) and by 309,000 on the
year.
But the rate of growth is slowing
and the total number of hours worked
fell 0.1 per cent year on year, a sign
that the demand for labour is weak .
Britain is facing a perfect global storm.
Its not as exciting as chronicling the
woes of a media baron, for sure, but
the next few weeks will be critical for
the prosperity of hundreds of millions
of people across the Western world.
allister.heath@cityam.com
Follow me on Twitter: @allisterheath
OIL major BP yesterday said it planned
to launch a 3bn development of a
North Sea field, despite the govern-
ments decision to raid the profits of
firms operating in the waters.
As part of one of the biggest invest-
ments in the North Sea in the last 10
years, BP said it would install a new
floating production platform to tap
the Schiehallion and Loyal oil fields to
the west of the Shetland Islands.
BP said the fields, which have pro-
duced nearly 400m barrels of oil since
they started production in 1998, had
around 450m barrels still to produce.
Justine Greening, economic secre-
tary to the Treasury, said the invest-
ment showed the North Sea was still
attractive to oil companies even after
the UK upped taxes earlier in the year.
BP is under pressure to demonstrate
its strategy to shareholders, after a
planned $16bn shares swap and Arctic
exploration deal with Russias Rosneft
fell apart earlier this year.
BY HARRY BANKS
OIL & GAS
BP plans North Sea field

Justine Greening said BPs investment showed the tax rise hadnt put companies off
NEWS | IN BRIEF
Capital One profit up 50 per cent
Capital One Financial said yesterday its
second-quarter profit jumped 50 per
cent as fewer customers defaulted on
credit cards, a sign consumer loans
might be a bright spot for other major
banks. Capital One also raised $2bn
through a stock offering yesterday, sell-
ing 40m shares at $50.87 each. The
bank had said the issue would fund its
previously announced acquisition of ING
Groeps US online bank.
Chinese growth slows slightly
Chinas annual GDP growth eased to 9.5
per cent in the second quarter of 2011
from 9.7 per cent in the previous quar-
ter, the National Bureau of Statistics
said yesterday. But the growth rate was
stronger than market expectations of
9.4 per cent. China's GDP in April-June
was up 2.2 per cent from the first
quarter of 2011 on a seasonally adjusted
basis, the statistics agency added. It
marked a slight acceleration from the
2.1 per cent recorded in the first quarter
of this year. Industrial output rose 15.1
per cent in June from a year earlier,
according to separate data released by
officials.
EDITORS LETTER
ALLISTER HEATH
Editorial Statement
This newspaper adheres to the system of
self-regulation overseen by the Press Complaints
Commission. The PCC takes complaints about the
editorial content of publications under the Editors
Code of Practice, a copy of which can be found at
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Editorial
Editor Allister Heath
Deputy Editor David Hellier
News Editor David Crow
Acting Night Editor Marion Dakers
Business Features Editor Marc Sidwell
Lifestyle Editor Zoe Strimpel
Sports Editor Frank Dalleres
Art Director Craig Gaymer
Pictures Alice Hepple
Commercial
Sales Director Jeremy Slattery
Commercial Director Harry Owen
Head of Distribution Nick Owen
WATCHDOG IN PENSION VICTORY
Britains Pensions Regulator has
dropped the threat of action against
US-based Chemtura Corp and its UK
subsidiary, after the company agreed
to pay 60m into its pension scheme
over the next three years. In
December 2010, the regulator issued
a formal warning to Chemtura Corp
and Chemtura Manufacturing UK
that it was considering seeking a
Financial Support Direction to force
contributions to the underfunded
pension scheme of the UK business.
Chemtura Corp had been involved in
a Chapter 11 bankruptcy proceeding
in the US.
HEDGE FUND LOOTED AFFILIATE,
CLAIMS LAWSUIT
One of the worlds biggest hedge
funds looted hundreds of millions
of dollars from a listed company it
controlled by manipulating its
accounts, a new US lawsuit alleges.
The shareholder action, filed on
Monday in New York, accuses London-
based Polygon Investment Partners of
misvaluing toxic structured assets in
a supposedly independent affiliate,
Tetragon Financial Group, in order to
earn huge fees over the past three
years at the expense of its investors.
BRUSSELS TO INVESTIGATE VW AND
BMW OVER AID REGIME
More than 100m ($141m) of invest-
ment aid to two of Germanys biggest
carmakers BMW and Volkswagen
is to be investigated by Brussels to see
whether it complies with European
Union rules. Competition officials at
the European Commission said on
Wednesday that they would look into
German government plans to grant
46m of regional aid towards a
368m electric car project at a BMW
plant in Leipzig, to see whether it was
compatible with EU state aid rules.
The project involves the manufacture
of two models of electic cars.
RYANAIR FALLS FOUL OF SPANISH
RULES OVER CHILDREN
Ryanair faces legal action in Spain for
refusing to allow children to fly
unless they carry passports or nation-
al identity documents. Under Spanish
law, under-14s are permitted to travel
if an accompanying adult presents a
Family Record Book. The National
Institute of Consumers, part of the
Health Ministry, has advised the pub-
lic prosecutors office to take action
against the Irish airline.
CARD FACTORY ADDS PERSONAL
TOUCH ONLINE
Card Factory has caught the bug for
customised cards and gifts, buying
one of Britains ten biggest gift web-
sites and joining what has become
the latest online gold rush. The pri-
vate equity-owned chain of 570 greet-
ings card shops has bought
GettingPersonal.co.uk.
GOLD ATM MACHINE AT WESTFIELD
SHOPPING CENTRE
Gold vending machines are to be
placed in every major city in Britain
after the countrys first machine was
switched on in Westfield shopping
centre. The company behind the gold
bar vending machines plans to install
50 across Britain over the next few
years, allowing ordinary shoppers to
invest in the precious metal.
RENTS RISE AS HOMES REMAIN IN
SHORT SUPPLY
A shortage of homes to let has forced
rent levels higher and further
increased the squeeze on cash-
strapped consumers, according to
research. The Association of
Residential Lettings Agents found 56%
of its members reported that rents
had risen over the past six months,
compared with 53pc three months
ago.
HARTFORD ISSUES PROFIT WARNING
Hartford Financial Services warned
that second-quarter profit fell by about
68 per cent on the increased cost of
natural disasters and a charge related
to asbestos policies it sold years ago.
Net income of about $24m declined
from $76m in the same period a year
earlier, the company said in a state-
ment yesterday disclosing preliminary
results.
BORDERS CREDITORS OBJECT TO BID
Borders Group could be worth more
dead than alive, publishers and land-
lords said in a court filing yesterday,
raising the stakes in a looming bank-
ruptcy-court auction that will deter-
mine whether the bookstore chain
survives. Borderss creditors commit-
tee objected to a bid for the chain from
private-equity firm Najafi, contending
that an offer from liquidators would
pay creditors more.
WHAT THE OTHER PAPERS SAY THIS MORNING
GREECE is running out of time, its
Prime Minister warned yesterday, even
as Germany batted off suggestions
that it should attend an emergency
summit on Friday and instead put off
the meeting until next week.
The markets were unimpressed by
this latest bout of dithering over the
timing of the Eurozones next crisis
talks, with economists at Investec
warning that the EUs muddled
approach risks Armageddon.
Investecs Phillip Shaw and Victoria
Cadman added that if euro area
finance ministers continue to play
catch up with markets, rather than
acting in a timely manner, they could
face intervention from other interna-
tional bodies such as the IMF to pre-
vent a wave of defaults across Europe.
Capital Economics Jennifer
McKeown called Italy a ticking time-
bomb and said: An Italian crisis
might be the trigger for a collapse of
the Eurozone.
Fitch added to Europes woes by
downgrading Greece further into junk
territory a decision the beleaguered
sovereign called bewildering.
And Mario Draghi, the incoming
president of the European Central
Bank (ECB), took the unusual step of
criticising Europes crisis-manage-
ment, saying that it had increased
uncertainty in financial markets.
We must now bring certainty to
the process by which sovereign debt
crises are managed, by clearly defining
political objectives, the design of
instruments and the amount of
resources, he said.
But markets are anything but cer-
tain about how and when Greeces lat-
est 100bn rescue will arrive.
The IMF voiced support for private-
sector involvement in a second bailout
yesterday but without detailing how it
would work, while German finance
minister Wolfgang Schuble reiterated
the view that burden-sharing is a cer-
tainty.
But the ECB remains firmly opposed
to the idea on the grounds that it will
exacerbate market panic.
EU dithering
could bring on
Armageddon
PROPOSALS for a ringfence around the
retail arm of Britains major lenders
have been slammed as costly and dam-
aging to Britains competitiveness by
banks in their feedback submitted to
the Independent Commission on
Banking (ICB).
The responses to the ICBs interim
report, published yesterday, show that
even some banks that would be little-
affected have serious misgivings about
its main proposal to hive off all retail
activities into a separate subsidiary, a
reform endorsed by George Osborne.
A damning response from HSBCs
Douglas Flint says the ICB will, at best,
make an incremental contribution
to financial stability, while JP Morgan
calls the ring-fence largely unneces-
sary and highly expensive.
Barclays said that it would be more
cost-effective to hive off a banks
infrastructure than its retail activities:
The ring-fence adds only marginal
benefit, it said in its submission,
adding that it amounts to an explicit
state guarantee for retail banks that
will lead to an increased cost of lend-
ing and reduced economic activity.
RBS claims that the policy will exac-
erbate systemic risk because it will
cement and make more explicit the
perception of implicit support for
retail banks. Like it or not, this is how
ring-fencing will be perceived, it says.
Ringfence plan
slammed in
ICB feedback
The EBA, led by Andrea Enria, will publish stress test results tomorrow Picture: REUTERS
BY JULIET SAMUEL
EUROZONE
BY JULIET SAMUEL
BANKING
News
GERMAN public sector bank Helaba
said last night that it would not allow
the European Banking Authority (EBA)
to publish the results of stress tests on
the bank, withdrawing from the
process and potentially setting a prece-
dent for other lenders to do the same.
Helaba had earlier said that it would
have passed tests if regulators counted
a debt-equity hybrid or silent partici-
pation as a capital reserve.
Having initially said it would accept
Helabas silent participation after
design modifications, the EBA in the
end opted not to do so, the lender said.
Germanys central bank spoke up
for Helaba in its fight to avoid becom-
ing the only stress test failure in
Europes biggest economy.
Helaba is in our view sufficiently
capitalised even under the tough crite-
ria of the European stress tests,
Bundesbank deputy Sabine
Lautenschlaeger.
Many banks, regulators and politi-
cians across Europe have criticised the
stress tests, arguing that the EBA has
changed the specifications of the test.
German lender pulls out of EU
bank stress tests as results loom
EUROZONE
AS NEWS Corps BSkyB bid lay in tat-

ters, a potentially devastating storm
gathered pace in the US yesterday.
Two senators called for the Justice
Department and Securities and
Exchange Commission (SEC) to investi-
gate whether News Corp broke US
laws banning payments to influence a
foreign official, relating to the phone
hacking scandal at News
International.
Senators Barbara Boxer and John
Rockefeller also called on authorities
to investigate reports of phone hack-
ing against victims of the 9/11 attacks.
News Corp boss Rupert Murdoch
will now be desperate to ensure the
toxic contagion of the phone hacking
scandal does not spread to the rest of
his empire.
Some in the City were yesterday pre-
dicting that Murdochs position as
chairman and chief executive of News
Corp itself could now come under
pressure.
One senior banker told City A.M. he
expects some of the News Corp non-
executives, who include former BA
chief Sir Ron Eddington, ex-Goldman
Sachs partner John Thornton and the
venture capitalist Thomas Perkins, to
start taking stock of whether Rupert
Murdoch was still the right leader of
the company, despite his family hold-
ing the controlling share of the com-
panys voting rights, and therefore its
seemingly impregnable grip on con-
trol.
He said: In the end, the issue is
this: does the board have confidence
in the chairman and chief executive?
And sometimes its a case of either
him turfing the rebels off the board
or they deal with you.
News Corp is already the subject of
a class action lawsuit alleging nepo-
tism in his reliance on his children to
fill key roles within the firm and fail-
ure to exert proper control over News
International over the phone hack-
ing affair.
US senators
call for probe
on News Corp
50% LESS U
P

T
O
FOR
BY STEVE DINNEEN AND DAVID HELLIER
MEDIA
Focus on News Corp

Messy divorce for politicians and journalists
A
MARRIAGE breakdown rarely
brings out the best in people.
The temptation to pursue
vendettas for past grievances
can become overwhelming. As the
media-political partnership ends in
the divorce courts, it is getting
messy.
The politicians most angrily seek-
ing revenge on the press are those
who felt most hard done by in the
expenses scandal or the ones who
were most frustrated at feeling com-
pelled to smile politely at Rupert
Murdoch despite loathing his right-
wing tendencies. The almost invisi-
ble Gordon Brown has suddenly
reappeared in the television studios
to get his own back on the news
baron for supporting the
Conservatives in the election,
despite the allegations of the Sun
hacking into his sons medical
records apparently being baseless.
Folks, lets keep this civilised. The
relationship will change, but it will
carry on journalists and politi-
cians cant do their jobs without
each other.
But one thing that shouldnt
carry on is the feeling among many
journalists that they are above the
law. In my time on Fleet Street, I
had many conversations with other
hacks who clearly felt the rules just
didnt apply to them. The end get-
ting a story always justified the
means. They would look down at
police and think just you dare try
come and get me. Dont pick a fight
with someone who buys ink by the
barrel.
I remember serious brawling
breaking out between senior news-
paper executives at a very presti-
gious press awards ceremony,
causing damage at a top London
hotel. Police were called but there
were no charges, and no story ever
appeared in the newspapers.
It was that feeling of untouchabil-
ity that led journalists to break the
law endemically and politicians to
fiddle expenses. It led managers
whether newspaper executives or
party leaders to be complacent
about illegal practices going on
under them.
But with journalists and politi-
cians being sent to jail, that sense of
untouchability has been shattered.
A free press is vitally important, as
is democracy. But just as fundamen-
tal is the rule of law even for jour-
nalists and politicians.
Anthony Browne is a board member of
theCityUK
anthony@anthonybrowne.org
ANTHONY BROWNE
LEGAL SITUATION IN US HOTS UP
Murdochs business in the UK is on the
ropes, with his flagship newspaper now
defunct and the rest of News
International in disarray. But this is
small-time compared to how bad things
could get if the heat is turned up in the
US. With two senators (including Jay
Rockefeller, pictured) demand-
ing an investigation, his entire
empire could be under threat.
HEAT RATING: 8/10
lWHAT NEXT FOR NEWS CORP (AND HOW HOT COULD IT GET)?
RETURNS FOR BID IN A YEAR
Murdoch didnt build the worlds most powerful media empire
without overcoming some major hurdles along the way.
Calling time on the bid when he did stopped a parliamentary
vote that would have rendered green-lighting any future
approach politically untenable. Cameron has called on him to
clean his own house before looking elsewhere. If Murdoch
can stop the contagion now and oust the most exposed
members of his staff he may be able to lie low while the
worst of the crisis blows over. In a years time, he could return
for round two and who would bet against him?
HEAT RATING: 1/10
STRUCTURAL CHANGES AT NEWS CORP
As pressure on Murdoch mounts on both sides of the
Atlantic, his role as chairman and chief executive will come
under increasing scrutiny. Factions of News Corp investors
are already openly hostile having filed a lawsuit against
his corporate governance with a court in Delaware and
Murdoch could find himself under increasing pressure to
relinquish some of his control. His announced buyback of
some $5bn (3.2bn) worth of shares could help to consoli-
date his position, assuming his family do not sell their
shares back to the company.
HEAT RATING: 6/10
FAILS FIT AND PROPER TEST IN UK
The Murdoch name has never been popular
with the chattering classes, no matter how
many newspapers he sells. But News Corp is
now so damaged it may never fully regain
the confidence of the establishment.
Ofcom, headed by Ed Richards (pic-
tured), must now decide if News
Corp is a fit and proper owner of
39 per cent of BSkyB let alone
being allowed to bid for the rest.
HEAT RATING: 5/10
MADE TO ALTERHIS SUCCESSION
PLANS
With the heat rising in the US, accusa-
tions of nepotism are getting harder to
ignore. James Murdoch has been heir
apparent since eldest son Lachlan
left the empire. But he will face
tough questions from over his
knowledge of phone hacking.
Elisabeths place on the board is
also controversial.
HEAT RATING: 7/10
MURDOCH FORCED OUT ALTOGETHER
This is the worst case scenario: News Corp shareholders
spot weakness and the independent directors rebel against
Murdoch. If political pressure in the US continues to rise and
Murdoch is said to have breached the law, he could be victim
of one of the biggest boardroom mutinies of all time. This,
however, is unlikely. The Murdoch family has a 40 per cent
share of the voting rights at News Corp even though their
holding is far lower thanks to the structure of its shares.
Rebels would require almost unanimous investor support
and the company would suffer gravely in the process.
HEAT RATING: 10/10
Models shown AYGOGo! 1.0 3 door manual 9,195, includes 300 customer saving and 255 Centre contribution from the manufacturers list price. Yaris T Spirit 1.0 3 door manual 11,495, includes 1,000 customer saving and 200 Centre contribution from the
manufacturers list price. Auris TR 1.33 3 door manual at 13,825, includes 1,500 customer saving and 730 Centre contribution from manufacturers list price. Verso TR 1.6 7 seat MPV 19,610. All prices correct at time of going to press. Metallic paint 420 extra. 6 months
Iree Iuel amounI is equivalenI Io 503.38 Ior AYCD, 557.99 on Yaris, 645.36 on Auris, 437.86 on Auris Hvbrid and 596.61 on Verso which will be loaded on a prepaid Visa card. These amounIs are based on o cial Iuel consumpIion gures Ior an AYCD1.0 manual 61.4mpg
(Combined), Yaris 1.0 TR manual 55.4mpg (Combined), Auris 1.33 TR 47.9mpg (Combined), Auris Hybrid 1.8 T Spirit 70.6mpg, Verso 2.0 TR Diesel manual 53.3 mpg (Combined) over an average of 5,000 miles (Source: Parkers Guide - www.parkers.co.uk). Fuel cost based on UK
average Ior unleaded 95 ocIane peIrol oI 136.0p per liIre, and Diesel oI 139.9p per liIre as per www.peIrolprices.com on Thursdav 26Ih Mav 2011. Der available on newreIail sales when ordered beIween 1sI 1une and 30Ih SepIember 2011 and regisIered bv 31sI December
2011. 5 vear/100,000 mile manuIacIurer warranIv subiecI Io Ierms and condiIions. *Free servicing oer and 6.9% APR represenIaIive onlv available Ior newreIail orders oI model shown beIween 1 1une and 30 SepIember 2011 and regisIered and nanced Ihrough TovoIa
Financial Services, Great Burgh, Burgh Heath, Epsom, Surrey, KT18 5UZ, before 31 December 2011 on a 2 year AccessToyota (PCP) plan. Indemnities may be required. Finance subject to status to over 18s. Toyota Centres are independent of Toyota Financial Services. Free
servicing oer includes Ihe rsI Iwo scheduled services aI an o cial TovoIa CenIre (everv 10,000 miles or 12 monIhs whichever is rsI). Terms and condiIions applv.
AVGO Go! l.D VVT- 3 door manual O cal Fuel ConsumpLon Fgures n mpg (l/lDDkm): Urban 5l.4 (5.5), ELra Urban 7D.6 (4.D), Combned 6l.4 (4.6). CO
2
Emssons lD5g/km.
Vars T SprL l.D VVT- 3 door manual O cal Fuel ConsumpLon Fgures n mpg (l/lDDkm): Urban 45.6 (6.2), ELra Urban 6l.4 (4.6), Combned 55.4 (5.l). CO
2
Emssons ll8g/km.
Aurs TR l.33 VVT- 3 door manual O cal Fuel ConsumpLon Fgures n mpg (l/lDDkm): Urban 39.2. (7.2), ELra Urban 55.4 (5.l), Combned 47.9 (5.9). CO
2
Emssons l36g/km.
Verso TR l.6 VVT- 5 door manual O cal Fuel ConsumpLon Fgures n mpg (l/lDDkm): Urban 32.8 (8.6), ELra Urban 48.7 (5.8), Combned 4l.5 (6.8). CO
2
Emssons l58g/km.
LouoLa.co.uk/IreeIuel
AYGO Go! from 9,195
ncludng 555 savng
- SaL Nav
- BlueLooLh

- Allou mheels
Yaris T Spirit from 11,495
ncludng l,2DD savng
- SaL Nav
- Parkng sensors
- AuLo Ar Con
Auris TR from 13,825
ncludng 2,23D savng
- BlueLooLh

- Parkng sensors
- AuLo Ar Con
7 Seat Verso TR from 19,610
- AuLo Ar Con
- BlueLooLh

- l6" Allous
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whenorderedthis summer
+ +
It all adds up.
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Avalable on
selecLed models.
THE frantic sell-off of BSkyB shares fol-
lowing the collapse of News Corps bid
cost arbitrage investors hundreds of
millions of pounds as they liquidated
their holdings overnight, data showed
yesterday.
BSkyBs share price has plunged 18
per cent in the past week as merger
arbitrage funds, which buy shares in
both a target company and its bidder,
realised the deal had hit the buffers
and sold.
Shares worth at least 350m have
changed hands every day for the past
week about 50m shares per day
with the vast majority sold off.
Funds have been closing off their
positions long on BSkyB and short on
News Corp, but they would have been
hurt on the BSkyB positions, said ETX
Capital senior trader Manoj Ladwa.
US hedge funds Perry Capital,
Halcyon Asset Management and
Taconic Capital Advisers all sold out as
the share price fell from its 8.50
high, regulatory statements show.
Now that the takeover has official-
ly died, all the M&A hedge fund play-
ers have to sell if they are not out
already. Massive volumes of BSkyB
shares have traded, said BGC Partners
markets analyst Louise Cooper.
But Cooper said not all sellers
would have made a huge loss. The
biggest volumes of BSkyB shares were
bought at either 7.92, its price on 3
March when culture secretary Jeremy
Hunt waved the deal through; or at
7.00, on 15 June last year, when the
offer was announced.
Depending on when the funds sold,
she said there was still room for them
to make a profit before it hit yester-
days 6.99 closing price (see chart,
left).
Other hedge funds have bought
back in. Odey Asset Management
holds more than 46m shares worth
more than 325m at the current
price, but said it is holding for growth
and not for the merger.
Hedgies nurse
losses after
BSkyB sell-off
DAVID Cameron yesterday launched a
probe into phone hacking allegations
at the News of the World and illegal
activities at other newspapers, with
the first findings due within one year.
The investigation will be formed of
two public inquiries, headed up by
Lord Justice Leveson, and will start as
soon as possible, Cameron said.
It will have the powers to call wit-
nesses, including News Corporation
boss Rupert Murdoch, demand docu-
ments and take evidence on oath.
The relationship between newspa-
pers, the police and politicians will
come under scrutiny, as well as the
issue of cross-media ownership. The
Prime Minister, speaking in parlia-
ment yesterday, also said he would
consult cabinet secretary Sir Gus
ODonnell over the ministerial code.
Changes could include forcing min-
isters to record all meetings with news-
paper and media proprietors, senior
editors and executives, regardless of
the nature of the meeting.
Cameron added that Leveson would
make recommendations for a new
more effective way of regulating the
press, adding that any such changes
must still support press freedom.
News Corp last night retained PR
group Edelman to handle press com-
munications relating to the scandal.
UK government
launches phone
hacking probe
BY ALISON LOCK
MEDIA
POLITICS
Focus on News Corp

CITYA.M. 14 JULY 2011 5
ANALYSIS l BSkyB
p
11 Jul 12Jul 13Jul 8Jul 7Jul
820
740
780
700
705.50
13 Jul
8Jul 11 Jul 13Jul 12Jul
ANALYSIS l News Corporation
18.5
17.5
18.0
17.0
16.0
16.5
$
7Jul
15.93
13 Jul
NEW8 FROM THE
CTY OF LONDON
Get City news. info and offers at
www.cityoflondon.gov.uk/eshot
8tories supplied by the City of London
ADVERT8EMENT
Holiday fun at the Museum
hildren can meet archaeologists, handle items and find out
how treasure is discovered, as part of holiday activities at
the City's Museum of London from 16 July to 31 August.
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The City of London's Property
Advisory Team has produced
an information pack to help
small businesses find
premises in the Square Mile.
Download free from
www.cityofIondon.gov.uk/
cpatguidancepack
Following a City business
delegation to Russia to promote
London's financial services, Lord
Mayor Michael Bear visits srael
and the Occupied Palestinian
Territories over the next two days.
Wendy Mead and Alderman Alan Yarrow have been elected as
Sheriffs for the City of London, following a ballot at Guildhall. During
their year in office, they will assist the Lord Mayor in carrying out his
duties and attend sessions at the Central Criminal Court.
srael visit for Lord
Mayor
Help for small firms
City 8heriffs elected
C
News
GOLD surged to a record near
$1,590 an ounce yesterday as the
possibility of more Federal Reserve
stimulus coupled with Europes
ongoing debt crisis fuelled bullions
longest winning streak in five years.
Bullions gains accelerated after
Federal Reserve chairman Ben
Bernanke said the central bank is
ready to ease monetary policy fur-
ther if the economy weakens and
inflation moves lower. Silver rallied
nearly six per cent, moving in tan-
dem with commodities, US stock
markets and risk assets.
Bernankes comment served as a
hint that policymakers were active-
ly mulling a third round of stimu-
lus, a strong boost for gold.
The possibility remains that the
recent economic weakness may
prove more persistent than expect-
ed and that deflationary risks
might re-emerge, implying a need
for additional policy support,
Bernanke told the House Financial
Services Committee as part of his
semi-annual testimony.
Yet splits among the Fed over the
prospect of a third round of quanti-
tative easing (dubbed QE3) emerged
within minutes of Bernankes state-
ment, with fellow Fed official
Richard Fisher saying: I firmly
believe that the Federal Reserve has
already pressed the limits of mone-
tary policy.
US banks and businesses are
awash in liquidity, Fisher contin-
ued. Adding more is not the
answer to our problems.
For the economy to really gain
strength, he said, Congress must
resolve the long-term US debt and
deficit problems and remove uncer-
tainty for US businesses, Fisher said.
Bernanke also commented on the
US fiscal crisis during his extensive
speech, urging Congress to come to
a quick resolution to raise the debt
ceiling.
The right analogy for not raising
the debt ceiling is going out and
having a spending spree on your
credit card and then refusing to pay
the bill, Bernanke said. Thats
what not raising the debt limit is.
Yet Michael Hewson of CMC
Markets disagreed: There was me
thinking it was like going on a
spending binge before asking for a
credit limit so you can spend more,
Hewson said.
Gold surges on QE3
hint and Euro crisis
BY HARRY BANKS
US ECONOMY
CITIGROUP is considering keeping its

store credit card business after trying
to dispose of the $41bn business,
according to reports last night.
The US bank is considering moving
the division out of Citi Holdings,
where it keeps less important assets, to
a place alongside its core credit card
operations, said the Financial Times.
The change was prompted by
improved credit conditions and uncer-
tainty over the outlook for other con-
sumer businesses such as retail
banking and mortgages, the newspa-
per said.
Citi plans to wait until it sells
OneMain Financial, its consumer-lend-
ing business, and shed or run off other
assets in Citi Holdings before deciding
on the cards unit. Citi has had trouble
finding buyers for its store card busi-
ness, which holds portfolios for retail-
ers such as Zale, Home Depot, Macys
and Sears Holdings.
Citigroup
could keep
US card unit
BANKING
George Osborne is banking on private job creation Pic: Micha Theiner/CITY A.M.
EMPLOYMENT rose again in May, offi-
cial figures revealed yesterday, yet
there were worrying signs for chancel-
lor George Osborne that the labour
market recovery could be facing a
slowdown.
While employment rose by 50,000 in
the three months to May, this was sig-
nificantly lower than the 88,000 added
in the three months to April, while
claims for unemployment benefit
jumped at their fastest rate for two
years. Unemployment measured 7.7
per cent, down 26,000 to 2.45m in the
three months to May.
Yet unemployment on the ILO
measure rose by 22,000 in the latest
month covered, commented Howard
Archer of IHS Global Insight.
And an extra 24,500 people signed
on in June, pushing the dole queue
total to 1.52m. However, changes to the
benefits system have seen some people
transfer to JSA from other allowances.
Nearly half a million women
(493,900) are now claiming jobseekers
allowance the highest for 15 years.
A further 24,000 government sector
jobs were shed between December and
March, figures showed, a fall of 0.4 per
cent. During the same period the pri-
vate sector created 104,000 new jobs.
Overall, 309,000 jobs have been added
to the economy in the last year.
There was a decline in unemploy-
ment for young people; excluding stu-
dents, there were 644,000 unemployed
16 to 24 year olds in the three months
to May, down 18,000 on the previous
three months.
Total pay for all employees, includ-
ing bonuses, was up 2.3 per cent com-
pared to the same time in 2010.
Employment rises
but jobs recovery
may be stumbling
BY JULIAN HARRIS
EMPLOYMENT
CITY VIEWS: ARE YOU WORRIED ABOUT UK DEBT? Interviews by Alexander Sainty
Its exasperating that everyone seems to
be talking about it, yet there is no obvious
solution. It all seems to be viciously cycli-
cal, the government cant initiate budget
cuts without upsetting someone. But I
would rather cuts than increased taxa-
tion.
I am, but not enough to want a tax
increase. I think the government has
done a reasonable job managing our
debt. I worry we will forced to bailout
Greece, I dont want my son to have to
shoulder the debt legacy
DAVID SHRODER | NICOLL CURTIN
Every country has national debt, thats just how it is absurd as it seems. Just as
long as our earnings outstrip our debt, its not worth worrying about.
JEFFERY WRIGHT | LLOYDS INSURANCE
DAVE PEARCE | NICOLL CURTIN
MARKS and Spencer is seeing its mar-
ket share grow with sales nudging up
but warned of a tough road ahead for
the retail sector.
Chief executive Marc Bolland said
that the freshening up of product
lines had fuelled sales growth, with
healthy eating ranges proving partic-
ularly successful in its food halls.
Like-for-like UK sales excluding VAT
in the 13 weeks to 2 July rose 1.7 per
cent. The growth came exclusively
from food sales.
Non-food like-for-like sales saw zero
growth an improvement on the 3.9
per cent fall in the previous quarter.
The retailer said it had raised its UK
market share slightly in both the food
and clothing sectors.
Bolland said: Our healthy eating
range, which you would not normally
associate with M&S, has been doing
extremely well.
In clothing our dress sales are
strong because we are offering the
right product at the right price.
In the clothing sector, its market
share rose from 11.5 per cent to 11.7
per cent its 17th consecutive
month of market share gain.
But the company warned that the
remainder of the summer would see
tough trading as the British con-
sumer remained under pressure.
Bolland added: It is a challenging
environment we have always said
that.
International sales jumped 7.8 per
cent, while M&S Direct sales which
include online were up 13 per cent.
M&S gloomy
on outlook
for retailers
Outerwear and
large leather
goods drove
nearly half of
mainline sales
ANALYSIS l Burberrys record year
Marc Bolland is shaking up the product ranges at M&S
BY JOHN DUNNE
RETAIL
News
ANALYST VIEWS: IS BOLLAND TAKING M&S
IN THE RIGHT DIRECTION? Interviews by John Dunne
FREDDIE GEORGE | SEYMOUR PIERCE

The statement is relatively reassuring and at this stage management is
happy to flag up no change to full-year 2012 forecasts. Trading would have bene-
fited from a reasonably buoyant April helped by the late Easter and royal wedding
while May was weak.
NICK BUBB | ARDEN

M&S is keeping its nose above water and ahead of a pretty tough mar-
ket, although the market appears to have been a bit disappointed, with the shares
trading over two per cent down first thing. We suspect that increased discounting
has put some pressure on gross margins.
RICHARD HUNTER | HARGREAVES LANSDOWN

The UK bellwether has seen its share price outperform of late, although
this update has done little to justify investors faith. In its two main strands of
food and clothing, there are some signs of optimism. Food has been the main con-
tributor of growth, helped along by some promotional offers.
ANALYSIS l Marks And Spencer

p
390
380
370
360
363.80
13 Jul
FIRST QUARTER STATS:
Revenue:
367m
Underlying growth in sales:
34%
Like-for like sales
(excluding China):
15%
Total number of stores:
423
(including retail, concessions
and outlets) + 52 franchises
Best performing
markets:
Hong Kong, France, Germany
US, Middle East, India
20%
underlying growth
from acquired stores in
the emerging superpower
Revenue
by channel
Retail: 64%
Wholesale: 29%
Licensing: 7%
CHINA:
50
stores bought back in
China in 2010
ANALYSIS l Burberry
Sep2010 Nov2010 Jan2011 Mar 2011 May2011 Jul 2011
1,500
1,300
1,100
900
700
1,531.00
13 Jul
64%
29%
7%
p
PUBLIC NOTICE
MARINE AND COASTAL ACCESS ACT 2009
APPLICATION FOR THE EXTENSION
OF TOWER MILLENNIUM PIER
Notice is hereby given that Transport for London has
applied to the Marine Management Organisation under
the Marine and Coastal Access Act 2009, Part 4, for a
marine licence to extend Tower Millennium Pier. Plans
showing the position of the works may be inspected at
Barbican Library, Silk Street, London EC2Y 8DS
Representations or objections in respect of the application
should be made in writing, giving an address to which
correspondence relating to the representation or objection
may be sent, to the Marine Management Organisation,
Marine Environment Team, PO Box 1275, Newcastle upon
Tyne, NE99 5BN, or alternatively emailed to Joanna.
parnell@marinemanagement.org.uk, within 28 days of the
date of the first notice published on 7 July 2007, quoting
reference 00031.
The Marine Management Organisation will pass to the
applicant a copy of any objection or representation we
receive.
SHARES in Burberry leapt to
yet another record-high yes-
terday after the British lux-
ury brand reported a 34 per
cent underlying growth
in quarterly sales.
The fashion house out-
shone market expecta-
tions, posting revenues of
367m for the three
months to 30 June, with
Asian countries leading
the growth.
Sales from Burberrys
retail operations, which
make up 66 per cent of
turnover, doubled over the
three months to 245m.
Burberrys Asia Pacific
retail and wholesale busi-
ness grew 62 per cent year
on year to 121m, with
Hong Kong, and Taiwan among the
best performing markets.
The 155 year old brand, modelled
by the likes of Kate Moss and Harry
Potter star Emma Watson, opened
five stores this quarter and is
planning to open another 25
stores globally by the end of
the year.
Angela Ahrendts (left),
who joined as chief execu-
tive two years ago said: We
are pleased with Burberrys
start to the year, with dou-
ble-digit growth balanced
across retail and whole-
sale and all regions
and product cate-
gories.
Shares in the
luxury fashion
group climbed
6.5 per cent to
close at 1,531p
last night.
Asia boosts
Burberrys
first quarter
Wetherspoon in revenue rise
JD WETHERSPOON reported higher
fourth-quarter sales and said an
encouraging performance from its
recently opened pubs should help it
achieve a reasonable full-year out-
come, despite rising costs and weaker
consumer confidence.
The pub company said its like-for-
like sales for the 11 weeks to 10 July
were 1.6 per cent up, with year to date
sales up 2.2 per cent.
It said it expected its oper-
ating margin for the second
half to be around 9.5 per
cent up from 9.4 per cent
at the half-year.
Wetherspoon has bucked the
trend of declining sales
among pubs recently with
value-for-money offers such
as beer-and-a-curry for under
5 and a pint of bitter for
1.70 proving popular with
cash-strapped Britons.
But the company added
that it continued to face ris-
ing costs for a wide range of
goods and services and a
tough trading environment.
The group, which has
opened 38 pubs this year and
made two disposals, said it
expects to open 50 pubs in the
current financial year.
Shares in Wetherspoon,
which have risen six per cent in
the last three months, closed at
437.1p, valuing the business at
around 582m.
BY KASMIRA JEFFORD
RETAIL
BY HARRY BANKS
LEISURE
SUPERGROUP boss Julian Dunkerton

said yesterday the company would
consider opening more flagship
stores across the globe as it recorded
a bumper annual profit.
The retailer announced a pre-tax
profit for the year to 1 May of 47.3m,
up 110 per cent.
A highlight of the year for the com-
pany was the purchase of a lease on a
Regent Street building which will
become its London flagship.
However some analysts suggested
that the group could be expanding
too quickly and paying above the
odds for the prestigious building, the
former home of Austin Reed.
But Dunkerton hit back yesterday,
buoyed by the companys profit fig-
ures.
They (the critics) just do not
understand retail. We are not a one-
logo wonder. We are a lifestyle brand.
The doubting Thomases are starting
to see that.
He said that the company was aim-
ing for proliferation across the
globe and that other high profile
stores could enhance the brand.
Why not? Never say never, we have
put international expansion at the
heart of our plans.
Total yearly sales jumped 71 per
cent to 237.9m, while revenues in
the 10 weeks to 10 July were up 56 per
cent.
SuperGroup has opened 40 new
stores and concessions in the past
year and is also targeting online sales
growth. The company floated in 2010,
raising more than 120m.
News
BY JOHN DUNNE
RETAIL
@
@
MORE NEWS
ONLINE
www.cityam.com
ANALYSIS l Supergroup
p
1,150
1,050
950
1,062.00
13 Jul
NEWS | IN BRIEF
Thorntons in sales dive
Chocolatier Thorntons has said store
sales were down by more than ten per
cent as it predicted another year of
tough conditions on the high street. Like-
for-like sales at its 364 company-owned
stores fell by 10.6 per cent in the eight
weeks to 25 June. The firm is to close up
to 180 shops over the next three years as
it grows sales through the internet and
through other retailers, including major
supermarkets. Thorntons will take a
3.5m hit from the closures.
Topps Tiles in sluggish trading
Topps Tiles has admitted it faces another
quarter of subdued trading as the slug-
gish house market and low consumer
confidence continues to hit demand. The
floor coverings firm, which has 313 UK
stores, said like-for-like sales declined by
1.9 per cent in the 13 weeks to 2 July,
compared with a 1.2 per cent fall a year
earlier.
Amazon seals cheaper Kindle deal
Amazon.com said yesterday it has struck
a sponsorship deal with AT&T to sell a
less expensive version of its Kindle 3G
digital reader. Amazons Kindle 3G, which
allows users to buy electronic books
without having to subscribe to a wireless
network, costs $189 (118.22). The
AT&T sponsored device, which will also
include built-in ads on its screensavers,
will cost $139.
SuperGroup eyes overseas
expansion as profits impress
FOCUS ON BURBERRY
man, headhunters or pressure from
shareholders we must have radical
change in the boardrooms of
Britain, and the coalition govern-
ment is determined to maintain the
focus on this, said Davies.
BP BROUGHT TO BOOK
MEANWHILE, a literary crowd gath-
ered at the Savile Club in Mayfair for
the launch of Spills and Spin: The
Inside Story of BP, by Reuters oil corre-
spondent Tom Bergin.
The book pulls no punches in its 20-
year history of the worlds fourth-
largest company, exploring the
fundamental flaws in former chief
executive Lord Brownes decision to
remodel the firm into strategic busi-
ness units, and damning his succes-
sor Tony Haywards poor
communications strategy as well as
the degeneration of the relationship
between Hayward (below) and BPs
chairman Carl-Henric Svanberg.
No surprise then, that neither
Browne or Hayward made it along for
a drink even though Hayward is cur-
rently camping out round the corner
in Rothschilds St Jamess offices,
after starting the investment vehicle
Vallares with Nat Rothschild.
No doubt Hayward will enjoy read-
ing the autographed copy of the book
he requested from Bergin when he
has a gap in his busy schedule
ICECREAM TRADES
VOLUMES in equity trading may have
hit a slump but Mr Whippy has
never had it so good, after Cannacord
Genuity took an unusual measure to
cheer up its institutional
clients as the Italian con-
tagion hits home.
In a bid to generate
a bit of fun in the
doldrums of the mar-
ket, the mid-cap bro-
ker and investment
bank yesterday hired
an icecream van,
manned by
Cannacords Anita
White, to pay impromptu
visits to its clients.
Apparently Lazard, JO
Hambro and Artemis
were lapping
up the
attention.
RACING DEMONS
ABERDEEN Asset Management has
added action and spectacle to its
debut sponsorship of Cowes Week by
adding the Extreme 40 catamaran
class to its sailing portfolio, to com-
pete in the Extreme Sailing Series.
Skippering the Aberdeen boat will
be British Olympic 49-er class con-
tender John Pink, joined by his regular
crew John Peacock although there is
no word yet on whether Aberdeens
chief executive and keen sailor Martin
Gilbert will join them on board.
BOULED OVER
MONDAY mornings will never be the
same again thanks to The Gaucho
Grill, which has joined forces with
Veuve Clicquot to start a two-week
petanque tournament on the newly
installed court outside its Broadgate
Circle restaurant.
Gaucho is looking for eight teams
of six to take part in its two-week con-
test for City residents, held in associa-
tion with City A.M., with the winners
of the knockout stages starting on
Monday 18 July for four days each
winning a bottle of Veuve Clicquot.
The semi-final winners will each
receive a magnum, while the overall
winners, who will be crowned City
A.M. Petanque Champions of 2011 on
Wednesday 3 August, will each be pre-
sented with their own petanque set
and a jeroboam of Veuve Clicquot.
Thats four bottles of champagne
for not much work, so get your team
entry in now to Lisa at Gaucho
Broadgate on 0207 374 2026. No expe-
rience required.
FTSE 100 CHAIRMEN
BACK DRIVE FOR MORE
WOMEN ON UK BOARDS
THE DEBATE about how to get more
businesswomen into the boardroom
continued last night at the
Lansdowne Club, as FTSE 100 chair-
men came to hear BAE Systems
chairman Dick Olver outline his
plans for reform.
It is not a matter of quotas; it is a
question of better decisions in the
boardroom, said Olver, who set out
his intention to maintain his level
of a 25 per cent female board at the
engineering and defence firm, after
appointing Linda Hudson to look
after half the companys global
business and 46,000 staff as presi-
dent and CEO of BAE Systems, Inc.
Olver, a founding member of the
FTSE 100 Cross-Company Mentoring
Programme, was hosting the launch
for Women and The New Business
Leadership, the book written by fel-
low founding member and director
of the group, Peninah Thomson.
Barclays chairman Marcus Agius
was unable to make the event as he
had flu I sound like Humphrey
Bogart, he texted Thomson but
Tesco chairman David Reid was there,
joined by his board member Lucy
Neville-Rolfe, director of group corpo-
rate affairs; Centrica chairman Roger
Carr; Sir David Lees, chairman of the
Court of the Bank of England; and
Dennis Holt, the newly retired Bank
of Ireland deputy governor.
Lord Davies of Abersoch, the
author of the Government report
Women on Boards, poured scorn on
any chairmen that filed his report
and then forgot about it those
people are not fit to be chairmen
and called for more women at
executive committee level to help
the supply of top-level women
through the corporate ranks.
It doesnt matter how we get
there whether through new chair-
Above: BAE
Systems chairman
Dick Olver
Picture: Micha
Theiner/City A.M.
Sea-worthy: Aberdeens Cowes catamaran
Dick Olver,
chairman of
BAE
Systems, set
out his aim to
maintain his
level of a 25
per cent
female board
The Capitalist
10
EDITED BY
HARRIET DENNYS
Got A Story? Email
thecapitalist@cityam.com
Follow The Capitalist
on Twitter: @citycapitalist
CITYA.M. 14 JULY 2011
ICAP, the brokerage founded by for-
mer Tory party treasurer Michael
Spencer, posted a four per cent drop
in first-quarter sales yesterday.
The London-listed firm said the slip
was in line with its expectations,
blaming the large number of public
holidays and a tough comparator due
to an abnormally high level of activ-
ity around the flash crash of May
last year.
The firm said that trading on its
electronic platforms was up ten per
cent to $878bn (545.8bn) for the
quarter.
It said it expects to record a pre-tax
profit of between 366m and 402m
for the year ending March 2012.
In fixed income products, the
firms brokerTec platform saw total
average daily volumes of $712bn, an
increase of 14 per cent on the previ-
ous year.
We will continue to concentrate
on growing our business organically,
work to reduce our costs, said chief
executive Michael Spencer.
I am pleased with the progress
Icap has made over the past year. We
have maintained our focus and con-
tinued to invest in our products, tech-
nology and people to meet the
evolving needs of our clients and
financial market regulators.
Sales drop at
Icap as trade
hits $878bn
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BY RICHARD PARTINGTON
FINANCIAL SERVICES
RUSSIAN gold mining firm

Zapadnaya is the latest in a string of
firms from the country to plot a
London initial public offering, as it
presses ahead with its plans to go pub-
lic amid turbulent market conditions.
The company is in the early stages
of pre-marketing talks with investors,
with no date yet set for a share sale.
One source close to the process told
City A.M. the company was likely to
float in autumn on either the London
main market or AIM junior exchange,
although the listing could come soon-
er given the right market conditions.
Zapadnaya is seeking to raise about
$70m (43.5m), giving it a valuation of
about $200m.
The company holds three major
assets in eastern Siberia and produced
67,696 ounces of gold last year, post-
ing net profit of $24.8m .
Russian gold miner Zapadnaya
the latest to plot a London IPO
CAPITAL MARKETS
News
Michael Spencers Icap saw a drop in sales last quarter Picture: Micha Theiner/City AM
Spencer bets on digital future of broking
ICAP thrives on volatility, so the con-
tinued double-digit volume growth
in many of its trading divisions in
the past quarter wasnt a surprise.
But both the market and the com-
parative period last year were tough
to beat, so its four per cent revenue
fall didnt alarm investors either.
Where Michael Spencers inter-
dealer broker really continues to
reassure is the clarity of its growth
strategy a calculated play on the
direction of regulators thoughts.
Icap has ploughed investment
into its digital wizardry over the
past two years, betting that electron-
ic trading would boom as regulators
seek to move services from over-the-
counter voice-brokered to electronic
platforms.
Its voice broking services are still
growing, but Icap can see the
future and its iPad-shaped.
That punt, while expensive in the
short term, is paying off now.
Electronic broking volumes were up
10 per cent, as fixed income and
European repo volumes jumped 14
and 15 per cent respectively. Its
newly-launched electronic Euro IRS
platform is already handling almost
a third of all Icaps euro IRS trades.
Its electronic trading arm is bigger
than all its major competitors.
Icaps statement also revealed
that its hefty investment into post-
trade services, which make the busi-
ness less risky and capital-intensive,
is now delivering. Revenues from
this division are now back on track,
it said, after past underperfor-
mance.
Its statement included one last
nod to a bright outlook: it expects an
uptick in trading as central banks
disagree on how to manage their
inflation rates. With policy dishar-
mony looking a certainty in future,
we see Icaps revenue figure as a blip
in a bigger, digital, growth story.
BOTTOMLINE
Analysis by Alison Lock
ANALYSIS l Icap
p
500
470
485
482.10
13 Jul
SIR Stelios Haji-Iaonnou has refuelled
his ongoing row with the board of
easyjet, this time urging the
company to cut the size of its
fleet and reverse its latest
order for 35 airbus planes
announced in January.
In a letter
addressed to easyJets
chairman Sir Michael
Rake, Sir Stelios said the
company had changed
its aircraft order, which
he alleges is now
twice the price
shareholders had
originally agreed
to.
Sir Stelios,
who holds a
26 per cent
stake, said
the air-
line had
breached
UK Listing
Authority
rules argu-
ing that shareholders should be
allowed to vote on a purchase which
is worth more than 25 per cent of the
market value of the company.
EasyJet is a strong business. What
it cannot afford to do is squander
another 2bn in aircraft, Sir Stelios
told City A.M. By stopping the order
now, the airline has a better chance of
producing higher profits.
The 11-page letter sent to the board
on Monday goes on to accuse easyJet
of deliberately understating the
cost of 73m aircraft, saying
that todays price for an A320
plane is 85m.
EasyJet has denied the
claim that it broke UKLA reg-
ulations, however in a second
response Sir Stelios rejected
this saying that the rules
have been breached and
basic shareholder rights
have been violated.
The allegations from its
biggest shareholder will
come as a further blow for
chief executive Carolyn
McCall, adding to the air-
lines challenges as it tack-
les rising oil prices and
fragile consumer confidence.
BRITISH Midlands International (BMI)
has been slapped on the wrist by the
UKs advertising watchdog for posting
a misleading offer claiming 40 per
cent off all flights.
Earlier this year BMIs low cost air-
line bmibaby ran a promotional
email and internet advertisement
that read: Up to 40 per cent off ALL
flights!
The Advertising Standards
Authority (ASA) said that the offer
was misleading because the reduc-
tion applied only to the value of the
fare and excluded airport taxes and
charges.
In a statement yesterday, the watch-
dog said that a consumer would
assume from the headline that there
was a 40 per cent discount off the
total cost of flight, rather than scroll-
ing through the terms and condi-
tions.
Bmibaby however has said it had
not misled consumers and that the
terms and conditions clearly stated
the details of the discount.
The ASA has banned each advert
in its current form, and scolded the
airline for exaggerating the offer.
Bmibaby is a subsidiary of BMI
owned by Lufthansa and operates pri-
marily from East Midlands airport
and Birmingham airport.
BMI chastised
over misleading
special offer
BY KASMIRA JEFFORD
AVIATION
AVIATION
News
Stelios reignites row with easyJet over new aircraft
ITS WAR
l Stelios Haji-Iaonnou claims the
easyJet board has broken rules
l The feud is adding to the problems of
easyJet chief executive Carolyn McCall
THE Vienna Stock Exchange is looking
to boost lagging volumes by attracting
high-frequency trading firms along-
side its traditional bank and broker
members, joint-chief executive
Michael Buhl said yesterday.
The Vienna bourse saw average
monthly equity turnover of around
5.4bn (4.74bn) in the first six months
of this year, well below pre-crisis levels
and last years monthly averages of
around 6bn. We are looking now at
maybe also attracting a new member
category of high-frequency traders
because they are not active on the
Austrian market at all, Buhl said.
THE London Stock Exchange has
launched a government bond trading
service as part of the exchanges ongo-
ing efforts to diversify its business and
reduce its reliance on share trading.
The LSE bond trading business MTS
said yesterday the inclusion of govern-
ment bonds, known as gilts, takes to 17
the number of European sovereign
bonds on the system and several lead-
ing international banks had pledged
to use the system.
The launch of this platform marks
a great step forward for the sovereign
debt market, which continues to see a
rapid evolution, said Jack Jeffery, chief
executive of MTS.
Jeffery, formerly a senior bond trad-
er at ICAP, said the addition of bonds
was timely, given the increased focus
on transparency from regulators keen
to cast light on the over-the-counter
(OTC) markets.
There is an increasing demand to
trade gilts electronically, in a market-
place which improves on the efficien-
cies of voice broking, said Jeffery.
Inter-dealer brokers such as ICAP
and rivals BGC Partners, GFI and
Tullett Prebon offer investment banks
the ability to trade gilts over the phone
or through electronic systems.
But authorities in the US and
Europe are keen to force firms to trade
on regulated systems in a bid to allow
them to monitor OTC trading more
closely for signs of major market
events such as the collapse of Lehman
Brothers in 2008.
The LSE and the OTC brokers are
keen to establish themselves as system
providers of choice ahead of the rules,
which could take effect as early as next
year. The launch is the latest in a series
of moves by the exchange to diversify
its business away from its core activity
of UK share trading, a field where it
has lost market share to rivals.
LSE launches
government
bond platform
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DEUTSCHE Boerse shareholders repre-
senting about 60 per cent of voting
shares have backed a deal with NYSE
Euronext, the German exchange oper-
ator said a few hours before the offer
expired yesterday.
That was up from about 34.5 per
cent on Tuesday. The deal needs
approval from 75 per cent of Deutsche
Boerse shareholders, and then must
survive an EC antitrust review that is
likely to run through the rest of the
year.
Analysts do not expect Deutsche
Boerse to fall short of the 75 per cent
threshold.
Deutsche Boerse
nears NYSE deal
Vienna in high
frequency push
BY HARRY BANKS
CAPITAL MARKETS
CAPITAL MARKETS
M&A
RUSSIAN fertiliser group Phosagro

priced its London share sale yesterday,
raising $538m (337m) to pursue
acquisitions.
The offer valued the firm at $5.2bn,
significantly lower than early analyst
estimates of up to $8.7bn.
It priced its initial public offering
(IPO) in the lower half of its initial
range at $14 per global depository
receipt, or $420 per share. Sources
close to the deal said the IPO was sever-
al times oversubscribed.
Dmitri Sredin, chief executive of
Renaissance Advisors acting for
Renaissance Capital on the deal, told
City A.M.: The purpose of transaction
was not to cash up, it was to create a
currency for the company to partici-
pate in M&A transactions. There are a
lot of consolidation processes going on
and they want to participate.
Phosagro lists in
London for $538m
CAPITAL MARKETS
The London Stock

Exchange, led by
Xavier Rolet, has
launched a govern-
ment bond trading
platform
Picture: Micha
Theiner/CITY A.M.
News
ANALYSIS l London Stock Exchange
p
2,000
1,075
1,050
1,025
1,000
1,007.00
13 Jul
News
MONITISE surged yesterday after the
payments technology firm reinforced
its strong outlook for the upcoming
financial year, with revenues expected
to double.
Full-year revenues are now expected
to hit 14m, more than double the
6m reported last year.
It also said it forecasts an increase in
operating profit and cash generation.
The firm, which delivers mobile
banking, payments and commerce
networks worldwide, announced earli-
er this year it will enter a five-year deal
with Visa worth a minimum of 30m.
It says its international operations,
including ventures in India and Asia
Pacific, are also performing strongly.
Monitise says it is now handling
more than 10m bank transactions a
month, including 100,000 account
transfers and mobile payments a
week, with an average monthly value
of more than 100m.
Its full-year results will be published
on 1 September.
Broker Canaccord upped its target
price to 43p from 35p and said: the
trading update supports our bullish
view on the mobile banking and pay-
ments market and Monitises global
leadership position.
Monitises live operations, which
are the leading indicators of the long-
term profitability of the group, may
show impressive margins in the UK
and global accounts [division].
Chief executive Alastair Lukies said:
We continue to see very rapid growth
across all areas of its business, both in
the UK and internationally.
The strength of our broadening
partnerships and proven service
delivery capabilities is a key valida-
tion that our strategy is working
worldwide across mobile banking,
mobile payments and mobile com-
merce.
Shares in the firm closed 8.7 per
cent up at 37.50.
HOTEL operator MWB Group raised
its potential offer for the shares of
MWB Business Exchange that it
does not already own, after the
office space suppliers second-
biggest shareholder said it would
reject the initial bid.
MWB sweetened its offer to 1.75
new MWB units and 12.7p in cash
per Business Exchange share
which is about 80.1p per share.
The new offer values the compa-
ny at 52m, compared with MWBs
earlier bid, made on 27 April, which
valued Business Exchange at about
32.7m.
The company said the independ-
ent directors of Business Exchange
would accept the offer.
In May, Business Exchange recom-
mended MWBs bid over a 60m bid
approach from larger rival Regus.
Regus withdrew its offer in June
after being snubbed by MWB, which
owns more than 70 per cent of
Business Exchange.
Pyrrho Investment, which owns
an eight per cent stake in Business
Exchange, had said that MWBs
approach grossly undervalues the
company.
Paul Cummins, Pyrrhos invest-
ment director, said at the time:
MWB is holding a gun to the heads
of Business Exchanges minority
shareholders, and has presented us
with a derisory offer.
Pyrrho supports the new offer
from MWB.
Hotel group MWB increases Business
Exchange bid following investor unrest
CARREFOUR warned on profits for
the fourth time in a year after a plan
to raise prices backfired, and said a
potentially lucrative merger in Brazil
was off at least for now.
Shares in the French retail giant
dropped to a two-year low after it said
in a second-quarter sales update that
it expected operating profit in the
first six months to fall 23 per cent
and acknowledged it made a mistake
in raising prices earlier this year,
ahead of some rivals. Carrefour
shares have taken a pummeling after
tycoon Abilio Diniz abandoned a plan
to merge Brazilian retailer Grupo Pao
de Acucar (GPA) with Carrefours local
assets, following opposition from the
government and his partner in GPA,
French retailer Casino.
This is clearly another profit warn-
ing, the second in one month. Stay
away from the stock, a Paris-based
trader said.
The shares have fallen 44 per cent
since September last year.
Carrefour in profit alert
as Brazil deal hits buffers
RETAIL
FRENCH cosmetics maker LOreal

reported second-quarter sales
below market expectations, hit by
a slowdown in trading in North
America and eastern Europe.
The maker of Lancome lipstick,
Biotherm creams and Garnier
shampoos saw its second-quarter
sales rise 4.6 per cent, while ana-
lysts had expected an increase of
between 5.5 and six per cent.
Revenue from eastern Europe,
which rose 0.7 per cent in the first
quarter, was down 8.2 per cent in
the second quarter to 325.3m
(289m) on a reported basis.
It is the first time in many years
that we are seeing difficulties in
eastern Europe, LOreal chief exec-
utive Jean-Paul Agon said. He part-
ly blamed the regions problems on
its economic woes.
Revenue in North America,
LOreals biggest market, fell 4.9
per cent on a reported basis, hav-
ing grown 12 per cent in the first
quarter. Agon declined to give a
forecast for the year and would
only say the group was confident it
could improve sales and profits
and beat the markets average
growth rate.
We think the growth of the
market will be around four per
cent in the second half, said Agon.
LOreal sales below forecasts
BY HARRY BANKS
RETAIL
Monitise says
its revenues
will double
BY STEVE DINNEEN
TECHNOLOGY
BY HARRY BANKS
PROPERTY
Monitise boss Alastair Lukies said the company was still seeing rapid growth
MARKETING executives trimmed
their budgets in the last quarter, with
confidence dropping to the lowest
level in more than two years, accord-
ing to a bleak IPA/BDO Bellwether sur-
vey published today.
Spending has now fallen for three
consecutive quarters, as firms try to
slash costs to protect profits. However,
with 22 per cent of firms reporting a
reduced marketing spend, compared
to 20 per cent ploughing in more
money, the net balance shrank to a
2.2 per cent reduction. compared to
5.1 per cent in the first quarter.
Marketing executives confidence
in their own companies has also
dropped to the lowest level in nine
quarters, with the net balance drop-
ping from 12.8 per cent in the first
quarter to 3.3 per cent in the latest
survey.
IPA president Nicola Mendelsohn
said: The economy is going sideways
and this seems to be the way it is
going in the advertising marketplace
too.
Morale among
marketers at
two-year low
BY STEVE DINNEEN
MEDIA
ANALYSIS l Monitise
p
39
37
35
37.50
13 Jul
ANALYSIS l L'Oreal SA

92
88
84
84.94
13 Jul
ANALYSIS l Budget Revisions
2000 2002 2004 2006 2008 2010
10
6
3
-3
-30
-10
-50
GDP
Total markrting budget revisions
G
D
P
, c
u
r
r
e
n
t
p
r
i c
e
s
, a
n
n
u
a
l %
c
h
a
n
g
e
B
u
d
g
e
t
r
e
v
is
i o
n
s
, %
n
e
t
b
a
l a
n
c
e
HUGH Morgan is acting as financial
adviser and broker to MWB on its
approach for the outstanding shares
it does not own in Business
Exchange.
As managing director at the stock-
broker, which is one of the oldest in
the City, he has responsibility for a
wide range of corporate clients.
He first joined the investment
banking specialist in 2002 from
Swiss lender UBS, where he was an
executive director.
Brewin Dolphin acted as the finan-
cial adviser to Business Exchange,
led by managing director for corpo-
rate finance Sandy Fraser.
A specialist in financial advisory
work to the consumer and support
services sectors, Fraser has over 25
years of experience in the field.
He joined Brewin Dolphin as a
director in 2002 from a listed retail
services firm.
Fraser was joined by Alexander
Dewar from Brewin. Dewar joined
the broker in 2004 from supermar-
ket chain Sainsburys, where he was
head of the firms financial appraisal
team.
ADVISERS: PANMURE GORDON
HUGH MORGAN
PANMURE
GORDON
TIMELINE | MONITISE
2007
Monitise lists on the Alternative
Investment Market
2009
Visa takes 14 per cent stake
April 2010
Asia Pacific joint venture signed
with First Eastern
May 2010
Signs Indian joint venture with
Visa
Nov 2010
Mobile Money Network UK joint
venture signed with Best Buy
Europe and Charles Dunstone
Mar 2011
Nigeria pilot service launched
April 2011
Partners with JETCO in Hong
Kong to launch mobile payments
service
June 2011
Launches its first Mobile Money
apps for Standard Chartered in
India
July 2011
Registered customers approach-
ing 4.5m, monthly mobile bank-
ing transfer values more than
100m.
Says revenues will double
News
Betfair Group
The online gambling business has
appointed Matt Robinson to the new
role of emerging markets director.
Robinson, who will start in the coming
months, joins Betfair from Bwin.party
Digital Entertainment, where he was
central marketing director.
Norton Rose
The international legal practice has
hired John Conlin as a corporate part-
ner to its global energy team. Conlin
joins from Freshfields Bruckhaus
Deringer, where he was an of counsel
in the corporate energy team.
BlackRock
The investment management group
has appointed Paul Gilbody as head of
defined contribution consultant rela-
tions. Most recently, Gilbody was
director of market engagement for
the National Employment Savings
Trust, where he was responsible for
designing and implementing the com-
panys distribution strategy.
MAM Funds
Mark Wright has been promoted to
deputy manager of the CF Midas
Balanced Growth Fund. Wright joined
Midas Capital Partners in September
2006, and his research and analysis
has since expanded to cover most
asset classes.
Linklaters
Jim Rice has been appointed as divi-
sional practice head of finance and
projects at the law firm. Rice, who will
retain his current role as global prac-
tice head for capital markets, takes
over from John Tucker, who is return-
ing to full-time client work.
Alvarez & Marsal
The professional services and turn-
around consulting firm has strength-
ened its European Financial Services
Group by promoting managing direc-
tors Naeem Bashir Ahmad and Nils
Melngailis to co-heads of the group.
AEW Europe
The European real estate investment
manager has appointed Russell
Jewell as managing director, head of
private equity funds, based in London.
Jewell joins from Strategic Value
Partners, where he was managing
director, Europe.
CITY MOVES | WHOS SWITCHING JOBS Edited by Harriet Dennys
+44 (0)20 7092 0053
morganmckinley.com
To appear in CITYMOVES please email your career
updates and pictures to citymoves@cityam.com SPECIALISTS IN GLOBAL PROFESSIONAL RECRUITMENT
in association with
Hints at QE3 cause
mixed reactions
U
S stocks stopped a three-day
slide, but ended well off the
highs yesterday as investors took
the suggestion of further
Federal Reserve stimulus as a mixed
blessing.
The three major US stock indexes
rose more than one percent at their
peaks after Fed Chairman Ben
Bernanke suggested the Fed would
consider additional measures to sup-
port the economy if the outlook gets
worse. Energy and materials stocks led
gains, but the rally fizzled in after-
noon trading.
Bernankes comments were a posi-
tive this morning, but we had a little
too much happiness early on, said
Richard Sichel, chief investment offi-
cer of Philadelphia Trust Co. The com-
ments were not upbeat by any means,
and obviously, no one wants the econ-
omy to get to the point where more
stimulus is needed.
The Fed's $600bn bond-buying
effort, known as QE2, has contributed
to huge equity gains since September.
In testimony to the House Financial
Services Committee, Bernanke said
the recent economic weakness may
prove more persistent than expected ...
implying a need for additional policy
support. Stock investors had put a low
probability on any more stimulus
from the Fed, but Junes dismal jobs
report altered some perceptions.
The CBOE Volatility Index, Wall
Streets fear gauge, ended up just 0.2
per cent after dropping nearly nine
per cent to a session low on the Fed
chairmans comments. Over the past
three days, the VIX had climbed
almost 25 per cent while the S&P 500
lost about 2.3 per cent, pressured by
weak earnings and concerns over
Europes debt crisis.
The Dow Jones industrial average
rose 44.73 points, or 0.36 per cent, to
12,491.61 at the close. The Standard &
Poors 500 Index gained 4.08 points, or
0.31 per cent, to 1,317.72. The Nasdaq
Composite Index advanced 15.01
points, or 0.54 per cent, to 2,796.92.
News Corp shares jumped 3.8 per
cent to $15.93 and was the Nasdaqs
most active name after announcing it
had withdrawn a $12bn bid to buy the
61 per cent of broadcaster BSkyB it
does not already own. Volume in the
media companys stock was its highest
since 17 December 2004, when it was
officially added to the S&P 500.
News Corp is at the center of allega-
tions that one of its tabloid newspa-
pers committed criminal acts.
Energy and material stocks were the
top gainers, though they were off their
highs as crude oil cut its gains. The
S&P energy sector index rose 0.7 per
cent.
B
RITAINS FTSE 100 bounced yes-
terday, led by commodity stocks
as economic data from China
and soothing words from the US
Federal Reserve raised hopes that stag-
nation in the global economic recov-
ery might prove short-lived.
Having fallen near five per cent over
the previous three days, the mining
sector rallied 1.8 per cent after Chinas
GDP surprised on the upside, dampen-
ing fears the worlds largest consumer
of raw materials was heading for a
hard landing.
Fresnillo gained 5.6 per cent after
the silver miner said it would double
output at its newly opened Saucito
mine in central Mexico by 2015 or
2016 in a second phase of expansion.
Fresnillos shares hit a two-month
high and rose with the price of silver,
which has enjoyed a two-day rally as
investors have sought the precious
metals safe haven qualities in the face
of the European debt crisis.
News that (Fresnillos) plans to dou-
ble output at its Mexican Saucito mine
in the next four years in an effort to
make it the worlds biggest overall sil-
ver producer has also given sharehold-
ers a lift, Joshua Raymond, chief
market strategist at City Index, said.
Londons blue chip index climbed
37.47 points or 0.6 per cent at 5,906.43,
having fallen more than three per
cent in the previous three days.
Comments from the US Federal
Reserve on the possibility of more
stimulative policies also boosted
demand for equities.
It was another volatile session but
the data from China and comments
from Ben Bernanke (chairman of the
Fed) indicating aid for an ailing US
economy proved enough to persuade
investors to buy back in on the dips,
Jimmy Yates, head of equities at CMC
Markets, said.
He said while the FTSE bounced off
support levels around 5,860 the lack of
conviction from traders to push the
market beyond its current range
reflected uncertainty over the current
macro economic situation.
Burberry climbed 6.5 per cent after
the maker of luxury goods beat first-
quarter sales forecasts and raised
expectations for its wholesale opera-
tions, boosted by overseas demand and
travel retail.
British fashion retailer, SuperGroup,
jumped 21 per cent, the top FTSE250
riser, on the back of better than
expected full-year results, with pre-tax
profits of 50.2m, up 89 per cent on
last year. Marks & Spencer, however,
shed 2.5 per cent, retracing all and
more of Tuesdays gains with the
retailers first-quarter trading update
mixed, said Singer Capital Markets.
Banks were also mixed as uncertain-
ty over the outcome of Europes debt
problems hamstrung the sector.
Eurozone plans for a summit on a
second Greek rescue were thrown into
doubt by Germany, raising fears mar-
kets may exploit a policy vacuum with
a new onslaught on the blocs high
debtors.
Tentative signs of increased assis-
tance to Greece and beyond are
encouraging. However, the banks in
Europe are inextricably linked to the
sovereign spreads currently, Goldman
Sachs said in a note. A near term con-
vincing resolution to the funding
issues could trigger a strong bounce in
banks and the market, but inaction
raises the risks of contagion and lower
equity values.
BSkyB, meanwhile, rose two per
cent as News Corp withdrew its bid to
buy out the 61 per cent of the broad-
caster it does not already own after the
government turned on Rupert
Murdoch over the phone hacking
scandal.
Commodities boost FTSE rise
as China data elevates miners
THELONDON
REPORT
THENEW YORK
REPORT
BEST OF THE BROKERS
To appear in Best of the Brokers email your research to notes@cityam.com
ANALYSIS l Essar Energy
470
420
380
3May 23May 10Jun 30Jun
p
377.48
13 July
ESSAR ENERGY
Goldman Sachs rates Essar a buy with a 5.75 target price after disappoint-
ing second-quarter results. Its earnings were hit by underperforming units
but Goldman thinks these will recover after an overhaul in September, and is
focusing on its refinery upgrades, due for completion at the end of the year,
which it believes will power its growth. It has lowered its earnings forecasts
for the 2011 full year but has raised its 2012 forecasts by one per cent.
ANALYSIS l ARM Holdings
640
600
560
p
589.00
13 July
ARM HOLDINGS
Numis rates ARM add with a 6.60 target price as it believes its royalty rev-
enue from the processors in smartphones and tablet computers is improving
and it is growing its market share in the tablet, netbook and computer mar-
kets despite a softer market for handsets. Numis believes ARM, which sup-
plies Apple, Samsung and HTC, will grow tablet market share to 65 per cent
by 2012 and upgrades its 2012 earnings per share forecast by five per cent.
ANALYSIS l Thomas Cook
175
165
155
145
135
125
115
105
95
85
p
85.15
13 July
THOMAS COOK GROUP
JP Morgan Cazenove is neutral on Thomas Cook with a 1.78 target price
after its profit warning on its full-year 2011 earnings. The broker believes
tougher-than-expected UK market conditions represent about two thirds of
the downgrade and sees a real need for major change in its UK operation. It
believes Thomas Cooks forecast profit downgrade is still overly optimistic and
has cut its full-year 2011 earnings per share by 31 per cent to a forecast 14.3p.
p
18Apr 12May 2Jun 22Jun 12Jul
6,100
5,700
5,800
5,900
6,000
ANALYSIS l FTSE
5,906.43
13 Jul
Capital & Regional
The property investment firm has appointed
Tony Hales as a non-executive director, with
effect from 1 August. Hale has been chairman
of Workspace Group since 2002 and will step
down from the board following the AGM in
July. Hales is currently chairman of British
Waterways, senior independent director of
International Personal Finance, and chairs
NAAFI Pension Fund Trustees. Hales was pre-
viously chief executive of Allied Domecq and a
non-executive director of HSBC Bank.
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T
HE Retail Distribution Review
(RDR) will help transform the
financial services industry. This
transformation will give
investors the choice, advice and serv-
ice they deserve at much better value.
The overall cost of investing is likely to
fall as a result of RDR. Indeed, we have
already started to see significant
changes in how much it costs to invest
in funds. A new generation of low
cost, actively managed funds has been
launched this year, where investors
can get the benefit of active manage-
ment at a fraction of the price. For
example, Schroder UK core only
charges 0.4 per cent compared with a
typical charge of 1.6 per cent for an
actively managed fund. Worryingly,
many independent financial advisers
(IFA) or brokers dont offer access to
this new breed of low cost fund. This
is where RDR comes in.
Speaking plainly, when IFAs and
brokers do not receive any commis-
sion from fund management groups,
it is not in their interests to promote
the funds from those providers to
their clients. This is the biggest chal-
lenge facing the industry and one of
the main reasons RDR is being intro-
duced. In not making available cer-
tain funds to their clients, brokers
and IFAs are not putting their clients
interests first, thus raising all kinds of
ethical questions. Are brokers only
recommending funds for which they
receive better commission terms from
the fund manager to the long term
detriment of their clients?
While RDR will ultimately reduce
the cost of investing, it is important
that investors do not focus solely on
cost efficiencies, as the advice that
comes with it can save a small for-
tune, as well as make one. If costs
alone were the answer, then active
fund managers would not be needed.
The truth is that, depending on the
situation, passive investments some-
times work and at other times an
active approach does. The US, as the
worlds largest stock market, has been
a graveyard for poorly performing
funds, with 35 out of 48 funds under-
performing the S&P 500 over a 10 year
period. The effect has cost investors
102.9m in charges alone, without
even taking into consideration what
may have been lost through poor per-
formance.
At Bestinvest, we separate out our
fund rating system and the commer-
cial element of the business, which
frees us up to consider which funds
are best for clients in which sector.
This means we can recommend a low
cost tracker fund in the US (HSBC
American index R) or the previously
mentioned Schroder UK core for large
cap UK exposure (this sector still bene-
fits from active management, particu-
larly when the costs are driven so
low), or an active managed fund for
areas such as smaller companies or
emerging markets.
RDR will also lead to improvements
with charges on products as well. Few
people pay for their Isa wrapper, and
we are now seeing similar develop-
ments in the Sipp space. Many
providers offer their Sipps free of
charges, but many still take full ongo-
ing commission from the invest-
ments. Once again, the solution is the
same: a combination of low cost and
good advice to provide investors with
the best value product on offer. This
year we launched the Best Sipp in a
move to drive down costs for
investors, while offering independent
research, portfolio models and a
unique rating system. This is impor-
tant for the industry and in relation
to RDR, where the focus is on trans-
parency of costs. However, some advis-
ers and brokers are concentrating on
offering the cheapest products in the
industry, while others focus on mar-
keting the latest new product or fad.
The Bestinvest view is that there is a
real alternative, providing guidance,
research and the tools for investors to
make the right decisions based on
their particular set of circumstances,
but at the right cost. We shouldnt get
caught up and focus solely on charges.
Instead we need to look at the bigger
picture and provide the best value
service to clients.
Adrian Lowcock is senior investment
adviser at Bestinvest.
Wealth Management | RDR
INVESTMENT COMMENT
ADRIAN LOWCOCK
RDRs aims
Consumers are offered a transparent
and fair charging system for the advice
they receive
Consumers are clear about the service
they receive
Consumers receive advice from highly
respected professionals
New rules will require:
Advisory firms to explicitly disclose and
separately charge clients for their serv-
ices
Advisory firms to clearly describe their
services as either independent or
restricted
Individual advisers to adhere to consis-
tent professional standards, including a
code of ethics
RDRS AIMS AND REQUIREMENTS
RDR could give
investors better
investment picks
Unleashing a
new breed of
value funds
Six things we will
get more of when
RDR is introduced
W
HETHER investors are aware
of it or not, the Retail
Distribution Review (RDR)
will shake up investing.
Expect more regulation, professional-
ism, transparency, low-cost invest-
ments and investment trusts but you
should also assume we will get some
unforeseen outcomes.
1. REGULATION
Even though it is soon to be abolished,
the Financial Services Authority (FSA)
is still throwing its regulatory weight
around and in no place is this more
clear than in the regulatory frame-
work of the RDR, which comes into
force on 31 December 2012.
Although much of the regulation
has already been worked out, there
are more directions to come. Kenn
Taylor of Navigant explains that there
are two FSA papers yet to come that
will have a big impact on investing.
The first, due at the end of July, is on
investment platforms and will, accord-
ing to Taylor, confirm whether the
current rebating of fees from fund
managers to platforms and advisers is
going to change. He also points out
that a second paper on what happen
to pre-RDR commissions which
advisers thought they could continue
to receive post RDR is due towards
the end of the third quarter. Taylor
warns: This paper might cause advis-
ers to lose the right to keep ongoing
commission on pre-RDR business
when they give a customer new
advice.
2. PROFESSIONALISM
The website of Scottish Widows
explains that the new professionalism
requirements include raising the
benchmark qualification for inde-
pendent financial advisers (IFA) from
the current level 320, equivalent to A-
level, to QCF level 4 diploma, equiva-
lent to first-year university degree
level. Advisers will also need to be
members of a professional body and
be part of ongoing structured
Continuing Professional Development
(CPD).
Head of advice at Hargreaves
Lansdown Danny Cox says regulation
will promote improved professional-
ism, with advisers required to adhere
to consistent professional standards,
including a code of ethics, by joining
an accredited professional body. After
the deadline, those advisers who dont
make the grade will no longer be
allowed to advise. Cox expects:
Improved professionalism through
improved qualifications: those advis-
ers who dont make the grade should-
nt still be advising, and wont be
allowed to, after 1 January 2013. He
adds: Advisers will be required to
adhere to consistent professional stan-
dards, including a code of ethics, by
joining an accredited professional
body.
Taylor says: Advisers will have to
learn new skills and be confident to
sell financial advice rather than the
latest fund or product offering. He
thinks the ban on commission is
designed to remove conflicts of inter-
est so advisers act for their customers,
while best execution rules mean
independent advisers will need to
shop around for the best deals for cus-
tomers rather than use a single invest-
ment platform for dealing.
3. TRANSPARENCY
Jasper Berens, head of UK intermedi-
ary sales at JP Morgan Asset
Management, says the regulation on
charging will, for the first time, make
the cost of all investment advice
absolutely explicit and transparent.
The FSA, explains Jonathan
Chocqueel-Mangan of Tyler Mangan,
is aiming to establish a transparent
payment structure that eliminates
Wealth Management | Retail Distribution Review
Investors should be aware of the changes being wrought by
regulators, as they are set to impact upon both the options
and ways they will be able to invest, writes Philip Salter
The FSA is still
throwing its
weight around
Picture: REUTERS
bias in the recommendations made
to consumers by advisers.
4. UNFORESEEN OUTCOMES
However, as with the best-laid plans
of mice and men, those of regulators
can also go askew. Cox argues the
halo effect of fees for independent
advice falling from the 6 per cent
commission levels towards 1 per cent
covers up the unintended conse-
quence upon the mass market. Cox
argues those with assets of less than
100,000 could be being priced out
of the independent advice market.
Things will certainly not get any eas-
ier for advisers, Naughton says for
wealth management firms who feel
like they are struggling under the
burden of compliance and regula-
tion, things are only going to get
tougher. Berens thinks for advisory
firms that already charge fees prof-
itably and in compliance, the 2013
deadline should hold no worries,
but believes for those firms that
have been remunerated primarily by
commission, the new responsibili-
ties posed by adviser charging may
well be daunting.
Taylor says: It is expected that a
significant number of current inde-
pendent advisers will opt to become
restricted and sell a limited range
of investments traded across a single
platform to simplify their business
model. He also thinks it is arguable
whether investors will use this
increased transparency to shop
around more, although he thinks it
is clear many customers will be put
off by the fees charged. He believes
it is likely many with small
amounts to invest will opt not to
take advice, also noting estimates
suggest that 20 per cent of current
advisers are not even bothering to
take the required exams to continue
advising. Less advisers would mean
less advice.
5. LOW-COST INVESTMENTS
Unintended consequences can be
positive as well as negative. In this
instance, the changes could count-
er to the actual aims of the regula-
tions push individuals to take more
responsibility for their own finances.
Investors unable to get paid help
might take on the task of learning
and managing their own finances,
while advisers could turn to lower
cost passive investments, arguably to
the benefit of their clients.
6. INVESTMENT TRUSTS
As well as increasing demand for
low-cost passive investments such as
index trackers and ETFs, JP Morgan,
in its recently published paper
Investment Trusts: The Case for
Consideration, claims RDR will make
investment trusts more appealing:
For those advisers and clients who
want active investment, very few
other retail investment vehicles have
been able to offer professional port-
folio management at lower overall
cost than an investment trust.
David Barron, head of investment
trusts at JP Morgan Asset
Management, says: With a track
record over 140 years, attractive per-
formance and structural advantages
that can work really well for long
term investors, we believe there are
opportunities for advisers to use
investment trusts.
Whatever the impacts for good
or ill of RDR, there can be no doubt-
ing that these regulations will
change the UKs investment land-
scape. The advantages of more pro-
fessional and transparent service
could be offset by less advice. Then
again, we might just see cheaper
lower-cost investments alongside a
growing sophistication among
investors.
Wealth Management | RDR
bonds and loans
Investment trusts, managed by Henderson
www.hendersondiversifiedincome.com
0800 138 3683
Henderson Diversified Income
2010/11 2009/10 2008/09 2007/08 2006/07
Share Price (Total Return) 18.1% 85.3% -44.1% - -
Net Asset Value (Total Return) 9.8% 72.5% -31.8% - -
Source: All performance and growth data sourced from Morningstar
as at 31 March 2011, unless otherwise stated. Henderson took over
management on 1 May 2009.
* LIBOR is the London Interbank Offered Rate which is the
central bank lending rate in the UK.
Annual Growth to 31 March 2011
Ref: HDIVCA-01
The facts youll want to know
Invests selectively in fixed income assets such as
high yield corporate bonds, and floating rate secured
loans to provide a high level of income.
Distributable income and therefore dividends will
increase if interest rates rise.
Targets ongoing total returns of at least three month
Sterling LIBOR* plus 1.25% with quarterly dividends
paid in March, June, September and December.
suits my approach...
Flexibility from
Henderson Diversified Income invests in a wide
range of fixed income securities and floating rate
secured loans giving it flexibility with the aim of
providing investors with a consistently high income
as market conditions change.
As interest rates rise, the income from secured loans
increases. Conversely when rates are low the bonds in
the portfolio provide stability of income. For investors
looking for long term income, without the risk of
investing only in shares, Henderson Diversified Income
may prove an attractive solution.
Whats more, you wont find another investment
company like it - Henderson is unique as a
management group in combining expertise in both
bonds and loans in a fully flexible portfolio.
Past performance is not a guide to future performance.
The value of an investment and the income from it can
fall as well as rise as a result of market, currency and
interest rate fluctuations and you may not get backthe
amount originally invested. Secured loans are not listed
and in periods of market turbulence may be more
difficult to buy or sell.
Henderson Global Investors is the name under which Henderson Global Investors Limited (reg. no. 906355), Henderson Fund Management Limited (reg. no. 2607112), Henderson
Investment Funds Limited (reg. no. 2678531), Henderson Investment Management Limited (reg. no. 1795354), Henderson Alternative Investment Advisor Limited (reg. no. 962757),
Henderson Equity Partners Limited (reg. no.2606646), (each incorporated and registered in England and Wales with registered office at 201 Bishopsgate, London EC2M 3AE),
Gartmore Investment Limited (reg. no. 1508030), Gartmore Fund Managers Limited (reg. no. 1137353), (each incorporated and registered in England and Wales with registered
office 8 Fenchurch Place, London EC3M 4PB) are authorised and regulated by the Financial Services Authority to provide investment products and services. Henderson Diversified
Income Limited is a Jersey fund, registered at Liberte House, 19-23 La Motte Street, St Helier, Jersey JE2 4SY and is regulated by the Jersey Financial Services Commission.
...a lower risk
than just equities,
thats what I want.

June 2007
FSA issue discussion paper on A Review of Retail Distribution
March 2010
FSA issue final rules for improving clarity services and
adviser remuneration
July 2010
FSA issue final rules for corporate pensions
September 2010
FSA issue final rules for pure protection products
October 2010
FSA issues quarterly consultation clarifies advisor charging,
rules on trail commission and proposes training and
competence reporting requirements
November 2010
FSA issue proposals for platforms, wraps and fund supermar-
kets
December 2010
FSA issues final rules on competence and ethics
February 2010
FSA issues proposals on product disclosure
May 2011
FSA issues proposals on data collection
WE ARE HERE
Third quarter
Estimated date for FSA to issue final rules on platforms, wraps
and fund supermarkets
End of 2011
Prudential rules for Personal Investment Firms transitional
deadlines for capital adequacy requirements
1 January 2013
Full implementation of RDR framework
31 December 2013
Personal Investment Firms must comply fully with the new
prudential rules
TIME LINE | KEY DATES PAST AND FUTURE FOR RDR SOURCE: SCOTTISH WIDOWS
Our flagship fund, the Scottish Mortgage
Investment Trust is a global stock-picking
fund thats completely free of asset allocation
constraints. Our fund managers simply choose
stocks and themes where they see real
potential for growth. Thats why we continue
to believe that the rise of China and other
developing markets will transform the global
economic scene. We also think that stock
markets continue to underestimate the power
of technological change.
Please remember that changing stock market
conditions and currency exchange rates will
affect the value of investment in the fund and
any income from it. You may not get back the
amount invested.
We may record your call. Baillie Gifford Savings Management Limited is the manager of the Baillie Gifford
Investment Trust Share Plan and Investment Trust ISA and is wholly owned by Baillie Gifford & Co, which
is the manager and secretary of the Scottish Mortgage Investment Trust PLC. Baillie Gifford Savings
Management Limited, Calton Square, 1 Greenside Row, Edinburgh EH1 3AN.
Call 0800 027 5227 or visit
www.scottishmortgageit.com
The Scottish Mortgage Investment Trust is available
as a Share Plan or an ISA
If youre looking for investment success it
helps if your portfolio reects economic reality
rather than past performance. Wagons ho!
BIG
ON PROSPECTS
RDR must face
up to the law
of unintended
consequences
T
HE process of implementing the
Retail Distribution Review (RDR)
is gathering momentum. Over
the next few months, expect it
to leap into public consciousness. The
impact for investors will be signifi-
cant but does RDR have staying
power beyond the 31 December 2012
implementation deadline?
Front and centre of RDR are three
core aims: improving the clarity of
investment management services to
consumers; increasing professional
standards of investment advisers; and
addressing the potential for adviser
remuneration to distort service. All
three are entirely justified. As ever, the
devil is in the detail.
Let us not forget what private
investors want. Almost all are looking
to achieve steady growth in the value
of their savings, protection against the
corrosive effect of inflation and con-
sistent returns. They want to know
that they will always be able to drive a
nice car and are not at risk of moving
from a Ferrari this year, to a moped
next.
The private client investment indus-
try is a fragmented one, with a num-
ber of business models. The issue that
the Financial Services Authority (FSA)
faces as it implements RDR is that a
one size fits all approach may not
work. Those businesses where revenue
comes from front end charges and
trail commission, particularly those
that are relatively small, will find
implementing RDR extremely chal-
lenging. There is already evidence of
consolidation within IFAs.
Wealth managers that emerged
from stockbroking firms many of
whom are represented by APCIMS (the
Association of Private Client
Investment Managers) are likely to see
less of an impact, but as Ian Cornwall,
APCIMS director of regulation, recent-
ly stated, the data source has been
based upon IFA business models.
APCIMS is lobbying the FSA to proper-
ly understand the distinct character of
wealth management businesses and
ensure that the costs associated with
RDR do not outweigh the benefits.
The hijacking of independent
by RDR is just one example of
clarification in terminology
which is currently understood
by investors. In short, is an
adviser tied to specific prod-
ucts or truly independent? RDR
seems to redefine independence,
with only those firms that are able
to give advice on all aspects of client
finances defining themselves as such.
Transparency on costs is a key part
of RDR and something to be applaud-
ed. Along with tax planning and good
investment performance, these are
the three most important factors that
determine long term success. With
transparency comes the impact of
market forces, which must be to the
advantage of consumers. The only
potential issue that will need to be
monitored is an unwillingness by
investors to pay for advice. Consumers
are far more price sensitive when they
have to write a cheque for a product or
service than when it is embedded in
the overall price. Whether this is
rational or not is not the point. The
problem will come if investors shy
away from taking advice because of
the cost and end up making bad deci-
sions.
Finally, ensuring that all financial
service practitioners are properly qual-
ified is once again entirely sensible.
What the IFA sector is, however, seeing
is that advisers with 20-30 years expe-
rience are understandably upset to be
deemed not competent unless they
gap fill by taking exams. A number
have decided to sell their businesses
and retire instead. It is rather similar
to what is happening to healthcare in
the USA. It is estimated that 20 per
cent of the workforce will retire in the
next 5-15 years because of the
boomer effect. An aging population
will need more medical care, but doc-
tors are retiring just when they are
needed, because their job has become
too tiring, too litigious, and too regu-
lated. RDR might to do the same to
financial services if we are not careful.
RDR aims to ensure that private
investors receive good advice at the
right price. Whether we are regulators
or investment advisers, we all need to
be certain that collateral damage is
kept to a minimum. Sensible regula-
tion is a good thing, but it does not
create good investment returns.
David Miller is a Partner at Cheviot Asset
Management, one of the largest independ-
ently owned investment firms whose assets
have doubled to 3.5bn since the credit
crunch began in 2007.
Wealth Management | Retail Distribution Review
@
www.cityam.com
MORE NEWS
ONLINE AT
INVESTMENT COMMENT
DAVID MILLER
Regulations have
a habit of tripping
up investors
Picture: GETTY
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PENSION FUND CURRENCY EXPOSURE
Though hedging is important in any portfo-
lio, it can be especially important within a
pension fund. Given that asset allocation
within a pension fund is more orientated to
fixed income over equity, with the investor
moving towards a lower risk approach, cur-
rency hedging becomes crucial. In addition,
Active currency overlay can be the
best approach, writes Craig Drake
These pensioners are
pleased at having
combined asset and
commodity expertise
Picture: GETTY
there is a small positive correlation
between domestic fixed income and cur-
rency (whereas between domestic equity
and currency the correlation appears close
to zero), and so currency becomes less of a
diversifying investment, making hedging
even more important.
APPROACHES TO HEDGING
Some managers may favour naturally
hedged assets. However, while individual
assets may be naturally hedged, the portfo-
lio of assets denominated in each currency
is not.
According to active currency managers
Adrian Lee & Partners, currency exposure
is inherent to an international investment
and ought to be managed, and portfolio
managers should not simply consider it as
a hidden investment. Due to the separate
nature of currency from assets, investors
can unbundle currency from assets and
look at the main policy issues that would
be looked at for a separate asset class.
This is where currency overlay can be
particularly useful. Currency overlay refers
to the management of currency exposures
in an asset portfolio, by a separate firm or
by a department separate from the curren-
cy manager. Rather than simply hedging
against currency movements, an overlay
manager replaces the currency positions
usually made by an underlying asset man-
ager with a specialised and deliberate cur-
rency investment position. The idea is that,
rather than currency positions being a sec-
ondary consideration to asset choice, the
investor is left with the best currency posi-
tions from the currency specialist and the
best asset decisions from the asset manag-
er.
TO OVERLAY OR NOT TO OVERLAY
According to Mark Hogg: It can often
depend upon the relative contribution of
currency risk to overall portfolio risk and
return. For example, if investing in foreign
currency bonds then the return volatility
of the currency component can far out-
weigh the risk on the investments them-
selves. Hogg adds: If one considers too
that bonds are often a defensive play for
many investors and furthermore the cur-
rency risk component of the portfolio
returns may have no expected return, then
you have to be asking the question, why am
I not managing the risk?
Wealth Management | Institutional FX
LON GD ONCE FIX AM...........1571.50 27.00
SILVER LDN FIX AM ..................38.21 2.80
MAPLE LEAF 1 OZ ....................63.00 2.00
LON PLATINUM AM................1744.00 29.00
LON PALLADIUM AM...............772.00 16.00
ALUMINIUM CASH .................2443.00 -8.00
COPPER CASH ......................9500.00 -55.50
LEAD CASH...........................2658.00 8.00
NICKEL CASH......................23075.00 -330.00
TIN CASH.............................26295.00 -55.00
ZINC CASH ............................2301.00 6.50
BRENT SPOT INDEX................116.86 0.00
SOYA .....................................1366.50 14.00
COCOA..................................3076.00 18.00
COFFEE...................................256.70 -1.20
KRUG.....................................1639.20 30.50
WHEAT ....................................167.07 5.80
AIR LIQUIDE........................................95.97 0.48 100.65 80.00
ALLIANZ..............................................90.93 0.94 108.85 79.46
ALSTOM ..............................................40.71 0.76 45.32 30.78
ANHEUS-BUSCH INBEV ....................38.73 -0.30 46.33 38.32
ARCELORMITTAL...............................23.42 0.11 28.55 20.76
AXA......................................................14.02 0.01 16.16 10.88
BANCO SANTANDER...........................7.33 -0.01 10.23 6.98
BASF SE..............................................68.23 1.23 70.22 40.74
BAYER.................................................55.41 -0.27 59.44 43.27
BBVA......................................................7.29 0.02 10.71 6.75
BMW ....................................................70.18 2.94 70.29 38.87
BNP PARIBAS.....................................46.51 -0.44 59.93 43.86
CARREFOUR ......................................22.33 0.34 36.06 21.33
CREDIT AGRICOLE..............................8.96 0.06 12.92 8.20
CRH PLC .............................................14.00 0.27 17.40 11.51
DAIMLER.............................................53.17 1.49 59.09 37.03
DANONE..............................................50.90 -0.15 53.16 41.00
DEUTSCHE BANK..............................37.93 -0.18 51.61 35.93
DEUTSCHE BOERSE .........................53.29 0.88 62.48 46.33
DEUTSCHE TELEKOM.......................10.31 0.15 11.38 9.50
E.ON.....................................................18.88 0.26 25.54 18.25
ENEL......................................................4.15 0.04 4.86 3.54
ENI .......................................................15.67 0.13 18.66 14.95
FRANCE TELECOM............................13.98 0.11 17.45 13.56
GDF SUEZ ...........................................23.53 0.20 30.05 22.81
GENERALI ASS...................................13.62 0.41 17.05 12.18
IBERDROLA..........................................5.55 0.04 6.50 4.86
ING GROEP CVA...................................7.86 0.27 9.50 6.35
INTESA SANPAOLO.............................1.64 0.07 2.53 1.41
KON.PHILIPS ELECTR.......................17.31 0.25 26.43 15.56
L'OREAL..............................................84.94 -2.95 91.24 75.03
LVMH..................................................125.75 2.30 129.95 87.53
MUNICH RE.......................................101.85 1.75 126.00 98.78
NOKIA....................................................4.05 -0.13 8.49 3.99
REPSOL YPF.......................................22.25 0.21 24.90 17.21
RWE.....................................................35.87 0.37 56.49 34.77
SAINT-GOBAIN...................................42.60 0.53 47.64 27.81
SANOFI ................................................54.98 0.77 56.82 44.01
SAP......................................................42.05 0.13 46.15 34.13
SCHNEIDER ELECTRIC...................108.55 1.50 123.65 81.40
SIEMENS .............................................94.15 1.17 99.39 70.02
SOCIETE GENERALE.........................35.99 -0.15 52.70 34.57
TELECOM ITALIA..................................0.87 0.02 1.16 0.80
TELEFONICA ......................................15.96 0.33 19.69 15.07
TOTAL..................................................38.85 0.02 44.55 36.23
UNIBAIL-RODAMCO SE...................152.80 -0.30 162.95 116.69
UNICREDIT............................................1.24 0.02 2.24 1.06
UNILEVER CVA...................................22.82 -0.25 24.11 20.68
VINCI ....................................................41.10 0.34 45.48 33.38
VIVENDI ...............................................17.31 0.02 22.07 16.87
Price Chg High Low
WORLD INDICES
FTSE 100 . . . . . . . . . . . . . . 5906.43 37.47 0.64
FTSE 250 INDEX. . . . . . . . 11843.19 65.17 0.55
FTSE UK ALL SHARE . . . . 3076.55 18.85 0.62
FTSE AIMALL SH . . . . . . . . 873.15 6.66 0.77
DOWJONES INDUS 30 . . 12491.61 44.73 0.36
S&P 500 . . . . . . . . . . . . . . . 1317.72 4.08 0.31
NASDAQ COMPOSITE . . . 2796.92 15.01 0.54
FTSEUROFIRST 300 . . . . . 1099.69 7.97 0.73
NIKKEI 225 AVERAGE. . . . 9963.14 37.22 0.37
DAX 30 PERFORMANCE. . 7267.87 93.73 1.31
CAC 40 . . . . . . . . . . . . . . . . 3793.27 19.00 0.50
SHANGHAI SE INDEX . . . . 2795.48 40.89 1.49
HANG SENG. . . . . . . . . . . 21926.88 263.72 1.22
S&P/ASX 20 INDEX . . . . . . 2715.20 7.10 0.26
ASX ALL ORDINARIES . . . 4583.20 19.70 0.43
BOVESPA SAO PAOLO. . 60669.89 965.14 1.62
ISEQ OVERALL INDEX . . . 2908.19 21.05 0.73
STI . . . . . . . . . . . . . . . . . . . . 3088.42 11.06 0.36
IGBM. . . . . . . . . . . . . . . . . . . 978.94 6.15 0.63
SWISS MARKET INDEX. . . 6025.23 10.39 0.17
Price Chg %chg
3M........................................................96.19 0.31 98.19 78.40
ABBOTT LABS ...................................52.77 -0.52 54.24 44.59
ALCOA ................................................15.85 0.14 18.47 9.92
ALTRIA GROUP..................................26.86 -0.04 28.13 21.11
AMAZON.COM..................................213.50 2.27 218.32 105.80
AMERICAN EXPRESS........................51.95 -0.45 53.80 37.33
AMGEN INC.........................................56.61 -0.29 61.53 50.34
APPLE...............................................358.02 4.27 364.90 236.78
AT&T....................................................30.82 0.05 31.94 24.50
BANK OF AMERICA...........................10.20 -0.01 15.72 10.15
BERKSHIRE HATAW B.......................76.32 0.54 87.65 73.23
BOEING CO.........................................72.17 0.24 80.65 59.48
BRISTOL MYERS SQUI ......................29.03 0.02 29.54 20.05
CATERPILLAR..................................108.64 1.71 116.55 63.34
CHEVRON.........................................105.09 0.70 109.94 70.96
CISCO SYSTEMS................................15.57 -0.03 26.00 14.78
CITIGROUP.........................................39.47 0.40 51.50 36.30
COCA-COLA.......................................68.06 0.21 68.89 51.92
COLGATE PALMOLIVE......................87.90 -0.05 89.36 73.12
CONOCOPHILLIPS.............................74.40 0.06 81.80 50.80
DU PONT(EI) DE NMR........................54.60 0.26 57.00 35.61
EMC CORP..........................................27.00 0.07 28.73 17.90
EXXON MOBIL....................................82.48 0.59 88.23 57.60
GENERAL ELECTRIC.........................18.51 0.13 21.65 14.25
GOOGLE A........................................538.26 4.25 642.96 448.00
HEWLETT PACKARD.........................35.44 0.17 49.39 33.95
HOME DEPOT.....................................36.13 0.02 39.38 26.62
IBM.....................................................174.32 0.27 177.77 122.28
INTEL CORP .......................................22.48 0.03 26.78 17.60
J.P.MORGAN CHASE.........................39.62 0.23 48.36 35.55
JOHNSON & JOHNSON.....................67.63 0.60 68.05 56.86
KRAFT FOODS A................................35.36 -0.04 36.02 24.30
MC DONALD'S CORP ........................84.96 -0.03 86.29 68.59
MERCK AND CO. NEW......................36.03 0.40 37.68 31.06
MICROSOFT........................................26.63 0.09 29.46 23.32
OCCID. PETROLEUM.......................102.97 0.94 117.89 72.13
ORACLE CORP...................................32.69 0.09 36.50 21.66
PEPSICO.............................................68.89 -0.12 71.89 61.71
PFIZER ................................................19.99 -0.01 21.45 14.39
PHILIP MORRIS INTL .........................66.84 -0.26 71.75 48.26
PROCTER AND GAMBLE ..................64.64 0.11 67.72 56.57
QUALCOMM INC ................................56.09 -0.43 59.84 34.51
SCHLUMBERGER ..............................87.00 0.16 95.64 52.91
TRAVELERS CIES..............................58.47 0.14 64.17 48.46
UNITED TECHNOLOGIE ....................88.17 -0.29 91.83 64.57
UNITEDHEALTH GROUP...................51.73 0.32 53.50 29.61
VERIZON COMMS ..............................36.94 -0.15 38.95 26.41
WAL-MART STORES..........................54.02 0.08 57.90 49.09
WALT DISNEY CO ..............................39.56 0.41 44.34 31.55
WELLS FARGO & CO.........................27.53 0.14 34.25 23.02
COMMODITIES CREDIT & RATES
BoE IR Overnight ............................0.500 0.00
BoE IR 7 days.................................0.500 0.00
BoE IR 1 month ..............................0.500 0.00
BoE IR 3 months ............................0.500 0.00
BoE IR 6 months ............................0.545 0.00
LIBOR Euro - overnight ..................1.422 0.35
LIBOR Euro - 12 months ................2.165 0.00
LIBOR USD - overnight...................0.124 0.00
LIBOR USD - 12 months.................0.742 0.00
HaIifax mortgage rate .....................3.500 0.00
Euro Base Rate ...............................1.500 0.00
Finance house base rate................1.000 0.00
US Fed funds...................................0.250 0.00
US Iong bond yieId .........................4.020 0.03
European repo rate.........................1.370 0.00
Euro Euribor ....................................1.462 0.01
The vix index ...................................18.59 -0.46
The baItic dry index ........................1.411 -0.02
Markit iBoxx...................................222.12 -1.46
Markit iTraxx....................................95.06 0.00
Price Chg High Low
Price Chg %chg Price Chg %chg Price Chg %chg
C/$ 1.4156 0.0183
C/ 0.8802 0.0034
C/ 111.88 1.5700
/C 1.1364 0.0034
/$ 1.6082 0.0145
/ 127.09 0.9652
FTSE 100
5906.43
37.47
FTSE 250
11843.19
65.17
FTSE ALLSHARE
3076.55
18.85
DOW
12491.61
44.73
NASDAQ
2796.92
15.01
S&P 500
1317.72
4.08
RPC Group . . . . . . . .355.5 -11.6 384.8 202.2
Smiths Group . . . . .1195.0 21.0 1429.0 1089.0
Brown (N.) Group . . .269.0 0.9 311.2 221.0
Carpetright . . . . . . . . .597.5 -13.5 835.5 596.0
Debenhams . . . . . . . . .67.1 -1.0 77.4 56.1
Dignity . . . . . . . . . . . .796.0 -15.0 815.5 633.0
Dixons RetaiI . . . . . . .15.4 -0.2 28.5 11.8
DuneImGroup . . . . . .460.4 -3.2 550.0 371.1
HaIfords Group . . . . .365.0 -7.0 525.0 348.2
Home RetaiI Group . .150.6 -2.1 244.5 148.9
Inchcape . . . . . . . . . .403.3 -1.2 425.4 253.2
JD Sports Fashion .1000.0 -20.0 1030.0 723.5
Kesa EIectricaIs . . . .142.0 -0.9 174.0 109.8
Kingfisher . . . . . . . . .254.1 -4.2 287.1 198.5
Marks & Spencer G . .363.8 -9.2 427.5 329.3
Mothercare . . . . . . . .410.6 -7.9 627.5 381.5
Next . . . . . . . . . . . . .2409.0 -1.0 2412.0 1868.0
Sports Direct Int . . . .258.0 0.4 270.0 101.1
WH Smith . . . . . . . . . .518.5 -1.5 538.0 398.2
Smith & Nephew . . . .669.0 -1.0 742.0 537.5
Synergy HeaIth . . . . .919.0 4.0 948.0 640.0
Barratt DeveIopme . .111.2 2.1 119.0 70.1
BeIIway . . . . . . . . . . . .682.0 -3.5 753.5 511.0
YuIe Catto & Co . . . . .236.6 0.7 253.0 118.5
BaIfour Beatty . . . . . .313.5 5.0 357.3 234.6
KeIIer Group . . . . . . .461.7 -5.6 698.5 432.0
Kier Group . . . . . . . .1365.0 -37.0 1418.0 970.0
Drax Group . . . . . . . .484.4 -5.1 503.5 353.6
Scottish & Southe . .1416.0 17.0 1423.0 1108.0
Domino Printing S . .678.0 11.0 705.0 440.0
HaIma . . . . . . . . . . . . .418.3 3.7 429.6 270.0
Laird . . . . . . . . . . . . . .189.8 -2.6 207.0 101.0
Morgan CrucibIe C . .355.8 35.9 357.0 189.1
Renishaw . . . . . . . . .1774.0 34.0 1854.0 772.5
Spectris . . . . . . . . . .1638.0 40.0 1653.0 835.5
Aberforth SmaIIer . . .708.5 -3.5 714.0 507.0
AIIiance Trust . . . . . .382.9 0.6 392.7 307.6
Bankers Inv Trust . . .417.4 3.4 428.0 353.6
BH GIobaI Ltd. GB . .1112.0 7.0 1174.0 1058.0
BH GIobaI Ltd. US . . . .10.9 -0.1 11.6 10.4
BH Macro Ltd. EUR . . .16.9 -0.2 17.2 15.8
BH Macro Ltd. GBP 1750.0 5.0 1775.0 1630.0
BH Macro Ltd. USD . . .16.8 -0.1 17.2 15.8
BIackRock WorId M .767.5 22.5 815.5 533.0
BIueCrest AIIBIue . . .173.9 0.4 176.2 164.5
British Assets Tr . . . .135.5 0.8 140.5 115.3
British Empire Se . . .518.0 1.5 533.0 422.0
CaIedonia Investm .1742.0 -9.0 1928.0 1543.0
City of London In . . .299.0 2.7 306.9 249.3
Dexion AbsoIute L . .145.5 0.0 151.0 131.2
Edinburgh Dragon . .246.5 0.9 262.1 210.3
Edinburgh Inv Tru . . .468.3 3.3 492.2 390.9
EIectra Private E . . .1723.0 0.0 1755.0 1246.0
F&C Inv Trust . . . . . .321.0 1.5 327.9 263.8
FideIity China Sp . . . .101.0 2.4 128.7 93.0
FideIity European . .1220.0 -5.0 1287.0 937.5
FideIity SpeciaI . . . . .557.5 -5.5 595.0 523.0
HeraId Inv Trust . . . . .531.5 -6.5 545.5 368.5
HICL Infrastructu . . . .114.8 -0.1 121.3 112.0
Impax Environment .118.0 -0.4 130.5 106.5
JPMorgan American .900.0 1.5 916.0 673.0
JPMorgan Asian In . .238.3 3.5 250.8 190.5
JPMorgan Emerging .595.0 4.0 639.0 494.0
JPMorgan European .926.0 4.5 983.5 641.0
JPMorgan Indian I . . .422.5 2.0 502.0 394.1
JPMorgan Russian .675.0 3.0 755.0 533.0
Law Debenture Cor . .375.2 3.2 385.0 295.1
MercantiIe Inv Tr . . .1063.0 1.0 1137.0 897.0
Merchants Trust . . . .411.8 -2.7 431.8 342.0
Monks Inv Trust . . . .353.5 0.9 367.9 282.0
Murray Income Tru . .654.5 2.5 673.0 553.5
Murray Internatio . . .960.0 -5.0 991.5 823.5
PerpetuaI Income . . .269.0 1.6 276.0 217.8
PoIar Cap TechnoI . .364.2 -2.2 391.2 275.6
RIT CapitaI Partn . . .1325.0 -2.0 1334.0 1107.0
Scottish Inv Trus . . . .510.5 -0.5 524.0 409.0
Scottish Mortgage . .762.5 2.0 781.0 566.0
SVG CapitaI . . . . . . . .263.8 1.8 279.8 148.9
TempIe Bar Inv Tr . . .924.0 1.0 952.0 754.0
TempIeton Emergin .660.0 3.5 689.5 531.0
TR Property Inv T . . .190.2 -3.9 206.1 138.2
TR Property Inv T . . . .89.6 -0.5 94.0 62.1
Witan Inv Trust . . . . .519.5 2.0 533.0 426.1
3i Group . . . . . . . . . . .286.8 4.9 340.0 254.1
3i Infrastructure . . . .122.8 0.7 125.2 108.9
Aberdeen Asset Ma .220.0 2.3 240.0 124.5
Ashmore Group . . . .393.7 -0.5 414.5 263.6
Brewin DoIphin Ho . .152.7 -2.2 185.4 114.0
CameIIia . . . . . . . . .10349.5 157.510950.0 7743.0
CharIes TayIor Co . . .144.0 0.0 234.0 122.0
City of London Gr . . . .78.5 1.0 93.6 70.7
City of London In . . .431.4 -3.6 461.5 273.5
CIose Brothers Gr . . .760.5 -6.5 888.5 664.0
CoIIins Stewart H . . . .71.0 -3.5 90.8 69.0
EvoIution Group . . . . .65.8 1.0 92.0 62.3
F&C Asset Managem .76.3 -0.5 92.9 47.5
Hargreaves Lansdo .603.0 2.0 646.5 325.1
HeIphire Group . . . . . . .3.3 -0.0 43.0 3.2
Henderson Group . . .154.0 -1.0 173.1 119.1
Highway CapitaI . . . . .19.5 0.0 21.0 6.0
ICAP . . . . . . . . . . . . . .482.1 1.4 570.5 380.2
IG Group HoIdings . .438.4 2.1 553.0 416.2
Intermediate Capi . . .302.5 -10.1 360.3 252.7
InternationaI Per . . . .365.0 4.0 388.8 189.0
InternationaI Pub . . . .116.8 -0.4 118.3 108.6
Investec . . . . . . . . . . .505.0 4.0 538.0 444.4
IP Group . . . . . . . . . . . .50.0 -0.3 54.5 27.9
Jupiter Fund Mana . .251.8 4.3 337.3 181.0
Liontrust Asset M . . . .75.0 2.0 95.3 70.0
LMS CapitaI . . . . . . . . .61.3 0.3 64.8 40.0
London Finance & . . .21.8 0.0 23.5 16.5
London Stock Exch 1007.0 5.0 1076.0 604.5
Lonrho . . . . . . . . . . . . .17.5 -0.5 19.8 10.5
Man Group . . . . . . . . .245.8 -0.6 311.0 206.4
Paragon Group Of . .193.7 4.3 206.1 118.7
Provident Financi . . .983.0 5.0 1033.0 728.5
Rathbone Brothers .1140.0 -17.0 1257.0 805.0
Record . . . . . . . . . . . . .31.3 -0.5 52.0 20.3
RSM Tenon Group . . .24.0 0.0 66.3 21.3
Schroders . . . . . . . .1605.0 31.0 1922.0 1193.0
Schroders (Non-Vo .1349.0 31.0 1554.0 999.0
TuIIett Prebon . . . . . .364.4 0.2 428.6 331.3
WaIker Crips Grou . . .51.0 0.0 51.0 46.5
BT Group . . . . . . . . . .196.7 0.5 204.1 130.6
CabIe & WireIess . . . .40.2 0.1 61.4 37.5
CabIe & WireIess . . . .48.7 4.0 90.0 44.8
COLT Group SA . . . .136.6 -3.4 156.2 109.0
TaIkTaIk TeIecom . . .144.6 2.6 168.3 114.3
TeIecomPIus . . . . . . .681.5 -17.5 700.0 340.0
Booker Group . . . . . . .75.8 1.0 77.9 42.0
Greggs . . . . . . . . . . . .535.0 -7.0 550.5 418.7
Morrison (Wm) Sup .295.6 -2.4 308.3 262.7
Ocado Group . . . . . . .190.8 -2.0 285.0 123.5
Sainsbury (J) . . . . . . .322.7 -0.3 395.0 319.1
Tesco . . . . . . . . . . . . .407.9 -0.3 440.7 378.1
Associated Britis . .1057.0 -13.0 1182.0 940.0
Cranswick . . . . . . . . .728.0 0.0 907.5 724.0
Dairy Crest Group . . .385.2 -1.5 424.9 339.7
Devro . . . . . . . . . . . . .270.9 -6.9 296.9 205.5
Premier Foods . . . . . . .18.1 -0.1 35.1 16.0
Tate & LyIe . . . . . . . . .616.0 -4.0 656.0 409.1
UniIever . . . . . . . . . .1994.0 -16.0 2065.0 1688.0
Mondi . . . . . . . . . . . . .650.5 17.5 664.0 398.1
Centrica . . . . . . . . . . .324.5 0.6 346.1 303.4
InternationaI Pow . . .306.9 2.7 448.6 301.3
NationaI Grid . . . . . . .610.0 4.0 632.5 487.6
Northumbrian Wate .452.2 1.3 453.3 295.5
Pennon Group . . . . . .702.5 1.5 715.0 560.0
Severn Trent . . . . . .1453.0 10.0 1517.0 1264.0
United UtiIities . . . . .589.5 2.5 632.0 543.5
Cookson Group . . . . .644.5 14.5 724.5 411.1
DS Smith . . . . . . . . . .248.8 -0.1 266.2 125.8
Rexam . . . . . . . . . . . .377.1 4.6 400.0 293.0
GIencore Internat . . .500.4 4.6 531.1 466.7
BAE Systems . . . . . .305.8 6.8 369.9 294.7
Chemring Group . . . .596.0 -1.0 736.5 519.6
Cobham . . . . . . . . . . .213.4 1.0 247.6 192.3
Meggitt . . . . . . . . . . . .383.0 6.9 389.1 261.7
QinetiQ Group . . . . . .126.2 2.3 136.3 96.7
RoIIs-Royce Group . .651.0 14.5 665.0 552.0
Senior . . . . . . . . . . . . .183.0 1.2 187.6 111.2
UItra EIectronics . . .1697.0 27.0 1895.0 1544.0
GKN . . . . . . . . . . . . . .237.2 3.7 245.0 130.6
BarcIays . . . . . . . . . . .228.0 0.4 344.0 224.7
HSBC HoIdings . . . . .606.6 0.4 730.9 600.1
LIoyds Banking Gr . . .44.4 0.5 77.6 43.3
RoyaI Bank of Sco . . .35.5 -0.5 52.1 34.7
Standard Chartere .1617.0 16.5 1950.0 1519.0
AG Barr . . . . . . . . . .1309.0 -8.0 1395.0 1035.0
Britvic . . . . . . . . . . . . .379.4 -2.6 518.0 364.5
Diageo . . . . . . . . . . .1271.0 0.0 1307.0 1050.0
SABMiIIer . . . . . . . . .2337.5 14.5 2372.0 1841.0
AZ EIectronic Mat . . .288.5 -13.5 338.1 248.5
Croda Internation . .2033.0 -43.0 2104.0 1109.0
EIementis . . . . . . . . . .179.1 2.1 187.4 67.0
Johnson Matthey . .2021.0 17.0 2119.0 1550.0
Victrex . . . . . . . . . . .1537.0 -4.0 1590.0 1076.0
Price Chg High Low
BerkeIey Group Ho .1258.0 8.0 1299.0 789.5
Bovis Homes Group .433.1 -2.8 464.7 326.6
Persimmon . . . . . . . .478.2 5.1 502.5 336.5
Reckitt Benckiser . .3474.0 -26.0 3648.0 3015.0
Redrow . . . . . . . . . . . .128.7 0.7 139.0 97.5
TayIor Wimpey . . . . . . .36.9 -0.2 43.3 22.3
Bodycote . . . . . . . . . .363.9 6.9 397.7 214.5
Charter Internati . . . .817.0 13.0 853.5 538.5
Fenner . . . . . . . . . . . .407.9 5.2 419.1 198.0
IMI . . . . . . . . . . . . . . .1096.0 32.0 1119.0 657.5
MeIrose . . . . . . . . . . .362.0 8.5 378.0 212.5
Northgate . . . . . . . . . .326.9 1.4 346.7 180.0
Rotork . . . . . . . . . . .1662.0 12.0 1895.0 1390.0
Spirax-Sarco Engi . .1962.0 43.0 2063.0 1499.0
Weir Group . . . . . . .2164.0 46.0 2196.0 1130.0
Ferrexpo . . . . . . . . . . .472.0 20.6 499.0 251.6
TaIvivaara Mining . . .417.9 11.9 622.0 386.9
BBAAviation . . . . . . .216.0 1.7 240.8 175.0
Stobart Group Ltd . . .141.5 0.2 163.6 124.1
AdmiraI Group . . . . .1547.0 -26.0 1754.0 1409.0
AmIin . . . . . . . . . . . . .403.3 3.6 433.0 375.3
Huntsworth . . . . . . . . .72.6 0.0 86.0 65.0
Informa . . . . . . . . . . . .431.4 7.3 461.1 352.8
ITE Group . . . . . . . . . .215.9 8.4 258.2 139.6
ITV . . . . . . . . . . . . . . . . .69.0 1.0 93.5 49.8
Johnston Press . . . . . . .5.8 0.3 20.0 4.4
MecomGroup . . . . . .233.3 7.0 310.0 184.0
Moneysupermarket. .106.4 0.0 109.3 64.6
Pearson . . . . . . . . . .1180.0 11.0 1207.0 920.0
PerformGroup . . . . .210.0 -2.0 234.5 202.8
Reed EIsevier . . . . . .554.0 -3.0 590.5 505.5
Rightmove . . . . . . . .1246.0 40.0 1250.0 596.5
STV Group . . . . . . . . .128.5 0.6 168.0 77.5
Tarsus Group . . . . . .150.5 0.0 165.0 112.5
Trinity Mirror . . . . . . . .40.5 -0.5 124.3 40.0
United Business M . .535.0 -2.0 725.0 507.0
UTV Media . . . . . . . . .124.1 -0.9 151.0 106.0
WiImington Group . . .116.5 0.8 183.0 114.0
WPP . . . . . . . . . . . . . .737.5 7.5 846.5 633.0
YeII Group . . . . . . . . . .11.0 0.0 30.2 5.1
African Barrick G . . .450.0 24.2 638.0 393.5
AngIo American . . .3035.0 43.0 3437.0 2254.0
AngIo Pacific Gro . . .312.0 -10.5 369.3 249.0
Antofagasta . . . . . . .1439.0 39.0 1634.0 903.0
Aquarius PIatinum . .316.8 16.1 419.0 227.1
BHP BiIIiton . . . . . . .2441.0 39.0 2631.5 1767.0
BeazIey . . . . . . . . . . . .126.7 2.5 139.2 110.4
CatIin Group Ltd. . . .396.5 -0.3 421.4 325.0
Hiscox Ltd. . . . . . . . . .405.3 -1.2 424.7 341.5
Jardine LIoyd Tho . . .659.0 1.5 709.0 561.0
Lancashire HoIdin . . .660.0 0.0 665.0 515.0
RSA Insurance Gro . .134.7 0.1 143.5 120.1
Aviva . . . . . . . . . . . . . .416.0 3.1 477.9 334.0
LegaI & GeneraI G . . .118.7 1.8 123.8 84.1
OId MutuaI . . . . . . . . .132.7 1.7 145.2 111.4
Phoenix Group HoI . .567.0 -5.5 758.0 564.0
PrudentiaI . . . . . . . . .707.0 6.5 777.0 506.0
ResoIution Ltd. . . . . .283.2 1.2 316.1 211.3
St James's PIace . . . .351.1 9.3 372.1 233.5
Standard Life . . . . . . .204.0 0.7 244.7 190.7
4Imprint Group . . . . .269.0 -1.0 295.0 195.0
Aegis Group . . . . . . .156.6 -0.9 162.3 107.0
BIoomsbury PubIis . .118.0 -0.8 138.0 108.5
British Sky Broad . . .705.5 13.5 850.0 663.5
Centaur Media . . . . . . .46.0 -0.5 73.0 44.8
Chime Communicati .253.5 -1.5 298.5 165.8
Creston . . . . . . . . . . .105.8 -1.3 121.0 78.5
DaiIy MaiI and Ge . . .439.4 -4.7 594.5 434.4
Euromoney Institu . .626.0 -19.0 736.0 578.0
Future . . . . . . . . . . . . . .17.0 -1.5 30.0 15.8
Haynes PubIishing . .255.0 0.0 262.5 202.5
Centamin Egypt Lt . .128.9 6.9 197.1 114.5
Eurasian NaturaI . . .784.5 17.0 1125.0 695.5
FresniIIo . . . . . . . . . .1520.0 80.0 1682.0 990.0
GemDiamonds Ltd. .237.4 -9.6 306.0 186.3
HochschiId Mining . .474.0 20.0 680.0 289.4
Kazakhmys . . . . . . .1365.0 52.0 1671.0 1017.0
Kenmare Resources . .56.6 -0.3 59.9 13.3
Lonmin . . . . . . . . . . .1375.0 20.0 1983.0 1349.0
New WorId Resourc .868.0 18.0 1060.0 847.0
PetropavIovsk . . . . . .797.0 32.0 1252.0 678.0
RandgoId Resource 5440.0 225.0 6655.0 4425.0
Rio Tinto . . . . . . . . .4441.0 52.5 4712.0 3005.0
Vedanta Resources 1908.0 22.0 2583.0 1832.0
Xstrata . . . . . . . . . . .1384.5 35.0 1550.0 908.6
Inmarsat . . . . . . . . . . .561.5 0.5 756.5 542.5
Vodafone Group . . . .161.8 -0.8 181.9 143.0
Genesis Emerging . .526.0 3.5 568.0 458.0
Afren . . . . . . . . . . . . . .157.3 3.5 171.2 82.8
BG Group . . . . . . . . .1427.5 29.5 1564.5 1003.5
BP . . . . . . . . . . . . . . . .456.5 3.3 509.0 375.2
Cairn Energy . . . . . . .401.1 3.6 493.2 366.0
EnQuest . . . . . . . . . . .125.0 -0.7 158.5 102.5
Essar Energy . . . . . .377.5 -1.0 589.5 375.1
ExiIIon Energy . . . . . .433.8 4.7 469.7 166.5
Heritage OiI . . . . . . . .233.0 5.8 486.0 210.0
JKX OiI & Gas . . . . . .262.2 6.2 335.1 256.0
Premier OiI . . . . . . . . .418.4 4.6 535.0 357.5
RoyaI Dutch SheII . .2231.0 22.0 2326.5 1703.0
RoyaI Dutch SheII . .2242.0 22.0 2336.0 1642.0
SaIamander Energy .282.7 3.8 317.6 210.0
Soco Internationa . . .362.3 3.8 484.2 292.0
TuIIow OiI . . . . . . . . .1303.0 19.0 1493.0 1123.0
Amec . . . . . . . . . . . .1095.0 4.0 1251.0 848.5
Hunting . . . . . . . . . . .790.5 19.0 817.0 483.3
John Wood Group . .688.0 21.5 715.8 339.5
LampreII . . . . . . . . . . .381.3 14.0 394.3 205.4
Petrofac Ltd. . . . . . .1502.0 16.0 1685.0 1250.0
Burberry Group . . . .1531.0 94.0 1545.0 790.5
PZ Cussons . . . . . . . .368.3 0.3 409.0 320.5
Supergroup . . . . . . .1062.0 184.5 1820.0 800.0
AstraZeneca . . . . . .3089.0 -4.0 3385.0 2801.5
BTG . . . . . . . . . . . . . .300.4 0.4 309.7 196.2
Genus . . . . . . . . . . . .1017.0 -3.0 1046.0 704.5
GIaxoSmithKIine . . .1359.0 -6.0 1375.5 1111.0
Hikma Pharmaceuti .764.0 -8.0 900.0 687.5
Shire PIc . . . . . . . . . .2046.0 44.0 2049.0 1376.0
CapitaI & Countie . . .193.3 1.3 203.7 107.9
Daejan HoIdings . . .2860.0 100.0 2989.0 2263.0
F&C CommerciaI Pr .102.5 -0.7 108.0 88.0
Grainger . . . . . . . . . . .123.6 -0.6 133.2 86.3
London & Stamford .130.3 0.7 140.0 110.3
SaviIIs . . . . . . . . . . . . .381.0 -7.0 427.1 291.0
St. Modwen Proper . .184.0 -6.5 196.2 135.4
UK CommerciaI Pro . .80.5 -0.1 85.5 74.3
Unite Group . . . . . . . .211.8 -7.4 229.8 175.0
Big YeIIow Group . . .308.8 1.8 353.3 287.1
British Land Co . . . . .604.0 13.5 629.5 443.0
CapitaI Shopping . . .379.8 0.4 424.8 320.9
Derwent London . . .1800.0 15.0 1880.0 1296.0
Great PortIand Es . . .432.9 5.1 445.0 295.9
Hammerson . . . . . . . .466.1 6.2 490.9 352.2
Hansteen HoIdings . . .87.0 1.5 89.3 59.4
Land Securities G . . .869.0 26.5 885.0 573.0
SEGRO . . . . . . . . . . . .306.2 0.7 331.3 262.5
Shaftesbury . . . . . . . .519.0 4.5 539.0 384.4
Autonomy Corporat 1757.0 8.0 1915.0 1271.0
Aveva Group . . . . . .1770.0 5.0 1799.0 1260.0
Computacenter . . . . .472.4 9.3 489.7 265.0
Fidessa Group . . . . .1981.0 -19.0 2109.0 1350.0
Invensys . . . . . . . . . . .319.2 4.5 364.3 230.2
Kofax . . . . . . . . . . . . .490.2 12.2 535.0 231.0
Logica . . . . . . . . . . . .123.0 -0.2 147.2 101.7
Micro Focus Inter . . .325.5 -11.0 452.4 276.0
Misys . . . . . . . . . . . . .395.0 -7.0 420.2 254.1
Sage Group . . . . . . . .286.0 -1.1 302.0 235.3
SDL . . . . . . . . . . . . . . .691.0 -5.5 711.5 503.0
TeIecity Group . . . . . .536.0 9.0 557.0 391.5
Aggreko . . . . . . . . . .2031.0 38.0 2033.0 1351.3
Ashtead Group . . . . .171.7 1.5 207.9 77.0
Atkins (WS) . . . . . . . .730.0 1.5 820.0 650.0
Babcock Internati . . .705.0 12.5 733.0 492.8
Berendsen . . . . . . . . .550.0 10.0 568.0 361.8
BunzI . . . . . . . . . . . . .794.0 14.0 801.0 679.0
Capita Group . . . . . . .710.0 12.5 794.5 635.5
CariIIion . . . . . . . . . . .382.8 5.8 403.2 291.2
De La Rue . . . . . . . . .741.0 1.5 939.0 549.5
EIectrocomponents .247.0 0.1 294.9 205.7
Experian . . . . . . . . . . .820.0 13.5 833.5 606.0
FiItrona PLC . . . . . . . .366.0 2.5 385.5 227.5
G4S . . . . . . . . . . . . . . .275.1 -0.2 291.0 237.7
Hays . . . . . . . . . . . . . . .95.3 0.4 133.6 89.0
Homeserve . . . . . . . .493.6 1.3 532.0 408.0
Howden Joinery Gr . .108.8 -1.5 127.5 63.0
Intertek Group . . . . .1911.0 -3.0 2148.0 1577.0
MichaeI Page Inte . . .537.0 13.5 567.0 368.0
Mitie Group . . . . . . . .239.4 3.2 242.5 188.7
Premier FarneII . . . . .189.0 5.5 308.8 183.1
Regus . . . . . . . . . . . . .105.1 1.1 119.0 66.1
RentokiI InitiaI . . . . . . .91.7 -1.2 114.0 84.3
RPS Group . . . . . . . . .237.8 -4.7 253.0 169.8
Serco Group . . . . . . .555.0 0.5 633.0 529.5
Shanks Group . . . . . .127.1 2.1 130.9 96.5
SIG . . . . . . . . . . . . . . .134.9 -1.6 153.5 90.7
SThree . . . . . . . . . . . .398.6 -7.4 447.6 231.1
Travis Perkins . . . . . .952.0 16.5 1127.0 747.0
WoIseIey . . . . . . . . .1939.0 31.0 2261.0 1223.0
ARM HoIdings . . . . . .591.5 -5.0 651.0 300.5
CSR . . . . . . . . . . . . . .307.1 -0.9 447.0 280.9
Imagination Techn . .399.8 3.8 502.0 303.5
Pace . . . . . . . . . . . . . .110.4 -2.7 231.8 93.0
Spirent Communica .137.6 -1.4 160.3 117.3
British American . .2790.5 -26.0 2847.0 2166.0
ImperiaI Tobacco . .2141.0 27.0 2231.0 1784.0
Avis Europe . . . . . . . .311.0 0.5 311.1 184.0
Betfair Group . . . . . . .706.0 29.0 1550.0 660.0
Bwin.party Digita . . .141.4 -0.6 309.5 127.0
CarnivaI . . . . . . . . . .2292.0 -12.0 3153.0 2037.0
Compass Group . . . .596.0 -3.0 612.0 501.0
Domino's Pizza UK . .431.7 1.7 586.0 377.0
easyJet . . . . . . . . . . . .321.0 -2.6 479.0 317.5
Enterprise Inns . . . . . .57.8 -1.2 122.7 57.8
FirstGroup . . . . . . . . .337.9 -15.1 412.6 311.3
Go-Ahead Group . . .1548.0 7.0 1598.0 1073.0
Greene King . . . . . . .491.6 -10.9 518.0 398.0
InterContinentaI . . .1282.0 19.0 1435.0 982.0
InternationaI Con . . .232.6 0.9 305.0 199.4
JD Wetherspoon . . . .437.1 -5.4 468.3 389.9
Ladbrokes . . . . . . . . .146.6 -1.9 155.3 122.7
Marston's . . . . . . . . . .103.2 -0.9 117.1 92.0
MiIIennium& Copt . .516.5 14.0 600.5 431.5
MitcheIIs & ButIe . . . .305.6 -0.1 361.0 284.4
NationaI Express . . .250.0 0.6 270.2 220.1
Punch Taverns . . . . . .71.3 -0.4 90.4 58.1
Rank Group . . . . . . . .147.8 -0.3 153.0 102.6
Restaurant Group . . .297.5 -1.9 335.0 214.2
Stagecoach Group . .256.1 -1.1 268.5 160.7
Thomas Cook Group .84.5 -3.4 204.8 84.4
TUI TraveI . . . . . . . . . .202.0 -2.7 271.9 190.0
Whitbread . . . . . . . .1567.0 -5.0 1887.0 1368.0
WiIIiamHiII . . . . . . . . .224.3 -1.8 237.3 155.5
Abcam . . . . . . . . . . . .419.5 9.0 460.0 274.0
AIbemarIe & Bond . .387.9 -2.1 397.5 218.0
Amerisur Resource . .20.3 -2.0 29.0 11.5
Andor TechnoIogy . .638.5 12.5 659.0 282.5
ArchipeIago Resou . . .57.0 0.1 66.8 32.3
ASOS . . . . . . . . . . . .2350.0 50.0 2468.0 840.0
AureIian OiI & Ga . . . .60.3 1.3 92.0 36.3
Avanti Communicat .406.3 -13.8 735.0 339.0
Avocet Mining . . . . . .217.3 18.3 253.5 112.0
BIinkx . . . . . . . . . . . . .128.5 0.0 148.8 52.8
Borders & Souther . . .52.8 1.3 93.0 49.5
BowLeven . . . . . . . . .310.8 -4.8 398.0 136.0
Brooks MacdonaId 1217.5 -5.0 1372.5 775.0
CaIedon Resources .111.0 0.3 111.5 32.0
Conygar Investmen .107.0 0.9 120.0 101.3
Cove Energy . . . . . . . .97.5 0.5 112.8 49.5
Daisy Group . . . . . . .124.5 4.5 127.0 86.0
EMIS Group . . . . . . . .539.8 12.0 555.5 303.5
Encore OiI . . . . . . . . . .63.3 -0.5 151.5 49.5
Faroe PetroIeum . . . .167.8 3.8 218.3 119.3
GuIfsands PetroIe . . .212.0 0.0 401.5 207.3
GWPharmaceuticaI .123.6 1.1 130.0 83.0
Hamworthy . . . . . . . .686.0 16.0 705.0 299.5
Hargreaves Servic .1060.0 -6.0 1076.0 600.0
HeaIthcare Locums . .112.5 0.0 112.5 112.5
Immunodiagnostic .1046.0 -54.0 1129.0 710.0
ImpeIIamGroup . . . .352.9 2.9 387.5 84.0
James HaIstead . . . . .489.8 9.6 489.8 306.0
KaIahari MineraIs . . .230.0 0.0 301.0 142.0
London Mining . . . . .404.0 9.5 436.5 240.3
Lupus CapitaI . . . . . .118.0 0.3 150.0 78.0
M. P. Evans Group . .450.0 -8.5 500.5 341.0
Majestic Wine . . . . . .495.0 -4.0 510.0 301.0
May Gurney Integr . .279.4 3.1 289.3 177.0
Monitise . . . . . . . . . . . .37.5 3.0 39.3 18.5
MuIberry Group . . . .1700.0 30.0 1750.0 274.0
Nanoco Group . . . . . . .82.0 -2.5 115.8 68.0
NauticaI PetroIeu . . .341.8 3.8 547.0 128.0
NichoIs . . . . . . . . . . . .565.3 -3.8 578.0 401.0
Numis Corporation . .118.8 0.8 146.5 94.0
Pan African Resou . . .13.5 0.3 13.5 5.9
Patagonia GoId . . . . . .51.8 2.5 59.3 12.5
Prezzo . . . . . . . . . . . . .67.8 0.3 71.5 38.3
Pursuit Dynamics . . .337.0 44.0 700.0 218.5
Rockhopper ExpIor .239.8 6.3 510.0 202.5
RWS HoIdings . . . . . .446.0 2.0 472.0 239.0
Songbird Estates . . .144.0 2.0 160.3 135.0
VaIiant PetroIeum . . .593.5 3.0 761.5 504.0
Young & Co's Brew . .692.8 8.0 692.8 513.0
Supergroup . . . . . . .1062.0 21.0
Morgan CrucibIe Co .355.8 11.2
CabIe & WireIess W . .48.7 8.8
Burberry Group . . . .1531.0 6.5
African Barrick Go . .450.0 5.7
Centamin Egypt Ltd .128.9 5.7
FresniIIo . . . . . . . . . .1520.0 5.6
Aquarius PIatinum . .316.8 5.4
Ferrexpo . . . . . . . . . .472.0 4.6
HochschiId Mining . .474.0 4.4
AZ EIectronic Mate . .288.5 -4.5
FirstGroup . . . . . . . . .337.9 -4.3
Gem Diamonds Ltd. .237.4 -3.9
Thomas Cook Group .84.5 -3.9
St. Modwen Propert .184.0 -3.4
Unite Group . . . . . . . .211.8 -3.4
Micro Focus Intern . .325.5 -3.3
AngIo Pacific Grou . .312.0 -3.3
Intermediate Capit . .302.5 -3.2
RPC Group . . . . . . . .355.5 -3.2
Risers FaIIers
MAIN CHANGES UK 350
Price Chg High Low Price Chg High Low Price Chg High Low Price Chg High Low Price Chg High Low Price Chg High Low Price Chg High Low
Price Chg High Low Price Chg High Low
GILTS
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MINING
NONEQUITY INVESTM. COMM.
Tsy 2.500 11 . . . . .307.06 -0.01 310.0 307.1
Tsy 3.250 11 . . . . .101.12 -0.02 103.6 101.1
Tsy 9.000 11 . . . . . .99.99 0.00 108.3 100.0
Tsy 9.000 12 . . . .108.76 0.00 116.2 107.9
Tsy 5.000 12 . . . .102.90 -0.25 106.9 102.6
Tsy 5.250 12 . . . .104.17 -0.03 108.2 104.1
Tsy 4.500 13 . . . .106.21 -0.04 109.2 105.8
Tsy 2.500 13 . . . .287.26 -0.03 287.7 274.9
Tsy 8.000 13 . . . . .115.69 -0.05 121.3 115.5
Tsy 5.000 14 . . . . .111.56 -0.15 114.1 109.2
Tsy 7.750 15 . . . .103.78 -0.75 110.4 103.0
Tsy 8.000 15 . . . .126.89 -0.24 131.6 123.7
Tsy 4.750 15 . . . . .112.54 -0.23 114.7 108.6
Tsy 4.000 16 . . . .109.95 -0.25 111.4 104.9
Tsy 2.500 16 . . . .332.95 -0.02 334.1 304.4
Tsy 12.000 17 . . .126.32 0.69 185.9 125.2
Tsy 1.250 17 . . . . .111.81 0.09 112.2 104.9
Tsy 8.750 17 . . . .137.31 -0.52 142.2 132.9
Tsy 5.000 18 . . . . .115.91 -0.23 117.6 109.7
Tsy 4.500 19 . . . . .112.24 -0.28 113.8 105.4
Tsy 3.750 19 . . . .106.33 -0.25 107.7 99.4
Tsy 2.500 20 . . . .339.98 0.06 341.5 303.8
Tsy 4.750 20 . . . . .113.42 -0.26 115.9 106.6
Tsy 8.000 21 . . . .142.21 -0.22 147.1 133.8
Tsy 4.000 22 . . . .105.50 -0.33 108.4 99.0
Tsy 1.875 22 . . . . .117.21 0.12 117.9 108.5
Tsy 2.500 24 . . . .298.33 0.10 300.2 262.1
Tsy 5.000 25 . . . . .113.85 -0.39 118.5 107.4
Tsy 4.250 27 . . . .103.83 -0.57 108.8 97.9
Tsy 1.250 27 . . . . .110.78 -0.15 111.6 100.5
Tsy 6.000 28 . . . .126.13 -0.54 132.7 119.5
Tsy 4.750 30 . . . .109.17 -0.60 115.0 103.0
Tsy 4.125 30 . . . .283.76 -0.13 285.8 248.7
Tsy 4.250 32 . . . .102.13 -0.66 107.8 96.0
Tsy 4.250 36 . . . .101.38 -0.76 107.4 95.0
Tsy 4.750 38 . . . .109.87 -0.79 116.5 102.8
Tsy 4.500 42 . . . .105.94 0.00 112.8 98.9
% %
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Y
OUVE done all the hard work and
managed to qualify as an account-
ant congratulations. So whats
next? If you have decided to remain
in the profession, many of you, quite
rightly, will be aiming for the top and
that coveted partnership. So how do you
go about getting noticed by the powers
that be in order to achieve your objective?
Susan Hutter, a partner in W1 account-
ants Shelley Stock Hutter, gives her five
top tips.
1. WORK HARD
It may be a cliche but its true, success
only comes before work in the dictionary.
You should be prepared to go that extra
mile as it really gets noticed by the part-
ners. In other words, behave like a partner
and act as you would if it was your prac-
tice. A partner will work the hours, not
the job, and that is what you should try to
emulate. It does not mean that you have
to work 24/7 but if there is an important
project that needs to be finished, come in
early, stay late and if necessary work at
the weekend. Meeting inflexible dead-
lines is a way of life in the profession and
you must be prepared to step up to the
mark.
2. STAND OUT
Give yourself a unique selling point that
will set you apart from the competition.
Become a specialist in your favourite area,
whether that is IT, audit, tax or something else
again. It may be necessary to take further exams
to become an expert. Although after qualifying
some feel that they never want to see another
exam room in their lives, the pain is worth it.
3. LEARN TO MANAGE
Get involved with the management of the prac-
tice. One of the main ways you can assist the part-
ners is to offer assistance with managing the
staff. This is an arena where you will be able to
show off your training and motivational skills.
There are some excellent courses you can attend
to help you achieve these skills. Be patient and
show that you have time for everyone.
4. GET CONNECTED
Start to build up a network of those who can
introduce you to potential clients. One of the
main ways of achieving a place in the hearts of
the partners is to introduce business into the
practice. The banks and other introducers such
as lawyers, often put on networking events for
their clients and contacts and it is not difficult to
get on the mailing lists for these events. Then you
can start to learn how to work a room.
5. BE NICE
Last, but certainly not least, becoming a partner
in a practice has as much to do with personali-
ty as it does with ability. There are many excel-
lent accountants out there who will never
become partners. In business it is crucial to be
able to get on with people. You will need to be
able to charm clients, business introducers and
your colleagues. People like doing business with
those they like make sure you are one of these
people.
Susan Hutter has been a partner for more than twen-
ty years at Shelley Stock Hutter LLP.
Five tips for those on the partner track
Get connected if you
want to stay on top
Picture: GETTY
SUSAN HUTTER
PARTNER AT SHELLEY STOCK HUTTER
Interexec, as the market leader, has a unique
track record in maximising the careers of busy
top executives and a reputation for results and
professionalism.
Thirty ve years of global networking with
headhunters and employers provides in-depth
knowledge and unrivalled access to current
opportunities which are seldom published
at this executive level.
If you are earning 150k to 1m+
do call to arrange an exploratory meeting.
UK and International H.O.
+44 (0)207 562 3482
london@interexec.co.uk
www.interexec.co.uk
High Achievers
Condential Market Access
London, Manchester and Birmingham
Business Features | Careers
23
CAREERS NEWS | IN BRIEF
FINANCIAL SERVICES JOBS GETTING SCARCER...
Financial services job opportunities in London rose 6 per
cent month-on-month in June 2011, according to Morgan
McKinleys London Employment Monitor, released this
week. But that increase looks less rosy when set against
long-term trends. Compared to the same time last year,
there was a 2 per cent decrease in job opportunities in the
City this June. And comparing the second quarter of this
year to the first quarter shows a 5 per cent decrease in
new job opportunities. The second quarter normally offers
an increase in opportunities from the first quarter and this
is the first time in four years that there has been a
decrease from first to second quarters. Chief Operations
Officer at Morgan McKinley Andrew Evans commented:
More positively, there were reports of heightened busi-
ness confidence and hiring activity in pockets of the finan-
cial services sector in the second quarter of 2011,
particularly in areas of finance, asset management,
risk/compliance and front office.
... BUT INWARD INVESTMENT BOOSTS CITY CAREERS
Despite all the current difficulties of the job market, the
City can be grateful for the impact of inward investment,
according to the UK Trade & Investment (UKTI) inward
investment report for 2010/2011. The report, which cov-
ers the 12 months up to March 2011, shows that jobs cre-
ated or safeguarded in the financial services industry
associated with inward investment increased by 212 per
cent over the previous year, despite fewer projects than in
previous years. Some 17,000 jobs were created or safe-
guarded in this way. With 70 per cent of European hedge
fund assets managed from London, and the decision in
September 2010 by Intesa Sanpaolo, Italys largest bank,
to move its international corporate headquarters from
Milan to London that trend looks set to continue.
A
RBITERS of cool, quality and cul-
ture tend to be rather retro-
obsessed at the moment whatever
is vintage and old-fashioned seems
naturally imbued with classy excellence,
whereas things that are shiny and new
seem tacky and superficial. Which means
that the old vinyl collection you havent
dusted off for years should be stacked on
your most prominent shelf, that you
might impress friends and family with
your idiosyncratic tastes for rare (ie charity
rack) gatefold LPs, forgotten picture discs
and the odd Brother Beyond B-side.
Of course, there are those who main-
tain that vinyl is simply better anyway a
meatier, more complex sound (albeit with
the odd crackle) than the tinny soulless-
ness afforded by MP3 and even CD players.
So you may as well have something awe-
some on which to play it.
Its time to get in a spin with the latest in
turntable technology, says Timothy Barber
Above, the squad gets
training in the gym in
Lords of Football.
Break out the vinyl with
these audiophile decks
NICK
BOOTH
TECH TALK
Joining the
technological
revolution
N
EW IT inventions are always
described as revolutionary. Why?
Because theyre often bloody.
Infuriating, that is.
Back in 1789, radicals would post their
manifestos in public places. Todays equiva-
lent platform for enlightening the masses
would be an interactive billboard wherever
the workers gather.
All you would need is a tablet, be it an
iPad, Android or Xoom. Display it some-
where prominently (by the doors on a
crowded train) by using the new Ringo iPad
on the Wall gizmos from Dutch radical
Vogel. (Sounds like a drinking partner of
Marx and Engels).
These Vogel things allow you to mount
any tablet on any surface, as the names (Car
mount, Table Stand, Wall Mount) suggest.
Having mounted your tablet (or interac-
tive pamphlet) right by the doors on a
packed Jubilee line, you then need to retire
to a safe distance, from which to post up
your radical, anti-establishment messages.
For this you will need a Logitech Tablet
Keyboard, which allows you to Bluetooth
your messages to the tablet from the safety
of your seat. It costs 49.99, under the
wretched capitalist system that exploits us
all, but it works pretty well. Its easy to set
up, and works from a distance of 30 feet, so
if the Gendarmes catch you, they cant
prove rien.
If you need to make a hasty getaway,
clout them with your Logitech Keyboard
Case (89.99), an aluminium cover with mil-
itary-grade, high-density padding. This will
buy you the two seconds needed to pop
your iPad out of the dock and make your
escape.
If, on the other hand, your anti-bourgeois
messages are going over well with your
audience of peasants, you may well want to
manage any pre-recorded content you have
prepared. The NServe app, from Naim
Audio, will give you access to the means of
production that youve always been denied.
The more ambitious radicals could
stream their own propaganda films to their
display tablet, using Elgatos Netstream.
Nick Booth edits www.mobileb2b.co.uk
This turntables transparent acrylic plinth looks very
swish, in a minimalist, ultra-modern kind of way, but its
also full of smart engineering for minimal sound disrup-
tion. The sound quality is as crystal clear as the plinth.
1,299.95 www.superfi.co.uk
PRO-JECT
6 Perspex
Simplicity itself, in turntable form. Excellent value and a
groovy talking point in any room, the Genie Mk 3 mixes
good looks and minimalist form with some of the best
sound quality in its price range.
189.95 www.hifix.co.uk
PRO-JECT
Genie Mk 3
EAT (Euro Audio Team) is based in the Czech Republic, a
country that has become renowned for high-quality
turntable manufacturing. The companys first turntable,
the Forte, is a stunning creation recently introduced to
the UK costing around 12,000. The Forte S is the (sort
of) more affordable version, reassuringly high-end never-
theless. 5,300, www.absolutesounds.com
EAT
Forte S
R
EMEMBER when a schoolboys hopes of
football stardom were fuelled by dreams
of scoring the winner in a Wembley cup
final, or perhaps the pride of donning
their countrys colours at a World Cup?
Well wise up, granddad, because we all
know that tomorrows stars are just as likely
to be chasing the trappings of soccer success:
the Baby Bentley, the mock tudor mansion
and the pneumatic blondes.
Luckily for the 99 per cent of the popula-
tion whose hands are more dextrous than
their feet, there is a new way to live the life of
Rooney or at the very least indulge your fas-
cination in what he gets up to after training.
Canny video games developers are cotton-
ing onto the publics appetite for footballers
off-field antics and have created ever-more-
detailed virtual worlds that incorporate titilla-
tion alongside tactics.
In I Am Playr, which bills itself as the
worlds first point-of-view football game, you
begin as a hopeful at the fictional River Park
FC with your eye on the big time and all that
comes with it, naturally.
You have to make decisions about your
dedication to training, as well as negotiating
with shark-like agents and furious girlfriends
who catch you taking advantage of your bur-
geoning reputation by playing the field.
It plays out in high quality first-person
video, with real actors, ex-pros and an ever-
changing storyline written by the people
behind the Sky series Dream Team all adding
up to a hugely immersive experience.
Big brands have already piled in, with Nike
the principal partner and Alfa Romeo and
Ginsters also on board with I Am Playr, which
launched online earlier this year and boasts
more than 140,000 monthly gamers.
Interestingly, so has former Arsenal and
England defender Lee Dixon, who was invited
to appear as a pundit and was so impressed
that he invested in the project.
SPORTS SLEAZY SIDE
Similarly, former Chelsea player and manager
Gianluca Vialli has his own venture in Lords of
Football, a game currently in the final stages
of development that also flirts with the sports
sleazy side.
In it you are cast as the manager who must
not only devise a training regime and tactics
to take your team to the top, but also keep an
eye on your players out-of-hours behaviour.
Each of your stars has different vices, so the
gamer is sometimes called on to scroll around
his virtual town, which is laid out much like PC
favourite Sim City, and literally drag a rogue
midfielder out of a bar or a romantic liaison.
Vialli helped creators Geniaware with sto-
rylines based on his dressing room experi-
ences they rejected one anecdote about a
player defecating in a team-mates shoe and
has high hopes that it will flourish.
There is no word yet on whether the latest
footballer must-have the superinjunction
will be making an appearance in either game,
but in any case these games wont remain
well-kept secrets for much longer.
FOOTBALLS NEW GAMING GENERATION
BY FRANK DALLERES
In 1910 Denon produced Japans first gramophone, a centenary this limited
edition deck has been launched to celebrate. High-performance direct drive,
amazing precision and sharp high-end replay. 2,250 www.denon.com
DENON
DP-A100
Lifestyle | Technology
REGA
RP1
Rega has for a long time been one of the leading players
in the market for high-quality, affordable turntables. The
RP1 is its most recent entry-level model, and its a typical-
ly solid, reliable piece of kit. Comes in gray, titanium and
white. 230 www.hifix.co.uk
T
E
R
R
E
S
T
R
I
A
L
TORCHWOOD: MIRACLE DAY
BBC1, 9PM
The team investigates a mysterious
phenomenon that means people no
longer die, leading to a population
boom. With John Barrowman.
RICK STEINS SPAIN
BBC2, 8PM
The chef embarks on a culinary tour,
beginning in Galicia, where he hopes to
discover places off the beaten track
and sample rural dishes.
HELP! MY HOUSE IS FALLING
DOWN CHANNEL4, 8PM
Sarah Beeny comes to the aid of a
couple whose 14th-century Essex
farmhouse has a leaking roof, rotting
beams and a decayed bathroom floor.
BBC1
SKY SPORTS 1
6.30pmLive Twenty20 Cup
Cricket 10pmRingside 11pm
Time of Our Lives 12am
Twenty20 Cup Cricket 2am
Ringside 3amPremier League
World 3.30amNRL Fulltime
4am-6amTwenty20 Cup
Cricket
SKY SPORTS 2
6pmLive Speedway 9pmLive
PGA Tour Golf 12am-3am
Speedway
SKY SPORTS 3
7pmNRL Fulltime 7.30pmLive
Greyhound Racing 10pmWWE:
Late Night Raw12amWWE:
NXT 1amBadminton 2amATP
Tour Uncovered 2.30am-3am
IAAF Athletix Weekly
BRITISH EUROSPORT
7pmTriathlon 8pmCycling:
Tour de France 9.30pmMotoGP
10.30pmCycling: Tour de
France 12am-12.15amRallying
ESPN
6pmPremiership Rugby Union
7.30pmESPN Press Pass 8pm
Copa America Football 9.45pm
ESPN Kicks: Extra 10pmGolf:
The Open 11pmUFC Unleashed
12amLive Major League
Baseball: Baltimore Orioles v
Cleveland Indians. 3amESPN
Kicks: Extra 3.15amESPN Press
Pass 3.45amUFC Unleashed
4.45amESPN Kicks: Extra 5am
ESPN Game of the Week
5.30am-6amESPN Press Pass
SKY LIVING
7pmCSI: Crime Scene
Investigation 8pmTeen Wolf
9pmBritain & Irelands Next
Top Model 10pmChick Fix 11pm
Criminal Minds 12amCSI:
Crime Scene Investigation
1.50amGhost Whisperer
2.40amCharmed 4.20am
Nothing to Declare 5.10am-6am
Maury
BBC THREE
7pmTop Gear 8pmThe Worlds
Strictest Parents 9pmJosie: My
Cancer Curse 10pmEastEnders
10.30pmThe Pranker 11pm
Family Guy 11.45pmJosie: My
Cancer Curse 12.45amSmall
Teen, Bigger World 1.45amThe
Pranker 2.15amRoger:
Genocide Baby 3.10amThe
Worlds Strictest Parents
4.10am-5.10amSmall Teen,
Bigger World
E4
7pmHollyoaks 7.30pmFriends
9pmThe Big Bang Theory
9.30pmHow I Met Your Mother
10pmThe Inbetweeners
11.05pmRude Tube 12.10am
My Name Is Earl 1.10amThe
Inbetweeners 2.05amDavid
Blaines Vertigo 2.50amGlee
3.35amHeartland 4.20amThe
Class 4.45am-6amSwitched
HISTORY
7pmAmerica: The Story of the
US 8pmIce Road Truckers 9pm
Pawn Stars 10pmStorage Wars
11pmDeep Sea Salvage 12am
Pawn Stars 1amStorage Wars
2amDeep Sea Salvage 3am
America: The Story of the US
4amMega Disasters 5am-6am
Ice Road Truckers
DISCOVERY
7pmMythbusters 9pm
American Loggers 10pm
Catastrophe 11pmDeath
Machines 12amBear Grylls:
Born Survivor 1amAmerican
Loggers 2amCatastrophe
3amDeadliest Catch 3.50am
Wildest Africa 4.40amWeird
or What? 5.30am-6am
Destroyed in Seconds
DISCOVERY HOME &
HEALTH
7pmBringing Home Baby 8pm
Little People, Big World 9pm
Strange Sex 10pmI Didnt
Know I Was Pregnant 11pm
A&E 12amStrange Sex 1amI
Didnt Know I Was Pregnant
2amA&E 3amLittle People, Big
World 4amA Baby Story
5am-6amBringing Home Baby
SKY1
8pmHawaii Five-0 9pmThe
Chicago Code 10pmLie to Me
11pmLaw & Order: A crime-
scene investigator is murdered.
12amBrit Cops: Frontline Crime
UK 1amDanny Dyers Deadliest
Men 2: Living Dangerously
1.50amStargate Atlantis
3.20amRoss Kemp on Gangs
4.10amAirline 5amBite Size
Brainiac 5.10am-6am
Sell Me the Answer
BBC2 ITV1 CHANNEL4 CHANNEL5
S
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&
C
A
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TVPICK
6pmBBC News
6.30pmBBC London News
7pmThe One Show:
Best of Britain
7.30pmEastEnders: BBC News
8pmTraffic Cops
9pmCHOICE
Torchwood: Miracle Day
10pmBBC News
10.25pmRegional News
10.35pmClassroom Secrets
11.35pmThis Week: Holiday
Weatherview12.25amSign
Zone: The Great Car Insurance
Swindle Panorama 12.55am
Countryfile 1.55amFake Britain
2.40amRoyal Upstairs Downstairs
3.10am-6amBBC News
9amLive Golf: The Open
Championship: The opening
days play in Sandwich, Kent.
8pmCHOICE Rick Steins
Spain: New series. The chef
embarks on a culinary tour,
beginning in Galicia.
9pmHistory Cold Case:
Investigating the remains of 17
people discovered in Norwich.
10pmMock the Week:
Highlights of the series.
10.30pmNewsnight: Weather
11.20pmSeve: The Legend
12.20amThe Tudors
1.10amBBC News 3.10am-6am
Close
6pmLondon Tonight
6.30pmITV News
7pmEmmerdale
7.30pmThe Rising Cost of
Food: Tonight
8pmEmmerdale
8.30pmCoronation Street
9pmSingle-Handed
10pmITV News at Ten
10.30pmLondon News
10.35pmPiers Morgans Life
Stories 11.35pmThe Late Debate
12amOdd One In 12.45amThe
Zone; ITV News Headlines 2.45am
The Rising Cost of Food: Tonight
3.10amITV Nightscreen
4.35am-5.30amThe Jeremy Kyle
Show. Guests air their differences.
6pmThe Simpsons
6.30pmHollyoaks
7pmChannel 4 News
7.55pm4thought.tv
8pmCHOICE Help!
My House Is Falling Down
9pmThe Killing
10pmCoppers
11.05pmKing Of Uncut
11.55pmChannel 4 Presents Ellie
Simmonds 2012 12amThe Film
Show12.35amT4: Style the Nation
1am4Music: 4Play: Dry the River
1.15amCast Offs 2.05amFILM
Dying Young 1991. 3.45amMurder
on Honeymoon: Dispatches
4.35amOne Tree Hill
5.20am-6.05amCountdown
6pmHome and Away
6.25pmOK! TV
7pm5 News at 7
7.30pmHow Do They Do It?
5 News Update
8pmEddie Stobart: Trucks and
Trailers: A driver tries to
perform a difficult manoeuvre.
9pmNew Cowboy Builders
10pmCandy Bar Girls
11pmPolice Interceptors
12amSuperCasino
4amMeals in Moments 4.10am
Michaelas Wild Challenge 4.35am
Michaelas Wild Challenge 5am
Rough Guide To 5.10amWildlife
SOS 5.35am-6amHouse Doctor
1 2 3 4 5 6
7
8 9
10
11 12 13
14
15 16
17
18 19 20
21 22
28 15
30
7 15
14 3 23
28 5
45
8 21
24 10 16
16 13
41
9 10
16
14
27
30
10
11
13
13
26
15
45
9
11
12
29
17
21
12
15
17
18
Fill the grid so that each block
adds up to the total in the box
above or to the left of it.
You can only use the digits 1-9
and you must not use the
same digit twice in a block.
The same digit may occur
more than once in a row or
column, but it must be in a
separate block.
COFFEE BREAK
Copyright Puzzle Press Ltd, www.puzzlepress.co.uk
KAKURO
QUICK CROSSWORD
LAST ISSUES
SOLUTIONS
KAKURO
WORDWHEEL
Using only the letters in the Wordwheel, you have
ten minutes to nd as many words as possible,
none of which may be plurals, foreign words or
proper nouns. Each word must be of three letters
or more, all must contain the central letter and
letters can only be used once in every word. There
is at least one nine-letter word in the wheel.
SUDOKU
Place the numbers from 1 to 9 in each empty cell so that each
row, each column and each 3x3 block contains all the numbers
from 1 to 9 to solve this tricky Sudoku puzzle.
SUDOKU
QUICK CROSSWORD
ACROSS
1 Gemstone (5)
4 Enter (data or a
program) into a
computer (5)
8 Bathroom xtures (4)
9 Overabundance (6)
10 Nervous twitch (3)
11 Couch (4)
13 US coin (4)
14 Embarrassed (7)
15 Small gentle horse (4)
16 Withered (4)
17 Fluid used for writing (3)
18 Scottish landowners (6)
19 Garments (4)
21 After the expected
time (5)
22 Cider fruit (5)
DOWN
2 Epoch, age (3)
3 Rapture (7)
5 Command,
control (7)
6 Lacking avour (9)
7 Device with
moving parts (9)
8 Aviator hired to
y experimental
aeroplanes
in designed
manoeuvres (4,5)
12 More decorative (7)
13 Area of a computer
monitor on which
icons and windows
appear (7)
20 Mousse applied
to the hair (3)
H
S
A
I
V E
R
D
N

4

4

4

C U F F S C U P I D
U I H Y I R
B A R G A I N L I E
I R I L S
C A S T E C H I P S
E O
C O N G A S O N A R
H A N I U
A R T G E N E S I S
N O L K O T
T H R E E S A L T Y
8 4 6 5 2 9 7 8
3 2 5 1 1 4 5 2
3 8 1 3
7 5 9 8 6 8 9 7
3 1 7 9 5 4 6 8 2
3 2 1
5 4 1 6 9 3 2 7 8
9 6 3 7 2 4 8 6
9 7 8 9
3 7 2 1 7 3 6 9
9 8 4 7 2 1 4 3
4
4
4
4
4
4
4
4
4
WORDWHEEL
The nine-letter word was
PERCOLATE
Lifestyle | TV&Games
PREMIERSHIP champions Saracens
have completed the flagship signing
of South Africa captain John Smit.
The 33-year-old, the most capped
skipper and forward in Springboks
history, will join upon the conclusion
of Octobers World Cup in New
Zealand.
I am delighted to have signed for a
club widely renowned for their fero-
cious work ethic, said Smit. It is
becoming a very special rugby club,
combining a commitment to develop
English players with a clear South
African flavour.
Smits fellow South African, Schalk
Brits, has been a huge success in his
preferred position of hooker since
arriving at Vicarage Road in 2009.
Brits all-action style earned him
the man-of-the-match award as
Saracens clinched their first
Premiership title in May at the
expense of Leicester and he is unlike-
ly to be dislodged easily from Mike
McCalls first team.
We are constantly looking to
strengthen, and although Schalk
Brits is one of the best players in the
world in his position, we were aware
that we needed more depth in that
position, added chief executive
Edward Griffiths.
John Smit became available and
not only is he an outstanding player,
but also an outstanding individual
and leader.
We are an English club with a
strong South African flavour and he
fits well with that.
BRITAINS Mark Cavendish powered
to victory on stage 11 of the Tour de
France and moved into the sprinters
green jersey in the process.
The 167.5 kilometres route from
Blaye-les-Mines to Lavaur came down
to the expected sprint finish and
Cavendishs HTC-Highroad team con-
trolled it superbly in the torrential
rain.
Heading into the finish Mark
Renshaw guided Cavendish into posi-
tion before the Manxman opened up
an early sprint and comfortably held
off all his rivals, in the process aveng-
ing his defeat by Andre Greipel 24
hours earlier.
The victory, combined with the
points he took when leading the
bunch over the line in the days inter-
mediate sprint, puts Cavendish in
front as he battles for a first green jer-
sey.
With just two more sprinter-friend-
ly stages to come, he has 251 points,
16 more than Jose Joaquin Rojas and
20 in front of Philippe Gilbert (Omega
Pharma-Lotto).
When the guys ride all day like
they did yesterday and I don't finish
the job, I usually go out the following
day and react like I have done today,
he said.
I asked them to do it again and,
when I got the lead-out today, I really
hit it. You can see I got the gap with
my acceleration and I then made sure
I held that gap. The guys were phe-
nomenal today for me because it was
a strong breakaway group.
Cavendish rejoices after
snatching green jersey
CYCLING
RUGBY UNION
Springbok skipper Smit

all set for Saracens move
ENGLANDS Ian Poulter is feeling
refreshed and ready for another
Open challenge having spent the
last couple of weeks enjoying life
away from the golf course.
While his contemporaries have
been readying themselves by play-
ing at last weeks Scottish Open,
and before that at Le Golf National
in Paris, Poulter took a seat in the
Royal Box at Wimbledon and also
indulged his love of fast cars with a
VIP trip to the British Grand Prix.
The Ryder Cup star believes his
time off was well spent as in addi-
tion to having a much needed
break with his family he was able to
pick up a few pointers from other
sports.
You cant hit balls 24/7 every day
of the week because it just doesnt
work, thats simple, you are just
going to be too tired, said the
world number 16, whose last com-
petitive action came on 26 June
with a joint 24th finish at the
Travelers Championship in
Connecticut.
If I want to take two weeks off
and have some family time then I
am going to do it and enjoy myself.
It is always good to see the best
sportsmen in the world do their
job. You get an insight into what
they are doing and how they can
help you: temperament, body lan-
guage all that stuff you can tell
when guys heads go down quite
quickly when they have lost a set
and stuff is going against them.
Refreshed
Poulter is
primed for
action again
BY JAMES GOLDMAN
GOLF
Sport
26
THE 2011 OPEN CHAMPIONSHIP AT ROYAL ST GEORGES
Britains Cavendish Pic: ACTION IMAGES
HOPES of a first British winner of The
Open since 1999 will be tested to the
limit not only by a stellar international
field but also by the elements which
threaten to turn Royal St Georges into
a place not for the faint-hearted over
the next four days.
World No1 Luke Donald, compatriot
Lee Westwood and the man billed as
the heir apparent to Tiger Woods fol-
lowing last months US Open heroics,
Rory McIlroy, are expected to spearhead
the home challenge.
But with winds likely to reach speeds
of up to 20mph, narrow fairways,
treacherous bunkers and dramatically
sloping greens set to have their say on
proceedings, Jim McArthur, chairman
of the Championship committee of
tournament organisers the R&A,
believes the famous old venue will pro-
vide the sternest of examinations.
We believe that Royal St Georges is
a true Open Championship test, he
said. Its very much based on strategic
play rather than muscle.
Indeed, so strong were the winds
which battered the Kent coast yesterday
that tournament organisers could
move some of the most challenging
tees at Royal St Georges forward for
todays opening round.
With a northerly wind gusting up to
30mph as players including McIlroy
and Darren Clarke played their final
Open practice round, R&A chief execu-
tive Peter Dawson said that the tees on
the seventh and 11th holes could be
brought forward.
The seventh features a long carry
over rough that, playing upwind, left
some players struggling to reach the
fairway on Tuesday, while the short par-
three 11th is playing considerably
longer than its 243 yards.
We informed the players at the start
of the week that we may move some
tees forward, and if this wind remains
as it is we will consider it, Dawson said
The back tee at the seventh was always
going to be challenging given that it is
220 yards to reach the fairway, but yes-
terday some players were having great
difficulty reaching it.
With conditions as they are, Martin
Kaymer one of the biggest threats to
the significant British challenge admits
he will have to sacrifice any thoughts of
playing beautiful golf if he hopes to
get his hands on the Claret Jug come
Sunday.
The greens are very slopey, very dif-
ficult, and some approaches seem to be
impossible sometimes, he said. The
good thing about the Open is you dont
have to play, lets say, beautiful golf. You
have to score well. You have to give your-
self good angles to the green, so its a
very tiring week.
BY JAMES GOLDMAN
GOLF
BRIT HOPEFULS PREPARE

FOR ULTIMATE OPEN TEST
l Strong winds may see tees brought forward
l Winner must favour brain over muscle
Liverpool moved a step
closer to signing England
winger Stewart Downing
from Aston Villa last night
when the two clubs agreed
on a fee of 20m.
Former Middlesbrough
player Downing has been a
key summer target of
Liverpool boss Kenny
Dalglish, and talks with
the 26-year-old can begin.
Liverpool said in a state-
ment on their official web-
site: Liverpool have now
been granted permission
to discuss personal terms
with the player and
arrange a medical.
Villa had rejected bids of
12m and 15m from
Liverpool, and manager
Alex McLeish insisted he
wanted Downing to stay in
the midlands.
Downing made it clear
only last month, when on
England duty, that he
would not sign an exten-
sion with Villa
Should the deal for
Downing be concluded, he
would become the third
high-profile midfield
recruit by Dalglish this
summer, following the
signings of Jordan
Henderson from
Sunderland and Charlie
Adam from Blackpool.
FOOTBALL
Liverpool agree
20m Downing fee
NEWCASTLES prepara-
tions for their pre-season
tour of the United States
were thrown into disarray
yesterday when two players
including Joey Barton were
refused entry into the
country.
Barton (right), 28,
who was given a six-
month jail sentence
after admitting
assault and affray
in 2008, has been
denied the neces-
sary permission to
travel with the
rest of the first-
team squad on
Sunday.
Newcastle also
confirmed that
striker Nile Ranger
would be missing the
tour after being denied a
visa. The club said a state-
ment: Newcastle United
can confirm that Nile
Rangers visa application
for entry to the United
States has today been
rejected.
He will join Joey
Barton and his fellow
team-mates on the
clubs reserve team
tour to Holland.
England Under-
19 striker
Ranger served
an 11-week sen-
tence in a
young offend-
ers institu-
tion when
he was 15
after he took
part in an
armed street
robbery.
FOOTBALL
Bad boy Barton is

banned from US
SPORT | IN BRIEF
QPR complete double swoop
FOOTBALL: Premier League new-boys
QPR have completed the signings of
England internationals Jay Bothroyd and
Kieron Dyer. Bothroyd, who made his
England debut last November, joins on a
free from Cardiff while Dyer, whose
career has been beset by injuries, was
released by West Ham a the end of last
season. Meanwhile, west London rivals
Fulham have announced the signing of
John Arne Riise from Roma.
Ex Wasps chief Hanks joins Sale
RUGBY UNION: Sale Sharks have
appointed former Wasps director of
rugby Tony Hanks as first-team coach.
The 40-year-old, who left Wasps as
director of rugby in February, will look
after the sides attack, game plan and
defence. Sale director of sport Steve
Diamond said: He is the final piece of
the off-field jigsaw and we are delighted
he has chosen to join us. Hanks added:
With so many players joining to form a
much-changed team, its a great time to
be involved with the club.
Results
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|e+t w+rW|c|s||re |] Z rars. JFLK? ;@M@J@FE.Br|sta|.
O|aacesters||re o54 |ZO.O a1ers. K J OBr|er 58ra. O O O
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CM :FLEKP :?8DG@FEJ?@G $ ;@M@J@FE FE<%$Ki\ek
9i`[^\1 Samerset J8o |O.4 a1ers. O K|esWetter o4. J O
H||ret| J. S O J Bra+ 595. A R A+ms 49J. +r 9Z
|5o.O a1ers .VE Trescat||c| 8o Natt|ra|+ms||re 49Z
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|8.Z a1ers. VA O+r|err] 59. Sasset Z4O |9O.4 a1ers. O P
R+]rer oZra. D R Br|aas 485 +r 8ZJ |JJ.O a1ers.
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4o4 +r JJZ |9O.5 a1ers. O VArreW5. D K H V|tc|e||
55. R VP]r+| 49. Yar|s||re Jo |O. a1ers. A wO+|e
Z. A S|+|/+ O. O S B+||+rce 5 +r 8OJ |JJ.O a1ers.
;@M@J@FE KNF%$;\iYp1 Der|]s||re JoO |8O.J a1ers. J l
O|+re JO. D J Referr 99. +r J8O8 |OO.O a1ers .O |
Haa|es o. D J Referr oJ. J A R H+rr|s 48Z O|+mara+r
445 |OZ.5 a1ers. J A||er|] J. VA w+||+ce O4. wT
OWer o9. J A R H+rr|s oOra. >iXZ\ IfX[1 Esset JZZ |J.4
a1ers. J S |aster ra. R S Bap+r+ 5O +r J445ec. |8.O
a1ers. B A Oa|em+r JO. O A S|+| Zra. T west|e] o. J
K H N+|| 489. le|cesters||re Z4 |84.O a1ers. wl
Jeffersar o. D D V+sters 5o. T R Or+ac| 459 +r J8
|49.Z a1ers. Esset |ZZpts |e+t le|cesters||re |4pts |] Z54
rars. K_\ B`X FmXc1 Sarre] J8 |8J.O a1ers. Z e Bra]r 9.
O J B+tt] o5 +r 84 |58.J a1ers. D J B+|cam|e 5oJ.
Kert Z5O |oo.4 a1ers. A J B|+|e 9o. O O Jares o +r JOO
|98.Z a1ers. R wT Ke] oZ. O J B+tt] 4. T E l|r|e] 448.
Sarre] |ZJpts |e+t Kert |5pts |] Z rars.
email sport@cityam.com
27
ARSENAL manager Arsene
Wenger has praised the
attitude of his unsettled
midfield star Samir Nasri.
The France international
is stalling on signing an
extension to his contract,
which expires next sum-
mer, amid significant inter-
est from Manchester
United and Manchester
City.
he 24-year-old featured as
a second half substitute in
Arsenals 4-0 win over
Malaysia yesterday and
Wenger claimed Nasri has-
nt been destabilised by the
constant speculation sur-
rounding his future.
He has always had a
very good attitude, said
Wenger. We are a big club
with many good young
players so we are confront-
ed with many rumours and
speculation. But it doesnt
affect much whats hap-
pening inside the club. We
have to live with that and
you could see when he
[Samir] played that he was-
nt disturbed by that.
Wenger is also convinced
that his board will back
him in his Nasri stance,
despite the very real threat
of losing the former
Marseille star on a free
transfer next summer.
He added: I think so, I
believe that is no problem.
It is a technical decision.
On one hand people say I
dont spend enough and
when I spend people say I
spend too much. Its very
difficult to find the right
medium.
Arsenal kicked-off their
pre-season campaign in
emphatic style in Kuala
Lumpur with goals from
Aaron Ramsey, Theo
Walcott, Carlos Vela and
Tomas Rosicky.
No problems with
Nasris attitude
Nasri has one year left on his contract Picture: ACTION IMAGES
FOOTBALL
World No1 Donald

will lead British
hopes
Picture: GETTY

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