Business News Headlines - Yahoo! News UK

Icahn buys Chesapeake stake, seeks board changes

Sat, 26 May 2012 09:48:25 +0100

(Reuters) - Billionaire investor Carl Icahn revealed he had bought a 7.6 percent stake in Chesapeake Energy Corp and called for the natural gas producer to replace at least four directors, saying the board has failed "in a dramatic fashion" in its oversight of management. The corporate-raider-turned-activist investor asked the company for two board seats for his own representatives and two for another large shareholder such as Chesapeake's largest, Southeastern Asset Management. ...

Bankia says it could sell Spanish company stakes

Sat, 26 May 2012 09:41:12 +0100

MADRID (Reuters) - Spain's Bankia said on Saturday that it could sell its stakes in Spanish companies in future, a day after it asked the state for a 19 billion euro ($23.77 billion) bailout, the biggest ever bank rescue in the country. Bankia and its parent group BFA have holdings in big Spanish companies, including in International Airlines Group and Iberdrola "The BFA group and Bankia have a strong group of holdings (...) and the reason (for provivisioning against it) is that in future (...) we will logically look to start a sale process," said Jose Ignacio Goirigoizarri. ($1 = 0. ...

Names Of Portas Pilot Towns Are Unveiled

Sat, 26 May 2012 09:36:21 +0100

The east Lancashire town of Nelson may have a higher proportion of boarded up shops than almost anywhere else in the country.

UK Plans Border Controls For Euro Meltdown

Sat, 26 May 2012 09:29:27 +0100

The Government is making contingency plans to cope with a potential increase in immigration should the euro currency collapse, the Home Secretary has revealed.

Poland's PGNiG wants to invest $14 billion over 10 years - paper

Sat, 26 May 2012 09:24:12 +0100

WARSAW (Reuters) - Polish gas monopoly PGNiG wants to invest about 50 billion zlotys ($14.31 billion) over the next ten years, mainly on a search for new gas and oil sources, the daily Parkiet said on Saturday. The daily, referring to comments by the company's deputy chief executive, Slawomir Hinc, also said that PGNiG, 72.4 percent owned by the state treasury, wants to earmark some 1.1 billion on investment this year alone. ...

Jubilee: Britons Set For Big Spending Spree

Sat, 26 May 2012 09:01:12 +0100

Britons are expected to spend more than £800m celebrating the Queen's Jubilee, according to new research.

Asia's richest man cleverly sidesteps possibility of family feud

Sat, 26 May 2012 08:44:09 +0100

HONG KONG (Reuters) - Octogenarian Hong Kong billionaire Li Ka-shing mapped out a succession plan for one of Asia's biggest family empires, ensuring a smoother transition for the Cheung Kong group than that of real estate rival Sun Hung Kai Properties . Li told investors that while he had no plans to retire, elder son Victor would eventually take over at Cheung Kong Holdings and Hutchison Whampoa , the real estate to telecoms empire founded by Asia's richest man. The 83-year-old, whose personal wealth of $25. ...

German Attitude On Euro Crisis Is Changing

Sat, 26 May 2012 08:11:26 +0100

There are a few subtleties to the great euro crisis you only really pick up when you spend a bit of time on the other side of the Channel.

Online Privacy Controls Come Into Effect

Sat, 26 May 2012 06:55:43 +0100

A new law comes into force this weekend requiring all websites to ask permission from users before using 'cookies' - data files that remember computer logins, email addresses and previous internet activity.

Japan's Renesas eyes 14,000 job cuts, chip plant sale - Nikkei

Sat, 26 May 2012 05:34:07 +0100

TOKYO (Reuters) - Struggling Japanese chipmaker Renesas Electronics Corp is planning to slash as many as 14,000 jobs and sell a major semiconductor factory in Japan to Taiwan Semiconductor Manufacturing Co , the Nikkei newspaper reported. Renesas, the world's largest maker of microcontroller chips for cars, is also considering raising more than 100 billion yen ($1.3 billion) in a share issue to pay for restructuring and appease lenders concerned about it its finances, the paper said. ...

Japan chip maker Renesas 'may cut 14,000 jobs'

Sat, 26 May 2012 04:45:11 +0100

Japanese semiconductor maker Renesas Electronics Corp. is considering cutting up to 14,000 jobs or 30 percent of its workforce as part of a major restructuring plan, according to news reports.

Yen-yuan direct trading to start in June

Sat, 26 May 2012 04:31:30 +0100

Japan and China are expected to start direct trading of their currencies as early as June as part of efforts to boost bilateral trade and investment, according to reports.

British minister called Murdoch aide 'papa'

Sat, 26 May 2012 03:05:52 +0100

Britain's culture minister faced fresh pressure Saturday after a press ethics inquiry released dozens of light-hearted text messages between him and a lobbyist for Rupert Murdoch's News Corporation, whom he called "mon ami" and "papa".

JPMorgan board to shake up risk committee - WSJ

Sat, 26 May 2012 09:51:38 +0100

(Reuters) - The board of JPMorgan Chase & Co is expected to make changes to its risk-policy committee after the bank's trading losses of more than $2 billion, The Wall Street Journal reported on Friday, citing anonymous sources. The board is expected to add either Timothy Flynn or James Bell to the committee, the Journal said. Flynn and Bell have backgrounds in risk and finance, the report said. It was not clear whether any of the current members of the committee would leave it, the Journal said. A JPMorgan spokesman declined to comment on the report. ...

LCH.Clearnet left off U.S. "systemic" list

Fri, 25 May 2012 23:59:51 +0100

CHICAGO (Reuters) - LCH.Clearnet, the world's biggest clearer of interest-rate swaps, did not make an initial list of global clearinghouses labelled "systemically important" by a council of U.S. regulators earlier this week, three sources familiar with the decision said. LCH.Clearnet, a London-based firm set to be bought by the London Stock Exchange at the end of the year, had earlier said it fully expected to get the label. The label subjects clearers to tougher oversight but also potentially gives them access to valuable services, such as keeping funds at a Federal Reserve bank. ...

Summer of discontent beckons

Fri, 25 May 2012 23:38:43 +0100

LONDON (Reuters) - The late spring warmth spreading across Europe and the United States is unlikely to soothe a growing anxiety in financial markets that the global outlook is anything but balmy. An escalating euro zone crisis and weak data from China and Europe have turned investment flows ever more firmly toward safe-haven assets, mainly in the U.S., and away from anything with a hint of risk - a trend that is firmly entrenched. In the coming week investors find out if the list of current concerns extends to the health of the giant U.S. ...

Icahn buys Chesapeake stake, seeks board changes

Fri, 25 May 2012 23:26:14 +0100

Exclusive - Merrill misstep may hurt battle vs. broker claims

Fri, 25 May 2012 23:25:03 +0100

NEW YORK (Reuters) - Merrill Lynch's battle to void a $10 million (6.38 million pounds) arbitration ruling suffered a setback this week after a new court filing raised questions about its claims that a panel member had not disclosed her potential conflicts. The brokerage giant, which Bank of America agreed to acquire in 2008, is challenging an April 3 arbitration ruling that awarded two brokers, Tamara Smolchek and Meri Ramazio, more than $10 million in damages stemming from unpaid compensation claims. ...

Troubled Bankia Asks Spain For £15bn In Aid

Fri, 25 May 2012 23:15:05 +0100

Spain's fourth largest bank Bankia has asked for 19bn euros (£15bn) in state aid - on top of a previous injection of 4.5bn euros.

Court OKs JPMorgan fee pact; Capital One talks fail

Fri, 25 May 2012 22:58:25 +0100

(Reuters) - JPMorgan Chase & Co won preliminary court approval of its agreement to pay $110 million (70.2 million pounds) to settle nationwide litigation accusing it of charging excessive overdraft fees. The settlement would resolve lawsuits brought on behalf of more than 1 million people over the fees, which are assessed when customers overdraw their checking accounts by using their debit cards. ...

Canada lifts threshold for foreign takeover reviews

Fri, 25 May 2012 22:53:03 +0100

OTTAWA/TORONTO (Reuters) - Canada will boost the threshold at which it will review proposed foreign takeovers of Canadian companies, the industry minister said on Friday, but he stopped short of fulfilling a government pledge to clarify the criteria for approving them. Sharpening its focus on the biggest deals, the government will gradually raise the threshold for mandatory reviews to proposed acquisitions with at least C$1 billion (620.1 million pounds) in enterprise value. The current threshold is C$330 million in asset value. ...

Ex-General Re, AIG execs may settle criminal case

Fri, 25 May 2012 22:38:27 +0100

(Reuters) - Four former executives at Berkshire Hathaway Inc's General Re Corp and one at American International Group Inc are in talks to settle a long-running criminal case accusing them of engineering a reinsurance transaction that fraudulently boosted AIG's loss reserves. The talks were disclosed in a Thursday court filing, nearly 10 months after the 2nd U.S. Circuit Court of Appeals in New York overturned the defendants' convictions, citing errors by the judge handling their six-week trial in 2008. ...

BoE's Weale says case for more QE remains

Fri, 25 May 2012 22:30:31 +0100

LONDON (Reuters) - Weak British gross domestic product data this week strengthens the case for more Bank of England stimulus, but this has to be weighed against above-target inflation, BoE policymaker Martin Weale said on Friday. Revised official data this week showed that Britain's economy contracted by 0.3 percent in the first quarter, a bigger fall than the earlier -0.2 percent estimate. After the first estimate was released, Weale said it strengthened the case for more BoE asset purchases - though he did not vote for more at May's Monetary Policy Committee meeting. ...

Dell-Quest deal possible over weekend - sources

Fri, 25 May 2012 22:25:29 +0100

NEW YORK/SAN FRANCISCO (Reuters) - Dell Inc is expected to reach an agreement to buy network security software maker Quest Software Inc as soon as this weekend after a previous deal fell apart, several people familiar with the matter said. Dell is planning to offer between $23 (14.6 pounds) and $26 per share to buy the enterprise systems management software maker, two sources told Reuters on condition of anonymity because the discussions were not public. ...

Polls show Greek conservatives, leftists neck-and-neck

Fri, 25 May 2012 22:17:24 +0100

ATHENS (Reuters) - Parties supporting and opposing Greece's international bailout are running neck-and-neck ahead of next month's repeat national election, which could determine the country's future in the euro zone, three opinion polls showed on Friday. Greece was forced to call the new June 17 vote after an election on May 6 left parliament divided evenly between groups of parties that support and oppose the austerity conditions attached to a 130 billion euro bailout agreed with the European Union and International Monetary Fund in March. ...

Delphi in $1 bn bid for French auto firm

Fri, 25 May 2012 22:13:06 +0100

Delphi, the giant automotive supplier that was once part of General Motors, has offered just under $1 billion for the major piece of a French company that makes electronic connectors.

Spain region, Greek exit warnings rattle euro zone

Fri, 25 May 2012 22:07:14 +0100

(Reuters) - Central banks and companies risk making a grave error if they do not brace for a possible Greek exit from the euro zone, Belgium's foreign minister said on Friday, rattling markets already alarmed by Spain's deteriorating finances. Greek elections are scheduled for June 17 and could hasten the country's departure from the currency club should a government intent on ripping up the country's bailout programme result. Contrasting findings of opinion polls on Friday showed the outcome is too tight to call. ...

Euro dips below $1.25 on Greek, Spanish woes

Fri, 25 May 2012 22:05:09 +0100

The euro extended its slide against the dollar Friday, dipping below $1.25, under pressure from uncertainty over the future of Greece in the eurozone, and the risk of contagion from its debt crisis.

Judge says Enron's Skilling can seek new trial

Fri, 25 May 2012 21:52:00 +0100

HOUSTON (Reuters) - Former Enron Corp Chief Executive Jeffrey Skilling is reviving his quest for a new trial based on evidence his legal team received from prosecutors long after he was convicted of 19 counts of conspiracy, securities fraud, insider trading and lying to auditors. U.S. District Judge Sim Lake in Houston, who presided over Skilling's 2006 trial following the bankruptcy of the once high-flying energy company, on Friday gave the go-ahead to his legal team to seek a new trial. Enron crumbled in December 2001 after years of hidden debt and shaky finances fell apart. ...

Global stocks, euro fall on fears of Greek euro exit

Fri, 25 May 2012 21:42:52 +0100

NEW YORK (Reuters) - U.S. stocks and the euro slipped on Friday as Spain's deteriorating finances and a possible Greek exit from the euro overshadowed an upbeat report on U.S. consumer confidence. Oil prices edged higher due to a lack of progress in talks with Iran over its disputed nuclear program and the rise in U.S. consumer confidence. European equities rose for a second straight day, but gains were driven by defensive plays like utilities and drug makers. A tough economic outlook in Europe dampened investors' appetite for riskier assets. After notching some gains earlier in the day, U.S. ...

Irish support for EU treaty strong, days before vote

Fri, 25 May 2012 21:25:06 +0100

DUBLIN (Reuters) - Irish support for Europe's new fiscal treaty remains strong less than a week before the only popular vote on plans for stricter budget discipline is held, although a large block of undecided voters could still have a decisive say. Ireland will hold its third European referendum in five years on Thursday, and the 'Yes' campaign, led by the three largest political parties, along with business and farming groups, have led in every opinion poll since the vote was called three months ago. ...

French-German row on euro "largely overstated" - IMF

Fri, 25 May 2012 21:22:36 +0100

LONDON (Reuters) - Perceived differences between France and Germany over how to solve Europe's debt crisis are "largely overstated", International Monetary Fund chief Christine Lagarde said in an interview published on Friday. Asked whether there was no need to panic about a rift between Paris and Berlin, Frenchwoman Lagarde told Britain's Guardian newspaper: "I should think so ... I think it's largely overstated. ...

Bankia, Catalonia pile on Spanish debt worries

Fri, 25 May 2012 21:19:34 +0100

MADRID (Reuters) - Financial troubles at a big Spanish bank and one of the country's richest regions, Catalonia, piled on problems on Friday for the Madrid government and for investors who question whether it can pay its debts without help from euro zone allies. Bankia SA, Spain's fourth biggest bank and newly nationalised, asked for a bailout of 19 billion euros (15.19 billion pounds) to repair losses from a property crash - the biggest Spanish bank rescue ever. ...

Spain's Bankia seeks record bailout of ?19 bn

Fri, 25 May 2012 20:49:18 +0100

Spain's fourth-biggest bank, Bankia, said Friday it will ask the government for 19 billion euros ($24 billion) in the largest bank bailout in the country's history.

Spain's Bankia asks state for 19 billion euro bail out

Fri, 25 May 2012 20:18:04 +0100

MADRID (Reuters) - Troubled Spanish lender Bankia asked the state for a bail out of 19 billion euros (15.19 billion pounds) on Friday, more than double what the government said earlier this week would be the minimum needed. The additional funds to cover exposures to real estate, deteriorating loans and accounting discrepancies come on top of 4.5 billion euros already injected by the state into the bank, bringing the total cost for the government to 23.5 billion euros. (Reporting By Sonya Dowsett; Editing by Sarah White)

Bankia reveals 3 billion euro loss for 2011

Fri, 25 May 2012 20:17:53 +0100

MADRID (Reuters) - Spain's troubled Bankia , which asked for a state bailout of 19 billion euros on Friday, also revealed a 2.979 billion euro (2.38 billion pounds) loss for 2011 after restating its accounts. The bank had stated in early May, before the state started a nationalisation process, that it had made a profit of just over 300 million euros for last year. Bankia has since reviewed its loan portfolios and capital needs to assess how much bailout money it needed. (Reporting by Sarah White; Editing by Fiona Ortiz)

JPMorgan's Dimon to testify before Congress in June

Fri, 25 May 2012 20:08:48 +0100

WASHINGTON (Reuters) - JPMorgan Chase Chief Executive Jamie Dimon has been invited to testify before the Senate Banking Committee on June 7 to give lawmakers insight into the bank's trading loss of at least $2 billion (1.27 billion pounds), Senator Tim Johnson said on Friday. Johnson, the Democratic chairman of that Senate panel, said the botched trading strategy at the nation's largest bank shows that Wall Street needs better risk management and stronger policing. "I expect Mr. ...

Apple chief passes on $75 mn in stock dividends

Fri, 25 May 2012 19:15:32 +0100

Apple chief executive Tim Cook has opted not to take $75 million in dividend payout on restricted shares of stock he owns in the maker of iPhones, iPads, iPods and Macintosh computers.

HP tries to stem Autonomy exodus after founder goes

Fri, 25 May 2012 19:11:26 +0100

LONDON (Reuters) - Hewlett Packard Co has told staff at Autonomy they have a bright future even after founder Mike Lynch was shown the door on Wednesday, joining a long line of top managers to leave the Cambridge-based software maker since HP bought it last year. HP Chief Executive Meg Whitman said the group was committed to the success of Autonomy, bought by the world's No. 1 personal computer maker for more than $11 billion. Autonomy has taken some of the blame for last quarter's disappointing performance at HP's software division, which fell short of HP's expectations. ...

JPMorgan boss to face lawmakers June 7

Fri, 25 May 2012 18:45:47 +0100

JPMorgan Chase's embattled chief executive Jamie Dimon will be hauled before Congress on June 7 to explain recent huge trading losses, legislators announced Friday.