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Barclays suffers from indigestion after U-turn on Protium deal
WHEN Barclays gave the name of
Protium, an indigestion medicine, to
an accounting trick it pulled off in
2009, the bank hardly imagined it
would be forced to re-absorb most of
the $12.5bn (£7.5bn) of assets that it
had moved off balance sheet within 18
That was short-sighted, according to
analysts who yesterday dubbed the
scheme a “smoke and mirrors” opera-
tion that had damaged the bank’s rep-
utation and forced it to fork out
£246m as a “sop” to a group of its for-
mer employees. That includes a $270m
cost and a £83m pay-off to investment
firm C12 Capital Management.
C12, led by former BarCap execu-
tives Stephen King and Michael Keeley,
was spun out of the bank in 2009 to
take over a $12.5bn asset portfolio that
Barclays saw as undervalued.
To avoid marking it to market and
taking a loss, then-CEO John Varley
authorised lending $12.6bn to C12 to
buy the assets, turning them into a
loan on Barclays’ balance sheet. But in
an embarrassing U-turn and after
sparking the interest of regulators, the
bank has bowed to “the inevitable”
according to Evolution Securities’
Arturo de Frias, and paid off C12 to
reverse the scheme.
The reversal is due to Basel III rules,
which require the bank to put aside
more capital than it expected against
the Protium loan. That means Barclays
needs control of the assets to sell them
off as fast as possible. “We now have
much greater control,” said chief
financial officer Chris Lucas yesterday.
But analysts were scathing, saying it
was short-sighted to overlook the like-
lihood of Basel III’s impact. “Protium
caused immense confusion, left a bad
taste and now they’re unwinding it
anyway,” said one analyst. RESULTS:P4

GOLD prices soared to a fresh record
high last night after markets dis-
missed Ben Bernanke’s first ever press
conference as too dovish on inflation.
The price of a troy ounce smashed
through the $1,518.6 record set on
Monday to a new high of $1,530.3 after
the Fed chairman told reporters that
the Federal Open Markets Committee
(FOMC) “expects the effect of commod-
ity prices on inflation to be transient”
and added that the recent up-tick in
prices was merely a “short-term
increase in inflation”.
He added that the Fed was power-
less to stop the main driver of rising
prices: “There’s not much the Federal
Reserve can do about gas prices… it
can’t create more oil.” His remarks
were seen to rule out any kind of mon-
etary tightening in the near future.
However, he also ruled out an
expansion of the Fed’s latest $600bn
quantitative easing programme (QE II)
and said that the first move to tighten-
ing would involve allowing bonds pur-
chased under QE II to mature.
As Bernanke was speaking, dollar
bears flocked into the yellow metal as
a safer store of value than the green-
back and the dollar fell one per cent to
$1.4785 versus the euro, its lowest
since December 2009. Meanwhile, the
Nasdaq closed at a ten-year high of
ING’s Rob Carnell said Bernanke’s
benign view of inflation expectations
“is stretching credulity a lot… the mar-
ket no longer sees this as a near term
inflation blip. The Fed seems to have a
problem acknowledging reality”.
Confidence in the dollar was fur-
ther knocked by Bernanke’s assertion
that Washington’s $1.4 trillion spend-
ing deficit is “the most important eco-
nomic problem in the long-term that
the US faces”. “We have a fiscal deficit
that’s not sustainable,” he said. “It will
have significant effects for economic
growth and standards of living.”
He welcomed ratings agency S&P’s
decision to revise the US’s credit out-
look to negative, saying: “To the extent
that the S&P action goads a response
[from politicians], I think that’s con-
The Fed also downgraded its growth
forecasts in minutes released shortly
before Bernanke spoke, revising the
estimate for 2011 down to 3.1-3.3 GDP
per cent growth versus a 3.2-3.9 per
cent forecast given in January.
The consensus among private
sector economists is for 2.9 per cent
growth, however. As with inflation,
Bernanke said the growth slowdown
was “transitory”, but warned: “We are
digging ourselves out of a very, very
deep hole.”

Fed chairman Ben
Bernanke said growth
would pick up over
time but signalled no
tightening any time soon.
Certified Distribution
28/02/11 - 03/04/11 is 105,180
INFLATION Issue 1,372 Thursday 28 April 2011 FREE
BRIDE-TO-BE Kate Middleton is all smiles ahead of her wedding to Prince William at
Westminster Abbey tomorrow. The 11am service – thought to include vows written by
the couple – will be broadcast on video screens around London, and to billions of TV
watchers around the world. ALLISTER HEATH: P2, DIARY: P10, P30-31 Picture: REUTERS
2 CITYA.M. 28 APRIL 2011
Greek yields
rise over 25pc
INVESTORS are now demanding a
stunning 25.5 per cent yield to hold
two-year Greek bonds, pushing
Athens further down a disastrous
path towards western Europe’s first
sovereign default in over 50 years.
Yields on the bonds of other
bailed out nations are also being
drawn upwards as fears reach fever
pitch: Irish two-year rates climbed to
12 per cent and equivalent
Portuguese rates to 11.8 per cent.
Most significantly, Spanish yields
are also creeping upwards, with two-
year rates jumping over 3.6 per cent
yesterday, although the rise is slower
than for other peripherals.
Economists at Fathom Consulting
said: “Investors appear increasingly
convinced that some kind of debt
restructuring by Greece is now
inevitable, an event that ECB execu-
tive board member (José Manuel)
González-Páramo this week
described as having ‘a more negative
systemic effect than the Lehman's
A Greek default is seen as a dooms-
day scenario in Brussels because it
would prompt both a national finan-
cial crisis due to banks’ exposure to
sovereign debt and an existential
question over the single currency
due to Greece’s need to devalue as
part of restructuring its debts.

Britain’s recovery remains on track
IT wasn’t the definitive result that was
required to prove that the recovery has
legs – but yesterday’s first-quarter
growth estimates from the Office for
National Statistics (ONS) were encour-
aging nevertheless. They finally laid to
rest the spectre of a double-dip reces-
sion and confirmed that the UK is
undergoing a bumpy, muted yet very
real private-sector led recovery.
First, a caveat: Britain’s GDP statis-
tics constantly get revised; on average,
they tend to be hiked substantially dur-
ing the months and years that follow
the early releases. Which bits of the
economy are doing well and which are
doing badly also keep getting changed,
often beyond all recognition, by the
ONS, which sometimes almost seems
to enjoy its power to endlessly rewrite
the UK’s economic history.
On the face of it, growth of 0.5 per
cent in the first-quarter, only just eras-
ing the snow-affected 0.5 per cent
decline of the last three months of
2010, was deeply disappointing. But
the underlying growth of the economy
was almost certainly stronger than the
top-line figures suggest. The combined
output of the services and industrial
sectors, accounting for 93 per cent of
GDP, rose by a healthy 0.8 per cent in
the first-quarter, more than recouping
a 0.4 per cent fourth-quarter loss.
March was especially good, which also
bodes well for the second-quarter.
So how come the economy didn’t do
better? The main reason is that con-
struction output supposedly collapsed
(there was also a seasonal hit to oil and
gas and utilities). Yet ever since the
ONS introduced new monthly output
data for the construction sector last
year, its estimates of its performance
have been all over the place. If the ONS
were to be believed, construction out-
put surged 11.2 per cent in the second
and third-quarter of 2010 combined,
making these the best two quarters for
construction for over 45 years. Then
the sector suddenly apparently col-
lapsed again, including by a massive
4.7 per cent quarter-on-quarter in the
past three months alone.
Such extreme volatility is implausi-
ble, and contradicts surveys, even if the
public sector has been retrenching in
that area. The GDP estimates do sug-
gest a construction bounce-back in
March, and it looks as if the official
numbers lag the reality on the ground
by around six weeks.
And if it were true that the economy
hadn’t grown at all during the
October-March period, then one ought
to expect employment and hours
worked to have slumped, given that
productivity continues to grow. Yet we
have seen the opposite: robust private
sector jobs growth, and an increase in
the total number of hours worked.
The economy is not doing as well as
it should, which is hardly surprising
given the hike in VAT and that real
take-home pay has been falling as a
result of out-of-control inflation. The
recovery will be challenging; there will
be no fireworks or growth spurts and
lots of headwinds. But the trend
remains in the right direction, and
that is what matters most.
Happy marriages begin when we
marry the one we love, and they blos-
som when we love the one we married,
as a wise writer once put it. What is
perhaps most heartening about tomor-
row’s wedding is that this is a senti-
ment which the delightful Royal
couple appears to have taken to heart.
City A.M. wishes William and Kate the
very best on their big day, and a life full
of joy and happiness.
Follow me on Twitter: @allisterheath
LONDONERS could face a fresh wave
of transport misery after RMT union
members voted in favour of more
strike action.
The union says it will now consider
“the appropriate course of action,”
which could lead to yet another staff
The RMT claims two Transport for
London (TfL) workers, Eamon Lynch
and Arwyn Thomas, were sacked
because of their close affiliation with
the union.
However, TfL has rubbished the
claims, saying: “It is absolute nonsense
to suggest that these individuals were
dismissed unfairly.”
No dates have been named for possi-
ble industrial action.
Last year saw four strikes over job
losses at ticket booths, the most recent
in November. Thousands of workers
decided they couldn’t beat the strikes
and stayed at home, although TfL
claimed to maintain most services.

Tube staff vote to strike
Union boss Bob Crow says union members have been targeted
Jimmy Choo eyes Hong Kong IPO
Luxury shoe group Jimmy Choo and its
private owner TowerBrook Capital are
considering an initial public offering of
up to £650m, with the listing likely to
be in Hong Kong. The news comes as
three bidders – private equity group
TPG Capital, US retailer Jones and a
consortium of Investcorp and Labelux –
compete for control of Jimmy Choo.
Carnival suing BP over oil spill
Cruise company Carnival is suing BP and
Transocean over the Gulf of Mexico oil spill
a year ago. The cruise operator is seeking
unspecified damages with interest, puni-
tive damages and the cost of litigation.
The lawsuit, filed in the US, cites negli-
gence by all operators of the Deepwater
Horizon Rig, including Cameron, BP,
Transocean, and Haliburton. BP: P8
Lehman strikes NY settlement
Cash-strapped New York state would
receive about $144m from Lehman
Brothers Holdings under a proposed set-
tlement resolving tax claims against the
defunct financial giant. The payment of
corporate back tax and interest would set-
tle claims that initially sought $1.17bn.
Floor, Centurion House,
24 Monument Street, London, EC3R 8AJ
Tel: 020 7015 1200 Fax: 020 7283 5334
Editor Allister Heath
Deputy Editor David Hellier
News Editor David Crow
Night Editor Katie Hope
Business Features Editor Marc Sidwell
Lifestyle Editor Zoe Strimpel
Sports Editor Frank Dalleres
Art Director Craig Gaymer
Pictures Alice Hepple
Sales Director Jeremy Slattery
Commercial Director Harry Owen
Head of Distribution Nick Owen
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Greek prime minister
George Papandreou is
facing the disastrous
possibility of a
sovereign default.
Glencore is facing a big increase in its
tax bill following its $60bn initial
public offering after paying almost
no corporate taxes on its trading busi-
ness for years in spite of bumper prof-
its, according to the banks
underwriting its $60bn listing. The
pre-IPO research, by banks including
Citigroup, Credit Suisse and Morgan
Stanley, sheds new light on the low
taxes paid by the Swiss-based private-
ly owned trading house which domi-
nates global commodity markets.
The struggle for control of Italy’s
Parmalat remains in doubt, as Silvio
Berlusconi’s centre-right government
explores all possibilities to keep the
food and dairy group out of French
hands following the €3.4bn takeover
bid announced by rival Lactalis.
Parmalat was a central issue during a
difficult summit between Berlusconi
and France’s Nicolas Sarkozy in Rome
on Tuesday.
Barrick Gold has mounted a vigorous
defence of its $7.6bn cash bid for
Equinox Minerals amid concern that
the world’s biggest gold producer is
taking on more risk by buying the
Australian-Canadian copper miner.
Peter Munk, Barrick’s chairman, told
its annual meeting: “We’d be foolish,
suicidal and totally wrong if we
would ever contemplate letting go of
our primacy in the gold industry.”
Boeing yesterday dismissed the com-
petitive threat posed by the decision
of Airbus, its main rival, to put new
fuel-efficient engines on its A320, as
it attempts to woo customers away
from the US manufacturer’s 737.
Glencore could be forced to pay its
multimillionaire traders even more
after it floats next month, one of its
own banks has warned. Bank of
America Merrill Lynch identified
Glencore’s compensation structure as
a key issue for investors in a private
research note given to only a small
number of City institutions.
One of Asia’s most successful entre-
preneurs has pledged to turn
Caterham sports cars into a global
brand to rival Jaguar and Aston
Martin. Tony Fernandes, who owns
the Lotus Formula One team, bought
the boutique carmaker yesterday, say-
ing that he would invest in new
designs and boost exports.
Sony will be questioned by Britain’s
data protection watchdog after it
admitted hackers stole huge volumes
of personal information from the
PlayStation Network. It follows Sony’s
admission yesterday that hackers stole
data on more than 70m users of the
PlayStation Network and Qriocity, its
music streaming service.
President Barack Obama has made an
extraordinary intervention to silence
“birther” conspiracy theorists, releas-
ing a copy of his original birth certifi-
cate which shows definitively that he
was born in Hawaii. Obama con-
demned the long running row over
his place of birth as “silliness” and a
Comcast Corp.-controlled
NBCUniversal is moving forward
with discussions to acquire
Blackstone Group LP’s stake in the
Universal Orlando theme parks,
according to people familiar with the
matter. Two of the people familiar
with the matter characterised a deal
as “likely”. Another person familiar
with the matter cautioned, however,
that NBCU hasn’t made a decision
Wal-Mart Stores is quietly bringing
back rifles, shotguns and ammuni-
tion to hundreds of US stores as the
struggling retail giant seeks to
increase one-stop shopping and lure
more male customers. It stopped sell-
ing hunting rifles and bullets at all
but a third of US stores five years ago.
CONSUMER powerhouses eBay and
Starbucks both reported a sharp rise
in profits last night, indicating the
economic recovery was gathering
eBay saw first-quarter revenue rise
15.9 per cent to $2.5bn on the same
period last year, fuelled by a 23 per
cent revenue boost at PayPal and a 12
per cent increase at its online market-
places, beating Wall Street forecasts
of $2.48bn. Net income was $476m, or
36 cents per share, compared with
$398m, or 30 per share, a year earlier.
Revenues at PayPal surged an aston-
ishing 23 per cent to $992m, leading
analysts to predict it will soon surpass
the online marketplace as eBay’s
main source of revenue. eBay passed a
milestone in the first-quarter as the
number of active PayPal accounts sur-
passed the number of active eBay
accounts. There were 97.7m active
PayPal users at the end of the quarter
compared with 95.9m eBay users.
For all of 2011, eBay forecast adjust-
ed earnings of $1.93 to $1.97 per share
on revenues of $10.6bn to $10.9bn,
above analyst forecasts of $10.48bn.
Coffee giant Starbucks also saw a
sharp jump in profits in the three
months to 3 April to $261.6m
(£157.3m), up 20 per cent on the
$217.3m the company made a year
Revenues rose 10 per cent to
$2.8bn. Like-for-like sales, which strip
out the impact of stores open less
than a year, rose by seven per cent in
the US in the first-quarter.
But Starbucks said rising commod-
ity costs would have a bigger impact
this year than previously forecast.
Nonetheless, Starbucks raised its
profits guidance for the year to
between $1.46 and $1.48 a share, com-
pared with its January view for $1.44
to $1.47.
The company has recently under-
gone a restructuring programme
designed to reduce costs, which
involved concentrating on core mar-
kets and shutting hundreds of stores.
Starbucks and
eBay triumph
as profits rise
HOMEOWNERS will be breathing a
sigh of relief after economists said the
Bank of England would delay any
plans for an interest rate rise due to
yesterday’s anaemic growth figures.
Markets expectations for a rate rise
have already been pushed towards well
into the summer, and they are likely to
move back further after the Office for
National Statistics yesterday said the
economy grew by just 0.5 per cent in
the first quarter.
Andrew Goodwin, senior economic
advisor to the Ernst & Young ITEM
Club, said: “The headline figure will
provide the doves on the MPC with
more ammunition for their argu-
ments in favour of keeping rates at 0.5
per cent.
“With the potential for the second
quarter figures to be adversely affected
by the extra Bank Holiday we could
well be in for another weak outturn
when that data is published in three
months’ time, so there is little
prospect of the committee moving on
rates any time soon.”
Philip Shaw of Investec said the
growth numbers would “do little to
overturn the Bank’s nerves that the
economy remains fragile”, adding that
an interest rate rise at next week’s
meeting was “unlikely”.
Bank likely to
hold rates after
growth figures
John Donahoe, chief executive of eBay is upbeat about 2011 Picture: GETTY

3 CITYA.M. 28 APRIL 2011
ANALYSIS l eBay's first quarter results

amount spent
on eBay
active or registered
BARCLAYS yesterday unveiled a disap-
pointing set of results, prompting its
shares to dip 3.26 per cent as investors
lost faith in chief executive Bob
Diamond’s (pictured) ability to deliver
on an ambitious 13-15 per cent returns
Pre-tax profit dropped to £1.66bn,
nine per cent down on the first-
quarter of 2010, with the cor-
porate and investment
banking division seeing profits
plunge 29 per cent. Barclays
Capital (BarCap), the invest-
ment banking business, suf-
fered particularly from a 22
per cent drop in revenues in its
biggest division, fixed income,
currency and commodities
(FICC), a trend also seen in
its rivals’ results.
Rich Ricci, co-head of
BarCap, admitted: “The
(FICC) market outlook,
I think, is still muted,
at least for the near
term.” BarCap contin-
ued to contribute
the lion’s share of
the bank’s profits,
however, delivering
£982m pre-tax – 59
per cent of earnings.
Barclays’ UK retail
bank was its largest
business to see an
improvement in profits,
which rose 21 per cent to
£288m. The bank credited
a better rate of impair-
ments, although the progress was par-
tially offset by losses on the continent.
Impairments rose in Spain, amount-
ing to a £175m charge and the bank
took a £190m loss on its Protium line
prior to cutting a deal to bring the
assets back on balance sheet.
Diamond was keen to highlight a 20
basis point rise in the bank’s core tier
one capital ratio to 11 per cent in Basel
II terms. Diamond also told sharehold-
ers that the effect of proposals from
the Independent Commission on
Banking (ICB) to ring-fence the cap-
ital of retail operations were still
not clear but that “Barclays does
not use deposits to fund its invest-
ment bank”.
However, shareholders are impa-
tient for better returns – the
bank saw a significant 9.7
per cent vote against its
remuneration report.
Shareholder Trevor
White said at its annu-
al general meeting yes-
terday: “I do not
believe shareholders
are being treated fairly
in sharing the pain.”
Barclays fails
to live up to

Focus on Barclays
4 CITYA.M. 28 APRIL 2011
Protium: Picking a solution out of thin air
THE toxic assets that make up
Barclays’ so-called Protium portfolio
are aptly-named. Protium is the most
common isotope of hydrogen gas,
and   the bank was plucking a solu-
tion out of thin air when it used a
barely-disguised accounting trick to
push $9.8bn of toxic assets off its bal-
ance sheet. Little wonder the
manoeuvre has failed: now the bank
is paying an £83m “management fee”
to get the assets back from C12, the
asset manager set up by a bunch of
Barclays traders to manage the loans.
The bank plans to sell the assets over
the next three years, likely at a dis-
count to what they will eventually be
worth, so it doesn’t have to hold capi-
tal against them.
Shareholders have had enough of
the hocus-pocus typified by the
Protium deal – it reeks of the kind of
exotic finance that was one of the
reasons for the credit crunch
(remember the CDO squared any-
one?). But the solution to the Protium
mess is hardly an exercise in simplic-
ity. Although the assets will return to
the Barclays balance sheet, they will
continue to be managed by C12.
Coincidentally, or so we’re told,
Barclays is making a $750m invest-
ment in Helix, a separate fund man-
aged by C12. Make sense? We didn’t
think so.
In truth, the long-term effect on
Barclays’ performance will be negligi-
ble; save for the £83m “management
fee”, there will be little material
impact. The cost to its reputation,
however, will be much greater.
This debacle comes at a tough time
for the bank, with first-quarter pre-
tax profit down nine per cent year-on-
year to $1.66bn and underlying
pre-tax profit at BarCap, the invest-
ment bank, slipping 15 per cent.
Management needs to focus on boost-
ing performance – and leave creative
accounting tricks in the past.
Analysis by David Crow
Interviews by Juliet Samuel Customer Phoneline: 08442490115
Save or Borrow peer to peer at
"He’s a great guy. He’s worth every penny we
pay him – if we didn’t have him, who else?
These people don’t grow on trees.”
"I am pleasantly surprised by Bob Diamond.
He seems to be driving forward very well
and enjoying it.”
"Our shares are not going anywhere. It’s
rubbish. But when they ask us for more
money they expect us to give it.”
ANALYSIS l Barclays
16Feb 07Mar 25Mar 14Apr
27 Apr
THE UK economy grew by 0.5 per cent
in the first-quarter, avoiding a double-
dip recession and recovering from a
0.5 per cent contraction in the final
three months of 2010.
The headline figures suggest the
economy has flatlined over the last
six months, although economists
were sceptical about the reliability of
early official statistics, which are nor-
mally subject to substantial revisions.
Many believe the underlying strength
of the recovery is much stronger than
the numbers imply.
Construction output fell by a mas-
sive 4.7 per cent, the Office for
National Statistics said, while the out-
put of utilities like electricity and gas
fell 3.5 per cent on the previous three
months, when a particularly cold
December boosted demand.
But economists were highly suspi-
cious about the construction figure,
which has swung wildly since early
2010, when the ONS introduced new
monthly data. According to the ONS,
construction surged by a staggering
11.2 per cent in the second and third
quarter of 2010 – the best result for
45 years – before plunging seven per
cent in the following six months.
Although construction accounts for
just six per cent of the economy, it
shaved 0.3 percentage points off first-
quarter growth.
Conversely, combined services and
industrial output – which account for
93 per cent of GDP – rose by 0.8 per
cent in the first three months of the
year, more than recouping a 0.4 per
cent fourth quarter loss.
Manufacturing grew by an impres-
sive 1.1 per cent; government services
grew 0.7 per cent; and transport and
communications recovered strongly
after snow affected business in the
Michael Saunders, an economist at
Citi, said the headline growth figure
“did not quite reflect the economy’s
underlying momentum”.
He added: “It is not usually advis-
able to construct figures that simply
exclude all the weak bits, but there
are grounds for regarding the falls
in construction and utilities as
Andrew Goodwin, senior economic
advisor to the Ernst & Young ITEM
Club, said “the figures for the con-
struction industry just look bizarre.”
UK economy
grew by 0.5pc
in 1st quarter

ANALYSIS l GDP growth by sector
Manufacturing 1.1
Extraction 0.4
Utilities 3.5
Distribution, hotels & restaurants 0.3
Transport, storage & communication 2.7
Business services & finance 1.0
Government & other 0.7
Focus on GDP
6 CITYA.M. 28 APRIL 2011

Overall, the economy has shown
underlying growth in the last two quar-
ters, once erratic swings in construction
are stripped out. This is not so bad given
the heavy headwinds from fiscal
tightening and high inflation.

This may seem modest but early
GDP numbers during recoveries have his-
torically been revised up while trend eco-
nomic growth may be only about 2 per
cent a year, rather than the 2.35
per cent currently assumed.

The extreme volatility in the construction data over the year since the ONS introduced its new
monthly construction survey is in danger of undermining the credibility of the GDP series, such is
the degree to which such a small sector is influencing the headline figures.

CHANCELLOR George Osborne yes-
terday said he would “stick to the
course” of spending cuts to rein in
Britain’s £150bn deficit, despite
early official statistics
suggesting the
economy has stag-
nated over the last
six months.
He said: “The
good news is the
economy is
growing and
you see sectors
like manufac-
turing doing
around the
world we
are facing
some choppy economic conditions.
We’ve got one of the highest
[deficits in the world], but I think
that reinforces our determination
to stick to the course.”
But shadow chancel-
lor Ed Balls said
Osborne was “the only
person in the whole
country who will
think that this
is good
added: “A
is exactly
what we
don’t need to get
down, to get our
deficit down.”
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OIL giant BP revealed a two per cent
dip in profits in the first-quarter of
this year, as its fire sale to cover the
cost of the Gulf of Mexico oil spill ate
into production levels.
The energy firm made replacement
cost profits of $5.5bn (£3.3bn) in the
three months to 31 March, from
$5.6bn during the same period a year
Profits were hit by an 11 per cent
slump in production volumes and
higher charges associated with the
Deepwater Horizon spill.
BP has disposed of $24bn worth of
assets, including several high-value oil
fields and gas reserves. The firm is tar-
geting $30bn worth of divestments to
cover the cost of the spill.
Charges relating to the Macondo
well disaster, which claimed the lives
of 11 men, totalled $40.9bn for the
firm last year.
The cost incurred in the first three
months of this year narrowed to
$384m, from $1bn in the fourth-quar-
ter of last year.
Bob Dudley’s firm said it expected
to restart drilling in the Gulf of
Mexico in the second half of this year.
The energy behemoth said it was
pursuing a range of options to try and
solve its dispute with its Russian part-
ners TNK-BP over a planned tie-up
with Kremlin-backed oil firm Rosneft.
The $16bn share swap could boost
BP’s ailing output should it successful-
ly complete, however oligarch share-
holders in TNK-BP have launched a
tribunal to get the deal annulled.
BP asset sale
hits profits as
output slides
INVESTMENT bank Lazard revealed a
five per cent slip in profits over the
first three months of this year, as rev-
enue from its restructuring business
The US lender’s restructuring busi-
ness performed well during the finan-
cial downturn as ailing businesses and
governments looked to sell assets and
restructure liabilities. But as the econ-
omy recovers, there may be fewer
opportunities in this business.
In the first-quarter, the 11 per cent
uptick in merger advisory revenue was
not enough to make up for the £65m
drop in restructuring revenue.
Lazard said that earnings were
$55m (£33m), or 43 cents a share,
equal to analysts’ average forecast. A
year earlier, it posted a loss of $33.5m,
or 38 cents a share.
Net revenue was flat at $438.m. The
first-quarter of 2010 included $112m in
special charges related to layoffs and
changes to its retirement policy.
On an operating basis, the company
earned $73.4m, down from $77.5m in
the same quarter last year. Revenue in
Lazard’s restructuring business fell by
about $65m to $35.6m in the first-
quarter of 2011. That decline more
than offset the change in merger advi-
sory revenue, which rose $16.2m to
$163.8m in the quarter.
Lazard suffers
as restructuring
revenue drops
BP chief executive Bob Dudley has seen his firm hit by a fall in production.


8 CITYA.M. 28 APRIL 2011
31 Jan 18Feb 10Mar 30Mar 19Apr
27 Apr
Asset: BP Exploration
Company Colombia
Production: 25,000 barrels
of oil per day
60m barrels of oil
Buyer: Ecopetrol
and Talisman
Asset: Pan
American Energy
Production: 143,000
barrels of oil per day
917m barrels of oil
Buyer: Bridas
Asset: Western
Canadian upstream
Production: 240 cubic feet of
gas per day, 6,500 barrels of liq-
uids per day
214m barrels
of oil
Buyer: Apache
Asset: Permian Basin
Production: 80m cubic feet
of gas per day, 15,100
barrels of liquids per day
126m barrels of oil
Buyer: Apache
list of things I am bothered about,
this one bothers me not at all.
“Why couldn’t William and Kate
get married on a Saturday like every-
one else, so small businesses up and
down the country don’t have to lose
a day’s trading?”
MEANWHILE, scores of City workers
will flee the capital tonight to avoid
the wedding madness – just as long as
they are not recalled to the office to
work the Bank Holiday weekend.
This practice is rife at Goldman
Sachs in the US, says author William
Cohan, whose new book Money and
Power claims a group of young
recruits were summoned to a part-
ner’s office for a meeting at 5pm the
Friday before the Memorial Day week-
end, kept waiting until 10pm, and
then ordered to cancel their weekend
plans to work on client business.
Goldmans’ UK operation refused to
comment on the accuracy of Cohan’s
claims. But the reality is that not even
meeting your girlfriend’s parents for
the first time can exempt you from the
dreaded summons – just ask the
banker at Evercore Partners who was
ordered back to London on a Saturday
even though he was already half-way
to lunch in Kent with his prospective
in-laws when he took the call.
IMAGINE a motorbike. Then imag-
ine a smaller one, cut it in half,
stick an uncomfortable old
sofa on the back and you
have a mototaxi (pictured
above) – the vehicle that Avi
Bagchi and Moira Eyres from
Schroders and ex-Morgan
Stanley banker Adam
Fenton are driving the
length of Peru in aid of
Practical Action.
The team will set off
from the UK tomorrow –
follow their progress at
www. t hei ncaredi - as they
contend with
drug barons, trib-
al wars and some
of the least hos-
pitable terrain
on earth in their bid to reach the
Ecuadorian border within two weeks.
THE LATEST dispatch from David Tait,
the global head of macro directional
trading at UBS who is midway
through an oxygenless ascent of
Everest (below), announces that he set
off from Base Camp at 3am this morn-
ing to negotiate the Khumbu ice-fall
before moving up to 6,200 metres.
From now on, however, no-one will
know where Tait is, because he has
permanently switched off the GPS
transmitter that plots his location,
after the device malfunctioned and
started flashing SOS, triggering a flur-
ry of emails to expedition
Tait said: “It was only
by chance that fleets of
rescue-type helicopters
weren’t scrambled
erroneously, present-
ing me with a quanti-
tative easing type of
TONY Blair and Gordon Brown have
been snubbed from the Royal
Wedding – as has Brown’s former
spin doctor Simon Lewis, despite his
previous incarnation as the first head
of communications for the Queen
between 1998 and 2000.
Lewis, who is now the chief execu-
tive of the Association for Financial
Markets in Europe, will still take cen-
tre stage though. From 8am, he will
be setting up camp in ITN’s studio in
Green Park to provide live commen-
tary throughout the day as part of a
panel chaired by Philip Schofield.
The PR heavyweight, the older
brother of former Daily Telegraph
editor Will Lewis, will no doubt give
ITN’s viewers the inside track on
those City guests fortunate enough to
have received an invitation.
They include Simon Johnson, the
chief operating officer of England
2018, who worked closely with Prince
William on the doomed World Cup
bid; Sir John Madjeski, chairman of
Reading football club; and Canadian
retail billionaire and philanthropist
Galen Weston and his wife Hilary,
said to be friends of the royal family.
However, elsewhere in the City,
there are rumblings of Republican
discontent. The chief executive of a
leading stockbroker, who refused to
be named – “I want to keep my head,
not get it chopped off” – said: “Of the
The Capitalist
Got A Story? Email
Follow The Capitalist
on Twitter: @citycapitalist
CITYA.M. 28 APRIL 2011
Clockwise from top: Hilary and Galen Weston, Simon Lewis and Sir John Madjeski
Driven: the bankers’ Peruvian motor
When they first met, he thought,
‘I like her. I fancy her. Almeria’. But
people said, ‘You’re Faro too young
to get married’. So they Split. ‘We’re
just good friends,’ he said. But he
was Tallinn porkies. He knew she was
too good Toulouse. Which is why
they’re getting Madrid in the morning.
Kos when Amman loves a woman,
they Bologna together. Enjoy the Big
Day. (But if you’re Bordeaux of it all,
we can help.)







* from



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CREDIT Suisse delivered a solid first-
quarter performance yesterday only
marred by a large debt writedown
that pulled profits down 45 per cent.
Strong revenues in its investment
banking division and healthy fund
inflows generated group pre-tax prof-
it of SwFr1.6bn Swiss francs (£1.1bn),
higher than the consensus forecast
for SwFr 1.5bn.
However, its profit was down from
the SwFr2.9bn recorded in the same
quarter in 2010 as it wrote off
SwFr617m from its own debt and
related derivatives after issuing and
selling about £6.5bn of contingent
convertible (co-co) bonds in the quar-
ter. The strength of the Swiss franc
against the dollar and euro also hin-
dered the bank’s performance – BNP
Paribas analyst Olivia Frieser pointed
out that the 25 per cent fall in group
profit would have been 15 per cent in
dollar terms.
“In a quarter marked by significant
market uncertainty we have main-
tained our strong momentum with
clients, gaining market share and gen-
erating SwFr19.1bn net new assets,”
said chief executive Brady Dougan.
Credit Suisse’s investment banking
arm turned in a strong performance,
generating a SwFr1.3bn pre-tax profit
on revenues of SwFr4.9bn. While prof-
it fell 25 per cent compared with the
same quarter in 2010, it beat market
expectations of SwFr1.2bn, while rev-
enues fell only six per cent.
“Underwriting, advisory and equi-
ties were below expectations, but
fixed income, currency and com-
modities (FICC) above,” said Frieser.
Pre-tax profit at its private banking
division fell eight per cent to
SwFr855m from SwFr892m in 2010,
while its asset management arm saw
profits rise four per cent year-on-year
to SwFr172m from SwFr166m in 2010.
Credit Suisse
profits higher
than forecast

ANALYSIS l Credit Suisse
16Feb 07Mar 25Mar 14Apr
27 Apr
Credit Suisse chief executive Brady Dougan said market share rose Picture: REUTERS
13 CITYA.M. 28 APRIL 2011
increase in property
searches in Switzerland
since the introduction of the
50p tax rate
A luxury 10-bedroom villa on the
banks of Lake Geneva, in the
Swiss canton of Vaud. Maximum
income tax rates in Swtizerland
can be as low as 24 per cent.
Swiss property drive shows how 50p
tax is driving homebuyers cuckoo
INTEREST in Swiss properties has surged by
174 per cent in the last two years, as high-
net-worth individuals run for the hills to
escape the UK’s 50 per cent tax rate.
According to research by property web-
site, from December
2008 to February 2009 the number of
searches for properties in Switzerland rose
43 per cent, jumping by another 93 per
cent the following year.
Since the UK rate hike came into force in
April 2010 for those earning more than
£150,000, several Swiss cantons have
stepped up efforts to promote themselves
in London as an attractive destination for
finance professionals.
Zug, a sleepy canton in central
Switzerland, has attracted an influx of
global companies with its low tax rates. It
now boasts around 24,000 jobs and 12,900
registered companies for its 25,000 resi-
The Swiss Federal Migration Office says
that 383 British banking and financial
services professionals have moved to
Switzerland in 2010 – a 28 per cent
increase on 2009.

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15 CITYA.M. 28 APRIL 2011
Moody's profits up 37 per cent
Bond ratings company Moody’s yester-
day posted a rise in first-quarter profit,
topping Wall Street expectations, and
raised its dividend as corporate debt
issuance jumped. Net income rose 37 per
cent to $155.5m (£94.3m) from $113.4m
a year earlier, equating to a 43 per cent
rise in earnings per share to 67 cents,
from 47 cents in 2010. Analysts on aver-
age expected 54 cents a share.
Amdega enters administration
Darlington-based conservatory and
greenhouse company Amdega has gone
into administration. Mark Firmin and
Brian Green from KPMG’s restructuring
practice have been appointed as joint
administrators to Amdega, which is
being wound down by administrators as
there is no prospect for a sale of the busi-
ness. Most of the 197 local employees
have been made redundant.
Our drive for economic growth is unstoppable
HE pessimists thought it would
be a train crash, but it was avert-
ed at the last moment. In the
film thriller Unstoppable, the
runaway freight locomotive screeches
around the corner, just avoiding flying
off the rails into a toxic depot.
And so it is with the apparently
unstoppable UK economy. Just as it
screeches to the edge of a double dip
recession – toxic for the government –
up pop the GDP figures. Growth is not
runaway, but parts are doing well –
manufacturing in particular. London
too is on the up, with financial and
business services growing at twice the
national rate as the City returns to
But just like Denzel Washington,
the steely-nerved train driver in the
film, the chancellor knows he can’t
afford to relax yet. Growth figures will
mute critics of the government’s cuts,
but it is still pretty shaky out there.
Many public sector job losses have
still to come through, consumers are
nervous, and sovereign debt crises are
still roaming Europe. And economists
worry about the return of the three-
day week – this time imposed not by
unions, but Royal nuptials.
The government’s push for growth
must continue. The negative GDP fig-
ures announced in January had a
transformative effect on ministers –
the quest for growth trumped all other
political considerations.
The government’s growth review
and the ensuing budget contained a
barrage of measures to get the finan-
cial juices flowing again.
The tax breaks to encourage venture
capital investments will particularly
help London, while the mayor also
secured an enterprise zone in the
Royal Docks. For our part, we have
launched a new agency to promote
London internationally to investors,
visitors and students, and are on
course to recruit over 20,000 appren-
ticeships this year.
Opponents of growth will use the
GDP figures to say the government can
let its guard down.
Those who want more regulation of
business – or at least want to stop
deregulation – will say we can all relax
now. Those who wince at corporation
tax cuts will say we need to cut no
more. But we need to continue pro-
moting growth – we are still behind
where we were pre-recession, and
youth unemployment is high.
There are lots of reasons to be opti-
mistic – London remains a global pow-
erhouse, well positioned for recovery.
We retain our fundamental strengths
of a highly skilled, highly productive
economy, and are clearly on the path
to recovery. But it’s too soon to put our
feet up.
Anthony Browne is an adviser to the
Mayor of London.
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Posted 2:51pm (Aug 24, 2010)
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UK consumers remain sunk in gloom
about both their personal finances
and the economic outlook, a key
barometer published today showed.
The GfK NOP consumer confidence
index fell in April, after holding
steady in February and March, as
fears over household finances and the
affordability of major purchases
increased. The fall, to -31 from -28 in
March, takes the index below a cru-
cial low of -30.
This has been seen only in two pre-
vious financial crises, in mid-2008
and early 1990, GfK NOP managing
director Nick Moon said.
“This is a significant drop,” he said.
“It suggests that the attempts to spur
growth in last month’s Budget have
failed to convince the public, and this
may well be sorely felt on the already
beleaguered high street.”
Consumer spending accounts for
about 65 per cent of GDP, so any dam-
age to confidence could affect growth.
“It certainly reinforces concerns
about consumers being very cautious
in their spending going forward,”
said Howard Archer, chief UK econo-
mist at IHS Global Insight.
The index stood at -16 last April and
stayed around -20 in the second-half of
2010. In January it fell to -29 and has
stuck just above -30 until now.
Confidence in personal finances
saw the greatest monthly drop in
April as consumers’ views of house-
hold funds over the past year and in
the future both slumped by four
Consumers’ views of the economy
over the past year fell two points, while
expectations for the year ahead lost
one point.
UK consumer
morale dives
again in April
THE number of mortgages approved
for house purchase rose to an eight-
month high during March as activity
in the property market showed signs
of picking up, figures have revealed.
A total of 31,660 loans were
approved for people buying a new
home, five per cent more than during
the previous month and the highest
level since July last year, according to
the British Bankers’ Association.
Despite the improvement, the figure
is still 10 per cent lower than the num-
ber of loans approved in March last year.
JAPAN’S sovereign credit rating
received a downgrade threat from US
agency Standard & Poor’s yesterday
on concern that the cost of the devas-
tating earthquake and tsunami in
March will damage its public
S&P lowered the outlook on Japan’s
long-term rating to negative from sta-
ble, meaning a downgrade of its sov-
ereign rating is possible if conditions
do not improve.
S&P kept Japan’s long and short
term ratings at AA- and A-1+ respec-
tively but warned that the bill from
the nuclear crisis and two disasters
could reach 50 trillion yen (£371bn).
Without tax increases S&P said
Japan’s government would bear virtu-
ally all the costs, pushing its 2011
budget deficit up by two per cent and
raising the net debt to 145 per cent of
GDP in 2013.
S&P shifts Japan’s credit
rating outlook to negative
Japanese Emperor Akihito and Empress Michiko pray for the victims Picture: REUTERS


● Consumer confidence index at lowest level
since mid-2008, when the UK was in recession.
● All five measures of confidence fell in April.
● Consumer spending accounts for 65 per cent of
GDP, and damage to confidence could hit growth.
CITYA.M. 28 APRIL 2011

Mortgage loans
at 8-month high
UK retailers hired more than 3,000
new staff and opened 837 new shops
in the past quarter compared with
the first-quarter of 2010, new research
published today shows.
In a sign of the sector’s resilience,
retail employment rose 0.5 per cent in
the quarter compared with the first-
quarter of 2010, the British Retail
Consortium’s BRC-Bond Pearce Retail
Employment Monitor showed.
Despite a late Easter and a slowdown
in customer spending, the survey sug-
gests UK retail is still expanding.

Retailers enjoy
new year boost
PINEWOOD Shepperton, the iconic
British studios that has played host to
screen legends including James Bond
and Harry Potter, looks set to be sold
to Peel Holdings for £96m.
Peel fought off an eleventh hour
rival approach from controversial
Fulham FC owner Mohamed al Fayed.
The former Harrods owner is thought
to be mulling an improved offer
before the deal closes in the summer.
If the bid is ratified by sharehold-
ers, Peel will pay 200p a share for the
70 per cent of the firm it does not
already own, an increase of £8m on
its previous offer. It represents a pre-
mium of 37.6 per cent to the average
closing price for the three months
prior to the bid.
Pinewood chairman Michael
Grade, who has faced calls for his res-
ignation from major shareholder
Crystal Amber, said: “The directors
have recommended this offer to
shareholders as it delivers certainty at
an attractive premium.
“This stable time in a volatile indus-
try offers shareholders an opportune
moment to realise value.
“Peel has been a most supportive
shareholder, committed to our strate-
gy and vision for the group.”
Pinewood was advised by JP
Morgan and BDO.
John Whittaker, chairman of the
Peel Group, said: “The acquisition rep-
resents an attractive proposition for
the shareholders of Pinewood.
“Peel represents a long-term strate-
gic partner for Pinewood in continu-
ing to grow and develop the
Al Fayed declined to comment on
the recommendation yesterday.
The studios last month revealed a
plan to invest millions over the next
few years to help finance small
British films. It says it will set aside
money for productions with a budget
of around £2-3m.
NOKIA, formerly the world’s undisput-
ed mobile heavyweight, will slash
7,000 jobs as it prepares for a new
dawn as a smaller, humbler company.
The Finnish firm plans to cut €1bn
(£890m) from its research and develop-
ment budget by outsourcing its soon-
to-be-axed Symbian operating system
division, along with its 3,000 staff, and
laying off a further 4,000 workers.
Accenture will take over Symbian
duties and play a role in supporting
future releases running Microsoft’s
Windows platform.
Nokia’s chief executive Stephen
Elop, a former Microsoft employee, sig-
nalled a radical change of direction for
the company when he signed an agree-
ment to use Windows Phone 7 as
Nokia’s “primary” software.
His task now is to plug the leak in
Nokia’s market-share, particularly in
the smartphone market. He yesterday
admitted: “The competitive environ-
ment has changed rapidly.”
Nokia says it will shed 7,000 jobs as
it strips back research costs
ITV has settled a long-running legal
dispute with its Scottish network
partner, lifting a huge cloud from
STV’s outlook.
STV will pay ITV £18m, less than
analysts were expecting. The settle-
ment also boosts the chances of STV
resuming a dividend, sending its
share price up 10.6 per cent yesterday.
Relations between the two broad-
casters soured in 2009 after STV opted
out of some ITV programmes to show
homemade shows instead.
ITV said then it would start legal
proceedings to recover what it
described as a £38m shortfall in net-
work programme contributions.
STV said the claim was completely
without merit and launched its own
legal challenge. But yesterday the two
sides said they had agreed to settle
the dispute.
The £18m consists of a £7.2 cash
payment payable this year and
£10.8m either in programme rights at
the end of the year or cash.
STV will pay ITV £18m
after lengthy legal battle

EMBATTLED Sony was yesterday fac-
ing a consumer backlash after it
emerged hackers have gained access
to the personal details of more than
70m PlayStation users.
The breach, which Sony says could
include credit card details and
addresses, is one of the largest of its
Sony pulled the plug on its
PlayStation Network on 20 April after
an attack in the preceeding days. It
was still offline yesterday.
Furious gamers are now threaten-
ing to boycott the firm, which is
already reeling from the earthquake
that caused chaos in Japan.
Sony has warned members of the
PlayStation network to keep an eye on
their bank accounts over the coming
weeks and advised them to change
their passwords and user IDs.
A security breach last month at
Epsilon Data Management gave hack-
ers access to customer information
from banks including JP Morgan and
Earlier this week Sony announced
it will attempt to break into the tablet
market with two new devices due out
later this year.
Sony reeling after hackers steal details
of up to 75m PlayStation customers

CHIP designer ARM Holdings rode the
crest of the smartphone boom to
smash analyst forecasts with a 35 per
cent rise in first quarter profits.
The Cambridge-based company,
whose designs are in Apple’s iPad and
iPhone, also said it will meet its full-
year targets in spite of the Japanese
earthquake’s impact on the supply-
Its pre-tax profits hit £51m on rev-
enues up 26 per cent at £116m.
The firm said it has signed a string
of licencing deals with manufacturers
including LG and Broadcom that will
drive future growth.
In the quarter 1.15bn ARM-processor
based chips were shipped into mobile
devices, including smartphones and
tablets, with the smartphone market
expected to continue its ballooning
growth for years to come.
ARM, whose designs are used by
chip makers such as Samsung,
Qualcomm and Texas Instruments,
reports royalties a quarter in arrears,
so the impact of the earthquake will
not be fully apparent until its third
ARM shares rocketed this month
after Microsoft unveiled its latest
round of software running on its
processors. It showcased the new ver-
sion of its Internet Explorer browser
running on an ARM chip.
ARM rides smartphone wave

James Bond
studio backs
£96m Peel bid


THE white iPhone
will finally go on
sale today after
months of specula-
tion. Some analysts
say demand has
waned after sever-
al delays to its
release and the
imminent arrival
of the iPhone 5.
Meanwhile Apple
has blamed errors
in programming
for its collection of
data that roughly
tracked iPhone
users locations. The
company has
promised to cut
down on the collec-
tion of such infor-
Picture: REUTERS
Wolfson sees revenue soar
Wolfson Microelectronics said yesterday
its first quarter revenues grew 44 per
cent to $41.1m (£24.8m). It also cut its
pre-tax losses to $3.5m from $6.9m a
year earlier. The firm also shrugged off
suggestions it would be badly hit by the
Japanese earthquake, saying its plants in
the country were unaffected.
Ericsson beats profit forecasts
Ericsson blasted past first-quarter prof-
it expectations thanks to surging mobile
broadband sales, but said it would take
until the third quarter to resolve Japan
quake supply problems. Ericsson's
shares jumped more than 10 per cent to
their highest since last July, as sales
soared on the back of a recovering tech
gear market. shareholders to sell stock
Russian internet investment company said shareholders have launched
a sale of a 6.65 per cent stake, five
months after its London listing.'s
shares were down almost nine per cent
yesterday, diving below the sale price
which was set at $32.50 (£20). Shares in
the Facebook investor were sold in the
London listing in November at the top of
a $23.7-$27.70 range. Among its invest-
ments the company owns a little over
two per cent of Facebook, the social net-
working site which has been valued at as
much as $65bn. The selling share-
holders, including founders, members of
management and fund Tiger Global, will
place a total of up to 13.86m shares, rep-
resenting approximately 0.46 per cent of
voting rights, for $450m.
19 CITYA.M. 28 APRIL 2011
ANALYSIS l Pinewood Shepperton
31 Jan 30Mar 10Mar 18Feb 19Apr
27 Apr
31 Jan 18Feb 10Mar 30Mar 19Apr
27 Apr
DUTCH navigation equipment maker
TomTom said yesterday sales of its flag-
ship product fell 16 per cent in the
first-quarter and it cut its revenue fore-
cast as it sees an even bigger contrac-
tion in the global market in 2011.
In February, TomTom predicted a
contraction of 10-15 per cent.
The group said first-quarter sales of
portable navigation devices (PNDs) fell
16 per cent from a year ago and were
down 61 per cent from the fourth-
quarter. TomTom said it now expects
full-year revenue to be between
€1.43bn (£1.27bn) and €1.48bn, down
from a previous target of €1.5bn.
JOHNSON & Johnson (J&J) yesterday
confirmed a $23.1bn takeover bid for
Swiss group Synthes, in a deal that
will create the world’s largest
orthopaedic devices producer.
The agreed price values Synthes at
SwFr159 (£109.3) per share, with pay-
ment in a mixture of cash and shares.
The price is a premium of 8.5 per cent
to Synthes close yesterday on the Swiss
“It is surprising the deal has been
struck between cash and shares. The
market consensus, and our view, was
it would be all cash, so the quality of
the take-out is slightly lower than we
anticipated,” said Morgan Stanley ana-
lyst Michael Jungling.
The acquisition is J&J’s biggest ever,
giving it a leading position in equip-
ment to treat trauma.
Synthes, which posted sales of
$3.7bn in 2010, makes nails, screws
and plates to fix broken bones, as well
as artificial spine discs.
The deal hinged on the agreement
of Hansjörg Wyss, the Swiss entre-
peneur who founded Synthes in 1974.
Analysts doubted that Wyss, who will
leave the company under the terms of
the merger, would be willing to con-
cede control to J&J.
Wyss holds a 40 per cent stake in the
company, plus an additional eight per
cent through family trusts.
Shares in rival orthopaedic group
Smith & Nephew (S&N) fell 4.4 per cent
on the news to their lowest level in
three months, before recovering slight-
ly to close 1.7 per cent down at 658.5p.
S&N rejected a £7bn approach from
J&J late last year, and shares in the arti-
ficial hip maker hit a record high in
January amid continuing speculation,
despite a denial that it was in ongoing
takeover or merger talks.
J&J confirms
$23.1bn bid
for Synthes
REAL estate investment trust (REIT)
London & Stamford Property yester-
day agreed to buy One Carter Lane
and Two Old Change Court for £75m,
to take advantage of constrained
office supply in one of the main
financial districts.
The two properties, which form
one office complex near St Paul’s
have a current net income of £5.814m
per annum, 97 per cent of which is
from Goldman Sachs International
expiring in 2018. The Goldman lease
has a tenant break clause in March
Raymond Mould, chairman of
London & Stamford Property, said:
“Central London continues to show
signs of economic growth and we are
delighted to have acquired this
prime, City of London property.”
headline sponsor champagne reception sponsor
official venue partner sponsors
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a fantastic reputation in the city and
we are proud to have won”
Deloitte (Professional Services Firm of the Year)
London & Stamford
makes City swoop
WORLD number two truckmaker
Volvo rolled out proof of surging mar-
ket demand yesterday and reassured
investors worried about cost pressures
with forecast-beating profit margins.
The highly cyclical heavy-duty truck
market has picked up strongly in
recent quarters, with growth spread-
ing out of emerging markets in Asia
and Latin America to more mature
Volvo said orders for its trucks rose
40 per cent and it raised its 2011 mar-
ket outlook for both Europe and North
America to between 230,000 and
240,000 units from 220,000.
Volvo upbeat as
orders increase
TomTom cuts
targets on sales



1 Carter Lane changed hands yesterday Picture: Micha Theiner/City A.M.

21 CITYA.M. 28 APRIL 2011
ANALYSIS l Johnson & Johnson
31 Jan 18Feb 11 Mar 31 Mar 20Apr
27 Apr
CITY A.Mhave teamed up with The Qipco British
Champions Series, to offer the chance for 10 lucky read-
ers to watch The 2011 Guineas Festival at Newmarket.
Each winner will have access to 10 tickets for friends
and family. The Qipco British Champions Series, for the
first time will bring together the most prestigious races,
racecourses, jockeys and horses in British Flat racing.
The Series will launch at the Guineas Festival,
Newmarket on 30th April and culminate at The Qipco
British Champions Day at Ascot in October – the most
valuable day’s racing ever in Britain, featuring 5 of the
highest-rated races in the calendar all taking place in
one day.
The 6-month series consisting of the 35 best races in
the flat racing season will take place at all the U.K’s
most prestigious courses such as Ascot, Epsom Downs,
Goodwood and Newmarket. Festivals and races within
the The Qipco British Champions Series include;
• Epsom Derby Festival
• Royal Ascot
• Newmarket July Festival
• Glorious Goodwood
• Ebor Festival, York
• St Leger Meeting, Doncaster
Terms & Conditions: The promoter is British Champion Series and the promoter reserves the right to change the prize to one of equivalent or greater value without notice. Travel expenses and accommodation are not
included, prize is not transferable and no alternative prize for tickets will be offered in the event that Guineas Festival is abandoned. Entry in to the promotion is free and no purchase is necessary, entrants must be aged 18
and over. The closing date is 28th April 2011 at 11:59am. The winner will be drawn at random from all the correct entries and will be notified on 28th April 2011 and must be available to take collection in central London in
the afternoon. By entering the promotion you agree to receive further information and similar promotions from the British Champions Series and City A.M. If you wish not to receive any further information please add ‘No’
after your answer. The winners, by accepting the prize, agree to publicity if required. The Editor’s decision is final and one entry per reader.
For your chance to be at the launch of The Qipco British
Champions Series and watch the 2011 Guineas Festival at
Newmarket, simply answer the following question;
How many races make up the
Qipco British Champions Series?
A 35
B 45
C 55
GAINS on disposals have cushioned
GlaxoSmithKline’s first-quarter prof-
it from a sharp fall in sales of flu
products, following last year’s pan-
demic-linked windfall.
The UK’s biggest drugmaker
admitted the first three months of
2011 were tough but highlighted an
improving picture in underlying
growth as its diversified portfolio
adjusts to pressure on prices and
competition from generics.
Quarterly sales fell 10 per cent to
£6.59bn while earnings per share
before major restructuring rose nine
per cent to 32.2p.
Analysts expected sales of £6.66bn
and earnings per share of 30.4p,
according to consensus forecasts.
Exceptional demand for vaccines
and anti-flu drug Relenza flattered
results a year ago and their absence
this year – plus sharply lower rev-
enue from diabetes pill Avandia and
herpes drug Valtrex – lopped around
£1bn off quarterly sales.
But chief executive Andrew Witty
said yesterday the negative drag
from these products was set to
decline. “We expect underlying sales
growth to translate into sustainable
reported growth as we exit the year
and move into 2012,” he said.
Quarterly profit was shielded by
chunky disposal gains on the
group’s stake in Quest Diagnostics
and the sale of North American
rights to coldsore treatment Zovirax,
which together added 7.1p to earn-
ings per share.
Glaxo grows
profit despite
drop in sales
GLOBAL hedge fund assets shot up by
13 per cent last year to $1.9 trillion
(£1.1 trillion), with further recovery to
pre-crisis levels predicted for 2011.
The leap marks the second consec-
utive year of growth, according to a
report by financial services industry
body TheCityUK.
London remains the largest centre
for managers of hedge funds, second
only to New York. Almost 20 per cent
of global hedge fund assets under
management are controlled from the
capital, whilst Wall Street handles 41
per cent.
Global net inflows into hedge
funds totalled $65bn in 2010, whilst a
ten per cent performance return also
added to the growth in funds under
Fund of hedge funds’ assets also
grew 10 per cent to $550bn, a third
below their 2007 pre-financial crisis
Confidence amongst investors has
returned, following several years of
caution due to the economic down-
turn and reputation damage from
the Bernard Madoff fraud.
The trend could be set to continue,
bar any further economic turbulence,
with funds under management likely
to recover to pre-crisis levels by the
end of this year, the report claims.
Hedge funds to
see pre-crash
levels this year


22 CITYA.M. 28 APRIL 2011
ANALYSIS l GlaxoSmithKline
31 Jan 30Mar 10Mar 18Feb 19Apr
27 Apr
BRITISH airports operator BAA scaled
back its forecasts for passenger traffic
at Heathrow during the peak summer
season and said higher interest costs
pushed it deeper into the red in the
first-quarter, wiping out the benefits
of revenue increases and lower costs.
BAA, majority owned by Spanish
infrastructure group Ferrovial , said
yesterday that its outlook for passen-
ger traffic at Heathrow was more cau-
tious, reflecting “an expectation of
somewhat lower traffic than previous-
ly projected over the peak summer sea-
It said higher retail income from
duty free shops, restaurants and car
parking should limit the damage.
The warning on Heathrow traffic
volumes came as BAA posted a pre-tax
loss for the first three months of the
year of £211.5m – worse than the
£195.5m posted a year earlier.
BAA warns on Heathrow
traffic as losses increase
BAA, led by Colin Matthews, has scaled back traffic forecasts at Heathrow Picture: REUTERS

EMBATTLED transport group National
Express yesterday won the backing of
three shareholder advisory groups
ahead of its May annual meeting.
ISS, PIRC and US-based agency
Glass Lewis, which advise insti-
tutional shareholders, all now
publicly support the board.
National Express’ largest
shareholder, activist hedge
fund Elliott Advisors, has pro-
posed three new directors join
the board to overhaul strategy
and consider the firm’s sale
or merger.
ISS told members to
oppose all Elliott’s reso-
lutions and support the
board. “The turn-
around led by CEO
[Dean] Finch (pictured)
has been a success,
with National Express
significantly outper-
forming peers since its
2009 rights issue,” it said. “The dissi-
dents have not met their burden of
proving that some change on the
Board is warranted”.
PIRC also recommended members
vote against Elliott’s resolutions. “The
board has gone through significant
change recently...which indicates the
nomination committee’s willing-
ness to make governance
changes,” it said.
It also expressed concern at one
of Elliott’s three proposed direc-
tors, Marc Meyohas, saying he
“appears to have no history of sit-
ting on the board of listed compa-
nies other than...a company
that Elliott invests in.”
Elliott has said
Meyohas was
sourced independ-
ently by two
recruitment agen-
Proxy voting
on all AGM reso-
lutions closes
on 4 May.
Investors will
back National
Express board
Aggreko expects profits rise
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BRITISH temporary power provider
Aggreko said it expected trading
profit to be slightly ahead of 2010,
after a strong start to the year helped
revenues grow by nine per cent.
Aggreko, whose containerised gen-
erators help meet electricity short-
falls and power major events such as
the Olympics and soccer World Cup,
said revenues in the three months to
the end of March grew nine per cent,
excluding revenues from last year’s
major events.
The firm, which posted a 19 per
cent revenue rise in constant curren-
cy in its International Power
Projects, added it had now signed a
contract worth around $100m
(£60m) with Tokyo Electric Power
Company for the supply of 200MW
of emergency power for a minimum
period of a year.
Aggreko said it had also seen
strong trading in its North American
and Australian businesses in particu-
lar and following a strong order
intake in recent months it planned
to up its fleet expenditure in the sec-
ond half of the year.


CONOCOPHILIPS yesterday reported
higher first-quarter earnings that fell
short of Wall Street expectations as
its oil and gas production and refin-
ing results disappointed.
Conoco’s production, which
missed the company’s and Wall
Street’s targets, was hurt by civil
unrest in Libya, a temporary shut-
down of the Trans Alaska Pipeline sys-
tem in January and asset sales,
Conoco said.
Oil and gas output in the quarter
was 1.7m barrels oil equivalent (BOE)
per day, down about seven per cent
from a year earlier. Analysts at
Barclays Capital had expected output
of 1.74m BOE per day.
The company had a profit of $3bn
(£1.8bn), or $2.09 per share, compared
with $2.1bn, or $1.40 per share, in the
same quarter a year earlier.
Conoco earnings fall short
of Wall St expectations

23 CITYA.M. 28 APRIL 2011
Bodycote expects strong full-year
Engineering company Bodycote said
yesterday it expected its headline oper-
ating profit for the financial year 2011
to be at the top end of analysts’ fore-
casts on demand from heavy truckmak-
ers. Bodycote said sales for the three
months ended 31 March were 19.2 per
cent higher than last year.
Silence plans share placement
Biotech company Silence Therapeutics
has unveiled plans for an up-to £6.5m
share placing to fund the continued
development of two potentially break-
through treatments for cancer. The plac-
ing of 275m shares at 2p each is being
underwritten by Singer Capital Markets.
Salamander spuds Thai well
Salamander Energy has said its Dao
Ruang-3 appraisal well on Block L15/50
offshore Thailand has spudded and is
expected to take 45 days to drill to the
planned target depth of 1,900 metres.
Salamander is operator of the block
with a 50 per cent interest.
Strike halts Kenmare production
Mining firm Kenmare Resources has
reported a strike at its Moma titanium
mine in Mozambique. The strike has
“temporarily suspended” production,
Kenmare said. Moma is Kenmare’s only
Demand high at ABB
Swiss engineering group ABB expects
high oil prices and the Japanese earth-
quake to spur demand for energy-effi-
cient equipment, helping it take in in
more orders than anticipated in the
first-quarter. ABB reported first-quarter
net income of $655m (£395.6m).
ANALYSIS l Aggreko
31 Jan 18Feb 10Mar 30Mar 19Apr
27 Apr
VOLKSWAGEN, Europe’s largest car-
maker, posted consensus-busting first-
quarter results and affirmed its
upbeat 2011 outlook thanks to
demand from emerging markets and
lower costs.
“We continue to see the most
dynamic growth prospects in the
emerging markets of Asia and Latin
America, whereas the industrialised
nations will continue to experience
only moderate growth,” Volkswagen
said yesterday.
VW’s operating profit, not includ-
ing earnings from its lucrative China
business, surged to €2.91bn (£2.6bn).
Volkswagen has been aiming to sur-
pass Toyota, the world’s biggest car-
maker, in terms of global auto sales,
and the Japan crisis could hamper
Toyota’s production enough to push it
to the number three spot behind
General Motors and VW.
VW profits revved up by
emerging markets growth
Volkswagen chief Martin Winterkorn has seen profits surge Picture: REUTERS

PRIMARK owner AB Foods yesterday
saw its shares tumble as it warned that
its full-year profit would be dented by
soaring costs.
The company said it expected full-
year profits to be similar to those last
year, as it announced its half-year
It had previously expected annual
earnings to rise.
Profit for the six months to 5 March
dropped 0.3 per cent to £319m, on rev-
enue of £5.2bn.
Chairman Charles Sinclair said: “We
continue to expect good revenue
growth for the full-year although
adjusted earnings are now expected to
be similar to last year’s very strong
Its clothing chain Primark has been
particularly badly hit as cotton prices
have been soaring, fuelling price rises
on the high street.
However Primark is absorbing the
costs which are instead hitting its prof-
it margin. Primark accounted for 38.7
per cent of AB Foods’ profit in the first-
half, although margins have already
The rise in VAT in the UK from 17.5
per cent to 20 per cent in January has
also squeezed margins.
Shares in AB Foods, which also owns
the Twinings tea brand, Ovaltine and
Kingsmill bread, closed 5.8 per cent
lower at 984p after the announcement.
The company’s sugar business,
Silver Spoon, has gained from world
sugar price rises. But UK sugar profits
for the full-year will be hit by £20m of
extra costs for processing sugar beet
damaged by freezing weather in
Britain before and after Christmas.
Sinclair, alluding to the tough mar-
ket, added: “Much has been reported in
the media in recent weeks about the
contraction in the personal disposable
income of the UK consumer due to
higher fuel costs, food inflation and
fiscal tightening.”
PUBS and brewery group Greene King
reported accelerating sales growth
and said it had benefited from good
weather attracting drinkers into its
pubs over the last few weeks.
The group, which brews Greene
King IPA and Old Speckled Hen beer,
also said it had purchased Realpubs,
which operates 14 London pubs, for
£53.1m. That takes its total managed
pub estate to 926 premises.
The firm reported sales at
pubs open more than a
year had grown by 8.2 per
cent over the 16 weeks to
24 April. For the 51
weeks to 24 April, com-
parable sales were up 4.7
per cent. Greene King,
whose brands include
Hungry Horse, Old English
Inns and Loch Fyne
Restaurants, said the
importance of food was
continuing to grow at its
pubs with comparable sales up
8.2 per cent over the 51
weeks. Food is now expect-
ed to account for 40 per
cent of this year’s sales.
Chief executive Rooney
Anand said: “The addition
of Realpubs takes the total
number of Greene King
sites within the M25 to 217
and positions us strongly
ahead of, during and after
the Olympics in London in
Greene King buys Realpubs as the fine
weather brings in more customers
BRITAIN’S biggest food manufacturer
Premier Foods reported a 3.1 per cent
decline in first-quarter sales yesterday
and said the consumer environment
had become more difficult.
The maker of Branston pickle, Bisto
gravy and Hovis bread said its perform-
ance reflected the impact of a weak
January and February following strong
consumer purchases in December.
Premier Foods, which also makes Mr
Kipling cakes, Loyd Grossman sauces
and Hartley’s jam, said that, although
it was cautious about the consumer
environment, it expected to make
progress in 2011 and reiterated its tar-
get for generating £80m. The company
said raw material inflation year-on-year
is running at a percentage rate in the
low teens. It added that it had secured
price rises to cover the inflation it had
seen up to the end of the first-quarter.
The company offloaded its Quorn
business and canned grocery operation
to tackle its huge debt mountain, which
in February was less than £900m.
Premier Foods sales slide
as ingredient prices rise

CARPETRIGHT, Britain’s biggest floor
coverings retailer, yesterday warned
on profit for the third time this year
as cash-strapped shoppers held back
on big-ticket purchases and raw
material cost rises hit margins.
Carpetright said it expected under-
lying pre-tax profit for the year to 30
April to be slightly below the £17.2m
achieved in 2008/09. Earlier this
month, Carpetright had forecast
2010/11 profit “broadly in line” with
the 2008/09 outcome.
Yesterday’s warning followed an
alert in February.
gives third alert

AB Foods hit
as costs take
toll on profit


Consumer News
24 CITYA.M. 28 APRIL 2011
Chairman Charles Sinclair said he expected good revenue growth for the full-year
Electrolux warns on prices
Electrolux expects its price rises to stick
as rival manufacturers also seek to pass
on soaring raw materials costs to cus-
tomers, it said yesterday. Appliance
maker Electrolux and market leader
Whirlpool have been hiking prices to off-
set costs for materials such as steel and
plastics, and are seeking growth in
emerging markets. “It was a tough
quarter with raw materials up and pric-
ing being pressured. We knew this was
going to be a tough quarter,” Electrolux
chief executive Keith McLoughlin said,
after the group reported a 43 per cent
drop in core earnings to 696m crowns
Domino’s buys franchisee stake
Domino’s Pizza has bought 75 per cent
of the main franchisee for the pizza
delivery group in Germany, Intergrowth
Enterprises. The other 25 per cent will
be retained by Briskas, part of the
German hotel operator Grand City
Hotels Group. “While the total market
size is yet to be determined, the compa-
ny aims to open at least 400 stores over
the next 10 years and believes that the
market could ultimately accommodate
more than double that figure,” said
Domino’s in a statement. Under the
transaction, Domino’s has bought the 75
per cent interest in the franchisee for
2.2m shares of 1.5625p each.
Stanley Gibbons in wedding lift
Stamp and collectibles trader Stanley
Gibbons said yesterday Royal Wedding
first day covers were flying off the
shelves. The company announced a 36
per cent increase in turnover for its lat-
est quarter, compared to the same peri-
od last year. Retail sales from its
flagship premises at 399 Strand were
up 25 per cent. It said that online sales
would be boosted with the launch of its
website – which has a function for
stamp auctions – next month.
Game names new chair as sales slip
VIDEO game retailer Game Group
yesterday said its sales had dropped
as it announced that Chris Bell
would be the company’s new non-
executive chairman.
He will take over when Peter
Lewis retires after the firm’s
annual general meeting in June.
Bell has been a member of
the Game board since 2003
and is currently the senior
independent director.
He has extensive retail and board
experience with Ladbrokes and
Allied Domecq.
Lewis has been instrumental in
overseeing Game’s growth over the
past decade but more recently the
company has been hit by competi-
tion from downloads and has been
forced to rethink its business
model, with an expansion into
online sales.
Game, with more than 1,300
stores in nine European markets
and Australia, yesterday said profit
before tax and one-off items
dropped 58 per cent to £37.8m in
the year to 31 January and it froze
its final dividend at 3.9p per share,
giving it an unchanged total of
Sales at shops open over a year
fell 6.7 per cent, and were down a
further 12.1 per cent in the 12
weeks to 23 April.
But the company said its expan-
sion online and in second-hand
products would help it cope better
than rivals in a weak consumer sec-
tor. Game’s shares jumped 11.1 per
cent to close at 50.25p.

ANALYSIS l Associated British Foods
31 Jan 18Feb 10Mar 30Mar 19Apr
27 Apr
GROWTH AS COSTS RISE? Interviews by John Dunne

We have long held AB Foods management in high regard and admire
the candour with which the company faces up to its operational challenges.
However, we will be lowering our earnings estimates in the light of these results
and believe that the shares’ rating leaves little to go for.

We expect significant downwards revisions to consensus expectations
and, despite a very weak start to 2011 we see more downside from here. We had
expected Primark to come under pressure but growth elsewhere.
We remain cautious on the stock and retain our ‘market perform’ rating.

Absorbing rising costs into the profit margin, combined with cost diffi-
culties for the group’s sugar business, have provided the damage. On the plus side,
the business remains diverse in nature, In all, market consensus opinion currently
denotes a ‘hold’.

Bernanke message
cheers US markets
HE Nasdaq jumped to a 10-year
high as US stocks rallied yester-
day after Fed Chairman Ben
Bernanke’s first-ever press con-
ference did nothing to short-circuit
investors’ optimistic outlook on the
All three major US stock indexes
extended gains after comments from
Bernanke at his press conference,
where he reiterated the Fed’s stance
that inflation was a transitory prob-
lem related largely to commodity
price pressures.
The Nasdaq Composite Index
closed at 2,869.88, the highest close
for the index since 12 December,
2000. Among the day’s leading gain-
ers were retailers and biotechnology
The Russell 2000 Index hit an all-
time closing high of 858.31 as
investors kept buying small-caps, a
sector associated with a strong out-
look for economic growth.
Tom Sowanick, chief investment
officer of OmniVest in Princeton, said
the Federal Reserve is “inviting asset
inflation” as reflected in the price
action in the equities market.
The Fed’s policy-setting Federal
Open Market Committee said in a
statement it intends to complete its
$600bn ( ) bond buying programme
in June as scheduled.
At the news conference, Bernanke
said there was “a bit less momentum
in the economy” and he foresaw “a
relatively weak number, maybe under
2 per cent” for growth in gross domes-
tic product in the first three months
this year, indicating the Fed is likely
to maintain its accommodative policy
despite worries about inflation.
“He handled himself real well. He
didn’t fumble anything,” said Alan
Valdes, director of floor trading at
DME Securities in New York. “In all
honesty, I would give him a B-plus. He
held himself up well. He didn’t trip
over any questions.”
Biotech stocks helped boost the
Nasdaq, as Regeneron
Pharmaceuticals surged 28.6 per cent
to $67.05 after its experimental can-
cer drug, Zaltrap, being developed
with Sanofi-Aventis, extended sur-
vival in patients in a late-stage trial.
The Dow Jones industrial average
gained 95.59 points, or 0.76 per cent,
to 12,690.96. The Standard & Poor’s
500 Index rose 8.42 points, or 0.62 per
cent, to 1,355.66. The Nasdaq
Composite Index climbed 22.34
points, or 0.78 per cent, to 2,869.88.
General Electric rose 2.7 per cent to
$20.65 after its finance chief said GE’s
profit growth over the next few years
will be the fastest it had seen in a
decade. Boeing, Whirlpool and
WellPoint also moved higher after
topping analysts’ expectations.
RITAIN’S top share index ended
flat yesterday ahead of Federal
Reserve Chairman Ben
Bernanke’s news conference
which could provide clues on the
Fed’s future plans for its monetary
The blue-chip FTSE 100 was down
1.2 points or 0.02 per cent at 6,068.16,
having hit a 9-week closing high on
Volume was only 87.6 per cent of
the 90-day average.
The index had earlier been as high
as 6,089.40 buoyed by hopes cheaper
money would raise demand for equi-
ties after the prospect of a UK interest
rate hike in the short term decreased
following GDP data.
“UK GDP had kept the FTSE 100 up,
because it was not worse than expect-
ed,” Mark Priest, senior equities trad-
er at ETX Capital in London, said.
“Investors are cautious ahead of
Bernanke. It depends exactly what he
says, everyone is waiting to hear his
plans on quantitative easing and how
he sees the economy heading.”
The Fed’s ultra-easy monetary poli-
cy has buoyed demand for riskier
assets and comments from the
Federal Reserve could shed light on
the central bank’s future plans for
interest rates and quantitative easing.
Banks featured among the worst
performers as investors sold out of
riskier assets. Barclays fell 4.8 per cent
after first-quarter profit missed fore-
In other earnings news, Associated
British Foods dropped 5.8 per cent
after the food producer said it will
cut its margins at its Primark retail
chain and absorb higher costs to
maintain its market share, prompt-
ing analysts to trim their full-year
earnings forecasts.
Aggreko jumped 4.4 per cent after
the British temporary power provider
said it sees trading profit slightly
ahead of 2010.
ITV lost 3.9 per cent after Barclays
Capital downgraded its rating for the
British commercial broadcaster to
“equal-weight” from “overweight”.
The FTSE 100 was testing resistance
levels of around 6,070, the level the
index retraced from in early April.
David Jones, chief market strategist
at IG Index, said the FTSE would need
to break through the year’s high at
around 6,105 before fresh momen-
tum comes into the market.
Meanwhile, companies trading ex-
dividend knocked 5.64 points off the
FTSE 100 index, with ARM Holdings,
Centrica, Fresnillo, Smith & Nephew,
and Tesco all losing their payout
Meanwhile strong corporate earn-
ings in the technology and auto sec-
tor pushed up European shares.
The pan-European FTSEurofirst 300
index of top shares closed 0.3 per cent
higher at 1,147.24 points, its highest
close since early March, though vol-
umes were below its 90-day average.
Wider gains on the index, however,
tempered by persistent fears that
highly indebted Greece will need to
restructure its debt, pushed Greek
government bond yields to euro life-
time high and hit its banking shares
which shed 3.6 per cent.
In a positive trend for equities, the
Euro STOXX 50, the Eurozone’s blue
chip index, held significantly above
its 50-day moving average of 2,931.62,
and analysts said the bullish trend
remained intact for now.
“The short-term upward bias for
equities remains up, confirming the
current risk-on situation on the
financial markets,” said ING’s Roelof-
Jan Van den Akker.
“A close above the previous highs
around 2,992 opens the way for a test
of the longer-term crucial resistance
in the line chart around the 3,100
level,” he said.
FTSE flat as investors await
news of Fed’s monetary policy
31 Jan 18Feb 10Mar 30Mar 19Apr
27 Apr
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2011 14Feb 28Feb 14Mar 28Mar 11 Apr 26Apr
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27 Apr
Societe Generale has upgraded its outlook on the global reinsurance com-
pany from neutral to “buy” following its acquisition of Aegon’s
Transamerica reinsurance unit. Though the broker sees a short-term nega-
tive impact, with 2011 estimates revised down by seven per cent and earn-
ings per share revenues for 2012-13 down by 13-14 per cent. But it raises
SCOR’s target price by €1.5 to €23.
ANALYSIS l Speedy Hire
31 Jan 18Feb 10Mar 30Mar 19Apr
p 30.75
27 Apr
Evolution Securities maintains its “buy” rating on the tool hire group, say-
ing that the disposal of its accommodation hire business to Elliott Group
leaves Speedy free to focus on sectors with strong recovery prospects.
The loss-making unit was sold for £34.9m, and without its assumed loss-
es the broker’s pre-tax profits forecast moves up to £12m. The target
price of 36p remains unchanged.
ANALYSIS l William Hill
31 Jan 18Feb 10Mar 30Mar 19Apr
27 Apr
UBS maintains its anti-consensual “buy” rating on the bookmaker, believing
structural concerns in over-the-counter wagering are over-played, and that
the bookies’ online business is continuing to outperform its peers. The bro-
ker says the company’s first-quarter update was stronger than expected,
and sees consensus estimates as conservative for 2011. It has increased its
target price to 255p from 205p.
John Kelly, formerly head of transaction
services, has been appointed to lead
KPMG’s transaction services business
across EMEA. Kelly started at KPMG as
a consultant and moved to the transac-
tion services department in 2002.
Hermes GPE
The private equity and infrastructure
investor has appointed Peter Hofbauer
as head of infrastructure. Hofbauer
joins from Babcock & Brown, where he
was global head of infrastructure.
Clyde & Co
Stewart Perry will join the firm’s insol-
vency and reorganisation team as a
partner in its London office. Perry joins
from DLA Piper, where he was a part-
ner in the restructuring team, and spe-
cialises in all aspects of contentious and
non-contentious insolvency work.
The Wrigley Company has appointed
Daniela Campari as marketing director,
effective from June. Campari is return-
ing from the US, where she has been
working for The Coca-Cola Company in
a number of roles including global mar-
keting director for the company’s
Sports and Energy division.
Baring Asset Management
The investment firm has appointed
Steven Carter as head of data manage-
ment and John Poole as head of fund
services. Carter joins from Aberdeen
Asset Management, where he was
responsible for the global data manage-
ment team. Poole joins from Poole
Consulting, the Irish-based consulting
company he founded specialising in the
investment management industry.
Pinsent Masons
The international law firm has appoint-
ed partner Andrew Masraf to lead the
firm's 200-strong Corporate and Tax
division. Andrew, a partner with 15
years corporate experience, has worked
at Pinsent Masons since 1993, having
joined as a trainee when the company
was Biddle & Co.
State Street
The financial services provider has
appointed Alan Robertson as head of
UK trustee and depositary, and manag-
ing director of State Street Trustees.
Robertson will be based in Edinburgh
and will report to Steve Smit, head of
State Street’s global services and global
markets businesses in the UK, Middle
East and Africa. Robertson joins from
Scottish Widows Investment
Partnership, where he was head of
investment operations and relationships.
CITY MOVES | WHO’S SWITCHING JOBS Edited by Harriet Dennys
To appear in CITYMOVES please email your career updates and pictures to
AZ Electronic Materials
Mike Powell will join the board of AZ Electronic
Minerals on 1 September as chief financial offi-
cer. Powell succeeds the company’s current
CFO Ken Greatbatch, who will retire on 31
August after reporting the firm’s half-year
results. Powell joins from Nippon Sheet Glass,
where he has been group finance director for
the past five years. Previously, Powell spent 15
years at Pilkington, manufacturing glass prod-
ucts for the building and automotive industries.
25 CITYA.M. 28 APRIL 2011
Wealth Management | Funds
26 CITYA.M. 28 APRIL 2011
TOP 10
AXA Framlington Global Technology Acc 80.06 1 177.81 UK Jeremy  Gleeson Axa Investment Managers UK
MFM Techinvest Technology 76.91 2 21.86 UK Conor  Macarthy Capita Financial Managers
GLG Technology Equity Retail 56.17 3 94.23 UK Hugh  Grieves GLG Partners Investment Funds
Henderson Global Technology A Acc 49.54 4 433.81 UK Stuart  O'Gorman Henderson Global Investors
Aberdeen Global Technology D2 40.78 5 145.06 LUX Management Team Aberdeen Inl. Fund Managers
Close FTSE techMARK 39.07 6 20.46 UK Management Team Close Investments (UK)
Invesco Global Technology A 36.71 7 97.64 UK Warren  Tennant Invesco Asset Management
FF - Global Technology A GBP 36.45 8 439.38 LUX Dmitry  Solomakhin FIL Fund Management
L&G Global Tech Index R 28.35 9 22.23 UK Tom  Hammond Legal & General Inv Mgmt Holdings
FF - Glbl Telecommunications A GBP 15.41 10 252.31 LUX Aditya  Shivram Cavendish Asset Management
T has now been more than a
decade since the dot-com boom
and bust, which at its height
resembled a gold rush as
investors wanted to pile into any-
thing and everything tech-related.
But after tech funds imploded with
the demise of and its litter,
is it a case of once bitten, twice shy
for investors?
The most infamous feral dog of the
tech start ups was, an
online company offering pet supplies
to customers. During its first year of
trading, the website earned revenues
of $619,000, but spent $11.8m on
advertising. Fuelled by the dot-com
hype, the company hit a share price
of $11, before coming crashing down
to earth at $0.19 on the eve of its liq-
uidation. Though the company is
synonymous with the dot-com bub-
ble, it was not alone in its spectacu-
lar fall from grace.
According to Lee Robertson, CEO
of wealth managers Investment
Quorum, investors are still wary of
all things tech: “We haven’t seen
much interest in technology funds. A
lot of people are still burnt from the
last time, where they had tech funds
thrust upon them purely on the
basis of short term performance.”
Investment Quorum was
formed after the bubble,
but during the dot-com
period Lee Robertson says
the mentality from a lot
of people was “give me a
tech fund, any tech fund
will do.”
However, rather than all technolo-
gy funds warranting a place in the
same river-bound bag, there are a
growing breed of funds that have
learnt from
the mistakes
of others
and diver-
s i f i e d
t h e i r
por t fo-
lios with
and clean-
tech stocks
joining the
i nt e r ne t
At the same
time, they
are taking an
active role in the
ma na ge me nt ,
rather than tak-
ing a broad sec-
toral approach.
One of these is the
RCM Technology Trust, managed by
Walter Price, who says: “We are find-
ing attractive opportunities in China,
solar power, as well as energy effi-
ciency and LED lighting. In our view
the internet still has significant fur-
ther growth, in both its market share
of retailing and advertising spend.”
According to Price, “overall,
investors are struggling to find gen-
uine growth companies in much of
the developed world so we believe
that a fund of carefully selected glob-
al technology shares makes for a very
attractive component of a balanced
portfolio. However, there will be sig-
nificant losers as well as gainers in
the sector, and many of the losers
will be larger companies – so we
don’t believe a passive approach
makes sense in this sector.”
The memory of the dot-com bub-
ble is a recent one, but the market
has now matured with more realistic
valuations, even for the tech giants.
ARM holdings, the company that
designs microchips for the Apple
iPad and iPhone, on Wednesday
reported first quarter pre-tax profits
of $50.8m, a 35 per cent rise. As such,
investors may well now see this
as the time for investors to
venture back into
tech funds.
After a torrid 10 years, the funds have
adapted to survive, writes Craig Drake
Tech funds: a
decade after
the demise
We’re 100% committed to making sure our fund
managers never have a restricted outlook.
So what’s the secret to their liberated attitude?
Well, our flagship fund, the Scottish Mortgage
Investment Trust, is a global stock-picking
fund that is completely free of asset allocation
constraints, that ignores index weightings and
that selects stocks purely on their merit. Simple!
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
The Scottish Mortgage Investment Trust is available
as a Share Plan or an ISA
Scottish Mortgage is not bound by index weightings and our fund
managers are free to comb global markets in search of companies
with a distinct competitive advantage.
HE couple that has been plas-
tered across everything from tea
towels to canvas shoes will be
married tomorrow. While every-
one celebrating will be wishing them a
long and happy life together, many
have speculated on whether or not the
couple have signed – or should sign – a
prenup. After all, William’s mother
reportedly walked away with £17m
when her marriage to Prince Charles
broke down in 1996.
For better or worse, prenups are
gaining credibility. Last year, there was
a historic ruling in favour of them –
prior to it the agreements had been
largely ignored in English courts.
Heiress Katrin Radmacher managed to
uphold a prenup she signed with her
ex-husband. Withers head of family
law Julian Lipson says this means that
a greater number of prenups are likely
to be enforced from now on. England’s
Law Commission, however, won’t be
ruling on the matter until 2012, leav-
ing those due to be married wondering
what they should do. The answer is to
get one. Radmacher’s lawyer believes
that the decision means that contracts
are now binding if deemed fair in the
eyes of the court. While judging fair-
ness is about as abstract as it comes,
analysts believe that agreements made
that seek to minimise the wealthier
spouse’s exposure to financial risk
rather than to remove the risk alto-
gether will be granted. To some extent,
this attitude already prevails. Partners
found to be stashing cash away in
trusts (notoriously difficult to split)
prior to filing for divorce are often
deemed out of order, says Andrew
Kemp a financial planner at Radcliffe
and Newlands. “It’s a very complicated
area, anyone who wants to move
money prior to filing for divorce needs
to consult a lawyer.” To many couples,
suggesting a prenup remains a tricky
and uncomfortable matter.
Radmacher, however, has branded it a
romantic gesture: “There’s nothing
more romantic than to say, ‘I love you
and not your money.’” See how that
one goes down with your partner.
Donata Huggins
finds out how to
protect your cash
should you end up
untying the knot
Marry for love
not money:
get a prenup
CITYA.M. 28 APRIL 2011 27
A prenup could
prevent a right royal
mess for this pair
Picture: REX
More than half (51 per cent) of British
adults don't have a will drawn up,
according to research by Standard Life.
The research conducted by the long-
term savings and investment company
reveals that these figures become even
more worrying when broken down by
age. Nearly two-thirds (60 per cent) of
35 to 44 year olds don't have a will in
place, two-fifths (38 per cent) of 45 to
54 year olds, a third (32 per cent) of 55
to 64 year olds and amazingly more
than a fifth (22 per cent) of over 65s
are without a will. Julie Hutchison, head
of estate planning at Standard Life,
said: "There is real inertia here. Despite
the potential cost of a will not being a
barrier, as shown in our research, peo-
ples’ lack of action could ultimately cost
their families more.”
Forget turning to the bank of mum and
dad to fund the big day, the ordinary
British couple is being savvier than ever
with its savings. According to the latest
figures from Clydesdale and Yorkshire
Banks, engaged Brits save for up to two
years to spend an average of £16,569
on their big day, that's £4,331 less than
last year's average. Couples are coming
up with increasingly creative ways to
fund weddings: 42 per cent have max-
imised savings accounts and Isas to
make the most of their cash in the run
up to the wedding. Nearly 30 per cent
of Brits would cull their guest list to cut
down on costs. One in ten wedding
planners would ask the groom and
groomsmen to wear their own suits
while 8 per cent of brides would buy
their dress on eBay.
Wealth Management| Prenups
LON GD ONCE FIX AM...........1508.00 3.00
SILVER LDN FIX AM ..................45.12 -0.10
MAPLE LEAF 1 OZ ....................47.85 3.84
LON PLATINUM AM................1807.00 -2.00
LON PALLADIUM AM...............750.00 -3.50
ALUMINIUM CASH .................2720.00 -11.00
COPPER CASH ......................9455.00 -155.50
LEAD CASH...........................2582.00 -87.00
NICKEL CASH......................26230.00 -420.00
TIN CASH.............................32425.00 -245.00
ZINC CASH ............................2257.00 -79.50
BRENT SPOT INDEX................124.10 0.04
SOYA .....................................1382.75 -6.75
COCOA..................................3131.00 3.00
COFFEE...................................270.95 -16.95
KRUG.....................................1563.00 8.20
WHEAT ....................................203.75 -4.75
AIR LIQUIDE........................................99.13 0.74 99.24 73.16
ALLIANZ............................................104.00 0.85 108.85 75.82
ALSTOM ..............................................44.71 0.36 46.68 30.78
ANHEUS-BUSCH INBEV ....................42.82 -0.05 46.33 35.06
ARCELORMITTAL...............................24.27 -0.40 30.94 20.26
AXA......................................................15.52 0.19 16.74 10.88
BANCO SANTANDER...........................8.48 0.13 10.23 7.00
BASF SE..............................................67.83 1.23 67.93 39.94
BAYER.................................................57.54 0.42 59.17 43.27
BBVA......................................................8.53 0.11 10.31 6.75
BMW ....................................................61.94 0.23 65.49 34.64
BNP PARIBAS.....................................52.16 0.44 59.93 40.81
CARREFOUR ......................................31.60 0.50 41.28 29.83
CREDIT AGRICOLE ............................11.05 0.23 12.92 7.87
CRH PLC .............................................16.49 -0.02 22.00 11.51
DAIMLER.............................................52.78 0.82 59.09 35.30
DANONE..............................................49.09 0.05 49.44 39.35
DEUTSCHE BANK..............................41.80 0.19 51.61 35.93
DEUTSCHE BOERSE .........................55.28 0.04 62.48 46.33
DEUTSCHE TELEKOM.......................11.06 -0.17 11.35 8.51
E.ON.....................................................22.65 0.25 28.77 20.21
ENEL......................................................4.76 0.06 4.78 3.42
ENI .......................................................17.79 0.32 18.66 14.30
FRANCE TELECOM............................15.67 0.14 17.45 14.01
GDF SUEZ ...........................................27.48 0.16 30.05 22.64
GENERALI ASS...................................15.94 0.26 17.14 13.31
IBERDROLA..........................................6.19 0.04 6.50 4.38
ING GROEP CVA...................................8.78 -0.01 9.50 5.34
INTESA SANPAOLO.............................2.23 0.06 2.74 1.88
KON.PHILIPS ELECTR.......................20.22 -0.06 27.01 19.91
L'OREAL..............................................86.00 0.34 90.00 70.90
LVMH..................................................118.75 -1.05 129.05 78.26
MUNICH RE.......................................109.70 -0.20 126.00 98.38
NOKIA....................................................6.16 0.20 9.62 5.42
REPSOL YPF.......................................23.86 0.39 24.90 15.31
RWE.....................................................43.19 -0.07 63.43 42.25
SAINT-GOBAIN...................................47.00 -0.09 47.42 27.81
SANOFI-AVENTIS ...............................53.26 0.09 54.45 44.01
SAP......................................................45.68 -0.22 46.15 33.60
SCHNEIDER ELECTRIC ...................118.85 1.55 123.65 73.95
SIEMENS .............................................97.17 0.32 99.39 67.00
SOCIETE GENERALE.........................43.79 0.29 52.70 29.71
TELECOM ITALIA..................................1.00 0.01 1.16 0.88
TELEFONICA ......................................17.86 0.14 19.69 14.67
TOTAL..................................................42.60 0.57 44.55 35.66
UNIBAIL-RODAMCO SE...................155.00 0.15 155.95 105.19
UNICREDIT............................................1.73 0.05 2.24 1.46
UNILEVER CVA...................................22.96 0.07 24.11 20.68
VINCI ....................................................44.17 0.39 45.04 33.01
VIVENDI ...............................................20.87 0.20 22.07 16.18
Price Chg High Low
FTSE 100 . . . . . . . . . . . . . . 6068.16 -1.20 -0.02
FTSE 250 INDEX. . . . . . . . 11895.02 25.58 0.22
FTSE UK ALL SHARE . . . . 3149.53 0.57 0.02
FTSE AIMALL SH . . . . . . . . 916.89 -1.81 -0.20
DOWJONES INDUS 30 . . 12690.96 95.59 0.76
S&P 500 . . . . . . . . . . . . . . . 1355.66 8.42 0.62
NASDAQ COMPOSITE . . . 2869.88 22.34 0.78
FTSEUROFIRST 300 . . . . . 1149.35 3.39 0.30
NIKKEI 225 AVERAGE. . . . 9691.84 133.15 1.39
DAX 30 PERFORMANCE. . 7404.95 48.44 0.66
CAC 40 . . . . . . . . . . . . . . . . 4067.72 22.43 0.55
SHANGHAI SE INDEX . . . . 2925.41 -13.57 -0.46
HANG SENG. . . . . . . . . . . 23892.84 -114.54 -0.48
S&P/ASX 20 INDEX . . . . . . 2948.70 -22.40 -0.75
ASX ALL ORDINARIES . . . 4954.00 -41.70 -0.83
BOVESPA SAO PAOLO. . 66264.47 -879.79 -1.31
ISEQ OVERALL INDEX . . . 2970.08 -6.16 -0.21
STI . . . . . . . . . . . . . . . . . . . . 3182.68 10.85 0.34
IGBM. . . . . . . . . . . . . . . . . . 1095.42 9.73 0.90
SWISS MARKET INDEX. . . 6472.42 -4.17 -0.06
Price Chg %chg
3M........................................................96.47 0.53 96.59 67.98
ABBOTT LABS ...................................52.18 0.41 53.75 44.59
ALCOA ................................................17.18 0.15 18.47 9.81
ALTRIA GROUP..................................26.62 0.33 27.15 19.20
AMAZON.COM..................................196.63 14.33 197.80 105.80
AMERICAN EXPRESS........................47.62 0.52 48.03 37.13
AMGEN INC.........................................56.82 0.60 59.20 50.32
APPLE...............................................350.15 -0.27 364.90 199.25
AT&T....................................................31.42 0.48 31.50 23.78
BANK OF AMERICA...........................12.33 0.10 18.44 10.91
BERKSHIRE HATAW B.......................82.99 0.07 87.65 68.48
BOEING CO.........................................76.12 0.57 77.31 59.48
BRISTOL MYERS SQUI ......................28.28 0.16 28.44 22.24
CATERPILLAR..................................112.61 0.67 113.93 54.89
CHEVRON.........................................108.97 0.22 109.94 66.83
CISCO SYSTEMS................................17.19 -0.33 27.74 16.52
COCA-COLA.......................................67.00 0.07 68.47 49.47
COLGATE PALMOLIVE......................81.06 0.51 85.82 73.12
COMCAST CLASS A..........................25.84 0.25 25.91 16.30
CONOCOPHILLIPS.............................79.83 -1.38 81.80 48.06
DU PONT(EI) DE NMR........................55.62 0.56 56.52 33.66
EMC CORP..........................................28.15 -0.17 28.73 17.10
EXXON MOBIL....................................87.78 0.36 88.23 55.94
GENERAL ELECTRIC.........................20.65 0.55 21.65 13.75
GOLDMAN SACHS GRP..................152.78 -0.55 175.34 129.50
GOOGLE A........................................537.76 4.94 642.96 433.63
HEWLETT PACKARD.........................41.04 0.35 54.60 37.32
HOME DEPOT.....................................37.32 0.11 39.38 26.62
IBM.....................................................170.37 1.88 170.59 116.00
INTEL CORP .......................................22.63 0.15 24.13 17.60
J.P.MORGAN CHASE.........................45.50 0.38 48.36 35.16
JOHNSON & JOHNSON.....................65.57 0.62 65.62 56.86
KRAFT FOODS A................................33.57 0.18 33.68 27.49
MC DONALD'S CORP ........................77.87 0.93 80.94 65.31
MERCK AND CO. NEW......................35.63 0.57 37.68 30.70
MICROSOFT........................................26.38 0.19 31.43 22.73
OCCID. PETROLEUM.......................103.00 0.09 107.56 72.13
ORACLE CORP...................................35.25 0.28 35.29 21.24
PEPSICO.............................................67.93 0.22 68.25 60.32
PFIZER ................................................20.63 0.44 20.88 14.00
PHILIP MORRIS INTL .........................67.52 -0.07 68.21 2.00
PROCTER AND GAMBLE ..................64.02 0.19 66.95 39.37
QUALCOMM INC ................................58.18 0.96 59.84 31.63
SCHLUMBERGER ..............................89.38 -0.09 95.64 51.67
TRAVELERS CIES..............................62.25 0.86 62.27 47.69
UNITED TECHNOLOGIE ....................87.86 0.00 88.46 62.88
VERIZON COMMS ..............................38.25 0.62 38.95 24.77
WAL-MART STORES..........................54.42 0.51 57.90 47.77
WALT DISNEY CO ..............................42.58 0.25 44.34 30.72
WELLS FARGO & CO.........................29.27 0.40 34.25 23.02
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 ..................1.276 0.00
LIBOR Euro - 12 months ................2.083 0.00
LIBOR USD - overnight...................0.134 0.00
LIBOR USD - 12 months.................0.762 0.00
HaIifax mortgage rate .....................3.500 0.00
Euro Base Rate ...............................1.250 0.00
Finance house base rate................1.000 0.00
US Fed funds...................................0.250 0.00
US Iong bond yieId .........................4.020 0.00
European repo rate.........................1.258 0.00
Euro Euribor ....................................1.214 0.00
The vix index ...................................15.62 0.01
The baItic dry index ........................1.250 0.00
Markit iBoxx...................................217.00 -0.30
Markit iTraxx....................................95.06 0.00
Price Chg High Low
Price Chg %chg Price Chg %chg Price Chg %chg
C/$ 1.4715 0.0066
C/£ 0.8888 0.0004
C/¥ 121.21 1.1637
/C 1.1250 0.0003
/$ 1.6560 0.0075
/¥ 136.33 1.8829
FTSE 100
FTSE 250
S&P 500
Smiths Group . . . . .1340.0 4.0 1429.0 1008.0
Brown (N.) Group . . .300.0 0.6 311.2 221.0
Carpetright . . . . . . . . .706.0 18.0 888.0 631.0
Debenhams . . . . . . . . .68.5 0.3 77.4 53.0
Dignity . . . . . . . . . . . .750.0 9.0 750.1 598.0
Dixons RetaiI . . . . . . .14.1 0.1 33.6 11.8
DuneImGroup . . . . . .450.0 -1.3 550.0 325.3
HaIfords Group . . . . .390.0 6.2 550.0 348.2
Home RetaiI Group . .220.0 1.3 281.0 188.5
Inchcape . . . . . . . . . .360.8 1.9 414.0 237.1
JD Sports Fashion . .916.5 1.0 964.5 683.0
Kesa EIectricaIs . . . .128.0 8.0 174.0 99.2
Kingfisher . . . . . . . . .276.8 3.9 277.3 198.5
Marks & Spencer G . .391.0 7.6 427.5 326.4
Mothercare . . . . . . . .415.0 5.2 627.5 382.0
Next . . . . . . . . . . . . .2225.0 0.0 2313.0 1868.0
Sports Direct Int . . . .199.1 -0.5 200.0 92.3
WH Smith . . . . . . . . . .468.4 -0.7 523.0 398.2
Smith & Nephew . . . .658.5 -11.5 742.0 537.5
Synergy HeaIth . . . . .829.0 -9.5 948.0 562.5
Barratt DeveIopme . .110.6 0.9 131.0 70.1
BeIIway . . . . . . . . . . . .704.5 -0.5 787.0 511.0
BerkeIey Group Ho .1049.0 -13.0 1066.0 751.0
BaIfour Beatty . . . . . .326.2 0.0 357.3 229.8
KeIIer Group . . . . . . .649.0 7.0 784.5 515.0
Kier Group . . . . . . . .1338.0 -22.0 1383.0 886.5
Drax Group . . . . . . . .430.4 -19.7 450.1 326.3
Scottish & Southe . .1350.0 11.0 1354.8 1010.0
Domino Printing S . .657.0 20.5 705.0 383.5
HaIma . . . . . . . . . . . . .361.7 4.0 367.4 239.5
Laird . . . . . . . . . . . . . .133.0 0.0 179.0 98.8
Morgan CrucibIe C . .313.4 15.8 316.0 167.5
Renishaw . . . . . . . . .1728.0 84.0 1819.0 637.5
Spectris . . . . . . . . . .1473.0 50.0 1526.0 740.5
Aberforth SmaIIer . . .667.5 -2.0 697.0 495.0
AIIiance Trust . . . . . .379.0 -1.0 380.0 293.5
Bankers Inv Trust . . .422.3 -0.7 427.7 337.0
BH GIobaI Ltd. GB .1078.0 1.0 1174.0 1058.0
BH GIobaI Ltd. US . . . .10.6 -0.0 11.6 10.4
BH Macro Ltd. EUR . . .16.5 -0.1 17.2 15.8
BH Macro Ltd. GBP 1710.0 18.0 1780.0 1630.0
BH Macro Ltd. USD . . .16.4 -0.1 17.1 15.8
BIackRock WorId M .795.0 -10.0 815.5 533.0
BIueCrest AIIBIue . . .175.4 0.4 175.5 161.2
British Assets Tr . . . .136.0 -1.3 140.5 105.0
British Empire Se . . .517.0 -3.5 523.8 404.1
CaIedonia Investm .1760.0 -13.0 1928.0 1532.0
City of London In . . .299.3 0.5 299.9 233.7
Dexion AbsoIute L . .148.0 -0.7 151.0 131.2
Edinburgh Dragon . .244.3 -2.7 262.1 197.6
Edinburgh Inv Tru . . .461.8 -0.5 467.2 366.0
EIectra Private E . . .1753.0 -2.0 1755.0 1177.0
F&C Inv Trust . . . . . . .311.9 -0.7 316.8 251.4
FideIity China Sp . . . .113.1 -1.2 128.7 92.3
FideIity European . .1264.0 0.0 1269.0 916.0
FideIity SpeciaI . . . . .575.0 -4.0 595.0 503.0
HeraId Inv Trust . . . . .517.0 0.5 541.0 349.8
HICL Infrastructu . . . .117.1 -0.9 121.0 112.0
Impax Environment .123.3 1.3 130.5 106.5
JPMorgan American .886.5 0.0 909.0 673.0
JPMorgan Asian In . .240.5 -1.3 250.8 182.5
JPMorgan Emerging .589.0 -2.0 639.0 479.5
JPMorgan European .959.0 9.0 963.0 606.0
JPMorgan Indian I . . .448.1 -0.4 502.0 377.2
JPMorgan Russian .668.0 -5.5 755.0 502.0
Law Debenture Cor . .357.3 2.1 362.9 273.3
MercantiIe Inv Tr . . .1100.0 4.0 1137.0 840.0
Merchants Trust . . . .417.7 -1.7 425.0 320.0
Monks Inv Trust . . . .363.5 2.2 365.7 275.5
Murray Income Tru . .649.0 4.0 649.0 518.0
Murray Internatio . . .946.5 6.5 966.0 791.5
PerpetuaI Income . . .260.8 1.5 263.5 203.0
PoIar Cap TechnoI . .371.9 2.9 391.2 269.0
RIT CapitaI Partn . . .1320.0 2.0 1328.0 1027.0
Schroder Asia Pac . .223.6 -3.1 233.6 177.5
Scottish Inv Trus . . . .512.5 -0.5 516.5 401.5
Scottish Mortgage . .751.5 -2.5 758.0 533.0
SVG CapitaI . . . . . . . .273.5 0.0 274.3 137.8
TempIe Bar Inv Tr . . .922.0 4.0 925.0 717.0
TempIeton Emergin .668.0 -5.0 689.5 497.0
TR Property Inv T . . .184.3 1.3 184.3 132.3
TR Property Inv T . . . .87.0 -0.5 87.5 59.2
Witan Inv Trust . . . . .523.5 -1.5 526.0 409.9
3i Group . . . . . . . . . . .274.8 2.3 340.0 251.9
3i Infrastructure . . . . .115.6 0.0 125.2 106.0
Aberdeen Asset Ma .226.2 0.2 229.5 123.0
Ashmore Group . . . .366.5 -2.3 383.7 235.0
BerkeIey TechnoIo . . . .4.3 0.0 9.0 2.2
Brewin DoIphin Ho . .169.5 0.5 185.4 114.0
CameIIia . . . . . . . . . .9400.0-125.010700.07059.0
CharIes TayIor Co . . .152.5 0.4 240.0 140.0
City of London Gr . . . .88.0 0.0 93.6 65.8
City of London In . . .408.0 -1.0 461.5 273.5
CIose Brothers Gr . . .802.0 -3.5 888.5 664.0
CoIIins Stewart . . . . . .83.0 2.0 94.0 67.3
EvoIution Group . . . . .74.0 3.0 118.3 67.0
F&C Asset Managem .75.5 1.1 92.9 47.5
Hargreaves Lansdo .646.5 5.0 648.0 317.4
HeIphire Group . . . . . .13.0 -1.0 53.0 11.8
Henderson Group . . .161.5 -0.7 173.1 118.1
Highway CapitaI . . . . . .7.0 0.0 7.0 6.0
ICAP . . . . . . . . . . . . . .518.5 5.0 570.5 341.6
IG Group HoIdings . .470.7 2.9 553.0 362.4
Intermediate Capi . . .325.0 -3.7 360.3 240.4
InternationaI Per . . . .362.5 6.9 386.6 183.3
InternationaI Pub . . . .113.8 -0.2 118.3 108.6
Investec . . . . . . . . . . .477.8 -0.5 538.0 429.2
IP Group . . . . . . . . . . . .51.6 1.1 52.6 28.0
Jupiter Fund Mana . .299.5 3.4 337.3 180.3
LMS CapitaI . . . . . . . . .63.3 1.5 63.3 40.0
London Finance & . . .19.5 0.0 21.5 16.5
London Stock Exch .876.0 2.0 933.0 544.0
Man Group . . . . . . . . .248.8 0.8 311.0 201.9
Paragon Group Of . .167.5 1.1 191.5 114.4
Provident Financi . . .999.0 0.0 1033.0 728.5
Rathbone Brothers .1158.0 -46.0 1257.0 762.5
ReaI Estate Credi . . . . .1.2 0.0 2.4 0.9
RSM Tenon Group . . .32.8 0.5 66.3 31.5
S & U . . . . . . . . . . . . .705.0 0.0 711.0 482.5
Schroders . . . . . . . .1881.0 25.0 1922.0 1154.0
Schroders (Non-Vo .1532.0 17.0 1534.0 950.5
TuIIett Prebon . . . . . .414.0 -4.0 428.6 298.0
WaIker Crips Grou . . .48.5 0.0 50.0 45.0
BT Group . . . . . . . . . .193.2 -0.1 195.5 109.9
CabIe & WireIess . . . .45.6 -0.1 62.9 44.4
CabIe & WireIess . . . .48.0 0.9 92.0 46.8
COLT Group SA . . . .150.2 -1.3 156.2 109.0
TaIkTaIk TeIecom . . .142.3 5.0 168.3 108.5
Booker Group . . . . . . .60.0 -0.3 61.1 38.6
Greggs . . . . . . . . . . . .515.0 0.0 528.0 418.7
Morrison (Wm) Sup .295.5 4.1 306.3 257.6
Ocado Group . . . . . . .224.0 -5.9 285.0 123.5
Sainsbury (J) . . . . . . .347.2 5.9 395.0 312.9
Tesco . . . . . . . . . . . . .402.9 -3.8 448.7 377.5
Associated Britis . . .984.0 -61.0 1182.0 918.0
Cranswick . . . . . . . . .760.0 17.5 907.5 742.5
Dairy Crest Group . . .392.1 7.2 424.9 339.7
Devro . . . . . . . . . . . . .293.8 -1.2 296.9 167.3
Premier Foods . . . . . . .30.7 0.1 31.1 16.0
Tate & LyIe . . . . . . . . .593.5 -10.0 607.0 409.1
UniIever . . . . . . . . . .1990.0 2.0 1995.0 1688.0
Mondi . . . . . . . . . . . . .595.5 7.5 610.5 367.6
Centrica . . . . . . . . . . .321.4 -11.6 346.1 264.5
InternationaI Pow . . .320.1 -4.0 448.6 284.5
NationaI Grid . . . . . . .609.0 2.0 613.5 484.2
Northumbrian Wate .347.9 3.9 361.5 252.8
Pennon Group . . . . . .649.5 2.0 653.5 482.9
Severn Trent . . . . . .1484.0 9.0 1513.0 1086.0
United UtiIities . . . . .622.5 2.0 628.5 507.0
Cookson Group . . . . .714.5 17.5 726.0 367.4
DS Smith . . . . . . . . . .210.0 -0.6 226.0 108.0
Rexam . . . . . . . . . . . .387.0 2.5 391.2 290.4
RPC Group . . . . . . . .335.1 -0.9 338.0 178.7
BAE Systems . . . . . .328.0 -1.4 369.9 294.7
Chemring Group . . . .668.0 -1.0 736.5 519.6
Cobham . . . . . . . . . . .228.1 0.2 266.2 192.3
Meggitt . . . . . . . . . . . .353.9 -4.5 380.9 261.7
QinetiQ Group . . . . . .118.8 2.7 136.3 96.7
RoIIs-Royce Group . .640.0 2.5 665.0 535.0
Senior . . . . . . . . . . . . .150.3 -2.7 159.5 104.4
UItra EIectronics . . .1699.0 24.0 1895.0 1517.0
GKN . . . . . . . . . . . . . .221.2 4.9 237.1 109.3
BarcIays . . . . . . . . . . .287.5 -14.4 361.3 255.4
HSBC HoIdings . . . . .657.9 -1.7 730.9 596.2
LIoyds Banking Gr . . .59.8 -0.6 77.6 50.5
RoyaI Bank of Sco . . .41.5 -0.4 56.2 37.6
Standard Chartere .1639.5 15.0 1950.0 1514.5
AG Barr . . . . . . . . . .1334.0 -5.0 1342.0 900.0
Britvic . . . . . . . . . . . . .402.9 2.6 518.0 364.5
Diageo . . . . . . . . . . .1216.0 11.0 1258.0 1025.0
SABMiIIer . . . . . . . . .2231.5 -31.5 2306.0 1827.0
AZ EIectronic Mat . . .270.7 -5.1 320.0 248.5
Croda Internation . .1773.0 -36.0 1809.0 901.0
EIementis . . . . . . . . . .169.8 2.2 170.2 58.8
Johnson Matthey . .2000.0 52.0 2100.0 1460.0
Victrex . . . . . . . . . . .1404.0 14.0 1522.0 933.5
YuIe Catto & Co . . . . .220.0 2.0 240.5 109.4
Price Chg High Low
Bovis Homes Group .431.0 0.9 464.7 326.6
Persimmon . . . . . . . .472.4 -7.3 486.8 336.5
Reckitt Benckiser . .3324.0 63.0 3648.0 3015.0
Redrow . . . . . . . . . . . .131.3 1.8 151.9 97.5
TayIor Wimpey . . . . . . .38.7 0.1 43.3 22.3
Bodycote . . . . . . . . . .380.0 43.6 387.7 182.5
Charter Internati . . . .809.5 2.5 853.5 567.0
Fenner . . . . . . . . . . . .367.7 -4.3 386.7 183.3
IMI . . . . . . . . . . . . . . .1073.0 10.0 1096.0 578.0
MeIrose . . . . . . . . . . .347.4 13.9 348.3 203.4
Northgate . . . . . . . . . .338.5 2.1 346.7 152.3
Rotork . . . . . . . . . . . .1711.0 28.0 1895.0 1254.0
Spirax-Sarco Engi . .2000.0 20.0 2025.0 1344.0
Weir Group . . . . . . .1901.0 4.0 1961.0 846.0
Ferrexpo . . . . . . . . . . .474.0 -4.6 481.9 219.0
TaIvivaara Mining . . .530.5 -5.0 622.0 342.4
BBAAviation . . . . . . .213.6 0.1 240.8 175.0
Forth Ports . . . . . . . .1617.0 -1.0 1647.0 1112.0
Stobart Group Ltd . . .139.5 -8.1 163.6 132.6
AdmiraI Group . . . . .1665.0 5.0 1753.0 1238.0
AmIin . . . . . . . . . . . . .413.6 3.0 433.0 366.8
Haynes PubIishing . .242.0 0.0 262.5 202.5
Huntsworth . . . . . . . . .69.5 -0.5 87.5 65.0
Informa . . . . . . . . . . . .415.1 2.0 461.1 342.1
ITE Group . . . . . . . . . .249.5 4.3 258.2 135.5
ITV . . . . . . . . . . . . . . . . .72.8 -3.0 93.5 48.3
Johnston Press . . . . . . .7.7 -0.5 33.5 7.1
MecomGroup . . . . . .289.0 -4.8 296.8 162.0
Moneysupermarket. . .92.6 0.1 93.4 61.0
Pearson . . . . . . . . . .1159.0 18.0 1159.0 864.0
Reed EIsevier . . . . . .527.5 1.5 590.5 460.6
Rightmove . . . . . . . .1038.0 -4.0 1045.0 596.5
STV Group . . . . . . . . .161.0 24.5 163.0 66.0
Tarsus Group . . . . . .155.0 -1.5 159.3 107.0
Trinity Mirror . . . . . . . .48.5 0.8 163.9 45.8
United Business M . .597.5 6.0 725.0 480.1
UTV Media . . . . . . . . .133.0 -0.8 151.0 106.0
WiImington Group . .150.0 -0.9 183.0 134.3
WPP . . . . . . . . . . . . . .759.5 14.0 846.5 608.0
YeII Group . . . . . . . . . . .6.6 0.1 55.7 5.8
African Barrick G . . .522.0 -17.5 670.0 501.5
AngIo American . . .3084.5 -47.5 3437.0 2254.0
AngIo Pacific Gro . . .316.3 2.3 369.3 230.0
Antofagasta . . . . . . .1359.0 -37.0 1634.0 761.0
Aquarius PIatinum . .340.5 -7.4 440.0 227.1
BHP BiIIiton . . . . . . .2505.0 -55.0 2631.5 1684.5
BeazIey . . . . . . . . . . . .128.2 -1.8 139.2 109.1
CatIin Group Ltd. . . .388.0 3.4 399.2 319.9
CPP Group . . . . . . . . .127.2 0.4 329.0 121.3
Hiscox Ltd. . . . . . . . . .400.8 0.4 405.4 327.9
Jardine LIoyd Tho . . .698.0 -1.5 709.0 521.0
Lancashire HoIdin . . .641.5 1.5 653.5 442.0
RSA Insurance Gro . .136.8 1.0 143.5 114.8
Aviva . . . . . . . . . . . . . .442.0 3.8 477.9 294.2
LegaI & GeneraI G . . .119.4 1.4 122.7 72.3
OId MutuaI . . . . . . . . .136.6 -0.7 145.2 102.0
Phoenix Group HoI . .645.5 -2.0 758.0 584.5
PrudentiaI . . . . . . . . .761.5 6.5 763.5 489.2
ResoIution Ltd. . . . . .305.0 11.0 311.7 211.3
St James's PIace . . . .350.0 2.7 351.2 204.2
Standard Life . . . . . . .219.1 4.0 244.7 173.0
4imprint Group . . . . .261.5 5.0 275.0 185.0
Aegis Group . . . . . . .137.4 0.5 148.3 103.6
BIoomsbury PubIis . .133.5 -2.0 135.5 105.3
British Sky Broad . . .834.5 -0.5 839.0 536.5
Centaur Media . . . . . . .52.3 0.3 73.0 45.8
Chime Communicati .264.0 6.0 281.8 158.0
Creston . . . . . . . . . . . .97.0 -0.3 105.0 78.5
DaiIy MaiI and Ge . . .493.1 -1.6 594.5 433.0
Euromoney Institu . .706.5 -3.5 736.0 506.5
Future . . . . . . . . . . . . . .19.5 -0.4 30.0 15.8
Centamin Egypt Lt . .129.5 -4.1 197.1 118.5
Eurasian NaturaI . . .913.5 -20.0 1256.0 818.0
FresniIIo . . . . . . . . . .1606.0 -43.0 1682.0 763.5
GemDiamonds Ltd. .276.0 1.0 306.0 186.3
HochschiId Mining . .595.0 -17.5 680.0 234.0
Kazakhmys . . . . . . .1366.0 -25.0 1671.0 965.0
Kenmare Resources . .46.2 -0.8 50.3 9.3
Lonmin . . . . . . . . . . .1630.0 -15.0 1983.0 1355.0
PetropavIovsk . . . . . .884.5 -16.0 1365.0 853.5
RandgoId Resource 5160.0 -35.0 6655.0 4425.0
Rio Tinto . . . . . . . . .4334.5 -71.0 4712.0 2812.0
Vedanta Resources 2321.0 -31.0 2660.0 1839.0
Xstrata . . . . . . . . . . .1521.0 -29.0 1553.5 845.8
Inmarsat . . . . . . . . . . .610.0 2.0 821.0 575.0
Vodafone Group . . . .173.6 0.7 181.9 129.5
Genesis Emerging . .531.5 -3.0 568.0 427.0
Afren . . . . . . . . . . . . . .161.1 -2.1 171.2 79.2
BG Group . . . . . . . . .1543.0 8.0 1564.5 984.0
BP . . . . . . . . . . . . . . . .466.0 1.8 625.0 302.9
Cairn Energy . . . . . . .450.0 0.2 493.2 366.0
EnQuest . . . . . . . . . . .140.0 0.2 158.5 89.3
Essar Energy . . . . . .460.6 7.4 589.5 383.0
ExiIIon Energy . . . . . .447.8 0.8 460.0 166.0
Heritage OiI . . . . . . . .250.9 -6.3 493.0 239.8
JKX OiI & Gas . . . . . .303.6 1.2 335.1 223.2
Premier OiI . . . . . . . .1978.0 -23.0 2140.0 1085.0
RoyaI Dutch SheII . .2308.5 18.0 2323.0 1624.0
RoyaI Dutch SheII . .2317.0 24.0 2325.1 1554.0
SaIamander Energy .300.0 5.0 317.6 204.9
Soco Internationa . . .384.0 0.4 484.2 292.0
TuIIow OiI . . . . . . . . .1445.0 -5.0 1493.0 991.5
Amec . . . . . . . . . . . .1184.0 11.0 1251.0 764.0
Hunting . . . . . . . . . . .804.5 12.0 817.0 439.4
John Wood Group . .702.5 0.5 707.5 293.1
LampreII . . . . . . . . . . .370.3 -0.2 390.0 195.3
Petrofac Ltd. . . . . . .1505.0 -5.0 1685.0 1002.0
Burberry Group . . . .1292.0 1.0 1318.7 612.5
PZ Cussons . . . . . . . .326.7 -4.9 409.0 265.5
Supergroup . . . . . . .1558.0 8.0 1820.0 535.0
AstraZeneca . . . . . .3097.5 29.5 3385.0 2772.0
BTG . . . . . . . . . . . . . .241.7 0.7 263.0 154.2
Genus . . . . . . . . . . . . .993.0 -7.0 1001.0 681.0
GIaxoSmithKIine . . .1286.5 26.0 1318.5 1095.0
Hikma Pharmaceuti .777.5 10.5 900.0 630.0
Shire PIc . . . . . . . . . .1901.0 22.0 1902.0 1321.0
CapitaI & Countie . . .168.5 0.9 169.5 100.0
Daejan HoIdings . . .2720.0 0.0 2919.0 2157.0
F&C CommerciaI Pr .104.1 0.7 107.0 88.0
Grainger . . . . . . . . . . .109.5 2.3 142.8 86.3
HeIicaI Bar . . . . . . . . .258.9 -0.9 339.9 256.0
London & Stamford .132.3 0.1 133.5 110.3
SaviIIs . . . . . . . . . . . . .396.0 -1.5 400.0 273.1
St. Modwen Proper . .168.0 3.1 187.4 135.4
UK CommerciaI Pro . .80.5 0.9 85.0 72.8
Unite Group . . . . . . . .210.0 0.9 229.8 163.0
Big YeIIow Group . . .332.0 1.3 353.3 284.4
British Land Co . . . . .592.0 4.0 597.1 418.3
CapitaI Shopping . . .401.1 -1.8 424.8 301.0
Derwent London . . .1775.0 8.0 1796.0 1208.0
Great PortIand Es . . .412.6 3.0 413.7 280.5
Hammerson . . . . . . . .465.2 1.3 476.7 336.3
Hansteen HoIdings . . .83.0 -1.3 89.3 59.4
Land Securities G . . .786.0 9.0 790.0 545.0
SEGRO . . . . . . . . . . . .321.8 -1.1 331.3 250.2
Shaftesbury . . . . . . . .504.0 3.5 506.0 349.3
Autonomy Corporat 1635.0 5.0 1975.0 1271.0
Aveva Group . . . . . .1597.0 -1.0 1739.0 1044.0
Computacenter . . . . .464.3 6.3 465.0 260.0
Fidessa Group . . . . .1738.0 -12.0 1810.0 1269.0
Invensys . . . . . . . . . . .338.6 1.7 364.3 230.2
Kofax . . . . . . . . . . . . .497.0 -4.0 535.0 231.0
Logica . . . . . . . . . . . .136.5 2.1 147.2 101.7
Micro Focus Inter . . .358.5 -2.3 541.5 276.0
Misys . . . . . . . . . . . . .318.7 0.1 354.8 217.0
Sage Group . . . . . . . .288.7 1.4 302.0 222.7
SDL . . . . . . . . . . . . . . .655.0 14.0 678.5 421.0
TeIecity Group . . . . . .525.5 6.0 532.5 365.0
Aggreko . . . . . . . . . .1786.0 76.0 1825.0 1157.0
Ashtead Group . . . . .196.7 -5.8 207.9 77.0
Atkins (WS) . . . . . . . .777.0 -19.0 796.0 631.0
Babcock Internati . . .641.0 4.5 643.5 492.8
Berendsen . . . . . . . . .495.7 2.7 503.0 360.2
BunzI . . . . . . . . . . . . .739.5 -0.5 783.0 658.0
Capita Group . . . . . . .729.5 -6.5 820.0 635.5
CariIIion . . . . . . . . . . .387.5 -2.6 399.3 291.2
De La Rue . . . . . . . . .773.5 8.0 984.0 549.5
EIectrocomponents .273.3 -1.3 279.5 202.3
Experian . . . . . . . . . . .810.0 2.0 820.5 572.0
FiItrona PLC . . . . . . . .344.6 2.6 345.9 193.4
G4S . . . . . . . . . . . . . . .278.7 -2.2 284.0 237.7
Hays . . . . . . . . . . . . . .118.7 -0.3 133.6 88.4
Homeserve . . . . . . . .481.4 11.4 487.5 376.8
Howden Joinery Gr . .114.7 0.7 127.5 56.8
Intertek Group . . . . .2128.0 10.0 2147.0 1331.0
MichaeI Page Inte . . .567.0 10.0 569.0 346.4
Mitie Group . . . . . . . .211.0 -0.6 241.1 188.7
Premier FarneII . . . . .279.4 0.8 308.8 208.4
Regus . . . . . . . . . . . . .109.0 0.0 120.0 66.1
RentokiI InitiaI . . . . . . .93.7 -1.2 135.6 84.3
RPS Group . . . . . . . . .228.0 4.0 242.0 169.8
Serco Group . . . . . . .566.0 1.0 645.0 529.5
Shanks Group . . . . . .117.9 1.7 126.7 92.0
SIG . . . . . . . . . . . . . . .139.2 -2.2 153.2 90.7
SThree . . . . . . . . . . . .441.5 -1.8 446.3 231.1
Travis Perkins . . . . .1082.0 13.0 1127.0 709.0
WoIseIey . . . . . . . . .2165.0 18.0 2261.0 1223.0
ARM HoIdings . . . . . .615.5 -10.0 651.0 228.4
CSR . . . . . . . . . . . . . .369.6 -0.4 447.0 280.9
Imagination Techn . .491.5 8.0 494.7 220.7
Pace . . . . . . . . . . . . . .160.0 0.4 231.8 148.6
Spirent Communica .134.7 0.6 160.3 102.8
British American . .2631.0 -6.0 2643.6 1959.0
ImperiaI Tobacco . .2071.0 0.0 2084.0 1753.0
Avis Europe . . . . . . . .189.8 -4.2 284.7 184.8
Betfair Group . . . . . . .864.5 -8.0 1550.0 840.0 Digita . . .157.0 2.0 316.0 127.5
CarnivaI . . . . . . . . . .2432.0 66.0 3153.0 2037.0
Compass Group . . . .582.0 6.5 594.0 492.6
Domino's Pizza UK . .443.3 49.4 586.0 324.7
easyJet . . . . . . . . . . . .348.0 7.6 486.4 322.3
Enterprise Inns . . . . . .95.6 -0.1 139.3 84.4
FirstGroup . . . . . . . . .323.9 2.5 412.6 311.3
Go-Ahead Group . . .1393.0 20.0 1473.0 1042.0
Greene King . . . . . . .487.0 14.4 497.1 376.2
InterContinentaI . . .1314.0 10.0 1435.0 982.0
InternationaI Con . . .239.1 9.5 305.0 184.2
JD Wetherspoon . . . .437.6 2.8 543.5 386.5
Ladbrokes . . . . . . . . .148.7 -0.5 157.0 122.7
Marston's . . . . . . . . . .108.1 3.8 117.1 89.9
MiIIennium& Copt . .523.0 -6.5 600.5 386.8
MitcheIIs & ButIe . . . .323.1 4.9 361.0 274.0
NationaI Express . . .260.4 2.8 260.9 213.4
Punch Taverns . . . . . .78.0 0.4 96.4 58.0
Rank Group . . . . . . . .149.0 -3.0 152.8 94.8
Restaurant Group . . .326.1 3.6 327.9 208.2
Stagecoach Group . .236.5 1.7 238.3 160.7
Thomas Cook Group 168.3 2.5 253.9 161.3
TUI TraveI . . . . . . . . . .239.5 3.4 283.5 190.0
Whitbread . . . . . . . .1737.0 22.0 1887.0 1266.0
WiIIiamHiII . . . . . . . . .221.5 0.2 223.8 155.5
Abcam . . . . . . . . . . . .396.8 3.5 402.0 235.2
AIbemarIe & Bond . .300.0 5.1 334.0 218.0
Amerisur Resource . .24.0 1.8 27.0 11.5
ArchipeIago Resou . . .64.3 -0.5 64.8 32.3
ASOS . . . . . . . . . . . .2328.0 -57.0 2410.0 591.0
AureIian OiI & Ga . . . .68.3 2.0 92.0 35.8
Avanti Communicat .487.5 -9.3 735.0 423.8
Avocet Mining . . . . . .228.0 -4.0 253.5 112.0
BIinkx . . . . . . . . . . . . .138.5 -7.0 147.9 12.3
Borders & Souther . . .67.3 0.3 93.0 45.8
BowLeven . . . . . . . . .299.0 8.3 398.0 103.0
CaIedon Resources .100.5 0.0 107.0 23.3
Cape . . . . . . . . . . . . . .552.0 -4.0 559.5 190.5
Conygar Investmen .107.0 0.0 120.0 101.3
Cove Energy . . . . . . . .95.0 1.3 112.8 44.3
Daisy Group . . . . . . . .98.5 0.0 108.5 84.5
Desire PetroIeum . . . .13.8 0.3 168.5 13.4
EMIS Group . . . . . . . .490.9 0.0 490.9 303.5
Encore OiI . . . . . . . . .115.3 0.3 151.5 16.0
Faroe PetroIeum . . . .179.0 1.0 218.3 106.0
GuIfsands PetroIe . . .289.0 3.0 401.5 244.3
GWPharmaceuticaI .117.5 0.0 141.0 83.0
Hamworthy . . . . . . . .571.0 -11.0 582.0 256.8
Hargreaves Servic . .972.0 32.0 989.4 556.5
HeaIthcare Locums . .112.5 0.0 112.5 112.5
Immunodiagnostic . .848.0 -24.0 975.0 575.0
ImpeIIamGroup . . . .340.0 -1.5 387.5 66.5
James HaIstead . . . . .466.4 10.1 475.0 298.8
KaIahari MineraIs . . .248.5 6.8 301.0 142.0
London Mining . . . . .431.0 2.0 434.0 194.0
Lupus CapitaI . . . . . .140.0 0.0 150.0 72.0
M. P. Evans Group . .440.0 -7.9 500.5 317.5
Majestic Wine . . . . . .394.0 -1.0 430.0 268.0
May Gurney Integr . .250.0 0.8 264.0 177.0
Monitise . . . . . . . . . . . .25.8 1.3 27.0 17.8
MuIberry Group . . . .1549.0 75.0 1565.0 197.5
Nanoco Group . . . . . . .86.8 0.8 115.8 68.0
NauticaI PetroIeu . . .390.0 4.0 547.0 49.5
NichoIs . . . . . . . . . . . .489.8 -0.3 495.1 355.0
Numis Corporation . .103.5 0.8 157.5 94.0
Patagonia GoId . . . . . .47.0 3.8 59.3 12.5
Pursuit Dynamics . . .309.3 5.8 700.0 184.5
Rockhopper ExpIor .238.0 -1.8 510.0 37.0
RWS HoIdings . . . . . .398.0 13.0 418.0 239.0
Songbird Estates . . .151.0 0.0 166.4 133.8
SterIing Energy . . . . . .59.5 11.0 147.0 48.5
VaIiant PetroIeum . . .539.5 3.5 761.5 504.0
VatukouIa GoId Mi . . .144.0 -2.8 227.0 84.0
Young & Co's Brew . .595.5 15.5 670.0 510.0
Bodycote . . . . . . . . . .380.0 13.0
Domino's Pizza UK .443.3 12.5
Kesa EIectricaIs . . . .128.0 6.7
Morgan CrucibIe Co .313.4 5.3
Renishaw . . . . . . . . .1728.0 5.1
Aggreko . . . . . . . . . .1786.0 4.4
MeIrose . . . . . . . . . . .347.4 4.2
InternationaI Cons . .239.1 4.1
ResoIution Ltd. . . . . .305.0 3.7
TaIkTaIk TeIecom G . .142.3 3.6
Associated British . .984.0 -5.8
Stobart Group Ltd. . .139.5 -5.5
BarcIays . . . . . . . . . . .287.5 -4.8
Drax Group . . . . . . . .430.4 -4.4
ITV . . . . . . . . . . . . . . . .72.8 -3.9
Rathbone Brothers .1158.0 -3.8
Centrica . . . . . . . . . . .321.4 -3.5
African Barrick Go . .522.0 -3.2
Centamin Egypt Ltd .129.5 -3.1
HochschiId Mining . .595.0 -2.9
Risers FaIIers
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
AIM 50
Tsy 3.250 11 . . . . .101.64 -0.03 103.8 101.6
Tsy 9.000 11 . . . . .101.75 -0.03 109.9 101.7
Tsy 2.500 11 . . . . .308.33 -0.01 311.1 308.3
Tsy 5.250 12 . . . .104.85 -0.09 108.6 104.8
Tsy 9.000 12 . . . . .110.15 0.00 117.1 109.0
Tsy 5.000 12 . . . .103.65 -0.05 107.4 103.6
Tsy 4.500 13 . . . .106.09 -0.17 109.2 105.8
Tsy 2.500 13 . . . .283.42 -0.22 284.0 271.5
Tsy 8.000 13 . . . . .116.11 -0.23 121.3 115.8
Tsy 5.000 14 . . . . .110.04 -0.32 114.1 109.2
Tsy 7.750 15 . . . .105.10 0.00 112.0 76.0
Tsy 8.000 15 . . . .124.83 -0.41 131.6 123.7
Tsy 4.750 15 . . . . .110.15 -0.39 114.7 108.6
Tsy 4.000 16 . . . .106.91 -0.47 111.4 104.5
Tsy 2.500 16 . . . .320.74 -0.40 322.2 303.4
Tsy 8.750 17 . . . .134.89 -0.16 142.2 132.9
Tsy 12.000 17 . . .127.30 -0.56 185.9 126.8
Tsy 1.250 17 . . . .109.41 -0.52 111.1 104.9
Tsy 5.000 18 . . . . .112.31 -0.53 117.6 109.3
Tsy 4.500 19 . . . .108.37 -0.59 113.8 104.7
Tsy 3.750 19 . . . .102.55 -0.64 107.7 98.4
Tsy 4.750 20 . . . .109.68 -0.63 115.9 105.9
Tsy 2.500 20 . . . .326.98 -0.63 331.4 303.8
Tsy 8.000 21 . . . .137.26 -0.64 147.1 133.8
Tsy 1.875 22 . . . . .114.75 -0.89 117.8 108.5
Tsy 4.000 22 . . . .102.16 -0.73 108.4 97.8
Tsy 2.500 24 . . . .286.29 -0.93 290.6 262.1
Tsy 5.000 25 . . . . .111.04 -0.83 118.5 106.3
Tsy 1.250 27 . . . .107.68 -1.08 111.2 100.5
Tsy 4.250 27 . . . .101.70 -0.83 108.8 97.1
Tsy 6.000 28 . . . .123.73 -0.79 132.7 119.3
Tsy 4.125 30 . . . .271.02 -0.94 275.0 248.7
Tsy 4.750 30 . . . .107.07 -0.85 115.0 103.0
Tsy 4.250 32 . . . .100.24 -0.89 107.8 96.0
Tsy 4.250 36 . . . . .99.76 -0.93 107.4 95.0
Tsy 4.750 38 . . . .108.31 -0.92 116.5 102.8
Tsy 4.500 42 . . . .104.63 0.00 112.8 98.9
% %
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Wealth Management | Markets
28 CITYA.M. 28 APRIL 2011
OMPANY chief economist jobs are
pretty cool. Not only do you get
the academic kudos of being an
“expert” you often get to appear
on the news to prove it. But how does
one get to work on the sexy side of the
dismal science? There are hardly entry-
level job adverts or graduate schemes
that offer a route all the way to the top.
Clearly those in the analyst trade are
already one step ahead. But it turns out
that it’s not too late if you come to the
idea a bit late. IG Index’s chief market
strategist David Jones started working
life in the financial software industry
before moving to analysis. “I fancied a
career change and we had currency ana-
lysts as clients,” Jones explains. After a
few years, he switched industries again,
becoming a financial journalist, before
taking the exams offered by the Society
of Technical Analysts and moving into
spread betting. “It doesn’t do any harm
to know people in the sector you want to
move into. If you’re passionate and hard
working enough, once you’re in the
right sector, there are always opportuni-
ties to move up or sideways.”
But Colin Ellis, the British Venture
Capital Association’s (BVCA) chief econo-
mist, says he thinks the traditional
routes are the best: “I maintain that the
Bank of England’s programme is the best
place to train. There’s a lot of debate
about who counts as a proper economist
and I suppose I class myself as a nerd
who does proper economics.”
Being an economics “nerd”, however,
does not mean you have to be an aca-
demic to be successful. Ellis warns that
getting a PhD is not necessarily the wis-
est career choice: “While some PhD
grads are exceptional, often the
intensity of their study in one area
means that they lose the ability to think
in broad macro terms.”
Trends in the industry, however, seem to
be moving in that direction. Andrew
Brigden, an economist at Fathom
Financial Consulting, says: “In the US
they seem to expect a PhD. But we’ve
recruited people straight from under-
graduate level.”
If it is not academic cred that propels
you up the ranks, what does? Jones says
the top jobs go to the articulate and con-
fident: “Plenty of analysts aren’t rocket
scientists, a lot of the job is about being
good enough to go on TV and explain
economics in a clear and concise way.”
Indeed, Ellis says he knows of
economists that have bonuses
dependent on how often they get in the
Chiefdom, perhaps, then depends on
getting in with the analyst tribe before
donning some face paint for the TV audi-
ence’s entertainment.
Suggested interview
Picture: GETTY
Donata Huggins speaks to City
economists about how they
became chiefs of the analyst tribe
Business Features| Careers
Reaching for the economic chiefdom
that science cannot reach. Reason is a
wider thing, covering philosophy, art, and
also ideas not expressed in words.
The best, and most valuable of our ideas
are the largely unspoken ones in the cul-
ture of science and in the sociopolitical sys-
tems of certain countries, that preserve
traditions of criticism. Freedom, tolerance,
love of truth, openness to change – we
often take these for granted. But they all
depend on traditions of criticism which are
rare and precious phenomena in the histo-
ry of our species.
The far more usual case is that traditions
are all about preserving the status quo
(thus preventing the growth of knowledge),
and the more usual role of criticism is to
destroy existing knowledge.
Q: Many people feel quite disillusioned – the
world around them seeming stupid or dangerous
or vacant.
A: Cynics think of themselves as less
gullible and more sceptical than the rest of
us. They believe that if you’re a pessimist, at
least you'll never be disappointed. But that
is false on all counts. Optimism -- as I define
it: that all evils are due to lack of knowl-
edge -- is a deep truth about reality. And if
you run your life on the basis of a miscon-
ception about reality, you are absolutely
asking for disappointment.
Q: Is there any way in which your book can be
applied to the City and economics?
A: Undoubtedly yes. Though I don’t think
it can be translated directly into money.
Q: Is there a chance that in future everyone could
be rich, or happy, or both?
A: Of course. Note that we are already living
in the future, from the perspective of most
humans who have ever lived. People who in
our society are deemed to be charity cases,
have a higher standard of living than royal-
ty did not so long ago. This can continue --
provided we want it and seek it, and do so
The Beginning of Infinity, £25 (Allen Lane)
OTING systems, Socrates, gravity,
time, sex. What do these have in
common? Physics, of course. More
specifically, certain ideas about sci-
ence, humanity and progress flowing from
the mega-brain of David Deutsch, the
Oxford physicist who pioneered the field of
quantum computing, and wrote the 1997
cult favourite, The Fabric of Reality.
Certainly, without a deep level of physics
understanding, you’re unlikely to grasp the
faintest detail of Deutch’s multiverse (or
“many worlds”) interpretation of quantum
theory – the idea that says our universe is
constantly creating countless numbers of
parallel worlds.
Serious physics is Deutsch’s starting
point, but he is not interested in ivory tow-
ers. Instead, he’s dedicated to squeezing
moral, political, philosophical and social
theories out of physics that can rock the
world – even the world of a science-phobe.
His latest book, The Beginning of Infinity
(Allen Lane) is a true book of ideas, all of
them big, all important and all fascinating.
Q: Is there only a beginning of infinity?
A: Every point in an infinite progression is
“near the beginning”. Hence there are only
two possibilities: we’re either only just
scratching the surface of what we can and
will achieve, or we’re doomed. Because, as I
argue in the book, the logic of the human
situation makes staticity fatal – as witness
every static society in history.
“Sustainability”, as I argue in one of the
chapters, is unsustainable. Only rapid
progress is sustainable.
Q: How can people use the notion of infinity in
their everyday lives?
A: One of the simplest yet most startling
features of infinity is that there is no third
possibility between infinite and bounded. A
personal self-image in which one is inher-
ently bounded, or a political or economic
philosophy in which progress is inherently
bounded, or a philosophy of science in
which knowledge is inherently bounded,
all lead to self-fulfilling prophecies in
which one expects, and then encounters,
that bound sooner rather than later.
Taking the big
ideas to infinity
and beyond
Q: What drew you to thinking about the infinite
in the first place? Just physics?
A: Not just physics. I could see this theme of
unbounded improvement versus staticity
coming up in all sorts of disparate subject-
areas, and that it linked them all. But
harnessing that unbounded poten-
tial isn’t preordained; on the con-
trary, it depends on what
choices we make – in many
different fields.
Q: Would everyone benefit
from learning about physics?
A: Everyone could. But
the real benefit is the
enjoyment that comes
from understanding
things in a fundamental
way, and from the beauty
of the laws that underlie
everything. Practical bene-
fits are of course legion, but
you can get most of those –
like mobile phones and satnav
devices -- by letting someone else do
the studying.
Q: You have a chapter of an imagined conversa-
tion between the philosopher Socrates and the god
Hermes. Why are the ancient Greeks so important
today – did they see something that we didn't?
A: They are important because they were
the first to have philosophical problems in
the Enlightenment sense: problems that
permit progress to be made in solving
them; problems that lead to science and
other techniques for correcting errors and
hence removing the usual impediments to
progress. Also, the society of Athens in par-
ticular was what I call a “mini-
Enlightenment” -- a short-lived tradition of
criticism, and hence flowering of creativi-
ty, which is then snuffed out. This tragedy
has happened several times in history.
Q: What is the single most pernicious idea in cul-
ture today? What is the best?
A: The most pernicious is, perhaps, the idea
there are truths that reason (and therefore
persuasion) cannot reach. And a second
one just as bad: that there are no truths
David Deutsch, physicist, thinker and author,
talks to Zoe Strimpel about science, human
progress and the nature of infinity
30 CITYA.M. 28 APRIL 2011
If you’re keen to get in the spirit of the royal
nuptials but still haven’t decided how or
where, here’s a few places getting in the
spirt. The Narrow,Gordon Ramsay’s riverside
pub overlooking the entrance to Limehouse
Basin is holding a “BBQ and Bunting” party
from midday onwards, with a menu including
blasts from the past like trifle and jelly, plus
fake grass and a picket fence for that vintage
feel. A Bank Holiday it may be, but if you can
bear venturing into the City, shopping centre
One New Change is hosting a luxury pop-up
tea room, with live music and broadcast of
the wedding. Champagne afternoon teas will
be available from £19.50. At Marylebone’s
French/Belgian brasserie Café Luc there’s a
rather special prize to be won by customers
who order a glass of Louis Roederer cham-
pers over the whole weekend – a watch
worth over £9,000 from leading Swiss brand
Piaget. With each glass of bubbly diners will
receive a jewellery box with a barcode – take
it to Piaget’s Bond St boutique to see if you’re
a winner (second prize is a £3,2350 neck-
lace). At Brown’s hotel in Mayfair, the wed-
ding is being screened in the Donovan Bar,
while Hix at the Albemarle restaurant has a
special Royal Wedding menu for lunch. At
Richard Corrigan’s Bentley’s restaurant, the
wedding will also be screened while chef
Corrigan is putting together dishes he made
for the Queen, no less, for the TV programme
Great British Menu. Finally, leading restau-
rant Roussilon is serving a Royal Wedding
Brunch, including a glass of bubbly and
screening of the wedding, for £37.50.
Where will you be
celebrating the
Deutsch applies the
implications of
physics, including the
nature of infinity and
multiverse theory, to
human experience.
O doubt there’ll be rather a few champagne glass-
es being clinked around the country tomorrow.
One of the more predictable aspects of attending
a good wedding is the certainty of a pulsating
champagne hangover the next day, and this time that
applies to street parties, garden parties, pub gatherings
and all the other get-togethers taking place to celebrate
the royal nuptials.
But champagne’s not just good for a wedding – it’s
the perfect drink to see in warmer days and balmier
A couple of years ago the sound of corks popping in
the Square Mile was about as common as bankers being
publicly praised for their prudence and foresight, but
luckily things have moved on. In One New Change the
City now has one of the best-stocked bars dedicated to
the stuff you’ll find anywhere.
Whether it’s to toast Wills and Kate or just for the hell
of it, here are a few new ways to enjoy some fine fizz.
Champagne is the drink of
celebration and of summer,
writes Timothy Barber
31 CITYA.M. 28 APRIL 2011
The suit that every man
should wear to a wedding
Tomorrow’s royal wedding will
show the morning suit in all its
elegant glory, says Timothy Barber
AVID Cameron’s apparent change of
heart regarding the wearing of a
morning suit to the royal wedding
tomorrow may mean he won’t have
to stick out like a sore thumb – or a sorely
misadvised PM, at any rate – among all the
other appropriately-attired guests. But it’s
also an endorsement of a uniform that is
still an embodiment of British sartorial ele-
gance, one that blokes should jump at
opportunities to wear rather than reluc-
tantly sloping off to the hire shop (as Ed
Milliband has said he’ll have to do).
Kathryn Sargent, head cutter at Savile
Row’s Gieves & Hawkes – where Prince
William’s military uniform for the wed-
ding has been cut, along with many of the
outfits guests will be wearing – says the
morning suit is actually more complimen-
tary to a man’s build than a normal lounge
suit. “There’s a lot of shape in the coat and
you can really emphasise the waistline,
which is basically hidden with a normal
suit,” she explains. “A lot of people get a bit
put off by the high-cut trousers, but they
have to be high to have the waistcoat in the
right place, and it all creates a really grace-
ful line.”
In fact, high-cut trousers aren’t just
extremely elegant – just look at any picture
of Cary Grant from back in the day to work
that one out – but, being pleated and rela-
tively loose, they’re also exceedingly com-
fortable. While a high-waisted cut looks
positively eccentric with a business
suit now, attending a wedding or a
race event in a morning suit gives
you a rare opportunity to sport it.
However, such opportunities do
need to be handled with care. Avoid,
for instance, wearing a cravat, howev-
er much wedding hire shops
encourage it. Leave aside
those high wing collars as
well, along with garish
waistcoats – smartness is
about understatement,
and being suave
requires looking effort-
less. It’s the bride’s out-
fit that should be
turning heads, after all.
“You need to avoid
anything that remotely
resembles something
from Spandau Ballet,”
says Sargent, pointing out
that the look has been
adapted for modern times,
rather than being stuck in
some foppish pastiche of
the past. A normal shirt –
white, blue or with a light
check – and a smart,
unfussy tie are fine, though a little bit of
detail in the waistcoat goes a long way.
“I think double-breasted looks a little
dandier, and you can have it with
peaked lapels to match the coat,” says
Sargent. “When you have the coat
unbuttoned it still looks really dressy.”
Getting a morning suit cut does
cost a lot – at Gieves & Hawkes they
start at £5,460. But if you consider
it’ll last a lifetime of Ascots
and weddings, it’s worth it,
particularly when you bear
in mind how ill-fitting a
hired morning suit is
almost bound to look (just
check Ed Milliband
“It if doesn’t fit you
right, with the buttons
in the wrong place, coat
at the wrong length, it
can look terrible – every-
thing should marry up
and look harmonious,”
says Sargent. “When
you have one made it
emphasises the good
points and disguises
the bad, and it’s an
investment you make
for years.”
IT’S already transformed the City’s shopping options, and now One New Change
is home to one of the most impressive additions to its social life. Restaurant com-
pany Searcy’s, which also opened grand champagne bars at Westfield and
Paddington Station in the past year, has created a suave place of huge windows,
plush armchairs and a flash granite bar, and it just happens to house the most
extensive champagne list in Europe. One of its more interesting innovations is
the idea of decanting champagne – a trend that’s apparently popular in Paris
and, I’m told, can have a transformative effect on the taste and complexity of
the fizz. One New Change Champagne Bar, EC4M 9AF
CHAMPAGNE lovers with an eye for
history and very deep pockets will
be interested in Perrier-Jouet’s
Living Legacy champagne, created
to celebrate the celebrated cham-
pagne house’s 200th anniversary.
In a distinct, sculptural box
designed by US artist Daniel
Arsham comes a magnum of one of
PJ’s finest vintages, Belle Epoque
1998. At the same time, a second
magnum is stored in the company’s
cellars for up to 100 years, to be
opened by the buyer’s future off-
spring. It’s limited to just 100
pieces, to be ordered by appoint-
ment at Perrier-Jouet’s boutique in
Epernay, France, for €10,000.
AMONG all the male-centric gents clubs and clubby little hotel bars
in St James’s, the new Perrier-Jouet lounge at venerable Dukes
hotel is more than a breath of fresh air. An elegantly florid vision of
champagne greens, rosy pinks and rococo luxury, it’s a supremely
comfortable place to cocoon yourself with a glass or three of very
fine champers. As well as a full collection of PJ champagnes –
including Belle Epoque, Belle Epoque Rose and the hard-to-come-
by Belle Epoque Blanc de Blanc – there are some rather enticing
champagne cocktails and canapés. An ultra-classy, noticeably femi-
nine counterpoint to the hotel’s famous cocktail bar upstairs.
Dukes, St. James’s Place, SW1A 1NY,
HERE’S a different way to both enjoy bubbly and get a bit of a deep-
er understanding of it. The top-end champagne house
Ruinart has launched the Ruinart Interpretation giftbox
designed to lift the lid on the constituent flavours and aro-
mas of its Blanc de Blancs edition. As well as a bottle of
the champers, the giftbox contains eight vials, each con-
taining one of the principal aromas that make up its bou-
quet, like jasmine, pink peppercorn or cardamom. Identify
the aromas in the vials and see if you can pick them up in
the champagne itself – good for a dinner party. £85 from
Harrods, Harvey Nichols and Selfridges.
It’s time to uncork
a bottle of bubbly or ten
BBC 1, 9PM
Freddie’s arrest threatens his dream of
sailing away and beginning a new life
with Joan. With Nicholas Lyndhurst,
Kellie Bright and James Buckley.
A look back at the former footballer’s
career, who survived the Munich air
disaster to become an iconic figure in
the sport.
An Irish traveller couple’s ceremony of
the year, following a team of wedding
planners challenged to arrange one of
the most lavish ceremonies of its kind.
7pmLive Premier League Darts
10.30pmThe Rugby Club
11.30pmTime of Our Lives
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Day Cricket 7.30pmLive
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11.30pmWWE: Late Night – Raw
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2.30am-6amPremier League
6pmEuropean Tour Golf 8pm
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5amNRL Fulltime 5.30am-6am
Kings Of The Extreme
7pmLive Snooker: The World
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Action 11.30pmUEFA Europa
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Sportscenter Special: Bill Parcells’
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ESPN Press Pass
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1.50amGhost Whisperer 2.40am
Charmed 4.20amNothing to
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Greatest Moments 9pmTwo
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News 11pmFamily Guy 11.45pm
Don’t Tell The Bride: All New
Greatest Moments 12.45am
Russell Howard’s Good News
1.15amTwo Pints of Lager and a
Packet of Crisps 2.15am
Misbehaving Mums-to-Be 3.15am
Don’t Tell the Bride
4.15am-5.15amMeet the
7pmHollyoaks 7.30pmFriends
9pmGlory Daze 10pmThe
Inbetweeners 11.10pm
Shameless 12.10am50 Greatest
Plastic Surgery Mistakes 2.05am
My Name Is Earl 2.50amThe
Inbetweeners 3.45amUgly Betty
7pmAmerica: The Story of the
US 8pmIRT Deadliest Roads
9pmThe Kennedys 11pm
Snapped: Women Who Kill 12am
Nightmare in Suburbia 1amThe
Garden City Butcher 2am
Snapped: Women Who Kill 3am
America: The Story of the US
4amThe Universe 5am-6amIce
Road Truckers
8pmWheeler Dealers 9pmFlying
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Catch 12amBear Grylls: Born
Survivor 1amDeadliest Catch
2amFuture Weapons 3amHitler:
A Profile 3.50amWorld War
Two: The Complete History 4am
Treasure Quest 5.30am-6am
Destroyed in Seconds
7pmA Baby Story 8pm18 Kids
and Counting 9pmI Didn’t Know
I Was Pregnant 10pmI’m
Pregnant and Anorexic 10.30pm
I’m Pregnant and Bi-Polar 11pm
A&E 12amI Didn’t Know I Was
Pregnant 1amI’m Pregnant and
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and Bi-Polar 2amA&E 3am10
Years Younger 4amDeliver Me
5am-6amA Baby Story
8pmHawaii Five-0. McGarrett’s
sister is abducted. 9pmMartina
Cole’s The Runaway 10pmHouse
11pmNCIS: Los Angeles 12am
Prince William’s Africa 1amRoss
Kemp on Gangs 1.50amUK
Border Force 2.40amCold Case
3.30amA Town Called Eureka
4.20amSo You Think You’re
Safe? 5.10am-6amDon’t Forget
the Lyrics US
6pmBBC News
6.30pmBBC London News
6.55pmParty Election
7pmThe One Show
7.30pmEastEnders: BBC News
9pmCHOICE Rock & Chips
10pmBBC News
10.25pmRegional News 10.35pm
Kate and William: A Royal Love
Story 11.15pmThis Week: Holiday
Weatherview12.05amSign Zone:
Too Fast to Be a Woman? The Story
of Caster Semenya 12.55amSign
Zone: Countryfile 1.55amSign
Zone: Antiques Roadshow
2.55am-6amBBC News
6.30pmGreat British Menu
7pmLive Snooker: The World
Championship: The second
semi-final gets under way at
the Crucible Theatre in
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Charlton: Football Icon
10pmNever Mind the
10.30pmNewsnight: Weather
11.20pmSnooker: The World
12.10amBBC News
2.55amClose 4am-6amBBC
Learning Zone
6pmLondon Tonight
6.25pmParty Election
6.30pmITV News
7.30pmWilliam and Kate: In
Their Own Words
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Coronation Street 9pmLong Lost
Family 10pmITV News at Ten
10.30pmLondon News 10.35pm
Piers Morgan’s Life Stories: Patsy
Palmer 11.35pmCaroline Quentin:
A Passage Through India 12.30am
The Zone. 2.35amNightwatch with
Steve Scott: Crime 3.25amITV
Nightscreen 4.35am-5.30am
Jeremy Kyle: Morning Surgery
6pmThe Simpsons
7pmChannel 4 News
8pmThree in a Bed
9pmCHOICE My Big Fat Royal
Gypsy Wedding
10pm10 O’Clock Live
11.05pmThe Royal Wedding
11.40pmThe Ricky Gervais Show
12.10amMusic on 4: JD Set: Dublin
2008. 2.35amUnreported World
3amThe Men Who Jump Off
Buildings 3.55amUgly Betty
4.35amHill Street Blues
6pmHome and Away
6.25pmOK! TV
7pm5 News at 7
7.25pmHow Do They Do It?
7.55pmLive UEFA Europa
League Football: FC Porto v
Villarreal (Kick-off 8.05pm).
10pmFILMIn Hell: Action
adventure, with Jean-Claude
Van Damme. 2003.
12.05amSuperCasino: Live
interactive gaming.
4.05amMeals in Moments 4.15am
Brian Sewell’s Grand Tour 4.55am
Animal Rescue Squad 5.10am
Wildlife SOS 5.35am-6amHouse
1 2 3 4 5 6
7 8 9
10 11
12 13 14
15 16
17 18 19
20 21 22
23 24
25 26
16 15 20
19 11
11 8 13
7 35
10 9
15 16
12 21 4
6 29
23 7 12
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.
Copyright Puzzle Press Ltd,
Using only the letters in the Wordwheel, you have
ten minutes to find 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.
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.
1 Five-stringed
instrument (5)
4 Cooked in an oven (5)
7 Mimi ___; Tom
Cruise’s first wife (6)
9 Factual (4)
10 Pinnacle (4)
12 Hoop that covers
a wheel (4)
13 Steed (5)
15 Steal from a person (3)
17 Part of a collar (5)
19 Exchange for money (4)
21 Biblical first man (4)
23 Bicycle accessory (4)
24 Duty list (6)
25 Brings up (5)
26 Loose-fitting
garment (5)
1 Censure severely
or angrily (6)
2 African country,
capital Abuja (7)
3 Vegetable known as
lady’s fingers (4)
5 Later than (5)
6 Sketched (4)
8 Learned person (7)
11 Disorderly crowd
of people (3)
14 Add sugar to (7)
15 Scarlet (3)
16 Priest or religious
leader (6)
18 Writing material (5)
20 Goad (4)
22 Debatable (4)


8 7 2 9 1 4 2
6 3 1 2 4 5 9 1
9 5 5 9 3 7 8 6
5 2 4 5 8 6 9
7 4 9 3 1 2
1 5 7 8 2 9 6
1 6 2 4 2 7
5 8 7 9 3 1 6
4 7 6 8 3 9 7 9
1 6 3 1 2 5 3 4
2 9 8 1 7 4 8
The nine-letter words were
Lifestyle | TV&Games
CITYA.M. 28 APRIL 2011 32
Chelsea have won their last five home
league games and have also won eight of
their last nine at Stamford Bridge against
top-six sides with seven wins-to-nil and five
by at least two goals.
They have a bad record at White Hart
Lane but they have bossed recent encoun-
ters at the Bridge against Spurs, winning
four of the last five in the league.
Harry Redknapp’s side have a terrible
record away to the Big Four, trailing at
the break in six of their last eight and losing
by two or more goals in seven of those
They did well to salvage a point from
their game against Arsenal recently, but it
was a major disappointment to only draw at
home against West Brom at the weekend.
We’re not going to get rich backing Chelsea
at 1/2 with Victor Chandler, but the 23/20 on
offer with William Hill for the HT / FT dou-
ble result appeals.
Fernando Torres finally got the monkey
off his back against West Ham and that will
have done him the world of good. He’s 9/2
with Paddy Power to score the first goal in
this and that is worth taking.
I can actually see Chelsea going to town in
this game – they have scored three goals in
each of their last three matches – so a buy of
their supremacy at 1.3 with Sporting Index
looks the right call.
CARLO Ancelotti must be very frustrated
that his Chelsea side are finding their
form slightly too late. They have won
their last four league games and are now
just six points behind United. A win
against local rivals Tottenham on
Saturday would put pressure on United
ahead of their game at the Emirates on
Sunday and these two then meet at Old
Trafford the following weekend.
Chelsea HT / Chelsea FT at 23/20 with William Hill
Fernando Torres first goalscorer at 9/2 with Paddy Power
Buy Chelsea supremacy at 1.3 with Sporting Index
esting if the points gap had been narrower,
but United will have taken great confidence
from their win over Schalke and they are the
value bet at 15/8 on Betdaq. They have won six
of the last seven meetings against the
Gunners, including two 3-1 victories in their
last two visits to the Emirates. It’s true that
United have been poor on the road this sea-
son, winning just five of their 17 games, but
this is the time of the campaign when they
traditionally excel. analysis reveals an interest-
ing trend that points to these sides going in
level at the break. Arsenal have drawn the
first half of nine of their 17 home games,
while United have also been level at the inter-
val in nine of their 17 away matches. The HT
draw/ FT United double result can be backed
at 6/1 on Betdaq and that looks a very decent
Spread bettors are advised to buy total
goals at 2.8 with Sporting Index. The last five
meetings between these two at the Emirates
have produced a minimum of three strikes
and Arsenal’s defence has looked increasingly
shaky of late.
THINGS were starting to go a little pear-
shaped for Manchester United with their
defeat to local rivals Manchester City in
the FA Cup followed by a goalless draw at
Newcastle. However, Javier Hernandez
once again proved what an outstanding
signing he has been for the club with a
vital late winner against Everton at Old
Trafford last weekend.
Sir Alex Ferguson’s side then travelled
to Germany on Tuesday and quite simply
demolished Schalke in the Champions
League semi-final. They could have won by
four or five goals, but the tie is surely over
now and they can start looking forward to
another trip to Wembley in May.
Arsenal have blown their title chances
over the past few weeks and although it is
still mathematically possible for them to
win the league, they have won just one of
their last seven. The turning point was
surely the late penalty against Liverpool
and they then threw away a two-goal lead
against Tottenham before losing at Bolton
last Sunday.
Arsene Wenger will be desperate for his
young troops to show some character and
end the season in style, but they looked
absolutely deflated at the Reebok. Their
record at home hasn’t been great this sea-
son, either, and they have drawn their last
three against Liverpool, Blackburn and
This game would have been very inter-
Manchester United to win at 15/8 on Betdaq
Draw HT / Manchester United FT at 6/1 on Betdaq
Buy total match goals at 2.8 with Sporting Index
Ji-Sung Park scored the winning goal against Arsenal earlier in the season Picture: ACTION IMAGES
United have too much
power for the Gunners
ALL eyes will be on the Henry Cecil-trained
Frankel in Saturday’s Qipco 2,000 Guineas as
he bids to maintain his unbeaten record.
However, he makes absolutely no betting
appeal at 1/2 with Victor Chandler. Yes, I
think he’ll probably win, and therefore won’t
be laying him on Betdaq, but he is by no
means home and hosed. He hasn’t faced a
field of more than six runners since his
debut and the hype reminds me of the sta-
ble’s Tenby who was beaten at odds-on in the
Derby back in 1993.
The obvious danger is Jessica Harrington’s
PATHFORK who also brings an unbeaten
record to the Rowley Mile. I like the look of
the 9/4 on offer about him without Frankel.
The only other one who looks overpriced to
me is the Godolphin-trained CASAMENTO,
who was an impressive winner of the Racing
Post Trophy last season. He doesn’t seem to
lack speed and with Mahmood Al Zarooni
starting the campaign well, I’m prepared to
take a chance on him each-way at 16/1 with
Paddy Power and also at 7/1 without the
The 1,000 Guineas looks wide open and I
just prefer race-fit French raider MOONLIGHT
CLOUD at 9/2. Freddie Head’s filly will appreci-
ate the decent ground and can see off Sir
Michael Stoute’s Havant who needs the heav-
ens to open.
If there is a value bet in the race, then look
no further than NOVA HAWK who also makes
the journey over from France. She has no
stamina doubts, has had a prep run and is
worth backing at around 25/1 each-way.
PATHFORK (w/o favourite) 3.10pm Newmarket (Saturday)
CASAMENTO e/w 3.10pm Newmarket (Saturday)
MOONLIGHT CLOUD 3.15pm Newmarket (Sunday)
NOVA HAWK e/w 3.15pm Newmarket (Sunday)
34 CITYA.M. 28 APRIL 2011
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BARCELONA have one foot in next
month’s Champions League final at
Wembley after Lionel Messi’s outra-
geous late brace secured a first leg
semi-final victory at the Bernabeu
against 10-man Real Madrid.
In an ugly match, marred by a half-
time brawl which saw Barcelona’s
reserve goalkeeper Jose Manuel Pinto
sent-off, Messi proved the difference
with a poachers flick at the near post
and a wonderful individual effort.
Real manager Jose Mourinho
employed typically conservative tac-
tics in a bid to stifle Barca’s attacking
threat and his plan appeared to be
working until Dani Alves made the
most of Pepe’s clumsy, but far from
malicious, 61st minute lunge which
referee Wolfgang Stark deemed wor-
thy of a red card.
Mourinho was sent to the stands
for his sarcastic response to the deci-
sion and his misery was compounded
just 15 minutes later when substitute
Ibrahim Affelay darted past Marcelo
and his cross was stabbed home by
Messi for his 51st goal of a quite aston-
ishing season. Goal no52 arrived three
minutes from time when Sergio
Busquets allowed Messi to take the
ball off his toes and the Argentina
foward accelerated away from Lassana
Diarra, skated past three more
defenders and rolled the ball beyond
Iker Casillas with his weaker right
“Another miracle with 10 men was-
n’t possible,” said an angry Mourinho,
whose side were overwhelmed 5-0 on
their previous visit to Camp Nou this
“Yes, I think we are eliminated. We
will go with everything and to get a
result but I can’t see it.
“We will be without Pepe and
(Sergio) Ramos who didn’t do any-
thing and neither did I. I just want to
know why? Why did Pepe get sent off?
I just want someone to explain. Why
did it happen?
“If I say what I think my career ends
today. I’m disgusted at the world we
live in.”
Barcelona manager Pep Guardiola,
who gave an extraordinary pre-match
press conference littered with exple-
tives, refused to be drawn on
Mourinho’s comments, but defender
Gerard Pique claimed Real got what
they deserved.
He said: [Madrid] play at the limit of
violence. If you play with fire, you can
end up burning yourself. It’s always
the same, they didn’t want to play
football at their own stadium.”
Messi rises above the theatrics to crush Madrid’s dream

London 2012 organisers thrilled as more than half of the
650 sessions are oversubscribed after first round of sales
ty of applications are for multiple
tickets and for several sports, which
shows that friends and family are
planning to go to the games togeth-
Locog are yet to reveal which
sports were less popular with the
general public but it is thought that
events such as football, with multi-
ple sessions, hosted at larger venues,
are likely to have space available
when it comes to the next round of
sales later in the year.
Locog were forced to extend the
deadline for an hour yesterday morn-
ing after the site slowed to a halt
under the weight of traffic following
a last-minute surge for tickets but
organisers maintained all those who
kept trying were eventually able to
process their orders.
LONDON 2012 organisers declared
they were “thrilled” after revealing
that the first phase of sales generat-
ed applications for more than 20 mil-
lion tickets.
The London organising commit-
tee (Locog) said 1.8m people had sub-
mitted applications for the 6.6m
tickets available to the public.
The opening ceremony, where the
most expensive ticket was priced at
£2,012 and the cheapest cost £20.12,
was the most popular event and was
more than 10 times oversubscribed.
As expected, sports such as cycling
in which Team GB are certain to be
in with a chance of gold medals,
were amongst the most coveted tick-
ets, but less mainstream events such
as rhythmic gymnastics, triathlon
and the equestrian cross country
were among the first to sell out.
Lord Coe, the chairman of Locog,
said: “We are thrilled with the
response right across the board, in
all sports and all sessions. What is
most encouraging is that the majori-
Messi scored his 51st and 52nd goals of the
season Picture: GETTY

201 2
Locog will hold a sale for any unsold
event sessions, but that is likely to
take place much later this year and the
details are yet to be formulated. It should
also be noted that tickets for the
Paralympics go on sale on 9 September.
Selling tickets you receive that are
surplus to requirements is permit-
ted but only at face value via the Locog
website – although the exchange system
is not yet up and running. Selling tickets
on to family members won’t be prohibited
as long as there is no intention to make a
The latest date at which you will be
notified as to which events you have
been successful in getting tickets for is 24
June, although your account may be deb-
ited as early as May 10. Organisers claim
they are trying to keep the payment and
notifications dates close as possible.
The ballot system means if you’ve
bought a ticket you’re in with a
chance, albeit a slender one, of winning
the raffle.
35 CITYA.M. 28 APRIL 2011
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Fulham move closer to safety
FOOTBALL: Fulham guaranteed their
Premier League status for next season
with a comfortable 3-0 home win over
Bolton last night. A brace from Clint
Dempsey and a Brede Hangeland header
ensured the Cottagers moved eight
points clear of the relegation zone with
four games remaining.
Higgins knocks out O’Sullivan
SNOOKER: John Higgins overcame
Ronnie O'Sullivan 13-10 in the World
Championship quarter-finals to book a
semi-final with Mark Williams.
O’Sullivan had led 7-4 at one stage, but a
typically battling performance from the
Scot saw him win the final session 5-2
have levelled the match at 8-8 in the
afternoon. Elsewhere, Ding Junhui beat
the heavily backed Mark Selby 13-10
after a tense final session to set up a
semi-final spot against England preco-
cious talent, Judd Trump.
FORMER Manchester United goal-
keeper Peter Schmeichel believes his
old manager Sir Alex Ferguson must
do everything within his power to
ensure Schalke’s Manuel Neuer
moves to Old Trafford in the summer.
United’s veteran stopper Edwin van
der Sar is set to retire at the end of the
season and Schmeichel is confident
the Germany international is the
man to replace the Dutchman
between the posts.
Neuer was outstanding in his side’s
Champions League semi-final defeat
against United on Tuesday but is
thought to be close to finalising a
move to Bayern Munich.
Schmeichel the goalkeeper in
United’s Treble-winning season of
1999, said: “He (Neuer) is probably the
best goalkeeper in the world. He is 25
years of age and is very mature in the
way he plays.
“He’s going to Old Trafford on
Tuesday and it’s just such a special
place to play. If Sir Alex Ferguson
comes over to you and says, ‘Listen, I
want you to play for my team’, it’s
very difficult not to say ‘yes’.”
Schmeichel: United must
go all out to sign Neuer
WORLD CUP winners India have
appointed former England
coach Duncan Fletcher as the
successor to Gary Kirsten on
a two-year contract.
Fletcher, who master-
minded England’s first
Ashes series win for 18
years back in 2005, will
return to these shores
this summer with the
touring Indian side.
Current England coach
Andy Flower had been the
Indian board’s primary choice,
but Fletcher’s fellow
Zimbabwean is settled in
England and is understood to
be ready to sign a new con-
tract with the England and
Wales Cricket Board.
Michael Vaughan,
who worked splendid-
ly in tandem with
Fletcher during his
time as England cap-
tain, said: “Duncan
will work well with
all the talent. His
biggest challenge will
come from the
media. He has
never really
understood how it works.”
Fletcher will return to England
this summer but as India’s coach

ARLEQUINS are previous winners
of this competition but if they
are going to match their 2004
success then they are going to
have to do it the hard way.
Beating Munster on their own turf
is something only the mighty
Leicester have achieved in European
competition and that was by the skin
of their teeth.
Saturday’s clash could represent a
coming of age for a number of Quins
younger players, but they’ll need the
nous and experience of seasoned
campaigners such as Nick Easter and
Nick Evans if they ar to prevail.
Unfortunately, I don’t think they’ll
have quite enough in the locker to
outwit the likes of Ronan O’Gara,
whose game management skills
remain second to none at this level.
Quins prepared for ultimate test
Both fly-halves rate well in the Amlin
Opta Index. There is very little to
choose between the two in the kicking
department, but having missed just
two of 20 attempted tackles, Evans is
the more reliable of the pair in
defensive situations.
To view the full Amlin Opta Index results ahead of this week’s action, head to the news section on
and for more information on the Amlin Opta Index, please go to the statistics section, also on
Evans of Harlequins
O’Gara of Munster
Pascal Pape has been
Stade’s most prolific
weapon in the lineout
having claimed 17 throws
and made one steal. In
open play Julien Pierre,
has made 48 carries for
a gain of 93 metres, how-
ever he is yet to make a
clean break or beat any
defenders. The Clermont
player has however made
seven offloads which is a
key asset in his attacking
This is an incredibly
strong semi-final between
the Galacticos of Stade
and the holders. Stade
will see this as a last
chance to qualify for next
year’s Heineken Cup and
might be the fresher.
Clermont Auvergne won
the recent league meeting
in a close encounter and I
think they may well sneak
this one, too.
Fly-half Jonathan Sexton
has been the top per-
forming back in
European rugby this sea-
son, according to the
Amlin Opta Index. He
has slotted 14 conver-
sions and 15 penalties so
far as well as crossing
for three tries. Opposite
number David Skrela is
far more likely to kick
from hand than pass
according to the stats.
This is a mouthwatering tie
between two real heavy-
weights of the European
game. There is very little
between the sides in terms
of their abilities but I’m con-
fident home advantage for
the Irish side is going to be
a big factor; French sides
just don’t seem to travel
well. Talisman Brian
O’Driscoll may have lost
some of his pace but he’s a
wiley character and his
presence, along with that of
Jamie Heaslip will be vital.
Ben Foden is the Saints’
most potent attacking
weapon in the tourna-
ment. The full-back has
made 423 metres with
the ball in hand, only
three players from any
club have made more
than this. Julien
Candelon is Perpignan’s
biggest threat – he’s the
only player in Europe this
season to make over 600
metres with ball in hand.
Northampton have picked
up the pace again after los-
ing their England players
Tom Wood, Ben Foden and
Dylan Hartley for the dura-
tion of the Six Nations and
are a really powerful unit
when they’ve got a full side
out It’s a risk moving their
game from their home
ground to the Stadium MK
but one that I think will pay
off. Perpignan are a hit and
miss side, aren’t in the best
form and are likely to come
off second best.

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