BUSINESS WITH PERSONALITY
ANDREW SENTANCE FUELS SIRDYSON
Issue 1,325 Friday 18 February 2011
CITY: NO JUSTICE
IN FSA REFORMS
REGULATION
▲
BY RICHARD PARTINGTON & JULIET SAMUEL
TOUGH new powers planned for
Britain’s new financial watchdog pro-
voked angry exchanges yesterday in
the City, with some lawyers calling
the measures an affront to natural
justice.
Lawyers and firms have warned
that the City’s new regulatory regime
is being given powers that could
reverse the ‘innocent until proven
guilty’ rule of law.
Under proposals unveiled by the
Treasury yesterday, the Financial
Conduct Authority (FCA) – the new
body being set up to protect con-
sumers – will be able to inform
investors of a pending enforcement
before a firm has been able to mount
a response.
Headed by Hong Kong regulator
Martin Wheatley, the FCA will also
hold the power to ban retail products
before the conclusion of a probe.
Shocked City firms yesterday raised
fears that the powers could have
severe repercussions for businesses
outed under the measure, even if
they are absolved of any wrongdoing.
Founder of brokerage Hargreaves
Lansdown Peter Hargreaves said: “If
they said it about me, it would ruin
my business. Shareholders would lose
money and investors would leave.
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ROW OVER INFLATION ONBRITS
HOW TO MAKE
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BRITAIN’S RATE RISE BATTLE P3 ENTERPRISING P21
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BATS close
to tie-up
with Chi-X
▲
FINANCIAL MARKETS
BY ALISON LOCK
A THIRD stock market merger
between BATS Global Markets, the
third-largest US exchange, and Chi-X
“If they’re going to name and on regulatory responsibility. Europe, a major European platform, is
shame they need to be pretty l Angry The move comes ahead of the cre- due to complete today.
sure they’re doing the right founder of ation of the Prudential Regulation Sources told City A.M. the deal was
thing.” City broker Authority, an independent subsidiary “very close” to completion and an
City law firm Reynolds Hargreaves of the Bank that will be headed up by announcement should be made today,
Porter Chamberlain attacked Lansdown, Sants with Bank of England executive ending weeks of talks.
the plans as “contrary to princi- Peter Andrew Bailey as his right-hand man. The deal is likely to have been
ples of natural justice.” Hargreaves. The length and complexity of the spurred on by a week-long frenzy of
Regulatory partner Steven process could also put Britain at a dis- stock market mergers in which the
Francis said: “By pre-emptively advantage internationally. London Stock Exchange and Toronto
informing a firm’s Lord Mayor of London Michael Metals Exchange agreed to combine
clients of its investiga- Bear said: “What’s unfortunate is the and Deutsche Boerse and NYSE
tion the new regula- timing of the restructuring in reg- Euronext confirmed their tie-up.
tor could do serious ulation. The battle is going on [in Chi-X is Europe’s biggest multilater-
damage to the Europe] – the last thing we want al trading platform with about 18 per
firm’s reputation to do is to have to go back to ask cent market share, while BATS in
and business. The how to fight the battle. It’s Europe has about seven per cent, giv-
mere fact of an unfortunate we don’t have a ing their combined group a bigger
investigation sim- strong regulator in place now, presence than the LSE on 24 per cent.
ply should not be fighting tooth and nail for us. But a merged NYSE Euronext and
publicised until It’s the wrong time to be Deutsche Boerse group would control
there has been an restructuring. There’s a about 28 per cent of the market.
evidence-based degree of uncertainty where BATS and Chi-X Europe compete
determination.” what we want is certainty.” with national stock exchanges on
Changes to Partner at DLA Piper equity trades and need scale and mar-
the way Michael McKee also warned ket share to remain profitable.
Britain’s finan- it could hit the economy. Launched in 2007, Chi-X Europe is
cial services are He said: “financial institu- owned by a Nomura subsidiary and 13
controlled will tions often get pilloried and banks including Citigroup, Morgan
begin as early this will just increase that Stanley and Credit Suisse. Kansas-
as April, as sense of ‘why would you give based BATS was founded in 2005 and
staff from the any money to finance’, is also privately owned.
Bank of which isn’t, in the long term, Chi-X Europe has been up for sale
England move in the interest of the country since mid-2010 and has hired Lexicon
to the FSA to or the economy.” Partners to advise it. Chi-X Europe and
gradually take MORE ON REFORM: P4 BATS both declined to comment.
NASDAQ ▲ 2,831.58 +6.02 £/$ ▲ 1.62 +0.01 £/¤ 1.19 unc ¤/$ 1.36 unc Certified Distribution
03/01/11 till 30/01/11 is 97,465
 2 News
States no longer monopolise citizens
EDITOR’S LETTER
ALLISTER HEATH
In a modern, global and open world,
states have to compete for people.
Weirdly, that is something that a large
number of commentators have failed
to recognise; they continue to argue as
if Britain remained stuck in a pre-glob-
alised world. They assume implicitly
that governments remain quasi-
monopolies, as was the case through-
out most of human history, with
citizens mere subjects forced to put up
with poor public services, high taxes,
crime, misgovernment and a poor
quality of life. Yet the reality is that
there is now more competition than
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WHAT THE OTHER PAPERS SAY THIS MORNING
BALLS WARNS KING ON BANK
CREDIBILITY
Ed Balls, shadow chancellor, has crit-
icised Mervyn King, Bank of England
governor, saying he should step out
of the political arena and stop tying
his credibility to the coalition’s
“extreme” deficit-reduction plans. In
an interview with the Financial
Times, Balls drew comparisons
between King’s stance and the back-
ing lent by the Bank of England to
the Treasury’s fiscal hawks during
the Great Depression.
BRUSSELS ATTACKS RULES ON TAX
AVOIDANCE
Revenue & Customs’ main weapon
for stopping offshore tax avoidance
is under attack from Brussels, which
says rules that stop investors moving
their wealth abroad impinge on fun-
damental principles of the single
market. The challenge is the latest
ever between governments for human
capital, with people – especially the
highly skilled and the successful –
more footloose and mobile than ever
before. This is true both within the EU,
where freedom of movement reins,
and globally. Even the coalition, which
is tightening restrictions on non-EU
migrants, has made it easier for com-
panies to move foreign nationals to the
UK if they earn £150,000 a year.
As long at it remains within a liber-
al, free-trade framework, competition
between governments is as good for
individuals as competition between
firms is for consumers. It keeps down
tax rates, especially on labour and cap-
ital, which is good for growth and job
creation; states need to produce better
services at the cheapest possible cost.
And if governments become too irritat-
ing or incompetent, it allows an exit
strategy. It is strange how pundits who
claim to want greater competition in
the domestic economy – for example,
in banking – are so afraid of competi-
tion for people between states, decry-
Lawyers win
big on Madoff
FRAUD
▲
BY KATIE HOPE
LAWYERS are reaping millions in fees
from the financial devastation
caused in the collapse of Bernard
Madoff’s $50bn (£31bn) Ponzi scheme
which paid investors purported
returns from funds deposited by new
investors.
The Securities Investor Protection
Corp (SIPC), an industry-sponsored
organisation that provides financial
protection to investors, said yesterday
it has paid more than $290m to law
firms and consultants since Madoff’s
scheme fell apart in 2008. This is in
addition to the $790m the SIPC is pay-
ing to victims of Madoff’s fraud.
The lawyers and consultants are
tasked with tracking down Madoff’s
stolen assets so they can be distrib-
uted back to the victims of his scam.
high-profile dispute over the ability
of taxpayers to take advantage of low
tax rates in other parts of the
European Union.
US DOUBTS OVER INDIA JET FIGHTER
PARTNER
The US government has expressed
doubt about the suitability of corpo-
rate partnership with an Indian state
aerospace company as Boeing and
Lockheed Martin bid to supply New
Delhi with 126 strike fighters. The
US is pitching for what is one of the
world’s largest military contracts,
worth $11bn
SCIENTISTS PROJECT HUMANS INTO
AVATARS
Swiss scientists have projected volun-
teers into the body of an avatar or
virtual human, taking virtual reality
to a new level.
Scientists at the Ecole Polytechnique
Fédérale de Lausanne (EPFL) even
made men feel like women and
women like men.
ing it as a race to the bottom. Yet
monopolies are always bad, in every
sphere of human endeavour, breeding
complacency, curtailing innovation
and throttling progress.
Contrary to what has repeatedly
been claimed by the monopolists, the
City is losing out to other jurisdictions
in the race for people. Even though
there is very little office space, housing
or vacancies in schools in Switzerland
– the Swiss are reluctant to expand –
there has been a relatively large influx
of London financiers to that country,
especially from hedge funds and ener-
gy and commodity trading firms. It is
the wealthiest, most senior individuals
who are leaving. Figures from the
Swiss Federal Migration Office tracked
down by Channel Four reveal 383 UK
citizens working in banking and finan-
cial services moved to Switzerland in
2010, up 28 per cent on the previous
year. Taking the overall banking, insur-
ance and consulting sectors, including
IT, 1,379 Britons were given permission
to work long-term in Switzerland in
This includes fees of nearly $128m
for Baker & Hostetler, the law firm
that is spearheading the recovery of
stolen property. The firm’s Irving
Picard, appointed as trustee by the
federal bankruptcy court overseeing
the case, is being paid an additional
$3.2m. SIPC said it has paid another
$10m to additional law firms
“around the world.” In addition, the
organisation has paid nearly $150m
to consultants, including $84m to FTI
Consulting, $48m to AlixPartners,
$2.5m to Renaissance Associates and
about $10m to others.
Lawyers tasked with
tracking down
Madoff’s stolen assets
are receiving millions
in fees
CABLE IS FAILING UK BUSINESS, SAY
MPS
Vince Cable’s Business Department
has been accused of indulging in
empty rhetoric and failing to produce
a coherent strategy for growth in a
withering assessment of the past
nine months. MPs on the Commons
Business, Enterprise and Skills com-
mittee will say in a report published
today that the Department is letting
down British companies, particularly
in failing to break the bank-lending
impasse.
HEINEKEN HOLDS LINE ON PRICES AS
SALES SLIDE
Britain’s biggest brewer suffered a sharp
fall in sales volumes last year as it sought
to hold the line on pricing with two of
the country’s most powerful supermar-
ket chains. Heineken, has been the mar-
ket leader since its takeover of Scottish &
Newcastle in 2008.
2010, up 29 per cent. This compares to
a rise of 14 per cent for non-UK citi-
zens, though a chunk of the latter will
also have moved from London.
The Swiss Funds Association esti-
mates that 20-25 UK hedge funds have
set up offices in Switzerland over the
past year alone. Switzerland has also
witnessed an inflow of Russian oil
traders, including Rosneft and
Bashneft; several other teams have
recently left London for Geneva or
Zurich. TNK-BP is opening a trading
arm in Geneva; it will be based a short
walk away from the third, fourth and
fifth largest trading firms in the world.
This is a blow for London, which for
the first time since the late 1980s is los-
ing its lead in the trading of physical
crude and oil products.
Globalisation is not just about buy-
ing cheap Chinese goods: it also limits
the state’s powers to over-tax or over-
control its citizens. Britain needs to
wake up to this new reality, and fast.
allister.heath@cityam.com
Follow me on Twitter: @allisterheath
Greencore CEO Patrick Coveney is not giving up the fight for Northern Foods
Greencore seeks bid partner
M&A
▲
BY MARION DAKERS
GREENCORE has leapt back into the
Northern Foods fight, after meeting
with the Northern board to warn
them of a further bid backed by pri-
vate equity, people familiar with the
situation said yesterday.
Greencore has kept the identity of
its potential private equity partner
close to its chest, refusing to tell even
the Northern board its name, sources
told City A.M.
PRESIDENT BARACK OBAMA TO MAKE
STATE VISIT TO BRITAIN
US President Barack Obama is to
make a state visit to the UK in May
after accepting an invitation from the
Queen, Buckingham Palace has
announced. Mr Obama will be joined
by his wife Michelle for the three-day
trip, which comes ahead of the G8
summit of world leaders in France
which the American politician is
expected to attend.
WAR ON THOUSANDS OF LOCAL
BOROUGH COUNCIL ‘NON-JOBS’
Almost three million people are
employed by local borough councils
after an “explosion” in “crazy non-
jobs”, the coalition has claimed. Local
authorities have taken on an extra
180,000 workers since 1997, with the
total number not employed in tradi-
tional front-line roles now standing at
almost 750,000.
CITYA.M. 18 FEBRUARY 2011
NEWS | IN BRIEF
BP spill could have been avoided
BP had workers on the doomed
Deepwater Horizon rig who could have
prevented the missteps that led to the
massive Gulf of Mexico oil spill, but they
were not consulted, the White House oil
spill commission said yesterday. In an
expanded report on the causes of the BP
drilling disaster that killed 11 workers
and ravaged the US Gulf coast last sum-
mer, the commission released new
details about the events that preceded
the BP accident. The commission’s inves-
tigators said BP workers failed to ask a
knowledgeable company engineer who
was visiting the rig about unexpected
results from a critical negative pressure
test on the rig.
Landis+Gyr hires CS and Lazard
Swiss smart meter company Landis+Gyr
has hired Credit Suisse and Lazard Ltd to
advise on a sale of the company, people
familiar with the matter said yesterday.
Landis+Gyr, which could be worth well
over $1bn, is expected to draw interest
from multi-industry conglomerates such
as General Electric, Danaher, Johnson
Controls and Honeywell International, as
well as industrial groups based in Europe.
Industry insiders had written off a
further bid from Greencore, following
tycoon Ranjit Boparan’s £342m all-
cash offer for Northern last month.
Greencore appointed former
Cadbury executive Andy Williams as
its finance director this week, fuelling
speculation that it was ready to walk
away as its earlier merger plans had
placed Northern’s Simon Herrick in
the chief financial officer job.
“[Greencore]is trying to find a cre-
ative way to consummate a deal,”
another source said yesterday.
BANKS FIND LOOPHOLE ON CAPITAL
RULE
Some foreign banks are moving to
restructure their US operations to
avoid one of the most-burdensome
requirements of the new Dodd-Frank
law. In November, Barclays quietly
changed the legal classification of the
UK bank’s main subsidiary in the US
so that the unit would no longer be
subject to federal bank-capital
requirements. Several other banks
based outside the US are considering
similar moves.
LIBYA PROTEST FATALITIES PRESSURE
GADHAFI
Local media and human-rights
groups monitoring Libya reported at
least four protesters killed in recent
clashes with security forces and
regime supporters, as Colonel
Moammar Gadhafi mobilized large
pro-government demonstrations.
CITYA.M. 18 FEBRUARY 2011
Sentance hits
out at Bank
over inflation
▲
UK ECONOMY
BY JULIAN HARRIS
PRIOR warnings over spiralling infla-
tion are “being borne out by events,”
according to Bank of England rate set-
ter Andrew Sentance, who yesterday
accused his Bank colleagues of serious-
ly understating the threat of rising
prices.
Sentance’s fiercely hawkish words
preceded a rise in sterling, also aided
by a positive business survey for the
UK’s thriving manufacturing sector.
During the day sterling traded with
gains of around 0.5 per cent versus the
dollar at $1.617.
In an outspoken attack, Sentance
said: “I argued that delaying policy
action in the second half of last year
would mean bigger and sharper inter-
est rate rises might eventually be need-
ed to control inflation. I am afraid that
this warning is being borne out by
events.”
“He is really stepping up the pres-
sure for the Bank of England to act
now by coming out with all his anti-
inflation guns blazing,” commented
Howard Archer of IHS Global Insight.
Sentance’s comments came the day
after a surprisingly and defiantly
dovish launch of the Bank’s latest
inflation report by Mervyn King, who
had insisted that a rate rise “may be
many quarters” away.
But the Bank’s latest inflation
report, published this week, “is too
optimistic,” Sentance responded, yes-
terday. “The forecast published a year
ago suggested that inflation would be
around one per cent in the first half of
this year, whereas it has already hit
four per cent and is set to move high-
er,” he said.
And a devalued pound is stoking the
impact of global inflationary pres-
sures on the UK, Sentance said.
Nudging up rates might bring about a
“modest appreciation of sterling,” pro-
tecting Britain from price pressures
from abroad.
“The value of the pound needs to be
one of the key areas of focus for the
MPC,” Sentance said.
ECONOMICS: P15
Protesters in Bahrain are demanding the president give up power
Bahrain chaos sends oil up
▲
MIDDLE EAST
BY JULIET SAMUEL
FOUR people have been killed in
Bahrain and 230 injured as the mili-
tary took control of the kingdom’s
capital, Manama, in a violent crack-
down on widespread unrest.
The chaos sent the price of Brent
crude oil to a 28-month high of $104 a
barrel yesterday, while gold also ral-
lied.
Following Egyptian protesters’ suc-
cessful removal of President Hosni
Mubarak, protesters in Bahrain are
demanding that President Ali
Abdullah Saleh, a US-supported Sunni,
Picture: GETTY
give up power in the Shia-majority
state. They are venting fury over Sunni
dominance of government positions
and grinding poverty among the
island’s Shia population.
While some Western observers said
that the protests are a blow to those
who argue that Islam and democracy
are incompatible, others are con-
cerned that the spread of disorder
could help a power-grab by radical
Islamists.
The sectarian nature of Bahrain’s
unrest could strike a chord in Saudi
Arabia, the world’s biggest oil
exporter.
News 3
UK bankers flee
to Switzerland
to avoid taxes
▲
BANKING
BY KATIE HOPE
BRITISH bankers migrating to
Switzerland surged by almost a third
last year, as its low personal and busi-
ness taxes lured workers to the alpine
territory.
A total of 383 British citizens work-
ing in banking and financial services
moved to Switzerland in 2010 – mark-
ing a 28 per cent increase on 2009,
according to official figures from the
Swiss Federal Migration Office.
Including insurance and consulting
industries in the financial sector,
1,379 Britons gained permission to
work in Switzerland in 2010 – a 29 per
cent increase over the 2009 figure.
The increase in the rate of immigra-
tion of British bankers exceeds that of
other nationalities, according to the
Federal Migration Office, suggesting
that the 50p top rate of tax on earn-
ings above £150,000, and bonus
restrictions are driving workers out of
the UK.
Matthaeus Den Otter, of the Swiss
Funds Association, said: “These fig-
ures sound very plausible. There has
been a steady influx of skilled work-
ers. We estimate that some 20 to 25
firms of UK hedge funds have set up
offices in Switzerland over the past
year, and the banks will have sent
over some specialised staff as well.”
 4 News
New regulator draws on old
hands for external members
▲
REGULATION
BY JULIET SAMUEL
THE government yesterday appointed
four external members to the board of
a new regulator that is meant to
replace the FSA and prevent future
financial crashes – the Financial Policy
Committee (FPC).
It also released a new consultation
paper on the committee that some
said showed it had scaled down its
ambitions for the regulator and given
it a more limited mandate.
The four new members, who join
seven already appointed from the
Bank of England and FSA, are sup-
posed to add an “external” perspective
to the interim body, which will be in
charge of monitoring systemic risk
and working out what tools its perma-
nent replacement will need.
But there is only one businessman
among the “external” members:
Michael Cohrs. The other three have
all spent much of their careers in
THE FOUR NEW EXTERNAL MEMBERS OF THE FPC
AS the only new member of the
committee with extensive business
experience, Cohrs will add a vital
outsider perspective to the forma-
tion of the new regulatory system.
He spent a decade working at
Goldman Sachs 1981-1991, after
financial regulation and commentary: which he worked at SG Warburg
ex-CBI boss Richard Lambert and for four years. He was then co-head
Donald Kohn are both former mem- of corporate and investment bank-
bers of central bank boards, while ing at Deutsche Bank until 2010. He
Alastair Clark has advised the Bank of also holds an adjunct professorship
England for over a decade. at Beijing University and was a
Economist Richard Barwell at RBS member of the president task for
also says that the latest document on on market mecha-
the FPC “envisages a more modest nisms (the
objective for macroprudential policy” “Brady
than previous proposals. He says the Commission”)
new mandate could make it difficult that recom-
for the FPC to halt future bubbles. mended
reforms after
the 1987 stock
market crash.
MICHAEL COHRS
ALASTAIR Clark has been in
financial regulation for over a
decade. He was the Bank of
England’s executive director for
financial stability 1997-2003 and
then became an adviser to the
government on the City 2003-
2007. He left his role at the Bank
of England in 2007 but returned
later that year after being asked
by governor Mervyn King to help
deal with the building crisis. In
2009 he took a role
advising the
Treasury on
financial stabil-
ity. He is also
an honorary
visiting profes-
sor at the Cass
Business
School in
London.
ALASTAIR CLARK
NEW COMMITTEE: THE BASICS
Q. WHAT IS THE FINANCIAL POLICY
COMMITTEE (FPC)?
A. The Financial Policy Committee is
one of three bodies the coalition
government is creating to replace the
Financial Services Authority (FSA) and
the tripartite regulatory system. The
new system will be introduced in
2013, when the FPC will sit inside the
Bank of England, opposite the
Monetary Policy Committee. It will be
in charge of crafting macro-economic
policy to prevent another financial
crisis by monitoring systemic risk,
including problems to do with mar-
ket transparency, illiquidity, conta-
gion, information problems and
misaligned incentives.
Q.WHAT OTHER COMMITTEES WILL
REPLACE THE FSA?
A. The FSA’s other responsibilities
will be divvied up between the
Prudential Regulatory Authority
(PRA), to be led by FSA chief executive
Hector Sants, and the Financial
Conduct Authority. The first will look
at the soundness of individual finan-
cial institutions, while the latter will
play a policing role in prosecuting
misdeeds and will supervise capital
markets and the UK Listing Authority.
Q. WHAT WILL THE INTERIM
FINANCIAL POLICY COMMITTEE’S
ROLE BE?
A. The members announced yester-
day will join an interim FPC,
CITYA.M. 18 FEBRUARY 2011
RICHARD Lambert recently
retired from five years as director
general of the CBI, representing
business interests. Before leading
the CBI, he was on the Bank of
England’s Monetary Policy
Committee from 2003-2006. In
2003, he wrote a review of busi-
ness and university collaboration
at then-chancellor Gordon
Brown’s request. Previously, he
had an extensive career in finan-
cial journalism, editing the FT’s
Lex column, its New York Bureau
and, finally, the
whole paper. He
is also a
trustee of the
British
Museum and
Chancellor of
the University of
Warwick.
RICHARD LAMBERT
A FORMER member of the board
of governors at the Federal
Reserve, Donald Kohn spent 40
years in various roles at the Fed,
including helping to craft its
response to the financial crisis in
2008. During his time at the Fed,
where he began his career as an
economist in 1970, he worked as
secretary of the Federal Open
Market Committee from 1987 to
2002, director of its Division of
Monetary Affairs 1987-2001 and,
before that, as
deputy staff
director for
Monetary and
Financial
Policy for four
years. He is
also a senior
economics fellow
at the Brookings
Institution.
DONALD KOHN
which will pave the
way for the establish-
Q&A
ment of a permanent
version of itself in 2013, whose
board will be recruited in the same
way as the MPC’s members. As well
as monitoring systemic risk, the
interim FPC will determine what
kind of tools the task requires and
will review and approve a new publi-
cation required of the Bank of
England: a biannual Financial
Stability Report.
Q. WHAT ARE THE NEW INTERIM FPC
MEMBERS GOING TO DO?
A. They are meant to add an out-
sider perspective to an interim
FPC otherwise staffed wholly by reg-
ulators. However, only one (Michael
Cohrs) has business experience. The
other three are all economists or for-
mer regulators.
Q. HOW WILL THE NEW FPC HELP TO
PREVENT A NEW CRASH?
A. Many observers are sceptical
that it can actually prevent
another crash. The new model gives
a raft of new powers to the Bank of
England, whose MPC has a dubious
record when it comes to spotting
and defusing credit bubbles. In addi-
tion, the FPC will be required to take
into account the impact of its meas-
ures on economic growth, which
could effectively prevent it from
halting excessive credit growth.
 News 5

New universal credit will

make work pay: Cameron
fit claimants at May 2010, according

▲
UK ECONOMY
PRIME Minister David Cameron yester-
day promised his new welfare reforms
would “make work pay” and simplify
the benefits system.
The changes would replace all exist-
ing working age benefits with a single
“universal credit,” and ensure that
claimants are always better off when
TRADE IN... they find work, Cameron claimed.
“The benefit system has created a
benefit culture,” Cameron said.
“It doesn’t just allow people to act
irresponsibly, but often actively
encourages them to do so.”
There were 5.7m working age bene-
to the Department of Work and
Pensions. New figures were scheduled
for release this week, but have been
delayed by the department.
“Cameron’s plan is well inten-
tioned, but I am not confident it will
actually work,” commented Patrick
Nolan, economist at the think tank
Reform.
Merging benefits together may not
simplify the system, Nolan said, par- ...MORE CORNERS...
ticularly when benefit conditions
remain complex. “We are also not con-
fident that ‘smart automation’ will
work, given experience of existing
benefit systems,” he said.

CITY VIEWS: DOES CYBER CRIME WORRY YOU?

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ADIL KHAN | ERNST & YOUNG
Interviews by Marion Dakers

Cyber crime sells $2bn at

“I have been a victim of online fraud and my
bank was quite helpful and refunded it, so it’s
clearly widespread. The £27bn figure doesn’t
surprise me, given the scale of online shopping
costs £27bn coco auction

▲
BANKING
these days. It’s only going to increase as more cyber crime goes largely unreported,”
BY JULIET SAMUEL
▲

is done on the internet.” UK ECONOMY

BY MARION DAKERS
INTERNET crime costs the British
VINAY SHRIVASTAVA | ARUP economy more than £27bn a year
and appears to be “endemic”, accord-
ing to the first government-spon-
“I’m concerned but I’m not doing anything sored study of online fraud, released
drastic about it; I’ll still do a lot of shopping yesterday.
Businesses are worst affected, tak-
online. Some of my friends have been ripped ing an estimated £21bn hit last year,
off online but I still use it for banking. There is though the government also lost
£2.2bn and individuals were ripped
a surprising amount of crime online, but a lot off to the tune of £3.1bn in 2010.
is not due to individuals.” The report said £9.2bn was lost
from intellectual property theft,
£7.6bn from industrial espionage and
NEAL HARTLEY | PERSONAL FX £2.2bn from extortion, with large
companies being targeted in particu-
lar.
“I’ve had my credit card cloned before, but UK citizens lost an estimated
it wasn’t over the internet – this sort of £1.8bn through identity theft and
£1.4bn in online scams, according to
thing can happen anywhere. Generally research by consultancy Detica, a
speaking, I’m not that concerned, and a lot subsidiary of BAE Systems, on behalf
of the Cabinet Office.
is being invested in trying to stay ahead of “Our estimates are largely illustra-
the curve when it comes to fraud.” tive because we believe this type of
the report said, adding that the real
total could be higher.
Such crime is highly lucrative, easy
to get involved in, plus the relative
anonymity provided by technology
lowers the risk of being caught, the
study said.
The hardest hit sectors are thought
to be pharmaceuticals and biotech,
electronics, IT and chemicals.
Security minister Baroness Neville-
Jones said the research “highlights
the opportunity we have to turn this
to our advantage and get ahead of
the curve to drive our economic
growth and prosperity”.
The government estimated in
October as part of the strategic
defence review that cyber crime is
one of the gravest threats to UK secu-
rity, costing the world $1 trillion
(£618bn) per year.
Around £650m was devoted to
tackling online crime in the defence
review, some of which has gone
towards a new Office of Cyber
Security and Information Assurance.
CREDIT Suisse yesterday sold $2bn
(£1.24bn) of contingent convertible
bonds (cocos) at a public auction that
saw strong demand, following its
issuance of €6bn’s worth of the con-
vertible bonds to longstanding
investors.
They were sold with a coupon rate
of 7.88 per cent, lower than expected
given that the three-year cocos the
bank sold earlier in the week had 9-9.5
per cent rates.
The rate is particularly surprising
given that the cocos issued yesterday
are longer-dated, being redeemable
after five and a half years with a final
maturity date of 2041.
The sale shows that Credit Suisse is
making an ambitious bid to reach
Swiss regulators’ high capital ratio
requirements mostly through the use
of cocos, which have not previously
been a popular asset class.
More financial institutions have
been considering their use since a
directive clarifying that they can count
towards Basel III capital requirements.

ECB overnight Morgan Stanley

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EUROZONE CRISIS BANKING

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spiked to a twenty-month high at
€15.8bn versus a usual amount of
below €1bn. The spike prompted fears
that a Eurozone bank could be
encountering trouble as the ECB
attempts to withdraw emergency liq-
uidity, although some analysts
blamed it on a “fat finger” error.
Meanwhile, the yield on
Portuguese five-year bonds jumped to
an all-time high of 7.13 per cent yes-
terday after Cabinet Minister Pedro
Silva Pereira urged the Eurozone to
reach a solution quickly to avoid fur-
ther market turbulence.
If you want to deal
UK FINANCIAL Investments, the gov-
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public stakes in bailed-out institu- Barclays Stockbrokers
tions, is soon to appoint Morgan
Stanley to advise on the sale of the International Trader
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The sale will follow the auction of further.
318 RBS branches sold to Santander
UK last summer for £1.65bn and is
likely to attract a similar set of bid-
ders. Those interested are thought to
include Virgin Money, Tesco Bank,
National Bank of Australia and pri-
vate equity group JC Flowers.
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If you’re going to Montréal, go hungry.

KEEP Montréal, Québec

EXPLORING
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Banff & Lake Louise, Alberta

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If you visit Niagara Falls, the first call of duty is obviously: the falls.
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Rich in wildlife, adventure and gold. Horseshoe Falls and the American Falls. We were showered in
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In the Yukon, there is pretty much something for everyone. In the spring and summer there is also pretty
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Whistler, British Columbia

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We started our drive through Atlantic Canada in Newfoundland and Labrador. We planned to hit Nova Scotia,
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 8 News CITYA.M. 18 FEBRUARY 2011

Axa profit down

BNP Paribas chief
executive Baudouin
Prot said the bank
is not on the look-
out for acquisitions

on life sale losses Picture: PA

But Europe’s second-biggest insur-

▲

INSURANCE
FRENCH insurer Axa saw its 2010
profits cut by almost a quarter after
losing €1.64bn (£1.38bn) from the sale
of part of its UK life business last year,
it said yesterday.
Profit fell 24 per cent to €2.75bn
from €3.6bn after it sold the majority
of its life business to closed-end life
manager Resolution for £2.75bn last
June to better focus its UK work.
er said it would raise its dividend 25
per cent to €0.69 this year due to a
better business environment in 2011.
“2010 was also characterised by sig-
nificant strategic moves and organisa-
tional changes,” said Axa chief
executive Henri de Castries.
Axa’s group revenues were flat at
€90.97bn, as were its underlying earn-
ings, which rose to €3.88bn from
€3.85bn in 2009.

Profits at BNP
hit by one-off
writedown
▲
BANKING
BY ELIZABETH FOURNIER
BNP PARIBAS fourth-quarter profits
missed analysts’ expectations yes-
terday despite a rise in revenue,
after it had to write down the value
of its stake in insurance firm Axa.
The €534m (£348m) Axa charge
was put down to stock market
volatility, which saw Axa shares
drop well below their book value.
BNP holds a 5.2 per cent stake in the
insurer, which also posted a fall in
profits yesterday (see above).
BNP’s net income was €1.55bn, up
13.6 per cent but below a consensus
analyst forecast of €1.73bn. Group
revenues rose 2.6 per cent in the
quarter to €10.3bn, just missing
forecasts of €10.5bn.
The bank was upbeat on the con-
tinued integration of its businesses
following its acquisition of
Belgium’s Fortis Bank in 2009.
Synergy targets for the businesses
were revised up from €900m to
€1.2bn by 2012, as the integration
provided a boost to BNP’s revenue.
Corporate and investment bank-
ing revenues were worst hit, falling
6.4 per cent quarter-on-quarter, but
the losses were offset by strong per-
formances in equity derivative and
corporate financing.
BNP raised its dividend to €2.1 per
share, from €1.5 in 2009. It also
hiked its cost-savings target for
Belgian acquisition Fortis to €1.2bn,
from €900m.
Chief executive Baudouin Prot
said the company would not be on
the lookout for any more acquisi-
tions in the near future.
“I’ll be very blunt. At the
moment, we are not very acquisi-
tive. This year we will concentrate
on organic growth,” he said.
Shares in BNP Paribas closed
down 0.34 per cent at €58.77, having
fallen to €57.82 in earlier trading.
ANALYSIS l BNP Paribas 58.77
58 € 17 Feb
54
50
46
7 Dec 27 Dec 14 Jan 3 Feb

6XQGD\VIURPDP
Swiss Re repays Winters sets up
7KHZHHNO\QHZVVKRZ Buffett’s $1.1bn with Rothschild
WKDWVHWVWKHDJHQGD
▲

INSURANCE ASSET MANAGEMENT

THE world’s second-largest reinsurer
:DWFK'HUPRW0XUQDJKDQÐVDXWKRULWDWLYHQHZPRUQLQJVKRZ Swiss Re reported a lower-than-expect-
ed $863m (£536m) net profit yester-
OLYHIURP:HVWPLQVWHU)HDWXUHVGHEDWHZLWKNH\SROLWLFLDQV day after announcing it had repaid
VSRUWVSHRSOHDQGEXVLQHVVOHDGHUV $1.1bn in loans extended by Warren
Buffett in the financial crisis.
Analysts had expected $1.2bn prof-
its but the final figure was still 74 per
cent higher than in 2009. Chief exec-
utive Stefan Lippe said the company
had “turned a corner” from its per-
formance in the recession, and that
rates for property and casualty insur-
VN\QHZVFRP %HOLHYHLQEHWWHU ance should rise in 2011. It also raised
its dividend to SwFr 2.75 (£1.80) from
one Swiss franc last year.
FORMER JP Morgan banker Bill
Winters is teaming up with Lord
Jacob Rothschild.
Winters is setting up the venture,
to be called Renshaw Bay, with
Rothschild’s London-listed RIT
Capital and Reinet Investments,
chaired by entrepreneur Johann
Rupert.
The banker, who also sits on the
government’s independent commis-
sion on banking panel, will initially
own 50 per cent of the Renshaw Bay
business, with the balance owned by
RIT and Reinet, the Luxembourg-list-
ed investment vehicle.
CITYA.M. 18 FEBRUARY 2011 News 9

Danish provider of UK public

services plots £1.5bn listing
one of the biggest stock market offer- pursued an IPO on Copenhagen’s

▲
PUBLIC SECTOR
BY RICHARD PARTINGTON
DANISH outsourcer ISS, one of Britain’s
largest providers of public sector servic-
es, said yesterday it expected to raise
$2.4bn (£1.5bn) with an initial public
offering (IPO).
The firm, which counts hospital
catering staff and cleaners amongst
the 41,000 people it employs in Britain,
is considering a Copenhagen listing in
ings in Europe so far this year.
ISS will use the proceeds to pay
down debt and to develop a growth
strategy. Part owned by Goldman Sachs
Capital Partners and EQT, the private
equity vehicle operated by Sweden’s
Wallenberg family, the firm had been
slated for an $8.5bn sale to Apax part-
ners, the London-based private equity
house.
However, its owners have instead
Nasdaq OMX exchange, with the firm’s
share price range to be revealed next
month. ISS yesterday revealed an
increase in revenue to £8.4bn over last
year, with operating profits of
£462.4m.
Chief executive Jeff Gravenhorst
said: “We look forward to offering
potential new shareholders in ISS the
opportunity to be part of our growth
and development going forward.”

Naguib Kheraj has left the top spot at Lazard after just six weeks

Naguib Kheraj
leaves Lazard
way that would enable me to be prop-
▲

BANKING
BY ALISON LOCK
HIGH-flying banker Naguib Kheraj
yesterday walked away from his chief
executive role at Lazard after just six
weeks in the post.
Kheraj, a former JPMorgan
Cazenove chief executive and Barclays
finance director, resigned as chief
executive of Lazard International to
focus on philanthropic work.
His departure surprised many in
the City as much as his appointment
last October into a post effectively cre-
ated for him in the global deals wing
of the investment bank.
His appointment was seen as a sig-
nificant coup for Lazard.
Both Kheraj and Lazard said the
decision was amicable. Kheraj said: “I
am very sad to be leaving Lazard, and
have not taken this decision lightly.”
“I underestimated the difficulty of
erly engaged in an executive role and
have realised that it is not possible to
fulfil my responsibilities to Lazard to
the best of my ability whilst main-
taining my personal commitments.”
A Lazard spokesman said: “He was
a friend of the firm before he joined
and will continue to be a friend. We
wish him well.”
But former colleagues told City A.M.
his appointment may have been
unwelcome within Lazard and he
may have expected a warmer wel-
come due to his close links with
Barclays, a major client of Lazard’s.
“Naguib is a protégé of Bob
Diamond at Barclays, and his appoint-
ment may have been a favour to the
bank,” one said. “That may have put
noses out of joint.”
Kheraj, who stepped down from :HHNGD\VIURPSP
Cazenove last March, is now likely to
be among candidates for top City

7KHGDLO\QHZVVKRZ
managing my external activities in a posts that arise in the future.

Rathbone Brothers’ bumper WKDWVHWVWKHSDFH

results hurt by £3.6m FSCS levy :DWFK$GDP%RXOWRQÐVIDVWPRYLQJQHZOXQFKWLPHVKRZ
OLYHIURP:HVWPLQVWHU)HDWXUHVEUHDNLQJQHZVFUXFLDO
Compensation Scheme levy to cover LQWHUYLHZVDQGXSGDWHVIURP6N\1HZVÐFRUUHVSRQGHQWV
▲

ASSET MANAGEMENT
WEALTH manager Rathbone Brothers
netted £1.24bn in inflows last year to
take funds under management over
£15bn for the first time, it said yester-
day.
Total funds jumped by almost a
fifth to £2.53bn while underlying
profit before tax rose 18.8 per cent to
£38.5m in 2009.
But a £3.6m Financial Services
claims against failed investment
schemes overshadowed the results,
cutting final pre-tax profit to £30.1m,
just two per cent up on 2009.
Chief executive Andy Pomfret told
City A.M. he would pay the fee but reg-
ulators should do more to prevent fail-
ures. He said: “It doesn’t seem very fair
that another business goes horribly
wrong and we have to pick up the bill.
VN\QHZVFRP %HOLHYHLQEHWWHU
It has been handled badly, frankly.”
 The Capitalist
10
IT’S A NEW
CHANNEL,
BUT NOT AS
WE KNOW IT
WITH viewers of Virgin Media unable to
watch Sky’s new flagship channel Sky
Atlantic because of a failure of the two
groups to agree on price, chief executive
Neil Berkett and his team were keen to
downplay its attractions yesterday.
Berkett described the channel as “com-
pletely unproven” while a colleague
somewhat contemptuously chipped in to
say its schedule contained a good few Star
Trek shows as well as the newer block-
busters.
The Capitalist was curious. All the Sky
ads highlight new shows such as
Boardwalk Empire or the new series of
Mad Men featuring Donald Draper (pic-
tured bottom right), with not a sniff of
Star Trek Voyager in sight. Even Sky’s
press office tried to put us off the case,
initially denying a Star Trek presence.
But a look at the schedules, helpfully
provided by a rather apologetic Sky press
office, shows Star Trek showing three
times a day, seven days a week – at seven
in the morning, 12 o’clock and five in the
afternoon.
And with the Voyager’s journey home
from 1 Delta Quadrant set to take around
75 years, Sky may well be able to furnish
Sky Atlantic: hoping to live long and prosper by showing Star Trek Voyager every day
its daytime schedule with further
episodes for years to come.
AUTOGRAPH HUNTING
With all the interest in the new finan-
cial watchdog team revealed yesterday,
one rather important move has been
rather overlooked.
After six years in the role, the Bank of
England’s chief cashier, Andrew Bailey,
is moving to the Financial Services
Authority to become deputy head of its
prudential business unit.
If you’re thinking so what, then open
your wallet, dig out a bank note and
look very carefully at the signature
printed on it – Bailey has been the man
CITYA.M. 18 FEBRUARY 2011
EDITED BY
ELIZABETH FOURNIER
GOT A STORY? EMAIL
thecapitalist@cityam.com
Mr Salmon is
busy practis-
ing an artistic
scrawl in
preparation
for his crucial
new role sign-
ing banknotes
for the BoE
A CITY EXODUS?
The administrators of London website
escapethecity.org made an interesting
discovery last week. Analytics for the site
– which helps City executives find excit-
ing opportunities outside the Square
Mile – have revealed which company
intranet was registering the most hits on
faithfully promising to “pay the bearer its site. And apparently accountants
on demand the sum of...” since 2004. working in the City are the least fulfilled
Stepping into the role as of 1 April by their jobs, with the Big Four firms,
will be Chris Salmon, who has been PricewaterhouseCoopers, KMPG, Deloitte
head of the sterling markets division and Ernst & Young taking the one to four
since 2009. spots in the top 10.
Though The Capitalist was desperate Of the remaining six places, five were
to bring you a preview of the brand taken by banks, with just one law firm
new seal, the Bank of England press filling in the blank – the Magic Circle’s
office had to decline – though goodness Allen & Overy.
knows what it thought we might But firms needn’t worry that their
attempt to do with it. high-fliers are deserting them for
But those concerned about the competitors. Testimonials from sat-
change needn’t worry – The isfied customers show they’ve
Capitalist has been assured that ended up in Nepal, the Gobi desert,
Mr Salmon is busy practising an and even the wilds of
artistic scrawl in preparation for Hammersmith – working for
his crucial new role. Innocent Smoothies.
CITYA.M. 18 FEBRUARY 2011
THE TOP THEMES FROM THE WORLD'S BIGGEST MOBILE PHONE SHOW
The five tech
trends set to
change your
world in 2011
2011
MOBILE
WORLD
CONGRESS
BY STEVE DINNEEN IN BARCELONA
MOBILE World Congress (MWC), the
world’s biggest mobile phone show,
ended yesterday. Here City A.M., looks
at the biggest trends to emerge from
the show and looks at how they could
affect your life over the next year.
THE SHADOW OF NOKIA/MICROSOFT
THE bombshell dropped by Nokia the
weekend before MWC kicked off,
when the Finnish firm said it would
effectively kill its in-house operating
system and adopt Windows Phone 7
overshadowed everything else. It was
a piece of PR brilliance stealing the
show before the congress had even
started. Other industry bosses spent
the show batting away questions
about the deal, much to their
bemusement. Whether the tie-up will
work is another issue altogether.
Shareholders think not.
MOVE FROM MANUFACTURER WAR TO
HANDSET WAR
The goalposts have shifted from a
competition to see who can make the
best handsets to the platform they
run on. Google’s Android is streaking
ahead, overtaking Nokia as the
biggest smartphone operating system
in 2010. Microsoft boss Steve Ballmer
used his keynote to evangelise about
the new platform war, while the ubiq-
uitous Stephen Elop said Nokia wants
to push through a “third ecosystem”
to compete with the big two players.
“Ecosystem” was the buzzword –
shorthand for allowing third-party
developers to create software to grow
your platform, while charging them
for the privilege.
CWW contract Capgemini sees
wins reassure profits surge
▲
TELECOMS
TELECOMS group Cable & Wireless
Worldwide (CWW) said contract wins
from UK businesses and the govern-
ment were keeping it on track for the
year.
The company, which focuses on
large enterprise customers, said yes-
terday it was continuing to make
progress in the second half of its
financial year. CWW was one of a
number of IT and communications
suppliers asked to make savings in
contracts with the UK government
last year. It signed a £10m deal with
the Department for International
Development in November.
Mobile World Congress 11
Google’s Eric Schmidt’s One Pass (top
left) and Nokia’s Stephen Elop’s deal
with Microsoft (bottom left) were the
talk of the MWC conference (main
picture)
PAYMENT PLATFORMS
While publishers have been providing
content on the internet for well over a
decade, most are only just waking up
to the prospect of asking people to
pay for it. This was the year the
world’s biggest technology firms
began to properly facilitate this. First
came an announcement from Apple
that it will provide an ongoing sub-
scription service through its iTunes
platform. The catch: Steve Jobs wants
a 30 per cent cut. Then Google came
along with its One Pass service, which
will only take 10 per cent of subscrip-
tion revenue.
NEAR FIELD COMMUNICATION
Near Field Communication is the lat-
est bandwagon. The technology
allows nearby devices to securely
exchange information, using an
almost unbreakable 80-digit encryp-
tion code. This means it could soon
replace credit cards as your primary
payment method. Orange announced
it will be partnering with Samsung to
roll out contactless systems through-
out Europe, while Visa has been tri-
alling a similar system.
MOBILE HEALTH
With an ageing and increasingly tech-
nology savvy population, mobile
devices are being used as a way of
keeping people’s health in check. This
is also providing new revenue streams
for a host of UK firms, taking advan-
tage of the government’s desire to ease
the burden on the public purse. One
firm in the US has developed a smart-
phone ultrasound system that can be
used on maternity wards and cardiac
treatment facilities. Others are devel-
oping ways to quickly transfer patients
medical files and symptom details.
TECHNOLOGY
CAPGEMINI, Europe’s largest comput-
er consultancy, yesterday beat earn-
ings forecasts and reported
accelerating growth in the fourth
quarter.
The French company said its operat-
ing margin rose to 7.5 per cent in the
second half of 2010, from 5.8 per cent
in the first half of the year. For 2011,
Capgemini predicted revenues would
grow 9-10 per cent and that it would
add 0.5 to 1.0 percentage points to its
operating margin. Capgemini posted a
net 2010 profit of €280m up 57 per
cent, and said it would recommend a
25 per cent dividend hike to €1 a share.
 12 Consumer News CITYA.M. 18 FEBRUARY 2011

PPR beats forecasts as Gucci

and Yves Saint Lauren shine
above expectations of €1.487bn based Gucci such as Bottega Veneta, Yves
▲

RETAIL
BY HARRY BANKS on an analysts’ poll. Saint Laurent and Balenciaga.
It proposed a dividend of €3.5 a Gucci Group’s fourth-quarter per-
FRENCH luxury and retail group PPR share, marking a 6.1 per cent increase formance compared with growth of
posted a forecast-beating current against the previous year. 16.7 per cent in the third quarter.
operating profit for 2010, boosted by a PPR did not give a precise target for “The slowdown in the fourth quar-
recovery in the luxury market and 2011 aside from improving sales and ter is smaller than expected in the
solid growth at its Puma sportswear profits against the previous year. luxury division,” said Natixis analyst
brand. In the fourth quarter alone, the Boris Bourdet. “Overall, [PPR’s results
The owner of fashion brands group’s luxury division Gucci Group are] are better than expected.” PPR’s
Balenciaga and Gucci and retailer enjoyed the strongest growth with a Puma also saw sales rises 10.6 per
Fnac posted a full-year current operat-
ing profit of €1.53bn (£1.28bn) –
14.4 per cent rise in comparable sales,
driven mainly by smaller brands than
cent in 2010, with a net profit jump
of 154 per cent.
20%
Kingfisher
estimated rise in
£672m
estimated annual
annual profit pre-tax profit

840
0.3%
Our brightest screen. Our most colourful images. sales decline at B&Q
total number of in the 13 weeks to
Samsung GALAXY S. The Best Media Phone of the Year. *
Kingfisher stores
across the globe
29 January

Source: Kingfisher

Ladbrokes in
Incep
tion availa
ble no
w from
samsu
ngmo
vies.c
om

lift as online
T
sa he T
m ow
su n
ng av
m aila
ov ble
ies now
.c from
games boom
om
the business since taking the reins
▲

LEISURE
BY HARRY BANKS
LADBROKES yesterday reported a 20
per cent jump in annual profit as
online gaming helped it overcome a
seven per cent fall in bets staked at its
shop counters.
In its digital operation the UK’s
largest betting firm saw profit rise by
36 per cent to £62.7m.
Revenues from online sports bet-
ting grew 16.9 per cent to £65.1m.
Horseracing margins worsened
due to the introduction of an odds
guarantee promotion in August and
relatively poor results in some of the
significant racing festivals of the year,
including the Grand National and
Royal Ascot.
Chief executive Richard Glynn,
who has overseen a strategic review of
last year, said the group was in good
shape.
Having extended its in-play offer-
ing and launched new mobile phone
apps, Glynn said the company expect-
ed to invest an additional £50m dur-
ing 2011 and 2012 in order to further
improve its technology.
He added: “We have laid solid foun-
dations in 2010 upon which to build.
We have set out our strategic goals
and we have a clear set of priorities
on which to focus.”
The company said it was planning
to expand its highly successful in-
game betting operation.
Ladbrokes opened 40 stores in the
year and carried out refurbishments
on 130. Mobile phone transactions
now account for 15 per cent of all dig-
ital sales.

ANALYSIS l Ladbrokes
With stunning clarity and super fast access, enjoy films, games and over 145 139.50
100,000 apps from Android Market™ including GoogleMaps™. p 17 Feb

Now with a films and games package worth over £50, Mobile Choice’s Best
Media Phone of the Year just got even better. samsung.com/uk/galaxys
135

Brightest Smartphones for Everyone

125

Screen images are simulated. Terms and conditions apply. See samsung.com/uk/galaxys for details © 2011 Samsung Electronics Co. Ltd. Google and Android are trademarks of Google, Inc. Inception © 2011 Warner Bros.
Entertainment Inc. and Legendary Pictures. All Rights Reserved Inc. The Town © 2011 Warner Bros. Entertainment. All Rights Reserved. © 2011 Gameloft. All rights reserved. Gameloft, the Gameloft logo and N.O.V.A. Near Orbit
Vanguard Alliance are trademarks of Gameloft in the U.S. and/or other countries. *Winner of the Mobile Choice Award for Best Media Phone. 22 Nov 10 Dec 4 Jan 24 Jan 11 Feb
CITYA.M. 18 FEBRUARY 2011 Consumer News 13

ANALYST VIEWS: IS KINGFISHER’S RECOVERY

Kingfisher in SUSTAINABLE ? Interviews by John Dunne

PHILIP DORGAN | ALTIUM SECURITIES

profit boost “ Kingfisher could, over the long term, double its business in Poland and
Spain, treble in Turkey and quadruple in Russia, with China moving towards prof-

”
itability. It also has potential to improve profits further in the UK. All of this should
drive decent earnings growth, cash generation and higher returns.

RETAIL KEITH BOWMAN | HARGREAVES LANDSDOWN

▲

He said: “We are not assuming any

BY JOHN DUNNE
B&Q owner Kingfisher yesterday fore-
“
help from a buoyant market in the UK.
It’s more about trying to gain market
share than expecting the market to be
Management self help initiatives and the group’s geographical diversifi-
cation continue to shield Kingfisher from the worst of the current economic diffi-

cast a 20 per cent rise in annual profits
after strong overseas growth offset
weak trading in the UK.
The group said it expects adjusted
pre-tax profits for the year ending last
month to be at the top end of City
”
in recovery.” But the boss was upbeat
about the possibility of a sales boost
culties. Buoyant sales in countries such as Russia and Poland have helped offset
inspired by the royal wedding bank
more challenging conditions in the UK. In all management continues to
holiday. People could actually do a real-
churn out a progressive performance.
ly decent project over that period.
We’re certainly going to gear up on the NICK BUBB | ARDEN

expectations at £672m.
Strong sales in countries such as
Poland and Russia helped the compa-
“
gardening and outdoor leisure fronts.”
He said the group had just launched
a set of two royal wedding gnomes The flat sales at B&Q are slightly disappointing, given the weak com-
parisons from the snow last January, which isn’t mentioned in the statement, fun-

ny which owns the Bric Depot and
Castorama chains. The UK and Ireland
division remained under pressure,
despite like-for-like sales at B&Q show-
ing a decline of 0.3 per cent in the 13
weeks to 29 January. That was better
than the 5.1 per cent drop seen in the
previous quarter. Total sales in UK
stores were up 0.1 per cent to £835m.
Its building supplies arm Screwfix
also put in a stronger performance,
with sales up 5.4 per cent to £119m
after it introduced new ranges.
Chief executive Ian Cheshire was
cautious about B&Q’s outlook for the
current financial year following the
increase in VAT to 20 per cent from
17.5 per cent in January.
”
decked in Union Jack hats and wed-
ding outfits for £20. Kingfisher, with nily enough, but Poland did well. With the final results on 24 March to set out new
over 840 stores in eight countries, has long-term growth targets for the group, there is still much to like about
been cutting costs to cope with tough Kingfisher.
trading conditions.
ANALYSIS l Kingfisher NEWS | IN BRIEF
275 p 256.50
17 Feb
265 Middle East shoppers boost UK London is world’s shopping capital
Young tourists from the Middle East are London beat Tokyo, New York and Paris
255 flocking to the UK to buy designer goods, to be the highest grossing city for retail
a retail survey said today. Sales to Middle sales in 2010, according to a study of 22
245 Eastern customers were up 19 per cent major worldwide shopping destinations
in 2010 compared with the previous by Britain’s Centre for Retail Research.
235 year, spending an average of £1,000 on The study, commissioned by comparison
shopping on each trip. The shoppers tend website Kelkoo, found London generated
22 Nov 10 Dec 4 Jan 24 Jan 11 Feb to come for a mini break. £64.2bn of non-food retail sales last year.

Pernod fuelled by rise in demand

from Chinese spirit drinkers
Pernod said a gradual recovery in
▲

CONSUMER
FRENCH spirits manufacturer Pernod
Ricard yesterday announced a strong
rise in half-year profits for 2010 driv-
en by growth in the expanding
Chinese market.
The firm reported half-year net
profits of €666m (£560m) up from
€604m the year before.
Asian growth overall was particu-
larly strong with sales up 29 per cent.
North American and western
European markets had also helped
boost sales.
The group reported sales of
€4.282bn, compared to €3.789bn in
the first half of 2009.
Pernod-Ricard’s brands include
Absolut, Martell, Jameson, Chivas
Regal and Perrier-Jouet.
The firm said it had increased its
marketing spend over the period.

Sports Direct sees

sales forge ahead
RETAIL
▲

BY JOHN DUNNE
SPORTS Direct said yesterday it would
meet its target for full-year profit, with
trading still strong after a positive
third quarter.
The firm, controlled by Newcastle
United owner Mike Ashley, said total
sales for the 13 weeks to 23 January
increased 12.1 per cent to £416m.
“Since the end of January, the
group’s underlying performance has
continued to be strong, especially with-
in the UK retail division,” chief execu-
tive Dave Forsey said.
“Therefore we shall reach our full-
year targeted underlying earnings
before tax, interest, depreciation and
amortisation [EBITDA] of £205m before
the charge for the bonus share
scheme.”
Hitting profit targets will trigger an
estimated £10.8m pay-out for staff
through its bonus scheme,
Under the scheme some 2,000 of its
staff will receive up to 75 per cent of
their salary paid in shares, if the group
meets its target for the year to April.
Shares were up almost five per cent
after the announcement in which the
company, also revealed that gross prof-
its rose eight per cent to £167m in the
quarter.
Matthew McEachran, an analyst at
Singer Capital Markets, said: “The third
quarter statement has come in well
ahead of forecast, driven mainly by UK
retail sales growth.
He added: “This is despite the very
tough prevailing conditions.” The stock
closed 4.3 per cent up at 166p.
 14 News CITYA.M. 18 FEBRUARY 2011

EasyJet victory for Sir Stelios

NEWS | IN BRIEF
Redrow beats crash concerns
Housebuilder Redrow defied worries of a
house price crash yesterday by returning
excessiveness of the maximum EasyJet said earlier in February to profit, boasting to the market that its
▲
Excluding one-time items, earnings
rose to $947m, or 95 cents a share,
from $604m, or 61 cents. Quarterly
revenue for the Canadian miner also
came in much higher than expected,
rising 25 per cent to $2.95bn, largely
driven by a 22 per cent increase in
the average realised gold price.

TRANSPORT
BY MARION DAKERS
EASYJET shareholders, led by founder
Sir Stelios Haji-Ioannou, gave the
budget airline a bloody nose yester-
day after withholding approval for
last year’s board pay.
Sir Stelios had called for investors
to vote down the 2010 pay package,
which gave former chief executive
Andy Harrison a £1m lump sum on
top of his salary even though he left
the firm in July.
Shareholder body PIRC advised
investors to oppose the pay report
because of Harrison’s award and “the
potential awards,” and the vote
against the measures passed by more
than 10m votes at the firm’s AGM
yesterday.
“This morning’s result proves
beyond doubt that I am not the only
shareholder who feels that Andrew
Harrison’s compensation package
was undeserved and completely
unjustified,” said Sir Stelios, who has
a 26 per cent stake in the company
but left the board for a second time
last May in a dispute over strategy.
It is thought that the firm cannot
recall the payments, which were paid
out to directors over a year ago.
that the remuneration vote was an
advisory, non-binding resolution
and therefore could not be defeated
even if a majority of shareholders
vote against it.
Chairman Sir Michael Rake told
shareholders at the meeting that the
pay deals “were a one off and agreed
in unusual and difficult circum-
stances”, referring to the departure
of chairman and chief financial offer
within weeks of each other in early
2009.
EasyJet’s shares closed down 1.6
per cent at 377p, against an overall
rise in the FTSE 250 index.
shift towards traditional family homes
has paid off. The FTSE 250 firm posted
a £8.5m pre-tax profit for the last six
months of 2010, compared to a £8.7m
loss last year, with a 15 per cent rise in
revenue to £216.1m. However, econo-
mists are predicting another tough year
for the housebuilders with muted
growth at best.
Barrick rises on soaring prices
Barrick Gold reported a stronger-
than-expected quarterly profit yester-
day as increased sales volumes and
record-high gold and copper prices
offset higher production costs.
Advertisers slam Lords’ proposal
UK advertisers and broadcasters
including BSkyB, Discovery and MTV
yesterday railed against proposals by
a Lords committee to cut back on TV
advertising, arguing that programme
investment will come under threat as
a result of a drop in ad revenue levels.
The Lords communications committee
also tabled a proposal yesterday that
ITV should be freed from current
restrictions on what it can charge for
advertising airtime, in return for a
promise to spend up to £55m more
on UK-originated output.

Virgin looks Google buys Dublin tower 310m

to businesses credit crisis, but said yesterday it is to rent:

▲

PROPERTY
BY MARION DAKERS set to claw back more than the £70 / sq ft
amount it paid for the assets.
GOOGLE is set to move into “The successful completion of

for growth
Dublin’s tallest commercial build-
ing after buying the tower from
the Irish “bad bank”, the National
Asset Management Agency
(NAMA), for €99.9m (£84.1m).
The 15-storey Montevetro devel-
opment was completed in
January, and is down the road
Although Berkett described Virgin’s from Google’s existing Irish office
▲
the Montevetro development and
its sale again reflect the positive
potential of Nama to support the
commercial property market in
Ireland without compromising its
objective of recovering monies
owed to the taxpayer,” said Nama
chairman Frank Daly.
Google said it will use the build-

MEDIA
BY DAVID HELLIER
CABLE-to-entertainment group Virgin
Media yesterday reported quarterly
revenue figures of £1bn, up from
£941.3m a year ago, predicting strong
growth from its business services divi-
sion in the year ahead.
Virgin chief executive Neil Berkett
said the order book for business data
services was up 40 per cent from a
year ago and he said that growth in
this area would be faster than the
consumer area.
In the consumer space the group
said it attracted 17,100 net new cable
customers in the fourth quarter end-
ing December 31 and that cable aver-
age revenue per user rose 4.9 per cent
to £47.51 in the fourth quarter from
£45.28 a year earlier. Its total number
of cable homes stands at 4.8m, still
well down on that of its main com-
petitor BSkyB.
Sanford Bernstein said in a
research note it sees “significant
opportunity in coming years” for the
group. The broker has an ‘outper-
form’ rating and target price of
2,500p on the stock. The stock has
risen 79 per cent over the past 12
months.
relationship with BSkyB as “as good as
it ever has been” there are still ten-
sions, not least over the launch of
Sky’s prized new US import channel
Sky Atlantic.
Virgin is not showing the channel,
tempting some of its customers to
switch to Sky. Berkett said that he had
not been able to agree a price with his
rival for “a single channel which is
completely unproven.”
Berkett said his offering had its own
advantages, such as video on demand
and faster broadband speeds. He also
said that Virgin had reduced its prices
for Sky Sports following a regulatory
ruling last summer but it had not
passed all the savings on to its cus-
tomers, choosing to boost its margins.
ANALYSIS l Virgin Media Inc.
1,800 p 1,745.00
17 Feb
1,700
1,600
1,500
22 Nov 10 Dec 4 Jan 24 Jan
on Barrow Street. ing to rehouse some of its Irish
Real Estate Opportunities, employees, who have outgrown
which built the tower, arranged a the existing Barrow Street office.
loan from NAMA to help complete “Acquiring Montevetro also means
the project after running out of we have the space and flexibility
cash. to support our future operations,”
NAMA also took on loans said Google’s head of Ireland, John
backed by the property during the Herlihy.
Dublin’s tallest building (near
60m
right) is less than one fifth the
height of London’s Shard sky-
scraper (far right) and com-
mands a rental value of less than Dublin rent:
half its London peer. The Shard, £29 / sq ft
already the tallest building in the
UK, will be the equivalent of 87
storeys tall once construction is
finished in May 2012.
11 Feb

BAE Systems hopes global sales will Now is the time to buy shares cheaply
replace UK government defence cuts if you share the glass half-full view
SHAREHOLDERS took the glass half-
empty view when interpreting
compared to a £61m loss in 2009 –
actually better than consensus
BAE’s results, sending its shares expectations. Thirdly, its net debt is
business in support of all Saudi mili- charges after the US Army cancelled a down 4.2 per cent to 340.9p making a mere £242m compared to the
▲

DEFENCE
BY MARION DAKERS
DEFENCE company BAE Systems said
yesterday government spending cuts
in the UK and the US are forcing it to
do more deals with other countries
including Saudi Arabia to stop its rev-
enues tumbling.
BAE warned in its full-year results
yesterday that 2011 sales will be lower
than last year, with US contracts
worth £1.6bn coming to an end.
“The group seeks to… develop new
tary and paramilitary forces” as well
as throughout India and Australia,
BAE said in a statement.
The FTSE 100 company said cost sav-
ings following the UK’s strategic
defence review will cost BAE 1p per
share per year.
BAE’s pre-tax profit for 2010 was
£1.49bn, compared to a £61m loss in
2009, on revenues up 1.8 per cent to
£22.4bn.
The 2009 losses mostly stemmed
from £1bn-worth of impairment
trucks contract, and a £278m charge
to settle a long-running fraud investi-
gation in the UK and the US.
BAE said discussions were still
ongoing with US authorities on “con-
cerns regarding matters arising from
the settlement,” but refused to give
further details.
Chief executive Ian King said the
firm welcomed the UK Bribery Act,
“which in many ways reflects the new
procedures we already have in place”.
BAE’s shares fell 4.2 per cent.
it the FTSE’s largest faller yesterday.
BAE’s caution – warning sales
would be lower this year as defence
cuts in the UK and US hit home –
gave jittery investors an excuse to sell.
But there are at least three rea-
sons to see BAE’s glass as half-full.
Firstly, while sales are down, mar-
gins are up on cost reductions and
improving efficiency boding well
going forward. Secondly, BAE’s pre-
tax profit for 2010 was £1.49bn,
£1bn BAE originally guided to giv-
ing it ample scope to do buybacks
or earnings accretive acquisitions.
With the shares trading on under
ten times its earnings and yielding
five per cent, now could be a good
time to pick up the shares even
cheaper.
BOTTOMLINE
Analysis by Katie Hope
CITYA.M. 18 FEBRUARY 2011
OECD economies stagger on Europe sees rebound in
▲
WORLD ECONOMY
BY JULIAN HARRIS
MEMBERS of the Organisation for
Economic Co-operation and
Development (OECD) experienced a
slowdown in growth in the final three
months of 2010, it said yesterday.
Economies in the OECD grew on
average by 0.4 per cent in the fourth
quarter, down from 0.6 per cent in the
three months to September.
The unwinding of Japan’s stimulus
package was partly blamed for its GDP
contraction, while severe winter condi-
tions in Europe were cited for disap-
pointing figures in several countries.
Inflation risk
dents 15-year
factory high
▲
UK ECONOMY
BY JULIAN HARRIS
OVERSEAS demand for British factory
goods shot up this month at its high-
est rate since July 1995, the
Confederation of British Industry
(CBI) said yesterday.
However, the CBI’s monthly trends
enquiry also became the latest busi-
ness survey to expose spiralling price
pressures in the UK.
The balance of manufacturers
expecting price hikes for their domes-
tic customers reached its “third high-
est monthly reading of the last 20
years,” according to Michael Saunders
of Citigroup.
“And this is the highest February
reading for price expectations since
1989,” Saunders said.
The survey, which asks manufac-
turers how their prices will change in
the coming three months, has been a
strong guide to future inflation
trends, Saunders argued.
“The message from this survey, and
other lead guides, is that the UK faces
an extended inflation overshoot,” he
warned.
The expected upturn in factory
prices is “due to manufacturers look-
ing to protect their margins as their
Number of new homes in England falls
to lowest peacetime level since 1923
▲
PROPERTY
BY JULIAN HARRIS
THE NUMBER of completed new
homes in England has plummeted to
its lowest level during peacetime
since 1923, the Department of
Communities and Local Government
said yesterday.
New housing completions totalled
just 102,570 last year, down 13 per
cent on 2009.
“Today’s figures reveal the extent
of the housing crisis and we need
Across the European Union, growth
fell to 0.2 per cent, down from 0.5 per
cent the previous quarter, the OECD
said.
Despite a slowdown in German
growth at the end of the year – at 0.4
per cent – the Eurozone powerhouse
still had the highest annualised
increase in GDP from the “major
seven” OECD economies.
Annualised German growth in the
fourth quarter was four per cent, the
OECD said. Italy had the lowest growth
of the “major seven,” at 1.3 per cent.
The figures show continued growth
in the world economy despite some
weather-related effects, according to
input costs rise strongly,” said Howard
Archer of IHS Global Insight.
However, the survey provides reas-
surance that manufacturing, the UK’s
“star performer,” remains “in good
shape,” Archer added.
Factories’ total order books
bounced back from a disappointing
score last month. While eight per
cent more respondents say order
books are below normal than above
normal, this is a significant improve-
ment on January’s score of -16 per
cent, and above the long term average
of -18 per cent.
The recovery prompted optimism
among manufacturers, with a bal-
ance of 23 per cent predicting an
increase in output over the next three
months – the strongest anticipated
growth since June 2007.
“With expectations for output
growth at their strongest since before
the recession, the recovery in the
manufacturing sector remains well
on track,” said Ian McCafferty, chief
economist at the CBI. “The sector
should continue to make an impor-
tant contribution to broader econom-
ic growth,” McCafferty said.
“Exports are benefiting from the
low pound and strengthening global
growth,” Saunders added.
real action now to prevent the crisis
deepening,” said Stewart Baseley,
executive chairman of the Home
Builders Federation.
“The problem is that we have a
planning system in the midst of rad-
ical change, expensive and unneces-
sary red tape and a shortage of
mortgage availability.”
New starts of house construction
in England also fell in the three
months to December, compared to
the third quarter of the year.
Seasonally adjusted house build-
Neil Prothero of the Economist
high street confidence
Intelligence Unit. Yet this does not
mask stubborn problems across the
OECD, he warned.
▲
EUROZONE ECONOMY
“The fiscal outlook in the US
remains dire and employment CONSUMER confidence across the
prospects across the OECD are weak,” Eurozone rose this month, an offi-
Prothero said. cial “flash” estimate revealed yester-
day.
FAST FACTS | GDP ACROSS THE OECD After falling to a five month low in
January of -11.2, morale on the single
● Japan’s economy shrank by 0.3 per cent in currency area’s high streets
the fourth quarter of 2010. rebounded to -9.9.
● In the US growth accelerated to 0.8 per cent. Confidence has closed in on
● In the Eurozone the economy experienced November’s 35 month high of -9.4,
sluggish growth of 0.3 per cent. and is above the long term average of
-12.5.
REVERSE QE2, SAYS FED’S RICHARD FISHER
AS THE American economy improves, the Federal Reserve should consider reversing its
controversial asset purchasing scheme (QE2), senior Fed official Richard Fisher said yester-
day. When the time comes to tighten policy, “one could make an argument that the most
logical thing to do is to undo what you did last,” he told Bloomberg News. Yesterday Fed
dissident Thomas Hoenig also renewed his complaints over QE2. Picture: REUTERS
NEWS | IN BRIEF
Jobless claims in US rise again
Unemployment claims in the US rose
more than expected last week, official
figures revealed yesterday. Initial claims
for state unemployment benefits
increased 25,000 to a seasonally adjust-
ing starts stood at just 23,000 in the ed 410,000, the Labor Department said,
final quarter of 2010 – 11 per cent partially reversing the prior weeks hefty
lower than the previous quarter. decline. “We see this move as a contin-
London and the south east were ued unwind of the weather-related dis-
among the only four regions in tortions to the previous weeks of claims
which housing starts were lower in data,” said Michael Gapen of Barclays
the December quarter 2010 than at Capital. “The large drop-off in claims
the same time in 2009. last week was due in part to the
Last week the Institute of unwinding of the weather effects that
Directors called for a relaxation of caused a surge in claims at the end of
restrictions on building on the green January,” he explained. The number of
belt, while OECD economists have people receiving benefits under regular
argued that the UK should “reassess state programmes after an initial week
its land use policies.” of aid edged up 1,000 to 3.91m.
Economics 15
Sentiment was weaker across the
European Union as a whole, yet rose
to -12.4 from an upwardly revised -
12.6 in January.
“While details are not yet avail-
able, the likelihood is that sentiment
was supported by some recent better
news on the jobs front,” speculated
Howard Archer of IHS Global Insight.
Meanwhile, the Eurozone’s trade
deficit soared to €13.3bn in
December, from €10.5bn the previ-
ous month – the widest current
account gap since November 2008.
Core price
pressures
grow for US
▲
US ECONOMY
AMERICA’S recovery was boosted yes-
terday, with several data releases
boding well for the world’s largest
economy.
However, the Federal Reserve faces
more criticism after core inflation
rose at its highest rate for over a year.
Consumer price inflation for
January came in higher than expect-
ed, at 0.4 per cent month-on-month.
Core prices – excluding food and
energy costs -- increased by 0.2 per
cent – the largest gain since October
2009.
The index rose 0.1 per cent in
December.
Meanwhile, the US leading indica-
tors – which gauge the economic
outlook – rose for the seventh
straight month in January, increas-
ing by 0.1 per cent on the previous
month.
“The three month annualised rate
remained high at 8.2 per cent, an
encouraging sign that overall
growth is indeed set to be stronger in
2011,” said Nicholas Tenev of Barclays
Capital.
Signs of economic strengthening
were also reflected in the
Philadelphia Fed manufacturing
index which jumped to 35.9 in
February from 19.3 in January, well
above expectations.
The employment part of the index
rose to a 37 year high of 23.6, from a
previous level of 17.6.
Norwegian growth disappoints
Norway’s mainland GDP grew by 0.3 per
cent in the final three months of 2010, it
was revealed yesterday. The results
were considerably below the forecasts
of economists, yet driven down partly by
revisions to data for previous periods.
Growth for the third quarter was
changed from 0.9 per cent to 1.1 per
cent. The mainland economy expanded
by 2.2 per cent for 2010 as a whole, as
it recovers from recession.
Property firms pay to retain youth
Property companies are vying to attract
and keep hold of young talent, the Royal
Institution of Chartered Surveyors
(RICS) said yesterday. Young people in
the property sector are receiving signifi-
cant salary hikes, according to a RICS
survey of the sector. Employees aged
18-22 in receipt of a pay rise reported
an average increase of 21.2 per cent in
their pay.
 16 News
ABB promises $1bn cost cuts
▲
ENGINEERING
BY HARRY BANKS
SWISS engineering company ABB has
unveiled a further $1bn (£610m) of
cost savings as it continues to cope
with price pressures from increasing-
ly competitive emerging market play-
ers and falling Asian orders.
ABB’s new planned savings of
more than $1bn build on deep cost
cuts made during the recession.
The firm said yesterday that price
pressures were set to continue, with
emerging market producers of power
equipment expected to expand fur-
ther beyond their home markets.
Nestle helped
by emerging
market boom
▲
FOOD
BY HARRY BANKS
NESTLE, the world’s biggest food
maker, said strong demand in
emerging markets would help it off-
set a steep rise in input costs in 2011
after it beat sales forecasts for 2010.
The maker of Nescafe coffee and
Gerber baby food said it was well
placed to cope with rising commod-
ity prices by making cost savings
and pushing up its own prices.
“We saw a significant uptick in
raw material prices in the second
half,” finance chief Jim Singh said
yesterday. “We expect SwFr2.5-3bn
(£1.6-2bn) additional input costs in
2011”.
The increase would be about 8-10
per cent on a cost base of about
SwFR30bn, a Nestle spokesman said.
Nestle can rely on its strong pres-
ence in emerging markets, where
underlying sales growth was 11.5
per cent in 2010, and the appeal of
brands such as KitKat chocolate
bars to offset rising costs for milk,
cocoa, coffee, sugar and grain.
“I cannot tell you what the pric-
ing will be, that depends on the dif-
ferent markets,” Singh said.
Underlying sales growth in 2010
AkzoNobel dismisses takeover talk as Reed Elsevier revenue flat
it offsets rising costs with price hikes but expects sales upturn
▲
INDUSTRIALS
BY HARRY BANKS
AKZONOBEL has said it is optimistic
it can raise prices and cut costs to
offset higher oil-based raw materials
prices in 2011, while dismissing talk
the Dutch chemical group could be a
takeover target.
Speculation about a potential
leveraged buyout of the world’s
largest paint maker surfaced last
week, helping to lift AkzoNobel’s
stock to a 32-month high.
ABB posted fourth-quarter net
income of $700m, versus the $695m
expected in an analyst poll.
The company reported five per
cent sales growth in Asia as lower
power orders from China and India
came in.
“The cost savings are higher than
I’d have expected,” ZKB analyst
Richard Frei said, adding that this
was not necessarily a sign of bad
times ahead. “My conclusion is more
that there’s quite a bit of potential
that can be exploited.”
Shares in ABB, which have risen
strongly this year, closed down 3.3
per cent at SwFr22.41, underperform-
rose six per cent to beat a forecast of
5.5 per cent, and accelerated to 6.4
per cent in the fourth quarter, mak-
ing the group confident of meeting
its long-standing target of five to six
per cent growth in 2011.
Full-year net profit at Nestle rose
to SwFr34.2bn, including the pro-
ceeds from the sale of its remaining
stake in eyecare group Alcon to
pharma group Novartis.
Singh said the group could use
part of its cash for smaller acquisi-
tions, particularly in its nutrition
business, as it intends to boost its
medical food activities. Nestle aims
to conclude its current SwFr10bn
buyback in the first half of the year
and will subsequently decide on a
new one, Singh said.
ANALYSIS l Nestle
57 CHF
55
52.90
17 Feb
53
51
7 Dec 27 Dec 14 Jan 3 Feb
Finance chief Keith Nichols tried
to pour cold water on the rumour
during AkzoNobel’s results yester-
day.
“We are a leader in our business
and we have a scale, to be honest,
and I should not be commenting,
that is quite a bite in this market to
contemplate. So we are sticking to
what we do, what we think is the
right valuation strategy,” he said.
Rising metal and oil prices cut
into AkzoNobel’s margins in the
fourth quarter. AkzoNobel, which
ing a flat sector index.
“Within expectations simply isn’t
enough, especially when you see that
the stock has climbed over 10 per
cent in 2011,” a trader in Zurich said.
ABB’s business is heavily exposed
to customers’ capital spending plans
and suffered falling orders during
the downturn.
ABB chief executive
Joe Hogan said the
company was at a
turning in its power
businesses
HONDA RECALLS 700,000 VEHICLES
HONDA is recalling nearly 700,000 Fit, Freed and City compact cars around the world
because of a defective spring part that may cause the engine to stall. No accidents have
been reported related to the problem. The company also said it may buy back more
shares by the end of the business year next month to meet its goal of reaching a payout
ratio of 30 per cent
makes coatings for laptops, houses,
planes and ships, said its margins
fell to 10.4 from 11.9 per cent and
core profit was below the consensus
estimate.
AkzoNobel posted a three per cent
rise in quarterly earnings before
interest, tax, depreciation and amor-
tisation but missed a consensus fore-
cast.
Shares in the company, which ana-
lysts say have been held back by pen-
sion and restructuring costs, closed
up 2.1 per cent at €49.57 (£41.7).
Qantas predicts growth
in profits as travel revives
▲
AVIATION
AUSTRALIA’S Qantas Airways sig-
nalled a return to growth after the
worst downturn in aviation history,
as recovering corporate travel and
higher ticket prices offset soaring
fuel prices and the cost of grounding
its fleet of A380 aircraft.
Qantas shares posted their biggest
one-day gain in almost two years, ris-
ing 5.4 per cent as investors
shrugged off their disappointment
that the airline did not reinstate div-
Picture: GETTY
▲
MEDIA
ANGLO-DUTCH publisher Reed
Elsevier expects a gradual recovery in
sales and profit margins, after flat
sales and a small dip in operating prof-
it last year.
The company, which publishes sci-
entific and academic information and
runs the world’s biggest exhibitions
business, said increased spending on
product development and sales and
marketing had been largely offset by
cost-efficiency gains.
CITYA.M. 18 FEBRUARY 2011
idend payments to focus on upbeat
comments on cost savings and
yields.
The airline, Australia’s largest,
posted a four-fold increase in first-
half net profit to A$241m (£150.2m)
compared with A$58m a year earlier.
Qantas said it expected “material-
ly higher” profits in 2011 despite an
A$80m impact from the decision to
ground its A380 fleet last year fol-
lowing a mid-air Rolls-Royce engine
explosion. However, it did not give
specific guidance.
NEWS | IN BRIEF
Lenovo tops analyst forecasts
Lenovo Group beat estimates with a 25
per cent jump in third-quarter net prof-
it, its strongest result in more than two
years, but a slowdown in its key home
China market could affect its 2011 out-
look. Economic uncertainty in mature
markets such as the US and Europe
might also offset the positive impact it
gets from a strengthening Chinese cur-
rency and lower component costs.
Lenovo, one of China’s best-known
brands, reported October to December
net profit of $99.6m, up from $79.5m a
year ago, and beating expectations for
a $86.2m net profit from analysts.
Astellas buys cancer drug rights
Japan’s Astellas Pharma has said it has
agreed to pay $125m (£77.3m) in cash to
Aveo Pharmaceuticals for worldwide
rights outside of Asia to the drug
tivozanib, which is in late stage clinical
development for advanced kidney cancer.
Aveo would also be eligible to receive up
to an additional $1.3bn in future pay-
ments based on regulatory and sales
milestones, the companies said. Some
$90m of that would be due for filing for
and receiving marketing approval for
tivozanib in kidney cancer, meaning that
could be realised in the fairly near term.
Nobel Biocare sees profits slump
Swiss dental implant maker Nobel
Biocare lost more ground to rival
Straumann in the fourth quarter and
added a slump in profit to the woes that
ended finance chief Domenico Scala’s
tenure 24 hours ago. The group, which
has announced former Nestle executive
Richard Laube as its new boss, posted
an 80 per cent tumble in fourth-quarter
net profit to €5.2m (£4.4m), with
patients reluctant to spend on pricier
products and non-urgent treatments.
Sales dipped 1.6 per cent to €153.2m
despite a boost from the euro’s weak-
ness, missing analysts’ expectations.
It added the bulk of its restructur-
ing was now complete.
“Most of our markets are stable or
improving, and we are building on the
actions taken in 2010 to strengthen
the business further. Overall, we
expect a gradual recovery and a con-
tinued improvement in performance,”
the company said in a statement.
Reed Elsevier’s total 2010 revenue
was flat at £6.06bn, though up two per
cent on an underlying basis, while
operating profit slipped one per cent
to £1.56bn.
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 18 News CITYA.M. 18 FEBRUARY 2011

CITY MOVES | WHO’S SWITCHING JOBS Edited by Marion Dakers in association with

KPMG
Robert Mirsky is joining the financial services
firm as head of hedge funds in the UK. He was
previously managing director of investment
consultancy Laven Partners, and has worked
for Ernst & Young’s hedge fund practice in the
US.
Mirsky, who trained as a lawyer in the US, is
also the chairman and founder of Hedge Funds
Care UK, an industry-supported charity that
works to prevent child abuse.
Thackray to work on investor relations
Evolution Securities within the corporate broking team.
The investment bank has hired Adele Thackray has extensive experience in
pan-European equity research and
sales, both in financial boutiques and
investment banks including UBS.
PZ Cussons
The consumer goods group has formed
a new beauty division, to be headed by
current St Tropez chief executive
Michelle Feeney. Ann Murray and Selma
Terzic will also join the branch from PZ
Cussons subsidiaries Sanctuary and St
Tropez. The division will be based in
Covent Garden from June.
Feeney has been with St Tropez since
2006 and before this spent 11 years at
Estee Lauder as part of a 25-year
career in the beauty industry.
PZ Cussons will operate as two divi-
sions, UK and Beauty from 1 June, seal-
ing the integration of the St Tropez
brand.
Close Asset Management
The investment manager has appointed
Ian Christie as business development
director. He joins from Mountbatten
Financial Management, where he
worked as client services director for
two years. Before this, he spent time at
MetLife UK and Premier Asset
Management.
Christie will be responsible for support-
ing independent financial advisers in
northern England, as part of Close’s
expansion in the IFA sector.
Lombard Risk
The management consultancy has hired
Paul Tuson as chief financial officer.
Tuson joined the firm in September and
has previously worked for KPMG and
Aspire Technology. He is a qualified
chartered accountant, and has acted as
CFO for three Aim-listed companies.
Also joining Lombard are Philip
Stanning, who becomes group sales
director, and new group marketing
director Rebecca Bond.

To appear in CITYMOVES please email your career

SPECIALISTS IN GLOBAL PROFESSIONAL RECRUITMENT +44 (0)20 7557 7245
updates and pictures to citymoves@cityam.com morganmckinley.com

BEST OF THE BROKERS To appear in Best of the Brokers email your research to notes@cityam.com

ANALYSIS l Betfair ANALYSIS l BHP Billiton 2,444.50 ANALYSIS l InterContinental Hotels Group 1,416.00
1,500 p 2,650 p 17 Feb 1,400 p 17 Feb

2,550
1,300 918.00 1,300
17 Feb 2,450
1,100 1,200
2,350

900 2,250 1,100

22 Nov 10 Dec 4 Jan 24 Jan 11 Feb 22 Nov 10 Dec 4 Jan 24 Jan 11 Feb 22 Nov 10 Dec 4 Jan 24 Jan 11 Feb

BETFAIR BHP BILLITON INTERCONTINENTAL HOTELS

Liberum Capital rates the gambling group “sell” with a target price of
850p. The broker believes that the market is attributing too much value to
the LMAX, the firm’s contracts for difference exchange, given that vol-
umes since December have been poor. Liberum expects the firm’s update
on 8 March to show sales were hit by event cancellations due to the win-
ter weather and headwinds in the poker business.
Standard & Poor’s rates the miner “hold” with an increased target price of
£27, up from £25, following Wednesday’s record results, driven by higher
commodity prices. The broker believes BHP has sealed its reputation as
the best in the mining sector, though the results gave little scope for a
near-term catalyst for the share price, which are already at an all-time
high. S&P says post-Potash acquisition activity is unlikely.
JP Morgan Cazenove rates the hotel group “overweight” with a target
price of £16.72. The broker has raised its 2011 earnings estimate by five
per cent based on recent results, which suggest a tight control of cost
inflation and the lucrative sale of some assets. JPM adds that the disposal
of its flagship New York hotel could return up to $260m to investors,
pushing earnings per share up nine per cent.

London flat as weak miners Wall St rises despite

are offset by strong financials Middle East unrest
ascent from Tuesday when Barclays ness, said increased spending on intention to send two navy vessels

THELONDON posted forecast-beating results.

Royal Bank of Scotland and Lloyds
product development and sales and
marketing had been largely offset by THENEW YORK through the Suez Canal to the
Mediterranean in a move Israel has

REPORT
Banking Group, set to unveil full-year
results next week, rose 3.8 per cent
and three per cent respectively.
“The environment is very good,
REPORT
cost-efficiency gains. The publisher called a “provocation”.
added the bulk of its restructuring “Geopolitical issues have been
was now complete. The firm also said pushed aside, maybe prematurely,”
it expects a gradual recovery in sales Lazorishak said.

B U
RITAIN’S FTSE 100 share index
closed slightly higher yester-
day, as strong gains from banks
offset weaker miners and opti-
mism on corporate earnings out-
weighed Middle East political
concerns.
Banks advanced by upbeat broker
comment and hopes for further good
earnings reports from the sector, and
overall sentiment on equities
remained fairly positive.
The FTSE 100 closed 2.11 points
higher at 6,087.38 after it added 0.8
per cent on Wednesday, and is close
to its highest since June 2008. It has
gained 3.8 per cent this month.
Activity was fairly strong with vol-
umes at over 125 percent of the aver-
age for the last 90 trading days.
Police in the Gulf island kingdom
of Bahrain attacked demonstrators
camped out in the capital yesterday,
killing three, in a move to stifle pro-
democracy protests inspired by simi-
lar movements across the region.
“The market is proving resilient to
news in the Middle East which usual-
ly would have caused things to wob-
ble more,” Keith Wade, chief
economist and strategist at Schroders
said.
Banks which continued their
with low interest rates and big mar-
gins,” Wade said.
Evolution Securities added RBS to
its “core buy portfolio”, saying it was
a “clear beneficiary of potentially bet-
ter trading conditions in retail and
investment banking in the UK”, while
Lloyds remained the broker’s “Top
Conviction Buy” in the European
banking sector.
Miners weakened as copper stum-
bled to three-week lows with
inflation worries and the demand-sti-
fling effect of prices near record
highs keeping sentiment in check.
BAE Systems was the biggest faller
down 4.2 per cent, after the defence
contractor said it expected sales to
fall in 2011 as the impact of defence
cuts in the UK and the United States
begin to hit home.
Investec Securities placed its “buy”
rating for the stock under review.
Reed Elsevier was also pressured
after its results, off 2.4 per cent, with
Investec describing the publishing
and information provider’s full-year
numbers as “solid”, but saying there
was “little in the statement to get
excited about either way”.
Reed, which publishes scientific
and academic information and runs
the world’s biggest exhibitions busi-
and profit margins.
US core consumer prices rose at
their quickest pace in more than a
year in January while new claims for
unemployment benefits rose last
week, partially reversing the prior
week’s hefty decline, dampening a
rally in US stocks.
British factory orders improved
more than expected in February and
firms expected to put up prices at
their fastest pace in two-and-a-half
years, the CBI’s monthly industrial
trends survey showed.
Technical indicators on the FTSE
100 point to some fairly strong sup-
port around the 6,000 level and
slightly below, Nicole Elliott, techni-
cal analyst at Mizuho Corporate Bank
said.
ANALYSIS l FTSE 6,087.38
6,100 17 Feb
p
5,900
5,700
5,500
22 Nov 10 Dec 4 Jan 24 Jan
S investors piled on a dizzying
two-year advance in stocks yes-
terday, using a brief slip on
negative economic news as an
opportunity to buy into market lead-
ers.
The technology sector showed
strength, with Nvidia up 9.8 per cent
to $25.68 a day after posting a bullish
revenue forecast on accelerating sales
of its processors.
An index of semiconductors’ shares
gained 1.4 per cent and is now up
21.3 per cent since early December,
around the time when the most
recent leg of the run-up started.
The S&P energy sector gained 0.8
per cent. US crude futures jumped 1.7
per cent as unrest in the Middle East
kept focus on supply, boosting shares
of energy companies.
Futures had dipped early in the ses-
sion after data showed both a rise in
consumer prices and new claims for
unemployment benefits, but the dip
didn’t last long after the open.
“People have been focusing on the
positives like the outlook for corpora-
tions and a good earnings season,”
said Brian Lazorishak, a money man-
ager at Chase Investment Counsel in
Charlottesville, Virginia.
11 Feb Stocks continued to ignore Iran’s
The S&P 500 has doubled its value
in less than two years, the quickest
100 percent gain since the Great
Depression.
However, volume has been light in
the most recent leg of the rally, with
just 6.7 billion shares changing hands
Thursday on the New York Stock
Exchange, NYSE Amex and Nasdaq
combined – the second-lowest so far
in 2011.
The Dow Jones industrial average
gained 29.97 points, or 0.24 per cent,
to 12,318.14.
The Standard & Poor’s 500 Index
rose 4.11 points, or 0.31 per cent, to
1,340.43. The Nasdaq Composite
Index added 6.02 points, or 0.21 per
cent, to 2,831.58.
Advancing stocks outnumbered
declining ones on the NYSE by a ratio
of about five to three, while on the
Nasdaq, about three stocks rose for
every two that fell.
The S&P 500 faces little technical
resistance before the 1,361 area that
marks the 76.4 per cent retracement
of its slide from the 2007 highs to the
low hit on March 6, 2009.
A Fibonacci projection of the latest
leg of the rally also draws a target
near 1,361, suggesting the S&P could
face strong resistance at that level.

Wealth Management | Listed Products
Investors in
SANE states:
keep calm
and carry on
The grouping of African nations has seen
political turmoil but investors should
keep their nerve, writes Craig Drake
A
T the start of the year, invest-
ment opportunities seemed
aplenty for those seeking expo-
sure to Africa. The London
Stock Exchange announced that the
HSBC MSCI South Africa ETF, launched
yesterday, brought the total number of
London-listed exchange-traded funds
(ETFs) based on emerging market
indices to 75.
South Africa, Algeria, Nigeria and
Egypt find themselves following the
Piigs and the Brics in the current trend
for multinational groupings.
Collectively they are home to 70 per
cent of Africa’s largest companies, all
of the top 50 banks, the target of more
than half of all foreign investment and
holders of more foreign currency
reserves than the rest of Africa com-
bined,
However, all has not gone to plan for
the continent. With civil unrest sweep-
ing across the north coast, and regimes
seemingly tumbling like dominoes,
predictions of the emergence of
African economies took a large dent.
The political wildfire sparked first in
Tunisia and spread around the region
and into the Arab states. The largest
political bonfire was in Egypt, but the
flames of protest were fanned deeper
into the continent to Sudan, sub-
Saharan Africa’s largest country, which
is set to split in two in July, with anti-
government protests continuing to
rage across the country.
In contrast, of the SANE grouping,
South Africa looks the most attractive
proposition. 2010 saw it ride the wave
of rising commodity prices and their
export sector has flourished thanks to
comparative freedom from the high
tariffs and big government interven-
tion that hold back other African
nations. Despite this, there could be
trouble on the horizon for South
African unity. Nelson Mandela is now
92 and in frail health, and the ANC
ANALYSIS l Market Vectors Africa Index ETF vs its SA Index ETF
% are tradable in low denominations, typically £1,000, and have
20 S Africa ETF
15
10
5 go to www.londonstockexchange.com/bondsmadeeasy
0
2010 Sep Oct Nov
19
Scenes from Cairo as
civil unrest spread
across the continent
Picture: Reuters
party do not have the dominance that
it once had.
With such instability in the conti-
nent, why should emerging market
ETFs be a target for investors in the
long term?
Farley Thomas, head of ETFs at HSBC
said in support of emerging markets:
“With investors eager for growth and
income it seems very likely they will be
attracted to these sometimes over-
looked but quite dynamic economies
that are perhaps worth investing in for
the long term.”
“South Africa is one of the bigger
economies within the emerging mar-
kets universe. It has an abundant sup-
ply of natural resources alongside
well-developed financial, communica-
tions, energy, and transport sectors.
The HSBC MSCI South Africa ETF aims
to provide investors with high quality
and good value access to this potential-
ly high growth story.”
Though it is easy to make the case
for a South Africa fund, there are also
those that believe that the events in
Egypt and beyond will be a good thing
for long term investors seeking expo-
sure to Africa. Citadel Capital, based in
Egypt, takes the view that the difficult
period experienced in January and
beyond will result in a more stable and
faster-growing Egypt and region, with
compelling opportunities for long-
term private equity investors in Egypt
and beyond.
With Market Vectors’s Africa Index
ETF tracking above its South African
fund for the first time in 6 months, we
may well see more SANE-targeted ETFs
hit the market, allowing smart
investors to expose themselves to
diverse commodity rises across the
continent. If they are prepared to
weather the storm and take a long-
term view on African investment,
there could be rich pickings for those
prepared to take the risk. This month, the London Stock Exchange is celebrating
the first anniversary of the launch of its Order book for
Retail Bonds (ORB). On ORB, private investors can invest
and trade in bonds as simply as they trade shares. The bonds
continuous buy and sell prices displayed throughout the trading
day. The market hosts a range of corporate, government and
supranational debt.
For further information on ORB,
Africa ETF or email us at bonds@londonstockexchange.com
Dec 2011 Feb
 20 Wealth Management CITYA.M. 18 FEBRUARY 2011

FTSE 100 FTSE 250 FTSE ALLSHARE DOW NASDAQ S&P 500 / 1.1894 0.0110 /$ 1.3592 0.0031
6087.38 11827.76 3155.97 12318.14 2831.58 1340.43 /$ 1.6162 0.0075 /£ 0.8409 0.0021
2.11 20.48 1.74 29.97 6.02 4.11 /¥ 134.76 0.1778 /¥ 113.30 0.0490
Price Chg High Low Price Chg High Low Price Chg High Low Price Chg High Low Price Chg High Low Price Chg High Low Price Chg High Low Price Chg High Low
GILTS Yule Catto & Co . . . . .238.8 6.8 240.5 106.1 Brewin Dolphin Ho . .183.2 5.8 183.6 114.0 Rexam . . . . . . . . . . . .371.0 0.4 375.0 276.5 Amlin . . . . . . . . . . . . .398.6 2.6 433.0 366.8 BHP Billiton . . . . . . .2444.5 -19.5 2616.0 1684.5 Great Portland Es . . .391.3 1.6 391.9 280.5 Marston's . . . . . . . . . .102.3 -0.2 117.1 88.8
Camellia . . . . . . . . . .9900.0-150.010700.06900.0 Smiths Group . . . . .1363.0 -23.0 1429.0 1008.0 Beazley . . . . . . . . . . . .135.2 1.1 135.2 105.4 Centamin Egypt Lt . .139.4 -2.5 197.1 111.0 Hammerson . . . . . . . .441.0 2.0 442.9 336.3 Millennium & Copt . .600.5 16.0 609.0 371.3
Tsy 9.000 11 . . . . .103.37 0.00 111.2 103.4 CONSTRUCTION & MATERIALS Charles Taylor Co . . .160.0 1.0 240.0 153.0 Brit Insurance Ho . .1060.0 4.0 1068.0 728.0 Eurasian Natural . .1000.0 -8.0 1266.0 818.0 Land Securities G . . .735.5 8.5 740.5 545.0 Mitchells & Butle . . . .328.0 -0.5 361.0 274.0
Tsy 3.250 11 . . . . .101.99 0.00 104.1 102.0 GENERAL RETAILERS
Balfour Beatty . . . . . .357.2 6.6 357.7 229.8 City of London Gr . . . .91.0 -1.5 94.5 62.0 Catlin Group Ltd. . . .392.5 6.9 399.2 319.9 Fresnillo . . . . . . . . . .1476.0 -8.0 1682.0 737.0 SEGRO . . . . . . . . . . . .327.4 5.1 341.3 250.2 National Express . . .260.3 1.1 263.6 198.1
Tsy 2.500 11 . . . . .309.34 0.00 311.1 307.1 Keller Group . . . . . . .635.5 -7.5 784.5 515.0 City of London In . . .437.3 -7.8 461.5 266.5 Brown (N.) Group . . .274.0 -1.0 311.2 212.2 CPP Group . . . . . . . . .300.0 -2.0 329.0 225.0 Gem Diamonds Ltd. .299.0 2.0 300.0 186.3 Shaftesbury . . . . . . . .459.3 1.0 460.9 349.3 PartyGaming . . . . . . .175.9 1.1 334.5 174.5
Tsy 4.250 11 . . . . .100.19 0.00 103.7 100.2 Kier Group . . . . . . . .1242.0 44.0 1383.0 886.5 Close Brothers Gr . . .848.0 9.5 888.5 664.0 Carpetright . . . . . . . . .689.0 -1.0 973.0 636.0 Hiscox Ltd. . . . . . . . . .389.6 9.6 399.0 327.9 Hochschild Mining . .532.5 7.0 658.0 234.0 Punch Taverns . . . . . .68.5 -0.1 101.0 58.0
Tsy 9.000 12 . . . . .111.27 0.00 118.0 110.0 Collins Stewart . . . . . .89.0 -0.5 94.0 67.3 Debenhams . . . . . . . . .63.6 -0.2 79.0 53.0 Jardine Lloyd Tho . . .644.0 1.5 645.5 477.0 Kazakhmys . . . . . . .1505.0 -33.0 1671.0 965.0 SOFTWARE & COMPUTER SERV. Rank Group . . . . . . . .128.6 2.7 138.5 92.5
Tsy 5.250 12 . . . .105.35 0.00 108.7 105.3 ELECTRICITY Evolution Group . . . . .76.0 7.3 127.0 67.0 Dignity . . . . . . . . . . . .677.5 11.0 726.5 598.0 Lancashire Holdin . . .594.5 -9.0 647.0 442.0 Kenmare Resources . .38.6 -0.9 41.1 9.3 Autonomy Corporat 1703.0 69.0 1975.0 1271.0 Restaurant Group . . .297.0 5.0 310.9 200.1
Tsy 5.000 12 . . . .104.21 0.00 107.7 104.2 Drax Group . . . . . . . .400.0 5.9 421.0 326.3 F&C Asset Managem .87.4 0.4 92.9 47.5 Dixons Retail . . . . . . .21.1 -0.5 36.5 20.4 RSA Insurance Gro . .143.5 3.5 143.5 114.8 Lonmin . . . . . . . . . . .1852.0 -18.0 2113.0 1355.0 Aveva Group . . . . . .1708.0 4.0 1739.0 1007.0 Sportingbet . . . . . . . . .47.0 -1.5 79.9 46.0
Tsy 4.500 13 . . . .106.02 0.00 109.2 106.0 Scottish & Southe . .1196.0 6.0 1258.0 1010.0 Gartmore Group Lt . .106.6 -1.0 210.0 88.5 Dunelm Group . . . . . .436.0 -22.9 550.0 325.3 Petropavlovsk . . . . .1036.0 -3.0 1365.0 903.5 Computacenter . . . . .438.0 5.6 457.5 260.0 Stagecoach Group . .211.8 -0.2 224.0 160.7
Tsy 8.000 13 . . . . .116.41 0.00 121.3 116.3 LIFE INSURANCE
Hargreaves Lansdo .602.0 -1.5 609.5 311.5 Halfords Group . . . . .405.4 1.0 550.0 391.7 Randgold Resource 4919.0 60.0 6655.0 4556.0 Fidessa Group . . . . .1659.0 -33.0 1722.0 1269.0 Thomas Cook Group 195.6 1.6 272.0 171.7
Tsy 2.500 13 . . . .279.97 0.00 280.0 265.4 ELECTRONIC & ELECTRICAL EQ. Helphire Group . . . . . .16.9 0.1 60.3 11.8 Home Retail Group . .235.0 4.9 295.1 188.5 Aviva . . . . . . . . . . . . . .469.0 7.7 471.0 294.2 Rio Tinto . . . . . . . . .4498.5 -21.5 4712.0 2812.0 Invensys . . . . . . . . . . .345.7 -8.4 364.3 230.2 TUI Travel . . . . . . . . . .246.9 3.6 308.4 190.0
Tsy 5.000 14 . . . .109.31 0.00 114.1 109.2 Domino Printing S . .672.0 2.5 689.0 337.9 Henderson Group . . .162.5 -2.4 166.8 118.1 Inchcape . . . . . . . . . .410.0 -4.0 415.5 237.1 Legal & General G . . .121.3 -0.2 122.7 72.3 Vedanta Resources 2400.0 -45.0 2934.0 1839.0 Logica . . . . . . . . . . . .147.2 4.3 149.4 101.7 Whitbread . . . . . . . .1839.0 -21.0 1887.0 1266.0
Tsy 8.000 15 . . . .123.85 0.00 131.6 123.7 Halma . . . . . . . . . . . . .340.0 -2.0 366.6 239.5 Highway Capital . . . . . .7.0 0.5 8.5 6.0 JD Sports Fashion . .890.0 0.0 933.5 560.5 Old Mutual . . . . . . . . .136.7 1.3 145.2 15.8 Xstrata . . . . . . . . . . .1440.0 -37.0 1535.0 845.8 Micro Focus Inter . . .291.0 -5.0 546.5 276.0 William Hill . . . . . . . . .193.1 0.8 216.5 155.5
Tsy 7.750 15 . . . .105.60 -0.58 112.2 76.0 Laird . . . . . . . . . . . . . .165.2 -1.8 179.0 98.8 ICAP . . . . . . . . . . . . . .552.5 8.5 570.5 323.0 Kesa Electricals . . . .133.0 3.0 174.0 99.2 Phoenix Group Hol . .659.0 9.0 758.0 562.5 Misys . . . . . . . . . . . . .350.1 1.6 354.8 212.7
Tsy 4.750 15 . . . .108.83 0.00 114.7 108.5 MOBILE TELECOMS AIM 50
Morgan Crucible C . .288.0 -11.0 299.0 166.0 IG Group Holdings . .456.3 -2.0 553.0 362.4 Kingfisher . . . . . . . . .256.5 -0.8 271.3 198.5 Prudential . . . . . . . . .742.0 8.0 746.1 487.5 Sage Group . . . . . . . .292.7 2.1 302.0 222.7
Tsy 2.500 16 . . . .312.66 0.00 318.5 294.0 Renishaw . . . . . . . . .1640.0 40.0 1680.0 584.0 Intermediate Capi . . .340.5 1.2 360.3 240.4 Marks & Spencer G . .361.4 -2.9 427.5 323.4 Resolution Ltd. . . . . .294.5 13.9 328.6 211.3 Inmarsat . . . . . . . . . . .683.5 -16.5 821.0 606.5 SDL . . . . . . . . . . . . . . .674.0 5.0 681.0 421.0 Abcam . . . . . . . . . . . .348.5 -11.0 393.0 208.0
Tsy 4.000 16 . . . .105.22 0.00 111.4 102.8 Spectris . . . . . . . . . .1351.0 27.0 1418.0 740.5 International Per . . . .335.3 9.6 386.6 183.3 Mothercare . . . . . . . .497.6 -2.4 660.0 491.2 St James's Place . . . .314.6 7.1 314.9 204.2 Vodafone Group . . . .180.8 -2.0 183.0 129.5 Telecity Group . . . . . .500.0 -2.5 532.5 365.0 Albemarle & Bond . .298.0 6.0 334.0 218.0
Tsy 12.000 17 . . .127.50 -0.51 185.9 126.8 International Pub . . . .114.6 0.1 118.3 110.7 Next . . . . . . . . . . . . .1967.0 -30.0 2344.0 1817.0 Standard Life . . . . . . .242.3 1.9 244.0 173.0 Amerisur Resource . .24.0 -1.0 27.0 11.5
Tsy 1.250 17 . . . .106.82 0.00 111.1 103.1 EQUITY INVESTMENT INSTRUM. NONEQUITY INVESTM. COMM. SUPPORT SERVICES
Investec . . . . . . . . . . .476.2 -3.2 562.0 429.2 Sports Direct Int . . . .165.8 -1.8 178.0 92.3 MEDIA Archipelago Resou . . .62.8 0.8 64.8 30.0
Tsy 8.750 17 . . . . .133.11 0.00 142.2 132.4 Aberforth Smaller . . .697.0 7.0 698.5 495.0 IP Group . . . . . . . . . . . .43.5 3.3 54.0 28.0 WH Smith . . . . . . . . . .475.5 -0.7 523.0 398.2 Genesis Emerging . .511.0 -2.0 568.0 419.2 Aggreko . . . . . . . . . .1471.0 -23.0 1685.0 917.5 ASOS . . . . . . . . . . . .1850.0 0.0 1890.0 456.3
Tsy 5.000 18 . . . . .110.00 0.00 117.6 107.4 Alliance Trust . . . . . .369.2 0.6 377.9 293.5 Jupiter Fund Mana . .336.6 -0.7 338.6 180.3 4imprint Group . . . . .250.0 2.5 275.0 120.0 Ashtead Group . . . . .186.5 4.3 187.9 77.0 Aurelian Oil & Ga . . . .86.0 1.8 87.0 34.3
Tsy 4.500 19 . . . .105.78 0.00 113.8 102.5 HEALTH CARE EQUIPMENT & S. OIL & GAS PRODUCERS
Bankers Inv Trust . . .425.0 -2.0 427.7 337.0 LMS Capital . . . . . . . . .57.1 2.1 58.3 40.0 Aegis Group . . . . . . .146.1 -1.9 148.7 103.6 Atkins (WS) . . . . . . . .697.5 1.5 792.5 565.0 Avanti Communicat .595.5 -12.5 735.0 375.0
Tsy 3.750 19 . . . . .99.85 0.00 107.7 95.9 BH Global Ltd. GB .1094.0 -12.0 1178.0 1082.0 London Finance & . . .20.5 0.0 21.5 16.5 Smith & Nephew . . . .735.0 1.5 740.0 537.5 Bloomsbury Publis . .115.0 2.0 129.0 105.3 Afren . . . . . . . . . . . . . .160.1 2.8 161.7 79.2 Babcock Internati . . .554.5 -10.0 635.0 492.8 Avocet Mining . . . . . .218.5 0.8 240.0 90.0
Tsy 4.750 20 . . . .107.02 0.00 115.9 103.8 BH Global Ltd. US . . . .10.8 0.0 11.6 10.7 London Stock Exch .920.5 0.5 933.0 544.0 Synergy Health . . . . .895.0 2.5 948.0 562.5 British Sky Broad . . .749.0 -0.5 768.0 534.5 BG Group . . . . . . . . .1497.0 2.5 1524.0 984.0 Berendsen . . . . . . . . .444.6 -1.9 449.9 360.2 Blinkx . . . . . . . . . . . . . .91.5 -0.3 102.0 12.3
Tsy 2.500 20 . . . .314.43 0.00 325.7 291.5 BH Macro Ltd. EUR . . .16.5 0.0 17.2 15.8 Man Group . . . . . . . . .309.0 3.5 311.0 201.9 Centaur Media . . . . . . .72.0 0.0 72.0 45.8 BP . . . . . . . . . . . . . . . .489.4 0.5 655.4 302.9 Bunzl . . . . . . . . . . . . .778.0 0.0 783.0 635.5 Borders & Souther . . .66.3 -1.0 93.0 45.8
Tsy 8.000 21 . . . .134.30 0.00 147.1 132.8 HHOLD GDS & HOME CONSTR.
BH Macro Ltd. GBP 1695.0 -8.0 1800.0 1630.0 Paragon Group Of . .189.0 1.0 191.5 114.4 Chime Communicati .277.8 -0.3 281.8 158.0 Cairn Energy . . . . . . .421.6 -1.4 493.2 329.3 Capita Group . . . . . . .677.0 -3.0 826.0 635.5 BowLeven . . . . . . . . .319.0 -2.8 398.0 103.0
Tsy 4.000 22 . . . . .99.47 0.00 108.4 95.4 BH Macro Ltd. USD . . .16.5 -0.0 17.1 15.8 Provident Financi . .1006.0 -3.0 1009.0 728.5 Barratt Developme . .100.4 2.1 137.7 70.1 Creston . . . . . . . . . . . .98.4 -0.1 105.0 78.5 EnQuest . . . . . . . . . . .135.6 -3.9 150.6 89.3 Carillion . . . . . . . . . . .397.2 6.1 399.3 273.0 Caledon Resources .100.5 -2.0 107.0 23.3
Tsy 1.875 22 . . . . .111.48 0.00 117.8 107.3 BlackRock World M .799.5 1.0 815.0 529.0 Rathbone Brothers .1219.0 -21.0 1257.0 762.5 Bellway . . . . . . . . . . . .641.5 -10.5 809.0 511.0 Daily Mail and Ge . . .567.0 1.0 594.5 433.0 Essar Energy . . . . . .517.5 -8.0 589.5 383.0 De La Rue . . . . . . . . .701.0 -7.0 984.0 549.5 Cape . . . . . . . . . . . . . .434.3 -6.3 470.0 190.5
Tsy 2.500 24 . . . .276.08 0.00 286.9 254.0 BlueCrest AllBlue . . .169.0 0.3 174.5 157.5 Real Estate Credi . . . . .1.2 0.1 2.5 0.9 Exillon Energy . . . . . .418.0 -2.9 423.8 163.0 Electrocomponents .272.5 -0.7 279.5 184.3 CareTech Holding . . .222.4 -3.6 440.0 211.3
Tsy 5.000 25 . . . .108.05 0.00 118.5 103.6 British Assets Tr . . . .139.5 0.4 140.5 105.0 RSM Tenon Group . . .54.5 2.3 66.3 38.0 Heritage Oil . . . . . . . .292.7 -9.8 581.0 290.4 Experian . . . . . . . . . . .785.5 -11.0 819.0 572.0 Conygar Investmen .116.0 -0.8 124.3 101.3
Tsy 1.250 27 . . . .104.98
Tsy 4.250 27 . . . . .98.45
0.00
0.00
111.2
108.8
100.4
94.8
British Empire Se . . .500.5 -4.5 512.0 404.1
Caledonia Investm .1807.0 -3.0 1928.0 1532.0
S & U . . . . . . . . . . . . .637.5 0.0 637.5 482.5
Schroders . . . . . . . .1758.0 19.0 1922.0 1154.0
MAIN CHANGES UK 350 JKX Oil & Gas . . . . . .298.4 2.6
Premier Oil . . . . . . . .1988.0 -3.0
329.3 223.2
2140.0 1067.0
Filtrona PLC . . . . . . . .299.4 0.4
G4S . . . . . . . . . . . . . . .266.6 0.6
302.4 180.0
283.5 237.7
Cove Energy . . . . . . . .97.0 0.0
Daisy Group . . . . . . .101.0 -1.5
112.8
108.5
23.5
84.5
Tsy 6.000 28 . . . . .120.11 0.00 132.7 116.9 City of London In . . .291.5 -0.2 296.0 233.7 Schroders (Non-Vo .1373.0 14.0 1508.0 950.5 Royal Dutch Shell . .2173.5 27.0 2267.5 1624.0 Hays . . . . . . . . . . . . . .123.6 0.2 133.6 88.4 Desire Petroleum . . . .35.0 -1.0 168.5 33.3
Tsy 4.125 30 . . . .263.74 0.00 274.4 242.0 Dexion Absolute L . .146.5 0.7 147.9 131.2 Tullett Prebon . . . . . .420.0 7.0 423.1 278.2
Risers % Fallers %
Royal Dutch Shell . .2158.5 20.0 2251.0 1554.0 Homeserve . . . . . . . .471.6 -3.5 487.5 329.0 EMIS Group . . . . . . . .463.5 23.5 475.0 303.5
Tsy 4.750 30 . . . .103.67 0.00 115.0 100.1 Edinburgh Dragon . .230.4 -1.6 262.1 183.0 Walker Crips Grou . . .49.0 0.0 50.5 45.0 Evolution Group . . . . .76.0 10.6 Lamprell . . . . . . . . . . .281.4 -5.8 Salamander Energy .298.2 2.8 307.0 204.9 Howden Joinery Gr . .125.8 -1.7 128.4 56.8 Encore Oil . . . . . . . . .122.3 3.0 151.5 15.0
Tsy 4.250 32 . . . . .96.77 0.00 107.8 93.7 Edinburgh Inv Tru . . .437.2 1.2 467.2 366.0 IP Group . . . . . . . . . . . .43.5 8.1 Talvivaara Mining . . .570.5 -5.8 Soco Internationa . . .342.5 -0.3 484.2 292.0 Intertek Group . . . . .1787.0 -13.0 2000.0 1195.0 Faroe Petroleum . . . .182.5 -4.3 218.3 106.0
Tsy 4.250 36 . . . . .95.97 0.00 107.4 93.0 Electra Private E . . .1673.0 -9.0 1719.0 1177.0 FIXED LINE TELECOMS Michael Page Inte . . .525.5 -5.0 565.5 346.4 Gulfsands Petrole . . .329.0 -5.0 401.5 240.0
Tsy 4.750 38 . . . .104.02 0.00 116.5 101.1 Highway Capital . . . . . .7.0 7.7 Dunelm Group . . . . . .436.0 -5.0
F&C Inv Trust . . . . . .316.0 -0.7 317.0 251.4 BT Group . . . . . . . . . .184.6 -1.0 190.8 109.9 OIL EQUIPMENT & SERVICES Mitie Group . . . . . . . .207.5 7.5 241.1 188.7 GW Pharmaceutical .116.4 3.9 141.0 83.0
Tsy 4.500 42 . . . .100.22 0.00 112.8 97.5 Elementis . . . . . . . . . .136.8 6.0 Johnston Press . . . . . . .9.8 -4.2
Fidelity China Sp . . . .109.7 0.3 128.7 92.3 Cable & Wireless . . . .48.0 2.2 63.7 44.4 Real Estate Credit . . . . .1.2 5.0 BAE Systems . . . . . .340.9 -4.2 Tullow Oil . . . . . . . . .1370.0 -39.0 1452.0 991.5 Premier Farnell . . . . .305.0 -0.6 307.1 182.7 Hamworthy . . . . . . . .488.0 -2.0 502.0 256.8
Fidelity European . .1160.0 -2.0 1165.0 916.0 Cable & Wireless . . . .75.5 2.0 100.0 60.5 Amec . . . . . . . . . . . .1150.0 -33.0 1251.0 760.5 Regus . . . . . . . . . . . . .109.2 0.8 120.0 66.1 Hargreaves Servic . .906.5 -8.5 918.3 556.5
AEROSPACE & DEFENCE Fidelity Special . . . . .593.5 -0.5 596.0 503.0 COLT Group SA . . . .154.5 0.0 155.2 109.0 Resolution Ltd. . . . . .294.5 5.0 Morgan Crucible Co .288.0 -3.7 Hunting . . . . . . . . . . .775.0 -1.0 806.0 439.4 Rentokil Initial . . . . . . .98.0 0.0 138.5 87.7 Healthcare Locums . .112.5 0.0 0.0 0.0
BAE Systems . . . . . .340.9 -14.8 388.8 294.7 Herald Inv Trust . . . . .537.5 4.5 538.0 338.5 TalkTalk Telecom . . .151.5 1.6 168.3 108.5 Cable & Wireless C . . .48.0 4.9 Supergroup . . . . . . .1660.0 -3.4 John Wood Group . .640.5 -2.0 652.0 293.1 RPS Group . . . . . . . . .204.9 -4.1 242.0 169.8 Immunodiagnostic . .845.0 -22.0 975.0 575.0
Chemring Group . . .3459.0 -20.0 3663.0 2598.0 HSBC Infrastructu . . .118.8 -1.2 121.2 112.0 RSM Tenon Group . . .54.5 4.3 SIG . . . . . . . . . . . . . . .129.1 -3.4 Lamprell . . . . . . . . . . .281.4 -17.3 390.0 195.3 Serco Group . . . . . . .543.5 0.5 651.0 513.0 James Halstead . . . . .422.4 -5.6 435.0 280.5
FOOD & DRUG RETAILERS
Cobham . . . . . . . . . . .223.1 -0.4 275.9 192.3 Impax Environment .122.6 -0.4 130.5 106.5 Autonomy Corporati1703.0 4.2 QinetiQ Group . . . . . .126.7 -3.4 Petrofac Ltd. . . . . . .1513.0 -20.0 1685.0 924.2 Shanks Group . . . . . .116.7 1.6 126.7 92.0 Kalahari Minerals . . .242.5 -2.0 268.0 142.0
Meggitt . . . . . . . . . . . .346.5 -11.3 380.9 261.7 JPMorgan American .902.0 -4.0 910.0 673.0 Booker Group . . . . . . .55.4 0.3 60.6 38.6 Taylor Wimpey . . . . . . .38.6 4.2 Heritage Oil . . . . . . . .292.7 -3.2 SIG . . . . . . . . . . . . . . .129.1 -4.5 153.2 90.7 London Mining . . . . .415.0 -0.3 418.8 194.0
QinetiQ Group . . . . . .126.7 -4.4 142.0 96.7 JPMorgan Asian In . .222.6 -1.4 250.8 178.3 Greggs . . . . . . . . . . . .494.6 1.4 501.5 408.8 PERSONAL GOODS SThree . . . . . . . . . . . .404.0 1.8 414.8 231.1 Lonrho . . . . . . . . . . . . .17.5 -0.3 19.0 9.4
Rolls-Royce Group . .631.0 -14.5 665.0 516.0 JPMorgan Emerging .566.0 -1.0 639.0 474.7 Morrison (Wm) Sup .282.1 1.6 306.3 257.6 Price Chg High Low Price Chg High Low Burberry Group . . . .1195.0 20.0 1200.0 612.5 Travis Perkins . . . . .1036.0 16.0 1127.0 664.5 M. P. Evans Group . .443.0 -9.0 500.5 317.5
Senior . . . . . . . . . . . . .157.7 -1.8 161.4 78.5 JPMorgan European .879.0 -3.5 885.0 606.0 Ocado Group . . . . . . .253.9 1.9 285.0 123.5 PZ Cussons . . . . . . . .353.6 -2.0 409.0 260.1 Wolseley . . . . . . . . .2141.0 -25.0 2261.0 1223.0 Majestic Wine . . . . . .415.5 -6.3 430.0 239.5
Ultra Electronics . . .1799.0 -6.0 1895.0 1290.0 JPMorgan Indian I . . .432.2 1.2 502.0 366.0 Sainsbury (J) . . . . . . .385.0 -4.3 395.0 312.9 Berkeley Group Ho . .989.5 20.0 995.0 742.0 Euromoney Institu . .735.0 2.5 737.5 462.5 Supergroup . . . . . . .1660.0 -58.0 1820.0 535.0 May Gurney Integr . .258.0 -4.0 265.0 177.0
JPMorgan Russian .685.5 -4.5 755.0 499.5 Tesco . . . . . . . . . . . . .403.0 1.7 454.4 377.5 Bovis Homes Group .444.6 7.5 459.4 326.6 Future . . . . . . . . . . . . . .27.9 -0.1 30.0 15.8 TECHNOLOGY HARDW. & EQUIP. Monitise . . . . . . . . . . . .27.0 1.3 28.0 14.3
ALTERNATIVE ENERGY Law Debenture Cor . .359.2 -1.8 363.0 273.3 PHARMACEUTICALS & BIOTECH ARM Holdings . . . . . .630.0 -6.5 651.0 200.2 Mulberry Group . . . .1214.0 -81.0 1388.0 165.0
Mcbride . . . . . . . . . . .147.3 0.8 247.4 114.0 Haynes Publishing . .232.5 0.0 262.5 202.5
Hansen Transmissi . . .50.0 -1.7 108.0 40.0 Mercantile Inv Tr . . .1137.0 1.0 1150.0 840.0 FOOD PRODUCERS Huntsworth . . . . . . . . .80.5 -0.5 87.5 63.8 AstraZeneca . . . . . .3025.0 -10.0 3385.0 2772.0 CSR . . . . . . . . . . . . . .435.0 5.5 505.0 280.9 Nanoco Group . . . . . . .85.3 -1.8 115.8 77.8
Persimmon . . . . . . . .439.1 5.1 507.5 336.5
Merchants Trust . . . .411.2 -1.9 425.0 320.0 Associated Britis . .1059.0 14.0 1182.0 918.0 Reckitt Benckiser . .3279.0 -4.0 3655.0 3037.0 Informa . . . . . . . . . . . .461.1 2.3 466.0 325.1 BTG . . . . . . . . . . . . . .221.2 0.8 263.0 154.2 Imagination Techn . .397.3 -8.6 441.7 215.1 Nautical Petroleu . . .432.0 -2.0 547.0 45.0
AUTOMOBILES & PARTS Monks Inv Trust . . . .353.5 0.2 363.0 275.5 Cranswick . . . . . . . . .855.0 3.0 907.5 779.5 Genus . . . . . . . . . . . . .877.5 -2.5 893.5 677.5 Pace . . . . . . . . . . . . . .231.8 4.6 234.0 148.6 Nichols . . . . . . . . . . . .482.5 10.5 495.0 332.5
Redrow . . . . . . . . . . . .130.7 -2.3 151.9 97.5 ITE Group . . . . . . . . . .243.4 1.4 252.2 128.0
GKN . . . . . . . . . . . . . .213.1 -3.9 237.1 103.6 Murray Income Tru . .640.5 -4.5 649.0 518.0 Dairy Crest Group . . .373.5 -0.5 424.9 339.7 Taylor Wimpey . . . . . . .38.6 1.6 44.0 22.3 ITV . . . . . . . . . . . . . . . . .87.5 2.2 87.6 48.3 GlaxoSmithKline . . .1185.5 5.5 1318.5 1095.0 Spirent Communica .157.9 1.2 160.3 102.8 Numis Corporation . .122.4 2.4 158.5 109.0
Murray Internatio . . .916.5 -0.5 966.0 784.0 Devro . . . . . . . . . . . . .232.3 -1.5 275.0 155.0 Johnston Press . . . . . . .9.8 -0.4 33.5 9.1 Hikma Pharmaceuti .833.5 -3.5 900.0 541.5 Patagonia Gold . . . . . .49.5 1.5 59.3 12.5
BANKS Perpetual Income . . .258.7 1.7 262.0 203.0 Premier Foods . . . . . . .27.7 -0.2 35.6 16.0 INDUSTRIAL ENGINEERING Shire Plc . . . . . . . . . .1739.0 -1.0 1744.0 1289.0 TOBACCO Pursuit Dynamics . . .397.0 2.0 700.0 155.3
Mecom Group . . . . . .277.5 -2.0 288.0 153.5
Barclays . . . . . . . . . . .333.6 1.6 383.2 255.4 Polar Cap Technol . .384.0 -1.1 391.2 250.2 Tate & Lyle . . . . . . . . .599.5 15.5 604.5 409.1 Bodycote . . . . . . . . . .296.8 -9.4 310.3 178.0 Moneysupermarket. . .89.1 -0.8 91.5 61.0 British American . .2443.0 21.5 2521.0 1959.0 Rockhopper Explor .270.0 2.0 510.0 37.0
HSBC Holdings . . . . .730.9 9.4 739.6 596.2 RIT Capital Partn . . .1309.0 6.0 1328.0 999.0 Unilever . . . . . . . . . .1806.0 8.0 1997.0 1688.0 Pearson . . . . . . . . . .1048.0 -4.0 1066.0 864.0 REAL ESTATE INVEST. & SERV. Imperial Tobacco . .1925.0 -21.0 2154.0 1753.0 RWS Holdings . . . . . .345.0 -10.0 370.0 239.0
Charter Internati . . . .787.5 -13.5 853.5 567.0
Lloyds Banking Gr . . .69.2 2.0 77.6 50.3 Schroder Asia Pac . .215.5 -0.2 233.6 171.0 Fenner . . . . . . . . . . . .339.1 -1.0 386.7 183.3 Reed Elsevier . . . . . .561.5 -12.5 590.5 460.6 Capital & Countie . . .145.5 1.0 156.9 100.0 Songbird Estates . . .141.0 2.0 180.2 133.8
Scottish Inv Trus . . . .507.0 -3.0 516.5 401.5 FORESTRY & PAPER Daejan Holdings . . .2850.0 50.0 2900.0 2157.0 TRAVEL & LEISURE Sterling Energy . . . . . .75.0 -3.0 166.0 51.3
Royal Bank of Sco . . .49.0 1.8 58.1 33.7 IMI . . . . . . . . . . . . . . . .910.5 -0.5 953.0 554.0 Rightmove . . . . . . . . .894.5 0.5 917.0 596.5
Standard Chartere .1695.0 4.0 1950.0 1435.5 Scottish Mortgage . .741.5 -1.0 744.0 509.0 Mondi . . . . . . . . . . . . .535.0 -4.0 557.5 352.6 Melrose . . . . . . . . . . .306.9 -4.9 329.0 168.1 STV Group . . . . . . . . .120.0 1.0 131.8 48.0 F&C Commercial Pr .103.0 0.9 107.0 88.0 Avis Europe . . . . . . . .223.5 -5.5 284.7 190.0 Valiant Petroleum . . .624.5 1.5 761.5 504.0
SVG Capital . . . . . . . .250.5 0.5 252.0 130.5 Rotork . . . . . . . . . . .1823.0 48.0 1895.0 1254.0 Tarsus Group . . . . . .137.5 -2.5 145.0 105.0 Grainger . . . . . . . . . . .103.8 -0.6 145.0 86.3 Betfair Group . . . . . . .918.0 3.5 1550.0 882.0 Vatukoula Gold Mi . . .171.0 7.3 227.0 84.0
BEVERAGES Temple Bar Inv Tr . . .905.0 -5.0 913.5 717.0 GAS, WATER & MULTIUTILITIES Helical Bar . . . . . . . . .277.1 4.5 358.8 262.0 Carnival . . . . . . . . . .2925.0 -50.0 3153.0 2037.0 Young & Co's Brew . .600.0 -10.0 670.0 492.5
Spirax-Sarco Engi . .1829.0 2.0 2025.0 1260.0 Trinity Mirror . . . . . . . .82.5 -2.3 170.1 64.5
AG Barr . . . . . . . . . .1105.0 -6.0 1304.0 791.5 Templeton Emergin .625.0 -2.0 689.5 497.0 Centrica . . . . . . . . . . .344.2 -1.6 347.6 264.5 Weir Group . . . . . . .1695.0 -39.0 1861.0 762.5 United Business M . .718.5 1.5 725.0 426.7 London & Stamford .126.4 0.4 133.5 110.3 Compass Group . . . .568.5 8.5 594.0 467.5
Britvic . . . . . . . . . . . . .424.9 -5.1 518.0 421.5 TR Property Inv T . . .168.6 -0.8 171.2 132.3 International Pow . . .347.7 0.1 448.6 284.5 Ferrexpo . . . . . . . . . . .426.5 6.8 447.9 219.0 UTV Media . . . . . . . . .131.0 5.0 151.0 95.0 Savills . . . . . . . . . . . . .363.0 2.6 399.0 273.1 Domino's Pizza UK . .514.0 10.0 586.0 324.7
Diageo . . . . . . . . . . .1190.0 -9.0 1258.0 1025.0 TR Property Inv T . . . .80.9 -0.6 82.0 59.2 National Grid . . . . . . .572.0 3.5 596.2 484.2 Talvivaara Mining . . .570.5 -35.0 622.0 342.4 Wilmington Group . .170.0 -1.0 183.0 129.0 St. Modwen Proper . .176.1 4.7 201.0 135.4 easyJet . . . . . . . . . . . .377.0 -6.0 496.5 348.6
SABMiller . . . . . . . . .2088.5 -17.5 2306.0 1706.0 Witan Inv Trust . . . . .516.5 -1.5 522.0 409.9 Northumbrian Wate .315.1 0.6 361.5 252.8 WPP . . . . . . . . . . . . . .836.5 -7.0 846.5 594.0 UK Commercial Pro . .78.7 0.5 85.0 72.8 Enterprise Inns . . . . .101.6 -0.1 139.3 84.4
Pennon Group . . . . . .620.0 -5.0 650.0 482.9 INDUSTRIAL TRANSPORTATION Unite Group . . . . . . . .205.0 -1.8 290.6 163.0 FirstGroup . . . . . . . . .376.4 7.9 412.6 342.8
FINANCIAL SERVICES Yell Group . . . . . . . . . . .8.3 0.1 59.0 8.3
CHEMICALS Severn Trent . . . . . .1454.0 3.0 1499.0 1086.0 Go-Ahead Group . . .1316.0 11.0 1490.0 1042.0
BBA Aviation . . . . . . .232.8 -6.2 240.8 161.5 REAL ESTATE INVEST. TRUSTS
AZ Electronic Mat . . .307.0 -1.0 320.0 249.0 3i Group . . . . . . . . . . .315.5 -0.9 340.0 251.9 United Utilities . . . . .587.5 4.5 628.5 507.0 MINING Greene King . . . . . . .478.8 6.1 491.4 376.2
Forth Ports . . . . . . . .1413.0 -4.0 1433.0 1043.0
Croda Internation . .1483.0 -15.0 1625.0 826.5 3i Infrastructure . . . .120.5 0.4 125.2 104.1
GENERAL INDUSTRIALS Stobart Group Ltd . . .153.0 -0.1 163.6 126.8 African Barrick G . . .550.5 18.5 670.0 501.5 Big Yellow Group . . .319.3 9.9 353.3 284.4 InterContinental . . .1416.0 16.0 1440.0 901.5 http://corporate.webfg.com
Elementis . . . . . . . . . .136.8 7.7 143.0 51.5 Aberdeen Asset Ma .223.7 3.2 229.5 112.8 Anglo American . . .3295.5 -35.0 3437.0 2254.0 British Land Co . . . . .562.5 5.0 565.0 418.3 International Con . . .252.0 -1.2 305.0 184.2 mailto:
Ashmore Group . . . .355.5 4.6 383.7 230.0 Cookson Group . . . . .675.0 -13.5 694.5 367.4 NON LIFE INSURANCE Capital Shopping . . .382.8 -3.2 424.8 301.0 JD Wetherspoon . . . .440.7 -1.1 548.5 386.5
Johnson Matthey . .1959.0 -20.0 2100.0 1460.0 Antofagasta . . . . . . .1410.0 -22.0 1634.0 761.0
Victrex . . . . . . . . . . .1336.0 0.0 1522.0 843.0 Berkeley Technolo . . . .0.0 0.0 0.0 0.0 DS Smith . . . . . . . . . .213.0 1.2 226.0 108.0 Admiral Group . . . . .1725.0 20.0 1733.0 1199.0 Aquarius Platinum . .405.5 -4.3 458.0 227.1 Derwent London . . .1625.0 5.0 1634.0 1208.0 Ladbrokes . . . . . . . . .139.5 -2.5 162.7 122.7 globaltechsales@webfg.com

EUSHARES USSHARES
Price Chg High Low In association with Price Chg High Low
AIR LIQUIDE........................................94.15
ALLIANZ ............................................107.30
ALSTOM ..............................................43.03
-0.05
-0.60
0.03
99.15
108.85
50.73
73.16
75.82
30.78
Don’t miss breaking 3M ........................................................92.73
ABBOTT LABS ...................................46.32
ALCOA ................................................17.52
0.40
0.06
-0.07
92.96
55.55
17.68
67.98
44.59
9.81

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ANHEUS-BUSCH INBEV ....................40.23 -0.21 46.33 35.06 ALTRIA GROUP ..................................24.73 0.25 26.22 19.20
ARCELORMITTAL...............................27.77 -0.04 33.68 20.26 AMAZON.COM..................................187.76 1.14 191.60 105.80
AXA......................................................15.40 -0.53 17.60 10.88 AMERICAN EXPRESS........................45.78 -1.08 49.19 37.05
BANCO SANTANDER...........................9.32 0.09 10.58 7.00 AMGEN INC.........................................52.41 -0.54 61.26 50.32

10:30 AM EMAIL
BASF SE..............................................60.97 0.67 61.88 39.93 APPLE ...............................................358.30 -4.83 364.90 195.71
BAYER .................................................56.58 0.17 59.17 43.27 AT&T....................................................28.50 0.20 30.10 23.78
BBVA......................................................9.43 0.10 10.95 6.87 BANK OF AMERICA ...........................14.81 -0.03 19.86 10.91
BMW ....................................................61.04 -0.62 65.49 28.46 BERKSHIRE HATAW B.......................84.93 -0.03 85.86 68.48
BNP PARIBAS.....................................58.77 -0.20 59.93 40.81 BOEING CO.........................................72.24 -0.24 76.00 59.48
CARREFOUR ......................................35.54 -0.28 41.28 30.85 BRISTOL MYERS SQUI......................25.77 0.15 28.00 22.24
CREDIT AGRICOLE ............................12.17 -0.05 13.78 7.87 Each day we’ll cover the morning’s breaking news, CATERPILLAR..................................103.36 -0.19 104.41 54.21
CRH PLC .............................................16.37 -0.13 22.00 11.51 CHEVRON ...........................................97.17 0.51 98.23 66.83
DAIMLER .............................................52.97 -0.57 59.09 29.93 give you current market analysis and CISCO SYSTEMS................................18.68 0.10 27.74 18.56
DANONE..............................................45.57 0.06 48.50 39.35 COCA-COLA .......................................64.55 1.15 65.88 49.47
DEUTSCHE BANK ..............................47.86 -0.69 55.25 35.93 the most up-to-date financial headlines. COLGATE PALMOLIVE ......................78.40 -0.14 86.15 73.12
DEUTSCHE BOERSE .........................57.89 -0.95 62.48 46.33 CONOCOPHILLIPS.............................75.52 0.57 75.99 47.15
DEUTSCHE TELEKOM .........................9.96 -0.04 10.64 8.51 DU PONT(EI) DE NMR........................55.59 0.92 55.67 32.24
E.ON.....................................................24.68 0.20 28.93 20.86 EMC CORP..........................................27.22 0.10 27.38 16.92
ENEL......................................................4.33
ENI .......................................................18.33
-0.00
-0.09
4.36
18.66
3.42
14.30
Sign up now to ensure you EXXON MOBIL....................................83.88
FORD MOTOR.....................................15.97
0.19
-0.08
85.11
18.97
55.94
9.75
FRANCE TELECOM............................16.19
GDF SUEZ ...........................................29.86
-0.13
0.13
17.92
30.05
14.01
22.64
receive our free email. GENERAL ELECTRIC.........................21.52
GOLDMAN SACHS GRP ..................167.16
0.08
-1.65
21.65
186.41
13.75
129.50
GENERALI ASS...................................16.84 -0.04 18.25 13.31 GOOGLE A........................................625.26 1.04 642.96 433.63

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IBERDROLA ..........................................6.47 0.03 6.49 4.38 In association with HEWLETT PACKARD.........................48.62 -0.37 54.75 37.32
ING GROEP CVA...................................9.22 0.22 9.25 5.34 HOME DEPOT.....................................38.18 0.32 38.23 26.62
Visit:
INTESA SANPAOLO .............................2.58 -0.01 2.99 1.88 IBM.....................................................164.24 0.84 166.25 116.00
KON.PHILIPS ELECTR .......................23.45 -0.09 27.01 20.58 INTEL CORP .......................................21.97 0.22 24.37 17.60
L'OREAL..............................................85.52 -0.07 90.00 70.90 J.P.MORGAN CHASE .........................47.82 -0.12 48.36 35.16
LVMH..................................................117.45 0.55 129.05 76.21 WORLD INDICES JOHNSON & JOHNSON.....................60.79 0.27 66.20 56.86
MUNICH RE .......................................125.20 0.65 125.75 98.38 KRAFT FOODS A................................30.84 0.04 32.67 27.49
Price Chg %chg Price Chg %chg Price Chg %chg Price Chg %chg
NOKIA....................................................6.72 -0.04 11.82 6.51 MC DONALD'S CORP ........................75.98 -0.04 80.94 63.25
FTSE 100 . . . . . . . . . . . . . . 6087.38 2.11 0.03 S&P 500 . . . . . . . . . . . . . . . 1340.43 4.11 0.31 CAC 40 . . . . . . . . . . . . . . . . 4152.31 1.05 0.03 BOVESPA SAO PAOLO . . 67684.99 114.23 0.17
REPSOL YPF.......................................24.48 0.26 24.49 15.31 FTSE 250 INDEX. . . . . . . . 11827.76 20.48 0.17 NASDAQ COMPOSITE . . . 2831.58 6.02 0.21 SHANGHAI SE INDEX . . . . 2926.96 3.07 0.11 ISEQ OVERALL INDEX . . . 2964.96 -24.12 -0.81 MERCK AND CO. NEW ......................33.10 0.14 39.04 30.70
RWE .....................................................52.22 0.17 68.34 47.65 FTSE UK ALL SHARE . . . . 3155.97 1.74 0.06 FTSEUROFIRST 300 . . . . . 1187.20 1.07 0.09 HANG SENG. . . . . . . . . . . 23301.84 144.87 0.63 STI . . . . . . . . . . . . . . . . . . . . 3082.83 -11.89 -0.38 MICROSOFT........................................27.21 0.19 31.58 22.73
SAINT-GOBAIN ...................................41.87 -0.57 43.87 27.81 FTSE AIM ALL SH . . . . . . . . 954.51 -3.72 -0.39 NIKKEI 225 AVERAGE . . . 10836.64 28.35 0.26 S&P/ASX 20 INDEX . . . . . . 2965.10 0.00 0.00 IGBM . . . . . . . . . . . . . . . . . . 1138.13 6.58 0.58 OCCID. PETROLEUM.......................105.85 0.83 106.25 72.13
SANOFI-AVENTIS ...............................51.36 -0.19 57.45 44.01 DOW JONES INDUS 30 . . 12318.14 29.97 0.24 DAX 30 PERFORMANCE. . 7405.51 -8.79 -0.12 ASX ALL ORDINARIES . . . 5026.00 0.00 0.00 SWISS MARKET INDEX. . . 6706.47 -5.18 -0.08 ORACLE CORP...................................33.01 -0.10 33.59 21.24
SAP ......................................................44.51 0.06 45.05 31.75 PEPSICO .............................................64.70 0.74 68.11 60.32
SCHNEIDER ELECTRIC ...................117.95
SIEMENS .............................................97.29
2.90
0.39
120.00
97.70
72.41
61.83
COMMODITIES CREDIT & RATES PFIZER ................................................19.37
PHILIP MORRIS INTL .........................60.84
0.09
0.14
19.39
60.88
14.00
2.00
SOCIETE GENERALE.........................52.04 0.80 52.70 29.71 LON GD ONCE FIX AM...........1377.00 2.50 TIN CASH.............................32425.00 -120.00 BoE IR Overnight ............................0.500 0.00 Euro Base Rate ...............................1.000 0.00 PROCTER AND GAMBLE ..................64.00 0.24 66.95 39.37
TELECOM ITALIA..................................1.05 -0.00 1.15 0.88 SILVER LDN FIX AM ..................31.10 0.44 ZINC CASH ............................2477.00 -17.50 BoE IR 7 days .................................0.500 0.00 Finance house base rate ................1.000 0.00 QUALCOMM INC ................................59.00 0.46 59.01 31.63
TELEFONICA ......................................18.45 0.00 19.69 14.67 MAPLE LEAF 1 OZ ....................68.00 0.00 BoE IR 1 month ..............................0.500 0.00 US Fed funds...................................0.250 0.00 SCHLUMBERGER ..............................94.37 0.36 94.92 51.67
BRENT SPOT INDEX................102.92 -0.07 BoE IR 3 months ............................0.500 0.00 US long bond yield .........................4.020 0.00
TOTAL..................................................43.50 0.09 44.63 35.66 LON PLATINUM AM................1826.00 -12.00 TRAVELERS CIES ..............................59.78 0.32 59.99 47.69
SOYA .....................................1366.00 0.00 BoE IR 6 months ............................0.500 0.00 European repo rate .........................0.599 0.09
UNIBAIL-RODAMCO SE...................144.55 -0.75 155.95 105.19 LON PALLADIUM AM ...............877.00 35.00 UNITED TECHNOLOGIE ....................84.54 -0.52 85.46 62.88
COCOA ..................................3463.00 0.00 LIBOR Euro - overnight ..................0.603 -0.09 Euro Euribor ....................................0.805 -0.03
UNICREDIT............................................2.00 0.02 2.30 1.46 ALUMINIUM CASH .................2476.00 -6.00 LIBOR Euro - 12 months ................1.650 0.00 The vix index ...................................16.66 -0.06 VERIZON COMMS ..............................36.37 0.20 37.70 24.77
UNILEVER CVA...................................21.85 0.11 24.11 20.68 COPPER CASH ......................9924.50 -181.50 COFFEE...................................261.60 0.00 WAL-MART STORES..........................54.75 0.20 57.90 47.77
LIBOR USD - overnight...................0.231 0.00 The baltic dry index ........................1.271 -0.03
VINCI....................................................43.97 -0.03 44.98 33.01 LEAD CASH ...........................2618.50 -35.00 KRUG.....................................1435.90 7.10 LIBOR USD - 12 months .................0.795 0.00 Markit iBoxx...................................209.67 0.19 WALT DISNEY CO ..............................43.70 0.00 44.05 30.17
VIVENDI ...............................................20.84 0.03 22.07 16.18 NICKEL CASH ......................28550.00 -345.00 WHEAT ....................................206.25 3.62 Halifax mortgage rate .....................3.500 0.00 Markit iTraxx ....................................96.04 -2.09 WELLS FARGO & CO.........................32.95 -0.35 34.25 23.02
 Business Features
How to make Britain’s future
Donata Huggins asks Sir James
Dyson about creating the next
generation of entrepreneurs
P
EOPLE should stop trying to make
money out of money and make
money out of inventing things,”
James Dyson tells me, “it’s the best
way to revive our economy.”
Clearly a man of his word, he had
literally just placed the last ceremonial
brick on his latest philanthropic venture:
the Royal College of Art’s (RCA) new build-
ing. “I’m very excited about the people and
ideas that are going to come out of this
building,” he says.
The building itself is pretty special too. It
has been designed to provide 40 incubator
units for Design London students to house
their designs while they work on commer-
cialising them. The programme, Dyson
proudly explains, is a partnership between
the Royal College of Art and Imperial
College’s engineering faculty and business
school, where a whopping 80 per cent of
student projects secure further funding or
become businesses in their own right.
Dyson is understandably enthusiastic
about the college. He went there himself,
initially studying furniture design before
making the leap into industrial projects.
After graduation he worked for a few engi-
neering companies, designing Edison-style:
observing the world around him and mak-
ing prototype after prototype of his ideas.
He discovered his most famous
invention after a chance visit to a sawmill.
He noticed how the saw dust was removed
from the air by large industrial cyclones. He
wondered whether that principle could
work on a smaller scale within a vacuum
cleaner. When he got home he took apart
A real team needs a
determined leader
Donata Huggins speaks to Lieutenant General
Sir Robert Fry about building staff loyalty
J
UST as businesses have changed in
the last 25 years, so have people’s
attitudes to employment. It is not
unusual to hear older business
managers moan about the lack of loyalty
staff show their employers these days.
But many employers fail to realise that
the changes in British business and these
attitudes are actually a symptom of each
other. The more creative and service-dri-
ven nature of the UK economy means
that staff are a company’s most impor-
tant asset.
To help out business owners, we
tracked down someone who really knows
about leadership: Lieutenant General Sir
Robert Fry executive chairman of the
army officers-turned-entrepreneurs
behind the consultancy firm McKinney
Rogers for five tips on building loyalty.
1
REWARD
Fry says: “There are, of course, the basic
hygiene things to consider. You have to
Sir James Dyson on
the site of the new
Dyson building at the
Royal College of Art
his vacuum cleaner and rigged it up with a
cardboard cyclone and cleaned his room
with it. He was impressed that it picked up
more dust than his old bag machine. This
begun a long battle for funding and licens-
ing the design. Dyson was supported by his
wife’s salary as an art teacher until he
secured a funder.
Dyson hopes to use the work of his foun-
dation to get young people to follow in his
footsteps. He says: “As a nation we’ve
become too scared to take risks, but it’s
through experimentation and failure that
new ideas are born. Britain needs this now
more than ever before. Over the last fifty
years we’ve forgotten how good we are at
making and developing technology to sell
to the world.”
pay your staff properly and offer rewards
for good performance. But these are so
basic that they are hardly worth men-
tioning. The more difficult part of build-
ing a team’s loyalty is not so easy to
define.” Business owners, Fry says, often
mistakenly think that staff only care
about money. While the “bread and but-
ter” elements of pay and conditions are
important for keeping staff, building loy- How to turn your
alty is more complex. staff into business
commandos
2
Picture: GETTY
PERSONAL AND COLLECTIVE VISION
This tricky bit of leadership requires busi-
ness owners to align personal and collec-
tive ambition.
“In the armed forces,” Fry explains
“lots of people are driven out, not
because of their lack of personal ambi-
tion, but the lack of national ambition
for the army. The relationship between a
company’s staff and managers is
similar.” The leadership should try to
bring into line varying desires.
| Entrepreneurs
CV | JAMES DYSON
Born: Norfolk, England
Lives: Wiltshire
Age: 63
Family: Married with three children
Studied: Royal College of Art
Facts:
l It took 15 years and over 5,000 prototypes to
launch the first Dyson DCO1 vacuum cleaner.
l Dyson vacuums are sold in over 50 countries
l One in every three households now owns a
Dyson vacuum cleaner
3
TRUE LEADERSHIP
“The best leaders give power away,” says
Fry. “Tyrannical organisations can only
ever be successful for short periods of
time.” This he explains is because staff will
keep leaving and they will forever be train-
ing new people.
4
GIVING RESPONSIBILITY
If leaders trust their judgement and
employ talented people, they should trust
them with as much responsibility as they
21
NEWS | IN BRIEF
NEW DIGITAL FUNDING SCHEME
Digital entrepreneurs are invited to join a
£200,000 scheme aimed at helping to bring
new UK innovations to market. IC
Tomorrow, a technology strategy board pro-
gramme, will invest in up to 20 consumer
trials across creative market sectors includ-
ing music, television, film, and publishing.
The scheme will be high profile and provide
the entrepreneurs with the ability to work
closely with leading players in the digital
industry. The first stage of the process will
close on 11 March 2011 with the submission
of a video and simple business plan. 40
applications will be chosen to go through to
the face to face panel phase at the end of
March.
SMES WASTE MILLIONS ON FX
Small and medium-sized (SME) businesses
could be wasting millions of pounds every
year when making international payments,
according to Travelex Global Business
Payments, the cross-border payments spe-
cialist. It estimates that smaller businesses
that trade internationally are wasting up to
£280m per year on transaction fees by
using their bank instead of a payment spe-
cialist, or £2,280 per business. 80 per cent
of the businesses surveyed currently use
their bank to make international payments,
potentially costing them between £25 and
£40 each time they make a payment.
ONLINE SME MARKETING SEMINAR
British Library Business & IP Centre is hold-
ing a seminar on online selling and market-
ing to help small businesses communicate
clearly online. Cate Trotter, the founder of
Insider Trends, whose marketing and con-
sultancy work has included brands such as
Marks and Spencer, Clarks and Nokia. She
will pinpoint key trends in online businesses
and outline easy-to-use and affordable tools
for small businesses to use. The session will
be held at the British Library & IP Centre on
22 February between 6-8pm. For more
information see www.bl.uk
are capable of handling, says Fry. “Giving
staff lots of responsibility makes them feel
valued, empowered and really part of what
you do.”
5
BEWARE OF A BAD REPUTATION
Fry warns that businesses that experience
high turnover can reach almost legendary
status within their sector. “You don’t want
to have people saying they have noticed
that your staff don’t stay with you long.
Presuming the staff are paid properly,
businesses that have lots of people leave
have internal management problems and
good potential employees might be
deterred from joining you.”
 Living
22 CITYA.M. 18 FEBRUARY 2011

| Focus On

HERTFORD, HERTFORDSHIRE INTERIORS

BY AMY HIGGINS

MANGROVE ROAD DENE HOUSE, BAYFORD

Price: £525,000
A roomy four-bedroom
Edwardian family home, ideally
positioned for Hertford’s town
centre and just a stone’s throw
from the Simon Balle School –
a top comprehensive. The land-
scaped garden has an exotic
Q&A
Price: £285,000
This stately four-bedroom
family home is crammed Andrew Dunning
with quirky features and HEAD DESIGNER OF
charming period details, from APD INTERIORS
large bay windows and open WWW.APDINTERIORS.COM
fireplaces to a roll-top
Victorian style bath. There is

flavour, with a beach-style hut,
a summerhouse, and an orna-
mental pond with an accompa-
nying bridge. Contact: Steven
Q.
I have recently moved into a
plenty of space too, with two new build apartment, and it is
reception rooms, a generous- very stark and bland, how can I
ly sized garden and a brick make it feel more personal?
outbuilding for storage.

DOLPHIN YARD
Price: £285,000
This slick two-bedroom apart-
ment is part of an intimate new
development of 16 homes,
located close to the centre of
Hertford on the banks of the
River Lea. Balconies and raised
walkways make the most of
the river views, while commu-
nal courtyards give the project
a community feel which many
new developments lack.
Contact: Mullucks Wells:
www.mullucks.co.uk
CURRENT MORTGAGE DEALS BY AMY HIGGINS
Lender
First Direct
Santander
HSBC
Yorkshire BS
NatWest
Santander
Mansfied BS
A.
Oates: www.stevenoates.com- Contact: Savills: www.sav- The personal touch – especially in
lucks.co.uk ills.co.uk new builds – is all about colour and
flooring. Wood can be quite hard
and loud and by adding a rug and using com-
parable colours on the walls you can create
NEED TO KNOW | AREA INSIGHT rooms that are more welcoming: just what
you want after a hard day’s work.
In your living areas, select a wall to have a
Commuting: There are trains running spectacular grounds. bold colour or a print on it – myfotowall.com
every half an hour from Hertford East Restaurants and bars: Hertford will take any image and produce wallpaper.
station to Liverpool Street, with a jour- House Hotel’s is for summertime You might want to consider your favourite
ney time of just over 50 minutes. alfresco dining. Head to Bluecoat in the landscape, beach view or even a nebula taken
Crime: Towns don’t get much safer colder months for comforting English from the Hubble Telescope. Paint the other
than Hertford, whose crime rates are dishes made with locally sourced walls in a softer colour to compliment with
the feature wall. Use a large rug with sofas
significantly below national averages. ingredients. and easy chairs around it and a feature cof-
Education:. In the state sector, sec- Leisure: Hertford boasts several cul- fee table to make a compartmentalised seat-
ondaries Simon Balle and Richard Hale tural gems including an ancient castle, ing area. Don’t forget the television, they tend
Schools achieve exam results well the Corn Exchange – which hosts live to be big and ugly; you don’t want it making
above the UK average. Distinguished music and comedy – and the small but a feature on your wall so look at storage
boarding school Haileybury offers the perfectly formed Hertford Museum. units that it can hide in when not in use.
International Baccalaureate, a vast Surrounding countryside makes the In the kitchen think of changing the doors
or worktop to compliment the new décor of
range of extra-curricular activities and town a walker’s paradise. the apartment – this is a cost effective way
to make the kitchen unique. In the bedrooms
you need to again feel relaxed and calm, sur-
round yourself with photos in silver frames of
Source: MoneySupermarket.com your loved ones and happy memories, place a
thick pile carpet on the floor so that you can
dig your toes into it. Paint the bedroom in a
Fixed/Flexible Rate Until Standard Rate APR Maximum Loan dark colour and use lighter bed linen to
(per cent) (per cent) (per cent) to Value (per cent) brighten it up, chocolate brown or a rich
jewel colour is a good choice here for the
Flexible 1.99 2 years 3.69 3.5 65 walls. Place an easy chair in one corner, per-
fect for throwing your clothes on, or just sit-
Flexible 2.19 2 years 4.24 4 60 ting and reading a book one evening.
In the bathrooms ask your builder to build
Flexible 2.29 Term 3.94 2.3 60 a light box floor to ceiling and front it with a
wafer thin piece of marble, granite or other
Flexible 2.29 Feb 2013 4.99 4.7 60 interesting stone. The light shining through it
makes a wonderful effect, especially useful if
Flexible 2.39 April 2013 4 3.9 60 it’s an internal bathroom with no natural
light. All of these will take a “standard”
Fixed 2.65 April 2013 4.24 4.2 60 apartment and make it yours with lots of
Fixed 3.09 2 years 5.59 5.3 75 wow factors built in.

Loughborough BS Fixed 3.55 2 years 4.99 5 80

Leeds BS Fixed 3.69 2 years 5.69 5.5 75
Nationwide BS Fixed 3.69 March 2014 3.99 4.2 70

PROPERTY NEWS
BY AMY HIGGINS

BLOCK MANAGEMENT REVOLUTION
A computer programme called “Blockcare”, designed to
manage the administration of small apartment blocks, has
been launched by managing agent Ringley Group. The
software could significantly lower the fees that leasehold-
ers are charged by traditional managing agents – up to 90
per cent over the course of a year. There is a range of pro-
grams, none requiring prior experience of managing prop-
erty. For more info, see www.leaseholdersupport.co.uk
FUTURE BRIGHT FOR COMMERCIAL PROPERTY
The UK commercial property market is in good shape,
according to the latest survey by the Royal Institute of
Chartered Surveyors. 18 per cent more surveyors expect-
ed new sales and lettings to increase in the next three
months than predicted a decrease, the highest propor-
tion since the credit crunch. But while the demand for
prime London office space is buoyant, other sectors of
the market still face “significant challenges”.
BROADBAND COULD BOOST YOUR HOUSE PRICE
A fast and reliable broadband service could add value to
the price of your home, says a survey by internet advice
website ISPreview. A poll of 733 respondents revealed
that almost two thirds of Brits would be discouraged
from buying “a beautiful property” if it lacked a high
speed broadband connection. This is a glimmer of good
news for homeowners hoping to sell this year, in what are
turbulent times for the UK property market.
CRAFTSMAN-BUILT HOMES IN WHITSTABLE
Those interested in a property in the atmospheric seaside
resort town of Whitstable should have a look at Invicta
Fields, a collection of just ten craftsman-built detached
houses. There are seven four-bedroom houses and three
three-bedroom houses, designed by a Canterbury archi-
tect. A sailor’s paradise with the club, beach and prome-
nade all a short disance away. For more info, see
www.cluttons.com.
 O Ma
31

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Plumbing
Heating Electrics Locks Roofing
& Drainage
 24 Living | London Property
Style, charm and
quiet in Marylebone
Once it was fusty, now it’s one of the most
desirable areas in Zone 1, says Timothy Barber
T
HE idea of owning a luxurious home
in central London is the sort of thing
lots of upwardly-mobile urbanites
aspired to. But given the chance,
where and what do you go for? One of cen-
tral London’s primary characteristics is the
sheer range of localities, architectures and
atmospheres all crammed into it. Grand
apartment in Knightsbridge? Chelsea town-
house? Mayfair mews house?
Marylebone is perhaps a little less herald-
ed than the above areas – it doesn’t quite
share the jet-set glamour of those locales,
but for many people that will be an attrac-
tion in itself. An area of grand Georgian
avenues, winding side streets, the odd
majestic square and a high street that’s all
groovy boutiques, food shops and cafes, it
mixes quietness and “urban village” charm
with direct proximity to the West End.
Before the Conran shops, art galleries,
smart restaurants and fashionably expen-
sive independent food shops (plus
Waitrose) which now give it its identity,
Marylebone had a reputation for arch tradi-
tionalism. “It used to be late middle aged
people retiring into the mansion blocks, it
was all very proper,” says Clare Moll of West
HYDE PARK GARDENS, HYDE PARK, W2
A selection of stunning apartments in this sought after white stucco fronted
terrace. Hyde Park Gardens is surrounded by private award-winning grounds
and faces Hyde Park.
Ranging from £2,750,000 to £12,500,000 – Leasehold
Hyde Park & Bayswater 020 7262 2030
London Estate Agents | Investment & Development Consultants | Block Managers | Established 1982
CITYA.M. 18 FEBRUARY 2011
No 3 & No 5 DUKES MEWS
Price: £3.5m and £4.6m
Two newly-built, five floor townhouses, one with
three bedrooms and the other with four. State-of-
the-art and then some.
Contact: call LDG on 020 7580 1010 or visit
End property specialist LDG. She says that
today younger people are attracted to the www.dukesmews.co.uk
same properties, updating the interiors
and kitting out the homes to the highest
modern specifications.
What’s unusual in an area like ALSO AVAILABLE IN MARYLEBONE
Marylebone, however, is an entirely new
townhouse. However, two are launched
onto the market today, built on the quiet
cul de sac Duke’s Mews, which runs adja-
cent to Wigmore Street. Designed to the
trendiest white-walled, wooden-floored,
mood-lit standards, and wired for every
kind of interior gadget system a deep-pock-
eted person could need, they’re a pretty
good representation of Marylebone’s leap
from fusty to cool without sacrificing its
character.
THE BEST OF MARYLEBONE
Orrery: Elegant dining in a converted sta-
ble block www.orrery-restaurant.co.uk DEVONSHIRE CLOSE MONTAGU SQUARE
The King’s Head: a tiny, traditional place Price: £3.95m Price: £2.5m
loved by locals. 13 Westmoreland ST, W1G 8PJ A two bedroom house with bold, funky interiors over An elegant three bedroom flat with the benefit of
Conran Shop: An emporium of interior three floors on a cobbled mews street. direct access to Montagu Square’s Georgian gardens.
design cool. www.conranshop.co.uk Contact: call Foxtons on 020 7973 2000 or visit Contact: call Knight Frank on 020 7483 8349 or
La Fromagerie: One of the country’s finest www.foxtons.co.uk visit www.knightfrank.com
cheese shops. www.lafromagerie.co.uk
ALBION CLOSE
HYDE PARK, W2
A beautifully refurbished three/four
bedroom lateral mews house with
private parking just a short walk from
Hyde Park and Connaught Village.
• Three/Four Bedrooms
• Two Reception Rooms
• Three Bathrooms (Two En Suite)
• Private Parking
£3,800,000 – Freehold
Hyde Park & Bayswater
020 7262 2030
MONTAGU SQUARE
MARYLEBONE, W1
A striking apartment on the ground
and lower ground floor of this period
building interior designed to an exacting
standard and with high ceilings.
• Three Bedrooms
• Two Bathrooms
• Private Patio
• Use of Communal Gardens
£2,500,000 – Leasehold
Marylebone & Regent’s Park
020 7486 6338
kayandco.com
 Essex

Romford | Reflections, Oldchurch Road, Essex RM7 0BD

Two stunning new 1 & 2 bedroom apartments

from £139,995

developments within easystart price from £118,996

Sales Information Centre open
Thursday to Monday 10am–5.30pm

20 minutes of London! †
0845 239 8196

Reflections and Academy Central offer a superb collection of apartments Barking | Academy Central, Longbridge Road, Essex IG11 9BY
and family homes meaning there is something for everyone whether you
are a first time buyer or looking to upgrade but still be close to the city.
With our easystart* scheme a fabulous apartment at Reflections could be all
yours for just £118,996!* There is limited availability so call now to ensure 1, 2, 3 & 4 bedroom homes
you don’t miss out! from just £129,995
With chic contemporary new-build homes – Academy Central offers a wide Sales Information Centre and showhome
open Thursday to Monday 10am–5.30pm
choice of space and layouts designed to fit your lifestyle. PLUS ask us how
we can help with your deposit at Academy Central!** 0845 688 5561

*Price of £118,995 is based on a purchase price of £139,995 when you pay 85% with easystart. Offers available on selected plots and
developments, subject to status and for a limited time only. For full details of the offers contact the Sales Information Centre, visit our
website taylorwimpey.co.uk/easystart or request full details from your local Taylor Wimpey office. **depositmatch is an interest free loan
of up to 10% of the purchase price of the property offered for a period of up to 10 years subject to a second charge on the property. Full
details of all the offers available on request, on selected properties only. Offers can be withdrawn at any time and only one promotion
offered on each purchase. All offers subject to using a Mortgage Broker and Solicitor from Taylor Wimpey’s panel who will act solely for
taylorwimpey.co.uk
the applicant. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE OR ANY OTHER
DEBT SECURED ON IT. Prices correct at time of going to press. Images depict typical Taylor Wimpey properties. †Journey times as
quoted by National Rail Enquiries. February 2011.

Lower outgoing. Higher income.

Special purchase incentives for March completions
PAPERMILL PLACE,
WALTHAMSTOW, E17

EXAMPLE: 1 BEDROOM APARTMENT

FREE FURNITURE PACKAGE
WORTH £1250**
OR
EXAMPLE: 2 BEDROOM APARTMENT
SERVICE CHARGE PAID FOR 12 MONTHS
SAVE £1600** ‘‘
‘‘
Under 20 minutes from the centre of London, with secured basement parking I have bought three Telford Homes properties during the
and all homes fully equipped for letting - now is the time to invest! last five years, the latest at Vellum was tenanted two
days after completion.
• Rental yields of 7% achieved†† • High internal specification - all kitchen appliances & floor coverings included
• Rapid connections to the West End, The City and Stratford from Blackhorse Road tube station on Victoria line Telford have integrity and expertise that can be relied upon
• Exemplary Customer Service with 24/7 cover for the first two years, including tenants’ inductions by investors. With values outperforming the market, the
properties let and relet quickly and at good yields.
Sales Centre & Show Homes open - call or see website for daily times From just £147,500* Quote from Investment Purchaser at Vellum E17.

0800 883 8983 or (out-of-hours) 0800 032 0077

www.vellumapartments.co.uk email: vellum.sales@telfordhomes.plc.uk
*Price correct at time of going to press. Photographs depict Vellum show studio interior and exterior. ††Rental data from September - December 2010.
**Offers apply on reservations made between 10th - 28th February 2011 on selected homes (bought for letting) that legally complete by 25th March 2011.
 Lifestyle
26
Shame... greed... never mind the facts
A hotly-tipped credit
crunch exposé is just
a rehash of the same
tired old arguments,
says Marc Sidwell
Film
INSIDE JOB
Cert: 12A
hIIII
THIS much-hyped look at the financial cri-
sis has already won the best documentary
award from the Directors Guild of
America and is seen as a strong contender
to take an Oscar. So it’s a shame that a
would-be fearless exposé of a supposedly
rogue industry is a rehash of old accusa-
tions, selective in its use of the facts and
too fixed on ideological enemies to notice
the blindness induced by its own political
biases.
The director, Charles Ferguson, makes
sweeping claims: he sees the entire finan-
cial services industry as “increasingly
ALSO OUT THIS WEEKEND
FILMS, MUSIC, GAMES
FILM
BIG MOMMA’S: LIKE FATHER, LIKE SON Martin
Lawrence wheels out his fat suit once more.
CONFESSION Japanese psychological drama about
a vengeful bereaved mother.
JUSTIN BIEBER: NEVER SAY NEVER (3D) Never.
Never never never never never. In a million years.
| Reviews
criminal”; the premise of the documen-
tary is not only that the crisis could have
been avoided but that either the entire
industry, or at least those at the top at the
time, should be sent to jail. But Ferguson
never makes the sort of forensic, detailed
case that could sustain that belief. Instead
we get a run-through of the already well-
trodden main events of the crisis,
enlivened by sometimes painful, always
partial interviews.
In the process, as much is elided as is
revealed. Ferguson hymns the world of US
banking before Reagan-era reforms as
both wholesome and low-paid (for him, it
appears, the two come to much the same
thing). But he paints out of his Norman
Rockwell imagery the Carter era of
malaise and stagflation that drove
Reagan’s successful efforts at economic
resuscitation. He repeats the common
misconception that the 1999 Gramm-
Leach-Bliley Act repealed the regulatory
framework on commercial and invest-
ment banks. He derides those who
thought that derivatives were serving a
useful function in stabilising markets, but
fails to discuss the all-too-real phenome-
non of the great moderation and how it
changed economic perceptions of risk.
The film sticks to the usual script that
greedy bankers driven by perverse com-
pensation structures chased their salaries
up to the detriment of their firms. Dick
DVD
THE SOCIAL NETWORK The founding of Facebook,
one of last year’s best.
RED Action comedy about Saga-aged assassins, with
Helen Mirren, John Malkovich and Bruce Willis.
BURIED Ryan Reynolds is six feet under the desert,
with only a mobile phone with a dying battery.
If the Inside Job is
to be believed, all
bankers are like Dick
Fuld
Fuld of Lehman lost $1bn in stock thanks
to the crisis, but we don’t hear about that.
Instead, Ferguson flings all the mud he
can, from ad hominem arguments about
prostitution and drug use to a conspirato-
rial tangent about academic economists.
But he consistently fails to shine the same
light on his own sources: Eliot Spitzer’s
disgrace is notably glossed over.
Inside Job touches some important
issues, such as the failure of the ratings
agencies and over-cosy government links
with the financial industry. But Ferguson
is so committed to attacking deregulation
that he fails to consider the role of over-
regulation, notably the 1970s SEC regula-
tion that turned the ratings agencies into
an oligopoly or the 2001 recourse rule
that encouraged US commercial banks to
hold less capital on mortgage-backed secu-
rities. Inside Job may win the Oscar for its
passion, but it comes up short on content.
PAUL
Cert: 15
hhhII
ET meets Easy Rider in this sci-fi adven-
ture comedy, although English nerds
Graeme Willy and Clive Gollings (played
MUSIC
PJ HARVEY The iconic singer’s latest album is titled
Let England Shake.
MOGWAI The Scottish rockers release album seven,
Hardcore Will Never Die, But You Will.
GRUFF RHYS The Super Furry Animals frontman
puts out his third solo album, Hotel Shampoo.
CITYA.M. 18 FEBRUARY 2011
Nick Frost and
Simon Pegg have a
close encounter Paul
the alien, pictured
below
by Simon Pegg and Nick Frost) bear little
resemblance to the edgy, drug-fuelled bik-
ers of the latter film. The drug taking that
occurs in Paul is in fact initiated by the titu-
lar wise-cracking alien, who gatecrashes
Graeme and Clive’s road trip across
America’s UFO heartland – and who hap-
pens to be partial to the occasional joint.
Paul (voiced by Seth Rogan) is on the run
from a military base where he has been
imprisoned and enlists the help of the
geeky Brits in his quest to return to the
mother ship. The trio are called upon to
outfox a series of government baddies (led
by Jason Bateman) along the way, including
the bible-bashing father of good Christian
girl-turned-swearing nymphomaniac
Ruth Buggs (Kristen Wigg). This last
bit involves some startlingly close-
to-the-bone gags which are sure to
rile inhabitants of the Bible Belt.
Directed by Greg Mottola of
Superbad fame, this is a good-
natured affair, and Rogan is on top
vocal form – the contrast between
the weedy, needy Englishmen and
their smooth-operating, quick-witted
alien counterpart is enjoyable. Crucially
however, Paul is a long way off matching
Superbad, or Pegg and Frost’s previous part-
nerships like Shaun of the Dead, in the
funny stakes. It’s packed with tongue-in-
cheek sci-fi references – so atheist geeks, at
least, will love it. Amy Higgins
GAMES
MARVEL VS CAPCOM 3: FATE OF TWO WORLDS
(PS3, X360) Superheroes, lots of ‘em.
HARD CORPS: UPRISING (PS3, X360) Anime-style
futuristic action game.
MAGICKA (PC ONLINE) Action adventure game
based on Norse mythology.
CITYA.M. 18 FEBRUARY 2011 Lifestyle | TV& Games 27

BBC1 BBC2 ITV1 CHANNEL4 CHANNEL5 TV PICK

TERRESTRIAL
6pm BBC News
6.30pm BBC London News
7pm The One Show
7.30pm A Question of Sport:
BBC News
8pm EastEnders
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11.20pm The National Lottery
Friday Night Draws 11.30pm FILM
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One Man and His Campervan
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Premiere. Sporting drama, with
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Close
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of Awesome. Last in the series. 11.20pm 10 O’Clock Live 12.20am 10pm Law & Order ONE MAN AND HIS CAMPERVAN
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10.30pm London News threatens Vance’s family. Martin Dorey’s 2,500-mile journey
Awards 2011 12.55am CTRL MX
10.35pm The Cube 1.20am My Name Is Earl 2.05am 11.55pm Cops in Crisis concludes in Pembrokeshire, where he
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12.45am The Zone; 2.35am Fuel 2.40am What’s Fufu? 3.55am Motorsport Mundial and prepares burgers with his family.
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World Cup 12.30am Super
League 2am Football League
Weekend 3am Take It Like a Fan
3.30am Super League 5am-
6am Football League Weekend
SKY SPORTS 2
6.30pm Cricket World Cup
7.30pm Live Football League
10pm Tight Lines 11pm NFL:
Total Access 12am Elite League
Ice Hockey 1am NFL: Total
Access 2am Cricket World Cup
3am Rugby Union 5am-6am
Racemax
SKY SPORTS 3
6pm European Tour Golf 8pm
Live PGA Tour Golf 11pm
European Tour Golf 1am PGA
Tour Golf 4am Football’s Greatest
4.30am Aerobics Oz Style
6am Kings of the Snow
BRITISH EUROSPORT
6.55pm Live Snooker: The
Welsh Open 10pm Strongest
Man 11pm Bobsleigh 11.45pm
Cycling 12.15am-12.50am
Extreme Sports: Freeride Spirit
ESPN
7pm Live Premiership Rugby
Union: Gloucester v London Irish
(Kick-off 7.45pm). 10pm French
Top 14 Rugby Union 11.45pm
ESPN Kicks: Extra 12am Live
NBA Basketball 2am Live NBA
Basketball 4am ESPN MMA
Live 4.45am ESPN Kicks: Extra
5am Total Italian Football
5.30am-6am FA Cup Preview
SKY LIVING
7pm Ghost Whisperer 8pm
Bones 9pm Criminal Minds
10pm CSI: Crime Scene
Investigation 11pm Criminal
Minds 12am CSI: Crime Scene
Investigation 2.40am Charmed
5.10am-6am Maury
BBC THREE
7pm Doctor Who 7.45pm
Doctor Who Confidential 8pm
The Real Hustle on Holiday
8.30pm The Lock Up 9pm Little
Britain 9.30pm Lunch Monkeys
10pm EastEnders 10.30pm Sun,
Sex and Suspicious Parents
11.30pm Him and Her 12am
Family Guy 12.45am The Lock
Up 1.15am Lunch Monkeys
1.45am Coming of Age 2.15am
Snog, Marry, Avoid? 2.45am
Hotter Than My Daughter
3.15am Sun, Sex and Suspicious
Parents 4.15am Doctor Who
Confidential 4.30am Snog,
Marry, Avoid? 5am-5.30am
Hotter Than My Daughter
E4
7pm Hollyoaks 7.30pm Friends
9pm Gok’s Clothes Roadshow
10pm Wife Swap 11.05pm Tool
Academy 12.15am Scrubs
1.10am Gok’s Clothes Roadshow
Sexy and Cookin’ 3.40am Dirty
Sexy Money 4.25am How to HEALTH
7pm A Baby Story 8pm How
Look Good Naked 4.50am-6am
Switched Clean Is Your House? 9pm
Radical Parenting 10pm Raising
HISTORY 10 Kids: The Hayes Way 11pm COMEDY ROCKS WITH JASON
7pm Heir Hunters 8pm Swamp Emergency: Life in the ER 12am
People 9pm IRT Deadliest Radical Parenting 1am Raising MANFORD ITV1, 9PM
Roads 11pm Swamp People 10 Kids: The Hayes Way 2am Dame Edna Everage, Jason Byrne and
12am IRT Deadliest Roads 2am Emergency: Life in the ER 3am Chris Ramsey join Jason Manford for a
Disappearing Britain 3am The How Clean Is Your House? 4am feast of comedy, with music provided
Roman Invasion of Britain 4am Bringing Home Baby 5am-6am
Decoding the Past 5am-6am A Baby Story
by Australian trio Axis of Awesome.
Ancient Discoveries
SKY1
DISCOVERY 7.30pm The Middle: Access
8pm How Do They Do It? All Areas: The making of the
8.30pm How It’s Made 9pm American comedy. 8pm
Aircrash Confidential 10pm Futurama 9pm The Simpsons
Weird or What? 11pm Surviving 10pm Louie Spence’s
the Cut 12am Bear Grylls: Born Showbusiness 11pm Got to
Survivor 1am Deadliest Catch Dance 12.30am Road Wars 1am
2am Future Weapons 3am The Invasion of the Bodyscratchers MADE IN ENGLAND
Russian Revolution in Colour 1.50am Inside: Gangs Behind CHANNEL 4, 7.30PM
3.50am The First World War Bars 2.40am So You Think You’re A First Cut documentary providing an
4.40am Treasure Quest Safe? 3.30am Threshold 4.20am insight into Cooper and Stollbrand, one
5.30am-6am How Does That Don’t Forget the Lyrics 5.10am- of the last remaining clothing factories
Work? 6am Sell Me the Answer in Salford.

COFFEE BREAK
Copyright Puzzle Press Ltd, www.puzzlepress.co.uk

QUICK CROSSWORD
    

SUDOKU KAKURO
12 41 10 15 19 16 18 9
23 35
22   
45
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 Fill the grid so that each block 3 8 7
from 1 to 9 to solve this tricky Sudoku puzzle. adds up to the total in the box 6 11 
above or to the left of it. 9 9 40 11
You can only use the digits 1-9 6 10 14    
    and you must not use the
4 16 17
27 14  
same digit twice in a block. 33
  The same digit may occur 8 15 13  
9 13
   more than once in a row or
column, but it must be in a 7 21 10
11 7

5 6 12
   separate block.
13 15
45
      34 24
 

   ACROSS DOWN
1 Bulgarian capital (5) 1 Lie with one’s limbs
  
  WORDWHEEL C T
4 Country, capital
Cairo (5)
spread out (6)
2 Type of Greek cheese (4)
Using only the letters in the Wordwheel, you have 7 Having a striking or 3 Dave ___, Irish
    ten minutes to find as many words as possible,
L I revealing effect (9) comedian who
died in 2005 (5)
none of which may be plurals, foreign words or
proper nouns. Each word must be of three letters A 10 Plant similar to the
rhododendron (6) 5 Bend the knees and

LAST ISSUE’S or more, all must contain the central letter and
letters can only be used once in every word. There
A E 11 Finely powdered bow in church (9)
6 Structure supporting
SOLUTIONS
tobacco (5)
KAKURO is at least one nine-letter word in the wheel.
D G 12 Fabric interwoven with the lower limbs (6)
8 In another location (9)
QUICK CROSSWORD 2 4 9 3 1 2 4
threads of metal (4)

B A R B S F U M E S
3 1 7 1 2 3 9 SUDOKU         
14 Speech defect (4) 9 Wash clothes (7)
N A V A U
5 8 6 3 9 5          16 Chock (5) 13 Unit of electric
A V O N I S L U G 1 2 4 4 8 7 9 current (6)
I D E S P O T G 5 7 9 6 4 8
         18 Enclose in (6)
         15 Like better (6)
S L O W U V A S E 2 6 3 4 8 9 7 1 5
         20 Make merry (9)
O
L O
A
N G
M A Z E
L
S
R O O T
5
1
9 8
3 2 6
6 5 4
5 2 4
WORDWHEEL          21 Mechanical bar (5) 17 Twist into a state
O I O D I N E R          of deformity (5)
M A N N S I R A N
5 1 8 2 1 3 The nine-letter word was 22 Coating (5)
O T E G T 2 8 9 7 8 3 7          19 Light and
1 7 7 1 4 8 9
EASTBOUND         
N E H R U A N G E L insubstantial (4)
 Punter
28 CITYA.M. 18 FEBRUARY 2011

| Racing

RACING TRADER BILL ESDAILE, OUR RACING EXPERT, TAKES A LOOK AT THE BEST BETS OVER THE WEEKEND

Soldatino and
Carruthers are
the best bets
of the weekend
N
EWBURY gets the chance to stage
the totesport Trophy today follow-
ing last weekend’s tragic abandon-
ment. Sadly, both the field and the
prize money for the feature race have been
dramatically reduced, but my original
fancy SOLDATINO is set to take his chance
and should take plenty of stopping.
Nicky Henderson’s five-year-old was hav-
ing his first run since winning last season’s
Triumph Hurdle at Ascot last time and
travelled up sweetly turning into the
straight before eventually blowing up
approaching the final flight. A fast run two
miles on rain softened ground is ideal and
the 11/2 available with Victor Chandler
makes plenty of each-way appeal.
I have plenty of respect for the Alan
King trained pair Walkon and Salden
Licht, but reckon there may be more value
in a small each-way bet on BOTHY. Brian
Ellison has his string in rude health and
conditions look ideal for his charge who
should be thereabouts if reproducing the
form that saw him narrowly beaten in the
Greatwood Hurdle on his penultimate
start. He can be backed each-way at 10
with Victor Chandler and fair play to the
firm for paying four places even though
there are only 15 runners.
Elsewhere on a cracking card, What A
Friend looks to have been given a relative-
ly straightforward opportunity in the AON
Chase, but is sure to be sent off well odds-
on. Instead, I’m prepared to wait for I’M-
SINGINGTHEBLUES in the Game Spirit
Chase. David Pipe’s runner didn’t appear
to get home over two miles and five fur-
longs on New Years Day having travelled
like the winner to two out. I’m willing to
forgive him his last run at Sandown which
came only a week after that gruelling
Cheltenham race.
Only four runners have been declared
for the Novices’ Chase and Paul Nicholls’
Aiteen Thirtythree will be a warm order to
make it three from three over fences. He is
without doubt the one they all have to
beat, but I’d rather take a chance at the
prices on Philip Hobbs’ TARABLAZE. The
eight-year-old may well have only won a
two runner affair on his previous start,
but is held in high regard at home and has
been well backed for the RSA Chase in
recent weeks.
Nicky Henderson could round off a
great day with a win in the Bumper cour-
tesy of ERICHT. He won this race two years
ago with Mad Max and this son of
Alderbrook was impressive at Huntingdon
last time.
There is some cracking action tomor-
row and I’m going up to Haydock for the
bet of the day in the Grand National Trial.
CARRUTHERS hasn’t won since December
2009, but since then he has finished
fourth in the Gold Cup, second in the tote-
sport Bowl and sixth in the Hennessy.
Crucially he hasn’t had the soft ground he
loves in any of those races, so tomorrow’s
likely bottomless conditions at Haydock
will suit him perfectly. He is three from
three in heavy ground in his career, win-
ning by a combined 97 lengths.
POINTERS...
I’MSINGINGTHEBLUES e/w 1.15pm Newbury (today)
SOLDATINO e/w 1.50pm Newbury (today)
BOTHY e/w 1.50pm Newbury (today)
TARABLAZE 3.00pm Newbury (today)
ERICHT 3.35pm Newbury (today)
CARRUTHERS e/w 3.20pm Haydock (tomorrow)

COUNTDOWN TO CHELTENHAM
The David Nicholson Mares’
Hurdle on the opening day of
the meeting is all about one
horse – Quevega.
Willie Mullins’ hat-trick seek-
ing mare is already odds-on with
one firm and trading around
the 2.1 (11/10) mark on Betdaq.
However, the most intriguing
thing about this particular con-
test is the lack of opposition to
the favourite.
Only SPARKY MAY seems sure
to line up in less than a month’s
time and she will start a lot
shorter than the 7.0 currently
available. This will allow us to
trade in and out before the race
and have a free bet against the
favourite. There was also a severe
lack of market confidence in
Quevega in the 24 hours leading
up to last year’s race and a simi-
lar trading pattern will see our
selection shorten even more.
I was really taken by BOSTONS
ANGEL’s win in Ireland last
weekend and I just don’t see
how Jessica Harrington’s duel
Grade One winner can possibly
trade bigger than the 17.0 cur-
rently available.
I’d be seriously surprised if he
doesn’t trade in single figures
come the day. Finally, the same
yard’s OSCARS WELL is pressing
for favouritism in the ‘Neptune’
and today’s 7.0 will be nearer 4.0
on the day.

Join now for a risk free £20 bet and 2.5% in association with:
commission until March 31st (Betdaq T&Cs
Apply, see site for details.) www.betdaq.com
0870 178 1221

CITYA.M. 18 FEBRUARY 2011
SPORT TRADER OLLIE DREW AND BEN CLEMINSON BRING YOU THIS
WEEK’S BEST CRICKET WORLD CUP AND FOOTBALL BETS
Home comforts point to
Indian World Cup glory
J
UST OVER a month ago and England
were joint-favourites with some lay-
ers for the World Cup. They are now
out to 17/2 with Victor Chandler and
bookies will happily take your money.
Lifting the World Twenty20, their maiden
international trophy, last year and their
rousing Ashes victory in the winter are
fading memories after the one day wallop-
ing Down Under.
While there are some legitimate excus-
es for the series defeat – fatigue and anti-
climax chief among them – a 6-1 scoreline
is damning no matter the circumstances.
A rash of injuries have hardly helped
England’s cause and, even at long prices, I
can’t get excited about their prospects.
They should progress to the knockout
stages, with India, South Africa, West
Indies, Bangladesh, Ireland and
Netherlands for company in the pool
phase, but I won’t be buying their Group B
index at 35 with Sporting Index which
requires a top-two finish to profit.
It’s unlikely to be England, but this pot
should contain the eventual champions.
There’s no denying South Africa’s
strength, especially with the bat, and they
are decent value at Victor Chandler’s 5/1.
Runs will flow from skipper Graeme
Smith and fellow opener Hashim Amla,
the highest ODI scorer in 2010, just as they
will from the blades of Jacques Kallis and
AB de Villiers. However, The Proteas stand
accused of bottling previous World Cup
chances and they must rip off their ‘chok-
ers’ label.
India are as short as 11/4 with Victor
Chandler, but they deserve their place at
the head of the market. They co-host
alongside Sri Lanka and Bangladesh, with
the final in Mumbai, and a partisan fol-
lowing can help the 1983 winners become
CHELSEA
EVERTON
TOMORROW – 12.30PM ESPN
THE signings of Fernando Torres and
David Luiz have hardly had the immediate
effect that Carlo Ancelotti would have
been looking for.
A disappointing 1-0 defeat at home by
Liverpool was followed by an equally dis-
appointing goalless draw at Craven
Cottage on Monday night. There is a lack
of shape to the side and they just aren’t
posing a threat going forward.
Everton are in the midst of their own
BEHIND THE LINES
The ICC Cricket World Cup starts tomor-
row morning and if England win the tro-
phy we’ll refund all losing stakes on the
outright winner as a free bet. Strauss’s
men peaked during the Ashes and their
subsequent 6-1 defeat by Australia in the
ODI’s means we want to take them on.
It’s an open looking tournament and
Punter
only the second side to triumph on home
soil, after Sri Lanka in 1996.
They too will score runs in favourable
conditions, as they proved when notching
360/5 in Wednesday’s warm-up against
New Zealand. India have rotated their
squad while playing a lot of 50-over cricket
in the past year, but with the big guns
returning they look the pick in what
should be Sachin Tendulkar’s final World
Cup. No man can match his 1,796 competi-
tion runs and a winner’s medal for the
Little Master would be a fitting accompa-
niment to his plethora of records.
I also expect Bangladesh to go well.
With West Indies looking vulnerable in
Group B, they can spring a surprise and at
11/8 stand a good chance of reaching the
second round.
The Tigers boast the ICC’s number one-
ranked all-rounder in Shakib Al Hasan,
and Tamim Iqbal, the young batsman who
can cause trouble for anyone. Bigger
teams will rest players during the six-
run of poor form which resulted in David
Moyes describing the performance at
Bolton on Sunday as the worst under his
stewardship. The Toffees have won just
one of their last six games across all com-
petitions and are only three points above
the relegation zone.
There isn’t much for Everton to play for
now this season and a decent FA Cup run
can at least bring some solace. They actu-
ally have a decent record against Chelsea
of late, drawing four and winning one of
the last five league meetings. They have
also drawn the last five league contests at
Stamford Bridge and their only defeat
there in the past five seasons came in the
first leg of the Carling Cup semi final in
2007/08.
I can’t see this one being a thriller as
both sides are likely to be nervous. Chelsea
although India were beaten in South
Africa recently, we definitely want to
keep them on our side. This is the tour-
nament they desperately want to win
and it could be the perfect ending to
Sachin Tendulkar’s wonderful career.
With Fernando Torres cup-tied, and
Chelsea not having scored in their last
29
| Football
Picture: ACTION
match group stage, but Iqbal can expect
plenty of action. He’s prime candidate at
5/2 to be top Bangladeshi batsman.
Sporting Index quote Bangladesh’s out-
right index at 7-9, a price that should
tempt buyers who would see a return on
any advancement beyond the opening sec-
tion.
Sri Lanka have a live chance and there
are worse choices than the 9/2 second-
favourites on Betdaq. They will undoubt-
edly have their backers, as will the side at
the top of the ICC ODI rankings, Australia,
at 5/1 with Victor Chandler. Shane Watson
will take the game to opponents, while
Brett Lee and their pace attack strike fear,
but they could be hamstrung without the
quality spin to match.
POINTERS...
India to win the World Cup at 3/1 general
Buy Bangladesh’s outright index at 9 with
Sporting Index
are 4/7 with Victor Chandler, but that’s
too short for me for a side struggling with
their confidence. I’d much rather back the
stalemate at 3/1 with the same firm and it
would be no surprise to see this game go
to penalties.
The first match between the sides at
Goodison Park finished 1-1 and I fancy a
repeat of that scoreline at 7/1 on Betdaq. It
becomes a lottery when you get to extra-
time and penalties, although I’d probably
fancy the home side to come out on top in
the end. Spread punters are advised to sell
goals at 2.65 with Sporting Index.
POINTERS...
Draw at 3/1 with Victor Chandler
1-1 at 7/1 on Betdaq
Sell total goals at 2.65 with Sporting Index
two league games, we can see Everton
being on the receiving end of a backlash
at Stamford Bridge in the FA Cup replay
tomorrow.
The Toffees have conceded two or
more goals in five of their last six games
and we expect plenty of interest in the
4/7 about a Chelsea win.
 Sport
30
FOOTBALL ROUND-UP
Liverpool forced to
dig deep for draw
LIVERPOOL’S 0-0 draw against Sparta
Prague still gives them plenty to do in
next week’s second leg of their
Europa League round of 32 clash at
Anfield.
Kenny Dalglish, managing the club
for the first time in Europe, saw
Sparta create most of the chances in a
disjointed affair. Pepe Reina pulled
off several good saves, but the failure
to score a crucial away goal could
prove costly come the second leg.
Jordan blasts Gattuso
over racism claim
TOTTENHAM coach Joe Jordan brand-
ed AC Milan captain Gennaro Gattuso
“pathetic” for claiming racism played
a part in their fracas in the San Siro
on Tuesday.
Gattuso, who claims Jordan called
him a “f***** Italian b*****”, was yester-
day charged with gross misconduct
by Uefa. Jordan said: “To come up
with something like that is pathetic.
It is completely untrue. It’s so inaccu-
rate it doesn’t do him much credit.”
Crawley boss jittery
over meeting Fergie
CRAWLEY TOWN boss Steve Evans
admits he will be wracked with
nerves when they take on
Manchester United in the FA Cup
fifth round tomorrow.
He said: “I’ll be meeting Sir Alex
Ferguson at Old Trafford in front of
75,000 Manchester United fans. Of
course I’m nervous.”
Carry on swallow diving,
Johnson tells star Ashton
▲
RUGBY UNION
BY FRANK DALLERES
ENGLAND manager
Martin Johnson has
given star winger Chris
Ashton the green light to
continue his
controver-
sial ‘swal-
low dive’
celebration.
Ashton
(right) was warned
about showboating
before last weekend’s
RBS 6 Nations clash with
Italy, but defied orders
and dived over the line for
two of his four tries.
“We are not here to stamp on
peoples’ personalities,” said Johnson.
“He is a good guy to have in the
group and he is playing fantastically
well. We want him to keep it up. It is
BARCA WIN IS
OUR CATALYST
Fabregas tells Arsenal team-mates to take heart
from European breakthrough as they get set
to resume hunt for domestic glory
▲
FOOTBALL
BY FRANK DALLERES
ARSENAL captain Cesc Fabregas has
urged his team to use their watershed
victory over Barcelona as the spring-
board for success in a four-pronged
challenge for silverware.
The Gunners sent shockwaves
throughout Europe by coming from
behind on Wednesday night to topple
Barca, a team widely regarded as the
best in the world.
Manager Arsene Wenger after-
wards said the triumph would have a
galvanising effect on his side’s confi-
dence as they look to end a six-year
wait for a trophy.
And Fabregas believes beating the
Catalans can act as a catalyst for fur-
ther improvement as they prepare for
a run of games that could make or
break their season.
“It was the right result and defi-
nitely uplifting,” said Fabregas. “We
are in the final of the Carling Cup, we
have an FA Cup match coming on
Sunday and two Premier League
games coming up before the second
leg against Barcelona.
“I’m hoping this win will be good
for the team because since the new
not a big issue for us.” The danger of
celebrating prematurely was spelled
out by backs coach Brian Smith, who
showed the squad a video of ex-
London Irish forward
Leguizamon dropping the ball mid-
Juan
dive. Johnson added: “All that was
said in the team review was: ‘Get the
ball down safely and if you can get it
near the posts, get it near the posts’.
Chris did that four times. I prefer
him to get the ball down safely and
he has done that.”
Centre Shontayne Hape, mean-
while, has backed his England col-
league, saying Ashton has “been told
off enough times”. He added: “We all
know that if he is going to
score four tries he can do
whatever he wants.”
CITYA.M. 18 FEBRUARY 2011
year we’ve only lost one
game and we’ve won
most of our games.
Apart from the disap-
pointment against
Newcastle we’ve won
everything. At the
moment we’re on a
good run and we want
to keep it going.”
Arsenal go into
Sunday’s FA Cup fifth
round fixture at
Leyton Orient in scin-
tillating form, hav-
ing won eight of
their last nine
games, the excep-
tion being a 4-4 Fabregas believes Arsenal’s
draw on Tyneside.
The Carling
landmark win over Barca was
fully deserved
Cup final against Picture: ACTION IMAGES
Birmingham later
this month is
sandwiched
between home second leg of their Arshavin’s midweek winner, believes
league games last 16 tie with Barcelona. they are now tougher opponents.
against Stoke and The Gunners suffered a “We improved well,” he said. “We
Sunderland, before drubbing on their last trip to showed more maturity than last sea-
Wenger’s men trav- Camp Nou, but midfielder son. We knew if we could put them
el to Spain for the Samir Nasri, who set up Andrey under pressure we could get back.”
Ecclestone is in close
contact with the
Crown Prince
Picture: PA
Boss Hanks leaves
off-form Wasps Fears grow for Bahrain season
FORMER Gloucester and Bristol boss
opener after protester deaths
Dean Ryan has been touted as a pos-
sible replacement for Tony Hanks the Crown Prince this morning. He
▲
FORMULA ONE
after Wasps parted company with BY FRANK DALLERES doesn’t know any more than you or I,
the New Zealander yesterday. but they’re monitoring exactly what
Hanks departs after a run of just F1 CHIEF Bernie Ecclestone admits is going on. Next week we will make a
one win in six games and a group civil unrest in Bahrain may force him decision on what we are going to do.”
stage exit from the Heineken Cup. to scrap the first grand prix of the sea- Teams are due to ship their cars to
Head coach Shaun Edwards has been son, which is due to take place there Bahrain next week for the final pre-
placed in temporary charge for next month. season test on 3-6 March. The race
tomorrow’s trip to Leicester, but will Safety fears are growing after a itself is on 13 March and teams are
be absent the following weekend on handful of protesters died in clashes expected to discuss their concerns
Wales duty. with police early yesterday, and when they meet in Barcelona today.
Meanwhile, Leeds director of rugby Ecclestone is set to make a decision This weekend’s GP2 event in
Andy Key has left the bottom-of-the- within days. Bahrain has been cancelled and
table club, with head coach Neil Back “It’s not good, is it?” he said. “We’ll Virgin Racing team boss John Booth
placed in charge. have to keep our eye on things and said: “It’s obviously very disturbing
make a decision quickly. I spoke to and there is concern.”
CITYA.M. 18 FEBRUARY 2011
Cheapest public seat
for final to cost £163
▲
FOOTBALL
BY JAMES GOLDMAN
EUROPEAN chiefs last night
defended ticket prices for the
Champions League final after
revealing that the general public
will have to pay £163, at the very
least, to attend the Wembley
showdown in May.
Governing body Uefa has set
aside 11,000 tickets for general
release, with prices ranging from
£150 to £300. Fans are limited to
buying a maximum of two tickets
and all purchases will be subject
to a hefty £26 administration fee.
Someone, therefore, wishing to
purchase two Category Three tick-
ets would incur a cost of £326 at
£163 per ticket. The prices for the
cheapest tickets on offer repre-
sent a significant 13 percent hike
for a comparable seat at last
year’s final in Madrid. Clubs that
Electrocution caused Newbury
horse tragedy, probe confirms
▲
HORSE RACING
BY JAMES GOLDMAN
THE DEATHS of two horses at
Newbury last Saturday were caused
by “accidental electrocution”, a
British Horseracing Authority (BHA)
investigation confirmed yesterday.
Fenix Two and Marching Song died
in the paddock area before the first
race, which was run before the
remainder of the meeting was aban-
doned, and post-mortems revealed
both suffered heart attacks. An elec-
SPORT | IN BRIEF
Watson stumbles in Memphis
TENNIS: British number three Heather
Watson’s Cellular South Cup run in
Memphis ended at the quarter-final
stage with a 6-3 6-4 defeat by Evgeniya
Rodina. The 18-year-old qualifier had
won four matches to reach the last eight
but was ousted by the Russian.
Nadal targets Davis Cup return
TENNIS: World No1 Rafael Nadal will
return to Spain’s Davis Cup team next
reach the final will receive an
allocation of 25,000 tickets each,
priced at £80, to sell on to their
supporters.
But Uefa’s director of competi-
tions, Giorgio Marchetti, said the
prices were in line with other
high-profile events such as the
World Cup final.
He said: “We don’t think that
the Champions League final is
overpriced. We do not want to
squeeze every single penny out of
the market.
“We have to benchmark this
event against other comparable
events, like for example the final
of the European Championship
and the World Cup.
“Last year there was already a
significant increase compared to
the previous editions but it’s
nothing to do with being in
London and it is still priced below
comparable events.”
tricity cable which ran beneath the
parade ring has since been discon-
nected and removed.
Professor Tim Morris, director of
equine science and welfare for the
BHA, said: “The authority has been
officially informed that there was
leakage of electricity from a cable
under the parade ring. The post-
mortem examinations showed sud-
den cardiac arrest as the cause of
death. These findings are all consis-
tent with the cause of death being
accidental electrocution.”
month for the first time since their 2009
triumph to face Belgium. It will be
Nadal’s first appearance since tearing a
leg muscle while losing in the Australian
Open quarter-finals to David Ferrer.
Hendry rolls back the years with a 147
SNOOKER: Stephen Hendry opened his
Welsh Open second round match against
Stephen Maguire with a 147 break but
lost 4-2. World champion Neil Robertson
lost 4-1 to Graeme Dott.
Ignore doom merchants,
World Cup still matters
CRICKET COMMENT
ANDY LLOYD
T
HE 50-OVER World Cup might
have lost some of its prestige
and allure as a result of the
boom in Twenty20 cricket,
but reports of its demise are greatly
exaggerated.
Four years ago in the Caribbean
the authorities got things badly
wrong. Poor crowds, the lack of a
genuine threat to Australia and a
convoluted format all contributed
to a largely forgettable six weeks.
Thankfully, cricket has moved on
a lot in the intervening period and I
expect this tournament to reignite
interest in a format of the game
which offers a more than happy
medium between the glitz of T20
and the subtle nuances of Test
cricket.
Power-plays and increased field-
ing restrictions have added an extra
tactical element to the game and
I’m sure we’re going to see an
action packed tournament, full of
attacking cricket. Having said that,
pitches in the subcontinent don’t
tend to sit hand in hand with fast
NEED TO KNOW | 2011 CRICKET WORLD CUP
Where is it?
The tournament is being staged in 13
cities across three countries: India,
Bangladesh and Sri Lanka.
When is it happening?
From 19 February to 2 April. In other
words, the opening group match
between India and Bangladesh starts
tomorrow morning, and the final
takes place exactly six weeks later.
Is it on TV?
Sky Sports has live coverage, while
the BBC is showing highlights which
will also be available on its website.
Competition format
The 14 teams are divided into two
groups, in which everyone plays
everyone. The top four from each
group enter the quarter-finals, where
it becomes a knockout tournament.
Results
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email sport@cityam.com
scoring rates and sixes galore and
with that in mind home advantage
is going to prove vital.
Sri Lanka and India, despite the
enormous pressures they’ll be
under to perform, will take some
beating and what better way could
their be for true champions like
Muttiah Muralitharan or Sachin
Tendulkar to enhance their legacies
than by walking off into the sunset
with a World Cup winners’ medal.
As great as it is to see the old
stagers having one last hurrah,
cricket is in need of a new crop of
superstars and the World Cup could
propel the likes of Virat Kohli, a typ-
The groups
GROUP A: Australia, Pakistan, New
Zealand, Sri Lanka, Zimbabwe,
Canada, Kenya
GROUP B: India, South Africa,
England, West Indies, Bangladesh,
Ireland, Netherlands
England’s group matches
v Netherlands, Tuesday 22 February,
play starts 9am GMT, Nagpur
v India, Sunday 27 February, play
starts 9am, Bangalore
v Ireland, Wednesday 2 March, play
starts 9am, Bangalore
v South Africa, Sunday 6 March, play
starts 4am, Chennai
v Bangladesh, Friday 11 March,
play starts 8.30am, Chittagong
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31
Strauss at the
World Cup opening
ceremony
Pic: PA
ically gifted, wristy Indian stroke
player, or Sri Lanka’s artful spinner
Ajantha Mendis to that next level.
Having praised the authorities
for tinkering with the format, I
would, however, have to question
their desire to include so many
associate nations. I don’t see the
point of their presence. What are
the likes of Canada and Ireland
going to bring to the party?
True, there were some huge
upsets last time around, but I don’t
see any chance of a repeat this time
and taking a series of hefty beatings
isn’t going to aid the development
of these smaller nations.
v West Indies, Thursday 17 March,
play starts 9am, Chennai
Knockout stage
Quarter-finals
1. A1 v B4, Friday 23 March, play
starts 8.30am, Mirpur
2. A2 v B3, Saturday 24 March, play
starts 9am, Motera
3. A3 v B2, Sunday 25 March, play
starts 8.30am, Mirpur
4. A4 v B1, Monday 26 March, play
starts 9am, Colombo
Semi-finals
Winner QF1 v Winner QF3, Thursday
29 March, play starts 9am, Colombo
Winner QF2 v Winner QF4, Friday 30
March, play starts 9am, Mohali
Final, Saturday 2 April, play starts
9am, Mumbai
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