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HE’SBut Barack Obama’s triumphant re-election marred BACKby stock market slump as global economic fears mount

nearly half of the popular vote BY JULIAN HARRIS going to Romney. Prime Minister David Cameron VICTORIOUS President Barack congratulated Obama on his re- Obama addressed adoring crowds election. “I have really enjoyed in Chicago yesterday after working with him over the last winning a second term at the few years and I look forward to White House, yet was hit by an working with him again over the immediate reality check as next four years,” Cameron said, markets crashed on the back of during his visit to Jordan. renewed tensions in the Eurozone. “There are so many things that In New York the Dow Jones we need to do: we need to kick crashed by 2.36 per cent to end start the world economy and I the day at 12,932.73 as violent want to see an EU-US trade deal.” protests erupted in Greece and Fellow Conservative Boris investors also fretted about Johnson, the Mayor of London, America’s own levels of also congratulated Obama but government debt. was less comprehensive in his The Greek government last praise. “Looking forward to night won a key vote on its latest renewing our claim to America’s austerity measures. While 153 ELECTORAL unpaid Congestion Charge bill!” MPs supported it, the number is POPULAR VOTE the Mayor joked on Twitter – a significantly lower than the 179 COLLEGE VOTE reference to the hefty bill that MPs that formed the coalition. A US diplomats’ cars have run up number of MPs were reported to while driving in central London. have been expelled from their ROMNEY parties for failing to support the ROMNEY Dow Jones Industrial Average measures, last night. OBAMA 13,200 $ Greece’s leaders still need to 49% OBAMA pass the overall bill in another 206 * 12,932.73 vote on Sunday, and convince its 50% 13,100 7 Nov international lenders that it will * Includes 332 see through the austerity projected Florida win 13,000 measures and reforms needed to President Barack Obama and First Lady Michelle Obama are all smiles in front of a mass crowd of supporters yesterday pave the way for upcoming tranches of its bailout cash. 12,850 With economic clouds in tax hikes and spending cuts as are not as divided as our politics Obama was confirmed as a two- gathering overhead, Obama and soon as January. suggests. We’re not as cynical as the term President yesterday, reaching 10am 12pm 2pm 4pm defeated Republican candidate “In the weeks ahead, I look pundits believe.” 303 votes on the electoral college – Mitt Romney both struck forward to sitting down with In his concession speech, Romney comfortably more than the 270 conciliatory tones in their post- governor Romney to talk about said the US was at “a critical point” required to win. The number will election speeches, encouraging where we can work together to move in its history. “At a time like this, we rise to 332 if he is confirmed to have SPOTLIGHT ON colleagues to find a cure for this country forward,” Obama said. can’t risk partisan bickering and won Florida. Late last night Romney America’s so called fiscal cliff – a Referring to divided factions in political posturing. Our leaders have remained on only 206, with some situation that could see the the Senate and House of to reach across the aisle to do the seats still to declare. US ELECTIONS economy knocked by over $600bn Representatives, Obama added: “We people’s work,” he urged. Yet America remains divided, with See pages 2, 3, 22, 23

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DEMOCRAT Ten observations on a historic BARACK OBAMA JOE BIDEN election for the United States (incl.332 projected Florida win) 1 The popular vote was very close: party that cannot capture the votes of 50.4-48.1 per cent, and a gap of 2.8m immigrants and their children is 270 ELECTORAL votes, against 52.9-45.7 per cent and EDITOR’S doomed, and deservedly so. The 9.5m votes in 2008. Obama’s lead was Republicans used to grab a much cut from 7.2 points to 2.3 points. higher share of hispanics under WASHINGTON However, Obama triumphed in all of LETTER George Bush. The party’s current per- 12 MONTANA NORTH DAKOTA the swing states. formance is pathetic: it desperately 2 Many factors destroyed Romney: ALLISTER HEATH needs to reach out to ethnic minori- 3 3 he was a poor candidate with insuffi- ties and convince them that it is an OREGON cient charisma and too many nega- open party that opposes the evil that 7 tives who should never have been increase taxes, including income tax, is racism and supports a truly colour- IDAHO SOUTH DAKOTA selected; most Ohioans backed car in a move which is likely going to blind, upwardly mobile society. 4 3 bailouts, helping deliver the state to accelerate that state’s sad economic 8 But is it really demographics that WYOMING Obama; the storm helped the decline and push jobs to other parts explains Obama’s victory? As a bril- 3 President; and the Democrats deliv- of the US. Californians also voted to liant analysis on p22 by Stephan ered a more competent campaign keep the death penalty. Some states Shakespeare demonstrates, attitudes NEBRASKA which turned out even more young voted to decriminalise marijuana and were the best predictor of voting: 81 NEVADA 5 people than in 2008, gaining the sup- Americans increasingly back gay mar- per cent of those who said they want 6 UTAH port of two-thirds of 18-29 year olds. riage. One last intriguing fact: eight a bigger government voted Obama. 6 COLORADO 3 Incumbent governments can win out of ten US counties with the high- 9 The Republican core vote strategy 9 KANSAS even in the current climate. But est incomes voted for Obama. failed – but only just. Don’t listen to CALIFORNIA 6 Obama just had to defend most of his 7 The Republicans’ electoral strong- commentators who expound too 55 votes. David Cameron’s 36.1 per cent holds were unskilled white men and many meta-theories about the US or means that he needs to substantially older voters. The Democrats were any other country. Every time a party OKLAHOMA increase his share to win in 2015. backed by single women and the loses an election, pundits write it off ARIZONA NEW MEXICO 7 4 US employment has performed young. US politics is also starkly divid- and talk of grand, historic realign- 11 5 poorly and real wages are under pres- ed along ethnic lines. The electorate ments. They are always wrong. Losers sure – but the economy is growing. was 72 per cent white; this demo- eventually fight back, as the The numbers feeling worse off were graphic backed Romney 58-40 per Democrats did after Reagan. small enough to save Obama. cent. Around 13 per cent of the voters 10 Dodd-Frank, the financial regula- 5 Republicans kept their majority in were African-American, 93 per cent of tory bill, will go ahead – and so will TEXAS the House of Representatives and which voted for the President; 10 per the UK and EU regulatory agenda. ALASKA 38 increased their governorships to 30 cent of the electorate were hispanics, Monetary policy will continue 3 out of 50. But Democrats strength- who backed Obama 71 percent to 27; unchanged. The big issue now is the ened their control of the Senate to 53 and 3 per cent were Asian (breaking fiscal cliff. Good luck, Mr President. against 45 (and two independents). 73-26 for Obama). America has been 6 Most referenda opposed tax hikes. changing for years – whites made up [email protected] HAWAII But voters in California voted to 87 per cent of voters in 1992 – and any Follow me on Twitter: @allisterheath 4 ANALYST VIEWS HOUSE OF REPRESENTATIVES Republicans retain House but WILL US MARKETS RECOVER? Democrats tighten Senate grip

Interviews by Ben Southwood DEMOCRATS 191 BY BEN SOUTHWOOD and abortion by the extreme social conservative wing of their party. REPUBLICANS 232 REPUBLICANS retained their hold Both Todd Akin, who MICHAEL HEWSON CMC 218 on the House of Representatives notoriously said that women had a yesterday, while Democrats held means of shutting down The US market rally onto the Senate, maintaining the pregnancies in cases of “legitimate appears to have been one of partisan status quo of the past two rape” and Richard Mourdock, who “those “act in haste and repent years. said pregnancies were a gift from at leisure” types of market SENATE Republicans guaranteed God even in cases of rape, lost reaction which investors in themselves a majority in the 435- their races for Senate seats. member lower chamber, even Democratic candidate Tammy hindsight wish they’d thought before the last results came in Baldwin won her Wisconsin race better of. Yesterday morning’s news from Europe has through the night. But Democrats to become not only the first seen US markets plunge on the open as investors increased their majority in the female senator from the state, but quickly realised that for all the noise, and relief the upper chamber to 10, gaining in also the first openly gay senator in same old problems remain with the same DEMOCRATS 55 Massachusetts and Indiana. the US, as part of a race that saw a set of protagonists looking for a solution. Republican chances of gaining record number of women elected REPUBLICANS 45 50 four seats and taking over the to Congress. Another of these DAN MORRIS JP MORGAN” Senate – initially evens, according women was law professor to the party – were dented by Elizabeth Warren, who unseated controversial comments on rape Scott Brown in Massachussets. The fiscal cliff may turn out to be just a distrac- “tion. If just a short-term solution is found to the problem, markets should All eyes on the fiscal cliff as conflicts linger recover fairly quickly. If tough negotiations lead to a drop in equity mar- BY JULIAN HARRIS agreement on a new fiscal plan by biggest economy slip back into a think he’s going to be able to do it kets that should be viewed as a buying opportu- January, the US faces an recession, while the anaemic after the election? That’s the big nity; US equities are still fundamentally attractive INVESTOR worries over the so automatic $600bn hit from recovery in the jobs market will issue right now.” but valuations are not as good as they called US fiscal cliff are growing scheduled tax rises and spending continue to unnerve Yet stock markets could be were a year ago. following the re-election of cuts – which some economists say markets in the short propped up by the Fed’s ongoing Barack Obama to the White House could severely jolt its economy. term until we see a quantitative easing programme. RICHARD LEWIS FIDELITY” and continuing Republican “Mr President, this is your meaningful Presidential candidate Mitt control of the House of moment. We’re ready to be led, improvement.” Romney had been hostile towards “We will see some Representatives. not as Democrats or Republicans, Todd Schoenberger Bernanke’s asset-buying scheme, very intense negoti- Republican House speaker John but as Americans,” Boehner said. of BlackBay Group in with his defeat at the hands of ations pre-Christmas around Boehner last night told Obama “We want you to succeed. Let’s New York added: Obama likely to see Bernanke “the budget deficit and the that his colleagues were ready to challenge ourselves to find the “Traders on the continue to promote negotiating stance of the two be led towards a fiscal solution. common ground that has eluded floor are thinking, monetary easing at least parties will start off poles Democrat Obama’s first term us. Let’s rise above the before the until the end of his apart... After a lot of wailing was scarred by a failure to strike a dysfunction and do the right election Obama current term in January compromise in the House over a thing together for our country.” wasn’t able to 2014. and gnashing of teeth, we are hopeful of a budget plan to heal America’s potentially Yet ETX Capital’s Andrew resolve the agreement along the lines of the Bowles-Simpson crippling level of government Edwards warned: “Failure by the fiscal cliff proposal which is based on a ratio of 3-1 spending debt and annual deficit. US government to tackle the fiscal so what Ben Bernanke has the cuts versus tax increases. ” And if Congress cannot find an cliff is likely to see the world’s makes you support of Barack Obama THURSDAY 8 NOVEMBER 2012 cityam.com US ELECTION SPECIAL 3 HOW THE RESULT MIGHT AFFECT UK COMPANIES REPUBLICAN As the dust settled on President clear direction from global regulators,” September that under his leadership the Obama’s second-term victory, share he said. Fed would maintain low interest rates, MITT ROMNEY prices were quick to react yesterday to Aerospace and defence firms also and continue with quantitative easing the impact of another four years of his suffered, with BAE Systems down 1.3 per until the economy is back on track, PAUL RYAN reign. cent, hurt by the expectation that helping to ensure continuing high 206 Financial shares lost ground as any defense budgets would continue to drift demand for metals. hopes the Volcker rule, part of the downwards. Education-orientated firms also Dodd-Frank reforms, curbing Romney had pledged to increase the benefited, with UK-listed publisher VOTES TO WIN proprietary trading by Wall Street banks funding for military budgets, but Pearson which closed flat yesterday, in securities and derivatives, would be analysts yesterday estimated Obama’s beating the 1.6 per cent drop in the FTSE repealed by Republican challenger Mitt second four years in office could see as 100, as investors assumed its North MINNESOTA (10) Romney, died. Barclays shares fell 2.8 much as $20bn slashed from defense American education business would MAINE per cent, Royal Bank of Scotland 2.7 per spending. benefit from continued federal funding 4 cent and HSBC 2.2 per cent. But there were also winners from for school textbooks. However, PwC financial services leader Obama’s victory. However, Liberum analyst Ian Whittaker NEW HAMPSHIRE (4) Kevin Burrowes says the result at least Mining shares rose in relief that Romney, reiterated his “sell” rating yesterday, provided certainty for financial firms. who had said he would remove Ben warning that the Republicans’ continued WISCONSIN NEW YORK VERMONT (3) “They can now get on with Bernanke as Federal Reserve chief, lost; hold on the House of Representatives 29 10 MASSACHUSETTS (11) implementing EU and US reforms on an gold investors also gained on fears of meant significant extra funding was MICHIGAN integrated basis, knowing they have a more QE. Bernanke, made clear in unlikely to be signed off. 16 IOWA PENNSYLVANIA RHODE ISLAND (4) 6 20 OHIO CONNECTICUT (7) ILLINOIS INDIANA 18 20 11 W VIRGINIA NEW JERSEY (14) 5 VIRGINIA DELAWARE (3) MISSOURI KENTUCKY 13 10 8 NORTH CAROLINA MARYLAND (10) 15 TENNESSEE DISTRICT OF COLUMBIA ( ) 11 3 ARKANSAS SOUTH CAROLINA 6 9 MISSISSIPPI 6 GEORGIA ALABAMA 16 9 LOUISIANA 8 FLORIDA 29 Markets plunge as re-election jitters emerge

BY KATIE HOPE congressional elections – with the Republicans retaining the House of FEARS a split Congress could hamper Representatives and the Democrats action on the US economy saw initial holding their majority in the Senate – market euphoria that the elections meant little had actually changed. had delivered a decisive result rapid- “The split Congress will not make it ly switch to fear on world markets. easier to deal with the fiscal chal- The Dow plunged 312.95 points in lenges of the next few years,” said its worst one-day fall for the year, Bernd Weidensteiner of with the FTSE 100 losing 1.6 per cent Commerzbank. and the benchmark Eurofirst drop- Unless the two sides of government ping 1.4 per cent. can agree a new plan to deal with The price of oil mirrored the fall in America’s debt, more than $600bn equities, with US crude down 57 (£375bn) of tax increases and spend- cents at $88.14 per barrel. ing cuts will be automatically enact- Meanwhile, gold surged to its high- ed at the end of this year, a result est level in two weeks, hitting $1,729 which ultimately could tip the US an ounce, its strongest level since 23 back into recession, the IMF has October, before slipping back to warned. $1,726.31 as investors rushed into “The persistent uncertainty will safe-haven investments. remain a drag on confidence, includ- The dramatic movements came as ing in the equity market,” said Julian analysts warned the result of the Jessop from Capital Economics. Spot Gold Brent crude oil 1,740 $ $1,731.40 112 $ two week high 1,730 111 1,720 110 1,710 109

1,700 108

1,690 107 Eastern Time 20:00 7 Nov 4:00 8:00 12:00 14:00 Yesterday’s trading

THURSDAY 8 NOVEMBER 2012 cityam.com NEWS 5 JUSTIN WELBY NEW ARCHBISHOP OF CANTERBURY UK closes in on JUSTIN Welby, Bishop of Durham, is expected to be unveiled as the Typhoon deal next Archbishop of BY CITY A.M. REPORTER Canterbury, replacing current The UK has made “extremely Church of England encouraging” progress in securing boss Rowan an order from the United Arab Williams, and Emirates for 60 Typhoon fighter pipping jets made by BAE Systems, a British Archbishop of York defence source said yesterday. John Sentamu to “There is a political agreement. the post. Welby is Clearly there are a lot of details to a 56-year old Old be worked through, but it is extremely encouraging,” the Etonian and source said, adding that a contract Cambridge was likely to be signed sooner graduate, who rather than later. opposes same-sex The official was speaking after marriage and was Prime Minister David Cameron enthroned as a travelled to the UAE earlier this bishop just under a week on a two-day diplomacy and year ago. trade visit.

Greek cuts bill NEW CITY TRAVEL STORE makes it past NOW OPEN parliament test 82 Cheapside, London

BY BEN SOUTHWOOD six from socialist coalition partner Pasok. All seven deputies were GREEK LAWMAKERS late last night promptly expelled from their par- approved the austerity bill neces- ties. sary to secure the next tranche of Calling on the 300 representatives bailout funds from their creditors. to the house to pass the bill, The two main governing parties Samaras described the vote as a faced down a rebellion from junior make or break situation. “Today we coalition partner Democratic Left, vote on whether we will remain in and seven of their own MPs, to pass the Eurozone or return to interna- the 500-odd page bill, containing tional isolation, meet completely €13.5bn (£10.8bn) worth bankruptcy, and end up in the of cuts 153 to 128. Drachma,” he warned the chamber. But the success If the government can also pass was marred by the 2013 budget – which is the rebellion of expected to be brought to parlia- seven repre- ment on Sunday – then they sentatives – stand to receive €31.5bn of aid one from from the International Monetary Prime Minister Fund and the European Union. Antonis Without the bailout, Greece Samaras’s New may be unable to pay creditors. Democracy Party and Prime Minister Your next travel adventure Antonis Samaras fired one MP is closer than you think. WHAT THE OTHER PAPERS SAY THIS MORNING

Our first standalone travel store, in the heart of the City of London, is a fusion EADS offices raided over Austria sale Occidental Petroleum vying for Yates of A&K’s 50 years of pioneering travel heritage combined with contemporary Police have raided several offices Occidental Petroleum is among those sophistication. Pore over traditional maps while exploring exotic destinations belonging to the European aerospace vying for Yates Petroleum, one of the digitally. Connect face to face over skype-to-store with our teams on the ground and defence group EADS as part of an largest closely held oil companies in the inquiry into whether bribes were paid to U.S., in a deal that could fetch as much around the globe for the latest word on the street. Get kitted out with all the smooth the sale of Eurofighter Typhoon as $3 billion (£1.88bn), according to equipment you need for your travels. And all while savouring a cappuccino, jets to Austria. people familiar with the talks. glass of wine or G&T, courtesy of our Sundowner bar.

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Europe fears US energy gap ING blow to small firm investment Europe’s ability to compete against the Hopes of small business driving the UK’s US as a manufacturing centre is being economic recovery have been dealt a blow damaged by rising energy costs as North after a leading finance provider withdrew a America benefits from cheap natural crucial source of finance for entrepreneurs. shale gas, Germany’s biggest companies ING is pulling out of the UK leasing industry, are warning. The energy cost advantge which thousands of small companies rely on 020 3667 7000 | abercrombiekent.co.uk/travelboutique for US firms is rising, BDI said. to fund growth and investment. CITYAMCAREERS.com The new jobs website for London professionals THURSDAY 8 NOVEMBER 2012 6 NEWS cityam.com CBI demands Unemployment more state aid for businesses to rise again in BY TIM WALLACE A NEW industrial policy would help the economy grow by boosting exports, a leading business group claims in a report out today. The Confederation of British Europe in 2013 Industry (CBI) said it does not want the government to return to a policy BY TIM WALLACE correction continues to weigh heavily of “picking winners” – but it does on economic activity and employ- think some support for selected THE EUROZONE’S economy will bare- ment in the EU, yet compared with ING chairman Jan Hommen said the cuts were painful when staff had worked so hard industries would help create ly grow at all next year, the European the situation before the summer, economic growth. Commission warned yesterday, slash- financial tensions have somewhat Support for sectors including ing its previously upbeat growth abated,” the forecast said. aerospace, car manufacturing, green projections. “The full implementation of far- ING announces 2,350 job losses technologies, creative industries and Official forecasts now put 2013’s reaching policy measures announced pharmaceuticals could give the growth at just 0.1 per cent, well short over recent months and progress economy a £30bn boost through of the one per cent predicted in May. with the correction of imbalances exports and create a trade surplus. That gloomy outlook means gov- should reduce financial stress in vul- as it trims insurance operations It argues for a long-term drive to ernment debts will keep rising more nerable member states further and make sure the government works quickly than expected – debt is now lead to a gradual restoration of confi- BY TIM WALLACE the dedication of the departing with big business to suit companies’ expected to keep growing fast, to hit dence across the EU, which is neces- staff: “It is painful to announce needs better – for example in 94.5 per cent of GDP next year rather sary for investment and private DUTCH financial group ING will such steps because throughout education and infrastructure. than the 92.6 per cent previously consumption to return.” cut more than 2,000 jobs over the these challenging times employees The group complains that the predicted. Germany and France both saw their next two years as it prepares to at all levels have worked tirelessly liberalisations of the 1980s mean the And the currency area’s army of GDP forecasts cut by 0.9 percentage separate its banking and insurance to prepare businesses for government no longer helps big unemployed will keep growing to points to 0.8 per cent and 0.3 per cent operations. divestment and secure strong firms. It stops short of asking the 11.8 per cent, rather than hold steady respectively, while Spain and Italy’s The job losses are made up of stand-alone futures for the bank state to invest directly in businesses at 11 per cent as forecasts six months were both cut 1.1 percentage points 1,350 of its 12,000 staff in European and insurance [units].” or set up firms, warning this could ago expected. to falls of 1.4 per cent and 0.5 per insurance operations, and 1,000 of The announcement comes after repeat the failures of industrial For the EU as a whole, the growth cent. its 10,500 commercial banking Swiss bank UBS revealed it will cut policies of the 1960s and 1970s. outlook has been cut from 1.3 per Greece saw the biggest downgrade, employees worldwide. 10,000 jobs as it scales back parts of But it calls for more indirect cent to 0.4 per cent, while govern- from an earlier forecast of flat GDP in That is thought to include 300 its investment bank, while German action to increase growth in certain ment debt is set to come in at 88.5 2013 to a fall of 4.2 per cent. roles in its UK leasing business. Deutsche Bank is cutting 1,900 sectors – for example by using per cent of GDP, not 87.2 per cent, The UK also saw its forecast chopped The cuts should save the bank a positions. regulation to force households and and unemployment is forecast to rise back, with growth now predicted to total of €460m (£367.3m) per year The group reported third- firms to buy from green energy to 10.9 per cent, not 10.3 per cent. come in at 0.9 per cent in 2013, not from the end of 2015. quarter profits of €609m, down 64 suppliers, or giving grants to those “The ongoing post-financial crisis the 1.7 per cent previously expected. Chairman Jan Hommen praised per cent on the year. who adopt new technologies early. THURSDAY 8 NOVEMBER 2012 cityam.com NEWS 7 Earnings double Munich Re targets €3bn profit as investment income surges as BNP recovers know the full cost of Schneider. “Based on a provisional BY JAMES WATERSON Hurricane Sandy, estimate characterised by a high MUNICH RE yesterday raised its executives do not degree of uncertainty, we target profit for 2012 to €3bn expect disaster claims anticipate Munich Re’s share of (£2.4bn), thanks to an absence of to ruin the firm’s the losses to be in the mid three- large disasters and a strong final results. digit million euro range.” from Greek woe investment performance. “The high number of The announcement follows The world’s biggest reinsurer individual losses and strong results earlier this also announced that third quarter the vast extent of week from rival German BY TIM WALLACE €1.46bn to €1.52bn, while the retail bank consolidated profit was €1.1bn – the storm make insurer Hannover Re, recorded a 2.15 per cent rise to €6.18bn. up from €290m for the same loss estimation who also raised year-end FRENCH banking giant BNP Paribas The group hit a fully-loaded Basel III period last year – in part thanks to very difficult,” expectations. defied the Eurozone crisis to double common equity tier one ratio of 9.5 per a 65 per cent rise in investment said chief earnings in the third quarter, according cent in the quarter. income. financial Chief financial officer Jörg to financial results published yesterday. However the bank did take some hits, Although the insurer does not officer Jörg Schneider is upbeat on 2012 The bank reported net profits of with credit losses up 8.6 per cent on the €1.32bn (£1.05bn) in the three-month year to €944m. period – up 144 per cent on the €541m Shares rose 0.42 per cent on the day. recorded in the third quarter of 2012. That is in part a rebound from a multi- BNP Paribas billion euro hit from the falling value of 41.50 € 39.54 the bank’s Greek debt last year. 7 Nov But the recovery is also due to boom- 41.00 ing investment bank revenues, largely 40.50 on the back of improved bond-trading incomes. Corporate and investment 40.00 banking (CIB) revenues jumped from 39.50 €1.79bn in the third quarter of 2011 to €2.38bn in the last three months. 39.00 The investment solutions arm also saw revenues edge up 4.1 per cent from 1 Nov 2 Nov 5 Nov 6 Nov 7 Nov

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+ "; "; "$ ; %$; ; ;$; #$ ($;&$#;;$;$); ;  6# "2;&#$;       ";;1             THURSDAY 8 NOVEMBER 2012 8 NEWS cityam.com IN BRIEF WANDisco leaps on patent win n Sheffield software firm WANDisco Burberry chief saw shares rise more than 10 per cent yesterday as it said US officials had approved a request for its technology to be patented. The approval boosts WANDisco’s position in the fast- growing Big Data market. The against female newly-patented “active:active replication” technology underpins much of WANDisco’s business collaboration software, which is used board quotas by clients including HP and Barclays. Warner Bros buys London studio n Soho-based post-production film BY KASMIRA JEFFORD Underlying profit before tax rose six per cent to £173m when stripping out studio De Lane Lea was yesterday bought by US giant Warner Bros. BURBERRY boss Angela Ahrendts yes- a one-off £73.8m payment Burberry Laurence Orbach co-founded the non-fiction book publisher in 1976 terday spoke out against imposing made to end a fragrance and beauty De Lane Lea, which edits films after quotas for women on boards as the licence with French company they have been shot, employs around luxury fashion brand reported bet- Interparfums. 30 people in its studio. The price of ter-than-expected half year profits. From April next year Burberry will Shareholders win battle to oust the deal was not disclosed, but is Ahrendts, who has been at the bring fragrance in house, which likely to be minimal. De Lane Lea’s helm of Burberry since 2006, is one Ahrendts said she hopes will create a revenues last year were around £3m. of only two women running FTSE “halo effect” on sales of other prod- The studio has worked on dozens of 100 firms after Cynthia Carroll ucts, tempting fragrance shoppers to Quarto founder from the board recent hits, including the Harry Potter announced last month she is to step buy higher priced items. films and Casino Royale. down as chief executive of Anglo Ahrendts shrugged off fears of a BY KASMIRA JEFFORD plans to split the chairman and American. slowdown in the luxury industry and chief executive role, with chief IAG eyes Spanish budget airline Speaking at Burberry’s new global said forecasts of four to six per cent REBEL shareholders yesterday won operating officer Marcus Leaver flagship Regent Store yesterday, growth “was still healthier than a drawn-out battle to oust Quarto set to succeed Orbach as chief n IAG, the parent company of British Ahrendts said it was “about leader- other sectors”. chairman and chief executive executive next year. Airways and Iberia, is eyeing a bid for ship and experience” over gender. Laurence Orbach from the board Chadwick, has been director to Vueling Airlines, a budget carrier Asked why there were not more Burberry Group PLC of the publishing house, with the board but it is still unclear based in Spain, the firm said in a women on boards she said: 1,280 p 1,250.43 industry veteran Tim Chadwick to whether he will take up the role of statement yesterday. IAG’s board will “Honestly, it’s just a matter of time. 7 Nov take his place. chairman. 1,260 meet today to consider a bid and its But do you accelerate it? I don’t At the special meeting forced by Harwood Capital, which owns possible terms. A subsidiary of IAG know.” 1,240 activist investor Harwood Capital, 19 per cent of the company already owns 45.85 per cent of The luxury brand, which spooked shareholders voted in favour of together with the Wellcome trust, 1,220 Barcelona-based Vueling, which offers the market in September when it removing Orbach, Quarto’s largest wanted to parachute Chadwick, low costs flights across Europe. IAG warned of a slowdown in China, said 1,200 shareholder, who founded the the founder of Aurum Press, into chief executive Willie Walsh has been sales had steadied in the last quarter, publisher in 1976. the role after accusing Orbach of 1,180 on the acquisition trail since BA and with revenues up eight per cent to The company which publishes frittering away £44m on Iberia merged in 2010. £883m in the six months to 30 everything from sex manuals to acquisitions amounting to double September. 1 Nov 2 Nov 5 Nov 6 Nov 7 Nov knitting books has already set out its market value since 2003. Apple shares hit a five-month Comet launches clearance sale on stock as shop closures loom month after it struggled to secure low as it loses Facetime battle BY KASMIRA JEFFORD the credit insurance needed to buy COMET’S administrator has today supplies over the crucial BY JAMES TITCOMB Apple’s iPhone and iPad. After the Samsung which brought Google’s begun slashing prices on selected Christmas period. decision was made late on Tuesday, Android operating system into the stock across the retailer’s 236 With no buyer in sight, the firm SHARES in Apple slumped to a five- Apple opened 1.6 per cent down in fray for the first time. stores, as talks to sell all or parts which has more than 6,600 staff, is month low yesterday after it was New York yesterday and fell below The claims are against the of the business continue. likely to be broken up, with stores ordered to pay $368m (£230m) over $557. This was 21 per cent down on Samsung Galaxy Note 10.1 tablet A spokesperson from Deloitte sold off to other retailers and a US patent dispute over its September’s record $705 price, a and, more significantly, Google’s said it had launched “a gentle” liquidators. Sources have Facetime video calling service. level that made Apple the most latest version of its mobile and clearance sale today on certain suggested stores could start to Although the fine, paid to valuable company of all time. tablet operating software, Android items but said it would not hold a close as early as next week. Connecticut company VirnetX, is The company also went on the Jelly Bean. full blown fire sale at this stage. Rival Dixons said yesterday it small compared to Apple’s $120bn offensive in the patent battles, it If Apple is successful, it could be Opcapita, the owner of the had delayed its Christmas cash pile, the ruling could affect was revealed yesterday. On Tuesday encouraged to go after other devices embattled electricals retailer, recruitment drive to allow Comet future use of the technology in night, Apple filed a lawsuit against using Android. called in administrators last staff to apply for its 3,000 posts.

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For purchase until midnight 15 November 2012. Fares include all taxes and charges. Fares correct as of 5 November 2012 and for travel between 17 December 2012 - 24 March 2013 with the exception of Brive, Deauville, Pau, Nantes and Florence, travel between 7 January 2013 - 24 March 2013. Available on selected flights only, limited availability, terms and conditions apply. For full terms and conditions, visit cityjet.com THURSDAY 8 NOVEMBER 2012 cityam.com NEWS 9 LONDON TURNS UP THE HEAT ON FARES IN 2013

Johnson orders Zone 1-2 weekly travelcard above inflation £30.40 Bus Tube Zone 1-2 Annual cycle hiree was £29.20 Single on Oyster Single Peak on Oyster membership fare increases £1.40 £2.80 £90 Zone 1-6 was £1.35 was £2.70 was £45 annual travelcard BY JAMES WATERSON will hit £5 for the first time. Lib Dem Assembly Member Caroline Up Up Up MAYOR of London Boris Johnson yester- Pidgeon accused the Mayor of attempt- £2,224 day unveiled increases to the cost of ing to “bury bad news” by releasing public transport in the capital for details of the hikes yesterday. But a was £2,136 2013 – amid accusations that the tim- Transport for London spokesman insist- 3.7% 3.7% 100% ing of the news was planned to coin- ed that the announcement came imme- cide with the US election result. diately after a board meeting that had Fares on the Underground, DLR, been arranged months in advance. buses and suburban rail services Meanwhile the cost of joining the will rise by an average of 4.2 per Barclays Cycle Hire scheme – nick- cent in the new year, above the named Boris bikes – will double rate of inflation. from £45 to £90 a year. TfL say civilised The cost of a weekly this will help support The most way Zones 1-2 travelcard will future expansion of the rise by £1.20 to £30.40, scheme and represents while the price of a sin- the fact that cycle hire to spend a weekend in Prague gle tube ticket for the pricing was “set very low same area will cost at the beginning”. £2.80, up 10p. A one-way peak Johnson said the rises will ticket for Zones 1-6 be used to fund investment

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Print ISBN 978-0-470-82521-1 Hardcover • 912 Pages Call Danielle now on +44 (0) 1993 823 809 or email [email protected] May 2012 • £60.00 / €72.00 www.wiley.com/buy/9780470825211 12-48728 www.therocksurecollection.com THURSDAY 8 NOVEMBER 2012 10 NEWS cityam.com Ageas UK BDO and PKF in profits hit record high talks for audit BY JAMES WATERSON AGEAS UK, the British arm of the Belgian insurance giant, yesterday announced its best ever results as pre-tax profits jumped 36.4 per cent to £106.7m for the first nine merger deal months of this year. Total income crept up by less BY MARION DAKERS warning the economic downturn is than one per cent but a strong hampering activity in professional underwriting performance allowed BDO and PKF are in advanced talks services. profits to surge. to merge their UK operations, the BDO managing partner Simon Barry Smith, chief executive of accountancy and advisory firms Michaels was nevertheless keen to Ageas UK, told City A.M. that his revealed yesterday. highlight growth opportunities in a firm has benefited from the A tie-up, which is expected to take statement yesterday: “Our two Martin Goodchild of PKF (left) and Simon Michaels of BDO (right) hope to grow together decision to focus on profitable place early next year, would give firms share a closely-aligned vision areas such as motor cover. the group extra firepower to com- to lead in the mid-market, as well as “We’re growing where we see pete with Grant Thornton for mid- similar cultures and a commitment ACCOUNTANCY M&A WHY DO THE FIRMS WANT TO MERGE? attractive markets and not chasing market audit and business advisory to deliver exceptional client serv- business where we don’t see clients. ice.” BDO is billing its tie-up talks with PKF as the chip, Randgold Resources, uses BDO), there growth,” he said. “In domestic The firms said the enlarged com- In the latest Morningstar rank- first strategic merger in the accountancy is a growing clamour for more competition. property we’ve deliberately pany would have 3,500 people ings, Grant Thornton was the industry for 15 years. The CC’s investigation could speed up increased prices to take into working across the UK, with rev- biggest auditor of Aim-listed clients Both firms have struggled to increase changes in the rules for auditors, forcing account assumptions on weather enues close to £400m a year. Their with 165 mandates, followed by turnover since the financial crisis, while big- large companies to put audit contracts out events, which has culminated in a global arms are expected to remain BDO with 130. PKF came eighth ger and more diversified groups have weath- for regular tender, or putting limits on the reduction in [total] premiums.” separate. with 32. ered the storm. This is a trend echoed across amount of other work auditors can do for While income from car Last month, Grant Thornton post- The new group would still lag the professional services, most dramatically their clients. insurance jumped 15 per cent to ed revenues of £417m and repeated behind the Big Four – PwC, Ernst & in the accounting problems at RSM Tenon that But the mid-cap specialists are not yet ready £489.7m during the period, its goal to reach £500m within Young, KPMG and Deloitte – who have wiped 70 per cent off the firm’s market to challenge the Big Four in this area. household premiums dropped 9.7 three years. dominate audit and advisory work cap in the last year. The likes of BDO and Grant Thornton do not per cent to £209.2m. PKF, which lists mining, social for Britain’s blue-chip companies. Now accountants and auditors appear to be have the expertise within their ranks to sign The fast-growing firm, which housing and the football industry The mid-market auditors have following law firms in looking for strength in off the accounts of a complex multinational already operates a joint venture among its specialisms, said the tie- been among the most vocal critics mergers and acquisitions. There is also an financial group such as Barclays, for example, with Tesco Bank, is in the process up would help the companies grow of this market concentration, giv- opportunity for the bean counters in the form which limits the work they could contest. of buying French insurer in their “mid-market heartland”. ing evidence to the Competition of a Competition Commission probe into the M&A would be a route to beefing up sector Groupama’s UK business. The group gave a gloomy forecast Commission’s probe into the indus- statutory audit market. specialist teams. While BDO and PKF pride Once the deal completes Ageas last month, posting a three per try, which is due to report provi- With 99 of the FTSE 100 using the Big Four themselves on their mid-cap heartland, a tie- UK will becomes the fifth largest cent fall in revenues to £103m and sional findings in the new year. firms for their audits (the remaining blue- up shows they have one eye on the horizon. general insurer in Britain. cityam.com NEWS 11 First freezes its dividend due to rail uncertainty BY MARION DAKERS and months of work to fix,” said chief executive Tim O’Toole. THE WEST Coast rail fiasco has He said the firm is in “active discus- prompted transport company sions” with the DfT to extend First’s FirstGroup to freeze its interim divi- contract to run the Great Western dend and consider scrapping a franchise, which is due to expire in planned rise next year. April. First, whose winning bid for the First’s bus division has also had a franchise was discarded by the gov- tough six months, with a 2.3 per cent ernment in September, said the fall in revenues to £572.9m and a 33 resulting uncertainty means it will per cent fall in operating profits to review its full year dividend in May. £39.6m as margins slipped. The divi- By then, First hopes the sion is selling off assets as it tries to Department for Transport (DfT) will adjust to subsidy cuts. have learned more about the “seri- For the group, revenues rose 2.6 per ous flaws” found in the franchising cent to £3.25bn, while operating process and set out a timetable to profits slumped 21 per cent to resume the contests. £128.7m, broadly in line with fore- The FTSE 250-listed company had casts. previously committed to seven per And pre-tax profits plummeted 93.4 cent annual growth in its investor per cent to £8.4m, which the firm TakingTTaaking SSpreadprpreead TTrTradingrading payout. blamed on poorly performing deriva- “I don’t think the franchising tives, one-off disposal costs and a model is completely broken and it is favourable pensions charge last year. not something that needs months Shares in the firm closed 5.1 per to nenewew heights cent lower at 194.9p. HOW IS FIRSTGROUP FARING IN A TOUGH TIME ActivTradesAActivTrades has been providing innovainnovativetive online FX trading for over 11 yeyears,ars,, giving ANALYST VIEWS usu plentyples nty of time to pperfecterfect services thathatat memeetet our clients’ neneeds.eds. By Marion Dakers FOR TRANSPORT FIRMS? OOur spreadsspreads start at 0.8 pips,pips, and throughthrrough the MT4 and MT5 platforms youyoou can GERT ZONNEVELD PANMURE GORDON trtraderade a wide range of financial instruments,instrumeents, including FX, indices and commodities.commoodities. TThehe minimum stake is always 10p per point,p and we offer leverageleverage up to 400:1.4000:1. Our As expected the company is cautious in its outlook statement but is marketm execution ensures there will be no rere-quotes,-quotes, and you can even benefbenefitfit from confident of achieving its goals to enhance performance and deliver improved ppositiveositive slipslippagepage should the market momoveove in your ffavour.avour. “growth and returns. The repositioning of the UK division clearly has sig- nificant execution risk. Rail is a big unknown. AllA client money is held in segregatedse gategre ed accounts, enjoying enhancedenhanced protectionprotection bbeyondeyond the minimum requirerequirementsments estestablishedtablished by our reregulators,gulators, the FSAFSA.. DOUGLAS MCNEILL CHARLES STANLEY ” WWe invite you to visit us online and discodiscoverover more at www. activtrades.co.ukactivtradesactivtrades.ccoco.uk c uk The second anniversary of Tim O’Toole’s appointment occurs in doleful cir- cumstances, with the share price having fallen substantially, profits running well “below the level he inherited, and net debt down only slightly. [But] trading in the problematic UK bus division does not appear to have deteriorated further. Forex | Spread Betting | CFDs Est. 2001 JONATHAN JACKSON KILLIK & CO ” RISK WARNWARNING:ING: All financial productsp traded on margin carry a highdhighdegreedegree of risk to your capcapital.ital. They are not suited to all investors and you can lose substantially more thant your initial investment. Please We sense the tone in the statement in terms of trading is more positive. ensure that you fully understanunderstandnd the risks involved, and seek independindependentdent advice if necessary. ActivTActivTradesrades However, a lot of uncertainty still exists – the economic background remains PLPLCC is authorised and regulatregulatedted by the Financial Services Authority,ityAuthor y, FSA registration number 434413. “tough, there is little clarity of the outcome of the rail franchising review and the level of debt remains uncomfortably high. ” 12 NEWS cityam.com CapCo tightens hold on West End BY KASMIRA JEFFORD

CAPITAL & Counties (CapCo) said yesterday it has snapped up a further £60m worth of sites in London’s Covent Garden area as it steps up its expansion in the area. The group raised £149m in July to accelerate growth plans and has since bought properties on Wellington Street, Floral Street and Henrietta Street with offices, shops and restaurants including Sophie’s Steakhouse. In its interim statement the developer said it had made 45 lettings for £6.4m in the year to 7 November despite seeing a slowdown during the Olympics. Talks over its giant Earls Court scheme are still ongoing and CapCo said it hopes to finalise the plans in the first quarter of 2013. As of 30 September gross debt fell to £380m from £450m and net debt reduced to Capco owns sites in Covent Garden £139m from £397m. Mobile traffic drives up sales at Shop Direct

BY KASMIRA JEFFORD devices and that figure continues to grow rapidly across all of our brands,” SHOP DIRECT, the home-shopping chief executive Alex Baldcock said. group owned by the billionaire “Looking ahead, we will start to see Barclay brothers, yesterday said sales real incremental growth in sales from through mobile devices such as the mobile as we continue to draw on our ipad and smart phones helped boost unparalleled knowledge of customer annual sales. needs and shopping habits.” The company behind Littlewoods, The sales lift helped to narrow losses isme and very.co.uk reported in the period by 37 per cent to that overall sales grew 0.4 £57.7m compared with the per cent to £1.6bn in the previous year while earn- year to 30 June. ings before interest, tax, Online sales grew by six depreciation and amortisa- per cent in the year tion jumped 66 per cent and the group said to £108.9m. It has also 75 per cent of total extended its click and sales were complet- collect service with ed online. free next day delivery “A third of our to over 5,000 stores. website traffic is now generated The Barclay Brothers from mobile own Shop Direct

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Terms apply. THURSDAY 8 NOVEMBER 2012 cityam.com NEWS 13 Investors fall Rathbone raises out of love with equities £25m to power BY MICHAEL BOW UK institutional pension funds further cut their exposure to equity markets while boosting holdings of fixed income and hedge funds last more takeovers year, official data out yesterday reveal. Pension schemes, which invest BY MICHAEL BOW years. billions of pounds of workers’ “Raising capital now will give us the money in markets, cut average RATHBONE Brothers, one of the oldest flexibility to take advantage of these equity holdings to 38.5 per cent in wealth managers in the City, yesterday opportunities as they arise and help us 2012, a drop from a figure of 61.1 snapped up boutique equity manager provide more fully-secured loans to Rathbones chief executive Andy Pomfret is on the hunt for more bolt-on acquisitions per cent just six years ago. Taylor Young Investment our clients.” The data, collected by pensions Management (TYIM) and raised The firm bought the asset manage- watchdog The Pensions Regulator £24.7m from investors to give it addi- ment arm of AIB Jersey at the start of ADVISERS CANACCORD GENUITY based on 6,316 UK defined benefit tional firepower for more acquisitions. October, adding £43m of funds. schemes, also reveals a surprise leap Court. Green previously focused on financial FTSE 250 listed Rathbones, which The deal with TYIM will see the firm in the use of hedge funds by services in sales before becoming an ana- traces its trading roots back to 1742, pay £10m in cash, with £2.6m paid up institutional investors. lyst, where he was top rated by Thomson will pay up to £15m for the Cannon front and the rest in deferred pay- Reuters Extel reports. Investors now give 4.5 per cent of Street-based firm in a deal which will ments based on the value of funds MARTIN GREEN their cash to hedge funds, CANACCORD GENUITY He has spent most of his career in corporate add £337m to Rathbone’s asset base, a transferring to Rathbones. The total is broking. He previously studied electrical compared to 2.4 per cent in 2011 boost of two per cent. capped at £15m. engineering at Royal Navy Engineering and 2.2 per cent in 2010. TYIM’s investment team, led by Historic low yields on UK Rathbone Brothers PLC College in Devon. Peter Thomson, will join Rathbones – Leading the placing of nearly £25m of Working alongside Green was Mike government gilts have also driven which is headquartered in Curzon 1,320 p 1,240.32 shares with investors was Martin Green and schemes away from lending money 7 Nov Cuthbert. Cuthbert is managing director Street, Mayfair – as part of the deal. Mike Cuthbert, from brokerage firm and head of UK products at Canaccord, to the Treasury, with allocations to In a sign of the sector’s fluid M&A 1,300 Canaccord Genuity, who acted as sole where he is head of the financials team. gilts plummeting 40 per cent since activity, the firm yesterday also placed bookrunner on the deal. Cuthbert joined Canaccord after the transfer 2008. This has been offset by more £24.7m of shares with new and exist- 1,280 Green is managing director of corporate of the financials team from Bridgewell, allocations to corporate debt and ing investors to fund a warchest for finance in the financial sector at Canaccord index-linked securities. 1,260 where Cuthbert previously worked. future buys. Genuity. Canaccord previously raised money for this The data is collected from Rathbone Brothers chief executive schemes eligible to enter the 1,240 He joined the firm around a year ago from year’s biggest float on the Alternative Andy Pomfret said: “We expect to see Bank of America Merrill Lynch having previ- Investment Market after Eland Oil and Gas lifeboat fund The Pension more acquisition opportunities in the ously worked at Cenkos and Smith New went public with an £118m issue. Protection Fund, which rescues private client industry in the next few 1 Nov 2 Nov 5 Nov 6 Nov 7 Nov schemes which have collapsed. Carlyle Group terminates plan Old Mutual sharpens focus on emerging market investments to snap up troubled Chemring BY MICHAEL BOW (£1.5bn) for the three months ending 30 September. BY MICHAEL BOW expression of interest on 17 August. yesterday announced it had raised SAVINGS and investment group The surge was led by a 62 per Yesterday Carlyle said it had given $1.1bn from investors which it plans Old Mutual yesterday revealed a cent increase in sales of its funds JUMBO US based alternative asset up on plans to make an offer. to invest in mid market US firms. surge in its emerging markets in South Africa, where the firm is manager Carlyle Group yesterday It follows a profit warning issued Carlyle will use the cash raised focus after growing sales of its headquartered, and a 26 per cent pulled out of plans to buy British by Chemring at the start of this from investors for its Carlyle Equity fund management products by increase in the rest of Africa. defence firm Chemring following month and the resignation of its Opportunity Fund. The fund will nearly a fifth in the sector in just The company posted an overall months of talks between the two chief executive David Price and inject equity of between equity three months. increase in assets under firms. appointment of new boss Mark capital of $25m to $150m into mid- The Anglo-African company, management of four per cent, Carlyle, which owns Dunkin’ Papworth in October. market firms. which merged its UK asset taking its asset base up to Donuts and Hertz car rental, had Chemring’s shares plunged “We see incredible opportunities management arm Old Mutual £263.3bn. already sought two extensions almost 14 per cent on the in this large and under-served Asset Managers with Skandia Oriel Securities analyst Marcus from the Takeover Panel to try announcement, their lowest level market and have a great team to Investment Group in April, Barnard said the results showed and strike a deal with the FTSE for over a year. pursue them,” Carlyle managing increased unit trust and mutual Old Mutual to “be an emerging 250 firm following its initial In a separate development, Carlyle director Rodney Cohen said. fund sales by 19 per cent to $2.4bn market growth story”. THURSDAY 8 NOVEMBER 2012 14 NEWS cityam.com Clarksons sees Vedanta profits choppy waters for ship broking surge as firm BY MARION DAKERS SHIP broker Clarksons warned yesterday that the gloomy economic outlook and arid debt markets have dried up business, sending its rejig nears end shares down 8.7 per cent to £11.87. Chief executive Mark Bristow described the third quarter results as a mixed bag The 150-year-old company said BY CATHY ADAMS per cent. Iron ore profits sank 63 per freight rates and sales volumes have cent over the six months to continued to fall since July, INDIA-focused Vedanta reported an September, largely due to a year-long prompting it to lower expectations almost 50 per cent jump in first-half ban on iron ore mining in some Randgold warns over output for for its full-year results. profit yesterday, boosted by record Indian states. “Clarksons has consistently output from subsidiary Cairn India. “We are operating in challenging highlighted the demand/supply Earnings before interest, tax, depre- market conditions with tapering imbalance and this remains a ciation and amortisation for the six global growth, and emerging mar- 2012 as production issues weigh dominant feature, as does a lack of months to September came in at kets continue to be the major contrib- available debt amidst general $2.6bn (£1.62bn), driven by record utor to growth,” said chairman Anil BY CATHY ADAMS problems, will cause annual weakness in capital markets,” it said production at Cairn India, which was Agarwal yesterday. output to be at the bottom end of in a statement. acquired last year. Shares closed down 2.31 per cent at GOLD miner Randgold Resources guidance – around 825,000 While transaction volumes across Vedanta said earlier this year it 1,099p. said profit sank 15 per cent over ounces – and costs to be higher most of the firm’s broking business planned to overhaul its network of the third quarter, as it warned than anticipated, Randgold said have seen an uptick, this has been subsidiaries and create an umbrella Vedanta Resources PLC output for the full year would yesterday. offset by the weakness of the dollar unit for its assets. The miner said yes- 1,180 p come in at the lower end of Chief executive Mark Bristow against sterling. terday that the streamlined group 1,099 expectations. said he expected production to The firm’s boutique shipping structure is on track to complete by 1,160 7 Nov Profit for the FTSE 100 miner ramp up in the fourth quarter. investment bank, Clarkson Capital the end of 2012. came in at $121.3m, down 15 per “Production and costs for the final Markets, is also suffering “very low” Revenue over the six months came 1,140 cent from the previous quarter. quarter are forecast to again show levels of activity. Gold output fell three per cent significant improvements,” he in at $7.5bn for the FTSE 100 miner, 1,120 Analysts at Panmure have cut up 14 per cent year on year. in the three months to September said. their operating profit for the year However, divisional profits from its 1,100 to 210,534 ounces. Shares in Randgold Resources from £27.5m to £24m, but remain individual base metals sank. Zinc Its Tongon mine in the Ivory fell 6.4 per cent yesterday to close hopeful that Clarksons will be able profits fell 27 per cent over the peri- Coast, which has underperformed at 6,950p as investors were to capitalise on the economic od, while profits from copper fell 28 1 Nov 2 Nov 5 Nov 6 Nov 7 Nov this year because of power disheartened by the results. recovery as it picks up pace. Global economic woe is testing even the biggest firms EDANTA shares have been on per cent. Lead was down 21 per cent, Vedanta’s Indian assets into Sesa shares fell yesterday on a profit quite a ride this year. Over the zinc 15 per cent and copper 14 per Sterlite should, it promises, offer warning that admitted to even last three months, the shares BOTTOM cent. Vedanta’s revenues for the first significant synergies, as well as choppier waters than those for Vhave outperformed the FTSE six months of the year nevertheless creating a company big enough to which the firm had prepared. 100, up some 10 per cent, but within managed to be up 14 per cent to compete at the highest level. It must Clarksons shows the value in such that timeframe they also spent late LINE $7.45bn (£4.66bn), largely thanks to hope all that will help with debt tough markets of being a global August and early September down the addition of $1.63bn in revenue reduction, with net debt down only player, pointing out that it has seen more than 10 per cent. Over the year from Cairn India. Profit before tax about two per cent over the last six increased transaction volumes in to date, a massive rise of 40 per cent MARC SIDWELL was up 16 per cent, to $1.06bn. months from $10.06bn to $9.84bn. most of its broking operations and by March fell back in line with the This goes to show the power of But trusting restructuring to grown market share in most areas. index by mid-May, and Vedanta then First and foremost, thank diversification, but putting your bring the sort of bounty to Vedanta Yet it also reveals the perfect spent June to September goodness for oil. Aluminium and eggs in more than one basket also in 2013 that the addition of Cairn storm that is the current global underperforming, before starting its metals mining might be what comes brings expense and added gave to 2012 would be naive. And it economy. Slowing trade, a weakened current climb back into positive to mind first when thinking about complexity. Vedanta has also had to will take a sustained recovery in dollar, declining transactions for its territory. Vedanta, but its majority stake in spend the year engaged in a process metals prices to bring that share specialised financial services are all Yesterday’s results were in line Cairn India, acquired at the end of of corporate simplification. price volatility into line. playing a part in making life with expectations, and didn’t move 2011, gave the group a welcome Announced in February, this process difficult. Apparently Clarkson the Indian mining and resources exposure to the upside of oil and gas is on track for completion by the STORM WARNING Research Services is still growing group’s shares much at all, but they prices even as metals suffered. The end of the year according to Shipbrokers Clarksons is another well, presumably as clients try to did reveal some of the strengths and average price of aluminium in the yesterday’s release, if India’s high company finding its fortunes at the find out exactly how much worse weaknesses behind its volatility. first half of the year was down 22 court approves. The merger of all mercy of the global economy. Its things are going to get. THURSDAY 8 NOVEMBER 2012 cityam.com NEWS 15 Prime Minister gives backing to Microsoft work programme BY JAMES WATERSON training, including the 30,000 official figures released yesterday people aged 16-24 year olds who appear to show a decline in the DAVID Cameron yesterday will receive “work number of people being referred to welcomed an initiative from inspiration sessions”. the government’s flagship Work Microsoft that aims to help However it will also Programme scheme. 300,000 young people gain work include 4,000 paid Around 877,880 people were skills over the next three years. apprenticeships, 10,000 involved in the programme The Prime Minister met with places on pre- between July 2011 and June the Microsoft chief executive Steve apprenticeship 2012, which offers financial Angela Merkel last night enjoyed a working dinner with David Cameron at Downing Street Ballmer and said the “Get On” training schemes, incentives to organisations scheme is “the kind of support we as well as 1,000 who place the long-term need from business to inspire, positions for unemployed in jobs. provide skills, and create graduates who But the number of Merkel attempts to make peace meaningful opportunities in the failed to get a job monthly referrals appears industries that will drive our at Microsoft but to have declined on a regular economy forward in the future”. can be placed with basis since the start of 2012. with Cameron over EU spending A large proportion of the other technology scheme’s headline figure can be firms. Microsoft’s Steve Ballmer said BY JAMES WATERSON seeking a 5.8 per cent rise. ascribed to non-direct forms of The news comes as his firm has a “company-wide Berlin is concerned that Britain is commitment to youth” GERMAN Chancellor Angela Merkel increasingly happy to play a bit-part last night met with David Cameron in role in Europe. Ahead of the talks the hope of brokering a deal on the Merkel said: “I want a strong Great EU budget – as the Prime Minister Britain inside the EU. I cannot promised to take “a very tough imagine a Europe without Britain.” approach” to the negotiations. Cameron is in a difficult position Cameron said yesterday that following last month’s defeat in the attempts to push through a budget House of Commons. Eurosceptic Tory increase at the meeting of EU leaders rebels collaborated with Labour to on 22-23 November were “completely pass an amendment demanding a ludicrous” amid domestic spending real-terms cut in EU spending cuts. The European Commission is between 2014 and 2020. THURSDAY 8 NOVEMBER 2012 16 cityam.com Got A Story? Email [email protected] THECAPITALISTcityam.com/the-capitalist EDITED BY CALLY SQUIRES The rogue trader turned academic Alexis Stenfors (pictured below) made his first public speaking appearance last night at the SOAS Hodge top dog campus in Russell Square. The former proprietary trader at Merrill Lynch was famously banned in 2010 by The Financial Services Authority from working in the City for five years. Stenfors was at the London at the Financial university last night to Net-a-Porter founder present a seminar on Natalie Massenet “Endogenous Deception” (left), James however The Capitalist Rothschild (above), hears the traders planning Sarah Manley the chief to attend were keen to hear Planner Awards him explain away marketing officer at Burberry (above some of the MATTHEW Hodge at PwC must be a for the 2012 ceremony, Hodge right) and Allen & actions he took very fine planner indeed, or else he swooped the award for financial plan- Overy trainee lawyer in his former has some excellent friends at Money ner of the year for the fourth year in Chelsy Davy (right) life as a Management, which run the annual succession. trader. Financial Planner of the Year awards. This was the 17th incarnation of the Over at the Mandarin Oriental in awards and once again planners from Knightsbridge, which was the venue a range of categories donned their Not one, but two City book dinner jackets to receive gongs. They The most eligible people in the signings this week! Firstly included investment company plan- former world number one golfer Sir ner of the year, won by Allan Nick Faldo will be signing copies of his Harragan of Grangewood Financial City: Tatler’s Little Black Book new book, A Swing For Life, at Management; and investment plan- Waterstones in Leadenhall Market ner of the year, which was won by ANNABEL’S private members’ club in In the solicitor corner was Lord today. This is Faldo’s only UK signing, Robin Keyte from Keyte Limited Mayfair was where the most eligible Elcho and Leeds graduate turned so to score a personalised present in Chartered Financial Planners. people in the land gathered yesterday Allen & Overy trainee Chelsy Davy; time for Christmas, head down there evening, in order to celebrate the whilst Net-a-Porter founder Natalie promptly at 12.30pm. Secondly, one publication of Tatler’s Little Black Massenet and Burberry bigwig Sarah for the girls and boys – recent Olympic Left to right: James Rainbow, Book. Manley represented the retail sector. gold medallist Jessica Ennis will be marketing director at Schroders; The Capitalist was pleased to spot Will Wells was the lucky young hedge signing copies of her new book, Matthew Hodge, senior manager some City names on the inaugural funder making the list, alongside Unbelievable, on Friday at 1pm at on the wealth advisory team at most wanted list, and indeed just as James Rothschild who is apparently Waterstones in Canary Wharf’s Jubilee PricewaterhouseCoopers and City many business bachelorettes as bach- “gruff in a rather sexy way and Place shopping centre. A.M. columnist John Inverdale elors gracing the pages. quiet”. Form an orderly queue ladies.

BEAR GRYLLS IN DOCKERS® ALPHA KHAKI THURSDAY 8 NOVEMBER 2012 cityam.com NEWS 17

WAGES HAVE SOARED FOR EVERYONE OVER THE PAST 25 YEARS IN BRIEF Serco buys out Oz maritime firm THE BOTTOM 1% MORE THAN 1/3 n Services firm Serco has agreed to Long boom in THE TOP 1% THE TOP 1% OF WORKERS IN THE OF EARNERS ARE PAID ARE PAID OF EARNERS ARE PAID BY buy the remaining 50 per cent stake in TOP 10% EARNINGS Australian defence and marine LIVE IN LONDON services firm DMS Maritime for £61.10 10.3 X £5.93 A$106m (£68m) in cash. Serco said PER HOUR THE WAGES OF THE PER HOUR the deal with one of Australia’s largest incomes from 117% MORE THAN IN 1986 BOTTOM 1% UP 70% ON 1986 maritime service operators would strengthen its position as a defence services provider in the country. PAY HAS RISEN FOR EVERYONE WAGES HAVE FALLEN SINCE THE CREDIT CRUNCH

120 5 Sales rise at Spirax-Sarco 1986 to 2007 100 n Valve maker Spirax-Sarco yesterday 80 said organic sales were up six per cent BY TIM WALLACE bottom 10 per cent earned £7.01 an in the four months to October, hour last year, up 47 per cent over 60 boosted by double-digit sales growth INCOMES soared across the whole the 25-year period. 0 of British society over the past 25 The introduction of the minimum 40 in the Asia Pacific region and subsidiary Watson-Marlow. Operating years, according to a report pub- wage had a major impact from 1998 20 lished yesterday by the Office for onwards, although pay had profit was eight per cent ahead. The National Statistics. increased considerably in the 12 (1986-2011) in hourly pay % increase 0 -5 engineer also said it had bought a Even the financial crisis only years before that – pay for the bot- 0 10 20 30 40 50 60 70 80 90 2011 to 2001 from wages % change in real 0 10 20 30 40 50 60 70 80 90 Chilean distributor for £3.3m. knocked wages by a fraction of the tom one per cent jumped 15 per PAY DISTRIBUTION PERCENTILES PAY DISTRIBUTION PERCENTILES huge leap experienced between cent from 1986 to 1998, then anoth- 1986 and 2007, the study showed. er 51 per cent from 1998 to 2011. PILOTS & FLIGHT ENGINEERS BAR & WAITING STAFF RPS on track to meet targets Average wages – even after The City provided a particular EARN THE MOST ARE THE WORST PAID n accounting for inflation – jumped boost to wages in London – 36 per Natural resources, land and 62 per cent for full-time employees cent of those in the capital are in property consultancy RPS Group is on from 1986 to 2011. the top 10 per cent nationally by £44.49 £6.25 track to meet its full-year But from 2007 to 2011 the average earnings with pay of over £26.75 per PER HOUR PER HOUR expectations, it said yesterday. Results wage fell by 3.2 per cent. hour. in the nine months to September were Top earners saw wages almost But financial sector workers are CEOs & SENIOR OFFICIALS KITCHEN & CATERING ASSISTANTS “well ahead” of the same period in double overall, with the top 10 per not the highest paid on average – ARE NEXT ON ARE NEXT ON 2011, the consultancy added, boosted cent earning £26.75 per hour in that title falls to airline pilots and by strong performance in its energy 2011, compared with £14.78 in flight engineers who earn an aver- £39.24 £6.30 and energy infrastructure markets. 1986, after controlling for inflation age of £44.49 per hour, excluding PER HOUR PER HOUR Meanwhile at the other end the overtime. CITY A.M. | OUR SHADOW MPC VOTES 6-3 AGAINST MORE QE © Anita Klein The Gift ALLISTER HEATH | CITY A.M. (detail) “No new quantitative easing and no further cut to rates. The money supply has bounced back. But the main reason why QE needs to be halted - despite worrying signs that the economy has ground to a halt again – is that it has created a false markets in gilts and blurred the distinction between monetary and fiscal policy.” GRAEME LEACH | INSTITUTE OF DIRECTORS SIMON WARD | HENDERSON “At long last broad money supply is showing sufficient “Hold rates, suspend QE. Money growth has picked up glob- growth to negate the need for further QE, so no change this ally and at home, suggesting stronger economic activity in month and let’s hope QE has finally come to an end. But we early 2013 and firmer inflation further ahead. And the need current growth to be sustained for that. Hold rates.” Funding for Lending Scheme is still feeding through.” GEORGE BUCKLEY | DEUTSCHE BANK VICKY PRYCE | FORMER GOVT ADVISER “Hold rates and QE. Weaker business surveys suggest that “Hold interest rates and further QE but keep under review. the improvement in third quarter GDP will not last. Still, UK indicators are mixed, and US economic prospects are concerns about QE's effect in supporting inflation are suffi- uncertain due to the fiscal cliff, while the Eurozone remains cient to warrant a break in policy easing this month.” in political paralysis.” Win £1,000 of art with ING VICKY REDWOOD | CAPITAL ECONOMICS TREVOR WILLIAMS | LLOYDS TSB

“£50bn more QE. The rise in GDP in the third quarter was “Hold bank rate. Extend QE by another £50bn as uncer- ToTo celebrcelebrateate ING’ING’ss contincontinuingnuuing aassociation with artsarts charitychar TheTity he DiscerningDisccerning Eye,Eyyee, just due to temporary factors and the recent business sur- tainties about the durability of the uk recovery, US fiscal ING CommerCommercialrccial Banking has teteamedeamed up with CityAM to offer youyyoou thet chance veys suggest that the underlying recovery is still strug- cliff and challenges in Europe still persist and could to win up to £1,000 of arart. Tt. Thehe INGINNG DiscerningDiscerning EyEye,yee, with its slogan ““new“ne artists,ar ,tistsw gling. Leave rates on hold, but with a bias to cut further.” intensify.” newnew audiences”, showcasesshowcases theew woworkork of unknounknownowwn arartiststists alongside their mormoreree established contemporaries.contempor .iesar ROBERT WOOD | BERENBERG BANK ROSS WALKER | RBS TThishis yeyearyear a total of 485 pieces oof arart,t, rrerepresentingeprreesenting the wworkork of 184 aartists,ar ,tists has “£50bn more QE and no change to interest rates. More “No change on either count. The decision around further QE CFFO
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will be enteredentered into about a decision rregardingegarding eeligibility.ligibilityy. ING rreservesveser es the rrightight to suspend, cancel, or amenda this prpromotionomotion data could push the bank to add today’s monetary policy He expects the Bank will and/or reviewvieerand/or w and reviseer vise these termsterms and conditionsconditioons at anyannyy time without givinggiwithout ving priorprior notice and byband y continuingcontinnuuing to take partpartake t in tthehe om o tion prpromotionomotion subssubsequentequent to ananynyy rrevisionevision of these tertermsms and conditionsconditions,, entrentrantsants shall be deemed to havevha e agagreedreed to ananynyy such neneww £25bn or more to its gilt portfolio, committee (MPC) meeting,” said increase the stock of QE by £50bn or amended teterms. T.msr Thesehese tertermsms and conditions aararee gogovernederv ned bbyy and constrconstruedued in accoraccordancedance with the lalawsws of England and analysts said, but better-than- Vicky Redwood at Capital at some point in the first quarter WWaWalesales and the English CourtsCourts will havehav exclusivexclusiee vvee jurisdictionjjurisdiction to determinedeterto mine anyannyy proceedingsproceedings in connection with this competition expected GDP growth would push Economics. “We think that the of next year – but he said gloomy rate-setters in the opposite chances of more QE have slipped a data could prompt an early move. THURSDAY 8 NOVEMBER 2012 18 NEWS cityam.com Revenues rise Haldane attack at Aer Lingus BY MARION DAKERS IRISH airline Aer Lingus said yesterday its operating profits on inconsistent slipped in the third quarter, but that year to date earnings remain almost 30 per cent ahead of last year. Operating profits fell 2.9 per cent to €90.9m (£72.6m), the carrier Basel risk rules said, while revenues rose 5.7 per cent to €460.8m. “The denominator of the capital Aer Lingus also posted strong BY TIM WALLACE ratio is a measure of a assets, weight- yield growth, in spite of an eight THE BASEL rules on bank capital lev- ed by risks, which the banks have per cent rise in operating expenses els are “built on the shakiest of foun- done the weighting for.” thanks to fuel and tax hikes. dations,” the Bank of England’s Andy “The range of capital held for the “We remain focused on Haldane warned yesterday, arguing same asset can differ by a factor of achieving continued cost savings that banks have too little certainty in three or four or more between banks. and greater efficiency within the how to risk-weight their assets. As long as those inconsistencies exist, business against a challenging The official also told MPs and peers Basel III faces fundamental problems.” Official Andrew Bailey said banks should hold more capital against the risk of a euro collapse macro-economic backdrop,” said that insurance rules are similarly Haldane also said regulators should chief executive Christoph Mueller. poorly designed, bank bondholders force banks to clean up their opera- should get votes like shareholders tions – arguing that the moves to put do, and that banks should be threat- retail and investment operations at Bailey says his judgement is ened with full separation if the arm’s length from one another could ringfence fails to improve behaviour be made even more extreme, split- Stobart eyes in retail units. ting banks in two if they do not And the director of financial stabil- behave as he wants. best chance for banking sector ity warned the Bank of England itself “The ring fence will need to be £25m bond needs to become more accountable patrolled whatever height and wher- BY TIM WALLACE end both the box-ticking culture to parliament, in a move that shows ever it is put, to ensure full imple- among officials, and the efforts of BY DAVID HELLIER disagreement with other senior mentation of both the letter and TOP banking official Andrew banks to sidestep onerous rules Bank figures, including outgoing spirit of the rules,” PCBS chairman Bailey yesterday denied claims by gaming the exact letter of STOBART, the transport and governor Sir Mervyn King. Andrew Tyrie told City A.M. “That will that judgement-based regulation regulations. infrastructure group, is That suggests senior staff are gain- mean the Commission will want to will lead to uncertainty and “The art of supervision is to considering the launch of a retail ing confidence to speak out against examine whether some further statu- arbitrary controls in the banking look at a situation from several bond to raise around £25m. Sir Mervyn’s management, and, com- tory support is required.” sector, instead arguing it angles and seek thereby to The terms of the issue have yet to bined with three critical reports out Haldane also argued that the tech- represents the best way to reduce identify weaknesses. Good be finalised and, according to last week, points towards a shake-up nological capability now exists for a complexity in regulations. supervision is about judgment,” informed market sources, the issue of Bank governance under the new radical shift to a utilities model of Regulators have faced criticism he told an audience at a Bank of might yet be pulled over a disagree- leader next year. banking. He wants all deposits held for promoting a “shoot first, ask America Merrill Lynch conference. ment over the rate of interest “Basel III is a big in one location, with banks servicing questions later” model, as it could And the top regulator also said Canaccord is suggesting the group improvement on customers who are free to shift give excessive powers to the that banks should hold more pays for its money. Canaccord is Basel II, but both are from one to another, in the same authorities and undermine banks’ capital against unlikely but advising on the deal. built on the shakiest way as energy electricity and gas efforts to innovate. damaging events, such as a The bond issue, which would of foundations,” he firms operate. But Bailey – a director at the Eurozone breakup, despite carry with it a coupon of five per told the Parliamentary Financial Services Authority, who worries that forcing banks to hold cent or more, would allow Stobart Commission on will sit on the Bank of England’s large amounts of capital can to retire some of its existing bank Banking Standards Andy Haldane said the Bank new Financial Policy Committee – damage lending and so economic loans from and keep its average (PCBS). needs to be more accountable said exercising judgement will growth. interest rate around five per cent. Ex-policymaker wants Bank to plan for interest rate hike BY BEN SOUTHWOOD beginning to outweigh the projection is a 0.1 percentage benefits, Sentance argued, point improvement on PwC’s last THE BANK of England should especially when the economy is forecast in July, and comes well abandon quantitative easing on its way to recovery. Keeping above consensus forecasts, (QE) for the time being, and interest rates so low is distorting running at 1.1 per cent. plan on bringing the base economic decision-making, and “We believe that our views are interest rate back up towards keeping inflation above target, justified in the light of the latest “sustainable” levels by mid- Sentance says in the PwC report. figures that showed a healthy 2015, ex-ratesetter Andrew These claims came in tandem rebound to GDP growth of one Sentance said today. with optimistic forecasts for per cent in the third quarter,” The risks of the bank’s “very economic growth in 2013 – said chief PwC economist John loose” monetary policy are growth of 1.8 per cent. This Hawksworth. University gap between rich and poor narrows, report says from 40 per cent in 2004-5 to SKATE AT THE BY BEN SOUTHWOOD contrary to popular belief – 37 per cent in 2009-10, the the IFS tentatively suggested. TOWER OF LONDON THE GAP between the Institute of Fiscal Studies (IFS) The fact that the previous university attendance of the revealed today, with much of tuition fee cap rise led to a ĚĠth Nov ěęĚě to ğth Jan ěęĚĜ richest and the poorest the decline after the tuition short-term dip, followed by a am - pm daily narrowed between 2004-5 and fee cap was raised to £3,000 in long-term return to growth, Ěę Ěę 2009-10, a think tank said 2006-7. suggests the current dip could (EXCLUDING CHRISTMAS DAY) The new today, just as the tuition fee This could be down to the also be temporary, the report BOOK NOW! cap was raised. fact that the reform was more authors speculate cautiously. TOWEROFLONDONICERINK.COM jobs website The gap in higher education generous to students from Another report from the IFS JOIN US! for London participation between the more deprived backgrounds showed how top universities best-off and worst-off state and hit more privileged The new jobs website for London professionals London for website jobs new The were providing more extensive professionalsCAREERS.com CITYAM school students narrowed students relatively hard – support for poorer students. THURSDAY 8 NOVEMBER 2012 cityam.com NEWS 19 Hargreaves Services mothballs Betfair pulls out of Germany as Maltby coal mine in Yorkshire BY CATHY ADAMS The closure of the Maltby tax on sports bets is introduced Colliery will mean around 500 FUEL logistics supplier Hargreaves staff will be at risk of redundancy. BY JAMES TITCOMB Betfair said it had been working Germany last year. Services is to mothball the Maltby Hargreaves earlier this year with tax officials to see if it could The company’s share price was mine in Yorkshire, it said issued a profit warning triggered ONLINE betting exchange operator continue to operate its exchange relatively unaffected yesterday, with yesterday. by problems at Maltby, which Betfair yesterday announced it had model. Betfair having already highlighted In August Hargreaves warned produces more than 1m tonnes of pulled the plug on the majority of But yesterday it said: “The the issue at its recent earnings. that Maltby, which supplies Drax coal each year. The company said its German business after a tax hike company is disappointed, however, Group’s power station in North that delays in mining a new coal made the operation unworkable. that to date the tax authorities have Betfair Group PLC 764.60 Yorkshire – Europe’s largest coal- seam would reduce profit by £12m Due to the way Betfair’s model not been able to agree to an 770 p 7 Nov fired plant – was at risk of being to £16m for the year ending May works, with users staking money interpretation of the law that would mothballed because of worsening 2013. against each other rather than allow Betfair to continue to offer 760 geological problems. Hargreaves said alternative against the bookie, Germany’s the exchange product.” 750 A report subsequently proposals for Maltby should be recently-introduced five per cent It will continue to offer its casino, commissioned by Hargreaves said tabled before the end of month, to tax on sports betting has forced the poker, and fixed odds operations, 740 that one of the mine’s coal panels, be considered by the board. company out. although these account for a much 730 which was leaking gas, oil and In September, Hargreaves posted “A tax at this rate, if applicable, smaller part of the business than water, was not viable on health record profit of £43.1m for the would make Betfair’s current the exchange system. 720 and safety, geological and financial year to 31 May, up 16.8 per cent exchange model unviable,” the Approximately four per cent of grounds, causing the AIM-listed year on year. Revenue over the year company said. Betfair’s revenue came from 1 Nov 2 Nov 5 Nov 6 Nov 7 Nov firm to close the mine. rose 24.6 per cent to £688.3m. IN BRIEF Ericsson cuts 1,550 Swedish jobs Upgrade delay n Ericsson yesterday announced a plan to cut 1,550 jobs at its head office in Sweden – around nine per cent of the 17,700 people employed there – following a third quarter profit fall of 43 per cent to 2.18bn kronor (£203m). and regulation Tomas Qvist, head of human resources at the Swedish telecoms giant, called the redundancies “inevitable” and said he needed to focus on reducing hit O2 revenue costs as sales dry up. Cognizant profits up a fifth n BY JAMES TITCOMB of European telecoms giant IT outsourcing firm Cognizant Telefonica – gained 110,000 mobile Chief executive Jorgen Buhl Rasmussen said he was seeing positive signs in Russia yesterday reported a 22 per cent rise BRITAIN’S second-largest mobile net- customers on the period last year, as a in profits in the third quarter of the work O2 saw revenue fall more than rise in new contracts offset people year. The US-based company, which five per cent in the third quarter as leaving pay-as-you-go plans. O2 now provides technology consultancy customers held off on renewing con- has 22.5m mobile customers. Carlsberg’s bottom line hit by services to many blue chip companies, tracts ahead of the launch of the The figures suggest that a short net- said growth was driven by more iPhone 5, it said yesterday. work blackout that hit O2 in the sum- business from financial services firms. Regulation on roaming charges and mer did not damage the company. weather but Russia improves Cognizant, which employs most of its mobile termination rates – the The gains came despite a nine per staff in India, saw revenue at $1.89bn amount networks can charge for calls cent year-on-year fall in contract (£1.18bn) up from $1.6bn last year. to other operators – have affected all renewals as people held off on BY ALEX CROELL Buhl Rasmussen said. of the UK’s mobile operators this upgrades ahead of the launch Eastern Europe and Asian sales year. of the iPhone 5. THE WORLD’S fourth-largest cushioned sluggish trading in Veolia profits drop 25 per cent However, O2 took a much bigger Meanwhile, Telefonica – brewer Carlsberg reported a slight western Europe, which counted n hit than its major rival EE in the which also has operations in drop in profits yesterday, but said for 55 per cent of group revenue. French utility firm Veolia third quarter. Germany, Spain, Ireland, it stood by its full-year outlook Carlsberg said the western Environnement yesterday reported a O2’s turnover was down the Czech Republic, after gaining in Russia. European beer market was 25 per cent drop in nine-month profit, 5.4 per cent year-on-year Slovakia and Latin The company said it was especially challenging due to poor as it sought to reassure investors that in pound sterling terms America – swung to a particularly pleased that efforts to weather conditions during the plans to reduce debt remained on to €1.8bn (£1.4bn), com- profit after losing drive its international brands were summer. track. The waste, water and energy pared to EE’s 1.5 per money in the quarter improving its market share in key The group reported a 7.8 per firm said it could cut debt by up to cent fall. O2 was last year. The debt-laden growth regions. cent year-on-year increase in sales €3bn (£2.4bn) in the fourth quarter by much more suscepti- group has been hit hard “Our performance was in line to 18.8bn Danish kroner (£2bn) in divesting several small assets, and the ble to lower industry by the recession. with our expectation and it is the third quarter versus an 18.6bn closure of its US waste business in the charges on phone particularly positive to report that DKr forecast. Pre-tax profit, coming weeks. calls. O2 boss Ronan Dunne saw we are back on a growth trend in however, fell 20 per cent to 3.15bn The firm – a division 110,000 extra customers Russia,” chief executive Jorgen DKr due to restructuring costs. Profits up 30 per cent at Fenner Playtech hits the jackpot in third as it raises dividend by a third BY CATHY ADAMS gas sector, and higher demand for quarter due to casino gambling its conveyor belts used in coal and INDUSTRIAL conveyor belt maker iron ore extraction drove positive BY JAMES TITCOMB from its 29 per cent stake in an important and lucrative growth Fenner yesterday posted a spike in trading conditions for the firm William Hill’s online business – a area for Playtech, as more people full-year profit, as it bucked the over the period. PLAYTECH, the company that rise of 50 per cent. shift to placing bets on their trend of a spate of bad news from However, Fenner said it had seen provides gambling software to the William Hill is considering smartphones rather than on the engineering sector. slowing orders from the US coal likes of bet365 and PaddyPower, buying back Playtech’s share, and personal computers. Underlying pre-tax profit rose sector in the second half of the yesterday said gross income was up has started the process of valuing it 30 per cent to £103.9m over the year. 32 per cent on last year in the third ahead of a possible offer next year. Playtech Ltd 425.90 year to August, boosted by Scott Cagehin at Numis quarter, thanks to a strong showing Playtech’s stake is believed to be 435 p 7 Nov demand in its core engineered Securities said that he remained in its casino gaming products and its worth around £400m. conveyor solutions division. positive for its 2013 prospects due stake in William Hill. “Regardless of William Hill’s as 430 The industrial division – which to Fenner’s exposure to strong Shares in the London-listed yet undetermined final decision on 425 accounts for about three quarters markets. company, which bases itself in the call option we remain of Fenner’s revenue – posted “Looking forward, we expect Estonia, rose as much as 5.7 per committed to our important 420 operating profits of £84.4m, up 38 further investment to capitalise on cent on the news yesterday as its relationship with William Hill and 415 per cent. both organic and acquisitive results exceeded forecasts. the continued success of WHO Revenue for the FTSE 250 growth opportunities,” he added. Playtech’s revenue in the period going forward,” chief executive Mor 410 company increased by 16 per cent On the back of strong results, was €79.9m (£63.8m), thirty per Weizer said. to £830.6m over the period. Fenner raised its dividend by 31 cent up, while it took in €12.8m He pointed to mobile gaming as 1 Nov 2 Nov 5 Nov 6 Nov 7 Nov Strong demand from the oil and per cent to 10.5p a share. 20 THURSDAY 8 NOVEMBER 2012 cityam.com

YOUR ONE-STOP SHOP FOR JOB MOVES, CITYDASHBOARD BROKER VIEWS AND MARKET REPORTS in association with CITY MOVES WHO’S SWITCHING JOBS Edited by Tom Welsh NEW YORK Deloitte KPMG Reed Smith Michael Lee has been appointed Emma Wild has been appointed to the newly-created role Nick Stainthorpe has been appointed partner in the law REPORT director of Deloitte’s analytics of head of upstream oil advisory in the UK. She joins from firm’s global structured finance practice. He previously in association with practice. He joins from Detica Lloyds Bank, where she managed the technical aspects of held the position of senior associate at Freshfields. NetReveal, and is a specialist in its upstream investment portfolio. She has over 15 years’ Stainthorpe specialises in derivatives and structured using analytics to detect and experience in the industry. finance. prevent fraud and financial Wall st plunges crime. Mirabaud Boost ETP Andrew Lake has been appointed global high yield The exchange-traded product platform has made two HSBC manager in the bank’s asset management division. He senior appointments. Saima Parviez joins as head of on fears over Andy Clark has been appointed chief executive at HSBC’s joins from Aviva Investors, where he was head of high marketing from Peel Hunt, where she held the same role. UK asset management branch. He has worked for the bank yield portfolio management. Lake has also held roles at Marlene Rodriguez joins as a sales executive from BNP since 2005, most recently as regional head of wholesale F&C Asset Management and Merrill Lynch, and is also a Paribas, where she was an exchange-traded fund trader US economy for Europe, Middle East and Africa. qualified barrister. assistant. HE Dow industrials lost more than 300 points in a sell-off +44 (0)20 7092 0053 yesterday that drove all major SPECIALISTS IN GLOBAL PROFESSIONAL RECRUITMENT morganmckinley.com T US stock indexes down over two per cent in the wake of the presidential election as the looming To appear in CITYMOVES please email your career updates “fiscal cliff” debate and Europe’s economic troubles returned to the forefront. The Standard & Poor’s 500 Index posted its biggest daily percentage LONDON REPORT in association with BESTof theBROKERS drop since June, with all 10 S&P sectors solidly lower and about 80 percent of Aberdeen Asset Management PLC ABERDEEN ASSET stocks on both the New York Stock 350 p Exchange and the Nasdaq ending in 333.50 MANAGEMENT negative territory. Both the Dow and Re-election joy eclipsed by worries 345 7 Nov UBS has maintained its the S&P 500 closed at their lowest lev- 340 “buy” rating on the firm els since early August. 335 and upped its target price Financial stocks and energy shares, over Eurozone and US economies to 370p from340p, after two sectors that could face increased K stocks fell sharply yesterday after and then you get the US markets opening 330 raising multiples to reflect regulation after President Barack bleak forecasts for the Eurozone ... that turned the focus onto the fiscal cliff good relative flow Obama’s re-election, were the weakest economy and fiscal problems in the and suddenly you get this huge sell-off.” prospects for 2013. on the day. The S&P financial index UUnited States eclipsed initial relief The FTSE 100 eventually closed down 1.58 1 Nov 2 Nov 5 Nov 6 Nov 7 Nov lost 3.5 per cent, while the S&P energy over US President Barack Obama’s re- per cent, or 93.97 points, at 5,791.63. index fell 3.1 per cent. An S&P index of election. No sector was spared the sell-off. Blinkx PLC BLINKX technology shares slid 2.8 per cent as In morning trade the FTSE 100 had hit a European stocks geared to the economic 74 p 68.10 Numis has initiated cover the stock of Apple entered bear mar- level not seen for nearly two months as the cycle gave most ground, with miners, ener- 72 7 Nov of the video search engine ket territory. Obama win fuelled hopes the US Federal gy stocks and banks all off 2 per cent. with a “buy” rating and a The Dow Jones industrial average slid Reserve would maintain its loose monetary French bank BNP Paribas managed to 70 target price of 104p. The 312.95 points, or 2.36 per cent, to policy. buck the weak trend adding 1.1 per cent, 68 broker sees scope for it to 12,932.73 at the close. The Standard & But the European Commission’s forecast buoyed by strong quarterly earnings. Poor’s 500 Index fell 33.86 points, or 66 produce very strong that the Eurozone economy would barely “Today’s movements show us just how revenue growth as its 2.37 per cent, to 1,394.53. The Nasdaq grow next year kick-started a long slide into fickle investors are,” said IG’s David platforms expand. Composite Index lost 74.64 points, or the close for indexes across Europe. Madden. 1 Nov 2 Nov 5 Nov 6 Nov 7 Nov 2.48 per cent, to close at 2,937.29. And while investors were relieved over The S&P 500 closed below the key Obama’s victory, they remained concerned FTSE 5,791.63 Marks and Spencer Group PLC 1,400 level for the first time since 30 about the US “fiscal cliff” of about $600bn 5,925 7 Nov 397.42 MARKS & Augu, while the Dow ended under in spending cuts and tax hikes set to begin 400 p 7 Nov 13,000 for the first time since 2 August. 5,900 398 SPENCER early 2013, which could jeopardise growth. Panmure Gordon has About 7.81bn shares traded in total. “The fact that the election had gone 5,875 396 Contributing to the Nasdaq’s decline, 394 lowered its target price on swimmingly, there were no glitches, it was 5,850 Apple shares fell 3.8 per cent to $558, a clear winner, had helped markets open 392 the retailer from 389p to off more than 20 per cent from an all- 390 higher,” Angus Campbell, head of market 5,825 397p after lower than time high reached earlier this year. 388 expected revenue growth analysis at Capital Spreads, said. 5,800 386 That slump puts the stock of the “Then you get the downgrades to GDP but maintained its “buy” world’s most valuable publicly traded (gross domestic product) for the euro zone 1 Nov 2 Nov 5 Nov 6 Nov 7 Nov 1 Nov 2 Nov 5 Nov 6 Nov 7 Nov rating on the stock. company in bear market territory. THURSDAY 8 NOVEMBER 2012 22

In association with THEFORUM cityam.com/forum It was attitudes not demographics that determined the US campaign HERE are three things that is clear: Obama secured 4 per cent of ahead, except for the period after the to the post-debate survey. Perhaps they matter about the US election those who thought Romney would first presidential debate. This was the felt weakened by the negative buzz result, seen from my pollster’s best handle the economy, and Romney one time we saw some sheer bad around a bad debating performance. point of view. What do we learn took 1 per cent of those who thought polling: Gallup, for example, showed a They hadn’t changed their mind, they about the role of demographics Obama would. Not surprisingly, those 7 percent Romney lead and even in just didn’t want to talk about it. Tagainst attitudes in determining who felt better off than they did four their final poll had Romney a squeak So Romney’s phantom swing was outcome? What might the result mean years ago opted for the incumbent (84 ahead. Most of the others also enter- entirely an illusion of traditional for the next UK general election? And STEPHAN SHAKESPEARE per cent) and those who felt worse off tained a big Romney swing, though polling methodology. That methodolo- why did we get that Mitt Romney backed the challenger (80 per cent). But they tended to finally converge to gy is no more “random selection” than phantom swing? certain attitudes. Those attitudes are perhaps it was how the largest group any other, as people can self-deselect A lot has been written about how more important predictors. The exit split that was ultimately decisive: those depending on their attitudes (just as divided a country the US has become, poll shows Obama won 81 per cent of who felt their financial situation was Obama won 81 per they can with all other methodologies). with support for the two parties split those who believe in a bigger role for about the same voted 58 per cent to 40 ‘ But with panel-based re-interviews you down race, age and gender lines. But government: he took 87 per cent of per cent in Obama’s favour. cent of those who want get more data, and can create better looking more closely, are demograph- those wanting to preserve or expand This goes against the conventional models. ics really the most important angle? the 2010 health care law and he won 67 model of voting behaviour, which sees a bigger government This may seem an obscure point, but True, YouGov’s final survey (of 36,000 per cent of those who think abortion economic conditions as a strong pre- it matters: phantom swings are excit- Americans, which predicted the result should be legal. So if I could have just dictor of outcome. But an answer somewhere near the result. ing but distorting. They plague cam- exactly right) showed a 20 per cent gap one piece of information about a ran- makes sense of this: the exact timing of The truth – and this is important – is paigns. And the overreaction of between the genders, with men prefer- dom voter to predict who they would the economic crash. The exit poll that there never was a swing. We inter- commentators could negatively influ- ring Romney by 8 per cent and women choose, it would not be demographic, showed that most blamed the Bush viewed 33,000 people before the first ence tight races. Perhaps you’ll permit opting for Barack Obama by 12 per it would be their preference for a big- administration for the mess. David debate and re-interviewed 25,000 of YouGov a little smugness: we not only cent. Or look at age: 40 is the crossing ger or smaller role for government. Cameron could possibly find himself them afterwards. The change was less got the overall result exactly right, we point when one moves from being a The exit poll also shed light on what the beneficiary of a similar effect, as than 1 per cent. You can’t do better called all states correctly except for likely Obama voter to a likely Romney the outcome might be at the next our polling shows more people blame than large-scale high-response re-inter- Florida, where we gave Romney a 1 per one. And the other big divide is race. British election. How has a western Labour than Conservatives for the cuts. views to measure change. But we found cent lead but which, after all, turned Important, yes, but you could also leader survived in the current econom- From a simple horse-race point of one interesting detail: those who had out to be statistically a dead-heat. argue that demographics are an imper- ic circumstances? That the economy view, Obama’s victory shouldn’t have previously said they preferred Obama Stephan Shakespeare is chief executive and fect proxy for the likelihood of holding was the number one issue in America come as a surprise. He was consistently were significantly less likely to respond co-founder of YouGov.

Agree? Disagree? Got a sharp comment? The Forum wants you to join the debate. Twitter: @cityamforum on the web: cityam.com/forum or by email: [email protected] Top responses will be reprinted in The Forum. The President has a mandate but must now battle the second term curse

S AMERICANS congregated running high, such little progress constitutional checks and balances. needs to be reformed and their tone, around their television sets will be hard to stomach. There is now an eerie sense of déjà perhaps most importantly, on election night, all eyes THE WHITE A second term for Obama brings a vu for Republicans. Like the post- overhauled. Needing to win Ohio were on Florida. With its 29 fresh mandate – but it’s never that mortem after John McCain’s defeat every four years isn’t just an accident electoral college votes, losing easy. There is often talk of a second in 2008, talk about reform and the of history. It’s a stinging indictment theA state would put an early end to HOUSE RACE term “curse”, when re-elected overall direction of the party have of the Republicans’ diminishing Mitt Romney’s hopes of winning the Presidents struggle to enact their already started. It’s not too difficult appeal. White House. But, with quick and EWAN WATT agenda due to scandal or robust to see why. Senator Lindsey Graham And yet it’s not just the decisive victories elsewhere, it was legislative opposition from Congress. conceded Republicans aren’t “losing Republicans who need to learn clear that President Barack Obama prizes like Pennsylvania were called Obama will certainly experience the 95 percent of African-Americans and lessons after Tuesday. Obama’s first would win re-election handsomely. for the President early. Wisconsin, latter. Republicans did hold onto two-thirds of Hispanics and voters term promised much but quickly As the Sunshine State continued to the home state of Romney’s running their majority in the House of under 30 because we’re not being became insular, confrontational and count up the votes into the wee mate Paul Ryan, wasn’t even close. Representatives so, when it comes to hard-ass enough.” The party’s line on partisan. This breeds hostility and hours, this thing was already over. Michigan, the state Romney was resolving challenges like the immigration has clearly taken its toll gridlock, not a legacy. Americans Republicans, who had hoped that born and raised in, quickly turned country’s looming fiscal crisis, and alienated Hispanic voters, the expect their President to be above a late surge in enthusiasm for Democratic blue. Republicans were Obama won’t be able to ram fastest growing demographic in the that. In trying times like these, the Romney would be enough, failed to only able overturn Obama’s 2008 legislation through a friendly country. This does not mean the office requires it. see the much-hyped talk of majorities in Indiana, North Congress. As the President pointed Republicans need to surrender their Ewan Watt is a Washington, D.C.-based “expanding the map” into Carolina and Nebraska’s second out during his victory speech, core principles of small government consultant. You can follow him on Twitter Democratic states materialise. Big congressional district. With passions elections “matter.” So do and low taxes. But their platform @ewancwatt

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Visit alpari.co.uk/newsroom THURSDAY 8 NOVEMBER 2012 23 The Forum is open for you to take part. Got a sharp comment on one of today’s columns? Do you have another subject you want to share your opinion on? We want to hear your views. Email [email protected] or comment at cityam.com/forum RAPIDresponses EU banking union Divided State Regional growth TOP TWEETS is a vital moment I’m sceptical of grand theories about [Re: So much for the election. Now America [Re: Monetary union is clipping the wings of Obama’s victory. The vote was close. Both must regain its mojo, yesterday] regions outside the dynamic South, campaigns had strengths and weaknesses. This article is correct. The closeness of this yesterday] @SamuelCoates election (a clear reminder that America is Britain’s regions don’t just need new still a highly divided country) does nothing infrastructure connections to drag them out The first thing on Obama’s to-do list is the to defend finance to resolve which direction the US should of economic stagnation. They need to be fiscal cliff. A series of postponed decisions take. With 48 per cent of the electorate able to set their own tax rates, to liberalise are coming due in January. HE fortunes of UK financial behind Romney, there’s no decisive appetite their own business regulations, and to make @j_w_wilson services hang in the balance, among voters for the US to move away from themselves more attractive to investors. This as the future of a European free market capitalism. But fierce would be better for all of us. London and the Whatever you think about Obama, he’s banking union is resolved. If partisanship also has an unhappy side. South East may currently be dynamic certainly inspirational. If only there was a we make the right choices There’s also no appetite for compromise – enough to support other regions through similar politician in Britain. Tnow, this could be an opportunity to vital if US leaders are to resolve the internal transfers. But if we persist with the @littlebig_voice secure advantages for Britain. impending fiscal cliff. Democrats and burdensome levels of taxation that these By some measures, financial servic- ANDREA LEADSOM Republicans must recognise that neither has transfers involve, that dynamism could Hopefully the Republican House of es account for 10 per cent of our GDP a clear mandate to impose their views on easily disappear to other – more attractive – Representatives can hold the United States and over 10 per cent of our tax take. to halt damaging financial services the rest of the country. locations. together for four more years. Our financial services also contribute directives, referring them to the Matthew Brawl Richard Sedgwick @realDonaldTrump significantly to the EU; they make up European Council where there is the 36 per cent of the EU wholesale mar- possibility of veto. Such an arrange- ket and 61 per cent of the EU’s net ment would, for example, allow us to exports in financial services. resist the European Central Bank’s But since the financial crisis, some proposal for all clearing houses deal- Will a second presidential term for Obama EU politicians have publicly blamed ing in “sizeable amounts” of euro- Anglo-Saxon capitalism for the con- denominated business to be located sequences of their own profligate in the Eurozone. government spending. There are The third is to secure agreement to improve prospects for the global economy? now 49 EU regulations and measures expand opportunities for the finan- coming down the pipeline, many cial services within the EU and out- aimed at restricting financial servic- side. The UK should continue to push es activity. for the completion of the single mar- With impending banking union, ket, especially in services. We should there is a real risk that Eurozone also seek a binding commitment countries will begin to act as a bloc; from the European Commission to outvoting the UK on financial issues, secure free trade agreements for particularly in the European financial services in developing mar- YES NO Banking Authority, which already kets. Far from being shackled in a gives the Eurozone a majority global market place by EU financial through qualified majority voting. services legislation, we should use Dan Morris Ishaq Siddiqi We need a robust response. This the EU to open up markets for month’s negotiations over banking European financial services business- Markets like certainty, and the fact that President Obama won a Although Obama’s victory in the election has removed political union offer a once-in-a lifetime es. definitive victory must be taken positively. With little change in uncertainty, the political and economic challenges facing the US opportunity for the UK to secure pro- There is no doubt about the Prime the make-up of Congress, there is a good chance for a resolution are still concerning. US stock markets have not welcomed tections and advantages for UK finan- Minister’s support for the financial to the issue of the fiscal cliff before the end of the year. However, Obama’s victory as cheerfully as their European peers, which cial services. We should be looking services industry. He nailed his the fiscal cliff may turn out to be just a distraction: even if seem content with the fact that no change in US leadership means for three commitments in return for colours firmly to the mast in Brussels politicians manage to find a short-term solution, investors are no change in the current Federal Reserve policy. However, the consenting to European banking last December, when he exercised likely to turn their attention back to the fundamental outlook, unchanged balance of power is likely to mean gridlock in union. the UK veto. And the government’s which is far from resolved. Tough negotiations could lead to a Washington, and confidence over Obama’s ability to negotiate a First, legal safeguards for the Single resolve is just as strong today. This is drop in equity prices, and although valuations are not as solution to the looming fiscal cliff is still low. Action towards Market must be introduced to ensure great news for the industry and the attractive as they were a year ago, that could represent a good resolving the issue is unlikely to be decisive, and the upshot is Eurozone members cannot put up wider economy and for the country buying opportunity. We may have to wait until next year for that 5 per cent could be wiped off US GDP in 2013 – dragging its protectionist barriers against British as a whole. And I, one of many, stand longer-term fiscal challenges to be addressed. With Obama in his economy back into a recession. Investors are likely to react with financial products and services. ready to back the Prime Minister as last term, and the Republicans failing to seize the Senate, there is caution going into the year-end, and this could negatively impact Second, we must secure an emer- he resumes battle in Brussels later scope for compromise and substantive agreements. the US dollar. gency brake for the UK in recogni- this month. Andrea Leadsom is Conservative MP for Dan Morris is global strategist at JP Morgan Asset Management. Ishaq Siddiqi is market strategist at ETX Capital. tion of the strategic importance of the sector. This should allow Britain South Northamptonshire.

4th Floor, 33 Queen Street, Editorial Editor Allister Heath | Deputy Editor David Hellier | Managing Editor Marc Sidwell Distribution helpline London, EC4R 1BR News Editor Elizabeth Fournier | Business Features Editor Tom Welsh | Lifestyle Editor Steve Dinneen | Sports Editor Frank Dalleres If you have any comments about the Tel: 020 3201 8900 distribution of City A.M. Fax: 020 7248 2711 Creative Director Gavin Billenness please ring 0203 201 8955, or email Email: [email protected] Commercial Sales Director Jeremy Slattery | Commercial Director Harry Owen | Head of Distribution Nick Owen [email protected] Editorial Statement: This newspaper adheres to the system of self-regulation overseen by the Press Complaints Commission. The PCC takes complaints about the editorial content of publications under the Editor’s Code of Practice, a copy of which can be found at www.pcc.org.uk Printed by Iliffe Print Cambridge, Winship Road, Milton, Cambridge CB24 6PP about to close THURSDAY 8 NOVEMBER 2012 24 cityam.com BUSINESSEDUCATION Going back to the exam room can boost a career Annabel Palmer on taking the investment management certificate HE investment management Financial recruitment. functions in financial services require certificate (IMC) is both a The IMC tests candidates’ knowledge a formal qualification endorsed by the foundation for those with and understanding of markets, FSA. This is exactly what the IMC T future plans for the chartered accounting, economics and statistics. offers. According to Jeremy Smith, financial analyst (CFA) programme, “It’s a good all-rounder for anyone in head of benchmark examinations at and a qualification that financial services who would benefit Kaplan Financial, the IMC is a “recog- demonstrates regulatory from better understanding the mar- nised qualification which is common- competence. Run by the CFA Society ket context, or as a warm up to the ly undertaken as a regulatory of the UK, roughly 6,000 students sit CFA,” says Carolyn Valahu of benchmark”. And after the credit the exam each year, and it’s Morningstar. crunch, the unit on investment envi- appropriate for anyone entering an But it can be hard work. Unit one ronment is of particular importance No time for last minute cramming investment-related role, be it costs £220 and delegates will typically to employers. “Clients want credibility, peer support. But, says Valahu, “feed- Indeed, where the IMC would be con- investment management or a need to spend 30 hours studying to and employers want to hire people back from Morningstar staff who have sidered a basic foundation course, support function. complete; unit two costs £215 and will who have a good understanding of the studied for the IMC suggests that most which can be completed in a short It doesn’t have a market monopoly, require 40 hours of study. So it is risks, the regulations, and who under- get along just using the online space of time, someone fully CFA qual- however. There are other qualifica- worth it? stand how important professionalism resources and the IMC self-study mate- ified is very “well regarded”, says Aoife tions available, such as the papers on Statistical analysis carried out inter- and ethics are”, advises Nicole rials”. Crawford, director at CuttingHedge investment management from the nally by Bruin found that it has signed Haroutunian of the CFA Institute. But, if you already have a good track recruitment. There has recently been Chartered Institute for Securities and up 3,060 candidates with an IMC qual- The workload is “challenging but record in operations roles and don’t a huge growth in candidates across Investment. But “for those at the ification over the past two years. The realistic”, says Craig Hurring, director have the IMC qualification, there is lit- the board who are either part or fully more junior end of the asset manage- recruitment agency’s success rate in at the CFA Society of the UK. How you tle benefit adding it to your CV. CFA qualified, from sales people ment job market or for graduates, the getting these candidates interviews prepare for the exam depends entirely Experience outweighs the qualifica- through to the analysts. IMC acts as a differentiator and will with its clients was 29 per cent higher on your circumstances and personal tion, Webster believes. And for those So if you are contemplating complet- increase a candidate’s chances of than for investment management study preferences. Studying through looking to move into the front office, ing the more intensive CFA pro- securing a role,” advises Colin candidates without this qualification. the training companies is definitely a the CFA programme is a more rele- gramme, the investment of time and Webster, co-founder of Bruin Additionally, in the UK many job benefit for the guided instruction and vant qualification. hours spent studying may be worth it.

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YOUR AMBITION REALISED THURSDAY 8 NOVEMBER 2012 cityam.com 25

LIFE&STYLEFASHION BY NAOMI MDUDU There is more to Belstaff than movie fodder After a revamp, the brand is back with a new look – and it is stunning. Just don’t expect to get any change from £45,000 for one of their jackets EATHER IS having quite a so creating such premium pieces moment. You might be deals with the threat of some D-list thinking: when did it ever celebrity wearing one and ruining L disappear? But if you cast your the image. mind back a couple of seasons, It’s long overdue. Ever since the you’ll remember all the lightweight, label launched in 1924, reinventing colour-blocked fabrics that captured the biker jacket by introducing a everyone’s imagination – jackets waterproof breathable wax cotton that looked like they should have style, it hasn’t done anything come with a bike were nowhere to particularly ground breaking or be seen. memorable. In fact, you’re probably But with the weather changing, more familiar with seeing the you might be thinking about brand on the big screen (on the investing in the trusted wardrobe back of Tom Cruise, Will Smith or, staple again to tide you over in the most recently, Daniel Craig in colder months. If so, Belstaff could Skyfall), than spotting people be the way to go – but be warned, I wearing it on the streets. say “investment” for good reason. The strength of its latest offering The brand’s latest collection of is a result of a number of things. made-to-order crocodile skin leather Two years ago the label was bought jackets for men and women are by Swiss conglomerate Labelux and, priced from £45,000 – the price of shortly afterwards, successful your child’s university degree and American businessmen Harry then some. Nonetheless, they are Stakin was confirmed as its new pretty spectacular. chief executive, bringing along good The jackets are the perfect nod to friend Tommy Hilfiger to serve as an the label’s history, while also feeling adviser on the board. Its biggest incredibly modern, as you would weapon, though, is Martin Cooper. expect with a price point like that. Having worked at Burberry for 16 While the prices might seem out of years, leaving his role as its vice this world, the introduction of the president and director of outerwear, exclusive, made to order service it should come as no surprise that makes sense. Even the most many have dubbed him “the king of commercially solid brands are outerwear.” facing the conundrum of how to With him on side, be prepared to increase profits and expand see a lot more Belstaff both on and The women’s made to order styles come in crocodile skins without becoming too mainstream, off screen. The menswear jackets range from bikers to more traditional styles

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won’t be disappointed. It goes down know you’ll be able to restart from a GAME as one of the most stunning games couple of minutes back. The flip-side I’ve ever seen: from the incredibly is you don’t spend hours wading HALO 4 animated cinematic opening through the same parts of the game, Xbox 360 | By Steve Dinneen sequence to the wonderfully which gives it a refreshing “pick-up- hhhhh rendered alien landscapes, it is and-play” feel. relentlessly pretty. Multi-player, though, is the reason ALO ISN’T just a video game – The single-player game relies far most fans tune in – the mode that it’s a gigantic, multimedia more on tactics than previous drives grown men to sit in the dark behemoth, crushing all in its iterations. Gone are the days when wearing wi-fi headsets so they can H path under its metal-plated you could jump headlong into the discuss tactics with remote team- boots. Since the original Halo action and hope to survive. Even on mates. And it is about as much fun launched on Microsoft’s first Xbox, “normal” difficulty, this is a sure-fire as you can have on a console. The the franchise has grown to fill an way of ending up skewered on an levels are brilliantly designed and entire universe, with spin-offs Energy Sword. The plot – which, let’s the combat system, honed over more including an animated web series, a face it, isn’t the primary reason for than a decade, makes encounters graphic novel and an encyclopedia playing – is engaging feel satisfyingly controlled. full of Halo lore. enough and the voice But best of all, you really The insatiable appetite for the sci- acting is at least as feel involved in the action. fi epic has made it one of the most adept as your Every well directed gun- successful series ever created, in any standard Hollywood shot, every kamikaze attack, format (if the latest title doesn’t popcorn blockbuster. every time someone crept gross $1bn, I’ll eat my Xbox). It suffers from up behind me and And, like any successful franchise, the same punched me in the back Microsoft knows how to keep its problem that of the head had me fanbase lusting after more. Halo 3 has niggled at giggling with was released in 2008 and fans have me delight. And, been forced to settle for spin-off throughout really, what more titles, including Halo Wars, a real- the lifespan could you ask for time strategy game set in the Halo of the in an action universe, and Halo 3: ODST, which franchise, in game? sees players take the role of a new that the regularity protagonist, further fleshing out the of checkpoints drain operatic back-story. some of the tension – if Halo 4, then, has a lot to live up to. you die (and you will Halo 4 sees you resume the role of the Master Chief super-soldier And, if you’re a fan of the series, you die, rather a lot), you How the 4th Small but perfectly gen iPad formed: we put measures up THE SURPRISE package in the Apple announcements last month was the news there would be an update to the 3rd generation iPad. the iPad Mini Apple says it will continue to sell the iPad 2 (starting price £329) but will replace the “new iPad” (which is now the old iPad – this naming through its paces business is getting rather complicated...) with the 4th gen model. The new, new iPad comes with an Apple’s latest tablet is a thing of beauty. updated processor capable of running up to twice as fast as its predecessor, 4G capability in the UK But is that enough, asks Steve Dinneen (on selected models) and uses Apple’s new Lightning connector. PPLE’S GREAT skill lies in I’d assumed it would be We lined the two models up head- creating products you didn’t marginally bigger than my Kindle know you needed. Nobody Touch but there is actually a huge to-head for a speed test and the new thought they wanted a little amount of extra screen space. At 7.9 version does come out a clear A winner. It’s not that the old version metal box with all their music on it, inches, it feels more closely related but when it arrived, the world went to the iPad than, say, the 5.3 inch isn’t already pretty speedy, but the all doe-eyed and declared its Galaxy Note. The extra space – 4th generation is undying love. Tablets had been helped along by the tiny bevel certainly a step around for years and made no around the screen – means up, albeit an impact on the public consciousness. watching movies or playing games light. The lack of a retina incremental “Fingerprints,” we complained. that require a lot of screen space display (meaning the resolution one. “What about all the fingerprints?” (such as the wonderfully addictive is the same as the iPad 2 but less If you already And then came the iPad. Enough Solipskier) never feels cramped. crisp than the latest iPhones or the IN SUMMARY own a 3rd said. This also has its drawbacks: in my new iPad) means Apple has been generation Now, in the face of the first mac test (and by mac I mean the able to throw out a lot of the bigger n WHO IS IT FOR? People who want a iPad, there serious encroachment into Apple’s type of jacket favoured by FBI agents version’s weight (for the lowdown on cheaper jumping off point into the tablet isn’t enough near-monopoly of the tablet market and flashers, rather than Apple’s the updated iPad see our review, right). If world than the £399 iPad but still want extra here to by a new generation of seven inch range of computers), my Kindle fits you’re working on a presentation, Apple’s seal of quality; people with very big make you devices, comes the iPad Mini: a form snugly into the over-sized breast for example, and need a pockets or very small bags; anyone who upgrade. factor Steve Jobs infamously pocket, but the Mini is far too big. combination of screen size and needs a lightweight tool for presenting. But if you’re an iPad 2 rejected as being too small. This may seem like an arbitrary portability, this would be ideal. n WHAT’S IT GOT GOING FOR IT? It is Apple really needed to work its All things considered, the iPad owner (or, dare I say it, another criticism, but the ability to carry incredibly light, has a surprising amount of magic this time, too, because, as an the Kindle in your pocket is part of Mini is yet another wonderfully brand of tablet altogether), this is iPad owner, I’m inclined to agree its appeal to commuters – if you crafted device but one that feels like screen space and is £130 cheaper than the yet another reason to take the leap. with Steve Jobs. Sure, the iPad Mini need to carry it in your bag, why not it exists to plug a gap in the market entry-level iPad. is cool – that goes without saying – just go for the standard iPad? rather than a gap in your life. n WHAT ARE ITS DRAWBACKS? It’s too By Steve Dinneen but where does it fit into my life? It is, though, incredibly • iPad Mini, from £269, apple.com/uk big to fit in your pocket; has no retina display.

THURSDAY 8 NOVEMBER 2012 28 TV & GAMES cityam.com

BBC1BBC1BBC2 ITV1 CHANNEL4CHANNEL4 CHANNEL5 TV PICK 6pm BBC News 6pm Eggheads 6pm London Tonight 6pm The Simpsons 6.30pm 6pm Home and Away 6.30pm BBC London News 6.30pm Strictly Come Dancing 6.30pm ITV News Hollyoaks 7pm Channel 4 News 6.30pm 5 News at 6.30 7pm The One Show –ItTakesTwo 7pm Emmerdale 7.55pm 4thought.tv 7pm Rolf’s Animal Clinic: Two 7.30pm EastEnders: BBC News 7pm The Dark: Nature’s 7.30pm The Best Start in Life?: 8pm CHOICE Kirstie’s Vintage pythons are given MRI scans; 5 8pm Young Apprentice Nighttime World Tonight Home News Update 9pm CHOICE Hunted 8pm MasterChef: The 8pm Emmerdale 9pm FILM The Inbetweeners 8pm WW1’s Tunnels of Death: 10pm BBC News Professionals: Six chefs battle 8.30pm Emmerdale at 40 Movie: 2011. The Big Dig: 5 News at 9 10.25pm 11.05pm Regional News it out in the quarter-final. 9pm DCI Banks The Inbetweeners Top 10 9pm Hatfields & McCoys 10.35pm Moments 12.05am Random Acts HUNTED Question Time 9pm CHOICE Great 10pm ITV News at Ten 10pm FILM The Contractor: 11.35pm This Week 12.10am 999: What’s Your BBC1, 9PM Continental Railway Journeys 10.30pm London News Thriller, with Wesley Snipes, 12.20am Holiday Weatherview 10pm Emergency? 1.10am Embarrassing Sam suspects Jack Turner intends to Hebburn 10.35pm Corfu: A Tale of Two 2.05am Charles Dance, Lena Headey 12.25am Sign Zone: Gambling Bodies Special The Great assassinate Fatima Zahir, a Pakistani TERRESTRIAL 10.30pm Newsnight: Weather 12.55am Islands British Property Scandal: Every and Iain Robertson. 2 0 07. presidential candidate opposed to the Nation – Panorama Sign 11.20pm Dara O Briain’s Zone: Countryfile 1.55am Sign 11.05pm The Jonathan Ross Show Empty Counts 3am Unreported 12.05am SuperCasino sale of the dam. TERRESTRIAL Zone: Antiques to the Rescue Science Club 12.05am Jackpot247 3am The World 3.25am Nuclear War Games: 3.55am HouseBusters 4.20am 2.55am Sign Zone: Planet Earth 12.20am The Culture Show Best Start in Life?: Tonight 3.25am Channel 4 Dispatches 3.55am Deal House Doctor 4.45am Michaela’s Live: A Tale of Three Bears 12.50am BBC News ITV Nightscreen 4.35am-5.30am or No Deal 4.50am Countdown Wild Challenge 5.10am Nick’s 3.55am-6am BBC News 4am-6am BBC Learning Zone The Jeremy Kyle Show 5.35am-6am Make Do & Mend Quest 5.35am-6am Wildlife SOS SKY SPORTS 1 MotoGP 11.30pm-12.35am BBC THREE 4am 90210 4.40am-6am 3.50am How We Invented The 4.40am 6pm Live ATP World Tour Finals Poker 7pm Top Gear 8pm Don’t Tell the Switched World Discovery Atlas: 5.30am-6am Tennis 10pm The Footballers’ ESPN Bride Goes Global 9pm Russell HISTORY Mexico Revealed Football Show 11.30pm Premier Howard’s Good News 9.30pm Meerkat Manor 5.30pm Live UEFA Europa 7pm Storage Wars 7.30pm Pawn League World 11.55pm-6am Live Some Girls 10pm Wilfred League Football 8pm Live UEFA Stars 8pm Swamp People 9pm DISCOVERY HOME & GREAT CONTINENTAL RAILWAY Test Cricket 10.20pm Great Movie Mistakes Europa League Football 10.15pm Ice Road Truckers 10pm Storage 10.30pm EastEnders 11pm HEALTH JOURNEYS BBC2, 9PM CABLE SKY SPORTS 2 French Ligue 1 Preview 10.45pm Wars 10.30pm Storage Wars: Family Guy 11.45pm American 7pm Dr Oz 8pm Secretly Michael Portillo retraces journeys 7pm ESPN Kicks: Extra 11pm ESPN Texas 11pm Storage Wars America’s Cup Discovered Dad! 12.30am Russell Howard’s Pregnant 9pm My Deadly featured in Bradshaw’s Continental CABLE 11.30pm 11.30pm 12am & 7.30pm Premier League World FC Press Pass Goal! Pawn Stars Ice Railway Guide of 1913, beginning by 12am Good News 1am Some Girls 1am Appetite 10pm Embarrassing 8pm The Rugby Club 9pm Ringside Bundesliga Preview UEFA Road Truckers Storage Wars travelling from London to Monte Carlo. 2am 1.30am Wilfred 1.50am Don’t 1.30am Bodies 11pm Hoarding: Buried & 10pm WWE: Late Night – Raw Europa League Highlights Storage Wars: Texas Tell the Bride Goes Global 12am 12am WWE: NXT 1am Live NFL French Ligue 1 Preview 2.30am 2am American Pickers 3am Ax Alive My Deadly Appetite 2.50am 1am 2am 4.30am Sky Sports Classics Global Rallycross Championship Unzipped Men 4am Swamp People 5am Wanted Down Under 3.35am-4.05am 3am 5am-6am Live European Tour Golf 4am DTM Motor Racing 5am Some Girls Pawn Stars 5.30am-6am Embarrassing Bodies 4am Goal! Bundesliga Preview E4 American Restoration Hoarding: Buried Alive A SKY SPORTS 3 5.30am-6am FIBA Basketball Baby Story 5am-6am Birth Days 6pm Live PGA Tour Golf 9pm 7pm Hollyoaks 7.30pm How I DISCOVERY European Tour Golf 11pm SKY LIVING Met Your Mother 8.30pm The 7pm One Car Too Far 8pm SKY1 Ringside 12am America’s Cup 7pm Criminal Minds 8pm Big Bang Theory 9pm 2 Broke Wheeler Dealers 9pm Battle 8pm The Middle 8.30pm Discovered 12.30am The America’s Next Top Model 9pm Girls 9.30pm New Girl 10pm Big Castle with Dan Snow 10pm Modern Family 9pm Spy 9.30pm Footballers’ Football Show 2am FILM Legends of the Fall 1994. Fat Quiz of the 00s 11.40pm The How We Invented The World Trollied 10pm A League of Their KIRSTIE’S VINTAGE HOME SATELLITE SATELLITE Ringside 3am-4am The Rugby 11.40pm Bones 12.40am Grey’s Big Bang Theory 12.35am The IT 11pm Wheeler Dealers 12am Own 11pm Road Wars 1am CHANNEL 4, 8PM Club Anatomy 1.40am Supernatural Crowd 1.10am The Work Battle Castle with Dan Snow NCIS: Los Angeles 1.55am Brit In this first of a new series, Kirstie 2.40am Medium 3.30am Bones Experience 1.40am How I Met 1am How We Invented The Cops: Frontline Crime UK 2.50am Allsopp looks to the past for inspiration BRITISH EUROSPORT 4.20am Criminal Minds Your Mother 2.05am Scrubs World 2am American Guns 3am Road Wars 4.10am-6am as she helps families transform their 7pm Inside WTCC 7.30pm 5.10am-6am Passport Patrol 2.30am Big Fat Quiz of the 00s Battle Castle with Dan Snow Brainiac: Science Abuse neglected and cluttered homes. COFFEE BREAK QUICK CROSSWORD Copyright Puzzle Press Ltd, www.puzzlepress.co.uk 

10 37 23 5 20 29 11 SUDOKU KAKURO 13 17 11   27 12 Place the numbers from 1 to 9 in each empty cell so that 28 Fill the grid so that each each row, each column and each 3x3 block contains all the 17 29 block adds up to the total 15 15 numbers from 1 to 9 to solve this tricky Sudoku puzzle.    in the box above or to the 4 6 14 5 11 left of it. 22   You can only use the 4 24 7 digits 1-9 and you must not 45          use the same digit twice in 21 a block. The same digit may 10 10 30 12 313    occur more than once in a 13 21    row or column, but it must 16 14    be in a separate block. 16 3 28 21      10 14  ACROSS DOWN 1 Pointed 1 Machine used for   projection on printing (5) WORDWHEEL a fork (5) 2 Select as an     O V 4 Diversion alternative (3) Using only the letters in the Wordwheel, you have requiring physical 3 Wine-making fruit (5)   ten minutes to find as many words as possible, exertion (5) E G 4 Assemble (3,2) none of which may be plurals, foreign words or 7 Participant in S 5 Porridge ingredient (7) proper nouns. Each word must be of three letters some activity (7) 6 Unit of weight or more, all must contain the central letter and N L 8 Metal container LAST ISSUE’S equivalent to 1000 letters can only be used once in every word. There (3) SOLUTIONS is at least one nine-letter word in the wheel. kilograms (5) KAKURO RI 9 Arctic marten (5) 10 Drink given to people 11 Fragment (5) QUICK CROSSWORD 63 9 47 9 3 who are ill (4,3) 9 8 1 524 8 1 SUDOKU 12 Popular board 12   Child’s magazine (5) BA I T SACHET 6 5 1 364 2 game (5) O ANT I V   13 Cavalry sword (5) 7 7 SCAB YONDER 5 8 9 5 14    Cut-price 14 N L L N 6 9 7 3 1 5 Ordered series (5)          events (5) I MPERV I OUS 41689 2 7 5 3 15 Bout, period of A I I R C    16 Encountered (3) 8 9 7 869 WORDWHEEL indulgence (5) PERCEPT I VE 869 7 2 1     17 L R A N Lodger (7) 18 2 145 3 5 3 The nine-letter word was          Chemical which CALVES PASS 19 Discontinue (5) carries genetic Z PARE U 4 2 6 4 3 2 17 MORALISED   HATRED RAYS 1 331 2 4 9   20 Rub out (5) information (inits) (3) cityam.com THURSDAY 8 NOVEMBER 2012 SPORT 29 Results Mancini needs to win title again to keep job =FFK98CC L<=8:?8DG@FEJC<8>L<>IFLG< :_\cj\X%%%%%%%%%%%%%%%%%% )  * J_Xb_kXi;fe\kjb%%%%% (  ) Kfii\j- N`cc`Xe0#+. NCE again Roberto Mancini save his job. Even then it would be overdrive. Begiristain has seen FjZXi+'#Dfj\j0' 8kk1+(#'-. Alm\eklj%%%%%%%%%%%%%%% *  + =:Efi[jaX\ccXe[%%%%%% '  ' was quick to divert attention FOOTBALL touch and go and he would only Guardiola’s work – and its fruits – DXiZ_`j`f-#M`[Xc)* from his own failings and have succeeded in treading water. first hand, while Mancini might >`fm`eZf*.#HlX^c`Xi\ccX., 8kk1*.#(-, blame the referee after You could argue he’s a victim of have won the league but has only got   G N ; C = 8 >; Gkj O J_Xb_kXi%%%%%%%%%%%%%%%%%%%%%%%%%+ ) ( ( . , ) . Tuesday’s draw with Ajax pushed COMMENT his own success. Nobody at City City playing anything like as :_\cj\X%%%%%%%%%%%%%%%%%%%%%%%%%%%%%+ ) ( ( (' - + . Manchester City closer to another really believed they would win the attractive football early last season. Alm\eklj%%%%%%%%%%%%%%%%%%%%%%%%%%+ ( * ' / + + - embarrassing Champions League TREVOR STEVEN title last season, but they did, and If Mancini runs away with the =:Efi[jaX\ccXe[%%%%%%%%+ ' ( * ( (( $(' ( elimination. now even doing it again won’t feel title, Begiristain can’t say too much. >IFLG= He was similarly blinkered when like progress. But any other outcome and you can’t 9Xp\ieDle`Z_%%%%% ,  - C`cc\%%%%%%%%%%%%%%%%%%%%%%%%%%%% '  ( City were well beaten by the same nigh-on impossible for City to reach To make matters worse for tell me that City’s ultra-ambitious JZ_n\`ejk\`^\i, BXcfl,. opponents in Amsterdam last the last 16 even if they beat Ajax. Mancini, a huge shadow has been owners won’t be asking him what G`qXiif(/#)/#** IfYY\e)*#Biffj-- 8kk1-+#,'' month, emphasising the uphill He has talked about being found cast over his future by the arrival of Pep would do. MXc\eZ`X%%%%%%%%%%%%%%%%% )  + 98K<%%%%%%%%%%%%%%%%%%%%%%%%%% % '  ) struggle they would face to qualify out in the Champions League Txiki Begiristain, the former I’m fascinated to see whether AfeXj)- 9i\jjXe,+ rather than his team’s glaring because they’re not used to that Barcelona director of football now Mancini’s players rally for him now. Jfc[X[f)0 g\e  Dfqfc\mjb`/* deficiencies. level. That’s tosh – City are man-for- occupying the same role at If they are 100 per cent behind him =\^_flc`,(#/- 8kk1*/#'''   G N ; C = 8 >; Gkj Mancini’s evasiveness when man better than most squads and Eastlands. they will go on a strong run and 9Xp\ieDle`Z_%%%%%%%%%%%%+ * ' ( (' , , 0 queries are raised about his side’s should walk the group stage. start playing, but at the moment, MXc\eZ`X%%%%%%%%%%%%%%%%%%%%%%%%%%%+ * ' ( (' + - 0 failures begs the question: does he The fact is that Mancini, while CONSPIRACY THEORIES like his post-match remarks, they 98K<%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%+ ) ' ) / 0 $( - see them and refuse to acknowledge enjoying great success in the Italian With Pep Guardiola, the coach remain unconvincing. C`cc\%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%+ ' ' + ) () $(' ' them, or is he blind to their lack of and English top flight, has a poor credited with moulding the Trevor Steven is former England >IFLG> footballer who played in two World Cups 9\e]`ZX%%%%%%%%%%%%%%%%%% '  ) JgXikXbDfjZfn%%%%%% '  ' focus, concentration and desire? record in European competition, and universally adored Barca team, :Xi[fqf,,#-0 8kk1*,#-., Moaning about decisions in their it is creating huge pressure for him. rumoured to be ready to return to and two European Championships. He :\ck`Z%%%%%%%%%%%%%%%%%%%%%% (  ) 9XiZ\cfeX%%%%%%%%%%%%%%%%%% '  ( latest European disappointment is He more or less has to retain the management next year in England, now acts as a scout and media NXepXdX)( D\jj`0' like crying over spilt milk. It was Premier League now if he wants to the conspiracy theories will go into commentator. NXkk/* 8kk1,,#)/*   G N ; C = 8 >; Gkj 9XiZ\cfeX%%%%%%%%%%%%%%%%%%%%%%%+ * ' ( / , * 0 :\ck`Z%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%+ ) ( ( - , ( . 9\e]`ZX%%%%%%%%%%%%%%%%%%%%%%%%%%%%%+ ( ( ) * + $( + SWANN FLIES HOME FROM INDIA TOUR FOR ILL DAUGHTER JgXikXbDfjZfn%%%%%%%%+ ( ' * - 0 $* * PM welcomes >IFLG? 9iX^X%%%%%%%%%%%%%%%%%%%%% '  ( DXeLk[%%%%%%%%%%%%%%%%%%%%% '  * 8cXe+0 g\e  mXeG\ij`\/'  Iffe\p/, g\e Coe’s latest 8kk1(0#'(, ?\ieXe[\q0' :=I:cla$EXgfZX%%% '  ( >XcXkXjXiXp%%%%%%%%%%%%%%%% (  * Jfl^fl,* 9P`cdXq(/#-(#.+  8kk1(0#,)' Olympic role   G N ; C = 8 >; Gkj DXeLk[%%%%%%%%%%%%%%%%%%%%%%%%%%+ + ' ' 0 + , () >XcXkXjXiXp%%%%%%%%%%%%%%%%%%%+ ( ( ) + , $( + BY FRANK DALLERES :=I:cla$EXgfZX%%%%%%%%%+ ( ( ) , - $( + 9iX^X%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%+ ( ' * , / $* * LONDON 2012 chairman Lord Coe EGFNL<( ?Xikc\gffc%%%%%%%%%%%%% '  ' KiXed\i\%%%%%%%%%%%%%%%%%%% '  ) has vowed to build on the runaway  IfY`ejfe.0 g\e success of this year’s Games after 8kk1*#)/, JkfZbkfe0' being confirmed as head of the DB;fej%%%%%%%%%%%%%%%%% (  ( C\pkfeFi`\ek%%%%%%%%%%%% '  ' British Olympic Association (BOA). Cfn\+( 8kk1-#0/,   G N ; C = 8 >; Gkj Coe, who succeeds Lord Moynihan KiXed\i\%%%%%%%%%%%%%%%%%%%%%%%%(- (' + ) *+ (+ )' *+ as chairman, was elected unopposed J_\]]Lk[%%%%%%%%%%%%%%%%%%%%%%%(- / / ' (0 (' 0 *) for a four-year term after his only Jk\m\eX^\%%%%%%%%%%%%%%%%%%%%%%(- 0 , ) )* (. - *) rival, British Hockey chief Richard :iXnc\pKfne%%%%%%%%%%%%%(- 0 ) , )+ )) ) )0 Efkkj:f%%%%%%%%%%%%%%%%%%%%%%%%%(- / + + )/ (. (( )/ Leman, withdrew last month. ;feZXjk\i%%%%%%%%%%%%%%%%%%%%%%(, / * + )' (+ - ). “Following the tremendous Jn`e[fe%%%%%%%%%%%%%%%%%%%%%%%%%(- . , + )* (+ 0 )- impact of the London 2012 Games, DB;fej%%%%%%%%%%%%%%%%%%%%%%%%%(- . , + (0 (( / )- the BOA has an important role to 9i\ek]fi[%%%%%%%%%%%%%%%%%%%%%%%(- - . * )) (. , ), Gi\jkfe%%%%%%%%%%%%%%%%%%%%%%%%%%%%(- - , , )- )' - )* play in ensuring the growth of the P\fm`c%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%(- . ( / )- )+ ) )) Olympic movement throughout the 9flie\dk_%%%%%%%%%%%%%%%%%%%%(- , - , )- )/ $) )( UK and the continued success and :fcZ_\jk\i%%%%%%%%%%%%%%%%%%%%%(- , , - (. )' $* )' support of Team GB at future :i\n\%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%(- , , - (- )( $, )' :Xic`jc\%%%%%%%%%%%%%%%%%%%%%%%%%%%%(- , , - )' )/ $/ )' Olympic Games,” said Coe. NXcjXcc%%%%%%%%%%%%%%%%%%%%%%%%%%%%(- , + . (0 ), $- (0 Former gold medal-winning Gfikjdflk_%%%%%%%%%%%%%%%%%%(- , * / )) )+ $) (/ athlete Coe led London’s bid to host Fc[_Xd%%%%%%%%%%%%%%%%%%%%%%%%%%%%(, + , - (- (. $( (. the Olympics and then ran the :fm\ekip%%%%%%%%%%%%%%%%%%%%%%%%%(- + , . (/ )* $, (. CFi`\ek%%%%%%%%%%%%%%%%%%%%%%%%%%%(- , ( (' (( (0 $/ (- organising committee for the event ENGLAND will be without at least three J_i\njYlip%%%%%%%%%%%%%%%%%%(- * , / (. )) $, (+ itself, which was widely hailed as of their favoured four-man bowling JZlek_fig\%%%%%%%%%%%%%%%%%%%(- * + 0 (, )/ $(* (* one of the greatest of all time. attack in today’s final warm-up match 9lip%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%(- ) - / (. )/ $(( () Prime Minister David Cameron, before the Test series in India after ?Xikc\gffc%%%%%%%%%%%%%%%%%%%%%(- ( , (' (* )/ $(, / who in August appointed Coe legacy EGFNL<) spinner Graeme Swann flew home last Gcpdflk_%%%%%%%%%%%%%%% '  ( 9likfe8cY`fe%%%%%%%%%%% '  ) ambassador, welcomed the former night. The 33-year-old left the squad :fnXe$?Xcc+0 JkXekfe.+ Conservative MP’s latest role. to be at the bedside of his ill daughter 8kk1,#)(0 N\`i.0 He said: “Seb Coe demonstrated but is expected to return for the first KFGJ@O  G N ; C = 8 >; Gkj >`cc`e^_Xd%%%%%%%%%%%%%%%%%%%%%(- (( * ) *' (' )' *- inspirational leadership in Test in seven days’ time. Pacemen delivering the best ever Olympic and GfikMXc\%%%%%%%%%%%%%%%%%%%%%%%%(- 0 + * *, (/ (. *( :_\ck\e_Xd%%%%%%%%%%%%%%%%%%(- / , * )) (. , )0 Paralympic Games this summer and Stuart Broad and Steven Finn will miss the tour match against Haryana due to =c\\knff[Kfne%%%%%%%%(- . - * )) (+ / ). as a double Olympic gold medallist 9likfe8cY`fe%%%%%%%%%%%%%%(- . , + ), )( + )- himself there can be no better choice injury and are doubtful for the Test. 9iX[]fi[%%%%%%%%%%%%%%%%%%%%%%%%%(- . + , )+ (/ - ), for BOA chairman.” :CP;L< Dfk_\in\cc%%%%%%%%%%% '  ' ;le[\\Lk[%%%%%%%%%%%%%%% '  ( 8kk1*#0+( Iljj\cc/+ Kiflg81 ( E;afbfm`Z J\i Yk * 8DliiXp South Africa drubbing made us Hodgson out for six weeks been no bid for tenancy from any >Yi +$--$*.$,# , K9\i[pZ_ :q\ Yk . AKjfe^X American Football franchises, despite =iX .$,*$--$(%;flYc\j>iflg91 , D9_lgXk_` @e[  n RUGBY UNION: Saracens have I9fgXeeX @e[ Yk + IC`e[jk\[k Jn\ ?K\ZXl Mayor Boris Johnson holding talks with Ifd -$*,$.('$,# / ADXiiXp >Yi =E`\cj\e ;\e  stronger, says England’s Marler suffered a blow after in-form fly-half NFL chiefs. West Ham remain clear Yk ) DD`iep` 9ci ;E\jkfi :Xe .$- .$* +$-()$('% Charlie Hodgson was ruled out for six favourites to move into the stadium. weeks with a fractured cheekbone. The KF;8PËJ;@8IP BY FRANK DALLERES group and the guys coming together sure-kicking former England No10, who as a team and wanting to dig deep Ice baths bad for you, say experts iflg8 has amassed 90 points this season, 8eq_`DXb_XZ_bXcXmC`m\igffc ,gd %%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%% HARLEQUINS prop Joe Marler for each other in the darkest places,” suffered the injury in Sunday’s 29-24 n GENERAL: Taking an ice bath after believes England are ready to he said. L[`e\j\mPfle^9fpj -gd %%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%% Aviva Premiership win over Wasps. exercise may do more harm than good, >iflg; “hammer” their opponents in this “Physically it is a massive step up 9fi[\XlomDXi`k`df -gd %%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%% month’s internationals, having and you know that if you are not on according to new research. Scientists from the University of Portsmouth :clY9il^\jmE\nZXjkc\ -gd %%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%% emerged stronger from a hiding of your game they will just keep Olympic Stadium move delayed >iflgA found immersion in cold water was no their own in the summer. coming and keep coming. That is the n GENERAL: London’s Olympic CXq`fmGXeXk_`eX`bfj /%', %%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%% Marler, who is set to win his sort of attitude we have in our more effective in stimulating recovery Kfkk\e_XdmDXi`Yfi /%', %%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%%% Stadium will not reopen until at least than light warm-down exercise, while fourth cap on Saturday against Fiji, group. We just want to keep late 2015, a year later than originally :I@:BFC= Legacy Development Corporation chief was forged. England’s clash with Fiji precedes pose a number of potentially serious 9XiZcXpjJ`e^Xgfi\Fg\e J\ekfjX>fc]:clY % Denis Hone also revealed there had “That 20-minute period was a fixtures against Australia, South health risks.” K

Van Persie scored his third in Europe to promised United hit back to win group land of last 16 CHAMPIONS LEAGUE Torres gave Chelsea the ideal start after blackout in the sixth minute when Pyatov CHELSEA...... 3 hastily rolled out to his full-back, col- lected the return pass and attempted SHAKHTAR DONETSK ...... 2 a hurried clearance, only for it to rico- CHAMPIONS LEAGUE chet past him and in off the charging ...... Spain striker’s feet. BRAGA 1 BY FRANK DALLERES Shakhtar equalised just three min- MANCHESTER UNITED...... 3 utes later, however, when two of their CHELSEA manager Roberto di Matteo Brazilians combined, Fernandinho admitted his side had needed a slice surging past two defenders into the BY SPORTS DESK STAFF of luck after substitute Victor Moses penalty area and pulling back for struck in the fourth minute of stop- Willian to side-foot home. MANCHESTER United came from a page time to give their Champions Pyatov gifted Chelsea a second just goal down to score three times in the League defence a huge boost. before half-time when he careered last 10 minutes and clinch a place in Twice the Blues had led, through out of his area and headed straight to the Champions League knockout Fernando Torres and then Oscar’s vir- Oscar, who controlled with his chest stage after a floodlight failure tuoso strike, but twice they were and despatched a languid volley over caused chaos in Portugal. pegged back by Willian, a player they the stranded keeper from 40 yards. The Premier League leaders were have trailed, and a dazzling Shakhtar Di Matteo opted against starting trailing to Alan’s 49th-minute Donetsk team. captain John Terry following his penalty when a power cut forced But with all three allotted minutes domestic four-match ban due to fit- both teams off the pitch for 10 of added time played, Moses was left ness concerns, while the home minutes. unmarked for Juan Mata’s corner and defence also missed the injured But substitute Robin van Persie’s the 21-year-old headed the winner Ashley Cole, who might have prevent- opportunistic strike, a Wayne past error-prone visiting goalkeeper ed Darijo Srna escaping down the Rooney spot-kick and Javier Andriy Pyatov. right to tee up Willian’s second four Hernandez’s poacher’s effort While they still face a nervy final minutes after the restart. Shakhtar’s completed a dramatic turnaround two rounds of Group E fixtures, not Razvan Rat struck a post before, with and secured top spot in Group H least their next match against hopes of three points seemingly lost, with two games still to play. Juventus in Turin, the win keeps Moses grabbed the latest of winners. United’s early qualification is a them in second place and hopeful of welcome contrast to last year’s reaching the last 16. Moses (centre) headed the decisive goal campaign, when they suffered a “In terms of the timing of the win- in the fourth minute of added time after shock elimination at the group ning goal I would agree there was an Shakhtar twice pegged Chelsea back stage. Yet their prospects of reaching element of luck,” said Di Matteo, the last 16 so quickly did not look whose men suffered a damaging 2-1 healthy when Jonny Evans body- defeat to the same opponents in GROUP E checked Custodio and Alan gave Ukraine two weeks ago. TEAM PLD W D L F A PTS goalkeeper David de Gea little “But, playing against a good team, I chance with a powerful rising thought we deserved to win because Shakhtar 4 2 1 1 7 5 7 penalty. we did a lot of good things and we put The floodlight failure soon after them under pressure, especially in Chelsea 4 2 1 1 10 6 7 gave Sir Alex Ferguson the ideal the first half. chance to reorganise and he sent on “That is how we scored the first two Juventus 4 1 3 0 8 4 6 Rio Ferdinand for Evans at centre- goals, we applied pressure, so I think back, before soon replacing Danny we deserved to win ultimately. Nordsjaelland 4 0 1 3 1 11 1 Welbeck with Van Persie. United’s top scorer notched his third European goal of the season when Braga goalkeeper Beto came rushing out to intercept a long ball, Celtic stun European aristocrats Barcelona after only to change his mind and watch Van Persie bend an early shot past him. Rooney picked himself up after teenager Watt provides anniversary present being felled by Nuno Coelho to convert the second, and Hernandez front in the first half and teenage chance of qualifying for the last 16, continued his recent hot streak by CHAMPIONS LEAGUE substitute Tony Watt wrapped up with Lennon’s men three points stabbing in at the second attempt in the monumental victory late on. ahead of third-placed Benfica with stoppage time. CELTIC ...... 2 Lionel Messi scored an injury- just two matches remaining. BARCELONA...... 1 time consolation for the Catalans, Barca broke Celtic hearts with a but it could not spoil Celtic’s night last-minute winner at Camp Nou GROUP H as the club celebrated its birthday. two weeks ago but there was to be TEAM PLD W D L F A PTS BY SPORTS DESK STAFF “It is right up there as one of the no repeat last night, with proudest nights of my career,” said goalkeeper Fraser Forster in Man Utd 4 4 0 0 9 4 12 CELTIC manager Neil Lennon Lennon. “It was a monumental inspired form again. hailed the perfect 125th effort on the [125th] anniversary of Wanyama climbed highest to Galatasaray 4 1 1 2 4 5 4 anniversary present after his men the club. I wanted them to do meet Charlie Mulgrew’s corner and produced a huge upset to defeat justice tonight and they have plant a powerful header past Victor CFR Cluj 4 1 1 2 5 6 4 Barcelona in Glasgow. surpassed that and beaten the best Valdes. Eight minutes from time 18- Braga 4 1 0 3 5 8 3 Kenyan midfielder Victor team in the world.” year-old Watt pounced on Xavi’s Teenager Watt (left) hit Celtic’s second Wanyama headed the Bhoys in The victory gives Celtic a huge slip and drilled home low. THURSDAY 8 NOVEMBER 2012 cityam.com 31 Mancini must win the Premier League this season‘ if he wants to save his job. Even then it would be touch and go Trevor Steven: Page 29 Wiggins hospitalised in crash with van

BY FRANK DALLERES stayed overnight. He is said to have Briton to win the Tour de France. Wiggins was being followed on complained that he felt his ribs had He then became the first rider his training ride by his support BRITISH Tour de France champion been broken, and hurt his hands ever to follow that with gold in the team, who rushed to his aid. The Bradley Wiggins suffered suspected and wrists. Olympic road racing time trial, collision is believed to have broken ribs in a collision with a van Team Sky confirmed the which he won at Hampton Court in occurred when the van pulled out while training last night. accident, adding that his injuries south London. of a service station. Wiggins was thrown from his were “not thought to be serious” The double achievement elevated The Belgian-born Team Sky rider saddle in the crash in and that “he is expected to make a him to national hero status and he is expected to play second fiddle in Wrightington, near the north full and speedy recovery”. remains the favourite to win the next year’s Tour, where the London-raised star’s Lancashire The accident comes at the end of BBC’s Sports Personality of the Year mountainous route is likely to home, at around 6pm and taken by a historic year for the popular 32- award next month, despite a host of favour colleague and fellow Briton ambulance to hospital, where he year-old, who became the first strong contenders. Chris Froome. Murray hopes of home triumph smothered at O2 as Djokovic digs deep in epic contest No1 fights back from set down to defeat Brit in three sets BY FRANK DALLERES BRITAIN’S Andy Murray rued missed chances after his titanic tussle with world No1 Novak Djokovic left him one defeat away from a premature exit from the Barclays ATP World Tour Finals in London yesterday. Murray, who beat Djokovic in an epic US Open final to win his maiden grand slam earlier this year, took the first set against the Serb but was eventually out-fought 4-6, 6-3, 7-5 at the O2 Arena. It leaves the Scot needing to beat Frenchman Jo-Wilfried Tsonga in his final group match tomorrow in order to guarantee a place in the last four, while Djokovic may also Murray needs to beat Jo-Wilfried Tsonga tomorrow in his final group match to be sure of qualifying need to beat Czech Tomas Berdych, who defeated Tsonga last night, to Victory for Djokovic gave him the by a few points. The intensity of my decider. Momentum swung be certain of progressing. edge over his former juniors rival matches with him has been between the old foes in the final set An absorbing duel watched by Murray in their seven meetings this extremely high this year. and Murray came within two points 17,000 spectators was on a knife- year, which have become “But the one thing I would say is of victory at 5-4, but Djokovic held edge for much of its two and half increasingly captivating and titanic this year I think both of us probably and then broke at the critical hours, until Djokovic broke Murray contests. have seen things in each other’s moment in a gritty finale. and then saved two break points “I think both of us probably see games improve and that’s why there “I don’t think I played bad in the while serving for the match. each other’s games pretty well – are a lot of long rallies and the first set,” said Djokovic. “It was him “The last two minutes of the especially this year, because we’ve matches are incredibly tight.” playing really well, serving match is probably what decided it,” played so much,” Murray added. Murray took the initiative with extremely well. He lost only a said Murray. “He broke from 15-40 “You kind of know a little bit an almost flawless first set and couple of points on his first serve and then I had 15-40 next game and what to expect. I think that’s why earned an early chance to break in throughout the whole set, so that didn’t break, so that was the all the matches, especially the last the second at 1-1, but Djokovic rose says enough about his quality. Then moment that decided the match.” few, have been so close and decided to the challenge and forced a he made some unforced errors.” Tottenham don’t depend on Millwall ban 13-year-old boy for racist abuse as Dembele, says Villas-Boas Spurs condemn calls to criminalise fan chants BY FRANK DALLERES “We had good games without BY FRANK DALLERES mates Lee Chung-Yong, Benik The Society of Black Lawyers Mousa,” said the Portuguese. Afobe and Darren Pratley, but yesterday called for players guilty TOTTENHAM manager Andre Villas- “Against Chelsea we lost Gareth MILLWALL have banned a 13-year- Millwall condemned coverage of racism to be sacked and banned Boas insists the loss to injury of sum- Bale and Mousa and we gave them a old fan who racially abused suggesting a wider problem. for nine months. But Tottenham mer signing Mousa Dembele is not to run for their money even though Bolton’s Marvin Sordell during a “These reports were made with hit back at another of its proposals, blame for their recent slump in form. they were on an amazing run. match last month but issued a no knowledge of the facts and that Spurs fans who proudly use Former Fulham star Dembele “Good players are missed but this strong denial that it was anything created the impression that Bolton the term “Yid” should be reported helped Spurs string together four suc- squad is full of good players. I don’t other than an isolated incident. players were subjected to racial to police and treated no differently cess Premier League wins before think it has affected the tempo and The Championship club said the chanting or systematic abuse by to those who use it pejoratively. aggravating a hip problem while on dynamic – it’s more important to boy had written to the 23-year-old more than one individual,” the club “The club does not tolerate any duty with Belgium. have players fully concentrated.” forward, who represented Team said in a statement. form of racist or abusive chanting,” Since then they have lost three and Villas-Boas has decided against GB at the London 2012 Olympics, It is the latest racism controversy the club said. “Our guiding drawn one from five games, but sending Dembele for an operation, in to apologise for the incident at the to hit English football, following principle in respect of the “Y-word” Villas-Boas played down the midfield- the hope that physiotherapy will heal New Den on 6 October. allegations toward Chelsea’s John is based on the point of law itself – er’s absence ahead of tonight’s the 25-year-old in time for next Sordell used Twitter to complain Terry, Liverpool’s Luis Suarez and the distinguishing factor is the Europa League visit of Maribor. week’s derby at Arsenal. of abuse towards him and team- referee Mark Clattenburg. intent with which it is used.” UK100 | WALL ST | DAX | NASDAQ | S&P | CAC | GOLD | BRENT CRUDE | COPPER | EUR:USD | GBP:USD | USD:JPY | EUR:GBP | APPLE | RBS | VODAFONE | GOOGLE

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