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Saturday Papers: US Senate chops key obstacle to Trump tax reforms

And Concordia International in drug price rise scandal fights for life as debts mount.

 
Saturday Papers: US Senate chops key obstacle to Trump tax reforms

Top stories

  • The Daily Telegraph: A key hurdle to Donald Trump’s tax reforms has been eliminated, as last night’s US Senate vote in favour of a 2018 budget resolution means the president will only need a simple majority of 51 senators, rather than 60, to pass his tax cuts.
  • The Times: Concordia International, which was previously called AMCo, that imposed huge increases in the price of medicines for British patients has filed for debt restructuring, raising fears over its financial health.
  • Financial Times: John Flannery, the new chief executive of General Electric, has condemned its performance in the third quarter as “unacceptable”, as disappointing earnings showed the scale of the challenge he faces in turning the company round.
  • Financial Times: Profits at Daimler fell 17% in the third quarter as the German carmaker made repairs to existing models and poured resources into preparing for the future.
  • Financial Times: BMW's Munich headquarters were raided by the European Commission’s antitrust arm last week following allegations in the summer that the biggest carmakers in Germany had colluded for decades.
  • Financial Times: Two board members of The Weinstein Company tried for years to investigate co-founder Harvey Weinstein, only to run into “super lawyers” who acted for him after allegations of sexual misconduct and questionable financial dealings and expenses.

Business and economics

  • The Guardian: Hurricanes Harvey, Irma and Maria, along with two recent earthquakes in Mexico, will cost the insurance industry $95 billion (£72 billion), according to estimates released on Friday.
  • The Daily Telegraph: Red Kite, co-founded by former Conservative party treasurer and peer Michael Farmer known as 'Mr Copper', is suing Barclays for at least $850 million (£645 million) for alleged market manipulation of the copper market for three years up until 2013.
  • The Guardian: Police Scotland is looking into reports it has received about Royal Bank of Scotland’s treatment of small business customers.
  • Financial Times: Procter & Gamble announced another quarter of sluggish sales just a week after fending off an activist investor who argued the consumer goods giant had been too slow to adapt to changing shopping habits.
  • Daily Mail: John Lewis has vowed to reinvent the department store as the retailer fights back against the threat of online shopping.
  • Daily Mail: InterContinental Hotels Group boosted its revenue per available room – the hospitality industry’s preferred performance yardstick – by 2.3% in the three months to September, its strongest growth since 2012.
  • The Times: A £227 million five-year contract from the Department for Work and Pensions has granted some much-needed respite to Interserve.
  • The Daily Telegraph: More jobs are likely to be created at Bombardier's plant in Belfast once its deal with Airbus completes, Business Secretary Greg Clark said after meeting executives from both firms.
  • Daily Mail: Bentley has named Adrian Hallmark as the new chief executive of the Crewe-based luxury car brand, Hallmark is moving from Jaguar Land Rover where he has been group strategy director for the past four years, and in charge of the Jaguar brand for nearly three years before that.
  • The Times: DX Group made zero profit in this dismal year during which the logistics group had to contend with a failed merger, a police investigation, an investor revolt and lost key staff.
  • The Times: Acacia Mining reported that revenue had fallen to $171 million in the three months to September after a ban on unprocessed gold ore exports since March cost it about $90 million.
  • The Daily Telegraph: Activist investor Elliott Advisors is pushing for a break up of artificial hip and knee maker Smith & Nephew after building up a stake in the firm.
  • The Daily Telegraph: Pilots at Ryanair's largest base have rejected an offer from the carrier to improve their pay and conditions, in a move set to worsen staffing shortages.
  • Financial Times: Police revealed on Thursday that they had raided 20 businesses in the City of London as part of a crackdown on a boiler room investment fraud, after almost 700 people reported losing more than £18m in the first half of 2017.
  • Financial Times: Japan equity funds suffered record outflows in the past week as traders and investors turned defensive after a stirring run up for share prices ahead of the country’s snap elections on Sunday.

Share tips, comment and bids

  • Daily Mail: Debt collector Cabot Credit Management is to float for £1 billion on the London Stock Exchange – overseen by the chairman of payday loan firm Wonga.
  • The Daily Telegraph: Troubled commodities trader Noble Group pulled its share from the Singapore market on Friday amid speculation that Vitol may be poised to snap up its global oil liquids business in a $1 billion (£760 million) swoop.
  • The Times: The Singapore-based property tycoon who wants to take Millennium & Copthorne Hotels private faces pressure to sweeten his offer after institutional shareholders threatened to deploy a blocking stake.
  • The Times (Comment): In the Saudi deal, size isn’t only thing that matters.
  • Financial Times (Lex): Thames Water: poorer service and higher costs reflect mediocrity.
  • Financial Times (Lex): GE: reputation for managerial excellence has been damaged.
  • Financial Times (Lex): P2P lending: UK industry should learn from the US and temper pace of loan expansion.
  • Financial Times (Lex): AB Volvo: plenty in the tank for the long haul.

2 comments so far. Why not have your say?

alan franklin

Oct 21, 2017 at 15:47

So "Activist investor Elliott Advisors is pushing for a break up of artificial hip and knee maker Smith & Nephew after building up a stake in the firm. "

What do any of these fast quid operators know about running a company or indeed making or doing anything practical?

I hope long term shareholders give them the raspberry they deserve. They can then go off and play in a casino.

report this

richard tomkin

Oct 21, 2017 at 18:06

@ franklin : I agree with you about Smith & Nephew.As a manufacturer,this case is rather different from when Elliott had a tilt at Alliance Trust,that dinosaur from Dundee.Of course they were out to make a killing for themselves,but I have to say their short stay on the share register overall benefited shareholders,the main change being to share out the investment management to several different groups,much in the same way as Witan.I don't think the comatose directors of Alliance would ever have done this on their own initiative.So some activist moves are beneficial ; others are most definitely not.

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