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Monday Papers: ‘Massive softening’ of Basel bank rules

Monday Papers: ‘Massive softening’ of Basel bank rules

Top stories

  • Financial Times: International banks received a new year fillip when regulators announced that the first ever global liquidity standards would be less onerous than expected and not be fully enforced until 2019, four years later than expected.
  • Financial Times (Lex): Basel III: regulatory easing by the Basel committee on banking supervision will not prompt complaints from investment bankers.
  • Financial Times: The largest US lenders are close to a $10 billion settlement with regulators to resolve claims that they broke rules by seizing homes.
  • The Guardian: Rolls-Royce is facing allegations that it paid $2 billion in bribes to an executive involved with two Chinese airlines, in the latest claims attached to a corruption probe at the aircraft engine maker.
  • The Daily Telegraph: Financier Nat Rothschild has told Bumi's senior independent director Sir Julian Horn-Smith he must take action over the alleged financial misdemeanours at the coal miner or consider quitting the board.
  • Financial Times: Terra Firma, the private equity fund founded by Guy Hands, is planning to sell assets this year that are likely to include Odeon & UCI group, the European cinema chain, which could raise more than £1 billion.
  • Daily Mail: Senior management at luxury goods group Mulberry have been awarded almost £3 million of new share options, according to a report.
  • Financial Times: Phil Bentley is to step down from his role as managing director of British Gas amid a strategic review of activities at Britain’s biggest energy retailer by customer numbers.

Business and economics

  • Daily Mail: Miner Anglo American is said to be on the verge of appointing Mark Cutifani, head of AngloGold Ashanti, to replace outgoing chief executive Cynthia Carroll.
  • The Independent: The managing director of Warehouse, Meg Lustman, is to step down from the women's fashion retailer on a high note after it delivered a sharp jump in sales over Christmas.
  • Financial Times: JP Morgan is moving more than 30 of its trading venues and functions that execute, clear and process trades on to a single platform for the first time.
  • The Daily Telegraph: Aggreko, Sainsbury's and Morrisons are looking at adopting new rules on prompt payments for suppliers after Michael Fallon, the Business and Enterprise Minister, threatened to "name and shame" companies that refuse to comply.
  • Financial Times: Interest in passive investment strategies reached a new high last year with assets in exchange traded funds and products nearing the $2 trillion mark, a record.
  • The Daily Telegraph: Investment may not flow into the UK energy sector for several years because so much uncertainty remains over new policies, a leading renewable energy investment boutique has warned.
  • The Guardian: David Cameron has been accused of "economic insanity" in trying to put a gun to the head of his European partners after he warned on Sunday that he would block treaty changes to make the euro more effective unless he is allowed to repatriate powers to the UK.
  • The Independent: Recruitment firm Astbury Marsden says that some 35,115 new City jobs were created in 2012, down from 52,025 in 2011, representing a 35% decline.
  • Financial Times: France’s socialist government has hinted that a replacement for its controversial 75% income tax bracket may be at a lower rate but imposed for the rest of its five-year mandate, not just two years as previously proposed.
  • Financial Times: Argentina’s messy legal battle with hedge funds over its 2001 sovereign default has heightened calls to resurrect plans for a bankruptcy regime for countries, under the auspices of the International Monetary Fund.
  • Financial Times: The UK’s biggest companies are reining back their executives’ pay as shareholders step up their campaign to keep remuneration in check.
  • The Daily Telegraph: A tsunami alert threatened to disrupt efforts to salvage Shell’s beached Arctic drilling rig over the weekend.
  • The Daily Telegraph: Network Rail is on track to pay more than £33 million in expenses to its own staff for train journeys for the last two years, at the same time as passengers prepare for large increases in their fares.
  • Financial Times: Axa Real Estate, the property arm of the French insurer, has asked investors for £1 billion to buy buildings in the UK with unusually long leases, in the latest sign that the appetite for long-term property assets continues to grow.
  • The Daily Telegraph: The Indian government has demanded Vodafone pay $2.5 billion of taxes it claims the British telecommunications giant owes it.
  • Financial Times: Vittorio Missoni, business head of Italy’s Missoni fashion dynasty, has disappeared in a light aircraft off the coast of Venezuela, along with his wife and two friends, according to the Italian fashion group.
  • The Daily Telegraph: British boy band One Direction helped Sony Music Entertainment UK and Simon Cowell's music company, Syco, to more than double their profits last year after the group, formed on The X-Factor, stormed the American charts.

Share tips, comment and bids

  • Financial Times: Sony has teamed up with BMG to bid for Parlophone and other EMI labels being sold off by Universal Music, reuniting Sony and Bertelsmann four years after they disbanded their Sony BMG joint venture.
  • The Daily Telegraph: Private equity firm Silverfleet Capital is on the verge of buying manufacturing company Cimbria for €137 million.
  • Financial Times: Alitalia has again emerged as a political issue ahead of Italian elections in February, because the expiry of a lock-up of shares in Italy’s national airline has raised expectations that Air France-KLM will seek to increase its stake.
  • The Guardian (Comment): To fix the economy fix infrastructure, don't fund flagship projects.
  • The Guardian (Comment): George Osborne's window of opportunity to revive the British economy in time for 2015 is rapidly closing.
  • The Daily Telegraph (Comment): The Chinese are running away with thorium energy, sharpening a global race for the prize of clean, cheap, and safe nuclear power. Good luck to them. They may do us all a favour.
  • The Daily Telegraph (Comment): The Americans avoided the fiscal cliff - but the problem has been merely deferred.
  • Financial Times (Lex): Hormel: the shares have more than doubled the return of the wider market during the last decade.
  • Financial Times (Lex): China: Shanghai stock exchange has gained one-sixth since the start of December, but investors should not get ahead of themselves given the risks beneath a rosy surface.

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