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EUROCRATS have moved a step clos-
er to imposing a devastating tax on
the City, sparking condemnation
from industry groups.
In a bid to boost Brussels budget
by five per cent, the EU Parliament
has voted to slap a Tobin, or so-
called Robin Hood tax, on all
financial transactions that pass
through the City.
The Association for Financial
Markets in Europe (AFME), a region-
al industry body, yesterday con-
demned the move, which would add
to a mounting burden of regulation
that is due to swamp the financial
sector over the coming months.
AFME chief executive Simon Lewis
said: Calls for a financial transac-
tion tax are being made against the
backdrop of several significant new
taxes or levies already being intro-
duced by individual member states.
Before raising new taxes on the
sector, policymakers need to have
accurate data about the tax contri-
bution it is already making, to avoid
making decisions in the dark.
The tax would levy a 0.05 per cent
fee on the total value of every type
of financial transaction that goes
through any institution in Europe,
pushing up the cost of economic
activity at a time when the region is
struggling to stage a convincing
recovery.
It would hit the foreign exchange
markets particularly hard, a trade in
which London is a global leader.
The EU parliament wants to
impose the tax in order to raise
200bn (172bn) to fund increasing
spending from 2014 onwards.
It also claims the tax will combat
poverty and climate change and
tackle the highly damaging trading
patterns in financial markets, such
as some short-term and automated
high-frequency trade transactions,
and curb speculation.
The parliament voted in favour of
the budget rise and accompanying
tax 397 to 246, by a lesser margin
than the 529 to 127 by which it
voted in favour of the tax in March.
The vote requires member states
consent through the European
Council to become law, but this sec-
ond vote will ratchet up the pres-
sure on the European Commission
to consider ways of imposing the
tax.
Syed Kamall, Conservative MEP
for London, said: The EU parlia-
ments vote in favour of a transac-
tion tax is particularly
disappointing given that they did
not even wait for the European
Commissions initial impact assess-
ment before making their decision.
Unilaterally imposing the tax
would send financial activity to
lower cost destinations outside the
EU and damage Londons attractive-
ness as a financial centre.
And banks would simply pass on
the costs of the tax to their cus-
tomers, hitting savers and
investors.
FURY AS EUROCRATS
VOTE FOR TOBIN TAX
BY JULIET SAMUEL
TAX

Simon Lewis, chief


executive of AFME,
warned a Tobin tax
would add to the already
growing tax burden
www.cityam.com Issue 1,400 Friday 10 June 2011 FREE
BUSINESS WITH PERSONALITY
Certified Distribution
04/04/11 - 01/05/11 is 103,899
LONDONS
FINANCIAL
ELITE
MEETS
WILLS
AND KATE
ARK HEDGIE EXTRAVAGANZA
RAISES MILLIONS FOR GOOD
CAUSES
News
2 CITYA.M. 10 JUNE 2011
Dovish Bank holds rates again
THE Bank of England is increasingly
expected to anchor interest rates at
their historic low for the duration of
2011, prompting lenders to slash the
interest on fixed rate mortgages.
Two-year fixed rate loans dipped to
their lowest cost since the beginning
of the year yesterday as Bank rate was
held at 0.5 per cent for the 27th
month in a row. An average two-year
secured loan costs 4.41 per cent, down
from 4.58 per cent in March, the web-
site Moneyfacts revealed yesterday.
Five year fixed rates are down to
5.41 per cent, it emerged.
The financial markets are not pric-
ing in an interest rates hike until May
of next year, commented Markits
Chris Williamson, after the Bank con-
firmed its latest decision.
On the basis of the Banks outlook
for inflation, the door is wide open to
a rate hike, added Alan Clarke of
Scotia Capital.
However, the committee has
shown virtually no inclination to
walk through that door and deliver a
rate hike.
Separate data released yesterday
exposed only modest progress in the
effort to rebalance the UK economy
towards exports.
Yet despite a narrowing of the UKs
visible trade gap in April (from 7.7bn
to 7.4bn), the surplus in services also
shrank by the same amount (from
4.9bn to 4.6bn).
The overall trade gap was effective-
ly unchanged, at 2.8bn.
There is no good news in todays
trade balance figures, said Nida Ali
of the Ernst and Young Item Club.
The trade deficit narrowed for the
wrong reason, namely a fall in
imports rather than an increase in
exports, adding further confirmation
to the fact the domestic demand in
the UK remains exceptionally weak.
Importers morale has sunk to an
all-time low due to the effects of high
inflation, a survey by Travelex
revealed.
Three in five businesses that trade
internationally are concerned over
rising inflation and fewer than half
thought a depreciated pound would
result in an export-led recovery.
BY JULIAN HARRIS
ECONOMICS

Inflating away the UKs national debt


ONCE again, the Bank of England
chose to keep interest rates on hold
yesterday. It is now looking like it
wont be raising rates until next year
at the earliest. Forget about strict
inflation targeting; its new policy
appears to be to keep monetary policy
as loose as possible for the foreseeable
future, as long as inflation doesnt
breach an unacceptable threshold (say
6-7 per cent) and that pay rises dont
catch up too much with price rises.
The goal is to keep the cost of borrow-
ing down, depress sterling to boost
exports, help those with big mort-
gages and turn a blind eye to rampant
inflation, which is slashing the value
of wages and savings (and thus cutting
consumer spending).
The Banks approach and the very
different attitude of the European
Central Bank (ECB), which will soon be
hiking rates again needs to be seen
in the context of rival deleveraging
strategies. There are three ways a
country can cut its debt burden. It can
actually pay back its debts perhaps
by selling assets, as Gordon Brown did
when he auctioned off 3G licenses in
2000 for a ridiculously high 22.5bn
and actually cut the national debt (not
just the deficit). Such a fiscally conser-
vative approach is that favoured by
the ECB and the Bundesbank. Most of
the time, however, actually repaying
debt is too tough as it involves run-
ning a budget surplus, something
politicians dont have the self-control
to achieve. The best they can usually
achieve is to reduce the rate at which
they accumulate extra debt to sta-
bilise or cut debt to GDP ratios.
The second possibility is for a state
to default by failing to repay some of
its debt or by missing an interest pay-
ment. The UK, thanks to the coali-
tions austerity policies, is not going
down that route, unlike Greece and
several other Eurozone countries. The
US wont either, despite its profligacy:
it could always print more dollars if it
ever were to run out of tax cash.
Actual defaults are never painless:
they destroy financial systems and
impoverish citizens. By law, banks,
pension firms and insurance compa-
nies have to buy lots of government
debt, on the assumption that it is risk-
free; default guarantees disaster. The
default can be dressed up as a renego-
tiation or a reprofiling but the litmus
test is whether creditors lose out.
Another, legally sounder kind of
semi-default is to ditch off-balance
sheet pledges to electorates. In many
countries, public sector workers have
been promised generous pensions, for
example. The UK and everybody else
will have to go down that road.
The third way to deleverage is to
inflate away debt or to slash its value
by engineering a devaluation. This is
only possible for countries able to bor-
row in a fiat currency they control.
Greece cant do this as it is part of the
euro and doesnt control the ECB; its
bonds are in a foreign currency. The
UK and the US, on the other hand, can
and are doing this.
True, the British governments ben-
efit payments go up automatically if
prices rise, while index-linked gilts are
fully protected from inflation, both in
terms of their coupons and of their
principal. But while these special
kinds of bonds cant be inflated away,
78 per cent (and rising) of outstanding
gilts are not protected in this way
against inflation and are thus losing 5
per cent or so a year of their value.
Deleveraging is desperately important
it is a shame that once again so
many countries will be taking the easy
way out.
allister.heath@cityam.com
Follow me on Twitter: @allisterheath
Mervyn King is expected to have voted to keep interest rates on hold
NEWS | IN BRIEF
Tube workers Wimbledon strike
London Underground drivers will strike
during Wimbledon, threatening travel
chaos for tennis lovers. The first strike
will take place between 8pm on 19 June
and 2am on 20 June, said the union.
Three more strikes covering 27 June, 30
June and 1 July were also announced by
the RMT union. The dispute centres
around the sacking of union activist. A
Transport for London spokesman called
the RMT's decision to strike "completely
mystifying".
Credit Agricole in China deal
Credit Agricole, Frances third-biggest list-
ed bank, said yesterday it has agreed to
sell stakes in its CLSA and Cheuvreux
brokerage brands to Chinas Citic for a
total amount of $374m (228m). The
deal comes as Credit Agricole embarks on
a four-year plan to focus on retail banking
in France and abroad to boost growth
after the crisis cut short a push into
investment banking and complex financial
products. The aim is to unite pan-
European Cheuvreux with the more Asia-
focused CLSA to tap into investment
banking opportunities in the east and to
create a global brokerage platform.
EDITORS LETTER
ALLISTER HEATH
7
th
Floor, Centurion House,
24 Monument Street, London, EC3R 8AJ
Tel: 020 7015 1200 Fax: 020 7283 5334
Email: news@cityam.com www.cityam.com
Editorial
Editor Allister Heath
Deputy Editor David Hellier
News Editor David Crow
Night Editor Katie Hope
Business Features Editor Marc Sidwell
Lifestyle Editor Zoe Strimpel
Sports Editor Frank Dalleres
Art Director Craig Gaymer
Pictures Alice Hepple
Commercial
Sales Director Jeremy Slattery
Commercial Director Harry Owen
Head of Distribution Nick Owen
Editorial Statement
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self-regulation overseen by the Press Complaints
Commission. The PCC takes complaints about the
editorial content of publications under the Editors
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THIRD INDEPENDENT DIRECTOR TO
QUIT ENRC BOARD
A third independent director is set to
leave the board of FTSE 100 miner
Eurasian Natural Resources
Corporation, thrusting the London-
listed Kazakh company further into
turmoil. Two prominent City figures,
Sir Richard Sykes and Ken Olisa, were
ousted from ENRC on Wednesday.
Now, according to two people close to
the situation, Mehmet Dalman, the
former investment banker, is set to
resign, leaving only one other inde-
pendent director on the board.
ROW ERUPTS OVER ROYAL MAIL
WRITE-OFF
A storm has broken over government
plans to write-off a large part of Royal
Mails 1.7bn debt as historic legisla-
tion to allow privatisation of the
state-owned postal operator passed its
final parliamentary stage.
DIAGEO NEARS SEC SETTLEMENT
OVER LONG-RUNNING ASIAN BRIBERY
PROBE
Diageo, the worlds largest spirits
company, is close to a settlement
with the US Securities and Exchange
Commission under which it would
pay more than $10m to end a long-
running bribery investigation, peo-
ple familiar with the matter say.
Diageo, the UK-based owner of the
Smirnoff vodka brand and Guinness
stout, has been under SEC scrutiny
for several years as the agency investi-
gated whether Diageo employees or
contractors paid bribes to govern-
ment officials in South Korea, India
and Thailand.
02 WARNS OFCOM ON AIRWAVES
SELL-OFF REGULATION
Britain could fall further behind
with the construction of high-speed
mobile broadband networks after O2
claimed that a planned airwaves sell-
off would breach state aid rules.
APPLE BACKS DOWN IN BATTLE OVER
RIGHT TO SELL APPS
Apple has caved in to the app makers
by relenting over its subscription
rules. In a rare victory for suppliers,
Apple yesterday scrapped an edict
that prevented thousands of compa-
nies from selling content designed
for iPods, iPhones and iPads inde-
pendently. Apple will continue to dis-
courage users from buying content
without going through its store, but
will no longer ban the practice alto-
gether.
LOREAL PEACE TREATY TORN UP AS
DAUGHTER GOES TO COURT
The family feud that racked the
LOral empire last year broke out
again yesterday when it was revealed
that the daughter of heiress Liliane
Bettencourt, Franoise Bettencourt-
Meyers has sought to have her placed
under legal protection.
CHRISTINE LAGARDES VICTORY A
DONE DEAL SAYS IMF RIVAL
Christine Lagardes appointment as
IMF Managing Director is a done
deal, Grigori Marchenko, the IMF
candidate backed by the former Soviet
block, has said, as he prepares to back
out of the race as early as this evening.
Marchenko said that G8 countries
may have agreed to back the French
finance minister even before the sud-
den resignation of Dominique Strauss-
Kahn.
DEFAULT FEARS GRIP GREECE AS DEBT
INSURANCE SOARS
The cost of insuring Greek sovereign
debt has been pushed to a record high
amid fresh fears the indebted country
is moving closer to default. There
were protests yesterday as Greeces
prime minister George Papandreou
sought to get further austerity meas-
ures approved.
SUPREME COURT AFFIRMS JUDGMENT
AGAINST MICROSOFT
The US Supreme Court unanimously
upheld a $300m patent-infringement
verdict against Microsoft, rejecting
the software makers attempts to
lower protections for challenged
patents. A federal jury made the
award yesterday to i4i Inc. after find-
ing that Microsofts Word software
programme infringed a patent held
by the Toronto technology company.
ANGLO IRISH CLOSE TO SALE OF US
PORTFOLIO
Anglo Irish Bank is close to putting its
entire $10bn portfolio of US commer-
cial real-estate loans up for sale as
soon as this month, according to peo-
ple familiar with the matter. Such an
offering would amount to one of the
largest portfolios of commercial-prop-
erty assets to hit the market since the
2009 sale of Corus Bank assets.
WHAT THE OTHER PAPERS SAY THIS MORNING
GOLDMAN Sachs yesterday said it
would pay a $10m (6.1m) fine and
stop giving favoured clients trading
ideas developed at internal gather-
ings known as trading huddles.
Goldman analysts had been
accused of giving priority clients
short-term trading tips that may have
been at odds with the banks pub-
lished research. Analysts and traders
began holding huddles in 2006.
A Goldman spokesman said the
bank is pleased to settle the matter
with Massachusetts securities regula-
tor. The settlement includes no
admission of fraud.
SHAREHOLDERS in gaming group
Rank are considering launching a
complaint to the Takeover Panel over
Hong Kong-listed Guocos approach
for the firm.
At least two institutional investors
are understood to be concerned that
some exiting shareholders have con-
nections with Guoco and could have
been acting in concert over the offer,
which analysts say significantly
under-values the firm.
A source close to the bid told City
A.M. some investors were considering
their position but declined to name
those planning to approach the
Takeover Panel. According to rule
eight of the takeover code, any parties
working in concert with Guoco
would have had to declare their posi-
tion by noon yesterday.
Guoco, which is controlled by the
Malaysian billionaire Quek Leng
Chan, strongly denied it solicited
shareholders and expressed surprise
at the strong take-up of its offer.
A Takeover Panel source said the
body will consider all complaints.
The Rank board responded with a
strongly worded statement yesterday
urging remaining shareholders not
to accept the bid. It said: The board
continues to believe that Guoco
Groups final offer of 150p per share
substantially undervalues Rank and
fails to reflect its underlying value
and prospects, including the signifi-
cant potential upside related to VAT
claims.
Guoco was obliged to make an
approach for the company after
acquiring a sizeable stake from
Malaysian gaming group Genting
Berhad, taking its holding to 41 per
cent. The bid of 150p a share valued
Rank, which runs the Mecca Bingo
and Grosvenor Casino chains, at
586m. An unexpectedly high 15.6
per cent accepted the offer, giving
Guoco a controlling stake without
paying a premium.
Panmure analyst Simon French
called the bid very disappointing,
adding: We wonder which share-
holders considered 150p a share a fair
price to surrender compared to our
take-out estimate of 248p a share.
Guoco has signalled it is willing to
work with the current management
structure and will maintain Ranks
public listing.
Investor fury
over Guocos
Rank offer
TROUBLED social network MySpace is
in final talks over a sale to Activision
Blizzard chief executive Bobby Kotick.
It is understood Koticks involve-
ment is not linked to his Activision
role.
MySpace owner News Corp, which
paid $580m (354m) for Myspace in
2005, may seek to retain a 20 per cent
holding as part of the offer, according
to people close to the deal.
Kotick is now the preferred bidder,
edging ahead of other runners includ-
ing founder Chris De Wolfe, music
video site Vevo, and current Myspace
boss Mike Jones, who has partnered
with private equity backers.
Earlier this year News Corp held
early-stage talks with Vevo over
exchanging its ownership of Myspace
for a stake in a new venture.
THE
LUXURY
SALE
Flights and holidays in
First and Business Class.
Book by 21 June at ba.com
The Luxury Sale at ba.com includes selected destinations in First, Club World, and Club Europe from London Heathrow, London Gatwick and London City.
Limited seats available, particularly during peak periods. Prices are correct as of 11 May 2011. All ights have a maximum stay of 355 days. All bookings
have a minimum stay of a Saturday night. First, Club World and Club Europe ights are non-changeable, non-transferable and non-refundable. Some
destinations require bookings to be made a minimum of 28 days before the date of outbound departure and some a minimum of 14 days before
the date of outbound departure. See ba.com/luxury-sale for details. Bookings must be made by midnight on 21 June 2011 for travel between 9 June
2011 and 31 December 2011. Holidays (Flight + Hotel or Flight + Car Hire) are ATOL protected under British Airways Holidays Ltd ATOL number
5985. For selected destinations, eligible travel dates and minimum booking criteria period, and for full terms and conditions visit ba.com/luxury-sale
MySpace is in talks
with Activision boss
THE 1.15bn (1.02bn) float of Atento,
the call centre unit of Spains biggest
telecoms company Telefonica, was in
doubt last night after bankers had to
slash the offer price to lure investors.
STJ Advisors, the boutique capital
markets bank that has in the past
accused larger banks of undervaluing
floats, is advising on the deal, with
Goldman Sachs and Citigroup among
the book-runners.
Telefonica confirmed that the banks
had abandoned the 19.25-25 price
range in favour of a lower fixed price of
17.25, and that it has pushed back its
listing timetable by one day.
Spanish Atento
float in doubt
Goldman fined
for priority tips
BY STEVE DINNEEN
GAMING

BANKING

CAPITAL MARKETS

Rank chief exec Ian


Burke is fielding a
takeover bid from
Guoco, a Hong
Kong-based firm
controlled by Quek
Leng Chan
Picture: REX
BY STEVE DINNEEN
TECHNOLOGY

News
3 CITYA.M. 10 JUNE 2011
REGULATION that has forced the
City to pay almost 500m to com-
pensate clients of failed investment
firms in the past three years needs
urgent reform, an industry leader
said yesterday.
Douglas Ferrans, chairman of
the Investment Management
Association, called for an inde-
pendent review into the Financial
Services Compensation Scheme,
which charges investment man-
agers for the compensation bill
when their peers collapse.
The FSCS caused an outcry
among fund managers last year
when it billed the industry 230m
for compensation after the collapse
of investment product provider
Keydata Investment Services.
Wealth managers such as
Charles Stanley, Rathbones and
Brewin Dolphin have been outspo-
ken in their criticism of the
scheme, which bit into their prof-
its after being imposed without
warning.
Ferrans said the Financial
Services Authority, which manages
the FSCS, needed to do a better job
of regulating the companies to
avoid their failing at such cost.
The scale of recent failures
can not be ignored, he said. All
the firms in question were regulat-
ed by the FSA. And warning lights
had been flashing over them for
some time.
The unpredictability of the levy
makes the UK a less attractive place
for international funds to invest,
he added. There is a need for these
events to be the subject of an inde-
pendent review and for lessons to
be learned.
Calls for reform of
Keydata charges
BY ALISON LOCK
FUND MANAGEMENT

Sir Stuart stood down as chairman in January Picture: Micha Theiner/City A.M.
HNN365/HDFC/CA/02
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be constructed as an inducement or offer or invitation to offer for loan to buy any property in India by HDFC branch, UK and /or
HDFC India. Any interest expressed will be processed in India, and will be subject to HDFC Indias Internal Credit, Technical and
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Fair, you will get all the information you need. Well not only help
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your dream home.
SIR Stuart Rose was handed an
8.1m golden goodbye when he left
Marks & Spencer last year, according
to the retailers annual report.
The former chief executive and
executive chairman received a pay
packet worth 2.77m in 2010-11,
compared to 2.6m a year earlier,
plus over 5m in shares.
Marc Bolland, who became chief
executive in May 2010, received
4.38m, including 2.6m compensa-
tion for rewards he would have
received at Morrisons. He was also
awarded share options that will vest
over the coming years and could
earn as much as 9.4m if the compa-
ny meets its highest performance
targets.
M&S has revamped its executive
pay plan and said Bolland and
finance director Alan Stewart had
agreed to have their basic salaries
frozen at 975,000 and 550,000
respectively for the 2011/12 year.
Sir Stuart Rose
got an 8.1m
golden goodbye
BY HARRY BANKS
RETAIL

FOR MORE NEWS


@
www.cityam.com
News
5 CITYA.M. 10 JUNE 2011
GLOBAL FINANCIERS
WALK PURPLE CARPET
AT GLITZY HEDGIE BASH
T
HE Citys big-name philanthro-
pists descended on Kensington
Palace gardens last night for the
tenth anniversary gala hosted
by Absolute Return for Kids (Ark).
Walking the purple carpet to the
cavernous marquee in Perks Field
were One Hyde Park developer Nick
Candy; Elisabeth Murdoch, chair-
man and chief executive of Shine
Group; Winton Capital founder
David Harding; former Man Group
chief executive Lord Stanley Fink;
and Pierre Lagrange, co-
founder of GLG
Partners.
However, the galas
guests of honour were
the Duke and Duchess
of Cambridge, who
last night
announced a new
four-year partner-
ship between Ark
and The
Foundation of
Prince William,
Prince Harry and
The Duchess of
Cambridge, engi-
neered with Arks
chairman Ian
Wace and founding chairman Arki
Busson (pictured below).
The importance of having William
and Catherine on board cannot be
underestimated, said Busson,
because it will help the international
childrens charity reach the new
generations. We need to reach
young philanthropists, he said.
There is a great deal [Ark and The
Princes Trust] can do together.
So what exactly will that involve?
Ill let the Duke speak about
that, said Busson and
William later obliged in his
after-dinner address to the
900 guests, where he out-
lined the partnerships
plans to transform
the lives of thousands
of young people.
Programmes from
this partnership will
raise aspirations,
broaden horizons and
encourage young people
to achieve what may have
seemed to them unachiev-
able, said the Duke.
Together, we have
tremendous potential to
make a difference.
Above: Shanghai Tang founder David Tang with his wife Lucy
Right: Paul Marshall, co-founder of Marshall Wace Pictures: Micha Theiner/City A.M.
Left: GLG Partners co-founder Pierre Lagrange
(right)
Below: Former Man Group chief executive
Stanley Fink
The Capitalist
6
Below: Peter Sands, chief executive of
Standard Chartered
Left: Shine Group chief Elisabeth Murdoch
and husband Matthew Freud
Right: Tidjane Thiam, chief executive of Prudential
Above: David Harding, founder of Winton Capital
Left: Model and writer Sophie Dahl
Above: Candy & Candy co-founder Nick Candy with girlfriend Holly Valance
Below: Former City minister Lord Myners with wife Lady Alison Myners
EDITED BY
HARRIET DENNYS
Got A Story? Email
thecapitalist@cityam.com
Follow The Capitalist
on Twitter: @citycapitalist
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ADVISORY bank Lazard has hired a
team of credit experts in London to
help banks and investment man-
agers address a vast overhang of
structured products still plaguing
their balance sheets.
The team, to be led in Europe by
managing director Alan Patterson,
will give strategic advice on how to
rebalance or wind down the bil-
lions in non-core assets such as
collateralised debt obligations
(CDO) and commercial mortgage-
backed securities (CMBS).
Patterson estimates there are
2 trillion (1.8 trillion) of asset-
backed securities in Europe,
100bn of them CMBS due to
mature by 2014.
With values for
many of the prod-
ucts having
dropped through
the floor after the
financial crisis, many institutions
have held onto the products for fear
of taking hits to their earnings state-
ments when they have to mark them
to market.
Patterson said: There are lot of
institutions that invested heavily in
the structured credit space.
Constraints on the funding available
and changing regulation on capital
have all come together to
make these portfolios
less relevant than
they were once
thought to be.
Lazard, led in
London by William
Rucker (pictured), has
made the move follow-
ing a spate of hiring by
UBS to boost its struc-
tured credit products
trading team. The bank
hired 12 managing
directors to its
structured credit
desk last year.
Lazard beefs
up non-core
asset advice
US LENDER Citigroup has admitted
computer hackers had breached its
network and accessed the data of
about 200,000 bank card holders in
North America, the latest in a string
of cyber attacks on high-profile com-
panies.
Citi said the names of customers,
account numbers and contact infor-
mation, including email addresses,
were viewed in the breach.
The bank joins a growing number
of companies that have suffered
cyber attacks.
Japanese technology firm Sony
had its Playstation network hacked,
and drew criticism for a delay in
telling account holders their infor-
mation had been stolen.
Internet giant Google last week
revealed a major attack on its Gmail
accounts targeting, among others,
US government officials. Google said
the attack appeared to originate in
China.
During routine monitoring, we
recently discovered unauthorised
access to Citis Account Online in
the US. A limited number roughly
one per cent of Citi bankcard cus-
tomers account information was
viewed, the bank said.
We are contacting customers
whose information was impacted.
LLOYDS is mulling an initial public
offering (IPO) of the 620 branches that
it is being forced to sell under EU com-
petition law.
The bank is now pursuing a dual
track approach to offloading the
branches, with a float or sale both on
the table. A float would see Paul Pester,
now the managing director for the
branches, become chief executive of a
new standalone bank.
But in the mean time, Lloyds is
pressing ahead with a sale and has
been finalising an information memo-
randum to kick off the process this
week. Chief exec Antnio Horta-Osrio
said the bank hopes to have received
serious offers by the end of July.
On Wednesday he was accused of
trying to present the Vickers
Commission, which wants Lloyds to
dispose of more than 620 branches,
with a fait accompli when the panel
produces its final report on bank
reform in September.
Citi says cyber
hack breached
bank card data
Lloyds considering float
alongside sale of branches
Lloyds chief Antnio Horta-Osrio has sped up the sale Picture: Micha Theiner/City A.M.
BY JULIET SAMUEL
BANKING

BANKING

News
CITYA.M. 10 JUNE 2011
BY JULIET SAMUEL
BANKING

9
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STRUGGLING care home operator
Southern Cross will not receive a gov-
ernment bailout, but the department
for business is making sure its banks
maintain its flow of credit properly,
Vince Cable said yesterday.
The news came as Southern Cross
told its creditors that it plans to hand
back 132 care homes to their land-
lords, which would then likely be
wound down.
The firm has already picked out 47
homes that would be handed back
over the summer, with a further 85
expected to go in the next two to five
years, a person familiar with the com-
pany said yesterday.
Speaking in Parliament, Cable said
there was no way to bail out the
firm despite its rental woes.
My colleague the minister of state
has been in touch with the banks to
ensure that the process of managing
their credit in this critical period is
properly managed, and that it hap-
pens in an orderly way, Cable said.
Southern Cross hired accountant
KPMG in February to lead its debt
restructuring and is being advised by
lawyers Clifford Chance and invest-
ment bank Greenhill as it fights to
avoid going into administration.
The firm has announced plans to
cut 3,000 of its 44,000 staff to reduce
its costs. It has also asked landlords to
accept 30 per cent less rent for the
next four months.
Cable confirmed the department
for business, innovation and skills is
investigating the role of private
finance, particularly private equity, in
running care providers. Southern
Cross was owned by private equity for
four years from 2002 to 2006.
Cable vetoes
a Southern
Cross bailout
BRITISH shale gas firm 3Legs
Resources has listed on Londons
alternative investment market (AIM)
in a deal valued at about 77.2m.
The firm, which specialises in the
exploration and development of
unconventional oil and gas
resources, listed its shares yesterday
at 190p per unit.
3Legs raised about 62.5m in new
shares in order to exploit the com-
mercial potential of a gas basin in
Poland, where the majority of its
operations are based.
Several selling shareholders,
including father and son directors
Robert and William Jeffcock, also
sold shares valued at a total of
14.7m.
The listing price values the firm at
approximately 161m.
Shale natural gas drilling has expe-
rienced a boom in the US in recent
years, but development in Europe
has been slow so far due to environ-
mental confirms.
Chief executive Peter Clutterbuck
said: We have a substantial growth
opportunity beyond the Baltic Basin,
with over 1m additional gross acres
held across Poland and Germany. I
look forward to providing our share-
holders with updates on our progress
in due course.
Shale gas and oil specialist floats in London
BY ALISON LOCK
HEALTHCARE

ENERGY

Cares for 31,000 of the UKs 230,000 care


home residents
Can not pay its 230m rent bill on its 758
homes so has asked for a 30 per cent deferral
Will cut 3,000 of its 44,000 staff
FAST FACTS | SOUTHERN CROSS CRISIS
FORMER Tory energy minister Tim
Eggar has been named as the new
chairman of 3Legs, in his second
appointment to the board of a
growing oil and gas firm this year.
Eggar is already chairman of
Cape, the oil services group poised
to move from the Aim junior index
to Londons main market, as well
as a string of other energy firms.
He oversaw energy policy in John
Majors government during the
1990s, before standing down at the
1997 election.
The son of county cricket player,
he was elected to parliament in the
Tory landslide in 1979 after work-
ing in the City as a corporate finan-
cier at Hambros Bank.
He served as a junior minister
under Margaret Thatchers govern-
ment in the 1980s, and went on to
fulfill a variety of trade and indus-
try posts.
After leaving parliament, he
went to work in the energy indus-
try in the United States and took
up a seat as the president of the
Russo-British Chamber of
Commerce.
Last year, then shadow chancel-
lor George Osborne invited Eggar
to review the tax treatment of the
North Sea oil and gas industry.
Although never published, the
review raised hopes among
smaller UK oil companies that
government policy might
change.
It was anticipated that the
report would call for a more
favourable tax regime for
firms operating in the
North Sea a
far cry from
the tax raid
that was
performed
by chancel-
lor George
Osborne ear-
lier in the
year.
BY RICHARD PARTINGTON
ENERGY

News
10 CITYA.M. 10 JUNE 2011
TIM EGGAR
Ex-Tory energy minister takes on role at 3Legs
CITY financier Nat Rothschild and for-
mer BP chief executive Tony Hayward
set out plans yesterday to raise 1bn in
a flotation of their investment vehicle
Vallares in London.
The scion of the banking dynasty
and former City heavyweight have
joined forces to launch Vallares as a
cash shell to acquire and expand high-
growth but cash-poor emerging mar-
ket oil and gas companies.
It will take stakes in compa-
nies valued at 3-8bn, offering
them Vallares shares instead of
a cash buyout, to allow the
original management to
retain equity in the business as
it grows.
The vehicle is a bigger repli-
ca of Rothschilds first such
venture, Vallar, which listed last
July and raised 707m to invest
in resources outfits.
It also marks
H a y wa r d s
return to the
boardroom after a ten-month exile fol-
lowing his resignation from BP in the
wake of the Deepwater Horizon disas-
ter last July.
Vallar is now worth 2.5bn after
investing in a $3bn (1.8bn) reverse
takeover of Indonesian coal assets
Berau Capital and Bumi Resources,
both owned by the Bakrie family.
Vallar is a proven success and it is
clear that the concept applies equally
well in the oil and gas sector, said
Hayward. Many high quality interna-
tional resource assets have been
acquired by family owned or
private companies in the
last few years.
We will have the cash,
access to funds and the
capability to unlock value
where the current owners
have neither the capital
nor technical expertise to
develop the assets.
Vallares will issue 10 shares
and expects to close the
order book and publish
a prospectus on or
around 20 June.
Rothschild
and Hayward
in 1bn float
BY ALISON LOCK
CAPITAL MARKETS

OPHIR Energy, an oil and gas firm


backed by Britains richest man
Lakshmi Mittal, has said it plans to
list on the London Stock Exchange in
a deal that values the company at
more than $1bn (607m).
The Africa-focused exploration
firm is seeking up to $400m from an
initial public offering (IPO) and is
expected to go straight into the FTSE
250 index.
The company is 21 per cent backed
by Mittal Group, the Indian steel mag-
nates investment vehicle.
Ophir said it would use the pro-
ceeds from the share raising to
finance further exploration drilling.
It said it aims to complete the list-
ing in July, subject to market condi-
tions.
Credit Suisse and JP Morgan and
RBC Capital Markets are acting as
joint bookrunners, whilst Oriel
Securities and Standard Bank are also
syndicate members.
Lexicon Partners is acting as finan-
cial adviser to the company.
Alan Stein, founder of Ophir and
executive deputy chairman, said: We
feel that now is the right time to
bring the company to the public mar-
ket in order to facilitate the next
stage in Ophirs development.
Mittal-backed Ophir Energy
plans 600m London listing
BY RICHARD PARTINGTON
CAPITAL MARKETS

News
11 CITYA.M. 10 JUNE 2011
Ian Hannam, managing director at JP
Morgan Cazenove, is a highly-experi-
enced mining and resources dealmaker
currently advising Gem Diamonds on
its acquisition trail, Heritage Oil & Gas
and Fresnillo among others.
Hannam was notably unable to par-
ticipate in metals trader Glencores
recent IPO due to his long-standing
role advising its takeover target
Xstrata and close links to its chief
executive, Mick Davis, since they
worked on the 2001 merger and 2005
London listing of BHP Billiton.
George Maddison, Credit Suisses
UK investment banking vice chairman,
has spent 20 years working on capital
markets transactions, and played a
vital role during the financial crisis on
the Treasury team that devised the
plan to refinance the banking sector.
However, his advisory work on
Prudentials attempted takeover of
Asian insurer AIA last year is, with the
other advisers HSBC and JP Morgan,
being scrutinised by the FSA.
IAN HANNAM
JP MORGAN
ADVISERS: JP MORGAN & CREDIT SUISSE
Nat Rothschild is teaming up with Tony Hayward (below) on the new venture
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1
x3650 M3: 931,658 SPECjbb2005 bops 155,276 bops/JVM; Intel Xeon X5690 2 chips/12 cores. x3650 M2: 598,924 SPECjbb2005 bops 149,731 bops/JVM; Intel Xeon X5570 2 chips/8 cores.
Results as of 4/5/11. http://www.spec.org/jbb2005/results. SPEC and SPECjbb are registered trademarks of Standard Performance Evaluation Corporation (SPEC)
2
Based on comparing
previous generation, 200 servers IBM eServer xSeries 346 (3.0 GHz) (2Ch /2Co) to new generation 10 servers IBM x3550 M3 (Xeon E5650) 2.66 GHz (2x6) using the IBM Consolidation Evaluation
tool.
3
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Field upgradeable with FC or ISCSI host interface cards
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BMW is ploughing an extra 500m
into UK manufacturing with an
agreement to build its next genera-
tion of Minis here.
Chairman Norbert Reithofer said
yesterday that the extra contract, for
the next three years, demonstrates
that the UK will remain the heart of
Mini production and will take the
companys UK investment to more
than 1.5bn since 2000.
The announcement, made after a
meeting with Prime Minister David
Cameron at Downing Street, follows
Nissans news on Wednesday that the
next version of its popular Qashqai
will be designed and made in Britain.
Nissan chief Carlos Ghosn said the
project represents a 192m invest-
ment in Britain and will safeguard
6,000 jobs in the UK.
BMW said yesterday that most of its
money will go towards new produc-
tion facilities and equipment at its
Oxford Mini plant, safeguarding over
5,000 jobs.
The company revealed its strategy
is to link its production location with
its largest markets. The UK is BMW
Groups fourth-largest single market
for sales, behind only Germany, the
US and China, with 154,750 sales last
year for BMW, Mini and Rolls-Royce.
Mini contract gives UKs
car industry 500m lift
Groovy baby! David Cameron road tests an Austin Powers style Mini Picture: REX
BY JENNY FORSYTH
AUTOMOTIVE

News
13 CITYA.M. 10 JUNE 2011
NEWS | IN BRIEF
PZ Cussons prices up as costs soar
Cleaning products maker PZ Cussons said
it would have to raise its prices to com-
bat soaring costs of its raw materials
yesterday. The maker of Imperial Leather
soap said trading over the past year was
in line with its expectations, but it had to
put mitigation plans in place to deal
with rising costs, such as reducing the
weight of soap bars from 125g to 100g,
and passing on the costs to consumers.
Across the group, raw material costs
remain at high levels with mitigation
plans underway through higher selling
prices where possible as well as internal
margin improvement projects, it said in
a trading update. It said heavy discount-
ing and weak customer demand had also
been problems in the UK, but its market
share had grown after several brand
relaunches, and premium brands had per-
formed particularly well.
SHARES in Argos owner Home Retail
Group fell 13.3 per cent yesterday
after it said the catalogue retailers
sales fell more than expected in the
past quarter.
Argos was hit hard by customers
reluctance to buy expensive electron-
ics and big-ticket household goods,
causing its sales to slump 9.6 per cent
to 817m in the past three months.
The fall was substantially larger
than the 4-7 per cent fall that analysts
had expected, while its gross margin
fell a bigger-than-expected 75 basis
points.
In contrast, Home Retails other
high street brand Homebase saw like-
for-like sales rise 1.6 per cent in the
quarter, in line with market expecta-
tions, as sunny weather prompted
customers to spend.
Trading conditions, particularly at
Argos, have proved to be more diffi-
cult and volatile than anticipated,
said chief executive Terry Duddy in
an interim management statement.
For Argos, the consumer electron-
ics market represents a substantial
proportion of its sales and has experi-
enced a further significant decline.
The difficulty of this market, together
with the volatility of overall sales, has
made the balance of the year more
difficult to predict.
Analysts said the sales fall could
wipe up to 20 per cent off Home
Retails full-year pre-tax profit. It
issued a profit warning in March.
Argos slump
adds to Home
Retails woes
HALFORDS shook off the gloom hang-
ing over the UK retail sector yesterday
to announce a 7.2 per cent rise in pre-
tax profit in the past year.
Customers bought more car parts
and fitted them at Halfords stores as
they cut back on expensive services or
new vehicle purchases, chief executive
David Wild told City A.M.
The firm also saw a surge in
demand for bicycles and camping gear
since January as customers adjusted to
a long-term expectation of spending
less on their lifestyles.
Customers are realising this is not
a short term situation, of just needing
to get through the next six months
this is the new reality, Wild said.
They dont want to be miserable, so
they are buying more innovative prod-
ucts and looking for bargains.
Revenues rose 4.6 per cent to
869.7m and underlying pre-tax profit
rose to 125.6m while it changed the
appearance of its stores, acquired a
chain of autocentre garages and wield-
ed the axe on costs.
Sales in its leisure arm jumped 11.1
per cent in the nine weeks from 1
April due to the hot weather and extra
holidays.
JD Sports Fashion said sales fell 2.8
per cent in the quarter, but the
declines were within its expectations.
Halfords defies
retail gloom to
post profit rise
BY ALISON LOCK
RETAIL

RETAIL

News
14 CITYA.M. 10 JUNE 2011
ANALYSIS l Home Retail
14Mar 1 Apr 21 Apr 17May 7Jun
p
230
210
190
170
174.50
9 June
ANALYST VIEWS: HOW BAD WAS THE
PERFORMANCE OF ARGOS? Interviews by Alison Lock

TOM GADSBY | MATRIX GROUP


These are pretty dire gures. We expected another tricky quarter for
Argos, but the like-for-like sales fall is well below the expected range. While the
decline in prots over the past two years is cyclical rather than structural, a clear
upturn in consumer demand would be needed for the shares to pick up.

DAVID JEARY | INVESTEC


This was an all-round disappointing trading update, likely to drive up to
a 20 per cent cut to current 2012 full-year pre-tax prot forecasts. Pressure on
prot will come from Argos, especially with the cost base likely to increase by
around 30m over the year. It will also raise questions on the dividend.

MARK PHOTIADES | SINGER CAPITAL


This is in line with forecasts in the smaller Homebase division but signif-
icantly below expectations in the Argos division. We would expect downgrades of
circa ve to ten per cent to current full-year pre-tax prot estimates. We remain
cautious on earnings prospects given its exposure to the UK customer.

Home Retail Group chief executive Terry Duddy said conditions were volatile
SPREAD betting firm IG Group has
said it expects to post an increase in
full-year profits this year.
The British company said it antici-
pated a three per cent increase in its
full-year pre-tax profits to 163m in
the year to 31 May.
IG, which reports detailed annual
results next month, also said it
expected trading revenue for the year
of 320m, an increase of seven per
cent.
The group said its financial busi-
ness grew revenue at nine per cent in
the year when the Japanese market,
which is undergoing regulatory
change, is stripped out.
However, the extended holiday
period in April for the royal wedding
had hit revenue for its final quarter of
this year, the firm said.
IG said it expected third quarter
revenues to be slightly down on the
same time a year earlier.
London-based IG said it planned to
close its sports operations, branded as
Extrabet, selling most of its client list
to peer Spreadex.
The group said its sports business
now represented less than 2.5 per
cent of its total revenue, due to its
substantial fixed cost base and much
lower percentage of profits.
IG said it had been unable to secure
a sale of its sports business in its
entirety and had decided to make
staff at Extrabet redundant.
It said costs relating to closing the
business would include a 5.25m
non-cash write off and 2.5m in cash
for redundancy payouts and lease-
related costs.
The spread betting firm remained
bullish on its prospects for growth,
despite volatile market conditions.
Continued focus on building the
number of high quality active clients
and development of the groups offer-
ing leaves IG well positioned for fur-
ther growth, the company said.
PROFITS at Network Rail jumped
almost 11 per cent last year, although
its performance dipped.
Pre-tax profits at the firm that
maintains Britains rail network
jumped 10.8 per cent to 438m in the
year ending 31 March.
However, the number of trains
running on time fell from 91.5 per
cent to 90.9 per cent, which Network
Rail attributed to Decembers severe
winter weather.
The firm cut costs by 400m and
said it was on target to meet chal-
lenging efficiency savings demand-
ed by the rail regulator.
It has saved 600m since it
embarked on a programme of cost
cuts two years ago.
Last month, a report into the rail
industry by Sir Roy McNulty said
Network Rail should cut the cost of
running the network by 30 per cent
to bring Britain into line with the
rest of Europe.
Network Rail finance director
Patrick Butcher said the industry
accepted that costs must be driven
down further.
The rail industry simply has to
become more affordable for the user
of the railway network and for tax-
payers, he said.
Network Rail said revenues were
up 5.66bn to 5.71bn while operat-
ing profits grew from 1.9bn to 2bn.
Capital expenditure rose slightly to
4bn while net debt grew five per
cent to 25bn.
Network Rail grows profits by 11pc
but number of late trains creeps up
NOKIA yesterday said its chief tech-
nology officer has taken a leave of
absence and sources say he is unlikely
to return after disagreements with
management on strategy.
Richard Green is said to be unhap-
py with decisions such as abandoning
the MeeGo operating system it was
developing with Intel in favour of
going with Microsofts Windows
Phone software.
In a fresh blow for the struggling
company, Nokia confirmed Green has
taken leave for personal reasons and
declined to comment on when he
will return or on other details. Henry
Tirri, head of Nokia Research Centre,
will be the acting chief technology
officer, a spokesman said.
The move comes as Nokias once-
undisputed leadership in mobile
phones crumbles. The company is los-
ing smartphone market share to
Apple iPhone and Google Android
devices and, at the low end, to cheap-
er Asian rivals.
Fresh blow as Nokia sees
technology boss walk out
TELECOMS

Spreadbetter
IG eyes profit
rise this year
BY RICHARD PARTINGTON
FINANCIAL SERVICES

BY SCARLETT ARCHER
TRANSPORT

News
16 CITYA.M. 10 JUNE 2011
Mark Zuckerbergs firm will hand information to the EU Picture: REUTERS
NEWS | IN BRIEF
African Barrick shares recover
Shares in London-listed miner African
Barrick Gold rebounded yesterday after it
attempted to allay fears over tax changes
in Tanzania. The firm said the Tanzanian
government had shown its ongoing com-
mitment to the mining industry. Fears had
been raised the country could impose a
harsh tax regime on extractive firms, caus-
ing the miner to take a hit.
Bowleven jumps on well news
Shares in Bowleven jumped 8.6 per cent
after the Africa-focused oil and gas
explorer said its Sapele-1 well off the
coast of Cameroon flowed oil at rates
which it believes indicate a commercial
development is possible. The company is
waiting for the results of tests at the sec-
ond Sapele well.
Wincanton axes its dividend
Haulier Wincanton suspended dividend
payments for at least a year after a slow-
down at British and French businesses hit
profits, prompting it to sell some European
operations to cut debt. Wincanton, which
transports goods such as food, documents
and materials for recycling around Britain
and mainland Europe, reported a pre-tax
loss of 25.9m.
Visa buys mobile payments firm
Visa said it will acquire South African firm
Fundamo for $110m (67m), and
announced a five-year agreement with UK-
based Monitise, as it looks to grow its new
technology-enabled payments business.
Payment processors such as Visa and
rival Mastercard have been increasingly
looking for growth through new gateways.
Finnish mobile firms fightback will prove futile
ANOTHER day, another blow for
Nokia. Richard Green, the firms
technology supremo, has quit after
just one year in the job, and you can
hardly blame him. Even chief execu-
tive Stephen Elop has described the
company as a burning platform;
Green obviously thought it was a
sinking ship.
Much has been made of Nokias
slaughter at the hands of Apple and
other handset manufacturers, such
as Blackberry maker RIM. These rela-
tively new insurgents have decimat-
ed its market share in high-end
smartphones. In 2008, Nokia had
33.4 per cent of the global market for
phones worth $300 upwards, but by
the end of 2010 its slice was a paltry
11.3 per cent.
Less attention has been paid to
Nokias vulnerability in the market
for cheaper phones. At the end of last
year, it still had an 86.8 per cent
share of the global market for sub-
$200 smartphones and over half
(52.5 per cent) of the market for
phones worth $200-$300.
In our view, Nokias apparent
strength in the low-end phone space
is unsustainable, because better
Asian handsets using Googles
Android are quickly making inroads.
Given Nokias abject inability to stave
off Apple et al, we dont fancy the
Finnish firms chances.
It is tempting to see Nokias stock
as cheap, with an enterprise value of
just 0.4 times 2011 sales forecasts
thanks to its hefty 6.4bn cash pile.
This wont prove much of a buffer to
the 7.7bn of revenues that analysts
at Nomura think Nokia will lose by
2013. In that light, Nokias plan to
reduce operating expenditure by
1bn over the same period seems
laughable, and only serves to high-
light the futility of any fightback.
Investors should follow Green by vot-
ing with their feet.
BOTTOMLINE
Analysis by David Crow
ANALYSIS l IG Group Holdings
p
14Mar 1 Apr 21 Apr 17May 7Jun
490
480
470
460
450
440
430
439.40
9 Jun
CITY VIEWS: ARE YOU WORRIED ABOUT FACEBOOKS FACIAL RECOGNITION
TOOL? Interviews by Shiba Babamiri and Phoebe Torrance
It's definitely an invasion of privacy and I think
Facebook is being very sneaky by telling us that
we have the option to change the settings. I'd
rather have the option of deciding if I want to
have the feature on my account. This is going to
push a lot of people to deactivate accounts.
GILLIAN MCCOMBES | ATRIUM INSURANCE
I don't think so. As long as you have the
option to change the settings and you
have been warned about it then I don't
see what the problem is. It's actually
good because it speeds up the process
of tagging friends.
JAKE CASS | LLOYD'S INSURANCE
Yes, I don't really see the point of this app as we already have a manual method. I'm concerned with
the fact that more companies are holding our information, without any regulators checking who
these people are.
SAM HERBERT | ISM FINANCIAL SOLUTIONS
FACEBOOK has agreed to hand over
information about its use of facial
recognition software to European reg-
ulators after privacy campaigners
complained.
The software, which can be turned
off in Facebooks settings, invites
users to automatically tag their
friends on photographs by scanning
their faces.
Facebook has stressed that the
automated photo-tagging suggestions
are only made when new photos are
added to Facebook and that only
friends are suggested.
The firm, fronted by chief executive
Mark Zuckerberg, says no formal
investigation is underway into the
use of the technology.
Facebook will
hand info to EU
TECHNOLOGY

RISING numbers of fresh benefit


claims and lower than expected
wholesale inventories combined to
produce another gloomy day for the
American economic outlook.
Yet stocks in New York pared recent
losses, as a narrowed US trade deficit
was seen as one positive point in a
recent string of weak economic data.
Imports from Japan tumbled more
than 25 per cent after its earthquake,
contributing to a narrowing of the
trade gap to $43.7bn (26.7bn), down
6.7 per cent from a revised estimate of
$46.8bn in March -- suggesting
stronger second-quarter GDP figures
than economists had expected.
The Dow Jones industrial average
climbed over a percentage point to
touch 12,181, while the Nasdaq com-
posite index rose 0.46 per cent to
print 2,690 during the days trading.
The markets shrugged off the early
bad news, including a 1,000 increase
in new claims for unemployment
benefit. Fresh claims were up to
427,000 in the latest recorded week,
despite economists forecasts of a
drop in the numbers.
First-time claims have now been
perched above the 400,000 mark for
nine weeks in a row. Analysts normal-
ly associate a level below that with
steady job growth.
On the one hand this is a disap-
pointing confirmation that the num-
ber of people continues to run above
400,000, said Nomura Securities
David Ressler. But on the more
encouraging front it looks like this
may be a reflection of job turnover as
opposed to sustained joblessness.
Inventories rose 0.8 per cent to
$447.2bn in the first month of the sec-
ond quarter, below economists fore-
casts for a one per cent rise.
Automotive inventories, one of the
biggest categories, fell 1.3 per cent.
Sales rose to $393.5bn, the highest
since June 2008. But the 0.3 per cent
month-to-month rise was much less
than the 1.2 per cent gain analysts
had forecast.
Dow recovers
despite weak
US jobs data
BY JULIAN HARRIS
US ECONOMY

News
17 CITYA.M. 10 JUNE 2011
NEWS | IN BRIEF
One million on benefit for decade
Over a million people across the UK have
spent the last decade on benefits, the
Department of Work and Pensions
revealed today. In London, 126,500 peo-
ple have spent 10 years on either job-
seekers allowance, incapacity benefit or
income support. The figures were
released as employment minister Chris
Grayling launched a new programme in
an attempt to tackle joblessness.
QE could still worsen inflation
Quantitative easing in the US could still
have the effect of stoking inflation,
Federal Reserve hawk Charles Plosser
warned yesterday, at a meeting in
London. Theres about $1.5 trillion
(912bn) of what we call excess
reserves in the banking system: theyre
just sitting there, theyre not creating
inflation, at least not yet. But they do
have the potential to do that, he said.
First time buyer mortgages rise
The number of mortgages available to
first time buyers has nearly trebled in
the last two years, according to the
website Moneyfacts. Today there are
183 deals for people looking to get on to
the property ladder, compared to just
62 this time in 2009.
Japan recession is confirmed
Revised data showed Japans economy
shrank 0.9 per cent in the first quarter,
unchanged from the initial estimate as
inventory adjustments offset weaker
corporate spending, but analysts said a
recovery is on track as industrial produc-
tion rebounds. Manufacturers are mak-
ing progress in restoring supply chains
after the devastating March earthquake,
fuelling hopes for an early bounce-back.
INTEREST rates in the Eurozone were
held at 1.25 per cent yesterday, yet
central bank chief Jean-Claude
Trichet signalled a move to raise rates
next month.
The European Central Bank (ECB)
head used the key code-words strong
vigilance in his statement, indicat-
ing monetary tightening to come.
The euro initially rose on the com-
ments before retreating, with ana-
lysts saying a hike in July had already
been priced in. Persistent worries
about debt problems in Greece and
other peripheral Eurozone
economies also dented sentiment.
Potentially the economic situation
in some of the peripheral countries is
not going to get much better in the
near-term, and that will err the mar-
ket on the side of caution of pricing
less rather than more rate hikes, said
RBS rate strategist Simon Peck.
Rates held for Eurozone
but hike in July signalled
ECB president Jean-Claude Trichet indicated that rates could rise next month
BY JULIAN HARRIS
EUROZONE ECONOMY

News
18 CITYA.M. 10 JUNE 2011
Lloyds
Erik Johnson has joined Lloyds of
London as the strategy manager in the
strategy & business team, moving from
Deloitte, where he was an assistant
director in the corporate finance insur-
ance practice. Johnson also now repre-
sents the Lloyds of London market on
the Insurance Institute of Londons rep-
resentatives committee.
Merrill Lynch
Merrill Lynch Wealth Management has
made three hires in its Middle East
team. Leila Alameddine joins as market
manager for Levant, Shereen Ghobrial
joins as regional sales manager, and
Utku Balik joins as business strategy
and initiatives execution manager.
Barnett Waddingham
The actuary and consultancy firm has
promoted seven senior client advisers to
partner, taking the firms total partners
to 50. The new partners are: Mark
Futcher, Paul Hubbold, Julian
Mainwood, Ben Pullen, Ben Roach,
Vanessa Smart and Ruth Thomas.
AMP Capital Investors
Scott Davies will join the investment
management company in July as global
head of infrastructure. Davies will join
from Macquarie Communications
Infrastructure Group, where he has
been chief executive since 2002.
Lloyds TSB
Simon Boddy, formerly of Barclays, has
been appointed as regional manager for
the banks commercial finance team in
the East Midlands.
BlackRock
The asset manager has appointed Gary
Smith as head of pensions administra-
tion services to lead the development
of BlackRocks defined contribution
business. Most recently, Smith served
as a member of the DC executive team
at Towers Watson.
Gore Browne
The discretionary investment manager
has appointed Chris Rogers and Simon
Jackson as investment managers, based
in the Salisbury office. Both join from
Barclays Wealth in Bournemouth.
CITY MOVES | WHOS SWITCHING JOBS Edited by Harriet Dennys
+44 (0)20 7092 0053
morganmckinley.com
To appear in CITYMOVES please email your career
updates and pictures to citymoves@cityam.com SPECIALISTS IN GLOBAL PROFESSIONAL RECRUITMENT
in association with
Wall Street ends its
six-day losing streak
W
ALL Street ended higher for
the first time in over a
week yesterday, with the
Dow and the S&P 500 rising
1 per cent at one point, but many
analysts saw the rebound as short-
lived.
A report showing record US exports
in April eased some concerns about a
stalled economic recovery, which had
been weighing on the market.
A spike in oil prices helped lift
materials and energy stocks. Investors
also snapped up beaten-down stocks
in the financial sector.
The S&P materials sector index rose
1.6 per cent and the energy index
gained 1.2 per cent. The Morgan
Stanley cyclical index, which is down
more than 5.2 per cent in June, rose 1
per cent. The KBW bank index was up
1.2 per cent.
Several economists said the spike
in US exports in April could prompt
revisions higher of gross domestic
product growth in the second quar-
ter, interrupting a trend of lowered
expectations.
But many analysts still expected
the S&P to retest its March low of
1,250 after a string of data, including
the latest payrolls report, provided lit-
tle room for optimism.
Concern over the future of equities
after the Feds $600bn second round
of stimulus expires at the end of this
month also weighed on the market.
After falling for six straight days,
the market was looking for an
excuse to bounce back and it got it
from the trade data, said Steve Blitz,
senior economist at ITG in New York.
You cant take just one day and
draw a conclusion that the bear mar-
ket is over.
Reflecting the bearish sentiment,
the daily volume put/call ratio for
equity options on the Chicago Board
Options Exchange (CBOE) was at an
18-month high as of Wednesdays
close, according to data posted on the
exchange website, indicating
investors are significantly bearish on
the stock market.
The Dow Jones industrial average
was up 75.42 points, or 0.63 per cent,
at 12,124.36. The Standard & Poors
500 Index was up 9.44 points, or 0.74
per cent, at 1,289.00. The Nasdaq
Composite Index was up 9.49 points,
or 0.35 per cent, at 2,684.87.
The S&P had lost more than 6 per
cent in the last six days leading up to
yesterday, while the Nasdaq had near-
ly erased its gains for the year.
Texas Instruments shares rose 0.7
percent to $32.91 even after the com-
pany cut its earnings and revenue
forecasts late on Wednesday.
M
INERS rebounded from the
previous days sharp sell-
off to help push Britains
top share index higher yes-
terday, while oil stocks tracked
crude higher on supply fears.
The FTSE 100 closed up 47.45
points, or 0.8 per cent, at 5,856.34,
having bounced well clear of the ses-
sion low of 5,795.00, although thin
volumes exaggerated the indexs
move.
Integrated oil stocks added the
most points to the blue-chip index as
crude rose $1.39 to $102.13, while
miners also saw strong gains, led
higher by a 2.5-per cent advance from
Chilean copper miner Antofagasta,
Wednesdays biggest FTSE 100 casual-
ty.
A surprise narrowing of the US
April trade deficit offered investors
respite after a run of gloomy econom-
ic data, but the prevailing tone was
one of caution, with a rise in US week-
ly jobless claims adding to fears the
labour market has stalled.
Really were heading into the sum-
mer now, and everythings a problem
for the markets, David Morrison,
market strategist at GFT Global, said.
Weve got problems in Europe
with the debt crisis, the difficulties
Japans still facing (post-earthquake),
China is doing everything to slow
things down and the foots coming
off the pedal as far as the Feds con-
cerned in terms of stimulus.
US blue chips were up 0.8 per cent
by Londons close.
Weakness was seen on Britains
high street after the UKs biggest
household goods retailer Home Retail
reported a slump in first-quarter sales
at its Argos chain, sending its shares
down almost 14 per cent.
J Sainsbury, scheduled to issue a
trading update next week, dropped
1.2 per cent, while Marks & Spencer
slipped 0.9 per cent.
Both the Bank of England and the
European Central Bank left interest
rates on hold yesterday. The BoEs
decision was widely anticipated, but
the ECBs move was less expected.
There was a lot of talk that the
ECB were going to put rates up by a
quarter of a per cent... If the Eurozone
were to go up a quarter of a per cent,
the concern was that the UK would
have to follow suit sooner rather than
later, and I think that would have
worried the market, Yusuf Heusen,
senior sales trader at IG Index, said.
But ECB president Jean-Claude
Trichet did signal that rates would
rise next month, saying that strong
vigilance is needed, a phrase often
used to signal a hike at the next meet-
ing.
Among individual movers, Weir
Group rose 4.8 per cent, topping the
FTSE 100 leader board, as RBC Capital
Markets became the latest broker to
talk up the virtues of the British engi-
neer, lifting its earnings forecasts.
Smiths Group, meanwhile, fell 1.4
per cent as Evolution Securities initi-
ated coverage on the technology firm
with a reduce rating following
Wednesdays trading update.
Imperial Tobacco also dropped 1.4
per cent, with UBS highlighting that
Philip Morris has again cut the prices
of its major Spanish cigarette brands,
with the broker assessing the finan-
cial impact on Imperial should it fol-
low suit.
Were Imperial to reduce the price
of all its brands by 0.10 per 20... then
we estimate this would have an annu-
alised impact on net sales of about
65m and impact on EBITDA of 35-
40m, UBS said in a note.
Mining shares rebound and
oil stocks rise on supply fears
THELONDON
REPORT
THENEW YORK
REPORT
ANALYSIS l FTSE 100
6,100
5,900
5,700
5,500
17May 21 Apr 1 Apr 14Mar 7Jun
5,856.34
9 June
BEST OF THE BROKERS
To appear in Best of the Brokers email your research to notes@cityam.com
ANALYSIS l Resolution Ltd.
320
300
280
260
p
7Jun 17May 21 Apr 2Apr 14Mar
316.10
9 Jun
RESOLUTION
Citi rates the insurance company a buy and has a target price of 367p.
The broker has raised its earnings per share forecasts to 30p from 27.8p
for the year as a result of the firms share buyback, and believes that
Resolution will continue to deliver up to 600m capital returns due its
over-capitalisation. Citi adds that the firm is one of the best-placed insur-
ance groups for the Solvency II regulations.
ANALYSIS l Britvic
450
430
410
390
370
p
7Jun 17May 21 Apr 2Apr 14Mar
412.37
9 Jun
BRITVIC
JP Morgan has downgraded the drinks company from overweight to
neutral and has a target price of 440p. The broker thinks the current
share price is fully valued and does not expect the company to weather ris-
ing costs well until the market can be confident that the commodity price
peak is behind us. The downgrade also makes room for peer C&C to join JP
Morgans overweight list.
ANALYSIS l Ferrexpo
500
460
420
380
p
7Jun 17May 21 Apr 1 Apr 14Mar
485.00
9 Jun
FERREXPO
Goldman Sachs rates the group a neutral and has raised its target price
from 460p to 520p. The broker thinks the firm has an attractive growth
profile, but believes that market disappointment over a lack of M&A in the
coming months might dent its share price. Goldman also notes that its com-
modities analysts expect a softening of iron ore prices later this year and a
drop in 2012, further dulling Ferrexpos chance of a share price jump.
Barclays Wealth
Calum Brewster has been appointed as a direc-
tor within Barclays Wealths wealth manage-
ment and private banking business, based in
Glasgow. Brewster will join on 21 June from
Lloyds Banking Group, where he is head of cus-
tomer experience and strategy in the life pen-
sions and investment division, responsible for a
team of 150 staff. In his new role, Brewster will
manage a team of ten private bankers, report-
ing to Craig Jamieson, head of Barclays
Wealths Glasgow office.
20
Wealth Management | Markets
CITYA.M. 10 JUNE 2011
LON GD ONCE FIX AM...........1534.00 -1.50
SILVER LDN FIX AM ..................37.24 0.79
MAPLE LEAF 1 OZ ....................54.00 3.00
LON PLATINUM AM................1820.00 2.00
LON PALLADIUM AM...............806.00 4.00
ALUMINIUM CASH .................2644.50 0.50
COPPER CASH ......................8970.00 -121.00
LEAD CASH...........................2519.50 14.50
NICKEL CASH......................22450.00 -130.00
TIN CASH.............................25525.00 -275.00
ZINC CASH ............................2240.00 32.50
BRENT SPOT INDEX................117.31 1.79
SOYA .....................................1401.50 7.50
COCOA..................................2927.00 36.00
COFFEE...................................263.85 0.85
KRUG.....................................1600.50 7.10
WHEAT ....................................189.62 0.12
AIR LIQUIDE........................................94.00 1.50 100.65 79.01
ALLIANZ..............................................93.43 1.56 108.85 77.48
ALSTOM..............................................42.21 0.92 45.32 30.78
ANHEUS-BUSCH INBEV ....................40.42 0.29 46.33 38.44
ARCELORMITTAL...............................22.54 0.34 28.55 20.26
AXA......................................................14.92 0.33 16.16 10.88
BANCO SANTANDER...........................7.87 0.01 10.23 7.00
BASF SE..............................................64.00 1.76 70.22 40.74
BAYER.................................................56.02 0.69 59.44 43.27
BBVA......................................................7.75 0.01 10.71 6.75
BMW....................................................62.93 1.93 65.49 37.31
BNP PARIBAS.....................................52.35 0.14 59.93 40.81
CARREFOUR ......................................29.58 0.08 41.28 29.22
CREDIT AGRICOLE............................10.20 -0.04 12.92 7.87
CRH PLC .............................................14.54 0.34 19.92 11.51
DAIMLER.............................................47.43 0.09 59.09 37.03
DANONE..............................................50.28 0.46 51.33 41.00
DEUTSCHE BANK..............................39.75 0.12 51.61 35.93
DEUTSCHE BOERSE .........................52.91 -0.14 62.48 46.33
DEUTSCHE TELEKOM.......................10.15 0.12 11.38 8.97
E.ON.....................................................19.51 0.32 25.54 18.25
ENEL......................................................4.61 0.06 4.86 3.42
ENI .......................................................16.26 0.22 18.66 14.59
FRANCE TELECOM............................15.28 0.02 17.45 14.01
GDF SUEZ ...........................................24.69 0.26 30.05 22.64
GENERALI ASS...................................14.59 -0.04 17.05 13.31
IBERDROLA..........................................6.10 0.03 6.50 4.38
ING GROEP CVA...................................8.12 0.06 9.50 5.86
INTESA SANPAOLO.............................1.78 -0.01 2.53 1.65
KON.PHILIPS ELECTR.......................18.02 -0.08 26.87 17.65
L'OREAL..............................................85.41 0.89 90.00 74.67
LVMH..................................................116.90 0.75 129.05 84.85
MUNICH RE.......................................103.65 0.70 126.00 98.38
NOKIA....................................................4.31 0.01 8.49 4.25
REPSOL YPF.......................................22.44 0.19 24.90 15.67
RWE.....................................................39.02 0.39 58.10 37.44
SAINT-GOBAIN...................................43.88 0.24 47.64 27.81
SANOFI ................................................52.54 0.21 56.50 44.01
SAP......................................................42.22 0.50 46.15 34.13
SCHNEIDER ELECTRIC ...................114.10 3.40 123.65 79.70
SIEMENS .............................................91.18 1.70 99.39 70.02
SOCIETE GENERALE.........................39.84 0.05 52.70 29.71
TELECOM ITALIA..................................0.95 -0.00 1.16 0.88
TELEFONICA ......................................16.44 0.06 19.69 14.83
TOTAL..................................................38.66 0.45 44.55 35.66
UNIBAIL-RODAMCO SE...................153.15 1.85 159.30 108.66
UNICREDIT............................................1.50 -0.00 2.24 1.46
UNILEVER CVA...................................22.32 0.09 24.11 20.68
VINCI ....................................................42.60 0.56 45.48 33.01
VIVENDI ...............................................18.84 0.22 22.07 16.25
Price Chg High Low
EUSHARES
WORLD INDICES
FTSE 100 . . . . . . . . . . . . . . 5856.34 47.45 0.82
FTSE 250 INDEX. . . . . . . . 11911.62 40.70 0.34
FTSE UK ALL SHARE . . . . 3057.04 22.52 0.74
FTSE AIM ALL SH . . . . . . . . 880.57 2.11 0.24
DOWJONES INDUS 30 . . 12124.36 75.42 0.63
S&P 500 . . . . . . . . . . . . . . . 1289.00 9.44 0.74
NASDAQ COMPOSITE . . . 2684.87 9.49 0.35
FTSEUROFIRST 300 . . . . . 1104.43 10.10 0.92
NIKKEI 225 AVERAGE. . . . 9467.15 17.69 0.19
DAX 30 PERFORMANCE. . 7159.66 99.43 1.41
CAC 40 . . . . . . . . . . . . . . . . 3878.65 40.67 1.06
SHANGHAI SE INDEX . . . . 2703.35 -46.94 -1.71
HANG SENG. . . . . . . . . . . 22609.83 -51.80 -0.23
S&P/ASX 20 INDEX . . . . . . 2732.90 7.30 0.27
ASX ALL ORDINARIES . . . 4621.70 13.00 0.28
BOVESPA SAO PAOLO. . 63468.82 435.85 0.69
ISEQ OVERALL INDEX . . . 2933.78 38.68 1.34
STI . . . . . . . . . . . . . . . . . . . . 3097.57 -5.41 -0.17
IGBM. . . . . . . . . . . . . . . . . . 1030.42 3.69 0.36
SWISS MARKET INDEX. . . 6271.01 14.15 0.23
Price Chg %chg
3M........................................................91.96 1.05 97.95 72.72
ABBOTT LABS ...................................51.53 0.00 54.24 44.59
ALCOA ................................................15.50 0.09 18.47 9.81
ALTRIA GROUP..................................27.46 0.17 28.13 19.53
AMAZON.COM..................................189.68 1.63 206.39 105.80
AMERICAN EXPRESS........................48.33 0.23 51.97 37.13
AMGEN INC.........................................58.88 -0.07 61.53 50.34
APPLE...............................................331.49 -0.75 364.90 236.78
AT&T....................................................30.33 -0.01 31.94 23.88
BANK OF AMERICA...........................10.65 0.11 16.10 10.50
BERKSHIRE HATAW B.......................75.01 0.68 87.65 69.61
BOEING CO.........................................74.18 0.33 80.65 59.48
BRISTOL MYERS SQUI ......................27.86 -0.06 28.99 23.74
CATERPILLAR....................................99.26 1.22 116.55 54.89
CHEVRON.........................................101.23 1.28 109.94 66.83
CISCO SYSTEMS................................15.31 0.01 26.00 15.21
CITIGROUP.........................................37.77 0.96 51.50 36.20
COCA-COLA.......................................65.89 0.49 68.77 49.47
COLGATE PALMOLIVE......................85.10 0.89 87.58 73.12
CONOCOPHILLIPS.............................72.51 1.05 81.80 48.06
DU PONT(EI) DE NMR........................50.46 0.72 57.00 33.73
EMC CORP..........................................26.91 -0.08 28.73 17.72
EXXON MOBIL....................................81.18 0.42 88.23 55.94
GENERAL ELECTRIC.........................18.58 0.07 21.65 13.75
GOOGLE A........................................516.73 -2.44 642.96 433.63
HEWLETT PACKARD.........................35.46 0.10 49.39 35.20
HOME DEPOT.....................................34.33 0.23 39.38 26.62
IBM.....................................................164.84 0.50 173.54 120.61
INTEL CORP .......................................21.76 -0.06 23.96 17.60
J.P.MORGAN CHASE.........................40.98 0.59 48.36 35.16
JOHNSON & JOHNSON.....................66.78 0.64 67.37 56.86
KRAFT FOODS A................................34.22 0.16 35.44 24.30
MC DONALD'S CORP ........................81.26 0.11 83.08 65.31
MERCK AND CO. NEW......................36.00 0.21 37.68 31.06
MICROSOFT........................................23.96 0.02 29.46 22.73
OCCID. PETROLEUM.......................103.96 1.47 117.89 72.13
ORACLE CORP...................................31.63 0.38 36.50 21.24
PEPSICO.............................................69.51 0.67 71.89 60.32
PFIZER ................................................20.75 0.07 21.45 14.00
PHILIP MORRIS INTL .........................68.12 0.08 71.75 42.94
PROCTER AND GAMBLE ..................65.01 0.16 67.72 56.57
QUALCOMM INC ................................55.87 -0.43 59.84 31.63
SCHLUMBERGER ..............................85.84 2.11 95.64 52.91
TRAVELERS CIES..............................61.08 0.39 64.17 47.77
UNITED TECHNOLOGIE ....................84.09 1.05 90.67 62.88
UNITEDHEALTH GROUP...................50.60 2.40 51.46 27.13
VERIZON COMMS ..............................35.67 -0.23 38.95 25.30
WAL-MART STORES..........................53.62 -0.07 57.90 47.77
WALT DISNEY CO ..............................39.37 0.14 44.34 30.72
WELLS FARGO & CO.........................26.22 0.86 34.25 23.02
COMMODITIES CREDIT & RATES
BoE IR Overnight ............................0.500 0.00
BoE IR 7 days.................................0.500 0.00
BoE IR 1 month ..............................0.500 0.00
BoE IR 3 months ............................0.500 0.00
BoE IR 6 months ............................0.545 0.00
LIBOR Euro - overnight ..................1.360 0.46
LIBOR Euro - 12 months.................2.116 0.00
LIBOR USD - overnight...................0.127 0.00
LIBOR USD - 12 months.................0.722 0.00
Halifax mortgage rate .....................3.500 0.00
Euro Base Rate ...............................1.250 0.00
Finance house base rate................1.000 0.00
US Fed funds...................................0.250 0.00
US long bond yield .........................4.020 0.03
European repo rate.........................1.268 0.22
Euro Euribor ....................................1.213 0.13
The vix index ...................................17.77 -1.02
The baltic dry index ........................1.434 -0.02
Markit iBoxx...................................220.28 0.39
Markit iTraxx....................................95.06 0.00
Price Chg High Low
Price Chg %chg Price Chg %chg Price Chg %chg
USSHARES
/$ 1.4509 0.0069
/ 0.8860 0.0032
/ 116.51 0.1050
/ 1.1285 0.0045
/$ 1.6373 0.0022
/ 131.47 0.4962
FTSE 100
5856.34
47.45
FTSE 250
11911.62
40.70
FTSE ALLSHARE
3057.04
22.52
DOW
12124.36
75.42
NASDAQ
2684.87
9.49
S&P 500
1289.00
9.44
Rexam . . . . . . . . . . . .392.2 3.0 400.0 290.4
RPC Group . . . . . . . .331.4 -7.6 361.1 192.3
Smiths Group . . . . .1161.0 -16.0 1429.0 1041.0
Brown (N.) Group . . .275.3 0.4 311.2 221.0
Carpetright . . . . . . . . .724.5 -2.0 835.5 631.0
Debenhams . . . . . . . . .67.8 -1.6 77.4 53.0
Dignity . . . . . . . . . . . .776.0 -4.0 785.0 624.5
Dixons Retail . . . . . . .17.6 -1.7 28.5 11.8
DunelmGroup . . . . . .459.8 -4.2 550.0 325.3
Halfords Group . . . . .405.9 8.1 550.0 348.2
Home Retail Group . .174.5 -27.8 244.5 172.7
Inchcape . . . . . . . . . .386.9 0.4 414.0 237.1
JD Sports Fashion . .939.0 -40.5 1005.0 683.0
Kesa Electricals . . . .143.4 0.7 174.0 102.2
Kingfisher . . . . . . . . .274.0 0.1 287.1 198.5
Marks & Spencer G . .367.8 -3.4 427.5 327.2
Mothercare . . . . . . . .407.0 -3.2 627.5 382.0
Next . . . . . . . . . . . . .2254.0 -4.0 2326.0 1868.0
Sports Direct Int . . . .226.9 0.2 234.1 94.7
WH Smith . . . . . . . . . .478.4 -6.5 523.0 398.2
Smith & Nephew . . . .660.5 3.0 742.0 537.5
Synergy Health . . . . .920.0 12.0 948.0 618.0
Barratt Developme . .105.8 -0.4 119.0 70.1
Yule Catto & Co . . . . .224.8 4.1 240.5 112.7
Balfour Beatty . . . . . .312.3 7.8 357.3 229.8
Keller Group . . . . . . .525.5 6.5 698.5 513.0
Kier Group . . . . . . . .1292.0 7.0 1418.0 886.5
Drax Group . . . . . . . .488.3 5.7 490.0 347.0
Scottish & Southe . .1410.0 27.0 1415.0 1067.0
Domino Printing S . .670.0 -1.0 705.0 386.8
Halma . . . . . . . . . . . . .394.2 3.9 395.8 253.4
Laird . . . . . . . . . . . . . .136.1 1.5 179.0 98.8
Morgan Crucible C . .309.2 8.9 333.0 177.9
Renishaw . . . . . . . . .1716.0 3.0 1819.0 686.5
Spectris . . . . . . . . . .1521.0 16.0 1575.0 740.5
Aberforth Smaller . . .711.0 0.5 713.0 506.0
Alliance Trust . . . . . .377.6 2.6 385.0 293.5
Bankers Inv Trust . . .419.4 -0.5 428.0 337.0
BH Global Ltd. GB .1098.0 0.0 1174.0 1058.0
BH Global Ltd. US . . . .10.8 -0.0 11.6 10.4
BH Macro Ltd. EUR . . .17.0 0.1 17.2 15.8
BH Macro Ltd. GBP 1757.0 0.0 1780.0 1630.0
BH Macro Ltd. USD . . .16.9 0.1 17.1 15.8
BlackRock World M .749.5 1.0 815.5 533.0
BlueCrest AllBlue . . .175.0 0.1 176.2 162.0
British Assets Tr . . . .136.1 0.6 140.5 105.0
British Empire Se . . .533.0 4.0 533.0 404.1
Caledonia Investm .1762.0 0.0 1928.0 1539.0
City of London In . . .299.4 1.4 303.2 235.0
Dexion Absolute L . .147.5 0.0 151.0 131.2
Edinburgh Dragon . .240.5 -1.0 262.1 203.3
Edinburgh Inv Tru . . .488.8 2.8 492.2 372.2
Electra Private E . . .1731.0 0.0 1755.0 1177.0
F&C Inv Trust . . . . . .312.7 1.3 317.5 251.4
Fidelity China Sp . . . .100.6 -2.1 128.7 96.1
Fidelity European . .1248.0 -11.0 1287.0 916.0
Fidelity Special . . . . .572.0 4.0 595.0 503.0
Herald Inv Trust . . . . .524.5 0.5 541.0 352.5
HICL Infrastructu . . . .117.9 0.3 121.3 112.0
Impax Environment .119.9 0.0 130.5 106.5
JPMorgan American .857.0 7.0 909.0 673.0
JPMorgan Asian In . .232.5 -2.5 250.8 187.1
JPMorgan Emerging .588.0 1.5 639.0 479.5
JPMorgan European .929.0 4.0 983.5 618.0
JPMorgan Indian I . . .417.4 -2.4 502.0 394.1
JPMorgan Russian .671.0 6.0 755.0 502.0
Law Debenture Cor . .368.2 0.7 372.4 273.3
Mercantile Inv Tr . . .1089.0 6.0 1137.0 840.0
Merchants Trust . . . .422.9 -0.1 431.8 320.0
Monks Inv Trust . . . .352.5 -1.3 367.9 275.5
Murray Income Tru . .659.0 3.0 672.0 518.0
Murray Internatio . . .945.0 -3.0 966.0 805.5
Perpetual Income . . .272.7 0.9 276.0 212.0
Polar Cap Technol . .349.4 0.0 391.2 275.6
RIT Capital Partn . . .1327.0 10.0 1328.0 1084.0
Schroder Asia Pac . .218.0 -3.0 233.6 182.8
Scottish Inv Trus . . . .505.0 -7.0 517.0 401.5
Scottish Mortgage . .733.0 3.0 764.0 533.0
SVG Capital . . . . . . . .260.2 0.5 279.8 137.8
Temple Bar Inv Tr . . .940.0 7.0 947.5 717.0
Templeton Emergin .632.0 -2.5 689.5 515.0
TR Property Inv T . . .198.0 3.5 201.0 132.3
TR Property Inv T . . . .90.5 0.2 91.0 59.5
Witan Inv Trust . . . . .510.0 -1.0 528.0 409.9
3i Group . . . . . . . . . . .272.5 -2.3 340.0 254.1
3i Infrastructure . . . .122.6 -0.2 125.2 107.7
Aberdeen Asset Ma .228.1 0.9 240.0 123.0
Ashmore Group . . . .377.3 0.8 383.7 236.5
Berkeley Technolo . . . .4.3 0.0 9.0 2.2
Brewin Dolphin Ho . .158.4 3.7 185.4 114.0
Camellia . . . . . . . . .10924.5 234.510924.5 7540.0
Charles Taylor Co . . .135.0 3.5 240.0 122.0
City of London Gr . . . .83.5 -1.5 93.6 65.8
City of London In . . .427.0 -0.5 461.5 273.5
Close Brothers Gr . . .793.5 3.5 888.5 664.0
Collins Stewart H . . . .78.0 -1.0 90.8 67.3
Evolution Group . . . . .66.4 1.4 98.0 65.0
F&C Asset Managem .79.1 1.6 92.9 47.5
Hargreaves Lansdo .630.5 -4.0 646.5 317.4
Helphire Group . . . . . . .3.2 -0.4 45.0 3.2
Henderson Group . . .142.4 0.4 173.1 118.1
Highway Capital . . . . .15.5 0.0 21.0 6.0
ICAP . . . . . . . . . . . . . .469.9 1.8 570.5 380.2
IG Group Holdings . .439.4 -0.6 553.0 420.0
Intermediate Capi . . .324.1 -2.3 360.3 240.4
International Per . . . .374.3 6.2 386.6 183.3
International Pub . . . .116.7 0.1 118.3 108.6
Investec . . . . . . . . . . .502.5 3.4 538.0 429.2
IP Group . . . . . . . . . . . .49.5 -0.3 53.8 27.9
Jupiter Fund Mana . .275.3 -4.4 337.3 180.3
LMS Capital . . . . . . . . .64.5 0.8 64.8 40.0
London Finance & . . .23.0 0.0 23.5 16.5
London Stock Exch .945.0 0.0 990.0 544.0
Man Group . . . . . . . . .242.5 -1.6 311.0 206.4
Paragon Group Of . .203.5 -1.2 207.0 114.4
Provident Financi . . .971.0 1.5 1033.0 728.5
Rathbone Brothers .1178.0 8.0 1257.0 762.5
Real Estate Credi . . . . .1.4 -0.0 2.4 0.9
RSM Tenon Group . . .26.3 0.3 66.3 21.3
S & U . . . . . . . . . . . . .635.0 0.0 708.5 482.5
Schroders . . . . . . . .1544.0 -15.0 1922.0 1154.0
Schroders (Non-Vo .1302.0 -4.0 1554.0 950.5
Tullett Prebon . . . . . .365.0 0.5 428.6 307.5
Walker Crips Grou . . .48.5 1.0 50.0 46.5
BT Group . . . . . . . . . .197.0 1.4 201.9 126.3
Cable & Wireless . . . .40.6 -0.6 61.4 40.3
Cable & Wireless . . . .51.2 0.2 92.0 46.6
COLT Group SA . . . .146.5 3.5 156.2 109.0
TalkTalk Telecom . . .149.4 -0.6 168.3 114.3
TelecomPlus . . . . . . .598.5 17.0 598.5 327.0
Booker Group . . . . . . .68.9 -0.1 70.3 39.5
Greggs . . . . . . . . . . . .528.0 -6.5 542.0 418.7
Morrison (Wm) Sup .297.2 1.0 308.3 257.7
Ocado Group . . . . . . .226.8 0.8 285.0 123.5
Sainsbury (J) . . . . . . .327.6 -3.8 395.0 317.2
Tesco . . . . . . . . . . . . .409.6 0.7 440.7 377.5
Associated Britis . .1046.0 2.0 1182.0 940.0
Cranswick . . . . . . . . .765.0 0.0 907.5 735.0
Dairy Crest Group . . .393.0 -0.9 424.9 339.7
Devro . . . . . . . . . . . . .280.0 -3.0 296.9 178.8
Premier Foods . . . . . . .30.8 0.2 35.1 16.0
Tate & Lyle . . . . . . . . .651.0 0.5 656.0 409.1
Unilever . . . . . . . . . .1964.0 1.0 2000.0 1688.0
Mondi . . . . . . . . . . . . .630.0 18.0 635.5 367.6
Centrica . . . . . . . . . . .327.0 5.0 346.1 277.9
International Pow . . .319.2 4.0 448.6 292.3
National Grid . . . . . . .600.5 6.0 632.5 484.2
Northumbrian Wate .382.6 8.1 383.7 280.9
Pennon Group . . . . . .671.5 15.0 675.0 530.5
Severn Trent . . . . . .1467.0 14.0 1517.0 1216.0
United Utilities . . . . .606.5 7.5 632.0 520.0
Cookson Group . . . . .671.0 7.0 724.5 367.4
DS Smith . . . . . . . . . .218.5 2.6 226.0 108.0
Glencore Internat . . .515.0 3.5 531.1 505.0
BAE Systems . . . . . .319.3 -0.2 369.9 294.7
Chemring Group . . . .652.5 -4.0 736.5 519.6
Cobham . . . . . . . . . . .215.7 1.8 247.6 192.3
Meggitt . . . . . . . . . . . .358.3 4.4 380.9 261.7
QinetiQ Group . . . . . .119.4 0.9 136.3 96.7
Rolls-Royce Group . .610.0 2.5 665.0 535.0
Senior . . . . . . . . . . . . .155.1 4.2 159.5 111.2
Ultra Electronics . . .1647.0 7.0 1895.0 1522.0
GKN . . . . . . . . . . . . . .214.4 5.4 237.1 109.3
Barclays . . . . . . . . . . .260.0 -3.2 344.0 255.4
HSBC Holdings . . . . .621.7 5.1 730.9 596.2
Lloyds Banking Gr . . .47.8 -0.9 77.6 46.9
Royal Bank of Sco . . .41.1 -0.3 52.1 37.6
Standard Chartere .1566.5 6.5 1950.0 1525.0
AG Barr . . . . . . . . . .1362.0 1.0 1395.0 1035.0
Britvic . . . . . . . . . . . . .411.9 -4.3 518.0 364.5
Diageo . . . . . . . . . . .1289.0 23.0 1301.0 1033.0
SABMiller . . . . . . . . .2242.5 29.5 2306.0 1827.0
AZ Electronic Mat . . .320.0 -6.3 338.1 248.5
Croda Internation . .1962.0 27.0 1965.0 971.0
Elementis . . . . . . . . . .160.0 5.7 169.8 58.8
Johnson Matthey . .1984.0 32.0 2119.0 1460.0
Victrex . . . . . . . . . . .1496.0 38.0 1525.0 1049.0
Price Chg High Low
Bellway . . . . . . . . . . . .697.0 -5.5 753.5 511.0
Berkeley Group Ho .1113.0 18.0 1156.0 751.0
Bovis Homes Group .419.8 -3.6 464.7 326.6
Persimmon . . . . . . . .454.8 3.8 502.5 336.5
Reckitt Benckiser . .3486.0 36.0 3648.0 3015.0
Redrow . . . . . . . . . . . .114.0 -0.8 139.0 97.5
Taylor Wimpey . . . . . . .35.9 0.2 43.3 22.3
Bodycote . . . . . . . . . .372.5 12.0 397.7 182.5
Charter Internati . . . .752.5 14.5 853.5 567.0
Fenner . . . . . . . . . . . .381.2 13.4 391.9 186.8
IMI . . . . . . . . . . . . . . .1029.0 24.0 1112.0 655.5
Melrose . . . . . . . . . . .335.6 5.5 355.5 203.4
Northgate . . . . . . . . . .320.9 2.9 346.7 152.3
Rotork . . . . . . . . . . .1664.0 0.0 1895.0 1254.0
Spirax-Sarco Engi . .1914.0 1.0 2063.0 1346.0
Weir Group . . . . . . .2050.0 94.0 2051.9 927.0
Ferrexpo . . . . . . . . . . .485.0 18.0 499.0 235.0
Talvivaara Mining . . .456.5 5.2 622.0 351.6
BBAAviation . . . . . . .211.3 2.3 240.8 175.0
Stobart Group Ltd . . .138.7 3.3 163.6 124.1
Admiral Group . . . . .1748.0 9.0 1754.0 1352.0
Haynes Publishing . .247.5 0.0 262.5 202.5
Huntsworth . . . . . . . . .72.9 -0.9 87.5 65.0
Informa . . . . . . . . . . . .427.7 0.9 461.1 342.1
ITE Group . . . . . . . . . .248.6 3.5 258.2 136.2
ITV . . . . . . . . . . . . . . . . .66.9 -0.4 93.5 48.3
Johnston Press . . . . . . .5.0 -0.1 20.0 4.6
MecomGroup . . . . . .257.5 12.0 310.0 162.0
Moneysupermarket. .107.5 -1.8 110.0 64.6
Pearson . . . . . . . . . .1161.0 24.0 1171.0 864.0
Reed Elsevier . . . . . .548.0 2.0 590.5 483.5
Rightmove . . . . . . . .1091.0 3.0 1104.0 596.5
STV Group . . . . . . . . .137.0 2.8 168.0 66.0
Tarsus Group . . . . . .146.0 2.5 165.0 112.0
Trinity Mirror . . . . . . . .42.5 0.0 124.3 41.5
United Business M . .561.0 1.5 725.0 483.8
UTV Media . . . . . . . . .128.5 -0.5 151.0 106.0
Wilmington Group . . .114.5 0.5 183.0 110.3
WPP . . . . . . . . . . . . . .734.5 10.5 846.5 614.5
Yell Group . . . . . . . . . . .6.0 -0.1 30.7 5.8
African Barrick G . . .425.0 10.0 670.0 415.0
Anglo American . . .2988.5 64.0 3437.0 2254.0
Anglo Pacific Gro . . .316.0 16.9 369.3 241.5
Antofagasta . . . . . . .1256.0 30.0 1634.0 761.0
Aquarius Platinum . .340.1 0.4 419.0 227.1
BHP Billiton . . . . . . .2324.5 29.5 2631.5 1684.5
Amlin . . . . . . . . . . . . .420.8 0.7 433.0 369.6
Beazley . . . . . . . . . . . .127.0 0.0 139.2 109.1
Catlin Group Ltd. . . .419.8 1.8 422.0 324.1
Hiscox Ltd. . . . . . . . . .420.0 4.0 424.7 336.1
Jardine Lloyd Tho . . .684.0 2.5 709.0 521.5
Lancashire Holdin . . .645.5 -2.0 664.0 480.0
RSA Insurance Gro . .137.0 0.6 143.5 117.6
Aviva . . . . . . . . . . . . . .431.4 7.0 477.9 305.8
Legal & General G . . .116.0 1.3 123.8 75.6
Old Mutual . . . . . . . . .128.7 2.0 145.2 102.0
Phoenix Group Hol . .658.0 1.5 758.0 584.5
Prudential . . . . . . . . .720.5 10.0 777.0 489.2
Resolution Ltd. . . . . .316.1 12.1 318.7 211.3
St James's Place . . . .338.3 -0.7 360.4 204.2
Standard Life . . . . . . .206.0 1.5 244.7 173.0
4imprint Group . . . . .291.5 7.5 294.0 195.0
Aegis Group . . . . . . .152.0 1.5 153.1 103.6
Bloomsbury Publis . .130.0 0.5 138.0 108.5
British Sky Broad . . .835.5 2.5 849.0 574.0
Centaur Media . . . . . . .55.3 1.5 73.0 45.8
Chime Communicati .283.0 3.3 298.5 158.0
Creston . . . . . . . . . . .120.0 -0.5 121.5 78.5
Daily Mail and Ge . . .436.6 -1.6 594.5 433.0
Euromoney Institu . .689.5 15.5 736.0 562.5
Future . . . . . . . . . . . . . .19.0 0.5 30.0 15.8
Centamin Egypt Lt . .121.0 -0.8 197.1 115.8
Eurasian Natural . . .802.0 -1.0 1125.0 795.0
Fresnillo . . . . . . . . . .1417.0 24.0 1682.0 950.0
GemDiamonds Ltd. .269.0 2.0 306.0 186.3
Hochschild Mining . .488.0 3.9 680.0 289.4
Kazakhmys . . . . . . .1243.0 14.0 1671.0 965.0
Kenmare Resources . .46.5 0.6 50.3 11.5
Lonmin . . . . . . . . . . .1544.0 9.0 1983.0 1355.0
Petropavlovsk . . . . . .737.0 3.0 1365.0 720.5
Randgold Resource 4843.0 46.0 6655.0 4425.0
Rio Tinto . . . . . . . . .4199.5 52.5 4712.0 2880.5
Vedanta Resources 2044.0 18.0 2583.0 1839.0
Xstrata . . . . . . . . . . .1365.0 20.5 1550.0 845.8
Inmarsat . . . . . . . . . . .598.0 -5.0 821.0 575.0
Vodafone Group . . . .161.4 -0.3 181.9 136.5
Genesis Emerging . .518.0 -5.0 568.0 439.1
Afren . . . . . . . . . . . . . .171.0 5.3 171.2 79.2
BG Group . . . . . . . . .1370.5 19.5 1564.5 1002.0
BP . . . . . . . . . . . . . . . .450.1 5.9 509.0 302.9
Cairn Energy . . . . . . .424.1 2.9 493.2 366.0
EnQuest . . . . . . . . . . .127.5 -2.3 158.5 96.0
Essar Energy . . . . . .426.0 5.7 589.5 387.1
Exillon Energy . . . . . .447.0 -1.2 469.7 166.5
Heritage Oil . . . . . . . .240.0 -0.6 486.0 227.8
JKX Oil & Gas . . . . . .293.3 8.3 335.1 228.0
Premier Oil . . . . . . . . .482.9 9.5 535.0 288.3
Royal Dutch Shell . .2147.0 22.5 2326.5 1624.0
Royal Dutch Shell . .2164.5 28.5 2336.0 1554.0
Salamander Energy .270.6 0.6 317.6 210.0
Soco Internationa . . .389.0 2.5 484.2 292.0
Tullow Oil . . . . . . . . .1323.0 24.0 1493.0 991.5
Amec . . . . . . . . . . . . .1114.0 22.0 1251.0 805.5
Hunting . . . . . . . . . . .738.5 12.5 817.0 439.4
John Wood Group . .647.0 18.0 706.0 297.5
Lamprell . . . . . . . . . . .382.0 3.6 400.9 195.3
Petrofac Ltd. . . . . . .1544.0 17.0 1685.0 1141.0
Burberry Group . . . .1308.0 30.0 1365.0 739.5
PZ Cussons . . . . . . . .376.6 6.8 409.0 296.0
Supergroup . . . . . . . .995.0 -11.0 1820.0 636.5
AstraZeneca . . . . . .3174.5 13.0 3385.0 2801.5
BTG . . . . . . . . . . . . . .276.4 -0.8 282.5 184.0
Genus . . . . . . . . . . . .1030.0 -6.0 1046.0 704.5
GlaxoSmithKline . . .1295.0 0.5 1348.5 1095.0
Hikma Pharmaceuti .831.0 -7.5 900.0 674.5
Shire Plc . . . . . . . . . .1870.0 -5.0 1961.0 1341.0
Capital & Countie . . .179.9 3.2 180.1 103.8
Daejan Holdings . . .2845.0 55.0 2919.0 2251.0
F&C Commercial Pr .107.0 0.4 108.0 88.0
Grainger . . . . . . . . . . .125.4 0.8 128.2 86.3
Helical Bar . . . . . . . . .254.5 -8.0 339.5 253.3
London & Stamford .132.0 -0.1 140.0 110.3
Savills . . . . . . . . . . . . .414.0 1.5 427.1 273.1
St. Modwen Proper . .192.0 1.7 195.0 135.4
UK Commercial Pro . .85.0 0.7 85.0 74.3
Unite Group . . . . . . . .222.0 3.0 229.8 163.0
Big Yellow Group . . .321.9 0.5 353.3 284.4
British Land Co . . . . .589.5 1.5 604.5 429.0
Capital Shopping . . .386.9 3.8 424.8 301.3
Derwent London . . .1862.0 18.0 1862.0 1208.0
Great Portland Es . . .433.2 -2.6 442.2 281.0
Hammerson . . . . . . . .481.7 4.7 486.3 336.3
Hansteen Holdings . . .86.2 -0.1 89.3 59.4
Land Securities G . . .848.0 12.0 848.5 545.0
SEGRO . . . . . . . . . . . .326.0 2.7 331.3 250.2
Shaftesbury . . . . . . . .528.0 0.0 539.0 349.3
Autonomy Corporat 1798.0 23.0 1975.0 1271.0
Aveva Group . . . . . .1709.0 19.0 1739.0 1125.0
Computacenter . . . . .452.3 1.7 489.7 260.0
Fidessa Group . . . . .1927.0 -23.0 1971.0 1300.0
Invensys . . . . . . . . . . .302.9 1.1 364.3 230.2
Kofax . . . . . . . . . . . . .503.5 7.5 535.0 231.0
Logica . . . . . . . . . . . .130.0 -0.5 147.2 101.7
Micro Focus Inter . . .378.8 5.4 541.5 276.0
Misys . . . . . . . . . . . . .390.1 2.1 390.9 232.8
Sage Group . . . . . . . .289.9 4.4 302.0 222.7
SDL . . . . . . . . . . . . . . .709.0 9.0 710.5 441.2
Telecity Group . . . . . .539.0 -1.0 548.5 374.9
Aggreko . . . . . . . . . .1934.0 25.0 1939.0 1346.0
Ashtead Group . . . . .179.9 4.9 207.9 77.0
Atkins (WS) . . . . . . . .813.5 -5.0 820.0 650.0
Babcock Internati . . .688.0 5.0 704.5 492.8
Berendsen . . . . . . . . .493.6 0.6 519.5 360.2
Bunzl . . . . . . . . . . . . .779.5 8.0 783.0 658.0
Capita Group . . . . . . .735.0 -7.0 810.0 635.5
Carillion . . . . . . . . . . .373.7 3.9 403.2 291.2
De La Rue . . . . . . . . .783.5 0.0 984.0 549.5
Electrocomponents .286.8 -3.2 294.9 205.7
Experian . . . . . . . . . . .802.5 23.5 819.0 578.0
Filtrona PLC . . . . . . . .372.0 3.0 385.5 196.1
G4S . . . . . . . . . . . . . . .283.4 -0.7 291.0 237.7
Hays . . . . . . . . . . . . . .106.1 0.6 133.6 88.4
Homeserve . . . . . . . .527.0 -4.5 532.5 398.6
Howden Joinery Gr . .107.6 1.0 127.5 56.8
Intertek Group . . . . .1989.0 7.0 2148.0 1413.0
Michael Page Inte . . .526.5 -9.5 567.0 349.4
Mitie Group . . . . . . . .233.4 4.3 241.1 188.7
Premier Farnell . . . . .279.0 -5.0 308.8 210.2
Regus . . . . . . . . . . . . .107.8 0.1 119.0 66.1
Rentokil Initial . . . . . . .97.2 -0.1 121.7 84.3
RPS Group . . . . . . . . .243.0 2.6 251.4 169.8
Serco Group . . . . . . .581.5 -2.5 640.0 529.5
Shanks Group . . . . . .129.1 0.6 129.9 96.5
SIG . . . . . . . . . . . . . . .144.7 -0.2 153.5 90.7
SThree . . . . . . . . . . . .396.5 0.6 447.6 231.1
Travis Perkins . . . . .1059.0 19.0 1127.0 709.0
Wolseley . . . . . . . . .1971.0 64.0 2261.0 1223.0
ARM Holdings . . . . . .566.5 1.0 651.0 270.5
CSR . . . . . . . . . . . . . .315.1 -11.0 447.0 280.9
Imagination Techn . .495.0 7.9 502.0 239.0
Pace . . . . . . . . . . . . . .108.6 0.2 231.8 93.0
Spirent Communica .146.9 -0.1 160.3 106.9
British American . .2730.0 27.5 2745.5 2091.0
Imperial Tobacco . .2110.0 -29.0 2231.0 1784.0
Avis Europe . . . . . . . .199.0 1.0 267.9 184.0
Betfair Group . . . . . . .830.0 30.5 1550.0 753.0
Bwin.party Digita . . .146.0 1.9 309.5 127.5
Carnival . . . . . . . . . .2313.0 7.0 3153.0 2037.0
Compass Group . . . .598.5 14.5 599.0 501.0
Domino's Pizza UK . .392.1 -2.9 586.0 358.1
easyJet . . . . . . . . . . . .351.8 -3.5 479.0 322.3
Enterprise Inns . . . . . .75.9 -0.9 122.7 74.5
FirstGroup . . . . . . . . .335.5 0.8 412.6 311.3
Go-Ahead Group . . .1486.0 11.0 1504.0 1042.0
Greene King . . . . . . .491.2 0.2 502.5 381.9
InterContinental . . .1206.0 14.0 1435.0 982.0
International Con . . .224.1 -2.0 305.0 186.5
JD Wetherspoon . . . .431.7 -6.3 468.3 386.5
Ladbrokes . . . . . . . . .147.2 0.1 152.2 122.7
Marston's . . . . . . . . . .102.7 -0.8 117.1 90.4
Millennium& Copt . .496.4 -7.1 600.5 392.0
Mitchells & Butle . . . .324.3 -3.4 361.0 274.0
National Express . . .254.3 2.0 270.2 213.4
Punch Taverns . . . . . .73.9 -1.1 90.4 58.0
Rank Group . . . . . . . .150.0 -0.3 153.0 94.8
Restaurant Group . . .295.5 -0.3 335.0 208.2
Stagecoach Group . .246.5 0.4 249.8 160.7
Thomas Cook Group 138.5 -3.8 205.5 138.1
TUI Travel . . . . . . . . . .218.2 -4.5 271.9 190.0
Whitbread . . . . . . . .1545.0 19.0 1887.0 1361.0
WilliamHill . . . . . . . . .220.1 3.1 223.5 155.5
Abcam . . . . . . . . . . . .426.0 2.0 428.5 237.4
Albemarle & Bond . .331.5 0.0 335.0 218.0
Amerisur Resource . .27.0 -0.5 29.0 11.5
Archipelago Resou . . .63.5 0.8 66.8 32.3
ASOS . . . . . . . . . . . .2407.0 33.0 2432.0 715.0
Aurelian Oil & Ga . . . .59.5 5.3 92.0 35.8
Avanti Communicat .414.5 7.3 735.0 376.0
Avocet Mining . . . . . .188.3 -1.0 253.5 112.0
Blinkx . . . . . . . . . . . . .131.3 -1.5 148.8 33.5
Borders & Souther . . .55.5 -0.5 93.0 54.5
BowLeven . . . . . . . . .325.3 33.5 398.0 122.0
Caledon Resources .105.0 0.3 107.0 23.3
Cape . . . . . . . . . . . . . .560.5 2.5 569.5 191.0
Conygar Investmen .116.4 0.5 120.0 101.3
Cove Energy . . . . . . . .83.0 3.8 112.8 47.5
Daisy Group . . . . . . .108.8 1.8 110.0 86.0
Desire Petroleum . . . .17.5 -6.0 168.5 11.3
EMIS Group . . . . . . . .527.3 -22.8 555.5 303.5
Encore Oil . . . . . . . . . .62.5 0.0 151.5 28.5
Faroe Petroleum . . . .170.0 0.0 218.3 113.5
Gulfsands Petrole . . .258.0 7.5 401.5 234.8
GWPharmaceutical .119.9 1.4 141.0 83.0
Hamworthy . . . . . . . .659.5 20.5 669.5 292.5
Hargreaves Servic .1004.0 -3.0 1040.0 556.5
Healthcare Locums . .112.5 0.0 112.5 112.5
Immunodiagnostic . .955.0 -5.0 980.0 575.0
ImpellamGroup . . . .346.1 -16.4 387.5 73.0
James Halstead . . . . .459.4 4.4 485.0 306.0
Kalahari Minerals . . .232.0 -0.3 301.0 142.0
London Mining . . . . .383.5 -2.8 436.5 194.0
Lupus Capital . . . . . .122.0 -1.4 150.0 72.0
M. P. Evans Group . .409.9 -10.1 500.5 323.5
Majestic Wine . . . . . .448.0 9.0 448.0 270.5
May Gurney Integr . .269.0 4.3 281.0 177.0
Monitise . . . . . . . . . . . .28.3 2.0 29.5 17.8
Mulberry Group . . . .1344.0 1.0 1610.0 200.5
Nanoco Group . . . . . . .78.5 3.3 115.8 68.0
Nautical Petroleu . . .342.0 3.5 547.0 112.5
Nichols . . . . . . . . . . . .555.0 -10.0 578.0 370.0
Numis Corporation . .104.3 -2.8 146.5 94.0
Patagonia Gold . . . . . .42.3 -0.5 59.3 12.5
Pursuit Dynamics . . .354.0 4.0 700.0 190.0
Rockhopper Explor .274.0 3.3 510.0 202.5
RWS Holdings . . . . . .430.0 -5.0 445.0 239.0
Songbird Estates . . .160.0 0.0 160.0 133.8
Sterling Energy . . . . . .44.3 -0.8 147.0 44.0
Valiant Petroleum . . .592.5 -17.5 761.5 504.0
Vatukoula Gold Mi . . .114.8 -3.8 227.0 84.0
Young & Co's Brew . .670.0 12.0 685.0 510.0
Anglo Pacific Grou . .316.0 5.7
Weir Group . . . . . . .2050.0 4.8
Resolution Ltd. . . . . .316.1 4.0
Ferrexpo . . . . . . . . . .485.0 3.9
Betfair Group . . . . . . .830.0 3.8
Elementis . . . . . . . . . .160.0 3.7
Fenner . . . . . . . . . . . .381.2 3.6
Wolseley . . . . . . . . .1971.0 3.4
Bodycote . . . . . . . . . .372.5 3.3
Afren . . . . . . . . . . . . .171.0 3.2
Home Retail Group . .174.5 -13.7
Dixons Retail . . . . . . .17.6 -8.9
JD Sports Fashion . .939.0 -4.1
CSR . . . . . . . . . . . . . .315.1 -3.4
Helical Bar . . . . . . . . .254.5 -3.1
Thomas Cook Group 138.5 -2.7
Debenhams . . . . . . . . .67.8 -2.3
RPC Group . . . . . . . .331.4 -2.2
Fidelity China Spe . . .100.6 -2.0
TUI Travel . . . . . . . . . .218.2 -2.0
Risers Fallers
MAIN CHANGES UK 350
Price Chg High Low Price Chg High Low Price Chg High Low Price Chg High Low Price Chg High Low Price Chg High Low Price Chg High Low
Price Chg High Low Price Chg High Low
GILTS
AEROSPACE & DEFENCE
CONSTRUCTION & MATERIALS
ELECTRICITY
ELECTRONIC & ELECTRICAL EQ.
EQUITY INVESTMENT INSTRUM.
FINANCIAL SERVICES
FIXED LINE TELECOMS
FOOD & DRUG RETAILERS
FOOD PRODUCERS
FORESTRY & PAPER
GAS, WATER & MULTIUTILITIES
GENERAL RETAILERS
HEALTH CARE EQUIPMENT & S.
HHOLD GDS & HOME CONSTR.
INDUSTRIAL ENGINEERING
INDUSTRIAL TRANSPORTATION
MEDIA
LIFE INSURANCE
PERSONAL GOODS
PHARMACEUTICALS & BIOTECH
REAL ESTATE INVEST. & SERV.
SOFTWARE & COMPUTER SERV.
SUPPORT SERVICES
TECHNOLOGY HARDW. & EQUIP.
TOBACCO
TRAVEL & LEISURE
AIM 50
NON LIFE INSURANCE
REAL ESTATE INVEST. TRUSTS
http://corporate.webfg.com
mailto:
globaltechsales@webfg.com
AUTOMOBILES & PARTS
BANKS
ALTERNATIVE ENERGY
CHEMICALS
BEVERAGES
GENERAL INDUSTRIALS
MOBILE TELECOMS
OIL & GAS PRODUCERS
OIL EQUIPMENT & SERVICES
MINING
NONEQUITY INVESTM. COMM.
Tsy 3.250 11 . . . . .101.37 -0.02 103.8 101.4
Tsy 9.000 11 . . . . .100.75 -0.02 109.1 100.7
Tsy 2.500 11 . . . . .307.65 -0.01 310.0 307.6
Tsy 9.000 12 . . . .109.41 0.00 116.8 108.6
Tsy 5.000 12 . . . .103.26 -0.05 107.2 103.2
Tsy 5.250 12 . . . .104.50 -0.02 108.5 104.5
Tsy 2.500 13 . . . .287.02 0.01 287.1 274.0
Tsy 8.000 13 . . . . .115.90 -0.02 121.3 115.8
Tsy 4.500 13 . . . .106.29 -0.01 109.2 105.8
Tsy 5.000 14 . . . . .111.22 0.06 114.1 109.2
Tsy 7.750 15 . . . .104.37 -0.76 110.9 76.0
Tsy 8.000 15 . . . .126.44 0.09 131.6 123.7
Tsy 4.750 15 . . . . .111.91 0.10 114.7 108.6
Tsy 2.500 16 . . . .332.05 0.14 332.4 304.4
Tsy 4.000 16 . . . .109.05 0.13 111.4 104.9
Tsy 12.000 17 . . .126.80 0.00 185.9 126.0
Tsy 1.250 17 . . . . .111.39 0.10 111.6 104.9
Tsy 8.750 17 . . . .136.56 -0.22 142.2 132.9
Tsy 5.000 18 . . . . .114.59 0.14 117.6 109.7
Tsy 4.500 19 . . . . .110.70 0.16 113.8 105.4
Tsy 3.750 19 . . . .104.88 0.16 107.7 99.4
Tsy 2.500 20 . . . .337.99 0.17 338.8 303.8
Tsy 4.750 20 . . . . .112.07 0.18 115.9 106.6
Tsy 8.000 21 . . . .140.49 0.19 147.1 133.8
Tsy 4.000 22 . . . .104.40 0.11 108.4 99.0
Tsy 1.875 22 . . . . .116.78 0.03 117.8 108.5
Tsy 2.500 24 . . . .295.99 0.06 297.1 262.1
Tsy 5.000 25 . . . . .113.09 0.11 118.5 107.4
Tsy 4.250 27 . . . .103.31 0.02 108.8 97.9
Tsy 1.250 27 . . . . .110.02 -0.14 111.2 100.5
Tsy 6.000 28 . . . .125.48 0.01 132.7 119.5
Tsy 4.750 30 . . . .108.87 -0.01 115.0 103.0
Tsy 4.125 30 . . . .280.94 -0.06 282.0 248.7
Tsy 4.250 32 . . . .101.88 -0.03 107.8 96.0
Tsy 4.250 36 . . . .101.18 -0.14 107.4 95.0
Tsy 4.750 38 . . . .109.74 -0.13 116.5 102.8
Tsy 4.500 42 . . . .105.99 0.00 112.8 98.9
% %
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Living| Riverside
THE ONE & ONLY: THE
PALM, DUBAI
SEE MONDAYS TRAVEL
SECTION FOR MORE
21
F
ORGET yachts, successful City boys and
girls will be cruising to work on boats
in the years to come. Marinas are
springing up alongside Londons
Thameside developments. Chelseas flashy
1,000-apartment Imperial Wharf has just
opened a marina, while Vauxhalls St.
George Wharf is building a river taxi pon-
toon on its doorstep that will open in
September.
Developers have always loved the water-
front in London for building large-scale lux-
ury residences. They are low risk
investments, Carl Davenport of Chesterton
Humberts says, views of the river dont lose
their value. Especially with waterfront
homes because theres no danger that some-
one can build in front of them. Prices bare-
ly moved over the recession and now they
on the ascent.
Their asset status has encouraged devel-
opers to push further west. The recently
opened 199-apartment NEO Bankside, next
to the Tate Modern, and the newly
launched Doulton House development at
Chelsea Creek, are testaments to that fact.
Reassuringly, for those keen on the idea
of a boat trip to work, the developments
have historically encouraged the Mayor to
improve the transport facilities. In 2009, the
New transport innovations will make luxury riverside
developments even more desirable, says Donata Huggins
Savvy investors will soon be taking to water
Imperial Wharf overground station opened
to give residents better access to the city.
Davenport says these sort of transport inno-
vations have an enormous impact: Those
who bought off-plan at St. Georges Wharf
all made 100,000 when they re-sold a few
years later. A lot of that is to do with the
areas great transport links into the city.
Now the same approach has been taken for
NEO Bankside. Blackfriars tube at the foot
of the development is being refurbished
and the pier and boat service improved.
Indeed, the public clipper and river taxi
services already have people commuting to
work by boat from the NEO Bankside devel-
opment. The clipper from Bankside, for
instance, can get you to Canary Wharf in
just under 20 minutes, using your Oyster
card for admission.
The increased provision for private moor-
ing around the developments, however,
could make commuting to work on your
own small speedboat fashionable. Riverside
resident Rupert Lee-Browne already does
this. He has a mooring at Cadogan Pier and
regularly uses this to commute to the City:
It is quite expensive and occasionally unre-
liable, but by far and away the most beauti-
ful way to travel in London. Every time I go
up and down the river I discover something
completely new. Ive done it now for a few
years I am still in love with it.
If you are interested in buying your own
slice of the riverside life, you should try to
buy a home looking out on to the water if
you want to get a strong return on your
investment. Davenport says there is a 20-30
per cent premium on a river view when you
sell. Up until now, lots of people have seen
the river as a barrier to work rather than
benefit all this investment could change
that.
SPINNAKER HOUSE,
BATTERSEA REACH
This development will
be completed in
Summer 2012. A one-
bedroom apartment is
currently being sold
for 319,950
DOULSTON HOUSE,
CHELSEA CREEK
This recently launched devel-
opment is currently being
sold off plan from 559,950
for a one-bed. Knight Frank,
020 7861 5444
IMPERIAL WHARF
All the apartments
in this development
have already been
sold, keep your eyes
peeled for re-sales.
ST GEORGE WHARF
There is a three-bed-
room apartment avail-
able here with a river
view at 1.2m. (Foxtons,
020 7801 1111)
NEO BANKSIDE
Pavilion A is now sold out,
but Pavilion B will be com-
pleted at the end of June and
has apartments available,
starting at 1m. (Knight
Frank, 020 7861 5444)
www.apdinteriors.com
*Nationwide Building Society.
No need to move, improve
Tel. 020 7687 6288
Email. info@apdinteriors.com
Twitter. @andrewdunning
Web. www.apdinteriors.com
Then make the most of our special offer and have the home you
want this year without breaking the bank.
We can deliver a complete home renovation, extensions or loft/
basement conversions, interior design or the redesign of a single
room, without disrupting your busy life.
Increase the value of your home by up to 22%* by investing in any
one of our services. For a free consultation and to make the most of
our offer, quote APDCAM
Is your home looking tired?
In need of a makeover?
Need to entertain in a beautiful
new kitchen or lounge?
Showhouse open daily
10am - 5pm
:
Architects cast an
expert interior eye
F
REELANCE writer Elisa Wickham
and her partner were faced with a
debate two years ago when they
began renovating the interior of
their promising, but outdated shabby
three-bed property in N7: Pay an architect
to advise or go direct to a builder?
Neither us have any building abilities
and we dont have massive incomes so the
whole project was a gamble, says
Wickham. We didnt want to get it
wrong.
Wickham and partner opted to consult
London-based architect Brian OTuama
and today they say theyd never consider
anything else. The layout and the overall
design are much better than it was origi-
nally. The flat is flooded with light thanks
to his suggestion of a window on the stair-
well. He also guided us through moving
the bathroom upstairs from the down-
stairs kitchen, conforming to building
regulations. It was an expense but I think
it has really saved us money in the long
run, says Wickham. She added: If we
hadnt used an architect I think we could
have gone way over budget. He managed
the planning, the building contractor,
and materials. He helped us get a better
deal on some supplies and advised strate-
gically on where to spend money and
where not to. Wickham said the flat was
recently valued at 30 per cent more than
the original purchase price, adding a dou-
ble digit profit which was largely down to
the improved layout and finish.
There is a misconception that archi-
tects are only there for large projects but I
would recommend using one any time for
interior work. The way I see it, if youre
spending upwards of 20,000 on renova-
tions an architect can be fantastic for
making sure it is executed well and in a
way that benefits the property.
Wickham is one of a growing group of
savvy consumers turning to architects for
smaller projects. Its great if you have
small spaces like flats where you need to
fit things in cleverly, says London-based
architect Robin Monotti, adding that peo-
ple approaching him about small-scale
interior projects were becoming increas-
ingly common. You save money in the
long run because you dont make expen-
sive mistakes and you get what you want.
Monotti advises clients on all the tricks for
Small scale cosmetic changes? Its still worth
tapping the professionals, says Lucie Greene
Old Saint Michaels, Rayne Road, Braintree, Essex CM7 2QU
For All Enquiries Call: 01376 335800
Showhomes open daily 10am to 5pm
www.oldsaintmichaels.co.uk
Nash House is the last collection of unique homes at Old Saint Michaels. Quirky interiors complete
with a fully inclusive specication housed within a historic Grade II Listed Victorian building.
1 & 2 bedroom apartments and duplex from 125,000 to 310,000
Nash House launching 18th & 19th June

Visit Old Saint Michaels in
June for your chance to win
family tickets to The Duke
of Essex Polo Cup*
* See www.cityandcountry.co.uk
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Scan with your Smartphone
to visit Old Saint Michaels.
Above, a recent
kitchen renovation
design by Brian
OTuama.
making properties look, and work their
best, from choosing the right door height
to strategic spotlight schemes.
Getting an architect isnt as expensive
as youd think. Prices start at roughly 12
per cent of the total works, or can be
charged at an hourly rate of roughly 80.
It really can be a bespoke service, from
just a consultation to managing the whole
thing, says Brian OTuama, who has built
a following among clients in North
London. We source reliable builders.
Because everything is drawn to scale, the
quotes are much more accurate. We help
people eek more out of the space. You also
avoid the expensive retail costs on things
like designer kitchens. With an architect
you can get a bespoke top quality kitchen
designed to your needs, with cost price on
materials, for a fraction of showroom
prices which can run to over 20,000.
And, the benefits to the long-term value
of your home can be huge. Its a major
selling point to be able to say your proper-
ty is architect designed. So often the
spaces work much better when theyre
worked on professionally and people
know that, says Martin Bikhit, managing
director at central London estate agents
Kay & Co. People are more aware of space
now. Its not just size, its the quality, too.
An architect can help you get that right
Meanwhile, says Bikhit, a bad renova-
tion can actually be counterproductive.
People think they are saving money by
doing it themslevs, but buyers are put off
by paying a renovation premium for a
property they have to correct.
Living | The Knowledge
23 CITYA.M. 10 JUNE 2011
GRESHAM HOUSE,
BRADFORD STREET
Price: 749,95
This listed property runs
across four floors and
retains a number of period
features. The house has six
bedrooms, two bathrooms,
three reception rooms
including an orangery.
There is a small playroom,
kitchen, living room, laun-
dry, utility room, office and
cloakroom. There is a gym
in the basement.
Contact: John D Wood &
Co. on 01245 344222 or go
to www.johndwood.co.uk
NASH HOUSE, OLD
SAINT MICHAELS
Price: 425,000
Within this Victorian
hospital conversion
there is a one-bedroom
apartment for sale with
a terrace overlooking
the courtyard gardens.
It is a grade II listed
building and retains
many of its period fea-
tures, including original
quarry tiles, restored
sash windows and fire-
places.
Contact: Beresfords,
www.beresfords-
group.co.uk
WESTERGREEN
MEADOW, OFF
LONDON ROAD
Price: 379,995
This four-bedroom
family home has
three reception
rooms, a fitted
kitchen with granite
worktops, a recently
re-fitted bathroom, a
double garage and
driveway.
Contact: Beresfords
on 01376 348444 or
go to www.beres-
fordsgroup.co.uk
Q.
I have 500,000 in cash to invest
in a buy-to-let flat in central
London. What should I buy?
A.
One-bedroom apartments are always
in demand in central London which
fits in well with your budget. I would
recommend that you look for a property with
a low service charge (this is important
because it will be your responsibility as the
landlord to pay this and a high one will eat
into your return). Ideally, the flat should have
good transport links and be on the ground,
first or second floor, especially if there isnt a
lift. Bayswater is an area that is currently per-
forming well and offers good value for money
since it sits between the pricier areas of
Notting Hill and Marylebone. Plus it certainly
looks like it has room for price growth.
Finally, don't use cash, take a mortgage. You
can offset the mortgage interest against the
rental income which is extremely tax efficient.
A good broker can offer you guidance on this.
It will probably mean you can actually buy
two flats rather than one with and this means
twice the capital appreciation.
Q.
I have owned my flat for 20
years. It has a large loft which I
would like to develop into an extra
room. While I have the sole use of this
space it is not demised to me. Can I get
planning permission to develop it before
I sell it?
A.
The problem you face is that although
the flat has sole access to this space
it does not actually own it, it is owned
by your freeholder. No one can stop you from
using this space as storage, given you have
owned and used it for 20 years, but you can-
not alter it in anyway without the freeholder's
consent. In addition, the freeholder would be
perfectly entitled to ask for additional money
from you to allow you to incorporate that
space into your apartment. So, while you can
apply for planning permission you cannot
develop it without first getting permission
from and (probably) paying a premium to the
freeholder. If you do this without consent you
would be in breach of your lease and the free-
holder could force you to reinstate the flat to
its former layout something that any com-
petent buyer's solicitor would pick up on. This
would result in them advising the buyer not
to proceed with the purchase, irrespective of
the planning permission.
Martin Bikhit
MANAGING DIRECTOR OF
CENTRAL LONDON ESTATE
AGENCY, KAY & CO
Q A
&
Commuting to the city:
Driving from Braintree to the
City takes just over an hour.
Taking the train, however, can
get you into Liverpool Street
in just over 30mins. From
Liverpool Street, you can jump
on the tube and then DLR to
reach Canary Wharf in 20
minutes.
Education: While the majori-
ty of schools in the area dont
have particularly impressive
academic results, the inde-
pendent Gosfield School per-
forms well. The school is
co-educational and teaches
from the age of 4 to 18.
Boarding is optional. Day fees
run up to 4,000 a term.
NEED TO KNOW | AREA INSIGHT
SELL
BRAINTREE, ESSEX BY DONATA HUGGINS
BRAINTREE | PRICE ACTION
Detached Semi-Detached Terraced Flats
Braintree 346,780 196,501 168,419 124,313
Essex 369,726 223,912 185,693 140,908
Source: Savills
THE STABLES ~ THE COACH HOUSE ~ THE MANSION HOUSE
Set in 63 acres of parkland with the vibrant
town of Hertford on the doorstep and great
transport links to London.
Beautifully appointed period apartments in
The Coach House from 480,000
Balls Park, Hertford SG13 8FP
LAUNCHING 11TH & 12TH JUNE
THE EAGERLY AWAITED
UNVEILING OF THE COACH HOUSE
CALL 01992 551777 OR VISIT WWW.BALLS-PARK.CO.UK
SHOW HOMES OPEN DAILY 10AM TO 5PM
CURRENT MORTGAGE DEALS BY DONATA HUGGINS
Lender Fixed/Flexible Rate Until apr Maximum Loan to
(per cent) (per cent) Value (per cent)
First Direct Flexible 1.99 2 years 3.5 65
ING Direct Flexible 2.04 2 years 3.4 60
Santander Flexible 2.19 2 years 4 60
Yorkshire BS Flexible 2.29 June 2013 4.7 75
Yorkshire BS Fixed 2.79 June 2013 4.8 60
Santander Fixed 2.79 August 2013 4.2 60
Woolwich Fixed 2.98 August 2013 3.6 70
Mansfield BS Fixed 3.09 2 years 5.3 75
Yorkshire BS Fixed 3.59 June 2014 4.9 75
Source: MoneySupermarket.com
Living | Focus On
24 CITYA.M. 10 JUNE 2011
Living | Property of the Month
26 CITYA.M. 10 JUNE 2011
Architectural landmark and family home
W
HOEVER ends up buying the
White Cottage, on a quiet road at
the south west corner of
Wandsworth Common, will not
only become owner of a supremely elegant
family home, but custodian of a highly
unusual piece of architectural history.
The house, built in 1903 and on the mar-
ket for 5m, is the work of the architect
Charles Voysey, a leading light of the Arts
and Crafts movement and a crucial figure
in British 20th century architecture. Voysey
built just 40 houses, most of which are larg-
er country homes the White Cottage is a
very rare example of a London house by
him, and a supreme expression of the sim-
plicity, attention to detail and naturalistic
grace that imbued Arts and Crafts design.
When its current owner, Mark Boston,
bought it 16 years ago, it was in need of seri-
ous attention Boston estimates he has
spent over 1m on its restoration over the
years. My wife fell in love with the house
because its such a beautiful place, but it
had faded and been neglected, he says. Its
a gem of a house though, and it became
like owning an old MG car you keep on
wanting to improve it and return it to its
former glory.
The Grade II listed house has five bed-
Timothy Barber nds
a gorgeous Arts and
Crafts house in the
heart of Wandsworth
The White Cottage
has been painstakingly
restored, and is being
sold with modern
furniture designed
specially for it.
rooms, and includes a drawing room, din-
ing room and library. At the back of the
house, an outdoor swimming pool
installed by Boston has been designed in
keeping with Voyseys style. Furniture by
modern British Arts and Crafts specialist
Tony Colletd, made specially for the house,
is also being included in the sale.
As are, most intriguingly, Voyseys origi-
nal drawings. While much of his work
including the textile and wallpaper designs
for which he was also famous is in muse-
ums, including the V&A, his drawings for
the White Cottage have remained at the
house. They came in handy for the restora-
tion, but Boston points out that this is no
mere museum.
It retains its Voysey feel, but the house
has been completely brought into line with
requirements of a modern family, he says.
We want to hand it on to somebody who
will appreciate it, who understands what is
special about the property and retains that
sense of being a custodian.
Call Aylesford International on 020 7351 2383 or
email sales@aylesford.com. www.aylesford.com
Lifestyle | Arts
SUMMER AT
GOODWOOD
SEE MONDAYS
NEWSPAPER
27
Film Review
KUNG FU PANDA 2
Cert: PG
hhhII
SOMETHING of a surprise megahit back in
2008, the original Kung Fu Panda film
turned out to be one of the best animated
films of the past decade. The mix of love-
able animals, Oriental mythology and mar-
tial arts fun proved irresistible to kids
plenty of family households have reverber-
ated to hi-YA! cries and junior kung fu
kicks ever since.
The follow-up isnt as engrossingly enjoy-
able, perhaps in part because it isnt such a
fresh surprise. The predictable decision to
render this film in 3D (the previous film
was in perfectly satisfactory 2D) adds noth-
ing, and Id argue is a confusing detractor
to some beautiful animation. But its a ful-
some slice of family entertainment
nonetheless, and kids who adore the first
film will undoubtedly still have a ball.
Now that our hero, Po the tubby panda
(voiced by Jack Black) has mastered kung fu
with the help of his Yoda-esque tutor
Antipodean arts and
culture to be feted:
Come join the party,
writes Lucie Greene
Pictures clockwise
from top: The Waka
on the Thames, a
Piano from last years
event at Bank,
Goldsmiths Hall,
William Barton.
KABOOMBizarre, eventually apocalyptic look at life,
sex and the universe, from director Greg Araki.
MOTHERS DAY Remake of the Eighties horror flick,
with Rebecca de Mornay as a psychotic mommy.
POINT BLANKNot the legendary Lee Marvin film, but
a run-of-the-mill French action caper.
FILM
127 HOURS James Franco stars in Danny Boyles scin-
tillating, terrifying desert survival feature.
THE MECHANIC Jason Statham, guns, stunts, terrible
dialogue, you know the score.
GNOMEO & JULIET Charming Disney feature with
gnome Capulets and Montagues.
DVD
ARCTIC MONKEYS The return of the Sheffield rock-
ers, with new album Suck it and See.
OLD GREY WHISTLE TEST 40TH ANNIVERSARY
Highlights from the landmark music TV show.
MY MORNING JACKET The US indie veterans new
album is called Circuital.
MUSIC
DUKE NUKEM FOREVER (X360, PS3, PC) 14 years in
development hell, a new Duke Nukem finally arrives.
INFAMOUS 2 (PS3) Use your electrical superpowers
to battle beasties in this open world sequel.
RED FACTION: ARMAGEDDON (X360, PS3, PC) Third-
person sci-fi shooter, set on Mars.
GAMES
ALSO OUT THIS WEEK | FILM, MUSIC, GAMES
Master Shifu (Dustin Hoffman), kung fu
itself is under threat. Dastardly peacock
Lord Shen (Gary Oldman, great fun) who
has a knack for hurling pointed feathers
from his tail like darts is out to take over
the land, and hes packing some firepower.
While the scope is bigger than the first
outing, the characterisation of the support-
ing cast has sadly diminished Pos gang,
the Furious Five, has less impact here. But
the action set-pieces are terrific, the old-
world China setting (as populated by ani-
mals) makes for a particularly rich design
palette and the jokes fly as thick and fast as
the kung fu chops. Timothy Barber
A
TROOP of didgeridoos playing a live
chorus for commuters set the tone
for this years much-anticipated
City of London Festival. On June
28th, the atmospheric instruments will
serenade workers arriving on each of the
Citys five main bridges (Blackfriars,
Millennium, London, Southwark and
Tower Bridge) as they head to work.
This year, in case you hadnt guessed,
the event is celebrating all things
Antipodean. An extravaganza of acts from
Australia, New Zealand and the South
Pacific will be staged in and around the
Citys most prestigious buildings and out-
door monuments.
Some of the most anticipated events are
set to be held at the Citys spectacular
Livery Halls (historic merchant trading
venues). Australias foremost didgeridoo
player William Barton takes up residence
during the Festival, playing at the
Apothecaries Hall with pianist Piers Lane
(1 July) and Goldsmiths Hall with the
Goldner String Quartet. Kiwi baritone
Jonathan Lemalu performs with
the New Zealand String Quartet
at Merchant Taylors Hall (11
July). Other festival highlights
include the world-premiere of Liminals
four-meter high instrument Organ of
Corti, an incredible transparent sonic crys-
tal that takes sounds from the environ-
ment and recycles them. (The design is
winner of PRS for Music Foundations New
Music Award 2010. Its music is created by
audiences stepping inside and mov-
ing. Carter Lane Gardens, 1 7
July.)
The Grammy Award-win-
ning Kings Singers will also
give the world premire of
Australian composer
Elena Kats-Chernins
Rivers Lament at the
Lord Mayors residence,
Mansion House (7 July).
Then theres the Dusk
Chorus, a specially com-
missioned dance installa-
tion due to be staged on the
steps of St Pauls Cathedral (12
July, 1.15pm and 7pm) set to ambi-
ent music from recordings of birdsong
and wildlife in the Australian Outback.
Piano fans are in for a treat with a fif-
teen Piano Salute to Percy Grainger,
Australias most quirky and famed com-
posers, who died 50 years ago.
Keen City piano players will also be able
to have a go at their
own tunes as with last
year, the instruments will
be distributed in outdoor areas
throughout the Square Mile.
Theres also a series of free outdoor
events, including Waka on the Thames
which will feature an ornate Maori war
canoe crewed by 16 Maoris in full tradi-
tional dress from New Zealands Toi Maori
and Londons Ngati Ranana communities
(1 July).
Add to that the first-ever London New
Zealand Film Festival (1 3 July) with an
outdoor screening of Whale Rider in
Canada Park Square, and The Royal New
Zealand Ballet at the Barbican (14 16
July), among others, and you have quite
the party. Runs: 26 June to 16 July. See: 0845 120
7502 or www.colf.org
City of London
festival goes
Down Under
T
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PAUL MERTONS BIRTH OF
HOLLYWOOD BBC2, 9.30PM
The comedian traces the rise of
studios by recounting the history of
MGM, and explores the work of
renowned producer Irving Thalberg.
LOVE YOUR GARDEN
ITV1, 8PM
New series. Alan Titchmarsh travels
around the nation with a team of
experts to find some of Britains most
beautiful domestic gardens.
THE MENTALIST
CHANNEL5, 9PM
Part two of two. Jane uses
Hightowers location to attract Red
Johns accomplice, who he will use to
track down the serial killer.
BBC1
SKY SPORTS 1
5.30pmLive Twenty20 Cup
Cricket 9pmFootballs Greatest
10pmThe Sky Sports Years 11pm
Twenty20 Cup Cricket 1am
International Rugby League
2.30amFootballs Greatest 3am
Twenty20 Cup Cricket 5am-6am
The Sky Sports Years
SKY SPORTS 2
7pmTight Lines 8pmLive PGA
Tour Golf 11pmEuropean Seniors
Tour Golf 12amEuropean Tour
Golf 2amPGA Tour Golf 5am
Kings of the Surf 5.30am-6am
Road to London
SKY SPORTS 3
7pmRoad to London 7.30pmLive
International Rugby League
10pmTight Lines. Keith Arthur
hosts the fishing show. 11pmNFL:
Total Access 12amHorse Trials
2amModern Pentathlon 4am
Road to London 4.30am-6am
International Rugby League
BRITISH EUROSPORT
12.15pmLive ATP Tennis
8.15pmATP Tennis 9.30pmWTA
Tennis 11.30pmCycling
12.15am-12.45amHorse Racing
Time
ESPN
6pmLive Russian Premier League
Football 8pmMille Miglia
Highlights 2011 8.30pmWRC
Rally World 9.30pmNBA Tonight
10pmESPN MMA Live 10.45pm
UFC 11.45pmESPN Kicks: Extra
12amLive Major League Baseball
3amThis Week in Baseball
3.30amUFC 4.30amWRC Rally
World 5.30am-6amICC Cricket
World Magazine
SKY LIVING
7pmCSI: Crime Scene
Investigation 8pmCriminal
Minds 10pmCSI: Miami 11pm
Bones 12amCSI: Crime Scene
Investigation 1.50amGhost
Whisperer 3.30amCharmed
4.20amNothing to Declare
5.10am-6amMaury
BBC THREE
7pmThe Apprentice 8pmDoctor
Who 8.50pmDoctor Who
Confidential 9pmWorlds
Craziest Fools 9.30pmLee
Nelsons Well Good Show10pm
EastEnders 10.30pmTourism &
the Truth 11.30pmFamily Guy
12.15amIdeal 12.45amAngry
Boys 1.45amWorlds Craziest
Fools 2.15amLee Nelsons Well
Good Show2.45amTourism &
the Truth: Stacey Dooley
Investigates Kenya 3.40am
Angry Boys 4.40amDoctor Who
Confidential 4.50am-5.20am
Young, Rich and Househunting
E4
7pmHollyoaks 7.30pmFriends
9pmSupersize vs Superskinny
10pmEmbarrassing Teenage
Bodies 11.05pmMade in Chelsea
12.10amMy Name Is Earl
1.05amSupersize vs Superskinny
2amEmbarrassing Teenage
Bodies 2.55amUgly Betty
3.35amPrivileged 4.15am
Reaper 4.55am-6amSwitched
HISTORY
7pmHeir Hunters 8pmStorage
Wars 9pmAmerican Pickers
10pmAncient Aliens 11pmClash
of the Gods 12amThe True Story
1amHow London Was Built 2am
The Roman Invasion of Britain
3amHeir Hunters 4amThe
Universe 5am-6amAx Men
DISCOVERY
8pmBritains Toughest Cops 9pm
Whale Wars 10pmGold Rush
11pmThrough the Wormhole
with Morgan Freeman 12amBear
Grylls: Born Survivor 1amWhale
Wars 2amGold Rush 3am
Deadliest Catch 3.50amFuture
Weapons 4.40amNasas
Greatest Missions 5.30am-6am
Destroyed in Seconds
DISCOVERY HOME &
HEALTH
7pmBringing Home Baby 8pm
Little People, Big World 9pm19
Kids and Counting 10pmLittle
People, Big World 11pmIm
Pregnant and A Drug Dealer
12am19 Kids and Counting 1am
Little People, Big World 2amIm
Pregnant and A Drug Dealer 3am
Little People, Big World 4amA
Baby Story 5am-6amBringing
Home Baby
SKY1
8pmFuturama 8.30pmThe
Simpsons 9pmRaising Hope
9.30pmA League of Their Own:
Best of 10.30pmSpartacus:
Blood and Sand 11.45pmNight
Cops 1.45amStargate Atlantis
3.15amBite Size Brainiac
3.30amMyths, Magic and
Monsters 4.20amAirline
5.10am-6amDont Forget the
Lyrics
BBC2 ITV1 CHANNEL4 CHANNEL5
S
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&
C
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TVPICK
6pmBBC News
6.30pmBBC London News
7pmThe One Show: BBC News
8pmEastEnders
8.30pmA Question of Sport
9pmHave I Got News for You
9.30pmOutnumbered
10pmBBC News
10.25pmRegional News
10.35pmThe Graham Norton Show
11.20pmThe National Lottery
Friday Night Draws 11.30pmFILM
Disturbia: With Shia LaBeouf. 2007.
1.05amThe One Show 2.10am
Sign Zone: Monty Dons Italian
Gardens 3.10amTwo Greedy
Italians 4.10am-6amBBC News
6pmEggheads
6.30pmBritains Empty Homes
7pmPetworth House The Big
Spring Clean
7.30pmCoast
8.30pmGardeners World
9pmJulia Bradburys Canal
Walks
9.30pmCHOICE Paul Mertons
Birth of Hollywood
10.30pmNewsnight
11pmThe Review Show:
Weather
11.50pmFILMBrazil: Satirical
comedy, starring Jonathan
Pryce. 1985.
2.05am-6amClose
6pmLondon Tonight
6.30pmITV News
7pmEmmerdale
7.30pmCoronation Street
8pmCHOICE Love Your
Garden
8.30pmCoronation Street
9pmInjustice
10pmITV News at Ten
10.30pmLondon News
10.35pmFILMAmerican Pie
Presents Band Camp: With
Hilgenbrinck. 2005.
12.15amThe Zone; ITV News
Headlines
2.20amFILMJeremiah Johnson:
1972. 4am-5.30amNightscreen
6pmThe Simpsons
6.30pmHollyoaks
7pmChannel 4 News
7.25pmUnreported World
7.55pm4thought.tv
8pmA Place in the Sun: Home
or Away
9pmChannel 4s Comedy Gala
11.45pmRicky Gervais Show
12.15amComics Choice: Sean
Lock
1.15amMusic on 4: Mercury Prize
Sessions. A performance by Miles
Kane. 1.30amMusic on 4: 4Play:
Frank Turner 1.45amMy Name Is
Earl 2.45amUgly Betty 4.20am
Hill Street Blues 5.10am-5.55am
Countdown
6pmHome and Away
6.25pmOK! TV
7pm5 News at 7
7.30pmFifth Gear
8pmEddie Stobart: Trucks and
Trailers: 5 News at 9
9pmCHOICE The Mentalist
10pmLaw & Order
10.55pmCSI: Miami
11.55pmRough Guide to Short
Breaks
12.10amSCXTRA
12.40amSuperCasino
4.05amMotorsport Mundial
4.30amFifth Gear 4.55amCounty
Secrets 5.10amWildlife SOS
5.35am-6amHouse Doctor
1 2 3 4 5 6
7 8
9 10
11 12
13 14 15 16 17
18 19
20 21
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10 5 23
32 21
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6 24 8
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11 9
35 13
15 8 16
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20 26
8 13 12
33
34
16
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3
9
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28
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24
16
13
24
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16
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32
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18
Fill the grid so that each block
adds up to the total in the box
above or to the left of it.
You can only use the digits 1-9
and you must not use the
same digit twice in a block.
The same digit may occur
more than once in a row or
column, but it must be in a
separate block.
COFFEE BREAK
Copyright Puzzle Press Ltd, www.puzzlepress.co.uk
KAKURO
QUICK CROSSWORD
LAST ISSUES
SOLUTIONS
KAKURO
WORDWHEEL
Using only the letters in the Wordwheel, you have
ten minutes to nd as many words as possible,
none of which may be plurals, foreign words or
proper nouns. Each word must be of three letters
or more, all must contain the central letter and
letters can only be used once in every word. There
is at least one nine-letter word in the wheel.
SUDOKU
Place the numbers from 1 to 9 in each empty cell so that each
row, each column and each 3x3 block contains all the numbers
from 1 to 9 to solve this tricky Sudoku puzzle.
SUDOKU
QUICK CROSSWORD
ACROSS
1 Perspiration (5)
4 Perform a wedding
ceremony (5)
7 Ludicrous acts done
for fun (6)
9 Cinema attendant (5)
10 Female servant (4)
11 On a plane (6)
13 Hardy cabbage with
coarse curly leaves (4)
16 Sediment in wine (4)
18 Give in to, indulge (6)
20 Drink often mixed
with alcohol (4)
21 Organ of a ower (5)
22 Greek L (6)
23 Cast of hair, skin
or feathers (5)
24 Divisions of the
school year (5)
DOWN
1 Delivered a
blow to (6)
2 Mexican tortilla (9)
3 Diadem (5)
5 Creature (6)
6 Inhabit (6)
8 Custodian (9)
12 Four-winged
insect (3)
14 Mythological god
of light and day (6)
15 Substance covering
the crown of
a tooth (6)
17 Record player
needle (6)
19 Cook in an oven (5)
L
B
L
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M S
E
E
I

4


4

4
4

C R U S H I S S U E
A W H P X
P Y R E E R R A N T
A E T A N R
L A S T E D S I D E
A W I N S O M E M
T R E E T W E L V E
A A A L L L
B A T H E R T R A Y
L E T E W
E A R L Y D R U N K
9 7 3 4 2 1
8 1 8 9 6 3
6 7 8 9 6 1
7 2 4 1 7 9 8 4
9 3 4 7 5 1 3 2
5 8 6 9 4 3 7
2 4 5 3 8 1 5 9
3 8 9 7 3 1 2 6
1 9 5 1 3 1
5 2 3 1 4 1
9 8 5 7 9 2
4
4
4
4
4
4
4
4
4
WORDWHEEL
The nine-letter word was
TORMENTED
Lifestyle | TV&Games
CITYA.M. 10 JUNE 2011 28
W
ITH Royal Ascot on the horizon,
unsurprisingly this weekends
racing action isnt the hottest.
But that isnt to say that there
arent some good betting opportunities to
try to get some money in the bank ahead
of next week.
Sandown hosts a competitive card
tomorrow and the highlight is the Listed
Scurry Stakes at 3.30pm. Andrew Balding
has been in excellent form and his NIGHT
CARNATIONis going to take an awful lot of
beating. She won over course and distance
on her seasonal reappearance in April,
comfortably beating tomorrows rival
Ahtoug when conceding 8lb. The
Godolphin runner went on to win well at
Chesters May meeting, but he now has to
concede 5lb to the selection, so surely cant
turn that form around.
A bigger danger is Dinkum Diamond,
who won last seasons National Stakes
here, but he was firmly put in his place by
Elzaam at Newbury last time and has to
concede 8lb to Baldings filly. Margot Did is
talented on her day, but is frustratingly dif-
ficult to win with, so Night Carnation is a
confident selection.
I wouldnt be surprised to see Balding
celebrating a double, as his MONCADEAUX
must have a big chance in the preceding
handicap at 2.55pm. He bounced back to
form at Chester last time when he was
mugged on the line by Our Jonathan. He is
2lb better off with that rival tomorrow and
I expect him to reverse the form. Last years
winner Crown Choice is an obvious dan-
ger, but he is 10lb higher than 12 months
ago.
York sees the return of Sir Michael
Stoutes one-time Derby fancy Sea Moon in
the 3.50pm and he is certain to start a
short price. He could be head and shoul-
ders above this lot, but Im going to take
him on with Tim Easterbys MARIACHI
MANeach-way. The selection has never run
beyond a mile, but this step up to 1m2f is
bound to suit and the yard is flying at the
moment.
The Belmont Stakes, the third and final
leg of Americas Triple Crown, takes
place tomorrow night and Aidan
OBrien can become the first Irish
trainer to win it since Dermot Weld
in 1990. MASTER OF HOUNDS ran a
stormer to finish fifth in the
Kentucky Derby and although some
would argue that his draw in stall one
is a negative, hes a hold-up horse who will
be running on at the finish. I actually quite
fancied him for the Derby, so hes worth an
interest at the widely available 6/1.
For those of you looking for a bet this
afternoon, dont miss David Nicholls
CADEAUX PEARL in Yorks five furlong
sprint at 4.25pm. He ran at Windsor on
Monday night, but went off far too quick
and was eventually reeled in. Conditions
were against him then, but he should
appreciate this big field and could be well
drawn in stall 16. The Nicholls stable is
coming back to form and it could be worth
adopting a back-to-lay strategy on Betdaq
as he will set a scorching gallop and could
well trade much shorter than his SP.
Finally, dont miss Richard Hannons
PUTTINGONTHESTYLE in the 6.45pm at
Goodwood this evening. He was unlucky
not to break his maiden tag at Windsor
and this looks a very weak race. Hes wear-
ing a first-time visor and it would be a sur-
prise if he doesnt finally break his duck.
You can follow me on Twitter
@BillEsdaile.
RACING TRADER BILL ESDAILE, OUR RACING EXPERT, BRINGS YOU THE WEEKENDS
BEST BETS AND LOOKS AHEAD TO NEXT WEEKS ROYAL ASCOT
Night Carnation will be hard to beat
in Scurry Stakes for in-form Balding
The Moore winners the merrier
THE Royal Ascot ante-post markets
are really starting to warm up and
its going to be a fascinating first
day with the likes of Canford Cliffs,
Goldikova and Frankel all lining up.
All of the jockeys will be desper-
ate to get a winner on the board
early and RYAN MOORE will be
trying to win back-to-back Ascot
top jockey awards. He has a
number of decent rides for his
boss Sir Michael Stoute, but
his armoury is that much
stronger this time
thanks to his associa-
tion with Aidan
OBrien. He is sched-
uled to ride Power,
So You Think and
Await The Dawn,
and will pick up a
number of top
mounts in the big hand-
icaps, so he is simply
unopposable at 4/5
with Victor
Chandler to be
crowned top
jockey again.
R i c h a r d
Hughes is likely to
get off the mark in
the first race with
Canford Cliffs, but he doesnt
appear to have as strong a book of
rides as 12 months ago. Kieren
Fallon is always to be feared at the
big meetings, as is Johnny Murtagh,
while there has been plenty of inter-
est in the new superstar Mickael
Barzalona at 16/1 with William
Hill. However, Moore will proba-
bly only need four winners to
take the prize and that looks
more than likely.
The Coventry Stakes has
gone to Richard Hannon for
the last two years, but his
number one hope this
time appears to be
Trumpet Major
and I dont think
hes good enough.
Ballydoyle are
always to be feared
in this race and
Power must have a
decent chance, but
I was hugely
impressed with
Barry Hills MEZ-
MAAR at
Haydock last
month. It was a
hot maiden and I
have rarely seen a
Hills debutant as impressive first
time out. Hes beautifully bred and
is worth backing each-way at 6/1
with William Hill.
Frankel is going to start a very
short price in the St Jamess Palace
on Tuesday and its going to take a
very brave person to lay him on
Betdaq. However, his presence
makes for an interesting each-way
market and EXCELEBRATION is
excellent value at 14/1 with Paddy
Power. He finished just four lengths
behind Frankel in the Greenham on
his seasonal reappearance, but then
romped away with the German
2,000 Guineas last month. Im not
saying hell win, but Ill be surprised
if he doesnt finish in the frame.
Wednesdays Royal Hunt Cup is
one of the biggest betting events of
the week and Luca Cumanis START
RIGHT is only likely to get shorter
than the current 8/1. He has been
very unlucky with the draw in his
last two runs at Epsom and
Meydan, but he has still run crack-
ing races. Obviously the draw can
have a big effect at Ascot, but we
cant worry about that now and this
race should be perfect for the four-
year-old. Cumani is yet to win this
race and it is long overdue.
Punter
29
Sport
30
Results
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email sport@cityam.com
BRITISH tennis fans can begin to
prepare for their annual instalment
of Wimbledon based Murray-mania
after the Scot passed the stiffest test
yet of his damaged ankle at Queens
Club yesterday.
Murrays participation at SW19
has looked anything but guaran-
teed ever since he sustained liga-
ment damage during his third
round victory over Michael Berrer
at the French Open a fortnight ago.
The 24-year-old has been on a
course of painkillers ever since he
joked last week he had more pills
inside me than Ozzy Osbourne
and was forced to undergo a rigor-
ous fitness test before it was felt safe
for him to compete at this weeks
AEGON Championships.
Wednesdays three-set win over
former Wimbledon semi-finalist
Xavier Mallise did little to allay fears
that the British No1 was over the
injury that handicapped him on his
way to the last four at Roland
Garros.
But the inhabitants of Henman
Hill or Murray Mount as it has
been rechristened in recent years
can dust off their Union Jacks after
Britains only hope of a first male
Wimbledon champion since 1936
overcame Serbias Janko Tipsarevic
in two keenly contested sets before
declaring his ankle as good as new.
I tend to grimace after most
points, said Murray, playing down
concern that every pained facial
expression was an indication of the
state of his ankle. I fell down a cou-
ple of times [but] luckily the ankles
fine, its the best its felt.
I started doing some strengthen-
ing exercises last night. I am going
to do them after every match and
make sure I do them every day
between now and Wimbledon.
It will definitely make a differ-
ence and make me feel more com-
fortable on court.
Though his fitness appears now
to be in order, Murray still has some
work to do before he is fully adjust-
ed to the unique demands of grass
court tennis on the evidence of his
6-4, 7-6 (7-3) win over 14th seed
Tipsarevic.
The British No1 had his serve bro-
ken in the first game of each set but
he recovered with some aggressive
tennis to beat the Serbian.
I didnt help myself by going
behind at the beginning of both
sets, said Murray. I could have won
more comfortably if I had made a
better start but because I went
behind early in the sets I was trying
to get my way back into it.
I did a good job of that, especial-
ly in the second set I played much
better.
Murray will now face Croatias
big-serving Marin Cilic in the quar-
ter-finals.
Wimbledon can
get ready for
Murray-mania
BY JAMES GOLDMAN
TENNIS

British star claims hes on the mend ahead of SW19


campaign after hard-fought victory over Tispsarevic
A
NYONE who had even whis-
pered talk of a return to the
Premiership when London
Scottish were at rock bottom a
decade ago would have been wheeled
off by men in white coats, suspected
of suffering one high tackle too many.
Relegated nine divisions after an
ownership disaster dragged them
into administration just after the
advent of professionalism, the very
most that rugby unions original
Exiles could ponder was keeping the
club alive and returning to its 133-
year-old amateur roots.
What followed has been heart-
warming and nothing short of
miraculous. A loyal following of
Scottish ex-pats has rebuilt the club,
achieving seven promotions in 11 sea-
sons to sweep them into the
Championship just one rung away
from the top flight.
They have benefited from sensible
management, with a board of big-hit-
ters, including Tesco chairman David
Reid, Greg Knight of the Welbeck
Group and Tony Copsey, formerly
chief executive at Harlequins and
Wasps. They have helped attract a ros-
ter of blue-chip sponsors who have
fuelled the steady growth, including
Deutsche Bank, whose name adorns
the front of the clubs traditional
blue shirts, and Aberdeen Asset
Management, who will be on the
back for the next two seasons.
Aberdeens involvement has
already funded one new signing, that
of No8 Mark Bright from last seasons
National League 1 adversaries
Redruth, while a few further addi-
tions are planned as Scottish prepare
for life in the Championship.
The phoenix-like ascent of one
of the games oldest names was
neatly encapsulated by last sea-
son, in which they had a dread-
ful start only to surge back into
a two-way battle for the title with
Barking that went down to a win-
ner-takes-all final meeting.
With seconds remaining they
trailed and looked destined for sec-
ond place, until leading try-scorer
David Howells intercepted a stray
pass and, roared on by some 2,500
travelling Exiles fans, galloped 80
metres for the most dramatic of win-
ning tries.
Captain Gary Trueman lifted the
trophy (right) and days later Barkings
head coach Alex Codling defected to
Scottish as forwards coach, joining a
set-up helmed by player-coach Simon
Amor, who toasted the title in his
first season in charge. Could he be cel-
ebrating again in May? Only the hard-
est of hearts would hope otherwise.
Murray injured
his ankle at the
French Open
Picture: GETTY
SPORT | IN BRIEF
Bolt back to his blistering best
ATHLETICS: Olympic champion Usain
Bolt claimed a convincing win on his
200m return at the Diamond League
meeting in Oslo. The Jamaican world
record holder clocked a time of 19.86s in
the rain to finish a comfortable 0.57s
ahead of nearest challenger Jaysuma
Saidy Ndure. Bolt had not run competi-
tively over 200m in 13 months due to
Achilles and back problems.
Surinam chief reveals cash gift
FOOTBALL: Fresh evidence that
Caribbean football officials were given
gifts of US$40,000 in cash has been
revealed. The president of the Surinam
FA Louis Giskus confirmed that he was
handed $40,000 dollars, in $100 bills, at
a special meeting of the CFU in Trinidad
last month. Giskus said: We went up to
a room and were given $40,000 in a
brown envelope with the name of
Surinam on it.
Hamilton keen to forget Ali G row
FORMULA ONE: McLaren driver Lewis
Hamilton is optimistic he can put the Ali
G controversy behind him with a good
result in Sundays Canadian Grand Prix.
The Englishman ran into trouble by quot-
ing the spoof character as he criticised
stewards in Monaco. I wrote a letter to
the FIA to apologise and spoke to the
other drivers. I thought it was the right
thing to do to put it behind me, he said.
Shah returns to haunt Middlesex
CRICKET: Former England batsman
Owais Shah hit a magnificent 78 not out
off just 50 balls as he returned to Lords
to help Essex claim a comfortable five-
wicket win over his old county
Middlesex in the Friends Life t20.
London Scottish
are a lesson in never
giving up, writes
Frank Dalleres
Rugbys phoenix still on the rise
WIGAN chairman, Dave Whelan
believes Roberto Martinez will reject
Aston Villas advances and stay with
the Latics for at least another season.
Wigan granted Villa permission to
talk to their manager, who is thought
to be the first choice of the Villa
owner, Randy Lerner, to replace
Gerard Houllier at Villa Park.
Whelan expects the
Spaniard, who led the club to survival
on the final day of last season, to
announce his decision today and said:
My gut feeling is that Roberto will
stay with Wigan Athletic for another
year or two. If he decides to go it will
be his decision.
BARCELONA have cast fresh doubt on
the future of Arsenal captain Cesc
Fabregas by insisting their summer
transfer budget is strictly limited to
40m. In a highly unusual step, the
European champions announced the
size of their kitty and vowed to tight-
en their belts with the aim of clearing
a 430m debt pile in just three years.
Fabregas (below) has looked increas-
ingly likely to leave the Gunners dur-
ing the close season, having been
refused a move 12 months ago and
then seen another campaign end
without success. Personal terms are
unlikely to be an obstacle, meaning
the size of the transfer fee is the only
significant stumbling block.
Arsenal turned down an offer for
around 30m from Barca last sum-
mer and are believed to want closer to
50m to part with their prize asset,
who still has four years left on his cur-
rent contract. The Spanish clubs
statement casts major doubt on
their ability to prise the World
Cup-winning midfielder from
the Premier League.
Barcelonas vice-president of
finance, Javier Faus, said the
Catalan outfits coffers con-
tained 45m [40m] for
new signings, plus
money that may
be obtained
from sales.
Clubs are
t y p i c a l l y
s ecr et i ve
about their
budgets for
fear of los-
ing an edge
in negotia-
tions, and Barcas move will be seen
by some as a cynical attempt to drive
down Arsenals asking price. They
may also top up their transfer fund by
selling fringe players, with defender
Maxwell and forwards Bojan Krkic
and Jeffren tipped to leave. Spain
Under-21 striker Krkic, however, could
be used in part-exchange for Udineses
Chilean forward Alexis Sanchez, who
looks increasingly likely to move to
Camp Nou.
The myth of Barca the model club
was exploded last year when it
emerged they were 370m in debt
and had needed a 125m loan in
order to pay their wage bill. Fears have
been eased by a highly lucrative spon-
sorship with the Qatar Foundation,
and the club say they now believe
they can wipe out their mammoth lia-
bilities by as soon as 2013.
Gross debt has been reduced from
532m [470m] to 483m [429m],
and the net debt from 431m [382m]
to 364m [323m]. We want to
decide our future and to do so
we must reduce the debt to
acceptable levels, said Faus.
There has been a great
effort, which will continue
over the next two years, to
reduce this debt a mill-
stone that is essential and
indispensable. This will make
Barcelona the most
financially solvent
club in the world in
two or three years.
Barcas 2009-10
revenue of 325m
made them the
second highest-
earning sports
club in the
world, say
Deloitte.
BY FRANK DALLERES
FOOTBALL

ENGLAND Under-21 coach Stuart


Pearce insists Phil Jones and Jordan
Henderson have not been distracted
by their big-money moves to
Manchester United and Liverpool,
respectively. England begin their
European Championship campaign
on Sunday against Spain and Pearce
said: Theyre fantastically focused
players and pleasures to work with.
31
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You could also benet from the expertise Michelin has derived from motorsport with
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THE LESS YOU CHANGE YOUR TYRES,
THE MORE YOU COULD CHANGE THE RACE.
Experience this performance at www.michelin.co.uk/experience-the-performance
BY JAMES GOLDMAN
FOOTBALL

THIAGO ALCANTARA (Spa):


Hes the son of former Brazil star
Mazinho and has all the hallmarks youd
associate with a La Masia graduate who
makes it into the Barca first team.
CHRISTIAN ERIKSEN (Den):
Comes with a recommendation from
Dennis Bergkamp, now a coach at Ajax,
but his low centre of gravity has seen
him compared to German Mesut Ozil.
XHEDRAN SHAQIRI (Swi):
Short, stocky, able to play left-back and
left midfield and the owner of a cannon-
ball shot. Comparisons with Brazil leg-
end Roberto Carlos are slightly fanciful
but plausible.
EURO STARLETS | ONES TO WATCH
BY JAMES GOLDMAN
FOOTBALL

Wigan chief Whelan prepared


for Martinezs Villa decision
SRI LANKA batsman Sanath
Jayasuria is set for an unexpected
swansong in the upcoming limited
overs series against England.
With Upul Tharanga ruled out of
the rest of the tour having reported-
ly failed a drugs test during the
World Cup the tourists have turned
to the 41-year-old veteran to dig
them out of a hole.
The left-handed opening bat,
who won the last of his 444 one-day
international caps in December
2009, will feature in a one-off
Twenty20 fixture and the first of
the five scheduled one-day interna-
tional before retiring for good.
BY JAMES GOLDMAN
CRICKET

Sri Lankans turn to Jayasuria


Barca cast doubt
on Fabregas deal
with debt pledge
Jones and Henderson focus on England

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