Editor: John Arnold. E-mail jarnold@creditman.co.uk
Pat Williams. E-mail pwilliams@creditman.co.uk
Site: Business Credit Management UK
URL: http://www.creditman.co.uk
Issue: Vol 5 Issue 19
Dated: 13 May 2001
Welcome to the Business Credit News UK.
In this weeks edition you will find the following topics.
With our website getting between 8,000 and 10,000+ page impressions every week and with our mailing list now comprising of over 1200 people/members you might like to consider advertising your credit management related 'product' in a very cost effective way.
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UKCBI APPLAUDS QUARTER-POINT CUT IN INTEREST RATES
The Confederation of British Industry last Thursday applauded the Bank of England for cutting interest rates to 5.25 per cent.
Digby Jones, Director-General, said: "Companies will be relieved that the Bank has seized the opportunity to soften the impact of the global slowdown.
"This was a timely and proportionate move that will steady business nerves without taking risks with inflation. We need to keep rates moving in a downward direction as quickly as prudently possible.
BYERS ANNOUNCES AGREEMENT ON UNIVERSAL BANKING
New scheme at post offices will provide bank accounts for all
Trade and Industry Secretary Stephen Byers last week announced that the Government had reached agreement on the provision of Universal Banking Services with all of the main banks in the UK.
The introduction of Universal Banking services will be a major boost to the Post Office network. It will enable a new income stream to come into the network. Universal Banking Services will also provide the mechanism that will ensure that benefit recipients and pensioners can continue to have their money paid over the counter in cash at their local post office when the Government moves to automated credit transfer from January 2003.
The scheme will give millions of people currently without any banking facilities access to a new post-office based card account or one of the banks basic bank accounts through the 18,000 strong post office network. 28 million customers visit the post office every week.
Barclays, Lloyds TSB, RBS/NatWest, HSBC, Abbey National, the Halifax. Alliance and Leicester, the BOS, NAG, the Co-op, and the Nationwide Building Society will make their basic bank accounts accessible through the post office and contribute £180 million to the costs of running the post office card account.
Stephen Byers said:
" I am pleased to announce that the Government has today reached agreement on the introduction of Universal Banking Services.
" This is a major step forward both in ensuring the future of the Post Office network and in tackling financial exclusion. Universal Banking Services will bring those people currently without bank accounts into the financial mainstream.
" The post office network is a precious national asset and universal banking is part of the Government's ambitious programme of protection, investment and modernisation. By 2003, not only will people continue collecting pensions in cash at post offices, people will also be going there to bank, to access Government services, and to conduct E-transactions.
" We want the post office network to thrive, not just survive."
" There are up to 7 million people in the UK with no current account. Whilst they may not feel comfortable about going into a bank they will, and already do, go to the Post Office which has 28 million customers a week, 16 million benefit and pension recipients."
Post Office Minister Alan Johnson, who has been leading the negotiations for the Government, added:
" We have now secured the most significant element in our plans to ensure that the Post Office network has a viable and secure future. Building on the successful computerisation of all 40,000 serving positions at over 18,000 post offices, this will give heart to sub-postmasters and confidence to those thinking of buying into the network."
The agreement on the Universal Bank is the latest in a number of measures the Government has announced recently to help strengthen the post office network.
In February the Government announced a new fund to help with the costs of relocating and refurbishing rural post offices. Grants to this fund now being considered include proposals to re-open rural offices near Dover and Cardiff. The Government hopes to make several more similar grants shortly and this fund could provide the impetus for re-opening up to 200 offices nation-wide.
In March, the DTI launched the latest phase in preparations to pilot post offices in Leicestershire and Rutland as "Government General Practitioners" - a new service that will offer a wide range of information and access to Government services aimed at the general public.
And, Stephen Byers announced the appointment of Allan Leighton to the Board of the new Post Office company, Consignia, as one of five non-executive directors.
The appointment will add to the skills and experience available to Consignia. He will take special interest in the future development of the Post Office Network.
MANUFACTURING CONFIDENCE FALLS IN ALL UK REGIONS AS GLOBAL ECONOMY SLOWS - CBI SURVEY
Business confidence among UK manufacturers fell at the sharpest pace since January 1999, according to the Regional Trends Survey published last Tuesday by the Confederation of British Industry and Business Strategies Ltd. The deterioration is blamed on the effects of the global slowdown coupled with a continuing squeeze on manufacturers' margins. However, the scale of the decline across the UK could be overstated as it may also reflect both the US slowdown and the foot-and-mouth crisis.
The English regions were most affected. All reported sharp declines in confidence, with the sharpest falls in the southern regions - East of England, the South East and London, and the South West. Export optimism for the year ahead also fell significantly in these regions. While business confidence also fell in Wales and Northern Ireland, the declines were less pronounced than in England.
The North East and the North West are still registering large falls in confidence, although the declines are not as sharp as in the south. This reflects substantial declines in total orders in the past four months, continuing the trend seen in these two regions in recent surveys. These regions also saw the sharpest decline in export orders, and along with the East Midlands, reported the steepest fall in output.
The most significant change compared with the previous survey was in the South West where business confidence has deteriorated dramatically. From showing the sharpest rise in confidence among all UK regions in the previous survey, the South West now shows the steepest fall.
Employment worsened significantly in a number of regions. Job cuts were particularly severe in the North East and the North West, continuing the trend of large falls seen in the last ten surveys, but job-shedding was also heavy in the East Midlands which in recent years has seen relatively modest falls. There were also large falls in Wales and Yorkshire and the Humber. In contrast, Northern Ireland recorded a strong positive improvement in employment for the fourth consecutive survey.
Estimates based on the survey results show that a further 17,000 manufacturing jobs will be shed in the second quarter of 2001. These cuts will be spread across the regions, with few exceptions the main one being the South West, where employment is expected to remain broadly stable.
Peter Gutmann. Associate Director of Business Strategies, said: "Manufacturing has failed to sustain the gradual upturn in output seen at the end of last year. This has happened against a weakening global background and with sterling holding up against the euro. With the downturn spreading to new economy sectors such as electronics, further widespread job losses are inevitable, and the south of England can expect to share the pain."
International credit insurer NCM on the 8 May 2001 announced the launch of its new credit insurance policy - designed exclusively for the construction industry.
Over the past two years over 2,600 UK construction companies have gone into liquidation, and 2,500 self-employed contractors have become bankrupt. Suppliers caught up in the ripple effect of these insolvencies have themselves been faced with huge losses that they have been unable to recoup. Previously, standard credit insurance policies were not designed to meet the trading and contractual needs of the construction industry.
NCM's solution to the problem is a tailor-made credit insurance policy that acknowledges the trading and contractual practices of the industry, delivering payment and cash flow security in a risky trading environment.
NCM's Stuart Ramsden, whose team developed the product, said:
"We have worked closely with clients in the construction sector for many years, and know the way the industry works. That is why, for instance, our construction policy covers not only unpaid invoices, but also the preliminary applications for payment that require surveyor approval before an invoice can be issued.
"With a traditional credit insurance policy, difficulties can arise if the buyer goes into receivership before the invoice is issued, or even before the surveyor has approved the application. But our new policy keeps the client covered, even if an application for payment has not been approved, provided that the receiver acknowledges the debt."
In the event of buyer insolvency, the policy also covers losses relating to retention payments up to 10% of the contract value, and expenses incurred for work in progress. If the contract in progress is binding, NCM will also continue to cover the client for a further three months after normal cover on the debtor is withdrawn, to allow completion.
For more information on this new credit insurance initiative, call NCM on 0800 212131
Last week we reported on the latest Insolvency Statistics. We have received the following comments from R3.
A 0.6 per cent quarterly decrease in company insolvencies in England and Wales, revealed in the figures masks a disturbing increase in bigger company failures, says R3, the organisation representing professionals who work with crisis-hit businesses.
"Receiverships have risen by 82 per cent over the last quarter" stated R3 president and KPMG corporate recovery partner, Roger Oldfield.
"Given that recent evidence points to the fact that the major banks are doing everything they can to avoid pushing a company into formal insolvency, these figures are likely to indicate either a more aggressive attitude by other lenders or - most probably - that management are ignoring signs of slow-down.
"Many insolvencies are avoidable, and the relatively benign economic environment of recent years means managers may not be alert to signs of crisis at an early enough stage. R3 members are finding themselves more and more involved in informal turnaround work - these figures make it obvious that a significant number of boards just failed to take early advice which could have saved their companies".
The year on year increase in insolvencies as a whole showed a significant rise - 8.1 per cent. The increase in receivership appointments over the same period was 43 per cent, half the rate of increase over the last quarter but still more than five times greater than the rate of increase for insolvencies as a whole.
For further information, please contact:
Andrew Smith Tel. 020 7251 1500 mobile 0797 127 2483 andrew.smith@smithgrundon.co.uk
Bella Pagan Tel. 020 7251 1500 mobile 0796 785 2384 bella.pagan@smithgrundon.co.uk
About R3 - R3 (The Association of Business Recovery Professionals) is the leading professional business recovery body. Besides fulfilling the role of a professional institute for the insolvency and business rescue profession, it aims to become the centre of professional excellence for those working with underperforming businesses from rescue right through to insolvency. It has evolved from what was SPI (the Society of Practitioners of Insolvency) and has widened the audience from which it can accept members (previously restricted to licensed insolvency practitioners alone) to include professionals who can demonstrate a high degree of experience and competence in the rescue, recovery and renewal of businesses. The new organisation continues to fulfill the role of a professional insolvency institute. Exceptions to this are licensing, regulation and discipline which are carried out by those bodies recognised by the Secretary of State as able to grant insolvency licences - the Recognised Professional Bodies (RPBs). The other exception is examination, which is undertaken by the Joint Insolvency Examination Board (JIEB).
TURNAROUND MANAGEMENT ASSOCIATION UK
NOTICE OF EVENT - Tuesday 22nd May 2001
Debate on Business Rescue Mechanisms in UK
Presentations and Floor Debate followed by Drinks and Finger Buffet
Hammond Suddards Edge
7 Devonshire Square, Cutlers Gardens, London EC2
6 for 6.30pm
This event has been organised to follow up the recent government review of Company Rescue and Business Reconstruction Mechanisms in UK. It is appropriate that we consider the proposed and possible future legislation and how changes may affect turnarounds and the rescue culture.
The evening will begin with 15 minute presentations by three well known speakers who are directly involved in financing, advising and managing turnarounds and who have contributed to the government review. They will give their views on the various proposals for new legislation and discuss how these might affect turnarounds in the future. After the formal presentations, the debate will be opened to the floor for 45 minutes before adjourning for drinks and a buffet.
Bookings may be made by
Email to: sdisley@blg.co.uk Fax to: 020 7643 7601
Charges including drinks and buffet (not registered for VAT) Members: £20/head Guests and non-members: £50/head
Cheques should be made payable to ‘Turnaround Management Association UK’ and sent to:
TMA UK, 7 th Floor, Beaufort House, 15 St Botolph Street, London EC3A 7NJ
They are limited to a maximum attendance of 100 people, so bookings will be accepted on a first come basis where places will only be confirmed upon receipt of payment. Cancellations will receive a full refund providing they give 5 working days’ notice.
If you would like further information or to know more about TMA, please contact Tony Groom on 020 7720 8000 or by email at tonygroom@k2-partners.com
Please provide details of those attending
NAME POSITION ORGANISATION
Member(s)
Guests and non-members
INGREDIENTS IN ADMINISTRATION
Ingredients Ltd, the bakery and coffee shop chain which employed 200 people at its outlets at Castle Moore Shopping Centre in Norwich, Eagle Walk in Milton Keynes Shopping Centre, Meadowhall Shopping Centre in Sheffield, Arndale Centre in Manchester, Lakeside Shopping Centre in West Thurrock, Harlequin Centre in Watford, and the Whitgift Centre in Croydon, was on the 10 May 2001 placed into Administration.
Allan Graham and Myles Halley from KPMG Corporate Recovery have been appointed Administrators to the Bedford-based company which has 7 outlets in major shopping centres across the country. The shops have been closed but Corporate Recovery specialists at KPMG are hoping to find a buyer for either parts, or the whole, of the business.
Ingredients Ltd had hoped to fund a store expansion plan by raising finance through a flotation on the Alternative Investment Market. Having been unsuccessful, heavy borrowings and pressure from creditors led company directors to put the business into administration. In the fifteen months to February 2001, Ingredients Ltd made a turnover of £5.3million.
Allan Graham, Corporate Recovery partner at KPMG in Leicester said:
"The strong brand and shop locations in major retail centres will be an attractive proposition to potential buyers. We are asking interested parties to contact us as a matter of urgency."
*** FORTHCOMING CREDITORS MEETINGS ***
Contributed by http://www.insolvency.co.uk
For more detailed information and ALL the British Isles insolvency's (liquidation's, receiverships, administrations, dividends, creditors) please visit http://www.insolvency.co.uk
From 14/05/2001 to 22/05/2001 Number of Creditor meetings : 228 Section Company Time Venue 138 Scotland - Interim Liquidator calling Creditors Meeting 15/05/2001 Silicon Trading Ltd 03.30 pm Glasgow 18/05/2001 B G Fabrication Ltd 12.00 pm Glasgow 22/05/2001 Datum Contrcting Services Ltd 03.00 pm Glasgow 23 Administrator Calling a meeting of Creditors 14/05/2001 Allied Maintenance Services Ltd 11.00 am Rochdale 15/05/2001 Multicare (Sales) Ltd 11.00 am Chorley Sharpe Engineering Services Ltd 11.00 am Manchester 17/05/2001 Vernon Road Bleaching & Dyeing Co Ltd 10.00 am Nottingham 22/05/2001 Prosser Scientific Instruments Ltd 11.00 am London 48 Receiver calling unsecured Creditors Meeting 14/05/2001 Cameron (Scotland) Ltd 11.00 am Paisley Hilton Seafood Services Ltd 11.00 am Nottingham Rayne Foundry & Engineering Co Ltd 10.00 am St Albans 15/05/2001 Proton Global Sourcing Ltd 02.30 pm Nottingham Proton Textiles (Knitting) Ltd 02.30 pm Nottingham Proton Textiles Ltd 02.30 pm Nottingham Westertex Ltd 02.30 pm Nottingham 16/05/2001 Nortex (UK) Ltd 11.00 am London 17/05/2001 Chaucer Care Ltd 11.00 am Peterborough 18/05/2001 Frank Usher Ltd 10.30 am London Goldstart Ltd 10.30 am London Liberate Fabrications Ltd 10.30 am March Premier Trimmings Co Ltd 10.30 am Sileby 21/05/2001 GHL Realisations Ltd 11.00 am London GM Realisations Ltd 11.00 am London Gearhouse (Reading) Ltd 11.00 am London Gearhouse Computer Services Ltd 11.00 am London Gearhouse Group Plc 11.00 am London Gearhouse Led Screens Ltd 11.00 am London Gearhouse Lighting Ltd 11.00 am London Gearhouse Multi Media Ltd 11.00 am London Gearhouse Special Projects Ltd 11.00 am London Gearhouse Structures Ltd 11.00 am London Gearhouse Supplies Ltd 11.00 am London Gearhouse Systems Ltd 11.00 am London Gearhouse Video Sales Ltd 11.00 am London Gearhouse XTC Ltd 11.00 am London Gnec Realisations Ltd 11.00 am London Hutsons (Beccles) Ltd 11.00 am Norwich IGH Realisations Ltd 11.00 am London Impact Rentals Ltd 11.00 am London OVL Realisations Ltd 11.00 am London PG Realisations Ltd 11.00 am London PPL Events Services Ltd 11.00 am London PS Realisations Ltd 11.00 am London PSH Realisations Ltd 11.00 am London Proquip Gearhouse Ltd 11.00 am London QM Realisations Ltd 11.00 am London Scene Set Ltd 11.00 am London Tes N Egats Ltd 11.00 am London 22/05/2001 Regent Furniture Ltd 03.30 pm London 84 N. Ireland - Creditors Voluntary Liquidation 14/05/2001 Flashlamp Ltd 03.00 pm Belfast 16/05/2001 CFL Communications Ltd 01.00 pm Belfast Coffee Caffe Ltd 12.00 pm Belfast 95 Members converting to Creditors Voluntary Liquidation 14/05/2001 Gadsound Ltd 11.00 am Newton Abbot Marone Fisheries Ltd 12.00 pm Newton Abbot 15/05/2001 PCS Galatea Ltd 11.00 am London 98 Creditors Voluntary Liquidations 14/05/2001 Basic Wholesale Ltd 02.30 pm Norwich Caretaker (Industrial Cleaning) Ltd 11.30 am Liverpool Devcoplan Ltd 03.00 pm Ossett Dong Tam Ltd 02.30 pm London EIS Abrasives Ltd 11.30 am Bolton Full Moon Restaurants Ltd 03.00 pm London Impresse Ltd 11.00 am London Itsabreeze Ltd 10.15 am Leeds JBS Micton Ltd 11.30 am Liverpool Jarcaranda (South West) Ltd 10.15 am Salisbury Kis Knitwear Ltd 11.30 am Sileby Multistar Manufacturing Ltd 02.30 pm Ipswich Old Little Village (Chinese Rest) Ltd 11.30 am Manchester Premier Sign & Design Group Ltd 03.00 pm Edinburgh Sealey Contractors Ltd 11.00 am Birmingham Thermocare IOW Ltd 02.15 pm Fareham Tradebuys Ltd 11.00 am London Woodformes Ltd 10.30 am Manchester 15/05/2001 A1 Personnel Ltd 11.30 am Blackburn Approved Technology Ltd 10.15 am Worthing Autogem (Exports) Ltd 10.20 am London Autoland Ltd 11.20 am London B E S T Ltd 11.00 am Leeds Cardiff Exhaust Supplies Ltd 11.45 am London Cartrims Ltd 10.25 am London Complimentary Collections Ltd 11.00 am London Cubic Design Ltd 03.30 pm Nottingham Derby Exhaust Supplies Ltd 11.50 am London Dorendale Ltd 12.00 pm Southampton E-Mobile Europe Ltd 12.30 pm London Emergency Spares Ltd 11.00 am London Eurocar (GB) Ltd 10.50 am London Eurocar (Ossett) Ltd 10.55 am London Exhaust Distribution Co Ltd 11.40 am London Exhaust Supplies (Sheffield) Ltd 11.55 am London Florida Consultants Ltd 03.00 pm London GBK Ltd 10.00 am Worthing Glasgow Exhaust Supplies Ltd 12.00 pm London Global Tapers Ltd 11.00 am London Grey UK Ltd 11.30 am Nottingham Happydriver (UK) Ltd 11.30 am Leeds Happydriver Ltd 11.00 am Leeds Hardacres & Smith Ltd 12.00 pm Hale Hartland Motors Ltd 11.00 am Gloucester Irwin Maintenance Ltd 11.30 am Nottingham Irwin Plant Hire Ltd 12.30 pm Nottingham Irwin Substructures Ltd 10.30 am Nottingham Isle of Wight Training Consortium Ltd 10.30 am Southampton Josea Ltd 11.05 am London LP (FL) Realisations Ltd 10.15 am London Ladycare Ltd 10.30 am London Leicester Exhaust Supplies Ltd 12.05 pm London Lxid Realisations Ltd 12.15 pm London MR Motor Ltd 11.35 am London Mexstar Ltd 11.00 am London Micro Media Services Ltd 10.00 am London Motor World International Ltd 10.35 am London Motorland Ltd 11.25 am London Nebo Ltd 10.05 am London Nottingham Exhaust Supplies Ltd 12.10 pm London Oakbright Ltd 11.00 am London Panther Products (Yorks) Ltd 10.40 am London Polymer Pumps Ltd 11.00 am Newport Quest Components Ltd 10.45 am London Road User Holdings Ltd 11.10 am London Road User Ltd 11.15 am London Road User Stores Ltd 11.30 am London Safeprefer - Allcranes Services Ltd 03.00 pm Portsmouth Scan Image Services Ltd 11.30 am London Sigma Sheet Metal Ltd 11.00 am Sunderland Solargen Energy Corporation Ltd 11.30 am London Sparkforce Ltd 10.10 am London System Colourbox Ltd 11.30 am London UCS (Wholesale) Ltd 02.00 pm Bristol Wolf Wilson Ltd 11.30 am Lutterworth X - SC Business Technologies Ltd 02.00 pm London 16/05/2001 0800 Freefone Ltd 11.30 am London Aigis Ltd 12.15 pm Derby Alphaprompt Ltd 03.00 pm Manchester Asturias UK Ltd 10.00 am London Bel & Steel Ltd 12.00 pm London Brierley Hill Glass Co Ltd 10.30 am Birmingham Brownhills Truck Services Ltd 12.00 pm Walsall Capital Skylights Ltd 12.00 pm Birmingham Eurosports Connections Ltd 12.00 pm Sheffield GPN Ltd 10.30 am Gloucester H Morgan (Trailers) Ltd 12.00 pm Cardiff Information Technology Choice Ltd 10.00 am Kingston upon John L Green (Machine Tool Merch) Ltd 10.15 am Loughton John Stewart & Co (Wishaw) Ltd 10.15 am Paisley Kempston Property Developments Ltd 11.00 am Northampton Linq Ltd 11.00 am London MND Laboratories (Int'l) Ltd 12.30 pm London Manro Consultants Ltd 11.30 am Aldridge Northern Beds & Furnishings Ltd 11.30 am Hoyland Common Poultry & Fish Fayre Ltd 11.00 am Sheffield Robert Knight Ltd 11.00 am London Rushden Services Ltd 11.30 am Sheffield S B C Meats Ltd 11.00 am London S I M Logistics Ltd 10.45 am South Normanton Soffits Facias & Trims Ltd 10.30 am London St Peters House Bradford Ltd 11.00 am Keighley St Peters House Trading Ltd 10.30 am Keighley Tea Coffee or Water Ltd 12.00 pm Manchester Top Sites Ltd 12.00 pm London Vimlink Ltd 04.00 pm London Y N Builders (London) Ltd 12.00 pm London 17/05/2001 A G V F Co (Bristol) Ltd 11.30 am Bristol Abbey Construct Ltd 11.30 am Birmingham Arden Contract Services Ltd 11.00 am Birmingham Bind & Trust Ltd 02.30 pm London C J Systems Ltd 11.00 am Manchester Camvac Ltd 10.30 am Harrogate Channel UPVC Centre Ltd 12.00 pm Cardiff Codename Designs Ltd 10.15 am London Eastkale Ltd 12.00 pm Harrow Eplace Ltd 11.45 am Cambridge Garden Maintenance Ltd 11.30 am Manchester Graphicom Express Ltd 02.30 pm London Industrial Welding Services Ltd 11.30 am Walsall Jonnys Entertainments (Edinburgh) Ltd 11.30 am Preston Lighthouse Homes Ltd 11.00 am Glasgow Lucy Enterprises Ltd 11.00 am Gosforth Mallorine Ltd 11.30 am London Promotional Industries Ltd 12.00 pm London RSM Northern Ltd 10.15 am Bately Shanger Construction Ltd 11.15 am Gerrards Cross Totalclass Ltd 11.00 am London Valley Park Canning Ltd 10.00 am Haydock 18/05/2001 B & D Installation Services Ltd 10.15 am Worthing Biblios Publishers Dist Services Ltd 11.00 am London C & K Electrical Services Ltd 11.00 am Barnet CPM Corporate Print Management Ltd 11.00 am London Caldan Plant Ltd 10.30 am Hale Card City Ltd 03.15 pm West Drayton Centurion Displays Ltd 03.00 pm Leicester Diamond Colour Graphics Ltd 11.00 am London Images Network Systems Ltd 11.30 am Altrincham Iroko Records Ltd 11.00 am Manchester Karisma Imaging Ltd 10.30 am London London Leisure Publish Corp Ltd - The 12.00 pm London Oncad Engineering Ltd 11.00 am Rushyford Optimus Developments Ltd 12.00 pm Tunbridge Wells P R D Timber & Builders Merchants Ltd 10.30 am Exeter Reddells Autobody Repairs Ltd 11.30 am Peterborough Rimvic Enterprises Ltd 12.00 pm London Riverside Architectural Salvage Ltd 11.00 am Doncaster VCA Ltd 03.30 pm Sileby Virtual Computer Ltd 02.00 pm London 19/05/2001 Merchant Heating& Plumbing Supp Ltd 11.00 am Wimborne 21/05/2001 Bluebrace Ltd 12.00 pm London Colorific Ltd 12.00 pm London Display Associates Ltd 11.30 am Sileby Heathland Europe Ltd 10.30 am London Jackson Wilson Ltd 11.00 am Leeds Rochbrook Ltd 03.00 pm Northwood Scope Industrial Recruitment Ltd 12.00 pm Chatham Second Millennium Systems Ltd 11.30 am London Stockport Confectionery Supplies Ltd 11.30 am Altrincham Transcity Services Ltd 10.30 am Portswood 22/05/2001 A Martindale Building Contractors Ltd 03.00 pm Northwood Allfair Ltd 11.30 am Liverpool Carforum Ltd 10.15 am Worthing Dak Solutions Ltd 11.30 am London Dive Emporium Ltd - The 11.00 am London E P & S Overseas Trading Ltd 02.30 pm London Everfirst Associates Ltd 11.00 am Harpenden Millson Construction Ltd 10.30 am Driffield Sedef Ltd 03.30 pm London South Son & Whitcombe Ltd 03.30 pm London St Johns Wood Bridge Club Ltd - The 11.00 am London Thornham Fabrications Ltd 11.00 am Bolton Worldsites UK (South) Ltd 11.00 am Bristol
TW LW TW LW
USA 1.43 1.43 Canada 2.21 2.20
Austria 22.90 22.16 Portugal 324.75 322.92
France 10.62 10.56 Belgium 65.34 64.97
Finland 9.63 9.57 Italy 3136.52 3118.76
Germany 3.16 3.15 Sweden 14.75 14.70
Holland 3.56 3.54 Switzerland 2.49 2.48
Spain 269.53 268.00 Ireland 1.27 1.26
Australia 2.77 2.77 Denmark 12.09 12.02
Hong Kong 11.22 11.21 Euro 1.62 1.61
Africa Com 11.52 11.53 Saudi Arabia 5.39 5.39
India 67.30 67.29 Malaysia 5.46 5.46
Singapore 2.62 2.61 Norway 13.04 13.03
Japan 175.11 175.52
TW This week LW Last week.
Lastminute.com announced pre -tax losses of 29.7 million pounds, on turnover of 7 million pounds, for the six months ending 31st March 2001.
Nord Anglia Education, the educational services provider, announced pre-tax profits of 1.38 million pounds, on turnover of 34.1 million, for the six months ending 28th February 2001.
Tandem announced pre-tax profits of 1.66 million pounds, after exceptional credit, on turnover of 26.5 million, for the year ending 31st January 2001.
British Telecom announced its long-expected rights issue of £5.9 billion ($8.4 billion). It will be heavily discounted to help persuade shareholders to take it up. BT also announced the scrapping of its dividend, and confirmed the demerger of its wireless division and the sale of many assets.
Dell Computer followed industry trends by announcing that it would lay off 4,000 workers, about 10% of its total, over the next six months. Compaq, which lost its crown to Dell as the world's largest PC maker, at least stays ahead in job cutting: it said in April that 7,000 workers would go.
Guy Hands quit as head of Nomura's private-equity business in London to set up on his own. Mr Hands, a specialist in buying unfashionable underperforming assets, turning them round and selling them on, hopes to continue managing assets he purchased for Nomura. He will thus remain Britain's biggest pub landlord, with some 5,500 hostelries.
General Electric's $40-billion takeover of Honeywell, recently cleared by America's antitrust authorities, ran up against the European Commission. The commission extended its investigation, objecting to the "bundling effect": the market power that a combined entity would wield by supplying a complete range of aerospace components. Jack Welch, GE's boss, dismissed bundling as a discredited economic theory.
Source -The Economist
MERGER NEWS
PROPOSED ACQUISITION BY BSKYB OF CONTROL OF BIBKim Howells, Minister for Consumers and Corporate Affairs, announced last week that he has accepted undertakings from British Sky Broadcasting Group plc (BSkyB) to remedy competition concerns arising from its proposed acquisition of control of British Interactive Broadcasting Holdings Limited (BIB). His decision is in accordance with the advice of the Director General of Fair Trading (DGFT).
Dr Howells said:
"This proposed acquisition raises concerns in the market for pay TV. There is the potential for BSkyB to provide premium pay TV channels to rival distributors in a form that contains interactive elements which do not work properly on other platforms. This could harm the commercial interests of rival distributors and thereby reduce consumer choice.
For this reason, I announced on 12 October that I had asked the DGFT to seek undertakings from BSkyB to provide "clean feed" of premium TV channels to rival distributors - i.e. a version of the channel which lacks the interactive elements. On 20 March 2001, I published the draft undertakings for consultation so that third parties would have an opportunity to comment on them.
The DGFT has now submitted to me undertakings offered by BSkyB, having taken account of the comments made during the consultation period. The DGFT has advised me that, in his view, undertakings in the form proposed should remedy or prevent the adverse effects that might result from the merger. I agree with the DGFT's advice and, accordingly, have decided to accept the undertakings from BSkyB in lieu of a reference to the Competition Commission. I am publishing the undertakings and the DGFT's advice as I am required to do."
Midlands businesses are being urged to get back to basics in order to unlock the value from their IT systems. Many organisations are not realising all the business advantages of the full features found in their existing IT applications while system implementations are often bringing difficulties to the organisation rather than significant business benefits.
Business advisors at KPMG believe that for some, the rush to bring e-business processes on-line has further exposed the lack of well designed business controls within their original systems, resulting in delays, loss of service and limited benefits.
Rick Cudworth, Head of Information Risk Management at KPMG in Birmingham, commented: "As the hype of dot.com businesses recedes, we are experiencing the first real hiatus of the e-business revolution - giving businesses the time to solve these problems. The integration of e-business and core processing systems is a challenge but the real benefits come from doing this successfully. By that, we mean embedding controls within the systems to provide a 'trusted process' to maximise efficiency."
"With businesses looking to automate as many of their processes as possible, we have seen numerous business suffering as a result of failings and shortcomings in their internal control processes. The recent example of a major distribution company suffering huge problems as the result of a simple systems upgrade is not atypical. Businesses simply have not designed their systems and processes efficiently and are now suffering accordingly."
KPMG's experts believe that in the rush to implement e-business services, too many control processes were only implemented superficially. As a result, businesses have had to resort to more basic methods to paper over the cracks. For example, a common solution has been to use spreadsheets as a 'quick fix'. The spreadsheets are used to collate the information which the system was originally designed to hold, meaning that businesses are being controlled via a spreadsheet rather than from the main system. Other common control failings include not sharing data effectively between systems and an inability to provide timely information for the management and control of the business.
KPMG advocates that businesses revisit their core systems and ensure that the appropriate controls are established. This can be achieved by changing the design and configuration of system-based controls within their existing systems. By embedding these controls, businesses can remove unnecessary barriers to system effectiveness.
Mr Cudworth explains: "A common example of how embedded controls can work is within a company's automated expenses system. The rules on employees expense policy can be embedded into the process itself, meaning that consistent over-spending or the use of an unauthorised airline or hotel is automatically flagged up without the need for checking by another employee."
"So many business IT applications have features that will allow the system to embed policies and rules, thereby automating everyday administrative controls. However, in our experience, they are frequently not being used properly. If they were, the result would be to free up valuable management time where it is better employed - i.e. focusing on the creative and added value aspects of the business."
"The rush to implement e-business processes has not been the only contributory factor in highlighting this lack of proper controls. Globalisation among larger firms has left many with a mixture of IT systems to support their business processes while downsizing and outsourcing have broken down traditional business controls. With so many potential problem areas, businesses must make the most of this opportunity for 'running repairs' in order to justify the massive investment so many continue to make in their IT processes. We see embedding controls as absolutely key to providing a 'trusted system' and maximising efficiency by removing expensive workarounds. Too many implementations have failed to address this issue. Organisations should act now to establish more effective controls and in the process achieve real benefit from their IT investment."
IS YOURS AN E-BUSINESS?
Study explores impact of e-commerce on retail sectors.
E-Commerce Minister Patricia Hewitt last week endorsed work underway to assess the impact of e-commerce on UK business. Supermarkets, book-selling and electrical goods retailing are among 26 UK consumer goods and services sectors to be surveyed.
Commenting on the study, Patricia Hewitt said:
"This work will give a major boost to our understanding of why some businesses in these sectors are exploiting new technologies more effectively than others.
"With this knowledge, we can help UK industry seize the competitive advantage that e-commerce offers and achieve our goal of making the UK the best place in the world for e-commerce."
PricewaterhouseCoopers has been commissioned to carry out the current programme of sector studies as part of the fact-finding process. Research underway in supermarkets, book-selling and electrical goods retailing is examining how retail businesses today are addressing the challenge of e-commerce by assessing:
Research across a wide range of other sectors will take place in stages throughout the next nine months. The first results are due to be published in June, with remaining findings to follow later this year.
The programme of sector impact studies was recommended in the report e-commerce@its.best.uk published by the Cabinet Office Performance and Innovation Unit in September 1999. The report is available on the PIU website http:www.cabinet-office.gov.uk//Innovation. One of the key recommendations of the report was that UK industry and Government should develop a greater understanding of the opportunities and threats resulting from e-commerce.
21 May Institute of Credit Management - Wessex Branch meeting How to Install a Debt Collection Package Royal Southampton Yacht Club Channel View Road, Southampton. 7pm for 7.30pm start Refreshments provided. 21st to 23rd May, 2001 GARP Credit & Counterparty Risk Summit, London. For full programme details please visit www.garp.com or contact GARP on tel. +44 (0)20 7626 9300. 22 May The Institute of Credit Management National Conference and Exhibition Cumberland Hotel, Marble Arch, London W1 European Outlook ICM Members £165.00 - Non-members £190.00 Retired & Student members £95.00 all plus vat Buffet Luncheon 8.30am to 5.00pm To register telephone 01780-722907 Fax 01780-721333 Thursday 24 May Sussex & Surrey Branch of the ICM Telephone Collections Speaker: Manager of Equifax Risk Management The Imperial Hotel Hove Time: 7.00 for 7.30 p.m. Sponsored by Equifax Risk Management Monday 11th June Stoke on Trent Branch of the Institute of Credit Management Credit Management Organisations in Europe - an Overview International speaker Russell KENNARD, MBA AIMC Places at this event are limited - those interested in attending should contact Catriona COLERICK on Telephone Number (01782) 28 2430. Coffee and biscuits will be served from 1830hrs, the presentation will commence at 1900hrs and will be followed by a light buffet to facilitate networking and discussion. The venue is Knight & Sons premises in The Brampton, Newcastle-under Lyme, Staffordshire. 22 June The Institute of Credit Management Fellows' Luncheon Dartmouth House Mayfair, London Tickets £42.00 plus vat To reserve places telephone 01780-722907 E-mail training@icm.org.uk 25 June Institute of Credit Management - Wessex Branch meeting How Credit Managers can get the most out of E-Commerce Presentation by Bill Chalker of the National Westminster Bank Plc Royal Southampton Yacht Club Channel View Road, Southampton. 7pm for 7.30pm start Refreshments provided. Friday 29 June Institute of Credit Management - Sussex & Surrey Branch Summer Social - Wine Tasting Bookers Vineyard Foxhole Lane, Bolney, West Sussex Time: 7.00 for 7.30 p.m. Wednesday, Thursday and Friday 24th to 26th October 2001 International Credit Exhibition & Conference The Westin Stamford, Singapore http://www.internationalcredit001.com Mailto:info@internationalcredit001.com If you have an event coming up which is credit management related and you would like us to make an entry in the Diary section please e-mail the details to jarnold@creditman.co.uk
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