Major International Business Headlines Brief::: 14 August 2019

[Bulls n' Bears]

 <http://www.bulls.co.zw/> Bulls.co.zw
<mailto:info at bulls.co.zw?subject=View%20and%20Comments> Views & Comments
<http://www.bulls.co.zw/blog> Bullish Thoughts
<http://www.twitter.com/BullsBears2010> Twitter
<https://www.facebook.com/BullsBearsZimbabwe> Facebook
<http://www.linkedin.com/pub/bulls-n-bears-zimbabwe/57/577/72> LinkedIn
<mailto:info at bulls.co.zw?subject=Unsubscribe> Unsubscribe

 


 

 


Major International Business Headlines Brief::: 14 August 2019

 


 

 


 <http://www.nedbank.co.zw/> 

 


 

 


 

 

*  Steinhoff looks to sell off assets after $7 billion accounting fraud

*  Absa's profit rise clouded by mixed results underneath

*  South Africa's AMCU union disappointed by Lonmin wage offer

*  South Africa's rand on the ropes as global risk aversion intensifies

*  Ugandan shilling steady; traders await central bank rate decision

*  S.Africa's Absa bank says has found new CEO, to be named in due course

*  British American Tobacco's takeover of Twisp wins S.Africa approval

*  S.Africa's Northam Platinum expects FY profits to rise by over 100%

*  Murray & Roberts says Clough USA unit awarded $620 mln EPC project

*  Omnia prices $130 mln rights issue

*  Trump delays some tariffs on Chinese imports

*  Media giants Viacom and CBS to merge in latest mega-deal

*  Norwegian cuts routes over 737 Max grounding

*  Brexit: Hammond demands 'genuine' negotiations with EU

*  Brexit: Next boss says UK can avoid no-deal chaos

 

 

 

 


 <mailto:info at bulls.co.zw> 

 


 

Steinhoff looks to sell off assets after $7 billion accounting fraud

CAPE TOWN (Reuters) - Scandal-hit South African retailer Steinhoff said on
Tuesday its only hope for survival is to sell off assets to become a
retail-focused investment holding firm, as it fights to contain the fallout
of a $7 billion accounting fraud.

 

The company has been making losses of up to $4 billion a year since it
initially flagged holes in its accounts in December 2017.

 

In its first presentation to investors since then, the retailer’s chief
executive Louis du Preez said its “only way to survive” was to slim down
into a pure investment holding company focused on retail.

 

To achieve that Steinhoff is looking to sell off its non-retail assets and
cut jobs at its French retail chain Conforma, its management said during the
presentation.

 

The accounting scandal at Steinhoff shocked investors that had backed its
transformation from a small South African furniture outfit into a discount
furniture retailer straddling four continents.

 

Executives said its fallout means the company, which owns Mattress Firm Inc
in the United States and Fantastic chains in Australia, and is also listed
in Frankfurt, will be fighting to return to profitability for years to come
even with strong turnover.

 

CEO du Preez also said Steinhoff’s debt - totalling over 9 billion euros
($10.09 billion) - was too high and needed to be urgently addressed.

 

($1 = 0.8918 euros)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


 <mailto:info at bulls.co.zw> 

 


 

Absa's profit rise clouded by mixed results underneath

JOHANNESBURG (Reuters) - A drop in earnings at Absa’s South African
corporate and investment bank took the shine off progress at its core
domestic retail business as the lender reported a 5% rise in first-half
profit on Tuesday.

 

Once a market leader, Absa has been trying to regain ground lost under the
stewardship of former parent Barclays following its split from the British
lender in 2017, but is battling with competition and a weak South African
economy.

 

Its drive to regain retail banking market share at home and grow sales
elsewhere in Africa helped boost headline earnings per share (HEPS) - the
main profit measure in South Africa - to 918.4 cents ($0.6019) in the first
half, against 877.8 cents in 2018.

 

“There’s still a lot to do, but we are doing the right things and we are on
the right road,” interim chief executive Rene van Wyk told an investor call.

 

Absa is hoping its turnaround plan and a series of ambitious targets can
help win back customers and investors’ confidence.

 

Its South African retail division, which contributes more than half of its
overall earnings and has lagged behind peers, grew earnings by 4%.

 

That was above the flat earnings at rivals Nedbank and Standard Bank, which
struggled after a shock economic contraction and spike in unemployment to an
11-year high.

 

However, analysts said this - as well as 8% growth in Absa’s earnings
outside of South Africa - was undermined by a poor showing in other units.
The bank’s shares fell just over 1.5% at the market open, but were flat at
0957 GMT.

 

The lender’s South African corporate and investment bank saw earnings
decline 10%, while overall return on equity also fell and Absa revised down
its guidance for this for the full year.

 

“I think the market is probably reacting to that,” Harry Botha, analyst at
Avior Capital Markets said, adding the results were below expectations due
to the performance at the domestic corporate and investment bank.

 

Absa has also been without a permanent chief executive since February, when
long-time boss Maria Ramos stepped down - a move which, while a surprise,
was welcomed by analysts and investors keen for fresh thinking at the top.

 

It said at the time it would name her replacement by its half-year results.
On Monday, it said it had identified a new CEO, who would start in the new
year, but it could not give a name due to regulatory conditions.

 

Van Wyk said on Tuesday Absa was not expecting to name the person until
January.

 

When normalised for the impact of the Barclays separation, Absa’s overall
HEPS were up 3%.

 

($1 = 15.2572 rand)

 

 

 

South Africa's AMCU union disappointed by Lonmin wage offer

JOHANNESBURG (Reuters) - South Africa’s Association of Mineworkers and
Construction Union (AMCU) is disappointed by a wage offer for workers at
Lonmin, which was acquired by Sibanye-Stillwater this year.

 

“We are utterly disappointed with the offer at Sibanye-Stillwater Lonmin,”
Joseph Mathunjwa told a news conference, describing the offer as a “slap in
the face”.

 

($1 = 15.3416 rand)

 

 

 

 

South Africa's rand on the ropes as global risk aversion intensifies

JOHANNESBURG (Reuters) - South Africa’s rand weakened for a third straight
session early on Tuesday as global growth worries linked to the trade spat
between China and United States and souring local sentiment kept investors
eyeing key selling levels.

 

At 0650 GMT the rand was 0.26% weaker at 15.3450 per dollar, back tracking
after a brief run to 15.2400 as technical support at 15.50 came into focus.

 

Demand for riskier assets has cooled since U.S. President Donald Trump said
on Friday he was not ready to make a trade deal with China.

 

Aversion to risk and emerging market assets was also stoked by defeat for
Argentina’s business-friendly president Mauricio Macri in primary elections,
sparking a selloff that spread from the South American country to Turkey,
Mexico and South Africa.

 

Traders said a breach of 15.50 and 15.6950 this week could see the rand’s
losses intensify rapidly as stop losses were triggered and investors fled to
safe haven assets.

 

Bonds were slightly firmer, with the yield on benchmark government paper due
in 2026 down 1.5 basis points to 8.47%.

 

On equity markets, lender Absa reported a 5% rise in first-half profit,
while its core retail business managed to grow despite a faltering domestic
economy.

 

 

 

Ugandan shilling steady; traders await central bank rate decision

KAMPALA (Reuters) - The Ugandan shilling was steady on Tuesday, with some
traders staying on the sidelines, reluctant to take positions ahead of a
central bank rate decision due on Thursday.

 

At 1008 GMT, commercial banks quoted the shilling at 3,690/3,700 per dollar,
the same level as Monday’s close.

 

 

 

S.Africa's Absa bank says has found new CEO, to be named in due course

JOHANNESBURG (Reuters) - South African lender Absa said on Monday it had
completed the process to appoint a new CEO, who would be named in due course
and take up office in January.

 

“The individual will be announced in due course (as per the conditions
imposed by the Prudential Authority) and will take up office in January
2020,” the bank said in a statement.

 

When long-time boss Maria Ramos retired earlier this year, Absa said it was
confident it could name its new CEO before reporting half year results. The
results are due to be announced on Tuesday.

 

 

 

British American Tobacco's takeover of Twisp wins S.Africa approval

JOHANNESBURG (Reuters) - British American Tobacco’s (BAT) proposed takeover
of e-cigarette maker Twisp won approval from South Africa’s Competition
Tribunal on Tuesday after the UK-based group agreed to a series of
conditions.

 

The local unit of BAT, the world’s second-largest tobacco company by sales,
announced the deal in 2017 as part of its efforts to increase its offering
of so-called next-generation products or alternatives to smoking cigarettes.

 

But the deal had faced opposition, with the Competition Commission having
said in July 2018 it recommended the prohibition of the deal and local
rivals saying in May this year they wanted to intervene in the proposed
merger.

 

The commission later changed its recommendation to a conditional approval.

 

BAT, like rivals, is striving for a bigger chunk of the global market for
smoking alternatives as volumes of traditional cigarettes continue to slide.

 

Under conditions placed on the deal, the combined group would not be allowed
to agree with retailers to allocate their products more than 70% of visible
sales space given to e-cigarettes. They also won’t incentivise retailers to
deny space to rival products.

 

The conditions will apply for five years.

 

The Tribunal also said there should be no retrenchments or job cuts as a
result of the proposed deal for a period of two years from the date on which
the transaction is implemented.

 

BAT South Africa (BATSA) and Twisp, which have not put a value on the deal,
welcomed the decision.

 

“BATSA has been impressed by Twisp’s unique product offering, and plans to
expand this for customers, while growing Twisp’s leadership position,” said
BATSA Chief Executive Soraya Benchikh.

 

In July the South African unit of Philip Morris International Inc opened a
flagship store in Johannesburg for its alternative heated tobacco product
IQOS.

 

 

 

S.Africa's Northam Platinum expects FY profits to rise by over 100%

JOHANNESBURG (Reuters) - South Africa’s Northam Platinum said on Monday it
expected its full-year profits to be over 100% higher than in 2018 after
achieving record production and operating profit.

 

The miner said it anticipated its headline earnings per share (HEPS) - the
main profit measure in South Africa - for the year until June 30 to stand
between 14.8 cents and 16.8 cents, representing an increase of 107.4% to
108.4%.

 

In a stock exchange statement, the company said it expected to report a
record operating profit of 2.4 billion rand ($156.47 million), which it
attributed to efforts to contain costs and a higher basket price.

 

The group had also achieved record production from its own operations, up
7.4% on 2018, while sales volumes increased by 23.3%, it added.

 

Normalised headline earnings, which in Northam’s case are adjusted for the
impact of a black economic empowerment transaction, were expected to rise by
over 220% to 1.3 billion rand, it said.

 

($1 = 15.3380 rand)

 

 

 

Murray & Roberts says Clough USA unit awarded $620 mln EPC project

JOHANNESBURG (Reuters) - Clough USA has been awarded a petrochemical
engineering, procurement and construction (EPC) project in the United States
worth $620 million, South African parent firm Murray & Roberts said on
Monday.

 

“This multi-year project signifies Clough USA’s first major contract award
and underlines the successful establishment of Clough in North America,”
Murray & Roberts said in a statement.

 

The wholly owned subsidiary was established earlier this year following
Murray & Roberts’ acquisition of Saulsbury Industries’ Gulf Coast downstream
EPC business.

 

Clough USA has secured a limited notice to proceed and should receive the
full notice to proceed by October, the firm said.

 

 

 

Omnia prices $130 mln rights issue

JOHANNESBURG (Reuters) - South African chemicals and fertiliser maker Omnia
Holdings priced its 2 billion rand ($130 million) rights issue at 20 rand
per share on Monday.

 

Omnia, which said in May it would use the proceeds to reduce its debt, will
issue 100 million shares, it said in a statement.

 

Omnia has been battling high debt after raising funds for two acquisitions
and the construction of a fertiliser plant. Net interest-bearing borrowings
stood at 4.403 billion rand at the end of March.

 

At 0859 GMT, Omnia’s shares were up 1.53% at 34.59 rand, after slipping more
than 8% at the market open.

 

The firm said it had also agreed an underwriting deal with investors Allan
Gray, Coronation Asset Management, Foord Asset Management, Kagiso Asset
Management, Old Mutual Investment Group and Prudential.

 

As a result of this, a standby underwriting agreement with banks had been
terminated, it added.

 

“Receiving support from prominent asset managers who represent our
shareholders affirms the investment case for Omnia as we continue to
strengthen our financial position and execute on our strategy,” newly
appointed Chairman Ralph Havenstein said.

 

Omnia, which also produces explosives, said in June it would evaluate the
returns from its business units and look at cost cutting as it grapples with
high debt and thin margins.

 

The company reported a headline loss per share of 112 cents for the year
ended March 31, against a profit of 991 cents a year earlier, hurt by a
volatile currency, drought, changes in the mining industry and difficult
global trading conditions.

 

($1 = 15.3025 rand)

 

 

 

Trump delays some tariffs on Chinese imports

The US is delaying imposing tariffs on some imports from China until 15
December because of "health, safety, national security and other factors".

 

The products include mobile phones, laptops, video game consoles, some toys,
computer monitors, and certain footwear and clothing.

 

The surprise news from the United States Trade Representative officesparked
a rally in share prices.

 

Other items facing a 10% tariff will go ahead as planned on 1 September.

 

US President Donald Trump, speaking to reporters, said that the delay was in
part to avoid hitting US shoppers this Christmas.

 

The USTR's announcement was released minutes after China's Ministry of
Commerce said Vice Premier Liu He had conducted a phone call with US trade
officials.

 

US-China trade war in 300 words

Technology investors welcomed news of the exemptions, pushing an index of
chip stocks up 2.8%. Retailers and industrial shares also rose, with General
Electric up 4.4%.

 

On Wall Street, the three main share indexes were up more than 2% at one
stage. The Dow Jones and S&P 500 finished 1.4% ahead, while the
tech-dominated Nasdaq finished up 1.9% - led by a 4% rise in Apple.

 

In the UK, stocks exposed to global trade also rose, with miner Glencore
closing up 2.3%.

 

Mr Trump said on 1 August he would impose a 10% tariff on $300bn of Chinese
goods, blaming China for not following through on promises to buy more
American agricultural products.

 

He also personally criticised Chinese President Xi Jinping for failing to do
more to stem sales of the synthetic opioid fentanyl amid an opioid
overdosing crisis in the US.

 

But in a tweet on Tuesday, Mr Trump hinted that he was expecting something
in return, suggesting that China's failure to "buy big" from US farmers
could be about to change.

 

The USTR's announcement comes amid growing concerns about a global economic
slowdown. Goldman Sachs said on Sunday that fears of the US-China trade war
leading to a recession were increasing.

 

Some analysts said Tuesday's delay does not mean the trade war is over.
Elena Duggar, associate managing director at credit rating agency Moody's,
said: "This seeming de-escalation in ongoing tensions may be a temporary
reprieve... Relations between the world's two largest economies will remain
contentious, punctuated with occasional steps towards compromise."

 

Earlier on Tuesday, China's chief trade negotiators, Vice Premier Liu He and
Commerce Minister Zhong Shan, spoke to their US counterparts, Treasury
Secretary Steven Mnuchin and Trade Representative Robert Lighthizer.

 

The Xinhua news agency said that the Chinese officials issued "a solemn
protest" against the punitive duties set to come into effect on 1 September.
Mr Lighthizer and Mr Liu have scheduled another telephone call in two weeks.

 

The two sides were due to hold another round of meetings in Washington in
September, but the deterioration in relations in the past two weeks cast
doubt on whether the talks would take place.

 

Additional details and lists of the specific product types affected by the
announcement are due to be published by USTR later.--BBC

 

 

 

Media giants Viacom and CBS to merge in latest mega-deal

Entertainment giants CBS and Viacom are to merge in the latest media
mega-deal as broadcasters adapt to changing consumer demands.

 

The new company will have $28bn in revenue and comprise brands like MTV,
Comedy Central and Paramount Pictures.

 

The deal would reunite the two firms, which were previously under the same
corporate umbrella until a 2006 split.

 

The move comes amid an increasingly competitive landscape dominated by
Netflix, Disney-Fox and other rivals.

 

The merged firm, to be called ViacomCBS, would be controlled by National
Amusements, the holding company owned by billionaire Sumner Redstone and his
daughter, Shari.

 

There have been at least three attempts to re-combine the companies, but all
failed due to clashes between executives and investors over who got the top
jobs as well as the valuations of the business.

 

There was also the dramatic fall of CBS's boss Les Moonves, ousted after
allegations of sexual misconduct.

 

Viacom chief executive Bob Bakish will be the president and chief executive
of the combined company. Joe Ianniello, interim chief executive of CBS, will
be named chairman and chief of CBS.

 

The companies said they expected about $500m cost savings from the tie-up,
which brings together a movie studio, string of cable channels, and some of
US TV's most-watched shows, including 60 Minutes and The Big Bang Theory.

 

In addition to their US operations, the merged group will have a global
reach, including in Britain, Argentina and Australia.

 

'Content is king'

"I am really excited to see these two great companies come together so that
they can realise the incredible power of their combined assets," said Shari
Redstone, who will chair the new company, ViacomCBS.

 

The daughter of Sumner Redstone said: "My father once said 'content is
king,' and never has that been more true than today. We will establish a
world-class, multiplatform media organisation that is well-positioned for
growth in a rapidly transforming industry."

 

Mr Redstone broke up CBS and Viacom 14 years ago. He believed it would
unlock the value of Viacom, which was broadcasting some of TV's most popular
shows at a time when CBS was becoming less popular.

 

Shari Redstone had been a big backer of re-combining the companies in the
face of tough competition. The mergers of Disney with Fox, and AT&T and Time
Warner, coupled with expanding streaming services, left CBS and Viacom in a
weaker position.--BBC

 

 

 

Norwegian cuts routes over 737 Max grounding

Budget airline Norwegian Air has said it will end flights between Ireland
and the US next month, blaming the grounding of the Boeing 737 Max.

 

"We have concluded these routes are no longer commercially viable," it said.

 

Norwegian, which has struggled to make a profit, said last month the
grounding of the Boeing 737 Max plane could undo its plan to return to
profitability.

 

Norwegian said all six routes from Dublin, Cork and Shannon to the US and
Canada would end on 15 September.

 

Boeing's 737 Max fleet was grounded after two fatal crashes, the first a
Lion Air flight which crashed into the sea off Jakarta last year, and the
second an Ethiopian Airlines' flight which crashed shortly after take off
from Addis Ababa in March.

 

In total 346 people were killed.

 

"Since March, we have tirelessly sought to minimise the impact on our
customers by hiring replacement aircraft to operate services between Ireland
and North America. However, as the return to service date for the 737 Max
remains uncertain, this solution is unsustainable," said Matthew Wood,
senior vice president of Norwegian's long-haul division.

 

The airline said any customers who already had flights booked would be
rerouted onto other Norwegian services.

 

If passengers no longer wanted to travel with the airline, Norwegian said
they would be offered a full refund.

 

"We will continue to offer scheduled services from Dublin to Oslo, Stockholm
and Copenhagen as normal," said Mr Wood.

 

The airline said any redundancies resulting from the decision to end the
Ireland-US routes would be "a last resort".

 

"Our 80 Dublin-based administrative staff at Norwegian Air International and
Norwegian Group's asset company, Arctic Aviation Assets, will not be
affected by the route closures," Mr Wood added.

 

Rapid growth

Norwegian Air was founded in 1993 as a small domestic airline, but changed
strategy in 2002 to become a budget carrier.

 

Its low fares have helped it grow rapidly, and it is now Europe's third
biggest low-cost carrier.

 

Last year it launched 35 new routes, carried more than 37 million passengers
and added 2,000 staff.

 

Its big innovation has been to operate low-cost long-haul flights between
the UK and the US, which it started in 2014. It now flies to 12 US
destinations from London's Gatwick airport.

 

It has become the biggest international carrier to serve the New York City
area, carrying more passengers there than British Airways, Air Canada or
Lufthansa, according to figures from the Port Authority of New York & New
Jersey.

 

However, that growth has come at the expense of profits.

 

The airline lost 1.45bn kroner (£135m) last year, which it blamed on fuel
costs, tough competition and issues with engines on its Dreamliner aircraft.

 

In March, to shore up its finances, Norwegian raised 1.3bn kroner through a
share sale and also sold some aircraft.--BBC

 

 

 

Brexit: Hammond demands 'genuine' negotiations with EU

The government must commit to a "genuine negotiation with the EU", former
Chancellor Philip Hammond has said.

 

In his first comments since stepping down last month, Mr Hammond said a
no-deal Brexit would "break up the UK".

 

"The reality would be a diminished and inward-looking little England," he
said in an article in the Times.

 

A no deal would be a "betrayal of the 2016 referendum", he said, adding "it
must not happen".

 

Prime Minister Boris Johnson has called for the EU to remove the Irish
border backstop plan before the Brexit deadline of 31 October.

 

Many of those who voted against Theresa May's Brexit deal had concerns over
the backstop - designed to guarantee there will not be a hard Irish border
after Brexit - which if implemented, would see Northern Ireland staying
aligned to some rules of the EU single market.

 

In his article, Mr Hammond said: "The pivot from demanding changes to the
backstop to demanding its total removal is a pivot from a tough negotiating
stance to a wrecking one: the unelected people who pull the strings of this
government know that this is a demand the EU cannot, and will not, accede
to."

 

He said it was a "myth that a no-deal exit will be painless" and that "all
credible economic analysis shows that the losses will far exceed the
potential benefits".

 

"There is no popular mandate for a No Deal Brexit; and no Parliamentary
mandate for a No Deal Brexit," he added.

 

'Red lines alarming'

Mr Hammond said: "Most people in this country want to see us leave in a
smooth and orderly fashion that will not disrupt lives, cost jobs or
diminish living standards, whether they voted Leave or Remain in 2016.

 

"Parliament faithfully reflects the view of that majority and it will make
its voice heard."

 

Mr Hammond's comments come as Downing Street said it expects a group of MPs
to try to block a no-deal Brexit by attempting to pass legislation when
Parliament returns next month.

 

Speaking on Tuesday, the Commons Speaker John Bercow said he believed MPs
could stop a no-deal Brexit and pledged to refuse to let Mr Johnson suspend
Parliament to achieve such a course.

 

Earlier, Work and Pensions Secretary Amber Rudd urged Mr Johnson not to
force through a suspension.

 

She told the BBC: "I remain a great admirer of Parliament and of
parliamentary sovereignty and I will continue to argue for the executive of
the government that I'm part of to work with Parliament, not against them."

 

Meanwhile, the Sun is reporting Mr Hammond and 20 other senior Tory MPs have
written to the prime minister to say his demand to scrap the Irish backstop
"set the bar so high that there is no realistic probability of a deal being
done".

 

They said they were "alarmed by the 'Red Lines' you have drawn which, on the
face of it appear to eliminate the chance of reaching agreement with the
EU".

 

The group also demands Mr Johnson declares he is firmly committed to leaving
the EU with a deal and is ready to compromise to get one - pointing out
those were assurances he gave during the leadership campaign "both publicly
and privately".

 

Seven other former cabinet ministers are said to have signed the letter,
including David Lidington, David Gauke, Rory Stewart and Greg Clark, all of
who resigned before Mr Johnson took office.--BBC

 

 

 

Brexit: Next boss says UK can avoid no-deal chaos

Government contingency planning means the UK is becoming prepared for a
no-deal Brexit, says Lord Wolfson.

The UK can avoid severe disruption in the event of a no-deal Brexit, the
boss of one of the country's leading retailers has told the BBC.

 

Lord Wolfson, chief executive of clothing firm Next, said he still hoped a
deal could be done before 31 October.

 

But he said the government's increased focus on contingency planning meant
the UK was close to being well prepared.

 

Simplified customs and border procedures had made the chance of hold-ups of
goods far less likely, he said.

 

Lord Wolfson was a strong advocate of Brexit in the run-up to the referendum
but has previously warned that a no-deal Brexit would bring about "chaos and
disorder", while stopping short of a catastrophe.

 

In an exclusive interview with the BBC Today programme, the Conservative
peer said the last government had failed to adequately prepare - a situation
that was now being addressed.

 

"We are a long way from disorder and chaos, the fact that HMRC has
introduced these transition methods will make an enormous difference. I
think the encouraging thing is that we are rapidly moving from the disorder
and chaos camp to the well-prepared camp.

 

"I should stress that I would much prefer a deal to no deal, but I am much
less frightened by no deal if the government is prepared, and there is every
indication it's taking it more seriously."

 

He said he was still hopeful a deal could be done before 31 October and that
increased preparation for no deal would help secure one.

 

"In the vast majority of deals I've done, if the deadline is midnight, the
deal gets done at 11:55 but we need to have nerves of steel and prepare
ourselves for either outcome."

 

Even if the UK ports wave everything through, Lord Wolfson concedes that the
government cannot influence what will happen on the other side. He said that
Next had moved all its imports and exports out of Calais to other ports.

 

There will be some who will say that redirecting all your business away from
Calais does not square with being confident that all will go smoothly.

 

He did concede that at bottlenecks like Calais, there was a chance that
smaller companies without the right preparation could cause a big problem by
getting in the way of everyone else. If that was the case, we would need to
get them out of the way - sending them back to the EU empty if necessary.

 

Empty trucks solution

Lord Wolfson also said that if there was any issue with getting goods out of
the UK in the event of a no-deal Brexit, one solution could be sending empty
trucks over to Europe.

 

"The cost of an empty leg is around £400. So sending a small number of
trucks, that can't get across, empty, rather than putting them into a lorry
park means at least you can get goods back," he said.

 

In such a scenario, he said that the government could "look at" compensating
hauliers.

 

"The government needs to look at what it will take to make sure that the
small number of trucks that can't leave the country at least go back empty
so that they can come back full.

 

"I don't know if the right answer to that is to compensate them, or whether
to charge the companies that have sent goods incorrectly to the ports so
they can't get through."

 

'Scared of no deal'

The Next chief had sharp criticism for the last government's lack of
preparation.

 

"There was a wilful attempt to not prepare. They were so scared of no deal
they couldn't allow anyone to admit it could happen. That's changing and I
think that means in the worst case you get mild disruption - in the best
case - you get a deal."

 

Lord Wolfson was however critical of the government's approach towards
future immigration. He said the imposition of a minimum salary of over
£30,000 was a mistake.

 

"I think it is a very unwise way to measuring need by looking at someone's
salary".

 

Lord Wolfson summed up his guide to a successful Brexit with four P's:
Ports, people, prices and perception. If you can get those right the UK can
both cope with no deal and in so doing, increase the chances of getting one.

 

His stoic position is at odds with dire warnings from some business groups
and some former cabinet ministers who have described no deal as a
catastrophic outcome and here will be many who say that it's all very well
for a business with a turnover of over £4bn a year to be well prepared.

 

Lord Wolfson acknowledges there will be many smaller businesses who may
struggle. But he also argues the government is now doing its job - the rest
is down to them.--BBC

 

 

 

 

 

 

 


 

 


 

INVESTORS DIARY 2019

 


Company

Event

Venue

Date & Time

 


 

 

 

 

 


 

 

 

 

 


Companies under Cautionary

 

 

 


 

 

 

 


Bindura Nickel Corporation

 

 

 


Padenga Holdings

 

 

 


Delta Corporation

 

 

 


Meikles Limited

 

 

 


 <mailto:info at bulls.co.zw> 

 


 

 


DISCLAIMER: This report has been prepared by Bulls ‘n Bears, a division of
Faith Capital (Pvt) Ltd for general information purposes only and does not
constitute an offer to sell or the solicitation of an offer to buy or
subscribe for any securities. The information contained in this report has
been compiled from sources believed to be reliable, but no representation or
warranty is made or guarantee given as to its accuracy or completeness. All
opinions expressed and recommendations made are subject to change without
notice. Securities or financial instruments mentioned herein may not be
suitable for all investors. Securities of emerging and mid-size growth
companies typically involve a higher degree of risk and more volatility than
the securities of more established companies. Neither Faith Capital nor any
other member of Bulls ‘n Bears nor any other person, accepts any liability
whatsoever for any loss howsoever arising from any use of this report or its
contents or otherwise arising in connection therewith. Recipients of this
report shall be solely responsible for making their own independent
investigation into the business, financial condition and future prospects of
any companies referred to in this report. Other  Indices quoted herein are
for guideline purposes only and sourced from third parties.

 


 

 


(c) 2019 Web: <http:// www.bulls.co.zw >  www.bulls.co.zw Email:
<mailto:info at bulls.co.zw> info at bulls.co.zw Tel: +263 4 2927658 Cell: +263 77
344 1674

 


 

 

 

 

 

 

Invest Wisely!

Bulls n Bears

 

Telephone:    <tel:%2B263%204%202927658> +263 4 2927658

Cellphone:      <tel:%2B263%2077%20344%201674> +263 719 441 674

Alt. Email:              <mailto:info at bulls.co.zw> info at bulls.co.zw 

Website:
<http://www.google.com/url?q=http%3A%2F%2Fwww.bulls.co.zw&sa=D&sntz=1&usg=AF
QjCNH8LYgdY55h-XKseuM8Kpr-JKdfhQ> www.bulls.co.zw

Blog:
<http://www.google.com/url?q=http%3A%2F%2Fwww.bulls.co.zw%2Fblog&sa=D&sntz=1
&usg=AFQjCNFoIy6F9IXAiYnSoPSgWDYsr8Sqtw> www.bulls.co.zw/blog

Twitter:                 @bullsbears2010

LinkedIn:              Bulls n Bears Zimbabwe

Facebook:
<http://www.google.com/url?q=http%3A%2F%2Fwww.facebook.com%2FBullsBearsZimba
bwe&sa=D&sntz=1&usg=AFQjCNGhb_A5rp4biV1dGHbgiAhUxQqBXA>
www.facebook.com/BullsBearsZimbabwe

Skype:                  Bulls.Bears 

Whatsapp Group:   <https://chat.whatsapp.com/CF6wllAfScU9Wr6dXxoQnO> Click
Here to Join

 



 



---
This email has been checked for viruses by Avast antivirus software.
https://www.avast.com/antivirus
-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20190814/3392f978/attachment-0001.html>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image001.jpg
Type: image/jpeg
Size: 42384 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20190814/3392f978/attachment-0005.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image002.jpg
Type: image/jpeg
Size: 34707 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20190814/3392f978/attachment-0006.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image003.jpg
Type: image/jpeg
Size: 33003 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20190814/3392f978/attachment-0007.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image004.jpg
Type: image/jpeg
Size: 30736 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20190814/3392f978/attachment-0008.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image005.jpg
Type: image/jpeg
Size: 3256 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20190814/3392f978/attachment-0009.jpg>