Good morning and welcome to our rolling coverage of the long-awaited report from Sir John Vickers on UK banking reform.
You can find the text of the official report at the Vickers site.
Megan Murphy (MM), the FT’s investment banking correspondent, will guide us through the report.
12:00, MM: Sir John Vickers is calling a wrap on the press conference now, on the dot of midday.
A very interesting 90 minutes, with a strong defence of the commission’s work and what it is trying to achieve not only from Sir John, but most notably from the FT’s Martin Wolf and Bill Winters, the former co-head of investment banking at JPMorgan.
The banking industry may be taken aback by the tone of some of their commentary, as well as their conviction that ring-fencing is the best solution for removing the implicit taxpayer subsidy of universal groups, regardless of the direction taken by regulators/governments in other countries. That concludes the live blog for now, but we’ll be keeping an eye on developments and will post again later on anything new. Read more
It’s a cruel coincidence that the latest death knell for Saab comes within days of the latest extension of car guy Bob Lutz’s lease on life.
On Thursday, a Swedish court rejected the carmaker’s attempt to seek protection from its creditors, pushing a decision on potential insolvency into the hands of suppliers and employees awaiting payment for materials and labour. Saab is appealing, but the obituaries for the group – now selling well under 100,000 units annually – are already being written. Read more
Having spent the past couple of weeks in Hong Kong and the Pearl River Delta, I found the obituaries for Keith Tantlinger, the engineering brain behind the shipping container, poignant.
I took a stroll along the Pearl River in Guangzhou on Wednesday, nearby the ports from which vast amounts of electronics and textiles are shipped via containers to the rest of the world. It was a reminder of how much Mr Tantlinger’s little-known invention in the mid-1950s revolutionised the transport industry.
As recorded in Marc Levinson’s book The Box, Mr Tantlinger was asked by his boss, the maverick entrepreneur Malcolm McLean, to make practical the idea of storing goods in box containers rather than in break-bulk ships which had to be loaded and unloaded at each port. Read more
Li Feifei, a 19-year-old migrant factory worker from China’s Hubei province, dreams of becoming a clothes designer.
Ms Li, to whom I spoke this week at Fuji Xerox’s plant in the Longhua district of Shenzhen, got the idea of attending a fashion college and changing jobs from watching television. “When I saw beautiful girls in dramas, I thought of them wearing clothes I made and designed,” she says.
It’s little surprise that Spain’s industry minister should emphasise the Spanishness of Telefónica. On Tuesday, Miguel Sebastián said the important point to take from the telecoms group’s radical reorganisation was that its headquarters would stay in Spain. So far, so predictable.
What’s more extraordinary is how calmly Spanish politicians seem to be handling news that the national champion is, in the FT’s words, “to axe its Spanish division as a standalone business”. Mr Sebastián actually went on to point out that the fact that Telefónica’s newly created digital division would be based in London was a sign that the telecoms group is ever more global. Read more
Carol Bartz in February 2011. Image by Getty.
“Nothing in his life became him like the leaving it,” Malcolm observes of the executed Thane of Cawdor in Macbeth and the same could be said of Carol Bartz, the abruptly dismissed chief executive of Yahoo. Read more
Who would not want Brunello Cucinelli to succeed in his quest to produce luxury cashmere sweaters in the Umbrian hills while paying his local workforce a premium wage and offering them a three-course daily lunch?
Rachel Sanderson’s interview with Italy’s “King of Cashmere” is a great insight into how one manufacturer is trying to preserve artisinal traditions rather than outsourcing the production of his eponymous knitwear to China or Bangladesh.
It will be encouraging if he can continue with his idyllic-sounding approach to design and manufacturing – helped by the fact that he can sell the resulting products to investment bankers and others for luxury prices – while listing a third of his company on the Milan stock exchange. Read more
One of the founding principles of the web – not only the technology but the culture that has grown up with it – is that, as the New Yorker cartoon once put it: “On the internet, nobody knows you’re a dog.”