MANCHESTER United is set to become

a publicly traded company tomorrow

after investors filled the order book for
its shares, despite warnings from ana-
lysts that the stock is overpriced.
City A.M. understands that there has
been sufficient demand for the club to
push ahead with its listing on the New
York Stock Exchange, which will see it
issue 16.7m shares priced at between
$16 and $20 raising up to $330m
(210m).
It will be third time lucky for the
club, after the owners, the Glazer fam-
ily, abandoned earlier attempts to
float in Singapore and Hong Kong.
But analyst Ken Perkins at Chicago-
based Morningstar told City A.M. the
proposed share price is aggressive, if
not excessive and said a fairer value
FTSE 100L5,845.92 +4.68 DOWL13,175.64 +7.04 NASDAQ 3,011.25 -4.61 /$ 1.56 unc / 1.26 unc /$ 1.24 unc
See Page XX
HYHYHY-
HYHYHY-
HYHYHYH
Certified Distribution
28/05/2012 till 01/07/2012 is 132,857
BY JAMES WATERSON
DAVID HELLIER: Page 2
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MORE: FORUM: Page 13
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www.cityam.com FREE
BUSINESS WITH PERSONALITY
ISSUE 1,692 THURSDAY 9 AUGUST 2012
was around $10.
From an investment perspective it
just doesnt seem attractive. Theyre
not going to pay dividends and the
Glazers are going to retain control. As
an investor I dont know what youre
getting other than the hope the club
is going to get bought by someone
else.
An $18 float price would give the
company a steep predicted price-to-
earnings ratio of over 110, compared
to 14.4 for entertainment giant Disney.
The high price has led to industry
speculation that many investors are
individuals who have more interest in
the bragging rights that come from
owning a stake in one of the worlds
most famous football clubs than they
are in achieving a good return on
their investment.
David Gill, Manchester Uniteds chief
executive, was yesterday in London to
help drum up additional support at
an investor roadshow hosted by lead
adviser Jefferies.
Supporters groups have been vocal
in their opposition to the float, com-
plaining that the proceeds will not be
spent on improving the clubs playing
squad but instead will be used to
reduce the 420m debt pile that
Manchester United has carried since
the Glazers leveraged takeover in
2005. If all goes to plan the family will
also enjoy a pay day of around $140m.
Institutional investors have repeat-
edly complained about the proposed
share structure, which will leave the
current owners with 99 per cent of
voting rights.
How Manchester Uniteds figures compare
Man United Disney CBS
P/E 2013
110.3
P/E 2013
14.4
P/E 2013
12.4
$8
9
.
2
bn
M
arket cap
Profit 2011
$8bn
Market cap
Profit 2011
$2.5bn
Profit 2011
$18.9m
DAY OF NEAR MISSES FOR TEAM
GB BUT BOXER NICOLA ADAMS
BATTLES THROUGH TO FINAL
VISITORS STEAL THE SHOW
All the action
from yesterdays
Olympics:
Pages 8, 13, 19, 20
MAN UTD KICKS OFF IPO
WITH SKY-HIGH RATING
* P/E =price-to-earnings ratio, the cost of a share comparedtothe firms income per share.
Market cap
$2.95bn
$2
3
bn
L
IN BRIEF
Greeks bid for Credit Agricole unit
nTwo of Greeces largest banks
yesterday joined a race to buy Credit
Agricoles struggling Greek subsidiary
Emporiki, put up for sale to limit the
French lenders exposure to crisis-hit
Greece. National Bank and Eurobank
said in separate bourse filings they
submitted offers for Emporiki, which
lost 1.62bn (0.9bn) in 2011. Alpha
Bank has already said it has made an
offer. But Credit Agricole will have to
recapitalise Emporiki if it wants to
offload the bank. Greeces bank
support fund, the Hellenic Financial
Stability Fund (HFSF), has told
Emporikis potential buyers that it will
approve a sale only if the unit is
recapitalised and fully funded before
it is sold.
Morgan Stanley eyes job cuts
nMorgan Stanley, under fire to boost
profit margins in its retail brokerage
arm, is considering closing brokerage
offices, laying off support staff and
requiring some branch managers also
to generate revenue as advisers under
a cost-cutting drive, according to
reports. Morgan Stanley, which
controls the Morgan Stanley Smith
Barney venture owned jointly with
Citigroup, last week reduced the
number of regions to 12 from 16,
eliminating four manager jobs.
Among the changes under discussion,
they said, is a 10 per cent cut in the
ventures 120 branch complexes,
which are groups of branch offices in a
city or region that share compliance
and administrative staff. Morgan
Stanley spokeswoman Christine Jockle
declined to comment.
THE US regulatory body at the centre
of allegations against Standard
Chartered yesterday came out fight-
ing against criticism that it had acted
without consulting its fellow watch-
dogs, and denied that the case was
proof of an anti-UK bias.
One of the New Yorks state finan-
cial services departments senior offi-
cials told City A.M. yesterday that the
newly formed regulator didnt do
things the standard old boy way and
said it was not involved in pursuing
an anti-London agenda.
He spoke out after widespread criti-
cism from British MPs and policy-
makers that claims against the bank
were part of a campaign to under-
mine a rival financial centre.
The department of financial servic-
es (DFS), run by Benjamin Lowsky,
stunned the City on Monday after it
launched an explosive assault on
Standard Chartered over $250bn in
alleged money laundering transac-
tions tied to Iran.
The order issued by the department
scuppered long-running negotiations
that were already taking place
between the bank and various US
regulators including the Treasury
and the Fed to settle the claims over
the transactions.
Stanchart chief executive Peter Sands apologised yesterday for mistakes made.
2
NEWS
To contact the newsdesk email news@cityam.com
W
AY back in the 1990s, a host
of football clubs decided to
become public companies,
listing their shares on the
London stock market.
They were led by Manchester United,
which floated in 1991, and were fol-
lowed by the likes of Aston Villa,
Sunderland, Chelsea and even
Charlton and Birmingham.
Backers tried to convince investors
they were some sort of early dot.com
play, like Leeds United, which was run
for a while by the wily entrepreneur
Chris Akers before being taken over by
the famously over-ambitious Peter
Ridsdale. They all sold the vision to
investors of ever increasing revenues
on the back of the digital revolution.
Others, like Chelsea, presented a
strategy (which now looks distinctly
flawed) of selling investors the idea of
a football business that was combined
EDITORS
LETTER
DAVID HELLIER
Manchester United heads to the stock market (again)
THURSDAY 9 AUGUST 2012
with general leisure activities such as
hotels and a travel business. Why a
football owner like Ken Bates ever
thought he would run these disparate
businesses with any sort of beneficial
synergies is anybodys guess, but
hindsight is a wonderful thing.
For a while the experiment seemed
to be working and was all the rage,
but in time it became apparent that,
whilst football-related revenues in
most cases did keep rising, they did so
insufficiently quickly to keep up with
ever rising costs, mainly in the form
of player wages.
When the dot com bubble burst,
football club share prices collapsed,
and most of the listed companies
were taken over.
Tomorrow, Manchester United will
become a publicly listed company
again, but this time in New York
rather than London after a similar
attempt to float in Singapore was
abandoned.
Surprisingly, despite almost univer-
sally negative publicity, the flotation,
which hopes to raise 212m, appears
to be meeting targets, with enough
demand being registered for the
shares within the price range of $16-
20. The broker Morningstar values the
shares at a more conservative $10 a
share.
Says Owen Wild of the respected
financial publication IFR:
plain that it will lead to little invest-
ment in the team or its stadium or in
the holding down of rising ticket
prices. The Glazers ownership of the
club appears to have weakened it in
the eyes of fans.
What the likely success of this IPO
will demonstrate though, is that
New York and an adviser such as
Jefferies can succeed in floating UK
household names in a way that
London currently can not.
Recently the vacuum technology
group Edwards IPOd in New York
after failing dismally to do so in
London last year.
More will follow these groups, says
Wild. There must be a lesson here for
London somewhere.
Manchester United is a unique asset.
The power of the Manchester United
brand is like no other and it is hard
for anyone else to replicate.
During the marketing sessions there
have been all sorts of arguments
about how to assess the brand, with
fans groups pouring scorn on the
banking advisers claims that United
has 659m followers.
That United does have an incredible
awareness globally and an army of
zealots that might be prepared to fol-
low its fortunes on web-sites and iPads
and Blackberrys, is not to be doubted
however. The clubs recent $559m
sponsorship agreeemment with
Chevrolet 128 per cent up on its cur-
rent deal underlines the potential of
the clubs revenue growth.
But this flotation is partly about the
Glazer familys desire to monetise
some of its investment, and fans com-
The officials comments came as
Standard Chartered chief executive
Peter Sands spoke out for the first time
since the allegations by the DFS had
been made.
We didnt anticipate this happening
at all, he told City A.M. It was quite sur-
prising because we had been engaged
in a process with five different US regu-
latory agencies, a process we initiated
and we didnt have any reason to
believe that one of the agencies would
act in this way.
He admitted that some transactions
did break US sanctions but these
amounted to only 300 transactions
worth $14m and were all administra-
tive or understandable mistakes.
Standard Chartered PLC
8Aug 2Aug 3Aug 6Aug 7Aug
1,200
1,300
1,100
1,400
1,500
1,600
1,700 p
1,315.50
8Aug
FORUM DEBATE: Page 13
L L
david.helllier@cityam.com
follow me on twitter: @hellierd
We are sorry those mistakes
occurred but they are in the context of
150m transactions and there were no
payments identified that involved indi-
vidually sanctioned entities by the US
government at that time.
Sands also confirmed that Standard
Chartereds executive director of risk
mentioned in the report was Richard
Meddings, now finance director, but
denied that he had described US regu-
lators as f****** Americans.
As far as we can tell and none of the
people at that meeting recall making
that statement so we do not believe
that that quote is correct, he said.
Shares in Standard Chartered
rebounded seven per cent yesterday,
but are still down 18 per cent since the
scandal broke. Sands conceded: we
have paid a price already in terms of
reputational damage.
Bank of England governor Mervyn
King dismissed claims yesterday that
US regulators were engaging in a war
against UK banks but said that UK
authorities would ask that US regulato-
ry bodies work together and refrain
from making too many public state-
ments until the investigation has been
completed.
Standard Chartered is believed to be
considering legal action for reputation-
al damage against the DFS, which on
Monday accused the 160-year old bank
of operating as a rogue institution.
American regulator denies claim
that it has an anti-British stance
BY KASMIRA JEFFORD
Square ties-up deal with Starbucks
Square, the mobile payments start-up
created by Twitter co-founder Jack Dorsey,
yesterday took a big step towards the
mainstream when Starbucks announced it
would use its smartphone technology to
replace transaction systems in its US
coffee shops. Under the deal, Square will
process all Starbucks transactions done
with credit and debit cards.
Avatar creator backs China 3D TV
James Cameron, creator of the
blockbuster film Avatar, is betting that
China is the place to jump-start 3D
television. Cameron Pace Group, the 3D
technology company co-founded by Mr
Cameron, yesterday announced a joint
venture with two Chinese state-backed
companies to produce the advanced
camera equipment needed for 3D filming.
Foreigners to dominate UK property
Foreign institutional investors are on
course to become the dominant force in
the UK commercial-property market,
having pulled level with domestic pension
and insurance funds for the first time.
Overseas financial institutions own 23 per
cent of the UKs 717bn property market.
Cycle success inspires surge in sales
Cycling firms have reported a surge in
demand since recent British triumphs.
Visa Europe reported that bike-related
sales were 15.8 per cent higher last week,
while Evans Cycles reported a 35 per cent
increase in the sale of road bikes.
Cashmere firm crushed by pensions
Shares in Dawson International, one of
the UKs last cashmere manufacturers,
were suspended yesterday after the firm
said it was unlikely to be able to meet its
pension liabilities.
Half of Brits not planning pension
Almost half of all Britons are not planning
to use a pension to fund their retirement,
relying instead on savings, inheritance or
money from their property to see them
through, according to research from
Baring Asset Management.
Royal Wedding carpet firm in pay row
Victoria, the company that made the red
carpet for last years Royal Wedding has
become embroiled in a pay row after its
non-executive directors allegedly
demanded a bonus if the company was sold.
Ex-UBS Traders offered deal
US prosecutors have agreed to shield
several former UBS employees from
criminal charges in return for cooperation
with the escalating investigation of
suspected interest-rate manipulation,
according to a person close to the probe.
New checks on Rolls-Royce engines
European air-safety regulators have
ordered another round of inspections of
Rolls-Royce PLC engines on dozens of
Airbus A380 aircraft, similar to the checks
that followed a 2010 engine blowout.
The new jobs website for London professionals
CITYAMCAREERS.com
WHAT THE OTHER PAPERS SAY THIS MORNING
RUPERT Murdochs News Corp last
night posted a fourth-quarter loss of
$1.55bn (990m) after taking a major
hit on the value of its publishing busi-
ness and setting aside a further $57m
to cover the cost of the ongoing
phone hacking scandal in the UK.
Total revenue for the three months
to 30 June fell to $8.4bn, down 6.7
per cent on the same period last year.
Year-end net income was $1.2bn,
down from $2.7bn in 2011.
Not only did we execute on our
operating plan and deliver on our
financial targets, we returned over
$5bn to shareholders through an
aggressive buyback program and div-
idends, Murdoch said.
Our company has continued to
innovate, grow and consistently
adapt to the rapidly changing media
industry landscape.
News Corp is in a state of transi-
tion, with income from its TV opera-
tions failing to off-set the turmoil in
its traditional publishing business.
Ongoing restructuring led to a
writedown of $1.5bn of goodwill and
News Corp hit
by writedown
on publishing
BY JAMES WATERSON
a further $1.3bn of intangibles in this
quarters accounts, mainly relating to
the Australian newspaper business.
At its US cable business, operating
profit rose 26 per cent to $792m, as
News Corp cranked up the affiliate
fees it charges from cable, phone and
satellite TV distributors.
Income from the companys film
production division was substantially
down from $210m to $120m due to
the absence of major releases in the
last quarter.
Investors were disappointed with
the results and pushed the firms
Class A shares down 3.5 per cent in
after-hours trading on the NASDAQ.
Hung jury in iSoft fraud case
leaves FSA to consider position
THREE former directors of
healthcare IT firm iSoft face an
uncertain future after a jury
yesterday failed to reach a verdict
in their fraud trial for allegedly
overstating the firms results.
The Financial Services Authority
(FSA) now has a month to decide
whether to continue with the case.
Jurors sat through four weeks of
evidence at Southwark Crown
Court but could not come to a
conclusion after deliberating for a
further fortnight.
BY JAMES WATERSON
A further hearing has been
scheduled for 7 September 2012
and the FSA will consider its
position for a retrial, the regulator
said in a short statement.
The FSA began its investigation
into Stephen Graham, Timothy
Whiston and John Whelan in 2006
following accusations of
questionable accounting practices
at the firm, which had a central
role in the botched 6.2bn project
to provide a unified IT system for
the UKs National Health Service.
The central allegation is that the
firm counted revenue from a
54.3m (42.8m) software contract
with the Irish health service as
early as November 2003, even
though the deal was not confirmed
until 2005.
Patrick Cryne, the former iSoft
chairman and owner of Barnsley
football club, will be tried
separately later this year on the
same charges.
Two years ago Ian Storey, iSofts
former financial controller,
admitted giving false information
to auditors between 2003 and 2005
and was banned from working as
an accountant for eight years.
Rupert Murdoch says his firm is in the middle of great change.
News Corp
8Aug 2Aug 3Aug 6Aug 7Aug
22.80
23.00
23.20
23.40
23.60
23.80
24.00
$
23.72
8Aug
PRIVATE equity firm Carlyle
Group reported a nearly two per
cent drop in assets under
management yesterday, as it
revealed a second quarter loss.
Total assets have declined $3bn
(1.91bn) since March to $156bn,
although rival private equity
groups have suffered larger
declines in assets.
The group, one of the largest
private equity fund managers in
the world, also saw an economic
net loss of $57m from a profit of
$392m last quarter and $237m a
year ago.
While the short-term outlook is
cloudy, I would argue that we have
historically made some of our best
Carlyle Group upbeat despite
$3bn quarterly asset value drop
BY MICHAEL BOW
investments during times like
these, Carlyles co-chief executive
William Conway said. Great
investments can be made in a bad
economy and lousy investments
can be made in a vibrant
economy.
The group revealed it had raised
$3.9bn from investors in the second
quarter -- the most since 2008 -- tak-
ing the total raised this year to
$6bn.
Co-chief executive David
Rubenstein, who helped set up the
firm, said: The nearly $4bn in new
capital we raised this quarter
reflects the expected pick-up in
fundraising as our sixth US buyout
fund began to close on new com-
mitments.
THURSDAY 9 AUGUST 2012
3
NEWS
cityam.com
IN BRIEF
GERMANYS exports fell in June,
official statistics showed yesterday,
though imports fell even faster,
expanding the trade deficit.
Industrial output also slid 0.9 per
cent, after rising 1.9 per cent in May.
The patchy data didnt deter
ratings agency Fitch from affirming
its AAA rating with a stable outlook.
And one of the founding fathers of
the euro, former European Central
Bank chief economist Otmar Issing,
said Germany will fare better if it
remains in the single currency
though he conceded other Eurozone
members could pull out.
Across the border, the Banque de
France warned that France could
suffer a shallow recession, with
output likely to contract in the third
quarter after falling 0.1 per cent in
the first three months. The countrys
trade deficit widened from 5.5
(4.3bn) to 6.0bn in June.
Spain also endured a raft of
troubling statistics, with its
industrial output tanking 6.3 per
cent in May its tenth straight
month of decline.
Germany and
France endure
gloomy stats
BY MARION DAKERS
THE BANK of England slashed its
growth forecasts yesterday, as its gov-
ernor Sir Mervyn King warned that
the UK economy still faces a tempes-
tuous time ahead.
We are navigating rough waters,
and storm clouds continue to roll in
from the euro area, King said, after
the Banks latest Inflation Report
showed that economic growth will
be flat in 2012.
The previous report, released in
May, predicted around one per cent
growth this year. That document
also showed growth reaching around
1.8 per cent going into 2013, while
yesterdays report halved that rate to
approximately 0.9 per cent.
And King added that the Banks
forecasts were unable to account for
potentially severe knocks that could
King warns of
storms ahead
as forecasts cut
BY JULIAN HARRIS
occur, most likely from the Eurozone
crisis. A black cloud of uncertainty is
hanging over investment, he said,
adding that a strengthening pound
decreases the competitiveness of
British exports.
On top of uncertainty from over-
seas, deputy governor Charlie Bean
said that the Bank is perplexed at
seemingly contradictory rise in
employment while output is falling
a circumstance that suggests an
unprecedented dive in productivity.
We are in a genuine economic puz-
zle that we dont really understand,
Bean admitted.
The Banks projections also showed
inflation nearing two per cent by the
end of the year, while Mays report
forecast the consumer price index to
steady at approximately 2.6 per cent
at the same stage.
2008 09 10 11 12 13 14 15
0
1
2
-2
-1
3
4
5
6
7
Percentageincreaseinprices onyear earlier
August 2012 CPI estimate
TECH giant Hewlett-Packard
(HP) yesterday increased its
third quarter earnings forecast
despite an $8bn (5.1bn)
writedown on the value of its
services business.
The staggering writedown,
attributed by HP to market
conditions coupled with recent
trading values of its stock,
provided fuel for analysts who
accused HP of overpaying for its
$13bn acquisition of EDS in
2008.
The division, the companys
second biggest revenue driver
behind computers, has
struggled since then as
competition during the
recession has seen the value of
contracts plunge. Its sales
HP forced to write off $8bn
on struggling services arm
BY KATIE HOPE
growth was flat for the first
half of the year at $17.5bn.
However, HPs decision to
boost its third quarter earnings
guidance to $1 a share from its
previous guidance of $0.94 to
$0.97 seemed to appease
investors. The shares rose 2.4
per cent to $19.41 yesterday, but
remain almost 60 per cent lower
than their price at the time of
the EDS acquisition.
HP, which revealed a major
restructure in May involving
27,000 job cuts, also raised the
pre-tax charge it expects for the
quarter to between $1.5bn and
$1.7bn from $1bn. It said this
was due to a higher than
expected rate of acceptance for
its early retirement and
workforce reduction
programmes.
SKY could be free to charge its rivals
higher prices for its sports channels
after winning a competition appeal
against Ofcom yesterday.
The competition appeals tribunal
found the regulators concerns over
Skys dominance to be
unfounded, paving the way for
rules to be lifted on the amount
Virgin Media and BT pay for Sky
Sports 1 and 2 .
Ofcom said it was surprised and
disappointed at the judgment,
which comes two years after the
regulators demands.
A full ruling is due in coming
months, and is likely to be appealed
regardless of the decision. Virgin
Media vowed to pursue all available
options.
Sky appeal on
sports upheld
BY JAMES TITCOMB
MCDONALDS yesterday reported flat
sales in July at established
restaurants around the world, its
worst performance in more than
nine years and a sign that a
weakening global economy is hitting
discretionary spending among
mainstream diners.
The results marked the first time
since April 2003 that same-
restaurant sales failed to rise. Just
two weeks ago, McDonalds
predicted an increase in July same-
restaurant sales, albeit by less than
the 3.7 per cent gain reported in the
second quarter. The flat result
suggested that sales significantly
decelerated in the days after
McDonalds issued guidance on 23
July. US sales slipped by 0.1 per cent
last month, while European
revenues dropped by 0.6 percent.
Sales flattening
at McDonalds
BY CITY A.M. REPORTER
FORUM: Page 12
L L
THURSDAY 9 AUGUST 2012
5
NEWS
cityam.com
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I
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Y
A
M
C
A
R
E
E
R
S
.
c
o
m
August 2012 GDP estimate
2008 09 10 11 12 13 14 15
8
6
4
2
-2
-4
-6
-8
Percentageincreases inoutput onayear earlier
ONS data
Bank estimates of past growth Projection
0
2008 09 10 11 12 13 14 15
0
1
2
-2
-1
3
4
5
6
7
Percentageincreaseinprices onyear earlier
May 2012 CPI estimate
...BUT AT LEAST INFLATION IS STARTING TO EASE
May 2012 GDP estimate
2008 09 10 11 12 13 14 15
8
6
4
2
-2
-4
-6
-8
Percentageincreases inoutput onayear earlier
ONS data
Bank estimates of past growth Projection
0
Inflation has stuck above three per cent for 36 of the last 54 months, consistently
embarrassing the Banks two per cent target. However, the Bank now says external price
pressures have passed, and that inflation should return to target by the end of the year.
The Bank of England slashed its near term growth forecasts, and also said that in the
medium run growth is set to remain below its trend rate. The UK economy is slowly
healing, Sir Mervyn King said, adding that sharp risks still remain.
GROWTH WILL BE EVEN LOWER THAN EXPECTED...
IN WHAT has become a torrid fort-
night for mining companies, Rio
Tinto yesterday unveiled a 34 per
cent slump in first half profits to
$5.5bln (3.3bn).
However declining global demand
for natural resources hit Rio less dra-
matically than its peers: Xstrata,
Anglo-American and BHP have all
revealed sharp falls in underlying
earnings over the past two weeks.
In fact, Rios results exceeded ana-
lysts expectations, and the shares
finished nearly three per cent higher
yesterday, one of the best perform-
ances in the FT-SE 100 index.
Record first-half revenues from Rios
Australian Pilbara iron ore mines
failed to counter slowing shipments
to China. But, unlike his counterpart
at Xstrata, Rio chief executive Tom
Albanese believes that Chinese
demand is on the rise.
We expect to see signs of improve-
ments in Chinese activity by the end
of the year ... as government stimulus
measures begin to flow to infrastruc-
ture investment, he said. Rio expects
Chinese GDP to expand by eight per
Rio Tinto bets
on expansion
as profits drop
BY MICHAEL BOW
cent this year, exceeding the Chinese
governments own expectations.
Despite a rising cost base -- net debt
jumped by 55 per cent over the first
six months of the year to $13.2bn --
Albanese has no plans to shave his
$16bn capital expenditure budget for
2012, attributing the strong perform-
ance of the Pilbara mines to invest-
ment-generated efficiency.
From autonomous trucks and
trains to faster underground tun-
nelling and advanced mineral recov-
ery, all these initiatives are aimed at
reducing costs and improving pro-
ductivity, Albanese said.
The interim dividend rose by 34 per
cent to $0.725 a share.
Government claims businesses
helped it save 5.5bn last year
BIG names from the business world
assisted the government in finding
over 5.5bn in efficiency savings
during the last fiscal year, Cabinet
Office minister Francis Maude
revealed this morning.
The coalition claims it has cut
9.25bn from the last two years of
central government budgets, and
hit out at Labour leader Ed Miliband
for failing to rein in spending while
he was in government.
Theres no reason why Miliband,
when he was sitting in my chair,
BY JULIAN HARRIS
couldnt have done this but he
didnt. It depends on there being a
minister who cares about it, Maude
said. Labour retaliated: For all their
talk of savings, this Tory-led
governments failures are costing
this country dear, said shadow
Cabinet Office minister Jon Trickett.
Miliband spent 13 months at the
Cabinet Office during the previous
Labour administrations term.
Announcing the efficiency
savings, Maude paid homage to
business leaders who are helping
the government along the way.
We have a lot of useful input
from very senior business people on
the Efficiency and Reform Board, he
said, naming Sir Philip Green, Lord
Browne, Sir Peter Gershon, Martin
Read, Dame Lucy Neville-Rolfe and
Martha Lane Fox.
Green found some departments
were spending seven times as much
as others on printer cartridges,
Maude cited as one example. Green
also advised Whitehall on leveraging
its size and quality of credit to secure
better purchasing contracts.
Bulk-buying, along with cutting
consultancy, marketing and
property spend, drove the savings.
Rio Tinto PLC
8Aug 2Aug 3Aug 6Aug 7Aug
2,900
3,000
3,100
3,200
3.300
3,400 p
3,220.00
8Aug
The shares have been weak and volatile performers this year, driven by
near-term risks surrounding the outlook for global growth and higher industry
costs. However, we are positive on the stock, and believe it is a highly
liquid way to gain exposure to long-term emerging market growth.
ANALYST VIEWS

Underlying earnings of $5.2bn is a small beat on consensus at $5.04bn,

down 34 per cent on lower prices. Outlook in line with rest of other players with
lower prices but continued strong earnings and cashows. Order books
remain full and Chinese GDP is expected to be 8 per cent in 2012.

Iron ore weaker than expected, underlying earnings $4.7bn and differ-
ence at the revenue line is likely weaker than anticipated iron ore realisations.
Given our expectation of strength in iron ore from Q4 when the Chinese
stimulus plans we remain buyers.

HOW DID RIO TINTO DO

AGAINST ANALYSTS
EXPECTATIONS? By Michael Bow
JONATHAN JACKSON KILLIK & CO

CAILEY BARKER NUMIS

RICHARD KNIGHTS LIBERUM CAPITAL

THURSDAY 9 AUGUST 2012
6
NEWS
cityam.com
Technology guru Martha Lane Fox Retail chief Dame Lucy Neville-Rolfe
Business tycoon Sir Philip Green Former BP chief executive Lord Browne
FRANCE has not exactly covered itself
in glory in its somewhat peevish reac-
tion to Great Britains utter domina-
tion of track cycling at London
2012 and it seems they just
wont let it go.
First came suggestions
from crestfallen French
cycling chiefs that the
success of Sir Chris
Hoy and Co could be
down to magic
wheels which were
suspiciously hidden
away after races.
Undeterred by
the mockery that
provoked on this side of
the Channel, respected
French sports
newspaper LEquipe yesterday asked
readers whether Team GBs heroics
were tainted. Of the tens of
thousands who responded, some 70
per cent responded oui.
Particularly galling was Jason
Kennys victory over Gregory Bauge
in the mens sprint final. Bauge
bettered Kenny earlier this year to
regain his world title but
found himself trailing in
London. Clearly cheesed
off, Bauge raised eyebrows
in the post-race media
conference when he
interrogated Kenny
about the reasons
behind Team GBs
dominance.
Whatever happened to
the Gallic shrug and
their famed air of indif-
ference?
Got A Story? Email
thecapitalist@cityam.com
8
cityam.com
cityam.com/the-capitalist
THECAPITALIST
THURSDAY 9 AUGUST 2012
AT LONDON2012
LONDON 2012 IMAGE OF THE DAY
SARAH Attar of Saudi Arabia became only
the second woman from the country to ever
compete at an Olympic Games yesterday,
after running in the first round of the
Women's 800m heats.
Throughout the Olympics, City A.M. will be
publishing its Olympic Image of the Day. If
you have a shot you think our readers will
like, please email pictures@cityam.com
French use sour
grapes for GB
whine-making
CAN THE OLYMPICS LEAVE A
LASTING LEGACY?
It depends on how well the site is inte-
grated and the transport links are
maintained. If we continue to fund our sports well
then further success is guaranteed in the future.
These views are those of the individuals above and
not necessarily those of their company
GREG MURRAY
LLOYDS

CITYVIEWS
Interviews by Alex Woodall
London has the size and dynamism
of population to ensure that the sta-
dium is used in future. I think the Olympics will
spur on sport in the UK.
ANDREAS LIESCHE
TRINOVA REAL ESTATE

I think that much of the Olympic

buzz will fade after the Games. But
the Olympic park complex is simply too good
to go to waste and will nd a good use.
MALCOLM BIRD
RR DONNELLY

Jason Kennys victory

upset the French
HEALTHCARE provider Bupa yester-
day said a lack of competition among
UK private hospitals had contributed
to a 22 per cent fall in profits in its
European and US businesses.
Posting a 35m profit for its UK,
Spanish and US operations, down
from 45m last year, Bupa said this
lack of competition was pushing up
the cost of treatment and threaten-
ing to make its health insurance
unaffordable, forcing customers
away.
The firms UK customer numbers
fell five per cent to 2.7m in the first
six months, it reported.
Chief executive Stuart Fletcher,
who took over in March, said:
There are some consultants
charging a good deal more than
others, but who display no better
quality of health outcomes for the
customer.
There was good news away from
the West where 63 per cent of
Bupas turnover is generated with
international profits up ten per
cent. Globally, underlying pre-tax
profit was up five per cent.
Bupa hurt by
rising cost of
UK healthcare
BY MICHAEL BOW
INSURER Old Mutual saw its share
price hit a three-month high
yesterday after revealing a 12 per
cent rise in profits and plans to
expand into sub-Saharan Africa.
Chief executive Julian Roberts said
that the firm would boost its footprint
in East and West Africa to combat,
sustained low growth.
The firm, based in South Africa,
posted a pre-tax operating profit of
791m for the first six months of the
year beating analysts expectations
of 776m.
This was despite a fall in assets
managed by its Old Mutual Asset
Management division to 260.7bn,
down two per cent from 264.7bn a
year earlier.
The firm also increased its interim
Old Mutual coy
over plans for
Nedbank sale
BY MICHAEL BOW
dividend 17 per cent to 1.75p.
Its star performer was its majority
owned South African banking arm
Nedbank it posted a 27 per cent
jump in profits. Roberts declined to
comment on whether Old Mutual
still intended to sell Nedbank.
Old Mutuals planned sale of its 52
per cent holding in Nedbank to
HSBC fell through in 2010.
Old Mutual PLC
8Aug 2Aug 3Aug 6Aug 7Aug
160
162
164
166
168
170
172 p
169.40
8Aug
BAILED-OUT banking and
insurance group ING yesterday
posted a 22 per cent fall in
quarterly net profit to 1.17bn
(923m) yesterday, missing
forecasts as the cost of
restructuring and the Eurozone
financial crisis took their toll.
The Dutch firm has cut its
exposure to Spanish debt from
Eurozone debt damages profit
at bailed-out bancassurer ING
BY MARION DAKERS 41.4bn to 34.9bn since the start
of the year, and yesterday booked a
loss of 178m to account for its de-
risking efforts.
As part of its plan to overhaul
the business following a 10bn
bailout in 2008, ING said it is
hoping for a quick sale of its $7bn
Asian insurance arm and is
plotting IPOs for its European and
US insurance units. Shares in the
firm closed down 1.3%.
FANNIE Mae yesterday reported a
quarterly profit due in part to
stronger home prices and said the
mortgage financier did not need
additional taxpayer funds to stay
solvent, the second consecutive
quarter the company did not
request help since it was seized by
federal authorities during the
Fannie Mae makes $5.2bn profit
BY CITY A.M. REPORTER
financial crisis.
Fannie Mae said net income for
the second-quarter ending in June
was $5.1bn (3.32bn). In the first
quarter, the company said it earned
$2.7bn. The higher income allowed
Fannie Mae to make a $2.9bn
dividend repayment to the US
Treasury. So far, the company has
drawn $116.1bn in taxpayer money
and has repaid $25.6bn.
Chief executive Jan Hommen said the results were solid amid economic uncertainty
THURSDAY 9 AUGUST 2012
9
NEWS
cityam.com
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THEFORUM
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SEE PAGES 12-13
JOIN THE DEBATE
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SEE PAGE 16
ZOE STRIMPEL
reviews the
best travel apps
IN BRIEF
BP sells fuel arm for 40.5m
nSupport services group DCC paid
40.5m in cash for BPs liquefied
petroleum gas (LPG) distribution arm,
which supplies fuel to industrial,
commercial and domestic customers.
BP will retain its automotive LPG
business, which operates the groups
petrol stations.
Sportingbet on track for profit
nSportingbets full-year profits, due in
October, will meet expectations despite
challenging economic conditions in
Europe, the bookie said yesterday.
Sportingbet, which also runs a
successful operation in Australia,
reported a slump in profits in the first
quarter, following a temporary closure
of the Spanish gambling market.
Severn Trent puts unit on the block
n Water company Severn Trent yester-
day put its Analytical Services business
up for sale to address competition con-
cerns. The unit, which provides water
testing and landfill monitoring, accounts
for around 1.5 per cent of group rev-
enues, according to Severn Trent. Utilities
regulator Ofwat yesterday opened a con-
sultation into the sale proposal.
IAG hedges its Amadeus stake
n BA parent IAG yesterday locked in the
value of Amadeus, by hedging its entire
7.5 per cent stake in the high-flying air-
line booking system. Madrid-listed
Amadeus shares have risen by more than
30 percent over the past year, while
Spains Ibex index slid by 15 per cent.
The deal valued the shares at 492m.
G
E
T
T
Y
BRITISH defence technology group
Cobham said US budget disputes
and the impending presidential elec-
tion have hit order books, as the
company cut its earnings forecast.
Shares fell six per cent on the news,
as Cobham reported a five per cent
drop in revenue to 892m and a 10
per cent fall in profits to 90m in the
first half of the year.
The company aims to boost its com-
mercial aviation business -- which
accounts for 32 per cent of revenues
-- to counter uncertainty over defence
spending in both the US and in cash-
strapped European countries, said
chief executive Bob Murphy, who
joined from BAE two months ago.
Cobham orders
hit by row in US
BY JAMES TITCOMB
The outlook for the US defence and
security market for the end of 2012
and 2013 is particularly uncertain
due to the upcoming US elections
and the lack of political consensus on
US government budgets, Murphy
added.
Cobham PLC
8Aug 2Aug 3Aug 6Aug 7Aug
225.0
222.5
227.5
230.0
232.5
235.0
237.5
240.0 p
225.70
8Aug
CATHAY Pacific Airways yesterday
posted its worst first-half loss since
2003, surprising investors with
complaints of weak cargo traffic,
high fuel costs and a fall in
premium passengers.
Hong Kong-listed Cathay, which
issued a profit warning in March,
reported a net loss of HK$935m
(77m) for the six months to the
end of June, its weakest
performance since the outbreak of
a viral epidemic in 2003 spooked
Asian flyers.
European freight business was
particularly slow in the half,
Cathay Pacific posts worst half
since 2003 as fuel costs surge
BY MARION DAKERS
knocking cargo revenues down 7.6
per cent to HK$11.9bn.
In a further blow, the firm
reported that fuel costs rose 6.5 per
cent on a year ago, accounting for
41.6 per cent of total operating
expenses.
Passenger numbers rose 8.6 per
cent to 14.3m, but the firm said
yields came under pressure due to
a slide in premium traffic.
Shares fell 4.3 per cent yesterday.
Chairman Christopher Pratt said:
Aviation will always be a volatile
and challenging industry and our
business will always be subject to
factors... which are beyond our
control.
RYANAIR failed to halt a
competition probe into its
minority stake in takeover target
Aer Lingus.
The Competition Appeal
Tribunal yesterday threw out
Ryanairs case, allowing an
investigation by the Competition
Commission to continue.
Ryanair loses Aer Lingus appeal
BY MARION DAKERS
Ryanair tried to argue that the
body did not have the power to
investigate its 30 per cent stake.
Aer Lingus welcomed the
decision, saying in a statement it
looks forward to assisting the
Competition Commission in its
ongoing investigation.
Ryanair, which offered to take
over Aer Lingus in June, plans to
appeal yesterdays ruling.
THURSDAY 9 AUGUST 2012
10
NEWS
cityam.com
Cathay chairman Christopher Pratt said aviation was a volatile and challenging industry
THURSDAY 9 AUGUST 2012
11
LONDONREPORT
Wall St almost
flat as volumes
remain down
T
HE Standard & Poors 500 just
barely extended a streak of
gains to a fourth day yesterday,
ending above 1,400 in another
thinly traded session.
Expectations for stimulus from the
European Central Bank and the US
Federal Reserve triggered the recent
gains, but investors found little reason
to keep pushing stocks higher after
driving the market to three-month
highs.
The three major US stock indexes
opened lower but recovered at midday,
led by consumer staples and health
care. Both are defensive plays, an indi-
cation that investors are keeping their
enthusiasm in check.
In a sign of that weakening demand,
McDonalds fell 1.7 per cent to $87.53
after reporting flat same-store sales in
July, the worst performance for the
Dow component in more than nine
years. The Bank of England gave little
indication that it would rush to pour
in further stimulus even as it sharply
cut its forecast for medium-term eco-
nomic growth in Britain. Frances cen-
tral bank forecast a contraction in
growth going into the third quarter,
citing weak demand from the periph-
ery and Britain.
The Dow Jones industrial average
rose 7.04 points, or 0.05 per cent, to
13,175.64 at the close. The Standard &
Poors 500 Index edged up just 0.87 of a
point, or 0.06 per cent, to finish at
1,402.22. But the Nasdaq Composite
Index slipped 4.61 points, or 0.15 per-
cent, to end at 3,011.25.
Spanish benchmark 10-year debt
yields briefly rose above seven per
cent, underscoring the cautious tone
from investors recently disappointed
by lack of coordination from European
officials in their efforts to revive the
troubled region.
B
RITAINS blue chip share index rose
by just a few points yesterday,
consolidating around a four-month
peak as a slide in a batch of stocks
trading without their dividend
entitlements offset gains in banking and
mining stocks.
Fifteen blue chip stocks traded ex-
dividend yesterday including
heavyweights Royal Dutch Shell, BP,
AstraZeneca, GlaxoSmithKline, and
Barclays knocking 25.41 points in total
off the FTSE 100.
Standard Chartered, which was also
trading ex-dividend, rebounded seven
per cent after losing more than 20 per
cent over the previous two days after
New Yorks regulator accused the
London-based bank of hiding
transactions tied to Iran.
At the close, the UK blue chip index
was up just 4.68 points, or 0.1 per cent at
5,845.92, although that was its highest
closing level since early April.
The index showed little reaction to the
Bank of Englands sharp cut in its
medium-term economic growth forecast
for Britain in its latest inflation report.
The bank said the factors that have
dragged on growth since the financial
crisis may persist longer than first
thought.
Miners were strong performers, led by
Rio Tinto, which gained 2.9 per cent
after its first-half results came in at the
better end of expectations. Rio saw a 34
per cent drop in first-half profit, but said
it
was sticking to its $16bn spending
plans for the year. Peer Xstrata was also
higher, up 1.8 per cent after its well-
FTSE maintains its four-month high
despite hit from ex-dividend stocks
BESTof theBROKERS
Serco Group PLC
2Aug 3Aug 6Aug 7Aug 8Aug
610
605
595
585
590
600
575
580
p 579.00
8Aug
SERCO
UBS has moved its rating
on the firm from buy to
neutral with a target
price of 6, after a strong
share price performance,
remaining upbeat on the
UK and Europe but less
optimistic on the US
business.
DASHBOARD CITY
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London, SW1W 9LX
020 7730 6922
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London, E14 4QT
020 7715 5818
S
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FTSE
2Aug 3Aug 6Aug 7Aug 8Aug
5,850
5,800
5,825
5,725
5,750
5,775
5,700
5,675
5,845.92
8 Aug
National Grid PLC
2Aug 3Aug 6Aug 7Aug 8Aug
695
690
680
670
675
685
p 690.50
8Aug
NATIONAL GRID
Liberum Capital has
upgraded the utility from
hold to buy with a
raised target price of 730p
after seeing proposals for
the firm until 2021. It
estimates annual total
return of nine per cent
over the next eight years.
Secure Trust Bank PLC
2Aug 3Aug 6Aug 7Aug 8Aug
800.00
1,100.00
1,000.00
900.00
850.00
p 1,091.00
8Aug
SECURE TRUST
Numis has downgraded
Secure Trust Bank from
add to hold and cut
the target price from
1223p to 1167p. The broker
says the shares now offer
fair value to investors,
rather than being cheap
as they were previously.
Utilyx
The energy management
specialist has appointed Jo Butlin
as its managing director. She has
an extensive career in the energy
sector, including senior roles at
Powergen, and she most recently
worked as vice president,
operations at SmartestEnergy.
Bahrain Mumtalakat
The investment arm of the Kingdom of Bahrain has
appointed Tony Robinson as its new chief financial officer.
He joined in April 2011 as investment manager and
coordinator, and previously held management roles at RAC
Insurance and a Bahraini investment bank.
Charles Stanley
The stock broker has announced the appointments of
Matthew Guy and Joanna Danes as investment managers in
its asset management department. They both join from
Barclays Wealth, where they were investment managers.
Pioneer Investments
The investment management firm has expanded its
European equity research team by appointing two research
analysts. Nick Aslibekian joins from Standard Life as a
healthcare analyst. Virna Valenti becomes a financials
analyst. She was previously a senior credit analyst at
Pioneer Investments.
Valiant Petroleum
Stephen Horton and Philip Vingoe have joined the oil
exploration company as non-executive directors. Horton
worked at BP for 27 years, and reached the position of
worldwide director of drilling. Vingoe also worked at BP,
and was most recently its chief geophysicist.
Jones Lang LaSalle
Guy Bransby has been promoted to the role of regional
director at real estate services firm. He was previously lead
director of its planning and development team.
WHOS SWITCHING JOBS Edited by Tom Welsh
+44 (0)20 7092 0053
morganmckinley.com
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in association with
F
OUR years after she was
plucked from Juneau, Alaska,
in an ill-fated attempt to save
John McCains presidential
campaign, Sarah Palin
continues to confound. Books, Tea
Party rallies and appearances on Fox
News have provided her with a
powerful soapbox. In this years
Republican Senate primaries, just
one of the five candidates she has
endorsed has witnessed defeat. Most
vice presidents cant boast of this
kind of rapport with the grassroots.
Neither can most Presidents.
As Queen of the Tea Party, Palin
has taken an erstwhile diffuse but
highly-motivated movement of free
market activists and social
conservatives, and consolidated
O
LYMPIC mania seems unable
to prevent the coalition from
entering a new crisis phase.
The latest nail in the coffin
was the Bank of England
revising down its UK growth forecast
for 2012 to zero, which heaped more
pressure on a government already
beset by political problems.
The abandonment of House of Lords
reform has angered the Lib Dems. Nick
Clegg has vowed to vote against the
changes to constituency boundaries
considered crucial to the Conservatives
winning a majority in 2015. For those
who warned of the dangers of coalition
government, this transactional, tit-for-
tat approach to policy is unsurprising.
But the key point is that it will leave
huge resentment between the two par-
ties unless they can agree on a new
agenda.
For the Prime Minister, these woes
were compounded by the resignation
of Louise Mensch, the Conservative MP
for Corby. Her departure will result in a
by-election and an almost inevitable
loss of the seat to Labour. This may not
seem significant, but Toby Fenwick of
Spread betting, CFDs and
Trade today at www.cityindex.co.uk/dailyfact
Canadian housing starts have
doubled since their 2009 low while
unemployment is near a 3-yr low.
FACT OF
THE DAY
cityam.com/forum
The resignation of
Louise Mensch makes a
centre-left coalition
mathematically possible
THEFORUM
Twitter: @cityamforum on the web: cityam.com/forum or by email: theforum@cityam.com
Agree? Disagree? Got a sharp comment?
The Forumwants you to join the debate.
Top responses will be reprinted in The Forum.

12
THURSDAY 9 AUGUST 2012
RYAN BOURNE
Only radical reform can pull us out
of a growing economic quagmire
Fleishman Hillard has pointed out that
it will make a centre-left coalition
mathematically possible for the first
time. A Labour-Lib Dem coalition, sup-
ported by their Northern Irish spin-
offs, Plaid Cymru and the Green party,
would not require the support of the
Scottish National Party or Democratic
Unionist Party. The Lib Dems might
just have a potential escape route from
the coalition after all, meaning David
Cameron cant take their continued
support for granted.
The preservation of the coalition
requires a new, unifying agenda.
Rhetorically, at least, all agree that the
economy is the top priority, and the
government plans to use legislative
time, freed up by the abandonment of
Lords reform, for a grandly-named
Economic Regeneration Bill.
This makes sense. Our economy is 4.5
per cent smaller than its peak at the
start of 2008, and the governments
watered-down deficit reduction strate-
gy is predicated on optimistic growth
forecasts. Meanwhile, the two parties
only hope of electoral success is a sig-
nificantly growing economy by 2015.
Ronald Reagan once opined that voters
will ask whether they are better off
than at the last election. The answer at
the moment is a resounding no.
What, then, should this bill for the
economy contain?
So far, public current expenditure
has continued to rise, as capital spend-
ing has been slashed and a range of
taxes hiked. You dont need to be a
Keynesian to realise that this combina-
tion is likely to hurt growth, both in
the short and medium term. The coali-
tion should instead scale back on the
functions of the state, and merge some
current government departments to
encourage more joined-up thinking
and to save money. Any savings, and
deeper cuts to current expenditure,
should be used for targeted tax cuts on
business and increased infrastructure
investment in projects like new airport
capacity where limited government
funds can unlock huge private sector
investment.
More important, however, is the need
for dramatic supply-side reform.
Planning laws should be liberalised,
not just to fast-track new infrastruc-
ture, but to encourage home building.
This is desperately needed, and yet
planning laws exclude vast amounts of
green belt land and put existing home-
owners in a strong position to block
new development. A scrapping of the
sustainable development require-
ment should form part of a deregulato-
ry component of the bill. This would
also exempt smaller businesses from a
raft of job-destroying regulations and
employment legislation.
Energy policy should also be re-exam-
ined and focused towards growth. Last
week, a US economist compared the
UKs decision to ignore shale gas with
deciding to ignore a cure for cancer. Its
unforgivable that we are neglecting a
domestic source of cheap fuel. It also
highlights a lack of clarity of thought
on energy policy. The government
wants more gas (largely imported), but
next year is set to make gas more
expensive by introducing a carbon
price floor. This must be abandoned
it will make us uncompetitive, and
merely exports carbon emissions else-
where. Cheaper energy is essential to a
rebalancing away from credit-based
industries, and the UK is well-placed to
expand advanced, high-tech manufac-
turing if these conditions are realised.
Will the desire for self-preservation
prove enough for the two parties to
undertake the radical economic action
necessary? We can only hope.
Ryan Bourne is head of economic research
at the Centre for Policy Studies.
them into her own Palin-branded
coalition. Elites despise her, but
Palins stump speeches at Tea Party
rallies get activists to trudge to the
polls, donate to candidates, and toil
in their campaign offices. The Tea
Party movement has seen its
obituary sketched out before but,
with Palin, its more organised and
relevant than ever. These are also
the very people Mitt Romney needs
to mobilise to vote for him in
November. But does this mean he
needs Palin?
There is certainly a segment of the
electorate that is attracted to Palin.
But her enormous favourability
deficit in national polls has
prevented her from taking on a
more prominent role in Romneys
presidential campaign. Romney
already has some Tea Party proxies,
but he also understands cost-benefit
analysis. Some Republicans shun
Palin rather than endure jabs from
their opponents. Palin wont have
been on Romneys vice presidential
shortlist and shes unlikely to give a
speech at the Republican
convention. Even Palins most
fervent supporters are well aware of
her liabilities. A poll earlier this year
indicated that two thirds of Tea
Partiers opposed her running for
President. They adore Palin. But they
care more about defeating Barack
Obama.
Palin has not faded into
insignificance in the presidential
elections solely because of her
divisiveness. Its also because shes
not really needed. One Republican
operative in a key swing state put it
simply: In a race this tight, staying
at home, or not voting for Romney
on Election Day, gets Obama re-
elected. The Tea Party doesnt need
Palin to get motivated to defeat
Obama, even if its reticent about
supporting Romney. Palin might
speak on behalf of the Tea Party
movement. But, in November, the
Tea Party is already spoken for.
The Tea Partys relationship with
Romney is one of common interest.
It could only truly break down over
the selection of his running mate, or
if it had reason to believe he would
renege on his pledge to repeal
Obamas healthcare law. But,
whether Romney wins or not, Palin
will emerge in November with a
handful of conservative Republican
senators in Washington with her to
thank for their seats. What currently
matters to the Tea Party, however, is
winning the biggest seat of all.
Ewan Watt is a Washington DC-based
consultant. You can follow him on Twitter
@ewancwatt
THE WHITE
HOUSE RACE
EWAN WATT
Romney can mobilise the Tea Party without Sarah Palins divisive favours
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13
Anti-British bias
[Re: Standard Chartered is the victim of US
warfare against British banking, yesterday]
John Mann is correct. US regulatory
pressure is unfair, excessive, and
unbalanced, and solely seeks to protect US
self-interests. The UK government should
protect British interests unequivocably. We
shouldnt fear the loss of the strategic
partnership, especially if it is used by one
side as a means of arm-twisting the other.
SimonShaw
The US political trend to blame the British
pre-dates this current election season. We
shouldnt forget Obamas frequent references
to British Petroleum, after BPs Deepwater
Horizon crisis in the Gulf of Mexico.
LeoLiebster
Coalition chaos
[Re: After Lib Dem-Tory splits on
constitutional reform, will the coalition last
until 2015, yesterday]
Mark Field is wrong to assume that the
coalitions central economic purpose will
hold it together. Any blind man can see that
it wont last its full course. The closer it gets
to a new election, the more the Lib Dem
panic will set in. Theyll leave in droves
towards the end.
Andrew Jackson
I dont think many people care if the
coalition will last. It has no public support,
shocking economic credentials, and its only
attractive because it stands in the way of
government by Ed Miliband.
Paul Monford
T
HE countrys heroic athletes
may have grabbed all the
headlines, but they are far
from the only Britons to have
risen to the challenge of
making the London 2012 Olympics
such an overwhelming, mood-
boosting success.
There is another group of people,
which has brought every bit as much
sunshine into the lives of Londoners,
and the multitudes visiting for these
two weeks, as Mo Farah or Jessica
Ennis or GBs near-invincible
cyclists but without the fanfare.
Except this group doesnt depend
on gold medals or world records or
even making a final; they are on
their game every single day and
dont get anything back but a smile
or some fleeting bonhomie.
They are the Games Makers, the
purple and pink bedecked volunteers
who line the route to our gleaming
new venues, gently, merrily helping
spectators on their way.
I have been to every day of the
Games, from Stratford to
Wimbledon, Greenwich to Hyde
Park, and I havent heard anything
but effusive praise about a single one
of them. What politicians would do
for that kind of approval rating.
Their brilliance lies in their pecu-
liarly amateurish British jollity,
which makes them much more than
mere stewards. It would be enough if
they just performed their primary
function, coaxing people in the direc-
tion of the Olympic Stadium or the
ExCel. But they also act as cheerlead-
ers, high-fiving and cajoling passers-
by with an irresistible enthusiasm.
Whoever encouraged them to be so
expressive is a genius. It might have
been easier, less problematic, to tell
them just to do their jobs. But, by
allowing them personality, they have
become the living, breathing, laugh-
ing face of London 2012. Some even
TOP TWEETS
Its up to UK regulators, not US, to show that
they are determined to learn lessons and clean
up quickly, vigorously and transparently.
@TWJGrey
Mervyn King blames the euro and oil prices for
weak growth. He doesnt mention consumers
squeezed by inflation and the weak pound.
@asentance
Im not sure David Cameron is the kind of
visionary leader who can outline a new
economic path for the UK. He tinkers at best.
@CintaArsenal
The government says it will put 110 per cent
into saving the economy. Thats all you need
to know about its business acumen.
@PadBrit
As Manchester United nears its share listing,
is the club likely to prosper by going public?
YES
Manchester Uniteds listing raises issues at the heart of football
finance. This listing values United almost 50 per cent greater than the
1.5bn it is quoted at elsewhere. But there are three ways it can be
justified. First, the club has potential, especially if it can monetise its
Asian fan base. Secondly, United has a unique brand position. And
thirdly, its competitors can only hope to catch up with its status by
spending vast amounts of money. The owners of Chelsea and
Manchester City have spent billions to do this. Ultimately, the club
will not pay reasonable dividends to shareholders. Only half the sale
will go to paying down debt, leaving United with debts of around
350m. Equally, fans are demanding that more is spent on new
players. But the club has a remarkable ability to confound sceptics,
as its latest sponsorship deal with General Motors shows.
Tom Cannon is professor of strategic development at the University
of Liverpool Management School.
Tom Cannon
NO
Duncan Drasdo
Although public ownership has some key advantages, it isnt the key
question. Who does the owning is. We oppose this IPO, but were
not against the principle wed just like to see a fairer offer, with the
interests of the club, supporters and shareholders given equal
consideration. Barcelona and Real Madrid are fan-owned, but
perhaps the German clubs have executed the model most
successfully. Their commercial revenues per supporter dwarfs that of
privately owned clubs like Manchester United. Supporter-club
affinity is the key. Companies need shared agendas with all their
stakeholders, and in football its even more crucial. Fans deserve a
vested interest in the clubs they support passionately and financially.
We dont want to run United leave that to the professionals. Wed
just like owners to have the same interests as fans.
Duncan Drasdo is chief executive of the Manchester United
Supporters Trust.
RAPIDresponses
have megaphones, which they
employ with visible relish.
Most incredible of all, perhaps, is
that they are doing it for nothing but
the experience. We endure miserable
customer service all too often, and
thats from the professionals. These
selfless individuals outperform the
vast majority of their paid counter-
parts without any material reason.
Its a motivational marvel.
Perhaps to some extent its because
we expect less, due to their volunteer
status. Rather than taking their assis-
tance for granted, we are grateful for
their homespun, genuine eagerness,
like kindly village fete attendants
manning the raffle stall.
There is no shortage of candidates
for praise where this Games is con-
cerned from Danny Boyle and his
extraordinary crew of performers
(also volunteers) at the opening cere-
mony, to the athletes themselves
and, some ticketing issues aside,
administrators such as Lord Coe and
Dave Brailsford.
Many of those will likely receive fur-
ther rewards in the Queens New
Years Honours. But what of the
Games Makers? It may be unlikely
that theyll receive the gold medals
for showcasing this country that
they deserve, but a permanent trib-
ute in the renovated Olympic Park
would be a start. For truly making
this Games, it is the least they
deserve.
Frank Dalleres is sports editor of City
A.M. You can follow him on Twitter
@frankdalleres
THURSDAY 9 AUGUST 2012
FRANK DALLERES
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For the love of the
Games: Londons
Olympics heroes
15
TV & GAMES
cityam.com
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BBC1
SKY SPORTS 1
6pmLive USPGA Championship
Golf 12amMasters of European
Football 12.30amPremier League
World 1amRingside 2amSoccer
AM: The Best Bits 3amPremier
League World 3.30amRingside
4.30amIAAF Athletix 5am-6am
Super Leagues Supermen
SKY SPORTS 2
3.30pmLive ECB 40 League
Cricket 9.30pmWWE: Late Night
Raw11.30pmWWE NXT
12.30amRacemax 1.30am-2am
Americas Cup Discovered
SKY SPORTS 3
4pmLive Masters Tennis 11pm
ATP Tour Uncovered 11.30pm
IAAF Athletix 12amNRL Fulltime
12.30am-1.30amSuper Leagues
Supermen
BRITISH EUROSPORT
6.30pmLive Olympic Athletics
10.15pmLive Olympic Basketball
10.45pmOlympic Games:
Together to London 11.15pm
Olympic Diving 12.15amOlympic
Football 1.30amOlympic Athletics
2amOlympic Canoeing 3am
Olympic Diving 4amOlympic
Football 5amOlympic Games:
Together to London 5.30am-6am
Olympics: English Breakfast
ESPN
7pmPress Pass 2012 7.30pmLive
UEFA Europa League Football
10.30pmLegends of the Premier
League 11.30pmPress Pass 2012
12amPTI London Interrupted
12.30amRussian Premier League
Review1amLive Major League
Baseball 4amESPN Kicks: MLS
4.30amPress Pass 2012 5am
PTI London Interrupted
5.30am-6amFIBA Basketball
SKY LIVING
7pmCriminal Minds 8pmTeen
Wolf 9pmFour Weddings US
10pmCriminal Minds 11pmGreys
Anatomy 12amBones 1am
Supernatural 1.50amMaury
2.40amMedium3.30amBones
4.20amAmericas Next Top
Model 5.10am-6amPassport
Patrol
BBC THREE
7pmOlympics 2012 11pm
EastEnders 11.30pmSun, Sex and
Suspicious Parents 12.30am
Family Guy 1.15amAmerican Dad!
2amLive at the Electric 4.30am
Cherry Healey: How to Get a Life
5.30am-6amBritish Olympic
Dreams
E4
7pmHollyoaks 7.30pmHow I Met
Your Mother 8pmBig Bang
Theory 8.30pmHow I Met Your
Mother 9pm2 Broke Girls
9.30pmNew Girl 10pmMidnight
Beast 10.30pmFranklin & Bash
11.30pmBeaver Falls 12.30am
Big Bang Theory 1.30amScrubs
2amHow I Met Your Mother
2.25amRules of Engagement
2.50amDesperate Housewives
3.30am90210 4.10amGreek
4.50am-6amSwitched
HISTORY
7pmStorage Wars 7.30pmPawn
Stars 8pmPompeii: Cellar Of
Skeletons 9pmAx Men 11pm
Storage Wars 11.30pmPawn
Stars 12amAmerican Pickers
1amAx Men 3amSwamp People
4amLast Days of World War Two
5amPawn Stars 5.30am-6am
American Restoration
DISCOVERY
7pmBear Grylls: Born Survivor
8pmGold Rush 9pmHow the
Universe Works 10pmAuction
Hunters 11pmDeadliest Catch
12amHow the Universe Works
1amAuction Hunters 2am
Auction Kings 3amAmerican
Chopper: Senior Versus Junior
3.50amWheeler Dealers 4.40am
Bear Grylls: Born Survivor
5.30am-6amDestroyed in
Seconds
DISCOVERY HOME &
HEALTH
7pmBirth Days 8pmHow Clean
Is Your House? 9pmUntold
Stories of the ER 10pm
Embarrassing Bodies 11pm
Secretly Pregnant 12amUntold
Stories of the ER 1am
Embarrassing Bodies 2am
Secretly Pregnant 3amDr G:
Medical Examiner 4amBirth
Stories 5am-6amPortland Babies
SKY1
7pmThe Simpsons 8pmSinbad
9pmMount Pleasant 10pm
Ultimate Road Wars 11pm
Brit Cops: Law & Disorder
12amMy Holiday Hostage Hell
1amRoad Wars 2amDont Stop
Me Now2.55amCaprica
3.45amEmergency Abroad
4.35amAirline 5.05am-6amSell
Me the Answer
BBC2 ITV1 CHANNEL4 CHANNEL5
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6pmBBC News
6.30pmBBC London News
7pmCHOICE Olympics 2012:
Coverage of this evenings
athletics at the Olympic
Stadium.
10pmBBC News
10.30pmRegional News
10.40pmOlympics Tonight:
Gabby Logan and guests look
back on the 13th days events.
12amBBC News
12.10amOlympic Sportsday:
Dan Walker looks back at the
13th days events.
12.55amHoliday Weatherview
1am-6amBBC News
6pmOlympics 2012
7pmCoast
7.30pmEastEnders
8pmHairy Dieters: How to
Love Food and Lose Weight
9pmCHOICE Wonderland:
Young, Bright and on the Right
10pmOlympics 2012
10.40pmNewsnight; Weather
11.30pmAmish: A Secret Life
12.30amSign Zone: Rats,
Traps, Bugs & Cutbacks
Panorama
1amHorizon: The Truth About
Looking Younger 2amNatural
World: Living with Baboons 3am
Real Rescues 3.45am-6amClose
6pmLondon Tonight
6.30pmITV News
7pmEmmerdale
7.30pmProud to Be British:
Tonight
8pmEmmerdale
8.30pmCoronation Street
9pmThe Briefs
10pmITV News at Ten
10.30pmLondon News
10.35pmThe Talent Show
Story
11.35pmPoms in Paradise 12am
Jackpot247; ITV News 3amProud
to Be British: Tonight 3.25amITV
Nightscreen 4.35am-5.30amThe
Jeremy Kyle Show
6pmThe Simpsons: Three
Halloween-themed tales. 6.30pm
Hollyoaks 7pmChannel 4 News
7.55pm4thought.tv 8pmCHOICE
The Churchills 9pmEmbarrassing
Bodies: Live from the Clinic 10pm
Americas Animal Hoarder: Horror
at the Zoo True Stories 11.20pm
Random Acts 11.25pm24 Hours in
A&E 12.30amUndercover Boss
1.25amUndercover at the News
of the World 2.20amA Short
History of Everything Else 2.50am
Britains High Street Gamble:
Channel 4 Dispatches 3.20am
Apocalypse: The Second World War
4.20amChrono-Perambulator
4.30amCountdown
5.15am-6.10amDeal or No Deal
6pmMonkey Life:
6.30pm5 News at 6.30
7pmCowboy Traders; 5 News
Update
8pmThe Angel of Death: Born
to Kill?; 5 News at 9
9pmThe Hotel Inspector: Alex
Polizzi travels to the Meudon
Hotel in Falmouth.
10pmBig Brother
11pmBig Brothers Bit on the
Side
12amSuperCasino
3.55amGreat Artists 4.20am
House Doctor 4.45amMichaelas
Wild Challenge 5.10amWildlife
SOS 5.35am-6amWildlife SOS
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
digits1-9 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
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.
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.
Copyright Puzzle Press Ltd, www.puzzlepress.co.uk
KAKURO
QUICK CROSSWORD
LAST ISSUES
SOLUTIONS
KAKURO
WORDWHEEL
SUDOKU
SUDOKU
QUICK CROSSWORD
WORDWHEEL
1 2 3 4 5 6
7
8 9 10 11
12
13 14 15
16 17 18
19 20 21 22
23
24
33 21
16 8
15 29
8 18
6 15 15
45
14 16 10
11 4
22 11
7 34
23 17
8
27
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29
20
7
7
13
30
14
10
35
11
19
10
12
3
24
22
28
17
26
7
ACROSS
4 Clean with a
broom (5)
7 Ascetic Muslim
monk (7)
8 Groom with
elaborate care (5)
10 After the
expected time (5)
12 To and ___ (3)
13 Of a triangle,
having two sides
of equal length (9)
17 And not (3)
19 Bid (5)
22 Characterised
by dignity and
propriety (5)
23 Penalty or ne for
wrongdoing (7)
24 Choose by a
vote (5)
DOWN
1 Dexterous (5)
2 Short underpants (6)
3 Keyboard
instruments (6)
4 Become closed (4)
5 Arabian ruler (4)
6 Growth on the
surface of a mucous
membrane (5)
9 Become ground
down (5)
11 Assign (5)
14 Guarantee (6)
15 Pencil mark remover (6)
16 Dome-shaped
dessert (5)
18 ___ Piaf, French cabaret
singer (1915-1963) (5)
20 Smoke-duct (4)
21 Narrow ssure
in rock (4)
I
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4

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B A L S A M F L
A O E R R A T A
N U L L S R B
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S E V E R P H L
A S I N I N E
B G O C A R A T
A E R A T E U I
S A A S P I T
T E N N I S E L
E T T R A N C E
8 7 1 2 6 9 8
6 3 2 7 9 8 5 4 1
8 4 9 9 8 2
5 9 1 3 7 4 1 2
1 4 2 1 9 3 8
4 6 8 9 7
3 7 1 4 2 8 3
4 6 3 1 2 2 3 1
9 5 2 8 5 9
9 8 2 3 5 6 1 7 4
7 5 7 8 9 6 8
4
4
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4
The nine-letter word was
COURTESAN
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BBC1 BBC2 ITV1 CHANNEL4 CHANNEL5
THURSDAY 9 AUGUST 2012
OLYMPICS 2012
BBC1, 7PM
Gary Lineker presents coverage of this
evenings athletics at the Olympic
Stadium, which includes the finals of
the mens 200m and triple jump.
WONDERLAND: YOUNG, BRIGHT
AND ON THE RIGHT BBC2, 9PM
Two students try to take the first step
in their political careers by making
their mark on the Conservative
associations at Oxford and Cambridge.
THE CHURCHILLS
CHANNEL4, 8PM
Historian David Starkey describes how
Winston Churchill drew on the lessons
of his ancestor John to lead the UK
through the Second World War.
TVPICK
Dont set off without some of these handy tools
THURSDAY 9 AUGUST 2012
cityam.com
16
LIFE&STYLE
WORDS BY
ZOE STRIMPEL
TECHNOLOGY
nASK A NOMAD
Theres an answer to everything, and with 11,000
travelers from 129 countries registered at Ask a
Nomad, you can quickly and easily access them.
Best place for Thai food in LA? What are the rental
car options in Bogota? This app will help you
research before you go and help you once youre
there with its nearby feature. Free,
worldnomads.com
nTOUR WRIST
A tool for sharing photo panoramas (panos)
so that users can better grasp places and
destinations, making better decisions about
what to see and do. The app enables you to
discover, shoot and share 360-degree
panoramic images and, with about 30,000
panos already, theres a huge about of info
already there. Free
nHG2
The Hedonists Guide has
become the iconic hipster
reference point for city
breakers. With essential
insiders info about the best
bars, clubs, hotels, and
restaurants in a city (youll
have to research museums
and libraries elsewhere),
youll be as cool as the locals
in no time. Currently 41 cities
are covered. 11.99
nXE.COM
Its best, most user-friendly
currency conversion website
and thus an invaluable tool
for the traveller keen to
know what theyre
spending. Stay on top of
world markets with live
currency rates and charts, as
well as precious metals
charts. Every world currency
is covered. Free.
nPACKING PRO
Its so simple yet so useful
and, weirder still, so
overlooked. Packing Pro
erases last-minute packing
errors and headaches with a
checklist. If packing is not
your forte, input the type of
trip youre taking and the
app will make suggestions.
Geniuis. 1.99
nFOREVER MAP
Part of the pleasantly growing
number of offline apps, this
rather awesome map by
Skobbler brings you a super-
advanced offline map for
Europe, with fully interactive
city and country maps covering
the continent. Features include
address search, location finder,
route calculation and info on
places of interest. 1.49
nTRIP LINGO
When you zip somewhere for business or
a short break, you dont necessarily want
to or have time to learn the language.
Enter Trip Lingo, which provides you
language on a need-to-know basis in a
beautifully designed format with quirky
twists such as a slang slider to help
you with colloquialisms.
nTOURIST EYE
A trip planner that allows you to plan your
trip day by day before you go by adding the
cities and places youre going to visit. If you
dont plan, you can just open the app and itll
tell you whats a must-see. Once youre back,
use it as a journal of photos, messages and
check-ins. Use offline to avoid roaming
charges. For iPhone and Android (free),
touristeye.com
S
O, THAT nice little icon with a
retro telly you can see on the
home screen of your iPhone?
Yeah, thats not going to be
there for long. Apple has stepped up
its feud with Google by removing its
native support for YouTube in the
next version of its mobile operating
system.
How much is this going to affect
the life of the average iPhone user?
Well, not very much. There will be an
app that does exactly the same thing
within five minutes.
Wait, that doesnt make for a very
interesting column, does it? What am
I supposed to do now? Sit here
drinking tea and reading Take A
Break? (its not mine, I found it. I did.)
OK, let me ask that question again.
How much is it going to affect the life
of the average iPhone user? OH MY
GEEK
SPEAK
STEVE DINNEEN
GOD, WE MAY AS WELL JUST GIVE UP
AND DIE. You should probably just
smash your handset into your tear-
stained face until there is nothing left
but broken glass and cartilage. Things
will never, ever be the same again. Im
feeling better about this column
already. And its not just YouTube that
has vanished from the upcoming
iPhone Google Maps will be
replaced by a new Apple version,
ingeniously called Maps. Even
Googles position as the default
search engine on Safari which
apparently costs Google somewhere
in the region of $1bn a year in shared
ad revenue is being questioned. Its
like watching the breakdown of a
marriage in slow motion. At the start,
Apple happily showed Google off to
its mates, going as far as inviting it on
stage to the launch of the original
iPhone. Apples friends, who are a
weird bunch at the best of times, let
alone when they are all riled up by
the prospect of a new product,
whooped and cheered, which
probably made Google feel a bit
awkward. Fast forward ten years and
they cant seem to agree on anything,
from privacy to patents. But could
Apple really ditch Google in favour of
Microsofts Bing? That this is even a
serious suggestion shows how much
the technology landscape has shifted.
Back in the days when Windows was
still a rising star in the software
world, Steve Jobs famously yelled at
Bill Gates, in a crowded room: Youre
ripping us off. I trusted you, and now
youre stealing from us (prompting
this zinger from Gates: Well, Steve, I
think theres more than one way of
looking at it. I think its more like we
both had this rich neighbour named
Xerox and I broke into his house to
steal the TV set and found out that
you had already stolen it).
I wouldnt panic yet though: it
probably wont happen. Google
search is too ingrained in the psyche
of Apple users and people who love
Apple tend to hate Microsoft. What
the escalation in this battle of the
tech heavyweights does show is that
new chief executive Tim Cook is every
bit as ruthless as his former boss.
Losing the YouTube icon isnt a
huge deal but it could be a sign of
much bigger things to come.
Apple smashes its retro telly
1
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x86 servers: Meeting the demands of todays enterprises by combining value and support," January 2012.
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Source: Intel

Performance comparison using SPECfp*_rate_base2006 benchmark. Baseline score of 267 on prior generation 2S Intel

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processor X5690 (3.46GHz, 6-core, 12MB L3, 6.4 GT/s, 130W)

based platform published at www.spec.org as of 6 Sept 2011. Estimated new score of 486 on 2S Intel

Xeon

processor E5-2690 (2.90GHz, 8-core, 20MB L3, 8.0 GT/s, 135W) is based on Intel

internal
measured estimates as of 6 Sept 2011 using two Intel

Xeon

processor E5-2690, Turbo Enabled, EIST Enabled, Hyper-Threading Enabled, 64GB memory (8x8GB DDR3-1600), Red Hat

Enterprise Linux Server

6.1 beta for x86_6, Intel

Compiler 12.1.
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to support 10Gb Ethernet.
5
x3500 M4 supports up to 32 internal 2.5" HDD. Previous generation x3500 M3 supports up to twenty four 2.5" HDD.
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Quarterly price quoted is based on IBMs 0% System x Solution Finance offering (FMV lease). Terms & Conditions Apply: Offering availability subject to credit approval; for more details and full Terms and
Conditions please visit: http://www.ibm.com/financing/uk/lifecycle/acquire/xsolutionfinancing.html.
Rates and offerings are subject to change, extension or withdrawal without notice. Prices include VAT at a rate of 20%.
IBM hardware products are manufactured from new parts or new and serviceable used parts. Regardless, our warranty terms apply. For a copy of applicable product warranties, visit
http://www.ibm.com/servers/support/machine_warranties. IBM makes no representation or warranty regarding third-party products or services. IBM, the IBM logo, System Storage and System x are registered
trademarks of International Business Machines Corporation registered in many jurisdictions worldwide. Other product and service names might be trademarks of IBM or other companies. For a current list of IBM
trademarks, see www.ibm.com/legal/copytrade.shtml. Intel, the Intel logo, Xeon and Xeon Inside are trademarks of Intel Corporation in the U.S. and other countries. All prices and savings estimates are subject
to change without notice, may vary according to configuration, are based upon IBMs estimated retail selling prices as of 01/04/2012 and may not include storage, hard drive, operating system or other features.
Reseller prices and savings to end users may vary. Products are subject to availability. This document was developed for offerings in the United Kingdom. IBM may not offer the products, features, or services
discussed in this document in other countries. Contact your IBM representative or IBM Business Partner for the most current pricing in your geographic area. 2012 IBM Corporation. All rights reserved.
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DS3512 also available with 3.5" drive support

T
HOSE already breaking out in
cold sweats at the thought of
the Olympics drawing to a
close: fear not, there is a place
where elite sport and Britishness
will flourish side-by-side beyond
the weekend.
Cowes Week, the worlds most
famous annual regatta, takes to
the water on Saturday and
promises to do more than just
stave off those London 2012
withdrawal symptoms.
As ever, world-class racing is at
the heart of the action, with the
Artemis Challenge, featuring
high-performance monohull
IMOCA 60s darting around the
Isle of Wight to claim 10,000 for
charity, among the highlights.
But this year, in the hope of
continuing the festive spirit that
has lit up the Jubilee and
Olympics, Cowes Week will
showcase a Best of British theme.
Team GBs sailors have already
helped light up the Games by
winning medals at Weymouth
and Portland, with Ben Ainslie
cementing his status as one of the
countrys finest Olympians of all
time by claiming a hard-fought
fourth gold medal.
And 13 of them will be calling
in at Cowes to show off their
medals on Friday 17 August,
including windsurfer Nick
Dempsey, who on Tuesday
earned silver to add to his bronze
from the Athens Olympics eight
years ago.
Also visiting will be mens 470
duo Luke Patience and Stuart
Bithell, who are set to win gold or
silver today, and their female
counterparts Saskia Clark and
Hannah Mills, who are in with a
great chance of a medal in
Fridays final.
Cowes is of course as much
about the social scene as the
racing, and events such as the
Vintage Great British Supper Party
and the Mount Gay Red Cap Party
are sure to draw a glamorous
crowd, with Zara Phillips and
Ewan McGregor among those to
flock to the Isle in recent years.
Cowes Week the ideal cure
for Olympics cold turkey
THURSDAY 9 AUGUST 2012
18
SPORT
cityam.com
At Aberdeen, we know teamwork matters.
Thats why we all pull together.
Aberdeen Asset Management Cowes Week
11 18 August 2012.
www.aberdeen-asset.com/cowes

August 2012. 11 18
deen Asset Aber
s wh That
deen, Aber t A

August 2012.
C Management deen Asset
pull all y we
we know deen,
eek W owes C
. together
work matters. team we know

work matters.

deen-asset .aber www
August 2012. 11 18

.com/cowes deen-asset
August 2012.

Regatta is
loved by all
A
BERDEEN Asset
Management Cowes
Week is a unique event,
and a quintessentially
British one, steeped not only in
nautical history but held in the
highest regard by many sailors
all over the world. The
international nature of Cowes
Week is something that greatly
appealed to us as global asset
managers when initially
agreeing the sponsorship. This,
combined with the great
following the event has in the
UK, makes it an ideal partner
for Aberdeen Asset
Management as we look to
build our brand and business
both here and overseas.
We were delighted with last
years event and our guests and
employees alike were
unanimous in their praise for
the regatta. At Aberdeen we
sponsor events where we can
make a difference and be
included, and this year we have
invited 700 clients and 400
employees to take part in the
event, on and off the water.
This year Cowes Week follows
hot on the heels of the London
Olympic Games and provides a
great opportunity to celebrate
one of Team GBs historically
most successful sports. On
Friday we will be bringing some
of the Team GB sailors to the
island for a day of festivities.
We are now in the second of
our initial three-year
agreement to support Cowes
Week and earlier this year we
announced a two-year
extension to the deal, taking
our sponsorship to the end of
2015. This extension has
enabled us to build on the solid
foundations already established
with Cowes Week Ltd and
guarantee a stable financial
footing for the regatta for the
next four years.
Martin Gilbert is chief executive
of Aberdeen Asset Management
SPONSOR
COMMENT
MARTIN GILBERT
Stars Zara Phillips and Ewan McGregor (below) are among those
who flock to Cowes for the top-class sailing and social scene
IN BRIEF
Ferguson frustrated over RVP
nFOOTBALL: Manchester United
manager Sir Alex Ferguson has
admitted the clubs bid to sign Arsenal
captain Robin van Persie has stalled.
He said: Weve made a bid, they
[Arsenal] have been trying to
negotiate with other clubs.
England top ODI rankings
nCRICKET: England are top of the
world one-day international rankings
for the first time. They lead South
Africa by one sixth of a point.
Catt set for England stay
nRUGBY UNION: Mike Catt is
expected to sign a permanent deal to
remain an England coach.
GREAT Britains Shanaze Reade
admitted she was relieved to have
finally started her Olympics cam-
paign after qualifying for tomor-
rows BMX semi-final races.
Reade, 23, has been given starting
gate three in Fridays first semi-final
after her lap of 39.368 seconds made
her the fifth fastest Australias
time trial world champion Caroline
Buchanan was the quickest with
38.434 and said she was pleased to
have finished her first race.
It felt quite good out there, said
Reade, the three-time world champi-
on who crashed in the final of the
2008 Beijing Games. The first race
is always going to be a bit rusty.
Reade is ready
after watching
from sidelines
I have been sitting around and
watching Olympic titles being won
and have just wanted to get out
there and compete myself.
Compatriot Liam Phillips, mean-
while, qualified for the mens semi-
finals also tomorrow doing so
in a time of 38.719 to finish in 12th
place, but denied that he had home
advantage.
He said: Unfortunately it is not a
home track we have not had any
additional access.
As much as the other countries
have turned to us to ask, Whats it
like to ride on your home track? my
answer is always, my practice must
be good if you think that myself and
Shanaze are going that fast.
[But] I love it. This is the sort of
level that all athletes want.
T
HE US PGA Championship
may not be the most popular
of the four Majors from the
fans perspective, but theres
no doubt that the players involved
will regardless want to win this as
much as any other event.
The Ocean course at Kiawah
Island where this will begin today
is fantastic, a great test. Ive played
there in the Ryder Cup and in the
US PGA Senior tournament, and its
very demanding you have to be on
top of your game.
In terms of the elements, its
based on the coast, so anything can
happen. If theres bad weather, it
has the potential to make
conditions extremely difficult.
That said, it is quite a wide
course, so itll certainly suit some of
the longer hitters and the winner
will definitely be among those.
Our boys, however, are struggling.
Lee Westwood and Luke Donald
dont look at their best, so its
looking good for the Americans.
The best European hope is Graeme
McDowell. Hes a proven player, has
impressed in the last two Majors
and is obviously on his game.
GOLF
COMMENT
SAM TORRANCE
Team GBs Shanaze Reade qualified for tomorrows semi-final with a time of 39.368
BY TOM ROBINSON
SPORT
19
THURSDAY 9 AUGUST 2012
Its tough to back a European at the US PGA
The defending champion, Keegan
Bradley, should also be in
contention. When youve won a
tournament and come back to it the
next year, you know youre capable
of winning and it gives you a hope
that you can do so again.
Tiger Woods is struggling. Hes
been in contention for a couple of
Majors this year and not won them,
and in years gone by he probably
would have won at least one. It
shouldnt be forgotten that hes also
changed his swing, but well have to
wait and see with him.
Phil Mickelsons another of those
whos struggling hes just not
doing it at the moment but he is
Phil Mickelson; he can turn
it around.
Rory McIlroy bounced back after
the Masters last year and went on to
win the US Open; if he did it, why
cant Adam Scott? That wouldnt
surprise me at all, and Id love to see
that happen.
Scott was obviously beaten to
victory at The Open by Ernie Els,
and Els is someone I also give a
huge chance to. Im actually still
delighted for him for that win and
he should be in contention.
Sam Torrance OBE is a multiple Ryder
Cup-winning golfer and media
commentator. He has won 21 European
Tour titles in a career spanning 40 years
and famously sank the putt that clinched
victory for Europe in the 1985 Ryder
Cup. Follow him on Twitter
@torrancesam
Results
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Agony for Brits as medal
streak finally runs aground
Stalker appeals against boxing
quarter-final points controversy
TEAM GB boxing captain Tom
Stalker last night lodged an
immediate appeal against his
quarter-final defeat to
Mongolian light-welterweight
Munkh-Erdene
Uranchimeg.
The score finished
23-22 in the
Mongolians favour
despite a
particularly
impressive
third round from the British
counter puncher after which the
fighters coach revealed his
significant suffering.
Hes devastated because he
wanted to win a medal in his
home Olympics, said Dave
Alloway. Hes trained so hard
for it, so to be one point away
from a medal, one scoring
blow, thats what hurts.
Should Stalkers appeal not
succeed, Britain would have been
denied a sixth guaranteed boxing
medal to follow the successes of
Luke Campbell, Fred Evans,
Anthony Ogogo, Anthony Joshua
and Nicola Adams.
The latter could today become the
first female boxer to win Olympic
gold when she fights three-time
world champion Ren Cancan in the
flyweight final after defeating
Indias Mary Kom in the semi-final.
Words cant express how Im
feeling, Adams said. To reach an
Olympic final, Im really happy.
Team GBs womens hockey team yesterday lost 2-1 to Argentina in a tense Olympics tournament semi-final at the Riverbank Arena
Team GB suffer an
array of near misses
at London Games
JAMAICAN Usain Bolt and his
apprentice Yohan Blake are poised
for another explosive clash tonight
in the London 2012 mens 200m
final after both Jamaicans strolled
through yesterdays semi-finals.
Blake, 22, set the pace by
winning his heat in 20.01 seconds,
despite slowing to a saunter in the
final 50m.
But Bolt, who beat his training
partner in the 100m final on
Sunday, was not to be outdone,
virtually jogging the home straight
to win in 20.18.
Bolt and Blake ease ahead to
set up explosive 200m rematch
Odds look set to be short on
either man breaking Bolts
benchmark of 19.19 as the
defending champion seeks the title
he says would cement his
legendary status.
Its all about going through as
easy as possible, he added. Im
ready, this is my favourite event.
Blake, who comfortably beat
American Wallace Spearmon and
Frances Christophe Lemaitre,
called his race a walk in the park.
American Allyson Felix claimed
her first Olympic gold in the
womens 200m final after beating
100m champion Shelly-Ann Fraser-
Pryce of Jamaica into silver.
THURSDAY 9 AUGUST 2012
20
SPORT
cityam.com/sport
GREAT Britains new-found sense of
Olympic invincibility was pricked
yesterday, when a series of near miss-
es meant Team GB failed to win a
medal for the first time since the
first day of the London 2012 Games.
Rookie 110m hurdler Lawrence
Clarke, who only took up athletics
four years ago, was among the clos-
est to delivering success, finishing a
highly creditable fourth in his maid-
en Olympics after superb runs in the
semi-final and final last night.
Equestrians Nick Skelton and Ben
Maher, who helped win gold in the
team event on Monday, suffered the
most agonising brushes with further
success, as both finished just
outside the medals in the
individual showjumping.
Britains womens hockey team
crashed out of the semi-finals 2-1 to
Argentina last night, while there was
disappointment on the water, as
sailors Stevie Morrison and Ben
Rhodes narrowly missed bronze in
the mens 49er and Tim Brabants
proved unable to defend his canoe
sprint K1 title.
Team GB were brought back down
to earth with a bump after a series of
brilliant performances had propelled
them to 22 golds, the most for more
than a century, on Tuesday.
Clarke, 22, outperformed his hero
and compatriot Andy Turner, who
failed to progress from his 110m hur-
dles semi-final, as American Aries
Merritt took gold. There was more
BY FRANK DALLERES
BY DECLAN WARRINGTON
Tom Stalker last night lost a
questionable decision
Our boys are struggling,
so its looking good for the
Americans

TODAY AT THE
GAMES
Athletics
n Jamaicas Usain Bolt looks to
defend his 200m title at 20:55 but
will faces stiff competition from
compatriot Yohan Blake. Great
Britains Andrew Osagie also runs in
the mens 800m final at 20:00.
Boxing
n Nicola Adams goes for an historic
gold in the final of the womens
flyweight final against three-time
world champion Ren Cancan of
China at 16:30.
Equestrian
n All three members of the British
team who won team dressage gold
on Tuesday compete in the
individual dressage grand prix
freestyle final. Laura
Bechtolsheimer is first at 15:20, Carl
Hester is straight after at 15:30, and
Charlotte Dujardin is on at 15:50.
Swimming
n Keri-Anne Payne takes to the
water at Hyde Park for the womens
10km marathon at 12:00.
Sailing
n Luke Patience and Stuart Bithell
are guaranteed at least silver but
will challenge for gold in the mens
470 medal race at 13:00.
Canoe sprint
n Team GBs Rachel Cawthorn
competes in the womens K1 500m
kayak sprint final at 10:08.
TOP 3 MEDAL TABLE
China
United States
Great Britain
36
34
22
22
22
13
19
25
13
British track woe as Shara Proctor
could only come ninth in the
womens long jump, won by
American Brittney Reese.
Skelton and Maher pulled off flaw-
less first rounds, putting them
among the leaders going into the
final routines. But Maher incurred
one penalty to drop him to fifth and
penultimate rider Skelton suffered
the same fate, with the end of anoth-
er clean run in sight. Gold went to
Steve Guerdat of Switzerland, with
Irelands Cian OConnor taking
bronze after a jump-off for silver.
It was unlucky, said veteran
Skelton, 54. The horse jumped great,
he touched one fence all week. Today
was the wrong day to do it. Everyone
thought the horse would win. I did
as well.
Normal service should resume
today, when world and Olympic
champion Keri-Anne Payne is tipped
to successfully defend her 10k
marathon swim in the Serpentine.
Morrison and Rhodes had looked
in with a shout of adding to Britains
48 medals in Weymouth. However
they failed to find favourable winds
in their four-way tussle for bronze
and finished fifth.
Hannah Mills and Saskia Clarke
fared better in the womens 470, tak-
ing second place in yesterdays last
race to ensure at least a silver medal.
Victory over leaders New Zealand in
tomorrows finale will earn them
gold.
Page 19: Sam Torrance previews the US PGA
Championship
BY FRANK DALLERES
AT THE OLYMPIC STADIUM
AND GREENWICH PARK