CORRECTED-PRESS DIGEST-British business-June 8

(Corrects period for Nationwide CEO's remuneration to the year ended April 4, 2008)

The Times

FIRST BANKS, NOW BUILDING SOCIETY EXECUTIVE PAY SCRUTINISED

The UK's leading 53 building societies paid out more than 38 million pounds ($60.97 million) to their directors in 2008, despite public outcry over the remuneration of British bankers. Nationwide chief executive Graham Beale received a total of 1.7 million pounds for the year ended April 4, 2008, whilst Newcastle building Society paid out 1.1 million pounds in director remuneration in 2008, despite having its credit rating downgraded by the rating agency Fitch. Adrian Coles of the Building Societies Association said, "You would assume that if people were outraged, they would take their chance to vote. Building societies are transparent and all the members have the chance to have a say."

CLOSED LOOP OPENS NEW ROUTE FOR RECYCLING

Marks & Spencer(MKS.L) will this week begin selling food packaged with plastic recycled in Britain for the first time. M&S is working in partnership with the Dagenham-based firm Closed Loop Recycling, which claims its recycling facility is the first in the world to take recycled bottles and turn them into food grade plastic. Closed Loop is to also supply food grade recycled plastic to Coca-Cola and Solo Cup Europe -- a company that manufactures cups for companies including Starbucks and Pret A Manger.

BIT OF RELIEF FOR BROWN AS RESCUED BANK GROUP REPAYS

This week, Lloyds Banking Group(LLOY.L) is expected to repay around 2.3 billion pounds to the Government, following the bank's 4 billion pound share placing -- the deadline for shareholder take-up of which, expired on Friday. Lloyds' chairman Sir Victor Blank is expected to announce to the stock market in the next few days that shareholders have taken up the offer to buy back all of the new stock and, in doing so, Lloyds will become the first lender in Europe to pay back bail-out money to the taxpayer.

Daily Telegraph

PROFITS FALL AT BOUTIQUE HOTEL CHAIN

Profits at Firmdale Holdings, the company behind London boutique hotels such as the Charlotte Street Hotel and the Covent Garden Hotel, fell 64 percent to 1.48 million pounds in the year to the end of January. Revenues were up five percent to a record 54 million pounds, but profits suffered as costs rose more than 11 percent to 31 million pounds and financing charges rose 31 percent to 5.6 million pounds. The company plans to open an 86-room hotel in New York's SoHo area in September, the first of several planned for the city.

ASTRAZENECA JOINS ANTI-CANCER PROJECT

AstraZeneca(AZN.L), the UK's second-largest pharmaceuticals company, has invested four million pounds in a joint venture with Cancer Research Technology and the Institute of Cancer Research, which will target "molecular chaperones" that support the growth of cancer. The deal will see ICR lead the scientific work, with AstraZeneca to sell the compounds developed during the collaboration. CRT and ICR will receive payments upfront as well as milestone payments and royalties from future sales stemming from the work.

TRIUMPH OWNER BREACHES COVENANTS

Accounts filed at Companies House show that Bloor Holdings, the owner of Triumph Motorcycles, breached banking covenants last year after debts more than doubled to 249 million pounds, and was forced to renegotiate terms with its lenders. Turnover at Triumph was up 29 percent to 284 million pounds, but poor results from housebuilder Bloor Homes dragged Bloor Holdings to a 49.3 million pound pre-tax loss, compared to a 53.5 million pound profit a year earlier.

The Independent

ALLIANCE BOOTS SET TO NAME HORNBY AS NEW CHIEF EXECUTIVE

Andy Hornby, former chief executive of the defunct bank HBOSHBOS.L, has been named as a surprising choice to become the likely new chief executive of Alliance Boots. Hornby, who some regard as a key contributor to the UK banking crisis, has been confirmed as "a leading candidate" by the pharmacy chain's executive chairman Stefano Pessina. Politicians expressed their distaste at Hornby being rewarded with such a lucrative post in light of the failures at HBOS.

BUSINESS SENTIMENT GROWING MORE CONFIDENT

Lloyds Banking Group's(LLOY.L) monthly survey has shown a third consecutive increase in business confidence during May. 44 percent of companies expected business activity to increase compared to 35 percent in April, while the 21 percent expecting a decline in business fell to 16 percent. "Confidence is always the foundation on which any recovery is built," said Trevor Williams, chief economist at Lloyds TSB Corporate Markets. "If this [optimism] persists over coming months the recovery should not be too far behind."

COST OF TV ADS FALLS TO LOWEST IN DECADES

A report from the media and marketing consultancy Billetts has calculated a year-on-year fall of 16 per cent in the cost of advertising on television. Feeble demand from advertisers and the growing role of the internet has sent rates to their lowest since the 1980s. The traditional media has been forced into offering cheaper advertising space as well; advertising in national newspapers will be an average of five percent cheaper this year, and nine percent cheaper in consumer magazines. Women's magazines and TV listing magazines will be the hardest hit of all, Billetts predicts.