PRESS DIGEST - British business - Sept 20

The Sunday Times

TONY BALL TRIES TO SQUEEZE ITV FOR A 30 MILLION POUND PAY DEAL

Television supremo Tony Ball has been offered the job of ITV (ITV.L) chief executive but has said he will accept the position only if he is able to negotiate a five-year package worth as much as 30 million pounds. Ball is thought to want share options back-dated to when he was first linked with the role -- arguing that his public campaign to replace executive chairman Michael Grade sparked a share price rally. ITV, whose share price has risen 49 percent since Ball began his campaign, has told him that his terms are unacceptable.

BURBERRY BACK WITH A BANG

Fashion group Burberry (BRBY.L) hopes to brush off the economic downturn with strong sales of its 2010 spring-summer collection. Chief executive Angela Ahrendts has said that while the climate remains challenging, she was "thrilled" with sales from the group's 153-year-old brand Prorsum. In July, the company met predictions with a four percent fall in quarterly revenues -- well ahead of the 10 percent falls forecast for the wider sector.

100 GUARDIAN STAFF FACE AXE

After deciding against the closure of The Observer, Guardian Media Group [GRMDG.UL] is to shed a further 100 editorial staff, as part of a cost-cutting strategy. The group will reopen its voluntary redundancy scheme and has also circulated new slim-line editions of the Observer -- containing fewer sections. The cuts come on top of the 50 jobs already set to go by the end of the year and last week editor-in-chief Alan Rusbridger told staff to expect more losses.

The Independent on Sunday

SIR NIGEL RUDD RULES HIMSELF OUT OF THE RUNNING

According to a source, Sir Nigel Rudd is out of the running to succeed David Turner as chairman of aerospace group Cobham (COB.L). Earlier in the year, Sir Nigel stepped down as a non-executive director at Barclays. However, he remains chairman of BAA, Pendragon and Invensys and a director at Sappi, the paper group. Turner will become the chairman of Commonwealth Bank of Australia when he officially steps down at Cobham in May 2010.

RUSH FOR REGAL'S 12 MILLION POUND MANSION

Potential buyers, including City bankers and celebrities, have set their sights on the 12.45 million pound mansion at London's 100 Clifton Hill. The three-storey mansion is being put on the market this week by developer Regal Homes. Paul Eden, managing director of Regal, said: "We've had a lot of interest from City boys who don't seem to be short of money." Clifton Hills is among a 50 million pound portfolio of high-end real estate that Regal has prepared for the market.

The Observer

LOST CITY JOBS PUNCH HOLE IN LONDON'S TUBE BUDGET

Job cuts in the City and Canary Wharf have left a huge hole in London's transport budget as less people travel to work. Peter Hendy, London's transport commissioner, said passenger numbers on the underground per day were down 200,000 and Transport for London is expected to miss revenue targets. As a result, if passenger numbers do not improve there will have to be substantial fare increases. The admission of budget problems comes as TfL and contractor Tube Lines reach a critical stage in the valuation of a public-private partnership programme to introduce more frequent tube services.

XSTRATA FACES BID DEMAND FROM ANGLO AMERICAN

Anglo American (AAL.L) is to ask the Takeover Panel to issue a "put up or shut up" order to Xstrata (XTA.L) and force it to make a bid for Anglo or withdraw for at least six months. Anglo's chairman Sir John Parker has investor support and wants to bring clarity to the situation after Xstrata's nil premium merger bid was rejected. The deal would have created a company worth 40 billion pounds. Xstrata is under pressure to increase the value of its bid, and Anglo's shareholders, while not against a deal in principle, are calling for a higher offer that could include a 6-10 billion pound cash component.

AVOIDING TAX ROBS OUR PUBLIC SERVICES, DECLARES MINISTER

Stephen Timms, financial secretary to the Treasury, will say on Monday that failure to pay the correct tax is depriving "our public services of valuable resources" at a time when public funds are straining under the pressure from bank bailouts. Timms will tell a group of tax experts at a Treasury meeting that payment is a moral issue that carries responsibility for every taxpayer. Talks between banks, the Treasury and HM Revenue & Customs are ongoing in preparation of a code of conduct banks will be asked to sign to stop the practice of financial engineering aimed at tax avoidance.

The Mail on Sunday

MILLEN MAY BUY BACK MILLEN

Karen Millen says she would buy back the fashion retail chain she established if it was put up for auction by Aurora Fashions. There has been speculation that the Kaupthing-owned group will be spilt up, following reports that Debenhams (DEB.L) was interested in buying one or more of its marques, which include Oasis and Warehouse. Millen said she had not had contact with Aurora, but added: "I wouldn't rule anything out." Aurora has maintained that no break-up is imminent.

ARGOS DEMANDS TO BE ALLOWED INTO SPORTSWEAR SECTOR

Retailer group Argos has complained to the Competition Commission that it is being excluded from selling some sports equipment and clothing brands. The company said in a letter dated September 4 that strict distribution agreements between chains such as JJB Sports (JJB.L) and Sports Direct (SPD.L) had squeezed it out of parts of the market. Argos legal adviser Jennika Callaghan said general merchandisers are "significantly disadvantaged", adding that sales of Nike and Adidas make up half of all sales at JJB Sports and 20 percent at Sports Direct.

GAPS ON THE SHELVES, BUT ODDBINS SAYS IT IS ON THE WAY BACK TO PROFIT IN 2010

Wine retailer Oddbins expects to return to profitability in 2010 following the sale of the group by France's Castel to Simon Baile. The company said losses had been cut by 75 percent, thanks to a restructuring programme and a stock review. Baile, whose father ran the group in the 70s and 89s, said that although supermarkets had driven the market down, Oddbins had decided to take a short-term hit to avoid having to follow suit. Baile said Oddbins had been introducing smaller producers to add excitement to ranges and was revamping customer service.

Prepared for Reuters by Durrants