PRESS DIGEST - Wall Street Journal - June 12
June 12 (Reuters) - The following are the top stories in the Wall Street Journal. Reuters has not verified these stories and does not vouch for their accuracy.
* The Iraqi forces' rout by a ragtag Islamist militia this week shocked politicians in Baghdad and Washington, but the troops and their American trainers have been warning for years that the Iraqi military wasn't ready for battle. (r.reuters.com/zyq99v)
* European regulators have opened formal investigations into the tax affairs of Apple Inc, Starbucks Corp and a unit of Fiat, amid concerns that multinational companies enjoy sweeter tax deals than are permitted under EU law. (r.reuters.com/tyq99v)
* BNP Paribas SA has tentatively agreed to oust a senior adviser at the French bank at the behest of New York's top financial regulator as part of a proposed settlement of BNP's alleged violations of U.S. sanctions. (r.reuters.com/vyq99v)
* More companies are resorting to an old tactic to get rid of activist investors: pay them to go away. The practice, which involves buying back shares from activist hedge funds, has raised concerns among some investors because it bears similarities to "greenmail," a controversial strategy popular in the 1980s. (r.reuters.com/myq99v)
* Auto makers plan a broad shift to aluminum from steel in larger vehicles over the next decade in North America, and 18 percent of all vehicles will have all-aluminum bodies by 2025, compared with less than 1 percent now, according to an industry study released this week. (r.reuters.com/qyq99v)
* In a decision likely to influence future litigation over failed law firms, a federal judge in San Francisco ruled that the defunct Heller Ehrman LLP has no right to profits from unfinished legal work its ex-partners brought to their new firms. (r.reuters.com/dar99v) (Compiled by Supriya Kurane in Bangalore)