Proactive Investors -
- Blue chips fall 78 points to 7,897
- House price inflation cools
- High street continues to struggle
Body Shop administrators consider CVA to save stores
The Body Shop, now under the management of administrators from FRP, is considering a potential rescue strategy through a controversial restructuring approach.
Administrators said discussions were taking place with the company about undergoing a Creditors Voluntary Arrangement (CVA).
This strategy aims to renegotiate lease terms with landlords, while shutting down underperforming stores.
FRP said: “We have been provided with trading forecasts which are based on ongoing discussions with key suppliers, landlords and other relevant stakeholders.
“Once we are satisfied that we are in receipt of a workable CVA proposal we will revert to creditors.”
Apple and Disney: Cost cutting in two very different ways
In US mega caps, both Apple and Disney have announced new plans to cut costs, however, both have gone about it in very different ways.
For Apple (NASDAQ:AAPL), the tech giant is sacking 600 workers as a result of it cancelling its electric vehicle division.
Some 614 employees were informed of cuts in late March, according to Californian state records, marking the technology giant’s first significant round of layoffs since the pandemic.
Apple's multibillion-dollar endeavour electric car project, known as Project Titan, was cancelled last month, with the group switching its focus to AI.
For Disney, its cost-cutting measures have come at the expense of its streaming service freeloaders.
The media conglomerate said it would be following in the path of rival Nextflix by introducing a crackdown on password sharing to boost profits from its faltering streaming service Disney+.
Restrictions will be imposed in some countries from June with all countries to be covered by September, chief executive Bob Iger announced overnight.
Disney already has the technology in place to block other password sharing but has chosen not to implement it up to now, he said
Commodities giant Trafigura shakes up boardroom
Trafigura, one of the world's leading commodities traders, has undergone a board shakeup which has led to the departure of two senior executives.
Finance chief Christophe Salmon confirmed he will be retiring in June, while executive director and head of oil Jose Larocca will retire in September.
Larocca had been trained by founder Claude Dauphin before working his way to one of the top roles in the group, which he held for the last decade.
Salmon has also held is role for around a decade after he joined the group in 2012. Stephan Jansma, Trafigura's Asia Pacific CFO, will replace Salmon when he retires.
It comes just seven months after management started restructuring its management team, with long-time chief operating officer Mike Wainwright having retired last month.