>>> BOE in 5 mins

BOE in 5 mins
No change expected rates or Asset Purchases..
Small chance we get some form of statement on forward guidance but we expect BOE will wait for the Quarterly Inflation Report next week to do this..
Just in case though.. forward guidance currently has target at 7% for unemployment ..
Chance they lower this to 6.5% but more likely is a change to the wording to clarify rates will not be hiking too soon in response to UR hitting target sooner than anticipated.. Also possible they introduce other criteria into their forward guidance..
As we say no statement expected but worth just flagging expectations just in case..
SO NO CHANGE EXPECTED
RATES EXPECTED TO REMAIN AT 0.50%
ASSET PURCHASES EXPECTED TO REMAIN GBP 375bn

WSJ : Alcatel-Lucent in Talks to Sell Phone Unit to China Huaxin

Alcatel-Lucent in Talks to Sell Phone Unit to China Huaxin
Network-Equipment Maker Swung to Small Profit in Fourth Quarter

PARIS— Alcatel-Lucent SA ALU.FR +12.36% is in exclusive talks to sell its enterprise phone unit to investment company China Huaxin, the network-equipment maker said Thursday after it swung to a small profit in the fourth quarter.

The Franco-American maker of cellular networks and Internet-backbone gear said China Huaxin made a binding offer to buy a majority stake in the unit for an enterprise value of €268 million ($362 million). In the deal under consideration, Alcatel would retain a 15% stake in the unit, which makes phone systems and other equipment for businesses.

Alcatel said it expects to sign the deal by the second quarter and aims to close it in the third quarter, pending regulatory approval. China Huaxin is Alcatel's minority partner for Alcatel-Lucent Shanghai Bell, its unit in China, the company said.

If sealed, the sale would be the second as part of new Chief Executive Michel Combes's Shift plan, which aims to refocus the business on a handful of profitable areas—in part through at least €1 billion in asset sales. In December, the company sealed a deal to sell its U.S. government-contracting subsidiary LGS Innovations to an investor group led by U.S.-based Madison Dearborn Partners in a deal that could be worth as much as $200 million.

"Good implementation of the Shift Plan is already deeply altering the company," Mr. Combes said on a call with journalists.

For the fourth quarter, Alcatel reported a net profit of €134 million, or 5 cents per share, compared with a net loss of €1.56 billion or 69 cents per share a year earlier, when the company saddled itself with more than a billion in impairment and restructuring charges.

The company missed analysts' expectations for a big increase in adjusted operating profit because of higher-than-expected cost cuts. That figure, which excludes various charges, including costs associated with the 2006 merger between France's Alcatel and U.S.-based Lucent Technologies, came in at €307 million, compared with €115 million a year earlier, driven by rising gross margins and fixed costs cuts.

Free cash flow rose to €363 million, compared with €353 million a year earlier.

Revenue in the third quarter fell 4.1% to €3.93 billion, though was flat at constant exchange rates, the company says.

North America—home to Alcatel's largest clients, AT&T Inc. T -1.14% and Verizon Communications Inc. VZ -0.28% —was a source of surprise growth, up 1.9% on year in constant currency terms, after declines in the region for competitor Ericsson. The company's struggling wireless segment also saw an increase of 15% in revenue, adjusted for currency fluctuations.

The results help bolster early progress for Mr. Combes, whose predecessor stepped down almost exactly a year ago amid hemorrhage of red ink. At the end of last year, the company was also reinstated in Paris's benchmark CAC-40 index, reversing a deletion a year earlier as shares swooned.

In the last year, Alcatel shares have risen more than 130% and closed Wednesday in Paris at €3.04.

China Huaxin Post & Telecommunication Economy Development Center is a state-owned company with investments in several China-based tech companies, including Alcatel-Lucent Shanghai Bell, according to the company's website. It is also developing its own international business in telecommunications, enterprise networking and optical communications.

NYT : Coca-Cola to Buy 10% Stake in Green Mountain Coffee

Coca-Cola agreed on Wednesday to buy a 10 percent stake in Green Mountain Coffee Roasters, as it seeks to cement ties with the fast-growing coffee company.

Under the terms of the deal, Coke will buy about 16.7 million shares in Green Mountain for about $1.25 billion. The shares were priced at $74.98 each, representing the volume-weighted average price for the last 50 days.

In return, Green Mountain will be the official maker of the soda giant’s single-serve cold beverages, built on its popular Keurig pod-based system. Some of the proceeds from the investment will go toward expansion of its forthcoming Keurig Cold product.

“This global relationship combines The Coca-Cola Company’s unparalleled brand, distribution and marketing strengths with GMCR’s innovative technology and beverage system expertise,” Brian P. Kelley, Green Mountain’s chief executive, said in a statement, referring to his company’s ticker symbol.

News of Wednesday’s deal sent shares in Sodastream, one of the biggest makers of at-home soda machines, tumbling more than 8 percent in after-hours trading.

Shares of Green Mountain were up more than 30 percent in after-hours trading, at $109.37. That dealt a stiff blow to investors like Greenlight Capital’s David Einhorn, who for more than two years criticized the company’s business model and accounting.

To alleviate dilution caused by the new stock issuance, Green Mountain will buy back additional shares. The deal is expected to close next month.

Green Mountain was advised by Bank of America Merrill Lynch and the law firm Baker & McKenzie.

Coke was counseled by the law firm Skadden, Arps, Slate, Meagher & Flom.

(BFW) Astrazeneca CEO Would Consider Big Deal if Made Sense

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BN 02/06 10:22 *ASTRAZENECA: IF WE SAW BIG DEAL THAT MADE SENSE, WOULD CONSIDER BN 02/06 10:22 *ASTRAZENECA CEO: DON'T NEED TO DO LARGE ACQUISITIONS BN 02/06 10:22 *ASTRAZENECA CEO: STILL INTERESTED IN DEAL OPPORTUNITIES BN 02/06 10:21 *ASTRAZENECA: NEED A LOT LESS BUSINESS DEVELOPMENT THIS YEAR BN 02/06 10:21 *ASTRAZENECA: NOW FOCUSED ON DELIVERING LATE-STAGE PRODUCTS BN 02/06 10:21 *ASTRAZENECA: 2013 DEALS FOCUSED ON REBUILDING PHASE 2, 3 LINEUP BN 02/06 10:19 *ASTRAZENECA CEO: ROOM FOR BOTH ADVAIR, SYMBICORT IN U.S. BN 02/06 10:15 *ASTRAZENECA SEEING A BIT LESS PRICING PRESSURE IN EUROPE BN 02/06 10:14 *ASTRAZENECA: ONGOING PRICE PRESSURE IN U.S.; MORE CHALLENGING BN 02/06 10:13 *ASTRAZENECA IN TALKS WITH GERMAN AUTHORITIES ON FORXIGA PRICE BN 02/06 10:13 *ASTRAZENECA SEES CHINA GROWTH CONTINUING, ESPECIALLY SYMBICORT BN 02/06 10:13 *ASTRAZENECA: CHINA IS A NICE STORY FOR US; CO. IS NO. 2 THERE BN 02/06 10:02 *ASTRAZENECA: ABOUT 50% OF 2014 R&D SPENDING ON LATE DEVELOPMENT BN 02/06 10:00 *ASTRAZENECA: WILL FILE OLAPARIB IN U.S. THIS YEAR BN 02/06 09:59 *ASTRAZENECA'S BRIGGS MORRISON COMMENTS ON MEDIA CALL BN 02/06 09:59 *ASTRAZENECA: MAY BE ABOVE 7 NME PHASE 3 STARTS IN 2013-14 BN 02/06 09:56 *ASTRAZENECA: FORECAST ASSUMES U.S. NEXIUM GENERIC IN MAY BN 02/06 09:48 *ASTRAZENECA: RESPIRATORY FRANCHISE DOING `EXTREMELY WELL' BN 02/06 09:47 *ASTRAZENECA: WENT FROM 12TH TO 9TH IN JAPAN LAST YEAR BN 02/06 09:47 *ASTRAZENECA: SIGNIFICANTLY OUTPACING MARKET IN CHINA BN 02/06 09:46 *ASTRAZENECA: CHINA IS MOST IMPORTANT EMERGING MARKET BN 02/06 09:46 *ASTRAZENECA: GROWING ALMOST 20% IN CHINA BN 02/06 09:46 *ASTRAZENECA: GROWTH RATE IN EMERGING MARKETS STEADY FOR YEAR BN 02/06 09:45 *ASTRAZENECA: EXENATIDE SHARE IS GROWING, IN U.S. IN PARTICULAR BN 02/06 09:43 *ASTRAZENECA; STUDIES WILL HELP UNLOCK POTENTIAL OF BRILINTA BN 02/06 09:42 *ASTRAZENECA CEO: CONTINUING TO INVEST IN BRILINTA BN 02/06 09:40 *ASTRAZENECA: SEVERAL HUNDRED RELOCATING TO CAMBRIDGE THIS YEAR BN 02/06 09:37 *ASTRAZENECA: U.S., EUROPE AFFECTED BY GENERICS, GOVT POLICY BN 02/06 09:36 *ASTRAZENECA CEO: CAN RETURN TO GROWTH FASTER THAN PEOPLE EXPECT BN 02/06 09:35 *ASTRAZENECA CEO: `WE ARE ON A JOURNEY' BN 02/06 09:35 *ASTRAZENECA CEO: WE GAINED MOMENTUM IN 2013 BN 02/06 09:34 *ASTRAZENECA 4Q EARNINGS MEDIA CALL BEGINS

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Astrazeneca CEO Would Consider Big Deal if Made Sense 2014-02-06 10:27:03.206 GMT

By Tim Barwell Feb. 6 (Bloomberg) -- CEO says co. doesn’t need to do large acquisitions, though still interested in deal opportunities. * Comments on call with reporters * NOTE: Astra said earlier it has cash, cash equivalents of $9.2b at Dec. 31

Link to Company News:{AZN LN <Equity> CN <GO>}

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To contact the editor responsible for this story: Tim Barwell at +44-20-7073-3512 or tbarwell@bloomberg.net

FT : Global investors drop Japanese stocks

Global investors ditched Japanese stocks at the fastest pace in four years last week, amid jitters over emerging markets and doubts over the timing of another shot of stimulus from the Bank of Japan.
The BoJ’s aggressive pursuit of its 2 per cent inflation target was the main driver behind record inflows from abroad into Japanese stocks last year, as investors bet that assets would be boosted by the pledge to double base money by the end of 2014.

But on January 22, Haruhiko Kuroda, BoJ governor, said that the consumer price index was expected to level off until the summer, at about 1.25 per cent. That marked a shift from the guidance given in the previous month, when the BoJ said that CPI would likely rise “for the time being,” and was seen by some as a signal that the BoJ would not take a moderation in price rises as a cue to ramp up its easing.
That, combined with rumblings in emerging markets caused by the gradual exit from ultra-easy monetary policy by the US Federal Reserve, prompted some shorter-term fund managers to cut Japan exposures in anticipation of better opportunities elsewhere.
According to data released by the Tokyo Stock Exchange on Thursday, foreign investors dumped a net Y752bn ($7.4bn) of stocks in the last week of January – the highest weekly figure since a Y916bn outflow in June 2010, amid the first phase of the eurozone crisis.
Total outflows so far in 2014 come to $9.6bn, almost four times the volume of the next most-sold Asian nation, South Korea, at $2.5bn.
Even before Mr Kuroda’s January comments, the BoJ’s steady progress towards its price target since the autumn had caused some investors to pare back their expectations for a further round of monetary easing.
“For a while we’ve thought it unlikely that the BoJ will move again until September, when it has had time to examine the impact of the tax hike in April,” said one London-based macro hedge fund manager, who has scaled down his Japanese exposure from a peak of 90 per cent of gross assets last May to about 2 per cent now.
“Over the past few weeks we’ve seen a lot of peers and the brokerage community start to echo that view.”
However, even without another nudge from the BoJ, some analysts stress that the Japanese market should offer macro funds plenty of upside. Nicholas Smith, Japan strategist at CLSA, notes that profit growth at Japanese companies is averaging about 45 per cent, compared with 5 per cent in the US.
“If you’re complaining that the US has been only going up on quantitative, and you’re getting less QE, then logically you’d want to be in Japan – the last bastion of monetary incontinence.”

(BFW) Pimco’s Maisonneuve Says Selloff Is Opportunity to Buy Stocks

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Pimco’s Maisonneuve Says Selloff Is Opportunity to Buy Stocks 2014-02-06 09:25:35.439 GMT

By Alexis Xydias and Francine Lacqua Feb. 6 (Bloomberg) -- Market decline is opportunity to pick “cheap” cyclicals, consumer stocks in emerging markets, says Virginie Maisonneuve, deputy CIO and head of equities at Pimco. * Markets in “transition phase” as policies change, growth slows, Maisonneuve says on Bloomberg TV’s “The Pulse” * Pimco investor sees “beautiful consumer franchises” in developing nations that are “niche” and have sold off * It’s a “stockpicking market, not a beta market,” investors should have a “balanced and anchored portfolio with defensive” companies: Maisonneuve * Banking sector in Europe has “challenges,” industry environment will be “tough” with volatility and subdued growth: Maisonneuve * See: Pimco Hires Schroders’s Maisonneuve to Lead Equity Expansion

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To contact the reporter on this story: Alexis Xydias in London at +33-1-5365-5019 or axydias@bloomberg.net

To contact the editor responsible for this story: Cecile Vannucci at +44-20-3525-7032 or cvannucci1@bloomberg.net

(BFW) Probi Board to Give View of Symrise Mandatory Offer on Feb. 10

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CIS 02/06 07:45 Probi: The Board of Probi evaluates the mandatory public cash offer from Symrise BN 02/06 07:45 *PROBI WILL ANNOUNCE OPINION OF MANDATORY OFFER ON FEB. 10 BN 02/06 07:45 *PROBI WILL ANNOUNCE OPINION OF MANDATORY OFFER BN 02/06 07:45 *PROBI: BOARD OF PROBI EVALUATES MANDATORY PUBLIC CASH OFFER

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Probi Board to Give View of Symrise Mandatory Offer on Feb. 10 2014-02-06 07:53:58.674 GMT

By Gaurav Panchal Feb. 6 (Bloomberg) -- Probi board says will give its opinion on offer, reasons, independent fairness opinion on Feb. 10. * Statement:{NSN N0KDJC3PR6RK <GO>} * Symrise says acceptance period for Probi starts Feb. 13 {NSN N0KCU76S9731 <go>}

Link to Company News:{PROB SS <Equity> CN <GO>}

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To contact the editor responsible for this story: Gaurav Panchal at +44-20-7392-0511 or gpanchal2@bloomberg.net

>>> Husqvarna shareholder believes splitting the company would facilitate profit

Husqvarna shareholder believes splitting the company would facilitate profitability

Husqvarna, the Swedish gardening equipment manufacturer, would benefit from being split into two separate companies, according to Dagens Industri. The Swedish business daily cited Mathias Leijon, asset manager at Nordea Fonder, who said that Husqvarna’s professional operations generate good profits as the clients are happy to pay for quality while the consumer products are more price sensitive volume products. He believed that it will be difficult to create profitability for the Husqvarna’s consumer products within the current company structure but splitting the company in two would help.

The item noted that Nordea Fonder is Husqvarna’s fourth largest shareholder.


Source Dagens Industri