Thursday newspaper round-up: Ukraine, BP, Reckitt Benckiser

17th Apr 2014 06:38

In a clash overnight with Ukrainian authorities, three pro-Russian protesters were killed and 13 wounded. The incident took place at a military installation in the southeastern city of Mariupol. It marked the bloodiest day yet since Kiev began its anti-terrorist operations to drive out the pro-Russian militants who had seized control of 10 cities in the east of the country, The Wall Street Journal Europe reports. Warnings from corporate lobbyists against tough sanctions on Russia are cracking Europe's resolve to impose them. Companies, with BP at the forefront, are worried that any retaliation from the Kremlin could cost them dearly; hence the sustained pressure on ministers. City lobbyists are telling them that Russian investment into London's financial services might be at risk, The Financial Times says. Consumer goods giant Reckitt Benckiser is studying the possibility of a separate stock market listing for its pharmaceuticals business, the company said as it reported in-line first-quarter results. That follows a strategic review of its businesses as it is at odds with the rest of its core brands. "A capital markets solution is emerging as a strong option," the company said, according to The Daily Telegraph. The UK economic recovery is gathering pace, as evidenced by the latest employment report. For one, the unemployment rate fell sharply, to below the 7% threshold which the Bank of England had previously set and growth in wages managed to slightly outpace rising inflation. That sent sterling up towards a four-year high against the US dollar, The Times says. Come 2030 the average fare for a return flight could increase by as much as £320 if a third runway is not built at Heathrow airport, as demand will outstrip supply. Frontier Economics claims in an independent report that political inaction is already a factor pushing prices higher. In fact, passengers are already paying £95 more per return flight than if a third airstrip already existed, according to The Times. Six years after the financial crisis Bank of America showed that banks Stateside are still paying a hefty price for mistakes made during the past financial crisis. Thus, a huge $6bn legal bill largely wiped out its profits in the last reporting period. That was the lender's first quarterly loss in nearly three years. Markets, which were taken by surprise, duly sent the shares lower, writes The Times. AB