Below are the key morning press headlines, featuring the The Times, The Telegraph, The Daily Mail & more - see the full Press section here.
The Australian bushfires have hit the production of climate-polluting coal, the world’s biggest mining company said. BHP Group PLC (BHP) said that output of energy coal at its New South Wales operations had been affected and risked being further constrained by the fires, which experts say have been exacerbated by global warming. “Smoke from regional bushfires and dust have reduced air quality at our operations, which has impacted December 2019 production,” it said. Machinery had to be operated more slowly amid reduced visibility and some staff had taken leave to protect their homes or to join volunteer firefighting efforts, the company said. “We are monitoring the situation and if air quality continues to deteriorate, then operations could be constrained further in the second half of the year,” it said. The irony was not lost on commentators as the bushfires intensify calls for the world’s biggest coal exporter, to scale back production. “You can’t make this stuff up!” Terry Serio, an Australian actor, tweeted. - The Times
Bosses at Dixons Carphone (DC.) were left red-faced yesterday after they were forced to issue a correction to its Christmas sales figures. At 7am the owner of Currys PC World and Carphone Warehouse published an upbeat trading statement declaring group revenues had climbed by 2%. Shares rose sharply on the back of the update as booming demand for large televisions, Dyson hairdryers and Shark vacuum cleaners offset a slump in demand for mobile phones. But at 1.40pm, almost seven hours after the initial announcement, Dixons admitted there had been a ‘clerical error’ and sales had in fact fallen 2% in the ten weeks to January 4. It is understood that chief executive Alex Baldock and finance chief Jonny Mason, as well as public relations staff, reviewed the statement before it was published but did not see the error. - The Mail
A strong Christmas trading quarter, helped by the demise of the rival Thomas Cook Airlines, has enabled easyJet (EZJ) to proclaim that this winter will not be as bad as last year’s record worst. However, the budget airline has been put on notice by Sir Stelios Haji-Ioannou, its founder and 34% shareholder, that it needs to do much better and that he may cut up rough again unless annual earnings improve sharply. Total revenues between October and December, the first trading quarter of Easyjet’s financial year, rose by nearly 10% to £1.42 billion on passenger numbers up 2.8% at 22.2 million, demonstrating that the airline has been able to force through profitable fare increases. - The Times
Aviva (AV.) chairman Sir Adrian Montague has quit the insurer and pensions provider a month after it emerged that a boardroom row had erupted over a radical break-up plan. Senior City sources told The Telegraph last month that some top directors were left frustrated after radical plans for the FTSE 100 insurer to split itself in two were rejected by the board, who chose to keep the company intact. It is not clear if Sir Adrian, who has been chairman for almost five years, ever supported the break-up plan. At an investor day in November he told shareholders he agreed with the current strategy. One person close to the company said he had “old fashioned, boardroom values and is a man of his word; he said he’ll do five years and that’s what he’s done”. - The Telegraph
TalkTalk Telecom Group (TALK) has agreed the delayed sale of its fledgling fibre broadband infrastructure business for £200 million to a rival backed by Goldman Sachs. The telecoms company also has agreed a long-term wholesale agreement with CityFibre Infrastructure Holdings (CITY) , the buyer, to access its emerging full-fibre network. The sale of Talktalk’s Fibre Nation venture was expected last year, but it was postponed after Labour’s general election pledges to nationalise Openreach, BT’s broadband infrastructure division, and to provide “free” full-fibre broadband. - The Times
Sainsbury (J) (SBRY) is poised to axe hundreds of managers in a cost-cutting drive at the supermarket chain. The grocer said the redundances will bring Argos and Sainsbury’s closer together, following its botched £10bn merger with smaller rival Asda last year. Sainsbury’s gobbled up Argos in a £1.4bn deal in 2017. Chief executive Mike Coupe, who is rumored to step down this summer, wrote to staff on Tuesday. He said: “We have to adapt to continue to meet the needs of our customers now and in the future and, while change can be hard, it’s also necessary. “We have a clear purpose and a strong and compelling set of priorities that will support us to deliver for our customers.” - The Telegraph
Bluerock Diamonds (BRD) sparkled after it booked revenue of £4.1million last year, up 190%. In the second half of 2019, the miner also turned a profit for the first time, it said in a trading statement. The success was based on the sale of 12,675 carats from the Kareevlei mine in South Africa, which more than doubled the output of the previous year. Grades and price per carat also improved. - The Mail