Friday Papers: Spain fears rise after €100bn cash flight

Top stories

• Financial Times: Madrid was dealt a double blow on Thursday after it emerged that almost €100 billion in capital had left the country in the first three months of the year.
• Financial Times: Xstrata has provoked the anger of top shareholders by promising a £30 million windfall to Mick Davis to retain him as chief executive of the FTSE 100 miner.
• The Daily Telegraph: The oligarch co-owners of TNK-BP want to swap their holdings in the joint venture for shares in BP.
• Financial Times: Barclays has cleared more than $1 trillion worth of over-the-counter derivatives arranged with clients globally.
• The Independent: Defence giant BAE Systems is planning to axe more than 600 jobs and close a historic factory at Newcastle-upon-Tyne which made tanks for the First World War.

Business and economics

• Daily Mail: Thomas Cook shares crash as it reveals £328 million loss and bemoans 'adverse publicity'.
• The Independent: Debts of Thomas Cook have gone up by £388 million to £1.39 billion, which compares with shareholder equity of £160 million.
• Financial Times: Moody’s has downgraded nine Danish lenders including the largest, Danske Bank, by two notches as part of the rating agency’s broad review of the European financial sector.
• Financial Times: Google is to start charging companies for listing their products in a core part of its search service, the first time it has converted a free section of its giant online index into a purely commercial venture.
• Financial Times: Morgan Stanley has received “in-principle approval” from the Reserve Bank of India for a banking licence, but declined to comment on the bank’s future plans.
• Financial Times: James Gorman, Morgan Stanley chief executive, dismissed outrage over Facebook’s botched initial public offering, calling investors who had expected immediate gains “naïve” for having “bought it under the wrong pretences”.
• Daily Express: Halfords aims to become 'the motorist’s friend' and to create 1,000 jobs in a drive to revive its flagging fortunes after annual profits fell 27% to £92.2 million.
• The Daily Telegraph: Mario Draghi, the head of the European Central Bank, has hit out at the political paralysis gripping the region as he warned the eurozone's set-up was 'unsustainable'.
• Financial Times: First-quarter growth for the US was revised down from an annualised rate of 2.2% to 1.9% on a day of gloomy data for the world’s largest economy.
• The Guardian: George Osborne should take advantage of record low borrowing costs to unleash a £5 billion package of emergency recession-busting policies, the British Chambers of Commerce has said.
• The Guardian: Advertising and media company WPP is facing defeat on its pay policy after more advisory bodies recommended voting against a 30% rise for chief executive Sir Martin Sorrell.
• Financial Times: Jessica Harper, 50, the former head of fraud and security for digital banking at Lloyds Banking Group, appeared in court Thursday facing charges of allegedly claiming nearly £2.5 million in fake invoices.
• Financial Times: Vladimir Potanin, the biggest shareholder in Norilsk Nickel, said the Russian miner may cancel up to 10% of the company’s stock held via subsidiaries.
• Daily Express: Kingfisher said the wet weather and economic woe reduced group first-quarter sales by 3.6% and profits by 8.6% to £160 million.

Share tips, comment and bids

• Financial Times: Felda Global Ventures, the Malaysian palm oil producer, has detailed plans for an IPO that could raise more than $3 billion, making it the second-biggest issue this year after Facebook.
• The Daily Telegraph: Prudential has agreed to buy Swiss Re's US life insurance business for $621 million in cash.
• The Guardian: Formula One is expected to postpone its planned $10 billion flotation in Singapore.
• Financial Times: Nike, the US sportswear group, said on Thursday that it would divest its Umbro and Cole Haan brands in an effort to focus on its core brand and other faster-growing business lines.
• The Daily Telegraph: One of America’s most notorious activist investors, Nelson Peltz, has become the fifth largest shareholder in InterContinental Hotels Group after buying a 4.27% stake.
• Financial Times: HMV, the UK entertainment retailer, has sold the Hammersmith Apollo to a company partly owned by AEG for £32 million.
• Financial Times: Private equity group TPG and US Airways are in talks over a joint bid for AMR Corp, the parent company of American Airlines.
• Financial Times: The board of Logica has backed a £1.7 billion all-cash takeover by Canada’s CGI Group.
• Financial Times: The founders of Bell Pottinger have agreed to buy out the public relations agency from parent Chime Communications for £19.6 million in cash and shares.
• The Guardian (Comment): Angela Merkel is the leader of the most power country in the Eurozone, but what is she doing with that glove?
• The Daily Telegraph (Comment): Suddenly it's fashionable to believe the eurozone is about to break up. Even six months ago that was thinking the unthinkable. Since when did we swivel-eyed, eurosceptic cranks become trendy?
• The Daily Telegraph (Comment): Facebook's flotation: why the legal grey areas in future IPOs will get bigger.
• Daily Mail (Comment – Alex Brummer): The only way to tackle a collapsing banking system is to use overwhelming force, however costly it may be.
• Financial Times (Lex): Xstrata-spheric pay: there are plenty of talented mining executives to choose from: nobody is indispensable, even in an industry that thinks itself special
• Financial Times (Lex): Oracle and HP: Hewlett-Packard alleges Oracle is contractually obliged to keep updates coming. Each company has trumpeted documents making the other look disingenuous.
• Financial Times (Lex): CGI/Logica: years of bid speculation ended when the Anglo-Dutch IT services group finally secured a marriage offer from Canada’s CGI.
• Financial Times (Lex): IPOs: many offerings have been pulled this year, but New York is doing better than Hong Kong overall.