The immediate future of Flybe Group (FLYB) was secured on Tuesday night after ministers agreed a rescue deal with shareholders to keep Europe’s largest regional carrier flying. The package of measures includes a potential loan in the region of £100m and/or a possible short-term deferral of a £106m air passenger duty (APD) bill, plus a pledge to review taxes on domestic flights before the March budget. After the spectre was raised of another UK airline failure, Flybe’s owners Connect Airways – a consortium led by Virgin Atlantic – were persuaded to commit millions more to cover ongoing losses. The government is still in negotiations to finalise any loan to Flybe, and although Treasury sources denied reports that it had agreed to defer outstanding APD, it is understood that HMRC could allow the airline a short-term extension to settle its debt.
The stock market value of the online fashion firm Boohoo.com (BOO) has overtaken Marks & Spencer thanks to strong Christmas sales, while Marks & Spencer Group (MKS) was warned it faces a possible downgrade in its investment rating to junk status. Sales at Boohoo jumped 44% in the weeks before 25 December, while M&S suffered fresh setbacks. Last week the high street stalwart revealed it had bought too many tight-fitting jeans and chinos. Boohoo’s shares climbed 5% to 334p on Tuesday. The stock has risen more than 70% over the past year, boosting the Aim-listed company’s market worth to £3.9bn. The update came as Moody’s credit ratings agency said it was considering cutting M&S’s investment rating to junk, sending its shares down 2% to 185p and pulling its market capitalisation at £3.6bn.
Games Workshop Group (GAW) is hoping to replicate the success of hit fantasy TV shows such as The Witcher with a new series based on its Warhammer 40,000 tabletop game. As the high-street fantasy-figure seller’s shares hit an all-time high, the company said a series based on the Eisenhorn books, set in the game’s dystopian universe, was in development. The novels follow the adventures of the Imperial Inquisitor Gregor Eisenhorn as he scours the galaxy for heretics and demons. The Games Workshop chief executive, Kevin Rountree, said work on the show was progressing well as the company reported record half-year sales and profits. “No production contracts have been signed yet,” he said. “Our experts continue to work with our external partners learning how this industry works to ensure, if it does go into production, our first TV show is not only true to our IP but is a commercial success too.”
