What the Sunday papers say - July 22

Sunday Business​​

Wolverhampton & Dudley Breweries is planning a two-pronged improvement to its defence strategy against Pubmaster. It will bring forward part of its planned return of cash to shareholders. It had announced its intention to launch a £200m share buyback in two years' time, but analysts expect tomorrow's (July 23) final defence document to say it will launch a £100m tender offer in six months, which will allow private shareholders to benefit rather than just institutional investors. Analysts expect that the buyback would be done "fairly quickly" and would be funded through a combination of asset sales and cashback. Pubmaster claimed that W&DB would have to borrow money to finance a buyback. More on Wolverhampton & Dudley Breweries from thePublican.com

The European Commission is investigating suspected anti-competitive behaviour and abuse of a dominant market position by Sky. It is focusing on agreements signed between Sky, the Discovery Channel and Disney before the launch of Sky Digital in 1998. These agreements prevent Discovery or Disney offering their channels to Sky's rival digital terrestrial channel, ITV Digital.

Business is paying £4.8bn a year to implement new employment regulations, figures released by the government reveal for the first time. The Department of Trade & Industry said the cost of red tape included recurring administration costs of £29m and one-off administration costs of £45m. The remainder has gone on workers in the form of more holidays or higher pay.

The United Steelworkers of America union and a rights group are suing Coca-Cola, claiming workers at bottling plants in Colombia are intimidated, kidnapped and even killed.

The Sunday Telegraph​​

Wolverhampton & Dudley Breweries has been dealt a severe blow by the defection of Patrick Dardis, its director of retail operations. He resigned suddenly last week and is understood to have been poached by a internet-based leisure business, which supplies the brewing industry. Dardis was central to W&DB's planned £80m roll-out of its Bostin Local pub brand, which had been presented as a key part of its defence against the hostile bid from Pubmaster. W&DB believes it has sufficient experience within the company to cover for Dardis' absence. More on Wolverhampton & Dudley Breweries from thePublican.com

Nader Haghighi is to break up the Parisa group of bars and off-licences by acquiring the Parisa cafe-bar chain in a management buyout for up to £30m in a deal backed by Royal Bank Private Equity. The chain of 24 high street bars will be separated from Parisa, which will still own a chain of off-licences and convenience stores. Parisa Group's backers, CVC Capital Partners and Bridgepoint Capital, are likely to sell on the off-licences later in the year, possibly to Nomura, which already owns Thresher and Victoria Wine. More on Parisa Group from thePublican.com

A proposal by culture minister Kim Howells to allow pubs and bars to open for 36 hours between 11am on New Year's Eve until 11pm on New Year's Day has been condemned by police officers and doctors. Members of the emergency services say it will lead to a steep rise in alcohol-related incidents on what is already their busiest night of the year, and the Police Federation said there would be a rise in crimes and accidents. Dr Guy Ratcliffe, executive director of the charity Medical Council on Alcohol, which represents the medical profession on alcohol matters, called for the Government to rethink its plan. Alcohol Concern said there would be a rise in drink-drive incidents unless there was better public transport. Ann Widdecombe, the shadow home secretary, said she was alarmed by the plan. Last week, Mr Howells was condemned for accusing British hoteliers of paying slave wages and ripping off their customers. More on opening hours for New Year's Eve from thePublican.com

Regent Inns is rumoured to be the front runner to buy Pitcher & Piano, but the £70m to £75m price tag is seen as expensive by many observers. To pay, Regent may well have to resort to raising debt as well as a rights issue. Some investors would prefer it to stick to growing its existing concepts, Walkabout Inns and Jongleurs comedy clubs. The shares have fallen rapidly this month and are now at 145p, but the risk of Regent overpaying for Pitcher & Piano is high and the shares could suffer more. Investors are recommended to follow the market sentiment and sell their shares. More on Regent Inns from thePublican.com

The Sunday Times​​

Wolverhampton & Dudley will publish a robust defence document tomorrow (July 23) and detail how it will return £200m to investors over the next two years via a share buyback. There is also likely to be a bullish update on current trading and the disposal programme, which will put pressure on Pubmaster to raise its offer from 480p. Some analysts believe the bid will now have to top 520p. More on Wolverhampton & Dudley Breweries from thePublican.com

Britain's economy is set for weak growth both this year and next, according to the latest Ernst & Young Item Club forecast, using the Treasury's economic model, to be published tomorrow (July 23). Its gloomy assessment is supported by the latest Sunday Times​/Mandis agony index, which shows a sharp rise in companies in trouble last month, and by an Institute of Directors survey suggesting a further slowdown ahead.

Britvic, which is thought to be worth up to £600m, could be split in two by its owners and sold off separately. It was put for sale by Bass, Allied Domecq, Whitbread and PepsiCo. AG Barr has reportedly expressed an interest and several private equity buyers have also entered the bidding.

The Observer​​

The foot and mouth epidemic cost the economy £10bn and is primed to reignite, according to the RSPCA. It claims that rates of infection could return to epidemic levels this autumn as the disease spreads like wildfire through the country because of the Government's mismanagement of the crisis.

The UK stands on the brink of a full-scale recession, with the prospect of widespread redundancies in the coming months as economic growth slips to its lowest level since the early Nineties. Unless there is an urgent correction in the value of sterling, recession in the manufacturing sector will quickly spread to the wider economy, according to economists at the respected Ernst & Young Item Club.

Scotland on Sunday​​

Comedians performing at this year's Edinburgh Festival Fringe are being urged to boycott the prestigious Perrier Awards because the brand is owned by Nestle. The Swiss company has been criticised for giving free powdered baby milk to mothers in developing countries in violation of World Health Organisation regulations. Comic Rob Newman, the former comedy partner of David Baddiel, is leading calls for a boycott of the Perrier Awards. Baby Milk Action, the UK arm of the International Baby Food Action Network, has asked comedians at the Fringe not to enter the Perrier-sponsored competition in protest.

The Mail on Sunday​​

Mid-market restaurant chains are suffering a decline in trade because of the downturn in tourism and wage cutbacks in the financial sector. This has hit the Conran Group, Group Chez Gerard, Harvey Nichols Group and Hartford Group.

Barring major developments, the battle for Wolverhampton & Dudley Breweries (W&DB) could be over by mid-August. Tomorrow (July 23) is the last day that W&DB can publish additional information defending itself against the hostile bid from Pubmaster. More on Wolverhampton & Dudley Breweries from thePublican.com

Luminar stands out as an operator of clubs and late-night bars with a track record of su