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Share buyback is a terrible advert for Glencore's abilities

As the mining company searches for ways to reduce its net debt by about £10bn, last year’s £1bn buyback looks badly timed

The curse of the share buyback has struck again. Glencore has become the latest company to spend hundreds of millions of pounds buying back its own shares only to find that it really could have done with the cash after all.

Ivan Glasenberg, the mining giant’s chief executive, launched a $1bn (£654m) buyback last year, claiming he wanted Glencore to avoid having a “lazy” balance sheet. Well, he certainly made sure he has plenty of work to do.

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Source: The Guardian Circular Economy RSS

Chinese stock markets dive after record $94bn fall in central bank reserves

Markets resume rollercoaster ride on news that authorities more than doubled the funds it used to support the yuan during August to $93.9bn

Chinese stock markets tumbled again on Monday as it emerged that the Beijing authorities spent nearly $100bn last month propping up the yuan.

The $94bn (£61bn) fall in central bank reserves was the biggest on record, although in percentage terms it was the biggest for three years.

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Source: The Guardian Circular Economy RSS

Sainsbury's and L&G head campaign to simplify boardroom pay

The two chairmen will sit on a panel set up by the Investment Association with the aim of stopping damage created by complex pay structures

The chairman of Sainsbury’s and the boss of the insurer Legal & General are to lead a campaign to simplify boardroom pay.

David Tyler, chair of the supermarket group, and Nigel Wilson, who runs L&G, are members of a panel being created by the Investment Association, whose members control about a fifth of all companies listed on the stock exchange.

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Source: The Guardian Circular Economy RSS

Sports Direct's board under pressure as City investors lose faith

Royal London Asset Management will vote against re-election of retailer’s executive deputy chairman Mike Ashley and its non-executive directors

A City investment firm is to vote against the re-election of Sports Direct’s non-executive directors and executive deputy chairman, Mike Ashley, at the retailer’s annual shareholder meeting on Wednesday.

Ashley Hamilton Claxton, corporate governance manager at Royal London Asset Management (RLAM), which owns about £8.3m of Sports Direct shares, said: “We have lost confidence in the board and are very concerned about the long list of corporate governance failings that have not been addressed.”

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Source: The Guardian Circular Economy RSS

British cherry harvest hits 30-year high

Smaller trees whose fruit is easier to pick, grown in polytunnels with a consistent Mediterranean-style climate are the secret

British cherry farmers are poised to celebrate their biggest annual harvest for more than 30 years after improved growing methods boosted quality and extended the season.

Related: Why fruit and vegetables have become their own brand

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Source: The Guardian Circular Economy RSS

Glencore's former Rich boy rues multibillion-pound loss

Ivan Glasenberg’s current troubles at the mining and commodity trader contrast with how smoothly he climbed the ladder before flotation

If shareholders ever complain about the pain they have endured holding Glencore shares since the group’s 2011 flotation, chief executive Ivan Glasenberg has a reply to shut them up: he has suffered far more.

The 58-year-old South African has lost about £4.4bn on the value of his stake since floating the business, with his current holding worth about £1.5bn.

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Source: The Guardian Circular Economy RSS

Glencore CEO to shell out $210m during restructuring drive

Commodities trading firm hit by both falling Chinese demand and prices to buy back shares and reduce debt

Ivan Glasenberg, the billionaire chief executive of Glencore, is to put up some $210m (£140m) of his own cash as part of a humiliating $10bn programme of fundraising and cuts designed to prepare the company for a “doomsday scenario”.

The huge initiative – which will still leave the commodity trading and mining empire with a debt mountain of some $20bn – comes only weeks after the company’s management insisted they were comfortable with the group’s financial position..

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Source: The Guardian Circular Economy RSS

Business live: Chinese stock market falls 2.5% despite claim the worst is 'almost over'

Rolling coverage of the latest events across the world economy and the financial markets

5.28pm BST

With two weeks left before snap elections in Greece, parties have submitted requests to participate in the poll. Our correspondent Helena Smith reports from Athens:

It’s official: Athens’ Supreme Court has this afternoon received submissions from 19 parties – and five coalitions – to take part in fresh elections on September 20.

5.15pm BST

Mining company Glencore has held onto its share price gains right to the close on London markets. Investors liked its plans for a shake-up to slash its debts and mitigate the effects of falling commodity prices and the shares closed up 7% at 131.8p. That followed an all-time low for the shares in the previous session on Friday.

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Source: The Guardian Circular Economy RSS

Tesco to reduce net debt by as much as £3.35bn after Homeplus sale

Moody’s says sale of Korean business is step in right direction but is not enough for credit rating agency to upgrade retailer from junk status

Tesco is to pay off some of its multibillion-pound debts and could buy back the leases on some stores after securing £4bn from the sale of its Korean business, Homeplus.

The supermarket said it could reduce net debt, which stood at £8.5bn in April, by as much as £3.35bn with the proceeds of the sale of Homeplus to a consortium led by MBK Partners, Korea’s largest private equity firm.

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Source: The Guardian Circular Economy RSS