New Twitter CEO flaps with one wing behind back

October 5, 2015

Co-founder Jack Dorsey is now the micro-blogging site’s permanent boss. But he also leads payments service Square, which is considering an IPO later this year. Perhaps he can succeed at these two very demanding jobs. Twitter, though, has saddled its investors with a risky gamble.

Overseas investors fire warning at China Inc

October 5, 2015

Hong Kong shareholders rejected China Merchants Bank’s employee share scheme after the lender gave them too little information. It’s a small sign big investors are turning less tolerant of shoddy governance. Chinese companies used to silent acquiescence may be in for a surprise.

VW bungles restart with new CEO from old guard

September 25, 2015

Volkswagen lifer Matthias Mueller will be the stricken carmaker’s next boss. He has what it takes to fix operational woes. But as an internal appointment he is an imperfect investigator of past wrongdoing. Herbert Diess, poached recently from BMW, would have been a better choice.

Economics in action: VW crashes into regulation

By Edward Hadas
September 25, 2015

The German carmaker crossed the sometimes fine line between permitted arbitrage of regulation and cheating. Volkswagen got it wrong, but successful economies mostly get it right. Although regulators can be annoying, industrial prosperity depends on them.

Credible VW cleanup calls for external chairman

September 24, 2015

After replacing its chief executive, the German carmaker should look for a new chair. Picking long-term CFO Hans Dieter Poetsch was questionable even before the emissions cheating was uncovered. It’s now untenable - VW’s restart needs to be driven by an independent outsider.

VW could use bank-style clawback of CEO pay

September 23, 2015

Martin Winterkorn’s resignation clears the way for sweeping changes at the sprawling carmaker after its costly emissions scandal. He was one of Germany’s best-paid bosses. Revamping compensation, and even trying to recoup some of the CEO’s cash, would send a strong message.

VW needs more than just a new CEO

September 23, 2015

Martin Winterkorn should go, having presided over an emissions-cheating scandal that wiped a third off the German carmaker’s market value in two days. But VW’s over-complex structure and poor corporate governance look like culprits too. It is time for some urgent retooling.

Paying Redstone a premium could clear CBS discount

September 22, 2015

If the 92-year-old mogul doesn’t live forever as planned, his empire will be controlled by a trust. Either way, ending the dual-class share structure could lift the value of CBS by 20 pct, according to a Breakingviews calculator. The price of doing so would be more than worth it.

Freeport-McMoRan leaves Carl Icahn lots of targets

August 28, 2015

Big cuts in spending and staff sent the struggling miner’s stock soaring – just before the activist revealed an 8.5 pct stake. The pre-emptive strike won’t be enough to satisfy the feisty billionaire. High debt and low commodity prices suggest he has asset sales in his crosshairs.

SoftBank’s hired gun takes high road to ownership

August 20, 2015

Nikesh Arora will invest $483 million in the Japanese tech group, cementing his place as successor to founder Masayoshi Son. It’s a refreshing change from the complex awards handed out by many U.S. companies. It should also help the ex-Googler push through more bold investments.