Xstrata approached Anglo with merger plan: report

LONDON (Reuters) - Mining group Xstrata (XTA.L) has approached its rival Anglo American (AAL.L) to propose a 41 billion pound ($67.07 billion) merger, the Sunday Telegraph reported.
The newspaper said Xstrata's Chief Executive Mick Davis was understood to have written to the board of Anglo last week to propose opening discussions about a deal. It was not clear whether Anglo had made a formal response, it said.
A spokeswoman for Xstrata declined to comment on the report and no one at Anglo American could immediately be reached for comment.
The report said Anglo was being advised by Goldman Sachs and UBS while Deutsche Bank and JP Morgan Cazenove were advising Xstrata.
The report said Xstrata had not yet outlined the terms of any deal, but said that commodities group Glencore, its 35 percent shareholder, was understood to have been made aware of the approach to Anglo and was thought to be supportive of a deal.
The Sunday Times newspaper, which also reported the story, said Xstrata's Davis had made the move after pressure from Black Rock and Capital Group, two other big shareholders.
Reuters reported last week that Xstrata was still keen for a marriage with Anglo but that it should be braced for another cold shoulder in spite of vocal match-making by some investors.
Xstrata has regarded Anglo as an attractive partner for several years and talk about such a combination has resurfaced in the wake of a recent iron ore deal between bigger rivals BHP Billiton (BLT.L) and Rio Tinto (RIO.L).
But the options are limited for Xstrata since a hostile takeover, while not impossible, would run the risk of opposition from the South African government, a major Anglo shareholder.
(Reporting by Kate Holton; Editing by Rupert Winchester)

Source: Reuters

Steve Jobs received liver transplant: report

By Gabriel Madway
SAN FRANCISCO (Reuters) - Apple Chief Executive Steve Jobs underwent a liver transplant operation about two months ago and is expected to return to work by the end of June, The Wall Street Journal reported on Saturday.
Jobs, a pancreatic cancer survivor seen as the driving force behind development of the iPod, iPhone and other category-defining products from Apple's famed innovation machine, went on medical leave in January for an undisclosed condition.
A spokesman for Apple Inc would not confirm the Journal report but said, "Steve continues to look forward to returning to Apple at the end of June and there is nothing further to say."
While investors may react negatively to the news on Monday, when stock markets re-open, analysts say Wall Street is broadly prepared for Jobs' shift to a role that sees him focusing on big pictures ideas and products at Apple.
Chief Operating Officer Tim Cook has been managing the company on a day-to-day basis in Jobs' absence, and is expected to continue to do so if Jobs does not return to the role full-time, analysts say.
The Journal, citing an unnamed source, said the 54-year-old Jobs may return to work part-time at first, with Cook taking on "a more encompassing role."
"The situation seems a lot more complex than it originally appeared," said Collins Stewart analyst Ashok Kumar. "Investors tend to react negatively to uncertainty, especially when it concerns an individual who's had a larger-than-life impact."
Others said investors were aware of the risk surrounding Jobs and that it had been factored into Apple's share price.
The technology firm's stock fell after Jobs went on medical leave but is up around 60 percent this year, thanks to continued strong sales and new products, including the latest iPhone 3GS, which debuted on Friday.
Erick Maronak, chief investment officer for the Victory Large Cap Growth Fund, which owns Apple shares, said investors are less concerned than in the past because other executives had stepped to the forefront in Jobs' absence.
"I think people are beginning to focus on core operations ... I don't think he's as important in terms of near-term volatility," Maronak said.
DISCLOSURE
Apple has been dogged for months by rumors about Jobs' health. In 2004, he was treated for a rare type of pancreatic cancer called an islet-cell, or neuroendocrine, tumor. These tumors usually grow slowly and are far less deadly than other types of pancreatic tumors.
Jobs' gaunt appearance at an Apple event in the summer of 2008 touched off speculation about his health, which was fueled by the crush of Apple blogs and fans that follow his every move.
In January, Jobs said his weight loss was due to a hormone imbalance and he would continue as CEO while being treated. Nine days later, he announced his medical leave, saying his health issues were "more complex" than previously thought. Continued...
Source: Reuters

Hollywood studio Paramount axes top executives

LOS ANGELES (Reuters) - Hollywood studio Paramount Pictures, which suffered the first big bomb of the summer last weekend with an Eddie Murphy comedy, has fired its top production executive after barely 18 months in the job.
The Viacom Inc-owned studio said on Friday it would replace Paramount Film Group president John Lesher with former DreamWorks production chief Adam Goodman. Also out is production president Brad Weston.
Paramount, which is struggling to regain its momentum after a lengthy reliance on co-productions led to a major shakeup four years ago, did not cite a reason for the latest personnel shift in its statement.
The studio has the top film of the year so far in North America with "Star Trek," but its slate has otherwise been boosted by films from partners such as DreamWorks Animation ("Monsters vs. Aliens"). The unrelated DreamWorks Pictures has also been a major supplier, but it quit Paramount last year, leaving Goodman behind at Paramount.
Murphy's "Imagine That," which Paramount said cost $55 million to make, has earned $9.2 million after eight days.
Paramount will likely top the worldwide box office next weekend with "Transformers: Revenge of the Fallen," although the sequel is a legacy of its DreamWorks partnership.
Goodman becomes the third executive to oversee all of Paramount's film production since studio chairman and CEO Brad Grey arrived at the studio in January 2005 with a mandate to produce more films in-house. Lesher, who had been closely involved with such Oscar-winning arthouse fare as "Babel" and "There Will Be Blood," took over as head of the film group in early 2008.
(Reporting by Dean Goodman; Editing by Jackie Frank)

Source: Reuters