(RIO.L) Rio Tinto PLC Buy/Sell

YAOUNDE, Nov 21 (Reuters) - Rio Tinto's aluminium operation in Cameroon has secured a 30-year power supply contract with the government but electricity costs have doubled and output from a smelter will fall due to cuts in power consumption, Rio said.
Rio Tinto Alcan is a partner with Cameroon's government in Alucam, a bauxite mining and aluminium smelting operation that had already slashed output by nearly 40 percent from its 90,000 tonne capacity in 2009 due to power shortages.
"The new contract will last 30 years and Alucam will now pay 12.94 CFA francs ($0.029) per kilowatt of electricity, up from about 6 CFA francs for the previous one," Cameroon's Finance Minister Lazarre Essimi Meny said late on Friday.
"On paper, the price increase seems to be too much, but in reality it is just within international norms," he added.
Menye said state power firm AES-SONEL will raise power supply to Alucam to 250 MW in 2012 when the Kribi gas-fired power plant goes operational and to 490 MW in 2013, when other power plants come on line.
However, in the meantime, Alucam has agreed to slash its electricity consumption from current levels around 140-120 MW so Cameroon can avoid power cuts and satisfy electricity demand, which is growing at eight percent per annum.
"Going by the present arrangement, we'll further reduce our electricity consumption to about 100 MW in 2010 and 2011," Alucam spokesman Arnold Mouangue said.
"(This) means our output, which already dropped to 63 percent in 2009 will fall again to around 50 percent during the two years," he added.
Alucam and the government agreed in 2005 to increase capacity at Alucam's Edea smelter to 300,000 tonnes from current levels around 90,000 tonnes but the project has been delayed due to the global crisis and chronic power problems in Cameroon.
Alucam had a turn-over of 149 billion CFA francs in 2008. It contributes 7 percent of Cameroon's industrial output, 5 percent of export revenues, and generates 3 percent of the gross domestic product.

($1=441.5 Cfa Franc)

(Reporting by Tansa Musa; Editing by David Lewis) Keywords: CAMEROON RIO/ (Dakar Newsroom +221 33 8645076)

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Financial Times

BANK URGES RESTRAINT IN BOOM TIMES

The Bank of England's consultation paper into the financial crisis will conclude that new discretionary tools should be considered to help smooth the peaks and troughs of the economic cycle, even if they were only introduced in Britain. The bank's report will call for stronger measures than those in the Treasury's Financial Services Bill including the creation of "macroprudential" powers to be used as an effective way of dampening future credit booms. The main tool would be raising the capital required to be held by banks in good times, with less tight capital requirements during downturns.

ASB CALLS FOR GOVERNMENT BOND PENSIONS BENCHMARK

Britain's leading accountancy group, the Accounting Standards Board, has called for company pension liabilities to be discounted by an interest rate equal to that on risk-free government bonds. UK and international accounting standards currently call for pension liabilities to be discounted at a rate consistent with either high-quality or AA-rated corporate bonds. National Association of Pension Funds chief executive Joanne Segars described the ASB proposals as"extremely disappointing". The International Accounting Standards Board is thought unlikely to consider the proposals for several years.

PRIVATE BANKS SEEK HOME LOAN CASH DEPOSITS

Leading UK private banks are demanding upfront cash deposits from buyers seeking mortgages in excess of one million pounds as extra security against uncertain bonus income. Brokers say some private banks now require a year's worth of mortgage interest payments in advance and that this money is ring-fenced with clients unable to draw on this money until the end of the lending facility or until conditions improve. Nigel Bedford of largemortgageloans.com said: "Banks are using this to give them a little more comfort that there is money there just in case bonuses dramatically reduce."

OPPOSITION THREATENS TO BLOCK DIGITAL REFORM BILL

The Conservative and Liberal Democrat parties have threatened to block the digital economy bill unless the government makes concessions. Both opposition parties suggested on Friday that they would demand changes to legislation entered into the bill by Lord Mandelson which would affect copyright law. The Conservative party also warned that that they would oppose the reform if the government kept powers to allow the industry regulator OFCOM to use part of the licence fee to pay for regional news provided by commercial broadcasters.

FULLERS HIGHLIGHTS SECTOR SPLIT

Fullers Smith & Turner reported an 18 percent increase in pre-tax profit to 14.1 million pounds for the six months to September 26, on revenue that increased from 106 million pounds to 117 million pounds. The pub group's figures highlighted a growing divide in the sector between successfully managed operators and struggling leased and tenanted ones. Mark Brumby, analyst at Astaire Securities, said Fullers fared better than many of its rivals as most of the group's pubs are in London and the southeast. Brumby said: "Food-led managed houses have generally outperformed wet-led tenanted houses and southeast England has been outperforming the north."

L&G SEARCH FOR CHAIRMAN ENDS

Legal & General, the UK's third-largest life and pensions company, hopes to name former National Australia Bank head John Stewart as its new chairman by the end of next week. A source close to the situation said the appointment of Stewart is subject to the approval of the Financial Services Authority and the finalisation of some contractual terms. L&G is thought to be one of the primary targets of Clive Cowdery's Resolution vehicle as it looks to consolidate the insurance sector.

GARTMORE TO CUT DEBT WITH 250 MILLION POUND IPO

Asset manager Gartmore is looking to raise 250 million pounds as it makes its debut on the London Stock Exchange. The group said the proceeds of the capital-raising would be used to reduce its 400 million pound debt. Gartmore is also expected to release another tranche of shares, enabling U.S. private equity group Hellman & Friedman to sell most of its 58 percent stake. The issue is expected to be priced within the next fortnight with the listing to occur in the second or third week of December.

MORTGAGES BEFORE CURRENT ACCOUNTS AT TESCO

Tesco could introduce mortgages by the end of next year as it looks to stake a claim in the UK financial services sector. However, the supermarket group told analysts Friday that current accounts may not be offered until 2011. Tesco said: "We have said that we plan over time to extend the financial services business from a collection of successful financial products to that of a full-service retail bank. We need to build the systems and infrastructure platforms to enable us to provide these services."

RIO TINTO BOLSTERED BY U.S. COAL SALE

Miner Rio Tinto has continued its recapitalisation drive with the 741 million dollar sale of Cloud Peak Energy, a unit that comprises most of Rio's former U.S. coal business. The deal follows the 764 million dollar sale of the Jacobs Ranch mine to Arch Coal in October. Both disposals are part of an attempt to halve net debt by the end of the year from its peak of 39.1 billion dollars on June 30. The initial public offering of Cloud Peak raised 434 million dollars; a further 307 million dollars was raised through its share of a simultaneously placed offering of debt.

NATIONWIDE LASHES OUT AT RESCUED BANKS

Graham Beale, chief executive of Nationwide Building Society , has criticised the aggressive strategies of government-backed banks such as Northern Rock and Lloyds Banking Group as "seriously distorting" the savings market with "uneconomic pricing". Beale singled out National Savings & Investment's current market leading one-year bond which pays 3.95 percent interest saying: "NS&I is way outside the competitive spectrum, way, way off the scale." Nationwide revealed a 64 percent fall in underlying pre-tax profits in the six months to September, citing lower interest rates and tough competition.

Prepared for Reuters by Durrants
Keywords: PRESS DIGEST Financial Times Nov 21

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By Clare Baldwin and Phil Wahba

NEW YORK, Nov 20 (Reuters) - Investors bet on growth in the IPOs of a Chinese hotel chain and an online education company on Friday, but were less enthusiastic about a spin-off of mining giant Rio Tinto.
Rio Tinto's U.S. coal-mining spin-off, Cloud Peak Energy Inc edged down in its debut on the New York Stock Exchange after its initial public offering fell short of expectations on concerns the money raised was going to the Anglo-Australian parent company rather than for its own growth.
By contrast, the shares of both Chinese economy hotel chain 7 Days Group Holdings Ltd and online education company Archipelago Learning rose as much as 15 percent.
The shares in Global Defense Technology & Systems Inc , which drew 74 percent of its 2008 revenue from contracts with the U.S. government, were nearly flat on Nasdaq.
Analysts said the company could suffer if the government cuts defense budgets.
Cloud Peak stock closed down 1.1 percent on Friday, but investors lapped up the shares of 7 Days and Archipelago Learning, with 7 Days closing up 13.6 percent and Archipelago Learning ending the day 13.8 percent higher.
Historically, IPOs have risen about 10 percent to 12 percent in their debuts, according to Thomson Reuters data.

"IPO investors are used to having growth," said Matt Therian, an analyst with Connecticut-based investment firm Renaissance Capital.
"Cloud Peak is really tied up in coal prices. It's kind of a murkier growth outlook for this company."
Gillette, Wyoming-based Cloud Peak raised about $459 million in its IPO on Thursday, but it priced at $15, below its expected range of $16 to $18.
Cloud Peak shares opened at $14.50 on the NYSE, more than 3 percent below the IPO price and fell as much as 6.7 percent before recovering to close down 1.1 percent on Friday.
"The Cloud Peak deal was really a divestiture by Rio Tinto. The cash streams in coal are predictable ... It's not a real sexy industry and it depends very much on energy prices," said Morningnotes.com founder Ben Holmes.
Analysts said 7 Days and Archipelago benefited from strong growth potential.
On 7 Days, Therian said: "They've gone from five hotels in 2005 to almost 300 now."
Therian said private equity-backed on-line education company Archipelago Learning has a significant backlog of business.
Archipelago raised about $103.1 million in its IPO.
Earlier this week, fast-growing network security provider Fortinet Inc, whose sales rose 18.8 percent in the first part of the year, had one of the best debuts of the year, with a 33 percent rise.
Cloud Peak is the third-largest U.S. producer of coal and owns surface mines in Wyoming and Montana. Almost all the proceeds from its IPO will go to Rio Tinto, which will retain a 48.3 percent stake, leading to investor push-back, analysts said.
Cloud Peak was the seventh spin-off this year in a total of 46 IPOs. Typically, IPOs by spin-offs are well received as the companies are better known to investors, who believe the new company can tap into the parent's resources, but Cloud Peak is the fifth carve-out in a row to fall below its IPO price.
This week was one of the busiest for U.S.-listed IPOs this year, as companies rushed to get deals over before the Thanksgiving break. There are currently no IPOs scheduled for pricing.

(Reporting by Clare Baldwin and Phil Wahba; editing by Andre Grenon) Keywords: IPO/DEBUTS (phil.wahba@thomsonreuters.com +1 646 223 6128; Reuters Messaging: phil.wahba.reuters.com@reuters.net)

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By Clare Baldwin and Phil Wahba

NEW YORK, Nov 20 (Reuters) - Investors bet on growth opportunity in the IPOs of a Chinese hotel chain and an online education company on Friday, but saw murkier prospects for a spin-off of mining giant Rio Tinto, sending its shares lower.
Rio Tinto's U.S. coal-mining spin-off Cloud Peak Energy Inc edged down in its debut on the New York Stock Exchange after its initial public offering fell short of expectations on concerns the money raised was going to the Anglo-Australian parent company rather than its own growth.
By contrast, shares in both Chinese economy hotel chain 7 Days Group Holdings Ltd and online education company Archipelago Learning rose 15 percent.
Shares in Global Defense Technology & Systems Inc which drew 74 percent of its 2008 revenue from contracts with the U.S. government, were flat on Nasdaq.
Analysts said the company could suffer if the government cuts defense budgets.
Cloud Peak stock was off 2.7 percent late on Friday afternoon, but investors lapped up shares in 7 Days and Archipelago Learning. 7 Days was up 15 percent while Archipelago Learning was up 15.8 percent.
Historically, IPOs have risen about 10 to 12 percent in their debuts, according to Thomson Reuters data.

"IPO investors are used to having growth," said Matt Therian, an analyst with Connecticut-based investment firm Renaissance Capital.
"Cloud Peak is really tied up in coal prices. It's kind of a murkier growth outlook for this company."
Gillette, Wyoming-based Cloud Peak raised about $459 million in its IPO on Thursday, but it priced at $15, below its expected range of $16 to $18.
Cloud Peak shares opened at $14.50 on the NYSE, more than 3 percent below the IPO price, and fell as much as 6.7 percent before recovering to trade at $14.60 late Friday afternoon.
"The Cloud Peak deal was really a divestiture by Rio Tinto. The cash streams in coal are predictable ... It's not a real sexy industry and it depends very much on energy prices," said Morningnotes.com founder Ben Holmes.
Analysts said 7 Days and Archipelago benefited from strong growth potential.
On 7 Days, Therian said: "They've gone from five hotels in 2005 to almost 300 now."
Therian said private equity-backed on-line education firm Archipelago Learning has a significant backlog of business.
Archipelago raised about $103.1 million in its IPO.
Earlier this week, fast-growing network security provider Fortinet Inc, whose sales rose 18.8 percent in the first part of the year, put in one of the best debuts of the year with a 33 percent rise.
Cloud Peak is the third-largest U.S. producer of coal and owns surface mines in Wyoming and Montana. Almost all the proceeds from its IPO will go to Rio Tinto, which will retain a 48.3 percent stake in Cloud Peak, leading to investor pushback, analysts said.
Cloud Peak was the seventh spin-off this year in a total of 46 IPOs. Typically, IPOs by spin-offs are well received as the companies are better known to investors, who believe the new company can tap into the parent's resources, but Cloud Peak is the fifth carve-out in a row to fall below its IPO price.
This week was one of the busiest weeks for U.S.-listed IPOs this year, as companies rushed to get their deals done before the Thanksgiving break. Currently there are no IPOs scheduled for pricing.
(Reporting by Clare Baldwin and Phil Wahba) Keywords: IPO/DEBUTS Keywords: IPO/DEBUTS

(phil.wahba@thomsonreuters.com; +1 646 223 6128; Reuters Messaging: phil.wahba.reuters.com@reuters.net)

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By Clare Baldwin and Phil Wahba

NEW YORK, Nov 20 (Reuters) - Investors bet on growth opportunity in the IPOs of a Chinese hotel chain and an online education company on Friday, but saw murkier prospects for a spin-off of mining giant Rio Tinto, sending its shares lower.
Rio Tinto's U.S. coal-mining spin-off Cloud Peak Energy Inc edged down in its debut on the New York Stock Exchange after its initial public offering fell short of expectations on concerns the money raised was going to the Anglo-Australian parent company rather than its own growth.
By contrast, shares in both Chinese economy hotel chain 7 Days Group Holdings Ltd and online education company Archipelago Learning rose 15 percent.
Shares in Global Defense Technology & Systems Inc which drew 74 percent of its 2008 revenue from contracts with the U.S. government, were flat on Nasdaq.
Analysts said the company could suffer if the government cuts defense budgets.
Cloud Peak stock was off 2.7 percent late on Friday afternoon, but investors lapped up shares in 7 Days and Archipelago Learning. 7 Days was up 15 percent while Archipelago Learning was up 15.8 percent.
Historically, IPOs have risen about 10 to 12 percent in their debuts, according to Thomson Reuters data.

"IPO investors are used to having growth," said Matt Therian, an analyst with Connecticut-based investment firm Renaissance Capital.
"Cloud Peak is really tied up in coal prices. It's kind of a murkier growth outlook for this company."
Gillette, Wyoming-based Cloud Peak raised about $459 million in its IPO on Thursday, but it priced at $15, below its expected range of $16 to $18.
Cloud Peak shares opened at $14.50 on the NYSE, more than 3 percent below the IPO price, and fell as much as 6.7 percent before recovering to trade at $14.60 late Friday afternoon.
"The Cloud Peak deal was really a divestiture by Rio Tinto. The cash streams in coal are predictable ... It's not a real sexy industry and it depends very much on energy prices," said Morningnotes.com founder Ben Holmes.
Analysts said 7 Days and Archipelago benefited from strong growth potential.
On 7 Days, Therian said: "They've gone from five hotels in 2005 to almost 300 now."
Therian said private equity-backed on-line education firm Archipelago Learning has a significant backlog of business.
Archipelago raised about $103.1 million in its IPO.
Earlier this week, fast-growing network security provider Fortinet Inc, whose sales rose 18.8 percent in the first part of the year, put in one of the best debuts of the year with a 33 percent rise.
Cloud Peak is the third-largest U.S. producer of coal and owns surface mines in Wyoming and Montana. Almost all the proceeds from its IPO will go to Rio Tinto, which will retain a 48.3 percent stake in Cloud Peak, leading to investor pushback, analysts said.
Cloud Peak was the seventh spin-off this year in a total of 46 IPOs. Typically, IPOs by spin-offs are well received as the companies are better known to investors, who believe the new company can tap into the parent's resources, but Cloud Peak is the fifth carve-out in a row to fall below its IPO price.
This week was one of the busiest weeks for U.S.-listed IPOs this year, as companies rushed to get their deals done before the Thanksgiving break. Currently there are no IPOs scheduled for pricing.

(Reporting by Clare Baldwin and Phil Wahba) Keywords: IPO/DEBUTS (phil.wahba@thomsonreuters.com; +1 646 223 6128; Reuters Messaging: phil.wahba.reuters.com@reuters.net)

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By Clare Baldwin and Phil Wahba

NEW YORK, Nov 20 (Reuters) - Investors bet on growth on Friday, bumping up shares in two newly listed companies with strong trajectories while remaining neutral or down on two others whose prospects are murkier.
Mining giant Rio Tinto's spin-off Cloud Peak Energy Inc edged down in its debut on the New York Stock Exchange on Friday after its initial public offering fell short of expectations on concerns that the money raised in the IPO was going to its parent company rather than its own growth.
Shares in Global Defense Technology & Systems Inc which drew 74 percent of its 2008 revenue from contracts with the U.S. Department of Defense, rose slightly in early trades on the Nasdaq.
Analysts said the company could suffer if the government cuts defense budgets.
By contrast, shares in Chinese economy hotel chain 7 Days Group Holdings Ltd and on-line education company Archipelago Learning rose by double digit percentage points.

"IPO investors are used to having growth," said Matt Therian, an analyst with Connecticut-based investment firm Renaissance Capital.
"Cloud Peak is really tied up in coal prices. It's kind of a murkier growth outlook for this company."
Gillette, Wyoming-based Cloud Peak raised about $459 million in its IPO on Thursday, but it priced below expectations.
The U.S. coal miner's shares opened at $14.50 on the New York Stock Exchange, more than 3 percent below the IPO price and fell as much as 6.7 percent.
Cloud Peak recovered and was at $14.70 on the New York Stock Exchange, down 2 percent.
"The Cloud Peak deal was really a divestiture by Rio Tinto. The cash streams in coal are predicable ... It's not a real sexy industry and it depends very much on energy prices," said Morningnotes.com founder Ben Holmes.
But investors lapped up shares in 7 Days and Archipelago Learning. 7 Days rose 15.2 percent while Archipelago Learning was up 14.2 percent.
Analysts said 7 Days and Archipelago benefited from strong growth potential.
"I think investors are bullish on where this market is going," said Therian. "They've gone from five hotels in 2005 to almost 300 now."
Therian said private equity-backed on-line education firm Archipelago Learning has a significant backlog of business.
Archipelago raised about $103.1 million in its IPO.
Cloud Peak is the third-largest U.S. producer of coal and owns surface mines in Wyoming and Montana but almost all of the proceeds from the Cloud Peak IPO will go to Anglo-Australian miner Rio Tinto, which will retain a 48.3 percent stake in Cloud Peak, leading to investor pushback, analysts said.
(Reporting by Phil Wahba and Clare Baldwin) Keywords: IPO/DEBUTS

(phil.wahba@thomsonreuters.com ; +1 646 223 6128; Reuters Messaging: phil.wahba.reuters.com@reuters.net)

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By Joe Rauch

CHARLOTTE, N.C., Nov 20 (Reuters) - Bank of America Corp's chief executive, scheduled to retire at year-end, could gain enough support from shareholders to keep his job, a veteran analyst said on Friday.
Richard Bove of Rochdale Securities said it appeared that the bank's management and owners -- not including the U.S. government -- want Lewis back as CEO.
"He knows this company better than anyone else and he knows how to operate it ... Convincing him to return would be the biggest morale builder that management could get," the Rochdale Securities' analyst said in his client note.
"The attack on Lewis comes from politicians and bureaucrats who have amply demonstrated their lack of knowledge of the company and the banking business," he wrote in his second recent note arguing for the CEO to stay.
Lewis announced his retirement in September, as criticism of the bank's purchase of Merrill Lynch & Co grew. He sat at the center of legal probes into disclosures about bonus payments and losses tied to the deal.
The search for Lewis' replacement, now in its second month, has become a favorite topic of speculation on Wall Street, particularly as several high profile executives have turned down what would typically be a coveted position.
Some shareholders, however, believe the company's best course is to continue its search for Lewis' successor.
"I'm a Ken Lewis fan, but its in the best interest of the company to find a new executive and move forward," said Walter Todd, co-chief investment officer at Greenwood Capital Associates LLC, which owns Bank of America shares. Todd said Lewis retaking the job would be messy for the bank.
"Its tough to go back down that road, and, I think, would be a step back for the company," he said.
Another investor, Mendon Capital Advisors Corp President Anton Schutz, said a return to Lewis would merely forestall the key issues surrounding the CEO search: How will the company repay its $45 billion in government bailout aid and what's the long-term strategy?
"Right, now, everyone's sitting around and waiting, but we need to know who's going to run the company before we'll get any clarity on those issues," he said.
Rochdale's Bove said while the government is looking to split the company up in a similar manner to Citigroup Inc , representatives of the management and shareholders on the board oppose such a plan.
"This difference of opinion weakened the possibility of an insider to being selected to be the next CEO," Bove said.

(Reporting by Brenton Cordeiro in Bangalore and Joe Rauch in Charlotte; Editing by Gopakumar Warrier and Derek Caney) Keywords: BANKOFAMERICA/RESEARCH BOVE (brenton.cordeiro@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: brenton.cordeiro.thomsonreuters.com@reuters.net)

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LONDON, Nov 20 (Reuters) - Rio Tinto PLC:

RNS Number : 8752C Rio Tinto PLC 20 November 2009

Rio Tinto to receive total proceeds of at least US$741 million in connection with Cloud Peak Energy Inc's initial public offering

20 November 2009

Rio Tinto will receive total proceeds of at least US$741 million in connection with Cloud Peak Energy Inc's initial public offering and related transactions. This includes proceeds of at least US$434 million from the sale of part of Rio Tinto's interest in Cloud Peak Energy Resources LLC (CPER) in connection with Cloud Peak Energy Inc's initial public offering (IPO) of common stock and a cash distribution by CPER of US$307 million from the proceeds of its debt offering of US$600 million. Rio Tinto expects to retain an interest in CPER of up to 48 per cent. The transactions are expected to close on Wednesday, 25 November 2009.

"The successful pricing of Cloud Peak Energy Inc's debt offering and its fully subscribed IPO has proved that the IPO route was the best option for divesting these assets," said Guy Elliott, chief financial officer, Rio Tinto. "Including the sale of Jacobs Ranch, we will realise proceeds of at least US$1.5 billion before tax for assets that were previously part of Rio Tinto Energy America, while retaining a substantial interest in Cloud Peak Energy Resources LLC. We continue to make strong progress with our divestment programme, realising considerable value for shareholders."

Since February 2008, Rio Tinto has announced asset sales of US$8.3 billion, including the sale of its ownership interest in CPER. In addition, Rio Tinto received a binding offer from Amcor in August 2009 of US$2.025 billion for Alcan Packaging global pharmaceuticals, global tobacco, food Europe and food Asia divisions.

During 2008, Rio Tinto completed divestments totalling US$3.1 billion. During 2009, Rio Tinto has agreed asset sales of US$5.2 billion. These transactions include Ningxia (aluminium), Potasio Rio Colorado (potash), Corumb?iron ore), Jacobs Ranch (coal), Alcan Packaging Food Americas, the Cable and Composites divisions of Alcan Engineered Products, Maules Creek (Coal & Allied) and the proceeds in connection with Cloud Peak Energy Inc's IPO.

The offering of Cloud Peak Energy Inc common stock will be made only by means of a prospectus, copies of which may be obtained from Credit Suisse Securities (USA) LLC at One Madison Avenue 1B, New York, New York 10010, Attention: Prospectus Department or by calling (800) 221-1037 or from Morgan Stanley & Co Incorporated at 180 Varick Street, 2nd Floor, New York, New York 10014, Attention: Prospectus Department of by calling (866) 718 1649 or my emailing: prospectus@morganstanley.com.

A registration statement relating to Cloud Peak Energy Inc's common stock has been declared effective by the Securities and Exchange Commission. This news release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sales of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

The senior notes of Cloud Peak Energy Resources LLC have not been registered under the Securities Act or the securities laws of any other jurisdiction and may not be offered or sold in the United States absent registration under or an applicable exemption from, the registration requirements of the Securities Act and applicable state securities laws. This news release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sales of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Rio Tinto

Rio Tinto is a leading international mining group headquartered in the UK, combining Rio Tinto plc, a London and NYSE listed company, and Rio Tinto Limited, which is listed on the Australian Securities Exchange.

Rio Tinto's business is finding, mining, and processing mineral resources. Major products are aluminium, copper, diamonds, energy (coal and uranium), gold, industrial minerals (borax, titanium dioxide, salt, talc) and iron ore. Activities span the world but are strongly represented in Australia and North America with significant businesses in South America, Asia, Europe and southern Africa.

About Cloud Peak Energy

Cloud Peak Energy Inc (NYSE: CLD) is headquartered in Wyoming and is the third largest coal producer in the United States. As one of the safest coal producers in the nation, Cloud Peak Energy Inc. specializes in the production of low sulphur, sub-bituminous coal. The company owns and operates three surface coal mines in the Powder River Basin, the lowest cost coal producing region in the nation among major coal producing regions. The Antelope Mine and Cordero Rojo Mine are located in Wyoming, and Spring Creek Mine is located near Decker, Montana.

For further information, please contact:
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Office: +44 (0) 20 7781 1138 Tony Shaffer
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Office: +61 (0) 3 9283 3612 Stefano Bertolli
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Investor Relations, London Investor Relations,
Mark Shannon Australia
Office: +44 (0) 20 7781 1178 Dave Skinner
Mobile: +44 (0) 7917 576597 Office: +61 (0) 3
David Ovington 9283 3628
Office: +44 (0) 20 7781 2051 Mobile: +61 (0) 408
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Office: +1 (0) 801 204 2919 Mobile: +61 (0) 439
Mobile: +1 (0) 801 558 2645 102 811

Email: questions@riotinto.com

Website: www.riotinto.com

High resolution photographs available at: http://www.riotinto.com/media/photolibrary.asp

This information is provided by RNS The company news service from the London Stock Exchange

MSCILFLRLILIFIA

NEW YORK, Nov 20 (Reuters) - Cloud Peak Energy Inc, a unit of Rio Tinto Plc, fell in its debut on the New York Stock Exchange on Friday after its shares priced below expectations in the U.S. coal miner's initial public offering.
Shares opened at $14.50, more than 3 percent below the $15 IPO price and fell as much as 6.7 percent. In early trade, Cloud Peak shares were being quoted for $14.56, down 2.9 percent.
Gillette, Wyoming-based Cloud Peak sold 30.6 million shares for $15 apiece and raising about $459 million in its IPO on Thursday. But Cloud Peak had expected them to price for between $16 and $18.
Almost all of the proceeds will go to Rio Tinto and the Anglo-Australian miner will retain a 48.3 percent stake in Cloud Peak.
Rio's shares closed the day down 1.9 percent in Australia, and were down 1.4 percent in trade on the London Stock Exchange.
Cloud Peak is the third-largest U.S. producer of coal and owns surface mines in Wyoming and Montana.
Cloud Peak reported sales of $1.06 billion for the nine months ended Sept. 30, up 17.4 percent over the year earlier results, with a profit of $190.1 million.
The IPOs underwriters, led by Credit Suisse, Morgan Stanley, and RBC Capital Markets, have the option to buy another 4.59 million shares.
(Reporting by Phil Wahba and Clare Baldwin, editing by Dave Zimmerman) Keywords: CLOUDPEAK/DEBUT

(clare.baldwin@thomsonreuters.com; +1 646 223 6189)

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Re: Lloyds T S B Bank Plc

MATURING: 21-Aug-2012
ISIN: XS0447199596

23-Nov-2009 TO 22-Feb-2010 HAS BEEN FIXED AT 1.965000 PCT DAY BASIS: ACTUAL/360 INTEREST PAYABLE VALUE 22-Feb-2010 WILL AMOUNT TO: EUR 248.35 PER EUR 50000 DENOMINATION

Nov 20 (Reuters) - Cloud Peak Energy Inc:

Nov 20 (Reuters) - Cloud Peak Energy Inc:

By Edward Taylor and Sakari Suoninen

FRANKFURT, Nov 20 (Reuters) - Bankers and regulators should learn the lessons of the global financial crisis and drive through changes to prevent future breakdowns, financiers said on Friday.
Bundesbank President Axel Weber said regulators must be resolute about pressing ahead with reform and reject criticism for perceived over-regulation as markets start recovering.
"We don't give a damn what anyone says, because we will just implement it," he told a Frankfurt banking conference.
"It is very important for us not to fall prey to influences on the way up or down
"We have to turn very stubborn..we have seen the biggest crisis in post-war history and make the system more resilient," said Weber, who also sits on the European Central Bank's policymaking Governing Council.
The worst financial crisis in 80 years, which started with the crash of Lehman Brothers in 2008, has sparked calls for a radical overhaul of banking supervision, which is still country-based despite cross-border groups dominating the sector.
Since the start of the crisis last year, politicians, shareholders and regulators have sought someone to blame for the breakdown that led governments to pour funds into stimulus packages and bank bailouts.
Deutsche Bank Chief Executive Josef Ackermann told the same conference that all parties need to learn from the crisis to help prevent future financial bubbles.
"We do not seem to have made much progress identifying financial bubbles since the Dutch tulip crisis," Ackermann said, referring to the 17th century Dutch craze.

Momentum has been building in the United States to break up lenders that are not only "too big to fail" but which may be "too big to save", but others, including Ackermann, have stressed that there is still a role for large banks.
The goal of shrinking firms is to prevent another debacle like the collapse of Lehman Brothers and the huge taxpayer bailouts of AIG and Citigroup in the United States as well as Hypo Real Estate, Royal Bank of Scotland and ABN Amro in Europe.
Banks have also faced public anger for paying eye-popping bonuses amid a crisis that has required billions of euros in taxpayer money for bailouts.
Ackermann, who has backed the creation of an international bailout fund, said the state would have to be involved in such as fund because the resources required were so great.
His remarks stood in contrast to comments by European Central Bank executive board member Juergen Stark this week.
"We must not add new incentives for moral hazard by creating an 'emergency fund' for banks, financed or co-financed by taxpayers' money," Starck said.
Weber cautioned that learning the lessons of the crisis will not guarantee that future crises can be averted, but it will help cope with them better.
"We cannot prevent and predict the next crisis. We have to make sure when the next crisis comes, and it will come with a 100 percent probability at some time, that the system then is more resilient and that's what systemic supervision is about," he said.
For a factbox of bailed out banks in Europe click on
For a factbox on banks with the biggest losses from the credit crisis
(Writing by Maria Sheahan; Editing by David Cowell) ($1=.6722 Euro) Keywords: FINANCIAL/LESSONS

(edward.taylor@thomsonreuters.com; +49 69 7565 1187; Reuters Messaging: edward.taylor.reuters.com@reuters.net)

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By Cecilia Valente and Daisy Ku

LONDON, Nov 20 (Reuters) - Private equity-owned fund manager Gartmore plans to list in London in a move which could kick-off a much-touted run of initial public offerings among companies owned by cash-hungry buyout firms.
Gartmore, which was bought out by management in 2006 backed by U.S. firm Hellman & Friedman, will list an about 30-50 percent stake to raise 500 million to 550 million pounds ($833.1 million to $916.4 million) in the country's biggest IPO this year, people familiar with the matter said.
Hellman & Friedman's stake will fall below a majority position from about 52 percent at present, a company spokeswoman said, although she declined to give further details.
The listing -- which is expected by year-end and would value Gartmore at about 1 billion pounds -- would represent the first private equity IPO in the UK since 2007, according to data from the Centre for Management Buyout Research.
Gartmore employees, who own the remainder of the company, are also poised for a payday as staff are expected to sell around 20 percent of their overall holdings. The balance of the directors' and employees' shares are subject to staggered lock-in arrangements that expire in 2013.
The firm will use the proceeds from the listing to pay down the debt taken on for the MBO and added to in a refinancing the following year. Net debt of some 400 million pounds at end-September 2009 will be cut to 150 million pounds, the company said. The debt does not come due until 2014.

Gartmore CEO Jeff Meyer said in a conference call that Hellman & Friedman would keep its two representatives on the board after the flotation.
The company had considered an IPO in 2007 for up to 1.5 billion pounds. These plans were put on ice due to the financial crisis and in April, a senior Gartmore executive played down the likelihood of an IPO because of the state of the markets.
However, the recent surge in equity prices has reignited interest amongst private equity firms to list portfolio businesses.
Private equity investors are showing signs they are ready to accept lower returns in exchange for getting some cash back when portfolio firms come to float in what could be a crowded market for new issues over the next year.
"We are a conservative firm, a firm which does not need leverage other than for the purpose of the buy-out and we thought it was an opportune time to de-lever," Meyer said.
Meyer said that although the IPO timetable was "not cast in stone", he expects it to go ahead by mid-December.
As at end-September Gartmore and its subsidiaries had 21.8 billion pounds of assets under management and had attracted 924 million pounds of net inflows in the third quarter of 2009.
BofA Merrill Lynch, Morgan Stanley and UBS Investment Bank are acting as joint global co-ordinators, joint bookrunners and joint sponsors in the IPO. Citi is acting as joint bookrunner and Fox-Pitt, Kelton is acting as co-lead Manager.

($1=.6002 Pound)

(Reporting by Cecilia Valente, Editing by Joel Dimmock) Keywords: GARTMORE/ (cecilia.valente@thomsonreuters.com; +44 (0)20 75423570; Reuters Messaging: cecilia.valente.thomsonreuters.com@reuters.net)

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LONDON, Nov 20 (Reuters) - British fund firm Gartmore plans to launch a London listing in a move which will allow major shareholder Hellman & Friedman to join private equity peers seeking to reduce stakes through IPOs.
In a statement on Friday, the firm said a listing on the London Stock Exchange would also reduce its net debt to about 150 million pounds ($249.9 million). The offer was expected to close in mid-December.
A Gartmore spokeswoman said Hellman & Friedman would reduce its 50 percent stake in the firm, but would not exit completely. The remaining half of the firm is owned by staff.
The company declined to provide a detailed valuation target for the IPO.
As at end-September Gartmore and its subsidiaries had 21.8 billion pounds of assets under management and had attracted 924 million pounds of net inflows in the third quarter of 2009.
The company had considered an IPO in 2007 for up to 1.5 billion pounds. These plans were put on ice due to the financial crisis and in April, a senior Gartmore executive played down the likelihood of an IPO because of the state of the markets.
However, the recent surge in equity prices has reignited interest amongst private equity firms to list portfolio businesses.
Private equity investors, however, are showing signs they are ready to accept lower returns in exchange for getting some cash back when portfolio firms come to float in what could be a crowded market for new issues over the next year.
BofA Merrill Lynch, Morgan Stanley and UBS Investment Bank are acting as joint global co-ordinators, joint bookrunners and joint sponsors in the IPO. Citi is acting as joint bookrunner and Fox-Pitt, Kelton is acting as co-lead Manager.

($1=.6002 Pound)

(Reporting by Cecilia Valente, Editing by Joel Dimmock) Keywords: GARTMORE/ (cecilia.valente@thomsonreuters.com; +44 (0)20 75423570; Reuters Messaging: cecilia.valente.thomsonreuters.com@reuters.net)

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Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.

LONDON, Nov 20 (Reuters) - British fund firm Gartmore plans to launch a London listing in a move which will allow major shareholder Hellman & Friedman to join private equity peers seeking to reduce stakes through IPOs.
In a statement on Friday, the firm said a listing on the London Stock Exchange would also reduce its net debt to about 150 million pounds ($249.9 million). The offer was expected to close in mid-December.
A Gartmore spokeswoman said Hellman & Friedman would reduce its 50 percent stake in the firm, but would not exit completely. The remaining half of the firm is owned by staff.
The company declined to provide a detailed valuation target for the IPO.
As at end-September Gartmore and its subsidiaries had 21.8 billion pounds of assets under management and had attracted 924 million pounds of net inflows in the third quarter of 2009.
The company had considered an IPO in 2007 for up to 1.5 billion pounds. These plans were put on ice due to the financial crisis and in April, a senior Gartmore executive played down the likelihood of an IPO because of the state of the markets.
However, the recent surge in equity prices has reignited interest amongst private equity firms to list portfolio businesses.
Private equity investors, however, are showing signs they are ready to accept lower returns in exchange for getting some cash back when portfolio firms come to float in what could be a crowded market for new issues over the next year.
BofA Merrill Lynch, Morgan Stanley and UBS Investment Bank are acting as joint global co-ordinators, joint bookrunners and joint sponsors in the IPO. Citi is acting as joint bookrunner and Fox-Pitt, Kelton is acting as co-lead Manager.

($1=.6002 Pound)

(Reporting by Cecilia Valente, Editing by Joel Dimmock) Keywords: GARTMORE/ (cecilia.valente@thomsonreuters.com; +44 (0)20 75423570; Reuters Messaging: cecilia.valente.thomsonreuters.com@reuters.net)

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Nov 20 (Reuters) - The following were the top stories in The Wall Street Journal on Friday. Reuters has not verified these stories and does not vouch for their accuracy.
* Some of Goldman Sachs Group Inc's largest shareholders have urged the firm to reduce its bonus pool, arguing the company should pass along more of its blockbuster earnings to investors.

* Political frustration over Wall Street's rescue and high unemployment erupted in Congress, with one panel threatening tighter scrutiny on the U.S. Federal Reserve and another excoriating Treasury Secretary Timothy Geithner.
* Oprah Winfrey plans to end her syndicated TV show in September 2011, as she turns her efforts toward a new cable-TV channel she plans to launch with Discovery Communications Inc .
* Dell Inc's quarterly profit dropped 54 percent despite recent signs of recovery in the technology sector, raising questions about the personal-computer maker's strategy of focusing on profitability at the expense of market share.
* Ronald Burkle has become a significant investor in Barneys New York in recent months, with his Yucaipa Cos buying a chunk of the struggling luxury retailer's debt. The billionaire investor has bought a large part of the company's secured term loan from Citigroup Inc at about 60 cents on the dollar.
* AOL Inc is planning to cut about a third of its staff as the struggling Internet company attempts to rein in costs and resurrect its business in preparation for its spinoff from Time Warner Inc next month.
* Retailers' yearlong efforts to cut costs and reduce inventory, as well as avoid deep markdowns, have paid off in recent months. On Thursday, Gap Inc, along with Buckle Inc and Williams-Sonoma Inc, reported increased profits, or profit after a year-earlier loss, on stronger gross margins for their fiscal third quarters.
* General Motors Co Chairman Edward Whitacre, becoming increasingly visible in GM's turnaround campaign, is pressing the auto maker's management team to sharpen its focus on boosting quality and customer satisfaction.

* The International Swaps and Derivatives Association Inc, the trade group representing the global derivatives markets, appointed Conrad Voldstad as chief executive officer. Voldstad will replace Robert Pickel effective Nov. 30. Pickel, who held the position for the past nine years, will take on the new role of Executive Vice-Chairman.
* Microsoft Corp has sold twice as many copies of Windows 7 in its first few weeks than any previous version of the operating system, Chief Executive Officer Steve Ballmer said.
* Google Inc said the first devices running its new Chrome operating system will be available by the end of 2010, as the company gave the first public peek of software that Google hopes will drive usage of Internet applications that include its own services. Keywords: PRESS DIGEST/WSJ

(Compiled by Tenzin Pema; Bangalore Equities Newsdesk +91 80 4135 5800; within U.S. +1 646 223 8780)

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Nov 20 (Reuters) - Supermarket mogul Ron Burkle and his investment arm, Yucaipa, have purchased a large amount of U.S. luxury retail chain Barneys New York's debt, the Wall Street Journal said, citing people familiar with the matter.
Citigroup Inc sold a big part of Barneys' secured term loan to Burkle at about 60 cents on the dollar, the people told the paper.
Yucaipa also bought a big part of Barneys' subordinated debt, the paper cited one person familiar with the matter as saying.
Spokesmen for Yucaipa, Citigroup and Barneys could not be immediately reached for comment by Reuters.
Barneys, which is owned by Dubai's Istithmar World Capital, hired restructuring advisory firm Perella Weinberg earlier this year to help it mull options that would shore up its financial position.
The luxury chain, with stores in cities like New York and Chicago, has struggled in the recession as even wealthy consumers have cut back on spending.
Istithmar, a unit of Dubai World, bought Barneys for $942 million from Jones Apparel Group in 2007. It provided some additional funding to the chain in April, allowing it to pay for its shipments for the rest of the year.

(Reporting by Ajay Kamalakaran in Bangalore; Editing by Muralikumar Anantharaman) Keywords: BARNEYS/BURKLE (ajay.kamalakaran@reuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800 +1 646 897 1898; Reuters Messaging: ajay.kamalakaran.reuters.com@reuters.net)

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By Clare Baldwin and Phil Wahba

NEW YORK, Nov 19 (Reuters) - Investors proved to be selective as four U.S.-listed initial public offerings priced either below or at their expected ranges on Thursday evening.
The largest IPO came from Cloud Peak Energy Inc, the U.S. coal mining unit of Anglo-Australian miner Rio Tinto Plc, but its price fell short on concerns the IPO was more about helping Rio's balance sheet than funding Cloud Peak's growth.
Global Defense Technology & Systems Inc also fell short on fears that government contracts, which make up the bulk of its business, could dry up.
But fast growing companies Chinese discount hotel chain 7 Days Group Holdings Ltd and on-line education company Archipelago Learning Inc were given a warmer reception, pricing in line with expectations.
Gillette, Wyoming-based Cloud Peak raised about $459 million but almost all of the proceeds will go to Rio Tinto, which will retain a 48.3 percent stake in Cloud Peak.
Rio Tinto is saddled with debt stemming from its 2007 acquisition of Canadian aluminum maker Alcan.
"There's investor push-back because it's (money) not going back to the company and it's not for growth. It's just a Rio Tinto bailout," said IPOdesktop.com president Francis Gaskins.
Analysts expressed concerns last week that Cloud Peak's IPO was overpriced relative to its peers' stocks and that it could face uncertain demand for coal.
Cloud Peak is the third largest U.S. producer of coal and owns surface mines in Wyoming and Montana.
The disappointing pricing sent Rio Tinto shares down about 1.9 percent in early trading in Australia.
Global Defense Technology & Systems, which raised $59.8 million in its IPO, drew 74 percent of its revenue in 2008 from contracts with the U.S. Department of Defense, but an analyst with advisory firm IPO Boutique said the company could suffer if the government cuts defense budgets.
Global Defense shares are set to begin trade on Friday on the Nasdaq under the symbol "GTEC."
An IPO, by healthcare information company HealthPort Inc, was to have debuted on Thursday, but the money-losing company shelved its IPO indefinitely.

Chinese firm 7 Days priced its American depositary shares above expectations in the ninth U.S.-listed IPO by a Chinese company this year, with analysts crediting the chain's fast growth, despite losses in each of the last four years.
With 283 hotels as of Sept. 30, up from only five in 2005, 7 Days said in its prospectus that it is the third largest economy hotel chain in China. It will use the IPO proceeds of about $111.1 million to pay down debt.
"They are building discount quality hotels for the increased number of leisure and business travelers throughout all of China not just the major metro areas," said Scott Sweet, a senior managing partner at IPO Boutique.
Another 77 hotels are on the way, according to the prospectus.
Archipelago Learning's performance will soothe private equity firms concerned that the IPO market has grown less hospitable to their efforts to sell stakes in companies they own through the public markets.
The Dallas-based provider of subscription-based online education raised about $103.1 million. Half of the shares in the IPO were offered by the company itself, and the other half by owners such as private equity firm Providence Equity Partners.
The busy day came as companies rushed to get their deals done before the U.S. Thanksgiving break. Currently, no further IPOs are on the calendar for pricing.
(Reporting by Clare Baldwin and Phil Wahba; Editing Bernard Orr) Keywords: IPOS/

(phil.wahba@thomsonreuters.com ; +1 646 223 6128; Reuters Messaging: phil.wahba.reuters.com@reuters.net )

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