British companies exposed to fallout from China's market turmoil - The Guardian
If the fluctuations of the Shanghai stock market seem somewhat removed to some, those on the boards of five of the UK’s largest companies must be feeling every share sell-off, every rumour as if it was in their own back yard. According to a recent analysis by Citigroup, five FTSE 100 companies – ARM Holdings, Burberry, HSBC, Intertek and Standard Chartered – all generate more than 20% of their sales from China and the far east, and as a result fears over an economic... These and other companies, both in the UK and across the world, have seen their fortunes linked closely with those of the Chinese markets in recent times. Some 30% of handsets are sold in China , analysts say, making a slowdown there – or, even worse, a crash landing – highly problematic. The bank is so focused on driving profitability in the far east that it is even considering relocating to Hong Kong, where it started out in 1865. It is trying to reverse its slide in profitability by expanding in the region, especially in... Although a giant in Hong Kong, HSBC is still a relative minnow in mainland China, and a slowing economy can only make such an ambitious task more difficult. Source: www.theguardian.com
