Updates from Tesco, PZ Cussons and AG Barr

Tesco sees £2bn wiped off its value and execs are suspended

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The FTSE 100 sank almost 65 points on Monday, not helped by a 11.5% plunge in Tesco shares. Tesco shares sank to 203p by the end of the day as the City absorbed its £250m accounting meltdown and the suspension of several top executives. Glencore shares also fell heavily, down 4.88% to 341.90p.

TUITravel shares rose highest yesterday, up 1.8% to 391p; its share price has risen sharply since 16 September since its merger with its German parent was announced. Over in the US the Dow Jones saw a 107-point fall to 17,172.6 with marked dips from Caterpillar and Nike.

Tesco remains the dominant news again this morning. Early this morning the company said ex M&S man Alan Stewart will join the Board as Chief Financial Officer with effect from today rather than the previously announced 1 December (previous CFO Laurie Mcllwee left a week ago).

Tesco shares have lost close to 40% of its value in the last year; yesterday around £2bn was wiped off the value off the FTSE 100 grocer as its books came under scrutiny. Chairman Sir Richard Broadbent remains in his job though there is increasing resignation pressures

So far the retailer has not named those at the centre of its investigation. Tesco has asked Freshfields and Deloitte to comb the books. The over-statement was ignited by a whistleblower alerting Tesco's general counsel.

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Next, Original Source maker PZ Cussons says its UK performance in its washing and bathing division has been strong despite "challenging trading conditions" driven by an innovation pipeline. The beauty division has performed well across its key markets (UK, US and Australia).

However the situation with its heavily exposed Nigerian market has continued to worsen, resulting in a dip in sales in the north of the country; there's better growth in the south of the country while the Ebola situation is being monitored carefully.

Foreign exchange and raw material volatility continue to make inroads, plus the reduction in profits from Poland as a result of last year's Home Care brands sale, PZ Cussons warns.

Lastly, IRN-BRU maker AG Barr it has entered into a 10 year agreement with the right to sell, market and distribute the Snapple brand in the UK and other EU territories through the Dr Pepper Snapple Group (DPSG).

"We are very excited," says Roger White, A.G.Barr's chief exec, "about our new partnership with DPSG. Snapple is an authentic, high quality brand that is very successful in the United States and we strongly believe in the significant potential of Snapple in Europe."

AG Barr recently lured Stuart Lorimer from Diageo as its new finance director. Sales at AG Barr expanded more than 5% in the six months to the end of July.

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