PEs build war chest to ride revival wave
The Economic Times 11/9/2009
by Vinod Mahanta
Private equity activity may have shuddered to a halt since late last year after the global financial turmoil and India's economic slowdown put brakes on dealmaking, but a slew of funds are now quietly piling on ammunition to move in for the kill in an economy that's slowly but surely on the mend. The early movers in PE space such as Warburg Pincus and Citi Venture Capital International have generated good returns for their limited partners (LPs) - investors in PE funds like endowments, pension funds, fund of funds - in the past few years. Bain & Company partner Sri Rajan says that while LPs are looking at increasing allocations to India and China, the commitments may happen only over a period of time, as they are fairly constrained at this point of time.
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Regulation: Compliance tools can also deliver financial benefits
Financial Times 11/2/2009
by Stephen Pritchard
Organisations are looking to technology to improve the effectiveness of internal controls and, in particular, audit and regulatory compliance functions, but only a small number of them have moved beyond localised compliance systems. One reason, according to Donie Lochan, a partner in the Sydney office of Bain & Company, the management consultants, is that IT maturity and complexity is holding them back. "Technology is enormously useful," he says. "Without it, it's nearly impossible to do the kind of regulation and compliance you need in financial services."
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Resurgent BP looks East; Tony Hayward is searching for partners to keep the oil giant in profit
The Sunday Times 11/1/2009
by Danny Fortson
When Tony Hayward took over at BP two and a half years ago, he knew things were bad. He just didn't know how bad. One of the first calls the chief executive made was to Bain & Company. He wanted the consultancy to "hold up a mirror" to the oil giant so he could see exactly what he had inherited from Lord Browne of Madingley, his predecessor. He was shocked by what he saw. "I told them I didn't want solutions. We would take care of that. I just wanted them to show us what we looked like," he said last week from the group's headquarters on St James's Square in London. "They said: 'You are the most complicated enterprise we have ever come across.' We had little clarity or accountability."
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October 2009

French luxury preens on website in China
Agence France Presse 10/30/2009
France's creme de la creme luxury firms, hit by a drop in sales on traditional markets, Thursday launched a China charm offensive, with a 3D website that gives a peek at the best France has to offer. The launch came as consultants Bain & Company said luxury goods are expected to slump 16 percent this year on the US market, 10 percent in Japan and eight percent in Europe -- but see a 12 percent hike in China. The website is hosted by China's biggest portal sina.com and will be available for six months.
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'Luxury shame' pinches Versace
The Globe and Mail 10/29/2009
by SUSAN KRASHINSKY
Yesterday, Gianni Versace SpA announced it would cut 350 jobs worldwide, one-quarter of the company's work force, as the privately held company is projecting losses of roughly 30-million euros ($48-million) in 2009. "Many shoppers began the year by 'shopping their closets,' deferring new purchases, and focusing on more durable items with less fashion content," said a report released last week by consulting firm Bain & Company, which forecast an 8-per-cent drop in worldwide sales for the luxury industry. Moderate gains are expected in 2010, but the recovery in the sector will not hit its stride until 2010 or 2011, it said.
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