Business Round-up: Carlsberg admits it probably isn’t the best beer in the world - The Post

Business Round-up: Carlsberg admits it probably isn’t the best beer in the world

Not so perfect anymore, apparently (photo: Rossographer/Geograph)
April 29th, 2019 3:10 pm| by Paul McNamara

Carlsberg is overhauling its namesake beer brand in the UK, changing everything from its taste and packaging to its glassware and marketing. By focusing on quality rather than quantity, it wants to change the way people think about Carlsberg.

In a bid to address a drop in sales, the new campaign will see Carlsberg turn its ‘Probably’ slogan on its head, arguing instead now that it is ‘probably not’ the best lager in the world – or at least for now. Charting its transformation will enable it to inform British drinkers about the changes it makes. 

YouGov BrandIndex lists Carlsberg in 25th place on an index of 41 beers and ciders that measures, among other things, quality, value, satisfaction and reputation.

Study: The Danish Financial Supervisory Authority broke EU law
The Danish and Estonian financial supervisory authorities together committed four breaches of EU law (two Danish, one Estonian, one shared) in connection with their handling of Danske Bank’s money-laundering case according to a report prepared by the EU Banking Authority, the EBA. The report identified 6,200 suspicious customers, with a total flow of money from foreign customers through the Estonian branch between 2007 and 2015 amounting to 1.5 trillion euros. The investigation has not being able to determine exactly how much of this amount is suspicious, but reports it is probably “a very large” part of it.

Expensive heating bills cost CEO his job
The energy company Verdos fired its chief executive Kim Frimer after reports surfaced on that from 2000 to 2014 it over-invoiced 13,000 of its heating customers to the tune of 440 million kroner. The company has been forced to pay the money back. It was also revealed that Verdos had distributed 549 million kroner to its parent company only to borrow that same money back – which led to customers having to finance interest expenses of over 20 million kroner per year. And it has also come to light that Verdos had decided to raise the price of its electricity to customers by up to 97 percent shortly before being sold to Ennig. The company is now hunting for a new CEO. Morten Birch has joined as Frimer’s temporary replacement.

4,000 Swedes have a chip in their hand
While at least 4,000 Swedes have already had a NFC chip inserted into their finger, in Denmark the figures is still barely a handful. An NFC chip is around the length of a 50 øre coin, and it is housed in a glass capsule so that it is not rejected from the body. It holds only a small amount of data, but as technology advances, the chip will be scanned for all sorts of purpose, such as travel tickets and building access, but not for tracking purposes, as it cannot be read from long distances.

Millions still pouring out of PostNord
The Danish arm of PostNord, is still haemorrhaging money but the bleeding has been limited in the first three months of this year. Unlike the start of 2018, the entire Danish-Swedish postal group is in surplus. Although the continued digitalisation of the letter market is a challenge, Swedish mail customers have largely returned gone back to PostNord from their competitors. The company opened last year with a deficit of 167 million Swedish kroner, but started 2019 with a surplus of 56 million. However, appended to the accounts is a note complaining about the postal legislation in Denmark and Sweden. The company alleges it is not flexible enough and should be updated, both in Denmark and Sweden, in order to maintain a postal service for everyone.

Denmark losing billions to large companies’ tax planning
The Danish treasury loses tax revenues of 4.4 billion Danish kroner annually, with 3.5 billion kroner lost to other EU countries, recent research reveals. Large companies are moving profits – and thus tax payments – out of Denmark by making huge royalty payments to their own companies, particularly in Ireland. where they have placed trademarks, patents, algorithms and other rights. Another method is to borrow money from subsidiaries in other EU countries and thereby pay interest to themselves. Overall, most of the profits move from countries such as Denmark, Germany and France to Ireland, Luxembourg and the Netherlands where the profits are not taxed before being set out of Europe. Although worldwide corporation tax rates have been halved since 1985 to 24 percent on average in 2018, there are still great differences within the EU. Ireland has a corporate tax of 12.5 percent, while in Denmark it at 22 percent.

Danske Bank and Maersk shared tumble
Last year was a bad one for Danish shares and in particular for two of the country’s largest companies – Maersk and Danske Bank. And since the family-controlled AP Møller Holding has large shareholdings in exactly these two companies it is particular bad news for them. In total, Danske Bank lost 46.6 percent of its market value last year, which resulted in losses for the company’s main shareholder of 19.6 billion kroner. AP Møller Maersk’s shares also did badly, with low earnings and persistent threats of a trade war – the company lost 24.5 percent in value. AP Møller Holdings has also become 25.3 billion kroner poorer.

Highly-educated eastern Europeans coming to Denmark
An increasing number of engineers, IT people and other specialists from eastern Europe have been settling in Denmark, according to figures from the national statistics keepers Danmarks Statistik. At the end of 2017 there were 6,525 people from the six largest eastern European countries holding highly specialized positions or managerial jobs – three times the amount as 10 years ago. The work is typically in industries where Danish companies find it hard to find qualified people in Denmark.

Director leaves Flying Tiger
Mette Maix is leaving as CEO of Flying Tiger after only two years, stating that she is unhappy with changes in management. The chain has recently struggled to increase profits and fired 40 employees in February. Flying Tiger has seen expansionary growth in recent years and now has over 1,000 stores in 30 countries.