The Business Matrix: Saturday 12 May 2012

Harris junior loses out at Carpetright

Lord Harris of Peckham has unveiled former Sainsbury's director Darren Shapland as chief executive of Carpetright, despite previously expressing a preference for his son to succeed him. The Tory peer is becoming chairman at the retailer he founded nearly 25 years ago.

Recession gloom on building slump

The British economy is even deeper in recession than first thought with official figures showing that the construction industry suffered a dreadful March. Yesterday's figures from the Office for National Statistics will intensify pressure on the Bank of England to restart its monetary stimulus programme.

BA warns it will only break even

The owner of British Airways has warned that it will only break even this year, as it suffers from Spain's economic strife, soaring fuel costs and strikes. International Consolidated Airlines Group also warned that it will be hit by €240m (£192m) of operating losses at bmi.

Big-spending 02 sees profits slide

Britain's second-biggest mobiles carrier O2 has admitted that operating profits slumped by a third in the first three months of the year as it spent heavily to win more customers. O2 added 223,000 contract customers, the highest quarterly increase since autumn 2010. Its total UK customer base rose to 23.3m.