Business news and markets: as it happened, Friday April 17

Here's interim chief Richard Pennycook:

2013 was a disastrous year for The Co-operative Group, the worst in our 150-year history. Today’s results demonstrate that but they also highlight fundamental failings in management and governance at the Group over many years. These results should serve as a wake-up call to anyone who doubts just how serious the challenges we face are.

Markets and corporate news

08.45 The FTSE 100 opened down this morning but is pretty much flat now, trading at 6,584. Sentiment is being supported by positive comments from Janet Yellen last night, suggesting US policy will remain supportive, but Ukraine continues to be an issue.

Among today's corporate news:

• Mulberry has warned on profits and said it will have to cut prices to boost sales

• Diageo, the drinks giant, has said sales in the first three months of the year were down 1.3pc

• Taylor Wimpey says the average selling prices of its homes have risen 22pc in the last year to £249,000

• RSA Insurance is selling its businesses in the Baltics and Poland. It expects to get £300m.

Mulberry has fallen 3.5pc and Diageo is down 4.4pc this morning.

Co-op expected to post £2.5bn loss

08.30 The Co-operative Group brings out annual results in half an hour. It is expected to record a loss of around £2.5bn.

This will partly be due to losses at its banking unit , which the mutual lost control of last year. It is also expected to write down the value of Somerfield, which it bought in 2009.

The losses come as the Co-op struggles with its governance. Reforms have reportedly been scuppered by factions within the mutual opposed to the structures that outgoing director Lord Myners and the former chief executive Euan Sutherland attempted to implement.

We'll have more info at 09.00.

Today's business stories

08.15 Here's what's in our business pages this morning

• Szu Ping Chan reports on yesterday's jobs figures, which showed unemployment falling below 7pc for the first time since 2009.

• Graham Ruddick writes that Tesco boss Philip Clarke has insisted he will not resign despite profits falling for the second year in a row .

• And Ambrose Evans-Pritchard says the US financial showdown with Russia is more dangerous than it looks .

Here's the front page of today's Business section:

Good morning

08.00 Good morning and welcome to our daily business and markets live blog, your one stop shop for all the breaking business stories of the day.

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