More London lawyers reach £1m pay bracket

The Financial Times reports as the biggest firms finalise their results for 2004-05, the so-called magic circle have all pushed up their profitability. Linklaters has driven its turnover up 12% after aggressive internal reorganisation, producing average profits per partner of £843 000, a rise of 25%. Its top-earning partners, who were on £864 000 in 2003-04, are now pulling in £1.065m each. Even its most junior equity partners earned £425 000. Tough cost-cutting and headcount reductions, including forcing out underperforming partners at many firms, has begun to pay dividends. Full report in the Financial Times

Perhaps Linklater’s success could be attributed to its drive to expand internationally. Legal Week reports in recent weeks the firm has made partner appointments in Tokyo and Amsterdam, as well as securing Spanish securities heavyweight Sebastian Albella. In addition, the firm’s finance ambitions are now also extending to a serious run at the highly competitive US leveraged finance market – a fact underlined by the recent appointment of O’Melveny & Myers’ Jeff Norton. The appointment, coming after January’s arrival of Michael Bassett from Jones Day, means Linklaters now has two promising younger partners focusing full-time on the sector. Full report in Legal Week