Jim Armitage: How long will patience last with Pearson boss John Fallon?

So, Pearson’s John Fallon lives to fight another day.

One of the leading candidates to join the ranks of FTSE 100 chief executives getting the boot this year, today he won the backing of his new chairman despite deep-seated problems at the former owner of the FT.

Pearson’s troubles lie in its struggle to sell education textbooks and software to its heartland market of the US.

The problem is, when the economy grows and jobs are plentiful, young Americans go to work rather than college.

As such, in trader-speak, Pearson shares are a short on the US economy. Given the rude health America is in these days, that’s a bet that hasn’t paid off for a long time now.