Latest Posts

  • News 0

    Sluggish Indian GDP slows to three-year low

    India’s economic growth in the three months to December was at its weakest in over three years due to a slowdown in agriculture, mining and manufacturing, the Federation of Indian Chambers of Commerce and Industry said on Wednesday. Meanwhile, higher interest rates, a decline in domestic demand and an increase in input costs hampered investment, according to the federal statistics office. GDP climbed 6.1 percent in October to December and was 0.3 percent below market expectations. India’s 10-year government bond climbed a single base point to 8.2 percent following the announcement. The Reserve Bank of India had previously discussed option...
    On February 29, 2012 / By
  • News 0

    Greece in selective default in spite of German bailout approval

    Credit ratings agency Standard & Poor’s late on Monday declared Greece in “selective default” following its private sector involvement deal which will see bondholders take a 70 percent haircut on the net value of their bonds. As part of the agreement an estimated €100bn will be wiped off Greece’s debt. The average maturity of creditors bonds will also be extended, allowing for reduced short term funding requirements. The news comes in spite of Germany’s parliament earlier in the day approving a second bailout plan for the debt stricken country....
    On February 28, 2012 / By
  • News 0

    Essar posts 10 percent loss as FTSE 100 down

    Indian refiner and power generator Essar Energy on Monday said core earnings had fallen by 10 percent in 2011 due to weaker refining margins and the depreciation of the Rupee in the latter part of the year. Full year earnings before EBITDA stood at $624.8m compared with $696.5 the year before. Shares in Essar are now only worth a third of their 2010 listing price as they fell by 41 percent over the last three months alone. Essar Energy in early trading on Monday was the biggest loser on the FTSE 100, which dropped below 5,900 following an unfruitful G20 meeting....
    On February 27, 2012 / By
  • News 0

    Spain unemployment leads to Telefonica profit fall

    Spain’s largest phone company, Telefonica,  announced on Friday that its full year operating profit had decreased to €20.2bn from €25.8bn year-on-year. Net profits were down to €5.4bn from €10.1bn in 2010. The fall was caused by lower domestic revenue and costs of cutting jobs amid rising unemployment, which saw customers switch to cheaper rivals, Telefonica said. The group’s CEO Cesar Alierta said Telefonica is also looking to slash its domestic workforce and stop major M&A to counter the consequences of Spain’s deteriorating economy....
    On February 24, 2012 / By
  • News 0

    BP and Anadarko found liable for US oil spill damages

    A Chicago court found on Wednesday that BP and its minority partner Anadarko Petroleum will be liable under federal pollution laws for civil damages and their roles in the Macondo 2010 Gulf of Mexico oil spill. The New Orleans judge ruled that the companies are liable under the Clean Water Act and the Oil Pollution Act for the oil removal costs and damages as they collectively owned 90 percent of the Macondo well which blew up. The acts allow for a fine of up to $1,100 per barrel of oil spilled, or $4,300 if wilful misconduct or gross negligence is found to have been a factor. An estimated 4.1 million barrels were spilled, which would mean ei...
    On February 23, 2012 / By
  • News 0

    Walmex quarter profits up 26 percent

    Mexico’s largest retailer, Wal-Mart de Mexico or Walmex, late on Monday announced a 26 percent rise in fourth quarter profits to MXN$8.23bn compared to MEX$6.54bn during the final quarter of 2010. Results were achieved through an aggressive expansion and a major holiday sales event in the last months of 2011. Revenues according to retailer climbed 16 percent to MEX$116bn from MEX$100bn a year earlier. In 2011 Walmex opened 364 stores in Mexico and 76 in Central America, and now operates 2,722 shops and restaurants globally....
    On February 22, 2012 / By
  • News 0

    Vista commences takeover battle with Tenemos over Misys

    US buyout firm Vista Equity Partners announced late on Monday that it has made an approach to buy British banking software company Misys. Although no price was mentioned analysts value the deal at an estimated £1.2bn or 360p a share. Vista’s move comes just two weeks after Misys confirmed that it was approached by Swiss-based rival Tenemos. It is believed that this takeover bid could now wreck an agreed merger between Tenemos and Misys. According to a Vista spokesperson, the potential deal will now depend on “a recommendation from Misys board of directors and the completion of due diligence.”...
    On February 21, 2012 / By
  • News 0

    Crude at nine month high after Iran halts supply

    Oil prices on Monday climbed to a nine month high, close to $105 a barrel on the New York Mercantile Exchange, after Iran’s oil ministry said late on Sunday that it had halted crude exports to both France and Britain. The move comes in retaliation to the EU’s imposed sanctions on Iran’s fuel exports, which include an oil embargo set to start in July and a freeze on the nations’ central bank assets. Iran’s oil minister, Rostam Qassemi, had warned at the start of the month that Iran would cut of crude exports to “hostile” European nations. Prices were also up in London where crude climbed to $121.01 per barrel....
    On February 20, 2012 / By
  • News 0

    Rio bosses axe bonus on aluminium loss

    Anglo-Australian miner Rio Tinto said on Thursday that its top executives will not take a bonus this year following an $8.8bn hit on its aluminium business Alcan. The mining giant reported a 50 percent drop in annual net profits to $5.8bn compared to $14.32 the year before. Rio CEO Tom Albanese took full responsibility and announced he will forgo his bonus, saying: As the acquisition of Alcan happened on my watch, I felt it only right not to be considered for an annual bonus this year.” CFO Guy Elliott has also refused a bonus. Aside from the issues at Alcan, Albanese informed shareholders it was a good result with revenues climbing to $60b...
    On February 9, 2012 / By
  • News 0

    UBS joins Deutsche in 76 percent net profit loss

    Switzerland’s biggest lender by assets, UBS AG, announced on Tuesday a 76 percent fall year-on-year in net profits for the fourth quarter of 2011 in the wake of its $2bn rogue trading scandal last year. Figures fell to SFr393m for the quarter compared to a SFR1.66bn a year earlier, and were below analyst’s average estimates of SFr739m. UBS’s investment banking arm posted the biggest losses amid challenging economic circumstances, plunging to a pre-tax loss of SFr256m from a SFr100m profit a year earlier. The bank says it foresees “headwinds” for growth in the early part of 2012 due to the bloc’s sovereign debt crisis and prolonged...
    On February 7, 2012 / By