International News

The U.S. computer group Hewlett-Packard announced Friday that it was revising downward its first quarter results because of the legal costs of its subsidiary Electronic Data Systems (EDS).

The judicial authorities have in fact ordered DHS to pay 300 million euros – in all – group British Sky Broadcasting and British Sky suscribers Services (BSkyB), which had continued since 2000 to a dispute concerning a development project to system update management (CRM customer relationship) second by the first …went wrong.

After delays and budget overruns (48 million pounds sterling at the base), BSkyB had then resolved to complete the project alone.

On 1 March, in addition to a sentence of 230 million euros imposed in January, HP has been added to interim payment of 77 million euros.

96 to 93 cents per share

Thus, net income amounted to 2.25 billion dollars instead of 2.32 billion announced in February. The world of computers was then revised upwards its estimates of revenues and earnings for fiscal 2010 lagged cash advance .Net earnings per share is reduced to 93 cents, against 96 cents previously.

Last November, Hewlett-Packard unveiled a decline in net income of 8% annually to 7.7 billion, although the last quarter it was up 14% yoy to 2.4 billion dollars. At this time, Dell has introduced quarterly profit falls by 54% and a revenue and earnings per share below expectations.

In May 2008, HP had offered the number two global services company EDS for $ 13.9 billion.

ALSO READ:

"Hewlett Packard: return to growth expected for 2010

"The PC sales cross a historic peak

"Acer, Apple and Google score points

»May 2008: HP offers rivals EDS and IBM in services

End of story. For several weeks, negotiations between the seven countries A400M customers and executives of EADS, parent company of Airbus, have punctuated the news. At yet another meeting, in Berlin, a "tentative agreement" was reached, provided the giant European aerospace in a statement.

Customers (Belgium, Britain, France, Germany, Luxembourg, Spain and Turkey) will pay 3.5 billion euros extra. What survival program, which accumulates nearly four years late and reaped 5.2 billion euros of additional costs.

Specifically, they shall have two billion more on the initial price of the contract and provide $ 1.5 billion in exchange for a share of future exports, according to EADS.The original contract must be amended in the "coming weeks".

In addition, it was agreed to accelerate payment of PDP between 2010 and 2014, but no timetable has yet been arrested.

The time for congratulations

EADS considers that this agreement provides a basis "healthy" for a successful evolution of the A400 program M.

The French Minister of Defense Hervé Morin was commended for his share "of the finalization of the negotiations. "This agreement completes the implementation of decisions taken by ministers at the meeting organized at the initiative of France in Le Castellet July 24, 2009, during which the nations have decided to continue this program emblematic of Europe defense, "he said.

In January, EADS said it planned to simply abandon the program, saying while threatening the sustainability of the group.

The Minister then assured that France would "do anything to save" the project. A few days before, the multipurpose aircraft designed to replace the Transall C-160, for example, 45.1 meters long and 14.7 meters high, can Tranporter troops and equipment, had made its third flight.

Profit warning

This agreement is obviously good news. But EADS will pay the piper in recent months. The group was informed on Friday that it will record an operating profit (EBIT) and net earnings were negative in 2009.In case the provision of 1.8 billion euros for the additional costs of A400 million, he announced today in a statement.

"The final figures will be disclosed during the announcement of full results of fiscal 2009 EADS March 9, 2010.

CM-CIC, which was released yesterday, Thursday, a "preview" (a score prediction results), banking on a net income of 60 million euros, while the Bloomberg consensus provided 21 million euros. But these figures do not include the provision because it was not known.

ALSO READ:

"Welsh optimistic about funding for the A400M

"A400M: Germany refuses to fund more than expected

At 400M: the plural of Airbus aircraft

"Airbus shared the joy of the record and anxiety

"The French aerospace cares for the Airbus A400M

Air Problems

Air traffic may experience some disruption on Wednesday and Thursday. An Inter-CGT-CGC-FO Unsa air traffic controllers said it was maintaining its notice to strike despite a meeting with Transport Minister Dominique Bussereau. Twelve thousand agents are concerned. They deal in particular security and air traffic management. The airlines will then induced to delay or cancel their flights. "We expect a fairly important to strike then strong enough disruption to our services. We warned these companies of significant disturbance to predict, "warns the Directorate General of Civil Aviation (DGCA). This should provide future traffic forecasts. Travelers are advised to check their flights before going on site. Several airports, such as Lille or Brest Britain, are already experiencing delays.Trade union sources suggest even the possibility of "Operation Snail" on access to airports.

Reason: the Inter asks the Government to reconsider its policy of non-renewal of retirement on two, or 400 job cuts in two years. The unions also fear a dismantling of the Directorate General of Civil Aviation (DGCA) in favor of a merger of services under the FABEC (block functional space common to Germany, Benelux and Switzerland) .

Officials should stop work

They are asked to raise next January 21 by the CGT, FSU, Solidaires, the NMS-CFDT and UNSA-Education.

Reason: they demand an immediate halt job cuts. According to them, in 2010, the State and public services will suffer their worst year in the budget with 30,000 job cuts.Since 2007, this will total more than 100,000 jobs have been eliminated. "Education is very particularly hard hit with more than 16,000 job cuts, totaling more than 40,000 jobs," said a statement of the UNSA-Education. A common departure is planned in Paris, Place de la Republique and 14h. "This movement must be sustainable, unions warn.

The maritime transport of goods affected

In continuation of the strike on January 4, a social movement paralyzes the major French ports since the beginning of the week. The mobilization could still continue. Monday, at the invitation of the National Federation of Ports and Docks CGT workers stopped work in Marseille, Dunkerque, Nantes-Saint Nazaire, Rouen, Bordeaux, La Rochelle and Le Havre. In the Normandy ports, they were almost 90% to strike. In Marseilles and Fos, fifteen vessels were affected.At Havre, the container terminals were very disturbed.

Reason: after the port reform, the CGT claimed the government guarantees employment, including the arduous, and investment. The union wants the expansion of the national collective agreement to river ports and fishing ports and want more information on the transfer of personnel handling to the private sector. The seven autonomous ports French in 2008 employed nearly 31,700 people. However, their market share relative to their European competitors continues to decline.

Mobilization to the Court of Appeal of Amiens

The unions and leftist parties called the 1120 employees of the factory Continental Clairoix to demonstrate to the Court of Appeal of Amiens on Wednesday.

Reason: the first trial court had sentenced heavily Compiegne six demonstrators protesting against the closure of their factory.The objective of the Inter is to obtain the release of six persons convicted of "looting" of the sub-prefecture of Compiegne April 21 last. That day, nearly 200 employees occupy the factory sub-prefecture, after learning they were rejected by the justice of their demand to cancel the procedure of closure. The trial will take place at 13:30.

ALSO READ:

"2009 the year of the hardening of social conflicts

European consumers should avoid this year's gas war, which traditionally opposes Russia to Ukraine. However, last week, the European Union monitors to close another front – this time oil – which is taken to Moscow and its close neighbor, Belarus.

It is populated by the republic of 10 million inhabitants, formerly subservient to the Soviet government, which handles a significant part of Russian oil destined for Europe. Now, Moscow intends to Minsk taxing exports of black gold, which should account for this small country a net loss of about 1.8 billion euros. In tough negotiations are taking place in the Russian capital, with the fear still present, the Russian government abruptly interrupted deliveries of oil.

Flowing through the Druzhba pipeline, the oil supplies to refineries in the Czech Republic, Slovakia, Hungary and Lithuania. Further downstream, 15% of oil consumed in Germany goes through this famous pipe, a proportion which reaches 75 in Poland! "We remain very attentive to the changing situation, said Thursday the spokesperson of European Commissioner for Energy, Andries Piebalgs. Brussels has negotiated with Moscow the introduction of an early warning system, designed to prevent energy crises.

"Bringing the country in the right way"

As usual in energy, trade dispute that combines economic and political considerations. Moscow wants to change the preferential treatment that allows today to Belarus, as a former Soviet republic, to pay no duty on the oil it imports from Russia.

The unspoken goal of the Russian government is to "bring in the right way" Belarussian President Alexander Lukashenko, who is attempting a rapprochement with the EU. Oil, which constitutes 37% of Belarusian exports, is easy ammunition. Meanwhile, Moscow and Minsk – allies in Astana, the capital of Kazakhstan – three negotiating the creation of a customs union, hardly compatible with the flirtation European Belarus. Between the Russian oil and Brussels, Alexander Lukashenko will probably choose.

ALSO READ

"Putin, the prime mover gas in Europe

"Russian-Ukrainian agreement on oil transit

The two bad U.S. indicators have failed to curb the enthusiasm of investors on the Paris Bourse. The CAC 40 closed up about 0.32% to 3910.75 points, above the threshold of the fateful 3900 points. When the volume of trade, they remain very low at 2.02 billion euros.

After a setback, following the publication of figures for new home sales in the United States and the index of consumer confidence, the market has finally resumed.

Defensive stocks in the spotlight

The largest increase in the CAC 40 is up to STMicroelectronics (1.80% to 6.34 euro).The group is supported by the resumption of investment in semiconductors.

Elsewhere in the charts are essentially defensive stocks such as PPR (+1.64% at 83.09 euros) or L'Oreal (+1.40% at 77.57 euros).

Great shape early in the session, as the Sanofi-Aventis does nibbles as 0.45% at closing. The pharmaceutical company would consider acquiring a stake in the Danish biotech company Zealand Pharma.

Veolia is maitient up (+1.06% to 22.79 euros). According to information from the Figaro, the group would link with the Italian railway company Trenitalia to launch TGV from France in 2012 to compete with the station.

EDF (+0.53% at 40.86 euros) has shown up throughout the meeting. The electricity supplier could open the French market for electricity in Russia's Gazprom by Voices."Gazprom will supply gas and electricity recovery in Europe," according to an anonymous source.

CAC Hors, Maurel & Prom Signs finest performance of the SBF 120. The title gained 4.15% to 12.55 euros after the announcement of successful tests on the exploration well OMGW-1 (Gwedidi-1), located in Gabon, on the exploration permit Omoueyi.

As for cuts, Suez Environment fall from 1.45% to 15.96 euros. On Tuesday, the group announced a contract for 34 million euros for the construction of a facility responsible for treating wastewater from PetroChina's refinery, located in Chengdu, the capital of Sichuan province, China.

Thomson continued his yoyo Wednesday. After more than 20% earlier this week, the title loses 2.77% to 0.95 euro.

The U.S. Treasury will have to wait again. The sale price of shares has been fixed by CITIGROUP, to 3.15 dollars. A figure below the $ 3.25 paid by the U.S. government, when fitted with a capital of the group last year and well below the closing price of 3.45 dollars per share Citigroup Wednesday.

Suffice to say that this news is more embarrassing for the U.S. Treasury had planned to sell up to five billion dollars of securities it owns Citigroup and completely out of the capital within six to twelve months.However, in the context of extending the bailout of banks until October 3, 2010, the U.S. Treasury has decided to extend for 45 days after freeze selling 7.7 billion shares it holds stake in Citigroup.

Citigroup plans to issue 17 billion worth of shares and will raise 3.5 billion extra in the form of securities convertible into shares in deteriorating solvency ratios. If market demand is strong, Citigroup may increase its emissions to 19.55 billion dollars.

ALSO READ:

"Abu Dhabi is challenging the admission in Citigroup

Citigroup pays 20 billion to the U.S. State

Around 13 hours, the CAC 40 in advance from 0.72% to 3784 points, after a cumulative loss of 2.34% over the last three sessions. Operators conducting repurchases cheaply despite the announcement by Standard & Poor's. The agency said that Spain risked a deterioration of its sovereign rating to a two-year horizon. It has downgraded the outlook to "negative" cons "stable" before, while maintaining its rating of "AA +" to the long-term debt of the country.

The Wall Street Journal reports that Gordon Brown and Nicolas Sarkozy on Thursday proposed a "global compact long term" of banking regulation. They would support a tax bonuses in banks and greater coordination of economic policies of states.

Values follow

BNP Paribas Assurance acquires 100% of Dexia Epargne Pension. The bank wishes to complete the transaction before the end of first quarter 2010.The transaction amount was not disclosed. The title takes BNP Paribas 0.92%.

Sanofi-Aventis (0.53%) and the American biotechnology company Alopexx Pharmaceuticals have signed a cooperation agreement on a new monoclonal antibody for the prevention and treatment of infectious diseases contracted in hospitals. Moreover, the vaccines division of Sanofi Pasteur, will expand into Latin America program of clinical trials of its vaccine against dengue.

Thomson collapses over 7%. The title returns to below 1 euro to 0.90 euro. The group released its backup plan to reduce its debt by 45% and will be submitted to its creditors on 21 and 22 December. Thomson provides a capital increase of approximately 348 million euros.

According to the Financial Times, RWE and E. ON would have to choose between Areva (0.81%) and Toshiba to build four to six reactors in the United Kingdom.The decision will be rendered within six months. Nuclear projects could reach 20 billion pounds (22 billion euros).

19 h 30, the feast in full swing at the Opera Gallery in the trendy chic Cheongdam, Seoul. Artists, businessmen, bankers are scrambling in the art gallery. "The Korean miracle? But there is no miracle. Since 1997, the country is simply vaccinated against the economic and financial crises, slips between two small kilns the boss of a large hotel chain. With growth of 2.9% in the third quarter compared with the previous quarter, South Korea appears as the OECD (Organization for Economic Cooperation and Development) who is recovering quickly. But for Lee Dong-keun, Deputy Director, Department of Trade performance is nothing magical. "The efforts to restructure our business and our financial institutions during the 1997 financial crisis provided a solid foundation to our economy.And this crisis has taught us that with a solid foundation can overcome the difficulties very quickly, "says he.

Weak Won

Twelve years ago, the "minor IMF (International Monetary Fund), that is to say cheap, flourished in windows of restaurants in Seoul. They symbolize a country to tighten their belts under the yoke of the international institution. Today, Bentley and Equus, the top model of Hyundai, the sparkle of luxury car. In truth, what makes the difference with the 1997 financial crisis is that the government has reacted very quickly.Between 2008 and late 2009, he has injected 88 400 billion won (50.8 billion euros) in the economy, including 26.8 billion in the form of tax reductions and lowered its interest rate of 5.25% to 2%.

"We come out faster because the initial conditions were not the same as those of Europe or the United States," said Hur Kyung-wook, Vice Minister of Finance. "The financial sector was not in the same situation as twelve years ago. The banks had money and had very little exposure to subprime loans. "

If the government failed to arrest the fall in exports, down from 20.7% in the first nine months of the year, it has saved its trade balance with the weakness of the won and the reduction imports."Our discussions have been penalized less than other Asian countries due to the diversification of our markets and our products," welcomes Yoon Jong-won, director general of the Office of Economic Policy at the Department of Strategy and Finance. Behind China (21.7% of exports), Europe (13.9%), North America (11%) and countries of ASEAN (Association of the South-Eastern Asia ) are in fact almost on a par. It remains to convert the try.

"Green Growth"

Unlike Japan, South Korea has no plans to ease its measures to support the economy. "The recovery is driven by the public and until the private sector recovers, emergency measures are necessary as well as fiscal stimulus.Exit plan would be entirely premature, "says Hur Kyung-wook.

The government relies on the vast field of "green growth", driven directly by President Lee Myung-bak to restart the machine. This project, which should raise some 60 billion euros of public and private spending in the next five years and create 1.8 million jobs, will own the car in the management of large rivers of the country, through the eco-towns. From the largest to smallest, all companies are required to participate. "They give us very positive signs," says Yoo Beom-sik, director of the Presidential Program Green Growth. Korea, which is 97% dependent on foreign countries for its oil and gas, is facing an energy bill of more than 93 billion dollars per year.As she turns to renewable energy, it is hoped that these will enable rapid development of new technologies.

It is also necessary now that the provinces play the game and also invest. The controversy has erupted in recent days, even within the ruling party, on the project to move 9 departments and 4 government agencies to Seoul Sejong City, 150 kilometers south of the capital, shows that the N is not won. It might even, in the eyes of some Koreans, delay or jeopardize the reform agenda of President Lee Myung-bak.

"South Korea: strongest growth in seven years