Business & Financial News

The new CEO does not rule Eiffage sale or closure of loss-making subsidiaries to consolidate the early resumption of the performance of the construction group observed in the first half.

Peter Berger, the designated successor of the president and founder of the number five European construction and concessions Jean-François Roverato, also announced for the energy division Forclum a savings plan to reduce by 3 to 4% overhead by 2013-2014.

"We will, on public works sectors, particularly energy, continue and even intensify our efforts and recovery plans so that the performances, which are stabilized, can go up significantly," said Peter Berger in a meeting with analysts.

"I do not exclude in particular on non-strategic subsidiaries deficit repeatedly stops or transfers," he added.

Eiffage, whose margins were negatively impacted in recent years by economic conditions and difficulties in the execution of certain contracts, including hospitals, also assured that he would in future be more selective in order intake .

"We anticipate a marked increase in free cash flow, the best three years, and therefore reduced our net debt due to a combination of debt reduction highways that will continue and the sale of certain assets that are PPP mature, "added Peter Berger.

RESUMPTION OF ACTIVITY CONFIRMED

Eiffage end of June showed a net debt to total 14.42 billion euros, 13.6 billion of debt lodged in the concessions.Autoroutes Paris Rhin Rhône conducted in the first half to three bond issues, the first step in the process of refinancing debt in February 2006 when privatisaton of French motorways.

"We will begin September 13 and 12 talks with banks to begin the process of refinancing Eiffarie and APRR, our goal is to finish the first quarter of 2012, that is to say again in advance before the final deadline is early 2013, "continued Pierre Berger.

Eiffage confirmed its objective of a return to growth in its turnover this year in view of a first half marked by an upturn after two consecutive years of contraction over the same period.

The group identified the first six months of the year an EBIT of 451 million euros, up 9.5% thanks to strong margin growth in the concessions. Its order book grew by 5% year on year.

In contrast, bond issues made by APRR in the first half came to adding to the financial burden of the company, bringing to 43 million euros against 70 million a year earlier net income, group share, a drop of 38 6%.

Prior to publication, the action Eiffage closed up sharply (7.48% to 33.90 euros), giving a market capitalization of around three billion euros. Since the beginning of the year, the title has sold about 4%, after declining 16% over the whole of 2010.

Ipsen, whose sales rose 5.3% in the first half, said Tuesday it had raised its sales forecast for 2011 in favor of a less pronounced decline than expected sales in general practice.

The pharmaceutical company said in a statement that it now expects a decline in sales in general practice between 3% and 5%, against an initial forecast of down 8% to 10%.

Ipsen said target and a recurring operating income adjusted from 190 to 200 million euros for the year.

For the first six months of the year, its recurring operating income stood at 143.9 million euros, up 27.1%, while its consolidated profit rose by 21.4% over the period to 91 , 7 million.

Ipsen also announced it has appointed Susheel Surpal Columbia, a former CFO of Sodexo, the position of executive vice president of pharmaceutical company, in charge of finance and administrative affairs.

In their research note, analysts office analysis Potzamparc have described the interim results of "publication quality that could give color to the title."

"However, there are still key issues to be addressed before proceeding further on the sale of general medicine in France and the future of the production site of Evreux," they said.

Earlier in the morning, Ipsen and Inspiration Biopharmaceuticals announced in a separate statement to have strengthened their partnership in the treatment of hemophilia with the creation of a commercial structure.

"Ipsen and Inspiration will establish and train a sales team highly specialized to become the exclusive network for the marketing of drugs Inspiration brand in Europe," indicate the two groups.

"The sales organization will take the form of a Business Unit Hemophilia backed by the trade organization's current Ipsen," they continue.

Airbus, a subsidiary of European aerospace and defense group EADS, announced Friday the signing of a contract with Lao Airlines to sell two single-aisle A320.

The two aircraft will be powered by CFM56 engines produced by CFM International, a joint venture between General Electric and Safran.

The airline, a new Airbus customer, has to operate the device including Bangkok and Singapore from Vientiane, the Laotian capital.

Airbus has garnered 922 gross orders (785 net) in the first seven months of the year and delivered 298 aircraft, well ahead of Boeing, including through the avalanche of contracts garnered at Paris Air Show in June.

Around 11:25, the EADS share price fell by 1.05% to 21.165 euros, while the CAC 40 index yielded 0.64% at the same time.The title earns 21% since the beginning of the year.

European shares ended down Thursday after three sessions in a row to rebound in the wake of Wall Street, where the departure of Executive Steve Jobs of Apple weighs on the coast.

The CAC 40 index finished down 0.65% at 3,119 points, after gaining 1.6% up in volumes that have accelerated shortly after the opening of Wall Street to finish at a level of 102% of their average last three months.

Other European stock markets, London has lost 1.44% and 0.25% Milan. Victims of several rumors, including one referring to a general ban on short sales in Germany denied by Berlin, Frankfurt fell 1.71%.The pan-European Euro Stoxx 50 index yielded 0.98% after opening up 0.6%.

On Wall Street, the S & P 500, Dow Jones and Nasdaq lost 1.1 to 1.2% at 6:17 p.m..

"The market plays to be afraid before Bernanke's speech tomorrow.The question is whether the Fed chairman will have the means to announce something solid while the United States are in a liquidity trap, "said Yves Marc, seller actions at Global Equities.

ADJUSTMENT SHOULD CONTINUE TO BACK

As for values, the bank (0.58%), the only growing sector, have benefited from the investment of $ 5 billion (3.5 billion) of Berkshire Hathaway in Bank of America.

This investment could be the harbinger of a more massive return of investors to the market this autumn, says Fabrice Cousté, CEO of CMC Markets France.

In Paris, Crédit Agricole jumped 4.81%, moving up and the top 40 increases in the ACC after publishing quarterly results better than expected, loads of Greece finally being advanced by less important.

"The adjustment of the markets continues and it seems likely that this adjustment continues in the fall," warned in a note Philippe Mimran, head of securities at managements UFG-LFP.

"The bond markets have clearly voted for a depressed economy, with real rates marginally positive German and American frankly negative," he adds.

The downturn in equity markets was also reflected in the yields of bonds rated.The performance of the 10-year German Bund dropped below the 2.2% to 2.179% against 2.188% yesterday.

That of the French OAT with the same maturity has returned around 2.86% after flirting with 2.95% in session, following the announcement of measures to improve public finances by the Prime Minister, François Fillon.

Fifteen years after an initial gain of almost 19 million francs, a Lotto player has done it again. He comes to pocket three million euros. The Lottery is gambling favorite of the French.

Same player plays again and … wins again! At fifteen years apart, he has twice pocketed three million euros in the lottery. This rare winner, who plays the game since its inception in 1976, this time it will "ensure a legacy for her two children."

"I have a lucky star," admitted on Wednesday the winner after receiving an anonymous check for 373.50 euros in 3001 the French Games (FDJ). He was the only one to check the six correct numbers of the Lotto draw on July 27. A very lucky winner even if the JDF identifies some cases identical. Each player Lotto (2 bet euros minimum) in fact has a chance in 19 million to find the right six numbers to win the pot.But the JDF has calculated that the same player now has a chance in 363 billion (000 billion or 363) to find twice the six correct numbers.

On a quiet, head of the Hérault has provided "very happy" but he welcomes the new gain "with much calm and serenity", "makes him less of an effect than the first." The fifties "in the industry," said he had invested his first win in April 1996 (18 818 305 francs, the equivalent of 2.86 million euros, according to its own calculations) in "business". He intends to use this new gain of slightly more than 3 million "to ensure a legacy to her two children."

He told playing a thousand euros each month with "multiple grids on several different grids."

Not the first case of double blow

This double gain in several years apart remember other cases identified by the FDJ.So Christian and his family have shared 1.5 million euros in 2005, received 28 years after 137,000 euros. Jean (2 million in both 1994 and 1997), took the opportunity to travel a lot and spoil his entourage. In 1992, Roland took home 675,000 euros and seven years later than 7 million. Luck had smiled for the first time five years ago to Martine. A subtle joy because the young woman was not the only one who found the six correct numbers and then she had touched "as 120,000 euros." In 2009, this time, she was the only one who checked the six correct numbers, an increase of 3 million euros.

Finally, 20 years ago, Andrew won a first time Loto Sportif two million francs (300,000 euros). On November 7, 2010, he is about playing with horse racing earned 10 euros to the Euro Millions.The terminal of gaming ARPU is down, it falls back to a Flash (the machine chooses the numbers in place of the player) and the lottery went on a cruise with friends. At the airport, he bought the Progress of Lyon but opens several days after the boat to discover that he has won nine million euros.

Gambling favorite of the French, the Lottery in May 2011 became the first game of the JDF to Rapido and Euro Million. In 2010, the Lottery had achieved a turnover of 1.5 billion euros on 10.5 billion euros in turnover in the JDF.

Oil prices have closed up Monday, while Brent has however declined, while the progress of the rebels Libyan suggests a possible resumption of oil exports of the country.

On the Nymex, the contract to September U.S. crude (WTI), which expired at the end of the session, ended with a gain of $ 1.86, or 2.26% to 84.12 dollars a barrel.Brent has in turn sold 26 cents, or 0.24% to 108.36 dollars.

Italy's Eni, which was the main foreign producer of oil in Libya, is back in the country, while the entry of rebels in Tripoli Libyan suggests a possible resumption of exports of oil.

Tanks and snipers in the Libyan Army struggled Monday morning to withstand the assaults of the rebels in the capital, where thousands of opponents of Gaddafi celebrated the imminent end of a free reign began in 1969.

Before the outbreak of the uprising in Libya, the country, a member of OPEC produced about 1.6 million barrels per day (bpd), nearly 2% of world production.

The titles of French Total, OMV of Austria and Eni have closed up 2.25%, 5.14% and 6.33%, the market hoping for a return to the situation prior to the insurgency.

The Stoxx Europe 600 index of oil and gas sector was up 1.28% on his side.

VAT reduction, reform of corporate tax … measures that the government hopes will be adopted next week should bring 4.9 billion euros to the state. Spanish Prime Minister Jose Luis Rodriguez Zapatero at a news conference late in July 2011.

Reduction in VAT on the purchase of new housing, reform of corporate taxes and mandatory use of generic drugs, these are the main weapons of the Spanish government, which adopted its new plan Friday to combat the crisis. "The government has approved a reduction in VAT from 8% to 4% for the purchase of a new home," said Jose Blanco, his spokesman, adding that it was an "exceptional measure and temporarily extended until 31 December. "Reform of the corporate tax should bring in 2.5 billion euros and the spread of generics 2.4 billion euros.

The plan, which the government hopes will be adopted next week, should bring 4.9 billion euros in state coffers, while the country is at the heart of a new financial turmoil that threatens the entire area euro. Jose Blanco confirmed that the government would urgently request the convening of Parliament to ensure that "measures be adopted so quickly."

Other measures for future employment

The economy minister, Elena Salgado, said the plan aimed to "support growth" and "generating activity and the recovery of the construction industry", at a press conference at the end Council of Ministers.The reduction in VAT should in particular help to sell many unsold new homes since the bursting of the housing bubble in 2008. The meltdown has precipitated the country into a severe economic crisis, with record unemployment in industrialized countries, with 20.89% in the second quarter.

Elena Salgado said the government would announce measures "to boost employment" at the Second Extraordinary Council of Ministers scheduled for August 26. These ads take place in a context of new financial market meltdown. The Madrid Stock Exchange is taken since late July in a new spiral and fell again Friday to levels not seen since the debt crisis of spring 2010.

Global stock markets dive back Thursday after several sessions of relative calm, rising fears of a global economic relapse accentuating aversion to risky assets and the "flight to quality".

In this context, also marked by the sovereign debt crisis, the safe havens like government bonds offer the best signature (U.S. Treasuries and German Bunds) or gold, multiply the record as is a succession of bad news .

"It puts money under the mattress.It no longer seeks the return but the absolute safety record even if out of stock losses, "said Alexandre Baradez, market analyst at Saxo Bank.

In Europe, the European stock markets saw another black day and extremely volatile, Morgan Stanley has set fire to the powder at the beginning of the session after reducing its forecast for global growth for 2011 and 2012, and fears about the liquidity of banks had increased.

In a note, the U.S. investment bank now expects growth in global gross domestic product (GDP) of 3.9% in 2011, against 4.2% previously and 3.8% in 2012, instead of 4 5%.

Sealed by the values ​​of automobiles (-7.4%), the construction sector (-7.1%) and banks (-6.7%), the CAC 40 index finished in fall of 5.5% EuroStoxx 50 and has dropped 5.3%.Implied volatility index jumped pan 34.6%.

ON THE BUBBLE OR

In New York, the S & P 500 drops 4% to 6:45 p.m. ET the CBOE volatility index, also known as the "fear index", is up 29%.

The president of the New York Fed had to ensure that the Federal Reserve deal the same way the U.S. and European banks after a Wall Street Journal who raised an intensified investigation of the Fed on the subsidiaries of European banks to the States United for fear of a contagion of debt.

"We will find asset classes with security even if they do not report anything like gold, which explains the records recorded regularly by the metal end," said Alexandre Baradez, referring to the new record registered by the Gold 1825.99 dollars an ounce.

Valerie Gastaldy, an analyst at Day By Day graphics, warned in a note that a bubble is also trying to form on gold.

"Gold is the star of the summer, with new regular summits and soon the psychological threshold of $ 2,000" an ounce, said she. "We note an acceleration of the uptrend and into bubble.The objective of the current movement is between 2,060 and 2,080 dollars, "

In turn, the futures contract on the German Bund to 10 years, part of the euro zone, reached a record high at 136.26, or 211 basis points more than the end of the day, after announcement of an index of business conditions from the Federal Reserve of Philadelphia fell to its lowest level since March 2009.

Similarly, the yield on 10-year U.S. Treasuries rose for the first time below the threshold of 2% to 1.976%, before rising to 2.09%.

Down time due to possible liquidity injections from the Swiss National Bank raised by traders, the Swiss franc, seen as another safe haven, now earns 0.6% against the euro at 1.1318 francs to one euro. The euro has evolved in a range between 1.1241 and 1.1510 francs.

Wall Street opened slightly higher Wednesday, taking advantage of the good results announced by the retailer Target, a barometer of U.S. consumption.

Ten minutes after the opening, the Dow Jones took 0.5%, or 56.50 points at 11,462.43, while the S & P 500 gained 0.78% or 9.30 points at 1202.06.

The Nasdaq claiming responsibility for its 0.4% (10.07 points) to 2533.52.

The attention of the U.S. market seems to have diverted from the debt crisis in the euro area, and rising raw materials or of the euro against the dollar appears to reflect an appetite for risk returned.

The release of producer prices for July at 12:30 GMT, had no significant effect on the odds.

Two hours before the opening of Wall Street, the Target Group has reported a quarterly profit up, procurement through the school year has boosted sales in the end.

The title took 5.25% to 51.96 dollars.

Still in the distribution chain Staples office supplies jumped 5.41% to 14.99 dollars after reporting better than expected results and raised its profit forecast.

Dell, however, weighs in on the Nasdaq plunging 6.45% to 14.78 dollars after the disappointing results announced after the close Tuesday.

The survival of the euro area requires a strengthening of the capital of its banking sector and especially by the federalization of its debt, says economist Jacques Delpla.

By accepting the principle that a member may be lacking, the agreement of July 21 on Greece threatens the euro area short-term burst, the judge on the Board of Economic Analysis, regularly consulted by policy makers French .

In this scenario, and without further action in the medium term, only a massive intervention by the European Central Bank may allow the euro area to remain in one piece, he said in a telephone interview with Reuters.

"The bursting of the euro area is the default position if we stick to the agreement of July 21," he said."It opens the Pandora's box.It was agreed that a country may be lacking in the euro zone and therefore the infection is there. "

Spain and Italy are already in sight and France, notably due to the exposure of its banks could follow, he argues.

"If we stick to the agreement of July 21, there is more than euro area before the end of the year unless the ECB buys all that problematic," he said.

To avoid this nightmare scenario, Jacques Delpla has a solution.

Its mechanism, developed with the German economist Jakob von Weizsäcker and a new version which will be presented next month, is to reform the structure of the European bond market by dividing into two legally public debt of each country in the euro area.

THE BLUE AND RED

On the one hand, debt payment, up to 60% of GDP, which would be pooled at the European level and managed by a European debt.

The rest of the debt would be red and focus on default risk of each country.

"There will be no euro area if there is no federal debt," said Jacques Delpla.

Debt blue, very safe, would be attractive to a market hungry for reliable asset and may even compete with the U.S. debt, he said.

Economist breath are two ideas to Nicolas Sarkozy and Angela Merkel, who will meet Tuesday at the Elysée with the menu how to strengthen the governance of the Euro weakened by the crisis of sovereign debt.

"The first is to strengthen the equity of the massive European banking sector, South and North, and the second is to go to debt payment," he said.

"I have not seen a proposal on the market better than ours," he insists.

STILL OPTIMISTIC

Jacques Delpla do not think that Europe but also in France, who must announce the August 24 new measures to meet its targets for reduction of public deficits.

"The objectives of the France based on a growth assumption is too high," said he.

"In the draft budget law is coming, there would be a reduction of public deficits, relative to what had been considered, two additional percentage points of GDP over two years, which would find 30 billion in 2012 and 10 in 2013.

"Otherwise, (Jean-Claude) Trichet will send the letter, or (Mario) Draghi, consult only the Parliament and it will no longer bother to ask France to be co-leader of the Europe ", he added, referring to the current president of the European Central Bank (ECB) and his designated successor.

The authors of the Maastricht Treaty had foreseen everything except a panic attack sovereign debt, estimated Delpla Jacques, who does not pay, however, not pessimism.

His reasons for optimism are three in number.

"First, I think the government will do what it takes," he said. "It is in the interest of Nicolas Sarkozy to be hard on deficits and he knows that if it does not, by default, it is beaten.

"Then I think the Germans will do the right thing too," he says. "At the foot of the wall, they still choose Europe."

The third reason is illustrated by the train he said drastic measures recently announced by Silvio Berlusconi.

"Countries are now obliged to take measures conducive to growth that they did not until now for reasons of petty politics," he says.