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Summarize the following article: Argentina closes $102.6bn debt swap Argentina is set to close its $102.6bn (£53.51bn) debt restructuring offer for bondholders later on Friday, with the government hopeful that most creditors will accept the deal. The estimated loss to bondholders is up to 70% of the original value of the bonds, yet the majority are expected to accept the government's offer. Argentina defaulted on its debt three years ago, the biggest sovereign default in modern history. Yesterday Argentina's economy minister, Roberto Lavagna, said that he estimated that the results of the restructuring would be ready around next Thursday (3 March). Argentina's President, Nestor Kirchner, said on Friday: "A year ago when we started the swap (negotiations), they told us we were crazy, that we were irrational." But he added that his government was close to achieving: "The best debt renegotiation in history." The country has been in default on the $102.6bn - based on an original debt of $81.8bn plus interest - for the past three years. If the offer does not go ahead, international lawsuits on behalf of aggrieved investors could follow but analysts are optimistic that it will go through, despite the tough terms for bondholders. About 70% to 80% of bondholders are expected to accept the terms of the offer. By 18 February, creditors holding $41bn - or 40% of the total debt - had accepted the offer. Sorting out its debt would enhance the country's credibility on international markets and enable it to attract more foreign investment. Of Argentina's bondholders, 38.4% reside in Argentina, 15.6% in Italy, 10.3% in Switzerland, 9.1% in the United States, 5.1% in Germany and 3.1% in Japan. Investors in the UK, Holland and Luxembourg have about 1% each and the remainder were not broken down by country. The deal is likely to be taken up most enthusiastically by domestic investors, who will benefit if Argentina's economy becomes more stable.

Argentina is set to close its $102.6bn (£53.51bn) debt restructuring offer for bondholders later on Friday, with the government hopeful that most creditors will accept the deal.By 18 February, creditors holding $41bn - or 40% of the total debt - had accepted the offer.The country has been in default on the $102.6bn - based on an original debt of $81.8bn plus interest - for the past three years.About 70% to 80% of bondholders are expected to accept the terms of the offer.Argentina defaulted on its debt three years ago, the biggest sovereign default in modern history.The estimated loss to bondholders is up to 70% of the original value of the bonds, yet the majority are expected to accept the government's offer.

Summarize the following article: Rescue hope for Borussia Dortmund Shares in struggling German football club Borussia Dortmund slipped on Monday despite the club agreeing a rescue plan with creditors on Friday. The club, which has posted record losses and racked up debts, said last week that it was in "a life-threatening profitability and financial situation". Creditors agreed on Friday to suspend interest payments until 2007. News of the deal had boosted shares in the club on Friday, but the stock slipped back 7% during Monday morning. In addition to the interest-payment freeze, Borussia Dortmund also will get short-term loans to help pay salaries. It estimated that it needs almost 30m euros ($39m; £21m) until the end of June if it is to pay its bills. The football club is hoping that all its creditors will agree to defer rent payments on its Westfalen stadium. Borussia officials met with almost all the banks involved in its financing on Friday and over the weekend. Three creditors have yet to agree to the deal struck last week. On 14 March, one of these creditors - property investment fund Molsiris which owns the club's stadium - holds its AGM at which it will discuss the rescue plan. Chief executive Gerd Niebaum stepped down last week and creditors have been pushing for a greater say in how the club is run. Borussia Dortmund also is facing calls to appoint executives from outside the club. The club posted a record loss of 68m euros in the 12 months through June. Adding to its woes, Borussia Dortmund was beaten 5-0 by Bayern Munich on Saturday.

Shares in struggling German football club Borussia Dortmund slipped on Monday despite the club agreeing a rescue plan with creditors on Friday.Borussia Dortmund also is facing calls to appoint executives from outside the club.The football club is hoping that all its creditors will agree to defer rent payments on its Westfalen stadium.The club posted a record loss of 68m euros in the 12 months through June.Chief executive Gerd Niebaum stepped down last week and creditors have been pushing for a greater say in how the club is run.The club, which has posted record losses and racked up debts, said last week that it was in "a life-threatening profitability and financial situation".

Summarize the following article: Saudi NCCI's shares soar Shares in Saudi Arabia's National Company for Cooperative Insurance (NCCI) soared on their first day of trading in Riyadh. They were trading 84% above the offer price on Monday, changing hands at 372 riyals ($99; £53) after topping 400 early in the day. Demand for the insurer's debut shares was strong - 12 times what was on sale. The listing was part of the country's plans to open up its insurance market and boost demand in the sector. Deregulation is expected to boost demand for accident and damage cover. Previously, only NCCI has been legally allowed to offer insurance products within Saudi Arabia. However, the authorities have turned a blind eye to the many other firms selling insurance. Saudi Arabia now wants a fully functioning insurance industry and is introducing legislation that will clamp down on unauthorised companies. Policy-makers also want to make having insurance more of a requirement, but first have to take steps to boost public confidence in the system, analysts said. As a result, NCCI is being developed as the industry's flagship firm - publicly-listed, with audited accounts. Saudi Arabia sold 7 million NCCI shares, or about 70% of the company's total capital last month. More than 800,000 applicants got 9 shares each for 205 riyals apiece.

Shares in Saudi Arabia's National Company for Cooperative Insurance (NCCI) soared on their first day of trading in Riyadh.Previously, only NCCI has been legally allowed to offer insurance products within Saudi Arabia.The listing was part of the country's plans to open up its insurance market and boost demand in the sector.Saudi Arabia now wants a fully functioning insurance industry and is introducing legislation that will clamp down on unauthorised companies.Saudi Arabia sold 7 million NCCI shares, or about 70% of the company's total capital last month.

Summarize the following article: Brussels raps mobile call charges The European Commission has written to the mobile phone operators Vodafone and T-Mobile to challenge "the high rates" they charge for international roaming. In letters sent to the two companies, the Commission alleged the firms were abusing their dominant market position in the German mobile phone market. It is the second time Vodafone has come under the Commission's scrutiny. The UK operator is already appealing against allegations that its UK roaming rates are "unfair and excessive". Vodafone's response to the Commission's letter was defiant. "We believe the roaming market is competitive and we expect to resist the charges," said a Vodafone spokesman. "However we will need time to examine the statement of objections in detail before we formally respond." The Commission's investigation into Vodafone and Deutsche Telekom's T-Mobile centres on the tariffs the two companies charge foreign mobile operators to access their networks when subscribers of those foreign operators use their mobile phones in Germany. The Commission believes these wholesale prices are too high and that the excess is passed on to consumers. "The Commission aims to ensure that European consumers are not overcharged when they use their mobile phones on their travels around the European Union," the Commission said in a statement. Vodafone and O2, Britain's other big mobile phone operator, were sent similar statements of objections by the Commission in July last year. Vodafone sent the Commission a response to those allegations in December last year and is now waiting for a reply. The Vodafone spokesman said a similar process would be set in motion with these latest statement of objections about its operations in Germany. The companies will have three months to respond to the Commission's allegations and the process "may go on for some time yet", the spokesman said. The Commission could charge the companies up to 10% of their annual turnover, though in practice that sort of figure is rarely demanded. The Commission's latest move comes just a few months after national telecoms regulators across Europe launched a joint investigation which could lead to people being charged less for using their mobile phone when travelling abroad. The investigation involves regulators assessing whether there is effective competition in the roaming market.

Vodafone and O2, Britain's other big mobile phone operator, were sent similar statements of objections by the Commission in July last year.The European Commission has written to the mobile phone operators Vodafone and T-Mobile to challenge "the high rates" they charge for international roaming.The Commission's investigation into Vodafone and Deutsche Telekom's T-Mobile centres on the tariffs the two companies charge foreign mobile operators to access their networks when subscribers of those foreign operators use their mobile phones in Germany."The Commission aims to ensure that European consumers are not overcharged when they use their mobile phones on their travels around the European Union," the Commission said in a statement.Vodafone sent the Commission a response to those allegations in December last year and is now waiting for a reply.In letters sent to the two companies, the Commission alleged the firms were abusing their dominant market position in the German mobile phone market.The Vodafone spokesman said a similar process would be set in motion with these latest statement of objections about its operations in Germany.

Summarize the following article: Fresh hope after Argentine crisis Three years after Argentina was hit by a deadly economic crisis, there is fresh hope. The country's economy is set to grow about 8% this year after seeing 9% growth last year, a sharp turnaround from 2002 when output fell 11%. The unemployment rate is improving, too: It is set to slip below 13% by the end of the year, down from 20% in May 2002. True, problems remain, but the overall picture is one of vast improvement. Even the International Monetary Fund (IMF) admits this. "The Argentine authorities are proud, should be proud, of the strong performance of the economy," Thomas Dawson, an IMF director, said earlier this month. Argentina has made a remarkable recovery from a hideous and lengthy recession which in 2001 culminated in the government halting debt repayments to its private creditors. The debt default sparked a deep and prolonged economic crisis which, at least initially, was made worse by the government's decisions. Pension payments were halted and bank accounts frozen as part of austerity measures introduced by the government to deal with the country's massive debts. In response, angry crowds of ordinary Argentines took to the streets where dozens of lives were lost in clashes with the police. Two presidents and at least three finance minister resigned in less than a month. Argentina was on the brink of collapse. The fix was found in the currency markets with the abandonment of the peso's decade-long peg to the US dollar in February 2002. The subsequent devaluation saw thousands of people's life savings disappear. Scathes of companies went bust. "Three years ago, every sector [of the economy] was hit by the crisis," said entrepreneur Drayton Valentine. It really was dire. But since then, the general mood on the ground has improved dramatically, in part because the devaluation helped attract fresh direct investment from abroad and stimulate business within Brazil. "Agriculture and tourism are helping," said entrepreneur Drayton Valentine. Mr Valentine, who was born in the United States but grew up in Argentina, was fortunate: At the time of the crisis, his savings were held in dollar accounts abroad. But now he is using his money to help with the start-up a trading company. He explained that initially, his firm is going to export building materials to Spain and United States. Then, he would like to diversify to other areas, depending on the market. "Locally there is a sense of recovery, many companies are exporting now," he said, noting that a lot of firms, which were closed during the crisis, are re-opening. But not all that shines is gold. Argentina is still burdened by its failure to pay private creditors at the end of 2001. President Nestor Kirchner's administration is still trying to hammer out an agreement with the creditors, but with the debts' nominal value standing at around $100bn it is not proving easy. Debt defaults make further lending agreements both difficult and expensive to negotiate. Argentina's current offer implies that the creditors would get just 25 cents for each dollar they are owed, according to the creditors. Understandably, they want more and until they do, both they and others are loath to continue lending. For President Kirchner, this proves a hopeless challenge. Real losses have been suffered and somebody has to pay, observed Jack Boorman, adviser to IMF's managing director, Rodrigo Rato. "Everyone needs to keep in mind the enormous cost on the part of both creditors and the Argentine society and people that will have been endured by the time a settlement is reached," he said. "The cost is enormous, and continues to be paid, and will not be reversed by any restructuring." With the international negotiations being troubled, it is of little help to President Kirchner that the domestic situation remains strained as well. This is partly because there are still bank account holders who are waiting to recover some of their deposits. "The situation is bad for those who had previously chosen to save in Argentina, " said Carlos Baez Silva, president of AARA, an association that represents bank account and bond holders. Few people have recovered more than about half their savings, Mr Baez Silva estimated, pointing out that many of the savers who have lost out are pensioners or others who once trusted the government, people who set aside money for the future in the belief that their investment would be safe. "A lot of them invested in good faith," he said. "The Argentine state responded by taking most of their investments." The affair has made Mr Baez Silva disillusioned with the country's legal system. On occasion, the Supreme Court has ruled against the interests of the people he represents, he says, insisting that the system cannot be trusted. "People have to deposit their money in the banks, not necessarily because they trust them but because crime is so high that people cannot have their money in their homes beneath their mattresses." Mr Valentine, who was born in the United States but grew up in Argentina, agreed. "If I have to save pesos [the local currency] there is not much problem, but I will think twice before I deposit dollars in a bank".

Mr Valentine, who was born in the United States but grew up in Argentina, was fortunate: At the time of the crisis, his savings were held in dollar accounts abroad."Three years ago, every sector [of the economy] was hit by the crisis," said entrepreneur Drayton Valentine.Three years after Argentina was hit by a deadly economic crisis, there is fresh hope.Mr Valentine, who was born in the United States but grew up in Argentina, agreed."The situation is bad for those who had previously chosen to save in Argentina, " said Carlos Baez Silva, president of AARA, an association that represents bank account and bond holders.Argentina was on the brink of collapse.Few people have recovered more than about half their savings, Mr Baez Silva estimated, pointing out that many of the savers who have lost out are pensioners or others who once trusted the government, people who set aside money for the future in the belief that their investment would be safe."Everyone needs to keep in mind the enormous cost on the part of both creditors and the Argentine society and people that will have been endured by the time a settlement is reached," he said.The debt default sparked a deep and prolonged economic crisis which, at least initially, was made worse by the government's decisions.Argentina has made a remarkable recovery from a hideous and lengthy recession which in 2001 culminated in the government halting debt repayments to its private creditors."Locally there is a sense of recovery, many companies are exporting now," he said, noting that a lot of firms, which were closed during the crisis, are re-opening.Argentina is still burdened by its failure to pay private creditors at the end of 2001.The affair has made Mr Baez Silva disillusioned with the country's legal system.It really was dire.The fix was found in the currency markets with the abandonment of the peso's decade-long peg to the US dollar in February 2002."The Argentine authorities are proud, should be proud, of the strong performance of the economy," Thomas Dawson, an IMF director, said earlier this month."Agriculture and tourism are helping," said entrepreneur Drayton Valentine."If I have to save pesos [the local currency] there is not much problem, but I will think twice before I deposit dollars in a bank".

Summarize the following article: Metlife buys up Citigroup insurer US banking giant Citigroup has sold its Travelers Life & Annuity insurance arm to Metlife for $11.5bn (£6.1bn). The sale is a further move by Citigroup away from its 1990s strategy of offering every financial service - insurance, broking and banking. Profit growth in the insurance market has not matched expansion at Citigroup's other businesses. For Metlife, the US's leading insurance company, the purchase gives it access to a much larger distribution network. Robert Benmosche, Metlife's chairman and chief executive, said that it was a "great opportunity for the brand of Metlife to be distributed through Citigroup". Under the agreement, Metlife will be able to sell its products through Citigroup over the next 10 years. The deal includes Smith Barney retail brokerages and Citibank branches. The company will pay between $1bn and $3bn in Metlife stock with the rest being made up of cash. Travelers had sales of $5.2bn in 2004 and made a profit of $901m. It has total net assets of $96bn. "This deal employs some of Metlife's excess capital in a potentially higher-return business and gives it more distribution," said Stuart Quint, an analyst at Gartmore.

US banking giant Citigroup has sold its Travelers Life & Annuity insurance arm to Metlife for $11.5bn (£6.1bn).The company will pay between $1bn and $3bn in Metlife stock with the rest being made up of cash.Travelers had sales of $5.2bn in 2004 and made a profit of $901m.For Metlife, the US's leading insurance company, the purchase gives it access to a much larger distribution network.It has total net assets of $96bn.

Summarize the following article: Asia shares defy post-quake gloom Thailand has become the first of the 10 southern Asian nations battered by giant waves at the weekend to cut its economic forecast. Thailand's economy is now expected to grow by 5.7% in 2005, rather than 6% as forecast before tsunamis hit six tourist provinces. The full economic costs of the disaster remain unclear. In part, this is because of its scale, and because delivering aid and recovering the dead remain priorities. But Indonesian, Indian and Hong Kong stock markets reached record highs on Wednesday, suggesting that investors do not fear a major economic impact. The highs showed the gap in outlook between investors in large firms and individuals who have lost their livelihoods. Investors seemed to feel that some of the worst-affected areas - such as Aceh in Indonesia - were so under-developed that the tragedy would little impact on Asia's listed companies, according to analysts. "Obviously with a lot of loss of life, a lot of time is needed to clean up the mess, bury the people and find the missing. But it's not necessarily a really big thing in the economic sense," said ABN Amro chief Asian strategist Eddie Wong. India's Bombay Stock Exchange inched slightly above its previous record close on Wednesday. Expectations of strong corporate earnings in 2005 drove the Indonesian stock exchange in Jakarta to a record high on Wednesday. In Hong Kong, the Hang Seng index may be benefiting in part from the potential for its listed property companies to gain from rebuilding contracts in the tsunami-affected regions of South East Asia. In Sri Lanka, some economists have said that as much as 1% of annual growth may be lost. Sri Lanka's stock market has fallen about 5% since the weekend, but it is still 40% higher than at the start of 2004. Thailand may lose 30bn baht (£398m; $768m) in earnings from tourism over the next three months, according to tourism minister Sontaya Kunplome. In the affected provinces, he expects the loss of tourism revenue to be offset by government reconstruction spending. Thailand intends to spend a similar sum - around 30bn baht - on the rebuilding work. "It will take until the fourth quarter of next year before tourist visitors in Phuket and five other provinces return to their normal level," said Naris Chaiyasoot, director general at the ministry's fiscal policy office. In the Maldives the cost of reconstruction could wipe out economic growth, according to a government spokesman. "Our nation is in peril here," said Ahmed Shaheed, the chief government spokesman. He estimated the economic cost of the disaster at hundreds of millions of dollars. The Maldives has gross domestic product of $660m. "It won't be surprising if the cost exceeds our GDP," he said. "In the last few years, we made great progress in our standard of living - the United Nations recognised this. Now we see this can disappear in a few days, a few minutes." Shaheed noted that investment in a single tourist resort - the economic mainstay - could run to $40m. Between 10 and 12 of the 80-odd resorts have been severely damaged, and a similar number have suffered significant damage. However, many experts, including the World Bank, have pointed out that it is still difficult to assess the magnitude of the disaster and its likely economic impact.

In the Maldives the cost of reconstruction could wipe out economic growth, according to a government spokesman.But Indonesian, Indian and Hong Kong stock markets reached record highs on Wednesday, suggesting that investors do not fear a major economic impact.The full economic costs of the disaster remain unclear.He estimated the economic cost of the disaster at hundreds of millions of dollars.Thailand has become the first of the 10 southern Asian nations battered by giant waves at the weekend to cut its economic forecast.Shaheed noted that investment in a single tourist resort - the economic mainstay - could run to $40m."Our nation is in peril here," said Ahmed Shaheed, the chief government spokesman.But it's not necessarily a really big thing in the economic sense," said ABN Amro chief Asian strategist Eddie Wong.Expectations of strong corporate earnings in 2005 drove the Indonesian stock exchange in Jakarta to a record high on Wednesday.Thailand may lose 30bn baht (£398m; $768m) in earnings from tourism over the next three months, according to tourism minister Sontaya Kunplome.However, many experts, including the World Bank, have pointed out that it is still difficult to assess the magnitude of the disaster and its likely economic impact.In Sri Lanka, some economists have said that as much as 1% of annual growth may be lost.

Summarize the following article: US seeks new $280bn smoker ruling The US Justice Department is to try to overturn a court ruling that threw out its claim for $280bn (£149bn) in damages from tobacco firms. Earlier this month, a three-judge appeal court panel rejected the claim - filed in 1999 by the administration of Bill Clinton - in a 2-1 decision. Government lawyers said they would ask the full US Court of Appeals for the District of Columbia to hear the case. The court room battle is seen as key in government attempts to fight smoking. "It's pretty clear that they've suffered a severe setback," said Anthony Sebok, a professor at Brooklyn Law School, adding that the appeal was what the government "would be expected to ask for". Prosecutors had argued that tobacco firms lied about the dangers of smoking, ignored research that highlighted problems, looked to increase addiction by manipulating nicotine levels and targeted the young with their adverts. Among the firms accused were Altria Group, RJ Reynolds Tobacco, Lorillard Tobacco, Liggett Group and Brown and Williamson. Prosecutors went after the companies using legislation put in place to fight organised crime, and accused the firms of conspiring and running "Racketeer Influenced and Corrupt Organisations". The tobacco companies denied the charges, saying that they never illegally conspired to promote smoking and fool the public. They also said that they have met many of the government's demands laid out in a landmark $206bn settlement hammered out in 1998 with 46 states. A three-judge panel agreed with the companies, finding that the case could not be brought under federal anti-racketeering laws. Central to the government's case was a meeting in the Plaza Hotel, New York, on 15 December, 1953. Prosecutors contend that executives from the major tobacco firms met and agreed to present a unified strategy denying the harmful effects of smoking. Despite denying for decades that smoking could be linked to illness, the companies have modified their stances in recent years. Altria's Philip Morris now accepts that nicotine is harmful, and the company's main lawyer William Ohlemeyer told the BBC last year that earlier statements may have been wrong but they were not dishonest. Government lawyers have until 21 March to file their appeal.

Government lawyers said they would ask the full US Court of Appeals for the District of Columbia to hear the case.Prosecutors contend that executives from the major tobacco firms met and agreed to present a unified strategy denying the harmful effects of smoking.The court room battle is seen as key in government attempts to fight smoking.Prosecutors had argued that tobacco firms lied about the dangers of smoking, ignored research that highlighted problems, looked to increase addiction by manipulating nicotine levels and targeted the young with their adverts.Government lawyers have until 21 March to file their appeal.The US Justice Department is to try to overturn a court ruling that threw out its claim for $280bn (£149bn) in damages from tobacco firms.The tobacco companies denied the charges, saying that they never illegally conspired to promote smoking and fool the public.

Summarize the following article: Ericsson sees earnings improve Telecoms equipment supplier Ericsson has posted a rise in fourth quarter profits thanks to clients like Deutsche Telekom upgrade their networks. Operating profit in the three months to 31 December was 9.5bn kronor (£722m; $1.3bn) against 6.3bn kronor last year. Shares tumbled, however, as the company reported a profit margin of 45.6%, less than the 47.3% forecast by analysts and down from 47.1% in the third quarter. Ericsson shares dropped 5.9% to 20.7 kronor in early trading on Thursday. However, the company remained optimistic about its earnings outlook after sales in the fourth quarter rose 9% to 39.4bn kronor. "Long-term growth drivers of the industry remain solid," Ericsson said in a statement. Chief executive Carl-Henric Svanberg explained that about "27% of the world's population now has access to mobile communications". "This is exciting for a company with a vision of an all-communicating world," he added. Mr Svanberg, however, warned that the extra demand that had driven 2004 sales had already dissipated and it was "business as usual". He added that sales in the first three months of 2005 would be subject to "normal seasonality". For the whole of 2004, Ericsson returned a net profit of 19bn kronor, compared with a loss of 10.8bn kronor in 2003. Sales climbed to 131.9 billion kronor from 117.7bn kronor in 2003.

For the whole of 2004, Ericsson returned a net profit of 19bn kronor, compared with a loss of 10.8bn kronor in 2003.Operating profit in the three months to 31 December was 9.5bn kronor (£722m; $1.3bn) against 6.3bn kronor last year.However, the company remained optimistic about its earnings outlook after sales in the fourth quarter rose 9% to 39.4bn kronor.Sales climbed to 131.9 billion kronor from 117.7bn kronor in 2003.Ericsson shares dropped 5.9% to 20.7 kronor in early trading on Thursday.

Summarize the following article: BMW cash to fuel Mini production Less than four years after the new Mini was launched, German car maker BMW has announced £100m of new investment. Some 200 new jobs are to be created at the Oxford factory, including modernised machinery and a new body shell production building. The result of the investment could be to raise output to more than 200,000 cars from 2007. The rise, from 189,000 last year, is a response to rapidly-rising demand and could help wipe out waiting lists. Before Wednesday's announcement, BMW had invested some £280m in Mini production. Since its launch during summer 2001, the new Mini has gone from strength to strength. Last year, almost one in six cars sold by the BMW group was a Mini. The company admits that the success of the brand came despite scepticism from many in the industry. "Our decision to produce a new Mini was not received well right away," said Norbert Reithofer, a member of the BMW management board. Initially, BMW said it would produce 100,000 Mini models a year at its vast Cowley factory on the outskirts of Oxford, but the target was quickly reached, then raised, time and time again. Not everyone is convinced that the boom can continue. "The risk is that after they've invested massively in the brand, demand tapers off like it did with the new VW Beetle," said Brad Wernle, from Automotive News Europe. The price of the car has also gone up. When it was launched, the cheapest Mini cost just more than £10,000. These days, buyers will have to fork out almost £11,500 to own a new Mini One, or even more for the Cooper S which costs up to £17,730. The Mini Convertible, which was launched last spring, costs up to £15,690 for the top model, and there is even a waiting list. Second-hand Minis are not cheap either. A Mini One bought when the model was launched should still fetch at least £8,000 for the cheapest model, while a used Cooper S is likely to be priced from £12,556, according to the-car buying website Parker's. The consumers' association Which operates with slightly different numbers, yet it confirms that the Mini Cooper 1.6 depreciates slower than any other car, other than the Mercedes Benz C180 SE and the BMW 1 Series 116i SE. The Cowley factory, which initially seemed far too large a production plant for just 100,000 Minis, is increasingly being put to good use. There are plans to tear down old buildings and build new ones and there are rumours that a new paint shop could be included in the plans. BMW's Mini adventure has made good much of what went wrong during its stewardship of the UK car maker Rover which it sold for £10 five years ago to the Phoenix consortium. In 1999, when BMW still owned Rover, the Oxford factory was producing the award-winning Rover 75. During that year, 3,500 people produced 56,000 cars. Last year, in the same factory, almost four times as many vehicles were produced by just 4,500 Mini-workers. The Mini factory's current output is equally impressive when compared with the main Rover factory in Longbridge, which in 1999 produced 180,000 Rover cars. Last year, MG Rover, which employs more than 6,000 people, produced just 110,000 cars, though it hopes to land a deal with Shanghai Automotive Industry Corporation (SAIC) that could help double the number of cars produced at Longbridge. Indeed, Mini is not only producing more cars than MG Rover does; it remains ahead even when the current sales of Land Rovers and Range Rovers (which are made by the former Rover unit that BMW sold to Ford) are taken into account.

Less than four years after the new Mini was launched, German car maker BMW has announced £100m of new investment.Last year, almost one in six cars sold by the BMW group was a Mini.Initially, BMW said it would produce 100,000 Mini models a year at its vast Cowley factory on the outskirts of Oxford, but the target was quickly reached, then raised, time and time again.When it was launched, the cheapest Mini cost just more than £10,000.These days, buyers will have to fork out almost £11,500 to own a new Mini One, or even more for the Cooper S which costs up to £17,730.The Mini Convertible, which was launched last spring, costs up to £15,690 for the top model, and there is even a waiting list.Last year, MG Rover, which employs more than 6,000 people, produced just 110,000 cars, though it hopes to land a deal with Shanghai Automotive Industry Corporation (SAIC) that could help double the number of cars produced at Longbridge.The Mini factory's current output is equally impressive when compared with the main Rover factory in Longbridge, which in 1999 produced 180,000 Rover cars.BMW's Mini adventure has made good much of what went wrong during its stewardship of the UK car maker Rover which it sold for £10 five years ago to the Phoenix consortium."Our decision to produce a new Mini was not received well right away," said Norbert Reithofer, a member of the BMW management board.In 1999, when BMW still owned Rover, the Oxford factory was producing the award-winning Rover 75.Before Wednesday's announcement, BMW had invested some £280m in Mini production.

Summarize the following article: Putin backs state grab for Yukos Russia's president has defended the purchase of Yukos' key production unit by state-owned oil firm Rosneft, saying it followed free market principles. Vladimir Putin said it was quite within the rights of a state-owned company to ensure its interests were met. Rosneft bought 100% of Baikal Finance Group, in a move that amounts to the renationalisation of a major chunk of Russia's booming oil industry. Rosneft will now control about 16% of Russia's total crude oil output. Yukos share jumped in Moscow, climbing as much as 50% before being suspended. Rosneft is already in the process of merging with Gazprom, the world's biggest gas company, a move that will see Gazprom return to majority state-ownership. Baikal was the surprise buyer of oil and gas giant Yukos's main production division at a forced auction on Sunday. "Everything was done by market methods," Mr Putin said at his year-end press conference in Moscow. Shedding some light on the Kremlin's motivation, Mr Putin referred to a period of so-called "cowboy capitalism" that followed the collapse of the Soviet Union. He said privatisations carried out in the early 1990s had involved trickery, including law breaking, by people seeking to acquire valuable state property. "Now the state, using market methods, is safeguarding its interests. I think this is quite normal," the Russian president said. A Rosneft spokesman has said the acquisition is part of its plan to build a "balanced, national energy corporation." The latest announcement comes after more than a year of wrangling that has pushed Yukos, one of Russia's biggest companies to the brink of collapse. The Russian government put Yukos's Yuganskneftegas subsidiary up for sale last week after hitting the company with a $27bn (£14bn) bill for back taxes and fines. Analysts say that Yukos's legal attempts to block the auction by filing for bankruptcy protection in the US are probably what caused this week's cloak-and-dagger dealings. Gazprom, the company originally tipped to buy Yuganskneftegas, was banned from taking part in the auction by a US court injunction. By selling the Yukos unit to little-known Baikal and then to Rosneft, Russia is able to circumvent a host of tricky legal landmines, analysts said. "You cannot sue the Russian government," said Eric Kraus, a strategist at Moscow's Sovlink Securities. "The Russian government has sovereign immunity." "The government is renationalising Yuganskneftegas." Even so, analysts reckon that the saga still has a long way to go. The Rosneft announcement came just hours after Yukos accused Gazprom of illegally taking part in Sunday's auction. It has said it will be seeking damages of $20bn. The claim was made at the latest hearing in the US bankruptcy court in Houston, Texas, where Yukos, had filed for Chapter 11 bankruptcy protection. If found in contempt of the US court order blocking the auction, Gazprom could face having foreign assets seized. Yukos' lawyers had also been expected to try to have Baikal's assets frozen. Lawyers claimed the auction was illegal because Yukos - with an office in Houston - had filed for bankruptcy and therefore its assets were under the protection of US law which has worldwide jurisdiction. Further muddying the waters is a merger between Rosneft and Gazprom which authorities have said will go ahead as planned.

Lawyers claimed the auction was illegal because Yukos - with an office in Houston - had filed for bankruptcy and therefore its assets were under the protection of US law which has worldwide jurisdiction.Russia's president has defended the purchase of Yukos' key production unit by state-owned oil firm Rosneft, saying it followed free market principles.It has said it will be seeking damages of $20bn.The Rosneft announcement came just hours after Yukos accused Gazprom of illegally taking part in Sunday's auction.Gazprom, the company originally tipped to buy Yuganskneftegas, was banned from taking part in the auction by a US court injunction.By selling the Yukos unit to little-known Baikal and then to Rosneft, Russia is able to circumvent a host of tricky legal landmines, analysts said.A Rosneft spokesman has said the acquisition is part of its plan to build a "balanced, national energy corporation."Further muddying the waters is a merger between Rosneft and Gazprom which authorities have said will go ahead as planned."Everything was done by market methods," Mr Putin said at his year-end press conference in Moscow.The latest announcement comes after more than a year of wrangling that has pushed Yukos, one of Russia's biggest companies to the brink of collapse.Vladimir Putin said it was quite within the rights of a state-owned company to ensure its interests were met."The Russian government has sovereign immunity."

Summarize the following article: 'Strong dollar' call halts slide The US dollar's slide against the euro and yen has halted after US Treasury Secretary John Snow said a strong dollar was "in America's interest". But analysts said any gains are likely to be short-lived as problems with the US economy were still significant. They also pointed out that positive comments apart, President George W Bush's administration had done little to stop the dollar's slide. A weak dollar helps boost exports and narrow the current account deficit. The dollar was trading at $1.2944 against the euro at 2100GMT, still close to the $1.3006 record level set on 10 November. Against the Japanese yen, it was trading at 105.28 yen, after hitting a seven-month low of 105.17 earlier in the day. Policy makers in Europe have called the dollar's slide "brutal" and have blamed the strength of the euro for dampening economic growth. However, it is unclear whether ministers would issue a declaration aimed at curbing the euro's rise at a monthly meeting of Eurozone ministers late on Monday. Higher growth in Europe is regarded by US officials as a way the huge US current account deficit - that has been weighing on the dollar - could be reduced. Mr Snow who is currently in Dublin at the start of a four-nation EU visit, has applauded Ireland's introduction of lower taxes and deregulation which have helped boost growth. "The eurozone is growing below its potential. When a major part of the global economy is below potential there are negative consequences... for the citizens of those economies... and for their trading partners," he said. Mr Snow's comments may have helped shore up the dollar on Monday, but he was careful to qualify his statement. "Our basic policy, of course, is to let open, competitive markets set the values," he explained. "Markets are driven by fundamentals and towards fundamentals." US officials have also said that other economies need to grow, so the US is not the main global growth engine. Economists say that the fundamentals, or key indicators, of the US economy are looking far from rosy. Domestic consumer demand is cooling, and heavy spending by President Bush has pushed the budget deficit to a record $427bn (£230bn). The current account deficit, meanwhile, hit a record $166bn in the second quarter of 2004. For many analysts, a weaker dollar is here to stay. "No end is in sight," said Carsten Fritsch, a strategist at Commerzbank . "It is only a matter of time until the euro reaches $1.30." Some analysts maintain the US is secretly happy with a lower dollar which helps makes its exports cheaper in Europe, thus boosting its economy.

The US dollar's slide against the euro and yen has halted after US Treasury Secretary John Snow said a strong dollar was "in America's interest".Higher growth in Europe is regarded by US officials as a way the huge US current account deficit - that has been weighing on the dollar - could be reduced.US officials have also said that other economies need to grow, so the US is not the main global growth engine.The dollar was trading at $1.2944 against the euro at 2100GMT, still close to the $1.3006 record level set on 10 November.Some analysts maintain the US is secretly happy with a lower dollar which helps makes its exports cheaper in Europe, thus boosting its economy.But analysts said any gains are likely to be short-lived as problems with the US economy were still significant.A weak dollar helps boost exports and narrow the current account deficit.When a major part of the global economy is below potential there are negative consequences... for the citizens of those economies... and for their trading partners," he said.Economists say that the fundamentals, or key indicators, of the US economy are looking far from rosy.Mr Snow's comments may have helped shore up the dollar on Monday, but he was careful to qualify his statement.

Summarize the following article: $1m payoff for former Shell boss Shell is to pay $1m (£522,000) to the ex-finance chief who stepped down from her post in April 2004 after the firm over-stated its reserves. Judy Boynton finally left the firm on 31 December, having spent the intervening time as a special advisor to chief executive Jeroen van der Veer. In January 2004, Shell told shocked investors that its reserves were 20% smaller than previously thought. Shell said the pay-off was in line with Ms Boynton's contract. She was leaving "by mutual agreement to pursue other career opportunities", the firm said in a statement. The severance package means she keeps long-term share options, but fails to collect on a 2003 incentive plan since the firm has failed to meet the targets included in it. The revelation that Shell had inflated its reserves led to the resignation of its chairman, Sir Phil Watts, and production chief Walter van der Vijver. An investigation commissioned by Shell found that Ms Boynton had to share responsibility for the company's behaviour. Despite receiving an email from Mr Van de Vijver which said the firm had "fooled" the market about its reserves, the investigation said, she did nothing to inquire further. In all, Shell restated its reserves four times during 2003. In September, it paid £82.7m in fines to regulators on both sides of the Atlantic for violating market rules in its reporting of its reserves.

Shell is to pay $1m (£522,000) to the ex-finance chief who stepped down from her post in April 2004 after the firm over-stated its reserves.Despite receiving an email from Mr Van de Vijver which said the firm had "fooled" the market about its reserves, the investigation said, she did nothing to inquire further.Shell said the pay-off was in line with Ms Boynton's contract.In all, Shell restated its reserves four times during 2003.The revelation that Shell had inflated its reserves led to the resignation of its chairman, Sir Phil Watts, and production chief Walter van der Vijver.

Summarize the following article: Amex shares up on spin-off news Shares in American Express surged more than 8% on Tuesday after it said it was to spin off its less profitable financial advisory subsidiary. The US credit card to travel services giant said off-loading American Express Financial Advisors (AEFA) would boost its profitability. AEFA has more than 12,000 advisers selling financial advice, funds and insurance to 2.5 million customers. Over the years it has delivered poor profits and even some losses. "This is an excellent move by American Express to focus on its core businesses, and sell off a laggard division, which has been a problem for quite some time," said Marquis Investment Research analyst Phil Kain. Analysts estimate that a stand-alone AEFA could have a market value of $10bn (£5.3bn). The unit was acquired by American Express 20 years ago as Investors Diversified Service, of Minneapolis, at a time when firms were amassing one-stop financial empires. However, the business of selling investments was never integrated with the rest of the group.

The US credit card to travel services giant said off-loading American Express Financial Advisors (AEFA) would boost its profitability.The unit was acquired by American Express 20 years ago as Investors Diversified Service, of Minneapolis, at a time when firms were amassing one-stop financial empires.Shares in American Express surged more than 8% on Tuesday after it said it was to spin off its less profitable financial advisory subsidiary.AEFA has more than 12,000 advisers selling financial advice, funds and insurance to 2.5 million customers.

Summarize the following article: FBI agent colludes with analyst A former FBI agent and an internet stock picker have been found guilty of using confidential US government information to manipulate stock prices. A New York court ruled that former FBI man Jeffrey Royer, 41, fed damaging information to Anthony Elgindy, 36. Mr Elgindy then drove share prices lower by spreading negative publicity via his newsletter. The Egyptian-born analyst would extort money from his targets in return for stopping the attacks, prosecutors said. "Under the guise of protecting investors from fraud, Royer and Elgindy used the FBI's crime-fighting tools and resources actually to defraud the public," said US Attorney Roslynn Mauskopf. Mr Royer was convicted of racketeering, securities fraud, obstruction of justice and witness tampering. Mr Elgindy was convicted of racketeering, securities fraud and extortion. The charges carry sentences of up to 20 years. When the guilty verdict was announced by the jury foreman, Mr Elgindy dropped his face into his hands and sobbed, the Associated Press news agency reported. He was led weeping from the court room by US marshals, AP said. Defense lawyers contended that Mr Royer had been feeding information to Mr Elgindy and another trader in an attempt to expose corporate fraud. Mr Elgindy's team claimed that he also was fighting against corporate wrongdoing. "Elgindy's conviction marks the end of his public charade as a crusader against fraud in the market," said Ms Mauskopf. One of the more bizarre aspects of the trial focused on the claims that Mr Elgindy may have had foreknowledge of the 11 September terrorist attacks in New York and Washington. Mr Elgindy had been trying to sell stock prior to the attack and had predicted a slump in the market. No charges were brought in relation to these allegations.

Mr Elgindy was convicted of racketeering, securities fraud and extortion.Defense lawyers contended that Mr Royer had been feeding information to Mr Elgindy and another trader in an attempt to expose corporate fraud.Mr Royer was convicted of racketeering, securities fraud, obstruction of justice and witness tampering.Mr Elgindy had been trying to sell stock prior to the attack and had predicted a slump in the market."Under the guise of protecting investors from fraud, Royer and Elgindy used the FBI's crime-fighting tools and resources actually to defraud the public," said US Attorney Roslynn Mauskopf.When the guilty verdict was announced by the jury foreman, Mr Elgindy dropped his face into his hands and sobbed, the Associated Press news agency reported.The charges carry sentences of up to 20 years.

Summarize the following article: Parmalat sues 45 banks over crash Parmalat has sued 45 banks as it tries to reclaim money paid to banks before the scandal-hit Italian dairy company went bust last year. The firm collapsed with debts of about 14bn euros ($19bn; £10bn) and new boss Enrico Bondi has already taken legal action against a number of lenders. He claims the banks were aware of the problems but continued to work with the company so they could earn commissions. Parmalat has not identified which banks it has gone after this time. Under Italian law, administrators can seek to get back money paid to financial institutions prior to insolvency, if there is a suspicion that the institutions knew that the company was in financial trouble. The firm also said it is preparing further law suits. According to the Reuters news agency, 35 of the companies sued on Thursday are Italian while the remaining 10 are international. The unidentified Parmalat source also told Reuters that the company was planning to take action against a total of 80 financial institutions. Among those already targeted are Bank of America, UBS, Credit Suisse First Boston, Deutsche Bank and Citigroup. It has also gone after auditors Grant Thornton. They have all denied any wrongdoing. Parmalat was declared insolvent in December 2003 after it emerged that 4bn euros thought to be held in an offshore account did not in fact exist. In the investigation that followed it became apparent that the company, among other things, had been billing clients twice in order to boost sales and bolster the balance sheet. That enabled Parmalat to borrow heavily and expand overseas, allowing it to become a darling of the Italian stock exchange.

Parmalat has sued 45 banks as it tries to reclaim money paid to banks before the scandal-hit Italian dairy company went bust last year.Parmalat has not identified which banks it has gone after this time.The unidentified Parmalat source also told Reuters that the company was planning to take action against a total of 80 financial institutions.Under Italian law, administrators can seek to get back money paid to financial institutions prior to insolvency, if there is a suspicion that the institutions knew that the company was in financial trouble.It has also gone after auditors Grant Thornton.He claims the banks were aware of the problems but continued to work with the company so they could earn commissions.

Summarize the following article: Japanese banking battle at an end Japan's Sumitomo Mitsui Financial has withdrawn its takeover offer for rival bank UFJ Holdings, enabling the latter to merge with Mitsubishi Tokyo. Sumitomo bosses told counterparts at UFJ of its decision on Friday, clearing the way for it to conclude a 3 trillion yen ($29bn) deal with Mitsubishi. The deal would create the world's biggest bank with assets of about 189 trillion yen ($1.8 trillion). Sumitomo's exit ends the most high profile fight in Japanese bank history. UFJ Holdings, Japan's fourth-largest bank, has been at the centre of a fierce bid battle over the last year. Sumitomo, Japan's third-largest bank, tabled a higher offer for UFJ than its rival, valuing the company at $35bn. However, UFJ's management was known to prefer the offer from Mitsubishi Tokyo Financial Group (MTFG), Japan's second-largest bank. Concerns were also raised about Sumitomo's ability to absorb UFJ and the former has now admitted defeat. "We believe the market and most investors accept a UFJ-MTFG merger," Sumitomo said in a statement. "Given the ongoing integration of UFJ and MTFG operations, persisting with our proposal may not be in the best interests of our shareholders or UFJ's." Mitsubishi's takeover of UFJ - which will be Japan's largest-ever takeover deal - will still have to be approved by shareholders of the two firms. However, this is expected to be a formality. Sumitomo may now turn its attention to deepening its ties with Daiwa Securities, another Japanese financial firm. The two are set to merge their venture capital operations and there has been speculation that this could lead to a full-blown merger. Japanese banks are increasingly seeking alliances to boost profits.

Japan's Sumitomo Mitsui Financial has withdrawn its takeover offer for rival bank UFJ Holdings, enabling the latter to merge with Mitsubishi Tokyo.Sumitomo, Japan's third-largest bank, tabled a higher offer for UFJ than its rival, valuing the company at $35bn.However, UFJ's management was known to prefer the offer from Mitsubishi Tokyo Financial Group (MTFG), Japan's second-largest bank.UFJ Holdings, Japan's fourth-largest bank, has been at the centre of a fierce bid battle over the last year.Sumitomo bosses told counterparts at UFJ of its decision on Friday, clearing the way for it to conclude a 3 trillion yen ($29bn) deal with Mitsubishi.Mitsubishi's takeover of UFJ - which will be Japan's largest-ever takeover deal - will still have to be approved by shareholders of the two firms.

Summarize the following article: Pension hitch for long-living men Male life expectancy is much higher than originally estimated, leading pension researchers have said. The Pensions Policy Institute (PPI) said life expectancy for unskilled and professional men has been understated. Life expectancy at birth is 71 years for a manual worker and 79 years for a professional - a gap of eight years. But if measured at age 65 instead, the PPI said, a manual worker will live to 81 years and a professional worker to 86 years - a gap of just five years. The PPI's estimate is higher because it excludes people who have died before they reach 65 years of age and also takes into account ongoing improvements in life expectancy. The government has ruled out raising the state pension age, because it says it would penalise lower-skilled workers who generally have lower life expectancies. Chris Curry, PPI research director, said its calculations suggested there could be more pressure on state pension spending than originally envisaged. "Even people in social class V [unskilled manual workers] who are widely likely to have the lowest life expectancy can still expect to live 16 years after state pension age," he said. Researchers have not updated life expectancy projections for women, who on average live longer than men.

"Even people in social class V [unskilled manual workers] who are widely likely to have the lowest life expectancy can still expect to live 16 years after state pension age," he said.Life expectancy at birth is 71 years for a manual worker and 79 years for a professional - a gap of eight years.But if measured at age 65 instead, the PPI said, a manual worker will live to 81 years and a professional worker to 86 years - a gap of just five years.The Pensions Policy Institute (PPI) said life expectancy for unskilled and professional men has been understated.

Summarize the following article: Yukos seeks court action on sale Yukos will return to a US court on Wednesday to seek sanctions against Baikal Finance Group, the little-known firm which has bought its main asset. Yukos has said it will sue Baikal and others involved in the sale of Yuganskneftegas for $20bn in damages. Yukos' US lawyers will attempt to have Baikal assets frozen after the Russian government ignored a US court order last week blocking the sale. Baikal's background and its motives for buying the unit are still unclear. Russian newspapers have claimed that Baikal - which bought the Yuganskneftegas production unit for $9.4bn (261bn roubles, £4.8bn) on Sunday at a state provoked auction - has strong links with Surgutneftegas, Russia's fourth-biggest oil producer. Many observers believe that the unit, which produces 60% of Yukos' oil output, could ultimately fall into the hands of Surgutneftegas or even Gazprom, the state gas firm which opted out of the auction. The Russian government forced the sale of Yukos' most lucrative asset as part of its action to enforce a $27bn back tax bill it says the company owes. Yukos' US lawyers claim the auction was illegal because the firm had filed for bankruptcy and therefore its assets were now under the protection of US bankruptcy law which has worldwide jurisdiction. On Wednesday, Yukos will also seek further legal remedies to prevent the break-up of the group. "We believe the auction was illegal and we intend to pursue all legal recourses available to us," Yukos spokesman Mike Lake told Agence France Press. "If it exports that oil, it will be marketing a stolen product," he added. The future ownership of Yuganksneftegas remains unclear amid widespread suggestions that Baikal was established as a front for other interests. Speaking on Tuesday, President Putin said Baikal was owned by individual investors who planned to build relationships with other Russian energy firms interested in the development of Yuganskneftegas. President Putin also suggested that China's National Petroleum Corporation could play a role in the unit's future after signing a commercial agreement with Gazprom to work on joint energy projects. Yukos has claimed that the sale of its main asset will lead to the collapse of the company. Commentators and Yukos itself claim the firm is the target of a government campaign to destroy it because of the political ambitions of its founder, Mikhail Khodorkovsky.

Yukos will return to a US court on Wednesday to seek sanctions against Baikal Finance Group, the little-known firm which has bought its main asset.Yukos has said it will sue Baikal and others involved in the sale of Yuganskneftegas for $20bn in damages.Yukos' US lawyers will attempt to have Baikal assets frozen after the Russian government ignored a US court order last week blocking the sale.Yukos' US lawyers claim the auction was illegal because the firm had filed for bankruptcy and therefore its assets were now under the protection of US bankruptcy law which has worldwide jurisdiction.Yukos has claimed that the sale of its main asset will lead to the collapse of the company.Russian newspapers have claimed that Baikal - which bought the Yuganskneftegas production unit for $9.4bn (261bn roubles, £4.8bn) on Sunday at a state provoked auction - has strong links with Surgutneftegas, Russia's fourth-biggest oil producer.Many observers believe that the unit, which produces 60% of Yukos' oil output, could ultimately fall into the hands of Surgutneftegas or even Gazprom, the state gas firm which opted out of the auction.

Summarize the following article: Millions go missing at China bank Two senior officials at one of China's top commercial banks have reportedly disappeared after funds worth up to $120m (£64m) went missing. The pair both worked at Bank of China in the northern city of Harbin, the South China Morning Post reported. The latest scandal at Bank of China will do nothing to reassure foreign investors that China's big four banks are ready for international listings. Government policy sees the bank listings as vital economic reforms. Bank of China is one of two frontrunners in the race to list overseas. The other is China Construction Bank. Both are expected to list abroad during 2005. They shared a $45bn state bailout in 2003, to help clean up their balance sheets in preparation for a foreign stock market debut. However, a report in the China-published Economic Observer said on Monday that the two banks may have scrapped plans to list in New York because of the cost of meeting regulatory requirements imposed since the Enron scandal. Bank of China is the country's biggest foreign exchange dealer, while China Construction Bank is the largest deposit holder. China's banking sector is burdened with at least $190bn of bad debt according to official data, though most observers believe the true figure is far higher. Officially, one in five loans is not being repaid. Attempts to strengthen internal controls and tighten lending policies have uncovered a succession of scandals involving embezzlement by bank officials and loans-for-favours. The most high-profile case involved the ex-president of Bank of China, Wang Xuebing, jailed for 12 years in 2003. Although, he committed the offences whilst running Bank of China in New York, Mr Wang was head of China Construction Bank when the scandal broke. Earlier this month, a China Construction Bank branch manager was jailed for life in a separate case. China's banks used to act as cash offices for state enterprises and did not require checks on credit worthiness. The introduction of market reforms has been accompanied by attempts to modernise the banking sector, but links between banks and local government remain strong. Last year, China's premier, Wen Jiabao, targeted bank lending practices in a series of speeches, and regulators ordered all big loans to be scrutinised, in an attempt to cool down irresponsible lending. China's leaders see reforming the top four banks as vital to distribute capital to profitable companies and protect the health of China's economic boom. But two problems persist. First, inefficient state enterprises continue to receive protection from bankruptcy because they employ large numbers of people. Second, many questionable loans come not from the big four, but from smaller banks. Another high profile financial firm, China Life, is facing shareholder lawsuits and a probe by the US Securities and Exchange Commission following its 2004 New York listing over its failure to disclose accounting irregularities at its parent company.

The other is China Construction Bank.The latest scandal at Bank of China will do nothing to reassure foreign investors that China's big four banks are ready for international listings.Bank of China is the country's biggest foreign exchange dealer, while China Construction Bank is the largest deposit holder.Bank of China is one of two frontrunners in the race to list overseas.Although, he committed the offences whilst running Bank of China in New York, Mr Wang was head of China Construction Bank when the scandal broke.Earlier this month, a China Construction Bank branch manager was jailed for life in a separate case.The pair both worked at Bank of China in the northern city of Harbin, the South China Morning Post reported.The most high-profile case involved the ex-president of Bank of China, Wang Xuebing, jailed for 12 years in 2003.Two senior officials at one of China's top commercial banks have reportedly disappeared after funds worth up to $120m (£64m) went missing.China's banks used to act as cash offices for state enterprises and did not require checks on credit worthiness.

Summarize the following article: News Corp eyes video games market News Corp, the media company controlled by Australian billionaire Rupert Murdoch, is eyeing a move into the video games market. According to the Financial Times, chief operating officer Peter Chernin said that News Corp is "kicking the tyres of pretty much all video games companies". Santa Monica-based Activison is said to be one firm on its takeover list. Video games are "big business", the paper quoted Mr Chernin as saying. We "would like to get into it". The success of products such as Sony's Playstation, Microsoft's X-Box and Nintendo's Game Cube have boosted demand for video games. The days of arcade classics such as Space Invaders, Pac-Man and Donkey Kong are long gone. Today, games often have budgets big enough for feature films and look to give gamers as real an experience as possible. And with their price tags reflecting the heavy investment by development companies, video games are proving almost as profitable as they are fun. Mr Chernin, however, told the FT that News Corp was finding it difficult to identify a suitable target. "We are struggling with the gap between companies like Electronic Arts (EA), which comes with a high price tag, and the next tier of companies," he explained during a conference in Phoenix, Arizona. "These may be too focused on one or two product lines." Activision has a stock market capitalisation of about $2.95bn (£1.57bn), compared to EA's $17.8bn. Some of the games industry's main players have recently been looking to consolidate their position by making acquisitions. France's Ubisoft, one of Europe's biggest video game publishers, has been trying to remain independent since Electronic Arts announced plans to buy 19.9% of the firm. Analysts have said that industry mergers are likely in the future.

According to the Financial Times, chief operating officer Peter Chernin said that News Corp is "kicking the tyres of pretty much all video games companies".Video games are "big business", the paper quoted Mr Chernin as saying.News Corp, the media company controlled by Australian billionaire Rupert Murdoch, is eyeing a move into the video games market.France's Ubisoft, one of Europe's biggest video game publishers, has been trying to remain independent since Electronic Arts announced plans to buy 19.9% of the firm.And with their price tags reflecting the heavy investment by development companies, video games are proving almost as profitable as they are fun.The success of products such as Sony's Playstation, Microsoft's X-Box and Nintendo's Game Cube have boosted demand for video games."We are struggling with the gap between companies like Electronic Arts (EA), which comes with a high price tag, and the next tier of companies," he explained during a conference in Phoenix, Arizona.

Summarize the following article: EMI shares hit by profit warning Shares in music giant EMI have sunk by more than 16% after the firm issued a profit warning following disappointing sales and delays to two album releases. EMI said music sales for the year to March will fall 8-9% from the year before, with profits set to be 15% lower than analysts had expected. It blamed poor sales since Christmas and delays to the releases of new albums by Coldplay and Gorillaz. By 1200 GMT on Monday, EMI shares were down 16.2% at 235.75 pence. EMI said two major albums scheduled for release before the end of the financial year in March - one by Coldplay and one by Gorillaz - have now had their release dates put back. "EMI Music's sales, particularly re-orders, in January have also been lower than anticipated and this is expected to continue through February and March," the company added. "Therefore, for the full year, at constant currency, EMI Music's sales are now expected to be 8% to 9% lower than the prior year." The company said it expected profits to be about £138m ($259.8m). Alain Levy, chairman and chief executive of EMI Music, described the performance as "disappointing", but added that he remained optimistic over future trends in the industry. "The physical music market is showing signs of stabilisation in many parts of the world and digital music, in all its forms, continues to develop at a rapid pace," he said. Commenting on the delay to the release of the Coldplay and Gorillaz albums, Mr Levy said that "creating and marketing music is not an exact science and cannot always coincide with our reporting periods". "While this rescheduling and recent softness is disappointing, it does not change my views of the improving health of the global recorded music industry," he added. Paul Richards, an analyst at Numis Securities, said the market would be focusing on the slump in music sales rather than the timing of the two albums. "It's unusual to see this much of a downgrade just because of phasing," he said.

EMI said music sales for the year to March will fall 8-9% from the year before, with profits set to be 15% lower than analysts had expected.Shares in music giant EMI have sunk by more than 16% after the firm issued a profit warning following disappointing sales and delays to two album releases.EMI said two major albums scheduled for release before the end of the financial year in March - one by Coldplay and one by Gorillaz - have now had their release dates put back."Therefore, for the full year, at constant currency, EMI Music's sales are now expected to be 8% to 9% lower than the prior year."The company said it expected profits to be about £138m ($259.8m).Commenting on the delay to the release of the Coldplay and Gorillaz albums, Mr Levy said that "creating and marketing music is not an exact science and cannot always coincide with our reporting periods".

Summarize the following article: News Corp makes $5.4bn Fox offer News Corporation is seeking to buy out minority investors in Fox Entertainment Group, its broadcasting subsidiary, for about $5.4bn (£3.7bn). The media giant, run by Rupert Murdoch, owns 82% of the shares in the company, home to the Fox television network and the 20th Century Fox film studio. The move follows News Corp's decision to register its business in the US. 20th Century Fox's recent film releases include I Heart Huckabees and I, Robot, while Fox puts out hit TV series 24. Under the terms of the offer, minority Fox shareholders will receive 1.90 News Corp shares in return for each Fox share they hold. Analysts said the decision to list News Corp in the US - which will result in the firm's shares trading in New York rather than Sydney- nullified the need to retain a separate stock market listing for Fox Entertainment shares. News Corp investors voted in October to approve the transfer of the company's corporate domicile from Australia to the US state of Delaware. The move is designed to help News Corp attract more investment from the largest US financial institutions, and make it easier to raise capital. Fox Entertainment Group generated revenues of $12bn last year. News Corp shares fell 25 cents to $17.65 after the share offer was announced while Fox shares were up 19 cents at $31.22.

Under the terms of the offer, minority Fox shareholders will receive 1.90 News Corp shares in return for each Fox share they hold.News Corp shares fell 25 cents to $17.65 after the share offer was announced while Fox shares were up 19 cents at $31.22.Analysts said the decision to list News Corp in the US - which will result in the firm's shares trading in New York rather than Sydney- nullified the need to retain a separate stock market listing for Fox Entertainment shares.News Corporation is seeking to buy out minority investors in Fox Entertainment Group, its broadcasting subsidiary, for about $5.4bn (£3.7bn).

Summarize the following article: MG Rover China tie-up 'delayed' MG Rover's proposed tie-up with China's top carmaker has been delayed due to concerns by Chinese regulators, according to the Financial Times. The paper said Chinese officials had been irritated by Rover's disclosure of its talks with Shanghai Automotive Industry Corp in October. The proposed deal was seen as crucial to safeguarding the future of Rover's Longbridge plant in the West Midlands. However, there are growing fears that the deal could result in job losses. The Observer reported on Sunday that nearly half the workforce at Longbridge could be under threat if the deal goes ahead. Shanghai Automotive's proposed £1bn investment in Rover is awaiting approval by its owner, the Shanghai city government and by the National Development and Reform Commission, which oversees foreign investment by Chinese firms. According to the FT, the regulator has been annoyed by Rover's decision to talk publicly about the deal and the intense speculation which has ensued about what it will mean for Rover's future. As a result, hopes that approval of the deal may be fast-tracked have disappeared, the paper said. There has been continued speculation about the viability of Rover's Longbridge plant because of falling sales and unfashionable models. According to the Observer, 3,000 jobs - out of a total workforce of 6,500 - could be lost if the deal goes ahead. The paper said that Chinese officials believe cutbacks will be required to keep the MG Rover's costs in line with revenues. It also said that the production of new models through the joint venture would take at least eighteen months. Neither Rover nor Shanghai Automotive commented on the reports.

The paper said Chinese officials had been irritated by Rover's disclosure of its talks with Shanghai Automotive Industry Corp in October.According to the FT, the regulator has been annoyed by Rover's decision to talk publicly about the deal and the intense speculation which has ensued about what it will mean for Rover's future.The proposed deal was seen as crucial to safeguarding the future of Rover's Longbridge plant in the West Midlands.According to the Observer, 3,000 jobs - out of a total workforce of 6,500 - could be lost if the deal goes ahead.The paper said that Chinese officials believe cutbacks will be required to keep the MG Rover's costs in line with revenues.As a result, hopes that approval of the deal may be fast-tracked have disappeared, the paper said.

Summarize the following article: IMF agrees fresh Turkey funding Turkey has agreed a draft proposal with the International Monetary Fund to borrow $10bn (£5.19bn), extending its ongoing financial support until 2007. Turkey's current $18.6bn loan agreement with the IMF expires in February and the new deal would see it receive added support between 2005 and 2007. In return for the funding, Turkey would be expected to keep inflation under control and introduce market reforms. Turkey's economy has steadily recovered from a severe crisis in 2001. Economic growth has average 6-7% in the past three years, ahead of IMF forecasts, while inflation fell below 10% this year for the first time in 30 years. However, Turkey has a huge debt burden - already owing $23bn to the IMF - while its current account deficit has swelled to $10.7bn this year. The Turkish economics minister, Ali Babacan, said the two sides had reached general agreement on a new three year funding program. Rodrigo de Rato, the IMF's managing director, said the loan agreement would help to improve Turkish economic prospects by cutting its debt and stimulating growth. "I believe the new programme, if implemented successfully, will help Turkey create the conditions for sustained growth and employment creation, reduce inflation toward European level and enhance the economy's resilience," he said. The agreement must still be ratified by IMF directors at a meeting expected to take place next month. The agreement would also enable Turkey to defer payments on previous loans worth $3.7m until 2006. As part of the draft agreement, Turkey has signed a "letter of intent" stating its determination to push through far-reaching reforms to its tax and benefits system and its banking sector. Such reforms are considered vital for Turkey if it is to fulfil its ambition of joining the European Union. The EU will decide on 17 December whether to begin entry talks with Turkey. The US, the largest of the IMF's 184 members, is a strong supporter of continued financial support for Turkey.

However, Turkey has a huge debt burden - already owing $23bn to the IMF - while its current account deficit has swelled to $10.7bn this year.Turkey's current $18.6bn loan agreement with the IMF expires in February and the new deal would see it receive added support between 2005 and 2007.The agreement would also enable Turkey to defer payments on previous loans worth $3.7m until 2006.Turkey has agreed a draft proposal with the International Monetary Fund to borrow $10bn (£5.19bn), extending its ongoing financial support until 2007.As part of the draft agreement, Turkey has signed a "letter of intent" stating its determination to push through far-reaching reforms to its tax and benefits system and its banking sector.In return for the funding, Turkey would be expected to keep inflation under control and introduce market reforms.

Summarize the following article: India's Deccan gets more planes Air Deccan has signed a deal to acquire 36 planes from Avions de Transport Regional (ATR). The value of the deal has not been revealed, because of a confidentiality clause in the agreement. But Air Deccan's managing director Gorur Gopinath has said the price agreed was less than the catalogue price of $17.6m (£9.49m) per plane. Recently, India's first low-cost airline ordered 30 Airbus A320 planes for $1.8bn. Under the agreement, Air Deccan will buy 15 new ATR 72-500 and lease another 15. ATR will also provide six second hand airplanes. In a statement, ATR has said deliveries of the aircraft will begin in 2005 and will continue over a five-year period. Mr Gopinath said the planes will connect regional Indian cities. "After an evaluation of both ATR and Bombardier aircraft, we have chosen the ATR aircraft as we find it most suitable for our operations and for the Indian market for short haul routes." Filippo Bagnato, ATR's chief executive, has said that his firm will also work with Air Deccan to create a training centre in Bangalore. The potential of the Indian budget market has attracted attention from businesses at home and abroad. Air Deccan has said it will base its business model on European firms such as Ireland's Ryanair. Beer magnate Vijay Mallya recently set up Kingfisher Airlines, while UK entrepreneur Richard Branson has said he is keen to start a local operation. India's government has given its backing to cheaper and more accessible air travel.

Air Deccan has signed a deal to acquire 36 planes from Avions de Transport Regional (ATR).Air Deccan has said it will base its business model on European firms such as Ireland's Ryanair.In a statement, ATR has said deliveries of the aircraft will begin in 2005 and will continue over a five-year period.Filippo Bagnato, ATR's chief executive, has said that his firm will also work with Air Deccan to create a training centre in Bangalore.But Air Deccan's managing director Gorur Gopinath has said the price agreed was less than the catalogue price of $17.6m (£9.49m) per plane.Under the agreement, Air Deccan will buy 15 new ATR 72-500 and lease another 15.

Summarize the following article: China suspends 26 power projects China has ordered a halt to construction work on 26 big power stations, including two at the Three Gorges Dam, on environmental grounds. The move is a surprising one because China is struggling to increase energy supplies for its booming economy. Last year 24 provinces suffered black outs. The State Environmental Protection Agency said the 26 projects had failed to do proper environmental assessments. Topping the list was a controversial dam on the scenic upper Yangtze River. "Construction of these projects has started without approval of the assessment of their environmental impact... they are typical illegal projects of construction first, approval next," said SEPA vice-director Pan Yue, in a statement on the agency's website. Some of the projects may be allowed to start work again with the proper permits, but others would be cancelled, he said. Altogether, the agency ordered 30 projects halted. Other projects included a petrochemicals plant and a port in Fujian. The bulk of the list was made up of new power plants, with some extensions to existing ones. The stoppages would appear to be another step in the central government's battle to control projects licensed by local officials. However, previous crackdowns have tended to focus on projects for which the government argued there was overcapacity, such as steel and cement. The government has encouraged construction of new electricity generating capacity to solve chronic energy shortages which forced many factories onto part-time working last year. In 2004, China increased its generating capacity by 12.6%, or 440,700 megawatts (MW). The biggest single project to be halted was the Xiluodi Dam project, designed to produce 12,600 MW of electricity. It is being built on the Jinshajiang - or 'river of golden sand' as the upper reaches of the Yangtze are known. Second and third on the agency's list were two power stations being built at the $22bn Three Gorges Dam project on the central Yangtze - an underground 4,200 MW power plant and a 100 MW plant. The Three Gorges Dam has proved controversial in China - where more than half a million people have been relocated to make way for it - and abroad. It has drawn criticism from environmental groups and overseas human rights activists. The damming of the Upper Yangtze has also begun to attract criticism from environmentalists in China. In April 2004, central government officials ordered a halt to work on the nearby Nu River, which is part of a United Nations world heritage site, the Three Parallel Rivers site which covers the Yangtze, Mekong and Nu (also known as the Salween), according to the UK-published China Review. That move reportedly followed a protest from the Thai government about the downstream impact of the dams, and a critical documentary made by Chinese journalists. China's energy shortage influenced global prices for oil, coal and shipping last year.

The biggest single project to be halted was the Xiluodi Dam project, designed to produce 12,600 MW of electricity.China has ordered a halt to construction work on 26 big power stations, including two at the Three Gorges Dam, on environmental grounds.Second and third on the agency's list were two power stations being built at the $22bn Three Gorges Dam project on the central Yangtze - an underground 4,200 MW power plant and a 100 MW plant."Construction of these projects has started without approval of the assessment of their environmental impact... they are typical illegal projects of construction first, approval next," said SEPA vice-director Pan Yue, in a statement on the agency's website.The government has encouraged construction of new electricity generating capacity to solve chronic energy shortages which forced many factories onto part-time working last year.Topping the list was a controversial dam on the scenic upper Yangtze River.The damming of the Upper Yangtze has also begun to attract criticism from environmentalists in China.The State Environmental Protection Agency said the 26 projects had failed to do proper environmental assessments.Altogether, the agency ordered 30 projects halted.The Three Gorges Dam has proved controversial in China - where more than half a million people have been relocated to make way for it - and abroad.

Summarize the following article: Oil prices fall back from highs Oil prices retreated from four-month highs in early trading on Tuesday after producers' cartel Opec said it was now unlikely to cut production. Following the comments by acting Opec secretary general Adnan Shihab-Eldin, US light crude fell 32 cents to $51.43 a barrel. He said that high oil prices meant Opec was unlikely to stick to its plan to cut output in the second quarter. In London, Brent crude fell 32 cents to $49.74 a barrel. Opec members are next meeting to discuss production levels on 16 March. On Monday, oil prices rose for a sixth straight session, reaching a four-month high as cold weather in the US threatened stocks of heating oil. US demand for heating oil was predicted to be about 14% above normal this week, while stocks were currently about 7.5% below the levels of a year ago. Cold weather across Europe has also put upward pressure on crude prices.

Oil prices retreated from four-month highs in early trading on Tuesday after producers' cartel Opec said it was now unlikely to cut production.He said that high oil prices meant Opec was unlikely to stick to its plan to cut output in the second quarter.On Monday, oil prices rose for a sixth straight session, reaching a four-month high as cold weather in the US threatened stocks of heating oil.Following the comments by acting Opec secretary general Adnan Shihab-Eldin, US light crude fell 32 cents to $51.43 a barrel.

Summarize the following article: BP surges ahead on high oil price Oil giant BP has announced a 26% rise in annual profits to $16.2bn (£8.7bn) on the back of record oil prices. Last week, rival Shell reported an annual profit of $17.5bn - a record profit for a UK-listed company. BP added that it was increasing its fourth-quarter dividend by 26% to 8.5 cents, and that it would continue with share buybacks. BP chief executive Lord Browne said the results were strong "both operationally and financially." The company is earning about $1.8m an hour. Despite the record annual profits figure, BP's performance was below the expectations of some City analysts. However, BP's share price rose 4p or nearly 1% in morning trading to 548p. Its profit rise for the year included profits of $3.65bn (£1.97bn) for the final three months of 2004 - up from $2.89bn a year ago but below its third quarter. Speaking on the BBC's Today programme on Tuesday, Lord Browne said the profits were not solely down to the high oil price alone. "The profits are up more than the price of oil is up," he said. Lord Browne pointed out that BP was reaping the benefits of its investment in oil exploration. "We have spent many years buying (assets) when the price is low," he said. The company has made new discoveries in Egypt, the Gulf of Mexico and Angola. However, Lord Browne rejected calls for a windfall tax on his company's huge profits, saying that in the North Sea it paid progressively more tax, the more profits it made. Lord Browne believes oil prices will remain quite high. Currently above $40 a barrel, he said: "The price of oil will be well supported above $30 a barrel for the medium term." BP put production for the year at 3.997 billion barrels of oil, up 10% on 2003, but slightly lower than the four billion barrels it had initially aimed for.

"The profits are up more than the price of oil is up," he said.Speaking on the BBC's Today programme on Tuesday, Lord Browne said the profits were not solely down to the high oil price alone.Oil giant BP has announced a 26% rise in annual profits to $16.2bn (£8.7bn) on the back of record oil prices.Lord Browne believes oil prices will remain quite high.Last week, rival Shell reported an annual profit of $17.5bn - a record profit for a UK-listed company.Lord Browne pointed out that BP was reaping the benefits of its investment in oil exploration.Currently above $40 a barrel, he said: "The price of oil will be well supported above $30 a barrel for the medium term."

Summarize the following article: Japan economy slides to recession The Japanese economy has officially gone back into recession for the fourth time in a decade. Gross domestic product fell by 0.1% in the last three months of 2004. The fall reflects weak exports and a slowdown in consumer spending, and follows similar falls in GDP in the two previous quarters. The Tokyo stock market fell after the figures were announced, but rose again on a widespread perception that the economy will recover later this year. On Wednesday, the government revised growth figures from earlier in 2004 which, when taking into account performance in the most recent period, effectively tips Japan into recession. A previous estimate of 0.1% growth between July and September was downgraded to a 0.3% decline. A recession is commonly defined as two consecutive quarters of negative growth, although the Japanese government takes other factors into account when judging the status of its economy. Figures released by the government's Cabinet Office showed that GDP, on an annualised basis, fell 0.5% in the last three months of 2004. However, politicians remain upbeat about prospects for an economic boost later in the year. "The economy has some soft patches but if you look at the bigger picture, it is in a recovery stage," said Economic and Fiscal Policy Minister Heizo Takenaka. Gross domestic product measures the overall value of goods and services produced in a country. "The economy must be assessed comprehensively and we cannot look at GDP alone," Mr Takenaka stressed. Ministers pointed to the fact that consumer spending had been depressed by one-off factors such as the unseasonably mild winter. Analysts said the figures were disappointing but argued that Japan's largest companies had been recording healthy profits and capital spending was on the rise. Japan's economy grew 2.6% overall last year - fuelled by a strong performance in the first few months - and is forecast to see growth of 2.1% in 2005. However, the economy's fragile recovery remains dependent on an upturn in consumer spending, a fall in the value of the yen and an improvement in global economies. "The results came in at the lower end of expectations but we shouldn't be too pessimistic about the current state and the outlook for the economy," said Naoki Iizuka, senior economist at the Dai-ichi Life Research Institute. Japan's economy has seen stretches of moderate growth over the past decade but has periodically slipped back into recession.

Japan's economy grew 2.6% overall last year - fuelled by a strong performance in the first few months - and is forecast to see growth of 2.1% in 2005.Japan's economy has seen stretches of moderate growth over the past decade but has periodically slipped back into recession.A recession is commonly defined as two consecutive quarters of negative growth, although the Japanese government takes other factors into account when judging the status of its economy.The Japanese economy has officially gone back into recession for the fourth time in a decade.Gross domestic product fell by 0.1% in the last three months of 2004.The Tokyo stock market fell after the figures were announced, but rose again on a widespread perception that the economy will recover later this year."The economy has some soft patches but if you look at the bigger picture, it is in a recovery stage," said Economic and Fiscal Policy Minister Heizo Takenaka.The fall reflects weak exports and a slowdown in consumer spending, and follows similar falls in GDP in the two previous quarters.

Summarize the following article: Orange colour clash set for court A row over the colour orange could hit the courts after mobile phone giant Orange launched action against a new mobile venture from Easyjet's founder. Orange said it was starting proceedings against the Easymobile service for trademark infringement. Easymobile uses Easygroup's orange branding. Founder Stelios Haji-Ioannou has pledged to contest the action. The move comes after the two sides failed to come to an agreement after six months of talks. Orange claims the new low-cost mobile service has infringed its rights regarding the use of the colour orange and could confuse customers - known as "passing off". "Our brand, and the rights associated with it are extremely important to us," Orange said in a statement. "In the absence of any firm commitment from Easy, we have been left with no choice but to start an action for trademark infringement and passing off." However, Mr Haji-Ioannou, who plans to launch Easymobile next month, vowed to fight back, saying: "We have nothing to be afraid of in this court case. "It is our right to use our own corporate colour for which we have become famous during the last 10 years." The Easyjet founder also said he planned to add a disclaimer to the Easygroup website to ensure customers are aware the Easymobile brand has no connection to Orange. The new service is the latest venture from Easygroup, which includes a chain of internet cafes, budget car rentals and an intercity bus service. Easymobile will allow customers to go online to order SIM cards and airtime - which will be rented from T-Mobile - for their existing handsets.

Orange claims the new low-cost mobile service has infringed its rights regarding the use of the colour orange and could confuse customers - known as "passing off".Orange said it was starting proceedings against the Easymobile service for trademark infringement.A row over the colour orange could hit the courts after mobile phone giant Orange launched action against a new mobile venture from Easyjet's founder.The Easyjet founder also said he planned to add a disclaimer to the Easygroup website to ensure customers are aware the Easymobile brand has no connection to Orange.Easymobile uses Easygroup's orange branding."Our brand, and the rights associated with it are extremely important to us," Orange said in a statement.

Summarize the following article: Irish company hit by Iraqi report Shares in Irish oil company Petrel Resources have lost more than 50% of their value on a report that the firm has failed to win a contract in Iraq. Reuters news agency reported that Iraq's Oil Ministry has awarded the first post-war oilfield contracts to a Canadian and a Turkish company. By 1700 GMT, Petrel's shares fell from 97p ($1.87) to 44p ($0.85). Petrel said that it has not received any information from Iraqi authorities to confirm or deny the report. Iraq is seeking to award contracts for three projects, valued at $500m (£258.5m). Turkey's Everasia is reported by Reuters to have won a contract to develop the Khurmala Dome field in the north of the country. A Canadian company, named IOG, is reported to have won the contract to run the Himrin field. Ironhorse Oil and Gas has denied to Reuters that it is the company in question. These two projects aim to develop Khurmala field to produce 100,000 barrels per day and raise the output of Himrin. The winners of the contract are to build new flow lines and build gas separation stations. The contract to develop the Suba-Luhais field has not yet been awarded as Iraq's Oil Ministry is studying the offers. If Iraq's cabinet approves the oil ministry's choice of companies, then this will be the first deal that Iraq has signed with a foreign oil company. Iraq is still trying to boost its production capacity to match levels last seen in the eighties, before the war with Iran. Oil officials hope to double Iraq's output by the end of the decade.

Reuters news agency reported that Iraq's Oil Ministry has awarded the first post-war oilfield contracts to a Canadian and a Turkish company.The contract to develop the Suba-Luhais field has not yet been awarded as Iraq's Oil Ministry is studying the offers.Shares in Irish oil company Petrel Resources have lost more than 50% of their value on a report that the firm has failed to win a contract in Iraq.If Iraq's cabinet approves the oil ministry's choice of companies, then this will be the first deal that Iraq has signed with a foreign oil company.Ironhorse Oil and Gas has denied to Reuters that it is the company in question.A Canadian company, named IOG, is reported to have won the contract to run the Himrin field.

Summarize the following article: McDonald's boss Bell dies aged 44 Charlie Bell, the straight-talking former head of fast-food giant McDonald's, has died of cancer aged 44. Mr Bell was diagnosed with colorectal cancer in May last year, a month after taking over the top job. He resigned in November to fight the illness. Joining the company as a 15-year-old part-time worker, Mr Bell quickly moved through its ranks, becoming Australia's youngest store manager at 19. A popular go-getter, he is credited with helping revive McDonald's sales. Mr Bell leaves a wife and daughter. "As we mourn his passing, I ask you to keep Charlie's family in your hearts and prayers," chief executive James Skinner said in a statement. "And remember that in his abbreviated time on this earth, Charlie lived life to the fullest." "No matter what cards life dealt, Charlie stayed centred on his love for his family and for McDonald's." After running the company's Australian business in the 1990s, Mr Bell moved to the US in 1999 to run operations in Asia, Africa and the Middle East. In 2001, he took over the reins in Europe, McDonald's second most important market. He became chief operating officer and president in 2002. Mr Bell took over as chief executive after his predecessor as CEO, Jim Cantalupo, died suddenly of a heart attack in April. Having worked closely with Mr Cantalupo, who came out of retirement to turn McDonald's around, Mr Bell focused on boosting demand at existing restaurants rather than follow a policy of rapid expansion. He had promised not to let the company get "fat, dumb and happy," and, according to Reuters, once told analysts that he would shove a fire hose down the throat of competitors if he saw them drowning. Mr Bell oversaw McDonald's "I'm lovin' it" advertising campaign and introduced successes such as McCafe, now the biggest coffee shop brand in Australia and New Zealand. Colleagues said that Mr Bell was proud of his humble beginnings, helping out behind cash tills and clearing tables when visiting restaurants.

Mr Bell took over as chief executive after his predecessor as CEO, Jim Cantalupo, died suddenly of a heart attack in April.Mr Bell leaves a wife and daughter.Having worked closely with Mr Cantalupo, who came out of retirement to turn McDonald's around, Mr Bell focused on boosting demand at existing restaurants rather than follow a policy of rapid expansion.Charlie Bell, the straight-talking former head of fast-food giant McDonald's, has died of cancer aged 44.Mr Bell oversaw McDonald's "I'm lovin' it" advertising campaign and introduced successes such as McCafe, now the biggest coffee shop brand in Australia and New Zealand.Joining the company as a 15-year-old part-time worker, Mr Bell quickly moved through its ranks, becoming Australia's youngest store manager at 19.Colleagues said that Mr Bell was proud of his humble beginnings, helping out behind cash tills and clearing tables when visiting restaurants.

Summarize the following article: US data sparks inflation worries Wholesale prices in the US rose at the fastest rate in more than six years in January, according to government data. New figures show the Labor Department producer price index (PPI) rose by 0.3% - in line with forecasts. But core producer prices, which exclude food and energy costs, surged by 0.8%, the biggest rise since December 1998, increasing inflationary concerns. In contrast, the University of Michigan barometer of US retail consumer confidence showed a slight dip. The university's index of consumer spending fell to 94.2 in early February from 95.5 in January, which could indicate a fall in retail spending by the US public. The mixed set of data on Friday led to volatile early Wall Street trade, as the Dow Jones, Standard and Poor's 500, and Nasdaq swung between positive and negative territory. The economic figures come on the back of increased fears that the Federal Reserve chairman may be about to raise interest rates in order to stifle any inflationary pressures. The Fed has been raising interest rates at a gradual pace since June 2004, in an attempt to make sure inflation does not get out of control. Mr Greenspan told Congress this week that the central bank was on guard against the possibility that a rebounding economy could trigger stronger inflation pressures. "The PPI would argue for Greenspan to continue to raise rates at a measured pace," said Joe Quinlan, chief market stategist at Bank of America Capital Management. "But this Michigan survey tells you that the consumer might be downshifting a little bit in terms of their confidence and their spending; this could be an indication of that." Consumer spending accounts for 66% of US economic activity and is viewed as a gauge of the health of the economy, which is why the Michigan data is closely observed. However on Friday, it was overshadowed by the core PPI core figure, which surged 2.7% during the past 12 months, the biggest year-on-year gain in nine years. "The concern is that traders might interpret this big jump in the core PPI as an impetus for the Fed to be more aggressive than a measured move in moving rates," said Paul Cherney, chief market analyst at Standard & Poor's. But Ian Shepherdson, chief US economist at High Frequency Economics, said the PPI report was "much less alarming" than at first glance. One-time increases in alcohol and tobacco prices, which "are no indication of broad PPI pressure", were responsible for the increase, he said. Prices for autos and trucks also jumped in January, but Shepherdson said "it is a good bet these increases won't stick".

The university's index of consumer spending fell to 94.2 in early February from 95.5 in January, which could indicate a fall in retail spending by the US public."The PPI would argue for Greenspan to continue to raise rates at a measured pace," said Joe Quinlan, chief market stategist at Bank of America Capital Management.Consumer spending accounts for 66% of US economic activity and is viewed as a gauge of the health of the economy, which is why the Michigan data is closely observed.But Ian Shepherdson, chief US economist at High Frequency Economics, said the PPI report was "much less alarming" than at first glance."The concern is that traders might interpret this big jump in the core PPI as an impetus for the Fed to be more aggressive than a measured move in moving rates," said Paul Cherney, chief market analyst at Standard & Poor's.Wholesale prices in the US rose at the fastest rate in more than six years in January, according to government data.However on Friday, it was overshadowed by the core PPI core figure, which surged 2.7% during the past 12 months, the biggest year-on-year gain in nine years.

Summarize the following article: Egypt to sell off state-owned bank The Egyptian government is reportedly planning to privatise one of the country's big public banks. An Investment Ministry official has told the Reuters news agency that the Bank of Alexandria will be sold sometime in 2005. The move is seen as evidence of a new commitment by the government to reduce the size of public sector. The official said the government has not yet decided whether the sale will take the form of a public flotation. "The most important thing to decide now is the method - whether by selling shares to the public or to a strategic investor from abroad," he said. Analysts say the public-sector banks have suited the government's monetary, credit and exchange policies. Nevertheless, the Egyptian government has spoken for years about privatising one of the big four state banks - Banque Misr, National Bank of Egypt, Banque du Caire and Bank of Alexandria. It had been expected one of the smallest of the four big public banks - Bank of Alexandria or Banque du Caire - would be sold first. The announcement reinforces the hopes of investors and international financial bodies for a revival of Egypt's privatisation programme. About 190 state-run companies and facilities were sold off from the early 1990s to 1997. The appointment of Mahmoud Mohieldin, a reform-minded technocrat, to the new post of investment minister in July was taken as a sign that more sell-offs were on the way. Both the IMF and World Bank have urged Egypt to remove obstacles to the development of the private sector which they say has a vital role to play in reducing poverty by expanding the economy.

It had been expected one of the smallest of the four big public banks - Bank of Alexandria or Banque du Caire - would be sold first.Nevertheless, the Egyptian government has spoken for years about privatising one of the big four state banks - Banque Misr, National Bank of Egypt, Banque du Caire and Bank of Alexandria.An Investment Ministry official has told the Reuters news agency that the Bank of Alexandria will be sold sometime in 2005.The official said the government has not yet decided whether the sale will take the form of a public flotation.The Egyptian government is reportedly planning to privatise one of the country's big public banks.

Summarize the following article: Boeing unveils new 777 aircraft US aircraft firm Boeing has unveiled its new long-distance 777 plane, as it tries to regain its position as the industry's leading manufacturer. The 777-200LR will be capable of flying almost 11,000 miles non-stop, linking cities such as London and Sydney. Boeing, in contrast to European rival Airbus, hopes airlines will want to fly smaller aircraft over longer distances. Airbus, which overtook Boeing as the number one civilian planemaker in 2003, is focusing on so-called super jumbos. Analysts are divided over which approach is best and say that this latest tussle between Boeing and Airbus may prove to be a defining moment for the airline industry. Boeing plans to offer twin-engine planes that are able to fly direct to many of the world's airports, getting rid of the need for connecting flights. It is banking on smaller, slimmer planes such as the 777-200LR and its much-anticipated 787 Dreamliner plane, which is set to take to the skies in 2008. The 777-200LR, which had its launch delayed by the 11 September attacks in the US, is the fifth variation of Boeing's twin-aisle 777 plane. The company offically "rolled-out" the new 777 in Seattle at 2200 GMT. Better fuel efficiency from engines made by GE and lighter materials mean that the plane can connect almost any two cities worldwide. "Boeing has the latest variant in a very successful line of airplanes and there is no doubt it will continue to be very successful," said David Learmount, operations and safety editor at industry magazine Flight International. But the 777-200LR "is a niche player", Mr Learmount continued, adding that reach was not the only criteria airlines used when picking their aircraft. Mr Learmount pointed out that the 777-200LR has been on the market for a couple of years and only had limited success at attracting orders. He also said that while the plane may be able to fly to Sydney from London in one hit, prevailing winds meant that it would have to stop somewhere on the return journey. For Airbus, the future is big - it is pinning its hopes on planes that can carry as many as 840 people between large hub airports. From there, passengers would be ferried to their final destinations by smaller planes. Airbus is also keeping its options open and plans to compete in all the main categories of aircraft. It has been producing a rival to Boeing's 777 line for more than a year. "Airbus is now where Boeing was a few years ago" with its product range, said Flight International's Mr Learmount. Both Boeing and Airbus have been taking orders for their new planes. Boeing said it expected to sell about 500 of its 777-200LR planes over the next 20 years. It already has orders from Pakistan International Airlines and EVA of Taiwan. These orders should help underpin the company's profits. Boeing said earnings during the last three months of 2004 dropped by 84% because of costs relating to stopping production of its smallest airliner, the 717, and the cancellation of a US air force 767 tanker contract. Net profit was $186m (£98m; 143m euros) in the quarter, compared with $1.13bn in the same period in 2003.

Both Boeing and Airbus have been taking orders for their new planes.Boeing said it expected to sell about 500 of its 777-200LR planes over the next 20 years."Airbus is now where Boeing was a few years ago" with its product range, said Flight International's Mr Learmount.US aircraft firm Boeing has unveiled its new long-distance 777 plane, as it tries to regain its position as the industry's leading manufacturer.Boeing, in contrast to European rival Airbus, hopes airlines will want to fly smaller aircraft over longer distances.It is banking on smaller, slimmer planes such as the 777-200LR and its much-anticipated 787 Dreamliner plane, which is set to take to the skies in 2008."Boeing has the latest variant in a very successful line of airplanes and there is no doubt it will continue to be very successful," said David Learmount, operations and safety editor at industry magazine Flight International.Boeing plans to offer twin-engine planes that are able to fly direct to many of the world's airports, getting rid of the need for connecting flights.He also said that while the plane may be able to fly to Sydney from London in one hit, prevailing winds meant that it would have to stop somewhere on the return journey.Analysts are divided over which approach is best and say that this latest tussle between Boeing and Airbus may prove to be a defining moment for the airline industry.

Summarize the following article: Strong quarterly growth for Nike Nike has reported its best second-quarter earnings, helped by strong demand for its athletic shoes and Converse sneakers. The global sports giant said it posted a profit of $261.9m (£135.6m), for the three months to 30 November, up from $179.1m in the same period last year. Revenues increased 11% to $3.1bn, from $2.8bn for the same period in 2003. Nike, whose products are endorsed by Tiger Woods among other sports stars, said "demand continues to grow". The results came after a strong first quarter of the year for the firm based in Beaverton, Oregon. Philip Knight, chairman and chief executive, said: "Nike's second-quarter revenues and earnings per share reached all-time high levels as a result of solid performance across our global portfolio. "Our businesses in the United States and emerging markets such as China, Russia and Turkey, combined with favourable European exchange rates, helped drive much of this growth." He added: "With the first half of our fiscal year in the books, we remain confident that our business strategy and consistent execution will allow us to deliver on our goals of healthy, profitable growth." The firm reported worldwide futures orders for athletic footwear and gear, scheduled for delivery from December 2004 to April 2005, of $4.9bn. That is 9.1% higher than such orders reported for the same period last year.

That is 9.1% higher than such orders reported for the same period last year.The global sports giant said it posted a profit of $261.9m (£135.6m), for the three months to 30 November, up from $179.1m in the same period last year.Nike has reported its best second-quarter earnings, helped by strong demand for its athletic shoes and Converse sneakers.The firm reported worldwide futures orders for athletic footwear and gear, scheduled for delivery from December 2004 to April 2005, of $4.9bn.

Summarize the following article: Singapore growth at 8.1% in 2004 Singapore's economy grew by 8.1% in 2004, its best performance since 2000, figures from the trade ministry show. The advance, the second-fastest in Asia after China, was led by growth of 13.1% in the key manufacturing sector. However, a slower-than-expected fourth quarter points to more modest growth for the trade-driven economy in 2005 as global technology demand falls back. Slowdowns in the US and China could hit electronics exports, while the tsunami disaster may effect the service sector. Economic growth is set to halve in Singapore this year to between 3% and 5%. In the fourth quarter, the city state's gross domestic product (GDP) rose at an annual rate of 2.4%. That was up from the third quarter, when it fell 3.0%, but was well below analyst forecasts. "I am surprised at the weak fourth quarter number. The main drag came from electronics," said Lian Chia Liang, economist at JP Morgan Chase. Singapore's economy had contracted over the summer, weighed down by soaring oil prices. The economy's poor performance in the July to September period followed four consecutive quarters of double-digit growth as Singapore bounced back strongly from the effects of the deadly Sars virus in 2003.

However, a slower-than-expected fourth quarter points to more modest growth for the trade-driven economy in 2005 as global technology demand falls back.The economy's poor performance in the July to September period followed four consecutive quarters of double-digit growth as Singapore bounced back strongly from the effects of the deadly Sars virus in 2003.The advance, the second-fastest in Asia after China, was led by growth of 13.1% in the key manufacturing sector."I am surprised at the weak fourth quarter number.That was up from the third quarter, when it fell 3.0%, but was well below analyst forecasts.

Summarize the following article: UK 'risks breaking golden rule' The UK government will have to raise taxes or rein in spending if it wants to avoid breaking its "golden rule", a report suggests. The rule states that the government can borrow cash only to invest, and not to finance its spending projects. The National Institute of Economic and Social Research (NIESR) claims that taxes need to rise by about £10bn if state finances are to be put in order. The Treasury said its plans were on track and funded until 2008. According to NIESR, if the government's current economic cycle runs until March 2006 then it is "unlikely" the golden rule will be met. Should the cycle end a year earlier, then the chances improve to "50/50". Either way, fiscal tightening is needed, NIESR said. The report is the latest to call into question the viability of government spending projections. Earlier this month, accountancy firm Ernst & Young said that Chancellor of the Exchequer Gordon Brown's forecasts for tax revenues were too optimistic. It claimed revenues were likely to be £6bn below estimates by the end of the tax year despite the economy growing in line with forecasts. A Treasury spokesperson dismissed the latest claims, saying it was "on track to meeting spending rules and the golden rule in the current cycle and beyond". "Spending plans have been set out until 2008 and they are fully affordable." Other than its warning on possible tax hikes, the NIESR report was optimistic about the state of the UK and global economy. It said the recent record-busting surge in oil prices would have a limited effect on worldwide expansion, saying that if anything the "world economy will continue to grow strongly". Global gross domestic product (GDP) is tipped to be 4.1% this year, dipping to 4% in 2005, before picking up again to 4.2% in 2006. The US will continue to drive expansion until 2006, albeit at a slightly slower rate, as will be the case in Japan. Hinting at better times for UK exporters, NIESR said the euro zone "is expected to pick up speed". Growth in Britain also is set to accelerate, it forecast. "Despite weak growth in the third quarter, the forces sustaining the upswing remain intact and the economy will expand robustly in 2005 and 2006," NIESR said, adding that "the economy will become better balanced over the next two years as exports stage a recovery". GDP is expected at 3.2% in 2004, and 2.8% in both 2005 and 2006. The main cloud on the horizon, NIESR said, was the UK's much analysed and fretted over property market.

Other than its warning on possible tax hikes, the NIESR report was optimistic about the state of the UK and global economy.The UK government will have to raise taxes or rein in spending if it wants to avoid breaking its "golden rule", a report suggests.A Treasury spokesperson dismissed the latest claims, saying it was "on track to meeting spending rules and the golden rule in the current cycle and beyond".Hinting at better times for UK exporters, NIESR said the euro zone "is expected to pick up speed"."Despite weak growth in the third quarter, the forces sustaining the upswing remain intact and the economy will expand robustly in 2005 and 2006," NIESR said, adding that "the economy will become better balanced over the next two years as exports stage a recovery".Either way, fiscal tightening is needed, NIESR said.According to NIESR, if the government's current economic cycle runs until March 2006 then it is "unlikely" the golden rule will be met.The rule states that the government can borrow cash only to invest, and not to finance its spending projects.The Treasury said its plans were on track and funded until 2008.

Summarize the following article: Turkey knocks six zeros off lira Turkey is to relaunch its currency on Saturday, knocking six zeros off the lira in the hope of boosting trade and powering its growing economy. The change will see the end of such dizzyingly-high denominations as five million lira - enough for a short taxi ride - and the 20m note, worth $15. These valuations were the product of decades of inflation which, as recently as 2001, was as high as 70%. Inflation has since been tamed and economic prospects are improving. The currency - officially to be known as the new lira - will be launched at midnight on 1 January. From that point, the one-million lira note will become the new one-lira coin. The government hopes the change will be seen as a promise of growing economic stability as Turkey embarks on the long process of trying to join the European Union. On an everyday level, it is hoped the change will stimulate more international trade and end confusion among foreign investors and Turks alike. "The transition to the new Turkish lira shows clearly that our economy has broken the vicious circle that it was imprisoned in for long years," said Sureyya Serdengecti, head of the Turkish Central Bank. "The new lira is also the symbol of the stable economy that we dreamed of for long years." The Turkish economy teetered on the brink of collapse in 2001 when the lira plunged in value and two million people lost their jobs. Turkey had to turn to the International Monetary Fund for financial assistance, accepting a $18bn loan in return for pushing through a wide-ranging austerity programme. These tough measures have borne fruit. Inflation fell below 10% earlier this year for the first time in decades while exports are up 30% this year. Meanwhile, the economy is expanding at a healthy rate, with 7.9% growth expected in 2004. The government hopes that the new currency will cement the country's economic progress, two weeks after EU leaders set a date for the start of Turkey's accession talks. The slimmed-down lira is likely to be widely welcomed by the business community. "The Turkish lira has been like funny money," Tevfik Aksoy, chief Turkish economist for Deutsche Bank, told Associated Press. "Now at least in cosmetic terms it will look like real currency." However, some do not feel quite so happy about seeing the nominal value of their investments reduced. "If a person has 10 billion lira in investments this will suddenly decrease," shop owner Hayriye Evren, told Associated Press. "This will definitely affect people psychologically."

"The transition to the new Turkish lira shows clearly that our economy has broken the vicious circle that it was imprisoned in for long years," said Sureyya Serdengecti, head of the Turkish Central Bank.The Turkish economy teetered on the brink of collapse in 2001 when the lira plunged in value and two million people lost their jobs."The new lira is also the symbol of the stable economy that we dreamed of for long years."Turkey is to relaunch its currency on Saturday, knocking six zeros off the lira in the hope of boosting trade and powering its growing economy.The currency - officially to be known as the new lira - will be launched at midnight on 1 January."The Turkish lira has been like funny money," Tevfik Aksoy, chief Turkish economist for Deutsche Bank, told Associated Press.From that point, the one-million lira note will become the new one-lira coin."If a person has 10 billion lira in investments this will suddenly decrease," shop owner Hayriye Evren, told Associated Press.The change will see the end of such dizzyingly-high denominations as five million lira - enough for a short taxi ride - and the 20m note, worth $15.

Summarize the following article: WorldCom bosses' $54m payout Ten former directors at WorldCom have agreed to pay $54m (£28.85m), including $18m from their own pockets, to settle a class action lawsuit, reports say. James Wareham, a lawyer representing one of the directors, told Reuters the 10 had agreed to pay those who lost billions when the firm collapsed. The remaining $36m will be paid by the directors' insurers. But, a spokesman for the prosecutor, New York State Comptroller Alan Hevesi, said no formal agreement had been made. Corporate governance experts said that if the directors do dip into their own pockets for the settlement, it will set a new standard for the accountability of bosses, when the firms they oversee face problems. "Directors very rarely pay," said Charles Elson, chairman of the Center for Corporate Governance at the University of Delaware. He added that the settlement "sends a pretty strong shockwave through the director world". A formal agreement on the payout is expected to be signed on Thursday in a US district court in Manhattan. Earlier, the New York Times had reported that the personal payments were required as part of any deal at the start of negotiations. The ten former outside directors are James Allen, Judith Areen, Carl Aycock, Max Bobbitt, Clifford Alexander, Stiles Kellett, Gordon Macklin, John Porter, Lawrence Tucker and the estate of John Sidgmore, who died last year. It has not yet been determined how much each director will have to pay. "None of the 10 former directors was a direct participant in the accounting machinations of the WorldCom fraud," said the Wall Street Journal (WSJ). Two other outside former directors, Bert Roberts and Francesco Galesi, remain defendants in the lawsuit, said the newspaper. According to the WSJ, which cites people familiar to the case, the settling directors are expected to deny wrongdoing and state they are settling the case to eliminate the uncertainties and expense of further litigations. The second-largest US long-distance telecoms operator filed for bankruptcy in 2002 when an $11bn accounting scandal was unearthed. The company emerged from Chapter 11 protection last year and changed its name to MCI Inc. Former WorldCom chief executive Bernard Ebbers is to face trial this month on criminal charges that he oversaw the fraud.

"None of the 10 former directors was a direct participant in the accounting machinations of the WorldCom fraud," said the Wall Street Journal (WSJ).Ten former directors at WorldCom have agreed to pay $54m (£28.85m), including $18m from their own pockets, to settle a class action lawsuit, reports say.Corporate governance experts said that if the directors do dip into their own pockets for the settlement, it will set a new standard for the accountability of bosses, when the firms they oversee face problems."Directors very rarely pay," said Charles Elson, chairman of the Center for Corporate Governance at the University of Delaware.Two other outside former directors, Bert Roberts and Francesco Galesi, remain defendants in the lawsuit, said the newspaper.It has not yet been determined how much each director will have to pay.But, a spokesman for the prosecutor, New York State Comptroller Alan Hevesi, said no formal agreement had been made.

Summarize the following article: Russian oil merger excludes Yukos The merger of Russian gas giant Gazprom and oil firm Rosneft is to go ahead, but will not include Yugansk, which was controversially bought last year. The merger, backed by Russian authorities, will allow foreigners to trade in Gazprom shares. Gazprom chief Alexei Miller confirmed Rosneft-owned Yugansk was not part of the deal and will instead be spun off. Under the agreement, the state will get a controlling share of Gazprom in exchange for Rosneft. The state wanted to control Gazprom before allowing foreigners to trade. Speaking on NTV television, which is controlled by Gazprom, Mr Miller added that Yugansk, which was swallowed up by Rosneft late last year, will operate as a separate, state-owned oil firm headed by current Rosneft chief Sergei Bogdanchikov. According to reports from Russian News Agency Interfax, the deal should go through in the next two to three months. "Obtaining majority control over Gazprom is the beginning of the liberalisation of the market in Gazprom shares," Mr Miller added. By opening up trading in Gazprom to foreigners, the firm will become a top emerging market play for traders. Currently, foreigners can only trade in Gazprom via a small issue of London-listed proxy shares. "This is positive news for the international investment community," Global Asset Management investment chief David Smith said. "The majority of investors are going to be happy," he added. However, analysts were disappointed that Yugansk would not be included in the deal. "Yugansk is a heavy cashflow generator and would have been a much better asset for Gazprom," Renaissance Capital energy analyst Adam Landes told Reuters news agency. But he said the latest development was simply an interim step to allow foreigners to trade in Gazprom. "Ultimately and industrially, Gazprom needs Yugansk," he added. Analysts said the deal would give Gazprom control of 8% of Russia's total oil production, an improvement on its current 2.5%, but still far less than the 20% share it would have gained had it also taken over Yugansk. However, the merged group will still remain outside Russia's top five oil producers - led by Lukoil with 11% of the market , followed by TNK-BP which is half owned by BP, and Surgutneftegaz. Instead, the merged Gazprom-Rosneft group will rank alongside Sibneft with 7% of the market. Yugansk was sold to a little-known shell company in a disputed auction in December, following what many thought was a politically-motivated attack on Yukos. The shell company was then snapped up by Rosneft. Yukos unsuccessfully sought to halt the auction by applying for bankruptcy through the US courts. The unit was auctioned by Russian authorities to help pay off a $27.5bn back-tax bill.

"Obtaining majority control over Gazprom is the beginning of the liberalisation of the market in Gazprom shares," Mr Miller added.The merger of Russian gas giant Gazprom and oil firm Rosneft is to go ahead, but will not include Yugansk, which was controversially bought last year.Gazprom chief Alexei Miller confirmed Rosneft-owned Yugansk was not part of the deal and will instead be spun off.Speaking on NTV television, which is controlled by Gazprom, Mr Miller added that Yugansk, which was swallowed up by Rosneft late last year, will operate as a separate, state-owned oil firm headed by current Rosneft chief Sergei Bogdanchikov."Ultimately and industrially, Gazprom needs Yugansk," he added.But he said the latest development was simply an interim step to allow foreigners to trade in Gazprom.The merger, backed by Russian authorities, will allow foreigners to trade in Gazprom shares.The state wanted to control Gazprom before allowing foreigners to trade.Analysts said the deal would give Gazprom control of 8% of Russia's total oil production, an improvement on its current 2.5%, but still far less than the 20% share it would have gained had it also taken over Yugansk.Yugansk was sold to a little-known shell company in a disputed auction in December, following what many thought was a politically-motivated attack on Yukos.

Summarize the following article: J&J agrees $25bn Guidant deal Pharmaceutical giant Johnson & Johnson has agreed to buy medical technology firm Guidant for $25.4bn (£13bn). Guidant is a key producer of equipment that combats heart problems such as implant defibrillators and pacemakers. Analysts said that the deal is aimed at offsetting Johnson & Johnson's reliance on a slowing drug business. They also pointed out that more mergers are likely because the drug and healthcare industries are fragmented and are under pressure to cut costs. A number of Johnson & Johnson's products are facing patent expirations, while the company is also battling fierce competition from generic products. Meanwhile, demand for defibrillators, which give the heart a small electric shock when an irregular heartbeat or rhythm is detected, is expected to increase, analysts said. The move by Johnson & Johnson has been widely expected and the firm will pay $76 for each Guidant share, 6% more than Wednesday's closing price. Analysts say that US antitrust regulators could force the firms to shed some overlapping stent operations. Stents are tubes that are used to keep an artery open after it has been unblocked.

The move by Johnson & Johnson has been widely expected and the firm will pay $76 for each Guidant share, 6% more than Wednesday's closing price.Pharmaceutical giant Johnson & Johnson has agreed to buy medical technology firm Guidant for $25.4bn (£13bn).Analysts said that the deal is aimed at offsetting Johnson & Johnson's reliance on a slowing drug business.A number of Johnson & Johnson's products are facing patent expirations, while the company is also battling fierce competition from generic products.

Summarize the following article: S Korea spending boost to economy South Korea will boost state spending next year in an effort to create jobs and kick start its sputtering economy. It has earmarked 100 trillion won ($96bn) for the first six months of 2005, 60% of its total annual budget. The government's main problems are "slumping consumption and a contraction in the construction industry". It aims to create 400,000 jobs and will focus on infrastructure and home building, as well as providing public firms with money to hire new workers. The government has set an economic growth rate target of 5% for next year and hinted that would be in danger unless it took action. "Internal and external economic conditions are likely to remain unfavourable in 2005," the Finance and Economy Ministry said in a statement. It blamed "continuing uncertainties such as fluctuating oil prices and foreign exchange rates and stagnant domestic demand that has shown few signs of a quick rebound". In 2004, growth will be between 4.7% and 4.8%, the ministry said. Not everyone is convinced the plan will work. "Our primary worry centres on the what we believe is the government's overly optimistic view that its front loading of the budget will be enough to turn the economy around," consultancy 4Cast said in a report. The problem facing South Korea is that many consumers are reeling from the effects of a credit bubble that only recently burst. Millions of South Koreans are defaulting on their credit card bills, and the country's biggest card lender has been hovering on the verge of bankruptcy for months. As part of its spending plans, the government said it will ask firms to "roll over mortgage loans that come due in the first half of 2005" . It also pledged to look at ways of helping families on low incomes. The government voiced concern about the effect of redundancies in the building trade. "Given the economic spill over and employment effect in the construction sector, a sharp downturn in the construction industry could have other adverse effects," the ministry said. As a result, South Korea will give private companies also will be given the chance to build schools, hospitals, houses and other public buildings. It also will look at real estate tax system. Other plans on the table include promoting new industries such as bio-technology and nano-technology, as well as offering increased support to small and medium sized businesses. "The focus will be on job creation and economic recovery, given that unfavourable domestic and global conditions are likely to dog the Korean economy in 2005," the ministry said.

"The focus will be on job creation and economic recovery, given that unfavourable domestic and global conditions are likely to dog the Korean economy in 2005," the ministry said."Given the economic spill over and employment effect in the construction sector, a sharp downturn in the construction industry could have other adverse effects," the ministry said."Internal and external economic conditions are likely to remain unfavourable in 2005," the Finance and Economy Ministry said in a statement.In 2004, growth will be between 4.7% and 4.8%, the ministry said.South Korea will boost state spending next year in an effort to create jobs and kick start its sputtering economy.The government has set an economic growth rate target of 5% for next year and hinted that would be in danger unless it took action.As a result, South Korea will give private companies also will be given the chance to build schools, hospitals, houses and other public buildings.As part of its spending plans, the government said it will ask firms to "roll over mortgage loans that come due in the first half of 2005" .

Summarize the following article: Qantas considers offshore option Australian airline Qantas could transfer as many as 7,000 jobs out of its home country as it seeks to save costs, according to newspaper reports. Chief executive Geoff Dixon was quoted by The Australian newspaper as saying the carrier could no longer afford to remain "all-Australian". Unions criticised the possible move - which may affect cabin and maintenance staff - saying Qantas was profitable. More than 90% of the airline's staff are based in Australia. Qantas confirmed it was looking at whether it might recruit and source products overseas - potentially through joint ventures - but said it would continue to create jobs in Australia. Despite making a record Australian dollars 648m ($492m) profit last year, Qantas has argued that it needs to make considerable savings if it is to remain competitive. "We're going to have to get the lowest cost structure we can and that willmean sourcing things more and more from overseas," the newspaper quoted Qantas chief executive Geoff Dixon as saying. Early this year, Qantas increased the number of flight attendants based in London from 370 to 870. If Qantas were to follow the lead of other airlines moving staff 'offshore' 7,000 jobs could shift overseas, the newspaper reported. In a statement, Qantas said it was looking to build its operations overseas. However, it stressed this would not result in large scale redundancies in its home market, where most of its 35,000 staff are employed. "We are totally committed to continuing to grow jobs in Australia," Mr Dixon said. "We are, however, operating in a global market and there is no room for complacency simply because we are currently profitable and successful." Unions reacted angrily to the reported disclosure, arguing that Qantas was profitable and did not need to take such action. "We could understand if Qantas was a struggling airline about to go under," Michael Mijatov, international division secretary of the Flight Attendants Association, told Agence France Presse. "Qantas announced a record profit last year and is on course this year for an even greater profit so it is totally unnecessary." In an effort to meet the challenge posed by low cost carriers, Qantas sought a tie-up with Air New Zealand last year However, the deal was thrown out by the New Zealand High Court on competition grounds.

If Qantas were to follow the lead of other airlines moving staff 'offshore' 7,000 jobs could shift overseas, the newspaper reported.In a statement, Qantas said it was looking to build its operations overseas.Unions criticised the possible move - which may affect cabin and maintenance staff - saying Qantas was profitable.Qantas confirmed it was looking at whether it might recruit and source products overseas - potentially through joint ventures - but said it would continue to create jobs in Australia.Australian airline Qantas could transfer as many as 7,000 jobs out of its home country as it seeks to save costs, according to newspaper reports.Unions reacted angrily to the reported disclosure, arguing that Qantas was profitable and did not need to take such action."We're going to have to get the lowest cost structure we can and that willmean sourcing things more and more from overseas," the newspaper quoted Qantas chief executive Geoff Dixon as saying.

Summarize the following article: GM, Ford cut output as sales fall US car firms General Motors (GM) and Ford have been forced to cut production in the face of falling car sales. US sales at GM sank 12.7% in February compared to a year ago while Ford sales dropped 3% as foreign rivals took a bigger share of the market. Meanwhile, Asian carmakers fared well - Toyota sales jumped 11% while rival Nissan notched up a 10% increase. Overall. sales across the industry also fell to 1.25 million vehicles from 1.27 million a year earlier. GM and Ford blamed high fuel prices for low sales of big trucks and gas-guzzling sports utility vehicles (SUVs) - the vehicles that provide the biggest profits. GM added that US truck sales fell 9% in February while car business tumbled 17%, however it did acknowledge that some new products - such as the Pontiac G6 and Chevrolet Cobalt - had put in solid performances. "The calendar year is starting off slower than expected, both for GM and the industry," said Mark LaNeve, GM's vice president for North American sales, service and marketing. The slump in sales prompted the group to cut production in North America by 3% - it has already reduced output by around 9% in the face of growing stockpiles. Meanwhile, Ford which posted its ninth consecutive drop in monthly US sales, said it was cutting first-quarter North American production by another 10,000 vehicles, or 1.2%. Chrysler, the US unit of Germany's DaimlerChrysler, was the only Detroit based automaker to boast an increase in market share during the month - with sales rising 8%. But America's loss was its foreign rivals' gain as they continued to nibble away at the US market. While Japan's top car maker Toyota and Nissan saw sales accelerate, even the smaller Suzuki Motor Corp snapped up a more business with sales improving 17.6% on a year ago. In 2003, the firm launched an ambitious plan to triple US sales by 2007 as it seeks to become a bigger player in the Asian assault on the US market. Korea's Hyundai was another big gainer, turning in a 19% surge in February sales. Toyota put its rise in sales down to strong results for its redesigned Avalon sedan and a 120% surge in sales of its gas-electric Prius hybrid mid-size sedan as petrol-price conscious consumers looked to vehicles that were cheaper to run. "As gas prices continue their upward march, fuel efficiency catches the public eye," Jim Press, vice president and chief operating officer of Toyota's US sales arm, said in a statement.

US sales at GM sank 12.7% in February compared to a year ago while Ford sales dropped 3% as foreign rivals took a bigger share of the market.In 2003, the firm launched an ambitious plan to triple US sales by 2007 as it seeks to become a bigger player in the Asian assault on the US market.Chrysler, the US unit of Germany's DaimlerChrysler, was the only Detroit based automaker to boast an increase in market share during the month - with sales rising 8%.GM added that US truck sales fell 9% in February while car business tumbled 17%, however it did acknowledge that some new products - such as the Pontiac G6 and Chevrolet Cobalt - had put in solid performances.While Japan's top car maker Toyota and Nissan saw sales accelerate, even the smaller Suzuki Motor Corp snapped up a more business with sales improving 17.6% on a year ago.US car firms General Motors (GM) and Ford have been forced to cut production in the face of falling car sales.Meanwhile, Ford which posted its ninth consecutive drop in monthly US sales, said it was cutting first-quarter North American production by another 10,000 vehicles, or 1.2%.

Summarize the following article: BT offers equal access to rivals BT has moved to pre-empt a possible break-up of its business by offering to cut wholesale broadband prices and open its network to rivals. The move comes after telecom regulator Ofcom said in November that the firm must offer competitors "real equality of access to its phone lines". At the time, Ofcom offered BT the choice of change or splitting into two. Ofcom is carrying out a strategic review aimed at promoting greater competition in the UK telecom sector. BT's competitors have frequently accused it of misusing its status as the former telecoms monopoly and controller of access to many customers to favour its own retail arm. This latest submission was delivered to the watchdog ahead of a deadline for the second phase of its review. "Central to the proposals are plans by BT to offer operators lower wholesale prices, faster broadband services and transparent, highly-regulated access to BT's local network," the former monopoly said in a statement. "The United Kingdom has the opportunity to create the most exciting and innovative telecoms market in the world," BT chief executive Ben Verwaayen said. "BT has a critical role to play, and today we are making a set of far-reaching proposals towards that framework," he said. BT wants lighter regulation in exchange for the changes, as well as the removal of the break-up threat. The group is to set up a new Access Services division - with a separate board which would include independent members - to ensure equal access for rivals to the "local loop", the copper wires that run between telephone exchanges and households. The company also unveiled plans to cut the wholesale prices of its most popular broadband product by about 8% from April in areas of high customer demand. It added that it plans to invest £10bn in the next five years to create a "21st Century network". To meet the growing demand for greater bandwidth, BT said it would begin trials in April with a view to launching higher-speed services nationally from the autumn. Telecom analysts Ovum welcomed the move, saying BT had "given a lot of ground". "The big question now is whether the industry, and particularly Ofcom feels BT's proposals go far enough ...Now the real negotiation begins," director of telecoms research Tony Lavender said. Internet service provider (ISP) Plus.net also backed the proposals saying "we will be entirely happy if Ofcom accepts them". "BT has been challenged to play fair and its plans will introduce a level playing field. The scenario now is how well people execute their business plans as a service provider," chief executive Lee Strafford said. Chris Panayis, managing director of ISP Freedom2surf said that it would make the situation clearer for business. "I think it's the first productive thing we've had from BT," he said. AOL backed the price cuts but said regulation was still needed to ensure a level playing field. "This is a reminder to Ofcom that as long as BT can change the dynamics of the whole broadband market at will, the process of opening up the UK's local telephone network to infrastructure investment and competition remains fragile," a spokesman said. "Ofcom needs to return to regulation of the wholesale broadband service [IPStream] and provide more robust rules for local loop unbundling if consumers are to see the benefits of increased competition and infrastructure investment." More than 100 telecom firms, consumer groups and other interested parties are expected to make submissions to the regulator during this consultation phase. Ofcom is expected to spend the next few weeks examining the proposals before making an announcement within the next few months.

"Central to the proposals are plans by BT to offer operators lower wholesale prices, faster broadband services and transparent, highly-regulated access to BT's local network," the former monopoly said in a statement."This is a reminder to Ofcom that as long as BT can change the dynamics of the whole broadband market at will, the process of opening up the UK's local telephone network to infrastructure investment and competition remains fragile," a spokesman said."The United Kingdom has the opportunity to create the most exciting and innovative telecoms market in the world," BT chief executive Ben Verwaayen said."BT has a critical role to play, and today we are making a set of far-reaching proposals towards that framework," he said.The move comes after telecom regulator Ofcom said in November that the firm must offer competitors "real equality of access to its phone lines".BT has moved to pre-empt a possible break-up of its business by offering to cut wholesale broadband prices and open its network to rivals."I think it's the first productive thing we've had from BT," he said.To meet the growing demand for greater bandwidth, BT said it would begin trials in April with a view to launching higher-speed services nationally from the autumn."The big question now is whether the industry, and particularly Ofcom feels BT's proposals go far enough ...Now the real negotiation begins," director of telecoms research Tony Lavender said."BT has been challenged to play fair and its plans will introduce a level playing field.The scenario now is how well people execute their business plans as a service provider," chief executive Lee Strafford said.

Summarize the following article: German economy rebounds Germany's economy, the biggest among the 12 countries sharing the euro, grew at its fastest rate in four years during 2004, driven by strong exports. Gross domestic product (GDP) rose by 1.7% last year, the statistical office said. The economy contracted in 2003. Foreign sales increased by 8.2% last year, compared with a 0.3% slide in private consumption. Concerns remain, however, over the strength of the euro, weak domestic demand and a sluggish labour market. The European Central Bank (ECB) left its benchmark interest rate unchanged at 2% on Thursday. It is the nineteenth month in a row that the ECB has not moved borrowing costs. Economists predict that an increase is unlikely to come until the second half of 2005, with growth set to sputter rather than ignite. "During 2004 we profited from the fact that the world economy was strong," said Stefan Schilbe, analyst at HSBC Trinkaus & Burkhardt. "If exports weaken and domestic growth remains poor, we cannot expect much from 2005." Many German consumers have been spooked and unsettled by government attempts to reform the welfare state and corporate environment. Major companies including Volkswagen, DaimlerChrysler and Siemens have spent much of 2004 in tough talks with unions about trimming jobs and costs. They have also warned there are more cost cutting measures on the horizon.

Germany's economy, the biggest among the 12 countries sharing the euro, grew at its fastest rate in four years during 2004, driven by strong exports.Gross domestic product (GDP) rose by 1.7% last year, the statistical office said."If exports weaken and domestic growth remains poor, we cannot expect much from 2005.""During 2004 we profited from the fact that the world economy was strong," said Stefan Schilbe, analyst at HSBC Trinkaus & Burkhardt.The economy contracted in 2003.Concerns remain, however, over the strength of the euro, weak domestic demand and a sluggish labour market.

Summarize the following article: US economy shows solid GDP growth The US economy has grown more than expected, expanding at an annual rate of 3.8% in the last quarter of 2004. The gross domestic product figure was ahead of the 3.1% the government estimated a month ago. The rise reflects stronger spending by businesses on capital equipment and a smaller-than-expected trade deficit. GDP is a measure of a country's economic health, reflecting the value of the goods and services it produces. The new GDP figure, announced by the Commerce Department on Friday, also topped the 3.5% growth rate that economists had forecast ahead of Friday's announcement. Growth was at an annual rate of 4% in the third quarter of 2004 and for the year it came in at 4.4%, the best figure in five years. However, the positive economic climate may lead to a rise in interest rates, with many expecting US rates to rise on 22 March. In the January-to-March quarter, the economy is expected to grow at an annual rate of about 4%, economists forecast. In the final quarter of 2004, businesses increased spending on capital equipment and software by 18%, up from 17.5% in the third quarter. Consumer spending grew 4.2% in the final quarter, down from the third quarter's 5.1%.

Growth was at an annual rate of 4% in the third quarter of 2004 and for the year it came in at 4.4%, the best figure in five years.In the final quarter of 2004, businesses increased spending on capital equipment and software by 18%, up from 17.5% in the third quarter.In the January-to-March quarter, the economy is expected to grow at an annual rate of about 4%, economists forecast.The US economy has grown more than expected, expanding at an annual rate of 3.8% in the last quarter of 2004.

Summarize the following article: House prices drop as sales slow House prices fell further in November and property sale times lengthened as rate rises took their toll, the Royal Institute of Chartered Surveyors found. A total of 48% of chartered surveyor estate agents reported lower prices in the three months to November - the highest level in 12 years. Meanwhile the number of sales dropped 32% to an average of 22 per surveyor. The amount of unsold properties on their books rose for the sixth month in a row to an average of 67 properties. "The slowdown occurring in the market has given buyers more power to negotiate, but this time of year is traditionally a quiet one," RICS housing spokesman Ian Perry said. "The decision by the Bank of England not to increase interest rates further and the healthy economy is allowing confidence to consolidate." The figures support recent data from the government and other bodies which all point to a slowdown in the housing market. On Monday, the Council of Mortgage Lenders, British Bankers Association and Building Societies Association all said mortgage lending was slowing. The figures were published as another survey by property website Rightmove said the average asking price of a home fell by more than £600 from £190,329 in November to £189,733 in December. Around the UK, the Midlands and South saw the biggest price falls, while London prices fell but at less than the national rate. In Scotland, where prices have remained on an upward path, increases were more "moderate", RICS added. But the news failed to dent confidence that sales will recover in future, with surveyors at their most optimistic in a year - as new purchase inquiries stabilised despite holding at lower levels. "Sales usually pick up in the New Year and I am confident this year will be no exception," Mr Perry added. Looking ahead, the group is anticipating a quiet start to 2005 with the market picking up in the second half - prompting a 3% rise in prices over the coming 12 months.

House prices fell further in November and property sale times lengthened as rate rises took their toll, the Royal Institute of Chartered Surveyors found.The figures were published as another survey by property website Rightmove said the average asking price of a home fell by more than £600 from £190,329 in November to £189,733 in December.A total of 48% of chartered surveyor estate agents reported lower prices in the three months to November - the highest level in 12 years.Around the UK, the Midlands and South saw the biggest price falls, while London prices fell but at less than the national rate."The slowdown occurring in the market has given buyers more power to negotiate, but this time of year is traditionally a quiet one," RICS housing spokesman Ian Perry said.In Scotland, where prices have remained on an upward path, increases were more "moderate", RICS added.

Summarize the following article: US regulator to rule on pain drug US food and drug regulators will decide on Friday whether to recommend the sale of painkillers that have been linked to a high risk of heart attack and stroke. The Food and Drug Administration (FDA) advisory panel will give its verdict after hearing evidence for three days. The painkillers - called COX-2 inhibitors - are sold under brand names such as Celebrex and Vioxx. Vioxx was withdrawn from shops last year but Merck said it would consider selling it if it gets FDA approval. The FDA has been asked to decide if the benefits to patients justify the increased risks. Putting Vioxx back on the shelves is likely to boost profits at Merck and make easier any legal battles with people who claim to have been injured by the drug, analysts said. Merck voluntarily stopped sales of Vioxx on 30 September, a move which caused the firm's fourth-quarter earnings to slide to $1.1bn (£581m), from $1.4bn a year earlier. Merck's shares tumbled more than 10% on the news and the company has had to set aside millions of dollars to cover the cost of Vioxx-related litigation. Alarm bells were rung by a research note called Approve which showed that the risk of heart attack and stroke doubled in patients who had been taking the drug for at least 18 months. The Cox-2 inhibitors were developed by drug companies, including Merck and Pfizer, because they cause users fewer stomach problems than other painkillers. Pfizer is still selling its Celebrex and Bextra products, though investigations have suggested that they may also be harmful to the heart. Merck's announcement of a possible reintroduction of Vioxx caught analysts by surprise. Merck's head of research Peter Kim said that it withdrew Vioxx "based on the information that was available to us at the time, knowing there were alternative therapies". He went on to say that things have since changed in the light of new reports. "Given this new information, its is not clear that the cardiovascular risk observed in Approve makes Vioxx unique in the class of similar drugs marketed in the US," Mr Kim explained. On Thursday, David Graham from the FDA's Office of Drug Safety told the advisory panel that "there really doesn't appear to be a need for Cox-2" inhibitors. According to calculations presented to the US Senate by Dr Graham in November, Vioxx may be linked to as many as to 56,000 American deaths. Facing stem criticism for its handling of the Vioxx case, the FDA said on Tuesday that it will create an independent body to oversee the safety of drugs already in the market place. European regulators, meanwhile, ruled on Thursday that patients who have had heart disease or a stroke should not take Cox-2 inhibitors. The European Medicines Agency also said doctors should be "cautious" about giving the drugs to patients who have risk factors for heart disease.

The European Medicines Agency also said doctors should be "cautious" about giving the drugs to patients who have risk factors for heart disease."Given this new information, its is not clear that the cardiovascular risk observed in Approve makes Vioxx unique in the class of similar drugs marketed in the US," Mr Kim explained.US food and drug regulators will decide on Friday whether to recommend the sale of painkillers that have been linked to a high risk of heart attack and stroke.Putting Vioxx back on the shelves is likely to boost profits at Merck and make easier any legal battles with people who claim to have been injured by the drug, analysts said.Facing stem criticism for its handling of the Vioxx case, the FDA said on Tuesday that it will create an independent body to oversee the safety of drugs already in the market place.Vioxx was withdrawn from shops last year but Merck said it would consider selling it if it gets FDA approval.Alarm bells were rung by a research note called Approve which showed that the risk of heart attack and stroke doubled in patients who had been taking the drug for at least 18 months.The painkillers - called COX-2 inhibitors - are sold under brand names such as Celebrex and Vioxx.

Summarize the following article: FAO warns on impact of subsidies Billions of farmers' livelihoods are at risk from falling commodity prices and protectionism, the UN's Food & Agriculture Organisation has warned. Trade barriers and subsidies "severely" distort the market, the FAO report on the "State of Agricultural Commodity Markets 2004" said. As a result, the 2.5 billion people in the developing world who rely on farming face food insecurity. The most endangered are those who live in the least-developed countries. The FAO report said that support for farmers in industrialised nations was equivalent to 30 times the amount provided as aid for agricultural development in poor countries. The FAO has urged the World Trade Organisation to swiftly conclude negotiations to liberalise trade, easing developing countries' access to the world market. It also criticised the high tariffs imposed by both developed and developing nations. It recommends that developing countries reduce their own tariffs to encourage trade and take advantage of market liberalisation. According to the organisation, subsidies and high tariffs have a strong impact on the trade of products such as cotton and rice. Global exports of these products are mainly in the hands of the European Union and the US, who - thanks to subsidies - sell them at very low prices. In fact, almost 30 wealthy nations spend more than $300bn (£158.8bn; 230.9bn euros) in agricultural subsidies. The market situation has divided developing nations in two groups, the FAO said. The first group have a reasonably diverse range of agricultural products while in the second group, agriculture lies largely in the hands of small-scale producers. For 43 developing countries, more than 20% of their export incomes come from the sale of just one product. These countries are mainly situated in Sub-Saharan Africa, Latin America and the Caribbean.

The FAO has urged the World Trade Organisation to swiftly conclude negotiations to liberalise trade, easing developing countries' access to the world market.The market situation has divided developing nations in two groups, the FAO said.Trade barriers and subsidies "severely" distort the market, the FAO report on the "State of Agricultural Commodity Markets 2004" said.It recommends that developing countries reduce their own tariffs to encourage trade and take advantage of market liberalisation.For 43 developing countries, more than 20% of their export incomes come from the sale of just one product.According to the organisation, subsidies and high tariffs have a strong impact on the trade of products such as cotton and rice.

Summarize the following article: Australia rates at four year high Australia is raising its benchmark interest rate to its highest level in four years despite signs of a slowdown in the country's economy. The Reserve Bank of Australia lifted interest rates 0.25% to 5.5%, their first upwards move in more than a year. However, shortly after the Bank made its decision, new figures showed a fall in economic growth in the last quarter. The Bank said it had acted to curb inflation but the move was criticised by some analysts. The rate hike was the first since December 2003 and had been well-flagged in advance. However, opposition parties and some analysts said the move was ill-timed given data showing the Australian economy grew just 0.1% between October and December and 1.5% on an annual basis. The figures, representing a decline from the 0.2% growth in GDP seen between July and September, were below market expectations. Consumer spending remains strong, however, and the Bank is concerned about growing inflationary pressures. "Over recent months it has become increasingly clear that remaining spare capacity in the labour and goods markets is becoming rather limited," said Ian Macfarlane, Governor of the Reserve Bank. At 2.6%, inflation remains within the Bank's 2-3% target range. However, exports declined in the second half of 2004, fuelling a rise in the country's current account deficit - the difference in the value of imports compared to exports - to a record Australian dollar 29.4bn. The Australian government said the economy remained strong with unemployment at a near 30 year low. "The economy has been strong and it is properly moderating but it doesn't look to me like it's slowing in any unreasonable way," said Treasurer Peter Costello. Stock markets had factored in the likelihood of a rate rise but analysts still expressed concern about the strength of the economy. "That 1.5% annual growth rate is the lowest we have seen since the post-election slump we saw back in 2000-1," said Michael Blythe, chief economist at the Commonwealth Bank of Australia. "This suggests the economy really did slow very sharply in the second half of 2004."

The Reserve Bank of Australia lifted interest rates 0.25% to 5.5%, their first upwards move in more than a year.However, opposition parties and some analysts said the move was ill-timed given data showing the Australian economy grew just 0.1% between October and December and 1.5% on an annual basis."That 1.5% annual growth rate is the lowest we have seen since the post-election slump we saw back in 2000-1," said Michael Blythe, chief economist at the Commonwealth Bank of Australia.The Bank said it had acted to curb inflation but the move was criticised by some analysts.The Australian government said the economy remained strong with unemployment at a near 30 year low.Australia is raising its benchmark interest rate to its highest level in four years despite signs of a slowdown in the country's economy.Stock markets had factored in the likelihood of a rate rise but analysts still expressed concern about the strength of the economy.

Summarize the following article: Slowdown hits US factory growth US industrial production increased for the 21st month in a row in February, but at a slower pace than in January, official figures show. The Institute for Supply Management (ISM) index fell to 55.3 in February, from an adjusted 56.4 in January. Although the index was lower than in January, the fact that it held above 50 shows continued growth in the sector. "February was another good month in the manufacturing sector," said ISM survey chairman Norbert Ore. "While the overall rate of growth is slowing, the overall picture is improving as price increases and shortages are becoming less of a problem. Exports and imports remain strong," he said. Analysts had expected February's figure to be stronger than January's and come in at 57. Of the 20 manufacturing sectors surveyed by ISM, 13 reported growth. They included the textiles, apparel, tobacco, chemicals and transportation sectors. The ISM's index of national manufacturing activity is compiled from the responses of purchasing executives at more than 400 industrial companies.

"February was another good month in the manufacturing sector," said ISM survey chairman Norbert Ore. "While the overall rate of growth is slowing, the overall picture is improving as price increases and shortages are becoming less of a problem.Although the index was lower than in January, the fact that it held above 50 shows continued growth in the sector.Of the 20 manufacturing sectors surveyed by ISM, 13 reported growth.The Institute for Supply Management (ISM) index fell to 55.3 in February, from an adjusted 56.4 in January.

Summarize the following article: Go-ahead for Balkan oil pipeline Albania, Bulgaria and Macedonia has given the go ahead for the construction of a $1.2bn oil pipeline that will pass through the Balkan peninsula. The project aims to allow alternative ports for the shipping of Russian and Caspian oil, that normally goes through Turkish ports. It aims to transport 750,000 daily barrels of oil. The pipeline will be built by the US-registered Albanian Macedonian Bulgarian Oil Corporation (AMBO). The 912km pipeline will run from the Bulgarian port of Burgas, over the Black Sea to the Albanian city of Vlore on the Adriatic coast, crossing Macedonia. The project was conceived in 1994 but it was delayed because of the lack of political support. By signing the agreement on Tuesday, the prime ministers of Bulgaria, Albania and Macedonia have overcome the problem. "This is one of the most important infrastructure projects for regional, EU, and Euro-Atlantic integration for the western Balkans," said Albanian Prime Minister Fatos Nano. According to Pat Ferguson, President of AMBO, work on the pipeline will begin in 2005 and it is expected to be ready in three or four years. He added that the company had already raised about $900m from the Overseas Private Investment Corporation (OPIC) - a US development agency - the Eximbank and Credit Suisse First Boston, among others. The project has also the support of the European Union. Analysts have said that oil companies like ChevronTexaco, Exxon Mobil and British Petroleum would be happy to find alternative routes to the Bosphorus and Dardanelles Straits.

The pipeline will be built by the US-registered Albanian Macedonian Bulgarian Oil Corporation (AMBO).Albania, Bulgaria and Macedonia has given the go ahead for the construction of a $1.2bn oil pipeline that will pass through the Balkan peninsula.The project aims to allow alternative ports for the shipping of Russian and Caspian oil, that normally goes through Turkish ports.The 912km pipeline will run from the Bulgarian port of Burgas, over the Black Sea to the Albanian city of Vlore on the Adriatic coast, crossing Macedonia."This is one of the most important infrastructure projects for regional, EU, and Euro-Atlantic integration for the western Balkans," said Albanian Prime Minister Fatos Nano.

Summarize the following article: Madagascar completes currency switch Madagascar has completed the replacement of its Malagasy franc with a new currency, the ariary. From Monday, all prices and contracts will have to be quoted in the ariary, which was trading at 1,893 to the US dollar. The Malagasy franc, which lost almost half its value in 2004, is no longer legal tender but will remain exchangeable at banks until 2009. The phasing out of the franc, begun in July 2003, was intended to distance the country from its past under French colonial rule and address the problem of the large amount of counterfeit francs in circulation. "It's above all a question of sovereignty," Reuters quoted a central bank official as saying. "It is symbolic of our independence from the old colonial ways. Since we left the French monetary zone in 1973 we should have our own currency with its own name." The ariary was the name of a pre-colonial currency in the Indian Ocean island state.

Madagascar has completed the replacement of its Malagasy franc with a new currency, the ariary.The ariary was the name of a pre-colonial currency in the Indian Ocean island state.The phasing out of the franc, begun in July 2003, was intended to distance the country from its past under French colonial rule and address the problem of the large amount of counterfeit francs in circulation.From Monday, all prices and contracts will have to be quoted in the ariary, which was trading at 1,893 to the US dollar.

Summarize the following article: Malaysia lifts Islamic bank limit Malaysia's central bank is to relax restrictions on foreign ownership to encourage Islamic banking. Banks in Malaysia will now be able to sell up to 49% of their Islamic banking units, while the limit on other kinds of bank remains at 30%. RHB, Malaysia's third-biggest lender, is already scouting for a foreign partner for its new Islamic banking unit, the firm told Reuters. The moves put Malaysia ahead of a 2007 deadline to open up the sector. The country's deal to join the World Trade Organisation set that year as a deadline for liberalisation of Islamic banking. Also on Tuesday, the central bank released growth figures showing Malaysia's economy expanded 7.1% in 2004. But growth slowed sharply in the fourth quarter to 5.6%, and the central bank said it expected 6% expansion in 2005. Malaysia changed the law to allow Islamic banking in 1983. It has granted licences to three Middle Eastern groups, which - along with local players - mean there are eight fully-operational Islamic banking groups in the country. Islamic banks offer services which permit modern banking principles while sticking to Islamic law's ban on the payment of interest. Most of the Malays which make up half the country's population are Muslims.

Malaysia's central bank is to relax restrictions on foreign ownership to encourage Islamic banking.Malaysia changed the law to allow Islamic banking in 1983.Banks in Malaysia will now be able to sell up to 49% of their Islamic banking units, while the limit on other kinds of bank remains at 30%.Islamic banks offer services which permit modern banking principles while sticking to Islamic law's ban on the payment of interest.The country's deal to join the World Trade Organisation set that year as a deadline for liberalisation of Islamic banking.

Summarize the following article: Call centre users 'lose patience' Customers trying to get through to call centres are getting impatient and quicker to hang up, a survey suggests. Once past the welcome message, callers on average hang up after just 65 seconds of listening to canned music. The drop in patience comes as the number of calls to call centres is growing at a rate of 20% every year. "Customers are getting used to the idea of an 'always available' society," says Cara Diemont of IT firm Dimension Data, which commissioned the survey. However, call centres also saw a sharp increase of customers simply abandoning calls, she says, from just over 5% in 2003 to a record 13.3% during last year. When automated phone message systems are taken out of the equation, where customers have to pick their way through multiple options and messages, the number of abandoned calls is even higher - a sixth of all callers give up rather than wait. One possible reason for the lack in patience, Ms Diemont says, is the fact that more customers are calling 'on the move' using their mobile phones. The surge in customers trying to get through to call centres is also a reflection of the centres' growing range of tasks. "Once a call centre may have looked after mortgages, now its agents may also be responsible for credit cards, insurance and current accounts," Ms Diemont says. Problems are occurring because increased responsibility is not going hand-in-hand with more training, the survey found. In what Dimension Data calls an "alarming development", the average induction time for a call centre worker fell last year from 36 to just 21 days, leaving "agents not equipped to deal with customers". This, Ms Diemont warns, is "scary" and not good for the bottom line either. Poor training frustrates both call centre workers and customers. As a result, call centres have a high "churn rate", with nearly a quarter of workers throwing in the towel every year, which in turn forces companies to pay for training new staff. Resolution rates - the number of calls where a customer's query is resolved to mutual satisfaction - are running at just 50%. When the query is passed on to a second or third person - a specialist or manager - rates rise to about 70%, but that is still well below the industry target of an 85% resolution rate. Suggestions that "outsourcing" - relocating call centres to low-cost countries like India or South Africa - is to blame are wrong, Ms Diemont says. There are "no big differences in wait time and call resolution" between call centres based in Europe or North America and those in developing countries around the world. "You can make call centres perform anywhere if you have good management and the right processes in place," she says. However, companies that decide to "offshore" their operations are driven not just by cost considerations. Only 42% of them say that saving money is the main consideration when closing domestic call centre operations. Half of them argue that workers in other countries offer better skills for the money. But not everybody believes that outsourcing and offshoring are the solution. Nearly two-thirds of all firms polled for the survey have no plans to offshore their call centres. They give three key reasons for not making the move: - call centre operations are part of their business "core function", - they are worried about the risk of going abroad, - they fear that they will damage their brand if they join the offshoring drive. The survey was conducted by Sunovate on behalf of Dimension Data, and is based on in-depth questionnaires of 166 call centres in 24 countries and five continents. What are your experiences with call centres? Are you happy to listen to Vivaldi or Greensleeves, or do you want an immediate response? And if you work in a call centre: did your training prepare you for your job?

The drop in patience comes as the number of calls to call centres is growing at a rate of 20% every year.Poor training frustrates both call centre workers and customers.In what Dimension Data calls an "alarming development", the average induction time for a call centre worker fell last year from 36 to just 21 days, leaving "agents not equipped to deal with customers".And if you work in a call centre: did your training prepare you for your job?There are "no big differences in wait time and call resolution" between call centres based in Europe or North America and those in developing countries around the world.Customers trying to get through to call centres are getting impatient and quicker to hang up, a survey suggests.Suggestions that "outsourcing" - relocating call centres to low-cost countries like India or South Africa - is to blame are wrong, Ms Diemont says.The surge in customers trying to get through to call centres is also a reflection of the centres' growing range of tasks.What are your experiences with call centres?However, call centres also saw a sharp increase of customers simply abandoning calls, she says, from just over 5% in 2003 to a record 13.3% during last year.The survey was conducted by Sunovate on behalf of Dimension Data, and is based on in-depth questionnaires of 166 call centres in 24 countries and five continents.As a result, call centres have a high "churn rate", with nearly a quarter of workers throwing in the towel every year, which in turn forces companies to pay for training new staff.

Summarize the following article: UK economy facing 'major risks' The UK manufacturing sector will continue to face "serious challenges" over the next two years, the British Chamber of Commerce (BCC) has said. The group's quarterly survey of companies found exports had picked up in the last three months of 2004 to their best levels in eight years. The rise came despite exchange rates being cited as a major concern. However, the BCC found the whole UK economy still faced "major risks" and warned that growth is set to slow. It recently forecast economic growth will slow from more than 3% in 2004 to a little below 2.5% in both 2005 and 2006. Manufacturers' domestic sales growth fell back slightly in the quarter, the survey of 5,196 firms found. Employment in manufacturing also fell and job expectations were at their lowest level for a year. "Despite some positive news for the export sector, there are worrying signs for manufacturing," the BCC said. "These results reinforce our concern over the sector's persistent inability to sustain recovery." The outlook for the service sector was "uncertain" despite an increase in exports and orders over the quarter, the BCC noted. The BCC found confidence increased in the quarter across both the manufacturing and service sectors although overall it failed to reach the levels at the start of 2004. The reduced threat of interest rate increases had contributed to improved confidence, it said. The Bank of England raised interest rates five times between November 2003 and August last year. But rates have been kept on hold since then amid signs of falling consumer confidence and a slowdown in output. "The pressure on costs and margins, the relentless increase in regulations, and the threat of higher taxes remain serious problems," BCC director general David Frost said. "While consumer spending is set to decelerate significantly over the next 12-18 months, it is unlikely that investment and exports will rise sufficiently strongly to pick up the slack."

"Despite some positive news for the export sector, there are worrying signs for manufacturing," the BCC said.The BCC found confidence increased in the quarter across both the manufacturing and service sectors although overall it failed to reach the levels at the start of 2004.The outlook for the service sector was "uncertain" despite an increase in exports and orders over the quarter, the BCC noted.The UK manufacturing sector will continue to face "serious challenges" over the next two years, the British Chamber of Commerce (BCC) has said.However, the BCC found the whole UK economy still faced "major risks" and warned that growth is set to slow.The reduced threat of interest rate increases had contributed to improved confidence, it said.The rise came despite exchange rates being cited as a major concern.

Summarize the following article: News Corp eyes video games market News Corp, the media company controlled by Australian billionaire Rupert Murdoch, is eyeing a move into the video games market. According to the Financial Times, chief operating officer Peter Chernin said that News Corp is "kicking the tires of pretty much all video games companies". Santa Monica-based Activison is said to be one firm on its takeover list. Video games are "big business", the paper quoted Mr Chernin as saying. We "would like to get into it". The success of products such as Sony's Playstation, Microsoft's X-Box and Nintendo's Game Cube have boosted demand for video games. The days of arcade classics such as Space Invaders, Pac-Man and Donkey Kong are long gone. Today, games often have budgets big enough for feature films and look to give gamers as real an experience as possible. And with their price tags reflecting the heavy investment by development companies, video games are proving almost as profitable as they are fun. Mr Chernin, however, told the FT that News Corp was finding it difficult to identify a suitable target. "We are struggling with the gap between companies like Electronic Arts, which comes with a high price tag, and the next tier of companies," he explained during a conference in Phoenix, Arizona. "These may be too focused on one or two product lines."

According to the Financial Times, chief operating officer Peter Chernin said that News Corp is "kicking the tires of pretty much all video games companies".Video games are "big business", the paper quoted Mr Chernin as saying.News Corp, the media company controlled by Australian billionaire Rupert Murdoch, is eyeing a move into the video games market.And with their price tags reflecting the heavy investment by development companies, video games are proving almost as profitable as they are fun.The success of products such as Sony's Playstation, Microsoft's X-Box and Nintendo's Game Cube have boosted demand for video games.

Summarize the following article: SEC to rethink post-Enron rules The US stock market watchdog's chairman has said he is willing to soften tough new US corporate governance rules to ease the burden on foreign firms. In a speech at the London School of Economics, William Donaldson promised "several initiatives". European firms have protested that US laws introduced after the Enron scandal make Wall Street listings too costly. The US regulator said foreign firms may get extra time to comply with a key clause in the Sarbanes-Oxley Act. The Act comes into force in mid-2005. It obliges all firms with US stock market listings to make declarations, which, critics say, will add substantially to the cost of preparing their annual accounts. Firms that break the new law could face huge fines, while senior executives risk jail terms of up to 20 years. Mr Donaldson said that although the Act does not provide exemptions for foreign firms, the Securities and Exchange Commission (SEC) would "continue to be sensitive to the need to accomodate foreign structures and requirements". There are few, if any, who disagree with the intentions of the Act, which obliges chief executives to sign a statement taking responsibility for the accuracy of the accounts. But European firms with secondary listings in New York have objected - arguing that the compliance costs outweigh the benefits of a dual listing. The Act also applies to firms with more than 300 US shareholders, a situation many firms without US listings could find themselves in. The 300-shareholder threshold has drawn anger as it effectively blocks the most obvious remedy, a delisting. Mr Donaldson said the SEC would "consider whether there should be a new approach to the deregistration process" for foreign firms unwilling to meet US requirements. "We should seek a solution that will preserve investor protections" without turning the US market into "one with no exit", he said. He revealed that his staff were already weighing up the merits of delaying the implementation of the Act's least popular measure - Section 404 - for foreign firms. Seen as particularly costly to implement, Section 404 obliges chief executives to take responsibility for the firm's internal controls by signing a compliance statement in the annual accounts. The SEC has already delayed implementation of this clause for smaller firms - including US ones - with market capitalisations below $700m (£374m). A delegation of European firms visited the SEC in December to press for change, the Financial Times reported. It was led by Digby Jones, director general of the UK's Confederation of British Industry (CBI) and included representatives of BASF, Siemens and Cadbury Schweppes. Compliance costs are already believed to be making firms wary of US listings. Air China picked the London Stock Exchange for its secondary listing in its $1.07bn (£558m) stock market debut last month. There are also rumours that two Chinese state-run banks - China Construction Bank and Bank of China - have abandoned plans for multi-billion dollar listings in New York later this year. Instead, the cost of Sarbanes-Oxley has persuaded them to stick to a single listing in Hong Kong, according to press reports in China.

The Act also applies to firms with more than 300 US shareholders, a situation many firms without US listings could find themselves in.It obliges all firms with US stock market listings to make declarations, which, critics say, will add substantially to the cost of preparing their annual accounts.The US stock market watchdog's chairman has said he is willing to soften tough new US corporate governance rules to ease the burden on foreign firms.The SEC has already delayed implementation of this clause for smaller firms - including US ones - with market capitalisations below $700m (£374m).Mr Donaldson said the SEC would "consider whether there should be a new approach to the deregistration process" for foreign firms unwilling to meet US requirements.The US regulator said foreign firms may get extra time to comply with a key clause in the Sarbanes-Oxley Act.But European firms with secondary listings in New York have objected - arguing that the compliance costs outweigh the benefits of a dual listing.European firms have protested that US laws introduced after the Enron scandal make Wall Street listings too costly.Compliance costs are already believed to be making firms wary of US listings.Mr Donaldson said that although the Act does not provide exemptions for foreign firms, the Securities and Exchange Commission (SEC) would "continue to be sensitive to the need to accomodate foreign structures and requirements".

Summarize the following article: Standard Life concern at LSE bid Standard Life is the latest shareholder in Deutsche Boerse to express concern at the German stock market operator's plans to buy the London Stock Exchange. It said Deutsche Boerse had to show why its planned £1.35bn ($2.5bn) offer for the LSE was good for shareholder value. Reports say Standard Life, which owns a 1% stake in Deutsche Boerse, may seek a shareholder vote on the issue. Fellow shareholders US-based hedge fund Atticus Capital and UK-based TCI Fund Management have also expressed doubts. Deutsche Boerse's supervisory board has approved the possible takeover of the LSE despite the signs of opposition from investors. "The onus is on Deutsche Boerse's management to demonstrate why the purchase of the LSE creates more value for shareholders than other strategies, such as a buyback," said Richard Moffat, investment director of UK Equities at Standard Life Investments. Atticus Capital, holding 2% of Deutsche Boerse, wants it to buy back its own shares rather than buy the LSE. And TCI which holds about 5%, has made a request for an extraordinary shareholders meeting to be held to vote on replacing the company's entire supervisory board. It has also demanded that shareholders be consulted about the proposed acquisition, and whether the operator of the Frankfurt stock exchange should return $500m (£266m) to shareholders instead. In December, Deutsche Boerse, which also owns the derivatives market Eurex and the clearing firm Clearstream, put an informal offer of 530 pence per LSE share on the table. However, the LSE said the cash offer "undervalued" both its own business and the benefits of such a tie-up. Since then an improved offer from Deutsche Boerse has been anticipated as its management has continued talks with LSE chief executive Clara Furse. But the London exchange is also holding talks with Deutsche Boerse's rival Euronext, which operates the Amsterdam, Brussels, Lisbon and Paris exchanges, as well as London-based international derivatives market Liffe.

It said Deutsche Boerse had to show why its planned £1.35bn ($2.5bn) offer for the LSE was good for shareholder value.Since then an improved offer from Deutsche Boerse has been anticipated as its management has continued talks with LSE chief executive Clara Furse.Standard Life is the latest shareholder in Deutsche Boerse to express concern at the German stock market operator's plans to buy the London Stock Exchange."The onus is on Deutsche Boerse's management to demonstrate why the purchase of the LSE creates more value for shareholders than other strategies, such as a buyback," said Richard Moffat, investment director of UK Equities at Standard Life Investments.In December, Deutsche Boerse, which also owns the derivatives market Eurex and the clearing firm Clearstream, put an informal offer of 530 pence per LSE share on the table.Reports say Standard Life, which owns a 1% stake in Deutsche Boerse, may seek a shareholder vote on the issue.

Summarize the following article: US crude prices surge above $53 US crude prices have soared to fresh four-month highs above $53 in the US as refinery problems propelled petrol prices to an all-time high. US light sweet crude futures jumped to $53.09 a barrel in New York before closing at $53.03. The gains tracked a surge in US gasoline futures to a record high of $1.4850 a gallon. The jump followed a fire at Western Refining Company's refinery in Texas, which shut down petrol production. A spokesman for the group was unable to say when the production unit would be back up and running. "This market simply wants to go up," Citigroup Global Markets analyst Kyle Cooper told Reuters news agency. Ed Silliere, analyst at Energy Merchant, added: "Gasoline is up because of the refinery issues in Texas, which means there will be a scramble for product in the (US) Gulf Coast." Elsewhere, a refinery in Houston was closed due to mechanical problems, while on Tuesday production at BP's Texas City refinery was taken down for a short time. In the approach to Spring, the market becomes much more sensitive to problems with petrol production as dealers anticipate rising demand for fuel ahead of the holiday season. The rise in prices came despite a US government report that showed domestic supplies of fuel oil and fuel were rising. Meanwhile, oil production cartel Opec's recent announcement that it was now unlikely to cut production levels has also failed to calm fears on the market. Oil prices are roughly 45% higher than a year ago and have risen sharply in recent weeks due to a combination of colder weather, the declining value of the dollar and fears that Opec could rein in production to head off a seasonal drop in demand. Instability in Iraq and underlying fears about terrorism have also played a part in the rally.

US crude prices have soared to fresh four-month highs above $53 in the US as refinery problems propelled petrol prices to an all-time high.Meanwhile, oil production cartel Opec's recent announcement that it was now unlikely to cut production levels has also failed to calm fears on the market.Elsewhere, a refinery in Houston was closed due to mechanical problems, while on Tuesday production at BP's Texas City refinery was taken down for a short time.The jump followed a fire at Western Refining Company's refinery in Texas, which shut down petrol production.In the approach to Spring, the market becomes much more sensitive to problems with petrol production as dealers anticipate rising demand for fuel ahead of the holiday season.Ed Silliere, analyst at Energy Merchant, added: "Gasoline is up because of the refinery issues in Texas, which means there will be a scramble for product in the (US) Gulf Coast."

Summarize the following article: Car giant hit by Mercedes slump A slump in profitability at luxury car maker Mercedes has prompted a big drop in profits at parent DaimlerChrysler. The German-US carmaker saw fourth quarter operating profits fall to 785m euros ($1bn) from 2.4bn euros in 2003. Mercedes-Benz's woes - its profits slid to just 20m euros - obscured a strong performance from the Chrysler group whose returns met market expectations. Mercedes faces fierce competition in the luxury car sector from BMW and but hopes to revive its fortunes by 2006. Mercedes' profits over the period compared unfavourably with 2003's 784m euro figure and were well below analyst expectations of 374m euros. For the year as a whole, its operating profits fell 46% to 1.6bn euros. Sales of Mercedes' brands fell 2% as demand cooled, while revenues were affected by the weakness of the US dollar. The carmaker blamed the fall in profits on high launch costs for new models and losses from its Mercedes Smart mini-car range. Mercedes is hoping to increase productivity by 3bn euros, having negotiated 500m euros in annual savings with German workers last year. The firm said it was determined to retain Mercedes' position as the world's most successful luxury brand. However, DaimlerChrysler's shares fell 1.5% on the news. "While all these divisions are doing well the big worries continue to surround Mercedes-Benz," Michael Rabb, an analyst with Bank Sal Oppenheim, told Reuters. In contrast, Chrysler enjoyed a 5% annual increase in unit sales while revenues - calculated in US dollars - rose 10%. The US division - whose marques include Dodge and Jeep - transformed a full year operating loss of 506m euros in 2003 into a 1.4bn euros profit last year. Overall, DaimlerChrysler saw worldwide vehicle sales rise 8% to 4.7 million in 2004 while total revenues added 4% to 142bn euros. Chrysler's strong performance helped the world's fifth largest carmaker boost net income by 400m euros to 2.5bn euros. "The year 2004 shows that our strategy works well - even in such a challenging competitive environment," said Jurgen Schrempp, DaimlerChrysler's chairman. DaimlerChrysler took a 475m euro hit in costs stemming from a defects scandal at its joint venture, Japanese subsidiary Fuso. DaimlerChrysler last week agreed a compensation package with partner Mitsubishi Motors which will see it buy out its stake in Fuso. Looking forward, DaimerChrysler's profits are expected to be slightly higher in 2005. However, it is expecting "significant improvements" in profitability in 2006 as a result of a major investment in the Mercedes product range.

For the year as a whole, its operating profits fell 46% to 1.6bn euros.The US division - whose marques include Dodge and Jeep - transformed a full year operating loss of 506m euros in 2003 into a 1.4bn euros profit last year.Mercedes' profits over the period compared unfavourably with 2003's 784m euro figure and were well below analyst expectations of 374m euros.The German-US carmaker saw fourth quarter operating profits fall to 785m euros ($1bn) from 2.4bn euros in 2003.Mercedes is hoping to increase productivity by 3bn euros, having negotiated 500m euros in annual savings with German workers last year.A slump in profitability at luxury car maker Mercedes has prompted a big drop in profits at parent DaimlerChrysler.Chrysler's strong performance helped the world's fifth largest carmaker boost net income by 400m euros to 2.5bn euros.The carmaker blamed the fall in profits on high launch costs for new models and losses from its Mercedes Smart mini-car range.Sales of Mercedes' brands fell 2% as demand cooled, while revenues were affected by the weakness of the US dollar.

Summarize the following article: Call to save manufacturing jobs The Trades Union Congress (TUC) is calling on the government to stem job losses in manufacturing firms by reviewing the help it gives companies. The TUC said in its submission before the Budget that action is needed because of 105,000 jobs lost from the sector over the last year. It calls for better pensions, child care provision and decent wages. The 36-page submission also urges the government to examine support other European countries provide to industry. TUC General Secretary Brendan Barber called for "a commitment to policies that will make a real difference to the lives of working people." "Greater investment in childcare strategies and the people delivering that childcare will increases the options available to working parents," he said. "A commitment to our public services and manufacturing sector ensures that we can continue to compete on a global level and deliver the frontline services that this country needs." He also called for "practical measures" to help pensioners, especially women who he said "are most likely to retire in poverty". The submission also calls for decent wages and training for people working in the manufacturing sector.

The submission also calls for decent wages and training for people working in the manufacturing sector.The TUC said in its submission before the Budget that action is needed because of 105,000 jobs lost from the sector over the last year.TUC General Secretary Brendan Barber called for "a commitment to policies that will make a real difference to the lives of working people."The Trades Union Congress (TUC) is calling on the government to stem job losses in manufacturing firms by reviewing the help it gives companies.

Summarize the following article: India calls for fair trade rules India, which attends the G7 meeting of seven leading industrialised nations on Friday, is unlikely to be cowed by its newcomer status. In London on Thursday ahead of the meeting, India's finance minister, lashed out at the restrictive trade policies of the G7 nations. He objected to subsidies on agriculture that make it hard for developing nations like India to compete. He also called for reform of the United Nations, the World Bank and the IMF. Palaniappan Chidambaram, India's finance minister, argued that these organisations need to take into account the changing world order, given India and China's integration into the global economy. He said the issue is not globalisation but "the terms of engagement in globalisation." Mr Chidambaram is attending the G7 meeting as part of the G20 group of nations, which account for two thirds of the world's population. At a conference on developing enterprise hosted by UK finance minister Gordon Brown on Friday, he said that he was in favour of floating exchange rates because they help countries cope with economic shocks. "A flexible exchange rate is one more channel for absorbing both positive and negative shocks," he told the conference. India, along with China, Brazil, South Africa and Russia, has been invited to take part in the G7 meeting taking place in London on Friday and Saturday. China is expected to face renewed pressure to abandon its fixed exchange rate, which G7 nations, in particular the US, have blamed for a surge in cheap Chinese exports. "Some countries have tried to use fixed exchange rates. I do not wish to make any judgements," Mr Chidambaram said. Separately, the IMF warned on Thursday that India's budget deficit was too large and would hamper the country's economic growth, which it forecast to be around 6.5% in the year to March 2005. In the year to March 2004, the Indian economy grew by 8.5%.

At a conference on developing enterprise hosted by UK finance minister Gordon Brown on Friday, he said that he was in favour of floating exchange rates because they help countries cope with economic shocks.In London on Thursday ahead of the meeting, India's finance minister, lashed out at the restrictive trade policies of the G7 nations.Mr Chidambaram is attending the G7 meeting as part of the G20 group of nations, which account for two thirds of the world's population.China is expected to face renewed pressure to abandon its fixed exchange rate, which G7 nations, in particular the US, have blamed for a surge in cheap Chinese exports.Palaniappan Chidambaram, India's finance minister, argued that these organisations need to take into account the changing world order, given India and China's integration into the global economy.India, along with China, Brazil, South Africa and Russia, has been invited to take part in the G7 meeting taking place in London on Friday and Saturday.

Summarize the following article: Parmalat to return to stockmarket Parmalat, the Italian dairy company which went bust after an accounting scandal, hopes to be back on the Italian stock exchange in July. The firm gained protection from creditors in 2003 after revealing debts of 14bn euros ($18.34bn; £9.6bn). This was eight times higher than it had previously stated. In a statement issued on Wednesday night, Parmalat Finanziaria detailed administrators' latest plans for re-listing the shares of the group. As part of the re-listing on the Italian stock exchange, creditors' debts are expected to be converted into shares through two new share issues amounting to more than 2bn euros. The company's creditors will be asked to vote on the plan later this year. The plan is likely to give creditors of Parmalat Finanziaria shares worth about 5.7% of the debts they are owed. This is lower than the 11.3% creditors previously hoped to receive. Creditors of Parmalat, the main operating company, are likely to see the percentage of debt they receive fall from 7.3% to 6.9%. Several former top Parmalat executives are under investigation for the fraud scandal. Lawmakers said on Wednesday night Enrico Bondi, the turnaround specialist appointed by the Italian government as Parmalat's chief executive, spoke positively about the company during a closed-door hearing of the Chamber of Deputies industry commission. "Bondi supplied us with elements of positive results on the industrial positions and on the history of debt which will find a point of solution through the Parmalat group's quotation on the market in July," Italian news agency Apcom quoted several lawmakers as saying in a statement.

The plan is likely to give creditors of Parmalat Finanziaria shares worth about 5.7% of the debts they are owed.Creditors of Parmalat, the main operating company, are likely to see the percentage of debt they receive fall from 7.3% to 6.9%.As part of the re-listing on the Italian stock exchange, creditors' debts are expected to be converted into shares through two new share issues amounting to more than 2bn euros.In a statement issued on Wednesday night, Parmalat Finanziaria detailed administrators' latest plans for re-listing the shares of the group.Parmalat, the Italian dairy company which went bust after an accounting scandal, hopes to be back on the Italian stock exchange in July.

Summarize the following article: Lacroix label bought by US firm Luxury goods group LVMH has sold its loss-making Christian Lacroix clothing label to a US investment group. The Paris-based firm has been shedding non-core businesses and focusing on its most profitable brands including Moet & Chandon champagne and Louis Vuitton. LVMH said the French designer's haute couture and ready-to-wear labels had been purchased by the Falic Group for an unspecified sum. The Falic Group bought two cosmetics labels from LVMH in 2003. The sale of the Lacroix label comes as many fashion houses are struggling to make money from their expensive haute couture ranges. The Florida-based Falic group, which also runs a chain of 90 duty free stores in the US, said it planned to expand the brand by opening new stores. Mr Lacroix said he planned to stay at the label he founded in 1987 although exact details are still to be confirmed.

LVMH said the French designer's haute couture and ready-to-wear labels had been purchased by the Falic Group for an unspecified sum.Luxury goods group LVMH has sold its loss-making Christian Lacroix clothing label to a US investment group.The Falic Group bought two cosmetics labels from LVMH in 2003.

Summarize the following article: Bank payout to Pinochet victims A US bank has said it will donate more than $8m to victims of former Chilean military ruler Augusto Pinochet's regime under a Madrid court settlement. Riggs Bank will put money in a special fund to be managed by a Madrid-based charity, the Salvador Allende Foundation, which helps abused victims. The bank had been accused of illegally concealing Gen Pinochet's assets. More than 3,000 people were killed for political reasons under Gen Pinochet's regime, an official report says. Last month in a US court, Riggs Bank pleaded guilty to failing to report suspicious activity relating to accounts held by Gen Pinochet and the government of Equatorial Guinea. On that occasion, it was ordered to pay a fine of $16m. Gen Pinochet himself has never been put on trial for human rights violations under his 1973-90 rule, despite several high-profile cases against him. He is now facing charges relating to the murder of one Chilean and the disappearance of nine others. He is also being investigated for tax evasion, tax fraud and embezzlement of state funds. The general's opponents rejoiced at the settlement, which was agreed in a court in the Spanish capital, Madrid. A lawyer for the victims, Eduardo Contreras, told Reuters news agency: "This demonstrates that the horrors of the Pinochet dictatorship are not a mystery to anyone and that the whole world knows his victims deserve reparations." Riggs spokesman Mark Hendrix said the settlement, details of which will be announced next week, was an opportunity to move on. "This enables the institution to put the matter behind us," he told Reuters. The settlement follows a legal complaint filed against the bank by Spanish Judge Baltasar Garzon alleging that it had illegally concealed assets. The bank agreed to create a fund for the victims, but the charges were dropped.

A US bank has said it will donate more than $8m to victims of former Chilean military ruler Augusto Pinochet's regime under a Madrid court settlement.The bank had been accused of illegally concealing Gen Pinochet's assets.Last month in a US court, Riggs Bank pleaded guilty to failing to report suspicious activity relating to accounts held by Gen Pinochet and the government of Equatorial Guinea.The bank agreed to create a fund for the victims, but the charges were dropped.The general's opponents rejoiced at the settlement, which was agreed in a court in the Spanish capital, Madrid.Riggs Bank will put money in a special fund to be managed by a Madrid-based charity, the Salvador Allende Foundation, which helps abused victims.

Summarize the following article: Israel looks to US for bank chief Israel has asked a US banker and former International Monetary Fund director to run its central bank. Stanley Fischer, vice chairman of banking giant Citigroup, has agreed to take the Bank of Israel job subject to approval from parliament and cabinet. His nomination by Prime Minister Ariel Sharon came as a surprise, and led to gains on the Tel Aviv stock market. Mr Fischer, who speaks fluent Hebrew, will have to become an Israeli citizen to take the job. The US says he will not have to give up US citizenship to do so. Previous incumbent David Klein, who often argued with the Finance Ministry, steps down on 16 January. Mr Fischer will face a delicate balancing act - both in political and economic terms - between Mr Sharon and finance minister Binyamin Netanyahu, who also backed his nomination. But his appointment has also raised hopes that it could bring in fresh investment - and perhaps even an improvement in the country's credit rating Mr Fischer first went to Israel for six months in 1973, and almost emigrated there before deciding finally to return to the US. While teaching at the Massachussetts Institute of Technology he spent a month seconded to the Bank of Israel in 1979, beginning a long-time involvement in studying Israel's economy. In 1983 Mr Fischer became adviser on Israel's economy to then-US secretary of state George Shultz. At the World Bank in 1985, he participated in drawing up an economic stabilisation package for Israel.

Mr Fischer will face a delicate balancing act - both in political and economic terms - between Mr Sharon and finance minister Binyamin Netanyahu, who also backed his nomination.But his appointment has also raised hopes that it could bring in fresh investment - and perhaps even an improvement in the country's credit rating Mr Fischer first went to Israel for six months in 1973, and almost emigrated there before deciding finally to return to the US.Stanley Fischer, vice chairman of banking giant Citigroup, has agreed to take the Bank of Israel job subject to approval from parliament and cabinet.Israel has asked a US banker and former International Monetary Fund director to run its central bank.Mr Fischer, who speaks fluent Hebrew, will have to become an Israeli citizen to take the job.

Summarize the following article: India's Reliance family feud heats up The ongoing public spat between the two heirs of India's biggest conglomerate, Reliance Group, has spilled over to the board meeting of a leading company within the group. Anil Ambani, vice-chairman of India Petrochemicals Limited (IPCL), stayed away from a gathering of senior managers on Thursday. The move follows a decision earlier this month by Anil - the younger brother of Reliance Group president Mukesh Ambani - to resign from his post. His resignation was not accepted by his brother, who is also the boss of IPCL. The IPCL board met in Mumbai to discuss the company's results for the October-to-December quarter. It is understood that the board also considered Anil's resignation and asked him to reconsider his decision. However, Anil's demand that Anand Jain - another IPCL board member accused by Anil of creating a rift in the Ambani family - be thrown out, was not met. Anil has accused Anand Jain, a confidant of his brother Mukesh, of playing a negative role in the Ambani family, and being responsible for the trouble between the brothers. On Wednesday, the board of Reliance Energy, another Reliance Group company, reaffirmed its faith in Anil, who is the company's chief. Reliance Group acquired the government's 26% stake in IPCL - India's second-largest petrochemicals company - in 2002, as part of the privatisation drive. Meanwhile, the group's flagship company, Reliance Industries, has its board meeting on Friday to consider its financial results. Mukesh is the company's chairman and Anil its deputy, and it is expected that both brothers will come face to face in the meeting. The Ambani family controls 48% of the group, which is worth $17bn (£9.1bn; 745bn Indian rupees). It was founded by their father, Dhiru Bhai Ambani, who died two years ago.

However, Anil's demand that Anand Jain - another IPCL board member accused by Anil of creating a rift in the Ambani family - be thrown out, was not met.On Wednesday, the board of Reliance Energy, another Reliance Group company, reaffirmed its faith in Anil, who is the company's chief.The move follows a decision earlier this month by Anil - the younger brother of Reliance Group president Mukesh Ambani - to resign from his post.The ongoing public spat between the two heirs of India's biggest conglomerate, Reliance Group, has spilled over to the board meeting of a leading company within the group.Anil has accused Anand Jain, a confidant of his brother Mukesh, of playing a negative role in the Ambani family, and being responsible for the trouble between the brothers.Reliance Group acquired the government's 26% stake in IPCL - India's second-largest petrochemicals company - in 2002, as part of the privatisation drive.

Summarize the following article: Train strike grips Buenos Aires A strike on the Buenos Aires underground has caused traffic chaos and large queues at bus stops in the Argentine capital. Tube workers walked out last week demanding a 53% pay rise and in protest against the installation of automatic ticket machines. Metrovias, the private firm which runs the five tube lines in the city, has offered an 8% increase in wages. The firm promised no jobs would be lost as a result of new ticket machines. It said it would put this commitment on paper. Underground staff have warned they will continue with the protests until the management put an acceptable offer on the table. The Argentine Work Ministry has been mediating in the conflict and it could call an "obligatory conciliation", which would force both sides to find a solution and put an end to the conflict. Some tube commuters have not hidden their frustration at the ongoing strike and have broken the windows of the underground trains, according to the local press. "We are taken as hostages. I don't know who is right, but the harm ones are us," said accountant Jose Lopez.

It said it would put this commitment on paper.The Argentine Work Ministry has been mediating in the conflict and it could call an "obligatory conciliation", which would force both sides to find a solution and put an end to the conflict.The firm promised no jobs would be lost as a result of new ticket machines.Underground staff have warned they will continue with the protests until the management put an acceptable offer on the table.

Summarize the following article: Consumers drive French economy France's economic growth accelerated in the last three months of 2004, driven by consumer spending, a report shows. Gross domestic product (GDP) rose by 0.8% in the fourth quarter compared with the previous three month period, the statistical office INSEE said. That expansion pushed annual growth to 2.3%, the fastest rate in two years. Consumer spending was up by 1.2% in the fourth quarter, and there also was a rebound in business investment that gave the recovery an extra shove. Analysts warned that France still was facing challenges and was unlikely to keep expanding at its current pace. "France still has a strong economic growth," said Marc Toutai, an economist at Natexis Banques Populaires. "But, if we check the figures in detail, there's a problem." "Consumer spending is still high. But French households have spent their savings to consume. "France can't sustain a high growth rate without an improvement in the job market. There's too much of a gap between growth and employment." Unemployment levels are currently stuck at about 10%, and is proving difficult to bring down despite government efforts. Another worry is that demand in Germany and Italy, two of France's main trading partners, is sluggish. Despite the concerns, analysts pointed out that France was outperforming the majority of its European counterparts and that its economy was looking more robust than in previous years. As well as strong domestic demand, exports climbed by 1.3% in the fourth quarter - the biggest increase in foreign sales for a year. "It's an economic growth that seems well balanced," said Nicolas Claquin, an analyst at CCF. "In the beginning of 2004, growth was mainly driven by consumer spending. Here it gets contributions from investment and exports, though household consumption is still strong. "But we expect overall economic growth to fall to 2.0 percent in 2005."

"In the beginning of 2004, growth was mainly driven by consumer spending.France's economic growth accelerated in the last three months of 2004, driven by consumer spending, a report shows."France still has a strong economic growth," said Marc Toutai, an economist at Natexis Banques Populaires.Consumer spending was up by 1.2% in the fourth quarter, and there also was a rebound in business investment that gave the recovery an extra shove."Consumer spending is still high."It's an economic growth that seems well balanced," said Nicolas Claquin, an analyst at CCF.There's too much of a gap between growth and employment."Despite the concerns, analysts pointed out that France was outperforming the majority of its European counterparts and that its economy was looking more robust than in previous years.

Summarize the following article: US retail sales surge in December US retail sales ended the year on a high note with solid gains in December, boosted by strong car sales. Seasonally adjusted sales rose 1.2% in the month, compared to 0.1% a month earlier, boosted by a surge in shopping just before and after Christmas. Sales climbed 8% for the year, the best performance since an 8.5% rise in 1999, the Commerce Department added. The gains were led by a 4.3% jump in auto sales as dealers used enhanced offers to get cars out of showrooms. Dealers were forced to cut prices in December to maintain sales growth in a tough quarter when the usual end-of-year holiday sales boom was slow to get started. The increase in sales during December pushed total spending for the month to $349.4bn (£265.9bn). Sales for the year also broke through the $4 trillion mark for the first time - with annual sales coming in at $4.06 trillion However, if automotives are excluded from December's data, retail sales rose just 0.3% on the month. Home furnishings and furniture stores also performed well, rising 2.2%. But as well as hitting the shops, more US consumers were going online or using mail order for their purchases - with non-store retailers seeing sales rise by 1.9%. However, analysts said that the strong figures were unlikely to put the Federal Reserve Bank off its current policy of measured interest rate rises. "Consumers for now remain willing to spend freely, sustaining the US expansion. Given that attitude, the Fed remains likely to continue boosting the Fed funds rate at upcoming meetings," UBS economist Maury Harris told Reuters. Retail sales are seen as a major part of consumer spending - which in turn makes up two-thirds of economic output in the US. Consumer spending has been picking up in recent years after slumping during 2001 and 2002 as the country battled to recover from its first recession of the decade and the World Trade Centre attacks. During that time, sales grew a lacklustre 2.9% in 2001 and 2.5% a year later. Looking ahead, analysts now expect improvement in jobs growth to feed through to the High Street with consumer spending remaining strong. The belief comes despite the latest labor department report showing a surprise rise in unemployment. The number of Americans filing initial jobless claims jumped to 367,000, the highest rate since September. However, long-term claims slipped to their lowest level since 2001.

US retail sales ended the year on a high note with solid gains in December, boosted by strong car sales.Sales for the year also broke through the $4 trillion mark for the first time - with annual sales coming in at $4.06 trillion However, if automotives are excluded from December's data, retail sales rose just 0.3% on the month.Retail sales are seen as a major part of consumer spending - which in turn makes up two-thirds of economic output in the US.During that time, sales grew a lacklustre 2.9% in 2001 and 2.5% a year later.But as well as hitting the shops, more US consumers were going online or using mail order for their purchases - with non-store retailers seeing sales rise by 1.9%.The increase in sales during December pushed total spending for the month to $349.4bn (£265.9bn).Dealers were forced to cut prices in December to maintain sales growth in a tough quarter when the usual end-of-year holiday sales boom was slow to get started.Sales climbed 8% for the year, the best performance since an 8.5% rise in 1999, the Commerce Department added.

Summarize the following article: Nissan names successor to Ghosn Nissan has named a lifetime employee to run its operations after Carlos Ghosn, its highly successful boss, takes charge at Renault. As chief operating officer, Toshiyuki Shiga will run Nissan on a daily basis, although Mr Ghosn, who masterminded its recovery, will remain chief executive. Mr Ghosn is to become chairman and chief executive of Renault, which owns 44% of the Japanese carmaker, in April. Mr Ghosn transformed Nissan into a fast-growing and profitable business. Mr Shiga will nominally serve as Mr Ghosn's deputy. However, he will be Nissan's most senior Japan-based executive and will be in charge of the firm's global sales and marketing. He is currently in charge of Nissan's operations across Asia and Australasia and is credited with significantly improving its sales in China. He will inherit a strong legacy from Mr Ghosn, who has overseen a dramatic turnaround in Nissan's fortunes in the past five years. Dubbed 'le cost killer' for pushing through huge cost cuts in previous jobs, Mr Ghosn reduced Nissan's overheads by 20% and trimmed its workforce by about 200,000 after taking charge in 1999. These actions helped Nissan turn a 684bn yen ($6.4bn) loss in 2000 into a 331bn yen ($2.7bn) profit the following year. During his tenure, Nissan has increased its market share and made significant strides in key export markets. Nissan aims to increase vehicle sales to more than four million by 2008, launching 28 new models in the process. In his new job as Renault chief executive, Mr Ghosn will devote 40% of his time to Renault, 40% to Nissan and the rest to the group's activities in North America and other key markets. Mr Ghosn said Mr Shiga's appointment would ensure a "seamless" transition in management. "I need a leadership team capable of accelerating the performance and delivery of results that has characterized Nissan over the past six years," Mr Ghosn said. "I have full confidence in Toshiyuki Shiga and the new leadership team to help me implement the next chapter of Nissan's growth." Nissan also announced a number of other management appointments with promotions for several younger executives.

Mr Ghosn transformed Nissan into a fast-growing and profitable business.In his new job as Renault chief executive, Mr Ghosn will devote 40% of his time to Renault, 40% to Nissan and the rest to the group's activities in North America and other key markets.As chief operating officer, Toshiyuki Shiga will run Nissan on a daily basis, although Mr Ghosn, who masterminded its recovery, will remain chief executive."I need a leadership team capable of accelerating the performance and delivery of results that has characterized Nissan over the past six years," Mr Ghosn said.Mr Ghosn said Mr Shiga's appointment would ensure a "seamless" transition in management.Mr Ghosn is to become chairman and chief executive of Renault, which owns 44% of the Japanese carmaker, in April.He will inherit a strong legacy from Mr Ghosn, who has overseen a dramatic turnaround in Nissan's fortunes in the past five years.

Summarize the following article: Profits stall at China's Lenovo Profits at Chinese computer firm Lenovo have stood still amid slowing demand at home and stiffening competition. The firm is in the international spotlight after last year signing a deal to buy the PC division of personal computer pioneer IBM. Lenovo's profit for the three months to December was HK$327m (US$42m; £22m), less than 1% up on the year before. Chinese PC sales have risen by a fifth in each of the past two years, but are now growing more slowly. The company is still by far the biggest player in China, with more than a quarter of the market. But Western firms such as Dell and Hewlett-Packard are also mounting a more solid fight for market share in China, and Lenovo's sales were down 3.7% by revenue to HK$6.31bn. If the $1.75bn agreement Lenovo signed with IBM on 8 December goes through, it will mark the end of an era. IBM pioneered the desktop PC market in the early 1980s, although strategic mis-steps helped lose it its early dominance. In any case, margins in PC market are now wafer thin, and profits have been hard to come by for most vendors except direct-sales giant Dell. But investors have been less than impressed with Lenovo's move, designed to take it out of China and further onto the world stage. Its shares are down 20% since the announcement two months ago, largely because of the unprofitability of the unit it is buying. There have been rumours that the deal could be in trouble because US government agencies fear it could offer China opportunities for industrial espionage. The reports of the possibility of an investigation into the risk sent Lenovo's shares up 6% in late January.

But Western firms such as Dell and Hewlett-Packard are also mounting a more solid fight for market share in China, and Lenovo's sales were down 3.7% by revenue to HK$6.31bn.The firm is in the international spotlight after last year signing a deal to buy the PC division of personal computer pioneer IBM.Lenovo's profit for the three months to December was HK$327m (US$42m; £22m), less than 1% up on the year before.The company is still by far the biggest player in China, with more than a quarter of the market.But investors have been less than impressed with Lenovo's move, designed to take it out of China and further onto the world stage.In any case, margins in PC market are now wafer thin, and profits have been hard to come by for most vendors except direct-sales giant Dell.

Summarize the following article: Euro firms miss out on optimism More than 90% of large companies around the world are highly optimistic about their economic prospects, a survey of 1,300 bosses suggests. Their biggest worries are not terror threats, but over-regulation, low-cost competition and the wild ups and downs of oil prices. There is one exception: Firms in Western Europe - but not the UK - are lacking confidence after years of slow growth. When business advisers PricewaterhouseCoopers (PwC) conducted the same survey two years ago, nearly 30% of bosses were gloomy about their prospects. Global business leaders say that they are facing a two-pronged regulatory assault. After a string of corporate scandals in the United States - from Enron to WorldCom - the Sarbanes-Oxley act forces companies to be much more transparent, but doing all the paperwork costs a lot of time and money. Across Europe, meanwhile, all stock exchange-listed companies are currently in the process of moving to new and complex accounting standards called IFRS. Hacking through the red tape can hardly be avoided, but many chief executives around the world appear to have decided on how to deal with low-cost competitors. Already, about 28% of the bosses polled for the survey say that they have moved parts of their business into low-wage countries, and another 11% plan to do so in the future. Possibly as a result, the worry about low-cost competition has slightly fallen from last year, with just 54% of companies calling it a "significant threat" or "one of the biggest threats". But PwC's global chief executive, Samuel DiPiazza, said a growing number of companies were also concerned that moves to outsource work to cheaper countries could both hurt their reputation in their home markets and harm the quality of service they provide to their customers. According to Frank Brown, global advisory leader at PwC , the trend of large companies to have global operations has one clear upside: "One risk in one region - for example the Middle East - won't kill your business anymore." Surprisingly, the survey suggests that the rapid decline of the US dollar is not seen as a huge threat anymore, unlike even a year ago, when it was cited as the third-largest problem. Mr DiPiazza said the interviews with chief executives suggested that companies had "adjusted" to the new reality of a euro that buys $1.30 and more, while others had successfully hedged their positions and locked in more favourable exchange rates. - For the survey, PricewaterhouseCoopers interviewed 1,324 chief executives throughout the world during the last three months of 2004.

Possibly as a result, the worry about low-cost competition has slightly fallen from last year, with just 54% of companies calling it a "significant threat" or "one of the biggest threats".More than 90% of large companies around the world are highly optimistic about their economic prospects, a survey of 1,300 bosses suggests.When business advisers PricewaterhouseCoopers (PwC) conducted the same survey two years ago, nearly 30% of bosses were gloomy about their prospects.According to Frank Brown, global advisory leader at PwC , the trend of large companies to have global operations has one clear upside: "One risk in one region - for example the Middle East - won't kill your business anymore."- For the survey, PricewaterhouseCoopers interviewed 1,324 chief executives throughout the world during the last three months of 2004.But PwC's global chief executive, Samuel DiPiazza, said a growing number of companies were also concerned that moves to outsource work to cheaper countries could both hurt their reputation in their home markets and harm the quality of service they provide to their customers.

Summarize the following article: Deutsche attacks Yukos case German investment bank Deutsche Bank has challenged the right of Yukos to claim bankruptcy protection in the US. In a court filing on Tuesday, it said the Russian oil giant has few Texas ties beyond bank accounts and a Texas-based finance chief. Deutsche Bank claimed Yukos had artificially manufactured a legal case to stop the sale of its main asset. It had wanted to help fund Gazprom's plans for a $10bn (£5.18bn) bid for Yukos unit Yuganskneftegas. Deutsche Bank would have earned large fees from the deal, which could not be carried out because US chapter 11 bankruptcy rules made the Kremlin's auction of Yuganskneftegas on 19 December illegal under US law. But the US bankruptcy court judge in Texas granted Yukos an injunction that barred Gazprom and its lenders from taking part. Yuganskneftegas will ultimately end up with Gazprom. The winning bidder at the auction was a previously unknown firm, Baikal Finance Group, which was snapped up days later by Rosneft, a Russian oil firm that is in the process of merging with Gazprom. The effect of these transactions is to renationalise Yuganskneftegas. Deutsche Bank contends Yukos filed for bankruptcy earlier this month in Texas in a desperate and unsuccessful bid to stave off the 19 December auction of its top unit by the Russian government, which was in a tax dispute with Yukos. "This blatant attempt to artificially manufacture a basis for jurisdiction constitutes cause to dismiss this case," Deutsche Bank said in its court filing. Mike Lake, a spokesman for Yukos' lawyers, said on Tuesday that the company stands by its legal action. Yukos is confident of its right to US bankruptcy protection, and "we are prepared to be back in court defending that position again," he said. Yukos has said it intends to seek $20bn in damages from the buyer of Yuganskneftegas once the sale finally goes through. In its filing, Deutsche Bank said Houston was "a jurisdiction in which Yukos owns no real or personal property and conducts no business operations." It also said the US bankruptcy court should not become involved in "a tax dispute between the Federation and one of its corporate citizens". It suggested the European Court or an international arbitration tribunal were more appropriate jurisdictions for the legal fight between Russia and Yukos. The next hearing in the bankruptcy is expected on 6 January. Analysts believe the tax dispute between the Russian government and Yukos is partly driven by Russian president Vladimir Putin's hostility hostility to the political ambitions of ex-Yukos boss Mikhail Khordokovsky. Mr Khodorkovsky is in jail, and on trial for fraud and tax evasion.

Deutsche Bank contends Yukos filed for bankruptcy earlier this month in Texas in a desperate and unsuccessful bid to stave off the 19 December auction of its top unit by the Russian government, which was in a tax dispute with Yukos.German investment bank Deutsche Bank has challenged the right of Yukos to claim bankruptcy protection in the US.Yukos is confident of its right to US bankruptcy protection, and "we are prepared to be back in court defending that position again," he said.But the US bankruptcy court judge in Texas granted Yukos an injunction that barred Gazprom and its lenders from taking part.In its filing, Deutsche Bank said Houston was "a jurisdiction in which Yukos owns no real or personal property and conducts no business operations."Yukos has said it intends to seek $20bn in damages from the buyer of Yuganskneftegas once the sale finally goes through.It also said the US bankruptcy court should not become involved in "a tax dispute between the Federation and one of its corporate citizens".Deutsche Bank claimed Yukos had artificially manufactured a legal case to stop the sale of its main asset.

Summarize the following article: Europe blames US over weak dollar European leaders have openly blamed the US for the sharp rise in the value of the euro. US officials were talking up the dollar, they said, but failing to take action to back up their words. Meeting in Brussels, finance ministers of the 12 eurozone countries voiced their concern that the rise of the european currency was harming exports. The dollar is within touching distance of an all-time low reached earlier in November. At 0619 GMT on Tuesday, the dollar was up slightly at just above $1.29 to the euro, and buying 105.6 yen in Tokyo. It rallied briefly on Monday amid signs that oil prices are easing. But analysts said the respite was likely to be only temporary. The European ministers' comments, said Junya Tanase of JPMorgan Chase bank in Tokyo, were "generally too weak to produce a market reaction". Still, by the standards of diplomacy the European ministers were forthright. Nicolas Sarkozy of France said he and his colleagues were unanimous in their worry that the decline of the dollar would hit Europe's economies by eating into their exports. "We are concerned about these developments, which are destabilising, and which are linked to the accumulation of deficits by our American friends," he said. The comments come a day after US Treasury Secretary John Snow said a strong dollar was "in America's interest". But that was not enough for Mr Sarkozy. "If the Americans were to change their policy, it's up to them to say so," he said. And the European Union's monetary affairs commissioner, made it clear that action was necessary. "I fully welcome the words of Mr Snow," said Joaquin Almunia, "but we will need to see decisions adopted in that direction. "If the imbalances in the US economy are not adjusted in the future, the decision in the market will be as in the past weeks." Economists point out that whatever Europe says, in the short term a weaker dollar is a boon to President George W Bush's administration. Not only does it boost US exports, but it also makes the budget deficit easier to fund. On the other hand, slower European exports would mean slower EU growth - potentially reducing the demand for US goods.

The comments come a day after US Treasury Secretary John Snow said a strong dollar was "in America's interest".US officials were talking up the dollar, they said, but failing to take action to back up their words.But analysts said the respite was likely to be only temporary.Nicolas Sarkozy of France said he and his colleagues were unanimous in their worry that the decline of the dollar would hit Europe's economies by eating into their exports.At 0619 GMT on Tuesday, the dollar was up slightly at just above $1.29 to the euro, and buying 105.6 yen in Tokyo.Meeting in Brussels, finance ministers of the 12 eurozone countries voiced their concern that the rise of the european currency was harming exports.European leaders have openly blamed the US for the sharp rise in the value of the euro.The European ministers' comments, said Junya Tanase of JPMorgan Chase bank in Tokyo, were "generally too weak to produce a market reaction".

Summarize the following article: Man Utd to open books to Glazer Manchester United's board has agreed to give US tycoon Malcolm Glazer access to its books. Earlier this month, Mr Glazer presented the board with detailed proposals on an offer to buy the football club. In a statement, the club said it would allow Mr Glazer "limited due diligence" to give him the opportunity to take the proposal on to a formal bid. But it said it continued to oppose Mr Glazer's plans, calling his assumptions "aggressive" and his plan "damaging". Many of Manchester United's supporters own shares in the club, and the fan-based group Shareholders United is strongly opposed to any takeover by Mr Glazer. About 300 fans protested outside the Old Trafford ground two days ago. Rival local club Manchester City has pleaded with visiting fans not to protest inside its ground when the two teams play a televised match on Sunday. Manchester United's response comes as little surprise, as the board made clear. "Any board has a responsibility to consider a bona fide offer proposal," the club said in its statement. Should it become a firm offer, it should be at a price that "the board is likely to regard as fair" and on terms which "may be deliverable". But it also stressed that it stayed opposed to Mr Glazer's proposal. "The board continues to believe that Mr Glazer's business plan assumptions are aggressive," the statement said, "and the direct and indirect financial strain on the business could be damaging." Whether or not the bid is attractive in monetary terms, in the case of Manchester United many investors hold the stock for sentimental rather than financial reasons. At present, Mr Glazer and his family hold a 28.1% stake, making them Manchester United's second biggest shareholders. They own the successful Tampa Bay Buccaneers American football team based in Florida. If the family makes a formal offer, they will need the support of the club's biggest shareholders. Irish horse racing millionaires JP McManus and John Magnier own 29% of United through their investment vehicle Cubic Expression, and have yet to express a view on the bid approach. A group of five MPs are calling on the Department of Trade and Industry to block any takeover of the club by the US football magnate on public interest grounds. They have signed a House of Commons motion, and Tony Lloyd, the Manchester Central MP, whose constituency includes the club's Old Trafford ground, has pledged to take the matter "to Tony Blair if necessary". The Commons motion says "any takeover designed to transform the club into a private company would be against the interests of those supporters and football". However, the DTI has dismissed the proposal. A spokesman said the department did not believe there was a case for changing the Enterprise Act so that takeovers of football clubs could be looked at on non-competition grounds. Mr Glazer's offer values the club at £800m ($1.5bn). Pitched at 300p per share, it also relies less on debt to finance it than an earlier approach from the US tycoon, which was rejected out of hand. Manchester United shares closed at 270.25p on Friday, down 3.75p on the day.

Many of Manchester United's supporters own shares in the club, and the fan-based group Shareholders United is strongly opposed to any takeover by Mr Glazer.Earlier this month, Mr Glazer presented the board with detailed proposals on an offer to buy the football club."Any board has a responsibility to consider a bona fide offer proposal," the club said in its statement.In a statement, the club said it would allow Mr Glazer "limited due diligence" to give him the opportunity to take the proposal on to a formal bid.Mr Glazer's offer values the club at £800m ($1.5bn).Manchester United's board has agreed to give US tycoon Malcolm Glazer access to its books.At present, Mr Glazer and his family hold a 28.1% stake, making them Manchester United's second biggest shareholders."The board continues to believe that Mr Glazer's business plan assumptions are aggressive," the statement said, "and the direct and indirect financial strain on the business could be damaging."Rival local club Manchester City has pleaded with visiting fans not to protest inside its ground when the two teams play a televised match on Sunday.But it also stressed that it stayed opposed to Mr Glazer's proposal.

Summarize the following article: US consumer confidence up Consumers' confidence in the state of the US economy is at its highest for five months and they are optimistic about 2005, an influential survey says. The feel-good factor among US consumers rose in December for the first time since July according to new data. The Conference Board survey of 5,000 households pointed to renewed optimism about job creation and economic growth. US retailers have reported strong sales over the past 10 days after a slow start to the crucial festive season. According to figures also released on Tuesday, sales in shopping malls in the week to 25 December were 4.3% higher than in 2003 following a last minute rush. Wal-Mart, the largest US retailer, has said its December sales are expected to be better than previously forecast because of strong post-Christmas sales. It is expecting annual sales growth of between 1% and 3% for the month. Consumer confidence figures are considered a key economic indicator because consumer spending accounts for about two thirds of all economic activity in the United States. "The continuing economic expansion, combined with job growth, has consumers ending this year on a high note," said Lynn Franco, director of the Conference Board's consumer research centre. "And consumers' outlook suggests that the economy will continue to expand in the first half of next year." The overall US economy has performed strongly in recent months, prompting the Federal Reserve to increase interest rates five times since June.

Wal-Mart, the largest US retailer, has said its December sales are expected to be better than previously forecast because of strong post-Christmas sales."The continuing economic expansion, combined with job growth, has consumers ending this year on a high note," said Lynn Franco, director of the Conference Board's consumer research centre.The feel-good factor among US consumers rose in December for the first time since July according to new data.Consumers' confidence in the state of the US economy is at its highest for five months and they are optimistic about 2005, an influential survey says.US retailers have reported strong sales over the past 10 days after a slow start to the crucial festive season.

Summarize the following article: Ukraine revisits state sell-offs Ukraine is preparing what could be a wholesale review of the privatisation of thousands of businesses by the previous administration. The new President, Viktor Yushchenko, has said a "limited" list of companies is being drawn up. But on Wednesday Prime Minister Yulia Tymoshenko said the government was planning to renationalise 3,000 firms. The government says many privatised firms were sold to allies of the last administration at rock-bottom prices. More than 90,000 businesses in all, from massive corporations to tiny shopfronts, have been sold off since 1992, as the command economy built up when Ukraine was part of the Soviet Union was dismantled. Ms Tymoshenko said prosecutors had drawn up a list of more than 3,000 businesses which were to be reviewed. "We will return to the state that which was illegally put into private hands." A day earlier, Mr Yushchenko - keen to reassure potential investors - had said only 30 to 40 top firms would be targeted. The list "will be limited and final, and will not be extended after its completion", he said. An open-ended list could further damage outside investors' fragile faith in Ukraine, said Stuart Hensel of the Economist Intelligence Unit. But the government seemed keen not to make the review look like the kind of wholesale renationalisation which many fear in Russia, Mr Hensel said. As a result, it was planning to resell rather than keep firms in state hands. "They're aware of the need not to scare investors, and to be careful of internal divides within Ukraine," he said. "They don't want to be seen to be transferring assets from one set of oligarchs to a new set." Foreign investment in Ukraine, at about $40 a head in 2004, is one of the lowest among ex-Soviet states. Mr Yushchenko became president after two elections in December, the first of which was annulled amid allegations of voting irregularities and massive street protests. His opponent, Viktor Yanukovich, still has huge support in the country's eastern industrial heartland. Mr Yushchenko's administration has accused its predecessor, led by ex-President Leonid Kuchma, of corruption. The privatisation review's number one target is a steel mill sold to a consortium which included Viktor Pinchuk, Mr Kuchma's son-in-law, for $800m (£424m) despite higher bids from several foreign groups. The mill, Krivorizhstal, is one of the world's most profitable. "We say Krivorizhstal was stolen, and at any cost we will return it to the state," Mr Yushchenko told an investors' conference in Kiev. One of the jilted bidders, Netherlands-based group LNM, said it welcomed the possibility that the mill might be back on the market. "If the original privatisation is annulled and a new tender issued, then we would look at it with great interest," a spokesman told BBC News. A resale of Krivorizhstal could potentially triple the price, according to the Economist Intelligence Unit's Mr Hensel. But he warned that the government could decide to take the easy route of revaluing the company and charging the existing owners the revised price rather than undertaking a fresh sale. "That way, Mr Yushchenko can go to the public and say he has forced the oligarchs to play by the rules," he told BBC News.

The new President, Viktor Yushchenko, has said a "limited" list of companies is being drawn up."We say Krivorizhstal was stolen, and at any cost we will return it to the state," Mr Yushchenko told an investors' conference in Kiev.An open-ended list could further damage outside investors' fragile faith in Ukraine, said Stuart Hensel of the Economist Intelligence Unit.But the government seemed keen not to make the review look like the kind of wholesale renationalisation which many fear in Russia, Mr Hensel said.A day earlier, Mr Yushchenko - keen to reassure potential investors - had said only 30 to 40 top firms would be targeted.But on Wednesday Prime Minister Yulia Tymoshenko said the government was planning to renationalise 3,000 firms."That way, Mr Yushchenko can go to the public and say he has forced the oligarchs to play by the rules," he told BBC News.Ms Tymoshenko said prosecutors had drawn up a list of more than 3,000 businesses which were to be reviewed.The list "will be limited and final, and will not be extended after its completion", he said.The privatisation review's number one target is a steel mill sold to a consortium which included Viktor Pinchuk, Mr Kuchma's son-in-law, for $800m (£424m) despite higher bids from several foreign groups.A resale of Krivorizhstal could potentially triple the price, according to the Economist Intelligence Unit's Mr Hensel.

Summarize the following article: Wipro beats forecasts once again Wipro, India's third-biggest software firm, has reported a 60% rise in profit, topping market expectations. Net income in the last quarter was 4.3bn rupees ($98m; £52m), against 2.7bn a year earlier. Profit had been forecast to be 4.1bn rupees. Wipro offers services such as call centres to foreign clients and has worked for more than half of the companies on the Fortune 500 list. Wipro said demand was strong, allowing it to increase the prices it charged. "On the face of it, the results don't look very exciting," said Apurva Shah, an analyst at ASK-Raymond James. "But the guidance is positive and pricing going up is good news." Third-quarter sales rose 34% to 20.9bn rupees. One problem identified by Wipro was the high turnover of its staff. It said that 90% of employees at its business process outsourcing operations had had to be replaced. "We have to get that under control," said vice-chairman Vivek Paul. Wipro is majority owned by India's richest man Azim Premji.

Wipro said demand was strong, allowing it to increase the prices it charged.Profit had been forecast to be 4.1bn rupees.Wipro, India's third-biggest software firm, has reported a 60% rise in profit, topping market expectations.Net income in the last quarter was 4.3bn rupees ($98m; £52m), against 2.7bn a year earlier.One problem identified by Wipro was the high turnover of its staff.

Summarize the following article: Bargain calls widen Softbank loss Japanese communications firm Softbank has widened losses after heavy spending on a new cut-rate phone service. The service, launched in December and dubbed "Otoku" or "bargain", has had almost 900,000 orders, Softbank said. The firm, a market leader in high-speed internet, had an operating loss for the three months to December of 7.5bn yen ($71.5m; £38.4m). But without the Otoku marketing spend it would have made a profit - and expects to move into the black in 2006. The firm did not give a figure for the extent of profits it expected to make next year. It was born in the 1990s tech boom, investing widely and becoming a fast-rising star, till the end of the tech bubble hit it hard. Its recent return to a high profile came with the purchase of Japan Telecom, the country's third-biggest fixed-line telecoms firm. The acquisition spurred its broadband internet division to pole position in the Japanese market, with more than 5.1 million subscribers at the end of December.

The firm, a market leader in high-speed internet, had an operating loss for the three months to December of 7.5bn yen ($71.5m; £38.4m).Japanese communications firm Softbank has widened losses after heavy spending on a new cut-rate phone service.The service, launched in December and dubbed "Otoku" or "bargain", has had almost 900,000 orders, Softbank said.The acquisition spurred its broadband internet division to pole position in the Japanese market, with more than 5.1 million subscribers at the end of December.

Summarize the following article: Nasdaq planning $100m-share sale The owner of the technology-dominated Nasdaq stock index plans to sell shares to the public and list itself on the market it operates. According to a registration document filed with the Securities and Exchange Commission, Nasdaq Stock Market plans to raise $100m (£52m) from the sale. Some observers see this as another step closer to a full public listing. However Nasdaq, an icon of the 1990s technology boom, recently poured cold water on those suggestions. The company first sold shares in private placements during 2000 and 2001. It technically went public in 2002 when the stock started trading on the OTC Bulletin Board, which lists equities that trade only occasionally. Nasdaq will not make money from the sale, only investors who bought shares in the private placings, the filing documents said. The Nasdaq is made up shares in technology firms and other companies with high growth potential. It was the most potent symbol of the 1990s internet and telecoms boom, nose-diving after the bubble burst. A recovery in the fortunes of tech giants such as Intel, and dot.com survivors such as Amazon has helped revive its fortunes.

The owner of the technology-dominated Nasdaq stock index plans to sell shares to the public and list itself on the market it operates.The Nasdaq is made up shares in technology firms and other companies with high growth potential.Nasdaq will not make money from the sale, only investors who bought shares in the private placings, the filing documents said.According to a registration document filed with the Securities and Exchange Commission, Nasdaq Stock Market plans to raise $100m (£52m) from the sale.

Summarize the following article: Tsunami 'to hit Sri Lanka banks' Sri Lanka's banks face hard times following December's tsunami disaster, officials have warned. The Sri Lanka Banks Association said the waves which killed more than 30,000 people also washed away huge amounts of property which was securing loans. According to its estimate, as much as 13.6% of the loans made by private banks to clients in the disaster zone has been written off or damaged. State-owned lenders may be even worse hit, it said. The association estimates that the private banking sector has 25bn rupees ($250m; £135m) of loans outstanding in the disaster zone. On one hand, banks are dealing with the death of their customers, along with damaged or destroyed collateral. On the other, most are extending cheap loans for rebuilding and recovery, as well as giving their clients more time to repay existing borrowing. The combination means a revenue shortfall during 2005, SLBA chairman - and Commercial Bank managing director - AL Gooneratne told a news conference. "Most banks have given moratoriums and will not be collecting interest, at least in this quarter," he said. In the public sector, more than one in ten of the state-owned People's Bank's customers in the south of Sri Lanka were affected, a bank spokesman told Reuters. He estimated the bank's loss at 3bn rupees.

According to its estimate, as much as 13.6% of the loans made by private banks to clients in the disaster zone has been written off or damaged.In the public sector, more than one in ten of the state-owned People's Bank's customers in the south of Sri Lanka were affected, a bank spokesman told Reuters.The association estimates that the private banking sector has 25bn rupees ($250m; £135m) of loans outstanding in the disaster zone.Sri Lanka's banks face hard times following December's tsunami disaster, officials have warned."Most banks have given moratoriums and will not be collecting interest, at least in this quarter," he said.

Summarize the following article: Oil companies get Russian setback International oil and mining companies have reacted cautiously to Russia's decision to bar foreign firms from natural resource tenders in 2005. US oil giant Exxon said it did not plan to take part in a new tender on a project for which it had previously signed a preliminary agreement. Miner Highland Gold said it regretted any limit on privatisation while BP, a big investor, declined to comment. Only firms at least 51% Russian-owned will be permitted to bid. The Federal Natural Resources Agency said "the government is interested in letting Russian companies develop strategic resources". The foreign ownership issue will be dealt with according to Russia's competition law, natural resources minister Yuri Trutnev was quoted as saying by the Interfax news agency. No further details were given, with Mr Trutnev suggesting that Russia may decide on a case-by-case basis. Observers said that the move may represent a shift in policy, as the administration of Vladimir Putin puts the protection of national interests above free market dynamics. Russia recently wrested back control of a large chunk of its oil industry from stock-market listed company Yukos, a move that prompted calls of outrage from many investors. Analysts warned that it was still too early to draw too many conclusions from this new set of proposals. Companies echoed this sentiment, saying that they would require more information before ringing the alarm bells. "It's not good. But it is very understandable," said Al Breach, an economist at UBS Brunswick. "But if the investment climate is stable - that's much more important. "Foreigners of course would like to have free entry but... this is not the end of the world." A number of other nations, including Mexico, Saudi Arabia and Kuwait, protect their national resources from foreign firms. What has surprised observers is that since the collapse of communism Russia has been courting foreign investment. BP spent $7.5bn to create Russian-registered oil company TNK-BP, and has a partnership to develop the Sakhalin 5 petroleum field with state-owned Rosneft. Exxon, the world's largest oil company, has signed preliminary agreements to develop the Sakhalin 3 field. Company spokesman Glenn Waller said Exxon still considered the deal valid, despite Russia inviting new offers for the land block. According to Mr Waller, Exxon "were not planning to bid at a new tender anyway". "We regret the ministry has taken such a decision," said Ivan Kulakov, deputy chairman of Highland Gold - a mining firm that has the motto "Bringing Russia's Gold to Market". "It would be a shame if that has a negative impact on the investment climate." Other firms that have been linked with investment in Russia include France's Total, the US-based ChevronTexaco, and miner Barrick Gold.

Exxon, the world's largest oil company, has signed preliminary agreements to develop the Sakhalin 3 field.International oil and mining companies have reacted cautiously to Russia's decision to bar foreign firms from natural resource tenders in 2005."We regret the ministry has taken such a decision," said Ivan Kulakov, deputy chairman of Highland Gold - a mining firm that has the motto "Bringing Russia's Gold to Market".Company spokesman Glenn Waller said Exxon still considered the deal valid, despite Russia inviting new offers for the land block.What has surprised observers is that since the collapse of communism Russia has been courting foreign investment."It would be a shame if that has a negative impact on the investment climate."US oil giant Exxon said it did not plan to take part in a new tender on a project for which it had previously signed a preliminary agreement.BP spent $7.5bn to create Russian-registered oil company TNK-BP, and has a partnership to develop the Sakhalin 5 petroleum field with state-owned Rosneft.Other firms that have been linked with investment in Russia include France's Total, the US-based ChevronTexaco, and miner Barrick Gold.According to Mr Waller, Exxon "were not planning to bid at a new tender anyway".

Summarize the following article: Glazer makes new Man Utd approach Malcolm Glazer has made a fresh approach to buy Manchester United, which could lead to a bid valuing the Premiership club at £800m. The US tycoon, who has been wooing the club for the last 12 months, has approached the United board with "detailed proposals", it has confirmed. Mr Glazer, who owns the Tampa Bay Buccaneers team, hopes this will lead to a formal bid being accepted. His new offer is expected to contain substantially less debt. Mr Glazer has already had one takeover attempt turned down by the Red Devils and responded by using his 28.1% shareholding to vote off three board members last November. Man United had turned down the bid because it was based on a high level of borrowing. But newspapers have speculated recently that the tycoon had gained the support of leading banks to come up with a stronger and less debt-laden bid. Last week, however, Mr Glazer issued a statement to the Stock Exchange distancing himself from a new bid. Meanwhile, United's chief executive David Gill said in December that talks would not resume unless Glazer came up with "definitive proposals". Now the board has confirmed that the US bidder is back, with a statement issued on Sunday reading: "The board can confirm it has now received a detailed proposal subject to various preconditions which may form the basis of an offer. "A further announcement will be made in due course." To succeed Malcolm Glazer will still need the approval of major shareholders John Magnier and JP McManus, who own 28.9% of the club. But the Irish duo have cut off talks with Glazer over the proposed sale of their stake and have so far made no comment on his latest approach. United fans have reacted with anger at the announcement. They have vehemently opposed any proposed takeover by Glazer since he first showed interest in the club in September 2003 and after Sunday's announcement they vowed to fight on. "We will fight tooth and nail to stop him whatever his offer says. We do not want him or anybody else taking over United," said Mark Longden of the Independent Manchester United Supporters' Association. "The campaign against this proposed takeover will continue as it has done since Glazer first showed interest in the club."

Malcolm Glazer has made a fresh approach to buy Manchester United, which could lead to a bid valuing the Premiership club at £800m."The campaign against this proposed takeover will continue as it has done since Glazer first showed interest in the club."The US tycoon, who has been wooing the club for the last 12 months, has approached the United board with "detailed proposals", it has confirmed.They have vehemently opposed any proposed takeover by Glazer since he first showed interest in the club in September 2003 and after Sunday's announcement they vowed to fight on.Last week, however, Mr Glazer issued a statement to the Stock Exchange distancing himself from a new bid.Mr Glazer has already had one takeover attempt turned down by the Red Devils and responded by using his 28.1% shareholding to vote off three board members last November.Mr Glazer, who owns the Tampa Bay Buccaneers team, hopes this will lead to a formal bid being accepted.Now the board has confirmed that the US bidder is back, with a statement issued on Sunday reading: "The board can confirm it has now received a detailed proposal subject to various preconditions which may form the basis of an offer.

Summarize the following article: Circuit City gets takeover offer Circuit City Stores, the second-largest electronics retailer in the US, has received a $3.25bn (£1.7bn) takeover offer. The bid has come from Boston-based private investment firm Highfields Capital Management, which already owns 6.7% of Circuit City's shares. Shares in the retailer were up 19.6% at $17.04 in Tuesday morning trading in New York following the announcement. Highfield said that it intends to take the Virginia-based firm private. "Such a transformation would eliminate the public-company transparency into the company's operating strategy that is uniquely damaging in a highly competitive industry where Circuit City is going head-to-head with a tough and entrenched rival," Highfield said. One analyst suggested that a bidding battle may now begin for the company. Bill Armstrong, a retail analyst at CL King & Associates, said he expected to see other private investment firms come forward for Circuit City. The retailer is debt free with a good cash flow, despite the fact that it is said to be struggling to keep up with market leader Best Buy and cut-price competition from the likes of Wal-Mart, said Mr Armstrong.

Bill Armstrong, a retail analyst at CL King & Associates, said he expected to see other private investment firms come forward for Circuit City.The bid has come from Boston-based private investment firm Highfields Capital Management, which already owns 6.7% of Circuit City's shares.Highfield said that it intends to take the Virginia-based firm private."Such a transformation would eliminate the public-company transparency into the company's operating strategy that is uniquely damaging in a highly competitive industry where Circuit City is going head-to-head with a tough and entrenched rival," Highfield said.

Summarize the following article: US trade gap hits record in 2004 The gap between US exports and imports hit an all-time high of $671.7bn (£484bn) in 2004, latest figures show. The Commerce Department said the trade deficit for all of last year was 24.4% above the previous record - 2003's imbalance of $496.5bn. The deficit with China, up 30.5% at $162bn, was the largest ever recorded with a single country. However, on a monthly basis the US trade gap narrowed by 4.9% in December to £56.4bn. The US consumer's appetite for all things from oil to imported cars, and even wine and cheese, reached record levels last year and the figures are likely to spark fresh criticism of President Bush's economic policies. Democrats claim the administration has not done enough to clamp down on unfair foreign trade practices. For example, they believe China's currency policy - which US manufacturers claim has undervalued the yuan by as much as 40% - has given China's rapidly expanding economy an unfair advantage against US competitors. Meanwhile, the Bush administration argues that the US deficit reflects the fact the America is growing at faster rate than the rest of the world, spurring on more demand for imported goods. Some economists say this may allow an upward revision of US economic growth in the fourth quarter. But others point out that the deficit has reached such astronomical proportions that foreigners many choose not to hold as many dollar-denominated assets, which may in turn harm growth. For all of 2004, US exports rose 12.3% to $1.15 trillion, but imports rose even faster by 16.3% to a new record of $1.76 trillion. Foreign oil exports surged by 35.7% to a record $180.7bn, reflecting the rally in global oil prices and increasing domestic demand. Imports were not affected by the dollar's weakness last year. "We expect the deficit to continue to widen in 2005 even if the dollar gets back to its downward trend," said economist Marie-Pierre Ripert at IXIS.

The Commerce Department said the trade deficit for all of last year was 24.4% above the previous record - 2003's imbalance of $496.5bn.The gap between US exports and imports hit an all-time high of $671.7bn (£484bn) in 2004, latest figures show.However, on a monthly basis the US trade gap narrowed by 4.9% in December to £56.4bn.The US consumer's appetite for all things from oil to imported cars, and even wine and cheese, reached record levels last year and the figures are likely to spark fresh criticism of President Bush's economic policies.For all of 2004, US exports rose 12.3% to $1.15 trillion, but imports rose even faster by 16.3% to a new record of $1.76 trillion.For example, they believe China's currency policy - which US manufacturers claim has undervalued the yuan by as much as 40% - has given China's rapidly expanding economy an unfair advantage against US competitors.

Summarize the following article: Parmalat boasts doubled profits Parmalat, the Italian food group at the centre of one of Europe's most painful corporate scandals, has reported a doubling in profit. Its pre-tax earnings in the fourth quarter were 77m euros (£53m; $100m), up from 38m in the same period of 2003. Less welcome was the news that the firm had been fined 11m euros for having violated takeover rules five years ago. The firm sought bankruptcy protection in December 2003 after disclosing a 4bn-euro hole in its accounts. Overall, the company's debt is close to 12bn euros, and is falling only slowly. Its brands, well-known in Italy and overseas, have continued to perform strongly, however, and have barely lost revenue since the scandal broke. But a crucial factor for the company's future is the legal unwinding of its intensely complex financial position. On Tuesday, the company's administrator, turnaround expert Enrico Bondi, sued Morgan Stanley, its former banker, to return 136m euros relating to a 2003 bond deal. That brought to 49 the number of banks that Mr Bondi has sued, a mass of legal action that could bring in as much as 3bn euros. The company has also sued former auditors and financial advisors for damages. And criminal cases against the company's former management are proceeding separately.

On Tuesday, the company's administrator, turnaround expert Enrico Bondi, sued Morgan Stanley, its former banker, to return 136m euros relating to a 2003 bond deal.The company has also sued former auditors and financial advisors for damages.That brought to 49 the number of banks that Mr Bondi has sued, a mass of legal action that could bring in as much as 3bn euros.And criminal cases against the company's former management are proceeding separately.Overall, the company's debt is close to 12bn euros, and is falling only slowly.

Summarize the following article: Yukos heading back to US courts Russian oil and gas company Yukos is due in a US court on Thursday as it continues to fight for its survival. The firm is in the process of being broken up by Russian authorities in order to pay a $27bn (£14bn) tax bill. Yukos filed for bankruptcy in the US, hoping to use international business law to halt the forced sale of its key oil production unit, Yuganskneftegas. The unit was however sold for $9.4bn to state oil firm Rosneft but only after the state auction had been disrupted. Yukos lawyers now say the auction violated US bankruptcy law. The company and its main shareholders have vowed to go after any company that buys its assets, using all and every legal means. The company wants damages of $20bn, claiming Yuganskneftegas was sold at less than market value. Judge Letitia Clark will hear different motions, including one from Deutsche Bank to throw out the Chapter 11 bankruptcy filing. The German lender is one of six banks that were barred from providing financing to Gazprom, the Russian state-owned company that was expected to win the auction for Yuganskneftegas. Deutsche Bank, which is also an advisor to Gazprom, has called on the US court to overturn its decision to provide Yukos with bankruptcy protection. Lifting the injunction would remove the uncertainty that surrounds the court case and clarify Deutsche Bank's business position, analysts said. Analysts are not optimistic about Yukos' chances in court. Russian President Vladimir Putin and the country's legal authorities have repeatedly said that the US has no jurisdiction over Yukos and its legal wranglings. On top of that, the firm only has limited assets in the US. Yukos has won small victories, however, and is bullish about its chances in court. "Do we have an ability to influence what happens? We think we do," said Mike Lake, a Yukos spokesman. "The litigation risks are real," said Credit Suisse First Boston analyst Vadim Mitroshin The dispute with the Russian authorities is partly driven by President Putin's clampdown on the political ambitions of ex-Yukos boss Mikhail Khodorkovsky. Mr Khodorkovsky is in jail on charges of fraud and tax evasion.

Russian oil and gas company Yukos is due in a US court on Thursday as it continues to fight for its survival.Deutsche Bank, which is also an advisor to Gazprom, has called on the US court to overturn its decision to provide Yukos with bankruptcy protection.Russian President Vladimir Putin and the country's legal authorities have repeatedly said that the US has no jurisdiction over Yukos and its legal wranglings.Yukos lawyers now say the auction violated US bankruptcy law.Yukos has won small victories, however, and is bullish about its chances in court.Yukos filed for bankruptcy in the US, hoping to use international business law to halt the forced sale of its key oil production unit, Yuganskneftegas.Analysts are not optimistic about Yukos' chances in court.The German lender is one of six banks that were barred from providing financing to Gazprom, the Russian state-owned company that was expected to win the auction for Yuganskneftegas.

Summarize the following article: Bat spit drug firm goes to market A German firm whose main product is derived from the saliva of the vampire bat is looking to raise more than 70m euros ($91m; £49m) on the stock market. The firm, Paion, said that it hoped to sell 5 million shares - a third of the firm - for 11-14 euros a share. Its main drug, desmoteplase, is based on a protein in the bat's saliva. The protein stops blood from clotting - which helps the bat to drink from its victims, but could also be used to help stroke sufferers. The company's shares go on sale later this week, and are scheduled to start trading on the Frankfurt Stock Exchange on 10 February. If the final price is at the top of the range, the company could be valued at as much as 200m euros. The money raised will be spent largely on developing the company's other drugs, since desmoteplase has already been licensed to one manufacturer, Forest Laboratories.

A German firm whose main product is derived from the saliva of the vampire bat is looking to raise more than 70m euros ($91m; £49m) on the stock market.Its main drug, desmoteplase, is based on a protein in the bat's saliva.The firm, Paion, said that it hoped to sell 5 million shares - a third of the firm - for 11-14 euros a share.

Summarize the following article: China Aviation seeks rescue deal Scandal-hit jet fuel supplier China Aviation Oil has offered to repay its creditors $220m (£117m) of the $550m it lost on trading in oil futures. The firm said it hoped to pay $100m now and another $120m over eight years. With assets of $200m and liabilities totalling $648m, it needs creditors' backing for the offer to avoid going into bankruptcy. The trading scandal is the biggest to hit Singapore since the $1.2bn collapse of Barings Bank in 1995. Chen Jiulin, chief executive of China Aviation Oil (CAO), was arrested by at Changi Airport by Singapore police on 8 December. He was returning from China, where he had headed when CAO announced its trading debacle in late-November. The firm had been betting heavily on a fall in the price of oil during October, but prices rose sharply instead. Among the creditors whose backing CAO needs for its restructuring plan are banking giants such as Barclay's Capital and Sumitomo Mitsui, as well as South Korean firm SK Energy. Of the immediate payment, the firm - China's biggest jet fuel supplier - said it would be paying $30m out of its own resources. The rest would come from its parent company, China Aviation Oil Holding Company in Beijing. The holding company, owned by the Chinese government, holds most of CAO's Singapore-listed shares. It cut its holding from 75% to 60% on 20 October.

The rest would come from its parent company, China Aviation Oil Holding Company in Beijing.Scandal-hit jet fuel supplier China Aviation Oil has offered to repay its creditors $220m (£117m) of the $550m it lost on trading in oil futures.Chen Jiulin, chief executive of China Aviation Oil (CAO), was arrested by at Changi Airport by Singapore police on 8 December.Of the immediate payment, the firm - China's biggest jet fuel supplier - said it would be paying $30m out of its own resources.The firm had been betting heavily on a fall in the price of oil during October, but prices rose sharply instead.

Summarize the following article: UK homes hit £3.3 trillion total The value of the UK's housing stock reached the £3.3 trillion mark in 2004 - triple the value 10 years earlier, a report indicates. Research from Halifax, the country's biggest mortgage lender, suggests the value of private housing stock is continuing to rise steadily. All regions saw at least a doubling in their assets during the past decade. But Northern Ireland led the way with a 262% rise, while Scotland saw the smallest increase of just 112%. The core retail price index rose by just 28% in the same period, underlining how effective an investment in housing has been for most people during the past decade. More than a third of the UK's private housing assets - representing more than a trillion pounds in value - are concentrated in London and the South East, the Halifax's figures indicate. Tim Crawford, Group Economist at Halifax, said: "The value of the private housing stock continues to grow and the family home remains, by a large margin, the most valuable asset of the majority of households in the UK." Halifax's own monthly figures on house sales - issued on Thursday - suggest the average price of a British property now stands at £163,748 after a 0.8% rise in January. Housing experts are split on prospects for the market, with some saying price growth will slow but not fall, while others predict a sharp drop in values.

More than a third of the UK's private housing assets - representing more than a trillion pounds in value - are concentrated in London and the South East, the Halifax's figures indicate.Research from Halifax, the country's biggest mortgage lender, suggests the value of private housing stock is continuing to rise steadily.The value of the UK's housing stock reached the £3.3 trillion mark in 2004 - triple the value 10 years earlier, a report indicates.Tim Crawford, Group Economist at Halifax, said: "The value of the private housing stock continues to grow and the family home remains, by a large margin, the most valuable asset of the majority of households in the UK."

Summarize the following article: Yukos drops banks from court bid Russian oil company Yukos has dropped the threat of legal action against five banks it had accused of involvement in the sale of its key Yugansk unit. State-owned Rosneft bought the unit for $9.3bn (£5bn) after Yukos was forced to sell assets to meet a $27.5bn tax bill. Yukos says the sale was illegal and is pursuing damages in a US court. Its lawyers now accept ABN Amro, BNP Paribas, Calyon, JP Morgan Chase Bank, and Dresdner Kleinwort Wasserstein were not involved in the sale financing. However, Yukos still has an outstanding complaint against Deutsche Bank, which it alleges to be the leader of a consortium that was behind a bid for Yugansk by state gas monopoly Gazprom. The company has also accused Gazprom, the Russian Federation and two other Russian firms. Gazprom had been expected to win the December auction, but ended up not bidding. Yugansk was sold to a little-known shell company, which in turn was bought by Rosneft. Yukos claims its downfall was punishment for the political ambitions of its founder Mikhail Khodorkovsky. The firm, whose finance chief is now based in the US, filed for bankruptcy in Houston, Texas, and sought a court injunction against the sale. But Deutsche Bank has suggested Yukos artificially manufactured a legal case to stop the sale of its main asset. A hearing scheduled for February 16 and 17 will rule on whether the US court has jurisdiction in the case.

Russian oil company Yukos has dropped the threat of legal action against five banks it had accused of involvement in the sale of its key Yugansk unit.Yukos says the sale was illegal and is pursuing damages in a US court.However, Yukos still has an outstanding complaint against Deutsche Bank, which it alleges to be the leader of a consortium that was behind a bid for Yugansk by state gas monopoly Gazprom.But Deutsche Bank has suggested Yukos artificially manufactured a legal case to stop the sale of its main asset.Yugansk was sold to a little-known shell company, which in turn was bought by Rosneft.

Summarize the following article: India's rupee hits five-year high India's rupee has hit a five-year high after Standard & Poor's (S&P) raised the country's foreign currency rating. The rupee climbed to 43.305 per US dollar on Thursday, up from a close of 43.41. The currency has gained almost 1% in the past three sessions. S&P, which rates borrowers' creditworthiness, lifted India's rating by one notch to 'BB+'. With Indian assets now seen as less of a gamble, more cash is expected to flow into its markets, buoying the rupee. "The upgrade is positive and basically people will use it as an excuse to come back to India," said Bhanu Baweja, a strategist at UBS. "Money has moved out from India in the first two or three weeks of January into other markets like Korea and Thailand and this upgrade should lead to a reversal." India's foreign currency rating is now one notch below investment grade, which starts at 'BBB-'. The increase has put it on the same level as Romania, Egypt and El Salvador, and one level below Russia.

India's rupee has hit a five-year high after Standard & Poor's (S&P) raised the country's foreign currency rating.India's foreign currency rating is now one notch below investment grade, which starts at 'BBB-'.S&P, which rates borrowers' creditworthiness, lifted India's rating by one notch to 'BB+'.The currency has gained almost 1% in the past three sessions.

Summarize the following article: Cuba winds back economic clock Fidel Castro's decision to ban all cash transactions in US dollars in Cuba has once more turned the spotlight on Cuba's ailing economy. All conversions between the US dollar and Cuba's "convertible" peso will from 8 November be subject to a 10% tax. Cuban citizens, who receive money from overseas, and foreign visitors, who change dollars in Cuba, will be affected. Critics of the measure argue that it is a step backwards, reflecting the Cuban president's desire to increase his control of the economy and to clamp down on private enterprise. In a live television broadcast announcing the measure, President Castro's chief aide said it was necessary because of the United States' increasing "economic aggression". "The ten percent obligation applies exclusively to the dollar by virtue of the situation created by the new measures of the US government to suffocate our country," he said. The Bush administration has taken an increasingly harsh line on Cuba in recent months. President Bush's government, which has been a strong supporter of the 40-year-old trade embargo on Cuba, introduced even tighter restrictions on Cuba in May. Cubans living in the US are now limited to one visit to Cuba every three years and they can only send money to their immediate relatives. A leading expert on the Cuban economy says that Castro's tax plan smacks more of a desperate economic measure than a political gesture. "I think it is primarily an effort to raise some cash," says Jose Barrionuevo, head of strategy for Latin American emerging markets for Barclays Capital. "It underscores the fact that the economy is in very bad shape and the government is looking for sources of revenue." The tax will hit the families of Cuban exiles hardest as they benefit from the money their displaced relatives send home. This money, known as remittances, can amount to as much as $1bn a year. Those remaining in Cuba will have to pay the tax. Their relatives abroad may choose to send money in other currencies which are not subject to the tax, such as euros, or increase their dollar payments to compensate. However, many of Cuban's poorest citizens could be worse off as a result. The tax will also affect the two million tourists who visit Cuba every year, particularly those Americans who continue to defy a ban on travel there. Cuba's tourist industry has been one of its few economic success stories over the last ten years and, according to the UN Economic Commission for Latin America, is now worth $3bn to the country. The tax is designed to provide much-needed revenue for Cuba's cash-strapped economy. Cuba badly needs dollars to pay for essential items such as food, fuel and medicine. Much of Cuba's basic infrastructure is in a state of disrepair. In recent weeks, Cuba has suffered its most serious power cuts in a decade and there have also been water shortages in parts of the island. Cuba's economy had staged a modest recovery during the mid 1990s as the collapse of the Soviet Union forced it to embrace foreign capital, decentralise trade and permit limited private enterprise. However, a decline in foreign tourism since 2002, periodic hurricanes and the increasing costs of importing oil have put a strain on the economy. It has however yet to be seen if the tax will provide a solution to the government's economic problems. The tax could fuel an active black market in currency trading, Mr Barrionuevo said. "The main impact could be that it will create a black market which you typically see in countries, like Venezuela, which have restrictions on capital," he says. Mr Barrioneuvo says the measure could be dropped if it has a damaging effect on economic activity. "It is intended to be a permanent measure but I am not sure it can last too long."

Fidel Castro's decision to ban all cash transactions in US dollars in Cuba has once more turned the spotlight on Cuba's ailing economy.Those remaining in Cuba will have to pay the tax.A leading expert on the Cuban economy says that Castro's tax plan smacks more of a desperate economic measure than a political gesture.The tax is designed to provide much-needed revenue for Cuba's cash-strapped economy.All conversions between the US dollar and Cuba's "convertible" peso will from 8 November be subject to a 10% tax.It has however yet to be seen if the tax will provide a solution to the government's economic problems.Cubans living in the US are now limited to one visit to Cuba every three years and they can only send money to their immediate relatives.Cuban citizens, who receive money from overseas, and foreign visitors, who change dollars in Cuba, will be affected.Mr Barrioneuvo says the measure could be dropped if it has a damaging effect on economic activity.President Bush's government, which has been a strong supporter of the 40-year-old trade embargo on Cuba, introduced even tighter restrictions on Cuba in May.The tax could fuel an active black market in currency trading, Mr Barrionuevo said.Their relatives abroad may choose to send money in other currencies which are not subject to the tax, such as euros, or increase their dollar payments to compensate.

Summarize the following article: Absa and Barclays talks continue South Africa biggest retail bank Absa has said it is still in talks with UK bank Barclays over the sale of majority stake in the group. In November, Absa said it was close to striking a deal with Barclays. But the group said Barclays is still waiting for the approval of South Africa's banking and competition authorities to make a formal offer. Absa also announced that it expects to see earnings grow by 20-25% in its current financial year. "Discussions with Barclays are continuing, but shareholders are advised that no agreement has been reached as to any offer being made by Barclays to acquire a majority stake in Absa," Absa said in a statement. If Barclays buys a stake in Absa it will be one of the largest foreign investments in South Africa in recent years. Absa currently has a market value of about $8.5bn (£4.4bn). Analysts said Absa's earnings forecast was better than expected. However, the company warned that headline earnings growth would be trimmed by about four percentage points because of share options for a black economic empowerment transaction and a staff share incentive scheme. The South African group will release its results for the year to 31 March on 30 May.

South Africa biggest retail bank Absa has said it is still in talks with UK bank Barclays over the sale of majority stake in the group."Discussions with Barclays are continuing, but shareholders are advised that no agreement has been reached as to any offer being made by Barclays to acquire a majority stake in Absa," Absa said in a statement.In November, Absa said it was close to striking a deal with Barclays.If Barclays buys a stake in Absa it will be one of the largest foreign investments in South Africa in recent years.

Summarize the following article: US firm 'bids for Lacroix label' A US firm has said it is in final negotiations with luxury goods group LVMH to buy the loss-making Christian Lacroix haute-couture house. Paris-based LVMH has been selling non-core businesses and focusing on its most profitable labels including Moet & Chandon champagne and Louis Vuitton. Privately-held Falic Group bought two cosmetics brands, Hard Candy and Urban Decay, from LVMH in early 2003. The Florida company also own a chain of 90 duty free stores in the US. LVMH refused to comment on the reports. But one of the three brothers behind the Falic Group said the firm had also held talks with the designer Christian Lacroix, and wished to retain him. "We are buying his name," Simon Falic told the Reuters news agency. "We have plans to increase the exposure of the brand and increase the volume of business."

A US firm has said it is in final negotiations with luxury goods group LVMH to buy the loss-making Christian Lacroix haute-couture house.But one of the three brothers behind the Falic Group said the firm had also held talks with the designer Christian Lacroix, and wished to retain him.Privately-held Falic Group bought two cosmetics brands, Hard Candy and Urban Decay, from LVMH in early 2003.Paris-based LVMH has been selling non-core businesses and focusing on its most profitable labels including Moet & Chandon champagne and Louis Vuitton.