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Summarize the following article: Georgia plans hidden asset pardon Georgia is offering a one-off 'tax amnesty' to people who hid their earnings under the regime of former president Eduard Shevardnadze. The country's new president, Mikhail Saakashvili, has said that anyone now willing to disclose their wealth will only have to pay 1% in income tax. The measure is designed to legitimise previously hidden economic activity and boost Georgia's flagging economy. Georgia's black market is estimated to be twice the size of its legal economy. Mr Saakashvili, elected president in January after Mr Shevardnadze was toppled, has urged the Georgian Parliament to approve the amnesty as soon as possible. It is one of a series of proposals designed to tackle corruption, which was rampant during the Shevardnadze era, and boost Georgia's fragile public finances. The new government is encouraging companies to pay taxes by scrapping existing corruption investigations and destroying all tax records from before 1 January, three days before President Saakashvili was elected. "There are people who have money but are afraid to show it," the president told a government session. "Documentation about where this money came from doesn't exist because under the former, entirely warped regime, earning capital honestly was not possible." By declaring their assets and paying the one-off tax, people would be able to "legalise their property", Mr Saakashvili stressed. "No one will have the right to check this money's origin. This money must go back into the economy." The amnesty will not extend to people who made money through drugs trafficking or international money laundering. Criminal investigations in such cases -thought to involve about 5% of Georgian businesses -are to continue. Mr Saakashvili has accused the Shevardnadze regime, which was toppled by a popular uprising in November, of allowing bribery to flourish. Georgia's economy is in a desperate condition. Half the population are living below the poverty line with many surviving on income of less than $4, or three euros, a day. The unemployment rate is around 20% while the country has a $1.7bn public debt.

Mr Saakashvili, elected president in January after Mr Shevardnadze was toppled, has urged the Georgian Parliament to approve the amnesty as soon as possible.The new government is encouraging companies to pay taxes by scrapping existing corruption investigations and destroying all tax records from before 1 January, three days before President Saakashvili was elected.Georgia is offering a one-off 'tax amnesty' to people who hid their earnings under the regime of former president Eduard Shevardnadze.Mr Saakashvili has accused the Shevardnadze regime, which was toppled by a popular uprising in November, of allowing bribery to flourish.It is one of a series of proposals designed to tackle corruption, which was rampant during the Shevardnadze era, and boost Georgia's fragile public finances.The country's new president, Mikhail Saakashvili, has said that anyone now willing to disclose their wealth will only have to pay 1% in income tax."There are people who have money but are afraid to show it," the president told a government session.Georgia's economy is in a desperate condition.

Summarize the following article: Banker loses sexism claim A former executive at the London offices of Merrill Lynch has lost her £7.5m ($14.6m) sex discrimination case against the US investment bank. An employment tribunal dismissed Stephanie Villalba's allegations of sexual discrimination and unequal pay. But the 42-year-old won her claim of unfair dismissal, resulting from her sacking in August 2003. Her partial victory is likely to cap her compensation to about £55,000, a tiny fraction of what she asked for. The extent of damages will be assessed in the New Year. The action - the biggest claim heard by an employment tribunal in the UK - had been viewed as something of a test case. The tribunal decided that Ms Villalba had been unfairly dismissed because, having been removed from a senior post, she was entitled to wait to see if a suitable alternative position could be found in the organisation. Ms Villalba, the former head of Merrill's private client business in Europe, has made no decision on whether to appeal. A spokesman for her lawyers described the decision as "very disappointing", but pointed to some criticism of Merrill's procedures within the lengthy judgement. The tribunal upheld Ms Villalba's claim of victimisation on certain specific issues, including bullying e-mails in connection with a contract, but said it found no evidence of "laddish culture" at the bank. "We said from the start that this case was about performance not gender," Merrill said in a statement. "Ms Villalba was removed by the very same person who had promoted her into the position and who then replaced her with another woman. "Merrill Lynch is dedicated to creating a true meritocracy where every employee has the opportunity to advance based on their skills and hard work." Based in London's financial district, Ms Villalba worked for Merrill's global private client business in Europe, investing funds for some of Merrill's most important customers. But in 2003 her employers told her she had no future after 17 years with the company, and she was made redundant. Merrill Lynch denied Ms Villalba's claims and said she was removed from her post because of the extensive losses the firm was suffering on the continent. The firm had told the tribunal that Ms Villalba's division had been losing about $1m a week. Merrill said Ms Villalba lacked the leadership skills to turn around the unit.

Merrill Lynch denied Ms Villalba's claims and said she was removed from her post because of the extensive losses the firm was suffering on the continent.Ms Villalba, the former head of Merrill's private client business in Europe, has made no decision on whether to appeal.The tribunal decided that Ms Villalba had been unfairly dismissed because, having been removed from a senior post, she was entitled to wait to see if a suitable alternative position could be found in the organisation.Merrill said Ms Villalba lacked the leadership skills to turn around the unit."Ms Villalba was removed by the very same person who had promoted her into the position and who then replaced her with another woman.The firm had told the tribunal that Ms Villalba's division had been losing about $1m a week.The tribunal upheld Ms Villalba's claim of victimisation on certain specific issues, including bullying e-mails in connection with a contract, but said it found no evidence of "laddish culture" at the bank."We said from the start that this case was about performance not gender," Merrill said in a statement.

Summarize the following article: Mixed signals from French economy The French economy picked up speed at the end of 2004, official figures show - but still looks set to have fallen short of the government's hopes. According to state statistics body INSEE, growth for the three months to December was a seasonally-adjusted 0.7-0.8%, ahead of the 0.6% forecast. If confirmed, that would be the best quarterly showing since early 2002. It leaves GDP up 2.3% for the full year, but short of the 2.5% which the French government had predicted. Despite the apparent shortfall in annual economic growth, the good quarterly figures - a so-called "flash estimate" - mark a continuing trend of improving indicators for the health of the French economy. The government is reiterating a 2.5% target for 2005, while the European Central Bank is making positive noises for the 12-nation eurozone as a whole. Also on Friday, France's industrial output for December was released, showing 0.7% growth. "The numbers are good," said David Naude, economist at Deutsche Bank. "They send a positive signal of a rebound in output... and open the way for a continuation in that trend into the New Year." Service sector activity improved in January, hitting a seven-month high. But unemployment remains high at about 10%.

Despite the apparent shortfall in annual economic growth, the good quarterly figures - a so-called "flash estimate" - mark a continuing trend of improving indicators for the health of the French economy.Also on Friday, France's industrial output for December was released, showing 0.7% growth.It leaves GDP up 2.3% for the full year, but short of the 2.5% which the French government had predicted.Service sector activity improved in January, hitting a seven-month high.But unemployment remains high at about 10%.

Summarize the following article: Mitsubishi in Peugeot link talks Trouble-hit Mitsubishi Motors is in talks with French carmaker PSA Peugeot Citroen about a possible alliance. On Tuesday Mitsubishi, the only major Japanese car firm in the red, confirmed earlier reports of negotiations. But a spokesman refused to comment on speculation that Mitsubishi could end up building cars for PSA and perhaps its Japanese rival Nissan. Mitsubishi has been hit by a recall scandal and the withdrawal of support from shareholder DaimlerChrysler. The US-German firm, once a majority shareholder, decided last April to stop providing financial backing. Mitsubishi's sales have slid 41% in the past year, catalysed by the revelation that the company had systematically been hiding records of faults and then secretly repairing vehicles. Mitsubishi is due to unveil a recovery plan later in January. Analysts said that alliances with other carmakers would be a necessary part of whatever it came up with, not least because its own slow sales have left its manufacturing capacity under-used.

Trouble-hit Mitsubishi Motors is in talks with French carmaker PSA Peugeot Citroen about a possible alliance.On Tuesday Mitsubishi, the only major Japanese car firm in the red, confirmed earlier reports of negotiations.But a spokesman refused to comment on speculation that Mitsubishi could end up building cars for PSA and perhaps its Japanese rival Nissan.Mitsubishi has been hit by a recall scandal and the withdrawal of support from shareholder DaimlerChrysler.

Summarize the following article: Business fears over sluggish EU economy As European leaders gather in Rome on Friday to sign the new EU constitution, many companies will be focusing on matters much closer to home - namely how to stay in business. Lille is a popular tourist destination for Britons who want a taste of France at the weekend. But how many tourists look at the impressively grand Victorian Chambre de Commerce, which stands beside the Opera House, and consider that it was built - like the town halls in many northern English towns - on the wealth created by coal, steel and textiles? Like northern England and industrial Scotland, those industries have been in long term decline - the last coal pit closed in 1990. Beck-Crespel is a specialist steel firm in Armentieres, about 20 miles from Lille. The company has not laid off a worker since 1945. It specialises in making bolts and fixings for power stations and the oil industry, but not many of those are being built in Europe these days. Director Hugues Charbonnier says he is under pressure because factories in the Far East are able to make some of his output more cheaply, while his key markets are now in China and India. "In our business the market is absolutely global, you can not imagine living with our size (of business) even within an enlarged European Union, (if we did that) we would need not 350 people but perhaps just 150 or 200," he says. It isn't just globalisation that is hurting; the law in France means workers are paid for a 39 hour week even though they work just 35 hours. But at least there is still a steel industry. Coal has now totally vanished and textiles are struggling. New business has been attracted, but not enough to make up the difference. That is one reason why people here are not great fans of the EU, says Frederic Sawicki, a politics lecturer at the University of Lille. "In the region today the unemployment rate is 12%, in some areas it is 15%. They don't see what Europe is doing for them, so there is a kind of euro scepticism, especially in the working classes," he says. Which is strange because Lille is at the crossroads of Europe - if anywhere should be benefiting from the euro it is here. The euro was designed to increase trade within the eurozone, but the biggest increase in trade has been with the rest of the world. Much of that trade passes through the world's largest port, Rotterdam, in Holland, home to specialist crane maker Huisman Itrec. Its cranes help build oil rigs and lifted the sunken Russian submarine Kursk from the sea bed, but Huisman Itrec is now setting up a factory in China, where costs are cheaper and its main customers are closer. Boss Henk Addink blames the low growth rate in Europe for the lack of orders closer to home. "In the US growth is something like 6%, in China they are estimating 15%, and in the EU it is more or less 1%," he says. Mr Addink blames the euro for stifling demand. He much preferred the old currencies of Europe, which moved in relation to each country's economic performance. In Germany, industry is exporting more these days, but the economy as a whole is once again mired in slow growth and high unemployment. Growth is likely to peak this year at just under 2%. In Britain that would be a bad year; in Germany it is one of the best in recent years. With Germany making up a third of the eurozone's economy, this is a major problem. If Germany doesn't once again become the powerhouse of Europe, growth across the bloc is never going to be as strong as it could be. However, at one factory near the Dutch border things are changing. The Siemens plant at Boscholt makes cordless phones and employs 2,000 staff. Staff have started working an extra four hours a week for no extra pay, after Siemens threatened to take the factory and their jobs to Hungary. Factory manager Herbert Stueker says that he now hopes to increase productivity "by nearly 30%". But Germany needs much more reform if all its industry is to compete with places such Hungary or China. The Government is reforming the labour market and cutting the generous unemployment system, but the real solution is to cut the wages of low skilled workers, says Helmut Schneider, director of the Institute for the Study of Labour at Bonn University. "Labour is too costly in Germany, especially for the low skilled labour and this is the main problem. If we could solve that problem we could cut unemployment by half," he says. The EU set itself the target of being the most efficient economy in the world by 2010. Four years into that process, and the target seems further away than ever.

In Germany, industry is exporting more these days, but the economy as a whole is once again mired in slow growth and high unemployment.But Germany needs much more reform if all its industry is to compete with places such Hungary or China.Boss Henk Addink blames the low growth rate in Europe for the lack of orders closer to home.If Germany doesn't once again become the powerhouse of Europe, growth across the bloc is never going to be as strong as it could be."In the US growth is something like 6%, in China they are estimating 15%, and in the EU it is more or less 1%," he says.Which is strange because Lille is at the crossroads of Europe - if anywhere should be benefiting from the euro it is here.It specialises in making bolts and fixings for power stations and the oil industry, but not many of those are being built in Europe these days.As European leaders gather in Rome on Friday to sign the new EU constitution, many companies will be focusing on matters much closer to home - namely how to stay in business.They don't see what Europe is doing for them, so there is a kind of euro scepticism, especially in the working classes," he says."Labour is too costly in Germany, especially for the low skilled labour and this is the main problem.That is one reason why people here are not great fans of the EU, says Frederic Sawicki, a politics lecturer at the University of Lille.The euro was designed to increase trade within the eurozone, but the biggest increase in trade has been with the rest of the world.With Germany making up a third of the eurozone's economy, this is a major problem.Director Hugues Charbonnier says he is under pressure because factories in the Far East are able to make some of his output more cheaply, while his key markets are now in China and India.New business has been attracted, but not enough to make up the difference.In Britain that would be a bad year; in Germany it is one of the best in recent years.

Summarize the following article: Bush to get 'tough' on deficit US president George W Bush has pledged to introduce a "tough" federal budget next February in a bid to halve the country's deficit in five years. The US budget and its trade deficit are both deep in the red, helping to push the dollar to lows against the euro and fuelling fears about the economy. Mr Bush indicated there would be "strict discipline" on non-defence spending in the budget. The vow to cut the deficit had been one of his re-election declarations. The federal budget deficit hit a record $412bn (£211.6bn) in the 12 months to 30 September and $377bn in the previous year. "We will submit a budget that fits the times," Mr Bush said. "It will provide every tool and resource to the military, will protect the homeland, and meet other priorities of the government." The US has said it is committed to a strong dollar. But the dollar's weakness has hit European and Asian exporters and lead to calls for US intervention to boost the currency. Mr Bush, however, has said the best way to halt the dollar's slide is to deal with the US deficit. "It's a budget that I think will send the right signal to the financial markets and to those concerned about our short-term deficits," Mr Bush added. "As well, we've got to deal with the long-term deficit issues."

Mr Bush, however, has said the best way to halt the dollar's slide is to deal with the US deficit.US president George W Bush has pledged to introduce a "tough" federal budget next February in a bid to halve the country's deficit in five years."We will submit a budget that fits the times," Mr Bush said.The US budget and its trade deficit are both deep in the red, helping to push the dollar to lows against the euro and fuelling fears about the economy.Mr Bush indicated there would be "strict discipline" on non-defence spending in the budget.

Summarize the following article: Libya takes $1bn in unfrozen funds Libya has withdrawn $1bn in assets from the US, assets which had previously been frozen for almost 20 years, the Libyan central bank has said. The move came after the US lifted a trade ban to reward Tripoli for giving up weapons of mass destruction and vowing to compensate Lockerbie victims. The original size of Libya's funds was $400m, the central bank told Reuters. However, the withdrawal did not mean that Libya had cut its ties with the US, he added. "We are in the process of opening accounts in banks in the United States," the central bank's vice president Farhat Omar Ben Gadaravice said. The previously frozen assets had been invested in various countries and are believed to have included equity holdings in banks. The US ban on trade and economic activity with Tripoli - imposed by then president Ronald Regan in 1986 after a series of what the US deemed terrorist acts, including the 1988 Lockerbie air crash - was suspended in April. Bankers from the two country's had been working on how to unfreeze Libya's assets.

Libya has withdrawn $1bn in assets from the US, assets which had previously been frozen for almost 20 years, the Libyan central bank has said.The US ban on trade and economic activity with Tripoli - imposed by then president Ronald Regan in 1986 after a series of what the US deemed terrorist acts, including the 1988 Lockerbie air crash - was suspended in April.The original size of Libya's funds was $400m, the central bank told Reuters."We are in the process of opening accounts in banks in the United States," the central bank's vice president Farhat Omar Ben Gadaravice said.

Summarize the following article: Winn-Dixie files for bankruptcy US supermarket group Winn-Dixie has filed for bankruptcy protection after succumbing to stiff competition in a market dominated by Wal-Mart. Winn-Dixie, once among the most profitable of US grocers, said Chapter 11 protection would enable it to successfully restructure. It said its 920 stores would remain open, but analysts said it would most likely off-load a number of sites. The Jacksonville, Florida-based firm has total debts of $1.87bn (£980m). In its bankruptcy petition it listed its biggest creditor as US foods giant Kraft Foods, which it owes $15.1m. Analysts say Winn-Dixie had not kept up with consumers' demands and had also been burdened by a number of stores in need of upgrading. A 10-month restructuring plan was deemed a failure, and following a larger-than-expected quarterly loss earlier this month, Winn-Dixie's slide into bankruptcy was widely expected. The company's new chief executive Peter Lynch said Winn-Dixie would use the Chapter 11 breathing space to take the necessary action to turn itself around. "This includes achieving significant cost reductions, improving the merchandising and customer service in all locations and generating a sense of excitement in the stores," he said. Yet Evan Mann, a senior bond analyst at Gimme Credit, said Mr Lynch's job would not be easy, as the bankruptcy would inevitably put off some customers. "The real big issue is what's going to happen over the next one or two quarters now that they are in bankruptcy and all their customers see this in their local newspapers," he said.

Winn-Dixie, once among the most profitable of US grocers, said Chapter 11 protection would enable it to successfully restructure.It said its 920 stores would remain open, but analysts said it would most likely off-load a number of sites.Yet Evan Mann, a senior bond analyst at Gimme Credit, said Mr Lynch's job would not be easy, as the bankruptcy would inevitably put off some customers.US supermarket group Winn-Dixie has filed for bankruptcy protection after succumbing to stiff competition in a market dominated by Wal-Mart.The company's new chief executive Peter Lynch said Winn-Dixie would use the Chapter 11 breathing space to take the necessary action to turn itself around.

Summarize the following article: UK economy ends year with spurt The UK economy grew by an estimated 3.1% in 2004 after accelerating in the last quarter of the year, says the Office for National Statistics (ONS). The figure is in line with Treasury and Bank of England forecasts. The ONS says gross domestic product (GDP) rose by a strong 0.7% in the three months to 31 December, compared with 0.5% in the previous quarter. The rise came despite a further decline in production output and the worst Christmas for retailers in decades. The annual figure marked out the best year since 2000, and was also well ahead of the 2.2% recorded in 2003. Growth in the final three months of 2004 marked the 50th consecutive quarter of expansion. "On the basis of the latest information the UK has entered 2005 on course to continue its record period of growth," said Paul Boateng, chief secretary to the Treasury in a statement. The ONS said the services sector, which accounts for nearly three-quarters of the UK economy, grew 1.0% in the quarter. The strong services figure was welcomed by analysts, given lacklustre retail sales in December and across the Christmas holiday period. "The fact that other services components are doing so well suggests to me that we are back to trend (growth) and I am not particularly concerned about any further slowdown," said Ross Walker, UK economist at RBS Financial Markets. However, output in the production sector contracted 0.5%, the second quarterly fall in row and a state of affairs that some economists classify as a recession. However the ONS would not comment on the definition of a recession and whether the manufacturing recovery was over. But Steve Radley, chief economist at the manufacturers' organisation EEF, said: "These figures remain at odds with what is actually happening on the ground. "Whilst companies may be experiencing tougher conditions this year, 'recession' is not a word that manufacturers would currently recognise." The ONS said a sharp fall in mining and quarrying, which was driven by oil and gas extraction, was primarily responsible for the overall contraction in manufacturing production figures. Simon Rubinsohn, chief economist at Gerrard, said: "This outturn (of 0.7%) was well ahead of the market expectations and cast doubt on the scare stories doing the rounds surrounding the current state of the UK economy." And he said the GDP figures may help to "push interest rate expectations a little higher along the curve". "The suggestion from the money markets is that the next move is now more likely to be in an upward rather than a downward direction. This is consistent with our own thinking," said Mr Rubinsohn. The Bank of England's nine-strong rate-setting committee voted unanimously earlier this month to keep interest rates steady at 4.75%, minutes of the meeting showed on Wednesday.

Simon Rubinsohn, chief economist at Gerrard, said: "This outturn (of 0.7%) was well ahead of the market expectations and cast doubt on the scare stories doing the rounds surrounding the current state of the UK economy."The ONS said the services sector, which accounts for nearly three-quarters of the UK economy, grew 1.0% in the quarter.The ONS said a sharp fall in mining and quarrying, which was driven by oil and gas extraction, was primarily responsible for the overall contraction in manufacturing production figures.And he said the GDP figures may help to "push interest rate expectations a little higher along the curve".The UK economy grew by an estimated 3.1% in 2004 after accelerating in the last quarter of the year, says the Office for National Statistics (ONS).The annual figure marked out the best year since 2000, and was also well ahead of the 2.2% recorded in 2003."The fact that other services components are doing so well suggests to me that we are back to trend (growth) and I am not particularly concerned about any further slowdown," said Ross Walker, UK economist at RBS Financial Markets.But Steve Radley, chief economist at the manufacturers' organisation EEF, said: "These figures remain at odds with what is actually happening on the ground.

Summarize the following article: Liberian economy starts to grow The Liberian economy started to grow in 2004, but "sustained and deep reform efforts" are needed to ensure long term growth, the International Monetary Fund (IMF) has said. An IMF mission made the comments in a report published following 10 days of talks with the transition government. The IMF said that, according to data provided by the Liberians, the country's GDP rose by 2% in 2004, after a 31% decline in 2003. Liberia is recovering from a 14-year civil war that came to an end in 2003. The power-sharing National Transition Government of Liberia will remain in place until elections on 11 October, the first presidential and parliamentary ballots since the conflict ended. The IMF said Liberia's economy started to grow last year thanks to a "continued strong recovery in rubber production, domestic manufacturing and local services including post-conflict reconstruction". The IMF however remains cautious about what it sees as a lack of transparency in government actions. In particular, it pointed to mystery surrounding the sale of iron ore stockpiles and the alleged disappearance of some import and export permits. These matters are now being investigated by the Liberian authorities and the IMF has called for their findings to be made public. The IMF also said it was crucial that the Central Bank of Liberia be strengthened, the national budget be effectively managed and a sound economic basis built to allow the country's large external debt to be addressed. "The IMF team stands ready to assist the (Liberian) authorities in strengthening the areas mentioned," said the report. "The team agreed with the (Liberian) authorities that the period until elections and the inauguration of a new government will pose exceptional challenges to fiscal management, and expresses its willingness to provide...continued support."

"The IMF team stands ready to assist the (Liberian) authorities in strengthening the areas mentioned," said the report.These matters are now being investigated by the Liberian authorities and the IMF has called for their findings to be made public.The Liberian economy started to grow in 2004, but "sustained and deep reform efforts" are needed to ensure long term growth, the International Monetary Fund (IMF) has said.An IMF mission made the comments in a report published following 10 days of talks with the transition government.The IMF said that, according to data provided by the Liberians, the country's GDP rose by 2% in 2004, after a 31% decline in 2003.

Summarize the following article: US insurer Marsh cuts 2,500 jobs Up to 2,500 jobs are to go at US insurance broker Marsh & McLennan in a shake up following bigger-than-expected losses. The insurer said the cuts were part of a cost-cutting drive, aimed at saving millions of dollars. Marsh posted a $676m (£352m) loss for the last three months of 2004, against a $375m (£195.3m) profit a year before. It blamed an $850m payout to settle a price-rigging lawsuit, brought by New York attorney general Elliot Spitzer. Under the settlement announced in January, Marsh took a pre-tax charge of $618m in the October-to-December quarter, on top of the $232m charge from the previous quarter. "Clearly 2004 was the most difficult year in MMC's financial history," Marsh chief executive Michael Cherkasky said. An ongoing restructuring drive at the group also led to a $337m hit in the fourth quarter, the world's biggest insurer said. Analysts expect its latest round of cuts to focus on its brokerage unit, which employs 40,000 staff. The latest layoffs will take the total number of jobs to go at the firm to 5,500 and are expected to lead to annual savings of more than $375m. As part of its efforts to cut costs, the company said it was halving its dividend payment to 17 cents a shares from 34 cents, a move which should enable it to save $360m. Looking ahead, Mr Cherkasky forecast profitable growth for the year ahead "with an operating margin in the upper-teens, and with the opportunity for further margin expansion". Meanwhile, the company also announced it would spin-off its MMC Capital private equity unit, which manages the $3bn Trident Funds operation, to a group of employees. Marsh did not say when the move would take place, but said it had signed a letter of intent. The insurer hit the headlines in October last year when it faced accusations of price rigging. New York Attorney General Elliot Spitzer sued the company, accusing it of receiving illegal payments to steer clients to selected firms as well as rigging bids and fixing prices. In January, Marsh agreed to pay $850m to settle the suit - a figure in line with the placement fees it collected in 2003 - and agreed to change its business practices. In February, a former senior executive pleaded guilty to criminal charges in a wide-ranging probe of fraud and bid-rigging in the insurance industry. In January, a former senior vice president also pleaded guilty to criminal charges related to the investigation. In an effort to reform its business practises, Marsh said it has already introduced new leadership, new compliance procedures and new ways of dealing with customers. "As a result, we are ready to put these matters behind us and move ahead in 2005 to restore the trust our clients have placed in us and to rebuild shareholder value," Mr Cherkasky said.

"Clearly 2004 was the most difficult year in MMC's financial history," Marsh chief executive Michael Cherkasky said.Marsh did not say when the move would take place, but said it had signed a letter of intent.An ongoing restructuring drive at the group also led to a $337m hit in the fourth quarter, the world's biggest insurer said.The insurer said the cuts were part of a cost-cutting drive, aimed at saving millions of dollars.In an effort to reform its business practises, Marsh said it has already introduced new leadership, new compliance procedures and new ways of dealing with customers.As part of its efforts to cut costs, the company said it was halving its dividend payment to 17 cents a shares from 34 cents, a move which should enable it to save $360m.Under the settlement announced in January, Marsh took a pre-tax charge of $618m in the October-to-December quarter, on top of the $232m charge from the previous quarter.Marsh posted a $676m (£352m) loss for the last three months of 2004, against a $375m (£195.3m) profit a year before.

Summarize the following article: Jobs growth still slow in the US The US created fewer jobs than expected in January, but a fall in jobseekers pushed the unemployment rate to its lowest level in three years. According to Labor Department figures, US firms added only 146,000 jobs in January. The gain in non-farm payrolls was below market expectations of 190,000 new jobs. Nevertheless it was enough to push down the unemployment rate to 5.2%, its lowest level since September 2001. The job gains mean that President Bush can celebrate - albeit by a very fine margin - a net growth in jobs in the US economy in his first term in office. He presided over a net fall in jobs up to last November's Presidential election - the first President to do so since Herbert Hoover. As a result, job creation became a key issue in last year's election. However, when adding December and January's figures, the administration's first term jobs record ended in positive territory. The Labor Department also said it had revised down the jobs gains in December 2004, from 157,000 to 133,000. Analysts said the growth in new jobs was not as strong as could be expected given the favourable economic conditions. "It suggests that employment is continuing to expand at a moderate pace," said Rick Egelton, deputy chief economist at BMO Financial Group. "We are not getting the boost to employment that we would have got given the low value of the dollar and the still relatively low interest rate environment." "The economy is producing a moderate but not a satisfying amount of job growth," said Ken Mayland, president of ClearView Economics. "That means there are a limited number of new opportunities for workers."

The job gains mean that President Bush can celebrate - albeit by a very fine margin - a net growth in jobs in the US economy in his first term in office.Analysts said the growth in new jobs was not as strong as could be expected given the favourable economic conditions.The Labor Department also said it had revised down the jobs gains in December 2004, from 157,000 to 133,000.The US created fewer jobs than expected in January, but a fall in jobseekers pushed the unemployment rate to its lowest level in three years."The economy is producing a moderate but not a satisfying amount of job growth," said Ken Mayland, president of ClearView Economics.He presided over a net fall in jobs up to last November's Presidential election - the first President to do so since Herbert Hoover.

Summarize the following article: BA to suspend two Saudi services British Airways is to halt its flights from London Heathrow to Jeddah and Riyadh in Saudi Arabia from 27 March. The airline said the decision was a commercial one due to reduced passenger demand for the services. BA currently operates four flights per week from Heathrow to Jeddah, and three weekly journeys to Riyadh. It suspended flights to Saudi Arabia for three weeks in autumn 2003 after a government warning about a "threat to UK aviation interests in Saudi Arabia". BA will now suspend the Saudi flights - which it says will remain "under constant review" - from 27 March. "The decision to suspend flights between the UK and Saudi Arabia is a difficult one to make as we have enjoyed a long history of flying between the two countries," said BA director of commercial planning, Robert Boyle. "However, the routes don't currently make a profitable contribution to our business and we are unable to sustain them while this remains the case." Passengers with flights booked after the suspension date will be contacted by BA for alternative arrangements to be made.

"The decision to suspend flights between the UK and Saudi Arabia is a difficult one to make as we have enjoyed a long history of flying between the two countries," said BA director of commercial planning, Robert Boyle.British Airways is to halt its flights from London Heathrow to Jeddah and Riyadh in Saudi Arabia from 27 March.BA will now suspend the Saudi flights - which it says will remain "under constant review" - from 27 March.BA currently operates four flights per week from Heathrow to Jeddah, and three weekly journeys to Riyadh.

Summarize the following article: South African car demand surges Car manufacturers with plants in South Africa, including BMW, General Motors, Toyota and Volkswagen, have seen a surge in demand during 2004. New vehicle sales jumped 22% to 449,603 from a year earlier, the National Association of Automobile Manufacturers of South Africa (NAAMSA) said. Strong economic growth and low interest rates have driven demand, and analysts expect the trend to continue. NAAMSA said it expects sales to top 500,000 in 2005. During 2004 "South Africa was one of the best performing markets internationally" for car sales, NAAMSA said. While domestic demand is set to continue to enjoy rapid growth, foreign sales could come under pressure, analysts said. The vehicle industry accounts for about 13% of South Africa's total exports. However, the world auto market has its problems and analysts warn that overcapacity and the strength of the rand could hit exports.

New vehicle sales jumped 22% to 449,603 from a year earlier, the National Association of Automobile Manufacturers of South Africa (NAAMSA) said.During 2004 "South Africa was one of the best performing markets internationally" for car sales, NAAMSA said.While domestic demand is set to continue to enjoy rapid growth, foreign sales could come under pressure, analysts said.NAAMSA said it expects sales to top 500,000 in 2005.

Summarize the following article: Turkey-Iran mobile deal 'at risk' Turkey's investment in Iran's mobile industry looks set to be scrapped after its biggest mobile firm saw its investment there slashed by MPs. Iran's parliament voted by a large majority to cut Turkcell's stake in a new mobile network from 70% to 49%. The move, which was justified on national security grounds, follows an earlier vote by MPs to give themselves a veto over foreign investments. Turkcell said the decision "increases the risks" attached to the project. Although the company's statement said it would continue to monitor developments, observers said they thought Turkcell was set to pull out of the $3bn deal. "The possibility of carrying out this project is next to zero," said Atinc Ozkan, analyst at Finans Investment in Istanbul. If Turkcell does back out, MTN - the South African firm which lost out in the original tender - may well be back in the running. The company has said it is prepared to accept a minority stake if Iran will award it the mobile deal. Turkcell's mobile deal is the second Turkish investment in Iran to run into trouble. Turkish-Austrian consortium TAV was chosen to build and run Tehran's new Imam Khomeini International Airport - but the army closed it just hours after it opened in May 2004. In both cases, the justification has been national security, amid allegations that the Turkish firms are too close to Israel. The hardline posture taken by parliament, which is dominated by religious conservatives, could yet impact other inward investments.

Turkcell's mobile deal is the second Turkish investment in Iran to run into trouble.The company has said it is prepared to accept a minority stake if Iran will award it the mobile deal.Turkey's investment in Iran's mobile industry looks set to be scrapped after its biggest mobile firm saw its investment there slashed by MPs.Although the company's statement said it would continue to monitor developments, observers said they thought Turkcell was set to pull out of the $3bn deal.Iran's parliament voted by a large majority to cut Turkcell's stake in a new mobile network from 70% to 49%.

Summarize the following article: US company admits Benin bribery A US defence and telecommunications company has agreed to pay $28.5m after admitting bribery in the West African state of Benin. The Titan corporation was accused of funnelling more than $2m into the 2001 re-election campaign of President Mathieu Kerekou. At the time, Titan was trying to get a higher price for a telecommunications project in Benin. There is no suggestion that Mr Kerekou was himself aware of any wrongdoing. Titan, a California-based company, pleaded guilty to falsifying its accounts and violating US anti-bribery laws. It agreed to pay $13m in criminal penalties, as well as $15.5m to settle a civil lawsuit brought by the US financial watchdog, the Securities and Exchange Commission (SEC). The SEC had accused Titan of illegally paying $2.1m to an unnamed agent in Benin claiming ties with President Kerekou. Some of the money was used to pay for T-shirts with campaign slogans on them ahead of the 2001 election. Shortly after the poll, which Mr Kerekou won, Benin officials agreed to quadruple Titan's management fee. Prosecuting attorney Carol Lam said: "All US companies should take note that attempting to bribe foreign officials is criminal conduct and will be appropriately prosecuted." The company says it no longer tolerates such practices. Under the US Foreign Corrupt Practices Act, it is a crime for American firms to bribe foreign officials.

A US defence and telecommunications company has agreed to pay $28.5m after admitting bribery in the West African state of Benin.The Titan corporation was accused of funnelling more than $2m into the 2001 re-election campaign of President Mathieu Kerekou.The SEC had accused Titan of illegally paying $2.1m to an unnamed agent in Benin claiming ties with President Kerekou.At the time, Titan was trying to get a higher price for a telecommunications project in Benin.Titan, a California-based company, pleaded guilty to falsifying its accounts and violating US anti-bribery laws.

Summarize the following article: US interest rate rise expected US interest rates are expected to rise for the fifth time since June following the US Federal Reserve's latest rate-setting meeting later on Tuesday. Borrowing costs are tipped to rise by a quarter of a percentage point to 2.25%. The move comes as a recovery in the US economy, the world's biggest, shows signs of robustness and sustainability. The dollar's record-breaking decline, meanwhile, has spooked markets and along with high oil prices has raised concerns about the pace of inflation. "We are seeing evidence that inflation is moving higher," said Ken Kim, an analyst at Stone & McCarthy Research. "It's not a risk, it's actually happening." Mr Kim added that borrowing costs could rise further. The Fed has said that it will move in a "measured" way to combat price growth and lift interest rates from their 40-year lows that were prompted by sluggish US and global growth. With the economic picture now looking more rosy, the Fed has implemented quarter percentage point rises in June, August, September and November. Although the US economy grew at an annual rate of 3.9% in the three months to September, analysts warn that Fed has to be careful not to move too aggressively and take the wind out of the recovery's sails. Earlier this month figures showed that job creation is still weak, while consumer confidence is subdued. "I think the Fed feels it has a fair amount of flexibility," said David Berson, chief economist at Fannie Mae. "While inflation has moved up, it hasn't moved up a lot." "If economic growth should subside... the Fed would feel it has the flexibility to pause in its tightening. "But if economic growth picked up and caused core inflation to rise a little more quickly, I think the Fed would be prepared to tighten more quickly as well."

With the economic picture now looking more rosy, the Fed has implemented quarter percentage point rises in June, August, September and November.The Fed has said that it will move in a "measured" way to combat price growth and lift interest rates from their 40-year lows that were prompted by sluggish US and global growth.Although the US economy grew at an annual rate of 3.9% in the three months to September, analysts warn that Fed has to be careful not to move too aggressively and take the wind out of the recovery's sails."If economic growth should subside... the Fed would feel it has the flexibility to pause in its tightening."But if economic growth picked up and caused core inflation to rise a little more quickly, I think the Fed would be prepared to tighten more quickly as well.""I think the Fed feels it has a fair amount of flexibility," said David Berson, chief economist at Fannie Mae.

Summarize the following article: Indian oil firm eyes Yukos assets India's biggest oil exploration firm, Oil & Natural Gas Corp (ONGC), says it is in talks to buy the former assets of troubled Russian crude producer Yukos. "We are in touch with the concerned Russian entities about the Yukos assets and other opportunities in Russia," said ONGC chairman Subir Raha. Local press had reported that ONGC was looking to buy 15% of Yukos' former key oil production unit for $2bn (£1bn). Yukos is being broken up by Russian authorities to pay a massive tax bill. It was forced to sell its key production unit Yuganskneftegas (Yugansk) last month after being hit with a bill of $27bn in unpaid taxes and fines. State-owned Rosneft now owns Yugansk and Russia has said it will turn the oil producer into a stand-alone firm. Indian oil minister Mani Shankar Aiyar discussed ONGC's plans during a trip to Moscow last year, and the topic came up again during Russian president Vladimir Putin's recent visit to New Delhi. "It would make great sense for us to build on that," said Mr Aiyar. India's oil production has stagnated over recent years, and it is having to look abroad to secure future supplies. India imports about 70% of its total oil consumption. At the same time, India's economy is booming and the country's thirst for oil is so strong that it has helped pushed up the price of crude worldwide. India produces about 793,000 barrels of oil per day (bpd), little changed since the start of the 1990s, according to oil industry analysts Douglas-Westwood. Consumption, meanwhile, has jumped to 2.4 million bpd, compared with 474,000 bpd in 1973. "For countries to develop, they have to have access to energy," said John Westwood, managing director of oil industry analysts Douglas-Westwood. India is a "dramatically growing economy that must have access to oil". By buying into Yugansk, ONGC would be able to reduce its dependence on Gulf states for oil imports, Mr Westwood explained, especially as the chances of finding and exploiting resources within India are slim. "We forecast that Indian production will go into significant decline," Mr Westwood said. "By 2020, production may only be at half of today's levels." ONGC, which is majority-owned by the Indian state, already has bought petroleum assets in countries including Vietnam, Sudan and Russia. The company is a partner with Rosneft in the Sakhalin-1 oil field off Russia's Siberian coast. ONGC is, however, not the only firm interested in Yugansk. Chinese crude company China National Petroleum has also been mentioned as a possible investor, while on Thursday, Italy refused to rule out an interest. ONGC's interest is the latest twist in a saga that has seen one of the world's biggest oil producers brought to its knees. The dispute is partly driven by President Putin's clampdown on the political ambitions of ex-Yukos boss Mikhail Khodorkovsky, who is currently in jail on charges of fraud and tax evasion. Yukos has been battling the Russian authorities for more than a year and has filed for bankruptcy protection in the US. Analysts have questioned how long it can continue to survive without Yugansk. On Thursday, a US court said it will hear arguments for Yukos' bankruptcy claim to be thrown out on 16 February. Should that happen, Yukos will have little chance of clawing back its assets, analysts said.

State-owned Rosneft now owns Yugansk and Russia has said it will turn the oil producer into a stand-alone firm.India's biggest oil exploration firm, Oil & Natural Gas Corp (ONGC), says it is in talks to buy the former assets of troubled Russian crude producer Yukos.Local press had reported that ONGC was looking to buy 15% of Yukos' former key oil production unit for $2bn (£1bn).India produces about 793,000 barrels of oil per day (bpd), little changed since the start of the 1990s, according to oil industry analysts Douglas-Westwood.India's oil production has stagnated over recent years, and it is having to look abroad to secure future supplies.Yukos has been battling the Russian authorities for more than a year and has filed for bankruptcy protection in the US."For countries to develop, they have to have access to energy," said John Westwood, managing director of oil industry analysts Douglas-Westwood.By buying into Yugansk, ONGC would be able to reduce its dependence on Gulf states for oil imports, Mr Westwood explained, especially as the chances of finding and exploiting resources within India are slim.India imports about 70% of its total oil consumption."We are in touch with the concerned Russian entities about the Yukos assets and other opportunities in Russia," said ONGC chairman Subir Raha.At the same time, India's economy is booming and the country's thirst for oil is so strong that it has helped pushed up the price of crude worldwide.ONGC's interest is the latest twist in a saga that has seen one of the world's biggest oil producers brought to its knees.

Summarize the following article: Small firms 'hit by rising costs' Rising fuel and materials costs are hitting confidence among the UK's small manufacturers despite a rise in output, business lobby group the CBI says. A CBI quarterly survey found output had risen by the fastest rate in seven years but many firms were seeing the benefits offset by increasing expenses. The CBI also found spending on innovation, training and retraining is forecast to go up over the next year. However, firms continue to scale back investment in buildings and machinery. The CBI said companies are looking to the government to lessen the regulatory load and are hoping interest rates will be kept on hold. "Smaller manufacturers are facing an uphill struggle," said Hugh Morgan Williams, chair of the CBI's SME Council. "The manufacturing sector needs a period of long-term stability in the economy." The CBI found some firms managed to increase prices for the first time in nine years - but many said increases failed to keep up the rise in costs. Of the companies surveyed, 30% saw orders rise and 27% saw them fall. The positive balance of plus 3 compared with minus 10 in the previous survey. When firms were questioned on output volume, the survey returned a balance of plus 8 - the highest rate of increase for seven years - and rose to plus 11 when looking ahead to the next three months.

A CBI quarterly survey found output had risen by the fastest rate in seven years but many firms were seeing the benefits offset by increasing expenses.When firms were questioned on output volume, the survey returned a balance of plus 8 - the highest rate of increase for seven years - and rose to plus 11 when looking ahead to the next three months.The CBI found some firms managed to increase prices for the first time in nine years - but many said increases failed to keep up the rise in costs.The CBI said companies are looking to the government to lessen the regulatory load and are hoping interest rates will be kept on hold.The CBI also found spending on innovation, training and retraining is forecast to go up over the next year.

Summarize the following article: Chinese dam firm 'defies Beijing' The China Three Gorges Project Corp is refusing to obey a government order to stop construction of one of its giant dams, the Chinese state press has said. The builder of the Three Gorges Dam is continuing work on the sister Xiluodu dam, said the Beijing News. The Xiluodu dam is one of 30 such large-scale construction projects called to a halt because of a lack of proper environmental checks. The Beijing News said the company may instead choose to pay a fine. The firm has also ignored orders to stop construction at two of its other projects - the Three Gorges Underground Power Plant and the Three Gorges Project Electrical Power Supply Plant. So far, only 22 of the 30 construction projects targeted by China's State Environmental Protection Agency (Sepa) for having not carried out mandatory environmental impact assessments have complied with its shutdown order. The China Three Gorges Project Corp could now face a fine up to 200,000 yuan ($24,000; £12,700). Last week, it denied that its projects violated regulations. "The Three Gorges Corporation has all along abided by the law and have built our projects in accordance with the law," it said. The Sepa order comes as the Chinese government appears to be trying to cool the country's booming economy. Previously it has encouraged construction of new electricity generating capacity to solve chronic energy shortages, which forced many factories into part-time working last year. In 2004, China increased its generating capacity by 12.6% to 440,700 megawatts (MW). The Xiluodu Dam is designed to produce 12,600 MW of electricity, and is being built on the Jinshajiang - or "river of golden sand" as the upper reaches of the Yangtze are known. It is a sister project to the main Three Gorges Dam downstream where more than half a million people have had to be relocated, drawing criticism from environmental groups and overseas human rights activists.

The China Three Gorges Project Corp is refusing to obey a government order to stop construction of one of its giant dams, the Chinese state press has said.The firm has also ignored orders to stop construction at two of its other projects - the Three Gorges Underground Power Plant and the Three Gorges Project Electrical Power Supply Plant.The China Three Gorges Project Corp could now face a fine up to 200,000 yuan ($24,000; £12,700).The builder of the Three Gorges Dam is continuing work on the sister Xiluodu dam, said the Beijing News."The Three Gorges Corporation has all along abided by the law and have built our projects in accordance with the law," it said.It is a sister project to the main Three Gorges Dam downstream where more than half a million people have had to be relocated, drawing criticism from environmental groups and overseas human rights activists.

Summarize the following article: Durex maker SSL awaits firm bid UK condom maker SSL International has refused to comment on reports it may be subject to a takeover early in 2005. A Financial Times report said business intelligence firm GPW was understood to be starting due diligence work on SSL International, for a corporate client. An spokesman for SSL, which makes the famous Durex brand of condom, would not to comment on "market speculation". However the news sent shares in SSL, which also makes Scholl footwear, up more than 6%, or 16.75 pence to 293.5p. The FT said most the high-profile firm that might woo SSL was Anglo-Dutch household products group Reckitt Benckiser. Eighteen months ago Reckitt Benckiser was at the centre of a rumoured takeover bid for SSL - but that came to nothing. Other firms that have been seen as would-be suitors include Kimberly-Clark, Johnson & Johnson, and private equity investors. Analysts have seen SSL as a takeover target for years. It sold off its surgical gloves and antiseptics businesses for £173m to a management team in May. SSL was formed by a three-way merger between Seton Healthcare, footwear specialists Scholl and condom-maker London International Group. Its other brands include Syndol analgesic, Meltus cough medicine, Sauber compression hosiery and deodorant products, and Mister Baby.

UK condom maker SSL International has refused to comment on reports it may be subject to a takeover early in 2005.A Financial Times report said business intelligence firm GPW was understood to be starting due diligence work on SSL International, for a corporate client.The FT said most the high-profile firm that might woo SSL was Anglo-Dutch household products group Reckitt Benckiser.Analysts have seen SSL as a takeover target for years.SSL was formed by a three-way merger between Seton Healthcare, footwear specialists Scholl and condom-maker London International Group.

Summarize the following article: Feta cheese battle reaches court A row over whether only Greece should be allowed to label its cheese feta has reached the European Court of Justice. The Danish and German governments are challenging a European Commission ruling which said Greece should have sole rights to use the name. The Commission's decision gave the same legal protection to feta as to Italian Parma ham and French Champagne. But critics of the judgement say feta is a generic term, with the cheese produced widely outside Greece. The Commission's controversial 2002 ruling gave "protected designation of origin" status to feta cheese made in Greece, effectively restricting the use of the feta name to producers there. From 2007 onwards, Greek firms will have the exclusive use of the feta label and producers elsewhere in Europe must find another name to describe their products. The German and Danish governments argue that feta does not relate to a specific geographical area and that their firms have been producing and exporting the cheese for years. "In our opinion it is a generic designation and we do not have any other name or term for this type of cheese," Hans Arne Kristiansen, a spokesman for the Danish Dairy Board, told the BBC. Denmark is Europe's second largest producer of feta after Greece - producing about 30,000 tonnes a year - and exports its products to Greece. It is concerned that the ruling could threaten the production of other cheeses in Denmark such as brie. "It would cost millions if we wanted to introduce a new designation," Mr Kristiansen said. "That is just one of the costs." The case will also have a major impact on Britain's sole feta producer, Yorkshire company Shepherds Purse Cheeses. Judy Bell, the company's founder, said it would cost a huge amount to rebrand its product. "If we lose we will have to go through a massive re-merchandising process and reorganisation," she said. "We have never tried to pull the wool over anyone's eyes - it's very clear from the label that it's Yorkshire feta." The original decision was a victory for Greece, where feta cheese is believed to have been produced for about 6,000 years. Feta is a soft white cheese made from sheep or goat's milk, and is an essential ingredient in Greek cuisine. Greece makes 115,000 tonnes, mainly for domestic consumption. The Court is expected to reach a verdict in the case in the autumn.

The Commission's controversial 2002 ruling gave "protected designation of origin" status to feta cheese made in Greece, effectively restricting the use of the feta name to producers there.A row over whether only Greece should be allowed to label its cheese feta has reached the European Court of Justice.The original decision was a victory for Greece, where feta cheese is believed to have been produced for about 6,000 years.But critics of the judgement say feta is a generic term, with the cheese produced widely outside Greece.Denmark is Europe's second largest producer of feta after Greece - producing about 30,000 tonnes a year - and exports its products to Greece.The Danish and German governments are challenging a European Commission ruling which said Greece should have sole rights to use the name.The German and Danish governments argue that feta does not relate to a specific geographical area and that their firms have been producing and exporting the cheese for years.Feta is a soft white cheese made from sheep or goat's milk, and is an essential ingredient in Greek cuisine.

Summarize the following article: Cars pull down US retail figures US retail sales fell 0.3% in January, the biggest monthly decline since last August, driven down by a heavy fall in car sales. The 3.3% fall in car sales had been expected, coming after December's 4% rise in car sales, fuelled by generous pre-Christmas special offers. Excluding the car sector, US retail sales were up 0.6% in January, twice what some analysts had been expecting. US retail spending is expected to rise in 2005, but not as quickly as in 2004. Steve Gallagher, US chief economist at SG Corporate & Investment Banking, said January's figures were "decent numbers". "We are not seeing the numbers that we saw in the second half of 2004, but they are still pretty healthy," he added. Sales at appliance and electronic stores were down 0.6% in January, while sales at hardware stores dropped by 0.3% and furniture store sales dipped 0.1%. Sales at clothing and clothing accessory stores jumped 1.8%, while sales at general merchandise stores, a category that includes department stores, rose by 0.9%. These strong gains were in part put down to consumers spending gift vouchers they had been given for Christmas. Sales at restaurants, bars and coffee houses rose by 0.3%, while grocery store sales were up 0.5%. In December, overall retail sales rose by 1.1%. Excluding the car sector, sales rose by just 0.3%. Parul Jain, deputy chief economist at Nomura Securities International, said consumer spending would continue to rise in 2005, only at a slower rate of growth than in 2004. "Consumers continue to retain their strength in the first quarter," he said. Van Rourke, a bond strategist at Popular Securities, agreed that the latest retail sales figures were "slightly stronger than expected".

Excluding the car sector, US retail sales were up 0.6% in January, twice what some analysts had been expecting.Excluding the car sector, sales rose by just 0.3%.In December, overall retail sales rose by 1.1%.US retail sales fell 0.3% in January, the biggest monthly decline since last August, driven down by a heavy fall in car sales.The 3.3% fall in car sales had been expected, coming after December's 4% rise in car sales, fuelled by generous pre-Christmas special offers.US retail spending is expected to rise in 2005, but not as quickly as in 2004.

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: Market unfazed by Aurora setback As the Aurora limped back to its dock on 20 January, a blizzard of photos and interviews seemed to add up to an unambiguous tale of woe. The ship had another slice of bad luck to add to its history of health scares and technical trouble. And its owner, P&O Cruises - now part of the huge US Carnival Corporation - was looking at a significant slice chopped off this year's profits and a potential PR fiasco. No-one, however, seems to have told the stock markets. The warning of a five-cent hit to 2005 earnings came just 24 hours after one of the world's biggest investment banks had upped its target for Carnival's share price, from £35 to £36.20. Other investors barely blinked, and by 1300 GMT Carnival's shares in London were down a single penny, or 0.03%, at £32.26. Why the mismatch between the public perception and the market's response? "The Aurora issue had been an ongoing one for some time," says Deutsche Bank's Simon Champion. "It was clearly a source of uncertainty for the company - it was a long cruise, after all. But the stock market is very good at treating these issues as one-off events." Despite its string of bad luck, he pointed out, Aurora is just one vessel in a large Carnival fleet, the UK's P&O Princess group having been merged into the much larger US firm in 2003. And generally speaking, Carnival has a reputation for keeping its ships pretty much on schedule. "Carnival has an incredibly strong track record," Mr Champion. Similarly, analysts expect the impact on the rest of the cruise business to be limited. The hundreds of disappointed passengers who have now had to give up the opportunity to spend the next three months on the Aurora have got both a refund and a credit for another cruise. That should mitigate some of the PR risk, both for Carnival and its main competitor, Royal Caribbean. "While not common, cancellations for technical reasons are not entirely unusual in the industry," wrote analysts from Citigroup Smith Barney in a note to clients on Friday. "Moreover, such events typically have a limited impact on bookings and pricing for future cruises." After all, the Aurora incident may be big news in the UK - but for Carnival customers elsewhere it's unlikely to make too much of a splash. Assuming that Citigroup is right, and demand stays solid, the structure of the industry also works in Carnival's favour. In the wake of P&O Princess's takeover by Carnival, the business is now to a great extent a duopoly. Given the expense of building, outfitting and running a cruise ship, "slowing supply growth" is a certainty, said David Anders at Merrill Lynch on Thursday. In other words, if you do want a cruise, your options are limited. And with Carnival remaining the market leader, it looks set to keep selling the tickets - no matter what happens to the ill-fated Aurora in the future.

Despite its string of bad luck, he pointed out, Aurora is just one vessel in a large Carnival fleet, the UK's P&O Princess group having been merged into the much larger US firm in 2003.And with Carnival remaining the market leader, it looks set to keep selling the tickets - no matter what happens to the ill-fated Aurora in the future.Similarly, analysts expect the impact on the rest of the cruise business to be limited.After all, the Aurora incident may be big news in the UK - but for Carnival customers elsewhere it's unlikely to make too much of a splash.And generally speaking, Carnival has a reputation for keeping its ships pretty much on schedule.And its owner, P&O Cruises - now part of the huge US Carnival Corporation - was looking at a significant slice chopped off this year's profits and a potential PR fiasco.In the wake of P&O Princess's takeover by Carnival, the business is now to a great extent a duopoly."The Aurora issue had been an ongoing one for some time," says Deutsche Bank's Simon Champion."Carnival has an incredibly strong track record," Mr Champion.In other words, if you do want a cruise, your options are limited.

Summarize the following article: Crossrail link 'to get go-ahead' The £10bn Crossrail transport plan, backed by business groups, is to get the go-ahead this month, according to The Mail on Sunday. It says the UK Treasury has allocated £7.5bn ($13.99bn) for the project and that talks with business groups on raising the rest will begin shortly. The much delayed Crossrail Link Bill would provide for a fast cross-London rail link. The paper says it will go before the House of Commons on 23 February. A second reading could follow on 16 or 17 March. "We've always said we are going to introduce a hybrid Bill for Crossrail in the Spring and this remains the case," the Department for Transport said on Sunday. Jeremy de Souza, a spokesman for Crossrail, said on Sunday he could not confirm whether the Treasury was planning to invest £7.5bn or when the bill would go before Parliament. However, he said some impetus may have been provided by the proximity of an election. The new line would go out as far as Maidenhead, Berkshire, to the west of London, and link Heathrow to Canary Wharf via the City. Heathrow to the City would take 40 minutes, dramatically cutting journey times for business travellers, and reducing overcrowding on the tube. The line has the support of the Mayor of London, Ken Livingstone, business groups and the government, but there have been three years of arguments over how it should be funded. The Mail on Sunday's Financial Mail said the £7.5bn of Treasury money was earmarked for spending in £2.5bn instalments in 2010, 2011 and 2012.

Jeremy de Souza, a spokesman for Crossrail, said on Sunday he could not confirm whether the Treasury was planning to invest £7.5bn or when the bill would go before Parliament.The £10bn Crossrail transport plan, backed by business groups, is to get the go-ahead this month, according to The Mail on Sunday.It says the UK Treasury has allocated £7.5bn ($13.99bn) for the project and that talks with business groups on raising the rest will begin shortly.The Mail on Sunday's Financial Mail said the £7.5bn of Treasury money was earmarked for spending in £2.5bn instalments in 2010, 2011 and 2012."We've always said we are going to introduce a hybrid Bill for Crossrail in the Spring and this remains the case," the Department for Transport said on Sunday.

Summarize the following article: Christmas sales worst since 1981 UK retail sales fell in December, failing to meet expectations and making it by some counts the worst Christmas since 1981. Retail sales dropped by 1% on the month in December, after a 0.6% rise in November, the Office for National Statistics (ONS) said. The ONS revised the annual 2004 rate of growth down from the 5.9% estimated in November to 3.2%. A number of retailers have already reported poor figures for December. Clothing retailers and non-specialist stores were the worst hit with only internet retailers showing any significant growth, according to the ONS. The last time retailers endured a tougher Christmas was 23 years previously, when sales plunged 1.7%. The ONS echoed an earlier caution from Bank of England governor Mervyn King not to read too much into the poor December figures. Some analysts put a positive gloss on the figures, pointing out that the non-seasonally-adjusted figures showed a performance comparable with 2003. The November-December jump last year was roughly comparable with recent averages, although some way below the serious booms seen in the 1990s. And figures for retail volume outperformed measures of actual spending, an indication that consumers are looking for bargains, and retailers are cutting their prices. However, reports from some High Street retailers highlight the weakness of the sector. Morrisons, Woolworths, House of Fraser, Marks & Spencer and Big Food all said that the festive period was disappointing. And a British Retail Consortium survey found that Christmas 2004 was the worst for 10 years. Yet, other retailers - including HMV, Monsoon, Jessops, Body Shop and Tesco - reported that festive sales were well up on last year. Investec chief economist Philip Shaw said he did not expect the poor retail figures to have any immediate effect on interest rates. "The retail sales figures are very weak, but as Bank of England governor Mervyn King indicated last night, you don't really get an accurate impression of Christmas trading until about Easter," said Mr Shaw. "Our view is the Bank of England will keep its powder dry and wait to see the big picture."

"The retail sales figures are very weak, but as Bank of England governor Mervyn King indicated last night, you don't really get an accurate impression of Christmas trading until about Easter," said Mr Shaw.The last time retailers endured a tougher Christmas was 23 years previously, when sales plunged 1.7%.A number of retailers have already reported poor figures for December.Retail sales dropped by 1% on the month in December, after a 0.6% rise in November, the Office for National Statistics (ONS) said.Clothing retailers and non-specialist stores were the worst hit with only internet retailers showing any significant growth, according to the ONS.UK retail sales fell in December, failing to meet expectations and making it by some counts the worst Christmas since 1981.Yet, other retailers - including HMV, Monsoon, Jessops, Body Shop and Tesco - reported that festive sales were well up on last year.

Summarize the following article: Honda wins China copyright ruling Japan's Honda has won a copyright case in Beijing, further evidence that China is taking a tougher line on protecting intellectual property rights. A court ruled that Chongqing Lifan Industry Group must stop selling Honda brand motorbikes and said it must pay 1.47m yuan ($177,600) in compensation. Internationally recognized regulation is now a key part of China's plans for developing its economy, analysts said. Beijing also has been threatened with sanctions if it fails to clamp down. Chinese firms copy products ranging from computer software and spark plugs to baby milk and compact discs. Despite the fact that product piracy is a major problem, foreign companies have only occasionally won cases and the compensation awarded has usually been small. Still, recent rulings and announcements will have boosted optimism that attitudes are changing. Earlier this week China said that in future it will punish violators of intellectual property rights with up to seven years in jail. And on Tuesday, Paws Incorporated - the owner of the rights to Garfield the cat - won a court battle against a publishing house that violated its copyright. Other firms that have taken legal action in China, with varying degrees of success, include Yamaha, General Motors and Toyota. The problem of piracy is not limited to China, however, and the potential for profit is huge. The European Union estimates that the global trade in pirated wares is worth more than 200bn euros a year (£140bn; $258bn), or about 5% of total world trade. And it is growing. Between 1998 and 2002, the number of counterfeit or pirated goods intercepted at the EU's external borders increased by more than 800%, it said. Last month the EU said it will start monitoring China, Ukraine and Russia to ensure they are going after pirated goods. Other countries on the EU's hit list include Thailand, Brazil, South Korea and Indonesia. Any countries that are not making enough of an effort could be dragged to the World Trade Organisation (WTO), a step that could trigger economic sanctions, the EU warned.

Japan's Honda has won a copyright case in Beijing, further evidence that China is taking a tougher line on protecting intellectual property rights.Earlier this week China said that in future it will punish violators of intellectual property rights with up to seven years in jail.Last month the EU said it will start monitoring China, Ukraine and Russia to ensure they are going after pirated goods.Between 1998 and 2002, the number of counterfeit or pirated goods intercepted at the EU's external borders increased by more than 800%, it said.Despite the fact that product piracy is a major problem, foreign companies have only occasionally won cases and the compensation awarded has usually been small.The problem of piracy is not limited to China, however, and the potential for profit is huge.Other firms that have taken legal action in China, with varying degrees of success, include Yamaha, General Motors and Toyota.

Summarize the following article: Italy to get economic action plan Italian Prime Minister Silvio Berlusconi will unveil plans aimed at kickstarting the country's sputtering economy on Thursday night in Rome. He will present an "Action Plan for the Development of Italy" in a meeting with industrialists and trade union leaders. Mr Berlusconi is expected to table reforms aimed at boosting research and development (R&D) spending, and the competitiveness of small firms. Also in focus will be bankruptcy laws and the slow pace of the legal system. The prime minister is scheduled to start the meeting at 1830 GMT. The government has been accused of underfunding R&D, making it harder for Italy to compete with other European nations and leading to a "brain-drain" of the country's brightest talents. Analysts say that hiring and firing staff is still too difficult and expensive, hampering the development of small- and medium-sized businesses. As a result, they say, Italy's corporate landscape is filled with numerous smaller companies that are often reluctant to become bigger because of all the extra hassle that would accompany the running of a larger firm. At the same time, bankruptcy laws make it difficult for failed company directors to set up new businesses and emerge from their debts, a situation that is hampering Italy's entrepreneurial spirit. The government says that it has set about tackling the problems, adding that getting growth going was the responsibility of all of Italy's 60 million population. According to Il Sole 24 Ore, Italy's business newspaper, the government will focus on "opening up markets, infrastructure, research, making more incentives available, bankruptcy law, the slow pace of the justice system". Mr Berlusconi has previously promised to cut taxes by 6.5bn euros ($8.6bn; £4.5bn) this year in an effort to get people and companies to spend. He has also promised to cap spending on transport, education and health so as to trim the ballooning budget deficit. Italy plans to raise as much as 25bn euros from privatisations in 2005, including a partial flotation of the post office and utility Enel. Critics argue that these moves do not go far enough and could make Italy's problems worse. Limiting government spending will lead to job losses, they counter, while the income tax cuts will have a negligible effect on sentiment and ultimately favour the wealthy. The country has been one of the eurozone's worst economic performers in recent years. Growth was 1.1% in 2004, up from just 0.3% in 2003 and 0.4% in 2002 - an improvement but still a long way from ideal. At the same time, business and consumer confidence has dipped and analysts have raised concerns that what little spending there is stems from Italians dipping into their savings accounts or using credit cards. Without a pick up in national growth, they say, the money could eventually run out, bringing Italy's economy to a juddering halt. Consumer spending accounts for about two-thirds of Italy's economy.

The government says that it has set about tackling the problems, adding that getting growth going was the responsibility of all of Italy's 60 million population.Consumer spending accounts for about two-thirds of Italy's economy.According to Il Sole 24 Ore, Italy's business newspaper, the government will focus on "opening up markets, infrastructure, research, making more incentives available, bankruptcy law, the slow pace of the justice system".At the same time, bankruptcy laws make it difficult for failed company directors to set up new businesses and emerge from their debts, a situation that is hampering Italy's entrepreneurial spirit.Without a pick up in national growth, they say, the money could eventually run out, bringing Italy's economy to a juddering halt.Mr Berlusconi has previously promised to cut taxes by 6.5bn euros ($8.6bn; £4.5bn) this year in an effort to get people and companies to spend.Mr Berlusconi is expected to table reforms aimed at boosting research and development (R&D) spending, and the competitiveness of small firms.At the same time, business and consumer confidence has dipped and analysts have raised concerns that what little spending there is stems from Italians dipping into their savings accounts or using credit cards.Italian Prime Minister Silvio Berlusconi will unveil plans aimed at kickstarting the country's sputtering economy on Thursday night in Rome.

Summarize the following article: Gazprom 'in $36m back-tax claim' The nuclear unit of Russian energy giant Gazprom is reportedly facing a 1bn rouble ($35.7m; £19.1m) back-tax claim for the 2001-2003 period. Vedomosti newspaper reported that Russian authorities made the demand at the end of last year. The paper added that most of the taxes claimed are linked to the company's export activity. Gazprom, the biggest gas company in the world, took over nuclear fuel giant Atomstroieksport in October 2004. The main project of Atomstroieksport is the building of a nuclear plant in Iran, which has been a source of tension between Russia and the US. Gazprom is one of the key players in the complex Russian energy market, where the government of Vladimir Putin has made moves to regain state influence over the sector. Gazprom is set to merge with state oil firm Rosneft, the company that eventually acquired Yuganskneftegas, the main unit of embattled oil giant Yukos. Claims for back-taxes was a tool used against Yukos, and led to the enforced sale Yuganskneftegas. Some analysts fear the Kremlin will continue to use these sort of moves to boost the efforts of the state to regain control over strategically important sectors such as oil.

Gazprom is set to merge with state oil firm Rosneft, the company that eventually acquired Yuganskneftegas, the main unit of embattled oil giant Yukos.Gazprom is one of the key players in the complex Russian energy market, where the government of Vladimir Putin has made moves to regain state influence over the sector.The nuclear unit of Russian energy giant Gazprom is reportedly facing a 1bn rouble ($35.7m; £19.1m) back-tax claim for the 2001-2003 period.Gazprom, the biggest gas company in the world, took over nuclear fuel giant Atomstroieksport in October 2004.

Summarize the following article: Building giant in asbestos payout Australian building products group James Hardie has agreed to pay $1.1bn (£568m) to victims of asbestos-related diseases. The landmark deal could see thousands of people suffering from lung diseases - caused by asbestos the company once made - receive compensation. The move follows angry protests after the firm said a previous compensation fund was running out of money. A subsequent New South Wales state inquiry criticised Hardie's actions. In September, the inquiry found that the company had misled the public about the amount of money set aside to cover its asbestos-related liabilities, sparking the resignation of its then chief executive, Peter MacDonald. Campaigners welcomed news of the preliminary agreement. "This is a momentous day in the fight for victims and their families," said asbestosis sufferer Bernie Banton, who leads a victims' association. "There is still a long way to go, but we are getting there." James Hardie chairwoman, Meredith Hellicar, said the deal provided for a funding arrangement "that is affordable, sensible and workable". "At the end of the day we are dealing with compensation for people who are terminally ill. We don't know exactly how many of them there will be, we don't know over what exact period they will fall ill," she said. However, the deal still has to receive the approval of Hardie's shareholders. Hardie, which currently makes more than 80% of its revenues in the US, was once Australia's biggest supplier of asbestos building materials. In 2001, the company set up a fund to compensate asbestos victims, but it later admitted the fund was running short of money. A decision by Hardie to move its headquarters to the Netherlands - while remaining a listed company in Australia - provoked a damaging public outcry. Victims groups accusing it of trying to escape its responsibilities by moving abroad, a charge the company denies. Australia's securities watchdog is currently investigating Hardie's former chief executive and former chief financial officer over allegations of misleading investors and the general public.

In 2001, the company set up a fund to compensate asbestos victims, but it later admitted the fund was running short of money.The move follows angry protests after the firm said a previous compensation fund was running out of money.The landmark deal could see thousands of people suffering from lung diseases - caused by asbestos the company once made - receive compensation.However, the deal still has to receive the approval of Hardie's shareholders.In September, the inquiry found that the company had misled the public about the amount of money set aside to cover its asbestos-related liabilities, sparking the resignation of its then chief executive, Peter MacDonald.Hardie, which currently makes more than 80% of its revenues in the US, was once Australia's biggest supplier of asbestos building materials.Australian building products group James Hardie has agreed to pay $1.1bn (£568m) to victims of asbestos-related diseases.

Summarize the following article: Peugeot deal boosts Mitsubishi Struggling Japanese car maker Mitsubishi Motors has struck a deal to supply French car maker Peugeot with 30,000 sports utility vehicles (SUV). The two firms signed a Memorandum of Understanding, and say they expect to seal a final agreement by Spring 2005. The alliance comes as a badly-needed boost for loss-making Mitsubishi, after several profit warnings and poor sales. The SUVs will be built in Japan using Peugeot's diesel engines and sold mainly in the European market. Falling sales have left Mitsubishi Motors with underused capacity, and the production deal with Peugeot gives it a chance to utilise some of it. In January, Mitsubishi Motors issued its third profits warning in nine months, and cut its sales forecasts for the year to March 2005. Its sales have slid 41% in the past year, catalysed by the revelation that the company had systematically been hiding records of faults and then secretly repairing vehicles. As a result, the Japanese car maker has sought a series of financial bailouts. Last month it said it was looking for a further 540bn yen ($5.2bn; £2.77bn) in fresh financial backing, half of it from other companies in the Mitsubishi group. US-German carmaker DaimlerChrylser, a 30% shareholder in Mitsubishi Motors, decided in April 2004 not to pump in any more money. The deal with Peugeot was celebrated by Mitsubishi's newly-appointed chief executive Takashi Nishioka, who took over after three top bosses stood down last month to shoulder responsibility for the firm's troubles. Mitsubishi Motors has forecast a net loss of 472bn yen in its current financial year to March 2005. Last month, it signed a production agreement with Japanese rival Nissan Motor to supply it with 36,000 small cars for sale in Japan. It has been making cars for Nissan since 2003.

Struggling Japanese car maker Mitsubishi Motors has struck a deal to supply French car maker Peugeot with 30,000 sports utility vehicles (SUV).Mitsubishi Motors has forecast a net loss of 472bn yen in its current financial year to March 2005.Last month, it signed a production agreement with Japanese rival Nissan Motor to supply it with 36,000 small cars for sale in Japan.In January, Mitsubishi Motors issued its third profits warning in nine months, and cut its sales forecasts for the year to March 2005.Falling sales have left Mitsubishi Motors with underused capacity, and the production deal with Peugeot gives it a chance to utilise some of it.As a result, the Japanese car maker has sought a series of financial bailouts.

Summarize the following article: High fuel prices hit BA's profits British Airways has blamed high fuel prices for a 40% drop in profits. Reporting its results for the three months to 31 December 2004, the airline made a pre-tax profit of £75m ($141m) compared with £125m a year earlier. Rod Eddington, BA's chief executive, said the results were "respectable" in a third quarter when fuel costs rose by £106m or 47.3%. BA's profits were still better than market expectation of £59m, and it expects a rise in full-year revenues. To help offset the increased price of aviation fuel, BA last year introduced a fuel surcharge for passengers. In October, it increased this from £6 to £10 one-way for all long-haul flights, while the short-haul surcharge was raised from £2.50 to £4 a leg. Yet aviation analyst Mike Powell of Dresdner Kleinwort Wasserstein says BA's estimated annual surcharge revenues - £160m - will still be way short of its additional fuel costs - a predicted extra £250m. Turnover for the quarter was up 4.3% to £1.97bn, further benefiting from a rise in cargo revenue. Looking ahead to its full year results to March 2005, BA warned that yields - average revenues per passenger - were expected to decline as it continues to lower prices in the face of competition from low-cost carriers. However, it said sales would be better than previously forecast. "For the year to March 2005, the total revenue outlook is slightly better than previous guidance with a 3% to 3.5% improvement anticipated," BA chairman Martin Broughton said. BA had previously forecast a 2% to 3% rise in full-year revenue. It also reported on Friday that passenger numbers rose 8.1% in January. Aviation analyst Nick Van den Brul of BNP Paribas described BA's latest quarterly results as "pretty modest". "It is quite good on the revenue side and it shows the impact of fuel surcharges and a positive cargo development, however, operating margins down and cost impact of fuel are very strong," he said. Since the 11 September 2001 attacks in the United States, BA has cut 13,000 jobs as part of a major cost-cutting drive. "Our focus remains on reducing controllable costs and debt whilst continuing to invest in our products," Mr Eddington said. "For example, we have taken delivery of six Airbus A321 aircraft and next month we will start further improvements to our Club World flat beds." BA's shares closed up four pence at 274.5 pence.

Rod Eddington, BA's chief executive, said the results were "respectable" in a third quarter when fuel costs rose by £106m or 47.3%.To help offset the increased price of aviation fuel, BA last year introduced a fuel surcharge for passengers.BA had previously forecast a 2% to 3% rise in full-year revenue."It is quite good on the revenue side and it shows the impact of fuel surcharges and a positive cargo development, however, operating margins down and cost impact of fuel are very strong," he said.Yet aviation analyst Mike Powell of Dresdner Kleinwort Wasserstein says BA's estimated annual surcharge revenues - £160m - will still be way short of its additional fuel costs - a predicted extra £250m."For the year to March 2005, the total revenue outlook is slightly better than previous guidance with a 3% to 3.5% improvement anticipated," BA chairman Martin Broughton said.Looking ahead to its full year results to March 2005, BA warned that yields - average revenues per passenger - were expected to decline as it continues to lower prices in the face of competition from low-cost carriers.BA's profits were still better than market expectation of £59m, and it expects a rise in full-year revenues.

Summarize the following article: US Ahold suppliers face charges US prosecutors have charged nine food suppliers with helping Dutch retailer Ahold inflate earnings by more than $800m (£428m). The charges have been brought against individuals as well as companies, alleging they created false accounts. Ahold hit the headlines in February 2003 after it emerged that there were accounting irregularities at its US subsidiary Foodservice. Three former Ahold top executives last year agreed to settle fraud charges. Ahold has admitted that it fraudulently inflated promotional allowances at Foodservice, improperly consolidated joint ventures and also committed other accounting errors and irregularities. The nine now charged, who worked as suppliers to Ahold, are accused of signing false documents relating to the amount of money they paid the retailer for promoting their products in its stores. Food companies pay supermarkets and retailers for prime shelf space. The suppliers in question are said to have inflated the amount of money they paid, providing auditors with signed letters that allowed Ahold to inflate its earnings. US Attorney David Kelley said he expects the nine vendors will plead guilty to the charges. He added that there may be more court actions in the future. "I don't want to leave you with the impression that these were the only ones involved," he said. Among those facing charges are John Nettle, a former employee of General Mills; Mark Bailin of Rymer International Seafood; Tim Daly of Michael Foods and Kenneth Bowman, who worked as an independent contractor for Total Foods. Others include Michael Hannigan of Sugar Foods; Peter Marion of Maritime Seafood Processors and First Choice Foods; Gordon Redgate of Commodity Manager and Private Label Distribution; Bruce Robinson of Basic American Foods and Michael Rogers, formerly of Tyson Foods. Pasquale D'Amuro of the FBI called the nine vendors the key ingredients in "the process of cooking the books" at Ahold. At the time of the scandal, Ahold was seen by many as Europe's Enron. Ahold shares tumbled on the news and many market observers predicted that the fall out could damage investor confidence across Europe. It was less severe than many had envisaged, however, and since then Ahold has worked hard at rebuilding its reputation and investor confidence. Ahold is the world's fourth-largest supermarket chain. Its other US businesses include Stop & Shop, and Giant Food.

US prosecutors have charged nine food suppliers with helping Dutch retailer Ahold inflate earnings by more than $800m (£428m).The nine now charged, who worked as suppliers to Ahold, are accused of signing false documents relating to the amount of money they paid the retailer for promoting their products in its stores.The suppliers in question are said to have inflated the amount of money they paid, providing auditors with signed letters that allowed Ahold to inflate its earnings.Ahold is the world's fourth-largest supermarket chain.Ahold hit the headlines in February 2003 after it emerged that there were accounting irregularities at its US subsidiary Foodservice.It was less severe than many had envisaged, however, and since then Ahold has worked hard at rebuilding its reputation and investor confidence.At the time of the scandal, Ahold was seen by many as Europe's Enron.Pasquale D'Amuro of the FBI called the nine vendors the key ingredients in "the process of cooking the books" at Ahold.

Summarize the following article: Worldcom director ends evidence The former chief financial officer at US telecoms firm WorldCom has finished giving evidence at the trial of his ex-boss Bernie Ebbers. Scott Sullivan admitted to jurors he was willing to commit fraud to meet Wall Street earnings projections. Mr Ebbers is on trial for fraud and conspiracy in relation to WorldCom's collapse in 2002. He pleads not guilty. Mr Sullivan has spent two days being cross-examined by lawyers for former Worldcom chief executive Mr Ebbers. Attorney Reid Weingarten has attempted to portray Mr Sullivan as a liar and on Thursday quizzed him about his decision to commit fraud to meet analysts' profit estimates. "At that point in time," Mr Sullivan said, referring to the first false entries in late 2000, "I knew it was wrong and I knew it was against the law, but I thought we would get through it in the short term." Mr Sullivan, 42, has already pleaded guilty to fraud and will be sentenced following Mr Ebbers' trial, where he is appearing as a prosecution witness. Mr Ebbers, 63, has always insisted that he was unaware of any hidden shortfalls in WorldCom's finances. The former finance officer said Mr Ebbers knew about the improper accounting entries that were made between 2000 and 2002 to conceal soaring expenses and inflate revenue. Mr Ebbers could face a sentence of 85 years if convicted of all the charges he is facing. WorldCom's problems appear to have begun with the collapse of the dotcom boom which cut its business from internet companies. Prosecutors allege that the company's top executives responded by orchestrating massive fraud over a two-year period. WorldCom emerged from bankruptcy protection in 2004, and is now known as MCI. On Monday, MCI agreed to a buyout by Verizon Communications in a deal valued at $6.75bn.

Mr Sullivan, 42, has already pleaded guilty to fraud and will be sentenced following Mr Ebbers' trial, where he is appearing as a prosecution witness.Mr Sullivan has spent two days being cross-examined by lawyers for former Worldcom chief executive Mr Ebbers.Mr Ebbers is on trial for fraud and conspiracy in relation to WorldCom's collapse in 2002.Mr Ebbers, 63, has always insisted that he was unaware of any hidden shortfalls in WorldCom's finances.Attorney Reid Weingarten has attempted to portray Mr Sullivan as a liar and on Thursday quizzed him about his decision to commit fraud to meet analysts' profit estimates.The former finance officer said Mr Ebbers knew about the improper accounting entries that were made between 2000 and 2002 to conceal soaring expenses and inflate revenue.

Summarize the following article: French suitor holds LSE meeting European stock market Euronext has met with the London Stock Exchange (LSE) amid speculation that it may be ready to launch a cash bid. Euronext chief Jean-Francois Theodore held talks with LSE boss Clara Furse the day after rival Deutsche Boerse put forward its own bid case. The German exchange said it had held "constructive, professional and friendly" talks with the LSE. But Euronext declined to comment after the talks ended on Friday. Speculation is mounting that the Germans may raise their bid to £1.5bn. Deutsche Boerse previously offered £1.3bn, which was rejected by the LSE, while Euronext is rumoured to have facilities in place to fund a £1.4bn cash bid. So far, however, neither have tabled a formal bid. But a deal with either bidder would create the biggest stock market operator in Europe and the second biggest in the world after the New York Stock Exchange. There was speculation Euronext would use Friday's meeting as an opportunity to take advantage of growing disquiet over Deutsche Boerse's own plans for dominance over the London market. Unions for Deutsche Boerse staff in Frankfurt has reportedly expressed fears that up to 300 jobs would be moved to London if the takeover is successful. "The works council has expressed concerns that the equities and derivatives trade could be managed from London in the future," Reuters news agency reports a union source as saying. German politicians are also said to be angry over the market operator's promise to move its headquarters to London if a bid were successful. Meanwhile, LSE shareholders fear that Deutsche Boerse's control over its Clearstream unit - the clearing house that processes securities transactions - would create a monopoly situation. This would weaken the position of shareholders when negotiating lower transaction fees for share dealings. LSE and Euronext do not have control over their clearing and settlement operations, a situation which critics say is more transparent and competitive. The German group's ownership of Clearstream has been seen as the main stumbling block to a London-Frankfurt merger. Commentators believe Deutsche Boerse, which has now formally asked German authorities to approve its plan to buy the LSE, may offer to sell Clearstream to gain shareholder approval. Euronext, so far, has given little away as to what sweeteners it will offer the LSE - Europe's biggest equity market - into a deal.

European stock market Euronext has met with the London Stock Exchange (LSE) amid speculation that it may be ready to launch a cash bid.Euronext, so far, has given little away as to what sweeteners it will offer the LSE - Europe's biggest equity market - into a deal.Deutsche Boerse previously offered £1.3bn, which was rejected by the LSE, while Euronext is rumoured to have facilities in place to fund a £1.4bn cash bid.Euronext chief Jean-Francois Theodore held talks with LSE boss Clara Furse the day after rival Deutsche Boerse put forward its own bid case.Commentators believe Deutsche Boerse, which has now formally asked German authorities to approve its plan to buy the LSE, may offer to sell Clearstream to gain shareholder approval.There was speculation Euronext would use Friday's meeting as an opportunity to take advantage of growing disquiet over Deutsche Boerse's own plans for dominance over the London market.Meanwhile, LSE shareholders fear that Deutsche Boerse's control over its Clearstream unit - the clearing house that processes securities transactions - would create a monopoly situation.Unions for Deutsche Boerse staff in Frankfurt has reportedly expressed fears that up to 300 jobs would be moved to London if the takeover is successful.

Summarize the following article: UK young top Euro earnings league British children enjoy the highest average annual income in Europe - more than double that of Spanish or Italian youngsters, a report suggests. Children in the UK between the ages of 10 and 17 had an annual income of £775, said market analyst Datamonitor. They use "pester power" to get their parents to stump up nearly a third of this income, the report said. As for how they spend their cash, the bulk goes on personal care, soft drinks and food, Datamonitor said. Datamonitor adds that British teenagers are keen on personal care because it helps them combine two seemingly contradictory emotional needs - the desire to fit in and the desire to express their individuality. British teenage girls, compared to their counterparts in seven European countries, are the most keen to use make-up products. Nearly three out of four girls said they used make-up. According to the Datamonitor report the trend marked British teenagers out as "particularly important to cosmetics manufacturers as they are likely to experiment more with brands and products and form long-term beauty routines". And the good times are likely to keep rolling for British children, as the report predicts that they will still be topping the earnings table in 2008.

Children in the UK between the ages of 10 and 17 had an annual income of £775, said market analyst Datamonitor.They use "pester power" to get their parents to stump up nearly a third of this income, the report said.According to the Datamonitor report the trend marked British teenagers out as "particularly important to cosmetics manufacturers as they are likely to experiment more with brands and products and form long-term beauty routines".British children enjoy the highest average annual income in Europe - more than double that of Spanish or Italian youngsters, a report suggests.

Summarize the following article: Ailing EuroDisney vows turnaround EuroDisney, the European home of Mickey Mouse and friends, has said it will sell 253m euros (£175m; $328m) of new shares as it looks to avoid insolvency. The sale is the last part of a plan to restructure 2.4bn euros-worth of debts. Despite struggling since it was opened in 1992, EuroDisney has recently made progress in turning its business around and ticket sales have picked up. However, analysts still question whether it attracts enough visitors to stay open, even with the restructuring. EuroDisney remains Europe's largest single tourist attraction, attracting some 12.4 million visitors annually. A new attraction - Walt Disney Studios - has recently opened its site near Paris. The company's currently traded stock tumbled in Paris on the latest news, shedding 15% to 22 euro cents. EuroDisney will sell the new shares priced at 9 euros cents each. The US Disney Corporation and Saudi Arabian prince Al-Walid bin Talal, the firm's two main shareholders, will buy the new stock. The restructuring deal is the second in the firm's troubled financial history; its finances were first reorganised in 1994.

EuroDisney will sell the new shares priced at 9 euros cents each.EuroDisney, the European home of Mickey Mouse and friends, has said it will sell 253m euros (£175m; $328m) of new shares as it looks to avoid insolvency.A new attraction - Walt Disney Studios - has recently opened its site near Paris.Despite struggling since it was opened in 1992, EuroDisney has recently made progress in turning its business around and ticket sales have picked up.

Summarize the following article: Swiss cement firm in buying spree Swiss cement firm Holcim has bid $800m (£429m) to buy two Indian cement firms and a holding company in the country. It plans to buy Associated Cement Companies (ACC), Ambuja Cement Eastern and the holding firm, Ambuja Cement India Ltd, a Holcim statement said. Shares in ACC fell 5.5% as investors, who thought the offer was underpriced, decided to sell. Meanwhile, UK-based firm Aggregate Industries said it had agreed a £1.8bn takeover by Holcim. The deal with Aggregates will give Holcim, the world's second-biggest cement maker, an entry into the UK market and boost its presence in the US. Peter Tom, who will remain as Aggregate chief executive, said the 138p a share offer provided "significant value" for shareholders. The Markfield, Leicestershire-based company runs 142 quarries in the UK and the US. It also has 164 ready-mixed concrete plants, 90 asphalt plants and 32 pre-cast concrete factories. If the Indian deals go ahead, it will give Holcim a major presence in the world's fastest-growing market behind China. ACC is India's second-largest cement maker with an annual capacity of 18.2 million tonnes and a market share of 13%. "Holcim is looking to buy it (ACC) very cheap," said KK Mittal, a fund manager with Escorts Mutual Fund in New Delhi. "The market is not impressed. If they want a substantial chunk, then they should be paying a premium over the market price." Shares in Holcim rose by 2.3% on Thursday following news of the takeover.

The deal with Aggregates will give Holcim, the world's second-biggest cement maker, an entry into the UK market and boost its presence in the US.Swiss cement firm Holcim has bid $800m (£429m) to buy two Indian cement firms and a holding company in the country.It plans to buy Associated Cement Companies (ACC), Ambuja Cement Eastern and the holding firm, Ambuja Cement India Ltd, a Holcim statement said.ACC is India's second-largest cement maker with an annual capacity of 18.2 million tonnes and a market share of 13%.If the Indian deals go ahead, it will give Holcim a major presence in the world's fastest-growing market behind China.Meanwhile, UK-based firm Aggregate Industries said it had agreed a £1.8bn takeover by Holcim.

Summarize the following article: Bombardier chief to leave company Shares in train and plane-making giant Bombardier have fallen to a 10-year low following the departure of its chief executive and two members of the board. Paul Tellier, who was also Bombardier's president, left the company amid an ongoing restructuring. Laurent Beaudoin, part of the family that controls the Montreal-based firm, will take on the role of CEO under a newly created management structure. Analysts said the resignations seem to have stemmed from a boardroom dispute. Under Mr Tellier's tenure at the company, which began in January 2003, plans to cut the worldwide workforce of 75,000 by almost a third by 2006 were announced. The firm's snowmobile division and defence services unit were also sold and Bombardier started the development of a new aircraft seating 110 to 135 passengers. Mr Tellier had indicated he wanted to stay at the world's top train maker and third largest manufacturer of civil aircraft until the restructuring was complete. But Bombardier has been faced with a declining share price and profits. Earlier this month the firm said it earned $10m (£19.2m) in the third quarter, down from a profit of $133m a year ago. "I understand the board's concern that I would not be there for the long-term and the need to develop and execute strategies, and the need to reshape the management structure at this time," Mr Tellier said in a statement on Monday. Bombardier said restructuring plans drawn up by Mr Tellier's would continue to be implemented. Shares in Bombardier lost 65 Canadian cents or 25% on the news to 1.90 Canadian dollars before rallying to 2.20 Canadian dollars.

Bombardier said restructuring plans drawn up by Mr Tellier's would continue to be implemented.Mr Tellier had indicated he wanted to stay at the world's top train maker and third largest manufacturer of civil aircraft until the restructuring was complete."I understand the board's concern that I would not be there for the long-term and the need to develop and execute strategies, and the need to reshape the management structure at this time," Mr Tellier said in a statement on Monday.Earlier this month the firm said it earned $10m (£19.2m) in the third quarter, down from a profit of $133m a year ago.Under Mr Tellier's tenure at the company, which began in January 2003, plans to cut the worldwide workforce of 75,000 by almost a third by 2006 were announced.

Summarize the following article: Steady job growth continues in US The US created fewer jobs than expected in December, but analysts said that the dip in hiring was not enough to derail the world's biggest economy. According to Labor Department figures, 157,000 new jobs were added last month. That took 2004's total to 2.2 million, the best showing in five years. Job creation was one of last year's main concerns for the US economy. While worries still remain, the conditions are set for steady growth in 2005, analysts said. The unemployment rate stayed at 5.4% in December, and about 200,000 jobs will need to be created each month if that figure is to drop. "It was a respectable report," said Michael Moran, analyst at Daiwa Securities. "Payroll growth in December was a little lighter than the consensus forecast, but we had upward revisions to the prior two months and an increase in manufacturing employment." "Manufacturing is a cyclical area of the economy and if it's showing job growth, it's a good indication that the economy is on a solid growth track." That means that the Federal Reserve is likely to continue its policy of raising interest rates. The Fed lifted borrowing costs five times last year to 2.25%, citing evidence the US economic recovery was becoming more robust. Job creation was one of last year's main concerns for the US economy, and proved to be a main topic of debate in the US presidential election. While demand for workers is far from booming, the conditions are set for steady growth. "Overall, compared to the previous year it looks great, it just keeps going stronger and stronger and I expect that to be the case" in 2005, said Kurt Karl, economist at Swiss Re in New York. Meanwhile, economists cautioned against reading too much into data from the Federal Reserve showing an unexpected $8.7bn drop in consumer debt in November. A fall in consumer spending, which makes up about two-thirds of all US economic activity, could help limit the extent of any future interest rate rises. But economists said there could be a number of reasons for a fall in the borrowing, which include credit cards and personal loans, while noting that such figures can vary on a month-to-month basis.

Job creation was one of last year's main concerns for the US economy.Job creation was one of last year's main concerns for the US economy, and proved to be a main topic of debate in the US presidential election.The US created fewer jobs than expected in December, but analysts said that the dip in hiring was not enough to derail the world's biggest economy."Manufacturing is a cyclical area of the economy and if it's showing job growth, it's a good indication that the economy is on a solid growth track."While worries still remain, the conditions are set for steady growth in 2005, analysts said.The Fed lifted borrowing costs five times last year to 2.25%, citing evidence the US economic recovery was becoming more robust.The unemployment rate stayed at 5.4% in December, and about 200,000 jobs will need to be created each month if that figure is to drop.

Summarize the following article: Israeli economy picking up pace Israel's economy is forecast to grow by 4.2% in 2004 as it continues to emerge from a three-year recession. The main driver of the faster-than-expected expansion has been exports, with tourism seeing a strong rebound, the statistical office said. The economy is benefiting from a quieter period in Palestinian-Israeli violence and a pick-up in global demand for technology products. The outlook is better than it has been for a number of years, analysts said. Many companies have focused on cost cutting and greater efficiency, while the government has been trying to trim public spending and push through reforms. The growth figures come about despite a strike earlier this year by about 400,000 public sector worker which closed banks, hospitals, postal services and transport facilities. Growth did slow in the second half, but only slightly. Exports for the year rose by 14%, while tourist revenues were up by 30%. Imports gained by 13%, signalling that domestic demand has picked up again. In 2003, imports declined by 1.8%. In 2003, the economy expanded by 1.3%

The main driver of the faster-than-expected expansion has been exports, with tourism seeing a strong rebound, the statistical office said.Imports gained by 13%, signalling that domestic demand has picked up again.The outlook is better than it has been for a number of years, analysts said.In 2003, the economy expanded by 1.3%The economy is benefiting from a quieter period in Palestinian-Israeli violence and a pick-up in global demand for technology products.

Summarize the following article: LSE 'sets date for takeover deal' The London Stock Exchange (LSE) is planning to announce a preferred takeover by the end of the month, newspaper reports claim. The Sunday Telegraph said the LSE's plan was further evidence it wants to retain tight control over its destiny. Both Deutsche Boerse and rival Euronext held talks with the London market last week over a possible offer. A £1.3bn offer from Deutsche Boerse has already been rejected, while Euronext has said it will make an all cash bid. Speculation suggests that Paris-based Euronext has the facilities in place to make a bid of £1.4bn, while its German rival may up its bid to the £1.5bn mark. Neither has yet tabled a formal bid, but the LSE is expected to hold further talks with the two parties later this week. However, the Sunday Telegraph report added that there are signs that Deutsche Boerse chief executive Werner Seifert is becoming increasingly impatient with the LSE's managed bid process. Despite insisting he wants to agree a recommended deal with the LSE's board, the newspaper suggested he may pull out of the process and put an offer directly to shareholders instead. The newspaper also claimed Mr Seifert was becoming "increasingly frustrated" with the pace of negotiations since Deutsche Boerse's £1.3bn offer was rejected in mid-December, in particular the LSE's decision to suspend talks over the Christmas period. Meanwhile, the German exchange's offer has come under fire recently. Unions for Deutsche Boerse staff in Frankfurt have reportedly expressed fears that up to 300 jobs would be moved to London if the takeover is successful. Others claim it will weaken the city's status as Europe's financial centre, while German politicians are also said to be angry over the market operator's promise to move its headquarters to London if a bid is successful. A further stumbling block is Deutsche Boerse's control over its Clearstream unit, the clearing house that processes securities transactions. LSE shareholders fear it would create a monopoly situation, weakening the position of shareholders when negotiating lower transaction fees for share dealings. LSE and Euronext do not have control over their clearing and settlement operations, a situation which critics say is more transparent and competitive.

A £1.3bn offer from Deutsche Boerse has already been rejected, while Euronext has said it will make an all cash bid.Both Deutsche Boerse and rival Euronext held talks with the London market last week over a possible offer.However, the Sunday Telegraph report added that there are signs that Deutsche Boerse chief executive Werner Seifert is becoming increasingly impatient with the LSE's managed bid process.Speculation suggests that Paris-based Euronext has the facilities in place to make a bid of £1.4bn, while its German rival may up its bid to the £1.5bn mark.The newspaper also claimed Mr Seifert was becoming "increasingly frustrated" with the pace of negotiations since Deutsche Boerse's £1.3bn offer was rejected in mid-December, in particular the LSE's decision to suspend talks over the Christmas period.Unions for Deutsche Boerse staff in Frankfurt have reportedly expressed fears that up to 300 jobs would be moved to London if the takeover is successful.

Summarize the following article: China continues breakneck growth China's economy has expanded by a breakneck 9.5% during 2004, faster than predicted and well above 2003's 9.1%. The news may mean more limits on investment and lending as Beijing tries to take the economy off the boil. China has sucked in raw materials and energy to feed its expansion, which could have knock-on effects on the rest of the world if it overheats. But officials pointed out that industrial growth had slowed, with services providing much of the impetus. Growth in industrial output - the main target of government efforts to impose curbs on credit and investments - was 11.5% in 2004, down from 17% the previous year. Still, consumer prices - at 2.4% - rose faster than in 2004, adding to concern that a sharp rise in producer prices of 7.1% could stoke inflation. And overall investment in fixed assets was still high, up 21.3% from the previous year - although some way off the peak of 43% seen in the first quarter of 2004. The result could be higher interest rates. China raised rates by 0.27 percentage points to 5.8% - its first hike in nine years - in October 2004. Despite the apparent rebalancing of the economy the overall growth picture remains strong, economists said. "There is no sign of a slowdown in 2005," said Tim Congdon, economist at ING Barings. China's economy is not only gathering speed thanks to domestic demand, but also from soaring sales overseas. Figures released earlier this year showed exports at a six-year high in 2004, up 35%. Part of the impetus comes from the relative cheapness of the yuan, China's currency. The government keeps it pegged close to a rate of 8.28 to the US dollar, - much to the chagrin of many US lawmakers who blame China for lost jobs and competitiveness. Despite urging to ease the peg, officials insist they are a long way from ready to make a shift to a more market-set rate. "We need a good and feasible plan and formulating such a plan also needs time," National Bureau of Statistics chief Li Deshui told Reuters. "Those who hope to make a fortune by speculating on a renminbi revaluation will not succeed in making a profit."

And overall investment in fixed assets was still high, up 21.3% from the previous year - although some way off the peak of 43% seen in the first quarter of 2004.Despite the apparent rebalancing of the economy the overall growth picture remains strong, economists said.Growth in industrial output - the main target of government efforts to impose curbs on credit and investments - was 11.5% in 2004, down from 17% the previous year.China's economy has expanded by a breakneck 9.5% during 2004, faster than predicted and well above 2003's 9.1%.China raised rates by 0.27 percentage points to 5.8% - its first hike in nine years - in October 2004.China's economy is not only gathering speed thanks to domestic demand, but also from soaring sales overseas.But officials pointed out that industrial growth had slowed, with services providing much of the impetus.Despite urging to ease the peg, officials insist they are a long way from ready to make a shift to a more market-set rate.

Summarize the following article: Christmas shoppers flock to tills Shops all over the UK reported strong sales on the last Saturday before Christmas with some claiming record-breaking numbers of festive shoppers. A spokesman for Manchester's Trafford Centre said it was "the biggest Christmas to date" with sales up 5%. And the Regent Street Association said shops in central London were also expecting the "best Christmas ever". That picture comes despite reports of disappointing festive sales in the last couple of weeks. The Trafford Centre spokeswoman said about 8,500 thousand vehicles had arrived at the centre on Saturday before 1130 GMT. "We predict that the next week will continue the same trend," she added. It was a similar story at Bluewater in Kent. Spokesman Alan Jones said he expected 150,000 shoppers to have visited by the end of Saturday and a further 100,000 on Sunday. "Our sales so far have been 2% up on the same time last year," he said. "We're very busy, it's really strong and people will be shopping right up until Christmas. "Over the Christmas period we're expecting people to spend in excess of £200m at the centre." On Saturday afternoon, a spokeswoman for the St David's Shopping Centre in Cardiff said it looked like being its busiest day of the year with about 200,000 shoppers expected to have visited by the close of play. At the St Enoch's Shopping Centre in Glasgow, more than 140,000 shoppers - an all-time record - were expected to have passed through the doors by its closing time of 1900 GMT. Senior business manager Jon Walton said: "It has been phenomenal - absolutely mobbed. "Every week footfall has been showing strong growth and at the weekends it has been going mad." Regent Street Association director Annie Walker said on Saturday: "The stores were heaving today and a lot of people are going to be doing last minute shopping as many people finished work on Friday and can go in the week." She said reports of a slump in pre-Christmas sales were related to the growing popularity of internet sales. "I do think this has had a lot to do with reports of lower sales figures," she said. "Internet shopping has gone up enormously and not all stores have websites."

A spokesman for Manchester's Trafford Centre said it was "the biggest Christmas to date" with sales up 5%."I do think this has had a lot to do with reports of lower sales figures," she said."Our sales so far have been 2% up on the same time last year," he said.Regent Street Association director Annie Walker said on Saturday: "The stores were heaving today and a lot of people are going to be doing last minute shopping as many people finished work on Friday and can go in the week."On Saturday afternoon, a spokeswoman for the St David's Shopping Centre in Cardiff said it looked like being its busiest day of the year with about 200,000 shoppers expected to have visited by the close of play.The Trafford Centre spokeswoman said about 8,500 thousand vehicles had arrived at the centre on Saturday before 1130 GMT.She said reports of a slump in pre-Christmas sales were related to the growing popularity of internet sales.Shops all over the UK reported strong sales on the last Saturday before Christmas with some claiming record-breaking numbers of festive shoppers.

Summarize the following article: Barclays shares up on merger talk Shares in UK banking group Barclays have risen on Monday following a weekend press report that it had held merger talks with US bank Wells Fargo. A tie-up between Barclays and California-based Wells Fargo would create the world's fourth biggest bank, valued at $180bn (£96bn). Barclays has declined to comment on the report in the Sunday Express, saying it does not respond to market speculation. The two banks reportedly held talks in October and November 2004. Barclays shares were up 8 pence, or 1.3%, at 605 pence by late morning in London on Monday, making it the second biggest gainer in the FTSE 100 index. UK banking icon Barclays was founded more than 300 years ago; it has operations in over 60 countries and employs 76,200 staff worldwide. Its North American divisions focus on business banking, whereas Wells Fargo operates retail and business banking services from 6,000 branches. In 2003, Barclays reported a 20% rise in pre-tax profits to £3.8bn, and it has recently forecast similar gains in 2004, predicting that full year pre-tax profits would rise 18% to £4.5bn. Wells Fargo had net income of $6.2bn in its last financial year, a 9% increase on the previous year, and revenues of $28.4bn. Barclays was the focus of takeover speculation in August, when it was linked to Citigroup, though no bid has ever materialised. Stock market traders were sceptical that the latest reports heralded a deal. "The chief executive would be abandoning his duty if he didn't talk to rivals, but a deal doesn't seem likely," Reuters quoted one trader as saying.

Shares in UK banking group Barclays have risen on Monday following a weekend press report that it had held merger talks with US bank Wells Fargo.A tie-up between Barclays and California-based Wells Fargo would create the world's fourth biggest bank, valued at $180bn (£96bn).UK banking icon Barclays was founded more than 300 years ago; it has operations in over 60 countries and employs 76,200 staff worldwide.Barclays has declined to comment on the report in the Sunday Express, saying it does not respond to market speculation.In 2003, Barclays reported a 20% rise in pre-tax profits to £3.8bn, and it has recently forecast similar gains in 2004, predicting that full year pre-tax profits would rise 18% to £4.5bn.

Summarize the following article: Yangtze Electric's profits double Yangtze Electric Power, the operator of China's Three Gorges Dam, has said its profits more than doubled in 2004. The firm has benefited from increased demand for electricity at a time when power shortages have hit cities and provinces across the country. As a hydroelectric-power generator it has not been hurt by higher coal costs. Net income jumped to 3bn yuan in 2004 ($365m; £190m), compared with 1.4bn yuan in 2003. Sales surged to 6.2bn yuan, from 3bn yuan a year earlier. The figures topped analysts expectations, even though the rate of growth has slowed from 2003. Analysts forecast that it is likely to decline further this year to a rate of expansion of closer to 20%. Yangtze Electric has been expanding its output to meet demand driven by China's booming economy. The government has delayed the building of a number of power plants in an effort to rein in growth amid concerns that the economy may overheat. That has led to an energy crunch, with demand outstripping supply. Earlier this month, work was halted on an underground power station, and a supply unit on the Three Gorges Dam, as well as a power station on its sister Xiluodu dam because of environmental worries. A total of 30 large-scale projects have been halted across the country for similar reasons. The Three Gorges Dam project has led to more than half a million people being relocated and drawn criticism from environmental groups and overseas human rights activists. Its sister project, the Xiluodu Dam, is being built on the Jinshajiang - or "river of golden sand" as the upper reaches of the Yangtze are known.

Yangtze Electric Power, the operator of China's Three Gorges Dam, has said its profits more than doubled in 2004.The Three Gorges Dam project has led to more than half a million people being relocated and drawn criticism from environmental groups and overseas human rights activists.Yangtze Electric has been expanding its output to meet demand driven by China's booming economy.The firm has benefited from increased demand for electricity at a time when power shortages have hit cities and provinces across the country.Earlier this month, work was halted on an underground power station, and a supply unit on the Three Gorges Dam, as well as a power station on its sister Xiluodu dam because of environmental worries.Sales surged to 6.2bn yuan, from 3bn yuan a year earlier.

Summarize the following article: Parmalat founder offers apology The founder and former boss of Parmalat has apologised to investors who lost money as a result of the Italian dairy firm's collapse. Calisto Tanzi said he would co-operate fully with prosecutors investigating the background to one of Europe's largest financial scandals. Parmalat was placed into bankruptcy protection in 2003 after a 14bn euro black hole was found in its accounts. More than 130,000 people lost money following the firm's collapse. Mr Tanzi, 66, issued a statement through his lawyer after five hours of questioning by prosecutors in Parma on 15 January. Prosecutors are seeking indictments against Mr Tanzi and 28 others - including several members of his family and former Parmalat chief financial officer Fausto Tonna - for alleged manipulation of stock market prices and making misleading statements to accountants and Italy's financial watchdog. Two former Parmalat auditors will stand trial later this month for their role in the firm's collapse. "I apologise to all who have suffered so much damage as a result of my schemes to make my dream of an industrial project come true," Mr Tanzi's statement said. "It is my duty to collaborate fully with prosecutors to reconstruct the causes of Parmalat's sudden default and who is responsible." Mr Tanzi spent several months in jail in the wake of Parmalat's collapse and was kept under house arrest until last September. Parmalat is now being run by a state appointed administrator, Enrico Bondi, who has launched lawsuits against 80 banks in an effort to recover money for the bankrupt company and its shareholders. He has alleged that these companies were aware of the true state of Parmalat's finances but continued to lend money to the company. The companies insist they were the victims of fraudulent book-keeping. Parmalat was declared insolvent after it emerged that 4 billion euros (£2.8bn; $4.8bn) it supposedly held in an offshore account did not in fact exist. The firm's demise sent shock waves through Italy, where its portfolio of top-selling food brands and its position as the owner of leading football club Parma had turned it into a household name.

The founder and former boss of Parmalat has apologised to investors who lost money as a result of the Italian dairy firm's collapse.Mr Tanzi spent several months in jail in the wake of Parmalat's collapse and was kept under house arrest until last September.He has alleged that these companies were aware of the true state of Parmalat's finances but continued to lend money to the company.Two former Parmalat auditors will stand trial later this month for their role in the firm's collapse.More than 130,000 people lost money following the firm's collapse.Parmalat is now being run by a state appointed administrator, Enrico Bondi, who has launched lawsuits against 80 banks in an effort to recover money for the bankrupt company and its shareholders.

Summarize the following article: Criminal probe on Citigroup deals Traders at US banking giant Citigroup are facing a criminal investigation in Germany over a controversial bond deal. The deal saw the sale of 11bn euros ($14.4bn; £7.6bn) of government bonds in a few minutes on 2 August, with 4bn euros-worth then bought back later. The move was widely criticised at the time, and now the German regulator has said it has found evidence of possible market manipulation. Citigroup said it would continue to co-operate fully with the authorities. "We are disappointed that the BaFin has referred to the prosecutor the question of whether action should be brought against individuals involved," Citigroup said. If the traders are found guilty, they could face a five-year jail term or a fine, Reuters reported BaFin as saying. However, under German criminal law, prosecutors cannot pursue Citigroup itself. Germany's financial watchdog BaFin told BBC News it had now transferred the investigation to the public prosecutor. "I can confirm that BaFin has passed through the case to the public prosecutor," a BaFin spokeswoman said. "It is now a criminal investigation." "We found clues of possible market manipulation," the spokeswoman said, which included signs of linked bond trading ahead of the main trades on 2 August. "Germany's Securities Trading Act says that if BaFin finds such clues, it has to put the case in the hands of the prosecutor." Regulatory investigations are still going on in France, the UK and elsewhere. Some Citigroup operations elsewhere in the world came under regulatory criticism in 2004. Its private banking operation in Japan was closed down by regulators in Tokyo after an "aggressive sales culture" led the bank to flout anti-money laundering rules.

"I can confirm that BaFin has passed through the case to the public prosecutor," a BaFin spokeswoman said."We are disappointed that the BaFin has referred to the prosecutor the question of whether action should be brought against individuals involved," Citigroup said.Traders at US banking giant Citigroup are facing a criminal investigation in Germany over a controversial bond deal.Germany's financial watchdog BaFin told BBC News it had now transferred the investigation to the public prosecutor.However, under German criminal law, prosecutors cannot pursue Citigroup itself.The move was widely criticised at the time, and now the German regulator has said it has found evidence of possible market manipulation.

Summarize the following article: Irish markets reach all-time high Irish shares have risen to a record high, with investors persuaded to buy into the market by low inflation and strong growth forecasts. The ISEQ index of leading shares closed up 23 points to 6661.89 on Thursday, fuelled by strong growth in banking and financial stocks. A fall in the rate of inflation to 2.3% in January gave a fresh boost to shares which have advanced 4% this month. The economy is set for strong growth in 2005 while interest rates remain low. Several of Ireland's biggest companies saw their market value hit recent highs on Thursday. Allied Irish Banks, Ireland's biggest company by capitalisation, touched a five year peak while Bank of Ireland shares rose to their highest level since August 2002. Telecoms firm Eircom, which recently revealed that it would re-enter the Irish mobile phone market, hit a yearly high. Analysts said that economic conditions were benign and Irish shares were still trading at a discount to other European markets. "Ireland ticks all the boxes as far as international investors are concerned," Roy Asher, chief investment officer of Hibernian Investment Managers, told Reuters. "Buoyant economic conditions are set to continue in Ireland over the next few years and Irish equities continue to offer quality growth at a reasonable valuation." Bernard McAlinden, head of equity research at NCB Stockbrokers, said equities represented good value compared to other investments. "It is still looking good," he told Reuters. "We have seen good economic data on Ireland which benefits the financial stocks." Ireland's economic 'miracle' is enjoying a second wind, with 5% growth forecast for 2005 and 2006. The economy cooled markedly between 2001 and 2003 after enjoying spectacular growth of more than 10% in 2000. However, it has bounced back strongly with growth of just under 5% expected in 2004.

Irish shares have risen to a record high, with investors persuaded to buy into the market by low inflation and strong growth forecasts."Buoyant economic conditions are set to continue in Ireland over the next few years and Irish equities continue to offer quality growth at a reasonable valuation."Ireland's economic 'miracle' is enjoying a second wind, with 5% growth forecast for 2005 and 2006.The ISEQ index of leading shares closed up 23 points to 6661.89 on Thursday, fuelled by strong growth in banking and financial stocks.The economy is set for strong growth in 2005 while interest rates remain low.Analysts said that economic conditions were benign and Irish shares were still trading at a discount to other European markets.Allied Irish Banks, Ireland's biggest company by capitalisation, touched a five year peak while Bank of Ireland shares rose to their highest level since August 2002.

Summarize the following article: Iran budget seeks state sell-offs Iran's president, Mohammad Khatami, has unveiled a budget designed to expand public spending by 30% but loosen the Islamic republic's dependence on oil. The budget for the fiscal year starting on 21 March calls for the sell-off of 20% of the state's corporate holdings. Mr Khatami's second term as president ends on 1 August, making this his last budget. But opposition from members of parliament who have attacked previous privatisations could block his plans. Elections in May 2004 ousted many of Mr Khatami's supporters in parliament in favour of more hard-line religious conservatives. Late last year, they backed a law which would give parliament a veto over foreign investment. The ruling was a response to the involvement in telecoms and airport projects by Turkish companies, which hardliners accused of doing business with Israel. It came not long after the Expediency Council - Iran's ultimate decision-maker - blessed Mr Khatami's policy of selling stakes in sectors protected by the constitution such as energy, transport, telecoms and banking. Continued obstruction of foreign investment could get in the way not only of privatisation plans, but also of Mr Khatami's hope of modestly reducing the government's reliance on oil revenues. In an address to the Majlis, Mr Khatami predicted economic growth of 7.1% in 2005-6, up from 6.7% in the current year. He said he wanted to increase the 2005-6 budget to 1,546 trillion rials ($175.6bn; £93.6bn) from the previous year's 1,070 trillion. Within that figure, taxation would rise to $14.3bn, a rise of over 40% from what is expected from the current year. In contrast, oil revenues were expected to fall to $14.1bn from $16bn in the year to March 2005. "Current government expenditure should come from tax revenues," Mr Khatami said. "Oil revenues should be used for productive investment." Mr Khatami has already been blocked by parliament from reducing the subsidies on many products including bread and petrol, reducing his room to manoeuvre.

Continued obstruction of foreign investment could get in the way not only of privatisation plans, but also of Mr Khatami's hope of modestly reducing the government's reliance on oil revenues.In contrast, oil revenues were expected to fall to $14.1bn from $16bn in the year to March 2005.In an address to the Majlis, Mr Khatami predicted economic growth of 7.1% in 2005-6, up from 6.7% in the current year.Mr Khatami's second term as president ends on 1 August, making this his last budget."Current government expenditure should come from tax revenues," Mr Khatami said.Late last year, they backed a law which would give parliament a veto over foreign investment.Mr Khatami has already been blocked by parliament from reducing the subsidies on many products including bread and petrol, reducing his room to manoeuvre.

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: VW considers opening Indian plant Volkswagen is considering building a car factory in India, but said it had yet to make a final decision. The German giant said it was studying the possibility of opening an assembly plant in the country, but that it remained only a "potential" idea. Its comments came after the industry minister of India's Andhra Pradesh state said a team of VW officials were due to visit to discuss the plans. B. Satyanarayana said he expected VW to co-sign a memorandum of agreement. Several foreign carmakers, including Hyundai, Toyota, Suzuki and Ford, already have Indian production facilities to meet demand for automobiles in Asia's fourth-largest economy. VW's proposed plant would be set up in the port city of Visakhapatnam on India's eastern coast. An Andhra Pradesh official added that VW had already approved a factory site measuring 250 acres.

Its comments came after the industry minister of India's Andhra Pradesh state said a team of VW officials were due to visit to discuss the plans.An Andhra Pradesh official added that VW had already approved a factory site measuring 250 acres.B. Satyanarayana said he expected VW to co-sign a memorandum of agreement.

Summarize the following article: BMW drives record sales in Asia BMW has forecast sales growth of at least 10% in Asia this year after registering record sales there in 2004. The luxury carmaker saw strong sales of its three marques - BMW, Mini and Rolls-Royce - in Asia last year after the launch of three new models. The company, which is vying with Mercedes-Benz for the title of leading premium carmaker, is confident about its prospects for the region in 2005. It is launching a revamped version of its 3-Series saloon class next month. BMW sold nearly 95,000 cars in Asia last year, up 2.6% on 2003. BMW-brand sales rose 2.3% to 80,600 while sales of Mini models rose 3.6% to 14,800. There was also a significant increase in sales of Rolls-Royces on the continent. BMW sold more than 100 of the iconic models compared with just ten the previous year. The German carmaker is aiming to boost annual sales in Asia to 150,000 by 2008. "Here in Asia, we consider a double-digit increase in retail on the order of 10 to 15% to be realistic on the basis of current features," said Helmut Panke, BMW's group chief executive. China remains the main area of concern for BMW after sales there fell 16% last year. However, BMW is hopeful of a much better year in 2005 as its direct investment in China begins to pay dividends. The company only began assembling luxury high-powered sedans in China in 2003. 2004 was generally a good year for BMW, which saw revenues from its core car-making operations rise 11%.

BMW has forecast sales growth of at least 10% in Asia this year after registering record sales there in 2004.The luxury carmaker saw strong sales of its three marques - BMW, Mini and Rolls-Royce - in Asia last year after the launch of three new models.China remains the main area of concern for BMW after sales there fell 16% last year.BMW sold nearly 95,000 cars in Asia last year, up 2.6% on 2003.The German carmaker is aiming to boost annual sales in Asia to 150,000 by 2008.BMW sold more than 100 of the iconic models compared with just ten the previous year.

Summarize the following article: Kraft cuts snack ads for children Kraft plans to cut back on advertising of products like Oreo cookies and sugary Kool-Aid drinks as part of an effort to promote healthy eating. The largest US food maker will also add a label to its more nutritional and low-fat brands to promote the benefits. Kraft rival PepsiCo began a similar labelling initiative last year. The moves come as the firms face criticism from consumer groups concerned at rising levels of obesity in US children. Major food manufacturers have recently been reformulating the content of some calorie-heavy products. Kraft's new advertising policy, which covers advertising on TV, radio and in print publications, is aimed at children between the ages of six and 11. It means commercials for some of its most famous snacks and cereals shown during early morning cartoon shows on TV will now be replaced by food and drink qualifying for Kraft's new "Sensible Solution" label. But the firm said it would continue to advertise all its products in media seen by parents and "all family" audiences. "We're working on ways to encourage both adults and children to eat wisely by selecting more nutritionally balanced diets," said Lance Friedmann, Kraft senior vice president.

Kraft plans to cut back on advertising of products like Oreo cookies and sugary Kool-Aid drinks as part of an effort to promote healthy eating.It means commercials for some of its most famous snacks and cereals shown during early morning cartoon shows on TV will now be replaced by food and drink qualifying for Kraft's new "Sensible Solution" label.The largest US food maker will also add a label to its more nutritional and low-fat brands to promote the benefits.Kraft's new advertising policy, which covers advertising on TV, radio and in print publications, is aimed at children between the ages of six and 11.

Summarize the following article: German growth goes into reverse Germany's economy shrank 0.2% in the last three months of 2004, upsetting hopes of a sustained recovery. The figures confounded hopes of a 0.2% expansion in the fourth quarter in Europe's biggest economy. The Federal Statistics Office said growth for the whole of 2004 was 1.6%, after a year of contraction in 2003, down from an earlier estimate of 1.7%. It said growth in the third quarter had been zero, putting the economy at a standstill from July onward. Germany has been reliant on exports to get its economy back on track, as unemployment of more than five million and impending cuts to welfare mean German consumers have kept their money to themselves. Major companies including Volkswagen, DaimlerChrysler and Siemens have spent much of 2004 in tough talks with unions about trimming jobs and costs. According to the statistics office, Destatis, rising exports were outweighed in the fourth quarter by the continuing weakness of domestic demand. But the relentless rise in the value of the euro last year has also hit the competitiveness of German products overseas. The effect has been to depress prospects for the 12-nation eurozone as a whole, as well as Germany. Eurozone interest rates are at 2%, but senior officials at the rate-setting European Central Bank are beginning to talk about the threat of inflation, prompting fears that interest rates may rise. The ECB's mandate is to fight rising prices by boosting interest rates - and that could further threaten Germany's hopes of recovery.

The figures confounded hopes of a 0.2% expansion in the fourth quarter in Europe's biggest economy.Germany's economy shrank 0.2% in the last three months of 2004, upsetting hopes of a sustained recovery.The ECB's mandate is to fight rising prices by boosting interest rates - and that could further threaten Germany's hopes of recovery.It said growth in the third quarter had been zero, putting the economy at a standstill from July onward.Germany has been reliant on exports to get its economy back on track, as unemployment of more than five million and impending cuts to welfare mean German consumers have kept their money to themselves.

Summarize the following article: Verizon 'seals takeover of MCI' Verizon has won a takeover battle for US phone firm MCI with a bid worth $6.8bn (£3.6bn), reports say. The two firms are expected to seal the deal on Monday morning, according to news agency reports, despite what was thought to be a higher bid from Qwest. The US telecoms market is consolidating fast, with former long-distance giant AT&T being bought by former subsidiary SBC earlier this year for $16bn. MCI exited bankruptcy in April, having gone bust under previous name WorldCom. The bankruptcy followed its admission in 2002 that it illegally booked expenses and inflated profits. Shareholders lost about $180bn when the company collapsed, while 20,000 workers lost their jobs. Former Worldcom boss Bernie Ebbers is currently on trial, accused of overseeing an $11bn fraud. Qwest has itself come under suspicion of sub-standard behaviour, paying the Securities and Exchange Commission $250m in October to settle charges that it manipulated its results to keep Wall Street happy. MCI is the US's second-biggest long distance firm after AT&T. Consolidation in the US telecommunications industry has picked up in the past few months as companies look to cut costs and boost client bases. A merger between MCI and Verizon would be the fifth billion-dollar telecoms deal since October. Last week, SBC Communications agreed to buy its former parent and phone trailblazer AT&T for about $16bn. Buying MCI would give either Qwest or Verizon access to MCI's global network and business-based subscribers. The rationale is similar to the one underpinning SBC's AT&T deal. Verizon is by far the bigger company and has its own successful mobile arm - factors which may have swung the board in its favour since both suitors are offering a mixture of cash and shares.

Verizon has won a takeover battle for US phone firm MCI with a bid worth $6.8bn (£3.6bn), reports say.A merger between MCI and Verizon would be the fifth billion-dollar telecoms deal since October.The US telecoms market is consolidating fast, with former long-distance giant AT&T being bought by former subsidiary SBC earlier this year for $16bn.Last week, SBC Communications agreed to buy its former parent and phone trailblazer AT&T for about $16bn.MCI is the US's second-biggest long distance firm after AT&T.Buying MCI would give either Qwest or Verizon access to MCI's global network and business-based subscribers.

Summarize the following article: Qantas sees profits fly to record Australian airline Qantas has posted a record fiscal first-half profit thanks to cost-cutting measures. Net profit in the six months ending 31 December rose 28% to A$458.4m ($357.6m; £191m) from a year earlier. Analysts expected a figure closer to A$431m. Qantas shares fell almost 3%, however, after it warned that earnings growth would slow in the second half. Sales will dip by at least A$30m after the Indian ocean tsunami devastated many holiday destinations, Qantas said. "The tsunami affected travel patterns in ways that we were a bit surprised about," chief executive Geoff Dixon explained. "It certainly affected Japanese travel into Australia. As soon as the tsunami hit we saw ... a lessening with bookings for Australia." Higher fuel costs also are expected to eat into earnings in coming months. "We don't have as much hedging benefit in the second half as we had in the first," said chief financial officer Peter Gregg. Qantas is facing increased pressure from rivals such as low-cost carrier Virgin Blue and the Australian government is in talks about whether to allow Singapore Airlines to fly between the Australia and the US - one of Qantas' key routes. Even so, the firm is predicting that full-year earnings will increase from the previous 12 months. Analysts have forecast full-year profit will rise about 11% to around A$720 million ($563 million). Qantas boss Mr Dixon also said he would be reviewing the group's cost-cutting measures. During the first six months of the fiscal year, Qantas made savings of A$245m, and is on track to top its target of A$500m for the full year. Last month, the company warned it may transfer as many as 7,000 jobs out Australia, with Mr Dixon quoted as saying that the carrier could no longer afford to remain "all-Australian".

Qantas boss Mr Dixon also said he would be reviewing the group's cost-cutting measures.Qantas shares fell almost 3%, however, after it warned that earnings growth would slow in the second half.During the first six months of the fiscal year, Qantas made savings of A$245m, and is on track to top its target of A$500m for the full year.Australian airline Qantas has posted a record fiscal first-half profit thanks to cost-cutting measures.Qantas is facing increased pressure from rivals such as low-cost carrier Virgin Blue and the Australian government is in talks about whether to allow Singapore Airlines to fly between the Australia and the US - one of Qantas' key routes.Sales will dip by at least A$30m after the Indian ocean tsunami devastated many holiday destinations, Qantas said.Last month, the company warned it may transfer as many as 7,000 jobs out Australia, with Mr Dixon quoted as saying that the carrier could no longer afford to remain "all-Australian".

Summarize the following article: German business confidence slides German business confidence fell in February knocking hopes of a speedy recovery in Europe's largest economy. Munich-based research institute Ifo said that its confidence index fell to 95.5 in February from 97.5 in January, its first decline in three months. The study found that the outlook in both the manufacturing and retail sectors had worsened. Observers had been hoping that a more confident business sector would signal that economic activity was picking up. "We're surprised that the Ifo index has taken such a knock," said DZ bank economist Bernd Weidensteiner. "The main reason is probably that the domestic economy is still weak, particularly in the retail trade." Economy and Labour Minister Wolfgang Clement called the dip in February's Ifo confidence figure "a very mild decline". He said that despite the retreat, the index remained at a relatively high level and that he expected "a modest economic upswing" to continue. Germany's economy grew 1.6% last year after shrinking in 2003. However, the economy contracted by 0.2% during the last three months of 2004, mainly due to the reluctance of consumers to spend. Latest indications are that growth is still proving elusive and Ifo president Hans-Werner Sinn said any improvement in German domestic demand was sluggish. Exports had kept things going during the first half of 2004, but demand for exports was then hit as the value of the euro hit record levels making German products less competitive overseas. On top of that, the unemployment rate has been stuck at close to 10% and manufacturing firms, including DaimlerChrysler, Siemens and Volkswagen, have been negotiating with unions over cost cutting measures. Analysts said that the Ifo figures and Germany's continuing problems may delay an interest rate rise by the European Central Bank. Eurozone interest rates are at 2%, but comments from senior officials have recently focused on the threat of inflation, prompting fears that interest rates may rise.

Analysts said that the Ifo figures and Germany's continuing problems may delay an interest rate rise by the European Central Bank.Munich-based research institute Ifo said that its confidence index fell to 95.5 in February from 97.5 in January, its first decline in three months.Latest indications are that growth is still proving elusive and Ifo president Hans-Werner Sinn said any improvement in German domestic demand was sluggish.Economy and Labour Minister Wolfgang Clement called the dip in February's Ifo confidence figure "a very mild decline".German business confidence fell in February knocking hopes of a speedy recovery in Europe's largest economy."We're surprised that the Ifo index has taken such a knock," said DZ bank economist Bernd Weidensteiner.

Summarize the following article: WMC profits up amid bid criticism Australian mining firm WMC Resources has seen a fivefold rise in profits while continuing to be the target of a hostile takeover bid. WMC said it made net profits of 1.33bn Australian dollars ($1bn; £550m) in 2004, up from A$246bn the year before. It is currently arguing against an offer from Swiss Xstrata, which the firm raised to A$8.4bn last week after WMC said it was an undervaluation. Now reports say that the Australian government is against the deal. Trade Minister Mark Vaile has said that the bid may be "against the national interest". Mr Vaile, who was quoted in the Australian Financial Review, compared Xstrata's attempt to take over WMC to a similar bid by oil giant Shell for Australia's Woodside Petroleum in 2001. The bid was thrown out by Treasurer Peter Costello on national interest grounds. WMC's interests in uranium deposits were a contributing factor, Mr Vaile said. WMC itself, however, has no objection in principle to being bought out, having spun off its aluminium operations in 2002 to make itself a more tempting target - as long as the price is right. Its stellar performance in 2004 has been built on sky-high prices for metals. Copper and nickel in particular have been in high demand thanks to China's booming economy, which expanded more than 9% in each of the past two years. Nickel prices rose 43% during the year, with copper up 36%.

Trade Minister Mark Vaile has said that the bid may be "against the national interest".Australian mining firm WMC Resources has seen a fivefold rise in profits while continuing to be the target of a hostile takeover bid.WMC said it made net profits of 1.33bn Australian dollars ($1bn; £550m) in 2004, up from A$246bn the year before.Mr Vaile, who was quoted in the Australian Financial Review, compared Xstrata's attempt to take over WMC to a similar bid by oil giant Shell for Australia's Woodside Petroleum in 2001.WMC itself, however, has no objection in principle to being bought out, having spun off its aluminium operations in 2002 to make itself a more tempting target - as long as the price is right.

Summarize the following article: Fed chief warning on US deficit Federal Reserve chairman Alan Greenspan has warned that allowing huge US budget deficits to continue could have "severe" consequences. Speaking to the House Budget Committee he urged Congress to take action to cut the deficit, such as increasing taxes. While the US economy is growing at a "reasonably good pace" he warned that budget concerns were clouding the economic outlook for the US. Pension and healthcare costs posed the greatest risks to the economy, he said. The government program faces severe financial strains in coming decades as the massive baby-boom generation retires. "I fear that we may have already committed more physical resources to the baby-boom generation in its retirement years than our economy has the capacity to deliver. If existing promises need to be changed, those changes should be made sooner rather than later," Mr Greenspan said. He also warned that unless the nation sees unprecedented rises in productivity "retirement and health programmes would need "significant" changes. He called on Congress to cut promised benefits for retirees, as the promised benefits for the soon-to-retire baby boom generation were much larger than the government could afford. Meanwhile any move to narrow the deficit gap by raising taxes could pose a significant risk to the economy by dampening growth and spending, he added. He also urged Congress to reinstate lapsed rules that require tax cuts and spending to be offset elsewhere in the budget in an effort to prevent the US heading further into the red. Despite the dire warnings, Mr Greenspan did offer some good news for the short term. As US growth gathers steam and incomes rise that should lead to a narrowing of the deficit. Recent increases in defence and homeland security spending were also not expected to continue indefinitely, which should cut some costs. Since President George W Bush came to office the federal budget has swung from a record surplus to a record deficit of $412bn last year.

Federal Reserve chairman Alan Greenspan has warned that allowing huge US budget deficits to continue could have "severe" consequences.He also urged Congress to reinstate lapsed rules that require tax cuts and spending to be offset elsewhere in the budget in an effort to prevent the US heading further into the red.While the US economy is growing at a "reasonably good pace" he warned that budget concerns were clouding the economic outlook for the US.Meanwhile any move to narrow the deficit gap by raising taxes could pose a significant risk to the economy by dampening growth and spending, he added.Speaking to the House Budget Committee he urged Congress to take action to cut the deficit, such as increasing taxes.As US growth gathers steam and incomes rise that should lead to a narrowing of the deficit.

Summarize the following article: US budget deficit to reach $368bn The US budget deficit is set to hit a worse-than-expected $368bn (£197bn) this year, officials said on Tuesday. The cost of military operations still needs to be factored in, with analysts saying the deficit could end up a further $100bn in the red. Past Congressional Budget Office (CBO) forecasts said there would be a $348bn shortfall in the 2005 fiscal year. In recent months, the dollar has weakened amid market jitters about the size of the budget and trade deficits. In November, the gap between US exports and imports widened to more than $60bn, a record figure. The CBO says it envisages a further "orderly" decline in the greenback over the next two years as the twin deficit drives dollar investors away. But the non-partisan fiscal watchdog notes the declines will help exporters and boost US economic growth. The budget deficit hit a record $412bn in the 12 months to 30 September 2004, after reaching $377bn in the previous fiscal year. The CBO also forecast a total shortfall of $855bn for the years from 2006 to 2015, an improvement on previous projections. However, analysts say the new figures fail to take into account the potential $2-$3.8 trillion costs of the president's plan to revamp state pensions and extend tax cuts. The figure could also be worsened by any further military costs. Republicans have blamed the size of the deficit on slow economic conditions after the 11 September attacks and ongoing military operations in Iraq and Afghanistan. One of President George W Bush's election pledges was to halve the budget deficit within five years. But Democrats have accused the president of excluding Iraq-related costs from previous budgets to meet the aim of reducing the deficit, a charge which the administration denies. On Tuesday, the US administration asked Congress for additional funds for military operations.

The budget deficit hit a record $412bn in the 12 months to 30 September 2004, after reaching $377bn in the previous fiscal year.The US budget deficit is set to hit a worse-than-expected $368bn (£197bn) this year, officials said on Tuesday.Past Congressional Budget Office (CBO) forecasts said there would be a $348bn shortfall in the 2005 fiscal year.The cost of military operations still needs to be factored in, with analysts saying the deficit could end up a further $100bn in the red.The CBO also forecast a total shortfall of $855bn for the years from 2006 to 2015, an improvement on previous projections.In November, the gap between US exports and imports widened to more than $60bn, a record figure.

Summarize the following article: Minister hits out at Yukos sale Russia's renationalisation of its energy industry needs to be reversed, a senior government figure has warned. Economy minister German Gref told the Kommersant newspaper that direct state involvement in oil was "unjustified". His comments follow the sale of much of oil giant Yukos to cover back taxes - a deal which effectively took most of the firm's assets into public ownership. On 28 December, another senior economic adviser called the sale "the swindle of the century". Yuganskneftegaz, the unit which produced 60% of Yukos' output, had been seized and sold in December for less than $10bn to a previously unknown firm called Baikal. Baikal promptly passed into the hands of state-controlled firm Rosneft, itself shortly to merge with state gas giant Gazprom. "We used to see street hustlers do this kind of thing," Andrei Illarionov - then economic adviser to President Vladimir Putin - told a press conference. "Now officials are doing it." Within days, he was stripped of most of his responsibilities. Mr Gref, a well-known opponent of nationalisation in competitive parts of the market, was keen to distance himself from Mr Iliaronov's comments. The privatisation of companies such as Yukos in the 1990s had been badly handled, he said. But he stressed that the government needed to get out of oil. "I think that Rosneft and Yuganskneftegaz, should it become a state-owned company, must be privatized," he said. "Today our government is ineffective and state companies, as a result, are for the overwhelming part ineffective as well." And he warned that using back taxes to deal with firms like Yukos - a technique now being applied by the Kremlin to several other firms - was a mistake. "If we follow that logic, we should nationalise all businesses," he said. Many large Russian companies, particularly in the energy sector, use complex webs of offshore companies to avoid taxes. Mr Gref also poured cold water on President Putin's promises of doubled economic growth within a decade. The assault on Yukos' assets has been widely blamed for a slowdown in economic growth in recent months. "The task is not simply to double GDP; instead it is to use GDP to qualitatively improve people's lives," Mr Gref told Kommersant. "We don't need simply to increase GDP, but to improve its structure." Instead of focusing on headline growth figures, Russia needed to focus on better institutions, such as a more efficient - and less corrupt - court system.

"The task is not simply to double GDP; instead it is to use GDP to qualitatively improve people's lives," Mr Gref told Kommersant.Economy minister German Gref told the Kommersant newspaper that direct state involvement in oil was "unjustified".And he warned that using back taxes to deal with firms like Yukos - a technique now being applied by the Kremlin to several other firms - was a mistake.The privatisation of companies such as Yukos in the 1990s had been badly handled, he said.Mr Gref also poured cold water on President Putin's promises of doubled economic growth within a decade.His comments follow the sale of much of oil giant Yukos to cover back taxes - a deal which effectively took most of the firm's assets into public ownership.The assault on Yukos' assets has been widely blamed for a slowdown in economic growth in recent months.Yuganskneftegaz, the unit which produced 60% of Yukos' output, had been seized and sold in December for less than $10bn to a previously unknown firm called Baikal.Mr Gref, a well-known opponent of nationalisation in competitive parts of the market, was keen to distance himself from Mr Iliaronov's comments.

Summarize the following article: Venezuela reviews foreign deals Venezuela is to review all foreign investment in its mining industries in an effort to strengthen its indigenous industrial output. President Hugo Chavez has ordered all existing contracts with foreign firms to be examined to see if they provide maximum benefits to the country. The review will cover production of gold, aluminium and iron ore although it excludes the country's oil sector. Chavez has sought to extend the state's role in all sectors of the economy. The left-wing president is conducting a controversial review of land ownership in the country while also seeking to create a state-run telecoms firm to compete with foreign-owned businesses. He has argued that major economic reforms are vital to improve the lives of Venezuela's poorest citizens. Announcing the review of raw material production, minister Victor Alvarez said the government would seek to transfer technology, training capability and content from projects with foreign partners. "We are defending our national sovereignty over the use of our national resources which must serve the endogenous development of the nation," Mr Alvarez said. "For this reason we are reviewing all memorandums of understanding, all letters of intent, all agreements that have been signed, all contracts, to check which of these comply with these directives. "Everything, absolutely everything, has to be reviewed." Venezuela has previously assured foreign companies with operations in the mineral rich country that it respects existing contracts. However, the government insisted that it needed to develop its own industrial infrastructure in order to create new jobs and lessen its reliance on foreign partners. "If we don't do this, we are just going to carry on being slaves, suppliers of raw materials, all our lives and we will never develop our own productive capacity," Mr Alvarez added. Companies from the United States, Canada, France and Switzerland all have substantial investments in Venezuela's mining sector.

Venezuela has previously assured foreign companies with operations in the mineral rich country that it respects existing contracts.President Hugo Chavez has ordered all existing contracts with foreign firms to be examined to see if they provide maximum benefits to the country.Announcing the review of raw material production, minister Victor Alvarez said the government would seek to transfer technology, training capability and content from projects with foreign partners.Venezuela is to review all foreign investment in its mining industries in an effort to strengthen its indigenous industrial output.Chavez has sought to extend the state's role in all sectors of the economy.However, the government insisted that it needed to develop its own industrial infrastructure in order to create new jobs and lessen its reliance on foreign partners.

Summarize the following article: MCI shares climb on takeover bid Shares in US phone company MCI have risen on speculation that it is in takeover talks. The Wall Street Journal reported on Thursday that Qwest has bid $6.3bn (£3.4bn) for MCI. Other firms have also expressed an interest in MCI, the second-largest US long-distance phone firm, and may now table rival bids, analysts said. Shares in MCI, which changed its name from Worldcom when it emerged from bankruptcy, were up 2.4% at $20.15. Press reports suggest that Qwest and MCI may reach an agreement as early as next week, although rival bids may muddy the waters. The largest US telephone company Verizon has previously held preliminary merger discussions with MCI, Reuters quoted sources as saying. Consolidation in the US telecommunications industry has picked up in the past few months as companies look to cut costs and boost client bases. A merger between MCI and Qwest would be the fifth billion-dollar telecoms deal since October. Last week, SBC Communications agreed to buy its former parent and phone trailblazer AT&T for about $16bn. Competition has intensified and fixed-line phone providers such as MCI and AT&T have seen themselves overtaken by rivals. Buying MCI would give Qwest, a local phone service provider, access to MCI's global network and business-based subscribers. MCI also offers internet services. MCI was renamed after it emerged from Chapter 11 bankruptcy protection in April last year. It hit the headlines as Worldcom in 2002 after admitting it illegally booked expenses and inflated profits. The scandal was a key factor in a global slide in share prices and the reverberations are still being felt today. Shareholders lost about $180bn when the company collapsed, while 20,000 workers lost their jobs. Former Worldcom boss Bernie Ebbers is currently on trial, accused of overseeing an $11bn fraud.

Shares in US phone company MCI have risen on speculation that it is in takeover talks.The Wall Street Journal reported on Thursday that Qwest has bid $6.3bn (£3.4bn) for MCI.Shares in MCI, which changed its name from Worldcom when it emerged from bankruptcy, were up 2.4% at $20.15.Competition has intensified and fixed-line phone providers such as MCI and AT&T have seen themselves overtaken by rivals.Buying MCI would give Qwest, a local phone service provider, access to MCI's global network and business-based subscribers.The largest US telephone company Verizon has previously held preliminary merger discussions with MCI, Reuters quoted sources as saying.Other firms have also expressed an interest in MCI, the second-largest US long-distance phone firm, and may now table rival bids, analysts said.

Summarize the following article: Russia WTO talks 'make progress' Talks on Russia's proposed membership of the World Trade Organisation (WTO) have been "making good progress" say those behind the negotiations. But the chairman of the working party, Ambassador Stefan Johannesson of Iceland, warned that there was "still a lot of work has to be done". His comments came as President George W Bush said the US backed Russian entry. But he said for Russia to make progress the government must "renew a commitment to democracy and the rule of law". His comments come three days before he is due to meet President Vladimir Putin. Russia has been waiting for a decade to join the WTO and hopes to finally become a member by early 2006. A decision could be reached in December, when the WTO's 148 current members gather for a summit in Hong Kong. That would allow an earliest date for membership of January 2006, if the Hong Kong summit gave its approval. While pinpointing several areas in which there are difficulties in the bilateral and multilateral work with Russia, the US said the meeting was "much more efficient than we've seen for some time". And Australia said it was "one of the best (meetings) we can recall in terms of substance". Mr Johannesson also said progress "on the bilateral market access side is accelerating". Sticking points to membership have included limits on foreign ownership in the telecommunications and life insurance businesses, as well as issues surrounding counterfeiting, piracy, and data protection. Some WTO members also dislike Russia's energy price subsidies, which competitors say give Russian businesses an unfair advantage.

While pinpointing several areas in which there are difficulties in the bilateral and multilateral work with Russia, the US said the meeting was "much more efficient than we've seen for some time".Mr Johannesson also said progress "on the bilateral market access side is accelerating".His comments came as President George W Bush said the US backed Russian entry.But he said for Russia to make progress the government must "renew a commitment to democracy and the rule of law".Talks on Russia's proposed membership of the World Trade Organisation (WTO) have been "making good progress" say those behind the negotiations.Some WTO members also dislike Russia's energy price subsidies, which competitors say give Russian businesses an unfair advantage.

Summarize the following article: US gives foreign firms extra time Foreign firms have been given an extra year to meet tough new corporate governance regulations imposed by the US stock market watchdog. The Securities and Exchange Commission has extended the deadline to get in line with the rules until 15 July 2006. Many foreign firms had protested that the SEC was imposing an unfair burden. The new rules are the result of the Sarbanes-Oxley Act, part of the US clean-up after corporate scandals such as Enron and Worldcom. Section 404 of the Sox Act, as the legislation is nicknamed, calls for all firms to certify that their financial reporting is in line with US rules. Big US firms already have to meet the requirements, but smaller ones and foreign-based firms which list their shares on US stock markets originally had until the middle of this year. Over the past few months, delegations of European and other business leaders have been heading to the SEC's Washington DC headquarters to protest. They say the burden is too expensive and the timescale too short and some, particularly the UK's CBI, warned that companies would choose to let their US listings drop rather than get in line with section 404. The latest delegation from the CBI met SEC officials on Wednesday, just before the decision to relax the deadline was announced. "I think this signifies a change of heart at the SEC," CBI director-general Sir Digby Jones told the BBC's Today programme. "They have been listening to us and to many overseas companies, who have reminded America what globalisation really means: that they can't make these rules in isolation." The SEC said it had taken into consideration the fact that foreign companies were already working to meet more onerous financial reporting rules in their home countries. The European Union, in particular, was imposing new international financial reporting standards in 2005, it noted. "I don't underestimate the effort (compliance) will require... but this extension will provide additional time for those issuers to take a good hard look at their internal controls," said Donald Nicolaisen, the SEC's chief accountant.

Many foreign firms had protested that the SEC was imposing an unfair burden.The SEC said it had taken into consideration the fact that foreign companies were already working to meet more onerous financial reporting rules in their home countries.Section 404 of the Sox Act, as the legislation is nicknamed, calls for all firms to certify that their financial reporting is in line with US rules.Foreign firms have been given an extra year to meet tough new corporate governance regulations imposed by the US stock market watchdog.Big US firms already have to meet the requirements, but smaller ones and foreign-based firms which list their shares on US stock markets originally had until the middle of this year.The European Union, in particular, was imposing new international financial reporting standards in 2005, it noted.

Summarize the following article: Latin America sees strong growth Latin America's economy grew by 5.5% in 2004, its best performance since 1980, while exports registered their best performance in two decades. The United Nations' Economic Commission for Latin America and the Caribbean said the region grew by 5.5% this year. The Inter-American Development Bank (IADB) said regional exports reached $445.1bn (£227bn;331bn euros) in 2004. Doubts about the strength of the US recovery and overheating of the Chinese economy do however pose risks for 2005. Both organisations also warned that high oil prices raise the risk of either inflation or recession. Nevertheless, the Economic Commission for Latin America and the Caribbean (ECLAC) still forecasts growth of 4% for 2005. Strong recovery in some countries, such as Venezuela and Uruguay, boosted the overall performance of the region. ECLAC also said that the six largest Latin American economies (Argentina, Brazil, Chile, Colombia, Mexico and Venezuela) grew by more than 3% for only the second time in 20 years. Chinese and US economic strength helped boost exports, as did strong demand for agricultural and mining products. In fact, Latin American exports to China grew 34%, to $14bn. Higher oil prices also helped boost exports, as Mexico and Venezuela are important oil exporters. Regional blocs as well as free trade agreements with the US contributed to the region's strong performance, the IADB said.

The United Nations' Economic Commission for Latin America and the Caribbean said the region grew by 5.5% this year.ECLAC also said that the six largest Latin American economies (Argentina, Brazil, Chile, Colombia, Mexico and Venezuela) grew by more than 3% for only the second time in 20 years.Latin America's economy grew by 5.5% in 2004, its best performance since 1980, while exports registered their best performance in two decades.In fact, Latin American exports to China grew 34%, to $14bn.Chinese and US economic strength helped boost exports, as did strong demand for agricultural and mining products.

Summarize the following article: Deutsche Telekom sees mobile gain German telecoms firm Deutsche Telekom saw strong fourth quarter profits on the back of upbeat US mobile earnings and better-than-expected asset sales. Net profit came in at 1.4bn euros (£960m; $1.85bn), a dramatic change from the loss of 364m euros in 2003. Sales rose 2.8% to 14.96bn euros. Sales of stakes in firms including Russia's OAO Mobile Telesystems raised 1.17bn euros. This was more than expected and helped to bring debt down to 35.8bn euros. A year ago, debt was more than 11bn euros higher. T-Mobile USA, the company's American mobile business, made a strong contribution to profits. "It's a seminal achievement that they cut debt so low. That gives them some head room to invest in growth now," said Hannes Wittig, telecoms analyst at Dresdner Kleinwort Wasserstein. The company also said it would resume paying a dividend, after two years in which it focused on cutting debt.

A year ago, debt was more than 11bn euros higher.This was more than expected and helped to bring debt down to 35.8bn euros.Sales rose 2.8% to 14.96bn euros.Sales of stakes in firms including Russia's OAO Mobile Telesystems raised 1.17bn euros.

Summarize the following article: Alfa Romeos 'to get GM engines' Fiat is to stop making six-cylinder petrol engines for its sporty Alfa Romeo subsidiary, unions at the Italian carmaker have said. The unions claim Fiat is to close the Fiat Powertrain plant at Arese near Milan and instead source six-cylinder engines from General Motors. Fiat has yet to comment on the matter, but the unions say the new engines will be made by GM in Australia. The news comes a week after GM pulled out of an agreement to buy Fiat. GM had to pay former partner Fiat 1.55bn euros ($2bn; £1.1bn) to get out of a deal which could have forced it to buy the Italian carmaker outright. Fiat and GM also ended their five-year alliance and two joint ventures in engines and purchasing, but did agree to continue buying each other's engines. "Powertrain told us today that Alfa Romeo engines will no longer be made in Arese," said union leader Vincenzo Lilliu, as reported by the Reuters news agency. "The assembly line will be dismantled and the six-cylinder Alfa Romeo motor will be replaced with an engine GM produces in Australia." Reuters also said that Mr Lilliu and other union bosses shouted insults at Fiat chairman Luca di Montezemolo, following a meeting on Tuesday regarding the future of the Arese plant. The unions said the end of engine production at the facility would mean the loss of 800 jobs. All Alfa Romeo models can be bought with a six-cylinder engine - the 147, 156, 156 Sportwagon, 166, GTV, GT and Spider.

Fiat is to stop making six-cylinder petrol engines for its sporty Alfa Romeo subsidiary, unions at the Italian carmaker have said.The unions claim Fiat is to close the Fiat Powertrain plant at Arese near Milan and instead source six-cylinder engines from General Motors.Fiat has yet to comment on the matter, but the unions say the new engines will be made by GM in Australia."Powertrain told us today that Alfa Romeo engines will no longer be made in Arese," said union leader Vincenzo Lilliu, as reported by the Reuters news agency."The assembly line will be dismantled and the six-cylinder Alfa Romeo motor will be replaced with an engine GM produces in Australia."

Summarize the following article: Share boost for feud-hit Reliance The board of Indian conglomerate Reliance has agreed a share buy-back, to counter the effects of a power struggle in the controlling family. The buy-back is a victory for chairman Mukesh Ambani, whose idea it was. His brother Anil, the vice-chairman, said had not been consulted and that the buy-back was "completely inappropriate and unnecessary". The board hopes the move will reverse a 13% fall in Reliance's shares since the feud became public last month. The company has been fractious since founder Dhirubhai Ambani died in 2002, leaving no will. "Today's round has gone to [Mukesh], there is no doubt about it," said Nanik Rupani, president of the Indian Merchants Chamber, a Bombay-based traders' body. The company plans to buy back 52 million shares at 570 rupees (£6.80; $13) apiece, a premium of more than 10% to its current market price.

The board of Indian conglomerate Reliance has agreed a share buy-back, to counter the effects of a power struggle in the controlling family.The company has been fractious since founder Dhirubhai Ambani died in 2002, leaving no will.The buy-back is a victory for chairman Mukesh Ambani, whose idea it was.

Summarize the following article: Brazil buy boosts Belgium's Inbev Belgian brewing giant Inbev has seen its profits soar thanks to its acquisition of Brazil's biggest beer firm Ambev last year. Inbev, which makes Stella Artois, said pre-tax profits for 2004 rose 56% to 1.16bn euros ($1.5bn; £800m), and said it expected solid growth in 2005. The performance comes on sales up 21% at 8.6bn euros. The firm, formerly Interbrew, became the world's biggest brewer by volume when it bought Ambev in August 2004. The acquisition meant its sales by volume grew 57% in 2004, with four months of Ambev sales accounting for almost all of the increase. US beermaker Anheuser-Busch sells less beer by volume than Inbev but is bigger in terms of the value of its sales. Continuing demand for Inbev's products in the South American markets where its Brazilian arm is most popular means it expects to keep boosting its turnover. "It's the Brazil business that's doing it," said ING analyst Gerard Rijk of Inbev's strong performance. Ambev boosted its share of Brazil's beer market from 62% at the end of 2003 to more than 68% by December 2004, Inbev reported. In contrast, Inbev's European business saw volume sales fall 2.5%, although Central and Eastern European sales rose 12%. Overall, net profits were up 42% to 719m euros.

Belgian brewing giant Inbev has seen its profits soar thanks to its acquisition of Brazil's biggest beer firm Ambev last year.The performance comes on sales up 21% at 8.6bn euros.The acquisition meant its sales by volume grew 57% in 2004, with four months of Ambev sales accounting for almost all of the increase.In contrast, Inbev's European business saw volume sales fall 2.5%, although Central and Eastern European sales rose 12%.Ambev boosted its share of Brazil's beer market from 62% at the end of 2003 to more than 68% by December 2004, Inbev reported.

Summarize the following article: S Korean credit card firm rescued South Korea's largest credit card firm has averted liquidation following a one trillion won ($960m; £499m) bail-out. LG Card had been threatened with collapse because of its huge debts but the firm's creditors and its former parent have stepped in to rescue it. A consortium of creditors and LG Group, a family owned conglomerate, have each put up $480m to stabilise the firm. LG Card has seven million customers and its collapse would have sent shockwaves through the country's economy. The firm's creditors - which own 99% of LG Card - have been trying to agree a deal to secure its future for several weeks. They took control of the company in January when it avoided bankruptcy only through a $4.5bn bail-out. They had threatened to delist the company, a move which would have triggered massive debt redemptions and forced the company into bankruptcy, unless agreement was reached on its future funding. "LG Card will not need any more financial aid after this," Laah Chong-gyu, executive director of Korea Development Bank - one of the firm's creditors - said. The agreement will see some 12 trillion won of debt converted into equity. "The purpose of the capital injection is to avoid delisting and the goal will be met," David Kim, an analyst at Sejong Securities, told Reuters. South Korea's consumer credit market has been slowly recovering from a crisis in 2002 when a credit bubble burst and millions of consumers fell behind on their debt repayments. LG Card returned to profit in September but needed further capital to avoid being thrown off the market. South Korea's stock exchange can delist any firm if its debt exceeds its assets two years running.

LG Card had been threatened with collapse because of its huge debts but the firm's creditors and its former parent have stepped in to rescue it.South Korea's largest credit card firm has averted liquidation following a one trillion won ($960m; £499m) bail-out.The firm's creditors - which own 99% of LG Card - have been trying to agree a deal to secure its future for several weeks.LG Card returned to profit in September but needed further capital to avoid being thrown off the market.LG Card has seven million customers and its collapse would have sent shockwaves through the country's economy."LG Card will not need any more financial aid after this," Laah Chong-gyu, executive director of Korea Development Bank - one of the firm's creditors - said.

Summarize the following article: China's Shanda buys stake in Sina Chinese online game operator Shanda Interactive Entertainment has bought a 20% stake in Sina, the country's biggest internet portal firm. The move may be a precursor to a full takeover, with analysts saying that a better-known international firm may also now show an interest in Sina. Shanda said that it may boost its stake in Sina, even buying it outright. A merger would create a firm that offers online role-playing games, news, entertainment and wireless messaging. Sina said that the purchase of a stake by Shanda would have no impact on its business. The board of directors said in a statement that it would "continue to act in the best interests of all the company stakeholders, including shareholders, employees and customers". Both companies are listed on the New York Stock Exchange's (NYSE) technology-dominated Nasdaq index. In a filing with the US Securities and Exchange Commission, Sina said its shares were purchased between 12 January and 10 February for about $230m. Rumours about a possible takeover boosted Sina's shares by more than 10% on Friday. They added an extra 6.4% to $27.24 in electronic trading after the trading session had finished. And there may be more gains amid bid speculation when trading resumes in New York on Tuesday after Monday's public holiday, analysts forecast. "There could still be some potential parties that could still counter bid," said Wallace Cheung, an analyst at DBS Vickers. "Even though Shanda has 20% of Sina, they still have quite a long way to take full control." However, Mr Cheung noted that a foreign company trying to take control of a Chinese internet portal firm, with its ability to filter and pass on news, may not be viewed very favourably by Beijing.

Shanda said that it may boost its stake in Sina, even buying it outright.Sina said that the purchase of a stake by Shanda would have no impact on its business.The move may be a precursor to a full takeover, with analysts saying that a better-known international firm may also now show an interest in Sina.Chinese online game operator Shanda Interactive Entertainment has bought a 20% stake in Sina, the country's biggest internet portal firm."Even though Shanda has 20% of Sina, they still have quite a long way to take full control."And there may be more gains amid bid speculation when trading resumes in New York on Tuesday after Monday's public holiday, analysts forecast.

Summarize the following article: Jarvis sells Tube stake to Spain Shares in engineering group Jarvis have soared more than 16% on news that it is offloading its stake in London underground consortium Tube Lines. The sale of the 33% stake to Spain's Ferrovial for £146m ($281m) is a lifeline to Jarvis, which was weighed down by debts of more than £230m. The company recently warned it could go under if it did not secure a refinancing deal by mid-January 2005. But now its banks have agreed to extend its credit facilities until March 2006. The company also said it had agreed terms over the completion of 14 of its biggest construction projects under the government's Private Finance Initiative (PFI). Jarvis wants to scale back the division, which has proved too costly and has been blamed for many of its problems. Instead, it plans to focus on UK rail renewal, roads and plant hire work. Madrid-based Ferrovial already holds a 33% stake in Tube Lines, which maintains the Jubilee, Northern and Piccadilly lines. The Spanish group has been keen to snap up more UK infrastructure assets, having bought Amey in 2003. Jarvis said the sale, which raked in more than the £100m analysts had expected, would "substantially" enhance its financial position. "I am now confident that we can now move forward in 2005 towards rebuilding Jarvis and return it to growth as a profitable business," said chief executive Alan Lovell. Shares in Jarvis were up more than 16% to 18 pence by the close of trade on Friday.

Shares in engineering group Jarvis have soared more than 16% on news that it is offloading its stake in London underground consortium Tube Lines.The sale of the 33% stake to Spain's Ferrovial for £146m ($281m) is a lifeline to Jarvis, which was weighed down by debts of more than £230m.Jarvis said the sale, which raked in more than the £100m analysts had expected, would "substantially" enhance its financial position.Shares in Jarvis were up more than 16% to 18 pence by the close of trade on Friday.Jarvis wants to scale back the division, which has proved too costly and has been blamed for many of its problems.

Summarize the following article: Parmalat bank barred from suing Bank of America has been banned from suing Parmalat, the food group which went bust in 2003 after an accounting scandal. The bank - along with investors, auditors and the group's managers - wants damages for being a victim of fraud at the hands of the Italian firm. But a judge has barred Bank of America and two auditors from the case. The bank, and Italaudit - formerly the Italian arm of auditor Grant Thornton - face lawsuits and possible prosecution. A second auditor, Deloitte & Touche, has also been banned from the case. Grant Thornton - now rid of the Italian unit at the centre of the case - is still being permitted to sue, as are Consob, Italy's stock market regulator, hundreds of small investors and Parmalat's new managers. Parmalat collapsed in December 2003 after it emerged that the 4bn euros ($5.2bn; £2.8bn) it supposedly held in a Bank of American offshore account did not in fact exist.

But a judge has barred Bank of America and two auditors from the case.The bank, and Italaudit - formerly the Italian arm of auditor Grant Thornton - face lawsuits and possible prosecution.A second auditor, Deloitte & Touche, has also been banned from the case.

Summarize the following article: Cairn shares slump on oil setback Shares in Cairn Energy, a UK oil firm, have closed down 18% after a disappointing drilling update and a warning over possible tax demands. The company said tests had shown no significant finds in one of its Indian oil fields, but was upbeat about the potential of other areas. It also said the Indian government had told it to pay a production tax, for which Cairn argues it is not liable. Cairn's shares have jumped by almost 400% this year. Investors had piled into Cairn after the company announced significant oil finds in India this year. Chief executive Bill Gammell said on Friday he was "disappointed" with exploration in the so-called N-C extension area in Rajasthan. Investors had held high hopes of major oil finds in this area. But Cairn said estimates had been revised in what was a "significant downgrade of the initial expectation". Cairn also said that the government believed the company was liable to pay taxes under its production-sharing contract. The company said the rate would be about 900 rupees ($20.40; £10.50) per tonne, or seven barrels, of oil. A spokesman for the firm said that the tax would wipe 5% of the field's current value. "Cairn refutes the government's position," Mr Gammell said. He insisted that the contract made it clear that the tax should be shouldered by the licensee - India's state-run Oil & Natural Gas Corp (ONGC) - and not the contractor. "We have a pretty strong legal case here," he added, saying it would only become an issue once the firm started production. Investors took a dim view of the statements though. The shares closed down 247p, or 18%, at 1115 pence. "I think people were slightly over-ambitious for how quickly Cairn would be able to develop and potentially offload these reserves," said analyst Jason Kenney at ING. The disappointments overshadowed increased production targets for Cairn's existing oilfields. The company raised targets for its Mangala and Aishwariya fields in India from 60,000 barrels a day to between 80,000 and 100,000 barrels a day. Its Mangala field, thought to contain a billion barrels, is its biggest find to date. "These two fields will provide the core of the future developments in Rajasthan," Mr Gammell said. Cairn added that it would be appraising another field early next year. Mr Gammell set up the company in the 1980s and has successfully switched its focus to South Asia from interests in the US and Europe. Cairn, which also operates in Nepal and Bangladesh, was catapulted into the FTSE 100 index of leading UK shares earlier this year after the sharp rise in its share price.

Cairn also said that the government believed the company was liable to pay taxes under its production-sharing contract.Investors had piled into Cairn after the company announced significant oil finds in India this year.It also said the Indian government had told it to pay a production tax, for which Cairn argues it is not liable.The company said tests had shown no significant finds in one of its Indian oil fields, but was upbeat about the potential of other areas."Cairn refutes the government's position," Mr Gammell said.The company said the rate would be about 900 rupees ($20.40; £10.50) per tonne, or seven barrels, of oil.But Cairn said estimates had been revised in what was a "significant downgrade of the initial expectation".Cairn added that it would be appraising another field early next year.A spokesman for the firm said that the tax would wipe 5% of the field's current value.Cairn, which also operates in Nepal and Bangladesh, was catapulted into the FTSE 100 index of leading UK shares earlier this year after the sharp rise in its share price.

Summarize the following article: Beer giant swallows Russian firm Brewing giant Inbev has agreed to buy Alfa-Eco's stake in Sun Interbrew, Russia's second-largest brewer, for up to 259.7m euros ($353.3m; £183.75m). Alfa-Eco, the venture capital arm of Russian conglomerate Alfa Group, has a one-fifth stake in Sun Interbrew. The deal gives Inbev, the world's biggest beermaker, near-total control over the Russian brewer. Inbev bought out another partner in August 2004. Inbev brands include Bass, Stella Artois, Hoegaarden and Staropramen. It employs 77,000 people, running operations in over 30 countries across the Americas, Europe and Asia Pacific. The Leuven-based brewery said it would own 97.3% of the voting shares and 98.8% of the non-voting shares of Sun Interbrew. The deal is expected to be completed in the first quarter of 2005. Inbev was formed in August 2004 when Belgium's Interbrew bought Brazilian brewer Ambev. Sun Interbrew, which employs 8,000 staff, owns breweries in eight Russian cities - Klin, Ivanovo, Saransk, Kursk, Volzhsky, Omsk, Perm and Novocheboksarsk. There are also three breweries in Ukraine, in the cities of Chernigov, Nikolaev and Kharkov.

Inbev was formed in August 2004 when Belgium's Interbrew bought Brazilian brewer Ambev.Brewing giant Inbev has agreed to buy Alfa-Eco's stake in Sun Interbrew, Russia's second-largest brewer, for up to 259.7m euros ($353.3m; £183.75m).Sun Interbrew, which employs 8,000 staff, owns breweries in eight Russian cities - Klin, Ivanovo, Saransk, Kursk, Volzhsky, Omsk, Perm and Novocheboksarsk.The deal gives Inbev, the world's biggest beermaker, near-total control over the Russian brewer.Alfa-Eco, the venture capital arm of Russian conglomerate Alfa Group, has a one-fifth stake in Sun Interbrew.

Summarize the following article: Troubled Marsh under SEC scrutiny The US stock market regulator is investigating troubled insurance broker Marsh & McLennan's shareholder transactions, the firm has said. The Securities and Exchange Commission has asked for information about transactions involving holders of 5% or more of the firm's shares. Marsh has said it is co-operating fully with the SEC investigation. Marsh is also the focus of an inquiry the New York attorney-general into whether insurers rigged the market. Since that inquiry was launched in October, Marsh has replaced its chief executive and held a boardroom shake-out to meet criticism by lessening the number of company executives on the board. Prosecutors allege that Marsh - the world's biggest insurance broker - and other US insurance firms may have fixed bids for corporate cover. This is the issue at the heart of the inquiry by New York's top law officer, Eliot Spitzer, and a separate prosecution of five insurers by the State of California. The SEC's investigation into so-called related party transactions includes dealings in the Trident Funds, managed by MMC Capital, the company's private equity firm. Marsh's new chief executive, Michael Cherkasky, is trying to negotiate a settlement with Mr Spitzer. Mr Spitzer has built up a reputation as a fierce critic and campaigner against corporate America's misdeeds. The uncertainty unleashed by the scandal has prompted three credit rating agencies - Standard & Poor's, Moody's and Fitch - to downgrade Marsh in recent weeks. According to the Financial Times, insurance analysts are now questioning whether Marsh will be able to maintain its strong record of earning growth as they draw up forecasts for the first quarter of next year. Doubts also exist over how much the company may have to pay regulators and lawyers to put the scandal behind.

The US stock market regulator is investigating troubled insurance broker Marsh & McLennan's shareholder transactions, the firm has said.Marsh has said it is co-operating fully with the SEC investigation.Marsh is also the focus of an inquiry the New York attorney-general into whether insurers rigged the market.Since that inquiry was launched in October, Marsh has replaced its chief executive and held a boardroom shake-out to meet criticism by lessening the number of company executives on the board.Prosecutors allege that Marsh - the world's biggest insurance broker - and other US insurance firms may have fixed bids for corporate cover.The uncertainty unleashed by the scandal has prompted three credit rating agencies - Standard & Poor's, Moody's and Fitch - to downgrade Marsh in recent weeks.

Summarize the following article: Bad weather hits Nestle sales A combination of bad weather, rising raw material costs and the sluggish European economy has hit sales at Swiss food and drink giant Nestle. Revenue dipped 1.4% to 86.7bn Swiss francs ($74.6bn; £39.1bn) in 2004 as sales of ice cream and mineral water were dampened by the wet summer. However, Nestle's profits margins were helped by a strong performance in the Americas and China. Nestle is to raise its dividend by 11% after paying back some of its debt. Nestle said that the strength of the Swiss franc against the US dollar, the disposal of businesses and challenging trading conditions in Europe all dented sales. A poor summer across the continent - in contrast to the prolonged heat wave in 2003 - "severely affected" demand for ice cream. Sales of bottled water also fell, although chocolate, coffee, frozen goods and petcare products performed better. Elsewhere, Nestle said it had enjoyed an "exceptional" year in North America, outperforming the market in terms of sales growth. Nestle added that it had performed strongly in Africa and Asia despite the impact of high oil prices and political instability. Nestle's total earnings before interest remained broadly flat over the past year, despite the company managing to boost profit margins. As well as increasing its dividend, Nestle plans to buy back shares worth 1bn Swiss francs ($861m; £451m). Looking forward, Nestle forecasts organic earnings growth of about 5% in 2005, although it warned that trading would remain just as competitive. Uncertainty remains over the future of Perrier, the iconic French mineral water owned by Nestle. Perrier has been locked in a long-standing dispute with unions about productivity levels at the business, which has lead Nestle to consider selling the firm. "The option of selling is Perrier is still on the table," chief executive Peter Brabeck-Letmathe confirmed on Thursday.

As well as increasing its dividend, Nestle plans to buy back shares worth 1bn Swiss francs ($861m; £451m).Nestle said that the strength of the Swiss franc against the US dollar, the disposal of businesses and challenging trading conditions in Europe all dented sales.Uncertainty remains over the future of Perrier, the iconic French mineral water owned by Nestle.Nestle is to raise its dividend by 11% after paying back some of its debt.Revenue dipped 1.4% to 86.7bn Swiss francs ($74.6bn; £39.1bn) in 2004 as sales of ice cream and mineral water were dampened by the wet summer.Elsewhere, Nestle said it had enjoyed an "exceptional" year in North America, outperforming the market in terms of sales growth.

Summarize the following article: US economy still growing says Fed Most areas of the US saw their economy continue to expand in December and early January, the US Federal Reserve said in its latest Beige Book report. Of the 12 US regions it identifies for the study, 11 showed stronger economic growth, with only the Cleveland area falling behind with a "mixed" rating. Consumer spending was higher in December than November, and festive sales were also up on 2003. The employment picture also improved, the Fed said. "Labour markets firmed in a number of districts, but wage pressures generally remained modest," the Beige Book said. "Several districts reported higher prices for building materials and manufacturing inputs, but most reported steady or only slightly higher overall price levels." The report added that residential real estate activity remained strong and that commercial real estate activity strengthened in most districts. "Office leasing was especially brisk in Washington DC, and New York City, two of the nation's strongest commercial markets," the Fed said.

Most areas of the US saw their economy continue to expand in December and early January, the US Federal Reserve said in its latest Beige Book report.The employment picture also improved, the Fed said."Labour markets firmed in a number of districts, but wage pressures generally remained modest," the Beige Book said.Consumer spending was higher in December than November, and festive sales were also up on 2003.

Summarize the following article: Mystery surrounds new Yukos owner The fate of Russia's Yuganskneftegas - the oil firm sold to a little-known buyer on Sunday - is the subject of frantic speculation in Moscow. Baikal Finance Group emerged as the auction winner, agreeing to pay 260.75bn roubles (£4.8bn; $9.4bn). Russia's newspapers claimed that Baikal was a front for gas monopoly Gazprom, which had been expected to win. The sale has destroyed Yukos, once the owner of Yuganskneftegas, said founder Mikhail Khodorkovsky. "Yuganskneftegas has been sold in the best traditions of the 90s. The authorities have made themselves a wonderful Christmas present - Russia's most efficient oil company has been destroyed," the Interfax news agency quoted Mr Khodorkovsky as saying via his lawyers. Gazprom had been expected to win the auction but is thought to have failed to get finance for the deal after a US court injunction barred it from taking part. Last week, Yukos filed for Chapter 11 bankruptcy protection in the US in a last-ditch attempt to hang on to Yuganskneftegas, which accounts for 60% of its output. A US judge banned Gazprom from taking part in the auction and barred international banks from providing the firm with cash. "They screwed up the financing," said Ronald Smith, an analyst at Renaissance Capital in Moscow. "And Gazprom doesn't have this sort of money lying around." Gazprom has denied that it is behind the purchase. "It is a front for somebody but not necessarily for Gazprom," said Oleg Maximov, an analyst at Troika Dialog in Moscow. "We don't know if this company is linked 100% to Gazprom. "We tried to find it, but we couldn't and as far as I know, the papers had the same result." The sale has however bought time for Gazprom to raise the money needed for the purchase, analysts said. One scenario is that Baikal will not pay when it is supposed to in two weeks time, putting Yuganskneftegas back in the hands of bailiffs and back within the reach of Gazprom. Yukos is not planning on letting go of its unit without a fight and has threatened legal action against any buyer. Menatep, Yukos main shareholders' group, has also threatened legal action. Yukos claims that it is being punished for the political ambitions of its founder, Mikhail Khodorkovsky, who is now in jail facing separate fraud charges. It has been hit with more than $27bn in taxes and fines and many observers now say that the break up of the firm that accounts for 20% of Russia's oil output is inevitable.

The sale has however bought time for Gazprom to raise the money needed for the purchase, analysts said.The sale has destroyed Yukos, once the owner of Yuganskneftegas, said founder Mikhail Khodorkovsky.Gazprom has denied that it is behind the purchase."It is a front for somebody but not necessarily for Gazprom," said Oleg Maximov, an analyst at Troika Dialog in Moscow."We don't know if this company is linked 100% to Gazprom."Yuganskneftegas has been sold in the best traditions of the 90s.Russia's newspapers claimed that Baikal was a front for gas monopoly Gazprom, which had been expected to win.Gazprom had been expected to win the auction but is thought to have failed to get finance for the deal after a US court injunction barred it from taking part.It has been hit with more than $27bn in taxes and fines and many observers now say that the break up of the firm that accounts for 20% of Russia's oil output is inevitable.

Summarize the following article: Japanese mogul arrested for fraud One of Japan's best-known businessmen was arrested on Thursday on charges of falsifying shareholder information and selling shares based on the false data. Yoshiaki Tsutsumi was once ranked as the world's richest man and ran a business spanning hotels, railways, construction and a baseball team. His is the latest in a series of arrests of top executives in Japan over business scandals. He was taken away in a van outside one of his Prince hotels in Tokyo. There was a time when Mr Tsutsumi seemed untouchable. Inheriting a large property business from his father in the 1960s, he became one of Japan's most powerful industrialists, with close connections to many of the country's leading politicians. He used his wealth and influence to bring the Winter Olympic Games to Nagano in 1998. But last year, he was forced to resign from all the posts he held in his business empire, after being accused of falsifying the share-ownership structure of Seibu Railways, one of his companies. Under Japanese stock market rules, no listed company can be more than 80% owned by its 10 largest shareholders. Now Mr Tsutsumi faces criminal charges and the possibility of a prison sentence because he made it look as if the 10 biggest shareholders owned less than this amount. Seibu Railways has been delisted from the stock exchange, its share value has plunged and it is the target of a takeover bid. Mr Tsutsumi's fall from grace follows the arrests of several other top executives in Japan as the authorities try to curb the murky business practices which were once widespread in Japanese companies. His determination to stay at the top at all costs may have had its roots in his childhood. The illegitimate third son of a rich father, who made his money buying up property as Japan rebuilt after World War II, he has described the demands his father made. "I felt enormous pressure when I dined with him and it was nothing but pain," Tsutsumi told a weekly magazine in 1987. "He scolded me for pouring too much soy sauce or told me fruit was not for children. He didn't let me use the silk futon, saying it's a luxury." There have been corporate governance issues at some other Japanese companies too. Last year, twelve managers from Mitsubishi Motors were charged with covering up safety defects in their vehicles and three executives from Japan's troubled UFJ bank were charged with concealing the extent of the bank's bad loans.

But last year, he was forced to resign from all the posts he held in his business empire, after being accused of falsifying the share-ownership structure of Seibu Railways, one of his companies.Mr Tsutsumi's fall from grace follows the arrests of several other top executives in Japan as the authorities try to curb the murky business practices which were once widespread in Japanese companies.There was a time when Mr Tsutsumi seemed untouchable.Yoshiaki Tsutsumi was once ranked as the world's richest man and ran a business spanning hotels, railways, construction and a baseball team.His is the latest in a series of arrests of top executives in Japan over business scandals.One of Japan's best-known businessmen was arrested on Thursday on charges of falsifying shareholder information and selling shares based on the false data."I felt enormous pressure when I dined with him and it was nothing but pain," Tsutsumi told a weekly magazine in 1987.He was taken away in a van outside one of his Prince hotels in Tokyo.

Summarize the following article: Low-cost airlines hit Eurotunnel Channel Tunnel operator Eurotunnel has seen sales fall in the face of the upsurge in European low-cost airlines. The firm said sales were down 4% in 2004 to 789m euros ($1.03bn; £548m). "The impact of the development of no-frills airlines is being felt ever more strongly," said chief executive Jean-Louis Raymond. Income from its vehicle-carrying shuttle services fell 7%, although 15% more passengers meant a 2% rise in railway revenue. The cross-Channel truck market is improving, Eurotunnel said, but warned that it was not benefiting since much of the traffic was in containers destined for ports. The passenger-only trains which use the tunnel are run by a separate company, Eurostar. Eurotunnel is still struggling with debts of more than 6bn euros. The company is currently kept afloat by the 200-plus banks to whom it owes the money. A shareholder revolt threw out the old board in 2004. But the BBC's business editor, Jeff Randall, said the banks could yet step in and take over altogether. "At the moment it can't even service the interest on its debt," he said. "This is a company in the departure lounge of life."

The firm said sales were down 4% in 2004 to 789m euros ($1.03bn; £548m)."At the moment it can't even service the interest on its debt," he said.Eurotunnel is still struggling with debts of more than 6bn euros.But the BBC's business editor, Jeff Randall, said the banks could yet step in and take over altogether.The cross-Channel truck market is improving, Eurotunnel said, but warned that it was not benefiting since much of the traffic was in containers destined for ports.

Summarize the following article: Budget Aston takes on Porsche British car maker Aston Martin has gone head-to-head with Porsche's 911 sports cars with the launch of its cheapest model yet. With a price tag under £80,000, the V8 Vantage is tens of thousands of pounds cheaper than existing Aston models. The Vantage is "the most important car in the history of our company", said Aston's chief executive Ulrich Bez. Aston - whose cars were famously used by James Bond - will unveil the Vantage at the Geneva Motor Show on Thursday. Mr Bez - himself a former executive at rival Porsche - said the new car was the company's "most affordable car ever and makes the brand accessible". This in turn would make Aston Martin "globally visible, but still very, very exclusive", he added. First shown as a concept car at the 2003 North American International Auto Show in Detroit, the V8 Vantage will be available in the UK in late summer. Development costs for the Vantage have been kept low by sharing a platform with Aston's DB9, which Mr Bez described as "the previous most important car for our company". There is currently an 18 months waiting list for the DB9, Mr Bez said. The Vantage will be built at the new Aston factory in Gaydon, near Warwick, and should more than double Aston's total output from about 2,000 presently.

The Vantage is "the most important car in the history of our company", said Aston's chief executive Ulrich Bez.Development costs for the Vantage have been kept low by sharing a platform with Aston's DB9, which Mr Bez described as "the previous most important car for our company".Mr Bez - himself a former executive at rival Porsche - said the new car was the company's "most affordable car ever and makes the brand accessible".Aston - whose cars were famously used by James Bond - will unveil the Vantage at the Geneva Motor Show on Thursday.

Summarize the following article: Trade gap narrows as exports rise The UK's trade gap narrowed in November, helped by a 7.5% rise in exports outside the European Union. According to the Office for National Statistics, the difference between what the UK exported and imported was £3.1bn ($5.8bn), down from October's £3.6bn. Overall UK exports - including both goods and services - rose by more than 3.2% to £24.8bn, although total imports rose again to a new record of £27.9bn. The deficit for goods alone was £4.6bn, down from October's £5bn. During November the UK exported £16.9bn worth of goods, but imported £21.5bn. The cumulative deficit for the first eleven months of 2004 now stands at £36.3bn, £4.5bn higher than the same period in 2003. November saw an improvement in export levels to both the European Union and the rest of the world, the Office for National Statistics (ONS) said. EU exports rose 2%, fuelled by an increase in sales of chemicals. Non-EU exports shot up 7.5%, with growth seen across a range of manufacturing sectors including cars, consumer durables and chemicals. The export boost offset a 1% rise in imports. Non-EU imports rose 3%, but the growth in goods entering the UK from the EU slowed to 0.5%. The UK's deficit with the EU fell to £1.9bn from £2.1bn, while its non-EU shortfall dropped to £2.7bn from £2.9bn in October. The country's surplus on trade-in-services remained steady at £1.5bn for the fifth month in a row. Paul Dales, UK economist for Capital Economics, said the figures represented an improvement on recent months. However, he stressed that the long-term prognosis for exports was still uncertain. "The figures are a lot better than expected but the trend still remains poor," he said. "There have been some very encouraging signs that the UK export recovery is starting to take hold. But there is a danger that this could be held back by the ongoing weakness of domestic demand on the continent."

Overall UK exports - including both goods and services - rose by more than 3.2% to £24.8bn, although total imports rose again to a new record of £27.9bn.According to the Office for National Statistics, the difference between what the UK exported and imported was £3.1bn ($5.8bn), down from October's £3.6bn.The UK's deficit with the EU fell to £1.9bn from £2.1bn, while its non-EU shortfall dropped to £2.7bn from £2.9bn in October.During November the UK exported £16.9bn worth of goods, but imported £21.5bn.The deficit for goods alone was £4.6bn, down from October's £5bn.The cumulative deficit for the first eleven months of 2004 now stands at £36.3bn, £4.5bn higher than the same period in 2003.November saw an improvement in export levels to both the European Union and the rest of the world, the Office for National Statistics (ONS) said.EU exports rose 2%, fuelled by an increase in sales of chemicals.

Summarize the following article: Ad sales boost Time Warner profit Quarterly profits at US media giant TimeWarner jumped 76% to $1.13bn (£600m) for the three months to December, from $639m year-earlier. The firm, which is now one of the biggest investors in Google, benefited from sales of high-speed internet connections and higher advert sales. TimeWarner said fourth quarter sales rose 2% to $11.1bn from $10.9bn. Its profits were buoyed by one-off gains which offset a profit dip at Warner Bros, and less users for AOL. Time Warner said on Friday that it now owns 8% of search-engine Google. But its own internet business, AOL, had has mixed fortunes. It lost 464,000 subscribers in the fourth quarter profits were lower than in the preceding three quarters. However, the company said AOL's underlying profit before exceptional items rose 8% on the back of stronger internet advertising revenues. It hopes to increase subscribers by offering the online service free to TimeWarner internet customers and will try to sign up AOL's existing customers for high-speed broadband. TimeWarner also has to restate 2000 and 2003 results following a probe by the US Securities Exchange Commission (SEC), which is close to concluding. Time Warner's fourth quarter profits were slightly better than analysts' expectations. But its film division saw profits slump 27% to $284m, helped by box-office flops Alexander and Catwoman, a sharp contrast to year-earlier, when the third and final film in the Lord of the Rings trilogy boosted results. For the full-year, TimeWarner posted a profit of $3.36bn, up 27% from its 2003 performance, while revenues grew 6.4% to $42.09bn. "Our financial performance was strong, meeting or exceeding all of our full-year objectives and greatly enhancing our flexibility," chairman and chief executive Richard Parsons said. For 2005, TimeWarner is projecting operating earnings growth of around 5%, and also expects higher revenue and wider profit margins. TimeWarner is to restate its accounts as part of efforts to resolve an inquiry into AOL by US market regulators. It has already offered to pay $300m to settle charges, in a deal that is under review by the SEC. The company said it was unable to estimate the amount it needed to set aside for legal reserves, which it previously set at $500m. It intends to adjust the way it accounts for a deal with German music publisher Bertelsmann's purchase of a stake in AOL Europe, which it had reported as advertising revenue. It will now book the sale of its stake in AOL Europe as a loss on the value of that stake.

TimeWarner said fourth quarter sales rose 2% to $11.1bn from $10.9bn.For the full-year, TimeWarner posted a profit of $3.36bn, up 27% from its 2003 performance, while revenues grew 6.4% to $42.09bn.Quarterly profits at US media giant TimeWarner jumped 76% to $1.13bn (£600m) for the three months to December, from $639m year-earlier.However, the company said AOL's underlying profit before exceptional items rose 8% on the back of stronger internet advertising revenues.Its profits were buoyed by one-off gains which offset a profit dip at Warner Bros, and less users for AOL.For 2005, TimeWarner is projecting operating earnings growth of around 5%, and also expects higher revenue and wider profit margins.It lost 464,000 subscribers in the fourth quarter profits were lower than in the preceding three quarters.Time Warner's fourth quarter profits were slightly better than analysts' expectations.

Summarize the following article: Fannie Mae 'should restate books' US mortgage company Fannie Mae should restate its earnings, a move that is likely to put a billion-dollar dent in its accounts, watchdogs have said. The Securities & Exchange Commission accused Fannie Mae of using techniques that "did not comply in material respects" with accounting standards. Fannie Mae last month warned that some records were incorrect. The other main US mortgage firm Freddie Mac restated earnings by $5bn (£2.6bn) last year after a probe of its books. The SEC's comments are likely to increase pressure on Congress to strengthen supervision of Fannie Mae and Freddie Mac. The two firms are key parts of the US financial system and effectively underwrite the mortgage market, financing nearly half of all American house purchases and dealing actively in bonds and other financial instruments. The investigation of Freddie Mac in June 2003 sparked concerns about the wider health of the industry and raised questionsmarks over the role of the Office of Federal Housing Enterprise Oversight (OFHEO), the industry's main regulator. Having been pricked into action, the OFHEO turned its attention to Fannie May and in September this year said that the firm had tweaked its books to spread earnings more smoothly across quarters and play down the amount of risk it had taken on. The SEC found similar problems. The watchdog's chief accountant Donald Nicolaisen said that "Fannie Mae's methodology of assessing, measuring and documenting hedge ineffectiveness was inadequate and was not supported" by generally accepted accounting principles.

US mortgage company Fannie Mae should restate its earnings, a move that is likely to put a billion-dollar dent in its accounts, watchdogs have said.The SEC's comments are likely to increase pressure on Congress to strengthen supervision of Fannie Mae and Freddie Mac.The other main US mortgage firm Freddie Mac restated earnings by $5bn (£2.6bn) last year after a probe of its books.Fannie Mae last month warned that some records were incorrect.

Summarize the following article: Dollar drops on reserves concerns The US dollar has dropped against major currencies on concerns that central banks may cut the amount of dollars they hold in their foreign reserves. Comments by South Korea's central bank at the end of last week have sparked the recent round of dollar declines. South Korea, which has about $200bn in foreign reserves, said it plans instead to boost holdings of currencies such as the Australian and Canadian dollar. Analysts reckon that other nations may follow suit and now ditch the dollar. At 1300 GMT, the euro was up 0.9% on the day at 1.3187 euros per US dollar. The British pound had added 0.5% to break through the $1.90 level, while the dollar had fallen by 1.3% against the Japanese yen to trade at 104.16 yen. At the start of the year, the US currency, which had lost 7% against the euro in the final three months of 2004 and had fallen to record lows, staged something of a recovery. Analysts, however, pointed to the dollar's inability recently to extend that rally despite positive economic and corporate data, and highlighted the fact that many of the US's economic problems had not disappeared. The focus once again has been on the country's massive trade and budget deficits, with predictions of more dollar weakness to come. "The comments from Korea came at a time when sentiment towards the dollar was already softening," said Ian Gunner, a trader at Mellon Financial. On Tuesday, traders in Asia said that both South Korea and Taiwan had withdrawn their bids to buy dollars at the start of the session. Mansoor Mohi-Uddin, chief currency strategist at UBS, said that there was a sentiment in the market that "central banks from Asia and the Middle East are buying euros". A report last month already showed that the dollar was losing its allure as a currency that offered rock-steady returns and stability. Compiled by Central Banking Publications and sponsored by the UK's Royal Bank of Scotland, the survey found 39 nations out of 65 questioned were increasing their euro holdings, with 29 cutting back on the US dollar.

The US dollar has dropped against major currencies on concerns that central banks may cut the amount of dollars they hold in their foreign reserves.South Korea, which has about $200bn in foreign reserves, said it plans instead to boost holdings of currencies such as the Australian and Canadian dollar.At 1300 GMT, the euro was up 0.9% on the day at 1.3187 euros per US dollar.On Tuesday, traders in Asia said that both South Korea and Taiwan had withdrawn their bids to buy dollars at the start of the session.A report last month already showed that the dollar was losing its allure as a currency that offered rock-steady returns and stability.Compiled by Central Banking Publications and sponsored by the UK's Royal Bank of Scotland, the survey found 39 nations out of 65 questioned were increasing their euro holdings, with 29 cutting back on the US dollar.

Summarize the following article: US bank in $515m SEC settlement Five Bank of America subsidiaries have agreed to pay a total of $515m (£277m) to settle an investigation into fraudulent trading share practices. The US Securities and Exchange Commission announced the settlements, the latest in an industry-wide clean-up of US mutual funds. The SEC also said it had brought fraud charges against two ex-senior executives of Columbia Distributor. Columbia Distributor was part of FleetBoston, bought by BOA last year. Three other ex-Columbia executives agreed settlements with the SEC. The SEC has set itself the task of stamping out the mutual funds' use of market-timing, a form of quick-fire, short-term share trading that harms the interests of small investors, with whom mutual funds are particularly popular. In the last two years, it has imposed penalties totalling nearly $2bn on 15 funds. The SEC unveiled two separate settlements, one covering BOA's direct subsidiaries, and another for businesses that were part of FleetBoston at the time. In both cases, it said there had been secret deals to engage in market timing in mutual fund shares. The SEC agreed a deal totalling $375m with Banc of America Capital Management, BACAP Distributors and Banc of America Securities. It was made up of $250m to pay back gains from market timing, and $125m in penalties. It is to be paid to the damaged funds and their shareholders. Separately, the SEC said it had reached a $140m deal - equally split between penalties and compensation - in its probe into Columbia Management Advisors (CAM) and Columbia Funds Distributor (CFD) and three ex-Columbia executives. These businesses became part of BOA when it snapped up rival bank FleetBoston in a $47bn merger last March. The SEC filed civil fraud charges in a Boston Federal court against James Tambone, who it says headed CFD's sales operations, and his alleged second in command Robert Hussey. The SEC is pressing for the highest tier of financial penalties against the pair for "multiple violations", repayment of any personal gains, and an injunction to prevent future breaches, a spokeswoman for the SEC's Boston office told the BBC. There was no immediate comment from the men's' lawyers. The SEC's settlement with CAM and CFD included agreements with three other ex-managers, Peter Martin, Erik Gustafson and Joseph Palombo, who paid personal financial penalties of between $50-100,000.

Separately, the SEC said it had reached a $140m deal - equally split between penalties and compensation - in its probe into Columbia Management Advisors (CAM) and Columbia Funds Distributor (CFD) and three ex-Columbia executives.The SEC also said it had brought fraud charges against two ex-senior executives of Columbia Distributor.Columbia Distributor was part of FleetBoston, bought by BOA last year.Three other ex-Columbia executives agreed settlements with the SEC.The SEC has set itself the task of stamping out the mutual funds' use of market-timing, a form of quick-fire, short-term share trading that harms the interests of small investors, with whom mutual funds are particularly popular.The SEC unveiled two separate settlements, one covering BOA's direct subsidiaries, and another for businesses that were part of FleetBoston at the time.The SEC agreed a deal totalling $375m with Banc of America Capital Management, BACAP Distributors and Banc of America Securities.In both cases, it said there had been secret deals to engage in market timing in mutual fund shares.

Summarize the following article: Further rise in UK jobless total The UK's jobless total rose for the second month in a row in December, official figures show. The number of people out of work rose 32,000 to 1.41 million in the last three months of 2004, even as 90,000 more people were in employment. Average earnings rose by 4.3% in the year to December up from November's 4.2%, the Office for National Statistics (ONS) added. Meanwhile, the benefit claimant total fell 11,000 to 813,200 last month. Throughout 2004, the number of people in work increased by 296,000 to 28.52 million - the highest figure since records began in 1971. The apparent discrepancy between rising unemployment and record numbers in work can be explained by an increase in the working population and a fall in those who are economically inactive. While the UK's jobless rate rose to 4.7% from 4.6% in the previous quarter, the rate still remains one of the lowest in the world, compared with 12.1% in Germany, 10.4% in Spain and 9.7% in France. But, despite more people being in work, the manufacturing sector continued to suffer, with 104,000 workers axed during the last quarter of 2004 - pushing employment in the sector to a record low of 3.24 million by the end of last year. The figures prompted some analysts to forecast that the Bank of England will almost certainly raise rates this year. Marc Ostwald, a strategist at Monument Securities told Reuters that while no immediate market impact could be expected, "it is enough to underline that they (the BoE) will be more hawkish on rates".

The number of people out of work rose 32,000 to 1.41 million in the last three months of 2004, even as 90,000 more people were in employment.Throughout 2004, the number of people in work increased by 296,000 to 28.52 million - the highest figure since records began in 1971.But, despite more people being in work, the manufacturing sector continued to suffer, with 104,000 workers axed during the last quarter of 2004 - pushing employment in the sector to a record low of 3.24 million by the end of last year.The UK's jobless total rose for the second month in a row in December, official figures show.

Summarize the following article: UK bank seals South Korean deal UK-based bank Standard Chartered said it would spend $3.3bn (£1.8bn) to buy one of South Korea's main retail banks. Standard Chartered said acquiring Korea First Bank (KFB) fulfilled a strategic objective of building a bigger presence in Asia's third largest economy. Its shares fell nearly 3% in London as the bank raised funds for the deal by selling new stocks worth £1bn ($1.8bn), equal to 10% of its share capital. Standard Chartered expects about 16% of future group revenue to come from KFB. The South Korean bank will also make up 22% of the group's total assets. The move, a year after Citigroup beat Standard Chartered to buy Koram bank, would be the South Korean financial sector's biggest foreign takeover. This time around, Standard Chartered is thought to have beaten HSBC to the deal. KFB is South Korea's seventh largest bank, with 3 million retail customers, 6% of the country's banking market and an extensive branch network. The country's banking market is three times the size of Hong Kong's with annual revenues of $44bn. Standard Chartered has its headquarters in London but does two thirds of its business in Asia, and much of the rest in Africa. "We're comfortable with the price paid...the key here has been speed and decisiveness in making sure that we won," said Standard Chartered chief executive Mervyn Davies at a London press conference. Standard Chartered said KFB was a "well-managed, conservatively run bank with a highly skilled workforce" and represented a "significant acquisition in a growth market". In London, Standard Chartered's sale of 118 million new shares to institutional investors pushed its share price down, and contributing to the FTSE 100's 0.3% decline. Standard Chartered's shares were 28 pence lower at 925p by midday. Some analysts also queried whether Standard Chartered had overpaid for KFB. The deal, which requires regulatory approval, is expected to be completed by April 2005 and to be earnings accretive in 2006, Standard Chartered said. Rival banking giant HSBC, which is based in London and Hong Kong, was also in the running. Standard Chartered is believed to have gained the initiative by putting together a bid during the Christmas break. "They were able to move so quickly it caught HSBC by surprise," the Financial Times newspaper quoted an insider in the talks as saying. HSBC will now have to wait for the next South Korean bank in line to be sold off - thought likely to be Korea Exchange Bank, also currently in the hands of a US group. Standard Chartered said it was buying 100% of KFB, an agreement that would bring an end to the bank's complex dual ownership. The South Korean government owns 51.4% of KFB, while the remaining shareholding, and operational control, are in the hands of US private equity group Newbridge Capital. Newbridge bought its stake during the government's nationalisation of several banks in the wake of the 1997 Asia-wide currency crisis which crippled South Korea's financial institutions. South Korea's economy is expected to grow by 4.5% this year. Although often thought of an export-driven economy, South Korea's service sector has overtaken manufacturing in the last decade or so. Services now make up roughly 40% of the economy, and consumer spending and retail banking have become increasingly important. In the aftermath of the Asian financial crisis, the government encouraged the growth of consumer credit. Bad loan problems followed; LG Card, the country's biggest credit card provider, has been struggling to avoid bankruptcy for months, for instance. But analysts believe South Korea's financial services industry is still in its infancy, offering plenty of scope for new products. Standard Chartered sees "the opportunity to create value by the introduction of more sophisticated banking products". Since 1999, KFB has been restructured from a wholesale bank into a retail bank focused on mortgage lending, which makes up 45% of its loans.

UK-based bank Standard Chartered said it would spend $3.3bn (£1.8bn) to buy one of South Korea's main retail banks.The move, a year after Citigroup beat Standard Chartered to buy Koram bank, would be the South Korean financial sector's biggest foreign takeover.Standard Chartered said KFB was a "well-managed, conservatively run bank with a highly skilled workforce" and represented a "significant acquisition in a growth market".Some analysts also queried whether Standard Chartered had overpaid for KFB.Standard Chartered said acquiring Korea First Bank (KFB) fulfilled a strategic objective of building a bigger presence in Asia's third largest economy.Standard Chartered expects about 16% of future group revenue to come from KFB.This time around, Standard Chartered is thought to have beaten HSBC to the deal.KFB is South Korea's seventh largest bank, with 3 million retail customers, 6% of the country's banking market and an extensive branch network.Standard Chartered said it was buying 100% of KFB, an agreement that would bring an end to the bank's complex dual ownership.HSBC will now have to wait for the next South Korean bank in line to be sold off - thought likely to be Korea Exchange Bank, also currently in the hands of a US group.Standard Chartered sees "the opportunity to create value by the introduction of more sophisticated banking products".The deal, which requires regulatory approval, is expected to be completed by April 2005 and to be earnings accretive in 2006, Standard Chartered said.Standard Chartered has its headquarters in London but does two thirds of its business in Asia, and much of the rest in Africa.

Summarize the following article: UK Coal plunges into deeper loss Shares in UK Coal have fallen after the mining group reported losses had deepened to £51.6m in 2004 from £1.2m. The UK's biggest coal producer blamed geological problems, industrial action and "operating flaws" at its deep mines for its worsening fortunes. The South Yorkshire company, led by new chief executive Gerry Spindler, said it hoped to return to profit in 2006. In early trade on Thursday, its shares were down 10% at 119 pence. UK Coal said it was making "significant progress" in shaking up the business. It had introduced new wage structures, a new daily maintenance regime for machinery at its mines and methods to continue mining in adverse conditions. The company said these actions should "significantly uplift earnings". It expected 2005 to be a "transitional year" and to return to profitability in 2006. The recent rise in coal prices has failed to benefit the company as most of its output had already been sold, it said. Total production costs were £1.30 per gigajoule, UK Coal said, but the average selling price was just £1.18 per gigajoule. "We have a long journey ahead to fix these issues. We continue to make progress and great strides have already been made," said Mr Spindler. UK Coal operates 15 deep and surface mines across Nottinghamshire, Derbyshire, Leicestershire, Yorkshire, the West Midlands, Northumberland and Durham.

UK Coal said it was making "significant progress" in shaking up the business.The recent rise in coal prices has failed to benefit the company as most of its output had already been sold, it said.The South Yorkshire company, led by new chief executive Gerry Spindler, said it hoped to return to profit in 2006.Total production costs were £1.30 per gigajoule, UK Coal said, but the average selling price was just £1.18 per gigajoule.The company said these actions should "significantly uplift earnings".UK Coal operates 15 deep and surface mines across Nottinghamshire, Derbyshire, Leicestershire, Yorkshire, the West Midlands, Northumberland and Durham.

Summarize the following article: Lufthansa may sue over Bush visit German airline Lufthansa may sue federal agencies for damages after the arrival of US president George W Bush disrupted flights. Lufthansa said that it may lose millions of euros as a result of Air Force One landing at Frankfurt airport. Flights were affected for an hour on Wednesday morning, double the time that had been expected, leading to cancellations and delays. Lufthansa accounts for six out of every 10 planes using Frankfurt's airport. "We are doing research into the possibilities we have," Michael Lamberty, a Lufthansa spokesman told the BBC. "We are checking if there is action to be taken and in which courts it could be taken." Mr Lamberty explained that the company did not plan to pursue Germany's air traffic controllers' organisation or the airport authority but wanted instead to see if it was possible to sue the German federal agencies that gave the orders. The company said that it had to cancel 77 short and medium-distance flights, affecting about 5,000 passengers. Long-haul travellers were not disrupted. Central to the problem was that instead of half an hour, the arrival of President Bush on the German leg of his European tour took the best part of an hour, Lufthansa said. During that time, restrictions were put on planes taxiing, taking off and landing at Frankfurt's Rhein-Main airport. The extra time taken by President Bush and his entourage meant that there was a knock-on effect that led to significant delays. Mr Lamberty said that 92 outgoing flights and 86 income flights were delayed by an average of an hour following President Bush's arrival, affecting almost 17,000 passengers. Despite the problems, Mr Lamberty said that it was not certain that Lufthansa would take legal action.

German airline Lufthansa may sue federal agencies for damages after the arrival of US president George W Bush disrupted flights.Central to the problem was that instead of half an hour, the arrival of President Bush on the German leg of his European tour took the best part of an hour, Lufthansa said.Despite the problems, Mr Lamberty said that it was not certain that Lufthansa would take legal action.Mr Lamberty said that 92 outgoing flights and 86 income flights were delayed by an average of an hour following President Bush's arrival, affecting almost 17,000 passengers.Lufthansa said that it may lose millions of euros as a result of Air Force One landing at Frankfurt airport.Mr Lamberty explained that the company did not plan to pursue Germany's air traffic controllers' organisation or the airport authority but wanted instead to see if it was possible to sue the German federal agencies that gave the orders.

Summarize the following article: Diageo to buy US wine firm Diageo, the world's biggest spirits company, has agreed to buy Californian wine company Chalone for $260m (£134m) in an all-cash deal. Although Diageo's best-known brands include Smirnoff vodka and Guinness stout, it already has a US winemaking arm - Diageo Chateau & Estate Wines. Diageo said it expects to get US regulatory approval for the deal during the first quarter of 2005. It said Chalone would be integrated into its existing US wine business. "The US wine market represents a growth opportunity for Diageo, with favourable demographic and consumption trends," said Diageo North America president Ivan Menezes. In July, Diageo, which is listed on the London Stock Exchange, reported an annual turnover of £8.89bn, down from £9.28bn a year earlier. It blamed a weaker dollar for its lower turnover. In the year ending 31 December 2003, Chalone reported revenues of $69.4m.

"The US wine market represents a growth opportunity for Diageo, with favourable demographic and consumption trends," said Diageo North America president Ivan Menezes.Diageo said it expects to get US regulatory approval for the deal during the first quarter of 2005.It said Chalone would be integrated into its existing US wine business.Diageo, the world's biggest spirits company, has agreed to buy Californian wine company Chalone for $260m (£134m) in an all-cash deal.

Summarize the following article: Germany nears 1990 jobless level German unemployment rose for the 11th consecutive month in December - making the year's average jobless total the highest since reunification. The seasonally adjusted jobless total rose a higher than expected 17,000 to 4.483 million, the Bundesbank said. Allowing for changes in calculating statistics, the average number of people out of work was the highest since 1990 - or a rate of 10.8%. Bad weather and a sluggish economy were blamed for the rise. The increase "was due primarily to the onstart of winter", labour office chief Frank-Juergen Weise said. Unadjusted, the figures showed unemployment rose 206,900 to 4.64 million - with many sectors such as construction laying off workers amid bad weather. "The three years of stagnation in the German economy came to an end in 2004. But the upturn is still not strong enough" to boost the labour market, Mr Weise added. News of the rise came as government welfare reforms came into force, a move that is expected to see unemployment swell still further in coming months. Under the Hartz IV changes, the previous two tier system of benefits and support for the long term unemployed has been replaced with one flat-rate payout. In turn, that means more people will be classified as looking for work, driving official figures higher. "Be prepared for a nasty figure for January 2005, about five million unemployed on a non-seasonally adjusted basis," warned HVB Group economist Andreas Rees. But he did add that the numbers should "subside" throughout the year, to remain near 2004's level of 4.4 million jobless. "I don't expect a strong and lasting turnaround until 2006," German Economy minister Wolfgang Clement said. By 2010, however, the Hartz IV reforms should help cut the average jobless rate to between 3% and 5%, he added. Europe's biggest economy has been too weak to create work as it struggles to shake off three years of economic stagnation. In recent months companies such as Adam Opel - the German arm of US carmaker General Motors - and retailer KarstadtQuelle have slashed jobs.

"The three years of stagnation in the German economy came to an end in 2004.The seasonally adjusted jobless total rose a higher than expected 17,000 to 4.483 million, the Bundesbank said.German unemployment rose for the 11th consecutive month in December - making the year's average jobless total the highest since reunification.Europe's biggest economy has been too weak to create work as it struggles to shake off three years of economic stagnation.By 2010, however, the Hartz IV reforms should help cut the average jobless rate to between 3% and 5%, he added."I don't expect a strong and lasting turnaround until 2006," German Economy minister Wolfgang Clement said.Unadjusted, the figures showed unemployment rose 206,900 to 4.64 million - with many sectors such as construction laying off workers amid bad weather.

Summarize the following article: Ask Jeeves tips online ad revival Ask Jeeves has become the third leading online search firm this week to thank a revival in internet advertising for improving fortunes. The firm's revenue nearly tripled in the fourth quarter of 2004, exceeding $86m (£46m). Ask Jeeves, once among the best-known names on the web, is now a relatively modest player. Its $17m profit for the quarter was dwarfed by the $204m announced by rival Google earlier in the week. During the same quarter, Yahoo earned $187m, again tipping a resurgence in online advertising. The trend has taken hold relatively quickly. Late last year, marketing company Doubleclick, one of the leading providers of online advertising, warned that some or all of its business would have to be put up for sale. But on Thursday, it announced that a sharp turnaround had brought about an unexpected increase in profits. Neither Ask Jeeves nor Doubleclick thrilled investors with their profit news, however. In both cases, their shares fell by some 4%. Analysts attributed the falls to excessive expectations in some quarters, fuelled by the dramatic outperformance of Google on Tuesday.

Ask Jeeves has become the third leading online search firm this week to thank a revival in internet advertising for improving fortunes.Its $17m profit for the quarter was dwarfed by the $204m announced by rival Google earlier in the week.During the same quarter, Yahoo earned $187m, again tipping a resurgence in online advertising.Neither Ask Jeeves nor Doubleclick thrilled investors with their profit news, however.Ask Jeeves, once among the best-known names on the web, is now a relatively modest player.

Summarize the following article: Glaxo aims high after profit fall GlaxoSmithKline saw its profits fall 9% last year to £6.2bn ($11.5bn), but Europe's biggest drugmaker says a recovery during 2005 is on the way. Cheap copies of its drugs, particularly anti-depressants Paxil and Wellbutrin, and a weak dollar had hit profits, but global sales were up 1% in 2004. The firm is confident its new drug pipeline will deliver profits despite the failure of an obesity drug. Chief executive Jean-Pierre Garnier said it had been a "difficult year". In early afternoon trade in London the company share price was down 1% at 1218 pence. Mr Garnier said the company had absorbed over £1.5bn of lost sales to generics but still managing to grow the business. "The continuing success of our key products means we can now look forward to a good performance in 2005," he said. "2005 will also be an important year in terms of research and development pipeline progress." However, the firm discontinued development of an experimental treatment for obesity, known as '771, after disappointing clinical trial results. Glaxo is relying on new treatments for conditions such as cancer, diabetes, depression, HIV/AIDS and allergies to lift the pace of sales growth after several disappointing years.

Mr Garnier said the company had absorbed over £1.5bn of lost sales to generics but still managing to grow the business.Chief executive Jean-Pierre Garnier said it had been a "difficult year"."2005 will also be an important year in terms of research and development pipeline progress."However, the firm discontinued development of an experimental treatment for obesity, known as '771, after disappointing clinical trial results.

Summarize the following article: BMW reveals new models pipeline BMW is preparing to enter the market for car-style people carriers, the firm's chief has told BBC News. Speaking at a BMW event ahead of the Geneva motor show, Helmut Panke predicted demand for such crossover vehicles would soar in Europe. In contrast, he said, the popularity of van-style seven-seat vehicles and traditional saloon cars would fade. "Customers are moving out of the mini-van (and) traditional concepts are not as attractive anymore," he said. "We have decided that BMW will enter the [crossover] segment," he said in the clearest indication yet about the car maker's intentions. Mr Panke praised the Honda Accura as the "best execution" yet of a crossover vehicle. "We have decided that the BMW brand will enter the segment," he said. A decision on just how BMW will manage its entry into the new market is due in the first half of 2005. Typically it takes about three years from when a decision is taken before a new model hits the streets, Mr Panke said, implying that a BMW crossover could be on the market by 2008. The coming switch is driven in part by the need for successful carmakers to stay aware of trans-Atlantic differences in the car market, Mr Panke insisted. While in the US drivers tend to prefer sports utility vehicles (SUVs), such as the BMW X5 and its sibling X3, in Europe demand for crossover vehicles is likely to be considerable, Mr Panke said. "There's a growing market here," he said. "We are going to go that way."

Typically it takes about three years from when a decision is taken before a new model hits the streets, Mr Panke said, implying that a BMW crossover could be on the market by 2008."We have decided that BMW will enter the [crossover] segment," he said in the clearest indication yet about the car maker's intentions."We have decided that the BMW brand will enter the segment," he said.While in the US drivers tend to prefer sports utility vehicles (SUVs), such as the BMW X5 and its sibling X3, in Europe demand for crossover vehicles is likely to be considerable, Mr Panke said."There's a growing market here," he said.Speaking at a BMW event ahead of the Geneva motor show, Helmut Panke predicted demand for such crossover vehicles would soar in Europe.

Summarize the following article: Salary scandal in Cameroon Cameroon says widespread corruption in its finance ministry has cost it 1bn CFA francs ($2m; £1m) a month. About 500 officials are accused of either awarding themselves extra money or claiming salaries for "non-existent" workers. Prime Minister Ephraim Inoni, who vowed to tackle corruption when he came to office last year, said those found guilty would face tough punishments. The scam is believed to have begun in 1994. The prime minister's office said the alleged fraud was uncovered during an investigation into the payroll at the ministry. In certain cases, staff are said to have lied about their rank and delayed their retirement in order to boost their earnings. The prime minister's office said auditors had found "irregularities in the career structure of certain civil servants". It added that the staff in question "appear to have received unearned salaries, boosting the payroll". Fidelis Nanga, a journalist based in the Cameroon capital Yaounde, said the government was considering taking criminal action against those found guilty and forcing them to repay any money owed. "The prime minister has given instructions for exemplary penalties to be meted out against the accused and their accomplices if found guilty," he told the BBC's Network Africa programme. Mr Inoni launched an anti-corruption drive in December after foreign investors criticised a lack of transparency in the country's public finances. In one initiative designed to improve efficiency, civil servants who arrived late for work were locked out of their offices. The government now intends to carry out an audit of payrolls at all other government ministries. In a report compiled by anti-corruption body Transparency International in 2003, graft was said to be "pervasive" in Cameroon.

The prime minister's office said the alleged fraud was uncovered during an investigation into the payroll at the ministry.The prime minister's office said auditors had found "irregularities in the career structure of certain civil servants".Prime Minister Ephraim Inoni, who vowed to tackle corruption when he came to office last year, said those found guilty would face tough punishments.Fidelis Nanga, a journalist based in the Cameroon capital Yaounde, said the government was considering taking criminal action against those found guilty and forcing them to repay any money owed.In a report compiled by anti-corruption body Transparency International in 2003, graft was said to be "pervasive" in Cameroon."The prime minister has given instructions for exemplary penalties to be meted out against the accused and their accomplices if found guilty," he told the BBC's Network Africa programme.