Chrysler closes a factory on minivans production
Written on 2 July 2008 by webmasterAmerican auto concern Chrysler LLC for uncertain term closes a minivans factory in Saint Louis, located in state of Missouri. One more factory in Saint Louis, on which Chrysler makes pickups, reduces the manufacture due to transition with two-shift to the one-replaceable schedule.
Changes will come into force in the autumn of this year and will concern 2,4 thousand workplaces.
Curtailment of production is connected with reduction in demand for pickups and minivans. Chrysler connects falling demand with delay of the American economy, the high prices for gasoline and the general consumer trend in favor of less large and more economic cars.
Chrysler, which is producing cars under marks Chrysler, Jeep, Dodge, has not the best times now. In May, 2008, sales of concern in the USA have fallen on 25 % in comparison with May of the last year. Earlier the company declared plans to reduce nearby 10 thousand workplaces in 2008 because of re-structuring.
Let’s note that falling of sales is characteristic not only for Chrysler, but also for all large American motor-car manufacturers.
However, despite of record delay of rates of growth of a car market of the USA, the Asian companies continue to increase the presence in the American market. For example, Honda and Nissan became the unique companies from among large motor-car manufacturers, who could overcome the tendency to decrease in a break-even sales level. So, in May, Honda realized on 11 % more cars, than for the similar period of the last year, Nissan has informed on four percent sales’ increase.
World crisis has caused losses to IKEA
Written on 30 June 2008 by webmasterRecession in the real estate market of the USA has led to that sales volume in IKEA furniture hypermarkets have worldwide reduced.
So, in America sales volumes of IKEA have decreased on 21 % in comparison with the last year, though IKEA occupied only about 10 % of the American market, or 21 billion euro in 2007.
Thus IKEA representatives do not consider, that for them this recession of sales - is occasion for a panic, in fact it will not proceed eternally. In order to keep the positions in the market, the company has changed strategy of development. Now the network actively enters developing markets of China, Russia and the East Europe.
In total IKEA owns 250 shops in 32 countries.
Rains will help the East Europe to overcome inflation
Written on 19 June 2008 by webmasterRainy weather has appeared on a hand to the Central Banks of some the countries of the East Europe as it has favorably affected the agricultural crops, which are grown up in these countries.
Good harvests should help to the Central Bank to cope with inflation, which is on record-breaking high marks practically in all developed and developing countries. In experts’ opinion, this year crops in all Eastern European countries will grow on 10-70 % and though it will not help to lower general rate of inflation, but it will considerably facilitate consumers life.
Of course, inflation will not sharply decrease. But unexpected good harvests of agricultural crops will help to weaken slightly inflationary pressure. Meantime a proceeding growth of inflation created huge quantity of problems to the Eastern European Central Bank as it compelled them to trace a rate of inflation constantly. So, since October 2007, the Central Bank of Romania has already raised the rate of refinancing on 275 basic items up to 9,75 %. And the majority of experts down to recent time were assured, that the bank will continue a cycle of discount rate increase.
However, May data on inflation have placed all in the places. So, in May in monthly calculation inflation has made 0,5 %, in comparison with 1 % in April. Annual inflation in this country has decreased from 8,6 % in April to 8,5 % in May, though it is considerably above the purpose(2,8-4,2 %), declared by the Central Bank. However, it is expected, that in August the rate of inflation will considerably decrease, in many respects owing to good harvests
InBev will buy Anheuser Busch for 46 billion dollars
Written on 12 June 2008 by webmasterBrewing company Anheuser Busch has received the offer on purchase of Belgian brewing company InBev. The Total sum of the transaction is estimated in 46 billion dollars
As it is informed in press release of Anheuser Busch, InBev has offered 65 dollars for each Anheuser Busch’s share. It is informed, that the transaction will be carried out for cash.
Hearings about this transaction have appeared in May, 2008, however they have not been proved yet.
Belgian InBev - is largest on size brewing company in the world. The company produces beer under brands Stella Artois, Beck’s and Brahma.
Anheuser Busch - is the second in the world on size and the largest in the USA brewing company, which possesses 12 American beer factories and has branches in other countries of the world.
The company makes more than 60 kinds of beer and other alcoholic production, including well-known Czech mark Budweiser.
IPE Brent Index has for the first time exceeded a mark of 13500 items
Written on 10 June 2008 by webmasterToday, on June, 10th, IPE Brent Index on ICE Futures Europe has for the first time exceeded a mark of 13500 items. The parameter, reflecting the forward price spot of North Sea oil mix BFOE (Brent, Forties, Oseberg, Ekofisk) with a term of its delivery within 21 trading days, has grown on 246 items, or on 1,9 %, and has reached new record value - 13504 items.
For last six sessions at ICE Futures IPE Brent Index resulted in such values: on June, 10th - 13504; on June, 9th - 13258; on June, 6th - 12368; on June, 5th - 12297; on June, 4th - 12651; on June, 3rd - 12723.
Let’s remind that till today an absolute record for IPE Brent Index was fixed at the mark of 13273 items, registered on May, 23rd.
Value IPE Brent Index which has established next day after end of the contract period under the future nearest delivery month defines the price of final settlement under the agreed transactions. Thus one item of index corresponds to 0,01 doll./barr.
Transition to alternative energy is inevitable
Written on 2 June 2008 by webmasterPrompt rise in prices for oil has for the first time for long time created threat of sharp delay of rates of economic growth and has provoked increase in demand practically to all alternative energy sources.
Moreover, some experts mark, that the current power policy of many countries can in long-term prospect very strongly affect the future of the Earth and even to alter in the further economic and geopolitical balance.
Now the future depends on those decisions, which are accepted now. Authorities of the developed and developing countries should pay more attention to a problem of demand for oil as in the further it is impossible to exclude an opportunity of an energy crisis. Meantime, on a background of sharp growth of demand for oil and mineral oil, the prices for this raw material have jumped up practically twice, and last week for the first time in history have overcome a mark 135 doll./barr.
And, in market participants’ opinion, while demand for oil from developing countries (for example, China) will grow, it is not necessary to expect reductions of prices on this raw material. Already now the prices are on record-breaking high marks and not in the best way affect consumers.
Already now demand for alternative energy is much higher than several years ago.
United Airlines and US Airways have postponed merge
Written on 31 May 2008 by webmasterThe chapters of United Airlines and US Airways Glenn Tilton and Douglas Parker have officially postponed plans on creation of the incorporated world’s largest airline, having declared, that merge will not occur “this time”.
The application has been made after a meeting of heads of both companies.
Earlier Chicago United Airlines and US Airways considered an opportunity of merge within more than two months. However, not so optimistically forecasts on profit for the companies of sector in view of record-breaking high prices for oil have forced a management of both companies to refuse from the transaction in the nearest future.
Airline United Airlines carries out more than 3,200 thousand flights a day, on more than 200 internal and external flights. The staff of the company totals nearby with 55 thousand people.
Company US Airways carries out approximately 3,800 thousand flights a day. The company has 36 thousand employees worldwide.
Let’s remind that United Airlines and US Airways have already tried to be united in 2001. However, then attempt of merge has failed that antimonopoly bodies have refused to approve it.
Consolidation in the market of aviaservices is considered by the American companies as a way to reduce the costs, which have essentially increased in connection with the high prices for fuel. So, losses of company UAL in I quarter, 2008, have made 537 million dollars against 152 million dollars year earlier. Fuel costs of United Airlines have grown on 51 % - up to 1,58 billion dollars.
Subprime crisis is favorable to the consulting companies
Written on 30 May 2008 by webmasterAlmost already a year has passed after in the world markets crisis of credits of a level subprime, which has created threat of world financial system collapse has burst and has put US economy to recession. Till now the majority of the companies cannot recover from losses and continue to incur losses.
Consulting industry is the only branch, which has gained from August crash, - more often different companies address for advice to professionals, who help them to avoid bankruptcy and to dispose their means profitably.
Because of crisis of credits the consulting companies receive huge profit. And it is quite obvious that this industry will continue to develop in the nearest months record-breaking fast rates. Really, shares of the majority of the consulting companies have significantly risen in price for the last half a year. It has appeared considerably above forecasts and has already involved a stream of investments into this unattractive sector. Now, such consulting companies as FTI Consulting, rating agency Duff and Phelps, KPMG, Deloitte and Touche, Ernst and Young are among the leaders.
Expensive oil strengthens political instability
Written on 29 May 2008 by webmasterThe world prices for oil continue to update the records. The large countries - oil-manufacturers are quite satisfied: incomes from oil export have surpassed their most courageous expectations.
However, finer oil exporters are frightened, as the poor countries with huge stocks of oil more often simply are not able to dispose of such huge incomes. Moreover, this profit does not always goes on the good purposes.
For example, UCLA representatives prove that the developed countries usually know what to do with such profit. Large oil exporters start to postpone this money for the future, or put them in new projects. There is nothing to say about poor countries: usually they either are not able, or do not wish to spend correctly such huge means. Recently appeared oil exporters are simply not ready to such inflow of the capital. There is a huge probability of that they will simply waste their petrodollars.
In particular, analytics name such poor oil exporters as Equatorial Guinea, Chad and Sudan. For example, Equatorial Guinea due to oil deposits, recently put into operation, has sharply increased the incomes. Thus parameters of population development are very low, and there are bases to suspect, that the most part of money settles in pockets of government officials. So, according to the international organization on struggle against corruption Transparency International, on a level of corruption the country takes the tenth place from 180 countries.
EU has eliminated obstacles for the beginning negotiations with Russia
Written on 26 May 2008 by webmasterMinisters for Foreign Affairs of the European Union (EU) have approved the mandate on the beginning of negotiations under the new cooperation agreement with Russia. Such information has been proved by representatives of Slovenia presiding in EU.
Agreement upon this question, actually opening a way to discussion of the new contract between Bruxelles and Moscow, has been finally reached. We shall remind that on May, 21st the mandate on the beginning of negotiations has been approved at the countries - members of EU ambassadors’ meeting.
Meanwhile all way to this contract already took several years. In 2006 Russia has offered to update cooperation agreement with the European Union. However, then Poland, which was dissatisfied with embargo on import meat production to Russia, has acted against it.
Until recently Lithuania acted against negotiations.
