US & World News

After more than a year of negotiations, shifting alliances and blockages of competition authorities, Axa should finally be able to complete in Australia's strategic move that will allow him to have a free hand to expand in Asia.

The French insurer said Monday morning that it had sealed its agreement with its subsidiary AXA APH and AMP Australian asset manager that will allow it to acquire 100% of the Asian operations of AXA APH, a crucial acquisition for a group failure growth.

"Once finalized, this transaction will allow us to double the market exposure of AXA's Asian life insurance and facilitate our continued development in the region," said Henri de Castries, AXA's chief executive, in a statement.

Six years after a first failure, Axa should be, leaving the AMP Australian operations of its subsidiary, ending the regulatory constraint that binds to the Australian authorities for any external growth in Asia.

To reinforce its growth profile, the number two European insurers by market capitalization has made Asia one of its major lines of development.

Axa, the net cost of this operation is approximately 1.8 billion euros (based on an average GPA of 5.32 dollars), higher than the $ 1.4 billion that he intended to spend in its previous offer with National Australia Bank.

The announcement was welcomed by the market, hence the title ahead of Axa 1.9% to 12.11 euros on the Paris Bourse to 10.35, while the CAC is 0.8% at the same time that the index Insurance Sector advance of 1.6%.

In early November 2009, the French insurer announced the launch of a joint bid with AMP on its subsidiary AXA APH, coupled with a capital increase of EUR 2.0 billion to finance acquisitions.

This offer was then opposed by the National Australia Bank (NAB) which later joined Axa.Accepted by the independent directors of AXA APH, the offer was vetoed by the Australian competition authorities.

Axa then turned to AMP, an associate of the first hour to make a final offer.

The transaction must receive clearance from the Australian Federal Treasurer and New Zealand Investment Office as well as some Asian regulators. AMP has already received approval from competition authorities of Australia and New Zealand.

It should be finalized soon after the vote of minority shareholders of AXA APH at the end of March 2011.

The few signs of investor interest in the assets of offices outside the market ultra-secure center of Paris does not portend a renewed appetite for risk in corporate real estate.

The rebound in prices and volumes is limited on the market "premium", confirmed the leaders of land in the Forum of listed property that Reuters has organized this week in Paris.But they began to prepare for an extension of the recovery to the overall market, they expect short-term or a horizon of one or two years.

While acknowledging feel a slight "tremor" of the market for riskier assets, Robert Waterland, Managing Director of the Eiffel Tower, for its part, remains skeptical.

"It changes from month to month, there are months, not months ago, it is very jagged, I think it is too early to say there is a trend," he said.

Alain Taravella, president of Altarea Cogedim, also believes that no clear pattern emerges.

"Some days it feels vague beginnings and other days, you feel the mistral blows," he said.

THE GOOD mix

But that does not prevent launching an investment fund in anticipation of a market reversal.Alain Taravella hopes to collect 500 million euros in first quarter 2011 to invest in restructuring operations or construction, including "white" (without a tenant), which had largely disappeared for two years.

"We are preparing for the resumption of the office market that we see probably in 2011," he said.

The reluctance of bankers and stock market investors since the financial crisis, which always require land to be limited to 50% debt ratio, slows the movement.

"Bankers do not lend if there is no secure revenue side," said the director general of Gecina, Christophe Clamageran.

Yet he believes that the pressure of the money should eventually benefit the whole market.

"As there is a lot more money than assets, we will start seeing benefits in assets a bit less 'prime'," he said. "We're starting to see it and I think we will see more in 2011."

Gecina showed his optimism by announcing this week the acquisition of a construction operation "white" in Gennevilliers (Hauts-de-Seine) in anticipation of a shortage of new buildings "unprecedented" between 2012 and 2014 .

"It allows himself a quarter of an investment risk. Three quarters secure fourth speculative, it is the right mix," said its director general.

Bertrand Julien-Laferrière, CEO of SFL, whose heritage is in the heart of Paris, has meanwhile shown resolutely optimistic."I'm not too worried about values in 20211, except major systemic crisis," he said.

NO GROWTH POINT OF SALVATION

Serge Grzybowski, Icade CEO, also noted a broadening of the areas of investor interest. But, he added, as growth and rents continue to stagnate, no sustainable recovery.

"For me, today, the paradox is that the market is a market for investment that takes time, but this recovery can be sustained and consolidated if there is a recovery of rents rental market, "he said."It is not yet visible enough to say that overall real estate business is out of the stagnant zone."

The Chief Executive Officer of Affine, Alain Chaussard, agrees that the investment will be limited unless growth has not boosted demand for office space by businesses and began to eliminate the pockets of vacancy in some areas.

"The question is whether economic growth will generate demand for more square meters.There is no need for a high growth rate, beyond the 1.5% growth, it provides a recovery in office demand, especially in the Ile-de-France, " he said.

"Until there is no strengthening of the rents, there will be no creation of value on the market," said Robert Waterland. "What is needed is growth, growth in employment. Currently, there is little or no demand for offices caused by growth."

With slower growth, between 2.5% and 2.8%, donations from individuals reached in 2009, 3.3 billion euros. At the head of the largest collectors of gifts, the French Association against Myopathies, CRS and Restos du Coeur. The winners in images.Source: 2010 Edition The generosity of the French Research & Solidarity.

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Previous Photo 1. French Association against Myopathies (AFM): 95.2 million Next Photo

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Previous Page 2. Catholic Relief: 62.8 million Next Photo

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Previous Photo 3. Restos du Coeur: 62.3 million Next Photo

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Previous Photo 4. Doctors Without Borders: 49.2 million Next Photo

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Previous Photo 5.Red Cross: 45.6 million Next Photo

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Previous Photo 6. League against Cancer: 43.3 million Next Photo

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Previous Photo 7. Unicef France: 37.9 million Next Photo

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Previous Photo 8. Handicap International: 32 million euros next picture

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Previous Photo 9. Médecins du Monde: 28.9 million Next

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Previous Photo 10. Action against Hunger: 27.6 million Next Photo

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Previous Photo 11. CCFD – Solidarity Earth: 27.5 million Next Photo

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Previous Photo 12. Fondation Abbé Pierre: 25.2 million Next Photo

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Previous Photo 13.Association of paralyzed France: 24 million euros next picture

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Previous Photo 14. Fondation d'Auteuil: 22.6 million Next Photo

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Previous Photo 15. Foundation resistance: 20.6 million Next Photo

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Previous Photo 16. Sidaction: 19.5 million Next Photo

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Previous Photo 17. Islamic Relief: 18.3 million Next Photo

Nexans announced Wednesday not to submit a bid for the Dutch group Draka, became the subject of a bidding war between the Chinese and Italian Tianjin Xinmao Prysmian.

The regulations in force in the Netherlands required the French group confirmed it by November 24 its intentions vis-à-vis Draka.

Nexans (…) his intention, in light of current circumstances, not to file a document relating to such offer from the Dutch Financial Markets Authority, "the French group in a brief statement.

Nexans, the worldwide cable, announced October 18 a proposed bid for Dutch rival the price of 15 euros per share in cash.

But Drake had rejected this proposal and recommended Monday a rival bid by Prysmian at 17.20 euros, divided in half in cash and securities. A few hours later announced a higher bid Xinmao offering 20.50 euros per share Draka.

Draka-Prysmian marriage would create a new world leader in the cable. Xinmao for his part confirmed Wednesday its intentions vis-à-vis the Dutch group and ensured that funding had been secured with a major Chinese bank.

The European Union and the International Monetary Fund agreed Sunday to help Ireland to enable it to restate its accounts public and to support its banking sector, the aim being also to avoid a spreading crisis in the euro area.

Ireland has formally requested Sunday that international financial assistance, which will be the second bailout of a country in the euro area one year after that of Greece in May.

"The European authorities have acceded to our request," he said in the evening the Irish Prime Minister Brian Cowen."I hope the agreement will be finalized shortly, in the weeks to come."

The amount of funding to be released by the EU and the IMF must be negotiated, but it is likely to be lower than the bailout of Greece, estimated at 110 billion euros.

"I would say we are talking about a sum of between 80 and 90 billion euros," it was said highly placed European source in Brussels, adding that this amount would include funds to support the Irish banking sector.

Experts from the European Commission, the European Central Bank and the IMF should wrap by the end of November a plan ready to Ireland, which will be phased over three years, "said European Commissioner for Economic and Monetary Olli Rehn.

"Give a support to Ireland is justified by the need to preserve financial stability of Europe," said Rehn told Reuters.

"The plan preparation will respond decisively to the fiscal challenges of the Irish economy and the potential need for future capital in the banking sector," he added.

Portugal hopes a soothing

Britain, which is not part of the eurozone, will provide bilateral assistance of 8.15 billion euros in respect of assistance to "a friend in need."

European leaders fear that the problems of Ireland from spreading to other members of the euro area with a sizeable budget deficit, like Spain or Portugal, threatening the EU to a systemic crisis.

The Portuguese Finance Minister Fernando Teixeira dos Santos, held that the decision of Ireland to claim financial assistance was likely to calm markets.

The U.S. Treasury Department has welcomed the Irish decision and stressed that the U.S. would "continue to work closely with our European counterparts and the IMF to strengthen market stability and global recovery."

Austerity plan

Brian Cowen said Sunday night that the Irish government would now announce an austerity plan in four years, which aim to reduce the budget deficit of 15 billion euros by 2014.

"The next step in the process will be the publication of four-year plan of the Government (Ireland) to solve the problems of public finance," said Cowen.

The objective set for Ireland to reduce its budget deficit to 3% of GDP in 2014.

According to the Irish Tourism Minister, Mary Hanafin, this plan will be unveiled Wednesday.

According to Irish media, the austerity measures should include a new property tax, a reduction in the minimum wage, family allowances and allowances for jobseekers.Certain tax exemptions enjoyed by high income could also be removed.

At a press conference, the Irish Finance Minister Brian Lenihan, has rights to substitution any tax increase on corporations, whose weakness is a source of tension with other European countries.

He stated that the size of Irish banks, weakened by the bursting of the housing bubble, would probably be reduced and they may need to consider the disposal of non-essential.

The formalization of the Irish aid application occurred as more and more people want the government to resign.

The critics are no longer only from the opposition and unity of Brian Cowen, Fianna Fail, is cracking while the press relayed the growing concern of the Irish.

"You lied, you've dropped. For the salvation of Ireland, go now", claims the Sunday Independent in one.

Popular discontent has increased during the last week, public opinion criticizing the government's communication on the issue of the crisis. On several occasions the government has ensured that there was no negotiation, so that informal discussions were held.

The Tokyo Stock Exchange finished Monday up from 0.93% to a new high of five months, investors less concerned vis-à-vis the yen continued their return to Japanese values.

Redemptions of overdrafts carried by foreign funds in banking stocks and financial have contributed to the rise in the Nikkei last week and stock exchange operators felt that the movement continued Monday.

The Nikkei gained 92.80 points to 10,115.19 and the Topix broader took 5.96 points (0.69%) to 875.48.

The market has also benefited from the return of confidence in the euro area arising from the agreement of the EU and the IMF, announced Sunday, to provide financial assistance to Ireland glossy business card.

The government of David Cameron has posted details of expenditure exceeding £ 25,000. A huge mass of data.

The British government published Friday on the Internet, for the sake of "transparency", the details of its expenditures in excess of 25,000 pounds (29,300 euros) since taking office in May.

In this impressive mass of documents available on the websites and www.data.gov.uk www.number10.gov.uk, it appears that including 26,000 pounds (30,500 euros or 41,500 dollars) were expended to form the staff of the Secretariat government which had "difficulty speaking." Almost 55,000 pounds (64,500 euros or 87,800 dollars) were spent "for development" of the General Secretariat of Government. The law firm of the wife of deputy prime minister Nick Clegg has given him more than 80,000 pounds (94,000 euros or $ 128,000).

Another example, according to The Times newspaper, the MoD has spent more than 80,000 books to house personnel during military exercises in Kenya, until the barracks were built.

Some data were not available Friday morning because of computer bugs. The Chief Cabinet Secretary, Francis Maude, has described as "revolutionary" the publication of expenditure and urged British citizens to point out the waste. "It is our ambition to make Britain the government more transparent world," he said.

He also noted that government spending now exceeds 25,000 pounds would be made public every month. For the first publication, some departments, including Local Government, have gone further by providing all expenditures in excess of 500 pounds (587 euros or 798 dollars).The coalition government of David Cameron, formed by the Conservatives and Liberal Democrats, committed to greater transparency, while it has arrested a drastic austerity plan to overcome the huge deficit, provided this year to 10.1% of gross domestic product (GDP).

The probability of a capital increase of Alcatel-Lucent is becoming stronger in the eyes of analysts, for whom the group should take in the coming months steps to clean up its balance sheet after its cash still consumed at a rate sustained in the third quarter.

Concerns over the balance of the Franco-American, fueling rumors of fundraising, have sharpened Thursday after the publication of a note from Credit Suisse citing a bailout fund group that may be required early 2011.

"Eventually a capital increase is almost inevitable, unless Alcatel sells its not underwater activities or businesses," J. Odon de Laporte, an analyst at CA Cheuvreux, which had underlined late last October in a note the continuing risk dilution of ownership on the title Alcatel-Lucent.

Asked by Reuters on Nov. 4 about the need for the group to strengthen its balance sheet, Paul Tufano, chief financial officer, had then said that Alcatel did not feel "pressure" that the special incentive to raise funds.

However, the third quarter ended with a sequential decline in net cash of 297 million euros and Alcatel warned, publishing its results, its free cash flow would not be close to breakeven in late 2010 Contrary to what had been previously announced.

"Given the requirement of 818 million that expires in January 2011 and the group's historical ability to generate cash, we believe that Alcatel might need an injection of around 800 million 1.5 billion euros in shares or convertible bonds, "say analysts at Credit Suisse.

Credit Suisse expects an appeal to the market may be in the first half of 2011.Another analyst based in London for his part felt that it would be more realistic to anticipate a capital increase in two years.

The action Alcatel closed Thursday down 0.92% at 2.155 euros.At this price level, the title was down 9.5% since the beginning of the year and the group has a market capitalization of 4.99 billion euros.

RECURRING CONCERNS

Concerns of a capital increase or bond issue had already surfaced in early 2010, fueled by several analysts.

Since the publication of quarterly results has been badly received by the Exchange and listed seven of 11 analysts by Thomson Reuters Starmine have revised their estimate of free cash flow for 2010 downward, while ten of the 15 analysts surveyed have degraded their expectations for this position in 2011.

"What is worrying is that the underlying problems: restructuring, financial expenses, contributions to pension funds.All of this is structural.Given these factors, it should Alcatel generates at least 5% operating margin to generate free cash flow positive, "said Odon de Laporte of CA Cheuvreux.

Alcatel expects an adjusted operating margin of between 1% and 5% in 2010 and a positive free cash flow and adjusted operating margin of between 5% and 9% for 2011.

Experts have estimated in recent weeks seemed misplaced Alcatel to achieve its objectives.

Thomson Reuters consensus I / B / E / S, calculated on the basis of estimates of 15 analysts, expects a margin of 1.4% in 2010 and 3.4% in 2011.

Some analysts have also stressed that the group could be even more eager to raise money he must repay $ 1.1 billion (about EUR 808 million) of bonds in January 2011.

Alcatel will in any case, raising concerns about its balance sheet at risk to suffer the impact on its image among its customers, experts stress. Existing customers or potential competitor would prefer him to stronger balance sheet, they say.

The difference in the CDS with a maturity of five years to measure the risk of default that investors assign to the debt of Alcatel-Lucent signs up for more than 650, more than seven times the level number one industry, Ericsson, and more than six times the benchmark iTraxx Europe for the same maturity.

Buoyed by a rebound in the luxury market, Interparfums confirmed Wednesday forecast an increase of 14% of its annual sales and said to anticipate an operating profit in 2010 increased over 20% with a margin above 13.5%.

In late October, after a third quarter record, the manufacturer of fragrances under license had raised its forecast of sales.

Like all actors of luxury, the company refocused on brands like Burberry, Lanvin, Van Cleef & Arpels (Richemont Group) and Paul Smith, enjoys a return to growth rates before the crisis.

Evidence of the renewed dynamism of the industry, the CEO of Interparfums said during a presentation, be faced with significant shortages of stock from suppliers – flaconniers, fillers, packaging specialists and producers of "juice "- taken aback by the rebound in demand.

"During the crisis, our suppliers had closed furnaces, production lines, and are reluctant to surrender all the means, in expectation of what will be 2011," said Philippe Benacin.

NO FRAGRANCE FOR MADAME WANG

The company, which has launched the latest fragrance from Lanvin called "Marry Me", had to deny the owner of the house sewing, Taiwanese billionaire Shaw-Lan Wang, 300 bottles she intended to wedding guests Taiwan.

The company sales are now run more than 60% by the brand Burberry (183 million estimated for 2010), followed by those of Lanvin (47 million), ahead of Van Cleef (25 million), ST Dupont and Paul Smith (14 million each).

For fiscal 2011, Interparfums anticipates sales growth of 13% as reported and about 9% on a comparable basis to 330-335 million euros, thanks to the launch of the first perfume brand shoe British Jimmy Choo, expected in January 2011, new juices and Paul Smith and Montblanc.

Philippe Benacin felt that the potential for sales of perfumes Jimmy Choo could reach, eventually, 30 to 50 million euros.

The company has also signed a distribution partnership with Clarins to advance sales in the U.S., after a few successful collaboration with his former partner protct & Gamble.

Interparfums's CEO said he was "pretty confident" for 2011 and stated that the consensus of analysts it "would not hurt."

He however indicated that the income would be "tight", with the losses associated with the deployment of the new line of cosmetics and important Burberry advertising spending devoted to perfume Jimmy Choo.

Analysts expect, on average, an operating margin of 13.3% next year.

In 2009, operating income declined by 2% to 33.7 million euros on sales down 6.2%.

At 2:32 p.m., the stock gained 2.56% to 27.20 euros in a market up 0.51%. At these courses, he signed up nearly 62% since January and has a market capitalization of 478 million euros.

The Greek finance ministry estimates that the deficit will reach 9.4% of GDP in 2010, after 15.4% in 2009.

The Greek finance ministry said Monday November 15 that the government deficit in Greece will reach 9.4% of GDP in 2010, following the announcement by Eurostat in Brussels an upward revision to 15.4% deficit in 2009 the country, the highest level of the entire European Union.

"Despite the revised figures, the deficit in 2010 is higher than had been originally planned, equivalent to six percentage points of GDP while the target was to reach 5.5 points 's' has congratulated the department. Greece was initiated in May in exchange for financial support of the euro area and the International Monetary Fund in 2010 to reduce its public deficit to 8.1% of GDP, but on a basis of 13.6% for 2009.

The release of revised figures from Eurostat was awaited with great excitement in Athens, because they could mean an intensification of austerity measures in the 2011 budget to meet the requirements of EU donors and the IMF.

"Fiscal consolidation will continue within the objectives defined by the economic and financial program signed with the European Union, the European Central Bank and the International Monetary Fund, and will lead to a deficit below 3% in 2014 "added the text of the government.

The ministry also said to have revised its estimate for the debt from 2010 to 144% of GDP, against a planned ratio of 133.3%. "The 2011 budget detailing the fiscal effort and the measures taken to achieve this will be tabled in Parliament on Thursday, November 18," the statement said without further comment.

Errors on Greek budget figures have been the source of the debt crisis that struck earlier this year the euro area and continues to result in a distrust of markets to countries identified as fragile as Ireland.

On Monday, Eurostat has also significantly revised its deficit estimates for previous years: the deficit fell from 7.7% to 9.4% of GDP for 2008 from 5.1% to 6.4% for 2007 and 3, 6% to 5.7% for 2006. With regard to debt, compared to figures announced in April, estimates increased from 115.1% to 126.8% of GDP for 2009 from 99.2% to 110.3% for 2008, 95.7 % to 105% for 2007 and 97.8% to 106.1% for 2006.

Again, Greece in 2009 was the worst student in the EU, ahead of Italy (116% of GDP), Belgium (96.2%), Hungary (78.4%), France (78 , 1%) and Portugal (76.1%).Monday's revision, however, should be the last, in its press release, Eurostat said to have "withdrawn its reservation on the Greek data. "Eurostat, the Statistical Office of Greek clarified, during a series of methodological visits, all matters raised at the last reserve," assured the European body.

In its statement the Greek finance ministry has explained how this was done spring cleaning: the accounts of public companies have been integrated into government's public accounts, the accounts of social security funds and those of local authorities have been "adjusted" GDP for 2009 was revised downward, which increased as the weight of the deficit relative to GDP.