US & World News

The gross domestic product (GDP) of Finland increased by 1.4% yoy in the fourth quarter of 2011, after an increase (revised) 3.3% in the third I, Statistics Finland said on Friday (SF).

Over the whole of 2011, GDP in one of four countries in the euro area still have a "AAA" from the three major rating agencies has advanced 2.9%.

European shares ended sharply up Thursday, supported by jobless claims near their lowest in four years in the U.S. and the new massive injection of liquidity from the European Central Bank (ECB) yesterday.

The CAC 40 index closed up 1.37% to 3499.73 points, new peak of year, having stumbled in the afternoon against the bar psychological 3,500 points. London took 1.02%, Frankfurt and Milan 1.25% 2.93%. The pan-European Euro Stoxx 50 index has been 1.45%.

The increase was particularly driven by the banking sector, which jumped 1.85% after the sharp decline in borrowing costs of Spain and Italy on the market ; s bond.

Other U.S. indicators have yet been considered disappointing, including the ISM manufacturing index, which signals an unexpected slowdown in growth in industry in February, and spending construction, which fell against all odds in January for the first time in six months.

Volksbank Austrian bank said Monday it would be partially nationalized and its minority shareholders could lose up to 70% of the value of their participation.

The majority of the capital should remain controlled by regional banks, which will 230 million euros on the table while the state plans to provide at least 250 million.

A financial source said that the state would recover the direct participation of over 40% in Volksbanken after the recapitalization.

The capital of the bank is currently owned 60.8% by sixty Austrian credit institutions, to 23.4% by the German DZ Bank, to 9.4 by the insurer Ergo% and 5.7% by Raiffeisen Zentralbank. 

Volksbanken had received in 2009 one billion euros from the state but failed to meet its deadlines for repayments on time, providing the government Austria the opportunity to turn his loan into securities.

The Austrian Minister of Finance, Maria Fekter, however, said they wanted to avoid this scenario, Vienna has already had to nationalize Kommunalkredit and Hypo Group Alpe Adria since the outbreak of the financial crisis .

The promise made yesterday by Nicolas Sarkozy to ban hats and retreats, golden parachutes has a deja vu. The candidate of 2007 there was already risky. The President also, during his tenure. But from words to action, there is a gap … Nicolas Sarkozy Golden Parachute

What he said in 2007: At the time, the future president described the golden parachutes "detestable practices" and announced their removal "summer 2007" in the name of "values ​​that are not (his) ".

What he did: It is clear that five years later the "golden parachutes" still exist. Certainly, there have been few measures of supervision. But they were sometimes taken by the UMP majority against the Government's view.

In August 2007, the TEPA law requires and golden parachutes are subject to a decision of the Board, and is linked to performance criteria. But the announced removal is not requested. In 2008, during the speech of Toulon, the head of state announced that executive compensation "must be indexed to the actual economic performance of the company. They should not be eligible for a golden parachute when they committed mistakes or put their company in difficulty ". No law follows.

In 2009, following the scandal of the golden parachute of the former CEO of Valeo and stock options of Societe Generale, Nicolas Sarkozy puts it: "There should no longer be any golden parachutes, it should not be any bonuses, distribution of free shares or stock options in a company that receives government assistance, which implements a social pronounced or that relies heavily on partial unemployment. " A decree to this effect was taken in April. But this prohibition applies only to companies that received aid from the state (banking and automobile sectors) until end 2010. And it is not retroactive.

Finally, 21 October 2010, MEPs adopted an amendment during consideration of the budget which provides that golden parachutes may not exceed 'twice the highest severance benefits, provided in case of dismissal by the agreements business or industry. " Baroin, then budget minister, has yet attempted to oppose it. He states that "the government has already done much" and argues that "these elements of compensation (that) feed business competitiveness to attract the best subjects."

Pensions hats

Unlike the golden parachutes, Nicolas Sarkozy has never announced the elimination of pensions hats. But he has often denounced the abuse. And his government has taken steps to harden their taxation. That said, in February 2010, matter in full Proglio, Luc Chatel, a spokesman of the government has not asserted that the least critical of retired boss of Veolia's hat fell within "the hard". He even tried to justify it. And as for golden parachutes, the government has sometimes sought to oppose regulatory ambitions of its majority

What he did:

The decree of 20 April 2009 prohibits hats retreats for executives of companies that have benefited from state assistance, but this provision shall be valid only until the end of 2010. Today, they are perfectly legal.

In October 2009, MEPs in the committee adopt a reform of the governing pensions hats … but waive the government's request. Eric Woerth, budget minister then, justifies its position by the fact that this system affects many thousands of frames and not only the great leaders. The government settle a code of ethics established by the employers.

In October 2010, MPs return to the fray and adopt a law to limit pensions hats. The latter will no longer exceed 30% of the remuneration of the last fiscal year. Unusually, the majority supported the opposition. The government opposes it but will eventually bow, relying on "wisdom" of the assembly.

Taxation has for its part, was weighed down twice in 2010 (particularly in the context of pension reform). And surtax has once again undergo a hardening at the end of last year with the introduction of a progressive scale with three slices according to the amount (7%, 14% or 21%) against two previously (6 % or 12%).

The high wages

What he said

Wednesday night on France 2: "From now on, the remuneration of top leaders will be voted on not by the board, where typically there are many friends, but by the general meeting of shareholders. (They) will be published in the legal documents to be published by the company "

What he has said: ……. In June 2006

. at Agen: "At the very least, is that the leaders of large listed companies assume their remuneration to their employees, their shareholders, and that, therefore, remuneration of each officer is not secretly fixed in the closed session of the Board but publicly endorsed for each of them by the general meeting of shareholders, and, of course, nominally published in the annual report. " What he did

:

Actually, not much thing, except the temporary ban on stock options and bonus shares for companies aided by the State until the end of 2010. Otherwise, the government has clearly shown its refusal to regulate comprehensively Wages and Salaries Francois Fillon saying, still in 2009, such a move would have "no real technical, economic, unless you want naturally regulate all remuneration ". And rely on the wisdom of big business and its ethics code. The measures proposed Wednesday to stay elsewhere in this lineage. Existing in the Anglo-Saxon voting remuneration by the general meeting of shareholders does not guarantee the end of excessive compensation. And the principle of transparency on executive compensation has already been included in the New Economic Regulations Act of 2001.

The three-party coalition government in Greece have agreed on a set of new austerity measures to implement in return for a second international aid plan ; Athens.

This agreement was confirmed by Mario Draghi, the chairman of the European Central Bank (ECB), itself informed by the Prime Minister of Greece Lucas Papademos.

"A few minutes ago, I received a call from the Greek Prime Minister said that agreement had been concluded and approved by the major parties," said Mario Draghi in Frankfurt.

These austerity measures are required by the ECB, the European Commission and the International Monetary Fund (IMF) to release a second with at least 130 billion euros to avoid bankruptcy in Greece. 

The negotiations between the socialist PASOK, New Democracy conservatives and the far-right LAOS have been difficult because of the hostility displayed by much of the population, already subjected to a rigorous treatment drastically since 2010.

Angela Merkel has justified its support for the candidacy of Nicolas Sarkozy to the French Presidency by the friendly ties between their two parties. On Greek debt, the two leaders agree: the Greeks must meet their commitments, and quickly. Angela Merkel and Nicolas Sarkozy at the Elysee Palace on February 6.

German Chancellor Angela Merkel said on Monday in Paris he was "normal support parties Friends", about her support for Nicolas Sarkozy to the presidency, at a joint press conference with President French. "I support Nicolas Sarkozy on all levels because we belong to parties of friends," said Merkel. Merkel also said that Mr. Sarkozy came to support her in 2009 when she was running for a second term as Chancellor.

Angela Merkel, support "friendly" of Nicolas Sarkozy

"The candidate Francois Hollande visited the congress of the SPD," she added, referring to the movement in Berlin in early December of PS candidate. She did not answer the question whether she would meet Francois Hollande during the election campaign.

German Chancellor supports President Sarkozy in the French election campaign, as head of the Christian Democratic Union (CDU) and not as head of government, had said in Berlin Monday morning a spokesman Some critics in Germany.

"I claim that friendship and trust," commented during the press conference at the Elysee Palace Nicolas Sarkozy, criticizing severely – without naming – the intention of Francois Hollande to renegotiate the new European treaty on budgetary discipline s it was elected in May.

Greek debt: "time release"

Angela Merkel said that Greece will "remain in the euro", while preventing that Athens could not receive the new funding it has a vital need if it does not enter into agreement with the EU and IMF. "There can be no new program if it does not conclude with the troika" of creditors of Athens, between the European Commission, the European Central Bank and the International Monetary Fund, she said.

Nicolas Sarkozy and Angela Merkel have also hoped that the interests of the Greek debt to be blocked in an account. "The Greeks have made commitments, they must scrupulously respect, there is no choice, time is short, it's a matter of days, now we must conclude," Sarkozy said. "The interests of the Greek debt must allow to be sure that this money will be permanently available," then said Merkel.

The economic downturn continued in September in the major economies, particularly Germany, the United Kingdom, Italy and Brazil, show OECD leading indicators published Monday.

Declined for the sixth consecutive month, the leading indicators are below the 100 – which distinguishes the increase in lower activity – in most countries of the Organisation for Economic Cooperation and Development.

Japan, the United States and Russia are the only three countries where the leading indicators remain above that level.

The CLI for the OECD area as a whole declined to 100.4 in September from 100.9 in August to 101.4 in July.

The G7 folds 100.6 after 101.1.

Alstom said on Friday plan to establish up to two production sites offshore wind in France if the consortium to which it belongs is held in satisfactory conditions at the end of the call for tenders launched in July by the government.

These two production of components and assembly of offshore wind turbines six megawatts – one in Saint-Nazaire (Loire-Atlantique) and one in Cherbourg (Manche) – could generate up to 1,000 direct jobs and 4,000 indirect jobs, the group argues in a statement.

The specialist in energy infrastructure and transport is part of a consortium of six companies led by EDF Energies Nouvelles, which also includes Dong Energy Nass & Wind Offshore, Offshore wpd Poweo and ENR.

Alstom is prepared to invest up to 100 million euros in these two sites "if the consortium is selected at a level that ensures a critical industrial scale."

The project, covering a total capacity of 3,000 megawatts (MW) in five areas, corresponding to half the target set by the government to install 6,000 MW offshore by 2020, equivalent to almost four times the power of a nuclear reactor EPR.

GDF Suez, together with Vinci and Areva, are part of a rival consortium.

Candidates have until January 11, 2012 to submit their bids. They will be screened in April 2012 and retained permanently in 2013.

BASF, the world leader in chemistry in terms of sales, announced Thursday a quarterly profit above expectations, but warned that its growth was slowing, clients sell their stocks.

"BASF's customers are more cautious, reduce inventory and postpone some of their orders in hopes of a possible drop in prices," explains the German group said in a statement.

Operating profit (EBIT) fell 11.3% to 1.96 billion euros, while analysts polled by Reuters anticipate an average of 1.89 billion euros.

The quarterly revenue was up 11.6% to 17.6 billion euros, according to consensus.

BASF has confirmed that the CAand EBIT adjusted for taxes on oil would experience a significant increase this year.

"However, growth slowed further over the first half of 2011. We expect this trend to continue in the fourth quarter," warns the group.

Europe is moving towards an agreement on the sovereign debt crisis but "banks must now accept the necessary sacrifices," said Jean-Pierre Jouyet, the president of the Financial Markets Authority, in an interview published Tuesday by The Tribune.

"A lot of the success of the second meeting of the Eurozone is in their hands," he adds.

Finance ministers from the euro area opened Friday six days of intense negotiations, punctuated by an EU summit Sunday to a high of the euro area, where the outcome expected Wednesday is considered crucial for the future of the single currency.

For reassurance on the risks of contagion, "the markets want a political Europe even stronger. A battle will hopefully gained Wednesday, but not the war.It will be played on fiscal consolidation and real political integration, "the president of the AMF.

He said Germany is now "the business model and budget the most efficient in Europe."

Jean-Pierre Jouyet also known as the European Commissioner for Internal Market Michel Barnier to go further in reforming financial markets.

"Today there is an excess of power of financial markets on policy choices. It is time to regain control in the regulation of markets," said he.