Financial, Business, Personal Finance News

Iberia signs the merger agreement with British Airways

Iberia announced it has signed a merger agreement with British Airways, a combination that will create the world's third largest airline.

The Spanish company affixes his signature to a text that defined last April, one week after her British counterpart said it had reached an agreement to cover the deficit of 3.7 billion pounds of its pension scheme .

The transaction, which will see shareholders of British Airways to 55% of all new, must still be endorsed by shareholders, which is expected in November.

Iberia has also an exit clause for three months, always linked to its assessment of the ability of BA to the deficit of its pension system, a point already in the past failed to derail the proposed merger .

"Iberia has three months to leave the project from the time the agreement (signed between British Airways and managers of pension funds) is subject to the regulatory authority of British pensions," said Iberia.

Inflation slowed more than expected in June in Germany

Inflation in Germany slowed slightly more than expected in June according to first estimates released Monday, a move that could fuel concerns about possible deflationary risks threatening the euro area.

Consumer prices rose 0.9% yoy according to preliminary federal statistics, whereas their increase had reached 1.2% in May

Economists polled by Reuters last week had forecast an average price increase of 1.0% over one year.

This slowdown is largely due to lower gas prices, said the Federal Office of Statistics.

From month to month, inflation in Germany remained stable at 0.1%.

"The German economy appears to have avoided a deflation proper form but was still struggling to collect inflationary pressures," said Carsten Brzeski, economist at ING Financial Markets.

The slowdown in inflation in June coincided with the debate on the impact of German austerity plan on the other countries of the euro area.

Chancellor Angela Merkel presented in early action expected to generate 80 billion euros in budget savings over the next four years, in order to achieve by 2013 the German structural deficit within the limits set by the EU European.

Across the eurozone, inflation should slow to 1.5% yoy in June, against 1.6% in May

Details of the German statistics show that consumer prices calculated at European harmonized standards (HICP) remained stable in June compared to MayOn a year they show an increase of 0.8%, against 1.2% in May

These figures could provide an argument with officials of the European Central Bank (ECB) who argue for a continuation of measures to support the economy.

"We expect German inflation (annual rate) will end the year close to zero and there is some probability that it returns into negative territory," said Jennifer McKeown of Capital Economics.

"While many peripheral economies of the euro area are moving toward a long period of deflation, the ECB has every reason to maintain an attitude of a dove," she adds.

The first estimate of inflation over the past month is calculated based on published data from six Länder.The annual inflation has slowed in each of them in June

Less risk of the French note, said an analyst at Fitch

France is in progress on structural reforms, which implies that there are now fewer risks today than the note of France has deteriorated, said Friday at a Reuters television analyst ratings agency Fitch.

The government of François Fillon has pledged to reduce its deficits and this week announced a reform of the pension system.

Asked if it was less risky than sovereign debt rating lowered or French today than a month or two, David Riley, director of sovereign ratings at Fitch, said: "Yes, well safe ".

"France is much more than it did before, particularly when it announced a stabilization plan and with no details," he said.

A project to reform the French government aims to restore financial equilibrium of pension schemes in 2018, in particular through the gradual increase of 60-62 years in 2018 the legal age of retirement.

The CAC 40 to drop off again, the sovereign risk returns

The Paris Bourse is distributed downward and fell below 3,600 points on Thursday mid-morning, the fears surrounding the sovereign debt of the euro area resurfacing and penalizing bank stocks.

In addition there are comments from the Federal Reserve of the United States, acknowledged Wednesday that a U.S. economic recovery faltering.

A significant gap between the yields (spreads) of debt Greek and German revived fears about the euro area.

The CAC 40 index, which opened in rebounding, losing 1.17% to 3599.27 points at 10:55, the next support lying at 3580.

BNP Paribas (-4.19%), Societe Generale (-3.01%), Dexia (-2.73%) and Credit Agricole (-3.05%) recorded the largest declines the CAC 40.

"The market fell because of Greece, the spreads diverge. It's affecting the banks," said a vendor.

Other major European markets have also turned down.

Raoul Sachs, edited by Dominique Reynolds

Monceau Fleurs accelerates its international expansion

Monceau Fleurs Group wants to expand its international presence and is aimed primarily Germany and Asia to boost its sales, told Reuters CEO Laurent Amar.

To support this development, the florist has launched a bond issue in May to a maximum of 12 million euros, which ends June 25 The unit amounts to 500 euros maturing in June 2015, with a coupon of 8%.

"It was rather a good home," said Laurent Amar in an interview. "The receipt of the loan shows that the financial reputation is being done.And the financial reputation is essential for the liquidity. "

Laurent Amar said it had rejected the option of a capital increase because he believes that the current valuation does not reflect his company or its doubling in size after the company acquired in 2008 Rapid'Flore nor its international success.

"As I have my heritage that is in, I refuse to dilute the value then," he said.

Laurent Amar counting on improved financial visibility to see the group increase its capitalization today of 52 million euros.

The group, which already has over 450 stores in eight countries, confirms its objective of growing its network of sales by 20% during 2009-2010, which ends Sept. 30.He added that the pace of store openings to accelerate the international over the last year.

"We went from 6% to 10% in number of stores opened abroad. It'll go faster," said group finance director, Eric Villedieu. "We aim for 1,000 stores in five years," said Laurent Amar.

The group is particularly Monceau penetrate the German market, which he estimated at seven billion euros a year against three billion to France.There is already present through a joint venture with Lagardere Services which owns 40% stake.

The company, which owns the brands Monceau Fleurs, Rapid'Flore and Happy, already extends for several years its international presence by establishing joint ventures with partners.

They have a franchise for periods of seven to ten years in exchange for a fee and a requirement to provide priority via the Monceau group.

"We went further we got from our partners to be the capital of these companies that hold rights in the country.It is quite rare to get this from its partners, "said the CEO.

ASIA, FLORISSANT CONTRACT

Monceau Fleurs said having well through the crisis because of its policy of low prices, achieved in particular through the integration of its suppliers, in addition to its innovative products like its pink bioluminescent.

The CEO also said to have benefited from the crisis to negotiate leases for new retail outlets on terms much more favorable, thereby facilitating its expansion.

Already present in Japan with nine shops, Monceau Fleurs placed on the dynamic Asian markets and their high consumption of flowers, partly due to the multitude of temples in the country to develop.

"It's part of our priorities is a market that is made for us.It would be a mistake not going there, "said Laurent Amar.

Besides the development of the network through franchises, the group does not make acquisitions as opportunities arise, but he says he remains "extremely cautious".

"In terms of developing countries, through acquisition, we do not refuse any opportunity," said Laurent Amar, whose grandfather created Monceau Fleurs in 1965 in Paris.

The group was incorporated in 1985 by the Compagnie Financiere Edmond de Rothschild.

After a degree in business law, Laurent Amar, confident that the flower industry was promising and mostly impervious to attacks, developed the network in the province from 1998 in 2002 before acquiring the company, which now holds , 38, 69% of the capital.

Monceau Fleurs, whose competitors are the Jardin des Plantes in France or the U.S. 1-800-Flowers internationally, has seen its turnover grow by 72% in 2008-2009 due to external growth, 66, 4 million euros for an operating profit (EBITDA) of 1.2 million euros.

At the Paris Bourse, the title listed on Alternext Monceau Fleurs showed a stable course Tuesday to 9.00 euros. Since the beginning of the year, he sold 17% after surging 101% in 2009.

The BP boss made another blunder

The presence of BP boss Tony Hayward to a luxury yacht regatta on the Isle of Wight in full spill in the Gulf of Mexico has prompted a deluge of criticism, White House head, said Sunday that s 'acting in a "serious mistake".

The stunning images of sailboats cruising off the southern coast of Great Britain during the race "JP Morgan Asset Management Round The Island" turned Loop Sunday morning on U.S. television. The CEO of British oil giant was present Saturday, with family, to support the yacht "Bob", worth 300,000 euros, which he co-owns with two others.The boat finished fourth.

See also: Why BP has it all wrong

But the trip goes wrong side of the Atlantic, two months after the start of the spill, while every day brings new images of oiled birds or contaminated beaches by the millions of gallons of oil spilled into the Gulf of Mexico.

"It's part of a long series of mistakes and blunders of communication," he told the secretary general of the White House Rahm Emanuel in an interview with ABC television broadcast Sunday. "I think we can all conclude that Tony Hayward not start a second career in public relations consultancy," joked the top U.S. official."This is a serious mistake," he said, addressing a new pic to the Director General of the British group: "To quote Tony Hayward, he found his life before.

Author of several communication blunders, including Mr. Hayward said of the disaster: "There is nobody who wants more than me that all this ends, I want my life before."

BP immediately sent his spokesman to the front to try to extinguish the fire. "Wherever he is, he is still in touch with what is happening" on the oil spill, said one of them. It is also his "first day off" since the beginning of the disaster, said another.

In vain, well beyond the White House, critics recycled again and again on all sides. For Greenpeace, the attitude of Mr. Hayward "puts salt in the wounds" of victims of the spill, while the New York Times noted on Sunday that Mr.Hayward had "triggered a new controversy." "The culmination of arrogance", has even dropped the Republican Senator Richard Shelby of Alabama, one of the states affected by the spill. "The yacht should rather be there picking up and clean the oil," he said on Fox News.

These remonstrances conclude a difficult week for the controversial boss of BP, which is expected to retire soon from the daily management of the crisis.Auditioned Thursday to Congress, an officer was entitled to the same ton of comments from elected officials shake their heads at the mistakes in front of the BP oil spill.

The British group would also raise $ 50 billion to fund the cost of oil spill in which the fund of 20 billion dollars that BP has agreed to create this effect, according to British press.

It is also to reassure the markets after the steep decline of BP action.

BP has also ensured he paid $ 104 million in response to complaints from residents of the Gulf of Mexico affected by the spill, indicating having received a total of 64,000 complaints.

The group gets an average total of 25,000 barrels of crude per day, according to U.S. Coast Guard, while the well located at 1,500 m depth spits each day between 35,000 and 60,000 barrels (up to 9.5 million liters) .

EDF will take at least 10% of South Stream gas pipeline

EDF pledged Saturday to take a stake of at least 10% in the South Stream pipeline by the end of 2010 through a reduced participation of the Italian group Eni.

The public company has also signed an agreement for cooperation in the nuclear field with the Russian Rosatom public group.

These signatures are part of a series of agreements between Paris and Moscow at the World Economic Forum in St. Petersburg that France is the guest of honor.

By providing for the repurchase of at least 10% of South Stream, EDF strengthens its position in the natural gas market.

The pipeline must refuel countries of southern Europe and Central Europe via the Black Sea.

"The feasibility studies of the underwater section has begun, we can say we have never been so close to starting construction," said Gazprom CEO Alexei Miller said in a statement.

Russian Prime Minister Vladimir Putin said in April that EDF would take 20% of South Stream.

Asked if this could be the case, Alexei Miller, said: "Perhaps, perhaps.It will be at least 10%. "

This agreement allows EDF to 'take a major step in its strategy to secure its gas supplies, both to feed its own means of electricity production and marketing of natural gas deals with its customers "said CEO Henri Proglio in a statement.

The World Economic Forum in St. Petersburg was also an opportunity for EDF to enter into partnership with the Russian nuclear company Rosatom on "research and development, nuclear fuel and nuclear cooperation currently existing or under construction.

"The agreement also provides that the two groups cooperate through exchange of experience and training, including in particular visits to industrial sites in both countries," says EDF.

Rosatom is a direct competitor of the French nuclear group Areva.