The Spanish Treasury had to agree to pay a return of around 5% and invest in bonds and three to four years, including an average yield of 5.106% for a security maturing in April 2016 against 3.374% in the last similar operation in March.

"This unfavorable trend seems well established. Ultimately, this increase in performance may lead to a form of intervention outside, "said Richard McGuire, an analyst at Rabobank rate

. Wednesday

, Spanish Prime Minister Mariano Rajoy said that the government may soon find it difficult to fund at acceptable levels …… On

… the secondary market, the yield on ten-year Spanish bonds is around 6.3%, far off the level of 7% who die gered the aid given to Greece, Ireland and Portugal. 

Madrid, however, can take advantage of a rare good news reached the end of the day: the agreement reached with Catalonia, a region that weighs up to 20% of gross domestic product ( GDP) Spanish, a reduction in public spending.

In addition to the current difficulties of the banks, debt regions is considered another major risk factor for Spain, some already see as the next victims of the crisis debt in the euro area.

Last week, the European Commission considered that this debt would be one of the regions of the reasons that would prevent Spain to meet its budget deficit target set for 2012, which is 5.3% of GDP. 

FALLING ACTION Bankia

Earlier in the day, the Spanish government had to disprove the existence of a movement of panic withdrawals from money deposited in the bank in difficulty Bankia, nationalized the week last, the title lost up to 30% following information along these lines.

"It is not true that there is now an exit monitoring Bankia chests," said Fernando Jimenez Latorre, Secretary of Economy, during a press conference. 

For its part, in a notice sent to the Spanish stock exchange authorities, Bankia emphasizes that movements of deposits recorded during the first half of May were seasonal, adding no substantial change in the balance of deposits was not expected in the coming days.

The title Bankia finally ended down 14.08% to 1.422 euro after falling to 1.171 euro in session. The index grouping the European banking stocks yielded 2.36% on its side.

Last week, Spain took control of Bankia, the fourth largest bank, hoping to reassure the markets and stabilize a weak financial sector made by the housing crisis.

In the wake of the nationalization, Madrid has imposed on its banks to increase their reserves to protect themselves from mounting losses on their toxic loans in real estate, while pledging to make a limited assistance to troubled institutions through loans at high rates. 

These measures, however, did not help to dispel investors' doubts about the ability of the Spanish government finally repair the financial system of the country, questions that have aggravated the back of concerns about ; the debt crisis of the euro area, heightened by the political stalemate in Greece.

According to El Mundo, Bankia clients withdrew a few days over one billion euros from their accounts. José Ignacio Goirigolzarri informed the Board of Directors met on Wednesday the funds are withdrawn, the newspaper said.

RECESSION THAT WILL EXTEND

The first quarter of 2012 resulted in a further economic contraction of 0.3%, which, after a decline of similar magnitude to the previous quarter, is officially back in Spain recession, which is technically defined as two consecutive quarters of falling GDP.

"The recession is advancing at a gradual pace, but if we take into account the latest surveys on activity, it seems that the economic contraction will continue into quarters come, "said Tullia Bucco, an economist at UniCredit. 

The Spanish manufacturing sector contracted at its fastest pace in almost three years in April, while the service industry fell for the tenth month of row, according to the purchasing managers' index.

The export sector, the only one that has progressed over the last two quarters, slowed from January to March, the main economic partners of Spain is also experiencing the recession or slowdown.

Although Spain was able to master its accounts, the country is at the forefront if ever Greece, currently in a political impasse, should leave the euro. 

"It's not totally Greece leaving the euro, which is the main issue is the domino effect," said John Bearman, Investment Officer at Thomas Miller Investment.

In early trade, the Dow dropped 0.08% to 13,258.81 points. The Standard & Poor's, wider, yielding 0.11% at 1400.55 points while the Nasdaq composite lost 0.23% to 3052.65 points.

The number of jobless in the U.S. fell more than expected during the week to April 28, showed the figures published by the Labor Department.

But concerns over consumption weigh on the market, while according to data compiled by Thomson Reuters of 15 distribution groups that have published their sales figures, seven were worse than pre ; seen by consensus.

U.S. investors did not react to the announcements of the ECB and its president Mario Draghi. The central bank has maintained the status quo on rates.

Values, Costco Wholesale fell by 1.3%. The U.S. distributor saw sales grow by 4% in April on a comparable basis, while analysts expected a more pronounced increase of 5.1%.

In the same area, the retail giant Home Depot fell by 0.6%, the largest decline in the Dow Jones.

General Motors gave 0.7% after surging more than 6% in pre-market trading. The automaker reported earnings higher than expected in the first quarter, driven by strong demand in North America and a smaller loss than expected in Europe.

Kensey Nash Corp. soared 32.4% after the announcement of its acquisition by the Dutch group of food chemistry and DSM for $ 360 million.

A year earlier, taxable income was three billion. The Reuters poll gave it to 2.4 billion euros for the period under review.

The taxable profits of the corporate and securities division, usually the main generator of profits of the bank, declined to 1.7 billion euros against 2.3 billion a year earlier.

Both boats "high end", representing a total of 4 million hours of work needed to be delivered in spring 2014 and spring 2015.

"This decision is bad news, first for all (of) employees, as it will take several months to try to fill that hole load immediate, especially for its offices studies, whose workload will be directly and immediately affected, "writes the shipbuilding company in a statement. 

Subsidiary of Viking River Cruises, Inc. specializes in river cruises, Viking Ocean Cruises has decided to "continue discussions for the construction project with one of our competitors," said STX, which notes elsewhere "that to date no other site does was given command of ships".

The unions of the shipyards of Saint-Nazaire, the cancellation of the order is due to failure of the financial operation.

"Compared to other European countries, France is missing today in a state bank be able to mount such files," responded Marc Menager, delegate CFDT union of the company, which speaks of a "miserable failure". 

"The state must take the emergency measures imposed by the state to save sites", said for his part-Prinborgne Nathalie Durand, secretary of the Workers' Force, claiming and controlling an aircraft carrier and a fourth helicopter carrier for the French Navy.

Partial unemployment measures had already been announced a week ago by management to face the hollow charge provided on the second half of 2012. They were to receive consulting firms, especially weapons and fabrication shops.

STX France is a branch of shipbuilding group STX South Korean, in which the French state owns a 33.34%.

The company is currently completing the construction of a ship commanded by a Libyan state company, but bought last month by the Italian-Swiss owner MSC after freeze international assets of the Gaddafi regime.

The shipyards of Saint-Nazaire have also started building a small luxury liner on behalf of the German cruise line Hapag Lloyd Cruises and two helicopter carriers for the Russian Navy.

The public deficit, which includes state, local and social security funds, totaled 103.1 billion euros last year, according to preliminary results of the national accounts published by INSEE Friday.

The public debt amounted to 85.8% of GDP at end 2011, to 1.7173 trillion euros, up 122.1 billion in one year, and this leads to a more e ; up 84.9% as expected.

The deficit was the end of 2010 to 7.1% or 137.0 billion. 

Armed with this result, "we expect to accelerate our progress in reducing the public deficit to 4.4% of GDP, and keep the 3% in 2013," said the budget minister, Valérie Pécresse, in interview published Friday in Le Monde.

At 5.2% end of 2011, "it's 10 billion better than the objective of which France had undertaken", welcomed the Prime Minister, Translation ois Fillon.

"France has done much better thanks to the efforts of the French," said President Nicolas Sarkozy.

The Socialist Francois Hollande, favorite in the polls for the presidential election, pledged to cut the deficit to 4.5% end 2012 and 3.0%, the limit the European Stability Pact, the end of 2013. 

BOOST FOR 2012

The lower deficit in 2011 will ease the task of the next president, provided that economic growth does not collapse, the effort is less important.

But the trend was poor in January and a sharp economic slowdown is expected for all of 2012, likely to derail the accounts if it were larger.

Last year, the tax burden increased by 1.3 points to 43.8% of GDP, due to higher taxes (+ 7.8%).

Spending continued to decelerate, with growth of 2.1%, a rate lower than GDP growth in value, after 2.3% in 2010 . Public spending accounted for 55.9% of GDP in late 2011 after 56.6% in late 2010.

Revenues have increased it by 5.9% after 3.3% in 2010, and accounted for 50.7% of GDP from 49.5% in late 2010.

Interest paid by France to its income increased 9.5% due to increased debt and the impact of the acceleration of inflation on compensation of indexed bonds.

Operating expenses slowed, wages rising by 1.6%, after 2.1% in 2010, and intermediate consumption decreases by 1.5%.

Social benefits have remained the same dynamic in 2010, up 3.1% after 3.2%. Public investment increased by 1.6%, after falling 8.0% in 2010.

On the revenue side, taxes on income and wealth grew by 10%: the increase in tax revenues from both the corporate income tax (8.7 billion ) than the general social contribution (5.2 billion) and income tax (3.6 billion), note INSEE. Taxes on products and production are up 5.8%.

Social contributions have accelerated (+4.1% after +2.0%), in connection with the resumption of payroll and annualized general relief contributions social.

DEBT NOT ALWAYS CONTROL

The State contribution to the debt ratio increased from 90.3 billion euros last year, a somewhat larger variation than its financing needs.

The difference results from an increase in cash (5.9 billion) and loans to troubled countries in the Euro zone (10.4 billion). Conversely, the State shall be reimbursed a portion of loans to the automotive sector (4.0 billion), note INSEE.

The debt of central government bodies amounted to 10.4 billion at end 2011, down 3.7 billion, due to the deleveraging of the Company's equity participation of the State (-3.5 billion).

The contribution of local government debt reached 166.3 billion against 161.1 billion in late 2010.

The contribution of social security funds to the debt increased 30.4 billion to $ 205.4 billion. The change in debt, larger than the deficit resulted mainly from the increase in cash of social security funds (12 billion), said INSEE.

Life insurance finds the appeal to the French. Net new money (deposits less withdrawals) was positive in February in France, to the tune of 300 million euros for the first time in seven months, according to figures released Friday by the two main associations of insurers. This figure confirms the recent comments from several insurers, which reported a relative normalization of the market after a very difficult semester, unprecedented in the history of this offering.

Withdrawals down

The return to the green net inflows is primarily attributable to a sharp slowdown in redemptions (withdrawals), down 24% compared to January. They are still 21% above their level in February 2011. At the same time, payments recorded a more moderate decline of 14% compared to January 2012 and 13.5% compared with February 2011, according to figures released by the French Association of Insurance (AFA), that meets the French Federation of Insurance Companies (FFSA) and the Group of mutual insurance companies (Gema). The total amount placed on life insurance contracts has increased from 1.369 billion to 1.377 billion in January end in late February.

These figures tend to confirm the speech held by many insurers, who announced several weeks back to "a sense of normalcy," the term used by the CEO of AXA France, Nicolas Moreau, mid-February. "The movement announced inflection is confirmed over the last month," he told AFP the president of the FFSA, Bernard Spitz, while calling for caution. "It is far too early to see a trend," he warned. Life insurance, however, seems out of the rut, after a year-end nightmare.

Crisis in the eurozone and sluggish economy

The product has suffered because of the deepening crisis in the euro area, which prompted investors to favor short-term investments. But many of these products were already pushed forcefully by banks, launched a hunt for deposits in view of the arrival of the new regulatory framework, says Basel III.

Climate degradation, but also the planned reduction of Scellier, also resulted in the postponement of significant financial investments to real estate. "There was an overall campaign debt", marked, among other things, a wave of mortgage repayments, observed Mr. Moreau. He said "it is possible that at the peak of the crisis, our people have chosen to pay off debt rather than reinvest."

Calming the markets

The normalization of markets, beginning in 2012, supported by advances on Greece and off operations of the European Central Bank (ECB), have provided some form of appeasement. "The purchases have decreased significantly, people are less worried" at the end of 2011, said Thursday the CEO of the insurance arm of BNP Paribas, Eric Lombard. "On the first months of 2012, Aviva is pleased with the evolution of the collection," said Aviva France Friday. However, several factors unfavorable to life remain, primarily the arrival of the retired generation "baby boom" and the continued decline in yields. Last month, the CEO of CNP Assurances, Gilles Benoist, and had talked about "turning point".  

"Life insurance is going to find his true vocation, which is not to compete with short-term banking products, but to constitute a real reserve of long-term savings and fund pensions and dependency," he had said. A vocation that does not seem challenged by the candidates in the presidential election in a position to be elected. "On the substantive issues, there is a line of force that consensus on the left and right is one that returns a favor long-term savings," said Mr. Spitz. For him, "everybody understands that to have growth, you need investment and therefore long-term savings. I have no fear as long as this message has gone."

This series of ads comes as more directors of Veolia, which Proglio, currently head of EDF, has, according to sources familiar with the matter, considered asking for the resignation of the current CEO Antoine Frérot at a council held in late February.

Reputedly close to Proglio, the Chief Executive Denis Gasquet, Veolia leaves the group with immediate effect. Also Director of Operations, he was responsible for overseeing the implementation of cost reductions.

Olivier Orsini, who held the position of Executive Vice President and Secretary General, and Jean-Pierre Frémont, the executive vice president of public authorities and business, also leaving the Executive Committee of Veolia, and at the same time abandoning their duties within the group.

These changes were decided by Antoine Frérot to "accelerate the implementation of the strategic plan approved by the board," said Veolia in a statement.

Sylvain Boucher also joined the executive committee of which he was previously secretary. 

ACCELERATING THE STRATEGIC PLAN

The executive committee now includes, besides the CEO, seven against nine previously. Jérôme Gallot, Jean-Michel Herrewyn, Franck Lacroix, Jean-Marie Lambert, Jerome Le Conte and Pierre-Francois Riolacci to retain their seats.

In stock at 16h58, the title wins 5.07% to 12.755 euros, signing the largest increase in the CAC 40 index, which rose by 0.4% at the same time.

"The acceleration of the strategic plan and tighter around Mr. Frérot teams were well received," said a trader based in Paris.

Another market operator, also based in Paris, points out that these departures had been widely expected by the market, believing that the benefits likely to die as ; knotting of short positions as well as upward revisions of recommendations. 

"The action moves as people cheer the departure of Denis Gasquet: it was at the head of the Environmental Services division during his disastrous performance, and more recently he has overseen restructuring, "he adds.

The strategic plan of Veolia plans to refocus the group on water, waste and energy services and reduce costs of 420 million euros by in 2015.

Veolia also planned to produce five billion euros in sales in 2012-2013 and reduce net debt to below 12 billion at end 2013.

In presenting the annual results of the group, Louis Welsh confirmed that Peter Hintze, coordinator of aeronautics and space within the German government, had written to Thomas Enders EADS domiciled claim the contrary more activities in Germany.

"This letter is certainly not appropriate and certainly not in accordance with the governance of a listed company," said Louis Welsh.

"With Thomas Enders and the executive committee, we all work without a flag on the table. EADS had also gone through a severe storm in 2006, this time due to the delay of the A380 program.

EADS, the results of 2011 have exceeded expectations, plans for a 2012 EBIT before nonrecurring items above 2.5 billion euros after have already increased last year to 1.8 billion.

"Everything is now ready for EADS took off towards increasing profitability," the group said in a statement, adding that the performance of the EBIT published depend in the future advancement of its complex programs.

EADS shares was sold for 10.78% to 29.74 euros after advertising, finishing well ahead of increases in the CAC 40. 

COMPLEXITY OF PROGRAM

A350

Reflecting a newfound confidence, EADS is also made publicly, a rare thing, the European Commission concerning the management of emissions of greenhouse gases. The group, in retaliation, China could threaten to cancel aircraft orders, with the risk of the industry in a trade war.

The first European aerospace and defense, which also emphasized macroeconomic uncertainty, highlighted the complexity of the program's long-haul A350 expected in the first half of 2014 , noting that the timetable "tightens".

The program was originally a provision of € 200 million, announced in November, but whose impact has been erased by the judgment of the A340.

Airbus is on the other hand increase the production of its A330 to 11 aircraft per month from the second quarter of 2014 to meet demand. 

When the debt crisis threatens defense budgets in Europe, Louis Welsh was also concerned about the progress of discussions with governments on the future of programs e equipment. "It is essential that these discussions, particularly in Germany, lead immediately to a favorable outcome for both parties," he said.

For 2012, EADS expects increased above 6% of its turnover, after rising 7% to 49.13 billion euros last year, sales of Airbus and Eurocopter more than offset the slight decline recorded in the cluster space division Astrium and Defence and Security Cassidian.

EADS, which was up 87% of its annual net profit to 1.033 billion euros, proposed dividend per share doubled to 0.45 euro for 2011, against 0.22 euros for 2010 . 

Analysts polled by Inquiry Financial Europe on average expected for 2011 a turnover of 48.14 billion, a net profit of 687 million and an EBIT issued 1,312,000, which stood at 1,696 million, up 38%.

Airbus had said in mid-January anticipate 600-650 aircraft gross orders in 2012, after a record 1,608 in 2011, and 570 deliveries – with about 30 super-jumbo A380 – against 534 in 2011 .

With an increase of 58% of its orders, EADS posted late 2011 a record backlog of 541 billion euros.

EADS could also indirectly benefit this year of export contracts for the Rafale from Dassault Aviation, which holds 46% stake. 

India announced in late January opening of exclusive negotiations for the purchase of 126 fighter jets, a contract valued at some 11 billion euros, while the prospect of an order for 60 units from the United Arab Emirates has recently resurfaced, with a possible interest in turn of neighbors Qatar and Kuwait.

Private creditors had already decided in favor of the exchange of Greek debt does currently represent 39.3%, or 81 billion euros, the amount covered by this operation, said Wednesday the committee private creditors in a communiqué.Cependant, the 50% threshold, from which Greece can possibly forcing some creditors to participate, is approaching.

The deadline to tender its shares to the exchange is set at 9:00 p.m. Thursday (2000 GMT). The exchange for 206 billion euros of debt held by private creditors (banks, investment funds, insurers, etc.). In total, the Greek debt than 350 billion euros.  

Greece has already indicated that it would not proceed with the exchange if the turnout did not reach at least 75% of this part of the Greek debt held by private creditors. She also announced that if this threshold was disappointing, it could compel, through collective action clauses (CAC), all private creditors to submit to the exchange.

To date, no non-Greek financial institution holding a significant amount of Greek debt has not officially spoken out against the exchange. Several major banks, insurers and investment funds have not yet publicly announced their decision.

The committee, meeting under the auspices of the Institute of International Finance (IIF), which represents major global financial institutions, in a statement cites 30 banks, insurers and investment funds that have made public their support for the plan. This is mainly European companies, supplemented by the management company American Greylock Capital Management and the U.S. insurer Metlife.

Moreover, contacted by AFP, the largest regional German bank, Landesbank Baden-Württemberg (LBBW) said it would participate in the exchange. The approximately one billion euros of Greek bonds it holds are now housed in the bad bank established with the support of the German state, called Erste Abwicklungsanstalt (EAA).

Another rallying not taken into account by the press, that of German reinsurer Munich Re, said Wednesday that the agency Dow Jones, he would take part in the operation. The gross value of its securities amounted to 1.53 billion euros in late September.  

First holder of Greek debt outside Greece, the German bank Hypo Real Estate (HRE), has not spoken publicly since the agreement on the new conditions of the plan, in Brussels on February 21, but had previously expressed its intention to contribute. The bad bank of HRE, called FMS, held at the end of the first half of 2011, about 8.1 billion euros of Greek debt.

Between 100 and 200 steelworkers have invested to 8:00 Monday in quiet premises of the factory management ArcelorMittal Florange (Moselle), said a journalist from AFP. Responding to the call of an Inter CFDT-CGT-FO-CFE/CGC, workers, mostly helmets, entered the "big offices" of the factory, shouting "Mittal, we want to work ". Arrived on the upper floors deserted by senior management and executives, they quickly made their flags and their richly colored jumpers in the great hall of the steering committee of the institution.  

"Today, Florange is ours, Florange is yours," he told a trade unionist to the cheers of his comrades. "As of right now, management is technically unemployed. We will remain in these offices as the blast furnaces of the plant will not restart," added the head of the CFDT, Edward Martin. "Today, we are masters on board," he said before a forest of microphones and cameras. "That candidates (President of the Republic, ed) who claim to love plants undertake to ensure the survival of the site," he said, promising "at least one action a week until May 6" date of the second round of the presidential election.

"The state has saved the Lejaby. Must intervene for us," said the official FO, Walter Broccoli. "If Mittal wants more Florange, let him go … But there is no way to dismantle the plant. We will not let him do it, "continued, looking very determined, trade unionist. Around 10:00, the protesters were comfortably installed in the administrative site where Moselle boiled coffee makers and where they concocted sandwiches. On sunny square, union officials chained interviews to television channels, one of which, NHK, had sent a team from Japan. By late morning, tents began to be erected on the lawns of the plant to "formalize" the occupation, said John Mangin, head of the CGT. "This will be the village of resistance where workers can come and talk, talk about their fight and defend their work tools," he added.  

This occupation is the first step of "nightmare" promised by unions to the government after management of ArcelorMitall announced last week that the two blast furnaces would restart the site does not in the second quarter. For unions, this decision would announce the "programmed death site" which employs some 5,000 people, including 3,000 permanent contracts. ArcelorMittal, which has recently decided the final closure of blast furnaces in Liege (Belgium) and Madrid, on the contrary that Lorraine ensures it is only a temporary standby necessary due to insufficient demand.