International Business News

The net private capital flight from Russia has already reached $ 43 billion in April. At this rate the figure of 80.5 billion recorded in 2011 could be beaten. Vladimir Putin.

The election of Vladimir Putin in March may have ended the political uncertainties but not the flight of private capital observed for two years in Russia. "Capital flight continued in April, to $ 8 billion, according to our preliminary estimates," said Monday the Deputy Economic Development Minister Andrei Klepach was quoted by RIA Novosti news agency. And the Russian official expects a continuation of mouvenment in May.

"Capital flight is much stronger than expected," added Mr. Klepach. In April, the Russian Central Bank (BCR) had indicated that net private capital flight from Russia had reached nearly $ 35.1 billion in first quarter 2012. In 2011, she had more than doubled compared to last year, to $ 80.5 billion, against $ 34.4 billion in 2010.

To explain this phenomenon, the leaders of the Russian Central Bank has repeatedly complained of the poor investment climate in Russia. The acceleration of this phenomenon is also due to the global financial crisis, making loans harder to obtain, put a stop to capital inflow in Russia, according to rating agency Standard and Poor's. The agency had also discussed the "political uncertainties" that weighed before the presidential election of March 4, won by the country's strongman, Vladimir Putin.

CNP Assurances announced Friday that the market decline of savings in Europe had continued to weigh on its sales in the first quarter and said the change of government in France maintained the uncertainty the life insurance industry.

The turnover of the insurer fell 12.9% during the first three months of the year, to 7.028 billion euros.

The action CNP Assurances signed Friday in early trading shrinkage greater than that of the sector to 9:50, the title lost 2.27% to 9.7330 euros, while the European index limited its losses to 1.35%.

"There is a wait due to the structure of taxation and savings in general," he said during a conference call the Director Financial Group, Antoine Lissowski. 

He explained that it was difficult to assess the impact that doubling the ceiling of the Livret planned by President-elect Francois Hollande on appetite of French for life insurance.

It is currently suffering from competition from banks, seeking to attract customers and their deposits with savings accounts attractive.

The persistence of low interest rates also makes traditional life insurance products unattractive in terms of yield.

Despite a set back, CNP Assurances has managed to generate a first quarter net profit up 1.8% to 275 million euros through improved financial markets. 

The group took advantage of the upturn to continue its program of disposals of risky assets, particularly in Italy and Spain.

"The improved market conditions in the first quarter allowed us to record an increase in our earnings while actively pursuing our strategy of selling risky assets," said the director gen ; eral, Gilles Benoist, in a statement.

Antoine Lissowski said his group no longer had to date of Greek sovereign debt and had reduced its exposure to equity markets.

The CFO did not want to comment on the planned replacement of Gilles Benoist.

NOC has postponed its annual meeting from 7 to 29 June, after the parliamentary elections. 

At that time a new boss of the Caisse des Depots (CDC), the majority shareholder of NOC, should have been appointed.

Director General of the CDC until early March, Augustin de Romanet applied for membership to the estate of Gilles Benoist as Director General of NPC.

Pierre Mariani, the Group CEO, denied Wednesday it had set conditions for his eventual departure of the head of the Franco-Belgian bank being de mantling, ensuring that no decision had been taken on his replacement.

Several Belgian newspapers reported that the Belgian government would like to replace Pierre Mariani by Karel De Boeck, former CEO of Fortis.

According to these newspapers, the current Group CEO would be willing to leave his position as number two in the bank if they receive a severance package of 1.2 million euros stipulated in its contract. 

"The Group CEO has made no request to the Belgian and French about the conditions of his eventual departure contrary to news reports published so far," re ; Pierre Mariani is in an email to Reuters.

"No decision on the replacement of the CEO and President (Jean-Luc Dehaene, Ed) Board has been taken to date" he continues.

Dexia Bank, already saved from bankruptcy in 2008 by Belgium, France and Luxembourg, was forced into last fall due to the dismantling of sovereign debt crisis. 

Luc Coene, the Governor of the Central Bank of Belgium (NBB) said Monday that the bank, which enjoys state guarantees for its refinancing needs, would probably need to be recapitalized again e.

The group has since seen its market capitalization crisis collapse. Currently, the bank is valued at about 350 million euros on the stock market with a share price at only 0.18 euros.

"CONFIDENCE TO PETER MARIANI"

Asked by Reuters, Michel Bouvard, president of the supervisory board of the Caisse des Depots (CDC), Dexia's largest shareholder with 17.7% stake, has in turn brought ; support for Pierre Mariani.

"Personally, I have every confidence in Pierre Mariani," said Michel Bouvard. "When you are in managing a complex issue, which is the case, it is better that he who began managing the file management ends until one goes to the next step. "

"I did not speak on matters of internal governance of Dexia," he nevertheless wished to emphasize.

Since the decision late last year to dismantle Dexia, the Belgian authorities have carried out the nationalization of retail banking activities in Belgium while the France has decided to return via the CDC and the Postal Bank, the activities of local government financing.

The European Commission must still approve the plan and set the price that Dexia will have to pay in exchange for 90 billion euros of state guarantees provided. 

Dexia posted a net loss of 11.6 billion euros in 2011 and some analysts said the bank could continue to generate losses in the coming years.

Although in sharp decline, the size of the stock of Dexia is considered by some analysts as a systemic failure to pay the bank would have incalculable consequences for the entire system European banking.

The Commission has categorically denied the information relayed by the daily El Pais, that it was preparing an investment plan of 200 billion euros to boost growth. The European Commission President Jose Manuel Barroso.

The renewed growth in Europe is still debated. The European Commission denied on Monday preparing a kind of Marshall Plan for growth in the EU which would mobilize 200 billion, arguing that the figures quoted by the daily El Pais had no foundation. "The figures are not based on any reality," said Pia Ahrenkilde, spokeswoman for the European Commission, during a press conference in Brussels.  

The Spanish daily El Pais Sunday spoke a kind of "Marshall Plan" at the European level that would be able to mobilize 200 billion of public and private investment for infrastructure projects, renewable energy and technology tip. To believe the newspaper, this initiative includes several tracks already discussed for several months by the Europeans: large European loans (the "project bonds"), an increased role of the European Investment Bank (EIB) and the intervention of European mechanism for financial stability, a budget managed by the European Commission and secured on the Union budget.

The Spanish government Friday unveiled a package of measures to fight against tax evasion, as the country seeks to achieve its fiscal targets and avoid the need for economic aid external.

According to several independent economists, the economy in Spain represent almost a fifth of gross domestic product (GDP), many Spaniards at work using black and pre ; ferring cash payments.

The government proposes to ban cash payments for amounts exceeding € 2,500 and require taxpayers to report assets held by them abroad.

Violators would face fines. 

According to Cristobal Montoro, Spanish Minister of the Treasury, these measures will enable the government to increase its revenues, though he declined to quantify the expected amount.

Madrid announced on March 30 to drastic budget cuts to achieve 27 billion euros in savings and convince markets that the country is able to reduce its deficit and avoid seeking international assistance.

The limit on cash payments will not apply to individuals who are not habitually resident in Spain or to tourist spending.

"This is to encourage tourists who bring foreign currency in Spain and want to spend in Spain," explained Cristobal Montoro. 

The tourism industry represents nearly 10% of Spanish GDP and remains one of the few sectors still able to sustain an economy as moribund.

As to measures affecting property held abroad, they will target the bank accounts, life insurance policies and actions. A fine of at least 10,000 euros will hit the undeclared goods, warned the government.

European shares declines sharply at mid-session Tuesday, after a long weekend by Easter, the statistical disappointing U.S. employment numbers in March and in Halftone China's foreign trade darkening global economic outlook at the time opens in the U.S., the earnings season.

In Paris, shortly before 13h, the CAC 40 lost 1.43% (47.37 points) to 3,272.44 points. In Frankfurt the Dax gave 1.06% and London, the FTSE fell by 0.95%. Pan-European Eurostoxx 50 index gave up 1.31%.

The Euro Stoxx 50 index of volatility, the main barometer of investor nervousness in Europe jumped 12% to its highest in five weeks.

The sectors most dependent on exports to emerging markets, including automotive and mining, are among the largest declines under the impact of slower growth in Chinese imports. Peugeot lost 3.7%, 3.6% Renault.

Wall Street is expected to rebound in the opening in the light of index futures in New York advancing 0.1% to 0.35%.

European shares opened lower Tuesday, continuing a modest decline began Monday, while remaining close to the peak reached in eight months last weekend.

In Paris the CAC 40 was down 0.41% (14.50 points) to 3,563.38 points. In Frankfurt, the DAX lost 0.5% and London, the FTSE 0.5%. The pan-European index Stoxx 50 yields 0.43%.

Investors expect the American Statistical probably the day starts, to give a more straightforward classes.

"There is profit taking (…) If there is improvement in housing starts in the U.S., it could give a boost," said Joe Rundle , in charge of trading at ETX Capital.

The Metro Action yield 1.68% to 30.35 euros after the German distributor told to anticipate a stable operating result in 2012 compared to 2011.

The title Transgene plunged nearly 7% after the biotech company announced Monday a widening of its loss in 2011. 

At the London Stock Exchange, the action BHP Billiton lost nearly 2% after the first Global Mining said it saw signs of "slowdown" in demand for iron ore from the China.

The title of the computer services group Tieto Finland earns more than 5% in early trade after the announcement of a plan for downsizing.

On the foreign exchange market, the dollar remains near its lowest in a week against a basket of currencies but showing signs of an improving economic conditions in the U.S. and higher yields U.S. Treasury bonds should be supportive factors for the greenback. 

While most stakeholders feel that the debt crisis of the euro area has stabilized in recent weeks, they keep in mind that it may get worse ; any time, questions focusing on the viability of Portugal.

On the front of sovereign debt in the euro area, 14.5 billion euros of Greek bonds maturing in the day, during which Spain will issue bond paper 12 and 18 months.

European shares are wait-Thursday at mid-session, pausing near eight-month peaks, investors apparently waiting for confirmation of a more general economic before pushing the rating further.

In this regard, a volley of U.S. indicators that fall into the afternoon, particularly the weekly jobless claims, will perhaps clarify their ideas. Stakeholders on Wall Street seem to bet they'll be good since the index contracts suggest an opening up.

Following the example of the general trend, the CAC 40 gained just 0.02% to 3565.15. "It may be that up a bit as we approach the weekend, we have good momentum and we could leverage with U.S. statistics, if they are better than pre seen, "said Peter Grandy (Saxo Bank).

The U.S. jobless claims may become more important than usual because of recent strong U.S. data and explain that investors have once again risk appetite.

Values, Alstom wins 2% to 32.185 euros. The CEO declined to comment on "speculation" evoking an interest of his group for wind turbine manufacturers.

Several European newspapers have reported in recent days that Alstom was considering the possibility to purchase the German REpower, owned by the Indian Suzlon Energy, Spanish or Danish Vestas Gamesa.

Gamesa wins Vestas 2.57% and 5.53%.

Lufthansa fell 0.8%. The airline announced Thursday a further reduction of its expansion plans and warned that its operating profit would probably decline in 2012 due to economic uncertainty, the renché ; dieback fuel and possible unrest.

The CEO of EADS Louis Welsh, in response to criticism in Germany, said Thursday the project of his designated successor Thomas Enders to domicile more activities of the group in Toulouse , where the headquarters of Airbus.

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.

Sanofi announced Wednesday a rise in earnings in the fourth quarter of 2011, helped by the consolidation of Genzyme, reducing its costs and its strong performance in emerging markets and diabetes ; you.

However, affected by the loss of its patents of some of its major drugs including the anticoagulant Plavix, the group confirms that it expects a decline in earnings per share 12% to 15% at constant currency in 2012, an objective in line with its medium term plan. 

In a conference call with reporters, the CEO of Sanofi Chris Viehbacher stressed, however, "that beyond the last brevetaires expirations of certain products in 2012, the strong performance of growth platforms, reduced exposure to future losses patents and progress in R & D position (Sanofi) for a period of sustainable growth ".

As expected, the loss of patent for Plavix and Avapro in the United States should reduce the net income from about 1.4 billion euros in 2012. 

In addition, the American justice confirmed Tuesday the authorization to market a generic version of Lovenox anticoagulant, denying the accused the French laboratory that re U.S. FDA regulator for not having followed the procedures.

Lovenox was one of the top-selling medicines by Sanofi, with sales of close to four billion dollars a year, before the arrival on the market a generic version ; summer 2010.

Meanwhile, Sanofi and its U.S. partner Bristol-Myers Squibb announced that Apotex had paid them 442.2 million worth of damages to which she had e ; tee convicted in the trial for patent infringement of Plavix. 

DIVIDEND TO 2.65 EUROS PER SHARE

Sanofi also announced that improving the production of Genzyme was "well underway" following approval by the U.S. and European health authorities at the new , Framingham, Massachusetts.

The company said that its U.S. subsidiary continues to hope for an improvement of their supplies of Cerezyme (Gaucher disease) as of this month and that globally, the return Total to normal production levels of Fabrazyme (Fabry disease) begin in the second quarter.

Fabrazyme and Cerezyme generated more than $ 1.7 billion in revenue in 2008, before their sales collapse by 29% in 2009 and another 25% the year following a failure in industrial. It is in this context that Sanofi Genzyme acquired in spring 2011 to more than $ 20 billion.

Oddo Securities analyst Jean-Jacques Le Fur said that "the results and predictions of Sanofi are in line with expectations. This means that the group holds out its roadmap and this bodes well for the future "

. the fourth quarter 2011, Sales of Sanofi rose 8.8% (+9.2% at constant exchange rates) to 8.508 million euros (8,535.6 million consensus), operating profit by 11.3% to 2.828 million (consensus 2931.5 million) and net profit by 13% to 2.077 million (consensus 2071.7 million) or 1.56 euro per share (1.55 euro) ..

……. Sales Genzyme, consolidated as of 1 April 2011, rose 7.7% to 2.395 million euros … Under

…… fiscal 2011, Sanofi proposes a dividend of 2.65 euros per share, against 2.50 euros in 2010 ….. ….