‘Competitive harm’ from BA, AA tie-up
(WASHINGTON) The US Department of Justice’s (DOJ) said on Tuesday that a tie-up of British Airways and American Airlines for transatlantic flights would lead to ‘competitive harm’ and called for restrictions on the deal.
Boeing buys stake in 787 facility
(ATLANTA) Boeing Co said on Tuesday that it acquired a Finmeccanica unit’s interest in a US facility that assembles the fuselage for its 787 Dreamliner, a deal that makes the plane maker the sole owner of the entity and gives it more control over production.
American Airlines jet overshoots runway
(MIAMI) An American Airlines Boeing 737 overshot the runway while landing in driving rain at the international airport in Kingston, Jamaica on Tuesday night, but the company said there were no fatalities or serious injuries.
Phone makers re-draw their battle lines
IN 2009, smart-phone sales bucked the global economic decline. And in the next 12 months, phone makers will increasingly shift the focus of their rivalry from the hardware front to the applications that can be added to these feature-packed handsets.
iPhone still the one this festive season
THE iPhone is still the apple of many a boss’s eye when it comes to Christmas gifts.
China’s Internet firms likely to spin off units, say analysts
(SHANGHAI) Chinese Internet firms are eyeing more spin-off offerings after raising nearly US$1.5 billion this year as they bank on strong foreign interest in high growth China plays.
Microsoft loses Word appeal, will adjust program
(SEATTLE) Microsoft Corp said on Tuesday it will tweak its Word application to remove a feature judged to be a breach of patent, ensuring that it will be able to continue selling one of its most widely used programs.
Beijing expands control on Internet with new website rules
(BEIJING) China has issued new regulations that expand its Internet controls by tightening procedures for domain name registration.
BAIC to develop brand with Saab technology
(BEIJING) Beijing Automotive Industry Holding Corp (BAIC), China’s fifth-largest carmaker, will launch an aggressive campaign to develop its brand both at home and overseas, after buying car designs from General Motors’ Saab unit.
Ford expects Volvo deal with Geely in Q1
(STOCKHOLM) Ford Motor Co said yesterday that it is close to selling its loss-making Volvo unit to China’s Geely and expects a final deal in the first quarter of 2010.
Exports may boost China’s growth to 12%: economist
(SHANGHAI) China’s growth may surge to as much as 12 per cent next year, increasing the risk from inflation, unless the government raises interest rates, Citic Securities Co chief economist Zhu Jianfang said.
China promises stricter lending control in 2010
(BEIJING) China yesterday vowed to exercise stricter control over bank lending next year, guiding credit to new energy projects and consumers, while choking off financing to polluters and sectors riddled by overcapacity.
Harrah’s looking to expand in Macau
(NEW YORK) Harrah’s Entertainment Inc chairman and chief executive Gary Loveman wants to bring the Caesars Palace brand to Macau as the world’s biggest casino company seeks new markets for growth.
Z-Obee shares dive 20% on dual-listing snag
SHARES of Z-Obee Holdings dived some 20 per cent yesterday after its dual-listing application hit a snag.
SGX spells out guidelines for handling big orders
THE Singapore Exchange (SGX) has warned brokers and remisiers to exercise special care when handling large trading orders that could distort the market.
Asian startup hedge funds beat peers
(TOKYO) Asian startup hedge funds have returned an average 22 per cent this year, beating global peers and boosting their chances of attracting investors in 2010.
Ex-Millennium exec plans to set up hedge fund
ALBERT Ee, a former managing director of Millennium Management LLC’s Asian business, said that he plans to set up a hedge fund in Singapore that will seek to profit from bets on broad economic trends.
The making of a Tier 1 player
DIFFICULT as the global financial meltdown might have been, it was not the most severe testing time in the career of STATS ChipPAC chief executive and president Tan Lay Koon.
The boss connects the dots
AS a boss, STATS ChipPAC’s president and chief executive Tan Lay Koon is results-oriented and sets clear key performance indicators (KPIs) for staff.
Company Briefs
JARDINE Cycle & Carriage Limited has subscribed for new shares representing a 5.8 per cent stake in the enlarged share capital of Truong Hai Auto Corporation (Thaco).
Reit takeover guidelines require closer look
WHAT exactly does it mean when a Reit is taken over? In the case of other corporate entities, it’s fairly clear that when a general offer is made after the 30 per cent trigger point is reached, control of the company and the subsequent economic decision-making will pass into the hands of the successful takeover party.
Swiss tax on bank clients won’t meet standards, says UK
(GENEVA) Swiss proposals for a withholding tax on foreigners’ bank accounts that would allow client identities to remain secret don’t meet international standards, UK tax authorities said.
Beijing imposes anti-dumping duties on EU-made screws
(BEIJING) China yesterday slapped anti-dumping duties on imports of carbon steel fasteners from the European Union, just a day after the EU extended import duties on shoes from China and Vietnam.
NZ Q3 growth is less than expected 0.2%
(WELLINGTON) New Zealand’s economy grew less than economists estimated in the third quarter, driving the nation’s currency to a three-month low on speculation that the central bank may not need to raise interest rates until mid-2010.
Vietnam to limit 2010 credit growth to 25%
(HANOI) Stepping up vigilance against rising inflation pressures, the Vietnamese central bank says it will aim to limit credit growth next year to around 25 per cent, down from 38 per cent in the current year.
S Korea to delay income tax cuts by two years
(SEOUL) South Korea plans to delay cutting corporate and individual income tax rates by two years as lawmakers seek to shore up budget revenue in Asia’s fourth largest economy.
The practice of foreclosure stripping
(LAS VEGAS) ‘Stripping House – Before Foreclosure,’ the ad declared, offering potential buyers the cabinets and countertops, the sinks and toilets, the doors, the appliances, the sprinklers. Even the palm and citrus trees in the yard were for sale, with a catch.
Major Hong Kong land sale may net up to HK$13b for two sites
(HONG KONG) Cheung Kong (Holdings) Ltd, Sino Land Co and other Hong Kong builders seeking to replenish land reserves may pay up to HK$13 billion (S$2.4 billion) in next week’s government auction of two waterfront properties in the New Territories, analysts said.
Manhattan apartment rents decline as joblessness climbs
(NEW YORK) Manhattan rents fell as much as 7 per cent in the year ended Dec 15 as the recession helped some tenants move up to larger apartments for less.
Capitalising on glut of condominiums in US
(NEW YORK) For most Americans, the US housing market collapsed about four years ago. For three real estate heavyweights, it’s just getting started.
Seoul apartment prices up 23.7% in 9 months
(SEOUL) Apartment prices in the capital Seoul rose 23.7 per cent in the first nine months of the year, South Korean government data released for the first time yesterday showed, 10 times as fast as a private bank reported earlier.
India overtakes Japan as the compact car hub
(MUMBAI) India has emerged the leader in small cars, overtaking Japan, as declining sales in Western markets coupled with robust growth in Asia redraws the global map of the auto industry faster than many expected.
In the throes of economic change
BY all accounts, next year marks a crossroads for Malaysia. Having grown stagnant and uncompetitive against other emerging markets, the low value-added, low-wage economy is struggling to transform itself into a higher-income economy at a time of low investor confidence, declining private investment and a shortage of talent.
Hong Leong can grow without local mergers
(KUALA LUMPUR) Hong Leong Bank Bhd may have an upper hand in the takeover of smaller rival EON Capital Bhd (EONCap) as it does not urgently need a local merger, while regional buys are on its radar.
Gamuda expects current projects to boost revenue
(KUALA LUMPUR) Gamuda Bhd expects its performance in the remaining quarters of the current financial year to improve with projects progressing on schedule and with the recovery of the property market.
Trading firms switch to floating storage
(SINGAPORE) At least 12 supertankers holding fuel oil and crude are anchored in south Malaysian waters, up from eight previously, as a shortage of landed tanks spurs a shift to floating storage, traders said.
A mixed session despite STI’s rise
THERE was very little to distinguish yesterday’s session from Tuesday’s – the Straits Times Index (STI) rose, the broad market was mixed, volume was low and dealers who decided not to go on vacation spent the whole day wondering if perhaps they had made the wrong decision.
Changi Airport Nov passenger traffic up 9.2%
IN the strongest showing this year, Changi Airport handled 3.36 million passengers in November.
Feedback sought for draft Charities Accounting Standard
THE Accounting Standards Council (ASC) and the office of the Commissioner of Charities (COC) are seeking views from the charity sector, accounting professionals and the public on a new draft accounting standard developed for charities here and how it should be applied.
Swiss private bank Sarasin to sidestep acquisitions in Asian drive
BANK Sarasin & Cie will forgo acquisitions as it expands in Asia, its fastest- growing market, even as hiring gets more challenging as private banks compete for talent.
COE premiums fall across the board
COE premiums fell across the board yesterday in the final bidding exercise of the year, as motor distributors cited a dearth of buyers during the festive season.
Azamara Club Cruises back in Asia
UPMARKET leisure operator Azamara Club Cruises has returned to Asia for a second straight season.
Hitting all the right notes
BACK for the fifth time, the annual charity concert ChildAid was a smashing success this year as the audience was treated to a musical extravaganza which boasted 274 performers, including a 70-strong orchestra.
MAS seeks power to seize troubled insurers
(SINGAPORE) The Monetary Authority of Singapore (MAS) is seeking sweeping new powers to seize insurers in distress and to supervise their liquidation to protect policyholders.
Helicopter Ben ready for a second landing
(SINGAPORE) Time magazine named him its Person of the Year. But The Wall Street Journal (WSJ) said last week it would be a mistake to re-appoint him for another four-year term.
More openings in financial services sector in Q3
(SINGAPORE) Job vacancies in the financial services sector soared to 1,100 by the end of September – the highest so far this year and only 100 places shy of the September 2008 figure.
Singapore food prices on the rise
(SINGAPORE) Food prices have risen consistently over the past few months. And given erratic climatic conditions, they could become even more of a concern going forward.
BOJ battling for control over yen’s exchange rate
MOVES are under way behind the scenes in Japan to wrest control over the yen’s exchange rate from the Ministry of Finance and restore it to the Bank of Japan (BOJ) – which had the power to intervene in foreign exchange markets until 1998, when the basic law governing its operations was revised.
Schumi’s back, F1′s thrilled, the world awaits
(SINGAPORE) It is perhaps ironic that a laid-back Englishman eager for a bit more dosh will give a hard-driving German a spectacular chance to win a record eighth Formula One championship title.
S’pore R&D spending up 12.4% despite downturn
(SINGAPORE) 2008 may have been marred by widespread cutbacks following the global financial malaise, but new government statistics show that local companies, in fact, stepped up their research investments when the chips were down.
Prop gurus restore pay, prepare to hire again
(SINGAPORE) Staff working at property consultancies here have been receiving good tidings from their employers.
Wealthy wonder if money can buy love
(BEIJING) Lonely this Christmas? Spare a thought for Beijing’s billionaires. The country’s economic boom over the last three decades may have generated a clutch of super-wealthy Chinese, but it has not guaranteed all of them love.
Not the right time to impose taxes, says Dubai
(DUBAI) Dubai must raise funds to feed its billions of dollars of debt but it dreads imposing taxes to avoid breaking a business model that turned it from a lazy fishing town to a regional trade and tourism hub.
Oriental plans transfer of listing to ISS
TROUBLED Oriental Century has proposed a scheme of arrangement to transfer its Catalist listing status to international school operator ISS Holdings by having ISS issue new shares to creditors and shareholders.
BT catches the spirit of the season
Readers who pick up their copies of The Business Times this Christmas and New Year’s Day will get familiar content in a different format.
Three-Minute Digest
THE Monetary Authority of Singapore is seeking sweeping new powers to seize insurers in distress and to supervise their liquidation to protect policyholders.
Will it be time to pay the piper in 2010?
THE year 2009 has been unprecedented on many fronts: the near-collapse of the world’s financial system, the coordinated massive quantitative easing and stimulus packages by major governments of the world, and the consequent substantial build-up of sovereign debt burdens.
Debt-burdened Greece could sink the euro
THERE’S a theory making the rounds comparing Greece with Lehman Brothers Holdings Inc.
China can’t play economic Santa Claus to Japan, Asia
THERE was rejoicing in Japan this week at news of the first rise in exports to China and the rest of Asia in over a year – rather as though Christmas had come a little early.
A small step in Copenhagen
MANY are angry at the seemingly rotten message from the state of Denmark. To me, the Copenhagen climate talks is still a qualified success. Indeed, can we really expect a result from such a jamboree of nations that will please everyone?
Doha Round: No breath, but not dead
FOR those who believe that trade liberalisation promotes economic prosperity and peace, the continued stalemate in the Doha round of negotiations is of serious concern. Country leaders are still not ready to make the compromises needed to at least resume meaningful trade negotiations.
Brokers’ Take
KEPPEL’S wholly owned subsidiary Keppel FELS Brasil has won another contract from Noble to upgrade and repair a third Brazil-based drill-ship for US$152 million, soon after securing two drillship upgrading contracts from Noble in late November.
Ringgit, baht at multi-week lows
(SINGAPORE) The Malaysian ringgit and Thai baht fell to multi-week lows yesterday as the US dollar held broadly firm, while the Chinese yuan inched up in offshore forwards trading to extend gains from the previous day.
Surprise 11% drop in Nov new home purchases
(WASHINGTON) Purchases of new homes in the US unexpectedly fell last month, indicating a recovery from the worst housing slump since the Great Depression will be slow to develop.
‘Harassed’ Nestle suspends operations in Zimbabwe
(HARARE) Swiss food company Nestle has suspended operations in Zimbabwe, complaining of harassment after it pulled out of a deal to buy milk from a farm taken over by President Robert Mugabe’s family.
Cut the three-year courses to two and a little less philosophy, please
(LONDON) Britain’s universities are being given an uncomfortable reminder of the depth of the recession as the government slashes their budgets and urges them to focus on degrees that will directly benefit the economy.
Glencore issues US$2.2b of convertible bonds
(ZURICH) Commodities trader Glencore issued US$2.2 billion of convertible bonds, bringing the secretive employee-owned Swiss firm closer to a public listing and valuing it at about US$35 billion.
Obama takes loan plea to small banks
(WASHINGTON) President Obama sought to demonstrate his concern about a shortage of small-business loans on Tuesday, meeting a carefully selected group of community bankers to discuss ways of making more money available.
Debt-hit nations make US Treasuries attractive
(NEW YORK) The US government’s record debt issuance may give rise to investor anxiety down the road, but with Greece and other nations’ credit ratings in play, US Treasuries are holding on to their appeal.
High-frequency trading firms in US planning lobby group
(NEW YORK) About 25 high-frequency trading firms have discussed forming a lobbying group within the Futures Industry Association (FIA) as they move to deal with growing scrutiny in Washington.
Hollywood to end year with US$10b in box office sales
(LOS ANGELES) Audiences have given Hollywood a big present in advance of Christmas – US and Canadian movie ticket sales for the year are expected to cross the US$10 billion mark this year.
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