Rice prices jump on climate turbulence
(BANGKOK) Rice is set to rally as consumers and investors seek alternatives to wheat after heat waves, wildfires and floods ruined crops across the Northern Hemisphere.
Recovery gives China Airlines record Q2 net
(TAIPEI) China Airlines Ltd, Taiwan’s largest carrier, has posted a record quarterly profit as an economic recovery spurred demand for cargo shipments and travel.
July passenger traffic at Changi up 15.9%
(SINGAPORE) MORE than 3.67 million passengers passed through Changi Airport’s gates in July 2010, an increase of 15.9 per cent compared to July 2009.
European airlines risk sabotaging own recovery
(MADRID) As if they didn’t have enough problems, Europe’s airlines may soon be sabotaging their own recovery. Most of the continent’s legacy carriers are adding capacity despite the still- fragile market and high fuel prices. The growth will almost certainly reduce ticket prices, just when they are rising again. More caution is warranted from this most cyclical of industries – but is unlikely.
Cathay stock rises on staff pact, lower valuation
(SINGAPORE) Cathay Pacific Airways Ltd, Hong Kong’s biggest carrier, rose the most in two weeks yesterday because of an agreement with cabin crew at a unit that averted a strike and as the stock traded at a valuation cheaper than Asian rivals.
China may end death penalty for some crimes
(BEIJING) China may eliminate capital punishment for some economic crimes as it moves to curb use of the death penalty in a country that is believed to execute more people than the rest of the world combined.
ZTE wins US$254m Hungary network contract
(BEIJING) Chinese telecoms equipment maker ZTE has won a US$254 million contract to build a mobile network in Hungary, reflecting the company’s growing strength in Europe, a report said yesterday.
China Resources H1 profit up 8.5%
(HONG KONG) China Resources Power Holdings Co, the Hong Kong-listed mainland electricity producer, has increased first-half profit 8.5 per cent after boosting generation to meet demand in the world’s fastest-growing major economy.
2009 listings: S’pore sixth among 13 mid-cap markets
SINGAPORE has been ranked sixth globally in terms of the number of listings brought in last year among 13 mid-cap markets, according to a survey by audit firm Nexia International.
Transcu CEO settles dispute over debt
TRANSCU Group’s chief executive has agreed to settle a dispute with Bellezza Club Japan (BCJ), which had seized his controlling stake in Transcu as part of a debt claim by BCJ.
Wilmar sweetens sugar craving with 2 more purchases
NEARLY two months after Wilmar International Ltd shocked the market with its A$1.75 billion (S$2.11 billion) purchase of Australian conglomerate CSR Ltd’s sugar business, the Singapore-listed palm oil group yesterday unveiled two more purchases in the sugar industry, making it four acquisitions in two months.
SingTel appoints new chief of international operations
SINGAPORE Telecommunications (SingTel) has appointed Hui Weng Cheong as CEO International. The appointment will be effective from Oct 1.
SMX tie-up with TOCOM a boon for investors
INVESTORS trading on the Singapore Mercantile Exchange (SMX) and Tokyo Commodity Exchange (TOCOM) will soon be able to enjoy high-speed trading access to Singapore and Japan with the latest collaboration between the two exchanges.
Silverlake to help build CIMB regional platform
SILVERLAKE Axis, a Singapore-listed company, is one of four technology players that will help the CIMB Group build a regional core banking platform costing RM1.1 billion (S$469 million). 1Platform will be implemented across Malaysia, Indonesia, Singapore and Thailand.
Wing Tai back in the black with $69m Q4 earnings
PROPERTY group Wing Tai Holdings yesterday reported a return to the black for its fourth quarter ended June 30, 2010.
High-margin drugs push C&O to record profit
MAINBOARD-listed C&O Pharmaceutical has reported a 62 per cent jump in fourth-quarter net profit to HK$60 million (S$10.5 million), as revenue rose 16 per cent to HK$189.3 million.
Ryobi Kiso Q4 net falls 52% to $5 million
RYOBI Kiso Holdings yesterday reported a 52.1 per cent drop in net profit to $5.02 million in the fourth quarter ended June 30, from $10.47 million a year ago.
Reveal more on fair-value changes in commodity plays
FAIR-VALUE changes – depending on which way they swing – can bolster or wreak havoc on the financial bottom line of agricultural and commodities companies. This explains the often erratic nature of profitability in the industry. But while such a situation could be a norm in the industry, what is not so understandable is the frequent lack of clear explanation from companies on how fair values of agricultural and biological assets are arrived at and, more importantly, what caused those wild swings. Also, shouldn’t there be prior guidance before the release of results on what is in store for investors?
US home ownership won’t yield rich rewards again: economists
(NEW YORK) Housing in the US will eventually recover from its great swoon.
Economist urges Fed to consider rate increase
(NEW YORK) Raghuram Rajan accurately warned central bankers in 2005 of a potential financial crisis if banks lost confidence in each other. Now the former chief economist of the International Monetary Fund says the Federal Reserve should consider raising rates, even as almost 10 per cent of the US workforce remains unemployed.
Viet inflation slows for fifth month in August
(HO CHI MINH CITY) Vietnam’s inflation cooled for a fifth month in August, a slowdown that may ease concerns that the government’s devaluation of the dong will stoke price pressures.
Thai economic growth in Q2 beats estimates
(BANGKOK) Thailand’s economy expanded more than estimated last quarter as surging exports drove a recovery, countering the impact of political turmoil in April and May that prompted a crackdown on protesters.
China ramps up public housing investment
(BEIJING) With one arm, China is pouring cold water on property speculators. With the other, it is tossing a life buoy to the real estate sector via increased spending on affordable housing. It is a tricky balancing act, and the stakes are high.
Housing prices may send US back into recession
(NEW YORK) Housing led the US out of seven of the last eight recessions. This time, it may kill the recovery.
More buyers spend above $1 million on homes
MORE private home buyers are paying more than $1 million apiece for a property as prices climbed in the past year, a new report from DTZ shows.
Over 80% of Viva Vista’s shoebox units snapped up
MORE than 80 per cent of the 144 residential units in Oxley Holdings’ Viva Vista were snapped up during the project’s preview yesterday – indicating that there is still strong demand for small, or shoebox, apartments.
False Shanghai data blurs China property picture
(BEIJING) Chinese companies in Shanghai have falsified answers in replies to some surveys by the national statistics agency, calling into question the reliability of the country’s property market data.
Shanghai new home sales halved in January-July
(SHANGHAI) Sales of new homes in Shanghai dropped 48 per cent in the first seven months of 2010 from a year earlier, as China’s efforts to cool the property market began to bite, state media said yesterday.
Japan Reit bond market thaws, still faces risks
(TOKYO) Japan’s real estate investment trust (Reit) bond market is starting to thaw after two years as the economy rebounds, though property prices would need to rise for a full recovery, according to Fitch Ratings.
India’s Mahindra aims to become global SUV player
(SEOUL) Indian carmaker Mahindra and Mahindra said yesterday that it will use its purchase of South Korea’s Ssangyong Motor to become a global player in the sport utility vehicle market.
India’s proposed reforms up in the air with political wrangling
(NEW DELHI) With India’s main opposition party continuing to object to bills on tax reform and opening up the US$150 billion nuclear power market, several reforms proposed by the coalition government may be delayed.
Potash gets Sinochem, Vale overtures
(NEW YORK) Potash Corp of Saskatchewan Inc was contacted by China’s Sinochem Group and Brazil’s Vale SA as the company tries to fend off a hostile takeover from BHP Billiton, said a person with knowledge of the matter.
Merkel defends nuclear tax in clash with industry
(BERLIN) German Chancellor Angela Merkel on Sunday stood by her plan to levy a tax on nuclear power providers, pitting her coalition against industry in a turbulent return to government business after the summer lull.
Indonesian banks stock up cash for holiday spike in withdrawals
(JAKARTA) Indonesian banks are making preparations for the expected increase in banking transactions in the lead-up to the Muslim’s Idul Fitri festivities, which fall on Sept 9 and 10, local media reported here yesterday.
Indonesia inflation seen rising 1% in Aug
(JAKARTA) Indonesia’s consumer prices are seen rising by about one per cent this month and pushing annual inflation to about 6.5 per cent, above the central bank’s target, the head of the statistics bureau said yesterday. That would mark a further pick-up after July inflation came in higher than expected at 6.22 per cent, above the central bank’s year- end target range of 4-6 per cent.
‘Big scope’ for M’sian products in India
(MUMBAI) If Malaysia plays its cards well, it can easily foray into India’s huge market which has developed an insatiable appetite for good-quality products from Malaysia and other Asian countries.
Proton reports 55% jump in Q1 profits
(KUALA LUMPUR) Malaysian national carmaker Proton said yesterday its first-quarter profits had leapt 55.13 per cent on the back of rising vehicle sales and improved profit margins.
Indian ports to outsource all clean-up jobs
(NEW DELHI) Ports in India will be allowed to outsource all future clean-up operations to global agencies with expertise in the area.
S’pore, S Korea boost maritime ties with MOU
(SINGAPORE) Maritime relations between Singapore and South Korea were further forged with the signing of a memorandum of understanding (MOU) by the maritime authorities of the two countries yesterday.
Port Klang union urges standardisation
(PORT KLANG) The Union of Port Ancillary Supply Services (Unepass) yesterday called on the Port Klang Authority (PKA) to standardise the lashing and unlashing rates to avoid undercutting by contractors.
Bangladesh court deals major blow to ship-breakers
(DHAKA) Bangladesh’s Supreme Court has reimposed strict environmental controls on the country’s ship-breaking yards, a lawyer said yesterday, in a verdict likely to trigger protests from the sector.
Asian markets down but off lows
WITH the outlook for the US economy in sharp focus, risk aversion kept most key Asian markets in negative territory yesterday, though most closed off their lows.
July’s CPI edges up 1.3% from June
COST of living in Singapore rose in July compared with the previous month, reversing from a month-on- month decline in June.
UBS hopes to race ahead with Formula 1
SWISS bank UBS is coming on board as a global partner of Formula 1 (F1), in a tie-up that will be launched at the Singapore Grand Prix next month (Sept 24 to 26 ).
Sending people off with dignity
SEET Ai Mee was contemplating life after politics in 1991, surveying the social sector for an area to pour her energy into, when some friends suggested hospice work.
BT to help in two fund-raisers
THE Business Times is partnering Dover Park Hospice in two upcoming fund-raisers: its second family walk, and a charity dinner. 1. Dover Park Hospice SUNday Walk 2010: This year’s walk takes place on Sept 5 on Sentosa, where participants will walk from Tanjong Beach to Palawan Beach. Carnival activities for the family start at Tanjong Beach at 2.30pm before the walk at 4.30pm. There will be prizes for those who show up in the best sunflower-themed outfits.
‘Inclusive workforce’ needed for future growth: Swee Say
TO keep Singapore’s economy growing in the years ahead, the labour force must be more ‘inclusive’ and productive to adjust to a more limited supply of foreign workers, said labour chief Lim Swee Say to NTUC staff, union leaders, and labour partners yesterday.
Gains in some stocks offset losses in others
OUR small cap portfolio was little changed in the last five trading sessions, with gains in some stocks making up for losses in the others.
Push for ‘green’ plastic bags
FOR years, wheat husks from local food company Prima – of Prima Deli and Prima Taste fame – were carted away to its wheat milling site to be turned into animal feed.
How earrings help firm develop unique tag
HOMEGROWN radio frequency identification (RFID) tag manufacturer PTS Technologies partly owes its success to earrings.
Trio puts Singapore on navigation map
IN Transformers, the autobot Bumblebee transforms into a nifty Camaro, has its own idea of how to careen down the roads and faithfully protects its friend, Sam Witwicky, from harm. Aiming to translate reel-life to real-life with at least some of Bumblebee’s attributes is Navigator Systems, with their new product.
Humble beginnings
PTS started out in 1993 as a ‘small outfit in Macpherson’ that distributed components and did material kitting, with only three people and $50,000-$60,000 in capital. Mr Loh used his experience in procurement to secure clients, but at first it was not enough – he and his two staff drew no salary for six months. And when he finally turned a profit, he ‘gave them all the money’. They are both still working at PTS.
Uncertain outlook, so cautious optimism
Despite experiencing two quarters of sterling economic growth, SMEs here are among the least optimistic among their peers in the region, with only 49 per cent of those polled expecting better business prospects this year. This is according to a recent UPS Asia Business Monitor study. What do you think has given rise to this lacklustre sentiment? Are you optimistic or pessimistic about your company’s growth prospects this year?
Appreciate the importance of a brand – then start building it
IT IS apparent that SMEs have a growing awareness of branding issues and a conscious need to do more in this area. They are fast accepting they need to better brand themselves in order to be more competitive. However, with the numerous programmes being hosted by SPRING, SMU and other supportive organisations for Singapore’s enterprises, are there significant hurdles being raised which are causing further confusion and dismay in the minds of business owners and founders? In the light of this new language of ‘branding’ being thrown at the SMEs, are we expecting people to wear too many hats and take control of too many responsibilities?
Ready to ride any storm to deliver to its customers
EXPERIENCED – Professional – Safe – Efficient. Such is the motto of the company whose name extends with a global reach into the oil and gas industry.
Beyond green packaging
GREENPAC, as the name suggests, is into eco-friendly packaging. It also packs a punch. Today, the two-time Enterprise 50 Award winner is one of the fastest growing SMEs in Singapore, with sales doubling annually, except during the recent year of global economic recession.
Residential sector may lead hike in DC rates
(SINGAPORE) Development charges are set to appreciate further, led by the residential sector which has seen brisk land deals. These charges are payable to enhance or intensify the use of some sites.
Mortgage default rates halve in two years
(SINGAPORE) Mortgage default rates in Singapore have fallen dramatically in the last two years, as a buoyant property market and a stable employment situation helped individuals repay more easily.
SingTel may suffer fallout from A$ jitters
(SINGAPORE) While risks of a political stalemate in Australia are putting the Aussie dollar under pressure, the currency weakness is seen as a short-term blip with muted impact on Singapore-listed companies with exposure Down Under.
Gillard vows to retain mining tax
(SYDNEY) Australia’s embattled Prime Minister Julia Gillard yesterday vowed to retain a controversial tax on mining profits if she succeeds in forming a government following deadlocked national polls.
A Singaporean silver lining
SHE raised the roof in Kallang with every point she scored, but Singaporean paddler Isabelle Li just could not muster enough to deliver the gold medal finish that an entire nation was hoping for last night.
AIMS AMP Reit plans $79m rights issue
(SINGAPORE) AIMS AMP Capital Industrial REIT (AIMSAMPIREIT) is looking to acquire a ramp-up warehouse and logistics facility for $161 million, which will be partially funded through a rights issue.
Philippine bus hostage crisis ends
(MANILA) A dramatic hostage siege in the Philippine capital involving a busload of Hong Kong tourists ended after 12 hours yesterday with several captives walking free and at least 7 hostages dead.
National Day Rally Speech on Sunday
(SINGAPORE) Prime Minister Lee Hsien Loong will deliver his National Day Rally (NDR) Speech 2010 at 6.45pm on Sunday.
FJ Benjamin returns to profit with $8.3m net
ROBUST consumer spending powered by a strong recovery regionwide helped propel fashion retailer FJ Benjamin Holdings Ltd’s full-year earnings back to the black, the company announced late yesterday.
Three-Minute Digest
DEVELOPMENT charges in Singapore are set to appreciate further, led by the residential sector which has seen brisk land deals.
The strengthening ringgit
LAST week, the ringgit surged to a 28-month high against the US dollar. It closed at RM3.126 against the greenback and eased off only slightly the next day. There are several good reasons for the appreciation which should continue until, if some estimates are right, the ringgit approaches RM3 to the US dollar.
Will foreign tycoons buy into Manila gaming firm?
THE mere mention of the names of Malaysian tycoons Robert Kuok, Ananda Krishnan and Francis Yeoh as potential investors was more than enough to ramp up the privatisation prospects of Manila’s state-run gambling firm Pagcor.
The last chance for climate negotiators
IT IS hardly news that climate change talks have stalled. In fact, negotiations are going backwards. Even the little progress achieved in Copenhagen is at risk of being reversed. Worse, the humbler goal of reaching agreements in Cancun on some components of a future global climate deal seems to be at serious risk now.
Europe takes the bull by the horns
THE industrialised countries have moved from the financial meltdown through the great recession to a crisis questioning the viability and effectiveness of the political system and economic model.
Cracks starting to show in the euro
THE growing failure of European monetary union can’t be measured by superficial yardsticks such as the number of tiny euro-area economies at risk of meltdown or of monthly turbulence in currency markets. The main development has been the dashing of hopes for monetary stability.
Brokers’ Take
ASCOTT, a wholly-owned subsidiary of CapitaLand, will be injecting its interests in 28 serviced apartments in Europe (17 in France under Citadines and the Somerset brand) and Asia (eight across Singapore and Vietnam) into Ascott Residence Trust (ART) for a net purchase consideration of $970 million.
Euro under pressure, US$ falls versus yen
(NEW YORK) The euro edged lower yesterday, hurt by concerns over the euro zone economy and prospects of loose monetary policy until year-end, leading investors to bet against the single currency.
HSBC looking to buy 70% stake in Nedbank
(JOHANNESBURG) HSBC is in talks to buy up to 70 per cent of South Africa’s Nedbank, in a potential US$6.8 billion deal that would give Europe’s biggest lender a broader gateway to the fast-growing African continent.
SABMiller, Asahi eyeing Foster’s beer operations
(LONDON) Beverage groups SABMiller and Asahi Breweries are looking at Foster’s Group’s beer operations, valued at more than US$10 billion, but have not yet made any formal offers, sources say.
Television makers predict bright future for 3D sets in US
(LOS ANGELES) Now that almost two-thirds of American homes have ditched their old tube televisions for flat-screens and high-definition sets, TV makers are trying to lure consumers back into the stores for the next big thing: 3D TV.
Claimants who accept final payment cannot sue BP
(NEW YORK) Kenneth Feinberg, who yesterday started drawing from a US$20 billion escrow fund for Gulf oil spill victims, hasn’t decided whether they must waive their right to sue companies involved if they accept final reimbursement.
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