Archive for the 'finance' Category
Hotel Martinez divided into apartments or offices? One hypothesis is now possible according to Le Parisien in France today. The famous Art Deco hotel, which annually hosts the biggest stars of world cinema at the Cannes Film Festival, may soon be for sale by its owner, the investment fund Starwood Capital. Nearly six years after buying the group Taittinger, the American group, forced to reduce its debt, in effect withdraws progressively from the luxury hotel. After having yielded to the Israeli group Arlov Lutetia in July 2010, and the Crillon hotel to a member of the royal family of Saudi Arabia at the end of that year, Starwood Capital could be tempted to secede as the famous Cannes hotel .Bundling of several hotels including the Martinez, a $ 1.5 billion, had already almost completed in 2008.
This possibility seems this time even more credible, the newspaper said that the clause which requires the continued operation of the hotel business site has rightly expired last April 24. Imposed by the state group Taittinger redemption of the hotel in 1981, she ran that in thirty years. It is clear that if the hotel was sold to the cut, the fund Starwood Capital would clearly benefit much higher. Quoted by the newspaper, counsel for the heirs of the historic Martinez, Pierre Zeghmar, assesses the value of the total around 1 billion euros as qu'appartements separated, against only 300 million as a hotel.
If the mayor of Cannes denies fearing a possible sale, but it is going to take the precaution to enter the palaces in the local plan. A measure that would ensure their hotel assignment in assignments. But according to Pierre Zeghmar, "this measure will be effective after July 2011, leaving a window of the American group. Still, the Grand Hotel has recently invested, according to Deputy Mayor of Cannes David Lisnard quoted by Le Parisien – Aujourd'hui en France, five million euros to renovate the rooms before the G20, which will take place in Cannes in November. An "institution of this type, currently very profitable," is anyway always potentially for sale, "said the mayor.
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Hiring picked up in April in the United States. Based on the highly anticipated monthly report from the Labor Department released this Friday, 244,000 net jobs were created, when adjusted for seasonal variations, or 10.4% more than in March. It's the largest increase in employment since May 2009. The figure for March was also revised upward to 221,000 against 216,000 originally announced.
This acceleration was driven by the dynamism of the private sector has created 268,000 jobs, the highest since February 2006. Economists predicted, however, a plateau in improving U.S. labor market and had forecast 186,000 new jobs.
Unemployment rate to 9%
However, this improvement was not enough to prevent a surprise rise in unemployment.After four months of decline, it was 9% in April against 8.8% the previous month.
This rise, which goes against forecasts of analysts, was foreshadowed by the poor figures published this week: a monthly survey of firm ADP, released Wednesday, showed a slowdown in job creation in the private sector April. The next day, figures released by the Labor Department showed a surprise rebound in weekly jobless claims at 474,000 against 431,000 the previous week free online credit report.They thus reach a high of eight months.
This apparent distortion between the two statistics can be explained by the fact that the unemployment rate and the number of hires are made after two separate investigations, the first conducted with a sample of households, with the second of a sample of firms.
It could be a sign that the number of jobs created have benefited people who already have a job or it could signal an adjustment of the figures next month.
European stock markets have increased their earnings from these figures, a sign that the health of the U.S. economy is not as bad as that. In Paris the CAC 40 gained 1.26% in 4055 to 15 hours, 34 points. On the foreign exchange market, the dollar has increased its progress against the euro at 1.4547.
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In real estate, Paris is not France. So goes the refrain sung Thursday by the Higher Council of Notaries. In the capital, in fact, prices never stop rising. Last year, the increase was 17.5% and per square meter was worth, on average, 7330 euros in old housing. The boom continued in early 2011. "From December 2010 to February 2011, prices rose 5.2%, says Mr. Thierry Delesalle, president of the real estate commission of notaries in the Ile-de-France. In twelve month rolling period, from June 2010 to June 2011, we will not be far from the 20% increase. "Soon, the ceiling of 8,000 euros per square meter in Paris will be reached.
Relying on the promises of sales in the first quarter of 2011 signed, notaries believe the square meter in Paris will average 8,028 euros in June. This will rise to 15,500 euros in even the most expensive neighborhood in the capital, the Champs-Elysees.And this movement does not seem ready to break if we are to judge by the large number of transactions: first quarter in Ile-de-France, they rose 16%.
Click on the thumbnail to enlarge the graphic.
Fewer foreigners in Paris
Contrary to popular belief, foreigners are not responsible for the rampant price increases because they are less active than before the Paris market: last year, they accounted for 6.5% of buyers against 7.6% in 2009. The result? "We should see the price differences widen between areas traditionally preferred properties such as Paris and those economically disadvantaged in which a decrease has already been committed," said Pierre Bazaille, president of the Institute for Notarial real estate cash advance america. In fact, in the province, the changes are more chaotic.Overall, prices have also increased but less dramatically than in Paris. They set up in 2010 by 4.7% for older apartments and 10% for houses. But since early this year, the situation is contrasted by areas or cities.
In Lille, for example, home prices fell 6% to 170,000 euros on average in Bordeaux, one of the apartments has decreased by 1%. Less than 3% also for apartments in Rennes, where the square meter is now worth 2212 euros. On the other hand, for apartments, in Brest, the price per square foot rose by 7% to 1527 euros per square meter. The increase is more limited but very real (+3%) in Lyon, where the square meter is 3102 euros.
Difficult, with that, whether property prices will rise or decline this year in France. According to Mr. Pierre Bazaille, the trend towards a higher but moderate (between 0 and 3%).A development that will depend on exogenous factors such as rising interest rates on mortgages or advertisements referring to the SP in its program the rent freeze.
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The list of seven is finally ready. On Friday, the G20 meeting in Washington, have managed to agree on the seven countries whose impact on global economic imbalances are greatest. They are members of the old G5 70s: the United States, France, Germany, Japan and the United Kingdom, enmeshed in two powerful emerging economies, China and India .
These countries, which each weigh more than 4% of the global economy, "are clearly more systemic," according to the French Minister of Economy Christine Lagarde, who chaired the meeting. They will therefore be a "thorough assessment" of their finances to reduce the imbalances they create in the world.More concretely, the G20 will analyze the changes since 1990 and projections until 2015, several variables including their public finances, external accounts, savings and private sector debt.
Towards a global growth "balanced"
The objective of this approach is to deliver recommendations to follow for these countries. For the U.S., it will thus reduce the triple deficit, commercial and household savings. For China, it will move from growth to export-led growth fueled by domestic demand. Countries richly endowed with natural resources should also provide impetus to consumption.
On the part of capital flows in the international monetary system, emerging requested a strict evaluation of countries that are increasing the global money supply, as the United States or Japan.More broadly, the G20 also undertake to give more reliable figures and recent state of their oil production if they have one, or their stocks.
"It was a meeting of G20 subsided very, very constructive", welcomed the governor of the Banque de France, Christian Noyer. The G20 now hopes to finger the target at the summit in Pittsburgh in 2009: economic growth "strong, sustainable and balanced" for the world. A meeting of G20 finance on development issues, is scheduled for Washington in the upcoming meetings of the International Monetary Fund and World Bank in late September.
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The success of touch pads for the first time contributes to the decline in sales of computers. That is what the preliminary results of a study conducted by Gartner. The global PC market was 84.3 million units in the first quarter 2011, down 1.1% over the same period last year. These figures show a decline in sales of computers, first for 18 months. And this, when Gartner expected a rise of 3% for the first quarter of 2011.
"The low prices of consumer computers, which had long sustained growth, failed to attract buyers. Consumers have turned to the shelves and other multimedia devices in place, "says the study report, Gartner analyst, Mikako Kitagawa, noting however that the business market can limit the overall decline."With the launch of the iPad 2 in February, consumers turned to the purchase of alternative devices, or have simply chosen to buy a computer. We are studying whether this trend will have a long-term effect on the PC market. "
Declining sales due to currency
The general downward trend is however subject to disparities. If the European and Middle East is showing the first signs of decline "since the end of the recession in the fourth quarter of 2009, computer sales in Asia were up by 4.1% with 28.2 million computers for the first quarter of this year. Japan, devastated by the earthquake and tsunami of March 11, recorded the biggest drop in sales with -13.1% with only 4 million computers sold. In contrast, sales of computers in the Asia-Pacific are still growing.The Latin American market shows him the strongest momentum with an increase of 5.4% to 8.1 million units.
A lifetime of computers longer
"The consequences of events in the Middle East and Japan do not directly affect sales, but still a factor influencing the market in the short term, the findings by Gartner joins Jay Chou, senior analyst firm IDC Worldwide. "However, good quality computer products have become a reality today, with the advent of laptops, and more recently, multimedia tablet," he said in a statement. Bob O'Donnell, IDC wordlwide, is more reserved: "It is tempting to attribute the entire decline (the market) to the development of multimedia tablet, but we believe that other factors such as life longer PCs have had roles as important. "
Over the full year, Gartner predicts that sales of computers continue to "support" from their 2010 level. The upgrading of computer equipment should make it possible to support the market until late this year or early 2012.
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Billing the rent receipt, inventory costs, closing costs account … Despite the tightening of laws in recent years, many property managers continue to charge tenants for illegal payments, according to the latest study of the consumer association CLCV, as Le Figaro has procured. "We conducted an initial study on the illegal and improper billings in 2006. Since very little has changed, "says David Rodrigues, a lawyer in the CLCV. Some deviations, such as billing receipt of rent paid by check and billing renewal of the lease (up to 95 euros), however, virtually disappeared.
But other practices, though illegal, remain. Several large agencies charge and the rent receipt (between 0.53 cents and 3 euros per month). Yet it is a gratuitous act, as recalled by the 2009 law.Some managers have found a solution by charging these fees under other names. "Typically, managers prefer to play on words, citing" administrative fees "," expenditure "or" fresh chancery, '"said the study of CLCV. Others go even further, by puncturing 1.20 Access to the receipt on the Internet.
Another classic, the cost of inventory input and output (between 40 and 100 euros) imposed by some agencies, so that this act must be free in the absence of litigation.
Charges artificially undervalued
In some agencies, the tenant must pay the costs of recovery in case of late payment of rent allowed by law (about 20 euros on average). Moreover, he charges our account closure at the end of the lease (up to 60 euros).Some managers even collect 34.38 euros to reassess the annual rental charges.
Aware of some potential problems in some firms, the U.S., the largest union of property managers, regrets these abuses. "Those who do not obey the law are punishable," says Serge Ivars, President of the United States. Thus, some agencies still require the tenant to make a check (corresponding to one month's rent excluding charges) for a good book. A deposit will not recover if he changes his mind. This practice has become less frequent, but it has not totally disappeared. Yet, "since March 2007, the law prohibits Dalo the lessor to claim a reservation check.But this kind of practice continues, "the study says.
The CLCV also points out certain abuses, such as voluntary understatement of rental charges for "bait barge" and artificially lowering the rent. The study cites the example of a lease signed in 2006 with a provision for charges 30 euros per month. At the first adjustment, which occurred in 2010 (!), The provision has been revalued to 148 euros (an increase of 393%). After the tenant leaves the end of 2010, housing has been rented with a provision for expenses … 30 euros.
Why such abuse? The first reason is economic."A rent receipt charged 2.5 euros per month represents a heritage of 500 houses for example the tidy sum of 15,000 euros per year," says the study, said that property managers are already paid by the owner housing.
However, all management professionals are not housed in the same boat. "The abuses are more frequent in larger groups than in small firms," said David Rodriguez, who would like to be displayed in agency fees that a tenant does not pay.
All experts agree that this March is decisive for the euro area. So decisive that Moody's has seen fit to deliver a blow pressure on European countries, on the eve of an important EU summit, degrading the Spanish debt rating. And a few days after he had done the same with Greece.For Nicolas Veron, an economist at Bruegel European Think Tank, "Moody's does that reflect the current consensus in the markets where heads of state should quickly agree on measures to better cope with the debt crisis .
"The rating agencies want to dictate their law to Europe"
So that is precisely what Europe is about to finalize Friday, the rating agency would not she putting in new fuel to the fire? Or diagnose it a lack of enthusiasm on the part of European countries to find a consensus? Philippe Dessertine, director of the Institute of High Finance in Paris X, the rating agencies want to dictate their law to European countries. "The rating agencies are in control of their schedule," he says.Once an agency has information that allows it to ascribe with certainty a note, it must do, otherwise nobody would trust him. "
Singled out in 2010 for European countries heavily degraded and often unintentionally, the rating agencies do not fail to raise anew the questions and even criticism. The most virulent from countries concerned. In a letter to EU leaders, the Greek Finance Minister George Papaconstantinou calls for action "urgent" against these agencies to "self-fulfilling prophecies."The last degradation of Greece is more indicative of the distorted incentives of the agencies, and the fact that we do not ask them to account, that the actual situation of Greece," he adds.
Rating: "Having a better regulated environment"
Like last year, Moody's will therefore triggered the hostilities before that European countries will gather. Why did she not wait for the outcome of lce EU summit and in the case of Spain, the diagnosis provided by the Bank of Spain on the health of the banking sector? And especially since it is rather positive. As the government anticipated, Spanish banks would need 15 billion euros and not 50 billion as assessed financial markets. The Spanish Minister of Economy Elena Salgado said his "differences" with Moody's."Our decisions take into account four criteria: the strength of the economy, institutional stability, sound public finances and the likelihood of a risk" of default, Moody's defends itself from the AFP.
Anyway, this new controversy revived the issue of reforming rating agencies. And that's good, Brussels intends to offer "before the end of summer" reforms "core" on the regulation of rating agencies. "The Last Days are once again highlight the importance of having a better and more controlled environment for ratings," stressed the EU Commissioner for Economic Affairs, Olli Rehn, and one charge of financial services, Michel Barnier Thursday in a joint statement.He concluded: "It is clear that the objectives of the reforms will be to put some diversity in this highly concentrated industry, reduce the excessive reliance on notes, to improve the rating of sovereign debt, resolve conflicts interest '.
Otherwise, in addition to the thorny issue of soaring oil prices, Europe will have to address as soon as possible that the debt crisis is far from closed. Contrary to the good performance of financial markets in January and February suggest.
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Since 2007, the state is restructuring in all directions, under the spur of the general revision of public policies (RGPP). This is the recasting of the judicial system, which increased the number of jurisdictions between 1206 and 819, the establishment of bases Defense or the merger of Taxation and the Treasury, which will develop 750 wickets tax unique to individuals in late 2011. Wednesday, Baroin, the budget minister, will present a new Cabinet status report of this RGPP. The balance is positive. According to documents Bercy Le Figaro that was procured, 86% of the measures argue correctly. Only 4% are significantly behind.Among them, simplifying applications for rights for disabled or rationalization of the location property of the Department of Justice, which the wolves have triggered the ire of MPs.
Real savings on payroll
Above all, the Budget Ministry estimated 7 billion savings through RGPP from 2009 to 2011. To him, only the non-replacement of staff on two retiring has generated gross savings of 2.7 billion thanks to 100,000 job cuts from 2009 to 2011. Of these 2.7 billion, 1.4 billion were returned to staff as categorical measures. The return rate of 50% has been met by the Budget Ministry. The Court of Auditors is not of that opinion: for it, the annual savings do not exceed 100 million, due to the slippage of compensation granted to employees.Response Bercy: Court wrongly took into account the categorical measures taken before 2007 unsecured personal loans. The controversy will bounce!
Baroin also announce on Wednesday a series of new measures. Their philosophy: audit and management improvement. A review of resources allocated to the external action of the State is done, the policies of outsourcing and transfer those duties to the GSEs will be assessed. Audits of these bodies will continue, including that of the Paris Opera. Furthermore, internal audit will be strengthened in the ministries. Investments in real estate and IT will be a systematic expertise-cons.Finally, some expenditures will be scrutinized: the Ministry of Ecology will ensure that the cost of the tax credit for sustainable development (heat pump, insulation for the home) from slipping further.
The RGPP also aims to improve service to the French, by developing online services, reducing processing times (from 12.6 days in 2009 to 5 days for passports now). Baroin will present the second edition of barometer of the quality of public services. With an innovation: the degree of user satisfaction. Thus, while 77% of patients are cared for in less than four hours emergencies – rates stable against the barometer of June – only 49% of users are satisfied with their lap times to emergencies. It will take time for the French to realize improvements.
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The French are increasingly likely to be seduced by the bank online. They are now more than two million have opened an account at one of these virtual branches. Representing 2% of the market for retail banking. The movement gained momentum in 2010. In Boursorama, one of the first in this market, but will announce the results in sharp decline due to problems at its German subsidiary, "the number of bank customers doubled in 2010 compared to 2009," says his President, Ines Mercereau. For its part, ING Direct has acquired his additional 40,000 customers in 2010 and Monabanq, about 20 000. Launched in October 2009, the private bank BforBank claims 52,000 customers.
Discount Rates
This trend could accelerate in the future. These banks, which are major communication efforts should take advantage of underlying trends that include e-commerce.Suddenly, the offensive commercial business practices, including the insurers. Axa Bank, for example, has recast its offer with a goal of doubling the number of customers by 2015, rising from 720,000 to 1,400,000. Macif wants it, retain its 5 million members by offering them a unique banking offer short term personal loans.
Initially specializing in stock brokerage or savings at competitive prices, most players have grown in recent years by offering their customers the same products that a traditional bank: current account, credit card, life insurance , mutual funds and even more recently, as in mortgages Boursorama. Their most? Very low rates (often the card is free) and sites within easy reach and use. The traditional retail banks have also set up agencies online, but with rates close to those prevailing at the counter."LCL e.LCL with one of the few to have a different pricing policy," says Stephen Short, CEO of Equinox Consulting.
Who are online banks? "They are the secondary banks rather affluent customers, typically savvy banking and technophiles. They seek payment or free of financial products better, "forward Maxime Chipoy analyst UFC-Que Choisir. For now, online banks are not designed to be the major banks to their customers. "Our goal is to be the first of the second bank of our customers," says Inès Mercereau.
Objective: to distance vis-à-vis the City. While the controversy bounces across the Channel on lavish bonuses bankers, the government of David Cameron has chosen to burden of 800 million pounds (942 million) the new tax basis on the balance sheets of banks. London is well draw now £ 2.5 billion, when its previous estimates had forecast 1.7 billion. The levy, which applies to UK banks and UK subsidiaries of foreign firms, will bring another 2.5 billion in 2012 and 2.6 billion thereafter.
At first, George Osborne, Chancellor of the Exchequer, had planned a gradual rise of the levy, the successor to the windfall tax on the bonuses that had generated 3.5 billion pounds of revenue in 2010.The idea was to allow banks to replenish their equity perspective of European regulations Basel 3. But the good results of HSBC and Barclays more – 24 billion pounds expected by UK credit institutions – have changed the situation. This tax is "a fair contribution to reducing the budget deficit," said George Osborne.
Waiting for the Merlin Project
Downing Street hardens tone vis-à-vis banks just before the season officially starts do bonuses. Some see a sign that the government has little hope of obtaining commitments of moderation in this respect, as he hoped.Already, information published in newspapers across the Channel on the 9 million pound bonus Advance Bob Diamond, Barclays' chief executive, and Stuart Gulliver, head of HSBC, revived the controversy on recurrent variable remuneration payday loans.
To reconcile the financial sector in general with the public, banks and government have been trying for weeks to complete an ambitious, dubbed Project Merlin. Among its requirements, Downing Street wanted the large banking institutions limit bonuses. With an expected budget of 6 billion pounds of variable remuneration provided, the City does not seem to have listened to the dictates of moderation."It would have been better, when we save the banks, to secure something in return," coward George Osborne: "Unfortunately, I was not the chancellor at that time" …
Westminster also asked HSBC, Barclays, Lloyds and RBS in banking to provide SMEs about 190 billion pounds of loans, just like what the Elysee had negotiated with the French banks to finance the economy. In addition, the British bankers are asked to develop a £ 1 billion fund to build capital for small businesses.
"The discussions are not completed," admits George Osborne, who hopes to increase "substantial and significant" loans to businesses.And say: "I am always confident about the fact that we can reach an agreement with banks expected to increase loans to small businesses and lower bonuses."
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