Print

Mail

wiki links

Business Briefs

China Steel to raise prices
China Steel Corp (中鋼) said it will raise domestic steel product prices in the second quarter by as much as NT$1,500 (US$43) a ton to reflect increases in international steel prices.

The increases range between NT$603 a ton and NT$1,500 a ton on products such as wire rods and hot-rolled coils and sheets and electro-galvanized sheets, the company said in a statement. It didn't give comparative percentage figures.

Demand from China pushed up international steel prices, which benefited earnings last year at government-controlled China Steel and other domestic steelmakers. China Steel's fourth-quarter profit surged almost four times after the company raised prices amid a recovery at home and in China.

Ministry may reduce fund size
The government may "slightly" reduce the proposed size of its Financial Restructuring Fund (金融重建基金) after local banks' successfully wrote off a large volume of bad loans last year, a local newspaper reported yesterday, citing Vice Minister of Finance Susan Chang (張秀蓮).

The finance ministry had previously proposed to expand the bank clean-up fund to NT$1.05 trillion (US$30.2 billion) from NT$140 billion.

But since the local banks have devoted a lot of efforts to improving their asset quality, the proposed NT$1.05 trillion-fund can be reduced slightly by no more than NT$100 billion, Chang said.

Far EasTone plans bond sale
Far EasTone Telecommunications Co (遠傳電信), the nation's third-largest publicly traded mobile-phone company, said it plans to sell NT$1.47 billion of unsecured bonds that will have maturities of not more than five years.

Taiwan Ratings Corp (中華信評) yesterday said it assigned its `twA+' issue rating to Far EasTone's upcoming five-year bonds. The ratings agency also said the outlook on Far EasTone's corporate credit rating is stable.

"Despite a very competitive market environment, Far EasTone's good profitability and prudent financial policy should enable it to continue to maintain solid credit protection measures," it said.

As of Dec. 31 last year, Far EasTone has a market share of 19 percent.

DaimlerChrysler has China plan
DaimlerChrysler AG, the world's fifth-largest carmaker, China Motor Co (中華汽車) and Fujian Auto group plan to invest more than 100 million Euro (US$108 million) in a venture to build Mercedes-Benz vehicles in China, a local newspaper reported.

The venture, to be based in Fujian Province, may be approved by Chinese authorities this year, the paper said.

DaimlerChrysler AG, owns 37 percent of Mitsubishi Motors, which has a 15 percent stake in China Motor. China Motor, Taiwan's biggest carmaker, is part of Yulon Group (裕隆集團), which also controls Yulon Motor Co (裕隆汽車).

Bank to sell shares overseas
First Financial Holding Co (第 一金控), which owns the nation's fourth-largest bank by assets, plans to sell 1 billion new shares worth NT$21.5 billion (US$618 million) to overseas investors to finance expansion and investments. The shares will be sold in the form of global depositary receipts.

NT dollar gains on US dollar
The New Taiwan dollar yesterday gained ground against its US counterpart, up NT$0.038 to close at NT$34.746 on the Taipei foreign exchange market.

Turnover was US$364 million, compared with the previous day's US$330 million.
This story has been viewed 2203 times.