Sun, Jul 22, 2007 - Page 11 News List

Business Quick Take

■ BANKING

Citigroup profits jump 18%

Citigroup Inc unveiled a better-than-expected record quarterly profit of US$6.23 billion on Friday, as its coffers overflowed with lucrative earnings from its investment banking and global operations. The company said its second-quarter net profit leapt 18 percent from the same period a year ago, with earnings per share of US$1.24. Citi chairman and chief executive Charles Prince said revenue growth in both the US and from the bank's substantial international network helped Citigroup smash Wall Street's earnings forecast. Its record-topping profit of US$6.23 billion easily overshadowed the latest quarterly earnings of Google, Microsoft, Pfizer and Yahoo, which combined amounted to about US$5.4 billion.

■ BANKING

Group to launch ABN bid

A banking consortium led by Royal Bank of Scotland PLC said on Friday it had cleared all regulatory hurdles and would launch its 71.1 billion-euro (US$97.8 billion) bid for Dutch bank ABN Amro Holding NV tomorrow as planned. The consortium's 38.40 euros per share offer for ABN Amro will last until Oct. 5, becoming unconditional if more than 80 percent of ABN shareholders tender their shares. Barclays PLC has proposed an all-share bid worth 33.86 euros per ABN share -- approximately 10 percent less than the RBS bid -- but suggested it may try to sweeten its offer. Barclays has until Aug. 6 to file its offer.

■ AUTOMOBILES

Toyota extends shutdown

Toyota Motor Corp, Japan's biggest automaker, will extend production halts because of a lack of parts after earthquake damage to a key supplier, Riken Corp. Toyota, which closed all of its factories for a day and half through Friday, decided not to restart production tomorrow, Tomomi Imai, a spokesman for Toyota said yesterday. Honda Motor Co and Nissan Motor Co, Japan's second and third-biggest automakers, will also extend domestic production halts. Honda will suspend all of its domestic auto production tomorrow, while Nissan will halt production at its four vehicle factories in Japan on Tuesday, the companies said on Friday.

■ STEEL

PRC clears Arcelor purchase

Arcelor Mittal, the world's largest steelmaker, was cleared to pay about 1.15 billion yuan (US$151 million) to increase its stake in Hunan Valin Steel Tube & Wire Co (華菱管線) to tap growth in the world's biggest steel market. The Chinese Ministry of Commerce approved Valin Steel's plan to sell 49.3 percent of 520 million new shares to Arcelor Mittal, the Chinese steelmaker said in a statement to the Shenzhen Stock Exchange yesterday. Arcelor Mittal will hold 33.3 percent of Valin Steel, from 29.5 percent now, after the share sale is completed.

■ OIL

Chavez inaugurates refinery

Venezuelan President Hugo Chavez inaugurated on Friday a 150,000-barrel-a-day refinery the nation is building in Nicaragua as part of the leftist leader's oil-funded battle against US influence in the region. Chavez said that the US$2.5 billion refinery will allow Nicaragua to earn US$700 million annually. Venezuela is building new refineries in politically aligned countries such as Nicaragua, Cuba and Brazil to ease the country's reliance on the US. Chavez also has vowed to become the sole energy supplier to Nicaragua, Cuba, Bolivia and Haiti in an attempt to strengthen his bloc, known as the Bolivarian Alternative for the Americas.

This story has been viewed 1983 times.

Comments will be moderated. Keep comments relevant to the article. Remarks containing abusive and obscene language, personal attacks of any kind or promotion will be removed and the user banned. Final decision will be at the discretion of the Taipei Times.

TOP top