CPC to cut prices
State-run CPC Corp, Taiwan (CPC, 台灣中油) announced yesterday it would cut this month’s prices of liquefied petroleum gas (LPG) and fuel oil to reflect the declining costs of energy. Beginning today, CPC will lower the prices of household and industrial LPG by NT$5.5 per kilogram and drop those for vehicles by NT$3 per liter, the company said. Under the new adjustments, the price of LPG will be NT$22.21 per kilogram for households, NT$25.30 per kilogram for industrial users, and NT$15.5 to NT$17.50 per liter for vehicles, the company’s tallies showed. As for the price of a 20kg household gas cylinder, users will see prices drop by NT$110. CPC will also cut prices of low sulfur fuel oil by NT$4,516 per kiloliter to NT$15,397, the statement said.
Ministry may reject tax
The Hualien County Government’s plan to levy carbon tax on companies that generate carbon dioxide emissions may be rejected by the Ministry of Finance, the Chinese-language Commercial Times reported yesterday, citing Minister of Finance Lee Sush-der (李述德). The county government’s plan to levy the energy tax on fuel users by NT$50 per tonne of carbon dioxide emissions generated was given a green light by the ministry during a preliminary review on Oct. 7. But in view of objection from the Ministry of Economic Affairs, the finance ministry has decided to soon conduct a second review on the tax plan to clarify whether the carbon tax is a national tax or a local tax, the paper said.
Exchange to ease policies
Taiwan Futures Exchange Corp chairman Andy Yeh (葉景成) said the exchange will allow investors to use all fair value securities, including stocks, as margin collateral for futures positions beginning on Nov. 10, the Chinese-language Economic Daily News reported yesterday. In hedging accounts, the proportion of stocks used as part of the margin collateral will be increased to 80 percent early next year from 50 percent at present, Yeh said.
Susan Chang to head NGO
State-run Bank of Taiwan’s (臺灣銀行) chairwoman Susan Chang (張秀蓮) has been appointed the new head of the Asian Bankers Association, the bank said in a statement yesterday. Founded in 1981 in Taipei, the association is the biggest non-governmental organization in Asia, comprising 90 membership banks across the region, the statement said.
Freedom Bank shut down
Regulators have shut down Freedom Bank, a small bank located in Bradenton, Florida. It was the 17th failure this year of a federally insured bank. The Federal Deposit Insurance Corp was appointed receiver of the bank, which had US$287 million in assets and US$254 million in deposits as of Oct. 17.
Wellington offers guarantees
New Zealand’s government offered wholesale funding guarantees yesterday to leading banks and financial institutions, seeking to boost their ability to attract investment in tight international credit markets. The move, announced jointly by the treasury and central bank, matched guarantees offered by other leading industrialized nations attempting to woo skittish international investors. The government had previously moved to guarantee retail deposits.
From the customer’s perspective, car rental is a straightforward business. The only uncertainty is whether the hire company will charge you for the scratch they discover when you hand back the vehicle. Hertz Global Holdings Inc’s bankruptcy protection filing on Friday last week was a reminder that today even the simplest business models are underpinned by a lot more financial complexity than meets the eye. The proximate cause of Hertz’s demise was of course the sudden collapse in bookings caused by COVID-19 travel restrictions. The company’s monthly revenue last month fell 73 percent year-on-year, a shortfall that even the most resilient
Uber Technologies Inc, Lyft Inc and Airbnb Inc have slashed thousands of jobs. Salesforce.com Inc and Visa Inc are letting employees work remotely for months; Twitter Inc and Square Inc are allowing them to do so for good. For the companies’ hometown of San Francisco, the moves are early signs of a dire blow. In a city with a long history of booms, busts and natural calamities, the COVID-19 pandemic has suddenly upended nearly a decade of prosperity. While municipalities across the US are grappling with economic fallout from the virus, San Francisco stands to take a deeper hit given its high
BULK PURCHASE: The French chain and Hong Kong-based Dairy Farm International reached a deal covering 224 stores, which is expected to be finalized by year’s end Carrefour SA yesterday announced it would acquire Wellcome Taiwan Co (惠康百貨) for 97 million euros (US$108.33 million), and bring all the Wellcome supermarkets (頂好超市) and Jasons Market Place stores nationwide under its banner within 12 months of the deal closing. The France-based hypermarket chain reached an agreement with Hong Kong-based Dairy Farm International Holdings (牛奶國際控股), the pan-Asian retailer that launched Wellcome Taiwan in 1987. The transaction involves 199 Wellcome supermarkets, which have average sales areas of 420m2 and 25 high-end Jasons Market Place stores, which have an average sales area of 820m2, as well as a warehouse in Taoyuan, Carrefour Taiwan (家樂福)
‘ONE-STOP SHOP’: A Miaoli official said that the factory in the Jhunan section of the Hsinchu Science Park would create more than 1,000 jobs and boost prosperity A new high-end IC packaging and testing plant planned by contract chipmaker Taiwan Semiconductor Manufacturing Co (TSMC, 台積電) in Miaoli County is expected to start operations in the middle of next year, Miaoli County Commissioner Hsu Yao-chang (徐耀昌) said. Hsu wrote on Facebook that TSMC, the world’s largest pure wafer foundry operator, would invest NT$303.2 billion (US$10.1 billion) to build the plant, the largest-ever single investment in Taiwan. However, TSMC declined to disclose the financial terms of the deal, while a company board meeting on May 12 approved a spending plan worth NT$168.2 billion as part of its investment plans. Construction of the