■ Stock exchangeNYSE takes Manhattan
The New York Stock Exchange abandoned plans for a second trading floor that would operate simultaneously with its existing marketplace in downtown Manhattan, saying it doesn't have enough money for the project. The Big Board had been exploring a second site since the Sept. 11, 2001 terrorist attack so it could continue operating during an emergency. NYSE Chairman and Chief Executive Richard Grasso said today that the economy derailed the plan. It's too "expensive for us and the firms who do business here," he said at a news conference "It is a very difficult economy. There is no avoiding that reality." In case of an emergency, the NYSE will make do with a back-up floor at an undisclosed location that can be put into operation within 36 hours. The exchange, which shut down for four days after the 2001 attack, spent US$25 million for the 18,300m2 alternate space, Grasso said.
■ Retailers
Japan more convenient
Along with a liter of milk, ball of rice and pack of cigarettes, Japanese consumers may soon be able to pick up government bonds at their local convenience stores, Finance Minister Masajuro Shiokawa said Friday. "People have this image that you have to go to a financial institution to buy government bonds. But I'd like to make it so the regular person can just put on their slippers and go buy them," Shiokawa said. A finance ministry spokesman said a legal revision would have to be made to accommodate convenience store sales and at present no date was set for their introduction. Orders for government bonds targeted at individuals, which can be bought for a minimum ¥10,000 (US$84) instead of the ¥50,000 for normal bonds, sold out when post offices were allowed to sell them for the first time in February. Several financial institutions, handling orders for the first time, also sold out.
■ Banking
Sumitomo expects loss
Japanese megabank Sumitomo Mitsui Financial Group on Friday reversed a profit forecast for the year to March to a net loss of ¥470 billion (US3.9 billion) due to increased bad loan write-offs. SMFG had previously expected a profit of ¥30 billion for the period, but downgraded its projection as bad loan disposals surged to ¥1.07 trillion from ¥700 billion seen previously as the government grew tougher on banks to clean up their balance sheets. It now expects to suffer a recurring loss of ¥530 billion in the financial year just ended instead of a ¥200 billion profit, the bank said.
■ Crude oil
Prices start to edge lower
World oil prices edged down slightly on Friday after the rises of the previous day, as traders took heart from rapid US-led advances on Baghdad. In London, the price of reference Brent North Sea crude oil for May delivery slipped US$0.33 to US$25.17 a barrel in early trades. New York's benchmark light sweet crude oil contract for May delivery fell US$0.27 to US$28.70 a barrel in out-of-hours electronic trading. Both markets had moved slightly upwards Thursday after fears that it might take months before Iraq's oil supplies flowed again. On Friday, US forces took almost total control of Baghdad airport as the city was plunged into darkness ahead of a seemingly looming final assault.
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