World and National News

Thousands of patrons are expected today on the HEC campus in Jouy-en-Josas, a suburb of Paris to attend the first day of summer schools of the MEDEF, will run until Friday.

Re-elected handily in July for a second term of three years, Laurence Parisot has decided to head for the international competitiveness of enterprises. It therefore logically chosen as the theme for this event "The strangeness of the world" to show how the economic crisis has transformed the rules and forces companies to explore new modes of employment. "We face a world that we know but we do not recognize: we know China and India, but we did not imagine they would change so quickly at this point," says the President of the MEDEF.

175 stakeholders from 27 nationalities will be present during these three days.The opening session will be addressed by business leaders from North and South. Hari Bhartia, President of the Confederation of Indian Industry, John Chambers, CEO of Cisco, a giant high-tech American, Jacques Diouf, FAO Director General, Tom Donohue, president of the U.S. Chamber of Commerce and China's Yan Wan , founder of sina.com, China's first website information on the Internet, will interact with Laurence Parisot.A telepresence, an improved form of teleconferencing, will allow the Chinese to attend these debates.

Defending entrepreneurship

Ten cabinet members, including Christine Lagarde, Minister of Economy, Herve Morin, Minister of Defense, and Hervé Novelli, Secretary of State for SMEs and Crafts, as well as leaders of the CAC 40, which Frederick Oudéa , CEO of Societe Generale, and Christophe de Margerie, Total's CEO, will participate in these universities.

Medef will also defend the spirit of enterprise and new forms of entrepreneurship as a freelancer. The employers' organization wishes to put his back under the banner of "competitiveness more equitable.

She also wants to emphasize the key role of medium-sized companies employing between 250 and 5000 employees, SMEs and micro enterprises to resume growth.Laurence Parisot hope that the next G20 dealing with the matter of funding.

Opening in fall of 0.25% at 10,015 points, the Dow Jones continues on the downward slope. The 10,000 points are close, while Monday and Tuesday, the index has already fallen sharply.

On Wednesday, new orders for durable goods in the U.S. rose 0.3%, much lower than expected in July, and after two consecutive months of declines. A further blow, when an increase of 2.8% was expected, especially by public transport, with the Farnborough Airshow (47 billion dollars in one week).

Fears of a slowdown in economic activity grows with each new bad news in that order. Just yesterday, sales of existing homes fell more than 27%, which has shaken global stock markets.And U.S. growth should be revised down sharply on Friday.

The technology followed

As for values, technology, which derive from several days down the coast, remain controlled. Especially since they are also often at the heart of big mergers and acquisitions.

The investors thus have an eye on Cisco (-0.9% to 20.93 dollars) and Dell (0.73% to 11.67 dollars), penalized by expectations of raising its bid for 3PAR (-1 , 07% to $ 26.75).The maker of data storage systems has announced on Tuesday he gave three days at computer maker Dell to revise upwards its bid after bid "probably higher" Hewlett-Packard ( HP, 0.37% to 38.53 dollars).

The saga of the hostile takeover of mining giant BHP Billiton (-1.12% to 64.69 dollars) – which today presents its annual results, with net profit more than doubled in 2009/10 to 12.72 billion dollars – the king of fertilizers Potash (-1.42% to 146.99 dollars), seeking a white knight, bounces. The U.S. stock regulator, the SEC said on Tuesday the freezing of financial assets of two Spanish, one part of Banco Santander, on accusations of insider trading in the attempted takeover of Canadian fertilizer producer Potash mining group BHP Billiton.

On the occasion of the presentation of its accounts, however, BHP Billiton is used to calm speculation the event of any significant raising its hostile bid of 39 billion dollars (30 billion euros) Potash fertilizer leading manufacturer in the world, despite the magnitude of his war chest.

The U.S. computer giant Apple (-0.15% to 238.58 dollars) is close to a deal with Disney media groups (-0.5% to U.S. $ 31.98) and News Corp., parent of chains Television, Fox to offer their series to rent on iTunes, said Tuesday the New York Times.

Campbell, world number one soup, advances in its acquisition of Britain's United Biscuits, and more specifically, its branch Biscuits, which represents three-quarters of its business.

The index futures Standard & Poor's 500 and Nasdaq 100 fell back modestly, respectively, from 0.04% to 1049.40 points and 0.17% to 1770.75 points in mid-day. The Dow Jones is projected to open in tiny drop of 0.06%

The U.S. stock market could then recover a bit, after falling heavily on Tuesday night. They have been depressed by the announcement of resales of existing homes to a record low. The Dow Jones has sold 1.3%, barely above the 10,000 points, to 10,040.45 points exactly. Fears of a slowdown in economic activity grows with each new bad news in that order. Especially since U.S. growth should be revised down sharply on Friday.

Meanwhile, on Wednesday, the new macroeconomic indicators should be more optimistic than yesterday. Sales of existing homes could well rebound.Orders for durable goods may for them be more frank increase in July. An increase in relative terms, however, because it will rely heavily on transport, especially for orders received in July, at the last Farnborough Air Show (47 billion dollars in one week).

As for values, technology, which derive from several days down the coast, remain controlled. Especially since they are also often at the heart of big mergers and acquisitions.

Investors keep an eye on Cisco (-2.5% Tuesday in closing) and Dell (-3%), penalized by expectations of raising its bid for 3PAR.The maker of data storage systems has announced on Tuesday he gave three days at computer maker Dell to revise upwards its bid after bid "probably higher" Hewlett-Packard ( HP).

The saga of the hostile takeover of mining giant BHP Billiton (which today presents its annual results, with net profit more than doubled in 2009/10 to 12.72 billion dollars) on the King of Potash Fertilizer in search a white knight bounces. The U.S. stock regulator, the SEC said on Tuesday the freezing of financial assets of two Spanish, one part of Banco Santander, on accusations of insider trading in the attempted takeover of Canadian fertilizer producer Potash mining group BHP Billiton.On the occasion of the presentation of its accounts, however, BHP Billiton is used to calm speculation the event of any significant raising its hostile bid of 39 billion dollars (30 billion euros) Potash fertilizer leading manufacturer in the world, despite the magnitude of his war chest.

The U.S. computer giant Apple is close to a deal with media companies Disney and News Corp., parent company of TV channels, Fox series to offer their rent on iTunes, said Tuesday the New York Times.

Campbell, world number one soup, advances in its acquisition of Britain's United Biscuits, and more specifically, its branch Biscuits, which represents three-quarters of its business.

Potash did not find "white knight", but, as expected, refused the offer considered inadequate for BHP Billiton. It is thus a failure for BHP Billiton, one week after Potash rejected his friendly offer of 38.6 billion dollars. "The board of directors of Potash Corp. is unanimous in its opinion that BHP Billiton's offer significantly undervalues the group and reflects neither its number one position in a strategic sector or our growth prospects unparalleled, "said the CEO of the Canadian group, Bill Doyle in a statement. The Canadian group calls its shareholders to reject hostile bid also BHP Billiton.At the London Stock Exchange, the markets welcomed information: the action BHP Billiton gained 2% to 1,857.50 pence in a market up 0.80%.

Confirming the information conveyed by some media as the Wall Street Journal and Bloomberg, Potash studying "alternative transaction" with other potential buyers. "Discussions are taking place with several of these third parties in order to generate value-creating alternatives" Potash Corp. has developed.

The Wall Street Journal, a consortium led by a Chinese investment fund, Hopu Investment Management, is studying the possibility of submitting a bid to Potash.As for Bloomberg, he argues the tracks of Chinese Sinochem and Brazilian Vale.

The world's largest producer of potash hopes to make this operation more than 39 billion dollars (30.7 billion euros) proposed by BHP Billiton.

The Anglo-Australian mining giant BHP Billiton last week announced a hostile takeover bid that values Potash Corp. of around 40 billion dollars, 31 billion euros, which opened formally on Friday.

The French insurer Groupama has released disappointing interim results. Its net profit reached 127 million euros, down 23.6% YoY. The group accuses the shock of the storm Xynthia and high volatility on financial markets.

Its combined ratio of activities damage (sum of management fees and cost of claims in the total premium income) deteriorated to 104.5%: insurance costs thus exceed the premiums. This poor performance is explained by the ravages of storms, but also by the increase in automobile accidents.

Groupama maintains its ambition to achieve by 2012 an operating profit of 700 million euros. In the first half of 2010, this result was limited to a modest 179 million euros."Programs to improve the operational performance will continue during the second semester," pleaded John Azema, CEO of the mutual group.

Groupama has been preparing since early 2006 to go public. The operation would be launched following a major acquisition. Acquisition, still awaited. The time of the introduction has not yet come, but the operation remains in the long-term strategy of the mutual insurer, however, provides the CFO Christian Collin.

The cost of electricity will increase. The Department of Ecology and Energy has announced on Tuesday an increase of electricity tariffs by 3.4% on average, applicable from 15 August. Individuals will be affected up to 3%, and small, medium and large enterprises respectively 4%, 4.5% and 5%.

In accordance with normal procedures, the government seized on Tuesday of this project Regulatory Commission of Energy, however, that issue an advisory opinion. Whatever the opinion, the increase in electricity rates should cover 28.5 million individual customers and 4 million companies, representing 94% of French consumers.Last year, the bill had already risen on average by 2.3%.

With this new increase, the government is "to bring the price of electricity from its actual cost, in line with an opinion a few days ago by the International Atomic Energy Agency (IEA) low rates payday advance.

In its report, the IEA was concerned because of the artificially low price of electricity in France. Prices are set ultimately by the government, the agency stressed that they are therefore likely to be "politically motivated" and is well below the rates charged by our European neighbors. Even after this increase, prices should remain at 25-35% lower than the European average, the government argues.A low level that would jeopardize the development of new nuclear capacity French, believes his side the agency.

LE FIGARO. – How do you improve your sales and your profits in the first half?

Benoît Potier. – It's an interesting semester. It marks both a recovery in volumes directly linked to the global economy and an upturn in industrial projects. The industry again expressed his interest in the preparation of the future.

We found the pre-crisis levels in virtually all market segments. Only construction accuses six to twelve months behind schedule. Offset restart cycles. Overall, growth in volumes that logically resulted in 10% of our turnover, which grows in all businesses and geographies. However, Air Liquide is one of the industries that were more resistant, with a decline of only 5% in 2009. Moreover, our turnover is 4% higher than the first half of 2008.In this period of euphoria that some groups show up to 30% growth, it is important to see what is the basis for comparison. Our results were up 12% over the same period in 2008.

You can find levels of profitability higher than pre-crisis. Your business has changed significantly in two years?

There is a real disconnect between emerging and mature economies. Our sales increased by 6% in mature economies and 30% in emerging which represent 20% "only" the activity of the group, or two thirds of our growth. In twelve months, the distribution of our investments has changed structurally. It went from 50/50 between emerging and mature to 80/20.However, be careful not to bury the mature markets, growth of 6% is good, there are many industries that satisfied with them.

But to give you an example, our sales in China in the first half of 2010 rose 65% and they had also increased last year. China is catching up with the level of industrialized countries in streamlining its industry. There is no excess production capacity. Typically, we have seen closure of four sites steelmakers, grouped into a larger one. The latter now invests in technology and modern capabilities. All the industrial world benefit.

Chemistry, property and equipment, how do you explain that the whole industry registered a sharp improvement in its growth and profitability?

The crisis has hit so hard that companies do not have any choice.They had to rest fundamental questions about their structures, their capacity, so their exposure to market, their management parameters. I think all industries are now much stronger than before the crisis. Faced with problems of liquidity and access to financing, companies have strengthened their balance sheets. Their debts are either stable – for those who invest and continue to grow, it is the case of Air Liquide – is declining.

What do you recommend to stop the loss of competitiveness of French industry?

It is a vast subject. The ideal solutions for the industry have not yet been found in Europe and in different countries. Whether as a planned or coordinated, it seems that Europe has not sufficiently defined what strategies or industrial sectors in which it wants to occupy a leadership position.It means rather the leaders speak on a national solution, which is logical, but we do not have European body for industrial communication, unlike the U.S., China and Japan which are three countries integrated and better than us in the definition of industrial strategy. We are losing a major card: The strength in unity. In addition it must maintain a production base in Europe, since that's where ideas materialize. Without production, we have more innovation, but only for research.

European standards they penalize the industry?

Europe does not want to be a hindrance, but it seems to suffer from the narrowness of the missions that have been determined in different organs. The European Central Bank is there to control inflation while the Fed has a wider role.The European Commission organizes the market, ensures fluidity but has no mandate to make Europe competitive beyond its borders. It does not take sufficient account of the external markets. The European institutions can improve.

What makes you confident for the end of the year and may be beyond?

The resumption of growth projects. Signing of contracts shows that the client is ready to commit and so are we. Every time we sign a contract, we bring a stone to the growth of 2012-2013, or even 2015.

You do not fear a relapse of the economy?

The answer is clear: no. We have seen nothing that points in the first half as a direct risk. Since the crisis, we follow the weekly volume of gas consumed by our customers.In case of "double deep", it would stop producing customers, making maintenance. This is not the case. The situation is normal. It must occur because the world consumes. We are almost out of the zone of turbulence to go toward growth, even if the signal "attached belt" remains lit.

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"Air Liquide is still growth in 2010

The sun should be looking good these next few days on the coast of the Vendee and Charente-Maritime. In this time of summer vacation, the sea should also be delicious. Nothing like with the weather of February 28 last, when the storm Xynthia that swept the country sowed chaos in this part of the Atlantic coast. In the only common Vendée La Faute-sur-Mer and The Sting-sur-Mer, the most affected by the storm, 29 people died. Nearly five months after tragedy, these two villages devastated recovering gradually. But in this popular tourist region during the summer, Xynthia has left marks that plagued the start of the season.

If the Office of Tourism Osten-sur-Mer laments a decline in attendance of about 10%, traders stand more negative findings."The customer is down 30% to 40%," says Pascale Soussi Restaurant La Terrasse in Sin-sur-Mer. "And it was discussed among traders: It's the same for everyone. At the restaurant La Marina, sixty meals are served daily on the usual hundreds. At the Hotel du Port, Osten-sur-Mer, Sophie Ramon prepare a statement even less favorable in the hotel which was flooded by 82 inches of water in late February and closed more than a month, attendance was halved.

Three campgrounds closed

In case the destruction of several campsites and many second homes have contributed to empty the streets of the town. A La Faute-sur-Mer, the municipal camp was finally closed and that the Blue Waves should not reopen until April 2011.As for camping Municipal The Sting-sur-Mer, it is only half available: caravans and tents can again take up residence in the "upper" since July 1. But the other part, where you could rent mobile homes, chalets and caravans, remains closed for repairs. It represents, in itself, a hundred beds and less.

Overall, La Faute-sur-Mer, about 8000 tourists were least expected, on the 35,000 usually greeted each summer. Added to an unfavorable economic situation by traders, these accommodations are destroyed a significant shortfall.

Ile de Re also shows a small decrease

A few dozen kilometers south of La Faute-sur-Mer on the Ile de Ré, the damage from the storm were less important. "The island is absolutely destroyed!", Recalled the manager of a hotel restaurant.A campsite for a works council remains closed this season and the hotel Odalys does not welcome new visitors that from 31 July.

Le Relais Thalasso, also closed after the storm has finally reopened its doors on July 4. Four months of work have been necessary for the institution to recover from the flooding that devastated forty rooms. "Today, activity resumed normally," said facility director Didier Gireau. Our forecast for the month of August are in the standard, or even good. We have made efforts to forget the flood and that the center image is not tarnished. "

But many merchants and restaurateurs of the Ile de Ré deplore this was a small decline in attendance. Some highlight the consequences of the storm, others are pointing the finger particularly the unfavorable economic environment."The economic situation is worrying," says director of Ile de Re Tourism, Catherine Senand, refusing to incrimer the storm that left "little effects" on the island. She admits that the season has "started slowly, but expects a better August.

A "moderate" impact on departments

For François Riou, assistant executive Tourist Board of the Vendee, the impact of Xynthia remains "very moderate". Only 2% of the Vendee coast has been destroyed by the storm, "a tiny fringe" which does not affect his view, the department's tourism season. Faced with a peak at half this year, local tourism professionals will therefore want reassurances on their prospects."Only two campsites are closed on the 400 account the Vendee," he recalls.

Even finding across the neighboring department: "After the storm, only 3% of the infrastructure of Charente-Maritime have been affected," said Stephane Villain, president of the Tourism Committee of the department. "The summer looks very good," he says. "The reservation rate is substantially identical to that of 2009 which was a very good year." And we promise to visitors that the hospitality will be at appointment: "People have worked hard to accommodate visitors in very good conditions," says Stephane Villain. They may be even better than usual ".

The image of the region involved

The image of the Atlantic is at stake, as evidenced by the television campaign to promote tourism in the Vendee.Circulated in early June, the commercials were intended to "remind the values of hospitality and tourism" of the department, according to François Riou.

The regions affected by Xynthia therefore trying now to convince visitors that they are again ready to welcome them, with their usual charm and tranquility.

The U.S. stock markets started Wednesday's session in hesitation, but soon found the beautiful colors at the beginning of the meeting, brought by investors reassured by better earnings prospects in the banking sector. An enthusiasm that was accentuated throughout the meeting: at the close, the Dow Jones climbed 2.82% to 10,018 points (best performance since May 27), again surpassing the psychological barrier of 10,000 points for the first time since June 28, the S & P flies from 3.13% to 1060 points and the Nasdaq similarly 3.1% to 2159 points.

State Street Bank (9.9% to U.S. $ 36.64) outperformed all other banks, which also have very good performances, like Bank of New York Mellon (6.35%), Northern Trust Corp. (+ 6.92%), JP Morgan (4.95%), BoA (4.55 %)…

On the foreign exchange market, the euro remained stable against the dollar.It was trading at 1.2628 dollar. The day before, the euro had increased after the publication of an improvement less-than-expected activity in the services sector in the United States, highlighted by the index of purchasing managers published by IMS .

After the disappointment of Friday on the employment figures, investors should be particularly careful this week to weekly figures for unemployment benefits that are to be published Thursday.

At the dawn of interim results

On Wall Street as on most other major world places, operators should play the card of caution this week before the opening of the interim results season.

Today, the discount retailer Family Dollar Stores (-8.14% 36.23 dollar) has released disappointing interim results. This is the only company in the S & P 500 to publish its results this week.Within the Dow, the ball begins, as always, with results from Alcoa (3.23% to 10.54 dollars) July 12, next Monday.

Always on the side of values, Google (3.24% to 450.2 U.S. dollars) said Wednesday that it still awaiting a decision on renewing its operating license in China, needed to operate the largest Internet market in the world, said a spokesman for the American company and a Chinese official.

Is this a declaration of war? A sneak attack against a competitor already criticized from all sides? Rating agency Standard & Poor's announced mid-week she placed the note in its rival Moody's under review with negative implications. Translation: "S & P is considering lowering the rating of its counterpart.

Standard & Poor's predicted an earthquake in the scoring in the United States. She believes that the current reforms on the financial regulation in the United States threatens the business of Moody's. For example, "investors may sue the agencies in the event of fraudulent or reckless notation, notes S & P, which" increased legal costs of Moody's "dramatically," says S & P.

Moody's might also face a drop in sales, ahead its competitor.New laws in effect remove the references to footnotes in regulatory agencies and investors could then no longer need their services.

Black Series

The decision by Standard & Poor's added to the long series of bad news qu'essuient its competitor. In recent months, Moody's has seen some of its former analysts testify against her before the U.S. Senate. One of its main shareholder, billionaire Warren Buffett, has withdrawn in part. And the agency was roundly criticized by some investors for notes attributed too generous to Greece, Portugal or Spain. When she does not suffer from the wrath of authorities for the untimely degradation States Notes.

Logically, these arguments on the ratings business in general, thus also relates to Standard & Poor's."This decision serves as a warning signal for the whole sector," Norbert Gaillard analysis, an economist and specialist agencies. The agencies are so far very profitable, with operating margins (operating income compared to the number of cases) between 30 and 40%.

Concerns about the sector

The agency derives she shot in the foot by publicly expressing concern about the future of its industry? Yes and no. If she criticizes his rival, it is mainly because the turnover of the latter depends on more than 90% of rating business alone. This is not the case of S & P. "She has put in place, long ago, a diversified business model (financial, S & P 500), regulatory reforms under threat," said Norbert Gaillard.

Moody's will be difficult to replicate its rival news: it is not publicly traded, it is backed by a large group, McGraw Hill. And if attacked, S & P will always assert its good faith by recalling that it had downgraded the rating of its own parent a few years ago.