There was never enough analysts, says a former Moody's and Standard Poor's has. Some had multiple dozens of folders and noted without sufficient data. Moody's in New York.
Former analysts rating agencies testified Wednesday in the Senate on their working conditions, reporting a dire shortage of manpower and intense competition among agencies that sometimes pushed to note without sufficient data .
The Senate on Tuesday launched a mission of information on credit rating agencies and which audition until July consult experts, former employees of agencies, debt issuers and investors in France and abroad.
"Your question is daunting, watermark, you ask us: + Did you know what you did? +, Told senators who questioned Anwar Hassoune, who spent seven years at Standard & Poor's and three years at Moody's. "The answer is + not + always. There is never enough analysts, "responded Normale Associate Management, a graduate of HEC and Sciences Po, who says he experienced analysts for 35 to 45 cases each
. "It is humanly impossible, we had to follow two Credit Agricole, it is not possible!", he said. For him, the analysis of Crédit Agricole would require "a battalion of a dozen analysts with 15, 20, 30 years of experience, knowing all the ins and outs of each business" of this banking giant. "But this is not sustainable economically because each entry will cost 500,000 euros and 600,000, including bonus" and your "business is dead," he said.
Behind this problem is the business model of agencies, the high margins they achieve for their shareholders, analysts have estimated the former. "It is rightly said that it is outrageous that agencies emerge as significant margins," said Catherine Gerst, who worked at Moody's Paris from 1991 to 2000, first as an analyst before becoming CEO.
Agencies who had "no obligation to reinvest in people," Ms. Gerst suggesting to create constraints of this type, for example to limit to 10 the number of entities to be processed by analyst. As for subprime ("subprime"), the agency had only two years of decline on these new products and noted "knowing full well they had no data" necessary, she lamented, explaining this fact by "too much competition between agencies."
In February, China recorded its largest trade deficit over the past decade. A sign of the deteriorating economic conditions of countries, some analysts say. China recorded in February its largest trade deficit in over a decade.
This is a record. China recorded in February its largest trade deficit in over a decade, from 31.48 billion dollars, due to a surge in imports, particularly oil, according to figures reported Saturday by China Customs.
Imports jumped 39.6% year on year to 145.96 billion dollars, while exports rose 18.4% to 114.47 billion USD, have detailed the Customs on their website.
Imports grew far beyond the expectations of economists polled by Dow Jones agency, who on average expected 26% increase, while exports are well below their forecasts, which were 28.8% increase.
The expected deficit by these economists was 8.5 billion only. This is the largest trade deficit ever recorded in a single month by China since at least 2000, according to Dow Jones agency.
Slowdown
For the first two months of the year, China has a trade deficit of 4.25 billion. In January, it had a surplus, but the volume of China's foreign trade had shrunk because of the impact of Chinese New Year celebrations. The high level of imports is mainly due to oil imports, which hit last month to a record volume of 23.64 million tons, amounting to 19.47 billion dollars.
China recorded a trade deficit frequently earlier this year, but in 2011 it had only reached $ 890 million for the first two months of the year.
The deficit in February in addition to other economic indicators released reflecting a slowdown in the second world economy.
"Overall, we see an acceleration of deteriorating economic conditions," responded Zhang Zhiwei, an economist at Nomura Securities agency quoted Dow Jones. "The slowdown occurs more rapidly than expected in the government," he said.
The record trade deficit could prompt Beijing to further relax its monetary policy to support economic activity, while Chinese exporters are suffering from the impact of the debt crisis in Europe and weak economic growth in the U.S. .
Dexia Credit Local, Dexia's French subsidiary, said Friday it has launched a takeover offer for 700 million euros of subordinated notes issued in November 2005.
The bank stress due to the dismantling of the debt crisis in the euro area, said in a statement that this operation is intended to strengthen the equity "hard" and Dexia its French subsidiary.
"The net result of the sale and implementation of the tender offer will be neutral in terms of liquidity and result in improved equity and hard of Dexia Credit Local ( DCL), "says the bank.
Dexia had said late last year want to recapitalize its subsidiary DCL 4.2 billion, including € 2.5 billion through the conversion of subordinated loans s.
The Federal Reserve estimates that the U.S. economy grew at a moderate pace from January to mid February, the hiring is being légé ; LY accelerated in many parts of the United States.
In the beige book of the U.S. central bank, released Wednesday, the Fed also notes some improvements in the property sector although, overall, the tone is as careful as in the pre ; cédente edition of this document.
"The conditions in the housing market have improved somewhat in most districts," we read in the paper.
Manufacturing is one who is doing best, with most of the 12 Fed districts with a rise in new orders.
The Tokyo Stock Exchange closed up 0.92% Tuesday, Japanese markets have erased all losses posted in early trading before going into the green and Register a fence frankly positive.
The Nikkei gained 88.59 points to 9,722.52 and the Topix broader took 3.23 points (0.39%) to 838.48.
The bankruptcy of Elpida, the first Japanese manufacturer of memory weighed on the sector, Advantest yielding 1.5% and Shin-Etsu Chemical 1.2%.
But this failure did, in the opinion of stakeholders had limited impact on investor sentiment.
The Indian airline Kingfisher Airlines Tuesday seemed about to collapse under the weight of its debts, flight cancellations are being multiplied for almost a week and the resignation of Drivers accumulating tens.
Vijay Mallya, the liquor magnate who controls the airline and gave the same name as his famous brand of Indian beer, said he was determined to save Kingfisher, blaming its financial difficulties with the freezing of bank accounts by the tax.
There is in India no legal requirement for companies to declare bankruptcy. Kingfisher, an Airbus customer, so could the curtain down overnight due to lack of funding, warn analysts.
"If they can not find fresh capital, of course, they are condemned. They have the money or for maintenance or for wages or for anything else, "he told Reuters Lillaney Sharan, an analyst specializing in aviation for Angel Broking. The action
Kingfisher has plunged nearly 20% Tuesday, the day the company was called by management of Indian Civil Aviation to explain the cancellation of more than 100 of its flights during the four days
. At the end of the meeting, the Indian regulator said he had obtained guarantees of Kingfisher on bank financing and the action has erased all its losses
……. .. Kingfisher, which last year was still the second Indian airline, has reached any profits since its inception in 2005, suffering from the flew e fuel prices and fierce competition from low-cost airlines.
Indian market yet fast-growing, nearly 20% in 2011, the turnover of Kingfisher declined since late 2011.
The group acknowledges a debt of $ 1.3 billion (984 million), and lack of liquidity, it no longer pays the salaries of its employees and accumulates unpaid tax, adding, according Kotak Institutional Equities, $ 477 million in debt.
The action Kingfisher plunged nearly 60% since January 2011, melting the market value of the group at $ 269 million.
News reports bring to 300 the number of pilots who have resigned since last September. The Mint newspaper said, citing a government official, also reports that Kingfisher will return two Airbus A320 to companies leasing aircraft because of defaults.
According to the latest data from Airbus orders over Kingfisher deal 32 single-aisle A320 family aircraft, 20 A330s, five long-haul A350 and five A380 super-jumbo.
Untouchables, the movie event of the year, flies very high-ranking competitors in 2011 profitability of French cinema. To determine the rate of return, the French film has compared the box office feature films with budgets. According to the weekly, a film made a good performance from the moment it reaches a depreciation rate of 25 to 30%. Besides the top 10 most profitable films, the production of relatively expensive, at over 10 million, do not cross the breakeven point of 25%. And therefore rely on the DVD release to get there. Inside here, in pictures. 1/17
Previous Previous PauseSuivant 1. Untouchables: 602.58% Next Photo 2/17
Previous Previous PauseSuivant 2. War is declared: 150.2% Next Photo 3/17
Previous Previous PauseSuivant 3. Polishes: 112.29% Next Photo 4/17
Previous Previous PauseSuivant 4. Nothing to Declare: 102.43% Next Photo 5/17
Previous Previous PauseSuivant 5. Women on the 6th floor: 99.75% Next Photo 6/17
Previous Previous PauseSuivant 6. Tomboy: 84.67% Next Photo 7/17
Previous Previous PauseSuivant 7. I, Michel G, billionaire, master of the world: 78.26% Next Photo 8/17
Previous Previous PauseSuivant 8. Pater: 61.47% Next 9/17
Previous Previous PauseSuivant 9. Check out: 59.94% Next Photo 10/17
Previous Previous PauseSuivant 10. The Artist: 54.86% Next Photo 11/17
Previous Previous PauseSuivant 34. Halal, State Police: 21.92% Next Photo 12/17
Previous Previous PauseSuivant 35. My worst nightmare: 21.23% Next Photo 13/17
Previous Previous PauseSuivant 40. The cruise: 18.67% Next Photo 14/17
Previous Previous PauseSuivant 41. A monster in Paris: 18.25% Next Photo 15/17
Previous Previous PauseSuivant 45. Largo Winch 2: 16.84% Next Photo 16/17
Previous Previous PauseSuivant 59. The Rabbi's Cat: 12.67% Next Photo 17/17
Previous Previous PauseSuivant 61. A happy event: 12.4% Next Photo
The committee of independent directors to investigate the controversial takeover of UraMin by Areva is expected to conclude Tuesday with a "weak governance", says the Sunday newspaper, citing a "source close "group.
Rene Ricol, charged in 2010 by Nicolas Sarkozy to audit the accounts of French nuclear giant, looking for the same argument, although it acknowledges not Lauvergeon, the former President of the Executive.
The latter said he had no knowledge of mining reports dated from 2008 and 2009 from the geology department of Areva, according to Rene Ricol who put labels on mine reserves and opportunities for exploitation.
"If Anne Lauvergeon has not been informed, the least we can say is that this is a concern in terms of governance," he said, adding that he has had not itself access to these documents during the audit.
"This lack of transparency is unacceptable," he adds.
The purchase of Uramin in 2007 to 1.7 billion euros has forced the giant French nuclear to include in its accounts in 2010 and 2011 provisions totaling close to 1, 9 billion euros to reflect the depreciation of its assets following a drop in uranium prices.
The Industry Minister, Eric Besson, said Sunday he expected the committee's report Tuesday to decide.
"I think we should let those whose work is now shed light on this apparent overvaluation, almost coarse, this mine," he said in the e The Great Mission Visit Europe 1 / i> TELE / Le Parisien.
"This is precisely what the committee of independent directors must say and enlighten. Is it simply a gross error of assessment or do it more? It is for this committee on the one hand and justice, as it has received various complaints now, to say it. "
.. …… "unacceptable practices"
Rene Ricol also condemned the investigations by the husband of pharmacies Anne Lauvergeon
. "These practices are completely unacceptable," he said, calling however "paranoid" reaction of the former president of nuclear group
. He called the protagonists of the record-Anne Lauvergeon, the current leader of the group and Luc Oursel Director of Mining activity Sebastian Montessus to keep their cool. "If they do not subside, it will all end badly."
Lauvergeon Wednesday asked the court to appoint an expert to examine the conditions under which the group commissioned a survey in 2010 related to the acquisition of Uramin.
The Tribunal de Grande Instance of Paris (TGI) announced that it would make its decision on February 29.
Lauvergeon and his lawyers believe that the recipients of the report, ordered society Apic, did not respect the internal rules of Areva.
They say that they include not having alerted the supervisory bodies of the group while the report concluded Apic a possible "fraud" in connection with the redemption.
Lawyers for Anne Lauvergeon protest against an investigation that would have resulted in an alleged espionage husband of the former president of Areva, Olivier Fric, to determine if the had illegally benefited from the acquisition of Uramin.
The former president and CEO of Areva has defended the purchase of Uramin and considered normal for this type of operation can lead to impairment.
European shares erased their gains in closing Wednesday on renewed concern about the ability of Athens to implement a second rescue plan that would avoid a disorderly failure of Greece.
The Paris CAC 40 index ended on a note stable (-0.05% to 3410.00 points, which corresponds to an important point of resistance, the German Dax has yielded 0.08% Eurostoxx 50 and 0.05%. London ended down 0.24%.
The leaders of the European Central Bank (ECB) remain divided on the potential contribution of the central bank to restructure Greek debt, two sources said the area euro Wednesday shortly before the close.
Meanwhile, leaders of the three coalition parties had entered Greek government meeting to agree on the reforms demanded by donors of new exhibitions ; born in exchange for a second aid plan.
Meanwhile, the President of the Eurogroup, Jean-Claude Juncker, announced late in the day for convening a meeting of finance ministers of the euro zone Thursday in Brussels to decide outline a new plan of aid to Greece.
Bank stocks remained the largest increases in Europe (0.56%), while having significantly reduced their earnings. Deutsche Bank took 1.53% and 1.16% BNP Paribas, the two largest increases in the Stoxx 50.
The profit taking continued on LVMH (-1.28%), which sold more than 4.3% since the end of last week of quarterly results has yet confirmed its good resistance to the crisis.
Sanofi fell by 1.7%. The company said results in growth in the fourth quarter of 2011, but 2012 will be more difficult with the loss of several patents of its major drugs.
Prime Minister Lucas Papademos called on Sunday for three party leaders Greek government to publicly commit to implement the reforms demanded by the country's creditors in return for a second help.
The three party leaders were summoned Greek government on Sunday by Lucas Papademos to overcome their objections to the new austerity measures demanded by creditors, even if they have so far resulted only exacerbate the recession of countries.
George Papandreou, Antonis Samaras and George Karatzaferis – respectively leaders of the Socialist party, New Democracy (right) and Laos (far right) represented in the Greek coalition government – arrived mid-afternoon Maximos the palace, where the offices of the Prime Minister.
The representatives of the troika of institutional creditors of the country (euro area, European Central Bank and International Monetary Fund) have previously met the Prime Minister, Finance Minister and the Minister of Labour. The Greek government has been negotiating for weeks on the establishment of a structural adjustment program of the country in exchange for a second loan of at least 130 billion euros, which would add to that 110 billion awarded in May 2010 the country to protect it from bankruptcy.
100 billion euros of debt
Negotiations described as "superhuman" Sunday by a senior government official, intended to prevent Greece a default in the month of March. An alternative trading-just as crucial-government with its private creditors to erase 100 billion euros of debt, depends on negotiating with creditors. Among the hard spots, rejected both by the Greek trade union leaders by most politicians, are the demands of the troika of generalized lowering labor costs.
"I come with the hope that I will not repeat what was said recently the former German Chancellor (Helmut) Schmidt," said George Karatzaferis to the press on arrival at the Prime Minister, after warning that it did not feel ready to bow to pressure from Berlin or "blackmail". In December, Helmut Schmidt had expressed concern about how other countries dealt Berlin and European partners in managing the debt crisis, when Germany imposes its solutions to its neighbors.
Saturday night, the Greek Finance Minister Evangelos Venizelos said the negotiations "on the razor's edge" were to conclude Sunday evening that Greece avoided a default in March
Risk of bankruptcy in March
The leader of the Eurogroup, Luxembourg Jean-Claude Juncker, has also lobbied on Saturday night by evoking the risk of "bankruptcy" of Greece in March if the reforms demanded were not completed.
"If we were to find that everything goes awry in Greece, then there would be no new program" refinancing of the country, said the head of government of Luxembourg. "This would mean bankruptcy in March," he added. "Greece must know that we will not back down on the issue of privatization," he said, regretting that there is no other "elements of corruption at all levels of government" Greek.
The opponents argue that wage cuts will exacerbate the recession in Greece, where the economy is stifled by a recession that puts on airs of depression, with GDP expected to fall by around 6% in 2011 after two years of austerity.
According to a government study released last week, the unit labor costs in Greece has already fallen by 14.3% between the first quarter 2010 and third quarter 2011.
But according to the head of IMF mission in Greece Poul Thomsen, measures of wage compression in the private sector will boost the economy through a gain in competitiveness. Paul Thomsen has advocated such a reduction in the minimum wage, a red rag to the unions, saying only 751 euros gross per month was 35% higher than in Portugal, and 20% in Spain.
