Hester Puts £10 Million Pay Where His Mouth Is

Commentary by The Economist : Royal Bank of Scotland was embroiled in more controversy over executive pay when it emerged that Stephen Hester, its chief executive, would receive a compensation package worth up to £9.6m ($15.8m). The package was backed by the bank’s institutional shareholders to “incentivise” Mr Hester. His predecessor, Sir Fred Goodwin, only recently agreed to return half of his £700,000 annual pension after a public outcry.

Kohlberg Kravis Roberts Adjusted Its Plan

The Economist : Kohlberg Kravis Roberts adjusted its plan to turn itself into a public company by proposing an offering through a merger with an affiliate already listed on the Euronext exchange. The “back door” move is viewed as a stepping stone to an eventual listing on the New York Stock Exchange.

Russian Stock Markets Punge 8 Percent as Oil Prices Fall

THE ECONOMIST :

Beware of the Bear :

Russian stockmarkets fell further when the World Bank forecast Russia’s economy would shrink by 7.9% this year. Russian indices have tumbled this month from their previous highs for the year, as have stockmarkets in many emerging economies. (China’s stockmarkets bucked the trend by reaching their highest levels for a year.) Analysts have sounded a note of caution about American and European stockmarkets, too, warning that underlying economic fundamentals are not as strong as the rallies of the past three months would suggest.

European Central Bank. The World Bank And The Federal Reserve

THE ECONOMIST :

The European Central Bank provided a record €442 billion ($620 billion) to the euro area’s banking system through its offer of unlimited one-year funds at 1% interest. The measure has been dubbed a “stimulus by stealth”.

The World Bank predicted that the economies of the developing countries would grow by only 1.2% this year, significantly below last year’s growth rate of 5.9%. By contrast, the OECD raised its forecast of economic growth for the first time in two years. The Paris-based organisation of 30 industrialised countries now expects GDP among its members to contract by 4.1% in 2009 and to grow by a modest 0.7% in 2010.

The Federal Reserve sounded a bit more optimistic about the American economy than it has for a while. After a two-day meeting, the Fed said that the “pace of economic contraction is slowing”, though the economy would “remain weak for a time”. The central bank played down the threat from deflation, a threat it had emphasised earlier this year.

Friction in World Trade : Duties Call

Sinopec Buys Addax : Bottom of the Barrel

Controversy in the pipeline

Anglophilia, Xstrataphobia

The latest proposal for a big mining merger runs into opposition

Pensions : Out of Pocket

How much people contribute to their own retirement income

Banks' Profits : Red and Black Ink

Banks with the biggest profits and losses last year

U.S. Economy to Start Growing in the Third Quarter, SIFMA Says

The Conservation Economy: A New Kind of Capitalism

Ian Gill (left), president of Ecotrust Canada, with former loan clients Karen and Steve Charleson, owners of Hooksum Outdoor School in Hesquiat Harbour, Clayoquot Sound. Photograph by: Handout photo, Ecotrust Canada

Brazil, Mexico Central Banks Should Cut Rates, OECD Recommends

Will an IMF Loan Help Jamaica's Economy

Sizing up B.C.'s Strengths and Challenges in the Global Economy

Back to Basics

Unemployment During the Downturn : Underworked

Where unemployment has hit hardest

Mining Mergers : Let's Dig Together

Xstrata proposes a deal with Anglo American as big mining mergers swing back into fashion

Debt Threat in Italy

Italy's government, so far, has reassured credit rating agencies

Explaining the Oil-Price Rally : A Bucking Bronco

An EU Fudge on Bank Reform

European Union leaders avoided a row over bank regulation—but only by being ambiguous

Ottawa Refuse d'Aider Toronto pour l'Achat de Tramways de Bombardier

Ahead of the Bell: Research in Motion

From the Farm, Carney's Lesson for Bay St.

Retail Sales Take Unexpected Dip in April

The Economist - Business This Week : Hollywood players

Screen Digest reported that despite a huge increase in sales of Blu-ray discs, total sales for the global film-disc business fell by 4.8% last year. The media-analysis firm said the home-entertainment industry’s hope for a revival in fortunes had been undermined by Blu-ray’s “format war” with HD DVD, which impeded the kind of market shift seen in the switch from video to DVD.

Lord Rogers, an architect whose works include the Lloyds building in London, complained that his modernist redevelopment plan for the site of a former barracks in central London had been scuppered by interference from Prince Charles, who waged a private campaign for an alternative classical design. The site was bought for £1 billion ($1.6 billion) by Qatar’s property-investment arm, which is resubmitting the plans. The prince’s building trust said it would participate in a “more open” process.

Six Flags filed for Chapter 11. Revenue has plunged at the company, which owns 20 amusement parks. It needs to restructure around $2 billion of debt that it hopes will allow it to leave bankruptcy protection soon. A new ride to pull in the summer crowds at its Magic Mountain theme-park could also help: its name is Terminator Salvation.

MySpace to Lay Off 30 Percent of Staff

FedEx Posts Quarterly Loss of $876 Million

J. B. Reed/Bloomberg News FedEx workers sorted and loaded packages Wednesday at Harlem River Yards in New York.

America’s Current-Account Deficit Drops 34.5% from Q4

THE ECONOMIST : America’s current-account deficit dropped sharply in the first quarter, to $101.5 billion (or 2.9% of GDP), its lowest level since the last quarter of 2001. The main reason was the steep decline in imports, particularly oil and oil products and industrial supplies and materials.
Read Also :

Current account trade deficit drops to $101.5B

http://www.readingeagle.com/article.aspx?id=143463

The European Central Bank

General Motors Sells Saab : Unstable Atom

After finding buyers for its Hummer and Saturn brands, General Motors entered an agreement to sell its Saab division to Koenigsegg, a tiny maker of high-performance cars based in Sweden. The deal is tied to a $600m loan backed by the Swedish government. Koenigsegg’s claim to fame is building a car that reportedly picked up a speeding-ticket in America when it was clocked at 242mph