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France Telecom continued its sale of foreign assets by selling its 100% subsidiary Orange and Hutchison 3G Austria to 1.3 billion euros, confirmed Friday the conglomerate Hutchison Whampoa rat.

The agreement, which is subject to approval of regulatory authorities telecom and competition, will take effect in mid-2012, the conglomerate said in a statement ;.

Orange Austria's capital is currently divided between France Telecom and the investment fund Mid Europa Partners.

The French operator, which has launched a review of its assets, has already beaten its subsidiary Orange Switzerland, sold at the end of December to fund Apax Partners for 1.6 billion euros. 

January 23, Stéphane Richard, CEO of France Telecom, told the BFM Business microphone that selling the group's business in Austria was "a matter of days ".

Hutchison 3G, a subsidiary of Hutchison Whampoa conglomerate owned by Hong Kong billionaire Li Ka-shing, is already present on the Austrian market through the brand "3".

One of the first things you should look for in a payday lender is the exact amount they charge for each value of payday advance loan they offer. For example, some faxless payday loans direct lenders will charge a fee based on the duration of the loan whereas others may charge over a standard 30 day period.

Universal Music, a subsidiary of Vivendi, announced Friday the signing of a definitive agreement with Citigroup to buy back the recorded music industry of its British rival EMI for a total of 1.2 billion sterling (1.4 billion euros).

The operation, if it goes to completion, will allow the first record company to add to its global purse of music stars such as Coldplay and Katy Perry, but it may be a long review and detailed by the competition authorities.

"It is a historic acquisition for UMG (Universal Music Group) and an important step in preserving the heritage of EMI Music," said Lucian Grainge, CEO of Universal, in a statement.

The U.S. bank, the Financial Times on Friday, would end the deadlock by agreeing to make such commitments at his expense.

Also interested in the recorded music division of EMI, the billionaire Len Blavatnik, owner of Warner Music Group, was considered the favorite, but according to two people familiar with the discussions, he threw in the towel last week after the rejection by Citigroup's offer of a $ 1.5 billion.

The EU summit Sunday will not lead to a global solution. But behind the technical question of strengthening the EFSF lies a conflict between France and Germany on the new role of the ECB. Explanations. Euro

Europe is in a fog for two days a summit critical to its future. A senior European official said the Thursday night, there will be no complete agreement at the EU summit in Brussels on Sunday. The elements of discord between states include the level of discount on Greek debt to private creditors to impose on the recapitalization of banks and especially the role of the ECB in the context of strengthening the European Financial Stability Fund (EFSF ). For in cettetempête that shakes the eurozone, the ECB can not imagine a savior.His "future ex-" chief economist Jürgen Stark has also referred to this Thursday, the ECB "can not solve the crisis" and does not want to get out of the mandate it has been set. However, it could have a role to play. Explanations.

She refuses to be involved in strengthening the EFSF

One of the bones of contention between France and Germany is the role of the ECB in the rescue of the euro. Paris wants the European Financial Stability Fund (EFSF) obtain a banking license to go with her to refinance. Leverage and the ability to fund intervention limited to 440 billion euros that can lift the markets. Option rejected by the institution headed by Jean-Claude Trichet and Germany do not want the ECB to lend to the Fund in exchange for government bonds as collateral in trouble. Because it would weaken its balance sheet and would require a recapitalization.But Berlin refused to give his hand to the pocket.

Germany therefore recommends allowing the EFSF to act as guarantor to facilitate the obtaining of loans by fragile states. The fund could then provide up to 20% to 30% of their credits would be granted. In other words, the fund would be used to support a loan volume of 3 to 5 times higher in the private sector. This scenario would not involve the ECB.

But according to Cyril Regnier, strategist at Natixis, the track of the transformation of the EFSF bank is not completely abandoned. "I wait for the official release of Trichet's refusal to confirm," he said beforehand. "The ECB reversed its decision several times. She was sure she would not buy debt of struggling countries.Since it did massively. "

She claims to have done his share of work

In fact, the Frankfurt institution has already made several decisions that were outside its remit. Since May 2010, it bought bonds of troubled countries for a total of 165 billion euros, 45 billion for Greece. In exchange, it has hundreds of billions of euros of liquidity available to banks that have struggled to find on the market conditions as favorable. In his last speech as president of the institution, Jean-Claude Trichet has even granted two new lines of credit volume limit of one year, an unusually long. They also pledged 40 billion euros through the repurchase of a portion of their assets, especially real estate.The aim is to allow banks sufficient liquidity to meet their financial deadlines near term. The ECB is already far out of its responsibilities in the crisis. "For now, this is the only institution in Europe to have done something concrete," said Jean-Louis Mourier same.

She wants to return to its basic objectives

For over the events we tend to forget them. "The Bank has a mission, is to ensure price stability. This is too often overshadowed at this point in public perception," said Juergen Stark. This is because he refused these missions outside the mandate of the ECB's chief economist has decided to resign. He also pressed the point home by stating that if the ECB went further, "we not only ruin our reputation, but the ECB would also be overwhelmed by the task, and its independence threatened."Today, the objective of the ECB is that the EFSF is promptly voted and she stops to buy the debt of fragile states. But without really knowing if it will happen quickly. "It takes a lot of precautions. It gave no date for example on the end of the buyback," said Cyril Regnier.

The ECB should it have a stronger role in the future?

Opinion is divided on its role in the institutions. "The ECB is currently the only entity capable of ending the crisis," said Cyril Regnier reminder that the ECB has the weapon of the printing press. And he said, if the institution refuses to EFSF banking license, it could ultimately end up losing. "The EFSF can not buy as many bonds that the ECB did, simply because it has limited resources.And if it's not effective, then the ECB will continue to buy the debt of the States, "says strategist at Natixis. But according to Jean-Louis Mourier, the ECB has no additional role as that is his. "It's not really within its jurisdiction to be the savior of Europe. She has already done much. "He said the key lies rather in a" greater federalism "across Europe.

Greece is expected to remain mired in recession next year, complicating his efforts budget as the country is still waiting for the payment of the next tranche of aid that would allow it to avoid bankruptcy.

The Greek economy will contract by 2.5% next year, following a decline in gross domestic product (GDP) of 5.5% expected this year, according to the 2012 budget proposal sent to the country's parliament Monday.

These forecasts are darker than those used to calculate the final in Athens bailout 109 billion euros, which was banking on a return to a growth of 0.6% next year.

The Greek government admitted Sunday he would miss this year's deficit targets that were assigned by its international donors.Athens anticipates a deficit of 8.5% of GDP in 2011, while the EU and the IMF at the planned 7.6%.

The Socialist government of George Papandreou has already announced new austerity measures to try to reduce the budget deficit next year to 6.8% of GDP in 2012 to an original target of 6.5% .

BANKS COULD PAY MORE

The fiscal slippage of Athens could complicate the ongoing negotiations on the second Greek bailout, analysts said.

"In the political debate in Germany, this will probably be used to request the renegotiation of the entire bailout and greater involvement of private investors," said Holger Schmieding, economist at Berenberg Bank.

If the "troika" of donors in Greece – European Union, International Monetary Fund, European Central Bank – concluded in their report due this month that the financing needs of Greece will be greater than expected due of the recession, banks may be required to contribute more than the discount of 21% in July.

The "troika" continue for the time to peel the accounts of Greece and has not given the green light to the payment of a new tranche of eight billion euros vital to prevent the country from be insolvent soon this month, sources said Monday.

Vice Minister of Finance had previously Oikonomou Pantelis said the discussions were over, but for the most part, the sources that have direct knowledge of the case, they are far from it.

Finance ministers of the euro area (Eurogroup) met in Luxembourg on Monday and they had to do even more pressure on the Greek government to implement more forcefully the reforms planned by the international bailouts.

The second plan, set in July, includes in particular the private sector is participating in a plan to exchange debt at a discount.Athens wants at least 90% of the creditors participating in the project goes forward.

The skepticism seems in order in the markets about the ability of Europeans to stem the crisis in Greece, especially after the latest financial reports of the country.

The country's debt should represent 172.7% of GDP next year against an estimate of 161.8% for 2011, according to the draft budget of Athens. The unemployment rate has meanwhile increased to 15.2% this year and to 16.4% in 2012.

Michael Fuchs, vice president of the coalition CDU / CSU to power in Germany, the case is heard: Greece is indeed bankrupt. "There is probably no alternative for us to accept a deletion of at least 50% of its debt," said he.

PSA Peugeot Citroën could reduce up to 10% of its workforce in France by eliminating temporary positions against the expected slowdown of the European car market, write Friday Les Echos and La Tribune, citing union sources after a meeting between Group management and its unions.

Last week, at the motor show in Frankfurt, chief executive of the manufacturer, Philippe Varin, announced an acceleration of cost reductions to cope with the uncertain economic environment in Europe and increased competition in the segment of B C3 cars.

He then mentioned an adjustment from temporary workers and subcontractors.According to the Tribune of Friday, nearly 10,000 temporary positions, or nearly 10% of the group in France, would ultimately threatened.

Asked about the figure, a PSA spokesman said it was "far too early to tell," noting that the working groups set up by Philippe Varin would make their work in October.

PSA employed in late June in the automotive industry 81,240 people, with an additional 10% of temporary workers.

"The willingness to reduce the volume of temporary workers is not good news for employment, particularly among youth," said the CFDT Metallurgy in a statement."This policy will have a direct impact on working conditions, especially for those most vulnerable."

Eric Besson, Minister of Industry, said that one should not rush to draw conclusions on possible job cuts coming at PSA.

"Do not cry wolf when there is no wolf," he said on Canal +.

"Let them wonder about the consequences of the crisis on their future and take steps to remain competitive, surprising and shocking," he added.

500 PERMANENT PENDING

Faced with the rebound in demand after the crisis of 2008-2009 and the success of several new models of the group, such as the Peugeot 3008 and Citroën DS line, PSA has increased its staff of French 1.600 people between December 2010 and June. But faced with economic uncertainty reappeared this summer, the group has suspended its recruitment plan, except strategic functions.

"In terms of staff, we have a temporary drive that represents 10% of the workforce in France, plus subcontractors in large numbers, there were elements of flexibility, plus the mobility agreement, So we are in a situation that is not comparable to 2008, "said Philippe Varin during a press conference in Frankfurt.

In October 2010, PSA has identified 980 jobs to disappear, of which 700 have already been subject to a mobility agreement.For others, the process of management jobs and skills (GPEC) signed in April 2010 and expiring on 30th of this month has been extended until the end of the year Thursday at the CEC.

On this occasion, the unions again sought assurances on the future site of Aulnay-sous-Bois (Seine-Saint-Denis), redundant 300 people since the decision of the night shift in October 2010.But PSA still refuses to comment on the post-C3, saying only that the plant will produce even this model in 2014 and the post is "define".

Regarding the site of spare parts of Melun-Sénart (Seine-et-Marne), which is scheduled to close since the group decided to Vesoul (Haute-Saône) the central store, 180 people are still give their response to the proposals of mobility that has made their PSA.

Several major partners in the euro area on Wednesday called its leaders to quickly overcome the crisis of sovereign debt worrying about its consequences for the future of the euro and the global economy as finance ministers and central bankers G20 meeting in Washington.

The continuing crisis in the euro area and new signs of slowing global economy led to a sharp correction in equity markets, lower long-term rates and a rising dollar.

Governments and institutions in the euro area must act quickly to resolve the crisis of sovereign debt at the risk of contagion in the global economy, said seven of the leaders of the G20 in a letter to French President Nicolas Sarkozy, France chairing the G7 and G20.

In their letter, the leaders of Australia, Canada, Indonesia, Great Britain, Mexico, South Africa and South Korea are asking the leaders of the euro area to examine "all options to ensure long term stability of the second most widely used international currency in the world."

The U.S. Treasury Secretary Timothy Geithner has also been more urgent considering that it was more important to contain the crisis to support European growth and that it was essential to mobilize sufficient resources to avoid a default of Greece.He expressed confidence that Europe make more bold to resolve the crisis in the weeks and months ahead.

The European Financial Stability Fund (EFSF) will be fully operational and strengthened in the second half of October, said European Commissioner for Economic and Monetary Affairs Olli Rehn.

However, he felt that the Eurobonds, presented by their proponents as a solution to the debt crisis, would become "junk bonds" without better coordination of European economic policies.

The publication of purchasing managers index (PMI) showing a contraction in private sector activity in the euro area and China has fueled the drop in equity markets, the European indices yielding around 5.0 % in closing while the U.S. indices gave up over 3.0% in mid-session.

Finance ministers and central bankers from the G20 meeting in Washington at the annual meetings of the IMF and the World Bank, will discuss the crisis on Thursday night during a dinner but it is not anticipated that 'they publish a statement on the responses they intend to make.

THE EURO IN DANGER, SAYS STUDY OF THE ECB

The single European currency is at risk because of uncontrolled spending of the States of the euro zone and the debt crisis that ensued, warns a study by the European Central Bank (ECB), co-authored by Jürgen Stark, who has since resigned, because he seems to agree with the policy of buying government bonds introduced by the ECB in the fight against debt crisis in the euro area.

"The budgetary imbalances sharp rise in the euro area as a whole and the extreme situation of some individual countries could undermine the stability, growth and employment, as well as the sustainability of economic and monetary union ( EMU) itself, "it said in the study whose publication has plunged the euro fell to a seven-month low against the dollar, less than $ 1.35.

The European Committee of systemic risk (ESRB), new financial regulatory authority of the European Union, for its part warned that the consequences of the crisis of sovereign debt had significantly increased risks of financial instability in Europe.

"The high degree of interconnection within the EU financial system led to a rapid increase in the risk of contagion significantly.This threatens the financial stability within the EU as a whole and has negative consequences on the real economy in Europe and beyond. "

The ESRB, chaired by Jean-Claude Trichet, president of the European Central Bank, called for a "quick and decisive action" of the euro zone leaders whose efforts to contain the crisis is widely perceived as inadequate and too slow.

According to the ESRB, national supervisors "should coordinate their efforts to strengthen bank capital (…) taking into account the need for a transparent and consistent exposure to sovereign issuers."

Executive Director of the IMF, Christine Lagarde, renewed his call for a recapitalization of banks in Europe including the leaders of the institutions concerned and the governments of several countries in the euro area had downplayed the need for highlighting the strength of bank balance sheets in the zone.

Speaking on the eve of the G20 and the IMF, the Canadian Minister of Finance was alarmed by the possibility of credit crunch if the Europeans could not settle the Greek problem, by far the most critical within the euro area.

"The first item on the agenda …is that Europe needs to accelerate, they must resolve the issue of Greece, "said Jim Flaherty, the Canadian Broadcasting Corporation.

"Otherwise the market will prevail and we will have some form of crisis, it will become a banking crisis, affecting banks around the world, and we have a new credit crisis will cause a contraction of the real economy.We need to fix this, "he said.

The lack of solution to the crisis continued to weigh on European banks, the first of which French banks because of their exposure to Greece and Italy.

BNP Paribas has categorically denied being in search of investors for a capital increase and reiterated the line of French banks that it can cope with the debt crisis in the euro area without injection of capital.

A source based in Qatar had told Reuters on Wednesday that the emirate was in talks with BNP and other French banks about possible equity participation.

BNP Paribas finished Thursday's session down 5.7%, while Credit Agricole dropped 9.49% and 9.57% Societe Generale, while the sector index of European banks plunged to 7.26%.

A trader suspected of being linked to losses of some $ 2 billion announced Thursday morning by UBS, was arrested in London, said on Thursday from several sources.

London police said they had arrested a 31 year old man suspected of fraud. Swiss bank UBS was not long before reports a loss estimated at two billion dollars due to unauthorized trading by one of its traders.

The Swiss newspaper NZZ, citing UBS, reported that the trader in question worked in service "stock market" of the London office of Swiss bank.

The arrest took place during the night, at 3:30 am local time, on suspicion of fraud.The man is currently under police surveillance.

A UBS spokesman confirmed to Reuters that one of its employees had been arrested.

Before the opening of markets, the Swiss bank announced in a terse statement that a trader had generated losses of about $ 2 billion through unauthorized trading in its investment bank, which could result in a loss in the third quarter.

"An investigation is underway, but the current estimate of UBS for losses on transactions is around two billion," the bank said, adding that no customers had position was affected.

By 10:45 GMT, UBS shares fell 7.7% to 10.09 Swiss francs, while the European sector index of banking stocks gained 2.21%.

CRISIS OF CONFIDENCE?

The new strikes UBS reminded investors the Kerviel affair, named after the former Societe Generale trader Jerome Kerviel, accused of losing 4.9 billion euros at SocGen in 2008 by conducting stances are not allowed.

"It's amazing that it is still possible," was surprised Claude Zehnder, trading analyst at Zurich Cantonal Bank, about the losses announced by UBS.

"Even if the amount is not so huge, there is again a loss of confidence that casts an unfavorable light on UBS.With that, the bank loses some credit she returned, "he added.

The management of UBS has told its employees that the bank remained strong despite the loss, however, which comes as the group undergoing restructuring, is struggling to regain investor confidence after heavy losses from the crisis of 2008 and suspicions complicity in tax evasion.

"This news is unfortunate, but it does not affect the fundamental strength of our business," UBS said its teams, according to an internal memo that Reuters was able to consult.

The European Commission said on Wednesday which would shortly introduce proposals for Eurobonds, which promises a new face serious challenges, but that supports the euro and equity markets, especially as return to the political maneuvering to try to find solutions to the debt crisis in the euro area.

Degradation by Moody's credit ratings of two of the largest French banks came to illustrate the growing risks to the European financial sector of a deepening crisis.In particular, Moody's said the one notch downgrade of the rating on Societe Generale and Credit Agricole by exposure to the Greek debt.

President Nicolas Sarkozy and Chancellor Angela Merkel were to meet with Greek Prime Minister George Papandreou in the late afternoon.

No official communication is provided at the end of the conference, which takes two days to an informal meeting of EU finance ministers, in Wroclaw, Poland, with the participation of exceptionally U.S. Treasury Secretary Timothy Geithner.

Meanwhile, France and Germany have reiterated their opposition to the issuance of Eurobonds.

In Paris, the budget minister Valérie Pécresse reiterated the position of France, that these bonds could only be "the culmination of a process of consolidation in the euro area" and a convergence of fiscal policies, and not a starting point.

In Berlin, a spokesman for the Ministry of Finance said that Germany was always hostile to it waiting to see what the European Commission will propose.

The President of the European Commission Jose Manuel Barroso said in the morning before the European Parliament that the EC will soon propose options for the introduction of euro bonds. It would, at this stage that a technical document that lists the available options and nothing says that member states of the EU finally choose to embark on this path.

THE BRICS also consider ASSISTANCE

José Manuel Barroso warned, however, that in case of issue of eurobonds would not provide an immediate solution to the problems of Europe.And the Commissioner of Economic and Monetary Affairs Olli Rehn was wanted by recalling that a prudent option amounting to euro bonds was proposed in May 2010 for countries sharing the single currency, which had rejected.

However, these comments supported the euro, which hit a high of 1.3742 to dollar days before returning to around 1.3690 in mid-afternoon.

Sign of the nervousness of investors, European equity markets that had erased their losses after the initial declaration of the President of the EC, significantly reduced their earnings to 16.30, traders citing a possible postponement of the vote in the second rescue plan by the Greek the Austrian Parliament, scheduled Sept. 21 but retoqué in committee.

Bank stocks, the volatility remains high, were all divided down in Paris in the afternoon.Societe Generale, BNP Paribas, Credit Agricole signed the three largest declines in the CAC 40 index.

Hopes also came Wednesday from major emerging countries gathered in the club of the Brics, which should decide on the opportunity to help the euro area at their meeting in Washington Sept. 22, according to an official of the Indian Ministry of Finance.

The BRIC countries (Brazil, Russia, India, China and South Africa) have begun preliminary discussions to increase their holdings of bonds denominated in euro, had already indicated to Reuters on Tuesday an official of the Brazilian government.

Chinese Premier Wen Jiabao at the World Economic Forum in Dalian, nevertheless said China would invest more in Europe but the Europeans were on their side to avoid an extension of the debt crisis. An adviser to the Chinese central bank, Li Dakui, subsequently said that China should refrain from buying large volumes of European bonds, adding that it was important for European countries to continue their reforms.

The adoption of the austerity plan seems to Italy. The government of Silvio Berlusconi has won the confidence of the House of Deputies, the last step before the vote, in the evening, this package of measures designed to bring the country out of the crisis.

Corporate loans remained strong in July in France, rising 4.7% after rising 4.9% in June, according to figures released Friday by the Bank of France.

These are loans to SMEs that grew the most (5.9% and 8.3% for SMEs in a group), as real estate (+8.0%).

Loans to large companies have found a growth of about 2% (against 1.3% yoy in June) and those granted to holding companies and administrations have slowed (+0.5%).

The funds mobilized slowed to 3.8% from 7.6% in late June, a decline linked to the sharp decline in the volume of mobilized a company that completed an acquisition, said the Bank of France.

In contrast, the funds made available have accelerated 5.0% after 4.1% in late June

The Spanish Socialist government announced Friday the signing of an agreement with the conservative opposition in the Constitution for the country the principle of limiting the public deficit and debt.

The Constitution will be amended through a law to be adopted before June 30, 2012, the government said in a statement released in the early hours of Friday.

Both sides agreed to secure 0.4% of GDP limit of the overall deficit of the country, that is to say state and regions included.

The law will also include criteria for a gradual reduction of debt pursuant to the Pact of Stability and Growth in the euro area.

The two sides signed the agreement will review the deficit ceiling in 2015 and 2018.

This follows a call to that effect made by France and Germany to countries threatened by the debt crisis in the euro area.

Spain has already announced Tuesday that it would enshrine in the Constitution a public debt ceiling before the legislative elections in November.