A few days after announcing a loss for broking $ 2 billion, Jamie Dimon acknowledged his twist on a television program. Some experts believe it could keep his job. The U.S. bank, who wanted a model in terms of risk management, announced a loss of over $ 2 billion related to its trading activities.
"I was wrong all along the line." It is in these terms that Jamie Dimon, CEO of JP Morgan, returned to the brokerage loss of 2 billion dollars from his bank in the program "Meet the Press" on NBC. A mea culpa-style humiliation for the one who, when the first information output in the Wall Street Journal on the extent of paris risky, there had been "a tempest in a teacup".
The question is how Jamie Dimon is weakened. According to Erik Oja, an analyst at Standard & Poor's, his place as CEO is "absolutely not" in question. "He made amends, there was no attempt to hide the problem," he adds. However, according to the Wall Street Journal, Constable American markets (SEC) is studying the case for whether the bank should have known earlier losses to investors. It seems in any case that JP Morgan has lost much of its credibility.
Until this case, Jamie Dimon was one of the most admired bankers of the United States. He had helped his bank through the crisis without pitfalls and was accustomed to receive praise. Born in New York to a father and a grandfather brokers, Jamie Dimon, 56, began his career as Sandy Weill's right arm, which made the first U.S. bank Citigroup by acquisitions before crisis causes this giant on the brink of bankruptcy.
The two men fell out in 1998 and Jamie Dimon found himself abandoned by his mentor. This was followed by a journey through the desert before leaving for Chicago in 2000 to lead Bank One. In 2004, Jamie Dimon returned to Wall Street through the front door when JPMorgan acquired Bank One. It has become number two behind Bill Harrison until it retired in 2007. Prudent management has enabled JPMorgan to weather the worst financial crisis since the 30's also taking advantage of the defeat of some competitors. JPMorgan has purchased Bear Stearns on the cheap in 2007 and part of Washington Mutual last year becoming the first U.S. bank by assets at Bank of America.
Jaimie Dimon has used this particular well and its good image to combat the financial reform of 2010, which will come into force in July but was delayed. He who had been an ardent supporter of President Obama, but said today "it is hardly more democratic", has not lost an opportunity to rehearse in the media that more regulation would hurt U.S. banks. Cruel twist of fate, it is because of a risky strategy brokerage own derivatives, the kind of problems addressed specifically by the financial reform and its key measure, the rule of Volker, as the statue of Jamie Dimon wobbles .
Vivendi has been considering its strategy and investment banks are preparing proposals for divestiture or restructuring to try and halt the plunge in its stock price, several sources have told Reuters.
The difficulties of SFR, the leading provider of liquidity, led the Board to revive the old debate about the relevance of a model combining media and telecoms and put under pressure its number one Jean-Bernard Levy.
Facing the bronca shareholders embittered by a share price at its lowest for nine years, President of the Supervisory Board Jean-Rene Fourtou promised last month that the conglomerate would not remain idly and that all subjects would be put on the table, no "taboo".
Jean-Bernard Levy told Reuters on his side to the group questioned constantly on optimizing its business portfolio.
"There is no doubt that they are in full introspection on what to do," said one investment banker. "Until now, the board supported management and strategy, but the situation becomes critical and there may be a split."
Investors who dream of a quick and radical, however, may have to be patient despite the excitement in the markets by the situation mentioned by Bloomberg for dismantling and the arrival of man in the capital stock shots, Vincent Bolloré.
The contractor, who is poised to sell its conglomerate channels Direct 8 Direct and Star in exchange for Vivendi shares, wants to be a long-term shareholder and looks forward to working with the council rather than to impose its views at the outset, according to two people familiar with the CEO of Bolloré.
Most importantly, the tandem-Fourtou Levy, who oversaw the reconstruction of Vivendi after the debacle of the Messier era in 2002, is still in command.
Under the leadership of two men, Vivendi has cleaned up its financial position, streamlined its structure by acquiring minority stakes and settled a series of disputes.
The group also made acquisitions including that of the fast-growing operator GVT and tried to create synergies between its divisions with mixed success, however.
BACK TO SQUARE ONE
"All these years later, it is quite ironic that the group returned to square one: the action is at its lowest, there is still no synergies between the different business and it will be even harder to sell assets whose value has declined, "said one former executive of the group.
In a letter to shareholders dated March 27, the two leaders again rejected the idea that Vivendi would be a collection of unrelated activities with each other while judging " excessive "the conglomerate discount applied to the title, estimated at 40% by Jean-Rene Fourtou.
The challenge now is whether the group, which has previously rejected the dismantling scenarios, could this time take the plunge and abandon its hybrid structure.
"We can probably 216,000 scenarios, I do not fit into one of the 216,000 scenarios," said Jean-Bernard Levy told Reuters when he was asked about this hypothesis.
A seminar with the direction in June will be an opportunity to discuss the strategy and scope of Vivendi but a spokesman said the group meeting was held annually for several years and it was unlikely that it leads to major announcements.
According to several sources familiar with the matter, no bank has so far been commissioned for a sale or restructuring.
In a note, credit analysts at Société Générale consider the hypothesis of "break-up" unlikely unless a departure of Jean-Bernard Levy under pressure because of the difficulties of SFR.
The action of Vivendi has lost over 30% since its acquisition in April 2011 of the total SFR against 7.95 billion euros, an operation expected to result in a boost for the stock market Title and a dividend increase.
The arrival nine months later Free on the mobile market, has destabilized the operator which provides for 2012 down 12 to 15% in operating profit . Vivendi cut its dividend and the difference between the total assets of the group and its market capitalization has increased.
The AIGUILLON BOLLORÉ
Jean-Bernard Levy took the reins of SFR directly before passing the baton to a new CEO in the summer, with the promise to "tighten the bolts" within which the subsidiary recovery is deemed crucial to right the course of the action and for his personal future, according to several sources.
In this context heckled, the group is studying its options, reported by observers and bankers who do not see much to fix.
"Everything is reviewed. When they write in their letter to shareholders that nothing is taboo, it is a call for bankers to offer ideas, "said a person familiar with the group ….
….. "Unfortunately, it's not as simple as what people think when you look at the structure of the group"
.
According to sources, banks are working on a script assignment of Morocco Telecom, whose margin was still 55% last year despite a drop in sales
. Vivendi could also relaunch the IPO of Canal + France initiated last year by its other shareholder Lagardère before be suspended or sell its 60% stake in the video game publisher Activision Blizzard, the U.S. side.
But the sale of Telecom Morocco, 30% owned by the Kingdom of Morocco, could face political issues, indicates the same person, adding that the operations which appear more affluent, as Activision, have little influence on the other hand on the vision of the market prospects of Vivendi.
Some investors are pinning their hopes on the arrival in the capital of Vincent Bolloré, reputedly close to Jean-Rene Fourtou who said he would be welcome to the board.
A source close to the entrepreneur Vincent Bolloré hopes to reach 5% of the combined effect of the sale of its DTT channels and purchasing title to market. Societe Generale has recently become the largest shareholder with 7.86% of the conglomerate's capital.
"The emergence of a shareholder can bring a little more pressure on management will be forced to be accountable," said Gilles Guibout, portfolio manager at ; AXA Investment Management.
At the head of a family group, the entrepreneur would not invest one billion euros in Vivendi without an idea in mind, argues one contributor.
The activity has slowed sharply in April in the Chicago area, which serves as a barometer for the entire U.S. industry. Barack Obama visited a General Motors plant in Hamtramck, Michigan, near Detroit, July 30, 2010.
The slowdown of U.S. economy in the first quarter is on track to continue in the second. Industrial activity has slowed markedly in the Chicago area in April, according to the local index of purchasing managers in the U.S. ISM trade association said Monday. This index was down 6.0 points from March to $ 56.2 in seasonally adjusted data, its lowest level in 29 months, the ISM said.
The index nevertheless reflects an expansion of economic activity for the 31st consecutive month, the ISM wrote in a statement adding that the April figures also reflect a trend of activity to "slow further." The median forecast of analysts gave a less marked decline of the indicator, to 60.0.
The ISM Chicago extent the perception that industry in the region of the economy. He is said to be usually a good indicator of changes in the barometer of activity at all the United States. For the association, the fact that the index has declined for the second consecutive month and that this decline has been driven by a sharp fall in its component measuring the production incentive to "be more careful about the erosion of application that continues, even if the backlog increases "for area businesses.
Japanese consumer confidence has plummeted in February. Individuals who fear a deterioration in the economic environment are more likely than those who see an improvement. A Prayer for the 23,000 dead and missing caused by the earthquake and tsunami that devastated parts of Japan.
The Japanese consumer confidence has plummeted in February, the index released Monday by the government losing by 0.5 points compared to January, witnessed the continuing concerns of the population about the situation.
The overall confidence index (expressed as data seasonally adjusted) fell to 39.5 points, 40.0 points against the previous month. It evolves rather erratic since this fall, after returning in the summer of his fall recorded by the tsunami of 11 March 2011. A result below 50 indicates that individuals who fear a deterioration in the economic environment are more likely than those who see an improvement.
In February, the global economy has yet given new positive signs after the turbulence in the fall of the worst debt crisis in Europe. But this relative calm did not embellish the mindset of Japanese consumers, who are generally anxious, especially as the challenges placed on the road to the third largest economy are huge, one year after tsunami that devastated the northeast of the archipelago.
In detail, in February, under-employment index fell 1.1 points to 36.0 points, continues to evolve sawtooth since the natural disaster of last spring, despite some relaxation observed on the labor market according to other indicators.
The sub-indicator of future income lost 0.6 points in turn to 38.9 points, many of those surveyed continue to fear that their earnings do not suffer from the economic uncertainties.
The sub-indicator of economic welfare in general has eroded to its share by 0.2 point in February to 40.6 points, and subindex purchase intentions for durable goods stagnated at 42 4 points. This survey was conducted February 15 to 6,720 homes in the archipelago.
The pact provides for the establishment of fiscal and golden rules more automatic sanctions against countries that exceed the limit of 3% of GDP for public deficits. The UK and Czech Republic have refused to sign. The reduced VAT rate for ISPs is in the crosshairs of the European Commission.
Twenty-five countries of the European Union on Friday signed at a summit in Brussels the new Treaty establishing more fiscal discipline in Europe to learn from the debt crisis which shook the euro area. The pact provides for the establishment of "Golden Rules budget" on the balance of public accounts and automatic sanctions against countries that exceed the limit of 3% of GDP for public deficits yearly.
These rules should preferably be written into the constitution of the States, but not necessarily. "This is an important step to strengthen confidence in our economic and monetary union," said President of the European Union, Herman Van Rompuy, during a signing ceremony at a summit in Brussels . "I think it is a strong signal that we draw lessons from the crisis, we understand the signals" sent by the financial markets "and we want a future with a politically united Europe," added the Chancellor Angela Merkel.
This new treaty was demanded by Berlin in exchange for its continued financial solidarity to fragile countries of the euro area. It was signed by only 25 of the 27 members of the European Union, the United Kingdom and the Czech Republic have declined. It must now be ratified by at least 12 signatory states before they can begin to take effect. All countries in the eurozone will not will not receive financial assistance from its partners over the future relief fund that will start this summer, the European Stability Mechanism (SPM). This ratification might be complicated especially in Ireland, who announced the holding of a referendum on this, inherently dangerous.
London to Moscow resumed its unenviable title of European champion of the highest rents, according to ECA International. This study considers the homes of about 80 square meters in over 130 cities. It is widely used by corporations to calculate housing allowances to their expatriates. Globally, it is Tokyo that dominates the charts. Note that New York is only the 18th, moved up to the United States through San Francisco. Paris and in all this? Discover a place in pictures. 1/15
Previous Previous PauseSuivant 1. London: Euro 2565 Next Photo 2/15
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Previous Previous PauseSuivant 4. Stockholm: Euro 1752 Next Photo 5/15
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Previous Previous PauseSuivant 6. Paris: Euro 1700 Next Photo 7/15
Previous Previous PauseSuivant 7. Amsterdam: Euro 1670 Next Photo 8/15
Previous Previous PauseSuivant 8. Istanbul: Euro 1500 Next 9/15
Previous Previous PauseSuivant 9. Oslo: Euro 1480 Next Photo 10/15
Previous Previous PauseSuivant 10. The Hague: 1380 euros Next Photo 11/15
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Consumer confidence rebounded in November, the latter being a little less worried about the prospects for employment and income.
The Conference Board index measuring it stood at 56.0 against 40.9 in October (39.8 in the first estimate).
It is the highest since July and well above the consensus which gave 44.0.
"Consumer expectations have finally improved after six months of steady decline," said Lynn Franco, head of research center of the employers' organization.
The rules of the European Financial Stability Fund (EFSF), the relief fund for the euro area, are ready to be submitted for the approval of Finance Ministers of the area who meet Tuesday, show documents obtained by Reuters Sunday.
These documents outline the rules for the intervention of the EFSF on primary and secondary bond markets, the granting of precautionary credit lines to governments, increasing its firepower by the application of leverage and its investment strategies and funding.
The approval of these rules must allow the EFSF to attract in the coming weeks of cash from private investors and public likely to increase the resources of the fund.
The head of state Friday defended its commitment to nuclear and again criticized the agreement between the PS and EELV, which he said would cost 125 billion euros. Nicolas Sarkozy defended the nuclear industry in France during his visit to the nuclear Tricastin then the site of the uranium enrichment plant Areva to Pierrelatte, Friday, November 25, 2011.
Nicolas Sarkozy said Friday that the agreement signed between socialists and environmentalists to reduce the share of nuclear energy amounted to a "destruction of the nuclear industry", in a speech in a factory in the French nuclear group Areva."It is not meant to start a simple reflection on the diversification of our nuclear power but to prepare, simply, an output of France's nuclear," said the French president, as part a trip to the uranium enrichment plant Areva Pierrelatte (Drôme, southern France). "How fresh take on the proposal to close 24 reactors and refrain from building new ones, if not the destruction of the industry," he added.
He for his part stressed his commitment to the industry. "Our fleet ensures our independence," he said. "I will not bear to leave thousands of homes by the weight of a decision that is purely ideological. I have no intention of selling out the legacy of those who came before us.
Eleven departments will experience from December the requirement for recipients of RSA to work seven hours a week. Explanations. EMPLOYEES ON A prepares the packages in a warehouse of the Food Bank in Strasbourg
During his visit to Bordeaux on the topic of social fraud, Tuesday, Nicolas Sarkozy announced that the government would try by the end of an obligation to work seven hours a week for RSA recipients. The trial balloon launched by Laurent Wauquiez spring has come into effect. The leader of the Social Right UMP, Minister of Higher Education, denounced in May the "cancer of the assistantship." Among his proposals to "treat this disease," he called to make the beneficiaries of RSA five hours of social work per week, for free.The idea has generated considerable controversy, but has found support among the electorate to the right.
Nicolas Sarkozy has instructed Marc-Philippe Daubresse to make proposals. The former minister of Active Solidarity, now Secretary General of the UMP, has taken over the idea of working a few hours each week recipients of the RSA, for a fee this time. And an objective "to offer a range of broader assisted contracts and respond to difficulties in accessing the labor market," said Marc-Philippe Daubresse. In six months, the UMP has made a major shift in meaning: it is no longer stigmatize the "profiteers" of national solidarity, but to sort of "homework" to "rights", according to the words of Nicolas Sarkozy on Tuesday.
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