News – Business & Economi

The Scientific Council of indices for the Paris Stock Exchange has decided to withdraw Dexia and Lagardère CAC 40, which will be replaced by Natixis and Publicis, NYSE Euronext said Friday.

Dexia and Lagardere will be included in the index Next20, ante ACC with Edenred and Rhodia, while Atos Origin and Land Regions are withdrawn over Natixis and Publicis.

These decisions will take effect from the trading session of September 20, 2010, said Euronext, which manages the Paris, Brussels, Amsterdam and Lisbon, and the New York Stock Exchange now payday loans.

The Scientific Council of indices for the Paris Bourse meets four times a year.It decides the composition of indices taking into account market capitalization, volume and weight of the share float of securities.

Five values also incorporate the SBF 120 – Bull, Faiveley Transport, Medica, Ruby and Sequana, while six are removed – Beneteau, Bonduelle, French Cement, Euler Hermes, Sperian Protection and Vilmorin.

LVMH Tuesday reported a strong rebound in sales and profitability in the first half, driven by the performance of Louis Vuitton and the resumption of activities that had been during the crisis, heavily penalized by destocking.

After Hermes and Burberry, the giant figures confirm global luxury goods sector recovery in the first quarter after suffering in 2009 the largest decline in its history with sales down 8%, according to estimates from Bain & Co.

LVMH saw sales reach 9.09 billion euros, a figure slightly above the consensus reached by the editor of Reuters (8.87 billion euros), growing by 16% as reported.

In comparable data, the dynamics of organic growth was confirmed, the sales growth standing at 14% in the first half, after 13% in the first three months of the year.

Full advantage of the good momentum in sales and cost reduction programs implemented in 2009, during the crisis, current operating income jumped 33% to 1.816 billion euros (1.7 billion Reuters ), advancing 2.5 points the group's operating margin to 19.9% (against 17.5% a year earlier).

Unsurprisingly, these are activities that had suffered most from the crisis and overstocks – namely wines and spirits (Moet & Chandon, Dom Perignon or Ruinart) jewelry and watches (Tag Heuer, Zenith, Chaumet and Fred ) – which recorded the highest increases in sales (+18% and +24% respectively on a comparable basis).

In fashion, leather goods, the division's most profitable group with Louis Vuitton, the main profit center of LVMH sales up 14%.

Turnover increased 10% in perfumes and cosmetics (Dior, Givenchy and Guerlain) and 13% in the selective distribution (perfumery chain Sephora, the department store Le Bon Marche, or network based DFS sales in duty by passengers).

The stock closed at 92.26 euros on the Paris Stock Exchange Tuesday, down 2.91% to an increase of 17.7% since the beginning of the year, outperforming the European diversified consumer goods advancing 13.7% over the period.

The value of trades on valuation multiples of about 18 times its estimated profits for 2011, against 16 times the industry average for non-Hermes.

Airbus and Boeing are competing on public aid for the next generation of commercial aircraft in Europe after the decision by the World Trade Organization (WTO) over European subsidies to Airbus.

The two aircraft manufacturers have each claimed victory by highlighting their points favorably in the review of 1,000 pages issued Wednesday by the WTO, which ordered the European countries to remove certain subsidies provided to Airbus for its A380 superjumbo .

The organization also criticized other government aid, a lower amount, in favor of other models produced by Airbus, but rejected several points raised by the U.S. side.

The United States believes that the opinion of the WTO shows that the states of the European Union (EU) should not offer more loans to development for the future Airbus A350, which are central to the initial conflict .

Boeing also believes that his competitor must repay about four billion dollars (3.2 billion euros) in loans for the A380 or restructure them into commercial loans.

Airbus rejects these two points.The European aircraft manufacturer said that the WTO panel that made the report did not indicate the amount of subsidies to readjust, or accused the European Group for hiding the EU funding system as a whole, only certain details.

AIRBUS: "BOEING TAKES HIS DESIRES FOR REALITY"

"Boeing is its wishful thinking (…), the A350 is not affected by the outcome of the WTO.Together with the four states (France, Germany, Spain and the United Kingdom), we move at full speed, "said Rainer Ohler, communications director of Airbus.

Boeing believes his side a legal principle has been established.

"The continuation of projects to provide four to five billion dollars of public money to Airbus for the A350 to different conditions from those of the market is not only unacceptable but prohibited by the WTO ruling," said a Spokesman for the U.S. group.

"It is really time that Airbus soars with his own wings.It is a company ripe, the world's largest manufacturer of commercial aircraft with cash of nearly nine billion euros, "he added

"He is perfectly capable of using its own cash and to use commercial loans to finance development of its aircraft."

In its report, the "special" WTO said Wednesday that Airbus could launch a series of civilian aircraft thanks to subsidies from the EU and member states as France, the Germany, Spain and the United Kingdom.

Without this aid, Airbus has been a very different company and much less powerful, the report said.

The United States believes that loans to Airbus were with special rules and illegally export related, which belies the EU.

The issue of reimbursement of past public assistance is a sore point – the question is whether the WTO decisions are truly authoritative.

No funding has never been repaid, underscore lawyers.In principle, business decisions are not retroactive.

Nevertheless, the EU should use the WTO ruling within 30 days.

"We're pretty optimistic that an appeal from the EU has a good chance to succeed and resolve the many issues that we do not understand in the current report," said Rainer Ohler.

EADS, Airbus's parent company, closed in fall of 2.87%, to 16.385 euros, while around 16:00 GMT, Boeing yielded 1.4%, to 61.87 dollars.

The chairman of the Democratic Movement (Modem) Francois Bayrou late Monday about the case Bettencourt, who has "not observed" in France "the glass wall that should separate the private affairs of public affairs" criticizing the "mixture".

See also: Dangerous Liaisons Eric Woerth and Liliane Bettencourt

"Historically, for years in France we did not meet the glass wall that should separate the money matters, private affairs, public affairs," said Mr Bayrou on RTL.

"There is too much complacency, we are constantly in the process of accepting that there is a immixion a mix" between public and private sectors, emphasized the member of the Pyrenees-Atlantiques."There is caution needed when you are in a great public service," he also said about Labour Minister Eric Woerth whose wife works for Florence Liliane Bettencourt.

Pirates of plays published by the website Médiapart Woerth suggested that the couple would have been aware of alleged tax evasion of the heiress of L'Oreal.

In an interview Sunday Mediapart, MEP Eva Joly (Europe Ecology), former judge Financial, said that Mr. Woerth should resign. "It is not unusual to ask a minister to be perfect! (…) In a normal democracy, the resignation is required," she said.

On Saturday, the deputy Arnaud Montebourg PS was also found on the website of the Express that keeping the government of Mr Woerth "prevent that the truth. "We have a budget minister (Mr portfolioWoerth May 2007 to March 2010) at the same time treasurer of the UMP, whose wife works to organize the tax evasion of Mrs. Bettencourt, "he was accused.

A virulence forced Eric Woerth-cons to attack the next day. "Now, enough is enough!" My wife will file a complaint against Mr. Montebourg (…) We can not say anything on anyone, "he blasted the" Grand Rendez-vous " Europe 1-Le Parisien.

"I do not know the finances of Mrs. Bettencourt, I have no information on any tax evasion and I gave no instruction of any kind whatsoever to the tax office, he has also defended in the Journal du Dimanche.

"My wife worked for three years in the company that manages the assets of Mrs Bettencourt. It is not an employee and CEO of this company," said Mr.Woerth, adding that "it's been over a year she wants to leave, of course she is going to leave for reasons of personal disagreement."

Labour Minister, who leads the pension reform, received support from his colleague of Higher Education, Valerie Pecresse, itself cited in bootlegs. She saw "an attempt at destabilization.

On the side of the Elysee, the special adviser Henri Guaino said he imagined "not a single moment" Eric Woerth "may have committed a wrongdoing." "In any event, Ms. Bettencourt has offshore accounts or not and whether or not it tax evasion, I do not see how this relates directly to Eric Woerth," he said on I-Télé .

The gas price for individuals is expected to rise 9.5% on 1 April, Wednesday said a source familiar with the matter in accordance with the application of a new method for calculating their evolution. The Commission for Energy Regulation (CRE) is expected to meet Thursday to consider a proposal to this effect of GDF Suez, the source said, confirming a report in the daily Le Figaro. CRE Suez and GDF have declined comment.

Under the new rules for setting regulated rates, intended to make developments more predictable, the government sets an annual schedules determining the framework within which the price of natural gas. GDF Suez is then responsible for proposing increases or decreases in rates within this framework.CRE approves or rejects the proposal submitted by the private group through a binding opinion.

The role of the CRE is limited to verifying the correct application of the formula for calculating the cost of supply of GDF Suez, which takes into account the level of crude oil prices, oil and exchange rates. The proposed tariffs are regulated mainly by GDF Suez (ex-Gaz de France) but also by 16 local suppliers, such as Gaz de Grenoble, Energy Services Occitan, the Municipal Board of Réole, etc..