HSBC (0005.HK)(HSBA.L) said it completed its first yuantrade settlement with Shanghai and its first cross-border yuancredit transaction. Executives said the move would save costs and avertexchange rate risks. Bank of China (601988.SS)(3988.HK) and Bank ofCommunications (601328.SS)(3328.HK) were the first to cleartransactions in yuan, considered a lucrative business givenChina’s expanding economy and presence in international trade. Six Shanghai companies signed contracts with counterpartsin Hong Kong and Indonesia on Monday to be the first to settlebusiness deals in the Chinese currency, also known as therenminbi. * Scheme seen as China’s ambition to internationalise yuan Stocks | Currencies | China | Indonesia * Executives say businesses will save costs, avert FX risks * Bank of China, BoCom first banks to conduct yuanbusiness (Adds analyst comments, Factbox link) By Lu Jianxin and Jacqueline Wong SHANGHAI, July 6 (Reuters) – China has launched a pilotprogramme to allow companies to settle imports and exports inyuan in some regions, marking a big step towards eventuallyinternationalising the currency.
“For Chinese companies, it also has the function to avert exchange rate risks.”Caught off guard and partly lacking the skills to hedge against foreign exchange volatility, many small Chinese exporters have closed shop after China revalued the yuan by 2.1 percent against the dollar in July 2005. SHANGHAI (Reuters) – China has launched a pilot programme to allow companies to settle imports and exports in yuan in some regions, marking a big step toward eventually internationalizing the currency. China | IndonesiaSix Shanghai companies signed contracts with counterparts in Hong Kong and Indonesia on Monday to be the first to settle business deals in the Chinese currency, also known as the renminbi. 1 BHP Billiton (BLT.L) (BHP.AX) which is valued at $137 billion and Rio Tinto (RIO.L) (RIO.AX) at $74 billion.A combination of the two firms would create the world’s biggest producer of zinc, platinum, diamonds, coal for power stations and ferrochrome and second biggest in coal for steelmaking and copper.(Reporting by Eric Onstad; editing by John Stonestreet) Deals Brazil. Anglo has been considering such a plan, sources familiar with the situation told Reuters last week.”They’ve got so many fantastic projects, so if they could find a co-investor for MMX, not only could they bring forward that project, they could bring forward the highly profitable copper and nickel projects as well.”Wagner said Anglo’s new copper and nickel projects have cash margins based on current metals prices and estimated costs of over 200 percent and 60 percent, respectively.A merger with Xstrata, the world’s biggest exporter of coal for power plants, would create a group worth $68 billion based on Friday’s closing share prices.The group would have added bulk to compete against sector No. during this transition.”Wagner said he hopes Anglo will find a partner for its big MMX iron ore project in Brazil. We’re happy to wait for the value in Anglo to be unlocked over time as a standalone entity and if Xstrata decides to present an attractive offer we will evaluate that as well.”UNDERVALUEDAnglo is “significantly undervalued” due to the scope to increase profits from its own plan to unlock $2 billion in cost savings, its growth projects and attractive industries it is exposed to, he added.According to media reports, some shareholders have been unhappy with Anglo’s management, but Wagner said restructuring a big, complex group takes time.”It’s a really large company, and we’re just as eager as everybody else to see more improvements and sooner rather than later, but you have to give the current management team a reasonable chance to execute the improvements they have initiated …
LONDON (Reuters) – The board of Anglo American (AAL.L) would surely consider a merger proposal from Xstrata (XTA.L) at a price that recognized Anglo’s top-tier assets, major Anglo shareholder Old Mutual said. The text of this Moody’s Investor Service ratingis available at . MediaZest plc (the “Company”)Result of General Meeting The Board of the Company announces that, at the General Meeting held today, allresolutions were duly passed.Contact:Geoff Robertson, Chief Executive Officer020 7724 5680MediaZest plc Liam Murray / Jo Turner 020 7492 4777Dowgate Capital Advisers LimitedEND. For a complete coverage of the budget, please click here (Reporting by Surojit Gupta) Bonds. Reuters has stopped distributing the full text of Moody’sInvestors Service press releases on ratings actions, effectiveApril 1, 2009. NEW DELHI, July 6 (Reuters) – India can return to economicgrowth of 9 percent per annum in the next fiscal year, as itseconomic fundamentals remain strong, the finance minister saidon Monday.
