Spain banks need up to $78 billion

Juncker expects Spain to request aid by MondayMADRID (AP) ― Spain’s troubled banks could need as much as 62 billion euros ($78.6 billion) in new capital to protect themselves from economic shocks, according to independent auditors hired by the government to assess the country’s struggling financial sector, officials said Thursday. The Spanish government will use the auditors’ report as the basis for their application for a bank bailout loan from the 17 countries that use the euro. With tensions

June 22, 2012

Euro banking union needed now: IMF

WASHINGTON (AFP) ― The IMF on Thursday said the euro area needs to move now to establish full banking union and that the European Central Bank should move on more demand-generating stimulus policies.Underscoring that the eurozone crisis is in a “critical stage,” the International Monetary Fund stepped up pressure on Europe’s leaders to take real action on the banking sector and economic growth in their coming summit.The Fund said in its annual review of the euro area economy that boosting demand

June 22, 2012

Fed extends ‘Twist’ program to boost borrowing

WASHINGTON (AP) ― The Federal Reserve is trying again to jolt the American economy out of its stalled recovery. It’s extending a program that aims to encourage borrowing and spending by reducing long-term interest rates. Wednesday’s decision followed months of concern that the economy is being held back by a weakened job market. At the end of a two-day policy meeting, the Fed also sharply reduced its forecast for U.S. growth and said it’s prepared to take more action if necessary. It reiterated

June 21, 2012

Spain full-blown bailout all but inevitable: analysts

MADRID (AFP) ― A full-blown bailout for Spain is all but inevitable as it has lost control of its debt crisis, analysts say, despite Madrid’s insistence that it does not need rescuing.With eurozone ministers set for the first of several key meetings over Spain Thursday, its budget minister insisted the country was stable despite soaring borrowing costs and a 100-billion-euro lifeline thrown out for its banks.“Spain has not been rescued because it does not need to be rescued,” minister Cristobal

June 21, 2012

Oracle’s quarterly earnings up 8 percent, exceeding analyst views

SAN FRANCISCO (AP) ― Oracle’s latest quarterly earnings climbed 8 percent, beating analysts’ expectations. The business software maker surprised investors by releasing the results Monday. The fiscal fourth-quarter report had been scheduled to come out Thursday. Oracle Corp. didn’t give a reason for the change of plans. The numbers came out after several analysts published notes reporting that Oracle’s top sales executive, Keith Block, may be leaving the company as part of a reorganization. Oracl

June 19, 2012

Microsoft unveils tablet computer

LOS ANGELES (AP) ― Microsoft has unveiled Surface, a tablet computer to compete with Apple’s iPad. CEO Steve Ballmer was on hand to announce the new tablet, calling it part of a “whole new family of devices” the company is developing. One version of the device, which won’t go on sale until sometime in the fall, is about 9.3 millimeters thick and works on the Windows RT operating system. It comes with a kickstand to hold it upright and a touch keyboard cover that snaps on using magnets. The devic

June 19, 2012

China leads nations boosting IMF’s firewall to $456 billion

Emerging-market nations including China and Brazil formalized funding pledges to the International Monetary Fund, helping to almost double its lending power to protect the world economy from Europe’s debt turmoil. With the addition of new pledges from 12 nations that also includes Russia, India and South Africa, the Washington-based lender said it now has received funding commitments of $456 billion, up from the roughly $430 billion it said it had secured in April. The temporary contributions wi

June 19, 2012

Fairfax Media to shed 1,900 jobs over 3 years

CANBERRA (AP) ― Australian publisher Fairfax Media Ltd. said Monday it will shed 1,900 jobs over three years and erect pay walls for two flagship newspapers as readers increasingly move online.The job cuts at the Sydney-based company represent almost one fifth of its 10,000 staff, spokesman Brad Hatch said.Fairfax said that its The Sydney Morning Herald and The Age broadsheet newspapers will become tabloids and their websites will introduce pay walls from early next year.Fairfax owns more than 3

June 18, 2012

45 firms to join water effort: U.N.

The United Nations said it has received support from chief executive officers at 45 companies, from Levi Strauss & Co. to Coca-Cola Co., in an effort to work toward making water use more efficient. The companies will join the U.N. Global Compact in committing to improve water-management practices, during a meeting in Rio de Janeiro Monday. The compact is the world’s biggest organization backing sustainability measures. About 800 million people worldwide don’t have safe drinking water and another

June 18, 2012

Lexus racing to reclaim No. 1 spot

U.S. consumers are getting better deals on luxury cars and sport-utility vehicles this year as the top brands clear out old models and race to be No. 1 in sales. Toyota Motor Corp.’s Lexus has led the rise in customer incentives. Lexus boosted discounts on its cars by 54 percent this year and its SUVs by 60 percent, according to researcher Autodata Corp. Daimler AG’s Mercedes-Benz increased incentives 11 percent and Bayerische Motoren Werke AG by 6.9 percent, compared with a 2.2 percent gain in

June 18, 2012

AirAsia parlays planes into phones, hotels

As AirAsia Bhd. prepares to more than triple its fleet, Chief Executive Officer Tony Fernandes says he wants to match the growth of his budget airline with discount hotels, mobile phones and financial services. Tune Group, the closely held parent company of Fernandes and business partner Kamarudin Meranun, may sell stock in some of the units by the end of next year, Fernandes said. Initial public offerings are also planned for AirAsia’s Indonesian budget arm and long-haul unit AirAsia X Sdn., he

June 18, 2012

EU leaders welcome Greek results

BRUSSELS (AP) ― Leaders of the European Union appeared relieved late Sunday at the prospect that a pro-austerity government might be formed following the latest elections in Greece.Top officials of the EU and of the group of 17 nations currently using the euro said the Greek elections should allow quick formation of a government that will continue the austerity program to which the country has committed itself.“The Greek people have spoken,” said a statement issued jointly but European Council P

June 18, 2012

Euro crisis far from over: analysts

Analysts say any stock rally from Greek vote should be short-livedWASHINGTON (AP) ― A slim victory for the main conservative party in an election in Greece should relax fears that a country will stop using the euro for the first time and possibly unleash global financial turmoil.But when it comes to Greek politics ― and European economic policy ― it’s never that easy. So the bumpy ride for financial markets isn’t over yet.The conservative New Democracy party, which supports a bailout agreement G

June 18, 2012

Burger King eyes China expansion

NEW YORK (AP) ― Burger King is setting its sights on China.The world’s second largest hamburger chain says it will open 1,000 restaurants in the country over the next five to seven years. It’s the largest multi-unit development deal in Burger King’s history. There are currently just 63 Burger King restaurants in China.McDonald’s Corp. has more than 1,400 restaurants in the country.Burger King, which has more than 12,500 restaurants worldwide, said Friday that its China expansion is a joint ventu

June 17, 2012