The Korea Herald

Europe faces difficult search for growth

WASHINGTON (AP) ― On paper at least, European leaders agree: They need stronger growth measures to help their economies expand out of their government debt crisis. Figuring out exactly what those new steps might be will be the hard part. Persistent political divisions ― neatly bridged by a Group of Eight summit statement that advocates a mix of austerity and growth promotion ― and lack of money stand in the way of a comprehensive European growth strategy. Analysts said markets were likely to loo

May 21, 2012

Saudi Arabia edges Russia as biggest oil producer

Saudi Arabia boosted crude production close to a 31-year high in March, overtaking Russia as the world’s largest oil producer for the first time in six years, according to the Joint Organization Data Initiative. Saudi crude exports rose 3 percent in March, reaching the highest level in five years as Iran cut shipments, according to government statistics posted Sunday on the initiative’s website. Saudi Arabia, OPEC’s largest producer, increased daily output to 9.923 million barrels in March, up 0

May 21, 2012

Saudi Arabia edges Russia as biggest oil producer

Qantas slashes 500 jobs in restructuring

SYDNEY (AFP) ― Embattled Australian flag carrier Qantas said Monday it will axe 500 jobs in its heavy maintenance and engineering operations as part of a restructuring to help slash costs.The move follows an 83 percent slump in first-half net profit in the six months to December and an announcement it would delay the delivery of two A380 superjumbos by three years as part of spending cuts.In the reorganization, Qantas will cease heavy maintenance at Tullamarine in Melbourne by August, with work

May 21, 2012

Alibaba buys back stake from Yahoo for $7b

Alibaba Group Holding Ltd., China’s largest e-commerce provider, agreed to repurchase about a 20 percent stake in itself from U.S. Web portal Yahoo! Inc. for about $7.1 billion. Yahoo will receive at least $6.3 billion in cash and as much as $800 million in newly issued Alibaba preferred stock, the companies said in a statement Monday. Alibaba also will be required to either buy back a quarter of Yahoo’s current stake at the price of a future initial public offering or let Yahoo sell the shares

May 21, 2012

Alibaba buys back stake from Yahoo for $7b

China’s Wen calls for efforts to spur growth

Premier calls for higher priority on economic growth amid slowdownBEIJING (AP) ― Premier Wen Jiabao called for more priority to be given to boosting China’s slowing economic growth, a state news agency reported Sunday, after unusually weak industrial activity in April prompted alarm about the world’s second-largest economy. During a weekend trip to the industrial city of Wuhan, Wen promised to boost domestic consumption and strengthen Beijing’s economic controls, the Xinhua News Agency said. “We

May 21, 2012

China’s Wen calls for efforts to spur growth

Google gets China’s approval for Motorola deal

NEW YORK (AP) ― Authorities in China have approved Google Inc.’s bid to buy phone maker Motorola Mobility, clearing the way for the $12.5 billion deal to close early this week. But Chinese regulators attached a big condition: That Google’s Android operating system for mobile devices remain available to all at no cost for the next five years. The approval brings the Internet search giant closer to sealing its biggest acquisition ever. Buying Motorola allows Google to expand into manufacturing pho

May 20, 2012

Spain may have to revise 2011 budget deficit

MADRID (AP) ― Concern grew for the stability of Spain’s place in the fragile eurozone economy after reports of a rise in the level of bad loans on the books of its banks and word from the government Friday that it may have to revise its 2011 budget deficit upwards for a second time. The Bank of Spain reported that lenders’ and savings banks’ bad loan ratio had risen in March to an 18-year high of 8.36 percent from 8.15 percent the previous month. The Finance Ministry then said in a statement lat

May 20, 2012

Spain may have to revise 2011 budget deficit

Spain shaken by report of bank run

MADRID (AP) ― Confidence in Spain’s banks and its teetering economy was shaken Thursday after a newspaper reported that depositors were rushing to withdraw their money from Bankia, a troubled bank that was effectively nationalized just one week ago.Adding to the anxiety, rating agency Moody’s downgraded its credit ratings on Spanish banks. The banking sector has been hit hard by a collapse in the Spain’s property market and is facing tough funding rules that many analysts fear it can’t afford. T

May 19, 2012

Fitch downgrades Greece, cites euro exit risk

ATHENS (AP) ― Fitch ratings agency downgraded debt-crippled Greece deeper into junk territory on Thursday, warning of a “probable” Greek exit from the euro currency union if new national elections next month produce an anti-bailout government.Fitch said it had cut Greece’s rating by one notch, from “B-” to “CCC,” the lowest possible grade for a country that is not in default.“The downgrade of Greece’s sovereign ratings reflects the heightened risk that Greece may not be able to sustain its membe

May 19, 2012

Fitch downgrades Greece, cites euro exit risk

IMF keeps Greece mission frozen until new vote

The IMF said Thursday that it would hold off on contacts with Greece until new elections, despite the formation of an interim government in Athens.“We take note that elections have been called, and we look forward to being in contact with the new government once it has been formed,” spokesman David Hawley told reporters.The next IMF mission to inspect progress on reforms “would follow the elections” on June 17, Hawley said, adding that he did not have a specific date.The International Monetary F

May 19, 2012

Moody's downgrades 16 Spanish banks

Moody's on Thursday cut the debt ratings of 16 Spanish banks by one to three notches, citing the effects of the ongoing recession and the Spanish government's own reduced creditworthiness.The leading bank, Santander, and the number two BBVA, were both hit with three-notch downgrades from Aa3 previously to A3, which for Moody's is a upper-medium credit grade, with still low credit risk.Two other la

May 18, 2012

U.S. unemployment aid applications stay at 370,000

WASHINGTON (AP) -- The number of people seeking U.S. unemployment benefits was unchanged last week, suggesting steady gains in the job market.The Labor Department says weekly unemployment aid applications were a seasonally adjusted 370,000, the same as the previous week. The four-week average, a less volatile measure, fell to 375,000.Applications for benefits surged in April to a five-month high o

May 17, 2012

Paralyzed woman uses her mind to control robot arm

NEW YORK (AP) ― Using only her thoughts, a Massachusetts woman paralyzed for 15 years directed a robotic arm to pick up a bottle of coffee and bring it to her lips, researchers report in the latest advance in harnessing brain waves to help disabled people.In the past year, similar stories have included a quadriplegic man in Pennsylvania who made a robotic arm give a high-five and stroke his girlfriend’s hand, and a partially paralyzed man who remotely controlled a small robot that scooted around

May 17, 2012

Paralyzed woman uses her mind to control robot arm

Facebook feeds hungry investors more shares

NEW YORK (AFP) ― With investors hungry for Facebook shares ahead of a hotly anticipated offering, the social network unveiled a 25 percent increase Wednesday in the number of shares to be sold at the market debut.The increase comes from current shareholders, who had previously obtained stock in private offerings, seeking to cash in on the hefty price amid a Facebook frenzy.“This is definitely in response to very strong global investor demand,” said Lou Kerner, founder of The Social Internet Fund

May 17, 2012

Japanese machinery orders fall 2.8 percent

Japan’s machinery orders fell less than economists forecast in March, as earthquake reconstruction helped to support the nation’s growth. Bookings decreased 2.8 percent from the previous month, when they rose by the same amount, a Cabinet Office report showed in Tokyo Wedensday. The median estimate of 29 economists surveyed by Bloomberg News was for a 3.5 percent decline. Orders can swing between gains and declines depending on the timing of major projects. Japan’s government may report Thursday

May 16, 2012

Japanese machinery orders fall 2.8 percent

Nissan plans to increase U.S. Altima capacity to challenge Toyota Camry

Nissan Motor Co. said it plans to run three daily assembly shifts at U.S. plants building a revamped Altima, as the company tries to challenge Toyota Motor Corp.’s Camry, the top-selling U.S. passenger car.Production of the 2013 Altima began Tuesday at Nissan’s Smyrna, Tennessee, plant and the car goes on sale late next month. The Yokohama, Japan-based company’s sedan outsold Honda Motor Co.’s Accord in 2011 and takes aim at Camry this year, said Bill Krueger, Nissan’s vice chairman of the Ameri

May 16, 2012

Nissan plans to increase U.S. Altima capacity to challenge Toyota Camry

Buffett’s firm buys 10m shares of GM

Berkshire also ups positions in Wal-Mart, IBM; Kraft, P&G stakes trimmedOMAHA (AP) ― Warren Buffett’s company is apparently bullish on the U.S. auto industry. His company, Berkshire Hathaway Inc. took a new 10 million-share stake in General Motors Co. in the first quarter. The investment comes as the Detroit automaker continues to rebound from bankruptcy three years ago. It posted a first-quarter net income of $1 billion, fueled by U.S. vehicle sales. Buffett drives a GM-made Cadillac DTS sedan,

May 16, 2012

IMF raises possibility of Greece’s orderly exit

PARIS (AFP) ― The head of the International Monetary Fund on Tuesday raised the possibility that Greece could leave the eurozone in an orderly fashion.“If the country’s budgetary commitments are not honored, there are appropriate revisions to do, which means either supplementary financing and additional time or mechanisms for an exit, which in this case must be an orderly exit,” Christine Lagarde said in an interview with France 24.“It is something that would be extremely expensive and would pos

May 16, 2012

IMF raises possibility of Greece’s orderly exit

Merkel, Hollande say will keep eurozone together

BERLIN (AFP) ― French President Francois Hollande and German Chancellor Angela Merkel stressed their desire to keep the eurozone together on Tuesday in key talks just hours after France’s new leader was inaugurated.With all eyes on their first-ever talks, the two leaders also vowed that the two European powerhouses were aware of their responsibilities and ready to help find solutions to the eurozone crisis.Hollande, the newly inaugurated French Socialist, arrived late for his first talks with Me

May 16, 2012

Merkel, Hollande say will keep eurozone together

Greece faces new elections as government talks fail

ATHENS (AFP) -- Greece will have to hold fresh elections after talks on forming a new government broke up Tuesday without agreement, socialist Pasok party leader Evangelos Venizelos said."We are going again towards elections, in a few days, under very bad conditions," Venizelos said, while a statement from the president's office noted simply that efforts to form a government had failed.The talks t

May 15, 2012