Renzi ticking on Merkel Green light for aid to banks – The Time

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the state will help banks in distress. In the aftermath of the repartee between Prime Minister Matteo Renzi and German Chancellor Angela Merkel on government interventions for the lenders, the Wall Street Journal reveals that in fact the quarrel was just a facade, because behind the scenes Italy had obtained what he wanted. That is, a public guarantee in support of banks’ liquidity. This does not mean that the bail-in is called into question. It continues to apply the directive to which the bank bailouts should fall on the shoulders (in order) of shareholders, subordinated bondholders, senior bondholders and finally of account holders for stocks above 100,000 Euros. But Article 32 of the Directive also provides for exceptions to allow public aid. These are possible when it comes to “prevent or remedy a serious disturbance in the economy and preserve financial stability.”

And this is the point on which he has relied on the Commission EU to grant Italy a public guarantee in support of banks’ liquidity. The Brexit determined precisely that the situation mentioned by the Directive, that is a ‘serious disturbance of the economy “. And any intervention to support banks there would be a way to “preserve financial stability.” The system of ‘precautionary support “granted to Italy, however, is subject to two conditions: will be activated, if necessary, only until December and solvent banks.

according to the Wall Street Journal, it would be a state guarantee of 150 billion liquidity.

the Commission was keen to stress, so that someone could think of “preferential treatment »for Italy, that this scheme is in line with the guidelines of 2013 and similar operations are already operating in several EU countries. Brussels also announced that Italy has asked to authorize the provision of liquidity to solvent banks in case of need. The Commission spokesman explained that “there is the expectation that such a need to use it. ‘

This explains the words of President Juncker when he said that the Commission he would do anything to “avoid a bank run”, reiterating, however, that “for the moment there is no danger.” Palazzo Chigi came out reassuring messages. It was leaked that the new tool “will not necessarily be used in the short” but “it is an important political fact” this green light from Brussels. The Directive on the banking crisis and the bail in states that ‘in order to preserve financial stability, especially in the case of systemic liquidity shortage, the State guarantees on liquidity facilities provided by central banks or State guarantees on newly issued liabilities to remedy a serious disturbance in the economy of a member State should not trigger the resolution framework when certain conditions are met. ”

That is that “the safeguards of the state obtain the approval under the guidelines on state aid and are not part of a wider package of help, and that the use of the guarantee measures should be strictly limited in time. ” No coincidence that any work should be done by December of this year. According to Public Policy bail out banks in crisis might switch the type tools “Tremonti bonds” (so Padoan bond) or with a direct recapitalization of Cassa Depositi e Prestiti, in which to put money from the Treasury. While Germany thunders against public aid to banks, the International Monetary Fund puts the Deutsche Bank in the dock as the number one danger for the stability of the world financial system. Exposure to derivatives of about fifteen times the German GDP, Deutsche Bank is the institution that is the largest potential source of external shocks to the world. The German bank, which failed with the Santander Federal Reserve stress test, is, according to the IMF, “the most significant net contributor to systemic risks in the global systemically important banks, followed by HSBC and Credit Suisse.”

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Laura Della Pasqua

Banks, EU-ahead to the shield: State guarantee to be 150 billion – The Messenger

The European Commission gave the green light Sunday to an audience backboard to Italian banks, to be activated by the government as necessary to cope with any market turbulence. And ‘what emerges from a note of the Committee. It is, according to the Wall Street Journal, a State guarantee of 150 billion liquidity for banks to create a support program estimate, to be activated only in 2016, and for solvent institutions, which departs from the “rules on State aid ‘in situations “exceptional”.

the scheme proposed by Italy and authorized by the Commission until 31 December 2016 provides that the State will provide its guarantee on the debt of solvent banks (senior bonds newly issued). A scheme that puts the government in a position to intervene in case of adverse scenarios. You explain what sources of Economy ministeo, highlighting that any guarantee would head to the Treasury.

The scheme is compatible with the Commission communication on state aid in the banking sector of 10 July 2013. as mentioned a few days ago, before the financial market turmoil, the Government has seen fit to assume all scenarios, even the most improbable, to be ready to step in to protect savers. As stated by the Prime Minister last Friday 24, the Government equips for reasons of caution all necessary measures to deal with any scenario, even though at the time did not deem the conditions for such scenarios can be realized.

“The EU Commission has authorized, under the rules on State aid, the introduction of a guarantee scheme for Italian banks until 31 December 2016. the scheme covers the liquidity support measures in favor of solvent banks as a precautionary measure ” Brussels wrote in a note. “Italy has requested the Commission to authorize the liquidity support, which can be supplied to solvent banks in case of need,” the statement said. Italy “has notified this measure for precautionary reasons,” but “there are no expectations which arises the need to use this pattern.”

“During the application of extraordinary rules for state aid to banks, the Commission shall authorize the guarantee schemes for a period of six months to monitor developments and adjust conditions according to them,” he explains the note. “As demonstrated by this decision and other precedents, there is a number of solutions that can be put in open field than the European rules to address the turmoil,” concludes the Commission.

After days of uncertainty, therefore, brussels – in a rather roundabout way – broke the news that he immediately had a positive impact on the stock market: Italy has asked to authorize public guarantees for liquidity support to solvent banks and Brussels gave it. This is the immediate safety net to stop the increase in tension in the markets centered on Italian banks.

Significantly, both Rome and Brussels converge on a message to be reassuring: it remains to be seen whether it will be necessary to use the guarantee scheme for banks that do not have capital problems. If anything, the Commission says openly that “not expected” to be used. However things is the life preserver. Logically this implies that the problem banks is not closed, so far nothing indicates that the discussion with Brussels is over.

On the Italian side, in fact, it has not been denied if the government aims or not to obtain recognition of a “severe financial disruption” and the need to “preserve financial stability” in order to be able to decide extraordinary public support without opening a resolution procedures.

 

Germany Italy curbs on banks. Renzi: “We respect the rules” – The Republic

MILAN – Before the well-informed source close to the government in Berlin, then the same Chancellor Angela Merkel: the idea that Italy ask for a window the exception to the application of the bail-in – that is, the involvement of investors and depositors in the institution’s rescue, before resorting to public funds – not like Germany. A position that calls for the immediate response of Prime Minister Matteo Renzi, who takes away the order of the European agenda the question of the revision of the rules because “even with the current ones we are able to protect savers.” And who then throws the jab: “We respect the rules, the Germans did not do so” in reference to the overruns of the Covenant of the 2003 Berlin stability, tolerated at European level “and by the Berlusconi government.” He could not miss then the reference to the 247 billion that Germany has put into the pot for its banks, while Italy “missed an opportunity” for
“intervene in a structural way” on the issue.

the German stop. However, the German Chancellery, is opposed to any attempt to protect investors if the Italian government goes ahead with the plan to recapitalize banks, emerged in these days of financial turmoil as a result of British vote on Brexit. To say it in Bloomberg were at first German government sources, according to which Berlin tip to apply the EU rules in the rescue of the banks, thus, imposing losses on shareholders and certain creditors before they are used public money.

But then came the confirmation harder, that of Angela Merkel, that a question on the subject responded without too many chinks: “We have defined certain common rules on bank resolution and on their recapitalization, we can not change everything every two years. ” After the meeting of 27 heads of State and Government of the EU he responded to reporters: “The current basis of recapitalization and resolution” banks “provide opportunities to meet the needs of member states”. As if to say that there is no need to go to create more space.

The Italian plan. In fact, as a result of stock market crashes of the two post-Brexit sessions overwhelmed especially the system of Italian credit, they are back in vogue plans of Rome to try to resolve once and for all the banks’ balance sheet problems, which primarily refer to the amount of loans they have in the belly. Yesterday the Premier Renzi had stressed that the government is “ready to do whatever it takes, if it will help to ensure the security of savers and” Mario Draghi and even citizens had taken note of the fact that you have to solve these problems permanently. By the EU, the Commission Vice-President Valdis Dombrovskis confirmed the ongoing dialogue with Rome on the theme, but today has curbed the member of the ECB directory, Benoit Coeuré , for which “if the rules on bail-in are held over, then it is truly the market union end as we know it. “

the proposed framework provides a window of six months to derogate from the rules on bail-in and be able to be secured the system with public money. The news circulated stated in a forty billion the value of possible action, which could result in practice in several ways. This should be the pivot of the intervention CDP, which could recapitalize banks directly giving the guarantee to underwrite the unexercised capital increases from the market. Another way could instead operate directly on the problem of suffering, by activating a kind of new fund that will invest in Atlas tranche of loans past due less guaranteed to buy them at cost price and take them out from the banks that they should not write in books heavy writedowns.

the location of Renzi. “We have a great ability to adhere to the rules and we will continue to do so.” So the prime minister has blunted criticism during the post EU summit press conference, after Merkel stressed the importance of respecting the rules on bank bailout. “The banking issue is not on the agenda and does not see requests for rules changes. In the current situation if there were problems we would be in ‘as things stand’ conditions to protect the money of depositors and citizens. There is no risk for the money of the taxpayer and citizen. point. There are tools to achieve this goal by the rules. the rest are discussions among the experts. We – he added – we want to change the political rules of the game in ue, not banking regulations, we want to talk about child care, culture and innovation, and not only of bureaucrats and financiers. “

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Banks and flexibility, Merkel freezes Italy: you can not change the rules every two years – The Messenger

Angela Merkel freezes Italy on new spaces in a flexible policies, particularly for the banking sector : “I believe that some flexibility has been granted to certain countries to promote growth. Looking especially to Italy, I can say that we have adopted different solutions, but we can not renegotiate every two years the banking industry rules. “

For his part, Prime Minister Renzi, ensuring that there is no risk to the money of the depositors Italian even with the tools available now, he pointed out that “no one wants to change the rules for bank rescues. The question is not on the agenda. ” And again: “Italy has the ambition to lead the path to change EU coming here to bring ideas and proposals, not asking for exceptions, because there are spaces in the rules to do all that is needed in our country” .

“None of us wants to change the rules. The rules have been changed the last time in 2003 to enable France and especially Germany to exceed the 3% ceiling. Then the Italian government, led by Silvio Berlusconi, agreed to change the rules to do a favor for France and Germany “, he has again emphasized the Prime Minister at a press conference following the European Council in Brussels, the German chancellor, according to which you can not renegotiate every two years, the EU rules concerning the banking sector.

“This happened in the past – added Renzi – but it has not happened, because we have a great ability to comply with the rules and we continue to do so. The banking issue is not on the agenda, because it does not see in requests for rules changes. As you know we have lost the opportunity to intervene in a structural way, as did Germany, which has put the 247 billion euro to rescue its banks. Italy did not do it, because who was going to the government, the presidents Berlusconi, Monti and Letta that respect, when you could do no have done. “

” No use crying over spilled milk. What we are absolutely certain is that, if there were any problems, we would be in a position, as things stand, to protect the money of depositors and citizens, “he still said the prime minister.

” We we put the system (bank, ed) in security, we did cleaning, we made the operation banks, which is to avoid the scandals, I hope that the actions of responsibility you do, “he explained at the press conference. “If there had been upstream a bad bank would be better, but you chose not to do it and we have used the solutions that were possible,” he said Renzi, explaining that “this government has rescued depositors and citizens’, and both now “in a position to assure citizens that their money is safe.”

“as is known – said the prime minister – we have lost the opportunity to intervene in a structural way as did Germany around in 2010-2011, when he put 247 billion of euro to save banks. Italy did not do so because he who was the Government has decided not to do it, it is no use crying over spilled milk. ” Especially since “we can not do that now that the rules are different.” The Prime Minister was keen to reassure: “My message is: there is no risk to the taxpayer’s money, the citizen. The tools are there to protect. “

 

Italian banks, Angela Merkel uses the carrot and the stick – The Huffington Post

End of the European Council. Merkel speaks to reporters. Shortly after the President of the Council is located in front of reporters. He tries to defuse the controversy with a joke: “I smile because someone says Renzi thinks the banks. They are forced to do so, everything was going for less than lenders, banks know for my mortgage.” Never before has the bitter aftertaste of a motorcycle reveals the spirit of how the center of the post-Brexit threads there are banks. Especially Italian ones.

Angela Merkel has apparently slammed the door on to the Palazzo Chigi aspirations in the review of the bail-in rules. But in reality the Italian negotiation proceeds in Europe, even if uphill and in short steps, but with a goal: to have the possibility, in case of “real emergency”, to intervene to also state time with tools. Which can range from the recapitalization fund Atlante thanks to pension funds resources, insurance and a larger proportion of CDP (something like 5 billion) to deal with non-performing loans of banks, the hypothesis of ‘Padoan bond’ or a remake bond Monti used to MPS, up to the expectation of a role of CDP (perhaps with Treasury resources) in the recapitalization of any banks in crisis.

According reveals a government source, to worry more, especially in these turbulent days post-Brexit, is the situation of Monte dei Paschi di Siena. That already in the black Friday after the British referendum had touched a historic low of 0.39 euro, closing at -16.45% and today it closed at -2.87% by upgrading to new historic lows 0.3887 euro. The performance of the stock exchange did not help, either to other banking stocks (see Bper -5.45%, -5.23% Ubi, BPM -3.38%, Banco Popolare -3.24%) the words of Chancellor Angela Merkel has “frozen” Matteo Renzi said: “We have worked to give us common rules on resolution and recapitalization of banks, and we can not change the rules every two years.” It is no coincidence that, in the face of European equity indexes in recovery and on the maximum in mid-session, Milan has held with bank immediately after the release of a Bloomberg news that anticipated the no Germany any attempt to protect investors an Italian bank recapitalization plan.

At the moment, we think a government source, there is an imminent danger to Italian banks, as has been saying even Prime Minister Matteo Renzi. But the executive, and, primarily, the technical panel set up under the direction of Palazzo Chigi, involving Ministry of Economy and Economic Development, along with the Bank of Italy, and CDP, constantly monitors the market and is ready to intervene in case of need.

And that’s why, despite the niet arrived from Merkel on a review ‘flexible’ bail-in rules on state aid, and the call and response that is achieved with Matteo Renzi, the negotiations between Italy and the EU goes ahead. The hypotheses on the table are different: one speaks for example of hybrid recapitalization tools with public intervention, public guarantees on bank bonds, with interventions ‘equity’ of financial vehicles and the ‘non-performing loan management funds’. It is in particular on two points: easing of the rules of the so-called Brrd and bail-in in exceptional cases to allow government intervention in the rescue of the banks and the recapitalization of the fund Atlas, perhaps with a larger share of CDP.

What Merkel is referring strictly to the current rules of the ‘bail-in’, and with European rules on state aid when he says that should not be revised rules every two years, does not close the game. It appears that his words were referring mostly to an unwillingness to appeal by Italy or other countries, Article 108 of the EU Treaty allows the Council, at the request of a Member State, decide to ‘ unanimity that a state aid is compatible with the internal market in derogation from the rules “if exceptional circumstances justify it.” However, the possibility remains, and this would stand to Italian negotiations, to leverage on two provisions of the bail-in that already allow derogations. Article 44 of the European Directive on the resolution, in fact, indicates that “in exceptional circumstances, a resolution authority may exclude all or part of certain liabilities from the write-down or conversion powers”. And Article 32 leaves the door open to government guarantees to support the liquidity facilities provided by central banks, government guarantees on newly issued liabilities or an injection of own resources, or the purchase of equity instruments at terms and conditions “that does not confer an advantage.” Exemptions for which, in fact, need the ok from the Union, a ok “quote” that Italy is trying to cash in so that if you were to present an emergency situation, to intervene being sure not to run into a sharp slowdown from Brussels.

The second line of negotiations, that the Fund Atlante 2, the same Renzi said today: “The fund Atlas has given very valuable feedback and is in condition to be further capitalized.” As is explained , negotiation with Europe mainly concern the role of Cassa Depositi e prestiti, which currently participates in Atlas with half a billion. by agreeing with Europe, so that there are no state aid issues, one could assume a Fund Atlas 2 with a massive presence of CDP and help from insurance and pension funds. Although, thinks a government source, you should see how to use resources, those of the CDP, which still derive from postal savings. one hypothesis could be recapitalize CDP with Treasury funds for this operation. But, for this reason, would need a European passport.

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Banks, Merkel to Italy: “We can not change the rules’ – Il Sole 24 Ore

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The markets are betting on the support of the governors. Germany: stop to Italian plans for banks – The Republic

MILAN – 15:30. The markets, emerging from a technical rebound after two days of post-referendum panic on Brexit, continue to bet on upcoming support by monetary authorities and European shares treat positively: Milan halls 1 , 9%, after gaining 3.3% the day before. Well the other of the Old Continent Bags: London halls of 2.2%, Paris 2.4% and Frankfurt advances by 1 , 7%. Positive start for Wall Street: the Dow Jones rises by 0.9%, the Nasdaq 1%.

Square Business the lights are focused on the credit industry , the true barometer of confidence in the Italian economy. Yesterday, at the end of the first day of the European Council’s work which also debated the closure Brexit (today), the Commission President Jean Claude Juncker has explicitly talked about the fact that Italy does not run the risk of a bank run: “We talked about banks this afternoon with Renzi – confirmed – and the risk to be avoided is that of a bank run. But for now this is not a danger to Italy.” Mario Draghi also pushed for “solving the problems of the banks.” The government works in contact with Brussels to make a possible derogation from the window to the Regulation on the bail-in (the involvement of investors in the rescue of the banks, experienced in Italy with the four institutes saved at the end of 2015) to intervene with the public stand in support of bank balance sheets, or through direct capital injections or – more likely – by strengthening the intervention of Atlas in solving the problem of suffering. A worry the markets, however, there is the German closing any possibility of government intervention: as reported by Bloomberg citing a source close to Berlin, the Credit Directive which includes bail-in can not be amended. By return, the same chancellor Angela Merkel said: “I believe that some flexibility in certain countries to promote growth has been granted. Looking especially to Italy, I can say that we have adopted different solutions, but we can not renegotiate every two years the banking industry rules. ” Words that have frozen some titles, with Ubi and UnipolSai suspended in the volatility auction. Keep an eye on Snam which approved its business plan.
in Asia has staged the biggest rise last week, with the index MSCI Asia Pacific (basket that summarizes the trend in Europe Bags) capable to recover nearly half of the losses suffered after the outcome of the British vote. On the other hand, the Japanese governor Haruhiko Kuroda was put on line and Mario Draghi said that he was ready to inject new resources into the system, if that were necessary, and the markets now indicate 2018 as the most likely date for the next rate hike by the Fed. Until a few weeks ago, he discussed whether the monetary tightening could come in June or July. According to the manager James Woods, “although central bankers are reassuring investors and are ready to support markets, it may be premature to change the general approach and become suddenly optimistic.” Agency Bloomberg says: “Probably we will continue to see a very pronounced volatility. We have to wait to see how it will develop the political situation in the UK” after Brexit.

Sterling , able yesterday to make some positions, holds the positions: the British currency is indicated in the Asian markets at $ 1.3399 compared to $ 1.3340 yesterday, and at least 31 years (1, 3121) touched in the days following the referendum. Shortly also moved the ‘ € , which is trading at $ 1.1085 (1.1065 the yesterday’s closing) and to 113.8 yen (from 113.71 yen). Meanwhile, continues to go down the spread between Bund and BTP, which benefits the action of the ECB and narrows below 150 basis points. The yield on Italian ten-year fell all’1,361%, below the levels of June 23 (the day of the referendum and on the eve of the news Brexit).

The macroeconomic surveys are opposed. In Germany , for example, has risen more than expected the consumer confidence for July: according to data measured by the Gfk index rose to 10.1 points from 9 , June 8, against expectations for a stable datum. Consumers see the economy “in good shape”, but the survey does not still suffering the blow of the British referendum (the agenda of the markets). The European index which measures consumer expectations (BCI) indicates a slight decrease of 0.04 points for the area with the single currency, reaching +0.22 share. The other indicator of the Commission, what Esi which measures the confidence of business and consumers in the economy, declined slightly by 0.2 points to 104.4, taking share in the euro area and in the EU is slightly improved by 0.1 point share 105.7. Male Italy’s performance, worse than other big countries. Again in Germany, inflation in June rose by 0.1% on May bringing the annual figure to 0.3%, but the expectations were for a 0.2% more growth on the month and 0.4% over-year. In the US, the PCE inflation in May reported a + 0.9% annual, under the Fed’s target. In May, American consumers spent more freely with a 0.4% increase in spending compared with a +0 , 2% of personal income.

in the morning, positive close to Tokyo Stock Exchange in the wake of expectations of economic support measures: the Nikkei-225 index finished the sitting rising 1.59% to 15,566 points. The oil engages the positive phase and is rising on international markets, for the second consecutive session. Crude WTI gains 0.79% to $ 48.23 a barrel. Also rose Brent has appreciated by 0.68% to $ 48.91 a barrel. They are expected this afternoon US stocks, with the consensus set for a decline of 2 million barrels. Although it has thus loosened the tension, even a safe haven as the ‘ Gold is growing (and this emphasizes that the situation is far from resolved): the precious metal earns 0 in the morning, 6% in the $ 1,320 area.

Snam celebrates on the stock exchange floor and spin-off – Il Sole 24 Ore

Snam Shopping on the day of the presentation of the business plan for 2020 and the announcement of the separation by Italgas. In Milan the Snam Rete Gas after an initial jump of 5% recorded a solid rise on a day still positive for all the energy and oil sector. The board of directors of Snam approved the spin-off of Italgas that provides for the listing of the new company by the end of year, the allocation of 1 share of the new company for every 5 shares held Snam. Snam will retain a 13.5% interest and will be proposed a share buyback program of a maximum of 3.5% of the company post-demerger capital. Which according to Intermonte, it is an additional option to optimize the financial structure.

Snam, ready the spin-off of Italgas

According to analysts ICBPI, the Italgas separation (which will deal with the town gas distribution) by Snam (which will continue to be active in the transport, storage and LNG) will harness both Snam, which will consolidate its leadership and its further integration goal network & Web of the European gas markets, both Italgas that can seize the best opportunities for development related to new calls for tenders. Mediobanca Securities analysts point out that the spin off of Italgas, with the transfer of part of the debt by Snam Italgas, could free up about 200 basis points of potential in terms of debt / total assets. This potential leverage more could be used to support the current dividend policy or it could be used for the company’s strategy of expanding abroad. It goes without saying that the consolidation of the two both participated by CDP), the largest gas company in Italy (Italgas and the second Rete Gas, could result in considerable synergies, providing further evidence for the ongoing restructuring of the group Snam though, underscore experts, this step is not foreseen in the business plan.

as for its business plan, it continues its stated strategic outline. They were reformulated investments to 4.3 billion Euros in Italy in the transport and storage (for Snam). And ‘it is foreseen the completion of the reverse flow project and South Corridor connecting Europe through the Italian network. Rab is expected an increase of 1% per year over the plan, higher than the market consensus. Analysts of several banks business positively emphasize the indication dividend Snam 2016 post-spin-off to EUR 0.21, which represents around 80% of the estimated dividend of 025 to 0.26 for previously planned action. Positive also an indication of an expected increase of 2.5% of annual dividends in 2017 and 2018.

(Il Sole 24 Ore Thomson Plus)

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Snam Board approves the separation of the gas distribution business – La Stampa

          

The Snam Board of Directors, which met yesterday under the chairmanship of Carlo Malacarne, approved the separation of Italgas to Snam be executed through a single transaction and the context which includes, among other things , the partial and proportional demerger and subsequent listing on the Electronic Stock market (MTA) of Milan for a new beneficiary company of the spin-off with the role of holding the stake in Italgas. “In a constantly changing market, the city gas distribution is now an activity with characteristics and needs other than those of transport, storage and LNG. The separation from Snam Italgas will significantly enhance the role of both companies in their business: Snam will consolidate its leadership by helping to further integrate the gas markets in Europe and Italgas will seize the best opportunities for development related to new calls for tenders, “said CEO Snam, Marco Alvera. Through the operation of industrial and corporate reorganization, the entire stake currently held by Snam Italgas, equal to 100% of Italgas share capital, will be transferred to the recipient company in order to separate the distribution of gas in Italy – It has its own specificity with respect to the other activities of the Group in terms of operational organization, competitive environment, regulation and investment needs – those of transport and dispatching, LNG and storage activities in Italy and abroad. The operation, unitary and substantially contextual, as a whole is split:? the contribution in kind by Snam to the company receiving a stake of 8.23% of the share capital of Italgas to Snam against the assignment of n. 108,957,843 newly issued shares of the recipient company in order to allow Snam to hold, after the split, a stake of 13.50% in the aforementioned company; ? the sale by Snam to the company receiving the n. 98,054,833 Italgas shares, representing 38.87% of Italgas share capital, for a price of € 1,503 million, the payment of which will be the subject of a vendor loan from the recipient companies, so as to generate an appropriate level of financial debt, taking into account the business profile, risk and generation of cash flow; ? the partial and proportional demerger of Snam assignment with the company receiving a stake of 52,90% held by Snam Italgas with consequent allocation to the shareholders of Snam of the remaining 86.50% of the capital of the recipient company. Following these operations, Snam will hold a stake of 13.50% of the capital of the recipient company. As a result of the demerger, the shareholders of Snam will be allocated shares of the beneficiary company in proportion to those already held in Snam to the effective date of the demerger. The allotment will be an action of the recipient company Snam every five shares held. This exchange ratio of the shares may determine for individuals shareholders the right to the award of a number of new shares is not full. In order to facilitate the operations of quadrature Snam instruct an intermediary to perform the trading activity of the fractions of the beneficiary company’s shares, by means of all depository intermediaries participating in Monte Titoli SpA, to the extent necessary to enable the shareholders to hold a whole number of shares. The beneficiary company will be listed separately on the MTA (MTA) in Milan and will operate separately as an independent company with its own management and Board of Directors. The effectiveness of the operation is therefore dependent, in addition to the conditions of the law including in particular the Assembly’s vote in favor of the shareholders of Snam: – the issue of the Italian stock exchange admission decision of the beneficiary company’s shares to trading on the MTA, – the release of the part of CONSOB of equivalence, and – approval of Snam bondholders. The operation schedule provides that, to the realization of these conditions, the split will take effect, presumably, by 31 December 2016. For the spin-off, the net assets of Snam will be proportionally reduced by the amount of 1,569,211,964.76 euros1, by allocation of the amount to 961,181,518.44 Euros as a reduction of the share capital and € 608,030,446.32 deducted from reserves. Given that the shares of Snam are no indication of nominal value, the aforementioned reduction of the share capital does not give rise to any cancellation of shares. Conversely, the net assets of the beneficiary company will increase by EUR 1,569,211,964.76, through allocation to share capital of EUR 961,181,518.44, which therefore will increase from 40.05 million euro to 1,001,231,518.44 Euros, with ‘ the issue of no. 700,127,659 new shares, with regular dividend, and reserves totaling EUR 608,030,446.32. From the split will not be born of withdrawal rights of shareholders, in consideration of the listing of the beneficiary company’s actions within the effective date of the demerger. As envisaged in the memorandum of understanding concluded between Snam, CDP and CDP Gas Networks, the operation as a whole also requires that Snam, CDP CDP Gas Networks and sign a shareholders’ agreement covering the investments held in the beneficiary company, accounting the 13,50% to 25,08% and 0.97%, in order to ensure a stable and transparent ownership structure of the recipient company of the operation. In particular, the memorandum is aimed at regulating the main terms for the realization of the operation and general governance rules, then apply to the receiving company and Italgas. The operation and the Memorandum of Understanding were referred to the Control and Risk Committee and Related Party Transactions of Snam in the procedure for governing transactions with related parties adopted by Snam November 30, 2010 in accordance with CONSOB Regulation . On 28 June 2016, the Control and Risk Committee and Related Party Transactions of Snam issued its reasoned opinion unanimously favorable about the interest of Snam to proceed with the transaction and the convenience and substantial correctness of the relative conditions. The demerger plan, the explanatory report and the relevant information will be published, pursuant to the terms of applicable laws and regulations, on the company’s website (www.snam.it) and deposited and made available in the legislative timeframe applicable at the storage mechanism authorized named “NIS-storage” run by Bit Market Services SpA (Www.emarketstorage.com), as well as at the registered office of Snam in Piazza Santa Barbara 7, San Donato Milanese (MI). The content of the document to be published before the shareholders’ meeting that will approve the spin-off complies with the content within the scheme n. 2 Annex 3B of the Issuers’ Regulation and Annex 4 of the CONSOB Regulation adopted with resolution no. 17221 of 12 March 2010. The Board of Directors has called for on 1 August 2016 the extraordinary and ordinary shareholders’ meeting to approve the transaction, respectively, and the change in share capital resulting from the splitting and to ask the authorization to buy of treasury shares up to a maximum of shares not exceeding 3.5% of the share capital of Snam. Please note that the treasury shares already held at the date of this release totaled 1,127,250, representing 0.03% of the share capital of Snam. The authorization for the purchase of treasury shares is requested for a period of 18 months from the effective date of the partial and proportional demerger of the company, subject to approval by the extraordinary shareholders’ meeting convened on August 1, 2016. The Explanatory report of the Board of Directors Shareholders’ Meeting, under art. 73 of the Issuers Regulation, will indicate the criteria for determining the purchase price of the treasury shares. The purchases will be made in accordance with the provisions in Article 132 of the TUF, art. 144-bis of the Issuers’ Regulations and other applicable legislation, including, where applicable, the market practices recognized by Consob. It is also specified that the purchases will be implemented by the Board of Directors or the entities commissioned by it in compliance with the provisions of Article 2357, first paragraph, of the Civil Code, namely in the distributable income regularly assessed and the available reserves recently approved financial statements. Notice of Ordinary and Extraordinary Shareholders meeting of the company and the Explanatory Report of the Board of Directors Shareholders’ Meeting, under art. 73 of the Issuers Regulation, will be made available to the public with the timelines provided by law. The Board of Directors also resolved to convene a meeting of Bondholders to request authorization the transaction giving mandate to the CEO to fix the day. The Board of Directors also confirmed Georgeson as the entity designated by the Company pursuant to art. 135-j of the CFA when shareholders and bondholders can confer, with no burden on them, the delegation for participation in the meeting. Goldman Sachs has acted as financial advisor in the transaction; Cleary Gottlieb Steen & amp; Hamilton and Orrick, Herrington & amp; Sutcliffe acted as legal advisor.

(RV)

Volkswagen, made peace with America: 15 billion to overcome the case emissions – The Messenger

WASHINGTON – Peace made between Volkswagen and American motorists after dieselgate scandal. It ‘been a definitive agreement between the automaker and US authorities. According to the agreement, the group of Wolfsburg will pay a total of 14.7 billion dollars, it is the largest figure ever recorded in the United States for a class action. In detail, Volkswagen will pay up to 10.03 billion to cover legal costs and compensation related to the owners of the vehicles involved in the appeals case, up to 2.7 billion for an environmental fund and another 2 billion to promote the technology for vehicles to zero emissions.

specifically, just over 10 billion of dollars are intended for the repurchase of cars to their value calculated before the scandal, while an additional digit will be used for compensation to the owners. The compensation offered to the owners of the cars will range from $ 5,100 to 10 thousand, based on the value of the vehicle before last September, which is the time when Volkswagen admitted publicly that his cars designated as “clean” were designed in such a way to get around tests on the quality of the environmental impact in particular with respect to air quality.

the owners of the cars in the United States may also choose to have the modified vehicle repaired in fact in a manner to satisfy the appropriate standards, instead of selling it to Volkswagen, even if this would be a likelihood a reduction in the car’s performance. Compensation is also provided for the Volkswagen car owners who have sold after the explosion of the scandal. Volkswagen also will pay $ 2.7 billion in favor of a provision of the Environmental Protection Agency (EPA), the federal agency in charge of environmental protection, as compensation for the environmental impact of car “manipulated,” while undertakes to spend two billion dollars in new projects to drive anymore. “clean”
 
 

Brexit, hard Juncker: “We dictate our agenda” – BBC

Output rapidly by the EU for Britain. The European Parliament adopted the resolution calling for “a rapid and consistent implementation of the withdrawal procedure” of membership of Great Britain to the EU as a result of the decision of the British people in a referendum. And the President of the ECB Mario Draghi warned of the consequences that the Brexit can have on the GDP of the euro zone and coins from around the world.

Dragons’ Impact on the EU’s GDP up 0.5% »

the Brexit can have a negative impact up to 0.5% of the GDP of the euro area. So says Mario Draghi in a document obtained by Bloomberg at the EU summit: the president of the European Central Bank warns that the EU’s GDP could be affected by a reduction in the growth of GDP in the next three years. It warns that the Brexit could trigger a race to the competitive devaluations of the currencies around the world and increase risk premiums and turbulence. “We can not afford not to solve” the problems of banks added the number one of the ECB. “It’s time to do it.”

M5s vote with Farage

the extraordinary plenary approved the bipartisan resolution by an overwhelming majority with 395 votes in favor, 200 against and 71 abstentions. Among those who voted against the resolution of the Parliament, supported by popular, socialists, liberals and greens, there are also the 17 MEPs of the Movement 5 Stars who have shared so the line of UKIP leader Nigel Farage, their ally in the Eurosceptic group Efdd. Among the 200 votes against, in addition to those dell’Efdd, there are also those in the conservative ECR group (which includes, among others, the Tories), NFE of Marine Le Pen and Matteo Salvini and those of ‘neo-fascist extreme right.

shadow carousel

 
 

Brussels, EU leaders at the first post council Brexit

 

Cameron: “We want to maintain close relations with EU”

Meanwhile, in the early afternoon he arrived in Brussels British prime Minister David Cameron for the two days of the European Council, the first since the referendum that sanctioned the Brexit: “the UK will leave the EU, but I want the process to be more constructive as possible, “said the prime minister. The UK, Cameron stressed again, “do not turn our backs on the EU” because “these countries are neighbors, friends, allies, partners’ and you need to” maintain closer relations possible “in terms of” trade, cooperation and security, “because” it is a good thing for us and for them. ” The Prime Minister (after the outcome of the referendum announced his resignation for October) will be at the EU Council in front of 27 other European leaders.

European leaders

the European leaders do not want to waste time and urging London to take the fast procedures for not paralyze a ‘Union, whose future is at stake. Commission President, Jean Claude Juncker, has urged London to clear up “as soon as possible” his intentions and added that no one in Brussels will negotiate anything with the United Kingdom as long as London have not formally notified the decision to quit. From Berlin, he echoed the chancellor Angela Merkel, ensuring above all that the EU is strong enough to survive the exit of Britain. Merkel warned the UK that will choose to maintain the privileges, dispensing with all obligations: “We will ensure that the negotiations do not develop on the principle of” choosing the menu. ” Who comes from a family can not hope that all the obligations disappear and you only keep the privileges. ” He explained that the UK will retain access to the EU single market, if it denies the free movement of EU citizens within its territory. “No privilege without duties,” said the chancellor, adding that “there must be an appreciable difference” between being or not member of the EU.

Juncker: “we dictate our agenda”

In the morning, the plenary of the EU Parliament. In the House spoke the president of the European Commission, Jean-Claude Juncker who said that the European Union will set the agenda on the separation process, not the UK. “With the UK we will have to establish new relationships,” said Juncker, belying the “secret negotiations voices” launched between representatives of the EU and the UK. “I banned the commissioners to discuss with representatives of the British government,” he added Juncker reiterated that without a notification to Article 50 of the Treaty will not start negotiations ( “no notification, no negotiation ‘). “We are the ones who dictate the agenda, not those who want to quit EU,” Juncker reiterated that “it is not the time to bow his head, but to lift his head and look toward the continental future.”

“Respect the popular vote”

Juncker insisted on the need to respect the British democracy and the popular vote. “I wanted the UK to stay with us, but decided otherwise and must accept the consequences,” said Juncker, who will meet British Prime Minister David Cameron. “I will ask (Cameron) as soon as possible to clarify the situation: we can not have uncertainty without end,” said Juncker. “I am surprised to see that I, even I, who in Britain come painted as technocrat, eurocrat and robots, I want to draw the consequences of the vote. And they not? “, Concluded Juncker.

shadow carousel

 
 

Brexit, l? Hug in parliament between Juncker and Farage

 

exchange of banter with Farage

The harsh tone of President of the EU Commission has been clear throughout the speech in parliament. And it was preceded by an exchange of words vitriolic with UKIP leader, anti-European par excellence, Nigel Farage. “Our British friends have expressed their point of view. Democracy is democracy and we have to respect the vote, “said Juncker. Seeing Farage, a supporter of Brexit, applaud these words, Juncker has stopped and turned to Farage: “It’s the last time she claps here. She is a supporter of Brexit, why are you here? Now you have made a decision, and now we the consequences, “said Juncker, you have to accept. The small clash but then followed the “reconciliation”: and the two hugged each other warmly in the classroom.

London, Corbyn discouraged

E while in London they take force the names of Boris Johnson and Theresa May as likely candidates to succeed David Cameron at the Tory leadership, the Labour leader, Jeremy Corbyn, underwent in the afternoon to a vote of its Members trust, after the resignation about thirty of his team members. A large majority voted for no confidence in the leaders: the votes against Corbyn were 172, those in support 40, four abstentions. The vote, however, is not binding on the opposition leader.

June 28, 2016 (edited June 28, 2016 | 21:03)

© ALL RIGHTS RESERVED

Brexit, hard Juncker: “We dictate our agenda” – BBC

Output rapidly by the EU for Britain. The European Parliament adopted the resolution calling for “a rapid and consistent implementation of the withdrawal procedure” of membership of Great Britain to the EU as a result of the decision of the British people in a referendum. And the President of the ECB Mario Draghi warned of the consequences that the Brexit can have on the GDP of the euro zone and coins from around the world.

Dragons’ Impact on the EU’s GDP up 0.5% »

the Brexit can have a negative impact up to 0.5% of the GDP of the euro area. So says Mario Draghi in a document obtained by Bloomberg at the EU summit: the president of the European Central Bank warns that the EU’s GDP could be affected by a reduction in the growth of GDP in the next three years. It warns that the Brexit could trigger a race to the competitive devaluations of the currencies around the world and increase risk premiums and turbulence. “We can not afford not to solve” the problems of banks added the number one of the ECB. “It’s time to do it.”

M5s vote with Farage

the extraordinary plenary approved the bipartisan resolution by an overwhelming majority with 395 votes in favor, 200 against and 71 abstentions. Among those who voted against the resolution of the Parliament, supported by popular, socialists, liberals and greens, there are also the 17 MEPs of the Movement 5 Stars who have shared so the line of UKIP leader Nigel Farage, their ally in the Eurosceptic group Efdd. Among the 200 votes against, in addition to those dell’Efdd, there are also those in the conservative ECR group (which includes, among others, the Tories), NFE of Marine Le Pen and Matteo Salvini and those of ‘neo-fascist extreme right.

shadow carousel

 
 

Brussels, EU leaders at the first post council Brexit

 

Cameron: “We want to maintain close relations with EU”

Meanwhile, in the early afternoon he arrived in Brussels British prime Minister David Cameron for the two days of the European Council, the first since the referendum that sanctioned the Brexit: “the UK will leave the EU, but I want the process to be more constructive as possible, “said the prime minister. The UK, Cameron stressed again, “do not turn our backs on the EU” because “these countries are neighbors, friends, allies, partners’ and you need to” maintain closer relations possible “in terms of” trade, cooperation and security, “because” it is a good thing for us and for them. ” The Prime Minister (after the outcome of the referendum announced his resignation for October) will be at the EU Council in front of 27 other European leaders.

European leaders

the European leaders do not want to waste time and urging London to take the fast procedures for not paralyze a ‘Union, whose future is at stake. Commission President, Jean Claude Juncker, has urged London to clear up “as soon as possible” his intentions and added that no one in Brussels will negotiate anything with the United Kingdom as long as London have not formally notified the decision to quit. From Berlin, he echoed the chancellor Angela Merkel, ensuring above all that the EU is strong enough to survive the exit of Britain. Merkel warned the UK that will choose to maintain the privileges, dispensing with all obligations: “We will ensure that the negotiations do not develop on the principle of” choosing the menu. ” Who comes from a family can not hope that all the obligations disappear and you only keep the privileges. ” He explained that the UK will retain access to the EU single market, if it denies the free movement of EU citizens within its territory. “No privilege without duties,” said the chancellor, adding that “there must be an appreciable difference” between being or not member of the EU.

Juncker: “we dictate our agenda”

In the morning, the plenary of the EU Parliament. In the House spoke the president of the European Commission, Jean-Claude Juncker who said that the European Union will set the agenda on the separation process, not the UK. “With the UK we will have to establish new relationships,” said Juncker, belying the “secret negotiations voices” launched between representatives of the EU and the UK. “I banned the commissioners to discuss with representatives of the British government,” he added Juncker reiterated that without a notification to Article 50 of the Treaty will not start negotiations ( “no notification, no negotiation ‘). “We are the ones who dictate the agenda, not those who want to quit EU,” Juncker reiterated that “it is not the time to bow his head, but to lift his head and look toward the continental future.”

“Respect the popular vote”

Juncker insisted on the need to respect the British democracy and the popular vote. “I wanted the UK to stay with us, but decided otherwise and must accept the consequences,” said Juncker, who will meet British Prime Minister David Cameron. “I will ask (Cameron) as soon as possible to clarify the situation: we can not have uncertainty without end,” said Juncker. “I am surprised to see that I, even I, who in Britain come painted as technocrat, eurocrat and robots, I want to draw the consequences of the vote. And they not? “, Concluded Juncker.

shadow carousel

 
 

Brexit, l? Hug in parliament between Juncker and Farage

 

exchange of banter with Farage

The harsh tone of President of the EU Commission has been clear throughout the speech in parliament. And it was preceded by an exchange of words vitriolic with UKIP leader, anti-European par excellence, Nigel Farage. “Our British friends have expressed their point of view. Democracy is democracy and we have to respect the vote, “said Juncker. Seeing Farage, a supporter of Brexit, applaud these words, Juncker has stopped and turned to Farage: “It’s the last time she claps here. She is a supporter of Brexit, why are you here? Now you have made a decision, and now we the consequences, “said Juncker, you have to accept. The small clash but then followed the “reconciliation”: and the two hugged each other warmly in the classroom.

London, Corbyn discouraged

E while in London they take force the names of Boris Johnson and Theresa May as likely candidates to succeed David Cameron at the Tory leadership, the Labour leader, Jeremy Corbyn, underwent in the afternoon to a vote of its Members trust, after the resignation about thirty of his team members. A large majority voted for no confidence in the leaders: the votes against Corbyn were 172, those in support 40, four abstentions. The vote, however, is not binding on the opposition leader.

June 28, 2016 (edited June 28, 2016 | 21:03)

© ALL RIGHTS RESERVED

US, Volkswagen negotiates compensation for 15.3 billion dollars – Il Sole 24 Ore

The cost for the scandal Volkswagen dieselgate salt to at least 15.3 billion dollars (nearly 14 billion euro). The settlement agreement filed with the US District Court in San Francisco, California, provides for a cost of up to 10.03 billion dollars to repurchase and / or repair 480 thousand vehicles sold in the US with diesel engines from 2 liters rigged to mask the emissions pollutants, and compensate for their buyers. This sum will be added $ 2.7 billion to be paid into a fund managed by Ente for Environmental Protection (EPA) “to compensate for the effects of pollution”; VW will then invest 2 billion over 10 years in the zero-emission vehicle technologies. To this is finally adds the cost of a $ 600 million agreement with 44 US states.

The details are filed in two separate documents from the company and the US Department of Justice; Judge Charles Breyer will announce on 26 July, the approval or not of the agreement that – remember him – is the result of long negotiations between Volkswagen on the one hand and the Ministry of Justice and the US EPA on the other.

The total of over 15 billion dollars, nearly 14 billion euro, is close to the 16.2 billion euro that VW has set aside in 2015 budget to meet the costs of the scandal. “The cost of the settlement – said the Volkswagen CFO -” is below than previously set aside and we are able to handle the consequences. “

In detail, each purchaser of 475mila vehicles with engines rigged diesel sold in the US between 2009 and 2015 will decide whether to repair the vehicle or return it to the manufacturer at a fixed price plus compensation; the latter will go from 5 to 10 thousand dollars depending on the age of the car. For now VW has not yet managed to find a technical solution to fix the vehicles in a way that complies with the emission regulations but without penalizing fuel consumption or performance. VW also indemnify – even with lower amounts – consumers who have already sold their cars after the outbreak of the scandal (in September 2015).

Once approved by the judge out of court settlement, consumers will three months for whether to accept the company’s offer or try to get more for individual causes. The procedure should therefore be closed as soon as October, and 10 billion dollars have a maximum value in the event that VW has to repurchase all of the cars.

The agreement that will be announced today does not solve all problems for Volkswagen: in fact remain to be ascertained fines that US authorities could provide for the company; there remains the problem of the 3-liter diesel engines fitted in the US about 80 thousand high-end cars; stay all civil suits in Europe, both by consumers and by investors damaged by the collapse of the Vw title in September 2015; stay open all the criminal aspects of the case, the potential market manipulation scam. Finally there remain the European demands, also reiterated in recent days by the EU Commissioner for Industry Bienkowska, similar compensation for European buyers (much more numerous than the US).

© All rights reserved

Another sitting by chills, Milan (-3.94%) worst in Europe. Gb loses triple-A – Il Sole 24 Ore

Another sat shivering for European markets, which worsened in the afternoon due to the heavy opening of Wall Street and of course the prospect of Brexit In the evening came the downgrade by S & amp; P to the rating of the Britain, which has lost the prestigious triple A. Milan is the black mesh of the Old Continent, down 3.94% dragged down by the banking sector. Business Plaza, year to date, sold 30% and today closed on its lowest level in three years. The rumors about a possible plan of the Italian Government to support the credit system have not stopped the sales. Or rather, between gusts of suspensions, Italian banks have closed in strong downward certain time lows as MPS (-13.3%) and Unicredit (-8%). Also sales of Mediobanca (-12.7%) and Intesa Sanpaolo (-11%) while Yoox Net-A-Porter Group (-9.6%) pays the exposure of the business on the UK. Resist defensive stocks as Recordati (+ 0.9%) and Terna (+ 0.1%) in the wake with the respective European sectors. Outside the main index, RCS (+ 5%) is immediately adjusted to the takeover bid for remodeling consortium of InvestIndustrial. The BTP-Bund spread remained stable at around 163 basis points while crude oil in New York retreats of 2.5% to $ 46.5 per barrel. On the currency front, the euro traded at $ 1.097 (1.1112 Friday). The pound / dollar exchange rate amounted to 1.317 from 1.3732 on Friday evening, again the lowest for 31 years. Gold finally rises again and stood at $ 1,322 an ounce.
Wall Street closed sharply down, with the Dow Jones lost 1.50% to 17,140.24 points (its lowest level since meta ‘March) and the Nasdaq 2.41% to 4594.44 points.
also hurt the index S & amp; P500 which yields 1.81% to 2000.56 points
.

The government prepares a plan on the banks dossier

In Europe, in addition to the financial securities sector, a major setback for airlines in particular British penalized by the sharp depreciation of the pound against the dollar as well as from ‘ on industry standards
uncertainty with the release of the UK from the European Union: falls by more than 20% Easyjet has lowered expectations for the second half because of these uncertainties.

the ax S & amp; P on UK

Standard & amp; Poor’s cut its rating of Britain to AA from AAA, with a negative outlook. The American agency’s decision comes after the decision of the country to leave Europe with the vote in favor of Brexit in Thursday ‘last referendum. “In our view, this result is ‘a crucial event, which will bring’ a regulatory framework less predictable, less stable and effective”, it said in a note published by S & amp; P which also reported the possible votes of Scotland and Northern Ireland to leave Britain as an additional factor of instability.

even Fitch lowers rating Gb

Downgrade to the UK even by Fitch, which lowers the London rating from AA + to AA. The Fitch decision comes a few hours after that of
Standard & amp; Poor’s to remove Britain triple A. Fitch To vote in Gb “will lead to a policy framework less predictable, stable and effective.”

the Madrid Stock Exchange defends itself: political stalemate after voting

it is defended better than the others the Madrid stock exchange, which after opening of ‘ Ibex 35 to + 3% then closed at -1.5% after the outcome of the Spanish general election that, if on one hand have not been able to indicate a formation able to have a majority in Parliament and have shown a recovery of consents for the Popular Party of Mariano Rajoy, defender of stability, the other saw the braking forces of the most critical towards the EU as Unidos Podemos.

Today, the directory Merkel, Hollande, Renzi. Tomorrow EU Council

In today’s day, eyes focused on the meeting of the “directorate” Europe that will see at the table Angela Merkel, Francois Hollande, Matteo Renzi, and Donald Tusk, and that will address first the theme Brexit preparing the 27 EU countries in Brussels summit scheduled for tomorrow in Brussels. Will enter the live also the work of the European Central Bank Forum Sintra in Portugal that will culminate Wednesday with speeches by Mario Draghi, ECB president, and number one of the Federal Reserve Janet Yellen. Some rumors emerged over the weekend indicated that the governor of the Bank of England, Mark Carney, could not take part in the Wednesday afternoon panel where it was expected.

Tokyo, evidence of recovery in the Nikkei (+ 2.4%) after the thud of Brexit

Broker negatives on Italian banks. Yoox down the Ftse Mib

Returning to Milan stock purchases reward defensive, particularly utilities such as Terna, Snam and Enel, Eni resists even declines. Recordati is positive in the wake of the European pharmaceutical sector. Back pressure on the bank starting with Unicredit and Intesa Sanpaolo. Male Ubi Bank who presented the new business plan to 2020. Many investment banks, such as Barclays and Citi have worsened its outlook on Italian banks, particularly on Unicredit. Fiat Chrysler also down sharply after Goldman Sachs removed the stock from its list of favorites: recently a spokesman of the group had ruled out direct impact in financial terms for the automaker arising from Brexit. However, it remains Yoox the heaviest title of the Milan Stock Exchange due to the exposure of revenues by about 16%, in the UK market.

From Milan -30% YTD, London “only” 4%

Milano black shirt, with a fall of nearly 30%, and London unexpectedly contains passive to -4%. And ‘that’s the outcome of the main European stock markets year to date after the new chair of heavy markdowns related to the referendum that sanctioned the Brexit. Business Plaza, which pays the high exposure of the banking sector, then, is the worst: from January the Ftse Mib left on the ground the 29,48%, significantly worse than other “peripheral” list as Madrid (-19.8% ). In Paris, year to date, the CAC 40 has however lost 14% while Frankfurt lost 13.7%. Then the London surprise star of Brexit, which, however, has limited liability to -4%. As for individual stocks, in Milan stand collapses in the banking sector: from January 1 Unicredit burned 62.6% of its capitalization, Intesa Sanpaolo has exactly halved in value (-50%) while MPS has given 68 % and Banco Popolare 82%. Ubi, who today presented its new business plan to 2019/2020 has lost 60%, while two other big the Milan stock exchange as Generali and Fca left on the parterre, respectively 40% and 37%.

(Il Sole 24 Ore Thomson Plus)

© All rights reserved

Brexit, European stocks reversed course and extend losses. Under pressure the pound – The Huffington Post

New slide of the market in after Brexit, with Europe losing a new 4.1% and sends smoke into other 282 billion of capitalization and Milan euro slipping 3, 94% to new lows for three years. They suffer especially British banks, still on fears of output effects by the EU. But the end is even forget for all Italians institutions, with double-digit losses and in a session of choppy suspension between the main groups of the Milan stock exchange.

The markets are waiting for indications from banks central on possible measures to limit volatility and supporting the eurozone economy. Mario Draghi was to meet Wednesday Fed Chairman, Janet Yellen, the forum ECB in Sintra in Portugal, but the number one of the US Central Bank has canceled its participation, as reported by the Fed. Draghi meanwhile will travel to Brussels to attend tomorrow and the day after at the EU summit after Britain’s exit from the Union. Just in the evening came the cold shower to London with Standard & amp; Poor’s that has torn the triple ‘A’, cutting the UK’s credit rating by two notches to AA for the risk “of a marked worsening of the conditions of

financing.”

Returning to equities of the Old continent, in London Royal Bank of Scotland at the end gives 17.3%, 10.3% Lloyd, Barclays losing 17.3, while in the travel sector EasyJet sank 22.3%. In Milan MPS goes down by 13.3%, 12.8%, Mediobanca, Intesa Sanpaolo 10.9%, while Unicredit lost 8%. The drops then hit Ubi (-6.3%), the day of the presentation of the new plan, BPM (-7.2%), Banco (-6.2%), but also Azimut (-11.8%) Unipol (-10.2%) and Generali (-8.5%).

Some signal of the difficulty of putting a rebound had already seen in the early morning, in spite of the bounces in Asia Bags (+ 2.39% Tokyo). In Beijing, the yuan has in fact led to the lowest level in five years and a half on the dollar (with a parity set at 6.6375 and down 0.2% from Friday). In Europe, then, after the historic crash of Friday, the pound started again beaten, before rebounding later in the day new lows for 30 years on the greenback, and a decline of 3.6% at the end of the day at $ 1.321 . The pound has subsequently fallen by 3.3% on the European currency to € 1,199.

The hands of the ECB appear to guarantee more stability instead to BTP, with the stable yet spread to 162 points.
All ‘start-up of the European equity markets attempt rebound however there was, especially in Madrid that made terms with the outcome of Sunday’s general election in Spain. In just over an hour the weather had already deteriorated.
For the first time in the history of the British ten-year gilt yield has fallen below 1%. And in mid-session, the weakness of British banks has become a thud. All the main lists were traveling already in steep decline and tight around even the pound is divided downward.

In the afternoon, they left in sharp descent also indexes on Wall Street and the Old Continent there was nothing more to do. After a day of trading volumes are twice results and half the daily average of the last month, while the British securities were equal to three times. It ended down 1.8% even Madrid, despite having gained as much as 3.4% at the start after the elections the popolar grew remaining the largest party, albeit without a majority to govern alone. Yields on Spanish Bonos (1.447%) for the first time since last July have gone under the Italians (1,503%)

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Sitting in red on the Milan: Ftse Mib -3.94%, bad banks, cyclical limit the damage – La Stampa

Sitting in Red Square Business: Ftse Mib -3.94%, bad banks, cyclical limit the damage

          

Rounding sharp decline in the major Italian stock index with the Ftse Mib that gives 3.94% and FTSE Italy All Share who loses 4, 07% while the FTSE Italy All Star marks a decline of 5.12 percent.

They continue to propagate the waves of sales triggered by Brexit with Dax German who gives 3.02% and CAC 40 Frenchman who loses 2.97. The FTSE 100 UK marks a -2.77% but still recorded strong sales on bank while the ‘ Ibex 35 Spanish yields 1.83%.
Strong losses even on New York lists with ‘ S & amp; P 500 down 1.72% and Nasdaq a decrease of 2.27 percentage points.
In Europe Stoxx 600 gives 4.1% and Stoxx Europe 600 Banks 7.68% confirming the weight of the financial sector on sales in course.

Still in substantial downward pressure on the EUR / USD that is reported to 1.1014 with a -0.81 percent. The Sterling continues to lose share of major currencies: the euro yields 2.99%, 3.57% against the yen and 3.01% against the dollar.

Earnings down for the euro zone sovereign debt. Only the yield of the BTP Italian ten-year limited the declines to two basis points (1.52%) among the great. Purchases reward the German Bund which compresses a full 5 points, the returns bringing it to -0.11 percent stake. The spread BTP / Bund then arises as to 162 basis points. Down 6 basis points also the return of the ‘ Oat Frenchman who goes to 0.30 percent. Flexes less than 13 basis points in the yield of the Bono Iberian reaching 1.47% in spite of the political instability of joints signals since the last election. Worth noting the strong purchasing out from the Eurozone and at this point virtually out of Europe, the Gilt British decade that compresses the yield of about 14 basis points, bringing it back for the first time under one percentage point (to 0.94% approximately). It is a fly-to-quality (or better than an escape from sull’azionario risk) which could also benefit the betting on a strong intervention of the Bank of England that it could purchase more domestic government bonds. Furthermore, among the purchases of EU government bonds it is felt dall’azionario escape and in part the expectation of central bank intervention in the purchase.

In Milan, the banking sector continues to suffer with the FTSE Italy Banks that gives 9.23 percent. The Italian Government considers that the Italian banking sector is ready to absorb the shock (which, moreover, has already suffered in Business last Friday’s Square) in the medium term, but did not rule out interventions of banks in capital support agreement with Brussels, where the situation would again plummet. The Secretary to the Prime Claudio De Vincenti Council said that in case of need could be taken measures to “support the banks’ liquidity and their solvency.” In anticipation of the national and European decisions on possible maneuvers against the impact of Brexit , Citigroup has highlighted that for months it is evident, that an international perception of the fragility of our system bank due to the high level of non-performing loans. The American bank analysts have downgraded its rating from buy to neutral on Intesa Sanpaolo and Bper titles who judge well administered but exposed to the volatility of the financial markets: the goal of Intesa price rose from 3.45 to 2.00 euro, to or b from 6.80 to 4.00 euro and both are expected prospects of lower growth in loans, lower margins and higher cost of risk due to the uncertainty of the markets after the Brexit and sensitivity of the Italian banking sector the EU risk . Intesa lose 10.94% and Bper can shave closing the decline to a -1.03 percent.

The same goes for Unicredit (Neutral with target price down from 4.00 to 2.40 euro) to which is added – according to Citigroup analysts – the risk / opportunities the new CEO appointment. Unicredit ended the session with a hefty -8.09 percent.

Citigroup has also reduced from 8.50 to 6.50 euro price target of Mediobanca proposing the same considerations of risk and profitability, but leaving the buying advice (buy) . Mediobanca would be less exposed to traditional business and then to the turmoil of recent days, even though the title gives 12.77% of its value to the market. Although recently the Citigroup analysts have considered the entire European banking and especially the British negatively exposed to the effects of Brexit, it’s appropriate to say that a door slammed in London scares even the distant Italian banks.

Ubi Bank has shown in these hours the business plan 2019/2020 which provides for the net profit of 2019 of approximately 730 million with an ROTE of 9.4%, while in 2020 net profit should reach over 870 million with an ROTE 10.6 percent. Expected to grow to 3.8 billion of operating income in 2020, a cut in operating costs to 1.98 billion since 2019. Also waiting a reduction in the cost of credit due to the decline in new flows of impaired loans and stocks. The action of Ubi still suffers poor market climate and yields 6.35 percent.

In the afternoon widens losses also the title of Telecom Italy (-3.26%): according to Business & amp; Finance was seeking a new president for TimBrasil that might be identified in Manoel Horacio Francisco de Silva. The management of the parent company now led by CEO Flavio Cattaneo does not seem willing to promote extraordinary operations possibly forever least cautious guidance on Brazil via the Vivendi shareholder.

They return down the prices of the oil : Brent is trading at $ 47.33 per barrel (-2.26%) and WTI loses 2.47% to $ 46.49. Eni snubs the turn and earn a good part of the session bucking except give in closing sales and close with a slight decrease of 0.08 percent. Saipem gives 5.8% and Tenaris 2.81%.

Sitting difficult even for Mediaset (-6.77%) after the approval of the budget and the election of the board of the holding company Fininvest and despite promotion to buy Deutsche Bank (but with target price down from 4.00 to 3.85 €).

To note the rise in contrast to Recordati (+ 0.94%) and Terna (+ 0.09%), showing the its counter-cyclical character. Utilities give way to sales in the afternoon with A2A losing 1.57% and Acea that marks a -4.56% decline in the reduced to 0.51% of FTSE Italy All-Share Utilities , however, shows that the sector in general has been able to oppose or at least limit the damage of the widespread sales. Same for the FTSE Italy Health Care (0.00%).

(GD)
         

Milan Stock swoop. Not subsiding fear of Brexit – The Messenger

 (AGI) – Dramatic Day Milan Stock dragged down by the collapse of bank shares, that he has persisted on the Milan Stock Exchange and the London skyline. Even Eurolistini have suffered today because of lBrexit and reflections that this will have on the economy, on government bond yields and on the spread, affecting also the decisions of the fiscal and monetary authorities in Europe. To no served the assurances of the Minister of the British Treasury George Osborne, as he made the most fuss-Merkel_Hollande Renzi summit. Meanwhile, the US markets confirm a bad performance, with the index S & amp; P-500 slipping 1.75%. Prevailing caution on the euro / US dollar, showing a decline of 1.02%, while the pound touched new lows for 30 years. Among the major European stock exchanges, thud of Frankfurt, showing a fall of 3.02%, the letter of London, which recorded a significant drop of 2.55%, and apnea in Paris, which loses 2.97%. Overlooking Piazza Affari in closed session, with the FTSE MIB that accuses a decline of 3.94%; on the same line, it was quite sold the FTSE Italy All-Share, which has closed the session at 16,619 points. Downhill at the Milan Stock all sectors. Among the worst of Piazza list Affairs, the largest decline Banks sectors (-9.23%), Retail Sales (-8.17%) and Insurance (-7.65%). Tops the list of the most important titles of Milan, we find Recordati (+ 0.94%). The strongest declines, however, occurred on MPS Bank, which has stored the session at -13.34%. Thud of Mediobanca, showing a fall of 12.77%. Letter of Azimut, which recorded a significant drop dell’11,84%. Apnea Intesa Sanpaolo, which loses 10.92%. Cali also important for UBI Banca in the day he unveiled the business plan
 

 27/06/2016 18:15:01

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