Archive for October, 2009

France: a PMI to its highest since January 2008

October 27, 2009 - 1:48 pm Comments Off

The flash composite PMI index, which integrates the services and industry, has reached the highest since January 2008 to 58.4 against 54.8 in September, said Markit Economics (preliminary). This strong growth away permanently index the 50-point threshold above which economic activity is expanding.

The manufacturing index rose to 55.3 against 53 in September, its highest level since November 2006. The services index gained 4.6 points to 57.8, its highest level since February 2008. These publications are above analysts' expectations.

"France has a real resurgence of growth that seems fairly well distributed between industry and services, businesses and consumers," judge Chris Williamson, economist at Markit Economics. "We are at a level consistent with GDP growth of around 0.6% quarterly," says he.

Note that employment records its 17th consecutive month of declines.

The monthly survey of Markit and Company executives and buyers from France (FASC) is made from 750 companies in industries and services. The final indices will be published November 2 for industry and 4 services and the composite.

3G network: possible sanctions Arcep

October 27, 2009 - 1:48 pm Comments Off

The Regulatory Authority for electronic communications and postal services would intend to notice the two operators SFR and Orange (France Telecom subsidiary) to complete their networks of third generation mobile (3G) in France, under penalty of a fine record, according to the daily Les Echos.

In case of insufficient coverage of the French population in 3G network. In August 2009, the mobile network SFR 3G covered nearly 80% of the population then it should have covered 99.3%, according to the obligations of the license. As the Orange 3G network, it covered 83% of the French population in late September when he should have covered 98%.The two operators had obtained their licenses mobile third generation – UMTS license – in 2001.

As provided in the Act to modernize the economy since 2007, Arcep could, if the operators fail to comply, impose a penalty of up to 600 to 700 million euros per operator. Such a fine should push the two operators to act and to increase national coverage or at least encourage them to think seriously.

Constant pressure on Arcep

The digital development planning is a growing concern among French and their elected representatives, who exercise a constant pressure on Arcep to make it comply with the commitments made by operators in obtaining their licenses.The network coverage of Bouygues Telecom, which won the third UMTS license a year and a half after Orange and SFR will be verified later, again according to Les Echos.

Both operators will nevertheless defend keep the ill will in recent months. SFR said that the delay in the coverage area is due to technical difficulties of reusing frequencies from 2G to 3G while Orange himself, highlights the difficulty of installing antennas for the delay.

This case must surely be followed closely by the applicants for the fourth mobile license, while the debate is currently raging on the details of its acquisition.The Bouygues Telecom has announced on Wednesday it had filed two appeals with the State Council to challenge the award procedure for the fourth license for mobile phones it deems anticompetitive.

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Private consumption rebounded 2.3% in September

October 27, 2009 - 1:47 pm Comments Off

The French household consumption of manufactured goods, the traditional engine of French growth, has experienced a strong rebound in September in most areas, registering a total increase of 2.3% after declining in July (-1 , 1%) and August (-1.0%), INSEE said Friday. Throughout the third quarter, the decrease was contained to 0.2% after rising by 0.7% in the second quarter. "The rebound in September was largely reflects a surge in auto purchases," Analysis economist Fr?d?rique Cerisier (BNP Paribas).

Purchases of textile and leather depart upward after a difficult summer (-3% in July and -3.8% in August). Despite this catch-up in September, the consumption of textile-leather is in sharp decline over the quarter (-2.5%). Purchases of capital goods also rose housing by 0.2% and 1.6% throughout the quarter.

No stall

"In line with government expectations, consumption continues to resist in France," says one in the entourage of the Minister of Economy Christine Lagarde, who considers "this encouraging development." The minister herself "finds that the effects of scrapping bonus on car purchases remain sensitive, while stressing that" the dynamism of consumption is not only related to the automotive sector. Economists expect a rise of around 0.2% on the year and excludes any stall as long as the devices supporting the automotive sector will be maintained.

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Scrapping bonus: the device is extended

October 27, 2009 - 1:47 pm Comments Off

Good news for car manufacturers but also for buyers. The payment of the scrapping bonus of 1,000 euros for motor vehicles delivered in 2009 will be extended to those purchased until December 31, even if delivery takes place in 2010, announced Minister of Industry, Christian Estrosi in Le Parisien this Friday.

Christian Estrosi was reported in mid-October that the government was studying the measure for the automotive industry, badly affected by the economic crisis.

"The customers who order a vehicle before December 31, 2009 will receive the premium of 1,000 euros even if the supply does in the first quarter of 2010," said Minister of Industry Parisien. One detail that is important. So far, it should be delivered and invoiced before the end of the year to receive 1 000 bonus for breaking.Otherwise, the buyer could not receive the premium reduced to 700 euro, applicable from 1 January, which has cooled many consumers.

He added: "Now is therefore the order date and not the billing date which is valid to qualify for the bonus. We wanted this change, first for it benefits the consumer, then to absorb more manufacturers to reduce the amount of the premium.

He also recalled that the premium would go to 700 euros in the first half of 2010 and 500 euros in the second.From 2011, "we will return to the previous situation with a bonus amounting to 300 euros," he added.

He said 400,000 vehicles have already benefited from the premium to scrap today and "we should reach 500,000 by the end of the year."

Christian Estrosi also believes that the super eco bonus will also be a strong incentive, "over the scrapping bonus, since buyers of clean vehicles that emit less than 60 grams of CO2 per kilometer will enjoy a bonus of 5,000 euros" .

Believing that the bonus had saved the French manufacturers, said he expected in return "a very strong solidarity with sub-contractors because they are the ones most affected by the crisis."

The Federation of Industries of equipment for vehicles (Fiev) said in mid-October that it expected a general decline in activity from 20 to 25% in 2009, after starting the year with production falling by almost 50%.

This reduction would result, she says, by a decline in enrollment this year included "in a range between 7 and 10%" of the 107,000 employees of the sector.

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TF1: Axel Duroux sacked

October 27, 2009 - 1:46 pm Comments Off

While wrapping up the M6 leg dams the World Cup between France and Eire, war leaders among leaders TF1 resulted in the victory of Nonce Paolini. Axel Duroux, former Chief Executive of RTL radio, designated as a number one in June, left the group. "TF1 and Axel Duroux decided to separate by mutual agreement for differing views on the strategic conduct of the business," said a statement from the group.

Martin Bouygues, the main shareholder, has settled the dispute between the two men. He would not disavow Nonce Paolini, one of his followers, former HRD TF1 before heading Bouygues Telecom.

Axel Duroux had a contract specifying that he should be appointed deputy CEO in November, as that would give her signature on all subjects.But since the arrival of Axel Duroux in at TF1, September 15, was war. For nearly three weeks, he tried to take control of all subjects, as the title of number one a would permit. But each time, Nonce Paolini reminded him that he was the ultimate decisionmaker.

The conflict has crystallized around the information. When Axel Duroux wanted to take the reins, Nonce Paolini has countered that the information was a reserved area. Axel Duroux has demanded that the dispute be resolved before Martin Bouygues, the main shareholder. The latter received the two men and was momentarily appeased the conflict in distributing roles to Axel Duroux, content management, and Nonce Paolini, one of the group.

Disagreement on strategy group

For fifteen days, sharing worked, Nonce Paolini not participating in various committees on the antenna.Until the famous seminary of Chantilly, a week ago. Faced with hundreds of executives, both men have erupted their divisions, as reported in The Correspondence of the press. In Nonce Paolini, who believed that the hearing of the chain had reached low water mark to 27% audience share, Axel Duroux countered that it should not be content and he had to go to the reconquest of 30%. The unease deepened when the executives in attendance expressed by voting their disapproval of the group's strategy. Jean-Pierre Owens, presenter of "13 hours", a union representative and member of the Board of TF1, has bitterly complained that there is more talk of strategy and content. In the state of permanent waving guerrilla group, a new incident took place early in the week. Nonce Paolini has come Laurence Ferrari, presenter of 20 hours, without warning Axel Duroux.The latter replied that he had, according to arbitration by Martin Bouygues, control over information.

The bottom line is that Axel Duroux has been called to the rescue in June 2009, when the chain was at its worst. But the anger of Nicolas de Tavernost and German leaders to RTL Group was forced to his notice. It's happened three months later at TF1. Meanwhile, the group had spent a great summer, and his return audiovisual confirmed that recovery of hearing. Furthermore, the advertising market, very depressed in the first half, rebounded in September. Axel Duroux had lost its role of savior. The epilogue was played Friday morning.

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