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Archives for : April2012

Codelco will remain the world leader in the copper industry

Chilean Mining Minister Hernan de Solminihac, said today that the good results and strong investment in future projects of the Chilean Copper Corporation (Codelco) allow the state to remain a world leader in the copper industry.

Solminihac, who participated on Friday in the shareholders’ meeting of the state firm, said that the 27,000 million dollars that Codelco has proposed investing in their projects for the next five years, demonstrates the will of the company and the Government to keep the copper industry at the top of the red metal.

He explained that 17,000 is budgeted millions of dollars are allocated to structural projects to increase the production base and current challenges facing the production of Codelco.

“These funds will allow exploiting new fields and expand existing ones, in order to offset the decline in ore grades of the jobs that are in operation,” the minister Solminihac, who was accompanied at the meeting of shareholders by the Minister Finance, Felipe Larrain.

He said that some examples of this investment are the Chuquicamata ore underground, the new level of the mine Teniente and Andina expansion Radomiro Tomic.

He added that the remaining $ 10,000 million will be used to maintain continuous operation of facilities, improve the productivity of the company in its areas of organization and information in order to address possible scenarios less favorable prices.

“It will also work on sustainability, worker safety in the tasks and the social responsibility towards the communities surrounding the operations,” he said.

Regarding the financing of investment, the mining minister said it will be decided in the middle of this year, considering the needs of the company, availability of financing on favorable terms “and bearing in mind the social requirements for public funds and balances in fiscal accounts. ”

The State Copper Corporation (Codelco), the largest producer of gold in the world, had in 2011 a record production of tons of fine copper which reached 1,735,000 tons.

They also noted the net profit of 2,055 million, up 9% on 2010. In terms of income before taxes, they reached the 2011 U.S. dollars 7,033 million, 21.2% from the previous year.

The Netherlands Government calls early elections for September 12

Netherlands has risen from the political jam caused by the fall of the government and has reached an agreement to balance the books agony, so that even waiting for the early elections, convened today for the September 12, can still be a model student in the European Union.

The withdrawal of support to the Government by the xenophobic party Party for Freedom (PVV) led to recover the spirit of consensus characteristic of the Dutch, and 48 hours on acting Executive has been able to agree with some of the settings left in seven weeks could not be achieved with the anti-Muslim leader, Geert Wilders.

The measures, which provide a saving of 12,000 million euros to cut the deficit to 3% accurate in 2013 – envisaged to raise the VAT to 21% speed increase in the retirement age at 66 and 67 in 2019 in 2021 and freeze the salaries of officials.

In labor, provide for more flexible pay and that is the employer who pays the first six months of unemployment.

Also, do not be deductible mortgages on homes that do not include amortization provisions and taxes are duplicated on the bench.

Thus, The Hague (one of the few countries in the euro area for now maintains the highest grade of rating agencies) wants to prove that you can apply at home the same rules so far has required other countries such as Greece , Portugal and Spain.

According to forecasts, the Netherlands to meet its commitments to the EU that the budget deficit exceeds 3% of gross domestic product (GDP) in 2013.

“This agreement is unique,” said the prime minister, Mark Rutte, during the parliamentary debate that ended in the early hours of Friday, recalling that Holland “does not follow the guidelines of Brussels” as xenophobic Geert Wilders says-but who is convinced of the need to clean up the public coffers and leads to its ultimate consequences.

Although the Netherlands enjoys one of the lowest unemployment figures in the EU (5.9%), the government was the need to make cuts because of worsening expectations triggered by the impact of the crisis international debt.

With an economy measured in recess since 2011, forecasts the budget deficit soared, rising from 4.2% today to 4.6% of GDP in 2013 if adjustments are not applied to 18,000 million approved the beginning of this term, in 2010.

Also worsened growth prospects, and that by 2012 it is estimated that GDP will fall by 0.75% until 2014 and not return to the figures before the crisis.

The Sepla call off the strike after the compulsory arbitration

The union representing the pilots of Iberia (Sepla-Iberia) has decided to call off the strike days that he planned to take place until 20 July (every Monday and Friday), before the announcement by the Government to arbitrate in the conflict.

The Sepla-Iberia said in a statement indicates that subsequent to the Council of Ministers, the company pilots call off strike action to encourage and facilitate the work of the arbitrator is appointed.

It also points out that before the new process that begins now, not just call off the strike, but reiterated the commitment by all pilots to provide a balanced and sustainable solution to the conflict.

Iberia pilots and the company opened the middle of last year a conflict over the creation of low-cost airline, Iberia Express, which began flying on 25 March, and the negotiation of the Collective Agreement VIII.

This conflict led the pilots to strike convene twelve days in December, January and February, which resulted in a loss of 36 million euros for the company.

Following these meetings and through the intervention of the Ministry of Development, it was beginning of a solution with the appointment of a mediator, former Minister Manuel Pimentel, who wrote a document that was delivered on March 25 and was not accepted by the parts.

From that moment the Sepla-Iberia convened another thirty days of strike (every Monday and Friday) between 9 April and 20 July, which have been conducted without any conflict register and respecting minimum services set by Public Works.

Given the escalation of conflict, the government adopted today an agreement that provides for compulsory arbitration as a means to solve the ongoing conflict pilots with the airline Iberia.

Vice President Soraya Saenz de Santamaria announced at the press conference after the Council of Ministers that the implementation of this process involves the strike desconvocatoria maintaining Iberia pilots.

This is the second arbitration takes place to end a dispute between Iberia and Sepla company since July 2001 had to resort to the figure of Federico Duran to reach an agreement on the Seventh Collective Agreement .

Saenz de Santamaria noted that this action is permitted by Spanish law and constitutional jurisprudence and added that this measure is intended to end a strike that is costing significant revenue and huge losses for all users.

Establishing a deadline for both parties (the union Sepla Iberia and Iberia) seek an arbitrator, and if you do not agree, the vice president will appoint the chairman said Works, and the decision is binding.

Increases in light and snuff cause the inflation rate rises to 2 percent

Increases light and snuff have caused a rise in inflation in April to an annual rate of 2%, so we have returned to a moderate upward trend after six consecutive months of declines.

According to the leading indicator of CPI released today by the INE and whose final data will be released on May 11, the tenth annual inflation in April rose compared with March, the month in which the rate fell to 1.9%, a level not seen since August 2010.

The experts consulted agree that this rise in inflation is due mainly to the increase of 7% of the electricity tariff of last resort and the amendment of the tax brackets levied on different tasks of snuff, which have driven a rise in the final price of the packs.

In this sense, the vice president of the Institute of Economic Studies (IEE), Juan Iranzo, emphasized that the rise of electricity, “help to reduce the tariff deficit” and that the rising price of snuff, “leading to an increase of collection. ”

Iranzo believes the spike in inflation is “logical” and “dangerous”, but pointed out that the fall in domestic demand has also influenced this upward adjustment.

Since the Foundation of Savings Banks (Func), the analyst Maria Jesus Fernandez pointed out that the CPI increase was expected and estimated that inflation will continue to grow over the next two months to rates close to 2.4%.

In his opinion, from June, the rate of inflation would begin to level off to close the year at 2.3%.

In the same vein, Iranzo also believes that if oil prices remain unchanged and there are no political tensions with supplier countries like Iran, inflation could remain the same.

Also, the service forecast BBVA Group study is that the average annual CPI of 1.2% this year, while this average rises Bankia to 1.9%.

According to INE, the inflation rate began to decline from October 2011 when it began to fall below 3% and managed to start the year at rates of 2%. Even down to 1.9% in March.

And is that from September 2010 prices began to increase and from a rate of 2.1% reached in April 2011 to 3.8%.

In May, the CPI began its descent and from 3.5% of that month to 3% in August, a trend that was broken the following month, standing at 3.1%.

Today has also been known leading indicator of CPI (HICP), which measures changes in prices by the same method in all countries of the euro-zone, according to which annual inflation rose in April for two tenths to March, up 2%.