Rexel set sail for America. The French group announced Wednesday the acquisition of Platt Electric Supply, family owned distributor of electrical products based in Beaverton, Oregon.

When most companies focus on international emerging markets, Rexel, which is one of the first groups of distribution of electrical products in the world with a turnover of 12.7 billion euros in 2011, a presence in 37 countries and 28,000 employees, is growing into a mature country. Mature, but growing: last year, the activity of the distributor posted 8.3% growth for the North American region, which is above the group average of 5.3%. As emphasized by analysts at CM-CIC Securities, "in the portfolio of Rexel, North America is the geographical area the more focused, both in terms of sales growth as improved profitability."

Now the distributor has lost market share in recent years. Last April, Oddo Securities and stressed that "the group, by the closure of many branches in non-profitable, went for about two years of a market share of 8% to 6% today." Analysts felt that even Rexel now occupied the second rank in the U.S., behind Sonepar. They called again to an acquisition.

This is now done. Platt Electric Supply is present in seven states of the American West. The company reported last year $ 409 million in revenue (about 310 million euros) savings account payday advance. "With this transaction, Rexel will exceed 10% market share in the western U.S., where growth is greatest," said a spokesman for Rexel.

To gain this market share, the French group paid a heavy price, "about 300 million euros," said a statement from the company. "The multiple of turnover in 2011 seems a priori quite high, at nearly 1 times, but the price is probably justified by the financial performance of the company and its growth prospects," note analysts at CM-CIC Securities.

690 million of additional sales

External growth is part of Rexel's strategy. The movement seems to have accelerated in recent months. "The group has now made nine acquisitions since the beginning of the year for a total amount that we estimate close to 500 million euros and an additional turnover of 690 million euros," says Oddo Securities. Last year, Rexel had bought 10 companies for an additional revenue of "only" 209 million euros.

Three quarters of this comes from emerging countries, proof that the distributor is not as mature areas. With a successful trial for the time being insufficient for the observers. "Rexel is not an optimal profile as its exposure to emerging markets remain close to 7% of turnover," says Oddo Securities.

Whatever the final scope of the Franco-German compromise on a European recovery plan, a point is a virtual consensus: the European Investment Bank (EIB) will be further tapped. During his campaign, Francois Hollande has repeatedly cited the institution, explaining to want to see more funding for innovative projects. Chaired by a German, Werner Hoyer, the EIB has the added advantage of being compatible with the philosophy of Berlin in public finance.

Created after the Treaty of Rome, in 1958, this arm of the European Union acts as a conventional financial institution with its shareholders – the 27 EU member states – and its own funds – 232 billion – which it serves as collateral to raise funds on the market and in return grant funds to the public sector. In other words, an appeal to the EIB does not dig, as such, deficits in the area.

Finance ministers of Twenty-Seven will meet Tuesday morning in Brussels, the Governing Council to start work on the practical modalities of strengthening the institution. An exercise stress: no question that the EIB, currently rated "AAA" by the three major agencies, lose this precious document. Where applicable, the cost of refinancing is found in heavy and interventions become less effective.

Two schemes in the study

Request more loans the EIB is therefore to provide in return the appropriate funds. Two schemes are under consideration. The first is to rely on the EU budget. The idea of ​​bringing the Commission to the capital being strongly opposed by the Member States, the solution that emerges would be to use part of European funds as collateral for loans which would then be granted by the EIB. It is this pattern that has been adopted in Greece, for example where the Bank has committed to lend up to 1 billion euros for innovative SMEs from a guarantee of 500 million EU.

The second scheme – which holds the rope – is a mere increase of the EIB's capital, financed by the 27 shareholders. The magnitude of this increase would be about 10 billion euros, which would allow the EIB to grant 60 billion of loans that can generate around 180 billion investment, thanks to the leverage caused by the co-investment from the private sector. An overall figure on which refuses to engage the side of the EIB, "everything depends on the type of investment, leverage is stronger in the context of public-private partnerships in SME lending" says an official. However, the figure of 10 billion additional capital seems to be confirmed.

The impact is not negligible for the European states. The two main shareholders of the bank, France and Germany, which each own 16.5% stake, will write a check for $ 1.65 billion. And even if it is not, strictly speaking, additional debt, the stress on budgets is important. The talks between finance ministers will continue in the coming weeks, to stop a scheme before the European Council in late June.  

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Unavoidable. Both right and left, it is fashionable for a Prime Minister to consult the National Federation of Farmers' Unions (FNSEA) before appointing or the Minister of Agriculture. The first president of the French farmers' union, did not hide it. "It seems normal to me, democracy is a living thing," argues Xavier Beulin.

FNSEA three priorities. The first: the jurisdiction of the future minister. It should be expanded to include the food industry, hitherto in the lap of Bercy. "We can not isolate the production issues of value and foreign trade," explains Xavier Beulin. The request was consonant with that of the manufacturers themselves: "The first industry of the country will she finally be taken into account in the new government, beyond the simple farming?", Mused at the end of Last week on Twitter Jean-Rene Buisson, president of Ania, their trade association.

Second priority for the leader of the FNSEA: international. "We need the new minister has a good knowledge of international circuits and especially Europe. 2013 will be a turning point for the common agricultural policy. Many countries expect the French position on this matter. "

Third major point: the capacity for dialogue. "We had in the past ministers entered the office without special knowledge of agriculture, as the outgoing Minister Bruno Le Maire, says Xavier Beulin no faxing pay day loans. He soon learned his style and printed. What seems important is the quality of relationships that we can eat, especially on the environmental record. "

Le Foll holds the rope

Among the names floating around, both have the favor of the FNSEA. "For years we are talking to a number of interlocutors of the PS as Stéphane Le Foll who knows agricultural topics. MEP, he knows how the Commission, Parliament and how to develop the European decision, "Xavier Beulin advance. "We also have the French Parliament out of the speakers as the member of Dordogne, Germinal Peiro, spokesman for SP agricultural issues and rurality. We meet regularly, "says the boss of the FNSEA, with less effusive.

Still, the FNSEA does not seem intrusive vis-à-vis Matignon. "The subject is not the person but what we can build together, concludes Xavier Beulin. We will be loyal and responsible partners. The interest of France through a strong agriculture, agri-food sectors and strong agricultural equipment, a training system and powerful search. "

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Jamie Dimon is a unique pattern in the world of finance. Sometimes called the "King of Wall Street," he seeks to understand all the various trades practiced in the banking group. 56 years old, this little-son of Greek immigrant who grew up in the borough of Queens continues to personally analyze weekly piles of numbers. His direct involvement in risk management has served throughout his career. For sooner than the others sensed the danger coming, and insisted on lending policies and investment more conservative than his rivals, he is credited with the fact that JPMorgan Chase has not experienced a single quarter in the red for the subprime crisis.

If he knows all areas of finance, is that this son of a broker was to mentor Sandy Weill, a legend on Wall Street. After graduating from Harvard Business School in 1982, Jamie Dimon declines an offer from Goldman Sachs and prefer to become assistant Sandy Weill, then at American Express. It will be at the forefront when Weill will lead an obscure finance company, Commercial Credit Company in 1986. Weill will use it to build an empire by a series of acquisitions. Primerica, Smith Barney, Salomon Brothers, where many firms Dimon has made his mark under the control of Sandy Weill.

But it will tire of the ego of his protégé in 1998. He dismisses rather than make his heir as head of Citigroup, the new and the first universal bank in the United States. Jamie Dimon immersed himself in reading, takes boxing classes in the spring of 2000 and accept the direction of Bank One in Chicago. He reorganized the large regional bank and merged with JPMorgan Chase in 2003, at a time when the giant New York is weakened, among other things related to Enron pay day loan lenders. Jamie Dimon savors revenge on Sandy Weill: it accesses the management of a large universal bank at a time when his former mentor was ousted from the leadership of "Citi".

In the first line

His smile and his habit of interrupting his interlocutors annoy many people. But Jamie Dimon is respected because it handles the best financial institution in the United States, present in all areas of finance, banded with solid capital, and often more profitable than its peers. Both internally to the press, analysts, regulators or politicians, he preaches transparency and do not hide behind circumlocutions. A relative who followed him from one bank to another for years said: "It's stronger than him, he can not help telling the truth." …… ..

While banks are unpopular and accused of all evils by senior politicians, Jamie Dimon takes a stand to defend his profession. He personally leads and the fight against re-regulation of many activities: how it will oversee consumer lending limitations taxable deposit banks that invest in the market, Jamie Dimon speaks publicly, while his colleagues let their lobbyists in the first line.

Democratic voters have always had supported Barack Obama in 2008. He preached at the time, for a pragmatic modernization of financial regulation. But the virulent rhetoric of the White House against Wall Street now seems to him unjust and angry.

]]> http://chestnutchurch.org/a-stone-in-the-garden-of-jamie-dimon/feed/ 0 http://chestnutchurch.org/in-crisp-tnt-ups-requires-a-global-leader-in/ http://chestnutchurch.org/in-crisp-tnt-ups-requires-a-global-leader-in/#comments Tue, 20 Mar 2012 09:48:07 +0000 admin http://chestnutchurch.org/in-crisp-tnt-ups-requires-a-global-leader-in/  

It only took a month of discussions that management of TNT Express, a former subsidiary of the Dutch post, accept the proposed UPS. The American giant of more than 400,000 employees whose turnover in 2011 exceeded more than $ 50 billion has evolved its offering at a time when TNT Express through a bad patch. This has indeed posted a net loss of 270 million euros in 2011 against a profit of 66 million euros in 2010.

UPS approached by mid-February, leaders of TNT Express had rejected an offer that valued the company 4.9 billion euros. But to 5.16 billion euros, UPS was unanimous. This acquisition will enable the U.S. group found mainly across the Atlantic to catch up. In the business of courier, transporting small packages, UPS accounted for only 7.7% of the European market against 9.6% for TNT Express, Fedex and 3.3% to 17.6% for DHL, a subsidiary Deutsche Post, according to figures from Transport Intelligence firm.

While approaching, the two biggest names in express transportation become a European leader in size to cross swords with DHL and especially a world champion since their continental positions complement each other. An asset to get the green light from competition authorities even if Deutsche Post yesterday estimated that the European Commission would consider merging with caution.

The new group formed should weigh a turnover of $ 60 billion and 477,000 employees. By comparison, another U.S. giant, Fedex, achieved a turnover of $ 41 billion in 2011 and employs 290,000 people.

Target: 50% of international sales

The presence of UPS TNT in different regions of the world should stabilize as sales in the U.S. will increase from 74% to 64% UPS only for the new group and Europe will reach 22% after the operation against 14% for the only American group.

"Why TNT is it very attractive?" Asked Kurt Kuehn, UPS's chief financial officer, during a press conference in Amsterdam: "Because he manages operations in areas of the world that were unserved: Brazil, Australia, Middle East, the road and rail networks in Europe. "The objective announced by UPS is to reach 50% of sales overseas in the next five years against 26% at present. 

Financially, the acquisition should help to achieve one billion euros in savings, once the integration of TNT Express will be accomplished. Clearly, the group provides $ 400 to 550 million euros in savings per year from 2015 through improved efficiency of logistics platforms, an optimization of aircraft fleets, purchasing … However, the CFO UPS declined to answer questions on possible job cuts among the ranks of TNT. The transaction, which must be profitable within the first year, could be completed in the third quarter of the year.

It is likely that the competitor UPS, Fedex, will not thwart the hostile bid. Especially since the competitor UPS does not have $ 3 billion in cash.

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The European Union will not allow itself to do. In the aftermath of retaliation by China against the European carbon tax, which came into force on 1 January, the Danish Minister of Climate, Lidegaard Martin, said Friday that Brussels does not intend to reconsider the measure. "The EU will continue to ETS (the European carbon market fee, ed) and I feel we have a Council of Twenty-Seven united on this subject," he said on the sidelines of a meeting Brussels with his counterparts. "Europe and other countries want a solution within the International Civil Aviation Organization (ICAO)," he added. To date, 26 of 36 ICAO member, including China, the United States and Russia, opposed the measure.

China took the lead from the dispute by freezing orders for Airbus aircraft placed by its airlines. "The decision of Beijing has an industrial impact: it hits 45 Airbus long-haul, 10 and 35 A 380 A 330," Louis said Thursday Welsh, CEO of EADS, when presenting the results of the 2011 group . "In 2013, 6 A 330 deliveries in 2014 and another 19 are endangered," he added, asking the EU not to insist on applying a unilateral measure. "We promote an agreed solution on a global scale. The European tax is not the appropriate solution. It distorts and puts us at odds with the rest of the world, "insisted Louis Welsh.

Trade war

The carbon tax applies to all airlines flying over European airspace. They will, however, forced to perform in the spring of 2013. Carriers must pay 15% of their emissions in the year 2012, 32 million tons, according to the price of a tonne of CO2. Otherwise, Brussels has set two types of penalty: a fine of 100 euros per tonne, more radical, the flight ban over European airspace.

China has calculated that the bill will amount to nearly 100 million euros for his companies and four times in 2020. In total, the carbon tax would cost 705 million euros for 2012 to stakeholders worldwide. Unacceptable for the Chinese, who are ready to tussle with Europe, even start a trade war with disastrous consequences for Airbus. Beijing is far from isolated. The rejectionist front also includes the U.S., India and Russia.

The threat is real for Airbus, which is fighting against Boeing, in all these regions to sell planes. It affects not only future orders, but also on its order books and production rates, thus on employment. EADS could stop wearing the monthly production of the A 330 to 11 copies, against 7 currently, from the second quarter of 2014. The future of the A350 XWB long-haul next-generation, could be thwarted.

China's strategy of Airbus is shaken

China, the fastest growing market in the world, is strategic for Airbus, which has sold 15 A 380, 2 of which were delivered to China Southern ordered five of them. Hong Kong Airlines, a subsidiary of China Hainan Airlines, has already threatened to cancel its order for 10 super-jumbos. If the case escalates, how Airbus can hope to convince other Chinese players? All its China strategy, whose cornerstone is the introduction of an assembly plant in exchange for A 320 commands, is shaken.

Other measures of retaliation are not excluded. What would happen if Russia, where the A380 has achieved a commercial breakthrough with Transaero last summer (4 A 380), or India decide to follow suit in Beijing? According to Airbus estimates, India and China account for 40% of global demand for aircraft in the next twenty years, or 10,320 units. Something to think about European bodies!

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Who will be the big loser of the arrival of Free Mobile? While Orange, Bouygues and Vivendi have just published their annual results and must submit his Free Thursday, the operators have their accounts.

In only six weeks, Free Mobile would have earned 1.5 million customers, according to estimates by Stéphane Richard, CEO of France Telecom. Free for now refuses to confirm.

But everyone sees what he lost. Orange said 400,000 of its customers had left for Free Mobile. Bouygues Telecom, a quarter of customers since January parties have joined Free Mobile or 134000. SFR did not elaborate, but analysts said it could provide around 300,000 customers Free Mobile.

500,000 net new subscription

It remains to evaluate clients lost by MVNOs, network operators without these, like Virgin Mobile, La Poste Mobile, Auchan Telecom, etc.. "Some of these operators have lost heavily at the start of Free Mobile. While some have reacted very quickly, it was to stop the bleeding. They have de facto acted as shock absorbers for Orange, SFR and Bouygues, "said one analyst.

MVNOs with models based on commitment and with a strong distribution network suffered the least. And NRJ Mobile, which has 90% of customer engagement in and benefits from the network of bank branches CM-CIC, has limited the damage. The operator that displays 1.1 million customers continued to win in January, before losing around 5,000 in February. "Ultimately, MVNOs may have lost between 200,000 and 300,000 customers," said one analyst.

Summing up all these figures, Free Mobile would have earned about a million customers in the market in its various competitors. The remaining 500,000 would net creation, that is to say, new subscriptions. Given its attractive price, consumers who already have a subscription and can be subscribed to the offer 2 euros (EUR 0 Free for subscribers) as a second subscription or subscription relief.

One thing is certain: the fierce competitive battle was triggered not leave room for all operators and everyone is fighting for its survival.

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Ikea home would be particularly well guarded! The furniture manufacturer has indeed established a spy system to know all of its employees but also customers, reports the Chained Duck. The French subsidiary of the Swedish group would have indeed been to monetize files of the National Police through International Private Enterprise Security specializes in security.

The satirical newspaper reproduced a series of explicit emails between the Director of Risk Management Ikea France, Jean-Francois Paris, and leaders of companies specializing in the collection of private data. One of these letters entitled "Subject: SITIC agreement" proves that the Swedish group has obtained sensitive information and theoretically reserved for the national police. In fact, the Stic is a file held by the police that gathers information on all individuals involved in an offense (the alleged perpetrators and victims) and stopped by the police. However, the CNIL has seriously challenged the credibility of this information. But no matter, the company did not hesitate to purchase this file in exchange for remuneration comfortable. On the issue of private company: "What you propose of more and better than 80 euros per consultation equivalent to those of ICST? I wish you a happy Christmas, "the risk manager at Ikea responded to a scathing" Sold! ".

Union representatives have claims

The exchange also demonstrates that Ikea France has regularly asked the security company very precise information on its employees or customers. Thus, Ikea has asked pharmacies Security: "No one in the store hires Paris Nord. Thank you for his locker. " Another application of the group: "His speech is anti-globalization and methods' old guard CGT" (covers his ears and keep repeating the same thing about his achievements) fast cash. Unionism? Profile is not too far from his lady. Various proselytizing? ATAC or other? Risk of eco-terrorist threat? ". The group also sought to take note of vehicle registration, driver's license, or the mobile operators. Customers were not spared by these unscrupulous practices of espionage. The group has investigated its customers including commercial litigation cases.

And employees have to defend well. Yassine Yakouti lawyers and Sofiane Hakiki will defend the interests of union representatives who have claims. The microphone of France info, including Yassin Yakouti emphasizes that it is "a unique case in France." The question is how society Sureté International was able to obtain the secret files of the police.

Only certainty, the information could harm the reputation of the furniture giant that boasts its management ethics. The model has however been shaken repeatedly. Latest event this summer employee of a store located in Virginia, United States, denounced a "dignified management of plantations." And after the publication in 2010 of a book on the shock group, which denounced the methods of management but also put under surveillande these employees, the new French case might still make waves.  

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In a few days, the management of Air Méditerranée know the number of candidates to voluntary redundancy scheme and the number of those who wish to be reclassified from Hermes Airlines, a Greek subsidiary conveniently created in August 2011 by Anthony Ferretti, the president and largest shareholder Air Méditerranée.

The new company proposes to take Greek pilots and stewardesses its parent, provided they opt for a Greek status and pay accordingly – lower by at least 30% to those in force in France.

Affected by the Arab Spring

Outwardly, nothing appears. The three aircraft in the fleet of Hermes Airlines registered in Greece wear the shoe Air Méditerranée. Flights operated by these aircraft are also consistent with those made by the parent. Hermes is it then a ghost airline intended to lower costs to manage the activities of its parent company in trouble? "It's ten years as the president of Air Mediterranean dream to relocate, says a captain of the company. At first he did not dare use the word. Today, it frightens him more. He says it is for our good and it will help revive the company's business. "

Mediterranean air, which mainly works with tour operators and individuals by selling low-cost flights on the Internet, has been hard hit by the crisis Tunisian and Egyptian. In 2011, it achieved a turnover of 220 million euros and would have recorded a small loss.

Unions, convinced that the "relocation" was illegal, responded: "We met with leaders of the General Directorate of Civil Aviation (DGCA) on numerous occasions, said Denis Roumier, the SNPL. But they told us that there was nothing illegal in this montage. Nothing prevents an employer to operate equipment by registering in another country. ". Hermes Airlines has recruited crew members from different nationalities in Greek status to ensure the flights of the three devices with operating licenses Greek.

The salary of a hostess who received 1200 euros net per month in France rose to 900 euros in Greek status. That of a captain of 5000 euros to 3700 euros a copilot from 3500 to 2600 euros.

By summer, the Greek subsidiary should operate six aircraft, as declared by the president of Air Mediterranean in council.

Faced with this "misuse" of their flights, the 450 employees of Air Mediterranean – including 85 in CDI will leave the company under the plan to safeguard employment – wrote an open letter to President: "In the process things are going, we expect, if nothing is done, not only to pursue the relocation of six ten but had to start our whole fleet, the disappearance of our company and, worse , that the method is spreading to other French airlines … "

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But this slight improvement has not benefited the hexagonal marks. Registrations of PSA Peugeot Citroen fell 3% to 31,867 cars sold, sealed by the brand Peugeot (-6.1%), while Citroën has increased slightly (+1%). The Renault was down 1.4% to 27,116 cars, despite the rise of the Renault brand (4.8%), due to the fall of its inexpensive Dacia vehicles (-22%). At the Paris Bourse, the new goes wrong with investors. Title Peugeot unscrewed from 3.73% to 20.53 euros by 10:50, in a market down by 1.10%.The action leaves Renault at the same time 2.88% to 27.52 euros.

Featured Nissan

Sales of French cars have fallen by 2.2% over the period while those of foreign cars grew by 10.5%. The Nissan group, whose sales volume is much lower compared to the French cars (3880 cars passed last month) shows still an increase of 32.5%.

BMW saw its registrations increase by 29.5%, while rising by 18.7% Hyundai, Mercedes 17.8% and 15.2% of Volkswagen. Fiat, however, is always the trouble with registrations down 21.5%.

Difficult recovery

To observers, this underperformance against French manufacturers is a surprise. "We were pretty confident and we did not think the market would collapse in August," said Francois Roudier, spokesman for the CCFA."But you still have to be careful because August is a very small volume in terms of months," he added. According to him, the market will "gradually reduce" to the end of the year, due to the effect of the removal of the scrapping took place in late 2010.

Since January, the car market grew by hexagonal only 0.4%. French sales of the first eight months of the year are down 4.4% while foreign groups are gaining 7.7%.

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