Good lord, what a dilemma. People just keep giving you money when you have all you ever asked for.
Such is the "terrible situation" facing the organisers of the MRI appeal.
Launching the appeal with an ambitious target of $2.7 million only a year ago, the cause hit such a chord with the community that by April the target was revised upwards to $2.8 million, the extra $100,000 tagged for anaesthetic equipment.
But even as it was emphasising a final push and not wanting to count chickens, there must have been some thought within the fundraising committee about when to call enough.
"Do we say we've reached the target before we actually have?"
"Do we simply stop accepting money after the target has been reached?"
That sort of thing.
But whatever the discussions might have been, by the time the announcement came that the $2.8m had been reached, there was actually $3m pledged. And it's still coming.
This is not to be critical of the appeal committee. Most often when you run a telethon-type pledging campaign you'd budget on a certain number of donors not honouring their pledges. Who would have thought that donors instead would actually pay more than they pledged.
What are you going to do? Insist on the lower amount?
Likewise when cheques keep walking in the door after you've tried to shut it. And some have proved pretty determined to slide their cheques through the crack, despite being told the pot's full. And you wouldn't want to appear ungrateful.
All of which leaves the MRI committee in a slightly awkward position. Awkward because it knows it is but one project in need and it has attracted a large slice of the community's goodwill, and awkward because it can't give the money back and neither can it spend it. At least not yet.
So it's probably doing the only thing it can ... retaining a healthy bank balance to cover maintenance of the scanner, and perhaps even having a nest egg to put towards a new scanner in 10 years.
A possible alternative might have been the Aoraki Foundation, launched last August to build a capital fund with the interest being used on worthy local causes, including perhaps a new MRI scanner in 10 years.
But that doesn't get around the problem of people donating specifically to this MRI cause.
So, a bit awkward, but few options. If someone could just keep a close eye on the $300,000 though, in case someone from Wellington starts poking around.
Pop it under a pillow perhaps.
- © Fairfax NZ News
Money becomes new church battleground - The Guardian
The Rev Paul Perkin seemed bewildered by the question: what was his take on the latest scheme for conservative evangelical churches to withhold money from the rest of the Church of England in order to keep it out of the hands of liberals, gay people or women priests?
"I can't talk about that," he said. "You'll have to ask James Paice." Both men are vicars in south London. And both are directors of the company set up last month to implement this scheme, the Southwark Good Stewards Company. It is the latest, and perhaps the most serious, move in a bitter power struggle within the CofE and the wider Anglican communion.
Not contributing to central funds could represent a serious threat to the rest of the CofE, whose cohesion depends in part on a redistribution of money from rich, largely suburban and middle-class parishes to the inner cities and the countryside where congregations are too small and the buildings too old to be economically sustainable.
Although the Good Stewards Company claims not to be separating from the rest of the CofE, this reading is plausible only if you assume it is the rest of the CofE that has separated from Christianity.
The money will be made available only to churches that commit themselves to a rejection not just of homosexuality, but of liberalism: they must sign "in good faith" a declaration that they will "reject the authority of those churches and leaders who have denied the orthodox faith in word or deed … Pray for them and call on them to repent and return to the Lord." Such people include the present archbishop of Canterbury, Rowan Williams.
The involvement of Perkin in this protest brings it very close to the heart of the institutional church. His is one of the most prosperous and well connected parishes in England: St Mark's, Battersea Rise, in south London, which hosted an international meeting of conservative bishops last month. Apart from encouraging others to hold back money, it is also preparing a network of sympathetic lawyers in case the church fights back.
St Mark's has a long history of financial and political links with conservative churches outside England, but it also stands very close to the central networks of the CofE. Until last year, the church's most senior civil servant, William Fittall, who is the secretary general of its governing body, the General Synod, was a regular worshipper there, a licensed reader who sometimes preached for them.
Before last month's meeting, the congregation were treated to a sermon from the archbishop of Sydney, Dr Peter Jensen, one of the leaders of the conservative movement, who said: "The world has invaded the church. So the contest we have, as Bible-based, Bible-believing Christians, is on two fronts. It is against the world, but it is also against those in the church who have come to terms with the world, who have made their peace with the world, who have compromised with the world, who have given up biblical standards in order to be thought well of in the world."
He warned the congregation they would be vilified, discriminated against, and turned into second-class citizens for their beliefs. "Alas, the truth of the matter is that there are occasions in which the church is being used to persecute the church," he said.
Last year, the evangelical parties blocked the appointment as bishop of Southwark of the two liberal candidates, Jeffrey John, who is gay, and Nick Holtam, who is sympathetic to gay marriage. The compromise candidate, Christopher Chessun, has failed to promote any evangelicals in his first year in office. This month 100 of them demanded, and got, a meeting with the bishop to complain about this.
Even those among conservatives who do not support the financial boycott, and they are a majority, now feel aggrieved at the lack of promotion for evangelicals.
And among the others, the dream of financial independence from the rest of the church has been nurtured for years.
The Rev Richard Perkins, who runs a small independent but still Anglican chapel in Southwark, once blogged: "Why would you give money to a corrupt central administration that'll use it to fund ministries which we oppose? … We shouldn't fund heresy. That's disgraceful."
These tensions are mirrored in the wider Anglican communion, which the conservatives hope to control because they far outnumber the liberal churches of the Anglo-Saxon world. They believe they speak for the true CofE, never mind what the archbishop of Canterbury or the synod may decide. They have set up a body calling itself the Anglican Mission in England.
Five retired English bishops, among them Dr Michael Nazir-Ali, the former bishop of Rochester who was the evangelical candidate for archbishop of Canterbury last time, have promised to act as bishops for those clergy who sign up to the pledge not to accept women bishops or tolerate gay people in the church. It is not at all clear that these arrangements are legal, since the authority of the bishops over their clergy is established by the law of England. But any legal battle would be enormously expensive and time consuming. There is no sign that the rest of the Church of England has the stomach for it.
One crisis is approaching rapidly. This summer the synod must decide whether to accept legislation allowing women to become bishops that will not make special provision for their opponents. The present draft is the product of years of wrangling. If it goes through unamended Nazir-Ali predicts that more clergy will come over to his organisation. They will attempt to leave the rest of the CofE, taking their money and their churches with them – all the while claiming, as their rhetoric already suggests, that it is the rest of the church that has left them.
But if the bishops water down the draft to avoid this open split the other side – a great majority of the church – will probably rebel. Campaigners for women bishops threaten to vote the whole measure down rather than accept amendments that would give them a permanent second-class status. The bishops meet later this month to decide and their space for compromise is vanishingly small.
The Business Finance Store Discusses Small Business Debt Collection - Consumer Electronics Net
May 23, 2012 --
Santa Ana, CA (PRWEB) May 23, 2012
Wonga, a high profile UK-based short-term lender, is being criticized by the British Office of Fair Trading for its debt collection practices, the BBC reported. One such debt collection tactic included suggestion that the debtor committed fraud and would be reported to the police. Wonga now faces fines from the Office of Fair Trading. To the average business, debt collection can be a serious concern. However, the types of tactics and threats used by Wonga are probably not the best choice. In the recent blog post How to Collect Business Debts, The Business Finance Store discusses some strategies for small business debt collection.
Many small business owners commonly face the unsavory task of collecting debts from clients who failed to pay for their product or service. While this task can be unpleasant, it is something that must be properly managed to ensure that the business stays in the black. Read more tips on small business debt collection at The Business Finance Store Blog.
The Business Finance Store is a business financing and consulting firm that offers customized Business Financial Solutions. Seasoned professionals offer assistance in a variety of financial solutions to help small businesses succeed such as: Business Financial Solutions, Legal Solutions, and Accounting Solutions.
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The staff at The Business Finance Store understands that starting and growing a business is an exciting time. They keep it exciting by taking care of some of the most difficult aspects, by providing legal advice, helping with vital responsibilities like accounting & bookkeeping, and by obtaining business finance. They can quickly and easily guide entrepreneurs through many different complicated processes and put them on the path to success.
For 10 years The Business Finance Store has been helping startups and other small businesses legally structure their companies, find the right franchises, get the funding they need, and achieve the American Dream of owning their own successful business. Since expanding nationwide in 2007, they have helped thousands of companies and have funded over $60 Million in business credit lines, not including SBA loans. The Business Finance Store sees limitless potential in the current climate, and looks forward to many strong years of growth to come. Take some time to review their services, and give them a call.
For more information, or a free, no-obligation analysis of your business needs, visit The Business Finance Store website:http://www.businessfinancestore.com. A member of their professional staff will contact you to discuss your business' short and long-term goals. Whatever you need, The Business Finance Store is there.
Read the full story at http://www.prweb.com/releases/2012/5/prweb9535532.htm.
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Power Finance reports strong margins; asset quality a concern - Livemint.com
Power Finance Corp. Ltd (PFC) has little reason to worry about the project pipeline, with its net outstanding approvals at Rs 1.83 trillion.
Disbursements increased by more than one-third and interest income jumped 46% to Rs 1,229 crore as the firm squeezed more out of its loan assets in the fourth quarter. For the whole of last fiscal it disbursed 21.4% more loans.
Low finance costs and better yields improved the interest spreads from 2.1% to 2.33%, which in turn led to a 33 basis points expansion in net interest margin to 3.88%. A basis point is one-hundredth of a percentage point. Strong operating performance drove PFC’s profits up by 35% to Rs 818 crore.
The firm wants to disburse Rs 43,000 crore this fiscal. That’s up 6.2% over the previous year, but slower than the 21% growth it registered in fiscal 2012. But the strong approval pipeline will give it headroom to speed up lending. Also, a quarter of the company’s borrowings are dependent on floating rates.
The easing of policy rates and a strong credit rating should also help PFC keep interest costs in check, and help sustain margin expansion in the coming quarters.
The other part of the business is asset quality. Fuel scarcity and problems in getting regulatory nods for projects have precipitated asset quality concerns. From Rs 231 crore in fiscal 2011, PFC’s bad loans increased to Rs 1,358 crore last fiscal; non-performing assets widened from 0.2% to 0.93%.
The firm is lending only to projects that have secured fuel supplies and power purchasing pacts. That will help avoid future bad loans. But concerns about asset quality are emanating from previous loans.
Power generation constitutes 83% of the Rs 1.3 trillion in loan assets. As projects are getting delayed due to lack of fuel, there are fears that some of these loans will turn bad. The management is putting on a brave face, though.
Chairman and managing director Satnam Singh said he’s seeing improving trends and does not expect any loan to turn bad if Coal India Ltdsupplies 80% of fuel needs.
“If that much coal is supplied, there won’t be any defaults,” Singh said while releasing the company’s fourth quarter results.
The other issue plaguing PFC is its exposure to state electricity boards. About 12% of its loans went to transmission and distribution firms. Many state boards recently hiked tariffs and have begun to set their finances in order.
But analysts fear PFC might see loan restructuring and delayed payments. Even if the margins continue to remain firm, asset quality concerns are weighing on the stock, currently trading at its book value of Rs 148 per share.
Compared with the 6% rise in the BSE-100 index, the PFC stock has gained 11% since the beginning of this year.
Also See | Quarterly performance (PDF)
Save Money Purchasing A Used Vehicle - Examiner
The most common concern in purchasing any used vehicle, of course, is the price, interest and payment plan (if applicable). Obtaining a good deal is a matter of deciding what you can afford budget wise. However, one of the most often overlooked facets to used car purchases is not the base price or monthly payments, but the condition of the vehicle, resale value, fuel economy (engine and vehicle size) and repair expenses for parts and labor. Your job stability and frequency of income also plays a major part in determining what is truly affordable for your family budget. Put all of these considerations together before signing that contract, a contract that could have you locked into steep long-term payments, with a vehicle that will soon need extra service and major repair.
Job and Budget Concerns
A permanent, full-time job is the best assurance when entering into a used car contract, or any major purchase. Good to great credit scores are also beneficial, if not a solid requirement. A decent part-time job can be okay, provided you have the added income of another household member who can shoulder some of the financial burden. If you have a job that pays on commission, you will need to know your accurate average draw per month (after taxes), and factor in seasonality income, if it applies. The ideal time to sign a used car contract is when you have just paid off another major expense, like a doctor bill, landscaping modification, room addition, or another car payment. Check your emotions¯obey your logic¯Time your used car purchase when you know, emphatically, that it will not put a strain on your overall budget and expenditures.
Dollars and (Sense)
According to financial expert's rule of thumb: your total debt payments shouldn't be any higher than roughly 36 percent of your gross yearly income. If you make $50,000 per year, your totaled debt payments should not exceed a yearly income of $18,000. This is a base average, but allows for a safe margin for just about any budget. Divide the figure by 12 and it will indicate $1,500 per month. So if your total debts for the month are $1,300, then it leaves room for only a $200 monthly car payment. Avoid contracts that stipulate 60 or 70-month long-term durations. A basic rule of thumb states that you should be able to pay the vehicle off in three years or less. Also try to keep your interest rates down, and this will depend on your credit rating. Anywhere from 5 to 9 percent will be much more digestible than 13 to 19 percent. Get an insurance quote on the vehicle before you make the purchase.
Make Model and Year
Owning a BMW or Audi might give you an ego boost and impress the neighbors, but you will end up paying extra for service, parts and labor down the road. Exotic foreign make vehicles generally have much higher repair costs than domestics, like Ford or Chevrolet. Dealership repairs are even higher, where per-hour labor costs can approach triple digits. Luxury cars equipped with extras like seat warmers, electric antennas, light-sensing headlights, GPS, and other electrical add-ons will most certainly be factored into the price. Ask yourself if you need these options and are willing to pay extra for them. Vehicles that are 3 to 5 years old (generally) are good used car bets, provided the mileage does not exceed around 150,000 miles. The lower the mileage, the better, unless the vehicle has a very poor service record or major visual damage. Consider smaller four-cylinder and V-6 options for engine size. These smaller engines have met with vast improvements in horsepower and fuel economy, even in the last few decades. Refer to the Kelly Blue Book for used value, which can help you determine the best vehicle for resale.
Visual Condition
Tires should be a first consideration when visually inspecting the outside of the vehicle, since replacements can run into the hundreds of dollars. Bald tires show neglect and raise safety issues. The horizontal bridges (or wear bars) should be visually prominent across the breadth of the tire tread. You would like to have at least half of the original tire tread showing, or between 4/32 to 6/32 of an inch remaining. All navigational lights, brake lights, directional, head and taillights should be operational, with lenses intact. The window panes, especially the front, should be free of blemishes, cracks and chips. Test the structural integrity of the car exterior by knocking on the body panels: doors, fenders, hood, trunk and roof. This simple test can determine if body putty has been used as a repair procedure after an accident.
Major Components and Engine
Have a certified mechanic check the vehicle out before purchase. It's well worth the investment and precaution. Or a potential buyer can perform their own cursory inspection. Look for evidence of major fluid leaks, like transmission fluid, antifreeze, brake fluid, gear and engine oil. Tapping or clacking sounds can point to worn or collapsed hydraulic lifters, or solid lifters in need of adjustment. White-blue smoke can indicate excessive oil consumption, while black smoke and rough idle or starting, can signify excessive fuel consumption. Any noise originating from the front end can point to worn ball joints or A-arm bushings, tie rod ends or other worn suspension parts. A vehicle should not drift or pull as it is driven down a straight, slightly crowned road. Any vehicle pull can denote a worn suspension part or a need for alignment.
Service Records
Obtain the service records of the vehicle beforehand, and find out if the vehicle has been properly serviced at regular intervals. Door jamb stickers can indicate light service intervals, like oil changes and tuneups. Go online to use a vehicle history report, such as Carfax. By listing the vehicle's license plate or VIN (vehicle identification number) in the Carfax database, you can obtain information on the vehicle's sales history, accident record, and major engine and component repair information. Such a vehicle history report will also warn against liens and vehicle theft, verifying that it has a "clean" title.
Junk paper on black money - Express Buzz
When the issue of black wealth stashed away by Indians became an election issue in 2009, thanks to the Bharatiya Janata Party leader L K Advani coming out with a white paper on black money, the knee-jerk reaction of the Congress was that it was a figment of imagination. Within a week the party had to abandon its denial mode. The prime minister was forced to assure that within 100 days the new government would take steps to bring back the monies stashed away. The Congress president Sonia Gandhi had to say that the party would address the issue of bringing back black money. The new government told Parliament through the President’s Address in June 2009 that it “was fully seized of the issue of illegal money of Indian citizens outside in secret bank accounts” which it “will vigorously pursue”. The next year, however, the president completely forgot the issue.It was a year later, in 2011, that the Union finance minister remembered the issue. He said that a rigorous study would be carried out to get a reliable estimate of the black money stashed abroad. In March 2011 an MoU was signed between the Central Board of Direct Taxes and three expert bodies — National Council of Applied Economic Research, National Institute of Financial Management, and National Institute of Public Finance and Policy — to do the study and report within 18 months, by September 2012. Suddenly the minister announced in his budget speech on March 16, 2012 that he could come out with a white paper on Black Money soon. That white paper came out a few days ago on May 21. Three years after it promised vigorously to pursue black money, the government has thus produced a white paper on black money. What is the need, however, for the white paper now when ‘the rigorous study’ to get ‘reliable estimates’ of black money initiated by the government is scheduled to be over in September?When the white paper says innocuously that there is no reliable estimate of black wealth in or outside India and so a rigorous study is on, it is no innocent statement. The intention is to undermine the estimates made by diverse sources. Also the white paper ignores that those estimates were time specific. The estimates of 1960s and 1980s and 1990s cannot be compared with one another and seen as conflicting. What the white paper leaves unsaid is that since there is no reliable estimate of black money it is not a serious issue. The unstated but obvious objective of the white paper is to trivialise the estimates of black money by such credible sources such as Global Financial Integrity (GFI) and the International Monetary Fund (IMF) as not reliable. Is it not how the Congress started in 2009, namely that the amount of black wealth of India abroad was a ‘figment of imagination’? Is the white paper implying the same without saying explicitly?The white paper refers to black money estimates made in 1960s, 1970s, 1980s and in the early part of 1990s, till 1995. The amount of black money generated before early 1990s would be insignificant as compared to the post-financial liberalisation period from early 1990s. The GDP of India for 2012-’13 will cross `100 lakh-crore. Till 1980s, it was less than `1 lakh-crore — just 1 per cent of the size of today’s economy on rupee to rupee basis. The black money generated in the last 15 years and that what is being generated now is incomparably huge. The information in the white paper on the estimates of black money till 1995 is 17 years old and is irrelevant. Anyone familiar with recent economic history knows that there is no comparison between pre-liberalisation and post-liberalisation Indian economy. The GFI estimated that most of the black money has been stashed away post 1991. Applying the IMF estimates of the informal economy in India (at 23.7 per cent of the GDP mentioned in the white paper itself) the amount of black economy in India would now be about `24 lakh-crore. Against these huge numbers the white paper talks of `36,000 crore as black component of the GDP in 1983-’84 (page 12) as if the said figures are relevant now. This white paper is thus fit only for archives. It is an old paper to be junked, not a white paper to be preserved. Actual money was only the source of white or black money till 1980s. Now new money known as derivatives (which are just speculative monies that turn into actual monies) are a bigger source of black money. The global speculative money stock of $82 trillion (`4,610 lakh-crore) in 1997 has multiplied by more than 10 times to $618 trillion (`33,990 lakh-crore) in 2009. As compared to the real global economy of $58 trillion (`3,190 lakh-crore) speculative money stock is 10 times more. Again, the cash wealth of the rich rose from $5.7 trillion in 1997 to $32.8 trillion in 2009. Some 40 per cent of it, `556.5 lakh-crore, is black money. This is managed by banks as trustees. Just one bank — UBS — alone manages $2.7 trillion (`148.5 lakh-crore). This is outside the balance sheets of banks. In India the total of forex, stock and commodity market speculative money stock is `685 lakh-crore. It has outstripped the real economy by almost seven times. Yet, the white paper totally omits this huge source of black money.The most ridiculous claim made in the white paper (page 17) is that part of the black money stashed away abroad is ‘already returned’. It refers to the infamous PN or Participatory Note under which anyone, including an Indian, abroad can invest black money in the name of an approved investment institution. It shamelessly admits (para 2.8.3) that ultimately Indians could be the owners of the PN and therefore large parts of the PN and may represent ‘return’ black monies stashed away by Indians. It can’t be more ridiculous. The PNs are not Indian monies in India, but Indian monies abroad which have escaped tax. To claim they are return of Indian monies is a fraudulent claim as well.The white paper is deafeningly silent on the names of those who have stashed away monies abroad. Ottavio Quattrocchi’s millions and Hasan Ali’s billions are standing examples. Not to speak of the suspected holdings of the Sonia Gandhi family, estimated at between $10-19 billion. When such suspects rule, how will black money come? Only white paper will.(Views expressed in the column are the author’s own)S Gurumurthy is a well-known commentator on political and economic issues. E-mail: comment@gurumurthy.net
Debt crisis: live - Daily Telegraph
In total, the commission wants to help nearly 500,000 young people into work.
A man waits at a government employment office at Santa Eugenia's Madrid suburb (Photo: AFP)
19.37 Earlier, Lord Lawson of Blaby told the House of Lords that EMU was a "doomsday machine". He called for an "orderly dissolution of the eurozone," saying:
So long as the eurozone staggers on we will not have a healthy European economy. That is the problem we are facing.
This dissolution is already happening before our very eyes," he said. "Holders of euro deposits in Greek banks are taking them out at a rate of knots and they will do so increasingly.
19.32 A family photo of a not-so-happy-family:
European Union leaders in Brussels pose for a family photo on Wednesday (Photo: AFP).
19.01 The fake Angela Merkel sums up the EU summit so far:
18.54 Our man in Brussels, Bruno Waterfield, points out that the denial from Athens - that eurozone countries have not been ordered to prepare a Grexit contingency plan - is rather undermined by Luca Papademos, the country's former PM, in an interview with the Wall Street Journal today, where he said:
It cannot be excluded that preparations are being made to contain the potential consequences of a Greek euro exit.
18.39 On his way into the EU summit Swedish PM Frederik Reinfeldt said:
The euro zone is moving in the right direction. You can actually see the former huge deficits now shrinking, even though it needs to go further. I am very sceptical about euro bonds, because I think it is wrong, both ends. It creates an atmosphere where the good behaviour (is) punished and the ones that should do more will get some relief.
18.18 The eurozone crisis has never been short of a good portmanteau: first we had Merkozy (Angela Merkel and Nicolas Sarkozy), then we had Grexit (Greek exit from the euro) and now growthterity (growth and austerity). Call me cynical, but I don't think this one will catch on.
18.09 As we wait for news from the EU summit, it's a good time for a quick poll: should eurozone nations create a Grexit contingency plan?
17.57 Also in Brussels is David Cameron, who said “decisive plans” are needed to kick-start European growth and bring an end to the need for constant summits. He may not be in the best of moods, having earlier called Ed Miliband a "muttering idiot" in the House of Commons, only to be made to retract the insult by the Speaker. On the way into the EU summit he said:
What we need is a decisive plan for Greece, and we need decisive plans to help get the European economies moving. But if we’re not going to keep coming back and back to meetings like this, we also need to deal with some of the longer-term issues at the heart of running a successful single currency, having a bank that gets behind that single currency, having coherent long-term plans to make sure that single currency is coherent. We have to address those issues, too, or those crises will keep re-occurring.
17.51 Next to arrive in Brussels is caretaker Greek PM Panagiotis Pikrammenos, who shouldn't get used to these EU summits as he'll be replaced - hopefully - by a democratically elected PM next month when the country holds a second round of elections.
17.44 Greeks are withholding taxes just as their country is in greatest need of cash, reports Reuters. A senior finance ministry official said state coffers will fall 10pc this month as people are nervous of the country's future:
People are suspending some payments because we are in a pre-election period and also because of uncertainty stemming from a potential Greek euro exit.
17.32 Yet more confusion over contingency plans for a Greek exit from the euro. First we heard that eurozone nations had been told by the Eurogroup to make plans, then the Greek Finance Ministry denied that this was the case. Now Belgium's finance minister, Steven Vanackere, says it's "irresponsible" to suggest that countries don't have a just-in-case plan hidden away:
All the contingency plans come back to the same thing: to be responsible as a government is to foresee even what you hope to avoid. We must insist on efforts to avoid an exit scenario but that doesn't mean we are not preparing for eventualities. I believe many countries have their contingency plans for the things they want to avoid at all cost, like terrorist attacks, and to say that we don't have a contingency plan would be irresponsible.
17.25 Angela Merkel has spoken on the way into the Brussels summit. She said she'll propose a stronger use of the European Investment Bank and more labour market mobility in the EU. But she also said that no decisions were expected this evening.
17.16 As well as EU leaders, protesters have arrived in Brussels: the man below has a sack on his head, a rope around his neck and calls for the introduction of a financial transaction tax.
17.06 EU leaders are now arriving at the summit in a lengthy procession of glossy executive cars. Here is France's new President Francois Hollande.
16.57 There's been confusion this afternoon over reports that eurozone nations had been ordered to prepare contingency plans for a Grexit; Francois Hollande announced within minutes that he knew nothing of it. Now the Greek Finance Ministry has issued a statement:
The Ministry of Finance categorically denies the reports stating that during the teleconference of the Euro Working Group on May 21st 2012, it was agreed that each eurozone country should prepare contingency plans for the potential consequences of a departure of the Hellenic Republic from the single currency area. Such reports not only are false, but actually hinder the efforts of the Hellenic Republic to address its challenges at this critical juncture.
16.54 And a bit more from Damian Reece, on what European leaders hope to gain from this key meeting in Brussels:
16.49 A brief video interlude now: the Telegraph's Head of Business, Damian Reece, explains the potential fallout for the UK economy if Greece leaves the eurozone:
16.42 European markets have drawn to a close, as EU leaders make their way to Brussels for a summit.
15.25 The Bundesbank says, in a monthly report, that a Grexit would be "manageable"; for the first time one of the most important players in the debate is saying it could even be the lesser of two evils, says Bruno Waterfield, our man in Brussels.
The Bundesbank said:
The challenges that this would create for the euro area and Germany would be considerable but manageable given prudent crisis management.
By contrast, a significant dilution of existing agreements and treaties and strongly weaken incentives for national reform and consolidation measures. In such circumstances the institutional status quo comprising liability, control and individual responsibility of members states would be fundamentally called into question.
15.13 Reuters reported earlier that the Eurogroup - the collection of eurozone finance ministers - had called for nations to develop a contingency plan for a Grexit. Within minutes Francois Hollande had muddied the waters by claiming to know nothing about any such order.
Channel 4's Jon Snow has just met the Belgian Finance Minister, who admitted that he was working on a plan. We'll bring you more on this story as it comes in.
15.05 The US markets have opened for the day, echoing European shares and falling ahead of this evening's European summit in Brussels.
14.42 More from Hollande now, who's been holding a joint press conference with Spanish PM Mariano Rajoy:
I will do everything I can in my position to convince the Greeks to choose to stay in the zone and everything to convince Europeans who might doubt it of the necessity of keeping Greece in the eurozone.
14.19 French President Francois Hollande says he'll address the need for a European growth pact, banking liquidity and euro bonds at this evening's EU leader summit in Brussels:
The top priority is injecting liquidity into the European financial system to ensure that European banks, all European banks, can be consolidated.
14.03 The EWG may want countries to prepare for a Grexit, but Spain's PM Mario Rajoy says it's for the best that Greece remains in the single currency. Worryingly, new French President François Hollande says he's unaware of any memo asking countries to develop a contingency plan at all.
13.47 More details on orders from the Eurogroup Working Group to craft contingency plans for a Grexit: it was all agreed during an hour-long conference call on Monday afternoon. Reuters also claims to have seen a memo sent to each eurozone country with some pointers on policies they could draft into their plans. It called for an "amiable divorce" if the worst came to the worst.
One eurozone official familiar with what was discussed on the call said:
The EWG agreed that each eurozone country should prepare a contingency plan, individually, for the potential consequences of a Greek exit from the euro. Nothing was prepared so far on the eurozone level for now, for fear of leaks.
13.37 The Eurogroup Working Group - the collection of finance ministers from those countries which have adopted the euro - has apparently told eurozone governments to prepare "contingency plans" for Greece leaving the single currency. The orders came in a telephone conference call on Monday, reports Reuters.
13.17 A quick update on the European markets now:
On the fall in London, independent technical analyst Cliff Green said:
The mood is very negative at this stage. We probably haven't seen the bottom yet, but it appears that we are into the last stages of the downward move.
13.01 The Daily Telegraph's Jeremy Warner tweets on Germany's zero-return bonds:
12.50 Ed Miliband has questioned the PM's austerity plan: "It's not working in Britain, it's not working in Europe. It's a failed plan."
Cameron replies with a criticism of Labour plans to increase borrowing and investment: "Nobody I can find in Europe, not even I suspect the left wing party in Greece, backs his idea of an extra £200bn of borrowing into the UK economy... it would wreck our prospects."
12.44 David Cameron is back from his G8 trip in the US, and is speaking in the House of Commons. He's said that the eurozone problem can no longer be "fudged" and that action needs to be taken. He's affirmed that he wants the second election to be treated as a referendum on Greece's future in the eurozone.
11.45 Sticking with the German theme, the Bundesbank has stuck its oar into the Greek debate, telling the country it is putting any future financial aid at risk by failing to elect a government which promises to stick to the bailout terms.
The German central bank said:
A significant dilution of exiting agreements would damage confidence in all euro area agreements and treaties and strongly weaken incentives for national reform.
The Bundesbank said the system of eurozone central banks had assumed "considerable risks" by providing Greece with large amounts of liquidity.
"In light of the current situation, it should not significantly increase these risks," the bank said.
11.20 German bond market is a popular place to be, and so should the country's stock market, according to Rob Smith, investment manager of the Baring German Growth Trust at Baring Asset Management.
German shares have fallen today along with the rest of Europe, down 1.8pc, and have also declined in recent weeks along with the rest of the region. However given the German economy is export-led and in growth, this is not fair, Mr Smith argues.
German equities have seen some selling pressure in recent months along with the rest of the European equity markets, as investors continue to express concern over the future of the euro. Since the end of March, the DAX 30 Index has declined by 9.2pc in euro terms in an environment where the broader European market, as represented by the MSCI Europe ex UK Index, has fallen by 10.6pc.
This followed a period of very strong performance from the German market earlier in the year, particularly in March, so perhaps a degree of profit-taking was to be expected. However, while we appreciate that many investors are in “risk off” mode at the moment, we believe the decline in the German equity market is not justified by either economic or corporate fundamentals.
Our assessment of the situation at the moment, from the companies we have met and the earnings statements we have analysed, is that it remains very supportive for German corporates, with earnings likely to surpass last year’s level, in our view, and come out considerably ahead of the rest of developed Europe.
11.10 Germany has held a bond sale at which investors have rushed to buy the country's debt for no interest in return.
The zero percent bonds - what my colleague has described as a sophisticated mattress - give investors somewhere they regard as safe to park their cash.
Today, Germany sold €4.56bn of two-year bonds, which carry a zero-percent coupon, with an average yield of just 0.07pc. That's effectively free money for the German government.
The sale of zero-coupon bonds was announced yesterday, when the government said it would offer €5bn of the bonds.
Last week Germany paid the lowest rate in its history to borrow for 10 years, paying an average of 1.47pc.
By contrast, Spain's borrowing costs on 10-year governemnt bonds rose to 6.16pc and Italy's to 5.82pc
10.40 This morning's Daily Telegraph Adams cartoon combines two hot topics - the economy and the weather:
10.30 The pound dropped against the euro and the dollar when the poor retail sales figures came out. However, sterling quickly recovered against the single currency and is now trading flat at €1.2429.
However the pound is still down against the dollar, falling as much as 0.6pc to $1.5671 at 09.30 and now trading at $1.5671.
10.00 Economists say the fall in retail sales in April does not bode well for the UK economy returning to growth in the second quarter, when we also lose a working day because of the Jubilee bank holiday:
Howard Archer, chief UK and European economist at IHS Global Insight said:
While a number of special factors contributed to the marked drop in retail sales in April, the fact is that they fell 2.3pc month-on-month overall which weighs down on the prospects for the economy returning to growth in the second quarter – particularly as it has to deal with the overall hit to activity that will come from the extra day’s public holiday in June arising from the Queen’s Diamond Jubilee.
It is evident that there are currently a lot of pressures on consumers as they face uncertain and worrying times, so they seem likely to be cautious overall in their spending over the next few months at least.
09.40 Two bits of economic news from the UK - the first, a surprise - retail sales dropped 1.1pc year-on-year in April, when economists expected them to climb 1pc.
Secondly, the latest Bank of England minutes are out, showing the nine Monetary Policy Committee members voted unanimously in favour of holding interest rates at 0.5pc, and voted 8-1 in favour of holding the quantitative easing programme at £325bn.
However, the decision was "finely balanced" for some MPC members, with rising inflation weighed against the eurozone crisis and economy going back into recession indicating that more QE could be needed.
09.10 Looking at European markets now the rest of the indices are trading, it's a gloomy picture:
09.00 It's not just the markets which have small hopes for tonight's EU leaders summit - Paul Mason, economics editor on the BBC's Newsnight, says now is the time for action before it's too late for Greece:
08.20 Today's EU leaders summit in Brussels is the 18th such emergency meeting (on some counts), but for new French PM Francois Hollande, it will be his first.
With his arrival, the issue of common euro-area bonds, known as eurobonds, rises to the top of the agenda.
The yoking together of the debt of all the euro nations has been grimly opposed by Germany, but Mr Hollande, along with Mario Monti, the Italian PM, and Jose Manuel Barroso, preseident of the European Commission have all backed the idea.
No final decisions are expected from tonight's meeting - one reason the markets have wavered this morning - but splits over the issue will be seized upon by investors trying to work out where the eurozone is going.
08.00 London markets are now open and have fallen:
07.50 But it won't be all Greek today - Spain is also going to be grabbing some headlines.
The country will set out its plans for Bankia, the lender which it had to part-nationalise earlier this month. Reports last week that customers had pulled €1bn out of the bank caused its shares to fall as much as 30pc.
The government is likely to confirm how much money it will pump into the ailing bank.
A Spanish government source told Reuters that talks on the size and form of the bailout - through loans, equity or cash injection - are being held between the economy ministry, the Bank of Spain, Bankia and Goldman Sachs, which was hired last week to value the lender.
A final decision may not be made before Economy Minister Luis De Guindos addresses a parliamentary committee (at 5pm London time) on the take-over of Bankia and the restructuring plan for the lender, although he will want to give key details of the government's strategy, the source said.
07.30 Markets in Asia declined today, as caution set in ahead of a meeting of European leaders following yesterday's rally.
The futures market is also pointing to the European markets opening lower.
07.20 Sticking with the Greek theme, the country last night agreed to inject €18bn (£14.5bn) into four of its largest banks, with the money expected to come through as soon as today.
Bankers say the recapitalisation will allow National Bank, Eurobank, Alpha and Piraeus to receive funding from the European Central Bank (ECB) again.
The central bank cut off these Greek banks last week because they lacked enough capital to be considered solvent.
The Hellenic Financial Stability Fund said it had approved an agreement to release the funds, which will come in the form of notes issued by the EFSF, the eurozone's financial rescue fund.
07.15 An update from IMF chief Christine Lagarde, who has done an interview with Radio 4.
She's been talking pretty tough on Greece, saying "being part of the eurozone has a price".
The Greek population has voted in a particular way which is not conducive to the formation of a government. But at the same time, they very strongly support belonging to the eurozone. There's an inconsistency there.
She added that "somebody has to pay the price" of Greece's unmanageable debts.
It may be that members of the eurozone will be prepared to support more and for longer the Greek population to stay within the zone. The members may consider the integrity of the zone to be more important.
07.10 Meanwhile, the "Grexit" talk continues. Vaclav Klaus, the Czech president, said Greece would be better off economically if it exited the eurozone.
Following the NATO summit in Chicago. Mr Klaus last night said:
The long-lasting problems in Europe have been irresponsibly, widely underestimated... This debt crisis is only the tip of a much bigger, much deeper and much wider iceberg [...] It would be much better for Greece to leave the eurozone, which is almost not allowed, impossible and so on.
07.00 EU leaders will gather for a special summit today in Brussels. Top of the agenda? Greece and eurobonds.
German Chancellor Angela Merkel said yesterday that she found it “astonishing” that her pro-austerity stance was the cause of controversy in Europe, while Michael Meister, a member of Mrs Merkel’s Christian Democratic Union party, said there was nothing to stop France and Italy from going it alone on common bonds.
06.50 The IMF was in town yesterday, as the spotlight moved from events in the eurozone to more domestic affairs.
Christine Lagarde, the IMF's managing director, urged Britain to step up its recovery plan - or consider a Plan B. Philip Aldrick reports:
If the joint efforts had failed to have much effect by November, the Government should then consider cutting taxes and boosting infrastructure spending by as much as £30bn, said the IMF.
In an unusually alarmist annual assessment of the UK, IMF managing director Christine Lagarde said that "growth is too slow and unemployment too high, and policies to bolster demand before low growth becomes entrenched are needed".
However, she stressed that austerity had been the right course for the UK, applauding George Osborne as "courageous" and insisting that fiscal stimulus should only be considered as a last resort.
06.45 Good morning and welcome back to our live coverage of the European debt crisis.
Obama, Dems increase money efforts to keep edge - detroitnews.com
Colorado Springs, Colo.— His cash advantage threatened, President Barack Obama and his party are redoubling their fundraising efforts after robust hauls by Republican rival Mitt Romney and a slew of GOP-leaning super PACs that are raking in cash from the party faithful highly motivated to topple the Democrat.
Obama still has a significant edge, but it's shrinking rapidly.
That explains why the president, fresh off of back-to-back international summits, was plunging back into his re-election race Wednesday with a series of fundraising events in Denver and California's Silicon Valley as he looks to stockpile cash to pay for his coast-to-coast organization, advertising to spread his message and get-out-the-vote operations in key states.
It's the start of an extensive money push by Obama in the coming weeks that will feature a series of high-end fundraisers, including New York events with former President Bill Clinton and actress Sarah Jessica Parker and a Los Angeles trip to raise money among gay and lesbian supporters. Smaller-dollar pushes also are under way.
Obama, a record-shattering fundraiser four years ago, has a built-in fundraising advantage as the incumbent and still has a wide money lead over Romney, the challenger who only recently combined fundraising efforts with the Republican National Committee after a bruising — and expensive — primary.
But well-funded Republican outside groups, which are able to raise unlimited sums from donors, are narrowing that gap quickly and using their multimillions to run a slew of TV ads hammering Obama in key states. Obama aides acknowledge the possibility that he could be outraised by the influx of Republican money.
The numbers tell the story.
Through April, Obama and Democratic groups supporting his re-election bid have raised nearly $450 million during the election cycle and have more than $150 million in the bank. Romney and Republicans backing him have collected more than $400 million during the same stretch and have about $80 million at their disposal.
Gone is the 10-to-1 cash advantage that Obama held at the end of March.
To be sure, Romney was bound to erode that money gap as he pivoted to the general election. He still, however, lags on another measure of campaign strength: Obama has had months to prepare an extensive ground game to identify, register and turn out voters.
On the money front, Romney has benefited from a strong desire among GOP activists to defeat Obama, multiple GOP outside groups willing to spending tens of millions of dollars and a well-oiled fundraising machine within his own campaign. Showing that prowess, the former Massachusetts governor raised $15 million this week during three days of fundraising in New York.
"What you see in a very short period of time is a very well-run operation that is putting Gov. Romney in a position where he's going to, maybe not outspend, but to compete with the collective Democratic fundraising," said Sara Taylor Fagen, a former political director for President George W. Bush.
Romney has been the all-but-certain GOP nominee for more than a month now, and while he's focused primarily on fundraising, super PACs backing him have been going toe to toe with Obama's campaign in TV advertising. That means that Romney hasn't had to spend heavily from his own campaign account. Chief among those groups has been Crossroads GPS and its affiliated super PAC, Crossroads USA, which quickly matched Obama's ad buy this month after the president's team laid out plans for a $25 million advertising campaign.
Democrats haven't had as much success with super PACs.
A pro-Obama group, Priorities USA Action, has badly lagged behind Crossroads, while Romney has gotten extra help from another super PAC, Restore Our Future. Mary Beth Cahill, a former campaign manager for Sen. John Kerry, recently came aboard as an adviser to help.
The influx of campaign cash in the first presidential campaign since the 2010 Citizens United ruling by the Supreme Court, which helped create super PACs, has taken some Democrats by surprise.
"I don't think anyone realized going into this cycle exactly how much money was going to be involved," said former Rep. Martin Frost, D-Texas, a past chairman of the fundraising arm for House Democrats. "This is a brave new world of campaign finance."
The president was headed Wednesday to fundraisers in Denver and California's Silicon Valley. He was addressing about 700 supporters in Denver, with tickets starting at $250 and topping out at $40,000 per couple for a photo with the president.
Afterward in California, Obama was speaking at a fundraising dinner in Atherton that includes a performance by David Crosby and Graham Nash. About 60 people were paying $35,800 per person to attend. Obama was capping the night at a reception with 1,100 people in Redwood City, with a performance by Ben Harper. Tickets started at $250, with some couples paying $12,500 for a photo with the president. On Thursday, Obama was speaking at a private fundraising breakfast in Palo Alto.
To keep his edge, Obama isn't just focusing on big money.
Many of the planned high-dollar fundraisers include a raffle designed to raise millions more and get more people involved.
In some cases, the grass-roots component raises more than the swanky fundraiser: Of the $15 million Obama raised at a celebrity-studded dinner two weeks ago at actor George Clooney's Los Angeles home, $9 million came from small-dollar donors hoping to win a chance to attend.
Clinton, arguably the most prominent Democratic fundraiser not in the White House, is joining Obama for two events in New York on June 4. Obama's campaign also is raffling off a trip to New York — including airfare and hotel for what's being called "Barack on Broadway" — for two winners and their guests to attend. The two presidents will attend a dinner later that evening featuring a performance by Jon Bon Jovi.
Two days later, Obama jets to Los Angeles for a high-dollar reception with gay and lesbian supporters, featuring a performance by Pink, and a $25,000-per person dinner at the Beverly Hills home of "Glee" creator Ryan Murphy and his fiancı David Miller. Events also are planned next month in Baltimore, Boston and back in New York, where the president will raise money at the home of Parker, of "Sex and the City" fame. A travel-package raffle for small-donors is tied to that, too.
"It should be fabulous," Parker said in an email to Obama supporters.
Obama began airing two new ads Wednesday, one about his work with veterans returning from wars in Iraq and Afghanistan and another aimed at seniors dependent on Medicare.
In the veterans spot, Obama credits veterans for allowing the U.S. to "go after al-Qaida and kill (Osama) bin Laden" and says the nation has a "sacred trust" to help veterans heal their wounds and find jobs. The ad on Medicare notes that Obama was raised by his grandparents and cites his administration's efforts to root out health care fraud.
The TV ads are part of the $25 million ad buy the Obama campaign launched in May, running in Colorado, Florida, North Carolina, Iowa, Nevada, Ohio and Virginia.
Romney spokeswoman Amanda Henneberg said Obama's team can't "distract voters from three years of broken promises on Medicare and our commitments to our veterans."
Forex Crescendo – is it seriously worth buying? - Seahawk
Here you are at my concise review of Forex Crescendo. In this review I will respond to those burning queries for anyone interested in this product.
Is it a scam? Well, there is actually one trouble-free way to find this out for a digital product: what is the refund rate? Products with a high refund rate can be a scam. It makes sense – if it’s a scam, then people are going to be returning it in high numbers. In the case of Forex Crescendo the approx refund rate is 0.12%, which is shockingly low, and suggests this product is certainly not a scam.
Is it worth purchasing? Forex Crescendo features many verifiable testimonials from happy users on its web page. These are testimonials from past customers that have taken the time and energy to send in a testimonial, so reading their views is often well worth it. You should then backup that research by taking a look at an external review. – see the website at the conclusion of this report for one such Forex Crescendo review, which gives the product a rating of 4.49/5.
Can I obtain a bonus for getting this product? (and what exactly is a bonus?) Some sites can offer you a purchase bonus if you buy an item through their website (as a thank-you for purchasing through their website). In the example of Forex Crescendo, there’s a bonus on offer – see web page link elsewhere in the article.
Forex Crescendo – what is it all about? Let’s check out the product’s web page for this one, and see what precisely they say about themselves:
- trading my live REAL MONEY account
- In 7 Short Minutes, You Will Have The Most Powerful Automated Trading System Ever Invented
- Forex Crescendo trades automatically without any intervention from me.
- How you control risk is the most important thing.
Can I get my money back if it turns out I don’t like it after all Yes you can! The product is covered by a 60-day no quibble money-back guarantee through the payment processor (Clickbank). Which means that you can get a refund without needing to go to the product owners – you can just do it by means of Clickbank.
You might also like to have a look at a Stop Paying Cable Bills – Digital TV on PC critique also, because there is a bonus available for that.
What do I do now? We’ve covered all the main questions that potential buyers have prior to purchasing this product. Before making that last purchasing decision, I suggest you have a look at the complete review sheet (see link in this article). It will tell you some further information, including complimentary products, any discount rates and any bonuses offered. You can also find information on the Forex Crescendo bonus mentioned previously. So, go there now (see web page link elsewhere in this article) and you’ll be able to read the complete review of Forex Crescendo.
Here you are at my concise review of Forex Crescendo. In this review I will respond to those burning queries for anyone interested in this product.
Is it a scam? Well, there is actually one trouble-free way to find this out for a digital product: what is the refund rate? Products with a high refund rate can be a scam. It makes sense – if it’s a scam, then people are going to be returning it in high numbers. In the case of Forex Crescendo the approx refund rate is 0.12%, which is shockingly low, and suggests this product is certainly not a scam.
Is it worth purchasing? Forex Crescendo features many verifiable testimonials from happy users on its web page. These are testimonials from past customers that have taken the time and energy to send in a testimonial, so reading their views is often well worth it. You should then backup that research by taking a look at an external review. – see the website at the conclusion of this report for one such Forex Crescendo review, which gives the product a rating of 4.49/5.
Can I obtain a bonus for getting this product? (and what exactly is a bonus?) Some sites can offer you a purchase bonus if you buy an item through their website (as a thank-you for purchasing through their website). In the example of Forex Crescendo, there’s a bonus on offer – see web page link elsewhere in the article.
Forex Crescendo – what is it all about? Let’s check out the product’s web page for this one, and see what precisely they say about themselves:
- trading my live REAL MONEY account
- In 7 Short Minutes, You Will Have The Most Powerful Automated Trading System Ever Invented
- Forex Crescendo trades automatically without any intervention from me.
- How you control risk is the most important thing.
Can I get my money back if it turns out I don’t like it after all Yes you can! The product is covered by a 60-day no quibble money-back guarantee through the payment processor (Clickbank). Which means that you can get a refund without needing to go to the product owners – you can just do it by means of Clickbank.
You might also like to have a look at a Stop Paying Cable Bills – Digital TV on PC critique also, because there is a bonus available for that.
What do I do now? We’ve covered all the main questions that potential buyers have prior to purchasing this product. Before making that last purchasing decision, I suggest you have a look at the complete review sheet (see link in this article). It will tell you some further information, including complimentary products, any discount rates and any bonuses offered. You can also find information on the Forex Crescendo bonus mentioned previously. So, go there now (see web page link elsewhere in this article) and you’ll be able to read the complete review of Forex Crescendo.
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