Business Report at 1330 GMT

REUTERS BUSINESS REPORT

Wednesday, Nov 12, 2008

Editors and times (in GMT):

Sophie Walker +44 207 542 9168 -- 0830, 1230

Brian Moss +1 646 223 6200 -- 1430, 1830

Sonya Hepinstall/Mathew Veedon +65 6870-3825 -- 0230, 0630

TOP HEADLINES

LONDON/SINGAPORE - Crisis deals under pressure, no let up for economies

MUMBAI/TOKYO - NTT DoCoMo set to buy 26% of Tata Tele

ZURICH/AMSTERDAM - Swiss Life warns on profit, ING posts first loss

TOKYO - Japan greenhouse gas hits record, risks Kyoto failure

TOP STORIES

LONDON/SINGAPORE - A number of deals designed to cure the global financial crisis look in danger of unravelling, with losses mounting at banks and economies deteriorating (FINANCIAL/ (TOPWRAP 2), moved, pix, tv, graphic, by Jeremy Gaunt and Alex Richardson, 800 words)

MUMBAI/TOKYO - Japan's NTT DoCoMo is set to pay $2.7 billion for a 26 percent stake in Tata Teleservices to get a foothold in India's booming telecom market, a paper reports, as the Tata Group, flagbearer of corporate India's foreign expansion, puts acquisitions on hold (TATA/ (WRAPUP 1), moved, by Devidutta Tripathy and Sachi Izumi, 800 words)

ZURICH/AMSTERDAM - The financial crisis weighs on Europe's insurers, as Swiss Life warns on profits and cuts its dividend, while Dutch financial group ING posts its first quarterly loss (EUROPE INSURERS/ (WRAPUP 2), by Jason Rhodes and Reed Stevenson, expect by 1000, 700 words)

TOKYO - Japanese greenhouse gas emissions hit a record high in the year to March, the government says, raising more questions about how Japan will be able to meet its commitments under the Kyoto Protocol climate pact (CLIMATE/JAPAN (UPDATE 5), moved, graphic, by Risa Maeda, 600 words)

MORE ON THE FINANCIAL CRISIS

STOCKHOLM - The International Monetary Fund is withholding its backing for a loan to struggling Iceland, the Financial Times reported on Wednesday without citing sources. (ICELAND-IMF/, moved, by Anna Ringstrom, 350 words)

HONG KONG - From office sodas that are no longer free to Ferraris that go unpurchased, financial services firms and their staff are being forced to a new era of austerity imposed by the global financial crisis (FINANCE-SUMMIT/AUSTERITY, moved at 0526, by Tony Munroe, 500 words)

SINGAPORE - Wining, dining and fashion are still a priority for Asia-Pacific consumers, but a regional survey shows that the global financial crisis is motivating them to hunt for bargains and save more (SPENDING-ASIAPACIFIC/, moved at 0622, by Miral Fahmy, 500 words)

CANBERRA - The world's major economies must not use global financial turmoil as an excuse to retreat into protectionist trade, Australia and Indonesia say in a coordinated message ahead of a crisis summit in Washington (FINANCIAL/AUSTRALIA-INDONESIA, moved, by Rob Taylor, 400 words)

SEOUL - Finance ministers from South Korea, Japan and China plan to meet on Friday in Washington to discuss ways to jointly tackle the global financial crisis, officials in Seoul and Tokyo said on Wednesday (FINANCE/KOREA-JAPAN-CHINA (UPDATE 1), moved, 400 words)

MARKETS

LONDON - European stocks recover some ground after steep losses in the previous session and the dollar dips, but oil hovers near 20-month lows on ongoing worries about a slowdown in global demand. (MARKETS-GLOBAL (WRAPUP 3), expect by 1000, by Carolyn Cohn, 600 words)

LONDON - - Interbank lending rates for dollar, euro and sterling funds fell on Wednesday, maintaining the recent trend of improving money market conditions. (MARKETS-MONEY (WRAPUP 2), expect by 1300 GMT, by Jamie McGeever, 650 words)

LONDON - Oil prices fall below $59 a barrel as expectations of weaker energy demand more than offset news of reductions in supply. (MARKETS-OIL (UPDATE 3), expect by 1000, by Christopher Johnson, 500 words)

LONDON - The dollar sheds early losses against the euro and edged up versus sterling on Wednesday as ongoing concerns about the global economy support the U.S. currency, prompting investors to shy away from riskier investments.

(MARKETS-FOREX (UPDATE 3), moving shortly, 600 words, by Tamawa Kadoya)

LONDON - Gold edges higher, recovering some of the previous session's losses, as the dollar slips from two-week highs against the euro and on firm physical demand (MARKETS-PRECIOUS (UPDATE 3), expect by 1030 GMT, by Jan Harvey, 500 words)

PARIS/SINGAPORE - Chicago corn and soybean futures inch lower after heavy losses in the previous session, as oil continues to slide and the dollar strengthens amid growing signs of a global economic slowdown. (MARKETS-GRAINS (UPDATE 3), expect by 1200, by Naveen Thukral and Valerie Parent, 500 words)

LONDON - Copper eases and aluminium hovers close to a three-year low as inventories rise and investors fret about sluggish demand and slowing economic growth. (MARKETS-METALS (UPDATE 4), expect by 1100, by Anna Stablum, 550 words)

ECONOMY

BEIJING - China's annual retail sales growth slows to 22.0 percent in October from 23.2 percent in September, holding up well despite deepening worries about the fallout on the domestic economy of the global financial crisis (CHINA-ECONOMY/RETAIL (UPDATE 1), moved, 400 words)

TOKYO - Japanese consumer confidence hit an all-time low in October, a government survey showed on Wednesday, as job fears weigh and consumers doubt if the government can protect them from the financial crisis. (JAPAN-ECONOMY/ (UPDATE 2), moved, by Yuzo Saeki, 600 words)

LONDON - The Bank of England's quarterly inflation report on Wednesday will highlight recession risks and provide clues on whether interest rates, which were slashed to 3 pct last week, will be cut further. (BRITAIN-BANK/INFLATION, embargoed til 1030 gmt, by Sumeet Desai and Christina Fincher, 400 words)

BRUSSELS - There is room for further interest rate cuts in Europe because inflation is falling quickly, the head of the Organisation for Economic Cooperation and Development (OECD) Angel Gurria says. (ECONOMY-EUROPE/OECD (UPDATE 2), moved, by Jan Strupczewski, 300 words)

LONDON - Europeans will limit spending on Christmas as they brace for a tough 2009, though shoppers in eastern countries are more optimistic than those in the west, surveys by business consultancy Deloitte showed on Wednesday. (RETAIL-EUROPE/DELOITTE, moved, by Mark Potter, 500 words)

SEOUL - Job growth in South Korea dwindles to its slowest in 3-1/2 years in October, data shows, just as the top state-run research agency warns overall growth could hit a 6-year low in 2009, adding to worries about a sharp economic slowdown (KOREA-ECONOMY/ (UPDATE 1), moved, by Cheon Jong-woo, 700 words)

MANILA - The Philippines cut growth forecasts for 2008 and 2009 and says it expects a wider budget deficit next year as it spends more to boost the economy amid a global financial crisis (PHILIPPINES-ECONOMY/ (UPDATE 1), moved, by Karen Lema, 600 words)

EUROPEAN COMPANIES

FRANKFURT - Troubled German property lender Hypo Real Estate posts a pretax loss of 3.1 billion euros ($3.95 billion) in the third quarter, more than analysts had expected.

ZURICH/VIENNA - Two of Europe's leading building materials companies revealed the impact of slowing construction activity on Wednesday and indicated prospects were worsening as the effects of the financial crisis spread (HOLCIM-WIENERBERGER/ (WRAPUP 2), expect by 0930, by Katie Reid and Sylvia Westall, 600 words)

LONDON - J. Sainsbury, Britain's third-biggest supermarket group, posted first-half profit towards the top end of forecasts, but said the economic environment in the second half was "particularly challenging" (SAINSBURY/ (UPDATE 3), moved, by Mark Potter, 600 words)

PARIS - French power group Electricity de France says it maintains existing 2008 earnings guidance as third-quarter sales jump 8.3 percent. (EDF/ (UPDATE 1) by Matt Gil, moved, 400 words)

MILAN - Italy's second-biggest bank UniCredit SpA turned in a 54 percent fall in third-quarter net profit to 551 million euros ($701.8 million), citing the "dramatic conditions" in the markets. (UNICREDIT/ (UPDATE 1), moved, by Jo Winterbottom, 400 words)

MADRID - Spanish airline Iberia reported a 98 percent fall in core earnings for Jan-Sept as its fuel bill jumped and economic gloom at home and abroad hurt demand. (IBERIA/ (UPDATE 1), moved, by Ben Harding, 500 words)

PARIS - French bank Natixis denies a newspaper report that it lost 975 million euros in trading operations in October but said its core investment banking unit had a torrid time last month, (NATIXIS/ (UPDATE 1), moved, by Sudip Kar-Gupta and Caroline Jacobs, 500 words) NAIROBI - Shares in Kenya's biggest mobile phone firm Safaricom slip 14 percent after the company announced half year results showing a 50 percent jump in subscr ibers and a modest rise in pretax profit (SAFARICOM/ (UPDATE 3), expect by 1030, tv, by Duncan Miriri, 500 words)

LONDON Unprecedented financial market turmoil has derailed Land Securities' plans for a radical three-way demerger of its business, Britain's largest property firm says. (LANDSECURITIES/ UPDATE 2, by Sinead Cruise, 500 words, due 1000 GMT)

LONDON - Fund firm Liontrust Asset Management expects a tougher second half after profits rose in the six months to the end of September, and says it is considering launching global funds and a UK hedge fund (LIONTRUST/CEO (INTERVIEW), expect by 1200, by Laurence Fletcher, 350 words)

LONDON - Merrill Lynch and Bank of America name Merrill's Andrea Orcel as head of international investment and private banking at the combined company. (MERRILLLYNCH-BOFA/APPOINTMENT (UPDATE 1), expect by 0945, by Olesya Dmitracova, 300 words)

LONDON - Two Scottish banking grandees seeking to scupper the takeover of HBOS by Lloyds TSB say investors should be told why an independent future had been ruled out. (HBOS/LLOYDS-BURT, by Steve Slater, 300 words, 1030 GMT

ASIA PACIFIC COMPANIES

SINGAPORE - SingTel, Southeast Asia's largest phone firm, reports a 12 percent fall in quarterly profit and predicts lower full-year contributions from its regional associates due to a stronger domestic currency (SINGTEL/ (UPDATE 3), moved, pix, by Jennifer Tan, 750 words)

TOKYO - Dentsu, Japan's largest advertising firm, reports earnings amid growing economic uncertainty that has made its clients wary of spending, while media report the company is in talks to acquire U.S. ad agency McGarry Bowen to help boost overseas sales (DENTSU/ (UPDATE 2), expect by 0900, by Mariko Katsumura, 600 words)

TOKYO - The president and chief executive officer of Japan's Shinsei Bank, Thierry Porte, is to announce his resignation later on Wednesday, sources say, as the struggling mid-sized lender prepares to announce results amid a global market slowdown (SHINSEI/ (UPDATE 2), moved, by Taro Fuse and David Dolan, 400 words)

MELBOURNE - Property developer Stockland Group buys a 12.7 percent stake in rival GPT Group, dealing itself into any potential takeover bid for the group and sending GPT's shares up 37 percent (GPT/STOCKLAND (WRAPUP 2), moved, by Sonali Paul, 700 words)

JAKARTA - Indonesian coal miner PT Tambang Batubara Bukit Asam may pull out of a consortium that agreed to buy a stake in Bumi Resources Tbk, the country's biggest coal miner, because of a slump in Bumi's share price, the state enterprises minister says (BUMI/ (UPDATE 1), moved, 300 words)

SEOUL - Shares in South Korea's Hana Financial Group plunge as much as 14 percent on market talk of a possible capital increase, but the country's No. 4 banking group denies the speculation (HANA-SHARES/ (UPDATE 1), moved, 250 words)

HANOI - Vinamilk, Vietnam's top dairy firm, says it won approval to issue nearly 8.8 million new shares on Singapore's stock exchange but no date had been set for the debut (VINAMILK-SINGAPORE/DEBUT (UPDATE 1), moved at 0545, 200 words)

SHANGHAI - Chinese game designers, whose clients often include big names like Sony Corp and Nintendo, are attracting global venture capital funds who believe the booming, multi-billlion dollar sector can be recession-proof or even grow (CHINA-VENTURECAPITAL/GAME, moved, by George Chen, 600 words)

RESOURCES

LONDON - The International Energy Agency, which advises leading industrialised countries on energy policy, releases its annual world energy outlook report. (IEA, moving at 1000, by Jane Merriman, 700 words; see also IEA/OUTLOOK/ (INTERVIEW), moving at 1000.

BEIJING - Demand for gold as an investment by Chinese soars this year, helping offset slower growth in demand for jewellery in one of the world's top gold producers (CHINA-GOLD/OUTPUT (UPDATE 2), moved, by Lucy Hornby, 500 Words)

ANALYSIS

WASHINGTON - President-elect Barack Obama has vowed to help middle-class U.S. homeowners facing foreclosure, but he has said little about how he will help low-income families made homeless by a worsening economy. (USA-HOMELESS/ (ANALYSIS), moved, by Ross Colvin, 800 words)

FEATURES

LONDON - In 2003, a group of London-based thinkers warned of a huge credit crunch and a surge in personal and corporate bankruptcies. Five years on, the crisis is here and the question is whether prophetic minds like those in Britain's New Economic Foundation can persuade a hitherto deaf political mainstream to adopt their proposed solutions (FINANCIAL/PROPHETS (BUSINESS FEATURE), moved at 0004, pix, by Barbara Lewis, 900 words)

See also FINANCIAL-PROPHETS (FACTBOX)

PARIS - For years the undisputed leader at high-end hair salons, L'Oreal is losing its shine as hair stylists weather an economic downturn with cheaper products from Germany's Wella and Schwarzkopf (LOREAL-FRANCE/ (BUSINESS FEATURE), moved at 0003, pix, by Astrid Wendlandt, 900 words)

See also LOREAL-FRANCE/STYLISTS, 400 words

WASHINGTON - As world leaders meet this weekend to shore up the global financial system, 94-year-old Jacques Polak, one of the delegates to the 1944 Bretton Woods conferences, says the 64-year-old system is not the problem (FINANCIAL/BRETTONWOODS