Wednesday, April 10, 2002

Japanese banks suffer worse-than-expected loan losses, probe finds "A government investigation has found that losses related to bad loans at Japan's 13 major banks are likely higher than previously thought, a newspaper reported Tuesday. The Financial Supervisory Agency discovered the figure to be $15.2 billion more than the $49.2 billion estimated in September ... " "The Japanese government estimates there are $323 billion in bad loans throughout Japan's banking system. Private analysts say the figure could be much higher. The government is promising to clean up the bad debts in three years, a move task analysts say is necessary before Japan can begin to emerge from its decade-long economic slump." ... [more] 4:56:16 AM  Google It!  comment  []

Venezuela Woes Worsen as State Oil Company Calls Strike "A six- week tussle over President Hugo Chávez's management of the state oil company has turned into his most serious crisis, with exports of oil disrupted by a labor slowdown and a general strike called for Tuesday by labor and business leaders." "Government ministers said today that exports of oil and refined products remained normal for Venezuela, the world's No. 4 exporter. But analysts and executives from Petróleos de Venezuela said a five-day work slowdown among oil workers and managers had forced a scaling back of operations at several refineries and a cutback in production at wellheads, all of which has disrupted oil shipments to the United States and other countries." "The showdown that has churned up the current crisis began when Mr. Chávez, a left-leaning former army paratrooper who won office in 1998, took on the management of Petróleos de Venezuela, a behemoth with 40,000 employees. Calling it a 'state within a state' that sapped resources while benefiting a small number of high-flying executives, Mr. Chávez in February fired the company president, a general whom he had appointed months earlier, and appointed five board members with ties to his administration." " . . . the Amuay Cardón refinery, which processes 950,000 barrels of crude daily and is a crucial supplier of finished oil products to the United States, had reduced operations. At least two other installations, the Palito refinery on the north-central coast and Puerto La Cruz to the east, halted operations . . . " "Through it all, Mr. Chávez has refused to back down or acknowledge that the slowdown could hurt Venezuela, whose economy relies on oil for 80 percent of exports and 50 percent of government revenues." ... [more] 4:25:57 AM  Google It!  comment  []