European Indexes Slump; Saab Wins SEK1.16 Billion Order

Arthi Gupta
11 Mar, 2011
New York City

The European indexes plunged after Japan was hit by an earthquake of 8.9 that triggered tsunami with waves 10 meters high. Sweden-based Saab won order for weapon system. Brainspark signed deal with Italy-based Gruppo Bancario Mediterraneo. Fraport annual net surged 80%.

[R]1:00 PM Frankfurt – The European indexes plunged after Japan was hit by an earthquake of 8.9 that triggered tsunami with waves 10 meters high. Sweden-based Saab won order for weapon system. Brainspark signed deal with Italy-based Gruppo Bancario Mediterraneo. Fraport annual net surged 80%.[/R]

World markets slumped after a devastating earthquake, measuring 8.9 on the Ritcher''s scale struck northern Japan triggering a tsunami and causing extensive damage and fires in the capital Tokyo.

The largest earthquake to hit Japan for over a century according to Japan Meteorological Agency struck at 2:46 p.m. local time.

Tsunami waves said to be 10 meters high hit Japan''s Miyagi and Fukushima prefectures, officials said.

Initial reports say that more than twenty people have been confirmed dead but given the scale of the devastation the death toll is expected to rise.

Philippines, Indonesia, Taiwan, the Pacific coast of Russia and Hawaii have received tsunami warnings.

The natural calamity overshadowed other global concerns like the Libyan and euro-zone sovereign debt crisis. In Saudi Arabia, police resorted to firing on its first protest and more protests are planned today.

China’s inflation in February increased 4.9% from a year ago month, the same rate of increase in January, according to the National Bureau of Statistics.

Industrial production expanded 14.1% in the first two months of 2011 following the 13.5% rise in December. The annual increase in production for February was 14.9%.

In Paris CAC-40 index declined 42.36 or 1.07% to close at 3,921.63 and in Frankfurt DAX index edged lower 75.90 or 1.07% to close at 6,987.19.

For the week, the CAC-40 index plunged 2.37%.

ACE USA Reorganizes Medical Liability Group

ACE USA, the U.S.-based retail operating division of the ACE Ltd. group, said it has reorganized its medical liability group into two operating units, ACE Medical Risk and ACE Life Sciences.

The two units will serve the unique insurance and risk management needs of the medical malpractice and life sciences markets.

Saab Receives Order for Weapon System

Saab AB, the defense and security company received an order for ammunition to the Carl-Gustaf man-portable weapon system. The order of SEK1.16 billion will resume its delivery in September 2011 and continue through 2012 and the order includes an option of about SEK500 million with deliveries in 2013.

However, Saab did not disclose information regarding the customer.

Rolls-Royce Launches Marine Service Centre in Rotterdam

Rolls-Royce Group plc said it opened its newly expanded and modernized Marine Service Centre in the Port of Rotterdam.

The facility, located in Pernis, Rotterdam serves a variety of customers from the commercial and offshore sectors, as well as the Royal Dutch Navy. It can repair and overhaul the full range of Rolls-Royce diesel and gas engines, thrusters, steering gear and propellers.

Brainspark in Deal with Gruppo Bancario Mediterraeo

Brainspark plc said it entered into an agreement with Gruppo Bancario Mediterraneo Holding SpA, or GBM Holding.

Under the agreement, GBM Holding will coordinate a fund raising program in Italy on behalf of Brainspark of up to €10 million.

Gainers & Losers

BASF SE fell 0.83% to €58.24 after the chemicals maker said that it plans to place up to around 19.7 million shares of K+S AG, representing 10.3% of the company''s share capital, with institutional investors in an accelerated book-building deal.

Bankinter SA dipped 0.57% to €4.55 after the Spanish lender needs €333 million in new capital to meet the new criteria of a core Tier-1 capital ratio, the central bank said.

Eni S.p.A. slipped 0.74% to €17.46 after the integrated energy company targets production growth to increase over 3% annually in the 2011- 2014 period, a higher growth rate compared to the previous plan.

Fraport AG declined 0.93% to €50.25 after the operator of the Frankfurt International Airport reported fiscal year 2010 total revenue rose 9% to €2.28 billion from €2.10 billion in the previous year.

In 2010, revenues surged 80% to €262.9 million or 2.85 euros per share from €146.4 million or 1.59 euros per share a year earlier, helped by passenger traffic growth and lower tax.

The German transportation group also reported higher passenger traffic for the month of February 2011, with an 8.1% rise in the number of passengers at the Frankfurt airport.

ThromboGenics NV gained 0.48% to €20.79 after the Belgian biotech firm said it plans to file for U.S. and European approval for its eye- disorder microplasmin drug in the second half of 2011.