Adidas

123jump.com Staff
06 Jul, 2009
New York City

Adidas completes

[R]9:00 PM Frankfurt, Paris; 3:00 PM New York – Adidas completes €500 million debt offering. Thyssen Krupp cancels sale industrial service unit. BASF will eliminate 3,700 positions and close 23 facilities of the recently acquired Ciba Holdings facilities.[/R]

European stocks closed lower after energy, industrials and commodities linked companies declined.

In Paris CAC 40 Index decreased 37.35 or 1.20% to close at 3,082.16 and in Frankfurt DAX index lower 56.39 or 1.20% to close at 4,651.82.

Euro increased to $1.3961 and to 0.8590 pound.

Gainers & Losers

Steelmakers declined after Thyssen canceled its plan to sell its industrial service unit. Thyssen dropped 2.8% to €16.51 and Salzgitter AG declined 2.9% to €58.38.

Volkswagen declined 3.5% to €225.60 and Porsche SE fell 3.1% to €45.86 and Porsche spokesman denied that the company received five buyers for its stake in Volkswagen as reported in Handelsblatt.

Demag Cranes AG dropped 4.3% to €14.99 after the chief executive of the company cautioned tough times for the next two years according to comments made to a local newspaper.

Adidas AG declined 0.6% to €26.34 after it completed offering of €500 million euros. The 5-year bond was priced with a spread of 200 basis points above the respective Euro mid-swap the reference for any debt issuance in the capital markets. The bond pays annual interest rate of 4.750%. The notes will be listed on the Luxembourg Stock Exchange.

BASF SE declined 0.2% to €27.60 after it announced its plans to restructure recently acquired Ciba Holding AG. The chemical maker will close down 23 of the recently acquired 55 plants of Ciba and restructure the remaining 32 to save €400 million a year from 2012 onwards. The integration of two companies is expected to cost €500 million.

The company will reduce staff of 3,700 by 2013 and majority will be eliminated by 2010.

Lafarge SA declined 1.9% to €43.39 after the cement maker reported first quarter revenues declined 10% and net income plunged 80.4%.

Societe Generale SA dropped 1.7% to €37.25 estimated €1.3 billion in negative impact from the hedging position to the Collateralized Debt Securities on the net banking income. The bank also guided its Tier 1 and core Tier 1 ratio close to the level reported in March 2009.

Total SA declined 2% to €36.95 after crude oil prices edged lower to $65 a barrel.

Europe Markets Review

In London FTSE 100 Index closed lower 41.37 or 0.98% to 4,194.91, in Paris CAC 40 Index decreased 37.35 or 1.20% to close at 3,082.16 and in Frankfurt DAX index lower 56.39 or 1.20% to close at 4,651.82. In Zurich trading SMI increased 15.64 or 0.29% to close at 5,354.15.

DAX Index Movers

Commerzbank AG led the decliners in the DAX index of 5.50% followed by losses in Volkswagen AG of 3.40%, in Deutsche Bank AG of 3.04%, in ThyssenKrupp AG of 2.99%, in BMW AG of 2.90%.

Deutsche Lufthansa AG led gainers in the DAX index with a rise of 2.46% followed by increase in Metro AG of 0.69%, in Deutsche Boerse AG of 0.48%, in Merck KGaA of 0.35%, in Fresenius Medical Care AG & Co. KGaA of 0.03%.

CAC-40 Index Movers

ArcelorMittal led the decliners in the CAC-40 index of 4.72% followed by losses in Alcatel Lucent of 3.73%, in Compagnie de Saint-Gobain SA of 3.59%, in Electricite de Strasbourg SA of 3.55%, in AXA of 2.95%.

Air France-KLM gainers in the CAC-40 index with a rise of 2.24% followed by gains in Essilor International SA of 2.08%, in EADS NV of 1.08%, in Sanofi-Aventis of 0.90%, in Cap Gemini SA of 0.72%.

FTSE 100 Index Movers

Of the stocks in the FTSE 100 index, 39 increased, 60 declined and 3 were unchanged.

Lonmin Plc decliners in the FTSE 100 index with a loss of 8.54% followed by losses in Xstrata plc of 7.45%, in Rio Tinto plc of 6.96%, in Kazakhmys PLC of 6.11%, in Old Mutual plc of 5.48%.

Reckitt Benckiser Group Plc led gainers in the FTSE 100 index with a rise of 2.52% followed by increase in Rexam PLC of 1.83%, in Cadbury plc of 1.81%, in British American Tobacco plc of 1.75%, in Unilever PLC 1.75%.