Major International Business Headlines Brief::: 28 February 2018b

Wed Feb 28 12:45:38 CAT 2018

 <http://www.bulls.co.zw/> Bulls.co.zw        <mailto:bulls at bulls.co.zw>
Views & Comments        <http://www.bulls.co.zw/blog> Bullish Thoughts
<http://www.twitter.com/BullsBears2010> Twitter
<https://www.facebook.com/BullsBearsZimbabwe> Facebook
<http://www.linkedin.com/pub/bulls-n-bears-zimbabwe/57/577/72> LinkedIn
<mailto:info at bulls.co.zw?subject=Unsubscribe> Unsubscribe

Major International Business Headlines Brief::: 28 February 2018

 <http://www.mbca.co.zw/> 

*  Zimbabwe to impose tax on platinum miners who don't refine in country

*  Zimbabwe says has potential to meet 20 pct of global lithium demand

*  S&P downgrades South Africa's Eskom, says default possible in next six
months

*  South Africa's new finance minister Nene to meet credit rating agencies

*  South Africa's January credit demand growth slows to 5.54 pct

*  Angola oil production declines slightly in 2017, profits rise

*  Total targets final decisions on Myanmar, Ivory Coast LNG projects this
year

*  Gabon accuses France's Veolia of polluting amid concession dispute

*  Ghana to tighten controls on gold exports to protect revenues

*  iQiyi: 'China's Netflix' to list on US stock market

*  Takata airbag scandal: Australia recalls 2.3 million cars

*  Toys R Us UK goes into administration

*  ITV profits drop in tough advertising market

 <mailto:info at bulls.co.zw> 

Zimbabwe to impose tax on platinum miners who don't refine in country

HARARE (Reuters) - Zimbabwe will impose a 15 percent penalty tax next year
on exports of platinum producers who do not build refining facilities in the
southern African country, Vice President Constantino Chiwenga told a mining
conference on Wednesday.

 <mailto:info at bulls.co.zw> 

Zimbabwe says has potential to meet 20 pct of global lithium demand

HARARE (Reuters) - Zimbabwe aims to supply 10 percent of the world’s lithium
and could reach 20 percent, the mines minister from Africa’s top producer of
the alkali metal used in batteries for electric vehicles said on Wednesday.

“We believe we have the potential to actually account for 20 percent of
global demand when all known lithium resources are being exploited,” Winston
Chitando told a mining investment conference in the capital, Harare.

Zimbabwe is a top 10 of lithium producer but currently produces only a
fraction of the worldwide total.

Prices for lithium have more than doubled in the past two years on forecasts
for massive demand from the electric vehicle industry. That has sparked work
on a flurry of new mines and expansion plans for existing ones.

Zimbabwe, where investor sentiment has been lifted by the ousting last year
of former president Robert Mugabe after almost four decades in power, is
keen to attract fresh capital to its mining sector and is pushing lithium as
a major draw.

South Africa's rand flat as hawkish Fed chair comments weigh

JOHANNESBURG (Reuters) - South Africa’s rand traded flat early on Wednesday
after losing ground against the dollar overnight as comments by the new
chairman of the Federal Reserve reignited bets of higher interest rates in
the United States.

At 0650 GMT the rand was 0.02 percent firmer at 11.7225 per dollar compared
to an overnight close of 11.7250 overnight in New York.

The rand hit a session-low of 11.7725 following new Fed chair Chairman
Jerome Powell’s upbeat views on the economy, which stoked bets on further
interest rate hikes this year and lifted the greenback to near a three-week
high.

South African lawmakers on Tuesday voted in favour a motion seeking to
change the constitution to allow land expropriation without compensation, a
move that could spook investors according to some analysts.

In data statistics South Africa publishes January producer inflation figures
at 0930 GMT while trade balance figures are due at 1200 GMT.

Bonds were weaker, with the yield on the benchmark paper due in 2026 up 4
basis points at 8.155 percent.

Stocks opened lower at 0700 GMT, with the JSE securities exchange’s Top-40
index down 1.2 percent at 51,390 points.

S&P downgrades South Africa's Eskom, says default possible in next six
months

JOHANNESBURG (Reuters) - S&P Global Ratings downgraded the credit rating for
South Africa’s state-run power utility Eskom to CCC+ from B- on Wednesday,
citing liquidity concerns and insufficient government support that could
trigger a default.

“Eskom remains at risk of facing a distressed exchange situation or default
in the next six months despite securing 30 billion rand ($2.56 billion) in
short-term funding from local and international funders so far this year,”
the agency said in a statement.

($1 = 11.7194 rand)

South Africa's new finance minister Nene to meet credit rating agencies

CAPE TOWN (Reuters) - South Africa’s newly appointed Finance Minister
Nhlanhla Nene said on Tuesday after being sworn into office that his
department has lined up meeting with rating agencies.

Speaking to Reuters minutes after being sworn in parliament, Nene said it
was too early say if South Africa will be downgraded by Moodys, which rates
the country a notch above junk, and is due to make decision at the end of
March.

“There are meetings already lined up with the ratings agencies, because
after the budget there is a programme to do just that,” Nene told Reuters in
the president’s office in parliament on Tuesday.

“It is too early to say,” Nene said in response to a question as to whether
he thought Moody’s would downgrade South Africa’s credit rating.

South Africa's January credit demand growth slows to 5.54 pct

JOHANNESBURG (Reuters) - Growth in South Africa’s private-sector credit
demand fell to 5.54 percent in January from 6.72 percent in December,
central bank data showed on Wednesday.

Expansion in the broadly defined M3 measure of money supply slowed to 5.83
percent in January, from 6.42 percent in the prior month.

Angola oil production declines slightly in 2017, profits rise

LUANDA (Reuters) - Oil production for Angola, Africa’s No. 2 crude producer,
averaged 1.632 million barrels per day in 2017, down from 1.72 million
barrels the previous year, the chairman of the state-run oil company
Sonangol said on Wednesday.

Angola has been grappling with the effects of generally depressed oil prices
on its government finances but is constrained from lifting production
because it is committed to OPEC-mandated cuts.

Angola is a member of the Organization of the Petroleum Exporting Countries,
and it must limit output in line with OPEC’s commitment to cut output by
about 1.2 million barrels per day (bpd) as part of a deal with Russia and
others.

Sonagol chairman Carlos Saturnino also told a media briefing that the net
profit for Sonangol, which regulates Angola’s oil sector, was $224 million
in 2017 versus $81 million the previous year when oil prices were lower.

It was his first briefing since Angola President João Lourenço fired Isabel
dos Santos, daughter of his presidential predecessor, from the helm of
Sonangol.

Lourenço took power in September and is seeking to win credibility with
international investors and shed Angola’s image as an opaque oil economy
with rampant corruption.

Total targets final decisions on Myanmar, Ivory Coast LNG projects this year

SINGAPORE (Reuters) - France’s Total expects to take a final investment
decision (FID) on liquefied natural gas (LNG) import projects in Myanmar and
Ivory Coast this year as part of the oil major’s expansion into emerging
markets, an executive said on Wednesday.

Jean-Pierre Mateille, vice president of trading at Total Gas & Power UK,
said the company should reach FID for a project in Myanmar with a floating
storage and regasification unit (FSRU), LNG supply and two power plants in
the second half of 2018.

Total is ready to trigger its second major LNG infrastructure project in
Ivory Coast as soon as the government gives the green light, he added.

Gabon accuses France's Veolia of polluting amid concession dispute

LIBREVILLE (Reuters) - Gabon accused French environmental services group
Veolia on Tuesday of widespread pollution at SEEG, the power and water
utility it operates there, amid a growing dispute over the company’s
concession.

Veolia, which has already threatened legal action after the government
seized SEEG earlier this month and said it would cancel its concession,
rejected the accusations.

Speaking to reporters in the capital Libreville, government spokesman
Alain-Claude Bilie By Nze said an environmental inspection of power and
water pumping stations discovered “nearly all” SEEG sites were contaminated
by petroleum waste.

“This is a very serious situation since, at this stage, aside from the
obvious environmental damage, no one knows the consequences this pollution
could have had or could have on public health,” he said.

He said that on top of legal penalties of up to 500 million CFA francs
($946,110) for each polluted site, Gabon would force SEEG to shoulder the
clean-up costs.

Responding to the accusations, Veolia stated that the water it distributed
continued to conform to World Health Organization standards and Gabonese
regulations.

“It is surprising that none of the inspections of the public authorities ...
ever highlighted environmental damage,” it said. “The SEEG is subject to
regular audits by the Gabonese authorities, more than 10 in the last 10
years.”

Negotiations between the government and Veolia over the concession broke
down in October, and authorities seized SEEG earlier this month, citing
years of poor service quality.

Veolia in turn blamed the government for failing to live up to its
investment obligations, and on Tuesday said the state owed SEEG over 29
billion CFA francs in consumption charges and unpaid value-added tax
reimbursements.

Gabon spokesman Bilie by Nze said the government had called for an audit of
its 13 billion CFA consumption bill.

He rejected accusations it had neglected SEEG and said the state had
invested around 1 trillion CFA francs in the company, around three times
more than Veolia.

($1 = 528.4800 CFA francs)

Ghana to tighten controls on gold exports to protect revenues

ACCRA (Reuters) - Ghana will certify the value of gold exports as part of
efforts to tighten controls on the sector to ensure the state receives the
revenues it is due, the vice president said on Tuesday.

Ghana, Africa’s second largest gold miner after South Africa, earned $5.78
billion from exports of the metal last year, up 17.6 percent on 2016,
central bank data showed.

Vice-President Mahamudu Bawumia told a regional meeting on the oil and
mining sectors that Ghana’s previous administration had allowed companies to
assay gold produced from their mines themselves.

However, he said Ghanaian law required that the state-run Precious Minerals
Marketing Company test and validate mineral production before export.

“We have now begun conversations about the process of making sure every
single bar of gold leaving our shores is properly weighed, tested, valued
and accounted for,” Bawumia said.

The government was also considering passing legislation stating that at
least 50 percent of Ghana’s gold output would be refined locally within five
years, he said.

Bawumia did not accuse any mining firms of wrongdoing and did not suggest
past exports had been undervalued.

But President Nana Akufo-Addo, who took office last year, has said about $5
billion worth of revenues from gold exports to the United Arab Emirates were
unaccounted for.

He did not give a timescale or details to support the claim, but industry
watchers believe the unreported shipments represented smuggled gold produced
by Ghana’s thousands of artisanal miners, whose activities are not properly
documented.

The government has banned small-scale mining as part of a general clamp-down
on illegal miners last year. Their activities have heavily polluted some
fresh water supplies and in some instances obstructed the operations of
concession holders.

Mining firms operating in Ghana include Newmont Mining Corporation, Gold
Fields, Anglogold Ashanti and Asanko Gold.

iQiyi: 'China's Netflix' to list on US stock market

Chinese video streaming service iQiyi - often called China's Netflix - has
filed to be listed on the US stock market.

Owned by online giant Baidu, it plans to raise $1.5bn (£1.1bn) through an
initial public offering on the Nasdaq.

iQiYi had more than 50 million subscribers by the end of 2017 and an average
of more than 420 million mobile users per month, according to Reuters.

But while revenues have risen in recent years, iQiyi has never posted a
profit since it launched in 2010.

In China, it competes with fellow streaming platforms Youku Tudou, which is
owned by Alibaba, and Tencent Video.

In April 2017, iQiyi signed a licensing agreement with Netflix to steam some
of the US provider's original content including Stranger Things and Black
Mirror.

iQiyi posted a net loss of 3.7bn yuan (£425m; $592m) for 2017 compared with
3.1bn yuan the previous year, though revenue jumped by 55% to 17.4bn yuan.

Baidu, which founded the business as Qiyi before later changing its name to
iQiyi, is itself listed in the US.--bbc

Takata airbag scandal: Australia recalls 2.3 million cars

The Australian government has ordered a compulsory recall of 2.3 million
cars due to faulty Takata airbags.

Exploding airbags have been linked to at least 23 deaths worldwide,
including one in Australia, the government said.

The move adds to a global recall of more than 100 million vehicles - the
biggest in automotive history.

The Australian Competition and Consumer Commission said it was also the
largest ever compulsory recall of a product in the nation, and the first to
hit cars.

Voluntary recalls conducted previously had not done enough to protect
drivers, said Assistant Minister to the Treasurer Michael Sukkar.

"It is the safety of all Australians which is the first priority of this
government," he said on Wednesday.

Mr Sukkar ordered manufacturers to replace dangerous units within two years.

Factoring in previous recalls, about four million cars - comprising two in
seven Australian vehicles - had been affected, he said.

It follows a recommendation from the ACCC, the nation's consumer watchdog,
which investigated allegations that carmakers had been refitting faulty
airbags with identical devices.

The airbags contain a defect which can cause ageing units to expand too
quickly and spray metal shrapnel into cars, harming drivers and passengers.

Japanese manufacturer Takata and its US arm, TK Holdings, filed for
bankruptcy last year.

The company is facing billions of dollars in penalties worldwide. Last week,
TK Holdings reached a settlement with 44 US state attorneys-general.

Toys R Us UK goes into administration

Toys R Us has gone into administration, putting 3,000 UK jobs at risk.

Administrators have been appointed to begin "an orderly wind-down" of the
UK's biggest toy retailer following the failure to find a buyer.

They said that all 105 Toys R Us stores will remain open until further
notice.

Joint administrator Simon Thomas said: "Whilst this process is likely to
affect many Toys R Us staff, whether some or all of the stores will close
remains to be decided."

Toys R Us has been facing a £15m tax bill. However, poor sales have made it
unlikely that it can make the payment.

Mr Thomas said: "We will make every effort to secure a buyer for all or part
of the business.

"The newer, smaller, more interactive stores in the portfolio have been
outperforming the older warehouse-style stores that were opened in the 1980s
and 1990s."

The UK arm of Toys R Us - its US owner filed for bankruptcy protection last
September - managed to stave off administration in December after it struck
an agreement with the Pension Protection Fund (PPF) to inject £9.8m into its
retirement scheme over three years.

The tally of job losses may worsen if Maplin, the electronics retailer, also
files for administration.

Maplin employs 2,500 workers and has been attempting to find a buyer for the
struggling business, but it is understood that talks with a potential suitor
have now broken down.

What does this mean for shoppers?

A large sale of remaining products at Toys R Us is expected. The
administrators said this would happen in stores only, as the online service
and click-and-collect will be closed immediately.

Shoppers who have ordered an item already on click-and-collect can still
pick it up, but only if that item is still available in stock.

Anyone with Toys R Us gift cards and vouchers should spend them in stores as
soon as possible before the shops are closed down. No more gift cards will
be sold.

The retailer had a "take time to pay" service, which allowed customers to
reserve a product and then pay for it gradually for 12 weeks, before picking
it up. The administrators said these reservations would be honoured,
provided that the outstanding balance was paid and the goods collected by 11
March.

Customers can use their deposits towards the cost of any other item bought
in a store by 11 March.--bbc

ITV profits drop in tough advertising market

ITV has reported a fall in annual pre-tax profit due to "ongoing economic
and political uncertainty" in the UK.

The UK's biggest commercial broadcaster said profit in 2017 fell 10% to
£500m, with a drop in advertising revenue partly offset by growth in its
studios business.

ITV shares dropped nearly 7% in early trading on the London Stock Exchange.

Chief executive Carolyn McCall said its 2017 performance was "strong" in a
"challenging environment".

She expects 2018 advertising revenue to be up 1% in the first quarter, with
a boost from football in the second quarter.

The World Cup, which ITV shares with the BBC, starts in June.

Ms McCall, who joined ITV from Easyjet in January, said that the advertising
environment in the UK had been tough.

"The uncertainty has undoubtedly had an impact on the demand for television
advertising and therefore as expected ITV's financial performance," she
said.

The weaker pound and accompanying inflationary pressures led to some
advertisers reducing spending, she said.

High Street retailers and entertainment and leisure businesses had cut their
TV ad spending, but supermarkets had increased it.

ITV "had a great start to 2018", she said.

ITV's share of the number of TV viewers has grown this year, while online
viewing has had double-digit growth, she said.--bbc

INVESTORS DIARY 2018

Company

Event

Venue

Date & Time

Powerspeed

AGM

Boardroom, Gate 1, Powerspeed Complex, Corner Cripps Road and Kelvin Road
North, Graniteside

01 Mar 2018 11am

Proplastics

final dividend of 0.26c record date

02 Mar 2018

Simbisa Brands Limited

EGM

SAZ Building Northend Close, Northridge Park, Borrowdale

09 Mar 2018 8:15am

CFI

AGM

Farm & City Boardroom, 1st Floor, Farm & City Complex, 1 Wayne Street

12 Mar 2018 11am

 <mailto:info at bulls.co.zw> 

DISCLAIMER: This report has been prepared by Bulls ‘n Bears, a division of
Faith Capital (Pvt) Ltd for general information purposes only and does not
constitute an offer to sell or the solicitation of an offer to buy or
subscribe for any securities. The information contained in this report has
been compiled from sources believed to be reliable, but no representation or
warranty is made or guarantee given as to its accuracy or completeness. All
opinions expressed and recommendations made are subject to change without
notice. Securities or financial instruments mentioned herein may not be
suitable for all investors. Securities of emerging and mid-size growth
companies typically involve a higher degree of risk and more volatility than
the securities of more established companies. Neither Faith Capital nor any
other member of Bulls ‘n Bears nor any other person, accepts any liability
whatsoever for any loss howsoever arising from any use of this report or its
contents or otherwise arising in connection therewith. Recipients of this
report shall be solely responsible for making their own independent
investigation into the business, financial condition and future prospects of
any companies referred to in this report. Other  Indices quoted herein are
for guideline purposes only and sourced from third parties.

(c) 2018 Web: <http:// www.bulls.co.zw >  www.bulls.co.zw Email:
<mailto:info at bulls.co.zw> info at bulls.co.zw Tel: +263 4 2927658 Cell: +263 77
344 1674

Invest Wisely!

Bulls n Bears 

Telephone:      <tel:%2B263%204%202927658> +263 4 2927658

Cellphone:      <tel:%2B263%2077%20344%201674> +263 77 344 1674

Alt. Email:       <mailto:info at bulls.co.zw> info at bulls.co.zw  

Website:
<http://www.google.com/url?q=http%3A%2F%2Fwww.bulls.co.zw&sa=D&sntz=1&usg=AF
QjCNH8LYgdY55h-XKseuM8Kpr-JKdfhQ> www.bulls.co.zw 

Blog:
<http://www.google.com/url?q=http%3A%2F%2Fwww.bulls.co.zw%2Fblog&sa=D&sntz=1
&usg=AFQjCNFoIy6F9IXAiYnSoPSgWDYsr8Sqtw> www.bulls.co.zw/blog

Twitter:         @bullsbears2010

LinkedIn:       Bulls n Bears Zimbabwe

Facebook:
<http://www.google.com/url?q=http%3A%2F%2Fwww.facebook.com%2FBullsBearsZimba
bwe&sa=D&sntz=1&usg=AFQjCNGhb_A5rp4biV1dGHbgiAhUxQqBXA>
www.facebook.com/BullsBearsZimbabwe

Skype:         Bulls.Bears 

-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20180228/966d1a74/attachment-0001.html>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image001.jpg
Type: image/jpeg
Size: 3653 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20180228/966d1a74/attachment-0006.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image002.jpg
Type: image/jpeg
Size: 15037 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20180228/966d1a74/attachment-0007.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image003.jpg
Type: image/jpeg
Size: 29401 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20180228/966d1a74/attachment-0008.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image004.jpg
Type: image/jpeg
Size: 29388 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20180228/966d1a74/attachment-0009.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image005.jpg
Type: image/jpeg
Size: 29420 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20180228/966d1a74/attachment-0010.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image006.jpg
Type: image/jpeg
Size: 4846 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20180228/966d1a74/attachment-0011.jpg>