Major International Business Headlines Brief::: 21 October 2019

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Major International Business Headlines Brief::: 21 October 2019

 


 

 


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*  Shell Egypt to sell assets in Western Desert

*  Telecoms group Orange to sell subsidiary in Niger

*  Barrick Gold reaches deal with Tanzania over Acacia Mining

*  Egypt's Qalaa Holdings to increase production capacity to 5.5 mln tons
per year

*  African debt stabilising but region faces headwinds - IMF

*  Nigerian cenbank injects $325 mln, 14 mln yuan into currency market

*  Morocco forecasts stable 2020 fiscal deficit of 3.5%

*  Kenya's president refuses to sign the budget over rate cap

*  South Africa's rand firmer on release of new power plan

*  Coal to play significant role in South Africa power mix - minister

*  Pound slips in early trading after delay on Brexit vote

*  Are US billionaires really going to pay more tax?

*  'Brexit uncertainty is harming my business'

*  Brexit date downplayed in government advertising shift

*  Asbestos discovery triggers Johnson & Johnson baby powder recall in US

 

 


 <mailto:info at bulls.co.zw> 

 


 

Shell Egypt to sell assets in Western Desert

CAIRO (Reuters) - Royal Dutch Shell plans to sell its onshore upstream
assets in Egypt’s Western Desert to focus on expanding its Egyptian offshore
gas exploration, Shell Egypt said on Sunday.

 

Having won three oil and two gas concessions in Egypt last February, senior
executive last week told Reuters that the company would start operating the
new areas in the second half of next year.

 

“We remain committed to Egypt and see our future in supporting the
government’s energy hub vision by growing Shell positions across the
offshore and LNG value chain,” Wael Sawan, Shell upstream director, said in
a statement.

 

“This is where we can best leverage our expertise, deliver the strongest
added value to Egypt and optimise our portfolio to ensure the company
delivers a world class investment case.”

 

Shell Egypt Chairman Khaled Kacem said that he expects talks with potential
buyers of the Western Desert assets to start in the final quarter of this
year.

 

 


 <mailto:info at bulls.co.zw> 

 


 

Telecoms group Orange to sell subsidiary in Niger

NIAMEY (Reuters) - French telecoms group Orange is selling its business in
Niger, a company spokesman said on Sunday.

 

Orange Niger spokesman Roni Alhassane said discussions were ongoing with the
buyer, Zamani Com S.A.S., to settle debts owed to creditors and unpaid
taxes.

 

Orange’s operations in Niger have been hit by difficult market conditions.
In February, Orange said it was considering all options for the business and
that a Niger court appointed an expert earlier this year to examine its
situation and support its negotiations with creditors.

 

 

 

Barrick Gold reaches deal with Tanzania over Acacia Mining

(Reuters) - Barrick Gold Corp said it had reached a deal to settle a
long-running tax dispute between Tanzania and mining group Acacia, which
Barrick bought in a $1.2 billion transaction approved by a British court
last month.

 

The tax deal includes the payment of $300 million to settle outstanding tax
and other disputes, the lifting of a concentrate export ban, and the sharing
of future economic benefits from mines on a 50-50 basis, Barrick said in a
statement on Sunday.

 

“Barrick is definitely back in Tanzania,” Barrick president and chief
executive Mark Bristow told reporters in Dar es Salaam, Tanzania’s
commercial capital on Sunday.

 

“A true partnership can only be described when you have 50/50 and our joint
venture with the government of Tanzania is exactly that - a committed
partnership to develop Tanzania’s gold assets for the benefit of all
stakeholders,” said Bristow.

 

A new operating company named Twiga Minerals will be formed to manage the
Bulyanhulu, North Mara and Buzwagi mines after a review by Tanzania’s
attorney general, the statement added.

 

Under the agreement, the Tanzanian government will also buy a 16%
shareholding in each of the mines.

 

“This company has been registered in Tanzania and it will be headquartered
in Mwanza, Tanzania,” Palamagamba Kabudi, Tanzania’s foreign minister said.

 

Kabudi, speaking at the news conference, said the deal marked a new
partnership with Barrick under the new Twiga Minerals name.

 

“Twiga will make our new partnership an example to other mining ventures who
are investing in Tanzania and who want to invest in Tanzania.”

 

He said details of the deal would be submitted to the country’s attorney
general for review and he expected that to be completed by November 15.

 

An Africa-focused international dispute resolution framework will also be
established as part of the agreement, Barrick said.

 

The deal comes days after the Canadian company fell short of analysts’
estimates for third-quarter gold production due to low output at its North
Mara mine in Tanzania.

 

 

 

Egypt's Qalaa Holdings to increase production capacity to 5.5 mln tons per
year

CAIRO (Reuters) - Egypt’s Qalaa Holdings, one of the country’s largest
investment companies, will operate 100% of its refinery units in January and
increase its refinery production capacity to 5.5 million tons per year, the
company’s chairman told Reuters.

 

Ahmed Heikal also said the company will offer shares of Taqa Arabia and Arab
Refining Co in Q2 and Q4 2020 on the stock market, without giving details of
the quantity of shares to be sold.

 

 

 

African debt stabilising but region faces headwinds - IMF

JOHANNESBURG (Reuters) - Sub-Saharan Africa’s public debt load is
stabilising but the region’s economies face mounting headwinds due to
slowing global growth that will weigh on exports, the International Monetary
Fund (IMF) said on Friday.

 

The IMF has previously warned of the continent’s rising debt burden, largely
the result of borrowing to plug gaping budget deficits in mineral- and
oil-producing countries that followed commodities and crude oil slumps.

 

In its regional economic outlook, the Fund said public debt as a percentage
of GDP had settled at about 55% on average.

 

“What we’ve seen overall in the region is, by and large, debt levels
beginning to stabilise,” Abebe Aemro Selassie, director of the IMF’s African
Department, told Reuters.

 

“Going forward I expect it to remain stable provided countries implement the
budgets that they’ve formulated.”

 

Still, seven countries - Eritrea, Gambia, Mozambique, Congo Republic, Sao
Tome and Principe, South Sudan and Zimbabwe - are in debt distress, the IMF
said. Nine others including Ethiopia, Ghana and Cameroon are at high risk of
debt distress.

 

“NOT UNAFFECTED”

The IMF projected regionwide economic growth of 3.2% this year, trimming an
April forecast of 3.5%. It sees growth accelerating to 3.6% next year
compared to its April projection of 3.7%.

 

Those forecasts are more optimistic than World Bank projections released
this month.

 

The Fund blamed the downward revision on suppressed global growth linked to
trade tensions between the United States and China as well as output
disruptions in African oil-exporting countries and weaker than expected
growth in South Africa.

 

“The region is not unaffected by what’s going on globally,” Selassie said.

 

The continent’s most developed economy, South Africa is expected to grow
just 0.7% this year and 1.1% in 2020, according to the report. Leading oil
exporter Nigeria will grow 2.3% this year and 2.5% next.

 

The region’s third biggest economy, Ethiopia, which is pursuing an ambitious
reform programme under Nobel Prize-winning Prime Minister Abiy Ahmed, is on
track to record growth of 7.4% this year, the Fund said. That will slow
slightly to 7.2% in 2020.

 

More generally, non-resource intensive African economies are expected to
grow at an average of 6% this year, nearly three times faster than the
continent’s oil producers and more than twice as fast as other resource
exporters.

 

The IMF projects inflation in the region to ease to 8% in 2020 from 8.4%
this year. But, as with GDP growth, there are wide differences across
countries.

 

 

 

Nigerian cenbank injects $325 mln, 14 mln yuan into currency market

ABUJA (Reuters) - Nigeria’s central bank on Friday injected $325.5 million
and 14 million yuan renminbi ($1.98 million) into the market an effort to
keep it stable and prevent shortages.

 

A central bank spokesman said the dollar intervention was for agricultural
machinery and industrial raw materials, while the yuan renminbi was for
renminbi-denominated letters of credit.

 

On Tuesday, the bank offered $100 million to the wholesale market and $55
each to small businesses and individuals with certain dollar expenses such
as school fees and medical bills.

 

A central bank spokesman said the bank would continue to ensure adequate
liquidity in the market.

 

On Friday, $1 exchanged for 358 naira at the bureau de change segment, while
1 renminbi exchanged at 48 naira, the bank said.

 

($1 = 7.0805 Chinese yuan renminbi)

 

 

 

Morocco forecasts stable 2020 fiscal deficit of 3.5%

RABAT (Reuters) - Morocco’s fiscal deficit is expected to be unchanged at
3.5% of gross domestic product in 2020, the government’s draft budget
showed.

 

The estimate, which edges closer to meeting Morocco’s medium-term
debt-to-GDP goal of 3%, was based on expected privatisation receipts of 3
billion dirhams ($313 million), the document seen by Reuters shows.

 

Other factors influencing the deficit in 2020 include the cost of a public
wage hike set at 6 billion dirhams and the allocation of 26 billion dirhams
to boost the purchasing power of the poor, it said.

 

The cost of subsidies of sugar, semolina and cooking gas would be cut to
13.6 billion dirhams in 2020 from 18 billion this year.

 

The portion of the budget going to education would expand to 72.4 billion
dirhams while that of health would jump to 18.6 billion dirhams. Both have
been identified as priority spending areas in the draft budget.

 

Assuming an average cereals harvest of 7 million tonnes and an oil barrel
price at 67 dollars, growth is expected to stand at 3.7% in 2020 from 2.9%
in 2019.

 

The central bank and the International Monetary fund however, have said the
economy would only grow by 2.7% this year on the back of a lower cereals
yield due to a lack of rainfall.

 

 

The draft budget introduces tax incentives to encourage the declaration of
assets and the repatriation of cash in foreign currency, aiding Moroccan
banks which have been hit by falling deposits this year and bolster the tax
base in line with the government goal to bolster revenue.

 

The government plans to continue clearing the stock of value added tax
repayments by releasing next year 10 billion dirhams owed to public and
private enterprises. Morocco’s Doing Business ranking rose from 128 in 2010
to 60 in 2019.

 

Public investment would increase to 198 billion dirhams in 2020, from 195
billion this year.

 

 

 

Kenya's president refuses to sign the budget over rate cap

NAIROBI (Reuters) - Kenyan President Uhuru Kenyatta has demanded that
lawmakers remove a cap on commercial lending rates, refusing to approve the
2019/20 (July-June) budget unless the limit is lifted, a document sent to
parliament from the presidency showed on Thursday.

 

The move was the latest in a running dispute over the rates cap, which the
government and banking officials say is debilitating to the economy because
it stalls lending.

 

In 2016, the government limited rates banks can charge customers to four
percentage points above the central bank’s benchmark - currently 9% - saying
they were concerned about high rates.

 

Last month, lawmakers rejected a June request by the Treasury to remove the
cap, saying lenders had not proven they could be trusted to lower rates
without pressure.

 

The move was the second attempt by the government to repeal the cap after a
similar try last year was blocked by lawmakers.

 

“The capping of interest rates has not addressed the intended objective
particularly in expanding credit access,” Kenyatta said in the note to
parliament.

 

Kenyan bank shares surged on the Nairobi bourse after the news.

 

The cap has cut private sector credit growth as commercial banks cut off
millions of low-income customers deemed too risky to lend to, government
officials and bank executives say.

 

It has also had a knock-on effect on the real economy as credit-starved
businesses lay off workers and real estate developers find it hard to sell
homes to a credit-short market.

 

“Investors will react positively to this news, in light of the harmful
effects of the loan rate cap on Kenya’s growth prospects, and the
unnecessary complication that it creates for policy,” said Razia Khan, head
of research for Africa at Standard Chartered in London.

 

The central bank, which found in a study last year that the cap had probably
cut 0.4% from 2017’s economic growth, has complained that the cap has also
made it hard it to transmit its monetary policy signals.

 

It takes an average of 3-5 months longer for policy decisions to be
transmitted under the capping regime compared with a free interest rate
regime, Kenyatta said, citing research by the central bank.

 

Loansharks and other unregulated lenders have seized advantage of the gap
created by the cap, charging desperate borrowers exorbitant rates, he said.

 

Lawmakers have the option of removing the cap from the bill or overruling
the president if two thirds of the 349 members vote to override his
position, said Aden Duale, parliament’s majority leader.

 

“The house will deal with the matter in the next two weeks and will make a
decision,” Duale told Reuters.

 

Legislators who spoke to Reuters said it was too early to tell how the house
will vote but some agreed with the president.

 

“I’m in favour of repealing the cap. This cap is a just a decoration, just a
feel-good thing because we cannot get credit from banks. I’m also a
businessman,” said Moses Kuria, a lawmaker from Kenyatta’s ruling Jubilee
party.

 

 

 

South Africa's rand firmer on release of new power plan

JOHANNESBURG (Reuters) - South Africa’s rand inched firmer early on Friday,
clinging on to the strong gains it made in the previous session, after the
country’s cabinet approved a long-delayed plan for electricity generation.

 

At 0615 GMT, the rand was up 0.27% at 14.80 per dollar.

 

On Thursday, the currency had rallied from near the 15.00-mark to a
session-best 14.77, breaking a three-day losing streak triggered by state
power utility Eskom’s resumption of nation-wide controlled blackouts earlier
in the week.

 

Eskom has blamed unforeseen breakdowns at some of its coal-burning plants
for the power cuts, but analysts say they are a symptom of policy
uncertainty and weak management that has seen the company sink into more
than 450 billion rand ($30.46 billion) of debt.

 

The release of a new plan, replacing a previous blueprint not updated for
almost a decade, helped soothe fears about Eskom’s collapse, but the company
still does not have a permanent chief executive officer.

 

Eskom said late on Thursday it would cut back 1,000 megawatts (MW), but on
Friday morning the utility said the power cuts would be scaled up to 2,000
MW later in the day.

 

Bonds traded firmer, with the yield on the benchmark government paper due in
2026 down 2 basis points at 8.24%.

 

($1 = 14.7747 rand)

 

 

 

Coal to play significant role in South Africa power mix - minister

PRETORIA (Reuters) - South Africa’s plans for additional power generation
over the next decade will involve a variety of energy sources, with coal
still playing a significant role as well as more renewable energy, mines and
energy minister Gwede Mantashe said on Friday.

 

Mantashe said that while the government planned to extend the life of the
Koeberg nuclear power plant, there would not be a large-scale nuclear
rollout.

 

 

 

Pound slips in early trading after delay on Brexit vote

The pound slipped against the dollar as commercial currency markets opened
for the first time since MP's backed a move to delay approval of the Brexit
deal.

 

Most big banks in London had called in extra staff, expecting volatile
trading after the first Saturday sitting in the House of Commons for 37
years.

 

But the pound's reaction was muted as foreign markets opened for the week,
slipping 0.3% against the dollar to $1.29 as trading started in Australia.

 

Against the euro, the pound fell 0.2%.

 

On Friday, the pound had been trading close to its highest level for five
months against both the dollar and the euro.

 

"There was an initial sell-off, but it was much shallower than markets had
anticipated," said Russell Lascala, global head of FX at Deutsche Bank.

 

Scaling back

Deutsche Bank, like many other banks, had set up additional staff to come in
on Sunday expecting a strong reaction to Saturday's vote.

 

But it scaled back numbers after the weekend's events - which saw Prime
Minister Boris Johnson send an unsigned request to the EU for a further
delay, accompanied by another letter - signed this time - clarifying that
was not his own personal position.

 

Events serious enough to require extra staffing out of normal trading hours
are relatively rare in currency trading, normally linked to a big infrequent
event like an election with an uncertain outcome, for example.

 

But Mr Lascala said that, since the Brexit referendum, there had been five
or six such events.

 

"The uncertainty has been going on for years. The market is begging for
clarity, to be able to invest or not invest."

 

He said the current level of the pound, which is trading is at its highest
level for around five months against the dollar, suggested the currency
market believed the Brexit negotiations were now coming to a conclusion.

 

Currency analysts said they expected the next strong movement in the pound
to be when the Brexit deal is voted on in Parliament.

 

However, after Saturday's vote many believe, a no-deal Brexit is now less
likely. US investment bank Goldman Sachs, which issues regular updates to
its clients, now rates the probability of a no-deal Brexit as 5%, down from
10% previously,--BBC

 

 

 

Are US billionaires really going to pay more tax?

Higher taxes are a hot topic in American political circles.

 

Democratic presidential candidate Elizabeth Warren has called for a 2% tax
on family fortunes above $50m.

 

Rival candidate Bernie Sanders, who tugged the Democratic Party to the left
in his 2016 presidential run, is back with his own tax on "extreme wealth"
and remains another top contender.

 

Billionaires such as George Soros, Warren Buffett, Eli Broad and Marc
Benioff have also come out in support of higher taxes on the super rich.

 

Even US President Donald Trump speaks about the need to close tax loopholes
for the wealthy.

 

Yet for years, standard political doctrine has held that anti-tax sentiment
is as American as apple pie.

 

So what's going on?

 

Americans have long told opinion polls they think the wealthy should pay
more.

 

But the issue has gained political traction in recent years, galvanised by
eye-catching research about rising income inequality, stalling upward
mobility and findings that the richest 400 Americans now pay lower tax rates
than any other income group.

 

Thomas Piketty: The French economist US liberals love

Bernie Sanders 2020: Is US inequality the highest?

Economists are engaged in a heated debate about just how big the gulf
between rich and poor is.

 

But there is little doubt that the gap has widened sharply over four decades
toward record levels, fuelled by a mix of forces, including rapid gains in
company shares and a relatively stagnant minimum wage.

 

The US central bank estimates that the top 1% of US households hold about
39% of the country's wealth, a term that includes assets such as property.

 

The top 1% also account for about 13% of income, after taxes and other
federal transfers, according to a 2016 Congressional Budget Office analysis.

 

That's a higher share than in the UK, where the top 1% is estimated to
account for about 8% of income and around 24% of overall wealth.

 

Tax backlash

Exposés of how some wealthy individuals have avoided paying their taxes in
full, and scandals such as celebrities bribing college admissions officers
for their children, have added to the anger.

 

Almost two-thirds of Americans told Pew Research Center this year that they
were bothered "a lot" by the feeling that some corporations and the wealthy
don't pay their fair share of taxes.

 

Even a poll from Fox News - a television network known for its conservative
bent - found that 70% of voters favoured tax increases on families making
more than $10m a year.

 

The discontent is especially deep among Democrats, who were outraged when
Republicans cut rates for the wealthy and corporations as part of a $1.5
trillion tax cut in 2017.

 

Just 32% of Democrats now say the present federal tax system is fair,
compared with 64% of Republicans, Pew found.

 

"There's genuine frustration around the country and the political discussion
is, I think, reflecting that," says Arloc Sherman, senior fellow at the
Center on Budget and Policy Priorities, a Washington think tank.

 

"And it's about time," he adds.

 

Wall Street worries

As fury over the economic divide grows louder, the American business class,
traditionally a staunch defender of low-tax regimes, has started to shift
its tone.

 

This summer, to great fanfare, a key business group declared that companies'
interests extended beyond shareholders to include employees and local
communities.

 

Other Wall Street titans have argued that reform of capitalism is necessary
to head-off more draconian changes.

 

But their worries don't necessarily signal that higher taxes are likely
anytime soon, according to Andrea Louise Campbell, a political science
professor at MIT, who is working on a book about American attitudes toward
taxation.

 

She says that although Americans have said they favour higher taxes on the
wealthy for years, when it comes to the ballot box their support depends on
what kind of tax is being proposed. Voters typically back high rates on
annual income but not, for example, on inheritances.

 

Reducing inequality also routinely ranks low on the list of voter priorities
- with fewer than 3% identifying it as the top problem in Gallup surveys.

 

"It is certainly the case that income inequality has increased and many
Americans are aware of that and are unhappy with the trend, but translating
that into a desire for redistributive taxing and spending policies is more
difficult," Ms Campbell says.

 

Democrats divided

A few newspaper columns and famous names notwithstanding, surveys show the
rich tend to be anti-tax - and the rich still have the most influence.

 

Despite the populist tone US President Donald Trump struck during his 2016
presidential campaign, once in office he championed a tax cut that
disproportionately benefited the wealthy.

 

There is even a divide among Democrats, as many moderates stop short of
supporting a wealth tax - which covers items such as property, yachts and
art in addition to income - that is backed by Ms Warren and Mr Sanders.

 

They have argued that such plans are not only unrealistic but bad policy,
since they can be difficult to enforce.

 

Wealth taxes have been phased out in much of Europe, and they would almost
certainly face a legal challenge in the US over whether they meet the
constitution's criteria for what the federal government is allowed to tax.

 

Even if the public was convinced by Ms Warren's proposal - which would place
a 2% tax on household assets over $50m and 3% over $1bn - it's unlikely to
make it past Republicans and lobbyists in Washington, Ms Campbell adds.

 

"The role of public opinion in setting taxes is relatively modest," says Ms
Campbell. "Even if ordinary Americans on average would like increased taxes
on high income, high wealth people, I don't think they're the ones with
influence on policymakers."--BBC

 

 

 

'Brexit uncertainty is harming my business'

"If you were trying to design a way to close businesses like mine, you'd
behave exactly as the government has done".

 

Rob Tanner is on the cusp of winding up his 19-year-old business, SEA
Oxford. He takes parties of Europeans - mainly teachers - sightseeing to
some of the UK's most popular tourist hotspots such as Stonehenge and Bath.

 

He says the European Union funds the teachers and that trickles down to his
business.

 

Rob has seen the number of people taking his tours drop by a fifth in the
past few years, he says, which is not only affecting him, but the coach
companies and host families he works with. He can't go on any longer.

 

"At some point the uncertainty will level out - but we just don't know when
that will be and if it does recover we don't know if EU visitors will return
to the levels that they were at," he said.

 

Frustration underpins his every word. Like many small business people, he
wanted a decision to be made, and quickly. But it's all come too late for
his business.

 

He says the uncertainty is sending customers elsewhere.

 

"People are going to Malta and Ireland now to learn English because none of
the details have been ironed out," he said.

 

Brexit: Firms have 'no idea what's going on'

Carney: Brexit deal 'positive' for UK economy

The Federation of Small Businesses says "the prolonged period of
uncertainty" caused by the political stalemate has left small businesses
like his "in limbo, with investment plans on hold and confidence low".

 

More time for scrutiny

In many ways, the debate going on in the business world is the same as in
Parliament's.

 

A snap poll carried out by the Institute of Directors (IoD) indicated
business leaders were split on the issue of whether politicians should vote
Boris Johnson's deal through.

 

In the survey of 655 people conducted between 17 and 19 October, a small
majority (55%) thought MPs should approve the deal, as opposed to 41% who
thought the Commons should vote against it.

 

The IoD poll suggests that businesses want to avoid a no-deal and move
towards either another referendum (30%) or a general election (24%).

 

The Food and Drink Federation - which is concerned about the impact of
possible delays on the UK's borders to fresh produce - welcomed the delay.

 

Chief executive Ian Wright said it wanted the extra time to scrutinise the
deal, which was only published on Thursday.

 

"We shouldn't allow the fact that the nation is exhausted to mean we
sleepwalk into mistakes that will haunt the UK economy for a generation," he
said.

 

'Desperate for clarity'

Most business groups say they want the threat of leaving the European Union
at the end of the month with no agreement in place to go away.

 

The British Chambers of Commerce says they'd like to see an "iron-clad
guarantee" on that front.

 

However, there are also those who say they just want a decision to be made -
whatever the terms. A recent survey of clients by the accountancy firm EY
found the majority believe Brexit is inevitable and "are desperate for
clarity to the extent they're now willing to accept no deal if that is what
it takes".

 

'Damaging debate'

According to Stephen Welton, chief executive of the Business Growth Fund
which funds high growth start-ups, businesses don't have much time left to
play with.

 

"At the moment we are stuck in increasingly circular and damaging debate,"
he said. "One consequence is that business investment is slowing. We
urgently need to redress that and a deal will be the catalyst to that."

 

Mark Essex, director of public policy for KPMG, agrees the impact of a
continued delay will mean damage to the UK's economy - and frustration for
companies.

 

He said: "There's a pent up level of investment to be unleashed on things
like infrastructure - decarbonisation - digital connectivity - retail.
People aren't sure what regulatory environment is going to be - would you
make a big bet on that environment?"

 

Whatever the specific feelings about Saturday's vote - there's no doubt that
three years on from the referendum - businesses still feel paralysed by
Parliament.

 

A desire to see an end to uncertainty has been a unifying force over the
past three years - and many still don't see any clarity on the way
forward.--BBC

 

 

 

Brexit date downplayed in government advertising shift

The government has changed the wording of its Get Ready for Brexit campaign
appearing to suggest a no-deal exit on the 31 October is now less likely.

 

Its website now says: "We could still leave with no deal on 31 October."

 

The wording has been altered from earlier this month, when it said: "The UK
is due to leave on 31 October."

 

The tweak comes after MPs backed a move to delay approval of the deal. The
government has insisted it will still meet the 31 October deadline.

 

It has vowed to press ahead with the legislation - the Withdrawal Agreement
Bill (WAB) - to implement the Brexit deal next week.

 

But the BBC economic's editor Faisal Islam tweeted that the wording on the
government's "Get Ready for Brexit" website had been "markedly toned down"
with "less emphasis on the date".

 

Prominent logos on the website saying "Brexit 31 October" also appear to
have been removed.

 

Faisal said the wording also indicated preparation for 31 October was for
the possibility of "no deal" rather than Brexit generally.

 

The campaign, aimed at preparing businesses and the public for leaving the
European Union, has previously been criticised by members of the public
arguing the ads are inaccurate for implying the UK will definitely leave on
that date.

 

The Advertising Standards Authority (ASA) said last month it would not
investigate the ads, saying the 31 October departure date was the "date that
has been declared by the government".

 

"This therefore currently remains the default date that the public will
consider as the official 'leave' date for the UK, as agreed with the EU,
last autumn," the ASA said in September.

 

No deal risk 'increased'

Cabinet minister Michael Gove, who is in charge of no-deal Brexit planning,
told Sky News's Sophy Ridge on Sunday the government now planned to step up
preparations for a no-deal Brexit, including triggering its "Operation
Yellowhammer" contingency plans.

 

"The risk of leaving without a deal has actually increased because we cannot
guarantee that the European Council will grant an extension," he said.

 

The information campaign urging the public and businesses to "get ready for
Brexit" was launched in early September.

 

The campaign is reported to have cost the government £100m and has run on
billboards as well as in social media adverts and on TV.--BBC

 

 

 

Asbestos discovery triggers Johnson & Johnson baby powder recall in US

Health care giant Johnson & Johnson has recalled 33,000 bottles of baby
powder in the US, after health regulators found trace amounts of asbestos in
a bottle purchased online.

 

Government officials said customers should stop using powder from the
affected batch "immediately".

 

J&J said it had launched a review and prior tests have not found asbestos.

 

The firm is facing thousands of lawsuits from people who claim its talc
products caused cancer.

 

Johnson & Johnson has strongly denied those accusations.

 

The firm said it had initiated the voluntary recall of one lot of baby
powder, produced and shipped in the US in 2018, out of "an abundance of
caution".

 

It said it was working with the Food and Drug Administration (FDA) to
determine the integrity of the test and the validity of the results finding
asbestos, including whether the product was counterfeit and if the bottle's
seal had been broken.

 

"Years of testing, including the FDA's own testing on prior occasions - and
as recently as last month - found no asbestos," it said.

 

The FDA has been testing dozens of products for asbestos, a known carcinogen
amid rising concerns among the public. It said there was no indication that
the product was counterfeit or had been tainted during testing.

 

The FDA "stands by the quality of its testing and results", it said.

 

It is not aware of any adverse events relating to exposure to the lot of
affected products, it added.

 

It urged customers with products from lot #22318RB to contact Johnson &
Johnson for a refund.

 

Shares in Johnson & Johnson fell more than 3% in morning trade.

 

Legal fight

The recall is the latest bad news for Johnson & Johnson, which is facing
billions of dollars in legal claims over other products, including opioids
and vaginal mesh implants.

 

A jury this month awarded $8bn to a man over claims he was not warned that
an anti-psychotic drug could lead to breast growth.

 

As of February, the firm faced more than 13,000 lawsuits over contamination
of its talc-based products, including baby powder, with cancer-causing
asbestos.

 

The firm has maintained that its products are safe, but investigations by
the New York Times and Reuters last year found that the risks of asbestos in
its talc products had worried the company for decades.

 

Shortly after, the Department of Justice said it was opening an inquiry into
the company's knowledge of asbestos risks in its talc products.

 

The claims have met with mixed fates in court. Some juries have awarded
millions in damages, while others have denied the claims.--BBC

 

 

 

 

 

 

 

 

 

 


 

 


 

INVESTORS DIARY 2019

 


Company

Event

Venue

Date & Time

 


 

 

 

 

 


 

 

 

 

 


Companies under Cautionary

 

 

 


 

 

 

 


Bindura Nickel Corporation

 

 

 


Padenga Holdings

 

 

 


Delta Corporation

 

 

 


Meikles Limited

 

 

 


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