The Banking and Strategy Initiative

Chillin' out till it needs to be funded

China’s bold new 2009 | The page on China


Other MNCs like =
Unilever continue to plan far a longer innings at the cost of profits =
according to the new Chinese edition of WSJ

Meanwhile Chinese =
Petro Corp CNPC ($PTR) is going ahead with $30 billion in loans to =
finance acquisitions despite the failed CNOOC bid in 2007, planned =
destinations being Argentina  ( YSF Repsol) Brazil and Russia after =
state level discussions earlier in 2009 in Brazil and =

PetroChina recently acquired a 45.5% stake =
in Singapore Petroleum from Keppel Corp. for 1.47 billion Singapore =
dollars ($1.02 billion). And it also signed a $41 billion liquefied =
natural gas deal with Exxon Mobil Corp. (NYSE:XOM) to import the LNG =
from the Australia-based Gorgon LNG project

Also CNPC’s =
pocket from this loan is a total of $50 billion including its Cash =
reserves, while its purchase in Libya has already been stopped by local =
state officials and the Repsol purchase is only $15 =


Boeing Co. (BA) =
expects orders from Chinese airlines to account for around 40% of its =
forecast of 8,960 commercial jet orders from Asia over the next 20 =
years, a senior Boeing executive said Wednesday. ( zyakaira niotes: this =
estimate is already 2 years behind, with all this heave ho on, and no =
aircrafts having sold)

Randy Tinseth, Boeing’s vice president of =
marketing for its commercial aircraft division, told this WSJ report =
that China will grow at 8.6%, NA at 2.5% and the intra-Europe market to =
grow 3.4% annually, as measured in revenue passenger kilometers, a key =
metric for gauging passenger revenue.

Tinseth said the =
recent economic downturn has prompted some airlines to defer deliveries =
of new aircraft. For 2008, Boeing recorded 100 deferrals, mostly from =
North American customers.

Tinseth said the =
number of deferrals this year is “something greater than” the 2008 =
number, but declined to elaborate. The Energy news here is =
courtesy TheDeal and silobreaker

State Money

While state-owned China Development Bank =
financed CNPC, the $300 billion China Investment Corp (SWF) is moving in =
to purchase distressed real estate in the US with the help of the US =

Commodity Derivatives and =
the excessive lending

Meanwhile Foreign banks continued to suffer =
in China and probably move faster to N11 and North American Markets as =
Chinese Aviation and Oil companies continued to threaten 100% default on =
Commodity derivatives because prices have dropped sharply and new loan =
growth has slowed down after a state wide change in policy closing down =
the long term fund window on stimulus and planning to save its economy =
from spiralling bad debt

[tags China, CNPC, Boeing, =
Aviation Infrastructure, Energy Infrastructure, Infrastructure, =
Investments, Financial Markets]
[category China, Global, =
Infrastructure, Emerging Markets]


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