London, England, United Kingdom (AHN) – Credit ratings agency Moody’s placed major British banks on review because of a new British government policy that no bailout would be provided to financial institutions with problems.

Moody’s hinted that 14 banks and building societies may face possible credit rating downgrades over its senior debt and deposit ratings.

The 14 banks and building societies for review include Lloyds, Royal Bank of Scotland and Santander UK.

Elisabeth Rudman, senior credit officer and bank analyst at Moody’s, said the review is not because of the financial institution’s deterioration in the banking system’s financial strength or the government, but in response to the coalition government’s guidance on the no bailout policy.

Moody’s review, expected to last for three months, could cause an increase in the banks’ borrowing costs. The review includes an assessment of the level of government support available and other factors that could lead to a rating downgrade.

The 11 other banks and building societies that would undergo the Moody’s review are:

• Bank of Ireland Cooperative
• Bank Coventry Building Society
• Nationwide Building Society
• Newcastle Building Society
• Norwich & Peterborough Building Society
• Nottingham Building Society
• Principality Building Society
• Skipton Building Societ
• y West Bromwich Building Society, and
• Yorkshire Building Society.

Barclays and Hong Kong and Shanghai Banking Corporation are excluded from the review, but Moody’s have downgrade Barclays to a negative rating from stable and affirmed HSBC’s negative rating.

It is not only the British banks which have been downgraded or are at the risk of a downgrade by ratings agencies. Even the British government’s local and foreign currency sovereign credit rating suffered.

Dagong Global Credit Rating Company, a Chinese rating agency, downgraded U.K.’s rating on Tuesday to A+ from AA- with a negative outlook for solvency. Dagong explained the downgrade to the worsening debt repayment capability of Britain and difficulty in improving its sovereign credit level in a moderately long term basis.

The Chinese rating agency, which had blamed Moody’s, Fitch and Standard & Poor’s for the global financial crisis for failing to properly disclose risk of western banks, said it expects Britain’s economy to register minimal or no improvement in the next 24 months.

View full post on Economy, Business And Finance Stories

Elizabeth, NJ, United States (AHN) – “Nazareth Classic” and “Nazareth Light” cheese has been recalled by Atalanta Corporation, an Elizabeth, New Jersey based food distributor, because the product has the potential to be contaminated with Listeria monocytogenes, an organism which can cause serious and sometimes fatal infections in young children, frail or elderly people, and others with weakened immune systems.

Although healthy individuals may suffer only short-term symptoms such as high fever, severe headache, stiffness, nausea, abdominal pain and diarrhea, Listeria infection can cause miscarriages and stillbirths among pregnant women.

Less than 70 cases of the recalled “Nazareth Classic and Nazareth Light Cheeses” were distributed mostly in North East retail stores. Recall notices were sent to all retail outlets that received the potentially affected product.

The product comes in bulk (2 loafs 6-7 lbs per case). The product is usually sold at retail in random weight cuts. Labels read Nazareth Classic and Nazareth Light “imported by Atalanta Corp”. The affected lots are 5030008, 5030009, 11350044, 11350045, 11350046, 10840120 and are marked with expiration dates of 3/13/2011 through 7/29/2011.

No illnesses have been reported in connection with the problem.

The potential for contamination was noted after routine testing by the Belgium manufacturer revealed the presence of Listeria monocytogenes in the bulk.

All remaining inventory of the affected product has been quarantined and will be destroyed under FDA supervision. Consumers who have purchased wedge cuts of “Nazareth Classic and Nazareth Light” cheese affected by this recall are urged to return them to the place of purchase for a full refund. Consumers with questions may contact the company at 908-351-8000 (EST 9:00 – 5:00 PM).

View full post on Economy, Business And Finance Stories

Agadez, Niger (IRIN) – Migrants who have fled the conflict in Libya to return to Niger say they are having to beg, steal, or sell off remaining animals or plots of land to survive, so as not to burden their already families, most of whom are struggling with food insecurity.

Some 66,200 Nigeriens have returned to Niger from Libya since the end of February, most arriving in the northeastern town of Dirkou, from where they find transport to take them to villages and towns around the country, according to the International Organization for Migration (IOM). The majority were involved in agricultural work in Libya, for which they earned up to US$216 (100,000 CFA) per month.

Returnee, Mohamed Lamine, told IRIN: “It was with huge regret that I left Libya. I can’t stand having to rely on my aging parents to survive. I will return as soon as possible.”

Now most of them are jobless and many are in debt, having paid inflated transport costs for the roughly three-week journey across the desert, and high administrative costs to enter the country, according to an inter-agency assessment of two departments in south-central Zinder Province, by the government, the Office for the Coordination of Humanitarian Affairs and NGO Care International.

“Thousands and thousands of men have left to return to unemployment in Niger. We have no choice but to beg in the streets or to steal,” Abdelkadre Moussa, a returnee in Agadez in the center of the country, told IRIN. “In Libya you face bombs, but in Niger you face death.”

Most of the migrants originally came from southern Niger, including the Tahoua, Zinder, Tillabéry and Maradi regions, all of which have suffered food insecurity following the drought that severely diminished harvests in 2009 and 2010, according to the assessment.

Already food-insecure

In Tanout Department, Zinder Province, where 15,000 returnees have resettled, just under half of the villages are classified as vulnerable, according to the April assessment. By this it means villagers have already lost significant numbers of livestock; are facing water shortages; have suffered agricultural deficits in 2009 and 2010; and are facing difficulties buying food due to high food prices.

“The return of these migrants will worsen the vulnerability of these communities,” Mamoudou Daouda, representative of IOM in Dirkou, told IRIN. “In some cases the whole economy of these villages relied on remittances… This situation risks becoming untenable.”

IOM has been helping returnees travel back to their villages.

Grain stocks are too low to meet the needs of all returnees, according to Daouda. The Gouré and Tanout regions have experienced six consecutive seasons with agricultural deficits.

Many families are selling off the few animals they have left in order to support the recent arrivals.

Ahmed Hamaditane, father of a recently-returned migrant in Agadez, told IRIN: “We have run out of food. We have decided to sell off a plot of land, but no one is buying at the moment.”

“My son returned with nothing except an illness,” he added.

Remittances sharply down

Migrants sent as much as US$217,000 (or 100,000,000 CFA) per week collectively, to Gouré Department. Now that money is drying up. Alhadji Amarma, who helps workers transfer money home to families in Agadez, told IRIN he has little to no work.

Most men IRIN spoke to in Agadez said they used to send between US$108 and $216 a month to their families.

Adamou Habi, a member of a refugee management committee representing the governor of Agadez, told IRIN: “These are very, very difficult times. We are overwhelmed by the influx of people. We are doing our best with the help of a few individuals who have helped people return to their homes, but I don’t think we can hold up for much longer.”

“We really need aid,” he added.

Last week the government called on international donors to try to support returnees and their families.

The government, aid agencies and donors must respond before mid-June, which is traditionally the start of the lean season in Niger, government officials stressed.

The number of returnees crossing into Niger has recently diminished, said Daouda, with 500 entering daily, versus 1,200 in mid-April. However, more women and children are now crossing over, a sign that workers are bringing their families with them.

id/aj/cb

– Provided by Integrated Regional Information Networks.

View full post on Economy, Business And Finance Stories

Real Estate Mortgage Network Inc. announced the launch of Menlo Park Funding. REMN operates a wholesale lending business. Menlo Park is a mortgage branch business.

View full post on Mortgage Stories

Niagara Falls, Ontario, Canada (AHN) – The world’s largest tunnel boring machine finished drilling a 10.2-kilometer (6.3-mile) long and 14.4-meter (47.2-feet) high tunnel under the Niagara Falls on Friday.

The 4,000-ton machine, known as Big Becky, had been drilling the tunnel under the world famous waterfalls since 2006.

The project, which aims to redirect water under the Niagara River to hydroelectric operating stations, is four years delayed and $600-million over budget. The delay is attributed to the faulty assessment of the rock formation.

The power project, expected to generate enough electricity to light 160,000 homes, is operated by Ontario Power Generation.

On hand to witness the last phase of the drilling were Ontario workers, politicians, officials and students, who cheered when they saw falling rocks giving way to Big Becky.

When the tunnel is finished, it will be part of a hydroelectric infrastructure project that will be completed in 2013.

View full post on Economy, Business And Finance Stories

Palo Alto, CA, United States (AHN) – In what could be billed the “Battle of the Technology Giants,” the leading social networking site admitted on Thursday it was behind a campaign against the world’s number one search engine.

Facebook’s tactics were exposed by blogger Chris Soghoian who published emails between the blogger and public relations company Burson-Marsteller. The revelation led Facebook to confirm it tapped the PR company to expose Google’s service Social Circle.

However, Facebook insisted the move was to raise privacy concerns over Google’s service, not a smear campaign. The social networking site said it wanted third parties to verify reports that web users did not approve of collection and user of information from their Facebook accounts for inclusion in Google’s Social Circles.

The battle is over the database of connections between Facebook users and everyone they interact with. Google has parts of it and wants access to Facebook’s “social graph.”

The PR firm, in an email, offered help to the influential privacy blogger in drafting an opinion piece and seeing to the article’s publication in major U.S. dailies. Soghoian asked Burson who was behind the campaign, but the PR firm refused to identify the company, prompting Soghoian to publish the email exchange.

The two IT giants have declined to provide further comment on the issue, but another PR practitioner opined that the exposure would damage Burson’s reputation and the two technology companies’ images, which had positioned themselves as cool and trendy enterprises.

View full post on Economy, Business And Finance Stories

Bank of America Corp.’s chief executive officer faced complaints at the company’s annual shareholder meeting about the bank’s handling of foreclosures. In his opening remarks, he worked to distinguish the successful parts of the company from the struggling mortgage business. He clearly laid the blame on the 2008 purchase of tottering mortgage lender Countrywide Financial Corp.

View full post on Mortgage Stories

New York, NY, United States (AHN) – U.S. House Speaker John Boehner pushed for $2 trillion cuts in government spending in exchange for lifting federal limit on borrowing. He made the offer Monday, less than a week before Washington reaches its $14.4 trillion debt limit on May 16.

The Republican speaker rejected any effort to increase taxes and challenged the Democrats to an honest conversation on how to preserve Medicare. The statement is an indicator that the House Republicans are still committed to restructuring parts of Medicare.

Boehner stressed in a speech at the Economic Club of New York that the spending cuts should be larger than the increase in debt limit that would be allowed the president.

U.S. President Barack Obama had previously warned that a U.S. default on its debts could shatter global markets. Treasury Secretary Timothy Geithner backed Obama’s warning that a Washington default could wreak havoc on the global economy. Geither estimates he would need an extra $2 trillion in borrowing authority for the federal government to get through the end of 2012.

Democrat and Republican lawmakers are set to meet Vice President Joe Biden and other White House officials for the second time to work n a plan to pass a debt-limit increase. Obama plans to bring 100 senators to the White House to start laying the groundwork for a compromise on the debt-limit increase. The Democrats are scheduled for Wednesday and Republicans on Thursday.

View full post on Economy, Business And Finance Stories

Los Angeles, CA, United States (AHN) – The U.S. Consumer Product Safety Commission, in cooperation with the firm named below, today announced a voluntary recall of the following consumer product. Consumers should stop using recalled products immediately unless otherwise instructed. It is illegal to resell or attempt to resell a recalled consumer product.

Name of Product: Toy Story 3 Bowling Game

Units: About 600

Importer: G.A. Gertmenian and Sons, LLC, of Los Angeles

Hazard: The red paint used on some bowling pins has been measured to be in excess of the maximum allowable level of 90 ppm, a violation of the federal lead paint standard.

Incidents/Injuries: G.A. Gertmenian and Sons, LLC has received no reports of incidents or injuries.

Description: This recall affects Toy Story 3 Bowling Game Rugs with a batch marking of JA 148. The recalled item contains six white plastic bowling pins with two red stripes painted on the necks, one black plastic ball, and a 68 inch x 26 inch nylon game rug with a print of the character Buzz Lightyear on the front. The batch marking JA 148 appears on the bottom front of the packaging just above the bar code, and is also located on the tag attached to the rug.

Sold at: Walmart Stores in the U.S. between September 1, 2010 and September 25, 2010 for about $18.

Manufactured in: China

Remedy: Consumers should stop using the bowling pins immediately and contact the manufacturer for a free replacement set.

Consumer Contact: For additional information, contact G.A. Gertmenian and Sons LLC toll-free at (888) 224-4181 between 9:00 am and 5:30 pm PT Monday through Friday. Consumers may also email Gertmenian@Gertmenian.com for instructions on receiving replacement bowling pins.

View full post on Economy, Business And Finance Stories

Bank of America Corp. has notified New York officials that it will lay off 34 employees in the state. The move is being made amid declining loan production. BofA previously announced that it planned to eliminate more than 1,500 home loan positions around the country.

View full post on Mortgage Stories