BP application judge dismiss the many claims of oil spill

NEW ORLEANS - BP PLC asked a federal judge to dismiss most of court claims filed against the oil giant by companies and individuals who say that they have suffered economic damage from the massive Gulf oil spill last year.

U.S. District Judge Carl Barbier did not immediately rule Thursday after motions hearing to dismiss the claims against BP and other companies who have been prosecuted on the oil spill caused by the explosion on the Horizon in water deep drilling.

BP argues Barber should reject thousands of maritime and the law of the State claims for economic by commercial fishers, landowners and other losses because they are excluded by the 1990 Oil Pollution Act.

Counsel for the applicants dispute that the Act of 1990 is the only vehicle for resolving these claims.

The economies of the world grow more slowly (AP)

WASHINGTON - from the United States, Europe and even China's booming, the global economy shows signs of strain.

Most of the major economies should continue to grow. But the evidence is mounting that many around the world are striving to develop as quickly as they did last year.

European governments are faced with debts and squeezed budgets. The British economy grew just at the beginning of the year. Even the strongest economy of Europe, Germany, may face a slowdown.

High unemployment, real depressed and still high oil prices are slowing of the US economy, which grew at an annual rate of lean 1.8% from January to March. And after its earthquake of Earth and the nuclear crisis, the Japan sank into a recession.

In China, increases in interest rates to reduce inflation are slowing growth.

Overall, the world economy probably pass only 3.5 per cent this year, down 4.1% in 2010, according to research firm IHS Global Insight. IHS has reduced that 3.8% forecast.

As the meeting of the leaders of the rich democracies group of eight in Paris, world growth is on an agenda already filled with concerns about instability in the Middle East, the Greece debt crisis, which will be the next leader of the Monetary Fund International. It is not a priority objective, the meeting though.

"The euro is a big mess, and the Europeans do not want to talk about, said Simon Johnson, a former Chief Economist of the IMF."

The most serious such problems exist in Greece, Spain, Portugal and Ireland, who are overwhelmed by debts run up during the financial crisis and the recession that followed.

Financial markets were signaling concerns about a slowdown in the world. Dow Jones index has shed 450 points, or 3.5 per cent this month. Stocks slid 3 percent or more this month at the Japan, Britain and Hong Kong.

The Chief Economist, IHS Nariman Behravesh said "three winds are hitting the world economy at the same time":

? The high commodity prices. Despite a recent dip, oil prices are still up to 50 percent over the past year. These awards have pressed the household budget in the United States and other wealthy countries and impeded consumer spending. Increase in food prices are hurting the middle class and the poor around the world.

? Cut Government's budget. Many European countries had to cut spending after the financial crisis to enlarge their budget deficits. Britain last year, cut spending and raised taxes, stifling the economy. The British economy were living off just 0.5% growth in the quarter from January-March, after narrowing from October to December of last year.

The ? Japan earthquake and Earth crisis. After production of the plant has been disrupted, contracted to a 3.7% annual pace in the first quarter. It will probably contract an additional 3.7% in the quarter April-June, according to the Organization for economic cooperation and development.

"The highest degree of uncertainty lies in the effects of the disaster on the economy of the Japan," Bank of Japan Governor Masaaki Shirakawa said in a speech this week in Tokyo.

Economists expect the Japan economy to rebound in the second half of the year. Reopening factories and in the quake zone reconstruction projects should create jobs.

The US economy should accelerate in the coming months. Hiring more will be to encourage consumers to spend more. Companies are expected to dip in profits to expand. And having shed bad loans of financial crisis, banks will likely lend more to companies and consumers.

Still, economists are more concerned about China. Four increases the interest rates since October have not yet do much to cool inflation in China, which runs more than 5%. Goldman Sachs this week cut its forecast of growth of China 9.4%, rising from 10% this year, and 9.2% of 9.5% in 2012.

By increasing rates and other measures taken to strengthen bank loans, Beijing wants to slow down the growth of 7% this year to stem inflation. Some fear that controls Beijing, combined shortages of power in some manufacturing sectors, are Direction of China into an economic disaster. But most analysts expect China to tame inflation without wrecking the economy.

Other countries growing, such as the Brazil and the Turkey, are also trying to slow growth to control the rising inflation.

U.S. exporters had been counting on robust procurement in developing countries to compensate for mediocre growth at home. These expectations may need to be reduced.

"A hard landing for emerging markets could significantly reduce the global economic recovery," said Eswar Prasad, Professor of trade policy at Cornell University. "They were the main drivers of global growth as a result of the financial crisis".

Michael Mussa, senior fellow at the Peterson Institute for International Economics, was concerned that the increase in rates will slow world growth in 2012.

"If il y a concern, this is what could happen next year," said Mussa.

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Associated press writers Pan Pylas London, Kelvin Chan in Hong Kong, Joe McDonald in Beijing and Tomoka a. Hosaka in Tokyo contributed to this report.

Anniversary wishes 50th of the Obama: lower unemployment

WASHINGTON- which give you the most powerful man in the world for its 50th anniversary? Michelle and the girls were probably a surprise in store. But for us, the President Barack Obama, the answer is clear.

He would like to see a fall of stubbornly high unemployment and a cut in the price of fuel at the pump at the time wherever he reached his half century on 4 August.

"A much lower rate of unemployment." And declining gas prices. Those who would be the perfect gift for my birthday, Obama said the magazine of the American Association of Retired People (AARP) with a laugh.

In spite of pumping enormous sums of money of stimulus in the economy since he took office in 2009, the rate of unemployment still hovers 9.0% as the largest economy in the world slowly recovers from the worst recession in decades.

And the price of gasoline have been crawling over high since 2008.

Obama said that he did not know yet how he planned celebrate his landmark birthday. Last year, he marked the occasion of a game of basketball with some of the players champion sport as LeBron James.

"Had a wonderful time." It will be hard to top that. "But I suspect that the girls may have something planned," he told the magazine of the Group major advocacy for the elderly.

And the President of the United States, whose hair is visibly more grey since his arrival at the Office, sometimes admitted feeling his age.

"The worst thing is, I don't feel I'm as fast as I used to be." "And I heal more slowly in the field of basketball", he said. Obama separates his lip in a match in November which needed 12 stitches to heal points.

"The wonderful thing is, I was able to maintain my health well enough. Also, I am old enough where I hope that I made enough mistakes, that I will not repeat. And I am still young enough that I can understand that wisdom.

AARP, advocating for older Americans, transmits requests for membership to the Americans that they reach the age of 50.

Spring of Arabic and the IMF row of concern to the leaders of the G8

DEAUVILLE, France - the leaders of the Group of eight gather in France Thursday to approve assistance to new democracies from Arabic, but disputes between the West and the IMF on developing economies can take up to much of their time running.

Responsible of the G8 - United States, Canada, Great Britain, France, Germany, Italy, Japan and Russia - the preparatory talks held Wednesday in the seaside resort of Deauville to forge common positions on issues ranging from the global economy to the war of secession of the LibyeEn nuclear Iran goals and disorders in Syria.

Hosted by French President Nicolas Sarkozy, the Summit runs until Friday. It is expected to approve a package of assistance of several billion dollars for the Tunisia and the Egypt, after that of the "Spring of Arabic" uprisings filed their autocratic leaders and sealing an agreement for the return of others in the region who want democracy.

However, protests against the other allies of the West, particularly in the oil-rich Gulf, are unlikely to win clear support.

"We share a compelling interest in seeing the transitions in Egypt and Tunisia succeed and become role models for the region", US Secretary of State Hillary Clinton and Secretary of the Board of Treasury Timothy Geithner wrote in a letter to G8 Wednesday.

"Otherwise, we risk losing this moment of opportunity."

VOLTAGE OF THE IMF

The G8 leaders arriving at the station faded casino may have to repel challenges to the influence of Western Europe on the position of Director General of the Monetary Fund International, the global lender. The position was left vacant by the dramatic departure of Dominique Strauss-Kahn, a French who is accused of attempted rape of a woman of New York House hotel.

French Finance Minister Christine Lagarde announced that she stood for the position on the eve of the Summit of G8, after securing the unanimous support of the European Union of 27-nation and diplomats, said, the support by the United States and China.

"I think the difference that G8 leaders will discuss the issue, even if Ms. Lagarde will probably be the best candidate," Envoy of the Russia in France told Reuters, adding that he did not believe that his country would have any objections to him.

"But the question,"Ambassador Alexander Orlov added,"is whether Western Europe should always move this institution and why other countries, including the BRICs (Brazil, Russia, India, China, and South Africa), and can not have their own candidate."

The IMF has promised one meritocratic process to replace Strauss-Kahn, a Minister ex-Finances Socialist who was favorite to beat Sarkozy in a French presidential election next year.

He developed a deadline June 30 to choose a successor to this position, which was held by a European since 1945.

But emerging nations want to push an alternative. Russian President Dmitry Medvedev and the Minister of finance Pravin Gordhan of South Africa, one of 10 African countries invited to the station of Normandy, are likely to defend the position of the BRICs.

Medvedev is also likely to expose its concerns on the Libya, where more than two months of NATO air strikes have failed to dislodge leader Mu'ammar al-Gaddafi.

A critique of the military intervention of the Russia wants to push his own ceasefire plan after welcoming envoys of Gaddafi and the opposition in Moscow for talks.

"Let me make clear, the Russia is not that Gaddafi to stay in power," Orlov said. "" "". He has committed crimes and must take responsibility for those, but in the process of transition policy, we want all parties to take part.

"The Russia is ready to play the role of mediator, if other countries are ready, but to do that we must have a ceasefire."

Events planned for Friday business

Main activities and economic events planned for Friday:

WASHINGTON - Commerce Department releases personal income and spending for April, 8: 30 am.

WASHINGTON - National Association of Realtors pending releases index sales house for March, 10 am.

DEAUVILLE, France - France hosts the Summit of the leaders of the Group of eight leading industrialized economies.

Top banks lobbying received larger rescue plan

NEW YORK - more aggressively pressure before the financial crisis the worst Bank loans made during the economic recession - and rescue dollars more it received, according to a study published this week by the National Bureau of Economic Research.

The report, entitled "A Fistful of Dollars: Lobbying and the financial crisis," said that banks lobbying efforts may be motivated by short-term profit gains, which can have devastating effects on the economy.

"Overall, our results indicate that the political influence of the financial industry played a role in the accumulation of risks and therefore contributed to the financial crisis," said the report, drafted by three economists of the Monetary Fund International.

The data collected by the three authors - Deniz Zaagi'igan, Prachi Mishra and Thierry Tressel - show that the more aggressive lobbiers in the financial industry from 2000 to 2007, has also made more toxic mortgages. They securitized most of the debt for real estate investors and their stock prices more closely correlated to the recession and lending plan rescue that followed.

Loans banks has also suffered from crime higher during the recession.

What economists could not definitively determine was the motivation of the banks of lobbying. If the banks were looking to generate income at the expense of the company, it would be logical to restrict their lobbying.

If the banks were especially concerned of profit in the short term and not think do not long term consequences, then Executive compensation practices should be modified, said the report. And if the banks just wish to inform legislators and were too optimistic about their future, it would be more difficult to propose reforms.

BIG LOBBYING, OF WHOLESALE RESCUE PLANS

When the bubble burst, the banks that spend more on lobbying received "a large piece of the cake" in the rescue plan of 700 billion dollars in the fall of 2008.

For example, the report cites Citigroup Inc. (c.n.r.) $ 3 million to lobby against HR-1051 predatory loan Consumer Protection Act of 2001 and the Bank of America Corp. (BAC).(N) spending $ 1 million to put pressure on housing and banking issues.

HR-1051 never signed into law, nor was 93% of all invoices for the promotion of more stringent regulations from 1999 to 2006. However, two bills that significantly reduces the restrictions on the mortgage market is in force, access to property American and Economic Opportunity Act of 2000 and the Act on the implementation of the American Dream Fund, 2003.

Citigroup and Bank of America each finally receive 45 billion of the rescue plan Fund, JPMorgan Chase & Co (JPM).(N), Wells Fargo & Co (WFC).(N) or other large commercial banks.

Now that Frank Dodd financial reform bill has passed, the big banks have been aggressively lobbying against them, are too severe restrictions. Among the top items on the agenda of the industry's lobbying are stronger capital regulation, but also a Bureau of financial Protection, new rules on derivatives trade and restrictions on the exchange of exclusive rights.

In an interview with Reuters Thursday, Zaagi'igan counterparts of the Federal Reserve Board expressed concern that "certain concepts would get watered down in the process because the financial industry is pressure against them."

On Tuesday, the House Financial Services Committee voted to delay the implementation of the reform of derivatives of 18 months. Although few expect such a measure to clear the Senate and be signed by the President, some Wall Street executives are pressing for slower rulemaking.

At a demonstration Tuesday, Morgan Stanley (MS)(N) CEO James Gorman, warned that implementation of reforms could too hastily "" tip the world's economies into recession. ""

Economists report describes the negative impacts of the lobbying of the Bank, but Zaagi'igan stated that this time, Wall Street's interests can be aligned with the whole of the economy - if by chance.

She said Bank lobbying is "not bad" and current activities can act as counterweight to tilt after the crisis of the regulators to keep banks left tight.

Dollar lower as data confirm the low us growth

NEW YORK - the dollar fell Thursday against the other currencies after a new report has confirmed the sluggish U.S. economic growth in the first three months of the year as the high gasoline prices hurt consumer spending.

The euro has increased to $1.4140 in late trading in New York, up from $1.4079 late Wednesday. The euro rose as high as $1.4206 earlier in the day.

Investors had thought that the risk of a default value of debt in Greece was at least a year away, but recent comments by European leaders have led some traders to suspect that there could be a default value as soon as possible as mid-JulyBrian Kim UBS currency analyst, said.

Traders "are quite uncertain enough fear on what could happen" in Greece, Kim said. "We do not know what really believe officials."

At a Conference in Luxembourg, Jean-Claude Juncker, Chairman of the Group of 17 Ministers of finance to countries that use the euro, warned that International Monetary Fund may not send the 12 billion euros ($17 billion) he expected in June of its bailout approved last year the Economist David Mackie GrèceJPMorgansaid in a research note.

IMF aid the Greece clings to its economic reforms, but Greece politicians are fighting the wire further reductions in government spending, as evidenced by thousands of citizens against austerity measures.

Finance Minister George Papaconstantinou has warned that a halt in foreign cash flow would force default Greece.

In addition, the dollar is still lower on concerns about a weakening recovery to the United States. The Department of Commerce, says that the economy grew at a rate of 1.8% from January to March, unchanged from its previous estimate.

Gas, a troubled housing market and high unemployment make buyers cautious spending.

The Ministry of labour said more people unemployed assistance last week, a sign that the labor market is still low asked. The number of people seeking benefits increased by 10 000 a 424,000 seasonally adjusted. 375 000 Claims below is compatible with the growth of stable employment.

The British Pound rose to $1.6389 of $1.6279, while the dollar slipped to 81.30 Japanese yen of yen 81.97.

A look at economic developments around the world (AP)

A look at economic developments and activity in major stock markets around the world Thursday:

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LONDON - Stock markets and the euro fell on a report that Greece may not get the next installment of its international rescue loans. Weak U.S. economic data further weighed on sentiment.

Jean-Claude Juncker, the chairman of the Eurogroup, said in Luxembourg that the International Monetary Fund may have to hold back the next tranche of its funding for Greece, according to an analyst.

The reason is that the IMF's loans are contingent on Greece showing what its state financing will be over the next 12 months. Until recently, that was meant to include raising cash on bond markets next year, a move the Greek government has admitted is no longer possible as its market borrowing rates remain too high.

Year IMF and EU delegation is now in Athens reviewing Greece's finances, and a decision on the IMF's next aid installment will be made in June.

The euro slumped, while Germany's DAX closed down 0.8 percent and the CAC-40 in France shed 0.3 percent. The FTSE 100 index of leading British shares bucked the trend, rising 0.2 percent.

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TOKYO - Earlier in Asia, stocks enjoyed a strong day. Japan's Nikkei 225 stock average closed 1.5 percent higher. South Korea's Kospi gained 2.8 percent, Australia's S & P/ASX 200 rose 1.6 percent and Hong Kong's Hang Seng ended 0.7 percent higher. Mainland Chinese shares slid amid concerns that growth may slow in the latter half of the year.

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SHANGHAI - China's worst drought in a half-century is deepening, with the parched conditions that have left millions in the Yangtze River region without enough drinking water pushing inflation higher and adding to widespread power shortages.

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ATHENS, Greece - Greece's finance ministry said it has invited Germany's Deutsche Telekom to up its stake in the country's dominant telecoms provider OTE amid mounting European pressure to speed up privatization and cost-cutting.

Greece is hoping to raise an ambitious euro50 trillion ($70 billion) from privatizations by the end of 2015 to help cut its massive national debt, but has been criticized by the European Union for failing to launch the program quickly enough.

Inspectors from the EU and International Monetary Fund are currently in Athens to review the crisis-hit country's austerity program agreed last year in return for a European trillion ($155 billion) bailout loan deal.

Top EU finance officials have urged Greece to speed up reforms and forge cross-party support for austerity measures before it would consider additional rescue funding for Greece, which remains locked out of bond markets and will likely face critical funding shortage next year.

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BERLIN - Germany's finance minister said Greece may need more time to implement reforms including a big privatization program. He also highlighted the risks involved in Greece's debt restructuring.

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DEAUVILLE, France - Secretary of State Hillary Rodham Clinton gave a boost to the candidacy of French finance chief Christine Lagarde for the top job at the IMF, but stopped short of endorsing anyone yet.

Former International Monetary Fund chief Dominique Strauss-Kahn, a Frenchman, resigned last week over sex crime allegations.

World leaders at a summit in France will debate over who should be his successor and whether a European should get the job instead of someone from another region, as developing countries argue.

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PARIS - The top U.S. trade official said it's too soon to declare the Doha Round of trade liberalization talks a failure, even as its launch nears its ten-year anniversary and Oxford say a deal this year is impossible.

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FRANKFURT, Germany - Nouriel Roubini, the New York University economist known as Dr. Doom, says Greek restructuring would not bring down Europe's financial system. The economist, who earned his nickname by predicting the global financial crisis, says an orderly debt restructuring could more pre-empt disorder.

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BERLIN - The European Central Bank is signaling that it remains on track to raise interest rates further despite the continent's debt crisis. The ECB raised interest rates from an all-time low to 1.25 percent in April as it tries to keep inflation in check.

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DEAUVILLE, France - Leaders of the world's rich democracies will urge Libya and Syria to halt violence that is threatening to extinguish the so-called Arab Spring, goal remain divided about how to respond if the nations don't heed the call, officials said.

A draft declaration circulating at the Group of Eight summit in France contains no. specific sanctions against Libya and Syria.

It illustrates fears among President Barack Obama and other G - 8 leaders that uprisings around the Arab world could end up entrenching autocrats instead of defeating them.

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PARIS - Secretary of State Hillary Rodham Clinton welcomed Russia's decision to sign a key international anti-bribery pact.

Clinton said Moscow's signing of the anti-bribery convention is "a significant step in its own right and a milestone in Russia's own path toward full OECD membership."

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BEIJING - North Korea's supreme leader Kim Jong Il won fresh expressions of support from China's president on a visit to China, his most important ally. Kim's regime is struggling to feed North Korea's impoverished population and stabilize the country's collapsing economy.

Such backing is crucial for a regime in the throes of an economic crisis and facing increasing isolation. Most contacts with former benefactors South Korea and the United States are frozen.

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DUBAI, United Arab Emirates - Credit rating agency Moody's Investors Service cut its ratings on Bahrain's government bonds and said their outlook is negative mainly because of the political turmoil in the Gulf island nation.

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BEIRUT - The uprising against Syrian President Bashar Assad is eviscerating the country's economy, threatening to hit hard at the business community and prosperous merchant classes, which the embattled regime related it to help retain its grip on power.

Two months of violent protests throughout Syria have shuttered businesses, driven away tourists and thrust Assad's regime into an unprecedented political quagmire. Economic growth rates that had hit around 3.5 percent in fiscal 2010, are seen, according to some estimates, contracting by 3 percent in fiscal 2011.

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LISBON, Portugal - Portugal's debt agency said it wants to borrow up to euro2.25 billion ($ 3.2 billion) in short-term Treasury bill auctions next month as the bailed-out country seeks to maintain a presence in financial markets.

Portugal is taking a euro78 trillion bailout from its European partners and the International Monetary Fund to avoid being bankrupted by interest rates that soared to unsustainable levels over the past year.

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MILAN - Italy raised euro10 billion ($ 14.07 billion) by selling bonds, with good demand and at stable or lower interest rates, in the first market test since Standard & Poor's lowered the country's outlook to negative.

Summary box: more people sought unemployment assistance

Mounted APPLICATIONS: more people sought unemployment benefits last week, the first increase in three weeks. The number of people seeking benefits is passed to 424,000, much more than the 375 000 which is consistent with the sustained growth of employment.

Low labour market: the increase suggests that the labour market remains weak. Employers are reluctant to hire many new workers, while local governments and a few other industries are still cutting jobs.

Slower hiring: companies added over 250 000 new jobs, on average, in the last three months. With applications on the rise, many economists forecast that number will drop in May.

The leaders of the G8 to attach the Arab spring helps reform

DEAUVILLE, France - Group of eight leaders were to approve billions of dollars in aid Friday to the new democracies Arab with a program designed to foster radical change in North Africa and the Middle East.

The leaders have been at the close of the two-day summit in the North of the France by launching a partnership with the region which would bind cash aid and development progress on democracy and economic reforms in the States who were thrown out of autocratic leaders.

Tunisia and Egypt, whose first ministers will meet with the leaders of seven Western powers over the Russia of G8 Friday, face to face with enormous economic pressures following popular uprisings that toppled their authoritarian rulers of long-standing service.

In a report to the G8, leaders of the Monetary Fund International said Thursday the needs of external financing for the import of oil in the Middle East and North Africa, countries would be top 160 billion dollars over the next three years.

"The region needs to prepare for a fundamental transformation of its economic model," Masood Ahmed, in charge of the IMF's Africa and Middle East, said journalists on the sidelines of the G8 meeting in Deauville.

"This will be greatly facilitated if international actors, including the G8 can enter into a strategic partnership with these countries... where incentives are linked to a social agenda."

The IMF said it can provide approximately $ 35 billion to help stabilize the economies of the countries, but most of the funding must come from the international community.

The World Bank on Tuesday unveiled $ 6 billion of new funding for the Tunisia and Egypt, including revolts inspired popular uprisings to the Yemen, in Jordan, Morocco and Syria and left leader Libyan Muammar al-Gaddafi, fighting to stay in power.

The funds include budget support and loan to consolidate the private sector and encourage new investment.

A World Bank report published the same day, said the needs of the region on the jobs of 50 to 75 million over the next decade to absorb new entrants to the labour market and reduce unemployment.

Diplomatic sources, said that the Summit would also return the extension of the mandate of the European Bank for Reconstruction and development in North Africa and the Middle East. The Bank, created after the cold war to help the former Communist countries to become market economies, lends about EUR 9 billion per year for projects ranging from Croatia in Central Europe in China.

Prime Minister David Cameron UK said Thursday the G8 Summit would show Arab Street that the world was standing behind the demands for greater political and economic freedom.

"We will help build your democracy, will help your savings... we will help you in all the ways we can, because the alternative to a successful democracy is more toxic extremism which has done so much damage in our world.".

However, the State of the world economy means that the extent of the aid on offer is likely to be modest.

The European Union Executive said it had added 1.24 billion euros of subsidy costs to an existing program designed to help its neighbours across the Mediterranean.

Consumers curtail growth, rebound seen in muted

WASHINGTON - of unexpectedly low consumer spending hinders the economy in the signs first quarter and fresh of a slowdown in the market work emphasized a struggle to recovery.

The economy grew at an annual rate of 1.8% in the first three months of this year, the Commerce Department said Thursday, unchanged from an earlier estimate and lower than most forecasts.

A separate report of the Ministry of labour has shown the number of Americans seeking unemployment benefits rose unexpectedly the week last by 10 to 424 000.

Some of the slowdown in growth was linked to poor weather conditions in early 2011 and a decrease of 11.7% of military spending, trends which are expected to return in the second quarter.

But economists were less hopeful on the back of rebound expected growth, citing the rise in jobless claims and a moderation in output of plant, which has been hit by disruptions in supply chains after the earthquake of March to the Japan.

"The rebound in the second quarter is likely to be muted," said Nigel Gault, Chief U.S. economist at IHS Global Insight in Lexington, Massachusetts.

Currently in the second quarter gross domestic product growth estimates vary between 2.5 and 3.5%, but could be revised. Recent data, including sales, retail and regional manufacturing surveys all emphasize soft growth.

The economy grew at a rate of 3.1 per cent during the period from October to December. Economists had expected the pace in the first quarter to be revised by 2.1%.

WEAK CONSUMER SPENDING

Investors on Wall Street excluded data and bought stocks. Liaison for the American Government prices rallied, stimulated by flight safety buying on concerns over European sovereign debt crisis. The dollar had lost against a basket of currencies.

Despite seven straight quarters economy expansion, growth has been lukewarm fragilities, leaving the two Obama administration and opposition Republicans scrambling of ideas to put on a faster track.

Thursday White House has announced measures to reduce the costs of complying with government regulations for businesses, while legislators unveiled job creation proposals Republicans - who have been in large part a repackaging of the policies they advocated for a long time.

Expenses - which represents more than two-thirds of economic activity U.S. - expanded at a rate of 2.2 per cent in the first three months of this year, slower than the previously reported 2.7 per cent of consumption.

After rising to a clip of 4 percent in the fourth quarter, spending has been cut by high food and prices of gasoline, which has sent inflation rising at its fastest pace in 2-1/2 years.

The index of prices for personal consumption expenditures increased at a rate not revised by 3.8% in the first quarter. Than the increase of 1.7% in the fourth quarter.

The core PCE index, which is closely watched by the Federal Reserve increased at a rate of 1.4%, the fastest pace since the fourth quarter of 2009.

Fed officials would like to see this measure nearly 2%. The slowdown in growth medium pace of the US Central Bank will be not pressed its interest rate, after it concludes its $ 600 billion, the Government in June binding purchase program.

"This may delay the day when the Fed began to standardize the rates of interest until even later, on the road," said Chris Rupkey, chief financial economist at Bank of Tokyo-Mitsubishi UFJ in New York. "The Fed will want to see GDP above 3%, certainly before taking their foot gas.".

Although consumer spending withdrew in the first quarter, economists are hopeful that a recent cooling of energy and food prices and will facilitate the burden on the household budget and to stimulate spending.

The eclipsed soft consumer spending increased 52.2 billion in inventories of business, which was well above the rise of 43.8 billion initially reported.

But a decrease in the production of vehicles so far in this quarter due to lack of parts of the Japan could cause a lowering of the level of stocks and weigh on growth in the period April-June.

Exit vehicle motor added 1.28 percentage points of GDP in the first quarter.

The GDP report also showed after-tax corporate profits fell at a rate of 0.9% in the first quarter after rising to a 3.3% pace in the fourth quarter.

The decline in profits, the first since the fourth quarter of 2008, probably reflects a slowdown in the growth of productivity as companies intensified for hiring. Economists had expected the profits of the business to grow at a 2.3% pace.

However, place the week last suggested initial claims that could slow down the pace of hiring. Economists had expected claims drag to 400,000. Last week marked the seventh consecutive week in which claims topped the 400,000 level that economists say is normally associated with the growth of stable employment.

"The weakness in the jobless claims data persisted too long to ignore and suggests that the labour market, which had been a bright spot in the first quarter, turns a little warmer in the second quarter," said Michael Ferolian economist at JPMorgan in New York.

More people a claim for unemployment benefits

WASHINGTON - more people last week a request for unemployment benefits, the first increase in three weeks and the evidence that the labour market is still sluggish.

The number of people seeking benefits increased by 10 000 a 424,000 seasonally adjusted, the Labour Ministry said Thursday. No State cited extreme weather as a factor in the increase, said a spokesman for the Department. Tornadoes and flooding have devastated several States of the Midwest and the South in the month.

Applications are above the level of 375,000 is consistent with the sustainable employment growth. Applications peaked at 659,000 during the recession.

"The labour market is not exactly improve with leaps and bounds," Jennifer Lee, an economist at BMO Capital markets, said in a note to clients. "Companies are hiring but likely to return until they are more comfortable and more confident in the current economic environment."

Yet, the average of four weeks, less volatile measure, declined for the first time in seven weeks to 438,500.

Employers stepped up hiring this spring, but some economists fear that rising applications indicate hiring slows.

A separate report showed the economy grew 1.8% in the January-March quarter, a slowdown of the 3.1% annual pace recorded in the period from October to December. Consumer spending increased at a much slower pace, as shoppers were selected by a high unemployment and $4 a gallon gas.

Until now, the economy has been generating jobs at a healthy pace this year. Companies have added that a total of more than 250,000 jobs a month, on average, over the last three months, faster spree of hiring over five years. The unemployment rate declined nearly a point of percentage in the last five months, though it remains a very high 9 percent.

But several economists said that the number of additional jobs for may will probably dip less than 200 000 for the first time since January.

"We will lose some momentum in employment," said Brian Levitt, an economist at OppenheimerFunds. He expects companies to create approximately 150 000 to 175 000 jobs this month. Higher gas prices act like a tax on consumers, prohibiting their spending, said.

Gasoline prices dipped to an average of $3.81 per gallon Thursday, down $3.91 a week ago. But they are $1.04 more than last year.

The total number of persons receiving benefits is also declining. The allocation of unemployment rolls decreased by 46 to 3.7 million in the week ending May 14. This figure is data from applications to a week.

Approximately 4 million additional people receive benefits under emergency programmes adopted during the recession. Altogether, 7.7 million people receiving benefits for unemployment during the week ending May 7, the latest available data. This is a decrease of nearly 200 000 from the previous week.

Higher food, oil prices weigh on the US economy

WASHINGTON  - new data out this week suggested the US economy remains deep in the doldrums, thwart the efforts of Washington for the industry to revive and create jobs two years after the end of the last recession.

High oil prices and rising food costs seem to have delayed what was supposed to be more dynamic in the private sector of the country which would be taken relay while federal and local governments slash spending.

Surprised by the data economists have reduced forecasts for economic growth in the second quarter following the dismal 1.8% pace in the first, with indicators of industrial production, consumer spending and unemployment appearing all sweet.

Consultancy Macroeconomic Advisers lowered its gross domestic product (GDP) growth forecasts for the period April-June to 2.8 per cent Wednesday, 3.5 percent only two weeks earlier, after seeing a sharp decline in orders for manufactured goods sustainable in April - a fact flag how the industrial sector.

The Commerce Department reported overall orders fell by 3.6% the previous month.

And, excluding volatile orders for aircraft and other transportation equipment, orders are always down 1.5% - showing us manufacturers sell less.

Numbers of Ministry of labour has published Thursday show that it weekly new claims for unemployment insurance - a sign of the pace of layoffs - are more than 400 000 for the seventh consecutive week, after a drop below that level for several weeks in February and March seems a signal improvement job market.

Meanwhile, the Commerce Department has confirmed its previous estimate that the economy only increased at a slow annual rate of 1.8% in the first quarter, when economists had expected a higher number.

Notable in the latest data was that consumer spending had been lower than initially included - a sign, analysts said, that high oil and food prices were hitting the budgets of buyers for other things.

Ian Shepherdson, US economist for high frequency economics, said the sharp rise in the price of oil has helped stifle job creation.

"The trend in claims has pushed up to a little as companies responded to rising oil prices," he said.

Commenting on the figure of the GDP in the first quarter, Michael Gapen of Barclays Capital said that low consumption suggested that "the thrust of the global food inflation higher and energy prices cut into more than initially estimated real expenses."

For two months the rise in new jobless claims data was explained by statistics, seasonal or weather features.

Maximum number of 424 000 new claims Thursday - the previous week to 414,000 - came with no such explanation but the trend has been hard to deny.

"The initial data of claims, on balance, deteriorated in the second quarter," said RDQ Economics in a report.

"We can no longer hide behind (Ministry of labour) asserts that the increase in applications is bound quarter volatility.".

The unemployment rate of 9.0% has dogged the White House, which has tried to keep expenditure low rates of interest of the Government, and the competitive dollar to stimulate commerce and industry in the hope that they will start hiring.

Interviewed by a magazine for the elderly that he would like for its 50th anniversary on August 4, President Barack Obama responded: "a much lower rate of unemployment." And declining gas prices. Those who would be perfect gifts. ?

Economists said that they always plan a second half stronger, as consumers and businesses to adapt to the high price of oil.

The second half "will be better that oil has hit fades,", said Shepherdson.

"If reinforces the underlying economy as credit faster, because we believe, then the interruption of oil will not last longer and (new unemployed) claims will lead South once again in the summer."

But other more unexpected turns in the data information.

"The surprises of negative economic data have significantly only positive surprises,", said Deutsche Bank Securities.

But the bank kept at the same time its any year of the forecast at 3.4%.

"The theme remains that productivity is largely slowing as continued economic expansion, which means that the pace of hiring should accelerate - as is typical at this stage of an economic expansion".

See Sony returns to profit after the third annual loss

TOKYO - Sony plans a return to profit from this exercise after slides it into its third consecutive year of red ink, hammered by the cost of massive online security breaches and damage caused by the tsunami and an earthquake of March to the northeast of the Japan.

Based in Tokyo Sony Corp., said Thursday it expects a profit of 80 billion yen (975.6 million) for the current fiscal year, as the sales recover in TV flat screen, games, personal computers and network services.

Sony has accumulated a loss of 259.6 billion yen ($3.2 billion) for the year ended March 2011, most large net loss of the company in 16 years.

Latest Sony red ink is worse than the loss of 40.8 billion yen accumulated in the previous year and the loss of 98.9 billion yen for the year of prior to this.

Sony said that he hoped to boost sales for the fiscal year to March 2012 from 4.4% to 7.5 billion yen ($91.5 billion).

Losses are reminiscent of another difficult in the history of Sony period, when his bottom line was beaten in 1995 by the disastrous results of its operations in film, following the purchase of Sony studio $ 3.4 billion Hollywood Columbia Pictures in 1989.

Sony, which makes the game PlayStation and Bravia display console has crystals liquid televisions, has been fighting delays production and sales loss after supplier factories were damaged by the earthquake and tsunami.

It lowers its earnings projection, earlier this week quoting a charge, it must be related to damage of the disaster. He had initially planned to return to profit.

Sony has also faced a new kind of challenge to its reputation after a massive breach of security affecting more than 100 million online accounts and was forced to close its online gaming services last month.

Sony expects the costs of his misadventures of online safety of 14 billion yen (173 million dollars), covering the customer support, packets of gratification, legal costs, lower sales and beef safety measures.

He said, he has not confirmed any misuse of personal information may be stolen, but most security problems have arisen in recent weeks, including services in Greece and the Canada.

For the January-March quarter, Sony red ink is increased to 388.8 billion yen ($4.7 billion) loss of loss of 56.6 billion yen for the same period the previous year. Quarterly sales dropped 7.8% to 1.58 billion yen ($19.3 billion).

Sony remained in the red in its core TV business for seven years straight. A strong yen, which erodes the value of overseas sales and a decline in prices were behind the damage, despite selling more televisions, according to Sony.

Sony stock gained 0.1% to 2,238 yen ($27) in Tokyo, shortly before earnings were announced.

Lukoil the Russia posts 71 pct rise in favour of T1

Moscow - the second largest producer oil.

The Moscow-based firm said in a statement Thursday that its profit for the period January-March was up to $ 2 billion last year.

Lukoil, the largest oil private Russian company, said its turnover increased by 29.6 billion of $ 23.9 billion in that time.

The price for raw mix export of Russia reference, Ural, increased by more than 30% during this period year on year, analysts estimate.

Oil prices greatly contributed to offset the numbers in the production of crude oil, Lukoil, said, decreased by 5% a year, to 22.8 million tonnes.

Burberry year-round profits more than double

LONDON - British luxury goods Group Burberry PLC company is inciting openings again after outbreak of other accessories and leather bags Thursday that sales has more than doubled its profits throughout the year.

But strong earnings did not prevent a slowdown in the stock of the company of 155 years as some investors reserved some profits after the Burberry, said that its investment in expansion would hit operating margins in the first half of the fiscal year.

Burberry mounted a strong bulging in the market for luxury goods world to post a net profit of 208.4 million pounds (340 million dollars) for the 12 months at the end of March, compared to 81.4 million pounds the previous year.

Income to the company known for its distinctive red, black and Brown plaid fabric, stir-fry from 25% to ￡ 1.5 billion, 1.2 billion pounds.

Profits were driven out by an increase of 35% of sales of goods non-vêtements, such as jewellery, hand bags and shoes. High application of range of the Group was particularly strong in Europe Asia and Chinese tourists.

"For the moment Burberry remains a rare and remarkable enjoying retailer of a stellar growth trajectory,", said Richard Hunter, head of the shares of U.K. to Hargreaves Lansdown stockbrokers.

However, Hunter noted the company "remains." exposed to changes in demand for luxury products, which in turn is connected to the General global economic health

"In addition, the Group has a high exposure to clothing for a provider of luxury, which could bring some concerns that the change of fashion trends," he said.

Burberry shares fell by 4% to 1268 pence as the group based in London, said that throughout the year operating profit increase would be "modest" after three years of strong gains.

Still, Burberry plans to open new stores of 20 to 25 this year to capitalize on a strong rebound in the market for luxury goods world following the global economic crisis.

"While it is aware of the global challenges macro in the current year, we will continue to invest for growth across our portfolio by channel, product, region", said Chief Executive Angela Ahrendts.

High range sector has recovered much faster than the rest of the retail market.

Consultancy of U.S., Bain & Co. earlier this month retail sale above forecast sales of luxury in the world to grow 8 percent this year to euro185 billion. Bath predicted that the United States remains the largest market in the world with an increase of 8% of sales of euro52 billion, but noted a surge of 25 100 expected in growth in China. European growth, at the same time, has been estimated at 7%, while Japan - traditionally a strong performer - was expected to decrease by 5% after the recent earthquake.

Burberry focused these past new openings in the emerging markets, which represent 16% of the retail group and large income, including the India, the Brazil and the Mexico. It has now 174 stores mainline, 199 concessions in stores and 44 points of sale.

China, where it has 57 stores, is a major target for the company after paying 12 per cent of underlying retail sales.

Burberry is transformed in the course of the five years that Ahrendts held the position since its entry in the company of Liz Claiborne Inc., with star power as actress "Harry Potter" Emma Watson in the campaigns to counter perceived plaid fabric overexposure famous.

In the global financial crisis, society has established a program of spending reduction that reduces jobs in Britain and Spain, but he has stuck with openings in Asia and America. This year, the company plans an increase of 12-13% on average retail selling space, with a tendency towards China, Latin America and the Middle East.

Gains 1 q Tiffany up to 25 pct, raises an opinion (AP)

NEW YORK--in another sign that the sector of luxury high rest, Tiffany & Co. said Thursday that its profit in the first quarter increased by 25% on incomes higher in all regions in the world.

The results beat the top hand expectations and manufacturer of jewellery also raised its forecast for the year above current Wall Street estimates.

Shares rose $ 6, or 8.6%, to close Thursday at $76.04.

New York, known for its iconic turquoise box, the company said net income if student at 81.1 million, or 63 cents per share, for the three months ended April 30, of 64.4 million, or 50 cents per sharea year earlier. Net income includes 4 cents per share of expenditures related to Tiffany relocate its headquarters in New York.

Analysts expected 57 cents per share, according to FactSet.

Sautéed revenue 20 percent to 761 million from $633.6 million last year, significantly higher than the predictions of the analyst of 702.6 million.

High-end, commitment and gold jewelry selling particularly well, said investor relations vice president Mark Aaron. Silver jewellery, which sold well in the recession, since it is relatively low prices, had growth, but remains limited.

"The U.S. economic environment affecting expenditure by some of our customers of silver jewellery at entry-level price points will be probably difficult for some time," said Aaron.

In particular, sales in the Japan quickly recovered after the devastating earthquake and tsunami. About a quarter of Tiffany stores are in the Japan. The Japan sales increased by 7% to $ 123.4 million.

However, to the exclusion of the rise of the yen, sales fell by 3%. But, it was better than expected of Tiffany.

Revenue at stores open at least a year, a key industry metrics, also fell to 3%. Tiffany said all stores closed due to earthquake reopened.

Income in the Americas, the largest region of Tiffany, increased by 19% to $ 374.7 million. The region includes United States, Canada, and Latin America. Income from stores open at least a year increased by 17%, a jump of 23 percent to the Tiffany flagship store, New York a Mecca for tourists.

Revenue in the Asia-Pacific increased by 37% to $ 167.2 million. In Europe, income increased by a quarter of $ 85.6 million.

While some have speculated results in Hawaii and Guam would suffer less tourists Japanese, income in the region of six-store stores open at least a year actually increased 30%.

CEO Michael Kowalski said Tiffany introduce new products this year, will increase marketing and advertising and open 19 new stores during the year.

High costs of diamond Tiffany raise prices earlier this year and said Tiffany could raise prices again in the various categories and regions to offset the higher costs and precious metals. But the price increases have not discouraged shoppers, Aaron said.

"Clients are certainly aware of the rising costs of raw materials and we have not experienced any significant resistance to higher prices," he said.

For the full year, Tiffany expects now net adjusted $3.45 and $3.55 by action of orientation prior $ 3.35 to $ 3.45 per share. Analysts expected earnings of $3.31 per share.

Sales are expected to increase to a "percentage of adolescence" around the world.

Summary box: Heinz fourth-quarter net income rises

Higher PROFIT: H.J. Heinz Co.'s net income increased by 16% in summer million, or 69 cents per share, for the quarter.

Job losses: the company announced Thursday that il will shed up to 1,000 jobs globally in 2012 tax that il farm five plants. Heinz has 37,000 workers worldwide.

PRICES: the company, as most of the manufacturers of food, has already raised prices on some items to account for the rising ingredient costs but will make more increases in the future.

Heinz 4 q profit climbs, reduce 800 to 1,000 jobs

By SARAH SKIDMORE and MICHELLE CHAPMAN, AP Business writers Sarah Skidmore and Michelle Chapman, Ap Business writers - 2 hours 22 minutes ago

H.J. Heinz Co. global expansion efforts pay off the coast, at the wheel of his net income in the fourth quarter 16 per cent. But large manufacturer of the said ketchup that should raise prices and cut jobs to continue its profitable path.

The company, based in Pittsburgh, announced Thursday that it will lay up to 1,000 jobs globally in 2012 fiscal close five plants. Heinz has 37,000 workers worldwide. I

The closures will include two plants in the United States, both in Europe and the Pacific region. It lay approximately 800 to 1 000 positions and remain with 76 plants. Heinz does not more plants would close.

Heinz has looked like China, India, Russia and the Brazil emerging markets to help fuel its growth. The company recently acquired a majority stake in Brazilian food maker Coniexpress SA Industrias Alimenticias, which in fact brand ketchup Quero and other condiments. In November, Heinz purchased Foodstar, a manufacturer of Chinese soy sauce.

Emerging markets, composed of 17 per cent of its revenues in the fourth quarter. Heinz sales on emerging markets estimates will be more than 20 per cent tax in 2012.

"This is where the growth is in the 21st century," Heinz CEO William Johnson said investors at its annual meeting Thursday.

Heinz was million, or 69 cents per share, for the quarter. Is 192.4 million, or 60 cents per share, a year earlier, but it was short of the 72 cents per share expected on Wall Street.

Income increased by 6% to 2.89 billion, above the $ 2.87 billion analysts surveyed by FactSet estimates.

Heinz also raised its dividend by 7% on Thursday and increased his prospects throughout the year.

In addition to the closure of the plant, Heinz also said it will approximately spend $ 160 million to improve its manufacturing and accelerate the productivity of the exercise.

Among these changes is the creation of a European channel pole offer the Netherlands to consolidate the power of procurement, manufacturing, logistics and inventory of lead.

Heinz also stated that the costs of raw materials, which include everything from fuel and plastic food ingredients of base, have become such a challenge that productivity enhancements alone will not compensate. The company, as most of the manufacturers of food, has already raised prices on some points but will make more increases in the future.

Heinz expects now fiscal 2012 earnings of $3.29 to $3.39 per share, excluding the productivity investments. The forecast is based on the projected exchange rate. Analysts predict earnings of $3.33 per share.

For fiscal 2013, Heinz anticipates earnings between $3.60 and $3.70 per share on a constant currency basis.

Heinz shares rose 43 cents to close Thursday at $53.82.

____

Sarah Skidmore has contributed to this report from Portland, Oregon Michelle Chapman has contributed to this report from New York.

two companies to pay for irregular military seizures

WASHINGTON - two mortgage lenders will pay more than $ 22 million, combined to settle civil charges that they improperly barred on 178 military, some were used in wars in Iraq or Afghanistan.

Subsidiaries of Bank of America Corp. and Morgan Stanley failed to obtain court orders before imposing seizures between 2006 and 2009, the Department of Justice, said Thursday. Affairs will result in an average of $125,562 in payments per person. The seized homes have been in 22 States.

The regulation is "easily the largest amount recovered" for irregular military seizures, said Thomas e. Perez, Deputy Attorney General.

"Men and women who serve in the armed forces of our nation deserve, at least, to know that they will not have their houses taken illegally while they bravely put their lives on the line for their country,"Perez said. "

Among seizures on include several members of the service who had been injured or who suffers from post-traumatic stress disorder, officials said. One was a Iraq war veteran who was foreclosed in so that he was receiving counselling from nightmares and "nervous conditions" arising from his service.

The regulations, Perez said, lenders have agreed to create additional mortgage loan guarantees for military personnel.

The subsidiary of Bank of America, BAC home loans servicing, formerly Countrywide Home loans servicing and the subsidiary of Morgan Stanley, Saxon Mortgage Services, has also decided to consider possible cases of improper seizures as of Summer 2009 and 2010.

The Act that lenders were accused of having violated, Civil Relief Act of Servicemembers, offers protections to military personnel. Under the Act, they may not be expelled and the creditors cannot seize their property while they are in active service.

The Justice Department began its investigation earlier this year after separate investigations in the U.S. Marine Corps and Sergeant James Hurley, whose house in Hartford, Michigan, has been excluded on by Saxon in 2005 while he was in Iraq. Hurley moved with Saxon earlier this year for an undisclosed amount.

Case of foreclosure proceedings involving military personnel abroad started coming to light in 2005. Last month, based in New York JPMorgan Chase agreed to settle a class action for more than 60 millions of dollars. He was a Marine Corps captain who said that JPMorgan invoiced its military customers who took out mortgages with the Bank.

Earlier this year, JPMorgan acknowledged that he had charged about 4,000 members of service on mortgage loans and that it was foreclosed on 14 of them wrong. At the time, he paid $ 2 million to those who are affected and overthrown the seizures.

Federal officials say they are working to provide the most important financial protections for military families. A Federal Office devoted to military financial issues, the Servicemember Affairs Office, was launched in January and is to be incorporated in the Office of the financial Protection of newly created consumers.

S & P identifies troubling BGT, trends in the market (Reuters)

NEW_YORK, May 26 IFR)-assessments of property increasingly more aggressive, say "incentive management fees" for the properties of the hotel and return limited subscription "pro forma" are some disturbing trends that Standard & Poor cites as red flags in renewal rapidly evolving mortgage commercial security market.

In a report released earlier this week, Standard & Poor identifies several emerging trends - and a return to debatable "old" trends - recent CMBS transactions. United States CMBS market experienced "fairly rapid change between late 2009 and early 2011, as single-borrower is place in a market characterized by relatively larger and more complex multi-borrower transactions", wrote them the rating agency. Several structural characteristics were relaxed, while some evaluations of property are too optimistic, wrote the S & P.

"We continue to see where we believe that assessments are debatable, especially in the larger loans for certain types of goods, particularly the Office and hotel, on the primary markets, instances," wrote the S & P Credit Analyst James Manzi. "It's probably due to the fact that the loans are very competitive in these types of markets where insurance companies, pension funds, foreign investors and REITs can bid on the sides of the transmitters of BGT."

"The part which we believe should be more worrying for investors is that assessments appear to be building upside in rents and occupancy to arrive at a value for the properties in question instead of use of rents in place and rental at closing"manzi."added".

S & P also cited many examples of a limited return of subscription pro forma. According to S & P, the expression "pro forma" indicates that some aspects of the subscription for an indirect property loan is based on the occurrence of an expected (future) event, as a planned increase of rents or the assumption that a tenant would be take a currently vacant space and begin to pay the rent.

Most of the loans reported by S & P have rental or occupancy problems. For example, a loan on shops drive in Aventura, outside of Miami, was in the JPMCC 2010-C2 CMBS transaction, and the assessment of the property reflects a so-called "stable value", which means that the evaluation used some assumptions about future incomerather than realistic "as-is" value.

In the case of Boardwalk stores, although a lease has been implemented at the close of a tenant, Nordstrom Rack, space was vacant at the end, and no rent was payable until the property was occupied. "While scenarios like this may not be ideal, they are less risky, in our view, that the scenarios in which loans assume a significant increase of rents or occupation in their term, as was the case with many loans pro forma effected during the years of peak"Manzi has written."."

S & P also noted that several agreements of BGT 2011-vintage include accommodation, hotel loans or, in their top 10 loans. The sector is generally regarded as the less stable than other major commercial properties types, mainly because hotels reset their daily room price.

But what is most disturbing is a structural twist that S & P cites on a loan from the hotel (Marriott Crystal Gateway in Crystal City, Virginia) in operation DBUBS 2011-LC1 BGT relating to a so-called "management fees" by Marriott incentive.

Details of the terms for the transaction sheet show that Marriott rights were superior to the payment of services so-called debt to the lender, which is very unusual, said S & p and "take a significant cash flow part net when it happens."the analysts wrote. "As such, should be to assume a significant increase in revenue per available room (hotel) (called"Revpar") to compensate for it.".

Manzi said that in the estimation of S & P, daily average hotel room should increase approximately 30% to maintain the latest leak 12 months net cash flows, assuming that the tax increase has happened today.

The rating agency also noted there were more than ready to recent transactions with a single-tenant exposure, which is typically riskier than buildings with alignments tenant vast and diverse. In addition, several loans top 10 in these recent CMBS offerings are based on leases expiring before the expiry of the loan. In this situation, there is always the risk that the tenant will not renew There are lot of time and costs of replacement of a tenant default or main if she leaves.

S & P said it also looks to other trends including: an increase in the number of loans interest only partial-term, a weakening of the "remedy carve-outs" for fraud and bankruptcy and an increase in the complexity of deal structure, measured by the number of classes of transaction bonding.

(Adam Tempkin is senior analyst IFR)

7 Ways to bear the Stress of foreclosure

No matter where you live, the word foreclosure can be nerve wrecking and when faced with financial problems, the number of issues which surface can feel overwhelming. What happens if you pay your mortgage? Your bank will work with you? How long does take to exclude? What happens if you file bankruptcy? It's a handful of questions that you can keep during the night.

[Images: 10 Smart ways to improve your Budget.]

The thing most important to remember when confronted with a situation of foreclosure is that you are not alone and we're long as having need to feel ashamed. The housing market and current economic environment are some of the worst in decades and hardly a single individual cannot appoint someone they know how to go through the financial constraints. The most important thing is to keep your mental health. Did any how tough things are, your health should never be compromised because of a debt that is beyond your control. Here are some of the best things you can do to cope with the stress of foreclosure:

Good counsel

Solicitors for the foreclosure is a dime a dozen and probably one of the only growing professions in the country. You must change your energy by learning about your rights and your options. Banks have no obligation to do something for you, but the right lawyer can you inform your rights and play an important role in helping that you fall asleep at night.

It is not your fault

There are a lot of debate about this, but there are dozens of reasons why you may be facing foreclosure, and many of those reasons are beyond your control. A mortgage you never understood in a move forced with an upside down mortgage, sometimes it's just a matter of bad timing. While foreclosure is a personal thing, that nobody else really cares about your personal situation so that you have to take measures to protect your own finances and to provide for your family, in the best possible way.

Think Long term

If you are 50 percent upside down on your home do you really that you never even fairness? Why not consult a lawyer and consider a strategic default or selling weighing your options to have a House that may actually have future actions in it. Many consumers still think on how to pay simply mortgage the month instead of focusing on the portrait.

[See the stories of better personal finance of autour Web on the U.S. News My Money blog].

Reduce other financial constraints

Most of the people passing by foreclosure are not do so by choice, which means that you need to save money on all your invoices. Look for savings on the regular invoices and use of comparison shopping to find the right car market insurance tips save money and packages on items such as cable television and the internet. If the foreclosure was not planned it is important to know your financial house in order.

Understanding the stages of foreclosure

No one will take your home during the night. Foreclosure takes time and there are several ways to stall a foreclosure. For example, the average time as necessary to foreclosure in Miami, Florida is 619 days - Yes, almost 2 years before someone you kicks out. Of course, you need a lawyer to slow down the process, but several foreclosure lawyers work at only a fraction of your mortgage payment. This often gives that time when you reorder, save and perhaps even a loan modification. Obviously, the time depends on where you live, among other factors, but you will often much time to make a decision.

Talk about it

Financial stress can kill your social life and marriage. When it comes to real estate discussion on personal finance is not as taboo as it once was. Consumers have simply no love for banks, and by default on a mortgage is not this social scar that you may think that it is. Not only talk about will help but you will be surprised how many people are actually in the same situation and you can even learn some useful tips.

Move forward

Once you have enjoyed all the advantages and disadvantages of foreclosure leave the system works and with the right solicitor that he will probably be some time before you have to call a moving company. Your energy focused on getting your finances on track and leave the stress of a cooperative banks dealing with a lawyer.

There is no doubt that losing a home is a stressful process, but there are many options that a foreclosure attorney can help you with to make less stressful life and reduce the economic impact of your family. Ever feel like you are alone, chances are that someone in your street passes through the same thing.

Alan dunn is a serial entrepreneur and publisher of various consumer education sites, including a site with advice on how to save save a destination for consumers to compare auto insurance quotes.

Watch how invest IRA owners

In a large study of individual retirement accounts, employee benefit Research Institute (EBRI) concluded that investment decisions will go were very similar to those observed in 401 plans provided by the employer. In both cases, there is substantial evidence that people understand the need to diversify their assets and reduce the hazards of their investments as they get older. The two behaviors are highly recommended by investment professionals.

IRAs represent 25% of the total of the assets of the U.S. retirement. It is no doubt of the assets of investment more directly controlled by investors who often have little formal financial expertise or investment experience. Historically, there has been concern that investors are not good choices with IRAs or 401 (k) s for retirement.

The recent changes rules 401, triggered by the 2006 Pension Protection Act, used the behavioral economics lessons to force employees to enhance their participation in the plans and also to place their funds in default investment accounts that hold diversified mutual funds. These funds, more commonly known as fund date target, are designed to reflect risk and diversification of the participants needs according to their age. Older participants have funds with a lower percentage of stocks than younger participants. Over time, automatically moving funds their risk profiles to match age advanced to their owners.

No formal requirement or discipline governs the IRA accounts. Yet, the EBRI study found strong evidence that individual investors were adjusting their holdings over time and also to diversify their investments. "A percentage of equities and a growing percentage of binding and other assets have found that increasing age," it reported.

"The distribution of the assets in IRAs is very similar to that of 401 plans," added the EBRI study. "When comparing the overall percentage held in equities in 401... plans." the game of numbers closely with those found in the accounts of the IRA (37.4% in 401 and 38.5% in IRAs plans). The binding and the percentages of balanced funds are also similar (12.3% and 13.6% for the bonds and 12.3% and 12.1% in balanced funds, respectively).

Money market funds, and CDs are significantly higher in the IIA, the report added, but if money is combined with GICs [guaranteed investment contracts] and stable value Fund, in the plans of the 401 22.3% of the assets are representedcompared with the same percentage of the money in the ATP. However, it appears that individuals in IRAs are more likely to have more than 90% or more of their assets in actions that participants open. ?

These "extreme" investment models have also shown in the accounts of the IRA. EBRI tracks go more than 14 million. At the end of 2008, when these investment patterns have been identified, about a third of all IRAs were traditional accounts, a third in transfers from other pension plans, about 10 per cent in the plans for employees of small businesses and workers autonomeset 23% in Roth IRAs.

Unlike the other types of IRAs, Roths are funded with after-tax dollars, but their owners pay no taxes when they withdraw funds. Traditional iRAs are funded with dollars before taxes that are allowed to grow tax-free. However, when the funds are withdrawn, they are taxed as ordinary income.

Holders of Roth are most likely to have 90% or more of their assets account in stocks, according to EBRI group. He noted that the owners of Roth tend to be younger and Roth accounts are not normally used for basic retirement needs, but the additional expenditures. The two facts to explain why there is a risk profile higher in Roth accounts.

"The age of the owner will be increasing,"EBRI said,"less they are likely to have more than 90% in shares and less 10 per cent in bonds and cash.". This stems from the standard investment guide to reduce the allocation of assets with high variability in statements (equities) as an age. "A conclusion does not follow this guide is the approximate 20% of those under the age of 35 with more than 90% silver.

The study also revealed that the owners will go with more money in their accounts display a pattern of investment more conservative than with smaller balances account holders. "Go with the greatest balance ($250,000 or more) had more assets diversified across all asset classes - with the highest percentage of assets in bonds, money and other assets - that go in any of the categories of small account balance".

EBRI has noted that its conclusions on the accounts, does not count, and that many people control IRAs multiple. The next wave of research is examine several accounts and build a profile of investment decisions will be aggregate of individuals. He said also that he hoped eventually consider IRA and open accounts of the same people and thus create a more comprehensive look at the behavior of the investor.

Mortgage rates in the 52 weeks, a blow of eye

The average rate on 30-year fixed mortgages fell to 4.60% this week, Freddie Mac, said Thursday. Here is a historical look at the rate of fixed and adjustable mortgages for 52 weeks.Average rate 52 week 52 weeks high low30-year of the current of the previous week average fixed 4.60 4.61 5.05 3.78 3.80 fixed 4 1715-year 3, 575 - an adjustable 3.41 3.48 4.29 3.97 3. 251-an adjustable 3.11 3.15 3.95 3.11

We, people European Asian GAL in retirement savings: HSBC

London  - Global banking giant HSBC warned of a "major East-West divide" on pensions Thursday, as workers in Europe and combating U.S. to correspond to their Asian counterparts adequately for retirement savings.

The London-based Bank has revealed that the conclusions in a report entitled 'The future of retirement' after 17,000 people in 17 countries on attitudes to pensions survey.

HSBC said that the report highlighted "the emergence of the main East-West divide in the perception of retirement".

He added: "the impact of the economic slowdown had a measured impact, particularly in the developed countries of Europe and North America, where many people now expect to be worse than that of their parents when they enter retirement."

"However, this view is in no way universal with households in many parts of the world through the global downturn with their aspirations for a prosperous retirement largely intact."

"This is particularly true in emerging markets like China and the India economic powers," said HSBC.

Director of investments, pensions and savings bank, David Wells, said that "unless that Westerners take a leaf from the book of their Asian peers and begin to be responsible for their own future, unfortunately much will find that their fears of financial difficulties at the end of life are carries out."

HSBC said half of those questioned in its global survey is not a financial plan while 41 percent felt prepared for retirement.

The survey also showed that 32% of respondents were expected to face financial difficulties when they retire - but this figure fell to 17% in China.

The Bank said Chinese households saved the equivalent of 38% of the gross domestic product (GDP), while the figure is 35% in India. As compared to only 3.9% in the United States.

Some nations have implemented mandatory plans to change behaviour, but HSBC stressed education was necessary.

He said "the financial services industry clearly has a role to play in shaking the non-planificateurs in action". "The role of the brand and marketing must be accompanied by a mixture of other interventions."

The Bank appealed for "greater funding financial education creating basic financial education and awareness levels."

In addition, he suggested that Governments could grant tax relief on contributions of pension for workers.

"The key in this report message is that those who take the time to put in place a financial plan are much more likely to benefit from a positive retirement," concluded the HSBC.

"As our results show, financial planning has the power to transform our well-being in retirement."

Highlights ira Sohn: negative milkfish on First Solar, Vestas

NEW YORK- influential hedge fund manager David Einhorn called on Chief Executive Steve Ballmer of Microsoft to resign, while the famous short-seller Jim Chanos threw cold water on replacement during the annual energy companies Ira Sohn investment research Conference on Wednesday.

Ballmer, who succeeded co-founder Bill Gates in 2000, is "stuck in the past" and has become the largest overhang on Microsoft stock, said Einhorn, that accesses the fame to perform a prescient call on disorders of accounting of Lehman Brothers' before the collapse of the company.

Following his comments, Microsoft Corp shares traded as high as $24,40 after normal hours, 0.86% higher than the closure Wednesday of $24.19. Einhorn of Greenlight Capital holds approximately 9 million Microsoft shares or 0.11% of the outstanding shares of the company, according to Thomson Reuters data.

In another top of conference time, Jim Chanos recommended investors short business energy solar and wind power as first solar Inc. and Vestas Wind Systems.

In a presentation that prompted rare laughter of the audience, he acknowledged that his idea of the investment would disappoint "greenies" and the ruling elites.

Below is a compilation of ideas floated major investment at the Conference:

JIM CHANOS, KYNIKOS ASSOCIATES

IDEA: manufacturer of wind turbines put short Vestas and first solar solar company.

Milkfish stated why he thinks that renewables are not the panacea and do not create jobs administration Obama predicted - a contrarian idea to many investors.

Some analysts are skeptical that Vestas, which posted a loss in the first quarter, will meet its forecasts due to weak demand in the United States and sales of all of Europe.

Vestas said last October, it would cut 3,000 jobs and close five plants. Its shares fell 45% in the past year and are down approximately 12% through 2011.

Vestas shares, which are traded on the stock exchange Copenhagen, closed to 154.60 DKr before milkfish comments. The actions of the first solar 2.64% Wednesday.

DAVID EINHORN, GREENLIGHT CAPITAL

IDEA: buy Dutch insurer Delta Lloyd NV

Einhorn also sent higher Microsoft stock after normal business hours after he recommended the company's Board to replace its Chief Executive Steve Ballmer. "His presence is the largest overhang on Microsoft stock," said Einhorn. He particularly criticized Microsoft, saying research enterprise: it is time that the company considers strategic options in this area.

BILL ACKMAN, PERSHING SQUARE CAPITAL MANAGEMENT

IDEA: buy Family Dollar Stores Inc.

Ackman said Family Dollar, which has more than 6,880 discount stores in 44 U.S. States has succeeded in reducing the gap with its main competitor, which should translate into "outperformance very useful" for the company.

He also said that the company could become an interesting target for debt.

Shares of Dollar of the family, which closed Wednesday at $54.82, increased by 1.4 percent in comments of after hours following commercial Ackman.

DINAKAR SINGH, AXON TPG CAPITAL

IDEA: buy Sprint Nextel and Orkla Asa.

Singh said the Sprint Nextel are cheap and sees a head of 40 to 70% for them. He said that much investment in society is underway, he believes that the Government is "designed to ensure that sprint remains a viable competitor" after the merger between AT & T and T-Mobile.

Shares of sprint closed 0.51% greater than $5.87.

It is also positive about the Group Norwegian conglomerate Orkla, whose line of product lines from food metals.

PHILIP FALCONE, HARBINGER CAPITAL PARTNERS

IDEA: buy Crosstex Energy

The actions of the pipeline operator rose by 11.3% to close to $10.16 after Falcone said they could rise to $ $18-20.

Falcone, the Harbinger capital which has approximately 9.8% of Crosstex, expects earnings of the company before interests, taxes and amortization to climb to at least $ 230 million this year of $ 182 million in 2010.

He also said he expects the company to Lightsquared wireless broadband to make public in the future.

BOB HOWARD, KKR & CO

IDEA: buy WABCO Holdings Inc. and HSN Inc..

WABCO Holdings shares, a provider of security and control of commercial vehicle systems, enriched by more than 3 percent after Howard said that they are worth almost $100. They close 3.12% higher to $68.

Shares of HSN, a teleshopping and e-commerce operator, ended 5.14% higher at $32.71 following his comments.

JEFF ARONSON, CENTERBRIDGE PARTNERS

IDEA: buy CIT Group Inc.

12 Billion in cash, the business lender company led by former Merrill Lynch Director General John Train could buy traditional bank or become a target of acquisition, says Aronson, citing HSBC and Wells Fargo as "logical purchasers."

CIT shares closed 1.9 percent higher at $41.64.

STEVE EISMAN, FRONTPOINT FINANCIAL SERVICES

IDEA: buy stocks of property-casualty, insurance brokers and major reinsurers.

ACTIVIST INVESTOR CARL ICAHN

Connected Icahn Icahn Enterprises LP. The billionaire investor says he would like to keep taking more companies and it would have a user-friendly manner.

(Reported by Svea Herbst-Bayliss and Matthew Goldstein, compiled by Walter Brandimarte; editing by Matthew Lewis and Andre Grenon)

Rep. Frank helped land partner Fannie Mae employment

WASHINGTON - Rep. Barney Frank, said Thursday he has contributed to his then-partner land employment with Fannie Mae in the 1990s while Frank served on the House Panel overseeing the mortgage company.

Said Democratic Massachusetts that he had rented the Herb Moses qualities when an officer of Fannie Mae was approached and asked about Moses. Frank said the Executive, Gerald r. McMurray, had previously worked on Capitol Hill and knew that Frank and Moses were family partners.

"I said: ' Yeah, I think (Moses) is great.". Here is his story, check, he ' "Frank recalled in a telephone interview with the Associated Press."

Said Frank which is the only contact he had with Fannie Mae on Moses and employment, an entry-level analyst position. A Fannie Mae spokeswoman declined to comment on.

Frank, a member of the House Financial Services Committee, was responding to a new book on the financial crisis, "reckless endangerment," which for the first time his role in helping the Moses to carry out the work.

The cited book Moses hires friendships that flourished between the Congress and Fannie Mae, as he attempted to win favourable treatment of legislators who oversaw the ready giant as an example.

Frank called for any question concerning a conflict of interest "ridiculous". Congress at the time was considering legislation to improve the supervision of the Agency of the mortgage.

The Member of Congress said that many members of Congress have spouses who work for the Federal Government.

"It is a very common thing," said Frank. "There is no rule against it." Washington is a very small community. ?

Frank said that it was not a member of the Subcommittee which deals directly with legislation on Fannie Mae when Moses works. He also said that when the financial services Commission was formerly regarded as a measure which would have limited the Executive compensation at Fannie Mae it simply voted "present" and made a public statement on participating does not to vote because that partner works.

Moses, who had already worked as an economist in the Department of Agriculture, had just obtained an MBA from the Amos Tuck School of Business at Dartmouth before he was hired by Fannie Mae in 1991. Moses left Fannie Mae at the time he and Frank split in 1998.

Fixed mortgage, rate of fall 2011 lows

NEW YORK - fixed mortgage rates hit the lowest point of the year for the third consecutive week.

Freddie Mac said Thursday that the average rate on the 30-year loan fell to 4.60% of 4.61 per cent. It is the lowest point since mid-December. The average rate in the 15-year fixed mortgage, a popular refinancing option, slipped to 3.78% 3.80%. That marked the lowest level since late November.

Rates fell for six weeks in a row. They tend to follow the performance on the ticket of 10 years of the Treasury, which is dragged lower this week on concerns about the crisis of debt in Europe.

To make buying a home more attractive, the low mortgage rates, sales are still collapsing. Sales of new homes rose in April from the previous month, but are falling close to a quarter of last year, the Commerce Department said Tuesday. And the number of people in homes previously occupied purchase is well below what economists consider healthy, despite increased activity in April.

To calculate the average mortgage rates, Freddie Mac collects rates lenders across the country on Monday to Wednesday of each week. Rates fluctuate often significantly, even within a single day.

The average rate for a five-year rate mortgage increased from 3.48% to 3.41%. The loan of five years hit at 3.25% last month, the lowest rate on records dating back to January 2005.

Also, the average rate on a loan variables-one year decreased to 3.11% of 3.15%. Which was the level low in the last year.

The rates do not include the cost of the add-on, called points. A point is equal to 1% of the total amount of loan. The fee for the 30-year fixed average ready and ready fixed 15 years in the survey of Freddie Mac was 0.7 point. The average fee for the five-year arm and the arm of 1 year was 0.5 of a point.

Summary box: Hormel Foods 2Q Profit rises

INCREASE profits: net income in the second quarter by Hormel Foods Corp. soared 41 per cent of establishment million, or 40 cents per share, on the solid performance of its chilled food and his company Turkey Jennie-O.

Highest price: revenue of Hormel increased 15 percent 1.96 billion, due to the increase of prices.

EXPECTATIONS: Analysts provides 41 cents per share on revenue of $ 1.82 billion, according to FactSet. Hormel shares fell $1.83, or 6.1%, to $62.54 on a cautious for the remainder of the year.

Costco Wholesale posts higher Q3 results

BANGALORE  - Costco Wholesale Corp. (cost).(O) posted a quarterly profit higher that it sold more than gasoline, and received a boost from stronger foreign currencies.

The largest club of warehouse earned U.S. 324 million dollars or 73 cents per share, in its exercise, third quarter ended May 8, compared with a profit of $ 306 million, or 68 cents per share, a year ago.

Costco, which sells everything from gas necklaces of diamonds at a discount for its members, said net sales rose 16% to 20.19 billion during the quarter.

Sales in stores open at least one year, or same-store sales, past 12 per cent. With the exception of inflation in the price of gasoline and stronger foreign currencies, same store sales rose 7 percent.

Quarterly results include a charge before tax of 49 million dollars, or 7 cents per share.

Shares closed at $81.35 Tuesday on the Nasdaq.

Hormel 2Q profit rises, stimulates the year outlook

PORTLAND, Oregon - profit in the second quarter of Hormel Foods Corp. rose by 41 percent on the strong performance of its chilled food and his company Turkey Jennie-O, while higher products cut in its other lines.

The company, based in Austin, Minnesota, raised prospects of income for the year Wednesday based on the results.

Hormel, like many food manufacturers, out with higher on everything from grain to fuel and raised its price to offset this pressure. The company said it expected to face charges higher for the rest of the year and will continue to raise prices and reduce the costs to maintain profitability.

"We believe that our strong portfolio of brands and our balanced model will help to overcome these barriers," said CEO Jeffrey Ettinger.

Hormel earned establishment million, or 40 cents per share, for the quarter ended May 1. That is $ 77.9 million, or 29 cents per share, a year ago. Analysts expected a slightly higher to 41 cents per share, according to the value is.

Income increased 15 percent from $ 1.96 billion, beating the analysts predicted $ 1.82 billion.

Hormel made gains on both volume growth price increases and sales. The company food refrigerated, which represents more than half of its revenues, was one of its best performers. Income increased by 17% as shoppers bought more Hormel party trays and Deli meats. Jennie-O revenues increased 25 percent, helped by stronger price reductions and markets meat products.

The company has struggled more grocery, where revenue increased only 1.4%. Similar Span and Dinty Moore stew products sales were strong, while microwave products and imported canned meats are lower. The profitability of this segment fell to the higher cost of entry.

Similarly, revenues of specialty food increased more modest 4 percent, while operating profit was hampered by higher raw material.

Hormel now expected income net of the exercise of $ 1.67 to $ 1.73 per share, up from prior guidance of $1.62 $ 1.68 per share. Analysts expect $1.71 per share.

However, investors were concerned about the ability of Hormel to support this kind of growth in view of the volatility of the prices of raw materials. Standard & Poor Equity Research has lowered its opinion on the actions of Hormel to "Sell" from "Hold", saying: it has increased concerns about the pressures of profitability on the pork and the Hormel Turkey businessdin light of changes in the prices of cereals.

CEO of Hormel Jeff Ettinger, said society has been able to adjust prices to response to these changes, but like the rest of the industry, to a certain degree of uncertainty in commodities. But he remains focused on the engines of growth in the long term as the expansion of product lines, production and popular with shoppers.

Hormel shares fell $2.31, about 8%, to $27.71 in morning trade.

Costco earnings and profits jump in Meur

PORTLAND, Oregon - income net of the Costco Wholesale Corp. third quarter rose 6 percent sales increase and costs of membership consisting of lower margins.

But the big club operator has warned that the rising costs of everything, meat of cotton T-shirts will continue to pose a challenge, as it did in the third quarter. The dark news of one of the strongest the nation retailers surprise some investors Wednesday.

"In all, inflation hit her throughout the world," Chief Financial Officer Richard Galanti of Costco said investors. "It will continue."

Costco reported earnings of $ 324 million, or 73 cents per share, far from 77 cents analysts expected. Which increased by 306 million, or 68 cents per share, earned a year ago. But the shares of Costco fell $1.19 to $80.16 in afternoon trading.

A charge of 49 million for an accounting adjustment was that captured most attention. The LIFO charge, which means last-in-first-out, reflects a requirement that the company to reassess its inventory if prices rise or fall notably. Because prices have increased, Costco was to showcase its stocks higher and which added 7 cents per share at its expense.

Costco said he expects to take a similar charge in the quarter course and potentially beyond as commodity prices continue to increase. Galanti said that other retailers can do similar actions.

It is part of a larger struggle for the industry. The increase in the costs of many common goods such as fuel, cereals, cotton and coffee are passed as well as by the manufacturers. Almost every manufacturer of food and beverage to the United States raised prices recently to offset these pressures.

Costco and other retailers, in turn, try to balance the higher prices that they encounter with the desire of consumers for low prices. Costco has raised prices on some goods but resisted the increase in prices on the other. For example, only recently raised prices in its same bakery company if prices for wheat and other ingredients had a leap of several neighbourhoods.

Shoppers have flocked Costco, based in Issaquah, wash., in the economy down for transactions on everything from food to furniture. This trend continued in the latest quarter.

Costco revenues increased 16% to 20.62 billion, just above expectations of analysts surveyed by FactSet. The number of shoppers in its stores and the amount that they spent per visit continues to rise.

Analysts said that continuing trends sales post impressive business and its basic underlying remains solid.

"The overall performance was solid," said Brian Sozzi, an analyst of Wall Street Strategies Inc. "but the fact is that the market aspired to more."

Toll Brothers posts smaller loss in fiscal second-quarter (AP)

LOS ANGELES - builders luxurious Toll Brothers Inc. said Wednesday that its mainly wealthy customers begin to get rid of concerns about the housing market and they buy houses again.

The Builder said its contracts for new homes increased by 7% and home delivery increases 9% in February to April from the previous year.

He also posted a small quarterly loss and raised its forecast for the number of houses that it expects to deliver to this exercise.

Toll Brothers shares reached 28 cents $20.91 in after-sales Exchange after the addition of 36 cents to end at the regular session Wednesday at $20.63.

The results bucked the recent trends among major manufacturers, whose most posted lower number of sales for the first three months of the year than the previous year, when a federal tax credit helped to fuel sales.

That Government was incentive, aimed primarily at primo-homebuyers, not much of a factor for toll brothers. The constructor is primarily intended for owners who are looking to trade in a more beautiful home and a sterling credit, employment and can afford a 30 percent downpayment.

These buyers was a great success in the financial crisis that began in the fall of 2008, but their fortunes improved as the stock market recovered. Their main obstacle to buy now is in many cases, concern when the housing market will recover.

But CEO Douglas Yearley said that these concerns appear to be easier, or at least starting to take a back, for a large number of buyers of the toll.

"We believe that some of our customers, after waiting so long, are beginning to move off the coast of the fence and on the market, motivated by attractive prices, low interest rates and, especially, the desire to take the next step in their lives"Yearley said."".

While describing the spring season of sales similar to last year's home, Yearley said that he sees signs of stability in the market and the improvement through the offerings of toll brothers.

The company raised prices in some parts of the city of New York and Hoboken, New Jersey, by as much as 10%, compared to a year ago. He has also climbed a community of luxury price near Detroit where the houses are priced in the middle of 500,000 s $.

Still, toll pricing remained flat in many other markets, Las Vegas, Phoenix, Chicago and low secondary residences remaining market of Florida, said Yearley.

"We tried adding incentives to see if that drive demand, and he did not," he said.

The average price of the contracts of newly signed of the toll for the quarter increased by 1%.

Five years after the housing crisis, many buyers remain discouraged by unemployment high, strict standards and concerns that the values of houses could decrease more loan.

The United States sales new houses increased by 7.3% in April to an annual rate, seasonally adjusted from 323 000. It was the second consecutive monthly increase. A normal housing market would produce a rate of about 700 000 sales per month.

Toll Brothers, which is based in Horsham, PA. and has operations in 19 States, has seen his company more strong over the past two years, but it is still lower than it was before the economic slowdown.

The company reported a net loss of $ 20.8 million, or 12 cents per share, in the three months ended April 30. That compares to a net loss of $ 40.4 million, or 24 cents per share, a year ago.

Revenues spent 3 percent 319.7 million 311. 3 million dollars a year earlier.

Analysts surveyed by FactSet had expected a loss of 4 cents per share on revenues of 320.5 million.

Projects brothers toll houses prices delivered $ 540,000 to $ 560,000 in the second half of its fiscal year.

Cancellation of the contract rate is increased from 5.3% to 3.9%.

The constructor also provides that it will be between 2,300 and 2,800 houses this fiscal year. He previously said shipments could be as low as 2,200.

Toll Brothers had 203 communities at the end of the quarter and expects to finish the year with 215-225. It is 190 at the end of fiscal year 2010, but well below its record of 325 communities, four years ago.

It plans to open 35 new communities at the end of the year, many of them in the mid-Atlantic region.