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At a time when many manufacturers are seeking solutions to their difficulties in Europe, the alliance between PSA Peugeot Citroen and General Motors supplies all conversations at the Geneva show. The French on Tuesday launched a capital increase of one billion euros, after which GM will take 7% of the shares of PSA, the Peugeot family from 31 to 25.2% of the capital. This operation gives us "the ability to make the necessary expenditures to investments with GM on a number of projects," says Jean-Baptiste de Chatillon, the CFO. These are "projects we wanted to achieve, but we did not have the capacity to do so quickly," everything "with greater efficiency than if we were alone," he says. Ideas that focus on small cars, station wagons, "crossover" and minivans. The first vehicle will arrive in 2016

"We have identified the programs on which we want to work with PSA. Others could be added to as and when cooperation takes place in a climate of trust, "said his side Stephen Girsky, vice president of GM. Thanks also to the pooling of purchases, both grouped hope everyone save $ 1 billion per year from 2016.

"PSA needs cash"

The least we can say is that the two rival groups are skeptical. Renault, Nissan ally of Japan for thirteen years (which it owns 43.4%, while Japan has 15% of French), has been especially reserved. "In our design, an alliance must be based on cross-shareholdings. This way, everything a manufacturer implements to take his partner's expertise, he gets a real return, "financially, reacted Carlos Tavares. The COO of Renault also recalled that in his view, create a common purchasing structure, and especially the engineers to work together, "takes time". In short, the operation is over, he said, an "equity participation of GM" in a context where PSA is "in need of cash."

Daimler believes that the combination PSA-GM is not the same nature as its partnership with Renault (through cross-holdings of 3.1%). "As our cooperation with Renault is to add strength, especially this new alliance is trying to tackle challenges in Europe," said Dieter Zetche, the boss of the German specialist high end.

The site of Aulnay-sous-Bois threatened

All observers point out that this approximation leaves unresolved the issue of overcapacity of the two manufacturers on the Old Continent payday loans. "They have the same problem, I wonder how they will learn from each other to solve it," said Carlos Tavares. PSA and GM said they would address this issue separately. PSA has its problems of overcapacity in Europe "on 18 to 24 months" to come, has also said Denis Martin, director of industrial PSA. By the presidential election, an announcement seems impossible, but the site of Aulnay-sous-Bois, which will produce the Citroen C3 until 2014, seems particularly threatened after that horizon. The future sites Sevelnord, near Valenciennes, and Madrid, is also uncertain. Meanwhile, Opel could close two new plants in Europe, Germany and Britain, according to U.S. media.

For his part, Sergio Marchionne, the boss of Fiat-Chrysler, says it "would not like to be in the shoes of GM," because "a stake of 7%, which does not provide an integration of European , is not the right answer "immediately, even if beneficial effects will be to" medium and long term. " Fiat "remains open" to a merger with a third partner. "All" potentially of interest to manufacturers, including Renault, apart from the German Volkswagen and Daimler, which are not considered "technically compatible with Fiat."

The U.S. company invests 304 million

PSA announced details of its capital increase of one billion euros, intended both to seal an alliance with General Motors and give itself the means to continue investing. The price of the transaction, which runs from March 8 to 21, was set at 8.27 euros, reflecting a discount of 42% over the course of Monday. However, existing shareholders have preferential subscription rights (DPS), which have a value. For them, the discount is reduced to about 32%. General Motors has committed $ 304 million to acquire 7% stake. Of this amount, 80 million used to purchase approximately 55.6% of the DPS of the Peugeot family. This will subscribe the capital increase for the balance – representing an investment of around 150 million – and will see its stake reduced from 31% to 25.2% of the capital of the manufacturer.

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Who will be the big loser of the arrival of Free Mobile? While Orange, Bouygues and Vivendi have just published their annual results and must submit his Free Thursday, the operators have their accounts.

In only six weeks, Free Mobile would have earned 1.5 million customers, according to estimates by Stéphane Richard, CEO of France Telecom. Free for now refuses to confirm.

But everyone sees what he lost. Orange said 400,000 of its customers had left for Free Mobile. Bouygues Telecom, a quarter of customers since January parties have joined Free Mobile or 134000. SFR did not elaborate, but analysts said it could provide around 300,000 customers Free Mobile.

500,000 net new subscription

It remains to evaluate clients lost by MVNOs, network operators without these, like Virgin Mobile, La Poste Mobile, Auchan Telecom, etc.. "Some of these operators have lost heavily at the start of Free Mobile. While some have reacted very quickly, it was to stop the bleeding. They have de facto acted as shock absorbers for Orange, SFR and Bouygues, "said one analyst.

MVNOs with models based on commitment and with a strong distribution network suffered the least. And NRJ Mobile, which has 90% of customer engagement in and benefits from the network of bank branches CM-CIC, has limited the damage. The operator that displays 1.1 million customers continued to win in January, before losing around 5,000 in February. "Ultimately, MVNOs may have lost between 200,000 and 300,000 customers," said one analyst.

Summing up all these figures, Free Mobile would have earned about a million customers in the market in its various competitors. The remaining 500,000 would net creation, that is to say, new subscriptions. Given its attractive price, consumers who already have a subscription and can be subscribed to the offer 2 euros (EUR 0 Free for subscribers) as a second subscription or subscription relief.

One thing is certain: the fierce competitive battle was triggered not leave room for all operators and everyone is fighting for its survival.

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Just arrived in Brussels Monday afternoon, Christine Lagarde has distributed the good report was expected of her: "Greece has clearly made major efforts … Now, we need others to do so efforts, and International Monetary Fund (IMF) is ready to work on these bases. "But the CEO was well refrained from giving any indication of the magnitude of the amounts that the Fund might have to put in the pot.

Curiously the German Jörg Asmussen, one of six board members of the European Central Bank (ECB), had announced yet for granted: "We Europeans are waiting (IMF) participate again in height third of the new program "(130 billion euros). This is totally excluded, it says in the entourage of the patron saint of the IMF.

Gone are the days when Dominique Strauss-Kahn had established de facto, in spring 2010, a totally new principle, that the IMF would participate in up to one third in terms of aid to Greece and Ireland and Portugal, the Europeans providing the other two thirds. This rule was applied to the latter two countries, but not quite to Greece where the IMF in assistance loans was only 27%.

And for good reason. It was noted in Washington that the loans in Athens have already exceeded the usual ratios: a country can not receive aid exceeding ten times its share capital to the IMF, according to an unwritten rule but was consistently observed for more sixty years. However, the facilities already enjoyed by Greece reach a multiple of 25.

Accountable

Second difficulty, according to the Wall Street Journal on Monday, the latest "Report on the debt sustainability" would show that by 2020 the ratio was 129% instead of 120% which are considered the maximum allowable. If teams Fund refuse to confirm the risk of skidding, the better to reaffirm that it is imperative that the limit of 120%.

Christine Lagarde, more than ever needs to be accountable to all its 187 shareholder countries, including the United States, which have veto power. While Tim Geithner, U.S. Treasury Secretary, said Sunday that "the United States encourage the IMF to support the agreement (European)". But this does not mean that his country is ready to increase the capacity of the Fund.

The Deputy Tim Geithner even said last Thursday before the Senate, he was no question that Washington is participating in the strengthening of the IMF, including Christine Lagarde has officially set the bar at $ 500 billion. Remember that this project all the countries of Southern Europe that the IMF might have to rescue them.

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Eric Besson this Wednesday morning at the University Paris-Dauphine, his new plan, Digital France 2020 laying down broad objectives for the digital sector, which now accounts for 3.7% of employment in France and 5 2% of GDP.

Some fifty measures, the minister will announce that the government wants to free up additional spectrum for the development of mobile broadband. Good news for mobile operators, which, given the exponential growth of traffic, would need additional 450 megahertz. Good news in perspective as to the state, who can expect royalties.

The Council of State suspended the execution of the decree of September 29 on the sale prices of natural gas, the institution announced on Monday. Gas prices are definitely a real headache for the government. Enact increases in the order of 4 or 5% per quarter is difficult to six months of a presidential election, particularly in times of crisis. So the government there decided by a ministerial decree of 29 September, to freeze the rates for individuals. This price stability followed that decided on July 1.

Problem: after much negotiation, the State and the suppliers had agreed in December 2010 on a formula, which was to end criticism of the political nature of periodic reassessments of gas tariffs.

During the crisis, tensions continue. The markets had another busy day, Thursday: doubts about the ability of the euro area to overcome the debt crisis have sealed the shares. They weighed on bonds issued by France and Spain led to a further surge in rates especially Spanish and Italian in the secondary market – the debt of "opportunity." The French rate also rose, to a lesser extent, before new Italian bond purchases by the ECB do a general relaxation.

European capitals are still struggling to unite, despite these new turbulence. Or because of them. Thus, the debate on the role of the European Central Bank it off again with a vengeance payday loans.The ECB's independence is considered an insuperable line in a country that is traumatized by hyperinflation of the 1930s. For Berlin, the only way to restore confidence in the euro area is to institutionalize fiscal discipline. Changes in the European treaties must strengthen the powers of Brussels to punish offenders, said Angela Merkel.

The Chancellor reiterated Thursday its opposition to further action by the ECB. "The European treaties such as we see them do not give the ECB the opportunity to resolve these problems," she says.

From our correspondent in Berlin

The symbol will not have escaped anyone. The first act of the EU summit held in Berlin earlier this afternoon. German Chancellor Angela Merkel recueillli a very large majority, including within its own ranks, having traced the Bundestag outline of the stabilization plan for the euro area, as envisaged by Germany.

Some 503 deputies of 596 votes cast, approved the "motion" filed jointly by the government majority and the opposition. The two pages of the text set to Angela Markel its room for negotiation, deal with its European counterparts, tonight no question of charging more the European Central Bank, making it taste too many Germans. And not about to spend more than 211 billion euros already pledged by the country.The Chancellor had to fly to Brussels with a clear mandate, intended to strengthen the positions defended by Berlin.

She assured members that the solutions involving the ECB for the enlargement of the European Financial Stability Dondi "are no longer on the table" for negotiations provided for in the evening. A key point for Berlin, where the risk of inflation is the line not to cross. Therefore the purchase of government bonds on the secondary market should be transferred to the ECB EFSF. The outstanding guarantees amounting to 211 billion euros in Germany, will not be increased, has added Merkel.The conclusions of the summit will EFSF then again ratified by the Bundestag, the chancellor promised.

Need to amend the Treaties

"Unemployment has not been this low in 20 years" in the country said Angela Merkel, stressing that it will work on the implementation of "viable" tonight online payday loans. But Germany can not continue to act as if its European partners are in trouble. This is why Europe must become a "union of stability." The objective is clear: "prevent the crisis from spreading to other European countries."

For Greece, the Chancellor said that the goal is to "find a solution that would allow Greece to have a debt / GDP ratio of 120% by 2020." "It is impossible without the private sector participates more strongly than had been decided in July," she said.The discount should be between 50% and 60%, parliamentary sources said.

"The report of the troika shows that Greece is the beginning of a long and difficult road," said Merkel advocating sending a permanent mission in Athens to help the country return to growth .

For Angela Merkel, the crisis demonstrated the need to modify the EU treaties to impose greater "stability culture" in the economic and monetary union. Berlin wants to include enhanced penalties, with the possibility of prosecution before the European Court of Justice, for countries that violate the rules of the European Stability Pact. "We must repair the imperfections of the euro, now or never," she insisted.

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The IEA has revised upwards its forecast 15% annual investment needs in energy. More than 1500 billion dollars (1095 billion) will be needed annually for twenty-five years or 38,000 billion by 2025 and 27,700 billion – to meet global energy demand while respecting objectives in the fight against climate change. Fatih Birol, the very influential chief economist of the IEA announced the figure on the occasion of the Ministerial Conference of the twenty-eight Member States of the Agency, which opened Tuesday in Paris for two days.

The hydrocarbons are becoming more expensive to extract, while renewables are still expensive, says the IEA.Shareholders will they go to needs? Fatih Birol is concerned on two points.

For oil (26% of investment needs to be 10,000 billion), "90% of the production growth will come from the Middle East. If within five years, investments in infrastructure are not to go to this region, will be major implications for oil prices that will fly, "warns Dr. Birol.

Second concern: electricity. "Over 1.3 billion people still do not know", said the expert. About 9 billion dollars are invested every year, "for access to electricity for the poor payday advances."But it would take five times as much, $ 45 billion, mostly in Africa and Asia."

"Governments act without speaking"

For Fulvio Conti, CEO of the Italian electricity Enel, now in Paris for the meeting between ministers and industry, these investments will only be possible if the regulation is "clear and stable," compatible with the time scale of the energy industry is extensive. "Unfortunately, the boss lamented Italian governments acting alone, without speaking. There are rules asymmetrical. That is why we, industrial, have raised our voices, "at the ministerial conference of twenty-eight Member States of the IEA.

In contrast, José Sergio Gabrielli de Azevedo, CEO of the Brazilian national oil Petrobras shows an optimism. His company will invest alone $ 224 billion within four years.Brazil relies on the growth of its deposits "présalifères" buried under the Atlantic to increase production to 5 million barrels per day (mbd) in 2020 half of Saudi production against 2 million bpd now. All smiles, the Brazilian incarnation of emerging countries, says the sweeping fears of a recession, "the future is bright."

New blow for the euro area. After Fitch, it was the turn of Standard & Poor's to break down a notch credit rating of Spain, which changes to "AA-". The rating agency also maintains a negative outlook on the country. In other words, a further downgrade of the country can not be excluded.

The agency believes that financial services' growth prospects are uncertain "because of" increasing risks "facing the economy. The agency referred in particular to "the incomplete reform of the labor market will continue to hinder economic recovery." In the view of S & P, Spain could fall into recession next year, with GDP expected down 0.5%.

The fragility of the financial system is also the Achilles heel of the fourth largest economy in the eurozone.S & P is concerned and "a probable further deterioration of asset quality of the Spanish financial system."

The agency also questioned the budgetary targets of the Zapatero government. The Spanish public deficit forecast at 6.2% of GDP for 2011 could be exceeded. As for reducing the deficit to 4.4% of GDP in 2012, it will not be possible without "additional measures".

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Fitch Ratings lowered the rating two notches from Spain, which now stands at "AA-". Spain held so far a "AA +", the fourth highest on a scale of twenty. More worryingly, the note is accompanied by a 'Negative' outlook, which means that the agency could lower it back to medium term.

Spanish growth at half mast

Moody's in turn should decide by the end of October on a possible downgrade Spanish now "Aa2" (the third best possible)."With significant funding needs" of the Spanish State, to cover its budget expenditures and net external debt is "one of the highest in the world" (91% of GDP), said Fitch, "the more volatile strong a negative effect on financing conditions in the market of Spain. "

But there are also internal factors in the country "risks to fiscal consolidation as a result of performance parts." The same agency Fitch has lowered Wednesday including the long-term rating of the Basque Country, one of the richest region in which it criticizes the "weak fiscal performance." Growth forecasts have been revised downwards. Wednesday, the Bank of Spain announced that the country's growth expected to slow in the third quarter, to reach an economic activity 'lackluster'.The Spanish government has also recognized that the economic growth targets it had set for 2011 and subsequent years would be "hard to reach" because of the risk of recession in the world.

Italian governance into question

Fitch also lowered the rating one notch to Italy, "A +" against "AA-" and does not see her again in the fall if the country would miss its targets for reducing the budget deficit. Fitch was the last of three major international rating agencies have not downgraded from Italy since the beginning of the debt crisis in the eurozone guaranteed unsecured personal loan. She explained that the high level of public debt and budgetary financing needs, combined with the low level of potential growth (the country), made in Italy especially vulnerable.The Agency is challenging the country's governance and stressed that the differences in the Parliament and the escapades of the prime minister Silvio Berlusconi, help to weaken the ruling coalition.

Belgium heckled by Dexia

Belgium is also in sight. The agenceMoody's said it was considering lowering its rating, currently at "Aa1", the second best possible. The agency cited three reasons: the crisis in the euro area, concerns for economic growth and the possibility of additional support to the banking system, particularly in establishing Franco-Belgian Dexia.

Another European country in turmoil, Portugal, has been confirmed its rating of "BBB-" (the last before falling into the category of "speculative") by Fitch, which continued on negative watch at least until the end of the year.Standard & Poor's, confirmed Tuesday the rating "BBB-" from Portugal, while maintaining it as a negative outlook. Portugal, the third country in the eurozone after Greece and Ireland to receive international financial assistance, is facing new economic challenges that undermine his efforts to clean up its public accounts. Progress in implementing the program of the European Union and the International Monetary Fund (IMF), and its budget for 2012 will be crucial.

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