|Bid||0.00 x 0|
|Ask||0.00 x 0|
|Day's Range||39.74 - 41.19|
|52 Week Range||31.62 - 66.74|
|Beta (5Y Monthly)||1.13|
|PE Ratio (TTM)||9.87|
|Forward Dividend & Yield||2.12 (5.00%)|
|Ex-Dividend Date||Feb 05, 2020|
|1y Target Est||65.05|
(Bloomberg) -- The U.K. is homing in on a solution to the shortage of ventilators needed to address the growing coronavirus crisis with help from Formula 1 motor racing teams and corporate giants such as Siemens AG and Airbus SE.Prime Minister Boris Johnson last week appealed to manufacturers of all stripes to help build 30,000 ventilators so that the National Health System doesn’t run out of capacity. The publicly funded system only has just over 8,000 of the devices in operation today.Adding urgency to the challenge is the rising number of U.K. cases of coronavirus: on Tuesday, the Health Department announced more than 1,400 new cases and 87 more deaths. Health service chiefs have warned that a lack of ventilators may soon force doctors to choose which patients get access to the life-saving equipment.While production of the new devices is yet to start, progress has been swift, and an announcement on the way forward is likely in the coming days, according to two people familiar with the matter, who asked not to be identified because they weren’t authorized to speak publicly.Ventilator Makers Can Speed Up, But They Face Shortages of PartsJohnson’s request caused initial confusion, with some dismissing his ambition as unfeasible. But three groups have been formed: one is looking at scaling up production of existing ventilators, the second at designing new models, and the third at reverse-engineering them.The first of those groups -- which includes Airbus, Siemens, Smiths Group Plc and the Mercedes and McLaren Formula 1 teams -- is working on two designs: one for non-critical patients, which can be produced in relatively high numbers, and one for patients in critical care, according to one of the people. Also in the group is Penlon Ltd., which already makes anesthesia machines that perform some of the functions of intensive care ventilators.On March 20, Formula 1 issued a statement saying a collective of U.K.-based teams were working on the ventilator project. “All the teams have expert design, technology and production capabilities, and specialize in rapid prototyping and high value manufacturing, which is hoped can be applied to the critical needs set out by government,” it said.Seven F1 teams are focused on rapid prototyping and design, as well as validation and testing, according to one of the people familiar. The manufacturers would then step in to produce the devices in bulk.The U.K. isn’t alone in seeking help from business to deal with the coronavirus: in the U.S., Ford Motor Co. and General Motors Co. are helping to step up production of respiratory devices.For more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
ZURICH/FRANKFURT (Reuters) - Siemens <SIEGn.DE> managing board member Michael Sen will no longer take charge of the new energy business which the German engineering group wants to spin off later this year, it said on Thursday, after he agreed to leave the company. Siemens also announced that longstanding Chief Executive Joe Kaeser would leave the company and be replaced by deputy Chief Executive Roland Busch by early next year at the latest, making official a move that was expected. Sen had been one of the favourites to succeed 62-year-old Kaeser before he was named CEO designate of the 27 billion euro ($28.84 billion) Siemens Energy business last September.
Hedge fund behemoth Bridgewater has shown its hand in Europe with roughly $15 billion in bets against companies on the continent and in Great Britain, filings reviewed by Reuters show. The world's biggest hedge fund manager's short positions amount to more than $5.3 billion in France and $4.7 billion in Germany, while in Spain its shorts add up to almost $1.4 billion and $821 million in three Italian companies. Hedge funds engage in the practice of 'shorting' by borrowing a stock from an institutional investor, such as a pension plan, and selling it back at a profit when the price drops.
Germany on Friday promised half a trillion euros in guarantees for business - and more if needed - in a four-point plan to tackle the economic impact of the coronavirus epidemic, winning a thumbs up from economists. "We have the financial strength to overcome this crisis," said Finance Minister Olaf Scholz. Economy Minister Peter Altmaier said he hoped the coronavirus outbreak would only cause a blip in growth rather than the crisis of the decade.
(Bloomberg) -- A quiet Huawei Technologies Co.-led 5G revolution is unfolding at the heart of Europe -- in the bucolic Swiss hamlet of Taenikon.Far from President Donald Trump’s campaign to stop the world from using the Chinese company’s technology, cows in this northern Swiss village -- with its white-washed cottages and manicured fields -- wear Huawei’s 5G-connected neck-straps instead of traditional flat bells. And in the village’s Cistercian abbey, converted into a test farm, Switzerland’s second-biggest telecommunications operator, Sunrise Communications Group AG, and Huawei test the next-generation 5G wireless network.“You could call it a Fitbit for cows,” said Alexander Lehrmann, Sunrise’s chief of new business development and internet of things, referring to Fitbit Inc.’s fitness device. “It allows farmers to get complete control and insight into their health conditions at any time and from any place.”While countries in Europe are grappling with U.S. claims that Huawei’s gear could open them up to Chinese spying, Switzerland is quietly building a network with the company. Flying under the radar, the Swiss have become world leaders in the rollout of 5G technology with the early sprouting of private and public networks. Entities from the Zurich airport, the national mail service and railways to food giant Nestle SA and Zurich Insurance Group AG either have or envisage private networks with Sunrise, whose exclusive supplier is Huawei.“The Swiss government has done a very neutral and objective evaluation of Huawei and they have come to the conclusion that there is no significant other risks included in the technology and in Huawei as a company,” Sunrise Chief Executive Officer Andre Krause said in an interview. “(But) if the reputation of Huawei is continuously under pressure, that could also have an impact on us at some stage.”The stakes are high as networks move toward the new-generation technology that promises faster connections, enabling uses such as autonomous vehicles, remote surgery and the transfer of data over a network without human-to-human or human-to-computer interaction.For now, much of what’s happening with Huawei in Switzerland is the industrial use of 5G, or private networks, that draws less attention. But Switzerland is also the first country in Europe to start using a commercial 5G network for individuals in a limited way, amid opposition from environmental and health activists fighting antenna emissions.Read: Health Scares Slow the Rollout of 5G Cell Towers in EuropeThe U.S. has been frustrated by Europe’s refusal to accede to Trump’s demands to keep Chinese tech companies out of advanced 5G networks. The U.K., France, and Germany are all looking to keep the door open to the Chinese telecom giant in some way, snubbing the U.S. view that Huawei could be a security risk. Italy, Croatia and Hungary, like Switzerland, have signed partnerships with Huawei.The Chinese company in February touted as many as 47 commercial contracts for 5G in Europe, more than in Asia. It claims to have 91 contracts, but did not respond to queries seeking details.Still, the European Union may force member states to eventually change some of the deals after the bloc published a series of security recommendations in its “5G toolbox” that could keep non-European gear makers out of the network core, towers and towers bases.Switzerland, which is not a member of the European Union, doesn’t face those constraints. Swiss insurers and pharmaceutical companies are testing Huawei’s 5G networks. Huawei has also built a partnership with the Swiss engineering company ABB Ltd., which is seeking to offer industrial partners competitive 5G platforms.Sunrise’s Lehrmann said banks haven’t yet signed up. He said Sunrise is present in Swiss hospitals, where “the use case is what can you do in order to improve the patient experience by connecting data.”Swisscom, the former monopoly is also testing the industrial technology but won’t disclose its gear maker. Salt, the Iliad SA-owned Swiss operator, is working with Nokia.“Radio Network Antennas (the technical name for private networks) are inside offices, factory, hospitals, whatever it is,” Duncan Stewart, Deloitte’s director of research in telecommunications, told reporters in Paris Feb. 4. “The machinery in your factory, the robots, the sensors, the cameras, the turbines, all these IoT devices, will only work on the private 5G networks.”Stewart forecast that by 2030 almost all companies with more than 10,000 employees may have private 5G networks.Some other European countries are also testing private networks.The Port of Rotterdam, Europe’s biggest, has tested the technology starting 2018 with the national telecom operator KPN in partnership with Huawei, according to KPN’s website. Germany has prioritized the expansion of its industrial 5G application too, allowing companies to apply for private networks with gear makers, without necessarily going through a telecom operator. Companies including Bosh in partnership with Nokia, Siemens with Qualcomm Inc. and Volkswagen are building such networks.To Sunrise’s Lehrmann, the situation is simple.Customers “are looking at 5G as a technology that allows them to drive new uses and new business cases,” he said.On the test farm in Taenikon, meanwhile, cows eat, sleep and stroll under surveillance cameras. Their milk production, health and other data are transmitted at speeds about 100 times faster than current networks and processed in real-time. The test is meant to see how remote farms can function, information Sunrise and Huawei can use for other applications to boost factory output, enable big data usage in the finance sector or take health care in hospitals to a newer level.“The Swiss population and economy depend on high-performance mobile communications,” Sunrise’s Chief Administrative officer Marcel Huber said on his LinkedIn account in February.\--With assistance from Angelina Rascouet.To contact the reporters on this story: Helene Fouquet in Paris at firstname.lastname@example.org;Albertina Torsoli in Geneva at email@example.comTo contact the editors responsible for this story: Giles Turner at firstname.lastname@example.org, Vidya RootFor more articles like this, please visit us at bloomberg.comSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Annual wind generation in the United States totals 300 million megawatt-hours (MWh) in 2019, exceeding hydroelectric generation by 26 million MWh.
Moody's Japan K.K. has affirmed Mitsubishi Electric Corporation's (Melco) A1 issuer rating and Prime-1 commercial paper rating. At the same time, Moody's has changed Melco's outlook to negative from stable. The outlook change to negative reflects Melco's overall margin being under pressure from a fall in profit in its key Industrial Automation Systems segment.
In an exclusive Barron’s interview, the boss of the German engineering giant talks about the Siemens Energy demerger, the health of global markets and fears on sanctions.
Moody's Investors Service ("Moody's") has today affirmed Alstom's Baa2 long-term issuer rating, its Baa2 senior unsecured rating and the P-2 short-term commercial paper rating. Concurrently Moody's changed the outlook to stable from positive. The change in Alstom's outlook to stable from positive was prompted by Alstom's announcement that it has signed a Memorandum of Understanding with Bombardier Inc. (Bombardier) and Caisse de dépôt et placement du Québec (CDPQ) in view of the acquisition of Bombardier Inc.'s (B3 negative) Transportation business (BT) for an equity value of E5.8bn to E6.2bn.
(Bloomberg Opinion) -- In 2014 the French manufacturer Alstom SA was burning cash, its debt was rising and it was under investigation in the U.S. for alleged bribery. By selling its sprawling energy division to its better capitalized rival General Electric Co. the following year, Alstom shed 70% of its revenue, paid down borrowings, and refocused on its remaining business: building trains. In hindsight, it played a blinder.Five years later Alstom is involved in another transformational deal, only this time it’s in the driving seat, while Canadian manufacturer Bombardier Inc. is the one in need of emergency balance sheet help, having burned through cash because of delayed aircraft projects and mismanaged rail contracts.On Monday the Canadian conglomerate completed a downsizing that’s every bit as drastic as Alstom’s was. The French manufacturer has agreed to pay about 6 billion euros ($6.5 billion) for Bombardier’s rail activities, which account for about half of the Canadian company’s sales. Alstom will own a globe-spanning rail business with 15.5 billion euros of combined sales and a 75 billion-euro order backlog. Having already announced an exit from commercial aviation, Bombardier will be left to focus on making private jets.The fossil-power assets that Alstom parted with in 2015 were hurt not long afterward by the rise of solar and wind power, forcing GE to book billions of dollars of impairments. GE is now mulling a sale of the steam turbine business. There’s reason to think Alstom’s trains acquisition will be a better deal than the one secured by the Americans.Unlike gas turbines, rail demand is booming because of urbanization and climate fears. Germany, where Bombardier’s train unit has its headquarters, plans to invest an astonishing 86 billion euros ($93 billion) in expanding and modernizing its railways by 2030. As long as Bombardier’s rail contracts aren’t in a worse state than is known publicly, and competition authorities agree to the takeover, Alstom should do fine.At first glance, it’s surprising that these two big train companies are stitching together a deal so soon after the European Commission blocked Alstom’s attempt to join with Siemens AG’s rail unit. Alstom’s willingness to endure the approval process again attests to the new deal’s attractions and the more limited risk of it being blocked. While Alstom and Bombardier both have large European businesses, Bombardier isn’t a big player in European signalling or very high-speed trains, where the Commission’s antitrust worries are most acute. While getting bigger will help Alstom compete against Chinese rail colossus CRRC, that’s not the main appeal.Bombardier’s rail unit generated a derisory 0.8% operating return on sales in 2019 after it screwed up several large contracts. But Alstom is confident things will improve with better management; until recently Bombardier’s profit margins were superior to Alstom’s. Meanwhile, Bombardier’s installed fleet of about 100,000 vehicles will provide lucrative servicing work.Including assumed liabilities, Alstom is paying about 12 times Bombardier’s historic adjusted operating profit, in line with similar transactions. Alstom’s own shares trade on more than 17 times operating profit, according to Bloomberg data. It is acquiring a business with similar revenue, while paying a lot less than its own 11 billion-euro market capitalization.Alstom’s share price has more than doubled since 2016 thanks to strong orders and those better margins. That explains why it’s funding most of the transaction with equity, rather than debt. Alstom’s shareholders will be asked to contribute 2 billion euros via a rights issue, with a bigger chunk coming from Canadian pension fund Caisse de Depot et Placement du Quebec (CDPQ), which will have an 18% stake in the combined company.About 400 million euros in promised yearly cost savings — worth about 3 billion euros to Alstom shareholders — won’t depend much on plant closures, which can be politically difficult and expensive. That’s reassuring for investors and employees.For Bombardier, the benefits don’t look as impressive, reflecting the pressure to sell. The transaction lets it shift about $1 billion of pension liabilities to Alstom but Bombardier must pay to retire some convertible stock that it sold to CDPQ back in 2015. This means it will receive only about $4.5 billion of net proceeds to help pay down its $9 billion debt pile. Net indebtedness should decline to about $2.5 billion, or about 2.5 times the Ebitda it expects to generate from its remaining business aviation activities.Such leverage is still ample for an aerospace company, albeit one with a refreshed lineup of private jets and a $14 billion order backlog. Unlike trains, corporate aircraft have a more uncertain future in an era of climate-related flight shame. Still, the lesson of Alstom’s recent history is that it’s possible to shrink and thrive. On an investor call this week, Alstom’s senior managers sounded like they couldn’t believe their luck in getting hold of Bombardier trains given such a rosy demand outlook. They shouldn’t celebrate just yet. When GE announced its takeover of Alstom’s energy business in 2014, Siemens AG prepared a counterbid. Siemens also has history with Bombardier, having held talks about a possible combination of their rail businesses in 2017. For now, there’s no sign of a rerun — the antitrust hurdles are off-putting — but the Germans will be watching closely.To contact the author of this story: Chris Bryant at email@example.comTo contact the editor responsible for this story: James Boxell at firstname.lastname@example.orgThis column does not necessarily reflect the opinion of Bloomberg LP and its owners.Chris Bryant is a Bloomberg Opinion columnist covering industrial companies. He previously worked for the Financial Times.For more articles like this, please visit us at bloomberg.com/opinionSubscribe now to stay ahead with the most trusted business news source.©2020 Bloomberg L.P.
Moody's América Latina Ltda., ("Moody's") has assigned a Ba1 global scale and Aaa.br national scale ratings to the second issuance of senior secured debentures by Janauba Transmissora de Energia Eletrica S.A. ("Janauba" or "the project"), in the amount of BRL575 million, due in 2044. The Ba1/Aaa.br ratings are supported by Janauba's 30-year concession agreement to build and operate transmission assets providing for strong cash flows for the project in the operating phase. The ratings incorporate our expectation of a stable and predictable revenue stream dictated by the availability-based contractual structure combined with operations of low complexity, yielding to an average DSCRs of 1.74x, under Moody's base case, for the period in which the principal is amortized (2025-2044).
French transport infrastructure company Alstom is in talks over a potential $7 billion acquisition of Canada's Bombardier’s train business, marking the latest attempt by Western rail companies to bulk up in the face of Chinese competition. Bombardier and Alstom have both attempted to merge with German engineering company Siemens. Alstom has sites in 60 countries, including manufacturing facilities in France, Canada, the United States, Australia, Brazil, Poland, Italy and India and its rail and e-bus division reported over 6 billion euros ($6.50 billion)in orders in the fiscal year to March 2019.
Europe's future must be based on fair competition rules, EU antitrust regulators said on Monday, after Germany and France reiterated calls for a speedy overhaul of the bloc's rules to help EU companies better compete with U.S. and Chinese rivals. French Finance Minister Bruno Le Maire, German Economy Minister Peter Altmaier, Italian Industry Minister Stefano Patuanelli and Poland's Development Minister Jadwiga Emilewicz in a joint letter to EU competition and digital chief Margrethe Vestager called for proposals by the end of June. Le Maire and Altmaier kicked off the debate more than a year ago after Vestager vetoed Siemens <SIEGn.DE> and Alstom's <ALSO.PA> bid to merge their rail operations to face off Chinese competitors.
BlackRock, the giant fund manager, has publicly scolded German engineering group Siemens for an Australian project criticized by environment activists.
A leading electric vehicle charging network and a trade group that represents America's travel plazas and truck stops said on Thursday they plan to leverage $1 billion through public and private funding sources over the next decade to encourage the broader adoption of EVs. Automakers Volkswagen AG, General Motors Co and Ford Motor Co have announced plans to spend billions of dollars over the next several years launching EVs in a bid to directly challenge electric carmaker Tesla Inc, which has its own network of charging stations.
Expect the ECB, the EU, and stats out of Germany to provide direction later in the day. News updates on the coronavirus will also be in focus, however.
European shares retreated from recent gains on Wednesday as concerns over the virus outbreak in China persisted, while markets also waited for service-sector activity data from the bloc. The pan-European STOXX 600 index fell 0.2% by 0803 GMT, having recently recovered from a week of heavy selling as investors gauged the economic fallout from the fast-spreading coronavirus. The focus now turns to the January reading for IHS Markit's services purchasing managers' index, which is expected at 0900 GMT.
The separation and planned listing of Siemens's energy business is on track to be completed in September, Siemens Chief Executive Joe Kaeser said on Wednesday. Siemens will soon decide on the location of the new company's headquarters and expects its carve-out from the rest of the company to be mostly completed by the end of March, he said. An extraordinary general meeting will take place on July 9 to get shareholder approval, while a capital markets day is planned for September, Kaeser told a news conference.
Siemens AG said late Tuesday that it would acquire Iberdrola SA’s stake in Siemens Gamesa Renewable Energy SA for 1.1 billion euros ($1.22 billion).
Siemens came under increased pressure from climate change protesters and its own shareholders on Wednesday over a contract to supply an Australian coal mine, demanding that Chief Executive Joe Kaeser cancel the deal. Inside, a procession of shareholders queued up to support their call, worried about the environmental impact and carbon emissions from the project. As the company announced weaker-than-expected earnings, Kaeser said Siemens would become climate neutral by 2030 and it was "almost grotesque" that it had been singled out by environmentalists for criticism.
Siemens <SIEGn.DE> is buying Iberdrola's <IBE.MC> stake in Siemens Gamesa renewable energy <SGREN.MC>, the German engineering company said, as it prepares to merge the business with its own energy unit ahead of a floatation later this year. Siemens on Tuesday approved the purchase of the Spanish utility's 8.1% stake in SGRE, at a price of 20 euros ($22.08) per share. Siemens will pay 1.1 billion euros and will transfer the shares to its future Siemens Energy unit, combining it with its gas and power business, the Munich company said.
Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of EIF Channelview Cogeneration, LLC and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future.
Siemens Healthineers' <SHLG.DE> operating income slipped 11% in the first quarter of its financial year, despite higher revenue, as the German company sold less profitable imaging machines and incurred ramp-up costs for its new blood-testing machines. First-quarter revenue rose 8.7% to 3.59 billion euros, slightly above expectations, the Siemens subsidiary said, adding it was maintaining its outlook for 2020 fiscal year through September, predicting growth in adjusted earnings per share of 6% to 12%. Siemens Healthineers' shares were down 4.6% at 1057 GMT to a three-month low, with Credit Suisse analysts saying that while the Atellica challenges had been known, weak imaging margins posed a new concern.