World News
TEPCO Saved By $12.5 Billion Bankruptcy Bailout From Japanese Government
WORLD May 10, 2012 | 4:11 PM
- Bailout puts Tokyo Electric Power Co under temporary state control
- 10-year restructuring plan includes cost cutting measures, new management and increased energy costs
- Japanese public distrustful of nuclear power in the wake of the Fukushima Dai-ichi nuclear plant meltdown in 2011
The Japanese government has agreed to pay Tokyo Electric Power Co., one of the world’s largest utilities, a $12.5 billion bailout as part of a 10-year restructuring plan that will save TEPCO from bankruptcy; it also places TEPCO under temporary state control.
TEPCO has been in financial crisis since the March 11/11 Fukushima Daiichi nuclear plant meltdown, which followed a 9.0 magnitude earthquake. The company still owes billions of dollars in compensation claims and must pay cleanup expenses. It is expected to take decades to stabilize the Fukushima reactors and cleanup the area.
Read more »$8 Billion Annually Invested Into US Airport Security Procedures
WORLD April 17, 2012 | 11:01 AM
- TSA sees 70% failure rate in detecting threats in random tests
- US Travel Association says 66% of travelers would fly more if security procedures were less intrusive
- Economist debate concludes US should return airport security to pre-9/11 levels and spend savings on “intelligence, investigation and emergency response”
Currently, the US Transportation Security Administration (TSA) has an $8 billion annual budget and a 70% failure rate detecting threats related to weapons and bomb components in random tests, according to the Economist magazine.
These findings beg the question of whether the multi-billion dollar airport security measures in the US are doing more harm than good.
Read more »Australia's “Down Under” Tourism Comes Out On Top
WORLD April 11, 2012 | 11:34 AM
- Domestic tourism contributed over $73 billion annually to Australian economy
- Travel to Australia from China up 4.5% over last year
- Potential to add $9 billion to Australia's tourism economy by 2020
According to a new report recently released by Tourism Research Australia (TRA), domestic tourism was responsible for contributing more than $73 billion annually to the national economy.
Further, results published by the Australian Bureau of Statistics indicate that tourism’s direct contribution to the nation’s Gross Domestic Product (GDP) was $34.6 billion in over 2010 – 2011. Despite the high Aussie dollar, natural disasters and global economic challenges, the numbers equate to an increase of about 2.7% in total tourism GDP over 2010 – 2011.
Read more »Google’s New Privacy Policy: Benefit or Threat to Users?
WORLD March 7, 2012 | 10:21 AM
- Google streamlines 60+ privacy plans into one
- EU and privacy groups oppose Google sharing user information across multiple Google-owned sites
- Google aims to improve user experience across its platforms
Google is proceeding with much-publicized plans to streamline 60+ privacy policies into one overarching policy that covers various Google platforms and services. This change will allow Google to compile and share an individual’s browsing data and web history across various Google-owned sites (e.g: Blogger, gmail, Youtube, Google +) once logged into Google.
User information was not previously shared across different services.
Read more »Japan Approves Additional $9 Billion In TEPCO Aid
WORLD February 15, 2012 | 6:08 PM
- TEPCO forecasts loss from reactor meltdowns, compensation claims to near $9 billion
- TEPCO may seek $25 billion in funding to recoup costs
- Japanese authorities approve restart of two idled nuclear reactors
Despite receiving over $11 billion in aid from Japanese government just a few months ago, TEPCO was approved for yet another near $9 billion as it struggles to clean up from reactor meltdowns and meet compensation claims following the March 2011 Fukushima nuclear disaster.
By month end March 2012, TEPCO anticipates its losses will be at nearly $9 billion, which is up from its November estimate of almost $8 billion. The company, which has 29 million customers in the general Tokyo area, reported a loss of approximately $16 billion last fiscal year.
Read more »How Is The Euro Crisis Impacting The Travel Market?
WORLD February 14, 2012 | 3:11 PM
- Euro crisis affecting hotel expansion decisions in EU zone
- Indian hoteliers having trouble raising occupancy due to Euro crisis
- Mediterranean cruise lines with increased capacity struggling to attract more US passengers
No surprise that the Euro financial crisis has major consequences for its 17 members, but it also has an impact on the world travel industry in ways that are both predictable, and in some cases surprising.
Take hotels, for example. No shock that Hyatt Hotels Corp. says it is weighing the financial crisis in evaluating its expansion plans.
Read more »BP, Chevron Losing Oil Spill Battles
WORLD January 31, 2012 | 2:23 PM
- BP denied right to collect payment from Transocean to help fund $40 billion needed to clean up Gulf Oil spill
- BP required to indemnify Transocean for compensatory damages
- Chevron fined $50 million, drilling license suspended due to recent oil spill in Brazil
A US district court judge has ruled that BP Plc cannot collect funds from Swiss-based offshore drilling contractor Transocean Ltd. as reimbursement for billions used to clean up the 2010 Gulf of Mexico oil spill. BP filed a lawsuit in April 2011 alleging Transocean was responsible for paying part of the $40 billion needed for clean up and economic losses.
Judge Carl Barbier wrote in his 30-page decision: “BP is required to indemnify Transocean for compensatory damages asserted by third parties against Transocean related to pollution that did not originate on or above the surface of the water, even if the claim is the result of Transocean’s strict liability.”
Read more »Japan: Fukushima Nuclear Clean-Up To Span 40 Years
WORLD December 23, 2011 | 12:02 PM
- Japan sets 40-year roadmap to clean up the wrecked Fukushima
- Fukushima plan will use robots and other new technologies to navigate hazardous waste
- Tepco shares drop as a result of potential ramifications stemming from debt it has incurred
The Japanese government has released a 40-year plan that local officials feel is highly ambitious to clean up and decommission the Fukushima nuclear plant.
After being hit by both a debilitating tsunami and earthquake earlier this year, Fukushima was rendered out of commission and injured nearly 160,000 victims. However, Japan’s detailed 40-year plan should eventually return the surrounding area back to normal.
Read more »Brazil Wants $11 Billion From Chevron, Transocean For Oil Spill
WORLD December 16, 2011 | 4:13 PM
- 3,000 barrels of oil leak into Compos Basin over 8 days in November
- Brazil’s National Petroleum Agency fines Chevron $28 million after oil spill
- Chevron announces gas find off west coast of Australia
Brazilian prosecutors are suing oil company Chevron and oil rig operator Transocean to the tune of almost $11 billion. The suit aims to suspend both company’s operations after an eight-day oil spill near Rio de Janeiro in November leaked 3,000 barrels of oil into the Compos Basin.
The suit threatens to thwart the country’s plan to double its crude oil output over the next decade. Brazil relies on Transocean, which operates more than 15% of its oilrigs. Chevron, the second-biggest oil company in the US and third in Brazil after Petroleo Brasileiro and Royal Dutch Shell, fell 3% to just over $100.50 in New York following news of the case. Transocean fell almost 4% to just over $40.
Read more »Can Putin Reinvent Himself To Win Russian Presidential Election?
WORLD December 13, 2011 | 6:05 PM
- Controversial results of Russia’s December 4 parliamentary election put Prime Minister Vladmir Putin’s United Russia Party slightly lead with 53% of vote
- Russian authorities allowed a massive protest on Dec 10
- Putin must reinvent himself to rise above presidential opponents, including most recent candidate billionaire Mikhail Prokhorov
The results of Russia’s December 4 parliamentary election, putting Prime Minister Vladimir Putin’s United Russia Party slightly in the lead, sparked much controversy and protest.
Technically winning only 49% of votes – down from 64% four years ago, the United Russia Party was nonetheless given 53% of the vote after redistribution from the three election parties did not satisfy the 5% threshold.
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