Category: Business

Germany’s RWE Won’t Build New Nuclear Plants Abroad – Report

RWE AG : Germany’s RWE Won’t Build New Nuclear Plants Abroad – Report

06/17/2012 | 05:24pm

German utility RWE AG (RWE.XE) has decided it won’t manufacture any new nuclear plants abroad after Germany’s accelerated nuclear-energy exit, Munich daily Sueddeutsche Zeitung reports in a pre-release of an article in Monday’s edition.

Citing people who attended a managers’ meeting of the company in Istanbul, the paper reports that RWE’s incoming chief executive, Peter Terium, informed the company’s high-ranking managers of the management board’s decision at the gathering.

The decision, which signals RWE will exit the international nuclear-energy business in the coming years, is also supported by the company’s municipal major shareholders, the people familiar with the matter told the newspaper.

Mr. Terium, who will become CEO at the beginning of July, plans to expand the company’s solar-energy business in Germany, the newspaper reports. RWE plans to build solar-power plants together with municipal utilities and also wants to enter the business with private customers, the newspaper writes.

Newspaper website: www.sueddeutsche.de

Write to the Frankfurt Bureau at djnews.frankfurt@dowjones.com.

via RWE AG : Germany’s RWE Won’t Build New Nuclear Plants Abroad – Report | 4-Traders.

June 18, 2012
A Visit To The Turkish CIP Lounge – One Of The Best Star Alliance Lounges!

On our recent trip to Istanbul and London, we had a chance to visit Turkish Airlines’ CIP Lounge located inside the Ataturk Airport in Istanbul (The CIP stands for Corporate Incentive Program).

We arrived early at the airport for our Lufthansa flight to London (via Munich) specifically to make sure we had ample time to experience the well regarded lounge. The lounge had been through a major renovation and was re-opened on July 19, 2011. What we experienced would not disappoint!

After going through the formalities with the Lounge Attendant and entering the Lounge, the first thing that caught my eye was the Billiards table that was set up for guests to use. I’ve seen pictures of the lounge previously, but it still caught me by surprise. Normally you would not expect that in an airline lounge.

Billiards pass the time before a flight…..

Another feature that I normally do not see when using a lounge (especially in the USA) is an area to securely lock your luggage in a locker. You set your own combination much like the safe in a hotel room and are free of your luggage while in the lounge or if you decide to leave the lounge and explore the airport shopping areas.

Safe and secure storage of your luggage

The architecture is certainly unique within the lounge (I mean that in a very good way!). The 32,000 square foot lounge is segmented into “Spheres” using circular structures that help break up the size of the lounge. At the same time it does lend a sense of warmth to what otherwise would just be one extremely large room.

The circular design lends warmth to the lounge

A view from the eating area toward the Biliiard “Room”

Much of the Lounge is daylit. I noticed very little artificial light throughout the lounge. This also helped with the warm feel within the lounge. It also allows the lounge to have real flowers and tree throughout!

Plenty of day light allows for live plants and trees

In addtion to the Billiard Table, other forms of entertainment are offered for both young and less young. The lounge offers a dedicated Child’s Play Area, A dedicated Theatre Room, A Media Wall covered with flat screen TVs, a Player Piano as well as a bank of Apple Computers (not pictured)for use by lounge guests.

Let the Lounge entertain your children

As comfortable as a Home Theatre Room

9 Screens…..something for everyone.

Player Piano provides soft music

The food service in the lounge is very good. We were there during breakfast service and had ample options including continental breakfast options as well as options such as Omelettes and Menemen from the kitchen area. Of course, the Coffee and Tea offerings were impressive, but what else would you expect in a Turkish Lounge!

Dining Area adjacent to the Kitchen

Additional Dining Area

Excellent and delicious breakast!

One food related item that stood out to me among all others was the way they “presented” honey. Normally honey is simply in a bowl or some single serve packet. Not here. The honey here is directly from the Hive, including the Hive’s frame. Its set up in such a way that the honey slow drips out of the Hive and into a serving plate. I thought this was spectacular!

Fresh from the Hive…..

Ample beverage choices including Coffee, Tea, Juices, Water and a self-service Wine cart:

Large variety of Coffee and Tea

Well stocked beverage cooler

Self serve wines

As much as I enjoyed our time in this lounge, there is one minor disappointment which has to do with it’s location. There is no decent view from the lounge. All the views look away from the airport, so there is no chance to watch the activity on the tarmac and runway. Some may not care, but being a “closet” plane-spotter, I would have liked to watch the Airplanes move about the airport while enjoying my eggs!

A few other bits and pieces from the Lounge visit:

The Lounge is accessible by passengers flying in Business Class from Istanbul, Star Alliance Gold Level members and Turkish’s Mile & Smiles Elite and Elite Plus members.

The lounge is open daily from 5:00a to 1:00a

To get your wifi password, you need to go back near the rest rooms and Apple Computer bank where an lounge attendant will give you the code.

There are shower facilities available that allow you to wirelessly “sync” your Ipad, Ipod or Smartphone to a speaker system so that you can play your own music in your shower room.

The lounge has private resting rooms available for guests.

The lounge offers separate prayer rooms for Men and Women.

In closing, I have to say that this is one of the best Star Alliance Lounges available for Business Travelers and Star Alliance Gold level members. The suite of amenities are far and above what most other basic lounges offer. The uniqueness of the architecture and activities that are available in the lounge in my mind is what sets it apart from the rest. Mind you, I am not including Lufthansa’s First Class Lounges and First Class Terminal in this comparison!

But seriously, if you ever find yourself in Istanbul with the credentials to enter the Turkish CIP Lounge, you have to do it!

As I continue to add trip reports from our recent travel, I’ll update the “Table Of Contents” and include it with each trip report. Here is the most updated Table of Contents:

Lufthansa First Class Services from Chicago to Frankfurt
Lufthansa First Class Lounge in Frankfurt

Istanbul – Sultan Ahmed (Sultanahmet) Mosque.
Istanbul – The Basilica Cistern.
Istanbul – Spice Market and Grand Bazaar.
Istanbul – Park Hyatt Macka Palas.
Istanbul – Our Day with Ihsan (besttaxidriver.com).
Istanbul – Hagia Sophia.
Istanbul – Other Mosques and Churches.
Istanbul – I find out what Zultanite is….
Istanbul – The Food We Found.
Istanbul – Turkish Airlines’ International CIP Lounge.

London – Hyatt Andaz Liverpool Street.
London – Opening of Parliament – Great pictures of the Queen and procession to Parliament.
London – ‘The Sunshine Boys’ at the Savoy Theater (Danny DeVito and Richard Griffiths)…..BRILLIANT, MUST SEE!
London – Spitalfield’s Antique Market – And the lesson I learned.
London – Churchill War Rooms and Churchill Museum.
London – Photos from around town.
London – Dinner at Petrus
London – St. James Park. Very friendly squirrels and ducks.
London – Covent Gardens.
London – All the other things that I can’t think of at the moment….

Pluckley – They said it was haunted……

June 18, 2012
Number of Iranian-funded companies in Turkey tops list once again

The number of Iranian-funded foreign companies in Turkey rose for the fifth consecutive month this year, according to the Turkish Union of Chambers and Commodity Exchanges (TOBB).

A report issued by TOBB stated that 27 percent of foreign companies that were established in Turkey in May were Iranian-funded.

The report, which provides statistics of companies that were set up and closed down in May 2012, stated that 86 companies — out of the 320 that were established with foreign partners last month — are Iranian-funded. The report also stated that 431 Iranian-funded foreign companies had been established in Turkey in the first five months of the year. The next two foreign investors on the list were Germans, with 152 companies established this year, and Russians, with 85.

The Iranian firms in Turkey are mainly in the electricity, electronics, communications and construction sectors. According to the registry list for companies provided by the Istanbul Chamber of Commerce (ITO), more than half of the Iranian-funded companies in Turkey — 1,200 to be exact — are located in Istanbul. Currently, 25 percent of all foreign companies are based in Istanbul.

TOBB previously announced that 590 foreign companies had been financed by Iran in 2011, which was an increase of 41 percent compared to the previous year. This puts Iran on the top of the list of new foreign companies established in 2011, not only based on nominal figures but percentage-wise as well. As of Dec. 31, 2011, the number of companies funded by Iran totaled 2,140, with a quarter established in the last year alone.

TOBB also reported that Iran had topped the list in January with 63 new companies. However, this is not commensurate with the trade volume Iran maintains with Turkey. As of last year, trade volume between the two countries amounted to $16 billion, mostly from Iranian natural gas and oil proceeds. Turkey imports some 30 percent of its oil needs, or 200,000 barrels per day, from Iran, which represents over 7 percent of Iranian oil exports. Iran also meets a third of Turkey’s natural gas demand.

In contrast, Germany, Turkey’s largest commercial partner with $37 billion in non-energy trade, only established 36 companies in January.

“Some of these [Iranian] companies were established to procure goods and merchandise for the Iranian economy in clear violation of the sanctions. They use smugglers to get the merchandise across the border to Iran,” a former senior executive of a Turkish company that has a multi-million dollar investment in Iran said.

via Number of Iranian-funded companies in Turkey tops list once again – Tehran Times.

June 17, 2012
Burger King Plans Large Expansion in China

By Charlene Cooper

A Chinese customer eats a burger at a Burger King.

A Chinese customer eats a burger at a Burger King. (Photo: Reuters)

Burger King, One of the largest hamburger chains in the world, plans on expanding in China. With only 63 current restaurants in China, the company will be opening 1,000 locations in the country within five to seven years. This is the biggest development deal that Burger King has ever made.

Competitor McDonald’s Corp. currently has over 1,400 restaurant locations in China.

The company explained to Bloomberg BusinessWeek, that the expansion is a collaboration between the Kurdoglu family, which is responsible for Burger King restaurants in Turkey, and Cartesian Capital Group, a private equity firm.

Burger King has over 12,500 restaurants around the world. The company’s biggest international franchise is run by the Kurdoglu family.

Burger King revealed plans to additionally expand in Russia earlier this month. In 2011, the company also expanded its restaurants in Brazil.

Last year, 80 percent of Burger King’s expansion had occurred in the Middle East, Africa, and Europe.

With its past market share declining nationally, the company agreed to be taken by 3G Capital, a New York based investment firm, in 2010.

Rather than expanding in the United States, Burger King locations have seen more of a face lift to current restaurants. This past April, the company expanded its menu, including popular options such as snack wraps and fruit smoothies.

Competing companies such as McDonald’s Corp and Yum Brands Inc. which owns Taco Bell, KFC, and Pizza Hut, have also been looking into international expansion. McDonald’s has decided to open 900 new fast food locations in 2012, in Asia, Africa, and the Middle East. During its first quarter, Yum Brands Inc. expanded in China by opening 168 new restaurants in the country.

via Burger King Plans Large Expansion in China – Jobs&Hire :: News :: Jobs & Hire.

June 17, 2012
General Electric to Invest $900 Million in Turkey in 3 Years

General Electric Co. (GE) (GE) will invest $900 million in aviation, energy, health, transportation and infrastructure in Turkey over the next three years after the government offered incentives to investors.

The investment package will include production of wind energy equipment, Economy Minister Zafer Caglayan said today at a press conference in Istanbul.

“We have not announced specifics of the investment which will be defined over time and until then we have no further details to add,” the company said in an emailed statement.

The plan has “a focus on infrastructure and innovation,” GE Vice Chairman John Rice told reporters. The company will provide specifics “in the next couple of months” and is in talks with universities on plans for research and development, he said.

GE also set up a strategic partnership with state-run locomotive manufacturer Turkiye Lokomotif & Motor Sanayi AS, known as Tulomsas, in 2008 and expect its exports to be $1.5 billion over next 10 years, the company said in a statement handed to reporters.

Caglayan said GE will boost its cooperation in railway transportation business.

The Fairfield, Connecticut-based company, which sold an 18.6 percent stake in Turkiye Garanti Bankasi AS (GARAN) to Spain’s Banco Bilbao Vizcaya Argentaria (BBVA) SA for $3.78 billion in 2010, has a 46 percent stake in Turkish Aerospace Industries, the Ankara-based maker of aircraft parts known as Tusas, and owns half of Gama Enerji AS, a Turkish power producer, among its six units with 600 employees in Turkey. The U.S. company also makes health-care measurement and imaging devices, lighting equipment and power turbines.

Energy Demand

Turkey’s electricity demand is increasing about 6 percent annually, compared with a government economic growth forecast of 4 percent, Caglayan said. “It’s only logical for an energy giant like GE to invest in Turkey’s energy,” he said.

GE, founded in the late 19th century by Thomas Edison, is one of the oldest major companies in the U.S. It’s the world’s biggest maker of diesel locomotives and airplane engines.

Local unit General Elektrik Ticaret & Servis AS may start manufacturing wind turbines and parts, with half the output likely to be sold within Turkey as the government targets a 20- fold increase in wind capacity by 2020, Mete Maltepe, head of GE’s local energy unit, said in an interview in 2010.

GE will benefit from a wide-ranging package of incentives offered to investors to boost local production as a way to narrow the country’s current account deficit, Caglayan said.

Turkey is looking to spur investment in industries that rely on imports to produce their goods to help narrow a current- account gap of about nine percent of its $772 billion gross domestic product, Prime Minister Recep Tayyip Erdogan said April 5. The government is focusing its efforts on industries including defense, automotive, rail and sea transport, pharmaceuticals, education, tourism and mining, Caglayan’s economy ministry said.

via General Electric to Invest $900 Million in Turkey in 3 Years – Businessweek.

June 12, 2012
Washington’s Celebrity Journalism Hits Istanbul

Washington’s Celebrity Journalism Hits Istanbul

David Ignatius handles Tayyip Erdoğan with kid gloves.

By Elliott Abrams

Washington Post columnist David Ignatius

Elliott Abrams

Turkey is a complex country, but there are two key developments there that demand attention.

One is the increasing repression. Today there are more than 100 journalists in prison, more than in China. The European Federation of Journalists has launched a campaign called “Set Turkish Journalists Free.” Human Rights Watch has reported that “a Turkish court’s verdict on January 17, 2012, that there was no state involvement or organized plot behind the 2007 shooting of the Turkish Armenian journalist Hrant Dink is a travesty of justice.” The Committee to Protect Journalists has criticized Prime Minister Tayyip Erdoğan for his crackdown on independent journalism: “Erdoğan sought to link journalists who cover Kurdish separatist issues with the separatists themselves. In comments directed at those journalists, made at a meeting of the ruling AKP, the prime minister said: ‘Do you have ears? Are you deaf? . . . How long will you make common cause with those who endeavor to turn an easeful country into a restless country?’” CPJ’s European coordinator commented that “we are deeply concerned by Prime Minister Erdoğan’s intemperate statements concerning journalists. Coming from his high office, they are equivalent to instructions to his subordinates to crack down on the independent media.”

The second key development is the growing trouble the Turkish economy is in. The Economist commented in April that “the danger now is that a few more years of big current-account deficits, and the debt-creating capital flows that finance them, will leave Turkey less resilient when trouble strikes. Few countries that run big external deficits have avoided subsequent stresses. You don’t need to stand atop the Galata tower to see problems ahead.” Others have used stronger language: “Turkey’s high-flying economy, which expanded at a 10 percent annual rate of gross domestic product growth during the first half of 2011, will crash-land in 2012,” said the financier and commentator David Goldman. He explains: “The impetus behind the country’s recent economic growth has been a stunning rate of credit expansion, which reached 30 percent for households and 40 percent for business in 2011.” Where does the money go? Turkey “is running a current account deficit equal to 11 percent of GDP to promote a consumer buying spree while cutting imports of capital goods that would contribute to future productivity.” Goldman notes that “in some respects, Erdoğan’s bubble recalls the experiences of Argentina in 2000 and Mexico in 1994 where surging external debt produced short-lived bubbles of prosperity, followed by currency devaluations and deep slumps.”

In The National Interest, former U.S. ambassador to Turkey Morton Abramowitz wrote his own analysis of the dangerous situation there: Erdoğan’s “leadership and judgment are being seriously questioned, most recently in regards to whether his ambition is getting in the way of managing critical issues such as Turkey’s unending Kurdish dilemma. Indeed, one prominent AKP supporter last week wrote that ‘The once reformist party of Turkey seems to have developed statist, nationalist, and even Islamist tendencies, which are the likely grounds for a new authoritarian politics. . . . ’ Erdogan’s highly touted Middle East involvement has lost some luster. . . . The much-touted vast Turkish influence in the Middle East seems to have faded. . . . Increasingly, Erdogan’s focus seems to be on creating a presidential system in the new constitution that will allow him to make a Putin-esque move to a more powerful presidency.”

via Washington’s Celebrity Journalism Hits Istanbul – Elliott Abrams – National Review Online.

June 12, 2012