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Reuters Canada Business Summary

27/03/08

Canadian regulator sets conditions for BCE deal

TORONTO (Reuters) - Canada's telecom and broadcasting regulator has approved the C$34.8 billion ($34.1 billion) buyout of BCE Inc by a group of private-equity investors led by the Ontario Teachers' Pension Plan, but subject to a number of conditions. The Canadian Radio-television and Telecommunications Commission said on Thursday that it approved the deal, but added that BCE's board must have 13 directors, Canadian investors must at all times nominate six directors and that the company's chairman must be Canadian.

Toronto stocks get small lift from banks, BCE

TORONTO (Reuters) - The Toronto Stock Exchange's main index edged slightly higher on Thursday, lifted by gains in banks and telecom company BCE Inc, but sentiment was wary and the market was unable to find much traction. The banks led the upside, adding 1.1 percent, with Bank of Montreal rising 93 Canadian cents, or 2.1 percent, to C$45.93, and Bank of Nova Scotia up 78 Canadian cents, or 1.7 percent, at C$46.92.

Barrick Gold says CEO Wilkins on medical leave

TORONTO (Reuters) - Barrick Gold Corp said on Thursday that Greg Wilkins, its president and chief executive since 2003, has taken a leave of absence for medical reasons and that Chairman Peter Munk will act as CEO on an interim basis. Barrick, the world's biggest gold-mining company, said that Wilkins has "a serious medical condition that will require his absence as he undergoes further tests, examinations and treatment."

Canada auto parts firms must look offshore: report

TORONTO (Reuters) - Automobile production in emerging markets is set to outpace output in North America for the first time this year and the Canadian auto parts industry must adapt to the new reality, a study released by Scotia Economics on Thursday says. Combined vehicle assembly capacity in the BRIC nations, Brazil, Russia, India and China, will climb to 20 million units this year surpassing the 17.4 million units of assembly capacity in place in North America, according to the Global Auto Report.

Tim Hortons sees growth in Quebec, Western Canada

OTTAWA (Reuters) - Canadian coffee and doughnut chain Tim Hortons said on Thursday that Quebec and Western Canada represent its fastest-growing domestic markets and an opportunity for further expansion. "In Quebec, we see opportunity to triple the size of our chain," Chief Executive Don Schroeder said at a JP Morgan conference.

Loonie flat despite robust commodities

TORONTO (Reuters) - The Canadian dollar was almost unchanged against the U.S. dollar on Thursday as ongoing concerns about the economy of Canada's biggest trading partner kept it from riding robust commodity prices higher. Canadian bond prices were mixed as investors squared their books heading into the end of the month and the quarter.

Oil climbs over $107 on Iraq pipeline outage

NEW YORK (Reuters) - Oil rose sharply on Thursday after a bomb attack on a major Iraqi crude pipeline slashed exports from the country's southern oil port for the first time in years. U.S. crude settled up $1.68 to $107.58 a barrel, boosting this week's gains to more than 6 percent. London Brent crude rose $1.01 to $105.00.

Best Buy cites slowing in Canada

ATLANTA (Reuters) - Best Buy Co Inc Chief Executive Brad Anderson said on Thursday the electronics retailer was starting to see slower activity in Canada. "I think we're starting to see ... a little slowdown in terms of Canada sympathetic with the U.S. market," Anderson said in an interview on the CNBC network.

Nortel to overhaul its research programs

OTTAWA (Reuters) - Nortel Networks Corp , North America's biggest telephone equipment maker, will soon announce an overhaul of what research and development work it does in its various offices, the company's chief technology officer, John Roese, said on Thursday. The plan will be announced in a few weeks, Roese told reporters after a speech in Ottawa. It will involve retraining some of the company's 12,000 R&D staff and may require job and project relocations. However, the move will not lead to new job cuts, he said.

Inmet and Teck say on track with Petaquilla project

TORONTO (Reuters) - Inmet Mining Corp said on Thursday it has deep enough pockets to develop the massive Petaquilla copper project in Panama by itself if partner Teck Cominco Ltd exercises its option to back out of the development within the next 18 months. Teck, meanwhile, pointed to its involvement in the $3.5 billion project as evidence it has no plans to put itself on the auction block -- despite renewed speculation that mining giants Vale and Xstrata are on the hunt for new targets following the collapse of their tie-in talks.

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