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Reuters Canada Business Summary

30/03/08

Lehman hit by $355 mln fraud, blames Marubeni-source

NEW YORK/TOKYO (Reuters) - Lehman Brothers was fleeced out of more than $355 million in a fraud the U.S. investment bank believes was perpetrated by two employees at Japanese trading house Marubeni Corp. <8002.T>, according to a person briefed on the matter. The fraud may have hit other financial institutions as well, according to the source, who spoke on condition of anonymity.

U.S. car companies go back to black

DETROIT (Reuters) - Henry Ford, who created the automotive industry's first mass-market hit with the Model T a century ago, was a proponent of radical simplicity. In fact, Ford became famous for saying his customers could have the $825 Model T in any color -- so long as it was black.

Majority shareholder looks to buy out Corel

TORONTO (Reuters) - Consumer graphics and digital media software maker Corel Corp said on Friday it received an offer from its majority shareholder to buy out the rest of the company. The bid could mean Corel would become a private company for the second time in five years.

Toronto stocks sag 170 pts, but end higher on week

TORONTO (Reuters) - The Toronto Stock Exchange's main index closed more than 170 points lower on Friday as weakness in the key energy, financials and materials sectors dragged on the benchmark lower, despite gains by BlackBerry maker Research In Motion Ltd . The S&P/TSX composite index <.GSPTSE> closed down 171.99 points, or 1.28 percent, at 13,233.79.

Bay Street Week Ahead: What's hot, and what's not

TORONTO (Reuters) -With turbulence in the global economy and uncertainty about the health of U.S. financial markets, investors in Canadian stocks are wasting no time chasing the hottest trend or dumping underperforming groups. The Toronto Stock Exchange's financial services group, for instance, once seen as the go-to place for investors because of its attractive dividends and steady performance, is now more of a no-go zone.

Ford to reopen Windsor engine plant: reports

TORONTO (Reuters) - Ford Motor Co of Canada will announce the reopening of an engine plant in Windsor, Ontario, on Monday, according to media reports on Friday. A spokeswoman for Ontario Premier Dalton McGuinty confirmed on Friday that the premier would be at the plant on Monday to make an announcement, alongside Ford and union officials, but said she could not give further details.

China says global economy may cause policy shifts

SHANGHAI (Reuters) - China will keep monetary policy tight for now but recognizes it might need to adjust the strength and timing of policy in response to changes in the global economy, a vice governor of the central bank said. The potential threat to Chinese economic growth from the U.S. credit crisis has not prompted China to abandon its tight monetary policy, because fighting inflation remains its priority, Yi Gang was quoted as saying by Saturday's official Beijing News.

Plan in works to help small Canadian ABCP holders

TORONTO (Reuters) - A relief plan to assist individual owners of frozen Canadian asset-backed commercial paper is in the works, but it is moving more slowly than participants hoped, Canaccord Capital Inc Chief Operating Officer Mark Maybank said on Friday. "A lot of people are working very diligently ... we continue to work with others to put together that plan," Maybank said in an interview. "It's not finished, it's certainly taking longer than we or anyone else would like, but we think we're getting closer."

Investors confident despite Barrick CEO departure

TORONTO (Reuters) - Barrick Gold's deep pool of talent and track record of succession planning is letting investors shrug off the surprise departure of Chief Executive Greg Wilkins, as the company's founder, Peter Munk, temporarily retakes the reigns. But analysts said immediate growth plans may be put on hold until it is clear what will come of Wilkins' leave of absence, which the company said was due to "a serious medical condition." They were not worried about the company.

Alaska governor mulls TransCanada gas pipeline bid

ANCHORAGE, Alaska (Reuters) - Alaska Gov. Sarah Palin said on Friday her administration would decide in two months whether to support TransCanada Corp.'s proposal for shipping natural gas from the North Slope to domestic markets. The administration will present its findings on the company's application for a state license to build the massive new pipeline during the week of May 19, the governor said, giving lawmakers time to review them before they convene in special session June 3.

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