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CA-BUSINESS Summary

02/12/08

Manulife sees C$1.5 billion fourth-quarter loss

TORONTO (Reuters) - Manulife Financial Corp said on Tuesday it was expecting to report a quarterly loss of C$1.5 billion ($1.2 billion) after bolstering its capital position by issuing C$2.125 billion in common equity. The company said for the two months ended November 30, stock markets have declined by 21 percent in Canada, 23 percent in the United States, and 24 percent in Japan.

TSX turns negative on Manulife share issue

TORONTO (Reuters) - The Toronto Stock Exchange's main index turned negative on Tuesday after Manulife Financial warned that it expects to report a quarterly loss and said it will issue more than C$2 billion in new stock. The S&P/TSX composite index <.GSPTSE> was down 3.47 points, at 8,408.74 after rising as 120 points at the open.

Automakers rush to finish plans for Congress

DETROIT/WASHINGTON (Reuters) - U.S. automakers rushed to submit restructuring plans demanded by Congress before lawmakers reopen debate on a $25 billion bailout the industry says it needs to survive. Under fire for fighting fuel standards for years, the Detroit-based automakers are expected to present plans that call for them to build more fuel-efficient cars, ax unpopular brands, cap executive compensation and restructure their agreements with the United Auto Workers union.

British Airways in merger talks with Qantas

LONDON (Reuters) - British Airways is in merger talks with Australia's Qantas , it said on Tuesday, adding to various attempts at consolidation in an industry desperate to cut costs in the global economic downturn. Shares in British Airways, which had been up 5.1 percent ahead of the announcement, extended their gains to trade as much as 17.5 percent higher at a two-month high of 164 pence.

Rogers Communications founder Ted Rogers dies

TORONTO (Reuters) - Ted Rogers, who transformed a single FM radio station into a North American broadcasting, publishing and wireless telecommunications conglomerate, has died, Rogers Communications said on Tuesday. He was 75. Rogers, who was hospitalized earlier this month for an existing heart condition, died at his home in Toronto.

Oil back above $49 after early dive

LONDON (Reuters) - Oil pared losses on Tuesday after an earlier fall to a new 3-1/2-year low below $48 a barrel, weighed down by heavy losses in global stock markets after confirmation that the United States was in recession. But a rally in European shares and expectations of a bounce on Wall Street helped oil move up from its lows.

CORRECTED: Europe to galvanize banks

BRUSSELS (Reuters) - European ministers sought to push lending banks back into action, Japan moved to help its cash-strapped companies, and global markets endured mixed fortunes as the financial crisis swirled onwards on Tuesday. The European Commission promised measures to get state-aided banks to start lending to the real economy but EU finance ministers squabbled over plans to counter the downturn.

Nokia takes on rivals with N97 touch-screen phone

BARCELONA (Reuters) - Nokia launched a flagship phone to update its aging high-end offering, but analysts said the device would not be enough on its own to help the world's top mobile phone maker recover lost market share. Nokia continues to lead the global market for smartphones -- handsets with computer-like features such as email -- but it has lost significant share to Apple's iPhone and RIM's Blackberry, worrying investors and analysts as this is expected to weigh on the Finnish group's profit margins.

Boeing engineers approve work contract

NEW YORK (Reuters) - Boeing Co's second-largest union voted on Monday to approve the company's four-year contract offer, avoiding a second damaging strike at the plane maker's Seattle-area plants. A majority of the more than 20,000 members of the Society of Professional Engineering Employees in Aerospace -- the union representing white-collar engineers and technicians -- voted in favor of the contract.

Canada opposition says no price tag yet for stimulus

OTTAWA (Reuters) - Canada's opposition parties promised on Monday that their proposed coalition government will move quickly to stimulate the economy, but they were unable to estimate the cost of their plans. The opposition parties -- the Liberals, New Democrats and Bloc Quebecois -- which have accused to the Conservative government of not doing enough to help the economy, said they will direct aid to the automobile and forest industries.

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