Energy & Industrials News by GLG Council Members

According to a NY Times, 11/6/08 article, consumer spending has decreased by 3.1% during the third quarter.   Additional evidence includes a similar article written by Newsweek on 11/22/08 discussed China, Factory to the World, impact on global demand.

  The Teamsters union might soon be a major beneficiary of the Obama administration. The union, which has been struggling financially, might be able to extricate itself from a 20-year-long consent decree it signed with the Justice Department requiring federal oversight of its day-to-day financial matters.   This is costing the union at least $3 million annually, and it is estimated to have...

With the world economic crisis looming, the new silicone complex opening will face immediate market difficulties. For the time being, It seems that shrinking is better than expanding.

The fact that negotiations have started with contractors wishing to delay or defer projects that have not yet started is fully expected and is a part of the normal business for any major construction yard.  These negotiations are still being taken in good faith and involve projects that were not due to even start until dates from 2009 through 2012.  With Keppel already fully booked for the...

YRC is fighting for it's financial life, and is hoping that a hefty wage concession from the over 40,000 Teamsters will allow it to buy back $100 million worth of its contingent convertible senior notes and notes of YRC Regional Transportation.  Forced by current loan covenants YRC has placed its trucking equipment and real estate holdings valued at $1.5 billion up as collateral against...

Having recently interviewed the Chairman and CEO of YRCW (Bill Zollars), there is no indication that this is their strategy. The link for this interview will be up next week at www.Tranzact.com. They have restrucutred their balance sheet, repurchased debt at a deep discount and are hunkering down (as are all carriers) to survive 2009

Marcus Hand reported in the Lloyd’s List Newsletter on November 27 that Keppel Offshore and Marine announced that Scorpion Offshore, Seadrill and Ezra Holdings are in talks to possibly cancel rig and support vessel contracts worth $871 million. The two jack up contract is valued at $420 million. The semi submersible contract is valued at $405 million. The contracts were signed earlier this year for...

The continuing saga over the failure and future of Alitalia has left most people in Europe's other airlines with shaking heads. Now one of them, Lufthansa, is taking matters in its own hands by creating its own subsidiary, thereby further exporting its brand.

The banks will now only lend to some of their customers and at a hefty premium.  They will only lend to each other at a premium over Fed or Bank of England lending rates.  Meanwhile the politicians require the government-supported banks to resume normal lending while paying back government money as soon as possible.  This is a logical impossibility and requires...

So Lufthansa's apparent patience has run out waiting for Alitalia to revivie as a going concern.