Thread: Archive Latest News - Think Tank - 16/08/07 - 03/11/07

Dow Chemical KBR 3Q profit rises on Iraq work, gain

KBR Inc., the former Halliburton Co. subsidiary, said Thursday its third-quarter profit surged on Iraq-related work, a gain on the sale of interest in an Algerian joint venture and comparison with year-ago results hurt by a hefty charge.

Earnings for the military contractor and construction and engineering outfit jumped to $63 million, or 37 cents per share, for the three months ended Sept. 30 compared with $7 million, or 5 cents per share, a year ago.

The current period's results included an $18 million gain from the sale of interest in a joint venture in Algeria.

Income from continuing operations rose to $60 million, or 35 cents per share, versus a loss of $8 million, or 6 cents per share.

Analysts polled by Thomson Financial expected net income of 32 cents per share. The estimates typically exclude one-time items.

Year-ago results included a $32 million impairment charge related to an equity investment in the Alice Springs-Darwin railroad project in Australia.

Quarterly revenue fell 2 percent to $2.18 billion from $2.22 billion in the previous year. Wall Street expected $2.16 billion.

KBR chairman and chief executive Bill Utt said he was pleased with the results and the company's backlog of business, which grew by 25 percent in the period.

"This reflects the hard work of our employees and our customers' increasing confidence in us," said Utt, whose company split from Halliburton in April. Halliburton is now focused solely on its oilfield services operations.

KBR said operating income at its government and infrastructure arm was $59 million in the third quarter, up from $55 million a year ago. Results were lifted in part by Iraq-related work.

In late September, Utt said the company, whose work for the U.S. military in Iraq has prompted congressional inquiries, plans to place greater emphasis on domestic industrial construction and other parts of its business.

De****e the uptick in war-related earnings in the July-September period, Utt has acknowledged KBR is likely to perform less work in Iraq in coming quarters as troop levels decrease. KBR provides food, laundry and other support services for U.S. personnel.

As such, KBR will focus on getting back to its roots, looking to land more industrial construction and other projects.

Third-quarter operating income at KBR's energy and chemicals segment was $46 million in the quarter, essentially flat from the year-ago period.

KBR has announced several new contracts in the past several months, both in the U.S. and overseas, where it currently does 75 percent to 80 percent of its business.

In July, Saudi Arabian oil giant Aramco and Dow Chemical Co. awarded KBR a contract to manage construction of a chemicals and plastics production complex in Ras Tanura, Saudi Arabia -- a plant that's expected to be among the world's largest petrochemical facilities.

The companies didn't say how much KBR's contract was worth, but analysts have estimated the cost of the project is $20 billion and KBR's management portion could be worth several hundred million dollars.

That news came a few days after KBR said it received a $2.8 billion contract for construction of an Algerian liquid natural gas project.

On the military side, KBR in June was one of three companies awarded respective $5 billion contracts from the Army to provide food and shelter to U.S. troops in Iraq, Afghanistan and Kuwait.

For the first nine months of 2007, KBR reported net income of $231 million, or $1.37 cents a share, compared with income of $125 million, or 92 cents a share, in the year-ago period. Revenue was off slightly to $6.36 billion from $6.51 billion.

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Kamal Karkuki receives Representative of UN General Secretary in Iraq

Vice president of Kurdistan region parliament, Mr. Kamal Karkuki, received Mr. Shlongberg, representative of UN general secretly in Iraq, and Lieutenant Colonel Kim Mayer, military advisor at UN today at his office in the capital city of Erbil.

During a meeting attended by Dindar Zebari, KRG coordinator in UN, the latest political development and the current tension at the Turkish-Iraq and the reconstruction process of Kurdistan region were discussed. Representative of UN general secretary in Iraq in addition to stressing on a peaceful solution of the issue expressed his delight about the progress of the reconstruction process in Kurdistan region hoping that all parts of Iraq to be secure like the Kurdistan region.

PUKmedia :: English - Kamal Karkuki receives Representative of UN General Secretary in Iraq

Seven companies offer to build Kerbala’s International Airport

The head of the Kerbala Governorate Council, Abdul-Al al-Yasiri, has said that seven foreign and Gulf companies have submitted offers to build the governorate’s international airport which will be located between the Kerbala and Najaf governorates, pointing out that the applications are currently being analysed.

Kuwaiti, Italian and French companies submitted their offers through Iraqi companies as required by the new investment law.

He also explained that “Following a study of the offers which will be undertaken by Iraqi experts, there will be a meeting with the Council’s presidential board to study the best application in order to start the legal procedures and hold a signing ceremony.

Iraq Development Program - Seven companies offer to build Kerbala’s International Airport

ISX indicator records an increase

On Tuesday, Iraq Stock Exchange (ISX) indicator scored an increase of 0.614% in comparison with the previous session. However, the indicator stopped at 36.990 at the end of the session.

http://www.iraqdirectory.com/DisplayNews.aspx?id=4847

Iraqi Ministry of Planning and Development Cooperation: Inflation rate decreased

The Iraqi Ministry of Planning and Development Cooperation announced that September’s inflation indicator decreased 2.1%. This result is based on data about the prices of the units of goods and services that constitute the consumers’ basket from different markets in Baghdad and in the Provinces.

http://www.iraqdirectory.com/DisplayNews.aspx?id=4849

Talabani receives delegation represents Kurdistan parliament to solve tensions on Iraqi-Turkey borders

President Jalal Talabani received in Baghdad yesterday, Wednesday, a delegation representing the Parliament of the Kurdistan region of Iraq and Kurdish political parties, the members of the delegation briefed the President on aims of the visit to Baghdad, which are rallying support and backing for a peaceful solution to tensions on the Iraqi-Turkish borders and indicated their intention to meet with officials as well as other Iraqi parties. From the other hand, a parliament member, Serawan Al-Zahawi, confirmed that the conference will be held in Turkish city, Istanbul, to discuss about Iraq and a number of important issues included Turkish mobilization on Iraqi borders and the issue of border control in addition to a draft national reconciliation

Iraqi Media Net

Discussions between Talabani, Brown about relationships between both countries

President Jalal Talabani received in Baghdad yesterday, British Defense Minister ,Dis Brown, during the meeting he reviewed the overall relations between the two countries and discussed ways to improve them in all fields. From his side, the British minister stressed on his country's support for the Iraqi people and the government of national unity.

while Prime Minister Nuri Al-Maliki stressed during his meeting yesterday with British Defense Minister on continuation of work to build the Iraqi armed forces to speed up the delivery of the security in Iraq, adding that our forces have been able to face attacks and the challenges and responsibility and is fully prepared to chase all conflict with the law and gangs and terrorist organizations.

Iraqi Media Net

Middle East construction spending reaches an all time high

With over $1 trillion worth of projects currently underway in the GCC States and another $150bn in the pipeline, the regional construction sector is at an all time high.

UAE, Kuwait, Qatar, and Bahrain are among the GCC States that are at present in the midst of a construction frenzy and also have several major infrastructure projects lined up for the coming years.

In other parts of the Middle East too, the construction sector has been experiencing unparalleled growth. Among the countries in the region where there is significant spending at present on infrastructure and other projects are Iran and Iraq. Whereas the total value of construction projects in Iran has reached $97bn, in Iraq it is to the tune of $27bn.

The major causes for the sharp and continued upswing in the regional construction sector in the last few years may be attributed to skyrocketing oil prices, substantial inflow of capital due to the availability of attractive business opportunities, liberal government policies, stable markets, and easy access to financial and other related facilities.

The article continues.......

Middle East construction spending reaches an all time high | Iraq Updates

Lower demand for dollar in daily auction

Baghdad, Nov 1, (VOI) - Demand for the dollar was down in the Iraqi Central Bank’s auction on Thursday, reaching $69.745 million compared to $79.485 million on Wednesday.

In its daily statement, the bank said it had covered all bids, including $6.965 million in cash and $62.780 in foreign transfers, at an exchange rate of 1,232 dinars per dollar, unchanged for the 14th session in a row.

None of the 15 banks that participated in Thursday's session offered to sell dollars for the second time this week.

In statements to the independent news agency Voices of Iraq (VOI), Ali al-Yasseri, a trader, said that the demand for the dollar was affected this week by the remittances factor only, while there is stability in bids for cash during this week's sessions because of the stability in the exchange rate in an attempt to decrease the exchange rate.

The Iraqi Central Bank runs a daily auction from Sunday to Thursday.

Aswat Aliraq

Turkey says it is imposing targeted sanctions on northern Iraq

Turkey upped the pressure on northern Iraq on Thursday imposing economic sanctions that specifically target the Kurdish Workers' Party (PKK) and those who support the group, Foreign Minister Ali Babacan announced on Thursday. Babacan said that a list of measures had been drawn up and that some had already been put in place but said Turkey would not be announcing what these measures were.

The foreign minister said the sanctions were not aimed at the people of Iraq but were specifically targeted at the PKK and those who support them.

Ankara accuses the autonomous Kurdistan Regional Government in northern Iraq which Ankara accuses of tolerating PKK rebels and has threatened to launch a large-scale incursion to destroy rebel bases in mountainous northern Iraq.

Babacan on Thursday accused the northern Iraqi authorities of showing support and sympathy for the PKK and that Turkey could not allow this.

"The time factor is very important. All instruments, diplomatic, political, socio-cultural and military, are on the table," Babacan said.

Meanwhile, CNN-Turk television on Thursday reported that the military had finished preparations near the Turkey-Iraq border for a large-scale incursion into northern Iraq to destroy PKK bases.

The Turkish government has come under increasing public pressure to launch such an operation after a month of fierce fighting in which PKK guerrillas have launched attacks inside Turkey after having crossed the border from Iraq. The last month has left almost 100 dead. Eight soldiers have also been kidnapped by PKK rebels.

With Turkish Prime Minister Recep Tayyip Erdogan promising not to order an incursion until after diplomatic efforts are exhausted eyes now turn to US Secretary of State Condoleezza Rice who was due in Turkey on Friday to try and convince Turkish leaders not to launch an operation.

Washington fears that a Turkish incursion may result in civilian casualties and is concerned it may lead to a breakdown in order in northern Iraq, the only relatively calm region of the country.

Turkey has accused the US of failing to deliver on pre-Iraq invasion promises to deal with the PKK. US officials counter that its troops in Iraq are too stretched to close down PKK bases.

After meeting with Turkish leaders in Ankara, Rice will fly to Istanbul to take part in a meeting of Iraq's neighbours and Western powers.

Erdogan is also scheduled to meet US President George W Bush in Washington on Tuesday.

http://www.earthtimes.org/articles/show/134617.html