Headlines

The Swiss government will on Wednesday reveal how it will rescue a decisive deal with Washington about bank secrecy after the country’s highest administrative court derailed the agreement last week, the Financial Times reported. Bern agreed in August that UBS should divulge the names of 4,450 Americans with offshore accounts. Bern had been obliged to intervene after escalating US legal pressure threatened to trigger a crisis of confidence in the bank.

Lord Myners, the City minister, has called for an independent review of the investment banking industry and the "greed is good" culture that he says has permeated many areas of society, The Guardian reported. Barely a year since taxpayers funded a multibillion-pound bailout of the ­industry, investment banks have bounced into profit and are paying out big bonuses. As executives at Goldman Sachs, the highest profile City player, begin to tell staff of their annual bonus payments tomorrow , Myners calls for a rethink.

Executives and staff of state-run firms have recently become uneasy as many of them are expecting to see payrolls cut as part of the Lee Myung-bak administration's efforts to slim down the highly-bloated public sector, The Korea Times reported. By 2012, President Lee plans to either privatize or overhaul 305 state enterprises and their 220 subsidiaries, while slashing up to 3,500 jobs, or 13.5 percent of the total payroll. At the moment, the Korea Exchange (KRX) and Korea Tourism Organization (KTO) are at the center of public sector reform.

A Dubai Holding unit, which belongs to the ruler of the emirate, said on Sunday it had made about $100 million worth of scheduled distribution payments on three bonds due over the next five years, Reuters reported. The move by Dubai Holding Commercial Operations Group (DHCOG), the holding firm of Dubai Holding's property, business parks and hospitality units, could help allay fears that more Dubai-linked entities face debt commitments they cannot meet. "It sends the right signal to the markets," said an analyst at an international lender, who asked not to be identified.

Greece's debt problems have boosted interest in Portugal's 2010 budget plan coming Tuesday, which international investors will study for signs of similar fiscal frailty, The Wall Street Journal reported. Portuguese stocks and bonds have sold off sharply recently because of Portugal's high long-term deficits and low growth prospects.

Bank of Japan policy makers are prepared to consider expanding an emergency-loan program for banks and increasing purchases of government debt should the recovery falter, people with knowledge of the matter said, Bloomberg reported. The central bank’s board will leave interest rates and its lending program unchanged tomorrow, 16 of 17 economists said in a Bloomberg News survey.

Partnerships overseen by private equity investor J. Christopher Flowers, that were set up to invest in a German bank, filed for bankruptcy, Reuters reported. The nine partnerships were established in 2006 to acquire a 26 percent stake in HSH Nordbank AG, the world's largest provider of shipping finance, for €1.25 billion, according to documents filed in Delaware's bankruptcy court. The partnerships hold the HSH Nordbank stock on behalf of investment trusts, whose beneficiaries are primarily investors in J.C. Flowers Fund II.

Spyker Cars NV is "well-positioned" to purchase ailing Swedish carmaker Saab after negotiations with owner General Motors in Stockholm, a spokesman for rival bidder Genii Capital said on Saturday, Reuters reported. "We believe that Spyker is well-positioned in this deal and I would expect an outcome early next week," said Lars Carlstrom, a spokesman for Luxembourg-based investment firm Genii, whose bid is backed by Formula One mogul Bernie Ecclestone.

European governments on Friday gave a mixed reaction to American President Barack Obama's initiative to restrict the activities of big U.S. banks, calling for an international agreement before they will commit to the same course, The Wall Street Journal reported. Mr. Obama on Thursday outlined a plan to prevent commercial banks and institutions that own banks from operating and investing in hedge funds and private-equity firms, while capping trading activity done for in-house accounts.

All Nippon Airways Co. sees the bankruptcy of Japan Airlines Corp. as an opportunity to grow its international business significantly and emerge even stronger than its larger rival, a top executive said in an interview with The Wall Street Journal Friday. "We need to get stronger when they are sick," said Keisuke Okada, an ANA board member and executive vice president of alliances and international affairs.