Lehman Shock Waves Hit European Bourses

If you have trouble reading this e-mail, go to http://www.businessweek.com/globalbiz/newsletter/europe/index.html

SEARCH SITE Advanced Search

September 19, 2008
Europe Insider Keep up-to-date with the latest news from Europe

NEWS  THIS WEEK'S TOP STORIES FROM EUROPE Lehman Shock Waves Hit European Bourses Buying Lehman Brothers was a risk Barclays ultimately refused to take, adding to investor fears about the state of Europe's finance industry

Inside: This Week In Europe The shocking events in the U.S. financial system this week, including the collapse of storied Lehman Bros., the sale of Merrill Lynch, and the Fed's AIG rescue, have touched Europe as well. In a package of stories led by Stanley Reed, Jack Ewing, and Carol Matlack, we look at the stock market impact, media reaction, and exposure among European banks to Lehman losses. We've also got the Russian market meltdown, a hybrid on the horizon from Mercedes, Sony Ericsson's new Xperia, and a pair of promising new e-readers. Plus, stories on Philips, Siemens, aviation, energy, policy, and autos. Don't miss the Halal pastry from Switzerland and a survey and slide show on which countries have the best broadband service. Dig in. Andy Reinhardt, Europe Editor E-MAIL A FRIEND  |  GET RSS  |  SIGN UP FOR OTHER BW NEWSLETTERS

MORE EUROPEAN NEWS GLOBAL Lehman, Merrill, AIG: World Media React Pundits from Berlin to Beijing assess the fallout from Wall Street's rash of bankruptcies, buyouts, and ratings downgrades INVESTING Lehman's Spreading Stain From London to Tokyo, global financial institutions are starting to disclose their exposure to potential losses following the Lehman Brothers collapse EUROPE • From Spiegel Online What the Lehman Crisis Means for Germany The bankruptcy and its fallout also threaten German financial institutions, as well as the country's federal budget INVESTING Behind the Russian Stock Market Meltdown A series of shocks, including fears of a new Cold War, caused share prices to fall even before this week's turmoil. Foreign investors may not return soon AUTOS A Mercedes Hybrid at Last In June 2009 the automaker will launch in Europe a 30-mpg hybrid version of its luxury S-Class sedan TECHNOLOGY Can Xperia Redefine Sony Ericsson? The much-anticipated mobile device may have lost its edge to the likes of Apple's iPhone, thanks to a six-month lag between announcement and launch TECHNOLOGY France Telecom's E-Reader Experiment Its Read & Go device shows one way e-readers could become a distribution channel for newspapers and other frequently updated print media EUROPE • From The Independent Airbus Spins Off British Factory Part of its plant in Bristol, which makes wing components, is being sold to engineering giant GKN in a deal worth 136 million pounds TOP NEWS For EADS, a Bitter Turn of Fortune Airbus' European parent thought a tanker contract for the U.S. Air Force was a chance to take on Boeing on home turf. Now it's back to Square One EUROPE • From The Independent Gatwick Airport Up for Sale BAA, the owner of the British airport, as well as Heathrow and Stansted, put it up for sale today following last month's report of "competition problems" IN DEPTH Kazakh Oil: A War of Nerves Russian brinkmanship could imperil the flow of oil and money across the Caspian to Europe EASTERN EUROPE • From Transitions Online Kyrgyzstan Rations Electricity The Kyrgyz government is rationing electricity as its water reserve dwindles. Dry weather and high demand are only part of the problem VIEWPOINT Boosting Europe's Energy Productivity McKinsey pinpoints seven areas in which companies can improve energy efficiency—and thus increase their output per energy consumed EUROPE • From EUobserver EU May Require Longer Maternity Leaves Brussels plans to extend the minimum leave for new mothers from 14 to 18 weeks, while ensuring full salary TECHNOLOGY In the Broadband Race, the U.S. Is Way Behind Even some tiny ex-Soviet states have speedier service than the U.S., which comes in at No. 16, a study shows INNOVATION & DESIGN Philips: Philanthropy by Design How Philips, working with nonprofits, is tackling the low-tech needs of the world's poor ASIA BW 50 Asia BW50: Siemens, a Shaky No. 1? Its business in India boomed this year. But now rivals are circling, the slump is hurting, and the stock has dropped 70% AUTOS My Aston Martin Didn't Work When the software running the electronic ignition of the Aston Martin V8 Vantage malfunctions, you can't just hit "Control, Alt, Delete" EUROPE • From Spiegel Online Halal Pastry—from a Swiss Village To supply the global export market, a Nestlé plant in Wangen bei Olten is making puff pastry conforming to strict Islamic food guidelines SLIDE SHOW Best Countries for Fast Broadband From Japan to Germany, the quality of Internet connections plays a major role in a country's global competitiveness  BW'S PICKS FROM AP NEWS >> • Russia's oligarchs snub vulgarity, eye fine art • German bank's credit cards come in 4 aromas • Italian minister: Alitalia 'hangs by a thread' • Fed, ECB pump billions into money markets • Russian markets mainly closed after share drop MORE BREAKING NEWS FROM AP >  BW MALL   SPONSORED LINKS PROVE The Business Value Of Your IT Portfolio  Forrester Evaluates Four Methods Used To Measure The Business Value Of IT. Register For Free Report. ACMUSA.com – Free $100,000 Forex Practice Account  Unbeatable Conditions & Spreads. Start Forex Trading Today! Online Human Resources Certification  Cornell University HR Certificate program, delivered 100% online from eCornell Financial Software Guide  Compare Small Business Financial Software. Download the Free Buyer's Guide Human Capital Management Resource Center  Register For SAP’s HCM Resource Center And Learn How To Get The Best Talent In Your Industry! Buy a link now! This newsletter is a FREE service provided by BusinessWeek.com. To sign up for other newsletters, cancel delivery, change delivery options or change your e-mail address, please go to our Newsletter Preferences page. If you need other assistance, please contact Customer Service or contact: Wanda Cooper BusinessWeek Customer Rights Communications Data Services 1995 G Avenue Red Oak, IA 51566 Phone: 1-800-635-1200 View our corporate privacy policy here. To learn more about how BusinessWeek.com applies this policy, you can contact our Marketing Department. Copyright 2008, by The McGraw-Hill Companies Inc. All rights reserved. Terms of Use | Privacy Notice

IN YOUR FACE: DOW DROPS AS WALL STREET REELS Reader pm69 Writes: "So BofA bought Merrill Lynch...did that really solve the existing problems, or simply shift them to itself? I am not sure I would want to be a BofA shareholder." Tell Us: Which Collapse -- Merrill Lynch, Lehman or AIG -- Was More Shocking? >   Advertisement   Reader Poll: Special Issue Trouble at the office? In surveys, blogs, polls, and social media, BusinessWeek collaborated with readers to identify problems at work. Together we found answers.    Viewpoint: Diana Farrell Boosting Europe's Energy Productivity McKinsey pinpoints seven areas in which companies can improve energy efficiency—and thus increase their output per energy consumed    Investing: Europe European Economic Recession Ahead? European economies are seeing slower growth in world trade, a possibly overvalued euro, and other challenges    CNET.co.uk PRODUCT REVIEWS CNET.co.uk Product Reviews Choose a Category Camcorders Cameras Cell Phones Handhelds MP3 Players Desktops Notebooks Entertainment Modems Video Adapters Networking Printers Scanners Software Storage CNET.co.uk Editors' picks, value ratings, feature comparisons, and photos   Advertisement   FEATURED SPECIAL REPORT >> Happiness, Competitiveness, and National Success Slide Shows The (New) World's Happiest Countries The World's Best Places to Live The World's Happiest Countries (2006) The World's Most Affordable Housing Markets Survey Shows: People Are Happier The 2008 World Values Survey found that freedom of choice and tolerance—and not simply wealth—have lots to do with a rise in happiness There's Something About Denmark Two recent studies found Danes to be the world's happiest people. The new reputation along with media attention have led to a national discussion They Teach Happiness at Harvard In Tal Ben-Shahar's positive psychology class, students learn that happiness isn't just an accident, it's a science The World's Most Competitive Countries Half of the top 10 are European and the U.S. is still No. 1, but Asia's tigers are coming on strong Table: The World's Most Competitive Countries Who's on Top in Tech-Readiness? While Nordic nations still win top marks in surveys, oil-producing countries are waking up to the need to adapt their economies to the digital age Rating Countries for the Happiness Factor (2006) READER COMMENTS > MORE SPECIAL REPORTS >