ERCOC

2 Station Road
----------Nigel
Tel : (011) 814 7110/1
Fax : (011) 814 4335

Leading Stories...

Electricity woes sink Coega smelter|
ALUMINIUM producer Rio Tinto Alcan has scrapped plans to build a multibillion-rand
aluminium smelter at Coega near Port Elizabeth due to concerns about security of electricity
supply and Eskom's proposed hefty tariff increases.
---Read more...

'Inflation target under threat by Eskom hikes'
THE 45% hikes over three years by Eskom will raise inflation by 0,5% to 1% next year
and South Africa is thus very unlikely to reach the 3-6% target band for any length of
time, said chief economist from Econometrix, Dr Azar Jammine, today.
---Read more...

Scorpions ‘conspired against Selebi'
Agliotti tells how crime-fighting unit targeted former police chief for its own political ends
---Read more...

Strong rand hits miner
ANGLOGOLD Ashanti yesterday said a 30% surge in the rand this year is squeezing
profit margins as mining costs in SA rise relative to sales denominated in dollars.
---Read more...

Now Anglo must prove its mettle
XSTRATA may have walked away from its proposed “merger of equals” with Anglo
American, for the time being at least, but the onus is now on Anglo to convince the
market that it can deliver on its operational performance.
 ---Read more...

ICASA meets cell-phone companies - demands 50% cut
South African lawmakers want mobile- phone operators, including MTN Group
and Vodacom Group, to slash interconnection fees by more than half.
---Read more...

Mittal says company will focus on emerging markets
Lakshmi Mittal, the chief executive officer of the world's biggest steelmaker ArcelorMittal,
says the company plans to focus on expanding in emerging markets and its strategy hasn't
been altered by a slump in demand.
---Read more...

JSE launches rand-based gold, plats and oil futures
Until today the JSE only offered rand-based futures trading of agricultural commodities on
commodities derivatives market - but from this morning that's broadened to include Gold,
Platinum and oil.
---Read more...

Africa breaking out of financial crisis — IMF
ISTANBUL — African economies were beginning to recover from a sharp slowdown
that was brought on by the global economic crisis, International Monetary Fund (IMF)
chief economist Olivier Blanchard said yesterday.
---Read more...

Factories stage an amazing comeback
MANUFACTURING activity made a spectacular recovery last month, suggesting the
embattled sector may start growing again in the fourth quarter, in line with global trends.

The purchasing managers index (PMI), a reliable health gauge for factory output,
leapt to 48 from 39,3 — its highest since May last year.
---Read more...

Xstrata's proposal not in interests of our shareholders: Anglo
A takeover of Anglo American by Xstrata would not be in the interests of the
former's stakeholders.

"Having reviewed with management and advisors the value creation potential at Anglo
American relative to Xstrata's merger proposal and having met our shareholders in the
UK, South Africa and USA, we have reaffirmed our conclusion that Xstrata's proposal
is not in the interests of our shareholders," Sir John Parker, chairman of Anglo American
said in a statement on Friday.
---Read more...

SARS ‘may suspend payment of tax debt'
THE controversial “pay now, argue later” tax rule has finally been clarified , says a tax expert.
---Read more...

Tighter business regulation to stay
THE recent increase in regulation and compliance by business is unlikely to ease in the near
future and should be seen in the context of the government's attempt to create a transparent
and ethical business environment to allow SA to compete in the international business sphere.
---Read more...

Deficit set to hit 8% as tax falls by R70bn
THE Reserve Bank kept interest rates steady yesterday as markets had expected,
saying that the risks to SA's inflation outlook were “evenly balanced”.

The Bank also concluded the economy would be slow to emerge from its first recession
since 1992. Governor Tito Mboweni warned a “significant improvement” was not likely
until early next year.
---Read more...

Job losses slow down
THE economy lost almost 200000 formal sector jobs as the recession took hold over
the past year. The state was the only source of employment growth while private firms
in almost all sectors shed jobs, writes Hilary Joffe.
---Read more...

Credit crunch will haunt us all for a generation
Recession had winners and losers, writes Matthew Lynn
---Read more...

Zuma rues ANC role in Transnet CEO saga
PRESIDENT Jacob Zuma distanced himself yesterday from his party's support for
suspended Transnet executive Siyabonga Gama's bid to become CEO at the parastatal.
---Read more...

Individuals bear brunt of bad debt squeeze
DEBT problems worsened in July with a rise in summonses and judgments for bad debt.
The number of summonses rose to 137749, 20,9% higher than for the previous July,
outstripping the 11,5% growth in June.
---Read more...

Global credit crisis takes 66% off Temasek's profits
SINGAPORE — Temasek , Singapore's 122bn state investment company, reported profit
fell a record 66% as a collapse in credit markets drove down the value of its stakes in Bank
of America and Barclays.
---Read more...

Gauteng accused of not being tough on corruption
THE Gauteng government has been accused of not acting tough on corruption allegations
as only four officials have been criminally charged out of almost 800 tip-offs reported
through the national anticorruption hotline in three years.
---Read more...

Thulisile Madonsela set to be new public protector
CAPE TOWN — A special parliamentary committee has chosen human rights lawyer
and equality expert Thulisile Madonsela to be the next public protector after a week of
candidate interviews.
---Read more...

Controversial figures on short list for rights body
PUBLIC protector Lawrence Mushwana and controversial former chief land claims
commissioner Wallace Mgoqi are two of the 31 people short- listed to serve on the
South African Human Rights Commission.
---Read more...

ANC defends ‘imperial' Manuel
THE African National Congress (ANC) moved to defend Minister in the Presidency
Trevor Manuel yesterday, after the Congress of South African Trade Unions (Cosatu)
this week claimed he could become SA's de facto prime minister.
---Read more...

Factories raise hope for end to recession
FACTORY output rebounded in July, defying concerns the strong rand was hitting
exports, and providing tangible evidence that SA's economy might be pulling out of
its first recession in 17 years.
---Read more...

Above-inflation pay increase for Mboweni
THE Reserve Bank gave outgoing governor Tito Mboweni a 14% pay rise in the
financial year to March while most other employees got a 10% hike, the Bank
said yesterday in its annual report.
---Read more...

Rand rally as deficit slumps to 5-year low
THE deficit on the current account plunged to a five-year low in the second quarter as
the recession hammered local demand, curbing imports far more sharply than exports.
---Read more...

JSC may revisit Motata complaints
THE Judicial Service Commission (JSC) says it might look at the complaints lodged
against convicted Pretoria High Court Judge Nkola Motata when it convenes in its
scheduled meeting next month.
---Read more...

Home price deflation bottoming out — index
NOMINAL year-on-year house price deflation was expected to slow further this year and
up to early next year. Thereafter, price growth was forecast to return to positive territory.
---Read more...

Service cuts loom in Free State
The HIV Clinicians Society in February estimated that up to 30 people were dying a
day when the province ran out of money for drugs, including antiretroviral medication.
---Read more...

IMF warns recovery is sluggish
The global economy is emerging from a deep downturn, but the recovery will be sluggish
and unwinding stimulus measures too soon could derail an upswing, IMF Managing
Director Dominique Strauss-Kahn said on Friday.
---Read more...

Zimbabwe gets $500m bail-out from IMF
Windfall follows 10 years of financial restrictions and is part of financial
institution's credit crunch assistance
---Read more...

Interest rate cut less likely on latest PPI data
PRICES at SA's factories, mines and farms fell less steeply than expected last month, buoyed
mainly by a hefty electricity tariff hike, official figures showed yesterday.
---Read more...

Tax plan mooted to curb bank largesse
THE head of Britain's financial regulator said yesterday he would back higher tax on the financial
services sector to curb firms' excessive profits and bonus payouts.
---Read more...

Soulsearching needed at Development Bank, says Gordhan
DESPITE a likely state budget deficit of R60bn in the recession, Finance Minister
Pravin Gordhan said the government would sustain its current spending on
infrastructure and keep the social safety net in place.
---Read more...

Progress slow in achieving employment equity
AN amendment to the Employment Equality Act to penalise companies not abiding by racial
diversification in the workplace was recommended to the labour department today.
---Read more...

Can global recovery outlast stimulus?
Economic outlook has improved in major economies, but some wonder if it can be sustained
---Read more...

Capital still hard to find for SA small businesses
ACCESS to capital remains a hard- fought battle for entrepreneurs around the world and
which requires meticulous paperwork and research to show business worth, says Amrei
Botha, Standard Bank's head of small and medium enterprises.
---Read more...

Debt actions soar as job losses look likely to worsen
THE number of civil summonses issued for nonpayment of debts rose 11,5% in June
from a year earlier, as people failed to meet payments on credit cards and cheques bounced.
---Read more...