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Officials in Ukraine say that Russian attacks have damaged houses in Kyiv and killed one person in Kryvyi Rih.
Officials said that Russia launched several missile and drone attacks against Kyiv, and other parts in Ukraine overnight, killing a civilian in Kryvyi Rh and damaging cars and buildings in Kyiv, and elsewhere. Serhiylysak, the governor of Dnipropetrovsk Region, announced on Telegram that a man had died and a woman of 30 years old was severely injured during the missile attack on Kryvyi RIH, the city's central district. Lysak did not provide any further details, but said that a building containing infrastructure services had also been damaged. Oleh Kiper said on Telegram that three people were injured when a house caught fire in a drone strike on the Odesa area. Ivan Fedorov said on Telegram that a 53-year old woman was also injured, and several houses were damaged, in an attack against the southeast region of Zaporizhzhia. Vitali Klitschko, the mayor of Kyiv, said that despite several houses and cars being damaged by multi-wave drone strikes, there have been no reports of injuries. Both sides deny that civilians are being targeted in the war, which will celebrate its third anniversary Monday. The war was started by Russia in February 2022 with an invasion of its smaller neighbor. The conflict has killed thousands of civilians, but the majority are Ukrainian. Ukraine's Air Force said Kyiv, central and eastern Ukraine were on air raid alert for six hours over night. Reporting by Lidia Kelley in Melbourne, editing by Tom Hogue
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Two signatories claim that Sudan's RSF and allies have signed a charter to form a parallel government.
Signatories al-Hadi Idris, and Ibrahim al-Mirghani said that Sudan's Rapid Support Forces had signed a charter late Saturday night with allied political groups and armed forces to create a "government for peace and unity". Abdelaziz al-Hilu is one of the charter's signatories. He is a powerful leader in South Kordofan who controls large swathes territory and has troops there. This government is unlikely to be widely recognized, and has already raised concerns from the United Nations. It is another sign of the country's splintering during the civil war, which has lasted for almost two years. RSF has taken over most of western Darfur and parts of Kordofan in the war. However, the Sudanese Army is pushing them back from central Sudan, as it has condemned the formation a parallel government. Idris is a former official who was also the head of an armed militia. He said that the formation of the new government will be announced in the next few days. The charter states that the signatories agree on the creation of a "secular democratic non-centralised nation" with one national army. However, it does not mention the existence of armed groups. In the charter, it was stated that the government's purpose is not to divide the country but to unify and end the conflict, which it claimed the army-aligned governments operating out of Port Sudan failed to accomplish. The U.S. imposed sanctions on General Mohamed Hamdan Dagalo earlier this year, the head of the RSF paramilitary, which is accused of genocide and other abuses. Dagalo previously shared power as part of a deal with the army and civil politicians following the ouster Omar al-Bashir. In a coup in 2021, the two forces removed the civilian politicians before a war broke out between them due to the integration of their soldiers during the transition to democracy. The conflict has destroyed the country and caused an "unprecedented humanitarian crisis" that has driven half of the population to hunger. Famine is also occurring in many areas. The signing was a private event in contrast to the more flashy kick-off in Nairobi earlier in the week. Both events were held in Kenya. The Sudanese government condemned the event and Kenyan President William Ruto was criticized for dragging his country into a diplomatic tangle. Sudan's government accuses the United Arab Emirates (UAE) of supporting the RSF financially and militarily. U.N. experts as well as U.S. legislators find this claim credible. The UAE denies this accusation. Sudan passed constitutional changes earlier this week, granting the army more powers. General Abdel Fattah al-Burhan said the army will announce its "war cabinet", soon. (Reporting and writing by Khalid Abdelaziz, Editing by Kirsten Doovan and Paul Simao).
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Berkshire increases investments in Japanese trading companies
Warren Buffett announced on Saturday that Berkshire Hathaway, the conglomerate he leads, will likely increase Berkshire Hathaway's ownership of its five Japanese trading companies. In his letter to Berkshire shareholders each year, the billionaire investor stated that Itochu Marubeni Mitsubishi Mitsui Sumitomo and Sumitomo had agreed to "moderately" relax limits which limited Berkshire's stakes to below 10%. Berkshire’s investment in these companies will total $23.5 billion by the year 2024. Buffett wrote that Berkshire's holdings in all five companies will increase over time. Buffett, who is 94 years old, said that he and Berkshire Vice-Chairman Greg Abel, the Berkshire CEO he has designated as his successor, invest for a "very long-term." Buffett wrote: "I expect Greg and his successors to hold this Japanese position for decades, and Berkshire will work with the five companies in other productive ways." Buffett said that he and his partner liked their capital allocation, their managements, and their attitude towards their investors. Japanese trading houses, also known as "sogo-shosha," trade in many different materials, food and products. They often act as intermediaries and provide logistical assistance. The real economy is also a major concern for them, including commodities, shipping, and steel. Berkshire started investing in trading houses in 2019 due to their financial strength compared with their low stock price, and revealed their 5% ownership stakes at Buffett's 90th Birthday in August 2020. Buffett avoids businesses that he doesn't understand. He told Nikkei that in 2023, the trading houses were "really similar to Berkshire," a conglomerate with headquarters in Omaha, Nebraska which he led since 1965. Buffett stated in his shareholder letter that Berkshire has spent $13.8 billion in its current holdings, and it expects to receive $812 million in dividend income by 2025. "This was a great investment, when other people may have seen them as value traps," Cathy Seifert said. CFRA Research analyst Cathy Seifert rates Berkshire a 'hold. She said Buffett’s comments showed Berkshire had a positive relationship with trading houses. Berkshire also issued fixed rate, yen denominated bonds. Buffett, however, said that the company seeks to be "currency-neutral" and does not have a view on currency changes in the future. The conglomerate on Saturday reported $1.15 billion of foreign currency gains after taxes in 2024 from non-dollar-denominated senior debt. Reporting by Jonathan Stempel in New York, writing by Carolina Mandl in New York, editing by Rod Nickel
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Draft shows EU will reduce sustainability rules for businesses
A draft document obtained by revealed that the European Commission intends to reduce the number of businesses subject to EU sustainability reporting obligations as part of its efforts to reduce red tape. Brussels will publish next week a "omnibus proposal" to simplify green regulations for businesses. The aim is to make local industries competitive and to respond to U.S. president Donald Trump's pledge to abolish regulations. Spain and Germany, among others, have called for the European Union to weaken the rules on green reporting. The Commission's partial draft proposals for the future, seen on Saturday by the media, revealed that it is planning to make changes to the EU Corporate Sustainability Reporting Directive, which requires companies disclose information about their social and environmental sustainability. According to the proposed rules, which may still be changed before publication, only those companies with over 1,000 employees and net revenues exceeding 450 millions euros ($471million) will be required to comply. The rules currently apply to companies with over 250 employees and 40 million euros in turnover. According to the draft, the EU will also abandon its plans to adopt industry-specific reporting standards before next June. The document also detailed the plans to delay EU's Due Diligence Law - CSDDD, which aims at ensuring companies find and fix environmental and human rights issues in their supply chain by imposing due-diligence requirements on large companies. The draft proposal would only require companies to conduct in-depth evaluations of their direct business partners and subsidiaries and leave out all other subcontractors or suppliers in their supply chain.
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Berkshire increases investments in Japanese trading companies
Warren Buffett announced on Saturday that Berkshire Hathaway, the conglomerate he founded, will likely increase Berkshire's ownership of five Japanese trading companies it owns. In his annual Berkshire shareholder letter, the billionaire investor stated that Itochu Marubeni Mitsubishi Mitsui Sumitomo and Mitsui agreed to "moderately loosen" limits on Berkshire's equity stakes. Berkshire’s investment in these companies will total $23.5 billion by the year 2024. Buffett wrote that Berkshire's holdings in all five companies will increase over time. Buffett, who is 94 years old, said that he and Berkshire Vice-Chairman Greg Abel, the Berkshire CEO he has designated as his successor, invest for a "very long-term." Buffett wrote: "I expect Greg and his successors to hold this Japanese position for decades, and Berkshire will work with the five companies in other productive ways." Japanese trading houses, also known as "sogo-shosha," trade in many different materials, food and products. They often act as intermediaries and provide logistical assistance. The real economy is also heavily involved, including commodities, shipping and the steel industry. Berkshire started investing in trading houses in 2019 due to their financial strength compared with their low stock price, and revealed their 5% ownership stakes at Buffett's 90th Birthday in August 2020. Buffett avoids businesses that he doesn't understand. In 2023, Buffett told Nikkei that trading houses were "really similar" to Berkshire, the Omaha-based conglomerate which he led since 1965. Buffett stated in his shareholder letter that Berkshire has spent $13.8 billion in its current holdings, and it expects to receive $812 million in dividend income by 2025. "This was a great investment, when others might have seen them as value traps," Cathy Seifert said. CFRA Research analyst Cathy Seifert rates Berkshire a 'hold. She said Buffett’s comments showed Berkshire had a positive relationship with trading houses. Berkshire also issued fixed rate, yen denominated bonds. Buffett, however, said that the company seeks to be "currency-neutral" and does not have a view on currency changes in the future. The conglomerate reported on Saturday that it will have $1.15 billion in foreign currency gains, after taxes, by 2024. (Reporting and writing by Jonathan Stempel in New York, Carolina Mandl in New York, editing by Rod Nickel).
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Warren Buffett warns Washington after Berkshire announces record profits and cash
Berkshire Hathaway reported record profits on Saturday, even as it increased its cash stake from $334.2 billion to $334.2 trillion. Warren Buffett warned Washington in his annual shareholder letter that they should spend their money "wisely," and to take care of people who "get the short straws in life." In the letter, Buffett, who is 94 years old and arguably the most famous investor in the world, acknowledged his age, telling shareholders that he uses a cane now and will spend less of his time answering their questions at Berkshire’s annual meeting, which takes place in May. Abel's ability to manage capital has been "vividly demonstrated" by the 62-year old Abel. Berkshire reported its annual report along with Buffett's note, which showed a record operating profit of $47.44 Billion, up 27%. Berkshire Hathaway's net income was $89 billion. This includes gains from Berkshire shares such as Apple, American Express and American Express. Apple included. Berkshire’s cash stake was a reflection of high business valuations, and nine consecutive quarters in which the company sold more shares than it purchased. Buffett wrote: "Often nothing seems compelling, but very rarely do we find ourselves in the midst of opportunities." AMERICAN MIRACLE Buffett is celebrating his 60th year at Berkshire. He transformed the company from a failing fabric company to a conglomerate of dozens of companies in industries such as insurance, railroads, energy, retail, and industrial. Buffett added that Berkshire was "not done" and will continue to favor owning stocks, especially U.S. ones, over cash. He sent a warning message to Washington and lamented that capitalism has "faults and abuses, which are in some respects worse than ever," and "scoundrels" and "promoters" have been at it full force. He urged legislators to preserve the stability of the U.S. Dollar, saying that "paper money could see its value disappear if fiscal foolishness prevails" and that in the United States' history the country has "come very close to the edge." Buffett said that the long-term success and growth of Berkshire, as well as the American economy (which he called "the American miracle") depended upon the ability of people to participate. He said Uncle Sam could encourage or discourage that. Buffett, in a letter to the government, wrote: "Take care for the many, who without their fault, are the ones that get the short straws of life." "They deserve more. Never forget that you are needed to maintain a stable exchange rate, and this requires both your wisdom and vigilance. Cathy Seifert is an analyst with CFRA Research, who rates Berkshire as "hold." She said: "His way of addressing politics and the impact of the macroeconomic climate was to talk about America's business being messy." He's warning Washington, "Be careful where you step." Fewer buying opportunities Buffett stated that Berkshire had not purchased an entire company in 2016. However, he said the company is likely to increase their combined $23.5 billion investments into five Japanese trading companies: Itochu Marubeni Mitsubishi Mitsui Sumitomo. Other stocks are more expensive, however. The Standard & Poor’s 500 hit a new record on Wednesday while the Nasdaq is only 3% off its peak of December 16. Berkshire shares are also too small to dominate the indexes like they used to do decades ago. In the past year, the company's share price rose 15% while the S&P 500 grew 18%. Data show that over the past decade, Berkshire stock has increased 225%. The index, however, rose 241%, including dividends, and 185% without dividends. Bill Smead of Smead Capital Management, Phoenix's chief investment office said: "They will be able to buy a lot but Berkshire won't ever be that large compounder with double-digits." "Berkshire is a great way to own major companies and avoid trouble. Buffett, Abel, and Berkshire Vice-Chairman Ajit Jain will spend less of their time on stage at the annual meeting. Buffett told Fortune magazine in the last month he still had fun and was able to do some things fairly well while other activities were "eliminated" or "greatly minimized". The traditional film created by Buffett’s daughter Susie will not be shown at the meeting. Buffett, when asked about his age, said that he speaks regularly with his 91 year-old sister Bertie on Sundays, using a traditional phone. He said, "We discuss the relative merits and joys of canes as well as other exciting topics such the joys that come with old age." In my case, its utility is to prevent me from falling on my face.
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The oil ministry has announced that the northeast of Syria will begin supplying oil directly to Damascus.
Ahmed Suleiman, spokesman for the Syrian oil ministry, said on Saturday that Kurdish-led officials in northeast Syria are now supplying oil to Damascus from the local fields they control. This was the first time that the oil rich northeast of Syria was acknowledged as a source of oil for the islamist-run government, which was installed in December after the former president Bashar al Assad was overthrown by rebels. Suleiman claimed that the oil came from Hasakeh, Deir el-Zor provinces and the deliveries were made based on a revised version of a prior agreement between the Assad Government and Kurdish Authorities. He claimed that the new Syrian leaders had changed the articles of the deal which "served people connected to the Assad regime's interests". Sources from the semi-autonomous administration in northeast Syria said that the deal involved the shipment of 5,000 barrels a daily of crude oil from the Rmeilan Field in Hasakeh, and other fields in the Deir el-Zor Province to a refinery located in Homs. In 2010, Syria exported 380,000 barrels per day of oil (bpd), a year prior to the protests against Assad’s rule that spiraled into a 14-year conflict that destroyed the country’s infrastructure and economy, including its oil. The oilfields have changed hands several times. The Kurdish-led Syrian Democratic Forces eventually captured the northeastern fields. However, U.S. sanctions and European sanctions made legitimate imports and exports difficult. In January, the United States granted a six-month exemption from sanctions to allow certain energy transactions. The European Union will soon suspend sanctions related to transport, energy and reconstruction. Several trade sources said that Syria wants to import oil through local intermediaries in the meantime, after its first post Assad import tenders attracted little interest due to sanctions and financial risk. Internal oil trade also plays a major role in the talks between the Northeast region and the new Damascus authorities, who want to centralise control over all of Syria. According to sources, the SDF will likely have to give up control of oil revenue as part of any settlement. Mazloum Abdi, the SDF commander, said that he was willing to give up control of oil revenues to the new government if the money was shared fairly among all provinces. Reporting by Maya Gebeily from Beirut, and Timour Azhari from Damascus. Editing by Bernadette and Emelia Sithole Matarise and Kirsten Donovan.
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Iraq's Oil Ministry says that procedures for oil exports via Turkish pipeline are complete
In a statement issued on Saturday, the Iraqi oil ministry stated that all procedures were completed for the resumed exports via the Iraq-Turkey pipe. Iraq's Oil Minister said Monday that oil exports will resume from the semi-autonomous Kurdistan Region next week. This resolves a dispute of nearly two years that has disrupted oil flows, as relations between Baghdad Erbil have improved. Sources have confirmed that the Trump administration has put pressure on Iraqi officials to allow Kurdish exports of oil to resume or else face sanctions along with Iran. Later, an Iraqi official denied the pressure and threat of sanctions. Following the statements made by the oil minister earlier in the week, the federal government of Iraq (FGI) and the Kurdistan Regional Government(KRG) held technical discussions to work out the details needed for the resumed exports. This included a payment system that was acceptable to the oil companies. The Iraqi Oil Minister's announcement follows the Iraqi Parliament's approval of a budget amendment on February 2, which set a rate for oil transportation and production costs to be $16 per barrel in Kurdistan. The KRG is also required to transfer its oil production to the State Oil Marketing Organization, which is run by the government. In a statement issued on Saturday, the oil ministry asked that KRG begin delivering crude oil to SOMO to allow exports to resume. (Reporting and writing by Ahmed Rasheed, Ahmed Tolba, and Maha El Dahan. Editing by Sharon Singleton.)
How business are reacting to attacks on ships in the Red Sea
Companies are responding to disturbances to shipping on the shortest path between Europe and Asia.
Attacks in the Red Sea region by Houthi militants in Yemen have actually triggered several shipping business to reroute vessels.
Below are details on how companies in numerous sectors are responding:
AUTOS
** GEELY: China's second-largest automaker by sales, said on Dec. 22 its electrical car (EV) sales would likely be impacted by a hold-up in shipments.
** MICHELIN: the French tyre maker stated on Feb. 12 logistics issues linked to the Red Sea crisis weighed on its ended up product circulations, mainly natural rubber, however that this would have a fairly limited effect on 2024 outcomes.
** SUZUKI: its Hungary production plant rebooted making on Jan. 22 as prepared following a halt because Jan. 15 due to delays in the arrival of Japanese-made engines.
** TESLA: the U.S. EV maker suspended most car production at its factory near Berlin from Jan. 29 to Feb. 11 due to an absence of parts caused by shifts in transport paths.
** VOLVO CAR: the Swedish automaker on Jan. 12 halted production at its Belgian plant for 3 days due to hold-ups.
ENERGY
** BP: the oil major on Dec. 18 stated it had briefly stopped briefly all transits through the Red Sea.
** EQUINOR: it said on Dec. 18 it had rerouted vessels that had actually been heading towards the Red Sea.
** EDISON: the energy group's CEO stated on Jan. 25 it was beginning to experience a downturn in liquefied natural gas (LNG) products from Qatar.
** QATARENERGY: The shipping disruptions will impact QatarEnergy's deliveries of liquefied natural gas however not its production, its CEO stated on Feb. 12.
The company, one of the world's largest exporters of LNG, had stopped sailing through the Red Sea citing security issues, a. senior source with direct knowledge of the matter told . on Jan. 15.
** SHELL: the British oil significant suspended all. deliveries through the Red Sea forever, the Wall Street. Journal reported on Jan. 16. Shell decreased to comment.
Its CFO said on Feb. 1 he was making everyday decisions on. shipping through the Red Sea.
** TOTALENERGIES: the French energy and petroleum. business said on Feb. 7 it has not sent out ships through the area. for a number of weeks. Its CEO stated the expenses of going through the. Red Sea have actually increased, partly due to greater insurance expenses.
** VALERO ENERGY: the U.S. refiner stated on Jan. 25. the Red Sea attacks have actually led to a rise in freight rates for. petroleum.
LOGISTICS
** DHL: the German logistic company, which does. not operate ships however uses them to transport containers, on Jan. 8 recommended consumers to take a close look at how they handle. inventories.
** FEDEX: the U.S. parcel delivery giant said on. Jan. 14 it had not seen much of a shift to air freight due to. disruptions in the Red Sea.
SELLERS
** ADIDAS: CEO stated on Feb. 1 that shipping. interruptions in the Red Sea were negative for gross margins,. adding that exploding freight rates were driving up expenses and. shipping delays were triggering some shipment concerns. Adidas'. working capital could be affected too if disruptions. continue, its CFO cautioned on March 13.
** DANONE: the French food group said in December. that most of its deliveries had been diverted, increasing transit. times. Need to the scenario last beyond 2-3 months, Danone will. activate mitigation plans, consisting of using detours, its. spokesperson stated.
** IKEA: the furnishings merchant is staying with prepared price. cuts despite increased costs, and has adequate stocks to. take in any supply chain shocks, it stated on Jan. 15.
** INDITEX, the owner of Zara clothes retailer,. stated average shipping times have actually been postponed by about a week by. the Red Sea crisis, as container ships bring its products. avoid the Suez Canal and circumnavigate the southern tip of. Africa.
** JOHN LEWIS PARTNERSHIP: the British retailer's CFO said. on March 14 it had seen hold-ups to equip arrivals and a rise in. freight charges, but that disruptions had not materially. impacted its year to Jan. 27 outcomes.
** MARKS & & SPENCER: the British seller's CEO said. on Jan. 11 the company is anticipating some small hold-up in. clothing and home shipments from disruption to shipping.
** NEXT: the British clothes seller, stated on. March 21 it had adjusted agreement bookings to account for. shipping hold-ups, however included it did not expect a major hit from. the Red Sea interruptions.
** PEPCO: the Poundland owner cautioned on Jan. 18. its supply might be affected in coming months if disruptions. continue.
** PRIMARK: Associated British Foods' financing. director said on Jan. 23 Primark is coping with disturbances by. adjusting timings and stock circulation.
** SAINSBURY'S: We're making sure that we prepare the. sequencing of item from Asia Pacific so that we get items. in the best order, the company's CEO said on Jan. 10, adding. that long term agreements with shippers reduce any expense effect. as far as possible.
** TARGET: the U.S. merchant is experiencing some. interruptions of deliveries from India and Pakistan, a source. familiar with the matter said on Jan. 12, calling the effect. minor overall.
** TRACTOR SUPPLY: deliveries for the U.S. retailer. have been delayed anywhere from 2 to 20-plus days, the. company's chief supply chain operator stated on Jan. 12.
** WILLIAMS-SONOMA: the Pottery Barn owner is. rerouting shipments and has been dealing with contingency strategies,. its CEO informed CNBC on Jan. 24.
OTHER
** AKZO NOBEL: the Dutch paints and coverings. maker's CFO stated on Feb. 7 that longer supply lines and. increasing expenses could affect the business, which sources its raw. materials from China.
For us it's an operating capital effect, but it's workable,. he included.
** BHP GROUP: the Australian mining giant on Jan. 25 stated the interruptions were requiring some of its freight service. suppliers to take alternative routes, such as Africa's Cape of. Great Hope.
** QUOTE CORPORATION the South African food services. business is stocking buffer inventory to help balance out shipping. hold-ups, its CEO stated on Feb. 21.
** BRENNTAG: the German chemicals distributor's. CEO stated on March 7 the Red Sea crisis had actually resulted in delivery times. of an additional two-to-three weeks for the company's containers, as. well as greater expenses.
** ELECTROLUX: the Swedish home appliance maker. has established a job force to find alternative paths or recognize. concern deliveries to attempt to avoid disruptions.
On Feb. 2 its CEO stated that costs associated with the. advancements in the Red Sea were manageable. If the situation. is extended I am more anxious about greater expenses than about. risk of needing to pause production, he included.
** ESSITY: the maker of brands such as Libresse. and TENA said it was remaining in contact with affected suppliers. to guarantee continued flow of goods. On Jan. 25 its CEO stated that. it saw a negative impact on its freight expenses however he might not. specify what that impact would amount to.
** EVONIK: the speciality chemicals maker said it. was being struck by short notice routing modifications and hold-ups, and. was attempting to alleviate the effect by buying earlier and. changing to air freight where possible.
** GECHEM GMBH & & CO KG: the German chemicals maker stated it. had reduced production of dishwashing machine and toilet tablets as a. result of the hold-ups.
** KONE: the Finnish elevator maker stated the. situation may in some cases delay deliveries, but the majority of its. customer deliveries should remain on schedule. Kone said it had. gotten ready for the disruptions by seeking alternative shipment. techniques and paths.
** LEVI STRAUSS & & CO: the jeans maker is. experiencing hold-ups of 10 to 2 week in transit times as a. outcome of ongoing disruptions to Red Sea shipping. It has. shifted some U.S. deliveries to the West Coast, avoiding the Red. Sea and Suez Canal.
** LOGITECH: the computer peripheral maker's CEO on. Jan. 23 said revenue margins will be struck by greater transportation. expenses due to the Red Sea crisis.
(source: Reuters)