World's best restaurants

Britain accounts for six of the 50 best restaurants in the world, as judged by industry insiders. According to the 2008 S.Pellegrino World’s 50 Best Restaurants, a prestigious industry list, France outshines other countries with 11 eateries. But no French restaurant has ever taken the top spot (a French eatery has only once been in the first three) of these awards. The most consistent performer has been Spain’s El Bulli which has been in the top three every year and number one four times, including this year. The biggest puzzle, however, is the absence of Japan. Tokyo has more Michelin stars than any city in the world, but Japan has only had three restaurants in this top 50 since 2002.

Bought AGN @ $52.28

Budget 2008 - 2009 Main Points

MAIN POINTS
Overview
Surplus to peak at $21.7b
$40b for nation building funds
Tax cuts of $46.7b
Spending growth 1.1%
Forecasts
GDP to slow to 2.75%
Jobs growth to slow to 1.25%
CPI to peak at 4%
Wages growth at 4.25%
Environment
$2.3b to CO2 emissions
$500 for green car fund
$300m for households
$150m to help region
Education
$11b for higher education
$5.9b for education revolution
$500m for universities
$1.2b for school computers
Family
Baby bonus up to $5000
Child-care tax rebate up to 50%
19,000 more carers benefit
$1.2b for first home buyers
Tax
Tax-free thresholds up to $14,000
Luxury-car tax raised
$1000 savings on $50,000
$8.76 tax loopholes to go
Health
$3.2b to slash elective waiting lists
$10b for hospitals
$249m for national cancer plan
$100,000 limit for Medicare levy

Quote

Success usually comes to those who are too busy to be looking for it.
— Henry David Thoreau

Genzyme Corp. (GENZ)

Analysts believe that Genzyme Corp. is poised for solid revenue growth after the company gave an update on the drug candidates it is developing. The Cambridge, Mass., company held its annual analyst day Wednesday, detailing its plans and schedules for drug candidates including Myozyme, a treatment for the muscle disorder Pompe disease.
Myozyme is on track for U.S. approval by the end of the year, sales will grow to $529 million in 2011. By mid-2009, the kidney disease treatment Renvela should be approved for use in predialysis patients, which will increase its revenue to $313 million in revenue in 2011.
Genzyme said preliminary data from a midstage trial of drug candidate Genz-112638 showed the product was effective in treating Gaucher disease, a rare condition that harms the body's ability to process fat. Genz-112638 increased the levels of hemoglobin in patients' blood, Genzyme said, and lessened enlargement of the spleen.
Oppenheimer analyst Brian Abrahams said the company presented good results from a midstage trial of clofarabine, a cancer drug. Genz-112638 and clofarabine could both be major contributors to Genzyme's revenue.
Currently going long on the stock. At around $70 will add more. The stock is going to outperform.

Westfield Group (WDC) Buy

Reliability of the company, with management confirming earnings guidance for the full year and the quarterly performance appearing solid, Australian sales growth coming in slightly higher than expected offset the poor ones such as a faster than expected occupancy decline in the US shopping centres the group owns.On the plus side in the US, while the leasing environment is getting more difficult as the economy slows down the company's US metrics continue to be in line with or better than its peers.

Westfield London remains on track for completion this year, with the group expected to complete around $3.5 billion in projects in total this year while starting a further $4.0 billion in developments. This on Merrill Lynch's estimates. JP Morgan expects around $5.0 billion in new developments to get underway. It sees this as supporting long-term growth even if there is little excitement in an earnings sense in the short to medium term.Given such an outlook investors can be expected to focus on distributions in coming years rather than earnings growth and here again the outlook appears solid with Deutsche Bank forecasting distributions of 106c both this year and next and JP Morgan forecasting 106c this year and 107c in FY09. Merrill Lynch is at 107c both years and Citi is forecasting 106.5c this year and 109.7c in FY09.This puts the stock on a yield of around around 6%, which is attractive relative to the market and given the quality of the group's portfolio of assets. The group's approach is to build assets and retain them rather than to continually recycle, meaning the long-term strength of the business remains even during weaker periods such as are being experienced at present.

WDC is currently part of my portfolio. Accumulate under $18.

Oil $200 per barrel?

Oil briefly reached another record on Tuesday May 6th as West Texas Intermediate traded at over $122 a barrel for the first time. Ten years ago a barrel fetched around $15. The feeble dollar, soaring demand and supply constraints have all helped to push up prices by 25% in the past four months alone. And there is little sign of respite for worried governments and consumers. This week Goldman Sachs, a bank, predicted that oil could reach $200 a barrel before the end of the year.

Crude Oil Trades Near $122 on Supply Disruptions

Crude oil was little changed near $122 a barrel in New York after rising to a record yesterday on concern supply from Nigeria may be disrupted and speculation that high oil prices won't stall Asian demand.
Royal Dutch Shell Plc said a militant attack over the weekend damaged a pump station in Nigeria, where violence has cut exports from Africa's biggest oil producer. Rising crude will do little to stop worldwide demand because of Asian economic growth and subsidies given to the consumer, the International Energy Agency said.
The bigger picture is, supply is not keeping up with demand.
Goldman Sachs predict that supply shortfall will send the the price of oil to between $150 and $200 a barrel.
Chinese oil consumption will climb 4.7% to 7.89 million barrels a day this year. Global demand will rise 1.5% to 87.23 million barrels a day.
OPEC Output
OPEC pumped an average 32.105 million barrels of crude oil a day last month, down 320,000 barrels from March.
Nigerian output declined 160,000 barrels to 1.88 million barrels a day, the lowest since August 1999.
About 164,000 barrels a day of production attributable to Shell are off line in Nigeria. The company lost 156,000 barrels a day of Nigerian output in the first quarter.
The Movement for the Emancipation of the Niger Delta, or MEND, which claimed responsibility for the assault, has forced the company to cut exports of Bonny Light crude by at least 170,000 barrels a day.
Summer, Hurricanes
U.S. gasoline demand typically peaks from Memorial Day on May 28 through Labor Day in September as summer holiday travel puts on cars on the road. Monthly fuel sales were the highest during August in five of the last six years.
Demand for gasoline will definitely pick up in the summer, the hurricane season coming up and we could be facing a confluence of bullish factors. The North Atlantic hurricane season, which can disrupt oil production, shipments and processing along the Gulf of Mexico coast, runs June through November, with September being the busiest month and accounts for a third of all storms formed annually.

Oil price fuels inflation & hits consumer pocket

In trade overnight, the West Texas Crude rose nearly $US2 taking the price of oil to $US122 per barrel - the third consecutive record close for the commodity.
This spells bad news for consumers with petrol prices crimping discretionary spending and the effect the oil spike will have on inflation - particularly when there is no evident signs that inflation is coming down soon.
On a national scale though, Australia is a net energy exporter. In the past financial year the country produced 129.8 million barrels of oil and a further 472 million barrels of petroleum equivalent - most of which would have been exported.
This run in the global oil price has been driven by a number of factors, most notably, the persistent weakness in the US greenback, geopolitical tensions and the seasonal variations in world demand.
Most analysts predict the growing level of demand from China will keep the price elevated, at least over the $US100 barrel market for the foreseeable future, particularly as there are no signs of increased supply.
The high prices feed directly into inflation. Higher energy prices, while good for revenue, income and producers, is bad for inflation.
I think oil is going to retreat to $110-$115 per barrel.

Westpac first to call $A greenback parity

Westpac is the first major Australian bank to predict that the Australian dollar will achieve parity with the greenback.Westpac forecast today that the Australian dollar will reach $US1.01US by the start of next year as interest rates in Australia stay high and the benefits of the resource boom remain strong in the economy.
The Westpac prediction is the strongest, as the rest of the major retail banks have capped the forecasts for the Australian dollar at around 96 US cents. Before today's update, Morgan Stanley had the strongest Australian dollar outlook with its prediction the currency would be at 96 US cents by the first quarter of next year.The Australian dollar was stronger in the New York session overnight as traders digested the interest rate outlook for Australia. It pushed through 95 US cents, but has tracked back today in the local session to be trading at 94.84 US cents.
Domestic currency would benefit further as the US Federal Reserve cut interest rates further, which could cause the greenback to flail even more.The US dollar index, which charts the greenback's movement against the world's major currencies, is down about 16% since its peak at February 2002. 'The commodity price cycle will also add momentum to the Australian dollar, the leap in coal and iron prices would increase demand for the currency. Westpac has estimated it would take a 6.5% increase to move the dollar to parity, which compares to th Australian dollar's average gain of 12% over the past five years.

Westfield sales rise on strong jobs market.

Westfield Group, increased revenue at its Australian shopping malls in the first quarter, helped by the strongest jobs market in almost 33 years.Sales from shops at the Australian malls rose 5.9% to $20 billion in the three months ended March 31, compared with the year-earlier period, Sydney-based Westfield said in a statement today. British sales growth totaled 3.7% and New Zealand stores increased revenue 2.1%.Sales growth at the company's US centres slowed to 0.7%, from 4.7% a year earlier, as consumer spending in the world's largest economy was crimped by rising gasoline and food costs. The North American malls posted revenue of $US7.2 billion, Westfield said.Westfield is building 12 new malls, with its share of the developments worth $3.8 billion. The company is developing seven shopping centres in the US, one in London and four in Australia and New Zealand.

Real GDP Growth Forecast

Forecast sees a 60% chance of a slowdown in growth in 2009, and 30% likelihood that things will get really nasty, with the dollar falling to new lows against the yen and euro and commodity prices plunging as demand slows. America could see GDP growth contract by 1.5%, while growth in the big developing economies could slip to the lowest levels in years.

Who posess most of the guns?

An estimated 875m small arms are in circulation worldwide: 1 for every 7 people on the planet. Nearly three-quarters of these are owned by civilians. And about 80% of those guns in civilian hands are found in just 30 countries, according to the Small Arms Survey, a research group. Although America accounts for 40% of firearms in civilian ownership, people put them to more deadly use elsewhere. The gun murder rate in Colombia and South Africa, for example, is much higher than in America.

Only 18% of the world's population have access to a free press

Only 18% of the world's population have access to a free press according to Freedom House, an American think-tank. Its annual survey of press freedom rates the content of print, broadcast, and internet journalism with regard to the legislative environment, and political and economic pressures that have an impact on news organisations. The overall level of press freedom worldwide, according to the global rating, worsened slightly in 2007, for the sixth year on the trot. Finland has the world's most free press. The usual suspects occupy the bottom slots.

Corning Profit Beats Estimates on Demand for TV Glass

First-Quarter Highlights
Sales reached $1.62 billion, up 24% year over year.
Earnings per share were $0.64, including a $327 million gain related to the pending Pittsburgh Corning Corporation bankruptcy proceeding.
Excluding the special item for the first quarter, earnings per share were $0.44,* better than the company’s guidance of $0.41 to $0.43, and up 57% from last year.
Display Technologies’ glass volume increased 2% sequentially and 50% year over year. Samsung Corning Precision Glass Co. Ltd.’s (SCP) volume was flat sequentially and increased 46% year over year.
The company’s sales and earnings comparisons benefited from the weakening U.S. dollar, primarily versus the Japanese yen.
Gross margin for the quarter was 52%, an all-time record for the company.
Second-Quarter Outlook Highlights
Sales are expected in the range of $1.71 billion to $1.75 billion, an increase of more than 20% compared to second quarter last year.
Earnings per share, excluding special items, are anticipated in the range of $0.47 to $0.50.*
Combined LCD glass volume for Corning’s wholly owned business and Samsung Corning Precision is expected to increase 6% to 9% sequentially, with the wholly owned business up 2% to 5% and SCP up 8% to 13%.
Telecommunications sales are expected to be up more than 10% sequentially.

Corning the biggest maker of glass for flat-panel displays, said 1st quarter profit tripled and forecast earnings that beat estimates as demand for televisions and laptop computers grew. Net Income rose to $1.03 billion, or 64 cents a share, from $327 million, or 20 cents, a year earlier. Revenue advanced 24% to $1.62 billion, compared with the $1.61 billion average estimate in a Bloomberg survey of analysts.

According to Deutsche Bank 20% of Corning's glass sold in US
Corning said the liquid-crystal-display glass market will grow close to 30%.
Corning climbed 62 cents to $26.30 in trading before U.S. exchanges opened.

The shares had advanced 7 percent this year before today.
TV Shipments of LCD TVs will almost double to 193.9 million in 2012 from this year, according to research company ISuppli Corp. in El Segundo, California.

Global sales of personal computers will rise 10.9% to 293 million units this year, driven by demand for laptops.
The decline in the value of the dollar also boosted sales in the display sales.

The dollar reached a 12-year low against the yen last month. The U.S. economy grew 0.1 percent in the first quarter, a sixth of the rate a year earlier.
Sales in Corning's display unit climbed 58% to $829 million in the 1st quarter. The division represents as much as 90% of the company's profit.

Largest Exporters 2007

Germany was the world's biggest exporter in 2007, raking in some $1.3 trillion from exports and accounting for 9.5% of all merchandise exports, according to preliminary figures from the World Trade Organisation. China and America were close behind. Together the three account for a quarter of the world's exports. America was by some way the biggest importer, sucking in a staggering $2 trillion of merchandise from abroad, nearly twice as much as its nearest rival, Germany. Growth in merchandise exports fell to 5.5% from 8.5% in 2006 as demand weakened in developed economies.

Business Environment Index

Denmark is the best place to conduct business over the next five years, according to the Economist Intelligence Unit's six-monthly business-environment index. Out of 82 countries Denmark scores highest in most of the ten measures used, such as macroeconomic stability, infrastructure and policy towards private enterprise. Its flexible labour market and highly educated workforce are particularly attractive to businesses. America slips four places to its lowest position since the index began in 1997 as economic and financial conditions look set to deteriorate and trade protectionism to increase. Venezuela tumbles 12 places to languish just below another socialist bastion, Cuba. Only Angola is a worse place to do business.

Portfolio Update

Current stocks on hand:

US: INTC, GLW, TEVA, GENZ, MSFT, VLO

AU: COH, BNB, WOW, WDC, SHL

Woolies sales up 10.2%

Woolworths said 3rd quarter sales rose 10.2% on demand at its supermarkets and Big W discount department stores.Sales rose to $11.6 billion in the three months ended March 30 from $10.6 billion a year earlier. Woolworths reiterated its forecast for annual sales to rise between 8% and 10%.
Woolworths shares fell 0.9%, or 26 cents, to $28.44. The stock has fallen 15% this year compared with a 14% decline in the benchmark S&P/ASX 200 index.
Grocery SalesThird-quarter sales from Australian food and liquor, its biggest unit, rose 9.3% to $7.6 billion as it opened new stores.Sales at Australian supermarkets open at least a year rose 7.3%. Adjusted for Easter, same-store supermarket sales rose 6.7% compared with analyst estimates for a 6.8% gain.Fuel sales rose 20% to $1.4 billion in the quarter. Woolworths attracts shoppers to its filling stations by offering a fuel discount of 4 cents a liter when they spend at least $30 in its supermarkets.New Zealand supermarket sales rose 4.2% to $1.1 billion as the company lowered prices to win customers from market leader Foodstuffs N.Z.Revenue at Big W discount stores rose 13% to $879 million in the quarter.Sales at the hotels unit rose 4.4% to $263 million, compared with 14% growth a year earlier, amid smoking bans that curbed customer visits. The unit is Australia's biggest owner of pubs.Gaming PermitsThe Victorian state government last week announced new licensing laws for slot machines from 2012, opening the way for Woolworths to take direct ownership of gaming assets it shares with Tabcorp Holdings and Tatts Group. Woolworths has 5727 electronic gaming machines already in operation in Victoria.
Hinting that Woolworth's plans to expand in the market, Mr Luscombe said that, "our initial view is (the licencing change) is going to be positive for us."
However, he added the company is waiting for more details on the process from the government.The consumer electronics unit, which includes the Dick Smith and Powerhouse brands, increased sales 14% to $356 million on demand for flat-panel televisions and new stores opening under its Croma joint venture in India with Tata Group.The Australian Woolworths isn't related to London-based Woolworths Group, which was founded in 1909 as part of its US parent's expansion, or Woolworths Holdings based in Cape Town, South Africa.

Intel Forecast Tops Analysts' Estimates

Intel Corp. posted 1st quarter profit that met analysts' estimates and forecast sales that may top projections as demand holds up in the face of an economic slowdown in the U.S., sending the shares up 8%.
Intel, the world's biggest chipmaker, said it expects $9B to $9.6B in revenue this quarter, compared with an average estimate of $9.25B.
Intel proved the analysts wrong by posting 17% growth in the Americas last quarter. The results eased concern among investors that Intel would be dragged down by price cuts in its memory business and a slowdown in computer orders after rival AMD’s sales missed estimates last week.
Intel rose $1.63 to $22.54 in extended trading after closing at $20.91 on the Nasdaq Stock Market. The stock has lost 22% this year.
1st quarter net income declined 12% to $1.44B, or 25 cents a share, from $1.64B, or 28 cents, a year earlier, Intel said today in a statement. Sales gained 9.3% to $9.67B.
Intel spent $300 million in the period to shed a money- losing business, forming a joint venture called Numonyx with STMicroelectronics NV. The business sells Nor flash memory, chips used to store programs in mobile phones. Analysts had predicted that Intel would report 1st quarter net income of 25 cents a share on sales of $9.65B. The year-earlier results also included a tax benefit of $300 million, or 5 cents a share.