By Tim Kelly
Yoshiharu Hoshino, the president of Hoshino Resort, one of Japanâs leading resort operators, is looking forward to a dose of inflation after years of sliding prices.
By engineering a rise in rates by printing money, he reckons Japan can make a big chunk of its burgeoning national debt disappear, which along with tax hikes is, he predicts, likely the way Japan is going to exit a potential crisis as debt soars to more than twice its gross domestic product.
While having the nasty side affect of making assets worth less tomorrow than today, if, like Hoshino, you borrow money to buy the bricks and mortar of hotels, the plus side is your debt, relative to your cash flow will also get smaller as long as you have low rates locked in.
âIt would be a very big plus,â said Hoshino told the Reuters Rebuilding Japan Summit in Tokyo. Japan defaulting on its debt is unlikely, he said.
Resort owners who agree with Hoshino, who already own 27 facilities in Japan, may therefore be tempted to borrow more to buy more and wait for robust inflation to pay the loans back.
Those that do, are likely to be looking for properties in well-known, accessible tourist spots that appeal to foreign travellers, said Hoshino.
With Japanâs population in slow decline, travel by Japanese at home is stagnant, forcing owners of hotels, hot spas and ski resorts to try an lure vacationers from overseas, including newly affluent travellers from China and other parts of Asia.
âThe potential for brand name locations is high, and a gap between less well-known spots will clearly open up,â Hoshino explained.
The ongoing nuclear crisis for the moment is persuading many international travellers to stay away, but once it is under control, Hoshino said he expects them to return.
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ATHENS Oct 14 (Reuters) - Greece will auction 1.25 billion
euros ($1.72 billion) of 13-week T-bills on Tuesday to fund the
rollover of a previous 2 billion euro issue that matures on Oct.
21, its debt agency (PDMA) said on Friday.Monthly T-bill sales are Greece’s sole remaining source of
market funding. Last month, PDMA sold 1.625 billion euros of
three-month paper, priced to yield 4.56 percent.Greece has said it has enough cash to cover its needs until
mid-November. International lenders had threatened to withhold
further aid funds until Athens took additional measures to make
up for fiscal slippage and meet deficit-reduction targets.EU/IMF/ECB inspectors completed a performance review earlier
in the month, saying Athens will likely receive an 8-billion
euro loan tranche in early November.PDMA said the settlement date for the T-bill sale will be
Oct. 21. Only primary dealers will be allowed to participate and
no commission will be paid.The agency said non-competitive bids of up to 30 percent of
the auctioned amount may be submitted during the auction.
Non-competitive bids up to another 30 percent of the auctioned
amount may also be submitted by Oct. 20.
Banco do Brasil , Goldman Sachs , Ubs
, Banco Santander , Bank of America Merrill
Lynch , Commerzbank , JP Morgan , Morgan
Stanley e Natixis hanno partecipato alla linea
di credito nella fase di sindacazione lanciata all’inizio di
settembre, aggiunge la nota.La linea, si specifica, non è attualmente utilizzata ma
resta disponibile per le “generali esigenze aziendali e per i
fabbisogni legati al capitale di funzionamento e sostituisce la
linea di credito revolving da 1 miliardo di euro a 3 anni,
originariamente firmata a febbraio 2009”.Gli abbonati Reuters possono leggere il comunicato completo
cliccando su .Sul sito www.reuters.it le altre notizie Reuters in
italiano. Le top news anche su www.twitter.com/reuters_italia
Operating revenue for its core newspaper and magazine
business grew 4 percent to S$1.01 billion.SPH’s 2009/10 financial year results were boosted by S$154.2
million in pretax profit from a residential development project.SPH said it will pay a dividend of 17 Singapore cents,
comprising a final dividend of 9 cents and a special dividend of
8 cents, down from 20 cents a year ago.
($1 = 1.283 Singapore Dollars)
