BRUSSELS: The EU said Friday it was concerned about the impact on competition of German airline Lufthansa’s plan to take over routes operated by failed rival Air Berlin.
“We have quite deep competition concerns because there is a risk that on some routes Lufthansa becomes de facto a monopoly,” EU competition commissioner Margrethe Vestager said at a news conference.
The warning comes a week after Lufthansa offered concessions to encourage the European Commission to green-light its planned purchase of parts of Air Berlin.
The Frankfurt-based airline group hopes to pay €210 million ($250 million) for 81 aircraft from Air Berlin’s 140-strong fleet, plus takeoff and landing slots, as well as Austrian subsidiary Niki.
But Vestager said she now wanted input from customers and competitors in the European aviation market to dispel any anti-trust doubts concerning the purchase.
Vestager previously said that, given its dominant position in domestic air travel, Lufthansa might have to give up certain routes in exchange for approval.
Lufthansa chief executive Carsten Spohr responded by saying that he would be “ready” to meet her demands.
Air Berlin triggered bankruptcy proceedings in August after losing a cash lifeline from its biggest shareholder Etihad Airways.
Its aircraft were kept aloft by a €150 million emergency loan from the German government while it negotiated the sale of its assets.
Since the October deal the EU has allowed Lufthansa to operate some of Air Berlin’s planes to make sure there was no short-term negative impact on travelers.
Vestager made clear she is now focusing on the longer term impact on customers.
In “the long term it is important for the passengers in Germany and in Austria to have choice and also have businesses competing in order to keep prices down because the risk of any monopoly of course is that prices go up,” she said.
— AFP
EU has ‘deep competition concerns’ over Lufthansa Air Berlin bid
EU has ‘deep competition concerns’ over Lufthansa Air Berlin bid
Gunmen kill two laborers from Punjab province in southwest Pakistan — official
- The two laborers were working inside a garage in Tump area of Balochistan's Kech district when they came under attack
- No group immediately claimed responsibility, but Baloch separatists have previously targeted people from other provinces
ISLAMABAD: Unidentified gunmen on Sunday shot dead two laborers, who hailed from the eastern Punjab province, in the country's restive Balochistan province, a local official said.
The two laborers were working inside a garage in Tump area of Balochistan's Kech district when they came under fire by gunmen riding motorbikes, according to Saeed Umrani, commissioner of Makran Division where Kech is located.
No group immediately claimed responsibility for the attack, but Baloch separatists have previously targeted people from other provinces on suspicion of spying for state agencies.
"Both laborers, who were residents of the Punjab province, were killed on the spot," the official said.
Umrani said bodies of the deceased had been sent to their hometowns and the district administration was hunting for the perpetrators.
The attack came two weeks after armed men abducted nine passengers, who hailed from Punjab, from a bus and killed them near Balochistan's Noshki district.
The outlawed Balochistan Liberation Army claimed responsibility for the attack, saying it had information that plain-clothed spies were on the bus. The group offered no evidence to support its claim.
Balochistan has been the scene of a long-running insurgency by separatist militants who seek independence from the central government in Islamabad.
Although the government says it has quelled the insurgency, violence has continued to persist in the province.
Arsenal, Man City win to keep it tight at the top in race for league title
Arsenal survived a late scare at Tottenham to stay narrowly ahead in the race for the Premier League title on Sunday.
A 3-2 win at the Tottenham Hotspur Stadium ensured Mikel Arteta’s team remained at the top of the standings, ahead of defending champion Manchester City, which won 2-0 at Nottingham Forest.
But Arsenal had to endure a nervous finish despite powering to 3-0 lead in a London derby that was supposed to be one of its biggest tests in the title chase.
“The last 20 minutes wasn’t nice, but it was worth it,” Arsenal forward Bukayo Saka said afterward. “We know it is a big derby and they don’t want to lose 3-0 at home. Momentum shifted their way, but I am proud of the boys — we managed to get the three points.”
An own-goal from Pierre-Emile Hojbjerg and further strikes from Saka and Kai Havertz put Arsenal into a commanding position at the break. But in the face of a potential rout, Tottenham responded in the second half through Cristian Romero and a penalty from Son Heung-min in the 87th minute.
Under pressure, Arsenal held on and remains one point clear at the top, having played a game more than City.
The advantage is still with Pep Guardiola’s team, which will clinch a fourth-straight title if it wins its remaining games this season and responded to Arsenal’s win with victory of its own at relegation-fighting Forest.
With Liverpool’s title hopes further diminishing after dropping five points in two games this week, it is down to Arsenal to challenge City’s domestic dominance.
Having collapsed late on in last season’s title race, Arteta’s players look more capable of going the distance this time around.
An away fixture against its fiercest rival, Tottenham, was a major test of its credentials at this stage of the campaign. And while Arsenal was guilty of letting Spurs back into a game that should have been killed off much earlier, victory when tension was high was a test of character.
“Maybe last season that could have ended in a draw and we showed we have the experience,” Saka said. “We know City are an amazing team, but they are not perfect, we just need to do our job.”
MAN CITY WINS
Arsenal’s win meant the pressure was on City to keep the heat on its title rival.
It was always favorite to beat a Forest team that is desperately fighting for survival but without Phil Foden, who was ill, and Erling Haaland on the bench, Guardiola was without two of its big match-winners in the starting 11.
An injury to goalkeeper Ederson also forced City into a change at halftime.
But Guardiola’s team looks to be in unstoppable form and a 2-0 win extended its unbeaten record in the league to 19 games, dating back to a 1-0 loss to Aston Villa at the start of December.
Back then there were questions about City’s ability to win a sixth title in seven years. While Arsenal may lead the way, City’s title-winning know-how could make the difference.
So could Haaland, who stepped off the bench to score the goal that effectively killed off Forest’s challenge.
Josko Gvardiol headed City in front in the first half, but Chris Wood had two clear chances from close range to score for Forest.
Haaland missed City’s last two games through injury, but was quickly back on the scoresheet with a clinically taken goal just nine minutes after coming on as a substitute.
Among those in the crowd to watch were his father, Alf-Inge, and rock star Noel Gallagher.
The goal saw Haaland move clear of Cole Palmer as the league’s top scorer with 21 goals.
“It’s an important win, it does not matter how we do it, and it is good to be back,” Haaland said. “We knew it was going to be a fight, and the pitch was not the easiest to play on but we cannot complain, it is about winning and that is exactly what we did.”
BOURNEMOUTH RECORD
Without a win in its first nine league games this season, Bournemouth is now in the top half of the table and has set its own Premier League points record.
A 3-0 win against Brighton moved Andoni Iraola’s team up to 10th and on 48 points. Bournemouth’s previous best in the top flight was 46 points in the 2016-17 season under former manager Eddie Howe.
Goals from Marcos Senesi, Enes Unal and Justin Kluivert secured victory against a Brighton team that is going in the other direction after six games without a win.
China firms go ‘underground’ on Russia payments as banks pull back
- The US has imposed an array of sanctions on Russia and Russian entities since the country invaded Ukraine in 2022
- Now the threat of extending these to banks in China is chilling the finance that lubricates trade from China to Russia
- Nearly all major Chinese banks have suspended settlements from Russia since the beginning of March, said a manager at a listed electronics company in Guangdong
An appliance maker in southern China is finding it hard to ship its products to Russia, not because of any problems with the gadgets but because China’s big banks are throttling payments for such transactions out of concern over US sanctions.
To settle payments for its electrical goods, the Guangdong-based company is considering using currency brokers active along China’s border with Russia, said the company’s founder, Wang, who asked to be identified only by his family name.
The US has imposed an array of sanctions on Russia and Russian entities since the country invaded Ukraine in 2022.
Now the threat of extending these to banks in China — a country Washington blames for “powering” Moscow’s war effort — is chilling the finance that lubricates even non-military trade from China to Russia.
This is posing a growing problem for small Chinese exporters, said seven trading and banking sources familiar with the situation.
As China’s big banks pull back from financing Russia-related transactions, some Chinese companies are turning to small banks on the border and underground financing channels such as money brokers — even banned cryptocurrency — the sources told Reuters.
Others have retreated entirely from the Russian market, the sources said.
“You simply cannot do business properly using the official channels,” Wang said, as big banks now take months rather than days to clear payments from Russia, forcing him to tap unorthodox payment channels or shrink his business.
Going ‘underground’
A manager at a large state-owned bank he previously used told Wang the lender was worried about possible US sanctions in dealing with Russian transactions, Wang said.
A banker at one of China’s Big Four state banks said it had tightened scrutiny of Russia-related businesses to avert sanctions risk. “The main reason is to avoid unnecessary troubles,” said the banker, who asked not to be named.
Since last month, Chinese banks have intensified their scrutiny of Russia-related transactions or halted business altogether to avoid being targeted by US sanctions, the sources said.
“Transactions between China and Russia will increasingly go through underground channels,” said the head of a trade body in a southeastern province that represents Chinese businesses with Russian interests. “But these methods carry significant risks.”
Making payments in crypto, banned in China since 2021, might be the only option, said a Moscow-based Russian banker, as “it’s impossible to pass through KYC (know-your-customer) at Chinese banks, big or small.”
The sources spoke on condition of anonymity, citing the sensitivity of the topic. Reuters could not determine the extent of transactions that had shifted from major banks to more obscure routes.
China’s foreign ministry is not aware of the practices described by the businesspeople to arrange payments or troubles in settling payments through major Chinese banks, a spokesperson said, referring questions to “the relevant authorities.”
The People’s Bank of China and the National Financial Regulatory Administration, the country’s banking sector regulator, did not respond to Reuters requests for comment.
Sanctions warning
US Secretary of State Antony Blinken, after meeting China’s top diplomat Wang Yi for five and a half hours in Beijing on Friday, said he had expressed “serious concern” that Beijing was “powering Russia’s brutal war of aggression against Ukraine.”
Still, his visit, which included meeting President Xi Jinping, was the latest in a series of steps that have tempered the public acrimony that drove relations between the world’s biggest economies to historic lows last year.
While officials have warned that the United States was ready to take action against Chinese financial institutions facilitating trade in goods with dual civilian and military applications and the US preliminarily has discussed sanctions on some Chinese banks, a US official told Reuters last week Washington does not yet have a plan to implement such measures.
The Chinese foreign ministry spokesperson said, “China does not accept any illegal, unilateral sanctions. Normal trade cooperation between China and Russia is not subject to disruption by any third party.”
A State Department spokesperson, asked about Reuters findings that Chinese banks were curbing payments from Russia and the impact on some Chinese companies, said, “Fuelling Russia’s defense industrial base not only threatens Ukrainian security, it threatens European security.
“Beijing cannot achieve better relations with Europe while supporting the greatest threat to European security since the end of the Cold War,” the spokesperson said.
Blinken made clear to Chinese officials “that ensuring transatlantic security is a core US interest,” the spokesperson said. “If China does not address this problem, the United States will.”
Nearly all major Chinese banks have suspended settlements from Russia since the beginning of March, said a manager at a listed electronics company in Guangdong.
Some of the biggest state-owned lenders have reported drops in Russia-related business, reversing a surge in assets after Russia’s invasion.
Among the Big Four, China Construction Bank posted a drop of 14 percent in its Russian subsidiary’s assets last year and Agricultural Bank of China a 7 percent decline, according to their latest filings.
By contrast, Industrial and Commercial Bank of China , the country’s biggest lender, reported a 43 percent jump in assets of its Russian unit. Bank of China (BOC), the fourth-largest, did not give the breakdown.
‘Channel can be shut’
The four banks did not respond to requests for comment on their Russian businesses or the impact on Chinese companies.
Some rural banks in northeast China along the Russian border can still collect payments, but this has led to a bottleneck, with some businesspeople saying they have been lining up for months to open accounts.
A chemical and machinery company in Jiangsu province has been waiting for three months to open an account at Jilin Hunchun Rural Commercial Bank in the northeastern province of Jilin, said Liu, who works at the firm and also asked to be identified by family name.
Calls to the bank seeking comment went unanswered.
BOC has blocked a payment from Liu’s Russian clients since February, and a bank loan officer said firms exporting heavy equipment face more stringent reviews in receiving payments, Liu said.
The manager at the listed Guangdong company said their firm had opened accounts at seven banks since last month but none agreed to accept payments from Russia.
“We gave up on the Russian market,” the manager said. “We eventually didn’t receive more than 10 million yuan ($1.4 million) in payments from the Russian side, and we just gave up. The process of collecting payments is extremely annoying.”
Wang is also having second thoughts about his Russian business.
“I may gradually shrink my business in Russia as the slow process of collecting money is not good for the company’s liquidity management,” he said.
“What’s more, you don’t know what will happen in the future. The channel can be shut completely one day.”
Pacers hit franchise playoff best 22 3-pointers to beat Bucks 126-113, take 3-1 lead in series
INDIANAPOLIS: Myles Turner scored 29 points, Tyrese Haliburton added 24 and the Indiana Pacers made a franchise playoff record 22 3-pointers as they pulled away late for a 126-113 victory over the Milwaukee Bucks on Sunday night.
The win gave the Pacers a 3-1 lead in the best-of-seven series. Indiana has won three straight since losing the opener and can reach the Eastern Conference semifinals for the first time since 2014 — with a win Tuesday at Milwaukee.
Indiana is 7-2 this season against the Bucks, who are trying to avoid a second straight first-round exit.
Haliburton posted a career playoff scoring high for the second straight game while Turner matched a playoff career high that he set in Friday night’s overtime win. Turner also had nine rebounds and four assists against a Bucks squad that was missing two injured All-Stars, Giannis Antetokounmpo and Damian Lillard.
It’s unclear if either will be available in Game 5. Antetokounmpo hasn’t played since straining his left calf April 9. Lillard injured his Achilles tendon Friday night and had a protective walking boot covering his right foot this weekend.
Brook Lopez led the Bucks with 27 points and nine rebounds, and Khris Middleton added 25 points, 10 rebounds and five assists.
But the Bucks depth took even bigger hits with Middleton playing much of the second half with four fouls and forward Bobby Portis Jr. being ejected with 5:01 left in the first quarter after he and Andrew Nembhard were involved in a shoving match. Portis drew two technical fouls on the play, part of a six-technical first half.
Still, the Pacers struggled to take advantage, finishing the back-and-forth first half with just a 67-64 lead.
But after Lopez’s opened the third quarter with a basket, Haliburton responded with three straight 3s to give the Pacers a 76-66 lead. The Bucks never completely recovered as Indiana extended the margin to 95-78 on Obi Toppin’s layup with 2:24 left in the quarter.
Milwaukee opened the fourth with seven straight points to close to 98-92. Indiana answered with a 10-2 run to rebuild a 108-94 cushion with 7:25 to play and the Bucks couldn’t get within single digits the rest of the game.
Nembhard finished with 15 points and nine assists for the Pacers and Pascal Siakam added 13 points, nine rebounds and seven assists.
Malik Beasley added 20 points for Milwaukee.
Pedro Sanchez, a risk-taker with a flair for survival
- Sanchez said on Wednesday that he was considering stepping down
MADRID: Spanish Prime Minister Pedro Sanchez, who will on Monday announce whether he remains in his post, is an expert in political survival who has built a career on taking political gambles.
“I have learned to push myself until the referee blows the final whistle,” the head of Spain’s Socialist party and a former basketball player wrote in his 2019 autobiography, “Resistance Manual.”
On Wednesday, he said that he was considering stepping down after a Madrid court announced an investigation into his wife Begona Gomez for alleged influence-peddling and corruption.
“I need to stop and think,” he wrote in a four-page letter posted on X.
With a charming smile and affable personality, the 52-year-old — often referred to as Mr.Handsome early in his career — has been written off politically on several occasions, only to bounce back.
He “has never had it easy,” said Paloma Roman, a political scientist at Madrid’s Complutense University, noting his “political flair” for getting out of complicated situations.
Sanchez emerged from obscurity in 2014 as a little-known MP to seize the reins of Spain’s oldest political party.
A leap-year baby born in Madrid on February 29, 1972, he grew up in a well-off family, the son of an entrepreneur father and civil servant mother.
He studied economics before obtaining a master’s degree in political economy at the Free University of Brussels and a doctorate from a private Spanish university.
Elected to the Socialist Party leadership in 2014, Sanchez’s future was quickly put in doubt after he led the party to its worst-ever electoral defeats in 2015 and 2016.
Ejected from the leadership, he unexpectedly won his job back in a primary in May 2017 after a cross-country campaign in his 2005 Peugeot to rally support.
Within barely a year, the father of two teenage girls took over as premier in June 2018 after an ambitious gamble that saw him topple conservative Popular Party leader Mariano Rajoy in a no-confidence vote.
Always immaculately dressed, the telegenic politician — who likes running and looms over his rivals at 1.90 meters (6 foot 2 inches) tall — has earned a reputation as being tenacious to the point of stubbornness.
Over the past six years, he has had to play a delicate balancing act to stay in power.
In February 2019, the fragile alliance of left-wing factions and pro-independence Basque and Catalan parties that had catapulted him to the premiership cracked, prompting him to call early elections.
Although his Socialists won, they fell short of an absolute majority, and Sanchez was unable to secure support to stay in power, so he called a repeat election later that year.
He was then forced into a marriage of convenience with the hard-left Podemos, despite much gnashing of teeth inside his own party.
Deemed politically dead after his party again suffered a drubbing in local and regional elections in 2023, Sanchez surprised the country by calling an early general election for July.
While his Socialists finished second in the general election, behind the conservative Popular Party (PP), Sanchez cobbled together a majority in parliament with the support of the far-left party Sumar and smaller regional parties, including Catalan separatists.
In exchange for their support, Catalonia’s two main separatist parties demanded a controversial amnesty for hundreds of people facing legal action over their roles in the northeastern region’s failed push for independence in 2017.
Sanchez had previously opposed such a move but he now agreed to it to remain in power, sparking several mass protests staged by the right.
On the international stage, Sanchez, Spain’s first premier fluent in English, has made a name for himself by criticizing the operation Israel launched in Gaza in retaliation for the Hamas attack on October 7, and by promising Spain’s swift recognition of a Palestinian state.
