Business

Japanese Prime Minister Shinzo Abe visits Thailand

Japan’s Prime Minister Shinzo Abe waves before he leaves the Thai-Nichi Institute of Technology in Bangkok

BANGKOK – Japanese Prime Minister Shinzo Abe visited Thailand on Thursday, part of a three-country Southeast Asian tour to consolidate business ties in one of the world’s fastest-growing regions and counter growing Chinese assertiveness.

Tension remain high over China’s claims on parts of the strategically vital and mineral-rich South China Sea that are also claimed by four Southeast Asian countries including Vietnam, which Abe visited on Wednesday.

Relations between Tokyo and Beijing have been frosty since a dispute over islands in the East China Sea known as Senkaku in Japan and Diaoyu in China flared up last year. Violent anti-Japanese protests have been staged in Chinese cities.

“China has successfully built up its own military power but for what? We celebrate China’s economic growth but it’s not a good idea to threaten others or urge others by coercion or intimidation,” Yutaka Yokoi, a Japanese foreign ministry official, told Reuters in Bangkok.

Having taken on the role of mediator in the multi-layered South China Sea disputes, Thailand has said it would listen to what Japan has to say but would also take into consideration the views of other countries involved.

Analysts have said Abe will have to tread carefully in Southeast Asia to avoid provoking China by appearing to be trying to “contain” it. Moreover, his hosts will be keen to avoid upsetting China, now their major economic partner.

In Hanoi on Wednesday, Abe, on his first foreign trip since sweeping to power last month, agreed with Vietnamese Prime Minister Nguyen Tan Dung that disputes in the region should be solved through peaceful talks and international law.

FLOOD PREVENTION

Already one of the biggest foreign investors in Southeast Asia and the largest in Thailand, with its firms pouring 312 billion baht ($10.5 billion) into the country in 2012, Japan is keen to step up its economic presence in the region.

Abe’s visit to Bangkok is the first by a Japanese prime minister in 11 years and comes as more Japanese firms look at setting up shop in the emerging economies of Southeast Asia because of the soured climate in China.

Thailand is not without problems: in addition to serious, disruptive bouts of political unrest in the past few years, it suffered its worst floods in half a century in 2011, with flood walls at seven huge industrial zones breached.

That disrupted the supply chains of big Japanese firms such as car maker Toyota Motor Corp.

“This is our opportunity to reassure Japan that we are serious about flood prevention and to reiterate that the 350 billion baht ($11.72 billion) we pledged for flood management will continue to focus on early warning systems,” said Damrong Kraikuan, director-general of the Thai foreign ministry’s East Asia Affairs department.

Japan is showing huge interest in Myanmar, which borders Thailand and is opening up after decades of military rule.

Thai officials say Abe’s trip will be an opportunity to discuss Japanese involvement in the $50 billion Dawei economic zone in southern Myanmar, which is being developed by Thailand’s Italian-Thai Development Pcl.

The project has struggled to secure the initial $8.5 billion needed to finance infrastructure and utilities and Thailand will formally invite Japan to invest in the zone, Foreign Minister Surapong Tovichakchaijul said on Wednesday.

Abe will hold bilateral talks with Thai Prime Minister Yingluck Shinawatra later on Thursday.

“Prime Minister Yingluck will ask Japan to join the Dawei project as one third of the Thai/Myanmar/Japanese tripartite cooperation,” Damrong said.

In September a source close to the project said a state-backed Japanese soft loan totalling $3.2 billion was being secured to help kick-start construction on basic port and road infrastructure.

Ministers from Thailand and Myanmar met in November and said funding for the project’s first phase would be decided by February, with construction set to begin no later than April.

Yokoi at the Japanese foreign ministry suggested Japan was treading carefully on the project.

“We are willing to see the outcome from the talks between Thailand and Myanmar and would like to be kept informed but we still don’t know what the size of investment or opportunities will be,” he said.

Abe leaves for Jakarta on Friday, where he is expected to give a major policy speech. ($1 = 29.8600 Thai baht)

Business

PepsiCo Reduces Revenue Projections As North American Snacks And Key International Markets Underperform.

(VOR News) – In the third quarter of this year, Pepsi’s net income was $2.93 billion, which is equivalent to $2.13 per share. This was attributed to the company.

This is in stark contrast to net income of $3.09 billion, which is equivalent to $2.24 per share, during the same period in the previous year. The company’s earnings per share were $2.31 when expenses were excluded.

Net sales decreased by 0.6%, totaling $23.32 billion. Organic sales increased by 1.3% during the quarter when the effects of acquisitions, divestitures, and currency changes are excluded.

Pepsi’s beverage sales fell this quarter.

The most recent report indicates that the beverage and food sectors of the organization experienced a 2% decline in volume. Consumers of all income levels are demonstrating a change in their purchasing habits, as indicated by CEOs’ statements from the previous quarter.

Pepsi’s entire volume was adversely affected by the lackluster demand they encountered in North America. An increasing number of Americans are becoming more frugal, reducing the number of snacks they ingest, and reducing the number of times they purchase at convenience stores.

Furthermore, Laguarta observed that the increase in sales was partially attributed to the election that occurred in Mexico during the month of June.

The most significant decrease in volume was experienced by Quaker Foods North America, which was 13%. In December, the company announced its initial recall in response to a potential salmonella infection.

Due to the probability of an illness, the recall was extended in January. Pepsi officially closed a plant that was implicated in the recalls in June, despite the fact that manufacturing had already been halted.

Jamie Caulfield, the Chief Financial Officer of Pepsi and Laguarta, has indicated that the recalls are beginning to have a lessening effect.

Frito-Lay experienced a 1.5% decline in volume in North America. The company has been striving to improve the value it offers to consumers and the accessibility of its snack line, which includes SunChips, Cheetos, and Stacy’s pita chips, in the retail establishments where it is sold.

Despite the fact that the category as a whole has slowed down in comparison to the results of previous years, the level of activity within the division is progressively increasing.

Pepsi executives issued a statement in which they stated that “Salty and savory snacks have underperformed year-to-date after outperforming packaged food categories in previous years.”

Pepsi will spend more on Doritos and Tostitos in the fall and winter before football season.

The company is currently promoting incentive packets for Tostitos and Ruffles, which contain twenty percent more chips than the standard package.

Pepsi is expanding its product line in order to more effectively target individuals who are health-conscious. The business announced its intention to acquire Siete Foods for a total of $1.2 billion approximately one week ago. The restaurant serves Mexican-American cuisine, which is typically modified to meet the dietary needs of a diverse clientele.

The beverage segment of Pepsi in North America experienced a three percent decrease in volume. Despite the fact that the demand for energy drinks, such as Pepsi’s Rockstar, has decreased as a result of consumers visiting convenience stores, the sales of well-known brands such as Gatorade and Pepsi have seen an increase throughout the quarter.

Laguarta expressed his opinion to the analysts during the company’s conference call, asserting, “I am of the opinion that it is a component of the economic cycle that we are currently experiencing, and that it will reverse itself in the future, once consumers feel better.”

Additionally, it has been noted that the food and beverage markets of South Asia, the Middle East, Latin America, and Africa have experienced a decline in sales volume. The company cut its forecast for organic revenue for the entire year on Tuesday due to the business’s second consecutive quarter of lower-than-anticipated sales.

The company’s performance during the quarter was adversely affected by the Quaker Foods North America recalls, the decrease in demand in the United States, and the interruptions that occurred in specific international markets, as per the statements made by Chief Executive Officer Ramon Laguarta.

Pepsi has revised its forecast for organic sales in 2024, shifting from a 4% growth rate to a low single-digit growth rate. The company reiterated its expectation that the core constant currency profitability per share will increase by a minimum of 8% in comparison to the previous year.

The company’s shares declined by less than one percent during premarket trading. The following discrepancies between the company’s report and the projections of Wall Street were identified by LSEG in a survey of analysts:

SOURCE: CNBC

Business

Old National Bank And Infosys Broaden Their Strategic Partnership.

(VOR News) – Old National Bank, a commercial bank with its headquarters in the Midwest, and Infosys, a firm that specializes in information technology, have recently entered into a strategic expansion of their link, which has been in place for the past four years.

This expansion is more likely to take place sooner rather than later, with the likelihood being higher.

For the purpose of making it possible for Old National Bank to make use of the services, solutions, and platforms that are offered by Infosys, the objective of this expansion is to make it possible for the bank to transform its operations and processes through the application of automation and GenAI, as well as to change significant business areas.

This lets the bank leverage Infosys’ services, solutions, and platforms.

Old National Bank Chairman and CEO Jim Ryan said, “At Old National, we are committed to creating exceptional experiences for both our customers and our fellow employees.”

This statement is applicable to Old National Bank. Infosys is carefully managing the business process innovations that it is putting us through, putting a strong emphasis on efficiency and value growth throughout the process to ensure that it is carried out efficiently.

This is a routine occurrence throughout the entire operation. Because of Infosys’ dedication to our development and success, we are incredibly appreciative of the assistance they have provided.

Old National has been receiving assistance from Infosys in the process of updating its digital environment since the year 2020, according to the aforementioned company.

Ever since that time, the company has been providing assistance. The provision of this assistance has been accomplished through the utilization of a model that is not only powerful but also capable of functioning on its own power.

Infosys currently ranks Old National thirty-first out of the top thirty US banks.

This ranking is based on the fact that Old National is the nation’s largest banking corporation.

It is estimated that the total value of the company’s assets is approximately fifty-three billion dollars, while the assets that are currently being managed by the organization are valued at thirty billion dollars.

Dennis Gada, the Executive Vice President and Global Head of Banking and Financial Services, stated that “Old National Bank and Infosys possess a robust cultural and strategic alignment in the development, management, and enhancement of enterprise-scale solutions to transform the bank’s operations and facilitate growth.”

This remark referenced the exceptional cultural and strategic synergy between the two organizations. Dennis Gada is the one who asserted this claim. This was articulated explicitly concerning the exceptional cultural congruence and strategy alignment of the two organizations.

We are pleased to announce that the implementation of Infosys Topaz will substantially expedite the transformation of Old National Bank’s business processes and customer service protocols. We are exceedingly enthusiastic about this matter. We are quite thrilled about this specific component of the scenario.

Medium-sized banks operating regionally will continue to benefit from our substantial expertise in the sector, technology, and operations. This specific market segment of Infosys will persist in benefiting from our extensive experience. This phenomenon will enable this market sector to sustain substantial growth and efficiency benefits.

SOURCE: THBL

Business

American Water, The Largest Water Utility In US, Is Targeted By A Cyberattack

The largest regulated water and wastewater utility company in the United States stated Monday that it had been the target of a cyberattack, forcing the company to halt invoicing to consumers.

American Water, The Largest Water Utility In US, Is Targeted By A Cyberattack

American Water, based in New Jersey and serving over 14 million people in 14 states and 18 military facilities, said it learned of the unauthorized activity on Thursday and quickly took precautions, including shutting down certain systems. The business does not believe the attack had an impact on its facilities or operations and said employees were working “around the clock” to determine the origin and scale of the attack.

water

The corporation stated that it has alerted legal enforcement and is cooperating with them. It also stated that consumers will not be charged late fees while its systems are unavailable.

According to their website, American Water operates over 500 water and wastewater systems in around 1,700 communities across California, Georgia, Hawaii, Illinois, Indiana, Iowa, Kentucky, Maryland, Missouri, New Jersey, Pennsylvania, Tennessee, Virginia, and West Virginia.

SOURCE | AP