1. afternoon edition
Nielsen Media Index 2008
SOME OF THE bEST THINGS IN lIFE ARE STIll FREE Friday October 17, 2008 www.todayonline.com we set you thinking
bIZ lATEST opec calls emergency meet as oil dips below US$70 SpORTS lATEST
UK follows Fed lead NEW YORK — Oil prices plummeted yesterday barrel in intraday trading, their lowest level since
Bank of England’s US Fed-style (this morning, Singapore time), falling below US$70 June last year. Oil has lost half its value since hitting
move to free up emergency
a barrel for the first time in 16 months, prompt- a record US$147.27 a barrel in July.
funding for ailing banks “could
have saved Northern Rock”,
ing the Organisation of the Petroleum Exporting While not quite a rout yet, the precipitous drop
say analysts. Page B1 Countries (Opec) oil cartel to call for an emergency undermines the elusive quest for stability that both
meeting next week. oil producers and petroleum executives say they
The rapid decline in prices have alarmed both need to invest over the long term. The sharp decline
2% US growth in ’09? petroleum company executives and oil producers, Thursday prompted Opec members to move up an
The US economy will grow who are becoming increasingly nervous that oil’s emergency meeting — initially set for Nov 18 — to
a “sluggish” 2 per cent next
roller-coaster ride undermines the stability of next Friday to look for ways to stem the price decline.
year, say Fortune 500 CEOs in
a survey. Page B1 energy markets. Analysts expect the cartel’s producers to reduce their Everybody loves Emile
Oil prices have dropped sharply in recent weeks production by about 1 million barrels a day. England’s least likely terrace
amid the economic crisis and lower consumption The surprise announcement came a week
Google, IbM are :) in developed nations. In New York yesterday, oil after Opec, which controls about 40 per cent of the
hero, Emile Heskey, has forged
a formidable pairing with
Two industry giants shook off futures fell as much as 8 per cent to US$68.57 a >> CONTINUED ON pAGE 2 Wayne Rooney. Page 52
the economy’s woes to deliver
third-quarter profits that beat
analyst expectations. Page B2
bANK DEpOSITS
No $15m handshake
AIG will not honour its US$10m
severance package with outgoing
chief financial officer Steven Ben-
singer, says US Attorney-General
Every cent guaranteed: MAS
Andrew Cuomo. Page B3 Govt backing for all deposits weakening their own financial institutions Deposits with overseas branches of local
a ‘precautionary action’ and financial sectors”.
“This is why although Singapore’s bank-
banks OCBC, UOB and DBS will be guaranteed
only if the branch falls under the Singapore legal
A pUblICATION OF
ing system continues to be sound and resil- entity. This means that the Australian branch of
MARISSA CHEW AND ESTHER FUNG
marissa@mediacorp.com.sg ient, the Government has decided to take OCBC would be covered, but the branches of
MICA (p) 132/10/2007
precautionary action to avoid an erosion of DBS Bank (Hong Kong) would not.
hotline 6822 2268 THE Singapore government yesterday said it banks’ deposit base and ensure a level inter- The guarantee will be backed by $150 billion
ADVeRtiSe 6359 7359 was taking “precautionary action” to guar- national playing field for banks in Singapore,” of reserves, for which the President’s concur-
antee in full all deposits in banks, a joint statement from MAS and the Ministry rence has been obtained. Singapore’s deposit
finance companies and merchant of Finance said. base is understood to be around $700 billion.
banks licensed by the Monetary The move by Singapore follows similar The $150 billion will be “well in excess
Authority of Singapore. guarantees in Australia and New Zealand of possible liabilities arising from the failure
The Singapore Government has over the weekend and Hong Kong on Tuesday. of any financial institutions”, said MAS and
repeatedly assured that the domestic Malaysia yesterday also said that it would the ministry.
Check out our financial system is stable and robust. guarantee all ringgit and foreign currency Commenting on the size of the $150 bil-
Amazing
But it said yesterday that the govern- deposits there. lion backing for the guarantee, OCBC econo-
ment guarantees for bank deposits The guarantee will cover all Singapore dol- mist Selena Ling said: “It’s not like Hong Kong
implemented recently in other juris- lar and foreign currency deposits of individuals when they had a bank run at Bank of East Asia.
dictions in the region “put pressure and corporates from now to Dec 31, 2010. The I don’t think there’s anything close or similar
offers inside! on other jurisdictions to respond or
risk disadvantaging and potentially
Government guarantee will also cover depos-
its with existing credit cooperatives.
to that happening in Singapore.
>> CONTINUED ON pAGE 2