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FILE PHOTO: An attendee plays a video game next to the Nintendo booth at the E3 2017 Electronic Entertainment Expo in Los Angeles, California, U.S. June 13, 2017. REUTERS/ Mike Blake
April 25, 2019
By Sam Nussey
OSAKA (Reuters) – Japan’s Nintendo Co Ltd cautioned it will take time for the launch of its Switch console in China and dampened speculation about introducing a low-cost version of the device.
Nintendo’s partner Tencent Holdings won approval last week to sell the hybrid home-portable device in China. But though Nintendo Chief Executive Shuntaro Furukawa praised Tencent and the partnership on Thursday, he said Switch sales in China wouldn’t begin soon.
The news of the partnership and hopes that it will extend to mobile gaming helped lift Nintendo’s stock price to six-month highs last week. Mobile and PC gaming in China, the world’s largest video games market, dwarfs the market for consoles, whose growth has been pegged back by local regulations.
Nintendo’s push into mobile is yet to deliver a major hit, although analysts point to Mario Kart Tour, developed with DeNA and due for release this summer, as a possible contender.
The Kyoto-based gaming company, which has a reputation for making conservative forecasts, said it would sell 18 million Switch console units globally this financial year, up 6.2 percent from last year.
It expects operating profit to rise 4.1 percent to 260 billion yen ($2.3 billion) this year, well below an average analyst estimate of 342 billion yen, according to Refinitiv data.
Media reports that Nintendo is preparing a low-cost version of the Switch have helped push its shares higher in recent weeks.
Furukawa said at a news conference that while the company is always developing new hardware internally it has nothing to announce and had no plans to reveal new hardware at the E3 trade show in June.
Nintendo sold 16.95 million Switch hardware units in the year just ended, slightly undershooting its revised forecast of 17 million units. Nintendo had initially forecast sales of 20 million units before Furukawa took up the role in June.
The Switch games pipeline continues to create fan excitement, with two full Pokemon titles due later this year.
Nintendo expects to sell 125 million copies of Switch games in the current fiscal year, versus 118.55 million in the year ended in March.
The industry is facing a shake-up with established console gaming companies like Nintendo and Sony Corp exposed to competition from new entrants like Alphabet Inc’s Google offering browser-based games streaming services.
Furukawa said he welcomed new technology bringing games to users.
Nintendo’s shares closed up 1.3 percent ahead of the earnings announcement. Its share price has risen 32 percent year-to-date, pushing its market capitalization above 5 trillion yen.
(Reporting by Sam Nussey; Editing by Muralikumar Anantharaman)
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Greek artist Virginia Axioti works on the billboard of the “Avengers: Endgame” movie in Athens, Greece, April 21, 2019. REUTERS/Alkis Konstantinidis
April 25, 2019
By Renee Maltezou and Michele Kambas
ATHENS (Reuters) – Greek artist Virginia Axioti’s work is seen by thousands of people every week, but none of it is digital.
As the designer of hand-painted billboards that hang over the entrance to Athens’ Athinaion cinema advertising the newest film, she can count on a regular audience without having to embrace the internet.
Her latest work set the scene for the Greek opening on Wednesday night of “Avengers: Endgame” from Disney’s Marvel Studios, the culmination of 22 Marvel films since 2007, which could break global box-office records.
Sticking with hand-painted billboards continues a tradition introduced in 1960 at the 970-seat cinema, when it was founded by Axioti’s grandfather and great-uncle. One of the city’s oldest cinemas, it is the only one that still crafts its billboard posters by hand.
“The most basic difference (with digital posters) … is the human touch. It stands out, the gaze will stay on it … it is not static, it is like something alive,” the 41 year old artist, now a co-owner of the cinema, told Reuters.
Still, creating an advert for Disney’s latest blockbuster sets a particular challenge, with seven superheroes in various poses to accommodate.
“I am forced to add more elements than I would (normally), which makes it too busy for my taste, like it has a lot of noise,” Axioti said from the studio in her home in an Athens suburb, as she deftly added color to Tony Stark’s hair, played on screen by Robert Downey Jr.
Axioti works in turns with Vassilis Dimitriou, a former boxer who has been painting for the Athinaion for over four decades.
The cinema’s location at a busy intersection in the Ampelokipoi district of the city guarantees a big audience for her work and allows passers-by an opportunity for escapism however brief, she said.
Axioti, a fine arts graduate who also sings and plays music, spends three to four days at a time to complete a poster and produces between 20 and 25 each year.
The size of the billboards, which average 6.2 x 2.20 meters pose a regular challenge, she says, because she is quite petite.
Her favorite billboard was for the 2017 drama “Darkest Hour” about a period of Winston Churchill’s time as British prime minister during World War Two.
A big fan of the actor Gary Oldman who plays Churchill, she liked it so much, she said, that she kept it at home for a day, just so she could keep looking at it on her living room wall.
(Reporting by Renee Maltezou and Michele Kambas; Editing by Susan Fenton)
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FILE PHOTO: A man uses phone under a Volkswagen logo at the Shanghai Auto Show, in Shanghai, China April 20, 2017. REUTERS/Aly Song
April 25, 2019
By Yilei Sun and Norihiko Shirouzu
BEIJING (Reuters) – German automaker Volkswagen AG’s joint venture with China’s Anhui Jianghuai Automobile Co (JAC) plans to invest 5.06 billion yuan ($750.8 million) in a new electric car factory in eastern Hefei city, according to local authorities.
A document posted online by the Hefei Economic and Technological Development Area on Monday showed that Volkswagen and JAC had obtained approval from environmental authorities to build a plant capable of producing 100,000 all-electric battery cars a year.
Volkswagen Group China on Thursday confirmed the numbers that had been included in previous official documents and said JAC-Volkswagen would launch its first model soon.
A spokesperson for the joint venture confirmed plans for the plant, saying the approval represented an “orderly advancement of the project”, and the venture’s first electric model, the E20X, will be launched this year.
GO GREEN
The German company, China’s largest foreign automaker with sales of 4.21 million cars on the mainland and Hong Kong in 2018, has pledged to ramp up production of zero-emission vehicles as part of its growth strategy in the country.
Volkswagen has said it plans to produce more than 22 million electric cars in the next 10 years, with over half of them built in China. It plans to launch 14 new energy vehicle models in China this year.
VW’s joint venture with JAC, approved in 2017, said last year it would launch a research and development center. It also planned to introduce the SEAT brand to China by 2020-2021.
Reuters reported this month that Volkswagen is in talks with South Korean battery maker SK Innovation to accelerate electric vehicle development.
China’s car market, the world’s largest, contracted for the first time last year since the 1990s. However, the new energy vehicle segment is still growing rapidly and NEV sales jumped 61.7 percent to 1.3 million units in 2018.
The China Association of Automobile Manufacturers has said new energy vehicle sales could hit 1.6 million units this year.
Volkswagen has started building a $2.5 billion new energy vehicle plant in Shanghai with SAIC Motor Corp Ltd, which will make VW’s luxury Audi AG brand cars.
SAIC Volkswagen said the new plant would have an annual capacity to make 300,000 cars and begin production from 2020.
(Reporting by Yilei Sun and Norihiko Shirouzu in Beijing; Editing by Christopher Cushing and Darren Schuettler)
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FILE PHOTO: Sudanese opposition leader Sadiq al-Mahdi meets supporters in Khartoum, Sudan December 19, 2018. REUTERS/Mohamed Nureldin Abdallah/File Photo
April 25, 2019
KHARTOUM (Reuters) – Sudan could face a counter coup if military rulers and the opposition don’t reach agreement on a transition of power, opposition leader Sadiq Al Mahdi told Reuters on Thursday.
Al Mahdi said he believed Sudan’s military council would hand over power to civilians if the current stalemate were broken. He also said he would consider running for president only in an election, not during the transition period.
(Reporting by Michael Georgy and Khalid Abdelaziz; Editing by Gareth Jones)
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The headquarters of Wirecard AG, an independent provider of outsourcing and white label solutions for electronic payment transactions is seen in Aschheim near Munich, Germany April 25, 2019. REUTERS/Michael Dalder
April 25, 2019
By Douglas Busvine
MUNICH (Reuters) – German payments company Wirecard sought on Thursday to refocus on growth after securing audit approval of annual results which had been delayed by allegations of fraud and false accounting at its Singapore office.
Germany’s leading fintech company has been shaken by a string of reports in the Financial Times, which it has denied, citing a whistleblower’s allegations that local staff padded revenues through sham transactions.
Wirecard said auditor EY had found “no objections against the accounting treatment of the facts that were the subject of various allegation made by a purported whistleblower in Singapore”.
Wirecard won the backing of a heavyweight investor on Wednesday when it announced a partnership with Japan’s Softbank that included the sale of a 900 million euro five-year bond convertible into a 5.6 percent stake in the company.
Its annual results were delayed by an investigation by Wirecard’s outside law firm Rajah & Tann, which exonerated head office but did find that local staff in Singapore may have committed crimes that were not material to the company’s finances.
CEO Markus Braun, who remains the company’s largest shareholder with a 7 percent stake, said that management recognized weaknesses in the handling of software licenses used by its partners and would tighten up compliance in this area.
“We are a growth company,” Braun told a news conference in Munich.
“This is all about innovation and expansion, but of course we must catch up when it comes to compliance, audit and controlling.”
SOFTBANK ALLIANCE
Management confirmed guidance that earnings before interest, taxation, depreciation and amortization (EBITDA) would rise to between 740 and 800 million euros ($825-$892 million) this year.
Wirecard, which recently displaced Commerzbank from Germany’s DAX blue-chip index, reported a 36.6 percent gain in EBITDA to 560.5 million euros in 2018, while EBITDA margin widened by 0.2 percentage points to 27.8 percent.
Management proposed a dividend of 20 euro cents.
Braun said the Softbank deal offered the chance to work with companies backed by a group which runs the world’s largest venture fund and counts ride hailing firms Uber, Grab and Didi in its portfolio.
Digital payments scenarios that the alliance could work on included connected vehicles or food delivery, said Braun, who will seek shareholder approval for the arrangement.
Wirecard, founded in 1999, has profited from a boom in online payments by acting both as an acquirer, handling payments to merchants, and as an issuer of real and ‘virtual’ payment cards to consumers.
It handled a total of 125 billion euros in transactions for 280,000 merchants last year, generating revenues of 2 billion euros. It expects revenues to grow to 3 billion euros in 2020 and 10 billion in 2025 as digital payments become increasingly pervasive.
ANOTHER FT DENIAL
Even as Wirecard has grown apace, it has remained a favorite target of ‘short’ sellers seizing on negative reports to try to profit from declines in its share price. This has sparked investigations into suspected market manipulation by German prosecutors and the market regulator.
Wirecard, which has already sued the FT, denied another report in the newspaper on Wednesday that alleged the accounts of a Dubai-based unit were not audited in 2016 and 2017. It said all its subsidiaries were audited regularly.
The FT’s reporting, starting Jan. 30, triggered a 50-percent slide in Wirecard’s share price, while Singapore police have opened an investigation and raided Wirecard’s office there.
Braun said he retained his appetite for running a listed company.
“I enjoy being on the stock market,” the Austrian said, “and I haven’t lost my passion for the job in the last two months.”
(Reporting by Douglas Busvine; Additional reporting by Tassilo Hummel; Editing by Paul Carrel/Keith Weir)
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FILE PHOTO: The logo of taxi company Uber is seen on the roof of a private hire taxi in Liverpool, Britain, April 15, 2019. REUTERS/Phil Noble/File Photo
April 25, 2019
BRATISLAVA (Reuters) – Uber resumed operations in Slovakia’s capital Bratislava on Thursday, a year after a court ban, the ride-hailing company said.
A Slovak court ordered Uber to suspend its operations in March 2018 amid taxi drivers’ protests that the service represented unfair competition.
Slovakia has since passed legislation that allows Uber to operate legally if its drivers and cars meet requirements that professional taxi drivers must meet.
Uber’s re-launch in the central European country comes as Bratislava gears up to host the World Championships in ice hockey next month, an event expected to draw tens of thousands of visitors.
(Reporting by Tatiana Jancarikova; editing by Jason Neely)
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FILE PHOTO: A house built by the D.R. Horton company is seen for sale in Arvada, Colorado January 24, 2017. REUTERS/Rick Wilking/File Photo
April 25, 2019
(Reuters) – D.R. Horton Inc on Thursday forecast full-year home sales, the mid-point of which was below Wall Street expectations.
The company said it expects to deliver between 55,000 homes and 56,000 homes in 2019. Analysts on average were expecting home sales of 55,668 homes.
Net income attributable to the company was $351.3 million, or 93 cents per share, in the second-quarter ended March 31, from $351.0 million, or 91 cents per share, a year earlier.
Revenue rose to $4.13 billion from $3.79 billion.
(Reporting by Sanjana Shivdas in Bengaluru; Editing by Shailesh Kuber)
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A girl carries a stack of bread on her head as she walks near rubble of damaged buildings in Aleppo’s Kalasa district, Syria April 12, 2019. REUTERS/Omar Sanadiki
April 25, 2019
By Angus McDowall
ALEPPO, Syria (Reuters) – The bodies of three-year-old Malak Kasas and two neighbors still lie under a pile of rubble in Aleppo’s Kalasa district more than two years after the Syrian government recaptured the area.
Malak’s grandfather, Omar, and uncle, Mahmoud, live in the building opposite. When they stand on the balcony, they see the collapsed building that is her tomb. Whenever Omar says her name he bursts into silent, convulsive, sobs.
The state’s failure to pull bodies from the rubble of east Aleppo points to the grim prospects for an area that, like many others in Syria, was held by rebel forces for much of the country’s eight-year-old conflict. The western part of the city has remained in government hands throughout the fighting.
The opposition has accused President Bashar al-Assad of withholding services from districts where the rebellion against him flared to punish residents, and in Kalasa there was little evidence of a big government effort to improve conditions.
The government blames the slow recovery, shortages and hardship on the war and Western sanctions. It has denied treating recaptured areas differently to ones that remained under its control throughout the war and has said it is working to restore normal services to all areas.
The conflict that has killed half a million people and displaced half of Syria’s pre-war population of 22 million continues, and Reuters could hear bombardments over several nights in Aleppo from a nearby frontline during a recent visit.
In Kalasa, recaptured in late 2016, there is no systematic reconstruction of residential areas. State services are minimal. Work to renovate war-damaged buildings is almost entirely done and paid for by local people, residents say.
Kalasa has no state electricity supply, charities dole out boxes of food aid to crowds waiting behind chains. As elsewhere in Syria, fuel shortages cause long lines at petrol stations and people rely on firewood for heat.
Some damaged buildings in Kalasa have recently collapsed, falling debris killed a man last year and the many large heaps of rubble in areas where children play in the street are covered in stinking rubbish, dead rats and swarming flies.
Kalasa’s situation is not unusual for east Aleppo – other districts toured by Reuters showed equally bad or worse conditions. The western part of the city has suffered less damage because the rebels had no air power.
In other cities, there also are no reports of widespread rebuilding or data to suggest it has started.
Ayad Batash, 35, a former soldier and builder who was optimistic about life in Kalasa when Reuters met him two years ago, said things had become much worse for his family with a fuel shortage and a lack of work.
“This year’s not like before. This year is worse. The economic situation is worse than before,” he said.
Two years ago, he had regular work and thought the electricity supply would soon resume. He expected to move back into his own apartment and thought his neighbors would return from life as refugees.
“If the situation continues like this, people won’t come back,” he said.
RUBBLE
Reuters journalists spent several days reporting in a small neighborhood of Kalasa that they also visited in 2017 after the government retook the area, interviewing dozens of residents including several they had met previously.
A government official accompanied Reuters at all times in Kalasa. Local people criticized the rebels that held the area from 2012 until 2016 but not Assad or his government.
The recapture of Aleppo, Syria’s second city, was a turning point in the war. In just one city center square, Reuters counted 18 posters of Assad.
Some things have improved since Reuters last visited this district two years ago. There is now piped water and some rubble, and debris blocking streets and alleys has been cleared.
More schools have opened, though they are crowded, and more government-subsidized bakeries operate in the area, though queues for bread are long.
Those considerations are scant comfort to the people of Kalasa. Omar Kasas no longer leaves his flat. He remembers the bombardment in September 2016 that killed his daughter Iman and her daughters Ayah, Mayas and Malak in the building opposite.
People dug out the bodies of Iman, Ayah and Mayas, and nine dead neighbors, but could not reach Malak or two other women. Since the government took the area, there has been no effort to shift the rubble or find the bodies, residents said.
FUEL SHORTAGES
For Ayad Batash, a government supporter with two brothers in the army, the fuel shortages have aggravated other problems. During a cold winter, his four children, aged between two and 10, had no way to keep warm but with blankets.
A neighbor, retired school worker Ahmad Zarka, 73, kept a stove going to keep warm. The black smoke that pours out of it has turned his white songbirds in a cage on the wall a sooty grey. Rationed gas supplies were not adequate, he said.
The Western districts of Aleppo receive state power supplies for several hours a day. In Kalasa the only source of power is private generators that run on rationed diesel fuel.
Snack bar owner Rabiah al-Najar said the cost of electricity for selling sandwich wraps ate up nearly half his weekly profits.
Batash blames the lack of electricity for the lack of work. Using diesel-powered generators during a fuel shortage can double the cost of a job renovating a damaged apartment, he said. “So the customer just delays the work,” he said.
Opposite a petrol station near Kalaseh, where 80 cars were lined two-deep along the road waiting for rationed fuel, men sat on the curb, their tools lying on upturned concrete blocks to advertise their services as laborers.
“We wait from 7.30 a.m. until about 1 p.m. Then we go home and there’s nothing to do until the next day,” said Mohammed Ahmedi, 53, one of three sitting together, smoking as they waited for a job. They had not worked in 10 days, he said.
FOOD QUEUES
Batash has also had little work over the winter, he said. He considered moving but believes things are little better elsewhere.
Every few weeks his family joins the crowd waiting behind a chain strung across a nearby alleyway to receive food aid from the World Food Program and a local charity.
Men and women queue separately, each clutching their green ration card, waiting for their number to be called to collect a cardboard box with salt, chickpeas, lentils, bulgur wheat, sugar, rice and cooking oil.
There are queues even for bread. At a Kalasa bakery, people had to wait more than half an hour to receive their flat loaves.
There is no official rationing for bread but the baker, Hamid Atiq, said he limited what he sold each person because he did not have enough flour or fuel to power his oven long enough to supply all that the neighborhood wanted.
His bakery is wedged between the rubble of several bomb sites, and a dead rat lay on the ground nearby as a crowd gathered round the service window jostling to be served.
On the other side of the main road is an area of ramshackle older houses of two or three storeys. Mohammed Ramadan Daha, 61, is frightened to sleep in his house there.
The house behind his collapsed recently. The one next door has a large crack running up the side. He fears his will collapse too.
“It’s terrifying,” Daha said.
(Editing by Timothy Heritage)
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Cleaning crew picks up plastics from debris in the harbour after massive flooding in Durban, South Africa, April 24, 2019. REUTERS/Rogan Ward
April 25, 2019
DURBAN/JOHANNESBURG (Reuters) – Almost 70 people have been killed in South Africa after torrential rains along the eastern coast, an official said on Thursday, and rescuers are still recovering bodies.
KwaZulu-Natal province, where most of the deaths occurred after the downpours led to flooding and mudslides, has heavy rain every year, but they rarely kill so many people in such a short space of time.
The number of people killed was “approaching 70”, Lennox Mabaso, a spokesman for the provincial Cooperative Governance and Traditional Affairs department, said by phone.
“I don’t recall that in history,” he said, attributing the severity of the storm and its impact on the population to climate change.
A Reuters witness saw rescuers come to collect the body of a woman who had been dug out of the mud by locals. Mabaso said a more precise death toll would be given later on Thursday.
Eye witnesses recounted on Wednesday how flood waters and mudslides crashed through houses, many with people inside, and destroyed roads and other infrastructure.
The rains carved chunks out of hills and roads in the region, with cars, tin roofs and other rubble swept into the deep muddy trenches left behind.
In other places, people buried their dead on muddy hillsides churned up by the storm, marking their resting place with simple wooden crosses.
Vanetia Phakula, a senior forecaster at the South African Weather Service, said the storm was not currently seen as unusual, though the level of rainfall might have been higher than normal.
Over 100 millimeters of rain was recorded as falling at numerous stations within the area between Monday morning and Tuesday, she said.
Phakula said the high death toll could instead be explained by the flooding and mudslides occurring in more highly populated areas.
“Hence the death toll is what it is today,” she said.
While more rain was expected on Thursday it was not expected to be heavy, and the service was forecasting dry weather in most areas by Friday, she added.
(Reporting by Rogan Ward in Durban and Emma Rumney in Johannesburg; Editing by Hugh Lawson)
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