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By Wayne Arnold
Beijing will say it wants to see Europe survive at this week’s joint summit. Lending directly isn’t the way. China can do better by pitching into a $1 trillion IMF-led rescue, with less chance of losses, less nationalist ire, and over time, a bigger seat at the IMF’s top table.
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New Petrobras CEO needs to flex political muscle

By Kevin Allison
A 52 pct drop in Q4 profit shows what Maria das Graças Foster is up against. The $200 bln Brazilian energy group’s refining losses, exploration bottlenecks and swollen capex budget are more political than operational problems. Foster’s engineering skills alone won’t solve them.

Glencore-Xstrata gatecrashers in short supply

By Quentin Webb
A merger backlash could put Xstrata in play. Vale tried to buy it in 2008. And Xstrata’s copper business could tempt Rio or BHP to launch a breakup bid. But such moves look unlikely. Xstrata investors shouldn’t expect outside help in pushing Glencore to sweeten its offer.
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Thermostat spat puts old heat on new cool

By Reynolds Holding
Honeywell says Nest Labs stole its ideas, though some seem obvious. True or not, the upstart outdid the old-line firm with a temperature controller of Apple-like elegance. When new companies produce something better, older ones should flex competitive muscles before legal ones.

Pennsylvania sells out cheaply in fracking fight

By Christopher Swann
It’s poised to levy a gas tax, ostensibly to cover drilling damages. Pennsylvania has been the nucleus of opposition to fracking and the charge may soften opposition. But with a levy less than half that of other states, the industry still has the upper hand in the Keystone State.

Romney tax row may bite European private equity

By Quentin Webb
Mitt Romney’s low-tax private equity payouts caused a storm stateside. European buyout bosses are unlikely to run for high office. But, like the presidential hopeful, they also cash in on “carried interest” schemes which usually avoid income tax. That could change.

Credit Suisse's pain is clearer than its gain

By Peter Thal Larsen
The Swiss bank has posted its first quarterly loss since 2008. Weak markets were partly to blame, but cost cuts and balance-sheet shrinkage also hurt. The firm thinks it will ultimately get ahead of the pack by restructuring now. But payback still depends on business picking up.
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