Italy - Factors to watch on October 21
The following factors could affect Italian markets on Monday.
Reuters has not verified the newspaper reports, and cannot vouch for their accuracy. New items are marked with (*).
A Milan court on Saturday ruled that former Prime Minister Silvio Berlusconi should be barred from holding public office for two years following a conviction for tax fraud.
Industry Minister Flavio Zanonato defended Italy's 2014 budget law in an interview with Il Messaggero on Monday saying it included tax cuts for the first time in years.
Italy is looking to introduce bilateral guarantees for swap derivatives over government bonds entered by the Treasury with primary dealers in a move that shields banks in the event of an Italian sovereign default, la Repubblica reported on Saturday citing a law decree linked to the budget law. * The value of the state-owned properties that Italy is planning to transfer to real-estate fund Invimit with the aim of finding new investors will total 6.1 billion euros by 2017, Corriere della Sera reported on Monday.
Banks that are still viable but need state aid to boost their capital base should be allowed to receive help without inflicting losses on their junior bondholders, European Central Bank President Mario Draghi told the European Commission.
ENI, SNAM, TERNA
The "Destination Italy" asset-sale plan envisages the sale by the Treasury of a 4.34 percent stake in oil group Eni, and of up to nearly 10 percent each of Snam and Terna, Il Sole 24 Ore reported on Saturday without citing sources.
An initial sale of 4.9 percent of Terna could take place by early 2014, the paper said, adding the Treasury was also assessing the idea of listing Fincantieri and Sace.
MONTE DEI PASCHI DI SIENA
The bank's leading shareholder could consider selling all its 33.5 percent stake in the troubled Italian lender, the head of the bank's foundation was quoted as saying on Sunday.
The airline said on Friday it had already raised 130 million euros as part of its capital increase for up to 300 million euros approved this week by shareholders.
Half of the amount came from shareholders Intesa Sanpaolo , Atlantia and Immsi, the other half from creditors Intesa and UniCredit.
A letter in which Italy's postal service pledges to buy shares left unsubcribed in Alitalia's cash call for up to 75 million euros sets some conditions - such as the EU starting an infringement procedure against Italy for breaking state-aid rules - which may void the commitment, Il Sole 24 Ore said on Saturday without citing sources.
The board of Atlantia gave a green light to buying into the Alitalia's cash call after overcoming initial resistance to the conditions set for the postal service's investment, Il Sole 24 Ore and Il Messaggero said on Saturday.
China's Hainan Airlines have expressed an interest in Alitalia in a letter to adviser Rotschild, Il Messaggero reported.
The involvement of Intesa and UniCredit in the latest Alitalia's rescue has "irritated" Bank of Italy's governor Ignazio Visco la Repubblica reported on Saturday citing no sources.
The Transportation Ministry is drafting a national plan for airports which is expected by mid-November, Corriere della Sera reported on Sunday.
The telecoms group wil likely call a board meeting ahead of the Nov. 7 one following a request by one investor to remove board members appointed by key shareholder Telco, Il Sole 24 Ore said on Saturday. A date should be announced early next week.
The aim of investor Findim is to make shareholders and not the board responsible for a possible decision to sell Telecom's Latin American assets, la Repubblica said on Saturday. Findim also wants to change the rule allowing whoever controls a majority of shareholders to name four-fifths of board members.
Telecom has hired head-hunter Spencer Stuart to help it pick a new chairman, Il Messaggero reported on Saturday without citing sources.
Standard and Poor's has raised the outlook on the Italian utility's 'BBB-/A3' rating to "stable" from "negative," Acea said in a statement on Monday.
The bank has agreed to a debt restructuring deal for the Carlo Tassara holding company after a decision to split proceeds from the sale of a 1.7 percent stake in Intesa only among UniCredit, Banco Popolare and Carige, leaving other creditors out, Il Messaggero reported on Saturday without citing sources. * UNICREDIT
The bank's CEO told La Stampa on Monday that credit demand equalled the amounts maturing on short-maturities while on medium-term loans it was still below. * CELL THERAPEUTICS
The pharmaceutical company said on Monday findings from a preclinical study of pixantrone suggest its mechanism of inducing tumor cell death is novel and distinct from that of anthracyclines such as doxorubicin.