Italy - Factors to watch on January 17

Fri Jan 17, 2014 2:56am EST

The following factors could affect Italian markets on Friday.

Reuters has not verified the newspaper reports, and cannot vouch for their accuracy. New items are marked with (*).

POLITICS

Rome, European Commissioner for Economic and Monetary Affairs Olli Rehn holds one-day visit in Rome.

Rome, Cabinet meeting (0930 GMT).

Italy may need a cabinet reshuffle, its deputy prime minister said on Wednesday, in comments that may fuel the uncertainty facing Prime Minister Enrico Letta's fragile coalition as it tries to fix an ailing economy and draft a new election law.

ECONOMY

Rome, Bank of Italy releases monthly economic bulletin.

Italy's economy will expand this year at less than half the rate forecast by Prime Minister Enrico Letta's government and unemployment will hover near the current 37-year high, a Reuters poll showed on Thursday.

DEBT

A new accounting standard adopted by the European Union from September may reduce Italy's debt-to-GDP ratio - the second-highest in the region after Greece - by as much as 2 percentage points, an official at Italy's statistics agency ISTAT said.

COMPANIES

TELECOM ITALIA

The phone group said on Thursday any offer for TIM Brasil should be evaluated by independent directors, which could complicate the sale of the prized Brazilian unit. the company added it would continue to discuss governance matters at another board meeting on Feb. 6.

Findim Group, the holding group of rebel investor Marco Fossati, said in a statement it welcomed the board's resolutions, which it said were in line with its requests.

Telecom Italia has the cash for investments in the fixed line network, its CEO Marco Patuano said in an interview in La Repubblica. He confirmed the planned sale of transmission towers in Italy was on track before the end of the second quarter and thereafter the towers in Brazil.

BANCA MONTE DEI PASCHI DI SIENA

The fund Pamplona (Capital Management), which already owns 5 percent of UniCredit, is looking at a possible investment in Monte Paschi though no decision has yet been taken, Il Sole 24 Ore said. The fund could buy shares in a planned capital increase at the bank, it said. It was not immediately possible to find the Fund for a comment.

BRUNELLO CUCINELLI

Italy's Brunello Cucinelli forecast double-digit percentage growth in sales and profits for 2014 and outlined plans to create more space in stores for menswear, a growing sector in the company's major U.S. and European markets.

ENI

External audits into Italian oil company Eni's business activities in Algeria, which are the subject of a corruption probe by Italian and Algerian authorities, have found no evidence of illegal conduct by the group, Eni said on Thursday.

FIAT

The carmaker announced a new temporary layoff scheme for four days in February for 3,000 employees at its Mirafiori plant in Torino, northern Italy, a source close to the company said.

RCS

The Italian publisher expects its 2013 results to be in line with the targets of its 2013-15 business plan, Chief Executive Pietro Scott Jovane said on Thursday. The manager added that the start of 2014 was not bad and repeated that he did not foresee the need for a capital increase.

PARMALAT

Sofil, an investment vehicle of the Besnier family through which French cheesemaker Lactalis controls Parmalat, bought an additional 33.8 million shares in the Italian dairy group between Dec. 2-23, Parmalat said in a statement. The acquisition amounts to an investment of 83.2 million euros.

BANCA POPOLARE DI MILANO

The supervisory board meets to appoint the Management Board. * Former Intesa Sanpaolo manager Giuseppe Castagna is expected to be appointed CEO of the management board on Friday, Il Sole 24 Ore said.

* SEAT PAGINE GIALLE

The yellow pages company said it has started the process for approving the extraordinary corporate transactions laid down in its composition proposl. It said an extraordinary shareholders meeting was scheduled for March 4.

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