BBC World Service

Eurozone crisis hits Shell, other earnings

Marketplace Contributor Jul 26, 2012
HTML EMBED:
COPY
BBC World Service

Eurozone crisis hits Shell, other earnings

Marketplace Contributor Jul 26, 2012
HTML EMBED:
COPY

Jeff Horwich: The crisis in the eurozone is hitting profits everywhere; Anglo-Dutch oil giant “Shell” is the latest. Shell says this morning earnings fell 13 percent compared to the same quarter last year. This follows a string of U.S. companies blaming Europe.

The BBC’s Karen Hoggan reports.


Karen Hoggan: Big business has become the latest casualty of the debt crisis which has engulfed the euro zone. Second quarter sales in Europe were down for American giants Apple and Ford Motor Company. Ford says its loss in Europe may hit a billion dollars by the end of 2012.

The worsening global outlook has also forced oil prices lower over the past year — one reason for the drop in Shell’s profits. Chief executive Peter Voser says he’s very worried about the long-term impact of the eurozone crisis.

Peter Voser: I’m concerned about Europe and it’s about the competitiveness of europe. So we need to get clear decisions and clear milestones which the European Union and the euro countries want to achieve in order to keep the European economy competitive for the longer term.

European president Jose Manuel Barrosso is visiting Athens on Thursday to discuss the overall situation in Europe, and Greece in particular. Company bosses will be among those hoping they come up with something concrete to alleviate the region’s problems.

In London, I’m the BBC’s Karen Hoggan for Marketplace.

We’re here to help you navigate this changed world and economy.

Our mission at Marketplace is to raise the economic intelligence of the country. It’s a tough task, but it’s never been more important.

In the past year, we’ve seen record unemployment, stimulus bills, and reddit users influencing the stock market. Marketplace helps you understand it all, will fact-based, approachable, and unbiased reporting.

Generous support from listeners and readers is what powers our nonprofit news—and your donation today will help provide this essential service. For just $5/month, you can sustain independent journalism that keeps you and thousands of others informed.