Shares in Spain’s Repsol soar on news of YPF deal

MADRID, Spain—Shares in Spanish oil company Repsol are soaring following news it has struck a preliminary deal to receive compensation from Argentina for last year’s expropriation of its YPF unit.

Repsol’s shares rose by 4.2 percent to 19.22 euros ($25.97) in early trading Tuesday in Madrid.

Repsol, YPF and Mexico’s Pemex—which holds a stake in Repsol—said Monday they had agreed tentatively on a process for determining compensation. No further details were released.

Argentina expropriated Repsol’s controlling 51-percent stake in YPF in 2012, without payment. The seizure infuriated Spain and led to criticism by the European Union, the United States and some Latin American leaders.

The Spanish energy giant has demanded $10.5 billion in compensation.

The agreement must be ratified at a Repsol board meeting Wednesday.

source: business.inquirer.net

Unions protest Spanish labor reforms

Madrid (CNN) -- Spain's largest unions carried out mass protests across the country Sunday in response to labor-market changes announced by the government.

Protesters packed the streets of Madrid, marching against measures they said will make it cheaper and easier to fire workers.

Sunday's demonstrations were the first major union protests against Spain's new conservative government, which took office two months ago.

Spain's unemployment rate is nearly 23%, and its youth unemployment rate is nearly 50%. About 5.2 million people in the country are jobless.

Last week Spain's parliament approved the labor reforms, which the nation's Cabinet approved earlier this month.

Government officials have argued that the new labor reforms will reduce unemployment and give workers more rights, such as an annual 20-hour paid leave for training.

But protesters said the reforms -- which also reduce the amount of severance employers must pay -- will further cripple the country.

Business administration student Raquel Tapia Solascasas carried a large pair of cardboard scissors, protesting cutbacks in education.

Pedro Munoz, a welder, said he was marching Sunday because he was worried about his grandchildren's future.

source: CNN