Jan. 28 (Bloomberg) -- Spain’s government is set to increase the retirement age today in a renewed bid to restore investor confidence after its 20 billion euro ($27 billion) plan to shore up savings banks failed to tame the nation’s borrowing costs.
The Socialist government plans to pass the bill at a Cabinet meeting that starts at 9 a.m. in Madrid, and will be followed by a news conference at 1:45 p.m.
WHAT TO WATCH: *La Caixa, a Spanish savings bank that is the largest shareholder in Criteria Caixacorp SA, reports fourth-quarter earnings in Barcelona after announcing a reorganizing of its banking business. *Criteria gives a webcast presentation at 9:30 a.m.
ECONOMY: *Spain’s National Statistics Institute will release fourth-quarter unemployment figures at 9 a.m. CET. *The Cabinet meets at 9 a.m. to discuss the pension overhaul.
EQUITIES: *La Caixa will turn its holding company Criteria Caixacorp SA into a bank, called CaixaBank, as it seeks to comply with new banking rules. Criteria will maintain its current stakes in Telefonica SA and Repsol YPF SA, it said. *Grupo Catalana Occidente SA will pay a third 2010 gross interim dividend of 10 euro cents per share on Feb. 10, it said in a filing to regulators yesterday. *Iberdrola SA plans to spend $365 million to build a cogeneration power plant in Mexico’s Guanajuato state and a wind farm in the state of Oaxaca, according to a statement from President Felipe Calderon’s office.
MARKETS: *The IBEX 35 Index advanced 1.5 percent to 10,828.7. *The spread between Spanish and German 10-year borrowing costs closed at 229.4 basis points.
To contact the reporter on this story: Manuel Baigorri in Madrid at email@example.com
To contact the editor responsible for this story: Angela Cullen at firstname.lastname@example.org