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Dow Chemical Co. planned to use proceeds from a joint venture with the government of Kuwait to finance its $15.3-billion acquisition of specialty-chemicals firm Rohm & Haas Co. In the aftermath of the joint venture collapse, Standard & Poor's and Moody's downgraded Dow's credit rating, and Dow's stock plunged 19% to $15.32, while Rohm's shares dropped 16% to $53.34. Article discusses Dow's procurement of financing for its planned purchase of Rohm & Haas.

Spain's Iberdrola S.A. announced an initial public offering for its clean-energy business unit totaling 20%. The preliminary value is set between $32.2 bil to $43.4 bil, the biggest stock market debut of green energy ever. Shares are to be set at $7.77 to $10.26.

Investment company TPG and British Airways abandon takeover bid for Iberia Airlines after savings bank Caja Madrid announces shareholder buyouts. Article discusses the political and nationalist implications of Caja Madrid's takeover offer for Iberia Airlines.

Home prices in Europe are dropping along with those in the US due to faltering market confidence, higher interest rates, and more restrictive lending practices. The market is expected to affect other economic sectors, as construction slows and higher mortgage payments reduce consumer spending.

Spanish utility Iberdrola has bought Energy East Corp. for $4.58 bil, significantly expanding its presence in the US. The deal has added approximately 3 mil gas and electric customers, and enables Iberdrola to obtain US tax credits for the production of renewable energy.

First-quarter operating profit for the production division of Spain's Repsol YPF S.A. fell 32% to 845.7 mil, but net profit was up by 3%. Shares were up 0.2%.

Five of Spain's largest real estate stocks fell by more than 10% each, giving rise to concerns that the country's construction boom, which has helped bolster the European economy, may drop off as well. The selloff was likely driven by the collapse of residential construction contractor Astroc Mediterraneo S.A. the week before.

The Spanish construction company Sacyr Vallehermoso S.A. has launched an all-stock hostile takeover bid for French firm Eiffage in a deal totaling $8.83 bil. Sacyr's offer is to acquire the remaining 66.8% of Effiage it does not already own. Nationalism is expected to have an impact on the process.

Bids for Europe's electric utilities have reached a total of $100 bil over the past two years as the industry ramps up for deregulation effective July 1, 2007. While the move targets improved competition, it has instead increased merger and acquisition activities.

Spanish carrier Iberia Lineas Aereas de Espana S.A. will seek investors as the airline industry grows increasingly competitive. Other airlines are expected to look for financial partnerships as well in order to expand or maintain their market position.

The German electric utility firm E.On AG has reached agreements with the Spanish conglomerate firm Acciona SA and Italian utility firm Enel SpA in a bid for Endesa SA, splitting the Spanish power company's assets among the three firms.

Iberia Lineas Aereas de Espana S.A. has received a buyout bid from TPG Capital LLC, a US private equity group, raising industry anticipation of possible counteroffers from Deuts che Lufthansa AG and British Airways PLC. Bidders may also be drawn to British Midland Airways Ltd.

Iberdrola S.A. of Spain is to acquire Scottish Power PLC of the United Kingdom for 18 billion Euros (about $24 billion). The wind power company will have combined revenues of 19.7 billion Euros and be valued at 46 billion Euros.

Imperial Tobacco Group PLC of the United Kingdom has offered to acquire rival Altadis S.A. of Spain for 11.52 billion Euros ($75 billion). The acquisition may spur global consolidation in the tobacco industry as players maintain profitablity. The market is tighter due to restrictive legislation by Western governments over health concerns related to smoking.

Italian electric utility Enel S.p.A. has acquired a stake in Spanish utility Endesa S.A., which may affect German company E.On AG's bid. Enel's acquisition is causing speculation about possible political meddling in the deal.

ENEL S.p.A. of Italy has purchased a 10 percent stake in Endesa S.A. of Spain for 4.13 billion Euros ($5.44 billion). The move may aid in blocking a takeover battle for Endesa S.A. by E.On AG of Germany.

The recent acquisition of U.S. bank Compass Banchsares Inc. by Spanish bank Banco Bilbao Vizcaya Argentaria is part of a move to make Spanish banks more powerful and profitable in the global marketplace.

German electric utility E.On Energie AG has raised its offer for Spanish utility Endesa S.A. by 12%. The acquisition is part of a trend towards consolidation of European power companies.

The 17 month takeover battle for Endesa S.A. of Spain is heating up as rival E.On AG has launched a counterbid to a hostile bid by Gas Natural SDG S.A. also of Spain. A question exists as to the true valuation of the Spanish electric utilitites. In September 2005 Endesa S.A. share price was 19 Euros with a market value of 20.1 billion Euros ($26.1 billion) and currently the share price is 38.57 Euros ($50.01) per share with a market value of 41 billion Euros.

Growth in the real estate market in Spain that has driven the economy over the last ten years may be winding down. However financial blowback should not effect Spanish companies too greatly as they have a solid base in the global marketplace. Spain's economy grew on average of 3.6 percent each year over the past ten years (and is forecast to grow by 3.8 percent in 2007) compared with 1.5 percent for the European Union.

Endesa S.A. of Spain is in the middle of a takeover battle that has lasted 14 months. E.On AG of Germany offered a bid of 37 billion Euros ($47.5 billion) a counter offer to a bid by Gas Natural SDG S.A. of Spain.

Spanish and Argentinian oil company Repsol YPF S.A. 's stock has risen 16% recently, at a time when the company is experiencing difficulties with supplies and costs . Speculation that the company is up for sale is driving the stock prices upwards. A deal with a mid-sized company remains a possibility for Repsol.

Michael O'Leary, CEO of Ryanair Ltd., is facing opposition from the European Union to his planned $1.76 billion acquisition of Aer Lingus Group PLC. This acquisition would create a monopoly in air service in Ireland.

Ryanair Ltd. of Ireland has an acquisition offer for Aer Lingus also of Ireland valued at 1.48 billion Euros ($1.88 billion). Acquisitions in the industry are being driven by budget airlines.

New wind power farms are coming to the United States, Mexico and the European Union through an agreement between Gamesa Energia S.A. of Spain and Iberdrola S.A. also of Spain. The deal is valued at 3 billion Euros ($3.82 billion) with wind turbines from Gamesa Energia S.A. supplying new wind synergies through Iberdrola S.A.

E.On AG of Germany has sweetened its offer for Endesa S.A. of Spain to 37 billion Euros ($47 billion). The offer is expected to end a 13 months long takeover and open the door to increased energy sector mergers in the European Union.

Corporate Spain is pushing into emerging markets in Europe and internationally. The corporate drive is coming from a ten year powerhouse economy and historical success in Latin America.

Acciona S.A. of Spain has bought a ten percent stake in Endesa S.A. also of Spain valued at 3.4 billion Euros (approximately $4.3 billion). Share purchase price was 32 Euros. Electric utilities interest, Endesa S.A. has been the object of a takeover battle over the past year.

BAA PLC of the United Kingdom has accepted an acquisition bid from Grupo Ferrovial S.A. of Spain for 10.1 billion Pounds ($18.9 billion). Acquisition approval comes after four months of haggling and may have forestalled a rival bid by Goldman Sachs Group Inc. of the United States.

Grupo Ferrovial of Spain has formally bid 8.75 billion Pounds ($15.3 billion) for BAA PLC of the United Kingdom. Shareholders at the British airline operator are holding out for a higher price.

The Euskadi Ta Askatasuna, Basque terrorist group has declared a permanent armistice with Spain. The goal of an independent Basque state was turned down by Madrid last year.

BAA PLC of the United Kingdom has rejected a takeover offer of 8.75 billion Pounds ($15.38 billion) from Grupo Ferrovial S.A. of Spain. The British airports operator said the offer was not a true reflection of valuation. BAA PLC operates a number of British airports including Heathrow.

The European Union economic policy of cross-border acquisitions and economic integration continues to be thwarted by nationalism. France has arranged a merger between Suez S.A. of France with crown corporation Gaz de France for 32 billion Euros ($37.98 billion), effectively blocking an offer for Suez S.A. by Enel S.p.A. of Italy.

The government of Spain has expressed its opposition to the acquisition of Endesa S.A. of Spain by E.ON Energie AG of Germany. The European Union economic policy supporting cross-border acquisitions goes against traditional national protectionism. Spain's largest electric utility is partly state-owned.

E.ON Energie AG of Germany has made a surprise offer to acquire Endesa S.A. of Spain for 29.1 billion Euros ($34.7 billion). The power and natural gas utilities acquisition could spark further consolidations in the industry. E.ON Energie AG offered 27.50 Euros per share purchase.

Grupo Ferrovial S.A. of Spain is considering purchasing BAA PLC of the United Kingdom. BAA PLC is the world's largest airport operator valued at 8 billion Pounds ($14 billion). BAA PLC shares are up by 15 percent or 97.5 pence to close at 7.53 Pounds ($13.13).

Industria e Investimentos S.A. of Portugal has offered a 10.7 billion Euros ($12.9 billion) bid for Correios e Telecomunicacoes de Portugal EP also of Portugal. The bid for the telecommunications company is 9.50 Euros per share. Correios e Telecomunicacoes de Portugal EP is the largest telecommunications company in Portugal and is a sign of consoidation in the industry in Europe.

Gas Natural SDG S.A. of Spain acquisition of Endesa S.A. also of Spain is set to be approved by the Spanish government. The power utilities merger would make the resultant energy utility the third largest in the world.

Repsol-YPF S.A. of Argentina and Spain has downgraded its estimate of petroleum reserves by 25 percent or 1.25 billion barrels of oil. Reasons include political instability in Bolivia and the reassessment of gas reserves there. Repsol-YPF S.A. is planning on replenishing reserves through exploration and production rather than through acquisitions.

The European housing market is slowing which could have repercussions with decreased consumer spending and less economic growth. Some analysts are predicting a fall in housing prices of 20 percent over the next three years. The housing market in the United States has not cooled.

Telefonica S.A. of Spain to acquire O2 PLC of Britain for $17.7 billion Pounds ($31.39 billion or 26.01 billion Euros). The Spanish telecommunications operator has extensive holdings in Latin America and is looking to expand in Europe with this deal. Shares for O2 PLC are up 2.7 percent to $2.91 on the London Stock Exchange and shares in Telefonica S.A. are down .3 percent to 13.62 Euros on the Madrid Stock Exchange.

Telefonica S.A. of Spain is speculating the acquisition of KPN N.V. of the Netherlands. The acquisition would be valued at 20 billion Euros or $24 billion. KPN N.V. shares increased by 6.5 percent to 7.98 Euros in the Netherlands at the news.

A wave of rights for women and the lifting of the Spanish machismo consciousness is sweeping Spain. A number of women's rights measures have been passed by the Spanish Parliament where the buzz word is 'paridad' or equality. Also, a number of household goods have been invented to promote the participation of men in keeping the household clean.

Telefonica S.A. of Spain is in negotiation to acquire KPN N.V. of the Netherlands for 20 billion Euro or approximately $24 billion. The telecommunications industry is expecting consolidations in Europe.

Spain has created the 'Spanish Miracle' by cutting it's unemployment rate from 20 percent to 9.4 percent in the past ten years. Revolving employment contracts for low-paid, short-term work that last up to six months have contributed to the countries economic growth, creating a flexible labor market and outpacing other European countries.

Al-Qaeda terrorists involved in the World Trade and Pentagon Attacks, 2001 have been sentenced. Iman Edin Barakat Yarkas and 17 other men were acquitted of murder charges and found guilty of conspiracy charges, being sentenced to 27 years in prison.

Gas Natural SDG S.A. of Spain is planning a hostile takeover of Endesa S.A. of Spain for $28 billion. There is a clash over which government agency, Spain or the European Union would approve the acquisition.

Gas Natural SDG S.A. of Spain has bid $28.8 billion for Endesa S.A. also of Spain. The gas utitility and electric utility together would be valued at 24 billion Euros.

British police are concerned that terrorists may have learned from their mistakes in the Madrid, Spain train bombing which killed 191 people in the investigation into the London, England bombings of the Tube. Police say that the bombing was an 'intelligence-led operation' and that the activity occured in West Yorkshire. Casualties in the London incident are at least 52.

Europe is dealing with security issues, including a need for greater security but not at the cost of civil liberties. There is no umbrella police network for Europe yet the borders are open, permitting terrorists to travel but making surveillance more difficult. London, England is home to a number of radical Islam groups.