Climate change will cost economy hundreds of billions of dollars, government says in sweeping report

Bob Richling carries Iris Darden as water from the Little River starts to seep into her home on September 17, 2018 in Spring Lake, North Carolina. 

Bob Richling carries Iris Darden as water from the Little River starts to seep into her home on September 17, 2018 in Spring Lake, North Carolina.

Climate change will cost the U.S. economy hundreds of billions of dollars by the end of the century, damaging everything from human health to infrastructure and agricultural production, according to a government report issued on Friday.

The White House dismissed the congressionally mandated reported as inaccurate.

The report, written with the help of more than a dozen U.S. government agencies and departments, outlined the projected impact of global warming in every corner of American society, in a dire warning that is at odds with the Trump administration’s pro-fossil-fuels agenda.

“With continued growth in emissions at historic rates, annual losses in some economic sectors are projected to reach hundreds of billions of dollars by the end of the century – more than the current gross domestic product (GDP) of many U.S. states,” the report, the Fourth National Climate Assessment Volume II, said.

Global warming would disproportionately hurt the poor, broadly undermine human health, damage infrastructure, limit the availability of water, alter coastlines, and boost costs in industries from farming, to fisheries and energy production, the report said.

[“source=cnbc”]

Coal India stock fails to impress, but government made a cool Rs 74,000 crore

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The BSE Sensex has climbed 231 per cent during the same period.
  • Centre to offer 99 lakh Coal India shares to staff at 5% discount
  • Institutional buyers offer bids worth Rs 4,300 crore for Coal India shares
  • Coal India OFS fully subscribed
Coal India, which made a smashing market debut eight years ago, has failed to live up to investor expectations till now.

The stock is down nearly 7 per cent at Rs 268.20 against its listing price of Rs 287.75. However, it’s up 9 per cent from the issue price of Rs 245.

Retail investors, who got around 5 per cent discount on the IPO, have gained around 15 per cent since the listing of the coal major.

The BSE Sensex has climbed 231 per cent during the same period.

But the underperformance of Coal IndiaNSE 0.63 % on Dalal Street has not stopped it from announcing a hefty dividend year after year since listing. The central government, the biggest shareholder in the PSU firm, has made Rs 74,267 crore by way of dividend during 2010-11 to 2017-18. Overall, the company announced a dividend of Rs 88,916.80 crore during the past eight years, according to data available with Ace Equity.

Total number of shares at the end of each financial year is considered for the calculation of dividend.

Coal India handed out a minimum of 39 per cent of dividend over its face value of Rs 10 in FY11 and a maximum of 290 per cent in FY14. It did not announce any stock split or bonus during these years.

The government held 78.32 per cent stake, or 4,86,16,80,228 shares, in the company as of September 2018.

The Centre on Friday announced an offer for sale of 99 lakh shares of Coal India reserved for its employees at Rs 252.7 per share. It is expected to fetch the government Rs 250 crore.

The current offer for employees is part of the divestment tranche that concluded last week in which the Centre divested 3.19 per cent of its stake at a final price of Rs 266 per share to financial institutions and retail investors.

The Centre is likely to raise Rs 5,267 crore through sale of 19.8 crore equity shares of the company from the recently concluded offer for sale. After last week’s sale, the government will continue to hold a majority stake of 75.13 per cent in the coal behemoth.

The state-owned firm is slated to announce its financial results for the quarter to September on Monday.

For 2018-19, the company posted 24 per cent year-on-year fall in consolidated net profit at Rs 7,019 crore against Rs 7,281.50 crore last year. It posted a net profit of Rs 14,267.90 crore, Rs 13726.60 crore and Rs 15111.60 crore in FY16, FY15 and FY14, respectively.

Last year, Coal India announced 165 per cent dividend on the face value. The figure was 199 per cent in FY17.

A report issued by CIMB Investment Bank Berhad, or CIMB, on November 2 assigned ‘Reduce’ rating to Coal India with a target price of Rs 245. However, it showed that the consensus has 26 ‘Buy’, 5 ‘Hold’ and 1 ‘Sell’ on Coal India.

[“source=forbes]