(=) GERMAN CONSUMPTION Since 1991 German household consumption has risen by an average 2.6% p.a. We have a detailed report out on historic development and our assumptions. In this context, the following stocks under our coverage appear to be well positioned: Rational, TUI, Beiersdorf, Douglas, Henkel, BMW, Delticom, Volkswagen, Fraport and Lufthansa.
(-) Spain: 2011 deficit revised The 2011 deficit will be revised higher (again). It will be revised from 8.4% to 8.9%. The deviation comes from the regions of Madrid, Valencia & Castilla Leon. Obviously bad news as it damages the credibility of the govt & the figures presented. Brussels will send two officials to Spain to assure this is the final revision (as the govt claims). Govt stated it will comply with the 5.3% deficit goal.