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Pacific Century Cyber Works

Pacific Century Cyber Works

PCCW Limited (PCCW, 電訊盈科) is the largest telecommunication enterprise in Hong Kong. PCCW have been listed on Hong Kong Stock Exchange since 18 October 1994, with an ADR listing on the New York Stock Exchange (). It is also a part of Hang Seng Index.

History

PCCW was formed by Li Tzar Kai, Richard, the younger son of Hong Kong tycoon and billionaire Li Ka Shing. Formerly Pacific Century Development, it was an investment holdings company. The English name of PCCW was changed from "Pacific Century CyberWorks Limited" to "PCCW Limited" on 9 August, 2002. It then won a controversial land deal, acquiring valuable waterfront real estate from the government without any public auction bids. Many in Hong Kong cried cronyism, as Hong Kong chief executive Tung Chee Hwa gave away the land to his new high-tech residential and commercial venture called Cyberport. The biggest blockbuster deal, though, was the year 2000 acquisition of Hong Kong Telecom in August of 2000, which was formerly known as the Hong Kong Telephone Company (founded in 1925). Initially, HKT owner Cable & Wireless entertained a bid from Singapore Telecommunications, but there was local concern about a Singapore company owning the largest Hong Kong telephone system. PCCW entered the scene and offered Cable and Wireless PCCW stock and US$11 billion in bank loans. The acquisition vaulted PCCW from a small 1990s dot-com holdings company to the one of the largest corporations in Hong Kong. PCCW is now also the leading Internet service provider in Hong Kong, using the Netvigator brand for dialup modem and DSL service. PCCW has been the object of much scorn in Hong Kong, since many residents are PCCW stockholders, as a result of the HKT purchase. In 2003 the company's stock price was down 96 percent from its 2000 peak. In the face of challenges due to debt, intense local telecoms competition and a struggling international joint venture Reach (50/50 owned by PCCW and Telstra), the share of PCCW has been the worst-performing blue chip in 2002 and 2003. In 2003, Cable and Wireless finished cashing in all the stock from the 14.7 percent stake it had in PCCW. Worth US$5 billion at the time of the 2000 acquisition of HKT, the stock sales yielded only $1.9 billion in the end. Richard Li, gave up his spot as PCCW's chief executive officer in July 2003 but remain as chairman and executive director. Jack So, who left his chairman position at Hong Kong subway operator MTR Corp Ltd, took up the job of group managing director at PCCW on 25 July 2003.

Purported Cable & Wireless takeover bid

New report from the Sunday Times on 6 February 2003 revealed that PCCW made a preliminary takeover approach to Cable & Wireless on December 2002 as the Bristish company's share languished near record lows. Li told the Sunday Times newspaper that PCCW would not launch a hostile bid for C&W but that the two companies could work together to enhance shareholder value. The Times quoted Li as saying that he was planning to try again this week with a two billion pound (US$3.27 billion) bid for C&W. Following the news report, PCCW issued a statement through the Hong Kong stock exchange on 6 February 2003 morning saying it had not made a formal offer for C&W and was not in takeover talks with the company. Later in the day in London and Hong Kong PCCW issued statements saying it had made a preliminary takeover approach to C&W in a letter at the end of 2002. PCCW apologised on 10 February 2003 for making what were seen by some in the market as contradictory statements. The Hong Kong stock exchange demanded an explanation from PCCW after noting discrepancies between the two statements regarding its approach to C&W about a possible bid. However, C&W rebuffed the approach it made in a letter on 31 December 2002.

Establishment of Cascade

PCCW announced the formation of wholly-owned subsidiary Cascade Limited at January 2003 and transferred almost a quarter of its total work force to Cascade. Cascade employs more than 3,000 staff as of June 2003. Cascade provides PCCW's telecommunications network operations with support and maintenance services. It provides also network infrastructure design, build-out and maintenance services, consulting solutions, customer installation and maintenance services, project management, operating systems development and maintenance and technical support to clients other than PCCW.

Establishment of Unihub (Previously known as Business eSolutions)

PCCW – led by its Business eSolutions division – formed a venture with [China Telecom] to provide IT solutions to major business organizations. This was in addition to PCCW’s PCITC alliance with Sinopec, formed in February 2002 to serve Sinopec plus other players in China’s petrochemical sector. In early 2003, Business eSolutions (which adopted the Unihub brand identity on September 1, 2003) embarked on a contract to provide a solution for Bank of China’s credit-card ‘back office’ processing system in China. It also extended a 2002 enterprise resource planning (ERP) project into more provinces for China Mobile and completed the flight information display system for Xiamen Airport. The Business eSolutions contribution to the Hong Kong SAR Government’s Smart ID Card system led to the first of the new cards being issued in June this year. And other Business eSolutions contract work included a Human Resources Management and Financial Management System for the Hong Kong Council of Social Service.

Education

PCCW foundation has provided sponsorship for local data network service for the Internet2 project initated by the Joint Universities Computer Center or JUCC. The project enables staff and students at local universities to connect and exchange with Internet2 universities all over the world in researching the next generation of networking technologies. The foundation also supports the Workplace English Campaign and other education-related initiatives, such as annual scholarships for top students nominated by local universities.

Community service

PCCW provides communications services for a variety of social service schemes. This includes support for students, single parents, the unemployed, distressed people and the elderly who benefit from counselling hotlines, info-line services for Medilink and networks to help find employment.

Main business


- Telecommunications services
- Business eSolutions
- Infrastructure

Operations


- Hong Kong
- Mainland China
- Taiwan
- Macau
- Malaysia
- Singapore
- Korea
- Japan
- United States
- United Kingdom

See also


- List of Hong Kong companies
- List of Chinese companies

External link


- [http://www.pccw.com PCCW homepage]

Data


- [http://biz.yahoo.com/ic/99/99888.html Yahoo! - PCCW Limited Company Profile] Category:Telecommunications companies Category:Companies of Hong Kong category:Pacific Century Group category:Internet companies of Hong Kong category:Telecommunication companies of Hong Kong category:Transnational corporations headquartered in Hong Kong

Business

Business refers to at least three closely related commercial topics. The first is a commercial, professional or industrial organization or enterprise, generally referred to as "a business." The second is commercial, professional, and industrial activity generally, as in "business continues to evolve as markets change." Finally, business can be used to refer to a particular area of economic activity, such as the "record business" or the "computer business" (see Industry). This article is concerned primarily with the first definition of individual businesses, but also contains links to general business and management topics, in the sense of the second definition. Individual businesses are established in order to perform economic activities. With some exceptions (such as cooperatives, non-profit organizations and generally, institutions of government), businesses exist to produce profit. In other words, the owners and operators of a business have as one of their main objectives the receipt or generation of a financial return in exchange for expending time, effort and capital.

Types of Businesses

There are many types of businesses, and, as a result, businesses can be classified in many ways. One of the most common focuses on the primary profit-generating activities of a business, for example:
- Manufacturers produce products, from raw materials or component parts, which they then sell at a profit. Companies that make physical goods, such as cars or pipes, are considered manufacturers.
- Service businesses offer intangible goods or services and typically generate a profit by charging for labor or other services provided to other businesses or consumers. Organizations ranging from house painters to consulting firms to restaurants are types of service businesses.
- Retailers and Distributors act as middle-men in getting goods produced by manufacturers to the intended consumer, generating a profit as a result of providing sales or distribution services. Most consumer-oriented stores and catalogue companies are distributors or retailers.
- Agriculture and mining businesses are concerned with the production of raw material, such as plants or minerals.
- Financial businesses include banks and other companies that generate profit through investment and management of capital.
- Information businesses generate profits primarily from the resale of intellectual property and include movie studios, publishers and packaged software companies.
- Utilities produce public services, such as heat, electricity, or sewage treatment, and are usually government chartered.
- Real estate businesses generate profit from the selling, renting, and development of properties, homes, and buildings.
- Transportation businesses deliver goods and individuals from location to location, generating a profit on the transportation costs. There are many other divisions and subdivisions of businesses. The authoritative list of business types for North America (although it is widely used around the world) is generally considered to be the NAICS, or North American Industry Classification System. The equivalent European Union list is the [http://www.fifoost.org/database/nace/nace-en_2002AB.php NACE].

Business departments

Within businesses one can often find similar departments, named (and not limited to):
- Administration
- Finance & controlling
- Human ressources
- Management
- Marketing & sales
- Production/service
- Purchasing

Business and Government

Most legal jurisdictions specify the forms that a business can take, and a body of commercial law has developed for each type. Some common types include partnerships, corporations (also called limited liability companies), and sole proprietorships.

Business and Management

The study of the efficient and effective operation of a business is called management. The main branches of management are financial management, marketing management, human resource management, strategic management, production management, service management, information technology management, and business intelligence.

See also

This encyclopedia includes over 1600 business and economics articles, so not all appear listed here. This lists some of the main branches of business. For more specific topics, look at the various sublists.
- Accounting
  - List of accounting topics
- Advertising
- Banking
- Barter
- Big business
- Business broker
- Business ethics
  - List of business ethics, political economy, and philosophy of business topics
- Business intelligence
- Business schools
- Capitalism
- Commerce
- Commercial law
  - List of business law topics
- Companies
  - List of companies
- Competition
- Consumer electronics
- Economics
  - Financial economics
  - List of economics topics
- Electronic commerce
  - Ebusiness
- Entrepreneurship
- Finance
  - List of finance topics
- Government ownership
  - Social security
- Human Resources
- Industry
- Intellectual property
- International trade
  - List of international trade topics
- Insurance
- Investment
  - Equity investment
  - Institutional Fund Management
- List of America's Richest Men
- List of billionaires
- List of business theorists
- List of corporate leaders
- List of commercial pairs
- List of popular business books
- List of human resource management topics
- Management
  - List of management topics
- Management information systems
  - List of information technology management topics
- Manufacturing
  - List of production topics
- Marketing
  - List of marketing topics
- Mass media
- Organizational studies
- Process management
  - List of process management topics
- Project management
  - List of project management topics
- Real Estate
  - List of real estate topics
- Small business
- Strategic management
- Tax
- Theory of constraints
  - List of theory of constraints topics

External links


- [http://business-articles.us/ Business Articles]
- [http://www.growfolio.com/ growFolio - Online Business Magazine for Fresh Thinkers]
- [http://finance.yahoo.com/ Yahoo! Finance] Aggregates some really good business articles
- Category:Academic disciplines Category:School subjects ja:ビジネス th:ธุรกิจ

Hong Kong

The Hong Kong Special Administrative Region of the People's Republic of China (Traditional Chinese: 中華人民共和國香港特別行政區; Simplified Chinese: 中华人民共和国香港特别行政区 pronunciation), is a Special Administrative Region of the People's Republic of China (PRC). It is located on the southeastern coast of China. Hong Kong (also known as Hongkong, which was common in older texts) has one of the world's most liberal economies and is a major international centre of finance and trade. A former British colony now administered by the PRC under the "one country, two systems" policy, Hong Kong is constitutionally entitled to a relatively high degree of autonomy; for example, it retains its own legal system, currency, customs, treaty negotiating rights, such as air traffic and aircraft landing rights, and immigration laws. Hong Kong even maintains its own road rules, with traffic continuing to drive on the left. Only national defence and diplomatic relations are responsibilities of the central government in Beijing. Despite Hong Kong's reversion from British to Chinese rule, the region's English name remains "Hong Kong" (the pronunciation in the local Cantonese language), and not, as some sources suggest, Xianggang (the Mandarin Chinese equivalent).

History

Even though Hong Kong has been occupied since the Neolithic Age, the area now known as Hong Kong only began to attract the attention of China and the rest of the world in the 19th century when it was ceded to Britain after the Opium Wars. Hong Kong was first visited by a European in 1513, the Portuguese mariner Jorge Álvares. Álvares began trading with the Chinese, and the Portuguese continued to make periodic trade stops at various locations up and down the coast. Kowloon Peninsula south of Boundary Street and Stonecutter's Island were ceded to the British in 1860 under the Convention of Peking after the Second Opium War. Various adjacent lands, known as the New Territories (including New Kowloon and Lantau Island), were then leased by Britain for 99 years, beginning on 1 July 1898 and ending on 30 June 1997. Hong Kong became a crown colony in 1843. For the first twenty years there was little contact between the European and Chinese communities. The first specially recruited Hong Kong civil servants to be taught Cantonese were recruited in 1862, markedly improving relations. Cantonese with the raising of the Union Flag and the Flag of the Republic of China.]] Tea, silk, and other Asian luxury goods were introduced in Europe by the Portuguese, and by the mid-18th century, these items were in high demand, particularly tea. The British, challenging China's near monopoly on the tea industry, invaded China, winning the First Opium War in 1841. During the war, Hong Kong Island was first occupied by the British, and was formally ceded by the Qing Dynasty of China in 1842 under the Treaty of Nanking. Hong Kong entered a dark age during the Japanese Occupation of World War II, which lasted for three years and eight months. Many Hong Kong people were executed by the Japanese army during the war. The Japanese subsequently surrendered on 15 August 1945. The port was quickly re-opened and welcomed a mass migration of Chinese refugees in 1949 from the civil war and the new Communist government in China. Hong Kong had been a trade port ever since the British occupation, but its position as an entrepot declined greatly after the United Nations ordered a trade embargo against the People's Republic of China as a result of the Korean War. In response, a textile industry was established, taking advantage of the new pool of workers from China who were willing to work for almost any wage. During this period, the economy grew extremely rapidly. Towards the 1970s, Hong Kong began to move away from the textile industry and develop its financial and banking economy. This led to even greater growth, and Hong Kong quickly became one of the wealthiest territories in the world. Its position as an entrepot was restrengthened since the Open Door Policy was adopted in the PRC in the late 1970s under Deng Xiaoping. In the 1980s, with the lease on the New Territories running out, the British government of Margaret Thatcher decided to negotiate the question of the sovereignty of Hong Kong. Although the British would have been legally required to transfer only the New Territories to the PRC, Whitehall decided that maintaining a rump colony would not be worthwhile - the majority of Hong Kong's land was in the New Territories, and failure to return the entire colony would doubtless have generated political friction between the UK and PRC. Pursuant to an agreement known as the Sino-British Joint Declaration, signed by the People's Republic of China and the United Kingdom on 19 December 1984, the whole territory of Hong Kong under British colonial rule became the Hong Kong Special Administrative Region of the PRC on 1 July 1997. In the Joint Declaration, the PRC promised that under the "One Country, Two Systems" policy proposed by Deng Xiaoping, the socialist economic system in mainland China would not be practised in Hong Kong, and Hong Kong's previous capitalist system and life-style would remain unchanged for 50 years, or until 2047. Hong Kong would enjoy a high degree of autonomy in all matters except diplomatic affairs and national defence. Hong Kong was transferred to the PRC at the stroke of midnight on 1 July 1997, with the last governor, Chris Patten leaving on the royal yacht. The handover coincided with the large scale collapse of land values in Hong Kong, greatly damaging the bubble economy, as part of the Asian financial crisis. The land values fell in some areas by over half, and the Hang Seng Index fell by over 1,500 points on 28 October, losing 22.8 % of its value in a week. Exacerbating the region's economic problems, Hong Kong was hit badly by the SARS virus in the summer of 2003, especially in the effect that it had on travel to and from Hong Kong. On 1 July the same year, half a million people marched in the largest protest rally ever aimed at the government of Hong Kong, voicing concerns about a proposed anti-subversion bill that would have eroded freedom of the press, of religion and of association arising from Article 23 of the Hong Kong Basic Law, as well as dissatisfaction with the poor state of the economy. Regina Ip, then Secretary for Security, and Anthony Leung, then Financial Secretary, were forced to leave office in 2003 under public pressure. On 10 March 2005, Tung Chee Hwa submitted his resignation as chief executive of Hong Kong. Donald Tsang, the Chief Secretary for Administration of Hong Kong, served as Acting Chief Executive until 25 May, when he, too, resigned from his post to take part in the campaign for the new Chief Executive election. Following an interim government headed by Henry Tang, Tsang was eventually elected as Chief Executive.

Politics and government

Henry Tang.]] Henry Tang, and other protesters demand release of Aung San Suu Kyi. The Public Order Ordinance requires police permission to hold a demonstration of more than 30 participants.]] The Hong Kong Special Administrative Region is headed by its Chief Executive, the head of government. This office is currently held by Donald Tsang, who was elected on 16 June 2005. Tsang had held the post of Chief Secretary for Administration prior. Donald Tsang assumed his post on 24 June 2005 in Beijing, China; he will finish the remaining portion of Tung Chee Hwa's last term which ends on 30 June 2007, according to the interpretation of Annex I and Article 46 by the Standing Committee of the National People's Congress. The election of a new Chief Executive by the 800-member Election Committee was expected to be held on 10 July 2005. On 16 June 2005, Donald Tsang was acclaimed the winner, as the only candidate securing the required 100 nominations from members of the election committee. Tung Chee Hwa, the first Chief Executive, assumed office on 1 July 1997, following his election by a 400-member electoral college. For the second five-year term of the Chief Executive which began in July 2002, Tung was the only nominated candidate and therefore acclaimed. The PRC set up a Provisional Legislative Council (PLC) just before the handover, and moved to Hong Kong to have its meetings after the handover. It reverted some laws passed by the original Legislative Council, which was formed by means of universal suffrage. The PLC passed some of its own laws, such as the Public Order Ordinance , which required permission from police to hold a demonstration where the number of people who participates exceeds 30. Legislative Council elections were held on 24 May 1998, 10 September 2000, and again on 12 September 2004, with the next election scheduled for 2008. According to the Basic Law, Hong Kong's "mini-constitution", the present third term of the Legislative Council has 30 seats directly elected from geographical constituencies, and 30 seats elected from functional constituencies. The 1998, 2000 and 2004 Legislative Council elections were seen as free, open, and widely contested, despite discontent among mainly 'pro-democratic' politicians, who contended that the functional constituency elections and the Election Committee elections (for 1998 and 2000) were undemocratic, as they consider that the electorate for these seats is too narrow. The civil service of Hong Kong maintains its quality and neutrality, operating without discernible direction from Beijing. Many government and administrative operations are located in Central on Hong Kong Island near the historical location of Victoria City, the site of the original British settlements. The Right of abode issue sparked debates in 1999, while the controversy over Hong Kong Basic Law Article 23 was the focus of politics in Hong Kong between 2002 and 2003, culminating in a peaceful mass demonstration (over 500,000 demonstrators) on 1 July 2003, after which the government still tried to pass the law to the Legislative Council. But one of the major pro-government parties refused to vote for passing the bill. Thus the government found that the bill could not be passed. So it shelved the drafted law brought forth by Article 23. The focus of controversies shifted to the issue of universal suffrage towards the end of 2003 and in 2004, which was the slogan of another peaceful mass demonstration on 1 July 2004. On 24 September 2005, twenty-five Hong Kong pro-democracy Legco members, some of whom were previously labelled as traitors by Beijing after the 1989 Tiananmen Square crackdown and barred from entering the mainland, crossed the border into the southern province of Guangdong, following an unprecedented invitation by the PRC . The invitation was generally regarded as one of the greatest goodwill gestures from the PRC to the Hong Kong democrats since the Tiananmen Square massacre of 1989. On 4 December 2005, a demonstration was organised by the Civil Human Rights Front and pro-democracy lawmakers to express concerns about the lack of a working timetable that will allow for universal suffrage in the 2007 and 2008 elections for the Chief Executive and the Legistlative Council respectively. The turnout was reported to be 63,000 by the police, and at least 250,000 by the organisers.

Legal system and judiciary

pro-democracy.]] In contrast to mainland China's civil law system, Hong Kong continues to follow the common law tradition established by British colonial rule. Article 84 of the Basic Law of Hong Kong allows Hong Kong's courts to refer to decisions (precedents) rendered by courts of foreign jurisdictions and to invite foreign judges to participate in proceedings of Hong Kong's Court of Final Appeal. Structurally, Hong Kong's court system consists of the Court of Final Appeal which replaced the Judicial Committee of the Privy Council, the High Court, which is made up of the Court of Appeal and the Court of First Instance, and the District Court, which includes the Family Court. Other adjudicative bodies include the Lands Tribunal, the Magistrates' Courts, the Juvenile Court, the Coroner's Court, the Labour Tribunal, the Small Claims Tribunal, and the Obscene Articles Tribunal, which is responsible for classifying non-video pornography to be circulated in Hong Kong. Justices of the Court of Final Appeal are appointed by Hong Kong's Chief Executive. The Basic Law of Hong Kong is subject to interpretation by the Standing Committee of the National People's Congress and this power has been invoked three times: the right of abode issue, an interpretation regarding post-2008 election procedures, and an interpretation regarding the length of the term of the Chief Executive. As in England, lawyers in Hong Kong are classified as barristers and solicitors, where one can choose to practice as either one but not both (but it is possible to switch from one to the other). The vast majority of lawyers are solicitors who are licensed and regulated by the Law Society of Hong Kong. Barristers, on the other hand, are licensed and regulated by the Hong Kong Bar Association. Only barristers are allowed to appear in the Court of Final Appeal and the High Court. Just as the common law system is maintained, so are British courtroom customs such as the wearing of robes and wigs by both judges and lawyers.

Geography

lawyers Hong Kong consists of Hong Kong Island, Kowloon, and the New Territories. The Kowloon Peninsula is attached to the New Territories in the north, and the New Territories are in turn connected to mainland China across the Sham Chun River (Shenzhen River). In total, Hong Kong has 236 islands in the South China Sea, of which Lantau is the largest. Hong Kong Island itself is the second largest and also the most populated. Ap Lei Chau is the most densely populated island in the world. The name "Hong Kong", literally meaning "fragrant harbour", is derived from the area around present-day Aberdeen and Wong Chuk Hang on Hong Kong Island, where fragrant trees were once abundant and exported from. The body of water between Hong Kong Island and Kowloon Peninsula is Victoria Harbour, one of the deepest maritime ports in the world. The landscape of Hong Kong is fairly hilly to mountainous with steep slopes. The highest point in the territory is Tai Mo Shan, at a height of 958 metres. Lowlands exist in the northwestern part of the New Territories. Hong Kong is 60 km to the east of Macau on the opposite side of the Pearl River estuary. Hong Kong has a land border with the Chinese city of Shenzhen to the north. Of the territory's 1,102 km² and nearly 7 million residents, less than 25% of it is developed and most live and work in high-rise building. The remaining land is remarkably green and reserved as country parks and nature reserves. Hong Kong's climate is subtropical and prone to monsoons. It is cool and dry in the wintertime which lasts from around January to March, and is hot, humid and rainy from spring through summer. It is warm, sunny, and dry in autumn. Hong Kong occasionally has typhoons. The ecology of Hong Kong is mostly affected by the results of climatic changes. Hong Kong's climate is seasonal due to alternating wind direction between winter and summer. Hong Kong has been geologically stable for millions of years. However, flora and fauna in Hong Kong are altered by climatic change, sea level alternation and human impact. The highest recorded temperature in Hong Kong is 40 degrees Celsius while the lowest recorded temperature is 0 degrees. The average temperature in the coldest month, February, is 16 degrees while the average temperature in the hottest month, July, is 28 degrees. Hong Kong's climate is subtropical but half of the year is temperate. The territory is situated south of the Tropic of Cancer which is equatable to Hawaii in latitude. In winter, strong and cold winds generate from the north and cool the city; in the summer, the wind's direction reverses and brings the warm and humid air in from the south. This climate can support a tropical rainforest.

Administrative divisions

tropical rainforest Hong Kong consists of 18 administrative districts:
# Islands # Kwai Tsing (Kwai Chung and Tsing Yi) # North # Sai Kung # Sha Tin # Tai Po # Tsuen Wan # Tuen Mun # Yuen Long # Kowloon City # Kwun Tong # Sham Shui Po # Wong Tai Sin # Yau Tsim Mong (Yau Ma Tei, Tsim Sha Tsui and Mong Kok) # Central and Western # Eastern # Southern # Wan Chai

Economy

Wan Chai houses offices and the Hong Kong Stock Exchange.]] Hong Kong Stock Exchange 1997 after the real estate bubble economy collapsed, severely damaging the economy.]] Hong Kong has one of the least restricted economies in world and is basically duty-free. It is the world's 10th largest trading entity and 11th largest banking centre. The dominant presence of international trade is reflected in the number of consulates located in the territory: As of June 2005, Hong Kong had 107 consulates and consulates-general, more than any other city in the world. Even New York City, host of the United Nations, only has 93 consulates. The objective of Hong Kong's monetary policy is to maintain currency stability. Given the highly externally oriented nature of the economy, this objective was further defined as a stable external value for the Hong Kong dollar in terms of a linked exchange rate against the US dollar at the rate of HK$7.80 to one United States dollar until 2005, when it was allowed to trade within a band of HK$7.75-$7.85. Hong Kong has limited natural resources, and most food and raw materials must be imported. In fact, imports and exports (including re-exports) exceed the GDP of Hong Kong. Hong Kong has extensive trade and investment ties with the People's Republic of China which existed even before the handover on 1 July 1997. These ties and its autonomous status enable it to be the middleman between the Republic of China on Taiwan and the mainland. Flights, investment, and trade from Taiwan go through Hong Kong to get to the mainland. The service sector represented 86.5 % of the GDP in 2001. The territory, with a highly sophisticated banking sector and good communication links, hosts the Asian headquarters of many multinational corporations. At USD 24,080 in 2004, the nominal per capita GDP of Hong Kong is somewhat lower than that of the four big economies of western Europe. However, it would be ranked 11th in terms of per capita GDP (PPP) in the world (USD 32,292), which is even higher than Japan (USD 31,384), making Hong Kong one of the richest territorial regions in Asia. Growth averaged a strong 8.9% per annum in real terms in the 1970s and 7.2% p.a. in the 1980s. As the economy shifted to services (manufacturing currently accounts for just 4% of GDP), growth slowed to 2.7% p.a. in the 1990s, including a 5.3% decline in 1998, due to the Asian financial crisis' impact on demand in the region. Growth since 2000 has averaged 5.2% p.a. amid strong deflation. The economy rebounded rapidly, growing by 10 % in 2000. A world-wide global downturn and the Severe Acute Respiratory Syndrome (SARS) outbreak reduced economic growth to 2.3 % in 2002. Thereafter, a boom in tourism from the mainland because of China's easing of travel restrictions, a return of consumer confidence, and a solid rise in exports resulted in the resumption of strong growth in late 2003 and 2004, with growth averaging 6.5% in the first half of 2005. To further increase economic co-operation between Hong Kong and the mainland, the Individual Visit Scheme was started on 28 July 2003, which allows travellers from some cities in mainland China to visit Hong Kong without an accompanying tour group. As a result, the tourism industry in Hong Kong is booming due to an exponential increase in the number of visitors from mainland China. The upsurge is also boosted by the recent opening of Hong Kong Disneyland Resort. A revival in both external and domestic demand led to a strong upswing in growth in 2004, surging to 8.2 % for the year. The domestic sector completely shrugged off its earlier sluggishness, and the general weakness of the Hong Kong dollar, when included with the still modest cost and price pressures in Hong Kong, has resulted in a strengthening in Hong Kong's external price competitiveness. In addition, Hong Kong's 68-month-long deflationary spiral, the longest and highest deflation according to Guinness World Records, ended in mid-2004, with consumer price inflation hovering at near zero levels. Along with Singapore, South Korea and Taiwan, ROC, Hong Kong's fast-paced industrialisation earned it a place as one of the four original East Asian Tigers.

Demographics

East Asian Tigerss intersperse throughout the pavement.]] The population of Hong Kong increased markedly during the 1990s, reaching 6.94 million in 2005. About 96 % of Hong Kong's population is Chinese, the majority of which are Cantonese. Groups such as the Hakka and Teochew are also substantial. Used in government matters, Cantonese is spoken by most of the local Chinese population at home and in the office, although English is also widely understood and spoken by more than one-third of the population. Since the Handover, a new group of immigrants from mainland China have increased the ethnic diversity of the Chinese population in the territory. The remaining 4 % of the population is composed of non-Chinese, who form a highly visible group, despite their small numbers. Among these is a significant South Asian population, which includes some of Hong Kong's wealthiest families. Some Nepalis residing in Hong Kong are Gurkhas, who chose to stay after their service to Britain, and their descendants. More than 15,000 Vietnamese, who came to Hong Kong as refugees, have become permanent residents, with the majority of whom surviving on casual work. Around 140,000 Filipinos work in Hong Kong as housekeepers, often known locally as amahs, or feiyungs, with other such workers coming from Thailand and Indonesia. On Sundays and public holidays, thousands of these workers, the majority of whom are women, gather in Central to socialise. There are also a number of Europeans, North Americans, Japanese, and Koreans, largely working in Hong Kong's financial sector. The top three sources of migration to Hong Kong are the Philippines (132,770), Indonesia (95,460), and the United States (31,330). Hong Kong is the fifth largest metropolitan area of the PRC by population. Considered as a dependency, Hong Kong is one of the most densely populated countries/dependencies in the world, with an overall density of more than 6,200 people per km². Hong Kong has a fertility rate of .94 children per woman , one of the lowest in the world, and far below the 2.1 children per woman required to maintain an even population level. However, population is continuously growing due to immigration of about 45,000 people per year from mainland China. Despite the population density, Hong Kong was reported to be one of the greenest cities in Asia. The majority of people live in flats in high-rise buildings. The rest of the open spaces are often covered with parks, woods and shrubs. About 60 % of the land is designated as Country Parks and Nature Reserves. Hiking and camping are popular outdoor activities in Hong Kong's hilly country parks. The irregular and long coastline of Hong Kong also provides many bays and fine beaches for its inhabitants. Environmental concern and awareness is growing, however, as Hong Kong also ranks as one of the most (air-)polluted cities in the world. Estimates are that 70-80% of the city's air pollution comes from other parts of the Pearl River Delta.

Education

Pearl River Delta.]] A former British colony, Hong Kong's education system is based upon that of the United Kingdom, and in particular, the system used in England. In Hong Kong, there is a non-compulsory three-year kindergarten, which is followed by a compulsory six-year primary education, three-year junior secondary education, and a non-compulsory two-year senior secondary education leading to the Hong Kong Certificate of Education Examinations and a two-year matriculation course leading to the Hong Kong Advanced Level Examinations. There are also tertiary institutions offering various bachelor's, master's, and doctoral degrees, other higher diplomas, and associate degree courses. In general, three types of comprehensive schools exist in Hong Kong. There are government schools, which are relatively rare, and subsidised schools (government-aided schools, grant schools), run by charitable (often Christian, but Buddhist, Taoist, Islamic and Confucian as well) organisations with government funding, to which most students go. Most private schools are run by Christian organisations as well; admissions are based more on academic merit than on financial resources. Outside this system are the schools under the Direct Subsidy Scheme (DSS) and private international schools, which provide an alternative to the high-pressured mainstream education in exchange for much higher tuition fees.

Culture

international school to the floating restaurant.]] Hong Kong is often described as a city where East meets West. This is reflected in all aspects of the culture, but especially in its shopping, nightlife, and dining. A popular destination for shoppers from around the world, Hong Kong has everything to offer from the latest European fashion to traditional Chinese wares. Malls, department stores, and designer boutiques offer an amazing contrast to the bustling open-air Stanley Market and Jade Market shopping areas. Every district in Hong Kong has old-fashioned stores that sell Chinese herbal medicine. The largest concentration of these shops is along Bonham Strand and Bonham Strand West in Sheung Wan, where all types of pills, plants, and dried animals are for sale. Hong Kong has an active nightlife centred around two major entertainment districts, Lan Kwai Fong (Central) and Wanchai. Both areas are frequented by expats and locals alike. For a more quiet evening, a trip to Victoria Peak offers a spectacular view of the city. There is also a promenade along the Tsim Sha Tsui waterfront, which is popular among young Chinese couples. Shopping, a form of entertainment for the people of Hong Kong, is even done at nightime as evident in the Temple Street Night Market. The city's cosmopolitan flavour can also be seen in the wide variety of cuisines available. While different varieties of Chinese selections, especially seafood, are most popular, there also many European, American, Japanese, Korean, and other restaurants. Ethnic dishes served in cha chaan teng and dai pai dong are also popular. The people of Hong Kong take their food seriously and many top chefs make their way to the city to show off their talents to these discriminating diners. The world famous Hong Kong International Dragonboat Festival, now known as the Circus Capital Stanley Dragon Boat Championships, is a celebration of community that is televised globally.

Religion

celebration]] Hong Kong enjoys a high degree of religious freedom, a right enshrined and protected through its constitutional document, the Basic Law. The majority of Hong Kong's population practices ancestor worship due to the strong Confucian influence. A sizable Christian community of around 500,000 exists, forming about 10% of the total population; roughly equally divided between Catholics and Protestants. There are also followers of Buddism or Taoism. There are also estimated 70,000 Muslims, between 2,000 and 3,000 Jews, and a few Hindus; Sikhs and Bahá'ís are also represented. Apart from offering religious instructions, many major religious bodies have established schools and provided social welfare facilities. Hong Kong's religious beliefs are tied to the region's early role as a fishing community. Tin Hau, the protector of seafarers, has been honoured with several temples throughout Hong Kong for at least 300 years. Hung Shing, another protector of seafarers, has also been honoured for centuries. Hong Kongers, especially elder generations, go to Taoist or Buddhist temples to appease the deities and, usually, to ask for compassion or good fortune. Gifts of food, and in particular fruit, are presented, and incense and paper offerings are burnt in respect. With the transfer of Hong Kong to the PRC, there was significant concerns over religious freedom in Hong Kong. So far, this has proved mostly unfounded - despite the banning of the Falun Gong sect by Beijing in 1999, adherents are still free to practice in Hong Kong. Similarly, the Catholic Church is free to appoint its own bishops in Hong Kong, unlike on mainland China, where the only approved 'Catholic' institution is the Chinese Patriotic Catholic Association, which bishops and priests are appointed by Beijing (though there is also an unofficial and illegal part of the Catholic church that maintains contact with the Vatican). A significant issue in the normalisation of ties between the PRC and the Vatican is Beijing's insistence that the Vatican drops its diplomatic ties with the ROC. Although freedom of religion remains true in Hong Kong, it remains a volatile issue for many, as any threat will have lasting implications for the perceived freedoms in Hong Kong.

Architecture

ROC Due to the creative destruction so endemic to Hong Kong over the past 50 years, few historical buildings remain in Hong Kong. Instead the city has become a centre for modern architecture, especially in and around Central. The tall business buildings of Central comprise the skyline along the coast of the Victoria Harbour, which is one of Hong Kong's famous tourist attractions. In Kowloon, which once included the anarchistic settlement called the Kowloon Walled City, strict height restrictions were in force until Kai Tak Airport closed in 1998, but these restrictions have now been lifted, and several new skyscrapers in Kowloon are being planned. Hong Kong's best-known building is arguably Ieoh Ming Pei's Bank of China Tower, completed in 1990 (Foster's HSBC Headquarters is another contender). The building attracted heated controversy from the start, as its sharp angles were said to cast negative feng shui energy into the heart of Hong Kong. The two white aerials on top on the building were deemed inauspicious as two sticks of incense are burned for the dead. Predating the Bank of China Tower, there is the HSBC Headquarters Building, finished in 1985. This building is featured on many of Hong Kong's banknotes. It was built on the site of Hong Kong's first skyscraper, which was finished in 1935 and was the subject of a bitter heritage conservation struggle in the late 1970s. One of the largest construction projects in Hong Kong and the world was the new Hong Kong International Airport on Chek Lap Kok near Lantau, a huge land reclamation project linked to the centre of Hong Kong by the Lantau Link, which features three new major bridges: the world's sixth largest suspension bridge, Tsing Ma, the world's longest cable-stayed bridge carrying both road and railway traffic, Kap Shui Mun, and the world's first major 4-span cable-stayed bridge, Ting Kau.

Transport

Ting Kau Ting Kau at Wan Chai Pier bus terminus.]] Hong Kong has a highly developed and sophisticated transport network, encompassing both public and private transport. The Octopus card stored value smart card payment system can be used to pay for fares on almost all railways, buses and ferries in Hong Kong. Most parking meters in Hong Kong only accept payment by Octopus card, and Octopus card payment can be made at various carparks. Hong Kong Island is dominated by steep, hilly terrain, which required the development of unusual methods of transport up and down the slopes. In Central and Western district there is an extensive system of escalators and moving sidewalks, including the longest outdoor covered elevator system in the world, the Mid-levels Escalator. Hong Kong has several different modes of public rail transport. The two metro systems for the city are the MTR and KCR (KCR also operates a light rail system in northwest New Territories), which are operated by the MTR Corporation Limited and the Kowloon-Canton Railway Corporation respectively. The tramway system covers a large area and is the only tram system in the world run exclusively with double deckers. Five separate companies operate franchised public bus services in Hong Kong. Double-decker buses were introduced to Hong Kong in 1949. They are now used almost exclusively in Hong Kong just as in London and Singapore. However, single-decker buses remain in use for routes with lower demand or roads with lower carrying capacity and are used exclusively in South Lantau. Most normal franchised bus routes in Hong Kong operate until midnight. Public light buses run the length and breadth of Hong Kong, through areas where standard bus lines cannot reach or do not reach as frequently, quickly, or directly. Taxis are also widely used throughout Hong Kong. 99% of taxis in Hong Kong run on liquefied petroleum gas, the rest are still diesel operated. Most ferry services are provided by licensed ferry operators, which serve outlying islands, new towns, and inner-Victoria Harbour. The two routes operated by the Star Ferry, operating for over 100 years, are franchised. Additionally, 78 "kai-to" ferries are licensed to serve remote coastal settlements. Hong Kong has one active international airport, known as Hong Kong International Airport located at Chek Lap Kok. This replaced the famous airport of the same name at Kai Tak in 1998. After dreadful delays in the cargo systems in the first few months, the airport now serves as a transport hub for Southeast Asia, and as the hub for Cathay Pacific Airways, Dragonair, Air Hong Kong and Hong Kong Express. Additionally, both Hong Kong International Airport and Cathay Pacific Airways have been voted best in the world, in the airport and airline criteria respectively, by Skytrax from 2001 to 2005. Hong Kong International Airport serves more than 36 million passengers in the year 2004. Access to the airport includes 'Airport Buses' or 'Airbuses', These services connect the airport to the rest of Hong Kong. The Airport Express zooms passengers to Central on Hong Kong Island in just 23 minutes. Recent opening of Sunny Bay Station of the MTR allows easy access to the Disneyland Resort.

Military

MTR entering Hong Kong for the first time in 1997.]] The PRC Central People's Government (CPG) assumed sovereignty over Hong Kong on 1 July 1997 and stationed a garrison of the People's Liberation Army (PLA) to manage its defence affairs. Although the garrison has no military significance, the stationing of the PLA troops in the region is a significant symbol of the PRC government's resumption of sovereignty over Hong Kong. According the Basic Law, military forces stationed in Hong Kong shall not interfere with local affairs; Hong Kong government shall remain responsible for the maintenance of public order. The Hong Kong Garrison, composed of ground, naval, and air forces, is under the command of the Chinese Central Military Commission. The garrison subsequently opened the barracks on Stonecutters Island and Chek Chu to the public to promote understanding and trust between the troops and residents. Under British rule, ethnic Chinese Hongkongers were allowed to join the British defence forces. However, since the handover in 1997, they were no longer allowed to join the PLA.

International rankings


- A.T. Kearney/Foreign Policy Magazine: [http://www.atkearney.com/main.taf?p=5,4,1,116 Globalization Index 2005], not ranked out of 62 countries
- Heritage Foundation/The Wall Street Journal: [http://www.heritage.org/research/features/index/ 2005] Index of Economic Freedom, ranked 1st out of 155 countries, for 11 years in a row.
- IMD International: [http://www01.imd.ch/wcy/ World Competitiveness Yearbook 2005], ranked 2nd out of 60 economies (countries and regions)
- Reporters without borders: [http://www.rsf.fr/article.php3?id_article=11715 Third annual worldwide press freedom index (2004)], ranked 34th out of 167 countries
- Save the Children: [http://www.savethechildren.org/mothers/report_2005/ State of the World's Mothers 2005], not ranked out of 110 countries
- Skyline: [http://www.emporis.com/en/bu/sk/st/sr/], ranked 1st out of all cities of the world
- The Economist: [http://www.economist.com/theworldin/international/displayStory.cfm?story_id=3372495&d=2005 The World in 2005 - Worldwide quality-of-life index, 2005], ranked 18th out of 111 countries
- Transparency International: [http://www.t

18 October

October 18 is the 291st day of the year (292nd in Leap years). There are 74 days remaining.

Events


- 1009 - The Church of the Holy Sepulchre, a Christian church in Jerusalem, is completely destroyed by the "mad" Fatimid caliph Al-Hakim bi-Amr Allah, who hacks the Church's foundations down to bedrock.
- 1016 - The Danes defeat the Saxons in the Battle of Ashingdon.
- 1210 - Pope Innocent III excommunicates German leader Otto IV
- 1561 - Fourth Battle of Kawanakajima -- Takeda Shingen defeats Uesugi Kenshin in the climax of their ongoing conflicts
- 1685 - Louis XIV of France revokes the Edict of Nantes, which has protected French Protestants
- 1748 - Signing of the Treaty of Aix-la-Chapelle ends the War of the Austrian Succession.
- 1767 - Mason-Dixon line, survey separating Maryland from Pennsylvania is completed
- 1851 - Herman Melville's Moby-Dick is first published as The Whale by Richard Bentley of London.
- 1860 - The Second Opium War finally ends at the Convention of Peking with the ratification of the Treaty of Tientsin, an unequal treaty.
- 1867 - United States takes possession of Alaska, from Russia, celebrated annually in the state as Alaska Day ($7.2 million paid).
- 1898 - United States takes possession of Puerto Rico.
- 1908 - Belgium annexes the Congo Free State.
- 1912 - The First Balkan War begins.
- 1922 - The British Broadcasting Company (later Corporation) is founded by a consortium, to establish a nationwide network of radio transmitters to provide a national broadcasting service.
- 1925 - The Grand Ole Opry opens.
- 1944 - Adolf Hitler orders the establishment of a German national militia.
- 1944 - Soviet Union invades Czechoslovakia
- 1945 - The USSR's nuclear program receives plans for the USA's plutonium bomb from Klaus Fuchs at the Los Alamos National Laboratory
- 1945 - A group of the Venezuelan Armed Forces, led by Mario Vargas, Marcos Pérez Jiménez and Carlos Delgado Chalbaud, staged a coup d'etát against then president Isaías Medina Angarita, who was definitely overthrown by the end of the day.
- 1954 - Texas Instruments announces the first Transistor radio
- 1964 - The 1964-1965 New York World's Fair closes for its first season after a six-month run.
- 1968 - A police raid on John Lennon and Yoko Ono's flat finds 168 grains of marijuana. They later plead guilty and are fined £150.
- 1968 - The U.S. Olympic Committee suspends two black athletes for giving a "black power" salute during a victory ceremony at the Mexico City games.
- 1968 - Bob Beamon sets a world record of 8.90m in the long jump at the Mexico City games. This becomes the longest unbroken track and field record in history, standing for 23 years, and is later named by Sports Illustrated magazine as one of the five greatest sporting moments of the 20th century.
- 1969 - Jefferson Airplane member Paul Kantner is charged with possession of marijuana on Hawaii.
- 1974 - The Texas Chainsaw Massacre opens in theaters.
- 1977 - German Autumn: a set of events revolving around the kidnapping of Hanns-Martin Schleyer and the hijacking of a Lufthansa flight by the Red Army Faction (RAF) comes to an end when Schleyer is executed and various RAF members allegedly commit suicide. The (West) German government states that it would never again negotiate with terrorists.
- 1977 - Reggie Jackson hits three consecutive home runs.
- 1985 - Nintendo releases the Nintendo Entertainment System in the United States.
- 1988 - Green Day plays their first ever concert.
- 1989 - East German leader Erich Honecker resigns.
- 1993 - Andreas Papandreou begins his second term as Prime Minister of Greece.
- 2003 - Bolivian Gas War: President Gonzalo Sánchez de Lozada, is forced to resign and leave Bolivia.
- 2005 - The Nameless Novel aka Book The Twelfth of Lemony Snicket's A Series of Unfortunate Events is released to the public.

Births


- 1127 - Emperor Go-Shirakawa of Japan (d. 1192)
- 1405 - Pope Pius II (d. 1464)
- 1517 - Manoel da Nóbrega, Portuguese Jesuit in Brazil (d. 1570)
- 1547 - Justus Lipsius, Flemish humanist (d. 1606)
- 1569 - Giambattista Marini, Italian poet (d. 1625)
- 1595 - Edward Winslow, Plymouth Colony founder (d. 1655)
- 1634 - Luca Giordano, Italian artist (d. 1705)
- 1653 - Abraham van Riebeeck, Governor-General of the Dutch East Indies (d. 1713)
- 1662 - Matthew Henry, English non-conformist minister (d. 1714)
- 1668 - John George IV, Elector of Saxony (d. 1694)
- 1679 - Ann Putnam, Jr., American accuser in the Salem Witch Trials (d. 1716)
- 1701 - Charles le Beau, French historian (d. 1778)
- 1706 - Baldassare Galuppi, Italian composer (d. 1785)
- 1741 - Pierre Choderlos de Laclos, French general and author (d. 1803)
- 1777 - Heinrich von Kleist, German writer (d. 1811)
- 1785 - Thomas Love Peacock, English satirist (d. 1866)
- 1854 - Billy Murdoch, Australian Cricketer (d. 1911)
- 1859 - Henri Bergson, French philosopher, recipient of the Nobel Prize in Literature (d. 1941)
- 1873 - Ivanoe Bonomi, Prime Minister of Italy (d. 1951)
- 1893 - Georges Ohsawa, Japanese founder of Macrobiotics (d. 1966)
- 1898 - Lotte Lenya, Austrian singer and actress (d. 1981)
- 1898 - Shin'ichi Suzuki, Japanese violinist (d. 1998)
- 1902 - Miriam Hopkins, American actress (d. 1972)
- 1903 - Lina Radke, German athlete (d. 1983)
- 1906 - James Brooks, American painter (d. 1992)
- 1909 - Norberto Bobbio, Italian philosopher and legal theorist (d. 2004)
- 1911 - Maharishi Mahesh Yogi, Indian guru
- 1913 - Robert Gilruth, American aviation and space pioneer (d. 2000)
- 1918 - Bobby Troup, American musician (d. 1999)
- 1919 - Anita O'Day, American singer
- 1919 - Pierre Elliott Trudeau, fifteenth Prime Minister of Canada (d. 2000)
- 1920 - Melina Mercouri, Greek actress and political activist (d. 1994)
- 1921 - Jesse Helms, U.S. Senator from North Carolina
- 1926 - Chuck Berry, American musician
- 1926 - Klaus Kinski, German actor (d. 1991)
- 1927 - George C. Scott, American actor (d. 1999)
- 1928 - Keith Jackson, American football commentator
- 1928 - Hugh Allan "Buddy" MacMaster, Canadian musician
- 1929 - Violeta Chamorro, President of Nicaragua
- 1931 - Chris Albertson, American jazz historian
- 1934 - Inger Stevens, Swedish actress (d. 1970)
- 1934 - Chuck Swindoll, American evangelist
- 1935 - Peter Boyle, American actor
- 1939 - Mike Ditka, American football player, coach, and commentator
- 1939 - Lee Harvey Oswald, American assassin of John F. Kennedy (d. 1963)
- 1946 - Howard Shore, Canadian film composer
- 1947 - Joe Morton, American actor
- 1947 - Laura Nyro, American singer and songwriter (d. 1997)
- 1948 - Ntozake Shange, American author
- 1949 - George Hendrick, baseball player
- 1950 - Om Puri, Indian actor
- 1950 - Wendy Wasserstein, American playwright
- 1951 - Terry McMillan, American author
- 1956 - Martina Navratilova, Czech-born tennis player
- 1960 - Jean-Claude Van Damme, Belgian actor
- 1961 - Wynton Marsalis, American musician
- 1970 - Jose Padilla, American gang member and suspected terrorist
- 1974 - Robbie Savage, Welsh footballer
- 1976 - Azlea Antistia, American actress
- 1976 - David Wong, pianist
- 1977 - Ryan Nelsen, New Zealander footballer

Deaths


- 707 - Pope John VII
- 1035 - Sancho III of Navarre
- 1101 - Hugh of Vermandois, son of Henry I of France (b. 1053)
- 1141 - Margrave Leopold IV of Austria
- 1417 - Pope Gregory XII
- 1503 - Pope Pius III (b. 1439)
- 1545 - John Taverner, English composer
- 1558 - Maria of Austria, queen of Louis II of Hungary and Bohemia (b. 1505)
- 1564 - Johannes Acronius Frisius, German physician and mathematician (b. 1520)
- 1570 - Manoel da Nóbrega, Portuguese Jesuit in Brazil (b. 1517)
- 1604 - Igram van Achelen, Dutch statesman (b. 1528)
- 1646 - Isaac Jogues, French Jesuit missionary (b. 1607)
- 1667 - Fasilidos, Emperor of Ethiopia
- 1678 - Jacob Jordaens, Flemish painter (b. 1593)
- 1739 - Antônio José da Silva, Brazilian-born dramatist (b. 1705)
- 1744 - Sarah Churchill, Duchess of Marlborough, English friend of Anne of England (b. 1660)
- 1770 - John Manners, Marquess of Granby, British soldier (b. 1721)
- 1775 - Christian August Crusius, German philosopher and theologian (b. 1715)
- 1817 - Etienne-Nicolas Méhul, French composer (b. 1763)
- 1886 - Philipp Franz von Siebold, German physician (b. 1796)
- 1871 - Charles Babbage, English mathematician and inventor (b. 1791)
- 1893 - Charles Gounod, French composer (b. 1818)
- 1911 - Alfred Binet, French psychologist (b. 1857)
- 1921 - King Ludwig III of Bavaria (b. 1845)
- 1931 - Thomas Edison, American inventor (b. 1847)
- 1959 - Boughera El Ouafi, Algerian athlete
- 1975 - Al Lettieri, American actor (b. 1928)
- 1982 - Bess Truman, First Lady of the United States (b. 1885)
- 1983 - Willie Jones, baseball player (b. 1925)
- 2000 - Julie London, American singer and actress (b. 1926)
- 2000 - Gwen Verdon, American dancer and actress (b. 1925)
- 2001 - Micheline Ostermeyer, French athlete and musician (b. 1922)
- 2002 - Nikolai Rukavishnikov, cosmonaut (b. 1932)
- 2002 - Roman Tam, Hong Kong singer (b. 1950)
- 2003 - Manuel Vázquez Montalbán, Spanish writer (b. 1939)
- 2003 - Preston Smith, Governor of Texas (b. 1912)
- 2004 - Veerappan, Indian bandit and smuggler (b. 1945)
- 2005 - John Hollis, British actor (b. 1931)

Holidays and observances


- R.C. Church, Anglican communion, et alii - Feast of Saint Luke the Evangelist
- Also see October 18 (Eastern Orthodox liturgics)
- USA : Alaska: Alaska Day

External links


- [http://news.bbc.co.uk/onthisday/hi/dates/stories/october/18 BBC: On This Day] ---- October 17 - October 19 - September 18 - November 18 - more historical anniversaries ko:10월 18일 ms:18 Oktober ja:10月18日 simple:October 18 th:18 ตุลาคม

American Depositary Receipt

An American Depositary Receipt (ADR) is how the stock of most foreign companies trades in United States stock markets. Each ADR is issued by U.S. depositary banks and represents one or more shares of a foreign stock or a fraction of a share. If investors own an ADR they have the right to obtain the foreign stock it represents, but U.S. investors usually find it more convenient to own the ADR. The price of an ADR is often close to the price of the foreign stock in its home market, adjusted for the ratio of ADRs to foreign company shares. Individual shares of a foreign corporation represented by an ADR are called American Depositary Shares (ADS).

Types of ADR programs

When a company establishes an American Depositary Receipt program, it must decide what exactly it wants out of the program and how much they are willing to commit. For this reason, there are different types of programs that a company can choose.

Unsponsored shares

:Unsponsored shares are ADRs that trade on the over-the-counter (OTC) market. These shares have no regulatory reporting requirements and are issued in accordance with market demand. The foreign company has no formal agreement with a custodian bank and shares are often issued by more than one depositary. Each depositary handles only the shares it has issued. :Due to the hassle of unsponsored shares and hidden fees, they are rarely issued today. However, there are still some companies with outstanding unsponsored programs. In addition, there are companies that set up a sponsored program and require unsponsored shareholders to turn in their shares for the new sponsored. Often, unsponsored will be exchanged for Level I depositary receipts.

Level I

:Level 1 depositary receipts are the lowest sponsored shares that can be issued. When a company issues sponsored shares, it has one designated depositary acting as its transfer agent. :A majority of American depositary receipt programs currently trading are issued through a Level 1 program. This is the most convenient way for a foreign company to have its shares trade in the United States. :Level 1 shares can only be traded on the OTC market and the company has minimal reporting requirements with the U.S. Securities and Exchange Commission (SEC). The company is not required to issue quarterly or annual reports. It may still do so, but at its own discretion. If a company chooses to issue reports, it is not required to follow US generally accepted accounting principles (GAAP) standards and the report may show money denominations in foreign currency. :Companies with shares trading under a Level 1 program may decide to upgrade their share to a Level 2 or Level 3 program for better exposure in the U.S. markets.

Level II (listed)

:Level 2 depositary receipt programs are more complicated for a foreign company. When a foreign company wants to set up a Level 2 program, it must file a registration statement with the SEC and is under SEC regulation. In addition, the company is required to file a Form 20-F annually. Form 20-F is the basic equivalent of an annual report ( Form 10-K) for a U.S. company. In their filings, the company is required to follow GAAP standards. :The advantage that the company has by upgrading their program to Level 2 is that the shares can be listed on a U.S. stock exchange. These exchanges include the New York Stock Exchange (NYSE), NASDAQ, and the American Stock Exchange (AMEX). :While listed on these exchanges, the company must meet the exchange’s listing requirements. If it fails to do so, it will be delisted and forced to downgrade its ADR program.

Level III (offering)

:A Level 3 depositary receipt program is the highest level a foreign company can have. Because of this distinction, the company is required to adhere to stricter rules that are similar to those followed by U.S. companies. :Setting up a Level 3 program means that the foreign company is not only taking some of its shares from its home market and depositing them to be traded in the U.S.; it is actually issuing shares to raise capital. In accordance with this offering, the company is required to file a Form F-1, which is the format for an Offering Prospectus for the shares. They also must file a Form 20-F annually and must adhere to GAAP standards. In addition, any material information given to shareholders in the home market, must be filed with the SEC through Form 8K. :Foreign companies with Level 3 programs will often issue materials that are more informative and are more accommodating to their U.S. shareholders because they rely on them for capital. Overall, foreign comp