S.Africa’s rand holds firm vs dlr, futures edge up

JOHANNESBURG, July 27 (Reuters) – South Africa’s rand touched a 3-month high against the dollar on Tuesday and looked set to hold its ground, helped by firmer stocks and speculation of a possible purchase of local group Nedbank by HSBC.

The JSE’s Top-40 September futures contract ALSIc1 ticked up just 0.17 percent ahead of the start of trade on the local bourse at 0700 GMT. European shares looked set to open flat after reaching a five-week high in the previous session.

At 0642 GMT the rand ZAR=D3 traded at 7.3460 to the greenback, off just 0.08 percent from Monday’s close at 7.3400.

The domestic currency briefly flirted with 7.3201/dollar earlier on Tuesday, the strongest it has been since April 30, Reuters data shows.

“I think there’s some interim support around these levels of 7.33/34, but overall there’s still very positive equity markets and positive sentiment,” foreign currency dealer based in Johannesburg said.

“Combined with rumours of some more FDI … with foreign suitors for Nedbank, the rands looks to be in good shape. I think that resistence will now come in at 7.38/40 and in this move we should target around lower 7.20′s.”

Government bonds were firmer in earlier trade, pulling the yield on the benchmark 2015 ZAR157= note three basis points lower to 7.60 percent hile that for the longer-dated 2036 ZAR209= dipped half a basis point to 8.64 percent. (Reporting by Stella Mapenzauswa; Editing by Patrick Graham)

UPDATE 1-Kumba H1 export volumes up, sees higher output

JOHANNESBURG, July 22 (Reuters) – Kumba Iron Ore (KIOJ.J), a unit of global miner Anglo American (AAL.L) reported a 10 percent rise in exports sales volumes and said it remained committed to raising annual production volumes.

South Africa’s Kumba said export sales volumes rose to 18.8 million tonnes, while its operating profit was up 64 percent to 11.2 billion rand ($1.49 billion). It said there was uncertainty over future iron ore pricing mechanism.

Kumba said attributable and headline earnings for the period were 20.27 rand and 20.28 rand respectively.

“Export sales volumes into China are expected to normalise at around 60 percent of the geographical sales mix,” the company said in a statement.

China is the world’s largest iron ore buyer and consumes more than half of the world’s traded ore.

Kumba said export sales for the second quarter of 2010 at 9.5 million tonnes was 14 percent lower than a year earlier.

Kumba, currently involved in an iron ore supply dispute with ArceloMittal’s South African unit (ACLJ.J)(MT.N)(ISPA.AS), said domestic sales volumes from Thabazimbi mine remain dependent on the off-take requirements from the Arcelormittal unit. (Reporting by Shapi Shacinda; Editing by Stella Mapenzauswa)

S.Africa’s rand steadies vs dlr, risk appetite low

JOHANNESBURG, July 20 (Reuters) – South Africa’s rand recovered its footing against the dollar on Tuesday after touching near 2-week lows overnight but remained vulnerable to risk aversion as the global economic recovery continues to stutter.

The JSE’s blue chip Top-40 September futures contract ALSIc1 was up 0.54 percent ahead of the 0700 GMT start of trade, suggesting a bounce on the bourse after miners and banks pulled stocks lower on Monday.

At 0652 GMT the rand ZAR=D3 was at 7.62 to the dollar, up 0.46 percent from Monday’s close at 7.6550.

But traders said the currency could revisit the 7.68 area it dipped to overnight as investors fretted about sluggish prospects for the global economy after last year’s recession.

“We’ve seen the dollar strengthening yesterday against the majors and that’s also supported the dollar against the rand,” a trader based in Johannesburg said.

“The consensus is that guys are taking a bit of risk off. I think we should find support towards 7.61 and we’ll trade up to 7.67/68 for the day.

Government bonds edged higher, with the yield on the benchmark 2015 bond ZAR157= falling five basis points to 7.70 percent while that on the 2036 ZAR209= note was down 4.5 basis points to 8.875 percent.

(Reporting by Stella Mapenzauswa; Editing by John Stonestreet)

UPDATE 1-MTN proposes $1.1 bln black empowerment deal

JOHANNESBURG, July 15 (Reuters) – South Africa’s MTN Group (MTNJ.J) proposed an 8.1 billion rand ($1.1 billion) black empowerment deal to sell up to four percent of the company’s shares on Thursday.

South African companies are encouraged to increase black ownership under rules established to address economic imbalances after the end of apartheid in 1994.

MTN, Africa’s biggest mobile operator by subscribers, said it would mean black ownership of up to 29 percent of South African operations. (Reporting by Tiisetso Motsoeneng; Editing by Matthew Tostevin)

UPDATE 1-Naspers buys 28.7 pct of Russia’s Internet firm

JOHANNESBURG, July 14 (Reuters) – Africa’s biggest media group Naspers (NPNJn.J) will buy more than a quarter of one of Russia’s top Internet firm Digital Sky Technologies (DST) in cash and shares as it bulks up its fast-growing Internet unit.

Naspers said on Wednesday it will hand over its 39.3 percent stake in its Russian unit Mail.ru, which it co-owned along with DST for the past three years.

Along with the shares, it will pay a further $388 million for a 28.7 percent stake in DST, which runs instant messaging platforms and social network sites in the east European country.

Unlike many of its global rivals, which have been battered by the drop in traditional advertising revenue, Naspers has been helped by its 30 percent stake in Tencent Holdings (0700.HK), China’s biggest Internet firm.

Naspers, which runs pay-TV channels across Africa and has stakes in Internet firms in Asia and Europe, told Reuters last month it was looking to acquire more e-commerce firms in emerging markets. [ID:nLDE65S0EK]

Russian DST will be the sole owner of Mail.ru following the transaction. (Reporting by Tiisetso Motsoeneng)

SAfrica’s bourse open delayed to technical glitch – JSE

July 12 (Reuters) – The Johannesburg’s bourse operator, JSE Limited (JSEJ.J), said on Monday the opening of the bourse has been delayed by a technical problem.

It is unclear when the exchange would open, a JSE official said.

“There’s technical problem and the opening has been delayed until further notice.” (Reporting by Tiisetso Motsoeneng; Editing by xx)

SAfrica’s bourse open delayed to technical glitch – JSE

July 12 (Reuters) – The Johannesburg’s bourse operator, JSE Limited (JSEJ.J), said on Monday the opening of the bourse has been delayed by a technical problem.

It is unclear when the exchange would open, a JSE official said.

“There’s technical problem and the opening has been delayed until further notice.” (Reporting by Tiisetso Motsoeneng; Editing by xx)

UPDATE 1-Kumba sees higher H1 headline EPS on prices, exports

JOHANNESBURG, July 9 (Reuters) – Kumba Iron Ore Ltd (KIOJ.J) said on Friday it expects first-half headline earnings per share to rise due to higher export iron ore prices and sales volumes.

Kumba, a unit of global miner Anglo American Plc (AAL.L) and the world’s 10th largest producer of iron ore, said headline earnings per share were expected to be between 1,900-2,055 cents, up from 1,076 cents in the comparable six-month period.

“The increase in earnings is largely attributable to an increase in export iron ore prices and a 10 percent increase in export sales volumes in the period,” Kumba said in a statement.

Kumba, currently involved in an iron ore supply dispute with ArceloMittal’s South African unit (ACLJ.J)(MT.N)(ISPA.AS), said it had accounted for revenue at plus 3 percent of cost to the steelmaker in determining earnings for the period in the absence of agreement on an interim price.

Kumba in February terminated the long-term deal under which it sold ore to ArcelorMittal South Africa at a discount and said it would then sell to the steelmaker at market rates from March. [ID:nLDE61P15S] (Reporting by Shapi Shacinda)

S.Africa’s rand firmer vs dlr, volumes to increase

JOHANNESBURG, July 6 (Reuters) – South Africa’s rand firmed slightly against the dollar on Tuesday in a market seeking direction from global trading patterns, with little news on the domestic front to drive the currency.

At 0641 GMT, the rand ZAR=D3 traded up 0.43 percent at 7.72 to the greenback after ending Monday’s session at 7.7530.

Traders were expecting business to pick up after a quiet Monday, when U.S. markets were closed for Independence Day.

“Markets did very little (yesterday), including dollar/rand. If you look at the action overnight, it was very thin,” a currency dealer in Johannesburg said.

“Everyone’s back today but we need to get a bit of momentum going and see where the flow is. It seems towards 7.76 there seem to be some pretty good offers, and to the lower 7.70s, good bids.”

Government bonds ticked up marginally, pulling yields a bit lower. The yield on the benchmark 2015 ZAR157= dipped 1.5 basis points to 7.905 percent, and that for the 2036 bond ZAR209= bond was down one basis point at 8.905 percent.

The JSE stock exchange’s blue-chip blue chip Top-40 September futures contract ALSIc1 was up 0.67 percent ahead of the 0700 GMT start of trade, after ending weaker on Monday.

(Reporting by Stella Mapenzauswa; Editing by John Stonestreet)

Injured Ghana goal hero faces race against time

(Reuters) – Ghana goal hero Kevin-Prince Boateng faces a week of intensive therapy in a bid to get fit for the World Cup quarter-final after suffering a hamstring injury.

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Boateng scored a fifth minute goal on Saturday to set his side on the way to a 2-1 win over the United States in their second round match in Rustenburg but later limped off in the second half.

Coach Milovan Rajevac said the Germany-born midfielder would face intensive treatment in a bid to be ready for the match against Uruguay at Soccer City in Johannesburg on Friday.

Boateng was among several Ghana players limping after the exertions of the extra time triumph over the Americans at the Royal Bafokeng Stadium.

“Boateng was injured against Germany already. It is going to be a huge problem to get him ready for the next game,” said Rajevac following the record-equaling performance by Ghana, only the third African country to reach the last eight of the World Cup.

NIGGLING INJURIES

Rajevac said there were also other players with niggling injuries. Dede Ayew will also miss the match through suspension after picking a second caution of the tournament.

“We are going to see how the players react in the next days. For me the priority now will be to try and get them all ready for Friday. There is a lot of work ahead for the medical staff.”

The Serbian-born coach praised the efforts of his players who he said had learnt how to compete.

“We played in the African Nations Cup this year without eight important players and managed to reach the final. The team learnt how to compete. The most important thing at this level is to know how to compete,” he said.

“Each victory counts and this is very dear. Ghana is now among the best eight teams in the world. This is fantastic,” he added, keeping a stoical face at the post-match news conference but then breaking into a broad smile once it was over.

Ghana are the only African side left at the World Cup and for a second successive tournament the only team from the continent to get past the first round.

“I think we can claim to be the best team in Africa now if you consider that, plus the fact we reached the Nations Cup final,” added captain John Mensah.

(Editing by Michael Holden)

Chile seek to dodge Swiss slip-up

(Reuters) – The thought of Chile against Switzerland as a top-of-the-table clash in the same group as World Cup favorites Spain would have been inconceivable only a few days ago.

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But both teams are in the unlikely position of joint Group H leaders after the Swiss stunned the Spaniards 1-0 and Chile beat Honduras by the same scoreline to seal their first win at a World Cup in 48 years.

Although far from a mouth-watering matchup, Monday’s encounter has taken on added significance that might just be enough to wake sleepy Port Elizabeth from its World Cup snooze.

The defeats for Spain and Honduras, who meet later Monday in Johannesburg, means a win for either Switzerland or Chile would give them one foot in the next round. The winning side may be able to advance with a defeat in their final game.

Chile’s last win in the finals until their 1-0 win over Honduras had come in the 3rd/4th place playoff as hosts in 1962. They had since qualified for the World Cup four times but failed to win any group matches.

Both sides have vowed not to get ahead of themselves and expect the match to be a physical encounter fought more in the air than on the ground.

Chile’s players will try to break down a tight Swiss defense and a packed midfield and avoid falling into the same trap as Spain, who dominated their match but lost out to a goal against the run of play.

SWISS SPOILERS

“We definitely have to be careful because with very little possession the Swiss still managed to beat Spain,” defender Gary Medel said.

“We know that we have to be much more mobile than the Spanish, to create some space, to open up their defense, which looks very closed.”

Midfielder Ismael Fuentes added: “They were waiting for a mistake from Spain and they scored. We know they’re a very physical team, and we’ve been training for that.”

Chile’s leading striker Humberto Suazo is likely to return from a hamstring injury to lead a three-man attack. Suazo has played only 45 minutes of competitive soccer since late April and he would likely replace playmaker Jorge Valdivia.

Doubts remain over whether Valdivia is fit to play after he picked up a minor injury against Honduras. Team officials expect him to recover, although Valdivia’s wife said otherwise and told Chilean television he would likely miss Monday’s game.

Switzerland’s coach Ottmar Hitzfeld believes his team are the underdogs against Chile, a match he said would be mentally tougher than their win over Spain.

He described Chile’s attack-minded players as “fantastic” and said his team would defend tightly and restrict the movement of a free-flowing side that finished ahead of strongly favored Argentina in qualifying.

“We have to play with a cool head and not give Chile chances,” Hitzfeld said. “If we lose our heads, we don’t stand a chance.”

Striker Alex Frei and midfielder Valon Behrami, who missed the first game due to injuries, have resumed training and were both fully fit, although it was not certain top striker Frei would start in the game,” he said.

(Additional reporting by Gideon Long in Nelspruit and Bate Felix in Vanderbijlpark; Editing by Michael Holden)

UPDATE 1-Thai Airways says unrest hit Q2 revenue

June 17 (Reuters) – Thai Airways International THAI.BK said on Thursday its second-quarter revenue and its cabin factor would be hit, mainly by recent political unrest and the tourist low season.

The national carrier expected its percentage of seats sold, or cabin factor, to be 60 percent in the April-June quarter, down from 81 percent in the first quarter, President Piyasvasti Amranand told reporters.

“The recent political unrest has slashed a lot of revenue we should earn in the second quarter,” Piyasvasti said, referring to anti-government protests in Bangkok from March to May which ended with a military crackdown and violence.

Early this month, the airline said it expected its second-quarter performance this year would be roughly the same as the same period of last year. [ID:nLDE6550GY]

It reported a loss of 5.4 billion baht ($167 million) in the second quarter of 2009, hit partly by political unrest and the H1N1 flu outbreak.

The company is due to announce its second-quarter results in August.

In April this year, its cabin factor was 72 percent but it dropped to 56.8 percent in May, Piyasvasti said.

“However, it is likely to pick up from July, especially on the flight to Johannesburg,” he said. South Africa is hosting the 2010 World Cup.

The airline had said in February it was aiming for a 2010 cabin factor of 75 percent, compared with 72 percent in 2009.

The national carrier expected a fund-raising plan to be completed in the third quarter, delayed from the middle of the year as initially planned, said an executive who declined to be identified.

“We are in the process of filing documents to the stock regulator,” the executive said.

Thai Airways announced the stock offer in March by selling up to 1 billion new shares to the public and shareholders, including the Finance Ministry, which owns 51 percent of the airline. [ID:nSGE62B08K]

The move is aimed at strengthening its financial position as it overhauls operations and restructures management.

At the midday break, Thai Air shares were unchanged at 26.50 baht, while the main stock index .SETI was up 0.31 percent. ($1=32.39 baht) (Reporting by Manunphattr Dhanananphorn; Writing by Arada Kultawanich; Editing by Robert Birsel)

Bradley expects Howard to be fit for Slovenia

(Reuters) – United States goalkeeper Tim Howard will have a rib injury evaluated later on Saturday but coach Bob Bradley expects him to play against Slovenia in their second Group C match.

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Howard suffered the injury when England striker Emile Heskey slid into him during the first half of the 1-1 draw in Rustenburg on Saturday but carried on after receiving treatment.

“At this point, there is no answer,” Bradley told reporters on Sunday when asked if Howard was doubtful for Friday’s match in Johannesburg.

“When you see the way Timmy handled himself after the collision, you’d certainly expect he will be on the field again.”

“He’ll be evaluated later today and then a decision will be made whether he will need further tests. Obviously he was sore, he did a great job of taking a tough hit, staying in it and playing it really well. We will assess it and figure out how to go on from there.”

The States have Marcus Hahnemann and Brad Guzan available as back-up.

Bradley said that after a tough encounter with England, he expected Friday’s opponent’s Slovenia to offer another style.

“I think it will be a different kind of game, obviously we will watch them but they are a hard working team, well organized and they have an ability to sometimes sit back a little and still catch you on the counter.

“Overall, the pure speed and physicality of Saturday’s game is on the very high end and the Slovenia game, in some ways, might be a little more of a chess match,” he said.

(Writing by Simon Evans; Editing by Jon Bramley)

Argentina goal move down to Maradona, says Veron

(Reuters) – Argentina coach Diego Maradona was the mastermind behind the goal that gave them a 1-0 World Cup win over Nigeria, midfielder Juan Sebastian Veron said.

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Veron landed a corner close to the penalty area from where unmarked defender Gabriel Heinze powered a diving header into the roof of the net in the sixth minute.

“Diego prepared (the move) and we practiced (with Heinze) for a couple of hours,” the 35-year-old, who also played in the 2002 finals, told reporters after Saturday’s Group B win at Ellis Park in Johannesburg.

“(Nigeria) mark in zone but bunched inside (the box) leaving a very big hole (near the edge). And it came off at the first attempt.

“El Gringo (Heinze) did very well,” said Veron, who must get over a minor leg muscle injury if he is to line up against South Korea in Argentina’s second match at Soccer City Thursday.

“We’ll do everything we can so I can be there (against South Korea). I think I’ll make it,” said Veron, who came off 16 minutes from time Saturday.

He added: “This is not a time to take risks but anyone can (take my place) and do it well.”

The inexperienced Javier Pastore, with one cap to Veron’s 71, would be his likely replacement although Maxi Rodriguez was his substitute Saturday.

Veron, who did not have one of his better games for Argentina, said the 1,600 meters altitude of Johannesburg had a bearing.

“For me, the altitude has a big effect, above all on long balls,” said Veron, who specializes in long range passes.

“You have to be very precise and that’s why we played few long balls. We played (short) to feet because it’s a lot easier and above because of the type of players (Argentina have).”

(Editing by Ken Ferris)

Nigeria’s Taiwo given injury all clear

(Reuters) – Nigerian fullback Taye Taiwo was given the all clear to resume training on Sunday after being taken off injured during Saturday’s World Cup Group B defeat against Argentina in Johannesburg.

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Nigerian team media officer Idah Peterside said on Sunday Taiwo had suffered a sharp pain after stubbing his foot while firing a long range shot just wide of the Argentine goal during the second half of the match at Ellis Park.

He was taken off in the 75th minute of the 1-0 defeat, prompting concern he had suffered a serious injury and could be out for the tournament.

“He’s fine and took part in a light run for the players who played in yesterday’s game,” Peterside told Reuters.

Taiwo, 25, regained his place at left back for Nigeria’s first match of the World Cup after being dropped during January’s African Nations Cup finals.

A moment’s lapse in concentration gifted a goal to Gabriel Heinze in the sixth minute and ultimately consigned Nigeria to a 1-0 defeat in Saturday’s game against Argentina.

The players were left with plenty of positives from the game, however, after fine keeping from Vincent Enyeama and stubborn defending all round kept the goals down and a powerful attack caused Argentina plenty of defensive problems.

Nigeria next play Greece in Bloemfontein on Thursday, with the final match on June 22 against South Korea, who beat the Greeks 2-0 in their first game on Saturday.

“To hold a team like Argentina to 1-0 was a good job,” striker Yakubu Aiyegbeni told reporters. “The goalkeeper was unbelievable and without him it would have been three or four goals.”

Swedish coach Lars Lagerback will have to decide whether to stick with Chinedu Obasi on the left side of attack, after he caused problems for Argentina early on only to tire toward the end of the half.

The experienced Peter Odemwingie replaced Obasi after an hour and could be an option from the start against Greece, with Obafemi Martins, another second-half substitute, also pushing for a starting place.

(Additional reporting by Kevin Fylan; Editing by Michael Holden/Jon Bramley)

Portugal arrive with Nani in doubt for warm-up

Portugal winger Nani is doubtful for their friendly against Mozambique due to a shoulder injury picked up in training in Lisbon, he said as the squad flew in to South Africa for the World Cup on Sunday.

The winger missed the squad’s final home training session in Portugal on Saturday after falling while attempting an acrobatic shot and causing a traumatism in his shoulder.

He is due to be re-examined before the warm-up match against Mozambique on Tuesday.

“I feel better already,” Nani told reporters during the flight from Lisbon to Johannesburg.

On playing in the friendly, he said: “I really don’t know, now we have to see. When we get there we’ll have to check again.”

The other main injury concern in the Portuguese squad is Pepe, who has been recovering from a knee injury he sustained in December.

He has not played since but was last week cleared by doctors from the national side and his club Real Madrid to travel to the finals.

The Brazil-born defender signalled he could already be an option for coach Carlos Queiroz against Mozambique.

“I’m in the group. I’m here to help and now the matter is in the coach’s hands,” Pepe said as he boarded the plane.

Portugal play their first tournament match on June 15 against the Ivory Coast in Group G, which also includes Brazil and North Korea.

(Editing by Jon Bramley; To query or comment on this story email sportsfeedback@thomsonreuters.com)

Quieroz returns for unfinished World Cup business

Born in Mozambique and a former coach of the South African soccer side, Portugal’s Carlos Queiroz has flown to the Rainbow Nation countless times but said Sunday’s flight to the World Cup finals was a unique moment and the culmination of an old dream.

“I have no idea how many times I’ve made this trip to South Africa or Mozambique but this is the trip,” Queiroz, 57, told reporters on the flight between Lisbon and Johannesburg on Sunday.

“It’s the trip that has a unique meaning for it represents the start of an adventure which results from a career project, a life project, many years dreaming of taking the Portugal national side to the World Cup,” he added.

The coach won two World Youth Championships early in his career, leading future stars like Luis Figo and Rui Costa to back-to-back titles in 1989 and 1991.

But he then tasted disappointment when he failed to qualify that group of players known as Portugal’s Golden Generation to the 1994 World Cup as the senior team manager.

The finals will also offer Queiroz the chance to make amends for a later World Cup disappointment.

He led the South African national team to qualify for the 2002 tournament in Japan and South Korea but was sacked just months before the finals.

“It was sad because the reasons for which I was pushed away from the team had nothing to do with football, they had to do with things of life, which can happen in South Africa or any other country,” Queiroz said.

“It had to do with people and sometimes we meet the wrong people at the wrong time and things don’t go well. But I kept much warmth for the people in this land in which we are going to play,” he added.

(Editing by Jon Bramley; To query or comment on this story email sportsfeedback@thomsonreuters.com)

Germany brimming with confidence despite setbacks

Germany will go into the World Cup in top form despite a string of injuries that ruled out several starting players, coach Joachim Loew said hours before the team was due to depart for South Africa on Sunday.

Injuries have so far ruled out captain Michael Ballack and four other players, severely restricting Loew’s options in midfield for the June 11-July 11 tournament and robbing his team of its natural leader.

But two comfortable wins against Hungary and Bosnia in the past days have shown the Germans were able to successfully absorb the shock of these withdrawals, with the team playing at times mesmerising football.

“We are going into this tournament well prepared,” Loew told the federation website before boarding the huge A380 passenger plane bound for Johannesburg. The team, who will arrive on Monday, will then travel to their base outside Pretoria.

“I have full confidence in the quality of our team,” said Loew.

While he still has to finalise his choices for the defence and attack, Loew seems to have decided on his new-look midfield.

Sami Khedira and Bastian Schweinsteiger have made a seamless transition from supporting actors under Ballack to playing leading roles, combining beautifully to initiate Germany’s offensive play from their holding midfield positions.

Thomas Mueller also looks to have edged out any rivals for a spot on the wings after fine performances from the 20-year-old.

Overall Ballack’s injury looks to have been a blessing in disguise with the team playing more freely, his responsibilities shared by more than just one player.

“We know what we have to do,” said Schweinsteiger. “Most of us have gone through these situations before.”

Germany take on Australia in their first Group D match on June 13. They then play Serbia and Ghana.

Uzbek Irmatov will referee opening match

Uzbekistan’s Ravshan Irmatov will referee the opening World Cup match between hosts South Africa and Mexico at Soccer City in Johannesburg on Friday, organisers FIFA said on Saturday.

Irmatov, who began his international career seven years ago, was in charge of the 2008 Club World Cup final between Manchester United and Liga de Quito.

Rafael Ilyasov of Uzbekistan and Bahadyr Kochkorov of Kyrgyzstan will be the assistant referees in Friday’s game.

(Reporting by Javier Leira, editing by Tony Jimenez. To query or comment on this story email sportsfeedback@thomsonreuters.com)

S.Africa’s Netcare workers begin strike

JOHANNESBURG, June 2 (Reuters) – Up to 4,000 nurses and administrative workers at Netcare (NTCJ.J), Africa’s biggest private hospital group, launched a strike over pay on Wednesday, affecting nine hospitals throughout the country.

The striking workers rejected an 8.25 percent wage hike from the private healthcare firm and demanded a 12 percent increment.

The strike in five provinces including Gauteng, the country’s commercial hub around Johannesburg, comes just over a week before the soccer World Cup starts on June 11.

South African hospitals have said they are prepared for medical emergencies during the month-long tournament, which is expected to attract about 350,000 foreign visitors.

“Our members are out in full force this morning,” said Johnny Harrinarain, a spokesman for the Health and Other Services Personnel Trade Union of SA.

Netcare, which also operates a unit in Britain, said 17 percent of its business units would be affected.

“Given current and forecast inflation rates, the 8.25 percent increase offered to staff members is considered to be both fair and reasonable,” Netcare Human Resources Director Peter Warrener said in statement.

Economists have criticised unions for using the World Cup to squeeze pay hikes far above inflation, which is currently at 5.1 percent.

The strike also comes just days after the end of a three-week strike at logistics group Transnet that paralysed ports and railways and cost the economy nearly a $1 billion. (Reporting by Tiisetso Motsoeneng, editing by Will Waterman)