Browse content similar to 23/02/2016. Check below for episodes and series from the same categories and more!
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All the latest business news live from Singapore. | :00:00. | :00:14. | |
Digging a hole. A mining giant sees its first loss in more than 16 | :00:15. | :00:25. | |
years. Paying for plastic. Indonesia has a massive problem with plastic | :00:26. | :00:27. | |
bags. Good morning. Glad you could join us | :00:28. | :00:42. | |
for Asia Business Report. I am rigger he's on. -- I am Rico Hizon. | :00:43. | :00:52. | |
BHP Billiton has a loss of 5.7 billion US dollars. It has slashed | :00:53. | :01:01. | |
its dividend by 75%. The first loss in more than 16 years. Like many of | :01:02. | :01:08. | |
its rivals it suffered from the collapse in commodity prices. They | :01:09. | :01:14. | |
suffered a second downgrade. I spoke to David, a resource analyst from | :01:15. | :01:19. | |
Sydney. I asked him about the main points he took. The first item, the | :01:20. | :01:28. | |
primary driver for BHP, its first significant loss, is the fact that | :01:29. | :01:36. | |
the nearly $8 billion in profit pulled out because of the lower | :01:37. | :01:39. | |
commodity prices, that is a significant amount of profit they | :01:40. | :01:43. | |
have lost. They could not make up the downward move. It clawed back a | :01:44. | :01:49. | |
little bit through currencies and a little bit through the cost saving | :01:50. | :01:53. | |
initiatives they have been undertaking for some time. Very | :01:54. | :02:00. | |
challenging times indeed. Are these losses likely to pile up in the | :02:01. | :02:03. | |
second half of the financial year from January to June? In the second | :02:04. | :02:09. | |
half of the year we are looking for commodity prices to improve | :02:10. | :02:13. | |
modestly. That improvement should be enough to see the second-half result | :02:14. | :02:19. | |
being a little more positive. We would expect that after the | :02:20. | :02:26. | |
full-year report for BHP it will be a tale of two halves. The first | :02:27. | :02:32. | |
half, very poor, and the second with recovery. Iron ore and other metals | :02:33. | :02:41. | |
have depressed the earnings of BHP Billiton. But one of that is they | :02:42. | :02:44. | |
have over other rivals is that it has a major unit with 37% of | :02:45. | :02:55. | |
earnings, from oil. -- one advantage. It is rebounding. We have | :02:56. | :03:00. | |
seen an improvement in the oil price but also the iron ore price. Both of | :03:01. | :03:07. | |
those commodities are key to their performance in the second half. | :03:08. | :03:12. | |
Briefly, what if China's economic growth continues to slow down? This | :03:13. | :03:19. | |
has been a linchpin for companies like BHP Billiton. Definitely. When | :03:20. | :03:23. | |
you look at what China is doing, if you look at the imports of | :03:24. | :03:27. | |
commodities China is bringing into that country, even though the | :03:28. | :03:32. | |
economy has been slowing for a number of months, over 1.5 years, | :03:33. | :03:37. | |
the amount of commodities they are importing is actually rising. We | :03:38. | :03:41. | |
believe they are looking at the rest of the world and are maintaining | :03:42. | :03:46. | |
their own domestic supply and are buying up very cheap imported in | :03:47. | :03:56. | |
what it sees. -- commodities. Bad news for Qantas. They have a lower | :03:57. | :04:02. | |
oil price and weaker Australian dollar. They have a record profit | :04:03. | :04:07. | |
before tax of 665 million US dollars. That is more than double | :04:08. | :04:12. | |
the profits for the same period last year. Virtual reality. A mobile | :04:13. | :04:21. | |
industry in Barcelona believes connecting everything to the | :04:22. | :04:25. | |
Internet is the next big challenge. Many mobile companies are betting | :04:26. | :04:30. | |
that they will take off this year. -- virtual reality. It is an | :04:31. | :04:36. | |
industry obsessed with getting connected. The Mobile world is | :04:37. | :04:44. | |
turning to things. Cars are already going on line. The SIM card in this | :04:45. | :04:49. | |
one turns it into a Wi-Fi hot what and tells the garage it needs a | :04:50. | :04:55. | |
service. -- hotspot. And farmers can monitor their cows through their | :04:56. | :05:02. | |
phones. Even this bike is on line. It has a light that flash is more | :05:03. | :05:06. | |
when you are riding into danger. That makes the city streets safer. | :05:07. | :05:12. | |
And what about your dog? It is soon to be hooked up to the Internet | :05:13. | :05:18. | |
through its collar. It allows you to know were your dog is. A nice and | :05:19. | :05:24. | |
simple application. It will be affordable and available. As well as | :05:25. | :05:29. | |
connecting every object on earth they have another obsession, | :05:30. | :05:32. | |
disappearing into a virtual world. Here we go. Wow. Virtual reality is | :05:33. | :05:42. | |
everywhere. That is shown by the thrilling experiences you can have. | :05:43. | :05:47. | |
It is the cheaper version where you slot a phone-in to your headset | :05:48. | :05:53. | |
which first introduced people to the technology. -- phone in. For the | :05:54. | :05:57. | |
first time you can take your phone that is always with you and put it | :05:58. | :06:03. | |
into an affordable device and transport yourself anywhere around | :06:04. | :06:05. | |
the world and get experience is A can't buy. -- experiences money | :06:06. | :06:14. | |
can't. We want to turn any space into a car showroom? This | :06:15. | :06:20. | |
application allows you to do that. It isn't for everybody. Not everyone | :06:21. | :06:27. | |
can wear one of those headsets. Many people feel dizzy. With augmented | :06:28. | :06:31. | |
reality it is a different experience we can take to everybody. Mobile | :06:32. | :06:37. | |
phones is to be about making phone calls. Now, this industry feels that | :06:38. | :06:43. | |
they can change every aspect of our lives. -- used to be. Do you use | :06:44. | :06:50. | |
plastic bags to carry your shopping? In Indonesia, it is a massive | :06:51. | :06:55. | |
problem, with rivers and oceans clogged with waste like this. It is | :06:56. | :07:02. | |
damaging fishing and tourism. The government is trying to change | :07:03. | :07:06. | |
consumer behaviour with shops introducing a fee for plastic bags. | :07:07. | :07:13. | |
It is a trial before it goes nationwide. We are checking it out | :07:14. | :07:19. | |
in Jakarta. A sea of plastic. Indonesia is the world's | :07:20. | :07:25. | |
second-biggest ocean polluter. Every year, the country produces more than | :07:26. | :07:31. | |
a million tons of traffic waste. -- plastic. Much of it ends up in the | :07:32. | :07:35. | |
water. Now, the government is trying to cut the waste by taking people | :07:36. | :07:43. | |
pay for plastic bags. It is only 14 cents a bag. The government should | :07:44. | :07:50. | |
increase the price. 14 cents is too cheap. If it is more expensive, | :07:51. | :07:56. | |
people will be reluctant to buy them. That is better. If shoppers | :07:57. | :08:01. | |
are concerned about paying for banks, will this cut down their | :08:02. | :08:07. | |
use? -- bags. And not everyone is following the rules. It has been | :08:08. | :08:14. | |
implemented since Sunday but I just bought some biscuits and was offered | :08:15. | :08:18. | |
a free plastic bag. Oil retailers implement the new plant? -- Will. -- | :08:19. | :08:27. | |
plan. The manager says that because it is only being trialled the | :08:28. | :08:31. | |
company has decided to wait before making all their stores implement | :08:32. | :08:38. | |
it. It takes effort and we have to train our staff. Retailers like this | :08:39. | :08:45. | |
one say they are responsible for only eight Earth of Indonesia plus | :08:46. | :08:53. | |
match waste. -- a small part. The next aim is supermarkets. The new | :08:54. | :08:59. | |
policy does not apply to them. The government recognises the challenge. | :09:00. | :09:04. | |
TRANSLATION: This is still a trial period. This is to influence peoples | :09:05. | :09:13. | |
behaviour. -- people's. I hope people will use them wisely. It is | :09:14. | :09:21. | |
clear there is a long way to go before Indonesian consumers decide | :09:22. | :09:27. | |
to do away with plastic bags. But, environmentalists say that at least | :09:28. | :09:31. | |
the government has taken the first step. Before we go, a quick look at | :09:32. | :09:35. | |
the markets. Asian stocks are moving sideways. | :09:36. | :09:45. | |
Giving up some early gains. This is despite US stocks jumping overnight | :09:46. | :09:51. | |
and the price of oil surging again, lifting energy cost as well as | :09:52. | :10:04. | |
mining company cost. -- costs. All Ords is down a ten of a per cent. -- | :10:05. | :10:15. | |
tenth. Wall Street, the major indixes, gaining 1.5%. Thank you for | :10:16. | :10:22. | |
investing your time with us on Asia Business Report. I am Rico Hizon. | :10:23. | :10:32. | |
Sport Today is coming up | :10:33. | :10:33. |