17/04/2012 World Business Report


17/04/2012

Similar Content

Browse content similar to 17/04/2012. Check below for episodes and series from the same categories and more!

Transcript


LineFromTo

Japan pledges $16 billion in loans Good to have you with us. An angry

:00:15.:00:20.

row has broken out between Spain and Argentina after the Argentine

:00:20.:00:24.

government announced plans to renationalise a Spanish oil company.

:00:24.:00:27.

Madrid has promised to take decisive action against Argentina

:00:27.:00:33.

in the next few days. YPF is the company in question and owned by a

:00:33.:00:39.

Spanish firm, Repsol. They have put forward a bill to take control of a

:00:39.:00:49.
:00:49.:00:50.

It was a popular message from Argentina's President. She believes

:00:50.:00:54.

her government is taking back its own vital resources. Despite the

:00:54.:00:59.

fact that the majority of YPF is currently owned by Spain's energy

:00:59.:01:09.
:01:09.:01:09.

giant Repsol. She said 51% of YPF would in future be controlled by

:01:10.:01:17.

the Argentine state. Other investors in the company, had

:01:17.:01:23.

nothing to fear, she said. YPF produces crude oil every year. It

:01:23.:01:28.

is a subsidiary of Repsol and makes a more than 40% of the Spanish

:01:28.:01:33.

company's oil reserves. By taking the company over, Argentina wants

:01:33.:01:41.

to cut the expensive energy imports from overboard. Spain warned

:01:41.:01:46.

Argentina against the move. The Spanish Foreign Minister said the

:01:46.:01:49.

announcement had broken the climate of friendship between the two

:01:49.:01:57.

countries. It is a terrible decision for Spain. A terrible

:01:57.:02:01.

decision for Argentina and very bad news for legal security that should

:02:01.:02:07.

dictate the reaction between friends and allies. The loss of YPF

:02:07.:02:11.

would be a blow for Repsol and for Spain. Now people will watch how

:02:11.:02:17.

Madrid will respond. And where the future of foreign investors will be

:02:17.:02:27.
:02:27.:02:29.

put off by what some will see as a At the start of this year, Yahoo

:02:30.:02:38.

announced it had a new man in charge. Scott Thompson has not held

:02:38.:02:43.

back in changes to the company. Yahoo announced it was laying off

:02:43.:02:48.

2000 staff earlier this year. What more will the results today reveal

:02:48.:02:54.

about the new management at the company?

:02:54.:02:59.

It is a web pioneer fighting to remain relevant. Yahoo is seven had

:02:59.:03:06.

a million users. -- has 700 million. They are trying to find a way to

:03:06.:03:10.

turn at traffic into commerce. There is not much to be excited

:03:10.:03:19.

about Yahoo right now. It has been declining. We haven't you see Tiaro.

:03:19.:03:29.
:03:29.:03:37.

He has been cut and expenses and -- we have a new CEO. Investors are

:03:37.:03:41.

waiting to see him whether Scott Thompson has what it takes to turn

:03:41.:03:45.

around the company's fortunes. Yahoo announced its biggest ever

:03:45.:03:53.

round of redundancies. 14% of the company of's -- workforce will lose

:03:53.:04:00.

their jobs. Some experts say that cost-cutting is only part of the

:04:00.:04:06.

company's solution. It needs to set itself apart from the past. There

:04:06.:04:12.

is no-one particular thing that we associate with Yahoo the way we

:04:12.:04:20.

associate search with Google and social internet with Facebook. They

:04:20.:04:23.

need to pick one of its properties and focus on making it the thing

:04:23.:04:33.

that the company bought most of its resources behind. The diversified

:04:33.:04:39.

offerings they have now is not working. Yahoo's new boss faces a

:04:39.:04:47.

tough task ahead. Japan has announced a huge

:04:47.:04:50.

injection of funds for the International Monetary Fund. That

:04:50.:04:58.

is ahead of the spring meeting this week. Nice to see you. Tell us what

:04:58.:05:06.

Japan is up to. 16 billion US dollars from Japan. They are

:05:06.:05:11.

basically pledging this amount in loans to the International Monetary

:05:11.:05:16.

Fund to basically increase the IMF's firewall against the ongoing

:05:16.:05:25.

European debt crisis. It comes just days before the chief leader's

:05:25.:05:29.

meetings where they will discuss rising concerns that Spain might

:05:29.:05:34.

need an international bail out. Christine Lagarde welcomes Japan's

:05:34.:05:42.

pledge and encourages other countries to follow. This is

:05:42.:05:47.

important to promote global economic stability. Japan is the

:05:47.:05:54.

first non-European country to commit money. Other major economies,

:05:54.:05:59.

including leading emerging companies such as China, Brazil and

:05:59.:06:03.

Russia have been holding off from making any firm commitment of new

:06:03.:06:09.

money, saying they will chip in but want more voting power in return at

:06:09.:06:18.

the multilateral 5th for funding agency. Increased concern about

:06:18.:06:22.

this ongoing European debt crisis highlighted by soaring Spanish

:06:22.:06:32.

baritone costs. -- borrowing. What will Goldman

:06:32.:06:37.

Sachs reveal later? It is expected to show a jump in revenues since

:06:37.:06:41.

January following the second bail out of the Greek economy. Many say

:06:41.:06:46.

that future looks less bright. How damaging have the revelations been

:06:46.:06:51.

that staff called clients muppets? Goldman Sachs has always had a big

:06:51.:07:01.

holdings of eurozone government bonds. Last year it lost after loss

:07:01.:07:07.

as the market plummeted. That lifted the sovereign bond market

:07:07.:07:11.

this year, lifting Goldman Sachs's trading revenues. The question is

:07:11.:07:15.

whether they can deliver similar profits for the rest of this year.

:07:15.:07:19.

As we are starting to see in the last few days, more and more

:07:20.:07:23.

concerned around Spain and opera for Europe. That is going to mean a

:07:23.:07:32.

wills will wait and see what happens.

:07:32.:07:41.

Goldman Sachs is building a reputation of itself in financial

:07:41.:07:47.

centres around the world. An outgoing director alleged to the

:07:47.:07:50.

press that Goldman Sachs staff regularly referred to their clients

:07:50.:07:55.

as muppets. That was embarrassing. Could it also be financially

:07:55.:08:01.

damaging? They have also had a very significant practice. Rich people

:08:01.:08:06.

want to invest their money here. They are most likely to move if

:08:06.:08:12.

they are insulted. A lot of them probably have moved because of it.

:08:12.:08:19.

It is a secretive committee but they will lose money. Can it redeem

:08:19.:08:24.

itself? The first reason is that Risa revival of the US economy

:08:24.:08:30.

which is boosting demand. The second is that many financial

:08:30.:08:33.

institutions begin the US and Europe have recently cleared out of

:08:33.:08:40.

the investment banking game, leaving empty territory for Goldman

:08:40.:08:44.

Sachs to occupy. Per but us look at the market. Very

:08:44.:08:50.

mixed and very flat. We had better than expected news out of the US

:08:50.:08:55.

retail sector. That is music to the ears for exporters in Asia, who

:08:55.:09:02.

Download Subtitles

SRT

ASS