15/08/2012 World Business Report

Those are the latest headlines from BBC World News. Now for the latest

financial news in World Business Welcome to World Business Report.

The British bank Standard Chartered reaches a deal with American

regulators over accusations of money laundering in Iran.

No logos and plain packaging - the world's toughest laws on cigarette

Shares in Standard Charted in Hong Kong have jumped after it reached a

deal with US regulators over accusations of money laundering for

Iran. London shares likely to do the same. Standard Chartered is

paying a fine of $340 million and has agreed to let inspectors

monitor the banks money laundering controls for the next two years.

The bank and its investors must be breathing a huge sigh of relief at

the relatively swift conclusion and the fact that it avoided losing its

American banking licence. The humiliation of a global financial

institution was plotted from this unassuming office. Standard

Chartered has agreed to pay $340 million to settle claims that it

helped Iran are concealed billions of dollars of suspect transactions.

The settlement has boosted the profile of this man. He is head of

the New York state financial regulator. Some say it sense a

wider message. He has come out of the gate with his action. They have

made a clear statement. There is going to be a higher standard going

to be applied. If they're going to violate the laws and regulations,

they are going to pay a Sperry State Prize. The sudden and public

nature of regulators has raised concerns about America's

willingness to wield the big stick in forcing his years on issues like

Iran. Our law and our way of doing a thing does not have to stop at a

border. Smaller countries including the UK take umbrage with that

notion. The British bank paid the fine to avoid the risk of being

barred from doing business in the US. But its troubles may not be

over. At least four other regulatory agencies in the US were

also investigating Standard Chartered. It is quite possible

that this is not the end. At the end of their probes, the bank may

have to pay out even more in the way of hefty penalties.

The Australian government has won a legal battle to force tobacco

companies to sell their cigarettes with plain packaging. From December

there must be no logos on the packets and the covers must all be

a drab olive green. Tobacco companies argue the new rules will

destroy the value of their trademarks. Tell us how the

Australian government politicians manage to pull this off. Elsewhere

in the world, they have failed at this. The High Court put health

policy above commercial policy. It is as simple as that. The companies

had argued that their branding is and logos were protected by

international law under the government cannot set them aside.

The court has argued that health policies trump all flat. People's

lives are at risk. 50,000 people a year die from smoking-related

diseases. -- 15,000. Health policies come out on top, despite

the commercial interests of tobacco companies. We are looking at

pictures on what will be on these cigarette packets. These are

horrible images of what will happen to you if you smack. What evidence

is there that it will affect people's behaviour? There is plenty

of evidence in the horror pictures that people will reduce their

smoking habits. Price also plays a key part. The point of his case is

that in December, there will be no colouring or logos so you would not

be able to distinguish one company from the other. They believe that

is the final loophole in the tobacco's machinery to sell their

products. To take away their ability to look different and

appear desirable, especially to young people. That is why the

companies have fought so hard. They believed their names and colouring

or as to the sense of desire for that product. By taking that away,

in a sense, you are taking the coolness of having cigarette

packets around you. It is their last major platform for advertising.

TV is already gone, cinemas have gone, roadside posters are gone.

This was their last platform in advertising their products. Thank

you. A very interesting story developing in Australia. Three will

see how effective that is. The job market in the UK economy

has held surprisingly well given the recession we are experiencing.

Will get the latest figures this morning. The rate is expected to

remain at 8.1%, below the US and the eurozone even though the output

has been worse over there. The beach area of concern is youth

unemployment. Unions are warning it is the toughest outlook since 1994.

I'm joined by Anna Marie Detert, director of KPMG Management

Consulting. I am assuming you are with the majority. Yes. We are

predicting it will stay level. We have had difficult training runs in

June and July. And international demands were too strong. A lot of

companies are keeping the staff they have today. Some exporters are

hiring. We have seen some hiring in various factories in the UK. Yes.

and another with 900. There is definitely some demand. I am

assuming the Olympics has not affected the jobs markets. We were

hoping it would help. It is a bit of a blip. There were some

temporary hiring that went on about would dissipate now. Let's talk

about the youth unemployment. Some companies are hiring but they're

not necessarily taking on the young. That is true. The hiring is more in

the professional end. University graduates to a staying intact. In

the technical end, the skilled worker end, it is going to be

challenging. How can that be effectively tackled? I know that is

a tough question. We have policy makers trying to fix this one. Any

good ideas? I am encouraged by the apprentice schemes income that --

companies and the willingness to train up workers. Anything else? We

look at Germany in many ways. There are one of the eurozone economies

that do not have a youth unemployment problem. They are very

dedicated in developing skills so that the young come in, they are

trained up and they are given a chance to succeed. They are brought

through the company. That is where the UK needs to invest. Wendy's it

will see the unemployment rate significantly fall? I think it will

take a good six months before we see that effect. We need to get the

apprentice scheme in now. Let's screes in more financial stories.

This paper says Greece is looking for a two-year extension for his

austerity programmes. Antonis Samaras is struggling to find

another 11.5 billion euros in spending cuts required by the bail-

out programme. He wants to extend the crime -- time. The future of

the Italian budget airline Windjet is in question after a meeting to

try and resolve its deal with Alitalia ended without agreement.

Over the weekend, the airline was grounded because of the sudden

collapse of takeover talks with Alitalia, leaving hundreds of

passengers stranded. Now for a look at the markets.

Things are fairly mixed at the moment. One of the stories pulling

down the markets is that industrial figures from the US are expected to