27/02/2013 World Business Report

Those at the latest headlines from Those at the latest headlines from

Those at the latest headlines from BBC World News. Time for the

BBC World News. Time for the BBC World News. Time for the

business news in World Business After reassuring words from the

After reassuring words from the After reassuring words from the

boss of America's central bank, boss of America's central bank,

boss of America's central bank, boss of America's central bank,

stimulus is set to continue in the stimulus is set to continue in the

stimulus is set to continue in the US. A lawsuit claims the brewing

US. A lawsuit claims the brewing giant Anheuser-Busch has been

giant Anheuser-Busch has been giant Anheuser-Busch has been

Welcome. Is his World Business Welcome. Is his World Business

Welcome. Is his World Business Report. Also in the programme, we

Report. Also in the programme, we Report. Also in the programme, we

Report. Also in the programme, we Report. Also in the programme, we

find out why it Hong Kong is seen a find out why it Hong Kong is seen a

find out why it Hong Kong is seen a healthy economic growth at the

healthy economic growth at the moment. Financial markets have

moment. Financial markets have moment. Financial markets have

recovered somewhat after the shock recovered somewhat after the shock

recovered somewhat after the shock of Italy's election results. The

of Italy's election results. The of Italy's election results. The

Dow industrials closed almost 1% Dow industrials closed almost 1%

higher. Investors switch their higher. Investors switch their

higher. Investors switch their attention to comments from this man,

attention to comments from this man, attention to comments from this man,

Ben Bernanke. He defended the Ben Bernanke. He defended the

Ben Bernanke. He defended the bank's efforts to boost the US

bank's efforts to boost the US economy, which economist thinks

economy, which economist thinks economy, which economist thinks

those measures would not end any He is the face of American monetary

He is the face of American monetary He is the face of American monetary

He is the face of American monetary policy. When the chairman of the US

policy. When the chairman of the US policy. When the chairman of the US

central bank speaks, people listen. central bank speaks, people listen.

central bank speaks, people listen. central bank speaks, people listen.

By outlining how the US economy is By outlining how the US economy is

benefiting from the stimulus benefiting from the stimulus

benefiting from the stimulus programme, Ben Bernanke was making

programme, Ben Bernanke was making programme, Ben Bernanke was making

it clear, those policies were not it clear, those policies were not

it clear, those policies were not it clear, those policies were not

going so end any time soon. It has going so end any time soon. It has

going so end any time soon. It has helped spark a recovery in the

helped spark a recovery in the helped spark a recovery in the

housing market. There has been an housing market. There has been an

housing market. There has been an increased sale in automobiles.

increased sale in automobiles. increased sale in automobiles.

his strongest defence of the his strongest defence of the

his strongest defence of the Federal Reserve came with a testy

Federal Reserve came with a testy Federal Reserve came with a testy

exchange with one senator. exchange with one senator.

exchange with one senator. concern yourself at all with it

concern yourself at all with it concern yourself at all with it

being viewed as not as independent being viewed as not as independent

being viewed as not as independent being viewed as not as independent

as it used to be. And working so as it used to be. And working so

as it used to be. And working so closely with many of these

closely with many of these closely with many of these

companies that you regulate. None companies that you regulate. None

companies that you regulate. None companies that you regulate. None

of the things you said it were of the things you said it were

of the things you said it were accurate. Yes, they are.

accurate. Yes, they are. accurate. Yes, they are.

accurate. Yes, they are. testimony comes in the same week as

testimony comes in the same week as testimony comes in the same week as

all eyes attend the congress. $85 all eyes attend the congress. $85

all eyes attend the congress. $85 billion in mandatory cuts will peak

billion in mandatory cuts will peak billion in mandatory cuts will peak

billion in mandatory cuts will peak billion in mandatory cuts will peak

in at the end of the week and must in at the end of the week and must

in at the end of the week and must leaders agree on a budget. Ben

leaders agree on a budget. Ben leaders agree on a budget. Ben

Bernanke took the opportunity to Bernanke took the opportunity to

Bernanke took the opportunity to urge those lawmakers to a dub

urge those lawmakers to a dub gradual reductions to government

gradual reductions to government gradual reductions to government

spending. The challenge for the spending. The challenge for the

spending. The challenge for the Congress and the administration is

Congress and the administration is Congress and the administration is

Congress and the administration is to put the federal budget on a

to put the federal budget on a sustainable path that promotes

sustainable path that promotes economic growth and stability,

economic growth and stability, without impeding the current

without impeding the current without impeding the current

recovery. Meaning, find some way to recovery. Meaning, find some way to

recovery. Meaning, find some way to avoid the budget cuts of risk

avoid the budget cuts of risk avoid the budget cuts of risk

overall economic growth. There is overall economic growth. There is

overall economic growth. There is overall economic growth. There is

only so much defender can do to only so much defender can do to

only so much defender can do to really address economic health. --

really address economic health. -- really address economic health. --

the Federal Reserve. Ben Bernanke the Federal Reserve. Ben Bernanke

the Federal Reserve. Ben Bernanke recognises that. He mentioned that

recognises that. He mentioned that recognises that. He mentioned that

in his remarks. Our government in his remarks. Our government

in his remarks. Our government in his remarks. Our government

needs to do more in the fiscal needs to do more in the fiscal

needs to do more in the fiscal policy a Rayner to pursue strong

policy a Rayner to pursue strong economic health. Ben Bernanke

economic health. Ben Bernanke economic health. Ben Bernanke

vulnerable to repeat the same vulnerable to repeat the same

vulnerable to repeat the same message when he appears before

message when he appears before another congressional committee on

another congressional committee on another congressional committee on

Wednesday. Whether or not lawmakers Wednesday. Whether or not lawmakers

Wednesday. Whether or not lawmakers hear his dire predictions and avoid

hear his dire predictions and avoid hear his dire predictions and avoid

a bridge Eurocrats, it will all a bridge Eurocrats, it will all

a bridge Eurocrats, it will all come clear on Thursday night when

come clear on Thursday night when the budgets kitchen.

the budgets kitchen. the budgets kitchen.

Anheuser-Busch are being accused of Anheuser-Busch are being accused of

Anheuser-Busch are being accused of watering down beer to boost profits.

watering down beer to boost profits. watering down beer to boost profits.

A lawsuit filed in California say A lawsuit filed in California say

A lawsuit filed in California say the company frosty represented the

the company frosty represented the the company frosty represented the

alcohol content of its beer. -- alcohol content of its beer. --

falsely represented. The company falsely represented. The company

falsely represented. The company says the claims are completely

says the claims are completely says the claims are completely

false. Nothing says Pierre in false. Nothing says Pierre in

false. Nothing says Pierre in America quite like Budweiser. But

America quite like Budweiser. But America quite like Budweiser. But

the maker of the self proclaimed the maker of the self proclaimed

the maker of the self proclaimed the maker of the self proclaimed

King of beer is being sued by King of beer is being sued by

King of beer is being sued by unhappy customers, who say their

unhappy customers, who say their unhappy customers, who say their

alcohol has been watered down. The alcohol has been watered down. The

alcohol has been watered down. The claim has been filed in federal

claim has been filed in federal claim has been filed in federal

courts in several states, including courts in several states, including

California and Pennsylvania. It California and Pennsylvania. It

California and Pennsylvania. It alleges the company waters down its

alleges the company waters down its alleges the company waters down its

product to increase profits. It product to increase profits. It

product to increase profits. It product to increase profits. It

produces beer what to do that could produces beer what to do that could

produces beer what to do that could lead no alcohol content and is

lead no alcohol content and is lead no alcohol content and is

represented on the label. represented on the label.

represented on the label. evidence is coming from several

evidence is coming from several former employees. They have

former employees. They have former employees. They have

informed us of the company's informed us of the company's

internal corporate policies and internal corporate policies and

procedures. And the sophisticated procedures. And the sophisticated

procedures. And the sophisticated technology day used to water down

technology day used to water down technology day used to water down

the products. Fortunately for us, the products. Fortunately for us,

Anheuser-Busch takes measurements Anheuser-Busch takes measurements

Anheuser-Busch takes measurements several times a second. The best

several times a second. The best several times a second. The best

evidence is going to come from evidence is going to come from

Anheuser-Busch, once we begin Anheuser-Busch, once we begin

formal discovery shortly. formal discovery shortly.

formal discovery shortly. lawsuit says the practice has been

lawsuit says the practice has been lawsuit says the practice has been

lawsuit says the practice has been going on for years. But became much

going on for years. But became much going on for years. But became much

more serious after the merger with more serious after the merger with

more serious after the merger with another company in 2008. Become

another company in 2008. Become another company in 2008. Become

Tyne company is the world's biggest Tyne company is the world's biggest

Tyne company is the world's biggest brewer, with 116,000 employees and

brewer, with 116,000 employees and brewer, with 116,000 employees and

annual sales of $39 billion. It annual sales of $39 billion. It

annual sales of $39 billion. It released a statement saying the

released a statement saying the claims against Anheuser-Busch are

claims against Anheuser-Busch are claims against Anheuser-Busch are

completely false and the lawsuits completely false and the lawsuits

The class action only applies in The class action only applies in

The class action only applies in the US, where the complainants are

the US, where the complainants are the US, where the complainants are

seeking tens of millions of dollars seeking tens of millions of dollars

seeking tens of millions of dollars in compensation. If proven, a court

in compensation. If proven, a court in compensation. If proven, a court

order will stop Anheuser-Busch from order will stop Anheuser-Busch from

watering down anymore beer. watering down anymore beer.

watering down anymore beer. watering down anymore beer.

It has been almost six weeks since It has been almost six weeks since

It has been almost six weeks since horsemeat was first discovered in

horsemeat was first discovered in horsemeat was first discovered in

British food. Horsemeat has been British food. Horsemeat has been

British food. Horsemeat has been found in three of Tesco's 300

found in three of Tesco's 300 found in three of Tesco's 300

products tested. They admit it is products tested. They admit it is

products tested. They admit it is three too many. They kept fairly

three too many. They kept fairly three too many. They kept fairly

three too many. They kept fairly quiet in the past six weeks but

quiet in the past six weeks but quiet in the past six weeks but

quiet in the past six weeks but today, the boss of the company will

today, the boss of the company will today, the boss of the company will

today, the boss of the company will speak at a union conference to lay

speak at a union conference to lay speak at a union conference to lay

out Tesco's new plans to sourcing out Tesco's new plans to sourcing

out Tesco's new plans to sourcing made because of his contamination.

made because of his contamination. made because of his contamination.

made because of his contamination. He explained his plans to the BBC.

He explained his plans to the BBC. He explained his plans to the BBC.

The testing regime is intended to The testing regime is intended to

The testing regime is intended to The testing regime is intended to

ensure back if it is not on the ensure back if it is not on the

ensure back if it is not on the label, it is not in the paddock. If

label, it is not in the paddock. If label, it is not in the paddock. If

label, it is not in the paddock. If it is beef, it is beef and nothing

it is beef, it is beef and nothing it is beef, it is beef and nothing

else. It is the most comprehensive else. It is the most comprehensive

else. It is the most comprehensive else. It is the most comprehensive

testing regime I have ever same. It testing regime I have ever same. It

testing regime I have ever same. It is happening right now. The second

is happening right now. The second is happening right now. The second

is happening right now. The second thing is, we will bring it meat

thing is, we will bring it meat thing is, we will bring it meat

thing is, we will bring it meat production closer to home. We do by

production closer to home. We do by production closer to home. We do by

some, especially are frozen product, some, especially are frozen product,

some, especially are frozen product, outside of Europe. The third thing

outside of Europe. The third thing outside of Europe. The third thing

is, we will have more partnerships, is, we will have more partnerships,

more collaborations with farmers. more collaborations with farmers.

more collaborations with farmers. Other business areas - a credit

Other business areas - a credit Other business areas - a credit

ratings agency says the result of ratings agency says the result of

ratings agency says the result of Italy's election is not affecting

Italy's election is not affecting Italy's election is not affecting

Italy's election is not affecting its rating of the nation's debt. It

its rating of the nation's debt. It its rating of the nation's debt. It

its rating of the nation's debt. It relates -- in rates is eligible be

relates -- in rates is eligible be relates -- in rates is eligible be

passed. The choice of the next passed. The choice of the next

passed. The choice of the next passed. The choice of the next

government will be a key factor in government will be a key factor in

Tax receipts have been falling Tax receipts have been falling

Tax receipts have been falling while spending on social benefits

while spending on social benefits while spending on social benefits

have been going up. The country's have been going up. The country's

have been going up. The country's have been going up. The country's

vital mining sector has been hit by mining troubles.

mining troubles. mining troubles.

Ryanair currently owns one-third of Ryanair currently owns one-third of

Ryanair currently owns one-third of another airline company and had

another airline company and had another airline company and had

another airline company and had been tried to take full control for

been tried to take full control for been tried to take full control for

seven years. But it may continue seven years. But it may continue

seven years. But it may continue its takeover attempts by appealing

its takeover attempts by appealing its takeover attempts by appealing

its takeover attempts by appealing to you at -- Europe's decision to

halt it. halt it.

halt it. One economist in Europe are

One economist in Europe are One economist in Europe are

struggling to grow. Asia, the struggling to grow. Asia, the

struggling to grow. Asia, the situation is much more buoyant.

situation is much more buoyant. situation is much more buoyant.

Hong Kong's finance chief has been Hong Kong's finance chief has been

Hong Kong's finance chief has been making his annual budget speech.

making his annual budget speech. making his annual budget speech.

making his annual budget speech. Tell us much more about Hong Kong.

Tell us much more about Hong Kong. Tell us much more about Hong Kong.

Things maybe more buoyant in Hong Things maybe more buoyant in Hong

Things maybe more buoyant in Hong Kong, compared to Europe. But that

Kong, compared to Europe. But that Kong, compared to Europe. But that

Kong, compared to Europe. But that does not mean the government is not

does not mean the government is not under enormous pressure. The

under enormous pressure. The under enormous pressure. The

economy is growing but there are economy is growing but there are

economy is growing but there are increasing strains on the 7 million

increasing strains on the 7 million increasing strains on the 7 million

increasing strains on the 7 million people are called Hong Kong her not.

people are called Hong Kong her not. The Financial Secretary has

The Financial Secretary has The Financial Secretary has

announced the economy expanded 1.4% announced the economy expanded 1.4%

announced the economy expanded 1.4% announced the economy expanded 1.4%

in 2012. That is the weakest since in 2012. That is the weakest since

in 2012. That is the weakest since in 2012. That is the weakest since

2009. It really picked up pace in 2009. It really picked up pace in

2009. It really picked up pace in the last quarter. The government is

the last quarter. The government is the last quarter. The government is

forecasting before you growth to be forecasting before you growth to be

forecasting before you growth to be forecasting before you growth to be

1.5 -3 % for the current year. What 1.5 -3 % for the current year. What

1.5 -3 % for the current year. What locals are really looking for is

locals are really looking for is indications from the government

indications from the government indications from the government

that the government would deal that the government would deal

that the government would deal that the government would deal

between the rising ground up of the between the rising ground up of the

between the rising ground up of the between the rising ground up of the

rich and the poor. And no way is rich and the poor. And no way is

rich and the poor. And no way is rich and the poor. And no way is

that more obvious than de that -- that more obvious than de that --

property prices. Locals were property prices. Locals were

property prices. Locals were looking for relief. Today, but it

looking for relief. Today, but it looking for relief. Today, but it

measures the world boost growth. -- measures the world boost growth. --

measures the world boost growth. -- measures the world boost growth. --

they got measures. But there is a they got measures. But there is a

they got measures. But there is a big question mark over whether it

big question mark over whether it will close the gap.

will close the gap. will close the gap.

will close the gap. Now for a look at the markets. And

Now for a look at the markets. And Now for a look at the markets. And

the situation, as far as Ben the situation, as far as Ben

the situation, as far as Ben Bernanke is concerned, is boosting

Bernanke is concerned, is boosting belief around the globe.

belief around the globe. belief around the globe.

It has boosted trade, apart from It has boosted trade, apart from

It has boosted trade, apart from Japan. Their currency continues to