:00:07. > :00:09.This is Business Live from the BBC with Ben Thompson and
:00:10. > :00:16.The war on Islamic State as the UK votes on air strikes in Syria.
:00:17. > :00:19.We'll assess why coalition forces haven't cut off the terror group's
:00:20. > :00:42.Live from London, that's our top story on Wednesday, 2nd December.
:00:43. > :00:45.Coalition air strikes have so far, failed to choke off Islamic State's
:00:46. > :00:50.main source of revenue, the oil fields in Syria that generate more
:00:51. > :00:54.We'll look at attempts to cut off the supply.
:00:55. > :00:59.Facebook founder Mark Zuckerberg and his wife will give away 99%
:01:00. > :01:03.of their shares in the company to good causes - the stake is
:01:04. > :01:14.This is how the European markets look in early trade ahead of
:01:15. > :01:17.eurozone inflation data due within the hour, with prices set to see
:01:18. > :01:31.The first lady of motor racing will be with us later.
:01:32. > :01:34.Claire Williams is the Deputy Team Principal at Williams Formula 1 and
:01:35. > :01:38.she's here to talk fast cars and the highs and lows of the billionaire
:01:39. > :01:43.Also we want to know what you think of Mark
:01:44. > :01:46.Zuckerberg and Priscilla Chan's decision to give away 99% of their
:01:47. > :01:55.What do you think the kid will think when she gets older?
:01:56. > :02:08.Pressure is mounting to choke off the biggest source of revenue
:02:09. > :02:17.The United States says it is the best funded terrorist organisation
:02:18. > :02:21.Later today the British Parliament is due to vote on whether it too
:02:22. > :02:29.The United States estimates oil revenue generates about $40 million
:02:30. > :02:33.a month for so-called Islamic State, or nearly $500 million a year.
:02:34. > :02:36.Jihadists control vast swathes of territory in Syria and Iraq
:02:37. > :02:44.It is estimated one-third of ISIS' oil revenue comes from fields
:02:45. > :02:48.But so far security forces have been careful not to irreversibly
:02:49. > :02:52.damage the sites, so they can be used again in the future.
:02:53. > :02:55.But Islamic State engineers have been able to repair damage quickly,
:02:56. > :02:59.and keep the oil and funding is flowing.
:03:00. > :03:03.So the new goal of the coalition forces is to knock out
:03:04. > :03:07.specific installations for up to a year, but will this strategy work?
:03:08. > :03:10.Crispin Hawes is Managing Director, Middle East and North Africa
:03:11. > :03:26.It is great to have you with us. Let's start on that. I mean, can you
:03:27. > :03:30.bomb so specifically that you knockout an installation just for
:03:31. > :03:34.six to 12 months. It sounds like a hard task? You can certainly bomb a
:03:35. > :03:37.specific installation, recovering that installation, nobody will be
:03:38. > :03:41.able to tell you when and how they can do it unless you put a reservoir
:03:42. > :03:51.engineer on the ground after the explosion. The timing of recovery, I
:03:52. > :03:55.think, is somewhat suspicious. We are talking about the fields that
:03:56. > :04:01.were once productive in Syria. We are talking about 25,000 barrels a
:04:02. > :04:05.day against Syria's pre-war production of 330,000, even if they
:04:06. > :04:08.destroyed the well head installations that are producing
:04:09. > :04:13.oil, there is still potentially the vast majority of the fields still
:04:14. > :04:17.ready to be recovered in a post-war scenario. We see it from the air,
:04:18. > :04:23.images of the transportation, the oil has got to go somewhere to the
:04:24. > :04:28.buyers, right? We see, you know, vast columns, miles of these tanker
:04:29. > :04:32.trucks. I'm wondering why they are not more of a target or at least
:04:33. > :04:37.start looking at the buyers. Who is buying the oil? Well, first of all
:04:38. > :04:41.the US-led coalition has been in the last couple of weeks bombing the
:04:42. > :04:44.transport networks themselves. They talked about 116 trucks being hit
:04:45. > :04:49.the week before last. They are targeting. Of course, that involves
:04:50. > :04:54.an expansion of the target pool because the majority of people
:04:55. > :04:59.driving or managing this flow of crude are not members of IS as if
:05:00. > :05:03.this was a situation that had a membership card, but they are, for
:05:04. > :05:07.want of a better word, civilians who are associated with the organisation
:05:08. > :05:14.through trading. So by bombing them, you are extending the target pool
:05:15. > :05:18.beyond terrorists as it were, to civilians co-operating trading with
:05:19. > :05:23.them. Who buys the oil? A wide range of people down to civilians in
:05:24. > :05:29.Syria. The oil that is being produced here is very high sull far,
:05:30. > :05:34.very sour, heavy crude. It is refined poorly to produce a heavy
:05:35. > :05:40.diesel. It is then burned in generators across Syria. So when you
:05:41. > :05:44.cut off this source of revenue to Daesh, you will also cut off one of
:05:45. > :05:46.the few remaining sources to parts of the Syrian population.
:05:47. > :05:49.Unfortunately, we're going to have to leave it there. It is interesting
:05:50. > :05:56.stuff. We will see how this progresses. We appreciate your time.
:05:57. > :05:58.Five corporate sponsors of football's world governing body
:05:59. > :06:01.Fifa are demanding what they call "independent oversight" of reforms.
:06:02. > :06:03.Fifa has been engulfed by allegations of corruption
:06:04. > :06:06.since US authorities indicted 14 officials this summer.
:06:07. > :06:10.The letter was sent from Adidas, McDonald's, Coca-Cola, Visa and the
:06:11. > :06:18.Lufthansa management and unions are to meet today to discuss jobs and
:06:19. > :06:26.Strikes have plagued the German airline over the last 18 months,
:06:27. > :06:29.last month the carrier suffered the longest strike in its 60-year
:06:30. > :06:40.A US court has ordered that the Bank of China pay
:06:41. > :06:43.a fine $50,000 each day for refusing to turn over information on Chinese
:06:44. > :06:46.customers accused of selling fake luxury goods.
:06:47. > :06:50.The bank has been held in contempt of court
:06:51. > :06:53.and will have to start paying the daily penalty from next week.
:06:54. > :07:02.The Bank of China is planning to appeal against the fine.
:07:03. > :07:12.Let's look at the tablet. I think I've got it under control. I found
:07:13. > :07:23.this very interesting. This is papercuts for Le La scas Rue. Some
:07:24. > :07:25.-- De La Rue, the issue is plastic banknotes. A number of countries
:07:26. > :07:30.around the world are considering that. They are hard wearing. They
:07:31. > :07:35.last longer. They survive a trip in the washing machine. Good news!
:07:36. > :07:38.Australia has plastic notes. We have had plastic notes for a long time.
:07:39. > :07:41.We have had plastic notes for a long time. Talking of Australia, did you
:07:42. > :07:51.do that? You did that! First of all, let's go straight over to Singapore.
:07:52. > :07:55.Sharanjit Leyl has the details in our Asia Business Hub in Singapore.
:07:56. > :08:04.Growth better than expected and they think it is down to me, to exports!
:08:05. > :08:08.Aaron, it is your native land and just like you, it is an economy
:08:09. > :08:11.that's full of surprises! It grew 2.5% in the three months to
:08:12. > :08:15.September from the previous year. That was compared to under 2% the
:08:16. > :08:20.previous quarter and of course, despite the huge slowdown that we
:08:21. > :08:23.have been talking about, its biggest trading partner is China and you
:08:24. > :08:28.have got falling commodity prices and exports, of course, all of that
:08:29. > :08:33.despite all of that, exports actually rose. They jumped about
:08:34. > :08:38.4.6% in the quarter and this in part actually due to the weaker
:08:39. > :08:42.Australian dollar which means exporters reaped bigger benefits and
:08:43. > :08:47.profits when they bring a lot of the profits back home, when the exchange
:08:48. > :08:49.rate is taken into account. The Australian dollar dropping 9% on
:08:50. > :08:52.record low interest rates and analysts we have been talking to
:08:53. > :08:54.saying the effects are unlikely to last as the global economy
:08:55. > :08:59.many don't expect trade can off set a declining mining investment for
:09:00. > :09:10.instance. Mining a years, but it is falling as China's
:09:11. > :09:16.demands start to fade. You were seeing on the screen the
:09:17. > :09:19.Sydney stock market or one variation of it. Down, despite the better than
:09:20. > :09:27.expected figures for growth. economic data ahead of what's likely
:09:28. > :09:30.to be a big month for the US when the long touted, much anticipated
:09:31. > :09:35.rise in interest rates comes. It was European data that was
:09:36. > :09:39.more upbeat, dispelling fears that the migrant
:09:40. > :09:46.crisis could force a sharp spike European manufacturing also came
:09:47. > :09:49.in strongly, an 18 month So could the ECB's offer some more
:09:50. > :10:08.stimulus at tomorrow's meeting? Is a rate rise on
:10:09. > :10:23.Street is watching later today. offering her economic outlook this
:10:24. > :10:24.Wednesday at the Economic Club in Washington DC. She will be
:10:25. > :10:32.lawmakers. Investors are going to keep an eye on the latest jobs data
:10:33. > :10:42.US Labour department due out on course, comes
:10:43. > :10:44.US Labour department due out on Friday. Most economists believe
:10:45. > :10:51.companies added 190,000 workers in November. Separately, the Federal
:10:52. > :10:57.Reserve issues its so-called beige book which offers a snapshot of the
:10:58. > :11:03.health of the economy and two clothing makers report earnings with
:11:04. > :11:13.I noticed a big story today, talking of Telegraph Media Group.
:11:14. > :11:20.I noticed a big story today, talking of Brazil, saying it is facing its
:11:21. > :11:23.worst recession since the 1930s? Data out overnight suggesting
:11:24. > :11:28.contraction. India and China are growing strong and Russia, not at
:11:29. > :11:33.all. The brick story is starting to unravel. It is interesting how that
:11:34. > :11:35.starts to unravel as the more developed economies, we start to see
:11:36. > :11:41.the growth. That's right. What is interesting the growth isn't robust.
:11:42. > :11:44.It is not like we are seeing a big spike in developed economies that's
:11:45. > :11:48.cancelling out the growth elsewhere. It is all still very tentative, yet
:11:49. > :11:51.we are seeing a big sell off in emerging economies? In developed
:11:52. > :11:56.markets, the focus really this week is on the ECB. What they do and
:11:57. > :12:00.whether there is more quantitative easing, we have got inflation out
:12:01. > :12:04.across the eurozone today. That doesn't really suggest we are into
:12:05. > :12:12.the boom times yet in the west. It is going to be pretty flat,
:12:13. > :12:15.indeed. Lots of stuff for Mr Marrow Draghi to contemplate. Indeed. Are
:12:16. > :12:20.you going to come back and talk about the papers and talk about Mark
:12:21. > :12:26.Zuckerberg. We are going to be speaking to the First Lady of motor
:12:27. > :12:29.racing, Clare Williams, the deputy team principal of Williams. She will
:12:30. > :12:34.be here to talk about fast cars and the highs and the lows of the
:12:35. > :12:42.billion dollar industry. You're with Business Live from BBC
:12:43. > :12:47.News. Morrisons is about to fall out of
:12:48. > :12:51.the index. It has gone. Out of Britain's top 100 companies. It is
:12:52. > :12:56.one of the victims of the regular shake-up. Victoria is looking at who
:12:57. > :13:01.is in and who is out and why any of this matters. She is in Salford.
:13:02. > :13:06.Vic, talk us through where are we, who is in, who is out? Good morning,
:13:07. > :13:10.boys. This is the FTSE 100, it is the 100 most valuable companies that
:13:11. > :13:13.are listed on the London Stock Exchange and every three months or
:13:14. > :13:17.so they take a look at this list and they try and work out whether or not
:13:18. > :13:20.it actually represents all the companies true value. So at the
:13:21. > :13:23.moment we've got three that come out and three that are looking like
:13:24. > :13:27.they're going to come in and Morrisons is one of the ones that's
:13:28. > :13:31.going to be dropped and it matters because both big and small investors
:13:32. > :13:35.alike. Well, they are keen on something called tracker funds and
:13:36. > :13:39.they buy a little proportion of each and every company listed on the FTSE
:13:40. > :13:44.100. So if you fall out of the list, lots of investors are going to sell
:13:45. > :13:48.your stock. Listen to this. This is a markets experts and she z this is
:13:49. > :13:53.what she thinks it means for a company like Morrisons. When a
:13:54. > :13:57.company loses its place in the elite list that makes up the FTSE 100,
:13:58. > :14:01.they stand to lose a bit of market value. The other thing that happens
:14:02. > :14:05.is a lot of fund managers, a lot of tracker funds which are products
:14:06. > :14:10.that track markets such as the FTSE 100, and they look to replicate
:14:11. > :14:14.every single company in that market by buying or selling it, now if they
:14:15. > :14:16.know that a company is going to fall out of the index, they will sell
:14:17. > :14:20.that company and that's going to weigh on the share price which is
:14:21. > :14:23.the last thing a company like Morrisons needs right now. Of
:14:24. > :14:28.course, once you're out, it is difficult to get back in because the
:14:29. > :14:33.value of your entire portfolio has fallen and this is not good news for
:14:34. > :14:37.a company like Morrisons. We heard today from the British Retail
:14:38. > :14:40.Consortium that prices had been falling for 31 consecutive months.
:14:41. > :14:44.If you do the maths, that's under three years of prices falling. Not
:14:45. > :14:47.good news for the supermarkets because they are struggling from
:14:48. > :14:54.online, people buying their shopping online and also from big supermarket
:14:55. > :14:58.price wars as well. It says a lot that a company like Particled Pay,
:14:59. > :15:02.an online payments processor is joining.
:15:03. > :15:12.Thank you. From the boys in the studio to the girl in Salford,
:15:13. > :15:13.goodbye. A quick look at the stories. England cannot build enough
:15:14. > :15:21.homes. You're watching Business Live,
:15:22. > :15:22.our top story. The British parliament is expected
:15:23. > :15:25.to give its backing today to UK air strikes directed against
:15:26. > :15:27.Islamic State militants in Syria. The pressure has been growing
:15:28. > :15:30.on coalition forces whose air strikes have, so far,
:15:31. > :15:33.failed to choke off Islamic State's main source of revenue, the oil
:15:34. > :15:49.fields in Syria that generate more Staggering amounts of money. Stay
:15:50. > :15:51.tuned to the BBC for full coverage of that vote taking place later.
:15:52. > :15:55.That's how today's guest describes the powerful, multibillion dollar
:15:56. > :15:58.and often dangerous world of Formula 1 racing.
:15:59. > :16:00.Probably the most powerful woman in the world of motor racing
:16:01. > :16:03.at the moment, Claire Williams is deputy team principal at
:16:04. > :16:11.She is the daughter of Frank Williams, founder
:16:12. > :16:16.Despite her connections, she had to fight to get to the top.
:16:17. > :16:17.After graduating with a politics degree,
:16:18. > :16:20.she started out as press officer at Formula 1, eventually moving to
:16:21. > :16:23.a job in the communications team at Williams, despite her father's
:16:24. > :16:31.disapproval, where she then spent the next decade working her way up.
:16:32. > :16:34.Williams is one of the world's leading Formula one teams coming
:16:35. > :16:37.in third in this year's Formula one constructers' championship.
:16:38. > :16:41.While it's a sport that generates more than a $1.5 billion a year
:16:42. > :16:44.in revenues, it's a tough industry to be a part of.
:16:45. > :16:48.On average, a team needs an income of at least $350 million to have any
:16:49. > :16:51.realistic hope of winning races, so, unsurprisingly, some smaller teams
:16:52. > :17:06.And, guess what? She's here. Great to have you with us in the studio.
:17:07. > :17:12.We want to start knowing more about too. I know what we just said but
:17:13. > :17:16.many people would say, the child of somebody who owns the company, they
:17:17. > :17:21.are in a good position, handed to you on a silver platter. The truth
:17:22. > :17:25.is, your dad didn't want you in the company. They didn't, neither of my
:17:26. > :17:30.parents did. So it was an interesting start for me in life.
:17:31. > :17:33.Neither of my parents wanted their children to have the expectations
:17:34. > :17:37.they would one day take over this amazing Formula one team. They
:17:38. > :17:41.wanted us to make up own way in the world and that is what I wanted to
:17:42. > :17:46.do anyway but life didn't really take that course for me. What does
:17:47. > :17:51.the job involve? There is a tendency to think of sport is something that
:17:52. > :17:55.doesn't need to make money or be commercially successful but it is
:17:56. > :17:59.that. You have to generate revenue, otherwise the team doesn't make
:18:00. > :18:06.sense. We are one of the few independent teams in Formula one 's
:18:07. > :18:14.so what keeps us going is the money from sponsorship and the Formula one
:18:15. > :18:19.organisation. My dad was very successful, he did that 40 years, he
:18:20. > :18:24.has kept the team racing through some of the greatest partnerships,
:18:25. > :18:30.and my role is to get the money in. Who does the money come from? So, we
:18:31. > :18:35.have about 20 partners in our community of sponsors, ranging from
:18:36. > :18:40.the likes of Martini, who joined us at the start of last year, then the
:18:41. > :18:44.second-largest resourcing company in the world, we have a whole raft of
:18:45. > :18:49.partners which means we can do what we love to do. That is their
:18:50. > :18:54.generosity but what about the impact of the actual races themselves? Am I
:18:55. > :19:00.right in saying that apart from Monaco, every other country you have
:19:01. > :19:06.to pay to host Formula one. What is the economic impact on that
:19:07. > :19:12.community, that economy on each of those countries? At obviously costs
:19:13. > :19:16.a lot for these countries to host a Formula one race but you think about
:19:17. > :19:21.the number of people that go and watch every Grand Prix we racing, we
:19:22. > :19:24.have next year 21 races on the calendar and invariably for a lot of
:19:25. > :19:28.countries Formula one is the jewel in their crown. You can imagine how
:19:29. > :19:33.many people are staying in hotel rooms, going out to restaurants in
:19:34. > :19:36.the evening to eat, and all the other economic benefits that can
:19:37. > :19:42.bring, having 100,000 people coming watching your race. What effect does
:19:43. > :19:46.money have no sport? You have some tough opposition against other
:19:47. > :19:50.teams. Is there a direct correlation between funding and success? I
:19:51. > :19:57.think, as a team, we have always proved that we can, on a much
:19:58. > :20:03.smaller budget, beat the smaller -- beat the bigger teams. We are seeing
:20:04. > :20:05.in Formula one nowadays the costs of going racing escalating
:20:06. > :20:09.significantly and is now looking at the Sadie 's who have won the world
:20:10. > :20:14.championship, they did that on at least 300 million sterling, not
:20:15. > :20:20.dollars. We are operating on 110 million sterling this year. Money,
:20:21. > :20:23.of course it is important. It has an impact on success but it isn't
:20:24. > :20:28.everything as we have proved in the past. It is about what you do with
:20:29. > :20:32.your money. It is like any business with the right people in the right
:20:33. > :20:47.jobs, that is going to drive you toward success. Are you a car lover?
:20:48. > :20:51.A petrol head? Yes, I like cars. I like somehow fall road cars, brute
:20:52. > :20:57.cars. That's the great thing about Formula one. These amazing machines,
:20:58. > :21:00.the most technologically advanced machines in the world, designed by
:21:01. > :21:05.some amazingly bright people, and these heroes that get into them and
:21:06. > :21:10.drive 300 commenters are now every Sunday, it is a sport I love. Have
:21:11. > :21:16.you ever driven one? Net-mac, my dad would never let me. It is about the
:21:17. > :21:21.brains and money of the operation. My driving skills are not up to
:21:22. > :21:26.much, I'll stick to the road. He said there are 21 races. Anything
:21:27. > :21:32.happening in the development of F1? Any exciting developments for next
:21:33. > :21:38.year? Next year, it is status quo, but Formula one is fantastic and we
:21:39. > :21:42.have some amazing races, but 2017 is the evolution of Formula one where
:21:43. > :21:47.we will see some amazingly different race cars, very futuristic, lovably
:21:48. > :21:54.to be five seconds a lap faster than they are. New tyres, new engine for
:21:55. > :21:59.Miller, said 2017 is the year to look out for. One to watch. Really
:22:00. > :22:01.good to see you. Thank you very much and good luck for the next one.
:22:02. > :22:05.In a moment, we'll take a look at that Facebook story, but, first,
:22:06. > :22:08.as part of the BBC's 100 Women series, we've been meeting young
:22:09. > :22:15.Melanie Goldsmith's mantra is "You're only worth what someone will
:22:16. > :22:18.pay", how her alcoholic sweets are being
:22:19. > :22:28.My biggest moment of joy was hiring our first full-time employee.
:22:29. > :22:39.And they've come out of nowhere, you know, they're not
:22:40. > :22:41.We make deconstructed edible cocktails,
:22:42. > :22:46.Business success is so encompassing and who's behind it.
:22:47. > :22:52.My name is Melanie Goldsmith, I'm 26 years old, I am the Director
:22:53. > :23:10.How about this for generosity? Mark Zuckerberg and his wife, they have
:23:11. > :23:16.pledged to give away the vast majority of their tech giant to good
:23:17. > :23:23.causes. They made an announcement in a letter to their new daughter.
:23:24. > :23:25.The couple say they will give away 99% of their shares to causes
:23:26. > :23:28.which advance human potential and promote equality.
:23:29. > :23:31.At the moment, that share value equates to about $45 billion.
:23:32. > :23:34.The couple say they'll give more details on the donation when they
:23:35. > :23:51.Well, certainly Mark's case. Maternity leave for Priscilla Chan.
:23:52. > :23:55.Our tech guru is here with us. I'm wondering if this raises the bar in
:23:56. > :24:00.terms of philanthropy and all the other billionaires in the tech
:24:01. > :24:04.world. I think it is obvious from the letter. They put this letter on
:24:05. > :24:07.Facebook. Somebody said to me, following Mark Zuckerberg on
:24:08. > :24:12.Facebook is like following any of your mates. It is like they are on a
:24:13. > :24:17.gap year, go around the world and do stuff, talk about their philosophy,
:24:18. > :24:22.then post baby photos. The differences he has used the platform
:24:23. > :24:26.in a different way, expressing what him and his wife want to do with
:24:27. > :24:32.their money, which is to give it away. There is a reply at the end of
:24:33. > :24:37.the letter from Melinda Gates from the Gates foundation and praising
:24:38. > :24:43.what they want to do. The Gates foundation is a big contributor to
:24:44. > :24:47.health and education charities. Mark Zuckerberg and Priscilla Chan have
:24:48. > :24:51.now had to decide how that money is going to be spent. Not all in a
:24:52. > :24:54.rush, it isn't going to be sold immediately but over many years.
:24:55. > :24:59.James, this is interesting because you had to be 70-75, you are a
:25:00. > :25:04.billionaire, you gave away your fortune. Now you're doing it in your
:25:05. > :25:10.mid-30s. He is the first of his generation. It puts pressure on his
:25:11. > :25:18.rivals in Google and other big tech companies we have had some follow
:25:19. > :25:22.the wake of Bill and Melinda Gates. One point, I've just looked back on
:25:23. > :25:26.interview I did with Mark Zuckerberg in 2000 81I told him he was idiot
:25:27. > :25:37.not to have sold up the year before. Why are we even talking to
:25:38. > :25:41.you? Last year, Facebook paid in corporation tax $7,000. That was
:25:42. > :25:45.it. They posted a loss of 28 million. We won't get into that. It
:25:46. > :25:52.is legal, some people are raising that. Nice to see you, gentlemen.
:25:53. > :26:14.That is it from us. Same time, same place tomorrow. Goodbye.
:26:15. > :26:15.Dry and mild, wet and windy, light and