:00:00. > :00:14.This is Business Live from BBC News with Rachel Horne and Sally Bundock.
:00:15. > :00:22.Talks in Brussels. Another cash injection to avoid default in July.
:00:23. > :00:37.Live from London, that's our top story on Wednesday, 25th May.
:00:38. > :00:44.They are calling it a major breakthrough. Eurozone Finance
:00:45. > :00:46.Ministers agree a deal that will unlock funds in bail out funds and
:00:47. > :00:49.phase in debt relief. And rights, camera, action -
:00:50. > :00:51.the European Commission takes on the world's biggest players
:00:52. > :00:54.in digital media but what will the changes deliver
:00:55. > :00:56.for businesses and consumers? We are 30 minutes
:00:57. > :00:57.into the trading day. The European markets were strong
:00:58. > :01:00.yesterday and the theme And we'll be getting
:01:01. > :01:11.the inside track on the business We're going to be talking
:01:12. > :01:21.to the Chef Exec of an airline that carry's only business
:01:22. > :01:22.class passengers. Jeff Bezos says McDonald's was his
:01:23. > :01:25.first job while Michael Bloomberg This morning we want to know
:01:26. > :01:54.what your first ever job?. A very warm welcome this morning.
:01:55. > :01:58.Eurozone Finance Ministers agreed to unlock bail out funds to Greece.
:01:59. > :02:01.After marathon talks that ended in the early hours of this morning in
:02:02. > :02:06.Brussels, it was also agreed to phase in debt relief in two years
:02:07. > :02:10.time, a key demand of the Greek Government and the International
:02:11. > :02:15.Monetary Fund. The 19 ministers said the deal was made possible by
:02:16. > :02:17.Greece's continued economic reforms. The European Commissioner for
:02:18. > :02:24.economic and financial affairs welcomed the deal.
:02:25. > :02:34.We have a good agreement in place which is as we expected and hoped. A
:02:35. > :02:39.global agreement which opens the way for a significant disbursement of
:02:40. > :02:44.much needed funding for Greece and for important measures on debt
:02:45. > :02:51.relief. Above all, this opens the way for a return of confidence that
:02:52. > :02:59.is so essential for lasting economic recovery in Greece which is our
:03:00. > :03:02.common purpose. So yes, it is very important moment in that long and
:03:03. > :03:04.sometimes difficult story. It has been a long and difficult
:03:05. > :03:10.story, that's for sure. Our Business Correspondent Andrew
:03:11. > :03:20.Walker joins me now. They are calling it a breakthrough,
:03:21. > :03:29.or is it kicking the can down the road again? It is a breakthrough. It
:03:30. > :03:33.will enable Greece to make payments that, debt repayments that are due
:03:34. > :03:37.to central banks and other payments due to the International Monetary
:03:38. > :03:42.Fund and make those payments on time and avoid what would potentially be
:03:43. > :03:45.an extremely messy and disruptive default. It will also help Greece
:03:46. > :03:50.with clearing some of the arrears that have been built up to business
:03:51. > :03:54.suppliers for example, to the public sector and to tax payers who are due
:03:55. > :03:58.refunds. So it is an important stage and I think the other point about
:03:59. > :04:02.the debt relief, we don't have detail about exactly what is going
:04:03. > :04:06.to be on offer, but certainly that was something that the International
:04:07. > :04:10.Monetary Fund regarded as being essential to enable Greece to have a
:04:11. > :04:14.sustainable debt burden over the coming decades and we really are
:04:15. > :04:23.talking about decades because already it is going to be, it is
:04:24. > :04:29.well into the 2050 decade before Greece would have fully repaid the
:04:30. > :04:33.loans that it has already taken on. Just briefly, Andrew, this follows
:04:34. > :04:38.the Greek Parliament approving new budget cuts and tax increases over
:04:39. > :04:42.the weekend which has not gone down well in Greece, has it? No, that's
:04:43. > :04:46.right. Those measures were essential to get the agreement that the
:04:47. > :04:51.eurozone has given and even then I have to say, there is going to be
:04:52. > :04:54.technical examination by the financial institutions, by the IMF
:04:55. > :05:01.and the European Commission to ensure that they do genuinely comply
:05:02. > :05:06.with what Greece was required to do, but I think those protests in Athens
:05:07. > :05:10.are an indication that we're going to have more political turmoil as
:05:11. > :05:13.this programme continues. Important though, this development is. Andrew
:05:14. > :05:18.Walker, thank you. The likes of Amazon Prime
:05:19. > :05:21.and Netflix and could be just hours away from being forced to make more
:05:22. > :05:24.of their content inside The move is part of a raft
:05:25. > :05:28.of proposals that will be unveiled later today as part of a plan
:05:29. > :05:31.to shake up the digital The European Commission is expected
:05:32. > :05:34.to rule that at least 20% of the streaming giant's content
:05:35. > :05:37.consists of European Netflix has already denounced
:05:38. > :05:41.the plans saying they will lead to streaming sites buying
:05:42. > :05:45.lots of poor quality content just The plan could also lead to more
:05:46. > :05:52.rigorous age restrictions for certain content on sites
:05:53. > :05:55.like YouTube which traditional broadcasters wouldn't be able
:05:56. > :06:00.to show during the day. As well as new media rules,
:06:01. > :06:02.the Commission is also expected to announce a raft of other measures
:06:03. > :06:05.aimed at creating These include an end to the practice
:06:06. > :06:14.of geo-blocking which prevents customers in one country from buying
:06:15. > :06:16.goods from online stores elsewhere Joining us from Brussels
:06:17. > :06:24.is James Waterworth, Vice President, CCIA Europe,
:06:25. > :06:37.a trade group representing those James, thank you for being on the
:06:38. > :06:41.programme. Is this Europe meddling again or is Europe making the
:06:42. > :06:44.playing field fairer? No, I mean much of what the European Union has
:06:45. > :06:48.announced with this digital single market idea is very good. It makes
:06:49. > :06:52.it easier for consumers to buy things from different countries in
:06:53. > :06:56.Europe and makes it easier for businesses to trade across Europe.
:06:57. > :06:59.However, the choices it makes in how it does this will be important. It
:07:00. > :07:08.could end up making it actually harder. Netflix feels it has been
:07:09. > :07:12.forced to make programmes in Europe, movies in Europe, and actually it
:07:13. > :07:16.will water down what its unique selling point is. Well, companies
:07:17. > :07:21.like Netflix of course already making or buying European
:07:22. > :07:24.programming. So if you think about major blockbusters, major megabucks
:07:25. > :07:31.investments they have made in France. In France they have made a
:07:32. > :07:35.TV series called Marsai. They've bought many streaming sites have
:07:36. > :07:39.bought films like, TV programmes like Top Gear, for example, so a lot
:07:40. > :07:43.of quality European content is being made. What we think about quotas, it
:07:44. > :07:47.won't necessarily improve the quality of what people want. So
:07:48. > :07:51.potentially you will get bad programming and put on a service
:07:52. > :07:55.which no one will watch. I bet others will counter that for sure.
:07:56. > :07:59.Let's talk about the issue of rights. It is a minefield, how will
:08:00. > :08:03.it be affected by the recommendations? Not necessarily
:08:04. > :08:06.directly. It will more affect questions around safeguarding
:08:07. > :08:10.children, what kind advertisements you can show. Rights, one of the
:08:11. > :08:13.major pieces of legislation that's being looked at here now is whether
:08:14. > :08:18.if you go on holiday. If you're going to go on holiday to Spain this
:08:19. > :08:21.summer, whether you can take your, watch your Netflix account or BBCi
:08:22. > :08:25.player when you're on holiday. That has many people who make TV
:08:26. > :08:28.programming or make films worried about whether they will be able to
:08:29. > :08:32.get the same amount of money for their rights, but actually, it seems
:08:33. > :08:36.like a sensible measure which will ensure that consumers can get what
:08:37. > :08:40.they've already paid for. James Waterworth thank you for your time
:08:41. > :08:42.and we shall update you when we hear from bles as to what their
:08:43. > :08:48.recommendations are. Monsanto has rejected a $62 billion
:08:49. > :08:52.offer from Bayer that would have created the world's
:08:53. > :08:54.biggest agricultural supplier. The US company said the offer
:08:55. > :08:56.was "financially inadequate", but left the door open
:08:57. > :09:01.for a potentially higher bid. Hugh Grant, Monsanto
:09:02. > :09:03.Chief executive, said the proposal significantly
:09:04. > :09:04.undervalued the company. He also raised concerns
:09:05. > :09:06.about whether a deal would be Cuba's communist government has
:09:07. > :09:12.announced it is legalising small and medium-sized private
:09:13. > :09:14.businesses in the latest stage of economic reforms which began
:09:15. > :09:20.when President Raul Castro took over The move could significantly expand
:09:21. > :09:24.private enterprise in one of the world's last
:09:25. > :09:27.centrally-planned economies. Huawei is suing tech rival Samsung
:09:28. > :09:30.over claims that its patents The Chinese firm said
:09:31. > :09:33.it was pursuing its South Korean rival in two courts -
:09:34. > :09:35.one in California, Huawei says that several
:09:36. > :09:38.of its cellular communications and software inventions had been
:09:39. > :09:41.used in Samsung's phones Tata Steel will announce
:09:42. > :09:53.its financial results for the first three months of this
:09:54. > :09:57.year later today. They may also reveal
:09:58. > :09:59.which bidders will continue in the race to buy the company's
:10:00. > :10:13.British assets. Well, in the building behind me,
:10:14. > :10:18.that's where the meeting is taking place and yes, of course, they will
:10:19. > :10:21.be reviewing the financial situation of the company. They will be coming
:10:22. > :10:25.out with their financial results for January to March this year and the
:10:26. > :10:28.whole financial year from April last year to March this year, but they
:10:29. > :10:31.will be assessing the bids that they've received. Earlier this
:10:32. > :10:35.month, the company had confirmed that they had seven companies
:10:36. > :10:38.expressing an interest in buying their UK operations. Monday was the
:10:39. > :10:43.deadline for the final bids to be submitted and post that, we have not
:10:44. > :10:47.yet received word from Tata Steel on how many companies have actually
:10:48. > :10:50.made that bid, but post the meeting, we are expecting Tata to come out
:10:51. > :10:54.with some statement and that's been perhaps, we will hear who made it to
:10:55. > :11:02.the shortlist. Thank you.
:11:03. > :11:11.The Hang Seng was up 2.56%. Its biggest leap for six weeks. The Dow
:11:12. > :11:19.up over a percent. Figures out showing a surge in US home sales
:11:20. > :11:23.giving investors confidence that the country can take the rumoured higher
:11:24. > :11:29.interests which could be on the way. Green across the boards. Confidence
:11:30. > :11:32.from the US filtering through and perhaps news of the deal in Greece
:11:33. > :11:37.soothing the uncertainty that the markets don't like. Let's go over to
:11:38. > :11:43.the States. On Tuesday we told you about Hewlett
:11:44. > :11:47.Packard Enterprises reporting earnings. That deals with software
:11:48. > :11:54.and servers. On Wednesday HP will be reporting. This houses the PC and
:11:55. > :11:58.printing business. HP may not do as well as investors hoped, but it will
:11:59. > :12:02.want to hear from HP executives on the company's efforts to cut costs.
:12:03. > :12:05.Luxury jeweller Tiffany will be reporting earnings and if you have
:12:06. > :12:08.been following some of the retail trends in America, you will know
:12:09. > :12:12.that many high end brands have been struggling lately. The impact of the
:12:13. > :12:16.strong dollar is starting to subside, but the issue for luxury
:12:17. > :12:21.companies has been with customers preferring to spend their money on
:12:22. > :12:25.their homes, insurance and travel. So what investors will be looking to
:12:26. > :12:32.hear is what Tiffany's expects in terms of sales for the rest of the
:12:33. > :12:34.year. Tiffany, diamonds are forever, so
:12:35. > :12:36.they say! Joining us is Mike Amey,
:12:37. > :12:45.managing director and There is so much going on. I feel
:12:46. > :12:48.like I haven't stopped since I arrived at whatever time it was this
:12:49. > :12:52.morning! Interesting that markets aren't reacting much to Greece. They
:12:53. > :12:56.are focussed on the US home sales report, aren't they? That's right.
:12:57. > :13:00.We are in one of the situations where everything looks like it is
:13:01. > :13:04.going well. The soft patch looks like it has worked its way through.
:13:05. > :13:09.Soft patch? That wasn't a soft patch. It was a crazy moment. Now we
:13:10. > :13:13.appear to be back into a happier world where, you know, where
:13:14. > :13:17.potentially the US can start to raise interest rates again. S and P
:13:18. > :13:21.is back at the highs. Yeah, the markets have a better tone. One or
:13:22. > :13:25.two things we need to keep an eye on. The Chinese currency is starting
:13:26. > :13:30.to go down again. Yes, just talk us through that. The Chinese obviously
:13:31. > :13:34.have a tight relationship with the US dollar with their exchange rate
:13:35. > :13:40.and they are tied to the US dollar. When the dollar goes up, China's
:13:41. > :13:43.currency goes up and they have had a tough time. They valued around the
:13:44. > :13:46.turn of the year. That's one of the reasons we had the volatility in the
:13:47. > :13:52.first place. A bit of nervousness, they might be doing that, but so far
:13:53. > :13:55.things are holding well: This morning you were discussing the
:13:56. > :13:59.bunny market. Give us more explanation. Why can we have only
:14:00. > :14:04.two types of market? Why not have a new version. Bull markets are ones
:14:05. > :14:08.that go up over time. Bear markets going down over time. A bunny market
:14:09. > :14:13.is where you don't go anywhere, you just kind of go, hop, hop, hop...
:14:14. > :14:17.Hopping in and out. Exactly. Don't get too caught up in the bit that
:14:18. > :14:21.goes up or the bit that goes down. There is a degree of that going on
:14:22. > :14:23.at the moment. Already, we won't talk about the dead cat bounce.
:14:24. > :14:27.We'll confuse everybody! Still to come: Business class gets
:14:28. > :14:30.the easy jet treatment. We speak to the man who says
:14:31. > :14:33.he won't offer you the best business class experience but he will offer
:14:34. > :14:35.you the cheapest. You're with Business
:14:36. > :14:40.Live from BBC News. Marks Spencer has reported a 19.5%
:14:41. > :14:43.fall in pre-tax annual profits Its new chief executive Steve Rowe
:14:44. > :14:49.has pledged to slash prices and put more staff in stores to turn
:14:50. > :14:51.around its beleaguered clothing arm, Let's speak to Rob Young,
:14:52. > :15:07.who's just been talking to the boss. Co, Good morning. What did he say to
:15:08. > :15:14.you? The big problem with Marks Spencer is the cloefting and home
:15:15. > :15:21.ware divisions. -- clothing. Sales are down 3%. That old chestnut,
:15:22. > :15:25.they blamed. But the City is they blamed. But the City is
:15:26. > :15:29.focussing on their turn around plan. They say that that together with
:15:30. > :15:33.difficult trading conditions at the moment will hit profits in the
:15:34. > :15:37.short-term. We can see from this chart what investors are making of
:15:38. > :15:43.that. Shares have been sliding for six months and this shows that
:15:44. > :15:46.shares in M are down about 7%, suggesting investors don't like what
:15:47. > :15:51.they have been hearing from the new boss today. What else do you think
:15:52. > :15:57.we will hear from the new boss. We have had a whole line of M bosses
:15:58. > :16:05.pledging to change. What will he do differently. Steve Rose said they
:16:06. > :16:11.have cut the price of 300 different products, that is three and a half
:16:12. > :16:18.million garments. And they will focus on what they call a stylish
:16:19. > :16:25.contemporary feel and said M has not been listening to customers and
:16:26. > :16:29.had tended to tell customers what they want instead of listening to
:16:30. > :16:35.what they need. So the emphasis will be on cherishing and celebrating the
:16:36. > :16:41.customer that he described adds Mr and Mrs M Are you Mrs M I am
:16:42. > :17:04.not. I am a bit. Toy yo that are teaming with Uber
:17:05. > :17:11.and Vaulks wagon getting a link up with Another taxi company. A lot
:17:12. > :17:16.going on as car makers try and move into other realms in technology.
:17:17. > :17:21.Our top story - Greece has agreed a deal to unlock a further
:17:22. > :17:24.10.3 billion euros in loans from its international creditors.
:17:25. > :17:26.Eurozone finance ministers also agreed to potentially offer
:17:27. > :17:28.Greece debt relief - a concession that was necessary
:17:29. > :17:44.For many the idea of flying in business class is a bit of a treat.
:17:45. > :17:47.However for those whose jobs entail regularly taking to the skies,
:17:48. > :17:49.it can also become an office on the move.
:17:50. > :17:52.As well as offering the chance to sleep and relax, business class
:17:53. > :17:55.also allows customers space to work and e-mail and even make calls
:17:56. > :18:01.And airlines cash in on offering all these added extras -
:18:02. > :18:06.it's estimated that profit margins for business class passengers are up
:18:07. > :18:10.to ten times higher than they are for travellers in economy.
:18:11. > :18:13.And all of that helps the balance sheet, according to IATA,
:18:14. > :18:16.22% of airline revenue come from premium travellers.
:18:17. > :18:21.The increasing demand for business travel is now leading to some
:18:22. > :18:26.One of the company's leading that movement is La Compagnie,
:18:27. > :18:27.they're an all-business-class airline that operates
:18:28. > :18:31.The CEO and co founder of the airline, Frantz
:18:32. > :18:46.I have to say for Rachael and I, we travel with three little boys on
:18:47. > :18:50.planes. We don't share them. She has three, I have three. The thought of
:18:51. > :18:57.a bed privacy sounds like another world us to. Yes, well obviousy when
:18:58. > :19:07.we created the company what we did was only addressing the passenger's
:19:08. > :19:18.need. Before travelling on La Compagnie, travelli long haul you
:19:19. > :19:23.had only two experiences. We see them beyond the curtain. What we are
:19:24. > :19:32.offering is a business class long haul, much, much cheaper than the
:19:33. > :19:35.others. Everyone is Average is two two three times cheaper. At the
:19:36. > :19:41.moment you travel between Paris and New York and Luton Airport, which is
:19:42. > :19:47.north of London and New York. And you're saying that the price of a
:19:48. > :19:57.ticket is two thirds less than say a legacy carrier. Two to three times
:19:58. > :20:03.cheaper. We start at ?1,000 round trip, all in, you can carry two big
:20:04. > :20:10.bags, you have access to the lounge both sides of the Pond. You have a
:20:11. > :20:14.real bed, you have meals prepared by your chef. Other companies have
:20:15. > :20:19.tried this like Skyline and they have gone bust aw and you did it
:20:20. > :20:25.with your first airline and sold that on. Why do you think this one
:20:26. > :20:29.will succeed? We see it as a success on the Paris to New York route and
:20:30. > :20:35.we started those operations in 2014 and that is a big success. London
:20:36. > :20:41.route it is coming up. It is ramping up. We are still ten points below
:20:42. > :20:46.Paris, but the success starts to be here and we are happy. You know for
:20:47. > :20:52.a small start up airline we have been happy and proud to be the only
:20:53. > :20:57.European one to operate the two longest, the two busiest routes in
:20:58. > :21:02.the word, London/New York and Paris/New York. We have good news,
:21:03. > :21:07.when we started up with the London route one year ago we were operating
:21:08. > :21:14.only five per week, we are going to go six per week by the end of June.
:21:15. > :21:21.Why do you think it is working, what are you doing differently. It worked
:21:22. > :21:28.well with and yon. You may ask British Airways why they paid 78
:21:29. > :21:33.million for it, that was less than two years ago was 50 million. I
:21:34. > :21:37.think in September 2008 the world has changed and everyone from one
:21:38. > :21:46.day to the other became cost conscious. We have 64% of passengers
:21:47. > :21:52.are corporations and they are more cost conscious and what is true of
:21:53. > :21:57.core prafgss is usually true for you and me. When we want to travel, we
:21:58. > :22:03.want to spend less. You said you need your planes to be two thirds
:22:04. > :22:06.full to break even. More passengers, you're making a profit. You're going
:22:07. > :22:12.to Europe and New York, what about the other side of the world, what
:22:13. > :22:17.about Asia. First we want to reinforce our position in the North
:22:18. > :22:21.at lap tick and getting -- Atlantic and getting more operations between
:22:22. > :22:26.Paris and New York and London and from other nations to New York. Then
:22:27. > :22:32.I guess we cannot stay away from the west coast of the US and Asia too
:22:33. > :22:36.long. We are ran out of time. Thank you for coming N maybe we will
:22:37. > :22:39.experience the luxury one day. When we haven't got to buy five flight
:22:40. > :22:42.tickets. Shall we move on. Now, we've tended to see robots
:22:43. > :22:45.as a bit of a threat, particularly to jobs as they become
:22:46. > :22:48.capable of more and more tasks. But at Europe's biggest
:22:49. > :22:50.robotics event all the talk The idea is that collaborative
:22:51. > :22:55.robots will work with humans Our technology correspondent Rory
:22:56. > :23:12.Cellan-Jones reports from Paris. In Paris this week you can meet all
:23:13. > :23:18.kinds of robots. These once dance. This one is more practical, cleaning
:23:19. > :23:24.your barbecue grill. For decades industrial robots have been doing
:23:25. > :23:30.tasks. Robots have been in factories for years, but they're locked away,
:23:31. > :23:34.seen as a threat to jobs. The new emphasis is on collaborative robots
:23:35. > :23:40.you can work alongside and see almost as a work mate, perhaps have
:23:41. > :23:44.a joke with. They're getting better at learning human tasks, but the
:23:45. > :23:51.people building them say we should see them as friends not foes.
:23:52. > :23:53.What other business stories has the media been
:23:54. > :23:56.Mike Amey, managing director and portfolio manager at Pimco
:23:57. > :24:06.We mentioned what was your first job? Pretty glamorous, I stacked
:24:07. > :24:14.chickens in a frozen chicken factory. Mine was a pie factory.
:24:15. > :24:22.Were you next to a conveyor belt. I was just earlier in the line. Do you
:24:23. > :24:28.eat chicken now? Yes. Now, I can't eat pies. It was a well known
:24:29. > :24:35.retailer. My first job was a summer camp leader. Great responsibility.
:24:36. > :24:42.Getting everybody toeing the line. I had to teach orienteering. Two of
:24:43. > :24:46.the kids went missing in the woods! This story is in the Daily
:24:47. > :24:52.Telegraph, what jobs did the world's top business people do before they
:24:53. > :25:03.were millionaires. Everyone can recognise Richard Branson. We know
:25:04. > :25:09.what he was up to. But Jeff Bessos, the founder of Amazon worked in
:25:10. > :25:13.McDonalds. A number just had regular jobs that we have all had. It gives
:25:14. > :25:16.you experience, if you're going to you experience, if you're going to
:25:17. > :25:22.run a big company, if you have plenty of experience that is what
:25:23. > :25:29.they're looking for. It is a good grounding to start off stacking
:25:30. > :25:37.chickens or... Mine was a figure skater. The CEO of net flicks, he
:25:38. > :25:47.was a vacuum cleaner seamsman. -- Salesman. If you can sell that...
:25:48. > :25:52.... You can do well. Thank you for coming. We will be back tomorrow.
:25:53. > :25:55.See you soon. Goodbye.