:00:02. > :00:12.eurozone countries Greece having it rating downgraded.
:00:12. > :00:14.
:00:14. > :00:18.Now it is time for the World business news.
:00:18. > :00:23.Here are the headlines: The euro reels after an unexpected downgrade
:00:23. > :00:32.for Italy. The Russian government to strike
:00:32. > :00:39.oil giant Yukos? Japan's Defence Minister says that
:00:39. > :00:49.confidential information from a major defence contractor was not
:00:49. > :00:50.
:00:50. > :00:56.For European officials trying to solve the debt crisis in Europe,
:00:56. > :00:59.there are fresh concerns. Italy's cred rating has been downgraded.
:00:59. > :01:06.They say the outlook for growth is worsening and they have concerns
:01:06. > :01:11.about the government's ability to act decisively. Only last week, the
:01:11. > :01:15.Italian government implemented an austerity plan but there has been
:01:15. > :01:19.disagreement within the government. Stannard then paused warns marginal
:01:19. > :01:24.growth make it difficult for the country to achieve new targets. The
:01:24. > :01:32.government debt was 190 % of quoted domestic product last year. More
:01:32. > :01:41.than any other country after Greece. To get an analysis, I am joined by
:01:41. > :01:49.a senior strategist. In terms of Italy, this is a serious wake-up
:01:49. > :01:54.call for the government. We have had two rounds of cuts from the
:01:54. > :02:01.government so far, totaling 100 billion. It is not so much the
:02:01. > :02:11.deficit that is a problem. If the austerity package goes through, it
:02:11. > :02:12.
:02:12. > :02:17.will make a different. 4.6% of European deficits is dead. The debt
:02:17. > :02:21.to GDP ratio is the second highest in Europe. -- his debt. That is
:02:21. > :02:28.what this is about. It is all very well having cuts but you have to
:02:28. > :02:31.pay this debt of. That is the big worry. That is what S&P is saying.
:02:31. > :02:34.Interesting this should come from S&P this week. Italy did pass
:02:34. > :02:39.through those austerity measures last week which was seen as a good
:02:39. > :02:45.thing. There is talk about China are buying up Italian debt.
:02:45. > :02:48.Berlusconi did persuade a bank to buy their debt. So good news coming
:02:48. > :02:58.to them. The austerity measures announced by the Italian government
:02:58. > :03:07.and agreed do not come into effect until 2012 or 2013. So we have this
:03:07. > :03:17.gap. The worry is not one only economic but political. Are they
:03:17. > :03:18.
:03:18. > :03:21.taking this seriously? Thank you. See you later.
:03:21. > :03:27.Staying with the debt crisis for a bit longer. Greece will resume
:03:27. > :03:31.talks with officials from the youth and the IMF today. The Greek
:03:31. > :03:36.finance minister described a Monday's talks as productive answer
:03:36. > :03:44.estancia. They are under pressure to deliver on promises to improve
:03:45. > :03:51.tax collection. Head of the World Bank said that so far the measures
:03:51. > :04:01.taken by Europe to tackle the debt crisis has been an exercise in
:04:01. > :04:12.
:04:12. > :04:17.buying time. He said it was time to tackle the problem. It is useful,
:04:17. > :04:21.it stems the crisis and buys time. But the fundamentals have to be
:04:21. > :04:26.addressed and that is, trying to figure out how to deal with the
:04:26. > :04:29.sovereign debt problem, the Bank problem and for some problem,
:04:29. > :04:34.competitiveness. That goes to court questions about the future of the
:04:34. > :04:38.eurozone. And one direction is, you design a physical union too closely
:04:38. > :04:43.match the monetary union. They are many ways that can be done. If you
:04:43. > :04:46.do not do that and face that, you will have to manage the
:04:46. > :04:51.consequences that countries have taken on too much debt. And all
:04:51. > :04:56.Europeans can make that decision. My point is, they have to make it.
:04:56. > :05:06.That was the head of the World Bank. One of Russia's most biggest and
:05:06. > :05:08.
:05:08. > :05:11.profitable companies saw its head thrown in jail for some years ago.
:05:11. > :05:15.We now look at whether it was deliberately destroyed by the
:05:15. > :05:22.government and whether money should be paid out in compensation.
:05:22. > :05:29.When the government first started chasing them in 2002, they said it
:05:29. > :05:34.evaded $27 million in tax. Its assets were split up among other
:05:34. > :05:37.firms. This man was jailed. The European Court of Human Rights will
:05:37. > :05:41.today rule on a long-standing complaint from the directors of the
:05:41. > :05:43.company, that the Russian government abuse its tax
:05:43. > :05:48.enforcement powers. It will depend excessively to drive the company
:05:48. > :05:56.out of business. They have mounted a strong defence. The Russian
:05:56. > :06:01.government is maintaining that the managers of the company are known
:06:01. > :06:07.prisoners. They maintain they are known of tax evaders. This has been
:06:07. > :06:10.their line since 2003 when the raid by the tax authorities happened.
:06:10. > :06:20.Brasher is a symmetry to the European Human Rights Convention
:06:20. > :06:24.
:06:24. > :06:32.and every year, dozens of cases are taken to the courts. -- Russia is a
:06:32. > :06:37.signatory. $98 billion is a lot of money to pay but there are doubts
:06:37. > :06:45.among overseas investors. Questions about whether Russia respect the
:06:45. > :06:51.rule of law. It is trying to sell state assets. Trying to get
:06:51. > :06:57.investors in. But there is a long shadow cast on them. It is daring
:06:57. > :07:02.investors away. It is expected the company will appear if it thinks
:07:02. > :07:06.the reputation has been harmed. There was a recent ruling on a
:07:06. > :07:10.personal complaint. This sense of the government from mistreating him
:07:10. > :07:18.at the trial. The court rejected accusations that his arrest was
:07:18. > :07:22.politically motivated. The company has been keen to talk that up.
:07:23. > :07:27.One of Japan's most important defence contractors has been
:07:27. > :07:33.reportedly attacked by the internet. They say some of Mitsubishi's
:07:33. > :07:39.computer systems have been access. We speak to at Rico Hizon in
:07:39. > :07:43.Singapore. Quite the sensitive business this company operating?
:07:43. > :07:48.Absolutely. Mitsubishi is a key defence contractor up to the
:07:48. > :07:57.country's defence industry. They build fighter jets and weapons,
:07:57. > :08:02.including surface-to-air missiles. Basically, they won more than $3
:08:02. > :08:05.billion worth of deals from Japan's Ministry of Defence over the last
:08:05. > :08:09.year. That is nearly one-quarter of the Ministry's spending that here.
:08:09. > :08:15.Amid this ongoing cyber attack, the Defence Minister has been very
:08:15. > :08:19.cautious with his statements, saying he is not aware that
:08:19. > :08:23.classified information was leaked or compromised. A Mitsubishi
:08:23. > :08:27.spokesman also denied further comment, saying it is still being
:08:27. > :08:32.investigated. They will come up with a report by the end of the
:08:32. > :08:38.month. This hacking impacted the shares of the machinery and man of
:08:38. > :08:48.factoring, which has also helped the US develop its missile shield.
:08:48. > :08:53.It is not the only company targeted. Other similar companies have been
:08:53. > :08:57.hacked this year. Thank you. Squeezing one more story in.
:08:57. > :09:01.Canada's government will take action to stop the strike of Air
:09:01. > :09:06.Canada. Almost 7,000 flight attendants are threatening to
:09:06. > :09:09.strike over wages and pensions. The government says it will register a
:09:09. > :09:14.legislation to force them to go back to work. Attendance have been
:09:14. > :09:17.working without a contract since the end of March.
:09:17. > :09:21.Many of the share markets are treading water. They were down not
:09:21. > :09:25.so long ago on the story about Italy. Japan took a bit of a knock.
:09:25. > :09:29.It was closed yesterday for a public holiday. Companies like Sony
:09:29. > :09:34.are being hit today. They are catching up on yesterday's losses.
:09:34. > :09:39.Today the news about Italy reminded us all that the eurozone economies
:09:39. > :09:47.are in a dire Strait. A lot of concern. The euro is down now for
:09:47. > :09:57.three days in a row. That is a look at the main business stories. I
:09:57. > :10:01.
:10:01. > :10:08.will see you later for a look at For some more news from the UK.
:10:08. > :10:12.Photographs have been released of the four miners who died last week.
:10:12. > :10:17.A BBC programme has been given access to the rescuers and
:10:17. > :10:21.emergency service people who were involved.
:10:21. > :10:25.Images of a journey which began with hope and ended with tragedy.
:10:25. > :10:30.These rescue teams struggled for a day and a half to reach the miners.
:10:30. > :10:34.The tunnels blocked the debris from a sudden violent flood. To the end,
:10:34. > :10:43.they hope to find at least one person still alive. We just wanted
:10:43. > :10:47.to get them back. We would have moved that mountain if we have to
:10:47. > :10:52.get those people. They trained the mineshaft but could not save the
:10:52. > :11:02.miners. The news kept getting worse until finally, the last body was
:11:02. > :11:06.
:11:06. > :11:09.found. After 36 hours on site, we are ready for home. Charles Bresnan
:11:09. > :11:13.had just marched 40 years of marriage. David Powell was
:11:13. > :11:21.described as the life and soul of his family. Phillip Hill had been
:11:21. > :11:26.trying to deal with the recent tragedy. Hundreds joined this
:11:26. > :11:31.memorial service on Sunday night. One of many around the region. It
:11:31. > :11:41.is five days since the tragedy. But the pain will be slow to heal. For
:11:41. > :11:47.
:11:47. > :11:51.some in this quiet Welsh valleys, Coming up: Breakfast as well as the
:11:51. > :11:56.day's news, business and sport. More on new plans for the energy
:11:57. > :12:06.industry, emerging from the Lib Dems Conference. All of that and
:12:07. > :12:11.
:12:11. > :12:16.This is BBC World News. The headlines: The President of the
:12:16. > :12:23.Palestinian Authority says he will apply for full UN membership of the
:12:23. > :12:29.Palestinian state later this week. Does but -- despite pressure from
:12:29. > :12:34.the US not to do so. Activists in Yemen say at least 50
:12:34. > :12:39.people have been killed in the past two days after a fresh crackdown on
:12:39. > :12:43.anti-government protesters. The Greek government says drilling
:12:43. > :12:48.for gas in waters south of Cyprus has started, despite repeated
:12:48. > :12:51.warnings from Turkey. Our correspondent is in Istanbul and
:12:51. > :12:57.says the turkey has threatened to retaliate by sending exploration
:12:57. > :13:01.ship into waters controlled by Turks.
:13:01. > :13:08.The island is divided. Turkey occupies the more than half and
:13:08. > :13:13.they argued that there are talks going on to reunify. But until they
:13:13. > :13:16.are completed, it argues the government has no right to start
:13:16. > :13:21.exploiting the resources in the sea that should belong to all of the
:13:21. > :13:24.people of Cyprus. Italy's credit rating has been downgraded by the
:13:24. > :13:34.agency Standard & Poor's. And Greece remains locked in crisis
:13:34. > :13:37.
:13:37. > :13:43.talks obit steps. -- talks over its Beginning with the business pages