14/03/2012 World Business Report

able to resolve a number of economic problems the country still

faces. Time now for World Business Report. The headlines: Citygroup

scraps a pay-out to shareholders after the Federal Reserve warns it

and three others may be too weak to withstand another financial shock.

After 244 years, the Encyclopaedia Britannica goes online. Wen Jiabao

says the HARDtalk is close to She is in Citigroup and three other

American banks fell 4% and after- hours trading after they failed

stress tests set by the US Federal Reserve. Citigroup, Metlife Ally

International and SunTrust did not have enough capital to with another

financial storm. 15 other banks pass the test. JP Morgan Chase --

celebrated by raising pay-outs to shareholders. How stressed should

we be about these tests? It is quite encouraging that they are

taking action to take the tests and see that they pass. Going backache

years ago, they were not having tests at this level of enforcement.

Two, it is a small number. Wells Fargo are looking fine. We are

paying out fine and in a better position. It is showing a great

will level of improvement and showing that regulators are on the

case. Why did Citygroup do so that the? Citygroup is not doing very

well. With Wells Fargo, the retail was doing excellent leaf. The banks

are restructuring. Citygroup needs to restructure. It has come a long

way. Do you think the 15th at passed the tests called, it is an

indication that the worst of the American financial sector has moved

on. We have passed the issue of the disaster. But could it happen

again? Financial disasters have a habit of coming round in a cycle.

The next one could be to do with high-frequency trading. At least

the regulators are being seen to be taking action. At least we could

look back at a crisis, and say those with the faults. Positive

action is encouragingly. Some more business news. The UK's biggest

life insurer is saying it may have to move its headquarters from

London to Asia. Prudential says the new European Union rules on how

much capital financial firms told could force it to relocate. 8080 %

of its profits last year came from Asia. It has been based in the UK

for 160 years. We are looking at options. We are looking to serve

our shareholders. The share market has been very volatile. A company

of our scale has to look at other options in case the outcome is

unfavourable. The world's third biggest retailer is saying it may

workers, Tesco, to raise the age they claim the pensions from 65 to

67. They say workers live much longer than they used to. 244 years,

and Cyclone PDL Britannica is going out of print. -- Encyclopaedia

Britannica. It is going out from book form into online. 85% of its

revenues come from online educational tools. For the first

time in 40 years, one of the world's most famous reference books

will be printed in India. This was once a proud position in many a

1950s time. Now it is going out of print. The 20 10th edition will be

its last. You can still find print editions of the Encyclopaedia

Britannica in most reference libraries. But the task of putting

these books together has always been a complex one. It is has had

to decide when a new print edition had to be produced and what to

leave an what to take out. This has all changed with the arrival of the

electronic editions. Going digital has advantages. It has more space

and it is easier to update information. But will people pay

for subscriptions to the Encyclopaedia Britannica. We could

Peedy it is free. Britannica Encyclopaedia can co-exist with

other producers. At the Brooklyn public library, you will not find a

complaint from the librarians. need to answer thousands of

questions every month through chat Andy now. We need to do that as

quickly as possible. Doing a key word search on an arm -- online

resource on mine is quicker than looking at the book and finding the

appropriate volume. If you insist on a hard copy there is always this,

are a book machine which prints books on demand. Useful for looking

for an out of date in addition. They could not find a used copy

anywhere, so we created a facsimile using this machine. They loved it

because this was an addition they had looked everywhere for. In this

digital age, the book's expensive multi- volume sets will soon belong

to a bygone era. In Asia, Wen Jiabao has been talking about all

sorts of issues as you have been hearing. He has been talking about

the currency of China. Tell us more about his take on the Chinese

currency. His is an interesting remark he made about the currency.

He said China will allow the currency to float more freely. He

also said it has risen in value by 30% since 2005. It is reaching

balanced levels. Suggesting Beijing may not allow further gains over

the currency despite pressure from abroad. America and other countries

have been complaining that China is keeping the currency undervalued to

give exporters and unfair trade advantage. But today it fell quite

sharply, down 0.25% against the US dollar. The weakest level since the

middle of December. What I did he have to say about the economy in

general. He reiterated setting new targets of 7.5%? That has a

significant it sh -- impact not just on Asian economies but

industries across the board. We were speaking to a shipping analyst

who said its future outlook depends on China because the growth or

appetite for resources has been the only silver lining since the global

financial crisis in 2008. The slowing economic growth of China is

having a significant impact not just on neighbours but all sorts of

economies. Looking at the market's in Asia. A very strong session. A

record day in America. It is all about news coming out of the