:00:03. > :00:13.marked by a parade. Those are the headlines. It is time
:00:13. > :00:16.
:00:16. > :00:25.for the money news. Here is World Business Report.
:00:25. > :00:35.The headlines: Putting Tesco back on top - a $1 billion shake-up is
:00:35. > :00:36.
:00:36. > :00:42.in store for the giant. Asian stock markets down on Spain's
:00:42. > :00:45.debt outlook. Battling to avoid a bail-out:
:00:46. > :00:55.Spain's regional leaders are under pressure from Madrid to cut
:00:56. > :00:56.
:00:56. > :01:00.billions from education. It is Britain's biggest retailer,
:01:00. > :01:08.and number three in the world. Recently, Tesco has been losing out
:01:09. > :01:13.to its rivals. This year was the first in living memory... Today it
:01:13. > :01:18.announces its annual results. It is expected to reveal a 1 billion
:01:18. > :01:27.dollar shake-up of its business. Once it was the supermarket that
:01:27. > :01:31.could do no wrong. At Christmas, customers were not impressed with
:01:32. > :01:39.Tesco's price drop. Now the chain is promising to scale back the
:01:39. > :01:45.development of giant stores and a concentration on putting staff back
:01:45. > :01:52.into stores. Tesco may be a giant of food retailing but it is
:01:52. > :01:57.relatively small when it comes to selling other items. Today it
:01:57. > :02:00.announced plans to improve its online business, allowing customers
:02:00. > :02:06.to order via an application on their phone, and collect those
:02:06. > :02:10.orders in store. At the moment, many customers use Tesco's online
:02:10. > :02:15.service for groceries. To really expand, Tesco needs to sell mobile
:02:15. > :02:23.telephones or a kitchen appliances. Then it comes up against the likes
:02:23. > :02:29.of Amazon. It will be difficult to put these items online... I think
:02:30. > :02:37.it will be a challenge for Tesco. It will be a challenge, Joe, for
:02:37. > :02:43.Phil Clarke who took over one year ago. Can this new blueprint win
:02:43. > :02:53.back customers? Can he restored Tesco to the growth it wants new?
:02:53. > :02:55.
:02:55. > :03:05.The financial markets in Asia have been given a boost. -- growth it
:03:05. > :03:09.
:03:09. > :03:13.once knew. 3.5% from 3.3% - that is one of
:03:13. > :03:18.four factors giving Asian markets a big lift today. We also have the
:03:18. > :03:23.successful Spanish bond auction which eased fears about Europe's
:03:24. > :03:27.debt crisis, a big help for investors in Asia. A boost in Wall
:03:27. > :03:33.Street stocks and investors are more optimistic about the rest of
:03:34. > :03:37.the US burning season. The IMF released its global growth outlook
:03:37. > :03:41.for the first time in more than a year and finally we have
:03:41. > :03:46.improvement in a key German sentiment survey. This has boosted
:03:46. > :03:51.investor confidence in risky assets. You have Japan, Australia, Taiwan,
:03:51. > :03:57.they are all living up more than 1%. The Philippines appears to be
:03:57. > :04:01.Asia's best performer. It ended the day on a record high. We are also
:04:01. > :04:05.watching another set of Spanish bond options on Thursday. If it
:04:05. > :04:13.passes without a problem investors are likely to become more committed
:04:13. > :04:18.to risk taking once again in Asian equity markets.
:04:18. > :04:21.In an attempt to show financial markets that it has control of the
:04:22. > :04:27.public purse, the heads of all the regions in Spain are meeting with
:04:27. > :04:32.the central government later. They will confirm how they will meet 7
:04:32. > :04:37.billion euros of savings in healthcare and 3 billion euros of
:04:37. > :04:41.cuts in education. Spain's autonomous regions account for
:04:41. > :04:46.about a third of its spending. Some of them are so badly in debt they
:04:46. > :04:50.have not paid public service contractors for months.
:04:50. > :04:55.In a former industrial park in Barcelona, people's cars have
:04:55. > :05:02.become their homes. It is the social impact of Spain's economic
:05:02. > :05:06.crisis. This man lost his job at a bakery. He says he is getting a
:05:06. > :05:15.little help. Then there are other small businesses like this shop in
:05:15. > :05:19.Madrid. A final sale before it closes down. The owner says that
:05:19. > :05:27.little by little, the crisis has destroyed his trade. TRANSLATION:
:05:27. > :05:31.Three years ago, this catastrophe, this famous crisis. It has led to
:05:31. > :05:36.us little by little to this final state. It has finished on his back
:05:36. > :05:46.off. Small businesses across Spain are struggling to survive -- it has
:05:46. > :05:50.
:05:50. > :05:55.finished us off. There are toxic asset problems and low growth.
:05:55. > :05:59.TRANSLATION: Austerity isn't enough, Spain doesn't have a debt problem,
:05:59. > :06:04.Spain has a growth problem. The problem of growth is not being
:06:04. > :06:12.addressed. That is what the markets are concerned with. It has been a
:06:12. > :06:18.tough first few months since took charge in December. The
:06:18. > :06:25.government says its reforms will help Spain get its budget deficit
:06:25. > :06:29.target for this year. The IMF is predicting that Spain will only hit
:06:29. > :06:33.its 3% of GDP target for next year it in 2018.
:06:33. > :06:39.As you have been hearing, it is 100 days until the opening ceremony of
:06:39. > :06:43.the Olympic Games. London 2012 is said to be one of the biggest
:06:43. > :06:48.commercial events in the history of sport. More than $1 billion have
:06:48. > :06:56.been raised from more than 44 sponsor companies including Adidas,
:06:56. > :07:04.BMW and British Airways. They are also 11 global sponsors who pay $11
:07:04. > :07:07.million each for one winter and one summer game. It is big business. We
:07:07. > :07:14.are speaking to the former director of the International Olympic
:07:14. > :07:18.Committee. Nice to have you here. It is a very strong brand. Yes. The
:07:18. > :07:23.Olympics are probably healthier today than they ever have been. 25
:07:24. > :07:29.years ago they were almost bankrupt. No cities wanted to host them. Now
:07:29. > :07:35.you have the greatest cities in the world chasing them. This will be
:07:35. > :07:39.the first game in a social media environment - that poses enormous
:07:39. > :07:44.challenges. Overall I think his experience will allow people to
:07:44. > :07:48.become much more engaged. It is new territory, just as Sidney was with
:07:48. > :07:53.the internet. People are still learning to understand how this
:07:53. > :07:58.will impact the commercial environment. How are they managing
:07:58. > :08:01.that? Of course, there is the whole issue within the Olympic village -
:08:01. > :08:05.those who are there to watch the athletes could all be tweeting or
:08:05. > :08:10.sending pictures, sending videos, all sorts of things. How do you
:08:10. > :08:13.manage that? That is probably the biggest issue. Stopping the
:08:13. > :08:18.athletes acting as journalists when the rest of the athletes are
:08:18. > :08:23.competing. The Olympic village was always supposed to be a sacred area
:08:23. > :08:27.to leave the athletes in peace away from the media. Now with the other
:08:27. > :08:30.athletes in their tweeting there is a risk that they will be
:08:30. > :08:35.commentating on what everyone is doing. The Olympic Committee will
:08:35. > :08:38.play some rules - they will tell the athletes they are free to tweet
:08:38. > :08:41.on their own experience, but when they are in the village, they have
:08:41. > :08:49.to respect the privacy of the other athletes. We will see how that
:08:49. > :08:52.plays out. What about this guerrilla marketing - ambush
:08:52. > :08:56.marketing? Where companies are trying to associate themselves with
:08:56. > :09:00.the Olympics but they are not actually supporting the team or the
:09:00. > :09:04.games. There are strict guidelines and rules, there has been for 20
:09:04. > :09:07.years now, to protect the funding mechanism of the Games and the
:09:07. > :09:17.exclusive rights of its partners. We will watch this with interest.
:09:17. > :09:18.
:09:18. > :09:24.Thank you for coming in. Some Other stories: Italy will
:09:24. > :09:30.unveil another forecast this year, they are expected to reveal a large
:09:30. > :09:34.a contraction of the market than expected....
:09:34. > :09:41.Warren Buffett has revealed he has been diagnosed with early-stage
:09:42. > :09:44.prostate cancer. The 81-year-old billionaire said his condition is