13/06/2012 World Business Report


13/06/2012

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fighting fires. You're watching the World Business Report on BBC.

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Ted mac time they have some explaining, the bass of J P McGann

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chase would tell US lawmakers how this traders managed to lose $2

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billion earlier this year each -- J P McGee and chase. Does the best of

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WPP deserve a 60% pay rise -- J P Mogan Chase. Share prices of Esprit

:00:45.:00:55.
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drop as the chief executive officer resigns.

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It is not often you get to here one of the nicknames in banking

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apologise and they did not come much begat then Jamie Diamond, PTT

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executive of JP Morgan Chase. He appears before a p banking Senate

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committee to explain how his company lost $2 billion in cash --

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the chief-executive. The tables have turned on the boss

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of the biggest US bank, James diamond must explain to lawmakers

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what happened to $2 billion that JP Morgan Chase last in a risk of bad

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investment offers -- Jamie diamond. It is not just an expensive mistake,

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fog is chief-executive, it is also embarrassing. -- Thurlby is. He

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will stress that this was an isolated event. He will point out

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that the bank did not lose any client, customer or taxpayer money.

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Critics argued that as the man at the top, he should have known

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better. He is the boss, he can say that we do not want to do this. I

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think he probably approve the activity in general. I suspect that

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it was packaged as a hedge, offsetting other risks in the bank.

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It got out of control. Now, experts say that it looks like the industry

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must remember the lessons learned from the mowed down four years ago.

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The arguments that Mr Diamond has been making that access regulation

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is a problem, rather than unregulated banks, that takes a

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huge hit. If Jamie Diamond cannot 11 of this banks, can anybody bound

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this banks? -- cannot than one of this banks. -- cannot manage.

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shaping up to beat the latest battle in the shareholder spring at

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the Annual General Meeting of the advertising group WPP in Dublin.

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Shareholders will be voting on where they its chief executive Sir

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Marton sale should have had a pay rise of 60%. He already has a basic

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salary of $10.5 million per year. WPP has much to bloody trumpet

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about, from a smile firm making wire baskets, it has become the

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biggest advertising group. -- a smile firm. WPP increased global

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profits by one the last year. -- eight smile firm. Best-educated

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executive should not have been given his 60% pay rise. -- critics

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say it the chief executive. It is not Investment fattier, but it is

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not Stella. The performance is average, it is being watched by a

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stellar company. This is the latest skirmish in the shareholder spring.

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Five times in recent months, investors have revolted against the

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rewards can do to top executives in UK-listed companies by their boards.

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The chief executive says he will fight the shareholder rebels. He

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should not be confused with British banking bosses which first spark

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shareholder anger. -- first sparked. He says that WPP is profitable and

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last year became the biggest advertising firm in the world.

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of his strategic decisions were made earlier on, such as the

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integrated matter of communication across multiple platforms going

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into emerging markets. And, of class, having a multi- global set-

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up Office says in 100 countries. Recently, that has not justified

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the dividend that he is now reaping -- over 100 officers. The chief

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executive gets $15 million per year and the de BP chairman says that

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his pay should be in the same league.

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Were attacking a lot about chief- executive of the service and the

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press said they are under. The chief executive of Esprit is on the

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move. Tell us more about the story. On the move, as you say, indeed the

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share price of Esprit it is on the move. It had its deepest Balham in

:06:17.:06:27.
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15 years on the Hong Kong Stock Exchange. -- its steepest of fall.

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It has been trying to restructure its operation for profitability.

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Its shares have thirled by 22% today. His is the second senior

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executive to lead -- to leave their company -- his is, p shares have

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thirled by 22%. -- have Cleland. -- fallen.

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Tell us about the markets. Monday there was a strong rally, Tuesday

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there were losses. How is it today? It seems like today we will see an

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extent at last there the Asian markets. Then there's a brief rally

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Ali today, now they are drifting Lionel Bowen, amid persistent

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worries a pub at Spain, Italy and Greece end euro policy makers can

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stem the crisis -- earlier today, they are now drifting lower.

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The euro is weakening in Asian trade. Investors are fully into

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fail-safe currencies such as the US greenback and the Japanese currency.

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Let's now squeeze in some other business stories. Today, the body

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which approves the domain names is taking action against a list of

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2000 staff X-ers -- suffixes. The internet operation has assigned

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Names and Numbers is organising the expansion. It will be opened up

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like never before. We have 22 domains today. Where now opening up

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to it 1,900 new applications, many of those could be successful. It

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will include international domain names, domain names in other

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language scrips. Spanish debt will be under scrutiny on the markets

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today, the yield on interest rate on ten-year Spanish government

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bonds hit a record 6.8% on Tuesday. It shows investors are cautious

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about the prospects for Spain despite the 100 billion euros bail-

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