28/11/2012 World Business Report

powers. Now for the latest financial news with World Business

Report. Job cuts and branch closures: the likely terms and

conditions of Europe's financial aid to the Spanish banking industry.

After coming close to collapse the new boss of the 170-year-old travel

firm Thomas Cook is expected to The Filipino economy has registered

strong growth despite the weaker global economy. They say nothing in

life is free and nowhere is that more applicable than international

bailouts. The Spanish banking industry finds out later today the

price of its financial support, with an announcement from the

European Commission at around 1030 GMT. In effect it's likely to

include a demand for around 8,000 jobs cuts and branch closures,

reports suggest around 1,000. The European commission had pledged up

to 100 billion euros back in June. Yesterday it emerged that about 37

billion euros has been requested and would be released next month.

Tom Burridge has more from Madrid. What we expect is lots of job

losses, thousands of jobs going. Report in the media say 6,000 jobs

at the banks. The fourth-largest bake in Spain was nationalised over

the summer. It has huge problems because of this construction boom

here. It will form an amalgamation with seven regional savings banks.

Other reports say about 2000 jobs will go from the other bank up in

the north of Spain and also at thousands at the Catalonia's Bank

and lots of job losses with plenty of bridge closures. Many people in

Spain have preferential shares and many elderly people have them which

almost seemed too good to be true back in the good times before this

crisis began and people have now protested about the amount of money

that people have lost all their savings. They had invested in those

schemes are essentially and what we may get us part of the conditions

is how much of the assets the banks need to recognise and that will

affect the people and affect people working at the banks with those job

losses. The banks are doing their part of the bargain and they will

receive tens of billions of euros of eurozone money and that will not

come for free. It's an important moment for Harriet Green, the new

boss of the world's oldest package holiday company Thomas Cook. She

was installed after the company came close to collapse, only

surviving because of hundreds of millions of dollars in financial

aid. Ms Green gives her first update to investors today with the

firm's annual results. She's expected to announce swingeing job

cuts as well as an increase in underlying profit as Brits got fed

up with the wet summer and snapped up deals to Turkey and Greece. As

up risings lead in Egypt, Thomas Cook cancel the package holidays.

The losses totalled $600 million. Even in March of this year, when

tourists returned to Africa, but losses continued. In March they

topped $1 billion and Thomas Cook needed refinancing from its

creditors. It was not the Arab spring but a deeper problem. When

you Google Thomas Cook you see cheap holidays and that is not the

message the market wanted to hear from this strong brand and they

expected to be taken to some amazing places that they could not

organise themselves at those prices. The new Chief Executive Harriet

Green is trying to solve the problems by slashing costs. Many

highly paid executives have left since she took over. She says more

managers will go. She also cuts the size of the air fleet which has 200

travel shops closed and some holidays may be probably

traditional glossy brochure but her company will now use the internet.

This makes the compa effective but is it a better travel

agency? My personal view is that it does not. There's a number of

analysts that say they're going back to the high street agencies.

They are spending bigger money and they want to put a holiday in the

hands of a professional and not from an application on the mobile

phone or going by train. Thomas Cook is 170 years old. It's the

most experienced package holidaymaker but in the days of

budget holidays, the challenge is that more trouble agents need to go

upmarket. The Philippines has seen much stronger than expected growth

in the third quarter. To explain why lets go to our Asia business

hub in Singapore and join Sharanjit Leyl. What other secrets to the

success? Those secrets apparently are about consumer and government

spending which is seen as a recovery. There has been a recovery

in exports. The growth was about 7.1%. That indicates how much the

economy grew. That was unexpected. It was expected to be about by 0.4%.

It's a fast pace. These numbers come in spite of the global economy.

That may ease the pressure on the Central Bank to cut interest rates.

The Filipinos and Rebecca has cut rates ball times this year. They

are trying to sustain growth. There were some cuts earlier Loring back

to 3.5%. Bat says decent debate may not cut them any time soon. The

other economy is Thailand. It will unveil its interest rate decision

in a few hours and they may well leave them unchanged after cutting

the interest rate last month. It may stay at 2.75%. The policy

makers will meet shortly. Shares in Russia's second-biggest mobile firm

Megafon begin trading in London today. The company is owned by

Alisher Usmanov, one of the country's richest men and backer of

Arsenal football club. The public offering is expected to raise some

$2 billion for the company. It was originally supposed to start

trading in October but was delayed after Goldmans Sachs, who were

working on the deal, resigned because of concerns about the way

the company was run. Analysts say the company is set to grow. Be it

in good shape. The Russian telecom market and mobile telephones is one

of the most stable markets in Russia. That in comparison to be

oil stocks and other sectors like utilities and metal and next year

we think the growth in that segment will continue and most of that

growth will come from internet services and they have a strong

position in that market. There's reports that the manager behind the

Apple map has been fired. The application was introduced on the

new iPhone 5, replacing Google maps. But technical difficulties caused

so many complaints that Apple's chief executive Tim Cook was forced

to apologise and recommended consumers use rival location

websites. Now it appears that the man who oversaw the mapping team,

Richard Williamson, has apparently been pushed out. America has

stopped short of declaring that China manipulates its currency to

gain unfair trade advantage. But the US Treasury did say that the

yuan is significantly undervalued. In its semi-annual report, it said

Beijing did not meet the criteria to be called a currency manipulator

in a move which could have sparked US trade sanctions. The head of

Goldman Sachs, Lloyd Blankfein, is reported to be among the business

leaders meeting President Obama today to discuss the US economy.

President Obama is looking for their support as he races to reach

a deal with Republicans by January to prevent automatic tax increases

and spending cuts, the so-called fiscal cliff. Apparently concerns

about at this core cliff if conditions and politicians cannot

sort that out there are concerns the US economy may revert to