:00:16. > :00:20.Hello and welcome to World Business Report. I'm Alice Baxter. The
:00:20. > :00:23.headlines: headlines: ut of time to avoid a budget crisis. American
:00:23. > :00:29.politicians politicians to reach a deal on the country's spending
:00:29. > :00:39.After 20 years at the top, Ratan Tata, head of India's biggest
:00:39. > :00:43.
:00:43. > :00:50.company, st company, st We look at his legacy. The owner of the Fukushima
:00:50. > :00:55.nuclear power plant is sued over radiation exposure.
:00:55. > :01:00.but death and taxes. In America, you might also add political stand
:01:00. > :01:03.as liff, as it has become known, is about
:01:03. > :01:08.Democrats and Republicans reaching a deal on tax hikes and spending
:01:08. > :01:11.cuts that will automatically kick in on 1st January. They have known
:01:11. > :01:17.about it for years but the talks are going down to the wire.
:01:17. > :01:20.President Obama will meet some of the key congressional figures today.
:01:20. > :01:22.The leader of the Democratic Party majority in the United States
:01:23. > :01:31.Senate, Harry Reid, says politicians are running out of time
:01:31. > :01:38.to avoid a budget crisis. It is the countdown to midnight. The start of
:01:38. > :01:48.a new year. But this year, the American people are waiting for the
:01:48. > :02:00.
:02:00. > :02:05.be a good -- ball to drop but it Next year, Americans will have less
:02:05. > :02:10.then this year. We are coming up against a hard deadline. This is a
:02:10. > :02:15.conversation we should have had months ago. Republicans are not
:02:15. > :02:19.about to write a blank cheque for anything Senate Democrats put
:02:19. > :02:26.forward, just before -- because we fiscalthe
:02:26. > :02:31.fairt be fair to the American people. That,
:02:31. > :02:37.having been said, we will see what the President has to propose
:02:37. > :02:41.Fulstow and then we will decide how to best proceed.
:02:41. > :02:44.Ben Thompson looks at the options from the floor of the New York
:02:44. > :02:48.Stock Exchange. On Thursday, the early optimism on the market gave
:02:48. > :02:54.way to concern that a deal would not be reached and America's
:02:54. > :02:59.economy will after all tip-off the sides are blaming each other for
:02:59. > :03:03.failing to agree a deal and the battle lines are drawn between the
:03:03. > :03:08.Republicans and the Democrats. So, what actually happens if lawmakers
:03:08. > :03:13.failed to come to the table? The deadline means automatic spending
:03:13. > :03:22.cuts and tax rises will come into force and that could cost the
:03:22. > :03:26.average American 3.5 -- family about $3,500, which could plunge
:03:26. > :03:30.the economy back into recession. But that is the worst case scenario.
:03:30. > :03:34.The markets expect a deal to be done in the early part of next year.
:03:34. > :03:39.In the short-term, that could limit economic damage, meaning firms
:03:39. > :03:43.would continue to invest and hire new staff and consumers would still
:03:43. > :03:48.be up their spending. But critics say this is now more about politics
:03:48. > :03:52.than it is about what is best for America's economy. Both sides are
:03:52. > :04:02.trying to gain political points from this whole debate. Reaching a
:04:02. > :04:07.necessary for political sacrifice Ratan Tata is one of India's most
:04:07. > :04:10.internationally recognised business leaders. Today he is stepping down
:04:10. > :04:14.as the chairman of Tata after more than two de than two deroup.
:04:14. > :04:17.It is the largest business in the country, with a history that spans
:04:17. > :04:22.more than a century. Taking over from him is the relatively unknown
:04:22. > :04:32.Cyrus Mistry. We have been finding out what Ratan Tata's legacy will
:04:32. > :04:36.
:04:36. > :04:46.He has been in the driver's seat for more than two decades. Rutten
:04:46. > :04:47.
:04:47. > :04:56.carter - the head of India's biggest business house. -- return
:04:56. > :05:04.Tata. It 14 global recognition. Established 144 years ago, the
:05:04. > :05:09.company was steered by one of India's most respected business
:05:09. > :05:15.tycoons. It is now India's largest conglomerate, with over 100
:05:15. > :05:21.companies, ranging from steel to cars, Telecoms, retail and even tea.
:05:21. > :05:28.economy economy was liberalised, giving him
:05:28. > :05:37.an opportunity to expand abroad. went all over the world. He set up
:05:37. > :05:47.camp was in China, canvases in the US, he poured cement companies in
:05:47. > :05:48.
:05:48. > :05:56.Singapore, and he set up in Europe. acquired a UK company and it was
:05:56. > :06:03.the biggest acquisition by a UK -- and Indian firm. It became a bigger
:06:03. > :06:11.national issue than we ever felt it would be. Deep down in my heart, I
:06:11. > :06:21.felt that if we lost, it would not just the ass that would be sad. sad.
:06:21. > :06:25.There would be great disappointment in India. -- just us. I had a big
:06:25. > :06:31.responsibility to my country. This It se.
:06:31. > :06:37.It has not been financial success only. The company has been credited
:06:37. > :06:45.with turning around one luxury car maker, which it took over in 2008.
:06:45. > :06:50.There is a general respect for the brand in India. And his -- he has
:06:50. > :06:55.upheld its legacy. He has often shied away from the media but he
:06:55. > :06:58.said to love driving cars in his spare time, which he plans to
:06:58. > :07:03.pursue in retirement. His successor is the lesser known Cyrus Mistry
:07:03. > :07:11.and he would be put to test almost immediately, taking over when both
:07:11. > :07:15.the Indian and global economies are Reports that US sailors are suing
:07:15. > :07:18.Japan's Tokyo Electric Power Company are emerging. They claim
:07:18. > :07:26.the company did not tell them the true extent of the radiation
:07:26. > :07:35.exposure. Mariko Oi has been following the story.
:07:35. > :07:41.What do you have on this? As you say, As you say, case
:07:41. > :07:45.at the US federal court in San Diego. The date was 21st December.
:07:45. > :07:52.We are just starting to see the reports. They were involved in
:07:53. > :07:56.relief operations after the last year. But they say Tepco, the
:07:57. > :08:03.owner of the nuclear power plant, lied about the dangers level of
:08:03. > :08:08.radiation and as a result they were exposed. There are no details about
:08:08. > :08:13.how much they were exposed to but they are all seeking $10 million
:08:13. > :08:18.each for damages and they what the company to set up a $100 million
:08:18. > :08:23.fund for their mediceir medic call Tepco for their comment. The
:08:23. > :08:26.company says it acknowledges the lawsuit but they have not received
:08:26. > :08:33.the written the written comment yet.
:08:33. > :08:39.And Tepco shares have been doing well. Tell us why.
:08:39. > :08:42.Despite all of this -- these compensation claims, the shares
:08:42. > :08:46.have been doing well because investors that the new government
:08:46. > :08:50.under Shinzo Abe will allow the company to company to ome of its
:08:50. > :08:55.nuclear reactors. Tepco has repeatedly said it needs to restart
:08:55. > :09:00.some of its reactors in order to start making money. But of course
:09:00. > :09:03.only two out of 15 are in operation. They are not operated by Tepco. The
:09:03. > :09:07.government has been quite vague on what they will do about nuclear.
:09:07. > :09:11.One minister said having zero nuclear energy was impossible,
:09:11. > :09:15.while others say they will spend three years to decide how to phase
:09:15. > :09:23.out of nuclear. But if you look at how investors are reacting, they
:09:23. > :09:25.are betting the new government will The software company HP says that
:09:25. > :09:31.American authorities are now investigating its purchase of
:09:31. > :09:37.Britain's Autonomy. HP bought the British firm back in 2011 and a
:09:37. > :09:40.couple of months ago accused the company of inflating its books.
:09:40. > :09:45.Autonomy has firmly denied this. The UK's Serious Fraud Office is
:09:45. > :09:48.already investigating the deal. Hopes have dimmed that 350,000
:09:48. > :09:54.Spanish retail investors will get their money back from the failed
:09:54. > :10:03.bank Bankia. A government report said the lender had a negative
:10:03. > :10:07.value because of huge losses on bad loans. It is valued at -$5.6
:10:07. > :10:10.billion. The bailed out bank only started trading last year and the
:10:10. > :10:14.shares were bought largely by ordinary Sp ordinary Sp big
:10:14. > :10:18.investment funds. The boss of Apple, Tim Cook, will
:10:18. > :10:22.take home just 1% of what he earned last year. In a regulatory filing,
:10:22. > :10:29.the company behind the iPhone and iPad said he would get a salary of
:10:29. > :10:39.million. The previous year, he earned $378 million, mostly from
:10:39. > :10:45.