:00:00. > :00:00.their boat capsized near the Bahamas. Those are the latest
:00:00. > :00:20.headlines. Now it is time for World Business Report.
:00:21. > :00:26.A surprise jump in revenue at Hewlett`Packard causes shares to
:00:27. > :00:39.rise over 7%. Risk sales of enterprise computers out ways and PC
:00:40. > :00:45.sales. The largest shareholder in Alitalia has refused to contribute
:00:46. > :00:52.money to keep the airline alive. Hello, and welcome. Also in the
:00:53. > :00:56.programme, we focus on the rising cost of living in Brazil, where even
:00:57. > :01:02.the price of a football ticket is now out of reach for many. First of
:01:03. > :01:14.all, investors were braced for a bad news from Hewlett`Packard, but got
:01:15. > :01:19.just the opposite. Share prices rose by 7%, after it was announced that a
:01:20. > :01:25.2% rise in sales had been enjoyed by the company. The news has inspired
:01:26. > :01:28.cautious optimism as the 70 year old company struggles to keep up with
:01:29. > :01:37.shifting consumer demand for smaller, portable devices.
:01:38. > :01:40.Today's personal computing power is now in pockets and handbags across
:01:41. > :01:46.the world, and that has left the traditional PC in big trouble. And
:01:47. > :01:50.that matters to HP, because personal computing makes up around a third of
:01:51. > :01:53.all sales. It has stuck with a business which is largely in
:01:54. > :02:01.decline, and unrelenting pressure from the likes of Dell and Lenovo,
:02:02. > :02:05.is squeezing profits in that market. Could he turnaround be taking hold?
:02:06. > :02:10.These latest figures are better than Wall Street expected. Sales of
:02:11. > :02:15.services to businesses help offset falls in the home computer market,
:02:16. > :02:19.which sent shares rallying more than 7%. The company is counting on Meg
:02:20. > :02:26.Whitman, it urged CEO in three years, to restore dominance in the
:02:27. > :02:33.tech sector. What we are starting to see under Meg Whitman, is a smaller
:02:34. > :02:37.more focused HP, that may not be all things to all people as they have
:02:38. > :02:40.been in the past. She has taken off the table, at least for now, the
:02:41. > :02:46.idea that they would spin out their PC business, will divest any big
:02:47. > :02:52.pieces. She says HP is better as one piece, which has advantages for
:02:53. > :02:55.suppliers and customers. For now, building and selling PCs is still
:02:56. > :03:00.crucial to HB's efforts to restore growth. The boss claims it will take
:03:01. > :03:06.five years, but that they be longer than some investors are prepared to
:03:07. > :03:10.wait. Time is running out for Alitalia.
:03:11. > :03:17.Today is the deadline for shareholders to sign up to a 300
:03:18. > :03:22.million euros investment plan, which it hopes will get the company back
:03:23. > :03:28.on track. But major shareholder, Air France`KLM, which owns 25%, has
:03:29. > :03:32.refused a plea for cash. It says the carrier cannot be saved and less it
:03:33. > :03:41.gets creditors to write off some of its 830 million euros worth of
:03:42. > :03:47.debt. I am joined by an airline analyst from Scotland. So far, some
:03:48. > :03:53.investors in Italy and also some domestic banks there, have pledged
:03:54. > :03:59.214 million euros in this cash call. You think it will get the rest it
:04:00. > :04:02.needs today? I think so. It is a very good airline with a sound
:04:03. > :04:06.business plan that he put in place before this call for cash, to make
:04:07. > :04:12.the airline viable. I think they will get the money. Tell us more
:04:13. > :04:16.about the plan. As I have said to you before, I have talked about the
:04:17. > :04:23.fact that Alitalia is on the brink of collapse for many years now, so
:04:24. > :04:26.why is this new plan going to work? I think it looks at the airline
:04:27. > :04:31.fleet and the rotation of the aircraft, and looks at the Ritz that
:04:32. > :04:37.they are good at, and where they pick up good revenue, and
:04:38. > :04:49.concentrates on those. `` the roots. You think there will be a of
:04:50. > :04:54.heart in Air France`KLM? I don't think so. I think it has to come out
:04:55. > :04:57.of the Italian banks. What about the argument that they have to see a
:04:58. > :05:01.huge amount of debt written off in order for the company to have a
:05:02. > :05:06.chance? I think it is a get out clause to try and get away from the
:05:07. > :05:11.restructuring and to try and not put the money in without losing too much
:05:12. > :05:16.face. In terms of the future full of company, and you are saying it has
:05:17. > :05:20.got a good plan and will hopefully get the money today, what about the
:05:21. > :05:23.issue of redundancies and unions? Will that not come to a head
:05:24. > :05:28.eventually for Alitalia in the future? I think it will, because
:05:29. > :05:35.they do have a very large workforce, and if they are scaling down the
:05:36. > :05:41.places they go they will have to make redundancies. They will also
:05:42. > :05:46.need to restore traveller confidence. If people stop booking
:05:47. > :05:50.with them it will become a downward spiral, and it doesn't matter how
:05:51. > :05:54.much money you pumping, if you are not flying people around, you are
:05:55. > :05:57.not an airline. I think the travellers need to be reassured that
:05:58. > :06:05.if they have booked with Alitalia, for they need to, certainly in the
:06:06. > :06:07.UK market you can take out airline failure protection cover. If you
:06:08. > :06:13.book your travel agency, they will work with you to rebook you if it
:06:14. > :06:17.does happen, so I think there should be a degree of traveller confidence
:06:18. > :06:25.involved in this action as well. I appreciate your time. I'm sure we
:06:26. > :06:29.will talk about this again soon. It is one of the highlights of the
:06:30. > :06:34.football calendar in Brazil, the Brazil cup final, and millions will
:06:35. > :06:38.be crowding around television sets later today to watch. Many would
:06:39. > :06:43.rather be watching live at stadium, but could not afford it. It has
:06:44. > :06:47.taken almost three years and cost half $1 billion to upgrade the
:06:48. > :06:59.Maracana Stadium for next year's World Cup. We report on the rising
:07:00. > :07:01.cost of living in Brazil, wary than football is getting too expensive
:07:02. > :07:08.for ordinary people. This is where Rio's football fans
:07:09. > :07:13.learn to shell cherish the sport from a young age. But the new
:07:14. > :07:18.Maracana Stadium, renovated for the World Cup, is expensive. Ticket
:07:19. > :07:26.prices for the cup final started over $100. For this term, it was too
:07:27. > :07:31.much. TRANSLATION: I would like to bring my whole family here with me,
:07:32. > :07:35.to watch the final. But there is no way I can afford to pay for
:07:36. > :07:41.everyone. So we came tonight for a less important match. I don't have
:07:42. > :07:46.to watch the final on television. Some improvements are being made for
:07:47. > :07:49.the World Cup and Olympics, but hearing Rio many people feel that
:07:50. > :07:55.this is bringing them more fame and fortune. Especially when it comes to
:07:56. > :08:00.real estate prices. This woman grew up in Copacabana, but has been
:08:01. > :08:07.living here for a year now. She placed $270 for a tiny studio here.
:08:08. > :08:12.Real estate prices in Rio have almost tripled since the city won
:08:13. > :08:20.the Olympic bid six years ago. I had to move out because they had no
:08:21. > :08:25.money at all to do anything else. I was just working to pay my bills and
:08:26. > :08:32.to pay my house. I just could not afford it, so I came to the favela
:08:33. > :08:38.so I could have more money to live my life, to have more quality of
:08:39. > :08:46.life. Even here, rental prices are going up, with the pacification
:08:47. > :08:52.policy. After years of hyperinflation, Brazil has enjoyed a
:08:53. > :08:57.decade of stability, but prices of food and services are on the rise
:08:58. > :09:01.again. This restaurant specialises in a traditional stew made of black
:09:02. > :09:07.beans and meat. Beans are a staple food in Brazil, but it's prices have
:09:08. > :09:12.gone up 27% in a year. Brazilians now have better wages and more
:09:13. > :09:19.buying power, but the rising cost of living are swallowing up many of
:09:20. > :09:24.these games. I have to say, when we report on
:09:25. > :09:43.food from this programme, I do start to feel rather hungry. The markets
:09:44. > :09:48.in Asia are mixed. Exporters are having a tough time on the fear that
:09:49. > :09:49.Americans won't be spending in a major way in the run`up to
:09:50. > :10:09.Christmas. Smoking should be banned in all NHS
:10:10. > :10:11.hospitals and clinics in England, according