12/09/2014 World Business Report

News. Now for the latest financial news with Alice Baxter and World

Business Report. Safety before competition. The boss

of Emirates says rival airlines knew about the risk of missiles in

Eastern Ukraine and failed to pass on the information.

Plus, posh frocks and big bucks. Britain's multi billion dollar

fashion industry hits the catwalk as London Fashion Week gets under way.

Welcome to World Business Report. I'm Alice Baxter. In a minute,

tougher new sanctions EU and US sanctions on Russia come into force,

we'll be asking who stands to lose out. But first... The shooting down

of Malaysian airliner MH17 over Ukraine in July provoked horror and

condemnation around the world. It has also sparked a fierce debate

within the aviation industry. The question: should airlines share

information on possible dangers with rivals? One very senior figure says

it has to start happening now. Emirates Airlines president Tim

Clark has told the BBC that some airlines had long been aware of the

presence of Russian missile launchers in the area and were

taking evasive action but failed to pass that information on. Here's

what Mr Clark had to say. MH17 was a game changer for us is

for the first time, there was evidence that these missiles had

been on site for a number of weeks beforehand. I can say that we did

not know about that fact. We had a concern that that information was

known by certain stakeholders and entities and should have been passed

to a number of other... At least to the organizations that control the

industry and regulate it. We understand that certain carriers

were aware of that and had taken evasive action. I have been very

vocal about the need to share that information within the industry.

That we need to establish an information clearinghouse which

helps all of us as an industry stop some have said that there are

competitive issues but one thing is for certain, none of us within this

industry will ever compromise our safety, however hard we compete

against each other and therefore, the notion that the various

organizations should take the lead on this is something that I have

very strong support for, from all of my peer group airlines, all of whom

are competitors and all of whom agree, as an industry, this should

be done and done quickly. Glamorous, glitzy and incredibly

lucrative. The multi`billion dollar global fashion industry descends on

London for a week starting today. From the designers marketing their

latest creations to the buyers hoping to spot the trends that will

get us spending, it's a crucial time for everyone in the business.

Fashion is increasingly important to the economy here in the UK. To give

you an idea?It will contribute a record 26 billion pounds to the

economy this year according to the British Fashion Council. That's

twice what the car industry contributes. London Fashion Week

itself generates around 100 million pounds of orders each season. And

it's growing fast, sales of UK designer fashion have risen 20% each

year over the last decade despite swings in the economy. This is also

one of the few industries dominated by young women. Seven out of ten

workers in UK fashion are female and half are under 30. Samira Hussain

has been to meet one young designer hoping to make it big this year.

It is down to the final touches and this young designer is attending to

every detail. But instead of the traditional catwalk, she is doing

something a little different. This season, I am doing an exhibition as

a house which means that people can come up close to my garments and

touch them and see the print on them. That is what my methods are

based on, hand printing and screen based effects so it will be nice for

people to come and see that. She has even created a film to showcase her

work. More and more designers are doing just that using interactive

and digital ways to model their collections. But it doesn't mean

this year will be without some of the more traditional events at

London Fashion Week. Organisers are putting the finishing touches on the

main venue. Does behind me is where the catwalk will be and dozens

designers are putting on shows at a dizzying pace. Almost one every half

hour for the next five days. London Fashion Week also means big business

as British designers look to expand internationally. But the uncertainty

in some parts of Europe and economics sluggishness in some parts

of Asia in some of the top Rams could falter in those markets. The

slowdown in China could affect some of the bigger brands. It is a huge

opportunity for younger designers for them to enter into some of the

top tier cities. This could mean more possibilities for up`and`coming

designers like this one. As you have been hearing, tougher

economic sanctions on Russia by the US and the European Union are due to

take effect from today. There will be further restrictions on Russia's

access to EU capital markets, as well as curbs on European loans to

five major Russian state`owned banks. 24 new names will also be

added to the list of Russian officials and Ukrainian separatist

leaders subject to visa bans and asset freezes. Christopher Granville

is from consultants Trusted Sources. Not a good day for Russia. We are

also expecting its energy sector to be hit quite dramatically for the

first time on this latest round of sanctions, aren't we? For the first

time in European Union sanctions although they are merely following

in the footsteps of the United States which took this action back

in July. But these measures are extremely long`term. They had to do

with trying to prevent, in the long run, the most advanced technologies

for drilling oil and gas in the most challenging environments from being

made available to Russia. It would have to produce and themselves or

get them from Asia or South America. This is not designed to

hamper oil and gas production today which would be extremely damaging

for the world economy and for Europe. The important thing for the

economy and for the financial markets are the measures you just

mentioned to stop stopping market and capital flows to major

state`owned banks in Russia. This is much more serious in the short run.

This inflicts much more damage on Russia been on the countries

imposing the sanctions but Russia is braced for the damage `` than on.

Even the lighter impact that will be had on the European economy will be

much more painful because businesses and workers will wonder why they are

taking these measures et al. . What is so important `` at all. What is

so important? Lots of food for thought. Those expected sanctions

are coming`out of the European Union and Russia today.

A California judge has fined computer giant Hewlett Packard 58.8

million dollars for bribing Russian government officials. HP had pleaded

guilty to violating the Foreign Corrupt Practices Act by paying to

secure a major IT project with the Office of the Prosecutor General in

Russia. A quick look at the markets. Over in Asia, a mixed

picture this hour. That is all for me this hour.

Eight cities in England are calling for more powers to be devolved from

Whitehall. Council leaders from across the country are due to report

why they believe that significant decentralisation in England should

follow the Scottish referendum ` whatever