:00:00. > :00:17.Now for the latest financial news with Sally.
:00:18. > :00:20.It will take longer and cost a lot more.
:00:21. > :00:22.That's the warning from the boss of Volkswagen
:00:23. > :00:27.about its deal with US authorities over its emissions testing scandal.
:00:28. > :00:30.Banking giant Barclays is set to reveal its full year results,
:00:31. > :00:40.but is it going to pack up and leave Africa?
:00:41. > :00:48.Also in the programme: Further signs of slowing growth in China
:00:49. > :00:50.but this time the services sector is also week.
:00:51. > :00:52.Our team in the region will have the details.
:00:53. > :00:55.But first: It is confirming investors worst fears
:00:56. > :00:58.and brings back memories of BP's long and costly battle with the US
:00:59. > :01:03.Now it's the turn of Volkswagen's boss to warn that a deal with US
:01:04. > :01:05.authorities over its emissions scandal could take
:01:06. > :01:20.Talking to our correspondent at the Geneva Motor Show Matthias Mueller
:01:21. > :01:23.explains the german car giant has commissioned a US law firm, Jones
:01:24. > :01:32.Recent press reports in Germany have suggested the former chief executive
:01:33. > :01:34.Martin Winterkorn was aware far sooner than first suggested.
:01:35. > :01:48.This is what Mueller had to say to Theo Legget.
:01:49. > :01:56.TRANSLATION: Highland not take part in the speculation in the press. --
:01:57. > :02:01.I will not take part. We will be better off waiting for the
:02:02. > :02:08.investigation. We are all impatient. I think we should wait for a couple
:02:09. > :02:13.more days. Jones day and Volkswagen will publish a report in April. We
:02:14. > :02:17.will then know the story. We should be careful and not pre-empt the
:02:18. > :02:23.result. Are you confident the scandal could not happen again?
:02:24. > :02:27.We've drawn our conclusions and learn from them. We reorganised our
:02:28. > :02:31.internal procedures and optimised them so that to the best our
:02:32. > :02:36.knowledge such a thing should never happen again. You can not be 100%
:02:37. > :02:42.sure but we are confident. Looking at the financial side of things, VW
:02:43. > :02:49.set aside 6.7 million euros to of the scandal, now that we've spoken
:02:50. > :02:56.with the lawyers and authorities in America, do you still think 6.7
:02:57. > :03:02.billion euros will be enough? First of all, 6.7 billion is the reality.
:03:03. > :03:07.We have postponed the year and financial results and the AGM to
:03:08. > :03:10.improve their quality to be even more confident and take even more
:03:11. > :03:15.care and diligence in establishing the figures. Then we will see if we
:03:16. > :03:20.have to make additional provisions over and above the 6.7 billion.
:03:21. > :03:26.Those provisions could be very large, because you also have a case
:03:27. > :03:32.by the Department of Justice. We say this is all speculation. The figures
:03:33. > :03:38.referred to range from small amounts to very large. We will not engage in
:03:39. > :03:41.speculation. We are engaged in constructive dialogue with the
:03:42. > :03:46.American authorities. We expect them to be strong but fair and from there
:03:47. > :03:53.we see what happens over the next couple of weeks. The CEO of VW
:03:54. > :03:56.speaking to our correspondent. More of that interview on the website.
:03:57. > :04:01.It's becoming a very familiar tale but this time there is a new twist.
:04:02. > :04:03.Activity in China's manufacturing sector shrank in February,
:04:04. > :04:06.but growth in the all important services sector also slowed.
:04:07. > :04:09.The official purchasing managers' index came in at 49 in February -
:04:10. > :04:12.that is down slightly from January and worse than expected - a number
:04:13. > :04:15.The news comes just after China's central bank gave
:04:16. > :04:18.the country's financial system a major boost amounting to over 100
:04:19. > :04:21.billion US dollars - but many are asking is this enough?
:04:22. > :04:34.Lets go to our Asia business hub and join Sharanjit Leyl.
:04:35. > :04:43.Nice to see you. Tell us more. This is not good news but January is a
:04:44. > :04:51.funny month with the lunar New Year celebrations. It is indeed. You ask
:04:52. > :04:55.earlier if it was enough, the attempt by the central bank to
:04:56. > :04:58.stimulate the economy - it seems to be enough for now. Today it is
:04:59. > :05:05.providing a marginal boost to markets, at both Hong Kong and
:05:06. > :05:08.China's markets were higher earlier, reacting to news late
:05:09. > :05:14.yesterday that the Chinese central bank was adding more stimulus by
:05:15. > :05:19.cutting the amount of cash these lenders must hold in reserve. It is
:05:20. > :05:24.the first reduction since October. It comes after a string of volatile
:05:25. > :05:29.days on the mainland stock market. It also drove the Chinese currency
:05:30. > :05:33.just a little lower, raising eyebrows because it came shortly
:05:34. > :05:38.after the Chinese pledge to keep the currency stable at the G20 meeting
:05:39. > :05:42.on the weekend. We know the weak currency helps boost the country's
:05:43. > :05:46.exports, though it is accompanied like calls off our play from trading
:05:47. > :05:50.partners who say they are driving the currency lower to boost their
:05:51. > :05:53.economy at the expense of their trading partners. Thank you so much.
:05:54. > :05:55.British banking giant Barclays will reveal its results for 2015
:05:56. > :05:59.The bank's been battered by falling investment banking fees
:06:00. > :06:02.Let's take a look at its troubled times.
:06:03. > :06:04.Since the financial hurricane of 2008, Barclays has been hit
:06:05. > :06:07.by a succession of problems: Four different bosses in four years,
:06:08. > :06:18.The share price tells the story: down 40% since last summer.
:06:19. > :06:21.A big part of this is the shrinking investment bank
:06:22. > :06:24.business, it makes much less money and recently announced one thousand
:06:25. > :06:28.Meanwhile, Barclays is paying for past misdemeanours with hefty
:06:29. > :06:33.provisions for mis-selling products to its customers.
:06:34. > :06:36.So under the leadership of the recently appointed
:06:37. > :06:39.Jes Staley Barclays may now focus on its key markets, the US and UK,
:06:40. > :06:41.which bring in two-thirds of investment banking fees.
:06:42. > :06:44.A sale of its stake in Barclays Africa Group is possible.
:06:45. > :06:46.But with 12 million customers across 12 African countries,
:06:47. > :06:48.it would lose a foothold in faster growing economies.
:06:49. > :07:04.With me is Chris Wheeler, banks analyst at Atlantic Equities.
:07:05. > :07:13.Nice to see you. You used to work for Barclays. You know it extremely
:07:14. > :07:17.well. You know the African part of the business very well. Explain how
:07:18. > :07:22.it works and what is up for sale and whether it is attractive. Barclays
:07:23. > :07:30.has been in Africa 4/100 years. It got out of South Africa in the
:07:31. > :07:39.apartheid period -- for 100 years. It is in Kenya, Botswana, Uganda,
:07:40. > :07:44.owning 65% of the banks held by the empowerment group. Is it the right
:07:45. > :07:50.move and will it sell, will there be buyers? Bob Diamond, when CEO of
:07:51. > :07:54.Barclays, was bullish in Africa, because during the commodities boom
:07:55. > :08:00.it was a popular place to be with a lot of activity. That has changed.
:08:01. > :08:03.The South African economy is weak. He will have to look at improving
:08:04. > :08:07.the falling share price. I don't think Africa will do that in the
:08:08. > :08:13.immediate term. He has to get fast results. What will he say today?
:08:14. > :08:17.Annual figures are out shortly. They are not expected to be fantastic.
:08:18. > :08:23.The fourth quarter, end of last year, is expected to be brutal. The
:08:24. > :08:29.retail banking, Barclaycard business, went very well. The
:08:30. > :08:33.problem is investment banking, week in the fourth quarter, and we have
:08:34. > :08:36.seen the results in European and US investment banks. That will pull
:08:37. > :08:43.them down. There will be more legacy cost. A difficult quarter. He has to
:08:44. > :08:51.work out how to sharpen the business. It will be about his first
:08:52. > :08:55.presentation as a high-profile CEO. He has to talk about his latest
:08:56. > :08:59.vision on how to get Barclays back to the profitability to turnaround
:09:00. > :09:04.the share price. It has been punished, as mentioned. Dividends
:09:05. > :09:13.are expected to stay in place. That's what they say. Just like edge
:09:14. > :09:18.SPC. Questions about capital still -- HSBC. They will talk about how
:09:19. > :09:25.they will implement the ring-fencing of the UK retail bank which has
:09:26. > :09:29.capital implications. As soon as the numbers come out, I am sure they
:09:30. > :09:33.will look at whether or not it was the right thing to do. Thank you for
:09:34. > :09:40.your time. Let's look at the financial markets. Just so you have
:09:41. > :09:42.a sense of how it's going. Despite news from China about its
:09:43. > :09:49.manufacturing and services sector, Hong Kong is higher. As is Shanghai.
:09:50. > :09:54.That is possibly because the massive boost to banks lenders across China
:09:55. > :10:00.has been injected, announced on Monday. The next screen to see how
:10:01. > :10:04.things ended in the US. Down two thirds of a percent right across the
:10:05. > :10:07.board. That is all for me for now and I will see you surely as we
:10:08. > :10:14.review the papers. I will see you then. -- shortly.
:10:15. > :10:16.The Home Secretary, Theresa May, is publishing revised plans, setting
:10:17. > :10:20.out powers for the police and the security agencies in the UK.