:00:00. > :00:00.Now for the latest financial news with Aaron Heslehurst
:00:00. > :00:26.The European Parliament backs a big trade deal with Canada.
:00:27. > :00:29.Could it serve as a model for a future British
:00:30. > :00:35.Prosecutors in South Korea get another shot at arresting the big
:00:36. > :00:45.That bloke in the middle with the suit!
:00:46. > :01:03.Good morning, Britain. Hello, world. I am sitting down for once. If this
:01:04. > :01:05.is your first time, I have eight minutes to tell you what is going on
:01:06. > :01:06.in the business world. After eight years of negotiations,
:01:07. > :01:09.the EU parliament has approved a landmark free trade
:01:10. > :01:11.deal with Canada. Lawmakers in Strasbourg voted
:01:12. > :01:14.in favour of the so-called CETA agreement, which is hoped to add
:01:15. > :01:17.billions of dollars both sides Once fully implemented,
:01:18. > :01:20.the deal will eliminate 99% of the tariffs between Canada
:01:21. > :01:23.and the EU, increase trade by 22.9%, and the European Commission
:01:24. > :01:26.estimates that this could increase trade between the two
:01:27. > :01:31.by nearly a quarter. Now that the EU Parliament has given
:01:32. > :01:34.the green light to the deal, both sides can start
:01:35. > :01:37.removing trade barriers. But the agreement goes
:01:38. > :01:40.beyond the simple removal of tariffs and calls for further reforms
:01:41. > :02:10.which would require ratification That is important to stress. That is
:02:11. > :02:11.about, what, 28 EU members, and take out the UK.
:02:12. > :02:13.This includes controversial measures such as the creation of a dedicated
:02:14. > :02:16.court to settle disputes between governments and investors.
:02:17. > :02:19.CETA is Canada's biggest trade deal since the North America Free Trade
:02:20. > :02:37.pointed to CETA as a potential model for Brexit once the UK formally
:02:38. > :02:41.With me is Allie Renison from the Institute of Directors.
:02:42. > :02:50.It is good to happy with at this horrible hour. Many members of the
:02:51. > :02:55.European Parliament are patting their backs. They call it Europe's
:02:56. > :03:00.most modern ever trade deal. They said EU policy will never be the
:03:01. > :03:06.same again. Is this a watershed moment? It is as we have events
:03:07. > :03:13.spiralling beyond the control of the EU, like President Trump and anti-
:03:14. > :03:18.free trade rhetoric. The deal was not signed. There was the element of
:03:19. > :03:22.the Belgium problem in holding up the signature. Summer events have
:03:23. > :03:28.conspired to make it a slightly bigger watershed moment than it
:03:29. > :03:33.should have been. -- some events. Critics really do not like this.
:03:34. > :03:52.They are using terms... They are saying yes to Ceta is a trampling of
:03:53. > :03:56.the people, calling it a Trojan horse, and a threat to democracy and
:03:57. > :03:59.the rule of law. That is because of the creation of investor state
:04:00. > :04:03.dispute. It has greater investor protection. That benefits
:04:04. > :04:07.multinational companies. Can you break that down? It allows
:04:08. > :04:11.investors, if they set up a huge investment, take for example
:04:12. > :04:18.Germany, after Germany decided it did not want nuclear energy any
:04:19. > :04:22.more, a Swedish nuclear company sued them saying that it takes away their
:04:23. > :04:27.losses and they wanted to recoup them. This is commercial law. It is
:04:28. > :04:32.done by investment treaties being incorporated into trade treaties.
:04:33. > :04:36.People are finding it for the first time about these investor state
:04:37. > :04:40.dispute settlement provisions. They have been going on for 50 years.
:04:41. > :04:46.Germany is the biggest critic. That is where it originated in. People
:04:47. > :04:50.are coming to grips with something that has been around a long time.
:04:51. > :04:59.Some are asking the question, could this be used as a model for British
:05:00. > :05:04.- Canadian trade deals? Once they leave the EU. This is certainly a
:05:05. > :05:07.model in that it is a trade agreement, but it goes nowhere near
:05:08. > :05:12.matching the level of access we have now. 99% of tariffs, but in
:05:13. > :05:18.sensitive areas of the agriculture, tariffs were phased out over a long
:05:19. > :05:22.time. You would want to go much further with a Brexit deal. I have
:05:23. > :05:30.to move on. But I was saying how this goes beyond tariffs. Anything
:05:31. > :05:33.else added to the deal has to be approved by 28 other governments,
:05:34. > :05:39.right? We are jumping ahead of ourselves. It has been signed but it
:05:40. > :05:46.has to be ratified. That is it big thing to do, to get 28 governments
:05:47. > :05:48.to agree. You can sometimes need smaller governments within those
:05:49. > :05:54.governments to agree as well. Great stuff. Thank you. We appreciate it.
:05:55. > :06:00.You can get out of here and warm up. USA and earlier how cold it was. --
:06:01. > :06:07.you were saying earlier. For the second time in three weeks,
:06:08. > :06:11.a court will decide whether to grant a request to arrest the head
:06:12. > :06:14.of South Korea's largest company. A hearing is under way
:06:15. > :06:17.where prosecutors will be trying to persuade a judge that there
:06:18. > :06:20.is enough evidence to arrest JY Lee, He's a suspect in a bribery
:06:21. > :06:25.investigation which could bring down the country's president,
:06:26. > :06:26.President Park. Rico Hizon has been
:06:27. > :06:43.following the story from our It is great to see you, my friend. A
:06:44. > :06:46.lovely day to you. This guy is a big fish. Yes. What are the chances of
:06:47. > :06:50.the prosecutors getting this through the judges? Let me tell you, the
:06:51. > :06:55.prosecutors are throwing big kitchensink at Jay Y Lee. They have
:06:56. > :07:02.expanded charges against him to include bribery, embezzlement,
:07:03. > :07:09.hiding assets, and perjury. Prosecutors have focused on Samsung
:07:10. > :07:14.Group's relationship with the president of South Korea, accusing
:07:15. > :07:22.him of giving $38 million to business organisations backed by Ms
:07:23. > :07:27.Park's friend for support of two Samsung companies. But of course,
:07:28. > :07:39.all of the parties have denied these accusations, and prosecutors are
:07:40. > :07:43.also requested the arrest warrant of the CEO of Samsung Electronics. We
:07:44. > :07:48.will find out later today or later tomorrow morning if the arrest
:07:49. > :07:59.warrant will be issued against the Chief of Samsung and the head of
:08:00. > :08:02.Samsung Electronics. I am waiting with bated breath. Hopefully I will
:08:03. > :08:05.talk to you tomorrow if you are in. I am in, are you? I am. See you
:08:06. > :08:11.soon. Let us talk about Lufthansa. The boss of Lufthansa says the firm
:08:12. > :08:14.has made great progress The German carrier is under fierce
:08:15. > :08:18.competition from low-cost rivals, and has suffered more than a dozen
:08:19. > :08:22.strikes over the past 12 months As a part of our series
:08:23. > :08:26.on the challenges facing the global airline industry we've been speaking
:08:27. > :08:29.with Lufthansa's Chief Executive, Eurowings, was crucial
:08:30. > :08:51.for Lufthansa in allowing it We have places in Germany,
:08:52. > :08:55.Stuttgart, Luxembourg, Hamburg, they are rich business centres
:08:56. > :08:59.themselves, and we had to realise we could not compete there with our
:09:00. > :09:04.brand of Lufthansa and the cost of it. We had to create a new brand
:09:05. > :09:09.which is still the best value for money but at much lower cost and
:09:10. > :09:13.that was a necessity. We started late on that which forced us to
:09:14. > :09:17.really accelerate over the last two years. But we have now reached the
:09:18. > :09:22.number one position and we are number three in Europe in this
:09:23. > :09:28.regard. That was quite a race over the last two years. You have paid a
:09:29. > :09:31.price for this. There has been a great deal of industrial action
:09:32. > :09:36.costing you a lot of money. Will you look back on this and say it was all
:09:37. > :09:43.worthwhile? Two things came together on industrial action. First of all,
:09:44. > :09:51.every legacy alive that still carries on money has to go through
:09:52. > :09:54.that process. Secondly, unfortunately, unions tend to see
:09:55. > :10:05.internal competition much more critically banned external
:10:06. > :10:10.competition. -- than. That is why we overcame an issue we would have to
:10:11. > :10:15.have overcome any way. That is why it is so important that Eurowings
:10:16. > :10:24.were offered well-paid jobs, much better than competitors. We provide
:10:25. > :10:31.good standard up to European standards. That creates a business
:10:32. > :10:36.model. Are the unions now seeing the big picture? We made great progress.
:10:37. > :10:44.Now we have 95% of our staff on either new contracts or modified
:10:45. > :10:47.contract. We had a huge issue with pensions, as many other German
:10:48. > :10:52.companies were able to solve, with 95% of our staff. I am sure we will
:10:53. > :11:01.be able to find solutions for the remainder of our staff. I am Aaron
:11:02. > :11:04.Heslehurst. Thank you for sharing your time with me. I will be back
:11:05. > :11:08.later. Goodbye. Social care for elderly people
:11:09. > :11:12.is on the brink of collapse in some parts of England, according
:11:13. > :11:14.to the charity, Age UK. It says more than 50,000 people
:11:15. > :11:19.are now not receiving any help,