Reuters Insider - Davos Today: Top interviews & news from the WEF
22/01/2014 23:18
Click the following link to watch video:
http://insider.thomsonreuters.com/link.html?cn=share&cid=1183078&shareToken=Mzo3ZDc3NDliMy1hNWIwLTQ4NzYtOGVhZi01NTM1NGY3M2Q0MDc%3D&playerName=ReutersNews
Source: Thomson Reuters
Description: Watch live interviews and analysis from the World
Economic Forum with policy makers, business
leaders and executives from around the globe.
(To access all exclusive Reuters Insider programming visit: http://insider.thomsonreuters.com)
Short Link: http://reut.rs/L9HWQu
Transcript (May be auto-generated)
Morning everyone it is Wednesday January 22. This is double today's report due.
By the World Economic Forum and Reuters I'm Axel Threlfall we are alive seven
until 8:30 every morning this week through Saturday. For the old library here in
the very hot -- let me give you a -- left behind this who visited real -- guests
come before the show. Critical -- pressurisation Colin Dyer from Jones Lang
LaSalle. Victory does not just a moment we've got a new feature on the show this
year a guest host Steve how do you go from Bain Capital. They disease David --
hours after we believe a half a power play to talk about today.
Past and of course -- with the gas flows would come through fastow about let me
give you that headlines morning. So if he's thought -- Montrose road for the
world -- push for an end to three of the civil war. But pressure grows on
president Assad's to quit after allegations of systematic torture and execution.
Thailand's capital under state emergency. The government tightening security in
the latest escalation. Of -- showdown with protesters looking to derail
election.
-- for prime minister. IBM -- revenue expectations for the fourth straight
quarter. As it grapples with weakening demand for servers and storage emerging
markets like China. I can't Nokia doesn't deliver the message from the -- to
delegates here. The -- urging them to include others who left prosperity. I ask
you to -- sure -- humanity this there by -- -- who ruled. -- -- So we -- back
along with 2600 participants and fourteen heads of states.
For the World Economic Forum era dance alongside Iran Syria peace talks high up
on the agenda this year. Seeking growth tackling inequality in managing
migration and all topics central bankers economists and CEOS -- -- they figure
out. How will help not harm the world's fragile recovery. The west 34 seem
reshaping the world consequences for society politics and business. It's a big
one some might say is quite unwieldy what you know -- he says -- in the second
we're gonna -- said what it means with a raft of big name interviews. In today's
lineup will talk to bond body's chief executive on taking on Airbus and Boeing.
BOE systems will tell us how you run a defence company when everyone's cutting
spending on arms plus a surprise message sent from the Pope. We'll have more on
that later. -- in the show we also want to hear from you any insights are what
you think we should be talking about we aren't talking about.
Who should be here but it isn't here. -- using the hashed out derby loss today.
Right lifted off with. -- average somebody listing today's Steve -- capital's
managing partner Steve Appel who cap. It's great to have you -- -- -- why should
cut the chase you know -- we hear from the Pope. We hear a lot of the big issues
however why the deal makers like you really jumped about -- visit to sort out
these big problems or -- to do deals.
Its coverage of the two Davos is a great platform. -- -- about what's happening
in the global company. What are the issues countries are facing reality the
macro issues affect the performance of companies -- -- -- so to -- it's been a
wonderful experience both to. Analyst Janney global issues ownership of local
issues. And how that factors in the does -- -- C. Gonna go away with some some
some. Do you -- your belt or at least some progress on deals undeveloped. I
think we we have -- there is situations come out of that China deals with its
real long term player in the that the more you come the more people you know. By
the more -- yet another receives it CEOS get now -- better feel for where should
investors that invest. Is -- this year -- -- about the last. -- stage -- the
last few years and yet they seem to be getting they're.
It's united I think things said the Barnum and -- -- was a shaky -- in 20082009.
Europe should. The mood at that point worst deal with the financial system come
back it's now come back -- it's getting -- -- each country so I think their
customers about -- now. Let me get your view taken a couple of big news items
that happened overnight in the morning. Mohammed Al -- him go he's leaving his
desire to Obama yeah -- as a wide. What you talked.
You know I've no idea and they will work really big cap draws Israeli company
that will -- investor businesses venture capital -- build great businesses and
you know. Those those fox a managing huge portfolios of fixed income interest
rate bets that the -- legacy of those bets go against you. And how those --
those -- have -- agencies yes that's a -- The other big story -- mentioned in
the headlines by the end misses again. China is a problem how worried by China
and that -- -- talk about China permanent staff about how worried. Well China's
really interesting is it's been a driver who want to -- reality for west 1520
years. And currently that big -- -- -- -- 1215%. Real is still as robust growth
compared many places. So you still seeing businesses role in the 68 -- -- and --
-- the ten. So I think China's going to be slaw or otherwise would still -- --
--
Very quickly any closer to the ten billion dollar deal the better. -- choose not
to say it was a little way off. -- -- I think we're seeing transactions though
their progeny at that point times of the market you're coming back alright Steve
over batteries just the second thing. Now Iran start to shut down its most
sensitive nuclear activities this week prompting the US and the EU -- partially
lift economic sanctions. And I asked where founder Klaus Schwab wife do things
around premier -- has decided to attend this is done us. I think it's very
important -- when do you know all we. Are just starting receive implementation.
Of so first face -- -- -- Bloomberg Lehman.
That we all -- -- and so -- first faces a frost phrase. So all we are really
curious to Europe what's the future would be did did the did they approach you
the Iranians or did you approach them. I should give us a common foot. A common
effort. And -- and what is planned W bilateral spine with the US. We do not know
yet to of course -- safari will -- reach refined indulgence always. Afraid free
will who -- framework for -- rocks for bridge building. So we'll see what's
coming now to a but Dimon really. Confident. Those so who will have a positive
outcome. What about a meeting between mr. and Yahoo! and mr. or is that a have
you been tasked with keeping those to a pop.
-- give would be broken glass was formidable -- -- -- of president Kwame. They
have to do -- Professor Klaus -- talked. With the added Steve put words -- --
that we're talking around how excited people use sponges off is much excitement
again won the -- -- about. Opportunities around. I think around the real long
drum up clearly go -- to -- out. Is that we see very large economy then there is
an isolated from many many years. It has great all viewers spend more oil will
help with prices well in the world.
-- around to become a trading partner Adobe fantastic football finally there's a
big FL. Editors -- against nuclear programme or controlled substance or what. A
marathon dealmakers American CEOS American businesses going to be doing assumed
observation they're going to be sitting back. While in their time watching what
happens all they going to be on the from former pro active speaking to the
Iranians. I think there's a next I think most people will terminate any wait and
see better because these talks often -- produce data. If the dart for something
such sort of where there can be trading -- -- legal training. In Iran can sell
goods -- -- -- -- right I think be -- market but I think it's gonna take. What
types and thanks lot. -- --
It's downhill all the way up what John Gordon hit -- flight with the Mandarin
speaking in front helping bring wealth -- youth with them. And this is worth --
watch shows how governor man with a quick rundown of lineup warn doctors vote
for. The bottom run shot by our intrepid Reuters. Production team with -- blood.
Guess very excited about as you blossoming -- I mean that I was inevitably
drivers got in -- we -- talk a little bit more than the second let's let's talk
though about India.
We domestic as well as weak foreign demand continues to -- on India's ailing
economy while -- uncertainty ahead of elections and making investors and
businesses that they. Joining me -- supply attrition I just a written agreement.
He's president of the confederation of Indian industry and the founder of
instances very good to see you again -- Let let's start with a really hard -- --
runs. Our lack of SD IA questions over infrastructure corruption worries about
this election. How was going to be for India really gets its mojo back. So
clearly -- -- -- -- the -- to decide on -- the analysts are predicting that next
year is going to be six person you'd be -- from the 5% now.
And yet after looking at 7%. Saw in -- I believe -- that the worst is a work. We
have to get -- elections why finish of the you don't bring Chris that as a
massive -- -- that's a massive hit for investors as well had quite how. How
could we see a turnaround in fact if if if if this election brings further
instability which which many expected the -- So if you look at -- beat out. And
underlying bid that there are ten states -- employing more than the national
average more than 67 person on a daily rate now. As we speak. And -- this did I
actually. Larger than many countries might start one of the states.
If if -- -- as it -- going to be probably that -- but certainly the largest
gambling the word in terms of population insights. Many of these states are
actually going big -- per cent and get -- by six. Different what particular
black Jack -- alright. All right let's -- what happens I believe after the
election. Things would look better sleep yet come on -- you -- hardly dramatic
market last Hollywood would make video as well because it's one of the
structures. -- in India is -- -- M -- several worrisome the world very educated.
You know great products ammonia. -- the issue. In India is Israeli governmental
system you're -- -- accounting you know kind of rules what type issues and I
think some of the -- retain any amount of energy said. That's a really big issue
faces -- -- power. How you get to a point work you can trust financial
statements we can really do business in -- have -- course of the synergies.
Clearly you know we have to look better in terms of governance -- but look
better in terms of providing a stable environment for business to operate. But
institution billing Dick -- and are you have to the number -- in you're under
twenty years back has done very well in the last many years. It doesn't have
visited --
Shortly -- little bit that back. I strongly believe that the after the
selections. Lot of at a -- but the expected happen what actually happened. I
expect that because of the pressure via. It kind of economic growth and job. You
need investors believe that. Yet unique unique. The -- capitals to believe that
generally receive. I think investors should have then we'll take cautious
approach India unless there is keeping a tough down improvement -- look for
improvement in those in the systems. Your new by company you have to trust false
financial statements and you have to trust the fact that if those most in seven
issue you can go some -- while. In any judgment very verge of a prior search for
a bond restriction that -- Now we've invested in the year but we've done great
part versions of the -- it's just it isn't this one more horrible than you have
another country yeah if the country had. You know you know 88 -- great court
system. And -- at the Renault corruption. An easy to invest because of many many
-- I think you see investors pouring in in the year.
If you can fix kind of the rule -- -- -- though the -- -- will be treated
fairly. -- -- It's needed to meet expected it's not that -- on. Bad dark black
and white you know if you look at the -- government -- -- -- and energy there.
Hornbeck the next in developed and a big hole in the market in some sense. If
you look at some of the European -- -- the fastest -- model markets together in
India. So yes you know every market as a -- -- it down and mufflers that
defensive at this buyback. I believe that after the election you see a better IM
bank that he can work well look I guess the question on on the sector --
outsource -- -- would you would you be receptive -- -- sectors and sectors I
think so Treasury Secretary others those inexorable trend. Lower cost for
companies and only encourage a great -- ninety asserting -- that the -- I think.
He shouldn't be defensive in his great country I think you if they can really
just.
Go in the direction enough of support in these these new initiatives of reducing
you know corruption making the -- selling -- -- need to rotate up yeah actually
did get rid of the solutions are not actually until we get it needs we
implemented an ample. -- just a quick final question on the turnaround. I think
-- laid off what 1800 people -- semi for a company that lets face has been
hiring like -- years. That that what does that say bankers is what -- about --
So CB higher ahead of time.
And that the sector slowdown in the league goal -- -- -- in effect -- what bonus
expense and into 2011. And came down -- 6% this -- growing our predictive of the
overflow percent actively. So we've been layoffs. Allocation -- off. In our --
that just a bit better going to be -- clearly the -- Alright crystal -- Banesto
had already collection of talk about on the same as the size elusive right now I
hope the outcome Christian white Christian from emphasis and one of the --
shares as it. I'm Steve just a quick word -- new home. We witnessed a number of
people want to put its do you people and we want to -- one of our twenty
questions as well.
Who was should be here would you like to see here who isn't here and there are
some of the biggest -- on here this year. What effect is missing. Well there's a
lot of people who as a -- -- fresh volume -- touch almost every sector and every
country in the economy. I think there could be more people from the energy
industry here -- energy is really. A key issue in powering global golf United
States resemble I think arrested many energy costs afforded for Jupiter Florida
Europe. That at this is going to great kick start our manufacturing cell -- was
not. You I think -- here but -- right here right in the numbers of the represent
over their impact on the block.
Alright Steve thanks a -- now I as a so let me -- a lot of people that this is
what am Klaus Schwab said when asked him. I would have liked to see support --
Because she has a strong message but I'm very pleased to -- all -- -- -- -- said
it. A message to be read to via a one -- -- -- for more was spurred cardinals.
Wanna my username your thoughts I really think should be -- dog buster -- here
we've had a number of responses so far. Where all the traders -- -- -- hauled up
what I think comments we've had. Do -- responses using the hash -- da Costa --
any other thoughts of course welcome as well. Slow rally with a long way to run
a new bubble that already looks dangerous joining me now with his thoughts on
the global property market Jones Lang LaSalle CEO Colin Dyer. I don't -- economy
at around about -- better view among this year with that was Steve today. --
just launched the latest global property outlook. Super cities London Paris new
York and Tokyo still dominating. Are you worried about are you worried about
bubbles in the markets. Not -- V recovery from the great financial crisis. Is
probably going to be 67 year process and so -- down only three -- four years
into that. The equity markets are strong has done a lot of equity flowing into
real estate at this point only -- moderate in the amount of debt. -- bubbles
really get going weight of debt takes over and we get very high levels of debt
financing in real estate. -- from -- investor's perspective -- that should
investors looking at the -- equity you know cities as. As investment best bid
because of that that the bubble went on I don't you talk about wells -- -- and
added I'm talking about how much you get questions often. Well I -- I think in
general if you look at -- we know the US. They had not like building plus -- for
a view from the crisis hit these projects take a lot of time for much of the
areas. Break now but stability in many cities excess. There's what do -- their
supply for -- use the -- about the real estate business product but agree. We we
gonna see anything in terms of our company's board ourselves even looking for a
space we're in the sector ridiculously expensive. Catalyst coming back is if --
in in in mid cycle and -- -- has room right. Industries Ross -- still very. Well
sure it was -- property.
Driver right absolutely there's a lot of corporate demand picking up as well
which is good for the fundamental. About the fundamentals of -- -- You like
capital flowing in -- dead following a fund to fund the purchase solar to a
state. As a fundamental. Fundamentals are driven by corporate demand and that's
only just beginning to pick up again. What excites you more back in US
commercial residential. Our commercial her at this point -- -- notably because
there's warrants more stable long term profile. -- the sector in general and --
-- something -- you retailer accident or what w