captioned by the national captioning institute --www.ncicap.org-- >> welcome to the journal. >> thank you for joining us. >> our headlines this hour, a baathist group declares a permanent cease-fire. president obama issues a moment of silence for those killed in the saturday shooting in arizona. and flood watch. melding -- melting snow in in germany sends water flooding over the riverbanks. could the spain and france as soon see the end of decades of a violent attacks by the creating of an independent basque state

on the border of those two countries? that is the prospect being held out by the separatist group that has declared a permanent cease- fire. but can it be counted on, and just how serious is it? the group has done this before, only to again take up arms. >> three members read an announcement on in their video on a website. they claim that this cease-fire will be permanent and verifiable. they have not carried out a deadly attack on spanish soil since july, 2009, when a bomb killed two police officers on the island of my york hub. the government and many spent -- island of miorca. the government and many spaniards are skeptical. >> it is totally in their own

interest. you cannot trust them. >> it would be great if it was true, but we do not trust them. not at all. i do not, that is for sure. >> they have renounced violence in the past, only to resume violence after a short interlude. more than 850 people have been killed since they started fighting for independence. >> to the shootings now in the state of arizona that left six people dead including a federal judge. a congresswoman is fighting for her life. the shooter has been charged with several counts, including the attempted assassination of a member of congress. earlier today, a member of silence was held across the country to honor the victims of the attack. [bell ringing]

>> a bell tolled for the victims of the shooting in the city of tucson, arizona. in front of the white house, president obama led a minute of silence in honor of the six people killed. as the nation mourned, the shooter was preparing to appear before a judge to face charges. they believe he acted alone. they found political messages he had written on the internet as well as notes in his house that indicated he was planning an assassination attempt. people who went to college with him say he was troubled. >> he did not try to talk to anyone. he did not try to be friend anyone. no one tried to be friend him. he had a side the people were apprehensive of. >> gabrielle defgiffords remains in critical condition. her doctors say that she is in

a, most of the time, but remains free -- in a coma most of the time, but remains responsive. the shooting has fueled debate about acrimonious political rhetoric. the latest congress, with a newly reshuffled balance of power, began its session just one week ago. >> voting is continuing in sudan on an historic referendum that is expected to see the south split off from the north. thousands of people are flocking to polls on day two of the week- long referendum. it is the centerpiece of a peace plan that ended decades of civil war. the independents voted expected to focus on final borders and how to divide oil wealth. the government of indonesia has ordered the indefinite closure of all of the country's schools

and universities in the wake of recent unrest that has left 14 people dead. the president has called the rioting at terrorist act, but he is also pledging to create 300,000 new jobs. the north african country has been rocked by protests over high unemployment and a lack of jobs, especially for young people. clashes over the weekend between protesters and police were the deadliest yet. i ran has launched an investigation into the crash of a passenger plane that killed 77 people on sunday. 26 people survived, eight are in critical condition. the pilot made two attempts at landing before the boeing 727 went down near the northwestern city during a snowstorm. iran has suffered a number of air accidents in recent decades. sanctions mean that the country cannot buy spare parts for the american-made boeing's.

residents of the third largest city in the australia have been putting sandbags buy their homes after the threat of a -- large third largest city threat of mo. >> the daily news came without warning, inundating scan -- deluge came without warning, inundating streets and was wiping away cars. now the government is offering compensation for those who have lost income. >> this nation will assist people who are not able to do their normal income earning work

and get their normal income because of flood and disaster circumstances. >> and some two hundred thousand people across queensland have already been affected by the worst flooding in decades. another city has also been hit hard, but it is just one of the 40 towns in a state of emergency. the forecasts say more rain is on the web. >> flooding that has inundated cities and towns in germany could be it subsiding in the coming hours. it reached a peak level by tuesday morning. extensive preventative measures kept floodwaters from hitting the city because the historic center. residents are hoping for some relief. >> the rhine river flows past bonn. city officials are expecting the

river to crest in coming hours and are hoping the damage will be limited. while another river has started to recede, the situation further downstream on the rhine river remains critical. the rivers have peaked at 7.5 meters. some 5000 residents are affected and it could take days to return to normal. >> we are just trying to make it possible for people to leave their houses by building walkways. where we cannot do that, we are using special trucks to help them do their shopping or get medical attention. >> in the columnacologne, offict the river to reach its peak sometime saturday morning. despite the threat, some people

were venturing down to the river's edge for a closer look. sandbags are expected to keep most of the city drive. >> automakers in the united states are very upbeat about car sales this year. >> things are on the rise in that sector as well. new cars are being built and new jobs are part of it. after years of boom, it looks like the sun is returning to detroit -- years of gloom it looks like the sunshine is returning to dedetroit. car sales were up 10% over the previous year. the german car makers are benefiting from the rise in demand, with premium brands like mercedes and bmws setting the pace. what will make sure this recovery is going to continue? that is the question we put to our correspondent.

>> car sales in the united states have really gone up in 2010, especially in the second half. the mood here in detroit is much better with expectations of a further, steady recovery. german manufacturers also want to profit. they will be trying to cater more to the special needs of the u.s. market, which tends to like bigger cars. audi has presented its new sedan, and bmw has shown a big convertible that will be going on sale in the united states. >> it looks like there is also room for improvement as far as germany's top companies go on the stock exchange in frankfurt. >> traders said that it was the

first real trading day of the new year because in the united states, the earnings season starts off. this will help shares to rise as many people are hoping, because the numbers should be better than expected. nevertheless, the dax went downy of this week. it was mainly driven down by concerns that portugal might need help from the european union. the yield on the portuguese bond went up about 7% for a 10-year bond. this shows how worried investors really are. >> staying at the frankfurt stock exchange for a closer look at some of the market indices, the dax lost more ground, falling over 1.3%.

we will have a look at what the dow is doing now. is at 116 fortuno -- 11642, down almost one-third of a percent sign. if you were traveling through europe recently, you might have been one of the thousands of travelers stranded by the christmas chaos. all of that snow took a toll on the reputation of the audubon. chief executives have met to discuss the future of the enterprise. they had a lot to answer to. >> the ice and snow may have begun to melt away, but the problems remain, after a particularly cold winter. transport ministers from germany's federal states have pointed the finger at deutsche

bank, saying the company cut back on resources. now they are piling the pressure on the company and central government. >> we need more money, more investment in rolling stock, add extra capacity for the thing that always arrives, winter. these capacities have not been there. >> that is something the bond boss would agree with. he has then it is engaged in damage limitation. >> it will be my main personal goal for 2011 to commit all of our resources. what happened here in december and the weeks before frustrates us too. >> but several key issues remain to be clarified. these include whether the state which comes deutsche bank should take a dividend of 500 million the year rose from the company.

the finance minister had already worked that some -- 500 million euros from the company. the finance minister had already worked that sum into this austerity program. >> protesters have been complaining of price manipulation. share values nearly doubled in 2010, encouraging a new stream of investors into the market in bangladesh. prices have crumbled since early last month. >> about 3000 german farms have been given in the all clear to reopen following the dioxin contamination scandal. almost 150,000 tons of animal feed where tainted with the cancer causing chemical.

an investigation into the source of the dioxin continues. >> this companies sold tons of dayaks and, contaminated oils -- dioxin-contaminated oils that were mixed in to feed which was sold to farmers. now the farmers are calling for consequences. >> we want our suppliers to carry out better controls and investigations. we want to know whether the deliveries we receive have toxins or not. >> that is what the german consumer production minister is plotting, tighter regulation and stricter observation of all animal feed. but a general ban on german food imports by some countries is excessive. >> at no point was there a danger presented by german products. >> the financial damage has not

yet been estimated, but it is already clear that many consumers are losing faith in the safety of their food. >> and germany's opposition social democrats are laying out their strategy this week on how they can win elections this year. the party chairs as candidates will produce a platform that includes a lighter tax burden for low income earners, and that they will focus on justice, which they claim the current administration has neglected. the player of the year, designated by fifa has accepted an award. he won the same award last year. is a motown and getting its mojo

back? i will be trying to answer that question in just a minute. stay with us.

>> welcome back. the most significant arrival at this year's detroit auto show was something that had a heyday in the 1990's, optimism. the sector ended a four years sales decline in 2010, and most analysts expected double-digit growth this year. the german auto makers in particular are already revving their engines. >> german car manufacturers can hardly keep up with demand. orders are flooding in. many production facilities are running extra ships. it has only been one year since many employees were put on half time because of a lack of

orders. now they are running at full production. production levels dropped dramatically in 2009. paul in 2010, 5.5 million cars were produced. that is expected to rise to 5.8 million in 2011. german companies are profiting from the fast-growing chinese markets. as the economy grows, more people can afford to become car owners. in an ostentatious environment, german cars are in high demand. the u.s. trade a lot with china, the biggest export market for german car makers. german cars have a good image, especially luxury models. sales of pickups, vans, and suvs, are rising fast. the sharp drop in exports in 2009 has been recouped. more than four 0.2 million cars were sold -- 4.2 million german

cars were sold abroad in 2010. that is expected to grow in 2011. but in germany, it is a different story. during the economic crisis, the government set up a cash for clunkers scheme to boost sales. now the government bonus is gone, and domestic demand has dropped. it is the same story across europe, but industry analysts say demand will rise again in 2011. car companies have come up with new and improved models to stimulate interest. for instance come levin new audi -- for instance, the new audi a6. the industry expects record profits again. the question is, how long will that continue? german firms are investing in new technology, but their main

focus is on standard engines. at the moment, the money is to be made in high-powered, bay doors power, a luxury cars. >> german and u.s. carmakers are counting on traditional markets, but emerging markets are producing plenty of car buyers. we have this report from india. >> the capital of india is tom to many different modes of transport. as the middle-class or grows, so does the demand for cars. up until now, indians have preferred small cars, but german models are fast catching up. one volkswagen dealership says it sells 10 cars a day. it costs around 12,000 euros, which is a lot in a country

where anyone earning over one calcined euros per month is considered a good learner. -- 1000 euros per month is considered a good earner. >> indians do look forward to the german brand. >> some 2 million cars are sold in india every year. that number is set to increase. the german cars make up only a small percent of the market, the sales figures are increasing annually. >> across the board, a car is the biggest item after your house that showcases your status. therefore, it is very important to have a car that reflects your position in society. the buying a good may, even though it is slightly more expensive, makes a statement

about -- by being a good make, even though it is slightly more expensive, it makes a statement about you. >> less than 1% of the population is affluent, with some prepared to pay up to 200,000 euros for a card. >> their wealthy, well-informed, loyal. this is exactly the group of people we are targeting in india. >> meanwhile, a hindu priest is waiting in the showroom to bless the new customers new vehicles. it is all part of life in india. >> the city of detroit has become a dreary metaphor for the urban malaise that has become the exporting average u.s. manufacturing jobs to low-wage countries.

you can buy a house in detroit for about $100 a. some are wondering if, like the u.s. auto industry, detroit can turn itself around. >> the economic crisis was another blow to a city already in decline. the big three auto makers based in detroit, general motors, ford and chrysler, all had to lay off workers. one of them was this man. >> i could not find anything. nobody was tiring. everybody was in the same position. -- nobody was hiring. everybody was then the same position. they did not need any help. >> the unemployment rate remains above average for the country as a whole. but many businesses are hiring again. >> the good news is that a lot of companies are hiring again.

we are hiring in manufacturing as well as engineering and in the technology fields. >> but with the decline, many people have left in detroit. houses are abandoned. now politicians and local companies have made it their goal to bring new life back to the deserted areas. the leader companying -- leer company is sponsoring in the playground. >> it really set well with our responsibility to the community. >> of around 2 million people lived in detroit during the 1950's. that number has dwindled to less than half. many streets and parks are in neglect. but the streetcity wants to chae that. >> our mayor is working very hard to create centers of excellence within the city. >> community organizations have been set up across detroit to

improve conditions in rundown neighborhoods with gardens, trees, flowers, and even works of art. >> it is not necessarily a negative. i like to consider this a blank canvas. it is a new city. there might not be 1 million or two million people, but it is still a city full of rich people paul and history -- full of rich history and people. >> this man has found a new job. he was rehired by his former employer, chrysler. >> i feel like the company is much stronger, more positive, and i think a lot of people are going to gravitate back to cars. >> after years of bad news, people are optimistic that the city and the american car industry are on the rise again. >> that is our in-depth.

the detroit auto show is underway. thank you for joining us.

>>this week on world business... >>shaking off a shaky image, the progress made by the frontier market of syria. >>opportunity was limited, the law was very complicated for investors. >>it's now the world's second largest economy, but is home to few well known brands. so why do chinese companies still lack international recognition >>many, many companies want to sell products fast - but no service! it's a disaster for brands. because only if you have good service, you can give satisfaction to the consumer. so we need a partner. >>and making scents, the lab in switzerland which creates the smells sold around the world. >>there is a lot of technology, but to find the right flavour is still a lot of guessing.

>>hello and welcome. i'm raya abirached and this is world business, your weekly insight into the global business trends shaping our lives. over the last decade syria has undergone a series of fundamental internal changes. once a soviet style command economy, it is now attempting to embrace features of a western style, social market. as part of our occasional series looking at frontier markets we went to damascus to find out how far it has come.

>>reporter: damascus. the world's oldest, continuously, inhabited city. and, for most of the last fifty years, acity living under the discipline of a state controlled economy. >>kahale: opportunity was limited, the law was very complicated for investors. and that's why people who were coming abroad to work in syria - it was like bringing a ferrari and let it run away in a desert. >>reporter: a move to a more free market was first considered in the nineteen eighties but the discovery of oil meant the government could continue business as usual. that oil though is now running out. >>sukkar: with the running out of the oil money the economy is now being threatened by the shortage of that money so the urgency of reform became again very important. >>reporter: the government has reduced marginal taxes on companies from around 90 to under 30 per cent; reduced tariffs on foreign goods by up to fifty per cent and encouraged competition. it has also relaxed exchange controls.

>>mayaleh: there is another decision that allows foreign investors to transfer the full value of their investments abroad. they are also allowed to transfer out the interest and the profits they have made throughout their investment. >>reporter: perhaps the most visible manifestation of the changes is that middle and upper class syrians can nowshop in western style malls - an unimaginable concept just ten years ago. >>al aktaa: to have a mall, you need to have products to sell in it. there were a lot of products that were not allowed into the country. but now that we have a lot of products and there is a lot more demand in the market, we have started building shopping malls. >>reporter: one feature of living under a command economy was that the country's family businesses tended to operate in the informal economy. now the government wants them to legalise their status, but after so long on the fringes they are now often unwilling to comply with tax regulations. >>shallah: these companies probably...

their book value is perhaps no more than one per cent of their actual value therefore when you come out with a huge sum the first thing that faces them is the fact that will have to be subject to paying capital gains tax or income tax and they won't like it. >>reporter: the government's answer has been to declare an amnesty on the under declaration of income and profitand to offer businesses, if they go public, a basic tax rate of 14 per cent. that said there is still some suspicion among the country's businessmen. >>kahale: i believe this is a good movement from the government but the application is not yet convincing people to open their books 100% >>reporter: the most significant change has been to the country's financial system. private banks were first introduced in 2004 and have grown rapidly since then. rateb shallah is chairman of the bank of syria

and overseas. it began operations with just 19 employees. >>shallah: now we have twenty four branches in syria and our staff are now over 470 employees. >>reporter: foreign deposits have increased from $500 million in 2005 to more than four billion dollars. syrian deposits are up two and a half times and lending has increased by more than five times. syria also now has a stock exchange - albeit one with some cautious regulations on its activities. rateb shallahis also chairman of the new exchange. >>shallah: i would allow him to invest in whatever he likes provided he does not borrow to finance his purchaseand he will not be allowed to sell short what he does not own. >>reporter: one factor, though, affecting the country's potential is that it remains under us sanctions - preventing a more complete integration into the global economy -

although the governor of the central bank maintains their impact has been minimal. >>mayaleh: regardless of the pressure we've been under in the recent years, american pressure or any other pressure - from any direction - i would like to repeat that the syrian economy has remained strong and the syrian currency and its exchange rate has remained stable. >>reporter: you can see the new syria in the mixed use residential developments springing up outside damascus. fdi has risen from $400 million dollars in 2004 to $2.1 billion in 2008. while annual gdp growth, until the global crisis, was around five per cent. this year the projection is again for 5%. what the reforms have not yet achieved is a reduction in the country's high rates of poverty, particularly in the agricultural sector which makes up 25% of gdp. they have also failed

to create enough new jobs. >>sukkar: every year we have about three hundred thousand new entrants to the labour market and these new entrants are not being absorbed by the rate of growth that we are having at the present time, i think weneed about seven or eight per cent a rate of growth a year. >>reporter: corruption too, among all levels of society, is certainly holding back the economy. but the real challenge, according to economists such as abdulkader husrieh, is to tackle the country's government bureaucracy. >>husrieh: it needs of course first of all a paradigm shift in the thinking of the administrative apparatus in the system. >>reporter: there's no doubt that syria has changed but the government needs to step up its programme of reform - and bring the country's businessmen along with them. until that happens a more fundamental and longer lasting improvement in the country's economic fortunes will still be held up.

>>last year china overtook japan to become the world's second largest economy and is still growing at a blistering rate. but few chinese brands are well known internationally and domestic consumers aspire to foreign products. however that could be starting to change. >>reporter: the factory floor at one of china's best known clothing companies that few abroad have ever heard of. >>reporter: inner mongolia's erdos (pronounced ar-doss) cashmere is 30 years old. powered by a huge ad spend over the years, it commands 40 percent of the domestic soft woollens market. >>reporter: but this sector, with its safe and comfortable image, is under pressure from the influx of aspirational, edgy, foreign fashion brands. so erdos is on a mission - not just to create new lines, but to revamp its entire corporate image >>zhang: we can make the changes to our products but our biggest hurdle is to make

sure this product now is able to be sold at the right place where you can meet the right kind of consumer - so i think this project is probably the biggest hurdle we are overcoming. >>reporter: the project is branding - creating a clear, credible, emotional and motivational personality that differentiates a company from its competitors. the erdos overhaul - from visual identity, to store image and product range - is a huge undertaking as the company seeks international-style street-cred as a fashion house. >>mackie: in china, this is blue-sky thinking. for years, companies had a command economy mindset: produce bigslogans, spend huge sums on tv advertising and expect consumers to believe them. but dogged with quality and copycat problems, few firms have succeeded in developing the all-important intangible, emotional attachment to their products and services - at home and especially abroad.

>>reporter: consumer research firm millwardbrown, however, says corporate attitudes are now clearly changing - that pressure from abroad is forcing boardrooms to be more sophisticated. >>spencer: in the last few years especially, in the internal and domestic marketplace, competition has grown - a lot of multinational brands are starting to exploit distribution channels and move into lower tiercities. so as competition increases in china, it's more and more important for products and services to be able to differentiate themselves. >>reporter: that said, the chinese government still fails to adequately protect firms from well connected counterfeiters - and this seriously undermines a good brand. and even the more progressive chinese companies are burdened with the "made in china" stereotype: low paid factory workers, shoddy goods and poor environmental standards. an accusation that for many simply isn't fair. but it is a market reality - especially abroad, notably in countries with a critical, unforgiving press.

>>spencer: some countries, this hurdle might be more difficult to overcome than others. so, this might be the case in the us where the pet food scandals, the melamine scandals certainly generated very, very highattention in the press and in the media. >>reporter: the reality of the "made in china" curse isn't lost on aigo (pronounced eye-go) - a popular maker ofusb memory sticks, mp6 players and digital cameras. as an olympics and formula one sponsor, aigo enjoys a high profile in mainland china. but its chairman accepts that to be credible, globally, the bar for chinese companies is high - and so, until aigo has a strong overseas service network, he's holding-off on expanding abroad. >>jun: many, many companies want to sell products fast - but no service! it's a disaster for brands. because only if you have good service, you can give satisfaction to the consumer. so we need a partner. >>reporter: chinese exporters like white

goods maker haier (pronounced high-er) and beer maker tsingtao (pronounced ching-dow) are strongly focused on service and brand awareness. that's why they're on the shortlist of chinese companies that foreigners might recognise. other players have raised their profilesby making big ticket acquisitions - like lenovo (pronounced luh-no-voh) which bought ibm's think pad and now geely (pronounced gee-lee) which recently purchased volvo. >>spencer: there's a logic to that, that seems to be: can we appropriate marketing sophistication; or can we appropriate an existing relationship with consumers in another market. >>reporter: but as the best connected chinese brands develop and expand internationally they will lose a protective umbrella that has served them well: the power to often stifle online criticism. in china, a whole industry has developed to erase unflattering comments. but the culture is very different on the otherside of the great firewall. >>the head of branding at one of india's leading corporations, infosys, says

scrutiny is now unrelenting. brands that cover-up or don't keep their word, do so at their peril. >>nath jha: you remember that sting song: every breath you take, every move you make, every smile you fake, i'llbe watching you - every company is being watched by all its stakeholders. and every misstep you make will be caught. it's the end of command and control communications. >>reporter: and this is corporate china's achilles heel. for companies must be loyal to the state - or, indeed, they may be state controlled. and among consumers in the wealthier markets, the chinese government is largely unloved - so much so, that a re-branding of the communist party itself, could well be goodfor business. >>still to come on world business... >>lilos were never meant for this! the white water glen nevis river race may look like madness, but it's all for a good cause

>>anything that raises money for the team is good because we survive on donations from the general public so it's always been a good money fund raiser for us >>and we visit the labs which sniff out the smells that sell. >>among these 2000 molecules we are evaluating every year, only 3 or 4 of these molecules will finish on the table of the perfumers. >>a nose for business... and the rest in just a moment on world business... >>from food and drinks, to household cleaners and fine perfumes, many modern products will contain afragrance or flavour created and produced by a specialist manufacturer. we went behind

the scenes of the world's largest flavour and fragrance company to find out more. >>reporter: the exterior is non-descript... >>reporter: ....but step inside and you'll find a hotbed of creativity...one that produces everything from the flavours for fast foods and soft drinks, to the fragrances found in shampoo or the world's finest perfumes... >>kaiser: here i'm trapping the scent of this lovely orchid hybrid... ...which is very much liked by one of our customers and this customer would like to have this scent reflected in his next female floral fragrance. >>alchenberger: what you need is a sort of imagination. creativity. this is like in music. >>reporter: 'cos i'd imagine that sometimes you come up with incredible flavours but they just don't work with anything, or.. >>walter: sometimes not!

>>reporter: because an industry worth around $18 billion is still built on a less than exact science... >>hefti: there is a lot of technology. but to find the right flavour is really still a lot of guessing. >>wullschleger: we know that we have 350 receptors in the nose, and 25 in the mouth. and we hardly know really how they work at present. >>reporter: according to leffingwell and associates ...5 firms account for about 60% of the global flavour and fragrance market...but givaudan is the largest, holding over 20% market share.... >>wullschleger: givaudan sells per year 50000 products whereof roughly 10000 are new... >>reporter: fragrance scientist roman kaiser specialty is extracting and analyzing the scents that nature provides. but first, he has to find them....and no places are more bountiful than the world's rain

forests... >>kaiser: in the canopy of the rain forest you can find about 60% of the biodiversity existing of our world. if i go to an expedition, let's say to amazonia for 2 weeks then i would perhaps trap 50 different interesting samples. >>reporter: whatever promising scent molecules he finds are handed on for further analysis...although the chances of them ending up as the basis of a fine fragrance are not particularly high... >>alchenberger: among these 2000 molecules we are evaluating every year, only 3 or 4 of these molecules will finish on the table of the perfumers. >>reporter: ...can you give me a banana? >>hefti: of course we can >>reporter:

taste is a relatively crude sense, triggered by the chemicals we smell, although even a banana...a simple fruit, has over 200 chemical components... >>it smells like a banana... >>reporter: this machine breaks flavours into their most dominant elements...which can be instantly adjusted... >>reporter: yeah, that's fruity...! >>reporter: its' especially useful in an industry where clients can find it extremely difficult to describe exactly what they're after... >>hefti: we are lacking a language to describe smells, and with the equipment we can produce the smell and i can directly see the reaction on it. >>i think we just had a trace of the methozet jasmine 8 ! >>reporter: a natural scent often has more than 100 elements...but only a well trained nose will identify it's truly important components...because machine still lack the subtlety required. >>kaiser: the reason is very clear because our nose is still around a factor of 100 more sensitive than the electronic detectors.

>>reporter: but whether it's fragrance or flavour...how do you know which direction your creations should be taking...? >>walter: a lot of it is monitoring menus. what are people ordering. how menus are being designed? what are the types of ingredients being used? what are the big cultural cuisines that people are eating? where people vacation to (sound up) it's like social science, it's helping to translate, it's very much the mood and the motion. >>reporter: creativity can be stimulated in other ways...givaudan has its own perfumery school...and claims thataround a third of the world's fragrances have been created by graduates like alain alchenberger....but even for the highly skilled...inspiration can at times prove elusive... >>alchenberger: you have sometimes long period of nothing...and it's difficult not to become depressed you know... >>reporter: a depressed economy has hit givaudan's fine fragrances themselves, with company sales dropping 7% this year....so the pressure to deliver

winning scents is constant... >>alchenberger: because now not only we have to make good perfume, but we have to make also with this perfume...money...at the end >>reporter: but while fine fragrances may be sensitive to economic conditions, its estimated overall sales in the flavour and fragrance market dropped by less than 2% in 2009..... >>wullschleger: roughly 80% of our portfolio is resilient. because you see whether you have an economic crisis or not. you need to drink, you need to wash, you need to eat.... >>reporter: ....and you need to keep chasing the next big thing...if you truly want to savour the taste of triumph...and sweet smell of success.... >>alchenberger: fruitiness is very important right now. >>walter: the biggest thing now is health and wellness. >>hefti: more natural flavours. more healthy flavours.

>>alchenberger: floral fruity. woody fruity. spicy fruity. >>kaiser: enjoy your job? very much. very much. it's a privilege to work in this field. >>the glen nevis river race is carving out a name for itself as a bizarre but spectacular sporting event for the super fit and the slightly mad. competitors must negotiate a two-mile stretch of one ofscotland's greatest rivers using little more than an air mattress. but it's all in a good cause... >>reporter: if throwing yourself into a fast-flowing scottish river while clutching an inflatable rubber mattress sounds like fun - then the glen nevis river race is for you! >>with little more than a helmet to protect them, seventy adventure sport enthusiasts braved the icywaters, the churning

rapids and a 30 foot waterfall jump to raise money for charity - and test their nerve. >>among them - steve ham heading up a six-strong team in this year's challenge. >>ham: i think these things are great to be to improve communication in the work place afterwards, we are also going to raise some money for lochaber mountain rescue team so there is money raised for good causes. >>reporter: that good cause ... the lochaber mountain rescue service - vital for the region's key earner - tourism. a free of charge rescue and recovery service for hill-walkers, climbers, skiers and outdoor enthusiasts. the region covers 2-thousand square miles of the scottish highlands and islands. running the 45-strong team costs more than a hundred thousand dollars every year, but only a quarter of its funding comes from the government - so rescue services need to come up with their own cash. >>stevenson: anything that raises money for the team is good because we survive on donations from the general

public so it's always been a good money fund raiser for us and we always enjoy it as well. >>reporter: steve and his team join the other competitors who have each paid around fifty us dollars to be in the race. the range of inflatables come in every colour shape and size but veterans opt for the traditional air mattress with tape bound around it providing something to grip onto. suited and booted everyone pays careful attention to the safety briefing. >>before the race gets underway some adjustments are made. >>muriel: the river's high water levels after recent heavy rainfall means this year's course is slightly shorter than average - but that small concession to safety doesn't mean this is a risk free experience. in fact you need to be very brave and just a little crazy to attempt the glen nevis river race.

>>reporter: the event also offers a great chance for a bit of corporate bonding. as manager of fort william's underwater centre on scotland's west coast, which trains specialist divers and rov operators for the international oil and gas industry - steve is used to the water - but perhaps not quite like this. >>ham: we spend all our working lives training, teaching people to stay under the water, today we're going to try and stay on top of the water - but it looks great. >>reporter: but as the race winner points out - anyone can do it! >>hammond: anyone can go down on a lilo, it doesn't matter what age or how fit you are you just sort of float down the river - and it's really, really good day for anybody and it is great atmosphere and there'syou know really good competitive people and there are people that are just doing it for a laugh. >>reporter: that much was clear. >>although some turned back from the trickier sections ... others took up the offer

of a helping hand. >>all seventy competitors finished the course ... with safety officials from lochaber mountain rescue keeping a careful eye. >>starkie: there's a rapid called leg breaker and it's called that for a reason obviously so we're starting just below that we've got safety cover on all areas that need safety cover. and obviously there's a chance you're going to get banged about and stuff but that's the nature of it really, and so long as you can stay on your lilo then it's all good fun isn't it? >>reporter: that was more than team member ingrid could manage - but she completed the course in 26 minutes 37 seconds coming a respectable 53rd out of 70. >>vickers: a couple of fingernails have gone, bruises on the knees and probably on the hips as well - but i survived! >>reporter: not only did she survive - but ingrid and the team raised over four hundred dollars. the first glen nevis river race in 1973 produced just fifty dollars - barely enough

for a pair of hiking boots - but as much as 20-thousand dollars has been raised in past years in an event that helps to keep the spirit of adventure very much alive in the scottish highlands. >>that's it for this week's world business. thanks for watching. we'll see you again at the same time next week.