as most i'll see that. this is going bust broadcasting around the world and covering the world of business and finance and the impact upon all of us i'm bart chilton in washington thank you for being on board coming up today as you know it continues to be in a pretty precarious place related to brecht's that some are questioning if the u.k. its budget coffers are losing out on corporate corporate profits will report which c.e.o.'s drop mark joins us for a closer look and we consider the dollars and cents and cents as the n.f.c. of sports betting as formula one racing gets into the multibillion dollar industry plus we look at the black beauty come out of the at least in some posts that cold

which is bent on a rapid rise recently we'll be joined by jim thompson of i.h.s. market and with hundreds of millions of people on the planet in need of clothes why on earth haven't sake have some of the large companies been burning them our chief correspondent tony travers tells us about how some of these big brands may be doing an about face now let's get to the stories topping today's this in financial headlines. the chief executive of dance key bank denmark's largest has resigned over a two hundred billion dollar money laundering scandal that has implicated the retail bank branch and is still only up c.e.o. thomas borgen said it is best for all parties for him to go does he released an audit report today which claims the bank did meet legal obligations in a stoniest financial supervision of florida who said they will review it the malfeasance is said to involve fifteen. thousand customers and says they were

unable to determine the total amount of money laundered through their bank danske the stock price fell seven percent on the new global firms whereas you have bureaucrats writing the tax code and as one of the starbucks spokespeople that she is quoted as saying you know we abide by the tax code i mean of course they're looking for loopholes and actually really so does everybody i think though this issue has been around for a while and actually you ironically could look and you could say in two thousand and sixteen starbucks made one hundred eighty eight billion across europe a new the u.k. is one of their biggest markets and they only paid about four billion in taxes there so that some outlet less than four percent you can actually say they're getting better if that makes sense and i think you need to look at one issue that does work and that shaming you might remember in two thousand and ten vodafone was actually shamed into closing their offices on oxford street because they had protesters outside when the u.k. government actually let them off through lots of issues around it but about six

billion and a tax write off so i think shaving works. mentioned that i hadn't recalled that now when we look at other places around the world whether. you're. you us in particular. countries in europe france belgium with much higher corporate tax rates and yet even you know surprising to me mexico has a very. close australia yes of the u.k. is actually fairly competitive we don't get all the nations really actually very competitive fourth in the world one thousand percent tax rate and actually it's really improved in terms of recovery since the fiscal crisis because it was at one point more like sort of twenty eight percent it's going down it's projected as a plan for it to be seventeen percent and twenty twenty and that would of course make it very competitive the u.k. very competitive globally so like we do in the us it wasn't just reducing the brackets it was. getting rid of the loopholes get rid of rid of the avoidance you

noted is that the key for the u.k. here too if it's going to be nineteen or if it's going to be seventeen or whatever it is to not allow whatever schemes naughty but whatever sort of mechanism avoidance mechanism get rid of those so that they can continue to have money into the treasury yes because most important thing is that these loopholes are legal like we said again it's you know it's tax day it's tax avoidance not of asian i'm if you look across europe and that's you see what the e.u.'s doing and the moderate best is the commissioner for competitive across europe and she has even said they're just trying to hold accountable obviously these u.s. global funds so i think what the issue is is the british government wants to remain competitive as a better tax rate than the e.u. because the british government of course wants investment in the u.k. it wants global headquarters in the u.k. that's why it's projected to go from one thousand percent down to seventeen percent and when we look at sort of what the u.k.

has been taking in over the years. it has been previously they moving in the lower direction as well because we want to be competitive because one of the prosecution is one thing but boy if they don't have a deal that is well another one no deal is better than a bad deal you know their relatives remember that one it's all in the fine print i guess right yeah. thank you hello you're welcome oh absolutely. formula one racing has just finished a humongous deal involving sponsorship of betting gambling companies liberty media has signed an agreement with internet interregional sports group based in london for worldwide rights to gambling sponsorship of formula one the news comes only months after the u.s. supreme court allowed sports betting and as many are now questioning if the influence of gambling in sports is getting too large here to help us consider the

subject in business impact is victor matheson professor of economics and accounting at the college of the holy cross victor welcome back thanks for being with us again we sure appreciate it. well thanks for having me so what did you make of this arrangement that formula one deal i mean some say it could be in the neighborhood of one hundred billion dollars and you know that that's a huge thing no matter who's looking at it right. yeah i think any economist looking at this is saying you know this is really inevitable we're going to get sports gambling in every league it's just too lucrative a portion of the sort of money that you can generate as a league or as a as a circuit like f one and there's just too much interest from the fans themselves so it's a way to generate demand for your product even if you're not taking a piece of the gambling take formula one i read part of your statement and they said this is a fan centric move what the heck does that mean victor. so fan centric

means that it's simply more interesting to watch a sporting event if you've got a little something on the line at least that's what most most leagues think and so they think they can get more fans to the game more fans to the races if they have fans you know who are betting ten twenty dollars twenty euros twenty pounds in furthermore this is not just going to be you know old time betting where before the race you put down ten dollars on who you think is going to win gambling now days is very interactive so that any point during the event you can have all sorts of bets going on what happens during this lap what's going to happen next lap who is going to be in fifth place who is going to take the next so all that sort of stuff is is what happens in a kind of a modern gambling mechanism here boy it's so much you know like markets i mean there's derivatives upon derivatives but derivatives of these things and you know traders love to trade and i guess gamblers love to gamble sounds exciting and

dangerous at the same time a lot like formula one racing itself let me ask you picture where will the advertising be is that what you would assume on the cars on the sides of the wall and placards etc is standard sort of stuff we're going to see. so you're going to see all the standard stuff so the stuff on the cars physical signage at the racetrack and along the course but there's probably going to be a ton of electronic piece in there things perhaps during the broadcast where you have odds and different things coming up during the actual broadcast itself plus types of apps that can be designed to be watched while you're actually watching the race itself so that again you make it this interactive experience of course interactive means more opportunities for for for sports fans to bet of course admittedly that also means more opportunities to for sports fans to lose some of

that cash to the gambling houses absolutely you know victor when we we've spoken about this before i think we have to the u.s. supreme court decision to allow sports betting but what do we see in terms of sort of the industry the business impact of this and do you expect to continue or might there be a point where people say god maybe this get not a hand what's your view. well so we're nowhere close to that yet in the united states in the u.k. we're essentially they have unlimited sports betting on pretty much anything it is a large industry there's about thirty billion dollars worth of bets being made every year in the u.k. on sporting events if we translated that to the united states and we have the same sort of exposure in the united states as they have in england we might be saying something like one hundred fifty billion dollars of bets being made every year in

the united states across all states that is a huge increase of what we saw last year last year we only had about five billion dollars worth of sports bets being made legally in the united states and of course that's because as of may there was only one state in the u.s. nevada where you could actually bet on sports legally very interesting of course a lot of these are either nations or localities that. they do this not just because it's legal but because they can get the revenues when with tighter and tighter budgets that's certainly something. thank you very much prescience so let's start with prices which have seen a rise and and some of this is due i guess to hurricane florence but what's been going on with prices and why jim. well prices have been high for some time become pool of yours in large part because supply and

demand conditions are tied in the global economy has been strong but certainly florence complicates the issue particularly near term because of disruptions in the u.s. east coast kollek sports and jim it seems like a lot of global mining companies are not only enjoying the high prices but almost seems strange in many places around the planet they're you know they're moving away from high carbon fuels to more renewables i meet how can this these two universes seem to be colliding but it seems to be making economic sense for the mining companies are right. well absolutely right now you know one thing that's happened with the sort of negativity toward coal and with some. questions about people want to invest in coal and so forth you know the coal that's be mined becomes more valuable it's very difficult to bring on production now it's very difficult to get

investment for production and the type of investors that tend to come in want return on their on their investment very quickly which is limited cap ex suspended teachers and made it difficult for demand supply always reach where demand wants it to be and jim given that you say you know prices have been relatively high for a couple years now are we seeing. major investments in coal that maybe just a few years ago of people would have been shocked by. no to tell you the truth that's the that's the real story the story is that there hardly is a story despite two years of elevated prices both thermal and metallurgical coal you really have not seen investment come into the sector significantly to to lift production and try to take advantage of those high prices

nor have you seen the larger mining houses really try to ramp up production so as a result what you've kind of reached is coal being in something of a holding pattern with historically elevated prices and not the kind of the demand supply response you would have a big spec to see even in the recent past and thinking of that about sort of in a holding pattern president trump in the u.s. has put out a call plan and and you know is that sort of a lifeline is that going to be helping at all or and is that could be short lived overall jim what are your thoughts. what's complicated story in you know certainly president trump is not responsible for the price of coal being high and you know the trump administration has generally vowed to be pro energy which

means that you know it also incentivizes natural gas production and other forms of energy production so i don't think that has had anything to do with high coal prices. here in the united states the ministrations efforts have helped in a nexus stanch a way in that certainly policies have allowed companies to survive and. not necessarily be pushed to the sidelines i think though what we'll see coming up is what where do we go for. in here the trump administration has has made noises about. taking actions that will help both coal exports and more importantly to the industry. perhaps. extend the life of domestic power plants if and when that happens i think you can really judge how

effective the administration has been in helping coal until that happens i think it's an open question jim we sure appreciate you being with us hope you'll come back sometime able to talk about that plan as it gets a little closer to any implementation jim thompson the executive director of call and i just market thanks jim take care. thank you enjoyed it. hundreds of millions of people on the planet in need of clothing so my big brands have been doing something seemingly unthinkable with excess garments burning them for more we go to our t. correspondent trinity charles who joins us from fifth avenue in manhattan here's trinity the davening home to some of the world's most iconic and luxury fashion brands from luxury she. stabbed him back you name it they've probably got it but

what all the merchandise that doesn't get sold in stores well we're going to have that for you it's very important to stay on track and because everything changes drastically as the season goes back from kashmir coats to handmade bags when the seasons change and luxury brands can't sell the items in store they oftentimes send those products to get burned. given the state of most economists at the moment and on the p.c.c. parole for even just a bit chary would probably be. burning it and it's not uncommon destroying unsold inventory is a widely used to but rarely discussed technique that high and companies perform to maintain the scarcity of their goods and the exclusivities of their brands in italy and many other countries they can also claim a tax credit for just storing the inventory but the technique has sparked environmental concerns and criticism from many i feel like it's not like the credit environment when the close could definitely go to people that are in need we just

actually actually just walk by and just see what these people are wearing if you're not going to use the coals or put it to good use then what's the point of burning it honestly i just don't see the point honestly and that may be changing luxury fashion brand burberry recently announced that it would stop burning at times told them before this after an angle report revealed that the fashion brand burned nearly thirty eight million dollars about. inventory nearly fourteen million in beauty supplies twenty four million in ready to wear and that's three meanwhile one hundred sixteen million of burberry products have been burnt within the last five years but many believe the unsold goods could serve a better purpose one woman in south africa uses wasted retail i don't want to help women become entrepreneurs' we really talk about self employment helping women that are currently unemployed become self employed and roll them in a two year program and they live there in the near the new street skills to run a sustainable business and very early on in the program they learn real business

skills by buying and selling the clothing from us however other luxury brands believe that burning the goods there is enough. was. i said. there was a building. and they have a mission. for the. out of the money i don't want to.

mislead. home. life must change to four pm here now the big headline this the world doping agency has voted to breed and state russia's own anti drugs the waterhead craig just confirming that to the media information the decision signaling that a fresh start for russian athletics off to three in the cold a sports correspondent take us through the rough occasions and that also coming up . an explosive leaked memo circulating the.