let's talk about what we've heard from the ceo on diageo. talking about the history of diageo. spoke earlier on the channel, how they had been growing through consolidations, acquisitions. how are they doing now? do we need to see some of that for diageo? >> i think they're doing well. the main focus in terms of acquisition is india. they tended to use acquisitions to spread the reach more globally into emerging markets, where you actually need acquisition to master those particular markets. so i think it would be really interesting to see how india goes the next ten years. they made a huge bet on that. india has pros and kcons. the cons is that prohibition is rearing its ugly head in some states, but the pros are millions are entering the drinking market every year. >> how big a slice of their portfolio do you think will be dedicated towards india? >> long-term looking for quite large. india has so much potential. so much growth opportunities. still a strong drinking market with a big population. at the moment it's small. in 10, 20 years, diageo is hoping they'll be bigger. >>

how is it for a company like diageo?: if you look at the numbers we just bolstered, scotch whiskey business, a third of our business, grew 6%. scotch whiskey is a global category. we sell in 180 countries, and in the context of exit, we do support the clarity we are getting from the government on the direction, but specifically, for us, within europe trade, will be terraced free -- ta rriff-free. regardless of the european solution, we'll be able to trade in europe without tariffs. if you look at the rest of the world, there are some countries like korea, south africa, and columbia, where the e.u. as free-trade agreement. i would fully expect the u.k. to get the same, if not better, arrangements with those markets, and then, the upside will be for countries where there are not existing ones like india. a u.k./india free-trade agreement would be very positive for scotch whiskey. matt: speaking of scotch whiskey, that is what i'm thinking of. when i think brexit, since i am american, i think i can get that for much cheaper

diageo up 4%. >> one thing in diageo, i hope jim cramer is listening, he told me to pay attention toatin american results, so much better than expected. diageo no exception. double digit growth for sales. that was a bright spot in this global report. we'll talk to the ceo later on "squawk on the street" and ask him how these tensions affect the business. >>> ericsson slashing its dividend as the telecom market was pushed to a fourth quarter loss. the results cap a tough year for ericsson which replaced its ceo, announced cost cuts and layoffs. the stock bouncing this morning. >>> unilever reporting slower sales in 2016. the company blaming brazil's economic crisis and recent demonetization in india. unilever on the down side, 4%. >>> oprah is teaming up with kraft heinz forming a joint venture called meal time stories. it will make ready to eat refrigerated products. 10% of profits will be donated to charities focused on ending hunger. i remember when weight watchers was owned by heinz. that sold in 1999. oprah is a stakeholder and on the board of weight watchers. >> so there's the c

the chief executive of diageo, ivan menezes, spoke to us earlier.in growth. and our categories and brands performed well. johnnie walker, our biggest brand, was up 6%. our whisky brands in north america, like crown royal and bullet, were up double—digit. the business is healthy, and it's a function of the strategy we been implementing in the last few years is really paying off. people around the world are drinking better, and diageo does better when that happens, because our brand of premium, and we benefit from the trade up that happens when people drink better. i spoke to ivan minev is earlier. he is on our website. —— menezes. i am wondering what he is drinking there. martini. i should have asked what his favourite tipple is. i like beer and wine. i like champagne. iaman i like champagne. i am an aussie but i am not a big beer drinker. shall we start on the newspapers. our viewers have sent us tweets about the story in the times about the smartphone. doctors are saying it is as good if not better at detecting skin cancer than perhaps going to you

we have a top line from diageo.re the six month results coming through. $2.70 billion, and the estimate was for $2.01 billion. they have many, many challenges. let me take you straight to rbs. forhas provided a provision their exposure to retail mortgage backed security. they continue to cooperate. that provision will be 3.1 billion pounds. rbs continues to cooperate with the department of justice. this will take the total aggregate provisions for this particular issue to 6.7 billion pounds. rbs reaches the final hurdle with the department of justice. cooperateontinuing to , but they are taking a provision of 3.1 billion pounds. the total provision so far is 6.1 7 billion pounds. there are further substantial additional provisions that might be recognized. this is not the end of the journey. i can tell you it is one of the last and final global lenders, if and when, they manage to feel this deal. penalties has been levied so far with regards to precrisis fails of mortgage related bonds. we understand that senior rbs

since then seedlip has gained investment from drinks giant diageo who seem to be betting on the rise chief executive of seedlip, ben branson is here. guess what, he brought us? nonalcoholic drinks! sorry, i'm probably not your target market here. welcome to the programme. are you serious from a book? i know you've got the book, right? from a book. ladies and gentlemen, this book. ladies and gentlemen, this book is 1664? the original copy was 1651. we managed to get our hands on a copy from 1664. this is original recipes, nonalcoholic herbal remedies all the distilling techniques that i found three years ago. so what prompted you? was this something you were thinking i want a business opportunity, i can see a gap in this market? was it that you we re gap in this market? was it that you were doing something else that brought you into making nonalcoholic beverages? it was not a business gap, business opportunity. seedlip is just gap, business opportunity. seedlip isjust a product gap, business opportunity. seedlip is just a product of my upbringing. halfify family have been farming for

. >> sources tell bloomberg diageo is considering raising stakes in a liquor maker. of united and the full market value. united shares fell more than 25% in the last 12 months. >> revlon stepping up marketing as it aims to hit $5 billion in sales in five years. it ought elizabeth arden last year, but revlon says it makes sense to invest internally. revlon is focusing on its fragrances, and it's other labels. , japan's biggest brewer is eyeing more foreign deals to make up for a slumping investing market. what is in the pipeline, next. ♪ ♪ >> this is daybreak asia. yvonne: i'm in hong kong. the fate of samsung's vice-chairman will be decided wednesday when a court decides whether to approve prosecutors' request for an arrest warrant. stephen engle joins us. what do the next two hours hold for jay y. lee? >> his immediate fate is at stake. this is the first time the head or major executive at a korean company has had the special prosecutor's office issue an arrest warrant and a judge, a single judge, will hear the argument from the prosecutors over the next couple hour

i like british petroleum, vodafone, diageo uk based, hurt by weaker pound and "brexit" are weaker values a global asset base. liz: pound is a buck 25. that is not as week as it has been. we've seen it 1.21. news on wrecks sit, theresa may the prime minister has to go through parliament to invoke article 50 to get it. doesn't mean it is over but takes a little longer. what do you think about investments? >> about diversification, what we learned about 2016, the market is roller coaster. you have to spread out risk over your portfolio. i would be overweight for stocks and average investor and their portfolio. liz: on a day where donald trump signs five executive orders, some of them involving energy, a big driver for the markets. the markets like the moves. john petrides, thanks so much. it is a record day on wall street. [closing bell rings] nasdaq, s&p 500 all-time record highs. no dow 20,000. "after the bell" with david asman and melissa francis. david: thank you very much president trump getting down to business on the second day in office. stocks are cheering him on. the dow making an

opportunity for us. >> ivan menendez, the ceo there of diageo.ly a big trader around the world of global alcohol and spirits. they're a british company, so they're actually doing quite well now because they're benefitting off of that weaker british pound. >> sure. >> they saw 20% growth in mexico. >> it's amazing. the currency piece is fascinating because really if you look at the other big, big competitors, right, globally united spirits i think is in india, you have japan, really there's not another one that has that benefit. doesn't mean market share shifts happen that fast, but interesting -- >> trade, frictions, that's the head. not just in my house but apparently everywhere. >> when we come back, co-founder of home depot arthur blank is with us. get his take on the company he founded, president trump and super bowl bound atlanta falcons. hey nicole. hey! i just wanted to thank your support team for walking me through my first options trade. we only do it for everyone gary. well, i feel pretty smart. well, we're all about educating people on

side, luxottica is at the top because of the merger, but then rio tinto, dilettante, anglo american, diageove all these dish gainers, very focused on mining or drinking. the market likes this morning as far as adding index points to the stoxx 600, and that is why you see london outperforming. guy: yeah. let's talk about what's happening with the pound today and show you what's going on because it was some of 120 earlier on and that is something we have been paying attention to. i have another good chart for you -- i want to talk about the impact of these sterling moves. let me just show you this chart that the production team put out. that is the brexit move. this is the flash crash. this is mays a speech. while it's producing a decent story this morning we are still north of 120 in holding within it. in terms of the size and scale, while this probably isn't going brexit, ite order of is potentially going to be quite significant. the other thing i want to mention is what's happening with btp futures. we are still within the weekly range and we are getting lower but we popped a little bit in

uk exporters that rely on the currency, such as b.a.t., unilever, diageo, burr numbberr. european banks. look at bianco popular moving lower after ubs downgraded the spanish bank from neutral to sell. you can see bank of popular down about 1% on the day. another rough session for lufthansa after the german airline said higher than expected fuel costs could affect profits this year, shares down 6%. and speaking of currencies, the turkish lira also grabbing a lot of attention, falling to another record low. it's certainly not a happy new year for the currency. moody's today said that turkish bank profits will be hit significantly this year. the lira is down about 2% today. but already down 5% in 2017, making it so far the worst performing emerging market currency this year. carl? >> all right, seema, thank you very much for that. seema mody at hq. >>> let's get a news update and go to sue herera back at hq. >> hi, carl, thank you. here's what's happening, everybody. esteban santiago, the iraq war veteran accused of shooting and killing five people at the ft. lauderdale airp