francine: d.c. automakers coming into play -- do you see tariffs on automakers coming to play? yianos: it would be bad news. car manufacturers are material in the context-based employment. the elephant in the room is what is going on in terms of china's economy. china has been important in terms of import of cars from europe. also, the export of capital. i see china slowing. it is going to cause deflation. corporate earnings could be down five percentage points. that is not a background the market should consider. francine: is that right? should we be more bearish on the chinese economy? is it adjusting at the margins? yianos: i would disagree, kindly. the market -- these are not risks ahead of us, we have to think about what is priced in already. according to our estimates, in respect to growth, we are close or thexies for china it is a -- question of what is the threshold to lower in terms of what the market is acting on. the threshold for a move to something more stinging is high. francine: if yo

francine: when?ted as an effective global gdp for effectively the past six to seven years. we are seeing signs they are gradually starting to slow down now. it is a gradual process over years. it is not, you wake up and there is nobody at the bond options -- auctions. it is something to adjust to. francine: what if china uses it as a trade countermeasure? option, inuclear think that is extremely unlikely. if they do that, the sensible response in that nuclear option for the united states is to freeze all chinese assets in the united states. in 1979 andin iran they could do it for china. tom: we got the gift of not rising rates and there is a lot of stuff analyzed about it. all of a sudden, the physical .omph clicks in, in an ugly way back to 2006 yields, is that bad for our fiscal integrity? paul: it would probably have to be higher than that, and it does in part depend on why the yield is going up. if the yield is going up because the economy is growing faster than i think is plausible or because in

francine: almost.e is a special place in hell for brexiteers. is there a special place in hell? comm. moscovici: i am not saying the e.u. is paradise, but for the brexit since the start, we respect the will of the british people but we regret it. hear wasot to see and a fragmented political class, and we hope really that in the coming days -- because we have a daysays, something like 50 -- we will find a way. it is up to the british side to tell precisely what they want and to reflect on what kind of relationship they want with the e.u., whether it is inside or outside. yet -- now we are not but time is of the essence, time is running out. pierre moscovici, thank you so much for being with us. adam posen with us. you are an expert on german culture and german theology. they have to clear their banking system. can you explain why this is so hard for germany? adam: there is three reasons. the first is because just like every word else in europe, you noe too many banks making profit so you have to shrink

this is bloomberg. -- francine. francine: the u.s.as asked china to keep the currency stable as part of trade negotiations. china's currency climbed to the highest level in nearly four weeks following this report. is marked for more kudlow, our bloomberg mliv strategist in singapore. first of all, what are the implications? mark: i don't think they are two major because it is already one of the most stable in the world of expectations are it would stay that way. it stayed more stable then global peers, the implied volatility shows it has lower volatility van any. than any g10 currency. i cannot imagine the u.s. is concerned about access strength. normally, the u.s. has been more concerned about countries manipulating the currency. in this case, they're asking china to be more proactive in manipulating the currency overall, a marginally positive bit of news. china's yuan is already stable, already doing well. if this is all the u.s. wants, this is great news. give me a sense of why renminbi moves markets. are they expecting the u.s. to

francine: francine: -- francine: thank you so much for joining us today, the president of a similar and. up next, theresa may speaks of parliament today with fears of a hard brexit grow. he tells next, this is bloomberg. ♪ francine: this is bloomberg surveillance, i'm francine lacqua in london. the u.k. prime ministers back in parliament today forward center she saw her brexit deal heavily defeated. she will address lawmakers as she seeks more time for renegotiation. she what to house of commons on the progress of talks. the you says that the need to find a solution and it's urgent. let's bring in our reporter. to find agoing solution, what is come from? it's not -- it's not renegotiating with the eu. she's trying to renegotiate with the eu. she went on friday. her brexit secretaries meeting yesterday. is goinghere progress to come from his with an parliament. francine: will she have the numbers? >> at the mont she doesn't so this week she's trying to ask them to give her more time. she's working on a proposal. she's trying to chip away. to vote of mps refused for it weeks ago and if sh

francine: what can nestle do better? paul: so much. francine: is there anything you would change?aul: this is a dynamic company so the speed of innovation. the millennial's, the consumer awareness about their diet, about the companies and not only what they do but how they do it, all of that has changed so dramatically. we have to be fast to respond, to anticipate, to be in sync with this one. this whole digital dimension that comes in, and this is not social media definitely, but also the traceability of the supply chains, all these new possibilities to build up into our reality is a challenge and an opportunity. go fast, embrace better more. you can do always better. francine: up next, we talk nestle's push into a more sustainable future. ♪ ♪ francine: nestle has made sustainability a priority. hope to make their packaging 100% recyclable. they are taking measures to use more renewables to powerplants. how do such a large international company accomplish these greener goals? paul bulcke is with us. how much do you think about sustainability and how much does that change your pac

francine: welcome to "bloomberg surveillance." i'm francine lacqua in london. we are seeing optimism, at least we did in asia. that is petering out on the stoxx 600 in europe. pretty much flat. for news are waiting on possible tariffs on automakers and the u.s.-china trade rift. had aooking at yen, we couple of lines from governor kuroda in japan. 1.2924 as pound up theresa may goes to the eu. we hear mr. jean-claude juncker saying brexit is in god's plan's. terminalstory on the yesterday saying the eu is willing to give clarification, but for the moment, they will not renegotiate on the brexit deal. next on "bloomberg surveillance cfo, we will hear what he had to say after full-year earnings lack of behind estimates. in new york city, here is the jan hurtado. to thes the biggest blow german audit -- british auto industry. honda planning to close its factory. the plant is the nation's fourth-largest auto factory and employs 3500 workers and will close in 2021. the move isn't because of brexit, says the cfo. president trump upping the rhetoric against venezuela'

francine. francine: the ticket off with the latest in washington. president trump plans to sign a spending bill averted a shutdown. write aso planning to national emergency to get the money for his wall. i have just had an opportunity to speak with president trump, and i would say to my colleagues as indicated, he is prepared to sign the bill. he will also be issuing a national emergency declaration at the same time. i have indicated to him that i'm going to prepare and support the national emergency declaration. the move risks provoking a lengthy legal battle. joining us is our senior international editor jodi schneider. why is president trump willing to sign the spending bill even though it contains far less than he wanted? the spending bill is all about trying to avoid another government shutdown, of course, there was a 35 day shutdown in january that ended at the very end of the month and they only have a few weeks to try to come up with something. so this is what they came up with. it does include 1.4 billion in , 55ing for border security mile

francine. francine: think he so much. -- thank you so much. had a banner year, welcoming 80 million passengers. it doubled chinese connections and increased domestic offering, only 36 days until the uk's divorce, how is britain's biggest air hub prepared? for more on this, we're joined by the heathrow airport chief executive. are you prefer for a no deal brexit? have you put any plans in place? john: if you have. -- yes we have. it is the prudent thing to do. passengers can be confident they can still fly and still look ahead, even with a no deal. the plans are in place to achieve that? . -- that. opportunity for britain to have a world-class airport that will be the best connected airport in the world. also, a 14 billion pound privately funded investment in british infrastructure at exactly the time the economy needs it. is why the heathrow expansion is such a vital part of the uk's plan for the next few years and decades. much.ne: thank you so airport officer giving us a little bit of his busy schedule. that conversation is just after 9:30 a

♪ francine: meeting in doubt.resident trump says a summit this month with his chinese counterpart is unlikely. will we see a trade deal? theresa may leaves brussels with no real concessions. canned in yet -- can dinner with the irish prime minister hail a pleasant breakthrough -- brexit breakthrough? the amazon ceo accuses the national inquirer of trying to blackmail him. ♪ welcome to "bloomberg surveillance." i'm francine lacqua here in london. these are your markets. we are seeing a little bit of pressure moving sideways. stoxx 600 generally flat. they are now worried about a trade deal between the u.s. and china. we are seeing downward moves when it comes to stocks and upward moves when it comes to bonds. as the prime minister of u.k., theresa may, heads to the irish capital to meet with --, you can see pound up. coming up, we speak to the chief executive of mediobanca, he is alberto nagel, if humans from now -- a few minutes from now. paula schulz is giving -- olaf schulz is giving a speech. >> a secret brexit

francine, please. francine: i'm looking at pound.rney is also talking. -- we moved to quickly sterling options and held it for several months after the referendum. we have decided, given the coincidence of two events, one that we had to give the update for our schedule of these ons,lities, these aucti and the fact that we are appearing before the tse to move to weekly options of sterling liquidity. a couple of other quick points of context. there is about 100 banks and building societies eligible for these options. what they do is they bid for liquidity. these institutions have prepositioned collateral with us. once the collateral is discounted, it gives them the right to bar up to 300 billion sterling of liquidity. liquidityt seeing any stresses in the market. the most recent actio we had three weeks agon, there was something, but the bidding was somewhere around the minimum of price. a few basis points above bank rate. the outstanding on a facilities right now is about 9 billion sterling -- my .5 billion sterling, actually -- 9.5 b

francine.rancine: president trump said trade talks with china are going well but there will be no final deal until he meets xi jinping. he has told reporters that tremendous progress in two days of discussion does not mean there is an agreement. out a newto work trade deal with china. i think it will happen, something will happen. but it is a big deal. if it does, it will be by far the largest trade deal ever made. francine: joining us for the our guests. when you look at the trade talks, is there a danger we go back to what we had a couple of months ago? or is it because it is in the right direction, we should end up with some kind of deal. >> i don't want to be overoptimistic. it could be simply that the truce is extended for another 90 days with token agreement. i think the incentives around trade wars have changed now that you have softness in the chinese economy, u.s. data turned a little. it is not the sanguine environment trump was enjoying. if you really cares about the economy, i think

francine: francine: francine: trump trade truth. the u.s.er substantial progress in trade talks. which means is it risk on or caution. and the rally stumbled a bit in the u.s.. it has rallied back on as china warns of new uncertainties. brexit delay. prime minister theresa may says my 12 is the next brexit vote in parliament as she tells angela merkel that she does not want an extension. >> welcome to bloomberg daybreak america on this monday, february 25. i am happy today. green book. >> like the one you saw that you like. you did not like the favorites. >> i was not a big fan. i did not like roma. i am not a real aficionado. i really like green book. >> i cannot believe that glenn close did not win. nominated seven times. she is nominated the most ever and not one. that is something specific you don't want. >> and a great performance. a really great performance. >>

francine: playing for time. theresa may except the offer of more time for talks with jeremy corbyn as she tries to renegotiate brexit. u.s. china trade negotiations resume in beijing. more than double tariffs next month. and we will talk -- and talks to fund the u.s. government broke down over the weekend. the deadline is friday. good morning everyone and welcome to bloomberg surveillance. i am francine lacqua in london. a check on your markets. just getting some breaking news out of china. this is the end of year foreign-exchange reserves and they are pretty much in line with analyst estimates, just a tiny above. looking at european stocks, they are on the upside. there's a little bit of optimism that there can be something done on trade this week and that would give a little bit more of a lift and you can see the u.s. 10 year yield at 2.65%. also coming up, we speak to catherine mann, the global chief economist at citigroup. we will talk to her about europe and the u.s.. let's get straight to the bloomberg fir

francine: thank you both.ng us this morning and all donovan of -- paul donovan of ubs wealth management stays with us. on brexit, more on you take -- u.k. assets, next. this is bloomberg. ♪ francine: economics, finance, politics. this is "bloomberg surveillance." we will get a lot more from haslinda on president trump and kim. -- let'soughts with p now get final thoughts with paul donovan of ubs. what can ecb actually do? when did we find out who will replace mario draghi, and if it is a german at the helm, does that change the policy of the ecb? paul: it doesn't look like it is going to be a german at the helm. the noise coming out of berlin is perhaps that they are looking at another role in europe. innsurprising number of f -- a surprising number of fins are looking at the job. you get a degree of tightening coming through. tactic there is also recognition that negative rates are quite destructive if they go on to long. it leads to a misallocation of resources. companies invest in products they shouldn't. t

francine. francine: thank you very much.heresa may has promised parliament a vote to rule out no deal brexit and a vote to the late you departure date. to avoid mass vaccinations and avoided another defeat in parliament. under her plan, if parliament rejects her deal, there will be a vote to leave the eu with no deal. if that fails, the commons will vote on a short extension, likely to the end of june, at the latest. what does this mean for business and investments? noining us now is ignacio gala from ebert roll up -- ib erdrolan. galan, always a pleasure to host to hear. -- you hear. is it a big impact? ignacio: not much, we're mostly deregulated. our revenues are in pounds, 80% of our investment is in pounds. the main thing is how this is affecting fx. but we are that uncertainty has never been good. , nowif we are convinced they are ready in certain cases. now they are changing their minds to continue investing the country and continuing to provide with materials that we are already using. as soon as the uncertainty finis

francine: thank you so much. up, we talk brexit talked the future of politics in the u.k.. that is with the liberal democrats that the leader. meanwhile, u.s. equity futures are also up as the white house is said to postpone tariffs on china. ♪ francine: economics, finance, politics. this is "bloomberg surveillance." let's get straight to bloomberg first word news in new york city. viviana: president trump is pushing back the deadline for higher tariffs by 60 days. he already indicated his willingness for letting the march 1 date slip if the two countries are close to a deal. esume intrade talks r beijing. china's export growth unexpectedly rebounding in january. the results likely boosted by companies trying to ship ahead of the lunar new year. outbound shipments rising over 9% from a year earlier. in done deliveries slipping while bit 5%. and left china with a trade surplus. paul manafort's plea deal is off. he reputedly lied to federal prosecutors after agreeing to cooperate with special counsel robert mueller

francine: has it been difficult to keep costs down?ill: it's a challenge to get expenses out of the base. much more efficient than we were three years ago. we are shifting our focus to productivity. it is not about stripping out streamlining the organization because we have done those things. the next that is to be engineer our processes to get a lower cost per unit and higher income per client. francine: is that why you are moving some employees? full-time employees concentration, reducing that -- moving them out of london? bill: the have headquarters in london, operational headquarters in singapore, a very important regional hub in hong kong, our biggest region, and in dubai. we have accumulated a cost base in some of these high-cost locations. what we will look to do is to headcounty cycle the from these high-cost locations and to other lower cost locations in our network. it is more likely a to be a rotation. for example, in singapore, we moved substantial numbers of people. over the past five years or six years. the headcount cont

francine: would it be in wealth management?, although our suite is pretty complete right now. the markets we cover, we have pretty good penetration. francine: would you actually merge, or put private bank into wealth management? bill: we think of it as a product. private banking is a banking segment. they are managed by the same person. the interplay is very substantial. the wealth management products artistry but it to our reach of channel. 70% goes out to retail. it is a product that serves two client segments. anna: that was bill winters speaking exclusively to francine lacqua. the share price down 1.2% in a falling london market. down a little less than that. the hotly awaited review of their strategy. don't forget, if you are bloomberg terminal user, you can interact with all the charts we use. we have shown a few during the program this morning. we will show more in the next part of the program. g tv is the function to use. next up, battle of the charts. this is bloomberg. ♪ anna: welcome back to the european open. 5

francine: timing is everything. jpmorgan says the dead -- the feds dovish pivot could push the recession past 2020. president trump strikes a positive tone on talks with lunar yeare approaches. with the year of the pig be a trade deal? ryanair slumps. holds risks from unexpected brexit developments. are non-eu shareholders of which the u.k. will be a part, will not have voting rights for a amount of time you be forced to sell down to eu nationals. francine: welcome to surveillance, i'm nejra cehic in london. in for francine lacqua. we started the equity session trading water the were now moving to the downside. off by 0.2%. we had that big jobs number out of the u.s. on friday, the reason to pause for the fed. the 10 year yield mukai or by five basis points on friday. the dollar on his third day of gains, up 0.2%. the reason we're seeing weakness in emerging-market equities and fx so far in today's session. plus to discuss in the week ahead. rate decisions from the r.b.i. among others. we also speak to chris christi

francine also asked about the interest rate environment.about the situation european banks are in from the perspective of interest rates? the ecb certainly does not look set to raise rates this year. >> no, absolutely not. the condition certainly are not there for the ecb to raise rates. it is slightly interesting, in --t, the ecb much, much weaker. inflation is rolling over and has to do with oil prices. but when you look at core inflation, that is preceded -- nonexistent at the moment. any kind of upward pressure on bund yields is absent. and then you have the ongoing political situation with brexit, with italy, with france as well, all lining up to keep it safe haven bond relatively well. probablyeurope are likely to stay low for some time. anna: and here is a topic i know is close to matt's thinking. i got a chart, member rate returns. it shows the worst performance over the past four quarters. bank,zbank and deutsche both at the bottom of that's created. consolidation has been talking about for his long as i have been talking about fin

sparked a huge public outcry about what's being done about it speaking to the country's first lady francine mom of the view. also coming up. gay sex is a crime in kenya but the high court meetings out on friday we meet one woman for whom the landmark ruling will have a huge personal impact. i'm eddie michael jr welcome to news africa i'm glad you tuned in rape and sexual violence has been a continuing crisis in syria and for yes and it's getting worse in fact it has led presidents mother below to declare it's a national emergency he media announcements are made a public outcry over the issue after recorded cases of rape and sexual assaults doubled in the past year two thousand five hundred activists believe the actual figure to be much higher as many victims don't report sexual attacks and that's another shocking statistic seventy percent of the victims are under the age of fifteen one recent high profile case involved a three month old baby president he'll also announce that people convicted of sexual offenses against minors will be imprisoned for life. a move was welcomed by activists and

francine: president trump says he is open to letting the march 1 deadline to raise tariffs on chineseds pass without penalty if the sides are nearing agreement. that may send a conciliatory signal as talks continue. president trump: if we are close to a deal where we think we will get it done, i could see myself letting that slide for a little while. >> s&p 500, best day since january. the nasdaq, outperforming. tech on a run, but dow jones industrial average basically having nothing in the red. >> it is good news. trump said that as a deadline and said there would be no extension. it is in the federal register. the fact he is willing to extend it and the fact that you see steven mnuchin and robert lighthizer arriving in beijing, probably means they are making progress. and that both sides want a deal. >> theresa may and the eu are said to be heading for a all or nothing loss in the brexit show done. itv news is reporting that may's top brexit aide had said she will wait till the last moment before putting a deal to parliament. he allegedly said that may would force lawmakers to choos

francine: theresa may and the eu are said to be heading for a all or nothing loss in the brexit -- last minute brexit showdone. itv news is reporting that may's top brexit aide had said she will wait till the last moment before putting a deal to parliament. he allegedly said that may would force lawmakers to choose her deal or a potentially lengthy brexit deal. therese: everyone has been saying, what does theresa may think? would she really accept no deal? the speculation at the beginning of this week was, maybe she is a leaning toward nodeal. with all the economic news and the poor investment environment, that is something that frightens a lot of businesses. robins revelations suggest what any rational thinking person would say, that a government could never take that risk. and what robins has said, what the government has said, is that may is not going to go for a no-deal option, she is willing to go for an extension. it would be a long extension, and she is hoping to corral her mp's to some kind of agreement. anna: tidjane thiam, the three-year restructuring at credit suisse group ha

. ♪ francine: renminbi jumps, the u.s. asked china to keep the currency stable. back to brussels to save her deal. the president speaks, vladimir putin stern to give his annual state of the nation. while you on domestic policies or ramp up rhetoric? ♪ francine: good morning, everyone. these are what your markets are doing, a little bit of fluc

francine: francine: francine: trump trade truth. the u.s. push spec a march 1 deadline for increases on china after substantial progress in trade talks. which means is it risk on or caution. and the rally stumbled a bit in the u.s.. it has rallied back on as china warns of new uncertainties. brexit delay. prime minister theresa may says my 12 is the next brexit vote in parliament as she tells angela merkel that she does not want an extension. >> welcome to bloomberg daybreak america on this monday, february 25. i am happy today. green book. >> like the one you saw that you like. you did not like the favorites. >> i was not a big fan. i did not like roma. i am not a real aficionado. i really like green book. >> i cannot believe that glenn close did not win. nominated seven times. she is nominated the most ever and not one. that is something specific you don't want. >> and a great performance. a really great performance. >> apparently, the dress way to like 42 pounds. like putting a pregnancy on you for an evening and then taking it away. >> k

francine: meeting soon, the white house says trump will get together with xi jinping two in the tradee. capitol hill reaches a tentative deal on border security that would keep the government open. forecast in its first earning since these scandal. we are live. if you're watching from asia, looking to bloomberg surveillance. these are your markets.

francine is on her way to talk to the ceo. this is what we have.rancs.ion swiss the revenue is big. when it comes to the net income, a very comfortable be. -- beat. 292 million. the estimate was 191 million. these are beats on the revenue side. when it comes to the start of the year, it's a very slow start in terms of fees. credit suisse with a very slow start in terms of their fee structure. the man himself is having the conversation with one lady from bloomberg, the ceo of credit suisse at 7:00 a.m. london time. wealthr how his ref -- management has done. good morning. nejra: happy valentine's day. we are seeing a be for common bank. fourth-quarter net income coming at 114 million euro. the estimate was 82.1. that's a very comfortable the there. we want to take a look at the dividend. euro, ining in at 20 line with the estimate here. it is seeing higher underlying revenue than 2018. seeing 2019 higher underlying revenues in 2018. we were looking for guidance, guidance on the dividend to maintain for 2019 at a level comparable to 2018. what analys

i am francine lacqua in london. haslinda in hanoi.

. ♪ francine: meeting in doubt.a summit this month with his chinese counterpart is unlikely. will we see a trade deal? theresa may leaves brussels with no real concessions. canned in yet -- can dinner with the irish prime minister hail a pleasant breakthrough -- brexit breakthrough? the amazon ceo accuses the national inquirer of trying to blackmail him. ♪ welcome to "bloomberg surveillance." i'm francine lacqua here in london. these are your markets.

[applause] ♪ ♪ francine: nestle is the biggest food company in the world, with products in 191 countriesany boasts more than lifebrands, like pure water, kit-kat, and others.

francine lacqua has the day off.ere is the ceo on the alphabet call. >> being able to deliver gaming with a kind of real-time definitelys, it is an important computing advance. we think it will help us drive the newer computing platforms we are working on. let's welcome bloomberg opinion tech columnist, alex webb. it is the margins are gaining attention here.is pressure likely to continue the rest of the year given what we heard on this last earnings call? alex: it absolutely looks like it will. google has been on an an channel growth phase. possible underlying weakness was covered up by things like cloud. now, we see the cloud business weakening a little bit. facebook has said their margins are getting weaker for different reasons.they are investing in more concept moderation. it is probably good opportunity for google to double down and invest in strengthening its profit while some of their competitors are also getting weakness. tom: we have seen this before. i feel terrible for google. people -- free cash flow has

far so i think that is going to be that the big issue in the coming months does in favor and in francine of try to force games in twenty twenty two on other countries in terms of certainly going against what cattle right in the eyes of the tournament want then that's an interesting point rob put it to james because currently pfieffer is is looking at a feasibility study as to whether or not to expand twenty twenty two from the thirty odd of the thirty two teams to forty eight in if that were to be the case that would involve the participation of other countries in the region i those countries who are currently blockading cata how complex how how plausible is this as an idea given the current situation if i can take what rob said a step further i think the notion that forcing the suit a situation which got there would have to share the hosting rights with other states in the region is and that that would sure to bridge build bridges and. spark every conciliation process is pie in the sky now whether johnny infantry you know the face of president consciously or unconsciously is doing so in

. >> now let's return to francine lacqua's interview with banko santander's chair.ank recently reversed its decision to hire the ubs executive as its new ceo, so that position remains empty. but she says this hasn't disturbed investors. >> investors are very relaxed. i think they are very happy with our performance. it's not just growth and predictability, but the three-year plan, we originated with organically generated, $25 billion in capital. we're about on target, 11.3. capital. we're about on target, 11.3. but very important, santander comes out as the best bank in europe. this is our model, which delivers growing results, predictable results through the cycle. our investors want us to continue on this line and continue generating all these advantages. >> what exactly happened? happened? what made you believe that there was a commitment to pay -- >> andrea is a great professional. we've known each other for years. the ford came after a very diligent process to the conclusion that the amount santander would have to assume for his buyout was something that was no

francine: theresa may is hoping to break the brexit deadlock. british prime minister, european commissioner agreed to further negotiations and to set new deadlines. maria: she didn't get those concessions. it wasn't a complete failure for the prime minister, especially if you take into account everything that was said the day prior, where donald tusk, the head of the european council, said pretty much brexiteers should go to hell. there was an impression the prime minister was walking into a trap. that was not the case. the eu did agree to reengage, which for the u.k. is good news. the eu said as far as they were concerned, the negotiations were done. they are back at the table, which is good. in terms of concessions, in terms of a breakthrough, we do not see much progress on that, because the eu accepted we can't get the backstop, and we can't put a time limit on it, which really does make me wonder what the vote next week is about if the prime minister has nothing new to offer. nejra: still ahead, as we review the week on "bloomberg best," and

. ♪ francine: nestle is the biggest food company in the world, with products in 191 countries.more than 2000 brands, like pure life water, kit-kat, and others. -- two. while nestle products transcend countries and cultures, and often tailored to local tastes. what type of leader does it take to oversee such a company? today on "leaders with lacqua," we meet paul bulcke, the chairman of nestle.

we have the vice president of the fire commission francine covington. joseph who's the neighborhood supervisor who remind us constantly that station 16 is his neighborhood. fire station as well. it's very important in 798 is represented as well. we thank you so much. we look forward to the work. this is the greatest example of san francisco which is collaboration and taking care of public safety. we also have mr. kendall coleman. thank you so much for all your contributions. thank you for the neighborhood in terms of your patience. thank you for being part of san francisco. thank you for this beautiful day. thank you. >> are we ready to cut the ribbon? father grown, will you come up u come up and say a prayer for us. then we'll cut the ribbon. >> we'll pray that the scissors work. i thank chief hayes-white for her kind words. i liking to meet that father grown some day. sounds like a nice guy. for all those who work at station 16, may this house always been a sign of safety and service for this neighborhood. amen. >> okay. 5, 4, 3, 2, 1! streets. >> (sp

the historical surcharge levels at the very least, and again, in consideration of actual and and francine circumstances that are burgeoning this department within the next two years, as prep -- as well as the common sense view that san francisco government t.v., and other direct services provided to the department will most likely go up, based on common sense payroll increases, and the outside services that don't ever seem to go down in my world. >> yeah. there are increases in salary. those do increase every year. i understand commissioner lazarus is talking about some of the stagnant costs. i can answer in terms of the city attorney. i do recall cynthia saying we over budget for the city attorney. if we have a year where we needed a lot of legal advice or a cushion. >> or, again, unforeseen circumstances. if we have contentious acacias -- cases, which cause more use, we have been really good on lawsuits the next -- the last couple of years. have we not? >> litigation is not actually charged to you. for example, i needed to write a memo for you. that could take a lot of city attorney tim