some comments from gazprom's ceo across the wires.he ceo says gazprom offers ukraine a loan of on $2 billion to $3 billion to pay off their gas debt to the russian gas producer. apparently ukraine told gazprom on monday that it cannot pay in full for its february gas supplies. they're already unable to pay for the gas supplies that they've used in february. so highlighting the situation, we know the financial situation in the ukraine right now. >>> president obama will release its 2015 budget plan today. that's at 11:30 a.m. eastern. it's a month late with the delay attributed to the budget deals passed by congress in december and january. it aims to expand credit for middle class families to afford child care and college costs. president obama will ask for more spending on u.s. infrastructure, such as highways, bridges and trains. citigroup expects lower bond trading revenue in the first quarter due to economic uncertainty. the cfo says he expects market revenue to be down in the high/mid teens from a year ago. fixed income accounts

gazprom one of the key losers for the russian market. we've got a broader impact as far as the russian markets are concerned than what we're seeing in poland, as well. so the real dominating factor is the ukraine. thousands of russian troops are focused in the crimea region following a dramatic weekend in the ukraine. this is a declaration of war by vladimir putin. u.s. secretary of state john kerry condemning russia's actions and will travel to kiev tomorrow for talks with the new ukrainian government. >> president putin is using force in a completely inappropriate manner. fears he's going to lose on the international stage. russia is going to lose. >> steve, it's the one possible benefit of seeing russian aggression here, but actually, it could boost popular support for the new ukrainian government. >> i'm not sure about that, julia. i think this is a country that's split top to bottom, east to west, north to south. the russians invaded crimea. it is the russian troops in force with a lot of military hardware. because they said and put

gazprom claims the ukraine is not fulfilling contractual obligations. fox business news analyst and oil trader phil flynn has this take.. " when we look at ukraine it's kind of the tale of two markets: you've got the european market that has been very volatile based on the headlines coming out of russia and the ukraine and of course here in the u.s. we're mainly focused on this ridiculously cold weather. so, you put it together: we've got a cold war, cold weather, natural gas is going to continue to be crazy." natural gas futures spiked almost 4% yesterday. a budget blueprint for the u.s. is on the table. president obama's 4 trillion dollar proposal includes 56 billion dollars of investment spending for pre-k education, infrastructure, and job training programs. it raises taxes on wealthy americans and includes an overhaul of the corporate tax code that would end loopholes. the white house budget office projects-- the proposals reduce the federal deficit to $564 billion by 20-15--- taking the defict down by about half of what the obama administration in

gazprom executives say they're canceling the discounts because ukraine owes the company money. they say the debts amount to about $2 billion. >>> chinese president xi jinping says he believes russian leaders can reach a political solution to the crisis. officials at china's foreign ministry say xi spoke with putin over the phone. the officials say xi described the developments in ukraine as accidental, and that they have elements of the inevitable. the remark appears to suggest that chinese leaders are sympathetic to russia's position based on the history of crimea. russia annexed the peninsula in the 18th century. it became part of ukraine during the soviet era. xi told putin that china supports mediation efforts by the international community. the remark is seen as a check on moves by western nations to impose sanctions on russia. >>> japanese prime minister shinzo abe says his government will respond strategically to the crisis. he made the remarks at an upper house budget committee meeting. abe said the national security council will weigh japan's ties with the u.s., the eu

warning which gazprom says is due to unpaid bills came friday to the use threat of tougher and tougher sanctions against moscow meanwhile in crime the unidentified militants smashed through the gates of the ukrainian air force base this and said that's the poll and has some rochelle ferguson reports the game looked to be russian forces to take him to hit the cpu missile and space without firing a single shot. late on friday in a highly contentious in the car in the region on men and add to the russian made t trucks into this. surrounding the kimono paste. they truly did from both sides. on the page covers to bake every f one track from the side of the checkpoint and another ten from decay. you look between thirty five and sixty on them and they can through the gates and time over the fence. initial reports suggested to last through the gates of the basic feeling selling seventy meet economics. in the celtic and space could well be the eighteenth minute screens can be seen taking a brooklyn last year in the region until now the signs of health and my skin. when i protest email will be e

the result of an asset swap between gazprom and the gem in terms of inches high. in exchange. in just the gift part ownership of a gas field in siberia some experts on shore it's a good move. fundamental point though in light of the crisis in ukraine. given that russia is currently using it to dance as a political weapon again. it's boring but there's a russian state owned gas firm in germany. that could conceivably be used for geo strategic purposes and in that. the sudden stop to russian gas deliveries would be a problem for gemini for now. after a mild winter storage facilities the fold only instead of jimmy's gas supplies come from russia norway in the netherlands each supply about a quarter gemini itself produces the tenth of its own needs an additional supplies come from denmark and the uk. but now russia is continuing to deliver gas. i shot off would be disastrous for its own economy. almost two thirds of russia's export revenues and at least cost the state budget come from sales of gas coal and oil. for an indepth look at the crisis in crimea or you can fi

cut the price of gas by thirty percent but executives with russia's state controlled gas producer gazprom say. they decided to cancel the contract from the beginning of next month gazprom executives say they're canceling the discounts because ukraine owns the company money. they say the debts amount to about two billion dollars. chinese president chief jean ping says he believes russian leaders can reach a political solution to the crisis officials at china's foreign ministry say she spoke with putin over the fall the officials say she described the developments in ukraine as accidental and that they have elements of the inevitable. the remark appears to suggest that chinese leaders are sympathetic to russia's position based on the history of crimea. fresh to annex the peninsula and the eighteenth century it became part of ukraine during the soviet era. she told putin that china supports mediation efforts by the international community the remark is seen as a check on moves by western countries to impose sanctions on russia japanese prime minister she is often says his government will res

seizing any team giant gazprom which is the major player in the russian economy were down twelve percent on monday gazprom pipelines monster ukraine the leading natural gas to europe the eu he went into sanctions on russia that would cut off vital source of revenue for the country. one of the tamaki correspondence contact lists and when i did add to the dax grass behind your backs look somewhat rushed today how one reads on indices of the conflict in ukraine could escalate. with a wet race on sunday that money. i'm not the stock markets all of the euro on the downside that if we compare the losses in western europe to moscow. then we can clearly see that losses are receiving some would gradually. much further you go go west moscow is still down nearly thirteen percent right now im also in poland stalks of losing run about four cents. when he and a gemini of the most is me the creeps. biggest losers of course all companies which have a strong connection with the senior of many bands for example but also by the dust the number one on sports goods markets in both russia and ukraine. i know

others, we know, gazprom come a look oil -- gazprom, lukoil.ts enough they become attractive. russia might be worth a look. it needs that you, the eu needs it. it has gotten crushed. there is some value here. adam johnson, appreciate it. "on the markets" again in 30 minutes. "bloomberg west" is next. ♪ live from. three in san francisco, welcome to "bloomberg west." i'm emily chang. we are waiting for president obama to deliver from remarks on ukraine. secretary of state john kerry is in rome. he will be speaking about what is going on in ukraine. withdramatic developments the voting out of the parliament in crimea. first, cory johnson. we

gazprom stock went down by 15%. i'm with you. i do think that the two most potent options are the banking sanctions and, bluntly speaking, cutting off access to u.s. markets. >> right. >> and no less freezing assets. that will have an impact. >> a lot of these companies -- what is the russian stock market? okay it does trade in new york and so forth, but basically, as i understand it the russian stock market is state-owned companies, all right? it's their stock you're talking about. so if all the investment is rushing out from for inners or if the u.s. and europe put the clamps on banking and so forth, they will really be hurt. these are the state-owned companies that basically the backbone of what's left of the russian economy. >> absolutely. and we've already seen evidence of this, as i said. if you look at the data, on march 3rd, actually this already took place, and even without the imposition of sanctions, just because of the threat and the concern that there will be sanctions. >> we have to be realistic, they are not going

the people at the head of gazprom to be targeted. who like thele head of gazprom invest holdings. why is he not on the list when he has been one of the main architects of putin's policy of extending power in the former soviet union. on "the sunday times" list as the richest man in the united kingdom. there is a dislike of targeting assets which hurt us. , westernthe long term powers have to wean themselves off of energy dependency on russia. i think the main strategic move which should be taken is serious steps to avert energy independence it. u.k. ambassador to lose pakistan, craig murray. >> we have been showing you the briefing on the missing malaysian flight. we will monitor that event, but then it's big news event we will bring you are the comments of u.s. president barack obama speaking in amsterdam. we will be doing that very shortly right here on "the pulse ." >> still to come, a virtual reality headset transforming the experience for gamers. and what you need for a manic monday. that the monday -- robot goes to meetings for you apparently so you don't have to. we will see

russia's state-controlled gas topany, gazprom, threatened love supplies to ukraine earlier this month, as it did during the winters of 2006 and 2009. gazprom has stated that it is preparing to double the price ukraine pays for its natural gas , which could cripple the country's already weak economy. now, we have a powerful tool to counter this pressure. it is one that is waiting to be used, and that is our own energy reserves. we must remove restrictions on the export of u.s. crude oil and natural gas. have, in fact, a letter to speaker of the house from heads of state of poland, the czech republic, slovakia, hungary, sources, sellctly resources. at the end of the day, if we do flaring of thee gasoline in the states because of a glut. we help reduce her deficits. it increases russia's deficits, frankly. it increases jobs and united states, but it comes at a time gripvladimir putin has a on the next of the decision-makers in eastern europe with respect to his power or monopoly on gas. these self-imposed sanctions on ourselves, in terms of not exporting our excess gas, not only boost th

he talked about talk of gazprom, the russian supplier stopping supplies to ukraine. he was defiant, but parallels with the protesters, saying that they'd shown ingenuity and improvisation to get water supplies and energy into the maydan. if the gas supply was cut off he said we have wood, spring is coming and perhaps we can survive. it was partly tongue in cheek, but not allay fears of everyone in ukraine or europe if russia and gazprom takes the step. no words that can actually point to support, practical steps taken by ukraine's allies in the standoff with russia. >> let's go to crimea, where there's confusion as to how many pro-russian troops are on the ground. 20,000 were said to be in the region. ukraine's border guards estimated higher, saying about 30,000. moscow denies its troops are operating there. the region's prime minister says he'd welcome and does welcome the russian forces. >> we accept the help of people coming from russia to join the self-defence units. we do not check their registration. some are retired military officers from russia. they have the

then for the third one under the control of his fate-owned monopoly, gazprom. the fourth is controlled by his girlfriend. he is one of the wealthiest media mag nates. >> we have a little time left. what about the tough guy image. >> it chutes the expectations of russians. that's the guy and this image was used by far right conservatives as the opposite to president obama, when president obama plays golf. putin plays hockey. vladimir putin rides horses with no shirt. the image of a tough side. >> we'll have to say goodbye. thank you for your invite. >> headlines are coming up >> welcome to al jazeera america. i'm richelle carey, here are the top stories. the white house getting tough with russia over ukraine. today president obama spent an hour on the phone with russian leader vladimir putin. earlier he authorised visa restrictions and sanctions on russians and ukrainians threatening democracy in ukraine. the crimean parliament voted to hold a referendum with hopes and join russia. the vote is set for march 16th. the western backed kiev denounced the move. >> th

said they gazprom could not have the option. and you said $2 billion. >> china, the annual meeting of the legislature again today and the government is keeping his 7.5% rose target for this year for the same as last year. willremier said that it promote jobs. china needs to clean up the pollution, try to avoid an unprecedented debt search. you heard about the chinese solar company that signaled yesterday the risk of what could be the first bond default in china. >> the banking system as well. help me. we look at the terrorist attack -- >> over the weekend. >> how does that color domestic and regional chinese politics? >> you can bet it moved to the top of the agenda as well after the mass knife attack. they called it china's 9/11. >> do you have a back story your two of this political meeting? is there a backstory? >> it is holding in line to what they agreed on, which is focusing on shifting the economy from and export investment driven economy to more on domestic consumption. >> and solar companies? >> no. >> are they discussi

and earlier this month, it did this just as it did in 2002, and 2009, gazprom recently, i read in the financial press, is now saying it's going to double the price ukraine pays for natural gas, which would really cripple the economy there. so that is why mr. sherman, that is why i raise this as a consideration, a geopolitical tool here that could be used in order to send the message that we've got a strategy in order to undercut the ability of putin to do this. do any other members seek recognition? >> mr. chabot. >> thank you, mr. chairman. i want to commend you and the staff for getting this timely legislation on ukraine before the committee this morning. it's very important that the congress map out a strong position on president putin's acts of thuggery and i know we can count on the solid support of this committee today on h.r. 4278. i also want to express my strong support for the resolution affirming the importance of a taiwan relations act as we commemorate the 35th anniversary of the tra, let us rather that our diplomatic relationship with the people's republic of china is pr

they need the gas from and what is this the pressure of going out to run gazprom would react because it's prairie to the snow off monet it's not about fifty percent of them on of the budget is thirty two percent of the eight schools two weeks. it's huge for us chop. it's very harmful to the economy rush becoming not so much to europe. was it the effect is an awesome entry to peck peck to recall that in comics and most boys take on russia to take on europe would discuss that. that's been effectively distinction as it is now a very light compared to the escalation briefings. in knots of wind and of course watch the europeans but will i agree tonight michael branch. looking ahead and beyond. he's had trouble than dozens of sanctions against individuals at war with the energy sector to be talking to spite the europeans what effect would it have on russia. well it could happen. did you not to take on russia and the railways. advanced the argument that the miles seem only to sit and six sometimes with good reason in europe by the dependency of europe too. yes this russia is even more depen

ross as it does mean the organizer on gazprom will we overreact and ross that they have to react because they would not have new cash into any more. i will be the results of that reaction and full of people use your time and detected in ukraine because the rosters of course the surface it off the taps to ukraine to fall yep it's a known paul salmon season i can settle on the respondents was that they did get gas and was a crane and the transit of gas out of the future. once the rains coming from the natural resources in ukraine and russia this has to change it be this country want to change those fitted to chase economy and to diversify so but today he asked. the i think the major the major shopping before rushing into a consenting dissension. thank you very much to the door is my moment to close the mix but when you can rush thank you so much good. in other news the singer is wrapped up the inside out swing snap elections. the results of suggesting a landslide victory for the wedding sms policy. the connie is full front and put his mind so the air which discarded seeking eu membership i

. >> russia is already trying to squeeze ukraine raising prices through gazprom. >> that is a political move. it is a fictional price. russia cannot live without getting the revenue for its energy supplies. this is a two-way street. russia is a far more energy-dependent economy. it is a petro gas state. >> how much of a difference can u.s. energy exports make? >> it can make a difference over time. this takes a while to create infrastructure to allow these sorts of things to happen. you need to approve the liquid natural gas in the united states. you have to set up the pipeline infrastructure. it exists, but has to be adapted to this. the point is someone has to lead and allow the markets to go forward and start this process. once those market forces are in play, then i think all these countries that matt was describing can think about signing contracts that are alternative to the russians over maybe the next four, five years. >> kim, we had one approve the debt energy department approved one export terminal this week in oregon. there are still 24 more applications to go. how is this wh

he's a very close adviser to president putin, and another name, alexei miller, chairman of gazprom, one of the biggest in the world. and that's the company that carries gas to europe across the pipelines in ukraine, so those two names on the possible list that we'll be hearing more about, if the russians don't back away from supporting this referendum in crimea on sunday. these meetings will be taking place and be probably breaking soon and then both leaders, serg day lavrov and secretary john kerry will hold separate news conferences. not together, but separate news conferences, and we hope to get word on what's going on with the concessions. >> as the politics talk, the situation on the ground grows worse. overnight, violence breaking out in eastern ukraine. one person is dead and others injured. all over the vote returning crimea to russia. jennifer, what's the mood on the ground as we await word from both of these foreign secretaries, the secretary of russia, and also the u.s. secretary of state? >> well, del, crimea has been unapologetic about the international community since it d

russia's state owned gas giant gazprom cut off ukraine's of twenty thousand knowing sorry teaching remaking dance which was to come to why crisis with the gnocchi to avoid repeats in our yard starbucks during its shareholders meeting into an episode of the oprah winfrey show the celebrity talk show host appearing to announce a new drink called the great i held the sword of the company's cafes starting in late april. slice the move comes a starbucks looks to tap into tea you can use illustrator starbucks cafes are still enjoying strong sales growth for the company is also facing intensifying competition as fast food chains and others crowd the coffee market. starbucks ceo howard schultz has said repeatedly in recent months that he wants to make tea as popular as he helped make coffee with starbucks the idea for the collaboration came after winfrey shared her love of tea with salt and a wedding we attended last summer starbucks and a portion of the proceeds from the sale of the teapot which i will go toward the oprah winfrey leadership academy foundation of youth educational opportunities. ey

- no longer owns shares of the company.other reports say the chairman of russia's energy monopoly gazprom sold his entire stake in the company just a few weeks before putin started the invasion. today's cover story centers around the changing business environment in russia.u-s and european sanctions may be mild now, but economic uncertainty has investors re-considering their global strategies. as russian president vladimir putin met with u-n secretary general ban-ki moon in moscow for official talks on the ukraine crisis thursday, president obama upped the ante in washington. " i signed a new executive order today that gives us the authority to impose sanctions on not just individuals, but on key sectors of the russian economy." 31 officials with russian ties are now barred from entering the u.s, and from doing business with any u-s firm. the president's latest step authorizes but does *not implement * sanctions on sectors of the russian economy including financial services, energy, metals and mining, defense and engineering. " this is not our preferred outcome. these sanctions would not

that is something you could not have imagined gazprom saying eight or nine years ago. >> we will come back to you later, ryan chilcote live in the ukraine. >> russian markets bore the brunt of the emerging market follow its. jonathan ferro has more on the emerging market reaction. yesterday was a bit of a bounce. today? >> let's call yesterday monday and reverse. seeing stronger markets in asia and with all money going into the swiss franc and the japanese yen, a bit of a turnaround. dollar-yen high if you ever nikkei,to trade the it is up 1.5%. escalation has diminished somewhat. markets rarely have 2020 vision but people can get a little blasÉ. is 175ual gdp of ukraine billion dollars, four days of gdp and the u.s. and the entire stock capitalization is about the size of the disney company. this was never about ukraine. it was about spillover effect and what happens with russia and the eu. can you say that putin really stepped back yesterday? language and he did seem to step back somewhat. investors have jumped on it and they are almost back to where they were monday morning. >> you

billions of dollars at stake when it comes to that, and crimea's saying they're going to give it to gazprom, the russian gas giant. so, there is an awful lot at stake here as this goes forward, christine. >> petrol politics just beginning. michael holmes, thank you so much. >>> 14 minutes after the hour for us. this morning at the oscar pistorius trial in south africa, a crime scene photographer is due back on the stand answering questions about the pictures he took of the pistorius home after oscar shot and killed his girlfriend, reeva steenkamp. the photographer revealing it was just him and pistorius in the room when he took the picture of the sprinter's hands, and there was unexplained blood on the walls near pistorius's bed, far from the bedroom where the shooting took place. >>> developing this morning, an alleged wanna be al qaeda terrorist arrested near the canadian border. 20-year-old nicholas toussaint appeared in a seattle courtroom on monday. the california man is accused of trying to get to syria to join al qaeda and al qaeda-linked terror groups. he's charged with attempting t

it may be the case now that gazprom as a little disincentive to turn off the gas because at the end of day, obviously, it needs to guarantee its western customers that they're going to get it. and if ukraine can get it elsewhere, well, it is done a very good threat. andyan, talk about threats a guest you had the last hour, a man who knows something about russian threats and how they are delivered. with thespeaking former president of the republic of georgia. led, albeit a short war, against russian forces in georgia. what is interesting is georgia faces were faced a very similar situation to what ukraine may be looking at in the very near future innocence there's sort of a russian statehood if you will, a part of georgia that is under the russian forces. and that looks like that is what happened to crimea. we will leave it there. thank you very much. let's listen to the sound of ryan's conversation. dangerous. is the reality is, this is going to continue. this will not limit itself to crimea. this tactic is simple. grab part of the territory, lay , move another crisis and then everybod

he worked for gazprom invest. it was early in vladimir putin's clinical career.came close to vladimir putin. he is an investor must have cut his teeth back in the time. he built his metal fortune to acquisitions and cobbling together what is now russia's largest iron ore producer. >> it seems almost telling her not, but he is cutting out of russia at this very crucial time. into itcertainly read concerning what is happening in crimea, it is difficult to say exactly why they made this move. it will close to him at whisper to us about 18 months ago that they were -- people close to him have whispered to us about 18 months ago. china has a lock -- these companies have a lock on the chinese internet market. western companies cannot get a good hold on there. it was a good time to get in. >> rob, thank you for all that analysis. >> final thoughts for "on the move" are next. ♪ >> welcome back to "on the move. " >> jonathan ferro, we have a lot of news regarding president putin. company posts 26% growth in sales and plummets that much? one that has really exuberant views

crisis in the ukraine shopping off the valves would also ahead russia the country's energy giant gazprom already so massive market losses on monday due to the tensions of the ukraine. it cast from last the more money than the german airline lufthansa is worth in total. so it is a considerable amounts of money owed on russia will not be able to go on and on to take for a sustained period of time. european union energy ministers echo those sentiments on tuesday saying that despite the crisis brussels and moscow category there was two months that is full of bugs bunny a major disruption to ukraine's gas pipelines. jack thousand cctv process. tommy chief that don't cause lcc has given another signal as he'll run for the egyptian presidency cca reportedly said he won't disappoint dollars to one of the president's party is dying silence on an official declaration that he'll join the rice. our correspondent that of worley has more from connor. this is the man who wants to be president. or maybe not. in march about the fact that this is to topple former president mohamad was the package by and f

western financial sanctions of his and his team mate he's feeding the chino russia's state energy firm gazprom has counseled against myspace account agreed in late december. as to how stocks reacted to all that stuff on lopez a whole lot more from frankfurt the sanctions against russia and the probable escalation of the crises he is of cos the main topic is on the frankfurt school at the moment investors did not give that to the so far made sanctions may hurt the economy too much. this is my chance will appear on the frankfurt school but of cos the key is that if there would be more sanctions that these would wait on the balance sheets of company soon our lanka and many jobs are in dangerous says some experts say that to their car up to four hundred thousand jobs depending on the trading between germany and russia. i will hear more from seven thousand one of the first most of america's biggest banks could now with stanton economic rice is better than at any time since two thousand and eight financial meltdown that's according to the federal reserve in its annual banking stressed acts twenty ni

gazprom become the cnmi same ella was the best combo on forever she was until today. as of now ukraine and russia more than one point eight billion dollars. and that this is the growing each month each year. we don't want an economic collapse of the country because we want o forty disrupting the gas supply to europe through ukraine. this dance is essentially our thoughts to you crying. we have to have a clear understanding of twenty it will get financial support to help pay for the capsicum cheap well hey i get from long ago as a race for its hat into the tea thousand and six. but thanks to the castle today is that you get the kids ukraine did not pay its bills on was cut off the same thing happened in two thousand and nine as well as a consequence to avoid a supply disruption in the future we happy. nor does strain creates a gas pipeline to find posse train and send gas directly into your eyes you see that ad is also the pound sounds came as well though i don't often and take asset to southern europe that is in planning out the mayan a number of studies at europe's l

my gazprom stock is lost and my secret bank account in moscow is frozen." >> well, first lady michelle obama is well under her first day of a week-long visit to china and arrived yesterday in beijing, the first of three cities she'll visit. already today mrs. obama has tried some chinese calligraphy at a high school. on sunday she'll visit the great wall of china. >>> mounting legal bills are forcing oscar pistorius to sell the house where he killed girlfriend reeva steenkamp. pistorius' legal team said his murder trial extending beyond the expected three weeks is forcing him to, quote, urgently dispose of what they call his biggest asset. meanwhile, pistorius may take the stand next week to testify about what he claims was an dental shooting. >>> now some weather on this first full day of spring, for all of us, we hope the folks in vermont believe us because parts of that state got plenty of snow yesterday and some areas in new hampshire got up to a foot. for those who haven't quite had enough of winter yet, they should know that more stormy weather, oh, is on its way through the week

officials close to contain the identity of the security service the defense minister the head of gazprom the state run gas monopoly that this is the top your list. presumably the first round sanctions it would be visa bans asset freezes here in europe of slightly lower level officials say they keep some ammunition in their magazine set they can then escalate it if putin with and to move on to steps beyond just crack me up moving its military hardware and other parts of ukraine the one elisa me wait in the long term the real question will be economic sanctions wheel europe people speaking the collective voice to the beach very very sizable economic interests with the russian is six hundred billion dollars of exports russia to europe five hundred billion dollars europe to russia. that's nothing to sneeze at. can hear him go alone and kenny step up to the plate and really get tough as we just recap and ashton said no on everything from the russian communist second level saying that russia has known thinking of saving tricks and other parts of eastern ukraine teeth in that last piece to be t

--i have two words for you gazprom and draws not -- and rozneft. sanctions they go after the energy side of the house of the one trick pony are going to be in the mix, in the conversation. you should not underestimate the effect of personalized sanctions on high-level executives in those industries. he will have bite over time. is a two-edged sword that will have impact in western economies, but i think it is time to show that the west will stand against this economically, diplomatically, politically, and supporting the ukraine militarily. >> we have about a minute left. sanctions against russia have been imposed by the united states and european union. there is already criticism they do not go far enough. are the sanctions enough to isolate russia and reduce military tensions? >> i do not think so. i think they will need to be increased if we want to have real effect. conversations are on european capitals today, connecting with washington and other nations around the world, will be along these lines precisely. how far and how quickly do we need t

he has a holding and gas prom -- -- gazprom. >> i suspect there is a lot of intelligence going on to make sure people understand the lie of the land. n on this one.h jo >> are you surprised? >> i am surprised. the statement clearly says that it was 44% owned. the remaining 12% was owned by numerous a senior level managers. that is publicly stated information. there is no proof of exactly what resident routine might have. >> this company has been extremely compromised by this suggestion. what are they going to do going forward? who wants to deal with them? >> you don't put a statement like that out without having some kind of support. did you talk to the london ambassador on this? we have an exclusive interview with him later on. >> it will be interesting to know how much of that money is track and what level of understanding the authorities have, both in the u.k. and the united states, about the ultimate ownership. >> guy, thank you so much. have just had some details coming through. russia's upper house of parliament ratifies the crimean treaty. we will track this process as it work

tomorrow, they begin talks with gazprom. as price could go as high $500.ed the western aid in quickly to pay for that gas. >> caroline? >> back in the same courtroom in california, apple trying to find the newest samsungs have infringed their patents and trying to get a sales ban on some of their phones. the jury will be picked today. >> i thought we were done with this. i was hoping we were done with this, but no. >> we are never done with pat morris. -- patent wars. >> thank you, caroline hyde. >> that is it for "the pulse." keep it right here. "surveillance" is next. they will take you through the next few hours. you can follow us on twitter. ♪ >> thomases are made as john andy needs levrov as ideas ukraine are discussed. midnight is here. turning into a pumpkin on health care. the debate intensifies, november beckons. , i'm gettinguarter out of cash. that morning, this is "bloomberg surveillance." it is monday, the final day of the first quarter 2014. i am tom keene. scarlet fu and adam johnson are joining me. let's get to the morning read. 2.5%,ch inf

. >> vladimir putin owns 70% of shares in a gas company and 4.5% in gazprom, the largest national gas supplier in the world. they have murky ownership structures, and share ownership is not public. complicating matters is held through shell companies, front men. the rumours surrounding putin reached secretary of state condo leasa rise. she sent a cable saying putin was: >> through the years there have been occasional glimpses of vladimir putin's extrava gans, and the opposition group says the watch collection is worth $700,000. a few years ago he gave a $10,000 watch to a siberian boy he met on vacation. another vladimir putin critic issued a report saying vladimir putin has access to 50 aircraft, 20 homes and four yachts. >> in his eyes it belongs to him. vladimir putin spokesman told a newspaperman that all the yachts, plains and palaces are state property that vladimir putin uses according to the law. >> the fact is only vladimir putin and his closest friend may know the full extent of his fortune. if it's close to $70 billion, it puts him near microsoft founder bill gates, the wea

in fact eastern european countries right now are negotiating with gazprom, the russian state oil companyr long-term contracts. they're saying, hey, we better get a better deal because the u.s. is going to be a player in the future. why should i sign this long-term contract? people have to realize, a couple of years in the world of energy isn't that long. and believe it or not, just the anticipation of this supply coming online is already putting pressure on, on russia. let me tell you another thing. if russia, the main reason they went into crimea in the first place because they were worried that crimea would start to produce their own supply. thereby, you know, taking away their monopoly on the region. this is a big fear thing to russia. cheryl: yeah, because also because crimea controls a lot of those pipelines going directly through the country. so that is jeopardy as well for the russians. >> yeah. cheryl: makes sense. phil flynn, thank you very much. we'll see you very soon. >> thank you. adam: snow is failing to stop protesters outside of the supreme court. the rally as the nation'

they have two major projects with russia's gazprom. they're is biggest buyer of gas from gazprom.uation will go back to normality. but certainly the fact that it's so important for europe is something to remember because even political decision in europe might be conditioned from this dependence. >> so where will they look if there were disruptions and where will they get supply? he says he will be looking at nigeria, libya, norway as well as eni's own operations in italy and the uk. and both from italy as well as from total ceo from france said they are both very interested in looking into iran once sanctions are lifted. we'll have much more about that coming up on "power lunch." back to you. >> thank you for that. let's head it over to shesheila. >> carl check out shares of brown-forman. hitting a 52-week high. boasted by strons sales of flagship jack dan elseiels brand. i don't know if you're a jack daniels guy or not. >> good question sheila. >>> when we come back one very important foreign national is on his way to silicon valley to sign a major deal on economic development.

as a whole relies on gazprom for a third of its not natural gas consumption. well economics relations expert rayna linda told us that these are losses the e.u. simply cannot afford from the german business perspective we need of course what we call stability in the trade relations germany and russia relations of about seventy five billion euros last year i think this is going to be happen this year as well so we're not in favor of any sanctions what we see now from the brussels summit is that there are some sanctions or at least the negotiations are suspended for the reason liberalization that again hits people actually most and that's why i think we need to come back to a diplomatic. negotiations to solve the problems to solve the crisis with russia and ukraine well the i.m.f. is considering an emergency loan for ukraine to save it from default but any money from international lenders would come with strict conditions that could result in severe austerity and that's a risk that he has failed to fully appreciate his greek economist dr nick strike us . i think

so if in the middle of winter he decided to turn them off or gazprom turn them off it wouldn't have veryre it was very, very serious problem. david: you're talking your book because you like natural gas. you invest in it. liquified natural gas is something you're particularly interested in. there are certain restrictions how much we can export. >> right. david: are those restrictions likely to be lifted now? >> i think they're much more likely now because now people understand it is not just that it is better for the environment to use natural gas than control. it -- coal. it also could be a big export thing. that would help our balance of payments. now it is becoming i think a political chip as well. david: i'm interested, totally different subject but bitcoins. that has been in the news. have you ever had any bitcoins? >> no, i've been bitten by them. david: there are people, big-time investors by the way who said that the twins who had started facebook with zuckerberg, bought things with it. do you see any future with bitcoin? >> i think it is silly myself, i really do. maybe i'm just

my gazprom stock is lost and my secret bank account in moscow is frozen.o a boiling point that we are beyond, you know, where the administration seems willing to go now? >> if the russians continue on their path and would, for example, engage in provocative behavior, attacking anybody close to the border and the eastern ukraine, any incursions towards the west, that takes us to a new level in this dispute. right now i think that the administration is still invested in creating this offramp. they still want to downplay the idea of military intervention, both for domestic political reasons and the american people don't support any such thing and secondly because they don't want to give putin an excuse for attacking the ukraine, that if it's seen as more of an interventionist united states imposing their ideology and you heard the language today, using their puppets at their will, then all of a sudden the united states becomes the bad guy, so these sanctions, as nina just said, they are not wrist slaps. they will take time. when you go after the bank and say

vital agreement with russia involves fuel supply, and today russia's state-controlled gas monopoly, gazprom, said it may suspend its supply to ukraine, after it failed to pay for february deliveries. for now, it will continue transit shipments to europe. >> woodruff: a congolese rebel leader was convicted today of murder and pillage. germain katanga appeared before the international criminal court in the hague for his role in the 2003 massacre of more than 200 villagers in eastern congo. katanga was cleared of committing sexual crimes and using child soldiers. it was only the second conviction made in the court's 12-year history. a new study found malaria moves to higher elevations during warmer years, and creeps back down when temperatures cool. the findings were published in "science magazine," and analyzed data from ethiopia and colombia. researchers from the u.s. and britain said it was the first hard evidence of a link between climate change and malaria, and it could lead to a significant increase in places where people are more vulnerable. malaria currently infects about 220 million p

businessmen who made billions on contracts for the sochi olympics, the state-controlled energy company gazprom. the president of the state-run russian railways company, a close confidant of putin, a deputy speaker in the parliament, a former chief executive in the russian subsidiary of rupert murdoch's ad company and also putin's chief of staff. this latest round of sanctions could be just the beginning. >> i signed a new executive order today that gives us the authority to impose sanctions not just on individuals, but on key sectors of the russian economy. >> in response, russia announced its own sanctions of nine u.s. officials including speaker john boehner, senators harry reid, and john mccain. and if vladimir putin is feeling the pressure from the international community, he did not show it today while meeting with the secretary general of the united nations. >> i'm deeply concerned about the current situation involving ukraine and also russia. >> in crimea, some residents got their new russian passports today. while disturbing pictures emerge from sevastopol showing pro-russian forces se

gazprom, largest gas producer in the world is this something with fundamentals or something you're seeing geopolitically right now? >> that is very sensitive to the geopolitical situation. they're in russia but they're very carefully as an example, what we like about praxair, they're extraordinarily efficient and focus on return on invested capital anywhere in the world. they have density? geography. the density helps them with standardization and their efficiency. so it's a company that is actually getting better as it bows. and is operated at a operated at a very high level. they're very careful which parts of the world they enter, recognizing again once they have density, then their efficiency really skyrockets. is a remarkably well-run company and we like it alot for those reasons. david:py the way, i know cheryl mentioned this. worth mentioning again. ukraine is preparing to evacuate its troops from crimea. apparently giving up in light of the russian aggression there. we've got to leave it at that. gentlemen, thank you very much. joe, robert, we appreciate it. todd, stick with us. w

the ceo of gazprom is among them.m that this list will include individuals that the west teams as politically playing a hand in the crimean in persian. what is the goal? incursion.rimean the united states wants to get russia to stand down. there is a sense that the european union would like to keep their powder dry and allow themselves room to escalate the as and if russia escalates. does that leave the situation in ukraine? militarily, it is somewhat interesting. not a whole lot has changed. nothing really unexpected in crimea itself. we did have russian forces surface not too far from the crimean border on saturday. the ukrainian defense ministry reported that the russian troops had withdrawn a little bit on sunday. the ukrainian defense ministry said that ukrainian forces had actually reached a truce with russian troops, a sort of nonaggression pact that expires on friday. any military intervention on russia's part in the ukrainian mainland itself would definitely prompt those eu leaders to take more serious action

the black sea that are ukrainian, but crimea says not anymore, and we're going to hand them over to gazproman energy giant. you're talking billions and billions of dollars of reserves there. so, that's going to be a real sticking point going forward. you know, you mentioned the moving of troops, the ukrainian military, of course, no match for the russian military, but they are making some partial mobilizations. they're worried about those 8,500 russian troops on the eastern ukrainian border and whether they want to have a little bit more of ukraine than just crimea. john? >> all right, michael holmes in simferopol in crimea this morning. the situation between russia, ukraine, the united states, the european union showing no sign of thawing this morning. our thanks to michael for that report. >>> all right, at the oscar pistorius trial in south africa this morning, a crime scene photographer is on the stand answering questions about what he saw at the home where pistorius shot and killed his girlfriend. he testified that there was blood on the walls near pistorius's bed, some distance from t

goldman sachs today reducing the revenue forecast for gas, write that among russian energy companies, gazpromxposure to ukraine. analysts seem to be most bullish on russia's internet space despite of the wild ride over the last two days. the index saying a comeback today. he's maintaining his buy rating on the index. saying the index is capitalizing on explosive growth in the internet market. analysts are operates some of russia's social networking sites. gold machine writes that it's well positioned to benefit from growing internet engagement and monetization in russia. another company that stands to benefit from russia's internet market, kiwi, the pay pal of russia, back above the 50-day moving average which market techticians say is a bullish sign. there are three s&p 500 companies that break out sales in russia and according to thompson reuter, 10% of the total revenue, pepsi, alcoa, and general dynamics. scott? >> seema, thanks. josh brown? >> skip the russian tech stocks. going into this crisis a lot of people had to loed the sickicallically adjusted pe ratio. looking at russia like a b

they were working on the gaspron export account with his for gazprom, the giant energy company majorityhe russian government. they were working both those accounts and setting up both. that's how it works in washington. >> are they all american citizens? >> they are, as far as i can tell. we called all of these firms for comments. none would call us back except for maslansky, who said they didn't see anything wrong working for the russians. we didn't have a chance to ask key questions like that, but looking at the bios on a lot of these web sites, it does appear that the majority of them are american citizens. >> if they're not, we can throw them out. this leads to another point i made at the top of the show. people coming in from russia or wherever, and i'm especially thinking about the oligarchs, who like to travel freely, there's the act that allows personal sanctions or revoke visas. basically either throw foreigners out or not let them in. the president has the authority. that bill was passed just a couple years ago. now it could be a powerful weapon. >> what is interesting here is