Hello and welcome to countdown. Welcome to the program. A big day for earnings. They are crossing the bloomberg terminals. Company earnings have narrowly missed estimates. Income is 9. 1 billion krone. Below estimates, the big story. They lost him to be e. G. And that was unexpected. And are a smaller rival have been for the better part of a decade. They start looking for a successor and the Company Thousand maintain the strategy of cutting costs to raise shareholder returns. Projectioned earlier targets and started implementing the Efficiency Program with cash 2016. Perations by is output for the quarter of 1. 79 6estimates million. Oil production targets have missed, as well. With theur interview ceo for the time being while they look for another one. He will be joining us. They will discuss the earnings and the search for the successor. Thet is continuing to hit sector earnings. They will be reporting later on today. How is the market performing right now . We have the details. Horror. Oil prices are down and we are seeing profits down. It is down 24 . Yesterday and a drop in profit. Profit in a bear market. That means that we have seen prices from their peak in june. Since prices oil lower joan june. The technicalities that are driving these. We have concern that the economy has been slowing. The International Energy agency is saying that this is going to be the slowest for oil growth demand since 2009. Meanwhile, demand is slowing, in terms of growth and the United States is doing great when it comes to drilling into shale and have produced the most since 1985. , the group of countries that brings together supplied, may not turn the taps anytime soon and has seen the production up. They say, no wonder you are getting the likes of Goldman Sachs cutting forecast. Call. Not opecs is the low reached . They are saying this is the news today. This is the story. We are starting to hear voices say this is the turnaround and oil has started to scream creep up a little bit. The demand fundamentals are not quite as bad. We saw demand pick up a little see data come out today. The demand and supply mismatch is not as bad as we thought. They are all saying that we could see prices start to cut from here and go back to as high as 100 for next year. They say demand will grow. And, if you are going to meet the increase, you have to go into harder places to drill from. The cost is higher and the marginal cost is what is supporting prices at the back end. So say the analysts. Because of the drop in prices, we are getting as much as 22 projects canceled. This happens in the oil market. Whenever you get a mismatch, it takes a little while and you have them planning to cut costs and production. Cutting back of production and we expect many others to rain and. Thank you very much. Deutsche bank has reported a net loss of 94 million euros. Joining us now from berlin is hans nichols. What do the numbers tell us . They tell us that the quarter is much worse than the Third Quarter a year ago. You mentioned the headline number. Had a 400 they million overall profit and you see a big dropoff when you have the overall number. And crucial revenue 3. 41come that was that billion and below estimates. We will have all of these come out and compare and contrast the demand and pressure. There was person no change and a big shift. It seems like when they have news to announce on the numbers side, they do it before a big event. Before we had the stress test, they came out and said they will cashnding a large chunk of of 1gal provisions north billion. Today, we get the actual number and it is not a surprise. We give personnel changes. They have coached a banker. Was the financial chief fred replaced him as the chief financial officer. To all be moving on different role within the company. He will be in charge of the strategy. Deutsche bank has expanded the board. It is now nine members strong and mr. Krause will be on that board. Thank you. We will see you later. The bank faces a number of investigations and are in talks with authorities to resolve the surrounding libel. There are risks to the european macro market. From a number of boards as of late. Lets see what else is coming up on the program. Do not miss our interview with the ceo who will be speaking first to bloomberg coming up later on this morning. You can join the conversation on twitter and let us know what you ache. Tell us the stories you want to hear more about and let us know what you want more or less of. You can have more of us. Not less of us. Say whatever you like. Come, the picture of the day is the unmanned rocket exploding. We will have the pictures on countdown. Facebook shares plunged. The Fourth Quarter lies ahead full top ahead. Be analyst estimates. It was up. They told bloomberg that involvement in mobile is not going away. The investments are longterm. Timehe payoff will take for the advertisement industry to make the shift to longterm growth. Mode in 15 years after the forecast sales disappointed investors. The truck maker has been rattled by talk of a leadership change. Split to meet over a replace the chief executive this week. Profits declined off of the value of the company. A commercial rocket carrying supplies to the International Space station exploded after taking off from virginia. Fell 17 after the explosion. They said they will hold a thorough investigation into what went wrong with the spacecraft. Failures briefed on the of the launch. That the getting news q3 numbers are coming through 247operating profit is million euros. In previous statement came from the company and sales were down. Against 148euros million a year earlier. Theyompany is saying that have missed euros from the operating profits. In terms of how numbers operate, profit came in at 200 47 million. That was off from the average analyst estimate. It looks like the operating profit is coming in below analyst estimates and the strike impact here. We are seeing a booking delay on customers and they are referring the numbers surrounding the strike to clip. We have heard those numbers before from the company and they are going to be accelerating the cost cuts and adapting investment plans. Revenues byuce in 416 million euros. We are getting further details from the business on how much the strike activity against plans for this business. The company has moved away from those plans. There are delays in booking. Our next guest critics it the doves. For hello. Surveyed4 economists and hud today. L just to say they will not. Brave . U be im afraid not. By market got blindsided comments the other week that there may be some delay. That was extraordinary, coming from someone who was previously a hawk. We are in the midst of a market plunge. It was extraordinary. The market turned on a sixpence and showed how Monetary Policy is the biggest factor on where the markets go. The global gross story. It is in the back of the mind. It is part of the consideration. Concerned about the low levels of inflation and deflation. What is causing that is domestic. Is a the fact that this ,elatively closed Economy International developments are not at the forefront. They are there as a factor. Considerable. It is the word we have been hanging on. Will says say the fed is appropriate to continue to hold rates low for a considerable time. Are you in that camp . Will you view that language . I am sorry. I think i will. Signaled forish as months and years. They will finish this month. They are keeping the market there seems tose put. Yellen bu there will be a soothing assurance that rates will stay low. Markedomething that believe is there. Exactly. Why will they maintain this . There are so many reasons. You illustrated them before. Growth and deflation. Germany and france has the growth. The euro zone. Isre do you think the worry focused at the moment . I think the eurozone is at i cannotf the list and read the feds mind. Share the same would attitude. So morel do universally. I think the euro is front and center and we have a logjam of ideologies and strategies to combat the problem that seems to be stuck. A convergence and centralbank policy. The fed really has to wait for the eurozone to catch up. Lets not forget that we are in the midst of an undeclared currency war, as well. To you in a second to talk about the eurozone and the bank of england. Chairman after the break. Welcome back. We are back with the chairman. The comment from the Deputy Governor of the bank of england said that slowing inflation justified keeping emergency stimulus for longer and he seems to be joining the camp that and become gloomier about the economic outlook. Are you becoming more entrenched . Looking like the only hawks looking to raise rates and we seem to have a steady as you go policy at the bank of england coming. I think it will continue. Of the back of everyones mind. It is a dominating force and stopping the increase in rates, combined with the currency war quiets going on in the between the major nations. And itation is weak means the voting pattern that we have seen has to be maintained. Islation, as weak as it is, strange to the man or the woman on the street to increase Interest Rates in that environment. I think it will continue and what worries is that the private surveys increase wages quicker than official surveys. They think it will creep up on the committee. I think, for that reason, where ittion risk is is. You mentioned the currency war. We were joined 15 or so minutes ago. Who are going to be the winners and losers . I think it will be the euro. The market becomes convinced fullblown qe will be coming next year. There is an enormous struggle at the moment. We are trying to convince them the Monetary Policy still has a role to play and inflation will not go out of hand if they do and it. The structural changes are not the only answer. They will take too long. Mario draghi want to see more action and fiscal loosening. Results ofseen the the review and the stress test. Are we going to see the Banking Sector behaving differently . I think it is necessary and not sufficient to see lending to the Financial Sector increase. The banks will not be watching their backs. Problem is demand for loans. Chronic deflation means that companies do not borrow. Thank you for joining us. Up, the ceo joins us on bloomberg on the back of the results this morning. Stay with us. Welcome back. The dollarring against the biggest training. Trading. It is down. Four days of decline is the longest losing streak for the bloomberg dollar spot index. It is on track for a monthly fall. Fourt is on track for major currencies out of 31. Dollar and it is because of the dominant currency. Is the news of the fed. The next question is when is the one will be. These are the top stories. The European Commission president says that none of the member nations have broken the articles by the big enough action to win the margin. The eu has the authority to reject their budget and demand considersif it significant risks of breaching debt and deficit rules. Securing supplies for the winter. He will meet his counterpart in brussels today. Stopped supplying the ukraine with gas in june because of unpaid bills. From russian rebels fought with Government Forces in the east of the country. Another win for real madrid. They secured financial backing from a company to redevelop the stadium. Become the will worlds greatest sport facility. The thirdquarter profits inl along with the decline oil production. There was a change at the home. We will get more from the chief executive and he joins us on bloomberg on the phone. For morning and thank you joining us today. Good morning. Falls from 12. 1 billion. As you account for the drop in profitability. First of all, i would like to operations across the portfolio are doing good and, on the financial side, the earnings were in line with my expectations and were obviously impacted by the oil and gas prices. They were impacted by some that they had done. Arereported earnings impacted by impairments in this quarter and is a negative net income for the porter. They have been solid in the porter. Earnings have been overshadowed by banks in recent weeks. Gone. Evious ceo has what kind of hold the sea leave . Does he leave . It is encouraging. We have strong support in the organization and from the Leadership Team with the stakeholders. Our leadership is determined to continue to go on the improvement program. Why is that . That is a personal call from isaiah my side. I think it is prudent to have a long time perspective in my situation. I am not prepared to take that. Do you think you will act as chief executive . How long do think it will take to find a new chief executive . That ithort answer is will take as long as it takes. G. Ourse, he has gone to bf i gather that he will become the best Oil Executive in europe and have compensation that could reach 14 Million Pounds in total. That equates to 10 times what he made last year. Talent attract the best when your competitors can pay a lot more than you . A think it is an illustration of what we are to know with talent. This is a job. Im sure they will make the right judgments. Question we talk about the price of oil . We know it has plunged. It is down 25 in recent months. Expect prices to recover . Is this the new normal . Fundamentally expect rises to recover. Long, it is hard to say. Obviously, the meeting is very important. We have what could happen and the outcome that could be in november. Will oil prices have consequences . Will you maintain the policy . The policy is firm. , how the policy is firm are you going to pay for it . Are you going to have to raise the debt level . Sincerse, you sold assets 2010. Our you going to meet the dividend commitments . Target for our committee a community and the numbers that you see for this quarter and on this basis indicate that we are on track with that. The debt ratio is around 19 . For the fouryear year, it is around 20 . We are in a sound financial position with our dividend policy. Price affect oil projects . Do you think you will become more selective and reduce investments even further than you already have announced so far this year . That is what they are we are in ad fortunate position with a solid portfolio. To as strengthened successful activity. It will continue with a policy of prioritizing the projects. Thank you very much for joining us today. We appreciate you taking the time out to chat. The interim chief executive biggestof norways company. Lets talk about the number one semiconductor maker. In. Net profit is coming that is ahead of estimates. In terms of sales, they are in line or a shade below. Estimate in against an in u. S. Dollars. They are seeking 100 million of operating expense savings. They are setting a weaker than anticipated market. Player talking negatively about the sector. We will dive into the message is coming in. This is not about processes. This is other things. Videogames and microcontrollers. We will get other things in the next hour of countdown on the back of that report. Bbva is getting numbers. In at sixofit came under one million euros. And, if we look at what they are , core about the loans capital is 11. 7 and has moved in the right direction. Bbva isnumber four below estimates this morning. We have air france earnings earlier and we are going to talk about them after the break. Carolyn jordan will be here. What else did they say . Mainly that the strike has by 330 operating profits million euros. Boeing 737. E now, for the full year, they are 2. 2 and 2. 3between they areuros and launching a new plane. The ceo has artie said the cost them one year of the restructuring plan. That includes one third of the group. The earnings of the group should be positive this year. Air france should be losing money for the sixth consecutive year. Is hitting the dutch arm of air france after this report yesterday in industrial papers from the airlines that the airline may cut more jobs. Air france says that is pure speculation and the shares ended up in the green yesterday. Continueoblems will beyond the Third Quarter. Yes. The main concern is the fourth order bookings and how the france customers are affected delayed there, the bookings. Carriers where the problems started in the first place. Air france wants to put more planes at all airports to compete ettore with this lowcost carrier. They brought the strike to abandon the project are europe. The project for france is on the table and the pilots just managed to get what they wanted. Contract between air france the social conflict may not be over. Once caroline and paris. Salesorting third porter and 15 minutes. That it may hit profit forecast. Bloomberglen from intelligence, thank you for coming in. Impact is that happening having . You do not sell as many coats. If yous a saying that have not sold by the end of october, you will not. People will generally make do with last year or the year before. Concern. He too much merchandise will have to be marked down and they will have to see what that is and adjust. That have not i just the forecast yet. Adjusted the forecast yet. I think that is worth watching out for today. Essentially. Narrow they may not lower, they could narrow. Prophethave raised the forecast. Once consistently this year and last year. What about buybacks. They have an estimate of the levels they will buy at. The share price is 66 pounds at the moment. If the share price is below, they will buy back the stock stop the stock. It may change the buyback level. I like tony, the analyst. He said they could tweak the forecast and the profits are a check on the markets recent love affair with the company. Affair with charles . Some people do not like it at all. A great performer. When it was 16 and people thought it was going bust. Over 60hink about the pounds, you would love it. You would have married it. You are updating. Winter wardrobe for the last 40 years. Do have some work to do in the fashion industry. I have not got a car. One startup says there is a big market. Elliott reports. Shopping centers do not get much posher. The Perfect Place to indulge and test indoor navigation. The store and i am not sure where it is. I am seeing if they can help me. I will happen in. Type it in. With a couple of taps, i get directions. How are you. 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