First time since jay y. Lees arrest. Questions about the corporate structure. We have coverage in sydney with of the latest on the li keqiang trade mission. We will discuss malaysias crackdown on currency fixing. And from tokyo, an update on toshibas ongoing battle. And from new york, all the market action. And the word from a host of the fed the speakers. And on the day of the samsung agm, we will lifted the lid on the unique culture of the electronics a giant. This is daybreak asia coming live from bloomberg, u. S. And asian headquarters. I am betty liu in new york, it is just after 7 00 p. M. After 7 00s just a. M. In hong kong. I am shery ahn. It is not over. So much coming out, janet yellen and others. It was a factor. Not to mention, the chinese premiers visit in australia. Betty that is right. More clarity on what he meant by taking trade to the next level. What are we talking about . Clarity is really what we need when it comes to that meeting. But also clarity about where we are headed in the u. S. With the Health Care Reform bill after the delay that happened just hours ago. We are expecting to see something on that front. The asian markets anxiously awaiting if there will be changed or vote happening. Right now we could see positioning ahead of the weekend. Look at the markets in play. It new zealand, unchanged at the moment with the kiwi dollar not doing much. This afternoon it new zealand posted its largest annual trade deficit in eight years. Take a look at australia. Because it rose in the last session, the aussie dollar is unchanged. But only after falling the most against the dollar compared to other policies. Asx 200 not doing much. We are also counting down to the opening in japan. This is up 2 10 of 1 . The nikkei rose yesterday with the japanese yen weakening slightly but only after eight consecutive games against the dollar. The japanese market is something we do have to keep a close eye on. Reform the Health Care Bill and what that will mean for markets on wall street. What doest is right, it mean for wall street and investors . It hit the markets as we headed to the close. We have more on the market action. We see the dollar fluctuated between gains and losses. On this a lot riding some the first showdown for trump. It is a hold a vote, they do not have what they need for approval. A lot of gains early in the session were given back. Overs,ook at the big there was exposure to medicaid made it vulnerable. Fedex gave back some of the post earnings. It is quite a squeeze, they will sell more shares as opposed to raising capital. Investors not crazy about that. Lets look at the terminal. This is about the options. This track health care at the top. Options are down below. You can see there is a neutral position by the market. This, all the at wrangling on health care, this even though we have rising interest rates, that white line, we definitely see a continuation of strong sales. I wonder if some of that is people going in and buying in anticipation of higher rates . That will be borne out in the next few months. Focusing i know were pbh. Su pbh owns calvin klein and tommy hilfiger. They blew it out in terms of their forecast. Importantly, they doubled the size of their business in china over the next five years. You see a jump in stock up 10 intraday. In terms of what they are saying, they believe that International Growth is really the key here. Domestic sales, but what they see continued strength and is overseas, more than 60 of their revenue outside the u. S. The ceo says china has shown no sign of slowing down. Lets go to the big picture chart for pbh trading. You can see almost 10 trading today, the biggest since 2014. Shery another company grabbing headlines was ordered. They cut their outlook. What is going on here . Two issues, reduce production in the u. S. Because of a decline in demand. And seento the chart despite record sales from 2016, they came down with earnings per share surging at 30, 35 for the first quarter. That is well below the 47 projection. Much. Thank you so lets get first word news with courtney collins. First up, white house says President Trump talk to scores of Republican House makers after they delayed a vote on the Health Care Bill. The Freedom Caucus wants a broader repeal of obamacare. The Nonpartisan Congressional Budget Office says proposed changes would never the bills deficit reduction by more than half, further complicating conservative support. Obviously, there is a little bit of a balancing act that goes on as you try to get to 216 in this case. We continue to make progress every day. We walked out with more members in support of the American Health care act then we started the day with and we continue to see that number climb, hourbyhour. I anticipate we will get there. The man behind londons worst terror attack in a decade had a string of convictions for the violence and had once been investigated for extremism. Britishborn Khalid Masood has been named the killer of three civilians and a Police Officer before he himself was shot dead. He had a history of relatively minor convictions between the years of 1983 and 2003, but none were terrorrelated. We will carry on cooperation with our allies across europe and the world. Gathering intelligence to make sure all of us are kept as safe as we can. We have to remind ourselves that not just london, but new york, orlando, paris, brussels, major cities across the western world have been targets of evil, twisted individuals trying to. And toour way of life, attack our shared values we will not let them succeed. Seeing a slide in energy rises, china takes biggest offshore gas producer fell 97 , leaving them with their lowest annual profit. Bigger tax credits help them avoid a loss in the summer. We will check cnoocs shares when the hong kong session happens. Global news 24 hours a day powered by more than 2600 journalists and analysts in more than 120 countries. I am courtney collins, this is bloomberg. Shery Chinese Premier Li Keqiang continues talks with australian Prime MinisterMalcolm Turnbull. Lets get the word from paul allen in sydney. Can we expect new details on this trade relationship . One would hope so. Had so far is broad strokes, the Prime MinisterMalcolm Turnbull talking about how the trade relationship is going, what he calls the next level. Liursday we had premier giving a wellreceived speech in which he said china would like to import more from australia, giving australian consumers more choices. He talked about more beef exports from australia to china, something we have been talking about this week. The two leaders are meeting right now. When the meeting is over, there will be a signing ceremony and joint press conference. Hopefully we will have a few more details of then about what this means. Betty what is the rest of premier lis schedule look like for today . Paul he is wrapping up later this afternoon and will be meeting with the Prime Minister in sydney with ceos at a roundtable. Then there will be a speech in the early evening. Saturday it is slowpaced. He will be attending an australian rules football, it could be entertaining to watch him politely smile his way through that baffling game played only in this country. Sunday he wraps up his australian visit and goes to new zealand. That is rougher than playing golf with the president. We are getting breaking news. Robert kaplan giving a talk right now in chicago, some of the headlines coming out, he is saying fiscal reforms could provide upside growth to their forecast. We are making reasonably Good Progress on 2 inflation. We are also approaching full employment. Policy mentioned the about workforce growth raising concerns. Now he is talking more about bank regulations. Less market moving than some of the other comments he has made so far on inflation and growth. Saying we are making reasonably Good Progress on 2 inflation. Shery basically restating things he has said earlier this week. He has talked about full employment. He has talked about achieving 2 inflation target. Earlier this week he said the fed should hike rates two more times this year. We are hearing more on thoughtful reviews of regulations, that would make more sense that he is more focused on this regulatory relief for small banks, as well. Bloomberg said drivers can listen to Robert Kaplan speaking on their terminal at live. You will also see diary entries today. Betty still ahead, cracking down the measures malaysia is taking to curb excess rigging. Gets ready to take on the de facto head. We focus on Corporate Culture. This is daybreak asia, i am betty lou in new york. Shery and i am shery ahn in hong kong. Toshiba sword the most in a potentialite the bankruptcy of its arm. Shares closed 7 . Wouldley house itself decide to ask for chapter 11. At toshibareport executives said there is no interest from inside japan into the companys chip unit. Betty being thrown another lifeline despite pending orders. The Export Import Bank of korea will provide 2. 6 billion in additional loans and 1. 5 billion to equity. They have posted a fourth consecutive loss last year. There was a demand for more ships and offshore products. Shery offshore bloomberg told they may sell stocks to raise capital by listing part of its swiss unit. Our sources say they could have new shares representing 10 of stocks. Anding an accelerated sale to Money Managers would not mean investor approval. Fell 3. 6 after the report. Big moment. Is a it Shareholders Meeting today for the First Time Since the arrest of the companies to fact though head, jay y. Lee. The annual general Shareholders Meeting will be an opportunity to question the board is it reviews its corporate structure. Someone who knows quite a bit about the structure it samsung and Corporate Culture is the cofounder and u. S. Director of red associates. His company helped samsung with highend design of some of its products. I am hoping you will say not the samsung 7. No. Betty you know a bit about the Corporate Culture. Next week they will be unveiling the new note 8. Talked with you before what insight can you give us on the culture, as to why it may have led to the situation that samsung sees itself in now . Is an impressive company. It has grown from very little to a lot in 10, 15 years. It has taken korea out of poverty with it. Of this. He context but doing that and competing on a global market, they are probably pushed things quite far. Pushed the salespeople, engineers. Sometimes when you push a lot you end up with a something snapping. That is not just samsung. Samsung may be one of the aggressive ones but it is the global market. Betty you might say that also about uber or apple. Is there a big difference with samsung being an Asian Company and into korean culture . Christian they are a very aggressive company. But there are many Aggressive Companies out there. I do not think it is particularly samsung that is like it. It is a global competition that pushes people to make a lot of decisions that end up with a big recall of auto. Betty you worked with some detroit automakers, as well. How do companies as big as this with armies of people, how do they course correct . Christian samsung is interesting because it is a very thoughtful place. They think before they act. When they act, they execute like no one else. But before that they actually think through what is going on in the world, how they are going to engage in peoples homes and lives in general. Beenis what i have thinking, that is how they change things. They have a very sophisticated way of doing that. Betty what about the lessons from their exploding phones . You have not seen apple face that issue. Christian it was rather unfortunate, yes. Betty how do they course correct from that . Christian i do not know how they do that. It is not just samsung, facing a recall situation. Many companies have. It is new for us to see phones exploding. But it is not new to see cars have big issues. They will learn that maybe they ought to not push as much as they have done. Shery christian, it is interesting you mention the college of samsung. I went to college and korea. Anyone who could get into samsung would have their lives made. Their future was guaranteed. The right now we are living in very troubling times for south korea. The last time i was there last week, people are not forgiving against these conglomerates. Political changing and social landscape in south korea affecting samsung . We have a lothink to thank samsung for in terms of Economic Prosperity and what kind of costs they drive and foods they eat. Samsung has a core role in that. They also inspire the other companies. Automakers inthe south korea are inspired by samsung. We are really talking about the heart of the Economic Situation in that country. I think it is still in a new place a place for the best students to go, yet they have options in other places in the world. It is not a cocoon anymore. Shery should we be expecting any surprises out of this Shareholders Meeting . Corporate restructuring or anything significant . I think samsung would take the time to think through what happens here. I do not think you would see anything radical. They wait until they know, and then they act. Messy as with American Companies where they stumble along. They are quite thoughtful. Christian, thank you so much. Plenty more to come to read betty this is daybreak asia, i am betty liu in new york. Shery i am shery ahn in hong kong. Warning against a global rise of protectionism. I spoke to former ibm ceo and the chairman of fund group and asked if asia should be worried about growing economic nationalism . I think it will affect asia but i think asia has now a very large consuming class. It is generating its own demand. Then new demand in the world is coming from developing economies, especially the ones in asia. Withcould actually do more an asia itself but i do not think that is the best thing. There should be continued globalization, continuing a multilateral treaty system. Help a perverse way, a get their innovation agenda. When you think about what is happening in technology, exports asia. He u. S. , export into if all of a sudden that intellectual property should you would seee you next celebration of innovation and ingenuity within the asian population. They have the skill, the great schools. I would watch and see what would happen. Just to reinforce that, one of the greatest factors around the world is the empowerment of the consumer. If you dig a little deeper, the empowerment of the asian consumer, is really rising. The asian consumer is fast becoming the most discriminating, monitor a bull monitorable consumer in the world. They have the spending power 10 years younger than they do in the west. We have a highly empowered consumer. A lot of new Business Models will evolve from that. These Business Models will not only be in asian markets but could also be applicable when reimported into the west. Everyone said all they did was copy google or amazon. But if you look at the fundamental applications they are providing, theyre much more advanced to what you are seeing in the western. Shery should the u. S. Be worried that china may play the leading role in this next phase of Global Growth . U. S. Think from the competitiveness perspective, you should worry about any portion of the economy where we are not participating in growth. If you are in business in the United States you need to participate in that growth. If you are a company, you need to export to that growth. You want a tax revenues associated with successful businesses and the jobs created by successful businesses. You would not want to cut yourself out out of that much economic opportunity. That is the problem with a regional approach if you are the United States of america. You are the largest economy in the world, you cannot grow enough to take care of your population. The only way you can do that is to connect with the world economy. Shery is regional trade as good as larger global trade and the multilateral approach . I think all of these are better than financial relationships, in my mind. Against private business, especially small and mediumsized enterprises. If you have different sets of girls four Different Countries in a series of bilateral relationships, you have a very complex situation in which they will find themselves very hard to manage. World like that, it benefits everybody that you can make the region as big as hopefully, a global, multilateral trading system. Ibm f that was a former ceo andung german speaking to shery ahn. Coming up, malaysia takes measures to catch wrongdoing. Show me academy of Country Music awards. Thank you so much for that down home welcome. Show me female vocalist of the year. Thank you so much. Thank you so much acms, i appreciate it. Show me acm best moments. I could never have wished for, asked for and dreamt of anything more than this. Catch your favorite moments from the acm awards and an exclusive encore performance by Kelsea Ballerini following the show on xfinity x1. The acm awards. Live on sunday, april 2nd 8 7 central on cbs. It is 7 30 here in hong kong. Happy friday. We are 30 minutes away from asias first market open. Betty it is 7 30 p. M. Here thursday in new york. Markets have finished. We can see lower. Late breaking news about the Health Care