/russia relations. he said russia and the u.s. control more than 90% of the world's nuclear energy and as a result he feels this has been detrimental. both president trump and president vladimir putin saying the military operations of the country is get along better than the politicians. with regards to the energy policies, president vladimir putin and president trump drawing the line in their disagreement, particularly with north stream 2. trump said he offered his comments to president vladimir putin as a competitor, and he had every intention of competing against russia in the energy sector. let me bring in our moscow bureau chief. she joins us from moscow. what you make of the fact that halfway through the q&a, vladimir putin said he wanted president trump to win the election? >> thought that was a quite interesting comment just to come out and put it on the table. he wanted trump to win because he is thinking normalization of relations. administration had been critical and put sanctions in place over the annexation of theea a

russia must know that we will be accountable to our commitments, and those of our allies, and that russia must be held to account for its actions. our approach to human rights begins by acknowledging that american leadership requires moral clarity. we do not face and either/or choice on defending global human rights. our values are our interest when we come to human rights and humanitarian assistance. unreasonable to expect that every foreign policy endeavor will be driven by human rights considerations alone, especially when the security of the american people is at stake. but our leadership demands actions specifically focused on improving the conditions of people the world over, utilizing where appropriate, economic sanctions, as instruments of foreign policy. and we must adhere to standards of accountability. our recent engagements with the government of cuba was not accompanied by any significant concessions on human rights. we have not held them accountable for their conduct. their leaders received much, while other people received little. that serves neither the interest of cubans

in russia. >> hollande the possibility of rolling back sages in russia. russia.nction in >> good morning. you are watching "the pulse." air france has cut its 2014 target. let's bring in kerry. why has it been -- this is the third profit warning? >> things just aren't getting better. if you add up all the downgrades, it's almost 1 billion euros. so not looking good. they raised 4 points yesterday two of which we know which is the strike, they also said that they're seeing some softness on long haul which is the reason they did the first downgrade. they also said there's a pension cost that they're not going to get. then fuel. fuel is dropping but we haven't seen a benefit from it yet. so that is also not coming through for them. >> management telling us why 2015 is going to be a better year? >> they're being a bit cautious. when it comes to -- they're going to be pushing back some plane deliveries. so 777s. their 2016 deliveries. it's interesting to connect that up with the fuel issues. so fuel,

if any, vulnerability does russia have? where has it made miscalculations about the resolve of the international community? --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 cap

come from russia. any kinds of trade sanctions there would hurt russia, and it would hurt europe, too. >> and there are questions raised about what will be the spongs in terms of sanctions, but also what will be the russian response with regard to gas supplies. the gas problem has been suggesting it could end natural gas discounts to ukraine and that could have effects to the rest of europe. >> it would definitely do that. the gas problem today is one of the biggest in the equity market down to almost 10%. they are -- down almost 10%. they are getting hit hard. really, this is another example where you haven't got one. the biggest threat at the moment is to throw russia out of the g-8. what will that do? >> let's hear from our man on the ground what the response might be. ryan is in kiev. what do they think could be repercussions from the international community? >> well, kerry is on his way here. he wants to do two things. one, prop up ukraine by directly expressing support for ukraine. some think thi

by going over what i think is the ultimate red line with regards to russia -- the border around russia and actually grabbing a piece of territory from an independent, sovereign state and pulling that into russia, he has created not just a new fact on the ground but a new danger which is that we have a russia that is going to make great russian nationalism and going back and getting a hold of a territory where there are a lot of russians. that is a very dangerous development. it is what got the world into numerous wars in the early 20th century. we are going to have to rethink our strategic collations. >> will part of this retaliation be that he will withdraw any cooperation in afghanistan or syria? >> every single piece of business that the united states and the allies have to do with russia is going to be more complicated, including the syria and iran negotiations. they are going to tell the negotiators that they are going to not make anything easier for the united states. however, russia does have an interest in syria not being a chemical weapon state. it does have an interest in ira

is russia risking recession? >> the first sanctions were taken in response to the annexation of crimea. it is mostly the close circle of people around the kremlin. with the exception of the bank of russia and two or three oligarchs perceived to be dealing with putin. that is not big enough, to paynt putin is ready that price. he said i will open a bank account in bank of russia, i am not afraid. what is the red line when the next year of sanctions will be introduced? the west has not communicated that. it could be putting troops into east of ukraine or the south of ukraine. it is linked to military escalation. if that happens, this could include economic sanctions related to access, finance, and oil trade. >> the threat of sanctions seems almost great as the sanctions themselves. confidence is what determines how an economy operates. if i am a western business thinking of doing this is with a russian counterpart, i am thinking we may have sanctions further down the road and i need to be cautious. it almost makes

russia. to speed with the latest military situation. clearly a mobilization has taken place over the weekend. but it is not clear who is on whose side. >> that's right. -- russia in control of crimea. troops on the ground. they are working with a russian speaking militia there. got permission on saturday from the parliament to deploy troops. but these forces actually a. before that permission. there is a sense that we actually could see an escalation from where we are now. yesterday they surrounded ukrainian military bases. like you said, the ukrainians themselves are mobilizing but also seeing defections. so, just over the weekend we have seen the head of the navy defect. pro-russian crimean authorities. ironically just one day after he was put in the job after his predecessor was fired over concerns over his loyalty. so, clearly that is one of the reasons why we are hearing people describe the events in crimea as russian inspired coup. but clearly the ukrainians are having a hard time holdi

to work in going russia. i guarantee it's not going to work in russia. in order to convince yourself this is not going to work, or to convince himself that it not going to work, is going to take putin a couple of years. by 2020, he's going to have to start thinking about leaving. charlie: why do you think it will not work? streaks an authoritarian within the russian culture, as it was in china. thatrussians believe yeltsin and others made a mistake, they should have fixed the economy and left the politics alone, as the chinese did. why do you believe it will never work to do it that way? at this late date. russia is a quite developed country, with social mentality that has developed, and this is a different mentality from the chinese one. charlie: and a rich, cultural history. mikhail: our state structure doesn't have this idea of service that exists to a great deal in china. at the same time, people in russia have really gotten used to living for themselves. all this talk about how there is this vertical of power in russia, this harsh system of managing

-russia relations? we still need some russian help in places like iran and area and north korea -- three out and north -- syria and north korea. what is the approach we should be thinking about? >> putin has made clear that his greatest respect goes to those who demonstrate strength. it is important that cool operation -- cooperation is the mistreated. that is important. you have to walk a fine line between frankness and provocation. i would argue that there will not be another reset well putin is in office. it could be a long time. with the russian economy stagnating and russia taking on additional burdens, that makes it more possible that putin will not be able to last. >> what is the fine line? you said you do not want to have a security relationship extended. what is your sense of the message? >> is to continue to build up forces in poland and the baltic states. to continue with the exercises we are already planning. it affects all members in europe. we have to stress the economic as whether questio

russia's ambassador to the united nations. vladimir putin ratified the treaty to formally annex crimea. the eu and the united states have responded by expanding sanctions on high-ranking russian officials. president putin's spokesperson have said that the sanctions will not go unnoticed. in the ukraine, the government signed an agreement with the european union forging closer economic ties. it is the same agreement that former ukraine president yanukovych refused to sign triggering protests in november. i am pleased to have vitaly churkin back at this table. tell me how russia sees the annexing of crimea. >> we see it as a historic fact and day. after 60 years of separation, crimea and russia can finally be reunified. something that has been the dream and aspiration of the people all the crimea all of those years. you remember crimea has been a part of russia for centuries. around 60 years ago, arbitrarily by his own decision, he transferred crimea to ukraine. at that point, there was a little grumbling. at least crimea stayed

russia, you are bearish on that and the companies in russia and rosenet. you should probably be bears o.b.p. as well. those three do not add up, do they? >> i do not think so. as bp is not restricted from holding equities in a russian entity. you have negative implications it may be headlands that move lower. the value of rosenet is thus far not been significantly compromised. >> if we look at some of the european majors of the u.s. majors. europe.e of 2% of paint me a picture of what is happening. >> the big macro factor is we saw a big uptick in north american crude on the quarter. the tightening of the margin helps the u.s. the other thing is generally isaking, european refinery very weak business right now. margins are very low. refining but the u.s. the gulf coast and continent is strong. the different contributions you see. chris when looking at the earnings, what is happening in russia as an isolated issue and probably will not hurt the underlying issues. what is the risk in your mind, jason? comes down to specific things like if equity positions ar

russia, france. the french can lend their experience. 447 it tooklight two years to find the main wreckage of that flight. 400-500 taiwanese fishing boats are helping. >> there are theories with what happened to the plane. what are investigators now looking at? >> they feel that this was an intentional diversion of the aircraft. aircrafthat the operated for seven hours after it lost initial contact. the aircraftthat was veering hundreds if not thousands of miles off course. thatis really worrying is somewhere this wreckage is below the india note in -- indian ocean. there is a good chance you will never find this, one quote. back to you. >> thank you. we are expecting a news conference later this hour. >> vodafone has agreed to buy ono. $10 billion for the spanish cable operator. we will take a closer look at this transaction a little bit later in the program. >> expanding the help to buy program. >> a key part of economic security is being able to afford to buy a run home. hashelp to buy program hel

>> more sanctions against russia . ukrainian lawmakers prepared to vote on a bill that could block the roots of oil and russian gas supplies to europe. plus, it rocks power struggle. the nomination of a new prime minister deepens the crisis in iraq as nouri al-maliki rejects the bid. welcome to countdown, i'm mark barton joined by manus cranny and caroline hyde. a russian convoy is on the way to ukraine tonight. the vehicle is part of are you humanitarian effort, not a military operation. ryan chilcote joins us with more. >> this is a curious strategy. the way to the southeast of ukraine. that at thissay point humanitarian aid can't wait. situation in the southeast of the country is so tragic. they should get there this evening. the question is, what happens next echoed international committee for the red cross says that there is going to be an international humanitarian aid effort without any military convoys. what is russia going to do when they get their? will they wait for other countries to join in? there are some

and confront russia where they are confronting us. let's understand that this is not chump change. this is a huge challenge to u.s. cybersecurity. it is a huge challenge to the sovereignty of the u.k.. elections in the u.s. and europe, and russia is becoming adventurous in syria in complicity with iran. it may be selling the as 400 missile defense system to more countries in the middle east. i don't think the stops until there is the most effective confrontation of vladimir putin with the economic might of the west. david: it raises the question if economic might is enough. theresa may best some speculated there may be some cyber activity as retaliation, is anything or economic that maybe we should consider? depends -- activity a lot should not be on your broadcast, and am not sure i am aware of it anyway. cyber activity can be economic or strategic and in paris certain functions of government. where russia is directly harming our interest. our strength is our economy and technology. if we do a military exercise against russia we are

and not use the russia u.s. relationship has loose change for this internal political struggle. >> the question is for president putin. can you tell me what president trump may have indicated to you about professionally recognizing crimea as part of russia? secondly, this is a russian government, do you have any compromising material on president trump or his family? >> president trump -- posture of president trump on crimea is well known. .e stands firmly by it he continues to maintain that it was illegal to annex it. our viewpoint is different. we held a referendum in compliance legislation. put page to this issue. that wethese rumors allegedly collected compromising material on mr. trump when he was visiting moscow. when president trump visited moscow i did not even know that he was in moscow i treated president trump without most respect but back then when he was a private individual, a businessman, nobody informed me he was in moscow. forumtersburg economic over 500 american businessman. high-level ones. i

s reaction to russia's actions? >> we have seen at the highest levels, with over the weekend resin obama having that 90 minute phone call with president putin. today vice president item -- biden spoke to the prime , and also threatened increasing double monica, i economic isolation of russia to go forward -- diplomatic and economic isolation. we saw john kerry using big words, and the state department spokesperson today said that the u.s. would hold russia responsible for anything that goes wrong in crimea. the problem is, what can the u.s. do about it? >> what is the likely u.s. response to be, is military action likely? >> it is very unlikely. you are have not even heard, even when president obama said that russia would suffer the consequences of these actions, he never raised the threat of military force. and even though secretary kerry has said that all options are on the table, he admitted openly yesterday that nobody wants military action. even john mccain, usually a strong proponent of village or a action and

russia is part of europe. it just is. russia is part of europe. he also has said that russia has this eurasian perspective, neither east nor west, it is a unique civilization. what he is trying to carve out is an idea of russia being like the u.s. and china and the ability to be three countries that matter. russia will be one of them. it is a straddling of confidence -- confident. it is quite unique and he is trying to stay in a geopolitical context. is trying to carve out this position that is neither of the above but is unique to russia. that is the challenge that he is posing to himself as well as to the rest of us. >> what is the challenge for the united states, you are part of the policymaking as ambassador. where are we today and what options do we have, and what policies can weigh an act that might make the relationship better, or is the ball simply in his court? >> i never allowed us to make the goal of any bilateral relationship to make it better. up till this latest crisis we had a clear strategy of trying to integrate russia into the in

the nato russia founding act where we set the nato nations would sit with russia together to talk about all of our major security concerns. that was an opportunity for russia to work alija lee with nato. instead, they used it as a place to argue and a place to complain rather than try to build together. i think there were many missed opportunities on russia's side to work collaboratively with us as we work with each other. i just regret that. i think we might have had a very different russia today is a resident who manned other leaders had taken advantage of them of the opportunities we had on the table. >> vladimir putin could be president for another decade. is there anything conceivably that will turn him back in another direction? or do you think there is much more xenophobia and services, highly conservative moralism that he's been creating as a state ideology will be relaxed with a media that is tightened up, censorship exerted, is there any conceivable notion in your mind that vladimir putin will go the other direction and liberalized afore he leaves office? otherwise, are we not

president putin: the future between russia and any partner country depends not just on russia. we cannot achieve positive results with negative actions. my colleague just spoke about companies that are present on the market. talking about 6200 companies and they all stayed. about 150 reduced by volume somewhat, but they remain present and they remain active. moreover, i mentioned things opening up. one was launched today. german companies, among others were involved. we are not planning to disrupt or even limit this. this is not something that determines business negotiations. we have good, reliable long-standing relations and we will do our utmost to preserve and develop them on the european continent in general and global economy alike. we talked about the current state of the global economy. we are aware that in general experts highlighted two big issues. low growth rate, something about stagnation. we know that. experts think that the situation is likely to remain the same for some time. the second problem is impeded growth. country wise talking about europe, with this happ

andrey: that is a problem for russia. we have failed in many areas of converting the economy, and innovative economy. we have brains and people. we have knowledge. charlie rose: when you look back and i close on this, when you look back at the transition of at the fall of the soviet union and there was an opportunity to let russia grow, was there not? with the rest of the world trying to help russia emerge from the collapse of the soviet empire, some argue that there was a real missed opportunity. andrey: we did not expect a marshall plan for russia. personal opinion on certain points the west started to introduce too many politics in our economic relationship. it happened with the eu. to a lesser extent in america, because in america we don't have too much economic relationship. there are companies working in equity like citibank or coca-cola or pepsi-cola. they have quite a big operation in russia. charlie rose: pepsi-cola got a head start. andrey: yes, but pepsi is the second-largest market after america if i'm not mis

-russia i think timep, will tell. the president of russia said that you will risk that the whoevernd work with elected. it will be good for russian relations with the rest of the world. tell.ill >> he snatched away crimea. that seems not even in question anymore and there seems to some extent to be a retreat. his popularity has shot up through the roof. he has one on has terms, has he not? >> i don't think it's wise for anyone to get in the head of president putin the given what has happened just in the last four months. let me take issue with one thing you said there with regards to crimea. states nor most of the civilized world has recognized what russia did in crimea. we still respected. the tm territorial integrity of ukraine -- we still respect the territorial integrity. that will continue. with regard to where krugman goes from here, as i said, i think we just don't know yet. it will depend very much on whether he decides to reach out to president-elect poroshenko and whether he's interested in the escalating. w

talk to me about russia. is now the perfect time for investors to get out of russia? we do not know the impact of the sanctions and a possible recession. >> i think you are right. we do not know exactly what the sanctions are going to be or the retaliatory measures that we could see from russia. what are they going to do with the western money that is already in russia? will that be subject to a potential freeze? at very lowe valuations anyway, but there is no mileage in being the first one out. i think you stay and wait and see how it plays out. i speak to money managers every day and it is interesting. psychologically, half of the people tell me that if you are in russia, wait and see. others would say, why would you take the risk? if you do not know what is happening, get out. >> you are probably already underway, but there is no reason why you could not continue to reassess your positions. >> let's talk about china. this morning, we saw a surprise decline in the hsbc pmi. march is the fifth straight month of weakening. concerns that they may not meet their 7.5% gr

separation,rs of crimea and russia can finally be reunified. something on the desperation of the people all the crimea all of those years. you remember crimea has been a part of russia for centuries. around 60 years ago, arbitrarily by his own decision, he transferred crimea to ukraine. at that point, there was a little grumbling. at least crimea stayed within the same continent. tried to cutople their political adopting a certain cousin to should giving them autonomy, but, kiev changed it giving power to crimea. in that situation which developed unexpectedly after the februaryh happened in as no legal authority remained in cap. and the situation where crimea felt threatened by those who ponducted this violent cou they went ahead and declared their own independence and a referendum where people voted for joining russia. russia cannot do but take up the challenge and incorporate crimea. >> what i would like to know is what else does the russian government want? do you want to take over ukraine, the government in kiev? intentions beyond this. mos

since march 16 when crime he is a voted to join russia, the ruble is up about voted to join russia, the ruble's of about one .5%. the big losses we saw at the beginning of march have been a -- erased. i was talking to a senior banker and they made a important point it is and the russian interest to waylay some of the criticism they are getting from the economy here. it was already in pretty poor a to before russia got this crisis with the west. two button on the sanctions and hit it on the west. it is very much of the white house to say they are being down the ruble. marriage ofs a convenience between the two sides. every bite is had to say the sanctions are working pretty well. , thether thing is saying russian saying it was stop there. will not feel compelled to bring out the big guns. >> thank you very much was out ryan chilcote from moscow. quit kingfisher -- >> kingfisher's ceo will join us. that is a first here on bloomberg. ♪ >> welcome back to "countdown." i am mark barton. >> i am anna edwards. europe's leading home improvement store, kingfisher, reported its earnings today.

yeah, my case was a lot louder. >> let me go back to russia, what is the future for russia near and long-term? >> today, the economic situation in the country is not a very good. >> and the oil price? >> yes, we are spending the resources we have a cumulative. the oil and gas industry have , for the most part, fallen under the political management and these people have reduced efficiency in a greater way. despite the high prices, expenditures are growing at the same rate or faster. nevertheless, we still do have reserves and for some period of time there should be enough of them. if prices do not jump up to $200 a barrel, i think that the authorities are going to have a harder time explaining themselves to the people why it is that the people should not partake in running the government, despite the fact that the authorities themselves seem incapable of providing them with constant growth in their standard of living. the social contract between the people and authorities was just that. you ensure us constand growth in our standard of living, and we do not meddle in running the country. >> you

escalating risk from russia. the former soviet leader warned that the ukraine-russia crisis could threaten world peace. is on the brink of a new cold war. some people are even saying that it has already begun. warning comes as ukraine accuses russia of supplying rebels with weapons and supplies. many as 200d as fighters killed in recent fighting. great to have you on the program. thank you for coming in. in terms of where we are in this power-play that continues, it seems that concerns over ukraine are dying down a bit. you say this is still a very crucial, difficult point. >> what we are seeing right now is increased movement of the separatist military. it is on the boundaries which they consider very important to the territory. these would be major highway crossroads that lead into luhansk and donetsk. ,lso, the very strategic port which will likely be the most important flashpoint in the coming weeks. >> why are we not talking about -- >> there are many things that are coming up on the international stage. it

who are in favor of a lot based state in russia -- law-based state in russia. know the want to answer to this question -- would you go back to russia and would you challenge putin? i am doing in any case is regarded by the current regime as a challenge. i do not know whether vladimir putin feels this challenge today. whole,ime, as a certainly feels of this challenge. when we see this conducted our first conference. we can -- we conducted in eight cities. all of the groups that took part were invited to the local and that conducted so-called prophylactic meetings with them. choosinghe question of the most effective place for doing what i want to do. if i returned to russia, i would immediately of course turn up under house arrest, not in prison. there is a new practice that russian authorities put to their opponents under house arrest. every six months, areat -- our investing organs extend the term of the investigation of one of ukos criminal cases. if i returned to russia, i would not be free to act. it is more convenient for me to act from abroad. >> is there

so developed by russia, the ukraine was where russia started. ukraine matters more to any russian leader then it matters to the united states, or even leaders in europe. as president obama's job to say no,the europeans to it matters to us. we die for our ideals through the 20th century. we cannot let this stand. obama knows the difficulties through his realistic analysis. he has to inspire europe to do more because of geography. europe is in mash with the russian economy. russiaork going from into central and western europe. bulgaria, ore germany, or the balkan states are dependent on russian hydrocarbons. that is going to make it ethical for the europeans to enact real sanctions. >> i want to put in context the conversation i had with henry kissinger. here is what he said. to. don't think he intends , the firstroblem problem is, no russian i have ever met finds it easier ukraine ao consider separate country. it was part of russia for 300 years. they have intertwined for several hundred years before that. so, the evolution of the ukraine moves.t

against russia. we will take a look at how effective they are likely to be. that story and more when "bottom line" continues. ♪ >> european union foreign ministers have agreed to expand sanctions imposed on russia over its stance on the crisis in ukraine. lauren goodrich is a senior political analysis at a geopolitical intelligence firm and joins me now from austin, texas. good to see you again. >> thank you for having me. >> last time you and i spoke was back in march and you said at that time that sanctions against russia wouldn't be effective without the europeans being fully on board. has anything changed in the past two months? what nothing has changed. extensiveans levied sanctions on russia but it's a mere fraction of what the u.s. has done and even those sanctions are not effective against russia. the current sanctions levied today were an expansion to 13 russian and ukrainian individuals involved in the crimea annexation as well as two crimean-based companies expropriated ring the annexati

for 300art of russia years. the history of ukraine and russia have been intertwined for several hundred years before that. the evolution of ukraine is a matter that moves. the full interview of henry kissinger tonight on charlie rose at 8:00 and 10:00 p.m. eastern. president obama not taking his foot off the gas. he ordered assets frozen and u.s. visas blocked for people engaged in corruption in ukraine. stay tuned. israel's prime minister doing some the policy. with silicon valley. eric schmidt of google id's the four horsemen of technology. that is also coming up next. ♪ this is "lunch money," streaming live on bloomberg.com, your tablet, and your smartphone. in tech, the silicon valley connection. tech startupe to a scene and linking up with california. angela netanyahu signed a business cooperation deal with jerry brown yesterday. they agreed to help each other in cyber security, clean energy, and water conservation. midst of an the drought. it brings home how important it is to manage our water efficientl

. -- in russia. while launching a project in this area, we must make a center for schoolchildren and all the countries regions. children who are very talented and sports, arts, and visual sciences come to the center to further study. the map of the global economic development is changing their rapidly. asia and pacific countries like china, japan, south korea, as well as other states have parted and accounted for one quarter of the global economy. these are the markets that will be the made powerhouses for global growth for years to come. given the conversation and the global economy, this trend is developing. we are working together with our partners at the economic union and building our policy with asia and pacific countries. we are trying to eliminate barriers in faith and investments. this year, they have concluded their first free trade agreement with vietnam. russian companies will be able to export a whole range of items. with no custom fees. earlier this year, we signed a joint agreement on

shell has risks in russia. there are -- it is more of a binary story for b.p. >> it is more of an obvious story absolutely for b.p. i think the risks are always well known. there will be a number of people who feel that i'm uncomfortable with these levels. it is not something i really need to own. they are missing some value. i don't think it is something hat has to be a core part of everybody's portfolio but i think there is some opportunity there. there are other companies who are exposed to russia as well. b.p. is the most obvious. total is not without exposure to russia. a future project when normally for example they would expect to generate some of the cap exto that from project finance. they will find it difficult to lend to russia. that is an area exposed to risk. total for example. that is not quite as ok and should also be taken into account. >> thanks for your analysis. great to have you on the program. peter hutton joining us from r.b.s.. we'll be back in a couple of minutes. ♪ >> welcome back. ti

/russia relations? >> this is a pretty severe crisis with u.s./russia relations. the outcome will determine for some time to come. the history of it, we came into office, obama came into office to pursue a relation with russia and we try to get as much done as we could and we got quite a bit done including a treaty. russia supports for wto. a number of other things. >> tom donilon, thank you for joining us. i thank you. >> thank you, charlie. ♪ >> wes anderson is here. he is one of the most original filmmakers. his movies are known for visual style. his new movie is set in a fictional town in pre-world war ii europe. it follows a concierge and lobby boy who becomes his trusted friend. here is the trailer for "the grand budapest hotel." >> why do you want to be a lobby boy? >> who wouldn't? >> my life began. junior lobby boy in training under strict supervision. many of the most valued and distinguished guests came for him. >> i love you. >> this was also when i met her. >> she is charming. >> so charming. >> i approve. >> he was to be my counselor and guardian.

in russia. gm did not give a date for their return. audi says that will return once they figure out the pricing and then they will come back intentionally to the market. look at the size of the auto market in russia, 2.2 million units sold. look at what bmw has done, 33,000 units. take a look at last month sales to see how far down they are going. volkswagen down 14%. audi 23%. peugeot 39%. you know what they have in terms of ruble exposure. if it declines by 50%, bmw could lose up to 150 million euros. >> is anyone doing well? we talked about porsche sales and they are actually up, aren't they? market, weuperluxury have a bit of an outlier and that may be because russians are trying to park their rubles in these expensive assets. take a look at these figures. porsche is up i believe 55%. lexis up 60 3%. 25% the month before. mercedes with a big exposure, they are up 72%. -- 7%-2 percent. send ryan chilcote with a bag of euros and see what he comes back with. he's got to drive the entire way bac

it is important to show to thatbody what russia -- russia has many faces. film.e a look at this i will show you the trailer. is it different than the louvr?? the product and other museums? rada and other museums? >> it is a great symbol of the nation. perhaps for russia, even more. it combines a great collection and the history of russia. you feel this history in all the rooms of the hermitage. you feel the history of russia, the russian empire. it is all connected. all the main events through history have done something to the hermitage. >> the centrality of catherine the great and crating the creating the- in collection. >> she was quite an impressive woman. she was extremely clever. she was fully non-russian, she was german. no drop of russian blood. but she was the most russian czar on the throne. she understood what people needed, russian needed. she does it all the right things to promote russia as a great institution. she knew to be a great statement a great army, a economy, and collection in museums. >> i'm struck by the capacity of great leaders to

does russia due to chinese relations? russia is complicated. the last few years have been dominated by talk of russia and china working together against the united states. it is a murky game. i am not sure how that will play out. after the election, almost all emerging markets went the -- immediately after election, almost all emerging markets went down, because there was expectation of fiscal stimulus, and fed tightening, that would pool dollars back into the u.s. the exception was russia. markets because the where more accommodating with even the lifting of sanctions. vonnie: if you look at the bloomberg at the primary winners, there is another russian index in the top 10. you are just back a few months ago from some baltic states. what did you make of the reaction to the election on the ground and what it might say about russian relations him up but even for the ukraine and nato? pat: there is concern for ukraine in the baltic stakes, -- tates, especially given some of the comments made about nato. but the events of the last 24 hours of the

just because they want to join russia doesn't mean that russia has to have them. so russia will have to make that decision. if they choose not to annex crimea, that might be something that would go some ways in appeasing the united states and the european union in coming up with a double medic solution. the foreign minister says that russia has no plans to invade eastern ukraine. that's another big concern. at the fact that he said that is not part of the plan is somewhat comforting for the west. >> kerry has said the results of sunday's referendum in crimea are a conclusion. what can we expect the next day ? >> we have a full schedule of punishment for russia. the eu gathers on monday. they will lay out the punishment. they will say up there is no change this week, then this will happen to you. that is likely to be be so restrictions, asset freezes. restrictions, asset freezes. on thursday, that's when the leaders gather in brussels. i expect action by then if russia does not change course. >> ryan chilcote joining us on the phone from london. thank you. joining

this is now part of russia, at least as far as russia is concerned. is tinkov systems going to go there? >> the pleasure of having different businesses that we don't need any physical operation. it is only online. already in crimea. people cannot apply for the credit cards. we are not doing it yet. when it will be possible, we might do it. why not? >> what do you think about crimea joining russia. a lot of people in the west saying the way it happened is just evil. >> i'm a patriot. i'm russian, so i have to support my country and my president. i might discuss it in the bar with my friends and i might have different opinion, but talking with the western press, i have to say i support them. >> gotcha. we have seen a lot of hacker attacks including the central bank here in russia and your own bank. what's going on? is that some kind of ukrainian hacker attack? >> i don't know. it might be. we got some attack last night. the first time it ever happened at this bank. we are doing well. not good. it might be from ukraine. i cannot tell you. >> you expect b

once upon a time, it was russia's largest oil company. it was controlled by russia's richest man. guilty ined and found a couple of trials of money .aundering he moved to switzerland. ofwas tried and found guilty tax evasion, money laundering. the company was found guilty of tax evasion. through taxupted claims to the tune of $22 billion. as a result, there was an auction and it was sold to a company that then sold it. if you listen to the people that yukos, thatose -- was nothing more than the state taking it off their hands through trumped up charges. that --t of prison and and the actual goals -- and the x shareholders, and today, we will get the official judgment from the hague arbitration court. they were suing russia for $100 billion. the russian press is reporting they will be awarded $50 billion. we have yet to confirm that. beginning -- he does not have a stake in this company, which is making the claim. does he benefit if we were to see a ruling the made in the favor of this group? >> what he has said is that he passed on all of his shares, is remaining financial interes

russia is shut out of capital markets. i do not think we care. >> it is optimistic. >> the global head. thank you. thanks for joining us this morning. swiss companies. have to talk about them rallying after negative interest rates. this is popping after proposing a new chairman. on the move is back. so much to discuss this morning. >> welcome back. cuba have taken the first steps to normalizing relationships. the cuban president have agreed to a number of measures. news had a powerful impact on several companies. holds assets that that would benefit from this is listed under the u.s. ticker and popped more than 20% on the news yesterday. in cuba, the stock is getting a boost. obama, a message on ending the standoff. >> this has not worked. it is time for a new approach. >> isolation does not pay is the message from obama. spotlight, it the was not just castro. have fullwill coverage of the event. we are joined by guy johnson. there is a link there. the stars are aligning. >> living up to the promo. they promised so much. m

and russia right now that russia would be upset if you had an office in silicon valley? ashlee: you think of hackers sitting in a basement with their hoodies and their hats. these are the people who hunt them. this is russia's largest cybercrime event. ashlee: ilya started this in college with a few buddies. one of them is the company has had hacker hunter -- the companies had hacker hunter -- the company's head hacker hunter. ashlee: i visited the moscow office to find out more about how dimitri chases cyber criminals. community --acking is that the biggest cybercrime community in the world? ashlee: what's the art of that and the technique? ashlee: what does a russian hacker look like? who are these people? anlee: they know occupy uncomfortable position at the intersection of cold war geopolitics and organized crime, like the mafia from russia's unruly caucuses. ilya learned that one of the targets had ordered mobsters to kill him. ashlee: do you have bodyguards? ashlee: peace on cyber earth may come, but just in case, russia is building a series of startup cities to in

tillerson was very outspoken and very tough talking about russia, he had a long history in russia. he understood the country and the people. that was viewed as a positive rather than a negative. it's also understood in moscow that the proposed sanctions threat has not been driven by the white house, is coming from congress. that is not going to change with a new secretary of state. they will be nervous until they get the measure -- mark: the relationship between the u.s. and russia at a low. it is certainly at a low. do you see it coming off those lows anytime soon? the repercussions for the investment community. no, i don't of all, see it coming off the lows. it's likely that we will reach new lows. one thing we've heard from the u.s. treasury secretary, that the u.s. is planning to come with new sanctions against russia in the coming weeks. there will be pressure from congress to continue tightening sanctions. that's coming. there's morethat conflict over the nuclear treaty. that could lead to new tensions. of course, this crisis with the u.k., again, that could reinforce the har

russia. give us the highlights for president obama's -- from president obama's quick speech today. >> things are escalating. laughing quite as hard at this list. things have gotten tougher from the administration. the president designated 20 more russians with asset freezes and travel bans on the including 16 government officials. list, russia's 17 the biggest bank. a latest executive order also 17ths the u.s. -- russia's biggest bank. the latest executive order also allows the u.s. -- >> this is not our preferred outcome. these sanctions will not only have an impact on the russian economy but could also have an impact to the global economy. however, russia must know that further escalation will only isolate it further from the international community. time, the the first action taken today includes russian business leaders seen as close to vladimir putin, part of his inner circle. the group includes the russian railway chairman. he is a putin confidant. they used to be neighbors outside of m

war in russia not to annex crimea. yuan falls to its weakest level in a month as the central bank doubles its daily trading range against the dollar. welcome to "countdown." >> it is 6:00 here in london this morning. ryan chilcote is following the ukraine tension from brussels. >> caroline hyde has the details of the potential vodafone deal. >> let's start with our top story. crimean's have voted to secede from ukraine and join russia. that is according to early results of yesterday's referendum. western governments announce the vote as a legal. european union foreign ministers gather in two hours to discuss sanctions against russia. brian is in brussels. -- ryan is in brussels. >> they will be whittling down the list of dozens of members of russia's elite that it intends to subject to put these restrictions -- visa restrictions. punish kremlin officials and members of russia's elite who politically played a role in the russian incursion in crimea. dissuadeis to president putin from annexing crimea. goal is to discoura