To 3 1 2 percent market. So its all parts of the business growing towards that Group Operating margin target. When you lay out the targets on, it sounds like work still needs to be done despite a good recovery. This is perhaps some of the concern with Share Holders when it comes to the booker deal. Why are you so convinced this is the right deal and the right price . What i first say is the booker deal is on top of the ambition we set out. 3. 5 to 4 is in the existing plans. Thats what were focused on now. What the booker merger gives us a chance to bring Significant Growth into the business. Involves food, the heart of what we do at tesco. And what well bring with booker merger is a better more competitive offer to customers in the uk. In that sense theres a growth opportunity, delivered food service which together with booker we can really make good Growth Prospect in that part of the market. Yet in this letter coming from schroeder, one of your top shareholders, they outline that tesco is paying 23 times over the peak operating profit at booker. Does that concern you as cfo . No, it doesnt what weve done is looked clearly at the benefits which the merger brings. Weve identified and quantified 200 million of benefits. 175 million of those are cost benefits. Very easy to quantify in a hard sense. We will deliver those. Theres 25 million of revenue benefits, more difficult to quantify. Thats a small part of what we see as the potential. So we will talk with all of the shareholders. Well go through the competition process. Were actively engaged with that. Once we get clarification of what that means, well go to shareholders and ask them to approve the merger. But its a process with which weve actively engaged. We spent a long time planning for it. We believe theres significant opportunity for customers and for suhareholders. Nancy joins us around the desk. Were all quite puzzled, we dont understand the disconnect with the share prices being down and the numbers being okay. There doesnt seem to be a lot of profit taking in the stock. It is down some 1 over the past year wha what do you think is g on . Analysts say its a beat across key metrics, not only are we talking about the operating profit, when you look at metrics like debt, free cash flow, overall people are pleased here. The question over the booker deal that we were speaking to the cfo about is crucial. Many said these results needed to blow estimates out of the park to make this deal still a winner in the eyes of shareholders. Its no secret that the top third and fourth shareholders have expressed doubt on the Value Proposition of this deal. Its still a long way to go. Of course theres competition process they have to clear. I had a chance to speak to alan stewart about that. He was confident they would get ahead of the cma because booker is a whole sailor, not a l sale. But its not clear whether authorities will give the green light without tesco exposing some of those stores. I asked if the Value Proposition was still there, he was convinced it was. But still a long way to go when you talk about the fate of that deal. Against this back drop, tess co said were well positioned given the challenges. One of the challenges they face is this pricing environment. Now we know we have article 50 being triggered. The uk getting set to leave the eu in about two years, but i did ask alan stewart if there was more certainty as a result of that formal process getting started. Heres what he had to say. The uncertainty continues. It was clear to us from the results of the referendum last year that this is a path down which the uk would go. Well see and work with our suppliers as that evolves. The impact on the currency is causing inflationary moves. Well work with suppliers to work through it and see as it evolves. There is uncertainty there. For any Business Uncertainty is not something we value. So should shoppers assume if sterling weakens, well have to pay more . Im not sure thats necessarily following exactly. We have to see how it works out. We have to see how it works out. Thats the message coming from the cfo over at tesco. Its not just the macro uncertainty when you talk about brexit and the impact of sterling, its the continued competition in this space. Yes on the fullyear, i think investors will be encouraged by the like for like sales growth, but a long road to go, which is why many are asking are they far enough along in the recovery to justify this 7 billion pound booker bid. Its Something Like 1 pound spent on food goes towards bo booker goes to tesco in the uk. Is it still . Yeah. People wonder on high street will we have to pay more . Will the price rises continue . Thats a concern. From the Share Holders perspective, some were looking for more of a commitment on the dividend, i asked alan stewart about the dividend intentions, he says the board wants to resume a dividend but its not declared until its declared. Nancy, thank you very much. Nancy joining us with the latest on tesco. Akzo nobel rejected Elliott Advisers call for it to carry out a management overhaul. The dutch Chemicals Firm says it will throw out the proposal to dismiss Anthony Burgmans as chairman of the advisory board. They will still hold a Shareholder Meeting to discuss the process. Akzo nobel said Elliott Advisers passed on price Sensitive Information about its calls to u. S. Rival ppg. Elliott said akzos board was acting in a self entrenching and destructive manner and failing in its duty to shareholders. I think you have had these two takeover bids rejected by akzo nobel since march rejected by ppg, the last one 22 billion. 5 so saying it undervakzo sayin the company and it rubbed Elliott Advisers the wrong way. Theyre clearly aggressive, they wanted this deal to go there. Akzonobel said this significantly undervalues the firm. The question is will ppg come back with a sweetened offer or will they go hostile . Thats the big question mark out there. Its also worth noting that shareholders, i read analysis about this previously when the second offer was rejected, shareholders seem to be gaining either way, because even if they dont go for the ppg deal, they will still spin off the chemicals business. So, the point here that some of the analysts out there made, you know, yeah, theres a lot of stuff going on, but shareholders will win in the end. Yeah. Akzo also saying that might be the case, but we back the chairman, the chairman Elliott Advisers want out, they strongly support him and they are considering this proposal to hold an agm within the 14 days to talk about possibly getting rid of this gentleman this chairman from the supervisory board. But they really want him to stay. Elliott advisers is quite busy these days, its not just akzonobel, its billiton. They have rejected elliott advi advisers plan as flawed. Saying it would offer minimal cost savings. Bhp also shot done tdown the ida that sthey should return more money to shareholders. They say they wouldnt be able to make Counter Cyclical investments needed at this time. Looking at European Equity markets. Were green across the screens except for red down there in greece. It is all about the safe haven trade back in play once again. The yen bopping at fivemonth highs. Gold jumping. Bonds seeing buying there with yields hitting multiyear lows in the u. S. , its all about geopolitics with north korea, syria and russia at the top of the agenda. It does seem this safe haven buying is something were seeing for the time being. Just look at system of the pops weve had there. Spot gold, 1,274. 1,2 7 within the la 1,277 within the last couple hours. The auto sector bolstered by First Quarter figures coming through from daimler, travel and leisure higher, retail flat to lower. So thats the market picture. Lets get more investment analysis with the chief Investment Officer from cross bridge. Theres clearly more flight to safety. I read an interesting article this morning by a cnbc contributor saying the u. S. Is headed for a bear market, thats usually characterized by Rising Interest Rates and the u. S. Going to war. The u. S. Going to war, of course, thats a very leftfield scenario but might happen given the rise in geopolitical tensions. Is there risk of this happening . I dont see a risk of this happening. In my mind, inflation trade has stalled, its not dead. If you look at the gdp growth, its ticking at 2 . You have some growth in europe, emerging markets are doing well. Youre not having clearly tax reform. Look at inflation, inflation used to be 1 in the u. S. , Consumer Prices 2. 7. Europe negative at 2 . Uk at 2 . Where are the unemployment rates . Going down. There is room for inflation trade to come back. Tax reforms would have helped. It hasnt happened. It doesnt mean its not going to happen. Theres a stall, but i dont see a risk of bear markets. What happens the markets . Do we trade sideways as we await the tax reform or the tax cut as people expect . The infrastructure package which may not come until 2018, what does the s p 500 do . I think you will seaside ways, probably movement within the sectors, in sectors, but not the overall markets. Top line may not move, but look at energy, technical basis, its poised to do well. Earnings will start now. Analysts expectations are 9 increase. Youre not talking about earnings not showing up. The macro factors do matter. Therefore you have more movement on the top line. Within the sector you will see the move. You dont think looking at these multiyear highs on equity markets, you dont think its time to take profit . You dont think were looking frothy and the good days cant last . Look at the time horizon. If youre worried about what could happen, there is a worry, you could do a short down profit if you wanted to. Depends on the trading strategy. If youre not trading on a weekly, quarter or monthly basis, it doesnt make sense. Remember what happens with brexit and the u. S. , people who sold lost because the market went down. Same happened in the u. S. I got the trump prediction correct but not the market correct, because i sold off and went out of the market and went with cash, but the market went up. This should not be one thing that should make you trade if youre a longterm investor. What should your Biggest Holding be at the moment . If youre looking to be an active investor, where should you put your money . Im still overweight u. S. But just holing on e in holding on europe to see what happens with the French Election. If you look at the bonds, hybrid bonds, 5. 25 , you could take that up. Youre not seeing a big increase in Interest Rates. If you want to leverage that up and see return, you could do that. Coming back to the u. S. , it is in u. S. Interests for tax reform. Interest rates going up, they have to pay more on the debts that banks have. I think reform will happen, its a matter of time. But sh but you should not change your strategy because of the healthcare scare and they dont have a deal. It will happen later on. Q1 starting in the u. S. Very soon with the banking stocks. What were expecting for the u. S. And the s p 500, i believe, is a 10 rise in earnings for the stoxx 600, in europe higher, 17 . Is that pretty much priced in . I think the financials, yes. You have seen a financials rally. Look at financials. They are up 17 , 16 since u. S. Election. Most of the rally has come last year. This year its 1 out of 17, 1 this year. Financials have priced in. If you dont expect a big Interest Rate increase, theres not as much to push the financials up. If you look at technology, technology has the same thing. It didnt have much return since u. S. Election at end of last year but has a lot of return this year. Technology is something i like. Gdp growth at 2 , emerging markets doing well. Main scare was major u. S. Dollar strength. Thats not in the picture. That has made markets do well that feeds into a positive outlook. French election is a risk. I will admit that. But something that you want to be careful about, but it wont change the longterm strategy on that. Thank you for that. Email the show. Its always nice to hear from you. Thank you, barry, we got your questions. Its nice to get involved. I feel like its been quieter. Aguess i guess a lot of people are on easter break, either skiing, in the caribbean. The address is streetsignseurope cnbc. Com. We are also alive and well on twitter, you can find us directly, louisabojesen. Or at carolincnbc. Still to come up, chinas Producer Prices cool for the first time in seven months. We break dont data. Dont go away. Away. Welcome back. Xh chinas Consumer Price inflation rose 1 in march as lower food prices put downward pressure on the number. Lets get a view of what asian markets did overnight with pauline. Good morning, carolin. Food prices were down 7. 9 for february. Cpi came in below expectations. It was the softer ppi number that worried the markets. Ppi for march showed a cooldown for the first time in seven months. That ppi was 7. 6 per yearonyear. The cool down was because of a drop in coal prices and iron ore prices. Housing curves slowed down the market, slowing down the demand for iron ore, steel and copper. We saw this sentiment throughout the session. But before the close, the hang seng was able to rally and ended up by almost 1 . Generally we saw this riskoff sentiment because of geopolitical concerns over syria and north korea, that created demand for safe haven assets like the yen. The stronger yen put pressure on exporters there in japan with the nikkei 225 ends down 1 . T there was pressure in the Telecom Sector as telstra fell 7. 5 after tpg telecom won an auction to provide 4 g service to 80 of the service. So the Telecom Sector under pressure there. Back to you. Thank you very much. Here in europe, theres still a lot of focus on whats taking place in the run up to the French Elections. We have the chief fx separatrat from ing joining us again. The French Election runup has had limited impact on the euro. Why arent we seeing more of a Euro Movement given this tight race and some surprises in the run up . One thing, if you look at the bigger picture, maybe the race is not as tight as ahead of the u. S. Elections or the brexit referendum. If you look at the French Election elections, if macron gets n hes consistently having 15 , 20 margins. Also, i know its simplification, but investors today are used to it. If you look back, greece, italy, banking woes, this is something were used to. Hence the bar for surprise is much, much higher. Particularly in the context of the extreme euro dollar underevaluation. Up to the French Elections, what should be happening in should we position in the youeu if its a matter of its not moving . Yes, you should definitely position for potential negative surprise. But you need to be careful because you can argue that the obvious traits, like short euro dollar position, short euro positions are expensive. When you look at the derivative market and the premium priced in. You need to do more homework and look at the currencies that offer more value. In our view, the biggest value is a hedge against european risk at this point lies with short scandinavian currencies, and long euro,. And what if le pen actually wins . Weve seen predictions of the euro dollar pair. Will it drop to parity or to 15 . If le pen wins that will rock the boat. Thats not priced in at all. We would expect euro dollar to move to parity. But again, once there is the initial reaction, investors will take a step back and ask themselves, can she actually call a referendum in the eu . The answer is not necessarily. In france it should be the parliament not president who is calling for these constitutional changes. So after the initial and massive and justified selloff, people will stel bap back and think ab it again. And there may be another force come june elections, thats the ecb. They have spent time talking about tapering, not tapers, at some point in june or september it will talk about taeperri pape again. How much of a driving force will that be for the euro . Provided le pen will not get in, this is likely to happen. This idea of ecb signaling is a core view and core aspect of our our outside consensus bullish euro dollar medium term forecast. Euro dollar is heavily undervalued. This trump trade is getting more priced in. In a sense the undervalued euro dollar is looking for a catalyst so move sharply higher. Once the ecb signals the eventual end of the qe, this should unleash material euro dollar upside. We have to leave it here. Thank you very much for that. We need to take a short break. Check out World Markets live, its our blog that runs all over the place throughout europe. You can find us still on twitter, louisabojesen or carolincnbc. See you in a second. N a second. Welcome. Yes, youre still watching street signs. Im kafrl carcarolin roth. Im louisa bojesen. Your headlines this morning european investors shrug off market anxiety in the u. S. After investors pour into safe havens, pushing gold to a fivemonth high and yields on u. S. Treasuries to the lowest levels this year. Tesco slides to the bottom of the stoxx 600 despite topping analyst estimates in 2016 profits. Autos race ahead, outperforming in early trade. Bolstered by strong q1 figures from daimler. We are not going into syria. Donald trump says the u. S. Will not enter the syrian civil war, while i had administratihis adms the russian government of defending syria. That as Rex Tillerson visits moscow. All right. Were waiting for some uk wages data. Before that comes out, want to tell you that youre looking at live pictures as u. S. Secretary of state Rex Tillerson and Russian Foreign minister Sergey Lavrov are meeting in russia. Some challenging discussions about the u. S. Attack on a syrian air base. Plus 25,000 monthonmonth, the largest increase since july of 2011. The poll was for a drop, but were looking at an increase. Unemployment rate, 4. 7 , which is bang in line with what the expectations had been. Average weekly earnings, thats the one that a lot of economists like to look at. Weekly earnings plus 2. 3 year on year in the three months to february. Thats a bit above what the poll expectations had been, 2. 2 for february alone. Almost 3 yearonyear. Plus 2. 9 yearonyear. Average weekly earnings, x bonuses, plus 2. 2 yearonyear, also stronger than anticipated. So steady rate for unemployment, 4. 7 . Thats good news as inflation is rising, even though last month it held steady at 2. 3 on a yearonyear basis. We know it will be rising towards 3 with a weakness of the pound coming through. So a lot of concern that the consumer will be squeezed. Yeah. The bank of england has made that clear. Also a lot of speculation on whether they would have to move earlier than anticipated. Very true. A bit of a pop seen in sterling. Moving on a report by the uk governments Public Administration and Constitutional AffairsCommittee Says foreign states may have interfered in the brexit vote. The findings, they refer to the Voter Registration website crash in the run up to last years referendum saying that it had indications that it was a cyberattack. The report did not assign responsibility, but it pointed to russia and chinas approach to cyberattacks which involved an understanding of mass psychology and how to exploit individuals. And staying on the cyber theme, a new report from cgi suggests on average a severe cybersecurity breach to a ftse 1 00 company causes share prices to fall permanently by 1. 8 , the equivalent of 120 Million Pounds lost to investors. Andrew is Vice President of cybersecurity at cgi and is with us. Good morning. First, let me ask you, with regards to the foreign states that were hearing may have interfered in the brexit vote, how hard is it to trace cyberbreaches . How hard is it to trace hacking . Does depend on the nature of the breach and the nature of the organization. Some are incredibly hard to trace. It takes generally quite a lot of time, effort and expertise to trace those back. It takes ones own authorities to do that the. We point fingers at russia, it could be anybody interfering. It could be but you have to look at who has the skills and capability to do that. Russia has some strong capabilities, as do some of the other Eastern European states, as does the uk and the u. S. Lets get back to the report what are some key findings . So, i think the most important finding is weve shown a correlation between share price impact and a cyberevent. Thats the first time that thats been done successfully. Historically when people have looked at this they found little correlation. Its showing the markets are becoming sensitive to cybersecurity incidents as having an impact on company value. So in the report, which we did with Oxford Economics to provide independence, we looked at Something Like 300 companies that have been affected by incidents, and we did that against the back drop of nearly 1,000 other Companies Operating in the same markets, the same sectors, same stock exchanges. Just sort of take out the market noise, if youd like what was left was the 1. 8 that was the impact on share price on average. Over time. So cents essentially youre say company in its lifetime will never recover from a cyberbreach. Is that adequately priced in by investors . Not yet. One of the interesting findings of this report, if we look back to two, three years ago, the impact was almost nothing. The year after that, 1. 5 . Then last year it was 2. 7 . So its rising. The more recent the incident is, the more impact on the share price. So analysts are starting to realize a cyber instance has a Material Impact on eevaluation and are factoring that in. Which sectors feel the most . Thats an interesting question. The ones that typically feel the most are the heavily regulated ones. Financial services, some of the telecoms industry, they have had the biggest impact. But theyre not the ones who have the most events. Healthcare is quite often the target. Quite often suffers breaches. They dont result in share price impact. In terms of what companies are doing about this, im assuming companies, youll be sending this report out to a lot of companies out there. Is it your experience they act on things like that . Are they still kind of taking it too easy . One of the reasons why we did this was to try to get cybersecurity as a border gender item. Over the last few years cyberhas become an issue thats recognized at board level, but its not top of the investment list. Things that dont grow the top line or bottom line get pushed back. What we wanted to do was put something that every ceo would sit up and take notice. This is the fundamental reason why im here is to create company value. If i dont see that being p preserved, cyber is a part of that story. Is the number a lot higher in the u. S. Because they have different Disclosure Rules . If its 10 to 20 in the uk, should we be more worried about all the Cyber Breaches out there and what we dont know . Absolutely right. I think 10 to 20 is probably an overestimate. I think its less than that in practice. Youre right, disclosure law makes a difference. In europe well get the general Data Protection estimate in 2018. We have just over a year before it becomes full force. That will provide make companies disclose cyberbreaches within 72 hours as part of the legislation. That will have an impact on European Companies or Companies Operating in europe. That plus the penalties that go with that. Penalties of 4 of global revenue if you mistreat sensitive and personal information. Big, scary stuff that companies are starting to worry about. Andrew, thank you very much for that report. Lets look at whats happening in the currency markets. Were still seeing a flight to safety, thats pushing the dollar yen pair to the lowest in five months, back below the 1 10 level that its been trying to breach for weeks and week. Currently up by 0. 1 for that pair. Euro dollar pressured about concerns that the French Elections with the far left lead ever er, melenchon gaining in the polls. And cable gaining, currently at 1 tnt 1. 25 high. In the european markets, we are broadly higher. Shrugging off uncertainty from the asian handover and the u. S. The ftse up by 0. 3 . Xetra dax up by 0. 3 as well. Autos are doing well on the back of a strong report from daimler for the First Quarter. This is how u. S. Futures are look. Z s p 500 seen up by 4. 5 points. The dow jones, up by 23. And the nasdaq up by 8 points. Once again, as you would expect going into easter, volumes are very, very light. The fbi has obtained a secret court order during the president ial campaign to monitor the communications of carter page, an adviser to the Trump Campaign. The socalled fisa warrant was part of an ongoing warrant into possible investigations between russia and the Trump Campaign and required convincing a judge that there was probable cause that page was acting as an agent of a foreign power. Last march donald trump pointed to page as someone advising him on Foreign Policy but spokespeople have down played pages involvement. We want to get you the latest coming out of the meeting thats been taking place between the u. S. Secretary of state, Rex Tillerson and the foreign minister of russia, mr. Lavrov. Lavrov stating we have many times said were ready for constructive dialogue on equal terms with the u. S. We favor collective actions. Lavrov saying we want to know the real intentions of the white house. Hes also talking about syria saying that the u. S. Strikes in syria were a violation of law. And that its important not to allow a repeat of such strikes. He wants frank and honest discussions on wide antiterror coalitions. Lets get to the comments from u. S. Secretary of state, mr. Tillerson. He says our lines of communication shall always remain open. The meetings today, they come at an important moment so we can further clarify areas of common interest and prospects on airing differences. He says this applies even when tactics are different. Then he says he wants to further clarify areas of sharp difference so we can understand why they exist and lease lookhe forward to an open, candid and Frank Exchange so we can better define the u. S. russia relationship. Given everything going on over the last five days since that air attack in syria, these are conciliatory comments. They are. I would be curious to hear whether lavrov asks tillerson to clarify the u. S. s stance on north korea. In you look at it from the u. S. Perspective, you have syria, russia, north korea, a lot of hostility at the moment. You dont want to tickle any of those hostile areas. You would expect that an official statement in this would be as conciliatory. This comes after the white house hit at russia for its staunch defense of Bashar Al Assad saying it was covering up for his alleged use of chemical weapons. Speaking to fox business, donald trump said he had no plans to escalate the conflict further by entering syria. He added his russian counterpart was supporting the wrong side. Putin is backing a person thats truly an evil person. I think its very bad for russia. Very bad for mankind. Very bad for this world. But when you drop gas or bombs or barrel bombs, massive bombs with dynamite and drop them in front of a group of people, and in all fairness you see kids with no arms no leg, no face, this is an animal. Russian president Vladimir Putin dug in his heels on the issue saying assads opponents carried out false Chemical Attacks in order to justify more u. S. Strikes. Speaking ahead of Rex Tillersons visit to moscow, putin said moscow had intelligence to back up the claim saying the attacks in syria needed to be fully investigated by the united nations. Translator we have intelligence from various sources that similar provocations are being prepared in other regions of syria including Southern Suburbs of damascus where they are planning to plant chemicals and blame the Syrian Government for using them. But we believe any displays of this kind deserve to be thoroughly investigated. We will officially turn to the corresponding u. N. Structure in the hague and to call on the International Community to thoroughly investigate these actions. White House Press Secretary sean spicer has been forced to apologize for saying that hitler did not use chemical weapons. Delivering his daily press briefings, spicer sparked condemnation when he made remarks to assads alleged use of weapons. Kirsten well ker h Kristen Welker has more. Reporter tonight, a messaging misstep rocking the white house after press Secretary Sean Spicer compared syrias president , bashir al assad, to adolf hitler. We didnt use chemical weapons in world war ii. You had somebody as despicable as hitler who didnt even sink to using chemical weapons. Reporter those comments sparking an immediate backlash. Hitler gassed millions of jews in concentration camps during the holocaust, that forcing spicer to clarify before the briefing was over. I think when you come to sarin gas, he was not using the gas on his own people the same way that assad is doing. There was not he brought them into the holocaust center, i understand that. What im saying the way assad used them where he went into towns and dropped them down onto innocents in the middle of town. Reporter spicer apparently referring to concentration camps when he used the term holocaust center. Moments after the briefing, spicer sending out three more clarifications. In no way was i trying to lessen the horrendous nature of the holocaust. Any attack on innocent people is reprehensible and inexcusable. The damage already done. On twitter outrage. One person demanding spicer learn how to fact check. Another saying the comments make me physically ill. Tonight calls for spicer to be fired including from House Democratic leader nancy pelosi and the ann frank center. Sean spicer has delivered one of the most repulsive slurs against a group of people we have ever heard from a white house podium to imagine on passover. Reporter still the controversy underscoring the white houses struggling to offer a clear message and policy when it comes to syria. Incredible. I have no words. You couldnt make it up. No. No. One of the best tweets ive seen was please drag out spicer from the briefing room. Twitter was going amok yesterday. I think i lost two hours of sleep because i was watching everything unfold. It does make you physically ill. It does. In so many ways. In so many ways. And then, of course, we have north korea also making you physically ill in terms of that story and lou thathow thats un rhetoric being used. State media said the countrys military is ready to act as a Navy Strike Group moves towards the western pacific. President trump calling on china to rein in its neighbor, saying china would get a better trade deal with the u. S. If it helps to resolve issues with north korea. Chinas state broadcaster responded by saying that president xi has discussed the north korean situation on a call with President Trump and stressed that a resolution should be achieved by peaceful means. You want to say, just stop being babies, all of you. Stop throwing your toys at each other. Its heating up. Still coming up, as leftist candidate Jeanluc Melenchon surges in the polls, well get reaction from the French Business. Thats coming up in two. In the latest twist in the french president ial race, leftwing candidate Jeanluc Melenchon has surged no the top four behind fillon with 18. 5 of voter sport. Lets get out to claire who joins us from paris. This latest twist, whats the reaction from the Business Community . The Business Community like investors in the markets are growing concerned about the extremes in france. You had Marine Le Pen who was a frontrunner, even though she was sliding in the polls, now you have a surprise surge of farleft Jeanluc Melenchon, who this morning they call the french chavez. He wants to increase public spending by 1 8 180 billion eur increase tax and european tri treaties. With me i have the head of the main French Business confederation. Thanks for being with us. First, to talk about the extreme right, how do you assess the risk that Marine Le Pen can be in the first round or access power in this election . I dont believe one second she could access the second poll second poll, yes. But not later. I think she will be defeated by macron, defeated by fillon, and she will even be defeated by melenchon. I dont see a highrisk of her getting in power in france. So you dont think theres a risk of frexit per se in france . No. I think that fillon or macron will be elected. And they are business people. They like business. They like globalization. They like europe. So, i see that we wont be frexit. Even if le pen is going to power, the french will be will vote for that. She will not take the decision by herself. We know that the french like euro, so i dont see frexit configuration. Thats a weakness in Marine Le Pens program, people in france dont really want to exit t the euro. Were trying to assess a faceoff between the extreme left and extreme right, do you think there can be a Marine Le Pen and melenchon faceoff . No, i dont think about that. Melenchon is rising in the poll, around 18 , i believe. But i still think that, you know, we have still 12 days to go. And melenchon is really kind of a communist guy. I think theres going to be selling. So i dont see getting le pen and melenchon. Who is the best candidate for business in france . I think fillons program economically is the best. He goes into 100 billion euros of cuts in spending. Public spending. Where macron, has a good program, too but not so far. 60 billion euros of public spending. Then after that you have i know fillon is i mean has been in power for five years. People know him. Theres been some kind of affairs, but macron is quite an international guy. Speaks very good english. So, i think the two candidates will be two good president s for france. You dont think the scandal that Francois Fillon embroiled in will be a problem . We have to be careful. Hes been in politics for 36 years without any problem. So, just two months before the election hes got some problems. Weve got to be careful is it true . You know, theres no proof of anything. So we have to hes got to fight. Hes got to prove everything is clear. Of course we call that affairs, and well if hes elected, he will have the legitimacy and power of the election. Do you have a pronognostic f the election . I dont, either macron or fillon. Still a lot of uncertainty and unease growing after extremes rising in france. If you make a total of the extreme right voting inen it shintentions and extreme left voting inen it shuns, it makes up 50 . Thank you very much for that. Shares of United Airlines slid yesterday by 4 . The move reflected wall streets reaction to the public outrage at United Airlines after a video surfaced online showing a passenger being violently dragged from his seat by airport security. He was removed to make room for a united employee. I have never seen a reaction on wall street, ever like this. Where its reflected based on something soft like it was it was a soft event that happened. It wasnt a business event that happened. I think youre right. On the first day the story came out, there wasnt a reaction, people said, hey, you know, customers are going to focus on service, on the price. Now the second day the soft factors come in. This might impact chinese business. This clip was seen 210 million times on weibo, the chinese platform. Also worth asking would that have happened to me had i been sitting there . Would they have taken me out like that . Thats it for todays show. Im louisa bojesen. Im carolin roth. Worldwide exchange is up next. President trump and chinese president xi jinping speak by phone about north korea, secretary of state tillerson arrives in moscow. Global markets take notice. Saying sorry. The ceo of United Airlines makes another attempt at an apology as outrage builds about a passenger being dragged off a flight. The latest information and stock information coming up. And behind the wheel. Lyft raises more money pushing its valuation to 7 7. 5 billion. Its wednesday, april 12, 2017. Worldwide exchange begins right now