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First Move with Julia Chatterley
Austria Goes into National Lockdown and Mandates Vaccine; WTA could Pull Tournaments from China over Peng Shuai; India to Repeal Controversial Farming Laws; Big Oil Says U.S. Probe into Prices a "Distraction"; Lowering the Impact of Fashion on our Planet. Aired 9-10a ET
Aired November 19, 2021 - 09:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
[09:00:22]
JULIA CHATTERLEY, CNN INTERNATIONAL ANCHOR: Live from New York, I'm Julia Chatterley. This is "FIRST MOVE." And here's your need to know.
Vienna's verdict. Austria and it's full lockdown and mandates COVID jabs.
Stars speak out. Top players demand answers from China over missing tennis ace Peng Shuai.
A Modi's misstep. Farmers celebrate after a government U-turn on agriculture reforms.
It's Friday. Let's make a move.
A warm welcome to "FIRST MOVE" as always.
And as you heard there, it's fourth wave fears that command our attention today. Austria becomes the first European nation to re-enter full lockdown
and announce mandatory vaccinations. We began the year hoping lockdowns were a thing of the past. This killer isn't over and it's this worsening
health picture driving sentiment across global markets.
Today, investors paring stock market risk. The S&P set to pullback from record highs, attaching Europe shares where we could too with growth
sensitive stocks like banks underperforming in particular as you would expect. We've also got some softness across the oil price complex global
bond yields are also lower as well, which I think makes sense. Central Banks have to remain cautious in phase of uncertainty and growth-related
uncertainty, in particular.
The European Central Bank head Christine Lagarde insisting again today that rate hikes are completely off the table in 2022. So not this year, next
year as well.
The Hang Seng is hanging heavy over in Asia after a 10 percent drop in Alibaba's stocks. As we said yesterday, the Chinese internet giant posted
weaker earnings than expected and warned of the effects of slowing Chinese growth.
In the meantime, Japan is still trying to jumpstart its economy. The government rolling out its latest pandemic aid plan. A record $490 billion
worth of stimulus. A sharp contrast to other major economies that of course beginning to pull back on that financial aid.
The bottom line, the COVID crisis hasn't finished with us yet. And that's where we begin today's drivers.
Desperate measures for desperate times perhaps. Austria turning to brand new tools as it grapples with record COVID infections. The country is going
back into full national lockdown. As a fourth virus wave sweeps Europe. But it's also introducing a vaccine mandate. The first EU nation to do.
Jim Bittermann joins us now on this story.
Jim, great to have you with us. They're blaming the fact that not enough people are vaccinated for the current situation, too. Walk us through what
we are seeing and the reaction.
JIM BITTERMANN, CNN SENIOR INTERNATIONAL CORRESPONDENT: Well, this is apparently it, Julia. The amount of vaccinations is a problem apparently
both in Austria and in neighboring Germany. In fact, in Austria, they are locking down again as of Monday for 10 days, and that can be extended for
another 10 days if the numbers don't go the right way. They've already been locked down for the unvaccinated this week. So, it is a really extreme
measure for the Austrians, but even more extreme is this idea that vaccinations would become mandatory. It's the first European country to
make vaccinations mandatory. Here is the Austrian Chancellor Alexander Schallenberg.
(BEGIN VIDEO CLIP)
ALEXANDER SCHALLENBERG, CHANCELLOR OF AUSTRIA (through translator): We have decided now to initiate a nationwide compulsory vaccination very quickly.
This is planned to apply starting February 1st, 2022. Sustainability increasing vaccination rates and I think we all agree on this is our only
way to get out of this vicious circle of virus waves and lockdown discussions once and for all. We don't want a fifth wave. We don't want a
sixth wave.
(END VIDEO CLIP)
BITTERMANN: And Julia, neighboring Germany, in fact, that they are already locking down some of the federal states for the unvaccinated. There is also
word out today that, in fact, Bavaria will close down all of its Christmas markets. Of course, that's a pretty big deal in Germany. And the Germans
are prepared to take further action, if necessary.
All of this begs the question, why. Why Germany and why Austria. Basically, it's because that these two countries along with Switzerland are the top
three countries in Europe in terms of the number of people not vaccinated.
[09:05:00]
Their percentage of vaccinations are, in fact, smaller than every other country in Europe. And as a consequence, at least according to officials
and experts, that's the cause for their sudden spikes in the number of infections. Julia?
CHATTERLEY: And that's why Austria is saying, we're going to implement a vaccine mandate.
What happens if, indeed, they are allowed to lift the lockdown on December 13th at midnight, I believe, for the unvaccinated? What happens if are you
not vaccinated as of December 14th and you are still not vaccinated as of February 1st when that vaccine mandate kicks in, Jim? And how are they
going to enforce it for those still unwilling to get the vaccine shot?
BITTERMANN: Well, it's not very clear exactly what the punishment might be for not being vaccinated. Forced vaccinations, and that sort of thing are
yet being talked about. But in fact, the police will definitely be out to patrol these things as of Monday. They'd be out patrolling to make sure
that the lockdown is respected.
So, in fact, it will be enforced. It's just a question of exactly how and what the punishment might be. Some of the details are just being worked
out. And I think, they just came to this decision today. So, I think the government is still grappling with exactly how they are going to enforce it
and how draconian they can be in enforcing it. Julia?
CHATTERLEY: Yeah. To be determined.
Jim, great to have you with us. Have a good weekend. Thank you. Jim Bittermann there.
The United Nations calling on China to provide proof of Peng Shuai's well- being. The Chinese tennis star has not been seen since she alleged that the country's former vice premier coerced into having sex. Now, the head of the
Women's Tennis Association is threatening to pull its tournaments out of China.
Will Ripley has the latest.
(BEGIN VIDEOTAPE)
WILL RIPLEY, CNN INTERNATIONAL CORRESPONDENT (voice-over): Silenced and disappeared for speaking out. That's what many fears happening to Peng
Shuai. The 35-year-old, one of the top ranked doubles player in the world, accusing China's 75-year-old former vice premier of coercing her into
having sex.
Peng's shocking claim erased within 30 minutes from Chinese social media. That was more than two weeks ago. Peng vanished from public view ever
since. Her Weibo account with more than half a million followers blocked.
The tennis world outraged. Serena Williams tweeting, she is devastated, shocked. Saying, "This must be investigated."
On Wednesday, an e-mail claiming to be from Peng released by a state-owned broadcaster. The e-mail retracts for allegations. Saying, "I'm not missing,
nor am I unsafe. I've just been resting at home and everything is fine."
The man who received the e-mail, the head of the Women's Tennis Association is not convinced.
STEVE SIMON, CHAIRMAN AND CEO, WOMEN'S TENNIS ASSOCIATION: For us to see an e-mail that basically denied what had happened and said it didn't and that
all is great. I'm just struggling to agree to that and don't believe that's the truth at all.
RIPLEY: The WTA is demanding proof Peng is OK. A probe into her allegations and says it is prepared to pull out of China, potentially losing a
lucrative 10-year deal.
SIMON: There is too many times in our world today when we get into issues like this, that we let business, politics, money, dictate what's right and
what's wrong.
RIPLEY: The fury comes just weeks before another high dollar event. The Beijing Winter Olympics. Peng, a three-time Olympian, the IOC staying out
of it.
"Experience shows that quiet diplomacy offers the best opportunity to find a solution."
UNIDENTIFIED FEMALE: The WTA have been quite bold compared to other organizations that have interests in China. They've really come out
swinging.
RIPLEY: China's ministry of foreign affairs, refusing to comment.
ZHAO LIJIAN, SPOKESPERSON, CHINA'S FOREIGN AFFAIRS (through translator): This is not a foreign affairs matter.
RIPLEY: U.S. President Joe Biden is considering a diplomatic boycott at the Beijing Winter games. The Chinese patriarchy has long been accused of
suppressing the rights of women and minorities. Government censors cutting off CNN's coverage of Peng Shuai's disappearance. But China cannot censor
away the outrage and growing demands for answers.
Will Ripley, CNN, Taipei.
(END VIDEOTAPE)
CHATTERLEY: And CNN World Sport's Alex Thomas joins us now.
Alex, this is exactly what you and I talked about yesterday. Will the WTA step up and say look, we'll pull out of this contract if we don't hear
more? Their voice is one thing. Some of the biggest tennis stars in the world now stepping up and saying, we need answers. And to the point that
was made in that little video there, it is a cloud over the upcoming Winter Olympics. We have to be clear.
ALEX THOMAS, CNN WORLD SPORT: It is. And the voices just keep growing stronger and stronger. Serena Williams mentioned on Will Ripley's report.
Andy Murray, another leading tennis player who's famous to sticking up for the women's game. Another to add his voice.
[09:10:00]
But this goes beyond tennis, beyond even sport. Gerard Pique, the men's football world cup winner from 2010 adding his voice. Even the United
Nations getting involved and the Germany Olympic team, which is significant, ahead of those Winter Olympics in Beijing at the start of
February as you say.
And what comes out of all of this is how horribly weak that international Olympic committee response is. Not saying anything for an organization that
bangs on about the purity of its Olympic charter so much, trying to make the world a better place through sports. You don't make the world a better
place by refusing to stand up for a woman's silence by one party state.
CHATTERLEY: Well said. Alex Thomas, thank you so much for joining us.
Farmers victory. Indian Prime Minister Narendra Modi announcing that a raft of controversial laws deregulating agriculture will be quote, "repealed."
This coming after a year of protests about the largest India has ever seen.
Vedika Sud is live in New Delhi with the latest for us. Vedika, great to have you with us too.
Proximity to a 2022 election, perhaps, surely has something to do with this as well. But why were these reforms so controversial? Explain what happened
here and why the government's U-turn now?
VEDIKA SUD, CNN REPORTER: Good to be with you, Julia.
Well, according to political analysts, the Indian Prime Minister Narendra Modi has elections on his mind. Remember next year, two very important
states will be going to elections, that's Punjab and also Uttar Pradesh.
Now, both these states have significant population of farmers and that's why according to analysts, Narendra Modi is reaching out to farmers just
ahead of those elections. Trying to tell them that all right, we're taking a step back. It's very rare, actually when you see the Modi dispensation
withdrawing a reform that they've introduced last September that has been over a year - almost a year that these protesters have been in and around
Delhi protesting against these three controversial agricultural laws, indeed prime minister announced taking back these laws this morning and he
appealed to the farmers to go home. Let's listen in.
(BEGIN VIDEO CLIP)
NARENDRA MODI, INDIAN PRIME MINISTER (through translator): Today, I'm requesting all of our protesting farmers. Today is the holy day of Guru
Parv festival. Please return to your homes, return to your farms, return to your families. Let's start a new beginning.
(END VIDEO CLIP)
SUD: Farmer union leaders have said they're not going home any time soon. They want these three laws, Julia, to be repealed officially in parliament.
They also wanting a legal assurance on MSP, the Minimum Support Price for agriculture products from the government. They want that assurance from the
government at this point.
Just quickly answering the second part of your question, whether or not the Indian government feels that these laws will help liberalize the
agriculture sector, modernize it. But the Indian farmers feel that too much power has been given to corporate sectors. And this could help, in fact,
make these corporates and encourage them to manipulate the prices, which in turn could hurt their income.
These people, men and women, have been out on the roads and highways, Julia, for almost a year. They've braved the cold, the pandemic, the heat.
And now, while they see this as a victory. They just want to wait and watch until these bills are officially repealed in parliament before they go
home. They've made that ample here, Julia.
CHATTERLEY: Yeah, critical. The balance of power at all levels.
Vedika Sud, great to have you with us. Thank you so much for that.
OK. Let me bring up to speed now with some of the other stories making headlines around the world.
A jury in Wisconsin enters its fourth day of deliberation today in the homicide trial of Kyle Rittenhouse. Rittenhouse shot and killed two people
and wounded a third during unrest last year in the city of Kenosha. The defense has asked for a mistrial to be declared because of the
prosecution's line of questioning and low-quality video shown during the trial. The judge has not yet ruled on the motions.
In Western Canada, rescue workers are still searching for dozens of people stranded after heavy rain and flooding. Official say things are slowly
improving as the water begins to recede. But they warn the situation remains critical and even more rain is expected next week.
Japanese baseball star Shohei Ohtani has been named the most viable player in Major League's Baseball American League. The 37-year-old had a dominant
season for the L.A. Angels both as a pitcher and a hitter. Fans in Japan are celebrating Ohtani's success. With the prime minister saying it gave
him pride as a Japanese citizen.
Still to come here on "FIRST MOVE."
The U.S. oil industry criticizes the president's push to investigates prices. We speak to the head of the American Petroleum Institute.
And green is the new black. A sustainable fashion pioneer on cleaning up the industry and beyond.
Stay with us. That's all coming up.
(COMMERCIAL BREAK)
[09:17:22]
CHATTERLEY: Welcome back to "FIRST MOVE."
Global growth concerns weighing on U.S. market sentiment this Friday as European COVID cases soar and Australia goes back - Austria, my apologies -
- goes back into lockdown. But tech still set to rise to fresh records amid optimism that firms can innovate their way out of the supply chain
shortages that are pressuring profits.
Ford and GlobalFoundries announcing a partnership on Thursday intended to boost production of precious chips across the auto industry. Apple
benefiting from auto innovation talk too. A Bloomberg report saying it's pushing ahead with plans to develop a free self-driving car.
Tech analyst Dan Ives, a frequent guest on this show now saying some $5 trillion in spending are up for grabs in the electric vehicle space. He
says Tesla will grab only half of that with plenty of opportunity for the others to benefit, too, $5 trillion.
Oil prices firmly low this morning. But still near seven-year highs after shooting up this fall, which is bad news for the American consumer, the
global consumer.
Let's be clear. The White House working on several fronts to keep a lid on prices. On Thursday, it asked nations including China to tap into their
strategic reserves. The president also pushed for a probe into possible collusion behind high prices at the pump. But the U.S. oil industry dismiss
the efforts as quote, a "distraction."
And joining us now is Mike Sommers, CEO of the American Petroleum Institute, the U.S.'s biggest oil and gas lobby group.
Great to have you with us, Mike, on the show.
A "distraction." A distraction from what? What do you think the U.S. government is doing here?
MIKE SOMMERS, CEO, AMERICAN PETROLEUM INSTITUTE: Julia, great to be with you.
I do think it is a distraction. When you think about the fact that this administration started 11 months ago, talking about what they wanted to do
to put a cut into the American oil industry by shutting down the Keystone XL Pipeline, by shutting off permeating and leasing on federal lands and by
shutting down the Alaska National Wildlife Refuge as a source of oil as well.
This administration from the very beginning has been saying they don't want domestic oil production in the United States. And so, the distraction that
they are putting forward now, this FTC investigation, we think is a distraction from the policies that they, themselves, have put into place.
This is what administrations do when they pursued policies that are cutting back on American energy innovation. And we think that what they really
should be focused on is how we get American production back online, which will benefit American consumers and the world as well.
[09:20:01]
CHATTERLEY: So, you are saying the U.S. government is directly responsible for the high prices that U.S. consumers, in particular, are facing today?
SOMMERS: Well, there are, of course, very many factors here. But certainly, when an administration has put a focus on ensuring that the American oil
and gas industry isn't producing. And doing everything they can to stop production in the United States. That certainly is going to be a factor
weighing on American oil companies desires to continue domestic production.
So, it's something that we are watching and something that we want to continue to engage the administration on. In fact, just this week, there
was a lease sale in Gulf of Mexico, the first lease sale in the Gulf of Mexico. And that lease sale only occurred because a trial judge in the
state of Louisiana said that it had to occur. And the administration instead of encouraging that development in the Gulf of Mexico was
disappointed that they had to pursue this lease sale.
So, when those are the kind of signals given to American producers. You can only image what the response is going to be. Lack of investment and higher
prices for American and world consumers.
CHATTERLEY: You know, it's interesting. I hear from -- particularly from the money management industry is that they're under pressure, so they're
not giving loans and money to the shell industry, banks are obviously very focused on meeting ESG targets. And they're afraid of so-called stranded
assets. So, they're also pulling back on monies to the oil and the gas sector and the energy sector in this.
Quite a lot of alarm coming from them that we are going through a transition. And even if they believe in that transition. And you can debate
that from your position, too. We're doing it too quickly. We're not creating a bridge to utilize oil and gas that we need in terms of energy,
in order to buy us time to invest in a renewable future. And that will mean higher prices in the short term.
Mike, do you agree with that premise that we could see significantly high prices in the short term? And if so, how high? What is the oil and gas
sector telling you, based on how they are not investing?
SOMMERS: Julia, it's a great question and a huge concern because the International Energy Agency actually suggests that we need to be investing
about $500 billion in new investment every single year into the oil and gas sector to maintain what we expect is going to be future growth and need for
oil and gas. And those numbers just aren't measuring up. It's probably about under $300 billion for this last year in terms of the investment that
is going to be needed.
And what that means is that consumer prices are going to continue to go up. We all know that there is an energy transition going on. But we also have
to keep in mind that we need to keep consumer prices low or that transition is only going to slow down. So, we think that the United States should
continue to be the world leader in oil and gas production, because we know based on statistics that this is the place where oil and gas is producing
the most environmentally responsible way.
And so, we think that it is better for the world to be getting oil and gas from the United States. Because we know that the world is going to continue
to demand oil and gas. In fact, that same agency the International Energy Agency suggests that even if every country meets their goals under the
Paris Climate Accord, almost 50 percent of the world's energy is going to still come from oil and gas in 2040.
So, we know that the world is going to consume and need oil and gas. The question is where it's going to come from. And we think it should come from
the United States, which has a stable government. And we produce oil and gas in the most environmentally responsible way.
CHATTERLEY: Evolve and there's lines a key. Mike, there will be people watching this saying, you will say anything and do anything to protect the
interests of the sector. The IMF is saying that $11 million in a minute goes to subsidize oil and gas. You guys are getting enough. And we're in a
period now of transition where even as the American Petroleum Institute, you have to recognize the next 10 years are going to be materially
different from the last 100 years.
Do you accept that? And are you best protecting the interests of your members in terms of that transition by talking to them about investing in
alternative efforts today? Even if we have to protect the interests of utilizing oil and gas at least in the short term.
Mike, are you ready for the next 10 years? Is the industry ready? Because I think as far as consumers are concerned, at least in the short term, eyes
are on a renewable future.
SOMMERS: Well, there is no question, that in the future, American consumers, oil consumer are going to be demanding more renewables. At the
same time, you're going to need oil and gas to back those renewables up. And particularly from the natural gas perspective, you need natural gas to
back up windmills and solar, when the wind isn't blowing, and the sun isn't shining. So, we're going to continue to have to invest in these resources,
even if more renewables come online.
[09:25:00]
There is no industry that is investing more in new renewable technology than the oil and gas industry. And in addition to that, the American
Petroleum Institute has a plan called the Climate Action Framework that addresses what we need to do to meet the needs of a changing climate. And
that includes, by the way, an endorsement of a federal price on carbon in the United States.
So, we're working with lawmakers now to address what that energy future is going to look like. Because we know that consumers are going to be
demanding both oil and gas and more renewables within the power sector. But we also have to keep in mind that world population is expected to go up
significantly by 2050. By almost 2 billion people. And they're going to be demanding more energy, not less. And most of that energy is going to
continue to come from oil and gas. We think it should come from the United States. And that's what we're advancing here with our climate policies.
CHATTERLEY: Mike, and very quickly, to go and circle back to where we began. The idea that the oil and gas industry is in some way colluding to
raise prices, to benefit themselves at this moment is your message to the U.S. president on that? That's rubbish.
SOMMERS: Well, it's an absurd accusation. And every time we have gone through an investigation like this, and by the way, they've done
investigations like this since World War I. It has been proven that this is a supply and demand in balance. Not some kind of imbalance that has
occurred as a consequence of collusion.
So, I think the administration instead of focusing on asking OPEC to produce more oil, instead of doing needless investigations, they should be
working with the oil and gas industry on ways that we can produce more oil in the United States and not be putting a wet blanket on development in
this country.
CHATTERLEY: The issue is all about balancing so far. The delicate balancing act. Mike, it's always great to get your insights. Thank you.
Mike Sommers, CEO of the American Petroleum Institute.
SOMMERS: Thanks, Julia.
CHATTERLEY: We'll speak again soon. Thank you.
The market opens next. Stay with us.
(COMMERCIAL BREAK)
[09:30:07]
CHATTERLEY: Welcome back to "FIRST MOVE."
We are up and running on the final trading day of the week. Blue chips the worst performers with the Dow currently on track for a losing week. But
tech in record territory.
And high drama on the floor. The U.S. House of Representatives as members vote on President Biden's massive Build Back Better stimulus plan. The
price tag to this spending $1.7 trillion. The bill is expected to pass. But then it faces a real tough ride in the Senate. Swing vote Democratic
Senator Joe Manchin still says he's not on board with the price tag.
In the meantime, another volatile session for crypto, and specifically bitcoin. The leading crypto currency bouncing 2 percent in recent trading
after falling close to bear market territory earlier this week. Bitcoin losing ground so much of the week. Some of the reasons given, well, fears
about to China crackdown on bitcoin mining and ongoing crackdown as well as U.S. tax concerns. You can pick.
Speaking of crypto news, check out this one by Crypto.com, one of the largest crypto exchanges. And who else? Matt Damon is the new face of the
company. Crypto.com has just inked to reported $700 million deal to rename the iconic sports arena, the Staples Center in Los Angeles. Perhaps it
actually costs a little less in reality since the company's own coin CRO surged about 30 percent since the agreement was announced.
And joining us now, the CEO of Crypto.com, Kris Marszalek.
Great to have you on the show, Kris.
This is one way to grab people's attention, did you really pay $700 million for the naming rights for this?
KRIS MARSZALEK, CEO, CRYPTO.COM: Thanks for having me.
Well, this is a 20-year commitment, right? So, we took a very long-term view and for the future for this industry. We felt very comfortable of
making it and given how iconic this venue is. And it certainly did put us on the map in the United States which is our largest market today.
CHATTERLEY: So, it does say something about your confidence. One about this industry but also about your business, to your point, this is a 20-year
deal.
MARSZALEK: Yes. You know if we have grown tremendously this year. The company is now 5 years old with - we've got about 3,000 employees globally.
The revenues grew over 20x this year alone. It's a profitable business. So, we feel it's the right moment to kind of level up the exposure of our
brand. You know it's trusted regularly, that secure a platform. And people just love our products. So, we think the moment is right.
CHATTERLEY: Oh, there was a lot in that. Just for my audience who may not be familiar with what Crypto.com is. We'll come back to the financials. And
you are private company of course. So, that is exciting to me. What does Crypto.com offer?
MARSZALEK: Well, this is the best place to buy and sell crypto currency. We also operate world's largest Visa crypto card program where you can spend
crypto at 70 million merchant locations. And we also have products for professional traders including a price exchange. So, it's an entire
ecosystem, really. And our approach is to serve our customers you know from people who are just crypto curious all the way to professional traders.
Only to those (INAUDIBLE). That's it.
CHATTERLEY: I was thinking of coin market just to get a sense of the size. I believe you're the 9th largest exchange by volume coin base the biggest
$2.2 billion worth of revenues in the second quarter. Can you give me any sense of how you compare? Because you just said you are growing at around
20 percent in terms of volume. You are you profitable. Which is a good sign when you're spending this kind of money on advertising. But what else can
you tell me about users, numbers, revenues that you are generating at this stage?
MARSZALEK: All right. So, a year ago, we're at about 2, 3 percent of coin based quarterly revenues. In Q2, we did about a quarter. So, a little over
half a billion in quarterly revenue. So, it's already a sizable business. And we've continued, we have a very strong momentum throughout the year.
So, we expect Q4 to be our record quarter.
CHATTERLEY: Wow! Can you sustain that kind of growth?
MARSZALEK: Well, you know, the market momentum obviously is in our favor. You have seen bitcoin hitting all time high just recently. So, it all
depends on how the market performs, as you know, crypto trading platforms revenues really fluctuate quite a bit.
But we are very bullish on the industry. We see a lot of people coming in. We grew the industry from about 100 users in the beginning of the year to
almost 300 now.
[09:35:00]
We think it's going hit a billion users globally next year. So, it's an incredibly exciting time for the industry. And we think that the fact that
we renamed one of the most iconic venues in the world to Crypto.com Arena, this is the moment where it hits mainstream.
CHATTERLEY: Yeah. It's just about getting the message out there and getting people familiar with the concept of crypto which is why I guess you chose
sports arena because it's something that so many people and watch and see as a part of their daily lives.
You were just saying something that are about not only the growth in what you are seeing, but also if you are trying to get more awareness, I think
regulation is very important, too. And I know you are coming to us. I believe from Hong Kong. Your HQ is in Singapore. Even if you have offices
around the world.
What is it about being in Singapore that allows to you build and do what you have done that perhaps you wouldn't be able to do for example in the
United States or somewhere else?
MARSZALEK: You know, today it's a global business. U.S. is our largest market you know about one-third is coming from Europe and the rest of the
world. I would say Singapore is a pretty good and thoroughly new loss that cover on digital assets. And it's a fantastic location to run and build a
global business from.
But way we operate, we do have local subsidiaries in all the key markets. You know we have license - we have a European e-money license. We have a
license in Australia. We have license in the U.S. And those are huge efforts to basically secure more licenses in every major market.
CHATTERLEY: Very quickly. Because I have about 30 seconds.
MARSZALEK: Yes.
CHATTERLEY: How correlated are your revenues and activity to the price of crypto? So, when bitcoin, for example goes up, does it become a high
activity? When bitcoin goes down, there is a chilling effect. How correlated?
MARSZALEK: It's heavily correlated today. But as we expand to different use case other than trading, payments or even watching gaming, over the long
term, you will see less of this correlation.
CHATTERLEY: Yeah. Diversification key. Kris, great to chat with you. Stay in touch please.
MARSZALEK: Absolutely.
CHATTERLEY: Fun to see you have crypto come there.
MARSZALEK: Thank you so much for having me.
CHATTERLEY: Thank you.
MARSZALEK: Cheers.
CHATTERLEY: All right. Coming up on FIRST MOVE.
How can fashion brands do their bit to protect the planet. Livia Firth, the founder of the Eco-Age joins us with some answers. That's next.
(COMMERCIAL BREAK)
[09:40:10]
(BEGIN VIDEO CLIP)
UNIDENTIFIED FEMALE: I'm so excited to show you all the Coach purses that I bought from Dumpster Diving Mama. As you can see, they're all slashed,
which is Coach's policy. This is what they do with unwanted merchandise.
(END VIDEO CLIP)
CHATTERLEY: Sustainability is more important to consumers, investors and the planet than ever before. But as you can see, fashion brands are still
destroying or even burning unwanted merchandise.
And my next guest Livia Firth is leading the charge for change in the fashion industry. Her company Eco-Age helps businesses reduce their
environmental impact. Something they're in dire need of.
A recent report called the great green washing machine highlighted that fashion brands are failing to look at the social justice side of
sustainability. Their sustainability has become an elitist concept, ignoring the global staff. And that right now, there is not a single brand
that are measuring sustainability correctly.
And Livia Firth, the founder and creative director of Eco-Age joins us now.
Livia, fantastic to have you on the show.
I just want to mention that Coach that was shown there and that clip did apologize afterwards and said they would stop doing this. But from your
experience, how bad is the fashion industry today. And have we learned nothing. I feel like we have been talking about this for years.
LIVIA FIRTH, CEO AND CREATIVE DIRECTOR, ECO-AGE: Thank you, Julia. And so lovely to be here with you today.
We have been talking about it for years. I remember when we started first to address the environmental and social impact of fashion, the Eco-Age, it
was 2010 and then in 2015, there was a factory collapse in Bangladesh in Dhaka killing more than 1,100 people, the majority women.
And that was almost like the first time that the west realized the repercussion of their purchasing habits on vast majority of the population
was producing the fashion brands. When we did the true cost documentary, I remember an economist pointing out that there are you know commodities we
use like the washing machine or the fridge and the commodities we use up like food and toilet paper and fashion used to be the commodities that you
know that we used and have become commodities we use up.
If you think about it with the advent of fast fashion in the last 30 years, you know today's you can buy a T-shirt for the same price that you buy a
sandwich. And how is that possible? So, the the gigantic environmental impact of fashion has been caused by the exploitation of millions of people
and supply chains globally defeat the fast fashion cycle. And unfortunately, the majority of brands today are victims to that and we the
so-called consumers as they call us instead of citizen, are the biggest victims of it. Because we have been addicted and we have been addicted to
buy like we have been addicted to sugar.
CHATTERLEY: Yeah. I mean it's a great example. You call it the take, make and dispose model. And we buy reams and reams of clothes. Dispose of them
because they're cheap and we don't care without thinking about the consequences.
Is one way perhaps to tackle this and I think that report point about we're not even measuring sustainability in its truest form properly. But it's one
way of doing this labeling, like food labeling? How honestly sustainable is this? What are the products? Where did they come from? Is that one way of
tackling this? Or is that short-sighted, too.
FIRTH: Not 100 percent. And if you think about it, labeling exactly what we need. And there is, for example, today a push to make labeling mandatory
for garments and fashion products that EU label. And the EU parliament has been discussing you know ways to do it. But the forces, let's call them
green washing forces, are always very powerful.
And so, currently, for example there is a proposed legislation on PEF, Product Environmental Footprint, that first of all only considers the
environmental impact of it. And then the scientific data that is used for it is completely flawed.
And so, magically since fibers appear to be much more environmentally friendly than natural fiber. And so, you start wondering, well, we need the
label impact. We need to make it done right. And we launched a campaign a month ago in Brussels at the EU parliament called make the label count
precisely for this.
CHATTERLEY: Yeah. This is so important. This is just the start. But it is at least headed in the direction of what we need. You know for someone who
has been - and I know Eco-Age has been around for a decade now. And you have been fighting not just in the fashion industry but more broadly. You
weren't actually at COP26. You said you'd be better served working on your farm and protecting the land in some way that way.
[09:45:05]
Do you think something has fundamentally changed and what's your view on how many of us? What proportion of us actually need to decide to change
things for real wave of change to begin? Are we there yet?
FIRTH: Well, we are getting there. That's the good news and mentioning COP. You know I decided not to go. Because you know this year in August when the
IPC SEAL released their report on climate change, our heart and you know hopes in this is going to be this fear completely signed. Because as the
U.N. Secretary General put it, we are in code red for humanity and you know we're talking about fashion.
So, we started saying, OK. How do you even -- what is the dress code for a code red as my friend Lucy Siegle puts it. So, once you start considering
that, and knowing that you know at COP. I think there were many spice speeches, many people they said beautiful things.
You know I was really taken by the prime minister of Barbados, who you know asked precisely the question that everyone was wondering, which is how many
times do we have to come to this podium to say exactly the same thing? You know, we'll come here, but we don't listen to each other.
But what happened at COP that it was unprecedented, I think is they come in together and the mobilizing of the youth movement and their indigenous
movement. And those voices and the energy at COP was felt incredibly powerful. This is one of the reasons for example talking about youth
mobilizing, that this year we decided to part with the Green Carpet Fashion Awards for one year and "The Renaissance Awards" which is a beautiful
movie, 45 minutes movie which is available on YouTube with showcases and rewards with an NFT award, by the way, which was the first (AUDIO GAP) --
CHATTERLEY: Sustainable NFT award.
FIRTH: Yes. So, each recipient received an NFT. You know we decided to celebrate these young leaders from all over the world that are working on
sustainable solution. Because this sustainable solution exists.
And so, by you know looking at them and hearing the energy and looking at their examples, you know, we know that change is coming. And I read a
fascinating article by George Monbiot in "The Guardian" a couple of days ago. He was quoting a study that, you know, proved that by changing 25
percent of the population, mobilizing 25 percent of the population, you reach a tipping point by which an irreversible shift happens. And you can
only look at things like you know look at the MeToo movements a couple of - you know few years ago how immediately, immediately made you know a certain
kind of behavior completely unacceptable and changed completely the conversation around that.
So, this youth tied is incredibly energizing. And let's remember from a pure business point of few, these are the next consumers. So, if businesses
and governments don't pay attention to this, any business is dead in five years' time.
CHATTERLEY: Yeah. You're going to get left behind. Livia, I know you have a whole lot of action plans as well for coordinating governments, businesses,
consumers as well and we'll get you back on to talk about it because we've run out of time. But phenomenal to get your views today and hear what
you're thinking and doing. Fingers crossed for the younger generation, to change the world. And to your point, we don't need everyone. We just need
some.
Livia Firth, great to have you with us, founder and creative director of Eco-Age. Thank you.
Coming up, here on "FIRST MOVE."
Crypto investors pulled tens of millions of dollars to get a copy of the U.S. Constitution. It didn't quite work out. But it was interesting,
nonetheless. We'll discuss. Stay with us.
(COMMERCIAL BREAK)
[09:51:07]
CHATTERLEY: The aviation sectors biggest players attended the Dubai Air Show this week. And there's some cause for optimism with strong orders
flooding in in today's think big.
CNN's Kim Kelaita talked to some about the road to recovery.
(BEGIN VIDEOTAPE)
KIM KELAITA, CNN REPORTER (voice-over): Big crowds, one of the greenest planes, and one of the largest wide body aircrafts ever produced.
UNIDENTIFIED MALE: It's fabulous. See, the record number of airplanes on display.
KELAITA (on camera): It's no surprise that many are excited about the future of aviation here at the Dubai Air Show from emerging technology and
innovation to the eye-catching Boeing 777X. We're seeing it all here but the buzz word this year is all about sustainability.
(voice-over): Lufthansa, for instance, announced it has repaid its last pandemic loan to the German government. Now a reduction of emissions is
issue number one.
LARS KROEPLIN, HEAD OF CORPORATE RESPONSIBILITY STRATEGY, LUFTHANSA GROUP: We have now 175 aircrafts in order until the end of the decade because new
aircraft are the quickest way of reducing CO2 emissions.
KELAITA: Etihad Airways calls its Boeing 787, The Green Liner. According to their chief executive, it can operate 72 percent more efficiently compared
to two years ago. So, how have they done it? More use of SAF, Sustainable Aviation Fuel and optimizing the flight time for efficient routes with a
more direct dissent in landing.
TONY DOUGLAS, CEO, ETIHAD AIRWAYS: I would offer the view that in 10 years' time, in an air show like this, it will demonstrate who has been the
winners and the losers. The winners will be the ones who have done the most on commercial aviation sustainability.
KELAITA: The 777X is Boeing's new jumbo plane.
SAM CHUI, AVIATION AND TRAVEL ENTHUSIAST: It's the biggest twin engine, large, wide body airplane Boeing has produced. This is the first major air
show this airplane has attended.
KELAITA: The 777X is late to the show. The first few flights happened only months before the industry was hit by the pandemic. And the demand for big
body planes dropped. In fact, these days, bigger is not necessarily better. The profitable trend now is smaller, fuel-efficient planes.
CHUI: After the pandemic, lots of airplane could not fly due to lack of demand.
KELAITA: The Airbus A321 new engine option variant is a single aisle aircraft. Its increased range means it can do longer flights with fewer
passengers at cheaper costs. The popularity of this change is evident. The owners of Frontier and Wizz Airlines bought hundreds of these planes.
CHUI: So, seeing a 250-plane order is a boost to the confidence to the industry.
KELAITA: The industry has solved its first problem by getting back in the air. Now it's concentrating on solving its second problem by staying
profitable and at the same time protecting the planet.
Kim Kelaita, CNN, Dubai.
(END VIDEOTAPE)
CHATTERLEY: This just in, you are looking at live picture of the U.S. House floor, where President Biden's Build Back Better stimulus plan has just
passed. The $1.7 trillion proposal for a wide range of social spending programs now goes onto the Senate, where, of course, it's future remains
uncertain.
And finally, on "FIRST MOVE, we're celebrating a very special milestone at CNN. 20 years ago, today, Mary J. Blige was at the top of the music charts
with "Family Affair." "Harry Potter and the Sorcerer Stone" was riding high at the U.S. Box Office. Wow! Was that 20 years ago.
And here at CNN, we are witnessing a real-life bit of wizardry. Because on this day, November 19th, 2001, our very own Paul La Monica joined the CNN
Business team. He made it to our sorting hat.
[09:55:00]
And we're happy to say he's been with us ever since.
Happy Birthday, Paul. I won't sing because it's sunny outside and I might make it rain. 20 years.
PAUL LA MONICA, CNN DIGITAL CORRESPONDENT: Thank you. I think I'm more a Hufflepuff than Slytherin.
CHATTERLEY: It's CNN though. Don't answer that. Don't answer that.
Does it - how does it -- does it feel like 20 years? Does it feel like 40?
LA MONICA: Somewhere between 20. Let's just say, yes, we'll split the difference.
CHATTERLEY: Well, we are very lucky to have you. I hope you are doing something nice to celebrate.
LA MONICA: Thank you.
CHATTERLEY: And thank you for everything you do. And I was going to talk to you about crypto and the Constitution, but as always, breaking news, things
change. We just want to say thank you for all you do and thank you for being at CNN 20 years. And cheers to the next 20.
LA MONICA: Thank you very much. One day, there will be an NFT for the Build Back Better and we will have crypto investors bidding you know $50 million
on that.
CHATTERLEY: Something tells me, probably not.
(LAUGHTER)
Thank you, Paul. Great to have you with us.
That's it for the show. Stay safe. "Connect the World with Becky Anderson" is next. And we'll see you on Monday.
(COMMERCIAL BREAK)
[10:00:00]
END
