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Quest Means Business
Journalists Convicted in Egypt; Interview with CEO of United Airlines; Interview with CEO of Star Alliance; Interview with CEO of Heathrow Airport
Aired June 23, 2014 - 16:00 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
RICHARD QUEST, CNN INTERNATIONAL ANCHOR: Today was not the day for 17,000 on the Dow. The market closes down some 10/12 points when all of a
sudden then hit the hammer! Bring the trading day to a close. It's Monday, it's June the 23rd.
Tonight, from the Queen's Terminal at Heathrow, the chief execs of United Airlines, Star Alliance and the very airport itself on Heathrow's
new building and the future for the airport. Also, draconian and chilling, journalists are convicted in Egypt. We have the global reaction, and what
it takes to be fit for finance in New York - you'll be surprised. Tonight, live from the new T2, I'm Richard Quest. Well, of course I mean business.
Good evening and a warm welcome to London's Heathrow Airport. It is Terminal 2. Do not be fooled - it may be empty, it may be very quiet, but
over the course of the program, we'll be explaining why that is part of the secret of success of Heathrow's new terminal. And even today, earlier on
in the day, a rare opportunity - Her Majesty the Queen officially opened Terminal 2, one of the world's busiest airports, and we're live throughout
the hour from this airport which is not only home to United Airlines but of the Star Alliance carriers. Over the next six months it moves into full
swing. You'll see all of that in the course of the program.
We start, though with the serious news that there's been international backlash - a widespread global reaction to the conviction and sentencing of
several journalists in Egypt. Peter Greste, Mohammed Fahmy, and Baher Mohammed all work for the Al-Jazeera Television Network. They were
convicted of aiding the Muslim Brotherhood - spreading false news and endangering national security. All three denied the charges. The U.S.
Secretary of State John Kerry says the verdicts were chilling, draconian and a threat to Egypt's transition. And he's calling on Egypt's new
president to act.
(BEGIN VIDEOCLIP)
JOHN KERRY, SECRETARY OF STATE, UNITED STATES: Today's verdict flies in the face of the essential ingredients of a civil society and free press
and rule of law. And the president, President el-Sisi, and I discussed this yesterday. We discussed these very cases, and I think it is going to
be critical in terms of the objectives in his presidency for him to move quickly to try to address the international concerns that exist with
respect to this kind of a decision.
(END VIDEOCLIP)
QUEST: The managing (ph) of Al-Jazeera's English service says that the convictions and the sentences defied logic, sense and any semblance of
justice.
(BEGIN VIDEOCLIP)
Male: We will explore every avenue - both legal, from the campaigning and from the lobbying. The support is already there, the worldwide support
and solidarity that will get louder. And we will leave no stone unturned. We need to ensure that justice does prevail in Egypt and that our
journalists are freed as soon as possible.
(END VIDEOCLIP)
QUEST: Now there was also condemnation from the U.N. Human Rights Commissioner Navi Pillay. Ms. Pillay said, "Crushing media reporting will
only hinder Egypt's efforts to come through this period of social and political turmoil. A short time ago, the Ministry of Foreign Affairs in
Cairo - this is the official Egyptian reaction to the condemnation. It said it rejects foreign criticism of its judicial system and considers it
to be an intrusion and an interference into Egypt's internal affairs. Needless to say, this network too has official condemned the decision in
Egypt and CNN also is calling for the immediate release of the journalists involved.
Christophe Deloire is the secretary general of Reporters without Borders, the organization which campaigns for press freedom. Christopher
joins me now live from Paris where I hope, sir you can hear me. Let us - let us take this slowly. The parties the -- have -- now been convicted and
sentenced. So really the only hope now is a pardon from Egypt's president - correct?
CHRISTOPHE DELOIRE, SECRETARY GENERAL, REPORTER WITHOUT BORDERS: Yes, but we are not sure that it will happen one day. There's been such huge
external pressure from the State Department. You told that Kerry was yesterday there. And -- but -- from other foreign ministers, all over the
earth from indios (ph) that campaigned with - that campaign with - motto - with that expression - `journalism is not a crime.' But it seems in Egypt
now, today, it's been really a black Monday for Egypt for press for them. Journalism seems to be a crime in that country.
QUEST: Right.
DELOIRE: It's not only a politically-oriented trial that took place in Egypt, it's a politically-orchestrated trial.
QUEST: If all these leaders calling for this prosecution to be halted, and the men to be released have had no effect, are you at all
optimistic for the next stage, for an appeal, for a presidential pardon? Do you have optimism?
DELOIRE: Well we cannot be optimistic. Who would have said before that they would be sentenced to seven or to ten years jail? Really for
sure we didn't believe it could happen. We were protesting from - for - 160 days against arbitrary detentions. And now, there are so many
journalists sentenced to jail - many of them were - are - in prison. Other ones are in foreign countries, but they've been sentenced and it's like an
intimidation -
QUEST: Right.
DELOIRE: -- it's like a threat against all the journalists who would like to give another take -
QUEST: Right.
DELOIRE: -- on the reality in Egypt.
QUEST: So, in this situation, where the sentences have now been handed down, what do you want your government in France to do? The
European Union? The United States? What can these governments individually and collectively do?
DELOIRE: I think we have to say to all those governments the reality of the Egyptian regime. This - everyday, it's step by step. The Egyptian
regime, they give evidences of its - it gives evidences of its increasing totalitarian nature. We have to say that to exercise more pressure so that
our governments everywhere on the earth - they don't only protest with words, but that they take measures so that that government cannot be
considered as a normal one - as a democratic one . The organized elections -
QUEST: Right.
DELOIRE: -- a few weeks ago in May. They organized a vote on the new constitution in January and they do not even abide by their own
constitution. Press for them, independent media - it's written in the constitution and they do not respect it.
QUEST: Right. Christophe Deloire, thank you for joining us from Paris this evening. Sorry, we obviously will follow with great attention
and care. The situation facing Egypt in many ways is dire, including the economy which now of course the new president as he has to deal with. The
IMF forecast for the economy will barely grow just a couple of percent after several years of recession.
You need not know further than one of the mainstays of the Egyptian economy - tourism and the national airline. Here at Heathrow was the
chairman and chief exec of EgyptAir, which is a Star Alliance carrier. And EgyptAir will be moving into this very terminal in just a few weeks from
now. I asked the head of EgyptAir when he looks at the economy in Egypt, has he had assurances from the president?
(BEGIN VIDEOCLIP)
SAMEH EL HEFNY, CHAIRMAN & CEO, EGYPTAIR HOLDING COMPANY: Egypt now has started recovering from the - some of the - effects of - effects of
(inaudible) in the travel industry. I think after the stabilization and the presidential election, we are regaining back the travel markets who'll
do our best for tourism business.
QUEST: But it - it's not there yet, because there's still quite a lot of disruption even post-presidential election.
EL HEFNY: Well, usually it takes some time for the stability toward the economics to start growth from the touristic and the tourism to start
come back to Egypt, we expect within the next six months everything will be back to normal.
QUEST: Have you had a chance to talk to the new president? I know President el-Sisi has lots on his agenda, but how committed is he to an
independent EgyptAir?
EL HEFNY: He's very committed to an independent EgyptAir, and EgyptAir is government-owned company and it has been managed by it
successfully for the first year. That's why EgyptAir have been successfully past the foreign half (ph) prices (inaudible).
QUEST: So let me rephrase that. How committed is the new president to a successful EgyptAir? I mean, is he going to give you the investment,
is he going to give you the time, is he going to let you get on with the job?
EL HEFNY: What I can assure you that aviation and tourism there in Egypt we are partners. So if we are looking to increase tourists, we need
to invest in aviation and I know that he's really committed to do so.
QUEST: And in terms of your strategy - because do you still follow the over-the-Cairo hub strategy for fifth freedom beyond - for sixth
freedom traffic?
EL HEFNY: We are still following this strategy, the EgyptAir strategy has been set. We start on the implementation period not only for the Cairo
hub but also for the fleet development. We have a very good fleet plan to reach by 2025, 157 aircrafts that we can compete in the market.
QUEST: And will you be expanding or contracting? I know certain key routes are going to contract. But - Kuala Lumpur and some key tubes (ph)
are going to be shifted around. But will you be expanding or contracting the air? (ph)
EL HEFNY: We are adapting a sort of strategy between reducing some frequency in some areas, but surely we are going to expand in other areas
where they expect high-yield routes. So we are just customizing and we are just making a sort of slimming the strategy on the - we call it -- with the
goal of expansion.
(END VIDEOCLIP)
QUEST: The chief executive, the chairman of EgyptAir. Now, U.S. stocks - they finished the day. Well, everybody's waiting for 17,000 on
the Dow Jones Industrials. You'll have to wait a little bit longer. The Dow closed down just a handful of points. Positive manufacturing report in
the U.S. It was offset by disappointing data from Europe. Micro shares up after Oracle agreed to buy the software company -- $5 billion was that
price. Oracle in the market in a segment that rose in sympathy or in celebration.
American Alpalo (ph) slid. Well, you'll be aware of course the chief exec was fired. He's now threatening all sorts of nasties against the
company, including suing the company, and not surprisingly the stock slid as a result. The run up in oil prices has sent airline stocks lower. Air
France ended down more than 2 percent on Monday, Lufthansa was down 1/2 a percent, IAG owners of Iberia NPA (ph) and United Continental were down
more than 1 percent.
So, here we are at London's new Terminal 2, a large, empty building. You might well say how can this building with just the last of the day
heading home - how can you regard this as being a success? Well, when we come back, I'll tell you a big, empty terminal is good news if you dread
opening an airport. Good evening. Welcome.
(COMMERCIAL BREAK)
QUEST: (TYPING). No, I'm sorry, that'll cost you a serious amount of money in excess baggage. Hello, and welcome back to - welcome back to
"Quest Means Business" where we are live at London's Heathrow Airport. I've always wanted to know what does happen behind theses desks where your
upgrade is confirmed or your baggage is sent somewhere else. It's a historic day at Heathrow Airport in London. Her Majesty the Queen formally
opened the new Terminal 2, which started operations earlier this month. Now, Heathrow has named the new terminal the Queen's Terminal in honor of
Her Majesty's long association with the airport. Here are some of the highlights.
This is the Queen at Heathrow nearly six decades ago. The year is 1955. She was here to open the original Terminal 2 building - the Queen's
building. It was Heathrow's first passenger terminal, it was designed to handle one million passengers a year. More recently, the Queen performed a
similar duty in 2008 when she declared Terminal 5 officially open.
United Airlines, the U.S. carrier, was the first airline to move into this terminal which will be the mainstay for Star Alliance. It began
operating here earlier in the month. Like all airlines, United is vulnerable to oil shock and price rises. I asked the chief executive Jeff
Smisek how worried he was now oil prices are rising quite sharply.
(BEGIN VIDEOCLIP)
JEFF SMISEK, CEO, UNITED AIRLINES: Well of course everyone feels the effect, and all airlines will feel the effect. The difference for U.S.
carriers is consolidation has made it so much stronger that people are not worried about solvency or worried about survivability. This is a matter of
compression margins versus worrying about whether - their existence. And that's how consolidation's actually been good for the U.S. industry.
QUEST: It's a different landscape than the one that you and I spoke about a few years ago.
SMISEK: It's a very different -
QUEST: Completely different.
SMISEK: -- it's a very different landscape. It's a landscape where we've become a business as opposed to being an airline, and that's a big
distinction. We - we - we can take this sort of shock. And not only can we survive it, but we can be profitable.
QUEST: So, that's the, if you like, the immediate. But if we take the route where you are - you're here at the moment, you just opened where
you will be the anchor airline since it's the first one in to Terminal 2. What does this do for United?
SMISEK: Well, it's great for us because not only is it a spectacular facility as you know, but with 22 star carriers moving together, we have a
lot of connecting opportunity with our star partners as well as Aer Lingus who we also partner with. It still provides speed for us, for our Heathrow
flights going back to the United States and we have 17 flights here a day from the U.S. and as well as connecting opportunities from the U.S. through
Heathrow and beyond.
QUEST: How important is London? Have I asked you this before? On every airline I see they'll say yes, it's a very important market, it's a
hugely significant market. But I'm never sure whether or not actually they mean it.
SMISEK: Oh, it's an important business market. It's not the be-all and end-all of markets, it's nothing something without which you can't
survive. But it's an important market. My former employer, Continental, fought very hard to get into Heathrow because customers prefer Heathrow to
Gatwick. So it's very important to us and we're - you know - we're a large operator in Heathrow. It's an important market, but there are many
important markets around the world, but London is a very, very important business market with high yields and that's why so many people pay
attention to it.
QUEST: You talk about high yield. As you mentioned them, I was looking at them. Premium cabins are more expensive from London to New York
than just about any other destination in Europe, if not any other destination.
SMISEK: Yes.
QUEST: School me.
SMISEK: Well, we price in accordance with demand. If there's high demand then there'll be higher prices, lower demand, lower prices. That's
the way the market works.
QUEST: I suppose you can't buck markets.
SMISEK: Can't buck the market, no.
(END VIDEOCLIP)
QUEST: `You can't buck the market' - Margaret Thatcher famously said that many years ago. That unless of course you're wanting to pay some
extraordinarily high prices for crosses the Atlantic. This is the picture of air travel over Europe right at this moment. Look at the sheer number
of aircraft that are in the skies, especially over France. That picture could look very different in just a few hours from now. As air traffic
controllers in France begin a prolonged strike. They are striking over European proposals for a Single European Skies. The idea is to harmonize
European's air space to make it more efficient. It supposedly will cut delays and cut costs. However, instead of having a patchwork, there'll be
a single European monitor. The air traffic controllers say this is unsafe and are going on strike in protest. Delays are to be expected.
Jim Bittermann spoke to one of the union representatives in France and asked him fundamentally, European Skies are one thing, safety is another.
What does the union really want?
(BEGIN VIDEOCLIP)
LAURENT BERTIN, ALTERNATE SECRETARY GENERAL, UNSA, ICNA: We're facing mainly the cross prediction will of the European Commission, and what we
are asking for is an increase of the unit rates for the next five years. I mean, the unit rate is what the users so many of the airlines are paying
for the use of the airspace. And we (inaudible) the preventance on the rates which are going to be set for the next five years.
JIM BITTERMANN, CNN's SENIOR EUROPEAN CORRESPONDENT BASED IN PARIS: You don't feel the equipment is modern enough that they're using?
BERTIN: No. They aren't. We've got equipment we are 30 years - 30 or 50 years - 30 years old, correct.
BITTERMANN: Yes.
BERTIN: And we are facing a lot of pay loss (ph) now, extreme pay loss (ph), avoiding collision system pay loss (ph), so, no, we've gone too
far from customer condition (ph).
BITTERMANN: But when you compare the equipment you have and the kind of working conditions you have to, say, Germany or England or other
countries - how do they compare?
BERTIN: Most four neighbors are just ready for a traffic increase now, but - for example - we are still working with strips - so paper strips
for to control aircrafts. And compared to our neighbors who are using computers which is now the normal systems - normal systems.
BITTERMANN: One thing that's happened is that the big union for air traffic controllers has settled with the governor or it's decided it's not
going to go on strike. Why are you continuing your work (CROSS TALK).
BERTIN: It's not my role to - to compare what the first union has decided, you know, but what we figure - we don't have any figures. So, we
need more, we need more money, we need more money for safety.
BITTERMANN: So you're not, this is not a salary here, you're saying?
BERTIN: No, not at all. We think that now safety is in danger in French airspace due to the lack of modernization of our systems.
BITTERMANN: Well why won't the other union - the big union - go on strike with you?
BERTIN: They share the analysis, they're saying the same. But they think what they got from the government was - is only talks, you know.
They only got - they only got talks. You know, it's not enough. We want figures, we want something strong and we don't have it for the moment.
(END VIDEOCLIP)
QUEST: That's the French air traffic control union representative talking to Jim Bittermann. The strike starts in a few hours, and as
always, I shall give you the most unhelpful sentence of all - delays are expected and you should check with your airline before you fly.
When we come back after the break, Terminal 2 at Heathrow is to be the home for Star Alliance. It's the first of its kind. Destinations from
Washington, Bogota, Lisbon. Star Alliance has left no stone unturned to try and remind you just what's available here. In a moment, the CEO.
(COMMERCIAL BREAK)
QUEST: Welcome back to Heathrow Terminal 2, a large, empty, quiet airport. But do not be fooled. There's a definite strategy to this,
because this airport will be the home for Star Alliance and the various Star Alliance carriers. So far in here, United, Canada, ANA and Air China
have moved in. And over the next few months, many more will arrive, including Lufthansa, SWISS and so on. In total, there'll be 23 of the 26
Star Alliance carriers right in here. So, tonight @richard quest, quiz quick question - which three Star carriers are not at Heathrow?
@richardquest, which three Star carriers do not use London Heathrow?
And while you're thinking about that, listen to the Star Chief Executive Mark Schwab who told me why the geography of this airport is an
airport for the future.
(BEGIN VIDEOCLIP)
MARK SCHWAB, CEO STAR ALLIANCE: Heathrow Airport is the airport in the world where the largest number of Star carriers operate from. There's
no other airport in the world that has 23 Star Alliance carriers. So, this is the big place. In addition to improving connectivity between the Star
carriers, we have a whole new customer experience as you -
QUEST: Right.
SCHWAB: -- are going to observe. Wonderful new terminal building designed purposely for Star and for Star customers.
QUEST: So let's talk about this - what is different? I mean, today's airport terminals - they're big, they're airy, they tend to follow a
format. Why'd you like this?
SCHWAB: Well, look, actually this part looks pretty common, pretty normal to you.
QUEST: Absolutely.
SCHWAB: I mean, this is your traditional airport layout.
QUEST: You've got to have this. If you don't have this, you'll never get your passengers to the plane.
SCHWAB: We have to have this part of it. But here's the big difference - as we work to the front of the building, what you're going to
see is a two-step process for customers to basically take complete control of their airport check-in experience. You've checked in online, you do it
on your telephone, some people do it on their home computer. If you missed most of those opportunities, you'll come to a kiosk here, print your
boarding pass and your bag tag, and you come here to what we call a fast bag drop.
QUEST: Right.
SCHWAB: Drop your bag off and out through security and immigrations. So, the experience is giving you more control over getting through the
airport as fast as possible. There are some customers who need more help, want more help. They will come to the traditional check-in counters. But
at least 70 percent of our customers are going to clear the process within minutes. I mean, very short minutes. Self-check-in, bag drop,
immigrations.
QUEST: The role of Star in a place like Heathrow, in a place like T2 is really interesting because of the role of the alliances as relates to
the airlines themselves.
SCHWAB: That's right.
QUEST: Today as they're doing more and more joint ventures, they're looking amongst each other. But the alliances are still relevant.
SCHWAB: Absolutely. So what we're doing here is we're working collectively to improve the overall experience for all of our member
carriers. We work as a unit with the airport, the airport company - ownership company here to make sure that all of this happens on time within
budget.
QUEST: But the relevance of the alliance today, when you've got so many cross-airline alliances outside the family.
SCHWAB: But Richard, the proposition of Star Alliance is global access, right. Twelve hundred and 50 some cities around the world, a
thousand lounges around the world. All of those other ventures are not the customer-facing operations that we are at Star Alliance. So, Star Alliance
is of course absolutely relevant and continues to be relevant. So, here we are in one of the more important business markets of the world, putting the
carriers together to give a whole new experience for customers.
QUEST: Now, tell me.
SCHWAB: Yes.
QUEST: Who's your next member and when?
SCHWAB: (LAUGHTER). Yes, you have deep fingers into the industry, you know that we're working very hard on having Air India join Star
Alliance and shortly we will announce when they join. Thank you, sir.
(END VIDEOCLIP)
QUEST: And it would not surprise me if Star Alliance announced Air India's date for joining - it could perhaps come - who knows? Maybe as
early as - who knows - the middle of next month. When we come back after the break, we turn our attention very seriously to Iraq and we talk about
the situation in Baghdad. We talk about the United States which is promising to aid the Iraqi government but only if certain conditions are
met. In a moment, "Quest Means Business." Good evening to you.
(COMMERCIAL BREAK)
QUEST: Hello, I'm Richard Quest at Heathrow Airport. There's more "Quest Means Business" in just a moment. This is CNN and on this network,
the news always comes first. U.S. Secretary of State John Kerry says Iraqi leaders have promised to begin forming a new government by July the 1st.
He met with the prime minister Nouri al- Maliki and other officials today in Baghdad. Mr. Kerry urged them to come together to defeat a Sunni
insurgency, calling it a `critical moment for the nation.'
There's an international backlash after an Egyptian court sentenced three journalists to long prison terms. Peter Greste, Mohammed Fahmy, and
Baher Mohammed all work for the Al-Jazeera Network. They were convicted of aiding the Muslim Brotherhood - spreading false news and endangering
national security. The men have denied the charges and say -- the supporters say - they're being punished for simply doing their jobs .
A Sudanese woman who had been sentenced to death for abandoning her faith has been freed from jail. Meriam Yehya Ibrahim was convicted of
apostasy, a charge she's denied. Her sentence was 100 lashes and death by hanging. Ibrahim refused to renounce Christianity, but she couldn't be
guilty of apostasy because she was never a Muslim. Some in her family say that since her father was Muslim, she should be considered Muslim too.
Last year's Wimbledon's men champion Andy Murray has cruised into the second round of the tournament on the opening day. Murray beat Belgium's
David Goffin in straight sets. And the top seed Novak Djokovic also hit the ground running at the All England Club. He moved forward into the next
round with a straight set at victory.
The United States has pledged to support the Iraqi government even as ISIS forces move ever closer towards Baghdad. Speaking in the Iraqi
capital, U.S. Secretary of State John Kerry said the future of Iraq hinges on decisions that will be made in the coming days. Iraq's prime minister
Nouri al-Maliki has agreed to form a new government by July the 1st. The United States says that's a necessary step before it will render
assistance.
(BEGIN VIDEOCLIP)
KERRY: The support will be intense, sustained and if Iraq's leaders take the necessary steps to bring the country together, it will be
effective. It will allow Iraqi security forces to confront ISIL more effectively and in a way that respect Iraq's sovereignty while also
respecting America's and the region's vital interests.
(END VIDEOCLIP)
QUEST: Now, so far the violence and the prospect of it getting worse hasn't actually disrupted the oil supply. But it has pushed prices higher.
They've risen this month to their highest level in nine months, drifting back about half a percent today. CNN's Emerging Markets Editor John
Defterios now looks at the very worrying situation as it relates to the rising price of oil and the problems of Iraq.
(BEGIN VIDEOCLIP)
JOHN DEFTERIOS, CNN'S EMERGING MARKETS EDITOR AND ANCHOR OF "GLOBAL EXCHANGE" SHOW: A 10 percent gain in a two-week period for global oil
prices is approaching what is seen as the economic danger zone. A price fight could undermine growth from the U.S. to China by pushing the cost of
transportation and production higher. To move to hover around a nine-month high is directly linked to Sunni insurgents, capturing more cities and
towns on the march for control these days.
There are a couple of big unknowns right now for the energy market. What happens to Iraq's largest refinery at Baiji that has the capacity of
300,000 barrels a day? The other key hub in danger is at Kirkuk in the north which remains under Kurdish control but it is unclear for how long.
At this stage, the major oil and natural gas centers in the Kurdish north and especially the Shiite-dominated south, have been unaffected in terms of
production. Exxon Mobil, Shell, BP and Lukoil) of Russia are the predominant names in the south with heavy security around their facilities.
Oil executives tell me they have evacuation plans in place but do not see an immediate need to use them. The reality is if a half million barrels or
more come off the market from Iraq, then Saudi Arabia and others here in the Gulf have the capacity to fill that void. But after hitting a 35-year
high in terms of output back in February, Iraq now has the market on edge. John Defterios, CNN Abu Dhabi.
(END VIDEOCLIP)
QUEST: Quick look at the European markets. PMI numbers in Europe were out. That had an effect on the way trading took place. The number
was particularly bad in France which was promptly reflected in what happened during the day. When we come back, Wall Street types are known
for being aggressive. They succeed at all costs, from the trading floor to the boardroom. How the combative spirit is now turning to raising dollars
for charity. It's "Quest Means Business." (Inaudible)
(COMMERCIAL BREAK)
QUEST: Welcome back to "Quest Means Business" tonight from Heathrow Airport. So the World Cup is underway, Wimbledon has just begun and those
are two world-class competitive events. But if you really want to see people competing the beejeebies, then look no further than the Wall Street
Decathlon. All these Wall Street traders in a highly-competitive sport environment. It is brutal as Maggie Lake found out.
(BEGIN VIDEOCLIP)
VITO SPERDUTO, HEAD OF U.S. M&A, RBC CAPITAL MARKETS: You want to win, you want to beat the competition, you want to have a pretty
substantial margin of victory.
MARK RUBIN, FUTURES SALES TRADING, BARCLAYS: You want to kind of always benchmark yourself against top-tier people.
MAGGIE LAKE, BUSINESS ANCHOR AND CORRESPONDENT FOR CNN INTERNATIONAL: When you say you want to benchmark yourself, you just want to win.
RUBIN: Everybody wants to win, sure.
SPERDUTO: You got a lot of type-A personalities who work really had at the job they're doing. And when they're doing some other endeavor, it's
not done in a partial fashion. So, makes it pretty exciting.
LAKE: What about your training regime -- how hard is it to balance the demands of work and being fit enough and ready enough to compete?
Because you don't want to embarrass yourself.
SPERDUTO: No, no, no, you definitely when you get out there, want to compete well and to show well.
RUBIN: Obviously we've kind of had the bearish outlook on most of the calendar, so. You're always competing. I think people in finance and in
sports have that balance where they enjoy the competition, they want to compete against the best, against the highest level. You drive yourself,
you know, you work out and you're just looking for self-improvement.
There's running, jumping, lifting - so it's tough.
Female: You got it beat out, you got it, you got it!
LAKE: What's the event that you hate the most?
SPERDUTO: I am not the fastest or I can't really jump the highest. You know, I mainly focus on the fundraising and my (inaudible).
Male Announcer: And we're just a tick under $60,000. Our top individual fundraiser in 2014 from RBC Capital Markets, please welcome Vito
Sperduto.
(CHEERS/APPLAUSE)
RUBIN: They actually earmark it to very specific clinical trials for pediatric cancer. And so you have like direct result of here's what we did
with the money you gave us.
Male Announcer: And 2014's Wall Street's best male athlete here at the 2014 RBC Decathlon - from Barclays Mark Rubin.
(CHEERS/APPLAUSE)
RUBIN: It's definitely a good feeling, but at the same time, that's not what this event is about, it's not what the fundraising team is all
about.
(END VIDEOCLIP)
QUEST: And they raised $1.4 million for Sloan Kettering Memorial Cancer hospital in New York. A World Cup update for you. There were
matches that were played earlier today. Spain beat Australia 3-nil. Both teams have failed to advance to the next stage, so I suspect it was just
bragging rights involved. Also in group B, the Netherlands had a 2-nil win over Chile. The Dutch finished top of the group, and Chile also goes
through to the knockout round, both through to the next round.
Two games are nearing halftime. The match between Mexico and Croatia stands tied at no goals, and host Brazil are up over Cameroon 1 goal to
nil.
A rare event -- an entire airport terminal. For a `frequ' to myself - this is a frequent traveler's desire - no messy families, no people
cluttering things up, no people with luggage. Of course there'll be no planes `til tomorrow, but nonetheless, it's a terminal all to me self. Now
to the weather forecast, and the international view and what's happening in the next 24 hours.
TOM SATER, METEOROLOGIST FOR CNN INTERNATIONAL: Thank you, Richard, I guess that means there's going to be no delays there where you currently
are. At least not tonight. All right, let's take a look at what we're watching. In fact, we're going to talk about travelers - for you business
travelers and all of you alike. The only problems in Europe, if we see any, will be in parts of Italy. I think we've had some good storms that
have been making their way on the northern coast of Spain. We'll show you the satellite picture for you in a moment.
Had a good rain in London. In fact, delaying not only play for seven matches, suspended until tomorrow. But no excessive heat waves to be found
anywhere. Here's some of the thunderstorm activity. You'll see them firing up right along the border in toward area of south central France.
We watched a little disturbance kind of slide down from the Midlands in East Anglia, and you're going to see it - there it is. Just enough to
suspend the play for those seven matches as expected. But now that they're losing, the daylight period they decided well they'll all just continue
play tomorrow.
But no well-organized severe weather until we find tomorrow morning in the heat of the day, this is our area of concern where possibly large hail
and strong thunderstorm winds could cause some damage and possible delays as far as travel, and that's why Milan was on the map as well. But high
temperatures - in most cases they're going to be near average. Average high in London is about 20 degrees. It jumps to 22 in July. In the U.S.,
it's the Midwest. It's areas that slide eastward toward Pittsburgh where thunderstorms had been moving from areas of the central Rockies. You can
see them into the Plain states and now their firing up - now it's the heat of the day, but, again, we haven't seen anything in the way of the severe
thunderstorm watches or tornado watches which is good news.
But we've had our fair share of reports of wind damage, of heavy rainfall and these are the reports that we've had in the last 24 hours.
Now, that threat is moving eastward, so your delays are going to be such as Indianapolis or Saint Louis. And your high temperatures look like this - a
little warm in Washington, D.C., 32. Thirty-six will do it tomorrow in New York City. Rain in Tokyo could give you a few delays. Shanghai down to
Hong Kong as well where excessive rainfall will really start to organize itself, maybe from Tipei to the south of Shanghai. Richard, back to you.
QUEST: Thank you very much. Back to Heathrow Airport -- $4 billion buys you quite a lot of building - this much building. But what's next on
the agenda? Remember the old line `you done this, so what next?' Heathrow's chief exec after the break.
(COMMERCIAL BREAK)
QUEST: So, Terminal 2 at Heathrow was opened by Her Majesty the Queen. The airlines that currently use it are United, Air Canada, ANA and
Air China. There'll be more arriving including Lufthansa, Adria, all the Star Alliance airliners in the weeks ahead. The chief executive of
Heathrow Airport told me why $4 billion spent here was so crucial.
JOHN HOLLAND-KAYE, CEO, HEATHROW AIRPORT: Every airport opening that has happened around the world for the last 5/10 years, has had major
challenges. Hong Kong we thing got today as being one of the world's best airports - massive problems on opening. Denver, the same. Berlin hasn't
even opened yet. Enormous challenges. And one of the ways to overcome that is to make sure you open in a phase way so that you can learn the
lessons as you go along, you don't interrupt and disturb passengers' journeys which is the most important thing. And that's what we've done
here.
QUEST: So you've got it up and running, what's next at Heathrow?
HOLLAND-KAYE: Well, today we've got about 25 percent of this terminal occupied. By October it'll be 100 percent occupied. The next phase is
that we will close Terminal 1 which is the next of our oldest terminals. It's just next door to this Terminal 2, and they will demolish it, we'll
expand this building so it'll be twice the size. It'll actually be bigger than Terminal 5 at that point, and then we'll -
QUEST: Will you extend it into where Terminal 1is now?
HOLLAND-KAYE: Exactly. And it will be a mirror image of Terminal 5, so we'll have big Terminal 5 at one end of the airport, Terminal 2 at the
other end of the airport. And once you've done that, we'll move the airlines out of Terminal 3 into this building and demolish and close
Terminal 3. And that will allow us to have a brand new airport for the U.K., which will be the most modern hub airport in the world. It's a
fantastic opportunity.
QUEST: You'll have three terminals?
HOLLAND-KAYE: We'll have three terminals.
QUEST: Have to do a bit of re-numbering.
HOLLAND-KAYE: We will, we will. So, in our master plan we think of it in terms of Heathrow East and Heathrow West - two gateways connected to
public transport, cross-rail, London Underground, the main line connecting and then of course on to High Speed 2 -
QUEST: Right.
HOLLAND-KAYE: -- which will be coming soon.
QUEST: Will you ever get a third runway at Heathrow?
HOLLAND-KAYE: I think we will. I think we will. I think the odds have changed. We would say 50/50 until probably a year or so. Today I'd
say the odds are better than 50/50. And the reason I say that is because we've listened to the concerns people had about the previous third runway.
We've moved it further to the west so it's away from housing, we have a less noise impact actually with our new third runway plan than there is
today. That's a significant improvement. We provide alternations so that there are times of day when people don't have flights over their heads, and
we can deliver with all of that privately and quickly.
QUEST: But here's the thing - I was in Doha recently, they'd just opened the new airport. Dubai of course has got terminals coming out of
its nostrils, same in Abu Dhabi. The criticism is often made of state subsidies in those places. Really what they've got are governments that
understand aviation and the importance of aviation to the national economy. That's really the difference between there and here, isn't it?
HOLLAND-KAYE: And I think that's the opportunity we have here. That if we are going to win the race for growth, we need to be better connected
to the growth markets of the world and our European competitors. That's what it comes down to. The growth markets of the world are going to be
North and South America and China and bits (ph) of other countries. We need to be better connected to those markets than the French and the
Germans. It's as simple as that. The only way you can do that to those sister markets is through a hub airport. At Heathrow we have one of the
world's greatest airports. It's a huge advantage for the U.K. Today we are better connected than any other city in the world or London, but that
will change. The French and the Germans are overtaking us, and we need more capacity here to open up those world markets.
(END VIDEOCLIP)
QUEST: And that's the CEO of Heathrow Airport. Simon Calder is here. Good to see you, travel editor at "The Independent." Good to see you, sir.
What do you make of it?
SIMON CALDER, TRAVEL EDITOR, "THE INDEPENDENT": Absolutely beautiful of course as you expect for something north of $4 billion. It's also
lovely to be a traveler or a would-be traveler here on a day when there's nobody else here.
QUEST: It is (inaudible), this is good. This is good.
CALDER: Yes, now my only criticism would be are they opening it fast enough? Of course you've reported on the day --
(CROSS TALK)
QUEST: They've got to be safe than sorry, Simon.
CALDER: Yes, except there are going to be millions of travelers who have a worse experience this summer because they're over in horrible
Terminal 1, Terminal 3, put up (inaudible) -
QUEST: Oh.
CALDER: -- when they should be in here enjoying these fantastic facilities.
QUEST: Let's talk about we've got delays tomorrow as a result of France --
CALDER: We've got delays tonight - my goodness, me - if you are flying to Calgary from here, it kind of got missed with the Queen opening
the new terminal, but they're held overnight so they're traveling out 9 o'clock tomorrow morning instead of lunchtime today. We've also got a
couple of late departures to -
QUEST: But do, do they have a cause - the French - when they see this. I mean, they say it's safety on Singular European Skies.
CALDER: Right. From my point of view - I'm not an expert - but I do know, I've been in almost as many planes as you --- I want my aircraft to
travel safely.
QUEST: Right.
CALDER: Say air travel is incredibly safe. One reason is of course you've got fantastic air traffic controllers. But every time your flight
from here to Italy goes over French space, they have to hand over to Swiss people. And oh crust it (ph), the thing is I would rather lose one
controller watching the whole journey. So personally I'm very happy with Single European Skies. It will also make the whole business an awful lot
more efficient.
QUEST: We heard of course about the new runway and the possibility of a third runway. Do you think Heathrow will get a third runway in our
lifetime?
CALDER: Well, you're in pretty good shape and you're a younger man than me, so certainly within yours, but who knows? But it does actually
symbolize the whole European problem here. Heathrow has long been saying the competition is with Amsterdam, Frankfurt, Paris. No it isn't. It's
with Abu Dhabi, Dubai increasingly Istanbul.
QUEST: Same thing. Same thing. They've got more resources than Heathrow has now.
CALDER: Well, yes, but the last flight out of here is - well it's supposed to be in - 45 minutes --
QUEST: Right.
CALDER: -- but it's going to be in an hour because everything - the shutters come down. That doesn't happen in the Gulf.
QUEST: @richardquest - which of the three Star carriers that don't fly to Heathrow?
CALDER: It is Adria of Slovenia.
QUEST: Ding!
CALDER: Koper of Panama.
QUEST: Ding!
CALDER: And Shenjing Airlines of China.
QUEST: Did you google it or did you know it?
CALDER: I went through the list on the wall here and I thought, hang on, where's - which ones are missing? I went onto a list, found out which
ones it was and there we are.
QUEST: I'll give you a half (inaudible).
CALDER: Twenty-three out of 26 isn't bad.
QUEST: Simon Calder, good to see you. We'll have a "Profitable Moment" from T2 about what the wave is all about. In a moment.
(COMMERCIAL BREAK)
QUEST: Tonight's "Profitable Moment." They call that the slipstream. It is 18 meters long, it is some 40-odd tons and it is a piece of sculpture
by Richard Wilson. It is at the heart of Terminal 2 -- the entrance -- which was opened of course by the Queen. It is an amazing piece of
sculpture. And there's the late flight leaving from Heathrow tonight. This is an airport that's the busiest international airport in the world.
Yes, there are the Gulf airports and China may overtake, but Heathrow still has that unique place in many travelers' hearts. I'm one of them. People
always ask me what's my favorite airport. I'll let you into a little secret. It's London Heathrow. Besides being my home airport, it still has
the originality and the gumption to put something like that right at the entrance of a terminal. And that's "Quest Means Business" for this Monday
night. I'm Richard Quest at Terminal 2. Whatever you're up to in the hours ahead, (RINGS BELL). I hope it's profitable. I'll see you in New
York tomorrow.
END
