>> welcome to lunch money." i am adam johnson. in media, happy birthday. facebook. where it is going. the world's biggest maker of wind turbines lance a first quarterly profit in three years. data breaches on capitol hill. we will take you there. how green addiction drove this man to lead a payroll. alyssa milano goes into sports.

world'st am at the largest software company has named satya nadella as the next over for steve ballmer immediately. >> i am very excited about the choice of satya nadella to be the next ceo of microsoft. as the industry changes, we need to move forward. online.video posted this is his baby. the next chief executive has to be on the game. has the rightla's background. there is a challenge in mobile computing and an opportunity in the cloud. ,e has driven innervation gotten architectures put together that really meet the customers needs. the opportunity for microsoft is greater than ever before, whether it is taking office and

bringing

facebook acquired instagram and, oh, yeah, the company went public at $38 a share. by the end of 2013, facebook servers had saved more than 300 petabytes per data. of data.

everyone million gigabytes stores 10 million photos. that is a lot of selfies. facebook continues to grow with its market cap close to 150 billion dollars. zuckerberg's next challenge, making it through the next 10 years. ahead of the company's 10th anniversary, brad stone sat down with mark zuckerberg and they talked about the future, including this new app that allows users to read and write the news from an iphone. going to produce lots of independent standalone apps first of that. the first one, kind of a newsreader, flip board like, but what's up -- what zuckerberg told us, they want to do more than of these things. -- peoplehodoxy should use their names, they should be on this big app called facebook with the newsfeed at the center of it. he seems to be flexible now, understanding the different segments, that teenagers have a different way they want to

share, so they want to create different environments to satisfy everybody. the service is so big, 1.2 billion people around the world, it is hard to move the ship in one direction and move everybody along. that is part of the app strategy , not having to change the furniture in people's homes every time they go to sleep. zuckerbergke to about the transition to mobile. >> he said that was a product that was really the last product developed for next -- for desktop computers. focusing on mobile first. i don't think they have given up a lot of those initiatives, they are just going to try to focus more on mobile phones, edges where their users are increasingly turning to facebook. >> facebook toss success has turned mark zuckerberg into the 22nd richest person in the world. he is not the only billionaire. there are five more.

a big reason why they are rich is because of the stock. after a rocky start, but the 85 -- insidegoing to take you king winter minds. that is up next in energy. next, a wall street trader quit because of a $3 million bonus that was not enough. we will explain later on "lunch money." a big paycheck may give you a big seat in business class. seats thathas extended to full beds and they have high resolution tv screens. playing catch-up in the lucrative luxury cabin market. lookout, emirates ♪. ♪ >> in energy, it has been a long

, rebuildinggiant bp after the gulf spill in 2010. today we learned fourth-quarter profit slipped and the company still faces unknown millions in fines under the u.s. clean water act. to help pay the bill, bp has promised to raise another 30 billion this year.

we had three major projects coming towards the end of the year. another one came in right at the end of the year. we have had two projects come --in the last week, so worth so those are things that generate cash. for theis the outlook year? >> 2014 was probably the best year in 10 years. likeve had three what look sizable, potential commercial discoveries in december alone. one in angola, gulf of mexico, and one in brazil. >> another challenge, the top wind turbine manufacturer. they had to close nearly half of go factories enclosed -- let nearly 30% of the workforce. here is the ceo. >> we have delivered on the comes tod plan when it lower investments and when it

comes to free cash flow. >> you have announced a new share reissue. by is that? what do you plan to do with the money? >> that is to increase competitiveness, and have a solid financial position. there was a production tax credit in place in the united states, which has now expired. how is the u.s. business spinning out with that as a backdrop? we see a fairly stable market in the u.s. where we complete the projects within the current timeline. vestas new turbine the world's biggest. tom gibson gives us a little tour from our london bureau.

sea, throughd and sun and sky, wind turbine travels over 600 miles just for testing. so why is it so special? it just megawatts, became the world's most powerful . the king of the turbines unique height at 220 meters, two statue of liberty's. major blade so you can catch the most when possible. it covers 20,000 square meters, the same as three football fields. this machine is likely to be built out at sea where it can most affect the play work, converting strong and more persistent wind at larger heights. as says the bigger, the better. then again, if one of these

giants goes off the hand at dishes wind, that is more energy, too. it is machines like this that manufacturers hope to bring down the cost of her new willful energy. if they are right, do not expect it to hold the crown of the worlds most powerful turbine for much longer. tom gibson, bloomberg. bp is focused on oil. best just -- vestas on win. d. what about biofuels? here is anour -- idea from the friends of the national science foundation on a kind of i/o diesel that does not come from anything you would find on your plate. scientist gary strobel has went 50 years studying the -- traveling the world studying microorganisms. he and his team think these little guys had a big heart and

making fossil fuels, a new theory that could change the way we think about oil. >> at least some of the can beents of crude oil made almost instantaneously, like a matter of days or few weeks, not 100 million years. >> best of all? >> they grow on waste. cantrobel and an engineer simulate an ancient forests to create fossil fuels. >> it is given oxygen like a forest floor would have, given water, and allowed to circulate much like we envision temporary rain forest. >> blakes -- breaks down to hydrocarbons. they are trapped in layers of shale. they drain it, dry it, and heat it in the oven. >> it is now condensed to a liquid.

these are the hydrocarbons in one of the test. >> promising but not yet here. -- needsif you will or a few more years figuring out how to increase the yield. is a handful of plants. >> of true innovation that would speed up nature, turn fungus to fuel and leave of better taste in everyone's mouth as we try to move the planet forward. i am frank says nope. >> you can see the latest ideas every day on bloomberg "we st." how safe is your personal insidetion? we will go the hearing on capitol hill. what really happened at target over the holidays. actress alyssa milano is scoring big offscreen. her latest venture into sports team apparel for women. ♪

>> it is 26 minutes past the hour, which means bloomberg tv is on the markets. a rebound today since the worst drop since june for the major u.s. averages. the catalyst seems to be goods orders in december's. remember, that is in contrast to worse than estimated numbers yesterday. some of the earnings reports coming out and encouraging investors. in terms of individual investors, take two. the maker of video games falling the most in over a year after

projecting first-quarter profit was shorter than estimates. profit did come in higher than estimated. we will be back on the markets in 30 minutes. after the money" break. ♪

>> this is "lunch money" on bloomberg television. i am autumn johnson. -- adam johnson. thousands of people have been affected by days of heavy rain in bolivia. the flooding in the northern part of the country has left many homeless. the recent storms are part of bolivia's rainy season, and that can last until march. meanwhile, in austria, it is snowing. unusually heavy snow has blanketed the southern part of the country. some locations have seen a in just ath of snow

couple of days. campaign aimed at teenagers. the $115 million media campaign is the government are just advertisement campaign yet. one comes in the form of a bully controlling a young smoker. the others are even more graphic. menthol's.f >> not enough. >> what does a pack of menthol cost? your teeth. this makes you more likely to lose them. >> see you again. >> that is intense. the fda has the new authority to regulate tobacco granted under a 2009 ball. the campaign filed a 2009 report

from the surgeon general estimating 3000 teenagers try their first cigarette each day. in the nation today, we had to the help. hearings have regarded -- have started regarding data breaches -- security breaches. the stakes are high. 40 billion in revenue earned by credit card and 3 million and customer transactions. >> it is long past time for the u.s. to adopt pin and chip technology. if the goal is to secure data and secure fraud, we must at a minimum do both. >> things are committed to doing their share but cannot be the sole responsibility of the issue. all industry participants have a vital role to play in addressing the regulatory gaps that have integrated the system. >> right now, there are state laws but no standard at the federal level and no civil penalty. while we have tools and are

using them to enforce -- to failures,ta security it would be extremely helpful to have a federal law requiring data security, jot -- not just notification. pre-k's trying to get the notion disclosebligation to -->> trying to get the notion of your obligation to disclose when you are breached is going to be difficult to coast there are so many attacks every day. so what i get concerned about is you do not want to create the color code system, which has already been proceeded to ignore. >> i agree with you. on the other hand, if of business with holds the information because it is in the heart of christmas shopping season and might affect their bottom line, they need to be abstract. >> today targets and neiman

marcus are testifying today before the senate judiciary committee. both suffered data lapses. >> the important reality is we suffered a breach. threatsomers are facing from criminal servers -- criminals. to prevent this from happening again am at none of us can go at it alone. we need to work together. >> exactly what are the challenges that retailers face regarding the dust -- the therity? >> customer space protection of individual data, and the second is how they handle the data that they themselves have, privacy and the like. on both companies they are held to a very high expert tatian. >> a system analysis, what i will call the granularity of the cyber debate. can i be confident the systems are now? they got into targets, neiman marcus, why can't they get into

the local liquor store or whatever? facebook? >> i think it is very clear the game keeps rising. can you be confident that they are getting better and those trying to attract it are getting more sophisticated. is an ongoing struggle we will see play out over years and decades to come. the expert tatian that consumers have is very high. a mistake once has generally been forgiven. if you see companies that make repeated mistakes, i think you will see a real erosion in trust. >> the third day of hearings are scheduled for tomorrow. >> is he a criminal or a victim? we will look at what i be ahead for matthew mark thoma. and, three point $5 million bonus not enough for this traitor. how the former wall street wealth addict broke free next. ♪

>> breaking news. we have learned of terminal has been evacuated at laguardia after reports of the bag that was smoking. according to abc news, a baggage handler became concerned about a ditch that was warm that was scheduled to be aborted to a flight to richmond. dad was never loaded onto the plane. the fire department did not end up having to respond. terminal wasthe evacuated as a precautionary measure. we will bring you more developments as we do have them. it looks like it has not developed at this point into a more serious situation. parts of the terminal water of actuated as upper cautionary leisure at laguardia airport. more on this story and more "lunch money" coming up.

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>> this is "lunch money." live onlso streaming your tablet and smartphone. i am adam johnson. on wall street the jury begins deliberations on the matthew martoma case. the alleged scheme with 200 75 million. prosecutors want the jury to convict. defense lawyers say he is escaped coke because they could steve: -- could not get himself. >> they affect steve cohen when in the closing argument yesterday, saying it is not fair to convict our thoma -- martoma, in theally roadkill government's attempt to get cohen. martoma did not take the stand.

it does not send the best message to the generate. if he did not do anything wrong, why did he not take the stand. his defense has followed a very classic insider defense trading playbook. they have tried to argue the witnesses are dishonest and unreliable. they have tried to argue the information he traded on was are ready public. >> what was the strongest case the prosecution made? >> the evidence has always been very strong. they seem to stick to the asics. they review the facts and they mae a little tough for marto to overcome. they said i gave him information they were not supposed to. a lot of evidence he traded on the information. he could flip even after he is convicted. >> now on to a story about a hedge fund trader who left the sidewalk of wall street. anpolk walked -- wrote

article about freeing himself from wealth addiction. " i started to see wall street traders despise anything or anyone that threatens their bonuses. addict ishat a drug like when he is used up on junk go he will do anything to get a fix. wall street was like that." >> the way i was acting with impacting people in a negative way. i take responsibility for it. lex is wall street to blame for that. -->> is wall street to blame for that? i am not of all, blaming anybody. i think this is a way bigger problem than wall street. the response i got is something cultural, about the red carpets on hollywood, the pro football players that make all this money, the crazy focus on the mega millions lottery all the time. lex what do you say to the folks that are watching right now

saying to themselves what a jerk? we had such a good and going. note the financial crisis so good anymore. two to the degree the pr department and boards of directors are looking at sam polk will only get worse right now. what do you say to them? >> you mean to the wall street people? >> yes. >> my story is just the story of one guy. usedi was on wall street i to believe the issue of whether i was going to get paid one million or 2 million was the most critical thing in a world. one of the things i came to see, and not because i am a moral hero or the most honorable guy in the world but became -- but because i came to a teacher who started teaching me different things and i came to the world from a different perspective to say whether or not we are getting paid this much on wall street is less important than people that are really struggling out there. >> summoning people on wall street are mad about this. >> some of my best friends are

on wall street. what, if thereu is anybody in the world that has taught me lessons about generosity and kindness, it is literally the man who'd you know . and i love him. i love the people on wall street. saying i was addicted to money. i am saying i was using money and power to fill my soul. that is all i am saying. however they take that, that is sort of their business. >> he has since founded a nonprofit that educates and supports families trying to eat healthier. you can watch the full interview on bloomberg.com or award-winning app bloombergtv plus. we will hear from under on getting into the shoe game. even melissa -- alyssa milano wants

in on the action. we will explain next. ♪

money."is "lunch i am adam johnson. once apparel? talking sports where. under armour is giving nike a run for its money. about theot a story past 10, 20, 30 years but the next 10, 20, 30 years. consumers are saying i want more, i want better. innovating ever since. the latest innovation is the first shoe completely made in apparel factory. and applying that to the foot.

of the most compelling running shoes that has ever been built. >> tell me more. >> this is the new performance shoe. a lightweight shoe. it has been picked everyone from runner's world asked debut to competitive magazine. for an apparel brand that is trying to cross over to the shoe that can easily be a footwear company as well, it is a great day. the product is terrific. >> when it comes to sports deals, it is usually left to the big guys in nike and reebok. but one actress out to change all of that. alyssa milano has changed her own -- started her own mind. the big leagues are signing on. stephanie ruhle sat down with her to ask her how she got into the business. >> i was sitting at dodger stadium and was cold and went into the stadium shop and could not find anything cute i would

want to wear that was not pink. the league had the philosophy that pink it and shrink it, and they did. that was essentially the only thing out there for women. i pitched the idea to major league baseball first. they have the exclusive for the first year. it has been about seven years now. iskeep growing, which lovely. we just came out with nascar, which is really cool. >> do you consider this an endorsement or business partnership? >> definitely a business partnership. mlb originally hooked me up with orts by carl banks, the next giant. they are a manufacturing company that has licensing to help clients and they really understood the whole fashion sense of what i was going for

and has the factories to be able to pull it off. i considered a partnership with the leagues. what is your role in all of if jacob >> war than they would like it to be. everything from the design process to marketing to the photo shoots to final say on colors. >> who is your audience specifically? gear who are wearing this to games or working out and it? >> that was part of my original concept, because i cannot walk my head around the fact that you would see some dude on his -- in his yankees t-shirt and cap and was not necessarily going to a baseball game. i figured the only reason you never saw a woman walking down the street and heard fan gear was because it was not flattering and did not feel good was notin it or it fashionable. so part of creating touch was how can we not only see women in

the stands wearing it but also out to dinner and a great hoodie and jeans like you would see them wearing something else that is branded. our stuff is not just activewear but fashion that is sports licensed. just like you would wear a great .weater, we have a lot of knit you would wear a sweater with the new york giants logo on it or l.a. dodgers logo. >> you can watch the full interview with alyssa milano online or the award-winning ipads app. you will need high-tech sportswear for today's mystery meat. it is called fly boarding. ♪

>> it is approaching 50 minutes -- 56 minutes past our which means bloomberg tv is on the markets. getting you caught up on where the stocks are trading. seeing a rebound today helped in better-than-expected

factory orders. the nasdaq doing the best of the lot, a better than one percent. stocks may be rebounding today. the dow up nearly 1000 points this year. the s&p 500 trading near a three-month low. or save toto come buy? adam johnson taking a look at today's insight and action. pre-k's time to buy? time for insight and action. -->> time to buy? since 2009 a total of 18 the kleins, even in the context of global markets, 16 of the declines down about five percent. 10%.ercent down the point is, we have seen this before. it is not actually that bad. it feels bad but we have been here before. now what we need to do is quantify how bad it has been. look at the are sent of stocks

that are below the 30-day moving average, in other words, seriously oversold. most of the sox have been significantly oversold. -- stocks of have been significantly oversold. you line up the same data with the s&p 500 and will see every time we have been significantly oversold, it has proved to be a buy yang opportunity. you can see how that lines up. you can do the same thing with the fear index, volatility index. every time you'd have the spikes, they line up with buying opportunities in the market. necessarily only look at the 10 indicators? know but you look at enough of them in books like we can get a little bit of a balance, and that is what we are seeing today. like inc. you so much. -- >> thank you so much. take two interactive shares

falling by the most in more than four years. report -- reported estimates that beat analyst estimates but current quarter fell short. shares of the struggling department store chain falling even after they reported a same-store sales gain since 2011. as the ceo have been working toward a by the company by bringing back popular private label brands and bringing back to sales as a result. the stairs number -- sales number fell short of analyst estimates. michael kors surging to a new all-time high today. the luxury retailer posted third-quarter profit that topped analyst estimates and boosted the full-year sales and profit forecast after it said customers in europe and north america bought more of the luxury products. taking a look at what is going on in the bond market. 10-year note's declining the first time in three days amid

speculation a rally that pushed in a momentum. bill gross talked about the outlook for the bond market and talked about he is continuing to buy u.s. debt and recommends for an five-year treasuries to be specific. we will be on the markets once again in 30 minutes. bloomberg "west" is up next. ♪ ..

♪ >> live from pier three in san francisco, welcome to bloomberg west where we cover local technology and media companies shaping our world. our focus is on innovation, technology tom and the future of business. microsoft makes it official, nokia sedona is the new ceo. new ceo.nadella is the he has been with the company since 1992.