mar ik: am mark crumpton. this is bottom line. to our viewers here in the united states and those of you joining us from around the world, welcome. we have full coverage of the stocks and stories making headlines on this monday. first, let's get you right to the top stories we're following. the death toll in maple -- inmate paul is growing.

hope is fading because it has been more than caught -- more than 48 hours since the quake struck. their government says millions may be homeless. >> landlocked country about 31 million people. a quarter of the population is below the poverty line. this country has struggled for a long time, well before the earthquake a couple days ago pair the biggest sector in nepal 's agriculture, wheat, corn, sugar cane. and tourism is of course very big. mount everest's chief among

them. 700 are still stuck at base camp. this is a country that shares a border with china and india. it does a lot of business with both of those countries. more than half of nepal's imports come from india. 45% come from china. if you look at exports, more than half goes in india and china's share is smaller but still significant. hydroelectric power has been growth for nepal. there was an expectation we would see more deals like that going forward. mark: deutsche bank is a major overhaul. reduce annual costs by 3.8 billion dollars. it will strengthen the security business, close up to 200 branches, and reduce some overseas operations fair the bank ceo told bloomberg's hans

nichols what the bank would eventually look like. >> will see stronger inequities than today. you will see a considerably stronger corporate finance than today. probably a smaller fixed income house. less transaction and more advisory. mark: investors are not impressed. shares falling. 45 billion -- $45 billion offer. it says the offer is too low and does not deal of problems of combining the companies with different cultures. it is committed to his $33 billion offer for the irish maker of store drugs. they have already rejected that. loretta lynch has been sworn in as the first afghan american female attorney general. joe biden did the honors at the justice department.

for the last five years, which has run the u.s. attorney's office in brooklyn. harvey miller a partner in a law firm that recommends lehman brothers is dead. he died today in his home in manhattan of lou gehrig's disease. he was 82 years old. that is a look at top stories we are following on this monday. the apparel industry is a $2.5 trillion worldwide behemoth. about 70% of workers are women. many of them in developing countries, barely making so-called fair wages. several leaders in the industry are looking to change that with the fair fashion movement. i spoke with a nobel laureate and university chancellor earlier today on the social responsibilities of the industry. >> we discuss what the responsibility of the industry is, and i thank them for helping

us and at the same time, it is a great breach between them and the poor women. most of the workers in the fashion industry are women. 80% are women. it is a great opportunity to help them lift themselves out of poverty and that is what i focus on. as you make a business, business should not be all about profit. it should be wider than just profit. people and the planet. sustainable profitability. mark: canada business have profit as such and be sensitive also to concerns of society and the environment? >> precisely. otherwise, sooner or later, we will be facing a big crisis purity there you are ignoring the people were ignoring the planet and then a big crisis

comes. that is not sustainable. the disparity among the income of the people, for example, government workers who are in factories often accused of the -- of using women in the countries is sleep -- slave wages -- slave labor. mark: where do ethical business practices start? in the board room or in a groundswell of protests from people in the streets? >> all of the above. there must be people and the board members must be all the time, so board members miss on some points, which are public and since some of the crisis happened, the consumers protested and that we do not want to wear this kind of shirt exploiting poor people and that is a good message.

and the board members recognize it is not a good thing to do. they came forward with solutions. mark: what is the role of social media in this? has it allowed workers to speak out in a way they have not before? >> they know the do not have to go through the general media to talk to each other and build our own network of people p are opportunity for people to voice their demands. mark: our business is paying enough attention to what is happening in the supply chain? do cheap close and cheap retail does that necessary equate two people being -- equate to people being taken advantage of? >> cheap does not mean from other people. is not sustainable chief --

cheapness. they're are working, why should there be slave labor in this day and age. why should anybody in the name of cheapness do anything -- wearing what is exploiting women in other ways p people are conscious of that. the cheapness has been defined. ensuring the climate side of it. that the whole planet will fall apart it is not something we can support. mark: you are a member of academia, as you alluded to. given the high cost of college education here and in the united states, student debt is skyrocketing, is wise for students to take on the burden of debt that comes with getting

a degree, or would it be better if they took their chances trying to become an entrepreneur and -- >> i'm glad you asked that question. they're working people who are working for somebody. they are go-getters. when you designed the process to let people be workers, unemployment was the only thing, so you are unemployed. why should a human being the unemployed? the education system should be focusing how should they make it happen so human being -- a creative person? i told the people you must believe we are not jobseekers. we are job creators. that should be our system. that is why the question of unemployment does not exist

anymore. it is my job to create jobs for other things. that should be the focus. we will be creating unemployment. mark: the 2015 milken institute global conference is underway in los angeles. the four-day event brings together leading thinkers to exchange ideas and challenge each other to affect change. erik schatzker and stephanie ruhle are there joined by steve schwarzman, chairman and ceo and cofounder of blackstone. erik: thank you. steve is sitting right here. thank you for spending time with us. in some respect, this celebrates a culture of risk taking. your firm is in the business of taking risk, high returns for low risk.

where do you feel best about taking risks today? >> there are a variety of different places. if you are buying fixed income instruments, that is a good place to be. if you are buying real estate in a variety of places, that is a good place to be. if you are finance energy company is that have a need for money, and you can make a satisfactory arrangement, that is a good base to be area there are always many good places to be. .: how many satisfactory places have you found an? you have said the collapse in prices in oil with amazing and extraordinary opportunities. yet there have not been that many transactions. >> let happen is the public markets for energy have really valley. just really rallied. they financed a number of

companies that would have turned to private capital that have now raised money advantageously, particularly in the equity area. in fixed income, it is different and we are right busy in the fixed income area with energy. stephanie: help us understand the rationale the clock -- behind blackstone discussing the $74 billion commercial lending unit out of ge. why does that make sense to you? steve: it is good to hear these things on global television. ge is going to be selling a large part of the remainder of their credit company and they have announced that. we are the type of business that would normally look at those types of things. stephanie: why is that interesting and are you the only guy with the dough to buy something that big? >> compared to the real estate

sale, where we were in a practical sense the only firm that next cute things across the different consonants, different parts of the capital structure in real estate, they have many companies indebted within the capital business. those businesses will probably be sold and some will fit some potential buyers better than others. stephanie: when you're potentially the only, doesn't that have a potential -- with blackstone, maybe you are too big and we should not be the situation where you are the only one to call? >> i hope that was not the case from a credit perspective, it is not. one thing that is important when you look at risk is how eufinance and acquisition. the reason is they have financed

their company with short-term debt commercial paper. and the crisis, people do not want to roll over the and one a wanted their money back, that created the risk. we do not finance anything in that manner. we finance things in terms of buying them with 10 and 12 your money from our limited partners. we also do not have anything cross guaranteed another aspect of being and of corporate umbrella that we do not share. we actually have almost no characteristics in common with companies with high risk. big sales like the one she is doing right now do not come along that off and. they have put a lot of stuff out on the table for companies like blackstone to choose from. you are the only called a male realist and that will not be the case for the other aspects they're talking about.

erik: how aggressively might you be inclined to bid because of the scarcity factor, the stuff does not come to test for sale that easily. steve: i like a good cookie as much as the next. we look at things as if they are deals. they are not missionary expressions. if there is something interesting we see we will pursue it. what we do not do is commit unnatural acts to satisfy the desire to put capital out. that is not what we are in business to do. stephanie: how are you keep the momentum going? you're crushing it in real estate. it has got to be tough to keep the pace looking ahead. steve: we do not really worry about it. our job is to do really good

things and when we see them, we do them. worrying about momentum is the wrong thing in our business. erik: you have capital investors have committed to you that eventually need to be put to work. steve: when you do the wrong thing, if you have ever seen unhappy people, and it is a bit of union yang in life, people like you to invest, but they assume it will always be successful. if you toss cap allow the door to make it will have the, and it has a bad result, they were forcing you to do it. i have been doing this for 30 years. what we all know it blackstone is we have to be prudent, we have to be orderly, we have to avoid risk. if we commit at the right time for the right assets, that we can improve. that is the key. then everybody is happy.

if we do something different -- >> we might be more -- >> perhaps. the defeated story is better than the one going decently well. stephanie: it is probably why 15,000 people applied for these analyst editions that blackstone. harder to get a job at blackstone van to get into princeton, harvard, where yell. sorry. thank you so much. erik: that is steve sportsman and he is the cofounder and the io blackstone group. back to you in new york. mark: thank you so much. "bottom line" continues in a moment. ♪

mark: let's get you some of the top stories we are following. fitch cut japan by one step to a

minus, and it says that is because the japanese government did not taken a step to offset the from a delayed sales tax hike. the prime minister postponed. -- plans to raise the sales tax from 8% to 10%. a higher tassel not go into effect until 2017. staying with european banks, a report hsbc may spin off its british retail business. london's's sunday times says they're considering a spin off for as much as $30 billion. there is also speculation hsbc may move its headquarters to hong kong. friday, hsbc said it would consider moving from the u.k. because a bank -- cost more than $1 billion last year or for the first time, iphone sales and china may have eaten those in the united states third in the first quarter, apple may have sold as many as 20 million iphones in china and analysts say a reason is the design.

the iphone 6 and six plus have larger screens, which have turned out to be popular in asia area apple reports earnings today after the closing bell. materials in tokyo, a lecture on called off their planned $9 billion merger the justice department told their companies the proposal would not be enough to overcome concerns about antitrust issues. both materials and tokyo electron make machines used to build semiconductors, and it comes through days after returns also killed a planned merger of comcast and time warner cable. all those safety antitheft devices will not keep thieves from stealing your car if you leave keys inside. the national insurance crime bureau said car theft where the key is were left inside rose 14% last year to more than 44,000. the group says the real number is probably higher, but people do not like to tell the police or the insurance companies how

careless they were. that is a look at the top stories we are following. bloomberg tv plus is now available on roku players and roku tv streaming for free. you can also see us on your phone or tablet and we will be right back. ♪

mark: welcome back. this is "bottom line" on bloomberg television. coming up on bloomberg television, more from the conference as we hear from francis collins, the director of the national institute for health. and, the monday edition of latin america report live from mesko city. a 2:50 come investing in portugal portugal's deputy

prime minister. we will be right back. ♪

mark: welcome back. i'm mark crumpton in new york. thank you for staying with us. we continue the coverage of the 2015 institute global conference. erik schatzker and stephanie ruhle standing by with dr. francis collins, director of the national institute of health. classic a lot of people that a lot of money and influence. where is it in terms of funding?

>> i wish the picture were prettier. that is having a significant, negative affect, particularly on investigators trying to get things going. they depend on nih. stephanie: how realistic is a billion dollars, really? francis collins: if words were votes, things would be looking pretty good right now. there is strong support that it has not been a good thing to lose momentum p or live her that everywhere i go at this meeting and when i walked halt at congress. erik: the national institute of health plays a key role in the development of new drugs and vaccines and their piece for many ranges of diseases. there has been a growing trend among large pharmaceutical companies to buy other ones and then strip the budget in an

effort to try to squeeze more profit. one company particular comes to mind but there are others. what are implications? francis collins: they are not good. the success has been a healthy ecosystem. public support through nih, private support we work well together. but both parts need to play a role. erik: what happens if the collective corporate budget drops and i do not know what constitutes significant amount -- stephanie: dahlia it is a perfect example. it is what they do. francis collins: government support for research is dropping, as it has been for 12 years. it is ironic. scientific opportunities have never been better than they are. the ability to take a vast array of new advances and really push

forward with new drugs and devices has never been more promise in. but we are cutting back the fuel for the engine. erik: the authority question of course is, who should take the risk? mall companies are in the business of taking the risk. 10 companies and they do great. large companies, maybe that is not enough. our large companies, effective allocators of capital? do they get good results? francis collins: i cannot summarize. we have 10 pharmaceutical companies to develop the next generation of therapeutics for alzheimer's disease diabetes, lupus, call the excel rating medical partnership. those companies are all in and we are as well. sharing the cost of trying to take this remark moment in scientific history and turn it into treatment. stephanie: what is frame mapping

going to do? francis collins: it is so exciting. you have got 86 billion neurons in here and everyone of them is making thousands of connections been we are audacious to say we could understand that, but in the next 10 years, we could probably get a good sense of how those work. the consequences for autism and schizophrenia and epilepsy and shamanic brain injury and alzheimer's, all these where we get a better foundation for understanding are profound. stephanie: are those not working on the parents out there who chose not to immunize their children? francis collins: we have such an educated country and it seems to be the most educated part of the country that has so much trouble with this. the data is compelling. my blog tomorrow will be about the latest publication which shows if you ever had any doubt you should not have any now. the measles vaccine has nothing to do with it.

we had a paper published that turned out to be fabricated in 1998. some people are still hanging onto that. there are spokes people are just promoting the idea because it is what they do it it is particularly a tragedy for those kids who cannot be vaccinated because maybe they have cancer and are getting chemotherapy. they depend on heard immunity of their classmates and if the classmates are not getting ejected because mom and dad do not think it is safe, they are at risk. erik: how do you force parents to vaccinate their children? francis collins: i think of the schools got involved and said basically, you cannot come to school unless you are immunized, that would create some tensions particularly in the state of california where we are right now. erik: many people do not know you are famous right now for running the national institute

of health here and you are famous for your discoveries in genetic research. the chinese have begun experimenting, doing genetic experiments on human and brio's. you know the subject better than anybody on the planet. francis collins: the idea that we would manipulate our biology come our own germline, in a way that would transmit future generations, it is not like we have not thought about that scenario. we talked about it for several decades. we agreed in the developed world ozarks baron -- experiment session not be done because of ethics, safety, because of the fit -- the philosophy of theology. line up the reasons. it is a large risk. i cannot think of a single circumstance where medically it would be good to do that. there is no international body that could look at the situation and have the clout to say, ok, we will not do that.

that is the challenge of our increasingly small global village right now. the good news is this manipulation of those embryos did not work right well. it was inefficient. cool they hit targets other than the ones they meant to. anyone reading the paper would say, let's just not do that, for safety reasons. although this -- this is raising around's consciousness, the risk to a future -- a risk to the future of homo sapiens tomorrow no. but we should think about it and have plans. stephanie: thank you so much, dr. francis coat -- francis collins, director of nih. mark: more bad news for brazil'state-run company. ♪

mark: it is time now for

today'latin america report. a bull market rally as raw materials producers, including mining company followed commodities prices higher. petrobras fell after morgan stanley cut its recommendation to the equivalent of cell. and rose for a fifth straight day on speculation central bank will increase borrowing -- that is your latin america report for this monday. still ahead, the deputy prime minister portugal and we will be right back. ♪

mark: world's's top designers and business leaders come together to find out how design makes world throw better smarter, cooler and more

innovative. here we are shown what office spaces might look like in the not-too-distant future. >> it is on it makes a positive impact on the most possible number of people'lives. in some ways, the most creative step. i way that everyone else frames the question. there is a pretty good chance the answers you come up with will be the same as everyone else's answers. designers were interested in the future. we are interested in how it will play out in society and city and how the technology will lead to unexpected things.

>> what does it mean to move spaces rather than people or things around in our environment? the work really addresses this notion of us inverting the commute. rather than going to a fixed work lace every day, you might as a creative team have variety, working in inspiring places that happen to be five or 10 minutes away versus a half hour or an hour away and inspire you to think differently. >> what we tried to do was step back. instead of thinking about just the car, let's think about how the car and transportation and people move through the world and what the world is like when you bring the new technology to play. that is stepping back to another level of magnitude around the.

we are looking at the system of the system of the car. for me personally, what is exciting about the technology is that it might allow us to focus on living in our cities instead of moving through them. it could be special if every so often, you got to work on a. looking out across the water. i think other people might find it inspiring as well. mark: tomorrow, we will have more on the bloomberg design conference. we will hear from the creative director. over the weekend page oh and the deputy prime minister who announced to their parties would form an alliance for the parliamentary elections scheduled for later this year. i'm joined in the studio. welcome and thank you for your time. your government is set to be the

first coalition government in portugal to complete the term. >> we have to face a fast situation. we have a deficit of higher than 10%. we now have a deficit below 3%. we have portugal and no more in portugal. we fulfilled our commitment. and we have recession and out economic growth. our tenures bones are at a very good price. some years ago, they were at 12-14%. the portuguese made a tremendous effort and we deserve a hope for a better term with economic growth and investment exports,

and more social justice. it was a normal decision. we will fight election democratically. personally, i think the political forces should have availability to negotiate, mainly on reforms that are relevant to the future of the nation. we will fight in the election and we will win. mark: portugal does not have a protest party. why not? >> portugal is the oldest nationstate. it means a lot of common knowledge and a lot of common sense. you know moderation is the way to rule the country.

we never have the temptation of extremist solutions. so i think you know, the effort was so strong and the result is very good, so we deserve a better term and i think we will have it. mark: we went greases reshuffling its negotiation team as it tries to get that bailout money. will this be enough for greece to reach its agreement with creditors? >> i am very diplomatic when i talk about other countries. we all want grease inside euro. euro has rules and guidelines. it is on the greek side to deliver reforms and solutions. i can just give them the portuguese example.

we face past times. to consumers and 2008 off the norse, we have explored record after record, 2014. the portugal economy is back. we have to face structural reforms, flexibility on labor, corporate past reduction, fighting against bureaucracy on licensing, to give an example. mark: are you comfortable the role of the bank is playing?

>> it may be a little excessive but it saved europe twice. when he said we will do everything we need to save europe, that was a decisive moment. the most recent, to fight deflation i think mario draghi is doing a good job. mark: thank you very much. stay with us. scarlet fu will have another edition of off the charts on the other side of the break. we continue in just a moment. ♪

mark: the anticipation ahead of apple's's quarterly results, big swings. scarlet fu checks it out in today'is off the charts segment. all eyes will be on this one. scarlet: you're seeing a lot of

this take place in the market. let's pull up the first charter we will see two separate lines. the white line their tracks the volatility gauge for apple. the tracks prices for contacts tied to apple shares. volatility in apple has been trending higher over the past year, but especially in the past month. volatility in the nasdaq has been trending in the other direction and has fallen about 2.5% in march. as pull up a second chart, which makes it clear. it is the spread or the difference between those lines. you can see the line moving up 2.4 on the far side. that means it closed at 2.4 times the level of the nasdaq 100 last week. the highest relative to the nasdaq 100 in about a year and a half.

the market is signaling apple shares will move about 5.2% of the earnings report. mark: at other times of the year, you do not see this. scarlet: you do not. october and december is when apple make the most money out of any quarter. what is interesting about this is apple has a history of announcing a capital return plan in april. share buybacks plus dividends. the company is minting money and has come at last count, $178 billion in cash and short-term investment. 2012, it announced a $10 billion stock back program to the following year, $50 billion stock buyback program. last april's 30 billion. right now, which includes dividends, 130 billion. analysts are looking for it to increase to at least 3000 billion. mark: they will be talking about

use of cash. what else are they expected to report this afternoon? scarlet: the trend has been reducing estimates, lowering the bar and an companies beating them. surprise, surprise, they beat on earnings and sales. apple is notorious for giving a lowball forecast for everyone and then they have to ratchet up estimates and play catch-up, which continues up until the last minute. just from last week until today, you still see analysts move higher in estimates. no exception in this game. earnings per share is likely to increase from one dollar 66 at the same time last year. revenue will probably grow to $56 billion, and second-quarter gross margin will be around 39%. in terms of unit sales, 58.1 million iphones sold 30 will not get a breakout of how many in china versus the u.s., but the expectation is apple has sold more iphones in china than the united states to the ipad

account is worrisome because it will mark the 50 straight quarter. 13.6 million units of that sold. there will not be much on apple watch because that will not be included in the quarter that ended. if they say anything, we're looking for 3.8 million units. mark: stay with bloomberg television. we will have more with scarlet fu. get the latest headlines on the top of the hour on bloomberg radio and streaming on your tablet and on bloomberg.com. that does it for this edition of "bottom line" on bloomberg television. see you tomorrow. ♪

stephanie: welcome to the most important hour of the session. i am out steel and this is street smart. after coming under pressure from the clients in biotechnology companies are investors focus on earnings season. we are in our inch -- and change away from apple. we will hear from the blackberry ceo and ahead of the nfl draft, i will be joined by a former new york giants. "street smart" starts now. ♪ stephanie: here are the top stories we are