and management says the firm still has work to do here, largely improving execution now that hiring and reorganization are complete. on the client's side, cfo told cnbc morgan's m&a pipeline are more confident about the economy. when this turns into real deals it is helping retail brokage revenue. asset inflows were strong morgan stanley. wells fargo net income declined in the quarter and revenue of $24.4 billion missed estimates slightly still earnings of 45 cents a share beat forecasts as howard atkins said credits getting better. >> one of the reasons we're confident credit has turned is the stabilization and improve. we're experiencing in early staged delinquencies across the major consumer portfolios. >> still except for auto and

student lending, wells remained soft. corporate clients about new loans, but overall doesn't see demand picking up until the economic recovery takes hold. once it does, wells is well situated having taken care of it. wells says it appears chargeoffs peaked in the fourth quarter earlier than expected and also said 2008 acquisition is exceeding expectations both culturally as well as fascially. we'll head down to the floor of the new york stock exchange where trish is standing down there with bob. >> thanks, mary. part of the reason we're seeing a bit of an upside on the dow is that investors are taking a little bit of heart in all these strong earnings. earnings news continues to pile in and most of it is very, very good. we're seeing outside in some of the financials today in part of the comments out of morgan stanley and i want to bring in bob pisani. good to see you, bob.

>> good to see you. >> let's talk about these financials and what you're seeing. >> mary did a great job summarizing. keep your eye on the big picture, the big picture is pretty simple. the banks are hitting new highs. number one, mary touched on this. credit is getting better. all of them are reporting that. they've been anticipating having this happen for a couple months and finally getting it the strong has been long and some of the banks here and small short base and they're getting blown out here today. net interest margin is rising. that's improving last quarter. here's a problem, trish. i'm going to tell you this could be an issue -- wells fargo mepged this today. credit trends improving but loan growth that is the second half of the equation to keep the stocks moving forward. these stocks are getting huge volume here today. this is a short squeeze going on.

comerica did better than expected. they made a profit. huntington bank and look at the moves. >> do we have a chart of goldman sachs we can show? goldman is bucking the trend here. >> just a half a point. >> the other bigs guy wells fargo down a little bit, but goldman down slightly. we don't have a chart of that. let's move on here. we want to talk about the big trend overall here. gold man sacks pretty much trading to the flat line there. the big trend going on within earnings and other sectors. >> these companies are making comments and generally they're very positive. business is generally improving overall for them. look in the tech area. record shipments today of disk drives and utx is seeing nice orders in the elevator division. temple-inland corrugated packaging and people are shipping things more overall.

volume up 22% in some of the trucking names and nice move on airtran. finally, look at all the dow earnings. all new highs for all three of the companies reporting earnings today. >> how much of this is priced into the market already? you look at all this upside and somewhat anticipated within the earnings. where do we go from here? we're at 11,134. >> look new highs on all three. new highs on the bank stocks here, on the regional bank stocks many of which were heavily shorted for a while. at least today there's definitely room for the market to continue moving up and you might not think 15 points is moving up here, but significant advancing declining stocks for the second day in a row. creeping rally here. stocks hit stealth rallies here. you can move up 15 points every day for six weeks and suddenly you're up hundreds of points. >> we'll take those 15, right, melissa? >> yes, thank you. senator blanche lincoln put it for mark up before it goes to

the full senate is expected to be combined with dodd's bill. in the legislation lincoln calls for more derivatives trading, but should banks be trading derivatives at all? let's bring in jim and securities lawyer andrew stoleman. thanks to both of you for joining us. this is a topic that has gotten a lot of play, did derivatives call this problem in the first place? we want more transparency but i'm not sure trading on the prop desk is how we got in this mess. jim, what do you think? >> i'm fairly certain it's not how we got in this mess. matter of fact, trading at the big banks has caused very little problems over the last, let's say 15 years if you strip out the one specific trade that was highly influenced by the government. you know, within the banking industry, by the way, the strict detinction between what the prop desk does and what the securitization guys did, which was totally different thing.

for argument sake, we should blend them together. that's what the government is doing. this is just kind of another chain to really show what happened there and what really happened there was even the most liberal among us is going to agree that the government's influence was somewhere between blessed the mortgage-backed trade to force fed the mortgage-backed trade into the banks. if they were left to themselves things would not have gotten to where they were. >> andrew, what do you think? is this a problem that needs to be cleaned up? >> the feathers still sticking out and saying, hey, we can be trusted. trust us. clearly, we can't. they almost melted down the worldwide economy in large part because of the derivatives and i don't think we can draw those distinctions. >> in large part -- >> i certainly can draw a few distinctions. in the hole of the four people

responsible for the whole meltdown the banks are the easiest villain to paint. >> can we interrupt you for one minute? >> scott cohn has some breaking news. what do you have? >> word of another alleged ponzi scheme, melissa. this is nevin shapiro who is a prominent businessman in florida allegedly ran a business that was essentially a scam. he is charged with securities fraud and money laundering by federal prosecutors in a criminal complaint also sued by the securities and exchange commission. allegedly was promising investors up to 26% returns, but a lot of this, according to the criminal complaint went for his own use including paying gambling debts, sports tickets, something like $400,000 for seats on the floor at the miami heat games, as well as donations to a local university. $35 million all told allege lade went into shapiro's pocket. he will be in court in newark, new jersey, later today. >> scott, thanks so much. larry, go ahead.

>> jim, let me go to you. what is your take on the blanche linco lincoln, senator lincoln idea -- can you hear me? derivative trading should be on exchanges and monitored by clearing houses. they should be private label but on exchanges and monitored by clearing houses because, jim, i want to ask you this. if this happens, chicago, you, all the stuff in chicago is going to be a giantic, humongous, huge victor. new york will be decimated because you have the wiring and you have the short interest. so, i want to ask you about this. this is one of the key aspects that has not come to light. chicago wins, new york loses, if derivatives have to be traded on exchanges. >> i have been a member of the mercantile exchange for 25 years. there has not been any big problems because of the central clearing the one counterparty

and the transparency. it's a system that works. the banks will not like it as much because when you trade projects and you call somebody and say where do you make a market in this, there's no central transparent market. they can play off each other and the banks will not love this notion. >> they will all move to chicago. >> they're all going to move to chicago. andrew, take a whack at this one. andrew, i don't think this one gets enough visibility. obviously, the obama white house is chicago based, okay. you have a lot of powerful people there. you don't have powerful new yorkers running this operation in washington. so, i want is to ask you, is it going to shift from new york to chicago if senator lincoln gets her way and the delireceivative have to be traded on exchanges? >> i don't think there is any question about that. try to tell me that barack obama and rahm emaneul are not pushing this. >> this is a huge part of this.

you're talking about really it could spell the end of new york as a major financial center. that's why jim muriel has such a fat smile on his face. i've never seen his smile wider than this point. >> is that really true? is there not an opportunity to trade derivatives in new york? >> can't clear it. >> the cme set up better for that, like larry said. but i don't think it's the end of new york as we know it. banks aren't going to pick up and move. maybe over a 50-year time period and things change but banks have their headquarters in new york. i don't think everyone is going to uproot and go. if we take away the emanuels and barack obama in the equation, it could work. >> how much are you contributing to these campaigns to do this? >> i am broke -- no, that's not true. >> andrew, just take one last whack on synthetic cdos and should the banks be involved in

that trader? just take one quickie for me, budsy. >> larry, what else do we need? we almost had the meltdown because of trading derivatives and if that didn't precipitate the waning of banks trading those, i don't know what will. steve liesman with new developments in the sec fraud case against goldman sachs. could be a big blow for all regulatory agency. the uk lifting flight bands caused by the volcanic ash cloud over europe. ♪

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check out apple which has seen shares rise 16% since the beginning of the year. at least eight brokeages raising price targets. right now it's up, wow, almost 14 bucks. again, better than 5.5%. about 5.3%. >> thank you, melissa. more breaking news here in the fraud charges against goldman sachs. the sec has testimony that appears to contradict its own case against the wall street powerhouse. cnbc steve liesman joins us with details on this. hi, steve. >> cnbc has additional details

about meetings that took place, a former top executive and aca which the government argues in its fraud chase against goldman was misled by the bank. according to documents, hedge fund manager pelligrini met. at those meetings they discussed paulson's retirement or intengs of paulson to short. the testimony contradict a part of the government's own case. the government's complaint unbeknownst to aca at the time it helped to short. however, cnbc -- at least one of the meetings was placed at a ski lodge to shorten the portfolio. government officials asked about that meeting with schwartz, "did

tuiole her that you were interested in taking a short position in abacus? pellegrini, yes, that was the purpose of the meeting. and how did you explain that to her? the government does not mention this information in its complaint and john nestor in a statement says "our case is built on a thorough record with testimony documents e-mails presented in court at the appropriate time." it's possible the government has other evidence contradicting this testimony that they did not know of paulson's short positions. pelgreeny said that he shared the outlines on how it selected the portfolios it wanted. goldman has denied wrongdoing. pelligrini denies comment to cnbc. the deal was structured in such a way to provide upside of $900

million for paulson, the downside of only $20 million to the hedge fund. trish? >> steve, let's back up here. the government saying, of course, the aca had no idea that paulson was going to short here. this testimony, obviously, seems to contradict that. so, might the government be looking at something else that, that would -- i would have to assume that would give them pause to think that aca had no idea. >> i think that's a good idea, trish. could be looking specific or only at the offering documents which do not apparently state that paulson was involved in helping to select the portfolio and other testimony or other evidence to that effect. >> if aca knew, in fact, that paulson was going to short this, should they have had an obligation to tell their clients then? does aca bear some of this responsibility? >> interesting question. what we need to remember about this, trish, aca ended up being a major investor in this deal. of the total size of the deal,

aca took about $900 million of it. i think that's a good question. did aca have other disclosure but it is hard for them to argue as an investor they were burned if, in fact, they were told paulson would be short ed theres a long and soa hort. knowing that there. >> does that not suggest, however, greater cooperation, maybe the wordclusion between paulson and aca in the portfolio selection process?

>> i don't know. i think these are the way things were created. as we reported paulson suggested 123 original subprime securities. aca threw out all of those but 55. >> right. >> there was a process where paulson would suggest aca was drawn, essentially what we're talking about here, larry, this is a long and a short having a conversation on what they wanted to bet on. >> which is fine. i blogged all this and i listed the complaint in my blog so people can see the data you're mentioning. i'm just saying skeptics, cynics would say okay, fine, they had these conversations and -- >> larry, there's another quote. >> should that not have been revealed in the offering circle? >> larry, i agree with that. i don't want to make a judgment. all i know is when you're playing at this level and playing in this business it's hard not to believe that they

knew paulson was short here and pelligrini basically says, look, it issism possible to not know what our position was going to be. >> great reporting, steve. we'll continue to follow this. fascinating case, fascinating story and it's only begun. the mad dash begins, airports across the uk get back to business. paralyzed travel for five days leaving tens of thousands of people stranded. tom aspell joins us from heathrow airport with the latest. >> only takes 1,100, 1,200 flights a day. right now operating at 600. a significant drop as they get their crews back up to work and, indeed, bring some home who had been trapped at airports abroad over the last week or so. now, all of europe normally handles about 28,000 flights a day. today they'll estimate they'll

handle 21,000 flights. so, we're still considerably off the mark for capacity, but also the airlines are telling people it will take them not a few days but a few weeks to get back to regular scheduling. meanwhi meanwhile, the emphasis shifted to how much all this costs and the latest estimate is $1.7 billion. melissa? >> all right, thanks so much. investors dialing into at&t shares and lockheed martin plunging. and hedge funds making a big comeback as the economy recovers. we'll speak with two hedge fund insiders to find out if the wealthy are returning and, if so, what does that mean for the industry? hey can i play with the toys ?

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jert motors announcing within the hour that it will pay back the u.s. and canada $8.1 billion in government loans. the payments are five years ahead of schedule. phil lebeau caught up with ed whittaker right after the announcement. >> we've had a great first quarter. we won't announce our earnings until may. we have great products and we're on our way. >> are you looking at

profitability in the third quarter? >> what did you say? the third quarter? >> i'm not going to speculate. wait till you see our first quarter results. >> invest $257 million in plants in kansas and michigan to capitalize on hot selling sedans. let's send it over to larry and tyler mathisen at earnings central. >> at&t out with its numbers this morning. >> earnings burning the charts here for at&t, pretty good numbers for at&t across the board. they beat the estimates and the stock. let's show the stock moving a little bit lower right now down 39 cents and eps 59 cents cents verser 54 cents estimate. the retiree prescription drugs and the estimates are that the profits would have been 59 cents a share higher even than they were. let's look at some of the movers in at&t.

>> it is a one-time charge. they are all throwing in right now because they have to. >> the business metrics as we look over here, 1.9 million wireless subscribers, that beat estimates new wireless people and that was up nicely beating estimates and broadbound pretty good, as well there. this is a pretty good report. the stock basically flat down 39 cents at this hour. moving on to another one, emc. we have no health care issues here and this is a blowout. 26 cents a share versus 24 cents a share, but the really good news here and why this stock is moving up by 14 cents at this hour is that they raise their full year eps outlook to $1.18 a share versus 1.12. let's look at the earnings history for this company which is a storage company. what do you need? if you like a stairmaster earnings history, there it is moving up, up and up and now they're saying it will go from

this level to 1.18 in 2010. it was trading higher. let's move on to another one, lockheed martin. the stock moving down. why? again, here, we'll find out because the company has said its eps are going to be negatively impacted by charges related to the health care reform. the loss of the tax subsidy with the tax writeoff for that. they reaffirm 2010 sales guidance but the eps guidance down 7.20 and that is the reason it has to do with the health care charges, larry. >> health care charges everywhere. health care, obama care, everywhere. richard adkerson will be on "street signs." over to trish now. okay, thank you, larry. coming up next, billions of dollars being pumped back into hedge funds and their assets are close to all-time highs and whether the wealthy are coming

back into this market. spirit airlines ceo meeting with lawmakers in washington to defend his plan to charge for carry-on bags. what came of those meetings he is live to tell us. >> he's a brave man.

okays stock rebound from their march 2009 lows, more and more money is flowing back into hedge funds. in fact trim hands shows net investments of $16.6 billion in the month of february alone and hedge fund assets are near all-time highs. we're asking whether or not wealthy investors are returning in force to these hedge funds and what does it suggest for investing in this sector? we want to bring in irene and also george, senior managing director at direct asset partners. great to see both of you guys. irene, i'll begin with you. what does is suggest buying into some of these companies that have hedge funds and what does it suggest, perhaps more importantly about the market as a whole? >> trish, melissa, larrae it's great to be here. right now i think the market is going up, so a lot of hedge funds are being by the market. what i think about this many

hedge funds still do long, short strategy and many of them more on the long side, meaning they're investing into, they're going long into stocks. when many stocks go up, it's easier for hedge funds like that to go up, as well. i think we're seeing a lot of it reflected in the hedge fund performance. also, there are a lot of money that has been pulled out of hedge funds in the wake of the crisis. we're just seeing a natural return to that and the times are getting better and everybody feels more optimistic and the housing market is picking up and everything is great. the weather is beautiful, people just going to make their money. so, i think this is what we're really seeing. >> george, does thes mean that fees will go up? >> fees will not go up. they will stay where they are. there is a myth there as far as compression of fees. always when there are large allocations some kind of negotiated fees.

let me just bring this whole growth into perspective. we have about $2.2 trillion dollars in assets right now outstanding in the hedge fund industry and in march alone we saw a move of around $600 million. let me tell you, most of this is price performance over the last ten months and 10 out of the last 11 months you've seen investor flows with the exception of december because typically redemption month. so, a lot of price performance here in this $2.2 trillion market. >> let me break this down a little bit because i think we're talking about a couple things here. irene, as an average investor if i'm someone who is not actually in a hedge fund, per se, putting my money in the hedge fund but i want to invest in a company, what does this mean that more and more people, wealthy investors are piling into something, what does it suggest about stock price? >> well, most hedge funds have capacities for their strategies. what i mean by that is there is only so much. .

you're betting that the particular stock is going to go up, only so much money you can put into the stock. actually by the sec requirements the hedge funds have to disclose if they invest more than 5% of the share, more than 5% of all the shares outstanding in the market. it kind of constrains ouch money can go into any hedge fund strategy. as a result, the hedge funds are closing the funds and because they just, if they don't have any new strategies to invest, they just can't accept any more money because it will be responsible to their present investors. another step that hedge funds can do is raise fees and traditionally, it's been shown to be a very stable model that most hedge funds charge 2 and 20 and a lot of people try different variations. some try 0.5% and some try 50% and some try 10% and 1% and the hedge funds that do 10 and 20 that tend to live the longest. the reason for this, if you take

the median hedge fund with capitalization of about 20 million, according to the latest research. you're looking at 2% in management fees, $300,000 a year and it's a competitive salary for two people. overhead for an office. >> you know, it brings up an interesting point. george, is it more attractive to work for a hedge fund now that scrutnies and salaries and profits are undersiege on wall street? >> well, i think there is a movement and that's been occurring for a number of years into the hedge fund industry where the entrepreneurial spirit can take hold. i think this is nothing new. certainly the idea of having pedigree hedge fund managers is extremely important to investors and those who are forming their own hedge funds, that's for sure. i would say here that there's an even amount of liquidation occurring after this financial fallout we had as far as --

>> not to mention the goldman scrutiny right now. that's something we're seeing. at the same time we're reading reports on the wall street journal that he has a redemption coming up next week and same thing as this focus on goldman and this deal with paulson threaten the hedge fund industry. >> you read my mind. you read my mind on that. just generically, george. if the sec thinks it has found its manhood with this goldman fraud suit, does that mean they come after hedge funds and stricter regulations and all the rest? >> i think the issue here is there has been a definitive move and many hedge funds have this for a long time, accountability, liquidity and i think there's been a huge move about this for the last three or four years and i think that's what investors are demanding. . >> are they going to get it? >> well, investors who invest do

their due diligence and they do see as much as they need to see to invest. absolutely. >> so, the onus is on them, you're saying as opposed to the sec coming in and fixingtop. >> i want to know melissa's question, is paulson going to have trouble here? are people going to pull out? if investors see the sec coming, will they pull out? what kind of influence is this sec new-found manhood? >> i think the investors really are looking at what the strategies are. they're not looking at regulatory issues that are outstanding and external to what is going on in the market right now. they're specifically focusing on being much more circumvent on the strategies as far as the hedge fund managers and exactly what the strategy is. in fact, they're looking at liquid strategies how much they

can negotiate with fees as far as the size that they're getting. i think it's a much more microissue here than a macroissue dealing with the larger picture you're talking about. >> i want you to bring up two points. i agree with you on most points except for the sec regulation. sec regulation and banking legislation, we're going to see two tremendous impacts in the next year or so. in the last couple of days the congress proposed to a banking tax on 50 largest banks. i think we're going to see banks splitting up because nobody is going to want to be the largest and pay a special tax. in addition, the sec has started an aggressive backdoor process for regulating hedge funds, for converting all the hedge funds into adviser through actually high frequency trading because it has received little attention but the firms that trade more than $20 million in equities a

day now to report their transactions to the sec. not publicly traded as opposed to the goldman sacks of the world. find out how one small business buffed the trend. the battle over carry-on fees continues.

welcome back. abbot labs reporting better than expected earnings on booming sales growth for its arthritis drug. citing costs of u.s. health care reform. as a result, abbot is currently trading down almost 2.5%. you can see it right there, $51.75 a share. still off the lows af the session, melissa? we had him on when spirit first announced plans to charge

for luggage and he joins us let's welcome spirit airlines ceo ben baldanza. can you jam this under your feet while we do the interview? it's not a problem. it will be nice and comfy for you. >> 30 inch inseam, it's not a problem. >> would that work? >> this really wouldn't fit under a seat. this would be subject to a charge. but, again, if you don't bring it on, you save $40 on your ticket. >> if you check it for the baggage. >> you met with senator schumer and he's just trying to sort of get his taste. basically, he wants the government to have a 7% fee on whatever it is that you end up checking, right? whatever fee you charge? >> i think that's basically right. the government charges a 7.5% excise tax on tickets and they don't charge it on fees. so, one could take what we've dup as a way to avoid the excise

tax by lowering the fare and paying the fee. now, that's not why we did it. we did it for all the reasons we talked about. lower fares, but his concern is that if other airlines match this, they may match it just for the tax -- >> when you left his office, is he going to tax or propose a tax? >> i think he may and his concern is that other airlines will match this and not have the corresponding price drop. >> will you go to a tea party and protest that tax? >> in generally won't don't like taxes because they raise consumer prices and dampen economic. we still think it's a good idea because it still has all the benefits that it thought it would have but 7.5% less than that. we don't like that, but quite honestly, i think it's going to be a broader industry issue.

>> i went randomly to the website and priced a ticket between here and florida, southwest was actually cheaper. >> you don't see the lowest price physical you're not a $9 fare club member. coming this july we'll show you those prices so you know to sign up. in general our prices for the fare club members are 10% to 15% lower. >> how are the volcano impacted your business? >> well, our business not so much. you know, we don't fly to europe and we don't carry a lot of connecting traffic. so, certainly airlines who fly to europe have been enormously hit, as well as the connecting traffic that would fly in the u.s. at spirit particular, we haven't seen that much. in fact, we may sort of be neutral to even somewhat positive in the sense that people who otherwise may have gone to europe may go -- >> is there an overreaction to all the canceled stories or

flights? >> i don't think so. i think it was an enormous deal. i think for european airlines this was as big as a 9/11 to american airlines. >> are you sticking to your guns? >> if we had to do it over again we would have launched it differently, but we still would have done it. >> how would you have launched it differently? >> here's what we would have done. we were probably the first to announce that we would not allow big carry ones any more. then we would let people argue for a month how terrible that is and come back and say, okay, i guess we'll have to charge for the big ones. >> that's a good idea, thanks so much for joining us. >> good luck. >> trish, over to you. >> just imagine how we would have covered all that "power lunch" coming up at the top of the hour. sue herera, what do you have? >> huntington bank shares up 12%. surprising the street with a first quarter profits. the chairman and ceo will join

us live. senator chuck schumer one of wall street's power players on capitol hill wants to add a bank tax. whether or not that is a move that might backfire. facebook and we will meet the ceo of the hottest company in the social networking space. up next, earth day tomorrow and a lot of businesses failed trying to go green but one is thriving going against conventional eco thinking. heading into this afternoon's trading session, all here on "the call." gecko: all right... gecko: good driver discounts. now that's the stuff...? boss: how 'bout this? gecko: ...they're the bee's knees? boss: or this? gecko: sir, how 'bout just "fifteen minutes could save you fifteen percent or more on car insurance." boss: ha, yeah, good luck with that catching on!

anncr: geico. fifteen minutes could save you fifteen percent or more on car insurance.

welcome back. we want to check out shares of amr the parent of american airlines. the ceo is saying the airline remains regrettably far from sustained profitability. that regrettably far is in quotations. you can see the effect on the stock price down almost four today $8.22 a share the latest trade. we'll head over to diana olick. >> hey, trish. mortgage applications on a seesaw after a big drop applications surged 13.6% driven by refis. a drop in the 30-year fixed from 5.17 to 5.04% pushed refis up nearly 16%. purchase apps rose 10% as we are now nine days from the end of the home buyer tax credit. 20% of sellers on the market today have dropped their asking

prices by at least an average 10% or a collective $23 billion. that according to trulia.com down from 27% of sellers sla slashing prices a year ago. redwood trust plans to issue $222 million worth of bonds backed by jumbo mortgages. this will be the first sale in over two years of private label securities. that is not backed by fannie or freddie. check back with the realty check up next at 2:50. until then go to the blog realty check.cnbc.com. larry? >> thanks very much. as we approach the 40th anniversary of earth day the green market place is awash with failed small businesses. some companies fell victim to fluctuating energy prices while others didn't even know how to navigate the government's erratic incentive programs. "the wall street journal"'s reporter is here to tell us how one company bucked the trend of erratic programs with today's main street business report. >> that's a dramatic intro.

wow. >> i'm so happy. >> i am feeling. >> tomorrow is earth day's 40th anniversary. i wanted to give it a big play. >> there you go. did you it. what is interesting, as you said despite the fact we're all sort of getting a grip on what is this green market place and by one count it's a $722 billion market place going to grow another 28% by 2014 but you hit the nail on the head when you said it's littered with a lot of failed small businesses. people that didn't understand, look, when you make a product that's green you have to have attributes just beyond being green. it has to be priced competitively and also work as effectively. energy kin etics is a company in our own back yard, lebanon, new jersey. they've been making boilers. before you start yawning, these are sexy. these are things that give you hot water for your house. >> sexy boilers. >> they've been making them since the late 1970s. they are highly efficient but this company has never used saving the environment as a rallying cry. it has always focused on when energy prices are high this will

save you money. in the '80s when prices were low this is about comfort. take longer, hot showers. the installation makes the boiler quiet. they've gained quite a following in the northeast and midwest. 20 million in sales. there are a lot of lessons other businesses can learn from this company. i think it's interesting to watch their trajectory. they're also a made in the usa company so this is another chip that after september 11 you'll remember, larry, when the fossil fuel prices were falling, they went out and played this chip there. i think another thing we've talked a lot about government incentive programs thon show and this is a company that despite the fact that they're very skeptical, their ceo says if something cannot pay for itself without some external stimulus, then you need better technology. >> great. >> i think that's a very interesting point and you don't often hear green businesses say that. >> i think it's all interesting. you have a big day for the 40th anniversary of greenie day? >> are you asking her out? >> you can be my date. i'll ride in your hybrid

tomorrow. >> we'll just have a nice little ride together. >> that's right. >> good for me. by the way, folks, don't miss cnbc's original documentary "beyond the barrel" the race to fuel the future. it premieres tomorrow 8:00 p.m. eastern only on cnbc. a quick break and then stocks to watch as we head into afternoon trading. >> sexy boilers. >> okay. you are watching cnbc and we're first in business worldwide. we will be right back.

welcome back to "the call." i'm mike huckman with stocks to watch. man shares are high ther morning after the company reported it made money when investors thought it would lose money in the first quarter. man power provides mostly temporarily man power and today is saying it is seeing increased demand for that service. the ceo said it's been a long time since i've been able to say that by far the u.s. is leading. it now feels as though we are in a classic recovery. i'm done quoting. meantime staying in the help wanted section shares of monster worldwide are rallying for the second straight day.

perhaps spurred by what man power had to say. and the lingering effect of an analysts' upgrade yet. i know how much larry likes to hear anecdotal evidence like that. >> love it. good work, mike! good work, huck. v-shaped recovery on the money. >> that's for us here on "the call." >> thanks for watching. i'm trish regan. >> i'm larry kudlow. i'll see you tonight in "the kudlow report" 7:00 p.m. eastern and "power lunch" is up next. welcome everybody to "power lunch" from v-shaped recovery to pear-shaped anchor -- steve jobs, apples, you like pears? i love apples. 13 broke ranlgs raising prices on apple. the stock, all time fresh highs today. >> yes, tyler has been stealing dennis kneale's red bull.

speaking of winners in the market today huntington bank shares is today's biggest gain inner the s&p 500 swinging to a surprise profit. what are they doing right? the chairman and ceo joins us live. >> i'm dennis kneale. powerful senator chuck schumer now backing the idea of adding a bank tax to the fed reg bill. >> turn up your volume right now because there are new developments related to the sec's fraud case against goldman sachs. steve liesman broke news this morning and is going to break news again right now. steve? >> thank you very much. cnbc now has additional details that appear to contradict the government's fraud case against goldman sachs. the government says in its complaint that goldman represented to a financial insurer that hedge funds in the company would take an equity stake to apparently bolster the impression of the value of the underlying security. cnbc has reviewed documents however showing that a former top lieutenant to paulson has testified that