1,000 times 1,000 times with a typical holleywood camera man earns. how is that justified any more than a ceo pay is justified? >> it is an unfair world. >> tom cruise's value is in

relation to the number of tickets sold. whether you're the ceo or the and you're the median worker of that company. you're impacting, particularly in an environment where everybody is being asked to do more with less. it's outrageous and it needs to change. >> if i could interject. part of the argument is that if you see these outrageous ceo packages, it's got to be bad for the company which means it would be reflected in the stock price. the vast majority of compensation is in stock. if they are undermining the performance, the ceos would suffer. and you really do see ceo compensation track the stock of it all.

a movie production is more than one person as well. and sales has a lot more to do with it. it's all a team activity. i will note, for instance, that the 100 highest paid athletes make twice as much than the 100th highest paid corporate ceos. and we all know that those are team efforts as well. the question is whether we pay talent or not. >> the bottom line is that we need disclosure of ceo to worker pay raises. it was mandated by dodd frank and it's time for the sec to mandate disclosure of this information. ceos should not be paid in a vacuum. that should consider the case structure. >> and both of you proved this is still for all of these years a very active debate. thank you very joining us.

>> but paid not nearly as much as tom. it's usually not a pleasure to fly these days. a lot of people complaining. but now the numbers say the airlines are moving into uncharted territory. air bus down there breaks ground. but right now, phil, give us the numbers on how awful it is to fly. i thought things were an on time performance were getting better. >> they are improving in those two categories. it's not pretty. in the last year, according to the quality ranking, there was a 20% surge in the number of complaints filed with the department of transportation against airlines and the airlines bumped more passengers from oversold flights in 2012. who did the worst a last year? look at this list. at the very bottom is united.

what is interesting is remember last year we talked a couple of times about the computer outages? that came back to bite united. more complaints among all carriers last year. it had those three major computer out tajs which caused widespread delays and cancellations. >> united has not had a good couple of years. because of its merger and the challenges it faces. its executives have stated they are going to redouble efforts on customer service. >> united may have a long ways to go but if you look at the shares, it has been trading in tandem with the rest of the index. who did the best last year?

this is called a tease. we're going to tell you about that in street signs. there is a new name on the list and we will tell you who that is. tiler? >> that is a tease and i feel cheated here. i feel cheated. >> mortgage rates are at record lows. but affording a home is getting tougher and tougher. diana is looking at the trillion dollar headache. >> affording a home is getting harder because more americans than ever are saddled with student loans. in fact, student debt in the u.s. is now second only to mortgage debt and in turn has a

direct effect on getting a mortgage. >> if you look at the average student loan balance, it's about 30, $35,000 per person or per student. so if you take a family of 2, that's 60 to 7 $70,000. that's almost as much as a house. a median price of $2,000. >> that directly hits home buyers like this student who has $60,000 of student loan debt. she had to move back in with her parents and her debt is now affecting the home she is finally buying. >> without the debt, a year and a half to two years earlier would have been the time in which i could have afforded a house. two years ago. and probably something a little bit bigger. >> adding to that burden is the fact that one third of borrowers

on their student loans are delinquent and that will keep them out of the mortgage market for many years to come. and lufkin industries surging.

>> all right. iconn enterprises moving higher this after a possible report over the weekend. look at that, up 8.5%. lows to other companies with an investment forecast. >> earnings season kicking off today. so may the earnings season. we will tell you what they are. what made russian president react like this you don't want

to miss it coming up. ♪ [ laughter ] ♪ [ female announcer ] each one of us is our own boss. ♪ and no matter where you are in life, ask your financial professional how lincoln financial can help you take charge of your future. ♪

>> >> macy's and j.c. penney are back in their battle over martha stewart's home goods after a month's long mediation appeared to have failed.

jeff, welcome. good to have you with us. >> fire it up. you got it. let's go to alcoa. it's been a rough year. is alcoa still a good parameter? or is its business so particular that we can't really draw conclusions. >> it's kind of like batting practice. we are taking a peak at it.

>> the materials index up about 4.5%. the financials are on the backbone of the rally? they both reported before the bell that they were not focused here on morgan. there are the estimates. a buck forty per share. >> shares have performed pretty well over the past year. up 8%. not quite keeping pace with the market but a financial. it's seven cents higher. what do you think about that

one? >> they have really dealt well with the adversity, specifically with the media. i want to buy this lower so we will wait and see but they will give us a wonderful snapshot of the financials in the event this market could be rolling over here. >> and later this month about two weeks from now we get apple. >> right now if you're long am you're playing a game of william tell. you could get shot. it feels like they want to go down to 400 and test those levels.

>> all right. thank you very much. and a programming note. alcoa ceo is going to speak exclusively to cnbc after an earnings release. >> stay tuned to power lunch. a woman who has astounding hair. julia? >> california is about to get an infact of cash. millions of dollars for the public school system and the golden state needs it

desperately. how are they doing it? that's coming up on "power lunch." acceler-rental.

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its position in the internet tv space. now, earning season. it is expected on average to see a slow-down of earnings growth in q1. >> thank you very much. a lot of that has to do with europe. let's check the broader action here. >> you would have thought they would still have the fall-out from that. all trading ahead of the dow. take a look at some of the other

sectors that are up. that helps. weath weather. home builders had a tough time moving sideways. they have been up the past couple of days. finally the one groups on the downside.

>> we're flirting with levels we have not seen since we closed out the year at 1.76. you can see we continue to make strides towards 100, having been up there since the summer of 2009. and the pound versus the dollar stabilized a little bit but it's under pressure today again. til tyler, back to you. >> power ball now opening its doors or teller machines to wannabe winners in california. >> the chances of winning the top prize are literally next to

nothing. that isn't stopping the stream of wannabe winners we have seen here this morning. >> add a few more dollars to the power ball. because you got to be in it to win it. >> it's fun and it doesn't cost that match as long as you keep it under control. >> what does it mean for california? power ball is expected to generate $350 million in sales. it will cannibalize some of the other games so there is a projected net increase of $100 million in sales. 40% of the revenues go to california schools. they will receive roughly a $40 million bump. that is just a drop in the bucket, but there are some other winners. the 21,500 retailers selling the ticket see a boost in foot traffic and in sales according to the lottery association. >> do you play, julia?

>> you know what? i am so blown away by the fact that my chances are one in $175 million, i can't bring myself to buy a ticket. >> and the strategy december tinned to woo you. next. at a dry cleaner, we replaced people with a machine. what? customers didn't like it. so why do banks do it? hello? hello?! if your bank doesn't let you talk to a real person 24/7, you need an ally. hello?

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>> >> we saw a little bit of profit taking from the short covering rally in gold. that happened on friday. below 15.75 an ounce. a lot of traders talking about the bearish market that we're seeing there for gold that did hit a 10 month low on thursday. we're watching what is happening for copper where we have seen a huge number of short positions. and a number of firms that are talking about now shorting

copper, namely bank of america. among them -- copper is actually the one that's up on the session here for today's trade. back to you. >> after a rough year. >> treasury secretary meeting with leaders in europe to discuss the region's debt crisis. one notable absentee, france's minister cancelled the meeting at the last minute. a real no no unless there is a huge problem. >> simon, it's great to see you.

>> now there is pressure on the finance minister? within 24 hours of when this meet something supposed to take place. there still may be some chance of the french trying to salvage this meeting. it has been an embarrassment to them. disrupting france's ability to navigate the euro zone. we have got an important meeting this weekend and other finance ministers will attend to deal with issues like cyprus and portugal and reassure global investors about the future of the euro zone. questions remain as to just how much pressure he would be under and we will follow the situation. we will be in paris tomorrow on the ground and see if there is communication here. if not we can tell you who jack will be speaking with.

>> the s&p has been alternating between gains and losses for 14 consecutive sessions. >> where is the smart money going? rob is chairman and ceo of research affiliates. he has got 140 billion. good to have you with us. >> firstly we expect lofty gdp

>> the gap between what people expect and what's plausible is large, low. >> how do i compensate for what you seem to be suggesting. maybe 4% for stocks. you pick the number. in domestic stocks, how do i compensate for that and get the retirement savings, for example, that i know .

>> that's not that bad an outcome. >> we're living 15 years longer and to do so on. what can't happen won't. what must happen will. what can't happen is honoring these promises. then we owe it to ourselves just as a basic sell for lions to spend less, save more, and plan to work a little longer. >> i know. real return adjusted for

inflation and you point out that even at the record levels we're nowhere near a record in inflation adjusted terms. and you seem to be worried about a future in which inflation will come back. why are you worried about that right now when so many people say we just don't see inflation in the system. >> well, firstly, back to your first observation, the hoopla that attended the s&p achieving an all time record high was -- on one level it's wonderful to celebrate. it's great to see it at a new high. adjusted for inflation, just to match the highs that were at the end of the tech bubble, just to match them we would have to see the s&p 500 rise over 500 points, over 30% from current levels. it's not a record high at all.

>> are you worried about inflation? >> a big worry is very simple. it's the money printing. money printing is not in and of itself inflationary. that's a mistaken view. what it is is an enabling of bad behavior by governments all over the world to spend money that they don't have. and in spending money that they don't have to crowd out the private sector. what part of the economy, public or private, creates goods and services that we willingly dip into our pockets to pay for for ourselves? the private sector. crowd it out and you wind up with fewer goods and services and more money to pay for them. that's inflationary. >> not always one of the most thoughtful guys in the business. great to have you back with us. >> thank you so much. >> back to you. >> an image make over for bank of america. the bank pulling out all the

stops. bank of america's stock has not participated in the rallies so far this year. just under 3% as you can see. what is behind the new ad blitz? kaylaspoke to boa's marketing chief. >> that's the real bank of america. >> it's an attempt for the bank to redefine itself. and while the bank has run adds, it has not embarked on a major blitz since its bank of opportunity slogan.

>> she said the bank had to overcome a few obstacles. they put together strategy goals in four areas. operations, earnings, risk, and capital. of the recent timing, it all had to be a reflection of how well we're operating. we're now in a place where we can speak without as much noise. it would appear that that noise is starting to be quieted. b of a is already one of the best banks. bank of america definitely one to watch. >> we will see if that's possible. kayla, thank you very much. headline time on power lunch. j & j losing ground as j.p. morgan downgrades the stock from

neutral to overweight. it will lead the market in the republic of thailand. >> thank you very much. >> sit a hair raising story that has regulators taking action. do you know someone who is fearing baldness or is already bald? do not move. and russian president is not often shocked but you will see what made him gasp before the cameras and in front of the german leader. plus the battle of the billionaire boats. takes us inside the latest super yacht. >> the largest yat in the world has just hit the water. we will tell you how many football fields this thing could cover and wait until you see how

fast this thing can go. coming up after the break. the american dream is of a better future, a confident retirement. those dreams have taken a beating lately. but no way we're going to let them die. ♪ ameriprise advisors can help keep your dreams alive like they helped millions of others. by listening. planning. working one on one. that's what ameriprise financial does. and that's what they can do with you. that's how ameriprise puts more within reach. ♪

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and should be read and considered carefully before investing. for a current prospectus, visit etrade.com/mutualfunds. >> it >> it takes a lot to ruffle putin's feathers, but his feathers were just ruffled there. a topless female protester lunged at him. they were -- the protesters were quickly turned aside there and presumably put in those cars by the security men. the women were protesting everything from the detention of a rock band to gay rights. let's see the reaction in slow motion. watch. here we go.

there you go. he would later say, and i quote, regarding this performance, i liked it. i did not catch what they were shouting. i did not see if they were blonds, brunettes, or chestnut hair. simon? >> tyler, here is a hair raising story. bosly, the nation's biggest manager of hair restoration procedures has settled charges. >> the market rally has been a wind fall for some but not for corporate pension plans. as of 2012, s&p 500 are carrying more than a 1.5 trillion dollars pension liability. one of the main culprits for

this is low interest rates. what they set aside versus what they are liable for. expects half of its current work force to be eligible for retirement in as few as five to seven years. boeing to address, it will pump $1.5 billion into its pension plans this year. what remains to be seen is what impact rising pension plans will cost as more money goes to be put into the pension funds. >> one person who does not have to worry about the pension. and the world's biggest yacht. we are here to take you on a

tour. robert. >> with the largest yacht ever built made its long awaited debut. here it is launched in germany. the yacht builter, it is 509 feet long or more than one and a half football fields. it's 57 feet longer than the current number one. there is no official word on who the owner is, but the sources tell me it's the royal family of united arab emarits. it's powered by jet engines instead of propellers. this boat can go 34 miles an hour. we're told the interior will be french empire style. so lots of gold. think napoleon if he had a

megayacht. sources say it's more than $600 million. >> wow. powered by jet engines. here and reporting a 10% stake in lululemon. they had to pull some of its yoga pants that were a little too see-through. >> air bus turning up the heat on rival, boeing. phil lebeau is live in abbe goldstein. >> the manufacturing boom continues here in the deep south. this time it's air bus breaking ground on a final assembly plant. how much will it help the european play maker? we will talk about that when we return.

>> thank you >> thank you very much. boeing's arch rival, air bus, breaking ground with a new assembly plant, and there is a lot at stake. phil lebeau taking flight in mobile, abbe goldstein. >> when air bus made this decision, after it lost the competition for a military refuelling tanker plane, that was a huge competition they thought they would win. then they said maybe we should build commercial planes in the united states. 3700 will be connected with that plant here. and alabama's air bus plant and potentially military planes.

>> no comparison. up 85% compared to boeing. >> all right. thank you very much. >> mike rice berating his players and lost his job. his boss, tim perneti was pressured and is walking away with a pretty penny. $1.2 million to be exact. plus an ipad, a car allowance for one year and more than two years of paid health insurance.

does he deserve such a lucrative settlement. >> i don't see it. >> there was no pause. he was not fired for cause. if he's not, then he gets the contract. >> i agree. i think it's too simplistic to say he doesn't deserve it. he is out. the coach is out. we went out and asked people a simple question:

how old is the oldest person you've known? we gave people a sticker and had them show us. we learned a lot of us have known someone who's lived well into their 90s. and that's a great thing. but even though we're living longer, one thing that hasn't changed: the official retirement age. ♪ the question is how do you make sure you have the money you need to enjoy all of these years. ♪

>> back >> back down to the power run down. how good as your flying experience been recently? 12% say very good. 47% say satisfactory and 41% say they would rather walk. okay. >> that's a long ways. >> we got the result of the air quality flying quality thing. should we be more concerned with security over quality? >> i think the big news is that it's changing. you have got an evolution of customer experience being led by jet blue and virgin. you see that and it will become a much more profitable industry going forward. >> the prices are up, the number of planes in the air is down. the food is gone, the drinks are $10, the people are bigger and the seats are smaller and i'm supposed to be grateful? >> welcome to capitalistic

america. >> thank you. >> what do you think of that. >> helping local businesses advertise. >> yeah. the good news is there is more good news. they are finding alternative means of getting revenues. bottom line is if you want quality stuff, pay for it. it's not free. >> let's talk about company provided lunches. should they be tax exempt? especially if workers have no alternatives? what do you think? tax the meal or not? >> i think everybody should pay

their fair share of tax. but if your employers put you in a remote location or high security, no, you should not be charged tax on that. >> my lunch is not edible, let alone taxable, so i don't think we worry about it much. i don't see why. >> we're going to go and take a quick break and be right back. 's right. you can be more confident in your ability to be ready. and the same cialis is the only daily ed tablet approved to treat ed and symptoms of bph, like needing to go frequently or urgently. tell your doctor about all your medical conditions and medications,

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