effectively had already chose end. everyone wants to do this. that leaves iowa and new hampshire the only ones first and second in the nominating contest. we have eight seconds to go. what do you think. up or down on the tax plan will it blast? >> 2018 project. something does happen. >> thank you becky might be back tomorrow >> she will be back. >> make sure you join us tomorrow "squawk on the street" is next ♪ you already for this ♪ good morning welcome to "squawk on the street". i'm carl quintanilla with jim kramer and david faber the dow is lower but the sales pitch for tax reform is on full blast. cohn and ryan on our air moments ago. mild gains in europe

yields don't strengthen. ten year approaching 2.34. road map begins with the tax reform push. >> tech is under fire. senate intelligence committee is calling for public testimony from executives at twitter, facebook and google. another equifax apology. the company's interim ceo shares their new strategy to protect users data first up republicans pulling out all the stops to push their tax reform plan which includes cutting the corporate rate 20. gary cohn said he disagrees with those who say it will cost $2.2 trillion because it will be paid for with growth. >> we think we can be substantially be above 3% gdp growth with what we'll accomplish on deregulation and tax reform >> said i he agrees they would

have preferred 15 but 20 on corporate is a bright red line, a bright line test >> if they were going to do that and do repatriation this would be like speaker ryan talked about. it could just happen the fact is that those of us who have gone through what looks like a plan have no idea what it means. i know they will say wait a second, it's so obvious, jim it's this, it's that nobody seems to really know, even within the committee what it means so let's just accept the fact that yes, when you cut taxes it does spur growth but that's really kind of all we have >> so you would have tried to do just corporate that's a tough political sell. >> they can't get through just corporate. repatriation could have made up for corporate. it will come back to what the speaker said they don't need democrats they have enough republicans. those of us who have gone through tax officials who have asked what about this property

tax. what about the state and local there's a dramatic -- my taxes go up. you think the jersey people, new york people. >> even after amt. >> they most likely do >> even if you go down to 35, no longer state and local the point you're making and we made it before the republican delegation front, california and new york and new jersey could conceivably if they stand in unison represent in getting this done if the deductibility of state and local taxes are no longer allowed under this plan we don't know. then i would assume to take it further why is there -- they keep going down the road we'll use reconciliation get to 52 vote we have 52 republicans in the senate we'll get the 50 votes we need here others wonder whether or not you're going to end up needing more bipartisan approach

>> i'm not talking about my taxes. if you're from one of these high tax states and you're a republican it's almost inconceivable to me you would vote for this without being thrown out >> the concern for states like we're in now or california is that businesses and high earners are going to look for another place to live. unclear whether that will actually take place. do people make change in lifestyle for a lower tax rate sometimes they do. >> they get put on a higher rate remember gary said they may have to do a higher tax rate. you get rid of these deductions you may think it's bad for the poor and big windfall for the rich taxes go up so dramatical lui i can't believe anybody in these higher tax states could risk voting for this. republican or democrat >> "wall street journal" looks at a tax cut with unemployment at 4.4 doeshat for the fed to tighten

faster and does that offset any benefits you would get to growth >> look, i said last night on "mad money". we're fortunately at a rate that's solo that the fed could raise multiple times and it would not necessarily slow this economy. >> even after all the debt, u.s. companies have added over the past say five years. >> i really believe that that's a cry wolf scenario rates are really, really low we got people who are freaking out at 2.3 >> that said, we got cohn talking now -- we got 3% now they are talking higher gdp numbers. >> wishful i just want to step back from the rhetoric i heard this morning. what i heard this morning this will sail through. i heard all republicans are in favor of it. i heard this morning it's great for america. then guy to the tax professionals and they say what is it? could you tell me what it is really serious tax professionals saying could you give us some details.

i don't want to say the devil is in the details >> in this case it is. >> it is i love the fact that they can all pass through everything. >> sparked better morale >> it did. >> our parent company comcast saw some life in it. >> because tax rates go down it's sad but not dead. >> a little more life to the actual stock >> if you're buying stocks on this -- i suggest you just -- one of my lucky numbers is i do 21 when i play rowleulette >> last few weeks or couple months -- i'm just moving on because i want to get to this. a lot of companies have moved on from worrying about tax reform >> that's all i'm saying >> but with this now playing out here and the prospect of repatriation once again there may be certain companies cert n

certainly looking at something let's put the brakes on and see what develops. >> do you remember the last time that speaker ryan said he had the votes for something. >> yes >> yes, i actually do. >> how many times did he say he had votes for health care. do they just like -- there's no -- you can come on air and say anything you want. it's not like wait a second. that study in yale where they zap you -- there's nothing there's no zap remember that study. >> yes >> i think you made $100 >> opening scene of governme ghostbusters >> not "clockwork orange." >> that was brutal you can say whatever repeatedly health care will pass. i just gave you the scenario where there will be a pack to

vote against every republican in a wealthy state. a state that went for hillary clinton. a lot of states went for hillary clinton. i can't find out from twitter. how about the russians twitter >> the house and senate intelligence committees have invited tech giants google, facebook and twitter to appear for public hearings on russia's interference on the election they are scheduled to meet behind close doors with staff today. "time" has a big piece on how twitter with all of its anonymity and exposure to box has gotten ignored in the focus on facebook. >> this resonated more than most when you talk to people about social media this one resonated a lot of people have been saying they are phoney anyway it's really hard to have a phoney facebook entry. >> right >> it's harder you can do advertising as soon as i heard that grows margins have to come down because they need people

you have to have actual humans scrutinizing this stuff. >> scrutinizing a twitter account. same way they were setting up facebook accounts you can set up twitter accounts like a real person >> in particular, twitter doesn't make the case that it's a real person. i'm just saying if you have to hire people, to see where the orders place and what's done, can you imagine what it does to the grows margins of these companies. all these companies are done by computers, artificial intelligence >> facebook? >> alphabet has the same problem. real people to check this stuff. real people to do the job. i'm sure real people can be replaced real quickly by video not my dog they can be replaced artificial intelligence will do the job. >> until we get there -- >> you need people people cost money. the great thing about these companies, alphabet, facebook,

twitter, they do things with machines amazon, no people there. >> plenty of people at amazon. >> analyzing whether somebody is true or not. you don't have to talk to twitter. i don't believe that guy is real >> when it comes to facebook's margins i don't think investors are particularly concerned about how much -- they hire a thousand people it doesn't make a dent. >> grows margins are down .06. sell i'm on those calls >> by the way deutsche not only raises numbers on facebook and the target of 220 from 215 they say their conversations indicate growth and client spend acceleration in 3q relevant to q2 >> i loved that note this is the absolute bull case for facebook to be forgotten which is that people, the advertisers love it.

with the exception of maybe proctor and gamble at the end of last quarter they did cutback some of their spending online. but this piece is about how the money is still going to facebook when i speak to les, he had great numbers, right so there's still money going >> no doubt. >> this facebook piece basically says internal investment in an ad in facebook is really great are you guys members of any groups on facebook like what would virginia wolff do. that was targeted. >> you don't need to join a group. anything you say is put in the algo >> it's wow i was just thinking of that. boom now $1,000 more important. that thermal blanket thing did you click on that. wow i'm cold

>> zuckerberg responded to the president yesterday. said facebook is against him both sides are upset about ideas and content they don't like. that's running platform for all ideas looks like some argue this is when he says that, saying this whole thing was crazy, right that he now regrets. does that set him up for what he says later on. >> whenever you change your mind, there are hearings and this was rather amazing. it did make me feel like wow did they not know this at all? because did they not watch "homeland" did they think they made it up "homeland" knew there was a troll farm there was a giant troll farm in the series "homeland" modeled after the troll farms on

facebook and twitter zuckerberg didn't. >> apparently he didn't watch "homeland. >> that's not where i was going. >> i hear you. what what's wrong you okay >> writers -- >> they are good >> writers >> never mind. the writers from "homeland" -- they do a tremendous amount of research i know novels -- look novels is the only place where truth is told in this country >> novels are the only place where truth is told in this country. >> you want to tell the truth you write it in a novel. >> i'm going to tweet it >> the russians already tweeted it

solzenhinsten already wrote that >> where did the germans get to and stopped on december 6th, 1941 the homestead. >> when we return it's time for equifax's ceo toize for that massive data breach. comes up with a new plan and jason rman we'll get his take we're back in a minute is the monolithic view of emerging markets obsolete? at pgim, we see alpa in the trends, driving specific sectors of out performance. where a rising middle class powers a booming auto industry. a leap into the digital era draws youthful populations

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plain. great. so what are we gonna watch? oh! show me fall tv. check out the best of the best hand-picked fall shows on xfinity x1, online, and the xfinity stream app. thirsty? equifax issuing another apology for its massive data breach this time coming from the interim ceo. in today's "wall street journal" he writes on behalf of equifax i want to express my sincere and total apology over tory consumer affected by our recent data breach

equifax will allow consumers to lock or unlock access to their craig dawson data any time they like richard cordray made news yesterday. >> that's closing the barn door after the horses have left the people i'm involved with, involved with your checking account and savings account, saying that you should put a st stop make sure your bank officers know you do not authorize a credit line. i'm not saying everybody in america should do this i'm saying i did it immediately yesterday because of this hack and that anyone who keeps a balance in their checking account of some size should have a stop put on their credit line because of equifax okay >> credit line

>> you don't apartment credit line that's how people will use a equifax data senator warner said could it happen in a month, two months, three months what you will hear is not from fax fairfax. this is of no value. if you're one of the 140 americans -- where they may have compromised you it's imperative you tell your banker without my personal authorization you cannot offer a crediline with a pin number thhat'at's ws going. that's what they are doing, the hackers are doing. i know this from more just from cyber security people. i got it from the best cyber security people. this is what americans must do with equifax not being talked about by equifax because equifax doesn't need at that reason suddenly why you're calling your bank but that's what i'm being told to do if i'm being told do it i want other americans to do it >> as we're changing your number completely >> just make sure they know there's a stop -- because what

the hackers want to do is get -- they don't want to take $5 out of your account. they want to start a credit line that they can tap that you don't know this is a vital thing since equifax that you didn't have to worry about before it's a brutal thing. it will tax the whole system i'm sure equifax is worried about losing business because of this this is what i've been advised to do. i check my balance every day this is what they are advising me to do another ceo just retired >> we're going to talk about not just chevron's ceo but kellogg ceo as well when we come back. >> he's out. spending more time with family >> we'll get kramer's mad shda as well and we'll count down to the opening bell in a minute

♪ can i kick it? ♪ yes you can ♪ can i kick it? ♪ yes you can ♪ can i kick it? ♪ yes you can ♪ well i'm gone

i mentioned this at the close of the last segment. the long time ceo of kellogg is retiring he's going step down october 2nd as ceo >> he is kellogg >> step down as the executive chairman on march 15th jim, it's kellogg. it's general mills gee, i wonder, tough times in this business. >> three titans of the industry. bryant rosenfeld and king pao they made good combinations, did

a lot right. they've been evisserated by the brick-and-mortar model millennials no longer like it. ken is my age. a year ahead of me in college. it's not like these people are young. >> okay. but they are not old >> it's not like -look that they are done. they are 47. nature's bounty the new ceo, david that nature's bounty that connotes almost hain >> steven catalane will take over and most recently president and ceo of the narcissiture's h and downy. >> when a new ceo comes in is it

more than likely someone comes in and swoopes in. i don't think kellogg will merge with general mills >> when a board made a commitment to a new ceo they give him the right to run the ship for quite some time there's some examples where someone has come in and then the company gets sold. >> people were talking about getting the tailspin numbers of private jets coming to battle creek. >> i remember. >> here we know you're doing special k. that's what special k is me it's a cereal to the younger viewers something you take to have a better time >> is it >> i don't know. >> maybe you do. >> when my wife had her elbow dislocated, wow that felt good >> we'll be keeping an eye on kellogg. not too big of a response.

we'll check on chevron >> opening bell a few minutes away roku going public. my dell small business advisor

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. you're watching cnbc "squawk on the street" live from the financial capital of the world, the opening bell in just about 60 minutes busy morning as we watch the pitch continue for tax reform. from all members of the administration meanwhile puerto rico remains a story. the president waives the jones act effective immediately after seeing some lobbyists in the shipping industry didn't want it done important that these goods get to puerto rico no matter who owns or runs the ships >> yes we had this superstorm sandy when we were out of gasoline in the northeast. jones act is a reason why a lot of our oil cpanies have complained that you can't shipby he way, we ship a lot of oil out of this port big numbers in shipping oil. keep that in mind. oil landscape is shifting so

rapidly, there are multiple reasons why oil may be able to stay above 50. just chatting with the ceo of core labs. the science of oil he says it's for real. he's been a bull >> the s&p is bebottom of your screen autoliv and nasdaq celebrating its ipo, roku. what a journey they had to the public market. price is at 14 top of the range value is at 1.3. >> software side, the hardware side not doing as well amazon coming in after them. not unusual today to come in, see amazon come in after them. amazon coming in hard against drug stores particularly against prescription drugs you wake up every day, a good article on amazon this, amazon that now affecting europe

>> what happened to the mall 8% just gone, tax base essentially knee capped. owners of the mall buy their stuff from amazon. >> my wife and i looked at a piece of real estate on that main drag. we did it seemed ridiculously low she's in real estate and when we looked at it it was just ridiculously cheap and we couldn't understand it then i pick up that article. holy cow everyone should read that article. this is the town that amazon destroyed. >> the de-malling of america thanks to amazon as you said the journal has a story on the effects it's having in europe on retailers there or beginning to even though the stocks in europe have been far stronger, our retailers as you know have suffered >> the economy is coming back there. i think it's ridiculous that rates are solo there

but that's been a common theme of mine. in the meantime europe has been good i've had a bunch of companies in the last few days asking about europe europe is a stand out over and over again with the vm wares stand out with most of the big technology companies that i follow >> in terms of their business. >> business. yeah, business is very, very strong data center businesses are strong europe is really embracing the cloud very quickly >> right >> i know isis could know kris g well in europe >> one of the most important in japan, potential de-listing from the tokyo stock exchange

a lot of different moving parts. they got a deal announced offiallyndre investors such as dell and apple and eagate >> david, will they be able to transfer the money given the fact that western digital has got this suit against them >> it's being arbitrated now internationally, in an international court. >> toshiba says if we get the money we'll be in the black. it's an imperative for japan as a nation to keep toshiba rolling. i thought it was amazing how quickly bain came in and didn't worry about liability. >> and if western does succeed in some fashion, maybe being able to cut-out that business where the joint venture is in place. but it's worth mentioning. clearly something we've been following. >> when i look at the fate of western digital, it must get

bigger and flush because disk drives are going down. why are disk drives going down because flash is so good >> 50 years of applied materials. >> isn't that incredible mr. morgan wrote a great book. great american treasure. yeah >> meanwhile we're a couple of days to the end of the quarter it is the least volatile september ever for the s&p >> isn't that incredible >> we haven't had a positive september since 2013 what does it say we got through this month >> i have a bunch of technicians saying this is the month where things will go bad i'll start it. this is the 30th anniversary of the crash coming up. i know some are hoping if i talk about it too mh we won't have to cover it later. it was remarkable given all the things that happened in the month of september that

nothing -- the stock market basically didn't do anything >> think about this september. this has got to be the noisiest newsiest september i can recall. both fake and real news. but it was incredible. and the market didn't do anything not only that but look at the end everything reversed. oil is just so strong. we stop talking about it the dollar has been remarkable we don't want it too much stronger because it will impact companies that is about to report now we're convinced that there's a rate hike. now leadership of banks, incredibly strong. so it's got your head spinning it's a swivel. i feel it's a lazy susan head i got going. >> what about the flattening of the yield curve. historic term rates. >> at certain point there's got to be credit demand. where is the credit demand the individual federal reserve

banks each one say there's great credit demand. i'm watching this stuff. any rally that's led by the banks, good rally. a lot of good things about your country it says. >> i believe it. >> jim, mcdonald's is leading the dow almost 2%. there's some talk of the "journal" about what tax reform may mean obviously they get a lot of revenue from overseas. >> one of the most amazing things that happened i want people to understand how refrench works >> you had it in mcdonald's. >> i have chevron. blackberry >> down here >> amazon. >> i saw it. >> p and g, the new heinz guys >> does nobody alphabetize this stuff for you. >> i had an e-mail on it the story is the stock was knocked down from 162 to 157

with the report that mcdonald' was going to have surprisingly bad domestic same store sales. this report says they will have surprisingly good same store sales. this is saying they will be on fire 4% to 5%. he can't come out and said but let me just say that if this can be the daniel maul of the surprise attack, close lining that he does this could be a 15 -- could be thrown out of the game >> out of the game >> if mcdon't's does a much better domestic same store even though it was knocked down six points by the story that said it will be weaker, this is it this is just truth and consequences >> bad implications for starbucks which is trying to

plowed its way back. >> i'm waiting for the pumpkin latte and i have to lose weight so i had to stay way from it the pumpkin latte. >> let's report on hain. a couple we follow frequently. he's shown up here they had accounting issues they had significant shareholder activist pushing for change on the board. they are taking credit here for a lot of the changes on the board but the push back from the company itself is we were going to do a big board refresh after we were able to. we haven't had an annual meeting in two years they are getting two seats even though they are claiming credit for as many as six as for this idea that we're for sale, we're not for sale >> i'm not getting that for sale

thing. >> i'm not either. >> someone wants to come take a look >> that's not what we're doing >> doesn't want to sell the company. >> i do feel what could happen some people say the consolidation, were white wave was bought >> without a doubt in the right area. health and wellness. a lot of small product lines unclear whether it will appeal across the board to the larger company. we talked already about kellogg or general mills who have changed ceos or will do so challenging environment there. it was made clear to me this company is not for sale. doesn't mean if mebody comes knocking as they often may, it's possible they will entertain offers but not going to an auction. >> campbell soup is proud of its bold house products.

good salad dressings you're from bring a seven seas guy. >> they also make spaghetti o's too? >> i could live on that. chips ahoy >> i had a wine punch. >> i grew up on that >> don't want to get too estranged from the facts here. campbell soup is the kind of company that can buy them and immediately claim they are much more than just canned goods. but i only mention it because our company could move the needle hain is a whole different group of products that's more consumer product oriented and niche, the kind of thing that he likes. proctor gamble is shying away from it.

buying niche products. >> p and g you have a late take on p and g as we get closer to the vote itself >> i liked them. proctor issued a statement, close your eyes to that. >> yeah. >> anyhow on hain just to wrap it up stock was up came down a little bit >> you just killed it. >> no we didn't. it's a big board refresh going to use this as an opportunity as all these activists do to market they want it to look as good as pointly can out there in the press. why not. if you're an activist and you have success to some extent it will result in assets coming in. true success is when the stock goes up. still well down from when the accounting scandal began or accounting problems. >> recognition remember they did not have to do a true genuine restatement that makes it -- more disorganization

situation, i think one thing we have to mention is that these consumer product good companies have not been faring well with interest rates goinhigh machine saysel sl those stocks machines are in action here. comcast is morose. >> comcast is moribund >> not moribund that means dyeing morose >> it does not rhyme with flower it rhymes with -- >> there was a piece yesterday looking at the stability of comcast, free cash flow related to other immediate okay companies. >> wi-fi servicing >> broadband >> when you have your kids listen i don't have cable any more i have netflix. how do you get netflix >> into a house you need power, water and broadband. >> that's pretty much where we

are right now. mcdonald's helping to support the dow but we're still down let's get to bob pisani. >> a little bit of a flutter market leadership is still intact let's look at the sectors. banks made a big come back this month and they are leading energy has made a big come back. those are your turn big turn around plays health care good we know what's going on with interest rates they are to the down side. i'll have more on what's going on with september tomorrow but some obvious trends going on in september that i think is important. the reflation trade is back a little bit we've seen global inflation readings overall china and other countries. higher oil prices. global bond yields rising. u.s. tax cut talk. throw this all in as general

reflation trade going on that's the main thing for september. as you see what's happening with the russell 2000, it's far outperformed the s&p it's up about 7% this month versus the s&p 500 up 1.5%. one month. russell is the white line. that's largely a tax cut issue some is the reflation trade. we'll keep an eye on that. hurricanes, more companies are coming out with comments southwest air lowered their q3 revenue. sherwin williams cut their guidance earlier in the week and last week carnival cruise cut some numbers. dr horton cut some numbers carmax closed. autozone closed a bunch of stores fedex had a hit. and cintas how big is this all in aggregate? not quite clear whether this

will materially affect the s&p 500 situation for the third quarter. we're expecting a growth of 6% in the s&p 500 for earnings. this is down a little bit from prior quarters my suspicion is based on these numbers they are providing, these companies are providing, not a dramatic hit to the overall s&p 500. however, i am quite sure there are companies waiting until their earnings actually come out before they make comments. this may be insurance companies as well. let's just see i can tell you right now today if you look at southwest and sherwin-williams, the stocks are not affected by the announcementsthemselves. let's talk about the ipo roku, $14. high end of therange that's a unicorn 1.3 billion overall. float 220 million. but only floating about 10, 15% of the company opening on the nasdaq in 45 minuteor so. the of you who love to talk about corn cutting, this is it

roku is the ultimate play on cord cutting 15 million active user accounts and it's growing growing nicely 50%. here's the down side it's still unprofitable. you know the competitors that's out there. amazon is there. apple is there even google is there keep an eye on that one when it opens in 45 minutes. carl, back to you. >> we did get some gdp this morning from rick santelli let's check in with him at the cme. >> most of the day this morning wasn't bad as a matter of fact i like seeing some of the bills and inventories. let's hope that translate into actual sales all these things have positive implications about gdp they look backward on gdp, grasp an extra tenth 3.1. third quarter isn't f.a.i.r.ing that well at least as you look at areas that handicap that. ten year note yields are up a

little bit as are 30s. basically all sovereign yields especially long are up one week of tens should we close here hovering at the highest yield since the 25th of july. let's switch gears and move to bunds. see that 50. that's significant right now as it sits look the highest yield closed since august 1st we haven't closed since above 50 since july a lot of different sovereigns. jgb. they manage to manipulate their fixed income sovereign market more than. 30s and 40s escape that. year-to-date, jgb is under 90. lofty leve 40 year is about ready to take out it's 110 close for the year. hovering at 109. if you look at the front starting on august 1st you can see there's upside pressure there's. everybody is marching together here it's how it's calibrated with

respect to the scaling and relative value trade between inter sovereigns and euro versus dollar the ecb president was on with me but the euro has been down every day. back to you. we'll check in back with you later on roku making its public debut today. we'll bring you that opening day. dow is down 16 minutes we're back in a minute is the monolithic view of emerging markets obsolete?

at pgim, we see alpa in the trends, driving specific sectors of out performance. where a rising middle class powers a booming auto industry. a leap into the digital era draws youthful populations to mobile banking and e-commerce. trade and travel surge between emerging markets. everyday our 1,100 investment professionals around the world search out opportunities for alpha. partner with pgim, the global investment management businesses of prudential.

tonight will and grace returns to nbc after a decade off the air. it enters a much different entertainment world. more shows growth of streaming and our digital series binge we ask the creators about today's content world. >> hey >> does it make it more

challenging. >> we're not watching will and grace. it's not there and if you decide that this is the kind of thing you like it will be there. >> people have 24 hours in a day, right >> yeah. >> i'm wondering, people have to make decisions it gets harder and harder every day. you have to watch this what will i watch? >> there's so much stuff on every single stripe and kind how do you compete in an over crowded marketplace. to that i would say there's a base, there's a precedent. there's roots. and i hope people just want to live there again that's what it comes down to not here's the latest thing. here are old friends >> interesting content decisions on a day where amazon will stream its first nfl game tonight, jim >> yeah. it's very sudden glad you got this interview.

one of our absolutely favorite shows. "this is us" is big. it's all overlooked because we are convinced the networks don't know how to produce content which is nonsense. just nonsense. >> we'll get mortring e adwith jim. dow is down 20

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i want to hear from dexcom we have the hottest stock which is thor. it's a hammer on the short recreational vehicles. it's a big deal. and then one of the great american companies, equipment stocks have been red hot i can't wait to speak. so i think we have an exciting show tonight >> can't wait, jim >> "mad money" 6:00 p.m. eastern. when we meacco bk jason furman on tax reform in a moment. duncan just protected his family with a $500,000 life insurance policy. how much do you think it cost him? $100 a month? $75? $50? actually, duncan got his $500,000

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♪ good thursday morning. welcome back to "squawk on the stre m carl quintanilla with susan eisen and david faber. we're looking at our first positive september since 2013. >> our road map for the hour begins with tax reform on the table administration and house republicans unveiling their proposal cfos from two different industries will join us. >> leadership changes being announced at chevron and

kellogg. we'll give the details >> amazon getting ready to kick off its nfl streaming. what the move means for the company's stock price. trump administration and republican lawmakers unveiling their plan for tax reform. the proposal would provide cuts to corporations and individuals. we go to washington for more details. >> reporter: we're getting early estimates of how much this tax framework from the big six would cost $2.2 trillion. that's the number from the center for responsible federal budget loss assumptions are baked in there. this plan doesn't have a lot of details. it's way bigger than senate republicans had in mind. they are looking at a $1.5 trillion deal and the house had planned for it to be deficit neutral. so it's going to be hard for them to get these numbers to work on our air earlier this morning,

gary cohn said that he does not agree with that analysis because it doesn't factor in economic growth he also emphasized 20% corporate rate is nonnegotiable. >> we would have liked to start lower and given ourselves at negotiating room we're at 20. 20 is a bright line test the president said it yesterday. he's very clear. we're not going over 20. 20 is the top of what we're willing to go on the corporate tax rate >> house speak paul ryan was on cnbc and in the past he had given a range of low to mid-20s for the corporate rate but today he said republicans in the house are committed as the white house to holding the line at 20% guys, we'll see where it lands back over to you >> a lot more to come, of course president trump unveiled that tax reform he promised tax cuts and econom boost for middle income earners they will bring.

paul ryan speaking to cnbc earlier called the new plan a game changer take a listen. >> there is not another thing we can do in congress, in law that will do more to grow this economy, lift wages, help people get a raise and bring confidence in our economy and hit that 3% growth average we used to have than doing tax reform. this is it this is the game changer for our economy. >> we're joined by jason furman former white house counsel of economic adviser and mark summerland mark, i'll start with you. it's been a while since we had a chance to talk all interested to hear your thoughts i'll give you the broad opening here i mean has this thing got a shot and what do you think about the plan as what we know at this point. >> it definitely has a shot. taxes are home for republicans this is the plan we were hoping to have in february. we now have it in september.

it's a little late but it does what is the most important thing that we need and when you look at tax, the big question today is are companies and capital trying to come to the united states, or are companies and capital fleeing? we simply need to correct that system back in 1980 the typical corporate tax rate was 40% and now it's about 20% around the world so we heard this morning director cohn, speaker ryan drawing a firm line around a 20% corporate tax rate which would make us competitive again with the rest of the world. >> jason, i assume you embrace another view here. what are your thoughts particularly given the $2.2 trillion some are citing in serls of not being paid for? >> we need to reform our tax code we need to bring the rate down mark is absolutely right everyone else in the world has lowered their rate while we

haven't. but we should do it in a way that the house started out, the white house started out, that senator mcconnell started out and business roundtable started out. all four said it should be revenue neutral, not adding to our deficit. 2.2 trillion is an enormous amount to add to our deficit the debt to gdp tio today is twice as high as what it was when marwas back there cutting taxes. the policy may have made sense back then. can you debate the pros and cons makes no sense now while adding to our deficit there's much better way to reform the tax codes than passing a burden to the future we won get that 3% growth that speaker ryan is calling for if we have these big deficits weighing on us that will outweigh any economic benefit. >> jason, the democrats have become the party of fiscal discipline and everybody sounding the alarm about the

deficit. where were the democrats and liberals over the last eight years? >> where were they the affordable care act cut a trillion dollars in the second decade the tax rates in 2012 cut a trillion from the deficit. i've done an awful lot of deficit reduction. balanced the budget for four straight years this is an issue i cared about an issue that democrats have cared about. again, all i'm saying is why don't we do this the way that every one of those republicans, white house, congress, business community as recently as six months ago said we should do mitch mcconnell is out there saying he couldn't do this by adding to the deficit. you won't find any serious economist out there that says this will generate enough growth to pay the $2 trillion cost. no one thinks that it will be added to the deficit. that's a big mistake

people should speak out. it's the wrong thing to be doing right now. >> mark, your response to that your one of those that believe it will get above 3% gdp growth and pay for it self? >> in the first year or o you can certainly get above 3% gdp growth over the longer -- >> i don't disagree with that. >> over the long run it depends how much higher capital stock you get that bleed into productivity growth and bleed into wages i'll give you a couple of numbers to put this in perspective. one, we're expected to have 240 trillion of gdp over the next ten years under cbo. so these are -- we deal with big numbers. some of them sound scary second, by cbo's own rules every tenth percent of growth you can get aedes about 300 billion in revenue over a ten year period so while jason is right that tax cuts do not pay for themselves and i would expect in this process as it goes through the

senate and as it goes through with deficit hawks the plan will shrink in terms of the impact on the deficit and it should. but you can certainly, if you can actually make the plan work and get higher growth that's the most important thing >> what do you think from a legislative standpoint -- >> as it goes through the process what's going to sling is the offsets in this plan so far you put out border adjustment, you float different things, they get shot down it's the offsets that will get shot down. maybe we'll add some gimmicks in the legislative process to mask the cost but the costs won't go down you heard the 20% rate is nonnegotiable. >> i hope they do a bipartisan approach when i was there in 2001 and got to be on the negotiating team for the tax bill we got 13 democratic senators on board which was an important part of why the tax plain, stayed most

of it over time. that doesn't seem to be where they are going thiti around. and when they need to hold 50 out of 52 senators, the reality is they will have to deal with the deficit hawks and the number will come down below a trillion dollars when all is said and done >> that's the key point isn't it, mark trying to go this alone one reconciliation and cobble together those 50 votes will be very difficult jason, do you see any hope the last administration tried to get some sort of bipartisan deal done to bring down taxes it went nowhere. is there any expectation on your part as mark alluded to they will get to some i solution here? >> i would love to see that. as i said at the outset i won't defend the tax system we have now especially on the business side it's indefensible what i wish you had seen is the way tax reform happened in 1986.

one treasury put out a serious plan hundred of pages long. lots and lots of details about the offsets that's very different from what we've seen here and, two the ground rules were set from the beginning and it was revenue neutral and distribution neutral you can get a lot of democrats on board if you say revenue and distribution neutral from the beginning the plan is to cut taxes for high income households, raise the deficit and that's not something you're going to get a lot of democrats on board or you should because ultimately that would hurt our economy. >> yeah. well we got a lot more details to come and a lot more wrangling to come. thank you for joining us now i'm sure we'll talk again soon >> thank you very much meantime the federal reserve vice chairman stanley fischer making his final speech before stepping down early. it's coming next month

steve liesman has the news >> speaking in london what's his final speech central bankers should be vigilant the kind of words you expect from a guy who is known for teaching other central bankers. here's his last quote. history and financial markets are masters of the art of surprise and never say never because you'll sometimes find yourself having to do things that you never thought you would. he's talking about things like getting into quantitative easing he makes one last pitch. his criticism of dodd-frank that he thought took away too many tools from the fed to fight the crisis they are not large and battle tested i know you know stan fisher and i think you're not surprised that this is the way he would decide to choose his last words as vice chairman my guess we'll hear from him as a civilian >> it's interesting we heard that same message from janet yellen at jackson hole after

stan fisher has been warning not to roll back too much of the financial regulations. very much a topic du jur in washington >> they think too much was taken away from their ability to act this is what the critics of the fed have claimed is the price of them acting, even though they thought they had to do it and do certain things, to save the banking system there's a political backlash this is the eco of that backlash >> steve, thank you. steve liesman on that speech when we return the president waiving the jones act. juanet a live report from san take a quick look at stocks. dow is down. dow is down. we're down 29.

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plain. great. so what are we gonna watch? oh! show me fall tv. check out the best of the best hand-picked fall shows on xfinity x1, online, and the xfinity stream app. thirsty? >> president trump waiving the jones act restrictions for puerto rico for ten days which allow foreign vessels to ship from american ports into the territory. shipping companies are protesting that it will make the problem there worst. let's get right to contessa brewer >> reporter: good morning. we're just wating this cargo ship coming in to dock here. it is loaded with those cargo containers full of supplies for puerto rico. supplies that people desperately need they say they are feeding their grandchildren crackers no running water

can't get fuel look at this there are 3,000 cargo containers here, one of the biggest shippers in puerto rico. these are refrigerated units each one of them operates on a generator. crawly is now 4,000 gallons of fuel every single day to keep the operations here at their terminal up and running. but truck drivers can't get to the terminal to get their container out. each one of these has medicine and food, construction supplies, building equipment and all of that needs to get to puerto rico at this point, though, we're looking at truck drivers who can't be reached by their businesses, by cell phone. they don't have the gas to get to work. even when they do get to work their semitrucks don't have fuel the problem is the supply chain. here's what the executive pror crowley told me about the problem. >> people of puerto rico are fighting hard but there's no way

we're going to be able to do this by ourselves. we need much more support from the federal agencies right now we ask that the trucking companies that in a way that's possible please come and start moving the cargo here because we need to make room in order to receive the cargo that's on its way. >> reporter: i just wanted to give you and example of the grocery stores 226 supermarkets around the island ready to open but don't have diesel for their generators at crowley terminal alone, it has 104 containers here. another distributor has 114 containers walmart has 70 containers. they are stuck when you talk about lifting the jones act the executives say how will that help it's not that we don't have the supplies we have the supplies we don't have the distribution channels to get them from the

terminal off site and oh, by the way they are running out of room look around. no more room left to put containers here. it's all fuel. the problem is how do you get the supply chain back up and running. diesel fuel is one of the big missing links here >> contessa, if you're able to get fuel there, via shipments somehow is the bottleneck or is it the drivers, if you get drivers are the roads passable >> reporter: it's a great question first of all here's what crowley executives are telling me. they say the problem is not natural there's no fuel. there's fuel plenty to fuel recovery on the island the problem is distribution. they got security issues they got federal agents guarding the federal distribution centers. they got a requirement that there are two armed law enforcement officers accompanying every truck to deliver fuel to gas stations and

issues with drivers. got to get the drivers from their homes to place of employment that takes gas and cell phone communication and then you got to fill up the semitrucks so they can come pick up these cargo containers and move them to the distribution center one problem that they haven't addressed is how you get the shipping containers back to crowley, back on these ships, back to e united states so they can be refilled with re supplies they are not even there yet. first they have to make more room >> contessa can i ask a broader question of what you've seen so far the devastation in puerto rico the economic problems have been well telegraphed $74 billion in list. a recession. the list goes on and on. you've covered recent hurricanes in houston and florida that if puerto rico didn't have such deep economic problems and maybe some representation in washington it would have been better prepared for a category 4

hurricane? >> reporter: the pro state folks in puerto rico are making that point. this illustrates why we need to be considered a state and considered on the same level as florida and texas. there's resentment about that here on the ground in san juan itself, there are businesses that are operating on generator power and they are serving food and they got refrigerators going and microwaves and all of that as soon as you leave this area and we haven't been able to. fuel is in short supply, news media have to be very careful how we spend those resources when you get outside of the city center, the situation becomes dire very fast let me give you and example. people who live uphill need their water pumped there's no fuel for those pumps. they have no running water the distribution supply chain that would be getting bottled water to them is broken. the bottled water is all sitting

here at the terminal >> contessa brewer, it sounds like a logistics nightmare a multiple of what we saw in rveynd irma. unbelievable story we'll come back to you contessa brewer is in san juan when we come back amazon is getting ready to kick off its nfl streaming. the company announcing some new products 'ldiuss what it means for the stock. the dow down 22 points "squawk on the street" continues in a moment. from prudential. look forward to your 401k plan.

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amazon is set to stream its first nfl game later tonight as it kicks off its streaming partnership with the nfl for more we're joined by amazon analy analysts a lot of news between the game tonight, the echo refresh yesterday. what does tonight mean, if anything >> i don't think it will be meaningful just part of the strategy that amazon is pushing, getting deep into the home with devices as well, getting more traction in the home voice acty indicated devices

just pushing further into it and being competitive with apple, with microsoft as well and aws as well as with netflix. >> from a production standpoint tonight, in both engineering and just shine, packaging what do they need to do and how does it need to compare to what twitter did with their games >> they obviously just need to make sure that the feed is flawless and high resolution is not interrupted in any way give the customers what they are looking for sway high fidelity feed uninterrupted and that should go a long way >> we talked to mark cuban earlier in the week nothing come fires sports or any production the way it appears on television, broadband is just not that reliable. is tonight a test of sorts >> i think that test was already answered to victor's point earlier. twitter feeds last year were autiful.

from an infrastructure capability, amazon every bit as good as twitter if not much better because of their assets in the cloud i think it's more consequential, though, in terms of their advertising strategy what they are really doing here and testing here is a way to attach attribution to the, the linear ads and show correlation between brand marketing in these type of events to where they generate sales that's the bigger picture. this is a small test and a starting point for that strategy >> the twitter feeds may have been beautiful but they only averaged 266,000 viewers i think if you compare that to a thursday night football with 15 million it's a tiny fraction what do you think amazon will do differently to get more? >> yeah. i think one they have a lot more audience already watching amazon prime video than people were tuning into twitter. there's a bigger base to draw from it's going to take a long time

for these digital only feeds to rival the broadcast audience that's years away. we'll have to start with small numbers. i expect amazon will do somewhat better but still not blowing down the doors down in terms of audience numbers >> how do you feel about the stock? >> i like it in three years, if the current trends persist which is taking market share, aws, market gains in advertising, he sees amazon becoming a force in advertising, ai across the different plat forms in the home, entertainment, i think they can become in the next three years, they could supplant apple to be the largest market cap in the world. >> you're almost out doing rob here in terms of positives but i'm not quite sure he did. you know, you are seeing a $1.6

trillion market cap. what's the reaction from clients when you say things like aws will be the largest, i think you said the most valuable tech company. >> you get some attention. people are interested in this framework in the way of thinking about it because amend azon is challenging stock. they have some of e best reinvestment opportunities available in theorld why would they show earnings, pay taxes and grow a balance sheet. at the same time we have to have an understanding and at least a framework for where they are going and what this might be worth. there's quite a lot of interest in that note and that analytical framework illustrating for what it could become. >> there's various reports about what they might want to do with pharmacy management, buying stores down the road to complete their programming offerings.

are they done buying big things. >> no. this continues over the next decade amazon will continue to invest in category expansion, pharmacy, continue to invest in video. amazon will become all things i think to everyone over the next decade >> the they are of them being the only retailer, you think is l legitimate >> i think so. a few years ago i was pitching amazon would be disruptive to retail companies mostly in the u.s. he'll see that internationally as well. across retail, across advertising, aws and technology amazon will become a dominating force. it will cost them. it's a tiny cost amazon will have to pay. revenue growth will continue to accelerate and you'll see leverage and margins expand. >> rob, let me end on that note. he just said all things to

everyone is the risk for amazon then one on the regulatory side when you hear the way you guys describe its potential dominance in numerous businesses you have to start to wonder whether that argument of a monopoly will gain credence and perhaps that's the road block >> i think that's true for a lot of the mega caps in the technology and internet sector as they just grow more and more market power looking at the regulatory policy i think that would require a policy change and that's not out of the question, but within the current framework there really isn't harmful things these companies are generally promoting good things for the consumer they are not intentionally stifling competition there are policy frameworks for not discouraging companies from being successful maybe there's a policy framework

modification in the future but under the current rules it doesn't look like there's any harm being done and amazon's share of overall retail is still very small >> under the current rules that's the key in that sentence. thank you guys good discussion. let's send it over to sue herrera. good morning >> good morning. here's what's happening at this hour the department of homeland security has waived the jones act. that lifts shipping restrictions for puerto rico for ten days because of the impact of hurricanes irma and maria. widespread devastation has caused a lack of electricity, drinking supplies, food and gasoline airline passengers around the world were delayed or prevented from checking in due to a software failure. the spain based company which provides the software confirmed a networking problem caused the disruption ryanair scrapping 18,000 flights in a second round of

cancelations following the airlines admission it messed up the scheduling of pilots vacation and playboy founder hugh hefner has died he's credited with ushering in the sexual revolution in the 1960s with his men's magazine. he's survived by his wife and four grown children. he was 94. that's the update. i'll send it over for the inventory port >> department of energy reporting an injection for natural gas vince up 58 billion cubic feet less than expectations and also substantially less than we've seen for the three year and five year averages. prices were trading a little bit lower here and they spiked all the way up to 3.06, close to

3.07 this price has backed off the 3.15 high we saw traders anticipate once this unseasonably warm weather starts to back off natural gas prices will go back down breaking $3 again. that cube few weeks away back to you. >> thank you and when we come back ceos taking on tax reform we'll be joined by the heads of two industries to discuss the impact of the recent gop proposal plus two big changes at the top. chevron and kellogg announcing they are getting new ceos. we have the tails for you when we come back new mass transit. new business friendly environment. new lower taxes. and new university partnerships to grow the businesses of tomorrow today.

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president telling indiana crowds about his new tax plan last night which includes lowering rates for corporations and businesses gary cohn speaking with cnbc earlier this morning on the benefits of a lower rate for american business. take a listen. >> deregulation is important and

we're running down that path we're making it easier for businesses to operate and expand in the united states but more importantly our tax plan will drive growth if you're looking to invest capital in the world or looking to start a business today and you look at our 35% corporate tax rate versus the rest of the world you wouldn't choose to invest in the united states. if we lower that to 20% you start with a 15% tax advantage where we are today that becomes much more enticing for you to want to operate out of the united states >> joining us to discuss, american apparel ceo and, another ceo. we want to talk winners and losers specifically in corporate america for this plan. the retailers didn't get the border adjustment tax. they pay among the highest tax rates that's mostly domestically

exposed. are they the biggest beneficiaries. >> retailers are thrilled. our consumers are thrilled there's no question about it this could be good for us but don't mistake it, we do have some question marks. >> what's your biggest questions? >> well, a couple of questions you know, president trump has been very voluntacal. we did defeat the tax. but there's the figgy pudding strategy there's concern. what if nafta were to implode. what if chorus implodes. we would raise prices. >> you're talking about concerns away from the tax field.

>> no. there's no pain for the tax field. that's what bothers us is there a back door pay for we want to make sure we'll take the tax cut put more money in our consumers pockets but watch out, watch out for that back door we don't like this reconciliation process that speaker ryan was speaking about this morning because it's private. we like public we want everybody to know what's going on those are our concerns in a nutshell >> frank what about the tech world? for those technology companies that keep a lot of cash overseas are you expecting trillions of dollars to come back on shore or is that an exaggeration. >> i've and about proponent of corporate tax reform for a number of years. and i thinit's defina very big positive for u.s. based global companies because it allow as much more balanced competitive world. because the tax rate right now

35%, the highest tax rate in the world for corporations having the ability to have a lower tax rate enables many technology companies and companies in general to be more competitive globally >> yesterday the head of met life had an op-ed in the "journal" in which he says as long as tax rorm doesn't threaten by company's business model i support it do you see this environment where everybody looks at the collective good even if it's a bit of a sting to their own sector >> it can be a sting people will look for the elective good. we all believe -- let's face facts. we're among the highest taxed country in the world, except for maybe emirates and chad. you take it, we want it. we want to make sure it's done right. we'll be gender neutral on this. every division, every company, every sector will take it. but let's be sure we do it right. >> highest tax when it comes to

corporate. >> yes corporate. >> frank when it comes to the actual expectations you have in terms of epatriation, what we'll see and what will take companies to get their money back what's the right formula >> combination of lower tax rate and repatriation back to sara's question. that will bring us significant amount of cash to the united states and most companies, my company has been a part of and other companies, ceos and cfos have talked about making investment, creating jobs in the united states because they will see their business -- >> not just the buy backs. >> they've had trouble accessing cash why would this incentivize them. >> it will provide additional amount of cash a lot of that cash is pretty much stuck outside of the united states having that cash and making that investment in the united states, helps the economy, helps businesses, so i think it will

be a major advantage for the u.s. economy and i think also for the global economy >> what if this thing is ten years. what if it sunsets does that impact businesses long term decisions >> my understanding of what's being proposed and of course it will go through various stages as part of going through congress, this is to be more permanent. that's more important here not to be a short term couple of years. it's important to have a change over a longer period of time tax law hasn't been changed for many decades >> we'll see we'll have you back on thank you very much. we're watching roku today. started trading at $a 14 a share. as you can see nice opening trade up 13% to 15 and change. we'll watch that dow has gone green despite being

down from 5:06 "squawk on the street" continues "squawk on the street" continues in a moment. i'm here at the td ameritrade trader offices.

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following the back and forth on the proxy battle between peltz and p and g. nelson peltz won them over after launching a proxy battle p and g spongd, the board thanking the alumni but saying they are not taking the easy way without and conducted their own due diligence to conclude that peltz is not the best solution for the bod. more back and forth on that let's get to the cme group

rick santelli in chicago with the santelli exchange. >> good morning. i want to welcome my guest, charles mellard. welcome, charles >> glad to be here, rick >> listen, we're in an interesting time in the country. we're trying to do tax reform and there's a lot of detail here we want to hear the cbo, many on both sides of the aisle want detail how it will look five, ten years down the road but it looks like an exercise in futility if you learn a lesson from minnesota went through. they changed some rules regarding pension liabilities. tell us, charles >> the government accounting standard and gasby said you could use your expected rate of return to value your liabilities.

so almost nobody would actually want to value their liabilities today at 7.5% but most public plans have been at somewhere around 7.5%. for a corporation rates go up, go down, liabilities go up and go down because the interest rate they use changes. so gasby said we can't do that 7.5% is too high so they made it lower. suddenly what looked like, let's say, a trillion of under-funded which is an enormous amount anyway for public plans is nearly 1.2 trillion of underfunding minnesota still owes the same per year but the present value calculation of it has changed. >> right additional 6,000 forvery man, woman and child in the state of minnesota. to me what is a big issue here is that we're talking about taxes and trying to get a fine pencil but in the big picture we need

to address this. many states can't go bankrupt. how is this all going to end especially at a time where government treats this issue in their own backyard so much different than they are treating the taxation of its citizens privately? >> it's a great point. great point. it's not really a ticking time bomb because it won't explode. more like a slow leak and that tire will go flat. about ten years ago philadelphia spent about 5% of its budget on pension and retirement today it's about 15% so that's either a 10% budget cut for everything else or a 10% tax hike in a city that can't afford a 10% tax hike. where we're talking about federal taxes which of course is important you need to realize if you live in philadelphia and many other cities have similar robs, if you don't do something about the pension liabilities, it's the same thing as having a tax hike or a budget cut >> exactly taking it a step farther what did we learn from the credit

crisis uncle sam takes responsibility for a lot of things. so in that regard we're now trying to lower taxes and i one it's a jolt for growth but in the end this issue is going to force higher taxes because the federal government most likely will have to get involved. your final thought is that something we should worry about? >> i don't think there's any room for the federal government to actually step in and bail things out people should understand cities can file for bankruptcy and states cannot. some of these pension liabilities depending on your state perhaps could be cut bust most can't have to be paid. people need to be putting their contribution in now. gasby makes a rule, called your annual required contribution the problem is the word rewired is just a word and if states don't make their contributions they will make this hole deeper and deeper >> charles, it's really a frightening topic. we need to get some of these

things on automatic pilot under control. david faber, back to you now it's time to send it over to mr. ford for what's a ls coming up on "squawk alley." john >> facebook, google, twitter, now asked to testify in front of the senate intelligence committee as president trump pressures facebook atrk zuckerberg responds wh's silicon valley's next move we'll look into it next on "squawk alley"

another big secret of season lives of the super rich premieres tonight. robert frank joins us with a look at the ultimate condo tower for car lovers hey, robert. >> we're going to take you tonight to the porsche design tower in miami it's got a high speed glass elevator for your car, so you can roll it straight into your private residence in the sky check it out somebody can drive in this building, pull into this little secret chamber and the whole car and you are whisked up to the apartment. >> that's it just an elevator ride home

>> gil is the developer behind this porsche lover's paradise and his idea >> the deservator. >> while residents don't have to own a porsche to live here, gil says an appreciation for the german roadster is a must, as it inspired every inch of this beach front building >> i love their look, i love the aesthetic. i said it has to be in the building >> aside from the deservator, residents can enjoy a state of the art spa, private restaurant, and a racing simulator dreamed up by the porsche design team. that building is sold out, including the $32 million penthouse, which just went into contract that's got 20,000 square feet and room for your 11 cars at the very top of that building. guys, back to you. >> love it the deservator why shouldn't your car have a view of the ocean?

>> exactly >> robertfrank, thank you so much when we come back, black berry reporting an unexpected profit the stock is up 13%. the ceo of blackberry, john chen, wi be lljoining us next on "squawk alley. don't go away. is the monolithic view

of emerging markets obsolete? at pgim, we see alpa in the trends, driving specific sectors of out performance. where a rising middle class powers a booming auto industry. a leap into the digital era draws youthful populations to mobile banking and e-commerce. trade and travel surge between emerging markets. everyday our 1,100 investment professionals around the world search out opportunities for alpha. partner with pgim, we take you to washington, d.c. steve scalise making his first appearance on the house floor since being shot june 16th in virginia on that day, taken to the hospital in critical condition and 106 days ler is back at work take a look. [ cheers and applause

[ cheers and applause [ applause ]

>> the chair wishes to mark the return to the chamber of our dear friend and colleague from louisiana, mr. steve scalise [ applause ]

our prayers have been answer his bravery and his family's strength have been such an inspiration to this house and to the people it serves america is grateful for this moment the chair now asked for what purpose does the gentleman seek recognition? >> to speak out of order, mr. speaker. [ applause ]

>> the gentleman is recognized for as much time as he may consume. >> wow, thank you, mr. speaker you have no idea how great this feels to be back here at work in the people's house [ applause ] as you can imagine, these last three and a half months have been pretty challenging times for me and my family, but if you look at the outpouring of love, of warmth, of prayer, my gosh, jennifer and i have been overwhelmed with all of that outpouring, and it's given us the strength to get through all of this and to get to this point today. and it starts with god [ applause ]