♪ ♪ >> ♪ imus in the morning ♪ >> outrage and tragedy are the hallmarks of this day. good morning, everyone. in washington, within the hour, politicians will vent their anger. there's a firestorm over apple which legally paid no tax anywhere on 74 billion dollars of profit in a four year period. there's outrage there and they will vent at the irs. the question this time, who knew

what and when about the irs? but we wake up this morning to a dreadful tragedy. oklahoma reels from the devastation, dawn this morning showed how bad it was. there was nothing left of large sections of moore, a town of 50-odd thousand people hit by a twister over a mile wide. at least 20 children are dead. we ge people a sticker and had them show us we learned a lot of us have knownomeone who's lived well into their0s. and that's a great thing. but even though we're living longer, one thing that hasn't changed much is the official retirement age. ♪ the question is how do you make sure you have the money you need to enjoy all of these years. ♪ ...amelia... neil and buzz: for teaching us that you can't . by clinging to the past.

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>> good morning, everyone, here is how this day is going to unfold. well, it starts with apple's chief, tim cook, facing some outraged senators. it's all about untaxed overseas profits, where the company has paid no tax to any government at anytime. cook says apple's done nothing wrong and he's right about that. what they did is perfectly legal. apple did pay billions in tax on the profits it made here. the senators say apple's tax avoidance of overseas profit tax, shocking.

tim cook will say, lower the tax rate, and the american companies will pay more. that's the debate, starts soon. also today the irs faces the senate banking committee and doug shulman is testifying. he told previously that the irs was not targeting groups. and scandal thick and fast, the white house knew about the investigation earlier than we've been told. lois lerner's apology was prearranged and jay carney says the white house counsel now about it last month and so he did the president's chief of staff and he says the president was not told. you're going to see this drama unfold today. oh, and that roaring stock market, the opening trend will be up. now, look at gold and silver down big, the day after their big turn around and of course, there is apple stock. we're going to check that. it's likely to be down a couple of bucks and now, check out the politician's outrage at apple's

no tax anywhere story. >> and apple then sought, successfully, the holy grail of tax avoidance. what they've been able to do is create phantom things in ireland, i haven't seen anything like this. we don't know of anybody who has seen anything like this. # ♪

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from td ameritrade. >> listen well. no matter what happens, no matter how great your curiosity, you are forbidden to look in this box, forbidden. pretty tantalizing though. stuart: oh, yeah, today we'll find out what is in box. that would be the xbox, that is, at 1 p.m. eastern time microsoft unveil its newest console. xbox 720. and cool technology we're hearing about, we'll tell you about that in just a couple of minutes and right now we're about 30 seconds away from the opening bell. let's bring in tres knippa. i want you to address the apple no tax on the overseas profit story. are you mad at apple? >> of course, i'm not mad at apple.

if the executives at apple have one responsibility, maximize to shareholders. did they operate within the legal frame work of the law? yeah, i either need to do one of two things, i need to be buying their stock because their the shareholders in the main concern or hiring their accountants. stuart: very good, so air not outraged at apple. the opening bell is ringing, off we go this tuesday morning. we're likely to open 20, maybe 25 points up on the dow jones industrial average. now, we'll take as close as 15,350. the opening trend is ever so slightly dead flat, okay? but let's check on apple shares, just ahead, ceo tim cook is going to testify on capitol hill. now, he's going to propose tax changes to help bring home some of that off-shore money. apple is widely held, a lots of mutual funds hold it and retirement plans, too, and we're talking your money here and apple opened on the down side and under attack because they paid no tax on 74 billion

dollars worth of overseas profit income. apple, of course, is at the center of this unfolding story, here is the question. should america's corporate tax rate stay at the highest in the world rate of 35%? there's he a related question, how do we bring back to america, the 1.9 trillion dollars that hour companies keep overseas to avoid that 35% rate? here is keith fitz-gerald, a money man joining us. and what impacts the stocks if a chunk of that 1.9 trillion were to come back here because we lower the tax rate? >> hard to say what percentage, stuart. if i were tim cook i'd walk into congress today, stage a grand theatrical piece and hold up a mirror. this is a law of unintended consequences. senators need to understand that the outrage they're feeling should be directed right back at them. apple is not a boy scout, but haven't done anything illegal. investors need to be concerned because if they're forced to pay taxes on the money off shore, not just apple, valuations are going to realign across the

board. stuart: that's the danger, isn't it? because i think this development, no tax on 74 billion, that will outrage a lot of voters, who will be with president obama, who wants to tax all of that money that he's overseas, and even though it's not been repatriated to america and you say that that would be a real negative for stocks. >> well, it would. because ceo's have a job and their job is to maximize returns for shareholders and if they maximize returns for shareholders and having thousands of attorneys and accountants put things in off-shore accounts and they he don't have to pay for it. they've done their job. if congress doesn't like it, realign the rules of the game and don't cry foul because they wrote four years of bad legislation. cry foul because they haven't fixed it. stuart: look at this, the dow jones industrial average opening with about 20, 30 point game, 15,370 at the moment. it just wants to go up. i say this every day. but it's true, it wants to go up, doesn't it?

>> it sure does. as long as bernanke has a key to the printing press, and more stimulus, it's going to run. and a lot of people on the sidelines figured out that the train left the station and they're angry because they didn't bring their money off the sidelines. i think we've got a bit more to go here. stuart: keith fitz-gerald, portland, oregon. thank you, sir. the xbox has been the top selling console in the u.s. more than two years, more, i think. and microsoft rolls out the new version today. i own shares of microsoft, okay, everybody knows that. and nicole, we're hearing about cool new technology in this thing? >> it is, and the stock hit a new annual high of 35.19, a few pennies from there. as far as the technology, it may contain eye-tracking technology and obviously, it's stiff competition, but it may also have some other types of things it can compete with, including, i made all of my notes and where

did i put them? i do my homework, stuart, here they are. that you can change channels with it, and also, you can buy movies and kinect. and there's smart glass, maybe, that you can link your xbox to your tablet. so, those are some of the features for new technology for the new xbox and as far as the name, we're hearing things such as durango, xbox 720, xbox infinity, xbox varney-- no, kidding. stuart: look, i'm told that this new xbox has facial recognition technology, so you walk in, it looks at your face, recognizes you, and says hi stu, or hi nicole, something like that. that's what they say, i don't know. >> that's true, i saw recognizable people and shapes of 3-d. so, you're going to walk in and say, hey, stuart. stuart: what they want to do is make it more than a game console, they want to make it the hub for your house and the entertainment in your house, if

they can pull that off, that's why the stock's got 35. and i want to see, is it a sell on the news when they reveal this thing at 1:00, everybody is going to sell this thing? >> i have to say the stock hasn't moved that much, right? >> hold on, no, no. >> yesterday, it run up, up to this point, but yesterday didn't do that much and today it's up one third of 1%. >> yeah, but it's above 35, hours before the announcement of the reveal, and it's up 20% in the last couple of months. >> no doubt. >> no doubt it's run up over the last couple of months since the announcements. >> we're on it, nicole, thank you very much indeed. the dow is up 45 in the early going and closing in now on 15,400, how about that? i've got two big names in finance under attack. jamie dimon, should dimon be in charge of the board he answers to? that's the question, j.p. morgan shareholders already answered today and they voted to keep dimon as chairman and ceo. no splitting there whatsoever.

j.p. morgan stock is up a percent on that news. and then there's steve cowan, he runs the giant hedge fund, sac capital and investors are fleeing and looking to force steve cowan and others to testify in the long running investigation of that firm. no further developments at this point on that. and we've got home depot, that's another stock that we use as an economic indicator. and this is good. and the stock is, look at that, it's up. >> this is good and with it bringing lows up along with it, it's up about 3% right now and it moved to another all-time high for this dow component, a retailer that this is their season, the spring selling season and they're saying we expect rising home prices will remain and notable catalysts and that's according to can accord and they're hot on it, and 1% and credit suisse raised the price target to 85 from 78 with an outperform rating. stuart: there you go, 2% up on

home depot, thanks, nicole. i've got your 7 early movers this morning, early this tuesday morning, the mobile world that we live in, standard & poor's lowered its credit rating on dell by two notches as the pc market continues to shrink. disappointing sales at urban outfitters and that stock is down 1%. and we have a carnival cruise line, cut its outlook and lots of problems there at carnival recently and now it's down to $33 per share, more subscribers and a smaller loss at tivo, puts it up, 2 1/2, 21/4% and it's one of charles' picks, look at this. ja solar, up another 16%, he liked that stock and told us all about it yesterday. when it was asked. am i allowed to say it's 2 and now it's up 11 another 16% today. he'll be along shortly and we'll ask him about that. i call this a democratic luxury. more money coming in, and

burberry, i think of coach and burberry as attainable luxury. and strong profits at best buy, sales disappoint. and the big board, 15,380, that's a 46 point gain in the very early going. time is money, 30 seconds, here is what else we've got for you. the governor of nebraska wants to get rid of the state income tax for people and businesses, and does he have a chance? we'll ask him directly on this program today and we'll also talk to a congressman who says his business was what one of many targeted by the obama administration because he is a conservative. and, yes, the judge, he will join us as the irs scandal takes center stage on capitol hill. how did he appoint a special prosecutor? the only way to get to the truth. we'll ask the judge. >> the price of oil is stable today at $96 per barrel and the

price of gold sharply lower, down again today after the big run-up yesterday. okay, expect more fireworks on capitol hill as the former head of the irs testifies. congressman kevin brady is coming up next. (announcer) scottrade ows our clients trade and invest their own way. with scottrade's smart text, i can quickly understa my charts, and spend more time trading. their quick trade bar lets my account follow me online so i can react in real-time. plus, my local scorade office is there to help. because th know i don't trade like everybody. i trade li me.

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>> i don't recall. i'm not-- i don't recall. i don't remember. i don't remember the date, sir. i don't know, i don't know. >> who would that have been? >> i'm he not -- i don't remember. >> i'm sorry, sir, i'm not going to be able to answer with particularity there. i don't know whether we knew then or not. stuart: joining us is one of the congressmen who is trying to break through that barrier of i don't know's and i haven't a clue's. thank you for joining us, we think you were the standout questioners and were you on the program asking the questions and making the points. my question is, don't you need a special prosecutor to penetrate the i don't know's and penetrate those and answer the questions. >> i think it's too early in the sense there are three major abuses of power, it looks like within the irs. some may be illegal, some may be

only inappropriate, in a major way. stuart: so, what would they be? groups. >> you've got targeting of political groups and donors. stuart: yeah. >> the leaking of taxpayer information, perhaps to campaign teams, obviously to the media, the huffington post and to liberal groups as well and the issue, did they share this conservative applications information with other federal agencies and then finally, did they mislead congress, which i think has become clearer each day. our point is this, let's get to the truth, good or bad and let's have it deliberate thoughtful investigation with the ways and means committee is launching that as we speak. stuart: who appoints a special prosecutor? >> well, that would obviously come from, i would think from the white house, or from congress, but i really think there is so much there, there within the irs, that if we just, again, follow it to the truth,

begin subpoenaing the key people and investigating, interviewing key people in the irs, i think we're going to get to the truth. stuart: lois lerner will be testifying tomorrow. is she the lady who ran the tax exempt office, the lady who orchestrated the apology. i don't think you have a chance to ask any questions tomorrow because it's a different committee. but if you did have the chance, if it were you asking her questions tomorrow, what would you ask her? >> the same question i asked steven miller and he ducked, which is who authorized targeting the conservative organizations? how long did it go on, who approved it, and why, why did you never tell congress after two years of inquireies and us demanding to know the answer, you wanted until you planted the question at american bar association before you even discussed this issue. stuart: what's your hunch, congressman? was this just relatively mid

level people who just decided to do this on their own or were they prodded and pointed to it from somebody higher up? >> these are very serious actions from the irs. they violate, i think, both law and the role of the irs, and i think turning the irs politically on organizations, individuals, rises to a whole other level. i don't believe that a small group of low level employees at the irs thought this up or implemented on their own. stuart: you know, "the washington post" has a poll out and i'm not sure whether we trust polls one way or the other, but they have a poll that shows the president's approval rating has not budged one jot from where it was before the irs scandal broke. >> i think it's too early, the truth of the matter is.

we ought to get to the truth and hold them accountable and make sure this never happens again. >> you're going to go away. the whole congress goes away on a long summer recess. i'm not sure when you leave town, but when you do leave town, i mean, this, this scandal essentially is dead in the water. until you come back again, right? stuart, it will not be that case, the ways and means committee is assigning, and it will be-- the staff has begin the work on it. this will be a persistent, steady, i think deliberate investigation, so no, we're not taking any breaks, in fact, we're going to work through until we get to the truth. stuart: congressman kevin brady asked, is this still america? thank you, indeed, congressman, it's always a pleasure. >> thank you. stuart: time for the gold report. i think we're down. we were down yesterday, bounced back up again and now down 19

bucks, and a lot of volatility in the gold market right now. we're at 1365. you know, it really didn't take long for someone to politicize the massive tornado in oklahoma. we're talking about jumping on tragedy in the name of global warming next. >> when cyclones tear up oklahoma and hurricanes swamp alabama and wildfires scorch texas, you come to us, the rest of the country, for billions of dollars to recover.

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>> and now that massive tornado in oklahoma, rhode island senator, democrat, sheldon white house took the opportunity to attack republicans for denying global warming. here is the senator. >> the damage that the polluters and deniers are doing doesn't just hit oklahoma and alabama and texas. it hits rhode island with floods and storms. it hits oregon with acidfied sees and montana with dying forests. so like it or not, we're in this together. you drag america with you to your fate. stuart: i believe in another

sound bite he specifically mentioned republican dragging their feet. i think the man is jumping right into a-- into a tragedy. charles: it's extraordinarily despicable and respond the pale and he talks about oklahoma wanting billions from us. and i'm sure oklahoma paid taxes with rhode island. and the cyclical weather, the tornado there, it's a it's despicable and every aspect is asinine from a lot of angles and amazing that a senator would actually do this. stuart: i have to ask about, look, this is a dreadful tragedy and i don't want to bring up the issue of money at the moment, but look, 60 billion dollars was appropriated by congress to pay for the damage of sandy late

last year, 60 billion dollars. now we have this. how much is this --? i hate to phrase is in these question.t it's a financial charles: and early in the single digit billions and those are early projections and obviously, these things go up. >> i'm not going to go there because this is an extraordinary tragedy, terrible. >> heartbreaking. >> it is, and 20 children, possibly more. stuart: we've got the dow, quickly to the big board. up 60 points, solid rally, very close to 15-4. charles saw that coming. the nation's capital becomes our focus in the next hour, and we'll look at the irs scandal. will we learn something new? i don't know. and you and i and charles will be watching live. we're not in london, are we? no. why? apparently my debit card is. what? i ow.

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>> tuesday, may 21st, on this hour of "varney & company" you will see this. douglas shulman, the man who ran the irs when it was targeting conservatives. right now he's facing angry senators. dave highman, the governor of nebraska trying to abolish the personal and corporate income taxes. and tim cook, the top guy at apple, he'll be facing angry senators, they want know why his company paid no tax at all on 74

billion. and president obama, he's about to address the nation on what may be the deadliest tornado in history. history. yes, the irs is back under the the microsoft and this time it is the senate asking the questions. opening statements about to begin. they're joining us now from capitol hill is senator deb fisher from nebraska. lois lerner testifies tomorrow. she's the lady in charge of the tax exempt office, she's the lady who orchestrated that apology. i think you're calling on her to be fired. is that correct, senator? >> well, first of all, stuart, thank you for having me today and i join all americans in sending my prayers to oklahoma on the horrible situation that they've gone through. i haven't called for anyone to be fired. what i've called for is for this administration and the president

to step forward and do their job. you know, we have a culture here with this administration and really an abuse of power on many fronts with the irs, with reporters, with the ap and we're talking about fundamental rights of americans and those need to be protected. stuart: last friday we got a series of "i don't know"'s from mr. miller. i don't know, i can't answer that question. do you think we'll ever really get answers to the questions, unless we appoint a special prosecutor? >> we better get answers. this idea that you can say "i don't know", give me a break. mr. miller needs to look through the records and talk to safe and employees and better start finding answers, we need to demand this, and if it takes a special prosecutor, that's the route we should go. but i'm not there yet either. the senate is having a hearing

today. we're following a process, we need to follow that process and do our job in oversight. stuart: i bring you the case of sarah ingram, she was over the head of lois lerner at the tax exempt office and she was promoted, despite what happened in that tax exempt office, she was promoted to be in charge of the irs checking obamacare. now, what do you make of that? >> oh, i'm surprised by it, but then not really. there seems to be this consistent culture of abuse, of arrogance, and americans demand answers. the irs is the agency that's going to be overseeing obamacare, and we can't get straight answers? you know, i'm from nebraska. we believe in straight talk, being honest, having a dialog with people where you provide information and as a member of the senate, i'm going to demand that. >> i think there's an element of frustration, and i on't know

what's going to happen today at this hearing and they're lining up right now. but there is a level of frustration here, it seems pretty obvious that political conservative groups were targeted by the irs in the middle of an election. and yet, we're not getting the answers, i'm just bringing to your attention, the frustration which a lot of people feel >> w. you have groups targeted about the irs and targeted by the department of justice where the law wasn't followed with regards to the ap being notified of subpoenas. you have the epa targeting my neighbors, and they were doing flyovers on cattlemen and they were releasing confidential information, to more activists and environmental groups, you know, this is prevalent what we're seeing happen all through this information, and various agencies. >> we hope you get the answers to the questions, which we know you're going to ask. >> thank you for joining us,

appreciate it. >> thank you so much. >> and a lot going on in washington, and a lot going on in wall street, too. and the dow jones industrial average upward again, 60 points higher and we're closing in on 15,400 and look who is here, his name is charles payne and right about this time on the show yesterday. he said you've got to take a look at ja solar. it's going to go up, he says. well, during the show yesterday, it went straight up and today, it's straight up again. and first of all, nicole, give us a check. and check the stocks please. >> no doubt. charles was on the money, it was up, and by the end of the day js solar was up 70%. and even if you thought you missed it, and jumped in on "varney & company," you would have made money. and the solar stocks are particularly volatile, in some

cases they're a short squeeze, but they did come out with good numbers and bringing the group up along with them. stuart: thank you, nicole. charles sitting here and heehe's not doing a victory lap and maybe he should. if people bought on your advice yesterday-- i made a mistake earlier, it was $7 a share when you caught it. and now it's 10. sell? >> oh, come on, stuart. some people are 50% from the show yesterday. 50%. people take that in two years, let alone 24 hours. stuart: your tactic, if you bought 1,000 shares, sell 500. >> and protect the rest. and big news, u.s. and eu are going to finalize the-- >> i just got the two minute warning that the president is going to appear and make statements on oklahoma. and the governor of nebraska is with me. you're a neighboring state to oklahoma, have you ever seen anything as bad as this before,

sir? >> no, i haven't, stuart, and our thoughts and prayers are with our friends in oklahoma and we sent a search and rescue team down late yesterday to assist them. we've had tornados in nebraska, never do i recall one quite this devastating and particularly involving children. stuart: our thoughts and prayers go to the people of oklahoma, sir, i'm sure you do. too. i've got one thing before the president appears and i want to get in your point. you are trying to get rid of the income tax and the corporate tax in the state of nebraska. i have to ask you, what's your chance, sir? >> it's not easy, stuart, but you know, our state's in very good shape. unemployment rate is 3.7%. we've passed five years ago the largest tax relief package in the history of the state, but i want to keep getting better and the key to our future is to get rid of that income tax or significantly lower it and that's what i'm going to continue to try and do. it will be the focal point of our session next year, our

legislative session. stuart: louisiana and kansas both wanted to do the same thing and they've had to back away a little bit. governor, i'm sorry to interrupt like this, but the president is about to address the nation, here we go. >> as we all know by now, a series of storms swept across the plains yesterday in one of the most destructive tornados in history. sliced through the towns of new castle and moore, oklahoma. in an instant, neighborhoods were destroyed, dozens of people lost their lives, many more were injured, and among the victims were young children trying to take shelter in the safest place they knew, their school. so our prayers are with the people of oklahoma today. our gratitude is with the teachers who gave their all to shield their children, with the neighbors, first responders and emergency personnel who raced to

help as soon as the tornado passed and with all of those who, as darkness fell, searched for survivors through the night. as a nation, our full focus right now is on the work of rescue and the hard work of recovery and rebuilding the lives ahead. yesterday, i spoke with governor fallin to make it clear to oklaho oklaho oklahomans they'd have all the resources they need at their disposal. last night i issued a disaster declaration to expedite those resources to support the governor's team in the immediate response and to offer direct assistance to folks who had suffered loss. i also just spoke witt mayor lewis of moore, oklahoma to ensure that he's getting everything that he needs. i've met with secretary napolitano this morning and my homeland security and counterterrorism advisor, lisa monaco to underscore that point,

that oklahoma needs to gets everything that it needs right away. the fema administrator craig fewgate is on his way to oklahoma as we speak. fema staff was first deployed to oklahoma's emergency operation center on sunday as the state was facing down the first wave of deadly tornados and yesterday fema activated search and rescue teams from texas, nebraska and tennessee to assist in the ongoing search and rescue efforts and a mobile response unit to boost communications and logistical support. so, the people of moore should not that their country will remain on the ground, there for them, beside them, as long as it takes for their homes and schools to rebuild, businesses and hospitals to reopen, and their parents to console first responders to comfort and of

course, frightened children who will need our continued love and attention. there are empty spaces where there used to be living rooms and bedrooms and classrooms and in time we're going to need to rebuild those spaces with love, laughter and community. we don't yet know the full extent of the damage from this week's storm. we don't know both the human and economic losses that may have occurred. we know that severe rumbling of weather, bad weather through much of the country still continues and we're also preparing for a hurricane season that begins next week. but, if there's hope to hold onto, not just in oklahoma, but the country, it's the knowledge that the good people there and in oklahoma are better prepared for this type of storm than most, and what they can be

certain of is is that americans from every corner of this country will be of right there with them, opening our homes, our hearts, to those in need, because we're a nation that stands with our fellow citizens, as long as it takes. and we've seen that in joslyn, 1 in tuscaloosa, the spirit in boston and breezy point and that's what the people of oklahoma are going to need from us right now. and for those of you who want to help, you can go on-line right now to the american red cross which is already on the ground in moore, and already we've seen the university of oklahoma announce that it will provide housing for displaced families, we've seen local churches and companies open their doors and their wallets and last night, the people dispatched a team to help the people of moore. so, for all of those who have been affected, we recognize that you face a long road ahead and

in some cases there will be enormous grief that has to be absorbed, but you will not travel that path alone. your country will travel with you fueled by our faith in the almighty and our faith in one another. so, our prayers are with the people of oklahoma today and we will back up those prayers with deeds for as long as it takes. thank you very much. stuart: all right, there's the president of the united states. perhaps the key expression there was the president said oklahoma will get everything it needs right away. keep that video up for a moment because the president's referring to this dreadful event late yesterday, primarily around moore, a town in oklahoma. the video is absolutely extraordinary. whole swatches of that town, i believe there are 55,000 people in it, just blown away completely. there's nothing left. and there are 20 children who

died in that disaster, and i use that word advisedly, that was an extraordinary development yesterday and the president just addressed that event. the governor of nebraska a neighboring state to oklahoma is still with us. we were talking a moment ago about your intention to get rid of the income and corporate tax in the state of nebraska. i think you're trying to join this movement towards lower taxes at the state level as a way of getting the economy of these states really going. but i was about to point out that louisiana and kansas, they both had some trouble doing what you propose to do. you've got a lot of hurdles in your way. >> stuart, there's no question about that, but at the end of the day nebraskaens understand if we're going to grow economically, one of the keys is a lower income tax or preferably elimination of the income tax and corporate tax, that's more

attractive to business and we've been successful in the past in what we've done, but this would be the next major step. you've got to think about the future, you know as well as i do, you've been out to nebraska, the fastest growing states are those with no income tax or a very low rate. >> did the farm community owe he pose this? because if you don't have a corporate tax, you don't have a personal income tax in the state, you're going to rely on sales taxes, which will hit the farm community pretty badly, i believe. >> if you find the right balance and the right mix, i believe we can do it. what generally the agriculture community is concerned about is property tax and that's primarily a local issue. so, again, we have to do it very, very carefully, but if everybody has lower rates, we all win, particularly, small businesses. that's the economic engine of our state and that's the economic engine of america, and that's one of the key reasons i've focused on the elimination of the income tax. >> governor, we thank you very

much indeed for being with us today. it's a very difficult day and nebraska is a neighboring state to oklahoma and we feel for your state's residents and neighbors in this time of need. governor, thank you. >> thank you, stuart. stuart: all right, we'll have more on "varney & company" after this. .

>> we'd like to use home depot

as an overall economic indicator. well, it posted a 18% jump in net profit in the first quarter. and economists say the move came from a recovering housing market. and the rally there sent shares of lowe's higher as well. they're in the same line of business, up by just a fraction, just a half a percent on lowe's and microsoft and the xbox today. and i own some microsoft stock and depress today see it's now down 6 cents. devastating numbers out this morning after that tornado ripped through oklahoma yesterday. the ap reports 24 people dead. and many children died, too. and many more are being treated at hospital and officials expect those numbers to rise. up next, a guest accusing the obama administration of closing down his card. your business is more reliable, secure, and age.

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and that's a great thing. but even though we're living longer, one thing that hasn't changed much is the official retirement age. ♪ the question how do you make sure you have the money you need to enjoy all of these years. ♪ >> there is dual action on capitol hill this morning. you know about the irs investigation and that's going on in the senate. right now, senators are grilling apple's chief tim cook about the untaxed overseas profits. charles, the politicians are expressing a lot of outrage against apple. do you think that the public as a whole will feel the same rage against apple that they feel against an oil company or a wal-mart, for example? >> no, well, the campaign against those oil companies at wal-mart, they've gone off for a long period of time.

and it's unusual and they have a silicon valley company under this pressure. but by the same token, these are tax and spend guys who have to explain why would apple have 74 billion dollars over a four-year period and not pay taxes and exxonmobil paying gobs and gobs of money, get away scott free? listen, it's one of these things we keep hearing about the whole tax -- let's reform taxes in general. that's been sort of the surface narrative with the irs scandal and with this. maybe we'll get something done and apple obviously playing within the rules and you have to ask yourself the greater question, why wouldn't the company want to bring money back to this country and what's stopping them? other than the tax-- >> can you expect a politician to go out and way, we've got to lower the tax rate on an apple, even though they didn't pay a dime in taxes on 74 billion dollars worth of profit that was made overseas? that's a difficult political argument to make, isn't it?

>> it's a huge political argument to make, but here is the thing, where are politicians going to say to corporate america to bring money back to this country? we want you to pay taxes where you make it and 35% when you bring it back. it's ridiculous. stuart: look at that on your screen, ladies and gentlemen, they are swearing in the irs guys. doesn't that remind youuof the tobacco guys, and i promise to tell the truth. there they are, the irs are just being sworn in. we'll take you to the q & a when we get there, okay? our next guest says the-- speaking of the irs scandal and targeting, our next the government put his car dealership out of business during the gm bailout because he is a conservative. and congressman of ohio, a republican, he joins us now. take me through this, congressman. and are you telling me that during the the bailout, you, your car dealership was put out of business by the government because you're a conservative? really? >> well, of course, good morning, stuart and i want to

make sure that people realize our thoughts and prayers are really with many of those in oklahoma. but regarding the car dealership, when we're taking a look, mike kelly and i are taking a look at the systemic issue in washington. when we had our hearing on friday we were talking about targeting and targeting conservatives and i know that mike and i talked a couple of times as we wondered if the targeting didn't go, you know, the targeting with the irs went all the way back to 2010 and there's some concern in washington targeting. >> that's what we want to know. now, as i understand it, you were running a car dealership, you didn't-- you're the mayor at the local town and you're running a car dealership. gm gets bailed out and goes into technical bankruptcy, and they close your gm dealership. i believe that's the sequence of events. and again, are you saying -- do you have any proof that you were put out of business because you're a republican?

>> well, one of the things i said back then was it was kind of a unique situation, and i was actually helping general motors, and i took one of the dealerships, that was a troubled dealership and was turning it around and had a deal with gomes and shocked when i received a letter that said i could not be part of the general motors family going forward and didn't think of the targeting issues. but one of the darkest days in capitalism. but now that i'm in congress i'm wondering if there was targeting of conservatives. that's the key that mike and i want to look at it and see if the targeting did occur. stuart: so you want to see the e-mails and texts and memos and meetings and the rest of it that may have had an impact on your car dealership because you're a conservative. you're looking for the e-mails, basically, right? >> yeah, we're looking for -- look, this is about seeing where the targeting occurred, not just my dealership, i'm talking about dealerships across the country. there were a lot of dealerships, close to 1200 dealerships, i

believe, general motors dealerships, a lot of chrysler dealerships, it would be interesting to see whether a systemic targeting occurred in this area along with the irs and what they did when it came to conservative groups that were, you know, looking at form 501 - c-'s. >> we appreciate it, thank you for joining us, and keep us up-to-date with your efforts. >> thank you, we will. stuart: right now you're about to see opening statements at the irs hearings on capitol hill. coming up next, the question and answer portion of this hearing is going to begin shortly. we'll bring you the fireworks as they happen and the judge will join us, speaking of fireworks coming up next. [ male announcer ] here's a word you should keep in mind. unbiased. some brokerage firms are. but way too many aren't. why? because selling their funds makes them more money. which makes you wonder -- isn't that a conflict? search "proprietary mutual funds." yikes! then go to e-trade. wee got over 8,000 mutual fund

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>> the man who headed the irs during the targeting scandal, doug shulman, he is testifying now. this is his opening statement. we've already had opening statements from senators backus and hatch and peter barnes is in washington. he was watching those opening statements. peter come on in. and didn't we get some fireworks from senator backus first thing this morning? go. >> yeah, senator hatch, the top republican and senator backus the top democrat of ever the

community and senator hatch warned the white house that the committee will follow this investigation on the irs scandal, quote, wherever it leads, you know, and this comes after the news yesterday that the president's-- the white house counsel, the chief of staff knew about this targeting by irs employees of conservative groups and then the white house says that they didn't tell the president. so, hatch out here with a warning, senator baucus was also very critical. take a listen. >> and bureaucratic mess. employees were ignorant about tax laws, defiant of their supervisors and blind to the appearance of impropriety. this is unacceptable. >> now i'm going to get back and watch the testimony so we can report on the rest for you. we want to hear what shulman says in particular. stuart: thanks, peter. we'll be back to you later on.

when they start the q & a, the question and answer session, we'll bring it to you live, you can see it unfold on "varney & company." i'm staying on the the irs scandal it's a big deal to myself and everybody else, i believe. and here is judge andrew napolitano who is going to lead us through this thing. welcome back. we heard that senator hatch warned the white house, we're going to pursue this wherever it leads because we've heard that the white house counsel knew about this investigation and apparently told the chief of staff, who did not tell the president. >> you know, the white house counsel is not a lawyer in the justice department, her client is not the justice department and her client is not the american people. her client is the president of the united states and so for her to learn something that could not tell him is almost

unconceivable. he meets with the chief of staff twice a day, every day. the chief of staff follows him wherever he goes. when he goes on a trip. the chief of staff knew about it and didn't tell the president? they're making the same mistake that richard nixon made 40 years ago. what did the president know and when did he know it. why don't they own up to when he knew that. stuart: isn't that plausible deniability to use that expression, because if the counsel knew, being a lawyer, what goes on between the lawyer and her client, the president, then plausible deniability. >> she could well internally take the position-- you need to go? >> i need to go. stuart: senator backus has begun the questioning and we're going to listen in. >> in june of 2011 the headquarters shut that down. why weren't people then fired or transferred? more significant action taken

than just told don't do this, given how outrageous this conduct is. why wasn't more definitive action taken? i -- sorry. i don't believe that i was aware at the time that that happened. i first became aware of this in may of 2012. >> mr. shulman, were you around during this time? >> yeah, in june of 2011 i don't believe i was aware of this, actually. >> well, who was aware. somebody at headquarters was aware, obviously. lois lerner? >> a report indicates that exempt organizations knew, and you'd he have to ask the inspector general that others knew at this time. >> well, your action, you know, at the irs -- you were the head of the irs mr. shulman, who did

know? i mean, come on, you've read the report and you were commissioner and come on. if you don't know, it sounds like somebody's not doing his j job. so -- why wasn't more direct action taken, first, you know, when these terms were discovered right away and then, in a second chance, the irs had a second chance after the same activity started again in january 2012, incredibly, started again, you know, irs stopped for a while and then went back again, old habits. i can't believe that, frankly. why wasn't more firm action taken by people, the commissioner himself or by people at the top? it's outrageous. any -- first, figure out this is unacceptable conduct.

mr. miller? >> again, sir, all i can say we were unaware. i was unaware it happened, but in may, i took action. >> so what action did you take. >> so i was briefed on after sending a group to look the at the cases in may -- they reported back to me in may of 2012 essentially with much of what had transpired and what is shown in the ig report, that the cases were languishing, that a list had been utilized, that letters had gone out that were -- that were much more broad than they should be. at that point we'd already taken care of the letters because those did come up and this is how we knew something was going on and i asked for review. we then trained our folks, we held work shops to ensure that they were going to do the work well. we took a look at the cases.

i asked for the cases to be looked at and grouped in a fashion that those that looked like they were-- should be approved were approved. those that looked like they needed some work got hat work and those that needed further development got that development. so we took action on that. i also at that time, i was aware that tigta was working on this, but i took immediate action as did tigta, and we transferred and reassigned an individual who had been involved in the letters and i asked the person who i believe at the time was responsible for the listing that oral counseling occur and at that time the listing process had-- >> i appreciate that. and many questions to you and mr. shulman and others to try to get to the answers that we're not going to get the definitive answers at this moment is clear. the deeper question to me. how did this culture--

what created in culture of indifference to the american people and such aggressive behavior so improperly targeting groups. what caused that culture to develop, and what did do you about correcting that culture if you even were aware of it, either one of you, mr. miller or mr. shulman. i'll start with you, mr mr. shulman. >> sure, during my time at the irs i believed and i articulated that the irs needed to be a nonpolitical, nonpartisan-- >> you may have articulated that, but how did this happen? >> i think that there-- >> i don't want to take it away during fireworks, something happened there which is worthy of comment. senator backus was asking repeatedly what happened, when did you know about this and mr. miller replied, i knew about this in may, 2012, which judge, is what, five months before the election, but nothing came out publicly. >> and the prime campaign spending season when these tax

exempt organizations would want to be spending-- >> gathering tax exempt dollars on spending it on campaign issues, they were unable to do so and we didn't know about it and the president didn't know about it and these guys said, keep it up, wait until after election. stuart: what did mr. miller do? there was training of workers and there were work shops he says. >> typical government response. stuart: outrageous. stuart: let's go back to the hearing, i don't want to miss anything. >> and i don't think i can answer that question. >> i'm disappointed because you've had time to think about this and you certainly have more thoughts than that. senator hatch? >> thank you, mr. chairman. on two different owe hecations my colleagues and i wrote letters to you, mr. shulman and the first letter on march 14th, 2012 we asked about selective enforcement by the irs and asked for information. and then we wrote again on june 18th, 2012 to request more information about the irs' practice of requesting

confidential donor information. as i wrote in my march, 2012 letter, quote, it is critical that the public have confidence that federal tax compliance efforts are pursued in a fair, even-handed and transparent manner without regard to politics, unquote. and the response i received from the irs were anything, but transparent. the irs responded to these two letters on april 26th, 2012 and september 11, 2012, and both of these responses were signed by you, mr. miller. % these responses did not disclose that the irs had any reason to believe that it had improperly targeted tea party or other-- or other conservative organizations or improperly asked for confidential donor lis lists. and ask to put all four letters in the record at this point. >> no objection. >> recently we learned that the irs was in fact aware that the

irs had targeted the tea party and other conversation organizations and we know that by june of 2011 at the latest, lois lerner, the director of the organizations in d.c. was aware that the irs examiners will issued a quote "objecten the lookout" unquote listings. and we know that on may 2012 tigta briefed you mr. shulman about the practices. when you testified before congress in 2012, you said, there was absolutely no targeting, unquote. to this day, you have not corrected your testimony, even though you know that the irs was inappropriately screening tea o now, mr. shulman, why had you not come forward before today to correct the record and acknowledge that there was in fact inappropriate screening occurring in the irs, the organization that you headed? >> let me -- let me answer a few

things, one is the full set of facts around these circumstances came out last week in the tigta report which i read. until that point i did not have a full set of facts about-- >> yeah, but you knew this was going on, why didn't you let us know when we -- that's what we were inquiring about when we sent these letters to you? >> what i knew was not the full set of facts in this report. what i knew sometime in the spring of 2012 was that there was a list that's being used, knew that the word tea party was on the list, didn't know what other words were on the list, didn't know the scope and severity of this, didn't know groups that were pulled in, or groups that would have been pulled in anyway. >> but you knew-- >> and what i thought at the time, and i think now was the proper step were the concerns brought to the commissioner of

internal revenue service, which is to make sure that the matter is being looked at by the inspector general. >> but we isn't you letters inquiring about this with a number of senators on those letters. and you should have corrected the record. you should have done it long before today. and that's the point i'm making. mr. miller, your signature's on both of the responses that i received from the irs. nowhere in your responses did you indicate that you knew the irs was improperly selecting tea party organizations for extra scrutiny. nowhere in your responses did you indicate that you knew the irs was asking improper questions about donor contributions. you just sat on that knowledge. and mr. george stated he briefed you on may 3rd, 2012 about tigta's audit and so we know you were aware of it at the time that you responded to my second letter if not both letters, but

you didn't mention any of this in your responses to me or the senate or to any other congressional body. now, mr. miller, that's a lie by omission. there's no question about that in my mind. it's a lie by omission. and you kept it from people who have the obligation to oversee this matter. on friday, you swore under oath you had told the truth in your prior responses. you said that the irs had been guilty of quote, horrible customer service, unquote. mr. miller, what we have learned about the irs in recent days goes far beyond horrible customer service. why did you mislead and my colleagues, my fellow senators and most importantly, the american people by failing to tell us what you knew about the exact subject we were asking about? why didn't you tell us? >> mr. hatch, i did not lie. >> you what? >> i did not lie, sir.

>> you you lied by omission -- you knew and you should have told us. >> i answered the questions, i answered them truthfully. did i know about the list, yes, not on the first letter, by the way the timing i wouldn't have known about that. the on the second letter, we answered those questions, sir. frankly, the concept of political motivation here,dy not agree with that in may, i do not agree with that now. we were not politically motivated in targeting conservative groups. that's born out by mr. george's report. >> what else could you call it? he just said he hadn't found up till now and today's statement was a little more definitive than the one he gave to the house. now, let me just say this, you knew this was going on, you knew we were concerned and knew we had written to you, you had our letters. why didn't you correct the records? why didn't you let us know? we would have solved this a long time ago. >> tigta was looking at the

case. >> tigt's responsibility or yours. >> i'm sorry? >> the commissioner relied on you to answer ouu letters and why didn't you answer them and tell us this information at least on the second-- >> i believe i did answer them and i did answer them truthfully. >> thank you, senator hatch. >> next, we're going down the list. senator stabenow. >> thank you very much, mr. chairman. stuart: one development, judge, you're with me. essentially, orrin hatch implied that both of these guys knew about the targeting of conservatives, but did nothing about it, they did not come clean at the time in the middle of an election, and mr. hatch said, this was a lie by omission. >> the reason he's saying that because he wrote letters because he got anecdotal information about this and the letters were just general, we're looking into it, looking into it. when we know at the time they were looking into it, they knew about it. stuart: right in the middle of an election campaign, charles,

they knew what was going on and did not come clean. charles: hence, hatch's comment, lie of omission. may be the line so far. stuart: mr. miller said we were not politically motivated. so what motivated you. >> not a-- >> i'm going to read it it was a desire to protect the president's campaign, that that's my opinion. that's not what came out in this. shall we go back? >> yes. stuart: let's go back. >> came to the attention of the division head, how in the world could it take so long for senior people at the irs to find the problem, fix the problem and was there no ongoing oversight of the employees in cincinnati and what they were doing? . mr. shulman, let me start with you. >> you know, again, i'm not there to go ask a set of questions of people, what happened when, who, and how. >> with all due respect, you were there though.

>> i was there, but since this all came to light in the full set of facts are there, i haven't been able to be back there talking with people doing things. so let me just answer though your question. >> but why didn't you know when were you there? >> i -- i agree that this is an issue that when someone spotted it they should have run up the chain and they didn't and why they didn't, i don't know. >> mr. miller? >> i would agree. i'm not going to disagree at all with your characterization of bad management here because i think that's -- that did happen and i don't want to understate concerns with the list because we should not have done that, we simply should not have been that. we should be looking at the file. we should be looking at the facts, should not look at names, look the at the positions taken on a given topic in terms of how we pull people into full development of these cases.

but we were not -- it was not elevated, we did not know. >> mr. george, could you speak more about the management, what your review has revealed about the irs management, how was that breakdown possible given that management structure and has the irs done anything to make the unacceptable actions like this less likely in the future? >> while we have not yet completed our analysis of their response to our recommendations, we do intend to do so in the future, so, senator, i'll be able to respond in full once we've completed that review. it is worth noting that the -- that the unit in cincinnati did speak clarification from their headquarters in washington and took almost a year before a response was received by them to their request on how to handle some of these issues and the

bottom line, senator, it was just, again, a breakdown in communications, a mismanagement on the part of the internal revenue service. >> it does sound though, that the first clarification they received, they took that back and then they changed again and did something inappropriately. >> well, there were two aspects of it. they sought clarification initially, had not received an answer, eventually did get direction from ms. lerner. stuart: we like to give commentary so you don't get bored. judge is with me, the steel-trap mind of a lawyer. he was listening carefully. what was it, it took a year? >> the intake team in cincinnati, according to mr. george's testimony, which receives applications for exemptions was befuddled by some of the applications and so they asked their bosses in washington for guidance and advice.

just like when you and i ask the government for guidance and advice, it took a year to advise one branch of the irs? what happened in that year, mr. varney, a presidential election. stuart: i remember it well. >> this is almost farcical, stuart, these guys should be reminded they're under oath. stuart: the answers are, i don't want to be pejorative, but they're kind of weasley. >> they're pat answers intend today molify the questioner. stuart: no, they're designed to stay out of prison, stay out of the law courts and get out of there as fast as possible, they know nothing. >> absolutely, they don't care about the truth. stuart: it's stonewalling is what it is. my point would be that the irs was used, either knowingly or otherwise, to assist the president's campaign in the election of last year. that's what i think. >> the conclusion seems inescapable by this so far.

charles: and as if you're going to a movie about dinosaurs, to buy into it. stuart: and this is senator grassley, let's listen, going off on somebody. >> in the quid pro quo in the example like this. mr. miller, mr. shulman, either one of you. >> the answer is no, i mean, you know, we-- >> okay, then let's move on. that's a good answer because that's the answer you ought to give, but how on earth could you let something like this happen under your leadership and do either of you feel any responsibility or remorse for treating american citizen this way? >> i think i started my public statement with an apology, sir, and i would continue that. i don't know what happened in your given case and as you well -pare aware, i can't speak to i under the 6103 rules, but i do apologize for the treatment of folks and look, there are two things that happened with these cases, first was the selection and the selection criteria was

bad. second was their treatment once they were in that group and that, too, was bad, sir. it was. i don't know whether this particular organization was inside or outside of that group, but the service that folks got was not the service that we should be providing anyone. there's no question about that. >> mr. miller on may the 14th i wrote you a letter raising questions about the so-called spontaneous apology and lois lerner made at the bar association may the 10th and initially she said the-- you admitted during your testimony last week that the irs had in fact planted the question to be asked at the aba conference. you said, quote, it was a prepared q & a, end of quote. whose idea was it to create this prepared q & a and why? >> well, i will take responsibility for that.

the thought was to, now that we had the tigta report, we've had all the facts, we had our response, we thought we should begin talking about this, we thought we'd get out an apology. the way we did it, we wanted to reach out to the-- to hill staff about the same time and brief did not work out. obviously, the entire thing was an incredibly bad idea. >> has the irs ever used a prepared q & a in the past and if so, give us some examples if it's been done before. >> apologize, i'd have to think about it, sir, nothing comes to mind. >> okay, how is it appropriate for the federal government employees to secretly plant questions to release information in advance of an ig report? >> i think that what we tried to do was get the apology out, sir, and start the story. the report was coming, we knew that, and that the report was do

done. >> mr. miller, on may the 8th this year, ways and means subcommittee hearing representative crowley asked lois lerner if she could, quote, comment briefly on the status of the irs investigations into these nonprofits, end of quote. miss lernor pointed to congressman crowley to a questionnaire on the irs website and she said nothing about tigta's pending report or the disclosure she made just two days later about political targeting, as a result, i think understandably, representative crowley has said that he feels misled and has called for miss lernors to resign. do you agree he that she gave misleading testimony to congress. >> i have no way or other i did not watch that. has the irs proposed to discipline miss

lerner in the events of testimony before congress. >> at this point now that the tigta report is out and coming to light and those discussions are ongoing and i will not be part of those discussions are obviously, but those discussions will occur. >> thank you, senator. >> senator nelson, you're next. >> i'd like to take a different tact. i'd like to get into how we got into this mess in the first place. and the statute, of course, says that these organizations, c-4, the net earnings of which are devoted exclusively to charitable, educational or recreational purposes and then the rule that came along fleshing out the statute talks about promotion of the social

welfa welfare, an organize is operated exclusively for the promotion of social welfare and then it further defines that term, the promotion of social welfare does not include direct-- >> i want to alert you to what's going to happen tomorrow. it will be a house committee and one of the witnesses in front of that house committee, and again, it's the irs situation that's being discussed. it's going to be lois lerner. now, she was referenced a moment ago. she's the lady who orchestrated the apology and senator grassly suggested it's appropriate for the irs to orchestrate a question and an apology about a report that's about to come out? the judge knows more about this than i do. so, is it appropriate? >> well, we know it took them a long time to orchestrate the apology, so the question is, i'm he sure it will be asked, during the process that you were deciding how and when and in front of whom to apologize, were

you still applying the screws and the excess-- and extra scrutiny to these conservative groups or had this stopped and were you trying to figure out how to address it from a public relations point of view. stuart: overall, i did not learn very much from the half hour that we've been covering this. >> he only thing i've learned is that these witnesses have been well prepared to give these answers intended to deflect the questions and not the truth. and we might learn from miss lerner with whom did you consult anddwith the white house, and who to apologize. stuart: do you think she'll say. >> it doubt she will, but it would be nice whatever the answer it. stuart: i suspect if we can't take this further if all the investigations don't come up with who knew what, why and when then the fire will go out of this whole story and it will dwindle through the summer, charles. charles: i agree with you a thousand percent. we already saw some poll numbers

ffom different agencies showing that the president hasn't been impacted by this, but i think that lois lerner is going to contradict a lot of things that miller said so far. at the very offset of this someone in the irs, and admitted targeting conservative groups and that's how this became the news story of the moment and he completely said there's been no political motivation whatsoever and the idea that she's being punished for it. what is she exactly being punished for? maybe we'll find out tomorrow. stuart: i would like a clearer idea of just how the obama campaign influenced the election using government agencies. now, on-- under oath. not going to get at least not in this environment, maybe in a courtroom. charles: or a book deal. stuart: is there anywhere an e-mail, a text, a memo, a message, a meeting, a phone call, between that what the irs was doing, the people at the irs, and the obama campaign? not the white house, the obama campaign. >> a great question, stuart. this committee and its companion

committee in the house have the power of subpoena and the power of subpoena will presumably unearth such a communication or e-mail if it exists. stuart: they're going on recess for the summer. well, the white staff wouldn't go on recess, it would just take the chair of the committee to issue the subpoena, so, those subpoenas can go all summer and the response to the subpoenas can go all summer as well. stuart: okay, let me asks bring up, we've got a minute left and i want to bring up the issue of rosen, private e-mails, listened to looked at the justice department. >> what they did to james, is reprehensible and unlawful. a fbi agent told a federal judge that james broke the law by using a shrewd way to seduce information out of a person at the state department. even if james did that, and he can be very shrewd, it does not

break the law for a reporter to ask a government official if they want to answer a question. that is a typical, traditional, appropriate lawful, constitutional tool that a reporter has. it's not a crime for him to ask for confidential information, it's not a crime for him to receive it. it's not a crime for him to possess it and it's not a crime for him to publish it. stuart: is it a case of another example of the administration going after conservatives or perceived conservatives? >> i don't know the answer to that. i do know that the fbi misstated the law and the federal judge ought to have known that and no basis to sign the search warrant that resulted in the seizure of james' telephone records and they followed him throughout the state department, they followed his fox i.d. every time he swiped it they knew about it. >> we didn't learn much, but i enjoyed watching them squirm. >> and all right, everyone, judge, thank you for being with us today. >> a pleasure. >> charles, always a pleasure, shin's.

it's yours. dagen: thank you. connell: breaking stories. thanks for joining us. i am connell mcshane. dagen: i am dagen mcdowell with a horrific scene in oklahoma and other parts of the midwest as more tornadoes are expected today. connell: stay in put and keeping those jobs, a big data jamie dimon and we are live from the shareholder meeting of jpmorgan. dagen: florida to capitol hill investigations go more. the former irs commissioner in the middle of the targeting scandal delivering his first testimony to congress as tea party protestors rallied around the country. connell: don't forget about apple, the ceo defending his company dance accusations it dodged taxes and also happening in washington, we have that story and more coming up in markets now. >> prayers are with the