of health care. >> they're not making enough to driveemand. neil: you're not hearing me. it will come back and maybe talk again. thank you. we will see wherellis report" at 6:00 p.m. right now -- >> "money" with adam shapiro. >> i'm adam shapiro in for melissa francis and here's what's money tonight. franchise friday, party two. today is all about perfect location. picking the wrong spot can lead to catastrophe. our franchise owners tell us how to overcome one of the biggest threats to your success. plus bill gates throws down the gauntlet on google. he crashes their ambitious charity project as a waste of money and resources. is he right? two top experts are here. they will square off. "who made money today." they have been buriedy the competition and regulation this is year but they're smiling brightly right now. keep watching to find out who it is. even whether they say it's not, it is always about money.

adam: good to be with you, our top story this eveng. president obama holding first solo news conference in several months t ended about an hour ago. he is about to head away on vacation but he barely addressed the struggli state of the u.s. economy maybe that's why a fox poll shows 71% of voters say the president is not offering anything new. joining us now to discuss this, foer republican senator scott brown and former democratic congressn dennis kucinich. both are fox news contributors. i want to welcome you to the program. join in with one thing the president d say in regards to the economy. take a listen. we'll get rction on the other si. >> right now if you look at the biggest challenges we have, the challenge is not inflation.

the challenge is, we've still got too many people out o work, too many long-term uneloyed. too much slack inhe economy. and, we're not growing as fast as we should. adam: so do you think the president did enough to deliver today and what should the president do to make americans feel the economy is actually getting back on track? i will start with former congressman dennis kucinich. this could have been right out of paul krugman's article column 2349 "new york times." is the president addressing the economy? is he helping put people back to work? he didn't really address it? >> well, you can talk about it but that doesn't mean you're addressing it. what'sappened is, throuout the president's term, we've let a structural level of unemployment that is unacptable. we have 10 million people out of work. another 10 million people are underemployed. production capacity of the

nation is not being used. it is more concerned about wall street. impending appointment of larry summers is disaster trying to come up with new policies. we need the fed's role changed @nd federal reserve to step back and government needs to move forward to get america's economy going again and build our infrastructure and get millions of people back to work. there are things we can do, but we can't do it putting it back in the hands of the fed and think wall street will prrme the econom with more innovation. it is not happening. adam: senator brown, i imagine you would agree you can't rely on the federal reserve to save this economy but i would bet you disagree a little with congressman cues cues? >> if you listen to the congressman, i have a lot of respect for him. we have to have the federal government to do a, b, c. and hey, mr. president, tell the federal government to get out of individual businesses and do their jobs. they're overregulated. we have highest corporate tax rate in the world. you have obamacare, 18 new medical device taxes crushing

businesses in massachusetts and throughout the count. there's a lot we can do, but first thing they need to is get out of the way so businesses and individuals can start to use the things they do best and that is create jobs. create an environment for creating jobs. have the confidence in the economy the united states to, businesses and let them d what they do best. not the federal government.

people are overtaxed, tired of business as usual. the government has let individuals do their jobsnd if not we will have more of 17 trend dollars national debt. certain sectors doinn okay, but in general everything is flat and we're in trouble.

the fed is slowing down printing money but we cannot continue along this path. >> the federal government might cut back on spending and not raise taxes, it is still a burden on the business owner and the consumer. >> i'm not for tax increase of any kind. this huge growing national security state is a waste of money. we need to invest in our country. we need a government to play a role incentivizin business and at the same time where is the capital, and from? government needs to step forward. we need a change of monetary policy where without increasing taxes or without increasing our debt we can rebuild the infrastructure. i have talked about that for 10 years in congress. the federal reserve is one of the principal reasons why the economy is not working for main street.

the president has had years. the president has had years to do this. u can talk to any business, construction companies, laborers,the obamacare is crushing labor, the so-called police, fire, the labor health care plan. taking more and more out of hard-working americans pocketbooks, it is not being spent wisely. we need to do it better. the american people deserve better. >> thank you both for joining us here on "money" with melissa francis. the talk this week has been fannie mae and freddie mac and at to do with them despite reporting enormous profit. president obama wants to eventually make them private but tom sullivan has something to say about that. >> fannie mae and freddie mac, can you put them back together

again? i think you can the esident wants to wipe them down, take a loss. i believe they are not only viable, they worked for 70 years it provided money to generations of homeowners. what went terribly wrong was not them, it was, push them to make loans to people preously not qualified. the solution is to go back to the simple rules. 20% down with credit, it worked for years and the president said the private mortgage business should now make e loans. without the flow of funds from fatt and feddie there will be limited investor meyfor mortgages, banks will become pickier than ever before and who gets a mortgage. they will need to keep more mortgages in the bank's portfolio which means higher interest rates. the president gets his way, my opinion is it will kill the struggling real estate recovery. isn't there someone at the white house who knows his plan

would be a disaster? adam: you can catch the tom sullivan show saturday and sunday on the fox business network. next on "money," president obama has no plans restore the public's trust regarding u.s. surveillance programs. so why did they just get forced into shutting down? plus a chae of heart for blackberry. the smartphone maker may go private. is it a smart idea? will it save blackberry from going under? we have more "ney" coming up.

adam: to cyber security companies are now clicking off. edward noted shutting the doors citing government scrutiny into their business and almost immediately after that announcement they count heads of states as customers follow suit

closing is encrypted e-mail service. what does th mean for you, what does it mean for all of us and what can come out of it? the e-mail is stored on a cloud, the government goes potentially to say we have that e-mail. with the technology or your product, doesn't matter where it is stored, it comes to me to get that key, correct? >> we have the debate about whether society can and cannot or should or should not be able to do i think all of us have to remember as business people there are steps we can take to protect our data ourselves. adam: man who founded and runs

the company says i wish i cod share with you the events that led to my decision. i cannot. i feel you deserve to know what is going on. the first amendment is supposed to guarantee mthe freedom of speech in situations like this. unfortunately congress paed laws that say otherwise. what do they has happened to him and what does it do even though your buness is drastically different than what he is doing, again you are not storing an e-mail but how do you gea customer like me to feel confident maybe i will go with yoo. does it scare them off altogether? >> we don't know what took place. there is obvious in the sides this story an important thing to remember is what is taking place legally under the provisions of operating within the law. the big differences he point out earlier, adam, my organization entsts a third-party, lavabit or any

other provider. it is your data going into their environment. that is really what the cloud is all about. when you do at, you should take necessary steps for the privacy and maintain ownership. adam: if it had been your company, the government would not have come to you, where would they have gone? it would have come to me for the e-mail. >> we don't hold the keys, don't have access to the keys, it is created by the organization that owns the data, they create the keys and control the keys. for many years he is to have all these systems on the premise environment. adam: that is where it was stored, no outside connection, they had to come to the business

to get it. this could be a big boom to your business or perhaps a threat to your business. she is in the governnt may come after a company like yours and say no more encryption like this because they want access to everybody's e-mail? >> i think the answer is no, resoundingly no. companies have legitimate business needs to protect their data. as a matter of fact they are required to protect their dta and encrypt their data. the health care organizations, pci, process credit card transactions, so for that financial services. these laws mandate encryption. adam: as we wrap up, what you are saying is this will be a boom for your business. you are not store in the lavabit was. all you provide is encryption and you give the key belonging to the owner of the data so the

government never deals with you, and hato go with the service. >> you're going to get better it. adam: you provide a lock that cannot be broken. in this case the government is going to the people who have the cloud. what you are saying is the government comes to the owner of the ta, me. i am protecting my data with your product but government will come to me and that is the way it should be. >> it is your data, yoon the key. that is most important thing you can remember. you have to maintain the control of the key yourself. i think this is opening up a lot of people's eyes and we're getting lot of in bounding increase as a result. adam: thank you for joining us. western pennsylvania, looking at a hhge job loss, more than 1000 jobs over this whole government spying scandal. u.s. investigations is the

company that did the background checks on edward snowed in. now under federal investigation over its practices and could result in massive layoffs. fox news correspondents covering the story. >> roughly 1500 employees work for u.s. investigation services in western pennsylvania. 800 in nearby iron mountain. they have $200 million contract with the u.s. government to conduct an reviebackground checks. a contracthat could lo of a federal investigation finds the company rushed background checks. they have refused to comment for our story but a rmer analyst who did not want to be identified tells fox she was constantly pushed by her managers to get her work done fast it was cleared her bosses were getting the orders to speed things up. >> there would be weeks the supervisors would walk around all happy, everything was fine and in the blink of an eye they would come back to us and be

like starting today it is three hours overtime. they are hounding us, breathing down our necks, we have to get the work out to them. >> if that is true, the government shod yank the company contracts issuing this statement to fox. private contraors are doing a huge bulk of the background checks and it is nothinghort of a national security threat if they are not conducting those checks with the care and attention needed. a concern for area jobs has touched local and national leaders who hope there is not a rush to judgment. >> nobody wants it to be perfect more than these people. they understand the importance for the country and understand the importance for their company. >> no word when it will wrap up. a spokesperson tells fox you can't give an estimate of how long a complex case like this could take. we will bring you the latest when we get it. adam: coming up on "money," will

blackberryo private? will this go absolute? and the pioneer who gave us smart phones reportedly warming to the ideao save himself from oblivion. one of the shareholders will be here to talk about it. plus, it is franchise friday. all about location, location, location. w do you pick the perfect spot for your new business? one false step can ruin it. the ever have too much "money"?

♪ adam: whether it is on wall street or main street, anybody bullish on the coin industry, they got a big boost from moody's today changing the

outlook to stable from negative. they had been crusd by stiff competition and tough regulation this year. hopes the worst may be overspenng coal stocks jumping across the board today. losing money, bill ackman as well as anybody who owns jcpenney. swinging back to fire the current ceo. and jcpenney stock sank nearly 6%. the hedge fundowns about 39 million sres of jcpenney. so he st nearly $31 million today. sounds like homer simpson. cutting itself off from making money, stopping selling individual jerseys on their website. critics say it was profiting off of player names, players themselves of course are not allowed to profit from their talent. investors are betting on blackberry after a report the

company is at least considering a plan to cope private. the initial leader was the leader has certaanly seen interest fade in recent years. not as many people in the street with the once ubiquitous crackberry. the chairman and ceo of jaguar financial which has significant stake in blackberry. thank you for joining us. am i holding an obsolet obsoletn my hand? >> on the financials come out at the end of august 31 will show a more improved sales picture. i think they should really give up the consumer battle. their call competency was business and government. stray away from that. adam: have they gone too far away? no kia windows phone system has

surpassed them now. that is pretty significant. would it make more sense to go private and sell the soft? wouldn't the patents be the thing to do? >> the net a asset pharmacies te current stock price just below 10. we talked with hardware business software and services business. spun out potentially a private company and ao cash. forget iexcess of where the market price is right now. the culture of the company ready for a sale. today's rumor, if it in fact is true will make investors feel a little happier because for a long period of time they had avoided talk as a serious m&a transaction. engaging about a year and half ago. adam: first, going private, he

wants to take it private but wants to transfer him that company into a software services company. >> i don't think you can do that with blackberry. the value being in some of the software. the hardware side is pretty much done at this point, so wouldn't the logical conclusion be selling off the bids and if not talk about a mger? >> the michael dell situation is a case in point. you are absolutely right. very down. huge competitors, the focus there is to become effectively a small ibm. iin the case of blackberry unit bunch of options. you could do a deal with a bunch of private equity firms, the united states and canada coupled with fairfax, and as a second option you have the club deal

but it is strategic investor or a strategic buyer of a business. that could be ibm or microsoft, it could be others as well. you have to canvass the waterfront to see who is out there. the third could be a simple breakup of a company into four parts, dividd good chunk of cash, spin t a patent company, sell the software and services business. you are right, 71% of the revenues, but probably worth a dollar an half, $2 per share, very small. the collection of those assets inhe right transaction could ve you $15 plus. adam: say somebody in china or somebody like that give the kind of first financial backing that would be needed to keep the company alive is a software mpany corporated into much bigger owner now? >> i think that is really a good option.

lenovo has been very open indicating we look at a bunch of acquisitions, we looked at blackberry a few times. that would be a merger between the two. a $5 billion market cap for blackberry and lenovo around $10 billion. they're playing it really smart and right. we have to get used to them because they're focused on developing countries. they stayed ay from the u.s., that merger would make a lot of sense. adam: as share price you think to take this company private, 15, $16 per share? >> $15 plus. adam: my favorite car is a jaguar. l the best to you. time now for today's fuel gauge rert. china's oil imports leaked to an all-time high.

up 14% after june. energy information ministration says china will now topped the u.s. as the world's biggest importer of oil in october. meanwhile projecting tracng will boost u.s. oil production by 14% this year alone hitting 7.4 million barrels per day. that will be the highest level in the united states since 1991. oil prices snapped a five-game losing streak. helping fuel the rally. oil left about two and .5% settling $105.95 per barrel. next on "money," franchise fridayart two. franchise owners are back and they guide us through one the biggest hurdles they face. plus, bill gates trashing google, ripping the charity work is a waste of time and money. we have both sides represented

to duke it o. "piles of money" coming up.

♪ adam: you can be your own boss. franchise friday.

after leaaning the initial steps to take to open your own business today it is all about location, location, location. one of the most difficult decisions is howo find the perfect place for your franchise and you're going to hear what goes into the process and what not to do. if you ever dreamed of making money by starting a franchise, this is the closest you can get to your own first-hand experience. currently owning to subway franchises and just starting the process with franchise newbie. in the middle of her own search for the right spot and eventually will be opening for restaurants. welcome back to the show, both of you. how is the search going and what has been aggravating about it? >> finding a location. you have to look for parking, visibility, accessibility to where you're looking at location and a little bit harder for me on the other hand because i was looking at for counties at first, so now i am like lettuce

back it up and take one county at a time. the owners are out there this week looking around applications with us during the demographics and also having their team give us information which really helps out. so we have numerous places today and on the road again tomorrow. adam: your first experience and then leaves for lation, was that you? >> i was working on something and it did not come to a mutual agreement so we parted ways. that was threeeeks ithe works. adam: three weeks yocannot get back. john, you opened to restaurants already. foot traffic, you want to find out where you are, but what are the things he did not expect choosing the first location and how did it make it easier on the second? >> rules and regulations for example signage, signage in

every area is different, different height requirements and other things that go into it to make sure you understand your rules and regulations. it can send you and your visibility which we were touching upon. adam: i was being briefed about your business, do not realize this but he had to make sure the situation with taxes. i assumed the landlord wld pay the taxes. >> make sure there are no hidden things, is the landlord responsible for the taxes or are you? all of a sudden you have more money to put out into the business. adam: have you encountered these kind of weird, every county has a different municipality for what you can do. has that been a part of th hurdle? >> i will dive into it more.

you have to find a good location to really make it work. adam: what is your biggest fear once you have the place that might be the backfire? what are the hurdles you are trying to avoid. john, you have been dodown this road, the second one you chose i am sure it went smoother than the rst one. why is that? >> you feel a little easier because you know what to expect for the most part and you can mitigate your risks a have a better timeline in organizing. adam: how long should it take to find the first location? >> it varies for each person. i would save have to wait and sit and wait out until you have a good feeling about iand negotiate something proper. adam: it will be different than what she is looking at because you are going to have foot traffic.

you have to be looking i am imagining the ability to park my car for five minutes more important than to jump off of a subway. >> it is a different situation. we're so looking in the new brunswick area so we have little bit of wiggle room but other parts there is not so much foot traffic. you need parking, visibility down the road t see what you are pulling into. adam: new yorkers may remember my big claim to fame. with taco bell run over with rats, that is my story. how do you make sure it does not happen at one of your franchises or those kind of nightmare locations are not when you go near because you are operating a wellstablished food restaurant. >> you need a good system in place. adam: would that be at the restaurant owner or the landlord?

>> you are in charge of your location and your site. adam: if you had some advice getting into this process with landlords. red flags that you did n know about that you can save her from. >> speak to professionals, accounting, legal counsel as well, those are the things to avoid in the unforeseen obstacles. >> i am finding some people that i should hire a broker, but you're going to be paying broker fees. i am good at negotiating, so have had things i'm happy wwth. i am wasting my money, but if i could get something cheaper, one thing washes the other out. adam: you are a business woman, you understand these issues already. what is most rewarding thing already?

are you are, in charge of your destiny, what is that like? >> it is very rewarding. goodamily, good food and i'm looking to grow the and with everyone. am: look forward to having each of you be successful and we appreciate you for being here. thank you. of course there is a regulation in new york ty you cannot put cookies back into the subway box for the staff appreciate the cookies. efforts by google to bring it next to the third world. do nothing to uplift the poor. isn't there something to be said for bringing the third world into the modern age? experts to weigh in on that one. plus they look like regur lollipops but they don't taste likeregular lollipops because they are infused with marijuana. why is he lding onto tose so tightly? available to a city near you.

from one of his weed wagons. buckle up, it is a long ride. at the end of the day it is all about cash.

adam: don't you love when billionaires duke it out? on one side billionaire bill gates, on the other google humanitarian handiwork. gates going after google. it uses hot air balloons to bring the internet to developing countries. gates says unlike his charitable work, google is not really helping anybody. the microft founder's move was unprecedented and seemingly unprovoked but does he have a point? here to face-off, science and tech editor going to bat for gates. and siding with google. welcome to you both. . gates seems to be out of line here. why is he not? >> can i se say he slped google

here? theyant to crea internet so they can have access to it. >> it is a good idea but perhaps google could be spending their money little bit better. it seems to me they need to have a bit of it of guidance. a bunch of supersmart eggheads and ey are not drilling wells are fighting malaria, they're adam: he savior die malaria and disabling with wi-fi service, will be due. he has a point, doesn't he? >> bill gates on the ground, google in the sky. trying to bring internet and multiple surveys have found the gdp per capita increas for every 10% of the population that has a cell phone. so that can help build the economy down on the ground which hopefully will result be able to fight malaria on their own.

adam: do they have cell phones yet? we all know about computers. >> some areas already have cell phones, if they are dying of malaria it will be hard to start your own business. >> delays the living standards along comes medicine and health care comes with rising living standards. >> issue is more fundamental problems that still exist. while it is a good idea where putting intnet up there, the concept is actually pretty cool, clever. very clever, but let's drill some wells. adam: but they are. they are doing that. why is it so wng? others can have internet service. >> that is the point, is good they are doing that. it seems silly to evaluate the merits of charity here.

but if we have to, i will do it. i think bill gates is right, that is where the money should be spent. >> usually fighting malaria while builng an internet portal cit to have the best of h worlds. adam: it is not like google says were laughing our general direction. imagine this kind of programs are going on where google wants to bring access service that they are having active, clean water efforts as well, so why not do it all? >> google has a bunch of really smart people. they hire the best talent, the smartest minds and i let them whatever they want. i think that is the real issue here. maybe they shouldn't be doing whatever possible thing they want. maybe they need somebody in charge of the company to step in and say this is a better way you could be using the gia

egghead. >> they say who is innovating, what is going on, here is google. they donate to the red cross, but google is doing self driving cars. google glass. and net access. let them be innovative. adam: what about a smack down at madison square garden. >> bill gates will never win any fights. adam: m going to leave it right there. if you happen to be watching in a cuntry provided by wi-fi in one of these balloons,e appreciate you watching. if you're walking around and you see a weed wagon driven by or driven by, you are not losing anything. they are driving pot laced lollipops sparking controversy

which is why i'm about to run downstairs and meet this guy. we will meet him in just a second and investite this barely legal story. next. ♪

♪ >>t is time for friday five with a "spare change." show them the truck. we have seen this around town selli the latest

lollipops' talk about my times and meet the owner of this mobilebusiness jning us now to answer the question of it is legal. how should i address you? >>. >> >> this is the chemical of marijuana that gets you high with majuann. >> would lead to% have. >> that is different but the lead has anywhe from 2%. >> you have strands like teethirteen -- g13 could be high as 26% like a girl scout cookie at 30%. >> thc is a controlled

substance i find hard to believe the n.y.p.d. is not arresting new. it would be a legal. >> that is why we ue one digit percentage up. >> that es not have the same thc content but in states wre it is legal is business? >> it is approved with legal and/or legal weatr hampered or if anything goes , business is wonderful. >> in new york you could eat 100 you just have a to make but in colorado were those legalize products you could just take one or two? >> with a person like a cancer patient yesterday it is hard for them to eat they don't have an appete they said no prescribed medication but the candy is good for them to help their appetite and make them feel

better. >> what kind of reaction do you get when they see your truck? and show them. >> they get excited. some people try to call the police saying that we are selling marijuana. >> are you franchising? homage to make? i assume you're doing pretty well. >> whave several homers and a couple dozen vehicles across the country. >> coverage does it cost to buy into the franchise? >> 100,000. >>hat is more than a subway. but first you have al homageo gr year nationwide? >> i will let my lawyer get in touch with y. >> just like dash and

pitcher though boyer will be in touch with you. [laughter] when it is legal we did have another discussion and. i will draw back topotential ann all agree on that. thank you so much. have a great night. >> ♪ ♪ anything you can do, i can do better ♪ ♪ john: women get paid less than men. should government force this to change? the government trying to force equalityand even in sports. >> one of 10 games the school is cutting. >> are there differences between boys and girls? the attle of the sexes. that is our show