maria: going into overtime. sudden death. it's amazing. that is about it. girls, have a great weekend. it is time for "varney & company." stuart: look at him dancing around microsoft. $2 billion for la's other basketball team. he was sure in your face. the intolerance of modern liberals. the new big thing. u.s. game on ali baba. technology. microsoft tries to get ahead of the game. the stock is up. a taxi for 2017.

approval for virgin pic space credit. millions of lives lost. the last day of may. the friday addition of "varney & company" is about to begin. ♪ stuart: look at the big board. two good rallies away from 17,000. another record for the s&p. as for the 10 year treasury yield, yes, it has moved up a little bit from yesterday. last barometer for you. the price of gold still going down. there are some big names that

are moving today. charles payne reason pics. apple up 12%. netflix up 18%. that is this month. charles, you have 10 seconds. charles: making money with charles payne. stuart: what is it called again? charles: making money with charles payne. stuart: that is a good friday morning introduction. charles: people taking profits on netflix. stuart: there is more news on

apple. the stock is up today, by the way. nicole: goldman sachs is back. it is a buy rating. you see the stock up 1%. a new price target. up from 635. that is certainly helping things along. go charles on his new show. stuart: all right. that is market action this friday morning. a very surprising story. he is the guy perhaps known for the wild act vix on stage. buying the los angeles clippers. he is paying $2 billion. forbes contributor is here.

the value is at $2 billion. vastly increasing the audience. vastly increasing sports team values. >> that is correct. there are two other factors we have to keep in mind. the nba is a shared monopoly. when you have one seller and a lot of bidders, you have to create a price. a very unique opportunity here. they will take people's interests away from buying the team. someone gets to walk in now and be the shining knights in armor. i think they are willing to pay more. stuart: a whopping increase to

$2 billion. it is up by 25%. just going through the roof. yankees baseball. 2.5 billion. now to the clippers. the second team. >> it is the dodgers. we are dealing with $128 million. that is less than the revenues of the universities. something is going on here. more than just the big market. stuart: charles. >> we are pretty fixated.

whether it is air b&b, what's app. stuart: you think in 1981 they said you are crazy. charles: it was drug infested. no one watching the games. stuart: that was 30 years ago. charles: i know. >> it is also possible that people's interests would be change. stuart: soccer teams. >> coming to the u.s. very quick. stuart: the gop has a nuke pact eric when asked about climate change. liz, i am not qualified to debate the science of climate change.

i ask the students, who understand to deal with climate change. it involves hurting our economy. the "wall street journal" mary kissel joining us now. when i first saw this, all i heard was, i do not know anything about science. >> it is a terrible tragedy, stuart. every proposal would kill jobs and keep a lot of people poor. what you should be saying is, look, there is no consensus about climate change. it is absolutely bogus. it is a lie. they should be talking about the

consequences. not just to you and me, but everywhere else in america. i think it is a cowardly way. stuart: the majority in the house -- charles: i know. a lot of people saying he is so much weaker. stuart: okay. >> i think he is wobbly on a couple of key issues. stuart: okay. we are calling it the private sector to her specialist. signing a deal with the faa. they have elon musk.

he unveiled the next version of the spacex dragon. the dragon d2. >> i absolutely love these guys. i really do. i wish they were born in america. we need to bring kendall that. really, i love these guys. we can do it. everything we dreamed of as people. we can make it come true. it seems like he is taking on the government. stuart: you have a problem with elon musk. >> i respect what he has done with the private sector.

the california legislature is looking at a special tax. you know what -- stuart: wait a second. listen to the lady. a very good point. >> we could have private space. it will work. you have to wonder what would have happened. would we have had this kind of innovation earlier? absolutely. he is getting some help here. stuart: i do not see that. i am not sure i can see that. >> you have to talk to some of these entrepreneurs that were in the aviation industry. charles: the ability to go into the air in the first place.

you know. stuart: why don't you on your new show get elon musk and give him a hard time. charles: i absolutely will. stuart: time is money. thirty seconds. friday morning. microsoft developing its own smart watch. working with android and smart phones. the stock is up. bloomberg making a fiery speech at harvard. should know better. yes, sir. blaming the bad economy on the weather. i think there is more to the story. coming up next, it is one of the hardest games on apples i store. the first u.s. mobile made game

to head to china. we are talking to the guy that created the hit game next. ♪

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♪ stuart: check out the big board this friday morning. look at the price of gold. it is moving further lower. down $12. the price of oil hovering right around $102. almost 40. earlier on apple. up 13% now. the hit iphone game dots. here is the founder. welcome to the program.

>> we did not pay them. we took the trip over there. we just like ali baba. you get your downloads by charting in the app store. it is very difficult. stuart: how big of a market are you actually getting into? is it bigger than the united states? >> yes. a lot say let's go to the u.s., conquer parts of europe and eventually go into asia. in gaming, asia is where it's at.

>> neighbors who have temporarily assigned to work with the da. they have presented me with facilities nationwide. what they found is the misconduct has not been limited to a few va facilities, but many across the country. it is totally unacceptable. our veterans deserve the best. they have earned it. last week i said if we found this conduct it would be punished and i met it. the secretary has began the process of firing many people responsible. they have canceled any possible performances for executives and has ordered the va to personally contact every veteran in phoenix waiting for appointments to get them the care that they need and deserve. i think you also heard rick take

a truly remarkable action and public remarks he took responsibility for the conduct of those facilities and apologized to his fellow veterans and the american people. the secretary offered me his own resignation. with considerable regret, i accepted. he had served his country with honor for nearly 50 years. he did two tours of combat in vietnam. he left a part of himself on the battlefields. he rose to command the first cavalry division. served as army chief of staff and has never been afraid to speak. the secretary of the va, he presided over investments. and rolling 2 million new veterans and healthcare. making it easier for veterans

with post traumatic stress, mental health issues and dramatic train injury to get treatment. proven care for our women veterans. he helped reduce veteran homelessness and helped 1 million veteran service members and families pursue their education under the post 9/11 g.i. bill. rick's commitment to our veterans is unquestionable. a service to our country is exemplary. i am grateful for his service as are many veterans across the country. he has worked hard to investigate and identify the problems with access to care. the va needs new leadership to address it. he does not want to be a distraction because his party is to fix the problem and make sure that our veterans are getting

the care that they need. that was rick's judgment on behalf of the fellow veterans. i agree. we do not have time for distractions. we need to fix the problems. for now, sloan gibson will take on the reins of acting secretary. he became part just a few months ago. his grandfather fought on the front lines of world war i. sloan has 20 years of experience

i am rageful that he is willing to take on this task. i met was sloan after i met with rick this morning. they are helping to help the department transition. we will work diligently for a new permanent va secretary. we will do right by our veterans across the board. as long as it takes. we will not stop working to make sure that they get the care that they have earned and deserve. i said we would not tolerate misconduct and we will not. we have to do better and we will. too many veterans receiving care right now. an honest assessment.

some of our men and women in uniform -- our newest army officers graduated from west point. there are troops currently serving in afghanistan. our veterans and military families at arlington. what i saw is what i have seen in every single member, selfless commitment to serving our country the best way that they know how. they are the best that our country has to offer. they do their duty. they expect us to do hours. today i want every man and woman to know whether you're two or has been over four decades or is just about to end, we will never stop working. i will take a couple questions.

leo from military times. >> mr. president, what changed your opinion about the secretary? what made the difference in your mind? >> ricks judgment. i think his belief that he would be a distraction from the task at hand which is make sure that his fellow veterans are getting the services that they need. i want to reiterate. he is a very good man. he has been an outstanding soldier. he is a good person. he has done and don't worry work on our behalf. under his leadership, we have seen more progress at the va dan

just about any other va secretary. brought in folks that had been exposed, ones that have been waiting for decades to get services. making sure that post traumatic stress disorder was taking care of. making sure they got what they need. he has been a champion of our veterans. where there are problems, he has been ready and willing to get in there and fix them. shot up as a consequence of the

admission of veterans as well as making it easier to apply for post traumatic stress disorder. he went address at a systematic way. we occupy not just an environment that cause for management fixes, we also have to do with congress and you guys. i think it is ricks judgment that he could not carry out the next stages of reform without being a distraction himself. my assessment was, unfortunately, that he was right. i regret that he has to resign

under these circumstances, but i also have confidence in sloan. i share the assessment that the number one priority is making sure that problems get fixed so if there is a veteran out there that needs help, they are getting a schedule and they are able to come in and see a doctor. if there are facilities that -- that information immediately gets in the hands of decision makers. all the way up to me and all the way to congress. that seems to be the biggest problem. i think that is the problem that offended the secretary the most during this process. he described to me the fact that when he was in the header he may have to order an attack based on a phone call from a twentysomething-year-old corporal. he has to trust that he is

getting good information and it is life or death. i think he is a deeply disappointed in the fact that that no bad news got to him. his party priority now is to make sure it happens. he felt like the leadership would serve our veterans best and i agree with him. >> based on the audit, the early-stage audit, is there a sense that there was criminal wrongdoing? how much responsibility do you personally care? >> i will leave it up to the justice department.

i always take responsibility for whatever happens. i know that they were not getting the kind of services and benefits that they had earned. we will fix it. the va is a big organization that has had problems for a very long time. what we try to do is systematically go after the problems that we are aware of to fix it. where we have seen our veterans not being properly served, whether it was too many or a disability claims process that was taking too long.

we have increased funding. it is not enough just to give service to our veterans but not be able to put our money where our mouth is. we have seen a problem. we have been aware of a problem. we have been able to make significant progress. what is absolutely clear is the issue of scheduling is one that it should not surface to a level where rick was aware of it or we weren't able to see it.

this is not something that we were hearing when i was traveling around the country. the particular issue of schedule. how do we make sure that we get information about systems that are not working? it was described to me in very specific detail. you have computer systems for scheduling that date back to the 90s. looking out for our five different screens to win their may be a doctor available. this is stuff that is not

imminently fixable. that information did not serve us sooner. one last point i want to make. our veteran service organizations in the south. i think it is important to keep in mind that what the review indicate so far at least is there have been great strides made. the challenge is getting

veterans into the door particularly for the first period where they do not have an established relationship with their doctor. part of that will be technology. part of that will be management. the bha as, or the va as a whole will make sure that that news gets serviced quickly so that things can get fixed. next question. >> if i remember secretary to billy is offered you her resignation and you took lined to take it. i wonder if there is a little

safe coding take place. >> meaning? >> the function in the department seems very deep and very wide spread. what i am asking is, is there a political reason other than going straight to the problem? >> the distractions are political. what i want is somebody at the va who is not spending time outside of solving problems with veterans. are we fixing the system? have we made a realistic

assessment? how will we bring the wait times down? if we need more money, how much more money do we need? how will i make sure congress delivers? i thought it would be a distraction to replace. i want to stay focused.

in each instance, my primary decision is based on how can i deliver? because they are people of integrity, certainly in the case here, they have the same priority. their view is what is it that will best deliver on behalf of folks that have been led down. >> at the time, you felt she had so much knowledge about what had gone wrong. why does someone with three months of leadership in the department have? >> we will need a new va secretary. the nature of the problem that

has surfaced and has been the cause of this is one that we can start tackling right away. we will have some longer-term issues that we will have to take care of. my first step is everyone who is out there waiting, get them an appointment. if we need more .there's, let's figure out how we can make sure that they are getting the help that they need. even if it is still patchwork, how do we make sure? those are things that do not require rocket science.

it requires execution. there will then be some broader issues that we have to tackle. it will cost some money. it will take some time. there will have to be some changes in the culture within. as i said, they are providing a very good service. medical treatment. they don't have the state of the art operations that you would want to see, for example, in the major medical center or hospital. trying to get an appointment for a hospital visit.

there are probably some wait times as well. my suspicion is, with the veterans, the aging of our vietnam vets who may have more chronic illnesses, need more visits, we may need to get more doctors. we may need to get more nurses. it will have to be rough like did in the veteran affairs budget. i have consistently increased it. even during fiscally tight times there have been no areas where i have made more priority than making sure we have delivered the kind of budget necessary to make sure our veterans are being served. it may still not be enough. our first job is led us take care of some management issues

that i think can be fixed. all right. thank you. stuart: number one, the general at the va secretary is out. top executives, we do not know how many, will be fired. bonuses canceled. the misconduct was more broad-based than first thought. he concluded his statement by asking two questions. what kind of new technology do we need and how much money do we need? mary kissel and charles payne are still with us. >> it shows once again this president stunning ignorance. if you put the government in charge of the sahara desert, there would be a shortage of sand. firing him does not change that. a private-sector competition.

the gop should push him on that. stuart: the president of the united states had said, we have to get the private sector are involved. you just destroyed the whole administration. charles: everything with respect to health care. it was so disingenuous. this has been a priority for his presidency. getting the money from congress will be a challenge. it was a typical political

speech. stuart: hold on a second. another va story for us. this one is about taxpayer money spent on people doing union work. you have a story that is ads on. people, nurses, i think. union representatives. >> 174 healthcare professionals. being paid by the taxpayers full-time. they are full-time union workers. stuart: 174? >> yes. a substantial amount of money. the longest wait times in the nation. they are just sitting around not helping veterans. columbia south carolina.

it is criminal. stuart: well, not criminal. i think it is outrageous. the president cannot introduce private enterprise concepts into this public provision of healthcare. does your union story fit into that? >> the va will be pushing for more and more spending. it is a big money maker. the president asking for more and more money. there is no guarantee it will go to veterans. stuart: okay. we've got it. 174 healthcare professionals. that is the story. thank you very much, indeed. we will regroup in a moment. mike bloomberg blasts liberals.

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stuart: it has been one of those weeks. record territory. ontrack for the 14th record close. charles has two big names you know. he likes them both. he will start with yelp. i had to share it with the audience. i got a lot of feed back. i think you hold onto it. let them go crazy. i think it will be a household name. stuart: twitter. charles: i like it now. two more upgrades. forty, here we come. stuart: thank you, charles.

listen closely to michael bloomberg. he criticized, he criticized modern liberals for their intolerance and diverse ideas. >> a number of college commencement speakers withdraw. the protest from students and to me shockingly from faculty and administrators who should know better. they deny the honorary degree to individuals that they deemed politically rejection all. >> it cannot be said enough. all the way to the senate. the mayor that impose the artificial and the big g band.

really, mayor bloomberg, i commend him for it. a full fledged assault on the constitution. i understand where mary is coming on this. i really think more people need to sign up. >> i will. when you look at china, you should think about what he said. stuart: now this. artwork. returned to the rightful owners. now, those paintings on the auction block. how much will it go for? is there value enhanced? we will show you in a moment. >> put a team together and do

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stuart: 17 century paintings confiscated. they were just returned to their rightful owners. nicholas, welcome back. >> thank you. am i pronouncing it correctly? >> this was a picture that was originally made. the nazis made them sell this picture in 1936. stuart: okay. very good. okay. that was up for auction.

do you have a reserve price on that? do you think that the enhanced value is enhanced because of its providence? >> i would say rather than because it was in his collection, the enhanced value. very good. stuart: thank you very much, indeed. the flemish picture. who did that one? >> this one was stolen. we do not know exactly who buy. this was destined for hitler's personal museum. it was one of the many paintings which was documented and discussed in the monuments.

very little painting. one of those hundreds of paintings that was destined for that museum. stuart: we are running a clip now from "the monument men." >> this was three to 500,000. we are expecting it to exceed the estimate. wednesday, june 4. 10:00 a.m. stuart: you do not hold auctions in the morning. >> we do. [laughter] stuart: can anyone attend an auction like that? >> absolutely anybody. it is free. before you hold your hand up, you have to be registered.

stuart: we are out of time. thank you very much indeed for joining us today. all right. popeye's chicken. not afraid of who they are. fried food. buttery biscuits. healthy profits. that is coming up in our next hour. so is brian. training hard for his weekly stay on "varney & company." can you start tomorrow?

yes sir. alright. let's share the news tomorrow. today we failrly busy. tomorrow we're booked solid. we close on the house tomorrow. i want one of these opened up. because tomorow we go live... it's a day full of promise. and often, that day arrives by train. big day today? even bigger one tomorrow. when csx trains move forward, so does the rest of the economy. csx. how tomorrow moves.

says he is a weak president. charles krauthammer says he is incompetent. bill riley says he is wishy-washy. i see barack obama is good for something. he knows how to set a bad example. ♪ headlines this friday morning,

shinszecki out, the president accept his resignation and then blames congress and the media. look at the value of sports teams to the moon. in va's other team, the clippers worth $2 billion. and honest fast-food operation like potpies, mack and cheese battery biscuits, very healthy profits, their top guy is here did he bring samples? the big apple conference starts monday, that would be the big conference by apple starts on monday. we have our wall street journal reporter. he says he thinks he knows what is coming up. brian kilmeade always a friday fixture playing rock the on broadway? no, he has nothing to say about michael bloomberg and the tea party's scotty hughes says if those millennials rock the boat we are in big trouble. friday morning to the big board, markets are up for the month of

may. we are not that far from dow 17,000. we won't get there today. another record for the s&p 500, 13 so far this year. if we close at that level it is 14 for the year. the ten year treasury yields has moved up, 246, still below 2.5%. gold moving lower, firmly below 1250 per ounce. president obama accepts a general shinseki as resignation. congressman ed whitfield is here. we all heard the announcement. roughly 90 minutes ago, less than that. what do you make of this? >> the announcement. stuart: general shinseki is out. top executives are out and the president wants more money from congress to fix the problem. what do you make of that? >> the president is good at blaming other people and never

takes responsibility himself. most people on the hill agreed general shinseki should be leaving as well as the top leadership of the va. what is happening is totally unacceptable and we provided adequate funding, we have the opportunity to provide health care for our veterans and that is not happening right now. stuart: the president is not talking about radical change, he's talking about giving it more money, new technology, putting some different people in charge. a lot of conservatives are saying you got to bring in the private sector. give veterans a voucher they could spend as any private hospital or va hospitals they like. i don't think he will go for that. >> that is a good alternative because our veterans should have access to healthcare that they decide is in their best interests and vouchers of long

been discussed and many veterans support that. i definitely think it is something we should be looking at, exploring and i think the president is wrong to dismiss it as unacceptable from the very beginning. stuart: i would like to talk about climate change and john boehner. he has said i am not a scientist. what the president does to the economy and climate change legislation. he is not a scientist. you are on the energy and commerce commission committee. are you disappointed by john boehner's retreat in some aspects of this? >> i don't know that he is retreating. we all realize human activity contributes to climate change but the question is how much? most of us disagree with the international panel on climate change. if you look at the early history of the ipc see those people

involved made it very clear they were going to use scare tactics, they were going to exaggerate the causation as well as the results of the causation and that they were not going to publicize those scientists who disagree with them. the scientific body has shown historically is not very scientific in the way it approaches this problem. it is a religion, the president is using it to garner international acclamation, saying basically his decisions are damaging america. stuart: there's not much you can do about it. you are from kentucky. he is going to hit coal really hard and you can't change that in congress because he is doing this by regulation on the epa. >> one of the frustrating things about this president he is very

good that unilateral action. he talks about working with others but is not willing to work with others and you are right, he's doing this by fiat, by executive order, by regulation. we have passed a lot of legislation, we have a bill in the senate, that will help, regulation coming out on monday. congress would decide the effective date of that so we are doing some things that you are exactly right because of harry reid controlling the senate we are limited on what he is doing. he is misleading the american people because he goes all over the world and talks about all of the above energy policy indicating i want to use everything and systematically is dismantling of the coal industry in america in a way that no other country is doing in the world. stuart: congressman ed whitfield, thanks for joining us. we appreciate it.

disappointing numbers from the natural food company. disappointing numbers, impact on the stock. >> it is down 8.8%. when you think of annie's they have cheddar bunnies and grams and bunny snacks and mack and cheese, these are things if you want to know the company, putting a longer-term chart, we remember the ideal a couple years ago. in the $20 range, and look at it now, back to the ideal levels. when you look at a long-term chart, you think obama. that is what you say. now it is up 31. stuart: look at me in arkansas. top apple executive calls the company's product pipeline the best in 25 years.

joining us from san francisco is vice came out his docket -- this is an executive who says next week, when apple holds the big conference it will be the biggest new things in 25 years. that is what the executives said. do you think you know what is coming out of the conference from apple? >> this is kind of what apple's game has been for the last year or so. they are hyping of this product pipeline coming. tim cook said we don't have great new product categories the second half of this year and everyone is waiting. worldwide developer's conference happening next week would be the place we see most of those hardware product. it tends to be a conference about software. we will seek a preview of what the new mobile operating system is going to look like and what the new math operating system

will look like and a bit of hardware but probably not the kind of exciting things people are hoping for such as a smart watch or perhaps a new box or even a bigger iphone which is the three big pillars of the hardware product cycle lot of people are waiting for. stuart: the executive was hyping this thing as apple has done before and you don't think there is much bigger coming out of this. i am wondering if the stock retreats, and stock market commentary. with a height like this and a nice run-up apple has already seen i have to wonder if they disappoint come monday morning that stock may take a hit. >> there could be some disappointment if there isn't a big splashy announcements. in the timeframe in which you are holding the stock, if you're holding it for the long term if apple is going to announce a

smart watch two or three months later, may not make a huge difference. stuart: do you think a smart watch from apple is a big deal? looking at microsoft stock at the moment they have a smart watch coming out and it is good for a $0.30 gain for microsoft. to using a smart watch from apple will be a big deal? >> for the market that other people tried something and is interesting but other people try it and it doesn't work out. and it makes a lot of sense once you see it. stuart: i am out of time. thank you for joining us. we appreciate it. the big board now down 19 points. it is another of those days. since we started the show one hour and 9 minutes ago we were down 25, down 19, that is it.

another record for the s&p 500, 1920 as of right now, if it closes there, it is the fourteenth record of the year. the economy contracted in the first three months of this year. larry 11 joins us from chicago. looks like that is a big deal. 1% contraction, in the first three months of the year and yet stocks are very close to record highs, record for the s&p 500. and it is down 2.5%. strain me out? >> you can come to grips but it is a situation where the fed has compelled the process market and continue to do it and won't stop doing it any time soon. one of your viewers out here, and the investors out there starting to figure this out.

the fed is not going to get out of the way. and two and three years, will continue a lot longer. >> i try to shy away from that. and according to the census bureau, there are more 22-year-olds in america than any other age or age group. listen to what our millenial in chief had to say about that. >> 1-third of the adult population will be millennials. 75% of the work force, increasing trend we're going to see matters alive electorally on the business front, that is tremendously. stuart: millennials taking over, scotty fuses not like that. she joins us now from asheville. but what is against millennials? >> you said it. millennials, 22-year-olds.

millennials are anybody born between 1980 all the way up until now. that means we have people who are 18 years old all the way up to 33 years old which is the category i fall into. millennials is a broad brush. stuart: i got that but let's narrow it down. are you worried about this blip in the population, the twentysomethings as they move through because they are not exactly free-market conservative types, are they? >> they don't know who they are yet. they don't have their identity. you remember being in your 20s, a decade of transition, you don't know your identity. if we sit here talking about millennials as those younger 20s to are going for their first job we are going to completely miss those of us who are on our second or third tier of our career ladder, have young children, already married, we are still millennials and we are the people who can be talking with the conservative movement. stuart: when you don't think there's any problem with the older millennials, just the

younger millennials who will learn better later on. >> i think that is exactly the old adage the more money make a more republican you become and once they realize the government is coming after those first paychecks they get and when their parents are not necessarily getting an allowances anymore or health insurance and paying it themselves that i guarantee they are going to look for is the conservative message. i don't want us to sit here and want everybody to get the. we need to not forget the people we can go after and instead of talking ages let's talk places in life, people who have goals and accomplishments, that is the talk you need to do to actually recruit voters as well as recruiting business as well. stuart: we hear you. .edu is joining us not in new york today. where are you? tennessee? >> the 7 club house for "varney and company" in nashville, tenn.. stuart: thank you very much, good to see you. popeye is chicken bucking fast-food health trend. they are not trying to make fast-food food that is good for you.

they are honest, trying to make food that tastes good. it is working for us, nice profits. the president of pot pies on with us next. i'm randy and i quit smoking with chantix. as a police officer, i've helped many people in the last 23 years. but i needed help in quitting smoking.

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stuart: popeye's fried chicken, they don't make excuses about being greasey or fried, they stick to their brand and it is working. i have some here. smells great. the president, ralph bauer is with us in studio and he did bring samples it it does smell great. >> smells fantastic. stuart: the profitability, you are making a lot of money? >> we are. we had earnings released yesterday and had five straight years of positive same-store sales and five years of earnings increases and five straight years of increased profits in our restaurants and it has been a great five years. stuart: the food police just hate you. the food is, you are just terrible. >> everybody loves us, even the

food police. we have the best tasting food, we know it, our customers -- stuart: when you know what you are talking about. looking all this fried stuff, fried chicken here, don't know what that is, fried shrimp, fried, fried chicken nuggets, fried, more fried shrimp, those are bettery biscuits, are they not? >> those are bettery biscuits and they are yummy good. we give our customers what they ask for and the best tasting food but we also have options for people who are counting their calories. we have 23 different items, 350 calories or less, blackened tenders that are fantastic. stuart: when you sell solid? >> we don't sell salad. stuart: that is brian kilmeade. you have salads and nobody buys them. >> people want the great taste.

stuart: they go for the fried stuff and don't eat the salad. >> we don't have salad. but we do have non fraud options, they like fried stuff the best, we have the best tasting food and that is why they can come to see as. stuart: when you are honest. >> we have nothing to apologize for. we give our customers what they are asking for. >> i didn't know this could be done. we are working on ranch sauce. stuart: this is brian kilmeade. >> makes you want to eat their. >> everybody knows we have the best chicken in u.s.s.r. and the best seafood but what they may not know is we have the best sauces' also. >> colonel sanders doesn't agree. >> that is true. stuart: we have just given you 3-1/2 minutes of flat-out commercial time. >> it is incredible. fried chicken is all we get out

of this. >> what do you mean that is all? i guarantee this will be the best meal you have today. stuart: ralph bauer, popeye's, ticker symbol is p l k i, popped yesterday, greater earnings, great food. appreciate it. former microsoft chief steve ballmer will most likely be the next at the los angeles, a price tag $2 billion. brian kilmeade is here, stunning how quick this is gone. has to be june 3rd deadline. mr what is his name? sterling. if he doesn't the low before june 3rd the nba takes off. >> they will sell at a forum but he will get his billions or $2 billion in this case. they can't take it or for free so they have a huge profit the steve jobs's wife was set with a big bid, larry ellison was ready

for a big bid he pay a lot of money, worth $20 billion. stuart: he is precluded by the nba buying the team earlier. why $2 billion? i say it is because of these things. watch anything, anywhere, anytime including live sporting events, massive new audience which enhances the value of the team is your watching. >> in the next two years a new tv deal will be coming up and they are very hot right now. supply and demand, supply and demand still matters. there are not many teams available, major sports in major markets, they don't come available so you have the manchester united $2.5 billion, yankees 2.3, clippers are the third most valuable team, the ones available right now and the bidding as you see by these heavy weights would have been strong. of the one i see this as moving up the value of all sports franchises, talking baseball,

basketball, soccer and nfl football. >> it is and out liars. the speed at which it is done because of a market in which it is in and the controversy which surrounded it and also think you got a guy who wants a toy, the ones and to play with. doesn't need to make a profit especially right away even though he can. stuart: stay right there. i know you will no matter what we do. it may be the last friday in may but i am fired up. brace yourself. my harshest my take yet, all about the president, next.

stuart: google is taking steps to comply with europe's right to be forgotten. to create a mechanism so you can take stuff out of the internet that you don't like about you. does that mean the internet is closing down and not as open as it used to be? no impact on the stock but it is developing is still to come on this program, brian kilmeade still here fresh off of his

rocky training. he is pumped up and going to talk about michael bloomberg's speech blasting liberals. $30 million, we will show you. a laugh out loud the other day when i saw this 9. there is no such thing as a totally useless man. they can at least show how to set a bad example. a little harsh may be and i did laugh but then i thought if you turn down the harshness, perhaps it could be applied to presidents. at this point is barack obama getting everything wrong. what president should not do. he has indeed set a bad example. in my opinion, don't get elected to run the united states when you have never run anything your life before. america is not a community to be organized by a rank amateur.

if you are bored with life, don't run for the presidency. his closest aide and confidante, valerie jarrett, writes that he is so smart he has been bored all his life. if you are still board when you occupy the oval office now about of it. pay attention to veterans to obamacare and the irs and the departments of government which are trembling over our lives. come down to earth. you are not the anointed one who will save the planet or stop the oceans from rising. talk to us, we the people. you don't seem to be engaged. you are cold, you are all live, you are not even close to your political allies. admit it when you are wrong. a president should learn from the mistakes of his early years. president obama has learned nothing. won't change course on the economy, he won't ad obamacare is a disaster and he still thinks you can create prosperity by raising taxes

again. truth is the president has shown us what not to do in so many areas. he is stubborn and even with this power and its influence sinking he is not learning much on the jaw that is not reversing course anywhere and maybe that is as it should be. barack obama is not entirely without merit. at the very least he has set a bad example. we're moving our company to new york state. the numbers are impressive. over 400,000 new private sector jobs... making new york state number two in the nation in new private sector job creation... with 10 regional development strategies to fit your business needs. and now it's even better because they've introduced startup new york...

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stuart: less money came in at lion's gate even know their movie diversion was successful, stock plunging. when you lose 12% that is a plunge. former new york mayor michael bloomberg delivering the commencement address at harvard. he criticized modern liberals. listen to this. >> this spring is serving to see a number of college commencement speakers withdraw or have their invitations rescinded at protests from students and to me, shockingly, from senior faculty and administrators who should know better. in each of these cases liberals silenced a voice and denied an honorary degree to individuals that they deemed politically objectionable. this is an outrage. stuart: i was shocked by what he had to say and surprised he's

said it. what do you think? >> makes me miss mayor bloomberg. he takes a leadership role, goes to a place where the epitome of liberalism, and with them for doing it. in the 50s conservatives tried to do to liberals and liberal trying to do it to conservatives, he is the perfect person to do it because he is not your typical conservative, he disappointed republicans the fiscally disappoints democrats. i love that he did it and glad he got people talking and the first i thought he is missing the point. exactly the point. send a message to the seniors, open up your minds. stuart: many of 1960s there was the free-speech movement starting in berkeley, calif. with mario saw audio, the free-speech movement. you might start another free speech movement now, free speech on college campuses. should be here. >> he points out the rutgers canceled after a protest,

outspoken against muslim extremists canceled it, and other examples of the new fed chair being cancelled so how wrong that is, i think sadly next year's theme will be all the commencement speakers they don't have. people will say i don't need the controversy, just get my kids in and out. >> it is insulting to educators and people who deserve that honor and deserve to speak. so proud of mayor bloomberg for saying that. stuart: the faculty is to blame and so is the administration of the college. the faculty or the board keeping out christine legardes of this world and former secretary of state, the faculty was on board with this. >> initially a lot of it comes from the student body, the faculty is not installed at the student bodies in different it won't happen. >> is cool to be controversial. education, not politics. stuart: a couple business stories, a lot going on with the cigarettes. loren is here. doctors, doctors coming out very much in favor, in defense of the

cigarettes. >> 53 scientists from asia, europe, places -- saying don't kill the ease cigarette industry until we learn more about it because the purpose of an ease cigarette is to get people to quit smoking tobacco so it is not necessarily bad so they're telling the who don't rule yet, we are defending e cigarettes. stuart: reynolds wanting to buy lorelei and they are part of the deal too. >> they bought. 6 ten years ago, 47% market share. looking at this whole thing, traditional cigarettes in the next decade will fall by 46%, the cigarettes will balloon to the bigger market, $24 billion market, bigger than traditional cigarettes, 1500%. look at the chart. stuart: as i walk around streets of new york i see people smoking all over the place. you don't smoke and ease

cigarette. i see it all over the place. we got to bring this up because brian kilmeade is here. roll it. ♪ >> just one second. why did you do that? >> i saw the movie. stuart: what are you up to? >> rocky the musical is around the block and i love musicals, only time i can be myself and i couldn't believe rocky as a musical so i went to see it, it is excellent and they said you can interview sylvester stallone, i didn't feel emotionally i was ready so i looked up rocky 1976 on my vhs and realize the training i needed to do and recreated it because just like you do, before

your show, to be physically ready, i am physically ready, clearly i am not a good beanbags. stuart: tell me the truth. how did you feel after this? you just turned 50. >> i do boxing. i am really into it. he is like a hundred. he is in unbelievable shape. i will say is this. they take the ring, rolling out over the first 12 rows in the theater and get the crowd up and send it to the stage to great effect. stuart: this is the show on broadway. >> for the first time, mostly guys on broadway. or not on broadway who were watching it. it is mostly women like broadway plays evidently. stuart: i did knows that. is that true? >> i think so. i have been in broadway statistics before. stuart: that is a shot from the show. >> he really gets punched.

stuart: that ring comes right out into the audience. >> looks like an hbo broadcast, they have professional broadcasters and the big screens next to it and even reporters which would be a perfect role for me to give me some sick days, i would like to go to broadway and pretend to be a reporter on broadway asking rocky questions. stuart: after all this you must have gotten a hundred free tickets. >> so far nothing. all i had, thanks to the people who really like that i hope for free tickets. stuart: you were on the program doing rocky. >> date night for barney. i have the perfect place for us. stuart: cash at this guy. he has been on the ever six straight hours. >> ask me questions. stuart: first quarter gdp revised to show a contraction of the economy at 1% annual rate. the left says blame the winter weather. i think there is more to the story than that. more on that after this.

>> mark zuckerberg making another big profit, the young

couples as they will donate $112 in the san francisco bat area public school system, over the next five years for the $1.1 billion charitable price, the contribution will focus on principal training. president obama announced veteran affairs secretary erich shinseki resigning amid wait time that hospitals that led to the deaths of several veterans. the president announced gibson will serve as acting secretary. stay right there, the real halftime report is next.

brian kilmeade is still here. stuart: the economy contracted by 1% at an annualized rate in the second quarter. professor frankel is with us from harvard. you say that is no big deal. >> most economists say it is unusual for an economy to contract if it is not recessionary period. we know why. it was an unusually bad winter. does those things are not only temporary but set the stage for the second quarter. of the one we hear you but what about you? what do you say to is that? >> i disagree with the professor. the structure is 7.5% in gdp. a lot of this you will give back, the professor is correct. we had the lowest labor force

participation rate since 1978 and we have structural high unemployment and the only jobs being created are the fossil fuel industry and that is being blocked at many places in the country. it was reflected in the gdp area. stuart: here is an opinion often express on this program. president obama's policies are suppressing private enterprise, having a negative effect on the private-sector economy. what do you say in response? >> i would like to know which policies we are talking about. how about taxation -- stuart: taxation and regulation? >> president obama has not had a majority in congress for the last four years and has gone almost no legislation through so i don't know what that means. stuart: obamacare? >> let's talk about the first two years, he was able to get some things accomplished in the first two years of his term and i wasn't prepared to defend those things. stuart: and anti business

attitude or approach, you don't think that has an impact on the overall economy? >> i hear the words anti business from conservatives. i don't know what they're talking about. what specifically obama has done? stuart: obamacare. how about that? >> how is that anti business? stuart: massive regulations and the entire financial sector. the with those three? >> most americans believe in the aftermath of the global financial crisis that some additional regulation of the financial sector was required. stuart: regulation? this kind of regulation? please be specific. >> we can talk about different things. dodd-frank overall was a plus. not as good as it would have been if they had gotten their first choice through but overall the was a plus. i don't know what all this regulation be like talking about is. it seems to exist in the minds of the conservatives. stuart: we hear you. brian kilmeade always here,

still here. oregon wants its money back for the failed obamacare exchange in oregon. it is $134 million from oracle i believe. >> the governor is saying they're seeking a lawsuit possibly selling, pushing senators to sue because they cannot get their own portal going but listen to this. they want $134 million and on the surface chummy accountability, show me a penalty for not producing, showing what the private sector can do for the public sector. i you kidding me? we did what we were supposed to do. this was mismanaged. the governor, my words, is essentially what they're saying look in the mirror. we gave you the product, you mismanaged the project. look for a big fight. bottom line is they can't get it going, $134 million is gonna our money. stuart: i have to get the individual stocks, one moving in particular, big lots. don't know how many invest directly but you tell me about the stock. >> big loss is doing great.

sales were up, they raise their forecasts, stock is up 11.5%, a great run for big lots. enter to professor franco's question about how obamacare is not anti business, lee businesses will have to pay more to pay for health care, taxation that was uncertain for those businesses and smaller businesses, when they have to pay more or they are uncertain what they have to pay that is somewhat anti business. stuart: very limited on time, got to get to john for a second. microsoft working to develop a smart watch, are you buying stock? >> what microsoft is doing, they will not develop products, and microsoft x box, an exception to that and it is a connect division and used aware of devices, they will do a very good job of this, this is a fitness watch times 2, the second generation of this what is out there is surprising they

will be ample to the market with this if they do beat them. stuart: i am sorry we did not get into the argument about private enterprise. would you please come back to the show at another point and let's get into a properly? will you do that, professor? >> happy to do that. stuart: thanks very much. that is it for the halftime report, we thank you one and all. summer playground for new york's rich and famous. how much does a vacation home in the hamptons cost? cheryl casone went to one mansion, she will describe it in a moment. (vo) rush hour around here starts at 6:30 a.m. - on the nose. but for me, it starts with the opening bell. and the rush i get, lasts way more than an hour. (announcer) at scottrade, we share your passion for trading. that's why we've built powerful technology to alert you to your next opportunity.

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stuart: cheryl casone is in the hamptons, the playground of rich and famous near new york city. are going to show as a house? how much to start with? cheryl: you are going to spend $30 million if you decide to buy this home. why would you buy this part of the hamptons the to wall street hitting new records all the time and after five here stands brokers are saying bidding wars have begun. most of the wall street money, bonus of 15%, that is where the money is flowing. let me show you what you get for $30 million which this house is 15,000 square feet, it is four

acres of property, 11 bedrooms, 13 bathrooms, your kids and grand kids could have a good time here. we're enjoy that the pond and one thing about this area, we have celebrity neighbors and a private area, 30 homes in this area, there is a beachfront property with a lifeguard all the time on duty for the summer and very high end security. one of the reasons you will pay 60 grand in taxes to be here. year but you are also going to pay a $25,000 entrance fee to be here. here is a house with all the bedrooms, a little slow. stuart: okay, hold on a second. >> you can come out here. stuart: show me the interiors. got time? >> i can show you some video. it is a nice day in the hamptons. you wanted to be outside. the interior you could have three to four staff living comfortably in some of the bedrooms, the master bedroom

overlooking georgia kpunch ready have your kayak and everything and entertaining kitchen but what is different from the other properties we looked at for you, and he will in the hamptons is 11 bedrooms, smaller bedrooms but they wanted to have homes. the owner who is a wall street guy from san francisco which is why he is selling. stuart: sold to brian kilmeade for an asking price -- thank you very much indeed. flat out of time. brian kilmeade, we are not done yet. i am going to buy a house. let we're moving our company to new york state.

the numbers are impressive. over 400,000 new private sector jobs... making new york state number two in the nation in new private sector job creation... with 10 regional development strategies to fit your business needs.

and now it's even better because they've introduced startup new york... with the state creating dozens of tax-free zones where businesses pay no taxes for ten years. become the next business to discover the new new york. [ male announcer ] see if your business qualifies. >> tonight on making money. highfliers continue to search for their wings. investors are learning momentum goes both ways. this is not countdown to the crash, we are talking about investing in wealth. it is a journey. we will be with you each step of

the way. i like to buy and hold stocks. guess what, forget about the value of proposition. they take a loss. they vow they will never play the market again. choose wisely. stuart: we are calling this a spinoff from "varney & company." it is called making money. it starts on monday. >> unbelievably talented and smart. he reminds me of somebody that you like to hang out with when not on television. charles payne. stuart: you know what, it is friday. lunch time. we are out of time. deirdre bolton will carry you

through. deirdre: have a great weekend, stuart varney. welcome to "risk and reward." i am deirdre bolton. we will have more on the implications for you at tech firms, investors and your security. facebook's mark zuckerberg and his wife donated $120 million to san francisco schools. we will show you what happened to the money he gave newark, new jersey a few years ago. steve ballmer creating another role for himself. offering $2 billion for the l.a. clippers. far from a done deal. we will tell you what the challengers are. ♪ for government corporations and individuals, the importance of internet security is crystal