tv MONEY With Melissa Francis FOX Business September 8, 2014 2:00pm-3:01pm EDT
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just how long it could take. maintaining its cool under pressure, we're gearing up for apple's big launch. if your iphone is causing trouble, you're not alone. you're not imagining it either. will baby number two keep them as one? how royal baby fever could stop scotland from leaving the u.k. the cost of getting into an ivy league school. one man's promise to get your kid into college but it will cost you big. even when they say it is not, it is always about money. melissa: president obama insisting he has a plan dealing with isis or at least he will by wednesday but before he reveals his strategy the president spent some time walking back some notables missteps starting with that very infamous jv comment. >> i wasn't specifically referring to isil. i have said that regionally
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there were a whole series of organizations primarily focused locally. weren't focused on the homeland. melissa: president obama addressing his controversial tee time after the murder of u.s. journalist james foley. >> after the statement, that i made, that, you know, i should have anticipated the optics. you know, that is part of the job. part of this job is also the theater of it. melissa: all right, here now to discuss simon constabling of "the wall street journal." jack hough, senior editor of "barron's" and dan schaefer, schaefer asset management. i want to ask each of you what does he have to say on wednesday after you will of that, simon? >> american people want him to defeat isis and needs to say what is necessary to convince them whatever that may be. melissa: convince them that he can do it. >> to do it. they want to be behind him. had is one of the few things no
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one wants to him to fail and win and win big. melissa: jack, what does he need to say? >> there is a view of the president that is he aloof and not paying attention and that is he on the golf course. i'm not convinced of. that the president create ad narrative in the head. i'm the guy who got america out of iraq and wants to stick to that narrative to the end even when facts on the ground radically changed. i want to hear something from him hey, the facts radically changed and we need to change our course and do something about it. melissa: okay, dan? >> he need to come out and be strong. he needs to show that the united states still has power. not give details of the plan because we don't want to do that, but needs to come out with a definite, confident plan to take action and pull this off. melissa: wasn't it so insulting part of this job is theater. it is not theater. you simply don't go golfing right after you talked about the terrible beheading. >> down come across as the most sincere apology you're apologizing for optics. not even apologizing. melissa: i have to put on a
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show. no, not about the show. it was what was behind sentiment going golfing on back of this horrific event. >> with comments he made it is showing it is a show to him. he is out there and tv and radio all the time with these little sound bites. it is just i'm possible to do that and to run this office and be powerful as a leader in this country. sometimes the less you say, the stronger you are. melissa: all right. russia finding a new method for combating further sanctions, suggesting it could ban western airlines from flighting over russia. this is no small thing. that is a big piece of real estate they're talking about there. jack, would this make a big difference? >> will make it difficult for smaller airplanes struggling with profitability but look -- melissa: smaller? i think it is problem for a lot of folks. >> if russia wants to wage economic war. russia has the size of economy of italy.
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but talk about amounn of goods they're neck-and-neck with panama. we're not going to lose that war. we know this situation will hurt them more than it hurts us but continues to reinforce there is new cold war and americans are the bad guys and i feel like their leaders don't care about the economic damage. melissa: yeah. >> i think this is one of those situations where you have to give two parties, negotiating an someone is backed into corner, they need be to given an option to get out and save face. melissa: really? i don't know. >> because otherwise people dig n i realize that is unpopular thing to say. melissa: i don't think anything will stop putin from dig in. >> russia is promising to start manufacturing more airplanes and reduce dependence on boeing. i don't know if you ridden on soviet airplane, like they're made on "gilligan's island.." good luck. melissa: gm recent ignition switch nightmare won't stop it from delving into driverless cars. ceo mary barra says models will
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come in cadillac next two years. are you going to look for this car. >> absolutely not. melissa: only if you're drunk, right? >> they are worried about people making out in the back seat while the car is driving. melissa: stop it! stop it! >> i heard that. think about it, i saw a vision, somebody reading a book while car driving itself. i do not -- melissa: a book. that is the least of what people will be doing while the car is driving itself. >> i think this is dangerous technology and cars communicating to each other. melissa: i am surprised about this. another executive in the car industry talk about the fact we were decade away from, develop the system where cars communicate with each other. you think 2016, are we 2016 from this. >> maybe a decade. dangerous technology. i'm not for people doing whatever in the back seats of their cars while cars are moving. dangerous technology is human beings driving cars. million 1/2 people worldwide die in car accidents. melissa: we have to work on that. alibaba is slated to be the biggest ipo ever but never know
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it by talking to investors. client inquiries into alibaba appealing to other high-profile offerings. just half interest generated by twitter at the same stage. supposed to be the biggest deal of all time but people are not focused on investing it what is the problem? we don't use alibaba here? >> it is not used here but it is a chinese company. it is not, it is a foreign entity which a lot of people are getting concerned about. >> yeah. >> we don't really know the details. i know several chinese stocks have not filed their reports and quarters behind. in the auditing goes on how do you really know what the company is. melissa: is that or are people afraid the tech bubble is about to burst? >> i was going to say that. >> nobody has any money to invest. >> we had a story in "barron's" magazine about questionable -- melissa: good plug. >> get that from the boss. melissa: perfect. >> questions investors ought to be asking, what happens when more users shift to mobile. this company's profitability drops dramatically in mobile
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versus desktop. look how they're spending money on acquisitions. very questionable acquisitions. melissa: simon what do you think. >> i think accounting issues are very important. melissa: yeah. >> if you have a well-audited financial statement you can do comparisons in the u.s., presuming there is no fraud. i'm not sure what they mean. >> have you heard this story? another nba owner finding himself in very hot water? bruce levenson will sell the atlanta hawks after admitting to series of offensive emails. he said in a statement, trivialized our fans making clicheed assumptions about interest, i.e., hip-hop versus country and white versus black cheerleaders. stereotyping perception of one another, that white fans might be afraid of black fans. this one one of the first ones to come out and say the league will not tolerate this when it came to donald sterling. >> i probably get myself in hot water. melissa: i love that. >> donald sterling came across as crazy racist. he came across, our business has
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not enough black customers but not enough white customers. companies like nike look how to shift customer base and collect millions of dollars. melissa: maybe he saw donald sterling came out like robber baron and laughing all the way to the bank. wait a second, you know what? i wrote offensive things too. somebody come buy my team from me. this could be what happened. i don't know, what do you think? >> you know, i think is very sad when things like that come out. i think it is really is. doesn't reflect well on anyone. nobody end up looking good out of this. melissa: but he could end up rich? >> he could. i agree with jack. this was a demographic business conversation. it wasn't, what i would consider anti-racial, racial issue. where is freedom of speech. i don't agree what he said. business point of view, every cop in the world looks at demographics. networks look at dim graphics. it is part of marketing. i don't disagree with that part of it. melissa: one of the best store
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is of the day, everybody excited about the new royal baby many months from being born already center after geopolitical controversy. the royal family announcing that the dutch chris of cambridge is second with her child, timing of this announcement, tern days ahead of the scottish independence vote, it is raising some eyebrows. worth noting that kate and williamette in scotland at university. maybe they name the baby scotty? >> is raising eyebrows, a all non-botox eyebrows are raised everywhere you go. i know that for sure. raising eyebrows. give it the right scottish played blankky. >> hamisk mcwindsor. melissa: i didn't think of that one. >> i think it is in the story. melissa: absolutely. dan, you want to pile on there? >> if she is pregnant, that is great. we don't even know. maybe they're working on it now. we have no clue. no confirmation. a whole conspiracy theory. melissa: you're a official brit
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here. what do you think? tell us the truth what is really going on? >> i think a lot of people really love the royal family. i don't know whether it swayed at you will but i think a lot of people love the royal family. >> you could think it has impact we're raising our non-botox eyebrows? >> it is interesting. melissa: thankings l, guys. the big convenient iphone slowdown. apple users say devices are starting to freeze up. it comes right before the launch of the new iphone 6. might be just a coincidence, right? plus 100 bucks and your family, for a whole seven weeks, that is, all the ravioli you can shake a stick at in one of the most audacious promotions in restaurant history, but could you really eat all that pasta for nearly two months straight? challenge accepted. bowls full of money coming up. i'm there. [ breathing deeply ]
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with our comprehensive program. we just want to help everyone, everywhere, breathe a little easier. iroducing cvs health. because health is everything. melissa: talk about a fire-sale? amazon slashing prices on the first smartphone. it has only been on sale for six weeks. let's go to nicole petallides on floor of new york stock exchange
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with the scoop on this one. it is under a buck, nicole? >> it seems unreal. amazon fire phone is now available for 99 cents. what? from $199, down to 99 cents? that is for the 32 gigabyte version. you have to have a two year contract but you still get the amazon prime. you still get the customer service and also the cloud, and storage for your photos and ability to order online. they do have two versions, the bigger version, the 64 gig version will tell for $199. they say that this 99-cent deal is for a limited time offer. i mean, i wonder if it expires by the closing bell or if something that will keep on going? it really has been perceived as somewhat of a flop. meantime amazon is expanding with their fire phone over to the u.k. and germany as well. i was listening to a radio program over the weekend where the d.j.s is that what they're
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called on radio, actually had these fire phones, melissa, they couldn't say enough bit. they loved it. the apps were available. you don't have to load the apps. they seem to be going on and on. i don't know if amazon is paying them on the side. melissa: that is exactly what i was going to say. were those folks paid? >> certainly in industry viewed as somewhat of a slow growth flop. melissa: nicole, thanks so much for that. is your iphone running a little slow today? you might not be alone. as apple counts down to the big event tomorrow, new questions are raised whether the tech giant deliberately slows down its old models just ahead of release of the new one. how dastardly! a study by harvard university page shows the spike in google searches for quote, iphones slow around the new iphone launch dates. here is mashable senior tech analyst christina warren. jack an dan are back with us as well. i don't know. i mean i wouldn't put it past them.
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seems like they say, somebody in the "new york times" raised question, even though it is new york rhymes, they could be consciencely the operating system only works properly with the current model. i think it is possible. what do you think, christina? >> no, no. melissa: come on! >> they definitely add versions in the os that make newest phones run better and faster but can't necessarily work on the old versions. melissa: that's it. they consciously engineer it the old phones don't work as well as soon as new operating system comes up. >> what they say the new features are not available on old phones. what they intend to do, new iphone released every september, right? somebody had their phone, a year, two years, three years, searching my iphone is slow, two years after they get a phone. melissa: everyone from the launch, all of sudden, rebooting. you're rebooting. this didn't happen a short time ago. what do you think? >> no more closely watched piece of technology on planet earth. every time a new phone comes out
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you have the whole pocket protector set taking it apart and posting pictures on the internet like they're showing pornography or something like that. >> it's a pornography. >> wow. >> what you come out with the desktop computers, with windows and new intel chip to run the new windows. melissa: liked planned obsolescence, designed to fall apart, when the warranty goes away. what the lease comes up your car false apart, not coincidence. >> i had a phone with carrier, won't mention the name, it was unlimit thed. when they decided to get rid of unlimited contacts it slowed down and seeing this study, this statistically looks very accurate. melissa: speaking of porn, i'm not really sure this is it, less than a day before the big event a new video is showing off alleged iphone 6. only time will tell if this phone is the real deal but meantime, techcrunch is reporting that apple is already flexing its supply chain muscle
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by shipping so many units, that it is causing delays for other manufacturers. hmmm. first of all what did you think of the picture of the new fon, porn or not porn. >> i'm surprised you didn't have to pixel late it. melissa: it looks pretty fabulous. it is bigger. size is everything. >> size matters especially in porn. melissa: moving on -- stop this. move on to other line of questioning. the supply chain are they intentionally slowing down shipments of other models shipping so many of these they're screwing with fedex and ups? >> i don't know if, i would say intentionally, certainly not doing anything to stop it. they're thehundred pound gorilla. when they have a new phone coming out everyone else has move aside and make way. melissa: it is the time for the final county down. jo liig kent is at big event, 1:00 p.m. eastern. "risk & reward," the phenomenal program that precedes this one,
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catch dierdre bolton and wireless worth every day this week. in case you weren't grumpy enough in the morning, a new app lets complete strangers call you for morning wake-up call. i'm not kidding about that. if it doesn't sound creepy enough, the app tries to pair you with someone your age of the opposite gender because that is the way you want it find true love, right? wait, there's more. while you're sleeping if no one available to wake you up, the app reverts to your normal alarm clock, sad trombone. >> wa, wa, either some sort of bizarre "dating game" in early morning hours or nobody picked you and wanted to call you. you just get your phone. that is tough way to start the game. >> you see video image. melissa: the video image first in the morning would not be great. >> some like nudity, pervert. melissa: hopefully. may be a voice, maybe they anticipated that problem. >> i want to say, doing in
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lying, that -- do nothing like that, i want to give you a pleasant hello. melissa: there are a lot of problems. are you trying this early on? no, maybe? you're considering it, which i find shocking. are you considering it? >> try it only for also. to see how weird this thing is. i think this will be like chat rule let sort of thing. melissa: chat rule let. >> become a caller, not receiver. melissa: i'm neither friendly nor rational in the morning. i don't think it will be great. it won't be great. what? thanks, guys. trouble brewing in colorado. bud light's latest marketing stunt goes flat as guests struggle to leave the state. u.s. open has been served. tennis championship making unlikely match. do you ever have too much money? ♪ it's monday.
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melissa: we are getting some breaking news right now. the baltimore ravens have cut ray rice, in a beat moments ago. the nfl say they have terminated the run back's contract this afternoon. what you're looking at right here. is this really disturbing video to say the least. that surfaced from inside of the elevator. we had known about this incident, but there had been angle from the outside where you see him dragging his then fiance, now wife out of the elevator. after hitting her. what has surfaced now, courtesy of "tmz" was video inside of the elevator. that is, almost impossible to watch. but as it has circulated out there, the cries have come for the nfl to do something about this. now we are hearing, that the ravens have released him. i want to bring in bruce terkel,
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who was on here for another segment. this is really the forte here, i want to ask you, did they have a choice? and is he out of business or does he somehow make a come back from this horrific video? bruce? >> the ravens had no choice. once you have the video and, let's face it, video confirmation, whatever happened in the legal system almost becomes irrelevant because he has been tried and convicted in the court of public opinion. and this video now adays, based on technology will travel and follow him everywhere he goes. he is finished. melissa: totally finished? when you look at video and it is very hard to watch, but it is important to know what actually happened so that people can speak out and demand the right thing which it seems like happened. but h hits her and she strikes side of elevator and she is out cold and dragging her from the he will individual tore. it is incredibly -- elevator.
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incredibly tough to watch. the ravens terminated ray rice's contract, following release of this video. okay. let's move on to now, what we were scheduled to talk about here which is olive garden, taking a tough turn here. they're doing their part to keep the local gym in business, starting at 3:00 p.m. today. 1,000 never ending pasta passes will go up for sale on the olive garden website. the motion lasts just seven weeks. but, this is yours to keep. here now marketing maven and marin nara enthusiast, with simon constable, who i understand is more of an ral frado man. -- alfredo man. i'm logged on. ready to bid. there are only 1000 of these things. they will go lightning fast. what do you think, are you getting one? >> no, definitely not. if it was unlimited salad. no, that is the past it. pasta salad, bread and sewed today. you can have the soda. >> tough for the cashing.
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>> that is great. melissa: what i love, gluten phobes are screaming at olive garden. who really knows what gluten is anyway. it is in pasta. they're really outraged about this. we're talking about it. i have to think, bruce, this is genius marketing. >> let's make sure that we establish the ground rules. i am a cachetarian. melissa: me too. who isn't? >> i think olive garden should give you and i one of these for talking about it. we would go there every night to eat pasta. the gluten-free folks don't have to eat it. more for us. >> i like gluten, but better to come -- >> it is sticky stuff in wheat. to make the glue starch. so it is delicious. melissa: i want it. >> there was a great cartoon in new yorker two weeks ago, they were having lunch and i've an about only gluten-free two weeks
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and almost already obnoxious. maybe this overcomes it. melissa: absolutely. thanks to both of you. three long years how long the mission could take in the middle east. some experts believe it is time we don't have. plus a new top dog is coming to town. china likely to topple the u.s. as world's biggest superpower. it will happen sooner than you think. piles of money coming right up. ♪. ♪ when the world moves, futures move first. learn futures from experienced pros with dedicated chats and daily live webinars. d trade with paper money to test-drive the market.
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the u.s. has extended airstrikes, as you mentioned. some 143 airstrikes thus far by u.s. forces bringing the total, by the way, in a support role to about 1200. the white house is expressing they are only paying a support role right ow. it appears that the president makes an announcement on wednesday. much will be focused on coalition building. >> ultimately, we need to get into a position where the united states is not solely responsible we need to be able to work closely with partners around the globe. >> john kerry heads to the middle east this week.
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melissa: thank you very much. chuck hagel confirms more than 100 americans have currently fought for isis in iraq and syria. here now is an out each officer which works to tackle extremism. thank you for joining us. one hundred americans, why? >> you mentioned americans. the reaction is we do not know how many around that. we have had decades of groups funded by countries. they fund the induction.
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they actually come along and provide them. there is not one single person that we see. the fact that the individual has to have some sort of crisis. it could be anything. the lead bomber in 2005. he did not want to have an arranged marriage. he wanted to marry his girlfriend. they will teach people that first of all, the only way is to believe. the second part, there is a
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feature that underpins this. it not only says, do you have to do it, but god wants you to do it and god will reward you for doing it. >> you mentioned the money. this show is called "money." they operate as a corporate identity. , corporate entity. how is that and what sort of power did that give them? >> it is estimated approximately $2 billion worth of assets. approximately between one and $2 million a day. they are actually running a very slick marketing campaign.
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they are running a very split camp. melissa: that is a great point. they are trying to hide what they have done. they instantly posted on you to. if it weren't so terrifying, it would be interesting. a quick check on the markets. investors are fooling. another new all-time high. chuck schumer not waiting around. he has a plan to enforce what they call economic patriotism.
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if you look at somebody, they say $1.9 billion over the last decade. it has gone from 55 down to 38. i am still looking at the opportunity level. i cannot keep ahead of the taxes. i think corporations are still doing very well. melissa: good luck to them. getting your kids into the most exclusive colleges in the country just by writing a big fat check. in case you did not hear a few moments ago, ray rice is out a new tmz video purportedly shows him knocking out his then fiancée. we will be right back.
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♪ 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.
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whenwork with equity experts who work with regional experts who work with portfolio management experts that's when expertise happens. mfs. because there is no expertise without collaboration. melissa: i am melissa francis with your fox business brief. more than $3 billion. adam shapiro got to sit down with the electrolux boss earlier today. >> the ability to leverage technology. beevor productive.
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melissa: do you think that this video is making more rounds? >> he had a revelation. that was about 10 days ago. then this video comes out. the ravens acted on their own. melissa: where do you think it goes from herr? do you think that he is banned from football for the rest of his life? >> i do not think he will be banned for life. the most recent running back was taken in the mid second round. it will be tough for a team to look at ray rice. it is very hard to see ray rice getting a job again in the nfl.
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>> a totally different story with the team. you see this video and he was not provoked. >> provoked of knocking her unconscious. >> that was the story they said. let law enforcement handle it. they got counseling sessions for this. melissa: this show is called "money." we have to look at the angle of this. what does it mean to them? >> they do not owe him anything. it is more that amortization.
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he will take that next year. the image and the art and branding effect. melissa: there was no way that this could go on. thank you for jumping in. we appreciate it. just minutes to go. bidding opens on olive garden. what is coming up later on in the show. we are waiting, breaking news that will expectedly developed in the next 40 minutes.
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mathew martoma is expected to be sentenced. it is a famed connecticut hedge fund. he could face up to 20 years in prison. he never gave up the sources. he never gave up david: did a jury said this guy was very much involved in insider trading. this could start here and a lot of hedge funders. we are also talking about -- guess what, the vivo. they are now striking a deal with samsung.
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you will be able to watch virtual concerts from the privacy of your own home. i do not even know what i am looking at right now. we will be showing you what it will look like. we have a fox business exclusive. stay tuned. we are watching the markets and the new predictions. >> you are so talented. melissa: what would you do if i told you there was a way that you could guarantee your kids would get into any ivy league school no matter what? it will cost you big. joining me now is senior editor -- you have been outraged about
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this. >> absolutely. it is absurd to think you can buy your child way into princeton or harvard. >> you can really buy your kids. it is really what it is that you are paying for. melissa: if you have the money -- >> you are absolutely right. there are some students that in a fit from this. what troubles me even more is it seems like this guy is working with this kid.
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>> i have no problems with what this man is doing. it is a dinosaur. >> there are people out there screaming at the television. >> at the same time, i would say if you do come from a economic diversity. >> if you don't have any money, you actually have another advantage. >> i do not think that you can buy your way and. >> we know --
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>> the good news is the internet will kill this arcade. melissa: that is a great point. we will and there. all of those posers sitting around on their laptops. you can never have too much much"money". ♪ when folks think about what ty get from alaska, they think salmon and energy. but the ergy bp produces up here creates something else as well: jobs all over america. engineering and innovation jobs. advanced safety systems & technology. shipping and manufacturing. across the united states, bp supports more than a quarter million jobs. when we set up operation in one part of the country, people in other parts go to work. that's not a coincidence.
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controversy and business. you figured out what i always suspect it. you are not making a lot of money. >> yes, definitely. everyone in a while, we would tell about our policy. people are very accommodating. some really welcome it. melissa: what is next? i heard tablet. i gas iphones are not available?
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>> i wonder how that makes sense for that. thank you so much for coming on. >> we have more on breaking news. ray rice is nfl contract has been suspended indefinitely. we will update this next. ♪ she inspires you. no question about that. but your erectile dysfunction - that could be a question of blood flow. cialis tadalafil for daily use helps you be ready anytime the moment's right.
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it makes us look top-notch but we know it's affordable. [ garage door opening ] [ sighs ] i need help with the groceries. [ sighs ] [ garage door closing ] where was i? oh, yes. [ male announcer ] ship a pak via fedex express saver® for as low as $7.50. ♪ ♪ melissa: breaking news right now. the nfl handing down a stiff punishment to star running back ray rice, suspending him from the league ip definitely. this follows -- indefinitely. this follows the release of a very disturbing video of rice punching his then-myfiancee
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unconscious. jack howe. >> i mean, remove from football, but he should be removed from walking around in society with the rest of us. there's no criminal action that can be taken here in this case? melissa: i think she has to file a complaint. i'm not a lawyer -- >> it's a sickening video. melissa: we've got to go. hope you're making money today, here's liz. ♪ ♪ liz: and good afternoon, everybody, i'm liz claman. we do begin with breaking news on the long-awaited sentencing of one of the biggest insider trading accusees in just a moment, matthew mar toe mow, the portfolio manager for steve cohen in connecticut at sac. he was flat out convicted earlier this year for $275 million in illegal trades in two
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