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tv   The Willis Report  FOX Business  April 22, 2015 5:00pm-6:01pm EDT

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as ridiculous. >> and you know where that happens? whether the advisers are anywhere, if they were with us the regulators should come down hard. >> we got tend to that. thank you so much. paul reilly. >> and "the willis report" is next. gerri: hello, everybody. i'm gerri willis, and this is "the willis report." the show where consumers are our business. the man who took on the federal government's wasteful spending. >> inside the waste book this year is 30 billion dollars of stupid, what i would consider stupid or at least poor judgment. gerri: former senator tom coburn is here with a message for lawmakers. defeating the clinton machine possible presidential candidate governor mike huckabee says it can be done. >> i know the clintons all too well. they play to win. gerri: he's here to tell us how and talk about his big announcement in hope arkansas in two weeks. americans getting squeezed. we'll break down a new report on out-of-pocket medical costs
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and the common procedures that will cost you the most? also the big broadcasters like fox, nbc and espn are not happy with verizon's new cable tv prices, but we'll investigate if it's really the great deal for consumers verizon claims? and the great bourbon heists, the criminals that stole one of the rarest and most expensive boushons in the world, and how they did? t. >> the nine defendants selling and redistributing massive amounts of bourbon. gerri: all that and more on "the willis report," where consumers are our business. a possible presidential candidate that wants to shake things up in washington is doing very well in the polls. thank you very much. that's former arkansas governor mike huckabee. he thinks washington stinks, but says we can as a country return to greatness. he outlines many of the ideas in the new book gods guns,
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grits and gravy. so it looks like you're running for president. i don't know why you're waiting two weeks. why don't you just announce right here right now, my friend? >> well i don't want to spoil the big news that's going to come in hope arkansas on may 5th, and i know a lot of the public probably says all these candidates are doing all these games but there is a practical reason that you don't announce your announcement before you make it. that's because the federal election commission laws that sometime are ridiculous. they make no sense, it's exactly what one would expect something coming out of washington. but i'll just have to leave it at this gerri i'll let you know on may 5th in hope arkansas. hope you can be there. gerri: let me ask you this how do you make a decision this big? for you personally what are the biggest factors? >> there's a lot of factors. one of them is financial, i can raise the money? another is political. do i have the people who can
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put together the organization the operatives the supporters in the various states and another fact on, it's the spiritual decision. it's whether i feel internally that this is something that i'm compelled to do, and something that i have the support of my family to do i would never do this if my wife and my family weren't with me all the way. it's hard enough to do it when they're with you. i think it's impossible to run for public office any office, even city council, if your family doesn't believe that you should do it. gerri: well you know, if the spouse isn't on board, forget it is my rule of thumb for anything. you talk about the political, you talk about the money. let's go to some of the polls right now. in terms of likability, you're leading the pack. 57% in a dead heat with some of the top people on this list rand paul jeb bush, ted cruz scott walker. take a look at those numbers. is likability is that translatable to votes in your
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opinion? >> it always has been. the fact is people, when it gets down to, it they're not going to vote for someone they don't like. they don't vote for someone they don't feel connects to them. one of the things i hope for is you and all the other people at fox with whom i worked for many years that you don't tell everything you know about me or my ship is sunk before it gets launched off the deck. gerri: we were talking about you during the break, i don't think anybody is going tong bad you on. i want to present you with the naysayers about a possible huckabee campaign. somebody writing for the economist who said your campaigned be a leap of faith, and i quote mr. huckabee's chances of winning are so remote a cynic might presume his real intention is to sell more books. what do you say? >> that's an idiotic statement by somebody who clearly has no clue because if i wanted to sell books, don't you think it would have been smarter to stay on fox, keep my radio show continue to make speeches all
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over the country where i could do a book signing? why on god's earth if i wanted to sell books would i get out of book selling business if i was running for president. anyone who writes stuff like that knows about as much about politics as they probably been writing and journalism. how's that for an answer. gerri: red hot. let's talk about god, guns, grits and gravy probably the best book title of the 20th century, or 21st. what is the purpose of this? why did you write this thing? >> it isn't a political book. i worked on it starting two years ago, and it's really a book to explain to people that this cultural polarization that exists in america is very relationship. there's a difference between the people's attitudes who live in places like new york washington and hollywood where the cultural table for america is really set, and then all those people who live out here in flyover country and land as i call it, the land of god,
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guns grits and gravy, that's the term they use to describe the flyover states. people in the bubbles who say no, there's no polarization. there's no real difference. but you get out here in the middle of america, and people would laugh at you if you said there is not some kind of significant difference. it's a book that -- gerri: here in new york city, people think there's nothing west of the hudson river. i understand exactly what you're talking about. i want to move on to some of the issues that are pressing here, and want to hear what you have to say. i'm going to be speaking in a few moments with senator coburn as you know, he's been a big complainer about washington waste, and now it seems like the republicans in washington well, they seem to be spending right along, thank you very much. if you were to run, and we're not presuming you will, would this be job number one for you? >> well i'm not sure it's job number one but certainly on the
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list. and job number one is to get america in a place it's safe again. bring america to a place where the countries of the world respect it. number two get our economy going again, make sure the so-called recovery is happening for people who are lifting heavy things and sweating through their clothes every day, but cutting the ridiculous spending is a part of getting the economy going. i love senator coburn he's one of the truly great statesmen of our time. i'm going to miss him in the senate because here's a man who never played the political game. didn't do what he did because he thought it would win a few votes or make him happy or positive with the donor class. he did what he believed was right and points out a lot of stupid things that we spend money on as taxpayers and we can't afford. gerri: one of the biggest jobs to keep america safe. one of the biggest threats to the planet isis do you have a plan for that? >> gerri, we have to understand we can't beat an enemy we don't name.
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we have to name this as an islamic terrorist group. you can't make peace or make nice with people who have a religious conviction to kill you. there's nothing to negotiate. you kill them or they will kill you. that sounds blunt, sounds harsh it's just a reality and the sooner we accept that and quit trying to pretend there's a way to ameliorate this deadly situation with isis is the quicker we can defeat them, put them behind us get the rest of the arab worlds equally afraid of this radicalism to unite together and crush this bog. it has to happen. gerri: has to happen. mike huckabee, author of the four g's god, guns grits and gravy. thank you so much. >> thank you, gerri. gerri: do republicans have a spending problem? one of the deficit hawks is here to tell us what's going on behind the scenes and whether
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republicans are trying to reign in spending. former republican senator tom coburn of oklahoma joins us now. he's just retired from congress and has left a legacy of fighting waste, fraud and abuse in washington. good to see you, senator thank you for coming on the show. we talk so much about restraint in spending. >> glad to be with you. gerri: so good to have you here. restraint in spending, we're wondering if present republicans in congress have that restraint? >> well i don't think you really know until you see the appropriation bills go through. budget is a budget vote but it doesn't have any force of law other than what they'll do in terms of the later on in terms of trying to fix entitlement programs. and, you know i don't know and i'm not privy to what they say. i am disappointed that they did not pay for the change in the payment for physicians for the
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sgr sustainable growth rate formula i think that was a mistake to send a signal we're going to spend money, and by the way time out right now. so it's hard, but the real problem is not just spending money. the real problem is the ability to borrow money, and i'm convinced. one of the reasons i left washington was i don't think you fix washington's problems in washington. i think you fix them with a convention of the states, with states and citizens where our constitution says the ultimate authority lies within the states and the citizens and i think you do that by putting the limit on what they can borrow, passing the balanced budget amendment. the balance between getting re-elected and getting what's best for the country are at odds most of the time, and if you try to do what's best for the country you are going to get voted out. gerri: let me interrupt you for
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a second. you alluded to things i want to go more in-depth on. we're interested in the republicans we have a presidential election and goodness knows where we go next. you mentioned the medicare doc fix, there was a 140 million dollar price tag. that is how much is going to be added to pay for the doc fix. they're adding more defense spending in a sneako sort of way, and it seems to me that the people that you would rely on that cut back, that trim to get rid of the waste fraud and abuse are just as guilty as the other side. would you agree? >> well yong they're quite as guilty, not creating a bunch of new programs that cost more money and not duplicating more programs. fact is most career politicians regardless of strife republican democrat or independent if the goal is to stay in washington they're not going to limit the size and
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scope and authority of the federal government. gerri one will little fact, last year the omb and the congressional budget office said the deficit was 480 billion dollars. that's absolutely untrue. if you add the increase and unfunded liabilities like every other business and corporation would have to do out there using generally accepted accounting principles we added 5 and 6 trillion dollars to the liability for our kids last year. so ten times what we said to the american public. and so the dishonesty coming out of washington means that the american people have to take over washington again, and we have to have leadership willing to say, here's what our founders intended. we're going to restore that limit the size and scope of what washington's doing. >> i think you got to realize that government accounting is fiction writhe. senator coburn thanks for coming on the show. so good to see you. >> thank you, god bless you
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good to see you. gerri: thank you, thank you so much. and still a lot more to come this hour, starting with the fact you're not imagining things, you are paying more for medical costs, no kidding and will you pay more to unbundle your cable? we'll separate facts from fiction facts from marketing when it comes to verizon's new plan. tweet me send me e-mail go to our website. we'll be right back.
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people ship all kinds of things. but what if that thing is a few hundred thousand doses of flu vaccine. that need to be kept at 41 degrees. while being shipped to a country where it's 90 degrees. in the shade. sound hard? yeah. does that mean people in laos shouldn't get their vaccine? we didn't think so. from figuring it out to getting it done, we're here to help. it's more than a network and the cloud. it's reliable uptime. and multi-layered security. it's how you stay connected to each other and to your customers. with centurylink you get advanced technology solutions, including an industry leading broadband network, and cloud and hosting services - all with dedicated responsive support. with centurylink as your trusted technology partner you're free to focus on growing your business. centurylink. your link to what's next.
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the real question that needs to be asked is "what is it that we can do that is impactful?" what the cloud enables is computing to empower cancer researchers. it used to take two weeks to sequence and analyze a genome; with the microsoft cloud we can analyze 100 per day. whatever i can do to help compute a cure for cancer, that's what i'd like to do. . gerri: verizon, pitching new what they call custom tv as a way to stop consumers from paying for channels they don't want. for 55 bucks custom tv offers 36 basic channels and two genre channel packages sports children's tv news you get it. if you want to add more channel packages an extra 10 bucks a
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month. this a great deal? that's a question we ask at "the willis report." investigator carainvestigated. here's what she found. the average house watches 17 channels. if you look at the topmost watched 17 channels according to nielsen they spread out across six channel packages offered by verizon six. and based on the assumption this is the way you shop your cable plan your $55 cable bill jumps to 95 bucks. where is the deal? especially when the average cable bill is $90. joining us now jeremy kaplan editor in chief of digital trends. jeremy this makes me shake my head. think about it you only want 17 channels buying 189. verizon says no, we're going to save you a lot of money. when you do the math it's going to end up being more? >> it's kind of horrifying how much money we're already paying these people.
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verizon or cablevision or time warner, any of them. we don't like the services because they're so darn expensive. and verizon is trying do something, i applaud the initiative. the idea is right. but you're right you are going to spend more here. gerri: you say there are fees on top of this. if you want internet service goodness gracious. >> all of a sudden the bill is 150 $200 it's preposterous. do i like news i like entertainment or kids programming but i'm not a bucket. they're putting things into buckets here. i don't want just the one thing i want one thing here and over there nobody offers all what we as consumers all want. gerri: what you want to do is pick out the individual channels that you want. is that ever going to happen? >> gosh, i don't know, they have to support the papaya network and the all-golf channel. gerri: nothing wrong with the all-golf channel. >> i don't want to subsidize everything else. gerri: you say there are other fees we're paying that are
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objectionable. what are they? >> if you look at it verizon is terrible. so you have to rent a wireless router from them, even though you have one, it's an expensive one that does what your current one does. that's annoying. rent a cable box like you get from cable for an awful lot more than you pay for cable box. the little things like that add in the long run. gerri: they add up in the long run know and people are desperate to find twice shortcut, to cut the cord, and you are starting to see, it but it's these initiatives that are misleading. it's like a half step, a baby step. >> it's a baby step i applaud the initiative the idea is right. we want a form of change and there's an awful lot of change in the industry right now. gerri: absolutely right. >> this is a good idea but i don't know take a close look if you're thinking about this take a close look at overall costs. gerri: netflix, sling, apple tv, hulu, there's people with
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content that people are eager to get. that's for sure. let me tell you what's going on fox nbc universal espn are all crying wolf saying you can't do this verizon, it busts up every agreement we have with every sporting event can you think of, nfl football you name. it is that going to put the kabash on this? >> that's the challenge, when you have verizon against disney or news corp. over here they have their own business models. verizon is trying to change the fundamental business models. gerri: verizon says they're not going to stop. can they go up against the lef -- leviasons? >> maybe it is good to have competition going head-to-head, maybe something will come of it. one of the companies that died along the way, aereo is ponying
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up dough to the major networks for material content that they say was stolen. >> aereo is such a frustrating concept. brilliant idea and got shot down. gerri: very quickly. >> very unfortunate. gerri: great to you have on the show. thanks for coming in. >> my pleasure. gerri: wow, tv continues. stealing more bourbon than anyone can drink in a lifetime. that's how prosecutors are describing a kentucky heist. we'll have the latest. and so much for cheaper health care. a new report shows out-of-pocket costs are skyrocketing. we'll have the details and get your reaction. stay with us.
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. gerri: obamacare was supposed
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to bring cheaper health care costs. the opposite is happening. a stunning new find. out-of-pocket medical costs jumped by 11% last year. with more on this the president of american action forum. doug, very good to see you. >> thanks gerri. gerri: medical costs are rising, the promises are broken. 11% for out-of-pocket costs. this is just unsustainable, is it not? >> it is unsustainable. there's bad news beyond. that the underlying cost of pharmaceuticals also went up 11% we saw services go up at about 4% rate in 2014. so the basic bill is getting bigger and bigger, and then we're putting more of the out-of-pocket on individuals. in the end, premiums are going up at 8%, out-of-pocket is faster than that. for the household trying to manage they're going to have trouble. >> the company transunion is reporting on it surveying consumers talking about what is
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a pressure on the family budget, right? that's what we're talking about here, seeing costs go up in other categories. you're an economist you know what i'm talking about. not just health care costs it's a variety of costs if you go to the grocery store, seeing higher costs. buying a car. these prices are not going down because wages are falling. >> indeed. all these prices are going up and what's not going up is the typical family's income. personal income in the u.s. last year grew at about a 4% rate. you put that against 8% for health insurance double digits for medical services lot of pressure on the household budget. until we get better income growth there is no relief in sight. gerri: one of the health care issues joint replacement, costs going up 20%. why would that be? do they make these numbers up? they bear no relationship to
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what they cost. >> that's a stunning number to me. i had my hip replaced. i'm glad i did it two years ago. gerri: that was an astute financial move on your part. >> thank you. [ laughter ] >> these are the important numbers because those are the costs of care. when you start seeing the hospital prices going up when you see patient access to the numbers get restricted. that's where the quality of care starts falling apart and you should only care about that in the health care system. gerri: we clearly have a long way to go so many individual practitioners are dropping out. they don't want to be in business anymore. hard to get the first step first level care that sees you through to tougher issues. "gallup poll," one in three americans are delaying health care. why? because of rising costs. what's the long-term price for that? >> delaying essential services is the recipe for more expensive bills later.
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i think everyone knows that. indeed one of the claims the advocates made is they were going to get rid of the problem. everyone was going to get covered. everyone gets the necessary preventive and essential care wouldn't put off essential services and the bill would go down. we haven't seen that turn into a reality. gerri: no we haven't. we need a little real on promises that were never made good on for you, doug. every time you come on the show we can run that. >> there is a long list. i think we could do a lot of tv on broken promises and obamacare. gerri: doug, thank you so much for coming on. good to see you. >> thank you. gerri: we want to know what you think. here's our question tonight -- i'll share the results at the end of tonight's show. and coming up dr. oz, you have been following the story, reacting to accusations he's a quack. and next going on the offensive quicken loans is suing the federal government. the ceo joins us to tell us why
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and give us his take on the state of housing market. stay with us. ♪ ♪ ♪ ♪ (under loud music) this is the place. ♪ ♪ ♪ their beard salve is made from ♪ ♪ ♪ sustainable tea tree oil and kale... you, my friend, recognize when a trend has reached critical mass. yes, when others focus on one thing you see what's coming next. you see opportunity. that's what a type e* does. and so it begins. with e*trade's investing insights center, you can spot trends before they become trendy. e*trade. opportunity is everywhere.
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gerri: welcome back to the willis report. in a moment, the spring housing market in full bloom. members of congress are freezing their salary at $174000 a year. this will be the seventh year in a row lawmakers have denied themselves the cost of living pay raise. they won't get much sympathy since they earn around $42,000 a year, an average american. a lawyer for the man who shot president reagan he's no longer a threat. john hinckley jr. asked to live outside of the mental hospital. he spends 17 days a
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month at his mother's home in virginia. stocks higher as the drumbeat continues. yum brand continues to rise. chipotle sank after reporting lower sales. and dr. oz fighting back against critics trying to get him removed as a faculty member at columbia university. they could you accuse him of promoting quack treatments. he said he won't be silenced. those are the stories in the news tonight. well, quicken loans strikes back. the online mortgage lender is suing the government for pressuring the company into settling fraud charges. bill joins us now with the latest on the lawsuit plus advice to buyers and sellers in the housing market this spring. bill thank you for coming on the show tonight. we've heard a lot of complaints saying the government is too tough. i want to share some facts about what you
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guys are reacting against. you say the government sampled 55 of your 250 -- nearly 250,000 loans, and they are angry because you miscalculated a borrowers income by $17 and lend that borrower $26 too much. this seems like small beer frankly. why are you suing? bill: let's start with this, gerri. first of all great to be here. we're the largest fha's lender in the country. we're the highest quality lowest default rate in the country. we're a power jd award winner. fha is projected to receive $5.7 billion of net profit of insurance from our loans in 2007. after three years after harass from the doj, review of 80 million
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documents of team members, the faulty analysis on the 55 loans under the 250,000, we had no choice but to take action when the doj demanded that we make public admissions that are blatantlily blatantly and ask us to pay a penalty that they can't explain to us or face legal action. gerri: i think people would be shocked to understand that you are the biggest lender in the country. the biggest fha lender in the country. i don't think anybody knew of quicken loans ten years ago. here you are, number one. my question to you coming out of this lawsuit is this, is it kind of what you termed harassment the government is giving you right now, the department of justice is giving you right now, is this what has driven other banks out of the mortgage business? >> it's absolutely driven other financial institutions away from the fha program for sure. they've gone through this process. asked to pay large parts of money. can't quantify the risk.
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the people who suffer from that is the consumer the middle class who depends on this program. access to credit becomes difficult. it's the wrong thing -- it's the wrong message to the american people. gerri: my question for you is: what does this mean for the spring housing market. here we are. we're sitting at super low rates. housing prices have come up somewhat. they're still affordable. you can't get a loan. yes, fha has dropped down payments to 3%. you may not qualify because it's so tough out there. i mean, i'm shocked at the degree to which big banks are just -- are not making these loans don't want to play. what will it take to get them back in the housing market? to get more competition that's what i would like to see. of bill: i think it will take a clarity of rules. they've been trying to clarify rules for fannie and freddie. the fha program has to get that same clarity around the rules of the road.
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people have to understand the risk associated with fha lending for them to come back and play. if the purchase market is honest in the spring, we're seeing an increase from 2014. but 2014 was way off from 2013. so while it's good to see an increase in the purchase numbers, we're still not where we should be. gerri: long way to go. i have some people telling me they're seeing maybe a slight decline in total homes sold year over year. bill: had numbers that came out today that some of the numbers were up in this spring. so i think actually we're starting to trend in the right direction. as you know, real estate is regional. it's not national. you'll have pockets of the country where things are going better than others. where prices are increasing more than others. and i think we're still seeing that today. gerri: bill, thank you for coming on the show tonight. and telling us about quicken's story we appreciate it. >> thank you gerri. gerri: coming up for the first week of may, real estate real estate
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guide. you don't want to miss that. it will be a lot of fun. when we come back, how could one man in london single handedly send the us stock market plunging? speaking of arrest nine people in kentucky have been indicted for stealing what prosecutors call more bourbon than a person could drink in a lifetime. details coming up. ♪
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♪ >> listen to this story. it's unbelievable. back in 2013, more than 200 bottles of very expensive happy van winkle bourbon vanished from a distillery in
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kentucky. a bourbon crime ring. with more on this, marketwatch reporter, charles passe. this sounds like something somebody made up. yeah, there's a ring of bourbon thieves. it was an inside job. right? >> that's what all signs are pointing to. bourbon is a hot commodity. this is like stealing art in a museum. gerri: i know i should laugh at you, but i don't feel like laughing. this thing started in 2008. they were doing this for a long time. what i don't understand. it's one thing to lift a bottle, okay. it's another thing to take one of those bottles. they weigh like 500 pounds. charles: obviously, we don't know exactly how they did it. i don't think they were exactly lifting them out and walking out. there was probably a vehicle involved, i would guess. gerri: and they worked there. so they were like, john he's going over there. you don't think of him being a bad guy. charles: the bourbon industry
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know that their products are getting hotter and hotter. they say they're improving their security. obviously not enough. the thieves are all the more motivated because they know how valuable this stuff is. gerri: apparently the folks here, they don't make a lot of bourbon. that's one way to make the price higher. it's not just pappy. charles: this is mictures. it's another one of those cult bourbons. and cult rye. this is a bottle that costs $4,000. on the secondary bottle, and this is stuff you can't find. this is all sold out. on the secondary market, this would go for $8,000. one of these bottles cost $100,000. mictures is great stuff. these are bourbons that
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have a distinct quality. a lot of them are aged a lot longer. a lot of standard bourbon is aged four years. a lot of these are aged longer. the folks at mictures don't tell me the secret recipe that goes into them. it's the mix of corn rye wheat and other things. these are made are proprietary recipes. gerri: i've seen it offered in bars some time ago. just a shot would set you back. >> pappies, for a shot, $100. gerri: for a shot of bourbon! >> if you can find a bar that sells it. their secret formula is that they put wheat in the mix. that gives it a different flavor. bourbons have been aged 15, 20 years. the average bourbon is four to six years. gerri: older than your children.
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charles: older than my kids. and i'm an old guy. gerri: here to weigh in, bourbon lover and also personal finance expert larry. larry, is this not the most tragic thing you've heard in a long time? larry: i hope they throw the book at these guys. i'm lucky i have four bottles. i'm really happy. gerri: this is like a guy thing to brag about having the pappies. i can't remember how many men that told me, well gerri, i have a bottle at home. it's like a badge of honor. >> it should be. you work darn hard to get it and find it. gerri: there's a picture right there with a bottle of pappy. have you opened them? larry: i absolutely believe of you have to drink whisky. i have a lot. i open everything i have. gerri: i think we have a picture of your many bourbon. do we have that picture?
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larry: eighty-three different. gerri: how long have you been collecting? larry: seven years. eighty-three different bourbons. i like the wheated bourbons the best. but i like it all. gerri: does your wife say to you, honey, i would like to pay someone to mow the lawn can you stop buying bourbon? larry: she gets her wine and i get my bourbon. gerri: i think what's interesting is the overall trend of bourbon being popular. is it already past its super hot phase? is something else coming? charles: rye has been trending up. it's almost in the same category as bourbon. you might disagree. but they're kindred spirits no pun intended. it's hard to say certainly the makers of bourbon are prepping for this boom to last longer and longer and longer. there are more people making bourbon. there are more people in the bourbon business. so i think it has some legs. but, you know, we're
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seeing, for example single malt scotch which nobody thought would decline. scotch overall as a category is trending slightly downward. who knows? right now if you told me the biggest thing in spirits, i would tell you japanese whisky. you never know. gerri: my family made moonshine. that shows you where i come from. >> i like moonshine. gerri: it wasn't good. they have 25 bottles of van winkle in custody right now. you have to think, if you live in kentucky and you're from kentucky and you work for pappy man winkle and you rip it off, are you going to take heck from your neighbors? will there be repercussions? larry: i would think so. people in kentucky are proud of their bourbon. people ought not to steal bourbon. it's wrong! gerri: i'm getting a very strange message in my ear. my senior producer is telling me that they're going to destroy this bourbon.
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charles, it's a part of the enforcement of the law. (?) i need to hear from both of you. charles: it's like marijuana that's been confiscated. you know -- gerri: that's not going to get destroyed. the cops will put it in their back pocket. >> destroy means drink it. >> i want to go to the runoff where that is poured down. gerri: guys great job. we could talk about bourbon all day clearly. >> we could. >> we could open this. charles: i don't think they'll let us. but we could. gerri: thank you for coming on. still to come, president obama promised a million electric cars on the road. consumers just don't want them. why many are turning to gas guzzlers instead. stay with us.
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♪ h day. >> that's a terrible thing. >> are we going to let that sit there? >> what will we do? >> we'll pick it up. >> you go ahead. i'm going to eat. >> there. no glitter on our set. gerri: now those were some of the folks celebrating earth day in washington, dc, this past weekend. but, you know, it's not just young adults who don't seem interested in the environment anymore. more people are trading in their hybrids for suvs. i'll get it out jessica. jessica caldwell is here. is kind enough to be with us. from edmonds.com. i was blown away by this entire study. i had no idea how far these trends had gone. hybrid car sales down in the first quarter.
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2.7% of the market. they were 3.3% last year. what's going on, jessica? >> that's plug-in hybrids and evs. even a more dire picture than you mentioned. what's going on, you have gas prices that are pretty low. also the fact that nongreen cars. cars with good old combustible engines it's increased efficiency for those vehicles. a lot of people who are driven by financial choices, it doesn't make sense to go green. gerri: this is your survey. your numbers. take a look at the trading comparison. it used to be, back in 2012, 60% of the people who traded their hybrid got a new one. this year it's 45%. what do you make of that number? >> this is actual transactions. we're looking at what people are doing in the marketplace. this is what's happening in the u.s. not a
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survey. it looks like people are going into different things. a lot of folks, they are looking at different vehicles. right now suvs are extremely hot. car companies can't make enough of them. i think that combined with low gas prices, you know people -- they want something different. they're kind of in that situation where, you know, they owned it. maybe they liked it maybe they didn't. they're ready to try something new. the market right now makes it easy to do that. gerri: jessica, there can be nothing more different than an electric car than buying an suv. when i used to talk to people about buying priuses, they were so proud, they were saving the planet. everything was going to be great. and i'm helping the world be a better place. kumbaya. it seems to me it's more about the dollars and cents, at the end of the day. all i really care about is the price of gas. am i reading that correctly? >> for some people that's the case. some people, not. overall, when you look at what people are doing that are owning these
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cars, i mean, i think some people have that love for the environment. although some people are more practical. they bought this car when gas prices were over $4 a gallon. they want to trade it in. get something different. there's a lot of comprises when you buy a plug-in or ev. it's not the same ownership as another car. gerri: i want my car to make a vroom. $2.40. that's the regular price for gas across the country. (?) there's another news item that plays into this. the chevy spark. dropping the price by 615 bucks. that would seem to feed into what we're talking about here. they can't unload these. they only sell them in three states. what does that tell you about what automakers are thinking about what they're going to do with electric cars?
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>> yeah automakers are struggling. they're definitely a hard sell in this environment. they're trying to figure out how to make these cars more attractable when people are so price sensitive. and fuel prices are good on others vehicles. but fuel prices are low. it's a struggle for automakers. gerri: they don't like struggles. they like winners. jessica, thank you for coming on the show. good to see. we'll be right back.
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gerri: are you skimping on medical care to save money? we asked the question on gerriwillis.com. 60% of you said yes. 40% said no. interesting. before we go, an update to today's irs hearing. the irs chief grilled by the means committee about this year's disastrous season. josh didn't have much to offer. the irs was hung up on 8 million taxpayers trying to get info just as new taxes for obamacare were put in place. and, yes, you were right. no apologies from the head of the irs for
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their lousy service. that's my "2 cents more." that's it for tonight's willis report. "making money" with charles payne is up next. have a great night. we'll see you right back here tomorrow. ♪ charles: put the -- breaking news. the parade of earnings continues with big names that you know and more than likely, you own. facebook, ebay qualcomm at&t, all posted earnings that beat the street. each has its caveat being worked out at this moment. who are the winners and the losers? things have changed a lot. it will be hard to understand. we'll work you through it. remember, this is earnings season. so welcome bizarre world. where sometimes good is bad and bad is good because of the wall street expectation game. you lose money walk your stock take off. don't believe me. did you see mcdonald's and yum brands today? in the

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