reactions to apple's latest innovations: why the really big reveal may have to wait until fall. in today's cover story, checking out why hotel workers are shook up about the hyatt hotel shareholder meeeting. plus, as college costs continue to soar, how to take control. and, peeling back a problem plaguing this year's orange crops. first business starts now! you're watching first business: financial news, analysis, and today's investment ideas. good morning. it's tuesday, june 11th. i'm angela miles. in today's first look: market in the middle! stocks closed mixed yesterday as investors debated whether to buy or selling following friday's news on jobs. commodities were also relatively unchanged. will it be a lulu of a day? shares fell 8% when lululemon

reported earnings after the close that topped wall street's expectations but also said ceo christine day is stepping down in the wake of the see-thru yoga pants ordeal. shares of booz allen hamlton dropped yesterday on word its employee edward snowden leaked the information about the government's survielence prgoram. snowden worked at the government contractor for 3 months. flight delays and disruptions are expected the next 3 days in europe as union workers strike against a european commission request that airlines drop a number of flights. let's get a check now on the bond market with doug rothschild. he's with performance trust. always good to have you on the show, doug. and the s&p rating call yesterday with the rating of the u.s. debt being put at "stable," does that change

anything in the bond market? - we're not sure it does change anything. there's still certainly volatility that has been introduced a lot more. keep in mind the reason that the s&p downgraded the u.s. was because of bad management. they were worried about the fiscal cliff and the debt ceiling. we continue to print money. there were a lot of issues when the u.s. was downgraded. what's interesting about the announcement that they brought out was, it was a little bit different. they said that the fiscal outlook was a little bit better. so i don't know if that is a mixed message or not, but they were downgraded because of bad management and upgraded because of the fiscal outlook is better. i am not seeing that in the numbers, but we'll see. i think for now the s&p rating is a data point. if you see fitch and moody's agree, because they also have downgraded the u.s., then i think you will have something to talk about. - the leader of france says that the crisis in europe is over. do you agree with that? - i think it's too early to tell. that is kind of like

saying the race for president is over before the final poll have gotten in, or actually before they have even started to open. i think what you are seeing now is they are in the middle of seeing if some of the mechanisms they used in the bailout are going to work. but i would say overall, the job market and the economy in europe is not a great picture. so we have to see if these bailout mechanisms are going to work to see if europe's out of the woods yet. - thanks for your thoughts today, doug. - thanks. it's show and tell time at apple's worldwide developer's conference in san francisco this week. monday, ceo tim cook took the wraps off an updated operating system called ios 7, a new music streaming service called itunes radio, and a sleek line of macbook computers that will be made in america. however, the splashy event is failing to motivate investors, according to trader scott bauer. "over the last 18 months or so there's been such hype for these conferences and what's come out of it? not much from a

stock persepective. the new products they have are great, but as we saw the news come out yesteday, the stock just hung around at the level it was trading in." traders and analysts are watching the event for signs of innovation under ceo tim cook. "tim cook has a real challenge to follow in the footsteps of steve jobs. jobs created a number of new categories, from the ipod to the ipad, and tim cook is a supply chain guy, he's not a visionary." eena freed, senior editor at all things d, says the conference is laying the groudwork for larger releases this fall. "we didn't get a lot of hardware that you can actually go out and buy. the only product that is hitting shelves is an update to the macbook air, which gets longer battery life but isn't a major redesign." apple's conference runs through friday. google reporteldy is coming up the winner in a hot battle for a company called waze. waze is a popular social mapping system. it gives drivers real- time info and even alternative routes to avoid traffic tie-ups.

it's reported google will pay $1.1 billion. facebook is said to have been a contender for the waze gps styem. waze gives google a solid lead in online mapping. in our cover story, at hyatt hotel's annual shareholders' meeting, employees pressed board members to add a housekeeper to the board. not only was she told there are no plans to expand, the corporation called her attempt a 'publicity stunt" as union negotiations remain stalled. [chanting outside hyatt's annual shareholders meeting, demonstrators wanted cathy youngblood, a hotel housekeeper, to replace penny pritzker on the board of directors. pritzker is expected to resign to become president obama's new commerce secretary. "given the years of controversy, the global boycott, hyatt needs a path forward. naming an associate to the board is that path forward." youngblood has been campaigning since decemember to be on the board. hyatt spokespeople declined to comment on camera, but in a statement, the corporation called youngblood's

efforts "publicity stunts, pressuring us to impose unionization on our associates." "i'm no publicity stunt. i like hyatt and want to keep working for them. i just think they need to listen to us." not all hyatts are unionized, but in chicago, hyatt and the labor group "unite here" have been in negotiations at four chicago hyatts since 2009 - talks still unresolved. while pay is no longer a sticking point, the workload, including lifting mattresses larger and heavier than ever, remains an issue of worker safety, which has kept negotiations apart. "if you're a woman, 5'5" and 130 pounds, you have to lift up a 100-pound mattress, scrub tubs on your hands and knees, that's hard. and you have to do that for 16 rooms." for now, penny pritzker remains on hyatt's board pending a confirmation vote by the full

senate. youngblood says her efforts for a seat will continue, along with a global boycott of hyatt about which labor and management disagree on its financial impact. president obama is nominating a new right-hand man: jason furman is the president's pick to chair the white house council of economic advisors. furman has spent the last several years working for the white house economic council. he also worked on economic policy in president obama's 2008 campaign. the nomination requires approval from the senate. union workers for caterpillar vote today on a new contract from the company. the heavy- equipment maker is offering an additional $1500 in the new deal. however, according to the chicago tribune, the pact still includes freezing wages for current workers and lower wages for new hires. workers rejected the first offer in april. a merger flight plan is out from american airlines and u.s. airways. the combined airline will be run by u.s. airways ceo doug parker. american ceo tom horton will become chairman of

the board. most of the management team will be from the u.s. airways side. u.s. and european regulators still need to approve the deal. shareholders will have their say at a july 12th stockholder's meeting. gogo, the tech company that makes it possible to use your computer while in flight, is moving closer to an ipo. gogo currently has wifi systems in nearly 81% of internet-enabled commercial jets, including american, united, and delta. gogo first filed for an ipo in december 2011 and is now getting back into the game by attempting to raise $187 million in an ipo. the company last posted a $34 million net loss in the first three months of 2013, while generating $70 million in revenue. record-breaking rains this spring are taking a major toll on farmers. so much rain so early in the planting season means crops are in danger of drowning or lack of planting. since the begining of the year, three times the normal amount of precipitation has fallen.

this is in stark contrast to the same time just a year ago, when farmers were dealing with one of the worst droughts in the nation's history. "traders are anticipating that production yields are continuing to be lower, and the farmers are unable to get out because of the wet weather and do any planting. so really, right now there is only 70-75% of the soybean crop planted." on capitol hill, congess is still locking horns over the farm bill. farmers are hopeful for a deal that includes support programs for floods and drought. more fallout for monsanto after genetically modified or "rogue" wheat is found growing without permission. the world's largest seed company is being sued by a washington state farm and an environmental group. according to the suit filed in federal court, monsanto failed to adequately protect regular wheat from being contaminated by the modified wheat. monsanto responded, saying that given the care undertaken with its genetically-modified wheat experiments, no legal liability exists.

the planned $4.7 billion acquistition of smithfield foods by china's shuanghui international might see decades- old laws stand in the way. at least five midwest states have laws on the books that restrict foreign businesses or governments from owing or even controlling u.s. land that is used for livestock or crop production. smithfield lawyers are reportedly aware of the laws and do not consider them a threat to the deal. a group of bangladeshi building inspectors are now suspended. seven inspectors are accused of negligence following the collapse of a garment factory that killed over 1100 people in april. authorities are accused of renewing building licenses without inspecting the factory. if found guilty, all of the mid-level officials would lose their jobs and face prison time.

mcdonald's stock is trading higher on the heels of a sales boost in may. sales were up 2.4% in the u.s. and 2% in europe. in asia, the middle east and africa, the number inched up 0.9%. the upward trend is a huge plus for the fast food chain - it follows a decline in the first quarter. its dollar items and new menu helped drive the new growth. the auto industry is posting a big "help wanted" sign. engineers, technicians and factory workers are all needed as the industry races to build the next generation of vehicles. this comes at a time when factories are already running at nearly 95% capacity. according to usa today and the center for automotive research, the industry is expected to add 35,000 people this year alone. and a quick mention of that charity auction to have lunch with billlionaire investor warren buffett. someone won with a bid of just above $1 million. for the past few years, bids have topped $2 million. millionaires are going more modest with their money these days. a study finds millionaires are spending less on luxury goods such as jewelry, watches, and handbags. when surveyed, nearly 80% said they consider luxury items less significant following the

recession. however, the rich aren't totally ditching the good life. many are more willing to shell out big bucks for experiences, including vacations and dining out. still to come, why florida's favorite fruit is in danger. that's later on. but first, college may soon become even more expensive for students. ways to prepare for the daunting cost of a degree, next with bill moller.

in the past, angie has talked about the fact that the government student loan rate could possibly double just a few weeks from now on the first of july. but the fact is, even if congress keeps rates where they are - just under 3.5% - college loan debt is still way out of control. so what can a family do to keep a college education within budget? ted beck is the ceo of the national endowment for financial education, or nefe. ted, how bad is it right now? - the numbers are a little intimidating. we are showing that about 70% of the people who are graduating from school right now are graduating with debt, and the average is about $27,000. so if you see that doubling happen, that's about $1,000 per student. that's a pretty significant number. - and there they are in their lowest-income-earning years, facing all that debt. so, what should a family do when they wade into the process of financial aid?

- first of all, really make it something you do a lot of homework on. start off filling out the fafsa form, which basically tells you what you can qualify for in federal aid. then really start putting together a spreadsheet that says this is how much four years is going to cost me. one of the mistakes we see people make is they only focus on that first year, and then run out of money in the second year. - and there's a pretty big drop- out rate after that first year because of that very fact. - actually we just did some work on this, and it showed that about 33% of the people who start school do not finish, and still have debt. so they don't have that income kick of having graduated, and still have to pay off those student loans. - ted, it's really important that a student pay back that loan. there they are at their lowest-income-earning years, and that's their first touch with credit, so they really have to respect that loan. - yes, and they should also remember this is something that can never be forgiven in bankruptcy. so this will be with them for a long time. so an effective repayment plan and strategy is really important. - now, your website is a wonderful resource:

smartaboutmoney.org. and people should search the word "college" there. - that will give you a lot of good tips on how to approach this, how to take advantage of not only things like pell grants, but also one of the things, a lot of people lay money on the table, they don't take advantage of the tax treatments. so getting tax credits or deductions on your tax return can be really helpful, and that's something people just forget to do. - ted beck, thanks so much. - thank you. good info bill. still ahead, fresh-squeezed concerns that florida's orange juice crop could soon be in crisis. that's next.

the department of agriculture is continually dropping its

forecast on orange production. it's estimated to be 10% lower this year. it comes on concerns of a crop disease farmers can't get under control jackie keenan reports from florida. when you think of florida, bright, juicy oranges may be one of the first images that come to mind. but not oranges that look like this. or like this. citrus farmers are battling a bacterial disease called greening. carried by the asian citrus psyllid, the disease cripples the tree and starves the fruit of nutrients, causing them to drop before ripening. "this tree has quite the infection from the green disease." victor story has been working in groves since he was 8 years old. he now manages more than 6,000 acres. he's battled freezes and hurricanes, but greening is the worst threat to his oranges he's seen in his lifetime. "it is troubling because we do

raise the best tasting juiced fruit in the world." this tasty fruit is worth more than $9 billion to the state of florida, which is the second largest producer of oranges in the world. since 2006, greening is to blame for $3.6 billion in lost revenue and 6600 job losses, according to a study from the university of florida. the most troubling sight for a citrus grower is a tree that looks like this, where the fruit has all fallen to the ground. but also troubling is the fact that there is no cure for the disease. "we'd feel a lot safer if we knew what the resolution was." shannon shepp is the deputy commissioner of the florida department of agriculture. she says research is intensifying on trying to find a cure. but some growers are calling it quits, as the cost of keeping trees healthy is just too high. "there are two sides to that challenge. the first one is fruit losses, absolutely a killer on the eonomic side, and

the second is that trying to prevent the disease and care taking for the groves is also an economic killer." "our production cost from before psyllids and greening went from about $600 an acre to about $2200 an acre." story estimates 10% of his crops will need to be replaced. but he's optimistic florida's sweet fruit will survive. "i just like to say that we've seen a lot of challenges over the years, and we've met them, and we're still viable." for first business, i'm jackie keenan. coca-cola isn't going to let greening stand in the way of its oj business. it is spending $2 billion to plant 25,000 new acres of orange groves for its simply juice brands. coming up, the stock our trader says lets you have your cake and eat it too. chart talk is next.

matt shapiro, president of mws capital, joins us now for chart talk. matt, i am wondering how you are feeling about this. are you growing weary of all this chitchat about when the fed will taper, what is going to happen next? i know you are a big believer in this market and this economy. - well, i think it's really important for credit investors, and they are very nervous. what was behind the correction at the end of may / beginning of june was really the shifts in perception about what the appropriate discount rate was going to be for fixed-income and the like. and as you know, those interest rate-sensitive, heavy dividend-paying stocks didn't do so well. but the part of the market that was untouched was growth stocks. so, all these conservative investors, bearish investors in conservative investments, got hurt. people in aggressive, go- go investments, such as

starbucks and whole foods, did more than fine. - so what are some stocks you would consider in this current market situation? - a strange and interesting but actually pretty well-known stock is cheesecake factory. the stock symbol is "cake." it's a $2 billion company. about $2 billion in sales over the next year. 150 ubiquitous restaurants, of course. and you know, analyzing this stock, it's a very good company, very profitable, driven by its founding ceo, david overton, and they have had excellent results. the stock's stayed up - about $41, near all-time highs. - thanks for coming on the show as always, matt. - you got it. that's it for now. coming up tomorrow: is cable stable? what media moguls have to say at this year's cable show. from all of us at first business, have a terrific tuesday.

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