report." with tyler mathihisen and sue herera. lip on worries about greece. equities drop as the new prime minister calls to roll back austerity, setting his government on a collision course with creditors. rough seas work resumes at the west coast ports after the weekend shutdown. don't look now, but oil prices are up 9% in three sessions. has crude found a floor or will the commodity make another dramatic move lower? good evening, everyone. welcome. defiant, that is how many are describing the new greek prime minister who is taking now a hard line with eurozone leaders.

he wants to roll back austerity, do away with budget cuts and renegotiate the terms of that country's massive pile of debt. turmoil casting a shadow over global markets increasing concerns greece could default or maybe exit the eurozone. those fears today were compounded out of weak data out of china and a surprise drop in its exports in january. the dow jones industrial average was off 95 points to finish at 17,729. the nasdaq lower by 18 the s&p 500 lost eight points. all this comes just days ahead of a meeting of european finance ministers. more now on the debt drama, and what might happen next. >> reporter: posturing is what european leaders are seeing.

the greek prime minister talking about pulling back the austerity measures raising the minimum wage. we also have the finance minister say there's a whole pack of cards. if you pull the greek card out, the whole thing comes tumbling down. we are starting to get some details of just what that program for the future would be. the question is are european leaders going to accept it. they want to do something about the humanitarian crisis. they want to do something as far as debt is concerned, to reduce the overall level of debt. they also want to lower things for this country. are european leaders going to say, absolutely not. there's rules that need to be foll the leaders get together on wednesday. we take this right down to the line and we'll see how it is on

monday. will the european central bank fund greece and keep this country afloat. it will be a tough few days for greece whether or not this happens, and tough negotiations meantime british prime minister david cameron reportedly met with senior economic officials, including the bank of england, to discuss a possible greek exit from the eurozone and the potential impact it might have on the uk economy. britain's finance minister was reported as saying that britain was stepping up contingency planning and that the standoff between greece and the eurozone raised risks to the british economy. >> this high-powered meeting in washington president obama met with the german chancellor angela merkel. tried to find common ground on some divisive issues. >> reporter: at the very top of the agenda for today's meeting,

ukraine and what to do about the war in the eastern part of the country. angela merkel's visit to the white house comes as the president is pressured to bring aid to ukraine. angela merkel is opposed to the u.s. doing this. today president obama didn't make a decision or at least didn't announce one. regardless if they have differences, today they tried to give a show of unity. >> we continue to encourage a diplomatic resolution to this issue, and as diplomatic measures increase, the 21st century cannot stand idle have us stand idle and simply have the borders of europe be drawn at the end of a gun. >> at the very top of angela merkel's remarks during her news

conference she highlighted three other countries that were actually growing. >> translator: we have made significant progress in a number of areas. we have countries back on the growth path. but spain and portugal even after a strong phase of structural forms they have made significant progress. >> reporter: all three of the countries she mentioned, ireland, spain and port youu ireland, spain and port youl followed the rules of the bailout. and may be suggesting that greece needs to do t at the white house, for "nightly business report," michelle carusso cabrera. >> bill adams joins us to talk more about greece and how he sees things unfolding in the eurozone. welcome, bill. nice to have you with us. >> thank you for having me. >> what do you think will happen with greece? certainly the deadlines are looming, and the negotiations are gett >> well i think the most likely outcome is that greece does walk

away with a slightly better deal than they had coming into these negotiations. probably some of greece's debts will be turned into longer term loans, probably at lower interest rates than they are now. that will decrease the amount of money that the greek government has to spend on interest expense e and will have more left over to fund social spending that the new government has promised. >> it's the pretend and stepped approach. >> well i think it looks like a game of chicken, nobody goes into the game of chicken planning to hit the other car. >> it seems like you do not feel they will exit the eurozone. >> i think a eurozone exit is probably not in the cards. i think a technical default by greece is not possible. but i think its effects will probably be contained mostly to within greece. greece is a very smart part of the eurozone. so i think the larger economic impact of that very unlike event would still be fairly limited. >> what's wrong with making concessions to the greek government? or is there anything wrong with

it? >> well i think the reason why germany and the other creditor states the states that are lending to greece are reluctant to make concessions to greece because once they open the door to concessions to greece then portugal and spain and italy will say, well why weren't they complying with these programs to begin with. countries like france that germany would like to make reforms, will feel reluctant to do so. >> what do you feel about the ripple effects if a default takes place, the ripple effects to the u.s. economy and the u.s. markets in particular? are you worried about that? >> i think that's a tail risk something we're watching but it's not something we think is likely. and i think if there were to be a greek default, i think its effect on the u.s. expansion this year would be pretty limited. the u.s. economy actually looks like we may have our best euro growth in 2015 since 2004. >> what if greece left the eurozone? >> i think if greece left the

eurozone it would be very painful for the greek economy in the short run, and i think it would cause a lot of soul-searching in europe why their system hasn't worked as promised. it might cause more prolonged period of high unemployment and weak economic growth in europe. maybe a double-dip recession. but i don't think it would be the trigger of a global recession. >> very quickly, what do you want to see from the g-20 meeting that's looming ahead? you have lower energy prices even though we've had a bit of a bounce recently. but that can be a big problem for russia venezuela and a number of other countries. >> that will be a concern for the oil producing countries. i think for oil-consuming countries, it's good news. i think the g-20 even if we don't walk away with a ton of terribly concrete progress it's still one that will mark a year of better growth in 2015. >> thank you very much for joining us. >> thank you for having me.

the u.s. treasury secretary optimistic on the u.s. economy. jack lew said we're seeing a comeback and he's feeling confident. >> it is time to say that we've really turned the corner and now we're in an economy that's growing. it has sustainable growth. and it's growth that's showing up in not just businesses but in jobs and we're now seeing wages go up a bit. i think there's a trend that needs to continue. we need to make sure that we do what we can to continue the growth. and i think that you know we're getting some benefit now from lower oil prices in terms of the economy getting a bit of a boost on top of that. >> as for the strong dollar which weighed on many multi-national companies, lew said it's a reflection of the u.s. economy strength compared with the rest of the world. now to oil prices which have risen for three straight days gaining 9%.

part of the reason a drop in rig count suggesting that the supply glut may ease. the u.s. will produce less and consume more. intermediate crude settled at $52.86. and brent also rose. jackie looks at whether prices are finally finding a floor. >> reporter: oil prices are on the rise and so are prices at the pump. the lundberg survey saying gas now $2.20, 13 cents hike in the last two weeks alone. what's behind the rise in oil prices and what's moving gasoline? oil prices up about 10% in the last month, seem to be stabilizing over $50. adding support, opec raising its 2015 outlook for demand. the rise in oil prices are certainly a contributing factor to the rising gas prices but other factors, like seasonal maintenance, and a switchover to

a more expensive blend of gasoline for the summer driving season is what's making it more expensive for consumers to hit the road. >> we're seeing a bounce from crude oil for two things. one is rig counts. they shut down some. they had to. and then from there, we have opec coming out with greater demand for 2015. these two put support in the marketplace. crude oil rallying, it will have an impact on unleaded gas and brings the prices up. we'll also be moving into the driving season switching over the refineries. so unfortunately, i think we're going to see some higher prices at the pumps. >> reporter: analysts are forecasting another 10 cents hike in the coming weeks saying we could see prices back to $2.75 by the summer. >> i think we could see another 20 to maybe 25-cent increase in unleaded glass. >> reporter: there are those saying it could be a head fake and we could make a dramatic

move lower. oil could find a bottom at $20. if that happens, fuel prices might find some footing around $2. but those in that camp few and far between. for "nightly business report," i'm jackie d'angelis. despite the recent rise in energy prices the swift and steep fall over the past few months is still being felt. the latest diamond offshore expects to idle a number of ultra-deep water rigs because of weak petroleum demand. revenue failed to meet expectations and it scrapped its special dividend in an effort to preserve cash. still ahead tonight, why the west coast port slowdown is causing a $7 billion headache for one important sector of the

operations resume today after a suspension, part of an ongoing month-long contract dispute between ship workers and dock workers. and tensions are running high. >> reporter: work resumed at west coast ports on monday but the damage they have already been done. truckers have been saying congestion is so bad, they cannot be held responsible or fined for the late return of equipment. and citrus farmers say already they've lost nearly a half billion dollars in sales to asia. the pacific maritime association which represents management decided to shut down all work offloading ships up and down the west coast this weekend, claiming it needed to find more space in the yard to put cargo containers. >> we need the yard crane

operators. you can't send a football team out without a quarterback. that's what these workers are. they're the quarterbacks of a crew. >> reporter: the pma showed "nightly business report" number suggesting that while it asks for a full complement of yard operators in l.a. and long beach daily, the union will only dispatch a handful. >> typically what happens is we call the dispatch and say, we're going to need 15 yard crane operators at terminal f, or terminal y. what we're hearing back no you're going to get one. >> reporter: the longshoreman union disputes that and released photos claiming there was still room for more cargo to be unloaded this weekend, negating a need for a shutdown. and in a new twist, the union is hinting the problem may be due to management mostly based outside the u.s. >> when they decide to close the ports, that's a pretty serious issue. and i think people should take it seriously for what it is. it is a form of economic terrorism. >> reporter: contract

negotiations resumed monday and while it would appear outwardly both sides are far apart, the union says that's not the case. >> they're very close. they're this far away. >> reporter: and if that's true, perhaps a contract could be negotiated before there's a full-time shutdown. though some are already paying a very high price. for "nightly business report," jane wells, los angeles. a continued slowdown at the ports as jane just mentioned, a shutdown could turn into a big headache for a pillar of the economy. >> reporter: the west port coast congestion could be a $7 billion problem for retail. this weekend's temporary port shutdown has the retail industry riled up about the prolonged and likely continuing economic impa. a consultant si firm said it could cost the retailers as much as $7 billion this year ballooning to $37 billion next

year because of the costs to reroute the transportation of goods, and missed sales due to products being out of stock. >> we're expecting it to hit retailers in calendar year 2016 in a major way. and i would expect that that would result in higher costs for consumers by the end of next year. >> reporter: a shutdown would be much worse, and wider reaching. more than half of the nation's imports enter through the west coast ports. the national retail federation and national association of manufacturers estimate a ten-day shutdown could cost the economy more than $2 billion per day. on its earnings call john idol said the additional transport costs haven't had a material impact on the business yet. but war in revenues could take a hit and costs could rise going forward. warren has shifted goods to the east coast ports which extended transit time by three to ten . >> the best retailers are

pulling things through air freight, or shipping through alternate ports. they're shifting that volume through and taking the cost hit in order to keep the potential for lost sales down. >> reporter: while no retailer is likely to go unscathed by the disruptions, the retailers that see minimal impact are those that have planned ahead. like fast fashion retailers, forever 21 which are likely to have already built in the higher cost of air freight to their margin structure. susan anderson said l brands children's place and hanes brand are best conditioned to weather the congestion because they too, rely on air freight and have other logistical capability. even if there's a resolution relatively soon anderson still thinks it could take the bulk of this year to sort through the backlog of containers slogging west coast ports. for "nightly business report," i'm courty. mcdonald's sales slump

continues. the the they blamed the aftereffects of the food scandals in china. shares of mcdonald's off more than 1%. also a tough day for shares of american airlines. that company reported lower traffic in january. and lowered its forecast for first quarter profit margins because of the recent rise in oil prices. shares slumped more than 3% to $46.53. meantime hasbro had demand for toys geared toward boys like transformers and action figures. 46 cents a share. the yield on that payout around 3%. shares popped 7% sit at an all-time high of $59.65. motorola solutions saw its

shares rise today on reports of a sale. the walkie-talkie and radio systems maker potential buyers could provide defense contractors. and qualcomm agreed to pay china $975 million ending a month-long investigation into the company's anti-competitive pract. following the news the chip maker raised the lower end of its full year earnings and revenue outlook. shares initially higher after the bell. before the close shares were up 1% to $67.11. black rock reported a stake of more than 5% in ford. this comes after the automaker reported a sharp drop in fourth-quarter profits. ford also told investors recently it will have a major rebound this year from the struggles in 2014. black rock fell a fraction to $368.80, ford closing at $15.92.

a warning today from senator edward markee of massachusetts. cars are too easy to hack. according to report released by the massachusetts lawmakers, vehicles that are more connected are also more vulnerable to cyber attacks through wireless networks and smartphones. they're calling on the auto industry to work with experts to ensure driver safety and privacy. as automakers look at their security systems, one company in particular is also eyeing the strong dollar. but not for the reasons you mi the surging dollar and weaker euro have cut into the profits of many u.s. companies doing business overseas. but for jeep the shift in currencies will give the new models an unexpected bump in profits. phil lebeau has more. >> reporter: the new renegade small suv looks as all-american as any other jeep model. but when it rolls into jeep showrooms next month, few buyers will realize the renegade is actually built in italy.

>> most consumers aren't really aware of where the vehicle is actually produced. they're more concerned about the styling of the vehicle, the name of the badge on the hood and jeep obviously carries a lot of cachee. >> reporter: sergio is building the renegade in italy because that's where the company has underused assembly lines. he made the decision in 2012. and it will lead to heftier profit margins for the renegade. here's why. the price they pay workers and local suppliers building the suv in euros, which are trading near record lows. but the renegade will be sold primarily here in the u.s. in dollars. which are surging right now. a price starts at just under $18,000, the renegade is expected to have strong sales. >> this smaller vehicle with a lower price point, it's going to open up the jeep portfolio to a whole new batch of buyers that perhaps live in urban and

environments or are younger, don't have as much disposable income. >> reporter: given the three to four years it takes to develop and bring a new model to market they believe the team could have planned for the shift in dollars and euros. but that change will be paying off as jeeps roll out of italy. phil lebeau, "nightly business re coming up how one national nonprofit suddenly flush with cash is spending. its deluge of donations. microsoft is increasing the size of its $7 billion bond offering to more than $10 billion, because of strong

demand. moody's said the company's coveted aaa rating could come under pressure to use the bulk of the bond issue to finance a share buyback. apple is reportedly ready to issue bonds to nominated in swiss francs. strong demand has pushed government bond yields there in negative territory, so the funding cost for apple would be very low. the report says apple will likely consider a 10-year or 15-year offering. house of cards is coming to cuba. netflix will launch its streaming service in that country for $7.99 a month to residents with access to high-speed internet and international payment methods like credit cards. netflix has been focused on expanding its international operations. the upgrades in cuba they hope will bring the internet to more people there. six months ago about 3 million people dumped buckets of ice water over their heads. for one organization, it changed ev for every bucket dumped people

donated millions and millions of dollars to the als association. now, six months later, how did that nonprofit handle that sudden windfall. here's the story. >> reporter: the viral sensation that soaked the country this summer. the ice bucket challenge was accepted by everyone from ceos to celebrities, to presidents. it raised $115 million for als research as well as the profile of a disease with no good treatments. >> the amount of the funds they have available to them has increased dramatically which hopefully will help them fund more grants able to fund larger amounts of money for larger projects and maybe even be more creative in the type of projects that they're able to fund. >> reporter: researcher john landers is part of a worldwide project to sequence the je neem for thousands of people with als, also known as lou gehrig's

disease, and improve drug development. before the ice bucket challenge, there wasn't funding for the work. but they were able to donate $1 million to the project. the $115 million brought in compares with an annual budget of about $60 million for the als association and its regional chapters. the association says it plans to invest between 21 and $25 million a year in research. and already announced grants of $22 million in october. including for dr. landers' work called project mine. the association says the challenge energized the research community. it's received three times the number of applications for grants for young scientists just starting their careers. the funds have also gone to a project to speed drug development called als accelerated therapeutics and a project called neurocollaborative. they'll also support patient care services and efforts to work with the fda. while we may not see a repeat every summer als researchers

hope the new donors will remember the cause. bill gates not only took the ice bucket challenge, but was the most generous donor last year of all. gates and his wife melinda made a gift of $1.5 billion worth of microsoft stock. and he did it to the bill and melinda gates foundation. good note to end the show on. that does it for "nightly business report" for tonight. i'm sue herera. thanks for watching. >> i'm tyler mathisen. have a great evening, everybody, and we'll see you right back here tomor

>> welcome to "film school shorts," a showcase of the most exciting new talent from across the country. experience the future of film, next on "film school shorts." "film school shorts" is made possible by a grant from maurice kanbar. celebrating the vitality and power of the moving image. and by the members of kqed. >> boy: the neighborhood i live in is... mostly clean. a lot of gangs tagged up all over. half of the street is all poor