chrsyler set the stage for bankruptcies of the future? plus, uncle sam has billions of dollars at the ready to spend on fighting the flu. the companies in the race to make a vaccine. and...movies and moy...courting controversy while chasing the big cash at the box office. all on this edition of first business. ahead of what may shape up to be a busy friday morning welcome into the program auto head and really the market and a keen to ensure ahead of the very important second quarter earnings in coming up in the week ahead. a little bit on in reply to figure out in what direction it wants to go. and next week is one to be a critical one for the overall stock market budget get into second quarter earnings results the focus is on to be one banking and technology with big

names like golden stacks j.p. morgan googol and intel reporting results. there's plenty some big questions about the quality of these earnings as well where are the numbers coming from in comparison to what was very difficult just one year ago. general motors could be out of bankruptcy court as early as friday just weeks after chrsyler emerged from its reorganization process both cases were complete in a record amount of time... but they may not necessarily set the standard for bankruptcies of the future. gm is the 4th largest bankruptcy in us history its restructuring could be complete in as little as 40 days. and chrysler's bankruptcy the 7th largest was done in about the same amount of time.. the government dicated the terms.. and jammed it on everyone else.. they get to call the shots so they can go as fast as they want to go. while many bankruptcy experts were surprised at the speed geoffrey richards... with william blair and company - says today's fragile credit markets.. required the courts to move quickly.

clearly what's happening is the need for speed and the willingness of courts to be flexible in accomodating needs of companies trying to preserve value in comparison past bankrupcties like united airlines took more than 3 years. northwest airlines about 2 years.. the big difference? there was no government involvement. many experts agree today's auto bankruptcies are in a league of their own and will not likely set a new standard for future cases. abol jalilvand is the dean of loyola university's business school. is it a trend?.. i don't think so.. may see few more like that.. until we get back to normal times.. then revert back to older more prolonged process for reorganization in the midst of a faltering economy and millions of job losses some say the quick bankruptcy proceedings for gm and chrysler.... provide much needed benefits..

first and foremost, it gives comfort and confidence to suppliers, and customers.. employees.. that it will be a business that does continue to operate as a going concern. other benefits of a speedy restructuring include much lower costs... and more efficiency... but while a quick process may help avoid further economic hurt in the short term - dan dooley a turn around expert - says fundamental problems... like pensions, and uncompetitive wages remain unsolved... and may hurt gm and chrsyler in the years ahead. one can argue.. we're still paying semi skilled workers 30 dollars an hour direct wage plus 20 dollars for benefits not a market rate.. that's a problem i predict back in soup again down the road.. this was not a permanent fix at all looking back to the airline industry - it turns out the 2 and 3 year long restructurings were successful - after the devastating duo of

skyrocketing oil prices in 2008 followed by the worst recession in decades airlines are struggling but still standing. only time will tell... whether the auto industry can claim that same success...in the years to come. it is possible..they may not be successful.. no reason to believe that reorganization going to create sucessful auto company.. gm may focus on other dimension of producing cars.. could be a supplier to other car company.. all those things possible as gm and chrsyler emerge from bankruptcy... they are facing very tight credit conditions...which may hurt their expansion and experts say the government may be underestimating the economic costs of re-starting both auto companies. it's a different kind of stimulus spending. the federal government says it has billions

of dollars ready to help pay for a national vaccine program to fight the spread of the h-1- n-1 flu. "this will be a federally funded vaccine program that may have an opportunity to recover some funding back insurers, folks with private insurance but right now we don't anticipate, given the time table and the rapid need to get this out that this will be done through private sources the way the seasonal flu is, this will be, really, a public effort funded by the federal government." companies working on a swine flu vaccine include sanofi, novartis, baxter, glaxosmithkline and astra- zeneca. more than two dozen high profile websites in the u-s and south korea continue to be targets this week of cyber attacks. websites of the new york stock exchange, the nasdaq, u-s treasury and the pentagon, are among those hit by denial of servicattacks. that's when hackers flood a website's servers to connect to the sites all at once, overwhelming it. when the attacks happen tyhey

block people from accessing the websites. if this were to occur during a period of a critical need of the public to obtain news that could be very disruptive and cause hysteria. the second big concern is whether or not these brute force attacks are being used to mask looking for other holes that can later be explouted that do more than just block access to the websites. the new york stock exchange says its public website has not experienced any impact and - quote "such an attack has not and could not impact the trading and data systems." stocks are continuing around levels we haven't seen since april 04 at the cme group would be made up the tone of the market heading into during season? i think the tone is that people were caught his you concede that. wheat r on the bottom end of the range that we've seen over the last month or two. i think the expectation is until we breached the

support they're not gonna be a lot of panic. the uc and that the market held over is ready for disappointment fundamental discipline with earning season? or maybe build the end of that such a low hurdle that can do nothing but the open the expectation was more if you hit the nail on the head of hurdle is like this. if they can clear that hurdle than we are in trouble and that probably would send a really poor message to the market bottomed and is gonna be issued clearing these hurdles. isolde you couldn't even see it. steve along with us he is with think or swim at the cme group. still to come the box office race, chasing controversy and cash.... but first, stock picks from a new stock picker...we'll find

out where he's finding opportunity.

earnings season is right around the corner as stocks have dipped off their highs as the economy continues to drag along. we spoke with maury fertig, chief investment officer at relative value partners, who likes both stocks and bonds.

online items after the show, head to our website to learn why investing in your company's stock could pose problems when it's time to retire a mountain of debt. and...search engine google dives into the software arena...the impact it could have on micrsoft's bottomline. it's all on our website at firstbusinessx.com. and straight ahead on the show.... which movie studio hopes to regain its market share? ...we'll check in with our movie industry analyst...after the br

the movie business is one that thrives on newness but it's a three week old movie that continues to rake in the cash. transformers from viacom's paramount has brought in over $300 million in just two weeks. johnny depp wasn't able to dethrone it with public enemies and now comes bruno this week. david sikich is back with us. nice to see you. universal has been felling of little bit at the box office public enemy be o.k. but it was a distant third one is at stake for universal? universal had a tough year but they're turning it around these releases could be toward different than each other so there's an audience for both. and for public enemy so far so good it opened at over $40 million the $40 million mark and for the first five days universe with a very happy with and they should be because their debt paid off. that is doing very good in a few other things instead johnny depp is proof that he has star power in a year where do your rubbers and

russell crowe and some others did open movies he did and they are really happy about what they see from the audience because it has broad equal the amount 25 and over and play 5 and under. and in men 53 to 47 percent women and that should carry it for the next few weeks. i like the movies are recommended. this plan to have lights. certainly need some help here universal is a distant place listed look at the movie market shares going into this coming week and seek universal under 10 percent of the market share hasn't had any success this public enemy is not withstanding changing gears entirely mentioned is a and b are into a bruno now a follow- up to borax film documentaries how did this wind up a fox or whether how bitter wind up old when from fat box. but this one is with universal. porat is a huge sensation in 2006 doubled to zero hundred and 61 million worldwide at the same time that it was believed it was the high point of both the talent agency representing put his next movie

called for bid but was going to be broke before studios get into it were universal one and 40 to one half million the risk is that did they pay too much pork because at just buys and distribution rights for english-speaking countries for 15 years no ownership stake in of rain limited type of contract for a studio. close the other risks is the fact that this character of bruno as 9 s likable its more default design if been the other will people get tired of this using ordinary people putting them into situations and making fools of them. that's a gimmick that can get old fast. as a focal to this movie this week in no that universal has $42 million riding on the line like lou we'll see that big box office return the

person we can't let port calls for generally a film that cost very little money does a lot riding here. and there's more than just that there's a threat of lawsuits would are born to come on with this movie to. this movie carries a lot of baggage plane use real people and put them and make them look foolish and put them into unsuspecting players in the movie you run the risk of lawsuits universal has always served papers from the law will also and hasn't even opened i'm sure there's gonna be others. the thing i meant to stress is that the people in these movies are used with their permission but they get upset later on when they think that there were seasick the seat can exceed the movie becomes a hit become of the woodwork of the thing with fox the one about every lawsuit against them because they had the releases the consent forms is an idea: defense even if they perceive it will verbally told something that trumps everything. finally i want to mention is an untraditional be

in untraditional john rug the marketing for this is beginning to be more traditional television as the a same leading up to release coming this weekend. but it has been a master a remark and campaign. he is one of the big issue of man as one of the strength to universal past may turn and pulling night success for the studio. he does anything he creates awareness he's fearless and he's shameless. those are to trace to have. and tv he was strapless on the head of m and m and 100 million people saw it on you to and everything else he will do anything to create awareness and i think we are going to see him continue to do the same thing. you know the title of his next movie? was that? dinner for smokes. we'll leave it there david sikich watching the movie industry. coming up in chart talk we are going to take a look at what could be born of the hardest hit sectors as we get into the second quarter earnings season. the material sector. that's coming up next.

as we reported on the show in the past we speak to morningstar and live in a bear any list is watching the material sector he believes as companies report second quarter earnings of viewer earnings results could be much weaker than the overall market because of the very sharply falling volumes because of the recession. if it was lower commodity prices especially health benefit of fit the official beginning of the quarterly earninegson out: a big component when i'm white and exchange traded fund falls these material stocks if

you're going to think that the economy is stabilizing trend around based on materials would be in demand when you take a look at the toward this exchange traded for an ec the price topped out back in mid june in anticipation maybe paul and prices falling foul and we've seen the stock fall. if a signal to the bigger picture going back to one year you can see pretty solid base crowd $30 for i what am going back to last november and from last march. some support around $40 going back from april time period. we'll have to hear from you watching what seconds ahead of their earnings season comments at first business x. c o m. will see you next time.

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