tv World News Now ABC January 22, 2018 2:30am-4:00am EST
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narrator: we celebrate the risk-takers... why not quit the job and go for it? ...the idea-makers... we can really change the world together. [ screams ] narrator: ...the ones who determine their own fate. -whoo! -we got a deal! narrator: we celebrate entrepreneurs. i want y'all to think -- who's next? narrator: this is "shark tank." and tonight, founder of a category-defining company, spanx, sara blakely, joins the tank. these two shark women are gonna take a huge bite out of you. join me as we show the world the beauty of africa in design. so, who wants to blow this market out of the water? i like a lot of it, but not enough of it. -as a mom, it's a hit. -as a dad, it's a hit. as a future teller, it sucks. i have to call out the white elephant for me in the room. radzely: i just need that person that has been there, done that, knows how to make money. we're ready to scale. i think that it's super-cool. oh, i can't get it off, for real!
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[ loud pop ] -oh! oh, my god! and that is how you do a deal. -- captions by vitac -- narrator: first into the tank is what the entrepreneurs believe is a more elegant way to gift. ♪ ♪ hi! i'm sal. i'm alex. and i'm david. we're the owners of bouquet bar. we're seeking 10 -- we're seeking $150,000 for 10% of our company. thank you very much. [ laughter ] it's not always easy buying a gift for someone. take a moment. think about the last time you had to order a gift for a family member, friend, or a co-worker. were you happy with that purchase, or did you just wind up buying one of these gift cards 'cause you couldn't find what you were looking for? -yes. -[ chuckles ] well, we have a perfect solution for that.
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welcome to bouquet bar, an online gifting platform that has taken flowers, unique gifts, combined it with amazing packaging for a whole new elegant way of gifting. here's how it works -- choose one of our designer gift boxes, then add the gift of your choice. whether it's lavender-infused dark chocolates, organic tea blends, or beautifully arranged flowers, the possibilities are endless with bouquet bar. add a custom note, finishing touches to your gift box, and send it to that special someone. so, sharks, who wants to help us... all: bring the art of gifting to everyone?! okay, we're past that, guys. let's do some amazing treats. -okay. -all right. we like treats. don't we, kevin? a moment on the lips, a lifetime on the hips, lori. you know what? he always says that. only to a girl. -i'm just saying... -wow! -what is this? it smells so good. oh, this is beautiful. -oh, my god! mine is huge! -ooh, that's nice! -i know. this is gorgeous. -look at that. -this is nice. -wow! ♪ so, that's a dozen roses?
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that's a dozen roses. -wow. this is cool. -thank you. how do i mix-and-match items? so, you come to our site, you get three items in a small box, six items in the medium box, and then the large box, you get a large bouquet of flowers and two smaller gifts. so, you select your box, and then you mix and match whatever you want. how many different choices do i have? we've been actually at it for only four months, so the products we have right now is -- really? you've only been doing this for four months? -four months, yes. -candles, chocolates, truffles. we have about 22 skus, and, plus, the two bouquets that we have. what about shipping? this is heavy. before they attack you on the numbers, i have to -- it's okay. we're ready. we're totally ready. no, before they atta-- before you get into the touchy-feely, how much does it cost to ship this? 'cause it's heavy as hell. right now, that box gets shipped with our regional shipper around $12 to $15. -that's the shipping costs? -that's the shipping costs. -okay. this is quality stuff. -quality. what is an average cost of the small box to make, with product? the total cost with labor and everything, it's about $20 on our small box. we sell that box for $50. -okay. second box costs about $34 to make, all in.
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we sell it for $75. last box, it's $155. -to make it? -$68. so, how did you guys get into this business? yes, thank you. alex and i have known each other for about 10 years. we actually own a luxury floral design company. so, i've been in the flower business for 25 years. okay. i had my first flower shop at 19. i come very humble backgrounds. i had nothing coming to this country as an immigrant, so i've come up in flowers. -what country? -from where? -from where? -iran. -iran. so, i came here to study. my parents just put me in a plane, said, "here's 4 grand. go to america." how old were you when you came over? 15 1/2. so you were 15 1/2, came by yourself... yes, i worked at burger king at night after school. good for you. came here as an immigrant myself, 9 years old. my dad was selling pizzas from a motor home, sold ice cream in parks. you name it. i sold flowers on a corner street. i went to school, biochemistry major, minor in econ, wanted to be a doctor, make dad proud. i was volunteering at the emergency room. i'm premed, i'm getting my degree. older gentleman came in, all bloody and everything,
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and i said, "you know what? this is not for me. i can't do that." so we came out with bouquet bar about two years ago, and one day, we sat down and we said, "we're missing that right technology person." sal's a good friend of mine, known him for years. so, my background is digital media technology. in my previous job, i co-founded a digital-media company, so for bouquet bar, i'm in charge of all marketing and all technology. how much revenue does your other business do? about $3 million. -whoa. -annually. -okay, kiddies. -here we go. and are we getting a piece of that business in this deal, too? we're not asking for that business now. well, that's what you say. [ laughter ] so, all of us, me included, have many, many gifting companies. i'm in the wedding business, big-time. so let's just pick any one of them. wicked good cupcakes. the number-one issue of the business has been, for the last four years i've been involved, is customer-acquisition cost. how's it gonna work? so, the data is, our customer acquisition's about $60. we're utilizing google cpc -- so you're not making any money at all. as of right now -- we just launched. i know, but revenues in the last four months.
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let's get to the numbers on sales. close to $100,000. close to $100,000 in four months? how much of your own money's in this business? $600,000. -whoa. -wow! and what about any external money? or just your own money? -just our own money. what was the money spent on? $300,000 of it was spent on developing the product, coming up with the process, website, operation. okay. right now i really want to stress, we have a 6,200-square-foot facility with a cooler. we have about $300,000 worth of inventory that will translate to about $1 million to $1.2 million in revenue. we're ready to scale. what about the focus on the customer-acquisition cost? you've got to get it down to between 10 and 15 bucks. aziz: yeah, exactly. that's what our goal is, and that's gonna take a little bit of time. well, who is your customer? great. good question. our customer right now is males and females between 35 and 55, 60% female and 40% males. what we are here to tell you is, you know what? we're gonna teach people to gift. people are scared to gift. they don't know how to gift. so, i have to -- i have to call out the white elephant, for me, in the room.
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this looks just like sugarfina, right? what is sugarfina? sugarfina started off with a box like this, and they fill it with different candies. it's sort of their trademark. it's not their trademark, lori. wait, wait, wait. when people google search, they're gonna find sugarfina, and they're gonna find you. and sugarfina is less expensive. so, to me, you need to do something that is going to be different. and you are flower experts. -yes. but you've got to think of how are you gonna beat it or be more unique or different. and we're already working on that, lori, to answer that. yes, sugarfina does have candies. we do have a lot of other stuff into play right now that i'm designing for the next lines. to me, if you had come in with really cool, innovative, different, gorgeous floral things and your price was great, i'd be going to you. lori, there is, though -- i love your drive, your passion, and who you are, but you haven't figured the business out yet, and for that reason, i'm out. -well, lori -- ♪ she's out, guys. okay. so, i'm gonna jump in here.
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i agree with lori. i'm very familiar with sugarfina, as well. i see the point of difference you're going for, which is the mix of the candle and the bath bomb. i think that's gonna be easy for someone else to replicate. your background -- it's incredible. you guys should be very proud of yourselves. but the point of differentiation is not big enough for me to invest, so i'm out. i think the people that don't know they're gifting wrong, don't know, because when i was single 10 years ago, my girlfriends, i would always get them a crossbow, a big fishing pole... [ laughter ] and that's why he lost them. i lost the girlfriend, but i had to learn that the hard way. and i think the area that you need help is the area of educating people that they don't know. yes. i think that's gonna be very hard. and it's gonna cost a lot of money, so... i love this, but i'm out. let's talk about some other markets -- the wedding market, for example. if you look at the wedding market, billion-dollar market -- $3 billion.
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no one here is questioning the quality of this box. it's one of the best we've ever seen on "shark tank," okay? and it's one of those deals, that's rare to me, where i like a lot of it but not enough of it, because i want to pour my $150,000 on the already-solved customer-acquisition problem and blow it up. it's with heavy heart that i say i'm out. okay. now the riffraff's out of the way. okay. okay. you've obviously looked at corporate gift-selling. you guys have bigger businesses where you have salespeople, or is it all walk-in? no, it's all salespeople. so, can those salespeople go out and sell and just work on a commission from their side? yeah. how flexible are you to come up with different designs? 'cause it seems like flowers are the hammer, and everything else is the nail. we're innovative, and i love to design more stuff. all right. so, getting down to business, $150k for 10% is not enough. why'd you guys think 10% was enough? i think our ask is not that high, mark, honestly. million and a half valuation. first, number one, you have to put three or four companies together in order to create what we've created.
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we know we're gonna need more money, but we also -- what are you gonna need more money for and when? you know, basically, in regards to, like, sales and operations and also staffing -- the whole point of being a "virtual" e-commerce company is that you don't have to have a big staff, and you can outsource or you can virtualize a lot of it, but you can get help to do that. so why would you need to spend a lot more money? i don't think -- i don't think a lot more money, but you know what? for us, it's -- or is it because you have all your money in inventory? no, like, for ex-- no. guys, i was this close. mark, mark, mark. h-h-- here -- here -- mark, h-here's the thing. look --
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narrator: four sharks are out. mark cuban is the last chance for a deal for bouquet bar, an online gift-box company. guys, i was this close. mark, mark, mark. h-h-here -- -but that's just one number. -mark, here's the thing. you've got to give up more, or you're not gonna get a deal. no, it's just, you got to spend so much more. -no, no, no. -we don't -- we have $100,000 in the bank right now. if i have to refinance my house, if i have to put it into this company, i will do whatever it takes. no, i get that, right? i get that. but the thing is, right now -- look, we have inventory. we're re-- we're ready to sell. if you come in and say, "look, guys, i want you guys to put this product in here, and it's not gonna cost you that much expense because it's not that heavy. let's ship it," we can do that right now. we're ready. we got the salespeople to do it. you have the people to do it here. all right, i'll make you guys an offer. $150,000 for 20%, non-negotiable.
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guys, i need an answer. -mark... -yes. -...we accept your offer. -we're here. -done. -nice. all right. -thanks. -all right. thank you, man. -congrats, guys. -congratulations, you guys. -thank you so much. -congrats. -thank you, guys. -bye. yeah! -whoo! -[ laughs ] ♪ -yeah! -whoo! whoo! now we know what your wife is getting. exactly right. [ laughter ] it'll save me so much money on flowers. you have no idea. -yeah! -that -- that was intense. we got what we wanted. so, i got to call my dad. it means so much. ♪ it's not about -- it's about living the dream. people always say... [ sighs ] ...work hard. and you know what? i was in the tank, and they were dropping off.
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they were dropping off. and i always watch tv, and when people do something, and i was like, "you know what? say this, say that, say that." and i was in the tank, and i said, "don't give up. don't give up. whatever you say, don't give up." now the hard work begins. ♪ narrator: in season 4, jeffrey simon and marc newburger made a deal with lori greiner for their patented car-seat gap-filler, the drop stop. let's see what they're up to now. newburger: today, we're in our hometown of los angeles, meeting with the third-largest police department in the united states. the department's been testing drop stops for the last three months, and it's been a huge success. welcome to police headquarters. happy to be here. greiner: i really respect policemen. they risk their lives every day to help protect us, so we couldn't be more thrilled to be helping our everyday heroes. what we want to do is really decrease the number of traffic collisions for all officers and the public. after three months, we've had zero traffic-related accidents. so we will be outfitting 3,000 of our police cars...
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-wow. -...with drop stops. simon: people used to think it was a joke when we said drop stop could actually reduce driver distraction. now, to have this police department equip their vehicles with drop stop, it's a huge validation for why we set out to do what we did. we have a surprise to present to y'all. the very first glow-in-the-dark drop stops. simon: the time has come for drop stop to become standard equipment in every single vehicle. you have seat belts, you have an airbag. now it's time to have a drop stop. newburger: we had $1.3 million in sales in our first three years of business. five years since doing a deal with lori, we've hit $28 million. thank you guys so much. we're l.a. boys. this is our hometown, so to know that we can make a difference in this city that we love is an incredible feeling. if your moderate to severe ulor crohn's symptoms are holding you back, and your current treatment hasn't worked well enough, it may be time for a change.
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♪ narrator: next up is a discreet way to stay safer. ♪ ♪ hi, sharks. i'm pat hughes. and i'm mike fox. our product is the wingman, and we're here today seeking $200,000 in exchange for 12 1/2% of our business. we're friends and business partners from milwaukee, wisconsin, and we spend a lot of time on the water. but there was always one thing getting in our way. life jackets! so we didn't wear them. why? because foam life jackets are bulky and inherently buoyant while inflatable life jackets are loose-fitting, awkward, and not designed for in-water activities.
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which is why we created... both: the wingman. the wingman is one of the world's thinnest and most versatile life jackets and the first designed for in-water activitis like swimming and surfing. so let's show you how it works. if you find yourself in an emergency, you simply pull down on the ripcord... [ laughter ] ...the wingman instantly floats you face-up from any position, and it can be used over and over again with a new co2. by partnering with the right shark, we can make the wingman the leader in water safety. saving one life would make this product worthwhile, but we know that we're gonna do a lot better than that. so, who wants to blow this market out of the water? [ laughing ] -huh. -all right. -wow! -can we try them on? oh, absolutely. we got some samples for you guys to touch, try out. yeah, they're loaded, so feel free to blast it off. lori. mr. wonderful. very cool. thank you. and so, they are armed. you just put them on, fasten the straps underneath your arm, pull down on the ripcord like your life depends on it.
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once you actually trigger the wingman, is there a cartridge replacement to make it inflatable again? yes, you can use it over and over again with a new co2 cylinder. [ laughter ] -sorry. -you have to buckle it. yeah. so you want to buckle it underneath. there you go. -all right. how do i get it off now? it doesn't come off 'cause you didn't buckle it. -yeah. -oh, my god. i'm gonna -- oh, i can't get it off, for real. you look great in it. you look great. -can you help me? -you're not gonna drown, but you're gonna strangle in it. -ah. [ loud pop ] aah! -whoa! -oh, my god! boom goes the dynamite! [ laughter ] so, you want to fasten the straps before you... oh, my god. oh, my god. -wow. -are you okay? sara, are you okay? yeah, yeah. so, you need to fasten it because the resistance allows the zipper to open. -okay. -oh, my god. that was just a horrifying experience. [ laughter ] so, doesn't this require some sort of organizational approvement from somebody -- yes. so, this is approved by the u.s. coast guard, and that was a huge hurdle for us.
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-oh, wow. -but inflatable life jackets are not approved for activities where there's a likelihood of hitting your head. so, for instance, water-skiing, white-water kayaking, where there's a higher potential of you being incapacitated. is there a model that you could offer that auto-inflates when it hits water? okay. so, this has actually always been the long-term vision for this product was to make it a smart device. maybe i can tell you a little bit more about where this idea came from, since it's... -yeah, please. when i was in college a few years ago, i participated in my first triathlon. and, sadly, during the race, another participant drowned, and i was saddened by how preventable that tragedy seemed. i thought, "there must be some type of piece of safety equipment that you could wear in a race like this where, if your mouth is submerged for 30 seconds, it knows that and it deploys. so that, to us, is the end-all, be-all of water safety. right, right. but you're a ways off from that. both: yes. but you believe it's achievable? absolutely. the first step was getting a coast guard-approved vest in the ideal configuration, and so, for us, this is it. okay. i think we get it. let's talk about revenue. -[ chuckles ] -how much have you made so far?
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well, how much do they sell them for, and what's your cost? the retail price is $249. our landed cost is $65. and in the past 10 months, we've shipped $120,000 worth of product. so our bread-and-butter customers so far are kayakers, stand-up paddleboarders, surfers, and fishermen. o'leary: but the purchase of them is always at the point of sale at the marina. i'm assuming you don't have any retail distribution yet, right? not yet, but we see that as a big part of our sales model. but how low can you get the price point down? because the $249, you've got to really be dedicated to being a water enthusiast or an outdoor... yeah. so, we've been ordering in such small quantities up to this point -- less than a thousand -- we think once we start hitting better quantities that we can bring the price down. so, it's lighter, it's thinner, it's easier to store. mm-hmm. it seems very, very, very smart to me, if i had to put one on, i would want to be wearing that over anything i've ever seen. -mm-hmm. -mm-hmm. i feel it's a little too early for me to be investing because i want you to be there where you hit everything
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you need to hit to then become the "it" life vest. but at the moment, it's not there, so i'm out. okay. thank you for your feedback. so, i hesitate in getting involved in anything that is liability-focused, where someone might actually not come out alive because of the use of the product, so for that reason, i'm out. thank you for your feedback. i think it's super-cool, but it is really a niche market in a very crowded space, so i'm out. okay. guys, this is just such a tough, incredibly competitive market. you got to spend a lot of money in order to get to the point where you make a lot of money, and that's the catch-22 you guys are probably running into right now. it's just not a fit for me, guys, so i'm out. ♪ okay, boys, four sharks out. i'm your last hope. i like the product,
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but it's so embryonic. um... i'll give you the $200k... but i want half. 50%. thank you for the offer. you're not gonna call him mr. wonderful any more, are you? excuse me. i think it's the only offer you have. um... that's certainly more equity than we came in here looking to give up. we think the upside on this product is huge, so -- is there anything protectable about it that would make it seem more valuable to him. we have a u.s. patent granted on this product, so... -you have a utility patent? -utility patent granted. -and it's published? -and it covers what? so, the unique things that allowed us to make it sleeker. so, for instance, one of the big things was moving that co2 cylinder to the back. also, in order to get this lay-flat configuration, we needed a new type of zipper, so we created this triple-bursting zipper that opens at both ends, opens in the back, so that's a big part of our patent. o'leary: and those attributes have merit, but they don't change the distribution problem.
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the challenge is getting this business to do $2 million or $3 million or $4 million in sales. so, we've never been on cycle, from a retail perspective. we're about to go to three of the biggest industry trade shows, so -- i care about right now. i know what the risk is. i know what the opportunity is. and we value what you would bring to this business, so would you do $200,000 for... ...20%? no. it's not interesting. you know, i'm very impressed that you got the coast guard to endorse it. that, i've learned, matters a lot. but you guys are so far from distribution. you know, most people that come in the shark tank don't get any offer at all. you have one, and it's your last hope because i didn't hear anybody else making you an offer. would you do $200,000 for... ...25%? not enough. mr. wonderful, we're gonna have to decline that 50/50 offer.
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-good for you guys. -good for you. -yeah. -well, good luck. -thank you very much. -congrats on the business, guys. -good luck at the trade show. -congratulations on everything. even though we didn't get a deal today, we're gonna keep going with our product. this is all about saving lives, and we know that if we get the product out there, we can help to make a difference. the world is not flat. you can't just pinch it or swipe it. there's a whole world out there and no other card lets you experience it like the platinum card.
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♪ narrator: next into the tank is way to connect african designers with a global marketplace. ♪ ♪ hi, sharks. my name is kelechi anyadiegwa. i'm from atlanta, georgia, and i'm the founder and c.e.o. of zuvaa. today, i'm looking for $460,000 in exchange for 10% of my company. growing up nigerian, i was always enamored by unique prints and textiles. the colors, the vibrancy -- it always amazed me. and i knew there were talented designers on the african continent who had a gift for creating beautiful pieces. but the problem is, these designers did not have the tools nor the resources to tap a global market.
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this is why i created zuvaa. we are the fastest-growing online marketplace for global design. we connect these incredibly talented designers with consumers globally who are looking for unique finds. let me tell you how it works. consumers simply browse our online marketplace currently consisting over 85 handpicked, curated designers. once they've placed their orders, their items are shipped to them directly from the designer or from our fulfillment center in atlanta, georgia. madison is wearing titi's closet, and she is from nigeria, so it's a beautiful jumpsuit with peplum on the sides and on the top. and then michelle is wearing a designer from zambia. and so she likes to mix her prints using wax prints and chiffons in her materials. and then, this designer's also from nigeria, and this is an all-chiffon material, and so it's really beachy. now join me as we show the world the beauty of africa through design. i'd love to show you guys some samples. -sure. -just to give you an idea of -- -please do! -oh, that's nice. so, yeah, you can just kind of pass them down.
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i wanted you guys to see more of the quality of the pieces. daymond, what you're holding actually comes from nigeria, and it's made out of ashoké, which is woven textile, and that one comes from benin, and it's made with ankara print, wax print, and suede. could i wear this at the pool? that looks fabulous on you, mr. wonderful. i do wear wraps, you know. i love that. so, kele, how do you find these women? so, we actually find it by word of mouth. and we also have a very strict vetting policy, so all designers who are interested in selling through zuvaa, they send us their samples. and we're able to really check quality control as well as understanding what their process is for fulfillment and customer service. how did you come up with his idea? i'm a first-generation nigerian. this is my culture, right? i grew up wearing these pieces. i actually started zuvaa while i was in grad school. i was at carnegie-mellon, and during that time, i start to freelance in social-media marketing, and people would ask me all the time, "kelechi, where'd you get that?" i realized how inaccessible african prints and textiles were to people in western markets. -right. -so i started with
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about a $500 investment, and i was able to turn that into over $2 million... whoa! ...in sales in under 2 1/2 years. [ applause ] thank you. -wow! -that's amazing. -thank you. -okay. so, explain, if i'm a designer and i want to be on your site, what is the financial relationship? so, we charge a 17% flat commission to be on the marketplace, and then we also charge a monthly fee of $50. and how many visitors do you have to the site? monthly, we have about 120,000 visitors. -good for you. -so, now the question. that's fabulous. last month, what did you do in revenue? monthly, we're doing about $220,000 in sales, so about $50,000 in revenue. so you make $50k a month. mm-hmm. that's basically off of your commission. -yes. -right. so, basically, you have no risk. -yeah. -which is brilliant. -yeah. -but let me ask something. there is a risk. you know, when women order online, it's a higher return rate often because they order two sizes, right? "i don't know if i'm a 7 or an 8 today," right? yeah, that's happened. what happens in the event of a return?
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because you either have to put that back in inventory or send it back to africa. what happens in that? yeah. so, zuvaa handles all the returns for the customers. so they get a return slip, and, you know, they send the items back to us in atlanta, and then we send those items back to the designers usually every quarter or so to cut down on costs. -you're getting $50k a month. what does it cost you to run it? you got some staff? yes. i mean, our burn, monthly, is about $50k, so we break even monthly. okay. so what's the vision for why it's worth $4.6 million? so, our valuation is really just based off of 2x multiple of our gmv from last year. has anybody paid that value? is anybody invested in it? no, we haven't had any investment. we've been bootstrapped the whole three years. -so you own 100% of it? -i own 92%. and who owns the other 8%? my other advisers. so i'm gonna guess right now you're very flexible on valuation. well, she's saying that she's worth $4.6 million right now, correct? -yes. greiner: you're doing fantastic. mm-hmm. so why do you need a shark? there's so much more that i want to do with this company, right? i want for us to be able to really create global impact
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and for people around the world to see the beauty of african fashion design beyond just fashion, right? i mean, there's home apparel, there's art. there's so much beauty that's coming out of africa, so for us to really scale up, we're going to need investment to build out a scalable online platform. right now, our online platform does not meet the needs of our vendors or our consumers. what is the price-point range for your outfits? so, we range from $50 to $250. that's not bad. that's reasonably priced for what this is. -yeah. -it looks good. you know, i think the mistake in your deal, just right out of the gate here, $460,000 is a lot of money. -mm-hmm. -but she's got to scale. yeah, but i'm having a hard time at $4.6 million. how many designers do you want to grow to? on the continent right now, there are hundreds, if not thousands of designers who could do a variety of pieces, right? and that's what i'm really looking to scale up to. look, i think what you've accomplished is amazing. thank you. but i can't get to where you are with the valuation. $460,000 is a big swallow for 10%, and so i'm out.
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okay, thank you, mark. kelechi, i'm really proud of you. -thank you. -i'm proud of what you've done. you're an atlanta girl. you know, started spanx from atlanta, so it's a good place to start something, for sure. um... i'm -- i'm also struggling with your valuation. -okay. -you don't say. it's really high. we're growing incredibly fast, and if we do get the investment from one of you sharks, we'll be able to use that to grow even faster. i feel like, from what you've been able to do so far on your own, i'd count on you to keep going without having to give up a big chunk of equity that i would need to -- what chunk of equity do you think that would be? [ inhales sharply ] like 50%. -cuban: ha! -o'leary: ouch. yippee-yi-yo ki-yay. okay. yeah, i couldn't give up 50% of my company -- definitely not at such an early stage. and i don't think you should. the more that you maintain ownership, the more you're gonna be able to direct it
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the way that you want to. and so, for that reason, i'm out. okay. okay, then. you are making a tremendous difference in african women's lives. i think you're doing amazing all on your own. i don't want to take a chunk of your company, and for that reason, i'm out. thank you. john: all right. so here's my thoughts on it. so, i had the honor of going to kenya with president obama two years ago, and believe it or not, "shark tank" is big there. you're like a lightning bolt for entrepreneurship because, in that continent, literally, women have carried the economy on their heads and their backs. absolutely. my biggest challenge is, i'm a target. a target? in california, there's a certain law that anybody can walk up to a product that is being sold in a public market, and they can create a class-action lawsuit. mm-hmm. and dealing with 80 or 100 or 300 designers,
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there's a lot in that vetting process, and i become almost a liability for you. a liability because there might be an issue with the pieces? -because anybody can sue you. -yeah. he's saying, because if there's big pockets with you, there might be a target. -absolutely. i definitely want to be here with you, but i'll be a target. okay. i'm out. thank you, daymond. -well, then... -[ laughs ] the equity valuation doesn't work, and you heard it from four sharks. beautifully said... -i didn't say that. ...wonderfully spoken, all of that crap -- at the end, they didn't give you any money. you know, i like to deal in reality. i hope you do, too, okay? -mm-hmm. i don't think your company's worth $460,000 right now. the only way it works is i loan it to you, all right? -okay. -i give you debt. i'll do it at 12%, all right? i want 10% of the company for providing that capital,
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because you've at least proven you have a business. i'm impressed. but the cold, hard reality is, you asked for too much. ♪ that's my offer. yes or no? uh, thank you so much, kevin, but i have to decline that. -good for you. -that's right. -good for you. -good for you. thank you so much. i appreciate the offer. but thank you, guys. -uh-huh, good luck. i was really confident about the amount that i asked for, so even though kevin wasn't really feeling it, i believe in my heart that's what we're worth. i thought i was managing my moderate to severe crohn's disease. then i realized something was missing... me. my symptoms were keeping me from being there. so, i talked to my doctor and learned humira is for people who still have symptoms of crohn's disease after trying other medications. and the majority of people on humira saw significant symptom relief and many achieved
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founder of doddle & co., the creator of the pop pacifier. i'm here today seeking a $250,000 investment for 5% of my company. everybody has seen a pacifier or used a pacifier before, right? kevin, yeah? [ laughter ] babies use pacifiers to soothe themselves and it allows parents to come up for a breath of air. the only problem with pacifiers is, for 82 years, they've been falling, right? they fall everywhere and all the time. like in my life, i'm trying to diaper my baby in a public restroom, and what happens time and time again? a pacifier falls on the floor, and i have to do one of two things -- run to a sink, apply the 5-second rule, or... there's always a 5-second rule. ...what most parents do... ugh! yuck! -greiner: gross. -[ laughs ] gone are the days. introducing the pop pacifier. ♪ we've built a pacifier with a patented silicone protective bubble around the nipple, so now every single time
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you give your baby a pop, you simply pop it like this, the baby takes over from there, and every single time they drop their pacifier, what happens? the nipple pops back into a bubble, keeping it clean every single time. let's take a look at our babies. ♪ [ laughter ] ♪ [ chuckles ] so, sharks, who would like to pop open their wallets and help me soothe babies and their parents? [ laughter ] -all right. -can we see samples? -yes, yes. you can pick a color, any color. i love your shoes. -oh, thank you. -like, insanely love them. -thank you. -what color you want, lori? pink. the pink is make me blush, and that color is corally yours. that is in teal life. okay. i'm all about the neon. ah. so, am i doing it right in that you just push it like that? that's it? -yes. then the baby sucks it. you don't try to push it all the way through. right. you don't have to do a lock or stick it in place. and notice how gentle it is.
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it's zero to six months for those newborn babies. there you go. there it is. he's sucking on it. oh, keep it in there. this is -- okay. so, first if all... wah! wah! ...this is cool. -ah, thank you. -i'm a mom. i have four children under the age of 7. i have an 18-month-old at home, so i have been living in the world of pacifiers. right? and they're always on the floor. so this, you're saying, is for zero to six months? yes. starting out, this is our launch product. we just launched four months ago. -oh, you did? -yes. oh, you're a new entrepreneur. -i'm a baby. -you're a baby! -i'm a baby. -welcome! thank you. yes, zero to six months, and then we will eventually be releasing a 6 to 12 months. wait. let me ask you something. does it pop out more often from the baby's mouth because, um... -it's trying to retract? -good question. yeah, if the baby moves it a little bit, it just pops out? so are you creating more of a challenge? no, we're not, and it kind of mimics breastfeeding, to a certain extent, but we have seen in the about 25,000-plus units, our pops that we've been able to sell in the last four months, that parents love it. i notice all the engineering design of it is, if it's like this, they have to be sucking,
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but the minute they stop sucking, does it pop out? sometimes, if they are sucking on it and they're falling asleep, it depends on, like, where they end their motion. they keep it in their mouth. so, the 25,000 units you sold, were they part of a kickstarter, or was that real sales to retail? so, in 2015, we were fully funded on kickstarter. in 2016, we prototyped it, countless iterations. and then, four months ago, we fulfilled 25,000 units. any of the baby retailers pick it up yet? yeah, so we are in nordstrom and buy buy baby. do you have a patent? so, we have a fully issued utility patent. how much do each one of these units cost to make? so, i land for about $1.20. i wholesale at $5, and i retail at $9.99. and what does that amount to in sales? $117,000 for 2017, but -- okay, nicki, let's address this elephant in the room. you know your valuation is crazy. [ laughing ] i hope not. why is it worth $5 million right now? $5 million, yes. okay.
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last year, i did a small friends and family round. to friends and family convertible note, i did $433,000. -there you go. okay. -what value was that at? 2.5. we had yet to pass safety. we had yet to engineer it correctly so that it would pop every single time it came out. okay, so you found some suckers for 2.5 to invest. -no! -come on, now. and then we had all this way to de-risk it, right? we had to go into production, we had to get distribution and warehousing and logistics, and all that stuff worked out. now that, with our pipeline that we're building, then the interest from retailers, launching in other countries... how do you know this is gonna be a hit right now? it's all lined up. -i'm out. -it is a hit. i'm sorry. we take affordable steps. -i am out. -okay. no, nicki, it is a hit, and it's, as a mom, it's a hit. as a dad, it's a hit, too. okay. as a future teller, it sucks. come on! i'd like to make you an offer, and i'll go in at the friendly and family round value of $2.5 million. so i'll do the $250,000 at 10%.
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okay. i don't agree that you've doubled the value yet. -so, what do you need from us? -money's not an issue, really. money doesn't seem like it's your issue, so i'm trying to get to the heart of, like, what can i offer you? you're already in nordstrom, which is amazing. i'm looking for that expertise of, like, what's around the corner and how to build a strong team. what i hear you saying is you want -- you need an adviser more than anything, okay? so i've walked this road, i've dealt in mostly female products. yes, which we are. most of the people that work for me are mothers. i'm a mother. i'm gonna offer you $250,000 for 15%. okay. and the reason why i believe it's 15% -- i know he offered you 10% -- but i have a website that millions of women are going to currently. i can highlight you. okay. she just grew a fin. she's a shark. [ laughter ] -but i need a response. -yes! so tell me -- are we gonna -- would anyone else like to make an offer so that i don't leave anyone out?
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are you saying she's not good enough? i'm up against mr. wonderful. i can't loses to mr. wonderful. nicki, are you actually thinking about this? -huh? yes. -so, nicki, what is -- what is your reservation? why are you holding? i just want to make sure that i don't leave anyone out. ♪ i love what you're doing. i have total respect for what you're doing. i just think she'd be a better partner for you, and i think you're crazy -- not so fast, mark. she's very expensive. i think you're crazy to even think twice 'cause i'm sitting next to her, and i'm about to tell her to give you a 24-second clock, because -- okay, okay. once somebody else drops out, that's going up. no, no, okay. nicki, her value becomes more when other sharks drop out, so you need to really think about this right now. the more you hesitate, you don't know what's gonna happen.
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doto be our next spokesperson?m he's so boring. hm. sounds like you're on the fence. why don't i just leave you my resume? yes, it's laminated. no thanks. you're hired! try caramel m&m's. ow. the world is not flat. you can't just pinch it or swipe it. there's a whole world out there and no other card lets you experience it like the platinum card. ♪ ♪ backed by the service and security of american express.
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tell your doctor about bleeding,... ...new or unexpected shortness of breath, any planned surgery, and all medicines you take. if you recently had a heart attack, ask your doctor about brilinta. my heart is worth brilinta. if you can't afford your medication, astrazeneca... ...may be able to help. narrator: one shark is out, and nicki has two offers on the table for her innovative pacifier, the pop. nicki, you need to really think about this right now. the more you hesitate, you don't know what's gonna happen. okay. nicki, the thing i'm thinking is... -okay. -i love better mousetraps. i love things that are clever. i think that sara gave you a really good offer. i love your platform. and i'm about to tell sara that if all these other offers are gone, she should up it to 20%. i know, i know.
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so i'm out, but i'm telling you -- -okay. -if i were to say, "i'd like to partner with sara," we'd need more stake in the game is the problem. you know, because we both have to wake up and really work for you. these two shark women are gonna take a huge bite out of you that mr. wonderful doesn't think is a good deal. i realize that. -sara. -yes? would you like to partner on this? what do you have in mind? um, you were at 15%. i think we'd need to be at 20%... -ouch! ouch! -...so that we'd each be 10%. -oh. -god... it's so expensive. i would handle for you the retail end and helping to blow it up and really get this out as a household name. so i will do the deal with lori. okay. is that the only way you'll do the deal? yes. so now you have two distinct offers. -yes. -what are you going to do? -i would like to counter both. -ooh. i would like to throw it out there to see if you could come in with more cash for the 20%. maybe half a million dollars. -wow. and i would like to see if mr. wonderful --
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if you would come down to 7%... -mm. -...for $250,000. i don't want to fall below my last round. well, i'm giving you exactly what your last round was. i will stay at 10% because i actually think i add a lot of value, as well. more than half of my companies are run by women just like you, and they make me a lot of money. so at the end of the day, i'd be happy to invest in you, but i'm not gonna do it for less than 10% because i want to care about my investment. so i want skin in the game, too. blakely: everybody wants skin in the game. yes. but you have, i think, a really beautiful opportunity standing there with sara and i. our offer holds at 20%... -it does. -mine's at 10%. -...but you get two sharks. what are you gonna do? -what am i gonna do? you've got to make a decision. this is your moment. then, i believe that i... ♪ ...am gonna make a deal with you. -oh! -thank you very much. i am just thrilled to be working with you. bad move. bad move. -me too. -that's great. thank you.
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bad valuation, bad judge of character. blakely: no way, jose. and that is how you do a deal. -oh, my god. -congratulations. radzely: i believe i made a deal with the best shark that put the best offer forward, so i'm thrilled to be working with mr. wonderful. greiner: are you in shock? i can't believe i lost a deal to you. i know. shocking. you know, sara, you're so greedy. you're so greedy.
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. this morning on "abc news now." breaking overnight it senate failed to clinch a deal to end the government shut down. so is a new deal in the works? a new winter storm is on the move. blizzard conditions are expected for parts of the midwest. dangerous winter conditions causing havoc for many this commute. he is speaking out about his admitted extra marital affair. what eetz he's saying about allegations off blackmail and hush money. and while the eagles are soaring, their fans are slipping trying to climb greased up poles. sweet brotherly love on this monday, january 22nd.
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♪ >> announcer: from abc news this is "abc news now." >> a lot of excitement there still partying along broad street and then some in philadelphia as we welcome patriots fan here maggie rulli. >> every time, every time. >> our loan eagle fan is hung over and isn't here at the moment. but quite a match up there. >> excited. the best of the best if you ask me. no one asked me. >> the rest of the country is like what are we going to do on super bowl sunday? we'll break that down a little bit late r on. they've been busy over the weekend not getting anything done. the government shut down will extend into the work week. >> law makers wrapped up a busy day of negotiations without hammering out the compromise.
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the latest proposal will fund the government with a promise to take up an open debate in the near future. here with more. >> reporter: overnight shut down drama on the senate floor. >> a shut down should stop today. >> reporter: majority leader mitch mcconnell tried to move up a vote to end the government shut down. >> we have yet to reach an agreement on a path forward that would be acceptable for both sides. for that reason i object. >> reporter: mcconnell proposed the senate democrats fund the government through february 8th. >> it would be my intention to proceed to legislation that would address d.a.c.a., border security, and related issues. >> reporter: that pledge not good enough for democrats looking for more assurances from gop leaders. there are also concerns on both
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sides about whether president trump would sign off on an immigration deal. >> do you really think you can come up with a deal by the 8th? >> i hope we can but i'm doubting it because that relies on a the white house to work with us on this and we haven't seen that yet. >> reporter: emotional demonstrators at the capitol sunday night, demanding a fix for the 800,000 undocumented immigrants brought to the u.s. as children. >> i'm not going to wait any longer. >> reporter: weekend negotiat n negotiations center around president trump's border wall. the deal would give the president full cooperation for the wall in exchange for it dreamers. >> all of the money he wants for izhad wall? oh, come on. by the way is that 20 billion going to be paid by mexico?
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>> reporter: the shut down will continue. a weekend deal would have a minimum impact but on this monday morning the nation and 800,000 federal employees will really begin to neal shut down. while some states are scrambling to not feel the effects like keeping some of the biggest tourist attractions open. >> the statue of liberty is reopening to visitors today. new york's governor paying $65,000 a day to keep the statue and ellis island up and running. >> and the grand canyon is not shutting down either. the arizona governor is using state funds to keep it open to the public had. >> and a lot of the mall is open in washington. you can still basically get through to the lincoln memorial and plenty off sites there. millions were there and some participating in dozens of
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women's sit-in marches over the weekend with an eye on midterm elections. >> this was on the one of had year anversity of the marches following president trump's immigration. >> we can open the door for women, minorities, immigrants and everyone in this world. >> the largest of sunday 's events in las vegas. organizers say las vegas quasi-awas chosen because nv nrv is a battleground and for so many key issues that state is important. >> we go now to the latest winter storm marching across the u.s. >> the forecast is for blizzard-like conditions from nebraska to michigan. stores in the twin cities are working hard. several school districts have already announced they're closed today. >> minnesota drivers are being
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warned about difficult driving today such as they already have in eastern colorado. a section of interstate 70 east of denver is closed off. >> more than 2 en200 flights in out of denver were canceled. >> paul williams is tracking it. good morning we're expecting heavy snow throughout portions of nebraska, kansas, iowa, going into minnesota as well as wisconsin. now the amount? we're talking locally 18 inches. a foot 1/2 and we're looking forward to move throughout this same area. and surrounding areas if hnto wisconsin and an extended icy mix into banger and the new england states. >> vice president mike pence is scheduled to meet with prime
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minister benjamin netanyahu. he got an earful over the weekend over president trump pfsz controversial decision to recognize jerusalem as israel's capitol. fresh controversy swirling aroundm governor greitens. he says he as no plans to give up his office. despite calls from both sides of the aisle to shut down, he further denied claims that he slapped a woman and threatened her if had nto keeping the affa quiet. >> this was all consensual. there was no blackmail, no threat of blackmail. no threat of a photograph. >> that said the fbi as opened an investigation into the governor's alleged actions. so congress was working are had weekend but a few members
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who didn't quite look like they were working turned it into sunday fun day for the shut down chic. >> senator lindsey graham was one of several law makers going all casual saentd with this look with the orange baseball hat. >> i wish he turned it sideways or backwards. senator bob corker went to the fleece look. >> and congressman kevin mccarthy was the king of casual. and didn't seem to mind when house speaker paul ryan poked fun at the way he was dressed down. so the questions turned from congressman do we have a deal to who are you wearing? underarmor. all right coming up. some very startling skinny news. what we're learning about the most beautiful soccer playing
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man in the world. christiano ronaldo and what just happened to his face on the field. and it reactions coming from philadelphia as eagles fans freak out over their nfc championship win. the patriots are saying we've been there before. >> done it. >> ain't no big deal. e before. we've done it. and first a look at today's foreca forecast. (male #1) it's a little something i've done every night since i was a kid, empty my pocket change into this old jar. it's never much, just what's left after i break a dollar. and i never thought i could get quality life insurance with my spare change. neither did i. until i saw a commercial for the colonial penn program. imagine people our age getting life insurance at such an affordable rate. it's true. if you're 50 to 85, you can get guaranteed acceptance life insurance
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are you ready for some football? >> it is about that time. >> we've got some serious playoff action happening right now. super bowl match up is set in stone. >> so the afc and nfc champions have been crowned. let's relive some of the highlights of course. the eagles taking on the minnesota vikings and the vikings striking first. case keenum, their quarterback making it to the end zone. that would be the first score of the game but then it was all philly all night. quarterback nick foles, wow.
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putting on a clinic 352 yards, three touchdowns, no interceptions. pretty good. an incredible performance considering he was the back up. >> even got fancy. check this out with a flee flicker. >> plenty of flee flickers. >> the vikings never got anything going and the eagles fly away with the game 38-7. even bradley cooper -- >> oh, bradley cooper was there. you know it's good if bradley cooper was there. bring on brady and the super bowl. so let's check out the eagles-tight end, ertz' wife. she plays for the u.s. soccer team. tears of joy after she got the news after her own game there. she is going to minneapolis with her own husband. exciting for them. >> what a family. talk about an athletic power house couple. their kids are going to be
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amazing. no pressure. overnight eagles fans were celebrating as you can imagine. >> a little bit. >> man, they were l out there. as they head back to the super bowl for ownry the third time in the team's history. hoping to win their first. like everywhere. it wasn't just in the south side of philly. >> look at this. earlier in the day philly police were on pole patrol. what is that? it's literally crisco. they're applying crisco and other greasy substances on the poles on the streets to deter fans from climbing the poles. >> but the fans will not be deterred. >> they took it as a challenge. >> go, go. >> how did he get past the crisco? >> maybe he went to naval academy school and he's climbed that pole before. this was my favorite video though.
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a fan celebrating in the subway. we're going to the super bowl, we're going to -- oh. >> was he trying to catch the subway? can we never move on? can we just keep playing that on repeat. moving on. to the afc championship game where everyone just wanted to know what's up with brady's thumb? >> so after all the drama, speculation, conspiracy theory last week brady suited up. and he started the game with his hand injury but jacksonville got out to the lead in the first half with a pair of touchdowns. blake bortles finding the tight end in the end zone and running back. leonard fournette plowing his way into the end zone, touchdown. >> and right before half time this brutal hit. rob gronkowski getting hit hard
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helmet to helmet. gronk would then head to the locker room. >> possible concussion. in the second half brady did what he does past, led the pats down the field for a pair of touchdowns, including that amazing pass to danny amendola who is like the king. he saved them during that game last night and making sure he got both feet down. >> that's so impressive. what a skill. >> and with the clock winding down. one last chance for the jags. no, got swatted away. >> no, sorry. nice try. >> gilmore. it's like -- he was like mukim bay, no, no. they head to their eighth super bowl appearance with the 40-year-old brady. >> i guess it's my life so i'm living it and it feels very
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natural and normal because i wake up every day and i feel very much the same as i did when i walked in 18 years ago. i really do. >> can i see the hand? >> can you see it? >> it's all about the hand. i'm supposed to say there's nothing wrong with the hand but i think he just battled through it. >> so in the meantime here is your match up for super bowl lii. philadelphia eagles/patriots in minneapolis. maggie rulli will be with us. they got an unbiassed person. plus the world's greatest looking person suffers a horrible injury. looking person suffers an injury to his face. t the clock fast, like stop worrying about your boss fast, like wow, you're already asleep fast. when life keeps you up...
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everyone's reading it tea leaves for clues on who will get a nod and that includes last night's screen actor's guild awards. >> and it was hosted by kristen bell and are had the presenters were female. >> also acknowledged the social movements this year. >> we are living in a watershed moment and as we march forward with active momentum and open ears, let's make sure that we're leading the charge with empathy and with diligence because fear and anger never win the race. and most importantly regardless of our differences i think we can all come together and delight in one thing "frozen tooth" is coming out. >> november 27th, 2019 to be exact. big winner last night was frances mcdormett.
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check out her moves. all right, frances. >> she don't dance no more, she just make money moves. outside a another thelma and louise reunion. they united on the golden globes and did it again here. >> here kissing his fiance. >> and even though she hasn't been winning any awards, she has been ruling the red carpet. halle berry out shining them all again. she's looking great at every one of these awards shows so far this season. shocking news out of the soccer world. brace yourself because christiano ronaldo has suffered a terrible injury. >> it's gruesome. when he went in for a goal score but he took a cleet to his money maker in the process. not it face. >> not the face.
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new gain botanicals laundry detergent, bring the smell of nature wherever you are. ♪ ♪ all right. so what a weekend. the government shut down and then stayed shut down. the women's march swept through the country dozens of city. plus the late night shows a different take on president trump's fitness. now here's our weekend rewind. >> chaos in the capitol as congress and the white house fail at basic governing. >> visitors turned away from the statue of liberty, the irs also feeling the effects. >> just to be told you can't go. >> it one piece of relatively good news is it will not impact it cdc flu program. >> new numbers show the virus is
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getting worse, with mochildren dying. >> if one kid has the flu and sneezes it contaminated the entire area. >> rallies across the country. today hundreds of thousands of women marched again today. >> every single day your job as an american citizen is not just to fight for your right. it's to fight for the rights of every individual. >> reporter: president tweeting about his success. celebrate the historic milestones at unprecedented economic success and wealth creation that has taken place. >> the tables have turned, larry. we are here, we have our voices and we're not going anywhere. it's your turn to listen to me. i'm no long arvictim, i'm a
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survivor. >> 66-year-old marilyn hartford able to make it all the way to london without a ticket, boarding pass. she's been caught in various cities for years now. once again this is the president's unbiassed 100% accurate health assessment. 71 years and 7 months young. a cool 68 bpms arer. his weight a stelths 239 pounds. a gorgeous waist with legs -- well, they seem to go on forever. >> it did sound like that in some cases. the good news is despite that, the panda kamp is still live. c . . . this abc's "abc
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>> good morning, it is 4:00 a.m., monday, january 22 we're on a half-hour early to bring you the latest on the super bowl bound eagles. >> quarterback nick foles is on fire as the eagles cruise past the vikings for the nfc championshipment. >> fans will be heading to work an school this morning wearing their new championship gear. >> i got the hat, the t-shirt, first let us take a
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