but fitch analysts say that goal now seems almost impossible. and they say this puts at risk the longer term objective of achieving a primary balance surplus by fiscal 2020. the analysts say they'll decide whether to formally reevaluate japanese government bonds in the first half of next year. analysts at midy's lowered just last week their southern debt by one notch. it's now at a-1, the fifth highest grade. >>> japanese government officials say business sentiment in large companies was in positive territory for a second straight quarter. still, the index shows a decline in the firm's optimism. the officials at the finance ministry and the cabinet office disclosed the results of their latest survey for the october-to-december quarter. the index for large firms came in at 5.0. the figure is less than half the 11.1 for the previous three-month period. the index is the difference between respondents who expect businesses to improve and those who see it worsening. survey takers polled about 16,000 companies across japan. the respondents also gave t

. >> then abercrombie & fitch may be losing a bit of its cool factor.e clothing chain known for its controversial marketing have take an dive lately but why? we'll get the skinny. >> is it safer to give birth at home instead of the hospital? why some researchers are saying mom and baby could be better off by avoiding the hospital. let's begin this half hour with the rape allegations at the university of virginia at a graphic story now being called into question this morning. there are doubts about one young woman's claims that were first printed in "rolling stone" magazine. nbc's kristen welker is following this for us. good morning. >> reporter: good morning to you. the student had identified herself only as jackie and last month she told "rolling stone" magazine a chilling account of a violent sexual assault, but now the publication is walking back that report. this weekend, there is stunned reaction from the uva campus and beyond. the university of virginia is still in disbelief this morning, after "rolling stone" magazine backtracked saying it can n

long time mayor george fitch has died after a battle with cancer.rs as the town's leader. we learned earlier fitch was one of the men behind one of the first jamaican bobsled teams that inspired cool runnings from jamaica. they are deeply saddened by fitch's passing and more informatiowi be released in coming days. >>> tonight i the biggest booze nights of the year and increasingly in the district, tt booze is being made here in the district. tom sherwood takes a look at 1-8, the biggest distillery about to open in northeast d.c. >> reporter: alcohol is big business in the district, bars and restaurants epidemiology everywhere. adding to the mix are district places like 1-8 a new distillerya itsÑ% grand opening next week, january the 8th, in northeast washington off the redeveloping northeast avdka, vodka rock creek white whiskey to start and we begin aging rock creek rye whiskey and bourbon whiskey and make ivy city gin. >> reporter: alex lawford,÷ the owner showed us around the place one of severalky:n]&5m remaking the city's strict adding new job

a change at the top of abercrombie & fitch. the retailer's ceo and founder of mike jeffries is stepping down immediately. he's been under fire. abercrombie lost relevance with teenage shoppers and profit has tumbled. the board is looking for a new ceo. investors like the move. abercrombie is trading up more than 6% in a down market. google is telling app developers to think bigger. according to an executive, developers should focus on apps that would be useful to one billion people. google is trying to make ontware work more like apps mobile devices. amazon is testing deliveries by unmanned aircraft. not in the u.s., in other countries. if the faa does not it let test drones in the u.s., the company says it will move more research overseas. amazon is urging regulators to in at fly drones barrel area and washington state. in does -- in a rural area washington state. how does president obama react when people say he is acting king? he appeared on "the colbert report." he said there are checks on his humility. arehen you are in it

we'll have my abercrombie & fitch. the ceo steps down but is it too little too late. >>> making a big move to more green. can solar sell when oil is so cheap? i'll ask the ceo. stocks rising off the releasing of jumbo jets. stick with cramer. >>> what's the matter with the stock at nrg, the owner of the largest fleet of power plants in the united states. utilities have been among the best performing sectors energy is down for 2014. some of this has to do with the fact we had a mild summer which means there was less demand for electricity. and nrg made less money and another part has to do with the fact it's a complicated story. nrg retail arm and whole sale power generation business plus alternative energy side with important solar assets where it's made a couple of big acquisitions. and the company has spun off yieldco as a better way to raise catch than borrowing via the bond market. now nrg rolled out a reorganization people that may be a cane but i think they are a vision nar energy company and the present week thi

a change at the top of abercrombie & fitch.effries is retiring and the board is looking for a ceo. struggling has been with teenagers' changing tastes. shares down 20% this year. 30 minutes away from the start of trading. the top 10 headlines before the bell. scarlet fu is joining me. number 10. if you thought you had to be a brainiac or an athlete to get a scholarship, it turns out you can be a video gamer. >> a good one. is being a minecraft expert can get you into college, my kids are a shoo in. >> i think it is great. back in the day when kids would get an trouble for too many video games. you do not have to be a great athlete. i am all for scholarships. new crop of extracurricular activities were gradeschool kids. therelk about your son, are going to be classes devoted to how you can increase your score. that is what kids are going to be doing after school. >> there's a little bit of education in a game like minecraft. >> maybe a little. >> but come on. these guys are making so much money. >> this was not around when i was

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. >>> shares of abercrombie & fitch soaring today. is ahead for the retailer and its investors? next. >>> plus, if you're going to own teen retail in your portfolio, then this may be the one stock to own. find out which one next. dad,thank you mom for said this oftprotecting my future.you. thank you for being my hero and my dad. military families are uniquely thankful for many things, the legacy of usaa auto insurance could be one of them. if you're a current or former military member or their family, get an auto insurance quote and see why 92% of our members plan to stay for life. >>> we have a developing story in the nfl. the carolina panthers star quarterback newton has been involved in an automobile accident right outside of bank of america stadium in charlotte, north carolina. we don't know the extent of his injuries, if any. we do know he was taken by ambulance to a local hospital. there you're seeing photos right now of the scene here again just outside bank of america stadium in charlotte, north carolina. home stadium of carol

venezuela's credit rating was lowered by fitch ratings.m cited the country's level of -- low level of international reserves as the reason. oil prices have dropped 40% in the last year. today, fitch cut the foreign currency bond three levels eight levels below the investment grade. columbia iswth in latin america's sixth biggest economies this year. jpmorgan has placed a possibly 100 person workforce at around 10% in columbia. up next, why manchester city just spent millions of dollars trainingd -- brand-new facility and write a football club says it could transform the sport. we will be right back. ♪ >> welcome back. this is "bottom line" on bloomberg television. we will have more on russia tonight on "charlie rose on bloomberg yuriko his guest -- "charlie rose on bloomberg." bremmer, is ian president of eurasia group. that is at 7:00 and 10:00 new york time right here on bloomberg. aubrey david, the world's richest soccer club -- abu dhabi , the world's richest soccer club, has a new training facility. bloomberg went to find out more. >>

hurst plans to play nearly $2 billion for 30% stake in fitch to bring total share of the company to 80%. >>> another big media company, sony pictures, is still reeling from last week's hack attack which exposed a range of inside information on everything from executive pay to embarrassing internal e-mails. so how much could this real life drama potentially cost the studio and some of those executives? julia boriston has more. >> reporter: the assassination on kim jong-un which sparked the hack attack, sony is racking up its defense. amy pascal apologizing for racially insensitive e-mails about president obama. scott ruden said jolie a spoiled brat before jolie and pascal ran into each other. >> it's a disaster for the studio and it's a corporate e-mail. >> reporter: whether pascal will be pushed out. said i'd be surprised if my entire legacy was based on the leak of the e-mail exchange. disrupt download sensitive data, reporting sony is using hundreds of computers to executive the denial of service attacks as the stakes and the cost continue to rise. >> it's hard to estimate but at leas

i'm not saying go out and fundamentally trade abercrombie & fitch. look at how the stock reacted.hat's widely known as one of the worst ceos out there has left the company. you want to trade the stock, look where it closed yesterday. use that. this stock has been beaten up with so much negative news out there. this one announcement that the ceo is leaving could get the stock moving in the other direction. you are risking roughly 6% to the downside to see a company that could rally 15 to 20% here. use a stop and it could go a lot higher. >> you make the case and 94% of the people think it is the bear case rules supreme here. >> nice job josh. >> instead of making a the bear case because the overwhelming majority of people agree with you. the ceo leaving there is no bull side to where this company can go with new leadership? >> of course there is. this has been a hated name. so people voting -- i don't think they are voting on would you buy today. a think a lot of people watching our show trade, are active traders. this is a name you can look at and you can get a stock moving and re

an am control bee and fitch store had to get rid of them, so doesn't cnn's new york offices. >> stephen: cnn is no surprise. if you've ever taken a close look at wolf blitzer's beard. threat number two, folks, environmentalists. according to "newsweek" magazine, conservatives say that the ban on d.d.t. is to blame for the recent resurgence in bed putting, and it is true. thanks to the pesticide d.d.t., we got rid of bedbugs back in the 50s. we sprayed it on our crops. we sprayed it on children in our lunchrooms. we sprayed it on children in our swimming pools. don't worry, the d.d.t. did not damage their lungs because they had a thick, protective coating of asbestos. folks, we need something strong to kill them. these suckers can live up to 550 days without food. which means they could not only be america's biggest threat, they could be america's next top model. which brings us to threat number one. bedbugs. they might be on you right now. can you feel them crawling all over you? how about now? they're in my mouth. i can feel their hard shells on my tongue. no, that's my teeth. get off

fitch was warned that prolonged political uncertainties would hurt the nation's credit rating as the ratings agency said it was unclear that the election would produce an outright winner. one of the questions now is weather the turmoil increase could have economic ripple effects elsewhere in the eurozone. we take a closer look at that. >> may 2012, greek party leaders scramble to form a government, warning the country risked exiting the eurozone. 2.5 years later, a crisis in the nations single currency is lurking once more amid great political turmoil. borrowing costs remain low even among weaker economies like spain and italy. >> the situation has improved in that sense but also there are fresh measures in place by the ecb to help stem the crisis. >> the eurozone may avoid contagion as private investors have scaled down there great that holding aptitude bailouts most of it is in the hands of the eurozone government. another reason is the banking union, and that can isn't set up by the eurozone to share banking risks across the consonant -- the continent. the political crisis in gree

shouldn'ts the guy on the abercrombie and fitch bag. >> why are you carrying a naked man? shocking. >> reporter: there are all sorts of reasons to shop today. >> i just used $800 worth of gift cards. >> reporter: each one getting all of these shoppers a little closer to what they really wanted. it probably won't surprise you not all the action was in the malls. online shopping did very well. amazon.com said 10 million people signed up for its amazon prime delivery service this holiday season alone. >>> coming up, a surprise box office hit. "the interview" sells out in nearly every theater it's shown in. how much money the controversial movie made in its limited release. >>> a big upgrade for tesla's first car. why drivers will be able to drive farther an ever before. >> i found out all this stuff about rail. then i found out how much they cost. they cost a lot. >> 12-year-old goes from playing with legos to using them to help the blind read. a story that will make the bay area proud. >>> emeryville into san francisco, 50s for now. later tonight temperatures close to freezi

hundreds attended a vigil in hannah's honor at john fitch school in levittown.he had a rare genetic disorder that damages the nervous system and her family says if she had been diagnosed at birth, doctors could have done more to help her. pennsylvania passed a new law that tests for the disease and five other disorders in newborns. >> she changed the world, and we're just so blessed to have everybody here for us because it's something that you can't go through alone. >> we wouldn't have gotten through this if it wasn't for everybody here all these people. they all played their own little parts in every step of the way. >> there is no cure for crabe disease. it is very rare and only affects about 1 in 100,000 people. >>> 5:15. police in delaware say an 18-year-old led troopers on a chase in a stolen car before crashing. it began early yesterday when an officer spotted the car at old baltimore pike in newark. the trooper realized the car was stolen, tried to pull it over and the chase continued until the car hit a curb at old coach road and henderson hill road. 18

right now hillsborough in that part of the nose basing some light rain clear lake as well senate fitch's rekindles a kron 4 come will show you room air this morning picking of some greater returns in the east bank this is the motion in the air not sure this reaching the air that's as rich in the ground right now. take richard e. miller to a south >> james: in the south with just a few bits and pieces of it is to receive in terms of the rain at the moment of biggest from there are way the other thing you're dealing with right now is the fault we have some this fall despite half mile visibility and the more concord one of visibility fairfield so has a heavy fog in the spec into the dense fog advisory fiction the direction is awfully foggy their 1.3 mi. visibility to images in the mid fifties will be in the midst of the '60s and later on today in this is the rain we are saying and satellite right now this is all sure that we're watching and waiting for should impact is on thursday but it should arrive sometime wednesday night in terms of a rainmaker this to be pretty decent rather than from

and hundreds attended a vigil in hannah's honor at the john fitch school in levittown. disease is a rare genetic disorder that damages the nervous system. her family says if she had been diagnosed at birth, she could have gotten better. now there is a new law to test for crawbay and other disorders in newborns. >> she changed the world and we're so blessed to have everybody here for us because it's something you can't go through alone. >> we wouldn't have gone through this if it wasn't for everybody here all these people. they all played their own little parts in every step of the way. >> well there is no cure for crawbay disease. it is very rare and only affects about 1 in every 100,000 people. >>> medical experts in west africa say malaria is killing thousands of more people than ebola. according to doctors, the push to stop ebola has actually hurt the country's battle with malaria, which is a preventible and treatable disease. in guinea malaria is the leading cause of death in children under 5. in adults only aids kills more people than malaria. >>> back in the u.s.

we're all adults. >>> it's a shake-up at abercrombie & fitch. quarters of declines, jeffries stepped down from the teen retailer. >>> the move sent the stock soaring and so do investors agree with herb greenberg it's long overdue? we'll get herb's take on the resignation of the person he named the single worst ceo of last year. >>> abercrombie & fitch announcing is that mike jeffries is retiring, effective immediately. the stock up about 8% on the news. oh, he resigned and the stock goes up. >> and it just so happens our own herb greenberg chose mike jeffries as his worst ceo of the year 2013. so why was he on the list to begin with? and what do you make of the departure. >> well, because his performance was horrific, and on top of horrific performance, he was a public relations disaster, and he obviously didn't see it. and that, i think when you reach that point and you have so many different factors, and at the same time, you had an activist in there pushing for change. >> he was a guy that said overweight teens shouldn't shop in my store, the

abercrombie & fitch ceo and founder mike jeffries is stepping down immediately. he has been under fire as abercrombie lost relevance with teenage shoppers and profit tumbled. the board is looking for a new chief executive. investors -- shares were up more than 6%. mcdonald's bets on custom food. the restaurant chain will be expanding its ilk your own burger concept in a bid to live were more millennial's. the move is part of an effort to shake off its reputation for selling fast food. mcdonald's is facing its worst slump in more than a decade. a scathing u.s. senate report concludes the cia's harsh interrogation of terror suspects after 9/11 was not effective and that the agency misled congress and the white house on key aspects of the program. -- challengedsion by the cia. members of the bush administration and republicans in congress. peter cook is on capitol hill with more on the report. this report is very critical of the agency. >> it is a very harsh picture of the agency in those days right after 9/11. this program, the detention program was first put into

s/ brad fitch, ex empleado del congreso (nat up) l dijo que cuando los legisladores tienen que llevarda s hace una diferencia donde este localizada su oficina porque gastan menos tiempo yendo de un lado a otro. cuando se lleva a cabo la lotera no queda ni una silla vaca... empleados de legisladores participan en el juego y los ganadores tienen el privilegio de escoger cual ser la oficina que ocuparn con sus jefes el prximo aÑo. s/ juliana monsalve, @julianamons de manera que cada vez que usted vota por un político usted tiene que pagar por su mudanza. en los años 90 se debatió una propuesta de ley para que las oficinas fueran permanentes pero esa nunca se aprobó. --- se trata de una tradicin que tal vez genera polmica entre los ciudadanos por cantidad de dinero que se gasta en estos cambios de oficinas -- angel amigos tengan todos muy buenas tardes y sean cordialmente bienvenidos a noticiero telemundo 48 . enseguida les comparto la informacion meteorologica del dia de hoy. como usted ve en su pantalla aqui tenemos las siguientes condiciones climatologicas: ================= ponga aten

fitch downgrading israel's outlook to positive. -- that accounts for 7% of the economy.nk they had this in mind. the israeli shekel is touching almost four to the dollar right now. it's at its lowest level since september, 2012. this is good news for exporters, but the flipside is it is going make importing more expensive. one of the objectives of the current government is to lower the cost of living for israel's middle class. the cost of living is extremely expensive, even compared with somewhere like london. on the plus side, it should be said investors are used to this kind of thing, because this is in for first time the government has fallen midway through its term. i'm sure it won't be the last. >> thank you very much. the israeli shekel taking a beating. the euro taking a beating as well. a fresh two-year low for the euro. let's get back to the u.k. still to come, the countdown to the statement. we speak to the leader of the largest recruitment agency right here in the u.k. about what he expects from the statement and if he is concerned about the direction politics

abercrombie & fitch got a nice tap, financials came under pressure and energy stocks were winners. charles: all right, here to help us, we have fox radio host tom sullivan with us, and joni courtny, from monster worldwide. and scotti nel hughes, and heatinga herzog -- hitha herzog, is that new? >> pretty new a couple weeks old. gerri: market opened under a whole lot of pressure, a combination of things in china, shanghai down 5.4%, then growing concerns about the fed, and what they are doing next week, and the language and all that junk, don't even worry about that. matt. we talked about emotions with investors yesterday, did you feel they took a giant step backwards early on? >> they did, then they changed their minds, they flip flopped by noon, my clients are nervous, they saw oil falling a concern, they saw greece, china, and article about the fed, a good reason to take profits to year end tax selling. but i was impressed with how it came back, nasdaq down 60, and rallied eight 0, and schalls they got crushed and closed up 1.7%. charles: russell looked fantastic, oil caught my e

meanwhile, abercrombie & fitch falling this morning.y bet street estimates, but revenue was before forecast and same-store sales fell at greater than expected 10%. they actually use the the word "tumble." i guess double -- you need -- >> 10% is a big deal. >> for a tumble, you need 10%. >> we'll go with that. >> the merchandise, right? they took it off? they thought it was going to help them. >> maybe not. >> apparently not. >> the logo. >> a lot of stuff. >> my -- you're in the allowed to wear those. >> not allowed to wear them. >> much more ahead this morning from the ceo at the business round table. black rock steve's executive, larry fink r, own the health of the economy, and honeywell and frontier communications moments away. stick away. we'll be right back. >>> "squawk box" in the middle live from the nation's capital. this is the business round table with the who's who of corporate america. >> you fill storage up, inventories up, but at some point, it has to show up in the price. >> face it, lower and inexpensive energy made this

just out, abercrombie and fitch ceo stepping down. a controversial figure on cramer's wall of shame. stock's up 8%. verizon with a warning, a surge in new subscribers, but promotions and price cuts are going to hurt profits. first up, stocks on track to extend losses the day after the s&p recorded its worst day since october. got weakness in the energy sector. got worries about the fed changing language. on december 16 and 17th. something you were tweeting about at 4:00 this morning. >> right. one of the things you have to accept is when we are doing better than everybody else, it's ridiculous for the fed to stick by the considerable time. a lot of time has passed. considerable time, there is a finite moment. if you keep saying considerable time, you are getting closer to that moment and we're there. i don't even think necessarily that is what's causing this. china was just a big reversal. greece. we are back with greece. they were 30 but the market is down badly, a change in government. verizon has been a bedrock stock. it's jarring.

. >>> now we just got flashes out of fitch, the ratings agency. saying pressure on banks ratings in 2015 are expected to support changes. another issue for ratings changing coming up. so fitch is saying the banks will be under pressure throughout the next year. now let's discuss all of these stories and more with charles deeble, and we have adam myers with us as well. we'll talk about the downgrading with the big bond market for italy to support. >> you have to remember 65% of the italian bond market is internally financed and they don't care about the credit rating. obviously, it does have an impact for international investors, but it's still investment grade. so it's not really going to affect the behavior of the other big group of investors, which is effectively foreign central banks. so i think for the time being it's okay, but obviously there is something of a threat that if there were a further downgrade below investment grade, that becomes much more of a problem. >> what should the market give matteo renzi time to be implemented and that's

cory fitch and four others flew from minneapolis. >> it breaks all our hearts when something like thisappens. it could be any of us at any time. that's what hits home. >> officer ramos's funeral will be held in a few hours and cnn will be providing coverage of that. >>> we have some devastating new numbers to report on ebola. the world health organization counts nearly 20,000 confirmed or suspected cases of the disease still in west africa. more than 7600 have died. the vast majority of those in liberia and sierra leone. who officials report a handful of deaths in mali, outbreaks of ebola in senegal and nigeria have been over for some time. >> there are new questions about safety at the cdc after a mistake may have exposed a technician to ebola. as joe johnson reports, it's the latest development in the effort to study lethal viruses and bacteria while fighting them at the same time. >> it's a potentially deadly mistake at the u.s. institution that handles some of the world's most dangerous biological materials. the centers for disease controlen an prevention said a small amount of mat

abercrombie and fitch started in the red. they hadn't seen sells. their turn around plan will bear fruit in 2015. overstock was the winner. material stocks. new corp. potash. back to you. charles: thanks a lot. lot to talk about. newoak capital frischling. joanie is going to tell us what those job numbers will be on friday. scottie nell hughes is with us in a great blue outfit. heath is, our retail expert making big news. matt mccaul of penn financials. making a lot of money on flml. we'll talk about it later. let's dig into the first real, real deal. the market keeps chugging along. we have a date with destiny. 18,000, but may be a lot lot more. now, interestingly that report out this morning, i thought it was a disappointment. if it's going to be a predicament of friday, thathat will be a disaster. last month in october. 270,000 in june. joanie, listen, i like what i saw with the small businesses. maybe that's a silver lining. but overall, a disappointment. >> yeah. i definitely expected to see a little bit better of a number. when you look at tha

ceo of abercrombie & fitch hit the bricks.ck, after he didn't want fat, ugly people to wear it. he lost billions and years and yearsed goodwill. i hope they don't get it back as long as they are associated with it. lululemon, same thing. if you're arrogant company, it will come back to haunt you at some point. >> market will take care of that. >> joy i can'ts are not public yet. charles: hopefully they will get their act together. nobody wants to drive in cars with big moustache. we're talking about lift. we had people change channel after show turns to politics. what are you talking about? we don't discuss abortion, erase your dreams, destroy your children's future, erase everything you worked for. it is economics and future. last minute language in the budget last week, language in the last minute, pages 159 through 1603. allowed couples to pump $1.3 million into either political party during next year's election cycle. only limit for individual jumped 10 times to 324,000. architect of this provision is powerful democratic l

"meh, didn't start out that way." [ light laughter ] this is too bad, the ceo of abercrombie & fitch announced his retirement effective immediately. effective immediately. saddened by this news, his employees will observe a moment of shirtlessness. [ light laughter ] followed by several more moments. just like it never ends -- they never -- they don't have shirts. [ laughter ] i was surprised to hear this. a new report shows that americans are planning to spend more this holiday season than they have in the last five years, said your girlfriend. [ laughter ] very subtlety pointed it out. this story is great. a british woman is selling her own breast milk -- she's selling her own breast milk for $20 a bottle to help pay for her kids' christmas presents. [ laughter ] it's also the only house on christmas where santa's going to just eat the cookies. [ laughter ] i'm good. thank you. no, i'm good, i'm good. just cookies are great. cookies are great. [ applause ] apparently this woman has made almost $5,000 in the past year selling her breast milk. she's really pumped. [ audience groans ]

shares of abercrombie & fitch in the green. sales are improving but conditions still remain difficult. that stock up 5% despite those comments. jc penney slipping after getting downgraded to neutral. competitive changes may prevent them from achieving its multiyear goals. that stock down about 5 and a third percent. >> when we come back. cnbc has had an all-star list of ceos at the business round table. any moment the president will speak to some of those business leaders in washington. plus apple's phil shiller, eddy q and steve jobs testifying in court for apple today. and call it the internet of moving things. wifi networks that can follow you on the road for your entire drive. how that works a little later on this hour. with the dough down about 115 from 18,000. back in a minute. you total your brand new car. nobody's hurt,but there will still be pain. it comes when your insurance company says they'll only pay three-quarters of what it takes to replace it. what are you supposed to do, drive three-quarters of a car? now if y

check out shares of abercrombie and fitch.eported lower than specked sales and cut the full year forecast. the stock rebounded after the company said it expects turn around efforts to bear fruit by next year. it did warn of a tough holiday quarter as it discounts heavily shares up by about 4.5% after hitting the 52-week high the stock is still down some 35% so far from those highs. back over to you. >>> in this hour of power glakso smith cline confirming a plan to cut hundreds of jobs in the u.s. in attempt to restructure operations. >>> josh lipton gave us the latest on day two of apple's anti-trust case. >>> and breaking news, sony will name north korea as the party responsible for hacking and leaking unreleased movies online. >>> thank you. shippers are trying to avoid last year's delivery debacle. "power lunch" went inside fed ex's express network to see how things work. morgan brennan is tracking one shipment's trans continental journey. >> reporter: six stops, five cities, three sorting centers, two airplanes and three t

>> mike jeffreys is the beginning and to me abercrombie & fitch is a story of values and understandingvalue driven companies make it in the end and saying things that they're looking to market to cool kids and they don't want -- >> attractive people. >> exactly. they don't -- they didn't have plus sizes because they wanted to sort of be exclusionary. that sends a mess and that we don't really get it. we're not a value driven company and trying to exclude and that ultimately led to 11 consecutive quarters of declines. >> also a $30 stock now. it was a $30 stock ten years ago. now had ups and downs and no gain over ten years. >> he resigns and the stock goes up 10%. don sterling -- >> that's obvious, charlie. >> i think the lesson, though, that people need to fully get this year, and this is for every c eo in the world, words can destroy the. the world in which you have this privacy, don't expect it. you see sony right now. the biggest agitator is people saying, huh oh, i said stuff in my e-mail i don't want people to hear and i think the story of an individual building an enterprise and

. >> fitches the muse significance as opportunity to show and share some personal stories on personalelves. you get to find out what your favorite artist feels about christmas, what christmas means to them, and at the same time, celebrate some grammy moms, too. >> for the first one santa tell me. and it is a new christmas song that i'm putting out for the holiday season. >> i'm excited because i like all of those performers. >> i do, too. >> it will be interesting. of course you can get into the holiday spirit and catch all of the fun as well, very grammy christmas, tonight at 9:00 right here on cbs-3. >> and we'll take a short break and be right back. >> first though a look at what's coming up tonight on cbs-3. >> let's get our traffic and weather together. here's kate. >> i happy friday to you. little glimmer of sunlight at least to get the day start. but doesn't last forever. enjoy it while you have it. out at here at broad heads ville, yes, bright skyline out there, 25 degrees, the current temperature, very modest breeze, do have a rocket launch coming up down south. we show you n

i read that stores like abercrombie & fitch have experienced a drop in sales this holiday season, whiche attribute to teens spending more time on their phones and last time at the mall. when asked how they feel about this, abercrombie employees were like -- [ techno music plays ] ♪ [ cheers and applause ] harsh words, harsh words never before said on television. [ laughter ] i thought you guys are ready for it. you guys, one of my favorite parts of this job is working at rockefeller center during the holiday season. you got the tree. [ cheers and applause ] we got the skating rink, the ice skating rink out there. [ cheers and applause ] did you guys watch the ice skaters today? i love watch those guys skate, but i really, really love watching them wipe out. [ laughter ] that's my absolute favorite. so, earlier today, we actually set up a camera outside and filmed the rink and we caught some pretty great wipeouts. let's see some of that footage. here we go -- everyone is skating. look, it's gorgeous, having a a good afternoon. watch this guy here. hey, how are you doing? yep, everything,

abercrombie & fitch we'll hear about them in january.e market is difficult. jeff, sharing with brian story, i was at bloomingdale's last week. i'm in the elevator. this is the most telling sign of the season to me. i overheard two clerks talk in the elevator. one said we're having a terrific season. is that being echoed? have you picked up on, forgive me for eavesdropping but have you eavesdropped on any conversations? because i've seen you at stores coughing this for us? >> higher end. bloomingdale's i think you make a good point. the higher end, as brian said, lower end, sears not so much but the higher end definitely got the traction this year. even like amazon. you look at amazon, they just released numbers today, talking about how many people used their app. 60% of all amazon shoppers this year used the app the app, mobile app. that is huge. it is double what it was last year. so, you know, people on amazon prime, again higher end. adam: 10 million. >> amazon prime had 10 million people that took amazon prime. that is a billion doll

according to a regulatory filing, abercrombie & fitch says they're going to pay him $5.5 million worthsh and benefits. this is being tied to getting terminated without cause for the company. and this is all part of the outgoing ceo's pay as part of his retirement pack with the company. so they will pay their former ceo mike jeffries, again, this $5.5 million payment. that's cash and benefits associated with his removal as ceo without cause. and it's all part of his retirement pack with the company. >> thanks very much. karen, $5.5 million. >> it's not that much, actually. >> really? >> no, i don't think it's that much. the interesting part to me, without cause. cause might be something like, you know, not reporting your travel expenses correctly. cause does not mean you've done a terrible job for the quarter. >> well, look, the company has faced -- we're talking about some legal issues with minority employees, age discrimination, all sorts of lawsuits. you could point to a number of reasons why he might step down, not to mention the stock is down 10% this year. >> and down last year. >

meanwhile, fitch ratings down graded from its current single a plus. it says the government's decision to delay a tax hike from october 2015 has made it almost impossible to reduce the nation's massive debt as planned. the rating agencies added in the korns call that the decision will come after seeing what kind of budget the government compiles for the income fiscal year. however, it remains unlikely that it will manage to offset the revenue cost from the tax hike delay. this follows the downgrading of japan last week. although its impact on the market is limited, it's not helping prime minister abe who faces an election this coming sunday. that's all from the nikkei. back to you. >>> still to come on the show, instagramover takes twitter as users flock to the photo sharing app. we have the interview, up next. >>> "the wall street journal" says pay pal may shed about 3,000 position. most of the cuts are expected from -- one person would not comment saying we were focused on setting up ebay and paypalace independent companies. >>> now, there's some ipo

many of these -- abercrombie and fitch stock hit a new low earlier today back in positive territory, and they gave a weak outlook. morgan stanley raising this one to an equal weight, down 30% in the last three months but they are liking it right now. you pay your auto insurance premium every month on the dot. you're like the poster child for paying on time. and then one day you tap the bumper of a station wagon. no big deal... until your insurance company jacks up your rates. you freak out. what good is having insurance if you get punished for using it? hey insurance companies, news flash. nobody's perfect. for drivers with accident forgiveness, liberty mutual won't raise your rates due to your first accident. see car insurance in a whole new light. liberty mutual insurance. ♪ (holiday mhey! is playing) i guess we're going to need a new santa ♪(the music builds to a climax.) more people are coming to audi than ever before. see why now is the best time. audi will cover your first month's payment on select models at the season of audi sales event. visit audioffers.com today. a dry mout

take a look at abercrombie and fitch. announcing his retirement this morning.e was best known for saying that people should just not be wearing their close. there is no place for ugly people in this company. i knew it was an ultimate disaster. a very arrogant guy. >> one of those ceos where you just know it is a bad apple. abercrombie is in a very competitive environment. not every teenager is under the weight. he also defended those cities that he is trying to send as well. you know who is killing them right now? gap. old navy. who would have thought that the gap would be rocking. >> their last same-store sales number beat the street. they got so arrogant. some people saying it was pushing the envelope too much. billboard kept him for a longer period of time. have you ever seen this face? are you kidding me? he is calling somebody ugly. maybe he should be banned from his own stores. >> you probably need a lot of therapy. charles: it is not a household name, but it is a big winner today. >> what they did is they found four people. they transplanted their produc

the mid fifties should warmer to low 60s by letter on this afternoon for >> james: come back and by fitchgive you more detail look >> reporter: capital going very well across the bay area of where hot spot for in the good news is once again to livermore you are fine >>darya: >>stanley: we are getting ready for the biggest bomb in the bay area >>will tran: that of preparing for days for the supplies we already seen like that come and go 90 minutes will be busy for least next today's will have to wait and see everyone is getting ready for this storm and no one more so than pg&e >>mark: a heavy rain usually means problem for san francisco telegraph filled with mud and rock slides this side of any damage that could be called >>darya: they're gearing up for the storm at the walnut creek corporate yard that's what they're getting their sandbagged is vulnerable or the county provides the sand in the back you did this several there is a 25 sandbag lemon for its resident and there's still plenty of san they say what they did run out of bags last night they recommended to grab some bags of wrong if

fitch castles but to the cobweb want to maintain track conditions for the most are later in the afternoon there is a light red arise a lot they and then it was spread southward is a very quick moving system expecting afternoon showers will we drive by the evening we are talking about when the conditions on the back end of this system with the strong discussed about a thousand feet. chemical side of the fifth is the six kidnappers today in a high of 63 and 60 over in pleasanton if you're hitting a towel and you ought to have a like christmas 3 to 6 in. of fresh powder expected for tonight. >> erica: 2 to get downright chilly. to relax it up in the israel pushing closer to the weekend pretty sure conditions if you're heading in that direction he was a quick look at the seven day around the bay for test columbus certainly on top. more diesels on that coming up in just a moment right now let's talk about traffic from the bay area is pretty foggy out there we already have a dense fog advisory and you will notice from this is a little hazy. our lead the of them will be dealing with the a lot of

moody's of the levels, is at a similar level to fitch. we did see a big fall in yen.covered, so watch out for yen. watch out for japan as we head into a second hour of "the pulse ." we will be watching the telecom sector. we are seeing a host of consolidation. makers of the portuguese . we will have matt campbell and caroline hyde covering not only what we see on portugal but also the fact that vodafone may make a bid for liberty global in the future. we will have the lowdown, next. ♪ >> a downgrade for japan. moody's cuts japan's ratings on concerns over its growth policies. telecom's takeover as they move forward with a $9.2 billion bid oi portuguese after bloomberg discovers vodafone may create europe's largest telecom company. can oil take the pressure? oil tumbles to the lowest level since 2009 after opec maintains output. will oil companies be able to survive the slump? ruebel rout as putin heads to turkey. can russia weather the storm? >> good morning to our viewers in europe. good evening to those in asia. welcome to those just waking up in the united states.

abercrombie and fitch did the other day. the problem is the margins are under pressure. there is no budge in the fashion cycle. consumers are spending elsewhere. david had a great interview monday with berman capital. apple, amazon, samsung are taking huge amounts of money out of the wallets of consumers. it isn't all bad. we don't pay attention to the monthly retail numbers. l brands and cato had very good numbers. l brands up 8%. cato up 7% respectively. walmart, ubs downgrade was interesting. there are a lot of companies out there dramatically overbought. this is a problem with a lot of stocks. traders have been arguing cheap gas will help the discounters. look what these discounters have done in the last quarter. cheap gas is priced into the stocks of all these companies. dollar tree, ross stores, target. this is in the last two months these stocks are up 20%, 17%, 11% here. big pharma stocks like biotech names are significantly up in the last few days. significantly above their 50 day moving average. the xle, two days on the up side with the energy stocks moved to t