is aig a stock to own? >> i would buy aig at the offering, if there is an offering coming up. i like the business model. i think they've been able to protect their business platform. it's a shame that they had to sell some of their powerful divisions overseas but it's still a very strong platform of great opportunities. >> susie: let's turn to blackrock itself. the stock is up more than 1,000 percent since the firm went public 11 years ago. where do you see the stock trading this year? >> i don't like predicting our stock price. i'm generally the most pessimism about our stock price. we are looking for the stock market to be up anywhere from 10 to 12%. i think bell's be somewhat north of that. >> susie: larry, it's been a pleasure talking with you. thank you so much. >> thank you, i enjoyed it. >> tom: there was some mild selling pressure for stocks but after the close a tech giant reported its latest quarterly numbers. let's get you updated now on tonight's "market focus" stock prices fell off their two- year highs, but after the close, the focus turned to intel. the chip gia

if you are connected all the world, you know aig was ensuring everything and when the lights went out, the financial system was -- another conversation. tavis: how scared should we be? >> we should not be afraid. to thoseto sell people. we need to manufacture products in this country and sell all over the world. [applause] that is where policy comes in. we need a policy to keep some manufacturing and some jobs, the good jobs, the jobs we want here. if a company can do something in india that is cheaper, they will. >> teltavis: why should we be hopeful, given this proposition. why should we be hopeful we can play on a level playing field with china? >> tuolumne answer. this -- let me answer. this point has been bouncing back a few times. 00 million against on3.5 billion. i am fortunate i came from silicon valley. the productivity is eight times. i would overwhelm that if we innovate. innovation gets you the margin dollars. that is tied to my earliest thing. >> absolutely. >> we have to have an education system and the immigration system. >> one of the things we're missing is it is the

treasury department said they're optimistic that the government will turn the profit of bail out of aig. they plan to sell their 1.6 billion shares in the next 2 years starting in march. the government owns 92% of american international group, and invested an estimated $48 billion in that company during the 2008 financial crisis. if it holds, anle cysts say the u.s. could see a profit of $40 billion. >>> bank stocks drove the stocks higher today. san francisco fargo said they hope to gain dividends. nasdaq was up 20 points. >>> holiday shopping hit a record high last year, or did it? shoppers spent $462 billion in the last 2 months of 2010, but an analysis by the associated press says that's an inflation-based figure. the ap says consumers would have needed to spend $478 billion to top the prerecession record of $453 billion set back in 2011. >>> the launch of a new newspaper designed just for apple's ipad has been put on hold. media moggle and apple ceo were set to unveil the newspaper next week at the museum of modern art next week. the delay estimated at several weeks is to sort out

and the outstanding program of course is general motors and that stock needs to be sold off and aig, which surprising most of us, looking like it's going to be able to turn a profit for the government once all of that stock is sold off. >> would you comment on the impact of the tax structure and the mobilization or rather the moving of american industry overseas, moving actually corporate headquarters and manufacturing plants? >> well, the impact of moving manufacturing plants overseas is obviously a jobs issue and if you are removing those jobs, steady jobs in the u.s., then all of the tax revenue from those workers and the steady jobs is going to be lost and the revenue from those businesses. companies moving their operations overseas to avoid u.s. taxes, that's a much different issue. and there is a figure for this from the irs and the jao and a lot of people have looked at it. i don't know the exact figure. but it's not something that is the underlying, a huge issue in the trillion dollar deficit that we're looking at but it is certainly billions of dollars, tens of billions of d

that will give the treasury department 92% ownership of aig. that stock can be sold to pay off the bailout. >>> time now 6:21. no phone service for hundreds of residents in one east bay city after an attack by vandals. this is a story you'll only see right here on channel 2. what those are doing and how you can help catch them. >>> and the snow has stopped but there's still plenty of clean up across the northeast. we'll bring you the very latest. >>> good morning. right now things are getting more crowded at the bay bridge toll plaza. certainly nothing you can't handle. but by the minute things are getting more crowded. we'll keep you updated and have another update straight ahead. >>> thank you, sal. the storm that hit the northeast is still causing problems for people trying to get around connecticut. while most major streets are cleared now the snow is piled high on many neighborhood streets and many schools in new england will be closed today. >>> bad weather is blamed for power outages across the region and flight delays across the country

even aig. >> a basket of bailouts. >> best government dollar spent, the salaries of general david petraeus and ray 0 dee odierno. >> mort. >> the fake bombs that we used to catch would-be terrorists. >> best government dollar spent, the bush tax cuts, the extension of those will add #% to gdp growth, a far higher boost than all of president obama's stimulus spending, plus cash for clunkers and first- time homebuyer's credit combined. best government dollar spent is that. >> lisa murkowski gets upset in the al lags could senate primary, she's beaten, she puts herself on as a write-in, runs and wins back her senate seat. there is more than one mama grizzly in alaska. >> excellent choice. i think it's mine. >> boldest tactic, i am not a witch, i am you. >> monica. >> boldest tactic, governor jan brewer signing into law that arizona illegal immigration law. >> mort. >> the computer geniuses who >>> boldest political tactic. president obama's enlistment of former president clinton to take his place at the podium and sell skeptical democrats on the idea of extending all of the bush tax cuts. oba

. >>> aig says it will close a deal with the government tomorrow, paving the way for it to repay its massive taxpayer bailout. the agreement will let the insurance company sell stock and free itself from government ownership. >>> asian markets are higher this morning, as fears over europe's debt crisis eased. tokyo's nikkei average rose 0.7% today. hong kong's hang seng climbed 0.5%. in london, the ftse opened lower. on wall street, the dow rose 83 points yesterday. the nasdaq added 20 points. >>> well, how much would it take for you to give up your seat on an overbooked flight? delta is now letting passengers name their price. it has created an auction system, taking bids for bumping. of course, delta accepts the lowest bids first. so, you don't want to ask for too much. >>> well, 2011 could be lady gaga's year. after landing at number seven on "forbes'" list of highest-earning musicians last year, the magazine predicts the pop star will be number one this year. she is expected to earn more than $100 million, thanks to a hit tour and the release of her second album, which is due out

aig had the biggest bailout worth $182 billion. warren buffett is leaving washington post. he joined the board in 1974, he said he will continue to offer any help to the company that management asks but he will step down from his formal role in may. for director struck a step down in h-p meg whitman is stepping in. she is one of five people on the board. this is her first public move since losing race. it is over holding six months after see all park or was ousted h-p has announced they will investigate the circumstances of his this partner and the severance he was given when he left beard he was forced out last year over allegations of inaccurate spends great expense reports and sexual harassment. 37 year-old is reclaiming the top job from 55 year-old eric smith who had been called and a decade ago. he will advisor, changes will start april 4th. sticking with google id is in the top five of fortune magazine's top companies to work for. top spot for the second year is sas, boston consulting is no. 2, wightman's food markets, google, and net apps wraps up the top five. fortu

if followed quickly by the decision to let lehman brothers collapse into bankruptcy while aig receive government assistance. this inconsistent approach stoked uncertainty and panic in the markets at the heat of the crisis. it is my pleasure to turn the microphone over to have their murray -- to heather murren. she co-founded the nevada cancer institute's. >> thank you, bob. as we have witnessed, the integrity of our financial markets and the public's trust in those markets are essential to the well-being of our country. the sound as chance to say -- sustain stability of our economy rely on notions of fair dealing, responsibility, and transparency. americans expect businesses and individuals to pursue profits and at the same time to produce quality products and services and to conduct themselves well. but after careful research, we concluded that this crisis was fueled by a systemic breakdown in accountability and ethics. these failures were not universal. but the breeches stretched from the living room to the board room. they resulted not only in significant financial consequences but

audit the hundreds of millions of dollars aig expended on bonuses. i led 26 of my colleagues audit the counterparties. that aid, i'm very concerned about the serious allegations of abuse by the mortgage service industry. today's sig t.a.r.p. report calls their performance abysmal and describes daily accounts of errors and more serious misconduct. the sig t.a.r.p. report also says this, "anecdotal evidence of their failures has been well chronicled, from the repeated loss of borrowed paperwork to the plate apt failure to follow program standards to unnecessary delays that severely harm borrowers while benefiting themselves." mr. chairman, we cannot do a comprehensive examination of the foreclosure crisis without hearing from the industry. that is why i sent a letter on dember 21st asking you to hold the committee's first hearing on the widespread utilization of fraudulent practices throughout the mortgage industry. this has been my number one priority, as you said. i assume we would move forward. it's the same reason i sent you another letter on monda

finally, aig with its credit the fall swaps that gave insurance to people. it is a large, long chain of complexity that i think goes well beyond individual relationships between home borrowers and mortgage origination. host: charles on the democratic line. caller: good morning. i have two questions. the first one would be -- i do not know why anybody has not talked about the politicians giving themselves raises and then their own parachutes. the other question is, i still don't understand why the corporation has the same rights underneath the constitution as human beings. a lot of it seems to be that most of the politicians are taking jobs as soliciting other politicians after they are out of office. it seems to me kind of like a conflict of interest. guest: i think you raised some great questions. i think there's a lot of outrage out there. why have institutions and not been held more accountable? why have politicians not been held accountable? why have there not been more criminal charges? why haven't any bankers, even those of the firms that utterly faile

but we found that goldman received another $3.4 billion from aig and retained two-thirds of it. unlike what might have been understood broadly, it was passed on to others. >> corporate crime reporter. listening to you, flipping through the report, we hear words to describe the c o's of these companies, such as risky, reckless, imprudent, irresponsible. we do not hear the word "criminal." did you find corporate criminal activity or individuals and corporations who committed crimes? if you did, why have you not made that conclusion in this report? >> as the chairman said, our mandate was to refer to the attorney general or to the state authority any individual that our investigation may have violated u.s. laws, whether civil or criminal. we made several of those referrals, but we will not talk about any of those details. >> are the public and the financial system better protected because congress gave the sec and the cftc the regulation without the money to do it to? >> i hope that the statutory powers of the two agencies are fully implemented and financed. >> [unintelligible] >>

audit the hundreds of millions of dollars aig expended on bonuses. 26 of my colleagues audit the counterparties. that said, i'm very concerned about the serious allegations of abuse by the mortgage service industry. today's sig t.a.r.p. report calls their performance abysmal and describes daily accounts of errors and more serious misconduct. the sig t.a.r.p. report also says this, "anecdotal evidence of their failures has been well chronicled, from the repeated loss of borrowed paperwork to the plate apt failure to follow program standards to unnecessary delays that severely harm borrowers while benefiting themselves." mr. chairman, we cannot do a comprehensive examination of the foreclosure crisis without hearing from the industry. that is why i sent a letter on december 21st asking you to hold the committee's first hearing on the widespread utilization of fraudulent practices throughout the mortgage industry. this has been my number one priority, as you said. i assume weould move forward. it's the same reason i sent you another letter on monday ask

we paid 100 cents on the dollar to goldman sachs because we pumped $14 billion into aig. it was a pass-through. it went right to goldman sachs. 100 cents on the dollar on credit default swaps that shouldn't have been worth half that. we also passed through hundreds of millions of dollars to aig fp employees who mispriced this risk as part of t.a.r.p. they got paid off. they got bonuses from taxpayer money. how you can take credit for that and say that that was a good thing. and it was never a question of, i know people said, well, if we did nothing -- well, we wouldn't have done nothing. we would have done something different. and i think there are a lot of weaknesses in this t.a.r.p. program. i think mr. barofsky, you've drilled down and got to many of them. but i want to take my last couple of minutes to talk about the service industry, because so much of the servicing industry is mentioned in this report. and i think it's spot-on. i want to just talk about -- i'll just list all the investigations that are going on right now with the services. and we're not going after

aig is about to make a major step towards repaying its massive bailout.s to close an agreement with the government tomorrow that will allow it to free itself from government ownership. now to set your price. letting passengers bid auction style to get bumped. that's your "moneyscope" report. >> it's 5:13 now. concord police have released sketches of two men to stabbed a 47-year-old woman. it happened last sunday while she was sitting alone at baldwin park. the men tried to rob her and when she refused they stabbed her. both men are described as transients about 30 to 40 years of age. one is a white male 6 feet tall wearing dirty clothing and missing several upper teeth. the other is described as hispanic, 5-7, heavy set with a light beard. >> a report number of homes went into some type of foreclosure. 2.9 million received at least one foreclosure filing during the year. that's one in every 45 homes in the u.s. california has the largest number of foreclosures. housing experts warn the state's foreclosure rates could jump again because a large number of a

make clear that no firm is somehow protected because it istoo big to fail so we don't have another aig. it seems that secretary tim geithner's words run counter to that. it is hard for his staff to say he did not really made it. can you give us context for this? >> i was not in the room. my deputies were in the room. after we received this quote, we documented best which is a normal function included we provided this to treasury. we had a number of conversations and they made suggestions and we incorporated those suggestions. treasury had assured us that they would not contest the language that was used and did not think we have presented and a misleading statements. we stand by quote. it is accurate. the nightmaretary the nightmar was being candid. i commend him for that. i think secretary of a nightmare, was being candid. -- i think secretary of the treasury tim geithner was being candid. i commend him for that. if the tools in dodd-frank are implemented correctly and that is a a bit'if,' it would require actions by the regulators that hopefully we can get to a point where the govern

gets somebody through user-friendly procedures to look into it and take action weather it is aig or the intelligence community, where are several provisions included one specific to the intelligence community of. that is probably your answer. if you want a system where people are able to blow the whistle on misconduct but not have full and fair disclosure to the press. >> in some regard it is simpler than that. as we saw on the panel this morning from the cheney quote, information -- that is how policy is made. when i was back in the pentagon, one of the things i had responsibility for was the counterintelligence programs. in terms of addressing damaging leaks, one of the things i wanted to do was set up a training program for senior level people used to dealing with intelligence product, maybe from think tanks or whatever and actually give them training in terms of when you are dealing with intelligence products that have methods and deal with the -- think tanks and -- here is how you do what cheney says you do. when i try to do that i was ridiculed in the pentagon. the analogy i came

a quick check of wall street, a tepid opening the government may soon be able to cash out of aig withl pay back to the american taxpayer. intel reports after the closing bell, apple just shy of an all time high. apple, the second most valuable company in america. over at cnbc, i mean over at the desk over there. it points out it took 23 years for apple to get to $100 billion. three years to get to $200 billion. 10 months to get to $300 billion. >> in my lifetime, never. >> thanks a lot, scott. >> groundhog day less than a month away. punxsatawney sfphil is already showing himself. that's in pennsylvania. at an added bonus, the club is releasing a collectible of phil's wife. did you know there was? her name is phyllis. they are part of the groundhog day tradition and the collectibles almost always sell out. the 125th annual celebration of ground hog day will take place on february 2nd we don't need it. maybe christina is doing her own forecasting >> it will be the man versus computer. we have christina. it will be a showdown. >> i love what my scientific expertise has to do with it and

aig said it has paid back the federal government and full.d the last $21 billion that it owed on a federal reserve credit line. it also exchanging various forms of government support into common shares. that will result in the treasury department owning about 92 percent of the ig common shares. they expect the treasury department will sell its stake in the company. >> dishonorably president ronald reagan suggests his father suffered from alzheimer's while he was still in office. it comes from his new book my father at 100. he says his father became uncharacteristically lost for words and looked bewildered during the 1984 presidential debate. he said of left office had the disease been diagnosed then. white house doctors and they have no evidence of alzheimer's will he was president. he was diagnosed in 19945 leak years after leaving office. >> will be right back on kron 4 news weekend. >> verses as henry in the garden. >> was a fire to lazy to do garden today. or going to tell you about new exciting products. >> although this is for rabbits t

i would point out that aig money has been paid back to the government as a result of some of the steps, management steps, that have been taken. >> on 1 different topic -- could you comment on the white house and use of social media, which seems to be increasing? >> look, obviously, david is a big believer in the social media. are you talking about some of the interactive stuff around the state of the union? >> [unintelligible] >> youtube was a reprisal of something we did back in 2009. the president thinks youtube is an on-line town hall meeting. obviously, a number of us use different types of social media like twitter to communicate what the government is doing to the people in this country. i think it's it is just another way of bringing people a little closer to the decisions that get made here and why. i think the president and the entire team will continue to look for avenues and opportunities to expand the use of those entities. again, whether that be twitter, youtube, or other aspects of social media. >> the imf today singled out the u.s. as well as japan has a heavily indebted

government now owns securities sales and preferred stock and common stock companies like general motors and aig and others while the treasury has been selling these securities, selling organs from corporations like bank of america, pnc financial land this week citigroup. also the government owned 8 billion approximate shares of citigroup officially and hired 12 minority and women owned firms to work with those disposing of assets and ten minority firms involved in the general motors ipo and now we are working on a ayachi. again, none of this could have been possible without the legislation passed by the financial service tener and implemented. so again, thank you very much. now despite these initial successes, congresswoman waters were not satisfied. you see, the only covered 700 billion of the $12.6 trillion u.s. government allowed late so they passed section of 342 of the dodd-frank wall street protection act to cover the rest of the mauney. justin did january 21st of this year section 342 covers all of the agencies and departments of the federal government that are involved in the business o

audit the hundreds of millions of dollars aig expended on bonuses. i led 26 of my colagues audit the counterparties. that said, i'm very concerned about the serious allegations of abuse by the mortgage service industry. today's sig t.a.r.p. report calls their performance abysmal and describes daily accounts of errors and more serious misconduct. the sig t.a.r.p. report also says this, "anecdotal evidence of their failures has been well chronicled, from the repeated loss of borrowedpaperwork to the plate apt failure to follow program standards to unnecessary delays that severely harm borrowers while benefiting themselves." mr. chairman, we cannot do a comprehensive examination of the foreclosure crisis without hearing from the industry. that is why i sent a letter on december 21st asking you to hd the committee's first hearing on the widespread utilizati of fraudulent practices throughout the rtgage industry. this has been my number one priority, as you said. i assume we would move forward. it's the same reason i sent you anotr letter on monday asking

and today they're saying that the aig money, even some of which i thought was long gone by come back. there were certain that the bomb in may. i like to focus because i am critical of them for not doing more bank regulation early on. at the out of bailout, you know, not all bailouts were bad. i mean, those turned out to be pretty successful. so i just think that it's -- >> it's so early in the game. >> it is. >> we can't have a conversation with two liberals disagreeing without talking about health care. so who wants to grab it? roger, do you want to start? >> my position is so far outside the washington consensus on this subject, that it may be very hard to have a conversation about it. but i am very critical in the book of the health care boondoggle because -- >> you say it's unconstitutional basically quite >> no, that's really not the point. i am outraged by the mandate. i think the mandate is appalling. but the whole bill is appalling. the problem is -- the problem with our health system is not the people don't have insurance. it's that we have insurance. insurance is the problem

for me, the most unpatriotic corporations tend to be american corporations like aig, like goldman sachs, like these banking companies, like bank of america. these are the companies that i consider to be unpatriotic because their interest is of their ceos and stockholders, not of people. not of people who depend on their services, not people in the country where they live and where they work. the companies like british petroleum is not patriotic in britain or here. not because they're british, but because of their destruction of people's lives and of the environment. so i think that i would define it a little bit differently, but i agree with you that the biggest problem we face is the lack of concern of corporations for people's rights, for the rights of the environment. and these are the struggles we have ahead of us as we struggle to end wars. we have to look at who's profiting from those wars. >> host: next call comes from louise in johnson city, tennessee. louise, you're on the air. >> caller: well, thank you. thank you for c-span and thank you so much, ms. bennis, for what you are

but we found that goldman received another $3.4 billion from aig and retained two-thirds of it. unlike what might have been understood broadly, it was passed on to others. >> corporate crime reporter. listening to you, flipping through the report, we hear words to describe the c o's of these companies, such as risky, reckless, imprudent, irresponsible. we do not hear the word "criminal." did you find corporate criminal activity or individuals and corporations who committed crimes? if you did, why have you not made that conclusion in this report? >> as the chairman said, our mandate was to refer to the attorney general or to the state authority any individual that our investigation may have violated u.s. laws, whether civil or criminal. we made several of those referrals, but we will not talk about any of those details. >> are the public and the financial system better protected because congress gave the sec and the cftc the regulation without the money to do it to? >> i hope that the statutory powers of the two agencies are fully implemented and financed. >> [unintelligible] >>

will about the turn of the situation was in the house by year and in the paper today we say that the aig money which about was long gone might come back and there were bets that obama need and i like to focus, because i am critical of them for not doing more bank regulation early on, but if the automobile allowance, not all bailouts for that. that turned out to be pretty successful and so i just think it's early in the game. >> we can't have a conversation with liberals disagree in to talk about health care so who wants to grab it? roger? >> my position is so far outside the washington consensus on the subject that it may be very hard to have a conversation about but i am very critical in the book about the health care boondoggle >> you think it's unconstitutional basically. >> that's not the point. i don't make that argument, i don't think it is unconstitutional and i am outraged by the mandate. it is appalling. but the whole bill is appalling. the problem with our health system is not that people don't have insurance it is that we do have insurance. insurance is the problem. [laughter]

and the outstanding program of course is general motors and that stock needs to be sold off and aig, which surprising most of us, looking like it's going to be able to turn a profit for the government once all of that stock is sold off. >> would you comment on the impact of the tax structure and the mobilization or rather the moving of american industry overseas, moving actually corporate headquarters and manufacturing plants? >> well, the impact of moving manufacturing plants overseas is obviously a jobs issue and if you are removing those jobs, steady jobs in the u.s., then all of the tax revenue from those workers and the steady jobs is going to be lost and the revenue from those businesses. companies moving their operations overss to avoid u.s. taxes, that's a much different issue. and there is aigure for this from the irs and the jao and a lot of people have looked at it. i don't know the exact figure. but it's not something that is the underlying, a huge issue in the trillion dollar deficit that we're looking at but it is certainly billions of dollars, tens of billions of dolla

aig, the testimony was striking.hat in the contract, if securities went down in value, they would have to post cash. when goldman asked for a billion dollars, thye didn't have it. >> new orleans, louisiana. you are her ewite with douglas holtz. werehe bankers acting like they were running casinos. the bankers were acting like when they removed the regulations, why did they not repalclace those? kept going up. you could sell it for more then you landed on it. -- lended on it. guest: there were stories of people buying homes in flipping homes. that was very real. in some of the testimony, we had wall street executives say they never thought housing prices would go down. that was wrong. it was not really taking care of risk. the job of a financial executive is to manage risk. that is what they do. i think the housing issue pervaded every one. >> the gambling analogy comes up a lot. the callers have mentioned this a couple of times. gamblers will tell you that to the house always win. who is the house in this case? guest

and the outstanding program of course is general motors and that stock needs to be sold off and aig,which surprising most of us, looking like it's going to be able to turn a profit for the government once all of that stock is sold off. >> would you comment on the impact of the tax structure and the mobilization or rather the moving of american industry overseas, moving actually corporate headquarters and manufacturing plants? >> well, the impact of moving manufacturing plants overseas is obviously a jobs issue and if you are removing those jobs, steady jobs in the u.s., then all of the tax revenue from those workers and the steady jobs is going to be lost and the revenue from those businesses. companies moving their operations overseas to avoid u.s. taxes, that's a much different issue. and there is a figure for this from the irs and the jao and a lot of people have looked at it. i don't know the exact figure. but it's not something that is the underlying, a huge issue in the trillion dollar deficit that we're looking at but it is certainly billions of dollars, tens of billions of do

if you are connected all over the world, you knew that aig was insuring everything. when the lights went out, the financial system would try out. another conversation. i am sorry. >> let's be blunt about it. you have made this 0.3 times. how afraid, given the numbers, how skier should we be of china -- a freight should we be of china or india or japan? >> i do not think we should be afraid. we have to sell to those people. we need to manufacture products in this country and sell it all over the world. [applause] that is where policy comes in. we need a policy in place that keeps many factory and good jobs here. if a company can do something cheaper in india, it is going to do it and should do it to stay competitive. >> why should we be hopeful given this difficult proposition? why should the american people be hopeful that we can find a level playing field with china? >> let me first answer -- this point has been bounced back and forth a couple of times. maria likes to use 1.3 billion and 300 billion. -- and 300 million. i am unfortunate i came from silicon valley. i

she has a litigation with aig.nk there's a bunch of compound pressure right now. >> reporter: the lawyers representing jackson's estate told abc news, their complaint is not with katherine's book. but instead, with what their suit calls the website's, quote, illegal use of michael jackson's intellectual property assets including copyrighted artwork, sound recordings and song lyrics. amidst all of this katherine is talking for the first time about how different it is raising children in your 20s, from raising children in your 80s. >> michael's children are good children. and he raised them out of love and understanding. and i don't have a hard time with them because they know how their father had them raised. and they're very respectful. and also, it's a difference today. >> reporter: but knowing what she knows how about kids and the business, would she encourage michael's children to pursue the same dreams? >> i wouldn't let them go into business at this earlier age. paris wants to be an actress. but i don't think

all of the aig people would of been out of jobs. i thought they were crucial, although unpopular., the debt ceiling. i do not think republicans should get anything in return for the debt ceiling, because we need to raise the debt ceiling. i did not believe we should accumulate more debt, but we need to keep the government operational. the simple idea we should let our government go out of operation simply to prove a political point, which they're trying to do, is astounding. they are putting the safety of the american people are risks over trying to appease the tea party, and i think that is entirely unacceptable. thank you. host: john in a mall. omaha. in guest: you are exactly right, it was a bush-era program. it happens in late 2008. it was henry paulson who said we have to do this thing. it was supported by democrats and republicans. it was big and controversial, and there is still a lot of debate about its effectiveness and that sort of thing, but a lot of economists are in agreement that it has saved them a much tougher economic time. i think what the debate is now is becaus

if you are connected all over the world, you knew that aig was insuring everything. when the lights went out, the financial system would try out. another conversation. i am sorry. >> let's be blunt about it. you have made this 0.3 times. how afraid, given the numbers, how skier should we be of china -- a freight should we be of china or india or japan? >> i do not think we should be afraid. we have to sell to those people. we need to manufacture products in this country and sell it all over the world. [applause] that is where policy comes in. we need a policy in place that keeps many factory and good jobs here. if a company can do something cheaper in india, it is going to do it and should do it to stay competitive. >> why should we be hopeful given this difficult proposition? why should the american people be hopeful that we can find a level playing field with china? >> let me first answer -- this point has been bounced back and forth a couple of times. maria likes to use 1.3 billion and 300 billion. -- and 300 million. i am unfortunate i came from silicon valley. i

if you are connected all over the world, you knew that aig was insuring everything. when the lights went out, the financial system would try out. another conversation. i am sorry. >> let's be blunt about it. you have made this 0.3 times. how afraid, given the numbers, how skier should we be of china -- a freight should we be of china or india or japan? >> i do not think we should be afraid. we have to sell to those people. we need to manufacture products in this country and sell it all over the world. [applause] that is where policy comes in. we need a policy in place that keeps many factory and good jobs here. if a company can do something cheaper in india, it is going to do it and should do it to stay competitive. >> why should we be hopeful given this difficult proposition? why should the american people be hopeful that we can find a level playing field with china? >> let me first answer -- this point has been bounced back and forth a couple of times. maria likes to use 1.3 billion and 300 billion. -- and 300 million. i am unfortunate i came from silicon valley. i

finally, aig with its credit the fall swaps that gave insurance to people. large, long chain of complexity that i think goes well beyond individual relationships between home borrowers and mortgage origination. host: charles on the democratic line. caller: good morning. i have two questions. the first one would be -- i do not know why anybody has not talked about the politicians giving themselves raises and then their own parachutes. the other question is, i still don't understand why the corporation has the same rights underneath the constitution as human beings. a lot of it seems to be that most of the politicians are taking jobs as soliciting other politicians after they are out of office. it seems to me kind of like a conflict of interest. guest: i think you raised some great questions. i think there's a lot of outrage out there. why have institutions and not been held more accountable? why have politicians not been held accountable? why have there not been more criminal charges? why haven't any bankers, even those of the firms that utterly failed, lost

let's compare here, the contract totals of deloitte and touche a $6.69 the total amount of funding to aigmillion for that 10 male and dollars we got $149 million that. meanwhile with 6.6 million with deloitte and touche albeit gotten is a shiny report and pretty pictures for members of congress most of which we will never see. do you understand why that causes one pause about whether or not that is a strong leadership decision general fields? >> senator we have been told by members of this very congress that they appreciate the report that we have provided for them. similarly, the federal community also where have told us that they appreciate the detail and the correctness of the report that we produce. >> let's talk about the contract of joseph schmidt. you have an audit and it is completed. your peer review is not good and in fact for only the second time in 50 peer reviews, you have been recommended to loser law enforcement capability in an arena where desperately needed to law enforcement capability is absolutely essential. you have had this audit and after the audit is done, you hire

audit the hundreds of millions of dollars aig expended on bonuses. i led 26 of my colleagues audit the counterparties. that said, i'm very concerned about the serious allegations of abuse by the mortgage service industry. today's sig t.a.r.p. report calls their performance abysmal and describes daily accounts of errors and more serious misconduct. the sig t.a.r.p. report also says this, "anecdotal evidence of their failures has been well chronicled, from the repeated loss of borrowed paperwork to the plate apt failure to follow program standards to unnecessary delays that severely harm borrowers while benefiting themselves." mr. chairman, we cannot do a comprehensive examination of the foreclosure crisis without hearing from the industry. that is why i sent a letter on december 21st asking you to hold the committee's first hearing on the widespread utilization of fraudulent practices throughout the mortgage industry. this has been my number one priority, as you said. i assume we would move forward. it's the same reason i sent you another letter on mo

government now owns securities sales and preferred stock and common stock companies like general motors and aig and others while the treasury has been selling these securities, selling organs from corporations like bank of america, pnc financial land this week citigroup. also the government owned 8 billion approximate shares of citigroup officially and hired 12 minority and women owned firms to work with those disposing of assets and ten minority firms involved in the general motors ipo and now we are working on a ayachi. again, none of this could have been possible without the legislation passed by the financial service tener and implemented. so again, thank you very much. now despite these initial successes, congresswoman waters were not satisfied. you see, the only covered 700 billion of the $12.6 trillion u.s. government allowed late so they passed section of 342 of the dodd-frank wall street protection act to cover the rest of the mauney. justin did january 21st of this year section 342 covers all of the agencies and departments of the federal government that are involved in the business o

for me the most unpatriotic corporations tend to be americai like aig, goldman sacks, theseps bankinganies, bankamerica.t these of the companies that i consider to be unpatriotic peak as there interests are those of their ceos and stockholders, not the people who depend on their services or the people who inth the country where they live and itain work. british petroleum is not patriotic britain or here, notuo because they are british, but'sf because of their destruction ofk people's lives. diffently, that b would define in a little bit differently but i agree the problem we face is the lack of concern of corporations for people's rights. these are the struggles we haves ahead of us. as we struggle to end war we have to look at who is wars. profiting. >> host: next call comes fromseh luis in johnson city, tennessee. you are on the air.or >> caller: thank you. thank you for c-span, and thankm yous so much, ms. dennis, for what you're doing. please keepan doing it. drown without c-span i would drown in beautiful east tennessee. uerstn i do not understand why congress allows the corporat

all of the aig people would of been out of jobs. i thought they were crucial, although unpopular.e debt ceiling. i do not think republicans should get anything in return for the debt ceiling, because we need to raise the debt ceiling. i did not believe we should accumulate more debt, but we need to keep the government operational. the simple idea we should let our government go out of operation simply to prove a political point, which they're trying to do, is astounding. they are putting the safety of the american people are risks over trying to appease the tea party, and i think that is entirely unacceptable. thank you. host: john in a mall. omaha. in guest: you are exactly right, it was a bush-era program. it happens in late 2008. it was henry paulson who said we have to do this thing. it was supported by democrats and republicans. it was big and controversial, and there is still a lot of debate about its effectiveness and that sort of thing, but a lot of economists are in agreement that it has saved them a much tougher economic time. i think what the debate is now is because th