alaska air is trading down as well.loomberg intelligence analyst says the premium that alaska is paying for virgin is relatively hefty although the deal is supposed to be approved of within the first year of the acquisition. i've looked at the comparable performance of the stocks versus the bloombergs u.s. airline index. here is the airlines index. this goes back to when virgin became public, going back to 2014, november 20 14. the stock has outperformed other it has notthough done quite as well as alaska. i did the cutoff date is march 22 because that is the day before reports first began to surface about this deal potentially happening. betty: version group founder richard branson spoke to us earlier on bloomberg on skype aboard his virgin plane. is on alaska's clientele. last nine years, we have been voted freshest airline in the state. there done a great job. therefore, we attract tech people who want to be flown in a slightly more hit airline than our competitors. betty: that is right. that is the thing about virgi

like alaska over a barrel. ben tracy reports the nation's tallest state is in a $4 billion hole. >> reporter: alaska is known for peaks that reach for the sky, but right now, the state has a mountain-sized hole to fill. >> we need to fix alaska. we need to do it now. >> reporter: bill walker is alaska's governor. if you closed every public school and jail in this state, would it fill the hole? >> no. >> reporter: if you laid off every state employee, would it fill the hole? >> no. >> reporter: the problem is oil. the price per barrel has fallen off a cliff from a high of $107 in 2014 to as low as $26 earlier this year. oil and gas revenue funds up to 90% of state spending. the money pays for every bridge, road, and school. >> we had this roller coaster of an economy because we hooked our horses to one commodity-- oil-- and we rode it up and down. >> reporter: is this the day >> this is the day of wreckology. >> reporter: walker wants state lawmakers to impose alaska's first income tax in 35 years and cut the an

the crude reality of alaska's oil bust. ben tracy, cbs news, juneau. >> pelley: coming up, teenagers take selfies to a dangerous level. and americans line up for medical charity despite obamacare, when the cbs evening news continues. you've finally earned enough reward miles on your airline credit card. now you just book a seat, right? not quite. sometimes those seats are out of reach, costing an outrageous number of miles. it's time to switch... to the capital one venture card. unlimited double miles on every purchase, every day. and when you're ready to travel, just book the flight you want, on any airline and use your miles to cover the cost. now that's more like it. what's in your wallet? you're down with crestor. alright! now there's a way you can get crestor for $3. adding crestor, along with diet, lowers bad cholesterol. crestor is not for people with liver disease, or women who are nursing,pregnant, or may become pregnant. tell your doctor all medicines you take. call your doctor if you have muscle pain or weakness;

have never flown and alaska air line before. who fly in and out of jfk or laguardia don't really recognize or no alaska air. the big four players in the united states are delta, southwest, united, american. they had 80% of the market share in this country. alaska's trying to maintain the number five spot. that also, they are pushing a bit against delta, who has made life hard on alaska airlines last couple of years. mark: can they really compete with the big four? in the virgin alaska combined entity compete with those four? jeff: they can try and cement themselves as number five. they want to be the preeminent west coast flyer. they're going to have more flights in and out of san francisco, more flights in and out of los angeles. they're based in seattle, they're going to do with they can to support or build up their reputation on the west coast. betty: what happens to jetblue? jeff: there aren't a lot of airlines out there. that's part of why alaska airlines is playing -- paying so much. you don't see that much, maybe in the p

across the rest of the country. 43 are in alaska. many of these locations again are only, only accessible by air. as with little diomede, you don't have a road n. you don't have a -- road in. you don't have a road out. it truly does make the word "essential" or the phrase "essential air service" truly have meaning. another community that you have heard me speak about at great length and in fact we're going to be having a hearing focused on king cove, alaska. king cove is a community that is just at the beginning of the aleutian chain. and this is a community that again no road access in or out, accessible only by plane. it is an area that suffers from some very difficult weather conditions because of where it sits on the peninsula. the mountains, the ocean, the dynamics are such that it doesn't allow their small airport to be open for about one-third of the year. so think about that. getting goods in and out, getting people in and out, getting to safety if there is a medical emergency. and there is a small air strip there in king cov

also, questions about alaska air, people thought alaska air was a takeover target by delta.oes this make them more likely to get bought out or less. nonetheless, we'll talk about those issues. it's a $57 a share deal. in the meantime, things keep getting worse for bill ackman. the billionaire investor, pershing square lost 7% last month. and continuing to tumble after cutting its financial forecast. that firm also said it could face a default if it fails to file its annual report by the end of this month. that leaves pershing square with a 25% loss for the year according to reports. listen up, business travelers, a fire overnight at newark's liberty airport forced an evacuation of terminal "b." it rekindled a short time later and forced a second evacuation. it's unclear whether it will be ventilated in time for the morning rush this a.m. >> that's close to home. >> it is close to home. >> so is the amtrak in philly running into -- >> somehow, on the tracks -- >> people in the back -- >> well, amtrak has a 20-point plan, any time something goes wrong with the tracks. those 20

tonight we take you to one of the biggest oil states of them all, alaska. all that and more tonight on nig"nightly business " for thursday, >>> good evening and welcome. two of the most widely held, if not the most widely held, stocks -- microsoft and google's parent alphabit -- came out with quarterly results after the bell and investors were not pleased. let start with dow component microsoft. the world's largest software company in the middle of a transition to become more of a cloud company missed on its latest earnings report. microsoft earned 62 cents a share, 2 cents shy of estimates. revenue was essentially in line at a shade over $22 billion. shares initially fell more than 3% after the release. dierdre bosa is in redmond, washington, with the thing investors should focus on. >> reporter: for microsoft it's all about the rising cloud which has helped transition the company into a new era of technology faster than many had anticipated. but while cloud business is booming, it may not be enough to make up for a declining pc market which hit microsoft'

if i'm an investor with alaska, and i look at that price tag 2.6 billion, did alaska overpay for virgin? >> well, the good news about the payment, as they stopped other people from putting in a bed. there was speculation that jetblue wanted to put a bid in also. alaska put in such a high bed because i wanted they wanted to scare off and stop a bidding war. only 25% of all mergers and acquisitions achieve their financial objectives. if i was in alaska airlines and shareholder, yes sir, i would be worried >> let's talk about passengers, what does this mean for people who fly the combined airline, i read, will have 1200 daily departures, aircraft hubs in seattle, san francisco, los angeles, alaska and portland, oregon. to me, if you crunching the numbers of sounds like good news for passengers? >> not so good news for passengers. there will be more service, that is true. but the problem here is both alaska and virgin america were very, very good airlines. both had very good reputations. virgin america kind of hip, a loss got kind of friendly. that is going to give. the problem with mergers

bill walker is alaska's governor. if you closed every public school and jail in the state would it fill the hole? >> no. >> reporter: if you laid off every state employee would it fill the hole? >> no. off a cliff from high of $107 in 2014 to low as $26 earlier this year. oil and gas revenue fund up to 90% of state spending. the money pays for every bridge, road and school. >> we had this roller coaster of an economy because we hooked our horses to one commodity, oil, and we rode it up and down. >> reporter: is this the day of reckoning? >> it is. >> reporter: walker wants state lawmakers to impose alaska's first income tax in 35 years. and cut the annual check each resident gets for their share of oil revenue. oil companies would pay more too. >> taxes go up. credits go down. less production. >> cara represents alaska's oil and gas companies and says they will be forced to further cut production and jobs. last year there were 19 working oil rigs in alaska to. day there are 10. >> when we fail, the state at a time whe

alaska airlines fell nearly 4%. trading was heavy in both companies. >>> in wisconsin, they are predicting the highest voter turnout in decades. joe with the latest from the campaign trail. >> reporter: after a rough week for donald trump's campaign, the billionaire businessman is hoping to turn things around, campaigning with his wife today in wisconsin. she stepped up visibility coming in the wake of controversial comments on women being punished for aborting. >> usually, in all cases, they hit me first. i hit back harder. >> reporter: cruz was saying his focus was on the american people. >> i'm not paying attention to his latest tweets, to his latest noise. >> reporter: the loss in the badger state could make reaching 137 delegates before the gop convention very difficult. >>> meanwhile, bernie sanders is leading hillary clinton in wisconsin and closing the gap in her home state of new york where he's been challenging her to debate before april 19th. the clinton campaign agreeing to two possible debate dates, one

alaska air was interested in virgin america and virgin shares hit high and alaska air topped jetbluen in cash for virgin america. at a fox news town hall presidential candidate donald trump said he would keep an eye on mergers. >> well, i don't like a lot of the mergers that i'm seeing and you could end up with one big-fat airlines. that might be not the republican thing to say but if we don't have competition to keep competition, we are going to have a lot of problems in the country. nicole: virgin america will get likely close look from regulators. cheryl: solar company sunedison facing financial troubles. details from our own adam shapiro. >> largest global renewable energy development company in the world, but it's teetering on the edge of bankruptcy and now it's the target of a department of justice investigation. in documents filed with sec, sunedison received subpoena seeking infmation about financing activities regarding the failed $2.2 billion bid to buy vibrant solar. doj also wants information on sunedison employealed to have -- this is a quote, committed wrong doing in co

cheaper crude hitting the economy of alaska. scott? >> it is a challenge both from the economic standpoint and an engineering standpoint that also comes back to the economics of it. i will tell you how they are trying to get the alaska pipeline to work as we are live in juneau, when the "halftime report" continues. >>> i like zuckerberg, because he takes risks. >> real money. >> real rates. >> it was a modestly higher beginning. >> and the most profitable hour of the day. >> don't be surprised if it moves 5% the other way, because that is what is happening for a while. they found out who's been hacking into our network.

. >>> alaska air is buying virgin america for $2.6 billion and creating the fifth largest air carrier in the nation. the deal was announced today, when you add up all the financials, it is worth an estimated for billion dollars. virgin america launch back in 2007, and is headquartered in burlingame, has grown rapidly and posted strong profits. $191million in just the last quarter. alaska air was reported to be in a bidding war with jetblue to buy virgin making the merger the latest in a series of airline consolidations >> why sell the company that is doing so well? what is that me for passengers. with us now mitchell marks professor of leadership at the college of business on the author of joining forces, making one plus one equals three. in mergers and acquisitions. mitchell, thank you for being with us today. >> very happy to be here with you >> let's start without why would such a successful company sell itself? why this merger? >> the short answer is the almighty dollar. virgin was doing very well,

alaska is trying to break into that especially delta has been a big problem for alaska air lines, crowdinguper areas. stephanie: what do we know about alaska airlines? >> they are not that well known on the east coast them then they get access to laguardia and jfk which is a big reason so they can become better known in the important areas for airlines. >> that's a big premium to pay for an airline. is that deal specific or is there the potential this is symptomatic of low rates and cheap money and we could see bigger premiums as the year goes by? >> i think it's about scarcity value. there are not a lot of other airlines to borrow -- to buy. people.d to the jetblue there was zero chance they would come back with this kind of premium. david: let's turn to not the big deal. the french telecom company .range has ended talks telecom shares have sunk this morning. the orange ceo took to twitter saying -- jardoland was the codename for the deal? >> i asked why this called apart and they said it's too french. the french government had a huge stake in orange. of bouygues wanted specific things in

we thought the alaska plan was a good plan. it was about establishing a power house on the west coast that would have strong presences in seattle, san francisco and l.a. we like that and they came in with a very strong offer. >> shares of virgin america soared more than 41% to 5511. alaska air fell nearly 4% to 78.92. jet blue shares down 4% to 20.41. investment research firm downgradesed general electric over concerns of valuation and risk of competition. shares fell 2% to 31.23. network service provider will buy rutcus. they create wireless internet system. yahoo attracts more bidders. media coming time ink is exploring the possibility of partnering with a private equity firm. yahoo is reported to be in talks with the japanese company soft bank about a potential sale. they own part of yahoo japan. shares of yahoo up more than a% to 37.02. >>> tesla orders for its new model are still rolling in. ceo tweeted over the weekend that the company has received 276,000 preorders for the new model three. the car isn't expected to hit s

alaska air wins and they will buy virgin america.l sorts of symbolism for the west coast out of san francisco, out of seattle. they will combine their frequent flyer miles and all that. this really says something about the recovery of the airline business, the recovery -- david kush has done miracles with virgin america over the years -- keeping it going through thick and thin, demanding excellence and an upscale kind of thing. here we go with a merger. caroline: it looked to be in official. vonnie: $4 billion is the price tag. jetblue was hoping to win out, so it is interesting that alaska is the one. tom: 27% revenue pop off this merger. that is really something. i must admit. that is really something. let me do a data check. equities, bonds, currencies, commodities. i want to get through this quickly. oil cannot find a bid. onto to the next screen, please. , that better than good stock market. the yen is stronger this morning. caroline: the stoxx 600 is holding onto gains. we lost 2% yesterday. 0.8% higher. no good coming from the

alaska airlines doesn't help it, when it's trying to be a national carrier. surprise me if the new carrier emerges as virgin america. >> reporter: alaska is strong on the west coast. virgin is a strong going across country. the merger gives these two leading carriers the opportunity for the new airline to develop a much larger route map. but that is going to take a lot of people. >> given what's happening in the airline industry i would be very surprised if we saw many layoffs. the industry is doing well. if anything there's a lot of pressure to expand capacity because oil prices are low and they are making a lot of money. >> reporter: the merger requires approval by uncle sam, approval most think will be forthcoming. tom vacar, ktvu fox 2 news. >>> outside our doors this afternoon, nice, dry, mild weather. we are going to see a turn, temperatures expected to spike into tuesday with record- breaking heat a possibility by wednesday. a look at the afternoon highs, felt around the region this afternoon, 61 in pacifica, mid 60s san francisco's, 76 in concord, ant

alaska airlines fell nearly 4%.. >>> a flight to honolulu had to turn around today because of strong head winds. united said the captain turned around because the plane experienced what's called fuel overburn. it burned more fuel than expected and didn't have enough fuel to make it. the passengers were put up for the night and put on a flight that left for honolulu this morning. >>> a fire at the football field at the snack shack. this was at a santa clara high school. firefighters responded quickly, and the inquire was out around 1:30. everyone was back inside later. >>> they recorded a train traveling from new york city to savannah, georgia, when it slammed into a construction backhoe. two amtrak employees were killed. dozens of people on the train were injured. the ntsb is now heading up that investigation. >>> as of now, we have covered the event data recorder. the forward-facing video and inward video has been sent to our laboratories. >> they are trying to figure out why that backhoe was operating on active tr

but we have, as you know, in alaska, difficulties with broadband access in the first place. so we are not sitting in the same place as nebraska, or iowa, or wherever. we have some very real challenges and i think we saw that as it started to play out. so i would again urge you, look critically at the situation in alaska, because it certainly does not appear to me that these are technical glitches that need to be worked there. >> i can assure you, we are taking the same approach we took in nevada and there have been some other incidents over the years with states. one distinction is that nevada made a variety of efforts to ensure where it was possible to administer the assessment, they did so. again, we are talking with dr. mccolly in making sure we have a thoughtful approach going forward. >> if you could make sure my office is looped in to that as well. thank you, mr. chairman. >> thank you. >> thank you, mr. chairman. i just came from the energy committee senator murkowski is chair of. we talked about workforce development and that brings us to s.t.e.m. i want to discuss t

alaska airlines outbid rival jetblue in a war.ll expand alaska's presence in a big way in california. particularly in san francisco and los angeles. the deal is expected to chose by john of next year. >> virgin america was on the top of list of best airlines 49th career in a row according to the equality rating and jetblue was second and then delta, and hawaiians and then alaska on performance, baggage handling and consumer complaints. >> baby bear in poll lend had a first checkup. it was in bad shape found alone and hungry in the woods and the vets say it is put under a microscope, we can see all the bacteria that still exists. polident's unique micro clean formula works in just 3 minutes, killing 99.99% of odor causing bacteria. for a cleaner, fresher, brighter denture every day. >> coming up at 4:00, help for people with high cholesterol, a new solution for a drug people have complained about. the vice president's plan to cure cancer at 5:00, the bay area scientists just tapped to lead the way. >> now, a brown bear found alone

alaska. >> reporter: and gilson said alaska airlines paid an 83% premium on virgin shares based on where the market had it priced. this merger was about business and the fact that airlines really can't survive on their own today. consider this, when richard branson founded virgin america back in '07, there were nine major airlines. today there are four. this transaction was kind of inevitable. for reality check, i'm sam brock. back to you. >>> and we want to have more on that breaking news out of san francisco that we have been following. we're going to get to that in just a moment as we gather details, but we want to go back out to meteorologist anthony slaughter. you said earlier, perfect weather, if you do say so yourself. >> yes, i would say so. this is beautiful. we're talking about winds that are light, there's a nice breeze out here. you've got some sunshine, you've got some clouds and you've got the giants, come on, it doesn't get any better than this. they have been doing some practice warmup, some pitching, some stretching. about an arm's length between me and angel pagan. the

alaska came in fifth.the quirky fun image virgin america shaped for itself, like this tweet today showing the "s" of the giants cap on the plane. i asked twitter followers if they have a message for alaska. hire are a few comments. one says "don't change the wonderfulness that is virgin america." and steven urges "we cannot lose the purple lights." alaska says for now nothing changes during the transition. the deal is expected to close next january. dan, ama? >> okay, kristen, thank you. >>> manufacturing issues cause ed tesla to slow down model x production in the first quarter. the palo alto company says supplier shortages impacted delivery target and the dethand for the new tesla 3 keeps growing, however. elon musk announced worldwide orders hit 267,000 over the weekend. he tweeted that even he was surprised by the high demand. analysts warned the company may have to raise more cash to send its new electric car to its buyers by the projected date. >>> it is opening day for the oakland a's. this is video

. >>> virgin america and alaska airlines, big news. what this merger will mean. >>> and he may be little but he's fast. ==im===racu= i owrdon'tomeorwd. i deadcoli >>> happening now, a u.s. student missing in siberia since last week has been found dead. colin madsen was studying in russia for the past three years. investigators are still trying to piece together the details. the story on our website, nbcbayarea.com. >>> also on our twitter feed, a sign of the times. a stoo study finds silicon valley workers find more stability in their jobs instead of high salaries. >>> the most talked about chihuahua in town, he's still unclaimed. the pooch that led police on a bridge is still waiting for its owner to come forward. here's the viral video of the chihuahua as it printed along the bay bridge the in the morning. chp officers stopped all traffic for about 30 minutes until the pup was finally safe. pretty classic video there. the dog had a collar on but no identifying tags. he's been given the name paunch, after the officer frank pauncharell

alaska air group looking to buy virgin airline worth more than $2 billion. brianne carter has details for us. brianne: the deal complains them to create the fifth largest airline in the u.s.. under the deal, alaska airlines would have daily departure with expanded presence in california, new york and d.c. the deal is expected to give alaska airlines more gate space at the reagan national airport and create additional regional flights in the area. the combined airline is expected to focus on customer service and low fares. jim lee flies both frequently and thinks it's a plus for the passengers. >> i was surprised when they made the sale. on the west coast, alaska is a good, efficient airline. i'm like well, this is great. brianne: the deal has been approved by the board of both airlines it's not expected to be completed until next year. once completed virgin america loyalty members will roll in to alaska airlines milal plan. reporting live, brianne carter, abc7 news. jonathan: thanks. four of the nationals racing presidents were at the airport to help greet f

>> republicans in alaska are meeting to decide what to do with rubio's delegates.p five after suspending the campaign. the florida senator asked to hold on to them? dan springer joins us live from fairbanks to explain the ins and outs of all of that. >> it means a fight over delegates and five rubio delegates and it is an odd alaska rule that could give them to donald trump even though he lost back in march. it was a close vote. cruz 37 and trump 34. and rubio at 15 percent. the delegate count was 12, 11, and 5. but senator rubio suspended his campaign. when a candidate drops out, the vote is recalibrated. and doing that math, trump gets three and cruz two. for a 12- 12 delegate tie. >> it is 3, 4, up to five. it is exciting for the people of alaska to understand that we are going to influence the nominee of the republican party. >>> but marco rubio is trying to keep his delegates and challenging the alaska rule saying technically he suspended his campaign and didn't dropout. meanwhile, ted cruz who won these delegate. supports it. and now they want the alaska gop

and it causes gnashing of the teeth for the industry. >> they're using the alaska name, not the virgin america name. >>> you don't want to fly anywhere right now because the weather is spectacular right where we are. >> right where we are. with baseball back, spencer christian with the latest details from accuweather's forecast. it's nice. >> it is nice, christkristen an you're right. it's going to get hot by midweek. here's a look at live doppler 7 hd under blue skies. you can see on the radar image just how clear bay area skies are at this moment. check out the 24 hour temperature change. it is 7 degrees warmer right now in san francisco, napa, and palo alto than this hour yesterday. 6 degrees warmer over at oakland. 5 degrees warmer at concord. you get the picture. all around the bay area. you can see evidence of this warmup. here's the view looking out over san francisco, under blue skies. currently 64 here in the city. 67 across the bay in oakland. 69 at mountain view and san jose. morgan hill, 71. cool 57, kehltirelatively cool f moon bay. this is the view from emeryville, the go

alaska. >> reporter: and gilson said alaska airlines paid an 83% premium on virgin shares based on wheremerger was about business and the fact that airlines really can't survive on their own today. consider this. when richard branson founded virgin america back in '07, there were nine major airlines. today there are four. this transaction was kind of inevitable. for reality check, i'm sam brock. back to you. >> so interesting. well, you can watch sam, laura, kari and mike on our morning newscast at 4:30 a.m. a great way to start your morning. >>> up next, time to say goodbye to el nino. but did it live up to the hype? the experts weigh in and give us a look at what's to come. >>> not even the mayor gets special treatment. the reason san francisco police pulled over mayor ed lee. co sasanranscoayoed lewascti su >>> cops say san francisco mayor ed lee was acting suspiciously so they pulled him over. it was a big misunderstanding. the mayor wasn't driving. an undercover san francisco police officer was driving. mayor lee was on a ride along of sorts, personally observing the police response

so i would ask that you look at the situation with alaska. and again, give me the assurance that the department and your assistant secretary designate whalen and the department as a whole conduct the same thorough and fair and responsible review of the alaska situation just as you did with nevada. and give alaska the opportunity to provide all data and to answer all questions in writing before you make any final decision as to whether requiring them to conduct assessment or if for bid, you should think that any form of penalty might be appropriate. this is -- this is a situation, again, where you had a very unfortunate issue in kansas with a backhoe taking out the cable there. but we have, as you know, in alaska, difficulties with broadband access in the first place. so we are not sitting in the same place as nebraska or iowa or wherever. we have some very real challenges. and i think we saw that as it started to play out. so i would again urge you look critically at the situation in alaska. because it certainly does not appear to me that the

king: very concerned about administration has gone on in alaska. we have been in touch with folks at the university of kansas, the that alaska selected to get at the issues. we have had issues in past issues around technical glitches. the key thing has been states and vendors have worked together to resolve those as best they can and to ensure that we have an assessment system that provides the information to parents and teachers each year about student performance. we will continue to work with dr. macauley and the university of kansas. murkowski: i would not disagree that you need to work through technical glitches, and if i thought these were just technical glitches, i might not be so insistent that we have some degree of discretion from you at the department that says this did not work this year. it has materially impacted the validity of this year's assessments. i know that you have had prior situations specifically with the state of nevada. statepartment allow the to cancel that test without penalty. i am told they just received conversation

jetblue could still outbid alaska and block the purchase. virgin is based in burlingame and pi flies to 23 aways in the u.s. and mexico. >>> still ahead at 6:00. the instagram post that could get actor leonardo di caprio beganned from a country. >>> space travel on the cheap. how rocket launch today could help bring everyday people to the edge of space. >>> indonesia threatened to ban actor leonardo di caprio after he expressed concerns about animals. here's a post that a top immigration official comment on. di caprio complained about the expansion of payment oil industry pushing orangutans toward extinction. di caprio could be blacklisted. >>> the amazon founder says he has successfully launched and relanded a reusable rocket for the first time in five months. the rocket took off from west texas this morning. this is video from a previous landing. they hope to use the rocket to carry passengers for space tourist and each rocket lasting through 100 launches. space ex is working on a similar project, although the falcon 9 goes farther and fas

alaska valued at more than $10 billion. a dealt could be finalized as early as tonight. >>> atm skimming has become a $2 billion a year industry and growing. >> reporter: card and pin skimming was up 174% during the first few months of 2015 in comparison to the same period in 2014. skimming is getting more sophisticated and it's a growing problem. >> reporter: crooks are robbing banks around the world with no masks. and a, m skimming now costing the global economy $2 billion a year according to the atm industry association. organized thieves placing cared readers on at-- card readers on atm's. the entering of pin codes are recorded by small cameras. and the bad guys recreate their own cards using stolen store gift cards. they're also targeting gas pumps. >> it's easier to tamper with the covers of these gas pumps. so even with an atm, you may be able to see a skimmer, something out of the ordinary w. a gas pump, once you put the cover on, there's no evidence that anything is happening. >> reporter: the largest scheme uncove

that said, alaska air has been one of the better performers. it could send alaska down. hold off to buy alaska. let's see what happens. the airlines are also in a personal purgatory just like retailers. the two biggest beneficiaries of lower oil. oh, well. i want to be negative. i really do. i wake up and say i want to be less positive. but the stocks themselves are getting in my way. they refuse to stay down. maybe, just maybe, it's not the end of the world. one of wall street's biggest tech games. can the company formally known as google return to rally? i found something in the charts that could fuel the answer. and the fuel sector. and starbucks got its head slammed today. could it spell more trouble to come for the triple vente. >> don't miss a second of "mad money". follow jim cramer on twitter. tweet cramer, #madtweets. or madmoney @cnbc.com. or give us a call at 1-800-743-cnbc. miss something? head to madmoney @cnbc.com. >>> the big internet stocks have been roaring lately. at this point, you've got to be wondering did it move in the facebook. the artist formerly

liz: here's the question, jetblue or alaska air? confirming today it will buy virgin america for $2.6 billion. >> remember, we were laying odds, i was laying odds based on the bankers who would win. they knew it was coming today, they didn't know which one was, essentially, going to buy. so what they were doing was laying on. the odds were on jetblue for a lot of reasons; economies of scare, the same type of aircraft. they went down the line why they thought that jetblue would sort of, that virgin america would pick them. but when it came down to it, as it often does, was price. and apparently, you know, the word that jetblue had the superior bid was probably friday morning. by friday night virgin atlantic -- excuse me, alaska air came in with what was a price that, from what we understand, jetblue said -- liz: i think people don't even realize -- >> it's cheaper to build out than go there. liz: virgin america launched the same year that fox business launched. we had them on. they were the young start-up. look at this, 2.6 billion.

jetblue could still outbid alaska and block the purchase. virgin is based in burlingame and pi flies to 23 aways in the u.s. and mexico. >>> still ahead at 6:00. the instagram post that could get actor leonardo di caprio beganned from a country. >>> space travel on the cheap. how rocket launch today could help bring everyday people to the edge of space. phil sanders, timely bible lesson the lord's way. churches of christ in the area, have you visit and worship assemblies. i hope you will. we love you. in search of the lord's way. >>> indonesia threatened to ban actor leonardo di caprio after he expressed concerns about animals. here's a post that a top immigration official comment on. di caprio complained about the expansion of payment oil industry pushing orangutans toward extinction. di caprio cou be blacklisted. >>> the amazon founder says he has successfully launched and relanded a reusable rocket for the first time in five months. the rocket took off from west texas this morning. this is video from a previous landing. they hope to use t

over at alaska it is not exactly exciting. somehow these two worlds are going to emerge as a new airline odd couple. >> in terms of personalities it will be an interesting mix. it is sort of like putting together ibm and apple. >> reporter: chris is the editor of travel skills.com but -- blog. >> apple kind of the young and hip and ibm being the more staid an older established player which is alaska airlines. >> reporter: the merger will create the fifth-largest airline in the united states and may take up to two years to complete. travelers hope the virgin america culture does not disappear. >> it seems less kind of hip. >> reporter: it's his first time on virgin america. she uses of a lot. >> it seems like they care and take into consideration's and they were one of the first airlines that i flew that had wi-fi on all the planes. >> reporter: besides style virgin america brought low fares to several routes including denver and hawaii. >> overall for bay area travelers we will see fares increase which is an unfortunate byprod

alaska airline which operates alaska airlines is expected to pay about $2 billion in the deal. jetblue is also reportedly trying to acquire the airline. virgin america owned by famed entrepreneur richard branson has a dedicated following in the silicon valley. it's known for its mood lighting in the cabin and sophisticated in-flight entertainment. virgin america launched in 2007. >>> the demand is skyrocketing, tesla ceo elon musk announced this morning that more than 250,000 people have preordered the tesla model 3 electric car in less than 48 hours. all around the world on thursday people waited in line for hours to hand over $1,000 deposit for a reservation. that was before tesla unveiled what the car would look like. the most basic version of the model 3 starts at $35,000. it won't start shipping until late next year. >>> still to come at 5:00, searching for a match. people gather in the east bay to help a high school football player in the fight of his life. >>> plus -- >> right now you're looking live at san francisco where the low clouds surging inland setting us up for

parent company of alaska airlines announce dag it's buying virgin america.will pay up in a deal worth more than $2 billion and if the deal passes regulations it would make alaska air the fifth largest airline in the united states in terms of passenger traffic. alaska says the deal is expected to close no later than january 2nd, 2017. >>> well have you bought any vanilla ice cream lately accident the price may have zen a chill down your spine. according to the website munchies the price of vanilla ice cream has double in the last month because madagascar had poor vanilla harvest last year. some manufacturers are using synthetic alternatives to try to get that vanilla taste. >>> mcdonald's in japan about to super size one of its burgers big time. take look. this is the gig good big mac looking at four beef patz. 2.8 times more meat than regular big mac. mcdonald's locations in japan will roll out bigger side items and soft drinks as well. the burger is going to go on sale for limited time on wednesday then disappears at the end of the month. >>> see that blank

to alaska. when marco rubio suspended his campaign following his loss in florida, the fight began for his 171 delegates. the five of five delegates rubio won in alaska will be decided today. part of a delegate process where donald trump has often been out-maneuvered, leading to charges of a conspiracy and a defense of the system. >> because of me everyone sees that the republican primary system is totally rigged and broken. >> we have a system. our framers entrusted the states to make these determination. >> a quirky rule may help trump. when a candidate who earns delegates drop out. the state is recalibrated and because delegates are based on results of districts. three delegates would go to trump and two to cruz. >> delegate two, three, four or up to five. i think it's exciting for the people of alaska to understand that we're going to have an influence on who is the nominee of the republican party. >> but marco rubio wants influence, too. and is positioning to keep his state delegates from tr

if they can maintain that, i will be happy. >> i hope that alaska will take on the aspects of virgin that so many people like and maybe not virgin take on the things about conventional airlines that people don't like as much. >> when we schedule our next trip, we look into who would be the best airline to take now that virgin isn't available. >> reporter: what this does is give alaska more california connections, especially here in silicon valley. just how many flights will come in and out of the bay area is unclear. those details won't come out until they were completely combined, a year out. the pilots,in-flight attendants, maintenance technicians, all their jobs are secure, they are safe. what is unclear is what happens to those who work at the burlingame headquarters because alaska is keeping its headquarters in seattle, so it appears that those employees don't have that job security. also keep in mind that mega mergers in the last ten years or so have cut major key players in the u.s. airline industry to just four, controlling more than 80% of the market. so there are definitely

alaska air, which operates alaska airlines, is expected to pay around $2 billion in the deal. jet blue is also reportedly trying to acquire the airline. virgin america, owned by famed entrepreneur richard branson, has a dedicated following in silicon valley known for its mood lighting in the cabin and sophisticated in-flight entertainment. virgin america launched in 2007. >>> a live look at the golden gate bridge. crews are reconfiguring lanes ahead of tomorrow's rock 'n' roll half marathon. the work started a few minutes ago. you can see a slight change in the traffic pattern. seems kind of scant in some of the lanes. three lanes will be devoted to the runners while the remaining three will remain open to traffic. be careful out there. the crews plan to have everything back to normal by 10:00 tomorrow morning. >>> meteorologist rob mayeda joining us now. we've got spring, we've got summer, winner, we've got it all. >> over the next seven days we'll see all three aspects of those seasons. right now we're seeing some low clouds, kind of a cool evening around san francisco. 52 d