audi audi on you. here's the latest on the art simple in the us on the heels of the massive snowstorm it or parts of the country are bracing for a life threatening cold way that is forecast to send temperatures plummeting to lowest in twenty years. connelly has more. after being hit by a blizzard at the start of the new year people in the midwest and northeast united states are now bracing for another blast of dangerous wintry weather this time of record breaking one. the weather service one sunday and much of the us will see temperatures that will be the cool kids on record and almost twenty years in a statement the service said that it may feel as cool that make it fifty two minutes sixty degrees fahrenheit with ash minus forty five minus fifty one celsius on sunday night oprah sections of the north central states. under these conditions for kids to warrant that frostbite can occur on exposed skin within five minutes. the freezing cold temperatures are the result of what's called a pool or for tax an

we have seen announcementments from google and audi, which audi is going to be the new marketplace forroid apps in their dash. and a fuel cell vehicle. so this has almost become an auto show in a sense. they are trying to get in on the game in the way that the electronics industries used to. >> thank you very much, jacob. >>> for many the american dream includes a job that pays the bills and provides a car. but there is now a widening wealth gap. >> reporter: this is the america that u.s. poll fissions like to talk about. >> the wealthiest nation on earth. >> reporter: but 50 years ago then president lyndon johnson has a different perspective when he declared a war on poverty. >> we shall not rest until that war is won. [ applause ] >> the richest nation on earth can afford to win it. >> reporter: that was five decades ago when 19% of the nation lived in public defender's officerty, but then the war was working, the rates started to fall, down to just about 11% in 1973, but since then it has climbed now back to 15% of the population. that translates into 46.5 million people who struggl

audi. audi is the biggest seller of luxury cars in the chinese market. they have been doing extremely .ell because of the a3 compact also, porsche doing well with sedans selling well. the question is going to be just in well their new suv sales the chinese market in 2014. they have a lot on that one as well. >> things, david. >> coming up, men's fashion week goes to milan. caroline hyde has the scoop. caroline. >> we are speaking to many a chief executive over there. now it is all about the autumn and winter for 2014 in milan. firm, asto montclair, well. -- ferragamo as well. ia, a men's suits company. that company saying, the chinese buyer still isn't spending as much. they are concerned about their sales for the first half of the year. we are also talking about share sales. we know that montclair came to the market selling shares last year. for such a still looking -- versace still looking to sell its stake. >> coming up, we have more from our exclusive coverage of the goldman sachs strategy conference in london with an interview with chief strategist peter oppenheimer. that is next. ♪ >> time for today's company news. alcatel lucent in talks to sell its enterprise business according to people familiar with the matter. the unit cell telecommunications equipment and services. it has attracted interest from potential buyers including siemens and a chinese investor. general can outsold motors in china -- volkswagen outsold general motors in china. this gives them a lead among foreign art a makers in the world's a guest car market. mercedes-benz is adding touchpad technology pioneered by the ipad to see class sedans. new features include an ipad- like display, a 360 degree camera and sensors to enhance systems. the carmaker unveiled the overhaul of its bestseller at the international auto show in detroit. welcome to "countdown." >> it is 7:15 here in london. for the developed market recovery according to goldman sachs. being hosted by goldman sachs this morning at their global strategy conference in london. bloomberg has exclusive access. manus, over to you. >> thank you. let's get right to peter oppenheimer. before he goes into meet and greet the investors. right to have you with us this morning. the world has moved. you are with us about a month ago and we are in taper mode. the ecb sounded pretty supportive the other day. has your thinking changed? you're broadly bullish on equities even though we are in taper mode. >> the fact that we are in taper mode and that uncertainty surrounding the issue in some ways is helpful. is that the central banks are still very accommodative in their language. we think they will be in their actions. that should become mind with a cyclical recovery in the global economy. should be pretty positive for risky assets and equities where our major overweight are. >> its talk about friday's report. everything i read over the weekend is that it is an anomaly. what would it take to set the fed a little more alarmist mode and backtrack on this taper mode? >> i think a lot of it really revolves around the parameters that they said. of course the unemployment number has come down again and is getting closer to the threshold. recovery, a stronger and unemployment came to more quickly, it could be that investors started to question the ability to keep rates on hold. >> a lot of strategies still predicate around that. out of 2016 in terms of rates being low. i love the peace. it is a long goodbye. we are now into the growth phase of this. define that for me. tell me what can i achieve as an equity investor around here in the u.k.? what can i achieve this year relative to last year? >> the longer by argument was predicated initially on the fact that risk premiums were so high in equities and so low in fixed income that you were being rewarded for taking risks a couple of years ago. valuations have moved a lot. valuation as a driver of returns is much less likely. our view is that we are transitioning from a typical hoped raven valuation phase which weekend to get at the beginning of a bull market into ofore sustainable phase fundamental profit and dividend growth. that is what should drive the returns. they may be a little lower this year but still positive. >> i like the piece on dividends. elated out that we had the banks join back. we were held back on that side versus the u.s.. or is a little bit of a shift in thinking. tell me the industries that could benefit this area -- benefit from this. >> it is worth mentioning that u.s. dividends have gone up by about 55% since 2010 and have been flat in europe he cause of problems in banks, you telecoms and utilities. we think the dividend pressures are total -- bottoming out. we should get reasonable growth across most sectors. our focus is on the companies that have strong enough balance sheets and cash flow to generate higher dividends. we think investors will be rewarded there. >> that punch through a few of these. call, overweight versus neutral. you can't buy every european in terms of that. >> last year was really two halves of the banks. the banks had outperformed a little bit. most of it was driven by the periphery as risk premium came down and the previously on intestinal was seen as an opportunity. vestable became an opportunity. be less focused purely on the periphery. >> i have to get to your underweight. cyclicals, chemicals and industrials. you question the validity of china. they have their. they have done their spending. perhaps we should review where we are. >> i think it is worth emphasizing that we generally like cyclical companies. that is true not just in europe but in other regions as well. we think investors have undervalued cyclical earnings growth because uncertainty has been high. the exceptions for us are industrial companies and commodity related companies where we think and markets are flowing in a secular way. although we are positive encyclicals, less so on industrials and commodity related companies. >> great to have you with me this morning. though face the whites of the eyes of your institutional clients. i hope you have a great day. see you later on. peter oppenheimer, chief global strategist here. we have a cracking day for you at goldman's hq. up next, japan and kathy matsui. what is her view on women in the abenomics? back to you in the studio. >> thank you very much. up, what was this lantern doing in singapore? we will find out after the break. ♪ ." welcome back to "countdown i am anna edwards. it is time for "hotshots." it takes guts to drive off of acapulco's most famous cliff. it may take even more guts to climb them. they spent hours scaling the 35 meter cliff, picking up rubbish and by tourists. that sounds like risky business. purple grapes and luscious vine leaves are in abundance here. these grapes are growing in israel. hasdding wine group developed here. a 10 meter horse shaped lantern was paraded through singapore's chinatown. the celebration included colorful displays and was part of the official opening ceremony for the upcoming chinese new year which commences the year of the horse on january 31. mark, back to you. >> last night's golden globe awards proved a big night for american dramas. from the amc tv series breaking the two films like american hustle and 12 years a slave. our news correspondent joins us on the phone from los angeles. good morning to you. i suppose the awards were fairly balanced. it was evenly split. you probably have to say that "american hustle" came out the big winner of the night. >> definitely. "american hustle" upon the most awards when it comes to the golden globes. it is thanks to the leading ladies. you have jennifer lawrence who has won back-to-back golden globes now. won an award for best actress. of course, it won best picture. the other big winner and i know you are a huge fan is "breaking bad." it has never won a golden globe for the television series or for bryan cranston. the lead actor took home his first golden globe as playing walter white. the series won best tv series drama. it was a big night for "breaking bad." >> it has left a massive hole in my life. how did tina fey and amy poehler do? i know they were popular last year. >> they were very popular last year and so far the reviews are coming in that they did a fantastic job again. that wee some times have seen ricky german ace host and we -- some felt he was too harsh on hollywood. tina fey and amy poehler still ran jokes making fun of hollywood's leading man. my favorite joke is when tina wasmentioned that "gravity" nominated and she said it is a story about how george clooney would rather float in space and die than spend one more moment with a woman off his own age. that got the biggest laugh of the night. these ladies know how to make fun of their peers but also keep it clean. >> ♪ >> i am mark barton in london. these are the bloomberg top headlines. blocking major roads in bangkok, adding pressure on prime minister yingluck shinawatra to resign. -- theonstrators government says it will deploy 20,000 soldiers and police to combat his blockades. sayshief executive of ubs it won't spin off its investment bank. sergio ermotti does the current model is working. ifspoke to stephen engle and -- in an exclusive interview in shanghai. >> we have assets and capital that we want to put at work in the investment bank. for us too necessity make changes. >> is a spin off one of the options you are considering? >> no. we are not considering that option. >> the female stars of "american hustle" take awards at the golden globes. jennifer lawrence won for best supporting actress. amy adams was voted best actress and a film comedy. they thanked the director for creating strong female roles. hello, welcome to "countdown." if you have ever seen an outfit on the street and wondered where someone purchased it, you are in luck. you ever have that problem? >> never. have, i assure you. if you can snap a picture, you can buy it in just seconds using a new app. we are joined by its cofounder. both are in town from dublin. >> that doesn't mean i am not interested. i am. >> welcome to the program. thank you for coming in. mark, i think you are the technology brings. but have a look at how this works. you produced a shoe. >> i have. >> it is every high-heeled. simply, if you see something that you like you can snap a picture and it will search through over 4000 brands to find a match. we use image recognition technology. >> you snap photos and once you have found it, you can then show it. >> it is almost instantaneous. once you take a picture, the system will search through hundreds of u.k. retailers and try to find it. you can filter by price so there is something to suit everybody's price. >> will you find the exact shoe were things that look like it? >> occasionally you will find the exact shoe. >> how long does this technology tech -- take to develop? >> we have been developing the technology for about six years. we are based in a university in ireland and i did a phd. , i have worked in the image recognition space. we were looking for ways and this seemed like a great opportunity. bobby, youas well, are the retail side of the equation. how are you going to commercialize this? >> there are lots of different ways. as far as retailers, it is a highly valuable field because it solves a huge problem for retailers. , for these people who are digitally native, the way that they are shopping is fundamentally different than ever before. that is a big problem for retailers. we solve that problem for them. the way that shopping is actually changing is the mobile phone. our technology is quite exciting and novel. it is something that millenial kids will engage with. we see this with the technology. we can push that forward. >> so everybody has a shop in their pocket. >> that is exactly what it is. whether you're reading a magazine or out on the street, we turn that setting into a shopping experience. i like her dress or i like her shoes -- you just snap the thing and we bring back a range of products. >> what is the etiquette surrounding this? do you ask the person first if you can take a photo because you like their clothes and you would like to find out where they bought them? i guess we will find out. what kind of reception have you got from the investment community? released.ally just the last one, we had tens of thousands of downloads. we had interest from not only retailers but from end-users as well. we are looking to bring this to the next level. we are working with investors to scale this. >> what are investors telling you? we have spoken to one in particular. what is so unique about your product compared to the competition? >> our product, we are quite confident of the technology itself. it is state-of-the-art. we are very confident. we have been developing it for snow long and testing it and we are confident that the technology is superior than anything else that is out there. >> out of the business model work? who pays the money? >> the most important point is the app is free for downloading. this can be downloaded on the apple and ios store. we generate a revenue from the retailers themselves. for end-users, it is completely free. very often we get discounts directly from retailers. >> what is your long-term ambition? how big you want to get/ how do you want to roll this out overseas? >> we're looking at the u.k. but we are also looking at the u.s. we would hope to the global. an image of the full item, don't you? i asked if you could take a photo of my dress but because i am sitting down, less possible. >> there are limitations. it helps to be relatively well photographed. if there are things in the way or the light is poor -- >> can you move this beyond fashion? >> oh definitely. there is a whole host of different applications. fashion is just an incredibly exciting one. we have met fantastic people. kate moss, as a matter of fact. there is a whole host of different applications to bring this technology too. >> gentlemen, thank you very much. edwardsou have met anna now. year in full new swing, some have made resolutions to focus more on their careers. it even last some of the biggest names in business, how they got ahead. jpmorgan's jimmy lee is known as the trillion dollar deal maker of wall street. >> number one, you have to work hard. there is just no getting away from that. to prepare you have like crazy. you have to be organized, you have to make lists. you have to be super a pair. i am a huge believer in preparation for performance. lastly, this probably sounds counterintuitive to the first and maybe the second, your family has to come first. whenever i give speeches on this topic, people say how can your family come first if you have to work all the time? if you are highly organized, you can actually do it. just put the kids' school play on the calendar. the soccer schedule. whatever it turns out to be. treat those sessions like it was a meeting. one of the things about dealmaking is preparation. going into that meeting with the ceo really knowing your stuff cold is critical. what would i tell my 25-year-old self? grow a few more inches, gain a few more pounds and try to make it in the nfl. the fashion spotlight moves from london to milan with men's fashion week. we caught up with some of the top italian luxury companies to discuss the trends in male clothes and luxury investment. here with more is caroline hyde. the slowdown in china, the role of the asian shopper in europe, all of that very much topical. >> still front and center. last year we saw the slowest luxury sales across the entire industry. to bain andording co.. a large part of that concern has been about chinese consumption. we are speaking to some of the big players in italy. which is a maker of men's suits, they are worried about the chinese buyer. they say they are still not spending. , we don'tclair saying see the need to push too much. i want to give you a clip of what the chief executive of ferragamo told us. they are focused on shoes and bags. he is saying, italy is still a beacon of style for the chinese. the asians are really now [indiscernible] it will be an opportunity. still feeling pretty confident and it is going to be the smaller chinese where you start to see the ramp-up in demand coming. >> and monday was a big theme in italy last year. makersalian the jury value their independence. >> they do. the likes ofsaw with huge juggernauts and the luxury space buying up smaller independent brands. in italy, many of them want to stay independent. we have got the likes of montclair listing they sold shares in december. they're looking to expand but they want to expand independently. ferragamo too valuing its independence. they say they are able to outperform by remaining independent. those companies did sell shares. i have got shareholders. they have a wider base. doesn't want zegna to be swallowed up by a big luxury players. >> no, no, no ipo. we want to stay independent. we want to stay private. we believe in organic growth. feelseresting that he that to remain truly independent, they can't even have outside shareholders. update --felt an versace wants to expand and sell a stake. givendders haven't yet the final binding officers says the chief executive over at versace. they plan to get a quarter billion euros and start expanding. then they will go to the market and sell shares in an ipo. very different tactics being played at the moment. some feeling that selling shares -- >> you are confused by some of the sessions aren't you? >> a lot of planning going on. plaid going on. >> are they pajamas? >> you have to risk a little in life. maybe, maybe not. no, no, no ipo. that is my quote of the day. >> coming up, retailers may be looking to expand beyond europe. best company has the chance of success in those markets? we have that story next. ♪ >> time for today's company news. hasketchup maker heinz named a new president of its north american division. this is the third north america had in seven months. the shakeup is the second one since berkshire hathaway took over the company. i luxury brand expects to repeat last year's increase of about 50% sales volume in china. it is the carmaker's second- biggest market. the second-biggest technology consulting company will take over construction of healthcare.gov. debuted with crippling computer problems in october. the u.s. government awarded the company a one-year contract with an initial payment of $45 million. welcome back to "countdown." we are 14 minutes away from the start of european equity trading. >> we are. "on the move" starts at the top of the hour. francine lacqua joins us for a preview. that morning. -- good morning. what are we expecting? >> futures are gaining. this is after last week we had the first week of full trading in january and we saw gains. a debt limit plan for banks. look at a lot of banking stocks that may be active. they met over the weekend and were talking about capital requirements. lower than we were expecting. that is sending futures higher as well. we have stephen engle's interview with the boss of ups. we will focus on that during the show. >> watch out for ubs shares. they may move after sergio ermotti denied they will spin off their investment banking service. that is a story we are bringing you last week. today we have a great exclusive interview. watch out for the share prices not only because of what we are seeing in terms of capital requirements but because of what he said. talking oven investment banking, a lot of bankers have been talking about whether we will or won't see a boom in mergers and acquisitions activity this year. some news this morning. >> a lot of banks hoping that there will be a boom. amex today agreed to by the engineering company foster wheeler for $3.2 billion. they said that amex will see -- we will look at this deal in particular and look at whether the stock is moving. we are expecting them both to be higher. we will print it out and see whether there is more potential for m&a in 2014. >> thank you. francine lacqua will be back at the top of the hour. >> germany's biggest retailer, metro, reported revenue that was in line with estimates. the store is facing off with its counterpart in france, carrefour for a bigger presence in brick countries. hans nichols joins us from berlin. what did we learn? >> if you're going to go for bric countries you have to make sure your currency is weak. currency fluctuation really hurt their bottom line and also, the german consumer did not save christmas. it was a lot of talk among german retailers heading into this christmas season that the germans would spend more. from these figures, there is an indication that they didn't. in line with estimates, overall down 3.3%. , puttingare want to do a brave face on. offnew financial year got to a solid start in spite of this challenging economic backdrop. soft christmas sales prevented a better development. revenue down 1.9%. germany, downin 2.2%. that is what jumps out at me here. the german figures were down. the cash for kerry business was up a little bit if you don't have strong growth in germany which is 40% of metro's revenues, expanding abroad with a strong euro is a dicey proposition. we may see something similar when we get carrefour's numbers litter in the week. there has been speculation ahead of these numbers about whether investors are putting pressure on the business to sell assets. is that something you can update us on today? >> last time there was a report on this, the sales jumped almost 3%. the stock jumped almost 3%. as is indicated down anywhere from one percent to 1.2%. it does appear that the market wants to see metro broken up into component pieces. >> thank you very much. tocoming up, we are going bring you our top corporate story for the trading day. stay with us. ♪ >> welcome back to "countdown." >> a bloomberg exclusive now. chief executive sergio ermotti says ubs won't spin off its investment bank. he says the current model is working. stephen engle spoke to him in shanghai. i think the investment bank is very strategic for us. we have been making a lot of changes to our strategy. our strategy is working. it is one that is focused on supporting our clients and wealth management. have very fine assets and capital that we want to put at work in the investment bank. us tois no necessity for make changes. >> is a spin off one of the options you're considering? >> no. we are not considering that option. >> what would be next for you? of you happy with the pace asset reductions right now or is something else in the pipeline? >> we are at a forward target that we announced two years ago. a year ago, we announced an acceleration of that strategy. us tois no necessity for revise our targets. >> are there other potential assets? is there something else that would be a possibility at this time? have a veryhat we well-defined business model right now. i don't think that we -- some of -- they arere in coming off as expected. we are today the best capitalized bank among our peer groups. we have almost reached our target. a 13% ratio by the end of this year. we are on track. >> are you on track for that? there was talk that perhaps that target is going to be pushed back another year. >> no, we are on track. we will achieve our targets by the end of this year. >> ermotti of ubs there. enjoy your monday. >> "on the move" is next. see you tomorrow. ♪ . . >> welcome to "on the move." francine locke lab bloomberg european headquarters in london. we are moments away from the start of european trading and our markets team has everything covered, from companies to currencies. there with me now is caroline hyde, manus cranny, and hans nichols. futures are looking to a higher start. >> bad news being good news. far fewer in terms of payroll being added, just of the 4000. -- 74,000. unemployment is tapering. many feared it would be more than $10 billion coming off the bond purchases per month. that figure easing some concerns that we will not be going too fast, too quickly. >> the markets are expected to open in a couple of seconds. ryan, you are looking at ubs. >> we had an exclusive interview with the ceo this morning and he says at we are not going to spin off our banking business. that is after a report that they were considering doing so. that is not the case at all. is issue at the heart of it the leverage ratios. the finance minister talk about them needing to go to 6%. right now. 3% it is really a struggle. >> ubs, we are expecting an opening call. watch out for banks after global regulators diluted the debt limit plan for banks. amex agreed to buy an engineering company in the u.s. for $3.2 billion in cash to expand its oil and gas engineering company and it will also try and list in the u.s. manus, you are at the goldman sachs global strategy conference in london. >> i am indeed. we are going to have a great day down here. it is all about japan. that is in 20 minutes. -- we are going to get into u.s. investing just after 9:30. american economics, he is in town at 9:40. petere already had oppenheimer, a fairly bullish call on equities. more on that in a while. inlet's get over to hans berlin. you are watching metro. >> called at the open, just down a little bit. we are checking to see how it is reacting. sales were down 3.3%. overall, they have a problem in terms of currency fluctuate -- fluctuations. did not savensumer christmas. we will dig deeper into their quarterly numbers in 20 minutes. >> thank you so much. we have a little bit of retailers, a lot of cars. we are watching banks and ubs. terror line, we are watching men's fashion. >> the spotlight has been in london. now it is moving to milan. we are speaking to the chairman of montclair. of course,and versace, an update on ready industry is going. to keepaly wanting their independence for the likes of ferragamo. they sold shares, but they do not want to be snapped up i a bigger conglomerate. >> a lot of them have been snapped up. there is a resurgence of fighting back. we have to watch out for carmakers. he and w posted record sales, but they are saying there is a lot of headwinds in the market. sales, buted record they are saying there are headwinds in the market. , analysts saying that one figure does not make a trend. the fact that we only got 74,000 added in terms of payrolls, that was the lowest since january of 2011. maybe we should not be too worried about the u.s. data. certainly, it has given a little bit of these to the equity markets. we just go into the industry groups that are moving higher. expectations are that the stoxx 600, just again, the tapering, the leaning back of stimulus will not happen too quickly in the united states. keep an eye on financial today. .7% this morning. the reason, the global regulators making concessions to the banks on debt limit rules. you are not going to be hit too much. they want to see banks continuing to lend. the basel committee on banking supervision scaling back that debt limit, that is giving back to boost today, the best performer on the stoxx 600. let's look at currencies. interesting move, the fact that the jobs figure came in much worse than anticipated. that really affected the dollar against the yen. look at that move. yen really strengthening against the dollar. bas say the damage to the dollar will be limited going forward. let's have a look at what is going on with the euro. basically flat. merrill lynch saying expect weakening in the euro to continue as the u.s. economy will be growing much faster, whereas europe will only grow by 1% in the euro region this year. we are going to head towards parity at the moment. a long way to go down if that is the case. let's have a look at how bond yields are doing this morning. movement,en a bit of yields down ever so slightly for germany, but not across the bond market this -- as we speak. i want to get to some of the stock movers. &a.could see a whiff of m u.k. oil company, is buying foster wheeler. it is expanding its oil and gas engineering business and they want to get scale in the growth regions. foster wheeler does have exposure, particularly in the middle east. some $3.2be spending billion. keep an eye on evidence -- deben hams. a profit warning and they have lost their cfo. now sports direct is taking a chunk in it. ofy are taking a 4.6% stake 56 million shares. it will be a supportive shareholder. we could see exploration of opportunities. sportsms higher and direct is also up on the back of that. >> our next guest favors technology in health care sectors. the cross bridge capital chief strategist and head of investment. tank you so much for coming in today and happy 2014. will 2014 bring in terms of industry groups? you mentioned you like tech. >> tech and health care and financials. financials have been the story of 2014 so far. especially in europe. >> we will talk about ubs and basel. what would you be buying in technology? >> amazon and google are two of my favorite stocks that i have been recommending for some time. i think the upturn is not going to go away. a trend does not make and gdp growth is still in line. a questioning to be of how strong this year can be. >> do you like amazon? are you thing we will shop online a lot more? why not go for someone who provides the software because they can get much vigor in terms of logistics? that.annot comment on amazon is something i have been long the last two or three years. it is a very strong story in terms of where the market is moving. they are building a big warehouse and the earnings are going to come through. >> thank you so much for now. the chief strategist and head of investment at cross bridge capital. we will be talking about the banks. says thef executive company will not spin off its executive bank. ask its investment bank. and we will go through metro's sales, that are slowing in germany. ♪ >> i am francine lacqua in london. ons is "on the move" bloomberg television, radio, streaming on your phone, your tablet, and bloomberg.com. sergio ermotti says ubs will not spin off its investment bank. he says the current model is working. ryan chilcote joins us with the latest on this exclusive interview that bloomberg news had. tell us exactly what he said. >> let me give you some background first. sergio ermotti has been focused on reorganizing ubs to focus on wealth management. part of that reorganization has been cutting jobs. ubs cutting about 10,000 of them. sergio ermotti also cut some of the debt trading businesses back. that happened in 2012. to further advance that goal, banca --k that media banca said it might make sense for them to get rid of the investment bank. today, we asked sergio ermotti and he said it was not the case. speculation.been i think the investment bank is very strategic to us. we are making a lot of changes to our strategy. the strategy is working. we are supporting our clients in wealth management. defined assets and capital that we want to put to work in the investment bank and the business model works. no necessityere is for us to make changes. >> is a spinoff one of the options we are considering? >> we are not considering that option. >> i just got off the phone with chris wheeler and i asked him, how is it that they got this wrong? sergio ermotti saying they will not spin off the investment banking unit. sayingekend, media banca that this might be the case. he says this is sergio ermotti politicking. the background here is leverage ratios. the leverage ratio for ubs is around 3%. the rules of the game require ubs to raise its leverage ratio to about 4%. the finance minister has also talked about the need to perhaps raise it as much as 6%-10%. isfar as media banca concerned, the one way to do that is to get rid of the investment banking business. there is another way and that is something that sergio ermotti hinted at in this conversation, which is to deal with the problems in the lending units, specifically in terms of mortgage lending and corporate lending within switzerland. if they were to change or scale back that, then they could perhaps meet these ambitious goals that the finance minister alluded to. having said that, wheeler says it is not pragmatic politically speaking for ubs to scale back lending within switzerland. really, he is talking about something that is not going to happen here. in thel solution for ubs future is to consider getting rid of the investment banking. becauseng on the banks, a lot of the stocks -- ubs has gained 2.8%. stocks, in general, for banks, are up-to-date. the basel committee is diluting their rules and they are becoming soft -- softer. >> it has to do with leverage ratios. at ubs, it is about 3.2%. in june, regulators suggested that the way that leverage ratios are calculated good youeen -- could be tweaked, could make it more stretched. media banco estimated it could cause as much a 13 basis points, meaning that the ratio at ubs would be around 3%. of an about-le bit face. regulators are saying, actually, we are not going to change the way that those leverage ratios are correlated. so things are going to stay as they were. the risk has been removed from the outlook for banks in terms of how they make money. >> thank you so much, ryan chilcote. you can see the stoxx 600 banking index gaining 1.2%. we are back with the cross bridge chief investment strategist. thank you for sticking around. financials are one of your favorites. they have been outperforming. we still do not know the outcome of the asset quality review. there are still a lot of unknowns. >> in the peripheral bond market, one thing which is helping the angst a lot -- teh been the rally in spanish and italian banks. banks as a whole will benefit. is notong as there another crisis. >> of course. and as long as the ecb follows up on what it has been saying. if you see how the economy is we had the jobs report, which people are not pleased about. tapering is still going on. benefits are going to from borrowing short and lending longer. , would say that retail banks they are going to benefit. we are talking about the u.k. 1.25%, as some of the newspapers have reported. >> a lot of people are awesome it -- optimistic on the markets. this is assuming we do not have any headwinds. >> this is important. in thistill operating limit we are talking about. that is something we have to take into account. tapering,e fed starts that is an indication about nervousness on what the markets are due. >> i do expect that there will be some type of correction or downside move. year, if youof the have made only five percent by the end of the year, you can make 10% if you pick up the downtrends as well. overall, i am very positive for the markets. >> what do you like apart from financials? stocks typically have not done very well previously. this is down to the demographic change. roche has at least seven different medicines in states of approval. they have a very strong product pipeline. that is one stock i like very much. from the u.s. health-care stocks , they're not going to bring a lot of change and obama is still the president. >> do you prefer some of the health-care stocks to a teva hermeneutical's? >> i prefer the health-care stocks and biotech stocks. amgen, gilliard. >> and they are some of the best performers. >> it is getting expensive, but given the kind of work they are doing, i am very positive on those stocks. >> how much does it have to do with the pipeline and how much does it have to do with mna quest -- with m&a? both,is a combination of but it is more of a pipeline story. >> if we look traditionally, when stocks go up, m&a closely follows. there was not this correlation because markets were pumped. >> if you believe that the economic growth has caught up and you give incentive to ceo's to make acquisitions, it all comes down to positivity in the market and sentiment. >> anything in currencies? >> i like the dollar. the euro-dollar, the ecb weakened its forward guidance and we had a dad jobs report on friday and the euro rallied. it might be that the euro-dollar will stay in the range of 1.36, 1.34. i do not see a huge downside. if anything, i see downside to the euro and not the dollar. people are looking at the cpa number closely. the cpi is dropping. if inflation is dropping, that is a very positive sign. i think people are looking at growth ahead and that is a very positive outlook. >> thank you so much for all of that. , it is germany's biggest retailer and sales are slowing down. we will dig into metros numbers next. and as we head into break, let's hear from the u.s. vice president, joe biden. at ariel sharon's official memorial service in jerusalem. our reporter on the ground is listening in and we will bring any breaking news after this break he -- after this break. >> they have all played out on the campus, the state of israel's historic trajectory. ♪ >> welcome back to "on the move ." here are some companies on the move. catel-il lucent -- al lucent is said to be in talks to sell its enterprise unit. a sale would allow them to focus on more profitable network contracts. it would also bring the ceo closer to their goal of eurosting one billion from acid disposals by 2015. heinz has named a new president of its north american division. he is the third in seven months. the second management shakeup by berkshire hathaway. outsold general motors in china for the first time in nine years. largestes europe's carmaker the lead among foreign automakers in the world's largest car market. germany's biggest retailer, metro, reported revenue this morning. hans nichols is all over the numbers from berlin. a little bit of a disappointment today. >> a little bit of a disappointment in metro. these numbers are so interesting. it is the fourth largest retailer in the world. it gives a better sense of consumers both in europe and outside of europe. ae numbers are, we had disappointing christmas. that was true in germany and elsewhere. they were buffeted by a strong euro that hurt sales in eastern europe. overall, revenue is down 3.3%. the stock is moving on the back of those numbers, down just about 1% last time i checked. the ceo tried to put a brave face on the numbers. here is what he said. the an answer year has gotten off to a solid start in spite of the still challenging background." inenue was down almost 2% local currency. it was down in germany elsewhere. one bright spot was that sales were up slightly in their cash and carry business. third of theirone- revenues. a lot of talk before christmas about how the german retailer would save christmas. does not look like it happened. these numbers look more like the tesco and marks & spencer numbers in the u.k., pretty soft overall. >> what about the pressure to break up metro? would it be more valuable broken up? >> the market certainly think so. there is a report late last week that one of the main investors in metro wanted to break up the company and sell part of its divisions. the stock soared, up almost 3% the report was denied by the various parties. there was a clear sense that if metro were broken up, maybe sell off its russian division, it would be worth more, that its market cap would improve. no hand in these numbers that they have any plans to spin off some of their businesses. clearly, there seems to be some agitation for that. >> thank you so much. hans nichols with the latest on metro. coming up, we will go live to the goldman sachs global strategy conference. goldmanspeak to matsui, chief equity strategist for japan. a lot of the indices are flat. bank stocks are active after the basel committee on banking capitalion's announced requirements. watch out for ubs. this stock is on the move after the ceo denied that they will spin off their investment banking business to meet regulator demands. ♪ >> welcome back to "on the move ." i am francine lacqua at bloomberg european headquarters in london. these are the bloomberg top headlines. he will testify today before european parliament lawmakers. she is said to join the board of the ecb from her current edition is vice president of bundesbank. at the expense of its monetary policy clout. will curtail its nuke activities under a deal with world powers. in return, iran will benefit from some sanctions relief and the start of a 6-12 month timetable to reach a permanent accord. the deal still faces skepticism in u.s. congress. lawmakers are still pushing for more sanctions. thai protesters began blocking major roads in bangkok. offnstrators also cut access to a complex last night. the government says it will deploy 20,000 soldiers and police to combat the blockade. the fashion spotlight moved from london to malan -- to milan. we caught up with some of the top italian luxury companies to discuss trends in luxury investment. here with more is caroline hyde. what did they have to say? themes hummingme out from italian men's fashion week. montclair, down coats that saw them sell shares at the end of last year. another company that makes men in suits and accessories. remember, there is much focus on china and asia. that has been a key concern. 2013 was the slowest growth in luxury market. many pointing the finger at the chinese slowdown. many of the heads of these companies are pointing to the concern there, most notably the chief executive of xenia. say, look, the chinese buyer, they are still not spending. >> we were used to increased double-digit. carefulave to be more and we are getting to single digits. everything is relative. it is probably a healthy slowdown. slightly concerned about the first half of this year. they think that second-half sales will start to pick up and that the slowdown in china is a healthy slowdown. not so much over at ferragamo. that italy isying still seen as the beacon of luxury for the chinese buyer. continues to dominate the italian luxury seen. -- scene. many still value their independence. buying theseple smaller, independent firms to add to their own list of brands. much of italy wants to remain independent. coming out from a lot of the heads over there. versace is looking to sell a stake to raise about a quarter of one billion euros. they are only getting investment in, not looking to sell themselves as able. montclair sold shares last year to try to expand. montclair telling us, we still want to remain independent. it makes us more nimble. defined synergy. independent is something -- in the last 10 years, i think we make a good job. i think we will continue on this way. shares onir selling the first day of trading in early december. na, we heard from the chief executive a moment ago. they said that they did not want to be bought up by a luxury player nor did they want to sell shares. they said an ipo is not on the agenda. shareholders would remove some of their independence. strong words coming from the italian luxury sector. >> thank you so much. caroline hyde with the latest on luxury. manus cranny is standing by at the global sacks --the goldman sachs global strategy conference. >> you have a european perspective. the one fascinating area is japan. joining me now is cap the matsui, the chief japan creditors. great to have you with us this morning. abenomics, as it stands right now, you say steady progress, reform is on the way. you are fairly upbeat. arrows ofk that the reform and growth have been launched. prime minister abe and his regime. we have only seen one year of this administration, what they can deliver. there is more on the agenda that needs to be executed. we think the direction is very positive and very clear. of the reform agenda will be accomplished and implemented in a timely fashion as the markets would like to see, but we think a direction is very clear. >> do you think that we, in the west, expect so much from this third arrow that there is a reasonableness in terms of what can be delivered? inflation is 50% of the way there. when the you see it adding up to two percent? >> given the distortion that will be coming in and next few months from april 1, we will see 3% in thisse to current year. excluding the impact, it will take another year plus before we hit the core inflation level of 2%, the boj's target. scenario will be whether japanese wages grow or not. >> will they? >> a lot of investors were very skeptical about the prospect that wages would ever row up after they have been declining for seven straight years. if you think about the big picture, corporate japan is sitting on tons of cash, about $750 billion worth of cash. at the same time, they are earning 60% more profits than one year ago. >> so they can afford these wages. lex i think it is a sheer lack of confidence that the future might be brighter than today or yesterday that is holding them back. we think that attitude will start to change. -- iu have got a great love this. this is not 1997. you say it is a very different scenario. why? >> in three respects. asia wasthe rest of discouraging a gut wrenching currency crisis. we do not have that right now. >> we could have taper. >> we think that will be very gradual. second, we do not have a financial system meltdown domestically. third and most importantly, we do not have deflation. of japanesety shift people thinking, if i wait, it will get cheaper. way, it might get more expensive. that is driving the change in consumer sentiment. manageableat will be given that we expect wages will grow and the mentality of consumers will shift towards tomorrow will be a brighter day. >> into equity strategy. you say you will deliver better returns than the u.s. and europe. what is achievable in japan going into 2015? >> you think about who has been the main driver of this rally in japan today. it has been mainly the foreign investor community. aboutreign investors have $470 billion worth of japan. that is less than what they bought during entire rally between 2001-2006. none of my domestic investors have participated in this rally at all. we expect retail investors -- japan will launch version of buttocks. -- of products. we will possibly get the world's largest pension scheme. assets.llion in domestic equities could be shifting as well. >> have a great day at that conference. is it for me here. you aboute will tell american equities. you heard it from kathy matsui, could be a good year for japan. >> thank you so much. manus cranny at the goldman sachs conference. sergio ermotti says ubs will not spin off its investment bank. he says the current model is working. stephen engle spoke to him in shanghai. take a listen. >> it is a very small elephant and there is no speculation. the investment banking segment is very strategic to us. we have been making a lot of changes to our strategy. the strategy is working. we will focus on supporting our clients. assets andery fine capital that we want to put to work in the investment anchor and a business model that works. therefore, there is no necessity for estimate changes. >> is a spinoff one of the options you are considering? >> we are not considering that option. >> what would be next for you? are you happy with this pace of asset reductions right now? >> we are ahead of our targets that we announced two years ago. one year ago, we announced an acceleration of that strategy. i think that we are happy with the pace of what we are doing and there is no necessity for us to revise our targets. are there other potential assets that we are not talking about? is there something else that would be a possibility at this time in 2014? >> i think that we have a very well-defined business model right now. some of our assets are in our non-core organizations and they are unaffected. we are the best. lightbank among our peer groups -- best- capitalized bank among our peer groups. we have almost reached our target. we are on track. >> there was also talk that perhaps that target would be pushed back another year and that would affect the payouts as well. >> we are on track. we will achieve our targets at the end of this year as announced two years ago. benzoming up, mercedes- takes a page out of the apple playbook. bmwedes hopes to overtake using technology. ♪ >> i am francine latoya london. this is "on the move" on bloomberg television and streaming live on your bloomberg -- on bloomberg.com, your tablet, your phone, and any windows phone as well. i'm joined by guy johnson. , theancois hollande question is, will his private life affect wallace he? -- policy? he would deliver a major press conference tomorrow, outlining his plans to revise the economy. it will be watched around the world. we are going to learn whether or not the left-leaning french president will actually talk about cuts. that press conference potentially overtaken by problems in his private life. interacting atly the moment. some would say it is very french. i certainly would not say that, but it is an economic story as well as a front-page story. what else are we watching? airbus, we will cover that too. init going to fly higher 2014? back to you. >> guy johnson coming up with "the pulse" in about 15 minutes from now. here are some companies "on the move." accenture has won a contract with the u.s. government. it will take over the obamacare enrollment website. it has been granted a one-year contract with an additional payment of $45 million. it takes over from cti group. and a bloomberg exclusive for you. that ubs wasi says not spin off its investment bank. >> we have a very defined assets and capital that we want to put to work in the investment bank and the business model works. therefore, there is no necessity for us to make changes. >> is a spinoff one of the options you are considering? >> we are not considering that option. >> stephen engle spoke to ermotti in shanghai in an exclusive interview. adding asys is touchpad to the mercedes. radaraders include six sensors to enhance safety. the german carmaker unveiled the overhaul of its bestseller at the north american international auto show in detroit. for more on that story, let's get to hans nichols, who is standing by in berlin with the very latest. her sadie's betting -- mercedes betting on tech. >> tech, touch. these cars could be so easy to drive that even you could take them out for a spin. the s-class, first update in seven years. the are unveiling this at detroit auto show. matt miller, when he goes out there, is he going to figure out a way to crash the software or crash the car? of course, this is the battle between mercedes, bmw, and audimber one globally. bmw is number one globally, but s was the top selling brand in the u.s. of course, they are competing globally as well. is anothera battleground for carmakers. volkswagen regaining the top spot from gm or the first time in nine years. >> here is all you need to know about china. and thatn sales outpaces both the u.s. and europe. that is just six percent saturation of the chinese market. if they get 50%, what matters there is market share. all the auto companies are making big plays there. some have joint ventures. they are in for the saturation. it is a growth area and they see a lot of opportunities or big markets, both in the luxury and more downmarket cars. >> thank you so much. hans nichols with the very latest. bloomberg views will be live at the detroit auto show later. our guest includes the daimler chief executive. world statesmen have been paying tribute to ariel sharon at a memorial service for the former prime minister. he will be buried later today at his

to see audi, to bring audi into the conversation so we are a brand that gets noticed, and what we are seeing is extensive list right after the super bowl, driving consumer interest and bringing audiconversation. >> we have seen some pretty cool ads from 1984 to darth vader for your parent company, volkswagen. what have you got planned for this year's super bowl? >> we think the super bowl, as you know, is the greatest opportunity for creativity. best whene are at our we start to make statements. give america a point of view and bring a little bit of american culture into the story, so whether it is talking a little bit about the different take on luxury or talking a little bit about the vampire trend being over, we have brought some interesting stories in years past. this year, we have a phenomenal product we will be releasing the super bowl for the new a-3 the car clearly to be the engineering luxury sedan without any compromise, that drove us to a great story this year went -- >> sarah mclachlan -- >> loren, does every company strives to get to that level that's these jobs did 30 years ago with that 1984 commercial? is that the pinnacle, the big statement that everyone wants to

vol, waning, audi, cross-concept ps the dune and beetle, jacked up for getting over rough spots. and the audi and volvo, plug-in hybrid cross-overs. volvo, 21 inch rims, and the audito 60 in about 4.5 seconds. >> hmm. fascinating stuff. i'm ready to buy a car. give me more. >>> a little good news this week, and a little bad for electric carmaker tesla. first it issued a recall on its charger. then it announced it's developing a lower priced model. poppy harlow talked with the ceo elon musk about the company's future. >> reporter: hey there, fred. tesla is a company that is always in the spotlight. they just reported record sales in the fourth quarter. they're predicting huge growth this year. this week the founder and ceo elon musk sat down to talk to us in the wake of a big recall. about 29,000 of the wall charger adapters for the tesla model s have been recalled, because they can overheat and possibly cause a fire. now, tesla says that it did an over the year software upgrade to fix the problem but are sending out new chargers as an extra precaution. this recall comes on the heels of a handful of cars in tesla cars following some crashes this fall that led the n

audi. that's only for audi.total market growing up to 20 million, maybe 25 million cars a year, and we see the premium segment steadily growing, because there is so-called middle range of power coming up in china. >> i think i may have called you her best rt in the intro, so if i did, my apologies. thank you very much. guy, back to you. >> fascinating interview, really fascinating interview. it's duly see this company kind of on a collision course with google as well. hans will be back a little bit later. we've got the french finance minister coming up. what else is on our radar? lufthansa has a planned worker strike, according to a paper. the air traffic controllers union has planned a one-hour walkout next wednesday. mark carney says that no immediate to increase borrowing costs in the u.k. in an interview with the bbc, he indicated a debate has begun on forward guidance after britain's unemployment fell faster than anticipated. and j.p. morgan's jamie dimon is said to be getting a boost in pay, according to t

audi north america. ♪ >> the detroit auto show kicking off today. matt miller joins us live with the president of audi north america. ofwe are sitting in front one of the new vehicles they are releasing. looking around, i see the words e-tron everywhere. the hybrid is the wave of the future and audi i think it is exactly what is right for america now. you get a lot of range on pure electric driving, but you also have a fuel efficient engine. it is a good solution. the most important thing is, it drives like an audi, and has all .he quality of an audi >> people talk about affordable luxury as if the trend was started last year by mercedes. but the a3 has been around for a decade at least. someone starting out, first car -- first-time car buyer, does he buy that and then eventually move up? that luxury a myth carmakers cannot generate any profit from making small cars. if you look at the dynamics of what has happened in america with fuel economy, mobile devices, the concept of making stuff small and unique, we started it, and that is what we see people jumping into our brand and then they migrate. that is what we are looking to do. you see that as we launch our new products this year. >> before we get to this new thenology, ford unveiled new f1 50. it is very excited. people act li

audi. the audi connect is a car that will drive itself. i'm not kidding you. it uses the ultimate in technology where you can drive along, take your hands off the wheel and the car knows where to go. it will even tell you what speed it should set at in order to only hit green lights. that's kind of cool. add to that the fact if you have a medical emergency or even slump over the wheel, it pulls over to the side of the road and calls the ambulance. audi more to see. we'll show you that live tomorrow in detroit. the press doesn't show up until tomorrow morning. we have a lot more for you. back to you in new york. >> that is scary with the guy's eyes closed and it pulling off to the side of the road. doug live from detroit's auto show. thank you so much. >>> 56 minutes after the hour. he was the only man to make it out alive from a mission in afghanistan. now his incredible story is playing out on the big screen. the real life lone survivor marcus latrell is joining us next. >>> and president obama, shouldn't his focus be on creating more jobs and not giving out handouts? john roberts is here to weigh in. hey mom. yeah? we've got allstate, right? uh-huh. yes! well, i found this new thing called... [ dennis' voice ] allstate quickfoto claim. [ normal voice ] it's an app. you understand that? just take photos of the damage with your phone and upload them to allstate. really? so you get [dennis' voice] a quicker estimate, quicker payment,

audi is going mainstream. cheaper models in the u.s.. audihe likes of mercedes-benz and bmw as german brands pushing cars that cost last than their flagship cars. rolls-royce tops its sales record for the fourth straight year in 2013. let's get straight to ryan chilcote who is going inside rolls-royce, literally. what do you have for us? in the driving seat. >> i have never heard somebody colleagues so envious. [laughter] guy johnson, this is why rolls- royce at a record year and when he 13. they introduced this car. it is a two door. they just started deliveries. they sold a couple hundred of them. let's give it a whirl, i have driven these before. if you believe that. there you go. it is a keyless car. what could possibly go wrong? we are going to go for a little spin. there is another rolls-royce over there. the only thing worse than crashing in this car would be crashing into one another rolls- royce. here we go. because is interesting it is really all about quite frankly targeting people like myself, though i have to say that i don't hav

audi and mercedes been step up their efforts to overtaken in the fast lane. hans nichols has more. closer --e getting audi and mercedes are getting closer to bmw. total sales globally worldwide, 1.60 6 million units from bmw. closest competitor, audi, 70 9000 back. but you are seeing a narrowing. all three vying for the top spot. bmw has done on the back of their three series car. they sold over half a million of them. but they are going to be getting competition. sercedes has their new c-clas out this much. unveiling it in the detroit auto show. lots of tech. what wel be interesting talk about mercedes versus bmw. >> what is the latest for mercedes question -- for mercedes? touchy are putting screens them. it will feel like your ipad, your iphone. they're really trying to revamp the inside, making it much more techy. outside, the line that going to be a little different but it is really inside where there are changes and they will have swipe screen. all the cars going bid on technology. your car or will feel more like a computer and your phone and one day, they will be, as a talk about on the show, driverless. >> not bad. great. >> which works for you. >> guy johnson, after the great performance of ryan chilcote talking and drivi

audi is a great story. over fox business exclusive with those glaser headlights. you look so good in that. >> you are a good friend to and i love audi i have a big fan of those cars. thank you very much. i can see you driving that back to new york city. talking about this at the top of them looking at the market's up and down day we learned a few moments ago that the fomc members agree improvement of the job market indicated the fed it could begin to slow the pace of asset purchases. a few members actually thought it would be appropriate to end the program even earlier. we also learn to that alan mulally told us a few weeks ago that what he said is true. he will stay at ford not heading to microsoft. that was big news but the stock is rising on that news looking at the stock right now it continues to be higher. microsoft to the downside for a lot of pressure to find a new ceo. they thought they would have won by the end of 2013 but that has not happened. these are big stories we are watching today. now "markets now" reacting to those minutes let's head to our floor show we have traders at new york stock exchange and chicago mercanti

audi. sales surged 64% last year. automaker-- german outpaced audiited states. , bill root in -- rudin joins us. better to talk about the jobs report and the impact on the fed did pimco's ceo mohamed ?ly rm -- el-erian plus, we're going to go to the white house about with jason furman in the loop. ♪ >> if you're feeling the squeeze of city life and are tired of paying $50 for a cocktail, you might be in luck. many companies are moving to the suburbs, and secondary cities are drawing the frugal crowd and pick -- painless rent will they do that. you do this yourself? will realized it was impossible to drive around, and i decided to move out to the suburbs, and i'm very happy i did. a lot of companies have made similar decisions. a lot of big companies already are in secondary cities, or in what we root for to new york as flyover country. there in way up redmond, washington, and has been there forever. the same is true of make of america, dow and charlotte. aboutwas a lot of talk whether they would move their headquarters you to new york, and they did n

audi -- they have been using aluminum for over 20 years. >> the f-150 is different from an audi.to take a little more of a rugged hit because if you're going to have any kind of dent with an aluminum frame, what are you going to do? >> that is the problem. it should be stronger and more resistant to dents but if you get a dent in the middle of new mexico, the local mechanic has no idea how to fix that and it is expensive. >> g.m. comes out and gets car and truck of the year. >> it was a no-brainer. if you look back at 2013 from any point in the future, it was all about the corvette. they have their new corvette out. >> it was beautiful and yellow. i spoke to peter brock, the creator of the design of the stingray. >> the split window design which was only made for one year. the truck of the year was the silverado last year. it is basically the corvette of this year. it is the most important unveiling and piece of news we are going to get at any auto show. >> the lightning of the f-150. >> and the chrysler 200 was unveiled today and it looked great. it looks like an alfa romeo. i l

audi. >> that's the challenge. it's audi.sawyer a mclaughlin. >> the crying dog ad. >> yeah. it's going to work. i wish there was a tighter link with the brand, but it will be interesting to see. >> and you have some surprises, pull out the big guns, big names making cameos. arnold schwarzenegger this year in full table tennis mode, i guess, for bud light's new up for whatever campaign. >> surprise. ♪ >> i mean. >> -- he's working out. >> guys, what's the value? >> i don't know. i couldn't know where the ad's going, about you it's pretty funny. >> it's good. >> yeah. >> we're going to see, this is teaser. you don't actually know what will happen on the super bowl. >> it's a bud light commercial. >> guys, i want to -- actually, a "morning joe" exclusive, we'll show an ad on the super bowl that's not been seen yet anywhere. >> okay. >> let's show it. ♪ >> his alarm clock never rings. more than once. he showers with his clothes on. he debates nobel prize winning economists for sport. for breakfast, he'll take a big mac, and he p

audi was a big deal, with self- parking, self-driving technology. they also had the audirt display and it's almost like a dashboard that you see in cars today but it runs android and you can connect it with android driving directions. you can't talk about ces without talking about tvs. there were curved and bendable tvs. so a flat screen tv with a little bend the edges and supposed to create a more immersive experience like a movie theater. but the show-stopper this year, the most amazing thing we saw was samsung's bendable tv. i watched it go from flat to curved with a click of a button. >> wow. >> mind you, it's a glass panel that's curving! that's amazing. >> we saw it an video but i'm sure in person it was great. >> you had no fun in vegas, did you? >> it was boring. [ laughter ] >> sharon, very nice, thank you. >>> time for a look at what's coming up later on "cbs this morning." let's do that. norah o'donnell joins us live in new york with the very latest on the big show. good morning. >> reporter: hey, good morning to you, frank and michelle. ahead, why were toxic c

audi booth outside of ces to see what they are doing to combine all of these sensors and functions into new semi- driverless vehicles. audi is showing different technologies here in las vegas, including cars that can effectively drive themselves through highway traffic. >> so we're in traffic now and the car is monitoring the vehicles around it. it is monitoring the lane markings and the road boundaries and it is basically following traffic like a human driver would. >> you haven't been touching the steering wheel this whole time, have you, bjorn? >> no, the car is driving it. the driver can relax and do something else. he doesn't have to watch the car doing its job. >> audishowing cars that monitor your alertness and stop the car if you fall asleep and cars that can park themselves without you behind the wheel. >> did you just see that? >> he got out of the car, pulled out a smart phone. pushed a button. the car put itself in the parking spot, no dings, no dents, no scratches, no nothing. you have computer-controlled steering, acceleration and braking. you have sensors mounted all around the car so it knows when to turn, when to straighten up, when to speed up and when to slow down. >> so bjorn, when will a car that can drive itself through traffic be something that we see available to us? >> we're going to make this technology available in the next five years and as you have seen, the technology is ready. the thing that is keeping us is legislation in most parts of the world. >> automakers love to talk about the joy of driving. the fact of the matter is probably more than half of the time there is not a lot of joy, parking cars, sitting in traffic. that

audi and google getting closer and closer together. google the leader in self-driving car technology, built a lot of it. and audi to get it on the road this year, but of course, it's going to take a lot of people saying, especially the government, this is okay, this is safe. what is really interesting about this, it's just an indication of the bigger trend. the internet of things. it's technology and sensors and self-awareness in virtually everything and it's all othe place at cef. >> what about the solar-powered one itch don't knoll how to feel about that. >> i don't know. i'm not that excited about it. people talking about if you park it in the garage what do you do then? it's an interesting idea, and it would be great if you can use those solar panels to power all the technology you carry in the car. everybody has a phone, an ipad. instead of drawing energy off the car's battery, draw it off the solar panel. >> that would be good because phones and stuff don't change. what else is cool there? >> of course i just say the lg curve tv -- >> hough is that? >> it is massive, and it's gorgeous. but it really is a c

audis. in the united states, it is a luxury brand. >> audi is number two in the premium segment. we are number one in china, number one in europe, and we are aiming for the next success in united states. >> what are you in the united states, three? >> three. >> bmw, their position as leader has gotten not as ahead recently, has it not? and mercedes is closing the gam gap, as well? >> we still have that towards bmw. >> where does lexus come in, by the way? >> on a global scale, not -- >> when you think about why someone would buy a luxury car, i think of, obviously, there has to be the feeling of, wow, i feel good driving this. but also, it has to be quality and reliability. it has to be -- and audier the years, i've seen what you've been able to do. and it's a really phenomenal car. it is a loaner. and that is -- is it the most important thing is quality? >> it is a major part of on our strategy. we are aiming for being number one. so we are investing heavily into new products, into technology innovation. and what we would like to have is that the customer stays good and this is really quality. the architecture of the interior, the exterior design and, of course, a lot of progressiveness which is linked to the brands. >> good to be able to go through snow, too, which audis are -- >> easily. >> and a lot of suvs and station wagons around here. almost the car of choice i would say in davos. >> we are linked to the economic forum in more than 25 years. >> you've been putting on the -- >> because of the weather conditions here. but we like to be here in davos because we hear a lot about the economy and we would be partners. >> mexico close to the united states. >> we spoke this morn

audi and tesla are working to connect the cars with the at&t network. chevy already installing 4 g technology in the 2015 model. it rae leased this video recen recently. audi says the cars will feature displayed navigation thousands of internet radio station and get this able to listen to your face book post and tweets all by voice command. tesla says it will use at&t to power engine diagnostic and web browsing. >> new world. coming up next. first time ever speaking of first time ever speaking of wild. see a dog helping out in to those who've been waiting welcome to covered california. the place to find quality, affordable coverage, and nobody can be denied because of a pre-existing condition. enroll today at coveredca.com. so you made some bad decisions last night. make a good one this morning. get two biscuit sandwiches, with your choice of country grilled sausage, egg, and cheese, or bacon, egg, and cheese, both on my new southern style biscuits. you'll save some cash 'cause right now they're two for just three bucks. c'mon cody... let's get some breakfast. you drive. i traded the car for the tattoo. side by side, so you get the same coverage, often for

audi's self driving car debuted last night. even though it was a show stopper, industry watchers are eager for more details about audis alliancehe idea a android is now part of the operating system of the vehicle, that's a huge shift, and it's going to create a lot of opportunity and potentially an entirely new economy around that development for vehicles. >> research group gatner reports that the number of smart phones and tablets shift with google's and droid operating systems will top the 1 billion mark this year. >> if you think that's impressive, get a load of this, samsung unveiling a line of t.v.'s, including a 105-inch ultra high-def things t.v. set. stephanie's going to upgrade. they hope by quadrupling the resolution, consumers will update. >> i want that t.v. quarterly earnings are expected to fall as sales of smart phones and tablets slow. samsung is down 6% to $7.8 billion. samsung is bracing for its weakest smart phone profit growth since it started making the devices in 2017. >> the head of the national organization for women is hailing the confirmation of janet yellen as first woman to head the federal reserve.