capital also joining the innovation network corp, as well as bain capital alsojoining the group southsk hynix inc. this chip business is worth more than 20 billion us dollars. toshiba said the consortium presented the best proposal. toshiba had to unload this unit to cover it is now bankrupt us -uk unit to cover it is now bankrupt us — uk business. taiwan's fox gone and the japanese government expressed concerns about its close ties with china. other businesses also interested in buying it. toshiba wa nts to interested in buying it. toshiba wants to reach an agreement byjune 28, the day of its annual business meeting. in other news: us stock index provider msci has agreed to include china's mainland domestic shares in its emerging markets index for the first time. the move is a step forward for beijing as it attempts to open up its financial markets and attract foreign capital. china's inclusion had been rejected for the past three years, amid worries about regulation and accessibility for global investors. a big step forward and that story has caused markets in china to move higher s

is essentially, we have a private equity component, bain capital.panese state-supported funds, the innovation network corp. of japan, which is really aimed at investing in new technologies and new areas, as well as the development bank of japan. and a competitor in the memory chip space is also joining, also in the form of debt, just to make sure that a they don't get caught up in any -- that they don't get caught up in any antitrust or regulatory hurdles. caroline: now we move forward, potentially, in terms of antitrust and regulatory hurdles. there were some issues with western digital not liking some of the people who were potentially going to be buying toshiba. have those sorts of issues been put to rest? reed: there are two main hurdles to think of at this point. one of them is, by and large, mostly resolved. that is not so much antitrust, but essentially the japanese government trying to make sure that key technology doesn't find its way overseas, into the hands of chinese or korean manufacturers. with the participation of those two state back

i was contacted by baine and company. when i went up to interview, i was just really impressed with the dynamism, the intelligence, the types of activities they were involved in. i really felt they could be an incredible learning experience for me. david: you have to then tell your parents, i went to law school for three years, i am a lawyer, and now i will not be a professional in that area. i'm going to go be something called a consultant. what did they say? kenneth: i must confess that both my parents were, frankly, concerned. they said, you have gone through this training to be a lawyer. that seems like a very good profession. what is it that consultants do? and i said, they advise corporations on strategies. well, ken, what do you know about business? i do not know a great deal about business, though i have some experience working with corporations from a legal perspective. well, how are you going to get the training? and i said, well, they are going to, in fact, put me in a training program and give me books, but i

bain is looking to finalize its scheme.plausibly looking at the final week of this very long ordeal. anchor: we seeing toshiba shares rallying up .8% in anticipation of any kind of news. thank you for joining us from turkey appeared still ahead, find out why china's top property bubble predictor jumped another 50%. betty: incredible. up next, the search for safety. shortage of safe haven assets may be the dark cloud. this is bloomberg. ♪ anchor: this is daybreak asia, live from hong kong. i am betty. served the dollar has the city well for more than 30 years and should stay. the monetary authority chief says the city is a small and up an economy, and keeping a stable exchange rate is important. hong kong links its currency to when.s. dollar in 1983, negotiations between beijing and london over hong kong's return to chinese rulspurred a capital exit us. betty: southeast asia's biggest online luxury retailer is planning to raise as much as $150 million working with credit suisse and goldman sachs. they want to boost the marke

remember they needed to give support, lyndon baines johnson ticket that passed. there'there is a variety of exes and for this one you are entitled to see what the government are up to a. why do we need strategies. every state has its own state public records law that entitles the state and local records like the town hall and school district. research i've done shows for example on average three quarters of the time they will deny you that information three quarters of the time the police break the law. this is pervasive throughout the country. they have no enforcement provisions or very little, no teeth. so it's stacked against a citizen and the only recourse is to hire an attorney and take them to court and who has the time or the money to do that. so i wrote with my co-author to help maneuver to the system to figure out how to get the information they are entitled to and unfortunately to no city and a little gumption and psychological human tactics. >> have you ever pursued? >> i was a journalist for a long time. i had to fire lots of public records requests.

. -- bain capital set to partner and offer $19 billion for the toshiba chip business. lobbying the japanese authorities. . j in a bid and inc for toshiba. of change are blowing across asian energy industries as an estimate and renewables takes off. solar and wind power could start pushing coal and natural gas out of business by 2040 with china presenting the biggest opportunity. china is really taking the lead on this, isn't it? >> it really is. our forecast shows over the next 20 years that china will be investing nearly $3 trillion in new power capacity, more than two thirds going towards renewables. part of that investment will be going towards coal. it is surprising because even though analysis has indicated china's investment and coal is beginning to slow down, but because wind and solar have not reached economic competitiveness, after 2020, china will build 75 gigawatts of coal. china is taking a leadership in the future of energy, but because of its sheer size, it's going to be a large market for everything in energy really. offaad: it is a long way and there ar

adam bain is -- adam bain is like nice. >> yes. >> i remember continuing with the wife analogy my wife that guy's the nicest guy in the world. could be good for them change of pace change of pace. >> speaking of disrupters, jack ma of course has been the focus of david faber for the past 12, 18 hours that exclusive, david. walk us through it >> yeah. you know, carl, of course we're here at gateway 17 this is an event that was put together by alibaba sometime back and hats been attended or will be attended by 3,000 small and medium-sized businesses here in detroit not all of them from detroit, i should say the event is in detroit. they're being drawn from all over the country, but particularly sort of the heartland to give them a sense as to the power of the alibaba platform to allow them to reach the consumer in china. it's all part of, of course, jack ma's globalization, he being a key evangelist for globalization in a time when really is t would seem to be in retreat. that was an area that he and i talked a good deal about in our interview. take a listen. >> my belief is a globalizat

we believe at bain that this is a healthy market for m&a.you would think that htough. >> it is my job to advise companies. let's break it down a little bit. what you think about the critical requirements, we believe there are four. the first is liquidity, and that borrowing rates are manageable. the second is that there is enough stability in the country that ceo's know what is coming down the pike. the third is a regulatory environment that is conducive to deals, and forth is a tax environment that is predictable. liquidity and borrowing is strong. altogether we think this is a fairly healthy market. back to your point about the numbers, the 2017 numbers are indeed lower than 2015. over the last 20 years, this is still a well above average market for m&a. yvonne: i want to bring up a chart on bloomberg. this is g#btv 308. i don't know if you can see it on our screen. let's pull it up. it shows the inverse correlation between political uncertainty and m&a volume. when you see political uncertainty, like here in 2016 spike, m&a activity actua

lbj, president lyndon baines johnson rushed through congress a resolution called the gulf of tonkin resolution which gave him a carte blanche to do whatever to support and protect south vietnam. it was the beginning of the escalation of the vietnam war. he believes it was not a true declaration of war, that was a needless and reckless and ultimately damaging resolution. and he was correct. it led to changing our country in still ways that are not completely understood and calculated. it was a major event in the history of our country, created a lot of concern about our trust in government. thousands and thousands of people dead. we were in a country where we didn't belong. ultimately had to leave. ripple effects throughout the world. he was correct. people realize that now. one of the most interesting aspects of wayne morse, at the time he was really the fiercest critic of the vietnam war. in lbj's face constantly that he was sending our boys off to be , just for no good reason to protect our economic interests. was lbj'se time, he person in the senate who helped pass all of the great society

bmc has been owned by bain and golden gate capital since they took the deal private.king up momentum. a fourth straight quarter of revenue gains at the software maker. oracle extended its record high in after-hours trading after reporting stronger-than-expected fourth-quarter earnings results. upbeat .5%. for more on this and other tech earnings, cory johnson and our guest cohost, activate cofounder and ceo, michael wolf. we were expecting a slight slowdown in revenue. cory: the numbers were super strong. their cloud business, what they define as their cloud business, fantastic. we've gotten accustomed to that over time. the question is, how can they manage the shift from licensed software to the cloud business, and what kind of struggles with that entail. it's a vast oversimplification of their issues. how do they move more to the cloud hwile keeping -- while keeping their revenues and their license business flowing? there are two big shockers that came out after the close today. one of them was just the fact that license sales seem to be better than services revenue

yvonne: let's go straight to that, that ¥2.1 trillion reportedly offered by bain.es that go to repairing toshiba's balance sheet? mark: it totally repairs it. we can argue the company is not going to be profitable afterwards because flash memory is generated almost the entire time for the company. it will not be profitable, but it will not have debt. this is a huge amount of money they are getting for this. major fundinghave issues after this. the problem is more in getting approval for the deal. digital,em is western their joint venture partner, is grating problems because they have consent in the joint venture agreement. they are demanding toshiba negotiate with them first. worry fortting toshiba to get the deal through, because of digital legal claims at the moment. betty: how much of a risk is that? how to -- how do you price in that litigation? mark: it is a real risk, they do have consent. what i think is going on, western digital is forcing, pushing, trying to get negotiating leverage to come to the table and get something out of this deal. the problem is, i

asÍ hincados, o arrodillados, porque no ca bain sentados. >>> dormÍan sentados. >>> sÍ, algunos, losban una galleta como Único alimento en el dÍa, habia niÑos de 9 aÑos de edad >>> dormiamos en el suelo, y muchos niÑos lloraban, gritaban, porque hace mucho frÍo ahi. >>> una jueza federal en california, ordenÓ la liberacion de menores para centros de inmigrantes antes del 23 de octubre, para que los entreguen con otros familiares. >>> deben ser entregados familiares o personas responsables dentro de 20 dÍas que se detienen, los jÓvenes no pueden ser detenidos mÁs de 20 dÍas. >>> el agua para tomar era fea. >>> denuncia condiciones in salubres en estos centros el departamento de seguridad nacional contestÓ, que estÁn revisando la decisiÓn de la jueza y revelÓ el nÚmero de niÑos detenidos en este momento. >>> en el centro de detenciÓn 51, kansas city 449 y soul texas 633 . >>> la asociaciÓn estadounidense de abogados de inmigraciÓn dice que estarÁ vigilante que cumpla con las condiciones inhumanas que son recibidos los niÑos indocumentados a este paÍs en los Ángeles edgar muÑoz, noticia

. >> i looks like bain as well. >> dit's true that people associate this with overweight people or menve an 8 year old cuss hon has sep as soon as they triteated it, h grades improved. i had so much more energy. the un-stop right there! i'm about to pop a cap of "mmm fresh" in that washer with unstopables in-wash scent osters by downy. and if you want, pour a little more, because this scent lasts for 12 weeks, which is longer than any relationship i've ever been in. right, freshness for weeks! unstopables by downy. for a fresh too feisty to quit. the toothpaste that helps new parodontax. prevent bleeding gums. if you spit blood when you brush or floss you may have gum problems and could be on the journey to much worse. help stop the journey of gum disease. try new parodontax toothpaste. ♪ t cu ♪ >>> your thursday mix is going to start with happy birthday wishes or happy anniversary to the device that change our entire lives. what were wei doing ten years ao yesterday before the iphone came out? >> hmm.

innovation network corp of japan, the development bank ofjapan, as well as us private equity firm bainrom south korean chipmaker sk hynix inc and the core banking unit of the mitsubishi ufj financial group inc. toshiba is rushing to sell the unit to cover billions of dollars in cost overruns at its now—bankrupt westinghouse nuclear unit. this has been a real crisis point for toshiba. will it finally sort out the company? when concorde first took to the skies in 1969, it seemed to herald a new age of supersonic travel. it was sleek, elegant and outrageously futuristic. unfortunately it was also very noisy and very expensive. it was never a commercial success, and when it was retired in 2003, it seemed the supersonic age died with it. but perhaps not the american company boom supersonic, based in denver has big plans for a new supersonic jet. and it says it will have a demonstrator ready next year. we have been finding out more at the paris air show. we will be also looking through the newspapers and news site later in the programme and sally will be joining me with that. let's turn our

the chance of thunderstorms here are not widespread, but the best chance will be north bain east a tomorrowthe sierra they have a winter weather advisory in place and they could have snowfall up above six thousand feet. >>> let's take a live look here, we have clear and partly cloudy skies. this is our san jose camera. a bit of a breeze out there as well. we have a lot of sunshine today with a nice start for your saturday afternoon. on the satellite, here's a circulation of towards our north with the rain. this instability, will move into northern california in the bay area for tomorrow. we are coming closer right now, you can see the winds out there really picking up in a bit of a breeze for this evening. fairfield has wind gusts over 20 miles per hour. oakland airport gusting to 31, and novato gusty at 29. sfo westerly 15, there's a bit of a breeze towards half moon bay as well. if you're near the coast you probably saw this shop conditions out there with the winds ramping up. this is the sky cats were tomorrow, generating the clouds and some showers. this is 4 pm sunday, but is not cover

a good thing in the sense that if you look at the level of bain capital, quality capital is up exponentiallyrom where we were in 2008. short-term funding is down quite dramatically. that is a good thing. the ability to return capital to shareholders is important to get a better return on equity, on capital, fund operations, and help grow the economy. . that is a good thing. the other side of it is the burden of regulation is such that it can begin to attack the system. vonnie: but they only have to do the be fast part. worthwhile.it is it is an evergreen process. it is appropriate for regulators to look at this and say, "are we doing this in the most efficient manner that we cancel the industries like banks can do what we want them to be doing, which is funding the economy?" anna: janet yellen was asked this week about the risk of financial crises, and she said she hoped it would not happen in her lifetime, but she also said -- shees policymakers said she thinks policymakers have a short memory. selke are we think are at a time of stability and capital strength where we can go back and say -

we may have news on the chip units, the self-imposed deadline to finalize the deal is today, incj.n bain and toshiba is one to watch. on theep an eye in -- hong kong index. the hang seng, there was a plunge in 17 stocks late yesterday. mostly on the gross internet -- growth market. some stocks up 90%. some see a link with a broker as under regulatory investigation. a few more interesting speeches out of china today. i am paul allen in sydney. more on "bloomberg technology," next. ♪ ♪ chang, and emily this is "bloomberg technology." google losing its biggest regulatory battle yet. european union enforcers say the search engine giant abuse its dominance to muscle out smaller search rivals. shares in alphabet have declined in the past two sessions. for more on what is next for google, what are the next steps for google right now? >> it is all about damage control. the main lawyer at google said the company is considering appealing. they have not said they will appeal yet. the other steps they will take, they have 60 days to show the european competition sheets that they are working on a six

a bain may not be as effective. there's countries that we can't travel to as americans. state department says you can't go there. if it's too dangerous for us to go there, why can they come here? >> i have no problem with the travel ban. it should pass muster. make sure that the intentionality behind it. i think its outweighed -- >> and you point out, a lot of the reasons why it's being pushed back on the ninth circuit and the other circuits is what trump said as a candidate is different from what they put forward as an executive order travel ban. for some reason, everyone on the left wants to say that's what he meant was a candidate instead of what is in writing. >> but we had the same question come up with obamacare. the things that. obama had said in the political sphere. the supreme court ruled that no, that doesn't pertain to whether -- the legality of this. i think when the security does take this up, i think they're going to rule in favor of donald trump. the constitution is very clear. the president, the executive branch has the authority to make these decisions.

. >>> old mutual asset management peter bain is stepping down. he's given up his roles as president, ceo effective immediately. james richie will serve as interim ceo. >>> this week has been about all central bankers speak. from mark carney's likely removal of stimulus to mario draghi's reflation replacing deflation. earlier we spoke to james bullard, co and president of the st. louis federal reserve bank, he argued the fed has been too hawkish in its recent communications >> i've got a flat rate path compared to the rest of the committee. my point has been that reaction to the march rate decision and then the follow up in june has not been that great in global financial markets, inflation expectations are down according to market measures the ten-year yield dripped down to, you know, 2.15, 2.10 now it's come back up in the last couple of days. we can talk about that but -- i think that the committee has been too hawkish for the data during the last 90 days or so now whether that is suggesting now, i don't know, but that's something we could talk

we all had auto correct problems, especially in the morning it's the bain of my existence. >> the reasonre about it is not because of this silly tweet, it's a window into the problem with random thoughtless tweeting when you're president of the united states. because look at the carter page tweet right after it. he now completely changed the white house narrative on page. everybody comes out, everybody who takes a phone call or place as phone call from that white house all of us will attest we don't know carter page, he doesn't have anything to do with us, we don't know who he is. the president changes that narrative completely owning carter page, owning his story and making him as credible as comey and brennan. >> correct. that's why we have tried to figure out what this meant or at least to make sure did this mean anything? we need to find out. but, again, this all gets back to the president. he's created this sort of environment where he does so much speaking on twitter. sometimes things that don't make sense but are actually related to policy or this on going investigation that we ju

. ♪ i've been dreaming of a time when to be english is not to be bainful ♪ ♪ to be standing by the flag

a good example of this is donald baines, he was a journalist. we can consider him a local color writers as well. he is going to write an article entitled "among the moonshiners." he talks about the moonshiners and more importantly he gets into this how the moonshiners can improve society. how economic modernization can be used to uplift these mountaineers. bring in jobs, connect them to the larger modern economy. modernize appalachia, modernize the mountaineer. there's the quote. in a few more years when the march of progress shall have sounded the moonshiners okay base will be gone. when he is referring to progress here he is referring to economic modernization. we need to bring in the railroad. companies and timber companies. to provide employment for these people. when the march of progress should have sounded through these woods and dales the moonshiners occupation shall be gone and in its stead we shall find farmers cultivating the rich soil that is running to waste. the stills that they use to convert that corn into liquor. and where now i

it had wanted an agreement with bain capital and other investors by today's annual general meeting. speeing to ctronetics. $38dutch company will offer and $.50 a share. that is twice 7% -- 27%. they will buy back as much as $1.7 billion of stock. deutsche bank is said to make a u.s. inflation bit that puts them on course to lose as much as $50 million. the german lender has been examining whether traders reached risk limits on the deal. such a loss would he a setback for the ceo us efforts to overhaul the lenders risk and operational controls. an official for deutsche bank in new york declined to comment. that is your bloomberg business flash. guy: thank you very much indeed. u.s. stocks fell after federal reserve chair janet yellen spoke. valuations are somewhat rich if you use some traditional metrics like price-earnings ratios. onould not try to comment valuations and those ratios, what to depend on long-term interest-rate and there is uncertainty about that. valuations and those metrics, somerd asset valuations look high. there is no certainty about that. that is a really big ch

against the brewers after going into extra innings, but the highlight of the game may have coming baind inning. there's a man wearing socks and a top. he's missing a very important article or articles of clothing. pants. underpants. none of that. well, full moon was out. they rushed the field from third base, made the way to brandon crawford. that's when he was eventually pinned down. unclear why he went streaking across the field. or which toom he was rooting for. security takes him down quickly. the giants win this game 9-5 in extra innings, but you have to imagine that was a topic of conversation. >> taking a live look from our at&t park camera this morning. the giants are back at home tonight. they're hosting the minnesota twins. you can catch that game right here on nbc bay area. first pitch at 7:15. >> pants recommended. >> always a good idea. >> 6:00 right now. a series of suspicious fires in the south bay. new surveillance video that could help investigators figure out what or who is behind it. >> plus, washington reeling after james comey's explosive testimony on capitol hill.

then after those formalities, there may well be more talks with the dup before theresa may willie bainmanuel macron in paris tonight. a meeting, a dinner, that was all arranged before the election. she will be heading off to paris at some point this evening, which means those talks with the democratic unionist party cannot continue indefinitely into the night, because those talks in france ta ke night, because those talks in france take precedence. just to bring you write up to date if you are not entirely clear what has been going on in number10 entirely clear what has been going on in number 10 downing street, there was quite a flurry because we we re there was quite a flurry because we were briefed that arlene foster would update us at the end of those discussions. some concern therefore that she did not appear. but we realise now that is because theresa may had to get over to the house of commons. worth telling you, no outstanding issues left, is what we are hearing. that is between the dup and the conservatives. they are working carefully through the paperwork to complete the deal

-japan group that includes bain capital. that does not include western digital.t out of this group. showing they now are seeking an injunction to block this toshiba chip sale. isthat semiconductor unit very prize, isn't it? westernhearing about digital upping their bid, $18 .illion or more for that unit this is the world's second-largest producer of said, chips, and as you it continues between western digital. you can get a roundup of these stories you need to know in today's edition of daybreak. bloomberg subscribers go to dayb on their terminal. also customize your settings so you only get the news on industries and you care about. this is bloomberg. ♪ ." this is "daybreak asia >> it is time for a quick look at what is coming up. asia, i'mrg markets: looking at the markets, a bit of risk all sentiment spreading as we got the fed decision, a hawkish tone. rishaad: we knew it was going to happen. we were certain we were going to get this rate hike. whatext wall of worry is happens to the balance sheet of the federal reserve and when is the next rate hike? on

f gave june 28 is a deadline or bain capital to sign off on buying the unit.igital submitted a new offer tuesday, despite an earlier bid being rejected. western digital soft to derail sales via legal means. yvonne: we will talk more about toshiba later on when we hear about the proxy advisor that plastered -- that blasted the company's board for poor governance. she joins us ahead on daybreak: asia. telecoms&t and china giants have signed a framework agreement to cooperate on more advanced network services for multinationals doing business in china. we can find out more about this agreement with chris, at&t's senior vice president in charge of the internet of things solutions. great to have you on the program. before we get to the details of this deal, i want to ask you, because you're in charge of iot -- it's such a big thing right now, it seems like it's hitting this apex. a day where we saw this global cybersecurity attack. i wonder if that forces you, when talking to clients and partners, to talk about the safety of iot. that is big on consumer's minds. ch

texas, and there's a political rally, and for the first time in your life you see in person lyndon baines johnson, the senator of the state of texas. what did you think when you first saw him? - i was bowled over by the helicopter. (audience laughs) i was on the town square and the helicopter landed. he traveled the state, this is the 1948 election, which he was beaten by 87 very contested and i have no doubt illegal votes down in the valley of texas. but he was campaigning hard in a helicopter, so who didn't want to see a helicopter in '48 the first year that helicopters were used in campaigns? so i went down to the town square and when he got off the helicopter took his big stetson and tossed it into the crowd. now i later learned that he did that at every stop and he had somebody on his staff who went and got the stetson and returned it to the helicopter at the next stop so he could toss it again. i mean i learned a lot about politics in that very moment. that realization that this was part of the game. this was just not that he had an endless supply of stetsons in the helicopter, but

mateo and durbar bridges. 880 is slow out of san leandro up to downtown oakland then you will see the bainlaza is beginning to get better. >>> at 8:46 not a bad day weather wise. let's bring in steve. >> not a bad day traffic wise compared to yesterday. thank you, sir. a little bit more in the way of low clouds and fog. by this time yesterday it was retreating fast. high pressure won out. we had a lot of upper 80s 20 -- 80s to low 90s. nice temperatures coast and buy, -- bay in the 70s. today morning clouds. sunny and warm if you're well away. there's even a little bit of a western breeze out the back of those. if it maybes -- makes it that far that's a sign it will be cooler. cooling begins, clouds and rain possible north of the golden gate. a cool and windy pattern into saturday as well. today some morning fog. some areas get the sunshine. sunny inland but we'll go from 50s, 60s and 70s near the water to 80ings for most -- 80s for most of the interior. i have a cold front approaching. there it is. it's been advertised for over a week. have to give #24e78 corrode -- give them credit there

find at bain that there's a story to be told that if you focus on a few categories in the med tech inspace that instead of having positions across 10 therapeutic areas, you have a leadership positions in three or four. there's a massive amount of growth and efficiency to be gained. if you look at the med tech and pharma spaces, they are still massively fragmented. if you think about your business 101 rule of three, we are years away from the rule three in pharmacy and attack. there is value to be gained from leadership. david: we are about to have dr. steven: on. how much pressure is on hospitals as being proposed by congress? insurance markets are potentially under pressure from health care reform as well. i will be honest. the fact that equities have gone up in the provider last couple of months has been a bit of a head scratcher for me. i cannot really understand why that would be in a world where there are likely to be fewer people who will have insurance. alix: and a broader 4000 foot wide perspective, we wind up -- the story is that ceos have tons of cash. they are not spending