thanks again to bill ackman. jim cramer back at one market as well in san fran sara, over to you. >> when we come back on the show, a possible media mega merger in the works. more fox, disney, bob iger, the murdoch family author of disney war, jim stewart, weighs in quk t see wl be right back meet grant. his family. his steinway, which met a burst pipe. so grant met his insurance: you are caller number 12. which didn't quite cover the steinway. but what if he'd met pure insurance? owned by members. he'd have met: lisa, your member advocate. who'd introduce him to gustav, a temporary address, and help him get tickets to the mozart festival. excuse me, grant likes beethoven! uh, the beethoven festival. pure. love your insurance. >>> want to take a look at shares of both disney and 21st century fox. both of which are up rather sharply yet again. this, of course, a day after our report on the talks that took place over the course of let's call it early october into early november between these two companies. focused

and for bill ackman.a few moments. president trump continues his tour in asia and sends a message to kim jong un -- come to the table and do a deal. tax reform front and center on capitol hill as house republicans approved last-minute changes to limit the carried interest tax break. a look at what is an and what is out as the debate heats up. let's check in on the first word news. mark compton is with us. mark: president trump calls north korea a

he said i'm directly saying bill ackman doesn't know what he's talking about. that was august 10th. >> is that when he called you a spoiled brat >> yes and then he said on august 17th we strongly disagree with many assertions made by mr. ackman. it betrays a fundamental lack of understanding of the current state of our business. that's a press release by the company. october 20 look at how the message has changed 90 days later and this is carlos. we probably agree on a lot of different things the need to transform our technology at adp, need to be efficient to improve mar egyptian and he's a few years late in terms of the ideas he has, and he also said we just got it to another 500 basis point improvement over the next three years so if we's advocating for a 500 point basis point improvement we will be able to accomplish the same thing. the problem is the company didn't take us seriously and over the course of 90 days we've done a number of things, one, educate the adp shareholder about how big the opportunity is to run the company much more effectively. there'

threeclaring victory over and their activist bill ackman. results show shareholders voted to reelect all existing 10 board members, which keeps ackman off the board. shares on the news down to 10 sub 1%. is lisa ellis, senior research analyst at bernstein. a lot of work on this proxy battle. was this a question of right ideas but the wrong strategy on the part of ackman? lisa: i think it is a good characterization. teamikelihood of purchase winning this proxy vote was low from the beginning. adp has been a long-term outperforming stock and company. so the bar is very high to actually vote actively to bring in dissident directors. searching -- purging -- p did have support, but they did come into the proxy contest late and, quite -- and cally.antagonisti vonnie: it ackman had just said "put me on the board," would more have voted him in? lisa: yes. -- vonnie: we are you talked about the poll in advance, that since then, you have been talking to investors. there was real interest in the ideas he had. in theeal interest ideas. real acknowledgme

bill ackman joins me now. thank you for joining me.t do you want your holders to vote, this week? literally five business days left to make up their minds. do you want to replace three members? bill: we are seeking three directors on a board of 10. we love -- we would love all three to be elected and we think that would help recast the board and change the culture. in light of how far the company has bought back on the latest accusation, i think it is a huge win for us to get on the board. we were certainly an underdog at the beginning of the contest and we are in a good place at the beginning of the auction. vonnie: one person on the board, which would be yourself would be a complete when? bill: no question it would be a win, not a complete win. we have people that would add a lot of value. gettinghe benefits of three seats is we would be replacing three of the longest-running members. -- it is part of for them to challenge the status quo. , two other chairman directors on the board, you will now have three committee chairs they'll ha

and for bill ackman. he joins us in a few moments. president trump continues his tour in asia and sends a message to kim jong un -- come to the table and do a deal. tax reform front and center on capitol hill as house republicans approved last-minute changes to limit the carried interest tax break. a look at what is an and what is out as the debate heats up. let's check in on the first word news. mark compton is with us. mark: president trump calls north korea a threat that is a danger to the entire world. the president is in seoul where he met with the south korean president. he called on other nations to stop doing business with north korea. the president also said it's time for kim jong-un's regime to come to the negotiating table. in saudi arabia, the anticorruption crackdown is expanding. according to people familiar with the matter, banks are being asked to freeze the accounts of dozens of people who have not been arrested. so far, a billionaire prince, 10 other princes, and dozens of other foreign

that's a loss for bill ackman. >> i think it's the largest mar margin of victory for any large cap proxythat would hopefully be a message for bill it's time to move on. >> we're rooting for them. we hope they're successful if they're successful, the stock price will go up a lot if they disappoint, we'll get in there and make the necessary changes. >> i'm sure all of us here on this desk get one or two pr pitches a week for a new etf product. is there a market risk to this >> well, the question is do i worry? and the answer is you're damn right, i worry how can i not worry about it >> that caught my attention there from jack bogle, michael. >> yes, although a consistent message from jack, and one of the things that he said he's worried about with etfs is the concentration of the management of etfs, broad index etfs with three firms. essentially blackrock, statestreet, vanguard. nobody knows how this plays out as a market risk, structural risk for the markets he focuses on the key stuff that matters for the fair -- >> they have a fairamount of assets under management, too >> oh, vanguard i

bill ackman's hedge fund has a stake in the payroll company joining us now bill ackman, founder and ceor at pershing square i'm glad we have a lot of time, bill, because it's very detailed, very nuanced i want to do all we can to generate as much information from you, but i worry that for some viewers it's going to be so arcaine that it gets difficult in the most recent letter, you have some problems the letter was embargoed until 8:00, and we have it now your main points here are -- is that adp has not been totally forthcoming and is actually at -- i don't know that -- i think they've taken a low road in certain nstances? >> i think it's pretty common. you saw this in p & g. as you get closer to the vote, it gets more contentious i think the issue is very simple one, we think adp is not as efficient as it should be. the result is its narjins are half of paychex', for example. they compete with adp in 35% of its business if you apply that same 41% margin to the portion of adp's business, it would mean they make almost no money in the rest of their operation it's very unefficienunefficie

. >>> bill ackman lost his proxy fight to win seats on the board of adp the payroll company's investorsoted to reelect the entire 10% board at the annual meeting. ackman and his two nominees won less than 25% of support leslie picker reports on the battle >> adp announcing today that share holders re-elected all ten of its directors, pershing square's three nominees including the leader bill ackman received about a quarter of the shares voted at the meeting. adp krshceo carlos rodriguez described the results as an ass whooping he said in an interview with cnbc that his company should not have been targeted in the first place. >> i think it is surprising, frankly, that a company that has such a successful and strong track record would be attacked, and i think that it's really, i think, a sign of, i think, greed and avarice gone too far in the sense that you're attacking a good, strong company to make short-term profits using derivatives and stock options and other instruments designed to do just one thing which is put money in the pockets of a hedge fund >> but victory doesn't come free

scarlet: coming up, bill ackman of pershing square will discuss the gdp boardroom battle.k, this is bloomberg. ♪ ♪ is "bloomberg markets." on scarlet fu. julie: on julie hyman. billionaire activist investor was met with disappointment today after contentious proxy battle with adp. adp shares initially declined but as you can see have since recovered and are now higher by 1.4%. bill ackman spoke with vonnie quinn and spoke about white markets are reacting favorably to the proxy outcome. >> when the company came out and characterized the results, the stock went down. i went on another network and explained the facts and the stock is now up today. wise it up? up?hy is it next three has the quarters to demonstrate what they have committed to shareholders. they won the contest fair and square because they committed to meaningful higher margins, they committed to launching a product to address their losses in the enterprise space, and they committed to returning to growth. it has been a tough quarter, this past quarter and they are expecting the growth to turn, beginning in the

bill ackman, no seats on the board.ted and bill ackman got less than 20% of the vote to get one of his guys on the board. he did say, though, that he's going to maintain his stake, no matter what. down bye gets smacked 8% in the premarket. you are looking at potentially the worst day for this company since 2012. the deal is that costs are rising as priceline has to spend more to lower customers from other spaces like expedia and air b&b. inght watchers, crushing it the premarket. 291% rally this year. good thing for oprah. she owned a 10% stake. it is the eighth straight game as weight watchers continues to crush it. john? winning, they are that's for sure. another thing winning for the last couple of weeks, crude near its highest level in two years. with a shakeup in saudi arabia, investors are piling into oil. ,oining us now is tony dwyer the chief market strategist. great to have you with us. talking about crude, what does this mean? >> it has a lot to do with saudi arabia and more to do with global demand. a synchro

processore payroll decline victory over billionaire activists bill ackman. iminary results show voters voted to reelect all existing 10 adp directors. that keeps the three nominees including ackman off the board. >> the company has three quarters. the next three quarters to demonstrate value to shareholders. they won fair and square. they committed to returning to growth. they had a very tepid order this past quarter, and they are expecting the growth to turn the middle of next year. if shareholders don't see those commitments met by the company we will be right back there three quarters from now, nine months from now for the neck -- next annual meeting. >> donald trump has arrived in beijing on the third leg of his tour. he will look for wins on everything from america's massive trade deficit to reining in north korea. >> on trade, the deficit is a major bugbear for president trump. we saw these numbers coming out of beijing showing in the first 10 months, the trade surplus the at china has with the u.s. came in at about 220 billion u.s. dollars. that will b

a shareholder meeting on tuesday, and the company's proxy battle with pershing square capital's bill ackmanreach the resolution. pershing square is seeking three seats on adp's board. in an interview this week, ackman insisted that getting even one seat would be a huge win. bill: i not seeking to be ceo of am the company. we are seeking to add one to three directors to the board of the company. it will change a minority of the board. it will bring operational experience, things that are not present on the board of directors. vonnie: if you are so enamored with the company, why not take a position of casually suggest potential changes as opposed to going all out and waging war? mr. ackman: we are not waging war. we have stayed away from ad hominem attacks and accusations of the company that they have made against us. we have focused on the core issues. this is a great company. but that is really looking backwards. the company has fallen behind competitors. it's lost major market share in the enterprise market. this is for companies with 1000 or more employees. other companies have taken away

coming up, we will be talking to bill ackman.s here on bloomberg television. ♪ who knew that phones would start doing everything? entertaining us, getting us back on track, and finding us dates. phones really have changed. so why hasn't the way we pay for them? introducing xfinity mobile. you only pay for data and can easily switch between pay per gig and unlimited. no one else lets you do that. see how much you can save. choose by the gig or unlimited. xfinity mobile. a new kind of network designed to save you money. call, visit or go to xfinitymobile.com. vonnie: it is 11:00 a.m. in new york, 3:00 p.m. in london and tokyo.m from i am vonnie quinn. mark: i am mark barton. ♪ vonnie: here are the top stories we are covering from the bloomberg and around the world. a 24 hour setback in the tax reform process. republicans pushing back the reveal of their long-awaited bill until tomorrow. does this indicate more republicans are not getting on board? it could be a game changer when it comes to working on wall street. morgan stanley le

bill ackman back with us here today in studio. welcome back. >> thank you >> let's start.al push how are you feeling going into this vote? >> great. >> yeah? >> even though david faber earlier reported that according

lease payment on select models during the season of audi sales event. >>> don't forget monday, bill ackmann "the halftime report." it is his last chance to make that pitch to shareholders before the key proxy vote, which is set for tuesday do not miss bill with us right here on the set. looking forward to that. let's do final trades. josh >> i want to point out kansas southern, ksu. the transports have taken a little bit of a break. i think they can get energized into year end. this is my favorite name, and i think once this up trend is re-established, look out above >> lowe's. it got hit yesterday on the tax bill coming out. what's interesting, it traded down more than toll, which is right in the sights. i think it's up today and trades up a little more by the way, scott, i did get an e-mail from a patent attorney saying i'm right about innovation >> oh, good lord last name weiss? >> i did read the e-mail dove tailing on my speech a little bit ago on financials, i think we should look at value still. >> no time for speeches. >> value is underperformed i think there's a lot of good stuff u

it is d-day for bill ackman.or finds out if he wins or loses in his proxy battle with adp. >>> plus, snap ceo breaks his silence on twitter oh, snap with two words fake news. we'll explain as the final hour of "squawk box" begins right now. >>> good morning welcome back to "squawk box" here on cnbc live from the nasdaq market site in times square i'm joe kernan along with becky quick and andrew ross sorkin my nose -- now i'm getting nervous. let's get a check on the futures right now. indicated higher on the dow at least. for most of the morning. up 18.5 now. the nasdaq indicated to open about four points lower. the s&p down a point treasury yields have been moderating sort of inexplicably, i guess. you always have to look to europe to see what we're doing here sometimes it doesn't seem like it matters 4.1% unemployment. isn't it 17-year low and 2.3 on the ten-year >> as one analyst pointed out today, you have junk debt in europe that's trading at lower level says than a ten-year here, and where does it make the

. >>> the activist investor bill ackman lost his proxy battle with adp, the $50 billion payroll processing term. ackman failed to gain any b seats after shareholders voted to reelect all of its directors. but despite today's loss, ackman says he wants to see the company be successful. >> we're rooting for them. we hope they're successful. if they are successful, the stock price is going up a lot. if they disappoint, we'll get in there and be able to make the necessary changes to make this a much more profitable business. that the business of shareholder activism. we have won and lost proxy c conte. one of the tools we use to influence a company. >> ackman had called adp's management inefficient and blamed them for the company's poor performance. but after today's results, the ceo of adp says it's time to move on. >> i think it's the largest margin of victory of any large cap proxy contest ever. and so i think that would hopefully be the message to bill that it's time to move on. i think that the pension plans and other investors that put money into this fund and charge him and pay the exor

apartment not on the market is the famed penthouse on the 75th and 76th flo that hedge fund billionaire bill ackman purchased for $91 million. he has said he expects to be able to sell it for more than twice that. of course that's not liky anytime soon. for "nightly business report,. >>> and that is "nightly business r for tonight. i'm sue herera. thanks for joining us. >> and i'm bill griffeth. have a gre. >> this is "bbc world news america." funding of this presentation is made possible by the freeman fodation, and kovler foundation, pursuing solutions for america's neglected needs. >> planning a vacation escape that is relaxing, inviting, and exciting is a lot easier than you think. you can find it here in aruba. families, couples, and friends can all find their escape on the

. >> and facing a tough road ahead, bill ackman suffers a setback. >> they won the contest fair and square. positivel be a very and please with the first year. >> that company, there is always something that can be and should be improved. >> from free trade to the gender pay get. the best conversations. >> we are hoping to model what is possible. >> we are trying to find a way to protect. >> we need to embrace the new technology. >> it is all straight ahead on bloomberg best. ♪ >> hello, and welcome. i'm rosalind chin. this is bloomberg best, the most important analysis around the world. as markets open on monday, investors were trying to make sense of the weekend shakeup in saudi arabia. the crackdown in saudi arabia. weekend, we have effectively carried out the arrest of billionaire ministers across saudi arabia. the purge in the name of a sweeping anticorruption drive brings it closer than ever to power. and certainly for investors in the region. is beingale of what done. the enormity of the implication in terms of the influence. acrossre top names industries that have been on the busin

down about 40% i'm tyler mathisen here is what's happening after a three-month-long battle, bill ackman loses his bid for three seats on the board of adp. home prices rose 7%. 48% of the nation's top 50 housing markets are now considered overvalued. a record number of people signing up for obamacare plan on the first day of enrollment season in california, obamacare sign-ups were up 25% on the first day. michelle >> i'm michelle caruso-cabrera as melissa pointed out, stocks are managing to carve out new record highs earlier today volatility in this market has been on a downward slope check out wall street's fear index. the vix, down more than 45% in the past year. with volatility low, driving trading volumes lower. some are looking to amp things up and they plan to do so on the back of some popular names like facebook and netflix and popular products our bob pisani joins us. >> we need a fang product. we are going to get one tomorrow intercontinental exchange, the parent of the new york stock exchange is going to launch nyse fang under the symbol ny fang. it is a quarterly futures contr

this is the kind of thing that bill ackman does.he kind of thing that bill ackman needs to do especially after the valeant chipotle herbalife debacle. happen, if heis gets the board seats, if he's able to increase the stock on adp and make himself and his investors some money, it will begin to repair his damaged reputation and maybe he isn't toast. this might be his waterloo. it's a very big bet. 2.6 billion dollars. vonnie: it is huge. given his track record and the amount of activist battles that have gone his direction, shouldn't investors give him a little more time? at what point do major investors pull a lot of their money? >> major investors have pulled a lot of their money. it was at one point more than $20 billion. now it is 10 or less. to be raised money publicly in amsterdam. without that buffer who knows where this would be. any activist investor is only as good as his latest hit. bill could make this work. he is a smart guy. he does his homework. he does his research. this feels like an uphill battle. claiming a 1200 ba

he went after one -- undervalued and had a lot of value to bring out but does a pretty good job bill ackman has been on every show and been trying he's a good company and carlos was doing a lot of things ackman wants ackman has some great figures about what more it can do but it's just not bad enough i mean automatic data is not bad enough to merit a win by ackman. >> yeah. >> certainly they manage to get media savvy in a hurry which according to carlos was an advantage ackman thought he had. >> he came out swinging mr. rodriguez very early and quickly, calling ackman here on the set a spoiled brat guys, jim, nxpi, the deal qualcomm has to acquire the company at $110 a share, which we have spent time talking about has added another layer of complexi complexity given broadcom $70 share a bid for quaulcom we don't mind if you buy for 110 bucks a share, we think it's compelling at 110. what they are not saying but what is being said as well though, don't pay more and so yet another thing for nxp shareholders to take into account. we've talked about they believe the stock price would trade at t

. >> and facing a tough road ahead, bill ackman suffers a

well, i don't know, i mean that's -- we have to get -- we should get is bill ackman on today? want to get to rets, one of the great wins was general growth property and that stock is up. this was in the journal last week and then i guess a lot of it got leaked there but they did come out and say this morning brookfield which owns 34% of the company, big real estate owner, canadian, they want to offer 23 in cash or .9656, one of their limited partnership units for each share of ggp. stock trading above the implied value, expectations are to buy the other 66%. they don't already own, brookfield will need to increase its offer and thoughts that brockfield itself is undervalued. >> there's a lot to talk about >> in a significant way. >> we have a lot of retail this week. >> there's the semianl you'semil meetings going on, a lot of people missed mas rich, to have taken a significant stake. that company was pursued a few years back by simon properties. >> right. >> just some questions here in terms of the raet areas whether we see consolidation. >> a malls are getting good rents, a

and so i think it's time to make some changes you know, bill ackman made a big run at the company fivethey warded him off, but bring nelson on the board, and before more radical changes take place, and they made improvements, but they have to move a lot faster at getting their results up to speed. they're just not there at all. >> yeah. nik, i wonder what shareholders are going to think this morning. you're getting different language from both camps but trian's point is we're going to spend more money now contesting us at this late point? and delay us for what could be weeks if not a month or so what do you think shareholders are sort of feeling as they hear this news this morning >> yeah, david, i think it's all drama. right? this is today's version of the soap opera, which p&g created many, many decades ago the reality is this. from a stock picking perspective, and i won't comment on management, you know, philosophy or whatever the reality is it doesn't matter for the stock. i have repeatedly said that. you know, the reality of the situation is they have done a lot of good things to

is there a chance of nuclear detonating in the bill ackman in the pacific?: the foreign minister during the united nations meeting in new york, this was all happening and all of these threats were happening during the. of "fire and fury" that we heard from donald trump that has calmed down it was absolutely of herbal revocation coming from north korea. i think it is interesting that every time north korea fires a missile people describe it as a provocation. but you have to look i think, at every missile to north korea that has been fired. it could be part of a long-term plan to develop the technological know-how to be able to deliver a nuclear warhead to the united states and in order to do that, you have to test your missile. and that is what they continue to do. you have to test your nuclear's as well, and that is what i think we need going on. north korea will soon be able to declare its goal of holding the united states to run some, it will declare itself a nuclear power and after that, maybe we'll see the new missile test coming to an end. but it will s

how all the money's been spent and the turn of the tide, and companies are fighting back after bill ackmanso forth, now all of a sudden activists claimed their highest profile, highest dollar amount target yet >> no doubt about it, companies are still going to fight this one did fight pretty hard i do think it raises the question, i think the assaults on p&g and the efforts with adp as well which did not succeed did show you that activists were a little bit at a loss in terms of trying to find ripe targets because these were not truly broken companies that part of the story remains intact yeah, it's very much true it's a huge win people thought it was folly to go after a company of this size. as i thought about it, it was 43,000 shares, that is the margin it is basically nothing, it's 2.5 billion shares i believe is the total. >> hanging chads, david. >> reporter: it's a rare day when i can tell santoli something. >> that's because you don't show up in the 4:00 that often. you would probably have a lot of opportunity. >> reporter: i know how long a day you work, and you know how long a day

i'm emma chandra in the hewlett-packard enterprise greenroom. .oming up, bill ackman this is bloomberg october sales numbers. sales fell 13%. light vehicle sales were up beating the 4% estimate and gm was a miss. to discuss is david welch, bloomberg's detroit bureau chief. kind of a mixed picture here. how much does it depend on which automaker was most dominant in texas and florida which were the most hit areas in the hurricane. a it is shaping up to be pretty solid month. general maters may have sold the entire industry. that is an annual rate of 18 million vehicles. even if they are wrong and it is 17.5, that is still a really solid month. even the fiat chrysler missed and they were down, a very good month for pickup truck sales. that is what really powers the profits. i think the hurricane recovery is helping pickup sales in general. that got some deals on there as well and that is where they make their money. you touched on product mix and incentives. incentives can be bad because they lose money. what do we know about profitability as opposed to vehicle sales numbers? >> profitab

bill ackman sold about 13 million shares of restaurant brands, his biggest winner in 2016 back over tos. >> thank you very much >>> when we come back, the fda commissioner, dr. scott gottlieb will join us about a warning for an herbal supplement you can buy at your drugstore. >>> and at we will have greg fleming as our guest host. >>> and at 8:30, paul ryan joins us with the inside scoop on tax reform stay tuned, you're watching "squawk box" on cn bc another day of work. why do you do it? it's not just a pay check, you actually like what you do. even love it. and today, you can do things you never could before. ♪ ♪ you're developing ai applications on the cloud. finding insights hidden in decades of medical documents. and securing millions of iot sensors. so get back to it. and do the best work of your life. ♪ ♪ i am the proud father of aeness very strong little girl named and do tadelaide work of your life. who was diagnosed with infantile spasms an incurable and debilitating form of epilepsy. it's been a devastating journey that has robbed my baby girl of normal development. that's w