this is just a cliff. >> brendan greeley with us from "bloomberg businessweek." >> facebook getting badits youngest users. ♪ >> good morning, everyone. "bloomberg surveillance." our twitter question on the second to last day of 2013 -- , howing of ipo debacle should facebook stay relevant? @bsurveillance. a free tweet. >> give zuckerberg some tips. scarlet fu, cristina alesci. brendan greeley from "bloomberg businessweek." they've had great covers all year. >> i can't wait to see what the first 2014 will look like. let's get to the top headlines. we need to start with what happened in russia. bombs exploded in volgograd, killing at least 14 people. yesterday a suicide bomber killed 16 people in an attack at a train station. these attacks, as russia prepares to host the winter olympics in a 6 weeks. volgograd is 400 miles away from sochi. "the hobbit" keeping the number one spot, bringing the total to 400s are to $6 million -- $436 million. "frozen" came in second. the philadelphia eagles scored a late touchdown and held up the dallas cowboys to secure the last playoff spot in the nfl. t

. ♪ in 2010, bloomberg businessweek featured a cover story on how far south africa has come from apartheidand hels wrote the story joins me now in studio. thanks for your time tonight. in the article, you wrote your first reporting trip to south africa was in 1992, two years before mandela was released from -- twoand two years years after he was released from ison and two years before he became president. what was it like? >> there is a lot of serious money betting this was going to turn into a race war. the reason why it didn't is due to nelson mandela. ofhas this remarkable way diffusing all of these terrible situations. he charmed a lot of people but he is also very hardheaded about things like the economy. when he got into office, they had been really sapped by sanctions for all these years and could have gone either way. look at zimbabwe next door. interesting because you mentioned the sanctions risk. there was a divide in this country about the sanctions. reagan was slow to act and there was a lot of pressure or members of the congressional black caucus and other circles as they have

she is also on the cover of this week's" bloomberg businessweek." she is up for the challenge.to what bob martin delhi had to say. -- bob nardelli had to say. >> she's got good focus but the challenge will be the competition, to enhance the platform and differentiate the blame -- brands. she will have to separate herself a little bit and bring that outside in perspective to be able to change what she had put in place. that is the toughest thing a ceo has to do. >> hard to forget five years ago gm and chrysler had an $80 billion bailout and six months ago, the last lights went out on the last plant in detroit. >> we are absolutely and, not in the nicest. of detroit. i just want to take a picture every day on the way to work and create a coffee-table book at the end of the year and reflect on the things i see. it was the only time in my 20 year career that i got up in the morning and there was this incredible sense of uncertainty. i did not know if i was going to have a job the next day. >> we were down to one shift, down from three. we knew things were getting pretty bad. i was

the cover of new "bloomberg businessweek" is on a .5 things that went right this year. ♪ >> the morning, everyone. "bloomberg surveillance." coming up, monday, chief strategy officer, burson marsteller, thomas gets nsemer. >> his take on all the shenanigans. >> where we are, where we are, where we're going, all of that coming up monday on "surveillance." alix steelt fu with and tom keene. our guest host is bruce ratner. we need to start with earnings that broke earlier this hour. library find a -- blackberry signed a five-year deal with foxconn. they will work with the chinese electronics parts maker to create devices in indonesia and mexico. library reported a loss of $.67 reported-- blackberry a loss of $.67 a share. facebook on track to take in $3.1 billion in digital ad spending. that isn't 7.4% of the market. google is far and away the number one. 40% market share. this is according to research sub --marketer for eve are good or -- e marketer. the european commission will decide where the end of today on whether to open an in-depth investigation. that is today's co

on the cover of the new "bloomberg businessweek," in inside look at mary barra.ame back fromer the brink. her role in helping that out. that comes out on shelves tomorrow. it will be available on the free app later today. this is "bloomberg surveillance." ♪ >> good morning, "bloomberg surveillance." it is time for morning must- read. >> looking at "the financial times" a columnist talking about silicon valley keeping the spies out writing -- good thing we have sam grobart hear from "bloomberg businessweek." how does the tech community reestablish its credibility as a business that sort of has confidential information won't betray you? >> it was in the tech industry may have to take a much more adversarial position in relation to the government, something they haven't really done ever before coming order to win back some of the confidence of users. the feeling right now is the government comes along and whether your google or facebook or apple or anybody else to say, here you go, here's what you need. >> they all to the same course at stanford, out on the west coa

. >> we will speak with all barrett of bloomberg businessweek about how oil corporations from chevron to bp are fighting all suits brought against them by attacking lawyers handling the cases. then in a major victory for prisoner rights advocates, president obama has commuted the sentences of eight people he said were serving unfair sentences for drug crimes. most of them were sentenced to life in prison for charges related to crack cocaine. we will get reaction from the aclu's denver turner, author of the report, "a living death: life without parole for nonviolent offenses." all of that and more coming up. this is democracy now!, democracynow.org, the war and peace report. i'm amy goodman. president obama has commuted the sentences of eight prisoners serving lengthy terms for crack cocaine offenses, saying they were "sentenced under an unfair system or go to a system included a 100 to one sentencing cap for crack and powder cocaine offenses, which was eased by reform law in 2011. all eight people who received commutations have served more than 15 years in prison, six had been sentenc

. >> bloomberg businessweek named you one of the 25 most influential people on the web.ctually influences you on the internet? that is a very easy answer. my absolute reference is elon musk, founder of tesla and spacex. he was here in paris a few days ago. we had dinner. i think he is so inspiring. it is amazing what he is doing. him, what is the next business i should start? he says, you should do electric planes. someone should do electric lanes. -- electric planes. take $1 billion in investment and 15 years. you should do it because it is fun. he thinks always outside the box . >> it has been great talking to you. do not miss our big interview later. the ceo of orange will be on the podium. >> the world second oldest bank more than doubled its workforce by using the financial crisis to its advantage. we what -- we met with one of the managing partners. without risk, there can be no reward. i am one of the three managing partners. the partners have full liability for the five years after they are retired. of illiquidity or effect bank goes -- or if the bank goes bankru

an incredible athlete. >> you could read the article in our bloomberg businessweek. us. ♪ qwest good morning. the hour,inutes past which means bloomberg television is on the markets. scarlett has your check of how we are shaping up. class i like the headline out of when newspaper. the fed begins tapering and the world is not and. yesterday, the s&p 500 find to a record high. a little bit of a pullback at the open. on the tapering announcement. nikkei 225 gained almost two percent. treasures holding onto their losses. that means yield on the 10 year, around a two-week high right now. we are getting jobless strains in just a couple of minutes. also, a firmer dollar right now. the dollar index at 8064. dip below $1200 an ounce. inflation still clearly a challenge with the fed challenging that level. >> thank you. off the redspinning lobster brand. the announcement is part of a plan the company says will enhance shareholder value. growth inans to spend the olive garden. blamesaid it is not to for a fire in a garage last month. reviewed saideing while there was a fire whe

first up, bloomberg -- bloomberg businessweek corner dan aykroyd to find out why trading places is thereatest is this movie of all time. everybody knows that trading places, which turned 30 this year is the classic american comedy. i would say it is one of the aboutovies american made american business. >> i cannot think of comedies about american business that have been successful. fax when you first got the script on the did you know what was happening at a financial level. >> i lived downtown and near the world trade center. i understood enough about it. washat i did not understand that in the pits mechanism of trading. i did not understand the response system. when i got in there with the guys taking the orders and learned about it, we became infected with the enthusiasm and adrenaline and believed we were there. you can see us in the movie shouting and out. we were trying to replicate the theory and frenzy that happens and that setting. that is entirely replaced by terminals. >> exactly. >> it is very complex at the end. can you describe to me in plain english why your character a

bloomberg businessweek also an article about the feel good today would not hold china mobile told any of it either. it did the deal might like to open it up ahead of rivals like china telecom tiny yukon the article argues that the truly threat to them even though the permission of the td lte four g network is even cuter branches offer it is unlikely because the price of more expensive yearbook that there would not rush into a four g market apple and china mobile corporation is a good opportunity for both them to keep up and run china. but still too early to say who the winners are in the deal they want to make more profit. the cold war effort okay that's all we have time for the good of the china price was right next to it and the cost of living in china. until then you can use any part of the code online at you and on tv. don't you i do. such. i mean the most feared italian drama fought in crimes. nothing and no one are what or who they seem not distinguished looking on the way. now police officers not only has nine children or even old fisherman the button. the new superman film. mo

. >> that was bloomberg businessweek. makeow can technology surfers even cooler?the most legendary names embracing 3-d and new technology to make one of the coolest things i have ever seen. also, with the tablet phone. look how awesome it is. >> it could be. ♪ ." this is "bloomberg west i am cory johnson. given that, looking to win , and meredithoval will be expanding, dealing with struggling magazines, like "be tter homes and gardens." legends usesurfing technology to make what they do even more awesome? using 3-d cameras and a series of innovation to hunt for the biggest waves in the world. we have a first-hand look at how technology is changing what they surf and how you can see it. check it out. , and are surfing waves waves,ere are surfing three or four stories tall, ones that terrified. >> it almost feels a little bit too much sometimes. >> angst to technological innovation, this experience has been captured in a cutting edge surf movie. the film follows famed surfers as they try to catch the biggest waves in the southern sea, and this could not happen witho

we want to alert you to the guest -- to the cover of "bloomberg surveillance -- of "bloomberg businessweeko coming of an annex our bloomberg television and radio, gamco chairman mario gabelli. think of it as a stocking stuffer. ♪ >> good morning, everyone. "bloomberg surveillance." scarlet fu and alix steel with me. >> finance minister dealing with failing banks. they will create a resolution fund. the finance minister has also agreed on a plan on how to share the cost of the program. the agreement among the finance ministers is seen as a big step towards completing european banking unit. senator max baucus is president obama's pick as the next ambassador to china. that is according to people with knowledge of the matter. the montana democrat is chairman of the senate finance committee. he has already said he will not run for reelection next year. and u.s. home values soared $1.9 trillion this year, the biggest gain since 2005, and with the increase, u.s. home values have never covered 44% of the losses suffered during the housing crisis. all of this according to zillow. those are your top

bloomberg businessweek associate editor. it is time for on the markets. industrial average loses about a point. 1841 on thehanged, close. the nasdaq loses 10.5 points. coming up next, "bloomberg west." have a good night. ♪ . . >> live from pier 3 in san francisco, welcome to the late edition of "bloomberg west," where we cover the global technology and media companies that are reshaping our world. i'm jon erlichman in for emily chang. our focus is on innovation, technology, and the future of business. let's get straight to "the rundown." the news goes from bad to worse retail giant the says in cryptic pin numbers were also stolen during that massive data breach. apple is on top when it c

. ♪ >> this week's bloomberg businessweek's etc.tures a restaurant that is no longer a secret. emma rosenblum joins me to unveil a secret. this was a secret, you have to book five years in advance to get into this restaurant? >> this is booked up for five years and you can send an e-mail to them to get a reservation but this is hard. >> tell me about the name of this restaurant and who is damon barrell. this is in upstate new york about three hours outside of manhattan. damon is the chef and the owner and the waiter, who does and gets allmself the food from the land he owns, he makes this in his yard and serves 18 people every night. >> what do they eat? molecularnto gastronomy, using dehydrated ingredients and advanced techniques. he is not trained as a chef and has taught himself to do all of this. >> he realized his career in the world of motorcycles was not going to take off because he was injured. he decided to move into this spot. he has been rewarded with several awards and is highly rated by culinary experts. sinces has been

. ♪ >> be sure to check out the latest addition of bloomberg businessweek. newsstands and your tablet today. you can read it on the go with our new business week at. welcome back. this is "bottom line" on bloomberg television. i am mark crumpton in new york. thanks for staying with us. rising mortgage rates and a limited supply of properties may be discouraging homebuyers. existing home sales in the u.s. dropped for the third month in a row. november sales fell 4.3%. the annual rate is now 4.9 million, the lowest level of the year. j brinkman is the chief economist at the mortgage bankers association. he joins us now from our washington bureau. welcome back. >> thank you. >> first-time buyers accounted for just 28% of sales in november, a year ago that number was 30%. what happened? >> first-time homebuyers were having a harder time putting together the down payments. we are seeing higher costs for fha loans and generally tighter credit commissions across the board. all leading up to the new federal rules going into effect january 10. we definitely hit a soft

and paul barrett the author of "glock: the rise of america's gun" and a writer for "bloomberg businessweekelcome to you both. dr. lieberman, since newtown, since aurora, virginia tech, since the navy yard shooting n each of those cases mental illness was traced on behalf of the part of the shooter is there anything that's changed in that time? >> well, you're right, gwen, it has been like a tragic deja vu all over again with the serial mass violence incidents occurring. and unfortunately involving disproportionately people with mental illness. but i do think there's reason to think this time maybe different. because in the wake of these series of mass swri lent-- violent episodes there has been a greatary tension, a greater debate and more legislative action to try and address the root cause of the problem, which is the inadequacy and lack of quality comprehensive mental health-care services. this is really the best way to stem many of the problem os associated with the historic health care disparity in not providing good care to people with mental illness. >> paul barrett, is that the roo

bloomberg businessweek's sam grobart decided to find out what the hype is about. >> kind of a differenttoday. not because i am in a mercedes-benz. i was picked up by david and vincent of stone security services. they are what we call bodyguards. they will spend the day with me to show me what it is like when you have a professional security detail. >> your plans are -- we are going to start with -- >> i will be at the office, 1:00 maybe stepping out to get something to eat. then back to the office. >> a simple day. you have a white male approaching. can i help you? >> i want to ask him a question. >> not today. >> what are you doing when you are not with me? >> it is a very boring situation. hurry up and wait. >> are you armed? >> we take a threat assessment, who is looking to hurt you. that may include as carrying a larger gun than we usually carry, which is a nine millimeter, eight they go up to a 45 millimeter. >> does everybody have a law enforcement background? >> they do. we send our gentlemen down to a camp run by the secret service where we refreshed ourselves with all the new t

here from bloomberg businessweek. she spent most of the past month inside of the courtroom.ormer hedge fund manager who now teaches at the lumbee business school and knows hedge funds better than anyone. -- at columbia business school and knows hedge funds better than anyone. sheila, let's start with you. high drama in the courtroom. michael steinberg himself fainted. give us a sense of the tone. >> you could not have made this scene up. the moment jurors were handing over the envelope to the judge's clerk, there was a scream in the courtroom and poor mr. steinberg -- >> from a woman or a man? >> a woman. i am not sure if it was his wife or one of his female friends, the courtroom packed with anxious -- >> a soap opera. >> it really was quite gripping. steinberg sort of hunched over, and for a moment it was not clear what happened. he fainted. the judges were saying is he ok, rubbing hiswere back. >> at that point, did the judge have the envelope? it was not like the jurors could go back and say maybe he was a nice guy. that to reporters. no, the verdict had already been han

bloomberg businessweek 's josh greenstein has been reporting on the topic did i shop there on black fridaynd i bought stuff they're the last weekend and i was nervous but i did it anyway. >> sure. one thing the critical networks are saying and target is saying as well as that the customers will not take the hit for this. credit fraud is -- two thirds of it the networks take on themselves. very rarely do you have a fraudulent thing show up on your carter than actually have to pay card andw up on your actually have to pay it. >> what is the impetus for credit card companies and stores to actually fix the problem? >> credit card companies have a financial incentive that they are the ones who have to lose -- to have to foot the bill for .raud it seems like they have a big incentive to do so. you would think that they would want to work very aggressively toward some sort of solution. >> this happened with tjx back in 2007 and they did end up putting a big part of the bill and yet nothing changed. will be needed a bigger scale twitter is the problem -- what would be needed on a bigger stearate -

he graced the cover of "louisburg is this week -- of "bloomberg businessweek." are earnings making any money? >> they are blackberry losses. the question is how bad will it be? on friday is the first time the new leadership at blackberry will get a chance to make the case of what they will do from here on out. came in recently and said very little. he said we are not for sale and we are still here and not dead but what will you do? >> how much is the canadian government involved? >> they have said they did not intervene earlier and did not want chinese investors to take over. blackberry is involved in mobile security. they blocked that. they are involved. >> isn't the focus on whether they will break up the company? >> everyone is looking at the different teases and how can you rake it down and what is valuable in their. i think that makes sense. it's hard to see what strategy is as a standalone company. >> you wonder how many earnings reports they will have. mean losses reports. it's all rigged. >> we will have a single best chart that compares blackberry to an

. >> on the cover of "bloomberg businessweek" is how blackberry became a relic. n download it later today. this is "bloomberg surveillance " on bloomberg television. ♪ >> good morning, everyone. "bloomberg surveillance." i'm tom keene with scarlet: alix steel. >> european banks might make job cuts next year. the lenders in the region will cut at least five percent of .rading and advisory the job cuts could be as deep as 15%. european banks have already cut 140,000 jobs in two years. a los angeles gas station owner selling artwork from a graffiti artist at auction. the flower girl is forecast to sell for more than $300,000. the owner said he did not know who the artist was when the artist started painting and later he removed a chunk of the brick wall to preserve the work. what started as a single walkout last year has grown into a national movement. fast food workers and 100 u.s. cities to walk off the job in a call for higher pay. they are looking for wages above $15 an hour and the right to unionize. average pay is nine -- nine and those arer -- your top headlin

. >> and speaking of management, on the cover of the new "bloomberg businessweek" the first female ceogeneral motors. that is out on store shelves today. ♪ >> this is "bloomberg surveillance." happy friday the 13th. kick it off, americans are confused about it going. just 42% of people polled by bloomberg could correctly identify bitcoin as a virtual currency. 6% said it was an xbox game. another 16% thought it was an iphone app. 46% had no idea what bitcoin was. hopefully, matt miller was not in that survey saying that. in a world of regulated currencies, goldman sachs is breaking ranks and predicting a drop in the dollar. sing the greenback will weaken next year and fall to $1.40 against the euro, a level that hasn't been seen since late 2011. the wall street consensus is for a stronger dollar next year. on in- says not so fast flight phone calls. transportation officials are considering keeping the ban on in-flight phone calls in place. the news came after the fcc voted to explore lifting the ban. the transportation overseas air travel circuits the last word on the matter. those are

the sure to check out the new edition of "bloomberg is this week." businessweek."e will also take a look at the sochi olympic games. because ofrotests gay rights issues. " bottom line" continues in just a moment. ♪ >> welcome back to this second half hour of "bottom line." let's check where the markets finish today as we hit the bottom of the hour. the stock market fell to its lowest level in a month. investors worried that the ends might be nearing for the federal reserve costs of work for the economy. -- federal reserve's support for the economy. the s&p 500 was pushed almost 25% higher this year. the dow jones industrial average was falling as well. it was down 2/3 of a percent. the nasdaq composite index was falling as well. let's check some of the top stories that we are following for you at this hour. the soft -- south african government official who had a translator providing sign language says that he was not a professional interpreter. the controversy surrounding the deafroup after death -- advocates said that his hand gestures were meaningless. he was sai