paypal may not be part of ebay for much longer, according to a report. reportedly telling for thel candidates paypal ceo job that it may be spinning off a miss next year. joining me now is the former square coo, also a member of the paypal mafia. what do you know? is ebay telling people they will spin it off? >> i don't have unique information. i think it is a good idea. i think i have a better solution, which is to rebrand the company, change the logos, change the paint and the t-shirts. you get the same value as spinning off to paypal. change ebay to paypal. just rename the company. it is a simple solution. you could probably do it in 24 hours. a lot less financial gimmicks involved. the market cap will appreciate paypal. people will want the job. it is a simple solution. >> would that involve john donahoe demoting himself? >> i don't know about that. but if you want a serious leader for paypal, you will have to create an attractive role. john donahoe has had over and over again, he battled it out publicly with carl icahn that these companies are stayi

but the real winner might be ebay itself.ll that and more tonight on "nightly business report" for monday, august 25th. >>> good evening, everyone. i'm susie gharib. tyler is off tonight. >>> topping our news, uncharted territory. that's where the s&p 500 index went today, crossing 2000 for the first time ever in intraday trading and marking the latest milestone in the stock market's historic bull run. corporate takeovers, which we'll have more on in just a moment. and hints of more stimulus from the european central bank help stocks hit that psychologically important number. adding to the enthusiasm, a report from the chicago federal reserve, which shows economic activity expanding at a rate above its historical trend. by the closing bell, the dow rose 75 points. the nasdaq added almost 19 and the s&p 500 up nine and a half points closing at 1997.92. dominic chu has more on the 16-year journey for the s&p 500 to cross that 2000 mark. >> reporter: february 2nd, 1998. remember what it was like back then? the average price of g

a new report that ebay may spin off paypal next year. this after amazon launched a new payment product. from square to paypal to amazon, who will the big winner in payments be? i'll ask. lead story of the day, hp chairman and ceo meg whitman says the silicon valley legend has become stronger through the adversity they faced in the ongoing turnaround. but the job is far from over. in his third quarter, hp posted the first quarterly sales growth since 2011, fueled by 12% gain in the pc units of the division supposed to be key to hp prosecutor like services and printers, software, saw sluggish sales. hp stock continues to rise. many asany cutting as 50,000 jobs. what is really going on? cory johnson is with me in the studio. and our bloomberg intelligence researcher is with us from new york. we spoke yesterday. you said this was not a step forward or backward, kind of a step sideways. cory, you have been doing some additional digging. were the results good or bad? >> the pc results were strong. 29% year-over-year drop in profits is just not

remember ebay's settlement with carl icahn.cahn withdrawing his proposal to attempt to separate ebays paypal business. joining us now on the phone is the person who broke that story. jessica lessen, founder and editor-in-chief of the information. jessica, thanks for going to the phone this morning. >> thanks for having me, kayla. >> talk about this story. the information, subscription only. a lot of people haven't been able to see this. it basically says, in essence, that when ebay has been interviewing potential candidates for the role, it's been telling them to prepare for this to be a separate unit. is that correct? >> that's a little close to that. i mean, basically, in the concept of talking to candidates, this issue has come up. so, you know, ebay has, you know, indicated to people it wants to replace markets, this is something they're considering. no idea if something they've decided to do, but thought it was interesting it came up in the context of trying to find a new leader and shows the issue is very much on the tabl

ebay uk is advertising that next. find us on e-mail, find us on twitter, we'll see you after the break. >>> hi, everybody. good morning. u.p.s. revealed it was hit by a data breach. u.p.s. says that the malware has been eliminated and that all branches are safe to use. earlier this week, community health care systems had a data breach that saw 4.5 million customers data stolen and the grocery store chain super value reported a criminal intrusion into its network a week earlier, impacting 18 on stores. what do companies and consumers have to do to protect themselves from hackers? ollie is with me. good morning. >> good morning. >> how common is it to see cases like this where somebody hacks in and takes a whole bunch of information? >> ever present, unfortunately. we're seeing a transition where people would historically attack websites and then move to retail establishment establishments. the events have always happened and disclosure has been the issue. >> what could i as a business do to avoid this and what can i as

melissa: you leave ebay to die. >> ebay is going away. >> you do what time warner did.eff bewkes, did a great job breaking that up company. the magazines will have to survive on their own. cable company will have to survive on its own and it was sold. crown jewel is left and who knows what will happen with that. i will say this though, this is funniest part of the story because i covered it. carl went from calling donahoe a moron, literally a moron almost, say, he is a wonderful man, like three days. something had to happen. melissa: we did all kind of wonder behind the scenes did they make agreement they would spin it off on the road. >> yeah. melissa: we talked about that. for him to make such about face, i talked to the guy he has a plan. he is good ceo. >> he was on your show. melissa: did they make some sort of deal behind the scenes to do this now. >> i got a call into carl. he yelled at me about something the other day. melissa: you're used to that. >> but i, the funniest part of the story is within hours, and it was literally hours, donohoe went from the worst c

. >>> ebay prepares for a possible spin off. the company is reportedly getting ready to spin off paypal, that's the fast growing payments unit might do it as soon as next year. the activist investor carl icahn has you may remember had been challenging ebay to make the move and ebay spokesperson says the company's position on paypal has not changed. ebay shares up 5%, $55.89 the close there. >>> wall street had the first chance to react to hp's earnings as you told you last night. the pc maker posed a surprise increase in the quarterly revenue and meg whitman says she's happy with the results. >> it was a milestone for the company. after three years we put up 1% revenue growth. it's better than the declines we've had. >> shares on a nice ride today up 5% or so to close at $37 on the button. >>> family dollar stores rejected dollar general's $9 billion acquisition offer saying it would be too hard to pass regulators and renewed support from an officer from dollar tree. dollar general says its reviewing the options. you need a scor

. >> ebay, you don't normally associate with apple computer.ut "wired" this morning on the blog was commenting that the new iphone 6 to be launched or at least introduced on september 9th is going to have some form of patented payment processing system which the logical kind of takeaway would be is this a threat to pay pal? we also know that ebay recently has carl icahn on their heels. he had been pushing for a pay pal spinout and the company acknowledged they were going to do so. but today when the stock was 5533 there was a large trade in short dated puts. september 12th weekly puts. there was a buyer of 12,000. the options volume went really hot today about 2.5 times average daily volume. when i think about that trade in the context of the high volume and the news, it looks like short term protection for an ebay long. this is the implied volatility, the price of options in ebay. you can see it's popped here off of 52-week lows. a lot of that has to do with some of the pay pal excitement as far as the spinout but then also all of that buying.

and another stock i'm watching is ebay.oday they're up about 3% on news that perhaps the paypal unit may finally be spun off, liz? liz: looking at that too, an interesting movement jolene kent, live from the nasdaq giving us perspective which we love to give to our viewers. thank you so much. >>> all week long, we've been telling you about real breakthrough technologies in unmanned aircraft or drones. but how about a seafaring drone that could change the entire face of naval warfare? created by textron systems. look at ocean going drone. what can it do? roam up to 1200 miles, deal with huge waves, terrible weather. it's guided by satellites and gives maritime war fighters a potential game-changer in a battle with an enemy without putting u.s. sailors' lives in harm's way. here with me in a fox business exclusive to discuss all kinds of drone technologies is ellen lord, textron ceo and president, part of our "rise of the drones" series. >> great opportunity to talk about one of my favorite subjects. liz: drones are cool, vis

you might have seen her trying to peddle them on ebay. we have details next. this is huge.

male at ebay. these numbers tell a story. >> they do. 47% of the workforce in the u.s.cording to the census in 2010. the female numbers are not that far behind. but when you look at the leadership ranks and also the tech jobs, the stem jobs, those are dominated by males. >> why are these numbers important to these companies? >> they are important for a few reasons. people really expect silicon valley to be on the cutting edge. and technology sort of promises this idea of the great equalizer. when you look at these numbers, that is not the case at all. perhaps more importantly, diversity studies have shown that diversity really helps foster creative innovation. companies do better when their boards are diverse. there are a lot of reasons that it benefits companies to have more women, more minorities, and more people that reflect the customers. >> when you were doing some research for this, was there anything that surprise you, anything that jumped out at you? read, -- >> the more i read, the more i realized these numbers are not surprising. >> that is what i thought, too

zon grew at 40%, ebay grew at 10% and google shopping grew at 40%.ed bag there. >> right. amazon got a nice lift after that report. how closely do your results report with those results. >> if they're selling on a.m. zon they know how they're doing against their peers. the other benchmark is ecommerce is growing 13%. our customers are growing 3% faster on amazon. the egm is electronics and general merchandise. we don't see any first party and we don't see anything around the media category. some wall street analysts have shown that our data is pretty correlated to amazon but that's not why we put it out there. >> in terms of ebay's slump, is it because it's losing share? it's not as effective of a tool? is it more of a temporary tool? talk about what's behind that slump. >> yeah, so ebay's had a tough couple of months. so they had an action from google with the panda update. they indexed a lot of the ebay contend. th -- content. they had a data breach. they had to make everyone reset their passwords. what you find is it's very hard to get users to re

mark alperin was writing and he kind of made a pitch and it worked. 2001 ebay gave them one of theiron businesses and the stock has spent the early part of this year under the early part. we ran into a brick wall but last year the earnings were starting to come back pretty good here in the company sold almost 24 million items. and it was up 5%. so if you do that, revenues are up 67%. and it it's made a big move and then the next leg up, we will take you up to $140. to what do you think of this one enact. >> my doctor says that you have to watch cholesterol, it's a wonderful business but i think it's pretty high and when i look at this, it's pretty erratic. we have some big up-and-down moves. and only 3% of all sales are done online in latin america and there's a lot of potential. so almost 73%, big margins. >> this company has virtually no competition. 90% of revenue comes from them and this is what i love about it. charles: ebay recently did a deal raised a lot of money and then there was a lot of scuttlebutt today and a lot of people think that they may take this money and buy the

you see ebay doing the same thing with ebay now, where they are partnering with retailers trying to givehe big retailers a way to be online and compete with amazon as it marches on. >> with ebay now, we talked to john donahoe about this, and he says it will be a niche business. amazon has such a lock on delivery. can google really compete? >> i think it can, but you will get into a much more interesting long-term story about alternative ways of distributing things same-day, which comes a story about drones, self driving cars, and suddenly i get my groceries from drones are self driving vehicles. this is the direction all this is going, those mundane things we don't really want to do that will become a big chunk of how things get delivered. you can't do them with fedex because the economics are broken. so i think that is where this is going. >> i have tried google shopping express. it is ok. there is not a lot of inventory. but i guess if they build it out, perhaps it is a way for retailers to compete. >> one of the reasons this is happening now is because amazon decided to bite the bulle

lendingclub is almost like ebay. you have buyers matched up with sellers.ingclub the product is money. the buyers are the borrowers. wall street is looking at this not just as a bank or a financial institution, more of a technology play. >> there is so much more competition to lendingclub. i wonder if all of the lenders show up on that platform, do we expect those rates of return to the investor to come down? because there's more competition? >> it is risk-reward. there comes a point whether on , you have to price the risk. it is no different than an auto insurance company. if a driver has five accidents, you're going to charge him a higher premium than a driver that may not have an accident the last five years. it is no different than how lendingclub operates. the greater role the risk of the lender or the source is taking, it has to be priced properly. or is a floor where there is not a return. the risk is too great without getting a property yield. we will goldin, continue to follow lendingclub's road to ipo. thank you. speaking of banks, jpmorgan and fo

that has encouraged ebay to do exactly that earlier this year. quite a push these split off from each other, ebay being one company and then another. >> and panasonic. >> yes, the chief technology officer from panasonic will be on. scoreboardstalling in sporting venues across the country. we will talk about the technology behind all of this. that is coming up at 3:00. >> all right, that is at the top of the hour. thank you. coming up, a u.s. court calls argentina's latest move to settle its debt illegal. we will look at what argentina plans to do next to settle its obligations. "bottom line" continues in just a moment. ♪ >> welcome back to "bottom line. take a look so we the most notable newsmakers from this past week on "bottom line." time went through a long were the consumer denied themselves indulgences. i think that with job security, they are spending a little bit more. that is a positive thing. this is really one of the first good seasons we are going into thishe shopping period year. it looks strong. strong andmbers look we expect august

so, ebay's just saying, okay, we have searches on this item.e to -- you know, it's probably worth your while to manufacture it because we've had this many hits, for whatever reason. it might have shown up in a tv show or might have shown up in a movie or something. >> right. >> and somebody goes to search, but it's not out there readily available, and not everybody's a collector. so, i think this is not really for the collector-type person. this is really for somebody who wants -- >> and that is as long as they know. that's the central issue i think in this whole discussion is do you know what you're buying. and i guess if it seems like, wow, what a bargain and what great shape this bag is in that it looks like i'm buying, again, just bringing awareness to the issue that, yes, it's probably made in china with the vintage label slapped on it. >> exactly. if it seems too good to be true, it probably is too good to be true. it goes along with my philosophy on collectibles, as is as a whole -- typically, anything that's manufactured solely to be a

what is wrong with stubhub and ebay? there are not enough ways to get tickets?ere are differences. one is no buyer's fee. there's still 10% buyer fees and 15% seller fees. 25% total. >> less cost. algorithms will help the consumer find the best deal. if you want to look at seat location, price, you can compare them. >> by using this algorithm, you can find out for a certain amount of money, let me tell you the best seat. >> exactly. you can manipulate the algorithm. if you want to sit courtside, you can say i care more about seat location versus price. it is going to manipulate the algorithms so the better seats will rank better because the general algorithm is not tailored to who you are. it will allow you to tailor the algorithms. >> the key is bidding. this is a twist on the whole thing. it is not just buying and selling. you get to put out a good. >> correct. my background is wall street. i used to work at barclays capital in investment banking. i had been buying and selling tickets as a hobby. my partner and i discovered stubhub in 2006. we said, what is th

reuters reported that ebay says its stance on the paypal spinoff has not changed. earlier the tech website, the information, citing sources reported the company had been telling potential paypal ceo candidates a spinoff could come as soon as next year. ebay shares currently up about 4.25%. susan? >>> let's check in on other headlines as well. bank of america is up after reaching a $16.65 billion deal with regulators to settle charges that it misled investors into buying bad mortgage-backed securities. >>> a retailer who's doing well, children's place posting better than expected results and third quarter and full-year results are in line with expectations. >>> speaking of retailers, amazon, u.p.s., sears and more, who will win the battle between clicks and bricks? we'll be talking with retail serial startup mogul kevin ryan, who sold one, invested in one, sold to yahoo! for half a billion, and another has wall street sal investigate salivating for an ipo. >>> do you think it's safe for drones to deliver packages in the u.s.? that's another retail question for you.

what john did at ebay.s a couple of great folks that i think have done really good jobs to inspire their teams. look at linkedin right now. they certainly had some troubles in the early years, and they are rock stars now. look at what brad smith at intuit is doing. all these folks are doing a massively great job of not just leading, but inspiring their teams in a new and different way. >> maynard webb, chairman of yahoo!. i love this segment. great to have you. i do want to get a preview of what is coming up at the top of ." -- on on "online "bottom line." about the death of robin williams -- >> this is one of those things -- it is hard for people to wrap their heads around, because he was so much a part of folks' lives in the movies, comedy, what have you. deathl reports said his appeared to be a suicide, but we are awaiting a news conference scheduled for the top of the hour. we will get more details about the death of robin williams, that passing stunning people inside and outside of hollywood. we will h

this autographed baseball supposedly signed by star pitcher mo'ne davis went for $510 on ebay. the initial asking price was just $9.99. now, several other baseballs claimed to have been signed by mo'ne are up for sale on ebay, as well as autographed covers of her "sports illustrated" magazine issue. >>> a live look from williamsport, where all the action is. still ahead this half house, keith jones talks to nervous fans anxiously awaiting tonight's game. >>> new at 6:00, a lehigh valley man is charged with leaving his three young children alone in his suv while he played blackjack. a security guard at the sands casino in bethlehem discovered the kids locked in the vehicle yesterday morning, 10:15. the kids were 1, 5 and 8 years ol. their father, maurice cook of easton, was arrested inside casino. police say the kids weren't hurt but they were hungry. cook is in the north hampton county prison with $30,000 bail, charged with endane jerk the welfare of children. >>> all new at 6:00, convicted killer lynn jenoff now questioned police about an unsolved murder dating back to 1995. n

. >> one stock you do like is ebay. against ebay which was not easy according to the most recent round. some of the biggest names in the business are invested. they are long ebay. you are in good company. i did find a note from pacific press who recently downgraded it to market perform for a few reasons. they say there are no near-term positive catalysts and the reason these big names are long ebay is because it is a bet on paypal and what happens if ebay does not spin off a pal -- paypal and paypal is not the leader in e-payments? what if you see a tie between apple and visa? they become the dominant player in mobile payments. be hard to replicate the paypal level of consumer acceptance. that tie up is possible, but visa only handles the backend. you need the front in the acceptance by consumers. that is something paypal is way ahead of on. even if they do not spin off, it ebay.generates value for i would not sweat the lack of a near-term catalyst. if you can predict a catalyst, the stock is probably already been catal

john donahoe about this and said it will be a niche business for them and isn't the future of ebay. i wonder, amazon has such a lock on delivery and can google really compete there? >> oh, i think it can but i think you're going to get into the much more interesting long-term story is about alternative ways of distributing things same day, you know, which becomes a story about drones and about self-driving cars and suddenly i'm getting my groceries via drones or self--driving vehicles and this is the ultimate direction those things are going in those mundane things we don't want to do that will become a chunk of how things will get delivered but can't do it with fedex because the economics are broken of having groceries come any other way than drones or self-driving cars. i think this is where it's going. >> i tried google shopping express. it's ok. it's not a ton of inventory but i guess you could see if they build it out, perhaps a way for retailers to compete. >> one of the reasons it's happening now is because amazon decided to bite the bullet and pay local sales taxes and state

talk about the numbers for ebay. >> they beat out some of their silicon valley peers.n linkedin, yahoo!, facebook. seven percent of its u.s. workforce is block, five percent is hispanic. they are doing better than their but these numbers do not reflect america's diversity, nor do they represent the composition of tech company customers. a lot of people are looking for change. think of theu community of holding up a mirror to itself? >> they need to reflect the diversity of its users but it is difficult because this is really about the people that work there and the people that have advanced degrees and can code and create product. i think it will take a while for the tech companies to have a workforce that is as diverse as the rest of the country. >> what about ceos who say that they would hire more minorities and women except there are not a lot of candidates out there? >> we have lots of programs where people do not even need to go to college. are academies where people learning how to make a difference. yes, we need more women and minorities, people who are prepared

. >>> ebay showing off a bit. the online marketplace says 42% of its employees are women, which is a higher ratio than most other big tech companies. the rest of ebay's employment numbers are more in line with other tech giants, 85% are white or asian, 7%, 5% black or hispanic. >>> students with arguably everything stacked against them are making it work. the students are all foster children and enrolled in a program called rise. it focuses on foster kids and the needs that are not being met for them in traditional schools. those who have been through the program say it's made all the difference. >> going to school was a challenge for me, not because i couldn't do the work or not because the work was hard, but because my mind was just elsewhere. i was always worried about what was going on at home. >> the rise program received a $50,000 grant from nbc universal's 21st century solutions, going to nonprofits who make a difference in their communities. >>> ready to go on another treasure hunt? hidden cash tells us he

you can buy one of these on ebay? make experiments with it? that is insane! melissa: that's a good point. >> if i'm in medical situation i don't want these x-ray readers to read my medical. i saw some pictures. you can see some of this. something is suspicious and nothing was ever followed through and people can get on the airplane. you have to read the scan and that takes training. melissa: one of the points the scans are so invasive and for what? so invasive and still things getting through and not even the best technology. i don't know. >>> on to another really important story. carly winning celebrity kudos on reporting on pimco bedbug infestation. the bedbug dog got in touch with you? picked up the phone, woof woof? >> roscoe's pr agent. melissa: not the dog. >> not the dog. he wants to come on. melissa: of course he does. >> we should point out this is somewhat after serious issue. we were talking about -- melissa: turn this into serious story? >> this is big, why, this is huge business, cleaning out bedbugs from -- it's huge. >> in vermont they have bil

under base ka biscayn ebay.atasha ghoname has the story. >> this is the headache inducing sound of a complex construction project before completion. the roar of machines cutting grooves into asphalt to ensure that millions of wheels have traction. we are 120 feet below biscayn ebay in the new port of miami tunnel. the county cruise ship industry and port officials consider its almost mile lifelong tube vital to the future to get people and cargo on board faster. with this tunnel so drivers won't be forced today navigate streets to make it portside. despite the project's billion dollar price tags, people won't pay tolls because the funnel is punded through a public private partnership. it's a relatively new concept for american infrastructure projects. the first for miami and one of just a few around the country. a private company built the tunnel. over the next 30 years, miami dade county will pay $300 million to operate and maintain the structure. >> the payments are set in time so that for some reason, the cos

you might have seen her trying to peddle them on ebay. we have details next. this is huge. >>> as we head toward 9:00 right now, thousands of catholics in south korea are cheering for and praying along with pope francis. look at these pictures coming in. ♪ he's on his second to last day of a rare visit to the country. it's been nearly a quarter century since a pope stepped foot in south korea. earlier the pope baptized a father who lost a child in april in the deadly ferry disaster in seoul. can you imagine how profound that was? nearly 300 died in the tragedy and most of the victims were students. what a picture there. >>> so this 53-year-old woman is accused of stealing about $60,000 worth of lego sets and then trying to sell them on ebay. nassau county police say gloria haas was arrested thursday after sldly stealing 800 sets of the 80-year-old toys from a long island storage facility, arraigned on grand larceny charges. >>> i'm just trying to figure out how she got them. how do you get 800 lay gego set? >> that i at 's a lot of legos. >> if only we could s

>> ebay. >> zen master? >> wendy's, down under 8 bucks. it's a great buy. >> stephanie in. >> i like ryder and their pricing power. >>> meantime, don't go anywhere, up next is ""power lunch."" >>> and we have a series of developing stories at this hour, a potentially historymaking hurricane is baring down on hawaii at this hour. paradise bracing for not one but two hurricanes. >>> the dow is down 65. the s&p is off about a half percent. also at this hour, reports that president obama is considering air strikes and air drops of food to religious minorities surrounded by the terror group known as the islam

shares of ebay getting a big pop. the ecommerce giant is reportedly spinning off its pay pal business. according to the site, the information despite the report, telling that its position has not changed. j.j., stocks still higher. >> stocks screamed higher on very, very heavy view. almost 321 puts as well. it was that tech blog that basically said that people that they've interviewed, ebay interviewed were being told, don't worry, you are have an upside play here. we will spin off pay pal. whether or not that was really what was purported was really true, people bought into it. i certainly did because of what carl icahn. when they told carl, you know, to go, have a sit down after he made by as many mark and all the folks on the board, remember when they were having all those fights? >> right. >> then all of a sudden things seem as to smooth out t. earnings were bad, it came screaming back to 52. gathered itself and now it's 56 pushing 57. >> he makes the point. the stock has gone from 49 to 56 at this point. so a lot

that will cut the slumbering giant of ebay and google. if they can do that, we can do it too. >> speaking of feeling fulfilled, amazon is such a giant. do amazon and barnes & noble stand a chance of catching up? to be a is going rigorous competition. barnes & noble is fighting the huge disruption in the business caused by amazon. what this does not do -- when people want a book right away, i get it on a kindle. people like me, we still buy a book and put it on the shelf. amazon sells more digital books than print books. that is the future of the business. this is one way for barnes & noble to keep up with this pace of change. >> you have shelves? and graduations. >> lots of shells on lots of books. >> switching gears. as the ebola death toll rises, hearing on the virus will be underway in washington. global health experts have gathered for a meeting of the world health organization. washington with the latest. what can we expect to come out of this meeting? they are on day two. the final day of the emergency meeting. the big decision -- w

club is almost like ebay. you have buyers messed up with sellers.s being the borrowers and lenders being the sellers. wall street is looking at this as more of a technology play and more of a valuation indicative of that. >> there is so much more competition to the lending club and i wonder it of all of the borrowers and lenders are sharp on that last form for just a couple of platforms. do expect those rates of return a lot rates to come down because there is more competition? >> there comes a point whether it is on lending club or where we offer our working capital for businesses, you have to price the risk. it is no different than an auto insurance company if a driver has five accidents with the next 12 months, you will charge them a higher premium than a driver that may not have had an accident the past five years. the greater the risk that the lender or the funding source is taking, it has to be priced properly. there will be some price pressure. this is not a return, the risk is too great without getting the proper yield on the money. amthe fo

we have details on why it is listing its collectibles on ebay.bottom line" continues in just a moment. ♪ >> southerly stock is falling on news that its battle with billion air -- so the bees stock is falling on news that its battle with billionaire dan loeb is costing it millions. olivia sterns has been digging into these numbers and she joins me in studio. b is getting what he wants, but it comes at a cost, doesn't it? >> it looks like it will cost more than sotheby's initially estimated. of download has gotten some what he wanted. he is on the board now. is overall critique, that still does hold and that critique is is of these is -- sotheby's not a cost-effective business. you saw that today. numbers were out today. legit compare this to a -- a majority of companies, sotheby's has seen plenty of sales. both sotheby's and christie's had record auctions. the revenue is strong, the art market is buoyant, but the margins are shrinking faster than sales are. >> why? >> that is interesting. there are only 300 people in the world, max, in the market

finally, quickly, here is what is happening at ebay.uction site may spin off paypal according to an online publication. carl icahn has been calling for ebay to spin off paypal. we will watch and see what happens. ♪ welcome back to the second half-hour of "bottom line" on bloomberg television. i'm mark crumpton. thanks for staying with us. another challenge. higher down payment requirements. a recent report finds that while down payments for all homes are on the rise, the cheapest and most affordable homes saw about a 79% increase from 2007 to 2013. a professor of real estate and finance in philadelphia joins us this afternoon. professor, welcome back. good to see you again. >> a pleasure to be here. thank you. >> before we get into the first time homebuyers, there was news that bank of america settlement. bank of america agreeing to pay 17 billion dollars in that settlement with the u.s. government over the bank's role in the sale of mortgage-backed securities in the run-up to the financial crisis. can we draw a line from the effects of

. >>> ebay claims it's doing something better than other tech firms. 42% of its employees are women. but when it comes to diversity, ebay's numbers are similar to other tech giants. 85% are white or asian. 7% black, and 5% hispanic. they credit their initiative a few years ago for the women. >>> one of the google barges moved to the port of stockton last month. the mountain view company says it's an interactive space that can be used to show off google gadgets. today we're learning the fate of another floating barge. an international barging company bought that one, and the deputy harbormaster says that's going to be dismantled. >> wham! a big collision of some kind. and people were all over the place. >>> still ahead. what went wrong. two major crashes in san francisco. we are live with the details on the crashes that injured dozens of people. >>> and then clearing the air on torture. president obama admits the u.s. crossed a line. >>> plus, how will it work, the plan to bring two americans infected with the ebola virus to the u.s. and how hospital workers will save face. >>> two mu

now the noms are popping up on sale on ebay. the problem is the price. some are going for nearly $200. i know. i didn't get one. you probably didn't get one. so maybe there will be another chance. that's all for news 4 this week. i'm veronica johnson. thanks for joining us. be safe, be be kind, be happy. bye-bye. some showers, especially for our friends and neighbors who live to the west and to the southwest of the d.c. metro.

. >> this is the ebay and amazon of latin america.ith everything going on there, people thinking the company is in trouble. but no, they beat the topline revenue growth. >> and a couple of drops. solarcity. >> well, i think this is a tough one at this point. no earnings, i think you sell this one. >> and pop pollution. a group of medical marijuana patients filing a lawsuit about air pollution. now, the medical marijuana enthusiasts trying to weed out the air polluters. >> we don't fire up the marijuana cigarettes. we talk against it all the time on the show. >> you absolutely do, guy. i believe you. >>> and unusual activity, some weird activity. >> well, the november 13 calls today, bought in a big way compared to november trades. this is an interesting spot considering what the housing stocks have done. >> and the final trade? >> emerging stocks -- >> american airline, i think it's going back up. >> hong kong, i think it's one of the best trades out there. >> and lionsgate. i think it makes a push towards $40. >> thanks, that does it

of ebay, amazon, even ask jeeves. but then google had its ipo, and the tech world changed forever. >> no, this is not stock for the average investor. >> it changes the way the whole world gets information. created new technology, new ways of thinking. made millionaires out of their employees. >> reporter: with a steady stream of money coming in, the headquarters as well as the workforce ballooned. now you see googlers everywhere along with lotting of bikes, even tourists taking pictures of the condition logo. its cafeteria is world famous, and, as its stock value steadily grew by more than 1,000% of the initial public offering price, google expanded beyond its search model. eventually growing into online video, cars that mapped the world, cars that drove themselves, even glasses that let you surf the net with a slight move of your head. a potent mix of innovation and concerns about our privacy. >> the business models that larry and sergei and erik schmitt have created is maybe not quite as good as the discovery of oil

ebay is moving higher.e information reporting that the company has been telling potential paypal ceo candidates that a spinoff could come as soon as next year. in its settlement with carl icahn in april, icahn withdrew his proposal to separate paypal business. ebay trading up better than 3.6%. >> very interesting. thanks, bertha. >>> joining us at post nine, former assistant treasury secretary, also managing director of the institute of financial finance. you'll remember from those greek debt negotiations. now executive vice chairman with partners group. good to see you. we want to ask you about bank of america. you come at it from an interesting angle having worked at the treasury and also representing the banks at the iif. is this justice, $17 billion? >> you know, it is a huge fine. mistakes were made, huge mistakes were made. the citizens should not be subjected to illegal or unethical conduct whether it comes to mortgage business or any other business. but a lot of this was done, as you know, before b

clearly, spinning off paypal was not good for the long-term for ebay. got a great platform and they need paypal in their platform. john has done a spectacular job building that company and paypal has helped a lot. they need to worry less about carl icahn and more about keeping up with google and folks like that. but i think there are cases where companies have not thought through, does our portfolio make sense? each of our businesses play together or are they better off stand alone? i think that is something ceo's need to do well in advance. many companies have not done that. i think the portfolio strategy needs to be well thought out. you see companies moving ahead of that. i think you will see ceo's endboards looking hard at this. activism is the order of the day. no company is free. >> bill let me -- >> [indiscernible] icon, me ask you on car it seems to me, if you look back at its history with aol, time warner, or web m.d., and now ebay, that executives fight him tooth and nail and then one or two or three years later and up doing exactly what he pr