bid to abandoning its buy eddie bauer. kenny's two companies really make nice?e two companies really make nice? >> the fighting was just to get the right price. men's wearhouse offered a bid in the low 60's a month ago. eddie bauer came into the picture. they said they would be willing to go to $65 a share. they are pulling back from the eddie bauer deal and men's wearhouse will go ahead and buy them for $65. there is not much happening for the consumer. you are going to have men's wearhouse stores, you will have jos a. bank stores. will the culture change? some shifts in the way they do business? possibly. when you take out a competitor and you have them be a partner in your business to help grow it, it has to be a good thing. still -- is there still value in both of these brands? ask they are keeping the names as they are. they're going to recognize it is all on the -- the consumer will not be able to tell. showing moreagles pain in that space. urban outfitters seeing continued struggles. what did these guys need to do to turn things around? ens need to start

tothey will determine exterminate the agreement with eddie bauer.not condition of the $65 per share bid. doesn't exist anyway. >> so you say. >> when the last time you heard of eddie bauer? back in the first generation ford explorer? the eddie bauer edition. >> that is how matt dates things, buy cars. >> reporting an increase in first-quarter profit as they continue to struggle about getting the brand back on top as a top priority. risingtronic arts been to its highest level since 2008 after the release of titanfall. it is the game for xbox one that people think will boost this console back over sony. ea got an upgrade from piper jaffray on the release. >> one of the worst performers in the s&p 500 down about five percent in the justice department is to approach the handling of a recall after they announced their own investigation linked are at least 13 deaths. they got the complaint way back in 2004 and they are now recalling one million cars as a result. >> coming up, the number one stock of the day -- mcdonald's. rising the most in the s&p 500 to

as part of the condition of the upl, joseph a bank is giving pa its two byc everest holdings and eddie bauer two companies there are looking to buy instead of a merger. joseph a bank is withdrawing its offer to buy $300 million of its stock. men's wearhouse will be purchasing joseph a bank for $65 billion to add to earnings in its first full year and we will continue to monitor these headlines. we will keep you updated. >> this is "lunch money," on bloomberg television, streaming on your phone, your tablet, and bloomberg.com. big news out of gm -- congress is launching an investigation as to why the world second largest automaker took 10 years to recall 1.6 million faulty vehicles linked to 13 debts. gm plans to conduct its own investigation led by anton the lehman probed brothers downfall. the national highway traffic administration is giving gm until april 3 two explained the decade-long delay. company culture of slow information from the engineering ranks to the corner office may be at issue. tm investigated faulty switches in 2004 but on march 4, the new did noty barra says she learn of

joseph bank agreed to terminate its deal to buy the privately held retailer eddie bauer. shares of both companies were higher today. men's wearhouse up to $57.14. joseph bank rose about 4% to $64.22 and j.c. penney got an upgrade from citi. it rates the retailer a buy instead of neutral. it says it believes the retailer can continue to deliver positive same store sales as it makes changing like updating its merchandise selection. another retailer, dick's sporting goods says fourth quarter profit rose almost 7% driven by an increase in sales. 9 ceo says they should see double-digit earnings growth per year. up to $56.57. >>> both fannie mae and freddie mac tumbling after lawmakers released a blueprint for a housing finance reform proposal. the senate banking committee said it would soon release a draft bill that would wind down the government-owned mortgage companies. that bill would replace the financiers with a new government reinsurer. fannie mae fell 32% to $3.95 and freddie mac was down about 27% to $4.04. and shares of plug power tumbling after sit ron research says

bank will no longer bid to purchase eddie bauer. >>> the california dmv is trying to make sure the law stays ahead of technology when it comes to the driverless cars. mountain view-based google has already been testing such vehicles on highways and in neighborhoods. today the dmv is considering ideas on how to integrate the cars on public roads. concerns include data privacy and security and whether a human will have to be in the driver's seat when a computer is doing all the driving. >>> some frightening moments during an nhl game in dallas as the star's hosted the columbus bluejackets. stars forward rich peverly collapsed on the bench in the first period. more now from cbs news correspondent marlie hall. >> reporter: moments on the ice after hockey player rich peverly suddenly collapsed on the bench during the first period bringing the game between the stars and the bluejackets to an immediate stop. >> it is pandemonium and panic. >> reporter: the 31-year-old forward suffered a cardiac event last night. >> we provided oxygen for him. we started an iv. we did chest compressions on him

announced a deal to buy outdoor clothing company eddie bauer $425 million. with this new deal he will not go forward. the termination fee will causcost 48 million. >> the initial public offering. can digitaking digital sell more than 2200 >> it will place kane ahead of their arrival. it is an online gaming industry pioneer but the stock prices fell since 2011 i appeal. >> think back to your life before you're smart phone. the world wide web has made all lot more interesting for us. before the idea was born 25 years ago today the internet was a very different and complicated. placd place. >> all of the news was print. television was by appointment being only. movies were viewed on a theater. 25 years later that has all changed. on march 12, 1989 computer scientist wrote a paper proposing the architecture that would become the world wide web. his intent was a simple fire ofile sharing service for scientists. >> anytime i need to do something i just go to google. >> 199514 percent of americans told the research center that they used the internet. maybe it had s

resisting men's wearhouse, overturning the bid, beating it back, announcing a crazy deal to buy eddie bauerng itself a your and more improbable. now the two are sitting at the table. bank looks like a hero because they are getting that $65 per share that it wanted all along. again, even if the two sides agree on price, it is not a done deal. >> there are many more hurdles. >> there are. if you look at this deal, obviously it does raise some antitrust scrutiny, right? one thing i had been hearing is that if bank wants to be difficult, which they have been over this entire process, that could bring them some protection in case regulators do not sign off on the deal, which could make men's wearhouse somewhat uneasy, complicating the negotiations going forward. for example, oftentimes or unusually in these situations, sometimes the acquirer in this case would demand something called a hell or high water which would force the buyer to close in on regulators if they do not sign off on it. >> wall street, fighting for fannie and freddie, bruce berkowitz, he is betting big. suing the u.s. for compe

they announced a crazy deal for eddie bauer to make himself bigger and harder to deal with.lders that as a very hostile act toward shareholders because they said you have a logical target of a combination makes a lot sense and you are going off to do this deal with eddie bauer. now it looks like think is pretty smart because i held out to get the price it wanted. >> to get everyone's attention, buy one get five free, 20-60 in share price. joseph bank is the good guy here . >> it would appear to be the case that if everything goes well, they get the best thing for shareholders. here is what no one is talking about. they agree, if there are real concerns for getting this over the finish line. regulators will take a harsh look at the deal. it has to two clear antitrust. thanks could turn around and protections if regulators do not sign off. that could make ends warehouse look away from the deal. i could demand hell or high water measure. activists involved here? >> yes. they are in both stocks. they have been pushing for the deal from day one. >> men's wearhouse is buying just

jos a bank will end its deal with eddie bauer. >> bertha, thank you very much. buy one suit, get three free. >>> several developing angles right now on that search for that mystery malaysia airlines flight 370. phil lebeau with details from chicago. >> reporter: still no indication about what happened with this flight after four days of searching. the only thing we know for sure is that they have expanded the area being searched. initially, you see where the plane is located there, that was the last known location. that's where most of the search was focused over the first three days. now if you go to the west, look at the strait, that is where the search is concentrating. why are they looking there? malaysian military says radar indicated flight mh 370 turned west from its last known location and was actually tracked going into the strait of malacca. they have found no debris or anything linking mh 370 to where its final location may have been. investigators have been showing pictures, meanwhile, in malaysia of the two individuals who boarded this flight with s

for a long time, banks were resisting them, beating it back, announcing a crazy deal to buy eddie baueran attempt to make itself bigger in, nation with men's wearhouse. more improbable now that you are sitting at the table, and banks kind of look like a hero because it is getting the money it wanted all along, but even if the two sides agree on price, it is not a done deal. >> because there are many more hurdles. >> there are. this deal raises antitrust scrutiny. regulators will have to sign off on it. if thing i've heard is that it wants to be difficult, which it has been over the entire demand, it could protections from men's wearhouse in k's regulators do not sign off on this deal. that could make men's wearhouse e -- uneasy. it could complicate negotiations going forward. times, in these kinds of sometimes the acquirer, in this case banks, would demand a high water provision, which would force the to close even if regulators do not sign off on it. >> on another front, as we mentioned, retail m&a is exploding. a japanese retailer might be going over american iconic band j.crew. >> wh

bank has to acquire eddie bauer.seph a. bank's making an acquisition proposal to men's warehouse only to have men's warehouse turn the tables on it and it would be a successful pac-man defense, so to speak, when men's wearhouse unveils an our on its own. expectation given they got due diligence about a week or so ago from joseph a. banks that we might hear something. it does appear according to the times, not my reporting, the price is up from $63.50 for men's wearhouse, might go to 65 the f. they got due diligence and the termination of the eddie bauer deal. more intriguing is the fact you have men's wearhouse stock up gann a again and the potential transaction. we will await word from the companies but wanted to share that with you given the stocks are moving higher. joseph a bank's not discounted much there at 64.20. we'll take time. might be a tiny bit of antitrust. not necessarily good for some people who rely on their advertising. >> like newspaper? >> i can't imagine what you're talking about. >> who knows. co

eddie bauer left at the altar. we will discuss. you're going to like the way you look, i guarantee it. this is "bloomberg surveillance." parm. >> let's order out during the break. we will be right back. ♪ >> good morning, "bloomberg surveillance." up, stephen sent off on the state of retail and in particular why you can get that dress you want. be "in the loop" with betty liu. adam johnson, you have the deal of the day. >> it has been the deal, talking about men's wearhouse finally buying joseph a bank after a very prolonged situation where you had even bank bidding for men's wearhouse and trying to put in -- >> it is such a soap opera. >> a total soap opera. and it was played over five months and forth. two aboard harrison advised bishop joseph how much of this was really about rice? >> never about price. good morning. to pursue anted dual path to make sure no storm -- stone was left unturned. we were convinced eddie bauer would've been a terrific transaction. the board is equally pleased that men's wearhouse has recognized the in