rich karlgaard, elizabeth macdonald. john tandy. is this going up more? >> of course. doctors are restricted, deductibles are raised. young people know now they are learning more and more you can get the insurance if you have something happen to u and you need it. so something happens to you, they won't sign up. adverse selection. we are seeing it unfold now. >> rick, when you have a 90% failure rate on their own targets you know the costs are going to go up, right? >> here is the problem. the white house set themselves up by creating the target. i don't care if it's 10 million or 2 million. but i care about the mix. if the young healthy people don't come, you are right. we have a big problem. we won't see it pay off in price increases in the next two years because of the risk. but after that, if we don't get the right insurance plan it's a big problem. >> to rick's point, rich, the fact is that it seems that the people signing up are not the healthy ones that are going to pay more in the system than they take out. they are the sick ones that are going to take more tha

elizabeth macdonald is here.s works for you, you did not buy the gift she can just blame it on fedex or ups. here is the thing, we have nearly a dozen states where people saw shipments delayed, the presence did not come in time for christmas. yesterdahistory and ice storm i. the christmas shopping season is going on since the summertime. here is the bottom line, we have seen an increase in online traffic, internet transactions up 9% from thanksgiving and christmas. was it due to more online shopping, more shipments going out the door? anyone coming in saying their team did perform admirably. let's put this statement up from the fedex bid 235 lien packages they delivered between thanksgiving and christmas, 300,000 members did outstanding service during this time despite the heavy volume, ups saying volume exceeded capacity as demand was much greater than forecast. are you going to see refunds? amazon out-of-the-box same we will give it $20 gift certificate and maybe some refunds. connell: people have to trust amaz

go inocus with steve forbes, mike ozanian, elizabeth macdonald, john tandy and rick unger.e to get rid of the naigators? >> of course. this is something the insurance companies do eve day and they should have their employees do it. the bigger picture in defense is they are a symptom of the much-biggeproblem which is the obama administration's obnoxious conceit it can create healthcare market out thin air. thbetter answer is to repeal it. >> rick, john is fur getting rid of them. but he is defendg them. >> i heard that. >> i heard that. >> john is right aut one thing you said, the insurance broks have people like this, who help customers fire out what the best policy is for them. that is all the navigators are doing. i look at the report from the house committee. itas ridiculous. they relied on data provided by james o'keith, who by the way, while they are concerned about the criminal behavior, he is the only one who has been convicted of a misdemeanor and had to pay over six fures to settle a case. you know, this is a tempest in the teapot. leave these people alone. they ar

target announced that credit and debit card information of about %-somehow compromised.ave been elizabeth macdonald will join us in just a moment with additional details on this developing story that actually now involves j.p. morgan chase. target is probably kind of appreciative of the fact that j.p. morgan has stumbled, in no way. they had to limit the usage of some of the same customers who happen to have chase credit cards. they said it was for everyone's protection, but the fact is right now everyone is mad because there were told they can only take a certain amount out of their atm. as i said, just six closing bells away from wrapping up an epicure for stocks with a big, red, sparkly boat. can anything happen to change the picture? well, one at least, but 2014, cleared saaling. we have traders. at least until 2014. is thereeanything over the next couple of sessions that you think might derail something or are there just not enough players? >> it is tough a line even if there were, who would come out and say anything bearish? people have got so sheepish about in these -- about making any sort

elizabeth macdonald with details and some new breaking details on this story. what do you know? liz: democratic senator richard blumenthal out of connecticut putting out this statement right now urging ups to give refunds because he says christmas is on the line. he is saying the men and women at ups as well as u.s. postal service and fedex to tremendous work this time of year putting in a grueling long hours producing a mac delivering gifts, but it is incumbent upon these companies were the customers quoted a delivery date ahead of christmas that they arrive on time. he said a very real sense christmas is on the line,calling ups to do the right thing and provide refunds to people whose christmases are little less cheery as a result of the late delivery, cheryl. you noted it was down fractionally, naturally under a lot of pressure. fedex is up, amazon still say it is reviewing its relationships with the package deliverers. basically getting $20 gift cards and refunds to amazon customers who experience shipping delays. this is a developing story. but is he would also happens. goi

elizabeth macdonald has the latest on the story, she joins us with e. bottom line. >> reporter: yeah. that's a classic non-answer from an executive, right, lori? [laughter] so we talked to people at microsoft, and here's what's going on. here's the bottom line. alan mulally has a lot of question marks over his name. yes, he's got a great reputation. he's charismatic, he's a visionary, he's a team builder, he's a leader. but what we're hearing from insiders is this is what they're looking for with this ceo and, by the way, microsoft really is pushing, the board is pushing to name a ceo by the end of this year, so they'rlooking for a person that has a lot of technical experience. consumer devices, enterprise software, cloud computing, business software and business be development and strategy. i'll tell you this, the list is narrowing. microsoft started out with a list of 40 names. they've narrowed the list down. here are some of the guys who are still in the front running for this, enterprise software at microsoft, clo of microsoft, kevin turner, still i

elizabeth macdonald has latest in what happened. cheryl: strata had a agent on how to market your home to the fastest growing group of foreign buyers come into this country. adam: may want to stick around for store that will cause you to think again before you make the electric car purchase. first, stocks hitting record highs. lauren simonetti watching it a all, and we are near the highs of the day, or are we pass them? lauren: good afternoon. we are just smooth sailing now six days in a row. we have not seen a long since march. volume of course is very light. there are two answers everyone's stock declining, so the market is very positive. report initial jobless claims falling more than expected, that is good news. the first time in three weeks, we will take it. the vix is down. the fear in the marketplace is down 12% in the month of december. and i twitter again because thik is on such fantastic and phenomenal run. you asked me a couple of minutes ago why isstwitter going up so much? an analyst said earlier this week investors are

here is elizabeth macdonald in "emac's bottom line." >> this is a big deal. 401(k) managers, asset managers be listed as too @ig to fail by the government. meaning they have to face higher capital standards and liquidity ratios and stress tests. barney frank is saying hey, wait a second that was not intend of my bill of dodd-frank. he doesn't think putnams and fidelity -- lori: based in massachusetts. >> based in massachusetts should be listed as too big to fail. he is out there saying, look what he said. government has enough to do regulating institution meant to be covered including big banks. i have not seen the argument to cover plain vanilla asset managers. here is the problem. 401(k) fees could go up. investor fees could go up if the guys are listed as too big to fail. prue dingsal and ge capital is listed too big to fail -- prudential. backstop of taxpayers fund behind the financial crisis that is the where to get these asset managers too big to fail. adam: barney frank says this is never what my law was intended to do but they never do. >> pelosi-like statement we'll see how it work

elizabeth macdonald says there is even more to this story. >> good to be with you.y lost. here is the gm ceo, take a listen. >> taking a ride like you do when you buy stocks to go back and pay that back. i can tell you there would be shareholders that would be difficult to defend. the die was cast back in '09. it played out, i think, for the national good. >> he is talking with the jobs that were saved, the tax revenue, the coming of the door of the bailout of gm. when he is talking but investor lawsuits, he is talking about gm moving to reinstate the dividends and they would be mad if the cache on the balance sheet was not going toward the dividend but went to repay the $10.5 billion that taxpayers lost on the bailout of gm. $28 billion in cash and equivalents on the balance sheet at gm, what is happening is gm is using its cash to build plants in the united states, it is interesting new line not coming back is about $10 billion or so of that is the amount gm will spend to invest in the jobs here in the united states. the u.s. government rolled the dice and didn't

elizabeth macdonald, what this means for the big bank. >> portfolio hedging is a broader definition of the volcker rule, behind closed doors on december 10th, the treasury secretary, we need to crack down to stop public bailouts, here is jack lew. >> with the completion of the volcker rule, resolution authority and capital liquidity requirements, the schools of financial reform used to make our financial system safer and hold financial institutions responsible for bearing their own risk without a backstop of public support. >> risky trading like abundant whale that have risked mitigating hedges. cheryl: they did change the direction of the volcker rule. now it is portfolio hedging meaning hedging the banks did to protect the loss of asset portfolio. bottom-line, the outlet researchers, they are saying goldman sachs, jpmorgan chase, bank of america and citigroup could be hit hardest by this broader war. they are also saying the trading activity should be shoved off of the business to go elsewhere to the private equities like blackstone into the shadow banking sector, like jeffrey and th

pç÷ñoxmhmhyhy lori: apple, the tech giant, just ratcheted up its fight with carl icahn but elizabeth macdonaldd on apple, a empty sack of, well, an empty sack. >> of nothing. because it is non-binding. this thing that is happening with carl icahn and apple, carl icahn is saying apple, 100 billion in stock buybacks and dividend you're paying out to shareholders, i want it to be 150. it is now on the proxy, meaning it will come up with investor meeting at apple, but guess what, it is non-binding. in other words, if shareholders say yes we want carl icahn's in place the board doesn't have to take it. they could kick it to the curb. the other thing, what is apple doing with its cash pile, right? you mentioned in the tease, unlock shareholder value. is a buyback the way to go? short-term boost no matter what carl icahn says. here is what apple could do with $149 billion stockpile. improve cirri. growth in china. apple wristwatches. improve cloud computing. the list is endless what apple could do to deliver shareholder value. adam: is the apple response to icahn if we unlock the shareholder value th

macdonald >>> good evening, i'm elizabeth cook. >> i'm ken bastida. >> this san francisco home sits inlast night. as bad as it is it could get worse and tumble. police responded to the home on 125 crown terrace in twin peaks around 10:30. they have closed off the 100 block of graystone terrace as they investigate what went wrong. kpix 5's linda yee joins us with what we know so far and the twist about the homeowner. >> reporter: liz, building inspectors still don't know what caused those support beams under the house to collapse last night. they are still investigating but it does turn out the owner of this property is a politically connected developer who is no stranger to controversy. city building inspectors walked through the remains of the collapsed house. it's being renovated and crews were working on the foundation. the support gave way. >> a loud enough noise that i guess it rumbled the house. >> reporter: the house slid down the hillside stopped by a newly built retaining wall but the city's chief inspector declared the area unsafe. >> we are issuing emergency shoring to hold

macdonald >>> now at 6:00, rifles, shotguns, flying off store shelves! good evening, i'm ken bastida. >> i'm juliette goodrich in for elizabethk. a new gun law set to take effect in just a few days is behind the rush on long gun sales. new at 6:00, our linda yee with the new requirements and why some people say they are an invasion of privacy. linda. >> reporter: well, juliette, bay area gun stores like this big five in daly city all reporting a slight uptick in gun sales, long gun sales, but nothing they say like last year at this same time after the newtown, connecticut school shootings. back then there were people who were afraid that long guns would be outlawed. this new law is designed to help cops identify the owner of a rifle or shotgun in case those guns were used in a crime. just like handguns, all rifles and shotguns sold will be tracked. the make, the model, serial number and owner will be registered with the department of justice. this gun store owner says his sales have gone up by 50% because many customers want to buy long guns before the registry requirement on january 1. >> these are law-abiding citizens. thes

macdonald >>> it's the latest consequence i a painfully dry winter. water restrictions are starting to trickle into northern california. good evening, i'm elizabeth. >> i'm allen martin. mandatory water restrictions now cover one city and it may be a sign of what's to come for the rest of us. new at 6:00, brian webb is in folsom where people can now go where only the fish have been. >> it's like a needle in a haystack. >> reporter: folsom lake is so dry treasure hunters now trek the land where fish used to tread water. >> just pick this thing out and decided to knock around and have a little fun. >> reporter: i should be under 20 feet of law. instead this is what left of the lake looking more like the surface of the moon, below 20% capacity and 50% where it should be this time of year. the lake hasn't been this low since the late '70s losing 1700-acre square feet a day, drastic measures may be on the horizon for the half million people who drink, bathe and water lawns from the lake's supply. >> our board will be considering a plan for implementing significant rationing if we don't get rain. >> reporter: in folsom mandatory 20% restrictions are no

macdonald >>> tonight, the lack of safety changes at san francisco international airport in the wake of the asiana airlines crash. good evening, i'm elizabeth the ntsb just wrapped up a nearly 12-hour hearing investigating the moments right before and right after that plane crash back in july. new details came out in dozens of interviews today. the asiana pilot said that he was concerned about the landing. also, we learned a teenaged girl survived the crash but died after fire trucks ran her over not once but twice. and the ntsb moved in on the pilots' dependence on automation. there are many lessons to be learned. phil matier is live at sfo with what the airport says went wrong on their end and how they plan to avoid these costly mistakes in the future. phil. >> reporter: that's right. and the answers we got were pretty surprising. here's the story. in the last five months, there's been much study and discussion about what could be done to improve. but in the end, little has actually changed. for example, the automatic guidance system that was turned off on the runway that day because of runway construction is back on now, but it could be

macdonald >>> will bart workers ever go on strike again? not if the agency's brand-new board president gets his way. good evening, i'm elizabethmartin. bart workers went on strike twice this year but it could be the last time they are allowed to. don knapp with a plan that would ban bart strikes. don. >> reporter: i'm not hearing ifb. >> reporter: bart union leaders say they were shocked to learn of plans for a bart district vote on workers' right to strike. the plan comes from the incoming board president, joel keller. the news broke as unions were meeting with bart to work on a fix for the so-called mistake in a family leave provision in the new contract. >> here's mr. keller basically stirring it up for lack of a better word while we are trying to reach agreement. >> reporter: keller's no strike plan comes in the aftermath of contentious negotiations interrupted twice by strikes. >> and i think a strike by the bart workers constitutes a serious threat to the lives, property and welfare of all the people who live in the bay area counties. >> reporter: not surprisingly the unions disagree. >> i think it's disingenuous to put

macdonald >>> on this christmas night a bay area shelter that helped thousands of youngsters over the years is closing for good in just an hour. good evening, i'm elizabethackney in for ken bastida. a very merry christmas to you. but not a merry christmas for the homeless youth alliance center in san francisco. this could be the last night. linda yee with how the changing landscape of san francisco is claiming another victim. hi, linda. >> reporter: indeed, right behind me you see what used to house the haight-ashbury medical clinic and that homeless youth alliance is part of it. but the property owners says the city is forcing their hand. they are homeless, young, escaping an abusive home life. their oasis this drop-in center the in haight but after tonight the doors close forever. staff are preparing the last free meal on this christmas day. >> i don't know what we are going to do to stay clean. i don't know how we'll get by on food. it's a blow. >> reporter: for 12 years this has been a safe place for the street kids but they have lost their lease. executive director mary howell said they have tried everything to stay. >> we offered to pay a much high

macdonald >>> we haven't seen a spell of "spare the air" days like this for years. >> tonight during our record setting burn ban, the action of bay area firefighters are under scrutiny. good evening, i'm elizabethi'm allen martin. >>> this is the longest winter "spare the air" stretch in bay area history. today marks the 6th day in a row, another one declared for tomorrow. our len ramirez on how people are suffering with dirty air and you're asking why firefighters can ignore the burn ban. we want to know, len. >> reporter: that's right. the traffic that you see behind me crossing the dumbarton bridge right now is only one part of the bay area's air pollution problem. some are calling in question the fire department's decision to go ahead with a live fire training exercise at the height of one of the worst air situations in the bay area in a long time. you can see it in the air. the pollution, the brown stagnant haze hanging over bay area cities was another "spare the air" when wood-burning was ban an unprecedented sixth in a row. you don't need to tell asthmatics about the air alert. they can feel it. >> i notice a little more irritation and breathing problems. so yeah, it's something that i h