we will talk to john flannery.the street" is back in a moment. hi, i'm joan lunden with a place for mom, the nation's largest senior-living referral service. for the past five years, i've spoken with hundreds of families and visited senior-care communities around the country. and i've got to tell you, today's senior-living communities are better than ever. these days, there are amazing amenities, like movie theaters, exercise rooms and swimming pools, public cafes, bars, and bistros, even pet-care services. and nobody understands your options like the advisers at a place for mom. these are local, expert advisers that will partner with you to find the perfect place and determine the right level of care, whether that's just a helping hand or full-time memory care. best of all, it's a free service. there is never any cost to you. senior living has never been better, and there's never been an easier way to get great advice. call today. a place for mom -- you know your family, we know senior living. together we'll make

flannery as i walked off about that. the dividend overall is going to be lower than it is currently. that is, when you become a shareholder of the new health care company and old, so to speak, ge. but we don't know what the differential is going to necessarily be the dividend for health care is going to be priced appropriately to its peer group, and then ge will do the same will that be a lesser number yes. will you have a new security in the health care company that eivably will be a faster grower that's certainly what they hope as well. so i think they answered this on the call we did want to ask him specifically because i didn't do it during the interview itself. >> and on those comments, as somebody who is invested in ge stock in the past, how are you thinking about the dividend and how does that play into your thesis going forward >> we have it about a nickel or so on a pro forma basis if you will i don't think it's a huge change you know, look, if health care n grow faster and have a different investor base that's

flannery said today on cnbc that they want to maintai the dividend. given what you know and you follow this company so closely, that may be his best of intentions, but a lot of our viewers bought the stock for the dividends. do you think it's safe? >> the answer is yes, but you have to -- have to understand when you spin off health care, health care will i have own dividend policy and t'alth care is a growth year asset so likely to have a payout ratio. they should be growing cash flow so the odds of maintaining most of that dividend is pretty high. bel o r,peld be a couple of suld nnbe bieut i don't think it's g to be material. thank you as always. >>> morganur of , just a orment ago mentioned ge's exit nmha d t afrhe century as part of the blue chip index it's being replaced by walgreens fell 1% in the dow debu t today.> ften wall street overall stocks bounced back after yesterday's steep selloff. tech stocks rebounded but confusion over trade policy capped some of the gains. the dow jones industrial average was 30 points to 24,283. the nasdaq added

flannery about it. but were they understated for years?stated is the question. >> thank you john flannery is joining david on "squawk on the street" later this morning you don't want to miss that. and clearing the fog on london a judge rules later this morning on uber. we'll get a live update after the break. "squawk box" will be right back. - i love my grandma. - anncr: as you grow older, your brain naturally begins to change which may cause trouble with recall. - learning from him is great... when i can keep up! - anncr: thankfully, prevagen helps your brain and improves memory. - dad's got all the answers. - anncr: prevagen is now the number-one-selling brain health supplement in drug stores nationwide. - she outsmarts me every single time. - checkmate! you wanna play again? - anncr: prevagen. healthier brain. better life. at crowne plaza, we know business travel isn't just business. there's this. a bit of this. why not? your hotel should make it easy to do all the things you do. which is what we do. crowne plaza. we're all business, mo

flannery hasn't ruled out it could be cut again in the future.g it depends on market conditions. julie: ge's troubles have been well documented. are there any great spots right now? emma: they did not cut the dividend? were not huge bright spot sprayed investors are reeling over the fact of the slump that wiped out $120 billion from the market value this past year and they are contending with troubles with financial liabilities and with an accounting investigation by u.s. regulators and a weak market for the gas turbines. it is looking pretty difficult for them at the moment and if you take a look at the bloomberg, i have pulled up r function for the dow jones and they are at the bottom. they have been all year. stey were the wor performer last year. we are expecting an update from john flannery in the next few months. we might see something there that is a little more interesting. julie: thank you, we appreciate it. chief brexit.'s negotiator says the proposal for avoiding a hard border with northern ireland cannot apply to the rest of the u.k.

flannery said, but the big question is what is the earnings power? that's the question all of us had on the desk. right now, people think it's going to earn a dollar a share that's been questioned from the st now as you're splitting it up and you have questions of what's allocated to what section, what it means is it's going to take a few quarters for the clarity to really come into the income statement as far as what is the normalized earning power i like what flannery is doing and i give him a thumbs up, but it takes more time before -- >> i 100% agree with jim it's taking up a level, restructuring takes time 18 months sometimes. and you have a business whose power business continues to deteriorate. if i was to look at the industrial sector, which we're neutral on, it's had a tough time lately. we view it as a trade off the bottom, more of a trade versus an investment story. >> i think that's right. in terms of it being a trade, you want to be in the stock, i would think. >> i'm thinking some of the more high quality names not going through the sam

john flannery has made clear that he will be ruthless in selling off the visions that he feels no longer serve the sprawling company investors are still waiting to hear the details of a major overhaul restructuring promised by mr flannery above and beyond the previously announced sell off the c.e.o. who has spent thirty years with the company insists all options to restore profitability are on the table as we reported here it will be delisted from the thirty stocks that comprise the dow jones industrial average today is officially the last day in that club. the u.s. house of representatives has passed legislate. to scale back nutrition assistance to less fortunate americans as part of a massive new farm bill the legislation is a long way to go it has not yet been considered by the us senate all that may occur in the coming days but the passage in the house is particularly significant in that it was not a bipartisan bill with both republicans and democrats supporting it that usually takes place the reason stems from the controversial provision related to changes in what is called the supp

flannery runs it into the future today, we got that answer.ealth care is the name in the portfolio that is going to be pushed out it's going to be a modernization of roughly 20%, and 80% is spun or split off to shareholders and the health care business will be its own entity it takes with it about $18 billion in debt, pension liabilities, a business with a $19 billion revenue run rate, earnings per share, if you call them that, not earnings per share yet, but earnings that are double digits, low double digits, so it might be -- well, let's call it value to somewhere between 14 to 15 times, giving it, they hope, an overall value of $60 billion to $70 billion for perspective for people the $18 billion in debt, too, remember this was the big announcement today, but not the only one. there's a plan, as well, to exit the 62% of baker hughes, a ge company that ge currently owns that will also take place over the next two and a half to three years, the company said, and, perhaps, as importantly, they are doing things to the balance sheet to instill m

john flannery is doing what he has to do. this is a guy a part of the last regime i think at some point they need a clean slate, investors need transparency now >> more asset sales. you need to get a tail winds of asset sales behind you he is making these levels, he once said a year ago, whatever the time line was. he has to start gaining consideration, momentum. the last days will be tough for ge earn that doesn't watch the stock market on a daily basis knows that ge was a part of the dow. i think it will be tough i am staying long. i do think you see it pop. >> it has been in the dow continuously >> we've had that conversation that's true. but the main street the dow is a stock. >> exactly >> it's -- >> by the way, we've got about seven minutes left to bid for your chance to win an opportunity to meet all of us here at the nasdaq so go to charitybuzz right now please, it's for a great cause much more "fast" in just a minute. i'm a small business, but i have... big dreams... and big plans. so how do i make the efforts of 8 e

john flannery has made clear that he will be ruthless in selling off the visions that he feels no longer serve the sprawling company investors are still waiting to hear the details of a major overhaul restructuring promised by mr flannery above and beyond the previously announced sell off the c.e.o. who has spent thirty years with the company insists all options to restore profitability are on the table as we reported here g.e. will be delisted from the thirty stocks that comprise the dow jones industrial average today is officially the last day in that club. the u.s. house of representatives has passed legislation to scale back nutrition assistance to less fortunate americans as part of a massive new farm bill the legislation has a long way to go it has not yet been considered by the u.s. senate all that may occur in the coming days. the passage in the house is particularly significant in that it was not a bipartisan bill with both republicans and democrats supporting it usually takes place the reason stems from the controversial provision related to changes in what is called the supple

has ceo john flannery finally managed to find a tension between the two? bloomberg. ♪ trimming its keeps business, which is part of ceo john flannery's plan to reshape the company. joining us now for analysis is brooke sutherland, bloomberg analysis reporter. people are saying, what is taking you so long, john? is he finally getting their? ooke: this is the big one. this is the breakup announcement everyone has been waiting for. for me, this is a sign that he finally figured out how to balance the ge of old with the ge of new he wants to create. for 30-plusthere years, was he willing to get radical, do some of these changes in the portfolio that i think need to be done for ge to be successful moving forward? this is a significant step in the right direction, i think. this is not a magic fix. shares are rising in the premarket but they are still way below before flannery took over. ge still has a long road ahead of it in terms of getting its power business back on track, improving cash flow generation, dealing with issues at ge capital. this is a significan

flannery to speak to all of those shareholders who have spoken to me every time you may go to 30 rock, people in our own building right here for many years and have suffered the pain of watching it fall from the mid-30s to as low as 12. what do you say to them? >> i share in every sense the pain if you will my life-savings is in in the stock so i have the same connection issue we are going through a tough patch and we are dealing with the issue and we have a plan and we know where we are and we are realistic and know where we go with the portfolio and balance sheets and how we run the company and know how to get there and stay tuned for the ride here. >> hang in there is kind of what he indicated any shareholders hung in there with an 8.5% movin is not particularly pleased >> you got to move double to make 50% it is his intent over a period of time to have these businesses in the right place in terms of being able to execute and have a growth company it is his believes if you will he believes they're not going to face any significant liabilities that are not known >> on the dividend b

flannery has laid out, typically it causes tremendous exit.hen on top of that, you ha the dow exit. there is nobody left to sell the stock. it is time to buy. >> so you basically think stocks washed ut, management is essentially trying to rationalize the business what are the pitfalls? because i can imagine it looked line of scrimmage t like the stock was getting washed out >> just do a simpg cle calculatn amount of shares in the come to jesus moment and then look at all the analyst reports. jpmorgan analysts had this right. sure there is some down side, but the risk/reward, maybe have 10%, 20% down side, but the up side potentially 200% the next five years or so >> and if we get another dividends cut, how do you expect investors to respond especially in the rising rate environment >> it is almost like the trump stock. i think investors are somewhat numb to the bad news over and over again and so many analysts have projected it so what is priced in once you have had the dividend cut in the fall and recent cuts, a lot of negativity has been pri

john flannery stepped in and he has an unbelievably challenging task to get profitability up and cash that will and big challenge. he had to cut the dividend in half. he put several businesses -- he talked about $20 billion of disposition on the table. he's anticipating while those companies generated cash, he'll get five to six times more cash by disposition to fund pension liabilities, dividend and reinvestment in businesses. it's a tall order to dig yourself out of the trench. maria: are these the right moves? i think along the way as they were selling industry, you were thinking why are they selling this business? why are they selling this industry? is is the right move to keep accepting off assets? >> i'm not sure he has an alternative for that. con grom rats seem to be out -- conglomerates seem to be out of favor. seeing the benefits of the various businesses where you have different businesses and jack was a master at that. so i think conglomerates boil down to the ability for management, the board, to effectively run those. if you don't have industrial experience, if you don't

this is part of the long-term strategy unveiled by ceo and chairman john flannery today to turn around struggling industrial company. >> ever since the pain my life savings is in the stock so i have the same sort of connection to the issue. the second thing is we've gone through a tough patch. we've faced into the issues. we're dealing with the issues. we have a plan we know where we want to go stay tuned if for ride here. >> how he plans to get there, health care becomes stand alone. that's the process that will take 12 to 18 months, going the exit baker hughes over the next two to three years remember, ge merged its oil and gas unit last year, similar deal under way at transportation right now as well. the results, a quote simpler stronger ge. one that is focused on aviation, power, renewable energy which flannery's bet willing unlock value for areas like health care but help shore up the balance sheet. investors have been looking that the for months this is the reason the day ended up 8% but i caution it will take time many details are still unknown, particularly around ge capital a

. >> reporter: brian and katie flannery definitely have a rhythm to their work.ever been a question in my mind that we will get over this . >> i would say i have had the toughest time and only because i am a dinosaur, but i am also transitioning from a father daughter to a copartner and eventually you make the decisions and i advise. there have been hard times but overall i love the concept. >> reporter: to say the concept has been working is an understatement. since teaming up, flannery beef has been steadily growing. >> i look back to the first month in this location in the was not extended, when we first came up. the total sales for the month were equivalent to less than one day right now. >> moving 10,000 pounds per week, that was fun to look at the numbers just the other day and fact check and say that is what we are doing. >> reporter: this father daughter duo was not always a sure thing. the family has been in the meat industry since the 1930s. brian will tell you that he and his brother spent the childhood helping with the family business that started in

flannery discussed that and said it's going to take time to get them to execute appropriately. far short what had been internal and external goals for the company. it's been a brutal year for ge, as we know and as i talked about last week, we're waiting for what is expected to be before the end of the quarter the more significant announcement from the company in terms of its future. we'll leave it at that, at this point. in terms of see what the details are, if we get any in terms of the future and the various divisions, but it has been brutal run every time. it seems to get a little bit of momentum, the something happened the most recent being dropped from the dow it's more of a psychological blow. >> it's the trade issue. they get affected. talk about a global supply chain. a company for ge according to the journal from the initial tariffs that have been listed around the world, 3/4 of the initial list of products are facing u.s. tariffs. they have to source parts. they profile an mri machine and how many different components from around the world go into something like that

john flannery was adamant that these businesses fit together. to have to prove that out. there's a lot of people that would argue that may be aviation does not necessarily have to be lumped with power and with the gas turbine business. it is on him to follow through with the 500 million in additional cost cuts he is talking about. he talked of victim about this new operating system, rethinking of the way ge will run its businesses. the double -- the devil is in the details. i think that remains a question mark for me. i struggle to see how you don't take a goodwill write-down on that. i am anticipating that ge does an annual impairment test in the third quarter. i would not be surprised to see some sort of write-down them. julia: did you ask him? brooke: i did not about that specifics. they have these joint centers with awesome. they had to buy out also's steaks. i can't see ge justifying further investment in those joint ventures which is on the grid business and renewable energy and nuclear. that does not really strike me as a primary source o

david asked him, okay, flannery said we're also going to have half a billion dollars of cost savingshe says, so are you still moving to boston >> right. >> or -- >> just taking less space there when they move or something like that. >> right. he said, we want to decentralize the company. >> the message is clear. we have to shrink it down and empower the business. >> right and put the power -- which is the berkshire model. is it the conglomerate model make sense period today? >> it can make sense if the market allows you to do it. if you can make the numbers and there's logic behind how you can manage it, 3m is the best example of. you would never create that business today as it stands. but because they execute well and have some kind of throughline of innovation and technology. >> would you create any of them today or when you look at the tech sector and say, if you think about an -- the number of acquisitions that have been made by platform companies, we talk about their major business line or two, no. it's actually a ton of different businesses. are we going to look back on that -

i think flannery can turn it around. he has the right board, the right people.ot has to go right. i think you have to -- they have to operate like a real company again. julie: what i was actually doing was looking for your notes and trying to count the number of times you say if. if they do this, if this happens, things will get better. is what happened to ge in the last day or two bank with the dismantling of the company a repudiation of the nl to vision for ge? i know -- i know you were a critic. scott: was there ever a vision? i scratch my head every time -- every time i think about the 17 year time period where jeff was ceo. i think he was not watching cash flow 30 was not watching the businesses. he spent money on every pet project. he hired country heads and folks to fill lots of positions that were not necessary. the investments like alstom for example at the peak, although they own gas assets, this old nbc on the cheap. there are so many bad mistakes that were made. the list is too billy long to isolate in one or two things. are youis flannery -- satisfi

with john flannery in charge its once coveteden divhas been cut in half. no wonder the company barely shrugged when its impending removal from the dow was announced. ge's statement says we're focused on t executing again plan we've laid out to improve ge's perfmance. it doe nothing to change those commitments or our focus in creatingro er, simpler ge. icons like gm and aoa have left the dow and survived. now investors wonder if ge can find a way to bring itself back life. >> while now that general electric has been removed from the dow, let's talk about whether that iajorex is still as representative of the u.s. economy as i oncewas. we're joined by david blitzer andhaman of the s&p dow jones indisease. it's great to see you today. >> goodafternoon. >> can you tell me what's behind the change? why walgreens? >> well, our change is based on what we feel the index needs and how we wil t make index even better and more representative of the u.s. markets and the u.s. econy, so t change is not about general electric. looking at the index, it is with ge, where i

john flannery views this as an opportunity to change the narrative in terms of the with the company communicatesith investors. when you think about it health care business, it has been a starved for capital and attention within ge, and people ignore the fact that that is actually a good business. margins are increasing and revenue is growing, cash flow is great, but it is hard to get excited about that when your power earnings are dropping off a cliff. dividends potentially getting cut, nobody really cares. now you have this business, standalone where it could make acquisitions and invest in organic growth. that will be exciting for investors. >> the trump administration taking a softer than expected approach to trade, i guess harshest measures on chinese investment. how does that contrast with what we expected? >> president trump and sydney -- senior administration officials saying that they are getting behind bipartisan legislation on capitol hill that would expand of the committee on foreign investment in the united states, or cifius. what it does is expand the committee to allow them to inve

john flannery stepped in and he has an unbelievably challenging task to get profitability up and cash that will and big challenge. he had to cut the dividend in half. he put several businesses -- he talked about $20 billion of disposition on the table. he's anticipating while those companies generated cash, he'll get five to six times more cash by disposition to fund pension liabilities, dividend and reinvestment in businesses. it's a tall order to dig yourself out of the trench. maria: are these the right moves? i think along the way as they were selling industry, you were thinking why are they selling this business? why are they selling this industry? is is the right move to keep accepting off assets? >> i'm not sure he has an alternative for that. con grom rats seem to be out -- conglomerates seem to be out of favor. seeing the benefits of the various businesses where you have different businesses and jack was a master at that. so i think conglomerates boil down to the ability for management, the board, to effectively run those. if you don't have industrial experience, if you don't

and joining me now is jennifer rogers and john flannery, a former assistant u.s. attorney for the southern district of new york. and joining us by phone is josh campbell, a former fbi agent. we have the right folks assembled here. you said the investigation would have to go to the highest levels of a doj. explain why and who would have to approve this. >> that's right, don. so you have to be familiar with these leak investigations, how they work within the fbi and obviously as the fbi conducts these investigations on behalf of these multiple agencies that informally handle classified information. there are two issues at play. the first is you appear to have a staffer in the intelligence committee who was allegedly providing information that shouldn't have been disclosed to those who were not authorize today have it. in this case being the media. the second issue being the fact this actually involves the journalist. inside the fbi and the department of justice there's a certain category of investigation that's deemed a sensitive investigative matter, and these are

john flannery putting into place.e premarket, but cut in half we should say so far in 2018. >> after 122 years, what a story that company is. coming up in the trade were tensions, defense secretary james mattis has arrived in china and rising tensions over not just the growing economic influence, but military influence as well. tech stocks were hammered yesterday. we've been telling you about worries of trade restrictions that the nasdaq down over 2% with the selloff overdone. let's take a look at your u.s. stock index futures right now could the toppling could the dow plaintiff and 16, now negative. the s&p 500 down almost two in the nasdaq down to. you are watching the "fbn:am." ♪ ♪ ♪ build and run apps anywhere you like, while keeping your competitors at bay. the ibm cloud. the cloud for smarter business. cheryl: now after yesterday's 320 appliance fell upon the dow, we are looking at another red card at this point hero thing. we've been going back and forth between negative and positive today. the dow was down 22

tries to turn itself around this is the latest deal among the sales that have been struck under flanneryindustrial solutions for $2.6 billion, health care i.t. for about $1 billion and also that complex $11 billion merger of the transportation unit with wabtec through which ge will receive almost $3 billion in cash up front. still on the block, you've got lighting and current, which is the energy management business ge has also said in the past that some smaller aviation platforms are up for grabs as well and meantime, today, also marks ge's last day as a member of the dow industrials. this is really the end of an era for a blue chip that's been in the index continuously for more than a century throw in all this trade angst that is really rattling the broader market overall today and take a look at shares of ge, they're down almost 2% and this last day on the dow, they are the worst performer, down more than 25% >> it's a humbling time for that company, i'm sure, for its management as well is there any sense of what it would take or what the market is looking for to make the stock move u

highlight today's pop a five point 7%, the best day for ge since april 2015 on the news that john flannery is making good on his promise to streamline the iconic american company. they are exiting the health care and oil businesses and will be focusing on power, renewable energy, and jet engines. investors are probably liking this move. up, despite the increase in saudi arabia and oil production. coming up, president trump signed an executive order on family separations at the border, but it has done little to calm the public outrage. from new york, this is bloomberg. ♪ ♪ "bloombergis markets: balance of power." i am lisa abramowicz. david: i am david westin. : president trump is calling today's supreme court decision " a tremendous victory and a moment of profound vindication." justices upheld his ban on travel from mostly muslim countries, rejecting a challenge that it discriminated against muslims and exceeded his authority. chief justice john roberts wrote the authority -- the opinion, writine substantial -- the --sident has power to justice sotomayor said history will not look kindly

reportedly beat out an ink in is a step towards ceo john flannery's to sell off $20 billion worth of assets by the end of the year. at&t was interested in acquiring another company before pursuing time warner. >> reportedly expressed interest before buying time. the news reported by fox business charlie gasparino. according to people in on the deal, cbs turned down the idea of a buyout after meeting with at&t's randall and said she wasn't interested after the meeting. stefansson made the move to bid for time warner. redstone kept the chairman out of duluth about the potential offer and was not happy she had kept the company executives out of the loop. y type of deal that came out. cbs is known about to gain control from redstone and national amusements arguing redstone has passed up on deals that could have been beneficial to cbs shareholders. >> a brutal fight to watch between the company. jurassic world likes it with entertainment taken the top spot over the weekend. they didn't do as good as dead. >> no, jurassic world following tenet didn't rise to record highs in the box office

slashed dividend last november by 50% to 12 cents a share yielding 3.8% for stockholders, ceo john flannery confirming ge will be, quote, adjusting dividend to be more in line with industrial peers after the spin-off of its health care unit. and had you been watching us last month you would have seen the writing on the wall. charlie gasparino reporting right here on "countdown" that ge's dividend could pick up further or done away with completely. >> what people inside ge are telling me, the talk inside is that there's a further cut to the dividend to make up this difference because there's not enough stuff he can sell to make up 20 billion or possible elimination. they are talking about that internally. ashley: the man is connected, is he not? charlie gasparino with despite the news has investors energized. shares are currently up a buck at $13.86, that is the best performer in the s&p 500. who needs the dow, right? >>> breaking news in the world of cryptoafter banning ads from social media, reversing costs, easing the cost on certain cryptocurrency ads from preapproved advertisers. the te

joined by two federal prosecutors, john flannery and meme roka. john, what does it mean to say he is cooperating and handed over stuff. >> sounds and feels like he's still shaving points. you had him going to save shells in the indian ocean, happened to meet a well connected, wealthy russian who would help set up a connection between the putin people and the trump people. and now he's denying that's not what it was about. and he originally made statements saying he was just surprised when he arrived in this glorious spot in the indian ocean when in fact we now know that he knew about it beforehand, and he asked for the meeting. not everybody cooperates fully. >> he is a liar. you think he is a liar. >> i think he's a liar, yeah. i can't believe him. it is hard to believe any of these people, you know. there was a comedian that would come on, tell a story, be confronted, well, yes, and then would tell another lie. these guys fit that comic model. >> and paul manafort trying to get out of jail means what? >> i don't think it means he is getting out

a more dramatic step in the slim down being clamored for from investors on the part of ceo john flannery. we just heard about lennar from joe. the company talking about some of its challenges, but at the same time, second-quarter revenue beating the highest estimates. we talked yesterday about netflix, and its decline of about 7%, as it was sort of the poster child for the fang selloff. well, bouncing back. another new bowl on netflix. stephan miller initiates the stock at an outperform. the street -- on $503 a share. he says there's no competition for the content available at the price point it offers. finally, we saw intel shares on the decline. he got a downgrade over at bernstein. we will be talking a little bit -- excuse me,how it was not specifically from tony, but from his colleague, but we will be talking with tony broadly later in the show. the stock getting downgrade to underperform from market perform. joe: let's take a look at the government bond market. nothing going on there basically. i could just skip right over that basically. yield flat on the day. much more actn, howev

let's bring in our former federal prosecutor for the southern district of new york, john flannery, andnal security analyst and former fbi assistant director for counterintelligence, frank agluzzi. frank, the question that is being put out there right now is what is it that might concern freedom of press in this particular story? what's your thought? >> it's the methodology that was used here that has everybody's attention. that means that traditionally leak investigations are conducted with attempting to fully respect and preserve freedom of the press. that means you target the leaker, but not necessarily the reporter. what we see in this case, richard, is a vacuuming up of this reporter's phone records, electronic communications, for a year or more, and that means that the department of justice may now have source information and who she's working, informants, sources, well beyond this case. and that -- that's sending a chilling effect. we need to watch this closely. it looks like a shot across the bow to journalists saying we may be targeting you, as well. >> john, are there any guar

factored in today because look at that, 7.7% gain, don't forget, they have been the plan of ceo flannery and that happened again today. healthcare units sold off, ownership of baker hughs shed ding that ownership. yesterday it was the industrial part of it, the industrial engines unit for that also sold off so that's what general electric has been up to stocks at 13.74 gaining 7.7%. quick peak at tesla which gained elon musk talking about the new electric pickup, which will park itself automatically and has a lot of features up 2.7% back to you. adam: nicole thank you. oil surging closing up more than 3% to a new one-month high after the u.s. state department demands all countries cut all of their oil imports from iran by november where they risk sanctions, phil flynn, what are traders saying about this can the u.s. really pull that off? >> they can and i'll tell you what we're already hearing from major oil companies that they are backing away from iran in a big way. they're taking the sweat from the state department very seriously and we're going to see of course the biggest challenge

flannery's -- it's his problem now and the group that made a lot of decisions very reac and not proactive. >> not just the debt also the pension liabilities, too. and how are they going to fund that going forward and still be able to carry forth the dividend i don't think any of us are surprised by this. i don't think it makes us want to buy the stock when it happens -- >> it's a big deal. >> big deal. >> incredible history of the company. >> biggest stock, right? it was the biggest valued stock for years in the entire market. >> in fact, bush administratiibo fade but not much. >> also the g-finance. >> i have to interrupt you here now is president trump. >> a lot of you going with us and interesting. we're meeting right now on immigration. and we are very strong at the border, very strong on security. we want securityfor our country. the republicans want security and insist on security f our country. and we will have that at the same time we have compassion we want to keep families together it's very important. i'll be signing something in a little while that's going to do that and the p

joining me now is kevin flannery the general manager of leisure world. manager for last ten, 11 years.rs >> ten, 11, yes. >> we've got members of the trivia club, right? is tha-- is there a name to the trivia group? trivia club. >> trivia club.le >> excel name. excellent name. [ laughtere ] >> b we get to some trivia, a tell us little bit more about this community in the. i was admit to go i must profesi ignora did not know that the community was so large. ersose. it's really remarkable. >> yes. it's all about the people that live here as you very div 8,000 side nts here. community in696 1 and communityy deve n um, additional reasonable development. we have 5660 homndes a about 8,e here. >> and those homes, you know, i think som people in their mind apgs aou cple's condos.buildings, single famili highis duplexes . ranchersyou can for p 750,000. so tre's a of different market opportunities in leisure world. >> all right. introduce your services in you >> i'm nancy. >> hi low. >> roger. the. >> i'm susan irving. >> nice to meet. you is one of 9 different c

johnf this company flannery once to breathe new life into the 126 your old company, my slimming it downr, renewable energy and aviation. he told bloomberg that ge is being refashioned for the future. yvonne: hong kong billionaire richard lee is said to be laying the groundwork for potential initial public offering of his which is company, backed by swiss right. there are weighing a listing that could take place in a couple of years. the insurance company manages about $27 billion in assets, with 2.7 million customers spread across eight asian markets. reversingfacebook is a policy put in place in january adds. cryptocurrency they will be allowed once facebook can assure users that they are not getting scammed. but other products like binary options and ico's will remain blocked. yvonne: coming up next, stocks enter a bear market in the chinese market. menonak with ocbc vasu next. this is bloomberg. ♪ what's a gig of data? well, it's a whole day's worth of love songs. 300 minutes of baby videos. or, it's a million chat messages. a gig goes a long way. that's why xfinity mobile lets you p

. >> where flannery basically said, you know, ugh. >> as we're talking the president is tweeting about trade and immigration. 80% of mexico's exports come to the united states. that rely on us. they have strong immigration laws u.s. has pathetic and weak immigration laws that the democrats refuse to help fix we'll speak to mexico. he earlier this morning suggested that the gop should make no further attempts to pass immigration legislation. but that's a new wrinkle by the way, gm today says they will make the chevy blazer suv in mexico, despite the criticism from the white house >> i thought that was interesting. a lot of what i think happened when ford chose to abandon new plant in mexico, mercedes-benz and bmw went full bore with two huge plants which are now producing cars but yeah, i mean, i think there's another line from another storyline from this period is that there is going to be it's going to blow up these are why the stocks go down. >> we've been talking about the possibility of consolidation and sort of generally speaking the food area for awhile i'm sure you saw that head

. >> has it been that long >> believe it or not, it's been about a year with john flannery.still need to cut the dividend if they want to maintain the leverage ratio. a very negative piece about ge >> when you say surprisingly, you mean not surprisingly. >> not surprising at all what was surprising is he waited until monday we all could have used this piece friday. >> what's on "mad"onig >> stanley bergman the company is not doing well. people are worried about amazon. >> amazon moving in? >> yes, first quarter wasn't so good and geoff ballotti, wh why? because it's trading at a discount to the other hotel, your franchise companies >> they have 53 million people in an awards program i'm not one of them. that's got to change >> that's a lot of people. >> plus $17 million from la quinta >> never tired of saying that. >> la quinta >> makes you happy >> have a good show. have a good day. see you back here tomorrow >>> coming up, a lot more from carl he is in chicago he interviewed steve easterbrook. also more on the new mcdonald's. keep it here well, it's earnings season once ag

. >> the predecessor to john flannery. >> correct he's been busy but no shortage of things for them to try to figure out over there as they deal, as well, with the desire for a shareholder to buy the company and whether or not there are other buyers out there. >> and that's not -- they have more -- they have more companies. i know the research. they are capable certainly of buying this. they're not short turn arounds. >> he's been appointed executive chair. mark levine a cfo will assume greater day-to-day board activities. >> this is shocking. let's say it it's shocking. this is his company. >> it is. >> it's his company. >> not your company. >> not anymore doesn't have the votes got to have the votes. >> what do you mean the votes? >> say again. >> what do you mean? >> he didn't have the voting control. >> do you agree with me it was his company if. >> yes. >> did you read his book >> no, i did not >> i agreed he was the driving force behind this company, yes. >> yes. >> but that doesn't mean that you're going to stay on. starbucks was howard schultz's company but he's going to -- >>

. >> right he wanted to know nelson was saying, you know, john flannery didn't know that it was kinddon't want to use the word "hidden" because that implies a different level of involvement. >> but $22 billion, wasn't it? >> the $15 was -- >> i see. >> did peltz take any responsibility for what has been a horrible investment? >> i didn't go there i guess i should have said -- what am i supposed to say? >> i don't know. it was one of the most highest profiles ever made it hasn't worked. >> what he said if he knew all the information, it would have been a different story because he wasn't in the board room. he didn't know about the $15 billion. the missing $15 billion that the athena health chairman he thinks knew he thinks that the auditors knew but didn't think it was going to -- he thought it was out there and disclosed. it was a very sobering. >> break up shares of athena health >> what are you even talking about? >> i wanted paul singer to go to at the end. >> that's lightning fast control. one of the big things has been record highs for tjx and nike. >> oh, my! >> the retailers e

posted a $10 billion loss in the fourth quarter and cut dividends, cut jobs, cut costs and ceo john flannery in the midst of a complete turnaround and vowed to sell $20 billion in assets. the strength was aviation health care but weakens in the power units. electricity hurt the company and power markets such as gas and coal have softened. it is the lowest priced stock in the dow 30, which is a weighted average. on tuesday morning, take a look at the past changes. tuesday morning walgreens booths alliance, some of the most recent, apple, nike, goldman sachs and visa added since 2013. so, neil, on tuesday morning, we will say good-bye to good old ge, in the dow jones industrial average. nostalgia, yes, but for the shareholders who have lost a lot of money, they may be happy to see it go. back to you. neil: 100 years ago, i remember covering it at the time. it was a big deal. nicole, thank you very much. it's a joke. why does everyone think i'm serious? tell us what it was like back then, grandpa. >>> all right, usually you don't see republicans attacking, well, republicans with attack ads. >>

flannery is working at faster speed. going to be the tone for the next years, everybody is going to do things faster? richard: a lot of things are speeding up. the cap x we are seeing in the u.s. is also accompanied by how .ension funds can be optimized think boards are looking at m&a. that is caused people to look closely at what their business model can be. francine: how are you adapting and adjusting your business model to that? not talk aboutd state street's business model but in terms of our investment strategy, that needs to be adapted. we have looked at how r&d affects future performance and found that of normal expenditure on r&d is a driver of future returns. those are the factors that we found interesting. that perhaps we would not have considered five or 10 years ago. you look iten economic forecasts or economic models, what do you think is lacking. is there something economists are getting wrong? populations have been affected adversely by things on the face of it that are good for the global economy. that ha

engines units that is going over to, appears to keynote out cummings roughly 3-billion-dollar deal flannery billion dollars just about everything is on the table as he continues to try and turn afternoon this company vpg reformer acquisitions were former acquisitions of immelt. >> out of industrial average after over a century that will happen tomorrow, walgreen's alliance comes in, amazon, they were ruling out now in full force available everywhere you can see to downside this morning, amazon prime in your whole foods get your discounts, on your sale items and many other items the amazon said they have seen everybody signing up so quickly, for this one, and all you have to do is go to get your app your whole foods app or use phone number get the discounts, too back to you dagen: thank you nicole petallides at new york stock exchange, anti-trump sentiment reaching a boiling point tempers flarz after white house press secretary sarah sanders was asked to leave a virginia restaurant the host of "varney & company" stuart varney what say you sir? i am really curious to hear your thoughts on thi