gm is being very proactive on gm's part. if i had one of these cars i would be have reservation, what now, what next. there is lot more on the plate i know of behind the scenes people told me they got the problem. keep contacting nhtsa and reported problems and many still don't have recalls yet this day not on this list. gerri: flatbedding a tie rod is nice. being proactive would not having a problem in the first place. >> agreed. gerri: i feel at this point, i'm shocked. things have to go better. i think it is, i think this is really more of a cover your rear end move than anything else. >> it probably is, when it comes to nhtsa coming after you and all the bills and all the pr moves. you really want to be preactive now. a little late though. gerri: thanks, lauren. >> thank you. >> we want to know what you think. here's our question tonight. are you steering clear of gm because of the recalls? log on to gerriwillis.com. vote on the right-hand side of the korean. i will show the results at the end of tonight's show. we will

gm included.hat't think the cycle that caller was referring to, the idea that the company, in order to get people to buy cars more frequently would intentionally make the cars of lesser quality, is something that would not be easy to prove. the larger trends, leaving aside conspiracy theories, the larger trend that detroit moved toward trying to persuade people to turn cars over and buy a new car more frequently and finance that , those trends did coincide. use of consumer debt and the rise of these reliability issues. he is correct in what he observes. aside the notion that it was all intentional. i think it was a problem of people in positions of authority within these companies taking their eye off the ball in terms of their core response ability to make a good product that will last a long time. "us-made cars only improve after foreign automakers obtained a foothold in the u.s. market." allen is waiting on our line for gm car owners. calling from michigan. good morning. caller: good morning. i

gm declines. thanks for being on both of you. >> thank you. >> good seeing you gerri. >> thank you very much. and if you're planning on hitting the road for memorial day weekend, brace yourself for some serious traffic. aaa expects the number of travelers to hit a postrecession high but the good news is this. gas prices will likely go down, putting more money back in consumers pockets. here with the summer forecast is phil flynn senior market analyst from the price futures group in chicago and fox news contributor. phil welcome back to the show. >> thanks, gerri. gerri: is it a good economic signal that more people will be on the road? >> either that or the entire country has gone stir crazy after this winter. i have got to get out of this house, i'm telling you. they wouldn't leave their house for six months. gerri: that's true. >> no i think that is part of it but when you look at the consumer confidence number, usually gasoline and consumer confidence are really inbred. if gas prices fall down,

gm has linked 13 deaths to this faulty ignition switch. this issue for gm is a loaded one.ause it has to do with tragic loss of life. all stocks face headwinds, sometimes it's a lawsuit or recall, a ceo scandal. it can be weather, hurricane, flood. however dark it may seem, our goal is to look at the financial angle of the head wind on "mad money." at this point, general motors has lost $5.5 billion of market capitalization, the stock has fallen from the 40s to $34 and change. so far the recall has cost the company $1.3 billion. when all said and done, that number will, indeed, goes higher. if it costs $2.5 billion. all told after fines and litigation expenses, by the way, i think it's a stretch. that means the stock has already been punished more than enough. let's say, look, let's just be really negative. let's say it's $5 billion. a number that even the bears aren't suggesting. the company can handle the loss and still recover quickly given how profitable gm has become. my reasoning. okay. these cars that are being recalled right now, they were manufacturing in 2003 thro

tonight, the feds have levelled gm with a history-making penalty. >>> d making a difference. how one of the biggest acts in country is putting money where their music is, helping to save a lot of young lives. "nightly news" begins now. >> from nbc news world headquarters in new york, this is "nbc nightly news" with brian williams. >>> good evening. in the state of california where the fires are given names, it's the blaze they call the cocoas fire that is tonight chewing up the most territory and getting the most attention among the five major fires burning tonight. over 10,000 californians have been evacuated from where they live. the air war continues and so many homes have been destroyed in the past 48 hours or so. two teenagers were arrested late today for starting fires that were later put out. as tonight, the land and air forces in this fight in san diego county are looking for any edge against the encroaching blaze. we begin our coverage tonight with nbc's miguel almaguer in san marcos, california. miguel, good evening. >> reporter: brian, good evening. the damage in t

gm, toyota, employment m, gm, gm. but recent safety concerns have seriously damaged general motors' reputation, even here. >> we are coveringt up much too long. why does mr. obama keep supporting government lawyers? why didn't he start prosecuting them. >> gm's ceo mary barra has spent much of her brief time apologizing. >> that is unacceptable. >> whether dated apologies and a historic fine will slow gm's recovery will only be answered down the road. john henderon, al jazeera, chicago. >> six months ago today, a late season tornado tore through the city of washington, illinois. six hundred homes were leveled and 400 were damaged. as a community bounces back, diane esterbook says one of the biggest obvious stack cells. >> reporter: throughout washington, illinois, you can hear progress. everywhere. many next to those bearing scars from the tornado that piled through here last november. >> this will be our front entry. >> laura wilcox is building a ranch style home in the spot where her two-story spot stood. >> it will

it's far from clear that gm plus apology -- gm's apology is going to solve these problems. host: the headline and the story we are focusing on in this week's spotlight on magazine. on our waiting in ohio line for republicans. caller: good morning. the government had control of gm -- they try tor hang a lot of this on mary barra who was a lower ranking official. what about the guy from the government who was running gm? guest: i think that is a fair question. on the other hand, i would be a little more hesitant to give gm pass.ives a mary barra has been at the company for 30 years. before she was the ceo, she was not some junior flunky. she was a quite senior person. the company nearly collapsed in 2009. that is not a secret. by presidents made obama and is a ministration to save this company. rather than to allow to collapse and have millions of people, the employees of many companies who supply this huge organization with parts and services -- they decided to keep it going and keep people employed and not exacerbate what was already a terrible recession, especially in the

>> i think that people that are true gm enthusiasts will always be gm.s bought gm, and that's what he would buy forever. nothing would stray him. but people that look around me, you know, it may be difficult to get some of those clients that bought cars that maybe felt uncomfortable about the recalls, maybe they'll buy elsewhere. some people still call it government motors, even though they're out of the general motors business, and they'll never come back. it is helping the whole automotive industry. believe it or not, we're going to be over 16 million cars this year. so the automotive industry is growing, and gm hopes to get some of that back. their biggest market is china, and it continues to grow. >> lauren fix, poppy harlow, thanks so much. i appreciate it. >>> still to come in the "newsroom," it's a showdown at the golden arches. mcdonald's workers bringing the fight for better pay right to the company's top executives. we'll talk about that next. avo: waves don't care what age you are. take them on the way you always have. live healthy and take on

prove that new gm is the successor to all gm. >> isn't it?e same employees, the same company -- not.ybe yes, maybe it may invoke a question of perhaps, 50 different states' laws as to what is and what is not. it all over the place document say the new gm is not the successor to old gm. assuming, brian johnson, you can go after new gm for old gm's problems, what would that do to the company? we hope istaken what a conservative estimate of the $3ages, around $2 billion to billion, around wrongful death lawsuits. these so-called economic loss lawsuits. you know, for a company with over $30 billion of cash, where the market value is down by far more than $3 billion, we think that is a risk investors should be willing to take. >> it almost does that matter. these big cases are decided by the court of public opinion. the people who were injured or suffered losses due to the ignition problems, they are going to be paid so much they do not have to work for the rest of their lives, guaranteed. the people who did not have serious injuries, they may get

don't use these terms when talking about gm, says gm. can america's largest automaker recover from the barrage of recalls, embarrassing leaked memos, and john oliver skewing last night. the cycle is going to roll on like a gm car. it's monday, may 19th. if i can impart one lesson to a new business owner, it would be one thing i've learned is my philosophy is real simple american express open forum is an on-line community, that helps our members connect and share ideas to make smart business decisions. if you mess up, fess up. be your partners best partner. we built it for our members, but it's open for everyone. there's not one way to do something. no details too small. american express open forum. this is what membership is. this is what membership does. when folks think about wthey think salmon and energy. but the energy bp produces up here creates something else as well: jobs all over america. engineering and innovation jobs. advanced safety systems & technology. shipping and manufacturing. across the united states, bp supports more t

there seems to be a big issue whether gm feels culpable for people who had problems before gm became the brand speaking new company that it is right now? >> yeah. i mean there is only one answer there, that is morally they have to do it. the bankruptcy judge, judge gerber made it clear on friday, he and, no way intends to give them a bankruptcy pass until he determines whether there was fraud committed during the bankruptcy proceedings when they asked for relief from their past debts. so that issue was discussed between ken and i. i was under the impression that they're close to making a decision, if they have not already and that it would be consistent with what mary barra said, they are going to do what is morally right. maybe not what is legally and technically available to them. gerri: that answers my question. before you go, i do want to ask you, we mentioned at the top before i introduced you, that gm executive leaving who was responsible for investigating these faulty ignition switches at center of this whole debate. what do you make of that? does that have any meaning for you

this is the number that might affect investors in gm. that is the investigation. >> what about the internal investigation at gm? are there going to be heads rolling? deep to findging out why this occurred your people i talked to said that names will be announced. some of the details will be released. gm even agreed to release that -- twoto you or slip regulators of a sign it will come out. the actualabout models that have been affected by this recall. they're not even sold anymore. >> they represent gm's past. before the bankruptcy and restructuring. has is the messes that she been trying to send. it is a genuine and honest message. we have not even seen these necessarily for sales or investigation. the companyl like is looking forward ineffectively trying to solve these problems from the past as quickly as possible. i believe she is sending this message because it is true. >> has this affected the gm stock price? >> they are down about 16% so far. you talked to some analysts. it is with some that they are doing into the headway. this is

recall riplle effect-- as gm pays up for its past mistake. plus... outlet malls are back in vogue... and... the american cure for cabin fever? hit the road jack! first business starts now! good morning! i'm angela miles. it's monday, may 19th. in today's first look: the buy on the dip strategy props up the market once again... stocks rallied friday as traders made a late dash in the session to buy stocks that recently sold off. the dow ended up 44 points, the nasdq 21 and the s&p 7. gold traded down $1 and oil bounced above $102 per barrel. boeing reportedly is set to fight an "unfair" labor ruling. the national labor relations board said last week it was wrong for the jet maker to video tape peaceful marches by union workers in 2012. malaysia airlines loses more money. the airline recorded a net loss of $137 million as missing flight 370 "stressed the company". and hershey is making a billion dollar bid for russell stover according to the wall street journal. trader philip streible of rjo futures joins us for monday morning look at the stock market.

it is gm's 29th this year. what is going on with gm?outfront" with this story. >> reporter: 11 recall announcements in the past week as general motors racks up 13.8 million u.s. recalls this year alone. >> so this has been a banner year for gm in a bad way. they've had 29 separate recalls so far this year, which is a record. this is big. >> reporter: gm has recalled more cars this year than it has sold since exiting bankruptcy in 2009, leaving just about everyone wondering what is going on with gm. >> we have moved from a cost culture after the bankruptcy to a customer culture. >> reporter: the automaker says this surge in recalls is because it's holding itself to higher safety standards, tackling problems more quickly. they also follow newly minted ceo mary barra's congressional testimony about why it took gm a decade to report an ignition switch defect that has been tied to at least 13 deaths. >> employees of general motors from engineers, investigators, all the way up through executives were briefed on information associated with thi

gm, toyota, gm, gm.ut recent safety concerns have seriously damaged again motors reputation even here. >> they were covering it up much too long. >> why o why o why does mr. obama keep supporting general motors? >> mary obara, has spent most of her position at ceo defending them. >> david k-eilly joins us from an arbor, michigan disaismed, d, welcome. >> thank you. >> what does this send to general motors? >> it sends a big message to general motors. the $35 million may not seem like much but it is the maximum allowable fine. but until the law changes and the maximums change, that's all the can law can do. on top of the fine the government now is all over gm. in terms of making sure that they comply with a much tougher standard. of reacting to the information and data that they get, when accidents happen. when cars are brought do dealerships with problems. and the technicians fix them. all of that information flows to general motors. but for the last ten, 12 years there's been a cadre of people inside ge

gm says a faulty part of the daytime running lights could overheat and cause a fire. since mid-february, gm has recalled on average almost 1 million cars a week. >>> still ahead tonight, hidden fees, extra charges, cancellations. new rules announced to tackle some of the biggest complaints for air travelers. >>> and later, a song that has so many people getting happy.

what would you advise to gm right now? quite frankly if i was looking to buy a car, i'm not sure i would buy a gm even if there was a discount with one on the block, because the gm dealers are trying to get rid of them. >> i actually agree, mandy. this has been a drip, drip, drip, that shows general motors is in damage control mode. there's no evidence this is going to stop soon. i do have empathy for mary barra. but this has gone on for so long. how is it not possibility for ash as clients suggested, that gm -- these are all safety-related recalls. which will be much more costly than the 1.7 billion in recall-related charges. >> i tell you what, there's -- i would go buy gm tomorrow, because this has happened to a lot of companies in the past. in indication that customers are indeed staying away? >> not at all. that's a great question. i've got to look at the data. thea shows there is no impact to sales yet. that could always change, but retail channel -- are up, and outstanding data from the new impala that came out last

versus the new gm.of big questions. i did talk to the head of the center for auto safety today and he said he thinks the fines should be unlimited. he thinks that possible jail time should be considered here if gm is found criminally liable. >> poppy harlow, thank you. when we come back he's blowing away the box office competition. what would the military do to fight off a real life godzilla? the air force has a plan for that. that's next. sea captain: there's a narratorstorm cominhe storm narrator: that whipped through the turbine which poured... surplus energy into the plant which generously lowered its price and tipped off the house which used all that energy to stay warm through the storm. chipmunk: there's a bad storm comin! narrator: the internet of everything is changing how energy works. is your network ready?" tigers, both of you. tigers? don't be modest. i see how you've been investing. setting long term goals. diversifying. dip! you got our attention. we did? of course. you're type e* well, i

for gm it's been a rough 48 hours. five recalls capped off by a public flogging. >> what gm did was break the law. they failed to meet their public safety obligations, and today they have admitted as much. >> secretary of transportation anthony fox announced friday the auto make ler pay $35 million, the maximum civil penalty allow allowed for delaying the recall of cars with faulty ignition switches which can cause critical safety systems to stop working. the commission say 13/deaths are related to the ignition problems. gm knew as early as 2001 and knew as early as 2009 it could disable air bags. instead of telling the government within five days though, gm waited years. >> gm engineers knew about the defect. investigators knew about the defect, gm lawyers knew about the defect but they did nothing to tell the public about the defects. some members of congress thing that civil penalty does not go far enough. at gm, it's less than one day of revenue. >> $35 million is too low of a fine. it's a parking ticket. we have t

you have to prove that new gm is the successor to old gm. that very possibly might be different issues because state laws are different, if it comes down that way. >> i wonder how much of this is sort of theatrical play for the court of public opinion. feinberg has gotten involved. i'm sure he wants to make a deal >> he they go to court wants to make a broad sweeping deal they can wrap up everything and put to bed all of these claims. >> you are exactly right. to come upffs want the a smoking gun and reputation damage to gm after that would be awful. the ideal situation is to get this thing settled before there is more reputational damage for gm. >> what is the short-term overhang on the stock and its reputation? up almosts were still 7%. we did not see the fall off. i don't think that you saw decadel effect of the recalls, if we can call them that. you may see a bigger effect in , the company is separated fairly well. is going to mistake a chevy cobalt for chevy and paula -- impala. the quality of what they are building now cannot be compar

tepper increased his stakk in gm. paulson increased his stake in gm. einhorn got out of gm entirely. george soros cut his stake on gm as well. what do you think? >> this is company should have failed. it is a failed culture. it didn't work. taxpayers had not bailed it out it wouldn't exist today. melissa: ten per is a smart guy. -- tepper is a smart guy. upping the anteon gm. >> they have another recall on top of earlier one, you wonder how far the quality problem goes. melissa: you hate gn. >> i don't like gm at all. i don't like what they did with gm from the beginning. i still think it is dead in the water. you can add to investment like that or increase it but hedge fund managers are not always exact on every investment and we don't know when they will unload it. melissa: no, that's true. is jcpenney back from the brink following its first sales gain in three years. james, is jcpenney back from the brink? >> it is still losing money. melissa: investors weren't today. the investors are happy. they were up 13%. they like that. >> but you're back to t

gm, how much trouble is theic in addition problem going to be? stay in the headlines, negative headlines for some time? >> actually, if you look at sales, people have not stopped buying general motors cars. people seem to be believing in the products more than the headlines right now. now, will that continue? i tend to think it probably will. gm is, you are right, in a tough spot. this is why lawyers make lousy pr people. on the one hand, we are taking smiblt for this we understand. on the other hand, lawyers have to go in and say, hey, that was the old gm that was beyond the bankruptcy you can't hold us responsible. >> she has been a levelheaded speaker about the company at this point. >> given the spot, she a brand-new ceo, hit almost over the head when she walks in the door. i think she has done a good job with that one. up next, you still don't though where flight 370 ended up. we could have. >> that simple safety measure a new report says should be on every flight. why won't it be on the next plane you fly? that's next. he was a matted mess

you're outside a gm dealership is in chicago.t this puts one part of the nightmare behind gm, does it not? >> reporter: one reasonably small part, liz. absolutely nothing is absolutely right. take a look at the perspective on this, i talked to one gm dealer who said, 35 million? that's what they made on me alone last year. in q1, for example, $35 million compared to revenue of $416 million a day. you know, we're talking about an hour's worth of revenue here. the other stuff that if you have to come as you alluded to at the outset, potential criminal prosecution. take a look at this petition that's being circulated on change.org right now. it has over 100,000 signatures. and today's fine only intensifies the pressure from some groups on saying that gm officials need to be prosecuted for this. the only thing -- and by the way, we're not talking about a doj fine, this is a d.o.t. fine, the transportation department. justice department, as you know, fined toyota 1.2 billion, with a b, dollars for its acceleration problems. that is re

how much does all of this make you want to buy a gm car? the politics lead. the battle for control of congress may be in november but the battle for control of the gop is today. key primary elections in six states will set the stage for the midterms, many of them pitting the tea party against the republican establishment. which side will walk away the victor? >>> and the world lead. did the cia have a hand in the frightening outbreak of pole low in pakistan this year? before you dismiss that as conspiracy talk, remember, the agency used a evacuation ploy. now trying to get the world to trust what is in vaccines again. >>> good afternoon, everyone. welcome to "the lead." i'm jake tapper. we'll begin with the money lead. the "closing bell." just seconds ago on wall street, there are days when the bell can feel like jackpot on a slot machine. and then there are days when it can feel like somebody pulled the fire alarm. and this, regrettably, is one of those alarm days. the dow dropping 170 points at one point and ticking back up before trading ended but still cl

gm."fly about it and did you bring a clip from the show as well? >> i did, and at one question i get from a lot of people is some of these vehicles are out on the road. what happens if your car has this happen to them in terms of the ignition slipping back into accessory mode? it is every nightmare -- every driver's nightmare. you don't want that to happen, and what does it feel like when it does happen? we went and talked to the folks at "consumer reports," and they gave us a chance to experience it firsthand. take a look. >> jake bishop, director of auto testing at the nonprofit consume "consumer reports" is showing us 2.6 million gm cars are being recalled. how easy is it going to be for me to accidentally turn off the ignition and put it in accessory. >> just pull on the keychain. >> i deliberately steer the car back and forth. >> the power steering is gone. >> but there's a loss of tension power, power steering and power brak brakes. >> it is not easy to avoid the coins. >> i did it,

on gm's facebook page, dislike, disappointment and disgust from one gm customer. others wrote it's tuesday, must be gm recall day. and i am leaving american cars. this is ridiculous. phil lebeau covers the auto industry for cnbc. >> some of these would not have bean recall in the past but in this case general motors has decided this is the time because of this crisis less announce any recall, let's get it out of the way. >> reporter: experts say getting consumers to pay attention to a recall is a constant challenge. government data shows one in four car owners fail to bring in their car for recall work, both new and used cars. >> because cars are bought and sold many times it's entirely possible that a new owner of a used vehicle may not have a clue that their car is recalled. >> reporter: meanwhile, both used car dealers and rental car agencies are under no legal requirement to do the recall work themselves, leaving customers potentially in the dark. if you have a used car and you're not sure if it's been named in a recall experts advise googling the make, model

they've had 29 separate recalls this year so far which has been big. >> reporter: gm has recalled more cars this year than it has sold since exiting bankruptcy in 2009 leaving just about everyone wondering what's going on with gm. >> we've moved from a cost culture to the customer culture. >> reporter: the surge in recalls is because it's holding itself to higher safety standards. they follow newly minted marry barra's congressional testimony about why it took more than a decade to fix an ignition switch which has been tied to 13 deaths. >> employees from engineers, investigators all the way up to executives were briefed on information associated with this recall. >> that violation cost gm the maximum $35 million fine and will likely cost the company more in victim compensation. >> my sincere apologies to everyone who has been affected by this recall, especially the families and friends who lost their lives or were injured. >> reporter: but barra is not new to general motors. she's been with the company for 33 years. formerly vice president of global product development leaving lingeri

berkshire hathaway making new moves in gm.ave a big move in gm, berkshire hathaway has been a shareholder. but they're reducing the stake to about 10 million shares. going to around 30 million shares. a reduction in gm for warren buffett's berkshire hathaway. berkshire hathaway is an existing shareholder in walmart. we have been talking about wall matter and the retailers all day. they have boosted their stake by about 8.6 million shares. a nice big move. 8.6 million shares in addition to what they own. walmart. a boost in the shares. gm, a reduction. those are the headlines at this time. back over to you guys. >> thanks so much. on gm let's bring in a hedge fund heavyweight. don drapkin along with sky rich founder. great to have you with us onset. in terms of general motors it seems likes it's getting worse. another recall. 130,000 more chevy malibu madles today. the total number recalled 11 million to date. you have taken down your position in gm. >> we didn't take it down. we sold our shares. we are bullish on gm, they're t

gm, though, is the big story again today. ceo mary barra having private meetings on capitol hill with lawmakers. here's what she has publicly said. >> we've moved from a cost culture after the bankruptcy to a customer culture. >> all right, behind closed doors, she's been promising lawmakers constant communication, saying they'd receive a copy of gm's internal investigation in early july and that she would testify further at hearings. and so far, congressional aides are telling us they like what they're hearing from mary barra. she became ceo just one month before the recall was announced, and so far, those aides say they like the messaging from the new ceo. but recalls may continue through the summer. now, according to barclays, gm hired 30 investigators to comb through data and find possible issues. so, maybe, just maybe you're going to see more of this. also, mary barra telling lawmakers, frankly, that they don't have all the parts yet to do all of these recalls and all of the repairs. so, there's going to be a long road,

>> my friend at automotive news says gm was put on a short leash. is unprecedented in trmz of one of the detroit carmakers. general motors has to basically report in. it's almost like it's on parole with the transportation department. and this is the kind of information that car companies, they don't like giving over information to the government. they would rather be able to run their operations without having to justify what they do. so it's an unprecedented level of oversight for a detroit company. and it will be very interesting to see how this relationship works out. >> and it doesn't seem that gm is finished with all of this. i mean, there's still investigations ongoing. are they still possibly liable for criminal malfeasance? >> there's a couple of milestones that will probably still happen here. first of all, general motors is conducting its own internal investigation and it hired kenneth fineberg, who adjudicated the 9/11 victims' cases. he was the person who looked into compensation in the bp oil spill and he's expected to make a recommend

the big story, gm. general motors, after another recall announcement, it brings the company's grand total, 29 separate recalls for the year. gm has earmarked $1.7 billion to deal with the recall costs, earmarking that last quarter, essentially wiping out its profit for the quarter. the company is paying nhtsa $35 million in fines for its handling of the botched ignition switch recall that led to 13 deaths. perspective on that little fine? you know, gm makes $415 million or so in revenue every day. that's how much money is coming into gm's coffers, so it's very small. we are expecting more fines, however. remember, toyota paid in the end some $1.2 billion for its recall crisis. so, what does this mean for rookie ceo mary barra? well, the good news for barra, gm is still selling cars and is still the number one automaker in the u.s. >>> the weather picture this morning potentially dangerous, it is severe, it is ugly out there, and millions of you could be in the path of thunderstorms, thunderstorms that c

more recall trouble for gm.rting five more safety recalls covering almost 3 million vehicles. details next. ♪ >> we are 30 minutes away from the opening bell. here's what we are looking -- working on. the government reported the first-time jobless claims fell to their lowest level in seven years. gm is announcing more recalls. 2.7 million vehicles for a number of problems. gm will take a $200 million charge in second quarter. walmart cannot seem to shake off the sales slump area and they missed estimates are at walmart shares are down. in the lead up to the 2014 world cup, there is a battle being waged. the two biggest sportswear company in the world, and nike and adidas, are locked in a struggle to own the soccer mark get -- market. we got an inside look on how these companies plan to make billions around the world cup. >> my god son is playing soccer for his club team. so are a lot of kids. in his little brother has keeper shirts. soccer jerseys are the only form of currency they accept. it is not just me buyi

"gm's coming out of bankruptcy. it's trying to keep costs down and that gets passed along the supply chain." the annual survey by automotive consultant, planning perspectives rated toyota first followed by honda and nissan. the top detroit automaker rated by suppliers was ford, chrysler which had been on the bottom since 2008 and is now a unit of fiat-chrysler automobiles, moved up--ahead of gm. "gm has trouble communicating it would seem." the suppliers rating comes as a new lawsuit in the g-m ignition recall alleges that gm secretly changed an ignition part. and hid the evidence until after a settlement had been reached with the parents who's daughter died in 2005 chevy cobalt crash. "they're in a tough spot. delphi is bearing the brunt of the recall." auto analysts say there's another reason to keep suppliers happy---advances often come from the bottom up-- suppliers--not the top down. "having your supplier who knows your part better than you do can reap all sorts of benefits in your supply chain." telsa will no

gm is the big money story again today. the ceo, mary barra, having private meetings on capitol hill with lawmakers. here's what she has said publicly. >> we've moved from a cost culture after the bankruptcy to a customer culture. >> behind closed doors, she's been promising lawmakers constant communication, saying they'd receive a copy of gm's internal investigation in early july. she says she will testify at future hearings. barra became ceo just one month before the first massive recall was announced, and so far, you know, a lot of observers say she has done everything right. she's appointed an internal investigation. she has put in a safety czar. recalls may continue through the summer. according to barclays, gm hired 30 investigators to comb through data and find possible issues. that means maybe even more recalls. >> right. >> you're going to see even more. another really interesting twist to that gm story, they're rg trouble finding the parts. very few vehicles have actually been fixed yet because they have a rush of

you would think it would affect gm's stock, but it has not yesterday so far. thank you so much for joining me today. i'm carol costello. "@ this hour with berman and michaela" starts now. >>> raging infernos scorch more than 10,000 acres in california's san diego county. mandatory evacuations are ordered as houses go up in flame. what will the weather hold up for the firefighters? >>. >>> donald sterling has been playing defense since his racist rambling went public, but now may be switching to offense. reports at this hour that he doesn't plan to pay his fine. he might take the nba to court. >>> then, isn't it awful that it's quite evident somebody is lying here? somebody is lying. -- captions by vitac -- www.vitac.com >>> first the plane goes missing and now the data used to find it. where did that data go, and is someone lying? >>> hello, even. i'm john berman. >> and i'm michaela pereira. we begin right now. >> we're going to begin on the front line of the wildfires raging in california. >> wow, there it is right there. there it is right there. >> [ bleep

not including gm. gerri: but joe, before you go on, i know there has been a lot of recalls, not all of them result in deaths. >> right. gerri: this is why we're all concerned. there are not this ever cars, tens of millions of cars all over the world. >> sure. gerri: this gets attention for that reason if no other. >> right, what's happening now they are addressing an issue where they had some cars that were not strong. that was a period of gross cost cutting and now on top of that, in an attempt to just clear out any other lingering problem they have, they are just going through everything, every defect investigation that they have pending. again, something that happens all over the industry all the time but they're going through it. now does that mean that their cars are more defective just as they are? or is it just that they were too slow to do it in the past any think ultimately we're going to see, because there is so much more attention and fines, $1.2 billions fine to toyota just a couple months

can gm still be fine for other recalls? do with specifically the department transportation. as we have reported, the justice department is also looking into this situation. you will recall the record amount that toyota had to pay to justice over it safety issues with the sticky accelerator, a $1.2 billion fine. sotice is to look at this, there is still plenty of pain potentially for general motors from washington. this $35 million could be the start of what could be more .unishment to come there is also a congressional investigation, so the problems are far from over. >> jamie alluded to the idea that congress is being pushed to raise the fine to $300 million. how likely is that to go through? >> it is part of a much broader effort dealing with highway funding that i was not walk through the numbers here, but it is likely there will be some effort to raise the number but nothing is easy to get done here in washington right now in this midterm election year, so i would not hold your breath, especially if it is tied to a larg

that is when gm said it was recalling another 2.4 million cars and trucks.here are cross over suvs that have problems that can cause the front seat belt to separate from the car during a crash. that includes enclave, traverses, arcadias from 2009 to 2014. this comes after gm reported an ignition switch recall that is responsible for 13 deaths. some car owners have struggled to get the problem fixed. they are frustrated. we talked with one woman who was told it could take weeks to repair her recalled car. >> i called them friday and what they told me was they have the one dealership had 200 cars waiting for repair. i called another dealership and they said there were 300 cars. >> this has been the year of the recall at gm. so far in 2014 the company has recalled 13.8 million cars, trucks, and suvs in the u.s.. a gm representative says the detroit based auto maker is simply trying to take a proactive approach by delving into the records to find safety issues and get ahead of any issues that could be out there. this dealership opens up at 7:00 this morning. we

her 30-plus year rise at gm started with an internship. she moved through numerous engineering and manufacturing jobs, and several executive level positions, then ceo. that's why some senators found it hard to believe she wasn't aware, given that gm says its engineers detected the problem ten years ago. >> you're a really important person to this company. something is very strange that such a top employee would know nothing. >> but it is important that we understand what your role was during your 33 years. and more important that that, that the investigation point out just who knew what and when did they know it. >> reporter: the results of gm's internal investigation are expected next month. until then, the ceo mary barra has been meeting privately with lawmakers in washington, d.c., briefing them on the recalls. how she handles this recall crisis will likely cement her gm legacy. >> if she turns this around, she could be a hero. the challenge for her right now is she's got to deal with this crises. but at the same time, she has to contin

gm faces more fines from a separate fbi investigation, live in the newsroom, kpix5:00. >>> happening today a little help, strangers are studying the cables today, allowing them to get up there a little bit earlier this year. you still have to get a permit. the climbing season by the way opens up a week from today. this week now available late billionaire howard hues lake that toe "cabin" is on sale at the bargain price of 19 and a half million dollars. it's beautiful, 4 bathrooms, 5 bathrooms on -- 4 bedrooms 5 bathrooms. wow. >> how much was that? >> 19 half million. >> billion. >> no,. >> i wish. >> hey, guys big changes coming up as we head in for today we see the sea breeze return, we've had a few high clouds moving overhead right now. yo know what we're in for much cooler weekend. the temperatures are around the bay area still up to 80 degrees in concord. 67 degrees and cooling down with a sea breeze in san francisco and 74 degrees in san jose. you can see right now the clouds scooterring, they're lingering towards the coastline. so looks like those temperatures coming back to n

and this has been the year of the recall at gm.the company has recalled more than 13 million close to 14 million cars, trucks, and suvs here in the u.s.. we'll let you know when we run into car owners this morning and when we are able to talk to the folks from this dealership here. alex savidge ktvu channel 2 news. >> all right it's hard to keep track of all the cars that have been recalled. you can find a list of the gm cars under the ignition switch recall just go to our website at ktvu.com and click on the web links section in the middle of the page. >>> happening today angry protestors from southern california are on their way to a santa clara county courthouse this morning. they are furious about plans to release a notorious serial rapist from jail into their community. janine de la vega is joining us live knew from san jose to tell us what is expected in court today. good morning janine. >> reporter: good morning, dave. these protestors are on charter buses right now traveling 350 miles from antelope valley to san jose. they

. >>> gm has a major recall crisis. how much did ceo mary barra know about flawed parts and when did she know it? ♪ thoughtful combinations, artfully prepared. fancy feast elegant medleys. inspired dishes like primavera, florentine and tuscany. fancy feast. a medley of love, served daily. humans. even when we cross our t's and dot our i's, we still run into problems. namely, other humans. which is why at liberty mutual insurance, auto policies come with new car replacement and accident forgiveness if you qualify. see what else comes standard at libertymutual.com. liberty mutual insurance. responsibility. what's your policy? if it doesn't work fast... you're on to the next thing. clinically proven neutrogena® rapid wrinkle repair. it targets fine lines and wrinkles with the fastest retinol formula available. you'll see younger looking skin in just one week. one week? this one's a keeper. rapid wrinkle repair. and for dark spots rapid tone repair. from neutrogena®. >>> gm is saying 47 crashes can be as tribted to crashes.

christine, how bad is this for gm?rying to get ahead of this and to resolve what's been a very bad public relations year in terms of its recalls. 13 million cars were recalled. i reported to you about 24 hours ago. the company is trying to resolve this because this has been a problem and an outstanding issue for the company. this particular recall is one that has really angered a lot of consumer protection advocates because this is something that the company knew about for some time for a period of years. there were 13 deaths that have been tied to accidents with the ignition switch problem. some 2.6 million of these cars recalled. this in particular is the cobalt issue, the car that started it aurl. so resolving this with the government very important. there's going to be other lawsuits and they even got to move forward and show they're being more aggressive, not just putting out technical bulletins but recalling cars where people could be hurt. this is an important turning point how gm manages this. >> let me ask you

the big story, folks, is gm.other recall announcement brings the company's grand total to 29 recalls for this year. gm earmarked $1.7 billion to deal with recall costs last quarter, essentially wiping out its profits. the company has fines paying nhtsa $35 million for its handling of that botched ignition switch recall that led to 13 deaths. some perspective on that fine? gm revenue is about $415 million or so every single day, so a lot more money is coming through the books than that $35 million fine. what does this mean for the rookie ceo, mary barra? >> the challenge for her right now is she's got to deal with this crises. she's got to -- and i think she's doing a lot of the right things, insisting on recalls, getting this investigation done. she's hired outside consultants. but at the same time, she's got to continue to run a car company. >> yeah. the good news for barra, gm is still selling cars as still the number one automaker in the u.s. and mary barra's been getting pretty high marks for how she's handle

that's what gm says now. saying this memo from 2008 shows gm had a culture of not allowing a free discussion with their cars. >> you prohibit employees from using certain language, it's hard to communicate exactly what you want at times. >> at the time what those gm lawyers were saying is if you say powder keg, that's not saying what the problem is. that's not saying a brake issue. that's a judgmental kind of thing. gm employees are encouraged to drive gm cars when they are in the process of being developed and when they will be marketed. you have a lot of gm employees driving cars. this is a company in a presentation trying to tell them how to describe your relationship with the car. it comes off very, very badly. comes off very badly. >> if i filed a civil lawsuit, i would use that. 13 people died because gm ignored these problems with ignition switches. how much money will gm have to dole out in the end? >> 35 million is this fine they agreed to last week. it won't end there. there will be other fines no q

that's what gm told us in february.w is that gm knew about this issue years before this past february. since at least november of 2009, gm has had information linking ignition switch problems with air bags failing to deploy. they had that information and they told no one. they didn't tell nhtsa. and they didn't tell their customers. in the meantime, those customers were driving cars with a dangerous safety defect. crashes happened and people died. had gm acted differently, perhaps some of this tragedy might have been averted. our department searched for a defect would have certainly taken on a different course. we looked at this issue not once, but twice -- in 2007 and 2010 -- searching for the data to justify a full investigation. had gm told us then what they told us back in february, things no doubt would have proceeded differently. but the fact remains gm did not act and did not alert us in a timely manner. what gm did was break the law. they failed to meet their public safety obligations. and today, they have admit