in a letter received i believe last week, five seats and gordon bethune as chairman reduced to three ats and gordon as chairman. ual came back. there is mr. bethune. they said two seats including mr. bethune but the key is a threshold issue of mr. bethune being made the chairman, jim, of the company. now they are looking for six seats. very much unclear. i can't remember the last time an activist investor won all the seats like that. star board, dart and when they replace the board. they say it is a minority slate but with a board at 15 but apparently going back down to 12 with directors stepping off and two of the overall directors being not elected by shareholders but union reps one could argue you are talking about enten seats and they want six. that's a majority slate, control slate. that's an interesting question. >> what are they upset about? i'm looking at the numbers for united. stock over the three years, 94%. american, 71%. look at revenue growth year over year. united, minus 2.7. american, minus 3.9. true jetblue did bet er which we know is a growth air line. spirit, look a

former continental airlines boss gordon bethune to be nominated for united airlines's entrenched boards is that gordon be named as chairman. that's nonnegotiable. anybody who knows gordon knows what he did with continental before. probably pretty impressed with it. but this is all happening as the newly appointed oscar nunoz is just back next week after a heart transplant. he didn't get a chance to really start anything. he had been on the board for a long time before that. >> right. a rail guy. railro railroad. is that gil garcetti's son? >> i think it is. i'm not 100% sure. >> someone talk in your ear? >> no. just the guy right up in here. >> that's strong. strong. >>> gordon bethune joins david at 10:15 eastern time. >>> who is the mayor of montclair? >>> other stocks on the move this morning, shake shack poised to post its biggest intraday plunge in months. its sales outlook for the year was soft. >>> shares of urban outfitters getting a boost, posting better than expected same-store sales boosted by its free people brand. >>> thor industries posting earnings and revenues that top

what is interesting what david brought up the fact that gordon bethune is ripping into the board anding they don't understand what it takes to run an airline. well, where have these two investment firms been for the past two years? this is not a new story in the world of aviation, that united has lagged competitors. the most interesting thing here, why now? why do they believe that it's the right time with oscar munoz in charge? by the way, most people who have looked at munoz's elevation to the ceo job says he brings in what they need, one, improving labor relations and two, he's have good on the logistics side of a business. that at the end of a day is a lot of what the airline business is about. >> he was at csx. >> yep. >> i thought the same thing, the timing of this move now by the two firms, why do you think they are going after him right now? obviously you have this change in leadership with munoz finally being able to take reigns. is that the reason why they are going after now? what do you think. >> you would have thought that might have been key. he supports mr. munoz in th

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two investors team up to take aim at the airline nominating six directors including former ceo gordon bethune who speak to cnbc earlier today about the move. take a listen. >> if you're in a horse trade and not winning you're not winning and under a relative basis they underperform the market and i believe the shareholders are not happy with having no airline expertise at the helm. everybody loves including me oscar. it's the board that has got kind of a country club atmosphere and hasn't been paying attention or set the right goals and quite frankly hasn't followed good governance processes and procedures. >> so, pete. >> yeah. >> does this make you more optimistic. >> it does. >> because i think they are finally addressing the bigger problem because when you look at the big three. american they have found some of the synergies and delta found some of the synergies and united has lagged for a long time and that's directly because of mismanagement and that's partly at least why the ceo was changed and all of a sudden the ceo has to go on hiatus for a heart transplant. this is a great opportun

scarlet: what do you help to a cobbler is by bringing back gordon bethune? more talking about the problems united has had rather than what they want to see going forward. but they set about united in the past is that the company just has a languishing stock price. it hasn't performed as well as delta or american. and i think these new investors just want to shake things up. they want new blood on the board, and they think that will help a turnaround quicker. >> revenue is rising 40% in the squares first full quarter as a company, for profitability may be the real concern. what do they cannot sales growth year combined with the lack of profitability? >> they had a huge quarter, they grew 60% in the quarter. there clearly firing on all cylinders on that front. they are expanding to other categories. square capital division is something people are really looking at, and they have offered loans to merchants with $7,400 in loans just in the first year. that is exciting cross sale opportunity just in the first year. emily: how strong is their product pipeline? chr

of the company, but six board members, or six new people on the board, including, of course, gordon bethuneairman. that fight's just begun, but we haven't heard about what's the plan here, you know, give us more specifics. and so, we are awaiting and expecting that at some point, they'll put a white paper out or something like that. >> david, do you know what was the 13th best performer from the bottom? >> i don't. >> 13th? >> 13th. >> lucky 13. >> was it united airlines? i figured that was -- >> i mean, i guess these guys, they're just not happy with success. >> which, you know, in a proxy fight can always be the key. even if you've underperformed your group. if you've outperformed the s&p during any meaningful time frame, a la dupont, remember, when they did win only to lose -- >> right. >> you can beat back a proxy fight. so, it will be interesting to see what these guys really want. >> yeah, what is it? what is it they want? when is it enough? >> how many yachts -- >> how many mexican restaurants can you own? >> let's see, jim mentioned some of these european banks. let's get to simon h

capital last week nominated their own slate of directors and want former continental airlines chief gordon bethuneirman. we'll have more on this story a little later in this hour. >>> all right. new this morning, an amtrak train from los angeles to chicago with 128 passengers and 14 crew members suffered a derailment of multiple cars about 20 miles west of dodge city, kansas. the train company said initial reports were that there were no life-threatening injuries to people onboard and that local emergency services were at the scene. amtrak said the derailment occurred just after 1:00 a.m. eastern time this morning. five cars did draerail. >>> mitt romney will campaign with john kasich today at two stops in ohio. romney is not expected to endorse the ohio governor during the campaign swing, but it will be the first time that he's campaigned on behalf of a republican candidate this cycle. earlier this month at a speech in u.s., romney attacked front-runner donald trump, calling him a fraud. and he warned of the dangers to the republican party if trump were to win the nomination. >>> republican presi

. >> the united story is gordon e bethune and oscar coming back after heart transpant. >> i knew oscaroo. >> would you like gordon back as chairman? >> i can't comment. >> you're at a different company now. >> for that reason. >> does it need shaking pup >> they are on the right track. they are making a lot of progress. >> i just got in trouble yesterday for saying that sometimes flight attendants are in a bad mood and people who were telling me that was sexist. flight attendants are not all women. i was not talk about one sex or another being in a bad mood. they don't give you peanuts any more. they never give me a can any more. >> they do if you ask. >> if you ask. >> let's talk payments if we could. which is how does -- this is something i think about a lot now. in an age when everybody has tried to do some form of electronic payment, everybody is trying to get into this game, how does pay pail differentiate itself from those other players without owning the hardware or operating system. >> we're different from everybody else. is that we're technology and platform die agnostics. we