that is what greg fleming dead. -- that is what greg fleming did in his parting memo. emily: thank you so much. it may be a new year, but it is the same old story at yahoo!. the company under fire from investors angry with yahoo!'s performance. sound familiar? boardtest comes from star . jeffrey smith says -- raising the threat of a proxy fight for control of the company. yahoo! says they are in the midst of a multi-year transformation. joining me from new york to talk yahoo!hat is next for is our next guest. also joining us is tom giles, who oversees tech coverage for bloomberg news. what do you make of this? is a proxy fight inevitable? really fed up. nothing that marissa mayer and her management team are doing at as far asup to snuff startboard is concerned. you saw marissa mayer and the management team take a few steps, but it was not enough. they have been making demands for months and months and months. they wanted to spin off their stake in alibaba. and then they reversed that. spin off your core business instead. yahoo! became part of the way to exceeding to th

one today is that greg fleming was considered heir apparent to james gorman.rying to read into what exactly this means. one thing that i find strange about it and i read all the reports is they announced this major change, upping the role. leaving a few weeks before earnings and they didn't preannounce earnings and they didn't give any guidance so now analysts are wondering if the wealth management isn't doing as well as they thought because greg fleming oversaw a very big recovery in morgan stanley's business because of wealth management. >> he is also quite a lot longer and people thought he was groomed and the one coming through. >> which could also say something about whether he wants to stay on board for quite a bit longer. >> there we go. that's morgan stanley. let's have a look at macy's. pink slips after a dismal holiday season. a bad omen for other major department stores and retailers. landon joins us with more on that story. >> good morning to you. the nation's largest department store chain will cut about 4800 jobs and close 40 locations. it's a mo

given the performance of american express, greg fleming might be considered at that job. p is looking for outside job to be copresident, they might again -- i understand they talked to fleming once before -- approach greg fleming. it is possible he will end up somewhere else for a period of time. unlikely in europe because there is a turnover in leadership at those banks. guys who were similarly cast doubt on out running british banks -- standard chartered and barclays. there has been turnover at swiss bank and deutsche bank as well. scarlet: great reporting on greg fleming's next move. thank you so much. still ahead on "bloomberg markets," watch out, apple. aramcorabia and company would become the world's biggest publicly traded company. and mark father will be joining us with his take on the chinese market plunge. ♪ crude oil is rebounding off those as it touched $32.10 a barrel earlier on. inh more we want to bring bloomberg intelligence's andrew cosgrove. you were here with us in new york. erik schatzker was telling us that if aramco does go public, the market cap of t

the other, greg fleming, is leaving the firm.f morgan stanley and its competition with goldman sachs? this man knows. bloomberg contributor editor bill cohan. and of course, jim zenni of z capital partners is with us. what's your take? >> i think the timing of these things is always a surprise. maybe this shouldn't be happening right now. is obviously younger than the other guys and had a bright future at morgan stanley. i think it's clear that he had bit sort of chafing at the a little bit. and james gorman wasn't going anywhere. the combination of those things plus the fact that greg is kind of a hot commodity in the market makes the timing interesting. , you are a long-time observer and client of wall street. what makes more sense? to try to find a way to keep a talented executive like jim fleming inside the firm even if you have to make concessions as a ceo to do it, or to show that you are the man in charge, that you have the support of the board, and you can send a clear message to your clients and shareholders? >> that's a

>> you had greg fleming talking about the investment management there.october, that part of his empire was taken away and given to another executive. so there have been a little bit of foreshadowing here. part of this is, fleming was seen as the potential medium-term succession candidate. but the indications are that jim gorman is going to stick around longer than perhaps people thought. maybe even five to seven years or more. betty: was there speculation he might step down soon? >> not soon, but maybe more like the three to five year range. timeline, he wanted to have a president in place to allow him to focus on longer-term things. inwhen he put colm kelleher that position, that in the extended timeline is kind of what prompted fleming to leave. betty: he's a year older than gorman. he's not younger, he's older. so it doesn't really seem like gorman is saying, i'm putting summit in place was going to be my successor. >> right. that's not the long-term plan for him. r is a morgan stanley lifer. having him at the top of the house provides reassurance to

ds even >> morgan stanley shares are down at this hour following news that greg fleming is leaving. led the retail brokerage unit. michael moore who covers morgan stanley for bloomberg news is here with more. tell us about this shakeup that led to his departure. what happened here? was considered the succession media term candidate. maybe even five to seven years more. >> was a speculation he might step down soon? >> not soon, maybe the three to five range. that extended timeline, he wanted to have a president in place to allow him to focus on some longer-term things. so, when he put him in that position, that in the extended timeline is what prompted fleming to leave. he is a morgan stanley life or and brings a background that gorman does not have. having him provides reassurance to some of the longtime morgan stanley people, it is not just about the brokerage, but the trading the vision. i think it allows some room for that next generation to be groomed over the next few years while gorman is in place. >> next up on "bloomberg best." the leaders of the top technology companies int

joe: morgan stanley says that great from wing as president has decided -- greg fleming as president hasto leave. no much in terms of details right now. turnover at the top of morgan stanley. scarlet: much more coming up on "what'd you miss?" is greece's turnover getting worse or better in 2016? we discussed the next. on bloombergng up television in two hours, john chen will be joining bloomberg west at 6:45 new york times. do not miss that conversation. it is time for the bloomberg business flash. macy's saying it's closing three dozen stores early this year after suffering a worse holiday season than predicted. it says about 3000 employees will be affected, with half relocated. the largest u.s. department store company producing stocking level and store count to match the sale volume. macy's is lowering its fourth-quarter earnings outlook. weakness in the developing world. the agency expects the world economy to expand 2.9% in 2015, down from its june forecast of 3.2%. the u.s. economy is forecasted to grow 2.7%. slightozone with a slowdown in china. a major expansion for netflix under

. >> greg fleming is out of the man who ran wealth management. a very important part of the business, grown with the acquisition a number of years back. fleming has been at the company for the last six years. he was the senior executive. people may remember merrill lynch helping at the very end of the firm's tenure to engineer its sale to bank of america. unclear where fleming is headed. the reason he is headed out, however, is because colm kellerher, president at morgan stanley and the ceo has been promoted. he is now going to be the president of the entire company, reporting in of course to continued chairman and ceo james gorman. and given the respect of ages of the two gentlemen, it does appear that mr. kel her is not a potential hare to the ceo job. given that he is older than mr. gorman, the expectation that i have spoken to since the news was shared internally about an hour ago, is that there gorman will remain in the job for some time to come. perhaps until mandatory retirement which i believe it 65 so he has years to come. that news bein

morgan stanley has announced an executive shakeup will stop greg fleming's exit comes as keller was namednt. 9% as theares jumped online streaming service went live in 130 new countries. netflix was the best-performing stock in the u.s. gaining around 130%. billabong's president for the americas was packing it in. the aptly named and leisure says he is quitting the company to spend more time serving -- surfing. customers can head to top go. manus: the federal reserve's decision to raise for straights last month was a close call. that is the topline line of our story. >> according to minutes and last month's fomc meeting. too lowe worried about inflation. >> meanwhile the world bank which in june opposed the prospect of the fed rate hike has lowered its forecast for this year that as china's economic woes really pray upon the markets. 3.9% for global growth, that is what they thought last summer. let's bring in our guest. the world bank is downgrading growth worried about europe, how worried are you? >> 2.9% is not much to worry about. the average global growth is to point percent to 5%. e

about 20 minutes ago or so, i'm told morgan stanley employees received notice that greg fleming, whoas been running the wealth management business of the company the last six years will be leaving morgan stanley on the ascension of colm kelleher to president of the entire firm. one would expect momentarily to be shared with the rest of us through a press release or an a.k. filing if one has not already come. a significant move certainly in the upper ranks of management at morgan stanley. where mr. gorman remains. and likely remains for quite some time to come. one key takeaway would seem to be cementing mr. gorman's position as ceo many years to come. why? he had been thought of as perhaps somebody who could take over. being that he's 52. mr. gorman is 57 or 58. but mr. kelleher is older than mr. gorman, hence the sense that while the board may have asked him to get a number two in place and perhaps also said we want you to stay on for many years to come. it was not that he chose to take that place. many people are familiar with his ambition to potentially be a ceo. and he's now look

important to mention on morgan stanley, only a week or two away from that big change at the top with greg flemingeaving, and mr. gorman will stay in the ceo position for at least another five to seven years. >> doing a good job. wealth management doing a good job. instead i see layoffs. i'm worried about layoffs now. not recession, i'm worried about a slowdown. when j & j lays off people -- >> 3,000 people. >> when potash lays off people. bank of america is hiring people. bank of america no longer looks like the old bank of america. i could argue it's cheap. i'm saying that cheap is not a catalyst. looking at csx this weekend and norfolk southern. norfolk southern, there was a bid, maybe it was -- it was at 93. have you seen where norfolk southern is, it's 71. >> have you seen where canadian pacific is? the proposed bidder. >> we'll get unp this week. >> that's not pretty. the rails have been in a recession. >> this has been bear market. delta reported a number today that was a good quarter. they do say that revenue, the average seat mile will be down. huge windfall in oil. i like delta. delta wi

greg: all right, we are back with jonathan fleming and spent 29 years in jail for a crime he didn't commit. what do you miss about the jail? >> oh, yes, the food. >> oh come on. nothing i miss about prison. >> rosanna: exactly. greg: some people, i understand you visit some of the friends up there from time to time. >> yes, i have 3 friends up there. i believe one of them is innocent and i'm trying to help him get out of prison as well. rosanna: from the big house to the dream house. >> that is right. rosanna: we have your group here. o candice, canny and vaughn. greg: all right. rosanna: wow. greg: dream hous oof! weee! slurp. mmmmmm. cinnamon. milk. cinna-milk. cinnamon toast crunch. crunch! crave those crazy squares. >> donna thank you. and thank you to jonathan and dream house records. you are awesome. thank you all very much. what are you doing while in town? >> we are going to eat. [laughter] greg: lunch in first. rosanna: now we are going to facebook live and periscoping. after trying brookside crunchy clusters, @carlybeyar tweeted: at this point, i should just be a brookside chocol