groupon was once the leader in the market, but has since struggled to boost sales. ceo says they need to focus energy and dollars on fewer countries. you may remember my failed attempt to get an interview with the ceo after the company went public. concerns were already mounting around their business model. simpson, the stock has fallen 79%. ince then, the stock is fallen 79%. microsoft office, more than 1.2 billion people use office, and it is microsoft possibly a's bit product. how important is this upgrade? how does it fit into the vision for microsoft's future. joining me is microsoft's executive vice president. so great to have you here. what exactly is new? >> we focus on collaboration and teamwork. we have made it easier for people to work inside a document ,ogether, one-click sharing within word, excel, powerpoint. fore also made it easier people to work together, have shared conversations, shared challenges, outside of documen a document. google docs has been around for a wild. the user interface in microsoft office has not changed much. i wonder how much y

. >> a lot of people say you can't do groupon because it ruins my margins.y say well what's the alternative, having nobody come to your website and nobody find out yabout you? >> most startup businesses stop because nobody knows about them. we didn't want to go down that route so we said to ourselves, well, if we try groupon and living social and no one buys them, they'll move on to the next thing. >> they didn't have to think about that next thing because the week after launching their deal they sold 2,000 quilts, enough to prove to themselves they were on to something but still not enough to prove to investors. >> investors were like there's not the demand for this product and if they didn't say that, they said well once people see how popular is it, some company will come in and eat you up. >> only one option. >> we have only $1,000 to spend on this advertising campaign and only $1,000 here so we had to be really smart about it. >> for us, that was partly true. >> what they really needed to do was get new people to the site, people who would buy a quilt a

the layoffs will affect groupon's customer service and tales.er plaen to consolidate the tick systems and on railickses -- operations. they are closing down operations in other countries. >>> samsung has just moved into new state-of-the-art campuses in silicon valley featuring a ten-story tower at north first and tasman drive. already it's a landmark in san jose. samsung broke ground on the new headquarters about two years ago. it's for the u.s. electronics device division. it's home to 700 employees. they are working on developing smartphones and televisions. samsung plans to have 2,000 employees there. earlier this year, sam success opened a new facility in mountain view -- sam sung opened a new facility in military view. >>> >>> 8:19. hey, sal, cal train and other problems this morning. >> that's right. caltrain reportedly hit a pedestrian, the train did, at the san antonio station. now trains have stopped. caltrain have tweeted there are major service delays. if i were you. >>> i wouldn't bother with it -- if i were you, i wouldn't bother wi

so, you know, we said to ourselves well, if we try groupon and living social and no one buys we'll move on to the next thing. >> they didn't have to think about the next thing because the week after launching their deal they sold 2,000 quilts. enough to prove to themselves that they were onto something. but still, not enough to prove to investors. >> investors like well, there's not the demand for this product and if they didn't say that, well, once people see how popular it is, some big company will come in and eat you up. >> at that point they had only one option. >> made us very scrappy because we only had you know, we only have $1,000 to spend on this advertising campaign or only $1,000 here, so we had to be really smart about how we're going to get more people to our website. >> they tried a kick starter campaign but it didn't work out. >> kick starter you really just learn whether your friends and family like you or not. for us that was partly true. >> what they really needed to do was get new people to the site. people who would buy a quilt and then tell their friends. so they di

go to groupon. rosanna: there is a brooklyn eats marketplace and 40 brooklyn food companies show casing all made in brooklyn products. rosanna: nobody does it better than brooklyn. greg: thank you, mark. next stop is van dyke street. six points brewery. this is adam. how are you, sir? >> very well. are you from brooklyn? >> yes. rosanna: were you born and raised there? >> transplant. rosanna: well, you have the hipster look going on. >> you want to clear the pallet. greg: sold. >> go for the biggest beer first. double ipa. rosanna: do you have a light? >> this is morning, breakfast time, going well with the eggs. >> red hook winery, six points, a couple of blocks away from each other. rosanna: how long up and running? >> ten years, going on 11. greg: what about the head? >> you want more, you want the aromatics to release. [laughter] >> i have no idea what you are getting at. down the hatch. >> what are you drinking? >> do the crisp. >> yeah, yeah. >> one more time, van dyke street. >> red hook neig

ilia: la repÚblica dominicana con 800.000 $ un hombre que se hizo pasar por un groupon le dijo a unaevÓ don enrique pÉrez que le ayudarÍa a recuperar su dinero... >> la persona que llevÓ el dinero y fue asÍ, si así... ilia: indica que pasar los dÍas no ocurre nada por lo que volviÓ donde el supuesto grupo que le prometiÓ que conseguirÍa mÁs de lo que le prometieron a travÉs de la loterÍa. >> aparecieron los seis nÚmeros y dijo, ya somos ricos. 8 millones de 178 pero yo nunca comprÉ esto entonces me dijo que esos 8 millones... ilia: el hombre fue apresado pero mÁs tarde tras llegar a un acuerdo con la parte querellante para entregar 20.000 $ durante 15 meses.. las noticias tratÓ de conversar con este hombre pero fue imposible porque segÚn familiares no se encontraba en boca chica. ilia: y la medicina interactiva engloba la medicina convencional y natural. diana: hoy en la nueva etapa de su vida hacer realidad uno de sus sueÑos. poder fucionar la medicina nacional con la natural bajo el mismo techo. >> al fin existe una especialidad mÉdica que se llamaba medicina interactiva que tiene

. >>> groupon plans to cut 1,100 jobs, mostly in sales and customer service operations.t includes seizing operations, including puerto rico and thailand. >>> the president of china arrives this morning in seattle. is he scheduled to tour boeing's largest factory and the microsoft campus. later in the week he will attend a state dinner at the white house and speak at the u.n. >>> unfortunately, that means he won't be able to attend a very big birthday party in southwest china. pan pan turns 30 today, happy birthday. he is the world's oldest panda. he says it's -- they say it's the equivalent of basically that of a 100-year-old human. pan pan has more than 130 offspring. that's a quarter of the world's captive bred panda population. we hope he has many, many more. that's the cnbc news update this hour. back to "squawk alley." you guys, carl. >> you never know, there might be panda news once the president makes his way to d.c. we'll find out. >> we'll be watching the panda cam. >> yes. >>> in the meantime, the dow having some struggles here. down 258. all other components i

amazing that groupon has 1000 people to fire. when was the last time anybody heard about groupon?economics of groupon were not made clear to investors. basically selling $20 pieces to 10 -- for -- $20 pieces -- s iscally selling $20 pizza not sustainable. this is a local company that had a very good customer acquisition. it just happened to work only once. tom: henry paulson made his name at goldman sachs years ago, traveling middle america, looking at industrial companies, making legitimate deals where everybody won within the transaction. can that occur today ? rett: absolutely. tom: the transaction yesterday, spinning off specialty chemical. rett: certainly there is win-win all over the place. there are sometimes that the public is brought in off of -- tom: rett wallace, thank you so much, with triton research. volkswagen is really front and center. you need to stay with us on radio and television. robert nardelli with some terrific perspectives on what is truly a ginormous crisis in vw. vonnie quinn and tom keene. this is"bloomberg surveillance." ♪ . . . >> this is "bloomberg

. >> the american that i groupon has never looked on people and done nothing about it. >> that is onethe reasons that this debate is so passionate and contentious. even though work the result is already known. what is not known is behind the rhetoric. other republicans talking big just to cover up their failure to stop the deal or are they committed to reversing it if they get to the white house. president obama's signature foreign-policy achievement will be safe until that is answered. bbc news, washington. laura: you are watching "bbc world news america." still to come on tonight's program, an investigation under way after the engine of a british airways jet caught fire in las vegas just before takeoff. the migrant crisis, it is among the largest group seeking refuge are those from afghanistan. we have been speaking with the country's latest about the conditions causing people to flee. >> we are hard at work in afghanistan to change that. that youngunderstand men get frustrated. it is a very long process. usually when you are young you want things to happen quickly. you might always

. >> catherine: groupon is planning to lay off about 11-hundred employees. it's also shutting down operations in seven countries.including thailand and the philippines. >> catherine: it's a sharp reversal of fortune for the company.which at its height, refused a multi-billion dollar buyout offer from google. >> catherine: the lay-offs represent about 10 percent of groupon's workforce. >> catherine: jobs will be eliminated in customer service and international sales. >> catherine: the 'deal of the day' recommendation service went public in november of 2011. shares have plummeted nearly 80% since then.about 50 percent this year alone. >> catherine: apple has a new project that has some investor's excited. our financial expert rob black talked about the winners and losers with kron 4's mark dannon. >> yes, it appears apple has a 2019 project coming to the to the market. it is a small market. apple is going bid with this one. it will integrate what they've done with their phones into the car. so things should be seen as a street that are good and batteries. as w

groupon cutting about 10% of its workforce or about 1100 jobs.he move comes as the daily deals site restructures outside of north america anschutz down some of its overseas operation. shares were off today by 2% to $4.08. shares of office depot and staples slipping today on reports that its merger may get blocked. the "new york post" reported that the head of the federal trade commission may oppose the $11 billion combination. commissioners are expected to rule on it by october. office depot off 4% to $7.06. staples is slipped to $128.75, almost 6%. mixed results from general mills. the foodmaker's adjusted earnings beat sfimts but it's revenue slightly below forecast. restructuring and cost controls are helping the bottom line. shares up slightly, $57.13 was the close. >> darden restaurants managing to top consensus on the top and bottom lines. same restaurant sales rose and the parent of olive garden hiked its earnings guidance for 2016. despite that, shares off slightly to $69.69. conagra's quarterly profit topped estimates. it expects profit

scarlet: major job cuts on the way a groupon. they plan to eliminate 1100 jobs in a reorganization of its international operation. that's about 10% of the workforce. the coming will take pretax charges of up to $35 million. groupon's revenue is expected to be flat in 2015, the stock has fallen in half this year. betty: ashland, the chemical company plans to split in two. the other company will be called valvoline and focus on maintenance. thou believe has more than 1200 oil change locations, and service centers. scarlet: the world's biggest cruise operator hosting better-than-expected earnings. carnival gives credit to higher ticket prices and occupancy rates. he had been battling back from a weak economy in europe. isther problem for carnival too much capacity and the caribbean. it's one of the perks of rising to the top tier of republican candidates. "the fiorina appeared on tonight show." she showed a very nonpolitical side. fiorina: please come take a walk with me, i'd rather stay right here alone in bed, i want to lie back d

other company which is willg challenges, groupon leave seven countries as part of a global structure. they cut 10% of their group work. tot of those charges relte employee severance for -- relate to employee severance. they got 35% of their sales outside of north america, but has struggled to make money in those areas. coming up, damage control -- find out what the volkswagen scandal means for indian auto-parts supplier. time, i would next guest says china will left alone a costly lesson after what he says is an experiment with fantasy economics. ♪ yvonne: chinese president xi promoted a stable outlook for the chinese economy in a speech in seattle. the latest factory numbers for china paint a worrying picture. so, what do we believe? who should be believed, andy? andy: i think it is all relative,. china has over capacity, that is why prices have been falling. so you expect companies to cut back production during that time. yvonne: should we care about these numbers too much? should be looking at reform measures? china has been piling up investment to stimulate the economy for a long

groupon plans to cut more than 1000 jobs and exit seven countries over increased competition from local. the cuts make up about 10% of its workforce. a gets about a third of its sales outside of north america. sales get more than 2% in new york. those were the top corporate headlines this hour. angie: let's get more on one of our top stories -- the volkswagen emissions scandal. could this push more drivers to turn to electric vehicles? joining us from new york is salim. how is this playing out for vw and its rivals? salim: this is a big deal for bmw. about a half million cars of volkswagen. we are talking about a four-cycle of sales of the cars involved. they have taken a charge in their earnings figures this year which is rising into the tens of billions of dollars depending on the fines and class-action lawsuits that come. angie: how is this going to affect diesel demands? salim: diesel demands, not much in the short-term. diesel demand in the u.s. is driven by heavy duty vehicles. the volkswagen group has a small market share in the diesel pool. short and medium-term, it will not aff

that move comes with a sharp reversal for groupon which, at one time, turned down a multi-billiion dollarry brown signed a bill requiring kids to be in a rear-facing car seat. janet oak explains the need for this change. >> if it's the law, i have to do it. >> reporter: parents were encouraged to keep their kids strapped in the rear-facing position until they turned two. but, soon, it will be a statewide mandate to do so. not every parent is thrilled with this new rule. >> as a parent, you can't see them in the mirror. >> pediatricians and traffic safety experts say it's all in the name of safety. they say in the case of an accident, a child's head and spine are better protected if their car seat is rear-facing. in fact, one study said children two and under are 75% less likely to die or be severely injured in a collision if they face the back. it's hard to argue against that. >> children taller than 40 inches or weighing more than 40 pounds are exempt from this new requirement. >> a berkley woman unvailed a new campus. on the field trip when his heart suddenly stopped. luckily, they had

the layoffs primarily effecting groupon customer service and deal factory teams. the job cuts are part of a bigger plan to consolidate its tech. they will shut down operations in several countries including morocco, panama, and thailand. >>> the drug company that sparked a very angry backlash when it raised the drug that treats a deadly pair sittic infection raised the price more than 5,000%. now they say it will roll back the price hike. a touring pharmaceutical ceo says it will make dara pin more accessible. the price went up over night from $13.50 to $750 per pill. the company obtained rights to sell the drug. it's the only u.s. approved treatment for this particular illness. >>> hillary clinton is out lining a plan to hold down the rising price of prescription drugs and target drug companies. she spoke at a forum in iowa, laid out a plan encouraging the development and use of generic drugs. also advocating more restrictions on drug canes. mrs. clinton's plan would put a $250 monthly cap that would limit what insurance companies could ask patients to pay for th

. >> we were talking about how the show is not selling out and how it was on groupon for 15-dollar tickets. is that a little embarrassing? >> well, what will you do you are a huge fan. >> why is there a drop in interest. >> i don't know, i think no the that they ran their course but i mean the younger kid grow out of them, i guess but they have taken a much needed break soon so it is all right. >> mara tells me you guys have it down to the science. even they you buy tickets on line you don't like to do that. you come the day off and what do you do. >> they have to be sold back for face value so we come down when the box office comes. >> and your boy harry, are you upset thaw missed him last night at villanova. >> no, i don't like to bother him really. >> but you do. >> no, i like to see him perform. i don't like to stalk him. >> he is your favorite. >> of course. >> we have some pictures posted on twitter with him and his ban. >> no, i met him. >> where did you meet him. >> we went to the new york city premiere of their movie, we were actually on, is this fox 29, we were on fox 29. my mom'

strategic nuclear forces, a groupon intermediate range forces and a grew spon defense and space. we also have to have a dialogue that covers our concerns about things that cover american missile defenses. the defense and space walpeace confront the agreement. >> in 2012 one of the big helps for the obama administration was to reach an agreement with the russians about missile defense. that failed and i think it failed primarily because we weren't really ready to talk about missile defense in the broader context of strategic stability where you bring in the role of strategic offensive weapons, non-strategic nuclear weapons, precision guided munitions, missile defense, space weapons and it was my hope in 2013 when the administration was trying to engage in this again that at least to me success in those effort ises in the spring and summer of 2013 would have -- to me i would have set if we agreed to a framework for discussions about strategic stability for a broader framework, because i thought if we're not able to do that -- i don't think we can make progress simply on looking at

you look at companies like zynga and groupon.hey never recovered from the late-stage prices and early public prices. that as memories are coming back. i think those people are going to recede from the business venture and tend to their wounds. think it will bring better balance to where we are. >> you have a very candid, and a very frank take on all of this. we certainly appreciate that. on a day when the markets are not giving us much to work with. kate mitchell. >> thanks, kayla. >>> when we come back this morning we'll keep an eye on the markets, the dow down 321, not far from session lows, oil not helping. down 350. rick santelli, what part of the action are you watching? >> i'm watching all of the action. we're going to talk about what's going on in canada, our neighbor to the north. new information there. everybody gets a bit of market amnesia. do we all remember how we climbed the mountain to get to the top? as we start to slip down. the same dynamics are coming into play. what are they? we talk about it after the break. i

the cuts are equal to about 10 percent of groupon's workforce.pany is also shutting down operations in seven countries. jobs will be eliminated in customer service and international sales. >>> hey, philadelphia's cabs will use an app to help you hail a cab. it's called way to ride. it will be available in cabs beginning next month. now you simply press a button through the app to hail a cab and the fare is paid automatically after the ride. more than 1400 of the city's 1600 taxis have been equipped to handle rides from the app. >>> and the visit by pope francis could delay shipments of the new apple iphone in the northeast. ups is halting deliveries in some parts of philadelphia and new york when the pope visits the cities. the delivery halt is from thursday through saturday this week and since the next day is a sunday package deliveries won't take place in the affected areas until monday september 28th. new iphones are available in stores this coming friday. we he have been counting down the pope's visit for months. hard to ease here. >> you'll

medicaid is said good example of the last week right after the election our texas house had a study groupon how to better deliver the health care cost. we think we could save the federal government $40 billion of health care delivery cost if they let us do it in the state and frankly more people would be careful -- covered to deliver the health care better. and saturday night the speaker reelect had a meeting talking about how the governors. the message from john boehner is clear that he was listening and finding a solution to the challenges that face us as a country emanate from the state's and not washington d.c. and there will be a real partnership there like we have not seen possibly in decades and decades. >> said morning governor. and the freshman at george washington university disputed the one of the most politically active schools in the country. we have aspirations to enter politics but was it a vice which to give to install -- aspiring leaders of integrity? >> find some campaigns campaigns, actively involve yourself with public policy in and find out if it's what you think it wil

i am more of the budget her, the one who likes to fight the deals, i love groupon, he loves investingto make more money so we'd go well together. stuart: i am asking you the question, you like investing. stocks? bonds? which stocks? put your money under the mattress? what is it? >> as of late more cash than any thing. we have seen how the markets have done some things, you can look at it either way, short-term, long-term, if you are in the game for the long term it is good to stay in stocks. i feel -- >> a little scared. >> to the point i want to bounce around and find where the markets are so i can make some money today and over the next month instead of seven years down the road. stuart: are you really? you take a risk? no family fights please, you are a risk taker. you really are. in and out here and there, and explain yourself. >> i rode global market over the last few years, i have been hearing the news, watching the market and attackers, i feel like right now there are better places to put your money or put it in cash or things to fall apart little more than get back in the game

michael: breaking news from groupon.charges of up to $35 million. cost savings from the job cuts this year next year. tom: they have 3500 people so it is meaningful. let me go through a data check as quickly as i can. weakness, 4.02 right now. some form of a bid, but a weaker brazilian real. -33.es, dow futures, -268. stay with us. another hour of "bloomberg surveillance." ♪ tom: good morning, everyone. "bloomberg surveillance." we welcome all of you worldwide. what a day. terrific news flow this morning. in new york city and around the world as well. let me get right to it because we want to move on to lloyd blank find and bank of america. -- lloyd blankfein. visit ibkr.com/services. 402.razilian real -- record weakness for the troubled nation. that bears close watching. indonesia to record weakness as well. you are seeing some moves with some yen strength, euro weakness. the dollar index up. withis the headline item dollar weakness we have seen a reversal and now we have a bit of dollar strength. let's keep this short.