kate kelly will have the details when the numbers come out from chesapeake. the dow jones industrial average higher by 67 points. 13,280. >> we tried out the old sell in may and go away. >> we're off of our highs, yes. and i would note that the nasdaq dipped as apple ended in negative territory. apple has been down nine of the last ten days. the ism numbers were better than expected. new orders were good for manufacturing, employment was strong. that's good for -- potentially good for the nonfarm payroll reports. transports were strong throughout the day. even though energy prices were higher. >> that's right. the dollar went up, commodities went up. that's a growth economy kind of scenario. that's certainly very good. it's certainly not qe 3. >> this is a market that wants to go higher when they get a report that suggests that the growth rate is going to continue to grow. >> that's right. it's positive for earnings implications and the jobs report. the way the components were put up today. materials like u.s. steel. while the market was fine at 3:00, a lot o

kate kelly on the telephone. new details on the j.p. morgan restructuring from kate kelly. was on the phone. but we will get letter when we come back. >> yes, we will. in the meantime holding steady as we head toward the close. dow down 102 point. >> groupon shares tanked since going public last year. who is buying? should you be as well? we will check it out. >> nokia going from bad to worse as that company was cut to a cell today. is it time to give you on nokia or is there value there to be seen? we have a stock brawl on that coming up. >> as we take a break, look at the numbers of the dow. the few winners there, travellers, merck and cisco. back in a moment on closing bell. mine was earned off vietnam in 1968. over the south pacific in 1943. i got mine in iraq, 2003. usaa auto insurance is often handed down from generation to generation. because it offers a superior level of protection, and because usaa's commitment to serve the military, veterans and their families is without equal. begin your legacy, get an auto insurance quote. usaa. we know what it means to serve. w

let's go to kate kelly with breaking news. she's at the las vegas salt conference. an update on the yahoo! controversy. kate. >> thanks so much, sue. so just out is the latest press release from third point, daniel loeb's hedge fund, which has gone active on yahoo! and demanding the resignation of their ceo, scott thompson. they're reacting to news from ya hah hoo that they've set a record date now take place some time this summer, should be within about 60 days or so. the record date will be may 17th, which means shareholders in yahoo! or potential shareholders only have until may 14th to purchase or sell shares as they may see fit. of course loeb is urging people to buy shares or make sure that they have their shares at least through that date so they can vote in his favor and get some new directors on the board. and in his view get some value restored to the company. so, simon, you know, yet another sort of incremental move, but actually gives us a sense of what the timing will be on this meeting, which has been an open question. and really remains so. we just kno

kate kelly with a report on why chesapeake stock may attract activist investors. something traders are betting on and we will tell you why. "options action's" number one fan needs help writing a trade gone wrong. we're on the case. the action starts right now. >> live from the nasdaq market at the world's largest exchange, i'm melissa lee. these are the traders. we will have more on the investment, but we will start off with the markets. the dow had their west week in months. despite the down day today. is there a bull case to be made? let's go to the money and find out. it seems like consensus is this is a repeat of 2011. >> it's interesting because one of the things you want to do as an investor or trader is as everyone is looking in one direction, you should be being looking in another. so many things are bearish right now. that might give people pause and have them looking in another direction. only 15% of the stocks and the s&p are trading cheap relative to how much they are moving around. as far as options prices. world bonds indicating that armageddon is up

kate kelly with the latest there. the key market movers and what will make headlines.ere's something else you will watch tomorrow. the ceo of aig. immediately following the experience giant's latest earnings tomorrow at 4:00 p.m. eastern on closing bell. # >>>> here's what to watch for tomorrow. >> i'm phil le bow. watch for first quarter earnings and the focus on wall street, how much money the world's largest auto maker continues to lose with the european operations. >> rick santelli at 2:00 tomorrow 8:00 a.m. eastern. preliminary unit labor cross and nonfarm productivity. look for productivity to drop about a half percent and unit costs to rise about 2.5%. initial and continuing claims. initial claims are expecting 380,000 claims to remain around 3.31 million area. at 10:00 eastern, ism nonmanufacturing and an april read. we are looking for 55.4. tune in. >> tomorrow's initial claims report may be more important for the market on friday's jobs number. the earnings are very much in focus. 360 s&p 500 companies reported so far and 69% of the 360 companies beat street

cnbc's kate kelly joins us with the details. evening, kate. >> larry, how are you? >> good.hat you got? >> okay. i got some breaking news on facebook. they have revised the price range upward to 34 to $38. that values the company at that range comfortably above $100 billion. it puts it at a range with 2.6 billion sharesout outstanding between $192 billion and $103 billion if they price it at the $38. we can expect to see a new s.e.c. filing reflecting this early in the morning, i'm told. but right now the underwriters for the company are in the process of speaking to investors about the new prices and where the book might fall out at this new level. this gives them about 48 hours to get the final book together, of course, because the final price will be selected on thursday night. but they have narrowed the range. they have done it on an upward basis. and this tells you that surprise, surprise, enthusiasm for facebook is pretty darn high. they started out at a range of 28 to $35. so this is pretty well above where they began, larry. >> all right. kate kelly, thank you very m

kate kelly cbs five. >>> is already looking lovely out there this morning and it is only going to getetter after a gorgeous sunrises. and live look right now downtown san francisco roberta gonzales has your complete weekend forecasts. >>> good morning i'm going to begin with a look at yesterday's high temperatures and there is a reason behind my madness first offer at #620 degree temperatures than from 60 along the coast to 80 degrees in concord a upper '70's and san jose ends in paris 7¢ an arrest that the reason i wanted to show you that is because they will cannot be warmer day 68 degrees and san francisco 83 degrees the peace in the east bay and concord in livermore and how '70s as nsa and these temperatures are average anywhere between three and eight degrees above average for this time of the year rise in china sure enough we do have a great slayed the coast of basketball lead to the bay area but otherwise clear skies this afternoon we will have skies clearing all across the bay area '60s and '70s bayside to the '80s and ontario valley is it is deemed to of the bay bridge series

this week's jefferson award winner is turning his talents to a mission on solid ground and as kate kellyshows us, he has created a unique program for other bay area of veterans. >> it is friday afternoon at the livermore veterans medical center. and the man with a guitar is by donaldson, a veteran himself and a musician. but the band's big is just a fraction of what he brings to those that have served our country. >> when you give unconditional you receive tenfold. and, it is where should be. this is where should be at this point in my life. >> he is combining his two passions, people, and painting. >> he was paralyzed for almost 20 years, and this is the first time he has really done something like this. >> he created a weekly art class after realizing the patients were not getting out of their rooms. >> the most i ever painted before this was my house. >> this former air force captain has been painting for two years. holding a brush with his mouth. this vietnam veteran uses a glove that he altered to grasp pencils and brushes to help in paint in spite of the mobility of a l s. >> it ha

thank you very much for the breaking news, kate kelly. i know you're on that story.n the meantime, we're going for a break. after that, hello kitty joins the mile high club. and how a dark and creepy side of life is actually proving to be big for one stock in particular. and speaking of filthy rich, an all new episode of "american greed" premiers tonight at 9:00 p.m. the return of long island's madoff and plan to scheme investors out of millions. "street signs" back after this. how math and science kind of makes the world work. in high school, i had a physics teacher by the name of mr. davies. he made physics more than theoretical, he made it real for me. we built a guitar, we did things with electronics and mother boards. that's where the interest in engineering came from. so now, as an engineer, i have a career that speaks to that passion. thank you, mr. davies. tdd# 1-800-345-2550 there are atm fees. tdd# 1-800-345-2550 account service fees. tdd# 1-800-345-2550 and the most dreaded fees of all, hidden fees. tdd# 1-800-345-2550 at charles schwab, you won't pay fees

let's get to kate kelly live at the salt conference. >> thanks, mandy.here we just listened to harbinger head fudge manager phil falcon make his first comments in weeks where he's been embattled over his company light squared which may be seeking bankruptcy due to ongoing debates with competitors. speaking about his main company that has struggled with the setbacks of this company ever since the fcc denied them a key approval they needed in order to use spectrum, he said harbinger is actually considering getting more capital, which to me is code for possible ipo. he implied he might be taking harbinger public because i'm moving toward a more focus on control. unless you have 100% control of a company you're invested in or something close to it, it's hard to make any moves. the other thing he said is the regulatory environment has gotten almost unanalyzable and that it's become an increasing problem for business. he said personally i'm going through an issue right now where because of a policy change it creates investment issues. we saw it happen in 2008.

kate kelly shows us that is exactly what this week's jefferson award winner is doing. >> move over e-mailwhen it comes to a teenaged communication, texting is it is. if that is how the new random violence application " circle of six " is reaching young adults. >> we put together this very simple iphone application where you can contact six of your friends, from your contact list, to prevent a situation from happening. >> situations like dating violence might be avoided with a push of a button. say that you feel threatened on a date? >> with a cap put your finger tips you can simply say " call me, i need an interruption ". >> or you have lost a ride in the day ride home. >> a text message tells her friends that you need a ride in your your ordinance. >> it is free industry analyst innovation from this woman and her nonprofit groups. internet sexuality information services. >> what we try to do it is take technology that has already been developed, that is in use by the general population, but apply it for social good. >> she is a pioneer in using technology to educate you on sexual health.

kate kelly has been pouring over the filing and more activists might follow suit. what's the latest? >> fascinating battle here just being waged between icahn and the ceo of the company who with can be described as frenemies. icahn was a friendly investor and got out of that profitably and helped effect changes including the sale of assets for a positive dialogue for others. this letter he said are calls for change have gone ignored. he had a dinner recently where he asked for representation on the board and he was blown off and the board is working in isolation to find a replacement for a chairman. the process has been unacceptable and the company is unacceptable and a $16 billion funding gap. here's my favorite line. the board is woefully inadequate speaking about the chairman's search here. having the current board select the chairman without allowing for representation is akin to asking the fox who has gone in the hen house to choose another fox to assist in standing guard over the remaining hens. icahn has a 7.65% stake that makes him the third largest shareho

kate kelly got unprecedented inside the airlines fuel strategy team and joins us now with more. over the delta story with the refiners, aubrey mcclendon at chesapeake -- >> one good story on commodities leads to another. >> the best known hedger in the business. >> certainly in the airline business. best known hedger in nat gas is probably aubrey mcclendon. totally irrelevant today. since southwest's big hedging success in 2008 energy markets have become tougher to navigate. when you hedge like southwest, how you position for another roller coaster year can make or break the bottom line. chris monroe, the point man on southwest's fuel strategy, is used to the hot seat and when management met with employees after posting a first quarter loss, all eyes were on him. >> the revenue management person in front of this large audience kind of pointed me out as, if chris can fix the crude market -- >> reporter: that's because over the past year or so, fuel has become southwest's number one cost. and a decision to take a number of hedges off going into this quarter depressed results. but

let's go to breaking news with kate kelly. >> thanks so much, tyler.inating news out of hedge industry. the legendary energy trading is retiring from what we understand. he will return some of the asset ifs not all to investors. he's announced this to employees and investors as of today. he wants to dead came himself to philanthropy. this is a remarkable move considering the man is only in his late 30s. he's a former enron energy trader. he bought a number of portfolio out of am rent. may be the best known guy when it comes to trading natural gas. he's a young man. he's made billions. his fund is essentially running about $3.5 billion or $4 billion at this point. it's unclear whether they'll be opening up a smaller operation like a family office or returning all of the assets to investo investors, ty, we're following the story throughout the day. it's a fascinating move. >> it sure is, kate. i'm surprised. given his success and his age. but if he wants to devote himself to philanthropy, more power to him. >> it sounds like he had a fairly good run, but

but as kate kelly and kayla tausche have been reporting this morning, there's talk it was supported atnd right now it is up about 7%, simon, at $40.61. >> sue. >> yes. >> let me ask john carney, what are people saying to you about the market before we let you go? >> one, definitely everybody thinks the underwriters stepped in. that's what they're supposed to do. that's good. people are afraid to go long into the weekends because they don't know what's going to happen in europe. remember, if greece ever goes off the euro, they're going to do it over a weekend. >> the latest we have actually from angela merkel is she's proposing there should be a referendum in greece. she's said to the caretaker -- >> good heavens. >> a referendum in staying in the euro and link that to austerity. >> do you want to go long into a weekend like that? >> especially, guys, with the g-8 meeting going on. a high stakes g-8 meeting. we're going to have to see some sort of action on that. we should note that the greek banks were downgraded again this morning. perhaps not a surprise certainly, but it's a problem.

now we have the latest from cape kelly. kate?thanks so much, simon, so the call still under way. the q&a started around 9:30. shortly after the financial overview that the cfo gave. let's listen to what he had to say. >> i am deeply sorry for all of the distractions of the past two weeks. i have learned that there was a desire for more information during the fwp program which has been in place since 1993, the date of the company's ipo that was approved by shareholders in 2005. and i believe there's always aligning my interest with the company's interest and sure that i have gained. so you hear him apologizing for creating a lot of distraction and really the commodity community in the last couple of weeks. moving on, the analysts have actually focused on asset sales and the possibility of a share repurchase. no one has yet asked about the recent this is a highly indebted company. one analyst wants to see them buy shares back. the company stock has been taking a beating. even during this call, it was down 11%. a couple of times, it

kate kelly shows us that he is creating a unique program for other bay area veterans. >> is friday afternoon at dp livermore veterans medical center. and the man with a guitar it is budget donaldson, a veteran himself and a musician. but the gig is just a fraction of what he is bringing to those who have served our country. >> when you give unconditionally received tenfold. and it is where should be. this is where should be at this point in my life. >> he is, and his two passions, people and painting. >> he was paralyzed for most of years, and this is the first time he has really done something like this. >> he created a weekly art class after realizing the patients were not getting out of their rooms. >> the most i ever painted before this was my house ... >> this former air force captain has been painting for two years, holding a brush with his mouth. this year numb veteran jim sellers use a glove that he altered to grasp the pencils and brushes to help him paint in spite of the mobility of a l s. >> it has been therapeutic, gaining mobility my right hand. >> for him is therapeutic another

] >>> cnbc is reporting that kate kelly is reporting that facebook is increasing.value the deal with target range of $34 to $38 a share and facebook's ipo could be the third biggest u.s. offering. we'll look for that updated filing later today. you just can't stop it. >> and general motors, visa, facebook tells you a lot about the internet right there. >> the hype around facebook could be playing a role here. investors are betting once china's nation internet gets going, nay have the potential to rival the social media. >> the country has no shortage of home grown local social networking siting. ten cents. funny name making a profit. that's 60% more than facebook. tencent boasts of a 700 million active accounts. it's the number one gaming online. it has a huge user base and comprehensive monitoring to monitor its sites. >> it enjoys a 50% market share but was pulled into a recent quarterly loss with its group buy business. huge market aside, these internet plays trade with a target because of market regulation and lack of sophistication. >> tlink probably have even

i want to get to kate kelly and carl icahn and chesapeake. >> we have confirmation that carl icahn hasased his share in chesapeake, i believe this is in flux but the second largest shareholder, which means several things. that means that icahn is becoming very active and icahn has disclosed a letter to the company that is an out and out assault on ceo aubrey mcclendon and the current director. he said that the board is to oversee management and hold them accountable. it's led the company through a high highly publicized spate. he believes this is beating down the shares. in the past he bought an opportunistic stake in chesapeake and ended up getting a stock out and now he's extremely disappointed in what happened and recently had dinner with mcclendon. he was essentially laughed off, maria. more to come. this is looking to be a bruising fight. >> it really is. last time he came on the show i asked about the situation in chesapeake. he was very coy anticipate wouldn't go there. good stuff, as always. $3 billion and counting, sheila bair is counting on dimon to break up his bank in order

it started in the '60s and is still going strong, kate kelly introduces us to a man who was greeted more programs than ever to help young people thrive. it's this week's jefferson awards. >> this high-school junior has just finished the year with huckleberry wellness academy and now he is sharing tips with 120 students from san francisco who like himself are among the first in their families headed for college. the huckleberry wellness academy introduces students to careers in health. it is the latest program spearheaded by bruce fisher, executive director. >> we do is what schools used to do to provide counseling, academic support, assistance in applying to college, there is none of that now >> what brings him to his feet is that it is working >> we're very excited because there are approximately 35 graduates and so far 34 have been accepted to college >> like this senior from san rafael high school >> i'm so excited because i got accepted into like three colleges so i will go to san francisco state and probably major in nursing >> bruce is commitment to helping young people succeed has

and kate kelly, a personal trip to dallas? was a business trip. >> and you were in coach? >> yeah. >> let me give you my agent. his name is ari. >> have to work on my contract. >> back in the back of the plane you were. call him -- >> i think i was in row 28. right next to where somebody vomited. >> were you at "the wall street journal"? >> i still have to talk to richard about using my sky miles. >> you have a better lawyer. >> i don't have a lawyer. >> coming up, it's trump tuesday. we missed donald last week while he was in scotland. he's back and ready for his weekly segment. and later, world bank president, robert zoelick will join us and sir richard branson who wants to screw business -- >> that's the title of his book. i want to make it clear to listeners. it's just another way you'll be traveling at the speed of hertz. departure. hertz gold plus rewards also offers ereturn-- our fastest way to return your car. just note your mileage and zap ! you're outta there ! we'll e-mail your receipt in a flash, too. it's just ano

a source telling kate kelly that mcclendon ran a private hedge fund in the same commodities that chesapeakeroduces. always long natural gas and well-known in commodity trading circles. some analysts regard that fund as a conflict of interest, of course, from mcclendon who was just stripped of his ability to more declines and as you heard good volume. big, back to you. >> the recent performance of the group and then you can make your own odds. casino operator wynn has been given maca auchlt in the area 18 months later than expected and trailing some of the competitors, that's five times that of vegas. revenues up 26% so far this year in that chinese territory. wynn shares were sizzling earlier on the session. you can see it's down half of a percent. wynn shares are up 20% for year to date. las vegas sands opened up three weeks ago and its shares are doing better, up almost 31% year to date. and seemingly against the odds, caesar's shares have gained nearly 63% since the ipo on february 8th. the casino operator posted a loss. bill? >> court, thank you very much. >>> to the twitter question we

let's go to kate kelly. she's working the phone on us. >> i have details on the road show.s off in earnest on money. they are going to have the large investor lunch at a disclosed location on monday. there may be over 1,000 people and management will be there. from there they will go on to boston and from there to ba baltimore and mid-atlantic area. we can expect to see large investors. i'm told that is traditional. and despite the feeling that it may be new and different, they are following a fairly traditional playbook when it comes to getting together with management. zuckerberg will be at many and there will be one on one meetings as well as presentations. >> they said late 20s to mid-30s, right? you think it's going to be a double when it goes public? what's your bet? >> 28 to $35 is what they are going out with. that's a very broad range. they are going to gauge investor reaction to that. it sounds low to me, i have to say. $40 is a price that a lot of people were fixated on and maybe they are trying to manage expectations and move the price up. that's kind of good op

kate kelly will join us from las vegas with comments just made on yahoo. you will only see it here on fast. stay tuned. from around the world...countrs ...with the best math scores. ...the united states would be on that list. in 25th place. let's raise academic standards across the nation. let's get back to the head of the class. let's solve this. hey, it's sandra -- from accounting. peter. i can see that you're busy... but you were gonna help us crunch the numbers for accounts receivable today. i mean i know that this is important. well, both are important. let's be clear. they are but this is important too. [ man ] the receivables. [ male announcer ] michelin knows it's better for xerox to help manage their finance processing. so they can focus on keeping the world moving. with xerox, you're ready for real business. >> comments for dan, she spoke to him about his mission to bring change and a mission is putting it lightly. what's the latest here? >> melissa, i came from the panel where dan lowe from third point demanded that the ceo scott thompson step d

kate kelly has the latest. >> there's back story on the icahn letter that i don't think has been told. carl icahn invested in the stock and was able to effect change in the company by working with them to have they will sell noncore assets, debt down, et cetera. this time he's going hostile. he had dinner within the last week with aubrey mclendon here in new york and i'm told the discussion was about icicahn's discussion to have two seats on the board, himself or two people his choosing. in between that dinner and the letter, that demand grew to four seats on the board. he wanted two that he could help decide upon and another two that another party such as southeastern asset management, the $34 billion money managen rn memphis that owns about 13% in stock would select. are southeastern and icahn working together? there's no public evidence of that. however, icahn seems to have drawn southeastern into his battle. seems like their tactics are pretty different. icon and i go sayiahn saying a e done and let debt, better corporate governor thanks. >> ai'm sure mclendon's no dumb any. he sa

kate kelly you have some breaking news? you followed the ipo process from the earliest stages. >> yes, scott. there's no dispute here that nasdaq had some difficulties. the fingerprinting has started. some participants said there's a lot of disappointment there was a logjam of ordering and nasdaq had difficulty opening and delay. they just were really overwhelmed with orders and calls and electronic attempts to buy and that created some difficulty. so, i think that story is playing out. we'll see what happens to the stock throughout the rest day. in terms of the levels we're seeing, low 40s was very much to be expected. i don't know about 38240. but low 40s was a sensible pop. this is a luge market capitalization. huge market cap even for an ipo. now, i have heard of institutions actually getting bigger fills than they expected and here's the other side of that the retail component of this is going to be 20 to 25%. i've now heard from multiple source. so that would be probably the largest retail allocation of an ipo ever. t

. >> let's go to kate kelly. it hits the top of the range, kate, but it didn't hit the whisper number, which was above that. >> that's right. i think there were conversations with investors about a dollar above, maybe even $2 above. 38 has been consistently the number that the underwriters, the company have been talking about with their large account holders. and apparently there was pricing call at 3:45 to a hash this out. there is very broad consensus at $38. the final i's have to be dotted but, this is highly unlikely to move. and we should expect to see this landmark deal at 38. >> all right. stand by, ladies. we'll be coming back to you as the news warrants. i'm sorry? all right. let's price out this with fusion analytics josh brown. he says do not chase facebook on this first day tom bellis has money, his and bob pisani is joining us as well. at $38, josh, how do you view the valuation on facebook here? >> i think it's about what we expected, and i think the stock opens up at a premium even from there. and i

kate kelly and another ceo in trouble. chesapeake's aubrey mcclendon. kate? >> aubrey mcclendon, you're right, is in the hot seat again. this morning his board of chesapeake energy announced plans to replace him as chairman with a new chairman they will find who has no previous ties to the company. they're hoping to have that person in place for a vote by the shareholder meeting, which is in early june. but that process is under way. there's no guarantee as to how fast it will happen. meantime, aubrey mcclendon remains chairman and ceo. the other thing they announced this morning, interesting development, the founder's well participation program which has been in existence for a number of years was disclosed to the sec. nonetheless, caught the public scrutiny and a lot of criticism about two weeks ago when a reuters story revealed some details of the program showing mcclendon had invested in the company's wells at an early stage of the drilling process. using, among other things, a loan from a private equity company for more than $1 billion. they are terminat

. >>> and c bs kate kelly first reported, delta airlines confirms it's getting into the oil business, buying a refinery near philadelphia fund-raiser phillips 66 for $150 million. delta will get a $30 million subsidy for the state of pennsylvania, for job creation at the plant which was idled last year. bp will supply crude and delta will exchange gas and other refined products for jet fuel. delta says it will supply 80% of the jet fuel needs in the u.s. it spent nearly $12 billion on fuel just last year. >>> the phone-hacking scandal surrounding news corporation's ceo rupert murdoch is making headlines as a parliamentary committee releases a final report concluding that murdoch is quote not a fit person to exercise stewardship of a major international company. news corporation owns 30% of bskyb in the uk. now uk communication regulator is determining if news corp. is fit to hold a british broadcasting license. back to you. >> have a great day. >>> may is skin cancer awareness month. and health officials are asking hair stylists to help battle against the most common form of cabser in

i'm kate kelly with breaking news on continued losses to investors and market makers due to the glitchtrading of facebook last week on the nasdaq. we're told that citi group now has losses of at least $20 million in its market making unit related to trading glitches when the facebook stock opened last friday on the nasdaq late and with some confusing trading patterns. that brings the total number of losses that we know of so far to north of $90 million. a combination of knight trading group, citadel investments, citi group, a small one from e-trade and who knows how much more. nasdaq put aside $13 million to deal with this problem. that's a far smaller number than the losses we know of so far, michelle. we'll track how nasdaq plans to deal with this and how the number grows in the coming days. >> kate, thanks so much. good freudian slip, spacebook. >>> next up, how the crisis is going to impact you when you're overseas. [ male announcer ] aggressive styling. a more fuel-efficient turbocharged engine. and a completely redesigned interior. ♪ the 2012 c-class with over 2,000 refinements.

kate kelly here in studio. and in california jon fortt and julia boorstin. good to have all of you. coverage. typically, kate, when we go into a pricing, things sort of compress, it gets very tense. is that what's happening right now? >> absolutely, carl. i think phones are probably ringing off the hook at the underwriters office certainly facebook headquarters. certainly investors are buzzing about what's going on. the buzz today seems investors are being felt out on a $39 price. we don't know if that's where it will end up. it certainly could based on the most recent range which is $34 to $38. we do not expect a revision. they can go to as low as mid-40 range according to s.e.c. regulations. people are watching the blue chips closely today to see how other stocks in the market as a whole is behaving to make sure there's no major marketmovement to effect their valuation conclusions. >> it's our job to raise potential concerns. there's been a bunch of them this week. gm, privacy, we'll talk about with julia in a moment, classic shares, kayla, has been something else. the way the sha

i want to get to kate kelly with a breaking story on blackrock increasing its stake in chesapeake. >> thank you so much. so interesting, we're seeing a little bit of a snap back on sort of a bullish sentiment for cheese peek. blackrock, which owned roughly 1 million shares in chesapeake about ten days to two weeks ago has recently been aggressively buying shares of the company. they have 4 million to 5 million shares of chesapeake i'm told and that means they are at least sort of a 3% to 4% stakeholder in chesapeake as a company. they were already in the top ten but they're probably moving up a notch or two with this. this, of course, comes on the heels of new details about carl icahn's purported purchases of chesapeake stocks after david faber said they were feeling opportunistic toward chesapeake and might make a play here. you are seeing two significant investors who have a good deal of respect in the markets saying they think there might be some upside opportunity. to get into the details a little bit, what i'm understanding is that the permian asset sales which is one of the big

kate kelly joins us from headquarters. take us behind how this deal came together. i would imagine that in terms of coming to agreement on a price of 38 that the market action today actually had an influence on that. >> yeah, absolutely, melissa, and i think this thing was, look, obviously in active discussions all week. refiled the range up to $38. i think there was talk with investors this morning about a price as high as $39. we were even hearing whispers, hey, at this rate maybe they go to $40. it's a nice round number. there's a lot of enthusiasm. one thing people were pointing to as well is the fact that google shares have really rallied in the last few days while apple shares have taken a hit. that tells people two things, or at least those that i talked to. one is that google reflects the enthusiasm in the investor community for facebook, and then on the downside, that apple is getting removed from portfolios to make room for facebook, all of which are bullish sounds. things in the tea leaves that the underwriters in the company were looking at. at the end o

let's ask jim, author of" currency wars," our very own kate kelly on deck and very feisty rick santelli. jim, i'm going to get to you. you are saying jamie dimon should resign over this. why, exactly? >> jamie dimon should resign as a point of honor. he's lost our trust. the banking business is unstable at the best of times. just the asset liability nature of banking, that's the best case. leave aside this kind of trading. need trust, stability, we have the london whale, how do we know there's not a hong kong wahale - >> but what would that achieve? >> he says the losses are m coing out of earnings. those are american investors. from a transfer of savers to banks because of zero interest rates. the least the banks could do is treat the 500 billion with some respect and not take it to las vegas. this is a spread trade. not every trade with two sides is a hedge. this trade is two sides, it's going like this, but it's not a hedge. both sides are synthetic. there's no reason for this trade on. it's a violation of trust. it's actually a disgrace and jamie dimon should resign as a point of ho

kate kelly and i both heard people put in for 300,000 shares of stock what their institutional brokers would do is put them in the book for 500,000 hoping they can satisfy the demand. guess how many shares they got? they got 500,000 shares. so there was a lot of sorting out that had to take place in the first hour between how much stock people really wanted and what they thought they would get and what they actually ended up with. >> let's throw this forward, ken. if someone came to you and said i'm kind of interesting in facebook maybe for the long-term, what would you advise them to do? wait until the dust settles after a few weeks? >> absolutely. i just wrote a piece for forbes saying exactly that. to gary's point, i think the underwriter did yell men's work here. took a while for the market to say where it should have ultimately been priced because of supply and demand. >> everybody says facebook fizzles, which i disagree with completely because i would argue then that based on supply/demand, at least right now, we're up a couple percent. it was a success. the underwriters did thei

>> there's been headline after headline this week and kate kelly is here to give you the latest aftercal point is what is the liability to nasdaq? estimates are in the $1 million range between citudal and then others that have yet to come forward. and then, of course, the morgan stanley call with their team yesterday to talk about reconciliation of botched trades. the biggest headline out of there was they are not making apologies. they are going to try to work through this and not going to hold anyone to fills that occurred above $43. that was a concern for people who tried to put in limits at a $43 level and ended up getting higher because of the technical foul up. we have concerns about whether facebook will switch to the nyse. i think people are angry on the facebook side of things. but one person put it to me like this. you don't want any more volatility. things need to settle down for a while while. it makes sense to stay on the nasdaq and then think about other options. >> yes, there's a school of thought that would be called erratic, wouldn't you think? i'm trying to think of

we'll go to kate kelly on the news line. >> hey, i'm here in las vegas where daniel has fired off hisyahoo. this is his response to the envest gags over the hiring of scot thompson who i turns oud had push his maize may. he either the no thrks would be good interim ceos. he oles also demanding that patty is the head of the search committee that resulted in the hiring of thompson. this $15,000 throwers fee that she refed for her work on that committee. you may railroaded not hr to not run for eh rexz to the yeah willed board. and are usually strong lang badge as lobe ared detrex moist stop one aened a earp really worming. he says it's farcical that the board will take more time invexi investigatining what happened wh the thompson hiring. obviously, there were some incidents that went on and they know what they need to know. they say it appears very clear to us and to many corporate governments experts that thompson's fantasy degree was in no way inadvertent error. so very harsh words. they say that yahoo's behavior, that they begin looking into this or go ahead and asked for books and

cnbc kate kelly reports the company expected to refile with the new numbers today. the range value is the company between now 92 billion and $103 billion and of course we'll talk more about facebook with our kayla tausche in just a few minutes. >> home depot coming in this morning and looking at a first quarter number of 68 cents a sha share. estimate 65 cents. a full year forecast for 2012 of $2.90. 17.8 billion versus 17.96 billion estimate. so a little light on sales. quarterly comp sales for u.s. stores was a positive 6.1% in the period. the company as far as a forecast for 2012 sees it up about 4.6% a chance to look at it, 48.88. so backing off a little bit on these numbers. >> home depot had really just been on a roll. just looking if i have an estimate for the full year. looks like 292 for the entire year and they said 290. so more or less is in line with expectations. hey, manky. >> hey will. good morning, everybody. good morning, andrew. let's get to the global market stories. greece's president will ask politicians to stand aside and that a government of t

kate kelly reports that the firm believes the corporate governance issues are a distraction. also thinks that the permian asset sales will go well. >> and some of china's biggest banks will miss annual targets for the first time in seven years. suggests companies are delaying investment due to uncertainty about the economic outlook. signs of acceleration in the first ten days of may. but the commerce ministry says it's facing a relatively stern trade. >> europe, shares in bank i don't oig are suspended on the madrid stock exchange. the basket expected to ask for a rescue of more than $19 billion. and german consumer morale holding steady going into june. european shares for a second straight day are mixed mostly to the down side. concerns about the global economy and europe's debt problems. more from london in a few minutes. >> time for early stocks to watch. verafone which makes credit card swipe machines that forecast third quarter revenue, you can see what happened. rue 21 reporting better than expected earnings and revenue. second quarter store sales guidances is believe

and you heard kate kelly, their biggest shareholder, 13% holder really seems to have spoken up and said you guys have got to do something about this. as somebody has said on twitter, the board has gotten real. pf chang is being bought. >> yes, 30% premium. it's a private equity deal. despite incredibly low financing and willingness to finance deals, certainly of this side, i'm surprised we haven't seen more activity like this. >> they were trying to install new lunch menus and wundt happening quite fast enough. >> right. a true leverage buy out where a current company will stay in. >> of course, they do get a better tax rate because they get to treat it as a capital gain from here for the ceo. it's another reason why p-e can compete very effectively. >>. >> net income is up by a third. but they don't boost guidance, which a lot of industrials have done so far this year. and they say the reason for weakness in the corner, exactly what caterpillar said last week. so the second big industrial reason to blame. weakness on a part of the world we thought was going down. >> there's the opening

kate kelly, phenomenal reporter that we all work with reported last night that 85 million shares roughly will be added to the deal size. so it's going to go from 337 say .4 million shares. so it was originally filed as a $5 billion rise. it could raise to 18.5. >> is it coming out of -- is it coming out of employees? where is it coming from? >> we don't know exactly where it's coming from yet, but my understanding is that facebook does not want its valuation to go out of whack. it doesn't want to delude them anymore. so if they add primary shares, that's what happens. they said to early investors if the demand is high enough, we'll add these to the mix some of what i understand is when they raise the offer price yesterday from 34 to $38 a share and they closed the book yesterday, of course, that's a metaphor. that's not a literal thing that happens because a big order that comes in, you're obviously going to look at it. but when the order book finally came together yesterday, the price was at or above $36 a share. every share was basically coming in at least at the mid point of that rang

kelly says it will not be her husband. and there's this video out there getting a lot of buzz. katethe swimsuit edition of "sports illustrated." she's in her bikini doing this dance caught on video. fellas, if you get a minute, go google that like i did yesterday. it's interesting. all part of journalistic research so i could talk about it today. >> i see. >> check it out. >>> childhood actors all grown up. and will you recognize them today? >> also, questionable sponsorship deal involving the late michael jackson. that's all coming next in "the skinny." >> announcer: abc's "world news ♪ skinny ♪ skinny so skinny >>> welcome back, everybody. "shape" magazine has done something that i think is really, really cool. they went back and found the fittest former child stars -- >> which is good because normally we see the folks that aren't fit. >> child stars don't have the best rep for how their life turns out post show. these ladies have done great. punky brewster. everybody remembers that show. cute little soleil moon frye. there she is now. she's 35 years old. she's a mommy now. she's