kate kelly, kpix 5. >> you can nominate your local heroes for a jefferson award online at kpix.com. click the logo at the top of the page and down to jefferson awards and find the email nomination form. >>> raise your hand if you are ready for the weekend. >> so ready! about this time every week -- >> i was ready monday! >> we have changes for the weekend in our weather. i think the next couple of days will be the nicest of the week. as we get into the weekend more clouds we'll start to cool down. outside now we started out with patchy fog along the coastline. that's long gone. we are cleaning out your skies. starting to get the sense of a northerly wind out there keeping us clear overnight tonight. out over the bay it's looking good. we have a gentle sea breeze now. temperatures moving up a bit. it's 77 degrees in santa rosa, 71 in san jose. 65 degrees in san francisco, a warm 75 into concord. looking at a nice afternoon outside as it looks like plenty of sunshine all the way to the coast. breezy at the beaches but not like yesterday and then tonight should be mostly clear, cool in

kate kelly, thank you very much. we appreciate it.oo. >> you're welcome. >>> stock market tuesday winning streak came to an end today. wall street's obsession, seems like the culprit once again. we're going to talk about your money next up on kudlow. you hurt my feelings, todd. i did? when visa signature asked everybody what upgraded experiences really mattered... you suggested luxury car service instead of "strength training with patrick willis." come on todd! flap them chicken wings. [ grunts ] well, i travel a lot and umm... [ male announcer ] at visa signature, every upgraded experience comes from listening to our cardholders. visa signature. your idea of what a card should be. from the united states postal service a small design firm can ship like a big business. just go online to pay, print and have your packages picked up for free. we'll do the rest. ♪ >>> rebounded from session lows, but still finished in the red. snapped this terrific tuesday winning streak. i guess fears over the future of the fed's bond-buying program are i

kate kelly, kpix 5. >> you can nominate your local heroes for a jefferson award online at kpix.com.ck the logo at the top of the page and down to jefferson awards and find the email nomination formed. >>> paul we keep saying it the weather is gorgeous. what else is there to say? it's beautiful, clear, gorgeous. >> is it possible to get tired of this? >> no. >> tornadoes and wildfires in other parts of the country, we have this. >> a lot of places are stuck with bad weather. for us this is perfect. really the weather pattern is stuck and it's going to stay this way for a while. not a problem for us. san jose beautiful and sunshine. you can get sunny hot weather so easily in california. we are close to the equator relative to the rest of the country but we get the onshore flow and get that air- conditioning turned on like today look at these temperatures, concord 78, san francisco 63 and oakland 71. everybody close to normal, look how the week has transpired in downtown san francisco. the average high 66. no more than 4 degrees away from that average for the past several days and we w

kate kelly, cbs. -- kpix 5. >> to donate items to "carh" use the link online at kpix.com. the logo at the top of the page, then jefferson awards to find out story barbara. >>> it's people like that, that remind you how little you've accomplished. [ laughter ] >> incredible. incredible people that we profile every week. >>> incredible weather this weekend. we better get to it. >> the heat is on. >> it sure is. the numbers even now are in the 80s in parts of the bay area. plenty of sunshine all the way through next week with 81 degrees at concord now, down in san jose it's 80. up in santa rosa 79 degrees. and here's what happens next. temperatures will climb 100 degrees by friday. that's inland not at the beach. but still it will be a hot weekend ahead for the bay area as high pressure moves up from the desert southwest and as the high pressure builds, the numbers are going to come up and it's going to stake warm through tuesday. -- stay warm through tuesday. san francisco tomorrow at 74 degrees, a little warmer. concord at 89. san jose 85 degrees. now going to climb above s

i want to get back to kate kelly with more breaking news. what are you hearing?lawsuit here and some very interesting details that paint a picture, of course, of jon corzine who is accused of failure to supervise and being involved with misuse of funds, and edith o'brien being reckless in terms of customer and firm funds as they ran out of money and ultimately used customer funds inappropriately. to wit, there is a conversation recorded here, and it's parent there were numerous recordings of conversations between the global treasurer and jon corzine saying, essentially, he had told corzine that the liquid flow was not sustainable and the situation was grave. the firm essentially got to the breaking point on halloween of that month. they said, quote, we have to tell jon enough is enough. we need to take the keys away from him. it goes on to say that correspo corzine referred to this person as a gravedigger. they talk about this commingling issue and the need to have a segregated account to separate customer funds from firm funds, and she says in terms of running o

kate kelly has been following the story. >> and following your show, scott as always.ls are fielding redemption requests all day as they face the second quarter deadline for pulling assets. given the question marks surrounding the filrm, insiders expect to say billions of capital by day's end, most of the 4 billion or so in external money that isn't being pulled. they manage most of steven cohen's personal fortune as effectively a family office even though insiders deny a move is in the works. they continue to raise external money and operate as a full pledged hedge fund in the markets but much will depend on the legal status of cohen and other top officials who have been subpoenaed to testify on allegations of insider trading at the firm, ahead of a couple of late summer deadlines for filing new charges against cohen and others not already tied up in cases. sec has not kept up with the past outperformance either, returning 6% year to date through mid may. numbers through the end of may are not available yet but it's unlikely they've made up too much lost ground but yo

. >>> becoming a foster parent can bring joy and challenges, but as kate kelly reports, marin fosteramilies get what they need thanks to this week's jefferson award winner. >> you're going fast, eddie. are we flying? >>reporter: linda gregory and her husband became foster parents to little eddie when he was just 10 months old. >> it's just a great experience to be able to be a parent and to love a child and help them through their hardest times. >>reporter: one of the first steps linda took was to join the marin foster parent association, a grassroots volunteer group that offers support services to foster families and caregivers. but more importantly, it offers community. >> there's a lot of support because it's not easy all the time and all these kids have experienced trauma in their lives. >>reporter: that was four years ago. since joining, she's adopted eddie and she's thrown herself into volunteering for the association. just ask barbara sebito who has fostered 10 children over the years. >>> she just makes it a point of knowing every member of the association, and i think that's

kate kelly with that update. >> for a lot of macro hedge fund, is a pain of merging markets.nd brazil are down huge today. more than 5% on date if you look at one of the more popular etfs here. that adds up to 17% for the year so far and pain is felt across the board in emerging markets across asset classes. bonds and asian sovereign debt are taking hits, along with currencies too. take a lock for example at mexican peso, a type of currency hedge funds played today. investors fly to relative safety in currencies. part of the concern is a an issue that beleaguered the u.s. as we climb out of recession, namely, disappointed growth. now that pace is starting to slow in a disappointing way. amid all of that, weakening currency and commodities and greater bank behavior overseas. one key example, chinese central bank which injected capital just today to help calm its inner bank lending rate known as shy bore. rs there were certain of of an economic slow down and here in the u.s. they are getting nervous and are trying to trade accordingly. >> and let's add policy. like what they ar

kate kelly has the details on that for us. kate?i just hung up with jeffrey curry, head at goldman sac sachs, says at this point, gold has fallen too far. the selling since last week's fed meeting has been overzealous and prices will even out over the next weeks and months. he spelled out his view recently, and he says gold will trade up a bit as economic conditions improve and the market regains optimism toward the end of the year. longer term, he thinks we'll stay where we are, bill, with the market trading as low as 1050 in late 2014 before settling out at the much longer-term 1200. >> okay. kate, stay with us. >> we have jason who says only hedge with gold if the world is ending. so great to have you with us. you do seem to be right now in the minority. i was just asking our panel a moment ago if anyone was buying gold at these levels. not a single person said yes. i think mike commented earlier, saying the gold trade is, quote, dead. so why you so confident that now is the time to buy? >> so, you know, we try to buy gold when i

kpix5's kate kelly with this week's jefferson award winner who is hoping to inspire a new generation. >>reporter: >> who's going to do the baby hunter's lung cancer? >>reporter: if science is about opening the door to the world around us? then bolg professor latessia lagonia wants to crack that door wide open. >> if you want an innovative solution to a scientific problem, you get that innovation from a secure team. >>reporter: the doctor is passionate about increasing the participation of underrepresented groups in science and engineering. beginning in her own classroom at sf state. >> i walk into the classroom, i see myself reflected in the students. >>reporter: she was first in her family to go to college and being the only latina in grad school, pursuing a phd in biochemistry had its challenges. >> i think i was a first-year graduate student. i got into the elevator and the gentleman in the elevator said, oh, are you new to the department. i said, oh, yes i'm new to the dment. he said what lab are you in. he said, oh, i didn't know they hired a new dishwasher. >>reporter: she wants

a high network correspondent robert frank will also be here, kate kelly who covers high finance and the hedgies and covering politics and power direct and uncut from d.c. eamon javers, so from washington to wall street, from this country to around the globe, we've got you covered for the next hour exploring the events shaping our world through the "power lunch" special prism. we start with the big stories of the week, and, wow, what a week it's been. >> this week, a few months after recalling yoga pants revealing too much butt. what would you see? >> crack. >> the ceo of lululemon reveals hers is out the door. >> ceo christine day will step down. >> speaking of embarrassing reveals. the entire world knows the agency in charge of all things top secret can't actually keep a secret, or track down 29-year-old employee who spilled the beans on prism. >> the other question about him is where is edward snowden? >> in a clear sign of either outrage or just total indifference, americans go shopping, sending george orwell's "1984" sales soaring on amazon. you can't make this stuff up. in istanbul

our kate kelly has the latest. >> it's been a rugged few years for paulson.ut his conviction about the u.s. housing markets and certain financial stocks may be turning things around this year. so far, paulson's so-called recovery fund is up 14 %, best performers through the end of the first quarter and his privately held real estate portfolio is doing very well. john paulson is famous for his big short on the u.s. house market. a short that produced seven-fold returns in 2007 as the market tanked. but now he's done a 180 and seems to be making money on the other side. some of paulson's biggest winners this year have been stocks like the mortgage insurer raidian which he bought at $6, to see it shoot up and double that. another genworth financial, an insurer with a large mortgage exposure that paulson bought at $7 thinking it was oversold. it's now trading above $11. paulson thinks it's the best time in thistry to buy a home. he said at the 92nd street y, he said mortgage rates and we're still basically in this territory, are still near historic lows and home

kate kelly with the latest.et, by the way, that's now up triple to the best of my knowledge its, 102 points, a complete reversal from what we saw friday when you had that last 30 minutes of trading as a meltdown for stocks, right now you're getting a melt up. highs of the day here as you have some buyers coming in. you know, some of the leadership stocks today, intel, got an upgrade today. that stock up 3.5%. it's been a stealth performer year to date. not talked about a lot. it's had a pretty good run. biotech doing well. some of the health care stocks like merck. microsoft higher today. bristol myers is up better than 3%. some positive data out of that asco conference up in chicago. >> absolutely. >> has brought some good news for those stocks. >> if you want to know why we're up triple digits on the dow and nasdaq is just now turning positive, a lot to do with two names you just mentioned. merck and intel. that's really helping us get to this point. again, we're seeing a little more of a confirmation across t

the latest numbers regarding second-quarter receptions at sac capital therein, kate kelly broke the story and has more now on the details from new york city. kate? >> reporter: tyler, the news is in and it's not reassuring. sac capital lost close to $3 billion last broke as part of second quarter redemptions. that figure is in line with expectations but consult a blow for the hedge fund which is fighting to reassure investors that their money is still safe despite an ongoing and intensifying investigation of insider trading by the u.s. justice department. at the start of the year, sac managed about $15 billion in total assets, 6 billion of which came from external investors but amidst new charges against an s.e.c. worker of improper trading, investors asked for $1.7 billion back. now, they pushed that number to more than 5 billion in total in a sign of their waning confidence. sac and cohen have said consistently they have done nothing wrong but the efforts to clear their name has so far fallen short. federal prosecutors have not been persuaded to not pursue the probe. a high-level meetin

. >>> kate kelly is here. do we know who's staying and who's going, how much is left and -- >> you can believe there's plenty of handy capping going on here, including at my desk. while the details are emerging, here is what we know so far. they pulled what appears to more than $100 million. blackstone group as of yesterday was planning to redeem some of the remaining $400 million. a swath of other investors were nervous about staying on board. on the flip side, the wealth management unit is largely sticking with s.a.c., who like their performance and understand the risks. of course. skybridge capped have said for quite a while they'll by remains loyal. no matter what el -- on the don't-know list are still hsbc and blackstone, since we don't know huch, if any, they've left in the fund. with $550 million in s.a.c. investments, they were one of the hedge fund's biggest external -- details on the redemptions will likely be -- as will a better sense of the fund's may performance. so far this year, they've been und

i'm kate kelly with some breaking news.is expected to file suit imminently against mf global jon corzine as well as edith o'brien for a variety of charges. the charges against corzine a misuse of funds, and both o'brien and corzine are expected to be banned from trading in the future. they will also have to pay restitution for this lawsuit. they have scheduled a press conference to discuss the details of this and a lawsuit is supposed to be filed imminently as a result of that. as soon as we get details, we'll share them with you. >> we're going to throw this to the panel. my first question would be, is there any indication of what the level of restitution or disgorgement would be? >> i don't have those details yet, although, of course, the important thing in this case is close to a billion dollars of customer funds sort of suddenly went missing in the fall of 2011 as a result of some bets that corzine had made in european sovereign debt, something largely unrelated to their core business. so that's been something that has

ron insana is a cnbc contributor who used to work at s.a.c., kate kelly is here along with the "new yorkthanks to all of them. >> where are we kate, on the statute of limitations which i guess is a ticking clock with respect to some of the allegations allegedly against mr. cohen? >> tyler, we're about six weeks away from a very key statute of limitations that happens in late july, essentially a deadline by which federal prosecutors near to bring charges in the matthew martoma case, a sdrug trial begn awry. the question is will steve cohen be charged as a result of all of that? he was implicated and a crucial conversation between him and that trader who has been indicted already, matthew martoma shs and we don't know yet if they have enough evidence to charge him personally. >> the company is paid $600 million plus to the s.e.c. not that long ago. did they think at that time that they were putting their legal troubles behind them? >> yeah. without certainty, but they did think that most of their troubles were in the rear view meror. the s.e.c. is their primary regulator. they wrote a $16

our kate kelly is on the news line with more on this. kate? crucial deadline day for a closely held hedge fund founded by cohen. he and some of his senior management were asked to testify before a grand jury as part of an ongoing criminal investigation as to whether there was any alleged insider trading at the firm. investors have to decide whether they want to redeem their money from the firm or the second quarter. it will be fully returned at the end of the year if they do so today. the losses are expected to be quite remarkable. insiders tell me they are expecting significant redemption, perhaps more than they saw in the first quarter. about $15 billion is the total money managed. 9 billion or so belongs to mr. cohen himself and other insiders. the question is, do they continue to be open to outsiders if they become a defacto office? it's unclear. i'm told by folks close to the firm they have no intention of becoming a family office. they might have a little choice. >> once we get the numbers, how do you judge this? if we already expect it

. >> thanks for the update, kate kelly joining us. significant about the inline largely with expectations. still, it seems like there would be no reason for an investor to be involved with this hedge fund given all these outlines. >> when you're as large as you are these guys have positions that take time to move. i don't care if they're in big liquid positions. i would be concerned. having said that, this is a scaleable model, whether 5 billion or 50 billion, i don't think they need to change how  they are set up. if stevie cohen is indicted that's a major deal. if you're an investor there will be movement about this. but as a business right now, that does not change this hedge fund. >> coming up next with mortgage rates above 4%, we've got a street fight overg price that would be poised for big gains and big fallouts. that is next. still ahead, one biotech name broadly outperforming its peers. what's the secret behind this company's success? looking at covered call strategies to generate income? with fidelity's options platform, we

kate kelly is looking into the story and joins is right now. >> it is a tough run for short sellers thatt seen in many years and short interest has declined significantly from a year ago although it crept up a little bit in recent months as the s&p was taking off and one major hedge fund retreating from the historic short strategy is third point which recently announced the departure of a general short seller. they were taking deep dive looks and as third point's assets base group focussing on small caps stock was no longer efficient. they now focus on sectors in markets rather than long versus short. they just do what the market warrants. meanwhile, some of the companies that shorts love to hate the most including tesla which you were mentioning earlier and green mountain coffee are up huge this year. third point these days manages about 12 billion and one of the best performing of the large hedge funds this year with year-to-date returns of nearly 15% and offshore fund for may. it is now going to focus as i said on the larger cap names, things that worked well this year like the japane

kate kelly looks at last year's conference and who has been delivering alpha for investors since thens released after a gooel deal with beijing workers. this is a situation where you understand robotics and rethinking robotics. it may have a sense. we will rethink this deal on u.s. relations with china. . . >> and we are just weeks away from this year's delivering alpha conference. kate kelly is joining us with a look at last year's participants and whether or not they did, as the title subject, kate, deliver some alpha. >> this is the burning question, brian. so we had some impressive calls last year but the head and shoulders deliverer of alpha was leon cooperman of omega advisers. he recommended ten stocks. other par tis mantz gave us one or two or a sector. of those ten, nine did well t. loser was down a tiny bit, less than 2%. media company gannett rose 67%. watson pharmaceutical up 60%. >> wow, look apt those numbers. >> it's amaze, huge double digits. metlife 47%. cooper man has been bullish stocks in general for at least two years now. he's been very right on it have been chur

today is the quarterly deadline, and kate kelly has been following this story and she joins us now fromy're collecting redemption notices from collectors who want to pull their money from the $15 billion hedge fund. expectations are that the company will lose a significant portion of its roughly $6 billion in outside capital, more than the 1.7 billion that it lost in the first quarter. these pullbacks come amid a darkening legal picture for sec which has seen one current and one former trader indicted in the past year and subpoenas to provide information on alleged trading activities. the vast majority of sac's capital belongs to founder steve cohen who has invested much of his personal fortune estimated to be $9 billion in the hedge fund, but sac's outside capital is a symbolic measure in the alternative investment world where it has been one of the most sought after hedge funds. investors have shied away from the yej battembattled firm from cohen or the corporation itself. some like skywood have said they'll stay on and their biggest outside investor and the private equity firm blacks

. >>> and cnbc's kate kelly is reporting that sak capital told employees it will survive what it callsns in the quarter. in an memo dated money, management says sac has no plan toes become a family offer. reports are that sac hat signaled at least they would pull some of them money. >>> procter & gamble is reallien its brands. starting in july, the company will split its house old care and bloom efforts into four sectors. global baby care, global fabric and home care lights it's to replace the ceo when he steps down in a few years. p&g stock up 0.25% in frankfurt. >>> still to come, the gort. >> what dethey're wait to the up skooid. a lot bit more vapser outpatient decliners. [ kitt ] you know what's impressive? a talking car. but i'll tell you what impresses me. a talking train. this ge locomotive can tell you exactly where it is, what it's carrying, while using less fuel. delivering whatever the world needs, when it needs it. ♪ after all, what's the point of talking if you don't have something important to say? ♪ some brokerage firms are. but way too many aren't. why? because selling

kate kelly is reporting the steve cohen firm has told employees it will survive what it characterizes as significant redempti redemptions. in a letter to employees date odd tuesday, sac says it has no plans to become a family office. a lot of people have been talking about that possibility. it added no significant layoff res in the works. sac has roughly $4 billion in outside capital after first quarter redemptions and, you know, despite all the money that investors are taking out, he still has i think it's about $8 billion or $9 billion of its own money. you can stay open for a very long time. and employ about 1 is,000 people to do it. >> the high on the day that the "usa today" cover came out was 1661. so basically, we can -- the s&p was as high as that. so we can equate the closing high on the s&p with the "usa today." any numbers that we can do. and i'm sure they're happy that we're doing this. they need to serve some purpose. >> it's good for business. >> remember that little -- yeah. >>> in other news, the -- i don't know about this. i was wondering if this disturbed you. >> i a

. >> kate kelly joins us. >> sac officials work withed last night tallying the second-quarter redemptionsvestors were pulling out of the hedge fund this garter and the amount that turned into something of a referendum in the public perception of the firm which was fighting battles on multiple fronts and last quarter, and steve cohen had been implicated and a criminal insider trading case. outside investors who started the year with $6 billion in sac pulled 1.6 million. this quarter with fears rising about a potential cohen indictment amid the arrest of another sac trader and a rash of grand jury subpoenas. outside investors were expected to pull a substantial amount and outside assets that remained. of course, that still leaves cohen's 9 billion or so in internal money which still could provide the basis of a balanced hedge fund or sac office and that possibility can certainly exist. key sac clients whose moves we are watching today include morgan stanley, hsbc and blackstone group and all of whom stayed after the tumultuous first quarter. those companies were widely expected to pull some

kate kelly is at headquarters with that story. >> so amid these ongoing concerns about redemptions --gation, s.e.c. performance has continued to be somewhat lackluster through the end of may. numbers just out this week show the fund was up 70 basis points for the month of may, that leaves it up 6% year to date. of course they're comfortably in the black with 6% but they're way behind the s&p to far this year which is probably something of a fair comp for a fund that primarily deals in stocks on both the long and short side. you can see compared to their peers, they're closer to the average mix than they normally are. historical historically sac has been right there in the market. they also sustained losses in 2008 alongside the market. but it is an interesting issue because either they're not having the trading luck that they normally have or you can maybe guess that there are some distractions or some concerns going on internally as these legal situations continue to deepen in terms of complexity and possible threat to the firm. basically there are at least two high-profile investiga

kate kelly reporting resumptions for the fund between 2 and $3 billion in the second quarter and closerine with expectations. first quarter resumptions came in around $1.7. >> mcdonald's seeing same sales numbers over the past yb and this menu doob the reason why. what muffins after nid piet would mean approximate the bottom line. clients are always learning more to make their money do more. (ann) to help me plan my next move, i take scottrade's free, in-branch seminars... plus, their live webinars. i use daily market commentary to improve my strategy. and my local scottrade office guides my learning every step of the way. because they know i don't trade like everybody. i trade like me. i'm with scottrade. (announcer) scottrade... ranked "highest in customer loyalty for brokerage and investment companies." a brand new start. your chance to rise and shine. with centurylink as your trusted technology partner, you can do just that. with our visionary cloud infrastructure, global broadband network and custom communications solutions, your business is more reliable - secure - agile. and with

. >> so let me point out a story that i did with one of your colleagues a few years ago, kate kelly, of the new york fed and the trading he was doing in golden sax stocgoldman sachs ste freedman. steve sfredman stepped down from the new york fed chairmanship within days of that story. that did not make them comfortable. i'm continuing to report. you know -- >> good for you. >> that's the world we live in. >> it just seems to me that the reporters -- let me ask you another question. when fed chairmans or some of the committee, when they give press releases as to whether it's their growth forecast, what they believe on the inflation front, or what they believe their impact is based on these programs to employment or unemployment, why is that most reporters, and let's put you aside a minute, why is it that these press releases aren't gone after the way a reporter over the last several years would go after a tea party conservative? why don't they have the same kind of intensity when they go after some of these issues where we're sold that these programs are helping unemployment or low in

like grace kelly and kate middleton. they'll continue to live in the city, where they fell in love. christopher o'neill has elected to remain a private citizen. i wouldn't be giving up my chance to be a princess. >> you were rocking the tiara proudly. a girl can dream. it's not too late for me. >> of course not. >> she has a brother. unmaryland swedish prince. dan, would you give up your job to be a duke? >> yes, very quickly. >> duke harris -- >> it sounds right to me. >> i also would take a job as a baron. thanks, linzie. >>> the cancer doctor accused of trying to kill a fellow doctor, her boyfriend. >>> also, is 40 the new 20, hollywood's infach yated with young stars. we'll tell you what's behind this latest trend. >>> the chihuahua wardrobe malfunction coming in "fixation." breaking canine news. don't go anywhere. mine was earned in djibouti, africa. 2004. vietnam in 1972. [ all ] fort benning, georgia in 1999. [ male announcer ] usaa auto insurance is often handed down from generation to generation. because it offers a superior level of protection and because usaa's commitment

. >> kate middleton, $400,000 for her gown. grace kelly at the bottom five with $65,000 wow. my dress is not that much. >> it is not 12 million? >> i was completely thrilled we the three of kim at $25,000. >> she will do a gown change. >> one of the most popular places to have a wedding downtown baltimore. we have more from the wedding expert on plans people way want to consider. >> reporter: that's right. we are at the grand historic venue. it is really elegant. they have so much to offer here. they have 19 different rooms. it is a nice spot, very popular spot to have weddings: they call it the hidden gem of the city. i have drew here. he's going to have an office here in this facility coming up at the end of this. thank you so much for being with us this morning. what type of things to you do in this venue? i know you are a wedding planner. what do you do. >> there's so many different things you can do with different rooms and decor. depending on whether it is traditional. oriental room. you are do different things are tablize, do a long table and a little more king-arthur

. >> yeah, i just had a question to kate howard, the mayor's budget director. i know that as naomi kelly presented this when it came to the board, the rent for the new space is going to increase significantly based on what the rent was in the war memorial building. i'm wondering where that shows up in the budget. >> supervisor mar, through the chair, kate hour, mayor's budget director. this is the -- the issue you're raising is the same one i think that supervisor breed is raising. so, if you look at the -- so, this isn't a work order, essentially. the lease payment, the rent payments are budgeted both in the city administrator's department and the department of real estate and in the law library department. so, in the law library, you see an increase of $891,000 for rent and you would see also a payment in the city administrator's department for that lease payment. that's only now because -- i mean, we had -- we didn't have a rent appropriation when we moved out of city hall to the veterans building in 1995 with the mayor and board of supervisors. when everybody came back and they were

outsiders who have married into european royalty like hollywood star grace kelly and that daughter of two party planners, kate middleton. sweden's newest royal couple say they'll continue to live in the city where they fell in love. well, chris o'neill has elected to remain a private citizen. if he decided to take swedish citizenship, he would have become a duke. i don't know about y'all but i wouldn't be giving up my chance to be a princess. >> yes. >> and clearly, i mean, you were rocking that tiara proudly. >> i wore it all around the office yesterday. a girl can dream. and it's not too late for me. >> no, absolutely not. absolutely not. >> of course not. she has a brother i think. >> yes, an unmarried swedish prince. now, dan, would you give up your job to be a duke? >> yes, very quickly. yes. >> i think that's a good answer. >> duke harris just doesn't -- >> it sounds right to me. >> i think you'd be a dashing duke. >> thank you, i appreciate that. i'd also take a job as a baron if anyone has one. thanks, linzie. >> they look very much in love. >> yes. >>> coming up here on "good morning america" -- the

like hollywood star grace kelly and that daughter of two party planners, kate middleton. in the city where they fell in love. linzie janis, abc news, new york. >> kind of cool. >> yeah. they met through mutual friends, like many of us do. but would you be intimidated someone said, i would like you to meet my friend, a princess? >> i would be intimidated. maybe if i went out on a few dates, i would get over it. but i would be intimidated, for sure. o'neill works as a partner, head of research at nostra capital. they have offices in london and new york. and madeleine read the vows in swedish and o'neill in english. >> that takes the pressure off. the vows in swedish are killer. >> we'll be right back. see you. >>> this morning, the source of government secrets revealed. >> a 29-year-old says he leaked the story about the top secret phone and data snooping, claims that could put him away for life. >> even if you're not doing anything wrong, you're being watched and recorded. >> he has fled the u.s., so will the u.s. track him down? >>> the nation's newest megatrial begins to

march go kelly for her work and rosen field and his staff for their incredible work and mickey callahan, kate howard angd the various leaders for their support through the last few months. i want to thank mr. lee and i hope this will help the last remaining. the rest i submit. >> supervisor kim, supervisormar? >> i would like to invite my colleagues to the balboa theatre what some might feel brings back a lot of memories. some are saturday movies. there is popcorn palace that began last weekend and continues this weekend with a showing of assortment of kids movies. you get popcorn and a bottle of water or juice for a really good admission price. it's made possible by the independent film makers of the northwest film festival. also beginning june 1, saturday morning are filled with children's classics. i would like to invite a number of you to attend these events. some of you know that friday nights in district one at the museum is a great opportunity for family and art making for kids, but there is -- every friday is an amazing time for art, music, creativity and for families. a performance o

kate in the number one position. 33.35 that is the time to beat. it's the best two that count here and we'll count it off with kelly rossi and nitro 38.18. mistake free run in round one which means they'll to have pick up the pace if they want to get down to the 33 second mark. >> the first go round right now i think kelly is going to push it for that extra speed to try to get a spot on the podium. >> sometimes pushing the speed is when you can see more mistakes happen but they have nothing to lose. they already got a clean run under their belt. >> wow. >> yeah, he likes to jump big and when you're getting that much air over the jump it actually costs you more time. jumping tighter and lower is a better way to try to maneuver. but they have another clean run here and i think they'll improve on their time. >> wow. coming in at 35.79. great job. not enough for the number one spot but faster than round one >> very nicely done. all the way through the course. working together and improving that speed. >> and here's the special story we're talking about. these guys in their first incredible dog challenge competition. jean and versace. >> she'

kate just weeks away from becoming a mom. how her path to motherhood compares to princess diandiana'. >>> and our exclusive with kelly osbourneall. which of these stories would you rather see, we want your input. so vote. extreme roller coaster versus extreme bride. vote at goodmorningamerica.com on yahoo! right now and you'll see it all on "good morning america." recommended, the most preferred, the most studied multivitamin brand. recommended, the most preferred, the most studied multivitamin brand. recommended, the most preferred, the most studied multivitamin brand. [ male announcer ] if your road trip stops at the corner of "taking in the scenery" and "hey, they're taking our stuff," no need to panic. walgreens has over 8,000 stores across the country with all your prescriptions on file and just about anything else you might need along the way. because you never know what the road will bring. so swing by walgreens today for all your summer must-haves like snacks and sunscreen, right here. at the corner of happy and healthy. our ships are designed for wow. ♪ oh ♪ sometimes ♪ i get a good feeling ♪ yeah ♪ get a feeling tha

kelly mentioned transports, watch the rayls. coal-related. >> jim's 6 in 60 in a moment. [ kate ] many women may not be absorbing the calcium theye they don't take it with food. switch to citracal maximum plus d. it's the only calcium supplement that can be taken with or without food. my doctor recommends citracal maximum. it's all about absorption. it's easy to follow the progress you're making toward all your financial goals. a quick glance, and you can see if you're on track. when the conversation turns to knowing where you stand, turn to us. wells fargo advisors. >>> another rough day at beginning. down dow 188. 6 in 60, isis. >> diabetes good news over the weekend. and maybe they have something. anytime you have something big for diabetes, it's positive. >> fbr neutral on amd to buy. >> i've been trying to select a couple of the contrary plays. amd a couple of cycles with gaming, like this call. >> xilinx. >> the stock is very good. i like it. >> nike does report this week. >> okay. nike not constructive. they have china, no one wants china. >> jpm on google. >> one that you may want nobody few think things are turning, fun