scott kessler, s&p capital iq. cory johnson, come in on alibaba.eople have to sell something to buy something else. >> these guys know the game. i'm curious what they will say about this. as far as portfolio allocations, david knows his stuff better than i do. you would want to own the best thing out there. one thing i will say, the 2013 numbers are actually, we talked about the 25% net profit margin, it is better than that. there was a one-time payment to yahoo! of $561 million. that comes out of their net profit. it is a one-time item. there is no associated costs with that. using my adjustment, that is a 35% net profit margin that is impressive for this business. it is such a large scale. >> david garrity, what you make of this? 1.4 billion as listed as the profits, sales at high point -- you had in this additional $500 million payment to yahoo!, you have margins which may be enviable margins? >> one have to look at the cost of how they are allocated and accounted for. on an ongoing basis, as investors look at this on the institutional side they

thanks to scott kessler of s&p capital iq, eric jackson of ironfire capital, our own cory johnson, andavid garrity joining us from gba research. this is "taking stock lowe's quote on bloomberg. ♪ >> a boycott in beverly hills. nine entertainment events have been pulled from the beverly hills hotel and the hotel bel air. why? both properties are part of the dorchester collection owned by the brunei investment in the -- agency. the sultan just enacted islamic criminal law. it will include death by stoning for rape, adultery, and sodomy. united nations has criticized the code. jon erlichman is standing by. jon? >> thank you. our thanks for joining us. your reaction to the boycott? >> i think it is a misdirected at the beverly hills hotel the dorchester collection. we are international company incorporated in great britain and owned by a sovereign wealth. last year, the sovereign wealth --d accounted for $5 billion $5 trillion worth of investment around the world. 75% of that investment came into the united states and was very in stimulus. >> it is true there are a lot of investments in u.

we are stunned by what judge kessler called the department of defense's intransigence on this matter. what happened was the day before that, on wednesday, judge kessler at a status conference on this case requested that the department of justice and, by extension, the department of defense, work with us, mr mr. diab's attorneys on modifying or coming up with a compromise that would allow mr. diab to retain his health while not using the procedures that we allege to be abusive. we propose a series of modifications that would have allowed mr. diab to continue to be if he had. the department of defense rejected every single one of them. >> the first point, just to abrupt you for a minute, why, then, did the dod allow this in the first place if it is as abusive as you say? >> our best guess for that honestly is that the department of defense is using force feeding at guantanamo as a pun i have been measure. the department of defense has said over the past 12 years that guantanamo has been open that hunger strikes are being used as asem asymmetrical warfare. >> they say that to this day. t

. >>> and scott kessler sees plenty of harmony between apple and beats. scott, you know, this subject all day was getting debate on both sides. either you love the deal or hate the deal and you just heard jean munster saying it was a bad deal, so why do you love the deal? >> yeah, i don't know if i love the prospects of the deal, susie, but i do see a lot of positives. most notably, apple is already in the business that beats is focused on, or at least beats electronics is focused on as well as beats music. so first of all you have the accessory business generating about $1.3 billion in revenue for the march quarter. and obviously that beats bread and butter. they make headphones and speakers and apple felt a lot of those. so obviously we're moving the kind of middle man from that process, makes those products more profitable for and -- apple. but more importantly on the product side is beats streaming service that you referenced. it is newly launched but something that apple is looking at closely. they're very interested in kind of trying to better pursu

kessler, why is this an interesting deal?would be interested in his comments about displacing digital by streaming. online streaming has gone from 10% to 25 or 30%. digital is declining. i think that is the future and the market will react. >> this is about itunes and the lack thereof. >> right. the way to think about it is two things. one, if you go back 3-5 years, clearly, the download was a lot growthcepted and a category. there has been a shift where streaming is a lot more appealing in terms of growth and additional opportunities. the tother thing is -- when you look at apple's businesses, the itunes business was doing well. they have businesses in place. the other thing is car play, which they rolled out recently. >> scott, what does this say about tim cook? is, fromk what it says the beginning, we have indicated that tim cook will be a more ceo thannal type of steve jobs was. we have seen that in terms of tim cook being willing to allocate capital to a dividend. he has done a number of things on the m&a front. also, i

. >> noreen kessler: and you just see a whole new person, a whole new beginning. like they're reborn. i can't think of another word but phenomenal. [ music ] >> roma downey: as a mother, i would do anything i could to help my child live a normal life. and i'm sure you would, too. but what if you couldn't do anything? what if you were totally helpless? that's the situation for hundreds and thousands of parents in developing countries whose children are born with cleft lip or cleft palate. in the united states, these deformities are corrected shortly after birth. but in many countries around the world, these children are left untreated and are shunned. [ music ] [ children's voices ] >> roma downey: i'm in le loi hospital. the volunteer operation smile medical team has come from all over the world to perform surgeries, and parents have brought their children here, hoping that they'll be selected. nine-year-old sut has been ridiculed and rejected all his life. sut isn't even his real name, but that's what he's been called from the day he was born. sut means harelip;

"at least one of kessler's former students is standing by her. >> nothing strange at all.i really enjoyed her class. >> reporter: amid claims of a classroom cult. in the lawsuit the parents say they've had virtually no communication with their two older girls since last summer. the suit seeks unspecified monetary damages. >> all right, mara thanks. great to have you with us on a holiday morning. lara. >> more on that rescue on mt. hood caught on camera. a mountain climber saved after a terrifying fall. he plummeted hundreds of feet down the slope and abc's john muller has the details. >> reporter: this morning, 59-year-old michael adams is in serious condition after a dramatic black hawk helicopter rescue saturday at oregon's mt. hood. >> our initial assessment was that it was quite grave. >> reporter: adams described by his son as an avid climber slipping while at an elevation of 10,000 feet and then plummeting 750 feet down a slope landing in what's called a fumerar. >> it looks like a sinkhole with a drain in it in the middle. i mean you just -- if you fall on the mount

commissioner who has his own battles with weight, david kessler.nt officials, he's eager to ban things for you and if it's government's job tor protect public health, why not ban certain foods, bad foods? let's ask the person who runs keep food legal organization. food is legal. >> less and less so, i guess in recent times. we have soda ban in new york city and transfat bans. >> proposed in new york city. >> proposed in new york city. nw currently in the courts.. used to be that they fought polio and smallpox, did things they were supposed to do. now they're fighting against food choices. next they'll tell us when weoice should go to sleep. >> i call them the totalitarian left. but they have a good cause. katiee couric somehow says over 95% of all americans will be overweight or obese in two decades. how can they make a statement like that. s >> only 95%? >> yeah. i don't know where the science comes from. but i'm pretty sure it's not from scientists.know >> here is one part of her movie that we could both agree with. >> the sugar industry is extra

. >> we want to point out a big thank-you to the kessler collection and the castle hotel for furnishingfurnishing the tickets. >> i'm here to help. you and i will get through this together. ♪

on friday, district court judge gladys kessler ordered a halt to the force-feeding and told the military preserve video footage of the practice until a hearing this week. a court hasrst time blocked a force-feeding since the guantÁnamo hunger strike began over a year ago. the telecom giant at&t has agreed to buy satellite television operator direct tv for $48.5 billion. it is the second major media takeover this year following the merger of comcast and time warner, which remains up for federal approval. in a statement, the media reform group free press of the at&t directv deal would hurt consumers and stifle competition , calling it a result "of more than a decade of shortsighted fcc policies that have encouraged consolidation over competition." the auto giant general motors has been hit with a $35 million fine over its concealment of safety defects linked to hundreds of deaths. gm began recalling millions of vehicles this year despite knowing of a faulty ignition switch in its vehicles at least a decade earlier. the transportation department fined gm on friday as part of its probe into

and on kessler man has to give up his pet poodle not talking dogs and cats with a full-blown alligatorsetter bowl while live police said as opposed to small print so they took them away in there to give them to a steam park ridge he has a week to find a place to keep them otherwise, they go sudetenland or something. about wildlife byrd had to get the dry land and he was unhappy about any of this. the gotten hook out of his mouth and there he is happy and back to the water. >>: coming up on the kron4 morning news working on several developing story for the top of the next hour following gas prices and significant drop we could see. it will explain. and keeping their eyes of the big changes proposed rsh's niatures. chsings ha the fun. beuse there's a ttlesomethi. hersy'miniures, chse your owdelious. i cobecae itburned. itas a bi codn't sit up asirst lady ourchurch we v. havactities. it wld sm li it uldset it ofi d i uld't do anyf that. female narrator: for over 60,000 california female narrator: for over 60,000 california foster children a pair of shoes is a small but important gift. my s

kessler, always a pressure.s through no fault of his own. what does he think about it? we're going it find out. he's sitting down with anderson cooper exclusively tonight on "a.c. 360" only here on cnn. >>> coming up on "new day," dedicated volunteers find the perfect dog for the perfect owner, but what makes them so perfect for each other? we'll tell you, just ahead, in "the good stuff." [is engineered for comfort.hing that goes into a lennox system like parts that create your perfect temperature and humidity or the parts that purify the air. together these parts can cut your heating and cooling bills in half. which is quite comforting. and here's the best part... call now to get up to 1,700 dollars back or special financing on select lennox home comfort systems. offer ends june 13th. plus download our free lennox mobile app with an energy-savings calculator. if your current system is 10 years or older, start planning now. and take advantage of special financing. so call now to get up to 1,700 dollars back or s

scott kessler will join us with his first ideas.rsation is less about the headphones and more about this dreaming capability of what jimmy ivey ovene and dr. dre have done. tom, thank you very much. tom keene back at the top of the hour. let's talk telecoms. we had numbers from telecom this morning -- telefonica this morning. they agree to a $1 billion deal that makes it the most powerful tv broker in spain. david tweed has been following the story. shares came under pressure early. tell us what is going on behind the numbers. >> you look at the numbers and you can see there are a couple of things going on with telefonica. washare taking a bit of a because of the decline and some latin american currencies, in particular the argentinian peso down 18% in the first quarter. it looks as though they are going to have similar difficulties in the second quarter. that might explain why we have seen the share price weakness. on the other side of the coin, you have mentioned telefonica trying to do what it can to find new revenue streams, whi

district court judge gladys kessler ordered a temporary halt to the force feeding of. a syrian who has been cleared for release since two thousand and nine though the government claims of videos are not relevant to the case at hand the court says they must release thirty four videos of force feeding to his lawyers and the court not the public this is the first time a non government official will view footage of the force feeding which began after detainees started staging hunger strikes to protest indefinite detention over one hundred detainees participated in the strikes at their peak in two thousand and thirteen there are one hundred fifty four detainees still at the guantanamo bay facility now judge kessler has previously referred to force feeding as quote a painful humiliating and degrading process and the un has called it a breach of international law and recent court filings has called it quote torture writing then especially when the m.p. is holding the neck when they try to force the tube through the throat it often catches and they cannot push it through at ti

park will have special pricing with the bring your friend of for kessler's content for friends or familymbers for 1999 peace not to bad. >> : be open today in tel 7. >> : mother's day is celebrated all are on the world is morning seven sentences: celebrate mexican mother's day to celebrate the california historical society with the marriott to bend to bring oftel is exhibit honoring one of sentences goes on in mother's. >> : more sobering nice to mother's days since 1942 it's been celebrated on may 10th and honor to find another a stethoscope considered of severance go because the first one to receive a gland and for small farm and what we know today >> : the exhibit will be on display until june 8th. >> : tickets available for the final football than a campbell's part could jam packed with former nfl stars did of then called legend of candlestick garrison roger craig all expected to take part of feel the flag football game on july 12th against other former nfl greats like dan marino. game that you'll surely remember your fan and how to get tickets to the event on kron4-dot-com. straight

when leon hundred earners kessler announced turning them live inside our mobile at pretty to watch the from wherever you are the featured guests like the love new cast. traffic has been a nightmare was held check out the traffic call before you hit the road. alicea got to move traffic conditions and the bay area. as a got a recovery is seeking to the hour is now going on bay area that might affect you will send out breaking news alerts through our mobile app and turned on a notification sentes. ♪ ♪ get 5% cash back at lowe's this quarter so you can score more cash. activate your 5% cash back at chase.com/freedom. chase. so you can. alone in a hit on some pressure anti-u.s. had not tested at a foreign ciliate look at some of the wedding photos a couple of two years when at the 16th century for the firm of clauses family members friends and see folks driving saucers that here is john legend and his wife he of course anger at the wedding but the family fare has share felon, according to tim z. and her brother rob got into some of them my argument and landed back in l.a. before canton and

jeffrey kessler joins us. sports law attorney, partner at the firm of winston and strawn, llp.w the documents. you're the right guy to talk to. i'm going to represent sterling's interest in this. just to help people kind of follow along with the process. all right? the first question is, can you do this? you represent the owners. can you do this to me in the first place? can you hold a vote and see whether or not i have to sell my franchise? >> well, the constitution and bylaws says they can hold the vote. they have to bring a charge. he gets to respond to the charge and there's a hearing. it all happens supposedly within 20 days under the constitution and then they make a decision with the vote. that's colorly in the document. >> it gets heavy here because it's why. why can you do this? it says in the constitution for violations of article 13. article 13, i read it. there are several reasons given here. six, seven, eight reasons. none of them seem to fall under the category of what we're talking about here. it's all about not paying dues, not doing the right things as an owner

this is this federal judge gladis kessler she says she faced an ag anguishing obstinance choice involving jihad ahmed mustafa this guy has never been convicted of a crime never even been charged with a crime in fact that we are quite certain he was just an absolutely innocent guy that somebody got a five thousand dollars bounty for and and he's trying to kill him so he was cleared for discharge. by the bush administration wow and he's trying to kill himself now six years later by not eating because he keeps pulling is feeding tube out they've got him tied to a chair twenty four seventh's and this judge is like you know we've got to figure out a way to keep the feeding tube in without having him time why is that not torture it is torture i mean it's like i don't get it why don't republicans just say ok fine use federal money to let these guys go why well where is harry reid in all this this has nothing to do with her sure it does harry reid has absolute control of the united states senate he decides what's comes to the floor how many times does harry reid go on the floor and said we're goi

. >> we want to point out a big thank-you to the kessler collection and the castle hotel for furnishing morning, everyone. thank you for joining us. i'm scott mcgrew. >> and i'm peggy bunker. that mountain lion is the talk of the town this morning, as you might image. nbc bay area's bob redell is live on the peninsula, where the big cat is back in the wild. probably nobody happier about that, bob, than the big cat. >> we presume. good morning to you, peggy and scott. but official wildlife officer we spoke with this morning won't say where, just that he was released north of here, into