mark fields ousted.s on this developing story straight ahead. >>> and netflix celebrating 15 years as a publicly traded company. a look at who the -- what the company has transformed itself into. remember you used to use mail to get dvds. made no sense. they changed that. second hour of "squawk box" begins right now. >>> live from the beating heart of business, new york city, this is "squawk box." >>> good morning, everybody. welcome back to "squawk box" here on cnbc. we are live from the nasdaq marketsite in times square. i'm becky quick along with joe kernen and melissa lee. let's take a look at the futures at this hour. you're going to see that things have picked up a little bit. dow futures up by 18 points. s&p futures up by 2. the nasdaq up by close to 4. we've been keeping track of what's been happening with the treasury market. yields have come under pressure. the 10-year note is 2.52%. and we're watching oil this morning which has rebounded on the idea that opec is very likely going to continue i

and ford mows down ceo mark fields. we'll get you a live report on the automaker's reasons for letting a ceo go. we're less than an hour to the closing bell on this monday. let's start the countdown. ♪ ♪ liz: breaking news with the dow up 87. there's a last-minute strategy session going down both at the white house and on capitol hill ahead of the big unveil. tomorrow the white house budget will be released but ahead of that, we just learned that vice president mike pence will be specifically meeting with house weighs and means committee chairman kevin brady among others to talk tax reform. not just the budget. they will be talking about tax reform. so i need you to watch the lower ticker here. watch the markets because any time there appears to be some type of break through with tax reform, the markets move higher. the president of course is looking for a legislative victory, even as the fruits of his oversees trip are helping move stocks higher today. stocks really began a gain after a weekend that saw the announcemen

it was a surprise, the stock had fallen so much during mark fields' tenure.ou never mentioned mark fields we were listening in on a conference call on the annual meeting and a kind of look like there was going to be some kind of shakeup, but it was kind of surprised that mark fields did get pushed out and replaced by jim hackett. chart, here's a great 8774 the bloomberg and it shows the tenure of mark fields and how the stock dropped from 837% drop. -- it is a 37% drop. shareholders didn't really give mark fields the time he would've desired to implement his strategy. will they give it to hackett? jamie: a lot of what mark fields was implementing was alan mulally strategy, which had invested a lot in more fuel-efficient cars and full-size pickup trucks. that's great except that gas prices fell and american consumers weren't all that inspired by fuel economy. they were behind on suv's, but mark fields had a communications problem with investors and some other stakeholders. you look at this most recent quarter, it's late in march and they announced the lower gu

going to hear or when but we do expect at some point that the board will announce the firing of mark fields there's multiple report that is have come out since last night on this, the wall street journal are reporting that jim is going to replace fields, now, remember, the shake-up comes after a lagging stock prices, stock is down 37% from when fields took over in july of 2014 and ford just recently announced 1400 global layoffs of salary workers. ford is not comment tong reports. again, we are hope to go hear something today, we believe we will. they fell behind tesla in market value, that was a big blow. we should say the stock is under pressure in the premarket, i believe. ford is going to be a stock to watch, everybody, for you as we match marine one. we have business headlines. we have uber reportedly basing their fair on how much it's going to way. the company is using technology. uber figures out riders willingness to pay higher price during a particular route during certain time of day, this came out because drivers are reportedly complaining big time that there's a growing business

again, we have confirmed that jim hackett is the new ceo of ford, as mark fields has been removed fromjob after 28 years with the company. guys, back to you. >> and fields of course, could get the company to deliver in terms of share price. >> right. >> but in terms of this election of mr. hackett, what will investors take from this? as you said, not only do we see the head of smart mobility of the business, but his past before that has not been really as a traditional auto ceo. >> correct. he's the former ceo of steelcase that was a company going through transition. generally get hallmarks for how he was steering steelcase, again, that's not an auto company. however, he's a one-time director for the company. and he's the president of ford's mobility. it's not like they're bringing in an outsider, someone who doesn't understand what the auto business is all about. the key for jim hackett in terms offed for making the move investigate son nature for investors laying out some kind of a vision and benchmarked perhaps in the relatively new future and saying is this what we expect to make.

>> reporter: mark field is facing pressure, primarily it comes down to this. they're making huge investments trying to reposition the company for autonomous drive vehicles utilizing artificial intelligence and other future technologies. at the same time they're seeing lower profits. compounding that is the fact that they're trying to keep up with old rivals like gm who are looking at record profits, and new rivals like tesla. to drive that point home, take a look at shares of ford and tesla since mark field became ceo in july of 2014. you would look at this and say, wow, tesla must be having great profits. uh-uh. ford has been profitable, very strong profits, yet the stock has done nothing under mark fields. >> is the gain that we've seen in tesla partly because of the ceo? >> reporter: sure. >> and because of all the different and some would say very sophisticated, very out of the box types of ideas that he has, whereas mr. fields is running an old line company that's innovating, certainly, but it's a vastly different type of company than tesla. >> reporter:

he says mark fields will be retiring. mark turbulent be the vp of communications.s promoted up from his old job. she was cio before. alice: we will have a news conference today and we will watch out for that as well. mark fields will officially be retiring. an update on what is making headlines, taylor? is on: president trump the second leg of his overseas trip. he was greeted by prime minister netanyahu who he will meet with later after the arrival ceremony. the president spoke with israel's president. president trump: what is happening with iran, many other parts of the middle east toward israel. benefit.d be the such a different feeling toward israel with countries not feeling so well about israel not so long ago. >> he does not expect any breakthroughs in the peace process. poor, care for the tomorrow he intends to promote a budget that will cut $1.7 trillion from entitlement programs and lower income americans. that is according to a republican congressional aide. democrats say the budget reveals president trump's true colors. primitive surgeries theresa may i

mark fields was trying to turn this company around. jim hackett going to do that fields could not do? perhaps he'll communicate better with wall street, but are they going to have greater investment in future technologies? are they going to cut some of the core businesses that are not making a lot of money, if not losing some money? are they going to pull back, how much effort they put into small vehicles worldwide which has long been a tenet of ford. what are they going to do beyond we're going to make this company sharper focused? i'm looking at the press release, improve operational performance. every new ceo wants to do that. give us something meaty we can bite into, otherwise, i think that wall street will look at this and say, okay, let's see what you're going to do, jim. >> yeah. thank you, phil. because i think that one of the things that's missing here is that i felt that mark fields wasn't in that job for very long. what's the perspective for someone who's covered this industry for a long time in terms of giving a ceo in the

he is best-known for hairdo, mark fields. he had a mullet hairdo, mark fields.football approach. he has lost it as he has become more senior. he is a big car enthusiast. why is he going? he has been trying to restructure ford. he took over from alan mullally, who saved for from alan mullally, who saved for from a financial crisis. he is the only one who did not go to the us government for assistance during the financial crisis. mullally remade it but mark fields took over. he has been trying to get across rudderless cards and the ford boards do not think is going across fast enough. —— he has been trying to get across d riverless —— he has been trying to get across driverless cars. thank you for your time this morning. bye—bye. good morning. may is technically a spring month but i have to say, through the week ahead it is often going to feel like summer. this is how the week started for the weather watchers. a beautiful sunrise. then we cared, it is looking largely dry. there will be good spells of sunshine and in that sunshine it will feel warm, particularly wa

scarlet: ford announced it's replacing mark field as president and c.e.o. bloomberg. ♪ mark: i'm mark crumpton. president trump and israeli prime minister benjamin today reaffirmed what both men consider a long friendship as the president stopped in jerusalem. speaking to reporters, mr. trump said the u.s. has what he called an unbreakable bond with israel. president trump: i believe a new of partnership is possible and will happen. one that will bring greater this region, greater states, to the united and greater prosperity to the world. mark: prime minister netanyahu says he sees real hope for east and the middle thanked president trump fors it which thece on iran prime minister noted was a departure from previous u.s. policy. formers a report that u.s. national security adviser michael flynn will decline his senatea from the intelligence committee seeking documents. according to the associated will invoke his fifth amendment right against incrimination. the supreme court today struck congressional districts in north carolina because race played too large

vonnie: fort replacing the ceo mark fields with jim hackett who has been running ford's spark -- smartility unit since last year. >> there has definitely been pressure at fort because stocks have fallen so much during mark fields' tenure and it was last week that bill ford was defending the company to the shareholders, but he never mentioned mark fields i name. it kind of look like there was going to be some kind of shakeup at order, but it was kind of surprised that mark fields did get pushed out and replaced by jim hackett. >> i have never seen such a time in our industry where technology and competitors and everything is converting to drive real change. it is very helpful at a time like that to have a leader who is very experienced in driving transformational change and fortunately we have that in jim hackett. david: is this a matter of electrical vehicles question mark it is perceived that you are behind some people in the industry. >> it is about ev's and it is about av's, autonomous vehicles and making sure we are investing in the parts of the car and truck business that we get g

to be clear, i did not fire mark field.cord profits of $10.8 billion, irresponsibility of the company's pranking share price them almost 40% in the last three years, is landing at the feet of mr fields. when asked why the stock was falling, the chairman said it was a question of messaging. the traditional auto a nalysts messaging. the traditional auto analysts look at us and say, we feel there is not a lot of upside in the market left and i think the people who are looking at the future are saying, you're messaging needs to be clear in terms of where you're going and how you're going to get there. the head of ford's mobility unit, the part of the company that deals with autonomous cars and ride sharing, is taking over. jim hackett has a reputation as a cost cutter, something ford needs, but his corporate experience is not in cars but furniture and university football. the biggest challenge i had there and we will have here is to have everybody seeing the future, that they can see their opportunity in that. and secondly that

let's start first off with the decision to fire mark fields. why now, and for how long had you and the other board members been discussing the need to replace him and bring in a new ceo? >> well, first of all, i didn't fire mark. he chose to resign after a discussion he and i had on friday. i think that's very important. but you know, we only decided on friday that i would go and talk to mark, so i did and we reached this conclusion and then we moved forward with jim hackett. >> susquehanna capital is out with a note today, raising the question that so many people are raising today and really, you are the person who should answer this being the person who speaks most for the ford family. how much of this decision is driven by the low stock price and the ford family saying enough, we need this company to do better? >> well, you don't make a decision like this based on those kinds of things. frankly, this was a board of directors decision, not a ford family decision. but there's no question that all of us were acutely aware that the stock has bee

mark fields is being replaced.ackett, a turnaround specialist. 2014,feels took over in the traditional car business has struggled. investors have questioned the strategy. we will be live shortly with more on this. global news 24 hours a day, powered by more than 2600 journalists and analysts in more than 120 countries. i am taylor riggs. this is bloomberg. tom: thank you. it is going to be interesting to ford.o keith not on us.er norquist with he has been called among other things the most influential conservative in washington. you are a conservative. is the president a conservative? grover: if you look at his policy on taxes, which is , it isc, rate reduction as progrowth as ronald reagan's. if you look at deregulation, he has gone faster and done more. 14 regulations from obama have been not only undone but permanently undone. you cannot put them back without a vote of congress. the budget he is putting forward is bringing spending down. that is pretty ronald reagan. tom: we will go with that. add due top can yo

trish: ford motors announcing ceo mark fields is out and jim hackett is in. this move is going to help them in this race to develop driverless vehicles, without losing focus on the rest of the business. i want to go to jeff flock, who is in chicago with more on this changing regime. hey, jeff. >> he was trying to do that. i don't know, trish. i guess they just didn't like it. mark fields kind of a friend of mine. i've gotten to know him over the years. you know, he's been at ford for 28 years. that's half his life. he's 56 years old, and he really has had nothing but success in multiple jobs at ford if you look at the performance over the course of his time as ceo. last year, record sells. 2.5million cars sold. best since the recession. record profits, $4.6 billion last year. best since the recession. he relaunched the 150. but the stock just did not keep up. down 37% over the course of his reign and, you know, now they compare themselves with the apples and the googles of the world, as well as tesla. all of those guys, big gains over the past three years and

- chief executive, mark fields.s retiring after -- fiel ds is retiring after 28 years with ford. share prices lost one third. only one week ago, ford said it is shedding 200,000 of its global workforce, and that is about 10%. 10 to cross over to jens korte. jens, what is behind this move, letting workers go? jens: i mean, the stock price of ford gained a good 2%, so wall street welcomes the news. you could say at this point wall street -- one, there has been a lot of pressure on ford, especially after a couple weeks ago when tesla surpassed forward when it comes to market evaluation -- market valuation. in an interview a couple months ago, he said to produce cars, it is very costly and the margins are rather low. if you look at newer technology, that is where the higher margins are. if you look at this entire story from a broader angle you could say maybe the future of the car industry is not so much determined by the old car industry, by detroit, but more from silicon valley. from the technical, from the software p

green if you look at the dow 30. >>> we have this for you as well ford motor company replacing mark fieldst. in comes jim hackett. the stock fell 35% since mr. field took the helm weighed by a ton of debt. >>> sears closing another 30 stores. that ised in ages did to the 150 they have announced will be closed. that announcement came at beginning of the year. straight down for sears at $7 a share. >>> back to the president's trip to the mid-east. one theme, religion uniting against terror. listen to this. >> there is still much work to be done. that means honestly con fonting the crisis of islamic extremism and islammists and islamic terror and we are having a very profound effect if you look what happened recently. and it means standing together against the murder of innocent muslims, the oppression of women, persecution of jews and the slaughter of christians. stuart: isn't it nice to see an american president say the slaughter of christians, accepting what is truly going on in this world. special guest joining us now. the author of, they're your kids, sam sorbo with husband kevin sorbo.

. >>> mark fields out as ceo of ford after only three years in charge. that stock down 30% in that t e time. the road ahead now for the automaker. >>> and a video that has gone viral. a sea lion looking for a snack snatches a child instead. that's quite a tease. look who is joining us. "power lunch" starts right now. >> welcome, i'm becky quick. all three indices up for the third straight session. take a look at this now. the s&p up over ten points. the defense is in focus after billions of dollars in deals announced in saudi arabia. lockheed martin one of the big beneficiaries of the deals it announced. lockheed hit a new high, some of the other defense stocks also hitting lifetime highs. oil is on the move crossing $51 and hitting the highest level in more than a month. right now sitting back below that at $50.65. amazon hitting another all-time high. up more than 120%. this comes ahead of tomorrow's shareholder meeting. >> becky, it's a privilege to have you on the program. i'll keep the coffee brewing. we begin with the president who in just moments

when it comes to ford ceo, mark fields, shareholders were not happy. all about share value for shareholders and during the three-year tenure of mark fields, ford's stock fell poorly -- fell 40%. 20% just the past year and mark fields is on his way out and jim hackett as the new ceo. he was leading the self driving technology program and that is key for the company that said it will focus on going forward. ford's stock is 2% ahead on that news. over recent weeks, the top $2000, for bitcoin, money from attorneys and investors. the digital currency world, $5 billion was invested in that last week, bringing the total market value to more than $33 billion. the stock market is higher in early going after u.s. firms had saudi arabia and other nations this weekend having companies like general dynamics, boeing and raytheon heading higher. on the big board, the dow is up over 100 points and nasdaq gained 25. the market is working with a three day winning streak after that selloff. back to you. >>> industry analysts said the prices of regular gas dropped by roug

more than 40% since mark fields took over three years ago. value is now not only behind general motors but tesla as well. nicole: investors loading up on shares of snapping the the stock rallied 8% yesterday after regulatory filing showed several investors had owned the shares. the things that the bug is $17 ipo. the management goldman sachs group partners all taking stake in snap transparent when it did go public in early march. yesterday's rally comes after snapplunged 23% last wednesday after the first quarterly report as a public company did in best did disappoint investors. lauren: home depot on a list of stocks to watch. analysts looking for the biggest u.s. home improvement retailer for highest result from a year ago because homebuyers are going up and there's been a job. staples this morning. earnings unchanged from a year ago in the revenue. "the wall street journal" reported staples is restoring a sale after its proposed deal to merge with office depot was blocked due to antitrust concerns. tjx will release its latest numbers put th

is mark fields in danger of losing his job? no. he still has the confidence of bill ford and the board of directors. but fields' plan for the future of ford is facing greater scrutiny, especially since it's unclear when autonomous drive and electric vehicles might charge up the bottom line and shares of ford. phil lebeau, "nightly business report," chicago. >> read more about the frustrations surrounding ford's stock. head to our website, nbr.com. >>> emirates air saw its profit plunge more than 80% for the year ended in march. the dubai-based airline was hit by greater demand for travel in what it calls destabilizing events, including president trump's policies. emirates cancelled its dividend payment for the first time since 1996. the airline's chairman calls it one of the most challenging years to date. >>> airline executives are reportedly meeting with homeland security officials to discuss the possibility of expanding a ban on bringing laptop computers and other large devices as carry-ons. the ban would extend to planes flying

so, mark fields, driving off into the sunset.e share price for ford. there was a lot of concern that mark fields was not concentrating enough on the core business and also in terms of future technology. there is a lot to read into the fact that we are seeing the person who was the head of the d riverless person who was the head of the driverless technology is now taking the helm of ford. that is really where we need to see these kind of legacy car companies moving towards. that is where a lot of the development is. that is where a lot of the future is. that is what investors want to see. they want to see ford putting a lot of effort into that new technology, maybe start partnerships with silicon valley to really push through the d riverless valley to really push through the driverless technology. you mentioned some of the challenges that ford is facing. what do we know about the successor, jim hackett, and how he might deal with some of the challenges? well, he has a long track record of both being at ford and other corporate com

it kind of looked like there'd be some kind of shakeup at ford, but it was a surprise that mark fields get pushed out and replaced by jim hackett. >> i have never seen such a time in our industry where technology and competitors and everything is converging to drive real change. it is very helpful at a time like that to have a leader who is very experienced in driving transformational change, and fortunately, we have that in jim hackett. david: is this a matter of electrical vehicles? it is perceived that you are behind some people in the industry. >> yes, it is about ev's and it is about av's, autonomous vehicles. and it is also about making sure we are investing in the parts of our current truck business that we get good returns, and we are not investing in parts of our business where we are not getting good returns. so, it is really about capital allocation as well. >> 22 people have been confirmed dead with around 50 injured at a blast in the u.k. in manchester. it happened just as a pop concert by ariana grande was wrapping up. police confirmed they are treating the explosion as a

mark fields is replaced by a former office furniture executive known for his ability to turn companies around. as we've been reporting, pressure was mounting at the automaker to reverse the floundering stock price and to better compete against general motors and tesla in developing the next generation of electric and self-driving cars. the news sent shares of ford accelerating, rising more than 2% in trading today. phil lebeau has more on the change and future of ford. >> with ford shares hanging close to a five-year low, bill ford and the board of directors made a dramatic shift. mark fields, ousted less than three years after becoming ceo. >> we need to be quicker in our decision making. we need to have clarity in our messaging and communication. and we also need a leader who has transformed a company before. >> the new ceo is jim hackett, 62 years old. while his time at ford as a director and most recently running the company's mobility division have been limited, hackett has seen enough to know the automaker needs a fresh approach. one that echoes the winning formula of former ceo

bill ford junior, alan mulally, and mark fields.reased has seen an , iteadcount off the lows is still lower than the early to mid to thousands, so they have not built back up their headcount. here is jamie butters in detroit. this was a surprise. i'm not sure. or not hiring, i mean, was that really what ousted mark fields? jamie: no, this is not like when bill ford had to make big cuts in the wake of the jack nasser area or alan mullally having to the greatring recession. this is still a profitable company. they are not losing billions of dollars because they have so many factories that he do not need like they did 10 years ago or 10 years before that. company thats is a is doing fine, doing ok on its basic operations, but it does not seem to have a compelling vision for the future, and even its own operations, they are not to out of size, but they are not as sizzling as they could be or should be in a more perfect world, if they had a better lineup to fit the way the americans taste right now. ford's was this about shortcomings as

after three years at the helm there mark fields is out as ford ceo.king over in the corner a guy by the name of jim hackett, head of the company's smart mobility area. jeff flock joins us with the latest, jeff. reporter: winds of change blowing through the auto industry as well as my hair. jim hackett, maybe you don't know who he is, but if you have been following office supply or office furniture industry you might know who he is. he was ceo of steelcase. turned that company around. was on the ford board for three years. for the last year ran the ford mobility unit that is the future, says ford. the past, the history is mark fields. he spent half of his life at ford. 56 years old. he spent 28 years there, last three as the ceo. had pretty good success in course of his run in my opinion. cars sold, all-time record, up to, since the recession. profit, 4 1/2 billion dollars last year. that was pretty good and a record since the recession. relaunched the f-150 successfully but the stock in the tank, down 37% over the course of his run. lost the confidenc

a major move at ford as it kicks out ceo mark fields amid the falling stock price. we've got a special report on the road to a possible turn-around. but first, with estart off with a rally in the market, the gain since the one-day sell-off last week now approaching record highs. tech stocks driving the rally. up 1%. energy is the sector closing lower today. and that's what we've seen all year. check out the sector leaders for 2017. tech, up 18%. consumer discretionary, up. financials basically flat for the year. stocks grind higher. here's the question. do you stick with what's working or start buying the laggards? >> what has been working recently, but not all through 2016, in my opinion, is biotech. 2016 was a lost year for biotech. it's come back in the last month, month and a half, but still in my opinion has a long way to go. i'm a big believer in the market doesn't give you this long to sell the highs, which in my opinion means we're going to continue to grind higher. my one concern last week where it flipped-. market continues to grind higher. i think biotech

mark fields under pressure. you know, i know mark fields very well, as you know. i like him.e's a great man. he's had the right strategy but committed a lot of money to building for the future while they've been profitably spending on electric cards, self-driving cars and the rest. that's concerned some about short-term profitability. they had their most profitable, second most profitable year ever last year. so as we said, look between the lines and get it. reducing costs and backgrounds as lean and efficient as possible, the main part of creating and driving growth for ford. and important to note, cheryl. they're not alone on this. gm also has been laying off folks. fiat chrysler i quoted we are very focused like we are in a down term. may be more layoffs may be to come. cheryl: yeah, you can make them, but you have to sell them. it's cause and effect. >> exactly. you don't want them to have a situation where they make too many cars, have to sell them at a loss and need a government bail out. you'vyou've been there before. >> touchÉ. you and i have both been there. jeff, th

there's a particular pressure on ford and its ceo, mark fields., the board of directors a scheduled extra time to have fields explain his strategy. profits were down 42% in the first quarter they will be down for the year. they wanted to know what fields was going to do to start turning things around. one of the things they will be doing is cutting staff. julia: what will this ultimately mean for the ceo? we are down 36%. have?ch more time does he he's already cutting costs by around $3 billion. have to turn he this around? mark fields is definitely on a hot seat that is only getting hotter. that's why he's trying to take these bold moves. i don't think there's any eminent moved to push him out. that's move to push him out. onhas to be working developing the self driving cars electric cars. cutting the salaried workforce has to be done surgically. you cannot just wield an ax and take 10% out blindly. they had to keep the talent they've worked so hard to get well -- while finding some fat to trim. scarlet: i wonder, when it comes to what ford is do

ford motors replacing the ceo mark fields.icials briefed on the move and reportedly set to replace him is jim hackett. ford stock has dropped off precipitously during field's tenure. the company slashed 10% of the work force. mostly salaried in an attempt to jump start the stock. that did not work. nbc news has not independently confirmed the report. >>> still ahead, we are awaiting president trump and air force one touching down no tel aviv. >>> and the final curtain call for the ringling bros. and barnum & bailey. the greatest show on earth. we're back in a moment. whuuuuuat?rtgage offer from the bank today. you never just get one offer. go to lendingtree.com and shop multiple loan offers for free! free? yeah. could save thousands. you should probably buy me dinner. no. go to lendingtree.com for a new home loan or refinance. receive up to five free offers and choose the loan that's right for you. our average customer could lower their monthly bills by over three hundred dollars. go to lendingtree.com right now. >>> welcome b

a major move at ford as it kicks out ceo mark fields amid the falling stock price.e turn-around. but first, with estart off with a rally in the

but they did not extend to mark fields, the ceo who lost his job today. more on that in a moment. and who will kraft heinz buy next. campbell had a tough quarter and maybe the family behind the company is ready to cash out. pinnacle tried to sell itself once before, much lower price then. maybe he's got his hat permanently in the ring. but to me, today's about how cloud computing has become the big winner, both on the track and in the stock market. when the president's on the road, the market turns to what it does best without the company's help. the cohorts are the ones that are riding the winning horse in the triple crown, cloud computing, both here and in the triple crown. john in connecticut. >> caller: boo-yah, jim. >> how are you doing. >> caller: i'm doing great. i'm interested in general dynamics, i worked for the company for 30 years, i'm thinking the target price could go to 220 by the end of the year. do you agree with me? >> i agree with you, general dynamics is a great company. it's superior in every way, you've got a winner, congratulations for working there all thos

mark fields is out after less than three years on the job as ceo.ell 37% during his time in office. the new chief executive will be jim hackett who has been leading ford's moves in self driving cars and ridesharing. julia: on that news, bloomberg spoke with executive chairman bill ford. here is how he categorized the need for change. i'm very grateful to mark for everything he did for our company, because he did amazing things, but we are in a different time, and it requires the kind of leadership that jim will bring us. julia: joining us from detroit is bloomberg auto reporter keith noting. we were talking to you about how long the ceo still had at ford, and clearly, he only had a few days. what are you hearing was the ultimate reason for his demise? was it the share price performance or something else he ago -- else? keith: the share price didn't help, but he seemed to be slow in decision-making, g.m. stealing the market from ford in pickup truck's. she wasn't working to fill those gaps quick enough. a also failed to articulate vision about where

ford shares are down 37% since ceo mark fields took over.the stock? let's ask phil lebeau with the headlights. stocks did not perk up, bill. >> no. we listened to annual meetings, a web cast opposed to other annual meetings where you're there in person, and here's the questions heard from investors, basically comes down to this. look at the chart here, see what ford stock did since the ceo took over relative to the big three competitors, gm and fiat-chrysler, since july 2014. the company heard questions from people saying, well, what are you doing about the stock price? they are investing heavily in the future and believe not only they run the business of today as profitably as possible and second most profitable year ever last year, but investing in autonomous drive vehicles, electric models, and mobility solutions. they believe the future will pay off at some point, probably starting at 2020, 2021. here's mark fields talking about the era of transition ford is in right now. >> we're going through the transition. we are embracing it. you'll

. >> when we come back, mark field is out and jim hackett is in at ford. what are insiders saying?ob lutz will weigh in. we speak to an early investor in companies like netflix, air b&b, and netflix and go daddy on the state of tech. >>> call it the last waltz. walt mossberg is hanging up his gloves and will give us highlights on his long and storied career. back in a moment. (shouting) more power tools. more power suits. (shouting) more power... chords. with customized loyalty programs and data-driven insights, synchrony financial can help bring more... power to your business. >> the congressional budget office and wall street economists think the next decade will be more of the same. >> we reject that pessimism and say we should have gone in and assumed 3.5 to 4% growth that. would be aggressive. >> if we don't bring >>> we are following the ceo shake-up at ford. joining us now, bob lutz, who also held senior leadership positions at ford and bmw. great to see you. i would love to get your take on this ford ceo transition. it seemed a few months ago, we were talking about north am

he's taking over for mark fields. ford stock has dropped 40 percent in the three years since fields became ceo. the executive chairman calls hackett a visionary who can lead the company into the future. >> a time of great change requires a transformational leader. thankfully, we have that engine. >> both of us feel like over years what happens in big corporations, the bureaucracy and the hierarchy is probably overwhelmed. what can be a faster decision-making, clearer understanding teams, working collectively. >> he currently runs the self driving car effort. ford's stock is up slightly this afternoon. as for the market overall, the dow is up 90 points. >>> still ahead, flames send an awning crashing down trapping a firefighter. how people came together to get them out. >>> new guidelines when it comes to kids and juice. how it may have some parents changing their routines. >>> hi, everybody. we start off with a huge clouds in the coast. we got sunshine inland and the hot weather continuing and the inland areas. we talk

mark field has invested a lot in new vehicle technology, driverless cars.vestors are concerned that those investments won't necessarily bear fruit n fairness to ford this, is not just a ford issue. if you look at the inventory right now of all three, big three detroit automakers they have a lot more cars than they need right now in terms of inventory. gm with almost 100 days of supply. ford with 83 days. fiat chrysler with 81. when it comes to lay people off, that is what you want the company to do, make too many cars that sell at a loss, show up in washington, gee, can we get a bailout? liz: we remember that. we remember the bailouts. but i have always argued, i know you're on my side on this. david: if you're going to bail somebody out, bail out automakers who actually have employees who make something versus the banks who move chess pieces on a board when it comes to, you know, the stock market and investing. i'm glad that auto workers were saved. reporter: ford employs 100,000 by itself, much less all the suppliers and the rest. i'm totally with you as

out is mark fields, easy to see why when you look at happened with shares. he took over in july of 2014. the stock was down more than 35% and during that time, he was trying to reposition the company to go into growth areas like autonomous drive vehicles, well, today, bill ford talk ued with us about why he believes this is the time for somebody new to reenergize this company. >> we need to be quicker in our decision making. we need to have clarify in our message iing and communication that's something and we need a leader who's transformed a company before. >> who is that leader? this man. jim hackett. a one time board member of ford. long time ceo of steel case, the office furniture company and for the last year, he left the ford board last year to start up or oversee ford starting up the smart mobility division, the division that works on autonomous drive vehicle, mobility solutions and now, he's going to be bringing some of that along with a desire to redo this company. reposition this company to make it leaner, more nimble, faster, see if it can move fa

the automaker announced minutes ago that it removed chief executive mark fields in a management shakeupreplacing him with jim hackett who ran the company's mobility unit. fields had led ford for nearly three years, his departure amid struggling sales and concern about plans for high-tech cars of the future. cbs news business analyst joe schlessinger is here, good morning. >> good morning. >> why the shakeup. >> look at the stock price indicator. down about 40% since fields has taken over nearly three years ago. but then look at other metrics. profitability, down. sales, sales this year, down almost by 25%. and i think the biggest issue if your core business is down, and you're not innovating quickly enough you are going to be punished by not just the shareholders but also the board. >> was he quickly moving in terms of the places that tesla is? >> no. and i think that's the big issue around innovation. we see not just lagging say tesla, already in the market, but let's just look at google or even gm. it looked like ford was going to be able to produce an electric car by 2021. my gosh th

that is what mark fields has been doing. at the moment the stock price is not good. look at the stock performance over the past year, ford compared to the other three to it three, well, it hasn't been good. they're down double digits. the or the guys are up almost double digits for gm and big-time or bigley perhaps for fca. i think ford is about to become as popular at the white house as the white house press corps because this layoff could be 10,000 jobs lost. the president has been touting how mark fields got on board, saved jobs, didn't build a plant in mexico. that was but as you point out people have to buy cars. if you look at the inventory, it is not just ford, david. it is gm, fca, fiat chrysler as well, they have got too many cars out there. if you look at layoffs across the auto industry, not just ford, gm is i lag people off. fiat chrysler laying off 1400 people coming in july. this is happening industrywide, people don't buy cars, well, you don't build cars. you don't want to build cars, if you do, sell them at a loss, they will be in washington saying ca

the hong kong flag slip carrier tickets d by cheaper and increased competition from china.and mark fields is out at ford c.e.o. 40% and theyropped have yet to make a statement but failing der pressuror to expand the core business. he will be replaced by jim hackett. good news from portugal six years after the bailout the breaching no longer budgetary rules. well below the 3% limit and only three are in the threshold.hat greece, france and spain. we will wrap up with something a little different in aris and other areas the emergence of cats cafes but san francisco is going in a direction. >> no doubt some wonder if this too far. gone bit a new pop-up in the san the rato dungeon called cafe two days in july people can pay $50 per person including all can drink coffee with the and main attraction the san francisco dungien. worn that the fare is either locally grown nor sustainable but i imagine it is organic. >> no, thank you for that. ow it is time for the press review. let's look at what the papers with allison.ng >> we will start in israel where hey are gearing up for the arrival of donal

replacing their ceo as the company drives in a new direction. 66-year-old mark fields is retiring after 28 years. the stock fell. jim hackett will take the helm. he was called a visionary as it leaps forward into self driving cars. >>> memorial day weekend is fast approaching and some are scrambling to get into shape for the beach or the pool. you may not lose 15 pounds by saturday, but you can kick-start your journey with a plan that works. here's ali gorman. >> reporter: fad diets are out, personalized diets are in. meet a working mother who tapped into virtual nutrition sessions. she learned how to tweak her diet while enjoying her favorite foods like pizza. she lost 30 pounds in 4 months. >> it was an amazing feeling, i was a size 18 and then 16 and now i'm a size 12. >> reporter: we'll show you what you can do to shape for up for summer. tonight on "action news" at 11:00 p.m. >>> breaking news out of glassboro, new jersey in gloucester county. police are asking for the public's help finding this little boy, sean michaelson he was last seen in the area of the elementary school at ne

jim hackett takes over the auto maker after the company's board decided to oust mark fields. ford is hoping a new boss will push the company to move faster especially when it comes to developing technologies like self-driving cars where the auto maker is fighting the perception it's trailing competitors like tesla. >> way we're going to win the hearts and minds of everybody is have grade ideas of work and ford has put a decade into the av development and it's really coming along and when we're ready to talk about it we're going to be really clear about it. >> the pressure on ford reflects an industry at a cross roads from self-driving cars built by tech firms to the growing popularity of ride share companies. many question if consumers will be buying fewer cars and trucks. new vehicle sales have cooled off slightly. that's prompted auto makers and dealers to offer bigger rebates and incentives to close deals but that may not be enough to convince new customers to buy new instead of used. preowned vehicles have become more attractive because prices have fallen. you'll see ampl

nbc is has confirmed reports that ford is firing ceo mark fields. announcement that is expected this morning. he will be replaced by the head of the autonomous driving unit, jim hackett. the move comes as ford's board and chairman, bill ford, reportedly unhappy with the automaker's performance. ford's stock is down some 40% since fields took over as ceo in 2014 at the peak of the auto industry's recovery. over to you. >> all right. thank you very much. we appreciate it. landon dowdy with cnbc. thanks. you have one more story for us? >>> jury selection set to begin in just hours in bill cosby's sex assault trial. what what's being done to try to make sure jurors are impartial. >>> makes me feel like we really have this evil lurking. >> and taking cover. witnesses describe the moments nine people were shot in north philadelphia as the gunman remained on the run. keep on going, america. keep on giggling... and goofing. keep on grooving... and togethering. with scott 1000's long-lasting roll, we'll keep on going, too. scott 1000. america's longest lasti

mark fields could be out according to an anonymous source. ford's stock has dropped for three years hchl'll likely be replaced by jim hackett who joined ford's board in 2014. he's been leading the company's self-driving effort. >>> the dollar is expected to come under more pressure as the investigation into russia's involvement in the u.s. election is potentially undermining the u.s.'s confidence. the s&p finished 9 points lower. the nasdaq was down 39 points for the week. >>> while president trump was in saudi arabia, boeing announced it reached agreements to sell both military and aircraft to the saudis. boeing said the saudis have agreed to buy helicopters and maritime patrol aircraft. it will negotiate with saudi gold aircraft to buy 16. the body of the detail not disclosed. >>> a british newspaper says the rules it uses are those of facebook's method for monitoring content. it values rules on violence, terrorism, animal abuse, and nudity. for instance facebook allows videos of abortions as long as there's no nudity because facebook doesn