mary thompson has more on merk's restructuring and what's next for the company. >> drug giant merk is slashing expenses to sharpen its focus. here's ceo kenneth fraser. >> this is not a change in our strategy. this is all about greater focus and about generating greater operational efficiencies. >> the changes betting merk's future on four areas, vaccines, diabetes, oncology, and acute care. to get there, it's cutting $2.5 billion in costs by 2015. it's trimming 8,500 jobs, on top of the 7,500 cuts already announced. shrinking its workforce by 20%. it's reducing its real estate footprint and abandoning research products with little promise. and while merk still expects to earn $3.45 and $3.55 a share this year, independent consultant barbara ryan says recent product delays and the failures from key drug trials forced merk to act now. >> clearly, that hasn't delivered results for shareholders that are competitive with their peers, so i think this represents the fact there's pressure for them to find ways to improve their return. >> the expense cuts seen helping merk's bottom line in th

new revelation from a german newspaper which says the nsa listened in on german chancellor angela merk,l's phone calls and that chief keith alexander briefed the president on the spying in 2010. the obama administration denies it, saying news reports claiming otherwise are not true, but members of congress are skeptical. >> the nsa works for the president. so it's a question of, did the president want to hear what chancellor merkel was saying. he knew or should have noun. >> reporter: others say the white house has to answer. >> i think the president should stop apologizing, stop being defensive. has saved thousands of lives, not only in the united states, france, germany throughout europe. >> reporter: the wall street reports -- a white house review uncovered the operation this summer. cbs news washington. >> and more damaging information could be forthcoming. the american journalist who first reported secret documents given to him by edward snowedden tweeted "the guardian" newspaper will publish today. >>> lieu reed has died at the age of 71. >> [ music music ]. reed's agent said wil

drug maker merk is cutting 8,500 jobs on top of almost 7,000 cuts already announced in order to slash $2.5 billion in costs. and gearing up for a boom in online shopping, amazon.com will hire 70,000 workers this holiday season. be sure to tune in >> rose: welcome to the program. tonight, sir alex ferguson, the great manager of manchester united on football and life. >> the best moment has to be, of course that was the trophy i never won. this is always the opportunity, and winning that, and the way we did it, you can never forget it. i think that encapsulate my life is to have 27 years at manchester and 18 defeat is an achievement. the continuity and the consistency that i created and going out to the chop, i can't ask for anything more. that's for me an achievement that i ever wanted to achieve. >> rose: sir alex ferguson next. captioning sponsored by rose communications from our studios in new york city, this is charlie rose. >> call to order. the most respective tribute for the man they all call the boss. >> rose: sir alex ferguson is here. he retired as manager of manchester unite

>> strategy shift, merk, widely held stock is undergoing a massive makeover, shedding jobs, flashing costs as it looks for a way to compete with the generic manufacturers. >>> and open for business. the health exchanges are up and running and the ceo of wellpoint, one of the system's biggest players, tells us what to expect as the

has been tracking angela merk merkel's phone for years.e say president obama was told about it in 2010 but did not stop it. nsa is denying that. the syrian government files reports regarding poison gas and nerve gas. it was led by the organization for the prohibition of chemical weapons ♪ sea change ♪ >> wrong and role legend lou reed has died. the 71-year-old was a major influence on music in the '60s and '70s. he is known for sweet jane, "perfect day" and "walk on the wild side". >>> al jazeera america is looking for desperate people around the world willing to risk everything for a better life. the u.n. says not since 1994 have there been so many refugees. war remains the number 1 cause. the u.n. says more than half come from five current trees: afghanistan, syria, iraq, sudan and somalia. afghanistan tops the lists the. one in every four refugees worldwide is afghan. the majority in pakistan and iran. seeking a life awe broad can be filled with dribbles. frequently the routes are dangerous on small boats or trucks and along the way, re

>> strategy shift, merk, widely held stock is undergoing a massive makeover, shedding jobs, flashings it looks for a way to compete with the generic manufacturers. >>> and open for business. the health exchanges are up and running and the ceo of wellpoint, one of the system's biggest players, tells us what to expect as the

>> strategy shift, merk, widely held stock is undergoing a massive makeover, shedding jobs, flashingts as it looks for a way to compete with the generic manufacturers. >>> and open for business. the health exchanges are up and running and the ceo of wellpoint, one of the system's biggest players, tells us what to expect as the insured begin shopping for coverage. all that and more tonight for "nightly business report" for tuesday, october 1st. >>> good evening, everyone. it is day one of a partial federal government shutdown, and if you're like most people, you didn't see this one coming, stocks ended the day higher. here's what a congressional stalemate and failure to reach a budget deal looks like in washington. two-fifths of all government offices have been shuttered, parks and monuments, medical research products put on hold. 800,000 federal workers furloughed, told to stay home without pay, and president obama warning republican lawmakers about how harmful past shutdowns have been and why congress needs to reopen the government, restart federal services, and get people back to w

es muy probable que est unidos sÍ haya espiado las llamadas de celular de la canciller alemÁn aela merkentrol del fuegperdiÓ laida al estrellarse en el sur de galÉs, las malas condiciones en donde cayeron los restosa complicado, aÚn se desconoce el mo de este siniestro. mÁs noticias aquÍ en un nuevo dÍa r lo pronto mi compadre diego y danny listo con deportes. >> gracias mi querido edgardo, gracias. >>laro que sÍ,stamos listos porque ayer hubo mucha actividad portiva y hoyÍa tenemos nuevamente a laue mÁs sabe de deportes. >> ¿no es cierto? >> sÍ, mireya ¿cÓmo estÁs? >> muy buenos dÍas amigo de un nuevo day y gracias pora introducÓn y como lo dicho sÍ que hubo acciÓn deporti anoche arcos sque comenzamos. comenzamos con lliga de campeones "chicharito" hernÁndez ni clos ela fueron la cla ya que el united le ganÓ al real sociedad 1 por 0on un autogol minuto en la puertentr rl eaÑol inigo martÍnez mala manera de terminar un pao. >> seguimos con la liga de campeos con el partido ere el real madrid y la juventus bajol cando de cstiano ronaldo y sus dos goles, se impuso y asÍ ya estÁcasi adentro

week by phone and we've seen outrageous reports of spying on allies in germany and mexico, and angela merkte house responding? >> well, generally the white house doesn't respond to the protests and the protests are more in the domestic side of it in terms of the nsa collecting data from private citizens of the united states. but the white house is responding where our allies are concerned and that is the surveillance of foreign leaders. and they're trying to calm some of the tensions that have arisen especially with germany saying that they understand the frustration, they've also acknowledged that germany is sending a delegation in the coming weeks to the united states to meet with some of our diplomatic representatives. so, in general, the white house just understands where it's coming from, where germany is coming from, but we'll see what happens with this. they're not talking about really tamping it down much, but president obama has ordered a review. so, we'll see what comes of this in the coming weeks, don. >> as you said, we shall see. and it looks like a beautiful day if you're goi

and axel murr, chief investment officer at merk investments.'re much of a yellin fan, are you disappointed by the presence choice today? >> i am disappointed. after the larry summers fiasco the president's got himself into a corner where he noted choice but to appoint yellin. i accept anybody on my short list, probably not on the president's short list. i think she probably has the 60 votes in the senate, certainly some republican opposition. they will grill her going forward on her record going forward, and a lot of issue of her behavior as the san francisco fed. essentially sitting on a housing bubble and didn't see it. she is not my choice but she is the one we are going to. cheryl: something appoint two, her history as a san francisco fed president and some of the other votes she has been a part of. do you think that taints her in any way as the next fed chief? >> it defines her. the key is at the heart of what she is talking, focusing squarely on employment. what that means is the federal reserve would continue to try to solve fiscal probl

you know she has a vision about a fair merks, which is really where people have opportunities, and that has been part of her life's work. you also know that she's smart. she knows these issues, and she will either confirm or -- not deny, but enhance whatever it is. and she has plans to get things done. i know pretty soon we'll have a list of a time table and all the rest of what we're going to do about it. you know what? because she is the way she is, as a leader people are drawn to her. donna has a plan, it's going to work. it's going to make a difference, it's going to make progress. that's, as i say, leadership. i want you to know the confidence. i know you all respect her and hold her in high esteem here. i want you to know that esteem is shared by you on both sides of the aisle. [applause] >> thank you, leader pelosi. you remind me as we are closing up, and we will take more questions. earlier on we began to launch we were using some of our allied organizations to get the word out. so we've done google chats and we've done twitter conversations and things like that, and i think tha

however, this morning, the merk is pulling the dow jones down, after a 35% plunge in profits from competitionf generic drugs. the dow is down 6. the nasdaq down 5. s&p up 1. >>> 7:44. today apple will release the revenue forecasts and 4th 4th quarter earnings. apple will be reporting results one week after the company reveals, the ipad air. experts want to know if apple can continue its run of smash devices or if the lower cost iphone 5c will miss the mark. the iphone line is is more than half of apple's profits. >>> 3/4 of all candy handed out this week will be chocolate. hersheys and mars hold down 18 of 18 the top 20 spots and the treat became a tough seller, edging m and ms for the first time. >>> this thing doesn't work. >> nothing. well, turns out a bad grandparent can put gravity in movie theaters. the accident prone grandfather in the hidden camera comedy. gravity sank to second. captain phillips, the counselor, and cloudy with a chance of meat balls round out the top 5. >>> a shocking local story that is getting nationwide attention. pam cook is in the news room be information about

with that i yield to the chairman e merks ritus of the committee. mr. dingell. >> this is a wonderful opportunity to make the affordable care act work. i remind my colleagues the last perfect law came off the top of mount sinai written on a stone tablet by the end of god. nothing so good has happened since. up urge us to use our best efforts to see this new law goes into effect and we carry out our responsibilities to the american people to see to it we do everything we can to support it and defend the laws and the constitution of the united states. i heard some unfortunate things from the other side. they said we have to do neferg our problem to prevent obama-care. get rid of it. i hope they will continue to forget it because we had a chance to see to it that the american people get healthcare as matter of right, not as a matter of financial privilege. i am frustrated as least as frustrated as anybody else in this room about the problems facing healthcare.gov. this is unacceptable. it need to be fixed. we can if we are willing to work together can see

it's particularly striking this week in the drug industry that merk, hour house, and research is cuttingack on research. there's been some points made up there that suggests there are some incentives for innovation. >> thank you. so, you know, this law really acts as an -- axel rabbits. they are demanding more value at less cost for awhile from all of us. and so layoffs in indeed have been happening for awhile. across the board most of the pharmaceutical companies including pfizer have -- exclusivity loss. with that loss goes with loss of revenue to reinvest in r&d. the recent event of the layoff is another good example. there are part of the through a encourage innovation. the fact that the held insurance marketplaces are competitive. patients have choice, that's something we saw through medicare part d. encourage people it look for value. they look for value in the medicine as well as other services. and quality. and quality demands can demand more value. but measures can also go away that are shortsighted and purely cost base. we believe that if the measure of the system really contin