mr. kohn: no. i certainly share the objective of ending too big to fail that is allowing any large financial institution to fail, with minimal damage on the financial system and economy, you absolutely have to do that. that is part of a market system. you have to be ready not only to reduce profits but to fail. and knowing that you are -- your shareholders and creditors have to be ready to lose money. we share a goal. you start from the premise, as you answered, that we have not done enough. i guess i am not sure. it is possible, but i would like to hear more of your arguments about why the authorities want to use the new tools they were given. one of the lessons was one reason that we had to intervene the way we did, i say we because we were on the same team trying to save the system -- because we did not have enough tools. the system was fragile. you have the resolution regime, title ii of dodd frank. you apparently don't think that is going to work, and you don't think people, are the autho

mr. kohn: i think if the system had it in place a number of years before, and on had been issued with the explicit promise that they would be haircut under these circumstances, i think we certainly would have tried at first -- it first, and then the bonds become equity, so the rest of the organization is much safer. baling in long-term creditors protect the short term creditors. that is where the danger was. i think if there are ways of doing that, i think the market is beginning to believe this. look at what is happening in europe and the prices of those. the turmoil that nearly is referencing in banking markets in the last couple of weeks, the risk premiums on bank bonds, and the prices of these convertible bonds have really been affected. it feels like the market believes the authorities will at least to some of this, the creditors to increase the equity of the banks. speech, we, and your are not all the way there. the living will process needs to work out.the total loss absorbing capital ,

mr. kohn: you think of a concern about the reputation of the convert the bonds? mr. kashkari: there is that, but i'm saying the less is that these very clear legal frameworks are not so clear the time of a crisis. mr. stern are you going to go to market to market accounting? it seems to me that is critical here. lossesse regulators, the get delayed. is swampingd out it capital. i know a lot of people and , there was avices rat running around the room. model to lead a model, so what is better? mr. kohn: i think regulators have been pushing more than they have in the past. the market to market is very useful but is tricky on the liability side of the balance sheet. -- when these bonds a selloff, the banks have more equity. it is a tricky issue. recognizing the value of the assets, and the impairments, it's absolutely critical for the health of the system and the market discipline. the gentleman in the front that will call it a day. >> i wanted to go back to the announcement of the minneapolis initiative. you look knowledge is that it will eventually require congression

phillip kohn- there's nothing that puts mr. bailey and ms lobato was killed across the street from the palms there is nothing in the world that ties them together no physical evidence at the scene and certainly no one ever saw them together that's very troubling to me he was crying when i left the state argued that lobatos initial conversation with police was a confession. labato says she was describing her own sexual assault. i didn't think anyone would miss someone like that kephart and diagocomo also had a very important witness. a jail house snitch named korinda martin. kohn says he had proof martin would do anything to get out of jail including lie about lobato's case but he was barred from cross examining her during the 1st trial. phillip kohn-this is a woman who before this trial during this trial and after this trial would do whatever it took to get out i had this letter and i wanted court wouldn't let me ask that despite the holes kirstin blaise lobato is found guilty of first degree murder and necrophilia. phillip koh

tom, i wanted to share with you and others the upshot column by kohn who times nate writes: the official tally for 49.9%, hillary clinton at mr. sanders at 49.6% with 97% of precincts reporting this morning. but in the end, a virtual tie in acceptable if not ideal result for mrs. clinton and an ominous one for mr. sanders. he failed to win a state tailor made to his strengths. e fairs best among white voters. 91% white pere was the entrance polls. he's heavily dependent on turnout from young vote ers and ad months to build a robust field operation. as the primaries quickly unfold, he won't have that luxury. white state ust a but also a relatively liberal few states e of a white arack obama won voters in the 2008 primary and elections.l in the end, mr. sanders made strengths.l those e won an astonish iing 84% of those aged 17-29 years old. by a forming mr. obama wide margin. iberal voters he won comfortably 58-39%. but these strengths were neatly canceled by mrs. clinton's strengths. she won older, more affluent liberals and ome moderate democrats. this raises a straightforward challenge for mr. sanders. he has nearly no chanc