mr. pierce, for five minutes. >> thank you, mr. chairman. thank you, mr. chairman. mr. garret was asking a little bit about the european exposure and you were pretty soundly and you're recommendation that the european banks are pretty sound. is that -- did i hear you correctly? you're saying that they have pretty stable -- >> no, i was talking about the european central bank. the european banking system is currently being asked by the european banking authority to raise a good bit more capital. and, of course, their liquidity situation is being satisfied almost entirely by the european central bank rather than by private markets. >> sto that would explain. was a little confused about page four you continue to monitor the european xp europe european exposure of u.s. financial -- >> yes. >> how long have you been watching the exposure of u.s. firms to financial -- to the european financial -- >> the european situation was about -- came prominent about two years ago. so pretty much throughout that period. >> i guess my question is then about the new york fed that gave prim

mr. pierce, recognized for five minutes. >> thank you, mr. chairman. got back from the prayer breakfast. we talked that man doesn't live by bread alone. $1.2 billion of bread has been disappearing off the table out there. mr. stockman, how much did you get hired for? what was your salary when you got hired? >> my salary began at $300,000. >> how much? >> $300,000. >> how you about mr. roseman? >> $350,000. >> 350. so you got chief operating officers. you have ceos. you have chief executive officers. you have chief risk officer. they all begin with a c. does that mean anything mr. stockman? in other words, it doesn't sound like you're in any of the real management meetings or just left out of those. am i hearing you correctly? >> sir, my responsibilities -- >> i didn't ask your responsibilities. i said you were left out of the key meetings. you didn't know you were answering some of the questions from the other side and you didn't know who might be at those meetings. you didn't answer mr. posey. so it appears that you weren't there. so c. when you were

mr. pierce, i have a disstra d district that many, many people lost thousands of dollars. farmers and ranchers. it almost looks like they took mr. roseman out and replaced mr. roseman with the "yes" man. does it look that way to you? mr. roseman, would you comment at all? you gave them information that they didn't like so they replaced you with someone that would give them information that they liked? >> can i -- i've answered that question actually twice. i mean, in fairness, i have to say i'm really not in the position to answer that. others made the decision for me. some of my views would have played a part, i would believe. >> mr. stockman? >> and, sir, i think, as in my testimony notes, that when i joined the firm doing deep analysis on sovereign positions in particular, i found the risks acceptable and, in particular, so did the board and senior management in terms of finding those risks acceptable. and as market conditions changed, the -- i expressed my views as it relates to wanting to bring hedging strategies and bring the risk down. so i would have to take excepti

mr. pierce, i have a district that many, many people lost thousands of dollars, farmers, ranchers. it almost looks like that they took mr. rose and off, replaced mr. roseman with a yes-man. doesn't look that way to you guys? mr. roseman, would you comment at all? you gave them information they didn't like so they replaced you with someone, give them information that they like? >> i've answered that question actually twice. in fairness, i have to say i'm really not in position to answer that. others made decisions for me. i would say it again. some of my views would have played a part, i would believe. >> mr. stockman? >> i think in my testimony, notes that when i joined the firm, doing deep analysis on saga positions in particular, i found the risks acceptable. and in particular so did the board, and senior management in terms of finding those risks acceptable. and as market conditions change, in particular in july, i expressed my views as it relates to wanting to recommend hedging strategy, bringing the risk down. so i would have to sort of take, maybe take a difference, excuse me,

mr. ruiz it might have been a saving grace that he had piercings sand he was removed to general populationss you may know by now i'm at orange county jail. >> hours before he would answer to the judge, ruiz used his time in isolation to write a letter to his girlfriend who he had not po spoken to since his arrest. >> i couldn't pick you up from work i hope you're there when i get out. the only thing i can dream or think about is all the right things i'm going to do when i get out. this is too hard for me right now, to be continued. >> okay, back in session, back on the record on case number 10 sf 0604, people versus richard edward ruiz. is richard edward ruiz your true name? >> yes. >> the following day at the preliminary court hearing, he was charged with felony possession of narcotics. which could carry a lengthy sentence behind bars. he entered a plea of not guilty had one supporter at the hearing, his girlfriend, samantha dunn who spoke to us afterwards. >> tell me how you found out that your boyfriend was in jail. >> he was supposed to pick me up from work one day, and after work i was

i just talked to the sheriff spokesperson here in pierce county, and i asked him if mr. his two grandsons. he said that he had been informed. he was told of their deaths and that he only shouted at them that he became very uncooperative and that now he is in suicide -- on suicide watch. he is in custody being held on 14 counts of voyeurism and also possessing child pornography. >> this is just a terrible story, just a big mess overall. josh powell, i understand, sent an e-mail to his lawyer and to his cousin before he set the fire. what did he say about what he was going to do? >> reporter: sheriff's investigators say that that offers a glimpse into what this man was thinking. they say that he knew exactly what he was going to do. in the e-mail that he sent to his attorney he only said i'm sorry. good-bye. and then he also sent an e-mail to a cousin of his in texas that said the same thing. the cousin received the e-mail instantaneously right as that home exploded and the attorney opened his up about two hours after this terrible tragedy. >> all right. thelma gutierrez,

mr. bergen and i can assure you can help whatever you need. i didn't know who the heck bergen was. i talked then to pierce and moore and we agreed, yeah, i need to revamp the system there. because -- okay, let's not go into detail why it went wrong. i said, by the way, who the heck is bergen? the guy i talked to a couple nights ago. they had one of those picture organizational charts. there on the top it says bergen, president of north american. then i knew why i could get now what i needed. then i started on the apollo program. and i made some changes, because when you have something that works well for you, why would you want to change it? >> you said the fire upset you. did you have that sense that you wish you'd gone, that you wish you'd already been there? or do you think you could have even made any difference? >> you know, that's a question that i was rather frequently asked, you know, would you have prevented it. i always refuse to answer that question because i would be strictly conjecture. okay? so later on i thought in a way it was unique. somebody's looking out for me, because if i had been th

mr. ruiz, it might have been a saving grace for him that he actually had piercings and that he was removedpulation so he doesn't have to answer any of those questions. >> well, as you know, i'm in the orange county jail. >> just hours before he would answer to the judge ruiz used his time in isolation to write a letter to his girlfriend who he had not spoken to since his arrest. >> baby, i'm sorry for not picking you up at work. i was in a police car at the time. i hope you're there when i get out. the only thing i can dream or think about is all the right things i'm going to do when i get out. this is too hard for me right now. to be continued. >> okay. we're back in session, back on the record. on case number 10-sf-0604, people versus richard edward ruiz. mr. ruiz, is richard edward ruiz jr. your true name? >> yes. >> the following day's preliminary court hearing ruiz was charged with felony possession of narcotics which could carry a lengthy sentence behind bars. he entered a plea of not guilty and had one supporter at the hearing, his girlfriend, samantha dunn, who spoke to us afterwar

. >>> but first i'm joined on the phone by pierce county sheriff spokesperson ed troyer who has new information for us. what do you know, mr. troyer? >> well, at 12:15 this afternoon there was report of a fire. a social worker was bringing the kids for a visit with josh from foster care network and she dropped them off as she of before. within this particular occasion he lock her out and within minutes the home was within flames. burned very hot and fast, fire department was there in a few minutes and unfortunately when they got in there they found three bodies, the two children and josh. we believe it is the three of them an they're all deceased. we need to confirm that with the medical examiner's office but there's nothing that tells us it is anybody else but the three of them. he's since sent out e-mails and texts, we understand, admitting his complicity in what happened today. this is just not how we wanted it to end. >> i have to ask you this, mr. troyer. this is not cnn's reporting so i'm reading the information now from an e-mail that i've got -- there was an e-mail that went out supposedly from josh powell that sai

administration, the justice department filed a lawsuit against microsoft that pierced the dot-com bubble. the growth that mr. campbell: from the understanding that we had created an ability to be more efficient than ever before and the adjustment were in the aftermath. that fits exactly into koltiev's theory. the creative people were looking around to change that paradigm and what they came up with was the microchip and tools that allowed us to store and transfer information and being able to do that caused people to invest more, start new businesses to transfer efficiencies around the country and to increase our efficiencies. if you think for the trucking industry, the software packages that would allow them to click the mouse rather than make a judgment decision and send the truck to portland and go to seattle and circle back to montana and drop off a load off in des moines, much more efficiencies were created by software packages that made the decisions instead of fall i believe that were using judgment calls that were under stress on the fly. all of those things fit back to koltiev's theory, during hard

. >> mike pierce believe the guard was a character builder. thank you, mr.secretary. >> yes, sir. >> thank you, governor beebe. i just want to let you know i planted a garden in the back of the governor's mansion as well. mr. secretary, i appreciate your comment to this point but i think there's broad agreement about the program and what it's going to do to help our young people. i had just a couple questions followed up on what governor beebe has asked. i know that governor nixon and i had written a letter i think lester on death of this committee expressing a similar tone of concerns about the purpose of the implementation of the program and then the final rule that was adopted address some of those concerns. but not all of them. our folks in virginia just have a few ideas implementation concerns that i just want to see if you give us an update on -- the three year versus five issue. but there's also a requirement for certification of the benchmarks in the final role that 95%, have to be certified by 2013, and the question i think you had responded in a le