more on the msg split. it would separate the sports team division that would include the next from -- the next in jets from the entertainment business. jeff mccracken here to tell us more. stephanie mentioned earlier that in a way this really is all a extraordinary amount of money steve ballmer was willing to pay. >> the milwaukee bucks sold $550 million. that was the top price until steve ballmer showed up with his price -- with his checkbook. >> how about that be the winning strategy for msg? it does not matter. look at the clippers, right? a terrible team for how long? steve ballmer steps in and pays all of that go. >> that was an example of a trophy. right?k also, >> it would fetch more. how they fared that the activist push. up anda find that showed i think people suspected they would not get anywhere. >> that is amazing when you consider the fact that for years and years people consider them of doing everything to disadvantage. offs andhave to spend one of the spinoffs may spin off again. msg. >> they

but this msg is the first activist situation.hey made a filing in august that was strikingly polite talking about boosting value and apparently what they wanted is much of what ended up happening or may happen as of last night. between separating out more valuable assets like the knicks and apparently the $2 billion sale of the clippers sparked a lot of conversations in terms of unlocking valuable nba franchises and then in addition to the board like a nelson peltz. that was the dolans who had a long-standing relationship with him. but peltz is a vote of confidence for the activist community in general. >> sure. >> i think the feeling is that the old way of doing business will not prevail if you have a guy like this who doesn't suffer fools gladly and see it is value unlocks. >> so we don't know who weather the move to put peltz on spurling on the board is an attempt to either soothe or thwart the activist j.a.t. >> i think it's going to plakt j.a.t. or other activists potentially. we don't know who's gotten into the stock in the

msg leadership wants to do what is right for the shareholders.split the company and return capital to the shareholders. >> it is funny because the new are seen asolans being so intractable in terms of control of his company, so it seems that there would be a fight before a move like this. >> they want to unlock the value of the knicks after the ballmer paid $1 million for the clippers. the idea that you can isolate that value and -- >> and real estate value on the flip side. >> as you say, the knicks are a better team than the clippers ever were. bloomberg television is on the markets. let's get a check on where futures have settled. slightly higher. rash of economic numbers this morning including case-shiller. pretty much in line of what wall street economists had expected. ♪ >> welcome back to "in the loop ." scarlet fu and julie hyman are with me this morning. fed,ve to talk about the beginning their two-day policy meeting after six weeks of volatility in the global markets. we will start to see if any of that volatility has changed the offens

the executive chairman at msg, him and nelson peltz go way back.y have been colleagues as well, so they go way back. jim approached nelson a few months ago when it was known that john taylor was wanting some change and said look, i need your help come i need to bring us some independent directors, will you join my board and help me assess what to time,ut mst, and for some he was thinking about splitting this company, none of these ceo's or billionaires ever want to feel like they are being forced to do this, so he has recruited nelson tells to help him along, so nelson is going to be joining this board. apparently it was generally a pretty easy and simple discussion and in fact nelson apparently has talks to john faler and gotten his approval for this move, so it appears that this copy will be splitting and buying back about $5 billion worth of shares. and the ballmer purchase of the l.a. clippers for two bullion dollars masonry pretty nice price tag for the new york knicks as well. >> it makes it much more attractive. --io batali, his office think

msg will go with that part of it.ic, bookings, production, entertainment, joint ventures, then separate the teams. with that clippers sale, that will give greater value to the clarity of the teams. >> that is a great point. especially with ballmer saying we'll make a ton of money. >> does the company ever really consider selling the teams? dolan does seem to be handing over control of the knicks to phil jackson. he's the owner, but not making the decision. jackson seems to be. so there is the possibility if this were to happen down the road you could see a sale. i'm not saying it's going to happen. there is a possibility being raised you could try to create a ri reit structure for the other part of the business. talking about the arena and radio city, things like that. interesting to see activists -- and this guy thaler is not an activist, but active shareholders. hedge funds came in getting what they wanted in a family-controlled company, or making progress. >> so interesting. nelson peltz, first initially didn't wan

that tobacco, lead paint, mercury, x-rays, leaded gas, msg were all safe. let's not let cell phones be an oops factor. we've both been very involved in a nutritional approach to cancer. but when i've spoken to doctors working in the alternative cancer world, the amount of brain cancer in children coming in is just alarming. >> it leads to a question i have to ask -- how do we know it works? how do you know this is working when you put it on the phone? >> well, you can look up the research when you go to this link, matrix 2. but the lab is sgs. it's the largest independent lab in the country. it's very prestigious. and these are their findings. 98% -- they tested it against other devices that are claiming to do the same thing. what was interesting, the best one out there protected you by 10% and most of them did nothing. so this is a lab that is indisputable. so here we are at 98%. to me, when david schmidt told me about this, i said, this is breakthrough. this is so exciting. this is so protective and i'm all like you in preventing catastrophic events from

the sports business owns teams like the knicks and rangers and regional sport networks like msg. its entertainment hosts concerts, shares were up 11% to 72.99. >>> and receptos surged today. on word that the drug maker's experimental bowel disorder drug met its main goal in a study. the ceo explained the potential for the drug. >> 70,000 patients get diagnosed in the united states alone per year, approximately 70% of patients each year with colitis, there is an opportunity to make a difference with patients and see substantial revenue as a result. >>> and panera reported a quarterly drop in profit, this comes as the food chain is trying to speed up service at the restaurants, shares dipped but during the regular session the stock was up 1.41 to $171. >>> another interesting report to tell you about, statistics show that men and women in the u.s. are living longer than ever, according to the folks at the society of actuary. the average folk is living into their 80s. what does that mean for your retirement? rick jones is here, welcome, good to have you here. these numbers are quite

aerial owns nearly 2 misdemeanor shares of msg. i don't think of this? >> it would be terrific and the right thing for shareholders. >> is it right right now because of what you see in terms of sports, the huge valuation, they own both the knicks and the rangers and this would give them an opportunity to get valuation for that. >> i think they went to los angeles and made a difference. they value sports teams more than ever. the knicks are really well positioned this year with putting together a great news organization to mix into the world championship. >> is that a suggestion that this -- to grow? >> i think they need to grow because live television is so important these days. and, you know, people run the pace so much of these properties, because of it. >> john, do you have any concern? we were talking about amc in the segment yesterday. amc was white hot. that was a spin-off of the dolan spun off. it was white hot. just a year ago, we thought that was going to -- it felt like that between mad men and "the walking dead" and "breaking dead." and now th

one would house msg's sports games and cable network. the other would be an entertainment business. we talked with the founder of rng sports.s -- ou >> the economic value being placed on these franchises. worth?uld that be it is not being housed correctly in the public market. split it up and separate it. >> let's take a look at how the shares are trading. they are up nearly 11%. at the top stories we are following on this tuesday. the aig bailout has reached a pivotal moment. has said the government's 2008 bailout of aig was unfair to aig shareholders. the government gets its chance to respond. peter cook is outside the court a federal appeals -- federal claims. he's going to wrap up his portion of the case as in his today. it's been three weeks straight of the famed litigator making the case on behalf of hank greenberg. the government's bailout, well necessary for activists come of the terms of the bailout unfair to shareholders. the amounted to the taking of private property. they have made the case -- the federal reserve did not have the legal authority to take an equity positio

the msg explores a split into two companies.he company reported a profit after selling its fuze network. that is a look at the top stories we're following at this hour. the fate of the affordable care act, also known as obamacare, is once again enhance of the nation's highest court. by years after upholding it a single vote, supreme court justices are set to hear whether there should be an appeal of the law. bloomberg supreme court reporter greg joins me now from washington. what is the legal issue that the justices will be looking at? >> unlike the last time where he was about a big constitutional question, this is a controversy of over four words in the statute. established by the state. the law says if you buy insurance on an online exchange established by the state, you get tax credits and those tax credits are worth billions of dollars across the board. the question is whether those -- if you can get those tax credits if you buy the insurance instead on a federal exchange, which is in the case -- the case in 36 of the state

before the bell, we'll get earnings support from chevron, exxon, clorox and msg. >>> still to come, exxon closes out a busy week for big oil earnings. how is the sector bracing for lower prices? we discuss. >>> and mobile iron performance better than expected in its third quarter release. we speak exclusively to the ceo live from san francisco. >>> and with just days to go before the midterm electrics, we ask if the republicans will take control of the senate and what it means for president obama's economic agenda. we have an all-star panel ready to debate that coming next on "worldwide exchange." >>> u.s. markets are posed to erase all of october's losses with futures set to a strong open. >>> the bank of japan unexpectedly boosts the stimulus program. >>> and a bitter taste for starbucks after disaointing the street on u.s. sales sending shares lower after hours. >>> the european central bank says it will start buying asset backed securities from november and has asked four major managers to support its efforts. would the central bank be willing to buy corporate bonds as part of its ass

. >> msg. >> no. it's the redhead in those commercials. >> oh, who plays wendy? >> no.esn't play wendy. she is the one that sings. >> the girl in the ad campaign? >> thank you very much. >> not sure why we're talk about her now? >> she is adorable. >> and the chicken nuggets best on the market. i don't know if you guys know that. >> such a tangent. >> but i digress. >> we got a drop for tesla. >> the two-day moving average which is 224 right now has been real good solid support. it broke below that. now it's all about -- it's all about model s sales or lack thereof. down 26% year-over-year through september. i would wait until it gets above 224 to get back into it. >> we have a pop for baby elvis. a 10-week-old boy in london is rocking a pint-sized pomp dour. he was born with black hair. his mom credits her boy's rockabilly locks a mars bars during her pregnancy. >> what? >> when was the last time you had a mars bar? do they even sell mars bars in the united states? >> there is nothing in them. >> the zaganuts. >>> the drug today by six months and pumping up one competi

. >> and then the msg story. apple tooft beating the wearables market.ft unveiled its band will go on sale today. it will analyze health, fitness, and weak data, jumping into the crowded wearable device market. >> i am sure that it will work with your service and windows phone as well, which you do not have. i find it so interesting. apple unveils apple pay, and to some extent, huge coverage over that. >> in other words, free publicity. >> a microsoft one is sort of riding in here. i did not see any press release today that was exciting about this -- excited about this new device. >> neither of you are wearing one. >> i like they watch. thathave an old ipod doubles as my watch. we will see what happens with microsoft. what is it called? the band. that is catchy. cookeaking of apple, tim writing in "bloomberg businessweek" that he is proud to be gay. he said -- several months ago, the buzz about whether he was gay or not started to build. perhaps tim cook felt, rather than having this as an overhang and people whisper about it, why not just be upfront. "o

they walked into msg last night for their first game and they beat the new york knicks.'s pretty good. >> they have to feel pretty good. and i will be tallying the wins and losses at the end of the season. >> yes, yes, we definitely well. it's a preseason game. i thought they looked like a high school basketball team and that they won the game. at robin hood in my green and black. i had a chance earlier to sit down exclusively with the former treasury secretary larry summers and we talked about a wide variety of things starting with the economy and what he makes of all of this. . the challenge of assuring not just at the trough of a recession but also an ongoing basis that i was highlighting the secular stagnation -- those challenges look real rue out the industrial world. -- look real throughout the industrial world. when the industrial world lags, that means challenges for the developing world. i think we've got very real growth challenges. they are not on the supply side. they are in they -- they are on the demand side. islong-term unemployment 5.8% in the u.s. and th