hank paulson back at this stable and in the interest of full disclosure, hank paulson has been and is a good friend of mine. so welcome back. >> charlie, it's great to be back. >> rose: does it seem like a long time ago or yesterday? >> i'll tell you, it seems like a long time ago but whensy start talking about it again and working on the documentary or writing the prologue to reissue "on the brink," it comes back immediately. and my stomach tightens up all over again. >> rose: when you look back did it change you? did you come to some new understanding of yourself because of this? >> wow, you know, you can't go through a process like that, an experience like that, without being changed. everything we go through that's difficult causes us to grow. we find we're able to do things we didn't think we would be able to do. so it makes a difference. and when you go through something as consequential as that it -- it's a life-changing experience. >> how so? it was the defining professional moment of your life? >> right. well, i have have to say charlie-- and don't get this wrong because this

paulson gave high praise also to ben bernanke and q.e. 2. take a listen. >> i am a -- a believer in, you know, the ben bernanke stimulus programs in the sense that i think it's remarkable even though it -- we have low growth, that this economy has been growing at 2% since the end of 2009, while we have undergone the massive and necessary deleveraging. >> so did bernanke and t.a.r.p. save the u.s. economy? let's bring in the former senior economist at bear stearns, douglas holtz-ecan and forbes opinions editor john tammany. let's start with t.a.r.p. take it piece by piece. hank paulson said t.a.r.p. was a great success and not only was it paid back it made $32 billion. what's your take on t.a.r.p.? >> well, larry, as you know at the time i thought something like t.a.r.p. was very important. john mccain stopped mccacampaig and i came back to get a successful vote on the t.a.r.p. program. i think, however, with benefit of hindsight it turned out less important than hank paulson thinks. >> what do you mean? >> well, i think in the end it was a l

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although i might tweet paulson picks summers. of eyeballs -- >> you can tweet whatever you want. >> does hank have a twitter account? >> that's a lot for potential -- we're going to take a closer look at the twitter ipo and what it would mean for investors. >>> up next, he's the largest stressed debt investor in the world. he was in the running to be the u.s. ambassador to france, marc lasry will join us for the remainder of the show. >>> welcome back, everybody, we've been watching the futures this morning. the dow already on track for the second best week of the year. this morning, the futures are indicated higher once again. 42 points above fair value. in our headlines this morning, jpmorgan reportedly plans to spend an additional $4 billion and commit 5,000 extra employees to fix risk and compliance issues. this comes as the company faces a number of investigations by regulatory authorities. the journal says that the bank will spend 1.5 billion on managing risk and complying with regulations and plans to add $2.5 billion to r

secretary paulson suggested the basic approach.large institutions too big to fail out taking account of the consequences so have the power in federal officials to step in, put those institutions out of business. as i said i have one disagreement with sarah palin. she was right we enacted death penalties for big bank, not old ladies and the bank is abolished. some of the debts may have to be paid to prevent there from being contagion but any penny advanced by law has to be recover eed by the secretary of the treasury from the largest institutions in america. what happened with aig and other institutions that cannot happen again. can you not if you are overly indebted receive help from the federal government paying your debts and stay in existence. >> here's the reality, maria bartiromo. you look at the favorability of wall street firms still very negative, 42% on the negative side in our latest poll. as i talk to ceos this week and bankers, they say, look, one of the issues we have to keep so much capital in reserve now there's not

i'm ken paulson. back next week with another conversation about the first amendment and free expression. hope you can join us then for speaking freely. captioning provided by the freedom forum first amendment center captioning by captionmax www.captionmax.com we are celebrating the glorious grand opening of the chinese rec center. ♪ 1951, 60 years ago, our first kids began to play in the chinese wrecks center -- rec center. >> i was 10 years old at the time. i spent just about my whole life here. >> i came here to learn dancing. by we came -- >> we had a good time. made a lot of friends here. crisises part of the 2008 clean neighborhood park fund, and this is so important to our families. for many people who live in chinatown, this is their backyard. this is where many people come to congregate, and we are so happy to be able to deliver this project on time and under budget. >> a reason we all agreed to name this memorex center is because it is part of the history of i hear -- to name this rec center,

paulson, former c.e.o. did get congress to pass the controversial tarp or troubled assets relief program. under the measure, the government could disburse up to $700 billion to the bank in an effort to shore up the financial sector. ultimately it spent a little over 400 billion and has turned a small prof it. the system was stabilized. but public anger at wall street was simmering. in july of 2010, president obama signed the dodd-frank financial reform legislation. while the law promised some of the biggest changes to wall street since the great depression, many of the internal regulations are still being written. today, the president touted the success of his administration's response to the financial christ but also acknowledged many miles per hours remembered that time from a very different perspective. >> most americanknown economic e collapse of years, they don't lehman brothers when they think about the recession. the day they got the gut punch of a pink slip. or the day a bank took away their home. >

program paulson pushed during the crisis. today to fan of the federal reserve's bond buying program. for him it can't end soon enough. >> they have to taper now. the price has already been paid. it's built into the market today. it would be shocking to the market if they do not taper. so they have to taper. and the amount is not relevant. do something. >> in 2008, avenue capital's lazry says too much leverage posed the biggest risk in the u.s. today he says the big risks lie overseas. >> the real risk is much more in europe. i think you don't really have risk that much here in the united states. i think our banks are fine. i think in europe much more of a sovereign risk and that risk is still there. >> so interesting listening. >> kovacevich said we didn't need to take that money you rammed down our throat. we were in better shape than the other guys. what would paulson say to him? >> that would be interesting. i would like to see that response, but kovaevich said this was a liquidity problem. paulson would maintain listen, w

hank paulson to congress with a flame thrower and threatening to burn the place down in the us they extended wall street trillions in new untraceable credit and last week ben bernanke you promised to extend their over jeff by eighty five billion per month so what's wrong with a little bit of trickle down flame throwing stacy max i don't see the problem here why was this taste don't tase me bro yeah why was he jay z. just doing what the other guys are doing the problem is on wall street they have a saying go big or stay home you should have gone into the bank with a flame thrower asking for an overdraft extension he should have gone into the bank asking to have the bank given to him as the president for being such a nice guy and having a grenade aflame throw in a few other little niceties as a bag of tricks yeah well it's more it's very similar to the situation with hank paulson going to congress because remember at first when he went in with a flame thrower was rejected and then what happened they threatened to burn the they they threatened to commit suicide with the whole banking system and

little niceties in his bag of tricks yeah well it's more very similar to the situation with hank paulson going to congress because remember at first when he went in with a flame thrower was rejected and then what happened they threatened to burn the they they threatened to commit suicide with the whole banking system and this guy also did that he threatened to after the flame thrower didn't work he threatened to ignite himself so the article is man who had been refused over draft extension is tasered by armed police after. bursting into bank with a homemade flame thrower now the interesting thing is it's of course the u.k. where they're a little bit more stiff upper lip about things jackie clover who runs the clover tearooms opposite the bank said quote we heard that he got upset as he had been turned down for an overdraft extension maybe he was someone in business who had got to the end of his tether right well i mean the point is a well is well made here and that what the crisis was all about two thousand and eight was not about a sudden change in business prospects or was it a once in

hank paulson to congress with a flame thrower and threatening to burn the place down in the us they extended wall street trillions in new untraceable credit and last week ben bernanke you promised to extend their over jeff by eighty five billion per month so what's wrong with a little bit of trickle down flame throwing stacy max i don't see the problem here why was this tape don't tase me bro yeah why was he j z just doing what the other guys are doing the problem is on wall street they have a saying go big or stay home you should have gone into the bank with a flame thrower asking for an overdraft extension you should've gone into the bank asking to have the bank given to him as a present for being such a nice guy and having a grenade a flame throw in a few other little niceties as a bag of tricks yeah well in fact it was it's more very similar to the situation with hank paulson going to congress because remember at first when he went in with a flame thrower was rejected and then what happened they threatened to burn the they they threatened to commit suicide with the whole banking system a

. >> five years after the crisis, through then secretary of commerce ed paulson. victoria azarenko >> the investment bank lehman brothers collapsed five years ago, triggering a financial crisis that put the economy in a tailspin we are trying to pull out even today. president obama documented the financial perils that took place in the months before he took office. >> some of the greatest investment banks in the world failed, banks stopped lending money to families and small businesses. the heartbeat of american finance was flat lining. >> look at the crisis management that helped save the u.s. economy through eyes of then treasury secretary hank paulson. >> the latest financial giants in distress. >> we're watching -- 15 years -- none of us understood the extent of what we were dealing with. bear stearns, lehman brothers, merrill lynch, holy moly how could this be happening. >> if the secretary of the treasury didn't know what was going on, for more hank five years from the brink i'm joined by josh terrengel, deirdre of bloomberg news. why did you want to make a

henry paulson was the treasury secretary. he made the difficult call to let lehman brothers collapse. paulson heads up a think tank he founded in 2011 to promote a cleaner environment. and next up is, of course, timothy geithner. back at the time of the financial crisis, he was running the new york federal reserve bank. he, of course, went on to become treasury secretary. after leaving his post, he joined the council on foreign relations. he reportedly rakes in hundreds of thousands of dollars for his speaking engagements. and next up is elizabeth warren. she was tapped in 2008 to oversee the $700 billion bailout program. she's now a senator from massachusetts. and what about you, the american consumer? before the crisis, a lot of us were splurging on home loans. we clearly could not afford. many of us ended up out of work and in foreclosure. five years on, we're not borrowing quite as much, but we're not earning quite as much either. christine? >> thanks, zain. >>> coming up, five years after the financial crisis, housing is

paulson, thank you for your time. [applause] [captioning performed by national captioning institute] http://twitter.com/cspanwj several live events to tell you about. steny hoyer will be a politico to talk about the debt ceiling debate. you can see the conversation on c-span three. lew speaks of the economic club of washington. later, the national press club hosts republican governor mary fallin of oklahoma. in a few moments, today's headlines, plus your calls and tweets live on " washington journal." the house will be in session for legislative business at noon. today's agenda includes a debate on forest management. in about 45 minutes we will discuss the middle east reaction to the situation in syria. eastern, susan glasser, abaco -- editor of "politico" magazine will talk about the role of the united nations regarding syria, and we will also look at the role of the federal reserve and who might you place chairman bernanke, and our guest is nela richardson, senior economist at bloomberg government. [captions copyrig

bernanke and paulson and congress said to the american public. if bernanke said, i will do , he did it.takes called it the change stabilization fund of the treasury. it was enacted in 1934. strong characters who had the ability to print money. they said, we will do whatever it takes and the president was behind them. that is the way to in the real panic. congress does not like to give anybody that kind of authority. i tip my hat to them. will be another panic. where it comes from, who knows? when that time comes, the will thewill be, people who caused the economic engine to stop come back and be doing something? i am not sure what has been enacted is a plus or a minus. willdless, the country come through. it is hard to write regulations that will keep people from acting foolishly, particularly when acting foolishly has been proving -- has been proven profitable. humans all think they are cinderella at the ball. as the night goes along, the music it's better and the drinks -- the music gets better and the drinks flow. there are no clocks on the wa

we have team coverage with steve paulson in the weather center monitoring the race conditions. we begin with david stevenson live from the america's cup village. >> reporter: good afternoon. you can see the crowd of folks watching the oracle boat being towed out ahead of the race. a lot of energy and excitement out here on piers 27 and 29. you can see the people who began streaming in here at 10:00 a.m. getting ready for this final race. >> u.s.a.! u.s.a.! >> reporter: the rivalry is revving up ahead of the scheduled 1:15 p.m. start. fans of oracle team usa and team new zealand turned out to see the boats pull up. the winner take all match means tensions and spirits are high. oracle fans are thrilled the team pulled out seven straight wins to tie with new zealand yesterday. team new zealand fans are more than a little concerned. >> panting, pacing, i can't imagine what they're feeling. it's so exciting. we're all very, very exuberant about it. >> you have to feel for the guys and oracle is doing a great job. they have not given up. they're playing with a lot of heart. i think w

hank paulson has said that he tried to save it and could not.hey do not have legal authority to do that. a line that was, this is national free-market day. what ever to, bipartisanship and where did it go? it was a live in well in september 2008. you had a republican president come to a democratic congress and say that we had serious problems. we were cozy den. -- then. hate friday afternoon at 5:00 because the phone would ring and hank paulson would tell me about a new disaster after the markets were closed. we're talking about lehman brothers and i knew he was doing everything possible to keep it going. husband, barclays is going to buy lehman brothers. then, the fsa pulled the plug. he tried to do that and my comments was to mike conservative friends who said they should go bankrupt. mimi was about to fall and the consequences were so terrible that a consensus came that we could not have that happen again. i said it was national free- market day. barneyother thing which andwed me to tell the story it came out with the reissue of "on the brink

richard had closed-door meetings with paulson, bernanke, the all.he top made the crisis worse. he is our special guest. we want to talk about the breaking news on the options halt you heard about. nicole petroleum on the floor of the new york stock exchange. what are you hearing? >> still seems to be an issue. another day another glitch. that we know so well exchange executives as well as executives, regulators met last week in washington, d.c. to try to figure out how to discuss ways to make such data feeds more resilient in outages like this. today you do see nasdaq's drop down like that on intraday chart which is really telling exchanges run by nasdaq, bats, miami international holdings. told traders, via troon i can notices that the markets were halted due to problems with options price reporting authority. so, continue to follow that and get this out but this follows obviously the 3-hour shutdown last month of nasdaq listed securities and that was tough news. that was in the case of equities. in which case the all the equities didn't trade. lit

and five years after the fall of lehman brothers, we sit down with former treasury secretary, henry paulson. recap our lead story, john kerry travels to israel to offer reassurances about the syrian chemical weapons deal that's it for this edition of pbs "newshour" weekend. thanks for watching. female announcer: truly california is a kqed production presented in association with... cal humanities. [upbeat rock music] ♪ next on truly california... it's more than just bunny love. - i don't think a lot of people think raising rabbits is a very masculine hobby. announcer: it's a rigorous competition. - i match my rabbits when i carry them to the table, and that seems to attract a lot of attention. announcer: the coveted title rabbit king and queen, next on rabbit fever.

paulson sent us a 200-page bill at 1:30 in the morning, give me $700 billion.y rightfully was outraged. >> you don't get credit in politics for disaster averted. none of us could've benefitted from that politically. >> gentlemen, we really appreciate it. we'll have much more about larry summers' decision to take his name out of the hat as the next fed chairman. i am today by luck. i put in the hours and built a strong reputation in the industry. i set goals and worked hard to meet them. i've made my success happen. so when it comes to my investments, i'm supposed to just hand it over to a broker and back away? that's not gonna happen. avo: when you work with a schwab financial consultant, you'll get the guidance you need with the control you want. talk to us today. pcentury link provides reliable yit services like multi-layered security solution to keep your information safe & secure. century link. your link with what's next. >>> welcome back. it's all about you. welcome back, steve liesman. welcome back to "squawk box" here on cnbc first in business worldwide.

hank paulson to congress with a flame thrower and threatening to burn the place down in the us they extended wall street trillions in new untraceable credit and last week ben bernanke you promised to extend their over jeff by eighty five billion per month so what's wrong with a little bit of trickle down flame throwing stacy max i don't see the problem here why was this tape don't tase me bro yeah why was he jay z. just doing what the other guys are doing the problem is on wall street they have a saying go big or stay home you should have gone into the bank with a flame thrower asking for an overdraft extension you should have gone into the bank asking to have the bank given to him as a present for being such a nice guy and having a grenade a plan throw in a few other little niceties as a bag of tricks yeah well it's more very similar to the situation with hank paulson going to congress because remember at first when he went in with a flame thrower was rejected and then what happened they threatened to burn the they they threatened to commit suicide with the whole banking system and this guy

steve paulson is back. how's the weather. >> it looks colubrine and pam.p the westerly breeze. still on the mild side 50s and 60s, even though the low clouds are increasing, we're getting a ramp up on the sea breeze around sfo and san bruno. a little cooler, there might be some morning mist or drizzle especially from san francisco south. here's sal. >> good morning, traffic is pretty well around the bay area. we're looking at the prejudice. not only on this side. the traffic looks food, but on the west side, westbound spans, traffic looks good as you drive into the city. there are a lot of people on the bridge already. both upper and lower deck up here. moving along to the south bay. the commute is moving along nice hi with no major problems. off at the peninsula and 101 off to a good start. let's go to the desk. >>> police in san mate tow are looking for suspects in a late night shooting. this happened shortly before midnight. a 24-year-old man was wounded but was expected to survive. police are talking to the victim and several witnesses and there are a

then henry paulson and former representative arnie frank. and president obama marks the anniversary of the financial vices with a speech on the economy. ♪ >> helen taft was more ambitious about getting to the white house than her husband, william howard taft, and was willing to get personally involved in politics to get him elected. she overcame a serious illness to directly manage the white house. invited top classical musicians to perform there. also has one of the most visible legacies of all first ladies. washington d.c.'s famous japanese cherry tree. bring tens of thousands of visitors to washington every year. good evening and welcome to "first ladies." the life of helen taft. her husband served in the white house until 1913. her lifepeak about and legacy is her biographer. the biography of her is "helen taft, our musical first lady. you open the book by making the case that she is the most obscure of 27 -- 20th century first ladies. why do you think she deserves better than being obscure? >> she did things that were very constructive.

thank you (clapping) >> tim paulson joins us as it's executive director in 2004 so he's been on this journalist with the city to rebuild the shipyard. the san francisco labor council is the center of the labor in san francisco it's comprised of 1 hundred and 50 local unions representing 1 hundred thousand working men and women in this city. it's to promote social justice for all. please welcome tim to say a few words (clapping) >> thank you pam. so on behalf of the san francisco labor council i want to acknowledge what the previous leaders talked about. we were involved in a complexed process. and i'm proud of our partners that actually sat down and did the agreement that's he hopefully b will be the strongest in the country. i want to acknowledge my partner and all the building trades that are repealed just stand up real quickly (clapping) >> thanks for what's going on. i also want to acknowledge connie ford who's been working diligently with the community whether or not it is with the pact or the other partners we're proud of the work. but one out of 3 households has a member in it

steve paulson is not. >> i've had a long weekend too. we will start 61. san francisco also warming up i foe it's aye going 78 in san francisco. 'ever it is bringing rain in seattle and portland. livermore 56. 52 half-moon bay. so there is a little chair to the morning air. fords that means sunshine and warmer weather. high pressure is really not large and in charge. a much, much lighter breeze. ice 70s and 80s and low 90s. here is sal. >>> steve, good morning. we are looking at traffic here that is moving along very nicely if you are driving to the bay bridge in some of those lanes it is light. some of the middle lanes it's slow. in fact, they may start turning on the metering lights soon if they haven't already here. and it will make for a bigger backup. still a ten minute wait. on the bridge itself it's getting crowded. the giants play this weekend. they have a couple home games. 49ers play. and if you are driving on highway 4 traffic at 18 miles an hour average speed here. there are no major problems. in fact, my map graphic is not working. there are n

. >> ifill: five years after the fall of lehman brothers, former treasury secretary henry paulson reflectson lessons learned from the financial crisis. >> woodruff: and fishing for crab in the bering sea is very

but first to steve paulson. >>> we have a couple little things going on. one is cloud cover coming in from the sierra nevada. we have a blustery condition for some. cooling trend which started yesterday looks like it levels off today. the lows are very mild. everyone is unbelievablely close. between 60-64 degrees. if you are waking up and saying it's warm out, it is. we will go 68 in san francisco. starting off at 62 degrees. some of the cloud cover tahoe and truckee if you are up at the mother load. some can drift toward the north bay and east bay. low clouds and fog. breezy to windy. cooler inland. 60s and 70s and 80s. here is sal with an update on highway 4. >> it's slow, steve. let me put one more thing on my maps here. i think i got it. traffic will be slow on highway 4. if you are driving through here on highway 4 it is very slow. we had an earlier accident. it's slower than it usually is. you're asking is it really slow? yes, it's very, very slow. it's much slower than normally is. let me get rid of this. i also want to get rid of tell you about an

paulson told me that. then the fsa, turns out what they were doing pulled the plug. i know he tried very hard to do that. my comment was, a lot of my conservative friend let them go bankrupt. you should not have done bear stearns. let them fall. lehman was allowed to fall. the consequences were so terrible the consensus came you couldn't have that happen again. one day of lehman was national free market day. >> david, the other thing which barney allowed me to tell the story in the prologue that has just come out with the reissue of "on the brink", it wasn't too long that lehman went down, excuse me, that bear stearns went down, that the markets, again with bear stearns, bear stearns had only been saved because a buyer in the form of jpmorgan emerged and, we had to had, the fed assisted that buyer but we had learned at that time we didn't have the necessary authorities to save a failing investment bank without a buyer. so ben bernanke and i went and talked with barney when he chaired the house financial services committee. we explained we didn't have the powers, the

. >> paulson, thank you -- paul thank you very much. >>> here are some of the latest comments coming in from around the globe. a spokesman for china's foreign minister saying, china has serious concerns for any military plans in syria. russia's foreign minister saying the evidence the u.s. supported on chemical weapons was absolutely unconvincing. in france the prime minister is meeting with a reluctant parliament concerning the august attacks. phillip, a lot of activity, let's start with france, what was the new evidence presented to lawmakers there? >> yeah, del an awful lot of activity on this site of the atlantic. we are stating to hear some information from out of the french parliament and that intelligence report that was shared by the french prime minister with parliamentarians. that report apparently indicates that these attacks were quote massive and coordinated, something the opposition would be unable to carry out. that apparently, the strikes came from government controlled areas, and that it was an attempt by the government to reclaim some of that territory in the outski

steve paulson will tell you what that means for you and how long it's going to last. >>> and two threatening letters sent to a local school. why police are still questioning nearby businesses. >>> president obama this morning defended his landmark healthcare legislation at a community college in mard. the president told students that the law makes health insurance cheaper than the average cell phone bill and is as easy to get online as buying an airline ticket but he spent much of the speech rid kuehling republicans -- ridiculing republicans who have opposed the law. >> some have threatened a government shutdown if they can't shut down this law. others have threatened an economic shutdown by refusing to pay america's bills if they can't delay the law. [booing] >> that's not gonna happen as long as i'm president. [ cheers ] >> the health insurance marketplaces that the law created will open online in five days. public health officials in marin county are investigating a potential e. coli outbreak. county health officials confirm that three children were infected and two had to be hospital ice

hank paulson will verify this. we talked that night, and hank, who had done a great job, was in despair. the day the vote was going on, there was a gathering in the well of the house of the bipartisan leadership ready to go into the usual drill of trying to change members vote. i will take credit for going to steny hoyer and others if they do not do this, this is too serious, don't win this by these kind of tactics. we will pay a big price. i called hank that night and he called me and i said -- don't orry about it. sometimes the kid gets really mad, you have to let him run away, go a few blocks away, get hungry and cold and scared and then he will come home again. >> what is the alternative? >> when the market drops 700 points -- but i was at the airport the day after the vote, and a couple of people from north carolina came up and said that was terrible. i said, how did your representative to vote? he voted no. they got right on the phone. he voted yes this time. the people who are opposed, you hear from them mor