pepsico is a terrific investment.hat. >> global snacks. 5% organic. where are the strongest pockets for you, hugh? >> we really feel good about the portfolio. each of those businesses are doing well. frankly together they are really performing terrifically well. that's true across all the geographies. the united states was terrific. russia hit double digit growth. as we look around the portfolio, it is performing strongly. it is that tie together of beverages and snacks that's working rell well. peanut butter and jelly is bought together 20% of the time. snacks and beverages 50% of the time. we feel they work together and are amplifying each other nicely. >> what are you able to do? get better delivery on things? what are the real nuts and bolts of why that works together? >> it's different around the world. if you look at developing emerging markets, the beverages tend to develop first. snacks carry on from what was a bigger business. so developing emerging markets, it makes a huge difference to snack success. on the

pepsico had first-quarter profit that beat estimates.w moments, we will hear directly from the company's cfo. and shining a light on heights frequency chaining. -- high-frequency trading. eric schneiderman has sent subpoenas to six high-frequency trading firms. tom keene had a chance to sit down with princeton's to paul krugman. >> governments have shaped the markets all the time. there is no law of nature that says that people have to be free to build a new fiber optic cable that allows us to be three milliseconds ahead of the rest of the market. that certainly could be regulated and i think there is a good sense -- it is actually two things. one of the market being too perfect. it is undermining the work of actually discovering useful knowledge, and the other is we are spending resources on europe . >> is a part of the gap, the criticism of main street and wall street and the lack of confidence in the financial system -- is it because we have a belief that the smart guys have to much information that we will never have? anything, there

going inside pepsico.nd out how they get chicken and waffle flavor into their chips and how stark athletes helped to formulate gatorade. starts with the exclusive ceo tomorrow at 8:00 eastern right here on bloomberg television. >> coming up, why bridget moynihan is living on $1.50 per day. we sip wine made by movie stars and wall street titans. we want to figure out if they stack up to the real stuff. ♪ >> this is "lunch money" on bloomberg television. online, your phone and tablet. i am adam johnson. celebrities taking a stand. starting with bridget moynihan. she is teaming up with global orphan project and living on $1.50 per day. all about raising awareness. the project ceo explains. we knew we would never really understand it until we try to have a full small taste of it and experience it ourselves through the lived the low the line challenge. one of my friends challenged himself to do what for a month. he found it incredibly challenging. all of a sudden people started doing it all over the world. thre

to win pepsico. don't do a good number i think peltz steps up and saber rattles and gets the stocks rolling. you have two ways to win. i don't want you to sell a share of pepsico. there's an unhealthy overhang from some new companies that will exist even after today, and until we start seeing deals, it can continue to be a problem for this market. and uh-oh, do you hear that? stick around. this shark is in the building. damon johns swims by -- i'm sorry. damon john will swim bye to stick with cramer. >>> and later, evasive maneuvers. when sell-offs strike. do you have the right plan in place. cramer is opening up his playbook and sharing the secrets. cars are driven by people. they're why we innovate. they're who we protect. they're why we make life less complicated. it's about people. we are volvo of sweden. >> had is a treat. if you want to beat the market you have to pay attention to more than stocks and ceos and publicly held companies. you have to find realec perts on subjects that matter to peo

on, the ceo of pepsico, joins me. again. >> great to be here. >> you have some pretty strong sales growth going, not just here in north america for snacks, but for beverages and snacks overseas. how much pricing power is this giving you? >> actually, the pricing power is quite good right now. if you go back to the investments we made a couple of years ago, those things are both strengthening the brand, and also we have products, that the consumers work for. what you saw is five percent growth in revenue, three percent revenue growth in beverages. and frankly, consumers are moving more and more to the $20 billion brands around the world. so the company is performing very well right now, and individually the pieces are good and collectively the portfolios are working very effectively together. >> and your margins expanded by at least -- at least 40% in some areas. where are you able to raise prices the most. ability to do this pretty well around the globe, when you look at the development it's in the u.s., or if you loo

pepsico reports tomorrow morning.de high because of the phenomenal coca-cola quarter. if pepsico doesn't deliver you'll hear a lot. i like to say there's always a bull market somewhere and i promise to try to find it just for you right herere on "mad money." i'm jim cramer. see you tomorrow. >>> americans the first to strike gold in sochi. >> sensational! >> tiger woods perseveres. >>> ryan callahan and the lightning struck home isles in tampa bay against carey price and the montreal canadiens. game one of the stanley cup playoffs, next on cnbc.

shares of coke off a fraction to $38.66, pepsico 8 $3.50. >>> "frozen" topped a billion-dollar in global sales and it surpasses "toy story 3" set in 2010. shares of disney up 1.5% to $80.07. >>> apple and samsung in court again today. this time they are battling over patented technology use in each other's smart phones. as morgan reports, it's google that could have the most at stake in this legal scuffle. >> reporter: apple and samsung are at it again facing off in court for the second time in two years over patents. the new case revolving around design elements and featured use in the company's smart phones. there is a third company that's got a lot to lose, as well. and that's google. it's google's technology in question, specifically the android operating system. >> everyone expects samsung to argue that four of these patents that are apple asserting against it it licensed from android and expect the google software engineers to testify they have begun development of the features before apple. >> reporter: android is used in over a billion devices including samsung products like the

of course, pepsico does have frito lay with it. i don't want to own those companies, i want to own white way. i want natural and organic, okay km that's what you need to be in. all right, people, listen to me. you are getting your pockets picked by a bugs, but there are still opportunities there. and i will help. also, please, don't forget about the nca tournament coming up. yes, the tournament here, my bracket could make you some real bucks. it's a face-off between two of the market's highest fliers ever and it's coming right up. >> announcer: coming up, full coverage? big wall street firms are calling for insurance giant aig to double. but the stock's been flat so far this year. as the economy continues to recover, will the company's $100 billion plus portfolio help the stock soar? stock soar? >>> don't miss a second of "mad money." follow @jimcramer on twitter. have a question? tweet cramer, #madtweets. send jim an e-mail to mad money@cnbc.com or give us a call at 1-800-743-cnbc. miss something? head to madmoney.cnbc.com. >>> on

. >>> pepsico posted earnings as they sold more around the world. with frito lay chips. shares climbed to $85.55, meanwhile, shares of barnett -- barnes & noble, the sale part of his long-term financial and estate planning that he has no plans to sell more stock this year. shares plunged 12% to $16.37. >>> china's weibo made its trading today, shares priced at 16.8 million shares at $17 apiece. they raised more than $285 million from the offering, the stock popped 19% finishing the day at $24.24. but what exactly does weibo do? we look at the potential risks and rewards of investing in weibo. >> pop quiz? what is microblog in chinese? weibo, it allows users to chat, upload pictures and use video. it has 445 active users as of march, 77% access weibo using their smartphones. they make most of their money through advertising, their annual sales nearly tripled last year but the company still lost money. and weibo cautioned that user growth is slowing. >> we slowed down last year but as we begin to focus our purpose, the effort, actually we see tremendous coming back into th

pepsico, dr. snaple and starbucks all mentioned in the report as potential suitors. shares popped to $40.75. >>> shares of gap rose on news it plans to triple sales in china over the next three years, making that asian nation its second largest market. gap opened its first old navy store in china earlier this year. the plans were announced at the annual retailer's meeting, shares closed at a gain of more than 1 and a half percent. >>> and united health the worst-performing component today after a downgrade from city. the share is expected to be strong in the first quarter. but there are limited opportunities for earnings growth this year, the firm lowered its rating, shares fell to $78.19. >>> and the utility sector up 11% so far this year, but is there still more room to run and should you own utilities in your portfolio? joining us now is james key, president of south texas money management. mr. key, utilities are at an all-time highs earlier today. certainly multi-year highs. is their run the best part behind them? >> well, the right way to look at valuation on ut

pepsico which makes cheetos snacks handed out perfume that smells like cheetos. >> people were having a lot of fun today. i couldn't play any jokes on you, though. >> nor i on you. >> that's "nightly business report" on this april fools day. i'm susie gharib. thanks for watching. >> i'm tyler mathisen. have a great evening, everybody. we'll see you back here tomorrow night. another beautiful day in paradise! let's go! 'this tower may be the most complex, and costly building ever constructed on american soil. it will be a place where people will come to work and to remember.' we all saw a lot of things that we weren't meant to see, you should never have to see. 'out of the shadows cast in this city's darkest hour...' we lost much on september 11. we lost 3,000 people. we lost our offices. we lost lower manhattan. '..it will rise a symbolic 1,776 feet. now the race is on to get it finished.'

pepsico which makes cheetos snacks handed out perfume that smells like cheetos. >> people were having a lot of fun today. i couldn't play any jokes on you, though. >> nor i on you. >> that's "nightly business report" on this april fools day. i'm susie gharib. thanks for watching. >> i'm tyler mathisen. have a great evening, everybody. we'll see you back here tomorrow night.  >>> if there's one thing most of us in the bay area have in common, it's this -- most of us, the vast majority, come from someplace else. even those of us who were born here or whose families have lived here for generations often think of home as a place thousands of miles away. ♪ tonight on "spark," we'll see how the arts are helping to keep our cultural roots alive. we'll visit with some of the 3100 south bay students who have picked up the basics of music, along with a sense of their own rich history through the mexican heritage plaza's mariachi youth program.

now it is paying off and that is why results at pepsico are so good.a midcourse correction. john donahoe did the same thing. he built the board and used it. that is not true of a lot of companies. i am pleased to see this. present your own fax. you had better have them ready. >> you would then agree with bill? that carl icahn's problem in the case of ebay was picking the wrong target? not the tactics that he chose to employ? >> going back to my point, it is an example of how in this particular case ebay used the media to support their case to shareholders in a very robust, rigorous way. >> most companies do that knowing all the legal ramifications. carl icahn can sit there and get on the phone with a television organization. he has nothing to lose. >> you are right. let me jump on the side of john. ceos feel very constrained about what they can say and do. i have listened to them go after target. when they had that huge proxy fight a few years ago, it was very personal. i can tell you. with scott cook? it was very personal. he was looking for something

pepsico reported a 13% jump in first-quarter profits, beating analyst estimates.ic revenue up about four percent. u.s. isnk volume in the declining overall. the good news for us is, we really do have the best noncarbonated portfolio in all of north america. diet tomers shift from non-carbs, that benefits us. >> wouldn't non-carbs volume be higher than two percent? >> no. i think right now you have a category that is going to grow probably in the 0-1% over a longer time. up,carbs will show outperforming the category. that is reflected in the migration from carbs to non-carbs. >> from the company to the ceo, the former president of the ale is in the corner office. he talks about his new mission, next. going from small to big, we will tell you the story of goal zero. a money burning nonprofit that is now one of america's fastest-growing companies. ♪ >> this is "lunch money" on bloomberg television. streaming live pretty much everywhere online. on your phone, on your tablet, on apple tv and amazon prior. i'm matt miller, in for adam johnson. problemh and the solution.

agreeing to buy pepsico holdings for 14 billion -- 6.8 billion in cash. the utilityrates that serves the washington, d.c., area. i want to emphasize the word nuclear is not nuclear. definitely not nuclear. >> going to accompany story we have been following. twitter, a puzzle for you. posted first-quarter results that beat estimates on the top and bottom line. investors shrugging it off. focusing on slowing user growth and punishing the stock. down almost 12% right now at 37 point 58. bringing in an analyst at kelsey -- chelsea advisory group. 25% from 30%. still incredibly robust. is it therapy people to extrapolate this will mean 20% this quarter in 10% by the end of the year? >> using linkedin as a comparison. they had the celebration member growth until recently and reacceleration, the first from the ipo. if you look at twitter, the first quarter earnings were much like fourth-quarter earnings, better than expected revenue on the ibo. and earnings. audience growth fell short of expectations. that is what is causing the stock to be under pressure today.

pepsico is out at 7:00 a.m. goldman

exxon agrees to buy a pepsico in a deal and taxpayers lose more than $11 billion with said gm bailoutnd reported. joining us now an economist for city research, a great to have you here. 1%? what is that? that is not worth the time to calculate. >> normally when you set expectations low it is easy to hurdle over but not today. the economy underperformed the expectations that were already low but the good news is it was in such a way that accelerating growth with the bounceback to rappers weather conditions and underlying strength showing through. lou: what i love about the commerce department reports they are getting smaller in the rearview mirror. it is so much yesterday. the last quarter that they are so focused on the future for what we can expect with the employment with the adp member that was very strong. what are your expectations friday with the labor department? >> first you are correct belabored number is a more realtime measure and we will get the april number where gdp waiting until the whole quarter is over then you get the full pitcher. >> then the bonus weather report t

i don't think he has hurt pepsico either.n as it's pretty clear the ceo has been giving him tea anyway. the best always get motivated by criticism. pushed by elliott management to simplify and streams line 52 week high. you should be thrilled that value act is in there trying to get microsoft back on track. you have to respect they bringing out value as far as chesapeake, ebay, all which better served their shareholders. there's one more. apple. yeah, oh, man, he's been all over those guys and he took to twitter instantly after the quarter came out agreeing with tonight's announced decision to increase the buy back. saying he was pleased with the results. i bet he was. it helped him clean house. they're trying to remove the ceo and stop his plan to break up the company which i believe would destroy and not create shareholder value if he gets his way. i guess they want to bring out more value but i don't know how much value is left to bring out t. market is better off for these efforts and we have to salute the new trend. it's

i know pepsico has been doing better lately, stock up from 80 to 83. lot feel that is because peltz will throw down the gauntlet if they don't deliver a good number. this raises the bar for pepsico. >> you believe it does so? >> i do. i was surprised i had been saying i don't think they could reaccelerate growth if they spend more money but looks like they did. north america accelerated median investment, sochi, winter olympics and super bowl. >> always the 4 x head wind. talking strong dollar, one reason earnings were down 7%. >> i think that makes sense. j&j had a similar problem. >> yep. i guess speaking on j&j. >> the medical conglomerate did report 154, beat forecasts, dow getting a boost from strong sales of new prescription drugs. raising their full year guidance, increasing the range by about a nickel. and pharma sales up 11, despite the negative currency. >> double digit growth of 10.8 they reported because of currency. one of the reasons i think this is important because alex gorske had lowered the bar, and people when he reported last -- loo

tell you something, you wouldn't be able to muster a rally in ibm, intel and let alone proctor and pepsico. it would be easy if the market was oversold. we sure don't have that and it's not much of a safety blanket. here's the bottom line. the selling is not being courted anymore to the highfliers continuing the collapse we saw friday. however, that money found a home in bonds and the names and it looks like the the safe havens are safer than ever and there is recovery that can do before it looks to be lofty levels. dan in minnesota. dan? >> how are you doing? >> love your show. tgt from minneapolis, buy, sell, hold? >> you know what? i've been looking at target wondering when tlit would go to the level that it was before we had the security breach. don't you think it's interesting that it never did? some of my smartest friends are saying every time the stock goes to a 3% yield which you saw today, they come in -- buy, buy, buy, and i'm with them. michelle in new york. michelle? >> hello, mr. cramer. >> hi, michelle. >> i'm an individual investor. i feel i'm at the bottom of the food chain

. >> best performers in the s&p, kraft, general mills, pepsico, and hcp which has nothing to do witht singles are a big part of life. >> thanks for watching "street signs," "closing bell" starts right now. >>> hi and welcome to the "closing bell." i'm kelly evans here at the new york stock exchange on a monday. >> yeah, it feels like a monday, doesn't it? and i'm bill griffith where we're seeing another ugly day for the bulls on wall street. in fact, the nasdaq is in jeopardy of posting its biggest three-day decline going all the way back to november of 2011. the technology decline has been pretty savage for those stocks, biotech as well. >> that's right. >> but the defensive plays are the ones doing well right now. here's where we stand.

finally consumers names like the beverage makers, pepsico is and co, while having a much smaller exposure still has a toehold in bottling there and spent heavily on the sochi olympics from a marketing standpoint. >> obviously the ripple effects are still to be felt from that particular part of the story. to robert frank with more on the specific sanctions. >> in terms of the companies there could be issues here, but in terms of putin's money, this was a slight tightening of the noose. there were no new billionaires targeted with today's sanctions. all seven people slapped with travel bans are political leaders close to putin. there are, hour two prominent being people. igor sechin, but rosenft was not sanctioned. the company will continue to have banks tim chengo said he sold that stake before the last round of sanctions, but the white house was suggesting that others would be mentioned today, but they were not in fact on today's list. perhaps maybe they didn't have proof linking them, or they may be saving them for a later round, but for nour, most of them are breathing a side of relief

david: it is hard to argue with pepsico, i can tell you that. michael, thank you very much. kimberly, great to see you. todd horowitz, you're not done yet. we'll see you when the s&p futures close. thanks a lot. liz: cloud first, mobile first that is what microsoft's new ceo, satya nadella is telling developers about his vision for the tech giant. is he moving in the right direction or is it too little too late for microsoft to take market share from apple and even google? a former microsoft executive who was once nadella's boss is joining us to talk about it. david: people let their hair grow a little. he started movement that created the national highway transportation -- he started it all really. pushing across the board car safety regulations. now he says the gm scandal has all the elements of a criminal cover-up. you know who we're talking about, that guy, ralph nader, consumer advocate. what does he think about mary barra's testimony. did she make things worse or better for gm? liz: from what you heard during the testimony, we love to hear your opinion. listen it, may

also get data on unemployment morgan stanley, pepsico and dow closed up by 162 points and nasdaq closing up by 62. peggy, over to you. >> seema, thank you so much. >>> vice president joe biden made his instagram debut. look like two little kids. >> they do. >> the social media site was taken this image was barack obama, in case you didn't recognize the president of the united states. biden's instagram account already has 32,000 followers. this one from a san francisco man. he used a drone to take this 15-second selfie of himself and his friends. isn't that cool? >> i love the dogs are up there, as well. new technology showing just what you could do with those drones. that is amazing. >> that is pretty cool. >> cool picture and beautiful day out there. looks like we have a few more headed our way. >> game day. beautiful conditions. little chilly out there. we will see a pretty good sea breeze out there. good morning to you. you made it to thursday. we're getting closer and closer to that weekend now and temperatures are going to be comfortable this weekend for your outdoor plans. we have

i'm thinking google, i'm thinking pepsico today. is there a general trend that you can glean when it comes to how you invest forethe rest of the year? >> yeah, i think the trend is that earnings are coming pretty much in line with expectation. we have an over 60% beat rate, which is typical. we had some disappointi inearni from ge today. i think we'll see more periods of intermittent. whereas the age-old adage was always sell in may and go away, i think for 2014, it's going to be buy in may and be prepared to stay as we're part of a bigger, cyclical bull market. >> are you feeling that enthusiasm, scott sf. >> i think i'm a little more cautious than that just given the overall valuation of the market and the headwinds we have. >> technology valuations or valuations in general? >> valuations in general. the one part of the world where we're finding more compelling valuations and exchange for the opportunity on offer is actually in emerging markets. it's a little scary, it's contrarian, but we think those are probably closer to the bo

blackstone, dupont, ge, goldman sachs, morgan stanley, pepsico all on the calendar. to beat, expected to earn $1.14 on $19.3 billion. we'll have the numbers on instant analysis and looking at comments related to a number of those probes involving citi group's mexico unit. >> so, andrew, tia creff, chief executive roger ferguson. >> what happened to him? >> remember him? buying na srnuveen. tiaa-cref. >> it used to be exclusively the teachers pension. now they do management for all kinds of pensions as well. >> so it's a little bit interesting that -- >> madison dearborn a clear exit from a seven-year-old investment. >> they need that, by the way. they have struggled. >> yeah. nuveen had revenue from 2009. 6.25 billion from a billion dollar revenue company. largest ever by tiaa-cref. >> we will watch the other asset managers to see if they get a markup as well. it would have been nice to be in deal book before it happened. another missed opportunity. thanks, joe. i don't know. when are we going to get something before it comes on the wire. >> i think we had john donhu

pepsico gaining 1.6%, the biggest gain in a month. the company announced a new snack mix.ing chito's flaming hot and doritos chile limon flavors, two lackluster brand a single back. >> you walk into the bloomberg world headquarters and the first kiosk right at the bottom. h-toes. theolar city dropped, biggest drop since november and solar city trading at the lowest point since december 18th and is the biggest loser in the russell 1000. here is one reason -- federal investigators will spend the next year combing through solar city's books in an effort to show the company overvalued sales contracts in order to claim millions of dollars in federal -- >> until things went bad. can'thael lewis says you trust the stock market. one thing you can trust before, clichÉs britt all kinds of them. here is a hackneyed phrase that is come back to vote. corrections are healthy. mendes covers internet, media, and e-commerce and he joins us on the phone. mr. mendes, are you peddling that nonsense that corrections are healthy for the market? like not fearing the reaper. i am not sure what no

stanley, morgan blackrock, pepsico. a busy day for the bank.teresting issues. >> coming up, infinity revamping its top of the range look. that is huge. there is a new infinity cap the. it is bright and yellow. qx 80.he we will be going live to the new york aid -- auto show. matt miller will be interviewing the man that runs in an 80 -- runs infiniti. >♪ >> coming up, the water wars. i used to say the soda wars. chief financial officer has a lot to say about the shift from sugar to something that does not have sugar. look for that tomorrow. i am tom keene. our guest host, william janeway. as we have been discussing, the new york auto show kicking into high gear. miller, our resident card viewer is joined by the ceo of which has big announcements. i am interested to hear about the qx80. >> it is very big indeed. they have a new facelift for that suv. i am here with michael barnes. really exciting to talk to you because you have a whole new team running the global brand. you are looking to do some kind of different things, break away from the typi

but pepsico say that we are more than just a cola company.e have been investing in juices like tropicana and sports drinks with gatorade and others for many years. they are much less dependent on the sluggish cola business and they're much more into where the consumer is going which is a non-carbonated flavored low-calorie average. they both have pretty good outlooks. i don't have a solid answer but they both have pretty good outlooks in their own right. >> part of being an analyst as you are allowed to analyze and you don't necessarily have to trade. let's talk about soda stream. it was up yesterday on market chatter that someone like coke or pepsi might be interested. what do you make of that commentary? >> i think that came about because of the coke of investment in keurig and coke said some nice things about the opportunity because it gives them another channel to reach the consumer. having said that, so the stream offers a similar channel benefit but it also comes at a cost. if you are a coca-cola or pepsi bottle or result beverages arou

the website identified pepsico, dr.ors in the israel-based company. everyone involved declined to comment. you can see shares of sodastream up better than 8.7%. carl? >> pretty nice move. thank you so much, seema. >>> alternative investment fund manager franklin square listing the flagship fund under the ticker fsic on the exchange this morning. they're not selling any new shares, but existing holders of $2.7 billion worth of private shares are now free to sell into the public market. michael foreman is the chairman and ceo, and he joins us at post nine after ringing the opening bell this morning. congratulations. >> thank you. >> we were talking off camera, given the volatility of the past week, action relatively stable and good volume, too? >> yes, a lot of volume. we've had a lot of investors that have done very well over a long period of time. we launched in 2009. and some of our early investors have doubled their money. so there'll be some excited sellers, and then we think we'll build a base from there. a lot of i

. >> they are -- the combination here, between pepsico holdings as you said and excel lon acquiring pepsico -- pepco at this point. rate base of $26 billion all cash consideration, 2725, which is representing a 24% premium to pepco holdings price on the 25th. >> the beginning of a new wave. >> they're doing value. i don't know. we see continued consolidation in the energy sector. >> pepco is joining the old baltimore gas and electric. they fill in delmarva peninsula, fill in virginia. it's a really good acquisition. they can cut costs. not a fan of excel lon's management but this does make strategic sense. excel lon one of the few you don't have to woiry about, the supreme court ruling the death of coal in "the new york times," the epa will never allow -- mark my words, another coal plant built in the united states, never, ever. >> in light of the fact that we just got q1 gdp that grew 1.1% annualized. >> making france look very good. >> let me add one positive note here, which is, for example, excel lon is going to borrow $7 billion to do this deal. >> right. >> ebay for whatever reason is

on thursday, it's a huge day because blackstone, dupont, ge, morgan stanley, pepsico and many more onay it in one breath. here are the numbers for citigroup, the giant is expected to report a profit of $1.14 a share on revenue of $19.3 bill

pepsico said a ceo needs ten years, especially for companies as big as we're talking about to really >> a decade. >> i could be dead in ten years. i want to make some money. >> that's -- you want companies that are going to be well run, well managed. >> doesn't take ten years. >> profitable and making cash isn't part of that metric. >> it's all about priorities. >> what else is important? >> nothing is more important than the soundness of american businesses. >> you're telling me profits are not the number one dna of a business? >> not always. >> am i still on the planet earth? >> profits are a simple to of success and you need the core success and if you're too short term and seen this in a number of different ways, if you're too short term you wind up killing yourself in the long run. >> in the long run you're dead so somewhere in there it matter you make money. >> ten years is a long type. i don't know what the magic number. >> 1,000 years is a long time. >> look at five to eight years, look at period of entry for the ceo and give them time to get acclimated a period of consolidat

pepsico, dr.r, snapple and starbucks noted as possible investors, all decline iing to comment. and lockheed martin came in high after the approval of the f-13 fighter jet. it will make its debut in july and health care providers saw its rating cut from neutral to buy over at citi citing limited opportunities for growth this year. read more about the downgrade and about its earnings report due tomorrow before the bell on cnbc.com. kell? >> bertha, thanks very much. now, we were talking a little bit about manufacturing this morning. big-ticket items often seen as belle weathers to the economy and they don't come much bigger than recreational vehicles. saw a 12% increase shipped to dealers in 2013 and the industry is on pace to exceed that this year. >> the leading rv brand name is win pago who saw a 20% increase in its recently released second quarter results and here to talk about the big moves on the road, we welcome winnebago ceo randy potts. thanks for joining us. >> thank you you for having me.

. >> best performers in the s&p, kraft, general mills, pepsico, and hcp which has nothing to do with food. >> kraft singles are a big part of life. >> thanks for watching "street signs," "closing bell" starts right now. right now. >>> hi and welcome to the "closing bell." i'm kelly evans here at the new york stock exchange on a monday. >> yeah, it feels like a monday, doesn't it? and i'm bill griffith where we're seeing another ugly day for the bulls on wall street. in fact, the nasdaq is in jeopardy of posting its biggest three-day decline going all the way back to november of 2011. the technology decline has been pretty savage for those stocks, biotech as well. >> that's right. >> but the defensive plays are the ones doing well right now. here's where we stand. the dow is down 123, was down 160 points at the low of the session, and that was within the last hour or so. the s&p down 16 and the nasdaq down 46 there. >> a lot of people watching the ten-year treasury yield as well, looking to that as they have for weeks now. >> right. >> kind of a broader reflected gauge of where we sta

look at how well pepsico has done.f people feel this is pelts ready to pounce. >> you don't see him fading away? >> he's not doing a macarthur. coca-cola, we need to see better trends. >> they downgrade to dr. pepper last week. >> that stock broke down. it didn't have a good quarter. it ran, the diet category is the kind of secret of sell-off. people did not know thats a per tame suddenly has a lot of enemies. they are trying to to esteevia. >> pepsi is bringing bam some cane sugars soft drinks for summer. >> we serve pecks can coca-cola at bar san miguel, people love kane sugar. we imparted it from members colorado. >> glass bottom? >> how'd you know? >> it's reason enough to go. >> thank you very much, mr. modello. >> the dow is up 90 a number of the s&p stocks in the red. bob. >> it looks like january something here something odd, ten minutes into the trading session we haven't sold off. we are at the highs for the day. often in the last week, you knows dive in positive territory. sector leaders, i told you, it look

but then if you look at it versus other industry executives, for instance, the ceo of pepsico made $12.6gap for those who would look at that and say he's paid way more than the industry average? >> right, sara, what's important to know that a lot of the numbers in our pxy statement are what we call potential compensation. they are compensation and a person could realize if and only if our company performs. let me give you an example. we had performance shares coming due last year but because we did not meet a very challenging internal target that we had set, those shares are paying out at zero. so, when we reported that in the proxy statement several years ago that was reported at a potential of $5.6 million for the ceo. the actual payout is going to be zero. >> have you heard yet from warren buffett who owns 9% is the biggest shareholder of the company who mr. winters also sent a letter to, he has not heard from him as of yesterday. >> mr. buffett, of course, is a great share owner and a great friend of the company and i would never presume to speak for mr. buffett or anybody else. but

j&j, pepsico.were good. >> schlumberger did beat by a pepeny and don't think we've done ammention. >> i felt sum ber jay was mixed. schlumberger. you have these businesses year over year you have to look at. schlumberger ran more than any company i follow into the quarter. i like schlumberger. everyone liked it going in. that makes it a tougher call. ultimately the stock will be fine. >> yeah. >> that company is well run. >> we mentioned goldman at the top and the 11% drop in revenue. john carney wrote it's the fifth consecutive year over year decline in q1 fick which is interesting, right. and prop trading too. the lowest since lehman. >> we don't want that. i don't know. i get a little frustrated with goldman because what was great at goldman when i worked there but that was many years ago where the departments that aren't doing well now. but i think that you bet against goldman with your own peril given the fact that the book value is low. people want morgan stanley. they want that just consiste

i mean what this shows you is that coca-cola and pepsico maybe are underperforming what they could deliverow. i mean this is a small company. but it's been a big winner and has a good yield and my hat is off to them. frankly i don't know how they do it. >> one of the best performers on the s&p. you want to preview apple and facebook tonight? >> apple, i think both of these are not this quarter stories is the way i look at it. apple, if apple has new products and can make a second half story the stock goes higher. facebook talk about what credit suisse talked about the optionalty and upward biased estimates from multiple offering products that stock will do well. facebook has run in advance. apple hasn't. >> facebook is expected to have a tremendous quarter. >> i know. >> the question i think is the comps that will follow in the quarters to come. the monetization that might be helpful to them of instagram and video. >> we have to hear that instagram is doing -- there's a lot of questions. hey, is facebook passe. 1.3 billion users. not passe. facebook is many different companies now. and the