oil giant petrobras.s is opening an enquirery into a huge corruption scandal at the skimmer. prosecutors say executives conspired with contractors for years to misappropriate billions in company funds, diverting some of that money, in fact to brazil's ruling party. take a look at this. it is thought 4 billion bucks has been siphoned or was siphoned over the course of a decade. 39 executives have been indicted including senior bosses at petrobras, and its contractors. and it has, needless to say, had a catastrophic effect on the company. its market value, look at that has plummeted, off a cliff, down 85%, since its peak in 2009 when it was one of the world's top companies. and earlier this week, the ratings' agency, moody's, downgraded it to junk status because of its failure to get a handle on the losses caused by the scandal. the affair has caused huge public anger, and it's highly politicized. you can see these right here these are just some of the corruption protesters clashing with the supporters of t

by the way petrobras is also an oil company and needs to keep operating.ve have record output, almost -- excuse me, three million barrels a day, but it's facing multibillion-dollar writedowns, the oil prices falling have hurt the company. fund managers are now just fleeing away from the country. it's definitely not over. there are now calls for inpeachment of the chairman of petrobras from 2003 to 2010 when these kickbacks were happening. so this drama is nowhere near done, despite the c.e.o. replacement. >> we just saw that the one-year chart telling the story. the shares down 42%. thank you so much. and that is your latin america report for this friday. up next, encore, your guide to the biggest news makers of the week when "bottom line" continues in just a moment. ♪ >> it's 45 minutes past the hour. let's check bloomberg world news. president obama has released his new national security strategy. and the document, the president says the united states must resist the urge to, quote, overreach abroad. it also highlights how the u.s. will confront global t

it provides oil platforms to brazil's state-owned petrobras. petrobras is under allegations that it paid billions of dollars to win contracts. shares of the parent company sold following confirmation -- further consolidation in the industry. it is preparing for a possible takeover. altice is the parent company. a german sportswear maker puma, is confident of the financial turnaround. the fourth quarter came in at 4.6 million euros. it plans to increase its brand presence. a bittersweet note. over the weekend, one of the world's wealthiest candy makers and italy's richest men died -- died. michele ferrero died. he was the patriarch of the family best known for the tele- -- for nutella. forbes estimates the family fortune at over $23 billion. with that', it's a wrap. back to you. >> thank you very much. we will find out what has people clicking and sharing over the it is time for "web news." >> hello. welcome to the "web news," with our pick of the stories making the online headlines. coming up. web users the world over react to the copenhagen at

alix steel tells us about the management shakeup at petrobras. we begin with peter cook as the chairman of the u.s. federal communications commission releases his proposal for net neutrality rules. good afternoon. >> good afternoon, mark. his basel spelled out -- his proposal will affect every american who uses the internet and every web business as well. it kicks off what should be a giant fight that pits the most powerful companies against each other. responding to millions of public comments and a challenge from president obama back in november proposing to start regulating broadband more like a phone service instead of an information service, dictating strict new rules over how they manage traffic on their networks. the title ii reclassification is a big leap for the fcc. one he has been reluctant to take until now. it would impose rules barring ifc's -- isps from creating fast lanes, wireless networks will be covered and in a bid to soften the blow, wheeler promises this will be light touch regulation. no tariffs on bundling. that should giv

guest: it is true that petrobras is facing a number of uncertainties.as been new management will release in a few weeks or months, but on the long-term it is definitely a part of the world where there are huge reserves of oil and gas. so for vallourec since we are the main customer it is one of the key assets for 20 years to come. anna: so that is a growing part of the business still? guest: it is a good part of the business and unlike many other countries petrobras is immune to the drop in oil price. don't forget that as of today there the net importer of oil products. anna: how much evidence do you see a slowdown in production on the horizon in the u.s.. how much do you see of shale oil and gas slowing down and what impact does that have on your business? >> the u.s. market has always been a very reactive market. it moves up or down very quickly. we're seeing that it's beginning of this year or the number of recount has are ready declined. it will be cut by 40 to 50% this year. this market can react very quickly as well and 10 after the last crisis an

. >> we have breaking news on petrobras.f weeks, be led demonstrating outside the ceo's house. she is about to be looking for new real estate, because she has resigned. this is maria foster. it is a scandal so big that it is not just petrobras, but the country as well. the petrobras scandal in brazil happened on a three year -- every three years, but this is so embarrassing. >> it is commanded goes to the heart of what is going on with the energy industry in brazil which is the jewel of the country. this scandal has loomed over her head for months. she had been speaking with the president about when she would resign and was expected by the end of this month. >> and it's not just her, but five directors as well. petrobras shares are up 6% already. >> and completely inbred within the company 37 years back to an internship in 1978. in the linkage to recess is not casual. >> that is the problem. you can let five directors and a ceo go, but you cannot fix petrobras without fixing the country of brazil, they are so deeply in meshe

en brasil >> en brasil la compaÑÍa petrobrÁs con sedes gubernamentales han comunicado que su presidentavarios desembolso de dinero. segÚn fuentes oficiales hay 15 personas presas y otras 150 estaciones investigadas. en guatemala se inaugurÓ la planta de energÍa solar mÁs grande de centroamÉrica y del caribe. se trata del primer proyecto que se ubica en santa rosa y fue desarrollado en 1 a de 175 ha en donde se instalaron, casi: 1000 mÓdulos solares que les permitirÁ generar 115 gw de energÍa renovada anualmente. el rendimiento totalmente admirable para la naturaleza ya que no produce ningÚn tipo de emisiÓn debido a que los paneles se alimentan del sol y generarÁ energÍa elÉctrica a las 60.000 hogares. nicaragua al menos 15.000 piezas precolombinas halladas en la ruta donde estÁ previsto que pase el canal interoceÁnico de nicaragua, fueron entregadas al instituto nicaragüense de cultura, segÚn fuetes oficiales. la entrega hecha por ejecutivos, a la empresa, la concesionaria de proyecto, se celebrÓ en el palacio de la cultura segÚn anunciÓ la primera dama y portavoz del gobierno, rosario

both petrobras and ike batista have nearly the same business model. they borrowed a boatload of money, and they said don't worry, we're about to pay it all back. we're going to find all this oil, and they didn't find that much oil. this is long before the price of oil declined et cetera. >> is the company going to collapse? sfroo wow. that is a good question. the state owns the majority of the shares right? i have said i think the shares could go to zero. people say no no the government will pour more money into it. they just don't know how big the hole is. they could start to face political constraints. i mean, if moody's is worried about the debt what should you think about the publicly traded stock? >> right. >> the stock gets hammered, and brazil rules are a little bit different so you might have a little more protection, but generally speaking it's very very bad. >> i believe that brazil has absolutely no plans at least currently to pour more capital in. we'll just have to wait and see. thank you so much michelle. thank you. plus -- >> coming up

up next, the petrobras scandal affects approval ratings for recess -- rousseff. ♪ mark: welcome back.me for today's latin america report. brazilian president recess's approval rating is at a low. president rousseff was rated good or very good by just 23% of respondents, the lowest level since she took office in 2011. most poll respondents said they thought president rousseff was aware of corruption at petrobras as it was happening, even though she had publicly denied knowledge of the matter. coming up, former fed chairman alan greenspan says it is just another -- a matter of time before greece exits the euro. ♪ mark: it's 45 minutes past the hour, let's check liberal news. the head of russia's central bank that she is unlikely to change interest rate cuts as she expects the economy to slow. she employed that she plans to employ a range of ideas to stabilize the ruble and the economy. >> no budget policy can create stable, economic growth. >> l virus -- mark: she also said she has a lot of respect for the former u.s. fed chairman who is able to achieve a declining inflation while guidi

. >> caller: hey, i got a big position in petrobras. should i hold on? >> a lot of times i've learned you think hey, i only have $6 to lose. if you lose the $6, it's pretty awful. i think it's one of the most undermanaged companies i've ever seen in my career. it is not too late to salvage the $6. but remember, petrobras symbols pbr, and there's only one pbr. can i go to robert in arizona? >> caller: hey, how you doing? >> not bad, you? >> caller: boo-yah to you and belated birthday wishes. >> thank you. >> caller: my question is on dell chemical. considering how flat they've been the last three months and volatility of oil prices and their income being down from 2013 their net income, what are your thoughts on dow? >> i think dow is doing a terrific job. i think andrew livers is doing a great job. i think what's happening at that company is they're improving the gross margins. they had a bit of a problem with activist. got a little distracted. going to be a low-cost producer of high quality proprietary products. by the way, dupont -- i know we talk a lo

country's ruling party supporters during an event where luis silva was set to speak for the pet petrobras oil company. >>> more than 15,000 hectares of forest have been born in the chibot province. >>> the european clubs association says moving the tournament to winter would damage its domestic leagues. andy richardson has more. >> reporter: almost from the moment qatar was awarded the 2022 cup quest as to exactly when it would take place began. during the usual tournament window of june and july, while qatar said it would have the required cooling technology in place to make such a tournament possible did class qatar's bid as high risk because of the weather. now after a six month consultation process a final proposal has been made for the 2022 world cup should be played in november and december. >> there will be not one solution which will be supported by all. but there is one solution which is is coming out from this discussion which is november-december 2022. >> for now this is just a proposal but it's a proposal that is almost certain to be ratified by a meeting of fifa's executive c

in an ongoing corruption scandal in brazil, the entire board of directors of the state oil giant petrobrasas resigned, including the ceo. >> there was no comment from president dilma rousseff, who is close to foster and supported her in recent weeks. the oil company has been at the center of $4 billion graft scandal. several politicians are alleged to have received kickbacks. >> in bush leaguer news -- in bundesliga news, the chance of closing the gap just got loose. >> this german wenger has been presented as a new member of the team. he bought the german national player from chelsea in a deal worth 32 million euros. the 22 -- the 24-year-old has trained with his new teammates and could make his debut as soon as this weekend in the match against hoffenheim. >> look at that. they've got the gloves on too. thanks for watching, everybody. [captioning performed by the national captioning institute, which is responsible for its caption content and accuracy. visit ncicap.org] >zññzzí[ó[[[óççó[[[[óó[zç[z[ó[[[[[[[[çç w[[çççççÑuyÑ ]Ñy rÑvvpjá.ç>.çájá.Ñáájáç.>ç.j.çánçx ♪ ♪ >>> bangladesh is one of

petrobras trying to recover from the scandal.ng to a person with knowledge of the matter petrobras will name the head of the state run bank of brazil as its new chief. a brazilian judge has ordered that the assets of batista be seized. he is accused of insider trading. his commodities and logistics empire completely collapsed. he is now $1.2 billion in the hole. extraordinary. >> we learned yesterday that 89 million customers may have had their personal information stolen. early evidence points to china. nobody knows more about this than mike riley. you are so good at explaining the mechanics of this. help us understand, how do we know that the evidence points to china? >> on the face of it you think 80 million social security numbers passwords, e-mails would be something criminals would want. it is not that hard to distinguish between criminals and nation state actors at a high level. combinations of malware used in this attack, the sophistication of the attack, the early fingerprints go back to a group that u.s. intelligence an

the ceo of petrobras is to step down. she resigned along with five directors.he company has seen billions of dollars wiped from its market value as of march -- as a result of a corruption scandal. that is the latest world news. another update at 45 minutes past the hour. greece's new prime minister and finance minister are taking their demands on the road for a different approach to greece to top european officials. alexis tsipras strengthening ties well yanis varoufakis met mario draghi frankford. >> i had the opportunity to present to him our governments's unwavering determination that it cannot be business as usual in greece. >> varoufakis says he is eager to meet germany's finance minister in berlin. my special guest host, nouriel roubini. solve this for us. what is going to happen in greece? >> the probability of a greek exit from the eurozone is low. first of all, the germans know if there was a greek exit, it would be disorderly. other banks would say, who is going to be next? it could be a disaster for the eurozone. if greece exits, it remains up in the

jamaica rolls-royce has been accused of bribery to obtain a contract with the brazilian oil company petrobrasey say they paid via an agent in exchange for a $100 million contract. in a statement, the company says we will not tolerate improper business conduct of any sort and will take all necessary action to assure compliance. and dubai world, a state owned company it may complete the reorganization of billions in debts. they have stakes in the port operator in the emirates, and they have agreed to a plan that would extend the terms of its debts. >> now, back in focus today security firms said a gang of hackers have stolen as much as $1 billion from banks and financial institutions across are the countries in a series of raids over the course of several years, and joining us is caroline hyde. caroline, good morning. it is being called unprecedented cyber robbery. is that fair? >> i think it is because of the scale of institutions hit this. we understand as many as 100 banks and financial institutions. this is all being gathered together by a company, a data company that has antivirus software

the biggest name petrobras lost their ceo. upgraded and the payroll number will be pretty them porton. the brazilian riel -- real, those are the triptych of crosses that matter to the u.s. by the way well the chinese do anything with their currency? i leave you with that thought. back to you. mark: you're watching "countdown ." greece lost a critical source of funding after the bank restricted loans to its financial system. it puts pressure on the premised her to stay -- prime minister to stay the course. ubs is being investigated by the u.s. over whether it helped americans evade taxes. that is according to three people familiar. the new investigation which comes six years after the bank resolved a case with the justice department. robert mcgarvey took a fall yesterday after speaking at the airport in the capital. his aides weekly helped him up and escorted him to his limousine. he turned 91 later this month. he just returned from ethiopia where he was elected chairman of the african union. house prices stay a lot about the s

countrywide droughts and a scandal with petrobras is weighing on the currency.rgentina, the city of buenos aires is planning on selling bonds overseas for the first time in two years. hp is attracting interest for its chinese networking unit. persons familiar with the matter says hbs trying to sell 51% of the company by the end of next month. potential bidders include china electronics corporation and some chinese buyout funds in case he to get as much as $2.5 billion for this asset. the end of an error is coming for comedy central's primary shear. >> 17 years is the longest i have ever in my life held a job by 16 years and five months. [laughter] thank you. the upshot of there being that i am a terrible employee. [laughter] but in my heart, i know it is time for someone else to have that opportunity. >> he has been on the show since 1999. where will they turn next and what does it mean for a successful push into the digital world? can comedy central keep "the daily show" as a successful brand? when you look at what they have done editorially they have turned it

they say we are trying to work with petrobras to find a mutually agreeable conclusion.s are cutting this stock and we know who is behind media set, none other than the former italian prime minister and his body owns the shares and they are selling a stake, worth 392 million euros. selling it as they are looking to strengthen the financial structure. they're reducing their stake and they will only house about one third overall. i will end on a high note. it's talk about bulletin -- boliden talking zinc and copper. fourth quarter estimates beat analyst -- fourth-quarter profits beat analyst estimates. >> you and on a high note, i will take it back to the low note crude, 60% of its value gone in six months. american oil production jumped to a record 9.2 3 million barrels a day last week -- 9.23 million barrels a day last week. let's look at the interview with the global chief strategist of blackrock concentrated pain, widespread gain, optimistic and slightly bullish, tell me why. >> you can't have a $1.75 trillion transfer without there being a benefit to all economies. a

the ceo, but they are seeking candidates to run that company, the shares rallying, retro broth -- petrobraswhile, fitch cut them to triple be negative and warned of further cuts to junk. and you can lawmakers have just voted to legalize some technology where the goal is to use a third person's dna to minimize the risk of some with finding agenetic is eases to a condition that two parents may be predisposed to. it may become the first country in the world to allow three parent babies. and sales and profits keep growing at the world's biggest entertainment company. at disney, first-quarter revenue up, 13 point $4 billion, profit up 19%, $2.2 billion in the quarter. during the holiday quarter, sales were particularly strong for consumer products as they snapped up "frozen"-related gifts for christmas. and earlier, "street smart" anchor trish regan spoke to bob iger and about the measles outbreak that started at disney. guest: we had a great quarter from eases our consumer products and the studio and just as stellar quarter for parks and resorts, and i think it speaks to focusing on our brand a

. -- major changes at petrobras. they are accused of taking bribe in exchange for a contract. they fold bowing -- staples bowing to pressure from h office depot. it's the lysacek antitrust hurdles to the rise and competitors. bill gates donated 1.5 billion dollars worth of microsoft stock. 31 million shares went to an unknown entity in november. with the new he has cut his stake in microsoft to 3%. he now owns 99 million fewer shares in steve ballmer -- than steve ballmer. nearly 4 million comments, tom wheeler releases a new land for net neutrality rules. to protect the open internet at all cost. the cost will not be born by the people providing content the carrier. joininghe says he wants to subject broke -- broadband and utility directors to utility rules. he's a internet must be fast, open and fai thatr. is the principle that has enabled the internet to become a platform innovation and human expression. peter cook joins us with more on the wheeler plan. >> this is arguably one of the biggest policy decisions you will get out of washington this year perhaps out of many year

shares of petrobras at the center of the world ever largest corruption case are rallying today.here are reports the brazilian president is seeking candidates to replace the ceo. they are being investigated for taking bribes stop fitch just put their ratings and a triple be negative and warned at a for further cut to jump. more than 5358 people have died since mid april fighting in eastern ukraine and the numbers getting worse. tuner 24 civilians killed in the last three weeks alone is fighting between pro-russian rebels and ukrainian forces shows no sign of abating. using the dna of three people to create a child -- u.k. lawmakers are just voting to legalize such technology to minimize the risk of genetic diseases parents may be predisposed to. the measure passes the house of lords and if it does, britain will become the first country the world to allow three parent babies. self driving cars could be the beginning of google's transition as they offer and -- offer an uber-like service. eric schmidt showed off the new self driving car to transportation secretary anthony foxx will

petrobras bonds decline the most of this month in europe and shares fell after the moody's investors cut the most indebted publicly traded welcome any to junk -- most indebted publicly traded oil company to junk. the downgrade marks the second reduction by moody's in less than a month. fitch ratings and standard & poor's ranks the company at their lowest levels of investment grade. that is your latin america report for this wednesday. when we return the tv show " modern family" features products made by apple in a whole new way. we will bring in shelby holliday with the details. "bottom line" continues in just a moment. ♪ mark: let's get you some of the top stories we are following this hour. the french political magazine "charlie hebdo" is under heavy police protection as it publishes its latest edition. it looks at recent terror attacks in denmark. two islamic extremists attacked the offices in paris last month, killing nine journalists. police spotted at least five drones that buzz the eiffel tower and the u.s. embassy, among other sites. it is the second night of such sightings.

three workers dead following an explosion at a petrobras oil platform in brazil.ur workers were reported missing. another six injured. we'll bring you the latest on this story as we have it. >>> just in time for valentine's day. untie the knot in two days. the hotel lets you check in married and leave divorced. there is no reason to cry. how to shop without tears. we'll go behind the game-changing onion. you heard me right. do you ever have too much money? ♪ you can't predict the market. but at t. rowe price we've helped guide our clients through good times and bad. our experienced investment professionals are one reason over 85% of our mutual funds beat their 10-year lipper averages. so in a variety of markets we can help you feel confident. request a prospectus or summary prospectus with investment information risks, fees and expenses to read and consider carefully before investing. call us or your advisor. t. rowe price. invest with confidence. melissa: from u.s. to every corner of the globe money is flying around the world. russian president vladmir putin, wil

i put that in so people don't think i'm nuts because brazil numbers out of petrobras, something's veryrong in brazil. >> scarily wrong. >> have a lot of coffee in brazil, the price is down. frank sinatra 100. >> hiring jpmorgan to sell off assets too. bullard this morning on "squawk box," two hours with bullard, amazing amount of time in which they talked about a lot of things monetary policy. but where bullard sees jobless rates going in the second half of this year. take a listen. >>> these labor markets are improving rapidly that i think unemployment will be down below 5% in the second half of this year. so if you're sitting around you know, you haven't come off of zero and the unemployment rate's come down below 5% that seems extreme. >> bottomed out at 4.9 in '06. imagine going back there again. >> a lot of numbers prerecession numbers that we're seeing but tend to be on a micro. it's home depot, lowe's saying things. macro numbers, price of housing going up. housing onning aga great, not great. it's remodel. appreciate what he's saying about job growth. texas, not bad. texas woul

a shakeup at result -- at brazil state run petrobras.xecutives have been accused of taking bribes to award construction contracts to government employees. allie baba has gotten a jump on amazon. making its first trial drone deliveries in china. delivering tea packets to 450 customers. if amazon wants the u.s. government to speed up approval for drone tests jeff bezos this morning. >> slower than i would've anticipated. we always knew that. the faa has their hands full trying to figure out how to regulate drones. >> amazon is limited to testing remote deliveries outside of the u.s. do you want to know if your partner will cheat on you? you can check the length of his or her fingers apparently according to a new study. people with the right ring finger that is much longer than the index finger of the same hand are more likely to cheat. >> it is different if you look at your hand from the inside or outside. >> my husband is all good. all set. the studies as people with longer ring fingers have extra testosterone. check it. >>matt's girlfrie

public sector, which affects the environment in which companies -- brendan: you have the metaphor of petrobras. tom: once you make all your money in the emerging markets you have got to do something. thigh high boots is the way to go. mortimer singer is with us in television of fashion week. lovely boots. this is all the rage. how does this happen? how do you guys pick what she needs to buy a month later? how does that work? >> what ends up happening is that all the designers tend to go traveling. they tend to get inspiration. they find seems that a pickup in society, seems that they pick up in various cities around the globe. they use that inspiration to also go in a certain direction. then they end up finding a kernel of truth. tom: is that the kernel of the truth? you need a pair of boots? tom: i was -- olivia: i was informed that i need a suede jacket. these are boots from a company that coach just bought. tom: is it a boring fashion week? is it boring? or is there a pop? >> particularly new york fashion week everybody is excited. america is back. we were saying in the industry that is the

voters hold her accountable for escalating corruption investigations at petrobras.ated good or very good by just 23%. the lowest level so she took office in 2011. those of the worst marks for any brazilian leader since 1999. >> olivia, i screwed up earlier. they used suzanne vega and. they have a great relationship, ms. vega appearing on stage with fallen boy. >> -- fall out boy. >> could you sing something from fall out boy? >> ♪ i'm immortal. immortal ♪ >> we're still talking music. one of the highlights from the grammy awards was the performance of john legend and common. the duo performed "glory" from the movie "selma." back in 1992 he helped make baby got back. before we get -- do you feel it easily was robbed -- e.g. as ilya was robbed? >> beyonce was robbed. >> did you consider joining -- jumping up on stage? >> that was great. the kanye fake out. >> he has a kid now. why is jay-z a better businessman that bono? >> jay-z comes from a long line of entrepreneurs. when hip-hop first started in the early 19 -- early 1980's, it were shut out of music business. peo

petrobras pushed further into junk by moody's, the president vetoing the bill for keystone. >> thankrs. the break even has gone down dramatically because of the cost of drilling. anadarko permian, 17% to 20% return if you drill wells now, we are not going to have any sort of cessation of the glut. >> wait a second. what? 70/20% return drill now at these prices. >> price for drilling come down dramatically, so many rigs. >> the idea of the saudis not increasing output to drive guys out of business? >> we're the swing producer, we are opec it's not them anymore. at $80, you'll see floodgates open. >> we're going closer to 40 than -- >> i think we're stuck here. every time -- the numbers out of annaadarko permian. even dry gas, thank you rbn, 13%, 14% return because the price of to drill -- >> how does that compare historically to the price to the return that -- what is the typical return. >> before this. >> before the costs declines. >> nothing here. they were making nothing until the rapid decline. 29,000 day rate down to 20,000. now it's nine days you can make a lot of money. technol

. >>> welcome back to "squawk on the street" watching shares of petrobras, the stock sinking as the company a replacement ceo later on today according to the "wall street journal" it could be the head of the brazilian bank. those shares down by about 10% so far. now the stock had rallied earlier in the week that -- on news brazil's government had planned the management changes. sara, david, it will be interesting to see how this pbr situation plays out. back to you guys. >> thanks for an update dom. >>> we have a nail the number winner and lionel from leonard town maryland. lionel guessed 257,000 jobs. exactly. congratulations. you nailed the number. hope it's cold there because you're going to get very cold ear muffs. how did you do it? >> thank you so much miss eisen. mostly a guess, mostly luck. didn't seem like the energy sector layoffs were showing in the numbers yet, so i was thinking it my be higher than people thought but yes, it is cold here. >> that's always good to hear. you will be able to put those ear muffs to good use. you didn't take it from your own observations or perhaps