phil lebeau joins us now live. phil, what do we expect to hear this evening from tesla and elon musk >> well, it's elon's vision for the future that's what we're expecting to hear, tyler. and some of this is going to be nuts and bolts in terms of what investors want to hear regarding costs, et cetera, and driving deliveries but overall when you look at the event today a couple of things stand out. one, we will hear about master plan number three. remember, he he's had two previous master plans that explained the creation of tesla, then the growth of tesla this is really tesla going full boat in terms of mass production, really growing the deliveries will there be a lower priced model that he refers to? i don't think he's going to show us a lower priced model but he may say look, this is our plan over the next couple of years. and then finally the focus as i mentioned, it's going to be on lower costs and higher deliveries their market share is a little, basically 2/3 of all evs in the u.s. are tesla right now now, th

phil lebeau. >> you bet. >> bye. >> affordability, right. t's more expensive to buy a new car all the terms are not in your favor right now. to phil's point, he made it. it makes the fed -- that's how we led the show. their job is much more difficult. for all of those out there that magically thought inflation was going away, this one input suggests it's not. >> it's bullish for the rent a car companies. when you look at the fleet value that's the metric when you value the rent a car companies also a four-door gm, think how many cars come off of lease. when the used car prices are down, there is lease impairments. this has to be a tailwind. it's bullish for a rent a car company and less so for the legacy automakers. >> bullish for auto retail >> yeah. >> i mean, for a carvana, not bad for them, right? they have a giant, you know, inventory of used cars >> oh, right. that's worth more. >> that is good for them i thought gm said they weren't having supply issues so i'm not quite sure what to make of that but it's interesting i mean, to your poi

morgan stanley's adam jonas with a note, phil lebeau has made his way to the set we are talking carss, you'd better be here, right? >> absolutely. >> jonas, auto investors should prep for light vehicle supply to rise and willingness to lend to fall at the same time. so give me your thoughts on that first. jonas is kind of the guy >> he's right on both of those he's right on the first part, the supply is rising that is clear. the automakers are making more new vehicles we will see that increase throughout the year as they've gone past the chip and the component supply issues. at the same time what he alludes to in the note what we're seeing here with silicon valley bank and the other issues does that make everybody more hesitant to loan >> and one can only assume the answer to the question is yes. >> that would imply we are going to see a dramatic increase in inventory at the dealer lot. right now the day supply is 40-day supply. if it's a normal market it should be closer to 60 to 70 days maybe by the end of the year you see it get there that's what he's talking about, which then rai

phil lebeau has been monitoring all the action phil >> reporter: melissa, the first 30 minutes of this has been talking -- elon musk talking about his vision for the world becoming sustainable in terms of energy and what is possible and what he believes is possible this is very much 20,000 feet looking down at what -- what is possible breaking away from fossil use the there's been no news so far germane to tesla investors in other words, they haven't talked about future production plans or future models, et cetera they are just starting to get to that point, and i suspect within the next 15, 20 minutes we may have some news we're going to go back into watching the rest of the investor day, melissa, as soon as we have something we'll send it now back to you. >> yeah. he is talking though, phil, about the switch to iron-based cells in electrification because that's a shift already going on in terms of china versus using lithium ione phosphate batteries but that's a longer term thing for sure. >> reporter: longer term that's all this has been so far in terms of this is where we could go,

will this prompt dealers to up incentives to get their inventories moving let's bring in phil lebeau hil >> melissa, we are at a bit of a crossroads for the auto industry, as they edge back towards normal and normal being pre-pandemic, pre-supply chain chip shortages. let me show you the numbers again. the inventory of new vehicles, and we're talking about retail new vehicles, what we see at dealerships, it's 41 days supply up 49% compared to july, when it hit its low point of 26-da, acc. and from their perspective, a normal market would be 60 to 70-day supply. at the same time, look at this chart. this says it all in terms of what people are paying at the dealership average transaction price, it pulled back a little bit in february, we'll see what we get for march, but it's still darn close to an all-time high at just under $49,000 the incentive, meanwhile, has moved up, highest level it's been in a year, up to $1,474 per vehicle. which creates an interesting situation for the automakers and we're talking about gm, ford, toyota, the guys who are still building a lot of internal combu

. ♪ ♪ >>> back with a news alert phil lebeau has that for us on two airline stocks on the move phil, take a look at jetblue and spirit as expected, we are likely going to be hearing from the department of justice as it has been looking at this proposed merger and a decision, according to bloomberg is going to be coming as soon as tomorrow it was expected as recently as last week, scott so we know that it's any day now that the doj is going to say we bless it and we might bless it if there are some conditions met or we will full-on sue to stop this merger. many believe that the doj, given the biden administration's stance on mergers and acquisitions, is likely to oppose this deal 1 00%, but tha is unclear at this point and it may go through with some remedies and jetblue will divest certain slots in the northeast as part of a deal going through. so it has made some -- it has proposed some concessions as part of this deal. whether or not that's enough for the doj or if we'll have a full-on suit to stop it, that remains to be seen and that's why you see shares of spirit now down about 6

phil lebeau. >> you bet. >> i thought it was interesting at this particular investor day presentationn musk made it a point to be seated next to more than a dozen executives that we probably have never seen before, many of them or heard of before to get to the point that i may be running twitter, i may be running spacex but we've got a deep bench here. this is a show to address a lot of investor concern. >> which is a good thing and, again, just for clarification, i thought you had to sell tesla into earnings a month and a half or so ago, the stock was 155 that was incorrect but it did trade the levels subsequently we thought it could go to, 220, 225 which line up with the moving averages now what well, wasn't a particularly good day obviously. traded a lot of volume did not bounce with the broader mark and, oh, by the way, they said they'll need an additional $150 billion of capital at some point. that wreaks of secondary to me i'm just throwing it out there. >> factories that are way down the line made a point about this is so off in the future and no time frame so $150 billion at s

but i think, again, the whole -- this was defined by silicon valley bank and phil lebeau's interviewculp he made it clear the balance sheet is getting fixed and by the way, who covers -- i forget who covers ge at jpmorgan. let me hit that up tonight i will look at why amd is up. i think there's a different answer than what people think. nothing is going on plan of what the bears say. remember ge was a highly, high profile short name not that long ago. and now gm is offering piebuyou of majority workers. so much stuff is in the cards. >> you have to keep your radar tuned. see you tonight at "mad money" at 6:00 p.m. eastern time. dow up 130 every sector green except for financials this morning. down almt peenosa rct. >>> good thursday morning. welcome to another hour here of "squawk on the street. i'm sara eisen with carl quintanilla. david faber has the morning off. we are live for you as always from post nine at the new york stock exchange take a look at stocks half hour into trading here. we're higher the s&p 500 up a half a percent. the dow up 120 points. nasdaq up half a percent a

. >>> got some new data showing a rebound in used car prices our phil lebeau has got that today. >> carl out. this comes from mannheim, the used car index that every month comes out. this chart says it all in february, they say used car wholesale prices went up 4.3%. you see that uptick at the end there? that's an indication of where we are. they're back to where they were prices the middle of last year, not at the record high at the beginning of last year, but heading in that direction. third straight month of higher used car auto prices here's the deal, the tight supply of 3-year-old models is pushing up prices. we've had three, four years where the auto industry has constricted how many years they're making that means you don't have the usual supply of 3-year-old vehicles going into the used car auctions as a result you saw prices move up from january to february. the used car supply, by the way, the number of vehicles for sale, it actually dropped in the month of february according to mannheim as you take a look at carmax, lithia, sonic, all these guys are noticing this increase i've

phil lebeau, those details >> scott, i just got off the phone with robin hayes, ceo of jetblue, he says jetblue and spirit with undeterred despite the doj filing a lawsuit today to block their proposed merger during our conversation, he said that they are disappointed, but that he always felt that the most likely outcome was litigation, which is where they are. so what changes in their strategy at all, scott he says they will be emphasizing a greater emphasis, he says, on what he believes is underappreciated by the doj or not appreciated at all, the fact that they can bring down airfares if combining jetblue and spirit scott, we'll probably see this play out in court later this year, probably in the fall back to you. >> all right, good stuff phil lebeau, thank you very much for that a check on some top stocks to watch as we head into this close. kristina partsinevelos is here with that. >> phil just messengered edmente jetblue and spirit moves evercore upgraded delta to outperform after lagging peers recent pilot contracts should help lower cost uncertainties. delta shares higher, 2% hi

phil lebeau did a great job yesterday covering the issues. early outs now we have a wave of new pilots coming in, experienced but not experienced at the high intensity operations that we have at many of the operations you see going on add to that the training pipeline is jammed up so they're reducing the amount of training for pilots and they continue to pressurize this system we brought this to the attention of the faa and they gave us a response that is actually a toxic response on a flight deck. well, it's legal and our response is just because it's legal does not mean it's safe or smart. fortunately, the faa has called a safety summit and the military called it a safety standdown there have been too many close calls. we've been calling this out for more than a year it's time to sit down and not just talk about it but get things done. >> dennis, do passengers need to be concerned about flying at this point because the headlines i'm seeing do concern me. if you're anybody who's been on a plane recently, you know it's not a pleasant experien

phil lebeau will join us and talk about that. one of the filings that he dug through is the growth they have seen to the point moderated in january and february not that it has gone away, but the unusual strong growth they had quarter after quarter as consumer demand has been there and waned a bit. >>> shares of gitlab plunging. loss of 3 cents per share was not as bad as 14 cents as analysts expected. the guidance that was weighing on the stock gitlab expecting full year revenue below estimates. >>> up next, we talk about the inflation data it could put the fed in the tough situation if it is hotter than expected. wall street is looking for a slowdown or a pause in hikes what happens if that cpi number comes in hot we tackle that question next you are watching "squawk box" and this is cnbc in order for small businesses to thrive, they need to be smart... efficient... agile... and that's never been more important than it is right now. so for a limited time, comcast business is introducing small business savings. call now to get p

investor day that said, clearly didn't impress a lot of shareholders this morning let's get to phil lebeau of the highlights hi again, phil. >> hey, carl they were not impressed. analysts look at their reaction and notes they liked what they heard in terms of the vision they didn't like they didn't get many details what's coming up near term. dan ives writing ev stage is set. no $25,000 car yet referencing the fact that people expected some type of announcement about a $25,000 or $30,000 vehicle. bernstein wrote long on vision, short on specifics and then you've got patrick at ubs saying no new car but a compelling road map. that road map, by the way, basically comes down to this much lower costs over the next several years, if not decade, and higher volume. how are they going to get higher volume in part because they're going to be adding capacity including a gig da factory in mexico which they announced yesterday as for demand, elon musk says it remains strong and they believe that it will stay that way and if they have to cut prices they know they can stoke demand that way. >> one of th

is now a good time for me to add to my holdings in boeing >> yes phil lebeau interviewed him, i really like what's happening at boeing it hurts me. you've got to own your mistakes. this one i should have held onto all the way because it's going to make a big come back. we don't want the fed to turn a potential soft landing into a hard one j i'm learning more about what investors can expect in the future from the company's outgoing and incoming ceo. and on sunday various government agencies tapped into this thing -- all these different acronyms, well tonight i'm going into what the nitty-gritty really was you need to know this stuff. and could a chemical giant give your portfolio the reaction investors would hope for nice yield there i'm talking to the company's top brass fresh off its capital markets today. so stay with cramer. >>> don't mess a second of "mad money. follow @jimcramer on twitter have a question tweet kramer send jim an e-mail to madmoney@cnbc.com. or give us a call at 1-800-743-cnbc miss something head to madmoney@cnbc.com. for businesses of all sizes, there are a lot o

phil lebeau has the details and whether this could be the long-awaited boost to ev battery production>> it will be, dom, no doubt about that the question is how quickly will we see that production, not just of battery packs, battery cells, but battery components here are the new ev tax incentives that go into effect on april 18th. remember, the most you can get is $7500 if built here in the u.s. but it comes down to the battery. 40% of the value of the critical minerals in that battery are processed or sourced in north america or free trade countries, if that happens, then you get 3750 then it ramps up to 80% by 2027. the other part of this, it comes down to the battery components talking about copper coil, et cetera if 50% of the value of those battery components are coming from the u.s. or a free trade country, you will get another $3750, ramping up to 100% by 2029 what is the real implication in terms of how many vehicles, that's what we are talking about, will qualify for the full $7500 or even $3750? we'll see a hit in the number of vehicles that can get that that may impact ev s

east guess we're not going to show you the shares, there they are, up over 3% now let's show you phil lebeaune along with a special guest >> hopefully we'll be able to show you dave calhoun, ceo of boeing along with toney douglas, ceo of reought international airways. they're part of the big deals announced. there they are we have them today thank you for joining us i want to start first with you, dave these are two huge orders, with riyadh international as well as saudia 77 orders, total value, about $37 billion. give us some perspective on how important this is in terms of furthering your footprint in the middle east. >> well, phil, great to be with you. thank you. yes, this is significant it's big riyadh air, and you'll hear from tony directly, offers new destinations to population that's been underserved. our wide bodies, the 787 in particular, play a very key role in connecting this region of the world with many other regions. i think for riyadh air, the 787 and the connections that they have in mind are a perfect fit so we couldn't be happier with the order, the size, the scale yes, cr

mention the dow getting a bit of help from the likes of boeing, which is up quite nicely thanks to phil lebeau. oh, all right. we can keep going if you want. i'm happy to go all day long >> let me tell you this, before we send it over to them. whose engines are going to be on these planes, not just for riyadh but also for saudia, general electric that's a nice footnote to this order out of saudi arabia today. >> interesting because shares of ge have had quite a decent close. some people do point to the multiple of ge yeah, the multiple there, which is quite high. but perhaps, phil, their business is obviously focused. >> the aerospace is chugging along very nicely. we were there last week and talking with larry culp, ge aerospace has it going right now and you can see that >> not where i thought we would end this hour, but it's where we did. let's send it over to sara and carl on the floor. >> good tuesday morning. i'm sara eisen here with carl quintanilla on the floor of the new york stock exchange, setting the agenda for us. jpmorgan's michael furoly with an inline cpi number, while wall str

let's discuss with our own phil lebeau there are a lot of ways elon musk talked about cutting costs,uring, and reducing the amount of raw materials needed, the cost of materials and other battery makers, other manufacturers are reliant upon. >> whether it's through reducing the cost with raw materials, whether it's through greater efficiency of bringing all the processes together, even how they build the vehicles in the future they believe can be done far more efficiently at a lower cost on paper, melissa, this made a lot of sense there's nobody arguing with what they were saying in terms of what is possible the problem is, there were no benchmarks that were set out there. it was not as if elon musk said, look, by '25 we expect to have this amount of investment, this amount of savings. by 2030, x, x, and x there was none of that it was eventually we'll come up with a vehicle that will cost 50% less when your guess is as good as mine. maybe '25, maybe '26, maybe 2030 that's why the stock is under pressure adam jonas is right, this he are ahead of everybody else in terms of reducing co

phil lebeau spoke to the company cfo about the company's guidance. >> when you look at their guidanceay, i think people can take a little something away from this. if you are skeptical about evs and fords ability, you can say they lost $2.1 billion last year. sure, they say they're going to be profitable but i don't buy into that. that's if you're skeptical. if you're optimistic about ford using the cash they are generating, the legacy business, that's what they called ford blue under the new divisions. $7 billion. ford pro, they kill it when it comes to commercial vehicles, $6 billion. they're expecting reaffirming their guidance of 9 to $11 billion. but it's that ev component. that's what people are focused on. >> if they're projecting profits of 9 to $11 billion, people are still buying gas engine machines. >> you bet. >> so why is ev the big shiny thing for ford. >> well, it's not just ford, it's all automakers. it is the future. that's where we're headed, whether you believe it, five years, ten years, 15 years, it is the future. ford believes they can be profitable with electric

was going to be more hawkish today that was the risk, i guess, going in it's notable, too, what phil lebeau reported earlier about used car prices and the fed chair discussing the fact that goods disinflation seems to be slowing a bit and services disinflation is really slow, and therein lies the problem, right? >> yeah, he's just not getting the help i think it was interesting the way he kind of explained how his view has changed because of the data we've been talking about almost every day from january. not only did it come in hotter than expected but those revisions. and how that's affecting fed officials saying the data has changed so the outlook has changed and that's why you get this idea that if the data remains the way it has been when the fed goes to pencil in a new terminal rate in march, it's going to be higher than they previously put in there. i don't think the market was quite prepared for that. i think they were prepared at the idea it could be higher. it wasn't prepared for more rapid pace scott, i want to go through, it's a little complicated but if you can put up the proba

until next time, phil lebeau >> still ahead, amazon may be higher today, but it's pin a painful stockt a great time to buy or is it a dead growth stock? a good old bull/bear debate is next take a look at shares of walgreens taking a leg lower as gavin newsom tweeting california won't be doing business with walgreens after the company said it won't dispense abortion pills in some republicantas. 'rba aer this. our money. i keep eating all these chia seeds. i could live to be 100. we work with empower, even if we do live to 100 we don't have to worry. eh, not worried. take control of your financial future to empower what's next. ♪ (cheery music) - they get it. they know how it works... and more importantly... it works for them. - i don't have any anxiety about money anymore. - i don't have to worry about a mortgage payment every month. - it allowed me to live in my home... and not have to pay payments. - [narrator] if you're 62 or older and own your home, you could access your equity to improve your lifestyle. a reverse mortgage loan eliminates your monthly mortgage payments and puts tax

joining me is airline city reporter phil lebeau this meeting that the faa is having trying to stave off really close calls. what sort of changes are they talking about? >> well, near term, katy, everyone agrees there has to be greater vigilance. i know that's not going to be enough for people who have seen he's incidents here's the secretary of transportation today talking about the need for greater vigilance. >> while the data are clear that u.s. aviation remains an exceptionally safe manner of travel, we take nothing for granted and we are particularly concerned because we have seen an uptick in serious close calls that we must address together. >> okay. so beyond greater vigilance, what can we expect longer term i think we could see a concerted push here, katy, for more technology, whether it's in the cockpit or at airports to assist pilots and to assist air traffic control operators to have a better vision of what's happening out there. now, this all sounds great but keep in my the ntsb held a meeting about air safety back in 2017 they made a bunch of recommendations about new safet

and phil lebeau on tesla's big move, and what he's watching and nike's earnings right after the bell.have you here today. we had the market actually making new highs for the day, going back about a week and a half in the s&p 500. seems like there's some comfort building or at least a lack of fear as to what the fed might do tomorrow. what's your best guest on their decision and what are the immediate implications do you think of what they do? >> the fed is grappling with whether they're going to be arthur burns and inflation is high, or whether they pull the full jean claude and hike into a banking crisis. we think the fed will take the next step, a 25 basis point increase, but probably wrap that in dovish language, indicate their close to the end if not at the end, and in a way, it doesn't matter. it's priced in, and at this moment, what's most important is the broad liquidity being provided, you know, through the fed's balance sheet and some of the programs they put in place and liquidity they provided last week. on the one hand. also, on the other hand, what we do expect to see lea

. >> all right, phil, good stuff thank you for that update on boeing that's phil lebeau for us. liz ann, when you see something like john mowrey who is here and thinks the story is more positive than people have let on and points to numerous places within the market where you can still find good opportunity, and where risk is worth taking, that's the key, that risk is worth taking in certain areas of this market, what's your response >> my response is that what i would maybe say that is a bit different from what john said, is i think there are opportunities within the market, but i think you have to be really careful about assessing them at the sector or industry level. i think it is more important to think about them at the factor level, the characteristics, and in an environment where we've got higher volatility, and a lot of uncertainty, you have to look at the macro forces that represent things that are dear, that are less ample out there. so in a rising interest rate environment, where now there is liquidity risk, you want to look for companies that have strong balance shee

>> phil lebeau pushed back on ford, and i've been wrong many times in this.ust go back, june of last year, october of last year, december -- each time we get down to this 11 and a quarter area, we bounce, so, and there's the chart right there, so, we looking to trade it, here is your level, but man oh man, they just can't really -- they have not figured it out yet. >> wait. are you going to bring up tesla? >> no. listen, tesla lost billions of dollars trying to build an ev business. but i agree with you. why wouldn't you get it out there, as long as you actually don't think you're going to mansion massively get that number wrong. and the other night, i said something really stupid, okay, at the end of my conversation -- >> be specific. >> you know, you guys -- there is lots of love here. >> there is. >> and that's a good one. >> absolutely. >> i said something really stupid and i said, you know, i said something about tesla having more to lose than, like, a gm or a ford in this thing. and i think in some degrees they do, as it relates to market share and thei

investors were not impressed phil lebeau will have highlights next. >>> we will talk to new jersey governor phil murphy about the anti-esg backlash. he may know more about inv investing. w ithe investing business for a while. you are watching "squawk box" on cnbc >> announcer: this cnbc program is sponsored by truist wealth. where meaningful relationships matter most. hi, i'm ladonna. i invest in invesco qqq, a fund that gives me access to the nasdaq-100 innovations, like real time cgi. okay... yeah... oh. don't worry i got it! become an agent of innovation with invesco qqq it's hard to run a business on your own. make it easier on yourself. with shopify, you have everything you need to sell online and in person. you can have your inventory, payments, and customers in sync across all the places you sell. it doesn't have to be lonely at the top. join the millions to finding success on their own terms. start your journey with a free trial today. think he's posting about all that ancient roman coinage? no. he's making real-time money moves with merrill. so no matter what the market's doing, he

we'll talk more about it in the 8:00 hour with phil lebeau i still refuse to eat potatoes made with poohe's so inpredictable as we've seen in the last week or so. we've got to talk to jonathan sorkin greenbaum about that. you must have been just horrified. >> i don't know if i'm horrified. i think there's going to be a lot of different ais. >> i was talking about elon musk saying -- not agreeing with dilbert, but sort of saying that the media itself has got some issues with systemic -- >> oh, yeah. i'm not with elon on this. >> that's what i mean. we'll talk to jonathan about that is ai going to give us the twitter situation? is it going to be like that, that everything you bring up is going to be skewed in that way >> i think there's going to be multiple versions of all this. you have noticed certain social media types are all based on la-la land, california is ai going to be like that. >> i think there's going to be multiple versions of it. >> garbage in, garbage out. >> that's the question. >> all of it. >> does it transcend that? that's what true ai would be, when it transcends guyg

let's get to phil lebeau with the day we've been waiting for >> we have been waiting for this carl i'mg the model y reported when we've seen revamps of tesla models it's working on things like the headlights, back bumper, et cetera. let's wait and see with the model y. but tesla investor day, this is geared for wall street and investors, what they can expect from tesla and it's all about lower cost and higher production you'll hear that message time and again from elon musk today battery manufacturing is a part of this. how they can drive down the cost while increasing the production of batteries and what about the plant in mexico, yesterday the president of mexico said they're coming here. do we get details from elon musk today? and what happens with the tesla gigafactory in texas, where they build the model y, still see strong demand here in north america for the model y and the cyber truck later this year and ramping up deliveries going into next year. speaking of deliveries, the protection from tesla, the guidance for this year is 1.8 million vehicles though more than a few week th

that is as estimates for 2023 are rising phil lebeau has more >> joe, this is an interesting first quarter a cool down with auto sales and pricing. costs out with the estimate in terms of what to expect for the first quarter. it is coming in hotter than expected as a result, you are moving sales forecasts for vehicles up to 14.2 million. used vehicles as well. near record highs in pricing and terms of the showrooms the demand is still there. it may be cooling off a little bit more than people thought than a monthionth ago you had transaction prices peak in december and come down a little bit don't be priced if it kicks down for the automakers, they are noticing people are saying, wait 7 $750 monthly for a vehicle 40-day supply is out there now we get month end numbers in a week don't be surprised if it is in the mid-40s in terms of supply that is an increase compared to june of last year. normal inventory is 60 to 70 day supp supply look at gm and tesla they report the march deliveries next week. i suspect we get tesla over the weekend and we hear from the legacy automakers on monday and t

. >>> ford out with news and phil lebeau is here with a special guest. >> john lawler joining us todayn this year. you hear the chatter. people are saying, when are you going toÑi make money on evs? >> right. it is a startup buried within ford motor company. that's why we like our plan here to segmentw3 the business aroun three distinct customer groups. ev being oneñr of those. iconic ice vehicles. and then commercial customers. when you look at the path for our evñrs, we're losing money ná we're a÷startup, we'ree we're developing the products and we'll share later today a bridge that shows how we're going to bring the profitability of our ev business up to the 8% ebit margin we committed to by 1 >> getting there, you know there are more than a few skeptics i don't think the cost of batteries are going to come down as much ss■ you say they're goig to come down. i don't think they'll get the efficiencies they're counting on. how did you counter that? especially off the fourthxd quarter where you surprised everyone withñr higher costs? >> we have an incredible teamrwo generations of ev v

. >>> general electric holding investor day in cincinnati phil lebeau is joining us with the special hil, good morning >> reporter: good morning, becky. larry culp here for investor day in cincinnati. you reaffirm guidance today. revenue growth and free cash flow you are expecting it to be up from 3.8 to $4.2 billion his projections for the year give me a sense of where ge is right now. >> phil, thank you for coming out to cincinnati. welcome. we're here at the customer chat education center we normally have our investor day today. this is really where we have hundreds of technicians from the world overcoming to cincinnati every year to learn how to support the fleet of engines of that ge has around the world with respect to the guidance, we look very good about the financial projections. no change in that regard we have high single digit organic growth our free cash should be between 3.4 and $4.2 billion this year up nicely on adjustment basis. we feel good i think what we will take people through today is where we stand with the transformation with what happened and what we have in

phil lebeau joins us right now with more on this. early reports kind of shocked me as somebody who travels, i'd like to know more too. >> i think everybody would, becky. you're looking at a system right now where we have dramatically increased the number of flights compared to two or three years ago, and as a result you have a number of new people working in the system, whether pilots, whether air traffic control, whether ramp workers you've got a lot of people who have moved into new jobs, you add that along with the congestion and what you have is a situation where we've seen a number of rather high profile runway incursions or close calls, and that's why the faa is holding a safety summit. next week there will be representatives from airlines, airport, regulators, pilot unions runway incursions basically where you have a couple of commercial airlines that maybe came close to hitting each other, maybe have clipped a wing in some places, or near miss incidents. one of the most notable happened in us a ten, and this is animation that

number of planes that are in the tri-state area at this moment this is a precursor of things to come phil lebeaunow with a special guest good morning. >> good morning. let's bring in billy nolan, the acting administrator for the federal aviation administration. he joins us from washington. billy, thank you for joining us today. you were joining us before you have a meeting later today airlines, airports, unions, general aviation, you're all talking about ways to ease congestion in new york city. i have to be honest with you, i flew in yesterday. i told people i was going to be talking with you everybody said i'm not looking forward to the summer in new york, i think it's going to be a nightmare. what do you say to those people? >> let me just say our goal for the summer is to make sure it's safe and as efficient as we can make it while minimizing the disruption for the flying public, and that's why we called a summit this afternoon and that's what we're looking forward to discussing. >> one of the things that you guys announced just within the last couple of weeks has been bringing down the slot