solar city, the largest u.s. r services company, beats on revenue and raises its forecast for the year. we ask the ceo about sunny outlook and what advice he's getting from tesla's ceo, elon musk, who also happens to be chairman of solar city. riding high among the clouds could be a bumpy business. turbulence can cause injuries and cost airlines millions of dollars. it's our business of travel day, so we're asking the president of weather services international about the latest technology airlines are using to find smoother air and higher profits. and smash mouth football horse trading. it's nfl draft day. first round draft picks will land millions of dollars as well as big endorsement deals. how can you profit? the new fantasy sports site trade sports has just the game for you. ron bernstein is here in another fox business exclusive. get ready, "countdown to the closing bell" starts right now. ♪ ♪ liz: oh, we were so close to a new record for the dow jones industrial average. i'm liz claman, you can see right now

>> solar city, when carbon fuels were not as scarce as they have become, it needed some help.ded some research help. that time has long since gone. we do not need the grants or tax incentives. we don't need the direct investments of solyndra -- >> which is ironically two doors down from tesla. >> these are not any longer good uses of the regulatory regime and in fact, they are now interfering because you have companies like solar city so focused on maximizing tax breaks and subsidies that they've built the entire business around the way they have leased rather than selling the materials to the consumers. they're so focused on maximizing the revenues from the government that they are no longer in the business of disrupting energy and that's what we want them to do now that the solar power can be built cost-effectively and as carbon fuels get more unpleasant and unpopular it scares to use, they are on a trajectory. they don't need that much level of help and help has become counterproductive. >> does elon musk run the risk of biting the hands that feed them by suing the military

i am recommending solar city's stock. virginia? >> claude? >> hey, jim, first time caller, longtime listener. >> loving it. >> i want to thank you for what you do, and i want to know if i'm in the soup with noodle. >> noodles came in and talked a big game. talked a real big game and then came here and disappointed, and i've got to see some more -- i'm not seeing the kind of action i would like to see in noodles and i don't think this one and pot belly came public and everybody was excited about it and we were wrong to be as excited as we were. well, they were wrong. let's go to michael in new york. >> a big boo-yah from brooklyn, there. >> where, man? >> i'll buy you a mezcal! >> i do plan on coming there and i've heard a lot of good things about it. >> ten dishes, ten bucks. >> big question. pfizer did for astrazeneca? is it good for pfizer? it's not good for pfizer, it's great for pfizer and the tax machine will change and astrazeneca pipeline's better than i think. i am skeptical and it's a british company, buzz i do t

solar city, the largest u.s.ny, beats on revenue and raises its forecast for the year. we ask the ceo about sunny outlook and what advice he's getting from tesla's ceo, elon musk, who also happens to be chairman of solar city. riding high among the clouds could be a bumpy business. turbulence can cause injuries and cost airlines millions of dollars. it's our business of travel day, so we're asking the president of weather services international about the latest technology airlines are using to find smoother air and higher profits. and smash mouth football horse trading. it's nfl draft day.

. >> let's switch gears and talk solar city. what's your opinion of the quarter? >> very good as far as deployments go. they were at the upper end of their guidance. as far as new orders, they're booking. they raised their guidance to above where our numbers were for the year. unexpectedly guidance for next year which is almost double this year. i think that caught the market off guard. the shares were down sharply today with overall solar selloff but i think we can see shares rally and price targets need to go up across the board. >> to jump on the conference call, ben, would you advise clients to buy the dip in tesla we're seeing in the after hours? >> i would wait for the dust to settle tomorrow and all the models to reflect the operating expenses and then get involved in the second half. >> what's a fair level in your view? >> i think if you get down to $175 or so you start buying there. >> ben, thank you for your time. appreciate it. ben says -- >> that's $175 that's where people are looking at the support in the name. this is a stock -- i don't think it's ab

the grants they have gone from nasa and tesla, what about solar city?s an example where asar energy, when it was expensive as it was an carbon fuels were not as scarce as they have now become, it needed some help. needed research help. that has long since gone. we don't need the grants or the tax incentives. we don't need the direct svestment in things like olyndra. these are not any longer good interferinghey are because you have companies like solar city that are so focused on maximizing the tax breaks and subsidies, they have built their entire business around that. than selling the materials to consumers. they are so focused on maximizing the revenues from government that they are no longer really in the business of disrupting energy. that is what we really want them to do. now that solar power can be built cost-effectively and carbon fuels get more unpopular and scarce to use, there are trajectories -- they don't need that much help. >> doesn't elon musk run the military for the the way the award the contracts to lockheed martin or pursuing pieces

we welcome the ceo of solar city. it feels like strange bedfellows.hat, a lot of folks are saying growing -- going groupon is a sign of desperation. to our original roots. i am excited about the program. states.hed in 15 if you go back to our original --.s in 2006, we launched t is fairly extensive -- expensive. if 100 homes in a neighborhood, you can reduce your costs and bring the cost savings onto the customer. we launched group buying in 2006 that made us the largest solar company in the country. since this brings a similar concept onto the internet. it allows group buying. we are able to reduce and offer savings onto the customer. >> you are launching in 15 cities. do you think it will be most popular in california? >> it is about 84 locations. >> why groupon? >> it is the group buying effort. you ask somebody to get a discount by going solar. i ask about why groupon, stephanie likes to make cracks about discount sushi. people go there to look for discounts on a local restaurant that they might like to try because it is cheaper. are those people

we are told things are looking up for solar city. nicole petallides..5%. this is a huge move for solar city. they are upping their forecast. you have jpmorgan. everybody is loving solar city. you do have stiff competition coming in. the analyst definitely feel the study is prime in this market. stuart: they surely did. is that your pick? charles: we took profits on it. you can get these panels on your roof and take 20 years to pay them back. stuart: the stock is up. tablet prices are falling. the average price of a tablet is down $53 in the past two years. and a lot of people saying they are loaded with too many apps, they are hard to navigate. i had an ipad mini and an iphone. i went on the desktop computer at home last night for the first time. i loved it. am i a dinosaur? stuart: no. i understand entirely. my eyes are not as good as they used to be. we have all been there. you need a hotel room last minute. it is an app. it gets you big discounts for booking a hotel. there is a small patch here. you have to stay that night. it is a day of. all right

what we have for solar city is a loss of 82 cents a share.worse than the average analyst estimate for a loss of 74 cents a share. although revenues do come in better. revenues are reaching $64 million for the quarter, beating the average analyst estimate of $5 about million for the quarter. in the first quarter they said that they added 17,664 customers, if you will. that's the largest quarterly gain in their history. they ended the quarter with over 110,000 paying customers. they remain on track to reach their goal of 1 million customers by the middle of 2018. they also offer a forecast. the forecast perhaps a little bit lighter than some analysts were expecting here. the forecast for q2 is a loss of 90 cents to $1 per share, and analysts on average were looking for a loss of around 64 cents per share. still, the stock is 6% to the upside reaching its after market highs right now. more details to come, but for now scty shares a nice solid move on the heels of an earnings miss for a revenue beat. back over to you, kelly. >> dom, thanks very m

and we can look at some other options, and like, sat rating the city with solar. and unfortunately, if we blanket every single roof top in the city we will achieve 7 percent of the electric load. and therefore, even if we are able to reduce, 50 percent of our electric load through high amounts of energy efficiency, we would still only be at 14 percent. and maybe, with some additional brown fields or other sites we might be able to get 20 percent, but we are still going to be talking about importing large amounts of electricity, from renewable resources, in order to meet that goal. and alternatively, we can look at trying to get through the same 931,000 tons a year of diverted through some other means, like vastly reducing the number of vehicles on the roads in san francisco, and requiring more car sharing type of solutions, or going after natural gas use. and trying to really cut back on the amount of natural gas that is used in homes and businesses in cooking, heating and hot water, and particularly it is hot water and home heating, that are the primary uses of na

solar city and grupon offering first of its kind deal on solar power. really?i have already yellow flaggeded solar city in january. and now, i have to tell you something, i go to red flag with this because this is now telling you that their business isn't what it appears. some big targets out there because they've given very big guidance. the only time you go to couponing and in this case, gruponing, it's not from a standpoint of strength. you never do that. >> but i'm glad they do that. i use amazon local and grupons all the time. restaurants and all kinds of things. >> on what? >> mainly restaurants. there's always something in the local neighborhood that's good. why not? thanks a lot, herb. we hope you will be watching shark tank on cnbc prime because this month, we're diving into the tank to find out each shot's best investment. we asked mark cuban and his answer was simple. >> of all the investments, i've closed 30 plus deals on shark tank. simple sugar is out of pittsburgh, pennsylvania. >> i started it in 2005, when i was 11 years old. >> came in and rea

. >> i want to talk about solar city. solar city truly did report a great quarter. solar city is going into distributing solar, meaning the panel on top of your house. and solar city, along with a competitor nrg, which is david creen. >> the ceo. >> it's a very nice recommendation and says listen, believe me, the distributed business is very, very strong. we're seeing that it's a headline. good quarter, better calendar, even better your 15 targets. this one is ripe. >> so you come and subsidize and then sell power back to the utility. >> the more places that do that, the more you own solar city. first solar is on tonight. that has not been their gig. first solar is about gigantic power plants. >> mega rays. >> i happen to like both because i think solar prices have come down. some of them -- >> multiple, though, right? >> there's no doubt about it but there is -- this is a future of 50 million buildings that could have a solar panel. imagine that market, it's 50 million buildings. >> that's a lot. >> it's a great business. >> it's a lot. >> i'd like to go in it if t

solar city, have we got the board there? we can show people what it's doing.s up big. 15% or so. >> 13. >> there we go, 13%. but you're not convinced. you're saying it's still on your watch list with a yellow flag. >> oh, yes, still in the reality check watch list because i think if you take a look at what the company really did is it did something yesterday, it came out with 2015 guidance. that's six months premature for what you would expect the company to put out guidance. when i mentioned that this morning, in reality check, i said that was sort of a classic diversion tactic. because the company -- the guidance is enormous. if they can get there, that's going to be really something. but you're going so far out. when you see a company go so far out, whether it's store openings or they announce a new contract with someone when they announce earnings and the earnings are really bad, something to divert your attention. this this case, there was some good news, but there was also some bad news. so if you look at this without that great new guidance to the end o

well, solar city is soaring following strong guidance and increased bookings. steve weiss?, who's your favorite child today? i say it's got to be solar city, because that one has outperformed, a very, very strong quarter, somewhat blunting the pain in tesla. still overvalued. i'm not playing. >> okay. priceline announcing bookings rising 30% year on year citing its acquisition of kayak. stephanie link? >> guidance typical conservative, hotel rooms growing 32%, the best in the industry, trades at 19 times forward estimates. it's not a high flier and one i would buy. >> can't wait for the next story when we come back. investing in the next generation of wall street. a unique program at one university and the student investors behind it. we're going to open their playbooks when "the half" reports. mine was earned in korea in 1953. afghanistan, in 2009. orbiting the moon in 1971. [ male announcer ] once it's earned, usaa auto insurance is often handed down from generation to generation. because it offers a superior level of protection. and because usaa's commitment to serve cur

solar city jumped 4 percent.. sunpower 3 percent. energy efficiency continues to divide capitol hill. a bill to advance green energy policies in homes and businesses was shot down yesterday by senate republicans. chrysler hit a bump in the road. chrysler booked a $690 million dollar loss in the first quarter. the loss is connected to italian car company fiat buying the american automaker. chrysler had $1.2 billion dollars in charges winding down debt and financing payments to a health care trust for retired autoworkers. the new company is fiat chrysler automobiles. minus the costs.... chrysler earned $486 million on strong sales of pickup trucks and jeeps. the company is backing its forecast for the year in today's cover story--if general motors' suppliers are unhappy--could that spell more trouble than g-m has already? a survey of suppliers to the top six automakers say general motors is their "least preferred" customer. but the reasons that drew the most criticism are not couched in such mild terms. companies that make parts for ge

. >> solar city is number three. largest solar providers surging after the company forecast a number of installation increases this year. solar city, which is one of elon musk's companies, is expected to install 500 50 megawatts. so many megawatts. nobody knows what that means. dish added 40,000 subscribers, more than estimated. overall though, growth has heat. >> coming up on the number one stock of the day -- comcast down just over 1%, time warner and the midday down as well. ringing] ell at the close of trading right now -- so much for that rally we saw earlier. the s&p two points at shy of them all-time record, dow jones industrial average had been up day upnts -- ending the about 33. thanasdaq has an up at her a percent, but it seems to have ended the day at negative territory, a third straight day of losses for the nasdaq. we want to get some additional contact on the markets -- additional context on the markets today. >> i wish i had some context. the story ending the same way, stocks falling, particularly tec

and we have identified a pipeline of of potential projects, not just on municipal solar roofs, but also on land that the city owns and so, there are opportunities for the ground mounted solar, and today, we are a fully resourced utility and we have all of the kilo watt hours to serve the customers and were the base to grow and then it will make sense for it to develop more of those facilities, but do we have a plan to cover every municipal roof? no, i can't show you a document that says that, but we have evaluated those options. >> and have you evaluated, sort of the ground mounted solar, in the city limits or the land owned by the puc outside of the city? because you must have tremendous rights of way going out sort of to other places? >> yes it is mostly outside of san francisco. and in the ground field areas that we have looked at. but, we most of the opportunities are outside of the city, and frankly, they are more economic outside of the city not just because of the cost of the land but also because of the

individual movers for you -- solar city says it will offer solar installation discounts by a coupon siteupon in order to get mass-market adoption. the shares are up 4.7%. ♪ >> you are watching "bloomberg west." the sale of the los angeles clippers is drawing interest from the likes of former microsoft ceo steve ballmer and former nba all-star grant hill. with a price tag that could be $2 billion, what do owners have to do due to see a return on their investment? jon erlichman has more from l.a. amazing thatty this clippers story has put valuations front and center and san francisco, the fact that the golden state warriors are building a state-of-the-art facility, another reminder of how big is businesses. of mandalay entertainment group a group that acquired the wires back in 2010 for $450 million which many people say would be worth now is with me. let's start with the building of this facility. what goes into a project like that? what are some of the challenges? >> a lot of golden a lot of drama and a lot of suspense and a lot of planning and it's always a long and arduous and somewhat

he made his money with paypal but he has so many businesses with tesla and solar city and spacex thatot as laser focused. >> the cars seem to be better? >> that is true. i have driven a tesla and i really enjoyed it. it is a quality built car. the torque is amazing and the handling is amazing and here's a picture of me flying around the bronx river parkway in a model s. it does not look as cool as the fisker. it was a divine phenomenon. -- design phenomenon. people loved the delorean and it was a horrible car and they still buy them today. billionaire can figure out a way to make these cars well and make them perform well, i think you will have some success. >> what can he do differently? ande can make them in china probably can rely on some help from the chinese government. this is the place for elon musk says he wants to put production f 3 often than foreigners. he may have that advantage. the other interesting thing he can do is with the purchase of he bankrupt fisker brand, gets an abandoned general motors factory in wilmington, delaware. he can be the first chinese automaker to p

we've worked with the go solar from the beginning it fits our vision for the sun in need in line we've partnered with san francisco programs to complete our installation here in the city. this local solar industry supports local jobs and wages and supports san francisco economy that is a great program and it's tripled its number of program and the capacity has been for single-family home and multiple family homes this helps the workers in san francisco. it works to meet it's one hundred percent solar energy goal this gives the industry the ability to hire the crews and reducing harm physical green house gas emissions here in san francisco >> thank you. next speaker, please >> good afternoon. i'm andy schwartz i'll keep my comments brief there's more folks who spoke eloquently we've a in san mateo the company employes 13 hundred folks employed in the bay area it supports the funding and this program is a driver in the area and it supports the objectives. the company has been involved a sense of the scale we have 4 hundred projects in san francisco or 1.3 megawatts that harassing have been supported through go sf for the market in san francisco and all the benefits in t

thirty percent of solar property was installed on single-family homes so other benefits are going to san franciscans who need it the most it's proven to be a strong economic engine for the city the mel waits has driven investment no our community. go solar sf has supported more than 4 hundred jobs and was this to be revictimized in our economy and underserved residents benefits for the workforce development piece of go solar sf the program has resulted in one hundred and 21 job placements for san franciscans. workers of color recommended the largest benefit 40 percent black and 22 percentage latino they will reduce the green house gas emissions helping to meet the city's climate goals and go solar helps with the market that's thrilled jobs and environmental benefits i want to applaud the 200 underserved members that benefit if the program >> thank you. next speaker, please >> my name is pam i'm the product of go solar sf program others programs required skills and resources that led me here without this program i did wouldn't have a job and recently have received a promotion. so when investing in programs like asian design i want to thank you >> is there anyone who wishes to

way to capture that energy for the transportation industry for commercial trucks and buses like solar city on wheels. my name is jeff plat. i'm the founder and ceo of e-now, a clean tech company specializing in solar power applications for commercial trucks and buses. our systems generate power, store power and distribute power out to air conditioning, lift gate, refrigeration and other electronics systems. the initial feedback in the marketplace has been strong, and customers have seen paybacks of 12 months or less without any government incentives or credits. we have had vehicles operating throughout the united states for the last three years. we have a strong pipeline with many major customers. we are currently creating sales and with over 10 million commercial vehicles operating in the united states, the opportunity for e-now is large at $60 billion. >>> welcome to "power pitch" with you now is jeff plat. we also have on our panel today from d.c. sonnal shah, she's also the executive director at george town university. also joining us from seattle is angel investor nat burgiss. he was

he's the chairman of solar city harnessing the power of the sun has become the nation's largest providerr systems. he's trying to conquer the heavens by building space ships for the government, but his business plan for selling electric cars has set off a major battle with america's oldest most established business car dealers. >> new car dealerships have a special place in american culture thanks to huge amounts of advertising. they spent more than $7 billion in local ads in 2012. what you may not realize is that niece roughly 17,000 small businesses are also some of the most successful. >> the best deals in town. >> in 2012 new car dealers took in $680 billion in revenue. all that money buys influence. according to the national institute of money and state politics in the last ten years car dealers contributed more than $100 million to political campaigns. >> car dealers wieldy nor must power among legislators, and they've developed laws which protect their markets and prevent competitive panels of distribution. >> elon musk is learning first hand how car dealers will protect their tur

that is the stock and the company i'm going to watching when they report earnings is solar city. i wrote it up with a big yellow flag, a red flag in reality check a while back because of a variety of issues. so this is going to be an interesting test. if they come out and say something, whatever they could possibly say that people may like, if that stock takes off again, that is the elon musk company, if that takes off again it could perhaps rekinding interest. if it says something good and does nothing, then, brian, you may have your answer on the one month versus a longer period of time. >> it won't be perfect, you get the idea. i think it's about 20 to 25 times revenue, same as twitter. >> miles, you're sticking around. >>> as you said, just to keep this in perspective. wee really about 1% away from the s&p from those recent record closing highs, but at this stage we're not far from session lows. on the fourth anniversary of the flash crash. >> keep in mind one thing. corporate profitability has been very good. if you've watched earnings, they have been very solid. >>> all rig

solar stocks like solar city also falling hard and check out sales force.com.he software company off by 3%. is this price action in response to a huge week or maybe it's a sign to sell. let's get in the money and find out. dan, what did you make of this action here? >> you know, it was very reminiscent of a lot of the action we saw in april and early may when the s&p was suge chugging along, we saw small caps act very poorly and then we saw this rolling sell-off in these high valuation sectors. it was solar, it was biotech, it was social media stocks, and it was 3-d printing. the s&p is sitting there again at an all-time high yet there's a lot of weak action amongst those sectors. to me it was reminiscent of the price action when people were really scared about a month ago. >> also take a look at some of the big cap names that have been beat down. i'm thinking of apple for instance, mike. when apple turned, that's when the s&p turned as well even though apple got a nice price target hike by goldman. >> we obviously have expressed a lot of skep at thissism about

number 10, solar city. musk's shares are lower now.g the adoption of battery storage while musk says he sees a need for many giga factories to supply storage devices to solarcity. avon products. trading is higher this morning. company is moving into brazil with fellow makeup giant, cody. netflix. shares are pulling back slightly from friday's rally, following the fcc's decision for internet fast lanes. soup are of campbell lower ahead of the bell after revenue came in below forecasts. grow three percent. that was down from about four percent to five percent. are in recovery after taking a beat down on friday when it fell as much as 48%. investors are not pleased with its new tv deal. >> carnival. shares of the cruise ship operator are lower ahead of the bell. they doing more business in china, being the first global cruise company, the industry's fastest-growing market. >> ryanair. they saw its first profit decline in five years. michael o'leary was "in the loop" with me and expect to return to profitability by chasing business passeng

when i read a paper and see where solar in other countries, poor countries have solars for a whole city and here in america, here in san francisco, we can't have solar? that's a disgrace. with all the money we have in the united states because san francisco has always been the forerunner and the leaders for everything in the state, in the united states of where you are in america. i want to thank you all. at least i got a few more minutes. i have 51 minutes. i have said everything i need to said. you have a blessed day and i can go home and wap -- watch you all on tv. thank you. >> thank you doctor jackson for being here. is there any more public comment on item no. 3. >> mr. brooks? good afternoon. >> item 3, public comment. i -- i'm mr. brooks. representing san francisco the various aspects have worked to launched the clean air program. which thankful the lack of lack of local agency formation in san francisco did not get finished to plan the build out of hundreds of mega watt of clean energy in san francisco to put thousands of people to work in san francisco over the next 10 years,

and these customer municipal, solar facilitis that i am talking about are largely on the city, owned roofs. and our newest, here at symphony hall and the two that we energized and dedicated and we have over the years a list of projects that i am showing total of 2.5 mega watts of the roofs with the solar on them provided by sfpuc. and looking forward, we are our ten-year capitol plan has us dedicated about $12 million dollars of the net operating revenues to the additional facilities and you will see that in this particular fiscal year, are targeted towards the city hall solar and, downtown high school. and some other high school facilities that we expect to be installing solar on over the summer break. and we also have some renewable purposes, cal mentioned the sunset solar project that is photographed here and that is not a doctored photo and it really shows up and glows out on the sunset and we have five, mega watts of solar and that is the purchase agreement and so we purchase the output and the performance risk for the facility are held by the facility own and her we purchase th

solar. we use that power to provide the power to the airports and muni and to city hall, to our 525 golden gate and facilities like this. we're proud to provide those resources to help those facilities obtain a hundred percent greenhouse gas free power. so one of the things this project that municipal power we partnered with public works the department of public works installed the solar panels we saw them from our building we wanted to make sure they installed them and my office was right there i offer saw the installation of the panels. they did an amazing job my hats off to the puc and the dpwic together as a team. so one of the things the puc wants to do in our water diverse our water supply and power we're looking to install important solar installations like this this is our 16 solar installation we've installed and thitsdz been amazing to see the benefits in investing in solar this wouldn't have happened without a mayor like this who talked about renewables and really invest in our climate goals it's a it's a great pleasure to work with the mayor that buildings in infrastructure and crea

i asked about the possibility of space x going public, he says, unlike tesla and solar city, the missiontablish a city on mars and wall street investors, quote, that's beyond their normal time horizon. doesn't look like it. back to you. >> we know he has ambition, jane. great reporting. thank you so much. jane wells talking space travel with elon musk. >> music, producer, founder, shareholder in beats electronics. will.i.am will weigh in on that deal with apple, and talk about jimmy iovine and more. he will join us after the 11:00 hour. we're back in a minute. mayo? corn dogs? you are so outta here! aah! [ female announcer ] the complete balanced nutrition of great-tasting ensure. 24 vitamins and minerals, antioxidants, and 9 grams of protein. [ bottle ] ensure®. nutrition in charge™. [ bottle ] ensure®. and i get a lot in return with ink plus from chase i make a lot of purchases for my business. like 60,000 bonus points when i spent $5,000 in the first 3 months after i opened my account. and i earn 5 times the rewards on internet, phone services and at office supply stores. with ink plu

solar city raised its full-year forecast with revenue above expectations.can sales is leaving the company. he's going to be replaced by deck, currently in charge of sales for japan. comes only two years. he had been chief financial officer. joe, i'm surprised you have not said, done some kind of imitation of all the people at home rushing to the tv because of this news. >> which news? >> about mr. row. >> he claims he is in position to succeed the way the bulls hope. it could easily fall. shares of athena fell at the conference where people have done this other years. it's a charity conference. with us is jonathan bush, chairman and ceo of athenahealth. 4. >> it's a list of noncommunists. >> it was over 200. now 107. there have been storied stocks. athena got caught up a little in some of the air coming out of these names. >> yeah. >> his main thrust is not necessarily a cloud company or sizzle software. you're more like adp. what is bpo? >> business process outsourcer. >> usually a company like that will trade in the mid to high teens. if you're 1.07, 2 1.

between 1998 and 2001 and also contribute $151 million in funding to street lights, both solar energy, efficiency and city owned renewables over the last ten years. they've provided low cost energy to city father mily and as you know, we are providing low cost to the general fund departments like general hospital, call street lights, mta, unified school district and community college for the last 15 years. we had to increase the general fund customer's rate by half a penny each year for four years. we also did some severe cuts and deferral capital projects. we were able to cut $224 million, about 30 percent of our capital plan to a chieve a balanced budget. these are two things we were able to continue to provide $50 million of savings to the general departments and others. this is a slide that talks about what the cuts were and here, $224 million in cuts and deferrals looks like . so you can see we had to cut energy efficiency and also city renewables as well to achieve a balanced budget. we figured out how to balance it two years ago, but the structural challenge remains and so we have some additional c