one of them is charles chips starns.al supplies, producing things like glucose monitors and insulin supplies. when he went to china to say that their jobs were being sent to indiana, here's what happened. >> just behind me chip starns is being held captive at his factory. he and his lawyers are negotiating a deal with the workers. he says he's being held because of rumors he is about to close his entire plant. he said he only planned to move part of the business to india. you feel like you paid part of the ransom? >> 100% i got held for ransom. every other person that i let go had jobs there. yeah, the payout was about involved about $500,000600,000 in cash. >> cheap labor in china just isn't cheap enough for him. who is this guy? this type of outsourcing to cut corners just isn't for the bains of the world. there's other folks out there. who is this guy? >> right. we used to expect large corporation, this is where we'd hear the story, large tech corporations or clothing corporation, but this starns character is the new

starnes isn't being designed here.s free to walk around the grounds but that's very different from being held hostage. not to starnes. >> the first couple days were very, very tough, nothing physical, more mental type of stuff going on. they are around you anywhere you walk, 14, 16, 18 people following you. >> reporter: his lawyers are negotiating, so far, no deal. what's the first thing you'll do when you get out of here? >> i want to take a shower and shave. i'm only 42 but i know i look older than i am. i'm solid gray. >> reporter: held up in the chinese factory. the president of the american chamber of commerce says this type of situations with hostage takes happen on occasion but rare and said this is not a major problem for the international business community. >> think about that, hostage taking happens from time to time. >> imagine it happening in the united states. >> i could not. >> you don't see security officials there. >> look how much they took it in stride, as well. like don't take this personally. >> is

starnes' lunch every day. food. >> their philosophies are a little different than ours. it's not their right to step in and pull me out. >> what more would you want to see from the u.s. government? >> i think u.s. government believe it or not they have been in contact with me, greatly appreciate it. hfrp, we are in another country, we're in china. >> and in china workers have little legal protection and when pushed can resort to violence. until a deal is made, this american factory boss will stay hemmed in. and guys, starnes is not very happy in that he sounds like he is going to be pressured into a deal that he is not really happy with, that he doesn't think is going to be good for his company but that overall he doesn't feel he has many options because otherwise he could lose the entire factory. >> before you go, there are some viewers and myself at some level included that seem a little skeptical of what's happening here in that some people think it's a publicity stunt. he doesn't seem that unhappy for a gu

on thursday morning, they reached an agreement and starnes was set free. the plant will continue to operate with new workers, including some of starnes' captors. in our cover story, the millennial party known as "techweek" has kicked off in chicago. a lot of d-js, after- hours parties, and, during the day, a gathering of high-tech creators hoping to draw attention and, if they show promise, perhaps investment. put an ipad on a roomba and control both from an iphone and you've got a relatively inexpensive robotic camera, helping real estate brokers, for example, show properties to out-of-town clients. "you can put this robot in an apartment, and it will move around and show you how the apartment looks." it's not in production yet - this model is just the prototype - but it's an example of a mobile phone app developer using existing technologies for a new purpose. this combination treadmill and work station by lifespan is another one. "even if i work out for an hour in the evening, sitting for eight hours undoes that. so this is the perfect solution." it's b

chip starnes is on a flight from beijing to the u.s. they demanded generous severance packages even though they weren't being laid off. once he was released. he said he was threatened by a vendor and feared for his personal safety. he was in touch with the u.s. embassy who was aware of his departure plans. eunice yoon will have more from beijing. >>> in other news, dish network is withdrawing its offer to buy clearwire. it had offered 440 per share. last week sprint raised its operation to buy the portion of clearwire it does not own to 5 bucks a share. >>> oled tv, the price tag, 13,000 bucks. that's the same price as rival lg electronics. >> andrew, that's a tv i could see at your place. >> do we have an image. it is one of the coolest tvs. >> isn't it? >> it is awesome. it is awesome. brian, thank you. we'll talk about that. we'll talk about the clearwire thing, too. jack grubb turned out to be right. >> i was sick of it. i thought we had a guest who said that he was going to -- he would never get sprint and our charade, here we are.

starnes actually isn't being detained here.y that he's free to walk around the grounds, but that that's very different from being held hostage. not to starnes. >> the first couple of days were very, very tough, nothing physical, more mental type stuff going on. standing around you, anywhere you walk, 14, 16, 18 people following you. >> reporter: his lawyers are negotiating. so far, no deal. what's the first thing you're going to do after you get out of here? >> first, i just want to take a shower and shave. i'm only 42, but i know i'm looking a lot older than i am. >> reporter: hold up in his chinese factory. eunice yun, cnbc, beijing. >> thanks, eunice. an extraordinary story. >>> up next, hot summer homes. the real estate broker to the stars, dolly lenz, will show us which big home offers more bang for the buck. stay with us. [ babies crying ] surprise -- your house was built on an ancient burial ground. [ ghosts moaning ] surprise -- your car needs a new transmission. [ coyote howls ] how about no more surprises? now you can

starnes actually isn't being detained here.the grounds, but that that's very different from being held hostage. not to starnes. his lawyers are negotiating. so far, no deal. and the president of the american chamber of commerce said that these types of situations happen on occasion where there are hostage takings from time to time, though they are rare, and he did make a point of saying that this is not a major problem for the international business community. brian? >> reporting from a sunny and clear beijing. wow, did you see the air there? >> shocking. it's shocking. >> let us -- i mean, it's awful. >> and that is real. it's not just background. it is real. >> it's foggy. foggy. >> chief international correspondent is joining us -- if i'm an american thinking about opening up a manufacturing facility in china but haven't done so, i'm going to do a double-take because of that story. >> things are different there. we talk about the progress china has made, and absolutely, it has. and yet, what you see there -- you know, she to

we're told chip starnes was released early this morning from a factory on the outskirts of beijing and is now at a local hotel. workers took starnes captive after rumors starting swirling that the plant was closing and the workers were going to be laid off. starnes told nbc news his company plans to keep the factory in china open. >>> a war of words is going on this morning over the nsa leaker. the u.s. now pressuring russia to hand over edward snowden. we have brand new video from outside the moscow airport where snowden is believed to be hiding out. russia says snowden is, quote, in transit and has not officially entered their country. yesterday defense secretary chuck hagel asking russia to do the right thing and hand snowden over. hagel says snowden has broken the law and damaged the country. >>> the hours' long filibuster by texas state lawmakers who stopped the vote on controversial abortion restrictions may have been for nothing. texas governor rick perry say it is legislature will return to work on monday for a 30-day session. this will be the second special session to try to p

and thought starnes might make a run for it. and overnight, a deal, reached to pay the workers who demanded severance packages. and starnes was permitted to leave the factory. more details on that deal. he thinks there could be a way to work together again with the same employees, even willing to offer some of those employees involved in this standoff a new contract. it looks like chip starnes is ready to get back to work. robin? george? >> got to rebuild trust. >> we'll see how that goes. >>> now, to the high-stakes george zimmerman murder trial. the prosecution's key witness back on the stand today. trayvon martin's friend who was on the phone with him until seconds before he was shot. gave a chilling testimony about the 17-year-old's final moments. abc's matt gutman is there in sanford, florida, with the latest. good morning, matt. >> reporter: good morning, robin. rachel jeantel spent 16 months as a mystery witness. her identity kept strictly hidden. this morning, she'll spend a few more hours on the stand. yesterday, her te

now chip starnes denied this, but he was already barricaded by then in by 100 workers holding arm andeen demanded the same severance compensation given to the laid-off workers, even though they still had jobs. now, there is no assistance from local authorities to have been outside, but they are not helping. chip starnes feels like his back is against the box. >> it is terrible, and it is not right, but i don't know what else to do at this point in time. >> reporter: he attempted to escape but says there are workers at every exit. today he quit trying because he says he is nearing an agreement with the workers. american diplomats visited him on sight. there were allowed on the perimeter of the building on monday but say they cannot do much when it is this type of business dispute. take a look at the shares of china etf. you can see aadrop between friday and monday when this incident first came to light. now, here is a larger take away. dealing in business in china these days has become very complicated. workers to live under a government that does not have rule of law, few rights in th

starnes' lawyers are trying to negotiate an agreement with government officials for his release. until then, "i think i'm here to stay," he says. the full senate may vote as early as today whether to go along with an immigration bill that sets "tougher employment eligibility standards" and "beefs up" border security. but the house may not take up the senate version in favor of writing its own immigration reform. the senate measure adds 20,000 border agents, 700 miles of fencing, and deploys more than $3 billion in surviellence technology. coca-cola is testing out an artificial sweetner in its beverages. coke is releasing coca-cola life, a new beverage containing the sweetener stevia instead of sugar. the low- calorie option is currently only available in argentina. in the latest in the irs scandal, a watchdog report says irs employees used work charge cards to pay for pornography, bottles of wine, expensive dinners and kazoos. the treasury inspector general report was released as part of a normal audit of the irs budget. on the upside, the inspector general reports most irs emplo

but now starnes has reached an agreement with the workers after a pay dispute.ials said 97 employees signed a new compensation agreement. >> mark >> today, the u-s senate could vote on immigration reform in the u-s illegally. the bill's backers are hoping to change minds in the house. the measure is opposed by many house republicans. a series of test votes this support. >> darya >> texas governor rick perry is rebooting the abortion battle in his state. he's called for a second special legislative session on monday. to give the republican controlled statehouse another crack at passing resolutions that opponents say could shutter nearly all of the abortion clinics in texas. new york city lawmakers have passed the most expansive plans in years to impose new oversight on the nation's largest police force. >> mark >> ♪ [ roars ] ♪ ♪ [ roars ] ♪ [ roars ] ♪ [ male announcer ] universal studios summer of survival. ♪ [ male announcer ] wouldn't it be great if all devices had backup power? the chevrolet volt does. it's ingeniously designed to seamlessly switch from elec

. >> chip starnes, co-owner of a florida-based medical supply company has been held captive in his own factory since friday. 80 of his workers are not letting him leave. they are upset that he's moving the company to india. >> what's preventing you from just hopping over the fence here. >> i think i could absolutely do that, but i think that would probably be the wrong impression to give at this point in time. >> employees are refusing to release starnes until they receive their severance packages and their salary for the past two months. >> think you'd be able to tell if someone was lying to you? turns out liars often give themselves away. julia goodrich shows us you just have to know what to look for. >> everyone lies. >> years of research into human nature shows people lie constantly. some as many as 25 times a day. you may think you can detect this deception, body language, eyes, think again. experts say most people don't realize when someone is feeding them a lie, but there are some clues that can help distinguish fact from fiction. linguistics and interrogation expert clarks says

chip starnes was held hostage by his workers in his company's factor in beijing.orkers were upset over rumors that the factory was closing. they were able to reach a deal on thursday. starnes said last night he just wanted to get home, sleep and process the whole experience. >>> it is 6:34 right now. based on what christina loren weekend's forecast, one word comes to mind. better. better get a big bucket of ice so you can chill out. >> better get a slip and slide. you better, you better, you bet. hot times, summer in the city for today. it's going to be a scorcher. let's take you through hour-by-hour changes today. 62 degrees right now in sunnyvale at 6:34 in the morning. 60 in napa. we have a hot day ahead, much warmer than yesterday by about five to eight degrees. by noon, your temperatures will warm up in the mid to upper 90s at lunchtime, antioch at 96 degrees. we'll round out the day, 87 in fremont, 92 degrees today in san jose. then we really turn up the heat as we get into this weekend. high pressure drives our winds offshore. we or talking about elevated f

as for chip starnes, his fight is finally over. i'm sure his family is going to be very excited to see him once he gets back home. >> youneunice, do you have any about his future plans? does he plan to go back to the country and is all kind of forgiven between him and the employees? >> reporter: i'm not so sure if everything is all well and good and forgiven, but at the same time, he is going to keep his factory here. he said that as of tomorrow any of the workers who got those payouts will be able to reapply for their jobs and get the factory up and running again. >> in beijing this morning, eunice, thank you very much. >> you want to bet it is a little time before he heads back for a factory visit? >> exactly. >> let's check the weather now with mr. roker. >>> today's weather is brought to you by party city. celebrate with bows and hats. nobody has more 4th of july for less. we've got some nice folks here with team jack. what's team jack? >> team jack is a pediatric brain -- >> cancer research. we're from nebraska. >> that's grea

starnes is the owner of a medical supply company based in florida. he'd been held since last friday. it's not rare in china for managers to be held by workers making demands. >>> texas governor rick perry is stepping in after a lawmaker single-handedly stopped the state from passing some of the toughest abortion restrictions in the country. perry called for a second special session, after state senator wendy davis led a filibuster that lasted nearly 13 hours. no food or water. no bathroom breaks. no sitting. no leaning. >> there was a point where i was afraid that physically, something would happen that would be outside my control. >> if this measure passes in the next session, as expected, it could shut down nearly every abortion clinic in texas. despite that, though, davis says she would do it again in a heartbeat. >>> there will be plenty of star power at today's funeral for actor james gandolfini. his family hosted an invitation-only wake in new jersey last night, near where gandolfini grew up. many of the fans standing outside, held pictures of

chip starnes was safely released this morning from a factory on the outskirts of beijing and is now inere swirl that the plant was closing and the workers were going to be laid off. starnes told nbc news yesterday his company plans to keep the factory in china open. >>> a war of words continues this morning over the nsa leaker. the u.s. now pressuring russia to hand over edward snowden. this is new video this morning from outside the moscow airport where snowden is believed to be hiding out. just about an hour ago, a flight to cuba did pull away from the airport. we're being told snowden was not on board. russia says snowden is, quote, in transit and is has not officially entered their country. yesterday defense secretary chuck hagel asking russia to do the right thing and hand snowden over. hagel says snowden has broken the law and has damaged the country. >>> later this evening pride week kicking off in san francisco's castro district. tonight at the w the big kickoff party will take place. pride organizers planning for bigger attendance than usual because of yesterday's supreme cour

though chip starnes says some will be hired back. everyone on the payroll. we're going to up restructure the company. and then we will also try to, you know him work something out that is fair on the severance as well. >> reporter: chip starnes said that he has been kept awake at night by the banging on his door and bright lights shining on to where he was sleeping. but he got a clean shave and a shower on his second to last date. three meals a day from the chinese workers. but this entire situation is reflective of a growing discontent among chinese workers. amidst fears of a slowing growth in china and rising labor costs, is definitely something to be thinking about when investing or doing business in china. david: i bet a lot of business people looking at that example and wondering, do i want to go there. cheryl: and did he not have food for the first two or three days? >> reporter: the first 24 hours he was complaining that he did not get any food and he was getting mistreated. there was no physical harm, we should emphasize. cer

chip starnes was safely released this morning from a factory on 9 starnes says he's sad denned by therience. >>> it is 6:40 light now. coming up, taking a turn for the worse. we have new details about nelson mandela's health coming up next. >>> an innocent man's dna winds up at the scene of a murder in the south bay. the shocking reason he was almost sent to trial for a crime he didn't commit. >>> wall street reacts to bad news in very strange ways. we'll take a look atl/ the strae market coming up. >>> what a sighte$yÑ to behold, start out this thursday morning, just the tip top of the bay bridge peeking out. th the clouds will vanish by about 10:00 p.m. your seven-day outlook is coming up next. >>> it's my job to take you below the clouds, into the darkness where you do see traffic moving through oakland. we have spots where that fog is a problem and we have a couple of crashes to update you coming up. >>> we want to bring you breaking news from oakland. police investigating a deadly shooting that happened about near 98th and international. that's when an officer got to the scene. t

as for chip starnes, his fight is finally over.actory in china, and as of friday, workers can reapply to their jobs to get the factory up and running again. over to you. >> and the debate continues over how much danger he was ever in, what the motives were, and what he was taken, i guess prisoner and i'm trying to find the words, because we don't know what the situation was. >> and the perhaps the larger take away is taking the jobs out of china to move them somewhere else, and this is not being done in a vacuum, but a trend to keep an eye on. >> because of the cost of labor in the country. >> the story is interesting, because he said, i was trying to take the jobs to india now and instead of china and what it reveals about the situation as much as the weird details of the personal situation, and why it is interesting. >> and inflation and one of the reasons that the chinese are more focussed on a consumer-led economy and they don't want to be the manufacturing base, because they are vulnerable to india, vietnam and you name it. >>

chip starnes, the u.s.y workers at his company's plant in china is now back home on american soil. bertha has more for us from hq stateside. hi, bertha. >> ross, this has been one surreal drama that has played out. chip starnes arrived at newark airport in new jersey thursday evening ending seven days of really bizarre captivity. the 42-year-old was released earlier in the day after settling a pay dispute with the workers at his plant in the suburbs of beijing. in an exclusive interview with cnbc he says there is a dirty underside to doing business in china and he is upset the chinese government did nothing to help or resolve the situation. >> i felt like i was, you know, an animal in the zoo sort of like you throw the peanuts at the guy in the cage, say, hey, you're fine. you know, you're getting food every single day. be happy living with everybody in the same cage and just work it out and having, you know, them having open access to me 24 hours a day, seven day a week and first 2 1/2 days being brutally

but now starnes has reached workers after a pay dispute. said 97 employees signed a new compensation agreement. he zimmerman trial is on it's third day and brought testimony from a friend of trayvon martin who was talking to the teen when he was killed. >>erica: we are dealing with patchy fog but it will clear up, with sunshine and warmer into the afternoon. inland spots are climbing into the 90s today. possibles of verily warmer temperatures for the next six consecutive days. '90s into triple digits. it looks like we are starting the morning off with a san francisct 61 degrees right now, upper 50s in santa rosa. as we take a look at futurecast 4 into the 12:00 hour, looks like a barely any '60s. only in places like san francisco and for those of you in the immediate coast line. '70s and '80s indicated by that or on your screen and as we put the clock into motion, or jan redstarts to fill up. 8:00 p.m. tonight, temperatures back down and that eighties, seventies and sixties. we will see quite a spread of numbers today. focusing on afternoon

american businessman kip starnes arriving -- chip starnes arriving back on u.s.own warehouse for seven days. he joins us from florida. chip, welcome back. it's good to see you in the united states. when we interviewed you the last couple days. by the way, i want to say thank you. i know it was not the easiest situation for you. when we would interview you, we would think, he seems to be okay. he seems to be in good spirits. is he being overly optimistic or nice because he's in that bad situation. what was the real situation? did you have to put on a bit of a happier face because of it? i think that's a fair statement. absolutely. i think, one, just to show my strength in the whole entire situation because what i was having to deal with. two, i think probably mentally for myself, just trying to keep myself bubbly and up because i was in a no-win situation. >> right. >> chip, one of the questions i asked you was whether you would do business in china when you were doing that interview behind what looked like behind that window. you said, yes, one of the things i th

a deal was reached overnight for starns to pay his workers severance packages. >>> the supreme court will extend federal recognition of same-sex in the states where it is legal but the rules have no direct effect on the constitutional amendments in the 29 states that limit marriage to heterosexual couples. >>> more fallout from paula deen amid her admission of using a racial slur in the past. hours after an emotionally charged interview, walmart, home depot and caesar's dropping the celebrity chef. >>> a cat in china has found a tour guide. a 7-year-old german shepherd gives the cat rides. they get strange looks. what's with the shades? >> in case enough people weren't looking. >> a cool dog with a cool cat, i guess. that hasn't deterred the friendship. the owner says they act more like siblings than enemies. >> smart cat. >> you see him hanging on. he enjoys the free ride. as was said earlier, that would be a cat, lazy. >> just hop on the horse or the dog that's doing all the work. >> then the dog gets on the horse and everybody gets a ride. >>> time for a look ahead. president obam

chip starnes, co- owner and president of specialty medical supplies claims being held by employees for 5 days. the medical supply company is based in florida. according to reports, the ceo flew to beijing last week to lay off workers. the plant in china is being closed and moved to mumbai, india. he tells reporters the employees are recieving "pretty nice" compensation packages. climate change - a global transition that's making violent storms and searing droughts more intense may soon alter how energy is produced and used in this country. in our cover story, president obama announced a series of measures to reduce greenhouse gas emissions, one of the causes of climate change. president obama invoked his executive authority to cut greenhouse gas emissions in a series of directives that require no action by congress. "i don't have much patience for anyone who denies that this challenge is real. we don't have time for a meeting of the flat earth society." mr. obama is instructing the epa to impose first-ever limits on carbon emissions from power plants, the interior department to expand

. >> starnes says he hopes negotiations will bring his captivity to an end. >>> our technology was the best, our manufacturing second to none, but now there is rising concern that international competitors are closing the gap fast. jane wells has more. >> reporter: u.s. defense companies remain the 800-pound military go military military gorilla in mobile arms trade. that's a study by ihs defense which says trade has risen more than previously thought reaching $73 billion, a number it expects will more than double by 2020. they say the biggest explosion in global trade the world has seen. the number one category for trade is jet aircraft, the hardest segment for most to develop domestically so they need to buy from the outside. this is why the number one exporter is laquid martin growing to $6.4 billion. boeing in second at $5.6 billion but russia's united air draft and israel, israel manufacturers will be exporting more unmanned aircraft than the united states at the end of the year and brazil on the rise selling trainer aircraft and builting markets in africa. south korea is one to w

chip starnes was welcomed by his family at the airport last night. he was freed yesterday after a deal was reached to pay the workers who demanded severance packages, even though they weren't being laid off. >>> there's been a major step towards reforming the nation's immigration system. the senate has approved a plan which would step up border security and provide citizenship for millions of immigrants. but the bill is still facing some serious challenges. abc's devin dwyer is joining us from washington with more. good morning, devin. >> reporter: hey, good morning, diana and john. that's right. this was a significant milestone for immigration reform. in a rare display of bipartisan cooperation. but a dispute over border security could still derail this deal in the house. >> the bill, as amended, is passed. >> reporter: a euphoric moment for hundreds of immigrants, packing the hallways of congress. the sweeping immigration overhaul cleared the senate with strong bipartisan support. it would offer a path to citizenship for 11 million undocumented imm

their view moves to with banned the use of drone saw the international level what is the russia's starnes on this issue. well. there's a really important i remember. the case with gunpowder. it was originated in china and nobody managed to restrain its spread the spread of its application. the same is true of nuclear arms modern day means of warfare are evolving and they will they will keep creating in evolving you can restrain that but of course you can put this under control and make it compliant with certain rules that is possible and the united states is not. of course aiming does not intend to. inflict casualties among civilians i think this is rather human error those operators i think the people who actually operate those drones they do realize all those dangers. indeed they do realize the dangers for civilians if in i guess there's little they can do about it and you still do need to combat terrorism. but like you said you do see this issue brought up by increasing the often international institutions say you didn't do need to put it under control you need to have a sort of set of

chip starns claims he is being held hostage by chinese workers.ut 100 workers are demanding severance packages. the factory makes products for medical supplies. >>> a couple of athletes in the news, starting with basketball hall of famer scottie pippen. he was questioned and released yesterday in connection with a fight outside a popular restaurant in malibu, california. the altercation had left a man with a head injury. some witnesses describe that man as being drunk. >>> and an attorney for nfl star aaron hernandez says he's now the victim of a relentless flood of rumors when it comes to the investigation of a murder. police yesterday searched a pond near the home of the new england patriots tight end. they're trying to get to the bottom of the murder of a 27-year-old semi-pro football player. >>> let's just say that there may be a couple of sick calls in the chicago area this morning. >> yeah. just a few. you can blame the blackhawks for that. as we mentioned earlier, more highlights from the guys at espn. >> welcome to "sportscenter" here in l

chip starnes had been held nearly a week. reach add deal with workers overnight providing dozens of them with severance packages similar to the 30workers who were laid off, even though those workers have not been laid off. some were fired but he might hire them back. talk about a hostile work event? >> tell me about it. hard to go back to work after you've taken your boss hostage. ashley morrison in new york. thank you, ashley. >>> well, in sports the mighty keep on falling at the all england club. seven-time wimbledon champ roger federer was knocked out in the second round of the tournament by 116th rankeder by sergiy stakhovsky. and on the women's side maria sharapova was ousted by michelle larchen de brito who was ranked at 131 in the world. >>> when we return, taking a stand. we'll hear from the state senator who put herself on the political map when she staged an 11-hour filibuster to block an abortion bill. starts with freshly-made pasta, and 100% real cheddar cheese. but what makes stouffer's mac n' cheese best of all.

melissa: that is the ceo of specialty medical supply, chip starnes who has been held hostage by workerss chinese manufacturing plants since friday. itll stems from the dispute over severance pay. he laid off 35 chinese employees after moving their jobs to india it does not look like he is in any immediate danger, but it kind of makes youonder if it is a to do business. ey're not letting him go. for more on this i am joined by our resident china expert and author of the book the comg collapse of china, gordon chang. this is a crazy and bizarre story. this ia regular guy for florida u.s. manufacturing operations in china. he is not based there. he went to the plan to go, you know, on official business. he was moving jobs to india, and the rest of the plant got up in arms about the fact that it was essentially a misunderstanding. they believe that theirobs or being outsourced as well to india and that they wanted this severance pay. he tried to explain, needed because you're not being fired, and that wasn't good enough. they have been holding of -- holdg him for days. how bizarre. is this

starns says he's trying to keep it cool, waiting for his lawyers to arrive to hopefully free him and resolve the dispute. >>> the battle over fremont-based men's warehouse is not over. knew rumors this morning that founder george zimmer won't go down without a five. bertha coombs is live at cnbc headquarters. good morning, bertha. >> reporter: good morning, marla. founders never go away quietly. the futures this morning, though, are pointing higher. looks like we'll get a bit of a bounce back after stocks fell on monday on continuing concern that the fed pulling back from its bond-buying program and worries about china's economy slowing an issues with the banking system there. china's central bank this morning making comments to try to calm investors saying that things are all right. here in the u.s. we'll get data on demand for durable goods, home prices, new home sales and consumer confidence later this morning. the dow dropping 140 points monday to close at 14,660, the nasdaq plunging 36 to 3,321. >>> that's right, men's warehouse founder george zimmer barely out the door, but cou

tim starn is his name. the workers barricaded him in a room and refused to release him until they gave into their salary demands. they wanted severance packages similar to the ones he had given employees that he just fired, except he didn't fire. he had no choice but to give in to what the workers wanted. >> it's terrible and it's not right but i don't know what else to do at this point in time. >> nearly 100 of those employees have signed new contracts. he says in the future he will do a better job of outlining salaries in the up coming contracts. >> all right. while you were sleeping a fighter jet crashed on a routine training mission in arizona. amazingly the student pilot and instructor on board survived. they safely ejected before the jet went down in a field. the photo shows them walk will away from the scene minutes after the incident. an investigation is underway. >> things may have taken a turn from the worse. there is no sign of the 85-year-old american schooner that disappeared between new zealan

. >> todd starnes is here. >> tea party network and tea party dot ne -- tea party.net. >> all of theed to have in our groups and you get targeted. were all of you unfairly targeted by the irs you believe? show of hands. >> i think my complaint was more the bureaucracy and i have had this before. i have a story to tell. >> okay we will get to you. >> katherine i am going to start with you. it wasn't only the irs for you. it was oshrb awe. >> we filed our application in july of 2010. up in that time i had never had any government agency be involved with anything that i had to do except filing your normal tax returns. after filing that application until as recently as a month ago we had 18 different points of contact from the fbi from the department of labor's oshea. department of justice. >> did they find anything wrong? >> it has been going on almost 3 years. >> 3 years. >> only i government agencies and not a one-found anything wrong. >> no. >> wow. >> that's pretty amazing. >> kevin your story. >> lynch pins of liberty. we are a 501 c 3 we are different than many of the applicants.

speaking through the bars of a window, charles starnes, the owner of a florida medical supply companyold us that he's being held prisoner in his own factory in china. he says dozens of workers are demanding severance packages like those given to 30 workers previously layed off. and he says workers have been blocking the exits since friday even refusing to give him access to his medication. >> i can't walk anywhere. if i walk anywhere, i'm surrounded by 15, 20 people. if i walk to the gate over here, they all strong arm bound and lock me in at nighttime so it's just out of control. >> reporter: starnes calls the whole thing a misunderstanding. he says workers think the whole factory is being moved to india when, in fact, only one division of the company is. still, he says local officials just made him sign an agreement to pay the workers more. and right now, police are standing guard at the factory. so far, no comment from the u.s. embassy. josh. >>> bizarre, indeed. thank you for that. meanwhile, an outpouring of well wishes for nelson mandela. today is a token of peace honoring the m

american ceo chip starnes held captive in his company's manufacturing plant in china. late wednesday night and just arrived home in florida overnight and he is with us exclusively along with his family. mr. starnes and fami >> good morning. >> well, i know you got home late last night and you're up early with us. it was a short night but did it feel good to sleep in your own bed. >> it did. i more laid in the bed. i didn't really sleep but it felt great. >> after you reached a deal with york workers you high tailed it out of town. you were telling me how you did it. sounds like something straight out of a movie. >> it's absolutely out of a movie. a little something happened at the very end there, early morning time. we had one of our, actually, smaller vendors come in that his supplier actually threatened him. as it turned out we're his largest customer and his supplier found out that this was going on and he came and basically passed the threat on to me and so that's when things really kicked in that my heart really got going at that particular point in time. >> you s

chip starnes , co-founder and president of its capacity and medical supplies and sign up, says he hadunable to leave the companies and beijing factory since friday. starnes says workers barricaded all the exits and hindered his sleep by banging on doors and windows, but he says they did not physically hurt him. he has now reached an agreement with the workers after a pay dispute. officials said 97 employees and a new compensation agreement. >> today, the u.s. senate could vote on immigration reform that would offer citizenship to millions of people living in the u.s. illegally. the bill's backers are hoping to change minds in the house. the measure is opposed by many house republicans. >> texas governor rick perry is rebuilding the abortion battle in his state. he is calling for a second special legislative session on monday to give the republican controlled state house another crack at passing resolutions that opponents say could shatter nearly all of the abortion clinics in texas. medications? i don't know. last immunization shots? really? honey, what's my blood pressure medicine ca

. >>> it has been nearly a week since factory workers in china reportedly took chip starnes hostage.ink the factory's going to close, and they want generous severance packages. so is doing business in china really like the wild wild west? let us bring in professor lynn knight who taught in china for eight years. lynn, thank you very much for joining us on cnbc. what was your experience -- >> my pleasure. >> -- in china? is this a hard scenario for you to envision happening? >> well, actually, not. and i think one of the things that we do when we venture into china, we become very diplomatic because of the strain of doing the business with the communist government. and in doing so, we tend to overlook some of the hardships that a lot of companies experience going in to china. and this situation in china currently does not surprise me at all. while i was there, on a daily basis, you will see not to the extreme, but you'll see situations like this occurring on a daily basis in china. and my prediction is that will probably increase over time. >> why do you say that? >> one, because of t

cnbc caught up with chip starnes.a listen. >> look at it as a civil dispute and they just don't get involved. china looks at things differently where they say the people run the country, not the government runs the country so, you know, if you get out in the rural area, still in the beijing district, but when you move on the outskirts like this, it becomes a little bit of the wild, wild west, if you will, so, you know, if you play out here, got to play in their play box. >> all right. between this executive hostage situation around vladamir putin apparently refusing to extradite edward snowden, the nsa leaker, are china and russia kicking sand in america's face, and if so, should we get tougher on these guys? john, you first. >> look, they are definitely kicking sand in america's face. right now it's very clear that china and russia think that they can openly publicly disrespect obama without any consequences at all. that's going to continue. i can't see what barack obama can do to resolve this. >> jane? >> reporter:

let's start with the american executive chip starnes who has returned to the u.s. being held hostage in china in a payries beaute. he discussed his ordeal earlier today on "squawk box." let's take a listen. >> i don't know if at the particular moment it would be wise for me to go back. not too happy. i've got partners and cfo. there's some issues that need to be dealt with head on, and right after this this morning i'll be heading into the office to begin that task. >> he also says he sees a shrinking labor market and rising costs over there. jane, is this a signal that it's just too doggone risky to do business in china for some american companies? >> i don't know, because, tyler, there's something about that guy. i don't feel like i'm getting the whole story in this particular case. he didn't ever really act like a hostage over there. could be a reason for that because he's a lot more serious now. i don't know if we can make broad predictions though i'm putting off my plans to opening up a black market franchise chain. >> i feel like there's something we're not l

. >>> chip starnes, the american ceo held hostage by his own workers in china, is now back in the unitedtes and speaking out about his experience. he was on "squawk box" earlier this morning and that was guest hosted by our very own brian sullivan talking about whether or not he has plans to go back to china, and here's what he told brian. >> i don't know if at this particular moment it would be wise for me to go back. i don't think they are too happen with me right now. i've got partners and cfo. there's some issues that need to be dealt with head on and right after this this morning i'll be heading into the office to begin this task. >> he also spoke about the overall environment for the business in china right now and that's what he had to say on that topic. >> the currencies, you've lost 25% against the usda over the past 40 to 60 months, a shrinking labor population, escalating salaries that are going on, and the business environment for more of commodity-driven items like that, plastics and needing labor and a force to do do it, other parts of the world are more attractive. >> herb

starnes. more on this story coming up in the next hour on "street signs."hort-term pain for long-term gain is the new chinese leadership says it's going forward with some tough financial reforms. our chief international correspondent michelle caruso-cabrera joins us with what's looking like a watershed moment in the history of this country. >> we've been watching now for a couple of weeks a credit crisis in the chinese banking system, been going on for at least two weeks, and we've been wondering what's going on and what's causing this? now and new evidence today sees exactly what we're seeing, could be a watershed moment in china's modern economic history. early this morning in the u.s., chinese central bank acknowledged in a statement for the first time that they had injebted money for some banks to stabilize the system and bring down what had been skyrocketing, short-term rates as banks struggle to find cash. also in the statement they said in the future they will step in again, if necessary, but only to banks which meet the following criteria. they meet