. >> i saw the other person. >> can you stand up all the underwriter's. >> this is the co- managing underwriter from braxton ton. >> i want to know i never saw that you saw the muni bond before the commission. >> just for your information we stated this people had acquired the original underwriter's so this is essentially the same team and the lead underwriter left the agency and anna stepped in very competently. >> commissioner mondejar questions. >> i don't know who can answer my question can you speak probably for - could you speak to the selection of the underwriter's i'm sorry. i'm so bad with names so speak to the selection of the underwriter's they were the team that did this in 2005 am i correct? >> that's correct. i'll bring up mr. diego rivera yes, ma'am e he will to talk about the process but we issued on a rfp to the cities pool the city maintenance a pool of underwriter's so 7 firms - 4 from submitted proposals >> okay. i'm new to the commission i just wanted to, you know, find out what the process was and continue the same process in the selection of all of our consultants and ven

and steve serving as co- underwriter. so the commissioners are familiar with the plan for 2014 port revenue issuance in may of last year you saw and approved our financing plan that gave us access inform the plan and december of last year on the 12th you approved the issuance of bonds and several few minutes ago documents including the second vegetation of trust and gave our executive director authority to enter into the contracts. on february 11th this year i was here to look at the financial statements for our 5 year financial projection that are includedn the preliminary official statement. so today we're asking you to approve the preliminary statement and authorize the document to potential investors and to approve the certificate. the preliminary official statement is a document to really let investors know what could go wrong with the port of san francisco and explain our capital strategies and risk factors it's required by the security and exchange commission it must be accurate and complete so we'll make it up to

and steve serving as co- underwriter. so the commissioners are familiar with the plan for 2014 port revenue issuance in may of last year you saw and approved our financing plan that gave us access inform the plan and december of last year on the 12th you

gender elimination of underwriting and asia underwriting. this will obviously increase premiums for young people and could decrease for older people. it really increases premiums for everybody. people coming into the market who were not in the market before, people under cobra or high risk pools or uninsured people who cannot get insurance because of their health status. the impact on the market varies from state to state depending on pre-existing rating requirements . undoubtedly, this is a big factor driving increases. finally, a medical trend is going to continue to be probably the biggest factor. one of the biggest factors driving increases. medical trend has been growing at historically low rates. probably the lowest in my lifetime. it is now picking up. there are a lot of reasons. one factor that i think is worth recognizing is the cost of -- .he sea drug united health care spent $100 million in the first quarter. onlyight now, there's number one percent of the people with hepatitis c that is being treated. $1000 a pill. cost for thise

no underwriting. >> it is amazing how people will be a path to your door if they will be fined. that does help for enrollment. i'm not being critical of you. there's definitely a good promoter. >> actually, when we talked to thousands i'm serving, for the vast majority, the penalty is not and incentive. the incentive is finding health care that is affordable. versuse of the penalty the factor. it is a small minority. for some is a factor, but for a small minority. >> there was a deadline that we face as well. >> chairman, we are funded through an assessment policies sold through the insurer. that is up to 3.5% assessment. >> this is per policy is sold through the system, not all. in maryland it is everybody, right? every insurance company. just was so being sold to the system. >> thank you, mr. chairman. going forward, our financing is based on a 2.5% premium sold through the exchange. >> as you have enrollment coming through, open enrollment just ended and another is opening up next year. you're looking at a budget, based on what is coming at this point, and what you have, is t

on underwriting. this will, obviously, increase premiums for young people, could decrease premiums for older people, but it really increases premiums for everybody, because you have people coming into the market who were not in the market before, people who were on cobra, people who were in high risk pools or uninsured people who simply couldn't get insurance because of their health status. the impact on the market varies from state to state depending on their pre-existing rating requirements, but undoubtedly this is a big factor driving increases. and then finally, medical trend is going to continue to be probably the biggest factor, one of the biggest factors driving increases. medical trend has been growing at historically low rates for the last three or four years, probably the lowest rates in my lifetime, but it is now picking up. and there are a lot of reasons for this. just one factor, toe, that i -- though, that i think is worth recognizing is the cost of the hep c drug that has just gone onto

as you get deeper into the cycle, you have third-tier, fourth-tier firms underwriting the ipos. have a relatively small segment of the investing public that will play noncommercial biotech, which these companies are, and that's typically a sign of the end of the cycle. so i know a number of fund managers short. some have continued to do well. >> the distension is what's gotten air play, about how the value of ipos in the tech sector has increased relative will to last year. and the number of ipos that have fallen. the interesting thing about biotech, actually the numbering increase. if you look at the smaller companies where you can get the growth and you will be able to justify the valuations, that's where the opportunity is. >> thanks for being here. again, welcome. >> thank you. >> look forward to having you on the show. don't miss tomorrow, meg's rare interview with pfizer ceo ian read, who is also the incoming chairman of pharma. that is at 11:40 a.m. eastern tomorrow. do not want to miss that with the pfizer chairman/ceo. >>> gold is down slightly today, but what will this

underwriting standards test of extremely high.lify on the basis of a much higher rate even if you're getting an adjustable-rate mortgage. for all this talk about come back adjustable rate mortgages, they are 8% of applications right now. we are far from a situation we have to worry about. liz: that is a great way to end this hour. thank you so much. greg mcride, senior financial analyst. the world's hottest new cruise ship will soon have the new home and it is not the u.s. or the caribbean or europe, it is in china. royal caribbean relocating its quantum of the seas to shanghai after its debut season in new york this fall. the ship has 18 sacks, holds 40 one hundred passengers and features roller skating, bumper cars and an observation capsule that lifts writers 300 feet above the water. remember we should view this? the quantum will cruise from shanghai to japan and south korea helping royal caribbean sales in china which by the way are very hot, they have doubled over the last five years. the chinese with the moneys they have no

goes back initially to the underwriting price.ut there are a lot of people -- >> goes back where are we 26? >> 26. >> but it was a reassuring interview for those who think twitter has lost its way. >> you still think it's going to go down another 11 points. >> facebook is going to -- is selling -- >> percentage wise that's a lot. >> facebook is selling at i could argue 22 times 2016 earnings. >> yeah. >> this is selling at 100 times monthly average users over a timeline divided by paid views multiplied by uniques talking about how many people tweet and the oscars. >> got it. i'm going to watch that metric show. i am going to keep a close eye. >> until the oscar comes back, i'm worried about the growth. world cup. >> don't forget the grammies. >> they said the world cup will not generate -- >> why not? >> i don't know. >> why not. >> adam silver saved the day for the next quarter. >> don't want to become like cnn where you need an event to get anybody to watch. >> this is a company that's driven by programming of others and the --

they can underwrite with this and buy credits based on it, they couldn't do that with that section 9 financing. this is part of reason this is part of the solution. in terms why we are looking at rental assistance demonstration program. and the other part, the rental assistance program comes with an obligation. we will talk a little about the rehab obligations and the tenant obligations. and one of the reasons, to take part of this program, you need to be obligated for 20 years. and we have to put more money and we have to increase the housing quality in these units. therefore a part of this, and i wanted to answer the question about whether this is a demalatide demoliti demolition. absolutely not. this is a rehab program. there is no demos. this is not like (inaudible) or choice neighborhoods. so we are going through and rehabbing everything for the next 20 years. it doesn't mean that in 20 years from now or 15 years from now, we as a city decide we should improve this housing and utilize it to a higher level. but for now, this is a rehab. there is no intention for displacing anyone

we do a light underwriting. we are not as sophisticated within our group but we have a team that looks at the cost, expected cost of the population and we do price premium for that. >> to be specific, do you have other employers who are actually using a risk adjustment in their payment structure with you? >> i don't know because we don't contract directly with the employer. we do that, the population we are covering -- >> insurance companies? >> insurance companies, absolutely. >> the second question is the population. >> andrew schneider from brown and toll an. the question of population is new in health care. in the case of what it's done in 2 years perhaps radically changed payment reform and now we are trying to change delivery system reform to match that. that's what this is all about. to do that you have to manage your whole population. not to over simplify a population, but if you put into big buckets. we know some of the statistics five 5 percent of the population are 60 percent of the cost. all the prog

>jp is a little bit different category.more of a money center bankmore reliant on trading than underwriting like wells is. certainly from the trading sidefixed income especiallyhas languished to say the least. i personally think jp morgan given the run up its had to proceed with caution even with a little bit of a selloff recently. i look for lower levels on jp and the monet center banks in general. >>we will watch for both of those earnings coming from wells and jp morgan today. also, it's been an insane week for tech trading. how are you positioning? how are you hoping to profit? >>on these i'm actually taking a short term bearish position on the names that have collapsed. up around the old highs, i'm selling out of the money call spreads, looking to collect some premium. really thinking that the run to new highs will probably take a while to say the least given the fact that relevering here and that momentum seems to be waning on these names. so i look for those big tech names to probably chop around here and have trouble getting that big upside move selling some out of the money call sp

the underwriting of food, housing, medical care by the government. the united states has -- is already experimenting with providing these essentials, other nations are far along the road. this progressive says he's also shooting for, quote, the use of deficit spending technique to finance these underwritings, the annually balanced budget has lost its all-time sanctity. the control of foreign trade by the government. with increasing emphasis on bilateral agreements and batter aer deals -- barter deals. the control of natural resources. with increasing emphasis on self-sufficiency. we have seen the government with every passing month take more and more control of natural resources and since texas is doing so well, producing more oil, more natural gas than ever, basically the federal government is in effect declaring war on texas economically. they've siced the e.p.a. after texas. they want to do everything they can to destroy any private resource production. it just sounds like somebody has had this book and that the ook "the road we are traveling" fit

the merger has more the underwriters an option is carried by his family and leave before is not on fire the canker private gathering of family members publicly comments to get real garcia marquez in mexico city. the president of columbia ploughing ceremony you are in the name of forty seven million indonesians. it is with the heavy hawke's bay we say goodbye to the greatest cannot get a full time. gabriel garcia marquez and chemical with him the author hundred years of solitude was the literary voice of america. a native of columbia canada mexico in the nineteen sixties the weather was nice with a design to use his example will always live in the hearts of his friends and millions of readers in the world. his words and thoughts will stay on with this. garcia marquez who lives among this day in the future generations. for them. at the request of his family some of the writer's favorite excerpts from it along with mark hoffman traditional colombian music hundreds gathered outside the palace of fine arts to bid a final farewell. it was that says i love his works reading his books and there

buddyingever a fan of up to underwriters for ipos. >> i feel like the nice guys, the guys doing their homework are going to finish last. less,y're going to make but so was everyone else. ipos underperform in the market, not outperform the market. verdict --f you camp predict those times, not thinking about big picture and not trying to get the hot ipo, i predict you finish second to the guy doing his homework. >> we need to take a quick break. what a great start to the morning. coming up, this all-star day continues on "market makers." we will be speaking to jack fama, -- bogle, eugene and robert shiller. stay with us. ♪ >> welcome back to "market makers." consumer prices rose in march, but it is below the fed's target rate. i want to bring in michael mckee to break this down. ness, ishor, cliff as still here. >> this is not a level or magnitude of change, but direction of change. the fed has been worried about this inflation. wall street has been worried about disinflation on one hand and inflation on the other. prices have been going down slowly for a while. they continue to rise? t

>> in the banking department to help underwrite ipos. that is not an especially popular position on wall street, but fundamental analysts are not there to help investors make money. they are there to get deals moved forward and help the syndicate. ask you think those who do fundamental analysis should be equity bankers? x no, i think -- >> no, i think those who do fundamental analysis are investment bankers. >> i think some investment anchors our salesmen. the idea is you have a bunch of 26 roles pumping out pitch books. >> and who is writing those its books? it is the fundamental analysis. they are contributing the data, the narrative to those pitch books. and the data on ipos, if you were to buy an equal amount of every ipo, it's some big money. in leslieto bring picker to the come -- the conversation. sawmoelis start trading, the first investment company to start trading. but they've had a hiccup getting there. what do you think about that? >> they left quite a bit of table,n that -- on the you might say. companiesason is, such as the

. >> but they actually underwrite every right wing group in america. there would be too many hannitys around. >> the lesson is that rich people are evil unless they are a liberal. because that exonerates you from being wealthy. it is get out of jail free card for being rich, if you're a liberal. >> and then work against everything that your grandfathers founded. >> and being rich exempts you from the very policies that you enact on others who are not as rich as you are. so the people who are considered rich by most of america are paying more taxes. but when you make $100 million, you give $50 million away, it doesn't hurt as much. >> the best thing the kids that have the money will start businesses and fund businesses and really spur economic growth. that would also be a really worthwhile summit to have. >> my guess is these are trust fund babies. and you made a good point, a lot of this discussion had nothing to do with politics and lots of different kind of policy issues. >> how about some inner city kids? >> i would love to see some kids from every

now that it is selling, it will be about a 17% stake, assuming the underwriters do not take their option will be able to have riskier activities in terms of making subprime loans. lower cost. some analysts are expecting that will help their bottom line. >> is this ipo frenzy sustainable? we asked bank of america's head of tech equity capital in an exclusive interview. >> if you look at the headlines that come out, they tend to focus on the activity level as comparable to 2000. the natural question every one has is how sustainable it is. and if you look at health care and technology, people look and say, that cannot be sustainable. but there are some encouraging signs. the market is differentiating between companies. there are always stories that come out when a company with minimal earnings or revenue get s a huge multiple. however, the market has been separating between the types of companies and quality of revenue. that is something that would suggest that it is somewhat sustainable. deals inpo's to acquisitions and mergers, comcast is taking a bite out of time warner cable. and coming

have $500 million in fixed income underwriting in our investment banking business.t supports what our clients want and drops to the bottom line. you need to have the distribution side of the business of there are many linkages. >> is that work mostly done like rightsizing the business and dedicating more capital? are you operating from a position where morgan stanley is in the post regulatory world? >> we think we are pretty close. we have meaning leak reduced risk related assets. reducedve meaningfully risk related assets and made advances in technology. we were at the forefront of that in that sets us up well for the new regulatory environment so we are close. we have more work to do but we are getting there. >> when you say technology, it makes me think dark pools and high frequency trading. what is your response to all of this? >> we have been very early and vocal with regulators going back to 2009. there is a lot of a record about the importance of market structure and what can be done to improve markets with greater transparency and tighter governors. -- gover

goldman sacks is an underwriter for sabre and weibo, two ipos here on the nasdaq. out both ipos. that according to sources. so we still await weibo's listing on the nasdaq. we are hearing it will be closer to 12:00 p.m. eastern standard time. that's noon here on the east coast. carl and kayla in. >> all right, seema, thank you very much for that. seema mody. >>> shares of sandisk popping 6%, actually closer to 9% on these better-than-expected earnings, the best performer on the s&p. jon fortt joins us with an exclusive. jon? >> thanks, carl. we're joined by sanjay mehrotra, the stock up about 10%, right now at 52-week highs. if we were to close near here. sanjay, thank you for joining us on "first on cnbc." i want to dig into the performance, particularly the bottom line, driven by flash drives in the enterprise. on the one hand, we have hardware unpopular at ibm, the commodity sort. on the other hand, we have you outperforming in a high-performance hardware. what is driving that segment of your business? is it big data and analytics? >> thank you, jon, for having

weaker underwriting standards, a sudden rise in yields. emerging markets, rising interest rates.earnings. inordinary deleveraging of the financial system, in particular, the shadow banking system. let me turn to the euro area. the key challenge is to complete the job of repairing the banks and repairing the corporate's. then enter fragmentation between the brief and the court continued. soft credit is particularly depressed. geopolitical risks and main main -- remain elevated. finally, failure to adequately address any of the challenges i had mentioned could have a significant impact on global financial stability. >> tom keene spoke with imf director christine lagarde this morning on the banks 70th anniversary. the question, what is the next mandate to bring the imf into the next decade? >> i would hope before the end of the calendar year we complete the reform of the imf, which means we make it more credible, better resourced, and a bubble bubble -- and capable of jumping on urgency issues like in the ukraine. >> within that, the issue is, the support of the u.s., in the "financ

be against all the underwriting principles.any people do not realize workmen's compensation insurance has no exclusions. that may cause workplace injuries -- injuries. it would only write the coverage at all. particularly for metro areas and companies in sensitive industries or those that have high concentration of employees, that exposure is always going to be there. in fact, i know the senate has been talking about a bill in the reauthorization for another seven years, and i think that is terrific. seven years from now we will have the same issue. i would sather -- rather see this done on an evergreen basis. >> no one in this town likes the word bailout, but effectively this is what it would do if god forbid there was a terrorist attack. >> i think we have to look at separate outn property insurance and workman's compensation insurance. property insurance the market will pay. it will be a very ugly situation if insurers were forced to provide unlimited terrorism insurance with regard to large property risk. i think what you w

you the higher rate because you don't have the same kind of underwriting capacity.he financial aid is incredibly generous but not everybody will qualify for it. required fortill your contribution to pay $20,000 for your even though the total cost will be around 60,000, it is hard for families to be able to write that can check. it gives you a bit of liquidity, and princeton says we do it because we can. [laughter] >> yes, amazing. they have an endowment and are able to secure great rates for families and they don't have any fees. >> who is making use of the loans? >> not a huge percent of the student body population. about 10% of the families. for those whowing do qualify for financial aid about $19,000. >> some arbitrage going on? >> for those who do not qualify for financial aid is about 36,000. if there were arbitrage going on you would see that number a lot higher and you would see much greater but is a patient in the program. >> other universities -- why aren't they doing the same thing? >> it is a very good question. winston is the fifth largest endowment. the

is considering more beyond the billion dollars in a loan guarantee underwriting.we will have to see where it goes from here. >> finally, nato released images showing russia' appointment on the border of ukraine. why did they do this? >> they were trying to counteract russia, saying we're are not building up troops next to ukraine, accusing nato of having released old imagery before. the images you are referring to are 7 commercial satellite images. nato has released these satellites and allied you to see before and after. you can scroll across and they showed that this shows up to by thelitary bases russians on the other side of ukraine. in some ways this is about psyching out the opposition, psyching out the russians and saying me know what you are doing. u.s. treasury secretary jack lew says that we, the united states, are ready to impose more sanctions if you go for their -- go further. at the russians coming up licensing for the last russian am station that was playing voice of america russia, denouncing it as orwellian propaganda. both sides are playing the g

the individual plans have a longeron and there is no any underwriting costs because there is no underwriting. >> it is amazing how people will be a path to your door if they will be fined. i'm not being critical of you. there's definitely a good promoter. >> actually, when we talked to thousands i'm serving, for the vast majority, the penalty is not and incentive. for some is a factor, but for a small minority. >> there was a deadline that we face as well. >> chairman, we are funded through an assessment policies sold through the insurer. that is up to 3.5% assessment. >> this is per policy is sold through the system, not all. in maryland it is everybody, right? company.urance just was so being sold to the system. >> thank you, mr. chairman. going forward, our financing is based on a 2.5% premium sold through the exchange. >> as you have in roman coming through, obviously one. ended and another is opening up next year. you're looking at a budget, based on what is coming at this point, and what you have, is the agency sustainable? is the target there to be able ?o make >> right now, the targe

. >> meanwhile, they underwrite every right wing cause. >> can we just point out what the issue is with the liberal progressive is with income inequality? that the top end strives to make more money. right? that's the issue. paul krugman is doing exactly that. i'm not begrudging krug for making a lot of money. i'm if fine with that. but don't get on your high horse and say what a terrible idea it is to go -- i guarantee his agent negotiated that deal. >> he's also the paul krugman put it in context who said that we should fake an alien invasion to stimulate the economy. why is he put on a ped central -- pedestal in the first place? >> i think he might say he has advocated the rich should pay more taxes and if he makes more money because he's so brilliant he'll pay more taxes. >> he should donate it. >> we could handle all of this with a $20 an hour minimum wage. >> how does that help? >> because it would make a lot of people have a lot more money and more money many the economy. >> and how long would that last? >> i say 50. >> no. $100 an hour. >> and a car. >> there you go. let's oprah

most commonly i heard for a document hundreds of pages in length, underwriters are looking through thisnd make changes and make sure every single t is crossed and i is dotted. a second reason was figuring out how to treat the delic d topic of counterfeit goods. the sister sites and auditors want clarify as well. deal making in alibaba. just this month the company and/or alibaba chairman have bought station in companies. one such deal was announced this monday. mab is no longer the ceo of the company. as this dust settles and as some of the issues get settled it could be a few days before we get the document. it's still expected to be approaching the largest ipo in the u.s. on record. >> kayla, thank you for that. dan nathan? >> don't get me started. >> start. >> let's weave a little web here. $19 billion and apple issuing tons of debt to buy back their stock. it seems -- >> listen, that's the first thing i thought. second of all, if they're taking this long to read the document and they're first day on the job? you know what you have. you knew it six months ago. i don't think this is go

joining us to talk about this is david undercoffler, underwriter for the "new york times". how did mary do is this. >> i think she did fairly well, all in all. for all the bluster from lawmakers, she maintained her composure, she was contrite, made it clear that the incidents of recalls and oversight for general motors in the past would not be tolerated in the general motors that she oversees and issued several apologies. at the same time, if you paid attention to what she was saying, she didn't disclose new information. it's clear the company is trying to figure out what happened and formulate a response. is it figure out what happened or trying to figure out their response? >> it could be a little bit of both. remember that we have until - general motors was given until april 3rd to answer 107 questions. that was to be submitted to the national highway traffic safety administration. we may know more when they submit the answers on thursday. for now, it seems it could be a bit of both. >> the real question may be how far up this went to the - through the chain of command,

if it trades well, underwriters can sell up to 14 million more shares. $25 a share for ally. >> 25 bucks a share. how do you think it would trade or would you buy it? >> i feel it will be heavy. you still have an overhang. the government is not out. the one thing, it is a small discount to thank jibl book value. i don't think you need to rush out into this. >> another major car recall. the details after this break. later from smart watches to smart bowls. he is bringing toys, including that aforementioned smart bowl. back in two. as part of your service, we did a 27-point inspection on your chevy, you got new tires and our price match guarantee. who's this little guy? that's birney. oh, i bet that cone gives him supersonic hearing. watch what you say around him. i've been talking a lot about his procedure... (whispering) what? get our everyday price match guarantee plus a $100 rebate on 4 select tires from your tire experts. chevy certified service. >>> some unusual activity. pee pete has been watching the energy space. >> mrc global. they do different things servicing into the energy in

i think it is a time when credit underwriting has gotten a little bit sloppy, there has been a massive amount of flow into the mutual funds that have driven purchasing. yes, there is a potential for a significant drop in those markets. >> how do you praise for that? if you are not long the market, you would end up a full at the end of the year. how do you brace for fundamentals? at a time when the market continues to grind him. we laugh about high-yield deals. >> the first thing you do is you try to have a short duration idiosyncratic book. there has been enough glitches in the market along the way. the virtues of having a kind of approach will stop second all, you should not be hesitant to hold cash. especially if the banks are not making marcus the way they used to come when you get one of those bad months, you want to have cash to be able to deploy. third of all, you don't just rely on the market for liquidity, you try to buy securities because they are liquidating. the run claims. >> when that cash comes in, what do you do with it? >> the first thing you do is you hold it in cash a

it's been good for the stock today but why did your underwriters give you the adstris do that?d was high. i was proud of the demand. we had unbelievably top shareholders interested. i don't know if you noticed bus the nasdaq and specifically our comparable set of companies traded off 10%. the volatility in the last five days has been enormous. and we chose to take the price there. we asked where are investors going to make money today, i can't guarantee the stock for a long period of time, but i can guarantee i've priced it to make the people who felt comfortable giving us $160 million a fair shot today and we did. >> and obviously it's five, six years ago you started this thing. an important day for you. has been pointed out, ken, you have a structure here where you own 97% of the votes. when you give advice to other companies, and i know you're not in the capital markets business but you will be offering that advice i'm sure to some companies, would you advise them and the founders to pursue a dual class structure the way you have. >> depends what the situation is. we asked a