>> welcome to "money clip." for adam crumpton in johnson. here is the rundown. in media, it is not just "frozen." and corporatee america raised their glasses. in world, vladimir putin wants to ban u.s. and eu products in russia. college retaliation for sanctions on the west. today's wildcard, johnson gets fired up over the european union

and by the way, he wants to run for parliament, too. in motors, reserving a dinosaur from the golden age. what start off with everyone is talking about. yesterday was not a good day to keep a deal on the table. >> sprint once again set to end -- has0th century fox withdrawn a proposal to buy time warner. >> sometimes you need to know when to walk away. it was rupert murdoch who forred to buy time warner $75 billion back in july. if you remember the time warner chief shut it down. >> after consulting with our financial and legal advisors, we determined it is not in the best interests of time warner or our shareholders to accept a proposal or pursue any

discussions with fox. offer was rejected back in july. time warner was not even willing to engage on the proposal. said thereay, fox was not going to be a deal if it did not benefit the investors. but his rupert murdoch really walking away from this deal? >> i think he is frustrated. i think in some respects his reputation for being aggressive, which generally helps them when he is pursuing a deal worked against him because candidly, no one believed him or his advisers or believed he would be fiscally disciplined. it may be deal harder to do. time warner shares went up and message wasugh the fiscal discipline and we are not going to pay.

the math did not work for him for a while. >> after fox said they were deal, fox -- the shares went up and time warner went down. >> there are both performing very well. this is a management group that works for shareholders in ibex and dividends and so on. >> time warner followed through on that reputation. be media giant said it would buy its shares. it backs up what the chief said at the start. simply, the board determined that continuing to execute our plans will create significantly more value for our shareholders,r and that is more valuable than what fox is prepared to offer.

to buynt ended its talks t-mobile usa, according to a source familiar with the matter. it outweighed the potential benefits of combining these carriers. sprint, the softbank that owned 80% of sprint, its founder was really the engine behind this deal. so, it is not going to go forward, and that is asked -- exactly what we heard this morning. they need to come up with plan b. >> but that is not it. dan has see, the ceo of sprint is out. he apparently saw the whiting -- the riding on the wall inmate. he pretty much fired himself when he talks about murdering heint and t-mobile when

appeared on bloomberg television. >> it is really a mess. >> what is the scenario in which he would not want to be ceo? that is a tough one to contemplate. what i want ton do. i am 60 years old. i want toew things do. >> i see some fire left in your belly. >> there is a lot left. on six and a half years at sprint. i still have fire in the belly. i could continue, but it might be a good opportunity to go do something else. >> it sounds like at the very least it would not bother you if you did not run the merged company. >> no, it wouldn't. >> so, dan has he is out. isn't? >> he is the leader of a company

called right star that softbank also loans. it's an international wireless company. long-standing relationship with softbank's ceo. we will have to hear from him and figure out what they're going to do. they are a money losing wireless company they have said for months and months and months to regulators, even publicly. the government says we need for and not three, the question is will spread to a partnership with another company. are they going to go at this and stand alone? if they are, i would say the cards are stacked against them. beso it looks like it will for carriers, at least for now. .isney earnings failed we will speak to the ceo on contract creation on brand development and a frozen sequel.

in takeaways from the first ever u.s.-africa for him. we will hear from some of the participants, coming up. ♪

>> two media giants posted earnings. web service company aol and entertainment giant disney. let's start with disney. >> movie superheroes helped disney with third-quarter estimates that beat estimates. it had to box office hits in the last quarter from marvel studios unit. we are talking about the captain america sequel and "maleficant"" disney's hit from last year "frozen" continues to deliver profit. >> jon erlichman sat down with disney ceo bob iger who said good content and strong brands are helping to drive disney earnings. >> in today's world with so much consumer choice, more than we have ever seen before, content not only has to be good but i think brands are very important.

guardians of the galaxy is a great example of that. people say it came out of nowhere because those characters were not well-known. the title was not well-known but the marvel brand has become something in the consumer's eyes that means something and it should be trusted because they have a track record of making good films. >> you had hinted before that you felt like there might be this avengers-like potential with "guardians of the galaxy" and being able to find new films and tie the characters and bring them back again. do you have a higher level of conference -- of confidence pursuing a strategy like that? >> i don't remember hinting that. i must admit that i did feel that. now that i think about it, it was a little cocky of me. there is great potential here. we have a sequel we have announced that we will release in 2017. this is a set of fresh world, fresh characters and i think

there is huge potential not just on the movie side but across our businesses, theme parks and consumer products and interactive, possibly television. >> that is a theme we have already seen with another property in "frozen." there is a belief that going into the holiday season that people will keep buying "froze"" stuff. do you feel that way? is that the outlook for "froze"" merchandise? >> yes, we are well-positioned for the next quarter and the holiday season with merchandise that should fill shells across the world. there is great demand for this product. we have a sing-along product coming out sometime later this year. "frozen" appearances are present in our theme parks and that's a good show in orlando. it will be part of abc's primetime program on sunday nights which we are happy about.

it's an "frozen" fame to "once upon a time." i feel there is a lot more life in "frozen" then we have seen. >> mr. iger added that there is no word on a "frozen" sequel but the next step in the franchise is a broadway show. aol reported earnings this morning, second-quarter sales beat estimates but higher costs led to a one percent drop in profit. betty liu interviewed the ceo tim armstrong. >> one of the things we concentrated on is making sure our results are future looking and we set the table for years ago. companies will do well whether they are independent or consolidated. the companies that are good at digital and high quality content and good programmatic advertising and very good building global media brands

and that is what i think will be the fuel whether it is independent or consolidated for people to move forward. >> programmatic advertising is big for you guys. >> our ad pricing overall is up which means we are doing a great business managing that. we've gone from single digits to 35% of our revenue in one year. that tells you how powerful the marketplace is in terms of the automation of advertising and using digital to automate how you touch consumers with advertising. and our growth or our programmatic advertising grew 100% year-over-year. >> a lot of the advertising on your websites, while you have a lot of viewers, millions of viewers every month on those websites, they are now being -- that content is replicated in other places like buzz feed or business insider or elsewhere. isn't that content getting commoditized? >> you can replicate the content but you cannot replicate the brand.

that is an important aspect of our business. huffington post was 20 million unique visitors on a blog when we bought it. today is 97 million people in 11 countries, 48% of the traffic is international and we had 200% growth in mobile year-over-year. that is a powerful brand with powerful content. everybody is chasing huffington post. if you look at tech crunch and the hbo series silicon valley, techcrunch and disrupt for the central parts of that show. you see people replicating our strategy and i think our job is to stay at the forefront and stay in front of everyone which we will continue to do. >> you can see more of the interviews with disney's bob iger and tim armstrong clipping -- including what they think of the time warner bid on bloomberg.com or on our award-winning tablet app. coming up, the head of ford's middle east and africa division

and where he sees the most growth potential. japan observes a moment of silence on the 69th anniversary on the bombing of hiroshima. the city's mayor invited world leaders to see the atomic bomb scarred cities firsthand and convince them that nuclear weapons should not exist. ♪

>> this is "money clip," on bloomberg television, streaming on your phone, your tablet, and bloomberg.com and now available

on apple tv and amazon fire. i am mark crumpton in for adam johnson. the u.s.-africa business forum concluded yesterday in washington with 10 trade missions and $14 billion in investments in the continental. hans nichols was on site speaking with the business and government leaders in attendance. he set down with michael bloomberg, founder and majority owner of bloomberg lp, and mo ibrahim. >> nobody has ever put together all of the heads of the african countries in one place. at the same time given businesses the opportunity to dialogue and make some contacts. i sat next to the president of uganda, he cares about industrial equipment into emma -- and two minutes later, i was

talking to somebody who talks to industrial -- who makes industrial commit -- industrial equipment. i should get a commission. it doesn't matter whether they do a deal right then. later on, the company's salesman can say to the minister who does the buying or to a store that does the buying that i was with -- my boss was with your president and they said we should talk and people get together and it's about relationships and knowledge. >> is this an opportunity to solidify relationships or does more need to be done on the governance side? >> to start with, it is wonderful that this happened at last. the u.s. really should have done this years ago. of course it takes somebody like mike who has to make this happen. you need that kind of drive from business people to come and do this. i am delighted with today. it was a good day for us.

i don't like it when too many senior people are in the room and everybody is nice to everybody. then you don't get anything done. we need to have frank discussion, and to some extent this is better than similar , things. it's better than what happened in china or france. am i am not commenting on the other political discussions. i am not in a position to know what those guys are up to or what they can achieve. a but from the business point of view, i think this is crucial. >> american investment in africa still greater than china. china has been spending a lot of time but china has a policy -- the way they structure it, their government goes and pushes an agenda and tries to get things that are advantageous to china and is nothing wrong with that. the american structure is different.

we try to have individual companies make individual decisions that are in their best individual interest and let the totality that winds up to be something. and african countries point of view, they cannot be dictated to because they have lots of choices whereas another country like china or somebody else takes it the way they sell it or you don't take it at all. that is their strategy but it's a different strategy. i think america's case is very compelling to african countries. they want to be in business with a successful economy where most people are in the middle class. some are below and luckily some are above. the average person in america has done so much better than the average person in let's say china. >> hans nichols spoke to the world bank president who shared his thoughts on the success of the summit. >> leaders in the american business committed to you

-- community who probably did not know much about africa are getting a very different sense of what is going on there. they have been growing and the debt to gdp ratio is around 34% for the whole continent. they've got good policies in place in the central banks are dependable. -- are independent. there is a lot of good things about africa but the ceos did not know what it would be until we -- until they got here and met the leaders and saw it for themselves. >> ford motors is one of the american companies looking to expand in africa. hans nichols book with the -- hans spoke with the president of ford's middle east and africa operations. >> we have just started our new business unit january 1 for the middle east and africa for ford motor company. we are excited about the opportunities in africa. >> you make engines in south africa and some of them are being exported. milestone? >> yes, we are proud of that. we make the ranger pickup truck it to 148ort

countries out of south africa. we also make the 3.2 liter diesel engine for our transit van being built in kansas city. we are very proud of the fact that we are exporting engines to the united states from south africa. >> what about building production plants in africa? i don't want to call them rumors. there have been reports of the opening up of factory in nigeria. >> thanks for letting me clarify our position in that. we are looking and we are such a young business unit, only a few months old, we are looking at all the opportunities we can see in africa. that really spans the whole continents. we really have nothing to report now but we will be looking throughout the continent of africa for opportunities. >> that means north africa as well? >> exactly, sub-saharan africa and south africa as well. we're looking at the gamut of opportunities for ford motor company. >> what do you see the sales increase in the continent in the next five years? >> we believe the industry will

go up by about 40% until 2020. we will stay with the industry but our goal is to bypass it. we want to do better than what the industry is out there for. >> what about annualized units? >> in annualized units for the middle east and have her cut in -- africa in 2013, we were at , 200,000. >> we've got more automobiles ahead with a special look at the classic checker taxicab and we will introduce you to the man who restores the iconic american cars. london mayor boris johnson admits his political ambitions. he is today's wild card. ♪

clip" ons "mno bloomberg television. today's moving pictures -- where the video is the story. about 150 blue tents have been set up to shelter survivors of china's deadly earthquake that occurred sunday. nearly 600 people were killed and some 230,000 have been evacuated from their homes and thousands of them have fully or partially collapsed. this was the scene in new york's times square yesterday as two double-decker tour buses collided and 14 people were

hurt. the driver of the bus on the left is under arrest for allegedly driving while his ability was impaired. witnesses say the bus rolled into the area at a high speed crashing into the other bus and toppling a traffic light. the second american aid worker infected with ebola has been admitted to an atlanta hospital. she is said to be weak at improving. -- week, but improving. both patients have been treated with an experimental drug. in the world vladimir putin's , military buildup on the border near ukraine is raising international concern. nato officials are putting the number of soldiers at 20,000. a military official for ukraine put the number at over twice that. the standoff over ukraine is escalating in the wake of the u.s. and european union heading -- hitting russia with the toughest sanctions yet. sanctionsaliatory vladimir putin says russia , should ban everything western

from flights to food in retaliation for those sanctions. >> political instruments are putting pressure on the economy and they are unacceptable. they contradict the norms and rules and in connection with this, the russian government has already proposed some retaliatory measures to the so-called sanctions imposed by some countries. >> president putin went on to say that he will impose these retaliatory measures unless they hurt russian consumers accepted -- except, it already has. thousands of russian tourists are stranded as big tour operators declare bankruptcy. the tour operators blame the bad political climate and the depreciation of the ruble which is lost up to 10% against the dollar since january. what is vladimir putin up to? the surveillance team asked michael rubin, the author of "dancing with the devil." >> he probes for weakness and if he doesn't think the west is serious, he will act and retrench and that is what we are seeing on the borders of ukraine right now. >> let me bring in the morning

must-read from your article written in "world affairs." you said the idea that diplomacy regimes -- is the problem with russia right now that russia is a rogue regime but washington and europe have not caught up to that fact? >> increasingly, russia is a rogue regime. i took the definition of clinton's national security advisor tony lake who talked of a rogue regime being a state which does not abide by the norms of diplomacy and that's exactly what vladimir putin is doing. it is really evident that the west is not caught onto this. we still think we can appease him and he is banging is banging us over the head with the evidence that that strategy does not work. >> from your article, i'm having trouble understanding whether you believe russia is becoming a rogue regime but you write about the russian mind and the

possibility that it might have always been a rogue regime. you seem to be channeling the american diplomat who said the russian mind is a certain way and we should always expected to -- expect it to be that way. >> ultimately, i spent 14 years in a quaker school and nine years at university and i lived in this bubble of multiculturalism about appreciating differences. ultimately we need to recognize , that different people think in very different ways. we cannot project their own sincerity onto the russians. i don't think the russians have always been a rogue regime but increasingly, it's almost as if vladimir putin has been emboldened by the fact that he has been able to get away with what he did in georgia in 2008 and in ukraine more recently. we've seen a flare in the last couple of days. ultimately, we see a situation where it's almost as if latimer -- vladimir putin is out of control. >> it seems like we are talking

because we don't have better options. what is the alternative to talking? making it worse? that is not going to happen either. >> it's not that we should not talk but we need to recognize that talking is not a panacea. if we are talking to vladimir putin but he is not sincere in coming to a solution, if he is just using talk to retrench himself, ultimately, we need to recognize that the talks are not doing us any good. >> what happens next? if it is talking plus, what is the plus? >> next is coercion which makes vladimir putin recognize that there is a cost to his actions. when you have the french still talking about still selling ships to russia and the germans are making deals over oil and conducting business as usual, that's not a good deterrent. >> president putin's actions did not help the markets today. russian stocks fell and so did the ruble. the mayor of london has strong feelings about britain's place

in the european union. hear them next in wildcard. in new york, the latest data on how much people tip their taxidrivers later in motors. ♪

>> this is "money clip," on bloomberg television, streaming on your phone, your tablet, and bloomberg.com and now available on apple tv and amazon fire. i am mark crumpton in for adam johnson. today's wild card -- london mayor boris johnson. that's him in the neon bicycle helmet arriving at a bloomberg event in our european headquarters. he had a bright outlook for his own future when he announced he would run for a seat in britain's parliament in next year's election. the headline computed with his thoughts on the uk's place in the european union which was the topic of the speech. here is the cliff notes version. >> the eu is suffering from a crisis of economic underperformance and a related

collapse of political trust. i don't object at all to the churchill quotations of alcohol. i don't object in the least. i do object to the way that he was foisted on this country in defiance of the explicit wishes of a major eu state in a way that simply would not have happened 10 years ago. i want a europe of opportunity, a cartel busting, market opening europe. a europe of mutual recognition where we get back to the sublime simplicity and wisdom of [inaudible] rather than the grinding of the mastication of harmonizing legislation. >> after his speech, he went upstairs to our studio to sit down with guy johnson.

first question -- did his announcement to run for parliament take away from his criticism of the eu? >> that's a very fair criticism. of the timing of the two. >> i'm sure it was not an accident. >> will it is. european report has been lined up for ages but i am getting fed up with endless pussyfooting around mainly by me. over this subject. the two things are wholly unrelated. i hope actually that people in brussels and around the eu, they look at that speech is a genuine attempt -- this is the right place for this country to be. i'm not anti-european. i love europe and i admire european culture and civilization.

all that. i hope you agree there was plenty in that speech that saluted some of the good things the eu has done. i think people listening to that on the continent will see that we are not coming to this perspective of complete negativity and hostility but we think things could be better. we think you can recapture confidence amongst the electorate and mobilize support for it if you just made some changes to improve the way the whole thing works. on employment law on the whole bureaucratic machine -- it has become way too intrusive. you need to have a self-denying ordinance. you need to have the yellow card system. i was delighted during the q&a by the guy who stood up and said it was going to be agreed anyway. that struck me as being very positive.

all the reforms i have set out he seemed to think that the , reforms i set out were already doable. >> do you think the eu has a desire to reform? there are clearly those within the eu that have a desire to reform. part of that is also a process that goes hand-in-hand with a closer union. >> that is right. >> but you need -- > the euro zone could want to go toward a political union. the difficulties they have had since 2007 have been acute. they have had these massive transfers that have been necessary to stabilize.

the whole exercise is been hugely difficult and painful. you got massive unemployment still in the periphery zones -- still youth unemployment, catastrophic in the south of europe. maybe they are going to have to have very big fiscal transfers and maybe they will have to go toward that but it will be difficult democratically. that is why i don't see the european project is well conceived. for the u.k., that is not the issue. we will not be in the euro nor is denmark, sweden probably. there's going to be a group -- >> there's a tension that exists because a large portion of those within the eu are members of the eurozone an order for that to work, they need -- >> you've got to agree on the relationship ins and outs. >> do you think it's viable? >> it's totally doable. >> the mayor of london speaking with guy johnson. bridge prime minister david cameron has pledged a referendum

on eu membership by 2017. still ahead, do you wonder what happens to the classic checkered cab? we will tell you where they ended up next. how generous are new yorkers in tipping cab drivers? we've got that data, too. ♪

>> ever wonder what happened to the classic checkered cab? we found the man with the largest collection of them and he even turned his hobby into a business. we go to chatsworth, california to meet the man who is keeping checkered cars from going extinct. ♪ >> i love driving checkers. they are easy to get in and out of. after i do a little work on them, it's easy to get on the freeway and go 90 miles per hour and keep up with traffic. not that you would get that

chance in l.a. or new york. my name is joe pollard and i own checker parts. checkers are probably most iconic american car worldwide and most recognizable in yellow. i do parts for checkers. i take parts of old cars and sell them to people. i restore checkers and just about anything to do with them. i actually got started in this in 1978. i got my first checker after riding in them for years as a musician with my drums in different cities and i did not know that they quit making them and i could not find parts i started making parts for them. i have remade all the fenders and fiberglass. i pretty much remade all the suspension and steering parts because those were unique to checker. i make thousands of parts at this point. my best guess on cars left in the world -- between 2500-3000

total. there is a variety of owners from hot rod take us to movie stars. i've got a car that used to belong to sylvester stallone. at one point, they will be worth a lot of money. i was up to 400 cars about two years ago. i decided it was time to start cleaning house. i'm down to about 150 cars now. i cannot seem to quit collecting. it's a sickness. i am not a hoarder, honest. in the scope of things, the movie industry is 80% of my income in other years it's two or three. this car was recently in" jersey boys" and "x-men". for "catch me if you can," co-we painted this car three times because each city was a different color code. this is in 1965 checker. they made less than 10 of these

this year. most people don't even know checker made a station wagon. i have been doing this for about 30 years making parts and selling parts and stuff. i love it to death. it is my retirement. i had no retirement playing drums and i have a ball with it. >> not everyone is such a big fan of taxicabs. data released this week is us an -- for the first time give us an idea of how new yorkers tip on their rides. the head of data, discussed the findings and how it impacts drivers. >> they don't tip them and they don't make minimum wage the whole year. >> i tip is much as i can. >> the zero dollar tip. >> the zero tip is actually the most popular choice outside of the 26% rates. zero is higher than anything in the 1-19% range. it is the seventh most popular choice, which is pretty surprising to me that that many tips are zero.

>> because new yorkers are cruel? >> what is interesting is the time of day this happens. the peak times-- >> that could be foreigners. there are cities where it is not customary so it could be foreigners. >> that is true. foreigners are cruel. [laughter] >> the peak where you get zero percent is 4:00 in the morning. you are talking people who did not plan on taking a taxi or people who have mentally calculated that i spent too much money tonight and i cannot afford to give a tip. >> i promised i would not say this but please forgive matt miller. today's loose change, after a man's leg became trapped, a transportation worker and fellow riders worker and fellow writers joins together to help them out. ♪

>> time now for bloomberg television on the markets. in julie hyman. let's look at where the markets close. little changed today. somee downside, we had

canceled deals or closed outright deals. time warner sharply lower during the session. and energy stocks have been some of the best performers today. they did give up some gains during the day. the o energy rose 3%. of $1.69 a low barrel. joining me, our senior oil and gas analyst. interesting day in the oil markets here. and again, you have that disconnect where originally, earlier in the session, oil was higher, energy stocks were higher, and then we had a little bit of a reversal. what is going on here? is a type of refrain. within the energy complex

, there are levered equities. what you have here are demand, supply, and balance. on the demand side, we had a relatively cool summer. cool days, which is a proxy for demand. injections into storage had a slow start in april. that accelerated in june and july. we're sitting here today with gas in storage of roughly 2.3 tcf. that is still 20 percent below the five-year average. quite frankly on the supply side, what you are seeing is a very robust outcome. total wellhead production is up, very robust, 5% in july alone. it is having an impact on overall prices and that is having an impact on the equities that had a really tough july. >> how about the driving season?

the summer driving season. once we actually get their do we not see as much activity on that? >> we had gas in the inventories. that had not retreated. you also have refined products up. prices, has supported for the most part. to what also has supported general, as we have seen over the course of the summer, these geopolitical tensions. we have seen in iraq. we have seen it in russia. that has supported -- >> but even with that, the vti is down. -- in fact the entire energy complex. nymex. wti, oil as well. >> do we have to wait until the end of summer for prices to go back up? >> if you look at past performance with equities and natural gas, when the levered

equities do better -- >> heading into the last part of the year? >> that function of getting past . and the natural gas stocks for example, it is a question of heating demand. >> ok. good to talkh very to you, as always, on what is going on in the energy complex. for on the markets, i'm julie hyman. ♪