tv After the Bell FOX Business May 7, 2015 4:00pm-5:01pm EDT
speak. there is still nothing on shake shack. i walked around, asked the traders. talk to the guys. can't find it yet. [closing bell ringing] liz: if you find something interrupt us to let us know. as bells ring on wall street. overall a very solid day. off the highs of the session. i think that the high of the day for the dow jones industrials was up 132. we caught quite a bit of it. nasdaq is looking up pretty solid here, up 25 points, half a%. russell matching that, up half a percent. david: by the way this is the biggest shake shack selloff in history. it is down 12%, going down even further. as soon as we figure out what is going on there.ath&
. david: telling us if he see as bear market for bonds. and, ira epstein, in the pits of the cme. ira, let's talk about commodities, if we can for a second here. there has been a lot of news on stocks but oil took a big hit today. why? >> it just looking like the 60, $65 is an awful big area to overcome. what you have done, you have given a gift to the producers. those that were marginal, anything over 60, that they could lock in, my guess is they're locking it in hand after hand. why? it gives them power to stay on. we've probably seen a low in oil. that is my guess. the question i find middle ground guessing mid 50s we're headed back to. liz: the mid 50s. garrett how do you invest around
a day like this compared to couple days this week where we saw significant selloffs? we are waiting on jobs number for tomorrow, month of april, a lot of to going on for a investor to digest? >> couple weeks ago we saw record low bond yields in europe and now we've seen a quick rise in long end of europe. bonds that bought long end of europe tenser 15 days ago. it has become a high-end market, very ill-liquid, difficult to trade. that can give another push to higher in terms of bond yields. david: something else is bothering people. they have been saying this for a while. a lot of people are borrowing money to buy stocks, borrowing money to put into stock buybacks specifically. that number has skyrocketed by the way. it is true that a lot of companies have cash that has risen by 570 billion. debt has risen by
$1.6 trillion largely because there are some stock buybacks. does that concern you? >> it doesn't too much at these low interest rates. they're trading out of high 6 1/2% interest rates, down to something in the 2 to 3% area. probably still the best use of cash to buy back shares. david: no, but i'm talking about debt, going into debt to buy back shares. not using your cash for that. but leveraging up to buy back shares? that's dangerous, is it not? >> well, it could be but again, i think that companies that paid down a lot of debt between, 2008, 2009, 2010, and in that area and now they're levering up a bit but at significantly lower interest rates than they would have had to incur several years ago. so it is not that worrisome to me. liz: ira, look, we're almost halfway through the year, okay? so after a big run-up that we've seen, what do you expect the markets to do? do we see sideways, back and
forth action, or see continued march higher or a correction? >> i get the word much higher out of the picture completely. i think you will have labored gains but i think they will be gains. the market is building in the first interest rate hike. whether it is september, november, december, it is, it is built it in. it is there already. liz: you don't see a relief rally when that finally happens, ira? a relief finally maybe the economy is solid enough to see a rate hike? i would push back on you and i would say that a lot of the fed members are now saying, oh, maybe 2016? >> let's assume that you're right and we get a relief rally which i'm expecting like you are. in other words, sell the rumor, buy the fact but i'm looking for 5%. i'm not looking for double-digit gains this year. i will stand by that. i think this market will have a labored move because it is easier to invest in europe right now, china when they do another stimulus move. people are looking for the bigger bang and we're not bigger
bang party anymore. we're solid. we're just not a big bang party. david: we have to keep in mind the economy grew by 0.2% in the first quarter. again we hear a lot of excuses that it is all weather-related but doesn't that concern you? of course we get the jobs numbers, what are you expecting? >> it does concern as you little bit but we've been having weak ones for the last four or five years. we expect to see an improvement. we had the non-manufacturing ism which was pretty strong which gives us a good indication q2 will be better. weekly jobless claims have been low as well, decade lows. david: you think tomorrow below 200,000? >> i suspect probably going to be higher than that but the non-farm payrolls are known as a bit of a lottery. you never quite know. last month was a complete surprise. we're hoping for better number tomorrow. liz: while we have you, 55 minutes away from the polls closing in the u.k. you're british, right?
it is closest in your lifetime? what do you think happens? >> i cast my vote before i came out here on tuesday. whatever happens i think unlikely we'll have a stable government like we've had for last five years which isn't going to great for markets. weak government, obviously the markets will not like that but it is very, very closest specially with the added complications of the snp in scotland look like they take most of the votes there and u.k. independence party which may reduce the conservative vote. polls close in 55 minutes. we'll get a poll right at end of that to see where we are. we'll finally find out earlier in the morning. david: you better believe it the power brokers are salivating. this is "house of cards" big time. marianne, gareth, and ira epstein, thank you very much. liz: want to save for college but do not know where to start? maybe you don't want to shell out big bucks for someone to manage your 529 account for your kids? there is a new service launching both of those problems launching
a free college savings service involving robotics, yeah in a way. joining me is bo lou, future advisor cofounder and ceo. i would say that is an appropriate title, future. you're talking about robo advising. explain how this would work. >> robo advisors are companies like use software to manage the investments of hard-working american families. liz: that is quite a simple definition. okay. so you're managing somebody's idea of starting to save for college. let's just say i'm saving for my kid. my kid is maybe one or two years old and what would your company be able to do for me if i lead a very busy life? >> so, you're exactly like our typical client. you have young children. you're busy and for you we do four things. first, we figure out what kinds of accounts you need depending on where you live, your state's tax situation and, you know your income and all of these inputs.
we then, two, open up those accounts and help you fund them on a regular diligent basis. three, we then manage those investments on every-day basis and rebalance them as your children get older. as they get closer to needing that money. then four, when you're children finally arrive at school, we will disperse those fund directly to the university they attend and thus handle the entire thing from beginning to end. liz: okay. so i, see this finger? i didn't have to lift it. you guys did everything. you say free. isn't there some type of a fee attached to this? >> we don't charge anything. now, it is true that you will have to pay the underlying fees of the etfs that are in your portfolio. liz: okay. >> but we work hard to select the lowest cost investments that are appropriate for your situation. and, research shows that with investments the lower the cost, in general the better they perform.
liz: how do you make money, bo? >> we are a firm that manages comprehensive wealth on behalf of middle class families around the country. so, folks will use us for retirement. they will use us for college, for the entire gamut of financial management scenarios they have. and so we charge on other products that we have. and we believe that colleges is important enough that everybody in the u.s., whether you're a client or not today, deserves access to a free product that makes it easy. liz: well, i wish that more universities felt that way. i'm not saying universities should be free, but man, they start raising the tuition, well beyond what the inflation rate for average products is. bo, this is really terrific, i really do. there are some choices out there, but frankly some 529 plans are better than others. how do you sift through to make sure it's a proper match? >> you're totally right. we sift through all the available not just 529 plans but
coverdale, utmas, the entire suite of available options for saving for college. depending on your situation, with respect to residency and tax and how old the children are whether they attend right or public school we'll pick the right option. in rare cases such as south carolina, if you happen to be in a state where we can't manage that particular state's 529, turns out that is best option for you, we'll tell you. we'll give you specific directions how to do that elsewhere. liz: bo, how do you find you? future advisor.com? how do we find you? >> futureadvisor.com. go there, in directly about ten minutes, figure out what you need, find how much you need, sign digital paperwork to get it all set up so you don't worry about it ever again. >> i like not worrying about something ever again. bo lu, good luck to you. david. david: we have breaking news here. the fda is saying ice cream
maker blue bell which you may remember recently issued recalls of all of its products over concerns about listeria had evidence of listeria contamination of march of 2013. the company continued to ship ice cream produced in that plant after what the fda says was inadequate cleaning. so that mystery at least is, we're getting more information on that. meanwhile he is known for his role in the "real housewives of new jersey" but it is his off-camara role as a whistle-blower that is bringing in millions. we'll talk to him about what it takes to go up against major corporations coming next. liz: plus shares of textbook rental site cheg, suddenly woke up. they have rallied 23% this year. why are investors so bullish? we talk to the ceo about his plans to keep the rally going. and as former yahoo! coo, we'll get his take on yahoo!'s future. david: a court deciding today that the nsa collection of millions of phone records is
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liz: we have some major developments at lumber liquidators to tell you about. it is now pulling all chinese-made laminate flooring from its shelves because of concerns. "60 minutes" found that formaldehyde levels in the laminates failed to meet california standards. lumber liquidators back then said their products were safe. now it is reviewing its supplier. the stock has lost half its value since late february, when the lumber liquidators warned that the "60 minutes" piece was about to air. david? david: corporate whistle blowing can yield big rewards. last year the justice department paid out over $430 million in rewards to 713 whistle-blowers. that averages out to more than $620,000 each. are we creating too many incentives for those looking to make quick bucks? our next guest received two whistle-blower awards.
for investigating two different agencies. james a lot of people know you. nothing to do with whistle blowing. because you're on "real housewives of new jersey." how did that come about. >> i blame that one on my wife. david: your beautiful wife. >> your beautiful wife. david: in the studio, will beat me up if i beat you up anyway. let's get right to the point. your first reward was back in 2007. what was, what was that for, how much, from what agency were you paid? >> united states attorney's office, we filed a false claim act under the whistle-blower act t was medicare fraud case. david: a pharmaceutical company that you were working for. you noticed that something screwy was going on? >> correct. david: you ended up with an award of what, 1 point something million. >> approximately 1.8. david: the second reward was last summer. it was for a lot more money. six million, right? >> 8.5 i received prior to attorney's fees and expenses. david: but it was totally different industry. you went from pharmaceuticals to
the banking industry, both as a whistle-blower. 1.6 million in one, eight million in another. some people say you're a bounty hunter, going for the whistle-blower rewards. >> the rewards are there to create certain incentives. those incentives if you discover a fraud or something that you believe to be a wrongdoing. and you have an expertise, as taxpayer you want to bring it forward but there is substantial cost to it. we spent, rigs and kip marshall and i spent over 2,000 hours, tens of thousands of dollars flying down, doing analysis on filings for the sec doing analysis on the financials of bank of america this is not a simple case, oh, you go in, walk into the department of justice, say i think they're doing something wrong. you have to support it. david: in away you're making my point. there is so much incentive out there, the justice department is creating these incentives for people to be whistle-blowers. now again, some companies deserve it. perhaps your companies, that paid you through the justice department deserved it, but, is
there a problem when companies aren't allowed to do what they're supposed to do because they're too worried about whistle blowers? >> interesting enough. there is a survey, mary jo white -- david: former u.s. attorney. >> chair of the sec. talking about the whistle-blower one of the key, actually called it a game-changer. it facilitated them to the point where they utilize their resources more reasonably. interestingly enough, i think they only paid out 17 whistle-blowers since 2010. only 7% of the companies cite that whistle-blower is concern to them. david: 2013, 754 whistle-blowers, 2014, 713. and, last year, 2014, we paid out $435 million to whistle-blowers. so there is a substantial amount of incentives offered by the federal government, if you blow the whistle. >> that's correct. you were talking about false claims. i was talking about the sec so i apologize. i didn't crossover. yes, there is true, about 700
cases filed a year. you have to understand, your opportunity to actually prevail is probably 20, 30%. you're talking about spending, some cases upwards of 85,000 hours of legal work, 10 years of your life. these are not simple, these are not simple cases. they're very complex. i personally think they're important to the united states government. and there are a couple reasons. david: first of all, you focused in, medicare fraud, pharmaceuticals. that is a worthy project. banks were up to a lot of nonsense during the financial stuff but so was the government. some people say the government is trying to put it all on the private sector in to avoid their own culpability with this. >> i would disagree with that, here's why. one, the money recovers in the bank of america case, i believe over five billion goes to penalties goes back to the u.s. treasury which essentially is the taxpayers. there was 7.5 billion, actually goes back to the individuals harmed. in other words the homeowners. so, yes, there are incentives in place but without an incentive for people like myself to come
forward, one we're not going to do it. too costly, too time-consuming. two, in order to have expertise, imagine the magnitude of the united states government. if you're in situation where they have to find someone expert in mortgage-backed securities law with cross-sectional on dodd-frank which is specific type of securities law, mix industry knowledge and understanding throw in accounting procedures and laws. your mind would explode. the size of government would be five to six times. the department of justice only has $20 billion budget. u.s. attorneys are about two billion of it. to give you an idea the whistle-blowers brought back 5.6 billion this year. literally, paying for our own things. david: we literally run out of time but i think your husband made his case, didn't he? she is giving me the thumbs up. you will be in good shape at home. from "real housewives of new jersey," james march casey. >> thanks for having me. liz: from the california, current drought of california is inspiring creative ways to find drinking water.
one water plant believes it has the solution to the problem but what will it mean for residents of the sunshine state? we put robert gray right there. he is joining us live from the owe side done water plant in southern california with the scoop. robert? -- poseidon. >> liz, thank you very much. the pacific ocean is off to my left. the water comes into a lagoon below us. we show you what happens in the desalination process in a lagoon across from me. takes seawater in from the pacific ocean. filters it twice. remove the salt. sends the pure water to aqueduct and assault at this water comes into the ocean. i'm joined by the mayor of carlsbad is where the desalination plant is. thank you so much for joining us, mr. mayor. you've been a long-time backer of this, long-time residents here. wanted to get sort of your take on what skeptics talk about it will cost more initially. pay five to seven bucks more. there was some ecological concerns.
let's address economic concerns first, why you think it is a good long-term investment? >> when you think of five or seven dollars to buy water reliability or insurance i think that is small price to pay. i think our residents, over 80% of the resident and citizens of san diego sported that. -- supported that. from the mayor's perspective and community perspective i think that is money well-spent. >> it will be seven to 10% of the drinking water. you're importing 90% total right now. you're looking to supply meant some of that by this because you're locking into more of a fixed-rate versus variable rates you get when the other water you're importing, correct. >> correct. 7% is the countywide portion. 10% will, meet 10% of carlsbad's needs. >> what about ecological impact when the lagoon comes out. extra salty water comes out as other goes out to be blended with other imported water? >> i think all the environmental studies show there is very, very little impact with desal water. and when you think about that,
in comparison to how we get the rest of our water, versus pumping all the way from the delta, this is very environmentally friendly. >> all right. mayor hall, thank you so much for your time for joining us here in carlsbad where we might actually get some rain, guys. we certainly could use it. back to you in the studio. liz: rain that would be amazing. david: thank you very much, robert. good to see you. tom brady, he is on the defense sieve. three-time super bowl mvp's agent says the deflated balloter that just came out? it was tragically flawed, his phrase. will he be suspended either way? liz: what started as a textbook rental service is now transformed into a digital hub for students. chegg is reaching the rewards. the stock is up 23% this year. ceo joins us with how he plans to keep the digital growth going. that is coming up. david: tyson trying to make more changes to eliminate antibiotics in its products. seems like everybody is doing it now. details coming next.
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liz: last month tyson food would eliminate antibiotics in hits products by 2017. now it is adopting a new standard with antibiotic use in poultry, schools, hospitals, other institutions. new guidelines will limit antibiotic use on poultry farms to only cases where it is needed and to control and treat diseases in animals. the goal is to help slow the development of dangerous antibiotic resistant bacteria. david: liz, just as terror threats are ramming up, a huge court decision severely limiting what nsa and other agencies can troll through looking for terrorist leads. could this decision cost us all more that ends up missing a terrorist plot? let's bring in our panel. we have matt welch, "reason"
magazine editor-in-chief, and evan bayh, former indiana senator and fox news contributor. senator bayh, what do you think of the decision? >> david, i think it is unfortunate. i worked with the people on the senate intelligence committee for 10 years. there are literally battalions of lawyers go over the whole thing to make sure people's privacy are protected. they don't record conversations between people. it is just metadata, the fact of the call. there have been countless terrorists tracked down and eliminated because of information this program gleans. if we're not able to do something like this is no doubt in my mind that americans will be killed eventually in attacks that otherwise could be prohibited. i hope that congress, i hope the decision will be appealed and supreme court will take a different interpretation or congress will choose to step in, reauthorize the program, with additional safety concerns, privacy concerns because we need to do this to protect the country. david: matt, the government and senator bayh say that the metadata that is being collected
by the nsa and other agencies, it is not that personal stuff. therefore we shouldn't be that concerned. you say? >> as the second court said in it is ruling you can learn a hell of a lot of about people of metadata? david: how so? >> calling suicide hotline? intimate relations with someone you find that stuff out pretty quick. what the ruling this court did, let's be clear, the patriot act does not authorize, statutorily does not say you can collect bulk metadata it is not there. you have to collect data relevant to a terrorism investigation. when you collect metadata over all americans that is not passing the relevance quiz. so the question is, do you want your surveillance state to make up its own rules as it goes along regardless of the intent of congress? james sensenbrenner -- david: let's go to that. what about that, senator? the fact we don't want the government agencies to make up their own rules as they go along which apparently the nsa had been doing. >> there is alternative the
president endorsed and congress make take up, that the government not hold this. private companies hold it. only when intelligence court authorizes to be accessed by the government it could be accessed so it wouldn't get into privacy sort of thing that your other guest was alluding to. david: hold on. let me see if matt is okay with that. would that be a good alternative? >> i'm not personally okay with my records, held anyone susceptible to general warrants. the fourth amendment says that is not a good thing. but the doctrine over third party collection is unsure. we'll see that play out in court. david: but, on the other hand, matt, 9/11 was partly caused, could have been prevented possibly if we had the fbi sharing data, some of the metadata with agencies by the cia? >> 9/11 report pointed out we had necessary information t wasn't being shared. david: right. >> bulk collection of metadata had nothing to do -- we had enough information to prevent nine levin. it is not bulk collection of
metadata that magically converts that. david: short, i'm trying to get compromise a la the u.s. senate but it didn't work. move on to something we may have more, maybe not, no hoist. patriots quarterback tom brady and bill belichick are behind the eight ball as the so-called wells commission says it is likely they knew something about the football deflation in that afc championship game back in january. but the fines and suspensions, even a whole season warranted by an inconclusive report. matt, what do you think? >> i'm afraid i have to agree with chris christie on this i didn't really want to say that there are some weasel words in this report. there is a lot of hedging. the evidence is pointing in that direction. tom brady's lawyers and players unions lawyers will look at this and drive a truck through it. you can't hang people on circumstantial evidence. i think he will be suspended for handful of games. david: senator bayh, nobody more against the patriots then me. i'm a lifelong jets fan. i love the jets. i hate the patriots.
i will put up with you, one thing on page 228 of this report that speaks to what matt was talking about, about the weasel words and phrases that are used here. the data did not provide a basis for us to determine with absolute certainty whether there was or was not tampering as the analysis is such data ultimately depended upon assumptions and information not certain. you will really condemn somebody on basis of that? >> the standard is not an absolute certainty. david: that is pretty far, that i just read is pretty far from absolute certainty. >> the standard that is applied is one of probability, more probable than not. and the report concluded on multiple occasions that it was more probable than not, the same standard we apply in civil suits in the courts across america, that the patriots did tamper with the ball and that tom brady was probably aware of that. now -- david: are you actually for a whole year suspension based on this circumstantial evidence? >> no. that is a bit draconian.
let me say a couple things, in interest of full disclosure your viewers should know i am from indiana and colts an. i may not be completely objective about this. number two i do know, robert kraft, the patriots owner. he is fine and honorable man. i'm pleased he was completely exonerated in this. that said, pretty clear the balls were deflated more probably than not and at least tom brady was aware. he will probably be suspend ad couple of games. in addition he was not fully forthcoming. if i was commissioner i will make following deal. i will suspend you number of games if you turn over emails and phone calls you refused to turn over. then perhaps we'll consider reducing suspension. i suggest, i suspect somewhere in the emails there may be a smoking gun. david: amazing, isn't it, senator, how many cases we've been talking about the in news revolve around emails at that may or may not have been destroyed. we'll talk about that on another day. matt welch, evan bayh, thank you very much. folks, we want to hear from you, should tom brady be suspended. some people are saying for the
whole season. we'll read some of your responses coming up. liz? liz: i'm with senator bayh, i really am. okay, yahoo! former coo now revolutionizing the college startup called chegg. he tells us how he managed to boost digital revenue kind of working beyond moving from textbooks nearly 90%. plus is marisa mayer steering his former employer in the right direction? apapproximately ceo tim cook, we'll tell you how one charity auction exceeding all expectations. stay tuned.
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expand or relocate to new york state pay no taxes for 10 years. all to grow our economy and create jobs. see how new york can give your business the opportunity to grow at ny.gov/business liz: so we had a good rally today but one of today's stock standouts, chegg. shares of the book rental service and online student hub surging 15 1/2%. on new evidence that the shift to digital is working really well. let's find out how chegg president ceo did it. he is former coo at yahoo!. i could not believe it. you added half a million customers during the quarter? what woke people up? you've been doing well anyway but that's crazy. >> no, it is a big change which is students are depending more and more on themselves. they can't depend on colleges and institutions an turn to chegg. we have homework help, college
help, career advice, textbookses, e textbookses. we keep adding more products and students are flocking to it. >> you have basic textbook rental. you're trying to make the shift is it all digital? >> technically now we've done the deal with ingram. we look at our business if it is all digital and pro-forma. liz: ingram will take over physical textbooks. we own all the. >> we own all the brand and data and that fuels the business. 85% of our traffic to chegg is organic. that means we don't pay for it. that leads us ability to introduce to other services and drive people through the system and that is why the business is growing so fast. liz: i remember, berkeley in the '80s, my econ 101 book -- >> nice to remember you were at berkeley in the '80s. liz: not many people remember berkeley in the '80s what they were. it was 15-pound and more than $100. >> yeah. liz: what are you saving college
students letting them rent? >> last year alone we saved them $500 million. it is, the cost of textbooks is ridiculous. always has been ridiculous. then they buy it back from you at five cents on the dollar. we actually buy books on 50 cents on dollar. we put over $20 million back to the hands of students. paying them to be tutors for other students or buying textbooks from them. the whole process is broken. chegg is here to serve needs of students of the scholarships, college matching homework help, interns, tutors, jobs. liz: love it. you went public in november of 2013. >> we did. liz: we were here for you. >> we know. liz: it wasn't greatest day. your stock is up 55% year-over-year. you've done great. it is not your first rodeo. you were the coo at yahoo! i'm reading a book by nicholas carlson, called, marisa mayer and fight to save yahoo!. you're referenced in it.
i love it. we were all there yahoo! coming into existence of the fascinating story. can she save yahoo!? does yahoo! need saving? it was marching in tandem with alibaba. alibaba was up today. >> separate the stock price and company itself. the stock price has done extraordinarily well because assets prior to the current management team. yahoo! japan, alibaba i was involved with jerry, terry, sue, toby. we did that investment and shy has done a very good job stewarding capital from those investments made 15 years ago. liz: do you see it surviving beyond that. >> it is very difficult task to turn the company around. frankly i saw a statistic. i retired from there in 2006. the company actually has 30% less revenue than 2006. liz: i know. you see this in the book. it's a fascinating read. did you like it or hate it? >> i chose not to read it. i understand i was referenced in the book. liz: nothing bad so far. >> people said really nice things about me in the book. more importantly i'm all about
looking forward, not backwards. it is still a great asset. still has over half a billion users. the difficulty is ad business has gone to google or facebook. you see ad businesses like twitter and yelp today with their announcement that they're seeking alternatives. it is a hard business. liz: better where you are right now. >> i love it. liz: disrupting tech. >> helping kids save money doing better in school. liz: thank you, dan. dan rosen buying from chegg. a great company. followed it from the beginning. david: we love chegg, particularly those with college kids. what can you get for $200,000? not a college education. buy a ferrari, house, tenncare rat diamond ring or lunch. not just any lunch. lunch with apple ceo tim cook. lunch for mr. cook was up for auction over the past few weeks with starting bid of 10,000. the winning bid ended up $200,000. that was last night. they get two tickets to be
cook's vip guest at apple keynote event. they help fund the robert f. kennedy human rights campaign a good cause. liz: absolutely. it is paying for for blaming company glue mobile. the store soared 73%. britney spears could keep this stock moving higher. david: former defense secretary leon panetta telling us the one threat that keeps him up at night. we'll tell you what that is tonight. coming up.
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liz: it comes to gaming, glu mobile knows what sticks. this company brought to you kim kardashian hollywood, the celebrity inspired game that went totally viral. now the company announced a brand new celebrity partnership with pop icon britney spears. the company's stock is up 68% so far this year. joining me to discuss what is ahead for glu, is the ceo. great to have you again. good to see you doing well. to britney right off the bat. i'm guessing that her massive facebook numbers and twitter numbers are maybe made her your next pick, right? this is mobile game. >> well, there are three things that made her our next pick. obviously she has about 90 million total social
followers. liz: wow. >> she also got of course a tremendous career history to her. so there is grammy wins. there is american, mtv awards, european mtv awards. the longevity is what we think is most impressive actually. there is more than one generation of fan around the world have grown up or experienced britney's music and vegas show. we think she has staying power we're looking for, as well as frankly the interest in, a partnership that requires a good amount of involvement and work, to make the next, really five or even eight-year partnership we've struck tremendously valuable to both sides. liz: you guys, are classic go big or go home. britney is not your first big name. you started with kim kardashian. not like you knew her. you made your pitch. it all worked out. kim kardashian hollywood has been massively popular. now you have got her two jenner sisters, kylely and kendall.
you're doing them as well. >> correct. liz: is kim stuff completely different from britney's? you said kim picks up phone, calls you, very direct about what she wants? will britney be involved as kim? >> don't forget katy perry involved in the list. kendall and kiley, and katy. we have 430 million social followers across wonderful, talented celebrities and my ish -- musicians, life on the games in 2013. everybody is very involved. and i think everybody that we're working with is certainly a sort of micromanager in the details. they understand what their brand is. otherwise they won't have been so successful. we want the authenticity of that kind of engagement every week, every month. liz: sure. >> certainly every milestone in our development process, every update it really matters, the fans can tell.
liz: before we go, you need a guy in this list, don't you? nick jonas? who is next? >> we took $126 million investment from 10 cents, the largest gaming company in the world arguably in china and we'll be looking at extending our celebrity franchise, possibly into china. certainly globally. liz: okay. >> we haven't announced a male talent yet but there is no doubt we keep looking at sports space, the acting space. we have david ortiz in our baseball game, tap four baseball. he is the face rather than name. time to come for glu. watch the space. we'll have analyst day next week. we'll have more announcements coming next quarter. i think, you will be excited to see what we have coming down the pipe. liz: come here first when you make your big announcement. we love to have you. thank you so much. >> wonderful. liz: glu mobile. it is up 66% year-over-year, david. david: that is sweet.
coming up the next, one threat that keeps former secretary of defense leon panetta up at night. he will tell us what it is. plus the polls in the united kingdom are closing in couple minutes at 5:00 eastern time. we have the very latest with a live report straight ahead. >> hi, everybody, i'm gerri willis. coming up on my show at top of the hour, our user's guide to spring real estate. how much is too much when it comes to renovations. we're asking a multimillion-dollar contractor. that is one of the stories coming up on "the willis report."
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david: being called one of the most unpredictable british elections in decades. liz: with the polls closing in britain in just a few minutes fox business's peter barnes will tell us what could happen in neither candidate gets a majority. it's a distinct possibility, peter. >> that's right, david and liz. if so there will be another coalition government, despite accusations by some british politicians that president obama favored prime minister, the current prime minister, david cameron back in january when the president met here in d.c. with cameron. the president lavished praise on him, calling him a great fund, trusted partner. said he did a good job with the british economy. revealed he had a nickname for cameron, bro. the labour party in britain went nuts, accusing the president meddling in british politics. if the president is trying to give his bro david cameron a boost with voters back home, it does not appear to help very
much. polls show conservative cameron running even with the head of labour party, ed miliband, with neither party winning majority of the seat in house of commons. one of them will have to form a coalition government with one of the three or two of the three smaller parties in the contest. cameron has had a coalition government with the liberal democrats, after the so caught, hung parliament in the last election five years ago. and that could get very messy with repercussions for the u.s.-british security relationship, future of britain's role in nato and the e.u. and trade an investment between the u.s. and britain. david and liz. david: peter barnes, thank you very much. >> you bet. liz: many threats face our nation today but there is one in particular that keeps former defense secretary leon panetta up at night. our own maria bartiromo got a chance to speak with him. this is what he told her. >> i think this is the one threat that used to keep me up at night, which was, the
potential for a cyberattack on the united states. we have seenfcyber attacks grow. when i was at the cia i think we were getting about a million attacks a day at the cia. which tells you the level of cyber attacks that are trying to penetrate our information systems. david: i would have thought a nuclear attack or nuclear bomb held by a terrorist would be a little more frightening than a cyberattack. liz: what is more likely? fascinating to see how serious it has become. david: get all today's ininterviews on foxbusiness.com. liz: we asked you if tom brady should be suspended over "deflategate". she says no. tom will turn over his emails when hillary does. david: all kinds of email controversies. cathy says, definitely. no movement on shake hack. we -- shake shack. we told you towards end of the
trading day it was down 12%. we don't know exactly what caused decline. the decline held at 12%. after-hours staying about the same. liz: thanks so much for joining us. hope to see you tomorrow. "the willis report" is next. gerri: hello, everybody, i'm gerri willis and this is "the willis report," the show where consumers are our business. patriots store tom brady's camp blasts back at the nfl report accusing him of cheating but has professional sport in this country foster adult turf cheating? mcdonald's tries to pump up its menu adding fans any knew ingredients. they are also bringing back this guy. do you know who this is? >> no. also desperate times call for desperate measures. california taps seawater to help quench the drought. our users guide to real estate, how much is too much when it comes to renovation.