john malone is finally getting time warner cable. the price tag come if $55 billion in cash and stock. alone is charter's biggest shareholder. last year, they rejected the takeover bid and later accepted an offer from comcast. the bid fell apart in april and that open the door for charter to try again. tom rutledge says he does not mind paying the higher price. >> time warner is more valuable today because they have been successful during this process. rob and his team have continued to keep their eye on the baltimore. we have grown our business. we are comfortable with where we are. keep their eye on the ball. comcast's deal fell apart over regulatory issues. charter not expect to have the same sort of trouble. sales of more than expected -- new home sales of more than expected home prices in 20 big cities grew faster than expected in the last year. the housing index jumped 5%. that reflects a limited number of properties on the market. in texas, 11 inches of rain have turned the city of houston into a giant lake. three people were

charter crashes the comcast-time warner wedding. and on america's debt and deficit, peter orszag joins us in this hour. good morning, everyone. cory:this is "bloomberg surveillance." . wewe are live from our world headquarters in new york. i cannot decide what is the bigger story -- greece or this merger, merger, merger. brendan: in greece, there is an out me that we cannot figure out. i guess the best way to look at it is the closer we get to the less good news there is, the more that is actually better. tom: a little bit of focus here in the u.s., but certainly the story continuing in europe will stop let's get to our top headlines with vonnie quinn. vonnie: thank you, tom. the top stories the huge takeover in the cable tv industry. charter communications has agreed to by time warner cable. the deal is worth about $55 billion in cash and docks. charter will pay nearly $196 a share. 14% above time warner cable's closing price last friday. time warner cable is the second-biggest u.s. cable company. charter is the fourth larger. char

time warner has 55,000 people. if you look at the same ratios of in sourcing available, we could create new jobs. that comes from our commitment to quality, training and employee development. the net of all this is while there will be some dislocation in some places there will be more jobs tomorrow than there are today. the other place jobs exist, by the way, people use contractors in our business. we believe that the bulk of our employees should be our employees, the training we put into employee development and the quality you can generate from that in terms of customer experience is worth it. so we want our people to be high paid high quality people who provide excellent service. we think that is a better business model going forward. >> i hear you making a good case to your employee base and future employee base potentially good case to regulators who will be reviewing this on the public service side. when it comes to that or what new services? over the top is what we talk about here all the time. do you see a

time warner cable. there was a statement moments ago from the communications commission saying the fcc issues every merger on its merits and determines whether it would be in the public interest. absence of harm is not sufficient. the commission will look to see how american consumers would benefit if they were to be approved. tom wheeler talking out of both sides of his mouth. he picks up the phone on the one hand and calls the ceo. stephanie: "business, dealmaking welcome. erik: we finally see the deal and tom wheeler strikes a different tone. maybe this is wheeler saying what he has to say. we have to make sure it is in the best interest of the american people. stephanie: i think so. had he not, he makes and out of character public call saying, no we are fine with it. to let the deal simply go through, i do not think that would have gone so well. how about number two? the strong dollar, the u.s. dollar jumped to an eight year high against the yen. janet yellen remarks on friday saying it would not be

his company has agreed to buy time warner cable for $55 billion. time warner cable rejected charters offer last year and bid.with comcast's that deal fell apart last month. coming up, bloomberg's in-depth interview with thomas rutledge. the other ceo in this proposed merger might be getting a golden parachute from time warner cable's ceo. million ift up to 55 you is terminated within two years. -- he is terminated within two years. stanley fischer says the central bank is playing a waiting game when it comes to interest rates. ratesd if the fed raises to quickly, it would be harder to cut them if the economy slows down. phrase.ve another our processes are not date determined. they are data determined. wait and see what happens. we don't have to announce we're going to do it in september. if the economy is growing slowly, we'll wait. scarlet: he says putting too much importance on the fed's move is misleading. the central bank will be going the extension or stance to an extremely extension or a stance. s&p housing in the increased 5% in the year in

warner. caroline hyde is here. he has his eyes on time warner. caroline: there is not one but actually four multiple combinations that is going on in the united states in terms of cable. this is an m&a merry-go-round. time warner just a month ago peeled away its desire to get with comcast the number one player in cable in the u.s. too many competition issues. $64 billion deal collapsed. now, as you mentioned, patrick draghi is a big european player and now eyeing up time warner we understand. this could be $44 billion it would have to pay out to time warner. a significant deal. what is interesting is time warner is also being circled by another player. that is charter communications which is owned by another billionaire. time warner is being eyed up not once, but twice. meanwhile, charter communications which is eyeing up time warner is also looking at bright house which is the sixth cable player in the u.s. still altis is looking at suddenly which is the seventh biggest. mark: he has a big a

you can see, time warner cable trading up at 6.56. we should show you where charter is trading as well so you get a sense. also up on the deal. noteworthy because charter is paying more than some anticipated. not this weekend. our reporter alex sherman has been leading the way on the reporting, whether it is comcast, or charter. we knew what charter was going to pay, the market did not. olivia: great work with alex sherman. he will have an interview with the ceo of charter tom rutledge. m&a has been a big driver of the equity rally here. let's look at what is making news on the bloomberg terminal this morning. charter hoping to succeed where comcast failed. they have agreed to by time warner cable for $55 billion in cash and stock. it allows time warner to quadruple its number of subscribers. last year, the deal between comcast and time warner fell apart because of me from regulators. twitter has engaged in talks to buy the company clipboard. sources, therecode tops are currently stalled. greece may be running out of money. thefinance

they are chatting with time warner as well. suddenly this lights a fire underneath the rival billionaire patrick to rocky one side and john malone on the other. clearly he has been looking at what the price point helps them do. it helps him notably he would be funding the deal. he would be flexible with the money. john malone was fun to the deal to about $5 billion worth. difficult for altice to get on top of that price. they have less financial flexibility. they feel that 14% premium is to not only gain scale, but also fight off the rival bid coming from john malone who has actually meant toward patrick drahi. you have a breakup fee of $2 billion. that is recognizing the antitrust concerns. time warner cable has already been bid for this year. they were meant to have merged with comcast, but that deal was shut down because of regulatory concerns. how now does john malone and charter try to woo the regulators into thinking this is a good deal for the consumer. it seems from analysts altice plus time warner would be a better fit

the company made a bid for time warner cable last year. that was rejected and time warner cable accepted a bid from comcast. that deal, as you know, fell apart last month. new details about verizon's purchase of aol. aol held talks with three other parties leading into that deal. aol was also contacted by a private equity firm in march of this year. these new details are according to a filing out this afternoon. the vice chairman of the federal reserve's is that the policy makers will consider data as they prepare to raise interest rates. stanley fischer acknowledged raising rates could lead to volatility. he says the fed has done everything it can to prepare markets for what lies ahead. home prices in 20 big cities rose faster than it did in the last year. the case-shiller housing index rose 5% faster than in march. that represents a limited number of properties on the market. 30 people are missing in texas after floodwaters raged in most of the state. in houston, authorities recovered three more bodies from the water, bringing the total

. >> charter communications proposed acquiring time warner communications -- time warner cable. this is a deal largely about cable and broadband industry which has become the major business for cable operators. charter would also merge with bright house network. host: what is the potential of it being approved? gene: this is part of a rationalize asian the cable industry. we have seen -- of the rationalize ation of the cable industry. it is a broader market that includes other broadband providers and other content dividers. host: same question to you. gene: i think this is the cutting edge of our economy today, this is the digital economy driven by broadband. cable companies are the largest providers of high-speed internet service. here you would have a company doubling in size, time warner. approximately the size of the largest company, comcast. i think it will be seriously reviewed by law enforcement officials. you are going to have 30% of broadband customers combined in one company. i don't believe this has the same problems of the comcast proposed merger that time warner had

last time around time warner cable got nothing. >> do you still have time warner cable? >> yes. >> you'll continue to have it. and same with you. that's the one saving grace for me. >> i'm anxious because charter is not known. >> be careful what you wish for. >> the question is do you think regulators will really approve it. rich greenfield was talking about this idea that it's like airlines. sometimes the government has had misgivings about the size and scope even though they thought they were trying to create a check on some of the bigger guys. so, in this case, if you were going to allow this deal i am creating a check, if you will for more competition on comcast. but if you thought comcast was too big to begin with i'm not going to allow this deal to happen either. >> reporting of this. of wheeler at least saying i'm not against all consolidation. >> from netflix and all of this. all the content players going to scream. >> it seems hard to imagine another deal was stopped. to your point, they have not said specifically, this is the limit. we won't let you pass this a

charter communications making their second bit for time warner cable -- bid for time warner cable and offering a big premium to fend off the competition. it is not just time warner cable that they are going for. they are also in the midst of buying bright house. that was announced early in the year. they are trying to work out how much that cost them at the moment. we understand it was about $10 billion. that is actually charter, the number four player, trying to buy time warner, the number two but also the number six player brighthouse. a bit of a tussle going on for time warner cable in general. look at what they have done to try to fend off patrick druggie -- draghi coming back for a second bite of the cherry. john malone is the man for charter communications it he owns liberty broadband and will help to fund this deal. that makes it a very difficult price point and structure for altice to be able to top. they are taking into consideration the competition for the asset and the antitrust concerns. remember, time warner cable was being merged with comcast, the number one and the numb

and time warner cable to remain one? dick: i don't think so and you just look at the market to come to that conclusion. we had an issue where we had a big content producing house on one hand, the distribution house on the other hand and they produce shareholders and people did not want us making the choice for them as to whether to put this together or not to put it together. they either wanted something that was pure play on the content side and pure play on the distributional side so they can make their own choice. i think the separation of time warner cable and time warner was appropriate and the marketplace has reported the shareholders. it just makes it easier to manage in an uncertain world the direction you want to move in. erik: you say there will be too big telcos, at&t and verizon presumably, and two big cable companies, does it go without saying that john malone will run one of those cable companies? dick: not without saying but his reputation when i was in the business -- he was the smartest guy out there. i

time warner cable becomes the question mark. we know it is likely to enter negotiations, not with charter communications which wants to buy the accompany. the question becomes what happens is really interesting. what i can tell you is there's an outreach made recently and we said hey, we have ambitions for the u.s. and aspirations to acquire here. this is before the field. we want you to at least be aware of our interest as we are aware of yours. one other thing i would mention here, as far as the ceo, it was on the directors proposed by charter back in february of 2014. interesting, he was one of the directors put up by charter. it raises the idea that there's a possibility of a joint here. you never know. i'm not telling you i know this. this is speculation. but certainly something as well to keep in mind as charter will continue to try and now time warner perhaps tripes to get as high as possible. >> glad you mentioned that. he put a accompany up for sale and if these guys are serious, they're not going to stop. >> that's ano

$ying time warner cable for 55 billion in cash and stock. the deal what let charter quadruple the number of cable subscribers. d.l. fell, comcast's apart because of regulatory issues. charter's chief executive discussed in the deal's advantages. offers a company committed to the development of the cable business no matter where it goes. and as inefficient and expensive and customer facing and customer -- and is efficient and expansi ve and customer facing and customer oriented. pimm: comcast was also a content provider with nbc universal. charger does not have any content assets. new home sales rose more than expected last month. at thencreased almost 7% start of the year's most busy selling period home prices are growing faster than expected in 20 u.s. cities. the case schiller index thatased 5% on the year ended in march. this reflects a limited number of available properties. business investment could be picking up in the second half of the year. orders for capital equipment rose for a second consecutive month. bookings for nonmilitary eq

charter is buying time warner for 50 $5 billion of cash and stock. time warner rejected a takeover bid last year, and accepted a deal from comcast, but as you know, that deal fell apart in april. charter's ceo says he does not mind paying a higher price. john malone: time warner is more valuable. the have kept their eye on ball. we're comfortable with where we are today and the price today. it's a different circumstance than it was then. their behavior and our behavior is different and i'm pleased where it all came out. comcast's deal with time warner cable fell apart across regulatory issues. charter is not expected to have such problems. time warner ceo robert markets ifld get up to $85 million, he is terminated within two years of charter taking over. a setback for the obama administration. president obama administration. president obama's bid to make overall in immigration policy a second term victory was dealt a serious blow. federal justices said the effort must remain on hold while 26 states deliberate to overturn with it. 30 people are missin

charter wants to buy time warner for $55 billion. that is equivalent to a 14% premium. it could be announced as soon as today. part of it is cached about $100, the rest would be stopped. shareholders are wanting $115 in cash and the rest would be stock. the premium, the 14% premium has raised a few eyebrows in terms of rice point. why offer up that much? the thing itself up is one of the key areas. quadruple the amount of cable subscribers, 17 million if they do. that would be number two player to comcast. becoming a bigger company gives you scale and leverage into the -- in negotiations. yes, it is about size and selling off the threat of netflix. this is interesting, competition. the next billionaire, patrick draw he's came in last week and announced he was actually looking at time warner cable himself. patrick draw he just did a deal for seven link. -- sudden link. at the same time he could be thinking about getting bigger and looking at making an offer to time warner cable as well. none other than george malone -- john malone is behind charter communication's. billi

how much stock goes to the time warner cable? that is what the bankers for these companies are likely working on and will be. alix: and of course the price. charter bid 42 .50 and is now trading much more. a huge discrepancy. alex: the charter stock has also increased in value. another cash-stock deal. if time warner cable have taken the original offer, it would be over $160 a share because charter stock has gone up so much. they will need to rework things. 100 3250 price -- the $100 32 -- the $132.50 price is long gone. it will likely be more. the cash have in stock mix, the board, the management, the various who owns what, all of that needs to be worked out. alix: why would it be more if time warner needs a deal as much as charter? alex: because the stocks have gone. alix: not a premium because of content? alex: time warner might argue that they are in a better position. they did post positive subscriber growth, but revenue was down. meaning they were basically lowering prices for you to sign up for service. they have lost cust

thank you for join us. >> thank you. >> warner: you opposed the iraq war from the start. what drove you to go and volunteer to rebuild the country after the invasion. >> i thought this is my opportunity to go to iraq and apologize to the iraqi people for the war. the british government asked for volunteers. they said it would be three months before we hand the country back to the iraqis. i thought i've got some skills i can help rebuild and help the institutions. >> warner: what was the fatal mistake of the americans and the british? at what point did it become the unraveling? >> there were many mistakes all the way along. after the invasion there was in plan for what should be done. the invading forces didn't have enough troops. there was a power vacuum. all these different gangs started to form. then there was de-ba'athification dissolving the military and all of this led to the collapse of the state and then the civil war. >> warner: you thought the big mistake was for the americans and the british to try to get iraq to reorganize on the basis of ethnicity and sect. wh

look at these two investors confusing time warner and time warner cable. giving the media company a premarket boost today. time warner spun off its cable business back in 2009. you can see that investors, you know, saw the error in their ways and went to chase the cable company instead. this makes you chuckle? >> i've seen stuff like this before. isis pharmaceuticals, started going great the stock crashed, down 40%. they kept saying we're not them. we're not them. finally investors got the message. melissa: they had to kill the dog on "downton abbey" because it was named isis. that is dangerous. you have to be careful of names. thanks, twice. >>> the fbi investigating anonymous threats that cause ad scare over the memorial day weekend. at least 10 telephone threats causing a scare at airports in new york and new jersey. fox news's laura engle has more on this one. laura? >> hey, melissa. flights coming into the u.s. from cities such as paris, london and madrid were all alleged targets of these threats that turned out not to be credible according to fbi. th

charter had made an earlier bid with time warner but time warner chose comcast. that fell through when the cable giants which undermine video competition and lead to higher prices. >>> on friday fed chair janet yellen said she's stressed that they will start raising. the dow lost 38 points last week, the s&p gained 3. and the nasdaq finished the week 41 points higher. >>> a promotion for apple design guru jony eyes. he helped design for the ipad and ipad and smartwatch. he will now span his wealth to include apple's retail stores in new california campus. >>> and the pacific sun holding company features an upside down american flag. the shirts were removed from the pac-sun store in alabama after complaints from a customer. the complaint generated thousands of likes on social media. >>> and the holiday weekend was abounce at the box office the lowest since 2001. a big reason was the poor performance of disney's "tomorrowland." the sci-fi opened to an limited $42 million in ticket als. tomorrowland was followed by pitch perfect 2 and mad max and fury road. >>> jill

the time warner, comcast deal regulatorydue to issues. charter not expected to have that kind of trouble. assigned a business and investment management picked up in the second half of the year and new home sales also picking up. sales rose almost 7% and that beat forecasts. the case schiller housing index says that housing prices in 20 major u.s. cities rose 5%. nestlÉ wants to bottle water alongside then columbia river. to do that, the town would need .o sign off nine legislators want to scuttle the deal. they say transferring water --hts to a four moffett for-profit company is not in the public interest. and american tourists, well, they are flocking to europe. visits to the island are up 30 6% since january. officials say many are flying from mexico or third countries to sidestep there is u.s. travel rules and those are your top stories this morning. coming up here on the bloomberg oldet day -- you can say tubes are getting new tricks. belowground real estate getting its day in the sun. and a $500 million home. what makes a california

time warner cable is up 12% while charter is up 1%. they also faced altice but reports say they won't make a higher bid. >> thank you. now twitter has reportedly held talks to buy flip board, the magazine format social media mobile app. the deal could be worth more than 1 beside. the deal would bring in an experienced product team to twitter including flipboard co-founder that used to be a twitter board member himself. twitter is up 13% year to date. apple promoted jony ive to chief design officer. he'll focus on new ideas and future projects. he worked closely with steve jobs helping to create a distinctive look for products including the iphone ipad and apple watch. he worked with the retail head on redesign of apple stores. apple is up 0.5% in germany. >> charter communications reaches an agreement to buy rival time warner cable. at least 8 people are reported dead after storms sweep through texas and oklahoma. and the fed's stanley fisher says too much weight is being put on the timing of a rate hike. we're back in two. shopping on

time warner cable was part of time warner when you were there. you look at the aborted talks with comcast because of the justice department objections and the fcc objections. what makes the most sense for time warner cable? is it to join with malone and charter? is it another path forward? dick: time warner cable has many options. distribution is key. people argue that content is distribution. i once worked for a guy who said -- content is king that distribution is the power behind the throne. without distribution, you have nothing and they've got a terrific distribution platform. i think what they will have to do is figure out what makes the most sense for their shareholders. consolidation has been going on the cable business since there was a cable business. there used to be thousands and now there are a few and it will continue. ultimately, there is probably room for two big telcos and two big cable companies. i/o is thought it would be time warner but that remains to be seen. stephanie: why should washington be intervening? these company's we

charter had made an earlier bid with time warner, but time warner chose a deal with comcast. that fell through when regulators expressed concern that the cable giants would undermind video competition and lead to higher prices. >>> on friday, fed chair janet yellen said she's set for the to rise this year. the dow lost 38 points last week, the s&p gained 3. and the nasdaq finished the week 41 points higher. >>> a promotion for apple design guru jony ive. he'll now be the company's chief design officer. ive helped design for the ipad, ipad and smartwatch. he has 5,000 utility patents to his time. he will now span his wealth to include apple's retail stores in new california campus. >>> a controversial t-shirt created a stir for the pacific sun holding company. it features an upside down american flag. the shirts were removed from the pac-sun store in alabama after complaints from a customer. the complaint charged the memorial day display was distasteful and disrespectful. the complaint generated thousands of likes on social media. >>> and the holiday weekend was abounce at the

charter communication struck a cash options deal for time warner. it would make the cable company second biggest after h termid tis deal to buy time warner. and shares of tarn and charter higher in trading today. julia boorstin has more. >> charter's acquisition of time warner will build a power house, along with the purchase of bright house networks the company would have 24 million customers. seco to comcast. a month after comcast pulled out the planned acquisition of time warner cable in the favor of pushback from the fcc. >> what the fcc seeking is being developed by this transaction. it is not just about doing no harm it's about bringing better services to the country and to customers and expanding the footprint upon which those services are delivered. >> rutledge is pursuing this dual not just for cost savings, but more important, he said the larger company can sell better products and reduce churn or the rate of customer loss but some investors have raised concerns that charter could be overpaying the idea that the churn rate which is what we

is time warner next. a great twist, liberty global john malone said a deal with vodafone would offer substantial synergies. vodafone surges.

so what does a combined charter-time warner cable do to address that? so gargantune and so influential that the companies can somewhat control their destinies as they're desperately trying to control the content of what folks watch. it is a pricey order but as my next guests see it it is more pricey sitting back and watching this entertainment parade go back. charlie gasparino and the "wall street journal"'s james freeman. charlie, what is going on here? they're back to revisiting a big combo. not as big as comcast and time warner cable still big. >> that is one of the best descriptions why two companies merge i've heard in a while. one of the graphs inside a "wall street journal" article. why do companies merge? to cut costs and be competitive. when you have people cutting the cord going straight to the content providers through the internet where you don't have to pay a fee to the cable companies. these cable companies are coming under tremendous price pressure. we should point out this this will get regulatory approval as the comcast, time warner one

is time warner next. a great twist, liberty global john malone said a deal with vodafone would offer substantial synergies. vodafone surges. ♪ guy: good morning and welcome you are watching "the pulls." --"the pulse." barclays, rbs, city, and jpmorgan are all said to be ready to plead guilty. the link here is fascinating between what happened with ubs and the fx story. explain the connection. >> ubs is being implicated in both the fx and libel scandals. the ebs has good lawyers, or they are good at finding wrongdoing and fessing up quickly. so with libel, they were first to the door and he escaped criminal sanctions. here we are three years later, yet again they are caught up in the fx thing they were first in the door of the department of justice. ubs has avoided the scandal. they have not gotten off the hook completely, because the department has turned around and said it you signed a deal. you have not stuck to the terms you committed other crimes, we are going to hit you with a guilty plea and a fin

charter is interested in buying time warner cable. we also reported that there is a bid for time warner cable. from a regulatory standpoint, who has the better case? i'll tease or charter? -- altice or charter? cory: inasmuch as the fcc or ftc is concerned about the control over content of larger cable operations -- even the time warner comcast deal did not have a geographic overlap but it would have given one company a big say in what kind of content gets out there to most cable subscribers in the world released in this country. altice does not have that problem exactly in the u.s. u.s. regulators are having a hard time making the case that this one company would have too much control over content in the u.s. it is also unclear what the new limits are to these rules. i thinkelieved, and comcast and time warner believed, because there was not a lot of geographic overlap, the ftc and fcc would not oppose their deal. it became known over time that the problem wasn't just a geographic control over market, the was below the national marke

it sees that deal as a precursor to potential bid for time warner cable. this according to people with knowledge of the matter reported by alex sherman and ed hammond. charter had already agreed to by bright house for $10.4 billion, however, that acquisition was contingent on comcast buying time warner cable. that deal is no longer happening but included in the agreement was the ability of the two to continue to negotiate for 30 days that was called off. after the comcast-time warner cable deal called off and that happened april 24. some of the market has been discounting that this deal will happen but indeed, those discussions are still active and they could continue after that 30lusivity period that lasts days end. we are watching those shares of charter on the news coming out and looks like shares are down slightly. they did spike up after headlines came out but since then they have come down. they are trading lower back -- by about .8 of 1%. he will update you on their activity throughout the afternoon. betty: julie hyman, our senior markets correspond

where time warner am has a big presence. will they? we'll see. but if you want to a little bit of hope to cling to, there it is l, i guess the delve is in the details we'll have to wait and see it happen so great to see you. >> thank you . gerri: and also this morning from goldman sachs chief strategist anticipating the s&p 500 will zero out with zero gains, and the expectation not so great either. so rick, i know you're ain't big mover in and out of stocks on forecast. what do you make of what goldman sachs is saying tonight? >> well, on the one hand, gerri, didn't i it's a lot of financial noise. you know, and ten analyst, you get 11 different answers. i'm not sure any of us should make a decision based poth. but at the same time it does reinforce the diversification you shouldn't make your decision on what a single analyst says, but also stocks aren't going to be in their view all that exciting, that's mange a long term focus not just the 12 months, but having a broad portfolio. that will defeat get it you through anything . gerri: answer me t

jack warner has been arrested under the indictments. and he was asked clearly - did you - authorise a bribe to jack warner. he has gone on record and saying if i was taking millions in bribes who gave them to me. the reporter said "what is it you?" sepp blatter said i cannot comment on a statement by someone else and referred to the fact that there was an accurate investigation. and said you have to look at that investigation. he was asked are you concerned about being arrested to which he said arrested for what? he didn't ask the reporter to elaborate. he went to the next reporter for the next question. there was talk about the notion of u.e.f.a. may organise a protest and not take part in the 2018 world cup. he was clear saying f.i.f.a. needs u.e.f.a. but at the same time u.e.f.a. needs f.i.f.a. he wrapped up the press conference saying that is it. there'll be more to come. >> thank you so much phil lavelle in zurich. let's continue the discussion with rahal. watching this i guess the bottom line is as he said he has no intention of s

>> well, jack warner was mentioned. jack warner, the former fifa vice president. he and sepp blatter let's say there is not much love lost between these two. jack warner is currently on bail in trinidad, and he's accused of taking bribes in the region of $10 million over dozens of years. now he has gone on record over the last few days, he said, look if i'm accused of taking these millions of dollars worth over these years then gave me the money insinuating sepp blatter was involved. he was asked that directly. journalists said did you authorize bribes to jack warner. he said he could not comment on a statement by someone else. as far as that allegation he said there was an ongoing investigation and he left it at that. he was asked do you fear being arrested yourself? the irs in the u.s. has said it is confident there will be more documents, although it has not confirmed or denied that sepp blatter was on that list. he said arrested for what? it was a rhetorical question. he did not wait for the journalist to say what the arrest could be for he just moved on. he w

another takeover offer on the table for time warner cable. smaller rival charter communications made by the company for just over $55 billion. that is a 14% premium on time warner's friday closing price. the deal could be announced at the end of the day. waster bid in 2014 but given up one the other bid collapsed. japan slipping into the red. it is slinking into the negative territory. kospi is also lower right now. australian equities are getting a lift from fortescue, jumping the most in one month. that is from reports companies linked to the -- to china may be interested in buying it or raising their stakes. china is still the biggest worlds biggest iron ore buyer and its appetite is a key driver prices. let's bring in david stringer. is reallyike china heating up its interest in australia. that's true. the evidence points to that. if we look at the first quarter of this year, the value of deals by chinese in the australian mining sector was highest in two years. it suggests things are heating up and chinese entities are on in hunt for ass

about verizonking and at&t, charter and time warner. years, wee next 15 may see one less television network, movie studio, and potentially a few fewer news programs. he did not want to name names but i'm sure bloomberg was not among them. he also talked about change. the late-night comedy seachange happening with the end of letterman, leno, john stuart -- jon stewart signing off. >> the question is will though shows survive 15 years from now? willate-night audience, it survive the people stream it, watch it after the fact on their devices. i don't know what the projections are for how many people will be watching tv at 11:30 p.m. and 12:00 at night who are not in college. those audiences have gone younger. i am asleep by 10:30 p.m. hopefully. >> imo 11:00. 11:00. >> i think of those shows, their audiences are shifting. i think letterman left because he was an older guy. betty: we will check in with you throughout the day, thank you. baldwin basically saying that david letterman got old. still ahead, how to become an airline millionaire.

warner was based to support it. warner it is alleged accepted the bid. ultimately south africa struggled to make the payment so it is alleged that fifa may be $10 million payment using money intended to support south africa's 2010 bid. it is astonishing, just some of the allegations present within this indictment. kirilenko caroline: how on earth has fifa responded? mark: it is ironic you said it sounds like a film script a what lady was walking by earlier -- a lady was walking by earlier and she said she liked the whole affair to a roman alaska -- polanski film. here is a statement this is a difficult time for football, the fans, and fifa as an organization. we understand the disappointment that many have expressed. i know the events of today will impact the way which many people view us. while there will be many people who are frustrated with the pace of change, i would like to dress the actions we have taken, and will continue to take. let me be clear, such misconduct has no place in football and we will ensure that those who engage in it are put out

john malone spoke with time warner cable's ceo recently. charter and time warner cable, take a look at how they are trading in frankfurt. >>> adedas seems to have its sneakers on. speaking to a german newspaper, herbert haner added it would not sell its rebok brand. >> reporter: if you look at what analysts are expecting, it's quite a stellar first quarter. the mean analyst expectation for a net profit in the first quarter are actually up 14% to 232 million euros and also sales are expected to rise by roughly 11%. so what has happened last year the company had a series of profit warnings. there were calls for the ceo to resign but now they have stepped out in that interview saying that he actually sort of was responded to the criticism like an athlete who is not fit, going back to the boot camp and now coming back with a company who is actually fit for purpose. he's also reiterating that they don't have any plans to sell the rebok brand as it is now actually performing very well. they have been through that whole restructuring process and t

they're plotting an offer for time warner cable well above comcasts failed bid. all of those details coming up in two minutes. >>> welcome back. we have a little commentary coming from mario draghi. a great deal has been created in structural reforms including in portugal. being in the early stages of recovery is no reason not to make structural reforms. a great deal of progress has been made in europe on the structural reforms and they can increase long-term growth. >> greek leaders say they are optimistic of reaching a cash for reforms deal with creditors in the next ten days. however after meeting with the greek prime minister before an eu summit german chancellor merkel cautioned there was still work to be done. >> translator: i spoke last night with the french president and the greek prime minister. we had the friendly and constructive discussion but it is also clear there's still a lot more work to be done with the three institutions. france and germany have always offered to answer questions and the final solution must be found with the three institutions.

charter confirms its $55 billion bid for time warner cable. no need to panic. the fed number two says any rate hike will be slow and sure. and the case for the currency. china's bid for reserve status is strengthened by the imf assessment. "first up." you angie lau, coming to from our bloomberg headquarters and also streaming. for timeith a bid warner cable after an unsuccessful attempt last year. they will now offer $55 billion in cash and stock. paul is joining us now. call, there have been a lot of cable tears recently. why is that? paul: that is right. the industry has undergone a lot of consolidation. they are recognizing that the pay-tv business is rapidly changing. consumers are changing the way they get their video. they are getting more and more of their content online, directly online, through services such as netflix. i think they are seeing that they have to invest more of their business, more a programming, more in technology to provide a better project and service for their customers, and one of the ways they think they can do that is by gaining m

chief foreign affairs correspondent margaret warner begins our coverage. >> warner: hours before the truce was to begin, saudi armored vehicles moved toward the border, after clashing with yemen's shiite houthi rebels. there was no indication that any ground assault was imminent. meanwhile, a houthi television channel showed the apparent wreckage of a moroccan f-16 fighter jet, part of the saudi aerial coalition. the houthis said they shot it down, and showed what was purported to be the pilot's i.d. card. still, the bombing continued with reports of a major coalition air strike on a weapons depot in yemen's capital, sanaa. marie-elisabeth ingres of doctors without borders is in sanaa, and says conditions are growing ever more dire. >> warner: the same is true in the port city of aden, where heavy street fighting raged today between houthis and loyalists of president abd-rabbu mansour hadi, now in exile in saudi arabia. >> ( translated ): we are living under siege, surrounded by these houthis; no water, no electricity, the sewage is overflowing, our children's bellies are swollen and

warner. to my knowledge, there were 22 oe 27 executive members who had a vote on south africa's proposal. south africa put a proposal before the fifa executives for the 2006 world cup which we believe we should have got. on that day in question the gentleman by the name by jack dempsey reneged on the mandate given to him and the vote went to germany. they hosted a very successful world cup. south africa in 2010 posted what i consider the best world cup ever hosted despite all the criticism that south africa had before -- francine: you deny any wrongdoing. has the department of justice been in touch with you? how they called you? mr. hack: no. i'm not aware -- look, i have been the ceo for the last five years. our books are open for inspection. it's an organization where we do an annual audit. we have never had a 100 million rand or $10 million. we have never been contacted i'm not aware of anyone being contacted. they have not advised me. i cannot tell you what mr. warner said or did not say.

to be john warner. i just want to point out this is john warner the person not john warner the submarine. but john warner the submarine will be commissioned in august of this year and will spend the next 40 years patrolling the waters of this earth protecting the country that senator warner, secretary warner has served to well and so long. [ applause ] [ applause ] what the navy and marine corps uniquely give this country is presence. being in the right place, not just at the right time but all the time. we get places quicker, we can stay as long as we need to. we take whatever we need with us. and we don't have to ask anyone's permission to get the job done. and part of that presence has ensured the global economic system for the past 70 years. keeping the sea lanes open for everybody involved in peaceful trade has been the reason that the world's economy is working as well as it does. because 90% of all trade goes by sea. and 95% of all voice communications and all data go under the sea. so the 21st c

jack warner was not arrested, but has been indicted. at the same time the swiss have begun a criminal investigation into the awarding of the next two word cups in russia and qatar. and u.s. investigators say it doesn't end there. right now there is a press conference being held in new york to outline their case outline their indictments. we're going to continue to monitor that for you. in the meantime richard parr delivers this report. >> reporter: a dawn raid in zurich, swiss police at the request of the united states department of justice, arresting officials from football's world governing body. they are suspected of bribery. the case is linked to commercial deals dating back to the 1990s for major football tournaments in the americas. 14 people have been indicted including jeffery webb jack warner former south americans heads, and the man who oversaw last year's world cup in brazil. they also raided the headquarters in miami. swiss authorities also launched separate proceedings into the awarding of the 2018 and 2022 world cups. the

shares in time warner cable are plucking that trend as time warner cable has agreed to be bought by charter communications including its debt. it is valued at 17.9 billion dollars and this comes after comcast abandoned the takeover bid. there were concerns comcast would become too powerful and competition officials have to sign off on this deal between charter and time warner cable. we are going to take a look at the stock markets now. if we look stateside, the indices are falling back. the nasdaq is down which comes as the dollar is strengthening pushing down energy prices and oil and energy stocks. investors digesting a weaker reading of factory orders in april. the european close indices closing to the downside as well with the frankfurt dax being the hardest hit. we sought greek concerns in european stock markets this session. as i say, concerns that the greek government won't be able to fulfill its obligations as a debt repayment to the imf which is due next week. those concerns also putting pressure on the single currency the euro, and get the dollar. let's talk you through a few stor