Transcripts For FBC The Claman Countdown 20240713

To talk about the vote, the guard rails that are put in now for Small Business loans and what phase four could really look like. Government money, though, will not save Neiman Marcus from the crushing effect of the covid19 epidemic on retailers. The High End Department store chain could file for bankruptcy, some say at any moment, could be by the end of this week, but can saks save it . The former chairman and ceo steve sadove on that and whether we are witnessing the death of the Department Store. Tonight is the first live major sporting event since the virus shutdown, all of the leagues, the nfl, mlb, nba and its the nfl draft, okay . Yeah, its a sporting event, is it not . No touchdowns are scored, though, unless you count the hundreds of millions of dollars flying around to potential picks. We are less than an hour to the closing bell on this thursday. Lets start the claman countdown. Liz we begin with breaking news and it involves amazon. Amazon is denying a bombshell report by the wall street journal right now. The paper reports the employees of the Online Retail giant used data about independent sellers on the amazon platform to then develop competing products. That goes against the companys own policies. Fox business has obtained a statement from amazon. We got it just a few moments ago. The ecommerce behemoth says quote, we strictly prohibit our employees from using nonpublic sellerspecific data to determine which private label products to launch. While we dont believe these claims are accurate, we have launched an internal investigation. Lets take a look at amazon right now. We do have that stock at the moment trading up just about 1. 8 to 2,408 and change. From a record plunge to the third day of gains. The necksnapping moves we have seen in oil this week and that investors certainly have endured, just three days after collapsing into negative territory for the first time ever. Look at oil today, the u. S. Benchmark jumping more than 20 today. It settled at 16. 50 a barrel. Big move here now. We are at 17. 03 in the aftermarket session. A gain of 3. 29. But mondays oil shock when oil did something its never done before and that is go negative in price, that indicates that producers maybe we see the optimism because producers may start very seriously scaling back on production, shutting down wells and then halting all new drilling. So you do have names like apache, noble energy, devon, occidental and schlumberger moving higher today. Investors betting on casino stocks, particularly las vegas sands. The stock is jumping at the moment. Lvs says it expects gambling to rapidly pick up in asia by late summer or early fall, once the travel restrictions in that region of the world begin to ease. You have lvs up 5. 03, a gain of 12. 25 . Followed by wynn resorts, gaining 8. 5 . Rest of the names looking Pretty Healthy right now. All right. At this time yesterday, we were telling you about the plunge in l brands as a half a billion dollar deal to sell its victorias secret part of the business to Sycamore Partners was falling apart. Sycamore was saying we dont want this anymore. Coronavirus has been a disaster for retail. We dont like how victorias secret has handled the situation. But the stock of l brands is now higher in this final hour of trade by five full Percentage Points after wells fargo came out and said there is actually still a strong chance the partial sale could still happen. The bank says sycamore is using its lawsuit it filed to back out of the deal as more of a negotiating tactic in order to secure better terms, meaning a lower price tag. Speaking of price tags, the price tag for the coronavirus is on the verge of rising in just the next couple of hours by nearly half a trillion dollars. The house right now practicing social distancing while making final comments, final debates. You can see it says member voting live. They split the entire house into eight separate groups who will then begin voting on the next rescue package for Small Businesses, hospitals and testing. Much of the 484 billion socalled phase 3. 5 stimulus will replenish the Paycheck Protection Program, which is kind of unbelievable, ran out of 349 billion in the First Tranche in just 13 days, leaving many Small Businesses emptyhanded, while other Larger Companies got millions of dollars. The question now becomes are we doing this right or are we throwing too much money at the wrong problem . Lets bring in the cochairs of the house problem solvers caucus. New jersey democrat Josh Gotheimer and tom reed, new york republican. I guess we are waiting for you guys to get your votes, correct . Thats what were waiting on. Liz okay. Im guessing both of you gentlemen are going to vote yes. So i will ask you, if in this plan, the new part of it, were you able to solve any of the problems that arose the first time around . Congressman gotheimer, you first. First and foremost, what this plan is about is getting more resources for many of the challenges we took on in the cares act, so more resources to Small Businesses through the ppp program, the Loan Forgiveness Program which is essential to our businesses and we noticed to get more of the right businesses getting those resources, as you point out, so theres more resources in this package to help Smaller Banks and small institutions, especially those in rural areas and others to get those resources and more resources for our hospitals that are hurting. Im in northern new jersey which i represent. Weve gotten devastated there. Our hospitals really need the resources. So and also, more protection. Theres a lot more here, obviously, there are other issues weve still got to address like getting more resources to our municipalities and to our counties and our states that are hurting. We need more resources going there so that will be a big focus in the next package. Liz congressman reed, with the first rescue fund, there was criticism that Bigger Companies flush with credit soaked up big chunks of the cash that was really meant for Small Businesses. So we asked treasury and got some pretty good numbers here. Yes, 4400 out of the 1. 6 million applicants got more than 5 million but nearly all the rest, more than a million, went to businesses with fewer than ten workers which i would say is impressive, but can you guarantee that the shake shacks and kura sushis of the world, publicly traded companies, giants who did get millions, of course both ended up returning the money after public pressure, can you kind of guarantee to your constituents that they wont get a chance this time around to work the system and that it will be for the Smaller Companies . Well, obviously with 320 billion and then 60 billion, billions were set aside for the Smaller Banks, smaller Credit Unions that are designed to go to those smaller businesses you referenced. But lets be clear. What were dealing with is 22 trillion u. S. Economy has been impacted by this virus crisis and i will tell you, by shutting down cash flow, you are impacting all businesses. So bottom line is we need to get this money flowing and get it turned on and i think we are going to be in a much better position now. Also, remember a lot of what happened here was sophisticated businesses that had relationships with banks were able to get the information together quickly, get it through the system more effectively. Now, those businesses that had to take a little time to get that data, get that information because theyre not as sophisticated as the others have gone through that curve and they are teed up to take large advantage of this program now. Liz i hope so. A lot of businesses are asking for aid in many forms, aid like the trump hotel in d. C. Has requested relief from its monthly lease payments from the government because you know, the long and short of it is this hotel was in a former federal building. Congressman reed, should that happen and how would that fit with your constituent snss . Obviously that optic is not very good. I would definitely ask the president and others that are on that issue, see if they cant address it the way shake shack and others did. But you also have to recognize that the trump hotel is important to a lot of people and if theres not cash because no ones going to those hotels, no one is going in there and having dinner or having events, they are not going to be able to cash flow and take care of those employees. So lets not get into partisan politics. Lets actually look at the employees that are benefiting from staying in a position of receiving a paycheck and it doesnt matter what the name is. We cant get into this politics of division, people are hurting at the front line, the workers, the people receiving these checks, but at the end of the day, this economy is on life support right now and i will just tell you we got to do everything we can to get the economy back up and running and we have to not only be defensive on the virus, we have to have a healthy respect for it and start living again. Liz okay. Congressman gottheimer, weekly jobless claims jumped 4. 43 million this past week. We now have a fiveweek tally of 26. 5 million people. This is clearly a disaster. These rescue packages, should they be focused more on testing versus propping up shuttered businesses so that we can more quickly reopen the economy, you know what im saying . This way if were just putting big the money could be gone in another 13 days and there will be more needed. I dont see this as either or. We put a backtowork plan together, the problem solvers caucus, 25 democrats and 25 republicans, which addresses your issue. Of course we need to get testing out there and we need it to be Rapid Testing and ubiquitous. We really need to have it and obviously its going to be essential to reopening in the way we need to but you have got to make sure in the meantime, people have some resources, they can pay their bills and have food on the table. Got to make sure we take care of workers and of course, Small Businesses and businesses of all sizes who employ, as tom was talking about. We need to make sure we are looking after both. We have to be thinking about supply chain issues so if we get hit again with another pandemic or if this comes back stronger in the fall or winter, that we are prepared for it, weve got protective gear in place. Theres a clear checklist we have to think through to open up in a healthy way and thats what we are focused on. How do we make sure we keep our economy moving, keep it strong, are there to reopen but we also keep people safe. You can do both if youve got a clear strategy. Thats what i think is essential here. Liz i know both of you have to get out there and get in your relative groups to make sure that you vote, but i will tell you what americans like to see. Democrats and republicans working together like you goes are. I cannot thank you both enough. Thank you very much, gentlemen. All right. Apple computers, well, its motto is anything you can do, we can do better and now that apparently includes making microchips. With the closing bell ringing in 48 minutes and the dow still up about 144 points, according the a new report, starting next year, apple which has long been rumored to be developing its own chip for its mac computers, will begin selling macs with homegrown chips. That potentially cuts out intel from the equation. The apple chips are not entirely organic, though. They will be built on arm processors which allow Companies Like apple to customize them. Apple moving higher by a third of a percent but intel getting dinged, down about 1 . We should mention, softbank owns arm. Softbank is up 1 . When we come back, much more ahead. Billionaire Businessman Mark Cuban just joined our virtual town hall in the last hour. The Dallas Mavericks owner now on the president s Advisory Board to open america. When he thinks that might happen, next. Its a new day for veterans all across america. Home values are up, and Mortgage Rates are at record lows. Thats good news for veterans with va loans. Thats me. By using your va streamline refi benefit, one call to newday usa can save you 2,000 a year. Thats me. Theres no income verification, no appraisal, and no out of pocket costs. Thats me. Put your va home loan benefits to good use. Call my team at newday usa. Heres the thing about managing for your business. 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Liberty. Liberty. Liberty. Economists will be writing about this for centuries but lets find out. I think when we can get to the other side, get to america 2. 0, then i think positive things will start to happen. We will be in a better position economically and medically and then we can start making some decisions on how we deal with taxes and debt and those type of things. Liz okay. Now theres a name, america 2. 0. That was Dallas Mavericks owner mark cuban in just the last hour with charles payne, because he did his virtual town hall. Mark is a brilliant billionaire businessman who has been through a lot in his life, real highs and some lows, right. Lets bring in our floor show traders about what he said during this hour. Phil flynn and thomas hayes. What do you make of marks assessment of the next steps . What do we need to do to get to america 2. 0 . Phil, you first. Okay, great. I think hes absolutely right. I think were doing the right things right now. I see a massive amount of stimulus by the federal reserve, the way the banks have reacted, the way that were helping out Small Businesses, thats going to be the thing. Because hes right, this is like winning the war. Remember, we didnt worry about the debt when we were trying to win world war ii, right . We were spending whatever it took, we did whatever it took to win the war. And look at the incredible Economic Growth we had after world war ii. We built our infrastructure, we did things like that. So there could be a new move. This could be an opportunity for america to come together, rebuild the country unlike anything we have seen before and get that kind of boost. So good out of all the bad that we have gone through. Liz look, the dow is on pace for its best month since 2015, october. Then i looked and i saw that lets see. Little noisy there. The nasdaq is having its best month in ten full years. Thomas hayes, the stock market is coming back and thats fantastic, certainly for our investor audience, but theres a lead story on fox business. Com right now thats entitled the tale of two pandemics. It shows a picture of elon musk and a picture of jeff bezos and says the billionaires are getting wealthier while the rest of us, im quoting this, in the article, while the rest of us are losing money. It is really upsetting. You wonder how we do emerge, its not all going to be sunshine here. People are going to be damaged for years. Yeah. Well, liz, if you look at where china is, china hit their peak cases on february 5th, peak new cases. We are about two months behind them. If you already look at the economic recovery thats happening, and they dont have any special drugs that we dont have yet, either. Its just a slow, stable recovery, they are at 90 to 95 of prepandemic employment, at 100 of rush hour traffic pollution, at 100 of coal usage and they doubled seats in the air for domestic air travel from february to march. So its hard to see right now, we are kind of in the middle of it but i think what phil said about all the stimulus, we are filling about a 2 trillion contraction, economic gdp contraction worsed case se ma do with stimulus aid and liquidity. What people may be underestimating about america 2. 0 is as we slowly, safely and securely open up the economy, i think towards the Fourth Quarter and certainly towards the first half of next year, people may be underestimating the amount of growth that we are going to see and how quickly people are going to get back to work. I think ben bernanke said it best. He said think of this like a shortterm Natural Disaster versus a prolonged longterm downturn. Thats a good way to look at it, especially since the government has been so proactive. Liz i hope you both are right. Phil and thomas, i really appreciate you guys coming on. I do want to have our viewers turn their attention to the lower band here. We look like we are losing a lot of steam. Dow jones industrials, the high of the session was a gain of 409. We are up 60 points now. S p had been up about 45 just a second ago we were up only 1. The trend starts to look a little dicey with about 39 minutes to go before the closing bell. Moments ago, we just got the word, folks, the house has indeed started to vote on the 484 billion stimulus plan to combat the economic damage from the coronavirus. Heres what we know. They are going to be moving in and out of the house in groups of about 40, with floor officials disinfecting the chamber in between each group of votes. We will be watching this. We will keep our eye on the voting. It is of course expected to pass. It will take much longer for the votes to be conducted because the house is spacing out its members due to the coronavirus distancing procedures. It could be headed to the president s desk for signature as soon as it passes. We will be watching and informing you every step of the way. When we come back, look at that, the s p just turned negative. We have much more straight ahead. The former head of facts. Life isnt a straight line. And sometimes, you can find yourself heading in a new direction. But when youre with fidelity, a partner who makes sure every step is clear, theres nothing to stop you from moving forward. Its my own thing that i can do for me. Since i dont have time to read, i mean i might as well listen. If i want to catch up on the news, or history, or learn whats going on in the world, i can download a book and listen to it. I listen to spanish lessons sometimes to and from work. Yea, it makes me want to be better. Audible reintroduced this whole world to me. 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Call today and find out more in aags free, noobligation reverse Mortgage Loan guide. Access taxfree cash and stay in the home you love. Youve probably been investing in your home for years. Making monthly mortgage payments. Doing the right thing. And its become your familys heart and soul. Well, that investment can give you taxfree cash just when you need it. Learn how homeowners are strategically using a reverse Mortgage Loan to cover expenses, pay for healthcare, preserve your portfolio, and so much more. Look, reverse mortgages arent for everyone but i think ive been round long enough to know whats what. Im proud to be a part of aag, i trust em, i think you can too. Trust aag for the best reverse mortgage solutions. So you can. Retire better. Liz stick with me here on this one. Draft kings is inching closer to the end zone of a very different, very unique threeway merger. The Online Sports betting company has one shareholder approval from one of the three entities involved, diamond eagle, the publicly traded company thats part of this deal. Draft kings, which is private right now, will then merge with European Tech company sv tech in a deal that would be valued at 3. 3 billion. The combined three companies will then be called draft kings and will trade under the Ticker Symbol dkng. Right now, diamond eagle, the one publicly traded part of this threeway deal, is up about 2 . This as the sports world turns its attention to the nfl draft which despite some very big changes, historic changes, is ready to kick off tonight. It will be all virtual but our real life Grady Trimble will explain how different this is going to be and im just interested to know whos going to go in the first round. Reporter yeah. Well see. A lot of people expecting joe burrough from lsu. It will be way different than the league had planned originally. They had all these grandiose plans for a big event with a floating stage in the water in front of the fountains in las vegas, but instead, this is what we get. Roger goodells basement. Thats where he will be announcing the picks from tonight. He gave us a little sneak peek on twitter this afternoon, behind the scenes of what he calls his mancave. The broadcast will also include players in 58 different remote locations, then the Decision Makers from each team will be spread out as well, relying on Technology Like phones and messaging apps and Video Conferencing instead of all being huddled in one place in the draft room like they usually are. I talked to a Sports Marketing executive. He tells us take because of this dependence on technology, you can expect some technical difficulties but he thinks fans will be able to look past that. It might be a lot of timeouts when people cant get ahold of another team to potentially make a trade, so its definitely going to be a challenge but hey, its live sports and well take whatever we can get right now. Reporter and because we are craving any sort of live sports right now, many people are expecting this to be the most viewed draft of all time. Disney announcing that its seeing Unprecedented Demand from advertisers. 60 of the 100 brands hoping to advertise during the draft are firsttime advertisers. One bad news, you could say, is that marriott pulled the plug on being the presenting sponsor but they found lowes as a replacement for that. This is actually really good news for companies that are dependent on ads at a time when a lot of companies have stopped ad spending because of the coronavirus. Not for this event, though. It will be exciting. Liz live sports . Heck, yeah. Even if its from his basement. I will tell you, grady, it was so good to see that im not the only one, you know, we all have these home studios and hes got his mancave, wires all over. His basement looks just as rank as ours. Its just unbelievable whats been happening there. There it is. Roger goodells basement with all of the cords and all of the extensions and oh, my gosh. Its just incredible what everybodys doing to try and bring live anything to viewers. Grady trimble, thank you very much. We have about 30 minutes to go before the closing bell rings. We are looking at the Dow Jones Industrials right now up 84 points. That was a near miss. Looks like the s p was turning negative. It did for a brief second. Its up two points now. Target hitting the covid19 bulls eye. The big box retailer says that online sales have been on fire since the pandemic sent people home. In fact, several days over the last two months, even surpassed cybermonday sales. Digital sales surging 275 in the month of april. Still, though, target says the crisis will hurt its First Quarter Profit Margins and that appears to be what investors are focusing on. The stock down 2. 5 . Up next, the grim reaper hovering over Neiman Marcus as the Department Store chain inches closer and closer to bankruptcy. Just the latest retailer crumbling during the coronavirus crisis. Are we about to see the death of Department Stores, or could saks swoop in and play the white knight . Steven sadove is a former ceo of saks and is here in a countdown exclusive next. Copd makes it hard to breathe so to breathe better i started oncedaily anoro. Go your own way copd tries to say go this way i say ill go my own way with anoro. Go your own way oncedaily anoro contains two medicines called bronchodilators that Work Together to significantly improve lung function all day and all night. Do not use anoro if you have asthma. Anoro wont replace rescue inhalers for sudden symptoms and should not be used more than once a day. 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Liz coronavirus has, you guys know this, left the retail landscape littered with brand wreckage. Gap today, gap stores warning it may not survive the next 12 months in one piece, as the retailer suspends rent payments for shuttered stores. Theyre just not paying. The stock is up 1. 5 but this as reports are swirling that luxury retailer Neiman Marcus could go bankrupt by the end of this week. Jc penney hanging by a thread as well. Its now a 27 cent stock. From the high end to the affordable, comes this grim headline from the new york times. The death of the Department Store, very few are likely to survive. Steve sadove ran the Gold Standard of Department Stores, the former ceo of saks inc. Joins us now live in a countdown exclusive. With all of these names shuttered due to the coronavirus, will the Department Store survive as we know it . Oh, i think the Department Store can survive but its going to have to be different. Were in an existential threat time for the retail industry. These are businesses that werent designed to run at essentially zero revenue. They have their internet businesses but they are down 80 . The cost base isnt designed to run that way. So they are going to have to operate differently. Some will survive, some wont. The highly levered businesses, a number of the ones you mentioned, are at risk. You just cant sustain the kind of debt payments they are talking about and you are going to find different ways of doing business. But there will be some survivors out of this but theres going to be a lot of carnage. Retail has been changing a lot over the last several years. Its an acceleration going on. You saw the target this morning reporting that they had a massive growth in the internet sales. Internet is going to continue to grow, its going to play an even more Important Role in our lives and Department Stores are going to have to adapt to a different kind of model for those that survive. Its not a question of nobody surviving. Its going to be a question of those that survive. Liz well, who then do you foresee doing it correctly . I mean, look at Neiman Marcus. Great platinum brand, failed to make Interest Payments last week on 4. 7 billion in debt. Neiman could file for bankruptcy, everyone is saying, at least there are reports out there, by the end of this week. Your former employer, saks, has tried three times over the past decade to merge with neiman. Will the fourth time be a charm . Can saks save neiman or is it unsavable . I have no idea whether saks will do anything with neiman. I will tell you neiman, the real issue there is the debt. This is still a 4 billion, 5 billion company thats generating quite a bit of ebita. The real issue is it has a Balance Sheet that cant sustain that it cant sustain. So if they restructure the debt, if they were to go and close a number of stores, renegotiate rents, could somebody run that company in a manner differently than its being run today and Neiman Marcus is a great name and has a very good customer base. So i dont know whether its going to be saks, somebody else. It would be a shame to liquidate it but i dont think it has to be a liquidation. Liz what about jc penney . How is this company even staying alive . Well, jc penney is a question and all of these companies, its a question is there a niche in the marketplace for the brand, is the financial situation dire enough that it cant be sustained. Sears, for example, or kmart, you have to ask is there a role in the marketplace for that brand. There may or may not be. Jc penney is there enough of a niche and a consumer thats going to sustain the brand. There may very well be, but its going to have to be in a different shape than it is today, but again, theres no equity value. Its down to 20 some cents a share. 70 million of value i think in the equity. Theres going to have to be how many stores do you have to run jc penney, can it run in a different manner. If you had half the store base, could you grow it. These are the questions you have to make a decision on in terms of going into a bankruptcy. It may or may not make sense to go bankrupt in the sense of going bankrupt to allow them to restructure the debt or put it on a different footing with landlords. Each company that is distressed like this has to ask that question. The problem you have is the liquidation, right now you dont have stores open. There is so much inventory in the system that if you wanted to liquidate it would be very tough to liquidate right now. Liz steve, we have to run but i do want to know from your perspective if you were running a Department Store right now, how would you change it to survive after the coronavirus is hopefully done . Once were on the other side, so to speak . Oh, quick answer is you have to change the business model. You have to think about inventory differently. Who owns the inventory, how do you manage the inventory, how do you think about the cost structure. Department stores in europe and japan, for example, are far more landlords than they are owning the inventory directly. So you have to think totally differently about what the model is of a Department Store. Liz steve sadove, great to have you. Please join us again. Happy to. Liz he ran saks fifth avenue for half a dozen years. Did a great job and has a perspective here that some will not survive this. Closing bell ringing in 18 minutes. Yeah, youre looking at a live picture of the house of representatives inching closer to passing the 484 billion stimulus bill, as yet another company decides to give back millions in Small Business loan cash that it managed to get from the government. It was a company we brought you yesterday and since then, they said we are giving the money back. Tune in to this weeks everyone talks to liz podcast. I know all of you are stuck inside, you are feeling very alone, feeling down, wondering, well, guess what, these toys are your screen were made by a man who has one of the most inspiring American Dream stories of all time. Isaac larian, the ceo of mga entertainment behind bratz dolls and lol dolls, escaped iran, came to the u. S. , worked as a dishwasher and today, hes a billionaire. Hear his story on everyone talks to liz, my podcast which is filled with great inspirational names. Get it on apple, google, fox news podcasts. Com. Let me know what you think. Well be right back. Ws. By refinancing, you can save 2000 a year with one call to newday usa. Our team is standing by right now to take your call. And from start to finish, you can do it all without ever leaving the house. With our va streamline refi, theres no income verification. No appraisal. And no out of pocket costs. One call can save you 2000 a year. Yeah. This moving thing never gets any easier. Well, xfinity makes moving super easy. I can transfer my internet and tv service in about a minute. Wow, that is easy. Almost as easy as having those guys help you move. We are those guys. Thats you . The truck adds 10 pounds. In the arms. Okay. Transfer your Service Online in a few easy steps. Now thats simple, easy, awesome. Transfer your service in minutes, making moving with xfinity a breeze. Visit xfinity. Com moving today. Liz oh, boy. The tide has turned for yet another corporate whale accused of gobbling up ppp stimulus money that was really meant for very Small Businesses. Yesterday, you remember this, we reported that a Company Called kura revolving sushi bar, its publicly traded, okay, it had received nearly 6 million in Paycheck Protection Program funds despite already having a 24 million cash reserve and a very generous japanese parent company. Kura has now filed, since yesterday, apparently, with the s. E. C. To give the money back. Well, in a statement on its website, kura says that it made a wrong assumption about the intentions of the Paycheck Protection Program and did acknowledge that independent Restaurant Owners are way more in need of the funds. Kura sushis stock is up 2. 5 so doing good is good for business. At least the stock price. Charlie gasparino has been covering the Paycheck Protection Program since day one and following his reporting, the Treasury Department and Small Business administration unveiled some new rules today. Charlie, lets talk about this, because we have the vote happening right now, walking through the floor of the Congress Voting on this huge package that once again will replenish the coffers for the ppp program. Charlie yes. We will have i guess semibreaking news on the New York Stock Exchange in a minute. Lets just unpack this. The Treasury Department after reporting from fox business [ inaudible ] about how unevenly these pandemic stimulus loans were given out, how real Small Businesses were not getting a lot of these loans, how they were going to Companies Like the one you just mentioned, they had banking relationships and the banks had to prioritize the lending money given all the amounts of requests they got, because treasury didnt give much guidance on how to hand it out. We got some guidance now following our reporting. I guess we embarrassed them into this. Heres what they are doing. Im not quite sure this is like what they should be doing, if this is going to work. Its working obviously anecdotally as you heard from kura. What they are saying is this. If you apply for the loans, if you dont need the loans, if you are a Profitable Company and got one of these loans, particularly if you are a public company, or brokerage firm, that you are making money and you get fee income, its on you to give it back. They are calling for selfpolicing, saying if you dont give it back you open yourself up the a degree of legal liability because if you read how some of these contracts are written it says something along the lines of, you know, you hereby swear you need the money to keep people employed. I will give you the cliffsnote version whats in the contract. Clearly theres a selfpolicing mechanism that the treasury wants here, they want every company to know if you take the loans and you dont need it you could get a call from us. Now, whether this will work or not, i cant tell you. Its anecdotal, as i said. I want to get into my next story because one of the big things liz i know, but one comment about, sorry, just charlie, i have one thing on that. You know, treasury in the First Tranche gave about 1. 6 million loans out. 4400 of them went for more than i guess between 5 million and 10 million. But the rest did go, a huge number, one million did go to companies with fewer than ten employees. But of course, we all want a batting average of 1,000. Charlie who knows who they are. Who knows who they are. You dont know if they are financial firms, small boutique law firms. Thats the problem. We dont really have good sort of disclosure on who these companies are. We know about the public companies, because some of them have to disclose. We dont know about, you know, how they triaged which is essentially what they were doing, the money. Generally banks will give money to their best customers because theres no guidance by the Treasury Department. Generally those customers are wellheeled companies, not your mom and pop Sandwich Shop or salon. So thats a problem with those raw numbers. Theres not much disclosure in them and you know, im dubious they went to the right places given just all the calls im getting, and all the evidence that i uncovered since this whole story began, not a lot of real Small Businesses are getting the money. Whats that . Liz . Liz thats on the banks, then. Charlie why is it on the banks . Liz i said charlie if you are the treasury, you dont give rules . The banks have to prioritize so they dont get sued. Thats what they did. Beating up on banks my entire career. If i could beat up on them on this one, i would. I cant. Because they would get sued without the guidance from the treasury and that guidance is coming down right now. Well see if selfpolicing works. Im a little bit dubious. As you know, anecdotally, you are getting some of that. I want to make one point regarding the New York Stock Exchange because a lot of people are talking about when is the pit going to finally open and just, you know, there will be a sign we are ready to get back. Nobody knows for sure. Inside the big board they are saying they dont know, our sources are telling us they have made no firm dates. We do know from traders, these traders deal with big Board Management all the time, that this sort of really soft date that they want it to open is sometime in mid to late may. So its very soft. We are getting the New York Stock Exchange officially has no idea. Obviously, there are two issues if they are going to open. They have to deal with the securities and exchange commission. I think the second is governor cuomo. We should point out the other thing the floor traders are telling us is they expect when it does get open there will be mandatory testing of everybody at the exchange in terms of covid. So thats what we are hearing right now. Again, stay tuned. Theres a lot theres a lot of chatter about something, usually something is moving afoot. Again, big board, officially no date. The traders are saying they would like it to open mid you know, soft date, midmay. Back to you. Liz charlie, thank you very much. Dow is up 59 points. Got seven minutes before the closing bell rings. Stay with us. Weve got draft wild cards for your portfolio next. Seeing the break in the clouds before anyone else. Together, well weather this storm. And people you can rely on. Im a Dell Technologies advisor. Me too. Me too. Me too. And if youre a Small Business, were with you. We are with you. Were with you. We want to help. So well be right here. At home. Answering your calls. Providing support. And standing by you every step of the way. Bye bye. Liz well look what happened to the markets with just three minutes left. We now have red on the screen. S p left all the gains. Nasdaq which was higher by 139 points lost all of that plus another six points. We are now negative, but the dow is still up 50 points. Maybe profittaking as we continue to watch the house vote on the next tranche of money for the coronavirus rescue money. The nfl draft, as you know one of the rare sporting events happening live amid the coronavirus pandemic. Cincinnati bengals have the first pick because they sucked. Mike brown, we will win the super bowl. The bengals are starting off the fully virtual nfl draft. Our next guest is here with his wild card draft picks for his portfolio. Good to have you here, at the have ted oakley here. Talk to me about what you think should be wild card draft picks and why . We mentioned three companies, mastercard, pfizer and unilever as solid companies. They will make it through the covid situation. We mentioned just as a wild card pick for you, if you like oil and we do, if you can look out a couple years, Enterprise Products and a small, small royalty company, Brigham Minerals that has no debt. It is something you can look forward to in the next couple years. Liz what is the dividend on that oil company . I recall it being a pretty significant one but oil, you got to wait a long time for oil to recover, dont you . Well heres what happens. Enterprise it is about 10. 25 . Maybe 10. 3. On brigham, it will go down. Now 12 or 13. With oil down it will go down but you have to, they have to pay out quite a bit of that cash flow regardless what the price is. It us a Small Company but that is why i call it a wild card. I think you put it in there with the other three that i talked about, the big names, just gives something to get through tougher times with. Liz were going through tougher times. Ted oakley, of ox bow advisors, he is the managing advisor. They have 1. 7 billion in assets. Thanks, ted. Join me 6 00 p. M. Tonight, liz claman, lizclaman on twitter for opening of the future. Ive been doing it every night. [closing bell rings] liz called sunday through thursday because we dont have futures on saturday. Liz claman live. Market action, making a run for the green. S p cant quite do it that will do it for the claman countdown connell losing a lot of steam there late in the session, stocks closing well off the highs. One of the things happened, a promising new drug to treat coronavirus reportedly flopped in one of its trials. Well talk about that and a whole lot more. Im connell mcshane. Melissa im melissa francis. This is after the bell. The major averages trying to hold on to gains as we await for a house vote on additional relief funding for the Small Business loan program. We have fox Business Team coverage. Blake burman with the latest from the white house. Lauren simonetti on the markets. Edward lawrence is in washington. Lets start with edward. Reporter right now the h