They will help to rebuild the detroit auto industry. First, get the latest headlines headlines. Fourthquarter sales and profit beat analyst estimates. The introduction of new products is starting to boost sales. Profit came in . 55 per share versus the projection of . 53. Shares of Seaworld Entertainment in the regular session fell to a 33 . D low fell nearly the latest analyst earnings missed estimates. Theme park sales also hurt attendance. The decline as much as seven percent of the year. In anckman raising money ipo this year. More firepower to invest. This offering would enable the hedge fund Pershing SquareCapital Management to raise funds that could be fully invested and not at risk of investor redemption. Those are the top headlines. Back to you. Thank you. Now to the latest on gaza. Getting word hamas has agreed to accept a 72 hour extension of the cease fire agreement that would have expired at this hour with israel according to tv in gaza. The latest that you are hearing on negotiations and reports of rocket fire this evening . Good. The palestinian representative in cairo, the main negotiators speaking a few moments ago have said hamas has agreed to a five day ceasefire extension. 15 minutes ago, quarter of an hour before the current ceasefire was to end three rockets have reported to land in israel. No casualties. An earlier rocket and our half ago that were confirmed by the Israeli Defense forces. Very unclear whether this ceasefire will hold. Whether the israelis will respond. And whether the five day extension will hold, we will have to wait and see. You spent time near the border in gaza where the rockets have been landing. Looking at how the businesses have been affected. What did you find their . A lot of the businesses have seen , that loss of objectivity has been the main results of the recent conflict. A lot of their own said they had taken up to a month off. They have not been able to come back to work. They have had to cut shifts, send people home early. The big concern amongst workers is the commute from the relative safety of your home to the relative safety of your factory or place of work are typically the bomb shelters are 10 or 15 seconds from you. What do the Business Owners tell you they intend to do in order to deal with the Current Situation . It isot of them have said the third conflict in six years. Have invested a lot of money in things like font shelters. You need to be within 1015 seconds of one when you are in southern israel. Looking at ways to move away from israel. Looking to encourage customers, especially domestic customers to spend more now to buy a product earlier and do the things to protect the bottom line, given the conflict and uncertainty seems like it will continue. Based on the interviews you have been able to conduct and on what you have been able to see him give us an idea of Public Opinion and israel and the relationship to the prime minister. Everyone i was talking to said they want peace. For does it constitute . Those dozens of people i have spoken to, there is a definite this tension between those that are very approving of Israel Government policy right now and those that say they need to do more and get way more for the negotiation. I think that is a mixed bag to be honest. Tell us about what kind of individual experiences on making this journey . Down in the south of israel where the rockets fired tends to be targeted because of the range of the rockets. Every day life is a bit unusual. There are offices where people show meet the brief from the missiles shut down by the iron dome system. There are bomb shelters everywhere. Some of the communities i visited work quite empty. Stores have not been able to sell to people. Hoping itening will come to an end to soon. Have you heard the effort to find the tunnels that have been done from gaza to israel . That has been one of the main focuses of this to find the tunnels and eliminate them. There are people telling me which they are working on new techniques that would perhaps be able to identify them more readily. One of the big concerns is if the blockade is lifted and goods are allowed to flow more freely, things like concrete that is crucial to rebuilding could be used for more of these tunnels. The families ive met along the border, the tunnels is a terrifying fear for them. Some think they have seen before and really struck a peer of god into them. Reporting from tel aviv. An update on cisco. Su keenan reporting recorder sales and profits topping analyst estimates. We understand cisco has announced job cuts of eight percent that would amount to about 6000 jobs at the telecom giant. The company saying it will take charge of up to 700 million in the first quarter. Be . 51 per share would per share to . 53 per share. That is below that average analyst estimates. We will follow this story coming up. Also, i will talk to the head of a wine figured. Wine vineyard why long island is battling napa valley to have the title of winemaking capital of the country. From siberia to silicon valley. The cost of social sopping with the founder and chief executive. Find out what it is next. On this is taking stock bloomberg. Im pimm fox. Macys cut the Sales Forecast for the year. Coles, walmart, jcpenney and nordstrom all report earnings tomorrow. Or more on their fortunes president of Customer Growth partners, a Consulting Firm that focuses exclusively on retail companies. Always a pleasure to see you. Want to start with macys, what is going on there . Macys operating about as well as a company can in very difficult, choppy waters. Very weak now and reluctant to make big turk ticket purchases. Consumerg said, the remains weak looking forward. So they will have a good holiday. Macys almost always has a good holiday am a but these are tough times, and it is almost acrosstheboard. Let me get your thoughts on each one of these. Walmart, start there. Walmart is the most important because it is the overall reflective of the economy. Five years ago at the peak of had 12 ssion, walmart market share of the retail market. Over the past five years it has down 100 20, 30, now basis points. They have been attributing market share. Interestingly enough, half of it, it has gained 50 basis points out of the hundred that macys donated. Cosco, tremendous company. The dollar stores, which do not report for another week or two, they collectively gained 2025 points. Tremendous company. That is why it is so important walmart, particularly in the u. S. Where they have a new ceo to starting that just transferred from asia. Very important he turns the mothership around. That is walmart. Tell me about the other end of the market. Lex nordstrom will do pretty well but you have to parse the business. The retail store, the fullline stores are soft. Doing ok. Had a pretty good anniversary sale. Not as good as some past sales. There is nordstrom and their flash sales site but the full by stores are a little soft. Store only comps we think boldly negative again. Jcpenney still a work in progress. They have lost five billion and elias annualized sales. They are coming out of it. We think they will be ok tomorrow but only ok. A six percent,d and change which is quite incredible off of very low base. They are still coming out of it. Out of a very low base. How about kohls . They have had very choppy sales are a while now. We think theyre beginning to turn the corner. Dismal q1. So there you will be improving off of that. Not like the old days when they were routinely throwing in comps five percent plus. Bring in mention the chief executive of whiny nilow, a social shopping app. Allows users to find, by and share merchandise from 300 50 reallife stores right from your mobile device. The chief executive joins me now. Great to have you with us. Did i describe what it is correctly . What is it to you . Of global architects curated by people. It brings together the stores and products we know to a single platform. Likes how does it do something i cannot get going to the website of macys or Big Department store apco . We have to keep in mind consumers are turning to mobile. Spending three hours per day on their phone and over an hour on social networking. That a social experience consumers are searching for. So the traditional realist retailer is not as exciting anymore. Strike you stay agreements with the traditional retailers . Retailers are very excited about the traffic youre sending them. Now reported to be the highest converted social network to retailers such as Urban Outfitters, revolve clothing. So retailers are actually really theted and embracing opportunity to market to the consumer in a new way. Manyll us about how subscribers you have and what they can do it they become loyal customers . We have millions of users. It is a place we can organize, find and buy the most Amazing Products from anywhere online all in a single place. Advantage do you get by buying something on the website . Any price difference . To productss you and stores you otherwise would not have found. It is very frustrating for a consumer to have to go to multiple the taylor apps. Apps. Ailer brings them all together on a single location. It is a single place to discover products from different stores. I want you to comment on the wouldand suggest what someone a cold or macys or walmart, what would their reaction be seeing this success . At any one of the stores or even a couple of them, the question i would ask is if you are it Urban Outfitters shopper, is there a monetary advantage to shopping through wanelo versus directly at the urban site . There is no difference between buying it or going to the side of the Department Store apco right. The difference is not necessarily in the price but the overall experience. About an amazing discovery experience that helps you find the Urban Outfitters product. About howeally just are you going to find that retailers product come and that is precisely the point. So it is kind of her basement replacement for advertising. To reverse the other side of the coin, i would be interesting in knowing how does this model work for you . How do you make money and how does the retailer take money on it . Versus the customer are ready in resalesy . We drive real sales. People come to buy because the social platform is 100 of the product. So conversion is really high. We do currently make a commission off of the product sale. We know we need to make the moreience a lot frictionless. I want to thank you for joining me. Chief executive of wanelo. My thanks to craig johnson. As a reminder, you can find the story and other technologies stories such as alibaba was a initial Public Offering plans on my website. We will speak to the chief executive who was able to dig his company out of a hundred 30 million home. Stock ontaking bloomberg. Stock on takin sg bloomberg. I am pimm fox. The financial crisis offered tough times to trex. Turn around. A ron chapman chief executive joins me now. Thank you for being here. We were saying you and i got to meet about four years ago and a lot has happened since then. Wondering if you could give people an overview for what it has gone through and where it is today. We came together in january 2000 82 affect the turnaround. It has been very successful, operationally, administratively. We brought together a team of operators as of those two marketers. As you and i have met our sales have grown. We are selling in 38 countries around the world. Exporting from the United States. Reinvigoratedy the Product Offering that we guarantee one stain. One stain. This enabled us to take major market share. It was originally can thieves to prevent warp. Now guaranteed not to stain or fade. These were major rockets to propel the growth. So we reduced the inventory dramatically by 75 . Employed,ital extended the margin 1100 basis points. As a result, stock price has gone up several hundred percent. Trex and theout financing the Company Offers to the people who are looking to put the kinds of repairs into the home. Financingffer sponsored by ge credit. We marry the finance company with the consumer. Honest with you, it is met with marginal success. Buyers those deck continue to pay cash. That is where i wanted to go because i want you to tell me about cash flow. It has then for digits. We started deeply in debt and then became debtfree. We did a 75 million buyback over the past year. A little revolver we are in seasonally, but we are now our own Capital Expenditures for the new industry we have entered an series essentially a debtfree company. What would you like to see over the next 68 months . That we continue to take market share. 340 million in sales. Where would you like to go . Guidance,ve out one 90 million four third quarter, which is up substantially. So were on the right path. Not too concerned about the housing market. Only five or 10 of sales going into new housing. 90 plus percent is repair and thedeling, people extending living space of the house, refurbishing. We have to leave it there, but i want to thank you very much. Ron kaplan, chief executive of trex. This is taking stock on bloomberg. I am pimm fox. Some of europes biggest drugmakers are among the bidders for the u. S. Biotech company according to people familiar with the matter. Glaxosmithkline said to also be in the bidding. Goldman sachs are helping interview. Earlier we reported cisco fourthquarter sales topped analyst estimates. We are now hearing cisco plans to cut eight percent of the work or scum a 6000 jobs. The company saying they will take charges this year for up to 700 million. . 53 per share is below estimates. Chris christie today announcing he will convene bipartisan summit of the state local leaders to address the future of Atlantic City. It will take place december 8. Three more Atlantic City casino scheduled to close by the end of september, bringing the total number closing 24. All day tomorrow we are exploring what could be Atlantic City lights out. Bloomberg television and trish regan reports live tomorrow beginning at 8 00 eastern. Back to you. Thank you very much. A Bloomberg News report this week has reignited the debate over a safety of a substance. You can still fight it and totalts including colgate toothpaste. Other retailers are not so sure. Use of itcing out the in their products. Here to tell us more is mike shade, running a retail focused mind the store campaign for a Consumer Group called safer chemicals, healthy families. Inc. You for being here. Tell us the news. It turns out this chemical, we do not know what it does in humans but causing pretty scary reactions in animals. Colgate has it in one of their toothpaste. Total colgate claims it is one of the most rigorously tested products on the market. They have been responding to people on twitter with an informational website in youtube 80 oh but i think a lot of consumers are still pretty upset. It do for the toothpaste according to colgate . It acts as a fluorite, helping to clean the teeth and they say it is a differentiator in the product. Making it better and different than it products on the market. Do other countries banned it in their toothpaste . It has been regulated all around the world. Many european retailers and manufacturers have been phasing it out. For example, a company in the news quite a bit recently who is merging with walgreens, they committed to phasing out a couple of years ago. Here in the United States it continues to allow the use on store shelves, including colgate. Definitiveve Scientific Evidence from various countries like the u. K. That say that it is bad for you . There is a growing body of Scientific Evidence that have shown it is a chemical that is had her hazardous at low levels of exposure. It is referred to as an endocrine disruptor. It can interfere in disrupt hormones in the body, hormones like testosterone. They play in important part in regulating the body systems. When you interfere, you have problems down the road. Your problems with infertility and birth effects. Exposure can be harmful to public health. That is why any other major brands, including Procter Gamble have gone it out of the toothpaste but unfortunately Colgate Total continues to use this unnecessary and hazardous chemical. This,as far as the use of use of as far as the this, what does the American Association of dennis, fda tom is there someone that can come out to say this is safe or not safe . The fda has done a lot of testing quite adebate goes back long time. 15 years ago when they were first testing the product, has to be screened by the fda but it relies on companysponsored research, which makes it difficult to know, is this independently verified, has this been tested by an objective Scientific Organization . So there has been no definitive ban to my understanding. What kind of financial affect what this have . There must be a financial advantage . I dont know. We have been trying to ask colgate, could this have business implications . Some old think it could. It could hurt the business. I do not know taking out the chemical would be very difficult but the companies that are phasing out the chemical, it is taking a lot of time. There is not necessarily one product that can replace this chemical and everything it is being used in. It could be a long process. Uart what mike said having to do with Alliance Boots and carrying the toothpaste in the u. K. What about stores here . You mention walgreens but what about other stores . Right now retailers are pretty cautious about saying we will not carry products that have it in them. Yesterday we tried to speak with walmart and target. They are hosting a conference about safety and personal Care Products and are waiting to see how this unfolds, if there is more research forthcoming but to my knowledge no one has said we will no longer carry products that carry it. That contain it. What has been the reaction from retailers . We launched a mind the store campaign to urge top retailers to use urges purchasing power to make sure products they sell are safe and nontoxic. Studies have shown it is toxic at low levels of exposure. Many major brands have eliminated the chemical. We are calling on the nations top retailers, Companies Like walmart, target and walgreens to use the purchasing power and colgate tolgate eliminate the unnecessary chemical especially when we know it is not necessary. The Scientific Evidence has the risks far outweigh the benefits unfortunately. What has been the reaction from retailers in terms of the campaign you are describing . Since we launched the campaign over the year, walmart and target have announced all the seas to work with suppliers work toe, disclose and eliminate dangerous chemicals in the supply chain. Overve developed a list of 1000 chemicals of concern, which they are encouraging suppliers to reduce. It is not clear it is one of the chemicals they are focusing on currently so we are calling on walmart and target to added to the party list. In addition, we are calling on walgreens to join them. Alliance boots can begin eliminating it from the products in europe, we think they can in the United States as well. I want to thank you mike shade of mind the store. Talking about triclosan and colgate. Coming up, the owner of the Vehicle Company that builds jeeps you can drive through snowstorms come a trek through forests and scale mountains and can even slide. That is next. This is taking stock on bloomberg. I am pimm fox. Since 2012 sales at the auto have largely mostly double. American Expedition Vehicles designs and manufactures highend offroad vehicles featuring jeeps and snowcapped mountains. Collins whoby mike joins us from detroit. Thank you for being with me. Tell people about the american Expedition Vehicles. What kind of vehicles do you make . Parts,ake aftermarket primarily for the jeep wrangler, although later this year we will introduce parts on the ram pickup as well. Thef i could use some of components, parts, what kind of jk wrangler could i put together . We can do anything on a twodoor wrangler. We will put suspension, wheels hemi in it. A detroita lot of rain in and the air in the engine was a very popular feature. We can take a four door and turn it into a pickup. Brute double cap. Int would it you like to sit one . From the front and back seat it would feel the exact same. We cut it kind of backseat. You lose it behind the backseat it. E replace we stretch it a total of 39 inches. What kind of demand have you had for the vehicles. Been fantastic. On the jk wrangler twodoor and fourdoor is the bread and butter vehicle. Probably 12 it is months backlog. Tell us about the capability of the vehicles in terms of traversing rivers and going up the side of mountains. Starting off with jeep. Fantasticmade a vehicle in the wrangler. We just enhanced it. When you put a suspension lift into it, you put tires on a 3537 inch tires gives you much more Ground Clearance and capability to go offroad. In terms of the rivers, the clearance helps you. We have a snorkel that will allow the engine to get air intake from above of the top windshield so they air will not water will not get into the air intake and the engine as easily. Does this capability cost . That is the nice thing about what we do. Some folks will start one part at a time and do the work themselves. They will buy it from our website or one of the many fine dealers. They may start with a suspension lift and build up from there. The standard package that is front and rear bumper, tires, 15,000list hood, range when we put it on the vehicle. Some folks start out a few hundred thousand dollars at the time and build it over time. Thats where does all of this our Divine Office is in montana. Detroit area is where we have the bulk of the sales and engineering folks and we do what we call outfitting the vehicle. We sell parts out to customers for every part we put on a vehicle for customers. To the local to go fourwheeldrive shop, that is great. If they want us to put the parts on the vehicle, that happened here just outside of detroit. Background is in finance. You have worked in private equity for bank of america. Why did you make the transition to the offroad vehicles . My Business Partner and i were involved in a number of things. He found american Expedition Vehicles at a tradeshow show many years ago. Our partner started american Expedition Vehicles in 1997, and we came along and said with the new edition wrangler we would like to help you, bring other resources to bear to your great creativity and bring many. Action ring to detroit you cannot get anything done anywhere that you can get done in detroit. The combination has really worked out well. Great success for all of us. What about your expansion plans . How are you dealing with demand . We are on the third building in 3. 5 years and looking for another one. We have the ram pickup launching later this year. Expecting to be a very hot seller. The sales have exceeded on ofrage 35 growth for each the past five years. A good problem to have been a problem were dealing with and are hiring. Likes when mike collins goes off the road, what can we find you in . Right now i am driving a 2013 bread fourdoor red fourdoor jk, allterrain tires. A great, everyday vehicle. I drive it on the highways at 70 must 70 plus but i take it offroad. I had it in moab a couple of months ago. A great everyday vehicle that is extremely capable but also a car you can drive on the highway. What is the most outlandish thing someone has asked you to do to an automobile . They have asked us to do a lot of crazy things, but we like to stick to what we do. Products to be a nice, unified package that works well together. We believe a lot of other folks do snowflakes, every vehicle is different. Our parts are designed to go together and work in harmony. We do not do a lot of crazy things. We tend to stick to the parts we have and make sure the vehicle works together well rather than be unique and have something that is really crazy. Want to thank you very much. Mike collins, chief executive. Coming up next, the head winemaker of a long island vineyard to learn about wine reduction on the east coast. Rollsroyce driving into the future with hightechnology features aiming towards attracting a new generation of luxury car owners. The chief executive will be on bloomberg west and will tell you about the latest car, the ghost series two. It is roomy and fast. The interview at 6 00 and 11 00 right here on bloomberg. This is taking stock on bloomberg. I am pimm fox. Long beach known for the hamptons and golf versus but it now has a new allure but one we all want to know about. A 1970 in 1970 there were just six vineyards. Fastforward today in there are over 60 licensed producers. I am joined by the head winemaker and head of the Long Island Wine council. Lets just start off talking about the wine council. Who would have thought there would be a wine council is at least 60 members. Tell us about what it does . The main focus is to promote the beautiful region that we have on the east and represent the 60 members we have. That is the beauty, in the past 40 years it has become what it acres. R 3000 there is representation needed to promote the region. Half a million cases per year. Seems like a lot but it is not. Thats where do you rank in terms of actual volume of production . Most producers are around my size. There are a couple of larger producers but we are all small, familyowned businesses out there. Tell us about the climate. The unique neat part is the maritime climate. Very little rainfall during the summer. Love it because it naturally drains soil. Tell us about james ports and the kind of wine you are making there. It was founded by my father back in 1981. We produced about 10 different varieties. We produce proprietary blends. James ports is one of the leaders out there in producing highquality wine. Is the production, the growing of the different for i80 of great special to the north fork of long island typically many vineyards one only grow one or two kinds. Lex i joke all the time that i want to get to varieties. We have a lot of pallets that want diversity. We can grow Different Things and then figure out what works for us. So we are starting to do that. The soil itself has to play a big role in what the wine takes like tastes like. It has ascribe it . A lot of gravel in it. Good grain in sand. Depended on where you are planted is the critical part. What about the cost . I started off by saying you have competition, there is real estate into her wrists. That is the beauty of what we do, the sustainability of try to protect the Natural Beauty him as the housing is a big pressure on the area but more importantly, trying to do things in a way that most of the of maintaining the farm, preserve them. This takes place saturday, august 23. Harvest east end. The culmination of all the wineries get together with the local chefs and have a great time celebrating the east end. Ax i want you to give us summary of each bottle you brought. The one that i think really works well is cabernet. It is a food wine. Not a heavy read that a good food pairing. A chardonnay, very light with acidity. Our favorite, top producer. Then we make four or five of those. We only make those in the hotter years. The head winemaker of james ports vineyard. The longdirector of island wine council. Stock. U for tataking live from pier three in san francisco, welcome to bloomberg t. Ts more job cuts coming at cisco. The networking giant laying off an additional 6000 workers or eight percent of the workforce on top of another 12,000 employees who have artie then let go over the past three years. The layoffs come as cisco failed to report Significant Growth in the fourth quarter. Revenue was flat at 12. 4. Net income dropped one percent. The company is struggling with weak demand