Leader eric cantor, whose opponent painted him as proamnesty for illegal immigrants. On Student Loans, the president expanding an incomebased repayment prom that only helps the poorest borrowers living on the edge. Senator warrens bill that woo have helped millions more refinance student loan debt, that was defeated. And now, iraq violence flaring, oil prices climbing. America has spent 15 billion on training, weapons and equipment in iraq. A terror group now controls huge swaths of that country. 100 miles from baghdad. Whats the president doing . Taking a nap. The president s economic agenda is in jeopardy but the administration is not backing down. What education secretary arne duncan told me when i pressed him on immigration reform. We absolutely have to get this done and this should be a bipartisan issue about strengthening the country, strengthening the economy, moving people from the shad ohs into the mainstream and helping them become productive citizens. As an educator, you see children in Government Detention Centers in nogales, arizona, shipped from texas. Kids who should be in school. Their parents doing everything to try to get them into the American School system. What do you think . Its absolutely brutes. Inhumane and im hugely focused on making sure dream verse a chance to get a college education, and we have far too many young people across the country who came here at 3 months old, 6 monthsaled, played by all the rules and we say they cant go to college . T cutting off our nose to spite our face. Duncan says weve got to educate our way to a better economy meaning improving americas schools. This week a landmark decision in californias superior court. A judge ruling the states teacher tenure law is unconstitutional. I asked secretary duncan whether he agrees. It shouldnt take years to get a bad teacher out of the klattroom. Classroom. I absolutely believe in tenure and due process. We have to have those supports in there. Having said that, having teachers get tenure as it were there in 18 months or two year, not a meaningful bar, that doesnt make sense to me. And an inability to remove grossly ineffective teachers, teachers by any measure simply not working, and we know where those teachers typically end up. Unfortunately. In the most needy communities. Finally, the big thing for me, whether l. A. Or across the country, the lack of incentives to find the hardest working, most committed teachers, most successful principals and place them in the neighborhoods where the children need the most help. Do you think teachers should be paid based on merit and shouldnt have lifelong jobs because theyve been in the job as long as they have . These tr complex issues but i think a piece of teacher compensation, we should be rewarding excellence. Encouraging teachers to work in the most undeserved communities. No teacher ever goes into education to make 1 million. Ive been very public. Starting teachers salaries should be much high perp a great teacher, pick a number. 130,000, 150,000. Talk about Student Loans. This week talking about making available some incomebase read payments, some pay as you earn plans for people who are really struggling with big Student Loans and low salaries. Theyre grumbling middle class families, wait. Were driving a beater of the car, not going on vacation, saving money like crazy. Somebody who borrows too much, theyre going to get loan relief after ten years. Is that fair . We just want to relieve some of the onerous nature of that huge amount of debt and rather than just pay the debt back, if theyre starting jobs, starting businesses, buying homes, cars, thats good for the economy. We think this is absolutely the right thing to can do and part of a Larger National conversation. Theality of debt over 1 trillion. Huge. The amount of angst this is causing, the stress this is causing on young family, parents, huge. As a nation going to college is the most important thing folks can do to enter the middle class. Going college has never been more important, sadly, never more expensive. We have to address the massive cost of going to college. Yeah. The core of this problem is the cost of problem up 544 since the 1980s. Coming up, gms recall likely costing the automaker billions, but hardly the first to commit a deadly mistakes. The price tag for corporate negligence, next. Im jane and i have copd. Im dave and i have copd. Im kate and i have copd, but i dont want my breathing problems to get in the way my volunteering. Thats why i asked my doctor about breo. Oncedaily breo ellipta helps increase airflow from the lungs for a full 24 hours. And breo helps reduce symptom flareups that last several days and require oral steroids, antibiotics, or hospital stay. Breo is not for asthma. Breo contains a type of medicine that increases risk of death in people with asthma. It is not known if this risk is increased in copd. Breo wont replace rescue inhalers for sudden copd symptoms and should not be used more than once a day. Breo may increase your risk of pneumonia, thrush, osteoporosis, and some eye problems. Tell your doctor if you have a heart condition or high Blood Pressure before taking breo. Ask your doctor about breo for copd. First prescription free at mybreo. Com mary barra scheduled to appear wednesday before a House Committee to answer questions about the companys recall nightmare. Last time she was there, barra had few answers. Doing a full and complete investigation. Thats why were going this investigation. That is part of the investigation were doing. The investigation will tell us that. That investigation released more than a week ago found a pattern of incompetence and neglect. Barra will be joined next week by anton valucas, the prosecutor who conducted a scathing report about what happened and didnt inside gm. Insisting the company is strong, despite the recalls. Four more recalls, by the way, announced friday bringing gms totaled recalled 16. 5 million worldwide. Deep in damage control mode, building up the new gm even as questions swirl over the incompetence and mistakes of the old one. Testifying before congress is bad enough. General motors today finds anytime theres an incident you know, today and today. Yesterday i did some things im accountable for. Reporter when that testimony is spoofed on saturday night live. I am looking into knowing when i first knew about it, but i wont know the results of that knowing until i know for sure. Reporter its a bona fide brand crisis. General motors barely shaking off its bailout baby government motors image, thrust into a product safety crisis of its own making. The pattern of incompetence and neglect. Reporter those words attract plaintiffs lawyers like bears to honey. Gm now finds itself among the greatest hits of deadly corporate mistakes that resulted in massive settlements. Toyota dolled out 1. 1 billion for its runaway accelerator problem. Merck paid 4. 85 billion for its deadly drug vioxx. The dangerous diet pill phen fen costs 3ds. 75 billion. Bp paid 7. 8 billion for poisoning the gulf of mexico but nothing compares to the Tobacco Industry coughing up 260 billion. The costs for gm will likely run into the billions, no question. Cost of the recalls, payouts to victims family, lost value of used cars, fines from the government. To say nothing of the reputation hit as angry families grieve. Its not about the money. We want not about the money. Reporter still, gm has deep pockets. In the years since taxpayers pailed it out in 2009, at a cost of 10. 6 billion, gm sales are up. In fact, surging since the ignition defect recall was announced in february. Seems consumers think gm really messed up, but they dont associate gm with the car brand they want to buy. The vast majority of people dont know that buick and cadillac and gmc are gm products. Very interesting bifurcation between the image General Motors has and the image that its brands have. Reporter and its making money. Gm revenue last year was 155 billion. And its stock is up since the recall. In fact, gm shares up about 1 since the recall. Not really helping to drive the rally on wall street, but there are plenty of other Companies Making some big moves this week and for that we bring in the assistant manager of cnn money. Read and watch him on the buzz every monday. The dow backed away from 17,000, but individual movers. Big individual movers this week. Start with facebook. An interesting story after pessimism and then here. Look, were coming back . What happened earlier this year, you had some skepticism about Earnings Growth and user growth. You also had questions about, did they really need to spend as much as they did on op liss. Ignored paypal, a lot of people talking what facebook might do with payments and the company accidentally released its slingshot app that a lot of people think could be a potential snap chat killer. Thats some of the reasons by people are excited about facebook now. The acquisition for talent, interesting around the Silicon Valley firms. Who they buy sometimes more important than hardware. Talk about apple. The past five years, back above 90 because of a split. Last week, 600 and some. Now did it bring in new buyers . Maybe some. A great story on cnn money how some average investors felt buying a couple shares in the 90s range was a nor reasonable thing than try and buy one at 650 or so. The stock has had a steady march back. 700, now 100 is the new 700 in terms of looking at that september 2012 alltime high. Optimism about the dividend, the buyback and, heck, new products, too. Iphone 6 later this summer. So many saying, should i buy apple . If you didnt when it was almost 700 . What makes it a different story at 100 . The timing of a split, that suddenly makes it attractive again. That psychological impact. You are 100 right that there is no difference right now in apple trading where it in the 90s than at 650 on a valuation basis, price to earnings ratio, but it seems cheaper and historically, companies have tended to do well after stock split mr. Preside. There is some argument. Apple shareholders, but not radio shack. Joking earlier, any company with a word radio in its name tells you its 20th century. Radio shack made fun of themselves with a super bowl ad, late 80s image. People thought was great. I think because it was true. You look at this company. Shares are plunging obviously because their earnings, they dont have any. Losing more money. Sales going down. Running through cash. An analyst who just downgraded his price target to zero, and the b word is out there. People are talking about whether or not this company may have to file for bankruptcy. It valley sad, but in a world where amazon and walmart sell almost anything you can get at radio shack and even best buy, isnt healthy, but healthier, looking bleak for radio shack. Whats your shack joet you want shack in the name, buy over shake shack or love shack. Not radio shack. Lululemon. January, last year. Ouch. A trend. What we call uncharting a trend. Lululemon has really been kind of a nightmare of a stock. I wont make the yoga joke everyone makes. The only downward fopose i know. Its fallen because of the ceo, gone in the wake of the black pants, translucent seethrough pants fiasco. The companys chairman voted against two Board Members this week. Hes feuding with the company and then you have with this backdrop, lowered earnings outlook for the year. A cult stock. The bulls thought it would be the next nike. Its not. Just plain old lemon. And internal problems. Not good. Check you out, closing bell on tuesday. You can see us all there. Our boss, president jeff zucker, Cnn International richard quest, alison kosik, Laurie Segall a lot of other editors and bosses up on the podium. The people who put cnn money online and on the air. We want to it thank the new york xx for helping us celebrate the rollout of the company. And coming up, doesnt show the hottest housing markets and the areas in red are not creating the most jobs. What it does show can cost you serious cash. Ill explain, when we come back. Meatball yelling cmon, you want heartburn . When your favorite food starts a fight, fight back fast, with tums. Heartburn relief that neutralizes acid on contact. And goes to work in seconds. Tum, tum tum tum. Tums i got more advice than i knew what to do with. What i needed was information i could trust on how to take care of me and my baby. Luckily, unitedhealthcare has a Simple Program that helps moms stay on track with their doctors and get the right care and guidancebefore and after the baby is born. Simple is good right now. anncr vo innovations that work for you. Thats health in numbers. Unitedhealthcare. Now theyre part of our 2 for 25 guest favorites r one olive garden dishes. Get your alltime favorites like creamy chicken alfredo. Plus unlimited salad and breadsticks and dessert. 2 for 25 guest favorites at olive garden. Sea captain theres a narratorstorm cominhe storm narrator that whipped through the turbine which poured. Surplus energy into the plant which generously lowered its price and tipped off the house which used all that energy to stay warm through the storm. Chipmunk theres a bad storm comin narrator the internet of everything is changing how energy works. Is your Network Ready . Welcome back. Consumer prices are up every month this year. A fresh reading next week. But youre probably feeling it at the grocery store. One reason is the serious drought in the western u. S. Look at this map from the National Drought mitigation center. The largest problem area now, california. That state accounts for 11 of domestic Crop Production producing staples like grape, almonds, lettuce. So a drought there has the potential to cost you at the checkout. Cnns rachel crane takes us to san diego, where engineers are in the middle of building a hightech answer to a growing problem. Reporter with california experiencing one of the worst droughts in the states history, access to fresh water has never been more important, or more difficult. Here in southern california, the largest plant in the western hemisphere is being constructed. It will soon take water from the ocean and create 50 million gal, of fresh water a day. California is in a serious drought right now, and any new Water Supplies are important to the region. We we a 190 billion economy in thick region dependant on water. The question you need to consider, whats the cost of not having enough water . Unlike, lets say, water that comes from rainfall or water that comes from snow pack, were utilizing what essentially is the Worlds Largest reservoir, the pacific ocean. Reporter the carlsbad Desalination Plant will cost approximately 1 billion. The freshwater pumped ten miles underground to a regional Delivery System providing water to an additional 300,000 San Diego County residents. Customers wont know whether theyre drinking desalinated water or not . Thats right. It will become part of the overall supply. Reporter through a process called reverse osmosis, the plant will convert every two gallons of seawater into one gallon of fresh water, filters out 99. 9 of the salt. The salt, or brine, thats removed, is discharged back into the ocean. The desalination process traditionally takes a lot of energy. A plant this size would normally use as much energy in a single day as 70 homes in a year. Officials at the carlsbad plant say theirs will use 46 less energy. The project is not without criticism. Environmentalists point out desalination requires a lot of energy and that brine discharge can negatively impact marine life. Creating more marine wetlands in the San Diego Bay to create new habitat so fish can reproduce there. With respect to the brine discharge we dilute the brine discharge before it leaves the site. Reporter the plant is expected to be completed in 2016. Everybody is extremely excited to see this project coming online and providing us with a new water supply. Thats something. Solve a lot of problems that way. For more on Tech Innovation check out receipt designed cnn money and find our new mid yee and luxury sections and our special section, big money. Million dar back yards in a neighborhood near you and a 21,000 apartment in the sky located in the first class cabin of a luxury jumbo jet. Coming up, this used to be the only way to hail a cab. Now the app disrupting the cab industry. Worth 18 billion. Its only been around four short years. The uber revolution, next. [ girl ] my dad, he makes underwater fans that are powered by the moon. He can print amazing things, right from his computer. [ whirring ] [ train whistle blows ] he makes trains that are friends with trees. [ train whistle blows ] my dad works at ge. Its not easy being green and neither is hailing a cab in the big city. Just ask kermit the frog. Taxi taxi . Know why the cab the wont stop oonchtsy think kermit needs to give uber a try. An ann launched five years ago in san francisco, precisely because it was lard to get a taxi. Now in 130 cities around the world and this week uber was valued at, get this, 18. 2 billion. Cnn money tech correspondent Laurie Segall is here. You sat down with ubers ceo this week. First, explain how this app works. Sure. Think about it like this. We used to go out and try to hail a cab, put our arm up, now the idea, lets just make an app for that. Right . You go to the app. You look around. You can see all the different cars who are there, and literally press a button, and a car will come to you. As opposed to the traditional way, now a tech way to can do and it its taken off. Tons of competitors trying to do the exact same thing. 18. 2 billion. Valuation makes uber more than some of the household names. Hertz, campbell soup, mattel. How do you justify uber . Unbelievable. We sat back and said how on earth is an app worth 18. 3 dl . I asked him. He said i dont need to justify this. Its all about growth. Obviously, controversy. We looked at the protests that happened in europe. I asked about the growth and some of the controversy. Listen to this. To give you a sense of the size of what were talking about, uber is basically responsible for haadding 20,000 jobs to the economy every month. You look at that, the fact were doubling every six months. And really doing billions of dollars in transactions a year, the numbers get big quick. Reporter how much of a risk factor would you say some of the regulatory issues are . Its really common when we go into a city that the incumbents, the taxi industry, are often trying to protect a monopoly granted them by local officials. Reporter is uber competing kind of with the taxis and this kind of thing . Or completely creating a new market . We feel were creating a new market, where people who previously were driving are now sort of getting rid of their second car and in many cases even getting rid of their first car. And sort of depending on this utility, or this service as a utility to get around cities. Around the world. And you know, what he said is obviously there are challenges. I met travis years ago. He was wearing cowboy hat and snakeskin boots, just a renegade ready to do something. Now theyre teaming up with big brands. Just teamed up with American Express for loyalty rewards program. You getted idea theyre not going anywhere and going to fight the fight. Interesting, some of the protests in europe this week actually attracted more people to uber. So interesting about that. I know. Great interview. Thanks for watching cnn money. Find us online 24 7 at cnn. Com. Follow us. Let me know what you like on the site and you might see it here on the show. Have a great weekend. Hello, everyone. Im fredricka whitfield. The big stories were following now in the cnn newsroom. The u. S. Is moving an Aircraft Carrier closer to iraq today. Defense secretary chuck hagel ordered the Aircraft Carrier uss george h. W. Bush to the persian gulf. It has been in the northern north arabi
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