Markets overseas to go down, particularly, in asia and europe. We fed off their down day, and we are going triple digits. Dow down 52 appointments, off the days lows, but its still down, nevertheless, jcpenney getting a big boost today, up 7 . Why . Right. So jcpenney, the deal with macys, battling over the Martha Stewart products, and the low was 13834 today. We came up off the lows. Still worries that the fed may cut off the cool laid in stimulus. Petroleum, and higher and so was [inaudible] david bells are ringing as you can see. After we go through trades with various traders. Its negative territoriment you cant put a lipstick on the pig, but you can say its been worse today. It looked at one point like the dow was going down in triple digits, a little repeat of what happened yesterday. Didnt end the day that way. Nasdaq, all day, really worrying investors. Its down just over 1 . At one point, down over 1. 5 . It is off its lows. Again, thats the best thing you can have. All indexes off the days lows issue and thats good news. Sandra the selloff this europe with european stocks posting biggest losses in two weeks with concern over weak Economic Data weighing on hopes the region emerges from recession soon, david. David vix, of course, down to historic lows, down to 13 at one point. Whenever its that low, you worry about it climbing again. In fact, people make bets in that direction. Thats what happened today. Its off the days highs, remember, when the vix is high, the market is down. It was up about 10 at one point. As you can see, closed up about 4. 5 , but it is on if tomorrow, the vix is up again, it could be down almost 30 for the week. That is a huge rise for the vix in the volatility index. Sandra contraryon market indicator, david. The laggers, a look at the etf xlb. Shares covered earlier losses, but closing still down, nearly 1 on the day. David all right. We have a couple big Earnings Reports coming in. Were awaiting on hp and aig. The bank that used to be essentially owned by, you, the taxpayers. Well bring you the numbers as soon as they are released. Markets shaken up by the minutes released from the Federal Reserve yesterday. Coming up, we have dick evans, chairman and ceo of cullen frost bankers, member of the advisory banker of the fed, and his bank didnt take a dime of t. A. R. P. Money and was able to survive and grow without t. A. R. P. Funds. What he says is hurting our economy and what we need to spark more growth. Sandra crocs ceo joining us first on stock business, a pop today, following earnings, find out what the foot ware company is doing to follow up a record setting 20 12. David, the shoes still sell like hot cakes. Daifd david they came back because of good management. Well talk about that, but, first, what drove the markets today with the data download. A sea of red on wall street with all three ending lower the second day in a row. S p in negative territory for the week, on track to snap the longest winning streak in more than two years. Materials, financials, and technology the worst performing sectors today while telecom and Consumer Staples posted gains. Americans applying for jobless benefits rose more than expectedded last week. Initial claims jumped 20,000 to 362,000, and revised higher, and this happens often by 1,000 to 342,000. Existing home sales edged higher in january as inventory dropped to the lowest level in more than 13 years. The National Association of released of realtors had it 4. 92 million, sandy . Sandra first to the news room on aig earnings out now. Looks like the Company Actually was expected to post a loss of eight cents a share. Coming in and posting a gain of 20 crepts per share. This, even factoring its up more than 3 in after hours trading, this even after factoring a loss related to super sandy. The company posting losses, insurance losses estimated at 1. 3 billion in the Fourth Quarter. It had estimated this this is the number is came in line with, and shares are up 3 . I think hp crossing right now, see if they give us a few seconds, well look at that as well. David let put up after hours trading on aig. We had big huer gain sandy, aig foots the bill for a lot of rebuilding thats taking place. They factored in a little over a billion dollars for that, but, remember, Congress Just passed a 60 billion Hurricane Sandy bill. That should take a lot of the weight off the shoulders of aig. I think i heard that we have hp numbers. Go ahead. Yeah. Looks like 82 cents a share in terms of earnings, revenues, 28. 4 billion, and shares in after hours are trading up higher by 4. 5 . I have not been able to dig in to see sort of where the beat is coming from, but at least the initial blush, eps, better than expected by nine cents, and revenue better at 20. 4 billion, 82 cents per share. Sandra a beat on top and bottom lines. 82 creants a share, an 11 cent beat. The question is whether or not hp breaks off into pieces, the companys made it public that they dont intend to do so, perhaps this Earnings Report is a sign that maybe its going to stick to its guns and not do so. Lets get to tim holland if the pits of the cme and market panel as well standing by. Brine, Financial Market strategist, also david, equity portfolio manager, and i want to start, because the earnings are just out, tim, we have got a big beat by aig, not only that, but it was a gain in earnings quarter for aig rather than a loss which many anticipated. Hp, a substantial beat as well. Both stocks higher. What does this tell you . Well, aig, im not surprised at. I think the real trick there, and i have not seen it, its in the investment ports folio. Its been a tough job, you know, a slow Interest Rate environment, but, obviously, they are doing something good. The other thing, hp, thats a surprise, its a 5th quarter in a row they beat, but this is so beaten down that it was probably due for some sort of good news, again, i take that as, you know, some positive, but Going Forward, all three segments of the business, what is it . Pc server and printer business down, i think, maybe six sequential quarters, so, again david second executive quarter of revenues contracting. Not a stock, but index, the vix, down as low as the low 13s. Its up again over 16 today, closed at about 15, in the high 15s. Is that a worrisome indicator or following the lead of the market . I think its following. Theres not been a 10 correction in the market in 15 months and not a 3 correction since november. Its falling following now, but people are conscious of the end of the month with the italian elections, sequestering process, and a debt ceiling. Sandra you got the fed now thats starting to talk about this easy Monetary Policy going away by 2014, james, st. Louis talked about it today. Markets dont know which way to go. How do you play the fed now . Its difficult. They buy, currently, 85 billion a month in mortgages and treasuries, and 80 is not see why the market is bid up. They dont know how they end the process either even though there could be lip service to it. The lynch pin to the market is when they stop, and you see, you know, how it reverberates around the globe, especially in asia, europe, and commodities. Its correlated. They caused the correlation now and intervened in the price sis dove ri process now. Its hard to read. You know what happens when they end, its not pretty for the markets. Sandra tim, well watch. Thank you for joining us. David buddies in the cme pits, thats where it happens. We have brian and david to talk about all of this. First you, brian, if i can. Seems like it may be time for an equity breather here. We just mentioned the vix, of course, thats way up, it was way down, so historic lows. Arent we in line for equities now . I think so. The market is overbought and times for a correction. Well, it may be that were here, but theres enthusiasm this year. I agree. I think the vix, as low as it was, a sign of complexity that bothers me, and i think in going t still not up to the historical average, closer to 19 or 20. It seemsre ri eerie to me after the fiscal cliff issues were resolved, people stopped worrying about sequestering. I think they react more Going Forward because well hear about it in the news every day from now to march 1st, and then we have the fed taking away the bunch bowl at some point. You can see this is beginning to weigh on the markets. Sandra you are bullish but believe a correction is coming . There is, and to maybe have a rebuttal to the previous guest, last year, the markets did have two 10 corrections with intraday highs and lows. We get a 10 correction on average once a year. If we do get one, use that opportunity to be bullish on stocks and returns of the stock of the bond market and hedge funds and asset classes. The stocks that were more expensive, a couple days ago, will be down 10 , maybe as much as 14 or 15 in isolated cases. Its time to be a net buyer. David if you hold equities now and wonder whether you should hold the portfolio, where do you go . What do you dump now or what do you profit from right now if youre a little skiddish about this market . Oh, i dont want to leeve nip with the impression we were down on equities. All i was saying that with the market having gone up as much as it did in recent weeks, extrapolate that out david brian, understand you bullish about the prospects, but people out there, as you know, are skiddish whats happening. Aint for nothing the vix is going up. What do, if i feel like i want to take off profit, where do i go for that . Oh, we do favor some sectors over others, although its not a good day has not been good for technology recently. We like the technology sector, some trade nine times earnings versus 13. 5 of the market of a whole. Investor capital is good, and spending on technology went up a lot in the Fourth Quarter, despite all the talk about uncertainty putting a damper on economic activity, it turns out the ceos did the opposite, increasing technical spending. They think that goes on. Consumer discretionary, particularly, because the industries support Home Furnishings benefit, we think, continue to benefit from the upturn in housing. We would watch out for materials, neutral on energy, but were not just even though financials have been having a good run, we are not brave enough to go there. Sandra david rntlez david, you like asset management, including financials you are bullish on if we get a downturn, its a buying opportunity. Whats individual stock names you recommend now . Sure. Look across the market, not just large cap name, like qualcom, they win the chip war. A little smaller names, avnet, a Technology Name on the semiconductor and Consumer Electronics selling at ten times earnings. I think that represents values as it provides positive return on investment capital. More consumer related interactive, the parent for qvc along as evite. That continues to create value to shareholders. Theres a few names that in a market i think will continue to ward individual Stock Selection and for active investors to get the best of the index in 20 13. All right. By the way, we have to mention the last time, david was here was in november, mentioned google, oracle, cbs all up doubt digits. You have a good track record with us. Dont fall in love with the performance, david. David thank you, appreciate it. A lesson learned, thanks. Sandra hightech items dependent on minerals and metals, many of which are imported putting our country a step behind. U. S. Rare earth announced they obtained a new permit to drill in montana. Its a big deal because it takes years to get approval for this. Coming up exclosively on fox business, the president of rare earth tells us why america has a costly mineral deficit and what needs to be done about it. David rely on the chinese for that when we can get it at home. The clock ticking away to a string of automatic cuts. They go into effect of a budget agreement is not reached while the debate over what to cut continues, the white house pushes for a 50 billion project. 50 billion increase in spending . Yes, what could it be . Well tell you coming up after our break. [ indistinct shouting ] [ indistinct shouting ] [ male announcer ] time and sales data. Splitsecond stats. [ indistinct shouting ] its so close to the options floor. [ indistinct shouting, bell dinging ]. Youll bust your brain box. All onhinkorswim from td ameritrade. Sandra hp up after reporting better than expected earnings. Nicole on the floor of the new york stock exchange, looking like hpq holding on to nice gains. Its obviously a beautiful move here what we see for them. If you are in the stock, you love the dow, want it to do well. This was a big loser in 20 12, now doing well after the bell with the quarterly numbers. The forecast looking good for hp, in addition to the fact that whitman is on the way with a fiveyear turn around plan. Management changes, seen all kind of plan changes. While they have not done well with pc sales, they have other things they are doing better with, and that is why, you know, they are seeing demand for their enterprise services. Were not talking about the pcs and printers. Its all the other services that run websites and all kinds of things that hp does. Thats where they see the demand, and, as a result, you are seeing it doing well. In addition, the other thing that we should note with the stock trading higher after hours is they have also been cutting a lot of costs like so Many American companies, but they, too, have done that. This is a great quarter, look to be doing here, and certainly one to watch tomorrow. Sandra, dave . Sandra certainly. Hp up a buckten now, up 6. 6 . Thank you. David thanks, nicole. Our country continues to rack up debt, and as they fight over what to cut and what to hike, the white house proposes more spending. Sandra a 50 billion project, dave, a big one. Peter . Thats right, sandra and dave. The president is pushing 50 billion in additional Infrastructure Spending that would include 10 billion for a new infrastructure bank. The president telling a boston tv station yesterday, quote, we want to see if we can Leverage Private dollars into the process so that taxpayers dont foot the whole bill. Supporters say a bank could raise additional billions for road, bridge, and rail projects from private investors through government guarantees of debt that it issues, but the proposals, these proposals look like they are on a bridge to nowhere right now. House republican majority House Republican majority leader eric cantor dismissed the bank idea as, quote, a fannie and freddy for roads and bridges, and the committee opposes financing any new Infrastructure Projects with more deficit spending. Some conservatives also want states to take over more Infrastructure Spending. What it does is solidifies a washington centric approach to transportation policy when its states and localities that know needs better than washington and better able to use private dollars and public dollars to meet those needs. We dont need more Washington Management and control of valuable and scarce transportation dollars. But the chairman welcomed the president s proposals to cut government red tape for getting new projects approved. Dave, sandra . David incredible. Petering thank you. If the spending goes through, it could provide a boost for Companies Like caterpillar, granite construction, volcan materials, companies that rely on government contracts. Well watch the story and these stocks for you. Beeter barnes, thanks again. Sandra do you know theres 19 Strategic Metals and minerals on which the u. S. Is 100 import dependent . Theres serious demand for the items, especially hightech ones. Up next, find out why government red tape slows growth right here at home. David we have the materials right here underground. Plus, we have oil falling. You are not seeing it reflected at the pump, are you . Actually, the cost of filling your tank could be going even higher as oil goes lower. Whats going on . Well tell you why coming up. i david one the few banks that turned down t. A. R. P. Funding five years ago was frost bankers, reviewed, even though panicky trading officials warned few would survive, but they not only survived, but thrived on their own. The fed put the banks ceo on the advisory council. What does he say is needed to grow the economy . Good to see you. Congratulations without t. A. R. P. Money after saying it couldnt be done. How were they when they came to you saying you had to take t. A. R. P. Money . Well, what we did is figure out what the true cost was for us, and we had plenty of capital, didnt need the money, and we were aggressive in going to them before they came to us. David interesting. Saying, thanks, but no thanks. David had your arguments before they knew what the problem of. It was not easy. They said if youre broke, youre not going to get the money. If youre good enough, youll qualify. David of course, a lot of bad banks got the money because of political pressure. We saw that happen with the bank that Maxine Waters husband was on the board with, for example. Politics was involved. Thats history. Talk about whats happening today. First of all, today, there was another downturn in the markets, banks took it on the chin. A temporary thing or down slide for banks . Well, i you know, theres still so much uncertainty. I mean, you and were fortunate to be in texas. We only operate in texas. The unemployment is lower, the job growth is about two and a half times the national kind, but we are a part of the United States. You have to remember that. David much to the chagrin of texas, by the way, yes. We have to deal with that and compete with too big to fail. Were number five in the state. The four bigger than us have 52 of the market. We have three and a half, and so we like going headtohead. David interesting point. People say one of the purposes of t. A. R. P. Was to cut on too big to fail, but its been the opposite direction. The five top banks have more concentration of assets than before t. A. R. P. Exactly. David how does the Smaller Banks, such as your own, compete with the monster banks . You focus on the customer. You know, we i cant change the rules. Its a dump truck. Doddfrank was a dump truck of rules. They are still coming out. If you focus david slowed you down, by the way, all the doddfrank rules . Sure, it has an effect, had the greatest profit in our history of 145 years last year. If you focus on the customers, give quality service, which we got the jp power for retail best in Customer Service three years in a row, grinich we have 22, no other bank has higher than that in the United States. Its not about the rewards. Its about the customer were responding to what they want. David Old Fashioned salesmenship, you please customers than the big banks removed from the customers. Talk about the fed. They printed a lot of money. Its been enabling politicians to spend more than they have. The government is not paying penalties for spending all that money on debt, but what else has it been doing . The money its printing does not seem to be circulating on the part of the banks other than the Smaller Banks like your own. Well, first of all, im going to speak for dick evans, and i would say you can were a wash in liquidity in this country, but if you got that much uncertainty, people wont borrow money. David theres got to be a price we are paying. We have not seen it in inflation yet; although, prices have gone up, but theres not been a huge amount of inflation. Arent we bound to . I believe we will. At some point and with the 3 trillion the fed has and those things, if they figure out how to unwind it with that happening and think they can, its their decision, but i dont see how we get around it at some point, but, you know, the real issue is were a wash in money, but youve got to believe that tomorrow will be better than today, and when you dont believe that, which the public doesnt, you dont invest. David do you believe that . That tomorrow will be better than today . No, but i believe in helping my customers get through this period of time. You cant make big bets, but they got to continue to chip away like frost. We have grown our Balance Sheets since the end of 200772 . Weve grown 2 billion a year, and we have double digit growths in the loans last year. Were continuing to build the company. Its just blocking and tackling work. David dick evans, a book could be written about, the good work done since 1997. Thank you, my pleasure. Sandra if we want hightech high temperatures built at home, we need more Rare Earth Minerals and metals. Problem is many need to be imported, but maybe they dont need to be. Find out whats holding us back, next. Plus, croc, reporting 20 12 was a record year for the company. Coming up first on fox business, the ceo tells us how his plan to make 2013 another record year. Today is gonna be an important day for us. You ready . We wanna be our brothers keeper. Whats number two we wanna do . Bring it up to 90 decatherms. How bout ya, joe . Lets go ahead and bring it online. Attention on site, attention on site. Now starting unit nine. Some of the worlds cleanest gas turbines are now powering some of americas biggest cities. Siemens. Answers. Citrucel is different its the only fiber for regularity that wont cause excess gas. Its gentle and clinically proven to help restore a maintain regularity. Look for citrucel today. Its delicious. So now weve turned her toffee into business. My goal was to take an idea and make it happen. Im janet long and i formed my Toffee Company through legalzoom. Never really thought i would make money doing what i love. [ robert ] we created legalzoom to help people start their business and launch their dreams. Go to legalzoom. Com today and make your business dream a reality. At legalzoom. Com we put the law on your side. [ male announcer ] every car we bui must make adrenaline pump and pulses quicken. To help you not just to stay alive. But feel alive. The new cclass is no exception. Its a mercedesbenz through and through. See your authorized mercedesbenz dealer for exceptional offers through mercedesbenz financial services. Sandra time for a look at todays market drivers. Stocks falling for a second day following weakerthanexpected Economic Data. The techheavy nasdaq the biggest loser falling 1 . Tears, financials and Technology Led todays declines. U. S. Prices for Consumer Services and goods were unchanged in january for the second month in a row. Higher costs for housing, clothes and airline fares were offset by a decline in energy expenses. Socalled core prices which dont take into account those volatile food and Energy Prices increased 0. 3 . And the philadelphia Federal Reserve reporting their index of Business Activity posted a surprise decline in negative 12 1 2 from januarys negative 5. 8. Economists had been expecting a reading of plus one of the index is an indicator of Business Conditions for manufacturers in the region. Well, rare earth metals, theyre used in a variety of products from your iphone, to electric cars, military Defense Systems but the u. S. Is currently tied for last with pap booyah, new guinea for a permit to get a new mine. So david, were very dependent on imports. David new guinea. No offense to the papua, new guinea viewers but our next guest got one of the hard to get permits. Dan, congratulations, but how do you do it . I know the hoops you have to jump through. Maybe you go through some of those hoops for the audience who dont know how difficult these regs are. David, im happy with be with you. Were quite pleased. U. S. Rarers, which is our company, we have Six Properties across three states, idaho, montana and colorado. We today announced we received just a few minutes ago announced we received our drill permit for our property in montana. I must say we have very positive relations with the bureau of Land Management federal agency and the forest service, a federal agency, in terms of working with us to make sure we get the permits in timely way. David dan, we showed the time it takes to get through some permits. Yeah. David i used to cover latin america. It was a joke how long it would take to set up a business in latin america. Sometimes months or years. Here it would take five minutes. Were going in exactly the opposite direction in the u. S. You have friends there. You rely on these bureaucrats for help, but some of that red tape has to be cut, no . Some of that red tape has to be cut. It takes us on average in the United States seven to ten years to permit a mine to move from discovery into production. That compares, for instance, with australia, another industrialized democracy takes 18 to 24 months. Yearandahalf, two years. Canada, three years to five years. As you said in the setup, as i wrote in the article a week back, were tied for last place amongst mining nations with papua, new guinea for the time it takes. Sandra that is a staggering statistic. Let me fire a couple questions at you. Youve got the permit. When can you start drilling . We can drill as soon as the weather clears there. We have to deal with snow and conditions getting access to the drill sites. Sandra okay. Were in a very fortunate position because well be in a field and very active 2013. Sandra what are you drilling for . Weve been talking about what kind of technology these Rare Earth Minerals go into. Right. Sandra what are you drilling for and what kind of products will they be used to make . Well, were proving up the rarers, which are 17 elements on the periodic chart down at the bottom. They present all together. We believe we have good concentrations that are economically viable in the area in montana and also idaho as well. Theyre used in hightech. Theyre used in green tech. Solar, wind were depend pent on chinese supply for two does. David that is scary. Were at cyber war with the chinese or theyre at war with us, hacking into some of our systems. Were dependent on china for the Strategic Metals. Do we have the capacity to mind the same capacity that were dependent on china for. China provides 97 of the rare earth supply for the moment. That is a huge supply. It is one we handed to them because the United States has reserves, known resources that were working to prove up. Our company and other companies are working to do that now. We have not been in the game. Were getting in the game but it takes time because of this permitting process to move into production. During that time, were at disadvantage. Sandra congratulations getting the permit. David good start anyway. Sandra thanks for joining us to share the news, dan. Thanks very much. Im happy to be here. David appreciate it. Come back to see us. Crocs, the stock is up after reporting a record year. Coming up next the ceo of crocs joins us on a first on fox Business Interview to tell us how the new spring line in expanded Retail Stores could make 2013 a even better year. Sandra plus despite the drop in oil prices you could feel a lot more pain in the pump down the road. Well show you why. Look, if you have copd like me, you know it can be hard to breathe, and how that feels. Copd includes chronic bronchitis and emphysema. Spirivhelps control my copd symptoms by keeping my airways open for 24 hours. Plus, it reduces copd flareups. Spiriva is the only oncedaily inhaled copd maintenance treatment that does both. Spiriva handihaler tiotropium bromide inhalation powder does not replace fastacting inhalers for sudden symptoms. Tell your doctor if you have kidney problems, glaucoma, trouble urinating, or an enlarged prostate. These may worsen with spiriva. Discuss all medicines yotake, even eye drops. Stop taking spiriva and seek immediate medical help if your breathing suddenly worsens, your throat or tone swells, you get hives, vision changes or eye pain, or problems passing urine. Other side effects include dry mouth and constipation. Nothing can reverse copd spiriva helps me breathe better. blowing sou ask your doctor about spiriva. [ male announcer ] how could switchgrass in argentina, change engineering in dubai, aluminum production in south africa, and the Aerospace Industry in the u. S. . At t. Rowe price, we understand the connections of a complex, global economy. Its just one reason over 75 of our mutual funds beat their 10year lipper average. T. Rowe price. Invest with confidence. Request a prospectus or summary prospectus with investment information, risks, fees and expenses to read and consider carefully before investing. Im Shibani Joshi with your fox business brief. Nordstrom is out with mixed Fourth Quarter results. Earnings for the Upscale Department store Beat Estimates by six cents at 1. 40 a share. Revenues slight letter lower than expectations at 3. 6 billion. The Securities Exchange commission is latest battleground whether corporations must make additional disclosures of political contributions. Our own Charlie Gasparino is reporting that the sec is set to decide on a new rule forcing corporations to further disclose political contributions to groups like the u. S. Chamber of commerce. The sec tells gasparino it has received close to 500,000 letters from advocacy groups and Union Organizations with ties to the Obama Administration calling for increased disclosure. That is the latest from the fox business network, giving you the power to prosper. To grow, we have to boost our social media visibility. More likes. More tweets. So, beginning today, my son brock and his whole team will be our new senior social media strategists. Any questions . Since we make radiator valves wouldnt it be better if we just let fedex help us to expand to new markets . Hmm gotta admit thats better than a few likes. I dont have the door code. Whos that . He won a contest online to be ceo for the day. How am i supposed to run a business here without an office . [ male announcer ] fast, reliable deliveries worldwide. Fedex. Is. Sandra news on pnc bank. The nations ninth largest bank. Theyre announcing that William Demchek will take over as ceo of the company. He will succeed james rohr. Not much action in afterhours trading but i noticed the stock was trading a little bit higher. David . Were moving on to crocs. We have the fun colorful shoes. Crocs reporting Fourth Quarter earnings after the close. They beat the average revenue estimate but provided Current Quarter earnings outlook that fell below forecasts. David what can we expect moving forward. Joining us for a first on fox Business Interview, john mccarvel, ceo and president , largely credited with turning this company around. Good to see you, john. Thank you for coming in. Appreciate it. I want to put up for our viewers a oneyear stock chart. I know youre focused getting best product to the consumers satisfying their every needs and there are investors that watch this program and they look at this chart, even though Goldman Sachs came out in november said your stock is way undervalued, i think their target is closer to 20 than 14. 90, what do you think investors are missing right now when they look at crocs and the work that you have done in really revamping this organization . First, thanks for having me. I think, you know, it is very difficult to understand a global brand like crocs for investors. With the majority of our cash overseas and today building cash over the last three years, it is hard for them to kind of understand why we dont repurchase shares or why we dont deploy cash. David what could would you tell them . Why dont you do those things . Well, you know, i think we talk about retail expansion. That is the best use of our cash today. Weve grown our retail store cant over 535, 537 stores. At the end of the year. That is a great use of cash. And unless the tax laws change in the u. S. To repatriate money into the u. S. , it is just not feasible for to us do that. Sandra actually, john, i want to hold up this shoe here. This is news to me, that youre actually putting laces in the crocs. I havent seen these. Maybe im a little bit behind the times. Who is wearing these . This is obviously a little kids sized shoe im holding up but youre talking about how global your company is in nature. Where are you Opening Stores . Whats the trend right now with your company . Yeah. I think the shoes youre holding is very sin know straight tiff take on innovative take on boating shoe for kids. Very innovatetive design. Very innovative construction if you look how the shoe is put together. That is what the company was built on, is innovation. If you look at some of the other new products that we bring to market this year, fun, colorful, lightweight. And that is really what brings consumers into the brand. I think in the early days we didnt have the retail presence. And we suffered with people still thinking that we build clogs. Those days are long gone. David one of the ways he turned the company around. By the way, john, i dont want to say something. We had white house advisor on. Talked about repatriation of capital. You have money abroad. Apple has 150 billion abroad. The white house claims if they change the tax law, have a holiday to come back wouldnt of affect the economy, wouldnt affect your decision to grow here. Seems like you were disputing that, were you not . Well, i think Many Companies would repatriate dollars to the u. S. If given the opportunity to do it on a taxfree basis. Talking to other ceos that run other companies, i think we all feel the same way. As weve grown our brand globally today. There is lot of cash overseas. Yes i would dispute that fact that companies would not repayry trait. David would use it to grow here . It could actually create jobs here if there were that tax holiday . Yes, thats correct. Sandra were showing the Growth Outlook for First Quarter 2013. Right now youre projecting 13 to 15 . Do you stand by that forecast, john . We just talk about it yesterday. Backlog with our, you know, key wholesale partners is up, you know, significantly, 15 yearoveryear. On. We go into the first half of the year with a lot of innovative products, a lot of confidence with our wholesale partners here in the u. S. Sandra okay. With 68 of the our revenue internationally were a pretty welldistributed company today. Sandra and a big company at that. By the way price to forward earnings ratio is under ten. As david was mentioning earlier, seems pretty cheap right now. 1. 4 billion market cap. Your stock gained 2 . John, thanks for joining us from crocs, looking for a cheap stock and a good Company Seems what were talking about here. John, appreciate it. Sandra oil prices are falling but the price of gas, it continues to rise. There is a type of a perfect Storm Brewing that could push them even higher. Our own jeff flock has the details. Sandra, youre looking at a oil refinery that will soon be configured to process cheaper canadian crude. It will bring down gas prices at some point. But in the short term, not so much. I will explain why when we come back. Sandra oil prices are down 2. 4 today, even with Lower Oil Prices there is no sign of relief from the pain at the pump. Gas prices climbing the 35th day in a re. David prices could go higher even as oil prices are going lower. Jeff flock is trying to figure this out. He is at whiting, indiana with a little explanation explanation. It is not about the oil price. It is more about refining capacity. Like the refinery behind me. That is the bp refinery in whiting. Biggest refinery in the u. S. It puts out a lot of gas. Right now it is in the midst of an upgrade to process the cheaper canadian crude. A lot of the plant is shut down. So consequently theyre not putting gasoline out. Look at the price of oil. You just mentioned it. Down over 2 a barrel today. But it has no effect on this problem with refining capacity. But one day, this refinery back here, if it processes canadian crude, that is trading 26 a barrel cheaper than wti. That is a great thing. In the short term however, gas prices are still high. Take a look at threemonth, oneyear, fiveyear, no matter how you look at it were at the high end of the rollercoaster right now. 3. 77 today, the aaa fuel gauge report. Not going down anytime soon we dont think. How do you make money if youre losing money at the pump . Look at refiner stocks. Individually, Companies Like valero, uptodate, this year. 30 . That is because their margins are higher. Even though some refineries have been shut down and have maintenance issues, theyre actually able to charge more for the gasoline because there is less of it out there. Tesoro is up 20 yeartodate. Analysts say that their earnings will be up about 146 when they report next time. Holly frontier, another big refiner, up 16 yeartodate. Contrast that with a Big Oil Company like bp, the guys behind me, who now have their refinery out of capacity, bp yeartodate down about two . Right now, it pays to be a refiner, not so much an explorer. But at some point, as we say, this plant is going to, you know, do what is called wcs, western canadian crude. That today, based on the trade at the cme and the nymex, down 26 below wti. So they can make money in the future. Save some money at the pump in the future. But short term, not so much. Sandra jeff, im so glad you did this story. A lot of people, david, havent really understood, jeff, why oil prices are coming down but our gas we could have all the oil in the world. But if you dont have the refineries to turn it into gasoline . David if the ingredients are more expensive. Gas is more expensive. Jeff, thanks. Good stuff. It is a complicated world. Thanks, guys. Sandra does the motion of the ocean help with the aging of wine . There is test being done right now to find out. David motion of the ocean. Hey, some wines found in ship wrecks sell for a lot of money. Well tell you about the experiment right after the break