Jim, its clear that even though we had some constructive things happen tactically yesterday, sounds like you dont expect this bounce to last for long were the most oversold weve been i guess you could go back some people say get some great stuff from mr. Williams who is one of my favorite technicians, larry williams. I want to point out, hes done work which says going back to 1933 this is one of the most extreme panics ever. He wants to buy panics on the other hand, you say whos there to buy i feel that were due for a bounce i dont know how much money there is there is to buy much more stock liquidity is a concern in every aspect of finance, at the same time any time you skip over the Public Health issues, you forget that right now strapped in san francisco, strapped in boston, strapped in new york maybe theres not just equipment. The nightmare is occurring what do we make then of stei stifel looking for a 15 rally, gun gundlach not shorting. Why are there these Little Pockets of not optimism but bullishness . Somebody called yesterday in the lightning round about wendys. Wendys was at 6, it went to 9 6 . A lot of companies are priced for insolvency or were two days ago. I think when we got to those levels, people say lets take a fly. Maybe if the economy gets restarted, a lot of these buys are we have to start thinking about when things get better heres what we have to do. I dont mind that thinking the problem is were not Getting Better i think were getting worse. As we get more knowledge of things, one of the most informed discussions i watched last night was on facebook when Mark Zuckerberg was interviewing dr. Fauci. Were still trying to get our arms around the idea that the younger people are infecting the older people were not yet geared at all for what happens when the older people go to the hospital and theres not enough ventilators those are the stories that will define this weekend. I dont think they make is so you want to buy. Against that, its the most oversold its been in terms of the recordkeeping. Yeah absolutely you dont see the credit problems in the stock market dave is following the credit side its really a mess yeah. Listen, you have so many different issues as you know, including liquidity. Its a mess in some areas. You know, jim, to your point, right now when i speak to bankers or management teams or those who were advising them, its just survival mode. Thats what were talking about right now. Yes figuring out what we need to do to make sure we survive, to make sure we get through whatever this is thats one of the key questions and variables. We dont know how long and nobody can seemingly answer that definitively at this point. I guess as we get closer and closer to it, well know when were there. Yeah. Theres things we know that have to happen. Test, test, test people get back to work. If we dont test them, we dont know theyre healthy we need to create some demand in the system boeing is the paradigm in terms of Corporate America where there is demand. All they want is liquidity theres another dead weight part of the economy, whichis the huge Service Economy that is driven by hotels, restaurants, retail i dont know theres the black hole of the System People talk about a trillion dollars. Thats a nice Wishful Thinking number if we can get the malaria pills and they work. Or the regeneron drug works. Or the gilead drug works otherwise one month is fanciful and a trillion dollars is tiny 60 minutes on sunday is going to take a look at the race to develop not just treatments but vaccines as well i think theyll pay a visit to the first clinical trial, jim. Yesterday on twitter, this was jarring to me. You said i dont want to be too dire, but one of them better work, you are referring gilead and regeneron because we cannot shut down the country for months and then the journal oped we have to decide literally theres triage like everybody who is over 80 in italy. Also, by the way, another strain of it over there thats far worse than the strain we hear about. Everybody over 80 looks like theyre being triaged. Thats whos dying you have that side we could be like italy and may not be an issue. The other side is how many peoples lives will be wrecked and the tension, the pain, the suicide, the horror, the heart attacks that will be caused literally by the fact that people are out of work and depleted their savings versus the people who need the hospital beds to fet the drugget the dru. Do we triage the people in the hospital who are in the hospital north of0 a 80, then put the ret of the country back to work if theyre healthy, if theyre not healthy they stay home until we find out whether the combination of the hydroxychloroquine and the zpack, the test in france, you need to see if thats working. You need to be optimistic but also realistic and also someone in the white house or congress to say do we is too much damage putting the country out of business . You need to be a fill lophiloso more than a doctor i hear people saying theyre more worried about a collapse in the economy than they are about the virus itself and how you balance those two, and when we look back did we make the right decisions . One poorly executed not decision but series of events is the lack of testing i dont know if you watch those press conferences the way i do, but i am well aware that testing is still not where it should be. There are doctors offices in new york that were administering tests last weekend and people still do not have results and were told it would be until next week, which more or less defeats the Testing Process in the first place. The idea that somehow were immediately able to get test results doesnt seem to be taking place in the real world, not to mention all the different anecdotes we see of hospitals low on equipment and trying to make do with what they have. We have to deal with those things and lets hope they can figure out an antiviral and get it into peoples hands quickly enough so that it can lower the fatality rate and allow everybody to take a deep breath. Yeah. Testing is probably the ultimate hope for the economy barring the giant break through when it comes to science one thing that len schleifer, talking about regeneron, clearly maybe the most focused on trying to get something done here they need testing to see if someone is currently infected with the virus thats talked about publicly, and they need testing to see if someone already had the virus and has recovered. Thats a different set of testing. They cant do this with just one test theres been no public discussion of this this is the standard seri serialogical test. We need two tests, you need the test that says you have gotten over it, you should be at work that person should be at work. And then if you have the virus, that person has to stay home we need people to go back to work in a responsible way without it, we have no demand and then paychecks have to be put in the hands of people who work at restaurants, hotels. That story will change beginning next week as all of those test kit makers weve been showing you on the screen roll out tests in the hundreds of thousands, and well see that numerator, that denominator rise will that be a positive story or not . I think that people will shrewdly say this is positive because youre getting our arms around it. I dont know if the stock market will be that savvy about it. A couple days ago, g3 drops to two and change after being at seven. Then reports an unbelievable number and back to seven the next day a lot of lottery tickets like that again i think when these numbers come out, people will say i have my money in my 401 k , im 57, 67, whatever age i have to take that down because im running out of money and while they talk in washington about punishing the new ceo of boeing in order to give him money, what they have to do is give me money and theres not enough a trillion dollars is a very small thing. Thats like saying we need four aircraft carriers. Maybe we need like 30 aircraft carriers without analogies to world war ii, were kind of thinking way too small. This is nis not desert storm, wd war ii this is a missiondriven government which is basically saying we have to get the testing done, get the vaccines on the road we have to get the mon money in the hands of people in industries where theres no demand like the Restaurant Industry well said lets bring in danny myer of Union Hospitality group. Its sad to say, i think we all have a sense of whats happened to business in the past couple of weeks, essentially going to zero you made an early decision to close. Since then you announced plans, if you buy a gift card, all of it goes to your employees. Ill ask you for a characterization of whats been happening but also your best ideas for solutions right now. Yeah. First of all, the conversation you guys are having is really, really helpful its a twopronged issue like 9 11, for example. Once we got over the Emotional Trauma of what had happened, at least our industry could stand up and feed first responders, feed families, encourage the public to come back and stimulate the economy by going out to eat and also stimulate Emotional Wellbeing of society we dont have that tool now because theres no green light that says its time to go back to work. Therefore its time to go back to eat and we cannot wait to be in that position but its truly right now as if the entire Restaurant Industry, which, by the way, there are 600,000 restaurants in america we think about huge Industries Like airlines, automobile manufacturers, as well we should, we dont often think about restaurants because there are so many independent mom and pa restaurants that you dont necessarily know about how many there are. When you multiply 600,000 restaurants and you say if on average each one of those restaurants only had 100 workers or 50 workers, you can see the magnitude of the problem in terms of peoples employment, in terms of products that are not getting bought and sold. And i would say, you know, a running theme throughout your conversation has been the emotional, fear part hospitality is a word whose root is hope. One of the real reasons, besides employment that we cant wait to get back to cooking for people and welcoming people to restaurants is that people being with people is hope. Thats one of the real tragedies of whats going on what do we need . We have to recognize this is a twopronged issue. Its safety and health, have to keep people alive or all bets are off. Then it is rebuilding peoples lives. I would start with the people themselves even before the businesses it sure would be good if the government would freeze the obligations and cost structures that people have, rent, taxes, every one of the expense lines that restaurants have. It would be good to freeze that. I would actually spend more of the money taking care of the work force because a lot of the people in our industry work on a daytoday, week to week certainly not more than a month to month basis and we want to make sure our work force has been fed, has been has a roof over their head and is healthy by the time we need them back. I dont know when its going to be, but whenever we do get the green light its safe to come back to work, keep in mind its going to take a good month or so to recruit our teams back and to get them trained before we can serve the way we used to because operations will have changed so much . Operations will change, and we had to lay off 2,000 people, we want to fight another day, if we are not around to be solvent, what good are we to them if 80 of the work force is gone, yeah, were trying everything we can to stay in touch with people via zoom calls, emails, intracompany communications, but theyre gone imagine spring training for a baseball season where on march 1st, instead of the teams starting their month of spring training so that they could start the regular season, imagine if the general managers of the teams had to start recruiting on march 1st and creating spring training at the same time. Im not complaining about that im just trying to share a dose of reality i loved what i think it was jim who said that as soon as we can start to say who can come back to work, who for whom is it safe to come back to working i know that well start to see some green chutes in our industry the minute we hear that, well put people to work well start by cooking for people in our company. Then start to cook for people in the community. Yeah, it wont be restaurants where you gather, it will start off by being takeout and curbside pick up, but we cant even do that in our company safely now until we hear that people can come to work without fear danny, youre so right. I enjoyed my the last night i was happy was my 65th at your restaurant thank you very much. Danny, you were doing two things that people are not talking about. One, youre actually helping your workers second, youre getting rid of your pay i think that that is incredibly selfless, you have to be appreciated for that one problem that america has right now, is that they feel the bosses, the managers will be the winners, and the workers are the losers youre trying to do both my restaurants im struggling we laid off people early on monday i think that i dont know if i have the wherewithal i think a lot of Restaurant Owners dont have the wherewithal to reopen you should speak to the notion of capitalization of most of the people it is a shoestring industry. You built a great empire, but can you speak to the industry where they dont have 1099 employees, cant get a payroll tax cut. The unreal nature of how Little Washington knows about our industry i think you nailed it, jim. This is what i was trying to say earlier, because we are such a disaggregated industry, its one of the great things about restaurants, how many entrepreneurs got into the business, how many employees got their first, second, third job in our industry. We dont necessarily speak with one voice. And i think that the independent restaurants in this country are finally coming together i was on two or three calls yesterday with a lot of independent restaurateurs who were basically saying how can we have a voice and how can we let washington know that this is a massive, massive part of the economy . I think Andrew Andrew ross sorkins notion of government for all is an interesting one we should look at i want to make sure our industry doesnt get lost with respect to my compensation, that works for me, it doesnt work for most other restaurateurs. I never would want to suggest that that is the way an independent restaurateur should go its tough times its tough for the employees but also tough for people who have taken such responsibility for hiring people and putting a lot of people in the work force who are now stuck with the bills i have not seen a lot of landlords stepping up and saying well stop charging you rent i have not heard a lot of Utility Companies saying we know you have no income but we wont charge you for gas and electricity in your restaurants until this thing is over so we need everybody to step up now. This is an economic and safety wartime effort right now i think we all recognize that. I want to put a plug in for one other thing. You guys over the last five years or so have been amongst the people that asked me and others about the wisdom of eliminating tipping in our restaurants. If ever there were a time where i feel like that decision is actually being reinforced as a good thing, for the hourly workers on our team who face unemployment as of this week, when they go to the unemployment line, their compensation that they can show on their work2, because they were not paid adjusted minimum wage but a wage that accepted the fact there was no tipping, so it was way above minimum wage, that makes me feel a little bit validated on the decision we made five years ago to eliminate tipping i look forward to the day we can have the discussion again about the tipping policy when all the restaurants are open and a discussion now about forbearance up and down, which we have been talking about in terms of not being able to pay your bills take me out when we are through this, when we get to the other side what are your expectations for what its going to look like in terms of how many restaurants are able to reopen, and whether or not behavior in some ways will be forever changed amongst people in terms of their willingness to socialize in the same way and patronize a restaurant at the same frequency. I think people are resilient. I really think that human beings are a very social creature, social animal. Thats one of the reasons that restaurants play such an Important Role just, again, think about what weve all been looking forward to we were in the process of planning graduation lunches and dinners, easter, weddings that got canceled for june. All the reasons that people come together just to celebrate friendship thats not going to go away for those restaurants that survive but heres what i would say. Even before this, our industry for the last id say five or six years has absolutely been moving in a direction where because the quality of food available in fast casual and fine casual restaurants has and with delivery and takeout has been on the rise any way, even without this, so when we come back, and we will, people are going to keep eating, thats a good thing people will not stop eating. The question is, where will they be getting their good food im going to bet right now that we will see fewer full Service Restaurants than the number that we went into this with and well start to see even more acceleration in the trend that already started with really good food that is available to be served as takeout, as pick up, quick service. I think thats going to be a really, really good category i cannot wait. I think that autumn of this year should be an exceptionally good time in our industry because theres going to be so much pent up demand to be with people. Again, it all starts when some Higher Authority turns on the green light and says first of all its safe to go to work. Its safe to go out to eat right to that point, danny, fauci is on the today show this morning on how long americans will have to stay at home. Going to be several weeks. I cannot see that all of a sudden next week or two weeks from now it will be over i dont think theres a chance of that. I think it will be several weeks. We keep talking about this idea of workers needing a place to go back to once they get the green light. For you, you must have run some models