Firstquarter profit almost doubled. Ubs earnings for Wealth Management rose 54 pure the Bank Restructured recently to focus on that unit. Ubs meanwhile says it is close on an investigation. Ubs might face a 1 billion fine. Claiming responsibility for the attack on antimuslim event in texas. The event showcased cartoons of mohammed. Many muslims feel that is blasphemous. Two were killed after they shot a guard. The fbi said it was investigating one of the suspects for nine years. The streets of baltimore are calm. One week after writing following the funeral of a black man who died. There were false reports that police shot a man. Troops are gradually withdrawing. President obama on David Letterman last night incidents in baltimore and elsewhere are starting a new conversation about racism in america. President obama a lot of things we have seen in ferguson, new york, and baltimore have been going on for a long time. We are more aware of it because if you see something on video, it is hard to deny. Communications have improved and that is a good thing. Betty the president said a handful people cause problems for the community and police everywhere. The death of David Goldberg, a Mexican Government official says he fell from a treadmill and suffered a head injury. The 47yearold ceo of surveymonkey was the husband of facebook chief operating officer sheryl sandberg. Those are your top headlines this morning. We getting earnings news out from disney, which had released their earnings the day after in relation to the goldberg passing. Disney coming out with their earnings 123, beating yet again. Scully scarlet fu has much more on the results. Scarlet you said it, one dollar 23 per share in terms of a debt adjusted earnings. That beats the consensus. It is higher than the most bullish estimate from analysts we surveyed to overall revenue 12. 68 alien dollars higher than 12 and a quarter billion dollars and an increase from the same time last year. If you look at the results of the different segments, parts of the resorts and consumer rodericks Interactive Media saw a miss in terms of their revenue. Other businesses, media networks, studio entertainment came out higher than anticipated. Capital markets said for disney this year, it will see comparisons because last year it had so many Box Office Successes that it might be a little lower than last year. We also have a lot of movies to look forward to such as avengers 2. Later, star wars here betty star wars. Betty scarlet fu at the breaking news desk at disney. On the opposite side, shares of sprint are dropping in the free market trade after the company beat wall street expectations. They just turned higher. Funny how that happens right when youre talking. Sprint also posting surprise gains, the second straight gains for the new ceo, who has focused on turning it around since he joined in august. The guy you heard earlier, he knows so much about telecom carriers. Sprint has been getting into lunch eating in tmobile . They have its sprint has in seating a lot of shares. The Network Quality was very poor. He came in and said, first things first, lets stabilize the ship. He is almost there, but not quite there. If you look deeply this cooler, they lost phone advertisements. Net additions or how many net people join the sprint last form, it is a combination of tablets low quality and low profit, and phone subscribers, which are high quality and high profit. They added a lot more tablets than phone subscribers. The net advertisements were positive. But i want to see those phone advertisements turn positive. That will tell me the ship has really turned. The other is what percent of subs are you losing. That was quite good this quarter. Betty on the to do list, what would you say is on it for the next two quarters . John first, stabilize the ship, then get out there and rebrand sprint. Tell people look, we have a better network. We are a price leader. They are getting there. They are in the process of upgrading the network. Once theyre are done, they will have a very good network, in my view, particularly for heavy data users. It is part of the rebranding. They expanded distribution with a radioshack deal. Betty that is interesting. The consumer touch points have not been that great. John the Sprint Stores are out there just like verizon and at t. They always sold the radioshack but it wasnt a store within a store. You could walk into a radioshack and never realize a sprint was there. Betty and now you will. John getting the store within a store, a branded storefront after you walk into the radioshack store. I think it is a great idea for them. Betty great to see you, john butler. David einhorn slammed the shale trailers at an Investor Conference in new york yesterday, saying the company had negative developed economics from which and aside from a few choice locations the they do not earn positive return. A few shale trailers declined before reclaiming their losses. Did not create the earthquake it usually does. Usually pretty scared of David Einhorn and what they have to say. For more, i want to bring in vincent and the Portfolio Manager who focuses as well. Why did it create a big earthquake in the market . I am not sure it charted new territory. The evaluations are elevated here they have an elevated. In terms of the cash flow that was criticized, this is a capital intensive is missed. You do not invest in cash flow. What you are really investing in is reserve growth, taking the resource and turning it into a reserve and replenishing those reserves as you reduce overtime. That is the main focus. Betty you are saying today that im is off . David einhorns focus is off . We like pioneer and their two holdings. Those particular names have some of the largest acreage positions in the most prolific oil basins. It is the Largest Oil Producer in the largest oilproducing basin in the u. S. They have been successful in extracting higher volumes of oil out of the basin. We think pioneer is really a core holding for longterm investors in the energy sector. Betty two einhorns point other than a few choice locations, there is not a potential for a positive return on these trailers. Driller. Rob increased volume to get out of each individual wealth. The hydraulic fracturing and the Technology Impacts it has had on the sector, we are really in the early stages. As we continue to see technology mature, we see more and more volumes of oil come out of each individual oil basin. Over the longer term, we see the benefits of that and these stocks will benefit from the improving technology. Vincent the Capital Spending has come on down. We have seen efficiency. We have seen the overall production and output continue to rise. Companies themselves are bringing down what they could control capx in order to become more efficient. It is still developing. Betty in other words, given the technology and other improvements theyre making they can make money at 65 versus 90. This is where we are heading. Vincent they are bringing down the overall cost structure in light of the decline in the overall price. Betty rob, since you have got money on the table, can eog make money with 65 oil . Rob yes, both are producers that could turn 65 into the new 90. It was just said in the press release that they expected Double Oil Production growth by double digits Oil Production growth at 55 oil. Betty thank you so much. Vincent and rob. Thank you so much. Much more ahead here the worldrenowned chef that has given us one of new yorkss most expensive than most exclusive restaurants. He is setting shops downtown. Details on what thomas is cooking up straight ahead. Betty here is a look at top stories this morning. Revenue, bad loan provisions dwindle. Pretax profit of 4 at 7 billion. Analysts expect 5. 8. Stewart has been cutting costs and selling businesses while selling billions to boost. Don perry on an unannounced visit to somalia. He is the first u. S. Secretary of state to visit the country. He wants to show support for the government as a fights notes and links to al qaeda. Hillary clinton is agreeing to appear for questioning on cap capitol hill are just one time she says. Her email practices as secretary of state. A house panel asked for separate sections on each subject. Police mourning the death of one of their own, a 25yearold died he does days after being shot in the head. The body was taken to the hospital. The suspect is now facing a murder charge. More with the sun nephew and has been of police officers. Those are your top stories this morning. Warren buffett said his lifes work will not be broken apart by activist investors once he is no longer at the helm. The billionaire spoke at the Berkshire Hathaway annual meeting saying, the market value of berkshire will be so great that even if all of the activist scott together they could not do much about it. Could you really be too big to active eyes, a new word we are inventing here. Joining me is greg rayburn. You have had your share of runins with activist investors. Can it be true that you could grow so big that you are going to be able to be blocked off, youre able to block activists in vectors investors . Greg im not sure that is possible to it i take the opposite side of warren buffett. He might if anybody could. In fact, yesterday at the conference, bill ackerman said that is one of the congo hombre ands pit of its thats making sense, then you are vulnerable. Betty right now, with activism being the latest, who is most vulnerable in your view . You do not need to name names but you know. Greg i think mcdonalds is the owner ball. Anytime you have activism has been around forever. We did not call it that, but there is always an argument about allocation. Before, you were always arguing about allocation of capital because that is the issue. What are you spending the money on. Activision can come in when they think management teams and boards are miss allocating capital and that could be from an operating standpoint, like mcdonalds, where it is really more about how you are running the business. It can also come in just because like an apple, because it is purely a Balance Sheet issue what are you returning, exactly. Betty you have so much money on your Balance Sheet, do something about it. There is a debate growing between the carl icahns of the world and larry thinks of the world. Carl icahn saying you need activism to basically kick the underperforming ceos is out of the room. Larry says hang on, too many ceos is, a kneejerk reaction. An investor want this and i will buy back my shares. Which side do you fall . Greg i am probably in the middle. They are not all the same thing. Not all activists are the same. I doubt apple would be distributing the kind of cash back to shareholders at the level they are now absent his getting involved in pushing that agenda. I think it made sense because apple is a solid company. If you look at a company like gm, and harry is a friend of mine, i like kerry but to me, it makes no sense because gm does not have its act together as a company. Im not sure it is one they could possibly keep. They have off have had all of the issues they have had in the past. Again, if it is just a shortterm issue and somebody is saying, i need some cash now betty how do you differentiate question they all say theyre in it for the longterm. Greg you can judge by the actions. The ones say that and theyre gone and you can see the ones were there there. Betty he has in the past gone in and left. They all have. Greg but again, it is what is your agenda. For mcdonalds, is it a Balance Sheet issue worn operating issue . There is a need in the market for activism but not the shortterm hit and run. Betty is it possible to have internal activism . Greg absolutely. In order to do that, you need a crisis. It is one thing for eighth the io or a board to say, we will be internal activists. Lester is a true price that the company sort of grass and gets, that will not likely have the same effect. Betty i agree it why rock the boat is everything seems to be working. Greg everyone seems to me to be on the page the same page. Betty stay with me. We will talk much more about mcdonalds and their turnaround plan that they revealed at this moment yesterday. We will be back in two minnis. Minutes. Betty youre watching live on bloomberg television. Unveiling a fresh turnaround strategy yesterday but investors were not loving what the fast food giant mcdonalds had to say. Right when he started speaking after the presentation, stocks went up and then again further into the day, but look at this slide. Pretty much consistent selling in the stock went down 1. 7 . What happened here . Why didnt the plan jews up investors . Susan, who covers mcdonalds here for us is joining us as well. You are here yesterday saying the same thing. Why did they not say anything about the menu . Susan they built up expectations that they would unveil something granted you expected you would see a new menu and instead, we got a new organizational chart. It is not very interesting for consumers and for investors, it was not really enough to know what would happen in the next six months year, and beyond. Greg i have done a lot of turnaround plans over 30 years. The problem is, you are exactly right it was not a turnaround. It was an internal restructuring. That is fine and maybe that makes sense, but it is a mistake to college turnaround plan and 2 something when your issue is lack of traffic and how you face up to estimates that was more of an Investor Presentation about internal realignments. Betty this is something you could have handled with a press release. Greg none of it was really newsworthy. Maybe do a blurb that says hey, we will realign this way. The issue for them is they have lost millennials and they are missing an entire generation because there is a shift in the way people eat and what they look for and that will continue. Betty im just curious and i hate to put you on the spot, but what would the one Game Changing and you would do it mcdonalds . Greg i would have done breakfast all day a decade ago. They kill it at breakfast. I know they are experimenting with that now, but how difficult and experiment is that . That is an easy one. Issue is, what are you serving . There is a complete lack of innovation. A ton of menu items but they do not innovate lay others innovate in terms of what they feature and what they present to consumers. Betty that is a great point. Susan, are they in the middle of an analysis paralysis on breakfast all day . If you are killing it in one category, you should just go all in. What is the problem stopping them from doing that . Susan that has been baffling from the outside to from the inside, they say they have 14,000 restaurants in the u. S. All designed in a specific way so that certain foods could be coast of certain times, often on the same space. It is a legit ago an operational issue for them but does not seem unsolvable. But i think leadership has been fairly timid in what they have been able to kind of introduce and also relations with the franchises, 90 of the restaurants. Relationships have not been great. I think mcdonalds, in their headquarters, they have been a little reluctant because it has not been good. Greg then they made it worse when they raised minimum wage at the corporate owned unit, they drove a bigger wedge between them and the franchisees. They really have internal cultural problems. U. S. What i would do. To me, the initial focus is not on investors. It cannot be your initial focus aired you have first got to look at what am i doing and how to win to my franchisees and it and employees, this is the endgame and here is where we are going. They have not the client defined that clearly. If you fix customer traffic and fix the menu, stocks will come. They have done it ass backwards. Lets realign and lets talk to investors, that does not do anything. Susan i felt there was an implicit recognition in the plan that the u. S. Is not really going to grow too much for them. Greg that is a mistake. There is growth in the sector. There are chains doing exceptionally well. Maybe the overall levels are kind of here. You can still take shares. Betty susan, thank you. Great, great to see you. The former ceo posted rants. Ok, breaking Economic News now. Trade balance numbers are out. Scarlet fu, you have got the data. Scarlet the trade balance widened to a six year high of 51. 4 billion. That is an import surge because the west coast ports resumed normal activity. The shutdown earlier led to a narrowing in february. The numbers here at 51. 4 billion, the trade deficit. We are looking for a widening of the trade deficit, but this is a lot bigger than what economists had anticipated care we will bring it on this surge in imports for all of this. One thing to keep in mind with trade deficit numbers is this report provides hard details the government had to estimate in their First Quarter gdp. It will all come back into the next revision of gdp for the First Quarter. In terms of the effect on the markets, u. S. Stock futures had a little bit lower, they were already down. Not much change in the direction within the range we have seen. The u. S. Dollar taking lower it is still higher marginally and the 10 year yield is not moving a whole lot, currently at 2. 31 . Betty thank you for that break down. Greek creditors have to compromise. The Financial Times says they were warned by the Monetary Fund their at it once creditors to write off large amounts of sovereign debt. If they do not, it might end its support for greece. The neighbors, Economic Reforms in greece before they send bailout money. The militant group made the claim in a radio announcement. Showcasing cartoons of mohammed. Many muslims feel two gunmen were killed on sunday after they shot a guard outside the show. Yes that it had been invest getting one of the suspects for nine years. My cut the bee will become the fifth official president ial candidate today. The former arkansas governor will make his announcement in the town were president clinton was born in hope, arkansas. Huckabee, a