Time, and this is going to create tremendous value for our customers and, really, our investors. This is a good deal for investors. Speaking of timing, martin, it has been a challenging one for your industry. Oil services hundreds of thousands of layoffs. Where does that leave the industry . Are the layoffs done, and is there a sense that youre on the brink of a recovery . You know, sarah, we all hope that the layoffs are done. As ive said over and over again, thats the most difficult thing about this industry. That all said, you know, when you have these two great franchises coming together as lorenzo talked to the synergies and the example that we gave on the investor call this morning, so much of it is going to come out of product redesign and bringing that engineering expertise to play. Being able to leverage a much bigger spend, you know, in excess of 20 billion annually into the marketplace in terms of our combined supply chains, these are the efficiencies that will come and get the costs down and cost savings we can pass on to the Customer Community and actually protect the workforce and not be, you know, going there to get our cost base down, which unfortunately has been this industrys practice and thats why the genius of this combination is going to, you know, make that not the area that we have to go to so much into the future. Yeah. You know, mr. Craighead, i would never be one to judge the deal on the first day stock price performance, but you talk about or certainly mr. Immelt has talked about a 30 premium. Were talking about, obviously, the enhancements that will occur as a result of the union itself, but im looking at a stock now 1 30i 30i. 5 . Whats the market missing . I think thats the complexity of the transaction, but also its the missing element of the ge oil and gas business. Its not a publicly traded entity, but as we were able to get under the sheets and look at the business, its a fantastic business. Lorenzo and his team have done a terrific job of managing through the cycle. I remind you that its the Worlds LargestOil Field Equipment manufacturer, great brands, great positioning in the marketplace, a great track record in that, as well as not to speak to the ge store, which is another whole value contributor, and then you look at the marrying up of this. 17. 5 a share, 37. 5 ownership in the new company, its a fantastic, fantastic outcome for our shareholders, but as you say, you know, its the first few hours. I think it will sort itself out. Complicated deal, david, its going to sort itself out, but were very look, were a completely focused and aligned on how the synergies take place and how the data gets created, so again, ive seen this in the past, you know, its going to take a while for the deal to get sold in, but we are extremely confident in terms of the ability to execute. Yeah, jeff, in other words, optionalty, which can indicate a number of different things. I could imagine you buying more, buying other companies, using the currency thats created as a result, or selling. Can you give us any sense where your instincts may lead you when we talk about the options available as a result of this structure . Look, david, i think from our standpoint, this completes the most Competitive Oil and gas enterprise in the industry. I think its a direct fit, its in a central business, its an industry where ge has done well, and where you can use the technology, the services, the global footprint, so we view this as the ability to run this thing and generate tremendous value for the baker hughes shareholders, for the ge shareholders. You know, were always honest with ourselves as it pertains to are we the best owner, are we creating value, but in this case i believe weve got tremendous value creation, using the ge store and the ge footprint, and were going to run this place well. All right. Well, gentlemen, jeff, of course, we always appreciate it. Thanks to all three of you for joining us. Good to be with you. Youre welcome, good to be with you, too. Carl, send it over to you. All right. Sarahs question about politics, of course, helps us pivot to a big day for politics. Just over a week away from election day, peter teal is set to speak at the National Press club in washington. Well get you there live when he begins speaking. In the meantime, plenty of criticism over the email case. John harwood in washington, good morning, john. Good morning, carl. We have an entire weekend consumed by the question of these fbi emails. You had the Vice President ial candidates fanning out to sunday shows to place their argument, but look, i think were going to cut short what i was about to tell you about tim kaine and mick pence and go right to peter theil. To the people who are used to influencing our choice of leaders, to the wealthy people who give money and the commentators who give reasons why, it all seems like a bad dream. Donors dont want to find out how and why we got here, they just want to move on. Come november 9th they hope everyone else will go back to business as usual. But it is just this heedlessness, this temptation to ignore difficult realities indulged in by our most influential citizens that got us where we are today. A lot of successful people are too proud to admit it, since it seems to put their success in question, but the truth is, no matter how crazy this election seems, it isless crazy than the condition of our country. Just look at the generation that supplies most of our leaders. The baby boomers are entering retirement in a state of actuarial bankruptcy. 64 of those over the age of 55 have less than a years worth of savings to their name. That is a problem. Especially when this is the only country where you have to pay up to ten times as much for simple medicines as you would pay anywhere else. Americas overprized Health Care System might help subsidize the rest of the world, but that doesnt help the americans who cant afford it and theyve started to notice. Our youngest citizens may not have huge medical bills, but their College Tuition keeps on increasing faster than the rate of inflation, adding more every year to our 1. 3 trillion mountain of student debt. America has become the only country where students take on loans they can never escape. Not even by declaring bankruptcy. Stuck in this broken system, millennials are the first generation who expect their own lives to be worse than the lives of their parents. While American Family expenses have been increasing rele relentlessly, their incomes have been stagnant. A median household makes less today than 17 years ago. Nearly half of americans wouldnt be able to come up with 400 if they needed it for an emergency. Yet while households struggle to keep up with the challenges of everyday life, the government is wasting trillions of dollars of taxpayer money on far away wars. Right now, were fighting five of them. In iraq, syria, libya, yemen, and somalia. Now, not everyone is hurting in the wealthy suburbs in washington, d. C. , people are doing just fine. Where i work in Silicon Valley, people are doing just great. But most americans dont live by the beltway or the San Francisco bay. Most americans havent been part of that prosperity. It shouldnt be surprising that is peter thiel speaking in washington, d. C. Were going to monitor that. In the meantime, because he is expected to take questions, in the meantime kate kelly does have his prepared remarks and looked through some of those. What can you tell us . You heard his general intro. Despite the fact the electoral process has become rattling and volatile to many, the state of our nation, he believes, is really one of peril. He talked about economic sort of disparities between the elite class in which he operates and everybody else. My understanding is, hes going to go on to say he doesnt agree with everything donald trump has said and done, he doesnt think the millions of people who plan to vote for trump do either. Hes going to say quite clearly his comments about women were offensive and not acceptable, inappropriate. At the same time, though, he, and he believes trump supporters, dont pull the lever as an endorsement for everything trump says, they do it because they agree with some of his ideology about the economy and Foreign Policy. To get into a little more detail on that, hes a little bit concerned about the Foreign Policy stance of the democratic party. He believes its more hawkish today than it was at any time since vietnam. In particular he doesnt like Hillary Clintons approach to syria. He thinks the nofly zone she wants to establish could actually, and he says this quite clearly, risk us having a Nuclear Conflict because many of the planes flying in that area are russian. He goes on to also say he thinks in addition to the housing bubble that led to such economic chaos a number of years ago, bill clinton resided over an enormous stock market bubble, so clearly he has concerns about the clinton dynasty and Hillary Clinton in particular. Trump wants to normalize america with less of a trade deficit, what he regards as more responsible Foreign Policy, and ways to address the negative impacts, carl, of free trade on Many Americans and the resulted loss of industry and manufacturing jobs. Certainly some themes that will resinate well in some important states. Kate, thank you. I imagine well speak again shortly. Lets speak with thiel and the election as we kick off squawk alley. Joining me, as well. John broad and shelly palmer, who joins us with palmer advanced media. Good morning, guys. Once again here we are talking about the split between policy and character. What do you make of thiels thoughts and how will they be received where he comes from . Look, you know, the First Amendment basically says the government cannot tell you how to think. It doesnt say anything about private individuals and or anyone else having any consequences, so peter thiel is a believer in this particular point of view, and we, all of us, should be willing to hear it. Certainly, Silicon Valley would be very, very hypocritical if they say i dont care about his politics, therefore, im not going to let him say it. They dont have to like him. They are just people. Here we have a situation where a lot of americans have an issue, a lot of americans have another issue. Thats what the democracy is about. Just go for it and vote on election day. He seems to be distancing himself from the beltway, from the valley. Just in the beginning of his remarks, john, he said people in d. C. Are doing just fine. People where im from in Silicon Valley are doing great. Basically saying its not your future thats in jeopardy. Yeah, you know, the thing i find sort of ironic here is peter thiel lives his life on the fringe. This is a guy who paid students to drop out of college, he secretly financed hulk hogan versus gawker. Here he is in potentially his most mainstream act of saying i port the republican nominee for president of the United States, as 40someodd percent of the american electorate is going to, yet thats whats getting him in incredible amount of heat and calling for his ousters of Board Directors and partnerships and i find that a little bit odd. Honestly, what hes talking about, the things that hes saying are not incorrect. You may or may not like donald trump or Hillary Clinton, you cannot deny there are all kinds of fiscal issues in the United States that really need to be looked at hard and the political system that we live under doesnt tend to look at them very hard. Sure. So hes not wrong about what hes saying. Who hes choosing, some people have an issue with. What hes choosing, disruption. Hes going disruption through the instrument he has available to him. Yes. There are massive problems with this country, i want to make wholesale change, out of that change, something positive may come, but we cant have what weve had historically in washington. 12 months ago you would have been hard pressed to find someone who said peter thiel would become a household name in this election. What do you see as his future politically . Do you think hes vying for a place in the administration . If he made that speech in a rationale way, im a billionaire and can make these changes, i do understand the fiscal reality of the United States, if he does that, he should be running for president. We are entitled to the peaceful transition of power, we should vote for him. How is his Business Record viewed in the valley, just what hes done on paper, good or bad . I think hes done well for himself and the valley. Incredibly positively. We have a paypal win, the first outside investor and board of director to facebook, founders fund, top echelon. You get on the list, you see his name pretty much where you need to see it. Politics is inherently personal, which is why so many people have come out and supported him and say he has a right to feel how he feels, but this election has been polarizing unlike any weve seen. I wonder if he will have issues in the valley given his politics . Politics and business generally are not discussed in polite company. You make a choice in your life. Hes a man of relative power, and with great power comes great or relative responsibility. In his mind, this is what he needs to do. Everyone i met feels they need to do something. Ive yet to have a discussion with anyone who doesnt have a very strong opinion about who should be the next president of the United States and does cause some consternation between people. Hell pay the price, but he can afford it. I think hell see some fallout. Weve already seen reports of people not wanting to accept his investment in their company as a result of his political views. I think that will be the very small minority. Politico had a poll this morning, 71 of people want the election over, which makes you wonder who are the other 29. Whos enjoying this. November 8th cannot come fast enough. We take stock of what thiel is saying. When we come back, more coverage of peter thiels speech in washington. Well listen to some of the q a, perhaps, when squawk alley comes right back. And asleep a. Shop our biggest sale of the year, including all tempurpedic mattresses. Save up to 600, now thru november 29th. Get your tempurpedic. The most highly recommended bed in america. Were drowning in information. Where, in all of this, is the stuff that matters . The stakes are so high, your finances, your future. How do you solve this . You dont. You partner with a firm that advises governments and the fortune 500, and, can deliver insight person to person, on what matters to you. Morgan stanley. Ive spent my life planting a sizesix, nonslip shoe into that door. On this side, i want my customers to relax and enjoy themselves. But these days its phones before forks. They want wifi out here. But behind that door, i need a private connection for my business. Wifi pro from comcast business. Public wifi for your customers. Private wifi for your business. Strong and secure. Good for a door. And a network. Comcast business. Built for security. Built for business. Sharing a ten by ten room,ng threestruggling. Nding, i rent this place and then i started home sharing. My roommates help out all the time. They are glad to meet the guests and that opportunity that airbnb has given me is such a priceless gift. I was able to take three months off to take car of my family during a family tragedy. The extra income that i get from airbnb has been a huge impact in my life. Peter thiel is still speaking in washington. Were awaiting a question and answer session to begin. In the meantime, back to kate kelly with her thoughts. Kate . Looks like the prepared remarks just wrapped up and hes sitting down to take audience questions, so i wont speak too long, but two things i wanted to point out. There was a section of his speech he talked about the lack of diversity of thinking, especially when it comes to politics in Silicon Valley and also by extension in the media. He mentions something the advocate said, the advocate magazine, saying that essentially peter thiel is not a gay man. In other words, as if he doesnt deserve to be considered a gay person because of his support for donald trump. Obviously, a very eyebrow raising comment there from that magazine, which focuses on gay and lesbian issues. Back to you guys. All right, thanks so much. Meanwhile, lets get back to the National Press club, where peter thiel is taking questions. A lot of what they do does feel, to me, like rearranging deck chairs on the titanic. Its precisely im worried about that that i think we need to think a little bit outside the conventional policy box and have sort of a broader public debate about the kinds of things we might want to do, but certainly, i worry about the decline. I take it very seriously, and one of the things i think i would have liked to see a race between trump and sanders, because i think both of them viscerally felt the decline and viscerally, they very much disagreed about what caused it, what to do about it, but that would have been a very different sort of debate. What we have is a debate between one candidate who says everythings more or less fine or as good as it can be, and another one who says, you know, that were on the titanic, its about to sink. So i prefer the second one. You talk a lot about backing an outsider and how thats important for america, but isnt there also something to be said about somebody who understands how washington works better to actually get things done . You know, thats i would argue weve been trying that for quite a long time. On the kinds of issues i talked about today, the trade double, the war bubble, the globalization bubble, these various bubble policies, the insiders have been getting it wrong for a long time. You know, they were asleep at the switch when we had the dot com bubble in the 9 0z, even more asleep in the housing bubble in the last decade, and the insiders have somehow been doing very micro policy adjustments and then letting these massive bubbles inflate on their watch. And so i think there is an argument. The trump point that hes