Transcripts For FBC MONEY With Melissa Francis 20140325 : co

Transcripts For FBC MONEY With Melissa Francis 20140325

Issue, melissa. Number one is the selfdealing issue coming out from carl icahn the activist investor are i think are important issues to be raised. They have not, meaning andreessen nor dan a hoe, ceo of ebay donahoe, ceo of ebay addressed this head on. He makes an. When he was on board of ebay he and another private equity firm silver lake, bought skype from them and resold it for a huge amount of money. That is serious stuff. Melissa bought it for 1. 9 billion. Turned it around 18 months later and sold it for 18. 5. Incredible amount of money. There has to be logical explanation of this. They should step up to the plate. I said that is one part of problem i see here. The other part of the problem is how the tech media, i really mean this to all of my friends in the tech media, they are in bed with their sources. I mean people say, you know, everybody has sources. Melissa oh. Listen, we go out, listen you have to have some relations with these banks. I understand that. Youre not adversaries to them all the time but i dont think anybody can say im nice to all these guys. Melissa youre an adversary a lot of the time. What im saying there is absolutely no, no questioning of whether this was a good deal. Im reading all these stories and that extol these guys. Melissa to that point i think reporters, maybe even you, you were going back and forth with one. Tech reporters give too much of the benefit of the doubt to tech ceos. Marc andreessen who i follow, who i notice spends a heck of a lot of time on twitter and chimes on in. I am a lefty, do you check facts. And he is obviously following back and forth and chimes right in. Whether he is a lefty or not i heard he is middle of the road, whatever. What im saying is this. I think the media goes out of its way to beat up banks, the evil banks that represent wall street but they think basil con valley is goo goo and generally supports president obama and all leftwing causes, social media, you name i it they go easy on guys. Melissa do you go easy on carl icahn . To be fair you have a close relationship with him. He is always think about he what he says and look what ive writen. Ive called him a grain mailer which he has been very, very, he gets really upset by that. Melissa dont move. I have a panel standing by i want to bring in. Fbn Liz Macdonald and Penn Financial group matt mccaul. One and only charles payne. Would you like to weigh in on this twitter battle . I would. I agree with charlie. What charlie is essentially saying the tech guys are not reporting what carl icahn is saying about the ebay mess, the ebay saga. And that is, this guy, dan primac at fortune, he should be getting a job as very opinionated bartender to my mind. I read list coverage on this. He is not that bad. He is not a bad kid. But i read his reporting on it. What he is is saying in the twitter fight with charlie is, what should ebay have done . Charlie writes, ask carl icahn and dan writes back he doesnt have an answer for that, not that ive seen. Okay. Carl icahn is saying unlock value of paypal but hook up with visa or mastercard. Make this quick because dan isnt here to defend himself which he should be here if were going to attack him directly. Would i just say this, he makes the point there was some litigation involved and that was the problem with selling it to microsoft. But carl would come back and say, well, if it was such a big deal why did you get rid of it. Melissa what do you think, charles payne. I think theyre all selfdealing. It is like, everyone is trying to rip this thing apart. Everyone is sort the raiding it. Melissa not the reporters youre talking about, investors. Major players in this. I do think it is time we start to treat Silicon Valley with the same contempt, i say we, that we have for wall street. Melissa yes. They get a pass. If bain capital had done what Marc Andreessen had done they would be the scourge of the earth. Because they are located in San Francisco, theyre somehow heroic. Melissa matt mccall youre strangely silent. Im trying to take this all in, being wall street side, we get crushed all the time from happy to have more villains. You look at Silicon Valley, if you start a company in a garage make a billion dollars youre a hero in Silicon Valley. If you do same exact thing a few blocks south on wall street youre evil. Melissa youre a total villain. Thats a great point. Think about mark zuckerberg. He hosts president obama. Has fundraisers for him. He comes out with an ipo that screwed the little guy. There is no doubt about it. The stock is up now. Facebook shares are you, during that ipo the little guy got crushed. Could you imagine if mitt romney were running that company . Could you imagine the outrage not to digress too much off the key core thing, people talk about the ipos coming out. That is because of the jobs act. I think they put that through to reward Silicon Valley from money from wall street. Carl i kahn icahn ebay story, the tech reporters are not fully reporting what carl icahn is saying how to unlock value of pay pall. Absolutely. That is underreported. Dan will take the twitter and blasting everybody without getting other sides comments. That is his mo. Here is the thing is. Ebay might be right in this whole thing. Im not going to take side in that respect but where is the critical analysis of what carl is saying . If this was a wall street selfdealing issues these guys would be dead. Melissa total villains. Lets move on. Well see you later in the show on more reporting of jpmorgan. Thank you very much. Dont let walmarts status of company admitted dependence on customers in food stamps with the latest sec filing and warning investors that cuts to the program could be a risk going forward. Our money talkers are fired up about this, emac, matt mccaul and nut island enthusiast, charles payne. You tweeted you and you played me off. I missed it. Do you like walmarts nuts . Melissa they dont have a nut aisle. Okay. Melissa this story was Pretty Amazing to me because i didnt realize 18 of all food stamp dollars in the u. S. , all the, 18 are spent at walmart. Go ahead, charles. Walmart absorb of started to talk about this just in a couple of recent filings. Here is the thing. It is politicized in a sense one group of people, walmart represents capitalism. If you any way say it is crony or feeding from the public trough you get a chance to take down all of capitalism. So there is a lost politicization going on here. Walmart food samp story, reminds me of that saying spend money to make money, spending taxpayer money. Half of walmart sales are from groceries right . That is where half of revenues come from. One in five of walmart shoppers are on food stamps. Walmart has cheap grosses sis. So that is local. Food stamp cuts, walmart by law has to disclose what is going to materially impact its earnings. So that is taking a sober look at it. It did impact their last quarter. I believe earnings were down or samestoresales were down because of the fact that sales from food stamps fell five 1 2 last quarter as changes through congress overall, walmart Fourth Quarter earnings fell by 21 . Is this another case where were now going to see a lost companies blaming the snap program or cutbacks in the snap program like the weather . Charles, is this become a cheap thing . No one has vested interest that walmart does. Walmart could blame Family Dollar and Dollar Stores more than food stamps. On political side, everyone is going after walmart. It is an incredible catch if they unionize and all other things. To emacs point, the idea that the lower end of the economic scale can shop to walmart and sort of get access or have access to things that normally years ago would have been out of their range, flatscreen tvs, better Food Products it is an amazing thing. Not great for the bottom line but shows that walmart does serve a point in our society that i think gets dissed for a lot. Melissa to charless point and mat matts point, walmart making risk disclosure is put itself back on hot seat. I saw today and just yesterday, walmart is, has been attacked because its own workers sometimes are on food stamps or med get made cade. A large portion of them are. Yeah. Its a cycle, because as food stamps are spent there, obviously more sales come in, hire more people, takes people off food stamps. Almost a vicious cycle for walmart. Melissa it is interesting to look at other companies that blame ad cutback in the snap program, pepsi and coke . That goes to show what you kind of food people spend that money on. Melissa exactly right. Go to any Small Grocery store in impoverished neighborhood, open up salad bar, put your money, anyone talks about food deserts be a problem, you go out of business. People buy big macks, cigarettes with it. Im sorry. Melissa we appreciate it. Up next the shutterfly strategy, it is dominating 50 of the market around it has got plans with this life. Well hear from the ceo. More cash being spent than ever on botox, unless you think or 30 something men in Silicon Valley who fear they are past their prime. Then you would be right. Medical dollars and more money coming up. See whats new at projectluna. Com melissa photo publisher shutterfly is clicking away with lots of recent acquisitions with 50 of the market already can the purchases push it toward new growth . We have shutterflys ceo and president who joins me now in a fox business exclusive. Welcome to the show. Thanks so much for coming on. Good to see you, melissa. Melissa great to see you as well. You have 50 of the market share already. You have gobbled up a lot of the Interesting Companies around you. Tiny prints was a company a lot of families were huge fans of. They make cards and Christmas Cards and you can integrate photos from shutterfly into tiny prints. There is another one that is really hot, minted now. Are you going after them and is that how you grow from here, more acquisitions . You know, shutterfly grew 22 last year, combination of organic growth and strategic acquisitions. We bought my publisher and r r visions and i think the path will be continued combination of organic and inorganic growth. Melissa are you looking at minted . You know we dont comment on specific targets in the marketplace but we have looked at over 130 companies have approached us in the last 15 months alone. We have only done three transactions. Has to be right strategic fit and valuation. Has to make sense in our terms of our overall portfolio of brand and we have execute on integration as well. Melissa one program you have called, this life. A way to manage videos. Youre getting everything together a family would do, a mom like myself with photos and pictures and invitation and Christmas Card getting it together. Are you in direct competition with apple there . Because it feels like thats the kind of product that youre becoming. You know were very excited about this life, a new Cloud Service will combine as you said, both videos and photos across any of your platforms. So it works on android. It works on kindle. It works on the apple ios. It works on a ipad and a phone, and on your desk stop. So really a unique Value Proposition in the market to help families manage their memories for generations to come. Melissa so who do you see as your direct competition with that product . You. Know today theres not a single competitor that offers the full service of capability that is this life does. There are bits and pieces of it. Some of the Cloud Storage Companies Offer storage. Some photo Management Companies have that piece and photo editing and sharing companies. No one stitched it together in easy, intuitive interface that works across platforms and ecosystems so we think shutterfly has a unique Value Proposition. Melissa some companies have done the jobs you do well but havent been able to stay in business and make money. Flip shares. They had a terrific camera they could use on website and they were bought and eventually went away and couldnt make it into a business. Do you survive by being big . I mean is that part of your strategy, that you have so many businesses and such a big part of the market share . Is that how you keep all these businesses going . I do think scale and scope of economies matter. Singular focus, quality, innovation and strong execution. There has been over 1100 venturebacked companies in our space and yet over the last 15 years weve been competing with very Large Companies and succeeding. We have over 50 of the Online Market but the Online Market is still less than 15 of the total market. So were helping to move generic, lower quality offline Commerce Online where people could be more creative with their memories. Melissa you know, we talked to a lot of analysts before this segment and they all sort of had the same question. Are you for sale yourself . Would you consider selling the whole company to a larger player . Myself and the entire company of 1600 employees we wake up every day with a few things in mind. How do we continue to delight our customers, protect and help them share lifes joy and build a Great Company and great returns for our shareholders. Obviously as a Public Company if someone thought we fit naturally into their ecosystem we would obviously listen. But we dont wake up every day thinking about that. Melissa i will take that as a yes, i think that is yes you might be for sale, jeff. Im teasing you. Thanks for coming on. I appreciate your time. My pleasure, thank you. Melissa from the u. S. To every corner of the globe money has been flying around the world today where cash is in russia is quickly pouring out of country where tensions in ukraine escalate. He is expecting a net out flow of just 70 billion First Quarter of this year. Compare that with the 62 billion that left russia over the entire year last year. The government also expects little or no gdp growth for the first three months of the year. Over to bra sir, Standard Poors has cut the countrys sovereign debt rating to one notch above junk. S p says the cut follows concerns over brazils fiscal management and weak growth prospects. Landing in the u. K. Where Labor Force Participation has overtaken the u. S. For the first time in 40 years. Think about what that means their Labor Force Participation is greater than ours. The number of british adults either working or looking for work is around 64 . That compares to 63 in the u. S. Last time that happened was back in 1978. The 70s are back, good times. Next up the cash being spent on Plastic Surgery is hitting new levels and young guys in Silicon Valley are taking over as some of the biggest spenders. Wait until you hear this. A giant new deal for google glass makes me think you will wan to wear them now. I dont know. Do you ever have too much money . I ys say be thman with the plan but with less ergy, moodiness, i had to do something. I saw mdoctor. A blood test showed it was low testosterone, not age. We talked about axiron the onlynderarm low t treaent that can restore t vels to normal in about two weeks in most men. Axiron is not for use in women or anyone younger than 18 or men with prostate or breast cancer. Women, especlly those who are or who may become pregnant, and children should avoidt where axirons applied as unexpected signs of puberty in children or changes in body hair or incased acne in women may occur. Report these symptoms to your doctor. Tell your doctorbout all medical conditions and medications. Serious side effects could include increased sk of prostate cancer, worsening prostate symptoms, decreased sperm count, ankle, feet or body swelling, enlarged or painful breasts, problems breathing while sleeping and blood clots in the legs. Common side effects include skin redness or irritation where applied, increased red blood cell count, common side effects include skin redness headache, diarrhea, vomiting, and increase in psa. Ask your doctor about axiron. Predibut, manufacturings a prettin the United States do. Means advanced technology. We learned that Technology Allows us to be craft oriented. No ones losing their job. Theres no beer robot that has suddenly chased them out. The technology is actually creating new jobs. Siemens designed and built the right tools and resources to get the job done. Melissa weve got some breaking news on bitcoin right now. Lets go to jo ling kent with the latest. Hey, thats right. We do have breaking news from the irs. Basically the irs is ruling that bitcoin is a property and thus it will be subject to a variety of different taxes. They say about it coin is not a currency and so even, when bitcoin is transacted, for example, if im buying or selling it, that is also a taxable transaction as well. So this could actually be a good boost for a lot of investors out there. Weve been check out what some venturecapitalists think of this. A lot of new bitcoin 2. 0 investment happening over the last year. But if you take a look at the capitalgains tax rate which could, bitcoin could be affected by here, it is 20 rate and so, you know the top tax is 39. 6. But there are at love Different Things were parsing through here. But bitcoin, the irs ruling it is property around not currency. Well get back to you, more, melissa. Melissa jo, thank you so much. There is Plastic Surgery boom in california but happening in Silicon Valley. It has men over 30 turning to doctors to keep them young. Here to talk medical dollars is dr. Manny alvarez whose face is as tig

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