Activist attack on wall street. This time, United Airlines. Two hedge funds with stakes in united announcing they think the board stinks and they want its own birthdays. What is interesting im looking a the release from par capital and all item meter capital. They own united shares. And they say say we are not shortterm traders nor are we activists. Yeah, right. They are active right now on getting six people onto the board. Including Continental Capital gordon buffoon. There are not people who will argue that united lagged its competitors. Its performance over the last five years, it has been underperforming relative to its competitors. By the way what you are looking at right there those are members of a Teamsters Union protesting out the jp Morgan Transportation Conference Today where the cfo for United Airlines was giving a presentation to analysts. Here is lebeau talking about the Management Team performing woef woefully. If in a horse race and you are in fourth place you are not.
Mohamed elerian. The drama at United Continental airlines continues, activists looking for Board Changes as the ceo is set to return. David faber and phil lebeau will join us. I think we got him even to come down to the stock exchange. Just flew in. You can see on screen, just breaking in the last hour, Whitney Tillson is back shorting lumber liquid ators, hell explain why the shares are down another 9 . It was about a year ago that that first 60 minutes report about the harm potentially done to folks about this flooring came out. Its been quite a saga. Then covered that short position of his in december but put it back on again. Well explain why coming up in a little bit. Lets start with the todays move in energy and materials, the stocks. Bob pisani joining us. Thank you, Goldman Sachs, we had material stocks going and this morning they put out a note pouring cold water on the idea of further rallies. Heres what they had to say, oil supply and demand is not in balance and dont preten
1. 3 . In the early trade this morning over in europe, youll see that there are some green arrows there. Just like our futures are reflecting this morning, youll see the dax is up by just over 0. 6 . The cac is higher by 0. 7 . The ftse up by about a quarter. Take a look at the price of oil. Oil is what set the tone once again yesterday. Wti with its worst day in almost a month. You can see this morning its picked up some ground. Another 49 cents to 36. 99. Actually, sitting right at 37 a barrel. Results coming in overnight from yesterdays nominating contest. Im exhausted, john. John harwood joins us now with more. I probably shouldnt have waited for hawaii to get called. You should not have waited for hawaii. There is some merit to that, the idea of doing this show from honolulu. It would be a 1 00 a. M. Show, wouldnt it . Wed have the whole rest of the day free. We would. Part of the previous night free i think too. Correct. Anyway, john, im fascinated. I think maybe most fascinating
The second Largest Oil Company in the United States outlined a new strategy as executives try to manage through the changes that royal the oil these days. Crude prices, which are expected to stay lower for longer are making it for difficult for the Largest Energy companies to invest their capital, spend on improvement and follow through on ambitious profits, yet alone make profits. Chevron shares fell 2 after the plan was outlined at an annual analyst meeting. The ceo made it clear that chevron is doing whatever it takes to protect its dividend. Chevron ceo and chairman outlining three major points to maintain a dividends while slashing spending and ramping up production. It will add revenue to our bottom line. Well be able to take our spend down. Well stay pretty we balanc the number two u. S. Energy company cutting capital. Down by as much as a third from earlier guidance. Thats as major liquefied natural gas project in australia come online. Despite less spending, the energy giant e