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Crash Detailed; Toyota Working on New Technology; World War II Veteran Gets
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Science; Sports; Social Media; Automotive Industry; Donald Trump; Economy>
MARIA BARTIROMO, FBN ANCHOR: What we've learned from the so-called Panama papers coming up.
The race for Wisconsin coming up to the wire this morning. Candidates fighting for every last vote going into tomorrow's big contest. Donald Trump highlighting his tax policies in last night's town hall with Great Van Susteren.
(BEGIN VIDEO CLIP)
DONALD TRUMP, (R) U.S. PRESIDENTIAL CANDIDATE: I like people -- I like the workers, I call them the workers of the country the best. I don't necessarily like the very rich even though I'm one of the very rich, but the very rich are going to end up probably paying more but there's an incentive for them to invest in the country and to create jobs.
(END VIDEO CLIP)
BARTIROMO: We will have the very latest poll numbers and the delegate coming up in the program.
Investigators meanwhile, working to find the cause of yesterday's deadly Amtrak derailment. At least two people were killed after train hit a piece of construction equipment.
Wild weather hitting the Midwest and the northeast this morning. Snow and fierce wind drowning -- downing trees rather, and damaging buildings, leaving more than 250 homes without power.
The connected car going to a new level, how Toyota is using facial recognition to help open your car door when you don't have any hands free.
Turning to markets this morning, in Asia overnight, a mixed markets there. The Shanghai Composite close for a holiday in China. In Europe, however, we've got markets moving up. Energy stocks keeping a lid on gains but we do have oil prices moving lower and stock prices moving higher.
In Europe the FTSE 100 up two thirds of 1 percent, the CAC 40 in Paris up 1 percent. In the U.S. we're expecting a higher opening for the broader market today. Today, we get the factory order's report out. That is typically a market mover. The Dow Industrial ahead of that expected to open at 25 points. NASDAQ, S&P also higher.
All that coming up here this morning. Maverick PAC National Morgan Ortagus with me. Along with Wall Street Journal's Jon Hilsenrath. Good to see you, guys.
JON HILSENRATH, WALL STREET JOURNAL ECONOMICS CORRESPONDENT: Good to be here.
(CROSSTALK)
MORGAN ORTAGUS, MAVERICK PAC NATIONAL CO-CHAIR: Thank you.
BARTIROMO: Thank you so much for joining us this morning. We've got a can't miss line-up. Former republican presidential candidate and forme Texas Governor Rick Perry joining us this morning. Along with Forbes Media chairman, Steve Forbes. He was a passenger on that weekend's Amtrak train that derailed. We are going to hear right from him in terms of what went on. Then Fox News senior judicial analyst, Judge Andrew Napolitano along with former NBA player Antoine Walker.
You don't want to miss a busy program this morning. First off, they are calling it the Panama papers, 11 million documents, detailed off-shore counts of the world's rich and powerful and they have been leaked. Jo Ling Kent with more on the story right now. Jo, good morning to you.
MORGAN ORTAGUS, MAVERICK PAC NATIONAL CO-CHAIR: Maria, good morning. If you want to see how the rich and famous really lived, this might be your chance. Eleven and a half million documents leaked 2.6 terabyte of data far larger than the Edward Snowden leak.
According to analysis by the International Consortium of Investigative Journalism, the documents reveal the secret current offshore holdings of more than 140 government officials and politicians around the world. Among the most notable revelation a document detail in $2 billion in transactions laundered through banks and shadow companies by associates of Russian President Vladimir Putin.
Also, how much closer FIFA soccer ethics officials were to corrupt practices in originally thought, and also some offshore holdings by prime ministers of Iceland and Pakistan, the king of Saudi Arabia and the President of Ukraine.
The documents were leaked by a Panamanian law firm, Mossack Fonzeka and specializes in helping people set up offshore holdings. And according to the Guardian newspapers, one of the partners sat the law firm said that, quote "95 percent of our work coincidentally consists in selling vehicles to avoid taxes." Maria.
BARTIROMO: There you go. It's all in the papers this morning.
KENT: It is.
BARTIROMO: Thank you so much, Jo. Jo Ling Kent I was going to say. We go to campaign trail now. Candidates are struggling this morning in the badger state just day ahead of the Wisconsin primary.
A new CBS poll out showing Senator Ted Cruz holding a slight lead over Donald Trump in the state with 43 percent of the vote, according to this poll with Cruz in the lead and the Texas Senator also claiming additional an 18 delegates with a victory in North Dakota's delegate race, all the delegates in that contest are unbound.
So, their loyalty is not 100 percent certain by any means. Trump meanwhile, taking his message to the voters participating in town hall last night with Fox News' Great Van Susteren. The republican frontrunner was pressed on his tax plan.
Trump claimed rates for the middle class are going way, way down under his plan but the very wealthy, well, they won't be so happy.
(BEGIN VIDEO CLIP)
TRUMP: And the very richer are going to be paying -- well, first of all, on the very rich, let me explain. When we have things in the very rich that are so unfair to the general public specially the hedge funds guys, like carried interest and different provisions that are very complex and a lot of people wouldn't understand, but I'm getting rid of carried interest.
And frankly, the ones that I'm really concerned about, you know, I like the -- I like people -- I like the workers, I call them the workers of this country the best, I don't necessarily like the very rich even though I'm one of the very rich, but the very rich are going to end up probably paying more.
(END VIDEO CLIP)
BARTIROMO: Joining us now is Fox News co-strategist, co-founder Mercedes Schlapp. Mercedes, good to see you. Thanks for weighing in this morning.
MERCEDES SCHLAPP, REPUBLICAN STRATEGIST: Good morning.
BARTIROMO: What do you make of those comments of putting aside, I don't like the very rich but I like the workers, putting that aside for a second, in terms of his tax plan, did you learn anything new?
SCHLAPP: Well, not really. I think he had laid out his tax plan last year and obviously his goal is to attract that middle class and also those blue- collar workers which has been part of his base. And he's making it -- making it seem, which is very unlike other republican candidates, that the wealthy, the very rich are going to be penalized.
While those in the middle class are going to have a tax break. That to many republicans out there is actually an attractive economic plan, despite the criticisms that others have said it's going to add maybe $10 trillion to the national debt, in terms of how much it would cost his plan.
But, Maria, I've to tell you, where Trump has been focusing on has been and where he's been strong has been on his economic message and reaching out to the middle class as well as to those that are the blue-collar workers that have felt the impact of many of these trade policies in the United States.
BARTIROMO: Yes, for sure. And the other comment that came of that interview that Trump did with Washington Post was that, he said he was going to be able to eliminate the debt in eight years.
Jon Hilsenrath is with us this morning from the Wall Street Journal. Nineteen trillion dollars in debt wiped away in eight years, is that doable?
HILSENRATH: It's not doable unless he treats the national debt the way he treated the casino. It's that he ran in Atlantic City and renegotiated the debt with creditors.
Now the problem with that is United States treasury bonds are like oxygen in the financial system. They are the collateral for so many financial institutions and for so many transactions. If you renegotiate the value of that collateral, the whole system collapses.
BARTIROMO: Yes. But...
(CROSSTALK)
HILSENRATH: You can't renegotiate. It's like when the housing market collapsed that was the collateral on all these mortgage bonds and our system collapsed. U.S. treasuries are, they're the air that the system breathes on.
BARTIROMO: Yes. He's also talking about redoing trade deals, Morgan.
ORTAGUS: Right. And the first thing on my mind goes to the other is the trade deal that you referred to then his tax plan or renegotiating the debt is where is Congress in all of this. Because, you know, it's great to be king but we have a system of checks and balances, so none of this stuff can happen whether it's really renegotiating to it.
BARTIROMO: Yes, got the point. Yes.
ORTAGUS: I mean, this is the -- Senate has to approve all of this. So, he's going to have to work with Congress and work with what maybe a democratic-controlled Senate if he were the nominee if he were to win to get any of this done.
BARTIROMO: It's really important point. Mercedes, what's your take on the debt comment and as well as, you know, comparing Trump's tax plan to somebody like a Ted Cruz which is a flat tax, which is very different, but Cruz also wants to eliminate all those loopholes including carried interest.
SCHLAPP: That's right. I think for Donald Trump his goal is to say, look, it's the art of the deal, I'm going to renegotiate these trade deals with these countries and that's going to be my ticket to reducing or eliminating the national debt.
Is it possible, is it doable? It's going to be incredibly tough to do that. You'd also have to cut spending and that's one of the -- that's where, again, as Morgan mentioned, Congress is going to play a critical role.
BARTIROMO: Right.
SCHLAPP: But Donald Trump's strength is the fact that he's going to be able to say, hey, I'm going in here, I'm going to be able to bring republicans and democrats together and we will make better deals and will negotiate better deals.
The problem is as we know with Congress it's very slow moving to get anything done.
BARTIROMO: Yes. What's your take on the other side, Mercedes, Hillary Clinton getting some heat now for her reaction to expectator's question last week. Watch this. I want to get your reaction.
(BEGIN VIDEO CLIP)
UNIDENTIFIED FEMALE: Will you action your words and reject fossil fuel money in the future in your campaign?
HILLARY CLINTON, (D) U.S. PRESIDENTIAL CANDIDATE: I have money from people who work for fossil fuels. I am so sick of the Sanders' campaign lying about me. I'm sick of it.
(END VIDEO CLIP)
BARTIROMO: Clinton responded to criticism yesterday on Meet the Press. First off, your take on that exchange, Mercedes?
SCHLAPP: Well, it just shows you that when Clinton is a bit unscripted...
BARTIROMO: Yes.
SCHLAPP: ... she comes across a bit harsh and I think to Sanders' point what has been phenomenal about Sanders has been his fund raising capability. Where he's been able to attract small donors. I mean, he raised $44 million in the last quarter. This is a candidate that's still the Clintons are saying, he can't get the nomination.
With that being said, Hillary Clinton where is she getting her money, from corporations, from Wall Street and that's a narrative that's been told in different states in the democratic race.
BARTIROMO: Yes. She reacted too that on Meet the Press yesterday. Listen to this.
(BEGIN VIDEO CLIP)
CLINTON: They are misrepresenting my record. I'm just not going to -- I feel sorry sometimes for the young people who, you know, believe this, they don't do their own research and I'm glad that we now can point to reliable independent analysis to say, no, it's just not true.
(END VIDEO CLIP)
BARTIROMO: OK. Jon, Morgan, your thoughts?
ORTAGUS: Well, go ahead, Jon.
HILSENRATH: I like seeing come of these candidates unscripted. I like seeing them, you know, with the veil of the smile and these talking points. You know, good for her for speaking up.
BARTIROMO: OK.
ORTAGUS: Well, and I think this shows the effect that Bernie Sanders has had not only in the democratic race but on the republican side. I mean, if you're looking it from a Wall Street perspective, no one -- everyone is talking as you said about getting rid of carried interest.
BARTIROMO: Yes.
ORTAGUS: Getting rid of loopholes. This race has been changed not only in the democratic side but on the republican side. And I think Wall Street is going to see a very different president and Congress when they had contested years.
(CROSSTALK)
HILSENRATH: That's a really important point when, you know, carried interest is just being -- is being shut aside by both of the leading republican contenders. I mean, that wasn't in the course a few years ago.
ORTAGUS: And by Ted Cruz.
BARTIROMO: Yes. It looks like that's going away. Mercedes, final comments.
SCHLAPP: Well, you know, I think right now we're all looking to see what's going to happen in Wisconsin. Wisconsin is going to be sort of the fire wall against Trump.
BARTIROMO: Yes.
SCHLAPP: But Trump has an advantage going into these other states in the upcoming weeks. So, that's what we're looking closely at is tomorrow's race, which is hoping to at least put a fire wall in terms of Donald Trump.
BARTIROMO: Yes, that's a good point, Mercedes. Because tomorrow is Wisconsin, but two weeks later you've got New York, and then you've got Connecticut, New Jersey, Pennsylvania and then, of course, California.
Mercedes, good to see you. Thanks so much.
SCHLAPP: Great to see you. Thank you, Maria.
BARTIROMO: We'll see you soon, Mercedes.
Make sure you tune in for Fox Business for our special coverage of the Wisconsin primary tomorrow night. Beginning at 8 p.m. Eastern tomorrow night right here on the Fox News Network.
We have breaking news, we want to get you right away, Alaska Airlines, it is confirmed will acquire Virgin America. The deal valued at $4 billion. Alaska Airlines is paying $57 a share, Virgin America shares jumping on the news, take a look at the stock this morning.
Later this hour, we will talk and hear from Donald Trump from Greta's interview last night about how he looks at mergers and what he's expecting mergers to result in. Again, Alaska Airlines will acquire Virgin America. And as you can see Virgin America shares are trading up this morning.
Straight ahead, another train derailment just outside of Philadelphia to tell you about. This one left two people dead, another 35 injured. Details coming next.
And then Blue Origin, the brain (Inaudible) of Amazon CEO, Jeff Bezos successfully launched and landed rocket over the weekend. The stunning video of the picture-perfect landing, next. Back in a minute.
(COMMERCIAL BREAK)
BARTIROMO: Welcome back. A deadly Amtrak derailment just out of Philadelphia leaves two people dead, 35 others injured. Cheryl Casone with the details and the other headlines right now. Cheryl, good morning to you.
CHERYL CASONE, FOX BUSINESS CORRESPONDENT: Good morning, Maria. Good morning, guys. Well, investigators continue to look into multiple factors that may have caused the derailment of a train traveling from New York to Savannah, Georgia early Sunday morning.
The train crashed into a construction vehicle just outside of Philadelphia. Hurling passengers in the air leaving the engine crumpled and windows shattered. The train was carrying about 340 passengers, one of them which is saving Forbes Media chairman Steve Forbes. He is going to be joining you, Maria, on set here 8.40 Eastern Time this morning. Glad he's OK.
Well, meanwhile, today, strong winds and winter weather are causing massive damage and power outages across the northeastern part of the United States. Winds gust reaching up to 55 miles per hour this weekend, knocking down power lines and trees, killing at least two people and leaving more than 19,000 customers without power.
And Amazon founder and CEO Jeff, his rocket startup Blue Origin successfully launching rocket in unpiloted rocket into the atmosphere before safely landing it back on the launch pad. This happened over the weekend. This is the third time in four times that Mr. Bezos has completed a successful launch in west Texas. Elon Musk, Maria, not having the same type of luck with his own rockets we should say.
BARTIROMO: And why is that? I mean, it's amazing how perfect the Amazon launch has been?
CASONE: Yes, the Amazon launch has been. He's been very under the radar. The grand Elon Musk is trying to land out in the water. So, maybe that's part of it, I don't know.
BARTIROMO: There's this billionaire's race going on in space, Jon. Who is winning form your perspective?
HILSENRATH: Well, you know, I think whose winning is the private sector. This is a great example of what happens when the public sector retreats from a part of the economy. So, you know we have space shuttles that NASA was doing all of this work many years ago.
They've retreated and now we see the private sector stepping in and doing their own rocket launch.
CASONE: Yes. So much for NASA. There's a lot of talk about as getting tomorrow sooner than later. You know, so you're right. Private -- look at Richard Branson and what he has done to space.
BARTIROMO: Yes.
HILSENRATH: Yes.
CASONE: He's like, we're all going to space.
(CROSSTALK)
HILSENRATH: And this is the kind of thing that we used to think only the government could handle. That only the government had the resources to do technology or launches like this.
BARTIROMO: Yes.
HILSENRATH: And we are seeing people with a lot of resources going into it.
BARTIROMO: It's a good story to see this kind of innovation. This was as I mentioned, speaking of Richard Branson, today, the news of the day obviously is that he is selling Virgin America to Alaska Air, it was some - - there was some speculation about competition between JetBlue and Alaska Air, obviously Alaska Air wins this.
CASONE: Yes. You know, Charlie Gasparino reported on this Friday, Maria. He was ahead of this, he moved the stock on this news and he was right, the bidding war began, but it looks like it's over now. And it's going to be some regulatory issues potentially with this, but overall, the deals lock solid.
HILSENRATH: The eminent, Maria, is really interesting to me right now. In addition to airlines, I'm looking at hotels; this whole Starwood deal is fascinating. We had the Chinese company looking to get in to buy Starwood, they've now backed down. I think we have to pay a lot of attention on what's going on with Chinese companies investing in the United States right now.
BARTIROMO: Well, give us your take away on that because...
(CROSSTALK)
HILSENRATH: Of course. Well, the Journal has a big story on this today, I'm trying to understand what's going on, what we are -- what we are seeing in China is firms trying to get their money out, individuals trying to get their money out. There's a lot of downward pressure on their currency.
If you flip that paper over, you'll see we have a big story how AmBank pulled away.
BARTIROMO: Yes.
HILSENRATH: I think the Chinese authorities are getting concerned about all the money flowing out of the country. And they said, all right, step away from this deal, we don't want -- we don't want to be a part of that.
BARTIROMO: So, that's what it's a part. Yes. I know the money has been and pointing a home in the U.S. by the way.
HILSENRATH: Exactly.
BARTIROMO: Jon, thank you.
We'll take a short break. Don't forget driverless cars. Coming up, Toyota announces a new partnership this morning to create new technology that among other things will automatically sense your presence. Adjust the seating even open doors for you when arms are full.
But first on Fox Business, interview coming up. Then the NFL will not like this, why Facebook is refuse to update its status when it comes to streaming NFL games. Back in a minute.
(COMMERCIAL BREAK)
BARTIROMO: Welcome back. Toyota announcing in partnership with Microsoft this morning called Toyota Connected. Together the venture aims to create and develop, new car technology, think one car using the cloud to talk to another car miles away. Well, how about sensing your presence and opening doors automatically especially when your hands are full.
I want to bring in Zack Hicks, the CEO of this new venture Toyota Connected in a first Fox Business interview. Zack, good to see you. Thanks so much for joining us.
ZACH HICKS, TOYOTA NORTH AMERICA CIO: Good morning, Maria. Thanks for having me.
BARTIROMO: This entire story is so fascinating to me because it feels like the automakers are going through a massive new revolution with technology. Talk to us about this venture and what's possible today in your car.
HICKS: Sure. Well, Toyota Connected were a new Toyota startup. We are partnering with Microsoft and we're very focused on data science and data analytics and creating some cutting-edge services for the car that we haven't seen before in the past.
We're also going to be focused on building services for the consumer, business to business, as well as government agencies as well, and internally we're on every aspect of Toyota from design and manufacturing. The data is really transforming how we design and build and deliver the cars, but more importantly what's happening in the car.
So, knowing enough about you and your preferences to make you have a great experience, taking technology and making it less confusing and turning it more human. So, I can give you an example of that.
So, for example, if you get into car, we know that you like Mexican food, the next time you're in the car with your spouse and say I'm hungry, where do you want to go, you can ask the car and will say, well, hey, I happen to know base on the upper views, there's a great new Mexican restaurant down the street and open table. Those are tables at 7 o'clock; you want me to book it. That's an example of making life easier.
BARTIROMO: That's unbelievable. The convenience of it is obvious. I mean, it's just a great story. How do you protect the information within your car? Because if you're talking about your car becoming this whole new place where all my data and personal information is, it's almost like my car becomes my phone. So, how do you protect that kind of data?
HICKS: Yes, that's a great question, Maria. And that's one of the key reasons why we are partnering with Microsoft. I don't think any company can go alone on something this big and something that important. We are also partnering with other -- the whole auto industry in U.S. government as we form the Auto-ISAC.
BARTIROMO: Jon Hilsenrath.
HLSENRATH: Zack, how far away are we from the cars driving themselves?
HICKS: I think that's certainly in our future. I don't necessarily see this is going to change overnight because, you know, iCars last for a long time particularly Toyota is on the road. But we are already seeing augmented driving today.
So, today, in many of our vehicles if you're driving on the road traffic stop and you're still accelerating we are going to take the action and bring you to a safe stop. So, you're already starting to see that augmented driving -- I'm sorry?
HILSENRATH: Will grandchildren be sitting in cars that drive themselves?
HICKS: I think so, too. But I also think too, people like driving, people like the freedom. So, I think you are going to see both. I think you'll have the option if you want to be able to do other things in the car, you may not have to worry about driving. But I also think that if you want that great experience and the freedom on the road you're going to have that, too.
BARTIROMO: Yes. Car are all going close that autonomous drive. That's an autonomous car, Morgan.
ORTAGUS: Good morning, Zack. I'm curious how the regulators impact all of this. Because these cars are producing what I understand like tens of millions of minds of code that of course Microsoft and Google want. And the regulators are a little bit old school and they seem to be bit behind you, and Toyota and of course the other companies.
So, how does regulation play into this? How do regulators keep up with what you're doing which is innovative and interesting?
HICKS: Yes. You know, I think technology is kind of always ahead of legislation and we get that, I think through our partnerships and partnering with the government and other country's governments, we're able to work in partnership because we can't really do this alone.
Because if we think about vehicles talking to other vehicles and vehicles talking to infrastructure, it really is an ecosystem where we need to partner together. So, we can't go it alone and we want their partnership.
BARTIROMO: Are most of the cars made in the U.S. or in Japan, Zack?
HICKS: Well, we make about over 70 percent of the vehicles here in the U.S. are made here in the U.S., but we try to produce vehicles locally wherever we sell cars.
BARTIROMO: I got you. Zack, good to see you. thank you so much.
HICKS: Thanks for having me.
BARTIROMO: We will be watching. Really exciting stuff going on at Toyota. And we will be watching ISAC is there.
Coming up next, Facebook withdraws its bid to live stream NFL games next season. Find out why the social media giant decided not to play ball after all.
Then, World War II veteran awarded five medals for his service 70 years after returning from the war. We will tell you why it took so long for him to receive this honor. Just an amazing story, coming up. Back in a minute.
(COMMERCIAL BREAK)
BARTIROMO: Good Monday morning, everybody. Welcome back. I'm Maria Bartiromo. It is Monday from April 4th. Your top stories right now at 6:30 a.m. on the east coast.
The race for Wisconsin coming down to the wire. Candidates fighting for every last vote going into tomorrow. There is a renewed push, though, for Ohio Governor John Kasich now to get out of the race, but he's still looking ahead for that convention.
(BEGIN VIDEO CLIP)
DONALD TRUMP (R), PRESIDENTIAL CANDIDATE: No, I actually think he hurts me more than he hurts Cruz. Kasich right now is he's got one win and 29 loses, and he shouldn't even be in it.
SENATOR TED CRUZ (R), PRESIDENTIAL CANDIDATE: It's possible for Republicans to throw the election away. I think nominating Donald Trump would do just that.
JOHN KASICH (R), PRESIDENTIAL CANDIDATE: It will so much fun. Kids will spend less time focusing on Bieber and Kardashian and more time focusing on how we elect presidents.
(END VIDEO CLIP)
BARTIROMO: Merger Monday on Wall Street, meanwhile, consolidation coming to the airline industry. This morning, Alaska Airlines beat out JetBlue to acquire Virgin America. The deal valued at $4 billion. We've got the breaking news this morning.
Tesla racking up nearly $10 billion in Model Three orders. Elon Musk tweeted out that the company received 276,000 pre-orders of the low priced sedan.