Earthquake Strikes Italy; Myanmar Also Hit by Earthquake; Clinton and Trump Ramping Up Attacks; Soaring Cost of EpiPens Causing Outrage; A



and Trump Ramping Up Attacks; Soaring Cost of EpiPens Causing Outrage; A

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Industry, Produces Sunscreen Lotion - Part 6>

Mary Epner>

and Medicine; Retail Industry; Earthquake; Italy; Myanmar; Donald Trump;

Clinton Foundation; Backpacker Hotel; KFC>

But that being said, it's just bad business, I think, ultimately because when you do something like this you're asking for regulators to come down on your back side.

KELLY: And shareholders to sell stock which they have done yesterday.

MCDOWELL: You're asking for lawmakers to have hearings about drug price increases, but somebody did tweet yesterday. Look, I bought epinephrine shot generically and I didn't pay that much money for it.

SMITH: OK, so let's just talk about these numbers. She reportedly, the CEO of Mylan, reportedly made $2.5 million in 2007. The year of the EpiPen acquisition, OK, that's the year that they bought the company.

In 2015, last year, her total compensation was $18.9 million and it could have been slightly more than that and it appears that it has been even more than that.

ROGINSKY: What was the stock -- how was the company performing in that intervening period?

KELLY: Here is the thing, this is such bad optics. Everybody knows that this has been under the scope not only of the political candidates, but also Congress who are looking at these drug prices being raised as well as a thing like the EpiPen, as management why would you do this?

ROGINSKY: But it's more than that because the politicians are also looking and trying to put more regulations in terms of companies performing well then get your raise. If your company is not performing well and you continue to get the raise, then the shareholders are getting screwed essentially.

SMITH: So "Forbes" report she's made $38.9 million in compensation over just the past two years.

MCDOWELL: If you're unhappy with it then don't own the stock, right.

KELLY: People are dumping it.

MCDOWELL: Right. And there was a problem with Sanofi making the epinephrine pen as well.

SMITH: All right, more news on Tesla, unveiling a new product that will make its model as the fastest-production car. More on the speedy plans and how it compares to like a Ferrari, next.


SMITH: Big news from Tesla, CEO Elon Musk revealed the company is now the maker of the world's fastest production car and debut a new battery for its Model S and X vehicles.

Joining me right now is an ABR Investment Strategy CEO, Brad Gastwirth. Brad, do you think this announcement is going to be good for the company long-term and the stocks?

BRAD GASTWIRTH, ABR INVESTMENT STRATEGY CEO: First of all, it's very much an in-line expectation. Elon Musk has been talking about efficiencies, increasing about 5 percent per year on the battery.

So you know, we got a little bit better than 5 percent increase, is it positive for the stock long-term, it's certainly psychological positive.

Now if you look at the range, over 300-mile that you can get without a charge, which is certainly more negative cases on electric cars as how far you can drive them before you can charge them.

It's a positive development. Is it a stock moving catalyst by itself? Not really, but it is a positive in the right direction.

SMITH: All right, is it a cool car?

MCDOWELL: Yes, it's very cool. So they're bragging about this being the fastest-production car that's going to be manufactured. Guess what, traffic fatalities rose in the first half of this year and the faster that these kind of normal cars get, the more dangerous it is for the roads. I love cars. I know -- I love cars, but a lot of -- a lot of the cars on the road they simply go too fast.

ROGINSKY: But I will say Tesla used to be a client of mine so I got to test drive a Tesla once or twice. It is literally the cool -- I mean, I can't even begin to tell you, it's like taking a rotary phone, which is what normal cars are and going to an iPhone, which is what a Tesla is. It's not the same product. They're so awesome and cool and I wish I had an extra 150 grand to buy one.

KELLY: We are calling ludicrous mode too so it's got the cool factor to it. It's going to be a very expensive car, though, so it's not going to be meant for the masses.

SMITH: People will pay for it, right, Brad? So let's get to this new battery that is available for its high-end Model S and X vehicles. That'll extend the driving range without stopping to charge it. Extended by quite a bit beyond the 300 miles and it pumps up acceleration which is why we are talking about it. What kind of demand does Tesla need to see from customers wanting these new batteries to make the product successful? Are people going to want it?

GASTWIRTH: Well, all good questions and first of all, I'm fortunate that I do own a Model S. It is ridiculously fast but, you know, I'm surprised with all the autopilot talks. I mean, autopilot works so much better than I ever thought it would. There's concerns about the accidents.

But going to your question on the 100-kilowatt, it's important, the cost with 100-kilowatt is certainly not cheap. The other thing that you know a lot of people don't realize that you can upgrade, you can upgrade to 100- kilowatt.

And Tesla will charge $20,000 to upgrade the battery that you currently have. So that's another highly profitable thing that could help. I mean, obviously they lose money right now, but their trajectory is incredibly impressive.

SMITH: All right, so this is going to be the world's fastest accelerating car in production, quantify that for us before we leave.

GASTWIRTH: So 2.5 seconds is the P100. Mine only goes 2.8 seconds. It's faster than anybody needs.

MCDOWELL: Exactly. They will throw your butt in jail if you get busted.

SMITH: Brad Gastwirth, thank you very much. Still to come health warnings are targeting the alcohol industry, more on how competitors are coming together to fight back in the next hour of MORNINGS WITH MARIA.


SMITH: Good morning. I'm Sandra Smith. It is Wednesday, August 24th. Your top stories at 7 a.m. Eastern. Breaking news overnight, an earthquake rocking Central Italy.


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