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Training Academy In Quetta Attacked In Pakistan Monday Night; Veterans

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And "BREAKING NEWS" overnight, a deadly attack in Pakistan at a police academy. Three bombers reportedly stormed a training center and they held hostages for several hours before detonating explosive vests, killing at least 59 people, injuring more than a hundred others, mostly police trainees. The Islamic State has claimed responsibility for this assault. I want to bring in Retired Four-Star General and FOX News Military Analyst, General Jack Keane. General, thanks so much for joining us this morning. Your reaction to what took place in Pakistan overnight.

JACK KEANE, RETIRED FOUR-STAR GENERAL AND FOX NEWS MILITARY ANALYST: Yeah, this is a (INAUDIBLE) organization that's conducting this attack in Quetta, in Balochistan Province, which is south of Afghanistan, an area that we're all too familiar with, because this is actually, Maria, the headquarters for the Afghan Taliban, which has a bonafide sanctuary in Quetta, protected by the Pakistan military. But this is Al-Qaeda, radical Islamists, who definitely want to overthrow the government of Pakistan, they've been on a war with them going on 15 years now. Pakistan conducts major military operations against them, usually in what's referred to as the northwest tribal areas despite the level of violence that occasionally happens in Quetta, serious situation to be sure, and one that Pakistan military will react to.

BARTIROMO: Well, you know, Hillary Clinton was on the campaign trail and she basically said yesterday, he's declaring failure before the fight has even started. I feel like the fight has been raging, whether it's in Pakistan, or in Syria, or throughout the Middle East. How would you characterize where we are right now with the fight with ISIS and the effort to take Mosul?

[06:34:57] KEANE: Well, first of all, dealing with ISIS, we're making some progress in Iraq, that's obviously clear to our viewing audience. We're about to talk Mosul back, that'll take weeks, it could take months based on the level of resistance, what ISIS is doing right now, is they're conducting what they would refer to as a counteroffensive phase. The Iraqi security forces and the Peshmerga are taking some villages on the outskirts of Mosul and ISIS is conducting attacks, other places to divert resources to them. They just conducted an attack on Anbar Province yesterday, in Sinjar, which is the northern part of Iraq, and also, as we all witnessed a couple of days ago in Kirkuk. This is part of an overall plan they have, to slow down this advance, to drag it out over time, and also to increase the casualties among the Iraqi security forces.

BARTIROMO: I've got to turn your attention, General, to Russia. Russian authorities are conducting nuclear bomb survival drills. According to the Wall Street Journal, they are the country's biggest civil defense drills since the collapse of the USSR. One of the lead stories in the journal, Russian authorities have stepped up nuclear war survival measures, a mini showdown with Washington, dusting off soviet era civil defense plans and upgrading bomb shelters in their bigger cities, we know a couple of weeks ago, Putin ordered all diplomats, et cetera to go back to Russia. What do you make of this development? Are we actually seeing the beginnings of yet another Cold War?

KEANE: Well, it certainly feels like. And I think most people are reluctant to say it because we are hoping that we're able to work something out with Russia, but Russian aggression is clear, it's obvious, they're on the move. They influence the situation in Georgia, obviously Crimea, Eastern Ukraine, Syria, and clearly, what they're really seeking, is they want to return the security heads that they had in Eastern Europe, particularly the Baltics, and they would like the force to collapse in NATO. These are strategic objectives for them. In the meantime, what -- Putin is a master, Maria, at psychological warfare. He's got serious economic problems, as you reported many times here on your show, and his popularity is starting to dip inside of Russia. He loves to maintain a crisis atmosphere in the country. The civil defense exercises are created to be a part of that, to be sure. Four days, 40 million people involved in those kinds of exercises. He talks openly as do some of his generals that nuclear weapons are not off the table in warfare, as they have always been in the past during the Cold War. So much of this, I don't believe Putin in his mind, believes that he's willing to have a nuclear exchange with the United States and hope that Russia is inhabitable after that. I mean, that is just not the case.


KEANE: But here's the - here's the serious thing, in every one of their exercises, Maria, they do play nuclear weapons on a tactical level to accomplish military objectives, and that is something that we have to take very seriously.

BARTIROMO: Yeah, for sure. I mean, we've talked about this a lot on this program and the fact is, when oil prices first plummeted about a year and a half ago, his first move was to create more of a crisis, so the Russians would not focus on the fact that the economy was crumbling, with oil prices coming down the way they were. So what does he do, he inserts Russia into the Syria conflict, just inserts them, now they are there protecting Assad, so it is -- you wonder how far he's going to take this, is basically the point.

KEANE: And we - and we truly don't know.


KEANE: And that is why we believe American leadership is vital in this area. Putin respects strength, his predecessors did in the Soviet Union, deterrence is a factor of two things; one, is you have to have real capabilities as you put in front of them, and we don't have those in Eastern Europe now, and two, you have to have the intent to use them, and we don't have that in American leadership nor do we have it in the feckless European leadership.


KEANE: So you can understand why he's taking advantage of American and European leaders.

BARTIROMO: Right, he sees an opening. He wants to be the tough guy of the world, and that's exactly what he's doing. I got to ask you about this other story, General, lawmakers condemning an effort by the Pentagon to reclaim enlistment bonuses given to thousands of California National Guard soldiers. The Pentagon was demanding repayment from, what, 9,700 soldiers for the bonuses that they received. They were often reaching more than $15,000. This is a lot of money to these people. General Keane, what's your reaction to this? What needs to be done about the Pentagon trying to get these soldiers to pay back their bonuses? Give back the bonus.

KEANE: I've never heard of anything quite like this. Look, if -

BARTIROMO: It's stunning.

[06:39:48] KEANE: If a soldier received more than his base pay, he's obligated or she's obligated to notify the government, and make sure the money is back. But that's not what we have here. These are bonuses that come out of a pool, that's available based on what the need is. And the need at the time, was combat in Iraq and Afghanistan. And these soldiers did that and volunteered for it, and this outrageous that we're taking this money away from them. The Pentagon - Secretary Carter's got to step in here, bring some sanity to this, wave it for the future people, and certainly those whose money, the people who paid it back, put the money back in their pockets. This money had to be in their mortgages, in their - in their kids' education, rightful purposes to be used for these incentive bonuses that we have for our soldiers, and I just cannot understand why we are still permitting this to go on.

BARTIROMO: It's another smack in the face to the veterans. I mean, we heard all over north earlier basically say, "Here's a news flash, most of these guys and gals are living paycheck to paycheck." This is going to hurt. So we will be watching that. General, it's good to see you today, we so appreciate your time.

KEANE: Good talking to you, Maria, as always.

BARTIROMO: Thank you so much. General Jack Keane, joining us there. We will be speaking to two veterans this program, this morning, Sergeant Robert Richmond and Sergeant Bryan Strother, who are fighting back against the Pentagon's efforts, demanding the repayment from soldiers. That's in the 8:00 a.m. hours of Mornings with Maria, stay with us to hear right from them, in terms of what the impact of this is. Coming up, earning season is driving markets this morning, no doubt about it. More on the third-quarter results round-up. Coming up, DuPont beat Eli Lilly miss. We're back in a moment. And then, Uber delivering a dose of health today. How the ride- sharing service plans to help you fight the flu, that's next, back in a minute.


BARTIROMO: Welcome back, we are expecting a higher opening for the broader market today. Take a look. The Dow Jones Industrial Average up at 20 points right here, and really earnings driving the story this morning. Couple of names are watching, Eli Lilly stock under pressure today. It is down better than three percent in the premarket. Company just reported disappointing earnings and revenue. The pharmaceutical company reporting adjusted earnings of 88 cents a share versus an expectation of 96 cents a share. Revenue came in at $5.19 billion against an expectation of 5.28 billion, as a result, that stock is down.

[06:45:10] Also, watching Under Armour this morning, the retail is set to report its third-quarter earnings after the bell tonight. Analysts look for earnings of 25 cents a share, the stock is down nearly 18 percent year over year. Had a tougher year, this year and Under Armour is certainly one that we will watch tonight. Investigators are looking into the cause of Sunday's deadly bus crash in Southern California. Here is Cheryl with the details and headlines now. Cheryl?

CHERYL CASONE, FOX NEWS ANCHOR: Yeah, Maria. Well, officials say it appears the driver didn't apply the brakes in the moments before the crash as he was traveling 65 miles per hour. This tour bus you're looking at here, slammed into the back of a semitruck, killing 13 people including the bus driver. More than 30 others were injured. The bus was returning to Los Angeles from a casino. It is one of the deadliest crashes on the road in California history.

Well, here's some good news here. Americans now, looks like have more respect for police officers. According to a new Gallup poll, 76 percent of the U.S. - Americans, excuse me, that were surveyed today, have a great deal of respect for police in their local community. That is the highest level in 49 years, this increase comes after police officers were fatally shot in Dallas, in Baton Rouge earlier this year, among many other attacks against officers. And finally this, Uber is giving away flu shots for free. You have to request it between 11:00 a.m. and 3:00 p.m., it's today only. You open the app, you hit the health option, and then a registered nurse is going to come deliver a flu shot for you and after for other people. Uber is also giving a free care pack to all of its users. It's available in major cities only, Chicago, Houston, DC, and there's some smaller cities around the country. So, if you and your friends want to get together and have a flu shot, yay, Uber is there for you.

BARTIROMO: Interesting. OK. The flu shots won conversation, but getting it from an Uber, is weird. I don't know, what do you guys think?

DAGEN MCDOWELL, FOX BUSINESS NETWORK ANCHOR: Yeah, will they deliver bags of fluid when you're hungover? I come give you a bag, an I.V. bag. A vitamin, a B12 shot. I don't --

BARTIROMO: I mean, it is a registered nurse doing it. So that's good. But it does - it opens up the question, what is Uber trying to do?

JON: Well, I think they're trying to win - they're trying to win a PR campaign. The whole sharing economies under assault. You know, so look at what's going on in New York right now, where they're trying to outlaw Airbnb from, you know, I think -

BARTIROMO: Or they want to get into health. I mean, you know, or it's a new revenue stream that they're hoping to achieve.

MCDOWELL: Well, to crack it down on Airbnb, I kind of understand, because you have people in rental buildings, who are renting their apartments out like their hotel rooms, and it puts the other tenants at risk.

BARTIROMO: I totally agree with you.

MCDOWELL: I have - I have witnessed this. I mean, you have people flying in from overseas, they're not vetting these individuals, and they're - and they're staying down the hotel from you.

JON: Isn't that's the whole point of Airbnb, that could rent out your --

MCDOWELL: No, it's not. Yu don't have - what rights do you have if you're a tenant? You don't have the right to put my life at risk because you're - you want to make a buck.

BARTIROMO: Well, you know, I thought Airbnb was such a good idea until my next door neighbor rented out the house. Right? Who are all of these people? I've never seen them and it's just -- you try to figure out --

MCDOWELL: You can -- subletting is one thing but that - the sublet tenant is vetted through the ripple company, not Airbnb tenants. They come and go as they please.


UNIDENTIFIED MALE: Well, aren't they the biggest, kind of, proliferator of hotel rooms or kind of rental space, whatever. I mean, it's become an enormous industry.

BARTIROMO: Yes, for sure. All right. So I - does that mean you don't want a flu shot from Uber?

UNIDENTIFIED MALE: I would - I would probably go with - I Uber - I Uber everywhere, but I'm wondering, isn't there some sort of medical codes that have to be, kind of, fulfilled before you administer?

BARTIROMO: It is a registered nurse.

JON: How does it work? Does an Uber driver bring the nurse to you?

BARTIROMO: Yes, that's exactly right. That is how it works.

JON: Interesting.


BARTIROMO: Yeah, we're expecting our heads on this one. We'll have to have more discussion on it. We'll take a short break. Coming up, high- tech dashboards, proving to be a roadblock for some automakers. The backlash surrounding efforts to make cars smarter, maybe too smart. And then President Obama took his feud with Donald Trump, right to Jimmy Kimmel last night, and some mean tweets, watch this.


BARACK OBAMA, U.S. PRESIDENT: President Obama will go down as perhaps the worst president in the history of the United States! @realDonaldTrump. Is that right, @realDonaldTrump? At least I will go down as a president.


[06:50:00] BARTIROMO: So, we all know that cars have gotten real high-tech, but is high-tech becoming a burden on car makers. More - many automotive companies, rather, are struggling to keep up with the latest advancements in technology. Issues such as glitches, crashing displays and imperfect voice recognition are among some of the problems encountered. Joining us right now is Automotive Editor Gary Gastelu. Gary, good to see you. Thank you so much for joining us. So, tell us the issue, I mean, your thoughts on how car companies are implementing all the new technology available to us right now.

GARY GASTELU, FOXNEWS.COM AUTOMOTIVE EDITOR: Yeah, this has been killing them in consumer report reviews and the JD Power surveys. The car companies kind of got ahead of themselves. They saw the iPhone, they saw the flat screen, they said, "Wow, we got to get this into our cars." and they sort of rushed into it, and the systems just weren't up to snuff. You know, the interface doesn't always work. Sometimes you need knobs and buttons. They got rid of those at first, they're bringing them back now. The systems were too slow, when you're driving 70 miles an hour down the highway, you need something that's going to react quickly, if it doesn't that's going to drive you absolutely insane behind the wheel. And even if ultimately the car itself works well, if the one thing you use the most is annoying you, you're not going to like that car, you're going to have to complain.

BARTIROMO: And then you're just not going to use it.

GASTELU: Exactly.

BARTIROMO: Right? So, in the latest car consumer report, Lexus topped the list once again, average reliability score of 86 out of 100, among their nine models. Is Lexus one that's doing well with this? Toyota held on to the second spot and Buick moved up to be the third most reliable brand on the market. This is a good list. I think people are going to get some value out of this list. So, what do you make of Buick jumping up a spot from last year?

GASTELU: You know, their system's pretty simple and it's actually one of the better ones, the latest version of it at least. You know, again, these surveys take the whole car into account, it's not just the electronic interphase. But I think Buick has done a better job than some without getting rid of all the knobs and the buttons that drive people crazy the most, you know, when you're confronting with that touch screen, and you have to control the volume by sliding your finger up and down.

BARTIROMO: I don't like that.

GASTELU: It's just very annoying. No, it's not. Honda just recently unveiled its new CRV, bestselling car in America right now behind the pick- up trucks, and the first thing everybody noticed about it, was that its flat screen display which is not something that people have been enjoying lately has a volume knob. All the changes on most car, most people, myself and other critics notice that it has a volume knob, they're bring that back because they know consumers want it.

BARTIROMO: So, one car that actually fell off in reliability, it's no longer being recommended by the consumer report was the Honda Civic. What happened here? This is just one of 11 cars that actually are no longer being recommended.

GASTELU: That was a big part of it. It has this new fully touch screen interface, it has this volume slider, you have to slide your finger up and down the screen. I mean, even the iPhone, has buttons for the volume on this. I think you just have to look at that and realize, "Hey, you know what, maybe the car should have buttons." Now again, a lot of these cars they have buttons on the steering wheel for volume and changing the channels, but for some reason, people just don't get attracted to that, and when you first get in the car, you're not thinking that way, you're thinking this should work over here, I don't want to have to use this buttons over here. Over time, I'm sure you'll learn to use them. But again, they're just kind of learning this interface, but the problem is the car companies have this long product cycles. My Ford Touch, one of the biggest problems ever in the car industry. It launched in 2011, they didn't get around to replacing would think through the new system, which is a little better until last year. And even then, they have to wait for the cars to get replaced before they put it in the new car. They can't just put it in a new car that exists. They have to wait for an update for that car.

BARTIROMO: So, just because you have high-tech on your dashboard, doesn't necessarily mean that it's a good thing.

GASTELU: Absolutely.

BARTIROMO: You know, when we're talking earlier during the break, I have a microwave that's touchtone, and I think it's so annoying. I'd much rather just have the buttons, and I can understand, that gets so much harder when you're actually driving.

GASTELU: Yeah, absolutely. Like I said before, I mean, you don't have a steering wheel on an iPhone. And you know maybe a touchscreen in a car isn't the only way to do it, you need these other controls, you know, when you're driving and you want to grab for something, you need a place to put your finger before you push it in. Even Tesla which has a big giant screen, which is more and the better interface because it has big icons --


BARTIROMO: Yeah, I saw that. That's true, yeah.

GASTELU: -- and with your fingers like that, you can sort of hit it, but even then, you don't have anywhere to, like, put your hand to steady it and a lot of times you miss the button that you're trying to press. They're figuring this out, it's just too slow. I mean again, 2011 was when my Ford Touch came out. I think the iPad came out in 2010. Haven't we had a dozen new iPads since then? The car companies just need to figure out how to do this quickly. Wanting they've done, it's very smart, most of them - just about all of them have moved over and have integrated this new Apple CarPlay and Android auto-systems, which basically mirror your phone on the display. It's very simple interface, it works pretty well. They need to move more on that direction or they could try to do it themselves.


BARTIROMO: Simple is better when you're driving, bottom line. Gary, good stuff. Thank you so much. We'll go to for more on that. Coming up, the election could have been a major impact on mergers and acquisitions. Steve Forbes is up next weighing in on what the race for the White House mean to markets and deals. That's next hour. MORNINGS WITH MARIA back in a minute.


[07:00:07] BARTIROMO: Good Tuesday morning, everybody. I'm Maria Bartiromo. Welcome back, it is Tuesday, October 25th. Your top stories right now. 7 a.m. on the east coast.


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