Pilots Tell NTSB About Crash: Bloomberg West (7/9)

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July 9 (Bloomberg) -- On today's "Bloomberg West" the focus is on innovation, technology, media and the future of business. Hosted by Emily Chang with Editor-at-Large Cory Johnson and Senior Correspondent Jon Erlichman from Bloomberg's San Francisco studio, it showcases the personalities, companies and trends that are transforming the global economy. (Source: Bloomberg)

All of the occupants exits with -- within 90 seconds.

It typically uses a line crew to serve as the flight and cabin through during this evacuation exercise.

Our operations have spent the last day and a half interviewing the crewmembers.

When a 3gs or day i indicated they were conducting interviews yesterday.

They took longer than our team they interviewed two of the flight crew members today.

They have completed three of the four interviews.

The fourth interview is being conducted now.

I will talk to you about the four flight crew members.

I will share information about their experience as relayed to our investigations -- investigators during the interviews and some observations they have reported to our team.

All of the crew members have been very cooperative and forthright with our team . interviews took longer than expected he he wanted to make sure they were thorough -- because we wanted to make sure they were thorough and there were required translation needs.

The cooperation that asiana airlines members has not been validated by our -- and this is information that has been relayed by the individual pilots.

Could be modified if we compare it to paper records.

I will provide you a summary of the high points.

There were three pilots in the cop it at the time -- cockpit at the time of the crash.

There was one pilot in the backseat of the cabin during the approach and landing into san francisco.

I will talk to you about the pilots and i will refer to them as the pilot flying who is sitting in the left seat, the instructor pilot who was seated in the right seat, the relief first officer who is sitting in the jump seat, and the relief captain who is sitting in the cabin.

I will talk about the pilot flying.

The pilot in the left seat.

He reported that he had 9700 hours total flight time.

He had about 5000 hours as a pilot in command.

This was his initial operating experience in a 777. to complete operating experience for asiana airlines, he is required to have 20 flights and 16 flight hours.

He had 10 legs.

He had completed two legs and about 35 hours flying in the 777 . he was about halfway through his initial operating experience on the 777. he was hired in 1994. he did his initial training in florida.

The flying pilot is rated in the 777, 747. a- 320, and 777. he was a ground school instructor and instructor for the a320 and a- 321. he was a captain on the a- 320 from 2005-2013. he was flying as a captain on the a-320. the instructor pilot seated in the right seat is also a captain.

He reported to our investigators his total flight time is 13,000 hours.

He estimated he had about 3000 hours in a 777. his total pilot in command time was about 10,000 hours.

He had been in the korean air force for 10 years.

He reported that this was his first trip as an instructor pilot.

The instructor pilot stated that he was the pilot in command.

He was seating -- a seated in the right seat.

This was the first time that he and the flying pilot that he was instructing had flown together.

The relief first officer who was sitting in the jump seat reported to our investigators that he had 4600 hours flight time.

He estimated that he had 900- 1000 hours flying the 777. he flew f-5 and f-15 in the korean air force.

He had flown to san francisco five or six times as a pilot monitoring.

The fourth pilot who was serving as the relief captain was not in the cop it -- coc kpit for the approach.

He was seated in the cabin and his interview is currently underway.

Here are some observations from the crew members that have been interviewed.

This information needs to be cooperated with the voice recorder and other information . we are reporting to what witnesses stated in their interviews.

Ok.

this information came from the crew interviews.

As approaching they were supposed to maintain 180 knots.

This aircraft has a max 160 knot s to put down the landing flaps for their final configuration.

The crew relayed additional information that the pilot seated in the jump seat, the relief officer, identified that he could not see the runway when a taxi from the seating position.

The nose was pitched up.

They could not see the runway.

The instructor pilot stated -- and this is the best of his recollection in the interview -- that they were slightly high when they passed 4000 feet.

They set vertical speed mode at about 1500 feet per minute.

At about 500 feet, he realized that they were low.

He reported seeing three red and one white.

He told the pilot to pull back.

They had set the speed at 137 knots.

He assumed the auto throttles were maintaining speed.

Between 500 feet and 200 feet , they had a lateral deviation and they were low.

They were trying to correct at that point.

200 feet, he noticed the airspeed was in the hatch area.

He recognized that the auto throttles were not maintaining speed.

Established a go around attitude.

He went to which the throttle forward.

He stated the pilot had already pushed the throttle forward.

There was a description of the event.

Again, this is from the interviews of the crew.

After the impact, the aircraft ballooned.

It went left and went into a 360 degree spin.

Of the individuals in the cockpit, the first officer was the one that received medical treatment.

He was hospitalized and released.

He had a cracked rib.

Neither of the two pilots in the cockpit were submitted to the hospital.

There have been some questions about operation on an air carrier and what the requirements are for air carriers for other countries versus operations in the united states.

At the beginning of the investigation, we are gathering information.

We are doing documentation.

We will have an opportunity to look at all of that information down the road.

If you want specific details about what is required, what the regulations are with respect to the training in the u.s. versus other countries, i would refer you to the auto aviation administration.

They might be able to provide more details at this time.

Our staff can provide you with contact information after the press conference about how to get in touch with them.

Drug and alcohol testing is required for part 1 21 carriers.

They are commercial operators based in the united states.

Part 129 refers to the commercial operators that are based in foreign countries.

Under part 121 requirements, crews involved in an accident are required to be tested for drugs and alcohol.

We made inquiries after our arrival on the scene regarding drug and alcohol testing.

None of the crew members on the asiana airlines flight 214 were tested for drugs or alcohol prior -- post crash.

We have a number of family members, survivors who are at our family assistance center.

There are efforts to work with them.

We want to try to brief them before we provide briefings to all of you.

I appreciate your patience.

Thank you for being here today.

I'm ready to take questions.

Actually, if you could identify yourself?

Yes, sir?

I was wondering if you could talk about whether there was an escape shoe?

-- cuthute?

Sure.

We heard numerous reports about slides.

You are listening to the ntsb chief executive briefing reporters and the public on this weekend crash of asiana airlines flight 214 in san francisco.

Here are some of the things we have learned.

The asiana airlines flight pilot had completed about half of his training on the boeing 777. two other the pilots had not flown together before.

It was the pilot in command's first flight as an instructor.

Let's continue our coverage on "bloomberg west." emily?

Thank you, pimm.

We will continue to monitor this press conference.

The ntsb chairwoman continues to brief us on the investigation into the asiana airlines flight 214. you heard pimm give the rundown.

Three pilots were in the cockp it.

I want to bring in our editor at large, cory johnson.

He is at san francisco airport.

You have been following this.

What stands out to you?

I'm surprised they do not have all of the interviews from the pilots.

I was shocked they did not get a drug test.

Not that there is any reason to think something is going on, that it is standard operating procedure.

It sounds like the pilots knew they had a problem and were not communicating.

They knew they had a problem and were not communicating it.

They were coming in with too little power.

Right.

Ntsb said they got no distress calls.

Pilots -- it can happen in seconds.

She explained things very patiently and calmly and slowly.

That is not the way things unfold.

They unfold in seconds.

One pilot tried to correct it.

But the pilot had already tried to correct the problem.

At one point they could not see the runway.

He must've been in one of the side positions of the cockpits.

What about the fact that it was the first time the instructor pilot and the pilot in command had flown together?

There is always a first time.

They were not totally filler which each other -- and there were not familiar with each other was one part.

There have been arguments between pilots that have resulted in plane crashes.

In this case, we do not know if that was a contributing factor.

Certainly having a harder there is better than having strangers there.

Right.

She did say three of the four interviews have completed.

They are continuing right now.

There are a lot of translation issues.

She said all four of them are being cooperative.

All of the information is not been collected.

You can imagine they feel terrible.

Among the things that might have happened, there might have been a mechanical problem we do not know about.

They perhaps could have been getting the wrong information and do not realize they were in trouble until they saw they were in trouble.

It would have to examine the black box and maybe the examination of the engines themselves.

She did talk about an engine fire and the plane spinning 360 degrees.

I saw the plane.

Well, what was left of the plane.

I went and bought a ticket that he wasn't going to use or i could get down to the closest gate to the plane to get closer to see it.

All i could see was the carcass of the plane and emergency vehicles still surrounding it.

There's is still more forensic investigation to do.

Exactly.

She took us through a step-by- step visualization of exactly what they are going through.

They're looking at every single seat and as much of the burned wreckage as they possibly can.

How much longer will this take?

How long will the body of the plane continue to hold up?

The cataloging of items seems like an extraordinary amount of detail, but is is consistent with the idea that the back of the plane is filled with galley items and some luggage and newspapers and magazines.

That is the stuff that the attendance would have collected and stored it before and after the plane.

As the tail came off, it was strewn along the scene.

Things were flown all over the place.

Your imagination runs wild when you hear these details.

At the end of the day, this may not be a huge business story.

We do not know.

When you fly -- i was coming in here on sunday night to cover the story.

I encountered this big car accident that happened seconds before.

There were injuries and people on the side of the street.

I thought this is more dangerous.

This causes more deaths than the plane crash, but at plane crash is more terrifying.

It reminds you of your own humanity.

We do not know some of the injuries some passengers may be facing.

There has been talk of brain injuries.

In terms of flying, the san francisco airport is continuing operations at this time.

People flying in and out.

I was investigation and the fact that the point is still on part of a runway?

-- the investigation is still ongoing and the fact that the plane is still on part of the runway.

Indeed there are still delays and people backed up in travel and have canceled travel over the weekend.

The impact at the airport continues.

All right.

Ntsb chairwoman continuing to take questions at that press conference.

We are listening in and we will bring you any important updates.

Cory johnson, thank you.

More of "bloomberg west" when we come back.

Welcome back to "bloomberg west." i'm emily chang.

Google and apple have long been silicon valley tenants.

Tomorrow they will get a new neighbor.

Samsung will have a 10 story million-dollar campus that will become its u.s. headquarters.

The building will house 2000 employees and includes his facilities and cafes and much more.

What impact will samsung's new home have on silicon valley?

For more on this story, i'm joined with the managing director of an architectural firm designing samsung's new campus.

Samsung has about 1000 employees in silicon valley right now.

They are not in any locations close to this.

Describe what the facilities will look like and what your vision is for this place?

It is a vision for samsung that is about getting a lot more value out of architecture.

We have discovered and certainly samsung knows and expects to see higher performance and greater creativity and that the facility plays a significant role in the strategy that they have for their presence in silicon valley.

High-performance and great cavity.

That sounds like things all companies would want to foster.

You are also designing amazon's new headquarters and google is expanding.

What is unique to samsung in terms of dealing with them?

What are unique qualities that they have asked for?

We see that each client is unique.

They have their own differentiators.

Samsung has a -- is a korean company that is the largest electronics company in the world.

It is having a tremendous impact on products and software they are creating.

It is our job to discover what is unique about that and how the facility can be part of enhancing that position, that brand, in that culture.

Apple is in the neighborhood.

Apple is samsung's biggest rival . i'm sure you have seen some of the plans for their new spaceship like headquarters we have been hearing about.

Does that -- do you think about that?

Well, i think there is a wonderful kind of pressure going on all across silicon valley in this exciting time of growth and competition.

All of the giants in the area are competing for customers.

They are competing for employees . expectations are very high.

That is certainly what apple and others are doing.

It raises the bar.

It is a good thing for the consumers and wonderful to the architect.

We're looking at pictures of lands for the headquarters.

-- plans for the headquarters.

How would you say they are different?

Oh boy.

I think that may be an interesting way to look at it is what is similar.

The focus and the striving to get a more -- to get more out of architecture than we have ever done before and the ability to do so by leveraging data and research and how we respond to the environments that we are in, both companies are pushing the limits on that.

I think the differences are certainly having to do with the site and how we respond to it.

The samsung project is very urban a location right in san jose.

It is a taller building pushed up against the sidewalk.

This is a statement away from suburban approaches that have existed in san jose before to quite an urban approach to the project.

Would you say it is influenced by their roots in south korea?

Perhaps.

I think that samsung and nbbj has really been focused on the context of stance on being in silicon valley silicon valley being in san jose and how we can be contextual and appropriate to what is going on in silicon valley and the united states.

That is where the focus has been.

It does bring a tremendous tradition of innovation from samsung.

The exchange of a samsung entering the scene in silicon valley will be interesting in itself.

It will raise the bar for innovation in the area.

Samsung is breaking ground tomorrow in san jose at this new location.

Thank you.

We will be there tomorrow when samsung breaks ground.

When we come back, new information on what happened in the cockpit of asiana airlines flight 214. ? this is "bloomberg west," where our focus is on technology and the future of business.

I'm emily chang with your bloomberg top headlines.

Pandora is showing more signs of growth.

They have more than 71 listeners.

Listening hours grew 17%. apple is trying to push further into technology for cars.

The company has been granted a patent for a programmable -- poor grandma don't -- programmable dashboard.

And apple and amazon ended their doing glosses over the name app store.

They started at the store saying the amazon store in fridge on apple's app store trademark.

Both companies agreed to end the case.

Stay-at-home diners have another site to turn to for takeout.

Yelp is offering a delivery service for customers by partnering with smaller players such as delivery.com.

They plan to expand the service to spas and yoga studios and salons.

Cory johnson is back with more.

Interesting announcement from yelp.

Display ads were over 75% of sales.

How does this yelp platform work?

Can you actually have someone deliver a yoga instructor to your house?

Can i get a yoga instructor to deliver my health?

It sounds like you will be able to at some point.

It focuses on restaurants and other local merchants.

How does this partnership come to be?

We make vendors avalon are platform where they can order the same day on our website.

We partner with yelp and we bring out a merchant base of 10,000 across the u.s. to yelp's website and also their mobile app experiences.

I believe they have over 30 businesses -- over 30 million does mrs.

Reviewed.

There is a food and shopping experience categories that have done well.

They're the type of merchants that we list on our website.

What was the genesis of this partnership?

It is a business development type of relationship.

They have aggregated users and we have aggregated merchants.

It was a complementary type of relationship where we could bring our merchants content to bear directly through their website.

We started a conversation probably over a year ago.

We have something to announce that will be available to users.

All of our merchant base that is on the site.

I would imagine that technology behind this is quite difficult not just because you have different systems, because you're dealing with different requests and sources and merchants.

Right.

Yelp has done a great job with the user experience.

You can go to their website and while you're trying to discover a merchant, you will be able to directly purchase within their website.

I believe they have over 100 million unique visitors per month on their website.

A large percentage of the user base is practicing their content through the web and on their mobile devices.

You have over 6 million people who have downloaded the app.

Our merchant content will be available directly through their website and apps.

You can purchase them directly through yelp.

What was the hardest part of the technology?

Did you have to make something work that did not want to work for a long time?

The consumers expect that order will be delivered in a short amount of time.

It was important through a fair amount of work on both sides to make sure that the orders that were being placed by the consumer could be delivered in real-time.

We had to do a fair amount of testing to our merchant content base and they being in san francisco and usk and new york, we wanted to do that in both locations.

Will this help you expand faster?

Will it help you expand in new categories?

How will this affect your business?

We recently announced an acquisition of a company that had aggravated merchants in new york and we will carry that out across the u.s. and the laundry and dry cleaning vertical.

22,000 businesses alone in that category.

We will certainly be partnering with a partner like yelp and we can expose our growing merchant base that started in food and is going into multiple verticals to millions of users.

Delivery.com ceo, appreciate your time.

Thank you.

Chipotle mexican grill is known for breaking all of the fast food rules, but it also has a nontraditional approach to marketing.

Spending less -- the strategy has paid off.

Carol massar spent time with some of the key executives at the chain.

She joins me with more on the restaurants nontraditional way of doing business.

Good evening.

Two decades ago, the chipotle founder created the way and created a new kind of fast food alt fast casual.

Fresh ingredients that are prepared right before your eyes.

More ingredients and less on the unusual -- chipotle is known for serving fast, quality mexican food.

But making a tv show -- we are in los angeles shooting a web series all the armed and dangerous.

I want to know more about you.

It is about a likable mama but misguided group -- it is about a likable, but misguided group.

It looks good for consumers.

It is part of the company's untraditional marketing play.

We do not do the same kind of advertising everybody else does.

It will be about the new menu items -- we do not do that.

We have other ways to tell our story.

In stark contrast to its competitors, chipotles main menu has hardly changed since the store opened many years ago.

There are many combinations and flavors.

You can do anything for breakfast?

We have signed a lease and opened an airport at an airport -- a chain at an airport.

We should be open for breakfast.

We have diced it up at that is part of the taco or bowl and it is delicious.

We'll see how it goes.

It is oh is a possibility.

-- always a possibility.

When new item that is on the medicine -- menu.

They began serving the vegan item.

There are a lot of vegans or vegetarians in general who are asking for this sort of thing.

But will one new menu item be enough to bring in new customers?

Aaa sticking to its strategy.

-- aaa -- chipo tle is sticking to the strategy.

You love what you eat.

No doubt about it.

That is making me a bit hungry.

They are expanding their fast casual model to southeast asian food in a new restaurant.

Two are open -- one in hollywood and another in d.c. yummy.

Yes, a lot of chipotle fans in san francisco.

Thank you, care master in new york -- carol in new york.

You can find out more on "inside to put late" at 6:30 p.m. pacific tonight.

We will be right back.

You can watch bloomberg television live on any windows phone and download the newest version of the free bloomberg app in the window store.

? welcome back.

I'm emily chang.

The ntsb chairwoman has given us a briefing on the crash of the asiana airlines 214 flight.

Three pilots were in the cockpit lost -- cockpit.

Let's take a listen to more of what she had to say.

The instructor pilot stated that he was the pilot in command.

He was sitting in the right seat.

This was the first time that he and the fine pilot that he was -- and the flying eyelet that he was instructing had fun together.

The ntsb has started interviewing the cabin crew and others starting today.

For the latest, i want to bring in the form inspector general for the u.s. transportation department.

Ok, you have heard everything she had to say.

What stands out to you?

West end that is not so much the pilot stated in the left seat, who is usually the pilot in command, but i was quite interested in information about the pilot who who was in the right seat who was the acting pilot in command.

What is astonishing is how many thousands of hours that he had and he did not ask to correct his student who was in the left seat.

He got so low.

Only having 10 legs, that is not a lot, especially when you are flying to san francisco and for the first time making a visual landing.

The mystery is what was the pilot was so many hours, the instructor, doing throughout the segment?

Those answers will be telling.

One interview with one of the pilots, they are still continuing.

Three of the four interviews have been completed.

I want to play another clip.

Take a listen.

They had a lateral deviation and they were low.

They were trying to correct at that point.

200 feet, he noticed the red and airspeed in the hatch area.

He recognize that the auto goggles were not maintaining speed.

He established -- the auto throttles were not maintaining speed.

He went to push the throttle forward, but he stated the other pilot had pushed the throttle forward.

Translate that for us.

It sounds like the instructor pilot did try to fix this.

But too late.

There is an old saying that when you see them, they are either red or or all right or all white.

When they are red over white, you are all right.

When they are read over red, you are dead.

When you do that, you have to get airspeed and you have to get up.

We have to increase altitude quickly and you do not wait around until you see all red lights.

All red lights means you're dangerously low.

They had a lot of warning signs that it was far too late to react.

Lots of warnings.

What i do not understand is why was the airspeed so low and why were they so low?

Their interesting clue i heard is that they have the auto throttles on.

They should have been maintaining airspeed.

It sounds like the pilots are suggesting maybe the plane was not responding?

The ntsb has said that they have looked at the engines and they look fine.

They have released some of the data recording information that they got one of the black boxes.

They said that they were functioning normally.

That is an area of slight difference between the black box data and what the pilot that he was experiencing.

Maybe it is a situation where the pilot and the left seat -- when he increased the throttle manually, it turns out the guy in the right seat had done it.

It takes a while for the engines to get in -- gain speed.

They are big.

It is not instantaneous.

It is a turban and they have to spin and it takes a little while to build up more speed.

You do not just push a button and instantly jump back up.

Bottom line -- what errors a re here?

Even if you had a mechanical issue in the pilot and the right seat, and instructor, and the pilot in the command did not step in, that is very erroneous.

What happens now?

Especially if there's a difference between what the ntsb is determining and what the pilot is saying?

In the end, the ntsb has the last word because they will put out the report.

The black box has everything moving or recordable.

Beautiful black box records.

You cannot budget.

The black box will have the correct information.

The ntsb will publish it.

Unlike the cockpit recording, which is a transcript and you cannot make that public, but the black box recording will show if there is any -- earlier we talked about technology.

There is a strong opinion about the use of technology.

I want you to take a quick listen to what he had to say.

The new folks were young people.

They are trying to fly the aircraft on the computer.

There has to be more attention given.

If their computer problems or the avionics are not there, that they can fight the aircraft.

That is something the board will look at closely.

Your response?

He is right to a degree.

I learned to fly in the early 1970s. i'm an old dinosaur pilot really.

But that is great.

Having that hands-on experience and flying by the seat of your pants, if you will.

Of new equipment is life-saving.

We owe the safety and vast improvement rate to things like equipment and ground proximity and advanced radars in the cockpit.

The autopilot in this case was not on.

Thank you for weighing in today.

We will be right back.

? welcome back.

I'm emily chang.

"despicable me 2" earned more than 350 million dollars worldwide.

It also made disney's "lone ranger" look lame and lonely by comparison.

We have more on the magic.

Yeah.

Interesting stuff.

"despicable me 2" followed "despicable me." it was the same animation company behind the a lot of hits.

Tell me, chris, you guys seem to be able to create animation that is beloved.

What is the secret to that success?

When i founded the company six years ago, one of the main tenants of our strategy was to find a balance between efficiency and artistry.

We look for efficiencies at every stage of the process ranging from low overhead to lien senior management to moving the picture from inception to completion faster than some of our competitors do.

Ultimately, i would say the real key are the people that i have wrought to this venture.

A like-minded group of people who are incredibly talented, yet share the same determination to realize the efficiencies.

Did do things in them business -- there is this fight of quality and cost.

Suits on one side and craters on the other.

Do incentivize creators?

What did you to manage that and make it happen?

We take an approach where myself and my fellow producers on the ground where we do most of our actual animation.

We take the approach of being both the suit and the creator.

Every decision that is a creative or business decision -- that complete integration is the ethos of the company.

It is not the right culture for ever greater force to work in.

We find people who are excited by the benefits of making things for a price.

The principal benefit is that we continue to make films for the range that we are making in that . right now it is around $75 million.

It allows us to get -- take greater, creative risk.

Every film does not need to be a blockbuster to be highly profitable.

You probably get more swings at the that as well.

Thank you very much.

Up next, stick around for the bwest byte, one number that reveals a whole lot.

? it is time for the bwest byte where we focus on one number that reveals a whole lot.

This is the number of samsung employees at the new headquarters you were talking about -- 91,342. it is interesting, i did not realize caps on had 1000 employees in silicon valley -- samsung had 1000 employees in silicon valley.

But this building will have twice that.

You wonder if that fight between san francisco and south korea has the same -- thank you.

Thank you for tuning in.

See you back here tomorrow.

?

This text has been automatically generated. It may not be 100% accurate.

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