Flume bloomberg world headquarters in new york, this is bottom line.
What is next for iraq?
We have an exclusive bloomberg interview from towns, france.
-- cannes, france.
To our viewers here in the united states and around the world, welcome peewee of full coverage of the stocks and stories making headlines today.
Michael mckee looks at the north carolina jobless experiment.
We look to washington, where a cease-fire is expected to start by the end of the day.
In the ukraine.
It is unilaterally on the government side., separatist are not abiding by this.
Russia is massing troops to the highest level since the criteria annexation -- crimea annexation.
The reports about food and pulling back tryin -- putin pulling back troops has reversed.
It would be surprised if the cease-fire last a night let alone a week.
How significant are these new sanctions?
In one way these are seven individuals in ukraine who were added to the list of those whose assets have been frozen by the u.s. and who are banned from traveling to the u.s. the third two prominent separatists, and the self-declared chairman of the parliament of the.net people's republic -- doknesk people's republic.
The timing of these are significant, because this comes on the day when he announces his unilateral cease-fire.
The message is carrot and stick.
Sanctions are not over, but we are a link to do this cease-fire.
The other foreign-policy crisis that is preoccupying the white house is iraq.
Are we getting right back into the war?
I do not think so.
The u.s. is sending up to 300 special forces, they could be arriving as early as saturday.
There is a slippery slope, dating back to vietnam which again with 400 u.s. advisers.
We have already been involved in a war that cost us $1 trillion, and 4000 u.s. lives, and that started back in 2003. i do not think we will see a repeat of that.
This president has been committed to pulling troops out, not two-putting combat troops back on the ground.
What we're really talking about is protecting direct u.s. interest like the embassy.
Also protecting oil and trying to prevent iraq from spiraling completely out of control.
The past couple of days the former bryce president dick cheney -- a vice president to cheney has been blaming obama for the best this week -- mess this week.
We saw that wall street editorial that cheney did with his daughter.
He did not mention that it was his own president that actually signed an agreement to bring out u.s. forces by a date, and the iraqi government did not want to give us an immunity green met.
We are seeing the architects of the iraq war coming back and now trying to turn the blame on the president.
There is some back to the future here as well.
More on iraq on charlie rose.
Chairman of the joint chiefs of staff from 2001-2005 will be his guest.
That is tonight at 8:00 p.m. and 10:00 p.m. the most creative minds in advertising and marketing gathered at the cannes creativity festival this week.
Stephanie ruhle was there, and he spoke to the aol ceo.
Major industries like wall street are getting changed by data and machines coming in to automate what a lot of human jobs have been doing.
The barbell is really separating industry into two main strategy areas.
One is to let machines do everything that they can do, and that is a very powerful change in a very scalable change globally for advertising.
The second, which i'm really excitinged about, is finding the most creative talent in the world to find the single best ideas and scale what i think will be nationalistic to global type ideas around advertising.
And that is a really powerful combination of machines and superhuman talent.
While content is king, everyone wants to create content.
Is there an appetite for all of this genius?
We were really in early investors in content.
I think that content is basically the most powerful thing that get put through piping -- yet but throughgets put through piping.
The average consumer is consuming more confident now than they were 510 years ago to, 10 years ago.
I think people will be more entertained by it, and enjoyed.
What does prog rammatic tv mean to you?
It is the program by which you do advertising, and it is likely in 10 years and will be a majority from a machine automation process.
Programmatic tv is the targeting and distribution of ads using machines on television.
Television is very famous for their upfront and digital way of showing their shows, and people can pre-book campaigns.
I think a lot of that will be done a real time.
Do you think the system is being gained a little bit -- gamesd a little bit, or do you believe the hype?
Data is not what is important, it is the insights of the data.
In many cases that use the data and everything else they do.
I rode over with one of the top three advertisers in the world, and we have this conversation, and i said what do you think the difference in data is on your ad program?
They think it is double.
They get double the response and double the efficiency from using data against their ads.
If you take a major corporation like that that drives global change in advertising and global change in markets, and they are saying double the benefits out of the data, the corporation is not going to go backwards.
Why have they found to their group post aol?
Patch was a great idea to put local platforms in every community in the united states.
I think the group of turning a ol around was better served by putting patch outside the company.
Patch just turned profitable.
The group that is running doit is doing a fantastic job.
Is it unfair that the media or the market does not allow companies enough leeway to have their second chapter?
They're so excited about companies with no profitability with ideas you never heard of gave . they cannot wait to get into those, and do not give you any money.
We are the best all you out there, we are -- value out there, we are a fifth of our quarter racket size -- brakcket size.
We have a great group of talent, and we are starting to build something that is not re plicable.
We will have more throughout the day from stephanie's exclusive interviews from the cannes creative festival.
Coming up, the creator of veep.
Coming up, southern california's economy is rebounding.
But they cannot expect the return of prerecession services just yet.
? welcome back.
The rebound of southern california's economy is expected to boost los angeles as revenue by a major percent this year.
They are on track to spend seven hundred $11 million more than it takes in over the next four years.
-- $711 million more than it takes in over the next four years.
Tell us why l.a. is issuing more of the short turned up than ever -- short term debt than ever before.
We get a discount when we pay our pension payments of over 35 million dollars.
It makes a lot of good sense for the city.
The amount we borrow for cash is actually reducing, showing that our reserves are growing.
Does los angeles need pension reforms like the ones that are being proposed in phoenix?
We have actually adopted pension reforms.
Employees pay nothing for health care.
Civilians now have to work to age 65. controlling growth of our pension costwss, but they are still growing.
Wasn't a hard sell, but-- was it a hard sell, or help us to help you or else there will not be anything left?
We were able to reach consensus with our unions.
Some of it is still challenged, but we believe we will prevail.
Our current employees are titled to the benefits they signed up for.
You believe los angeles has a structural deficit, you said that back in april when you were taking a look at the budget proposal.
What measures does the city need to take to eliminate that?
We have come a long way.
We have were casted much larger deficits not that long ago.
We need to start reducing the gap them about control spending.
Our budget has grown by 5.5 percent, but our workforce has remained flat.
We have outgrown the workforce in the last five years because we do not have the revenue for it.
Workers compensation and revenue grows faster than our growth.
All of that mean that our revenues -- in the state capital help?
We are hoping that sacramento leaves us alone.
Greg why do you say that?
Greg they spent the last again try to find way to balance their own vegan on the backs of cities.
We are hoping that that does not affect our cities.
Wall street banks are charging the city $200 million in fees for product such as interest rate swaps.
Thus the city have a position on this issue?
Do you think that wall street banks are taking advantage of viewing?
The swaps came in in a specific context.
We had to find alternatives during the crash.
We made the best decision at the time.
We made it so it would not cost the city more.
Some of the unions want the city to dial back your relationships with the bank.
They think that you're too cozy with them.
How do you respond to that?
We are the second-largest city in the country, we borrow billions of dollars each year.
We not cannot go to the local credit union for that.
We have a relationship with the financial institutions to provide the level of services we do.
What titles want to be the home -- los angeles wants to be the home of george lucas's art museum.
What would that mean in terms of revenue, we cannot imagine any other place to have this museum.
We are the entertainment capital of the universe, it does belong in los angeles.
We have a record number of visitors coming to the area from all over the world.
It would make sense to have it in los angeles.
Lucas gone back to you?
garcetti is the best cheerleader we have.
He is making a lot of progress.
The administrative officer for los angeles, it is great to see you.
Thank you for having made.
E. more details in just a moment.
? welcome back.
This is "bottom line," live on bbg television and streaming on your phone, tablet, and at bloomberg.com, now on apple tv and amazon fire tv.
If you want to buy j.k. rowling's new book silkworm, you can.
After being delayed -- how many times?
They will finally sell the book even though they are in a fight with the publisher.
Before the book went on sale, it was on pre-order for a month.
You can get it on the website, and amazon was telling me what goes on sale can get it.
You could go to walmart, or barnes & noble, and it was selling for less.
The real story is that walmart, barnes & noble, and apple have been trying to take advantage of this boy that amazon has le ft by not selling publisher books.
And it is selling 40% off all of these publisher books.
I was talking to an analyst who says it gives companies like ours and noble a do over.
If you go to their books, it gives them a chance to promote other things to you.
Are the publishers close to a deal?
you can tell because the thousands of other titles are not for sale on amazon.
Even if the books do go on sale now, what winds up happening is that hurts pre-orders.
And for authors, pre-orders are the holy grail of sales.
About one quarter of sales or an author come from b cells.
The more you sell before the book comes out only elevate you on the best seller list and can help, but this will hurt.
No one seems to know what's going to play out, but other contracts are coming up on the road.
This might be an issue continually for the company.
The issue is that e-book sales are becoming so important to publishers all across the board.
10% of revenue comes from e-book sales, and physical books might fall to $19.5 billion.
This can't hurt j.k. rowling, because her book is out there and her name is out there.
It depends on how much you get hurt on the pre-orders.
What is expressed the hour, bloomberg television is on the markets.
Check out the s&p market, they are happy as well.
We have up on both the s&p and the dow.
You have to go back to wednesday and the federal reserve.
Janet yellen might come clean this dropout of the market, she gave a pretty strong signal with where inflation was -- she was comfortable with where inflation was.
One stock we are keeping an eye on is ge.
They are entering an alliance with the french government for alstom.
This text has been automatically generated. It may not be 100% accurate.