25 Burst results for "Tim Sloan"
Wells Fargo chooses BNY Mellon's Scharf as third CEO in three years
"All right. Wells Fargo they finally got a new boss is a long time coming it is been friends of mine and we know that to be true for Hannah Levitt she's finance reporter tracking the company for Bloomberg she's in a Bloomberg interactive record studio very fortunate to get some time with you today because it's been a busy one to break it all down Charlie Scharf getting the nod a big paycheck break this down for us what we had and we finally get to this guy to leave the company hi so thanks for having me the day has come is it true that from what I understand that for months she would wake up and you're like god I wonder who's going to run she was calling source waking up in color and I have a dream that there's someone I'd like a Sunday I have a dream it's Tuesday Monday I have a thing that's Tuesday you woke up you like a like a like my whole ache yes so the day has come six month is actually one day short of six months wow it's kind of funny yeah but so Charlie Scharf who has most recently been running BNY Mellon your New York is taking the top job over at Wells Fargo it's the it's the outside higher that it you know and people were listing sharp as a dream candidate from. even the time before former CEO Tim some step down so it's definitely when you know someone said to me during the process the stock's gonna move five up five percentage points either way and it's it's right now up more than four percent so I think that the market clearly likes the idea first choice for wells you know it it he definitely was among the top people who were of any doing the job from New York which is definitely really interesting because wells Fargo's not based in New York right good about what. yeah sorry but not only not based in New York but they have substantial offices in other cities yes their big you know they're they're based in San Francisco they have there what I would what I refer to as H. U. two in Charlotte where they actually have more employees there than they do in Sam Cisco that's a holdover from my copay which they bought during the crisis and there's a few tubs and like the morning and it's all over the country yeah Phoenix they have a big presence as well I was talking to a former Wells guy this morning and sort of breaking down this idea of New York in a we don't have to dwell forever on it but it does feel notable enemy I think city even put out a note essentially saying this is gonna wear yeah well it for for sharp specifically it's definitely a big issue he was running these on the west coast and he came back to New York and part of the caucus you know at the. the huge part the calculus there was being in New York right from where he lived for his family lived at cetera so you know that could have been the thing for him that they needed to just okay and and if you're the Wells Fargo CEO you really are traveling all over the country all the places we just mentioned so there's a certain element of of that but I do wonder about because. a big part of this Wells Fargo story is. the culture that has existed for a long time at this company Tim Sloan who had been a Wells Fargo right there for a long time when he was named CEO are there a lot of questions that is this what we need you know to kind of bring Wells Fargo around it can it be an inside guy doesn't need to be somebody from the outside so I do wonder what kind of message that sends to employees at home base and the headquarters when you kind of have your CEO not right they bring in New Yorker CEO yeah that's a good question that's definitely something that I'll still be paying attention to as it unfolds he starts he doesn't start until October twenty first so we have a little bit short of a month until you actually get started but that'll definitely be something that I'm keeping an eye on so remind us why this was probably a pretty tough job to fill he's got a full plate for sure when he starts from what you can tell from talking to people what's the number one thing he has to solve out of the gate so the number one thing would be the regulatory issues for sure in Wells Fargo has had a ton of regulatory problems in the past three years after the fake accounts scandal erupted in twenty sixteen and then you know that led to the CEO at the time down some stepping down and then you know two and a half years later CEO Tim Sloan stepped down and they have fourteen outstanding consent orders which is a lot with various regulators they have an asset cap so they actually can't grow up beyond their size at the end of twenty seventeen the fed has that one in place and you know it's been such a problem that the see see the office of the comptroller currency had veto power over this appointment so it's really also mostly an actual crisis stuff right yeah I know the approval what I do wonder too is how much does sort of have to clean house and I know that they've been bringing in executives a lot of them from JP Morgan yeah. I wonder how much of that has to be a part of it we can expect that going forward yeah they really been going for that that JP Morgan Jamie Dimon dust so even you know what server top the bank they've they've gone even further in that direction but you know it's interesting Betsy do because the chair of the board said today on the call and and executives that wasn't in things throughout that a lot of the changes that they felt have been made have been the changes the correction just to make and they they made progress but you know surf is going to come in and he hasn't worked at the company for the past three years in the past thirty years like a lot of executives who are there so he'll have his own ideas about. to what extent they clean house and and what's left to do so that will also be the point watch thirty second thought how much discipline minister across Wall Street that there was a chance to have finally a woman read leading a money center bank and didn't happen another date yeah I mean that's that's also something of high interest rates like Wells Fargo has this rare opportunity where they can go out to market and and get anyone and and it's another white male just like as we saw boil over to Congress but you did a lot of reporting basically that said there are a number of women who were at least interviewed for this job and maybe even offered it yes I would not go so far as to say offered it but interview but that yeah that they were definitely in that was for sure priority you know for them and for people in on on all sides of this that is definitely something of interest but I think you know when you when you get someone like Charlie yeah it's like you go Charlie right he's a series banker that's for sure well he's got a full plate as we set him eleven finance reporter for Bloomberg they last so much talent at all they're still there and it makes me a little
Wells Fargo is reportedly struggling to find a new CEO
"Here is an interesting employment conundrum, the fourth largest Bank in this country. Wells Fargo by name can't seem to find anybody who wants to run it the top job has been opened for more than two months ever since former CEO Tim Sloan resigned in March the second wells CEO to leave in less than three years in the Wall Street Journal reported this morning. Top candidates have dropped out of the hunt, because sometimes a Plum, job might not be as marketplace's brand Bradford reports a lot of us would probably take the fifteen plus million dollar salary that the CEO of Wells Fargo will likely draw. But Alex Thompson added executive search firm authors. Burston says most of us probably aren't right for the job. I mean, they're only few people who can run a two hundred sixty thousand employees, you know, seventy million customer worldwide ban. So finding that person right from the get-go is, is not easy. Those people are already making a lot of money and other jobs that don't have the headaches that wells, does regulators have cracked down after employees created fake accounts and charged unnecessary fees, the past to CEO's of resigned after facing skating questions from congress. This isn't your typical executive search according to Robin Farrakhan at compensation. Consultantcy Farrant advisers. I think they do have to offer premium and if that doesn't work to track to CEO with a proven track record. Wells Fargo is going to need turn to the second string. It's somebody who may be one level below that but has shown tremendous capability in terms of leading an organization and executing change. And their troubled companies may find plenty of potential candidates says Thompson at odds Bernstein for some people, that's the challenge, because if you do create Cheryl, or value and end up as a success, you really have branded your career. A really positive way the downside of picking a second stringer is that it's a big risk for company. That's already in trouble, whilst Fargo declined to comment for this
Mighty Caseys Home Run
"How are you, Chris? I'm not quite as rested. Yeah. I'm not as tan. Thanks for bringing the main weather with you. It is fantastic outside. It is gorgeous out. So and here we are in a window through. I know let's make this quick. We're going to dip into the full mail bag. One company is having trouble finding a CEO. So depending on what your resume looks like we may have a job opening for the dozens of listeners. Let's start with some earnings from Casey's general stores and by earnings I mean blow out earnings starting with the thunder. Are you Chris had really is Casey's general? The stock is up eleven percent attending an all time high. How good was this quarter? It was really it was a really good quarter. I mean sixty eight cents versus fifty one year ago for the quarter five dollars and fifty cents for for, for the year versus three eighty one for a year ago. The stock edgy said up ten percent and all of this came in the environment in which I think the thing that people were surprised about is that it's one of the things that Casey's does one of their big revenue items gasoline sales, and it's been kind of cruddy environment for selling gas right pricing. Hasn't been there spreads haven't been there. So for them to come in with a quarter like this. That means. Their front of store has just performed magnificently. That was the thing I was thinking about when I was taking a quick look at the results, and I just and this is not a apples to apples comparison. But I thought of Costco, because every time Costco reports earnings, you know, the gasoline is part of that question, but it really does seem like Casey's general has. Through no fault of their own invert put pressure on Costco in anyone else who is in that business to basically say, hey, look, you don't have to be victim to the whims of past prices. If you are really getting it done in the front of the store. Do you have you been to a Casey's? I've never been to a case so you know what they're about. Right. So folks here on the east coast probably familiar with wa wa or sheets cases kind of like that. But in the mid west. And so, yeah, maybe they've put Costco under a little bit of pressure, but they're really, really putting pressure under fast food restaurants companies, like McDonald's that have dominated the, you know, the travel food market for for such a long period of time. And I mean there are multiple stores. I mean I would love to be I mean while might be at the top of my list for companies that I would like to invest in that don't exist. But, you know, are there that you can't not the doesn't exist while was a real thing? But. But Casey's is a pretty good alternative. I mean, there's circle K. They're seven eleven even but Casey's may be the one that is most similar to a while her sheets. When you look at the stock hitting all time, high is it pricey because cases general, is one of those stocks that in good times, and bad has never really struck me as being pricey. No, it's okay, it's, it's a little pricey. But given compared to what else is out there in the market. I mean beyond me trading at a price to sales of thirty four I think we're fine with Casey's. I mean Casey's Casey's food margins, the margin of their store spectacular. This is a really really, well run company and it's really taking share from a lot of the quick serve restaurants. The particularly again is we get out into the travel season. You know, over the summer. I you know, I see good things for this company, they're gonna start to run up against some real competition, particularly as they pushed the east, but nine thousand nine hundred stores they know what they're doing. Let's move onto the latest in the US China trade war, and the latest hook from from the Wall Street Journal involves Foxconn which has come out and said, Foxconn is prepared to move apple production out of China. Yeah. And not only are they prepared to they could do it. They feel like they could do it rather quickly with without any disruption. So Foxconn one of really interesting things about this article was that they, they noticed they noted that the company's been public since nineteen ninety one, the actual name of the company is Han. Hi precision. This is the first investor conference, call in meeting that they've ever had the first one. Why do you think they why? Well, part, part of it in one of the reasons that they did this was that the president and founder of FOX cons guy named Terry, go is running for president of Taiwan's. We has to step down. So they're talking about some of the. Some of the issues having to do with, with leadership transition and such things. But they took the opportunity to say, by the way, we had been up in Wisconsin for nothing. We don't have massive facilities in Vietnam in Mexico in Brazil, and even Japan for nothing. We're ready and we've been thinking about this for years as the advantage for manufacturing in China has declined. So in some ways, it's almost, you know, the thing that fascinating to me in this talks about how pragmatic these, you know, the, the Chinese and the Taiwanese are with each other. It seems to be entirely uncontroversial that the potential next president of Taiwan is one of the largest employers in China. I mean, that's not even something that they're really even you know, they're not even really talking about. So. Yeah, I mean, this is, it's just interesting to see the ways in which global trade and global manufa. Lecturing are shifting based upon the potential for a long, protracted trade war. Does that automatically mean that the price of the next generation of iphone is going to be higher as a result? Let's say this act. Opposed to what? That's well, that's fair. Yeah. But, but if you're someone who loves Apple's products and you see this headline, I think it's reasonable to ask the question, wait a minute is stuff going to I? I apple has always had pricing power are gonna have even more now because if they're moving Foxconn is moving production out of China, Maya sumptious is it's going to cost more to build the iphone in Wisconsin than China. Yeah. I don't I actually I don't think so. The iphone and the ipad, particularly the iphone have had such huge margins that the manufacturing component. I mean it's like it's like if you have to spend a little bit more to manufacture pharmaceutical that doesn't really have anything to do with the price that they're able to charge me. They have really, really found a way to find to price it at the point in which, you know, the customers would still consume. So I don't I don't really think that this is an issue for them. I mean it could it could impact margin just a little bit. But that, that margin is already being impacted by by virtue of the fact that these things are being manufactured in China under under a new tariff regime. If you're. Looking for a new job? You might wanna check out the job offerings at Wells Fargo which continue to include the CEO position monster dot com may have this listed Wall Street Journal, reporting that Wells Fargo shocker is having trouble getting some of the top executives in the banking industry, interested in the job at wellsfargo, it's hard not to have just a little bit of shoddy in for about this as poorly as Wells Fargo has behaved over the last several years. Oh, yeah, no, we're definitely going to have a little bit of shot in for, you know, who else is Jamie diamond. Yeah. I like the Jamie diamond last month took a shot at them average, and I'm quoting here, he was at an investor conference and said, it's not responsible for a company just my own view to have a CEO leave with no plan in place. I don't personally understand that these referring, of course, to not just a company but a but a sustained. Important bank. Absolutely. No. Absolutely. And you know, I mean put aside. The issues that they have at the fake credit card accounts, and all of the cultural issues, although that all of those things lead to where they are right now having trouble filling this spot. Yeah. But he's got a point. I mean he shop at he's got a point that, if you're the board of directors and Tim Sloan suddenly, walks out the door. You gotta be ready. It's baffling to me that they didn't have an emergency break glass plan in place. Not saying Tim Sloan was going to leave, but they had no idea what they were going to do. So what they've what they've ended up having to do. They've gone out. They tried to get the CEO of PNC guy named Richard DEM, Jack. They went after Gordon Smith from J P Morgan, they've even gone after a guy name. Richard Davis, who was the former CEO of US Bank or Bank core. Who is now the CEO of the make a wish foundation and all of these people have said, no, we're really not interested because I mean for one thing they had to each watched, you know, when the Senate banking committee, just absolutely torch, Tim, Sloan and said, that's just not worth it. I mean this job really, really must be toxic. And there's fairy little to see in Wells Fargo Fargo's future because of caps, that the Federal Reserve has put on the Bank any type of turnaround in the Bank is years into the future. Well, and if you're Gordon Smith JP Morgan, if Jamie diamond ever decides it's time to ride off into the sunset Gordon. Smith is on the shortlist of internal candidates to replace him. So why would you leave is? And he has he has, I think the number was fifty million dollars in deferred compensation coming to him just remaining where he is which, you know, good for. Him. Would must be nice. So getting him would be quite expensive. And they really this has to be a good hire for for for Wells Fargo. So I can take why they are perhaps going slow. But the fact that they didn't have a plan in places is perhaps unconscionable. And also, perhaps demonstrative of why no one wants the job. Is it a given that it's going to be someone from the banking industry because obviously industry expertise is important, but they still have cultural problems in Wells Fargo. I think I think the answers, it's a fantastic question. I think the answer is. Yes, simply because. Yeah, they have the cultural issues to solve. And maybe that is a higher. But the bigger issue that they have is that the regulators and the Federal Reserve are down their throats, and I don't know that a non banking person would necessarily have the tools in place to be able to navigate those issues are Email addresses, market fully at fool dot com. Got an Email from Andrew who writes, it was great to see and meet many of you at full fest last Friday. Thank you for all that. You do your research inside humor makes investing enjoyable and time efficient. Thank you for that, Andrew. He goes onto right? You've certainly made me smarter happier and richer, as well as annoying. My wife when I walk around the house with headsets on listening to your podcasts. Andrew. We downside. We appreciate. The nice comments there. Don't don't unnecessarily annoy. Mrs just. No. That's, that's a self-inflicted admit it. Yeah. L which, I mean, what did you think we were going to do with? So also, we don't want any residual blowback from Andrews white. If we don't want her being, like, hey, you know, you are making me, certainly less happy. I know that's not good yesterday market fully MAC and Jason Emily talk a little bit about full fest. Our biggest event we've ever had and. One or two things that stand out for you in terms of highlights. Well, I was I had a wonderful conversation with the CEO of upward command named Stefan, casserole and just listening to him, really describe the issues around the, the gig economy around around contractors and how nearly thirty five percent of all Americans do actually have our temporarily employed in some ways a lot of whom were by choice. And I'll be honest, I think about business a lot. And I think about the economy in the way things you know, try. Things are progressing lot. But he brought up some really, really interesting concepts just in terms of the power of the worker now and the fact that perhaps the relationship between employer and employee is breaking down and maybe actually in some ways, it should that was I didn't catch all of your interview with Stefan, I caught the second half of it, it was really great. It was very enjoyable. I just say this every year, about full fest, but it's always so great. Just a meet people talk to people and get a sense of where they are in their investing life. Some people are just starting out. Some people are younger. Some people are older NAN, they're starting to think about their kids and their grandkids and sort of setting, you know, ways to pass on the love of investing for them generations. And, and it was it was just great. I do love both of those constituencies. And you at some point it becomes it becomes so. So fun for us. You know, I, I look forward every time to for example, seeing the Morgan's north family from North Carolina who come to each and every event, and they're, they're just lovely people, and you get a chance to really interact, and they see these things that are meaningful to us, and we'd like for you to do more of and carefully. People say, you know, maybe do a little bit less of this, or a little bit different. And so I can't even you know, I can't even begin to describe how valuable those interactions are for us and I do do love when, when folks bring their you know, their kids, they're, you know, their college age, you know, young adult family members and guests just seeing them begin to understand, because they have the biggest advantage of all, you know, they have all of their earnings potential in front of them, and they have so much time. And it's I mean, it's it is a wonderful that tonight, enjoy each and every year it was great. So thank you to everyone and all the, the listener. Who came up now both of them both. No, no. There were a bunch of because they're a bunch of people come up. And they're like I listen, here's how I listen here's when I listen now, and then there are people who come up to me and say, do you work here? Can you? What time is lunch? Where's the coffee which is a good question for you? Can you introduce me to Andy cross? Bill man. Thanks for being here. Thank you. Chris, as always people on the program may have interest in the stocks. They talked about in the motley fool man formal recommendations for against so buy or sell stocks based, solely on what you hear that's going to do it for this edition of market fluids show is mixed by Dan void. I'm Chris hill. Thanks for listening. We'll see you
"tim sloan" Discussed on Motley Fool Money
"I think it was around noon or something, and I asked him about Wells Fargo at that point. And he said he had total faith in in. Tim Sloan to the news came maybe three hours four hours later. I was at the airport and got a call from the news desk saying that Tim Sloan had had resigned, and I tried to call Warren just to figure out what had happened. You know, had he known this was coming. He was already on his flight. Because of course, he's not waiting on the commercial airline flight. Like, I am he was already on his flight. So I couldn't get him until three or four hours later when I landed in Newark, and he told me at that point that he actually had known about. Tim's announcement Simpson's announcement that Tim had called him the day before and asked if he could talk to him at some point that day, and when buffet told them he was going to be out of pocket for the entire day. Tim went ahead and told them what was going on. So he said he was sorry that he couldn't say anything. But he he knew that Tim was stepping down. I think what really happened was. There was so much pressure coming from regulators and from Washington in general, Tim Sloan had become a big punching bag everybody from Elizabeth Warren down, and even the OCC had really been coming after them because of all the problems that have continued to pop up now again, these are things that predate Tim loans time is headed as the head of Wells Fargo, but he's a long-term insider, and I I think it was hard to kind of get away from some of those things, and he had just been paid a big bonus. And that drew even more fire from Washington recently buffet had an interview somewhere I've I'm not been. even sure where it was. But he made the comment. Oh, I think it was the financial times where he said that he thinks it's going to have to be somebody who's not a traditional Wall Street banker who is heading up. Wells Fargo is the CEO just because of all that fire and all that flack they've been taking from Washington regulators. It probably can't be an insider because again, it's hard to separate yourself from what happened. I think Tim Sloan did a great job as the CEO there. But it's an election year coming up, we're already backing election cycle. There's something like twenty Democrats now who are running for president. And it's going to be a continual issue and continue continual focus for regulators. I think they have to be wary of that again. I don't think there's anything that Tim Sloan did wrong, but it it is difficult to try and separate yourself from from what's happening happening in Washington. And and and and they are continuing to kind of weed out problems that had come up so. It's interesting that Buffett has said he thinks it's going to have to be an outsider. As we've talked about seemingly for the past few years. It really does seem like Warren Buffett is itching to buy something and in terms of the cash on the balance sheet, it looks like he's got somewhere in the neighborhood of eighty billion dollars that he could comfortably put to us buying something for Berkshire Hathaway, some intriguing names being batted around on Wall Street, and in the financial media target anthem Sherwin Williams, if you were a betting woman, would you bet that he makes an acquisition or to the point you made earlier about how earning season has been going and how we're seemingly hitting new highs all the time with this market that the price is just too high for Warren Buffett, and it's more likely he's just going to plough money back into the stocks of the owns. Yeah. I I think the ladder is certainly the case..
Are we talking about GE or GM?
"That Tuesday, April nights. Welcome to Mark Tillery. I'm Chris joining me in studio today from fam- fund, a proud graduate of the university of Virginia law school Bill Barker. Congratulations to your Cavaliers. Thank you. Thank you very much. It was good run heck of a run and we've got condolences to our colleague, Mike Robinson whose Texas Tech grad who's at the basketball game last night. But congrats to. Metropolitan our colleague, and the many UVA graduates who worked here at headquarters. Lot of lot of orange and blue around the office today a lot of people fly in the colors. Why not they should? Yeah. Yeah. I mean, we're is a Virginia company. That's true. That's true. People don't know that. And let's face it. When it comes to major college sports, you're probably going to have a better shot at winning national title with your law school than your undergraduate alma mater, time will tell I guess, I guess we'll say we're going to dip into the full mailbag. We've got news from the healthcare industry the packaged foods industry. Let's start with this get the popcorn ready because on Wednesday. The CEO of the biggest banks in America are heading to Capitol Hill to testify before the House Financial Services committee. The rundown is Jamie diamond from J P Morgan Michael bat from city, David Solomon from Goldman Sachs, Jim Gorman from Morgan Stanley, Brian moynahan from Bank of America will get to Wells Fargo in a second coincidentally or maybe not coincidentally Bank of America announcing today that the company is raising the minimum wage at its company to twenty dollars an hour. And if nothing else the timing of that announcement makes Wednesday probably a little less painful for Brian moynahan hand testifying on Capitol Hill. Yeah, I think so I don't think there's much coincidence about it. I think it's. We'll see it seems like a smart political play at the moment getting the headlines that that they want and positioning, and they'll know expound on that a bit in front of the cameras. So I think that it takes some of the wind out of the sales of of those that are going to attack at least Bank of American. I, you know, I think every everybody is going to be under pressure to to respond. So in terms of Wells Fargo. At the moment. If someone from Wells Fargo is on the list to testify I haven't seen it yet. Doesn't mean. It's not going to happen. We've still got time before the hearing. But I'm reminded of a conversation. I had couple years back with Paul liner. Who's covered the automotive industry for thirty plus years, and we have him on motley. Fool money pretty much every year around the North American International auto show in January and talking to Paul about how. About the ripple effect of. Automaker X having some sort of large failure. And failure to disclose. The failure of whatever the technology is whether you know, it's Volkswagen in the emission standard and just sort of the ripple effect. Like, if you're if you're any of the other automakers you like 'cause they they all pay for it in some small way. And by the same token Wells Fargo just continuing to screw up in terms of their own culture the fake account scandal. Tim Sloan who was there when the scandal? Happing happened not being the right person to try and clean up the mess. And then you know, he is shown the door. If you're any of these other CEO's, I have to believe in the back of their mind at some point tomorrow. They want to say, hey, at least, we're not Wells Fargo. I mean, it just it. It's one of those things where yes, it's a Wells Fargo problem. But it really does spread to the other. Banks. Yeah. I I think that they'll probably to the extent they can sort of redirect the questioning toward. Oh, well, Wells Fargo. You probably would've enjoyed having them here to kick around. And I was I was looking up some of the data on what's been paid. So far post. Oh, eight oh nine and there have been about a about a quarter of a trillion dollars in fines against the banks and not all that cash. Some of that is as been settled in by loan forgiveness, and and some other credits, but it's a, you know, in terms of there was a bail out of the banks true enough, and they paid back the money that they were in some cases forced to borrow from from the federal government. But but that was paid back and they have paid fines. And I don't know that that it is a strong thing to say, hey, look, we've already paid a quarter of a trillion, you know, combined in fine. So don't act like we. Haven't you know, already been punished? That's that's not going to get them anywhere. But you know, they can talk bleakly I guess about having made amends at times, well and one difference between now and five years ago eight years ago that sort of thing is you can make a pretty strong case that big banks are no longer number one on capitol Hill's enemy list in terms of the business world. I think the big tech has probably supplanted them. So for any CEO who wants to try out there? Well, hey, at least we're not Wells Fargo. They could just as easily and by the way, we're also not Facebook. Yeah. Well, and I don't know if that's going to go anywhere either. As I so they've got to create the accentuate the positive part of the story in this twenty dollar minimum pay which Monahan is said, look anybody who works here is going to be making at least forty one thousand dollars. A year. That sounds pretty good as if you're thinking in terms of a minimum wage job of which there are essentially none INA back, right? You've got Bank tellers to the degree that that's a major part of the employment. Banks. I don't know how much that's the case. But you don't have a lot of employees who are probably, you know, competing with at any of these banks who are thinking, what are the other minimum wage jobs that I would be comparing this against, but I think it is a positive, and they're pointing to it in part as something that they are doing their they're connecting the dots between the tax cut and making this sort of passing on some of the profits that they have they're sitting on from from the massive tax cut. So you know, that will get them some of the way with maybe about. You know, one half of the aisle one side of the aisle will will allow them to talk about that and the other half, probably less. So. Like, I said get the popcorn ready. Let's move onto Cerna Corp, which is healthcare. Technology firm, sir has reached an agreement with starboard value. Well, known activist investors to add four members to the board of directors Cerna is also buying back. One point two billion dollars worth of stock. Which of these two things is pushing shares of sir up ten percent today. Because my assumption is just based on the fact that shares of Sern are have sort of treaded water over the last five years or so I'm assuming it's the board seats, I think, yes. Wing along in the the line that starboard is is recommending it's remarkable starved really doesn't have that much of Cerna. I think a red by one percent of Cerna stock, but there's whole laundry list of changes that are going to be made including the strategic business unit being eliminated. I think that. Dividend was just recently, the started by sir. And it looks like they are going to be forced to change some of their capital allocation, including at least authorization to buy back up to one point two billion whether that gets follow through or not we'll see. But I think the board search is, you know, that's that's all part of the equation. I don't know how you can separate a twelve percent move when it opened now it's maybe eight or nine percent. And you know, what part of that is scribe to what part of this whole package. I'm not looking knock starboard value. But I am curious about something that you just said, which is that start value only has a one percent of Cerna Stott. How are they getting four seats on the board? If they only have one percent of the stock. The seems like something you get when you have at least five percent of the stock and really closer. To ten percent of the stock. I agree. I was surprised when when I read that. And so I want to admit that I need to make sure that that's the case before going too far. But if it is the case, you can you can guess that they have some other shares that they are in communication with that are on their side because. Yeah, one percent is one percent. If that's all that. It means is hey, sell your one percent if you know that unhappy. I mean, we we don't you don't have as much power as you think. But if they have plenty of people on their Rolodex, and you know, nowhere to push the buttons and organize the the votes that proxy time than that. That's a different story. Yeah. I was gonna say if in fact, it's only one percent then that opens up a whole world of opportunity for activist investors, potentially. Our Email address is market fully at full dot com. Questioned from dang who's writing from China, dang rights. I've been listening to market fuller since I started investing in stocks and twenty fourteen lately, I've been looking at some large cap stocks, which may not grow that fast and cites as examples Kroger General Motors and some airlines docks. Goes on to I'm considering their p values which are below ten making them cheaper than the market average. Are they bargain or are they potential traps? The age old question dang value play or value trap. Because that is always the thing that sucks in. I was gonna say value investors. But really a lot of investors just, you know, their growth investors who just see a stock. Get knocked down twenty percent in one day and immediately start thinking. Well, look, it's it's on sale twenty percent. So you know, maybe I should be jumping in here. How do you help people think about solving this question because we're talking about more than one stock here, and we're not gonna go through like Kroger. General, you know, we're not gonna go through all of them. But what do you sort of look for once once you've made that initial calculation of? Okay. Here's a large cap, it's not going away. And sometimes we're looking at large companies that are paying dividend. So there's some reason to buy them, maybe the businesses and setting the world on fire, but you've done the math. And you say we'll look from peace stamp this significantly cheaper than the overall market. Why should I buy a few shares? Yeah. Is a good question. And to take the p so it's I'm looking at data that right now in comparison to its forward earnings GE for instances at five point eight times forward earnings. And boy that sounds street at is cheap over the last five years. The average is six point two. So usually for the market for the last five years for GE over g so g is not it's maybe, you know, five percent cheaper than its five-year average in comparison to the forward earnings expectations. And why is it so cheap one the Ford earnings tend to be overly optimistic not only for GE, but for everybody at this time of the year, you're still going out one quarter ninth and yet reported, and so there is the typical enthusiasm about the year ahead, and as the year goes down and companies report, and they say, you know, we're gonna we're not gonna Aaron quite as much as we may be thought we did. Or as you thought we did. Additionally, just it's a highly cyclical industry autos and auto sales of begun to level in decline, and
"tim sloan" Discussed on FT Banking Weekly
"The then CEO Tim Sloan was hold before the house of representatives financial services committee and basically excoriated for about four hours, which in itself wouldn't have rung the death knell on his leadership of the company. But after that hearing, some enterprising reporter, not myself had the bright idea of calling the CC and saying what do you think about all this and the OCC in an extremely unusual almost unheard of move released and apparently impromptu statement expressing its deep disappointment with Wells Fargo and its ability to get its governance stuff together. And that may have been the final straw for Wells Fargo, and Tim Sloan. It's interesting isn't it because he was the man brought in as you say in the aftermath of that fake accounts scandal, that'd be another kind of smallest guy. Handles since. But none of it's his doing if you like as he just being blamed for historical scandals, and is one of the reasons for that the fact that he was an inside appointment. He was a senior exac under the old chief executive when all these candles were actually happening. I think you've put your finger on it. Yes. He was the new guy brought in. Yes, he came from the commercial banking side of the Bank rather than the retail banking side of the Bank where the really big problems and the scandals all emanated. However, I think what's happened here is that it just became untenable, given the political and regulatory environment to have a career Wells Fargo person running the company, and that's reflected in the fact that after Tim Sloan announced his resignation the company said we are starting a search, and we're going to search for outsiders. So even those Mr. Sloan was not directly implicated in the scandals. The very fact that he'd been a senior leader at the Bank when they happened was just too much. Yes. Well, now, the hunt will begin for that side. I guess it's not something that happens very quickly. So I suspect you'll put a law reporting to to find that when that's going to happen. It's going to be. But I wish you luck. Well, that's it for this week. All this left me to do is to thank all, my guests that Stephen and Graham here in London rope in New York and Richard in Oslo. And also, thank you for listening..
"tim sloan" Discussed on KDWN 720AM
"Morning. America's First News continues on this twenty ninth day of March six minutes past the hour on this TGIF, and we start in Washington this morning. That's where Democrats are intensifying demands for Robert Muller's full report this after they learned that the special counsel's findings run more than three hundred pages. President trump. Meanwhile, boasting of total exoneration based on the four page summary by his attorney general House Judiciary, chairman Jerrold Nadler says attorney general Bill Barr told him he has no intention of giving the confidential report to congress immediately as you were Dax grand jury testimony and other elements Democrats say they may subpoena. The report if it's not forthcoming by their Tuesday deadline, which bar has said he won't meet Wells Fargo chief executive Tim Sloan is stepping down effective immediately after less than four years on the job during which he saw an unending wave of scandals at the troubled Bank Sloan says in a statement he'll step down. From his roles as CEO president and member of the board of directors effective immediately retire completely on June thirtieth, of course, he took over after. The former CEO was removed because Wells Fargo was found in violation of opening all of those Bank accounts fraudulently to meet sales goals. And then after that train just continued the bad news discontinued a lot of people are saying, Tim Sloan the CEO at stepping down was attempting to clean up the banks act, and they see him as a scapegoat of the Trump administration reversing itself on a budget request to eliminate funding for the Special Olympics. President Trump's announcement that comes after education Betsy DeVos spent days this week defending the proposal, which drew widespread condemnation from lawmakers and advocates.
Wells Fargo CEO Tim Sloan steps down suddenly
"Wells Fargo chief executive Tim Sloan is stepping down effective immediately after less than four years on the job during which he saw an unending wave of scandals at the troubled Bank Sloan says in a statement he'll step down. From his roles as CEO president and member of the board of directors effective immediately retire completely on June thirtieth, of course, he took over after. The former CEO was removed because Wells Fargo was found in violation of opening all of those Bank accounts fraudulently to meet sales goals. And then after that train just continued the bad news discontinued a lot of people are saying, Tim Sloan the CEO at stepping down was attempting to clean up the banks act, and they see him as a
"tim sloan" Discussed on KDWN 720AM
"Of course that will quickly change today after the shares start trading on the NASDAQ Wells Fargo chief executive Tim Sloan is stepping down effective immediately. It comes after less than four years on the job. And of course, a wave of scandals a longtime insiders Sloan was chosen to replace outgoing CEO, John Stumpf who resigned after Wells Fargo fraudulently opened millions of accounts to meet sales goals. Jeff Sonnenfeld is the senior associate dean of the Yale school of management. He told CNBC sloan's escape goat who went down because of political pressure and the actions of John stop. It's really unfair Wilson as you know. This is coming right off of that great Warren Buffett endorsement of an hour and ten minutes ago that this I think it was a shock to many. I actually had been in touch with Tim through the weekend. We we're going to have him sit next week at our CEO. Right next to Janet Yellen. In Washington also ask if she wanted to apologize for putting him in this situation with this foolish risk. But this is a company where he's delivered. The best earnings Jim motels and the country's companies hundred and sixty one year history. It's really been incredible any bad news, which has come out the last two years. It was not the office of the controller the currency. They're getting a free ride off of this pilot. You know, champion all these great scandals that Tim was bringing out. He was the one who is turning the rocks over not like John Stomas. His predecessor who was apparently deceiving. Even the board is Kim was the guy who was bringing public. But he's not a backslapping cheerleader charismatic guy. He was a CFO that didn't know that. He was put on earth to be the CEO. He rose to the occasion Lake Mary Barra. Sometimes you get insiders that are heroic to take this on. And I think it was a cheap.
Wells Fargo CEO Tim Sloan steps down amid many scandals
"Wells Fargo chief executive Tim Sloan is stepping down effective immediately. It comes after less than four years on the job. And of course, a wave of scandals a longtime insiders Sloan was chosen to replace outgoing CEO, John Stumpf who resigned after Wells Fargo fraudulently opened millions of accounts to meet sales goals. Jeff Sonnenfeld is the senior associate dean of the Yale school of management. He told CNBC sloan's escape goat who went down because of political pressure and the actions of John stop. It's really unfair Wilson as you know. This is coming right off of that great Warren Buffett endorsement of an hour and ten minutes ago that this I think it was a shock to many. I actually had been in touch with Tim through the weekend. We we're going to have him sit next week at our CEO. Right next to Janet Yellen. In Washington also ask if she wanted to apologize for putting him in this situation with this foolish risk. But this is a company where he's delivered. The best earnings Jim motels and the country's companies hundred and sixty one year history. It's really been incredible any bad news, which has come out the last two years. It was not the office of the controller the currency. They're getting a free ride off of this pilot. You know, champion all these great scandals that Tim was bringing out. He was the one who is turning the rocks over not like John Stomas. His predecessor who was apparently deceiving. Even the board is Kim was the guy who was bringing public. But he's not a backslapping cheerleader charismatic guy. He was a CFO that didn't know that. He was put on earth to be the CEO. He rose to the occasion Lake Mary Barra. Sometimes you get insiders that are heroic to take this on. And I think it was a cheap
"tim sloan" Discussed on MAD MONEY W/ JIM CRAMER
"Why do we because I used to go to the nearby five blow with my daughter when she was younger, and it was a blast in his book. He talks about regional national stories. If you spot a concept that works say in New Jersey or Philadelphia where I'm from. We'll probably work in the rest of the country. And that's exactly what happened. We had to see. You Joe Anderson recently between the interview in the homework. We did I full five below us a must buy. So that's what the child I did up. Eight percent today. Lululemon? Hey, it's my wife's favorite place. He's been fortunate. I visited for them in the last year, I really like him their electric there are collecting I've worked out in the stuff every morning. So hey, so does my wife, by the way, Matt boss, the unbelievable? Good retailers. JP Morgan kept pounding the table, but how you should buy Lulu stock. His best stops fourteen percent runs today. Data bottle, of course, some gains. Unpredictable after the market closed. This very even we learned the Tim Sloan was retiring CEO Wells Fargo because he felt he had become a distraction because of the endless harangues from Washington about his leadership. Something I asked about directly back in January twenty fifth on this set take a walk would it ever be to the point where Wells Fargo the director saying, you know, what Tim your liability and you got to resign? Look, I think if I'm not doing my job as opposed to somebody having an opinion about me. Right. That isn't always informed opinion. Okay. Then of course, it would be appropriate that I'm not miserable. If I'm not getting things done. I worked for our shareholders. And I work on behalf of the board. Right. They have high expectations for me. And I'm exceeding those expectations did exceed the expectations. He made a lot more most record quarter that race. But it's not enough. And he felt that he was a distraction. So he resigned and believe me when he said he resigned was him. I wouldn't chase. This stock now, though, it is a Bank it is going up after he resigned. But in the end, it's back in Bank, stocks are awful. No matter who runs them sorry. So here's the bottomline starting with the lift IPO. I think individuals stock Dicky's gonna start making a bit of a comeback. I sent the excitement the possibilities. But don't leave it to just the IPO's. There's something good going one here and all sorts of high quality companies, you just need to be curious stopped paying attention to politics and pay attention to what you like. And what you know. And I think you can make some mad money, Stephen, California. Steve rito. Hey, how are you? How about you? Good good calling from California. You bet. Well, I broke her rule. Jim I actually fell in love the stock called CISCO's. The question is question is and I'm heavily heavily into Cisco. But the big question Jim is telling me on five t rolls out is Cisco going to be ready for five G is going to be ready for five tier we doubting Chuck Robbins. You bet not doubt about him. Is that I have do cannot North Carolina winning the whole thing. I think Chuck is doing a terrific job. He'll be restrained for five G as you can be ready. I want James Massachusetts, James. I cramer. Thank you for everything that you've done for us pleasure. I want to know. What did your pain, and I asked you have question on WBZ wacko. Do you think that there's another company that could possibly give higher bit? And today's bid or is. For the Westinghouse air brake company. I think he got a good price stock leak to wind up too much. And I think it's done for. So so so so part it is time to praise individual stocks. They are making a comeback don't wind to it. I'm not just talking about the very exciting lift so take advantage of what's going on. And don't be afraid to cash in on it. But don't go chase a Bank stock because Tim Sloan left. I think making no money or man tonight. Charles dickens. It's not as good as Stephen King. First of all the roll, I'll tell you how apple Goldman are rewriting the classic great expectations..
"tim sloan" Discussed on 860AM The Answer
"Dot com. I'm Keith Peters in Washington. The chairman of one of Sweden's largest bang says it has dismissed its chief executive in the wake of allegations that the Bank was connected to a massive money laundering scandal in the Baltic country. The announcement that big a bonus and had been dismissed came just minutes before spread bank's annual general meeting with due to get underway in Stockholm. The Bank has been coming under mounting pressure over meteorologist that was used to fund one hundred and fifty billion dollars from high risk clients mainly wealthy Russians into the west and financial system on Wednesday. It's offices were raided by Swedish police who are investigating the Bank on suspicion of fraud and breach of insider trading laws. It's also being scrutinized by regulators in the United States BBC correspondent THEO Legat. Wells Fargo chief executive Tim Sloan is stepping down effective immediately after less than four years on the job, which sawn unending wave of scandals at the troubled Bank. He will retire from the Bank completely on June thirtieth more on these stories at townhall dot com..
"tim sloan" Discussed on Bloomberg Radio New York
"Stocks bounced as the rally in treasuries, eased and investors look to China for the latest developments in the standoff over trade as for the outlook for bond yields. Peter cheer is head of macro strategy at academy. Securities me, it makes sense. Going down to about sixty because the bag was on hold decade room for the bond yields to move down lower. Perplexing. I do think a lot of people are using Gregory's. Now's a hedge. If you worried about what's going on the global economy. If you're worried about bay deals you buy some factories. I think that's helped us rally and on the inverted yield curve. Dave cuddle is CEO and chief investment strategist at mainstay capital management. He was our guest on daybreak Asia. Seven last seven times we had a yield curve inversion. It has predicted a US recession. And and we know where we are around the globe. Elsewhere. We've seen the slowing again expect problems around the world as well. But we think we have further to go and US stocks. So we would stay not only not lighten up on US stocks, but stay with US stocks and daybreak Asia kicks off just about twenty nine minutes from now as for Brexit and American markets. Jennifer foster is co chief investment officer at Chilton investment group, I think the US markets are delineated between the fact that it's really a a euro Centric situation at this point in time. And hopefully, we are close to the end of. This long road. It's been over two years of this cloud of uncertainty. Tim Sloan how to see how it Wells Fargo stocks higher SNP up four tenths of one percent. The Dow also up four tenths of one percent. Nasdaq up three tenths of one percent. I'm Charlie Pellett. That's a Bloomberg business flash. Bloomberg best with June Grasso..
"tim sloan" Discussed on Talk 1260 KTRC
"Bank stepped down today. Effective immediately clean out your desk. Tim Sloan CEO Wells Fargo step down. Mid mounting pressure over the lender scandals in will be replaced on an interim basis by the banks general counsel. See the letter c Ellen Parker. According to Bloomberg. Slow will retire from the San Francisco based company at the end of June. It said in a statement Thursday. Said effective immediately. So I'm not sure which is actually more accurate anyway that just came down on Bloomberg radio Wells Fargo stepping down. Effective immediately or at the end of June. Take your choice. Yesterday evening. The board of the Santa Fe community college part of their regular board meeting. Announce the new president s envy community college. And it will be president Becky rally. Becky raleigh. Becky Raleigh announced yesterday last evening. Unanimous vote to hire Clovis community college president Becky rolling. So we poached her from from Clovis. Yeah. They don't need we need. So she'll become the next president SCC. Fifty four year old native of Clovis has been president of the community college in that city since two thousand eleven also has been the chairwoman of New Mexico, independent community colleges a network of ten schools, including Santa Fe community college tends twenty fifteen. So obviously, she knows the school. Well, our school. Well, a five finalists announced last month. In their search for the new president Raleigh was the only candidate who does currently work in New Mexico. She says she's looking forward to the opportunity to continue playing a part in the statewide discussion on higher education as she steps into her new position overseen a large school in the state capital. She said I make a lot of trips to Santa Fe and now as president of the New Mexico, independent community college association. I think that I have a very good understanding of higher education in the state and a good relationship with legislators. Some people in the community around Santa Fe. But I know I have a lot to learn people to meet and relationships to forge. Close community college more than two hundred miles south east of Santa Fe near the Texas border. The college has about thirty five hundred students compared to about fifty five hundred at Santa Fe community college. Whereas we offer a wide array programs. According to a biography of. Becky raleigh. Provided by the college. She has increased Clovis community colleges. Persistent me persistence rate, the percentage of students who returned to the school for a second year. She brought it up eighty four percent. From thirty four percent, that's substantial in a free time. She finish twenty-five.
Wells Fargo's CEO says the bank has reformed their 'consumer abuses'
"Their CEO of Wells Fargo will look congress. No today, how he's doing cleaning up that troubled Bank, as Tim Sloan is to testify at a House Financial Services committee hearing out holding the nation's fourth largest Bank accountable for what the panel says has been a pattern of consumer abuses
"tim sloan" Discussed on MAD MONEY W/ JIM CRAMER
"Last Friday, we interviewed Tim slow. He's the CEO of Wells Fargo, and they talked about the many ways as Bank is trying to move past scandals become a better corporate citizen. But at least one person the audience wasn't buying it. Centralism more Bassett's, the professor turned consumer advocate turn possible democratic presidential candidate who's been preps. The biggest critic of Wells Fargo in particular and the financial industry in general wars, got some big ideas to clean it. Two percent wealth tax on the ultra rich. That's controversial special Wall Street now earlier today, we got a chance to speak with Senator Elizabeth Warren, and I'm thrilled anytime of presidential contender feels like stopping by the show. So a book. Thank you so much for coming back to mad money. I'll I'm glad to be here. Okay. Wanna struggle? We had Tim Sloan on last week to see of Wells Fargo, and he talked about he feels quote that he's the right person or on this company. And I believe that one because I care deeply about the company been there for thirty one years. I know all the company operates, I've taken responsibility. I don't think you should be criticized for taking responsibility knowledge in the mistakes. Why is that a bad stance? To submit explained to be exactly how it is that he's taken responsibility. Let's just do a quick rundown. Let me see if I can remember all the ways he was part of that management team that enacted the policies that caused millions of customers to get cheated on fake accounts. Let's see. And then there was the scandal of adding car insurance and pet insurance and all kinds of charges to customers accounts putting people into default. And then there was the fact that Wells Fargo targeted communities of color for the worst mortgages costing. We don't know how many people their homes. Let's see. And what was oh, I remember. And then there's this latest piece that comes out that Wells Fargo markets itself to colleges and universities to use their credit card as an exclusive offering to students and Wells Fargo charges about three. Three times as much as every other Bank. That's doing the same sort of thing. In other words, Wells Fargo has had a long standing policy of scamming squeezing and cheating its customers. Tim Sloan has been right at the heart of that. And he wants to keep right on running Wells Fargo. Look, the central problem at Wells Fargo is they need a change in culture. I'm the only one who said that their own regulators have said at people on the street have said it, you don't get a change in culture by having the same guy who had his finger in every single scandal. Still running the Sherman sterling outside direct report one hundred ten pages. Pretty thorough did indicate that he was not implicated and did not directly have anything to do with the cross sell. Do you think the report was a whitewash? Let me just do both halves. They pick one scandal. And so Jane, we've don't think he was directly implicated, I'm sorry. He was part of the management team. This was a massive fraud..
"tim sloan" Discussed on FT Banking Weekly
"And is that enough to protect him sloan's job? I think it's enough. Certainly if Tim Sloan as promised can get defense asset cap off of the Bank by the first half of this year. If that doesn't happen at the same time as the political pressure driven primarily by opportunistic politicians running for the democratic nomination builds up than I think, there could be increasing questions about Tim Sloan futures leader Wells Fargo, but we'll keep a close eye on that as the progressives. Thanks very much. Rob. Let's stick now with the New York bureau because Laura you've been taking a look at the results of J P Morgan which have come home a heels of yesterday's numbers from CitiGroup and city rather set the tone for some Dombi expectations for wool street. What happened there, and what has happened to JP city was a bit of a mixed bag yesterday. Yes, they did badly in some areas degree fixed income trading where they done toting presenting the quarter to end December versus your earlier Braxton. Their shares responded pretty well. Their shares rose rang three percents. I think people were related having been worse city. It also contract the bar. Pretty no going in and city did manage to beat by -tations. We'd a different story at Jp Morgan tastes today. Did missed what looks like only the first hundred Morgan Chase has missed earnings since twenty fourteen the targets were a bit messy. They missed them by pretty much every measure in terms of netting. Also in terms of revenue fixing gun was a baked drug for them as well. They were down sixteen percent that was a surprise to people because we kinda knew city was having a pretty tough time. Upping people will recall in their story in December by cities fixing condition losing up to one hundred eighty million dollars on the Asian hedge fund trade gone wrong. So city people were prepared for a especially in markets. People didn't rethink JD more than what we done by double digits pretentious than fixed income on their medical unless basically market conditions deteriorated, very fos. We asked them how was the position in terms of future quarters to the bike living to reshape its fixing business. Given the conditions in the CFO Moran lake was ready for him on that. She said that wound quarter does not make a trend than haven't seen in in the markets. That would make them wanna change the shape off their business. They write much than hashes. The other thing was city appeared to be a bit more responsive to market conditions cities pay fell by around three hundred million dollars year on year. That was read six. Percent J P Morgan j sexually increased pay across the whole bunk by four percent, you're near in the final quarter. Now, Miami did say that pay down in Marcus. She wouldn't say how much by, but it looks as if city would maybe a bit more responsive to the changing market conditions, thou j Morgan walls, but interesting, I suppose, a final thought from you, then we haven't had the full results from Wall Street yet still a couple of standing, but on the evidence of the results sofa, particularly the kinda fixed income disappointments at city and j p what does that suggest that the European banks have installed when they report a few weeks from now I'm thinking, particularly about the big fixed income highnesses Oviously of Barclays and torture. So you talk about the big fixing has, but they are lots more than they would previously have been. So I think yes, it means by means in terms of what their fixed income businesses will give. But I mean, they're coming off very low base that we've seen such big full in the fixing of. Fences of the Europeans, thus far that actually at twenty percent, full chick sinker money, Georgia. Barclays doesn't move the dial. Larry as much for the entire firm office would previously barkings also bit of special tastes. They have quite different business mix within their fixed income, so they sometimes do to furnish the rest of the pack. So I would be cautious around Barclays necessarily following the same trends that we see for city on for mortgage ace for joy, I think what you have to do this this look at the consecutive quarter..
"tim sloan" Discussed on KGO 810
"This one is fantastic. This by the way, reminds me of our own senators when they were grilling Jeff Zuckerberg, real headline from the Straits Times out of sync poor. Real headline does not compute colon Japan. Cyber security minister admits shunning PC's, comma, doesn't know what. A USB drive is. That's the guy in charge of cybersecurity for Japan. Yeah. According to the article from the underlying article articles, actually f-, France, a Japanese minister in charge of cybersecurity has provoked astonishment by admitting. He's never used a computer in his professional life. And appearing confused by the concept of a USB drive. Who sounds like some of our senators, I'm just saying and then on a local front for a not the onion headline. Real headline from the mortgage professionals of America magazine, MPA MAG Wells Fargo colon shareholders can't sue us because they should have known. We were lying. Of course. You can't sue me. Wells Fargo, Gordon the article in NPA MAG dot com. Wells Fargo is adopting an unusual defense against the shareholder lawsuit. Not the BJ are rule. No. Claiming essentially that shareholders can't hold the Bank accountable for CEO. Tim Sloan Stevens said it was quote working to restore trust and be more transparent about it scandals because it should have been obvious that low Sloan was lying. Oh, my word that is awful the defense, which Wells Fargo put forth an illegal filing aimed at getting a shareholder lawsuit. Dismissed relies on the legal concept of puffery. That's marketing jargon, basically. Let's get to our criminal though of the day because it's Friday, and we have to have air criminal not the onion headline of.
Wells Fargo to cut headcount by 5-10 percent in next 3 years
"Wells Fargo is planning to cut up to ten percent of its workforce over the next three years, which will result in tens of thousands of job losses for employees of the nation's third largest Bank. Wells Fargo chief executive Tim Sloan made the announcement to employers today. The Bank currently employs roughly two hundred sixty five thousand workers and plans to cut its headcount through both attrition and layoffs. The San Francisco based Bank has been under a cloud of scandal. Since two thousand fifteen when it admitted its employees open millions of fake Bank accounts for. Customers in order to meet unrealistic sales goals since that admission wells has admitted to other scandals including selling auto insurance to borrowers who did not
"tim sloan" Discussed on KFI AM 640
"No they forgot to mention that oh we got paid for that oh we profited from that we benefited from that it should have been stopped from the beginning this is the ridiculous part of it all we'll wait wait wait wait that was announced on the same day i didn't say the same week i didn't say the same month not even the same year the same day as this wells fargo ceo tim sloan got a thirty six percent raise wells fargo at least in terms of public perception and publicity had its worst year ever and it didn't matter a thirty six percent raise now sloan says he isn't receiving a cash bonus well let me give you the numbers let's really drill down on this executives great year tim sloan's total compensation climbed to seventeen point four million dollars seventeen that's up from thirteen million in two thousand sixteen and although he's thirty down the cash bonus he still made a base salary of two point four million his base salary is two point four million because of incentives and fake bank accounts and and all these auto insurance policies that they forced upon people he pocketed another fifteen million dollars would it be nice to have a base salary of of two point four million and then you get i don't know five times that and incentives but there's more currently wells fargo awarded sloan stock bonuses last month that are currently valued at fifteen million dollars fifteen million in stock bonuses that's fifty percent up from twenty sixteen in other words the matter how bad we talk about wells fargo no matter how many federal investigations wells fargo may have they make more money and the ceo gets more money here's more proof the federal probe which was already underway it was expanded this week to wells fargo wealth management the federal investigation of wells fargo's retail banking sales practices has been elongated and expanded and it still doesn't matter the probe is looking directly at the wealth management businesses and this is according to the wall street journal both the justice department and the s e c are conducting the investigation and fbi agents have been interviewing some of its employees in the phoenix area prosecutors and federal and state regulators have been looking into wells fargo since late twenty sixteen remember all those numbers i've been giving you despite this federal investigation and.
"tim sloan" Discussed on KQED Radio
"Usually less than a million dollars then well sparkle also has its private bank which is another kind of sean or tear up that has about eighty thousand clients and those folks are typically investing more than two point five million the federal reserve recently sanctioned wells fargo and put limits on its growth and then just this week the ceo tim sloan got this huge thirty six percent raise in two thousand seventeen or at least it was announced can you tell us what the bank has done or what it is doing to clean up these issues pick great question a lot of people are curious why does the ceo get this huge raise when all these problems are continuing to happen or new ones are coming out there's one explication which is that tim on salary in two thousand sixteen only accounted for him leading the bank and being ceo for a couple of months of the year so in some ways it's natural that it would go up still you know there are a lot of problems most of the banks top executives did get raises and two thousand seventeen and i think that's caused a lot of folks to raise eyebrows including senator elizabeth warren of massachusetts who has very much been vocal about her displeasure with the bank wells fargo has done some work to clean up and you know we we do want to acknowledge that they've refunded a lot of money to customers who were impacted from the retail bank sales taxes problem they are in the process of refunding more than one hundred million dollars for auto loan or mortgage past tumors who were improperly charged over the years however problems continue emerging the bank has not fired everybody some people were allowed to retire and i think they've still got a long way to go emily glazer of the.
"tim sloan" Discussed on WBAP 820AM
"Members communities small businesses and homeowners says the wells fargo presidency yo tim sloan and this is where the democrats are really against do you really be do you really want to be on that side i mean do you really want to necessarily gang dickey harlow all of you what what let's let's do the math i don't know what does it at two hundred thirteen two hundred fourteen thousand people you jarring in fourteen thousand people you quarter of a million people who got thousand dollar bonuses shame on you shame on you all my gosh guess what else at t the bonuses there's a lot of people get into bonuses it's the union employs and tons of their to union shopped tons them are union two hundred thousand union people are getting a thousand eyeballs already now with this trump tax package they're gonna get other thousand dollar boston have graham for christmas what the heck does that mean to you what does that mean to you if you're a democrat in you get two grand in your pocket out this week that you are planning and getting what are you going to do i hate donald trump but trigger cast that check archer you're going to cast that czech if you listened to the democrats you should send that money wanna where they of give it to them as they could take back the economy right pera take it back that you'll get that bonus back what this is going to do is going to give you this these are the bluecollar reagan democrats bees the bluecollar trump democrats there are already there they already voted form in ohio in pennsylvania my cash pencil flipping vania eric wisconsin white i did too shows in wisconsin it was like a second home when i was growing up you know we are in chicago good wisconsin for christmas or records for summer and stuff i know those people those are my people is to joke around say those they've they've they voted for trump i mean what do you think.
"tim sloan" Discussed on KGO 810
"That when okay so that you're all alone on this i mean you have fed chief yellen janet yellen and she doesn't think they need a new board she doesn't think that uh you know um i think max week maxine waters things out of just be closed down the entire bank and i gotta tell you janet yellen isn't there so are you an outlier here or is she in outlying well you know you know are the best job in america be curbed when you stand up for working people that's what that's what counts so yes i think our job is to put a lot more pressure on on a to government officials to organize on the grass roots level to say this is just not acceptable because as you know this institution that has to be either changed or shut down one of the one of the two and you know and that's why we're saying there should be a monitor that's right you know when when you have in asia to shoot that is it that the crew russian and predatory practice so so engrained what's the answer it's not just a change to board of directors is to say let's have someone in charge deck can oversee to monitor it and change it and that's what we did with some of the um some of the banks and financial institutions during the mortgage crisis they give put some monitors in place to make sure that some of those institutions were doing the modifications correctly well this is what we need to do with wells fargo everyone who's listening right now just to repeat you know we invited wells fargo to join us today and they declined their welcome to come on this program anytime they what so and i looked to have the debate i mean good to have a constructive discussion about what they do i mean you know they you know tim sloan he should not be afraid to have that discussion and you know maybe he can educate us to something that we don't know clearly he didn't do that particularly well in part of the senate banking committee but you know let's give him a second shot let let me ask you why is this still coming out in drips and grabs it you know all our ills kind of big news that they had a three and a half million fake accounts then we found.
"tim sloan" Discussed on KGO 810
"Doing independent for for closure review a wells fargo and what they found was a massive error rate leading dead the there is a large percentage of homeowners who lost their homes not because they should they couldn't afford the mortgage payment but because wells fargo refused to modify those mortgage in what well and then and then promontory goes to the wells fargo board of directors intel's to that there is a large number of homeowners who you legally were closed on what did wells fargo do they went to tom curry hit of the occ in they say that if you don't settle this will never going to work with you again were never going to provide any money so they forced the oath is see they threaten them what is she oh see saito to this that you know if you don't stop this independent foreclosure review that it and so they settled for a couple of billion dollars in that was the end of it in that way started last chance to really look and find out what wells fargo didn't didn't do but it was too late because promontory um financial independent consultants did a very good job in documented dead literally hundreds of thousands if not millions or wells fargo borrowers lost their homes no fault of their own but through the practices and the predatory practices of the wells fargo and you're right it's outrageous that no one has gone to jail and we got it and you know these guys live in a bubble at the hearing michael wells fargo borrowers victims g tim sloan down to hold the congress chased them down the hall to congress because he refused to talk to them they make so much money that they lived in its bobble but we're going to go after there our ceo tim sloan in there and their directors and their top executives into their neighborhoods because they have to be exposed in a nonviolent way but to show everybody that there are financial creditors living in their midst in we have to take them on personally to hold them personally accountable for the predatory practices because the government refuses to do it this is a a corporation the make twenty two billion dollars last year twenty two billion dollars of course they can afford to pay off a billion here at a billionaire as long as noone goes to jail.
"tim sloan" Discussed on Bloomberg Radio New York
"Up and talk to people and see how they're doing to the trump administration wants to rewrite some of the rules or regulations covering the financial services industry what specifically would you like to see god what i'd like to see dawn is that we step action on a lot of change this happened in the industry since two thousand eight some of that change has been very good shall we have capital rules acquitted he rules for large banks in this country absolutely clinton never want to go back to two thousand six and seven i remember running similar hold also businesses dan and telling folks will put your pencils down we're not going to be part of this craziness considerable there was a lot of insanity it was going on at the time but what i think we need to do is step back said what's working and what's not and from your perspective what's not working so i think what what is not working is that we need this standards to be much more objective as opposed to subjective we need to say these are the rules lat'stop changing down let's stop trying to to tinker with them and because i think what we've built postcrisis is the strongest financial system an industry in the world were specifically referring to the seek our process cassatt seems to subjective part everything else is pretty clear you know with the liquidity requirement as you know with the capital requirements are that we know what kaplan liquidity have our but they keep changing every year and it'd be nice if it stopped because i think all the institutions in this country are almost all have now raised much more capital they had before as it relates to see car i think having a seat car process is really good wells fargo's been doing that for decades that's why we were in the position in two thousand eight to be able to to to to buy will cho via having said that i think it would be best if batterer if it was objective as opposed to subject and and that's the feedback that you're hearing from the fed in terms of changes that they want to make that was wells fargo ceo tim sloan speaking with bloomberg's erik schatz scar it now let's take a look at some work being done on the nonprofit sector with bloomberg's donna wilson when one thinks.