For christmas. We have a lot to cover. Its time to take you to the news feed. Apparently, the take overall her was not a good fit for joseph a bank. The clothing retailer has rejected an offer from mens wearhouse saying it significantly undervalued the company. Joseph bank says it will review opportunities. With thejoining forces largest mobile carrier, china more thane, it has 760 million users. It has agreed to sell iphones. The move may help both companies by declining market share in china. Ford is getting ready to unveil a new aluminum version of the bestselling f150 pickup. The new pickup will debut at next months Detroit Auto Show and will be lighter than the steel version. Fuel efficiency may rise from 23 miles per gallon to almost 30. I think i know what you did this weekend. You might have had a lastminute run to the shopping mall. Millions of americans were finishing or maybe starting the Holiday Shopping traffic. Has its finger on retail. Bill martin is with us from chicago. The single most important factor in getting consumers to buy this season . I dont know when to shop anymore. This weekend was a pivotal weekend for retailers. Day, saturday, sunday these were the top shopping days of the year. In chicago, we saw an abundant amount of foot traffic up and down the street and many consumers carrying rack edges. It felt like it was a good week. Today is important this is what we call fathers day which is when the male shopper gets into the pattern to complete his Holiday Shopping. The day after christmas is always pretty strong. Aboute are seeing now is two percent increase in sales over last year. We have projected 2. 4 . We need strong sales this weekend to hit that number. We are fairly confident that the consumer really went out and tried to finish their Holiday Shopping season this weekend. Even though you saw a lot of foot traffic, are they buying enough . It seems that every single store has a coupon or promotion. We dont even know when the best time to shop anymore is. I found myself in stores yesterday not knowing if it was the right time because we could be days away from being 70 off. I agree with you. The discounts are pretty volatile this year. We saw heavy discounting during black friday and that weekend, thanksgiving was a strong day this year. We also saw some discounts this weekend. We expect the largest discounts to come after christmas when we will begin to see retailers trying to shed themselves of an divinatory of inventory. Asare up against a deadline christmas is wednesday and people will need to finish their shopping by then. We expect we will see a strong day on the 26th and many people out over this coming weekend we can expect to see large crowds. Lackt used to be that friday and then the day after christmas and maybe there was a little bit the day before. It seems that the deals keep coming now. They do keep coming. I think the retailers have convinced the consumers that there will always be a discount. There will always be an opportunity to shop. We saw that with a couple of strategies this year. People tried to go to Everyday Low Price but the consumer likes the discount and likes to think they are getting value for the money. We are conditioned. It is our expectation that we should see 30 off or more. Thatnk that is a trend will continue throughout this year and into next year. Is there a retail strategy that has not worked this season . Its hard to know what has not worked. Many retailers create a strategy that was developed in april and may this year and they have to run their strategy based on what they brought into the store. Theye products dont move, have to modify the strategy to create a larger discount and get the product off the shelves. What product category sorry, continue. Product categories seem to be the strongest in apparel. That is because they had a soft year last year. The weather was very mild last year. This year, we have seen the cold come earlier. We see a lot of the winter apparel moving off the shelves. If i am target or best buy or walmart had why combat that everybody is buying apps . That does not help my business. Stores have abox good strategy and a good product. They are trying to entice their loyal shoppers to come in to entice other shoppers to come in. There is a lot of promotions and tv advertising. There is good opportunities for them as a retailer as well as their clients to come in and engage in the retail world and get good products were fairly good value. I know i cannot get a vita mix for a good price but i still love it. Thank you for joining us. 10. 10 is what workers could be making next year for the minimum wage which is supposedly a top priority for Congress Next year. The starting point is a bill that would increase the hourly salary from 7. 25into double digit. Alix steel has been looking at the impact on companies. Which companies are most at risk . It is all about location. States are increasing the minimum wage on average nine percent irrespective of what congress does. California is up almost 13 . Sector, it isant actually Franchisee Stores like mcdonalds that are best insulated. Actual Franchise Stores will take a hit but corporate will be fine. Stores that manage all their businesses like a starbucks or panera or chipotle or pjs, these are the stores most at risk. One analyst said these companies have more than 20 of their stores in these states and are planning wage hikes. How do these companies mitigate the risk . If this law is coming, it is what it is. Its not like they have been weight raising their wages. They pay slightly above the minimum wage. You could fire people. Some analysts say people will be as lean as they possibly can. I dont think chipotle has extra employees. The third option the second option is efficiency. I talked to one analyst taking a look at starbucks. They are testing an app where you can buy something on your app and pay for it and cut your line and go pay for your coffee. It might not cut workers but it could help efficiency which helps sales. The third option is you can raise prices. To and het i talked said bjs would have to raise its by 1. 4 . These are somewhat manageable figures. Manager of manageable for whom . Well the customer be willing to pay more . Chipotle has not raise their price in the last 1. 5 years. They are starting to raise their prices next year. That is a big risk. People are eating out less and trading in for groceries instead of restaurants. Isp did research stating that fact. You can make the argument that people are making more and perhaps have more money to spend. The Economic Policy institute said the federal minimum wage could put 35 billion in peoples pockets. Isnt the argument to raise the minimum wage because people cannot live on it . They should not necessarily have more disposable income. Thats why we are not all as he makers. You could make the argument that if you raise the minimum wage, it will cut out certain people from the workforce Like High School kids. We would not make good policy makers but we can talk about this. Thank you so much. Back, weve got to talk about target. They are trying to make amends with customers after the massive data breach involving credit and debit cards. They offered 10 off this weekend. We will talk to a top Online Security expert. Where is that beautiful Christmas Tree . Its right here at the bloomberg world headquarters. Target had a nightmare before christmas. In response to the breach that exposed credit and debit cards of 40 million shoppers, Jpmorgan Chase imposed spending limits on 2 million debit cards that were swiped at target stores in an attempt to stave off fraud. Three class action have been filed in response to the breach seeking 5 billion in damages. Lets bring in an Online Security expert. He has been looking at the massive data breach and joins me now from boston. I was in a target over the weekend and i cannot say i thought about the Security Breach going in. When i go next 10 off at the end, i thought i was going to shop here anyway. What do you make of this . Gratuity is nice. The public direct their anger toward target is funny because they are a victim of a crime. While they are supposed to have systems in place to protect their customers, which they do, there is something called an advanced persistent drip which means they are under attack all the time like most retailers. Its not a matter of if but when. Should we be blaming target or saves is just a case of what is happening in this new world . Ciber hacking is a day to day threat. Target takes some responsibility but this is not a victimless crime. This is happening to our government and major corporations. They are being targeted 24 7. While they have systems in place, somebody at some point will get breached again in the next week and we will talk about them, too. Those of us who are blaming target, do you think we should lay off . This could have happened to anyone. You want to keep on these corporations to make sure that they are, in fact, keeping our data secure. Not you back off, they may spend the right funds on information and security technology. There has to be checks and balances. If you are assaulted, youre not to be blamed for being victimized. If your home was broken into i dont think this is negatively going to impact them in the long run. What does target need to be doing . Is this the price of being a major retailer . If you think about the value of customer data, this tremendous. Offering an apology is the right thing to do. Offering discounts is certainly a nice thing to do. In the end, they will learn from this as many others will. For those who this is happened to, what is their course of action . Plain and simple pay close attention to your credit card statements. Some do it monthly and others do it weekly online. My cousin got breached for 250. You have to be paying attention via mobile apps. Should we not be using our smartphones to be buying things . There is so much hacking. You clearly dont have the proper protection in place yet, should we slow down how we pay for things . Yourf you want to use mobile phone for an application to pay, its perfectly fine as long as your device is secure. Same thing with your pc. How does the average consumer know if their device and their pc is secure . I have not done anything to check but when im on my phone and see something on amazon, i buy it. How do i know if i am secure . As long as you have updated operating systems and updated antivirus. You want antivirus on your android, making sure your pc is antivirus. If youersecurity 101 have that in place, you are safe to shop online. Credit Card Companies have these systems in place. Thank you so much for joining us. People need to Pay Attention to your advice, not to the advice from Stores Offering deals. You want to be protected when you are out there shopping. It could happen to anybody. Obert sicilianiano when we come back, the offer was not suitable joseph a bank rejects a takeover effort from mens wearhouse. If you missed any of our interviews, you can now watch them not just on bloomberg. Com, you can catch it on apple tv in a brandnew experience. Tv is thesays apple coolest and it just got a little cooler now that it has bloomberg. Welcome back to market makers. Clothing retailer, joseph a bank, has rejected a takeover offer from mens wearhouse saying it significantly undervalued the company. They think the suits are hotter than others. Julie hyman has been following the 1. 5 billion takeover bid. Give us the latest. I cannot say i have been to a joseph a bank ever. We are still talking about mens clothing. This started back in october and thats when joseph a bank, the smaller of the two, made a bid for mens wearhouse at 2. 3 billion. Mens wearhouse did not accept that did and turned around and made a bid for smaller competitor. It is the pac man defense. Why should these companies merge . Coke and pepsi or mcdonalds and burger king doing this . Beenany people who have watching this are talking about cost savings and saving on marketing. About menstalked awareness mens wearhouse having a lucrative tux egov rental business. Many shareholders are pushing for this. Mens wearhouse has pushed for this change ever since George Zimmer was removed as chairman of the company. Aga. Is an ongoing s likelylyst says it is joseph a bank looking for a higher bid for mens wearhouse. The stock has been trading above 55. That means this is not a done deal . They are dancing. Happen,ow it does not if joseph a bank is sincere and wants to look for other acquisitions, its not put in a good position. Both of the stocks will run up. What other acquisitions good there be out there . There are other businesses not in the same league. If they dont get together, you look at them as coexisting businesses. Mens wearhouse is probably in a slightly better position. Joseph a bank might go casual. There is not a lot of choices. What about lands and . I dont know, there are not a lot of names that come to mind that are very logical when you talk about other companies. You are throwing everything out there. These two companies are dancing in their rented tux he does. We will see what happens. We are approaching 26 past the hour so it is time for me to take you on the markets. Lets take a look at some of my favorite companies. 500, the dow, and the nasdaq are in the holiday spirit, up across the board. The nasdaq is up almost one percent. There is some positive momentum today. Label i like is michael kors which is dropping today. They have had a good year so maybe people are taking profits. They have had higherthan expected markdown inventory. Their stores were busy over the weekend. Facebook shares are rising today. People want to check out one anothers feeds. An additional one million facebook shares were priced friday after the bell at 55 dollars per share. Said facebook was a disaster on the day of their ipo but it does not feel like one now. Casino billionaire Sheldon Adelson wants to stop Online Gaming and we will share our exclusive interview with him when we come back and mobile App Developers have their own version of black writing, a day when people cannot wait to start downloading. That story is coming up. Live from bloomberg headquarters in new york, this is market makers. Welcome back. Magnetaire casino Sheldon Adelson says he will spend whatever it takes to persuade lawmakers to lock the rollout of Online Gambling in the United States. He spoke exclusively with elliott gotkine. He says this is not about the money. The guide is not become a billionaire from not caring about money. That rather than the money, its a moral issue that allowing the proliferation of online ambling in the United States would be the same as putting a casino in the hands of anybody with an electronic device, especially younger people in the perhaps people without the money. He is putting his money where his mouth is. I will spend what takes to get the point across. Its not going to take a significant amount of money. In my position, whatever it takes is ok. Im very much against it are in i am morally against it and i think it will kill the entire industry. It has the potential to kill the entire industry. It is already doing that in europe. Internetjust allowing gaming in europe without any consideration for the landbased casinos. Its also sell reservation. It has nothing to do with my business. I am not in that category where my customers would play on the internet. We take thats better quite significant. We take bets up to 1 million per hand. The Online Gambling in the is in three u. S. States and could be in a dozen more by next year. He is not looking to get out of the business entirely. He wants to make macau another place is bigger than they are . If only he could. Hes already got five resorts in macao and that accounts for more than half of the revenue than the las vegas sands. He owns more than half the stock but he is building more resorts and that would take him to a total of eight. He is resigned that the eighth one will be the last. Can support as many resorts as there is land for. There is no more land left. On which they can put resorts and if it will stay in the same area. Acronym for the names of two islands. That is the name of the area. That land is rapidly being used up. We have reclaimed the land. We filled it with the sand and compacted it and put him pilings. They go down almost one almost 300 feet. It goes between 35 and 100 meters. There is not very much more. Most of the land is already been given up. There is an adjacent island that is maybennel 100 yards away, if that. You couldactually stand on one side and yell to the other side and someone could hear you. That is the mainland of china and the mainland of china will not allow gaming facilities. The gaming portion ofmacao, i think, has reached its limit. Unable to take any more casinos, he is looking toward other frontiers in asia and in particular, he wants to be big in japan. Did he say anything in terms of Current Events . His name pops up a bit. Did he have anything to say about the Current White House . We would have loved to have asked him what he made of the obama Political Capital in terms of supporting the peace talks between israelis and palestinians and chris christie. The minute we mention anything remotely political, his pr advisor jumped in. We did squeeze out that he does not a peace between israelis and palestinians as possible because in his view, the palestinians do not want these. That was the most we could squeeze out of him as far as politics. Inauguratesrael to the opening of a Business School that will bear his name. It is just north of tel aviv. He says he might pop over to give a lecture or to take a lecture. He says you never stop learning. Thank you so much. Back, Johnson Controls, the countrys biggest maker of auto parts, wants to reinvent itself and we had a chance to speak with the ceo. You are watching market makers. Welcome back to market makers. Johnson controls is trying to