Bank. Investors have been underwhelmed by a turnaround plan hours before its annual meeting, Deutsche Bank gave anshu jain direct oversight of strategy, admitting to the department of three key executives. Shares of Deutsche Bank posted the worst performance in the last three years, the stock has fallen more than 6 since the plan was unveiled last month. Investors yawned at a news update bank finds. Shares of j. P. Morgan and citigroup fell slightly. Royal bank of scotland rose. The bank pleaded guilty to felonies and agreed to pay five posted the worst performance in the last three years, the stock has fallen more than 6 since the plan was unveiled last month. Investorspoint 2 billion in fines. Felony convictions used to be viewed as a death sentence. The Justice Department says the banks have been sent a message. Part of what we are dealing with the guilty pleas is putting the banks on probation. Forcing them for the next three years to observe much more strict financial controls, much stricter reporting obligations. In some ways, the signal is that a Corporate Culture that led to this behavior in fx and libor needs to stop. Vonnie a new frontier and punishing banks. Unlike pastpoint 2 billion in fines. Cases, this times the banks Parent Company pleaded guilty rather than a subsidiary. Islamic forces have captured the city of palmyra. Palmyra contains ruins of one of the most important Cultural Centers of the ancient world. The pentagon is sending 1000 antitank rockets to iraqi forces for use against Islamic State. They will be used against car and truck bombs Islamic State used to capture ramadi. Salesforce. Com is underscoring its appeal as a takeover target. The Business Software maker raised its forecast through fiscal 2016. It reported First Quarter revenue that beat estimates. Microsoft, oracle or other Companies May make a bid. Shares of 6 in premarket trading. After more than 6000 shows David Letterman said goodbye. Cases, thishe signed off of cbss late show for the final time. Tina fey and Jerry Seinfeld took fought, so did president obama. Letterman did not let it all go. DDavid Letterman in light of all of this praise, do me a favor save a little for my funeral. Funeral. [laughter] id appreciate it. Vonnie lettermans replacement will be stephen colbert. Letterman says i think he will do a wonderful job. We still not be able to watch. Tom something to see by the ed sullivan theater how they line up at 2 00 p. M. To get into the show. It has sustained the buzz. Brendan like when i was a kid and reagan stopped being president p i cannot remember a time when David Letterman was not on television. Tom for those who are younger, that is true. I do not remember who is jack parr . Brendan all right, tom is going to mourn johnny carson. 8 30, initial jobless claims. News we can talk about 9 45 consumer comfort numbers. 10 00 a. M. , existing home sales. Tom that is a big number. It will give us a pace after they get Housing Starts number. Will we see a follow on the markets will we see a follow on bang . Equities bonds currencies and commodities. I have not locked in on a quieter day. 2 or 3 august, it is that slow. A statement on how the markets are in line and waiting for the next move, whether it is from Central Banks or greece. Euro, 1. 1146. Futures 5 big deal. Doubt is elevated. Brendan the renminbi a source of heated debate, will china act on their currency or do they want to wait while institutions decide . Brendan, this is a big deal. From an interview yesterday, Michael Mckee and i talking to dean maki. Steve cohens shop. The unemployment rate, here is the gloom up to 10 . A big surprise for a lot of people. The persistence and unemployment rate. Maki dropped a bombshell. 4. 0 unemployment better than 20062007. Back to the nirvana of 1999 when letterman was younger. Brendan test results are not an accurate past results are not an accurate protector of the future. One of the things the Obama Administration has been saying is that nobody has been adding as many over that span. You see just what they were climbing back from. Tom 10 , back to the gloom. A great chart and a real bold statement. Particularly from people as respected as dean maki at. 72. Lets continue. To london for a briefing. Markets range bound, quiet and barely describing the churn across equities, bonds currencies and commodities. No one is waiting for news more than guy johnson in london. Waiting to drop shoes. What is the tone in london . Seems to be the banks and the drama of greece. What is that toxic mix of discussion within the quiet . Guy people are waiting from news. A meeting in riga later. We understand that Alexis Tsipras will be next to Angela Merkel at dinner. Maybe we will get that shoe dropping later. It is a little bit quiet. Youve got to reflect over the last few days, look at the equity markets and what they have done. Decent rallies being generated, especially in europe. A day of quiet, we wait for the next impetus. Maybe it is the day that you are going to be delivering later. We have had some mixed data in europe in the form of the pmis. Nothing, as you say, to move the dial on equities. Bonds might be moving a little in europe. Tom what a jumble. Brendan amazing to hear you casually say nothing is going on. With greece so much has been happening and to say it is down to body language because of a sitting placement between Angela Merkel and Alexis Tsipras is extraordinary. We have been reading that it was may when this was supposed to come to a head. There is no date after the riga meeting . Guy has always been th the net meeting that is going to take place. We are going to get closer to finding out where we are going to stand on the story midsummer. The next few days, we have some big payments. This has always been personal. Ever since syriza got into power. Since we have not had this connection between the germans and the greeks. That is where it is. The seating plan matters. Tom lets talk about something important. The wall street journal has rules for packed planes, including share your overhead space. Ive never been on a small original in europe that was not totally packed and nuts. How bad is regional flying within europe right now . Guy this is the question i was not expecting. I grew up in the channel islands. We would take little planes between the little islands. They were always fairly busy. You got your own door if you wanted more space, you could open that and enjoy the space below you. Tom thank you so much. Brendan when i see tom ideally flipping through his paper and looking for something, i think im a good luck. Tom thank you so much. Help me, the legroomm in europe is more narrow than the u. S. Brendan we are particle, when you compress particles they are more likely to explode. Tom than the u. S. Brendan that is what we do on bloomberg surveillance. We give you two hours of interest about your life. That is the stuff we are doing in this Digital World. As our focus. Brian has given us great assistant at pivotal research. He killed on facebook when they came out and he links advertising and what is left of the madmen world into the new, new new. Give us an update on facebooks news feed. Is zuckerberg happy . Brian they have done well building out their Advertising Products and continuing to buy new segments of advertising, whether it is Small Businesses performancebased advertisers. Tom what is the best practice from facebook that twitter and pinterest have to do . Brian facebook has more data and more total time from consumers than anyone else. Tom they get video and photos better. Brendan they have done a better job of recognizing that they are a platform. For me on the messenger side enabling other businesses to build on top of messenger. That seems to be something no one else is close to. Brian what facebook does facebook has become a holy company not unlike the ad agencies. There are a bunch of businesses, there is instagram messenger, whatsapp. Brendan are there unicorns left . Brian plenty. Brendan these are the extraordinary returns of facebook. Tom is this game of thrones. Brendan no, this is Silicon Valley. Brian what people want is a deck according a decacorn, a Company Worth 10 billion. The next is probably advertising. Tom brians world. I think the Washington Post does the best job in the newsfeed. Palmyra in syria now. This is what everybody is talking about. Do you predict every News Organization will be on Facebook Like the Washington Post or bloomberg . Brian the industry has to make a calculated bet. Sure, they are being nice to you, saying you can sell all the ads and take the money facebook is going to have all the data and that is where the value is. Brendan i agree. What i hear is, will you walk into my parlor, said the spider to the fly. Tom within our theme of how we are digitally addicted, when you in oregon see how everybody is using their phones, what does it signal . Brian it is just another device. It is not a moral debate . Brian i think it is evolution. New devices have proliferated over the last 80 or 90 years. Tom brian with us. Kevin of Saatchi Saatchi will join us. It is what you and i are dealing with. Brendan how does this business look in the future . Yesterday, one shoe dropped, the doj slapped 6 of the worlds biggest banks with nearly 6 billion in penalties. Slapped on the face or the wrist . This is bloomberg surveillance, streaming on your tablet, your phone and bloomberg. Com. Tom good morning, bloomberg surveillance. The gorgeousity of new york. Lundquist has let in two goals in the last 12 rangers games. A quiet new york as they consider the tampa bay, 12 goals in two games. Our top headlines. Vonnie we are going to start with california. The governor has declared a state of emergency because of an oil leak along the southern coast. As many as 2500 barrels leaked from a pipeline near Santa Barbara. It created a nine mile slick. Officials in california taking new steps to solve another problem the record drought. Farmers who hold rights to water dating back to the 19th century face mandatory cutbacks. That is the first time that has happened in decades. Newly released documents show that Osama Bin Laden still wanted to stage more attacks on the u. S. He wanted to control followers who broke away to form Islamic State. He document were captured when u. S. Forces stormed bin ladens compound and killed him. A number of books and magazines were found in the raid. Here we go in the hockey playoffs, tampa bay scored in overtime to give the lightning a 65 win over the rangers. Tampa bay leads the Eastern Conference Finals 21. The rangers have given up 12 goals in the last two games. That has got to hurt. Tom yeah. 67. Vonnie unbelievable. Tom tampa bay, the rangers have got to pick it up. Where is the defense . Vonnie they need you on the ice. Tom please. That was back when the cocacola song first came out. Lets look forward to bloomberg surveillance. We will look at salesforce. This is a controversial story. Brendan greeley has been looking into where they are not fracking. A twisted an interesting european story. And spotify has a new era, ap ple. Banks 5. 8 billion reasons. Brendan that is how much six of the World Largest banks will pay 5. 8 billion dollars to settle an investigation. 5 have agreed to plead guiltyish to the charges. 925 milling dollars the most, ubs the least at 203 million. Keri geiger has been watching the sums. I heard this morning a Justice Department official saying we should think as the banks of being on probation. Why werent they on probation after libor and now they are in trouble . Keri great question. Ubs clearly broke probation and that is why they had to take a guilty plea. The entire street has guilty pleas. Is that type of enforcement on wall street you know, basically getting diluted . Whats the point of doing this if there is not any real ramifications . I understand the Justice Department has to do something. Is there a way to police these corporations in a way that makes sense and can deter bad behavior . Is anyone expecting any ceos on the banks to resign . My guest and what i have been hearing is no. As long as the shares are good, shareholders are happy. Tom citigroup is in the biggest trouble, they are the ones with the further story, do you agree . Keri i think all of the banks are working things out. Investigation after investigation. Brendan do you have any sense that the culture has changed . That is the word we keep hearing, cultural change. Is anything driving it . Keri on the one hand, the banks has added enormous he mounts enormous amount of staff and resources to compliance divisions. Attorneys, officials everybody that can help them police internally what is going on. On the other hand, we had five banks plead guilty to criminal charges yesterday. Im not sure where the disconnect on that is. Maybe the culture has not changed. Tom over to Deutsche Bank and talk about pleading guilty to incompetence. Your take the stories show control management reshuffle. They are talking about a four year and five. What is the relative state of cacophony at which versus other major banks question mark keri Deutsche Bank took a guilty plea for libor and rolled out a Strategy Plan people were not happy with. Now you have three senior officials, some of them are wellliked and considered really good at what they do in their jobs leaving the bank. Another element of uncertainty of what is going to happen. That puts pressure on and she jane to deliver what shareholders that puts pressure on and she jane that puts pressure on anshu jain. Tom thank you for your work. 5. 8 billion. We continue our theme with brian on your digital disengagement. Kevin will join us in the next hour from Saatchi Saatchi, their executive chairman. We talk about how your kids are spending way too much time on the toys. From new york city with futures 5, it is bloomberg surveillance. Good morning. Tom good morning. Bloomberg surveillance. Brendan greeley with entertainment last night. Brendan after more than 6000 shows, David Letterman said goodbye. Letterman signed off of cbss lay show for the last time. How many laughs did we get . Catch an answer. David letterman i have been doing this 33 years, 6028 shows. We got a call from stephen hawking. [laughter] and he, bless his heart, had done the math. Because he is a genius and stuff. 6020 eight shows, he ran the numbers. He said it works out to about 8 minutes of laughter. Brendan brian, this is something you have been watching for a long time. This reminds me of some of his older bits he used to do. How did he change latenight television . Brian you hear endless comedians and members of comedians talk about how he changed the mold from a format that was predestined for everyone to follow. It was impactful. The Financial Impact is worth hitting on. It is ironically good news for cbs. Letterman was not inexpensive. He signed the deal in 1993 or 1994, colbert im sure he will be well compensated hes a lot less expensive and cbs owns the property. Brendan the new economics is on the show and higher less expensive talent. Brian exactly. Brendan all right. How much advertising can you tolerate . That is changing every day. It was a shock to me to watch madmen on television and see real advertisements. Let us know how you feel bsurve illance. Good morning. Tom good morning everyone. Tom keene and brendan greeley. Markets very quiet. Top headlines are not. Vonnie thank you. A showdown at Deutsche Bank and all meetings, the us shareholders are preparing to vote against management, hours before the meeting, they gave coceo direct oversight of strategy, after last months strategic overhaul sales to win over investors. We believe that more than 20 of the shareholders will report against the management board. 20 of the shareholders will say, we know margaret have confidence in the management board, urging the Supervisory Board to make further changes or at least look at what the problems are. Vonnie as part of the shakeup three top executives are leaving. To break the stalemate in those bailout talks, at an eu summit greek Prime Minister reportedly will submit a plan to restructure the countrys debt. He will also unveil a new proposal on sales taxes. A member of his party says that greece will not be a to repay an imf loan early next month. A senators marathon speech raising questions about domestic phone surveillance. Rand paul spoke to more than for more than 10 hours yesterday, saying there is no legal basis for collecting phone records without warrants. There is no excuse not to debate this and no excuse not to about on vote on sufficient amendments to try to make this better. Its what the American People want and what the constitution demands. Vonnie the senate will vote soon whether or not to extend the program, the house voted to stop bulk elections of phone records, the what secret program was exposed by edward snowden. A large protest expected outside mcdonalds headquarters today while the shareholders meet inside. Dennis