1 00:00:05,800 --> 00:00:08,720 Speaker 1: Welcome to the Bloomberg p m L Podcast. I'm pim Fox. 2 00:00:08,760 --> 00:00:11,440 Speaker 1: Along with my co host Lisa A. Bramowitz. Each day 3 00:00:11,480 --> 00:00:15,000 Speaker 1: we bring you the most important, noteworthy, and useful interviews 4 00:00:15,040 --> 00:00:17,520 Speaker 1: for you and your money, whether you're at the grocery 5 00:00:17,560 --> 00:00:20,560 Speaker 1: store or the trading floor. Find the Bloomberg p m 6 00:00:20,680 --> 00:00:33,240 Speaker 1: L Podcast on Apple Podcasts, SoundCloud, and Bloomberg dot Com. Well, 7 00:00:33,360 --> 00:00:36,159 Speaker 1: let's sa turn our attention now to climate change and 8 00:00:36,200 --> 00:00:40,640 Speaker 1: its real world implications. Christopher Flavel is our climate policy 9 00:00:40,680 --> 00:00:44,280 Speaker 1: reporter for Bloomberg, and Christopher, thank you for being with me. 10 00:00:45,000 --> 00:00:48,760 Speaker 1: Tell us the story about those people who live in 11 00:00:48,880 --> 00:00:54,480 Speaker 1: certain areas of Louisiana. They're packing up because of the 12 00:00:54,600 --> 00:00:58,800 Speaker 1: changes wrought by climate change. Yeah, and thanks for me 13 00:00:58,800 --> 00:01:01,560 Speaker 1: on the show. Pin. Louise Ana has for a few 14 00:01:01,640 --> 00:01:05,160 Speaker 1: years been the leader in the US in terms of 15 00:01:05,200 --> 00:01:07,960 Speaker 1: dealing with climate change, not because it wants to, because 16 00:01:07,959 --> 00:01:10,800 Speaker 1: it has to. It's land is sinking faster than anywhere 17 00:01:10,800 --> 00:01:13,000 Speaker 1: else in the country, and so their force with these 18 00:01:13,000 --> 00:01:17,080 Speaker 1: really in some cases radical ideas. There's a huge swath 19 00:01:17,280 --> 00:01:20,920 Speaker 1: of Louisiana around the delta of the Mississippi River where 20 00:01:21,040 --> 00:01:23,880 Speaker 1: land is sinking so fast and the sea is rising 21 00:01:23,959 --> 00:01:27,640 Speaker 1: so fast that people have to struggle with flooding almost 22 00:01:27,720 --> 00:01:29,839 Speaker 1: all the time. As a result, the state is trying 23 00:01:29,840 --> 00:01:34,319 Speaker 1: to figure out how and when to move people out 24 00:01:34,360 --> 00:01:36,680 Speaker 1: of those areas, and even more radical, and no one 25 00:01:36,680 --> 00:01:39,760 Speaker 1: else doing this, how to figure out to ensure that 26 00:01:39,800 --> 00:01:42,720 Speaker 1: no one else moves back in. No one, no other 27 00:01:42,760 --> 00:01:44,720 Speaker 1: state that I'm aware of, is trying anything like this. 28 00:01:45,360 --> 00:01:48,080 Speaker 1: Tell us about the money that's involved, because so we'll 29 00:01:48,080 --> 00:01:50,720 Speaker 1: get to the individual stories in a second. But this 30 00:01:50,840 --> 00:01:54,920 Speaker 1: costs money to do, and where does the money come from? 31 00:01:54,960 --> 00:01:57,800 Speaker 1: So I think I think the approach in Louisiana is 32 00:01:57,920 --> 00:02:02,040 Speaker 1: figure out their strategy first and then worry about money 33 00:02:02,080 --> 00:02:04,760 Speaker 1: because it's a long term problem. And I think their 34 00:02:04,800 --> 00:02:08,080 Speaker 1: idea is the cost of inaction would be huge as well, 35 00:02:08,120 --> 00:02:10,320 Speaker 1: So the assumptions they'll find the money, I think that's 36 00:02:10,320 --> 00:02:12,760 Speaker 1: probably true. There'll be a mix of federal funding. It's 37 00:02:12,760 --> 00:02:16,360 Speaker 1: federal funding that that started the program that I was 38 00:02:16,360 --> 00:02:20,440 Speaker 1: writing about, the l A Safe program. They're also getting 39 00:02:20,440 --> 00:02:23,520 Speaker 1: money still from the BP oil spill. And look, Luisa's 40 00:02:23,560 --> 00:02:26,600 Speaker 1: an argument is is they get so much federal disaster 41 00:02:26,720 --> 00:02:30,800 Speaker 1: money from FEMA after hurricanes and from HUD that instead 42 00:02:30,800 --> 00:02:33,519 Speaker 1: of using that money to keep on trying to rebuild 43 00:02:33,560 --> 00:02:36,560 Speaker 1: people's lives where they are, it makes more sense to 44 00:02:36,600 --> 00:02:38,720 Speaker 1: move them out of harm's way. That's a that's sort 45 00:02:38,720 --> 00:02:40,400 Speaker 1: of a cliche. You hear that all around the country, 46 00:02:40,480 --> 00:02:43,600 Speaker 1: especially after this year's hurricane season. Louisiana is really trying 47 00:02:43,639 --> 00:02:46,320 Speaker 1: to make good on that, and say, what would it 48 00:02:46,360 --> 00:02:49,800 Speaker 1: mean on a broad scale? Uh, not just rebuilding in 49 00:02:49,840 --> 00:02:53,920 Speaker 1: different parts of the neighborhood, but really rebuilding miles away 50 00:02:54,160 --> 00:02:58,040 Speaker 1: from where you were and emptying out entire swaths of 51 00:02:58,080 --> 00:03:01,520 Speaker 1: the state. How many people would uh this effect? You 52 00:03:01,560 --> 00:03:04,400 Speaker 1: have any idea? Yeah, I put that question to the 53 00:03:04,400 --> 00:03:07,960 Speaker 1: state officials behind this program. The amount of land they're 54 00:03:07,960 --> 00:03:12,440 Speaker 1: looking at is is enormous. It's it's bigger than Delaware 55 00:03:12,480 --> 00:03:15,040 Speaker 1: and Rhode Island. Uh. And the number of people who 56 00:03:15,040 --> 00:03:19,079 Speaker 1: live on that land, they guess is about sixty people. 57 00:03:19,200 --> 00:03:22,280 Speaker 1: Now they are only looking, at least right now, at 58 00:03:22,280 --> 00:03:25,880 Speaker 1: trying to move those who live outside of the levee system. 59 00:03:25,919 --> 00:03:29,440 Speaker 1: And they don't know what share of that wouldn't be 60 00:03:29,440 --> 00:03:31,680 Speaker 1: in that category will be outside of the levees. It 61 00:03:31,760 --> 00:03:33,560 Speaker 1: could be it could be a few thousand, it could 62 00:03:33,600 --> 00:03:36,200 Speaker 1: be tens of thousands. Um, but you know what, no 63 00:03:36,200 --> 00:03:38,480 Speaker 1: one has tried anything on that scale. So even if 64 00:03:38,480 --> 00:03:42,040 Speaker 1: it's just a thousand people, that would be just a 65 00:03:42,200 --> 00:03:45,120 Speaker 1: groundbreaking idea. And the big question is going to be 66 00:03:45,160 --> 00:03:48,480 Speaker 1: how much pushback will they get where But they get 67 00:03:48,520 --> 00:03:51,080 Speaker 1: the pushback from the individuals, the people who are actually 68 00:03:51,080 --> 00:03:54,480 Speaker 1: going to be displaced. To my great surprise, being down 69 00:03:54,520 --> 00:03:56,280 Speaker 1: there a few days this week and talking to people 70 00:03:56,280 --> 00:03:58,840 Speaker 1: in these areas, I got a pretty strong sense the 71 00:03:58,880 --> 00:04:02,000 Speaker 1: people who who the state is trying to help, they 72 00:04:02,080 --> 00:04:05,160 Speaker 1: realize what's going on. They are not in denial. They 73 00:04:05,240 --> 00:04:07,840 Speaker 1: know that the flooding risk is so bad they're going 74 00:04:07,880 --> 00:04:10,840 Speaker 1: to have to move eventually. Hate the pushback might come 75 00:04:10,880 --> 00:04:15,960 Speaker 1: from developers who probably are aware likewise that in Louisiana's 76 00:04:16,000 --> 00:04:18,920 Speaker 1: is real, but might be concerned about a precedent. It's 77 00:04:18,960 --> 00:04:21,679 Speaker 1: one thing if Louisiana does this. If other states facing 78 00:04:21,720 --> 00:04:24,240 Speaker 1: similar flood risk and is a lot of them start 79 00:04:24,279 --> 00:04:27,800 Speaker 1: saying which parts of our geography should we declare off 80 00:04:27,839 --> 00:04:30,599 Speaker 1: limits to new development, that could be a real issue 81 00:04:30,600 --> 00:04:35,760 Speaker 1: for developers, for realtors, for for commercial industries that want 82 00:04:35,760 --> 00:04:38,359 Speaker 1: to locate here. So I think they'll be wondering, like 83 00:04:38,440 --> 00:04:41,719 Speaker 1: the rest of us. How far will this go? Christopher 84 00:04:41,800 --> 00:04:45,640 Speaker 1: is the is the unintended consequence of hurricanes and flooding 85 00:04:45,760 --> 00:04:50,600 Speaker 1: that people become more aware of whatever the reason for 86 00:04:50,640 --> 00:04:54,880 Speaker 1: these catastrophes, their catastrophies that are going to ruin their lives, 87 00:04:54,880 --> 00:04:58,640 Speaker 1: their property, and as a result, they are more inclined 88 00:04:58,760 --> 00:05:01,520 Speaker 1: to go along with the idea to move out. Yeah. 89 00:05:01,680 --> 00:05:04,839 Speaker 1: I think definitely there's a there's some sort of relationship 90 00:05:04,880 --> 00:05:08,840 Speaker 1: between people being repeatedly hit by these disasters and being 91 00:05:08,880 --> 00:05:13,560 Speaker 1: open to more and more um far reaching solutions. It's 92 00:05:13,600 --> 00:05:16,960 Speaker 1: not a straight line. Often after one big event, people 93 00:05:17,000 --> 00:05:20,000 Speaker 1: will say it happened once, it probably won't happen again. 94 00:05:20,320 --> 00:05:24,080 Speaker 1: But after enough repeated disasters, my reporting says there's a 95 00:05:24,120 --> 00:05:26,479 Speaker 1: real shift and what people are willing to accept and 96 00:05:26,480 --> 00:05:29,480 Speaker 1: in what local officials are willing to endorse. A plan 97 00:05:29,520 --> 00:05:32,120 Speaker 1: that might work in Louisiana would for the moment, be 98 00:05:32,240 --> 00:05:36,200 Speaker 1: a really really tough sell in California or Maryland, or 99 00:05:36,279 --> 00:05:40,080 Speaker 1: Virginia or New York State. But as time goes on 100 00:05:40,400 --> 00:05:43,360 Speaker 1: and Louisiana looks less like an outlier uh and more 101 00:05:43,440 --> 00:05:46,560 Speaker 1: like our future, I think there'll be more appetite to say, 102 00:05:46,760 --> 00:05:48,880 Speaker 1: is it working there? In Louisiana, and if it is, 103 00:05:49,000 --> 00:05:51,560 Speaker 1: should we try it where we are? Christopher, isn't there 104 00:05:51,560 --> 00:05:55,560 Speaker 1: a federal designation that would allow people to apply for 105 00:05:55,640 --> 00:05:59,719 Speaker 1: federal assistance if there was some kind of natural disaster, 106 00:06:00,240 --> 00:06:03,360 Speaker 1: and that if that's taken away, that's just another push 107 00:06:03,560 --> 00:06:06,760 Speaker 1: in the direction of leaving. Yeah, there's there. There's a 108 00:06:06,839 --> 00:06:11,280 Speaker 1: designation um called the Under the Coastal Barrier Resources Act 109 00:06:11,560 --> 00:06:14,040 Speaker 1: that was meant to protect areas that haven't been developed 110 00:06:14,080 --> 00:06:17,560 Speaker 1: along the coast and keep them undeveloped. Louisiana saying let's 111 00:06:17,560 --> 00:06:19,920 Speaker 1: apply that to areas that already have homes on them, 112 00:06:19,920 --> 00:06:22,480 Speaker 1: which is a really radical idea, and it would say 113 00:06:22,680 --> 00:06:24,800 Speaker 1: we are not going to help you if you're in trouble, 114 00:06:24,880 --> 00:06:27,240 Speaker 1: so you better leave because if you don't, you'll be 115 00:06:27,240 --> 00:06:30,480 Speaker 1: on your own. It's it's a really a very strong 116 00:06:30,560 --> 00:06:33,159 Speaker 1: push for people to get out of these areas. Thanks 117 00:06:33,240 --> 00:06:37,200 Speaker 1: very much, Christopher Flavelle, our climate policy reporter for Bloomberg, 118 00:06:37,240 --> 00:06:40,279 Speaker 1: on how Louisiana is moving people out of areas that 119 00:06:40,320 --> 00:06:58,760 Speaker 1: are ravaged by climate change. We've got something perhaps more 120 00:07:00,040 --> 00:07:02,680 Speaker 1: were important, which is food. You can't exist without that. 121 00:07:02,720 --> 00:07:05,599 Speaker 1: And Alan Stillman knows a lot about food and serving people. 122 00:07:05,640 --> 00:07:09,000 Speaker 1: He is a restaurateur, is also the founder of Quality 123 00:07:09,160 --> 00:07:12,160 Speaker 1: Branded Partners, and he may be better known as the 124 00:07:12,160 --> 00:07:15,160 Speaker 1: founder of Smith and Wilenski, but he's also the founder 125 00:07:15,280 --> 00:07:17,920 Speaker 1: of t G I. Friday's. Alan, thank you very much 126 00:07:17,920 --> 00:07:21,560 Speaker 1: for coming into the studio. Let I want you to 127 00:07:21,600 --> 00:07:25,760 Speaker 1: begin by telling the story of how you started in 128 00:07:25,800 --> 00:07:29,880 Speaker 1: the business with t G I Friday's. Yeah. My relationship 129 00:07:29,960 --> 00:07:34,320 Speaker 1: to the restaurant business walls exactly zero. But my relationship 130 00:07:34,360 --> 00:07:36,360 Speaker 1: to having a beer on the way home was at 131 00:07:36,480 --> 00:07:39,480 Speaker 1: least once a week. And us called our First Avenue 132 00:07:39,480 --> 00:07:43,120 Speaker 1: in sixty three Street in Manhattan, had a bullet hole 133 00:07:43,160 --> 00:07:47,400 Speaker 1: in the window, typical first avenue bar, And while drinking 134 00:07:47,400 --> 00:07:49,440 Speaker 1: about beer, I said to the bartender, you know, there's 135 00:07:49,480 --> 00:07:51,920 Speaker 1: an awful lot of young people that live in this area. 136 00:07:51,920 --> 00:07:54,840 Speaker 1: You've got stewardess as, you've got models, you've got pilots. 137 00:07:55,400 --> 00:07:57,160 Speaker 1: I wonder if you put some sort of on the 138 00:07:57,160 --> 00:07:59,679 Speaker 1: floor and hung some Tiffany lights, would all those people 139 00:07:59,720 --> 00:08:02,280 Speaker 1: come in here? And he said yeah, hey, yeah, and 140 00:08:02,320 --> 00:08:05,000 Speaker 1: I walked away and walked out. I came back about 141 00:08:05,040 --> 00:08:08,680 Speaker 1: ten days later and he said, hey, aren't you the 142 00:08:08,680 --> 00:08:10,560 Speaker 1: guy that wanted to hang tipp and I said, I 143 00:08:10,600 --> 00:08:12,880 Speaker 1: don't want to hang anything. I suggested it to you 144 00:08:13,640 --> 00:08:15,320 Speaker 1: and he said, well, you ought to do it. I said, 145 00:08:15,320 --> 00:08:17,200 Speaker 1: what do you mean. He said, well, why don't you 146 00:08:17,280 --> 00:08:19,720 Speaker 1: do it? And I said, yeah, it's not a bad idea. 147 00:08:20,360 --> 00:08:22,760 Speaker 1: I said, who was the owner of this corner place? 148 00:08:22,840 --> 00:08:26,880 Speaker 1: He said, that's me, And fifteen minutes later I owned 149 00:08:26,880 --> 00:08:31,280 Speaker 1: the bar and it was called the Good Tavern, and 150 00:08:31,320 --> 00:08:33,880 Speaker 1: I immediately said, in my mind, I now need a name. 151 00:08:33,920 --> 00:08:36,360 Speaker 1: And the name turned out to be t g I Fridays. 152 00:08:36,880 --> 00:08:39,120 Speaker 1: And the rest of the story is as it is 153 00:08:39,200 --> 00:08:43,240 Speaker 1: for about twelve units around the world today. And it's 154 00:08:43,280 --> 00:08:46,840 Speaker 1: not as if this particular venture was your last, obviously, 155 00:08:46,920 --> 00:08:51,240 Speaker 1: because you sold t g I Fridays and you decided 156 00:08:51,280 --> 00:08:54,200 Speaker 1: you liked the business so much you're gonna expand even more. 157 00:08:54,280 --> 00:08:59,080 Speaker 1: Tell us about how that went, like, actually expanded it 158 00:08:59,160 --> 00:09:02,120 Speaker 1: while it was around in New York City, and I 159 00:09:02,200 --> 00:09:05,040 Speaker 1: built uh ten or twelve of them around the country. 160 00:09:05,040 --> 00:09:07,480 Speaker 1: But I also built Sundays, Monday's, Tuesdays, Wednesday. I was 161 00:09:07,480 --> 00:09:09,360 Speaker 1: gonna say, you have an affinity for days of the week, 162 00:09:09,520 --> 00:09:11,640 Speaker 1: and yeah. Then then I got out of the business 163 00:09:11,640 --> 00:09:14,080 Speaker 1: for a while and left those I still owned it, 164 00:09:14,120 --> 00:09:17,480 Speaker 1: but I wanted I lived over the South France and 165 00:09:17,840 --> 00:09:21,840 Speaker 1: that was great. Six months I had gotten married and 166 00:09:21,880 --> 00:09:24,600 Speaker 1: I had our four year old with us, and we 167 00:09:24,679 --> 00:09:27,559 Speaker 1: had a very good time. But I also then learned 168 00:09:27,600 --> 00:09:30,959 Speaker 1: about food and wine, and coming back to New York City, 169 00:09:31,480 --> 00:09:34,240 Speaker 1: I put the two together because I didn't know that 170 00:09:34,320 --> 00:09:37,080 Speaker 1: much about the food end of it, but I did 171 00:09:37,200 --> 00:09:40,400 Speaker 1: learn a lot about wine. And I discovered that all 172 00:09:40,440 --> 00:09:44,360 Speaker 1: the steakhouses in New York City were terrific steakhouses, and 173 00:09:44,400 --> 00:09:45,960 Speaker 1: they were the best in the world, but none of 174 00:09:45,960 --> 00:09:49,120 Speaker 1: them had wine lists. You'd walk in and they'd say, 175 00:09:49,320 --> 00:09:51,920 Speaker 1: what would you like red or white? And it would 176 00:09:51,920 --> 00:09:54,720 Speaker 1: come into tumbler and I said, you know, it doesn't 177 00:09:54,760 --> 00:09:57,600 Speaker 1: really fit for a glass of great red wine they had. 178 00:09:57,600 --> 00:10:00,480 Speaker 1: Don't change that. So I just I was going to 179 00:10:00,520 --> 00:10:03,720 Speaker 1: open up baby steakhouse, and luckily enough, there was a 180 00:10:03,720 --> 00:10:06,280 Speaker 1: big recession. I bought the corner of forty nine Street 181 00:10:06,280 --> 00:10:08,280 Speaker 1: and Third Avenue, and we still in the corner of 182 00:10:08,320 --> 00:10:11,800 Speaker 1: forty nine and third Avenue and Smith. Wilenski is now 183 00:10:11,840 --> 00:10:16,199 Speaker 1: forty years old this year. Happy birthday, congratulators. Much forty 184 00:10:16,240 --> 00:10:20,040 Speaker 1: year old restaurants don't exist very often it's a good 185 00:10:20,080 --> 00:10:23,560 Speaker 1: thing to have and went from there. What do you 186 00:10:23,640 --> 00:10:26,600 Speaker 1: believe to be one of the biggest differences from when 187 00:10:26,679 --> 00:10:32,120 Speaker 1: you started Smith of Wilenski's and the way it operates now. Well, 188 00:10:32,200 --> 00:10:37,280 Speaker 1: certainly wine, because almost every great steakhouse has a good 189 00:10:37,360 --> 00:10:41,880 Speaker 1: to great wine list, and I believe that people associate 190 00:10:42,080 --> 00:10:46,640 Speaker 1: great red wine with great red meat, and that never happened. 191 00:10:46,679 --> 00:10:49,200 Speaker 1: Forty years ago, there was no such thing. So I 192 00:10:49,240 --> 00:10:52,240 Speaker 1: think that's a very very big difference. And I didn't 193 00:10:52,280 --> 00:10:55,600 Speaker 1: you start National Wine Week? Yes? I did National And 194 00:10:55,720 --> 00:10:58,480 Speaker 1: I remember there was a story about you actually transporting 195 00:10:58,520 --> 00:11:00,360 Speaker 1: something like a million dollars worth of line in a 196 00:11:00,400 --> 00:11:02,960 Speaker 1: Brinx armored truck. Yes, we did that too. Well, we 197 00:11:02,960 --> 00:11:04,680 Speaker 1: we We kind of have a lot of fun with 198 00:11:04,760 --> 00:11:07,199 Speaker 1: this stuff. I mean, the restaurant business is one of 199 00:11:07,280 --> 00:11:10,880 Speaker 1: the most difficult businesses in the world, and it's not 200 00:11:10,920 --> 00:11:13,440 Speaker 1: only difficult to make money, but it's difficult just to 201 00:11:13,480 --> 00:11:17,360 Speaker 1: stay open. So you need to come out with ideas 202 00:11:17,480 --> 00:11:21,679 Speaker 1: and with all sorts of public relation and marketing gimmicks, 203 00:11:21,720 --> 00:11:24,680 Speaker 1: if you will, in order to keep people interested in 204 00:11:24,720 --> 00:11:28,040 Speaker 1: who you are what you are. And about a year 205 00:11:28,080 --> 00:11:31,640 Speaker 1: after we opened, uh Smith of Lensky. We discovered somebody 206 00:11:31,640 --> 00:11:35,320 Speaker 1: who was trying to sell a wine collection, which we bought, 207 00:11:36,080 --> 00:11:39,000 Speaker 1: and after we've spent the billion dollars on the wine collection, 208 00:11:39,040 --> 00:11:42,000 Speaker 1: we decided, well, why don't we transported by Brinks truck 209 00:11:42,040 --> 00:11:45,160 Speaker 1: to the front of Smith and Lensky, which worked, and 210 00:11:45,200 --> 00:11:47,600 Speaker 1: we got a couple of million dollars worth of publicity 211 00:11:47,640 --> 00:11:49,880 Speaker 1: for it, along with the million dollars worth of wine. 212 00:11:50,720 --> 00:11:53,760 Speaker 1: That whole idea of being a showman and an entertainer 213 00:11:53,840 --> 00:11:58,120 Speaker 1: and a host that has become a much more important factor, 214 00:11:58,160 --> 00:12:01,600 Speaker 1: it seems in the restaurant industry. I'm not sure that 215 00:12:01,600 --> 00:12:06,839 Speaker 1: that's true anymore. It was going back before all of 216 00:12:06,880 --> 00:12:12,440 Speaker 1: the new technology. The new technology has taken away a 217 00:12:12,480 --> 00:12:17,640 Speaker 1: lot from the showmanship of the restaurant business, because the 218 00:12:17,760 --> 00:12:21,640 Speaker 1: methodology of putting it together a restaurant, to making a reservation, 219 00:12:22,160 --> 00:12:25,679 Speaker 1: to how you get a reservation, to getting into restaurants 220 00:12:25,840 --> 00:12:29,600 Speaker 1: has taken away quite a bit from the showmanship of restaurateuring. 221 00:12:30,080 --> 00:12:34,400 Speaker 1: It hasn't taken away from the showmanship of cheffing. The 222 00:12:34,520 --> 00:12:39,400 Speaker 1: chefs still rule the market, and that is quite interesting 223 00:12:39,400 --> 00:12:43,240 Speaker 1: there sort of the artists of the food world. Tell 224 00:12:43,320 --> 00:12:47,600 Speaker 1: us about your son Michael, and why did he decide 225 00:12:47,600 --> 00:12:50,040 Speaker 1: to follow in your footsteps or did you not not 226 00:12:50,160 --> 00:12:53,240 Speaker 1: able to dissuade him from entering. No, it's actually the opposite. 227 00:12:53,400 --> 00:12:58,000 Speaker 1: There was no there was no persuasion involved. Michael graduated 228 00:12:58,000 --> 00:13:02,280 Speaker 1: from Brown University and is looking around for something autistic 229 00:13:02,320 --> 00:13:05,320 Speaker 1: to do, and he was definitely not interested in the 230 00:13:05,320 --> 00:13:08,680 Speaker 1: restaurant business. And a couple of years later he came 231 00:13:08,679 --> 00:13:10,320 Speaker 1: to me and he said, you don't beginning to think 232 00:13:10,320 --> 00:13:12,480 Speaker 1: maybe there's a little bit of art form in the 233 00:13:12,520 --> 00:13:14,959 Speaker 1: restaurant business. And I said, well, if you don't have 234 00:13:15,000 --> 00:13:17,760 Speaker 1: any art form, the restaurant business will not be in it, 235 00:13:17,840 --> 00:13:21,400 Speaker 1: because we're in the high end of the restaurant business. 236 00:13:21,600 --> 00:13:25,840 Speaker 1: And Michael decided he wanted to come on in. I 237 00:13:25,920 --> 00:13:28,560 Speaker 1: then turned to my good friend Danny Myers and said, 238 00:13:28,640 --> 00:13:30,520 Speaker 1: Danny put him to work for a year or so, 239 00:13:30,679 --> 00:13:33,600 Speaker 1: which he did. Michael then came with us. He traveled 240 00:13:33,640 --> 00:13:37,040 Speaker 1: around the United States opening up Smith of Wilenski's, and 241 00:13:37,240 --> 00:13:40,840 Speaker 1: for the last ten years he has run a restaurant 242 00:13:40,920 --> 00:13:44,960 Speaker 1: company that he sort of transferred from what we had 243 00:13:45,120 --> 00:13:49,640 Speaker 1: into the Quality Restaurant Group and he's opening his own 244 00:13:49,880 --> 00:13:53,959 Speaker 1: take on high end restaurants Quality meets quality Italian and 245 00:13:54,040 --> 00:13:56,760 Speaker 1: he is also running around the country. He's opened in Denver, 246 00:13:56,880 --> 00:14:01,160 Speaker 1: He's about to open up in Chicago. So uh, he 247 00:14:01,200 --> 00:14:04,760 Speaker 1: did it by mistake, as I did it by mistake, 248 00:14:05,040 --> 00:14:07,520 Speaker 1: and so far it's worked out wonderfully. He loves what 249 00:14:07,559 --> 00:14:10,160 Speaker 1: he's doing and he's fantastic at it. Well, you're getting 250 00:14:10,200 --> 00:14:13,000 Speaker 1: us ready for lunch, thanks very much. Alan Stillman is 251 00:14:13,000 --> 00:14:16,200 Speaker 1: a restaurants whore, of course, a founder, Quality branded partner, 252 00:14:16,240 --> 00:14:19,320 Speaker 1: founder of Smith and Wilinski's, founder of t g I Friday's. 253 00:14:19,840 --> 00:14:37,120 Speaker 1: He knows all about the restaurant industry. Well, we want 254 00:14:37,120 --> 00:14:40,040 Speaker 1: to know the real intentions of Bowing and whether they 255 00:14:40,040 --> 00:14:43,240 Speaker 1: will be acquiring Ember Air. Here to help us understand 256 00:14:43,240 --> 00:14:46,800 Speaker 1: the situation is George Ferguson, our senior Aerospace and Defense 257 00:14:46,840 --> 00:14:50,520 Speaker 1: and Airlines analyst for Bloomberg Intelligence. George always a pleasure. 258 00:14:50,880 --> 00:14:55,000 Speaker 1: Why would Boeing be interested in acquiring this Brazilian manufacturer 259 00:14:55,000 --> 00:14:58,960 Speaker 1: of aircraft? Hey, Pam, Yeah, So as we look at it, 260 00:14:59,000 --> 00:15:04,320 Speaker 1: we think that the Bombardier air bus uh sort of 261 00:15:04,320 --> 00:15:07,240 Speaker 1: tie up with the C series earlier this year would 262 00:15:07,240 --> 00:15:11,640 Speaker 1: be the reason. You know, So if you recall Bombardier 263 00:15:12,320 --> 00:15:14,640 Speaker 1: face with tariffs and bringing the C series into into 264 00:15:14,640 --> 00:15:19,600 Speaker 1: the US. Basically, you know, gave the program to Airbus, 265 00:15:19,640 --> 00:15:21,840 Speaker 1: and now Airbus can go out and market airplanes to 266 00:15:21,960 --> 00:15:25,280 Speaker 1: airlines from about a hundred forty to just over two 267 00:15:25,360 --> 00:15:29,040 Speaker 1: hundred seats. That's there, and they can offer the C series, 268 00:15:29,080 --> 00:15:33,240 Speaker 1: which which an airline can use for a hundred forty seats. 269 00:15:33,720 --> 00:15:36,200 Speaker 1: We think that you know, what what Boeing might be 270 00:15:36,240 --> 00:15:39,920 Speaker 1: doing here is looking to blunt Airbus' ability to market 271 00:15:40,440 --> 00:15:42,360 Speaker 1: two airplanes like that. You know, if they had to 272 00:15:42,400 --> 00:15:45,760 Speaker 1: tie up with embry Are, they could they can market 273 00:15:45,760 --> 00:15:50,160 Speaker 1: two airlines and airplanes, two airplanes, one two families, I 274 00:15:50,160 --> 00:15:52,880 Speaker 1: should say, one that would go from to about a 275 00:15:52,960 --> 00:15:58,200 Speaker 1: hundred and ten fifteen seats and another that could go 276 00:15:58,320 --> 00:16:01,880 Speaker 1: from a hundred and thirty up to you know, two hundreds. 277 00:16:01,960 --> 00:16:03,680 Speaker 1: So we think it gives them sort of the same 278 00:16:03,720 --> 00:16:06,920 Speaker 1: product palette as as Airbus. Okay, we would that be 279 00:16:07,040 --> 00:16:09,360 Speaker 1: like the in terms of products we're talking about what 280 00:16:09,400 --> 00:16:12,400 Speaker 1: the ember air one, the different variants of that, and 281 00:16:12,440 --> 00:16:16,040 Speaker 1: then maybe even the smaller the one s. Yeah, I 282 00:16:16,040 --> 00:16:19,120 Speaker 1: mean any thing about embry Are is that Embry's um 283 00:16:19,720 --> 00:16:23,200 Speaker 1: their primary airplane, the E jet has the one seventy five, 284 00:16:23,240 --> 00:16:25,480 Speaker 1: like you said to the one in the middle of 285 00:16:25,560 --> 00:16:28,160 Speaker 1: refreshing it. So they're putting new engines on it and 286 00:16:28,240 --> 00:16:32,120 Speaker 1: making it slightly larger. And yeah, that that airplane can 287 00:16:32,560 --> 00:16:36,120 Speaker 1: can operate from seats two hundred and thirty. The other 288 00:16:36,120 --> 00:16:39,280 Speaker 1: really neat thing about it is that one seventy five 289 00:16:39,360 --> 00:16:43,280 Speaker 1: is very very successful selling into regional airlines in the 290 00:16:43,360 --> 00:16:46,920 Speaker 1: United States. They buy the majority of airplanes I would 291 00:16:46,960 --> 00:16:49,400 Speaker 1: say that are less than a hundred and thirty seats. 292 00:16:49,720 --> 00:16:53,360 Speaker 1: They can only operate airplanes that are seventy six seats 293 00:16:53,360 --> 00:16:56,200 Speaker 1: are less due to clauses in the pilot contracts that 294 00:16:56,280 --> 00:16:59,520 Speaker 1: the main airlines that they fly four and so that 295 00:16:59,600 --> 00:17:02,200 Speaker 1: airplane the one that is very successful because of its 296 00:17:02,880 --> 00:17:06,160 Speaker 1: its product placement, and that would be potentially in Boeing 297 00:17:06,640 --> 00:17:09,560 Speaker 1: lineup to market the airlines well Air Canada Express, I 298 00:17:09,600 --> 00:17:11,800 Speaker 1: think they all they fly as just one example, the 299 00:17:12,240 --> 00:17:16,320 Speaker 1: ember Air one seventy five. Does Boeing really need this 300 00:17:16,400 --> 00:17:18,440 Speaker 1: deal because I thought that Boeing was putting a lot 301 00:17:18,440 --> 00:17:21,960 Speaker 1: of effort behind the new seven three seven, the Max 302 00:17:22,480 --> 00:17:26,280 Speaker 1: and the focus has been on not just the aircraft 303 00:17:26,560 --> 00:17:29,919 Speaker 1: but on making it more fuel efficient and reducing the 304 00:17:29,960 --> 00:17:34,760 Speaker 1: cost of operating the actual aircraft. Agreed, you know, agreed 305 00:17:34,800 --> 00:17:37,639 Speaker 1: on that's what the focus has been. It's interesting. I 306 00:17:38,359 --> 00:17:41,920 Speaker 1: wouldn't think this would have been this interesting to Boeing. So, 307 00:17:42,400 --> 00:17:44,840 Speaker 1: you know, really what we've seen demand in the marketplace 308 00:17:44,880 --> 00:17:48,800 Speaker 1: has been that airlines have been looking to fly larger airplanes. 309 00:17:48,840 --> 00:17:51,800 Speaker 1: Pilot salary salaries have been going up, and they'd like 310 00:17:51,960 --> 00:17:55,280 Speaker 1: to you know, um, expense it over more seats in 311 00:17:55,320 --> 00:17:56,879 Speaker 1: the airplane. That's one of the ways they're sort of 312 00:17:56,880 --> 00:18:00,720 Speaker 1: combating rising expenses. And so we've seen airlines again moving 313 00:18:00,720 --> 00:18:04,000 Speaker 1: to larger and larger airplanes. We haven't seen a lot 314 00:18:04,040 --> 00:18:06,560 Speaker 1: of orders for airplanes from a hundred to a hundred 315 00:18:06,600 --> 00:18:09,000 Speaker 1: and thirty seats, So it kind of looks like a 316 00:18:09,080 --> 00:18:13,560 Speaker 1: market to us that is betwixt and between. It's not 317 00:18:13,600 --> 00:18:16,440 Speaker 1: there yet maybe yeah, And you know, but they keep 318 00:18:16,520 --> 00:18:19,439 Speaker 1: stretching the size of the seven and eight three twenties, right, 319 00:18:19,440 --> 00:18:22,200 Speaker 1: the latest iterations of those two narrow bodies that Boeing 320 00:18:22,200 --> 00:18:26,520 Speaker 1: and Airbus are larger than their predecessors, and therefore the 321 00:18:26,560 --> 00:18:30,760 Speaker 1: efficiency um, you know, the efficiency point gets pushed higher. 322 00:18:31,440 --> 00:18:33,399 Speaker 1: So this might be a response to sort of that 323 00:18:33,520 --> 00:18:37,119 Speaker 1: continuing increase of seven thirty seven and eight three twenty airlines. 324 00:18:37,200 --> 00:18:40,040 Speaker 1: May you know if they're if they're running to less 325 00:18:40,119 --> 00:18:44,520 Speaker 1: dense markets, they may really need something more efficient underneath 326 00:18:45,040 --> 00:18:49,000 Speaker 1: that hundred and fifty seat point and in the Embry 327 00:18:49,080 --> 00:18:54,359 Speaker 1: air and the C Series one three hundred could be 328 00:18:54,440 --> 00:18:56,760 Speaker 1: that answer. So I think Boeing might be looking a 329 00:18:56,760 --> 00:18:58,960 Speaker 1: little further down the road than you know. We we 330 00:18:59,000 --> 00:19:02,720 Speaker 1: see evidence in order is at you know, the ability 331 00:19:02,760 --> 00:19:05,000 Speaker 1: to compete in that space and offer a product. Okay, 332 00:19:05,000 --> 00:19:06,680 Speaker 1: you gotta give me your thoughts though on the fact 333 00:19:06,680 --> 00:19:10,480 Speaker 1: that the Brazilian government is still involved in ember Air. 334 00:19:10,560 --> 00:19:15,440 Speaker 1: It started as a government financed company military contracts. For example, 335 00:19:16,160 --> 00:19:19,000 Speaker 1: the government of Brazil is said already, at least according 336 00:19:19,040 --> 00:19:23,640 Speaker 1: to one Brazilian newspaper, that majority control from Boeing not 337 00:19:23,800 --> 00:19:26,720 Speaker 1: necessarily going to happen. Yeah, I think this is going 338 00:19:26,800 --> 00:19:29,040 Speaker 1: to be a really hard deal to put together, and 339 00:19:29,080 --> 00:19:31,880 Speaker 1: it's not going to look like a wholesale takeover by anybody. 340 00:19:31,880 --> 00:19:34,880 Speaker 1: It's if it gets done, it will look like a venture. 341 00:19:34,920 --> 00:19:37,720 Speaker 1: And that's exactly that. The reason you know it's uh 342 00:19:37,800 --> 00:19:42,960 Speaker 1: Embry is Brazil's most important defense contractor they're they're aerospace 343 00:19:43,200 --> 00:19:47,120 Speaker 1: national champion. The Brazilian government does have a golden share 344 00:19:47,160 --> 00:19:50,119 Speaker 1: in it, so they can decide, you know, what the 345 00:19:50,119 --> 00:19:52,359 Speaker 1: fate of the company is, and you know, they want 346 00:19:52,400 --> 00:19:56,000 Speaker 1: it for high tech aerospace jobs. They want to foster 347 00:19:56,119 --> 00:19:59,720 Speaker 1: high tech aerospace jobs in Brazil. Obviously, letting Boeing buy 348 00:19:59,800 --> 00:20:02,119 Speaker 1: the whole thing and take it home isn't going to 349 00:20:02,200 --> 00:20:03,720 Speaker 1: help them much. I don't think Bowing wants to take 350 00:20:03,760 --> 00:20:06,080 Speaker 1: it home anyways. Um, I think it's going to be 351 00:20:06,160 --> 00:20:09,080 Speaker 1: you know, there's always a lot of politics around defense 352 00:20:09,119 --> 00:20:12,479 Speaker 1: contractors and things like that. The defense business doesn't make 353 00:20:12,520 --> 00:20:14,760 Speaker 1: a lot of money, and Embry are also as a 354 00:20:14,800 --> 00:20:16,560 Speaker 1: bust business that doesn't make a lot of money, and 355 00:20:16,600 --> 00:20:19,800 Speaker 1: I don't think Bowing really wants those businesses. So I 356 00:20:19,840 --> 00:20:22,119 Speaker 1: think this has to become sort of some sort of 357 00:20:22,280 --> 00:20:26,960 Speaker 1: complex structure that might get the Brazilian government the aims 358 00:20:27,000 --> 00:20:29,600 Speaker 1: they want out of this company and give Boeing the 359 00:20:29,600 --> 00:20:34,600 Speaker 1: opportunity to market the Embry air you know aircraft. Well, 360 00:20:34,600 --> 00:20:36,720 Speaker 1: thanks very much, it makes a lot of sense, and 361 00:20:37,000 --> 00:20:39,000 Speaker 1: thanks for keeping an eye on this topic, and we 362 00:20:39,000 --> 00:20:40,399 Speaker 1: know we're going to come to you in the future 363 00:20:40,440 --> 00:20:43,919 Speaker 1: about it. Much appreciated. George Ferguson is our senior Aerospace, 364 00:20:43,960 --> 00:21:02,399 Speaker 1: Defense and Airlines analyst for Bloomberg Intelligence. Well, here to 365 00:21:02,440 --> 00:21:05,199 Speaker 1: help us understand what's going on in the housing market 366 00:21:05,240 --> 00:21:08,240 Speaker 1: as it relates to the tax overhaul bill that the 367 00:21:08,240 --> 00:21:10,879 Speaker 1: President has just signed is Jonathan Miller. He is the 368 00:21:10,920 --> 00:21:15,840 Speaker 1: president and chief executive of Miller Samuel Jonathan. Great to 369 00:21:15,880 --> 00:21:18,960 Speaker 1: have you with us. What do you make what do 370 00:21:19,000 --> 00:21:22,320 Speaker 1: you make of the future for the UH? Well, let's 371 00:21:22,320 --> 00:21:26,119 Speaker 1: start with the high end, high cost markets such as Manhattan, 372 00:21:26,640 --> 00:21:30,160 Speaker 1: Westchester County and also other areas around the country, whether 373 00:21:30,200 --> 00:21:33,680 Speaker 1: they be in Connecticut or in the state of Massachusetts 374 00:21:33,800 --> 00:21:38,960 Speaker 1: or California high cost property. What's going to happen as 375 00:21:38,960 --> 00:21:42,320 Speaker 1: a result of this tax overhaul plan? So I think 376 00:21:42,320 --> 00:21:46,920 Speaker 1: they'll be downward pressure on housing prices, UH, as you 377 00:21:47,040 --> 00:21:52,720 Speaker 1: stew higher in price across the US. The basic theme 378 00:21:52,800 --> 00:21:57,920 Speaker 1: of this bill as it relates to housing favors being 379 00:21:57,960 --> 00:22:02,480 Speaker 1: a landlord over HOMEO worship in general. And you know, 380 00:22:02,560 --> 00:22:04,280 Speaker 1: I think I think the way to think of it 381 00:22:04,359 --> 00:22:08,920 Speaker 1: is that, um, you know, someone that's buying a home 382 00:22:09,880 --> 00:22:13,600 Speaker 1: has a certain safe financial footprint in terms of that 383 00:22:13,680 --> 00:22:16,080 Speaker 1: they can afford as a payment. And so if you 384 00:22:16,119 --> 00:22:18,439 Speaker 1: could just think of it is that you're adding some 385 00:22:18,560 --> 00:22:23,520 Speaker 1: additional costs, meaning reduced UM deductions in the context of 386 00:22:23,760 --> 00:22:28,760 Speaker 1: mortgage interest of seven hundred fifty thousand dollars of ten 387 00:22:28,800 --> 00:22:32,239 Speaker 1: thousand dollar cap on real pay taxes, those sort of 388 00:22:32,359 --> 00:22:36,560 Speaker 1: creep into that payment as a share, and we reduces 389 00:22:36,640 --> 00:22:40,000 Speaker 1: principle and interest. UM. I don't think it's catastrophic in 390 00:22:40,080 --> 00:22:42,399 Speaker 1: terms of I don't mean to exaggerate it, but it 391 00:22:42,520 --> 00:22:46,320 Speaker 1: certainly applies downward pressure to these higher end housing markets 392 00:22:46,359 --> 00:22:49,240 Speaker 1: far more than it would say in the middle in 393 00:22:49,280 --> 00:22:51,600 Speaker 1: the Midwest, where you know a home price might be 394 00:22:51,920 --> 00:22:55,400 Speaker 1: a hundred seventy five thousand dollars Jonathan, Will that pressure 395 00:22:55,600 --> 00:22:59,240 Speaker 1: actually turn into lower prices or will it just be 396 00:22:59,480 --> 00:23:04,320 Speaker 1: a argaining chip when it comes to negotiations. So it's 397 00:23:04,359 --> 00:23:07,680 Speaker 1: interesting because one of the things that came out of 398 00:23:07,720 --> 00:23:10,600 Speaker 1: the discussions on the tax bill was at the yet, 399 00:23:10,800 --> 00:23:13,879 Speaker 1: you know, the higher cost markets, you know that the 400 00:23:13,960 --> 00:23:18,119 Speaker 1: higher cost of housing would be offset by the uh, 401 00:23:18,160 --> 00:23:23,159 Speaker 1: the bigger tax cuts and UM. And you know, human 402 00:23:23,200 --> 00:23:26,720 Speaker 1: beings or homeowners don't think that way in the sense 403 00:23:26,800 --> 00:23:30,399 Speaker 1: that they don't look at all their their net worth 404 00:23:30,480 --> 00:23:32,639 Speaker 1: in one bucket and say, you know, because I'm getting 405 00:23:32,640 --> 00:23:36,119 Speaker 1: a tax cut, I can overpay for my home. Because 406 00:23:36,160 --> 00:23:39,159 Speaker 1: what's going to happen is, you know, there's a saying 407 00:23:39,240 --> 00:23:42,720 Speaker 1: that housing prices are sticky on the downside, and and 408 00:23:42,760 --> 00:23:46,480 Speaker 1: what happens is there's some sort of change, the prices 409 00:23:46,960 --> 00:23:53,919 Speaker 1: draw declined slowly simply because transactions, uh slow down because sellers, 410 00:23:54,560 --> 00:23:58,720 Speaker 1: um uh, you know, buyers are immediately adaptable to changes 411 00:23:58,720 --> 00:24:02,000 Speaker 1: that favor them. Sellers tend to take a year or two. 412 00:24:02,320 --> 00:24:03,960 Speaker 1: So I think what we're really looking at over the 413 00:24:04,000 --> 00:24:08,399 Speaker 1: next year, year and a half is this sort of 414 00:24:08,520 --> 00:24:12,280 Speaker 1: figuring out between buyer and seller what the actual new 415 00:24:12,400 --> 00:24:15,439 Speaker 1: value is in these markets. So this puts the buyer 416 00:24:15,600 --> 00:24:22,800 Speaker 1: in a better position. It absolutely does, because it's just 417 00:24:22,880 --> 00:24:25,920 Speaker 1: that they may not their demand may not be satiated 418 00:24:26,000 --> 00:24:30,320 Speaker 1: initially simply because the sellers, you know, you know, this 419 00:24:30,400 --> 00:24:34,920 Speaker 1: is a you know, a hundred years of homeownership as 420 00:24:34,960 --> 00:24:40,280 Speaker 1: sort of the federal um, the federal push in this 421 00:24:40,560 --> 00:24:44,639 Speaker 1: whole American dream concept. High cost housing markets on the 422 00:24:44,640 --> 00:24:48,080 Speaker 1: East and West Coast are more impacted by this, and 423 00:24:48,160 --> 00:24:50,919 Speaker 1: it's going to take a year or two for the 424 00:24:51,000 --> 00:24:54,520 Speaker 1: two parties to sort of figure it out. Um. You know, 425 00:24:54,680 --> 00:24:57,760 Speaker 1: this is this is sort of like literally what we 426 00:24:57,840 --> 00:25:01,439 Speaker 1: just went through. The last couple of years we've had 427 00:25:01,480 --> 00:25:04,600 Speaker 1: at the high end of the market or higher cost markets, 428 00:25:05,000 --> 00:25:10,680 Speaker 1: sellers have had a phenomenon that I've called aspirational pricing, 429 00:25:10,720 --> 00:25:13,960 Speaker 1: where that they're asking way more than what the buyers 430 00:25:14,119 --> 00:25:16,359 Speaker 1: are willing to come up with. And just only in 431 00:25:16,359 --> 00:25:21,119 Speaker 1: two thousand seventeen we've started to see equilibery in between expectations. 432 00:25:21,160 --> 00:25:24,679 Speaker 1: Now we have this new factor that will you know, 433 00:25:24,800 --> 00:25:28,360 Speaker 1: undergo a period of a couple of years of testing 434 00:25:28,400 --> 00:25:32,520 Speaker 1: out before it settles in. Could this be a positive 435 00:25:32,960 --> 00:25:34,919 Speaker 1: in the for the long term that people will not 436 00:25:35,040 --> 00:25:38,320 Speaker 1: be burdened with mortgages that they cannot afford that would 437 00:25:38,359 --> 00:25:42,960 Speaker 1: be so linked to their income. Hey, I absolutely in 438 00:25:43,000 --> 00:25:45,679 Speaker 1: the law in the long term certainly. Uh, you know, 439 00:25:45,720 --> 00:25:48,880 Speaker 1: there's a lot that made of sort of runaway high 440 00:25:48,960 --> 00:25:52,480 Speaker 1: end housing prices. We did see some reining in of 441 00:25:52,600 --> 00:25:57,399 Speaker 1: that I called two thousand fourteen nationally peak luxury and uh, 442 00:25:57,440 --> 00:25:59,920 Speaker 1: you know, and and since then we've seen a correction 443 00:26:00,000 --> 00:26:04,159 Speaker 1: at the very high end of the market generally overall affordability. 444 00:26:04,320 --> 00:26:07,280 Speaker 1: You know, one small benefit in the New York metro 445 00:26:07,359 --> 00:26:12,159 Speaker 1: area that whose economy is heavily dependent on Wall Street 446 00:26:12,840 --> 00:26:19,119 Speaker 1: accounting for about of the wages. Is higher. Bonus comp 447 00:26:19,240 --> 00:26:23,120 Speaker 1: with tax cuts is a is you know, maybe a 448 00:26:23,200 --> 00:26:27,199 Speaker 1: modest improvement or help for the high end, but I 449 00:26:27,200 --> 00:26:30,520 Speaker 1: don't really see it as anywhere is significant with the 450 00:26:30,560 --> 00:26:34,640 Speaker 1: regulatory overlay that we didn't when you compare it against 451 00:26:34,720 --> 00:26:38,320 Speaker 1: sort of pre financial crisis. Got it. Thank you very much. 452 00:26:38,560 --> 00:26:41,520 Speaker 1: Jonathan Miller is the president and the chief executive of 453 00:26:41,800 --> 00:26:45,119 Speaker 1: Miller Samuel talking about how it is going to be, 454 00:26:45,200 --> 00:26:47,960 Speaker 1: at least for now, going to be a buyer's market. 455 00:26:51,720 --> 00:26:54,240 Speaker 1: Thanks for listening to the Bloomberg P and L podcast. 456 00:26:54,600 --> 00:26:58,480 Speaker 1: You can subscribe and listen to interviews at Apple Podcasts, SoundCloud, 457 00:26:58,600 --> 00:27:02,080 Speaker 1: or whatever podcast platform you prefer. I'm pim Fox. I'm 458 00:27:02,119 --> 00:27:05,600 Speaker 1: on Twitter at pim Fox. I'm on Twitter at Lisa 459 00:27:05,680 --> 00:27:08,640 Speaker 1: Abramo wits one. Before the podcast, you can always catch 460 00:27:08,720 --> 00:27:10,440 Speaker 1: us worldwide on Bloomberg Radio.