1 00:00:02,279 --> 00:00:05,720 Speaker 1: Global business news twenty four hours a day at Bloomberg 2 00:00:05,760 --> 00:00:08,800 Speaker 1: dot com, the Radio plus mobile last, and on your radio, 3 00:00:09,119 --> 00:00:13,200 Speaker 1: This is a Bloomberg Business flash and I'm carrying Moscow. 4 00:00:13,200 --> 00:00:15,800 Speaker 1: This updates Rozzi. You buy c g M, a Chartered 5 00:00:15,800 --> 00:00:18,720 Speaker 1: Global Management Accountant. The c g M a designation and 6 00:00:18,800 --> 00:00:22,360 Speaker 1: program deliver critical skills your finance team needs to succeed. 7 00:00:22,760 --> 00:00:25,720 Speaker 1: Learn more at c g M a dot org. Slash Radio. 8 00:00:26,320 --> 00:00:29,120 Speaker 1: Oil is climbing to a six month high, as Goldman 9 00:00:29,160 --> 00:00:31,920 Speaker 1: Sachs Group said the market moved into a deficit earlier 10 00:00:31,920 --> 00:00:35,640 Speaker 1: than expected following supply disruptions in Nigeria and an increase 11 00:00:35,640 --> 00:00:39,200 Speaker 1: in demand, and US stocks are moving higher this morning 12 00:00:39,280 --> 00:00:41,720 Speaker 1: as well. We checked the markets every fifteen minutes throughout 13 00:00:41,720 --> 00:00:44,280 Speaker 1: the trading day. On Bloomberg. The S and P five 14 00:00:44,360 --> 00:00:46,280 Speaker 1: hundred up four tens per cent or eight points to 15 00:00:46,720 --> 00:00:49,600 Speaker 1: fifty four. The Downjowns Industrial average up four ten percent 16 00:00:49,720 --> 00:00:53,240 Speaker 1: or seventy six points at seventeen thousand, six hundred eleven. 17 00:00:53,280 --> 00:00:55,960 Speaker 1: The NASDAC is a half per cent or twenty one points, 18 00:00:56,160 --> 00:00:59,320 Speaker 1: to forty seven thirty nine ten. Your treasury down eleven 19 00:00:59,320 --> 00:01:02,000 Speaker 1: thirty seconds. The yield one point seven three percent yield 20 00:01:02,040 --> 00:01:04,760 Speaker 1: and the two year point seven seven percent non x 21 00:01:04,800 --> 00:01:06,720 Speaker 1: screwed oil up three and a half percent of a 22 00:01:06,720 --> 00:01:10,400 Speaker 1: dollar sixty one a barrel comex scold up one point 23 00:01:10,400 --> 00:01:13,000 Speaker 1: two percent, or fifteen dollars fifty cents at twelve eighty 24 00:01:13,040 --> 00:01:16,120 Speaker 1: eight twenty announced the Euro and dollar thirteen thirty three, 25 00:01:16,160 --> 00:01:18,720 Speaker 1: the end one oh eight point eight six poor in 26 00:01:18,760 --> 00:01:21,679 Speaker 1: Buffett's Berkshire half away, disclosing a steak in Apple, a 27 00:01:21,760 --> 00:01:25,000 Speaker 1: regulatory filing showing Berkshire held nine point eight one million 28 00:01:25,040 --> 00:01:27,880 Speaker 1: Apple shares as of March thirty one, and the holding 29 00:01:27,959 --> 00:01:30,360 Speaker 1: was valued at one point oh seven billion dollars at 30 00:01:30,360 --> 00:01:32,679 Speaker 1: the end of the first quarter. Apples up two and 31 00:01:32,760 --> 00:01:35,960 Speaker 1: a half percent today. Fiser agreeing to acquire an A 32 00:01:36,000 --> 00:01:39,160 Speaker 1: Core Pharmaceuticals and a transaction valued at about five point 33 00:01:39,160 --> 00:01:42,480 Speaker 1: two billion dollars to gain control of an experimental treatment 34 00:01:42,520 --> 00:01:47,040 Speaker 1: for eggszema and a Core Pharmaceuticals is up fifty four 35 00:01:47,160 --> 00:01:49,880 Speaker 1: and a half percent right now. And that's a Bloomberg 36 00:01:49,920 --> 00:01:53,280 Speaker 1: business flash. Tom and Mike Karen, thank you very much. Tom. 37 00:01:53,320 --> 00:01:56,480 Speaker 1: It's always a treat to welcome back a former employee 38 00:01:56,920 --> 00:02:02,520 Speaker 1: who has done reasonably well for himself. Robert Bernstein got 39 00:02:02,520 --> 00:02:05,279 Speaker 1: out of the U. S. Army went to work as 40 00:02:05,320 --> 00:02:10,480 Speaker 1: a switchboard operator at w n e W Radio. This 41 00:02:10,680 --> 00:02:14,320 Speaker 1: station is the former w ANYW Radio change It's call 42 00:02:14,360 --> 00:02:16,280 Speaker 1: it as to w b b R. Some years ago. 43 00:02:16,880 --> 00:02:19,840 Speaker 1: Shortly after he began work at w n e W, Uh, 44 00:02:19,880 --> 00:02:23,760 Speaker 1: Bobby Bernstein took a higher offer, went to work at 45 00:02:23,800 --> 00:02:27,920 Speaker 1: Simon and Schuster. It was all downhill from the first. 46 00:02:29,200 --> 00:02:34,440 Speaker 1: Became a long time head of Random House, published nobody's 47 00:02:34,480 --> 00:02:37,680 Speaker 1: like William Faulkner, Tony Morris and Andre soccer Off, James Minchner, 48 00:02:37,919 --> 00:02:41,440 Speaker 1: and even Dr zeus Um and now has written about 49 00:02:41,440 --> 00:02:44,400 Speaker 1: those wonderful years and his terrific career. The book is 50 00:02:44,440 --> 00:02:47,119 Speaker 1: Speaking Freely. I spent the weekend reading and it's a 51 00:02:47,160 --> 00:02:51,120 Speaker 1: wonderful reminiscence about uh what happened in New York three 52 00:02:51,160 --> 00:02:53,800 Speaker 1: miles years and in the publishing industry, and then also 53 00:02:54,280 --> 00:02:58,120 Speaker 1: a very sobering account of what it takes to keep 54 00:02:58,600 --> 00:03:03,000 Speaker 1: uh free speech and free expression alive in the world. 55 00:03:03,040 --> 00:03:06,359 Speaker 1: We welcome Robert Bernstein to the program. Thank you you've 56 00:03:06,400 --> 00:03:08,400 Speaker 1: been on before, Thanks for coming back with us, and 57 00:03:08,560 --> 00:03:11,880 Speaker 1: uh Uh. While it has been written that Mike Bloomberg 58 00:03:11,960 --> 00:03:14,840 Speaker 1: doesn't allow people to come back after they've left the company. 59 00:03:14,840 --> 00:03:16,639 Speaker 1: I think we can make an exception in your case, 60 00:03:16,680 --> 00:03:21,239 Speaker 1: if you need a job, we're open. Well and be 61 00:03:21,480 --> 00:03:24,360 Speaker 1: with the fact that there's fifty years between appearances, I 62 00:03:24,360 --> 00:03:29,320 Speaker 1: think it ought to be okay. Well, Uh, you you 63 00:03:29,400 --> 00:03:33,119 Speaker 1: had an amazing career because you hit a time when 64 00:03:33,120 --> 00:03:36,320 Speaker 1: you began work. Uh. It was the romantic era of 65 00:03:36,400 --> 00:03:40,440 Speaker 1: book publishing when Williams. Tyron would come in with a 66 00:03:40,520 --> 00:03:43,880 Speaker 1: new a new manuscript in a bottle of whiskey and 67 00:03:43,880 --> 00:03:46,200 Speaker 1: go into the editor's office and they'd emerge with a 68 00:03:46,280 --> 00:03:49,960 Speaker 1: book a couple of days later. And the day you 69 00:03:50,000 --> 00:03:53,040 Speaker 1: took over or the month you took over as head 70 00:03:53,120 --> 00:03:56,000 Speaker 1: of Random House. Uh, they were bought by R. C. A. 71 00:03:56,040 --> 00:03:57,800 Speaker 1: And it became a corporate business, and you were the 72 00:03:57,800 --> 00:04:02,640 Speaker 1: first ones to go public in and on from there. 73 00:04:02,720 --> 00:04:06,800 Speaker 1: You really stand a change in the business in the industry. 74 00:04:07,880 --> 00:04:12,800 Speaker 1: That's true. What happened is corporation, large corporations started buying 75 00:04:12,880 --> 00:04:18,040 Speaker 1: publishing houses because they thought the computer, which was then 76 00:04:18,120 --> 00:04:22,600 Speaker 1: called the hardware of the education business, would need software, 77 00:04:23,120 --> 00:04:27,640 Speaker 1: and that the software would be textbook publishers uh, and 78 00:04:27,880 --> 00:04:32,640 Speaker 1: that the computers would go into schools and so they 79 00:04:32,680 --> 00:04:38,280 Speaker 1: started buying UH, corporations that had textbook business. Random House 80 00:04:38,360 --> 00:04:41,800 Speaker 1: had a very small textbook business called the L. W. 81 00:04:42,080 --> 00:04:45,840 Speaker 1: Singer Company, and they really bought us for that reason, 82 00:04:45,960 --> 00:04:48,839 Speaker 1: not for any of the reasons you might think, like, 83 00:04:50,720 --> 00:04:53,120 Speaker 1: you know, having great authors and owning now for they 84 00:04:53,200 --> 00:04:57,200 Speaker 1: can often merging with them and with pamtheon. But for 85 00:04:57,279 --> 00:05:01,240 Speaker 1: this little company textbook company turned out to be a 86 00:05:01,240 --> 00:05:04,840 Speaker 1: big mistake. As we all know later on, Who was 87 00:05:04,920 --> 00:05:09,000 Speaker 1: your favorite author to work with, the most interesting, if not, 88 00:05:09,800 --> 00:05:12,760 Speaker 1: if not the most easy to get along with? Well, 89 00:05:12,800 --> 00:05:16,080 Speaker 1: first of all, when you're president of the company, and 90 00:05:16,360 --> 00:05:19,120 Speaker 1: I came up on the sales side, you don't work 91 00:05:19,200 --> 00:05:22,680 Speaker 1: day to day with authors on their manuscripts. You get 92 00:05:22,680 --> 00:05:25,760 Speaker 1: to know many of them as their books get near publications. 93 00:05:25,760 --> 00:05:29,520 Speaker 1: Some beforehand. The author I really knew best was I 94 00:05:29,520 --> 00:05:32,360 Speaker 1: want to say a strange one, but it was Dr Seuss, 95 00:05:33,240 --> 00:05:38,880 Speaker 1: and we got very very friendly and UH worked on UH. 96 00:05:38,960 --> 00:05:40,960 Speaker 1: He would always come and read his books to me, 97 00:05:41,680 --> 00:05:43,799 Speaker 1: and he said, you know, I have to have approval 98 00:05:43,880 --> 00:05:47,640 Speaker 1: from the publisher. Do you approve? That was the easiest 99 00:05:47,680 --> 00:05:51,360 Speaker 1: decision I ever made in my life. When you when 100 00:05:51,440 --> 00:05:52,920 Speaker 1: you look at that and I guess it speaks to 101 00:05:53,000 --> 00:05:56,360 Speaker 1: the future of business, and I would suggest print, uh, 102 00:05:56,720 --> 00:05:59,880 Speaker 1: print is having a renaissance right now. As you look 103 00:06:00,040 --> 00:06:03,080 Speaker 1: the prison with children's books, with your eighty seven grandchildren, 104 00:06:03,680 --> 00:06:09,160 Speaker 1: U eighty seven grandchildren, what's the future of books for 105 00:06:09,800 --> 00:06:14,120 Speaker 1: I think I think it would correct that. What what? 106 00:06:14,120 --> 00:06:16,920 Speaker 1: What is the future of our books? As you look 107 00:06:17,000 --> 00:06:21,640 Speaker 1: through the prism of SEUs and children's books? Well, I 108 00:06:21,680 --> 00:06:24,680 Speaker 1: think I think it's enormous. I think more and more 109 00:06:24,720 --> 00:06:27,440 Speaker 1: people are getting educated, more and more people are interested 110 00:06:27,480 --> 00:06:32,600 Speaker 1: in having their children as always do better than they do. Hum. 111 00:06:33,680 --> 00:06:36,200 Speaker 1: The other thing is a children's books will last forever. 112 00:06:36,320 --> 00:06:38,320 Speaker 1: I mean, look at we need the Pooh and Baba 113 00:06:39,160 --> 00:06:41,640 Speaker 1: and Dr SEUs I think is selling even better than 114 00:06:41,680 --> 00:06:46,120 Speaker 1: when he was alive. One of your one of your triumphs, 115 00:06:46,200 --> 00:06:49,880 Speaker 1: Mr Bernstein, was very early on and everybody listening to 116 00:06:49,960 --> 00:06:54,240 Speaker 1: this worldwide knows it. You essentially created Eloise. Now you 117 00:06:54,279 --> 00:06:57,000 Speaker 1: were not the author, but you were brought in as 118 00:06:57,000 --> 00:07:02,320 Speaker 1: a kid to leverage Eloise from the modest success. It was. 119 00:07:02,480 --> 00:07:05,719 Speaker 1: Tell us about that moment where you made the park 120 00:07:05,839 --> 00:07:10,200 Speaker 1: Plaza and Eloise iconic. Well, first of all, I hate 121 00:07:10,200 --> 00:07:13,080 Speaker 1: to correct you, but I certainly did not create Eloise 122 00:07:13,920 --> 00:07:18,160 Speaker 1: Day Thompson and Hillary Knight did this. Hillary Knight illustrating 123 00:07:18,240 --> 00:07:23,640 Speaker 1: and Kay Thompson writing did a fantastic job. And Kay Thompson, 124 00:07:23,760 --> 00:07:27,559 Speaker 1: being a star as well as an author, was easy 125 00:07:27,640 --> 00:07:31,080 Speaker 1: to get publicity for it. And the idea of having 126 00:07:31,120 --> 00:07:33,760 Speaker 1: a little girl lived at the plaza really took off. 127 00:07:34,280 --> 00:07:37,120 Speaker 1: And I was really I was at Simon and Schuster 128 00:07:37,240 --> 00:07:40,720 Speaker 1: and became friendly with Kay, and she wanted to merchandise 129 00:07:40,840 --> 00:07:43,680 Speaker 1: the book, you know, to sell the other rights. So 130 00:07:43,880 --> 00:07:46,520 Speaker 1: I I The book was published by Simon and Schuster 131 00:07:47,160 --> 00:07:49,960 Speaker 1: and didn't need me to help it, but I sold 132 00:07:50,000 --> 00:07:53,360 Speaker 1: all you know, doll rights and clothes rights. Simon and 133 00:07:53,360 --> 00:07:56,040 Speaker 1: Schuster gave me permission to do that. Well, you did 134 00:07:56,040 --> 00:07:58,080 Speaker 1: such a good job. I mean, it's still a huge 135 00:07:58,080 --> 00:08:02,000 Speaker 1: seller today. The other part of your career is as interesting, 136 00:08:02,320 --> 00:08:06,240 Speaker 1: more sobering than the grand stories of cocktail New York 137 00:08:06,240 --> 00:08:09,120 Speaker 1: in the fifties and sixties, and that is your involvement 138 00:08:09,120 --> 00:08:11,960 Speaker 1: in the Human Rights campaign. People may not realize you 139 00:08:12,040 --> 00:08:15,280 Speaker 1: began Human Rights Watch and that all started with a 140 00:08:15,360 --> 00:08:19,760 Speaker 1: visit you made as a publisher to the Soviet Union. Well, 141 00:08:19,880 --> 00:08:21,920 Speaker 1: I was I first went to the Soviet Union in 142 00:08:22,600 --> 00:08:26,880 Speaker 1: seventy actually with three other publishers to talk them into 143 00:08:26,960 --> 00:08:30,360 Speaker 1: joining the Copyright Convention. When you don't belong to the 144 00:08:30,440 --> 00:08:34,120 Speaker 1: Copyright Convention, you don't pay any royalties, and that's what 145 00:08:34,160 --> 00:08:37,199 Speaker 1: they were doing. So it took us three years go 146 00:08:37,920 --> 00:08:42,079 Speaker 1: excuse me, going back and forth, and in May nine 147 00:08:42,400 --> 00:08:46,680 Speaker 1: seventy three, they joined the Copyright Convention. They then wanted 148 00:08:46,760 --> 00:08:50,120 Speaker 1: us to publish Soviet books so they make money on royalties, 149 00:08:50,679 --> 00:08:54,480 Speaker 1: and they invited us over to meet their idea of authors, 150 00:08:54,600 --> 00:09:00,319 Speaker 1: which were all very controlled and writings. That's what they wanted. Uh, 151 00:09:01,000 --> 00:09:03,440 Speaker 1: that was not the way American publishers did it. And 152 00:09:03,480 --> 00:09:06,880 Speaker 1: I started to Rome and met all the dissident publishers 153 00:09:06,920 --> 00:09:11,079 Speaker 1: who was having trouble getting published, notably the most important 154 00:09:11,120 --> 00:09:15,719 Speaker 1: being Andre Skaroff. Andre Skaroff had been the leading scientist 155 00:09:15,840 --> 00:09:19,400 Speaker 1: in the Soviet Union. He had discovered the hydrants and 156 00:09:19,520 --> 00:09:22,640 Speaker 1: bomb for them. He then had second thoughts about what 157 00:09:22,760 --> 00:09:25,360 Speaker 1: he'd done and decided to spend the rest of his 158 00:09:25,440 --> 00:09:29,480 Speaker 1: life being sure it was never used. And he started 159 00:09:29,480 --> 00:09:36,679 Speaker 1: talking about how to do that, and the Soviet government 160 00:09:36,679 --> 00:09:39,560 Speaker 1: took exception as he was talking about human rights and 161 00:09:39,640 --> 00:09:46,360 Speaker 1: free speech being necessary and they took away all his privileges, 162 00:09:46,600 --> 00:09:49,959 Speaker 1: got his big apartment to show for everything, put him 163 00:09:49,960 --> 00:09:55,120 Speaker 1: in a tiny little apartment, eventually exiled into the city 164 00:09:55,120 --> 00:09:58,000 Speaker 1: of Gorky, which was in land, so that none of 165 00:09:58,040 --> 00:10:01,679 Speaker 1: the reporters in Moscow could get to him, and even 166 00:10:01,760 --> 00:10:04,800 Speaker 1: watched him day by day if we signed his book. 167 00:10:05,840 --> 00:10:09,800 Speaker 1: I met him in a dinner uh, and I was 168 00:10:09,880 --> 00:10:13,000 Speaker 1: fascinated with him and said, look, I'm a publisher. I 169 00:10:13,160 --> 00:10:17,600 Speaker 1: really got a publisher autobiography. And to my surprise, he said, 170 00:10:17,600 --> 00:10:20,600 Speaker 1: I'd like you to do that. And so I said, 171 00:10:20,640 --> 00:10:22,720 Speaker 1: how do we get a contract? And he said in 172 00:10:22,800 --> 00:10:26,120 Speaker 1: this crazy country he stuck out of his hand. We 173 00:10:26,200 --> 00:10:28,480 Speaker 1: shook hands, and he said, now you have a contract, 174 00:10:28,520 --> 00:10:31,960 Speaker 1: do you work out the details? Robert Birthday in the 175 00:10:32,000 --> 00:10:34,640 Speaker 1: book is speaking freely my life and publishing and human 176 00:10:34,720 --> 00:10:37,360 Speaker 1: rights and tom it is a tour to force everybody 177 00:10:37,800 --> 00:10:40,240 Speaker 1: will have a great time. Perhaps the most fun book 178 00:10:40,240 --> 00:10:42,679 Speaker 1: we've had in a long time. Never sh about that. 179 00:10:42,720 --> 00:10:45,840 Speaker 1: And also at a time where I was just Michael, 180 00:10:46,360 --> 00:10:50,120 Speaker 1: even within our digital space, a renaissance in the printed word. 181 00:10:50,360 --> 00:10:52,640 Speaker 1: I would not have said that four or five years ago, 182 00:10:53,440 --> 00:10:57,800 Speaker 1: but I see it at around the house. I see 183 00:10:57,840 --> 00:11:01,160 Speaker 1: people with books in their hands often than not. As 184 00:11:01,160 --> 00:11:03,560 Speaker 1: a former employee, we gotta have him back. I think 185 00:11:03,600 --> 00:11:06,480 Speaker 1: we should do that on another fifty years. The Dow 186 00:11:06,559 --> 00:11:09,760 Speaker 1: up sixties seven points. Michael McKee and Tom Keane. We've 187 00:11:09,800 --> 00:11:12,400 Speaker 1: ben the week on a Monday. We'll see you tomorrow. 188 00:11:12,480 --> 00:11:13,439 Speaker 1: Bloombergs have hands.