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Speaker 1: Broadcasting live to New York, Bloomberg eleventh Rio to Washington,

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Speaker 1: d C. Bloomberg to Boston, Bloomberg Well under Its to

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Speaker 1: San Francisco, Bloomberg to the country, sous Exam General one

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Speaker 1: nine team, and around the globe the Bloomberg Radio plus

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Speaker 1: aappen Bloomberg dot com. This is taking Stock coming up

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Speaker 1: on taking stock, retail me, not the shares of retail me,

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Speaker 1: not hitting a new fifty two week KAI. Today we're

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Speaker 1: gonna be speaking with the chief financial officer about its

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Speaker 1: quarterly earnings and projects in the pipeline. And even bigger

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Speaker 1: than that PM, what's going on in retail more broadly,

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Speaker 1: there's more online shopping. What about the big retailers, Hey,

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Speaker 1: and the Feds watching the shopper very very closely after

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Speaker 1: some week retail sales numbers. Maybe we can ask got

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Speaker 1: about that too. Let's ask Katherine Cowdy about the news.

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Speaker 1: She's in the Bloomberg news room with the Bloomberg Business Flash.

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Speaker 1: Thank you, Kathleen, And there could be more records on

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Speaker 1: Wall Street today, socks are advancing as traders pushback. That's

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Speaker 1: on higher interest rates amid uneven economic growth in the US.

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Speaker 1: A report today show manufacturing activity in the New York

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Speaker 1: region unexpectedly contracted this month, while the measure of homebuilders

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Speaker 1: sentiment climbed. Twitter is among the companies it's rallying today.

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Speaker 1: Bloomberg TV's Julie Hyman has more on the optimism it's

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Speaker 1: lifting Twitter shares. The New York Times reports the twitters

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Speaker 1: and talks with Apple to bring the Twitter app to

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Speaker 1: Apple TV, potentially to let users stream NFL games. According

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Speaker 1: to the Times, Twitter is also in discussions with Major

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Speaker 1: League Soccer and the p g A on golf showing

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Speaker 1: golf streaming golf over Twitter as well. Bloomberg's Julie Himan

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Speaker 1: and Twitter shares are currently up seven point one percent.

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Speaker 1: We check the markets every fifteen minutes throughout the trading day.

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Speaker 1: Down Industrial averages up seventy five points four tens of

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Speaker 1: a percent to eighteen thousand, six hundred fifty one smt

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Speaker 1: F fundered up eight points a third of a percent.

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Speaker 1: NASTAC shairs are up thirty two points six tents of

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Speaker 1: a percent, trading at fifty two sixty four West Texas Centermedia.

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Speaker 1: Crude oil up a dollar twenty five a barrel two

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Speaker 1: eight percent to forty five seventy four spot pulled up

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Speaker 1: two dollars eighty cents announced of thirteen six ten. Your

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Speaker 1: treasury eight down nine thirty seconds with the yield of

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Speaker 1: one point five four percent. Among today's top business stories,

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Speaker 1: some US endowments and foundations are sorrowing on hedge funds.

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Speaker 1: Hedge fund fees and lagging performance are caused for concern

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Speaker 1: for nonprofit investors who are reducing their allocation. And that's

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Speaker 1: according to a survey published by an EPC, a Boston

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Speaker 1: based consulting firm with one hundred eighteen endowment and foundation clients.

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Speaker 1: It's two thirty two on Wall Street. Let's get enough dated.

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Speaker 1: Some of the other stories were following today on Bloomberg Radio.

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Speaker 1: Thank you Catherine from the Bloomberg News Room, mym Ramie

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Speaker 1: and Essensio. Vice President Joe Biden and Hillary Clinton hit

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Speaker 1: the campaign trail today to speak to blue collar families

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Speaker 1: in Scranton, Pennsylvania. Clinton told the crowd, we will defeat

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Speaker 1: Islamic State. It won't be easier quick, but make no mistake,

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Speaker 1: we will prevail. There is no Republican presidential nominee. Donald

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Speaker 1: Trump is in Ohio giving speech at this hour on

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Speaker 1: foreign policy. He's also expected to focus on plans to

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Speaker 1: fight Islamic State and other terror organizations. Floodwaters remain high

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Speaker 1: across parts of Louisiana, and thousands have fled their homes,

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Speaker 1: including Governor John Bell Edwards and his family, who were

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Speaker 1: forced out of the Governor's residents by chest high water.

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Speaker 1: The weather is improving, but we still have record floodwaters.

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Speaker 1: We have road closures all across South Louisiana. The water

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Speaker 1: is dangerous in terms of the coverage on the road.

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Speaker 1: This man in Tanji Pahoa, Paris says he's never experienced

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Speaker 1: such severe flooding. You couldn't see any land. In between

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Speaker 1: my house and the house next to was all water.

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Speaker 1: The federal government has declared a major disaster in Louisiana.

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Speaker 1: Forecasters say the river should begin to receive late tonight,

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Speaker 1: though there is a chance for more rain later this week.

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Speaker 1: And New York says it will keep past crime victim

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Speaker 1: statements to the state Parole Board on file. The evidence

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Speaker 1: will be reconsidered every time eligible convicts return for another

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Speaker 1: hearing on possible release. Legislators say the law will relieve

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Speaker 1: victims of having to give new statements at subsequent hearings

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Speaker 1: every two years. Global News twenty four hours a day,

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Speaker 1: powered by more than journalists and analysts in more than

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Speaker 1: one d twenty countries. I'm Ramy in Essencio. This is Bloomberg, Catherine,

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Speaker 1: thank you. Now, let's get a quick check of the benchmarks.

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Speaker 1: Down Industrial average is up seventy seven points at eighteen thousand,

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Speaker 1: sixty two s and p f I founded up eight points.

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Speaker 1: Then Azakis sire by thirty two points, trading at fifty

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Speaker 1: two sixty five. And that's a Bloomberg business flash. You're

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Speaker 1: listening to taking stock with pin Box and Kathleen Hayes

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Speaker 1: on Bloomberg Radio. Well, as many of you know, online

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Speaker 1: shopping is a big and getting bigger, and as it grows,

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Speaker 1: there are more and more opportunity. He's free to go

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Speaker 1: online and search for, discover and redeem compelling offers and coupons.

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Speaker 1: That's where retail me Not comes in. It's a company

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Speaker 1: that is based in Austin, Texas. That's certainly a hotbed

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Speaker 1: of tech startups. Scott to Valerio their chief financial officers

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Speaker 1: joining us from Austin today. And while this may be

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Speaker 1: a new and relatively hot company, Scott is someone who

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Speaker 1: knows this industry very well, raising rising through the ranks

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Speaker 1: from the likes of Price Waterhouse, Cooper's, and Walt Disney

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Speaker 1: through Microsoft other startups to his current position. Scott, Welcome

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Speaker 1: to the show. Thanks. I appreciate you having so first

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Speaker 1: of all, explain to us what retail me not is

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Speaker 1: in what it does. Sure, we're leading digital savings destination

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Speaker 1: that really works on connecting consumers with retailers, restaurants, and

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Speaker 1: brands both online and in store. And so it's about

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Speaker 1: being able to get a digital coupon, it's about being

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Speaker 1: able to save utilizing uh discount of gift cards. And

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Speaker 1: it's really about finding about where this sales, where opportunities

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Speaker 1: are in order to save for our consumers, which helps

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Speaker 1: our retailers and brands for sure. And it's really also

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Speaker 1: about the app and a mobile transaction because the desktop

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Speaker 1: business is declining. Is that correct? The desktop businesses declining.

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Speaker 1: We're focusing the business around the mobile, the app, as

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Speaker 1: you said, and our in store and ads business which

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Speaker 1: grew over thirty seven percent in the second quarter that

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Speaker 1: we just reported. You know, we started that business about

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Speaker 1: two and a half three years ago. The ability to

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Speaker 1: go into find a coupon and go into your store

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Speaker 1: and buy your product and and show that coupon to

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Speaker 1: the retailer and have that ticked off. And it's it's

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Speaker 1: growing quite nice, and we think it's a business that

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Speaker 1: will continue to be good for us as we move forward.

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Speaker 1: And of course, yes, you did have good corely earnings.

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Speaker 1: You've got a strong balance sheet with the NetCast position

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Speaker 1: of round billion. You recently bought gift cards in so

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Speaker 1: you're growing. You're doing these acquisitions who but this is

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Speaker 1: a crowded field more and more. How do you stay

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Speaker 1: und out? How do you differentiate yourself from those other

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Speaker 1: companies doing this? Are there a couple of things? One,

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Speaker 1: you know, we have a marketplace that has over eight

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Speaker 1: hundred thousand digital offers from seventy thousand retailers and it's

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Speaker 1: really the top ninety out of one Internet retailers ranked

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Speaker 1: up by Internet Retailer magazine. So you know what, we

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Speaker 1: have a wide breadth of content so that when our

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Speaker 1: consumers come in, they have a high chance of savings

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Speaker 1: every time they come in. With the additional gift cards

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Speaker 1: zen where you have discounted gift cards. That's just another

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Speaker 1: way of get being able to get savings when a

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Speaker 1: retailer doesn't coupon or retailer isn't having a sale. The

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Speaker 1: ability to buy a hundred dollar gift card for ninety

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Speaker 1: or gives you savings right out of the gate. Our

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Speaker 1: gift cards end business or a gift card business will

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Speaker 1: be fully integrated into our app and online um in

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Speaker 1: the beginning of the fourth quarter. So we're really excited

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Speaker 1: about being able to introduce are over two million consumers

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Speaker 1: that that go to our sites each day to being

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Speaker 1: able to not only buy this kind of gift cards,

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Speaker 1: but also be able to sell their and want to

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Speaker 1: give cards to us as well. Now, the the current

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Speaker 1: sort of offering that you have includes things such as

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Speaker 1: off j C Penny, off bed and body works. Is

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Speaker 1: there an opportunity to get specific in terms of QR

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Speaker 1: codes or bar code so that you can scan the

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Speaker 1: product that you're thinking of buying and then checking to

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Speaker 1: see whether a coupon a digital sale is available. Yeah,

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Speaker 1: there is, and in fact, we have a test that

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Speaker 1: we're running that's on the site today called the deal Squad,

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Speaker 1: where you can put in a u r L for

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Speaker 1: a product that you're looking uh the deal squad team

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Speaker 1: will take a look at that you r L and

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Speaker 1: get back to you with the best pricing that they

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Speaker 1: can find. It's uh, it's being done as a test.

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Speaker 1: It it'll take somewhere between twelve and twenty four hours

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Speaker 1: certan to get back. But so far through that test,

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Speaker 1: we saved our consumers over a million dollars dollars and

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Speaker 1: about nine of the time we're able to find savings

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Speaker 1: for our consumers greater than what they found for themselves.

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Speaker 1: And the discount range there's about twenty or two. So

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Speaker 1: you know, we're going to continue testing out that product.

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Speaker 1: But you're you know, you're right on point with what

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Speaker 1: we're looking at is how to make our site unique

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Speaker 1: and help our consumers. O case with Scott is the

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Speaker 1: chief O National officer retail Me not your one online

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Speaker 1: you know, find the discount company. Give us your sense

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Speaker 1: of what retailers like right now. The national retail sales

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Speaker 1: figures not so hot lately, some of the big earnings

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Speaker 1: from the biggest retailers in the country not so great.

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Speaker 1: What are you seeing a retell me not? Yeah, I

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Speaker 1: think you know, we look and work. One of the

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Speaker 1: things we've been doing is really working with our retailers

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Speaker 1: to have much more strategic relationship in order to be

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Speaker 1: able to help drive traffic to them, and in times

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Speaker 1: like this, that's one of the key things that are

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Speaker 1: retailers want and so um, you know, certainly the retail

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Speaker 1: landscape has been challenged over the past couple of years.

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Speaker 1: We've been working very closely other retailers, with our online

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Speaker 1: business to help drive traffic and also with our instore

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Speaker 1: business excuse me, to drive traffic and also online to

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Speaker 1: be able to continue allow our consumers define great retailer

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Speaker 1: opportunities and savings. And so we think we're a key

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Speaker 1: component to help our retailers through this tough time. But certainly,

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Speaker 1: uh it is. It has been a relatively rough time

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Speaker 1: for retailers. But now we're gonna keep trying to help

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Speaker 1: them and our consumers work through this. Scott de Valerio,

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Speaker 1: thank you, Chief financial Officer. Retail me not. The symbol

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Speaker 1: on the NASDAC is s a l E. The shares

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Speaker 1: hitting a new fifty two week high today eleven dollars

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Speaker 1: and seventy cents. The stock is up more than eighteen

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Speaker 1: percent year to day. They're based in Austin, Texas, you're

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Speaker 1: listening to Taking Stock. I'm PIM Fox, my co host

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Speaker 1: Kathleen Hayes, and this is Bloomberg coming up, a look

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Speaker 1: at international trade in this presidential election year. Who are

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Speaker 1: the winners and losers? We're going to be talking about

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Speaker 1: some new research from Georgetown University