tv The Willis Report FOX Business May 22, 2013 6:00pm-7:00pm EDT
@e have about five seconds. >> look at the pictures. >> i haven't. melissa: we will see you back your tomorrow. "the willis report" is next. gerri: hello, everybody, i am gerri willis. tonight on "the willis report." a top irs official takes the fifth and denied misleading congress. >> i have not done anything wrong. >gerri: watch out, your cell phones tracking your every move. and our series of special reports on your medical privacy. the big business trading your medical records. we are watching out for you tonight on "the willis report."
first tonight we take you to the floor of the house of representatives where we are expecting a vote on the keystone pppeline. this is something we have been waiting for for quite some time. getting the pipeline built. the vote is expected this hour. we will be watching it very closely for you. michelle blackburn will join us in a few minutes, she is a key part of that legislation. our top story tonight, your phone, cell phone, striking her every move and that data is being sold. everything from your location to your web browsing habits and selling it to marketing companies. consumers are becoming a product and not the user. joining us now, covering this story. great to have you here. why are the phone companies
doing this now? >> because it is good money. especially as we are looking at ways to increase their profit margins when they are the recoil against excessive data fees, and i need a way to make more money and data is a fantastic way to do it. gerri: one executive talking about what they are doing describes data as the new oil. tell us exactly what they are tracking. >> it sounds like tracking your web browsing and your location tung nuts together with the demographic data. i live in las vegas, right now i am at the casino, and that is a way to pilots together, a clear
picture of who people actually are. gerri: you could in las vegas be searching for some sort of sporrs clothing company on your smart phone and everybody in the world would know that and send you ads and offers. >> in theory. gerri: but it is true, right? >> yes. try to do things in aggregate, not quite as personal, i will get pissed off unless this is specifically what eric wants. gerri: information is provided solely on an aggregate basis. not for individual customers who choose not to participate but can the state o ms. data reallye
anonymous? >> that is kind of a million dollars question here. very difficult to anonymize da data. it comes down to kind of, and i don't know the specifics but if verizon is saying this kind of demographic information tied to location without any specific data, that is one thing. if they anonymize data to say have added, that sort of stuff might be able to be anonymize. gerri: is it legal? phone companies shall not divulge the content of any communications. that sounds like exactly what they are doing.
>> i think what they would argue is that are not divulge any of the content of your communication, not looking at your text messages or recording your phone calls. saying somebody was at this website at this location and we will give you an aggregate location of it. a trend of 20,000 people, not one person at this location set this. gerri: you have a lot more confidence in their desire to keep the information private than i do. thank you for coming on. >> thank you. gerri: coming up, i will be joined the author of our medical privacy week. he will tell us how stores are using your medical data for profit. and how they knew one man's daughter is prrgnant before dad did. we'll tell you how that
happened, and in the meantime, the recovery effort after that deadly tornado in oklahoma. the tornado destroyed or damaged as many as 13,000 homes and may have caused $2 million in overall damage. shepard smith joins us now. tell us about the recovery efforts. >> it is slow and it is massive and requiring thousands of people. we flew overhead this morning, the integrity of from where the tornado first hit the ground until lifted up into the air, it is miles on and. thousands upon thousands of businesses and homes. it is astounding that only in pieces, one and another, but to see the whole area, it really blows your mind.
even somebody used to speaking all day ong. get medicine and that sort of thing, whatever they want to salvage what has become a beautiful day. it is hot and difficult for people out here now. it is only going to get worse expecting more of these storms, trying to get as much accomplished now as they can. gerri: the ap had a story which i am sure you, the impact of that canada was much the blast of hiroshima. so strong, really devastating. no questions being asked of those schools. are you hearing any of these questions of the safety of the schools and how they try to keep this young children safe? >> we're hearing aalot about it.
new schools have underground shelters, enough to house the students. near homes, legislation being posed for any new homes in the area to have underground shelters. the school were seven kids died was an older school. toby keith had gone to one of those schools and it never had a storm shelter, and after 1999 the1999that did not require oldr schools to build underground shelters. that is something they are considering now. i'm sure the families wish hey had had that. many kids were traumatized by it. putting kids safety has to come first and that is under consideration. gerri: one more question, a lot of people in east coast wonder
why those homes don't have basements, many of them. why is that? >> in some cases it comes down to money. people aren't loaded everywhere. these are upper-middle-class neighborhood, a lot of people's lives were saved because they were in storm shelters. the evidence is suggestive those who died, a couple at a -@7-eleven, if those people were not underground, if anybody had died underground we have not been able to pinpoint it. as a resultt they have to rethink everything. if you are going to live in tornado alley and a place that has been target time after time after time, it is something you have to consider. gerri: terrific job, we have been watching every minute of it.
now, we wanted to bring the latest developments on another recent tragedy. the minister of the boston marathon boston coopensation fund says so far just five people have filed for applicaaions for a portion of the 30 million peoples. families have until june 15 to complete applications or they are out of luck. i submit that happened when he ran the 9/11 fund. day three of our look at the medical privacy. they are gathering your information and selling it to the highest editor. and next, it has been 2000 days since the keystone pipeline was first proposed. is it time for congress to get this thing done? marsha blackburn gives us her take after the break.
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gerri: the retailer target has you in the sites. tracking your most private information and targeted is so good spine an on you found out a teenage girl was pregnant before her own father found out. we continue our investigation into your private medical data. the power of habit, why we do what we do in life. i want to talk about this teenage girl first. how did that happen? >> target has spent a lot of time trying to figure out everything they can about anybody who walks into the door. if you use a credit card or open an e-mail, they will try and track who you are. they want to know things like who pregnant and a father
came into a store and talked to the store manager and said i don't understand what is going on. you spend all of these coupons kids and diapers, she's only 18 years old. the manager was so apologetic and said i'm sorry, don't know what is happening. a couple of days later he apologized again. the father said it turns out there was activity we were not aware of in my household and she is due in august. gerri: unbelievable. do you think the track it so closely is because that is a point in time a woman will change your shopping habits and target will lock onto her? >> that is exactly right. the entire shopping behavior has changed. when you buy a new house or move into an apartment your shopping habits are up for grabs.
we'rthey are probably not even e of it. the biggest life change happens when you have a baby. it is a public record, everybody send to coupons. they want to find out who is pregnant before they give birth. gerri: let's talk about some of the things target tracks. i was surprised to learn some of the details. your politics, your reading habits, what kind of car you drive, not just your address and phone number, talking real details. >> they tried to figure out what party affiliation you have. they will buy information for the large data warehouse, if you have any medical conditions based on the magazines you are asking for.
every single time you do something that creates a it of data whether it is your credit card or sign-up for a subscription. they will package a portrait of you are and sell it to companies like target. gerri: i quoted in the first part of my show verizon is collecting information in one of the executives say they data are oil, it will be this lucrative. the target spokesperson in response, the use research tools to help us understand shopping trends and preferences so we can give our guests offers and promotions relative to them. they're always welcome to opt out. how easy is that? >> you can say i don't want these e-mails. but most people don't realize how much they are being tracked.
target has a point when is it we're using coupons people can use. getting a coupon for a crib is useful. we got these coupons that were amazing. but the thing is that a trade-off between privacy and convenience. allow them to track what you are buying. gerri: let me quote you december, $23 billion coming out of money target makes after coming up with this pregnancy model. they are making big bucks off of individual americans information. >> absolutely. everything we know about information is the more they can learn about youk5h specificallye more i can convince you to buy my product. that means i can make billions.
gerri: i can, are financing that. how many ways can you make money off of me as a consumer? absolute pleasure. now we want to know what you think. why do companies track your personal data? to serve you or to serve the company? vote on the right-hand side of the screen. and coming up, much more on your medical privacy. pharmacies are not just looking at what drugs you are on, but selling that information. details next. all stations come over to mission a for a finago.
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gerri: did you know your shopping habits were being watched? there picking at your shopping habits to monitor your health and make sure you are not eating too many candy bars. joining me now, consumer education president. great to have you on set here. what of the insurers looking for, how are they tracking us? >> they are tracking us a lot of ways. lot of information we are giving to them voluntarily. corporate wellness programs. how often you're going to the
gym and put the monitors on your wrist. risk mitigation and marketing. gerri: and lucrative. >> very lucrative. gerri: they spent a ton of dou dough, so here hey have just an incredible amount of data, small pieces of information about your buying habits, what you are doing, where you are going. this helps them manage cost on behalf of the company. >> of course it does. and make sure people are healthy. anytime they can get the hands on information, it is valuable to them.
gerri: johnson & johnson paying $500. here you give them every single detail. if i am looking for a job, what if i fail a pre-cancer screening? >> their attitude is look, if you are sick or unhealthy, are you really the right fit for this position? gerri: they are not 20, not 25. they may have some kind of condition they are trying to monitor. they said submit your information or we will have you pay a fine every year. >> you'd be surprised that subsidized by drugmakers. i want to know who they can
market to, other pharmacies. gerri: you are scaring me. here's what i'm wondering, what if i go to the big-name retailer and find plus size clothinn. this is a serious issue. does that mean my employer might know that? >> the employer wouud know that because they see you every day. nowadays aggregated with other information. if you use your card to buy anything anywhere they know immediately, they know what merchant you are currently at, so absolutely they know an infraction of a second, if you're at a bar, if you are auto painting your gym membership, to have all this informaaion and it
all goes into their models, without a health risk you are or not. gerri: now insurers are buying the detailed spending data. ultimately your player can know every detail of your health issues maybe even before you do. >> no more secrets. truly no more secrets. it is big money, massive money. looking at what kind of a market or what i can take away. it will get worse. it is partially our fault. we put too much information about ourselves. we are voluntarily giving a lot of this information out. gerri: don't use a credit card
to buy things. this will keep you from being tracked and don't use a cell phone. >> think about information you're getting on warranty cards buying a refrigerator or whatever, you fill out a boatload of information that has nothing to do with the fact you are about to use their microwave. why are they asking for that information? all of that information is being sold to someone else. so they can market things to you. gerri: thank you for coming on the show. coming up tomorrow, we break down the risk to your medical information on the cloud. how to make sure hospitals are keeping your data safe online. the irs official at the center of the agency targeting conservative groups today
telling congress she did nothing at all wrong. as republican congressman told lou dobbs, the decision to remain silent is just part of a complete lack of accountability in washington. >> talk about the executive branch nobody sees anything, you number knows anything. systemic failures and these are the excuses in this town. i don't think that is acceptable for the american people. maybe commanders responsible for what happens even if it is a low-level commander that makes a mistake. >> it is pretty clear he did not serve in the navy. gerri: what are you covering tonight? >> doing the unthinkable for suppose it public servant even
before she spoke and refused to speak. a democrat warned the witnesses their refusal to cooperate could result in a special project. i will be talking with house oversight member who says she waved her fifth amendment protection when she gave an opening statement, and also talking to the opposition in the gang of eight last night on the judiciary committee, so we will be talking with him about why we don't know more about the effects of immigration in this country. gerri: cannot wait for that. always good to see you. coming up next, we go live to capitol hill for the latest, a vote is expected shortly. more on the woman at the center of the irs scandal.
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ich are used to build new schools to build more bright minds. invested in the world. bny mellon. >> from our foxbusiness studios in new york, here again is gerri willis. gerri: the third time seems to be the charm for the officials to showcase ridiculous lengths they would go to to deny any wrongdoing. fancy footwork avoiding the camera's and the scandal had it all and the last time irs was under political scrutiny the number of audits dropped. this is another golden opportunity for tax chief? dominic, welcome back. you see they get targeted all
the time. >> everybody's all upset about their targeting. a target all the time. profession, geographic location where you live, where you work and measuring against your peer group, have a certain score. discord by the irs. gerri: because really wealthy people and business owners often. >> 1% of americans get audited but that is a misleading statement. 12% of people over $100 $1 milln get audited.
gerri: taking the fifth, let's listen to that. >> i have not done anything wrong. i have not broken any laws, have not violated any rules or regulations that have not provided false information to this or any other congressional committee. after careful consideration i have decided to follow my consul device and not testify any questions today. gerri: i didn't do anything wrong, but i will not talk to you. >> i don't want to incriminate myself. you want to take the fifth, go ahead, but how do you make that statement?
>> tough. gerri: little detail that caught our eye, deputy treasury secretary moved out of camera range, he would not be caught in the all-important swearing-in shot. what do you make of that? >> 's are people not comfortable in front of the camera. the kids are watching. gerri: tha there he is, the bose doesn't want to be in the picture. >> don't want to be associated. gerri: we said what has happened in the past, we have to take a step back and fewer audits, do
you expect that to happen? >> obama cap next here, they have to cut back on audits. only so many available in india. if you are a high net worth, high income person, self-employed business owner you can expect those percentages to go higher. gerri: i was hoping for some good news. thank you for coming on, always good to see you. when we come back, how to pick the best airline for your next trip and the latest vote on the keystone pipeline bill. stay with us. i'm glad you called. thank you.
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gerri: president obama had been dragging his feet on the keystone pipeline despite it was first proposed back in 2008. the house is taking matters into its own hand voting for a bipartisan bill by passing the president altogether. republican congresswoman of tennessee, vice chair of the energy and commerce committee. great to have you here. tell us how this bill is different from what we have seen in the past. >> what this will do is to approve 875-mile portion of this keystone pipeline, a portion needing to be finished so we can get that fuel into the gulf.
and molasses type content, really rich what we are needing to move in and refine so we are pushing into the transportation fuel component of this country. a little under 800 million gallons per day in this country, we produce 300 million ourselves. around 40 million gallons per day. gerri: and a lot of people feel like this is important, the bill itself is designed to jumpstart the program and doing work around for a president who has been blocking this. people are saying they oppose it, they don't oppose it, where is this going to go tonight? >> this is a work around. if he will not do the heavy lift, we will. we will send it to the senate. there is bipartisan support in
the senate and we anticipate they will pass it and it will go to the president's desk. he may sign it into law, we hope you will. gerri: are you kidding me? i thought he was against it. >> you never know. we can sit by and do nothing and say he would veto anything in the past, or we could challenge on this. that is to get the pipeline built. there's a lot of democrats in the senate up for reelection. we know that. the american people are sick and tired of paying 350 per gallon per day. if we're going to push ourselves to energy independence, listing
business. gerri: it is languishing, it is sitting there, and canadian officials about this very issue. look, they were going to go somewhere else. if the president doesn't get behind this idea, the jobs, the oil, the money will go to another altogether. maybe china. >> and then what are we going to do? what we are importing, what we're using. will have import more and imported from a cartel, opec, china. we are trading it to people owing us.and they turn around
and they buy our debt. we can continue to do this. 20,000 jobs if we can get this project started. gerri: i hear the voting has begun. thank you for coming on with us. now onto the stay in business history, videogame maker released pac-man. while eating pizza. notice to slice is missing giving the character's look. pac-man generated $2.5 million mostly in quarters. producing 30 spinoff games since the original pac-man. history microsoft announced the xbox 360 is getting a successor, the xbox one.
gerri: it is going to be another busy memorial day weekend on the nation's highways. starting tomorrow more than 31 million americans will drive at least 50 miles. castle cost a little more this year. likely keep increasing over the weekend, as it does aaa also estimatee 2 million travelers will fly this weekend funny on which airline is best for your trip never easy. joining me now, senior project editor for consumer reports. always fun to have you on. he came up with this great list, virgin is at the top of it. why did it stand out to your readers? >> 32,000 flights, it was
astonishing, virgin america which has only been around since 2007 had some of the highest scores we've ever seen for airline. it was really remarkable. exceptional in-flight information, excellent baggage handling. check-in was a breeze. gerri: they charge you a check in fee, how do they get around that? >> most major airlines today pretty much charge at least $25 to start, on a couple of airlines, jetblue and southwest at least give you one free bag, they score quite well but not quite as well as virgin.
gerri: here's what was interesting to me. spirit airlines was last. the ceo says we are the mcdonald's of airlines, customers know what they are getting with us, we are the cheapo. >> kind of the old story people hold their nose and say it is cheap. the money brings them in. low fares are only part of the equation and nobody emphasizes more than spirit. anything from a carry-on luggage to a checked bag per bottle of juice, bag of peanuts or anything you can imagine, to make your flight is going to cost you extra.
if you have a need for a basic seed, you will pay. when you check a bag, the fee will go up depending on where you do it as much as $100. gerri: tracking down the best fares. we always worked the web. check third-party sites, what are those? >> it is important to check the airline and third-party sites because while the prices don't differ much at all, they have different reservation systems. supplier inventory is added and deleted at different times. i wor worked them like a piano keyboard. going back and forth because you find out some sites may remove
the inventory later on the airline itself may have a special sale they don't let the third-party say. gerri: are you trying to tell us something? >> they may say your luggage is overweight. one of the biggest ways to get killed. i think that may weigh more than 40 pounds basic allotment could, to upward of $200. that is outrageous. stakestates the weight limits. gerri: thank you so much. always a pleasure. stay with us. bny mellon combines investment management & investment servicing, giving us unis which help us attract the industry's brightest minds who create powerful strategi for a country's investments which are used to build new schools
possible for the keystone xl pipeline, all this week we've been discussing your medical privacy right. today we show you how companies are tracking that data, saying it is for your why do companies track your personal data we asked on gerri willis to thgerriwillis.com. you may soon be ale to bring furry members of your family with you next time you take the train, 4 house members are proposing a bill forcing amtrak to allow at least one car in the passenger train to allow cats and dogs. they would have to be in kennels, that is all well and good. but really? 4 house members felt a need to make it a priority? shouldn't they spend their time balancing the budget. maybe finding a fix for social security.
how about the tax code? that is it for tonight's willis report. have a great night. we'll see you here tomorrow. lou: good evening i'm lou dobbs, these people are swearing to tell the truth, in front of the house ove oversight committee t, although not many americans according to latest pol polls ce pecked to of about -- pectsed to believe them, and lois warner. >> i have been advise by high council to assert my constructional right not to testify or cancer questions we lated to subject matter of this hearing. lou: the fifth, refusing to answer questions after pleading her case with a series of denials and