The Manager's three talented team members

During appraisal due to bell curve funda a manager is restricted to give promotion to only one of his team members. Three of his team members are equally competant. He wanted to select one by giving a puzzle. He called his three talented team members and blidfolded them. He placed a hat on  each of their heads. Manager took off their blindfolds and gave following clues and conditions
1) Each hat is either white or blue
2) There is atleast one blue hat
3) Contest is fair for all the three team members
4) Each team member can see the hat of other team members but not his.
5) The team members should not communicate to each other.

The manager declared that who ever comes up first with right answer shall be given promotion.

The most talented of his team members came up with right answer and explanation.What is the answer and the logic behind that?

Watch this space for answer in a week.