Citigroup announced that Jane Fraser would replace Michael Corbat as the bank’s CEO thus making Fraser the first woman to lead a major U.S. bank. Fraser is presently head of Citi’s global consumer banking division and has spent 16 years with Citi. Corbat led Citigroup for eight years, as he rebuilt the company after it nearly collapsed during the 2008 financial crisis and Great Recession.
New data revealed that around 884,000 Americans applied for unemployment aid last week as the US job market has come to a grinding halt owing to the Covid-19 pandemic. The new number surpassed economists’ expectations for 850,000 filings for unemployment benefits. The figure is well above the pre-pandemic record of 695,000 claims in a single week.
The International Air Transport Association (IATA) warned that delivering a COVID-19 vaccine globally would require ~8,000 jumbo jets. Hence it urged govts plan in advance to ensure that the vaccine reaches every citizen globally. The IATA cautioned that it would be a mission of the century for the aviation industry, hence govts needs to be prepared for the ’mammoth and complex task ahead.
The continued rise in new infection rates across parts of Europe and Asia highlights the risk of a second wave of infections which could lead to renewed closures and a sustained pullback in consumption, Moody’s Investors Service has said. The OECD released a study projecting that school closures will have substantial long-term costs of trillions of dollar globally.
The president told legend Woodward that he downplayed COVID-19 in public because he didn’t want to ’create a panic. These have been mentioned in Woodward’s new book ’Rage, which includes Presidents interviews that Woodward recorded from Dec. 5, 2019, to July 21, 2020. CNN & the Washington Post were provided advance copies of the book, and published the same on Wed. which went viral like fire.
J.C Penney’s landlords have closed a deal to rescue the struggling department store chain from bankruptcy proceedings, thus avoiding liquidation that would have impacted its ~70,000 jobs. Mall owners Simon Property Group and Brookfield Property Partners have joined hands to put $300mn towards the rescue and have agreed to a nonbinding letter of intent with J.C. Penney.
A Bentonville, Arkansas-based Walmart announced on Wednesday that it would run a pilot project for the delivery of grocery and household products through automated drones, along with end-to-end delivery firm Flytrex, in Fayetteville, North Carolina. The cloud-controlled drones will pick up and drop off select items, as the company accelerates the expansion of its pick-up and delivery services.
Morrisons reported its like-to-like sales, excluding fuel, rose by 8.7% in six months to 2 Aug. However its profitability was hit by over 25% as expenditure rose by £155m to deal with the pandemic, including hiring temporary workers and bonuses. It also stated that poor fuel sales hit its income as people avoided travelling. Its pre-tax profits dipped by 28.2% to £145m for the six months to 2 Aug.
New York Governor Andrew Cuomo has announced that restaurants can resume indoor service on September 30. However, this comes with a rider. Restaurants can allow filling up of only 25% of their capacity at any given time and strict anti-coronavirus safety precautions must be in place during business. Restaurants had been shut for indoor diners for months after the Covid-19 pandemic hit the US.
United Airlines is adding additional flights to several locations in Africa and India in an effort to stem the hemorrhage of cash flow. Some of the newly scheduled flights will include Chicago to New Delhi, India and San Francisco-Bangalore, India. Several flights to Africa will also include Dulles Accra, Ghana, Dulles to Lagos, Nigeria and Newark to Johannesburg, South Africa.
AstraZeneca on Tuesday paused its Phase 3 trials of a coronavirus vaccine after one participant suffered a possible serious adverse reaction to allow scientists to determine if it was related to the vaccine. The vaccine ’candidate’ was developed by the pharmaceutical giant along with Oxford University and is being tested in large-scale human trials in the U.K., the U.S., Brazil and South Africa.
A plan is set to be ratified by Chinese leaders to dominate the semiconductor industry of the world by the year 2025. This plan comes as a consequence of the restrictions by the US on Chinese imports of high end computer chips that have been made using American equipment. The regulations were published by US in July and were directed towards Huawei and ZTE, two of China’s telecom equipment makers.
LVMH walked away from Tiffany merger worth $16.2bn. But Tiffany has decided to sue LVMH to keep the deal intact. LVMH said the French government told them to wait until Jan. 6 of next year to close the deal in response to US’s threat to impose tariffs on French goods. Tiffany had asked LVMH to complete deal by Dec. 31 instead of Nov. 24 deadline but LVMH said it decided to pull out of the deal.
Disney is facing repercussion after the final credits for its latest film ’Mulan’ thanked government entities in Xinjiang, the province where Muslims have faced human rights ill-treatment. The film had already created storm after its lead actress, Liu Yifei, recently expressed support for police crackdowns in Hong Kong, spurring talks of boycotts on social media.
Pizza Hut is in discussions with creditors in an effort to prevent the layoff of over 400 employees as a result of meager earnings as a associated with COVID-19. A spokesman said it won’t recover until late 2021. The news comes after Lloyds Banking Group cut 865 jobs in areas such as insurance and wealth management as it revived plans to restructure the business.