diff --git "a/news_db/merged_news_data_2025-03-19.csv" "b/news_db/merged_news_data_2025-03-19.csv"
deleted file mode 100644--- "a/news_db/merged_news_data_2025-03-19.csv"
+++ /dev/null
@@ -1,76 +0,0 @@
-title,url,timestamp,content,source,clean_date,clean_content,arti_score,pos_sent,neg_sent,rnn_arti_score,rnn_pos_sent,rnn_neg_sent,date_extracted
-Take a look inside the world's largest 3D printed housing development,https://www.cnbc.com/2025/03/12/inside-the-worlds-largest-3d-printed-housing-development.html,2025-03-12T18:26:48+0000,"In this articleJust outside Austin, in Georgetown, Texas, brand new planned communities sprawl out as far as the eye can see, which is pretty far in this part of the country. But one small subdivision instantly draws focus. Just completed, it is now the world's largest 3D-printed community.Two years ago, Lennar, the nation's second-largest homebuilder, partnered with Icon, a 3D technology company, to print 100 homes in the Wolf Ranch development. The companies say about 75% of them have already sold.All the walls have rounded edges, as that's how the printers navigate with the concrete. The layering process makes it feel like hard, wide-wale corduroy. The roofing is the only part of the structures not 3D-printed, and, in this community, is made of metal. Each home is solar-powered.""We have a durable product here that if you look at its wind resistance for hurricanes, its fire resistance for fire-worn areas — the ability to adapt modern product to what we need for the future in housing and building a healthier housing market is amazing,"" said Stuart Miller, chairman and co-CEO of Lennar.Icon started the project at Wolf Ranch in 2022, using two 40-foot robotic printers. By the second year, the company was using 11 machines, cutting print time in half and squeezing out two homes per week. Each printer does the job of more than a dozen construction workers. The systems operated 24 hours a day.""All the learnings about this technology need to happen at scale,"" said Jason Ballard, CEO of Icon. ""The truth is in the field, not in the lab.""Ballard said his team had to work out large-scale logistics with Lennar's teams, everything from laying foundations to printing walls, installing interior systems and adding roofing.""Figuring out how to integrate with Lennar's operations, who are probably the best scale builders in the world, was a real growing up moment for our company,"" Ballard said.The homes have all the amenities of a conventionally built Lennar community. They come in 2- and 3-bedroom models and start at just under $400,000.Holly Feekings and her husband, both retired, moved into their 3D-printed home about a year ago. She said the best part of living in the printed home is her electric bill — just $26 last month. Concrete retains its temperature, heat or cold air, better than her previous standard colonial, Feekings said. She also likes the home's durability.""I feel safer in this house than any house I've ever lived in, because it's so well built, it's not going to burn down,"" said Feekings.Around the corner, Pierre Megie and his girlfriend were drawn in by the look and feel of the home.""We wanted tall doors, taller ceilings, cement floors, somehow, and this home had everything. Really just a combination of energy efficiency, the practicality, the price point, and then the aesthetics,"" said Megie.The community was an experiment for Lennar. The cost to stand it up, according to Miller and Ballard, was slightly higher than anticipated as they worked through the kinks.Miller said Lennar is now planning its second 3D-printed community in Texas with Icon, roughly 200 homes, which will cost even less to build, given what the companies learned in Georgetown. The next community will have larger homes, and Ballard expects them to go up even faster, and cheaper.""We've seen our costs go down by half. We've seen our cycle time go down by half. This is significant improvement in evolving a housing market that has the ability to change over time and being more adaptable and more functional in providing affordable and attainable housing for a broader swath of the market,"" said Miller.As for the rising risk of tariffs between U.S. and trade partners, Ballard said all of the concrete his company uses is sourced stateside.",CNBC,12/03/2025,"['In this articleJust outside Austin, in Georgetown, Texas, brand new planned communities sprawl out as far as the eye can see, which is pretty far in this part of the country.', 'But one small subdivision instantly draws focus.', ""Just completed, it is now the world's largest 3D-printed community."", ""Two years ago, Lennar, the nation's second-largest homebuilder, partnered with Icon, a 3D technology company, to print 100 homes in the Wolf Ranch development."", 'The companies say about 75% of them have already sold.', ""All the walls have rounded edges, as that's how the printers navigate with the concrete."", 'The layering process makes it feel like hard, wide-wale corduroy.', 'The roofing is the only part of the structures not 3D-printed, and, in this community, is made of metal.', 'Each home is solar-powered.', '""We have a durable product here that if you look at its wind resistance for hurricanes, its fire resistance for fire-worn areas — the ability to adapt modern product to what we need for the future in housing and building a healthier housing market is amazing,"" said Stuart Miller, chairman and co-CEO of Lennar.', 'Icon started the project at Wolf Ranch in 2022, using two 40-foot robotic printers.', 'By the second year, the company was using 11 machines, cutting print time in half and squeezing out two homes per week.', 'Each printer does the job of more than a dozen construction workers.', 'The systems operated 24 hours a day.', '""All the learnings about this technology need to happen at scale,"" said Jason Ballard, CEO of Icon. ""', 'The truth is in the field, not in the lab.', '""Ballard said his team had to work out large-scale logistics with Lennar\'s teams, everything from laying foundations to printing walls, installing interior systems and adding roofing.', '""Figuring out how to integrate with Lennar\'s operations, who are probably the best scale builders in the world, was a real growing up moment for our company,"" Ballard said.', 'The homes have all the amenities of a conventionally built Lennar community.', 'They come in 2- and 3-bedroom models and start at just under $400,000.Holly Feekings and her husband, both retired, moved into their 3D-printed home about a year ago.', 'She said the best part of living in the printed home is her electric bill — just $26 last month.', 'Concrete retains its temperature, heat or cold air, better than her previous standard colonial, Feekings said.', ""She also likes the home's durability."", '""I feel safer in this house than any house I\'ve ever lived in, because it\'s so well built, it\'s not going to burn down,"" said Feekings.', 'Around the corner, Pierre Megie and his girlfriend were drawn in by the look and feel of the home.', '""We wanted tall doors, taller ceilings, cement floors, somehow, and this home had everything.', 'Really just a combination of energy efficiency, the practicality, the price point, and then the aesthetics,"" said Megie.', 'The community was an experiment for Lennar.', 'The cost to stand it up, according to Miller and Ballard, was slightly higher than anticipated as they worked through the kinks.', 'Miller said Lennar is now planning its second 3D-printed community in Texas with Icon,roughly 200 homes, which will cost even less to build, given what the companies learned in Georgetown.', 'The next community will have larger homes, and Ballard expects them to go up even faster, and cheaper.', '""We\'ve seen our costs go down by half.', ""We've seen our cycle time go down by half."", 'This is significant improvement in evolving a housing market that has the ability to change over time and being more adaptable and more functional in providing affordable and attainable housing for a broader swath of the market,"" said Miller.', 'As for the rising risk of tariffs between U.S. and trade partners, Ballard said all of the concrete his company uses is sourced stateside.']",0.1382498367404432,"This is significant improvement in evolving a housing market that has the ability to change over time and being more adaptable and more functional in providing affordable and attainable housing for a broader swath of the market,"" said Miller.","As for the rising risk of tariffs between U.S. and trade partners, Ballard said all of the concrete his company uses is sourced stateside.",0.7973626255989075,"The cost to stand it up, according to Miller and Ballard, was slightly higher than anticipated as they worked through the kinks.",We've seen our cycle time go down by half.,2025-03-19
-"Boeing shares jump as CFO gives upbeat outlook, says cash burn is easing",https://www.cnbc.com/2025/03/19/boeing-shares-jump-as-cfo-says-plane-makers-cash-burn-is-easing.html,2025-03-19T14:11:31+0000,"In this articleBoeing's cash burn is easing this quarter and its factories are improving, the aerospace giant's finance chief said Wednesday, as the company works to turn a corner on several manufacturing and safety crises.Boeing shares jumped 6% in morning trading after CFO Brian West's upbeat comments.""We think we're off to a good start for the year,"" West said at a Bank of America investor conference. He said that cash burn improvement could be in the ""hundreds of millions"" of dollars.West also brushed off immediate concerns about President Donald Trump's proposed tariffs, but said any impact depends on how long the uncertainty lasts.",CNBC,19/03/2025,"[""In this articleBoeing's cash burn is easing this quarter and its factories are improving, the aerospace giant's finance chief said Wednesday, as the company works to turn a corner on several manufacturing and safety crises."", ""Boeing shares jumped 6% in morning trading after CFO Brian West's upbeat comments."", '""We think we\'re off to a good start for the year,"" West said at a Bank of America investor conference.', 'He said that cash burn improvement could be in the ""hundreds of millions"" of dollars.', ""West also brushed off immediate concerns about President Donald Trump's proposed tariffs, but said any impact depends on how long the uncertainty lasts.""]",0.2967068456300624,"In this articleBoeing's cash burn is easing this quarter and its factories are improving, the aerospace giant's finance chief said Wednesday, as the company works to turn a corner on several manufacturing and safety crises.","West also brushed off immediate concerns about President Donald Trump's proposed tariffs, but said any impact depends on how long the uncertainty lasts.",0.999559924006462,Boeing shares jumped 6% in morning trading after CFO Brian West's upbeat comments.,,2025-03-19
-Kohl's shares plunge 20% as retailer gives rough outlook for the year ahead,https://www.cnbc.com/2025/03/11/kohls-kss-q4-2024-earnings.html,2025-03-11T20:04:58+0000,"In this articleKohl's posted an earnings and revenue beat for the fiscal fourth quarter on Tuesday, but its stock plunged as it issued much worse-than-expected guidance for the year ahead.Shares of the company closed down over 24% on Tuesday.For 2025, Kohl's expects revenue to fall 5% to 7%, compared with Wall Street estimates of a 1.6% decrease, according to LSEG. The company projected comparable sales will decline 4% to 6%, while analysts anticipated a 0.9% decrease, according to StreetAccount. Kohl's expects earnings per share to come in between 10 cents and 60 cents, a miss compared with a midpoint Wall Street estimate of $1.23, according to LSEG.On a Tuesday earnings call, CEO Ashley Buchanan said the company has fallen short in recent years by focusing too much on new categories and de-emphasizing core products such as fine jewelry, petite clothing and proprietary brands.""A lot of the issues were probably self-inflicted over many years of decisions,"" Buchanan said. ""We have a very loyal customer. When I toured stores, all I heard was how much they love Kohl's. And what I realized is we're kind of making it hard for them to love us.""Buchanan, who stepped in as CEO of the company in January, said Kohl's has also excluded too many brands from its coupons, with those exclusions peaking in 2024. That change frustrated and confused customers, he added, and is in the process of being partially reversed.Here's how the retailer did compared with what Wall Street was expecting, based on a survey of analysts by LSEG:Kohl's has navigated significant turmoil in the last few months. The retailer in November named Buchanan its new CEO as of Jan. 15, succeeding Tom Kingsbury after he spent two years leading Kohl's.Shares of the company have fallen more than 65% in the past year.In January, Kohl's announced it had cut nearly 10% of its corporate workforce and would close 27 underperforming stores by April.Overall most Kohl's stores are ""incredibly healthy"" and profitable, CFO Jill Timm said on the earnings call, but the company has many store leases coming up for renewal in the next few years that are an opportunity for reevaluation.As with other retailers, Kohl's lower-income customers are prioritizing value amid elevated inflation, Buchanan said. Kohl's became the latest retailer to say it expected a turbulent 2025, following Dick's Sporting Goods earlier Tuesday. Falling consumer confidence, President Donald Trump's tariff policy and weaker-than-expected job growth have all raised fears about a potential recession.Kohl's fourth-quarter net sales of $5.18 billion fell from $5.71 billion during the same period in 2023. Full-year 2024 sales came in at $15.39 billion, down from $16.59 billion in 2023. Both the fourth quarter and full year of fiscal 2023 were one week longer than their 2024 counterparts, which the company said added $164 million in net sales to 2023.Quarterly comparable sales, defined by Kohl's as sales from e-commerce and stores open for at least 12 months, fell 6.7% year over year. Wall Street expected a 6.8% decrease, according to StreetAccount.Kohl's reported net income for the quarter, which ended Feb. 1, of $48 million, or 43 cents per share, compared with net income of $186 million, or $1.67 per share, during the fourth quarter of 2023.Adjusting for costs associated with impairments and store closures, Kohl's reported fourth-quarter earnings of 95 cents per share.Timm said Tuesday that while store sales were strong, digital sales underperformed, especially in the legacy home category.Comparable beauty sales increased 13%, Timm said, with the retailer's Sephora partnership continuing to drive revenue in the business.",CNBC,11/03/2025,"[""In this articleKohl's posted an earnings and revenue beat for the fiscal fourth quarter on Tuesday, but its stock plunged as it issued much worse-than-expected guidance for the year ahead."", 'Shares of the company closed down over 24% on Tuesday.', ""For 2025, Kohl's expects revenue to fall 5% to 7%, compared with Wall Street estimates of a 1.6% decrease, according to LSEG."", 'The company projected comparable sales will decline 4% to 6%, while analysts anticipated a 0.9% decrease, according to StreetAccount.', ""Kohl's expects earnings per share to come in between 10 cents and 60 cents, a miss compared with a midpoint Wall Street estimate of $1.23, according to LSEG.On a Tuesday earnings call, CEO Ashley Buchanan said the company has fallen short in recent years by focusing too much on new categories and de-emphasizing core products such as fine jewelry, petite clothing and proprietary brands."", '""A lot of the issues were probably self-inflicted over many years of decisions,"" Buchanan said. ""', 'We have a very loyal customer.', ""When I toured stores, all I heard was how much they love Kohl's."", ""And what I realized is we're kind of making it hard for them to love us."", '""Buchanan, who stepped in as CEO of the company in January, said Kohl\'s has also excluded too many brands from its coupons, with those exclusions peaking in 2024.', 'That change frustrated and confused customers, he added, and is in the process of being partially reversed.', ""Here's how the retailer did compared with what Wall Street was expecting, based on a survey of analysts by LSEG:Kohl's has navigated significant turmoil in the last few months."", ""The retailer in November named Buchanan its new CEO as of Jan. 15, succeeding Tom Kingsbury after he spent two years leading Kohl's."", 'Shares of the company have fallen more than 65% in the past year.', ""In January, Kohl's announced it had cut nearly 10% of its corporate workforce and would close 27 underperforming stores by April."", 'Overall most Kohl\'s stores are ""incredibly healthy"" and profitable, CFO Jill Timm said on the earnings call, but the company has many store leases coming up for renewal in the next few years that are an opportunity for reevaluation.', ""As with other retailers, Kohl's lower-income customers are prioritizing value amid elevated inflation, Buchanan said."", ""Kohl's became the latest retailer to say it expected a turbulent 2025, following Dick's Sporting Goods earlier Tuesday."", ""Falling consumer confidence, President Donald Trump's tariff policy and weaker-than-expected job growth have all raised fears about a potential recession."", ""Kohl's fourth-quarter net sales of $5.18 billion fell from $5.71 billion during the same period in 2023."", 'Full-year 2024 sales came in at $15.39 billion, down from $16.59 billion in 2023.', ""Both the fourth quarter and full year of fiscal 2023 were one week longer than their 2024 counterparts, which the company said added $164 million in net sales to 2023.Quarterly comparable sales, defined by Kohl's as sales from e-commerce and stores open for at least 12 months, fell 6.7% year over year."", 'Wall Street expected a 6.8% decrease, according to StreetAccount.', ""Kohl's reported net income for the quarter, which ended Feb. 1, of $48 million, or 43 cents per share, compared with net income of $186 million, or $1.67 per share, during the fourth quarter of 2023.Adjusting for costs associated with impairments and store closures, Kohl's reported fourth-quarter earnings of 95 cents per share."", 'Timm said Tuesday that while store sales were strong, digital sales underperformed, especially in the legacy home category.', ""Comparable beauty sales increased 13%, Timm said, with the retailer's Sephora partnership continuing to drive revenue in the business.""]",0.0867239270263079,And what I realized is we're kind of making it hard for them to love us.,"That change frustrated and confused customers, he added, and is in the process of being partially reversed.",-0.6253400336612355,"Comparable beauty sales increased 13%, Timm said, with the retailer's Sephora partnership continuing to drive revenue in the business.","In this articleKohl's posted an earnings and revenue beat for the fiscal fourth quarter on Tuesday, but its stock plunged as it issued much worse-than-expected guidance for the year ahead.",2025-03-19
-"Goodbye to 'bags fly free' on Southwest Airlines, the last freebie in America",https://www.cnbc.com/2025/03/15/goodbye-free-bags-southwest-airlines.html,2025-03-15T12:49:04+0000,"Almost nothing is guaranteed in life. Certainly not weather, electricity, health, tariffs or eggs. But for more than 50 years, American consumers could count on Southwest Airlines letting them check bags for free.Dallas-based Southwest is ending the policy in May. Customers are not happy.""It was the only reason I flew Southwest,"" said MaKensey Kaye Alford, a 21-year-old singer and actress who lives near Birmingham, Alabama.Alford, who is planning to move to New York City later this year, said she would ""definitely"" consider taking another airline now.Southwest's customer-friendly policies have survived recessions, oil price spikes and even the Covid-19 pandemic, winning it years of goodwill and a loyal following, even as it has grown. No other airline carries more people in the United States than Southwest.Now, the airline with an unrivaled streak of profitability (its almost never posted an annual loss) is under pressure to increase profits as big competitors outpace the airline. So it's backpedaling off of years of banishing the thought that they would charge customers for bags, adding to other business-model tweaks like assigned seating that give it more in common with all other airlines.Errol Joseph, 36, a sales consultant who lives in New York and Dallas, said he would now consider flying on Delta Air Lines if the price is the same as Southwest because its planes have seatback screens, unlike Southwest. Joseph added that with baggage policy change, there's ""pretty much no reason to be loyal.""The bag policy had been around longer than most women were able to get credit cards on their own without a man's signature. But those days are over. No more freebies, America.Retailers, restaurants and airlines are among the businesses that have been pulling back on free perks, from complimentary birthday coffees to free package returns, since the pandemic ended. Increasingly, airline perks are only available for loyalty program members or customers who buy a more expensive ticket.Delta offers customers free Wi-Fi on board, but only for those who have signed up for its SkyMiles loyalty program. United Airlines is making a similar move, meanwhile, installing equipment on its planes so customers can soon connect to Elon Musk's Starlink satellite Wi-Fi for free if they are members of the airline's MileagePlus program.It typically takes real financial pressure for companies to return to giveaways, but it's not unprecedented. Starbucks, for example, got rid of upcharges for dairy alternatives to attract customers to try to reverse a sales slump.Southwest's decision pits investors against customers.Activist hedge fund and, as of last year, big Southwest shareholder Elliott Investment Management has been increasing pressure on the airline to raise its profits as rivals like Delta and United have pulled ahead. Elliott pushed for faster changes at the carrier, which has been long hesitant to change, so it could increase revenue. The firm last year won five board seats in a settlement with Southwest.In fact, after Southwest unveiled the bag shift and other policy changes, its shares rose close to 9% this week, while Delta, United and American, each fell more than 11%. CEOs of all the carriers raised concerns about weaker-than-expected travel demand, but Southwest bucked the trend, as it expects the changes to add hundreds of millions of dollars to its bottom line.""Shareholder activism is reshaping LUV into a company that we believe investors will eventually gravitate to,"" wrote Seaport Research Partners airline analyst Dan McKenzie in a note Wednesday as he raised his price target on Southwest's shares to $39 thanks to the policy changes even though ""macro backdrop is glum.""The decision to ditch the two-free-checked bags is part of the airline's big profit-seeking makeover in which it is shedding other long-standing offerings like open-seating and single-class cabins for seat assignments and pricier extra legroom options.It will also start offering a no-frills, no-changes basic economy ticket. Flight credits will also soon have expiration dates. Last month, Southwest had its first-ever mass layoff, cutting about 15% of corporate jobs. It has also slashed unprofitable flying.Air travel hasn't stood still over the last half century, and while it's held onto many core tenets, neither has Southwest. It has gradually made changes over the years, starting to sell things like early boarding, for example. And with air travel breaking new records, assigned seating is necessary for both customers and to make the jobs of employees easier, Southwest executives have argued.Charging for checked bags was something Southwest leaders repeatedly said would cost it more than it could make. (U.S. carriers brought in more than $7 billion in baggage fees in 2023.)In a presentation at an investor day last September, Southwest said it would gain between $1 billion and $1.5 billion from charging for bags but lose $1.8 billion of market share.Southwest executives said that's changed.Hours after breaking the news to customers, CEO Bob Jordan said at a JPMorgan industry conference on Tuesday that ""in contrast to our previous analysis, actual customer booking behavior through our new booking channels such as metasearch, did not show that we are getting the same benefit from our bundled offering with free bags, which has led us to update the assumptions.""Jordan added that the carrier has new executives with ""direct experience implementing bag fees at multiple airlines, and that's also helped further validate the new assumptions.""But thousands joined in consumers' cri de coeur.Southwest posted on Instagram on Thursday, two days after its bombshell announcement, saying ""It's not like we traded Luka,"" a nod to the shocking February trade of Dallas Mavericks superstar Luka Doncic to the Los Angeles Lakers. As of Friday afternoon, the post, which also included information about the change, got more than 14,000 replies, far more than couple of hundred responses the account usually gets.""Taking a screen shot of this as it will be the thumbnail for the harvard business review case study of destroying a brand an entire company,"" replied Instagram user rappid_exposure.Frances Frei, a professor of technology and operations management at Harvard Business School, said that, indeed, no other company is likely as studied as Southwest.""I sure hope this isn't a case of activist investors coming in and insisting on a set of decisions that they won't be around to have to endure,"" she said. ""Great organizations get built over time. It doesn't take very long to ruin an organization, and I really don't want this to be an example of that.""Southwest's two checked bags-fly-free policy officially ends May 28 but for now the slogan is still found on board, printed on cocktail napkins.There will be exceptions: Customers who have a Southwest Airlines co-branded credit card can get one bag for free, and customers in its top tiers of service (read: pricier tickets) or its top-tier loyalty program members will get one to two free checked bags.Whether customers abandon Southwest or are simply reacting to the change remains to be seen.The CEOs of Delta, United and Spirit this week said they see an opportunity to win over customers who might turn away from Southwest.Many travelers won't have a lot of other options, however, with so much consolidation among U.S. carriers and stronghold hubs, though they might have to venture to other airports.Southwest has a roughly 73% share at Baltimore/Washington International Thurgood Marshall Airport, a more than 83% share in San Francisco Bay Oakland International Airport, and 89% share in Long Beach, California, according to aviation-data firm Cirium.The real test, Harvard's Frei said, will be whether the bag change will slow down Southwest's operation, with more customers bringing carry-on bags on board to avoid the checked luggage fees.""I just fear the cost is being underestimated,"" she said. ""It's real operational harm to Southwest if they go slower.""Southwest is already preparing its employees for an onslaught of customer luggage at the gate.Just after its announcement on Tuesday, Southwest told its employees in a memo that customers will ""undoubtedly carry on more luggage than before.""Gate agents will receive mobile bag-tag printers ""reducing the need for string bag tags"" and the company will design new carry-on size guides so customers can see if their luggage fits as a carry on, according to a staff memo sent by Justin Jones, EVP of operations, and Adam Decaire, senior vice president of network planning, a copy of which was seen by CNBC.The airline also plans to speed up retrofits of its Boeing 737-800s and Max aircraft with bigger overhead bins.Frei said not charging for bags, unlike the Costco $1.50 hot dog, is not a loss leader, something a company sells at a loss just to win over customers who might buy more expensive, and profitable, items.As much as it's been beloved by customers, the checked bag policy also had a helped the airline turn planes around faster.""The reason isn't because it's kinder to customers. It's because it's a fast turnaround airline,"" she said. ""If I charge for bags, you will be more likely to carry more luggage on board. And when you carry more luggage on board, I lose my fast turnaround advantage.""Southwest is confident that it's prepared for an increase in gate-checked bags and onboard luggage.""We have a series of work streams that are underway with our with our current operations, to make this not impact our turn times,"" COO Andrew Watterson said in an interview.Time will tell how it shakes out. For now, we have the $1.50 Costco hot dogs.",CNBC,15/03/2025,"['Almost nothing is guaranteed in life.', 'Certainly not weather, electricity, health, tariffs or eggs.', 'But for more than 50 years, American consumers could count on Southwest Airlines letting them check bags for free.', 'Dallas-based Southwest is ending the policy in May.', 'Customers are not happy.', '""It was the only reason I flew Southwest,"" said MaKensey Kaye Alford, a 21-year-old singer and actress who lives near Birmingham, Alabama.', 'Alford, who is planning to move to New York City later this year, said she would ""definitely"" consider taking another airline now.', ""Southwest's customer-friendly policies have survived recessions, oil price spikes and even the Covid-19 pandemic, winning it years of goodwill and a loyal following, even as it has grown."", 'No other airline carries more people in the United States than Southwest.', 'Now, the airline with an unrivaled streak of profitability (its almost never posted an annual loss) is under pressure to increase profits as big competitors outpace the airline.', ""So it's backpedaling off of years of banishing the thought that they would charge customers for bags, adding to other business-model tweaks like assigned seating that give it more in common with all other airlines."", 'Errol Joseph, 36, a sales consultant who lives in New York and Dallas, said he would now consider flying on Delta Air Lines if the price is the same as Southwest because its planes have seatback screens, unlike Southwest.', 'Joseph added that with baggage policy change, there\'s ""pretty much no reason to be loyal.', '""The bag policy had been around longer than most women were able to get credit cards on their own without a man\'s signature.', 'But those days are over.', 'No more freebies, America.', 'Retailers, restaurants and airlines are among the businesses that have been pulling back on free perks, from complimentary birthday coffees to free package returns, since the pandemic ended.', 'Increasingly, airline perks are only available for loyalty program members or customers who buy a more expensive ticket.', 'Delta offers customers free Wi-Fi on board, but only for those who have signed up for its SkyMiles loyalty program.', ""United Airlines is making a similar move, meanwhile, installing equipment on its planes so customers can soon connect to Elon Musk's Starlink satellite Wi-Fi for free if they are members of the airline's MileagePlus program."", ""It typically takes real financial pressure for companies to return to giveaways, but it's not unprecedented."", 'Starbucks, for example, got rid of upcharges for dairy alternatives to attract customers to try to reverse a sales slump.', ""Southwest's decision pits investors against customers."", 'Activist hedge fund and, as of last year, big Southwest shareholder Elliott Investment Management has been increasing pressure on the airline to raise its profits as rivals like Delta and United have pulled ahead.', 'Elliott pushed for faster changes at the carrier, which has been long hesitant to change, so it could increase revenue.', 'The firm last year won five board seats in a settlement with Southwest.', 'In fact, after Southwest unveiled the bag shift and other policy changes, its shares rose close to 9% this week, while Delta, United and American, each fell more than 11%.', 'CEOs of all the carriers raised concerns about weaker-than-expected travel demand, but Southwest bucked the trend, as it expects the changes to add hundreds of millions of dollars to its bottom line.', '""Shareholder activism is reshaping LUV into a company that we believe investors will eventually gravitate to,"" wrote Seaport Research Partners airline analyst Dan McKenzie in a note Wednesday as he raised his price target on Southwest\'s shares to $39 thanks to the policy changes even though ""macro backdrop is glum.', '""The decision to ditch the two-free-checked bags is part of the airline\'s big profit-seeking makeover in which it is shedding other long-standing offerings like open-seating and single-class cabins for seat assignments and pricier extra legroom options.', 'It will also start offering a no-frills, no-changes basic economy ticket.', 'Flight credits will also soon have expiration dates.', 'Last month, Southwest had its first-ever mass layoff, cutting about 15% of corporate jobs.', 'It has also slashed unprofitable flying.', ""Air travel hasn't stood still over the last half century, and while it's held onto many core tenets, neither has Southwest."", 'It has gradually made changes over the years, starting to sell things like early boarding, for example.', 'And with air travel breaking new records, assigned seating is necessary for both customers and to make the jobs of employees easier, Southwest executives have argued.', 'Charging for checked bags was something Southwest leaders repeatedly said would cost it more than it could make. (', 'U.S. carriers brought in more than $7 billion in baggage fees in 2023.)In a presentation at an investor day last September, Southwest said it would gain between $1 billion and $1.5 billion from charging for bags but lose $1.8 billion of market share.', ""Southwest executives said that's changed."", 'Hours after breaking the news to customers, CEO Bob Jordan said at a JPMorgan industry conference on Tuesday that ""in contrast to our previous analysis, actual customer booking behavior through our new booking channels such as metasearch, did not show that we are getting the same benefit from our bundled offering with free bags, which has led us to update the assumptions.', '""Jordan added that the carrier has new executives with ""direct experience implementing bag fees at multiple airlines,and that\'s also helped further validate the new assumptions.', '""But thousands joined in consumers\' cri de coeur.', 'Southwest posted on Instagram on Thursday, two days after its bombshell announcement, saying ""It\'s not like we traded Luka,"" a nod to the shocking February trade of Dallas Mavericks superstarLuka Doncic to the Los Angeles Lakers.', 'As of Friday afternoon, the post, which also included information about the change, got more than 14,000 replies, far more than couple of hundred responses the account usually gets.', '""Taking a screen shot of this as it will be the thumbnail for the harvard business review case study of destroying a brand an entire company,"" replied Instagram user rappid_exposure.', 'Frances Frei, a professor of technology and operations management at Harvard Business School, said that, indeed, no other company is likely as studied as Southwest.', '""I sure hope this isn\'t a case of activist investors coming in and insisting on a set of decisions that they won\'t be around to have to endure,"" she said. ""', 'Great organizations get built over time.', ""It doesn't take very long to ruin an organization, and I really don't want this to be an example of that."", '""Southwest\'s two checked bags-fly-free policy officially ends May 28 but for now the slogan is still found on board, printed on cocktail napkins.', 'There will be exceptions: Customers who have a SouthwestAirlinesco-branded credit card can get one bag for free, and customersin its top tiers of service (read: pricier tickets) or its top-tier loyalty program members will get one to two free checked bags.', 'Whether customers abandon Southwest or are simply reacting to the change remains to be seen.', 'The CEOs of Delta, United and Spirit this week said they see an opportunity to win over customers who might turn away from Southwest.', ""Many travelers won't have a lot of other options, however, with so much consolidation among U.S. carriers and stronghold hubs, though they might have to venture to other airports."", 'Southwest has a roughly 73% share at Baltimore/Washington International Thurgood Marshall Airport, a more than 83% share in San Francisco Bay Oakland International Airport, and 89% share in Long Beach, California, according to aviation-data firm Cirium.', ""The real test, Harvard's Frei said, will be whether the bag change will slow down Southwest's operation, with more customers bringing carry-on bags on board to avoid the checked luggage fees."", '""I just fear the cost is being underestimated,"" she said. ""', ""It's real operational harm to Southwest if they go slower."", '""Southwest is already preparing its employees for an onslaught of customer luggage at the gate.', 'Just after its announcement on Tuesday, Southwest told its employees in a memo that customers will ""undoubtedly carry on more luggage than before.', '""Gate agents will receive mobile bag-tag printers ""reducing the need for string bag tags"" and the company will design new carry-on size guides so customers can see if their luggage fits as a carry on, according to a staff memo sent by Justin Jones, EVP of operations, and Adam Decaire, senior vice president of network planning, a copy of which was seen by CNBC.The airline also plans to speed up retrofits of itsBoeing737-800s and Max aircraft with bigger overhead bins.', 'Frei said not charging for bags, unlike the Costco $1.50 hot dog, is not a loss leader, something a company sells at a loss just to win over customers who might buy more expensive, and profitable, items.', ""As much as it's been beloved by customers, the checked bag policy also had a helped the airline turn planes around faster."", '""The reason isn\'t because it\'s kinder to customers.', 'It\'s because it\'s a fast turnaround airline,"" she said. ""', 'If I charge for bags, you will be more likely to carry more luggage on board.', 'And when you carry more luggage on board, I lose my fast turnaround advantage.', '""Southwest is confident that it\'s prepared for an increase in gate-checked bags and onboard luggage.', '""We have a series of work streams that are underway with our with our current operations, to make this not impact our turn times,"" COO Andrew Watterson said in an interview.', 'Time will tell how it shakes out.', 'For now, we have the $1.50 Costco hot dogs.']",0.1903498908221562,"There will be exceptions: Customers who have a SouthwestAirlinesco-branded credit card can get one bag for free, and customersin its top tiers of service (read: pricier tickets) or its top-tier loyalty program members will get one to two free checked bags.","""I just fear the cost is being underestimated,"" she said. """,0.1440805991490682,"Southwest's customer-friendly policies have survived recessions, oil price spikes and even the Covid-19 pandemic, winning it years of goodwill and a loyal following, even as it has grown.",It has also slashed unprofitable flying.,2025-03-19
-Airline CEOs warn domestic travel demand is slowing,https://www.cnbc.com/2025/03/11/airline-ceo-domestic-travel-demand.html,2025-03-11T20:10:58+0000,"In this articleAirlines are cutting their first-quarter profit and sales estimates, warning that a weaker economic backdrop is weighing on travel demand.Ahead of a JPMorgan industry conference, American Airlines on Tuesday said it expects to lose between 60 cents a share and 80 cents a share in the first three months of the year, a wider loss than the 20 cents to 40 cents a share it previously forecast. It said revenue would likely be flat on the year compared with a January estimate of a rise of as much as 5%.American said in a securities filing that ""the revenue environment has been weaker than initially expected due to the impact of Flight 5342 and softness in the domestic leisure segment, primarily in March,"" referring to the deadly collision of one of its regional jets and an Army helicopter in Washington, D.C., in January.The forecast followed Delta Air Lines slashing its first-quarter estimates after the market closed Monday. Delta said its outlook was ""impacted by the recent reduction in consumer and corporate confidence caused by increased macro uncertainty, driving softness in Domestic demand.""In addition to leisure travel, carriers have said also noted a sharp decline in government travel since the start of the latest Trump administration and its policies like tariffs, government layoffs and other cost cuts.""I think people are cautious and they're pulling back a little bit on travel, not in an organized manner but just kind of waiting to see what's going to transpire, whether it's trade and tariff challenges or macroeconomic policy changes or just a little bit of the unsettledness of the market that we all see,"" CEO Ed Bastian said at the JPMorgan conference.United Airlines CEO Scott Kirby echoed that sentiment at the same conference.""We have also seen weakness in the demand market,"" Kirby said. Government travel is about 2% of United's business, but other workers' travel is also affected, like consultants and contractors, which account for another 2% to 3%.""We've seen some bleed over to that into the domestic leisure market,"" Kirby said.One cost-saving measure: Kirby said United is retiring 21 aircraft early, airplanes that it would otherwise have to spend $100 million on to overhaul engines this year.Both executives were more upbeat on longer-term trends and bright spots like long-haul international and premium travel demand.Delta shares ended the day more than 7% lower. United shed 2% and American shares fell more than 8%.Southwest Airlines also cut its unit revenue guidance, to up no more than 4%, down from a forecast of as much as 7% for the first quarter over last year. The carrier also announced on Tuesday an end to its ""two bags fly free"" policy to charge customers for checked luggage for the first time, starting in May. Its shares rose more than 8%.JetBlue Airways shares ended 4% higher.",CNBC,11/03/2025,"['In this articleAirlines are cutting their first-quarter profit and sales estimates, warning that a weaker economic backdrop is weighing on travel demand.', 'Ahead of a JPMorgan industry conference, American Airlines on Tuesday said it expects to lose between 60 cents a share and 80 cents a share in the first three months of the year, a wider loss than the 20 cents to 40 cents a share it previously forecast.', 'It said revenue would likely be flat on the year compared with a January estimate of a rise of as much as 5%.American said in a securities filing that ""the revenue environment has been weaker than initially expected due to the impact of Flight 5342 and softness in the domestic leisure segment, primarily in March,"" referring to the deadly collision of one of its regional jets and an Army helicopter in Washington, D.C., in January.', 'The forecast followed Delta Air Lines slashing its first-quarter estimates after the market closed Monday.', 'Delta said its outlook was ""impacted by the recent reduction in consumer and corporate confidence caused by increased macro uncertainty, driving softness in Domestic demand.', '""In addition to leisure travel, carriers have said also noted a sharp decline in government travel since the start of the latest Trump administration and its policies like tariffs, government layoffs and other cost cuts.', '""I think people are cautious and they\'re pulling back a little bit on travel, not in an organized manner but just kind of waiting to see what\'s going to transpire, whether it\'s trade and tariff challenges or macroeconomic policy changes or just a little bit of the unsettledness of the market that we all see,"" CEO Ed Bastian said at the JPMorgan conference.', 'United Airlines CEO Scott Kirby echoed that sentiment at the same conference.', '""We have also seen weakness in the demand market,"" Kirby said.', 'Government travel is about 2% of United\'s business, but other workers\' travel is also affected, like consultants and contractors, which account for another 2% to 3%.""We\'ve seen some bleed over to that into the domestic leisure market,"" Kirby said.', 'One cost-saving measure: Kirby said United is retiring 21 aircraft early, airplanes that it would otherwise have to spend $100 million on to overhaul engines this year.', 'Both executives were more upbeat on longer-term trends and bright spots like long-haul international and premium travel demand.', 'Delta shares ended the day more than 7% lower.', 'United shed 2% and American shares fell more than 8%.Southwest Airlines also cut its unit revenue guidance, to up no more than 4%, down from a forecast of as much as 7% for the first quarter over last year.', 'The carrier also announced on Tuesday an end to its ""two bags fly free"" policy to charge customers for checked luggage for the first time, starting in May.', 'Its shares rose more than 8%.JetBlue Airways shares ended 4% higher.']",0.1657399893064658,"""I think people are cautious and they're pulling back a little bit on travel, not in an organized manner but just kind of waiting to see what's going to transpire, whether it's trade and tariff challenges or macroeconomic policy changes or just a little bit of the unsettledness of the market that we all see,"" CEO Ed Bastian said at the JPMorgan conference.","In this articleAirlines are cutting their first-quarter profit and sales estimates, warning that a weaker economic backdrop is weighing on travel demand.",-0.5685901045799255,Both executives were more upbeat on longer-term trends and bright spots like long-haul international and premium travel demand.,"United shed 2% and American shares fell more than 8%.Southwest Airlines also cut its unit revenue guidance, to up no more than 4%, down from a forecast of as much as 7% for the first quarter over last year.",2025-03-19
-"Southwest Airlines as we know it is over. Here's what's changing, from bag fees to basic economy",https://www.cnbc.com/2025/03/11/southwest-airlines-bag-fees-to-basic-economy-what-to-know.html,2025-03-12T11:12:29+0000,"In this articleSouthwest Airlines announced Tuesday what was once unthinkable: It will start charging customers to check their luggage.It's a $300 million gamble. Last year, Southwest said its ""rigorous research"" found it would lose that much in market share if it started charging bag fees. The policy has set Southwest apart from its competitors for decades.Getting rid of its famous ""two bags fly free"" strategy is part of a massive push at the carrier to ditch its long-standing customer perks and policies. Southwest also announced last year that it's moving from open seating to a single-class cabin in order to raise revenue. Another change announced Tuesday: basic economy tickets that don't allow free changes.Here's what travelers need to know about the new policies:Travelers who buy any ticket except Southwest's top-level Business Select fare will have to pay fees to check bags. Customers who purchase a Business Select ticket will be able to check two bags for free.Top-tier A-List Preferred frequent flyer program members will also get two checked bags for free. A-List level members will be able to check one bag for free, as will those with a Southwest credit card.Southwest didn't disclose how much it will cost to check a bag, but fees start at $35 apiece on competitors Delta, United and American.The new checked baggage fees go into effect for tickets purchased on or after May 28.Carry-on bag policies haven't changed, even for basic economy tickets.All tickets will include a free carry-on bag, even for the new basic economy tickets.Southwest told employees on Tuesday, just after the announcement, that customers will ""undoubtedly carry on more luggage than before"" so it's taking a few steps to try to keep things moving.Gate agents will get mobile bag-tag printers ""reducing the need for string bag tags"" and the company will design new carry-on size guides so customers can see if their luggage fits as a carry on, according to a staff memo from Justin Jones, EVP of operations, and Adam Decaire, senior vice president of network planning, a copy of which was seen by CNBC.The airline also plans to speed up retrofits of its Boeing 737-800s and Max aircraft to include larger overhead bins.Possibly. In airport lobbies, Southwest said it could redistribute staff to handle changing customer needs with the new bag rules. It will also equip staff there with mobile printers.""With an additional step for Customers to pay for bags at the ticket counter or kiosks, we have to plan for longer transaction and queue times, even if fewer Customers are checking their bags altogether,"" the executives wrote.Southwest has been under increasing pressure to raise revenue and improve returns after activist hedge fund Elliott Investment Management took a stake in the airline last year and pushed for changes to the carrier's business model.Southwest executives have long told Wall Street investors and customers that its ""two bags fly free"" policy is sacrosanct, something that sets it apart from competitors.At an investor day in September, the carrier said it would make up to about $1.5 billion if it charged for bags but lose $1.8 billion in market share from the policy change.Lots! Southwest is going to launch a basic economy fare that is not refundable and doesn't allow for changes. It won't allow for same-day standby tickets.Flight credits for those ""basic"" tickets, if unused, will expire in six months while credits for other flights will expire in 12 months. Previously, Southwest credits didn't expire.The carrier last year said it plans to start selling tickets with assigned seats, ending its decades-old open-seating policy. It will also soon offer seats with extra legroom, a bid to compete with more full-service airlines.Southwest Airlines CEO Bob Jordan said Tuesday that the carrier's executive team thinks the policy changes will drive sign-ups for its co-branded credit card.He said the new channels the airline is selling tickets through, like Expedia, will help the carrier.Southwest passengers will earn Rapid Rewards frequent flyer miles based on how much they pay for their ticket. Redemption rates will depend on demand for the flight, a similar model to what other carriers have.",CNBC,12/03/2025,"['In this articleSouthwest Airlines announced Tuesday what was once unthinkable: It will start charging customers to check their luggage.', ""It's a $300 million gamble."", 'Last year, Southwest said its ""rigorous research"" found it would lose that much in market share if it started charging bag fees.', 'The policy has set Southwest apart from its competitors for decades.', 'Getting rid of its famous ""two bags fly free"" strategy is part of a massive push at the carrier to ditch its long-standing customer perks and policies.', ""Southwest also announced last year that it's moving from open seating to a single-class cabin in order to raise revenue."", ""Another change announced Tuesday: basic economy tickets that don't allow free changes."", ""Here's what travelers need to know about the new policies:Travelers who buy any ticket except Southwest's top-level Business Select fare will have to pay fees to check bags."", 'Customers who purchase a Business Select ticket will be able to check two bags for free.', 'Top-tier A-List Preferred frequent flyer program members will also get two checked bags for free.', 'A-List level members will be able to check one bag for free, as will those with a Southwest credit card.', ""Southwest didn't disclose how much it will cost to check a bag, but fees start at $35 apiece on competitors Delta, United and American."", ""The new checked baggage fees go into effect for tickets purchased on or after May 28.Carry-on bag policies haven't changed, even for basic economy tickets."", 'All tickets will include a free carry-on bag, even for the new basic economy tickets.', 'Southwest told employees on Tuesday, just after the announcement, that customers will ""undoubtedly carry on more luggage than before"" so it\'s taking a few steps to try to keep things moving.', 'Gate agents will get mobile bag-tag printers ""reducing the need for string bag tags"" and the company will design new carry-on size guides so customers can see if their luggage fits as a carry on, according to a staff memo from Justin Jones, EVP of operations, and Adam Decaire, senior vice president of network planning, a copy of which was seen by CNBC.The airline also plans to speed up retrofits of its Boeing 737-800s and Max aircraft to include larger overhead bins.', 'Possibly.', 'In airport lobbies, Southwest said it could redistribute staff to handle changing customer needs with the new bag rules.', 'It will also equip staff there with mobile printers.', '""With an additional step for Customers to pay for bags at the ticket counter or kiosks, we have to plan for longer transaction and queue times, even if fewer Customers are checking their bags altogether,"" the executives wrote.', ""Southwest has been under increasing pressure to raise revenue and improve returns after activist hedge fund Elliott Investment Management took a stake in the airline last year and pushed for changes to the carrier's business model."", 'Southwest executives have long told Wall Street investors and customers that its ""two bags fly free"" policy is sacrosanct, something that sets it apart from competitors.', 'At an investor day in September, the carrier said it would make up to about $1.5 billion if it charged for bags but lose $1.8 billion in market share from the policy change.', 'Lots!', ""Southwest is going to launch a basic economy fare that is not refundable and doesn't allow for changes."", ""It won't allow for same-day standby tickets."", 'Flight credits for those ""basic"" tickets, if unused, will expire in six months while credits for other flights will expire in 12 months.', ""Previously, Southwest credits didn't expire."", 'The carrier last year said it plans to start selling tickets with assigned seats, ending its decades-old open-seating policy.', 'It will also soon offer seats with extra legroom, a bid to compete with more full-service airlines.', ""Southwest Airlines CEO Bob Jordan said Tuesday that the carrier's executive team thinks the policy changes will drive sign-ups for its co-branded credit card."", 'He said the new channels the airline is selling tickets through, like Expedia, will help the carrier.', 'Southwest passengers will earn Rapid Rewards frequent flyer miles based on how much they pay for their ticket.', 'Redemption rates will depend on demand for the flight, a similar model to what other carriers have.']",0.200470337028205,"A-List level members will be able to check one bag for free, as will those with a Southwest credit card.","Last year, Southwest said its ""rigorous research"" found it would lose that much in market share if it started charging bag fees.",0.2935198810365464,Southwest has been under increasing pressure to raise revenue and improve returns after activist hedge fund Elliott Investment Management took a stake in the airline last year and pushed for changes to the carrier's business model.,"Last year, Southwest said its ""rigorous research"" found it would lose that much in market share if it started charging bag fees.",2025-03-19
-DC housing market shows signs of cracks amid mass federal layoffs,https://www.cnbc.com/2025/03/13/washington-dc-housing-market-shows-cracks-amid-federal-layoffs.html,2025-03-13T20:11:17+0000,"The supply of homes for sale across the nation always rises ahead of the busy spring market, but the Washington, D.C., metropolitan area is seeing an outsized increase, according to Realtor.com.Inventory gains in the region, which includes the District as well as Maryland and Virginia suburbs, began to accelerate in January and February, up 35.9% and 41% year over year, respectively. Inventory in the area from June to December had already been 20% to 30% higher than the previous year, but the increases accelerated even further in recent months.As of last week, active listings were up 56% compared with the same week one year ago.""The adjustment period following federal layoffs and funding cuts has likely put some Washington D.C. home searches on hold, both for those whose jobs have been directly impacted and those who may be concerned about what's ahead, and the data hints at these challenges,"" wrote Danielle Hale, chief economist for Realtor.com, in a release.For comparison, active listings nationally were up 28% last week compared with the same week in 2024, according to Realtor.com, coinciding with a decline in mortgage rates. The average rate on the popular 30-year fixed loan was around 7.25% in mid-January but fell steadily to 6.82% now, according to Mortgage News Daily.The inventory gains in the D.C. area are not all due to people putting their homes on the market. New listings rose, but by much less than overall inventory, so the increase in overall supply is a combination of new listings and slowing buyer activity.New listings were 24% higher year over year last week, contributing to the increase in for-sale inventory and dropping median days on market, Realtor.com found. New listings year to date are 11.9% above the year-ago level, but still 12.8% below where they were in 2022, according to Hale.There also may be an outsized bump in inventory due to newly built condominiums and townhomes coming on the market now. Construction in the D.C. area has been very active over the past few years. The share of new construction listings is tilted much more toward condos than it was five years ago.As for prices, the median list price in the D.C. metro area was down 1.6% year over year last week. For context, in the fourth quarter of last year, that median list price was down 1.5% annually.The median list price nationally, as of last week, was down 0.2%, though it is heavily skewed by the type of home for sale. Controlling for the size of home, the median list price per square foot increased 1.2% annually, which means there are more smaller or lower-end homes on the market compared to last year. ""While D.C. has the largest share of federal workers in the country, other highly federally employed markets could see similar shifts in the coming weeks or months,"" said Hale. ""While I expect many households will choose to stay in the area and pivot to find new job opportunities, some will likely choose to leave and retire or find a job elsewhere.""",CNBC,13/03/2025,"['The supply of homes for sale across the nation always rises ahead of the busy spring market, but the Washington, D.C., metropolitan area is seeing an outsized increase, according to Realtor.com.', 'Inventory gains in the region, which includes the District as well as Maryland and Virginia suburbs, began to accelerate in January and February, up 35.9% and 41% year over year, respectively.', 'Inventory in the area from June to December had already been 20% to 30% higher than the previous year, but the increases accelerated even further in recent months.', 'As of last week, active listings were up 56% compared with the same week one year ago.', '""The adjustment period following federal layoffs and funding cuts has likely put some Washington D.C. home searches on hold, both for those whose jobs have been directly impacted and those who may be concerned about what\'s ahead, and the data hints at these challenges,"" wrote Danielle Hale, chief economist for Realtor.com, in a release.', 'For comparison, active listings nationally were up 28% last week compared with the same week in 2024, according to Realtor.com, coinciding with a decline in mortgage rates.', 'The average rate on the popular 30-year fixed loan was around 7.25% in mid-January but fell steadily to 6.82% now, according to Mortgage News Daily.', 'The inventory gains in the D.C. area are not all due to people putting their homes on the market.', 'New listings rose, but by much less than overall inventory, so the increase in overall supply is a combination of new listings and slowing buyer activity.', 'New listings were 24% higher year over year last week, contributing to the increase in for-sale inventory and dropping median days on market, Realtor.com found.', 'New listings year to date are 11.9% above the year-ago level, but still 12.8% below where they were in 2022, according to Hale.', 'There also may be an outsized bump in inventory due to newly built condominiums and townhomes coming on the market now.', 'Construction in the D.C. area has been very active over the past few years.', 'The share of new construction listings is tilted much more toward condos than it was five years ago.', 'As for prices, the median list price in the D.C. metro area was down 1.6% year over year last week.', 'For context, in the fourth quarter of last year, that median list price was down 1.5% annually.', 'The median list price nationally, as of last week, was down 0.2%, though it is heavily skewed by the type of home for sale.', 'Controlling for the size of home, the median list price per square foot increased 1.2% annually, which means there are more smaller or lower-end homes on the market compared to last year.', '""While D.C. has the largest share of federal workers in the country, other highly federally employed markets could see similar shifts in the coming weeks or months,"" said Hale. ""', 'While I expect many households will choose to stay in the area and pivot to find new job opportunities, some will likely choose to leave and retire or find a job elsewhere.""']",0.2219384292513283,"Inventory gains in the region, which includes the District as well as Maryland and Virginia suburbs, began to accelerate in January and February, up 35.9% and 41% year over year, respectively.","""The adjustment period following federal layoffs and funding cuts has likely put some Washington D.C. home searches on hold, both for those whose jobs have been directly impacted and those who may be concerned about what's ahead, and the data hints at these challenges,"" wrote Danielle Hale, chief economist for Realtor.com, in a release.",0.2502719724879545,"For comparison, active listings nationally were up 28% last week compared with the same week in 2024, according to Realtor.com, coinciding with a decline in mortgage rates.","The average rate on the popular 30-year fixed loan was around 7.25% in mid-January but fell steadily to 6.82% now, according to Mortgage News Daily.",2025-03-19
-Boeing Starliner astronauts complete return to Earth in SpaceX capsule after extended stay on ISS,https://www.cnbc.com/2025/03/18/boeing-starliner-astronauts-butch-wilmore-suni-williams-returning-spacex-iss.html,2025-03-19T12:35:13+0000,"In this articleThe two U.S. astronauts who had been at the International Space Station for nine months after their faulty Boeing Starliner capsule returned without them are finally back on Earth.NASA astronauts Butch Wilmore and Suni Williams — as well as fellow NASA astronaut Nick Hague and Roscosmos cosmonaut Aleksandr Gorbunov — successfully splashed down in a SpaceX Dragon capsule off the coast of Tallahassee, Florida, at 5:57 p.m. ET.Splash downs, or water landings, are simpler for returning to Earth.Hague said he saw a ""capsule full of grins, ear to ear."" The astronauts will head to NASA's Johnson Space Center in Houston for several days of routine health checks before they go home.Wilmore and Williams left Earth in June on a test flight that was originally intended to last about nine days.But their stay was extended after thrusters on Boeing's Starliner capsule ""Calypso"" failed during docking, raising concerns about the ship's ability to carry them home. NASA ultimately sent the capsule back empty after it was docked for about three months at the space station, saying it wanted to ""further understand the root causes"" of the spacecraft's issues.NASA also announced that Wilmore and Williams, who are both veteran astronauts and retired Navy test pilots, would return on a SpaceX Dragon spacecraft instead. The agency adjusted its rotation of astronauts as a result, removing two people from SpaceX's Crew-9 mission — which returned to Earth Tuesday — to make room for Wilmore and Williams.That capsule carrying the two people on Crew-9 arrived at the ISS back in September. Crews rotate on the ISS, which means that each group of astronauts works until the next arrives at the space station, when a ceremonial ""handover"" occurs.NASA had originally planned for SpaceX's Crew-10 mission — which needed to arrive before the Crew-9 members could come back down — to launch in February, but it was delayed by about a month.The rocket carrying the four new crew members of Crew-10 launched on Friday evening, and its capsule docked at the space station about 29 hours later.The Starliner crew flight test was supposed to check a final box for Boeing and deliver a key asset for NASA. The agency was hoping to fulfill its dream of having two competing companies — Boeing and Elon Musk's SpaceX — flying alternating missions to the ISS.Instead, it's unclear what Boeing's future crewed space plans are. The company has lost more than $2 billion on its Starliner spacecraft.""Boeing all the way up to their new CEO Kelly [Ortberg] has been committed to Starliner,"" Steve Stich, manager of NASA's Commercial Crew Program, said in a press briefing Tuesday evening. ""I can see that in the way they're approaching the solution to their problems. … I see them being very committed.""NASA officials in the briefing reiterated that Starliner needs to undergo more testing and left the option open that its next flight could be uncrewed.Wilmore and Williams' journey became entangled in politics once President Donald Trump took office. Trump and Musk, who has become a close advisor to the president, urged a quicker Crew-10 launch and said without evidence that the two astronauts were ""stranded"" on the space station and that the Biden administration had kept them up there for political reasons. NASA had delayed the Crew-10 launch in December to allow more time to process a new Dragon capsule, but decided to use a reusable capsule to cut down on wait time.NASA's plans for returning the two astronauts have remained consistent since the agency announced them in August.During their extended stay, Wilmore and Williams became part of a normal rotation, conducting scientific experiments and routine maintenance as any other astronaut on rotation at the ISS would. Williams also conducted a spacewalk.Williams has said repeatedly that the pair doesn't feel ""abandoned"" at the ISS, but that she was looking forward to returning home to see her family and her two dogs.""It's been a roller coaster for them, probably a little bit more so than for us,"" she told reporters earlier this month.",CNBC,19/03/2025,"['In this articleThe two U.S. astronauts who had been at the International Space Station for nine months after their faulty Boeing Starliner capsule returned without them are finally back on Earth.', 'NASA astronauts Butch Wilmore and Suni Williams — as well as fellow NASA astronaut Nick Hague and Roscosmos cosmonaut Aleksandr Gorbunov — successfully splashed down in a SpaceX Dragon capsule off the coast of Tallahassee, Florida, at 5:57 p.m. ET.Splash downs, or water landings, are simpler for returning to Earth.', 'Hague said he saw a ""capsule full of grins, ear to ear.""', ""The astronauts will head to NASA's Johnson Space Center in Houston for several days of routine health checks before they go home."", 'Wilmore and Williams left Earth in June on a test flight that was originally intended to last about nine days.', 'But their stay was extended after thrusters on Boeing\'s Starliner capsule ""Calypso""failed during docking, raising concerns about the ship\'s ability to carry them home.', 'NASA ultimately sent the capsule back empty after it was docked for about three months at the space station, saying it wanted to ""further understand the root causes"" of the spacecraft\'s issues.', 'NASA also announced that Wilmore and Williams, who are both veteran astronauts and retired Navy test pilots, would return on a SpaceX Dragon spacecraft instead.', ""The agency adjusted its rotation of astronauts as a result, removing two people from SpaceX's Crew-9 mission — which returned to Earth Tuesday — to make room for Wilmore and Williams."", 'That capsule carrying the two people on Crew-9 arrived at the ISS back in September.', 'Crews rotate on the ISS, which means that each group of astronauts works until the next arrives at the space station, when a ceremonial ""handover"" occurs.', ""NASA had originally planned for SpaceX's Crew-10 mission — which needed to arrive before the Crew-9 members could come back down — to launch in February, but it was delayed by about a month."", 'The rocket carrying the four new crew members of Crew-10 launched on Friday evening, and its capsule docked at the space station about 29 hours later.', 'The Starliner crew flight test was supposed to check a final box for Boeing and deliver a key asset for NASA.', ""The agency was hoping to fulfill its dream of having two competing companies — Boeing andElon Musk's SpaceX — flying alternating missions to the ISS.Instead, it's unclear what Boeing's future crewed space plans are."", 'The company has lost more than $2 billion on its Starliner spacecraft.', '""Boeing all the way up to their new CEO Kelly [Ortberg] has been committed to Starliner,"" Steve Stich, manager of NASA\'s Commercial Crew Program, said in a press briefing Tuesday evening. ""', ""I can see that in the way they're approaching the solution to their problems. …"", 'I see them being very committed.', '""NASA officials in the briefing reiterated that Starliner needs to undergo more testing and left the option open that its next flight could be uncrewed.', ""Wilmore and Williams' journey became entangled in politics once President Donald Trump took office."", 'Trump and Musk, who has become a close advisor to the president, urged a quicker Crew-10 launch and said without evidence that the two astronauts were ""stranded"" on the space station and that the Biden administration had kept them up there for political reasons.', 'NASA had delayed the Crew-10 launch in December to allow more time to process a new Dragon capsule, but decided to use a reusable capsule to cut down on wait time.', ""NASA's plans for returning the two astronauts have remained consistent since the agency announced them in August."", 'During their extended stay, Wilmore and Williams became part of a normal rotation, conducting scientific experiments and routine maintenance as any other astronaut on rotation at the ISS would.', 'Williams also conducted a spacewalk.', 'Williams has said repeatedly that the pair doesn\'t feel ""abandoned"" at the ISS, but that she was looking forward to returning home to see her family and her two dogs.', '""It\'s been a roller coaster for them, probably a little bit more so than for us,"" she told reporters earlier this month.']",0.0429894556632367,"The agency was hoping to fulfill its dream of having two competing companies — Boeing andElon Musk's SpaceX — flying alternating missions to the ISS.Instead, it's unclear what Boeing's future crewed space plans are.","NASA had delayed the Crew-10 launch in December to allow more time to process a new Dragon capsule, but decided to use a reusable capsule to cut down on wait time.",-0.8697511355082194,,The company has lost more than $2 billion on its Starliner spacecraft.,2025-03-19
-Dollar General store review and closures dent fourth-quarter earnings,https://www.cnbc.com/2025/03/13/dollar-general-dg-q4-2024-earnings.html,2025-03-13T20:07:57+0000,"In this articleDollar General on Thursday reported fiscal fourth-quarter revenue that narrowly beat Wall Street estimates, while a store portfolio review cut into the chain's profit.As part of the reevaluation, the dollar-store chain said it will close 96 Dollar General stores and 45 Popshelf stores and will convert six other Popshelf stores into flagship banner locations in the first quarter. Popshelf stores cater to higher-income shoppers seeking inexpensive products.On the company's earnings call, CEO Todd Vasos warned consumers ""only have enough money for basic essentials"" and that the macro environment isn't likely to improve this year.Shares of the company closed up nearly 7% on Thursday.Here's how the discounter did compared with what Wall Street was expecting for the quarter ended Jan. 31, based on a survey of analysts by LSEG:Fourth-quarter revenue rose 4.5% from $9.86 billion during the same quarter in 2023. Revenue for the full year came in at $40.61 billion, up almost 5% from $38.69 billion in 2023.For fiscal 2025, the chain forecasts revenue to grow between 3.4% and 4.4%, while Wall Street was expecting annual growth of 4.1%, according to LSEG. Dollar General expects earnings per share for the year to come in between $5.10 and $5.80, slightly under the $5.85 anticipated by analysts, according to LSEG.Dollar General reported fourth-quarter net income of $191 million, or 87 cents per share, compared with net income of $402 million, or $1.83 per share, during the same quarter a year prior.The discounter said its portfolio review impacted earnings per share by 81 cents.Operating profit for the quarter fell over 49% year over year to $294 million. The company attributed $232 million in charges to the store closures from the portfolio review as well as Popshelf impairment charges.""As we look to build on the substantial progress we made on our Back to Basics work in fiscal 2024, we believe this review was appropriate to further strengthen the foundation of our business,"" said Vasos in a news release. ""While the number of closings represents less than one percent of our overall store base, we believe this decision better positions us to serve our customers and communities.""Same-store sales, which Dollar General defines as revenue from stores open for at least 13 months, grew 1.2% year over year for the quarter. They're expected to grow 1.2% to 2.2% for the coming fiscal year, the company said.Dollar General announced in December that it was testing same-day delivery for customers. As inflation takes a toll on lower-income consumers, dollar stores like Dollar General and Dollar Tree have faced increased competition from retailers like Walmart with greater e-commerce presences.In January, Dollar General said it would begin selling about 100 new private-brand products, most of which will fall under its Clover Valley label and includes items such as honey mustard and cinnamon rolls, in the first quarter.",CNBC,13/03/2025,"[""In this articleDollar General on Thursday reported fiscal fourth-quarter revenue that narrowly beat Wall Street estimates, while a store portfolio review cut into the chain's profit."", 'As part of the reevaluation, the dollar-store chain said it will close 96Dollar Generalstores and 45 Popshelf stores and will convert six other Popshelf stores into flagship banner locations in the first quarter.', 'Popshelf stores cater to higher-income shoppers seeking inexpensive products.', 'On the company\'s earnings call, CEO Todd Vasos warned consumers ""only have enough money for basic essentials"" and that the macro environment isn\'t likely to improve this year.', 'Shares of the company closed up nearly 7% on Thursday.', ""Here's how the discounter did compared with what Wall Street was expecting for the quarter ended Jan. 31, based on a survey of analysts by LSEG:Fourth-quarter revenue rose 4.5% from $9.86 billion during the same quarter in 2023."", 'Revenue for the full year came in at $40.61 billion, up almost 5% from $38.69 billion in 2023.For fiscal 2025, the chain forecasts revenue to grow between 3.4% and 4.4%, while Wall Street was expecting annual growth of 4.1%, according to LSEG.', 'Dollar General expects earnings per share for the year to come in between $5.10 and $5.80, slightly under the $5.85 anticipated by analysts, according to LSEG.Dollar General reported fourth-quarter net income of $191 million, or 87 cents per share, compared with net income of $402 million, or $1.83 per share, during the same quarter a year prior.', 'The discounter said its portfolio review impacted earnings per share by 81 cents.', 'Operating profit for the quarter fell over 49% year over year to $294 million.', 'The company attributed $232 million in charges to the store closures from the portfolio review as well as Popshelf impairment charges.', '""As we look to build on the substantial progress we made on our Back to Basics work in fiscal 2024, we believe this review was appropriate to further strengthen the foundation of our business,"" saidVasos in a news release. ""', 'While the number of closings represents less than one percent of our overall store base, we believe this decision better positions us to serve our customers and communities.', '""Same-store sales, which Dollar General defines as revenue from stores open for at least 13 months, grew 1.2% year over year for the quarter.', ""They're expected to grow 1.2% to 2.2% for the coming fiscal year, the company said."", 'Dollar General announced in December that it was testing same-day delivery for customers.', 'As inflation takes a toll on lower-income consumers, dollar stores like Dollar General and Dollar Tree have faced increased competition from retailers like Walmart with greater e-commerce presences.', 'In January, Dollar General said it would begin selling about 100 new private-brand products, most of which will fall under its Clover Valley label and includes items such as honey mustard and cinnamon rolls, in the first quarter.']",0.2379552392793426,"As inflation takes a toll on lower-income consumers, dollar stores like Dollar General and Dollar Tree have faced increased competition from retailers like Walmart with greater e-commerce presences.",The company attributed $232 million in charges to the store closures from the portfolio review as well as Popshelf impairment charges.,0.0338358084360758,"Revenue for the full year came in at $40.61 billion, up almost 5% from $38.69 billion in 2023.For fiscal 2025, the chain forecasts revenue to grow between 3.4% and 4.4%, while Wall Street was expecting annual growth of 4.1%, according to LSEG.",Operating profit for the quarter fell over 49% year over year to $294 million.,2025-03-19
-How new professional sports leagues like SailGP are putting women at the fore,https://www.cnbc.com/2025/03/19/sailgp-professional-sports-leagues-put-women-at-fore.html,2025-03-19T14:55:46+0000,"As women's sports surge in popularity, professional leagues are increasingly touting the value of female athletes. New professional leagues like SailGP are launching with the advantage of building from the ground up, with gender diversity as part of their DNA.Noncontact and noncollision sports are leading the way. Formula 1's F1 Academy has created a pipeline for women into motorsports, with a goal of increasing female participation and representation on and off the racetrack. At the same time, it's drawing a more diverse fanbase. Roughly 41% of F1 fans now are female, with women aged 16 to 24 years old making up the fastest-growing fan group, according to Nielsen Sports.Professional male and female athletes are already competing alongside and against each other in the United Pickleball Association's unified league, the Global Mixed Gender Basketball league and in SailGP, the international sailing league co-founded by Oracle founder Larry Ellison and champion yachtsman Russell Coutts. Founded in 2018, the upstart sailing league involves 12 international teams racing on high-speed, 50-foot Catamarans, known as F50s. At speeds of more than 60 mph, SailGP is gaining a reputation as a sort of Formula 1 on the water.""The whole goal is to train athletes to be capable of racing on an F50, which is one of the more complex boats in the world – maybe the most difficult boat to race in the world right now,"" said Coutts, who is also SailGP's chief executive officer. The league didn't set out with gender equity goals in mind, Coutts said, but simply sought to create the most compelling competition.  ""We believe that male and female athletes can compete at the top of our sport against each other and with each other, so when we we saw that there was a difference in participation levels – and didn't really see any logical reason for that – we took some steps to address that and we'll take further steps in the future,"" said Coutts. To bridge the experience gap most female sailors face, SailGP created programs to draw and train talent. In December, its Women's Performance Camp in Dubai, United Arab Emirates, marked its largest on-the-water women's athlete training camp to date. The league also requires each team to have at least one female athlete onboard during races and has set targets to have at least two female athletes per race crew in key positions within the next five years. Those key positions are the driver, who steers the boat; the strategist, who advises on tactics; the wing trimmer, who adjusts the 85- to 90-foot carbon-fiber wing sail; and the flight controller, who dictates how high or low the boat flies over the water.The next SailGP races take place Saturday and Sunday in San Francisco, the second in back-to-back U.S. weekend races. SailGP has embedded inclusivity and sustainability into the competition via an Impact League that runs parallel to the on-the-water championship. Teams earn points for taking action to make sailing more accessible and to protect the environment in order to reach the podium. Winning teams earn cash prize donations to their partners. The Canadian team is in the lead in the Impact League thanks to its work to offer training opportunities, sailing camps and demo days to introduce foiling to new Canadian athletes.""That changes the mindframe of very competitive people to care, and to compete, in a world of impact and sustainability as well,"" said SailGP Chief Marketing Officer Leah Davis. ""When you challenge the world's most competitive people to be good at something else, they will turn their eyes to that pretty quickly, and in a pretty impactful way.""Off the water, 43% of SailGP's C-suite is female, up from just 14% in 2021. For comparison, 29% of C-suite roles at Fortune 500 companies are held by women, according to McKinsey's Women in the Workplace 2024 report. The league last year introduced Apex Group's accelerator program, aimed at increasing female representation at senior levels of the company. It has also introduced initiatives to train more women on the operations, technology and boat-building side of the business. For example, SailGP Technologies based in Southampton, U.K., offers an apprenticeship training scheme – eight participants join the program each year, four male and four female. Today, 33% of directors at SailGP and 52% of heads of departments are female.The overall business strategy is helping to grow the league's appeal to a new set of fans. For the first time in its history, more than half of the ticket holders in attendance at last season's New Zealand Championships in March were female, a trend that has held steady this season.""This demographic has been underserved in sports,"" said SailGP Chief Purpose Officer Fiona Morgan. ""A huge part of our headroom in fans is young fans – and actually they're female fans – who probably didn't think about sailing, but they like extreme sports or sustainability, or they like sports that have gender equity at the heart.""In June, Tommy Hilfiger was announced as the United States SailGP team's official lifestyle apparel partner, joining brands such as Red Bull, Emirates, Mubadala, Rockwool and Deutsche Bank in sponsoring individual teams. In November, SailGP announced it had signed Rolex as its first title sponsor.""I don't think many brands nowadays will go into sponsorship that doesn't have diversity or equity at some point in it,"" said Morgan. ""Their consumers and their investors will ensure they do that."" In September, the league achieved a major milestone, announcing its first female driver. Two-time Olympic sailing champion Martine Grael joined for the 2024-25 season to skipper the new Mubadala Brazil SailGP Team, making history and immediately climbing the leaderboard. After championships in Dubai, Auckland, New Zealand, Sydney and Los Angeles, teams from the UK, Australia and New Zealand are leading the league. Grael has steered her team ahead of the Germany SailGP team, and is proving competitive against the more experienced United States team.""In the past — and still nowadays — you see a lot of people say, 'Girls shouldn't do that,'"" Grael said. Her response is to call out that old way of thinking: ""Shouldn't do what?""Grael credits much of her early success to familiarizing herself with the boats using SailGP's simulator, developing muscle memory before even getting on the water. Unlike traditional boats built with male sailors in mind, SailGP's modern foiling boats open opportunities for women in roles that do not require as much physical strength, she said. Knowing when to push a button and developing a good feel for the boat are equally important to the more physical functions, said Grael. ""Some guys have failed to understand that a girl is very much capable of doing the same role they're doing,"" she said.Grael is among a number of top female athletes competing in key positions in SailGP – including Emirates Great Britain Team's strategist Hannah Mills and the U.S. team's Anna Weis – and says though women are still in the minority, things are changing.Together with women competing in marquee races – like Switzerland's Justine Mettraux, who took eighth place in the Vendée Globe single-handed, nonstop, nonassisted round-the-world race this year – they are carving a path for a new cohort of women to gain opportunities and make their mark.""We have been less limited — I grew up never being told I shouldn't do something,"" said Grael. ""There's a big generation of others looking at us, and they're going to come out strong.""Correction: This story has been updated to correct that SailGP teams from the UK, Australia and New Zealand are leading the league. It's also been updated to correct the name of SailGP's Women's Performance Camp.",CNBC,19/03/2025,"[""As women's sports surge in popularity, professional leagues are increasingly touting the value of female athletes."", 'New professional leagues like SailGP are launching with the advantage of building from the ground up, with gender diversity as part of their DNA.Noncontact and noncollision sports are leading the way.', ""Formula 1's F1 Academy has created a pipeline for women into motorsports, with a goal of increasing female participation and representation on and off the racetrack."", ""At the same time, it's drawing a more diverse fanbase."", 'Roughly 41% of F1 fans now are female, with women aged 16 to 24 years old making up the fastest-growing fan group, according to Nielsen Sports.', ""Professional male and female athletes are already competing alongside and against each other in the United Pickleball Association's unified league, the Global Mixed Gender Basketball league and in SailGP, the international sailing league co-founded by Oracle founder Larry Ellison and champion yachtsman Russell Coutts."", 'Founded in 2018, the upstart sailing league involves 12 international teams racing on high-speed, 50-foot Catamarans, known as F50s.', 'At speeds of more than 60 mph, SailGP is gaining a reputation as a sort of Formula 1 on the water.', '""The whole goal is to train athletes to be capable of racing on an F50, which is one of the more complex boats in the world – maybe the most difficult boat to race in the world right now,"" said Coutts, who is also SailGP\'s chief executive officer.', ""The league didn't set out with gender equity goals in mind, Coutts said, but simply sought to create the most compelling competition."", '""We believe that male and female athletes can compete at the top of our sport against each other and with each other, so when we we saw that there was a difference in participation levels – and didn\'t really see any logical reason for that – we took some steps to address that and we\'ll take further steps in the future,"" said Coutts.', 'To bridge the experience gap most female sailors face, SailGP created programs to draw and train talent.', ""In December, its Women's Performance Camp in Dubai, United Arab Emirates, marked its largest on-the-water women's athlete training camp to date."", 'The league also requires each team to have at least one female athlete onboard during races and has set targets to have at least two female athletes per race crew in key positions within the next five years.', 'Those key positions are the driver, who steers the boat; the strategist, who advises on tactics; the wing trimmer, who adjusts the 85- to 90-foot carbon-fiber wing sail; and the flight controller, who dictates how high or low the boat flies over the water.', 'The next SailGP races take place Saturday and Sunday in San Francisco, the second in back-to-back U.S. weekend races.', 'SailGP has embedded inclusivity and sustainability into the competition via an Impact League that runs parallel to the on-the-water championship.', 'Teams earn points for taking action to make sailing more accessible and to protect the environment in order to reach the podium.', 'Winning teams earn cash prize donations to their partners.', 'The Canadian team is in the lead in the Impact League thanks to its work to offer training opportunities, sailing camps and demo days to introduce foiling to new Canadian athletes.', '""That changes the mindframe of very competitive people to care, and to compete, in a world of impact and sustainability as well,"" said SailGP Chief Marketing Officer Leah Davis. ""', ""When you challenge the world's most competitive people to be good at something else, they will turn their eyes to that pretty quickly, and in a pretty impactful way."", '""Off the water, 43% of SailGP\'s C-suite is female, up from just 14% in 2021.', ""For comparison, 29% of C-suite roles at Fortune 500 companies are held by women, according to McKinsey's Women in the Workplace 2024 report."", ""The league last year introduced Apex Group's accelerator program, aimed at increasing female representation at senior levels of the company."", 'It has also introduced initiatives to train more women on the operations, technology and boat-building side of the business.', 'For example, SailGP Technologies based in Southampton, U.K., offers an apprenticeship training scheme – eight participants join the program each year, four male and four female.', 'Today, 33% of directors at SailGP and 52% of heads of departments are female.', ""The overall business strategy is helping to grow the league's appeal to a new set of fans."", ""For the first time in its history, more than half of the ticket holders in attendance at last season's New Zealand Championships in March were female, a trend that has held steady this season."", '""This demographic has been underserved in sports,"" said SailGP Chief Purpose Officer Fiona Morgan. ""', ""A huge part of our headroom in fans is young fans – and actually they're female fans – who probably didn't think about sailing, but they like extreme sports or sustainability, or they like sports that have gender equity at the heart."", '""In June, Tommy Hilfiger was announced as the United States SailGP team\'s official lifestyle apparel partner, joining brands such as Red Bull, Emirates, Mubadala, Rockwool and Deutsche Bank in sponsoring individual teams.', 'In November, SailGP announced it had signed Rolex as its first title sponsor.', '""I don\'t think many brands nowadays will go into sponsorship that doesn\'t have diversity or equity at some point in it,"" said Morgan. ""', 'Their consumers and their investors will ensure they do that.', '""In September, the league achieved a major milestone, announcing its first female driver.', 'Two-time Olympic sailing champion Martine Grael joined for the 2024-25 season to skipper the new Mubadala Brazil SailGP Team, making history and immediately climbing the leaderboard.', 'After championships in Dubai, Auckland, New Zealand, Sydney and Los Angeles, teams from the UK, Australia and New Zealand are leading the league.', 'Grael has steered her team ahead of the Germany SailGP team, and is proving competitive against the more experienced United States team.', '""In the past — and still nowadays — you see a lot of people say, \'Girls shouldn\'t do that,\'"" Grael said.', 'Her response is to call out that old way of thinking: ""Shouldn\'t do what?""Grael credits much of her early success to familiarizing herself with the boats using SailGP\'s simulator, developing muscle memory before even getting on the water.', ""Unlike traditional boats built with male sailors in mind, SailGP's modern foiling boats open opportunities for women in roles that do not require as much physical strength, she said."", 'Knowing when to push a button and developing a good feel for the boat are equally important to the more physical functions, said Grael.', '""Some guys have failed to understand that a girl is very much capable of doing the same role they\'re doing,"" she said.', ""Grael is among a number of top female athletes competing in key positions in SailGP – including Emirates Great Britain Team's strategist Hannah Mills and the U.S. team's Anna Weis – and says though women are still in the minority, things are changing."", ""Together with women competing in marquee races – like Switzerland's Justine Mettraux, who took eighth place in the Vendée Globe single-handed, nonstop, nonassisted round-the-world race this year – they are carving a path for a new cohort of women to gain opportunities and make their mark."", '""We have been less limited — I grew up never being told I shouldn\'t do something,"" said Grael. ""', ""There's a big generation of others looking at us, and they're going to come out strong."", '""Correction: This story has been updated to correct that SailGP teams from the UK, Australia and New Zealand are leading the league.', ""It's also been updated to correct the name of SailGP's Women's Performance Camp.""]",0.3284540759668937,"When you challenge the world's most competitive people to be good at something else, they will turn their eyes to that pretty quickly, and in a pretty impactful way.","Those key positions are the driver, who steers the boat; the strategist, who advises on tactics; the wing trimmer, who adjusts the 85- to 90-foot carbon-fiber wing sail; and the flight controller, who dictates how high or low the boat flies over the water.",0.8142258775861639,"""Off the water, 43% of SailGP's C-suite is female, up from just 14% in 2021.","""This demographic has been underserved in sports,"" said SailGP Chief Purpose Officer Fiona Morgan. """,2025-03-19
-Watch NASA astronauts return to Earth on SpaceX capsule after months on the ISS,https://www.cnbc.com/2025/03/18/watch-live-astronauts-return-spacex-capsule-iss.html,2025-03-18T22:11:42+0000,"[The stream is slated to start at 4:45 p.m. ET. Please refresh the page if you do not see a player above at that time.]NASA astronauts Butch Wilmore and Suni Williams are set to splash down on Earth on Tuesday evening after spending more than nine months in space.They were originally supposed to be at the International Space Station for a little over a week, but their stay was extended after the Boeing Starliner capsule that they took in June experienced issues.Instead, Wilmore and Williams are returning on a SpaceX Dragon spacecraft with fellow NASA astronaut Nick Hague and Roscosmos cosmonaut Aleksandr Gorbunov.Subscribe to CNBC on YouTube.",CNBC,18/03/2025,"['[The stream is slated to start at 4:45 p.m. ET.', 'Please refresh the page if you do not see a player above at that time.]NASA astronauts Butch Wilmore and Suni Williams are set to splash down on Earth on Tuesday evening after spending more than nine months in space.', 'They were originally supposed to be at the International Space Station for a little over a week, but their stay was extended after the Boeing Starliner capsule that they took in June experienced issues.', 'Instead, Wilmore and Williams are returning on aSpaceX Dragon spacecraftwith fellow NASA astronaut Nick Hague and Roscosmos cosmonaut Aleksandr Gorbunov.', 'Subscribe to CNBC on YouTube.']",0.0636421993542483,Please refresh the page if you do not see a player above at that time.]NASA astronauts Butch Wilmore and Suni Williams are set to splash down on Earth on Tuesday evening after spending more than nine months in space.,,,,,2025-03-19
-"Southwest Airlines will charge to check bags for the first time, launch basic economy tickets",https://www.cnbc.com/2025/03/11/southwest-airlines-charge-checked-bags.html,2025-03-11T20:08:25+0000,"In this articleIt's happening: Southwest Airlines will start charging passengers to check bags for the first time.It's a stunning reversal that shows the low-cost pioneer is willing to part with a customer perk executives have said set it apart from rivals for more than half a century of flying in hopes of increasing revenue.Southwest's changes come after months of pressure from activist Elliott Investment Management. The firm took a stake in the airline last year and won five board seats as it pushed for quick changes at the company, which held on for decades — until now — to perks like free checked bags, changeable tickets and open seating.For tickets purchased on or after May 28, Southwest customers in all but the top-tier fare class will have to pay to check bags, though there will be exceptions. Elite frequent flyers who hold A-List Preferred status will still get two bags, and A-List level members will get one free checked bag. Southwest credit card holders will also get one free checked bag.""Two bags fly free"" is a registered trademark on Southwest's website. But its decision to about-face on what executives long cast as a sacrosanct passenger perk brings the largest U.S. domestic carrier in line with its rivals, which together generated more than $5 billion from bag fees last year, according to federal data.Southwest didn't say how much it plans to charge to check bags, but a single bag costs $35 to check on Delta, American and United.Southwest shares rose 8% Tuesday after its baggage fee announcement and investor update, while other large carriers' shares and the broader market fell.Southwest executives have long said they didn't plan to charge for bags, telling Wall Street analysts that it was a major reason why customers chose the airline.At an investor day in September, Southwest said that it would gain between $1 billion and $1.5 billion from charging for bags but lose $1.8 billion of market share. Southwest said its ""rigorous research"" found that ""our 'bags fly free' policy generates market share gains in excess of potential lost revenue from bag fees.""Some airline executives see an opportunity.""I think, clearly, there are some customers who [chose Southwest] because of that, and now those customers are up for grabs,"" Delta Air Lines President Glen Hauenstein said at an investor conference on Tuesday, after Southwest's announcement. ""We'll see how that plays out over the next period of time as they continue to implement multiple changes to their products.""United Airlines CEO Scott Kirby, speaking at the same conference, likened Southwest's baggage policy change to ""the slaying of a sacred cow"" and said lower-paying customers will be most affected.""I view it as a big deal because it's more — it feels more financially driven — a results-driven airline than it's ever been before,"" he said.Southwest CEO Bob Jordan had cited the company's long-standing bag policy in an earnings call last July.""After fare and schedule, bags fly free is cited as the No. 1 issue in terms of why customers choose Southwest,"" Jordan said.But Southwest has changed its tune.""What's changed is that we've come to realize that we need more revenue to cover our costs,"" COO Andrew Watterson said in an interview with CNBC about the baggage fee changes. ""We think that these changes that we're announcing today will lead to less of that share shift than would have been the case otherwise.""Jordan said Tuesday that the new baggage policy will likely help drive sign-ups for its co-branded credit card and that it made sense because of its commercial reach, listing its tickets through outside platforms like Google Flights and Expedia.""In contrast to our previous analysis, actual customer booking behavior through our new booking channels such as metasearch, did not show that we are getting the same benefit from our bundled offering with free bags, which has led us to update the assumptions,"" he said.Jordan said the carrier has new executives with ""direct experience implementing bag fees at multiple airlines and that's also helped further validate the new assumptions.""Southwest said the changes it announced Tuesday will add $800 million in earnings before interest and taxes this year and $1.7 billion in 2026, bringing 2026 total increases, including other initiatives, to $4.3 billion, up from a $2.6 billion target it shared at its investor day in September.During those presentations in September, Southwest's then chief transformation officer, Ryan Green, told analysts that an analysis showed Southwest would lose more money from passengers defecting to rivals if it started charging for bags than it would make from the fees.""The fact that free bags is a key driver of choice creates the risk that customers may choose the competition if we change the policy,"" he said.Southwest said last month that it had parted ways with Green.The airline also said Tuesday that it will launch a new, basic economy fare, something rivals have offered for years.Southwest, in addition, will change the way customers earn Rapid Rewards: Customers will earn more of the frequent flyer miles depending on how much they pay. Redemption rates will vary depending on flight demand, a dynamic pricing model competitors use.And flight credits for tickets purchased on or after May 28 will expire in one year, or earlier, depending on the type of fare purchased.It's the latest in a string of massive strategy changes at Southwest as its performance has fallen behind rivals.Last July, Southwest shocked passengers when it announced it would ditch its open seating model for assigned seats and add ""premium"" extra legroom options, ending decades of an single-class cabin.The airline is also looking to slash its costs. Higher expenses coming out of the pandemic have taken a bite out of airline margins.Last month, Southwest announced its first mass layoff, cutting about 1,750 jobs roughly 15% of its corporate staff, many of them at its headquarters, a decision CEO Jordan called ""unprecedented"" in the carrier's more than 53 years of flying.""We are at a pivotal moment as we transform Southwest Airlines into a leaner, faster, and more agile organization,"" he said last month.Earlier this year, Southwest announced the retirement of its longtime finance chief, Tammy Romo, who was replaced by Breeze executive Tom Doxey, and its chief administrative officer, Linda Rutherford. Both executives worked at Southwest for more than 30 years.Southwest has also cut unprofitable routes, summer internships and employee team-building events its held for decades.",CNBC,11/03/2025,"[""In this articleIt's happening: Southwest Airlines will start charging passengers to check bags for the first time."", ""It's a stunning reversal that shows the low-cost pioneer is willing to part with a customer perk executives have said set it apart from rivals for more than half a century of flying in hopes of increasing revenue."", ""Southwest's changes come after months of pressure from activist Elliott Investment Management."", 'The firm took a stake in the airline last year and won five board seats as it pushed for quick changes at the company, which held on for decades — until now — to perks like free checked bags, changeable tickets and open seating.', 'For tickets purchased on or after May 28, Southwest customers in all but the top-tier fare class will have to pay to check bags, though there will be exceptions.', 'Elite frequent flyers who hold A-List Preferred status will still get two bags, and A-List level members will get one free checked bag.', 'Southwest credit card holders will also get one free checked bag.', '""Two bags fly free"" is a registered trademark on Southwest\'s website.', 'But its decision to about-face on what executives long cast as a sacrosanct passenger perk brings the largest U.S. domestic carrier in line with its rivals, which together generated more than $5 billion from bag fees last year, according to federal data.', ""Southwest didn't say how much it plans to charge to check bags, but a single bag costs $35 to check on Delta, American and United."", ""Southwest shares rose 8% Tuesday after its baggage fee announcement and investor update, while other large carriers' shares and the broader market fell."", ""Southwest executives have long said they didn't plan to charge for bags, telling Wall Street analysts that it was a major reason why customers chose the airline."", 'At an investor day in September, Southwest said that it would gain between $1 billion and $1.5 billion from charging for bags but lose $1.8 billion of market share.', 'Southwest said its ""rigorous research"" found that ""our \'bags fly free\' policy generates market share gains in excess of potential lost revenue from bag fees.', '""Some airline executives see an opportunity.', '""I think, clearly, there are some customers who [chose Southwest] because of that, and now those customers are up for grabs,"" Delta Air Lines President Glen Hauenstein said at an investor conference on Tuesday, after Southwest\'s announcement. ""', ""We'll see how that plays out over the next period of time as they continue to implement multiple changes to their products."", '""United Airlines CEO Scott Kirby, speaking at the same conference, likened Southwest\'s baggage policy change to ""the slaying of a sacred cow"" and said lower-paying customers will be most affected.', '""I view it as a big deal because it\'s more — it feels more financially driven — a results-driven airline than it\'s ever been before,"" he said.', ""Southwest CEO Bob Jordan had cited the company's long-standing bag policy in an earnings call last July."", '""After fare and schedule, bags fly free is cited as the No.', '1 issue in terms of why customers choose Southwest,"" Jordan said.', 'But Southwest has changed its tune.', '""What\'s changed is that we\'ve come to realize that we need more revenue to cover our costs,"" COO Andrew Watterson said in an interview with CNBC about the baggage fee changes. ""', ""We think that these changes that we're announcing today will lead to less of that share shift than would have been the case otherwise."", '""Jordan said Tuesday that the new baggage policy will likely help drive sign-ups for its co-branded credit card and that it made sense because of its commercial reach, listing its tickets through outside platforms like Google Flights and Expedia.', '""In contrast to our previous analysis, actual customer booking behavior through our new booking channels such as metasearch, did not show that we are getting the same benefit from our bundled offering with free bags, which has led us to update the assumptions,"" he said.', 'Jordan said the carrier has new executives with ""direct experience implementing bag fees at multiple airlinesand that\'s also helped further validate the new assumptions.', '""Southwest said the changes it announced Tuesday will add $800 million in earnings before interest and taxes this year and $1.7 billion in 2026, bringing 2026 total increases, including other initiatives, to $4.3 billion, up from a $2.6 billion target it shared at its investor day in September.', ""During those presentations in September, Southwest's then chief transformation officer, Ryan Green, told analysts that an analysis showed Southwest would lose more money from passengers defecting to rivals if it started charging for bags than it would make from the fees."", '""The fact that free bags is a key driver of choice creates the risk that customers may choose the competition if we change the policy,"" he said.', 'Southwest said last month that it had parted ways with Green.', 'The airline also said Tuesday that it will launch a new, basic economy fare, somethingrivalshave offered for years.', 'Southwest, in addition, will change the way customers earn Rapid Rewards: Customers will earn more of the frequent flyer miles depending on how much they pay.', 'Redemption rates will vary depending on flight demand, a dynamic pricing model competitors use.', 'And flight credits for tickets purchased on or after May 28 will expire in one year, or earlier, depending on the type of fare purchased.', ""It's the latest in a string of massive strategy changes at Southwest as its performance has fallen behind rivals."", 'Last July, Southwest shocked passengers when it announced it would ditch its open seating model for assigned seats and add ""premium"" extra legroom options, ending decades of an single-class cabin.', 'The airline is also looking to slash its costs.', 'Higher expenses coming out of the pandemic have taken a bite out of airline margins.', 'Last month, Southwest announced its first mass layoff, cutting about 1,750 jobs roughly 15% of its corporate staff, many of them at its headquarters, a decision CEO Jordan called ""unprecedented"" in the carrier\'s more than 53 years of flying.', '""We are at a pivotal moment as we transform Southwest Airlines into a leaner, faster, and more agile organization,"" he said last month.', 'Earlier this year, Southwest announced the retirement of its longtime finance chief, Tammy Romo, who was replaced by Breeze executive Tom Doxey, and its chief administrative officer, Linda Rutherford.', 'Both executives worked at Southwest for more than 30 years.', 'Southwest has also cut unprofitable routes, summer internships and employee team-building events its held for decades.']",0.1842474383288667,"The firm took a stake in the airline last year and won five board seats as it pushed for quick changes at the company, which held on for decades — until now — to perks like free checked bags, changeable tickets and open seating.","During those presentations in September, Southwest's then chief transformation officer, Ryan Green, told analysts that an analysis showed Southwest would lose more money from passengers defecting to rivals if it started charging for bags than it would make from the fees.",0.3572239518165588,"Southwest said its ""rigorous research"" found that ""our 'bags fly free' policy generates market share gains in excess of potential lost revenue from bag fees.",It's the latest in a string of massive strategy changes at Southwest as its performance has fallen behind rivals.,2025-03-19
-"Nvidia, GM announce deal for AI, factories and next-gen vehicles",https://www.cnbc.com/2025/03/18/nvidia-gm-deals-ai-factories-vehicles.html,2025-03-19T13:00:17+0000,"In this articleGeneral Motors and Nvidia have agreed to a strategic collaboration that includes the automaker using several products and artificial intelligence services from the tech giant for its next-generation vehicles, advanced driver-assistance systems and factories.The companies on Tuesday announced that the new initiatives include building custom artificial intelligence systems using Nvidia compute platforms, including ""Omniverse with Cosmos,"" for optimizing GM's factory planning and robotics.The Detroit automaker also said it will use ""Nvidia Drive AGX"" for ""in-vehicle hardware for future advanced driver-assistance systems and in-cabin enhanced safety driving experiences.""GM declined to disclose a cost for the new tools with Nvidia. The tech company has been attempting to diversify its automotive business, which has notably included substantial work in data centers and GPUs.""The era of physical AI is here, and together with GM, we're transforming transportation, from vehicles to the factories where they're made,"" Jensen Huang, Nvidia founder and CEO, said in a release. ""We are thrilled to partner with GM to build AI systems tailored to their vision, craft and know-how.""GM has been using Nvidia graphics processing units, or GPUs, for training AI models across various areas of its business, including simulation and validation. The new business expands to in-vehicle hardware, automotive plant design and operations, the companies said.The automaker also had been testing Nvidia's Omniverse since at least 2022. Some of GM's testing was in designing a ""digital twin,"" or replica, of its new design center and processes to assist virtual vehicle development. It also acted as a single digital environment for employees to work and collaborate in, according to a video last year featuring GM for Nvidia's GTC developer conference in 2023.Nvidia anticipated it would strike a deal with GM mid-last year for Omniverse, according to an internal company email viewed by CNBC. At that time, two sources with GM signaled the automaker wasn't sure Nvidia's software and GPUs were worth the high cost compared with other companies.It wasn't immediately clear what sealed the deal for GM. But since that time, both companies have experienced increased competition from China and uncertain regulatory changes such as tariffs. GM's stock is off roughly 8% during in 2025, while Nvidia is off about 12% this year.""AI not only optimizes manufacturing processes and accelerates virtual testing but also helps us build smarter vehicles while empowering our workforce to focus on craftsmanship,"" GM CEO Mary Barra said in Nvidia's release. ""By merging technology with human ingenuity, we unlock new levels of innovation in vehicle manufacturing and beyond.""The companies announced the new initiatives in connection with Nvidia's GTC AI conference this week in California.Nvidia describes Omniverse as a platform for ""developing and deploying physically based industrial digitalization applications."" It's essentially connecting a physical environment with a digital, or software, world to optimize processes using a ""digital twin"" of a physical environment such as a GM design facility or plant.Users of Nvidia's Omniverse have included BMW, Amazon Robotics and Samsung, Rev Lebaredian, Nvidia vice president of Omniverse and simulation technology, said during a media briefing a year ago. He said the company was licensing Omniverse for $4,500 per GPU, per year.It's unclear how many GPUs GM will need. But given the amount of robotics, sensors and other systems needed to operate a modern assembly plant, it would likely be quite a bit.More than 20 other automakers have used Nvidia's ""system on a chip"" hardware in the central computing units of their smart vehicles, including Mercedes Benz, Volvo, Audi, Volkswagen and BYD, according to an industry equity research note from Jeffries in November 2023.In recent years, Nvidia has seen soaring demand for its GPUs, which are used for everything from bitcoin mining to AI inference and training.",CNBC,19/03/2025,"['In this articleGeneral Motors and Nvidia have agreed to a strategic collaboration that includes the automaker using several products and artificial intelligence services from the tech giant for its next-generation vehicles, advanced driver-assistance systems and factories.', 'The companies on Tuesday announced that the new initiatives include building custom artificial intelligence systems using Nvidia compute platforms, including ""Omniverse with Cosmos,"" for optimizing GM\'s factory planning and robotics.', 'The Detroit automaker also said it will use ""Nvidia Drive AGX"" for ""in-vehicle hardware for future advanced driver-assistance systems and in-cabin enhanced safety driving experiences.', '""GM declined to disclose a cost for the new tools with Nvidia.', 'The tech company has been attempting to diversify its automotive business, which has notably included substantial work in data centers and GPUs.', '""The era of physical AI is here, and together with GM, we\'re transforming transportation, from vehicles to the factories where they\'re made,"" Jensen Huang, Nvidia founder and CEO, said in a release. ""', 'We are thrilled to partner with GM to build AI systems tailored to their vision, craft and know-how.', '""GM has been using Nvidia graphics processing units, or GPUs, for training AI models across various areas of its business, including simulation and validation.', 'The new business expands to in-vehicle hardware, automotive plant design and operations, the companies said.', ""The automaker also had been testing Nvidia's Omniverse since at least 2022."", 'Some of GM\'s testing was in designing a ""digital twin,"" or replica, of its new design center and processes to assist virtual vehicle development.', ""It also acted as a single digital environment for employees to work and collaborate in, according to a video last year featuring GM for Nvidia's GTC developer conference in 2023.Nvidia anticipated it would strike a deal with GM mid-last year for Omniverse, according to an internal company email viewed by CNBC."", ""At that time, two sources with GM signaled the automaker wasn't sure Nvidia's software and GPUs were worth the high cost compared with other companies."", ""It wasn't immediately clear what sealed the deal for GM."", 'But since that time, both companies have experienced increased competition from China and uncertain regulatory changes such as tariffs.', ""GM's stock is off roughly 8% during in 2025, while Nvidia is off about 12% this year."", '""AI not only optimizes manufacturing processes and accelerates virtual testing but also helps us build smarter vehicles while empowering our workforce to focus on craftsmanship,"" GM CEO Mary Barra said in Nvidia\'s release. ""', 'By merging technology with human ingenuity, we unlock new levels of innovation in vehicle manufacturing and beyond.', '""The companies announced the new initiatives in connection with Nvidia\'s GTC AI conference this week in California.', 'Nvidia describes Omniverse as a platform for ""developing and deploying physically based industrial digitalization applications.""', 'It\'s essentially connecting a physical environment with a digital, or software, world to optimize processes using a ""digital twin"" of a physical environment such as a GM design facility or plant.', ""Users of Nvidia's Omniverse have included BMW, Amazon Robotics and Samsung, Rev Lebaredian, Nvidia vice president of Omniverse and simulation technology, said during a media briefing a year ago."", 'He said the company was licensing Omniverse for $4,500 per GPU, per year.', ""It's unclear how many GPUs GM will need."", 'But given the amount of robotics, sensors and other systems needed to operate a modern assembly plant, it would likely be quite a bit.', 'More than20other automakers have used Nvidia\'s ""system on a chip"" hardware in the central computing units of their smart vehicles, including Mercedes Benz, Volvo, Audi, Volkswagen and BYD, according to an industry equity research note from Jeffries in November 2023.In recent years, Nvidia has seen soaring demand for its GPUs, which are used for everything from bitcoin mining to AI inference and training.']",0.2128805987264246,"""AI not only optimizes manufacturing processes and accelerates virtual testing but also helps us build smarter vehicles while empowering our workforce to focus on craftsmanship,"" GM CEO Mary Barra said in Nvidia's release. """,It's unclear how many GPUs GM will need.,0.3955838620662689,"""AI not only optimizes manufacturing processes and accelerates virtual testing but also helps us build smarter vehicles while empowering our workforce to focus on craftsmanship,"" GM CEO Mary Barra said in Nvidia's release. ""","GM's stock is off roughly 8% during in 2025, while Nvidia is off about 12% this year.",2025-03-19
-"Klarna, nearing IPO, plucks lucrative Walmart fintech partnership from rival Affirm",https://www.cnbc.com/2025/03/17/walmart-klarna-nearing-ipo-wins-fintech-partnership-from-affirm.html,2025-03-17T21:14:32+0000,"In this articleSwedish fintech firm Klarna will be the exclusive provider of buy now, pay later loans for Walmart, taking a coveted partnership away from rival Affirm, CNBC has learned.Klarna, which just disclosed its intention to go public in the U.S., will provide loans to Walmart customers in stores and online through the retailer's majority-owned fintech startup OnePay, according to people with knowledge of the situation who declined to be identified speaking about the partnership.OnePay, which updated its brand name from One this month, will handle the user experience via its app, while Klarna will make underwriting decisions for loans ranging from three months to 36 months in length, and with annual interest rates from 10% to 36%, said the people.The new product will be launched in the coming weeks and will be scaled to all Walmart channels by the holiday season, likely leaving it the retailer's only buy now, pay later option by year-end.The move heightens the rivalry between Affirm and Klarna, two of the world's biggest BNPL players, just as Klarna is set to go public. Although both companies claim to offer a better alternative for borrowers than credit cards, Affirm is more U.S.-centric and has been public since 2021, while Klarna's network is more global.Shares of Affirm dropped 4.2% Monday after falling as much as 14% earlier in the session.The deal comes at an opportune time for Klarna as it readies one of the year's most highly anticipated initial public offerings. After a dearth of big tech listings in the U.S. since 2021, the Klarna IPO will be a key test for the industry. The firm's private market valuation has been a roller coaster: It soared to $46 billion in 2021, then crashed by 85% the next year amid the broader decline of high-flying fintech firms.CEO Sebastian Siemiatkowski has worked to improve Klarna's prospects, including touting its use of generative artificial intelligence to slash expenses and headcount. The company returned to profitability in 2023, and its valuation is now roughly $15 billion, according to analysts, nearly matching the public market value of Affirm.The OnePay deal is a ""game changer"" for Klarna, Siemiatkowski said in a release confirming the pact.""Millions of people in the U.S. shop at Walmart every day — and now they can shop smarter with OnePay installment loans powered by Klarna,"" he said. ""We look forward to helping redefine checkout at the world's largest retailer — both online and in stores.""As part of the deal, OnePay can take a position in Klarna. In its F-1 filing, Klarna said it entered into a ""commercial agreement with a global partner"" in which it is giving warrants to purchase more than 15 million shares for an average price of $34 each. OnePay is the partner, people with knowledge of the deal confirmed.For Affirm, the move is likely to be seen as a blow at a time when tech stocks are particularly vulnerable. Run by CEO Max Levchin, a PayPal co-founder, the company's stock has surged and fallen since its 2021 IPO. The lender's shares have dipped 18% this year before Monday.Affirm executives frequently mention their partnerships with big merchants as a key driver of purchase volumes and customer acquisition. In November, Affirm's chief revenue officer, Wayne Pommen, referred to Walmart and other tie-ups including those with Amazon, Shopify and Target as its ""crown jewel partnerships.""An Affirm spokesman had this statement: ""We win business when merchants want superior performance and maximum value, given our underwriting and capital markets advantages. We will continue our long-term strategy of competing on our products and entering into sustainable partnerships.""The deal is no less consequential to Walmart's OnePay, which has surged to a $2.5 billion pre-money valuation just two years after rolling out a suite of products to its customers.The startup now has more than 3 million active customers and is generating revenue at an annual run rate of more than $200 million.As part of its push to penetrate areas adjacent to its core business, Walmart executives have touted OnePay's potential to become a one-stop shop for Americans underserved by traditional banks.Walmart is the world's largest retailer and says it has 255 million weekly customers, giving the startup — which is a separate company backed by Walmart and Ribbit Capital — a key advantage in acquiring new customers.Last year, the Walmart-backed fintech began offering BNPL loans in the aisles and on checkout pages of Walmart, CNBC reported at the time. That led to speculation that it would ultimately displace Affirm, which had been the exclusive provider for BNPL loans for Walmart since 2019.OnePay's move to partner with Klarna rather than going it alone shows the company saw an advantage in going with a seasoned, at-scale provider versus using its own solution.OnePay's push into consumer lending is expected to accelerate its conversion of Walmart customers into fintech app users. Cash-strapped consumers are increasingly relying on loans to meet their needs, and the installment loan is seen as a wedge to also offer users the banking, savings and payments features that OnePay has already built.Americans held a record $1.21 trillion in credit card debt in the fourth quarter of last year, about $441 billion higher than balances in 2021, according to Federal Reserve Bank of New York data.""It's never been more important to give consumers simple and convenient ways to access fair credit at the point of sale,"" said OnePay CEO Omer Ismail. ""That's especially true for the millions of people who turn to Walmart every week for everything.""Next up is likely a OnePay-branded credit card offered with the help of a new banking partner after Walmart successfully exited its partnership with Capital One.""We're looking forward to going down this new path where not only can they provide installment credit ... but also revolving credit,"" Walmart CFO John David Rainey told investors in June.— CNBC's MacKenzie Sigalos and Melissa Repko contributed to this report.",CNBC,17/03/2025,"['In this articleSwedish fintech firm Klarna will be the exclusive provider of buy now, pay later loans for Walmart, taking a coveted partnership away from rival Affirm, CNBC has learned.', ""Klarna, which just disclosed its intention to go public in the U.S., will provide loans to Walmart customers in stores and online through the retailer's majority-owned fintech startup OnePay, according to people with knowledge of the situation who declined to be identified speaking about the partnership."", 'OnePay, which updated its brand name from One this month, will handle the user experience via its app, while Klarna will make underwriting decisions for loans ranging from three months to 36 months in length, and with annual interest rates from 10% to 36%, said the people.', ""The new product will be launched in the coming weeks and will be scaled to all Walmart channels by the holiday season, likely leaving it the retailer's only buy now, pay later option by year-end."", ""The move heightens the rivalry between Affirm and Klarna, two of the world's biggest BNPL players, just as Klarna is set to go public."", ""Although both companies claim to offer a better alternative for borrowers than credit cards, Affirm is more U.S.-centric and has been public since 2021, while Klarna's network is more global."", 'Shares of Affirm dropped 4.2% Monday after falling as much as 14% earlier in the session.', ""The deal comes at an opportune time for Klarna as it readies one of the year's most highly anticipated initial public offerings."", 'After a dearth of big tech listings in the U.S. since 2021, the Klarna IPO will be a key test for the industry.', ""The firm's private market valuation has been a roller coaster: It soared to $46 billion in 2021, then crashed by 85% the next year amid the broader decline of high-flying fintech firms."", ""CEO Sebastian Siemiatkowski has worked to improve Klarna's prospects, including touting its use of generative artificial intelligence to slash expenses and headcount."", 'The company returned to profitability in 2023, and its valuation is now roughly $15 billion, according to analysts, nearly matching the public market value of Affirm.', 'The OnePay deal is a ""game changer"" for Klarna, Siemiatkowski said in a release confirming the pact.', '""Millions of people in the U.S. shop at Walmart every day — and now they can shop smarter with OnePay installment loans powered by Klarna,"" he said. ""', ""We look forward to helping redefine checkout at the world's largest retailer — both online and in stores."", '""As part of the deal, OnePay can take a position in Klarna.', 'In its F-1 filing, Klarna said it entered into a ""commercial agreement with a global partner"" in which it is giving warrants to purchase more than 15 million shares for an average price of $34 each.', 'OnePay is the partner, people with knowledge of the deal confirmed.', 'For Affirm, the move is likely to be seen as a blow at a time when tech stocks are particularly vulnerable.', ""Run by CEO Max Levchin, a PayPal co-founder, the company's stock has surged and fallen since its 2021 IPO."", ""The lender's shares have dipped 18% this year before Monday."", 'Affirm executives frequently mention their partnerships with big merchants as a key driver of purchase volumes and customer acquisition.', 'In November, Affirm\'s chief revenue officer, Wayne Pommen, referred to Walmart and other tie-ups including those with Amazon, Shopify and Target as its ""crown jewel partnerships.', '""An Affirm spokesman had this statement: ""We win business when merchants want superior performance and maximum value, given our underwriting and capital markets advantages.', 'We will continue our long-term strategy of competing on our products and entering into sustainable partnerships.', '""The deal is no less consequential to Walmart\'s OnePay, which has surged to a $2.5 billion pre-money valuation just two years after rolling out a suite of products to its customers.', 'The startup now has more than 3 million active customers and is generating revenue at an annual run rate of more than $200 million.', ""As part of its push to penetrate areas adjacent to its core business, Walmart executives have touted OnePay's potential to become a one-stop shop for Americans underserved by traditional banks."", ""Walmart is the world's largest retailer and says it has 255 million weekly customers, giving the startup — which is a separate company backed by Walmart and Ribbit Capital — a key advantage in acquiring new customers."", 'Last year, the Walmart-backed fintech began offering BNPL loans in the aisles and on checkout pages of Walmart, CNBC reported at the time.', ""That led to speculation that it would ultimately displace Affirm, which had been the exclusive provider for BNPL loans for Walmart since 2019.OnePay's move to partner with Klarna rather than going it alone shows the company saw an advantage in going with a seasoned, at-scale provider versus using its own solution."", ""OnePay's push into consumer lending is expected to accelerate its conversion of Walmart customers into fintech app users."", 'Cash-strapped consumers are increasingly relying on loans to meet their needs, and the installment loan is seen as a wedge to also offer users the banking, savings and payments features that OnePay has already built.', 'Americans held a record $1.21 trillion in credit card debt in the fourth quarter of lastyear, about $441 billion higher than balances in 2021, according to Federal Reserve Bank of New York data.', '""It\'s never been more important to give consumers simple and convenient ways to access fair credit at the point of sale,"" said OnePay CEO Omer Ismail. ""', ""That's especially true for the millions of people who turn to Walmart every week for everything."", '""Next up is likely a OnePay-branded credit card offered with the help of a new banking partner after Walmart successfully exited its partnership with Capital One.', '""We\'re looking forward to going down this new path where not only can they provide installment credit ... but also revolving credit,"" Walmart CFO John David Rainey told investors in June.—', ""CNBC's MacKenzie Sigalos and Melissa Repko contributed to this report.""]",0.2201782648605297,"""An Affirm spokesman had this statement: ""We win business when merchants want superior performance and maximum value, given our underwriting and capital markets advantages.","After a dearth of big tech listings in the U.S. since 2021, the Klarna IPO will be a key test for the industry.",0.250191193819046,"""The deal is no less consequential to Walmart's OnePay, which has surged to a $2.5 billion pre-money valuation just two years after rolling out a suite of products to its customers.",The lender's shares have dipped 18% this year before Monday.,2025-03-19
-Dick's Sporting Goods is latest retailer to forecast rocky 2025 as recession fears swirl,https://www.cnbc.com/2025/03/11/dicks-sporting-goods-dks-earnings-q4-2024.html,2025-03-11T14:18:47+0000,"In this articleDick's Sporting Goods on Tuesday said it's expecting 2025 profits to be far lower than Wall Street anticipated, making it the latest retailer to forecast a rocky year ahead as consumers contend with tariffs, inflation and fears around a potential recession. In an interview with CNBC, Executive Chairman Ed Stack said the company's exposure to China, Mexico and Canada for sourcing is very small, but it recognizes that falling consumer confidence could impact spending.""I do think it's just a bit of an uncertain world out there right now,"" said Stack. ""What's going to happen from a tariff standpoint? You know, if tariffs are put in place and prices rise the way that they might, what's going to happen with the consumer?""On a call with analysts, CEO Lauren Hobart insisted the company is not seeing a weak consumer, and said its guidance is based on the overall uncertain environment.""We definitely are feeling great about our consumer,"" said Hobart. ""We are just reflecting an appropriate level of caution given so much uncertainty out in the marketplace.""Shares of the company opened about 2% lower.Despite the weak guidance, the sporting goods retailer posted its best holiday quarter on record. Its comparable sales rose 6.4%, far ahead of the 2.9% growth that analysts expected, according to StreetAccount. Here's how Dick's did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $300 million, or $3.62 per share, compared with $296 million, or $3.57 per share, a year earlier.  Sales rose to $3.89 billion, up about 0.5% from $3.88 billion a year earlier. Like other retailers, Dick's benefited from an extra week in the year-ago period, which has skewed comparisons. But unlike many of its peers, Dick's still managed to grow both sales and profits during the quarter, even with one less selling week. In the year ahead, Dick's is expecting earnings per share to be between $13.80 and $14.40, well short of Wall Street estimates of $14.86, according to LSEG. It anticipates net sales will be between $13.6 billion and $13.9 billion, which at the high end is in line with estimates of $13.9 billion, according to LSEG. Dick's expecting comparable sales to grow between 1% and 3%, compared with estimates of up 2.5%, according to StreetAccount. The gloomy earnings outlook comes after a wide array of other retailers gave weak forecasts for the current quarter or the year ahead amid concerns about sliding consumer confidence and the impact tariffs and inflation could have on spending. Kohl's also offered a weak outlook for the year ahead on Tuesday, leading its shares to plummet 15%.Some retailers blamed an unseasonably cool February for a weak start to the current quarter, but most recognized they're also operating in a tough macroeconomic backdrop, and it's harder than ever to forecast how consumers are holding up. In February, consumer confidence slid to its lowest levels since 2021, the jobs report came in weaker than expected and unemployment ticked up. Over the last few years, a strong job market has led many economists to brush away concerns about rising credit card delinquencies and debt, but those cracks could grow deeper if unemployment continues to rise. On Monday, some of those concerns triggered a stock market sell-off, extending losses after the S&P 500 posted three consecutive negative weeks. The Nasdaq Composite saw its worst day since September 2022, while the Dow lost nearly 900 points and closed below its 200-day moving average for the first time since Nov. 1, 2023.Beyond the uncertain macroeconomic environment, Dick's plans to invest more heavily in its ""House of Sport"" concept and e-commerce in the year ahead, which it also expects will weigh on profits. The massive, 100,000-square-foot stores are a growth area for the company and include features like rock climbing walls and running tracks. In the year ahead, Dick's plans to spend $1 billion on a net basis building 16 additional House of Sport locations and 18 Field House locations, which take some of the experimental elements of the House of Sport but fit it into the size of a traditional Dick's store. The strategy comes at a strong point for sports in the country, which is expected to be a tail wind for the business. The 2026 World Cup will be held in North America, women's sports are more popular than ever, and consumers are increasingly focused on health and wellness. ""We're going to have a moment here in the next three or four years, from a sports standpoint, that I think is going to put sport on steroids,"" said Stack. ""We're going into a sports moment right now, and we are investing very heavily into that sports moment over the next several years because this is going to last through [2030] and maybe beyond.""— Additional reporting by CNBC's Courtney Reagan.",CNBC,11/03/2025,"[""In this articleDick's Sporting Goods on Tuesday said it's expecting 2025 profits to be far lower than Wall Street anticipated, making it the latest retailer to forecast a rocky year ahead as consumers contend with tariffs, inflation and fears around a potential recession."", ""In an interview with CNBC, Executive Chairman Ed Stack said the company's exposure to China, Mexico and Canada for sourcing is very small, but it recognizes that falling consumer confidence could impact spending."", '""I do think it\'s just a bit of an uncertain world out there right now,"" said Stack. ""', ""What's going to happen from a tariff standpoint?"", 'You know, if tariffs are put in place and prices rise the way that they might, what\'s going to happen with the consumer?""On a call with analysts, CEO Lauren Hobart insisted the company is not seeing a weak consumer, and said its guidance is based on the overall uncertain environment.', '""We definitely are feeling great about our consumer,"" said Hobart. ""', 'We are just reflecting an appropriate level of caution given so much uncertainty out in the marketplace.', '""Shares of the company opened about 2% lower.', 'Despite the weak guidance, the sporting goods retailer posted its best holiday quarter on record.', 'Its comparable sales rose 6.4%, far ahead of the 2.9% growth that analysts expected, according to StreetAccount.', ""Here's how Dick's did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $300 million, or $3.62 per share, compared with $296 million, or $3.57 per share, a year earlier."", 'Sales rose to $3.89 billion, up about 0.5% from $3.88 billion a year earlier.', ""Like other retailers, Dick's benefited from an extra week in the year-ago period, which has skewed comparisons."", ""But unlike many of its peers, Dick's still managed to grow both sales and profits during the quarter, even with one less selling week."", ""In the year ahead, Dick's is expecting earnings per share to be between $13.80 and $14.40, well short of Wall Street estimates of $14.86, according to LSEG."", 'It anticipates net sales will be between $13.6 billion and $13.9 billion, which at the high end is in line with estimates of $13.9 billion, according to LSEG.', ""Dick's expecting comparable sales to grow between 1% and 3%, compared with estimates of up 2.5%, according to StreetAccount."", 'The gloomy earnings outlook comes after a wide array of other retailers gave weak forecasts for the current quarter or the year ahead amid concerns about sliding consumer confidence and the impact tariffs and inflation could have on spending.', ""Kohl's also offered a weak outlook for the year ahead on Tuesday, leading its shares to plummet 15%.Some retailers blamed an unseasonably cool February for a weak start to the current quarter, but most recognized they're also operating in a tough macroeconomic backdrop, and it's harder than ever to forecast how consumers are holding up."", 'In February, consumer confidence slid to its lowest levels since 2021, the jobs report came in weaker than expected and unemployment ticked up.', 'Over the last few years, a strong job market has led many economists to brush away concerns about rising credit card delinquencies and debt, but those cracks could grow deeper if unemployment continues to rise.', 'On Monday, some of those concerns triggered a stock market sell-off, extending losses after theS&P 500posted three consecutive negative weeks.', 'TheNasdaq Compositesaw its worst day since September 2022, while theDow lost nearly 900 points and closed below its 200-day moving average for the first time since Nov. 1, 2023.Beyond the uncertain macroeconomic environment, Dick\'s plans to invest more heavily in its ""House of Sport"" concept and e-commerce in the year ahead, which it also expects will weigh on profits.', 'The massive, 100,000-square-foot stores are a growth area for the company and include features like rock climbing walls and running tracks.', ""In the year ahead, Dick's plans to spend $1 billion on a net basis building 16 additional House of Sport locations and 18 Field House locations, which take some of the experimental elements of the House of Sport but fit it into the size of a traditional Dick's store."", 'The strategy comes at a strong point for sports in the country, which is expected to be a tail wind for the business.', ""The 2026 World Cup will be held in North America, women's sports are more popular than ever, and consumers are increasingly focused on health and wellness."", '""We\'re going to have a moment here in the next three or four years, from a sports standpoint, that I think is going to put sport on steroids,"" said Stack. ""', 'We\'re going into a sports moment right now, and we are investing very heavily into that sports moment over the next several years because this is going to last through [2030] and maybe beyond.""—', ""Additional reporting by CNBC's Courtney Reagan.""]",-0.0458609676023459,"Despite the weak guidance, the sporting goods retailer posted its best holiday quarter on record.","TheNasdaq Compositesaw its worst day since September 2022, while theDow lost nearly 900 points and closed below its 200-day moving average for the first time since Nov. 1, 2023.Beyond the uncertain macroeconomic environment, Dick's plans to invest more heavily in its ""House of Sport"" concept and e-commerce in the year ahead, which it also expects will weigh on profits.",0.0043099576776677,"Its comparable sales rose 6.4%, far ahead of the 2.9% growth that analysts expected, according to StreetAccount.","Kohl's also offered a weak outlook for the year ahead on Tuesday, leading its shares to plummet 15%.Some retailers blamed an unseasonably cool February for a weak start to the current quarter, but most recognized they're also operating in a tough macroeconomic backdrop, and it's harder than ever to forecast how consumers are holding up.",2025-03-19
-Frontier Airlines offers free checked bags promotion in swipe at Southwest,https://www.cnbc.com/2025/03/18/frontier-airlines-free-checked-bags-promo-southwest.html,2025-03-18T17:13:26+0000,"In this articleFrontier Airlines took a swipe at Southwest Airlines' plan to start charging for seat assignments and checked luggage by doing the opposite.Budget carrier Frontier said customers can receive a bundle that includes a seat assignment and a carry-on bag without an upcharge if they book Tuesday through March 24 for travel through Aug. 18. The promotion applies for nonstop trips booked on Frontier's website or app.For flights departing May 28 through Aug. 18, Frontier said it would include a free checked bag, if booked with promo code FREEBAG.The change comes a week after Southwest shocked customers by announcing, starting May 28, it will get rid of its long-standing policy of allowing customers to check two bags for free. Southwest was an outlier with that policy among airlines, and executives there had repeatedly said they didn't plan to change it.""We've always had heart,"" CEO Barry Biffle said in a news release, an apparent swipe at its rival. Southwest, whose home airport is Dallas Love Field, has a love-and-hearts motif as part of its branding and its stock ticker is LUV. ""Some airlines are walking away from what travelers love, but we're running towards it. Think of this as the ultimate 'divorce old airline' deal. If travelers show us the love, we'll make these perks permanent.""Frontier and fellow discount airline Spirit Airlines have been offering fare bundles and easing some of their stricter policies, like on change fees, to attract more customers. Meanwhile, larger carriers like Delta, American, United and most recently, Southwest, have been adopting a la carte fees and no-frills ticket options that the budget carriers have long offered.Southwest brushed off Frontier's latest promotion and highlighted its larger network.""You don't need a promo code to avoid change fees, cancellation fees, view in-flight entertainment or bring along two carry-on items on Southwest,"" Southwest said in a statement. ""We look forward to serving the new Customers attracted to fare above all else, as well as rewarding our most-loyal Customers in our unmatched network connecting more than 850 nonstop city pairs at 117 airports across the United States and 10 international countries.""As part of the changes unveiled last week, Southwest also said it would launch basic economy tickets that don't allow for changes.Last week, executives at United, Delta and Spirit said Southwest's policy changes could be good for their carriers. Airlines are also grappling with a recent drop in domestic travel demand that has weighed on first-quarter estimates.",CNBC,18/03/2025,"[""In this articleFrontier Airlines took a swipe at Southwest Airlines' plan to start charging for seat assignments and checked luggage by doing the opposite."", ""Budget carrier Frontier said customerscan receive a bundle that includes a seat assignment and a carry-on bag without an upcharge if they book Tuesday through March 24 for travel through Aug. 18.The promotion applies for nonstop trips booked on Frontier's website or app."", 'For flights departing May 28 through Aug. 18, Frontier said it would include a free checked bag, if booked with promo code FREEBAG.The change comes a week after Southwest shocked customers by announcing, starting May 28, it will get rid of its long-standing policy of allowing customers to check two bags for free.', ""Southwest was an outlier with that policy among airlines, and executives there had repeatedly said they didn't plan to change it."", '""We\'ve always had heart,"" CEO Barry Biffle said in a news release, an apparent swipe at its rival.', 'Southwest, whose home airport is Dallas Love Field, has a love-and-hearts motif as part of its branding and its stock ticker is LUV. ""', ""Some airlines are walking away from what travelers love, but we're running towards it."", ""Think of this as the ultimate 'divorce old airline' deal."", ""If travelers show us the love, we'll make these perks permanent."", '""Frontier and fellow discount airline Spirit Airlines have been offering fare bundles and easing some of their stricter policies, like on change fees, to attract more customers.', 'Meanwhile, larger carriers like Delta, American, United and most recently, Southwest, have been adopting a la carte fees and no-frills ticket options that the budget carriers have long offered.', ""Southwest brushed off Frontier's latest promotion and highlighted its larger network."", '""You don\'t need a promo code to avoid change fees, cancellation fees, view in-flight entertainment or bring along two carry-on items on Southwest,"" Southwest said in a statement. ""', 'We look forward to serving the new Customers attracted to fare above all else, as well as rewarding our most-loyal Customers in our unmatched network connecting more than 850 nonstop city pairs at 117 airports across the United States and 10 international countries.', '""As part of the changes unveiled last week, Southwest also said it would launch basic economy tickets that don\'t allow for changes.', ""Last week, executives at United, Delta and Spirit said Southwest's policy changes could be good for their carriers."", 'Airlines are also grappling with a recent drop in domestic travel demand that has weighed on first-quarter estimates.']",0.3200498443656357,"We look forward to serving the new Customers attracted to fare above all else, as well as rewarding our most-loyal Customers in our unmatched network connecting more than 850 nonstop city pairs at 117 airports across the United States and 10 international countries.",Airlines are also grappling with a recent drop in domestic travel demand that has weighed on first-quarter estimates.,0.4998854845762253,"Last week, executives at United, Delta and Spirit said Southwest's policy changes could be good for their carriers.",Airlines are also grappling with a recent drop in domestic travel demand that has weighed on first-quarter estimates.,2025-03-19
-PepsiCo buys prebiotic soda brand Poppi for nearly $2 billion,https://www.cnbc.com/2025/03/17/pepsico-buys-prebiotic-soda-brand-poppi-for-more-than-1point6-billion.html,2025-03-17T18:22:35+0000,"In this articlePepsiCo said Monday that it is buying prebiotic soda brand Poppi for nearly $2 billion.While soda consumption has broadly fallen over the past two decades in the U.S., prebiotic sodas, fueled by industry newcomers Poppi and Olipop, have won over health-conscious consumers over the past five years.The category's growth makes it attractive for Pepsi and its rival, Coca-Cola, which recently launched its own prebiotic soda brand, Simply Pop. Pepsi had reportedly aimed to launch its own functional soda under its Soulboost brand, but it canceled those plans, likely paving the way to a deal with Poppi.Pepsi said it plans to acquire the upstart Poppi for $1.95 billion. The deal includes $300 million of anticipated cash tax benefits, making the net purchase price $1.65 billion.Pepsi will also have to make additional payments if Poppi achieves certain performance milestones within a set time frame after the acquisition closes. The company did not say when the deal is expected to close, pending regulatory approval.Poppi's founders Allison and Stephen Ellsworth launched the brand back in 2018, the same year that Olipop was founded. Poppi's formula includes apple cider vinegar, prebiotics and just five grams of sugar.By 2023, Poppi's annual sales reportedly crossed $100 million.The company recently made its second straight Super Bowl appearance with an ad during the big game, demonstrating both its deep pockets and a desire to reach an even wider audience.But as Poppi's sales have grown, it has also attracted backlash for its health claims. For example, the company faced a class action lawsuit that alleged that its drinks were not as healthy as its packaging claimed. Poppi and the plaintiff moved to settle the suit on Friday for $8.9 million, according to court filings.For its part, rival Olipop was valued at $1.85 billion during its latest funding round, which was announced in February. In 2023, Olipop founder and CEO Ben Goodwin told CNBC that soda giants PepsiCo and Coca-Cola had already come knocking about a potential sale.",CNBC,17/03/2025,"['In this articlePepsiCo said Monday that it is buying prebiotic soda brand Poppi for nearly $2 billion.', 'While soda consumption has broadly fallen over the past two decades in the U.S., prebiotic sodas, fueled by industry newcomers Poppi and Olipop, have won over health-conscious consumers over the past five years.', ""The category's growth makes it attractive for Pepsi and its rival, Coca-Cola, which recently launched its own prebiotic soda brand, Simply Pop."", 'Pepsi had reportedly aimed to launch its own functional soda under its Soulboost brand, but it canceled those plans, likely paving the way to a deal with Poppi.', 'Pepsi said it plans to acquire the upstart Poppi for $1.95 billion.', 'The deal includes $300 million of anticipated cash tax benefits, making the net purchase price $1.65 billion.', 'Pepsi will also have to make additional payments if Poppi achieves certain performance milestones within a set time frame after the acquisition closes.', 'The company did not say when the deal is expected to close, pending regulatory approval.', ""Poppi's foundersAllison and Stephen Ellsworth launched the brand back in 2018, the same year that Olipop was founded."", ""Poppi's formula includes apple cider vinegar, prebiotics and just five grams of sugar."", ""By 2023, Poppi's annual sales reportedly crossed $100 million."", 'The company recently made its second straight Super Bowl appearance with an ad during the big game, demonstrating both its deep pockets and a desire to reach an even wider audience.', ""But as Poppi's sales have grown, it has also attracted backlash for its health claims."", 'For example, the company faced a class action lawsuit that alleged that its drinks were not as healthy as its packaging claimed.', 'Poppi and the plaintiff moved to settle the suit on Friday for $8.9 million, according to court filings.', 'For its part, rival Olipop was valued at $1.85 billion during its latest funding round, which was announced in February.', 'In 2023, Olipop founder and CEO Ben Goodwin told CNBC that soda giants PepsiCo and Coca-Cola had already come knocking about a potential sale.']",0.2130677468922047,"The company recently made its second straight Super Bowl appearance with an ad during the big game, demonstrating both its deep pockets and a desire to reach an even wider audience.","For example, the company faced a class action lawsuit that alleged that its drinks were not as healthy as its packaging claimed.",0.6602089703083038,"The category's growth makes it attractive for Pepsi and its rival, Coca-Cola, which recently launched its own prebiotic soda brand, Simply Pop.","For example, the company faced a class action lawsuit that alleged that its drinks were not as healthy as its packaging claimed.",2025-03-19
-"U.S. consumers are starting to crack as tariffs add to inflation, recession concerns",https://www.cnbc.com/2025/03/14/delta-walmart-warn-about-consumer-spending-amid-tariffs-inflation.html,2025-03-15T11:18:46+0000,"It's not just Walmart.The leaders of companies that serve everyone from penny-pinching grocery shoppers to first-class travelers are seeing cracks in demand, a shift after resilient consumers propped up the U.S. economy for years despite prolonged inflation. On top of high interest rates and persistent inflation, CEOs are now grappling with how to handle new hurdles like on-again, off-again tariffs, mass government layoffs and worsening consumer sentiment.Across earnings calls and investor presentations in recent weeks, retailers and other consumer-facing businesses warned that first-quarter sales were coming in softer than expected and the rest of the year might be tougher than Wall Street thought. Many of the executives blamed unseasonably cool weather and a ""dynamic"" macroeconomic environment, but the early days of President Donald Trump's second term have brought new challenges — perhaps none greater than trying to plan a global business at a time when his administration shifts its trade policies by the hour.Economists largely expect Trump's new tariffs on goods from China, Canada and Mexico will raise prices for consumers and dampen spending at a time when inflation remains higher than the Federal Reserve's target. In February, consumer confidence — which can help to signal how much shoppers are willing to shell out — saw the biggest drop since 2021. A separate consumer sentiment measure for March also came in worse than expected.Another sign of weakness has been in air travel. The sector, especially large international airlines, had been a bright spot following the pandemic, with consumers proving again and again that they wouldn't give up trips even in the face of the biggest jump inflation in more than four decades. This week, however, the CEOs of the four largest U.S. airlines — United, American, Delta and Southwest — said they are seeing a slowdown in demand this quarter. American, Delta and Southwest cut their first-quarter forecasts.Plus, the strong U.S. job market of recent years is showing early signs of stress as job growth slows and unemployment ticks up.These trends have thrown cold water on what was a red-hot stock market and sparked new fears about a potential recession, sending the S&P 500 tumbling 10% from its record highs in February, though it had recovered significant ground by Friday afternoon.Now, as investors and executives grow more worried about the impact tariffs will have on consumer spending and fret about an administration they had high hopes for just a few months ago, even the strongest companies are striking cautious tones as the weaker ones get even louder. Take Walmart, the retail industry's de facto leader, which has spent the last year turning an uncertain economy into fuel for growth as it courted higher-income consumers. When Walmart announced fiscal fourth-quarter earnings last month, its stock fell after it warned that profit growth would be slower than expected in the year ahead. It was a rare warning sign from a company that tends to thrive in a weaker economy, and an indication that it's expecting consumers to pull back from higher-margin discretionary goods in favor of essentials like milk and paper towels in the year ahead. ""We don't want to get out over our skis here. There's a lot of the year to play out,"" Walmart's finance chief, John David Rainey, told analysts when discussing the company's outlook. ""It's prudent to have an outlook that is somewhat measured.""Ed Bastian, chief executive of Delta Air Lines – the most profitable U.S. carrier that has reaped the rewards of big spenders in recent years – struck a similar tone after it slashed its earnings and revenue forecast for the first quarter. In an interview Monday on CNBC's ""Closing Bell,"" Bastian said that consumer confidence has weakened and that both leisure and business customers have pulled back on bookings, which led it to cut its guidance.""Consumers in a discretionary business do not like uncertainty,"" said Bastian. ""And while we do believe this will be a period of time that we pass through, it is also something that we need to understand and get to calmer waters.""To be sure, it wasn't just fewer people booking trips that led the airline to cut its first-quarter forecast. Questions about air safety compounded the problem after two major airline accidents, including Delta's own crash landing in Toronto, in which no one died.Beyond Delta, rival United said it will retire 21 aircraft early, a move that aims to cut costs.""We have also seen weakness in the demand market,"" United CEO Scott Kirby said at Tuesday's JPMorgan airline industry conference. ""It started with government. Government is 2% of our business. Government adjacent, all the other consultants and contracts that go along with that are probably another 2% to 3%. That's running down about 50% right now. So a pretty material impact in the short term.""The airline has seen some of that dynamic ""bleed over"" into the domestic leisure market, as well, Kirby added. He said the company is already looking at where it will cut flights, eyeing a big drop in traffic from Canada into the U.S. and in markets that were popular with government workers.American Airlines cut its first-quarter earnings forecast and said in addition to demand pressures, bookings were hurt after a deadly midair collision of an Army helicopter with one of its regional jets in Washington, D.C., in January.The company also felt the pullback in government travel and associated trips like those for contractors.""We know that there's some follow-on effect in terms of leisure travel associated with that as well,"" said CEO Robert Isom.Airline executives were upbeat about longer-term demand in 2025, however.Other strong companies, such as Dick's Sporting Goods, E.l.f. Beauty and Abercrombie & Fitch, also issued weak forecasts in recent weeks, though they indicated they were feeling positive about the second half of the year. ""I do think it's just a bit of an uncertain world out there right now,"" Ed Stack, chairman of Dick's Sporting Goods, told CNBC when asked about the company's guidance. ""What's going to happen from a tariff standpoint? You know, if tariffs are put in place and prices rise the way that they might, what's going to happen with the consumer?""Over the last year, companies like United, Walmart and Abercrombie have managed to outperform the S&P 500, even as shoppers reduced discretionary spending, so this change in commentary marks a major shift. It's a warning sign that shoppers could be starting to crack, and that even excellent execution is no match for tariff-induced price increases after four years of historic inflation. Meanwhile, the companies that have already spent the last year calling out uncertain consumer dynamics are sounding even more worried.""Our customers continue to report that their financial situation has worsened over the last year, as they have been negatively impacted by ongoing inflation. Many of our customers report they only have enough money for basic essentials, with some noting that they have had to sacrifice even on the necessities,"" the CEO of Dollar General, Todd Vasos, said on the company's fourth-quarter earnings call Thursday, adding customers are expecting value and convenience ""more than ever."" The worsening consumer outlook has compounded the company's own internal challenges.""As we enter 2025,"" Vasos continued. ""We are not anticipating improvement in the macro environment, particularly for our core customer.""Elsewhere in the retail industry, American Eagle on Tuesday warned that cold weather led to a slower-than-expected start to the first quarter, but said it wasn't just temperatures. The apparel retailer specifically called out ""less robust demand"" and said it's taking steps to reduce expenses and manage inventory as it braces for what's still to come. ""[Consumers] have the fear of the unknown. Not just tariffs, not just inflation, we see the government cutting people off. They don't know how that's going to affect them. They see programs being cut, they don't know how that's going to affect them,"" said CEO Jay Schottenstein. ""And when people don't know what they don't know – they get very conservative … it makes everyone a little nervous.""",CNBC,15/03/2025,"[""It's not just Walmart."", 'The leaders of companies that serve everyone from penny-pinching grocery shoppers to first-class travelers are seeing cracks in demand, a shift after resilient consumers propped up the U.S. economy for years despite prolonged inflation.', 'On top of high interest rates and persistent inflation, CEOs are now grappling with how to handle new hurdles like on-again, off-again tariffs, mass government layoffs and worsening consumer sentiment.', 'Across earnings calls and investor presentations in recent weeks, retailers and other consumer-facing businesses warned that first-quarter sales were coming in softer than expected and the rest of the year might be tougher than Wall Street thought.', 'Many of the executives blamed unseasonably cool weather and a ""dynamic"" macroeconomic environment, but the early days of President Donald Trump\'s second term have brought new challenges — perhaps none greater than trying to plan a global business at a time when his administration shifts its trade policies by the hour.', ""Economists largely expect Trump's new tariffs on goods from China, Canada and Mexico will raise prices for consumers and dampen spending at a time when inflation remains higher than the Federal Reserve's target."", 'In February, consumer confidence — which can help to signal how much shoppers are willing to shell out — saw the biggest drop since 2021.', 'A separate consumer sentiment measure for March also came in worse than expected.', 'Another sign of weakness has been in air travel.', ""The sector, especially large international airlines, had been a bright spot following the pandemic, with consumers proving again and again that they wouldn't give up trips even in the face of the biggest jump inflation in more than four decades."", 'This week, however, the CEOs of the four largest U.S. airlines — United, American, Delta and Southwest — said they are seeing a slowdown in demand this quarter.', 'American, Delta and Southwest cut their first-quarter forecasts.', 'Plus, the strong U.S. job market of recent years is showing early signs of stress as job growth slows and unemployment ticks up.', 'These trends have thrown cold water on what was a red-hot stock market and sparked new fears about a potential recession, sending the S&P 500 tumbling 10% from its record highs in February, though it had recovered significant ground by Friday afternoon.', 'Now, as investors and executives grow more worried about the impact tariffs will have on consumer spending and fret about an administration they had high hopes for just a few months ago, even the strongest companies are striking cautious tones as the weaker ones get even louder.', ""Take Walmart, the retail industry's de facto leader, which has spent the last year turning an uncertain economy into fuel for growth as it courted higher-income consumers."", 'When Walmart announced fiscal fourth-quarter earnings last month, its stock fell after it warned that profit growth would be slower than expected in the year ahead.', ""It was a rare warning sign from a company that tends to thrive in a weaker economy, and an indication that it's expecting consumers to pull back from higher-margin discretionary goods in favor of essentials like milk and paper towels in the year ahead."", '""We don\'t want to get out over ourskishere.', 'There\'s a lot of the year to play out,"" Walmart\'s finance chief, John David Rainey, told analysts when discussing the company\'s outlook. ""', ""It'sprudentto have an outlook that is somewhat measured."", '""Ed Bastian, chief executive of Delta Air Lines – the most profitable U.S. carrier that has reaped the rewards of big spenders in recent years – struck a similar tone after it slashed its earnings and revenue forecast for the first quarter.', 'In an interview Monday on CNBC\'s ""Closing Bell,"" Bastian said that consumer confidence has weakened and that both leisure and business customers have pulled back on bookings, which led it to cut its guidance.', '""Consumers in a discretionary business do not like uncertainty,"" said Bastian. ""', 'And while we do believe this will be a period of time that we pass through, it is also something that we need to understand and get to calmer waters.', '""To be sure, it wasn\'t just fewer people booking trips that led the airline to cut its first-quarter forecast.', ""Questions about air safety compounded the problem after two major airline accidents, including Delta's own crash landing in Toronto, in which no one died."", 'Beyond Delta, rival United said it will retire 21 aircraft early, a move that aims to cut costs.', '""We have also seen weakness in the demand market,"" United CEO Scott Kirby saidat Tuesday\'s JPMorgan airline industry conference. ""', 'It started with government.', 'Government is 2% of our business.', 'Government adjacent, all the other consultants and contracts that go along with that are probably another 2% to 3%.', ""That's running down about 50% right now."", 'So a pretty material impact in the short term.', '""The airline has seen some of that dynamic ""bleed over"" into the domestic leisure market, as well, Kirby added.', 'He said the company is already looking at where it will cut flights, eyeing a big drop in traffic from Canada into the U.S. and in markets that were popular with government workers.', 'American Airlines cut its first-quarter earnings forecast and said in addition to demand pressures, bookings were hurt after a deadly midair collision of an Army helicopter with one of its regional jets in Washington, D.C., in January.', 'The company also felt the pullback in government travel and associated trips like those for contractors.', '""We know that there\'s some follow-on effect in terms of leisure travel associated with that as well,"" said CEO Robert Isom.', 'Airline executives were upbeat about longer-term demand in 2025, however.', ""Other strong companies, such as Dick's Sporting Goods, E.l.f."", 'Beauty and Abercrombie & Fitch, also issued weak forecasts in recent weeks, though they indicated they were feeling positive about the second half of the year.', '""I do think it\'s just a bit of an uncertain world out there right now,"" Ed Stack, chairman of Dick\'s Sporting Goods, told CNBC when asked about the company\'s guidance. ""', ""What's going to happen from a tariff standpoint?"", 'You know, if tariffs are put in place and prices rise the way that they might, what\'s going to happen with the consumer?""Over the last year, companies like United, Walmart and Abercrombie have managed to outperform the S&P 500, even as shoppers reduced discretionary spending, so this change in commentary marks a major shift.', ""It's a warning sign that shoppers could be starting to crack, and that even excellent execution is no match for tariff-induced price increases after four years of historic inflation."", 'Meanwhile, the companies that have already spent the last year calling out uncertain consumer dynamics are sounding even more worried.', '""Our customers continue to report that their financial situation has worsened over the last year, as they have been negatively impacted by ongoing inflation.', 'Many of our customers report they only have enough money for basic essentials, with some noting that they have had to sacrifice even on the necessities,"" the CEO of Dollar General, Todd Vasos, said on the company\'s fourth-quarter earnings call Thursday, adding customers are expecting value and convenience ""more than ever.', '""The worsening consumer outlook has compounded the company\'s own internal challenges.', '""As we enter 2025,"" Vasos continued. ""', 'We are not anticipating improvement in the macro environment, particularly for our core customer.', '""Elsewhere in the retail industry, American Eagle on Tuesday warned that cold weather led to a slower-than-expected start to the first quarter, but said it wasn\'t just temperatures.', 'The apparel retailer specifically called out ""less robust demand"" and said it\'s taking steps to reduce expenses and manage inventory as it braces for what\'s still to come.', '""[Consumers] have the fear of the unknown.', 'Not just tariffs, not just inflation, we see the government cutting people off.', ""They don't know how that's going to affect them."", 'They see programs being cut, they don\'t know how that\'s going to affect them,"" said CEO Jay Schottenstein. ""', 'And when people don\'t know what they don\'t know – they get very conservative … it makes everyone a little nervous.""']",-0.002404490490382,"Beauty and Abercrombie & Fitch, also issued weak forecasts in recent weeks, though they indicated they were feeling positive about the second half of the year.","Questions about air safety compounded the problem after two major airline accidents, including Delta's own crash landing in Toronto, in which no one died.",-0.437673362188561,"You know, if tariffs are put in place and prices rise the way that they might, what's going to happen with the consumer?""Over the last year, companies like United, Walmart and Abercrombie have managed to outperform the S&P 500, even as shoppers reduced discretionary spending, so this change in commentary marks a major shift.","Across earnings calls and investor presentations in recent weeks, retailers and other consumer-facing businesses warned that first-quarter sales were coming in softer than expected and the rest of the year might be tougher than Wall Street thought.",2025-03-19
-White House pulls Trump’s nomination for CDC director hours before confirmation hearing,https://www.cnbc.com/2025/03/13/white-house-pulls-trump-cdc-director-nominee-dave-weldon.html,2025-03-13T17:46:50+0000,"The White House has pulled President Donald Trump's nominee to lead the Centers for Disease Control and Prevention, former Rep. Dave Weldon, the Senate's health committee confirmed Thursday.The move came just hours before the Republican former Florida lawmaker, a vaccine critic, was set to appear before the U.S. Senate Committee on Health, Education, Labor and Pensions for a confirmation hearing. The panel said the hearing, which had been scheduled for 10 a.m. ET, is canceled.Axios first reported the decision on Thursday. Robert F. Kennedy Jr., who leads the Department of Health and Human Services, said Weldon wasn't ready for the role, Axios reported. HHS oversees the CDC and all other federal health agencies.Weldon said he had been excited to work with Kennedy and serve the country again, The New York Times reported Thursday.""It is a shock, but, you know, in some ways, it's relief,"" Weldon told the paper. ""Government jobs demand a lot of you, and if God doesn't want me in it, I'm fine with that.""He said he plans to ""get on an airplane at 11 o'clock and I'm going to go home and I'm going to see patients on Monday,"" according to the newspaper.""I'll make much more money staying in my medical practice,"" Weldon added.But Weldon's views align closely with Kennedy, a notorious vaccine skeptic. Weldon, 71, has long questioned the safety of certain vaccines, promoting the false claim linking vaccines to autism. In 2006, Weldon appeared with parents who claimed that the CDC had covered up evidence tying vaccines to children developing autism.The CDC will reportedly reexamine that link under Kennedy despite decades of research debunking it.While in Congress, Weldon sponsored a bill that would transfer responsibility for vaccine safety away from the CDC. He claimed the agency had a conflict of interest because it purchases and promotes vaccines. The bill never made it past committees. Weldon is an internal medicine doctor who served in Congress for 14 years, from 1995 to 2009. Sen. Patty Murray, a Democrat from Washington and HELP committee member, has said she was ""deeply disturbed"" by Weldon's false claims about vaccines.In a statement on Thursday, Murray said, ""While I have little to no confidence in the Trump administration to do so, they should immediately nominate someone for this position who at bare minimum believes in basic science and will help lead CDC's important work to monitor and prevent deadly outbreaks.""She added that Kennedy is already doing ""incalculable damage by spreading lies and disinformation as the top health official in America.""HHS did not immediately respond to a request to comment on why the administration pulled Weldon's nomination and when Trump may choose another person for the post.",CNBC,13/03/2025,"[""The White House has pulled President Donald Trump's nominee to lead the Centers for Disease Control and Prevention, former Rep. Dave Weldon, the Senate's health committee confirmed Thursday."", 'The move came just hours before the Republican former Florida lawmaker, a vaccine critic, was set to appearbefore the U.S. Senate Committee on Health, Education, Labor and Pensions for a confirmation hearing.', 'The panel said the hearing, which had been scheduled for 10 a.m. ET, is canceled.', 'Axios first reported the decision on Thursday.', ""Robert F. Kennedy Jr., who leads the Department of Health and Human Services, said Weldon wasn't ready for the role, Axios reported."", 'HHS oversees the CDC and all other federal health agencies.', 'Weldon said he had been excited to work with Kennedy and serve the country again, The New York Times reported Thursday.', '""It is a shock, but, you know, in some ways, it\'s relief,"" Weldon told the paper. ""', ""Government jobs demand a lot of you, and if God doesn't want me in it, I'm fine with that."", '""He said he plans to ""get on an airplane at 11 o\'clock and I\'m going to go home and I\'m going to see patients on Monday,"" according to the newspaper.', '""I\'ll make much more money staying in my medical practice,"" Weldon added.', ""But Weldon's views align closely with Kennedy, a notorious vaccine skeptic."", 'Weldon, 71, has long questioned the safety of certain vaccines, promoting the false claim linking vaccines to autism.', 'In 2006, Weldon appearedwith parents who claimed that the CDC had covered up evidence tying vaccines to children developing autism.', 'The CDC will reportedly reexamine that link under Kennedy despite decades of research debunking it.', 'While in Congress, Weldon sponsored a bill that would transfer responsibility for vaccine safety away from the CDC.', 'He claimed the agency had a conflict of interest because it purchases and promotes vaccines.', 'The bill never made it past committees.', 'Weldon is an internal medicine doctor who served in Congress for 14 years, from 1995 to 2009.Sen.', 'Patty Murray, a Democrat from Washington and HELP committee member, has said she was ""deeply disturbed"" by Weldon\'s false claims about vaccines.', 'In a statement on Thursday, Murray said, ""While I have little to no confidence in the Trump administration to do so, they should immediately nominate someone for this position who at bare minimum believes in basic science and will help lead CDC\'s important work to monitor and prevent deadly outbreaks.', '""She added that Kennedy is already doing ""incalculable damage by spreading lies and disinformation as the top health official in America.', '""HHS did not immediately respond to a request to comment on why the administration pulled Weldon\'s nomination and when Trump may choose another person for the post.']",0.1053608637340835,"Weldon, 71, has long questioned the safety of certain vaccines, promoting the false claim linking vaccines to autism.","But Weldon's views align closely with Kennedy, a notorious vaccine skeptic.",0.0045524338881174,"""I'll make much more money staying in my medical practice,"" Weldon added.","""She added that Kennedy is already doing ""incalculable damage by spreading lies and disinformation as the top health official in America.",2025-03-19
-"American Eagle says consumer is slowing down, issues weak guidance",https://www.cnbc.com/2025/03/12/american-eagle-aeo-earnings-q4-2024.html,2025-03-12T22:29:06+0000,"In this articleAmerican Eagle warned investors on Wednesday that consumers are pulling back on spending and it's seen a ""slower start"" to the year than it expected. ""Entering 2025, the first quarter is off to a slower start than expected, reflecting less robust demand and colder weather,"" CEO Jay Schottenstein said in a news release. ""While we anticipate improvement as the Spring season gets underway, we are also taking proactive steps to strengthen the top-line, manage inventory and reduce expenses. As we navigate through an uncertain consumer and operating landscape, we will also remain focused on our long-term strategic priorities."" Shares fell about 5% in extended trading.The downbeat commentary, which came along with weak guidance for the current quarter and year ahead, is the latest warning sign that the consumer might be slowing down as shoppers contend with persistent inflation and concerns around tariffs.Over the past couple of weeks, a string of other retailers, including both strong companies and ones that tend to struggle, issued weak guidance and cautious commentary about the current macroeconomic conditions and warned 2025 might be a weaker than expected year for sales. Beyond its outlook, American Eagle issued mixed holiday results and comparable sales that beat expectations. Here's how the apparel company did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $104 million, or 54 cents per share, compared with $6.31 million, or 3 cents per share, a year earlier.Sales dropped to $1.60 billion, down slightly from $1.68 billion a year earlier. Similar to other retailers, American Eagle benefited from an extra week in the year-ago period, which has negatively skewed results.Comparable sales, which don't include the effect of one less selling week, were up 3% during the quarter, ahead of expectations of up 2.1%, according to StreetAccount. Aerie, American Eagle's intimates and activewear line, drove the company's growth during the quarter with comps up 6%. Meanwhile, the company's namesake banner saw comparable sales up 1%.For the current quarter, American Eagle is expecting to see a mid-single-digit decline in sales, while analysts expected revenue to increase 1.3%, according to LSEG. For the full year, it is expecting sales to decline by a low single digit, compared with expectations of 3% growth, according to LSEG.On a call with analysts, finance chief Michael Mathias said Aerie sales are expected to be positive for the year but that growth will be offset by a steeper decline at the American Eagle banner.Tariffs are also expected to weigh on results, Mathias said. The company currently sources just under 20% of its products from China and is expecting a $5 million to $10 million hit from the new duties in fiscal 2025, which will also affect American Eagle's gross margin. At the moment, the company isn't planning on passing those costs on to the consumer and is working to get its China exposure down to under 10% by the end of the fiscal year, Mathias said.Over the past year, American Eagle has made significant strides in improving profitability but has seen slower sales growth. In the three prior quarters, it missed Wall Street's sales expectations, and on Wednesday, it issued revenue numbers that were in line with analysts' forecasts but didn't exceed them. During the quarter, the company acknowledged it had some product misses and had certain items that were out of stock, which affected sales, but American Eagle's stores are also weighing on its results. The company still has a large mall footprint, and while there are some signals that malls are seeing a resurgence, traffic is still down significantly at U.S. malls, which means fewer people are coming into the retailer's stores. For example, online sales are expected to be positive during the first quarter while store sales are expected to fall steeper than a mid-single-digit.To combat the effect of declining malls, rival Abercrombie & Fitch has worked to move its stores to locations outside of malls while American Eagle has been working to remodel its existing fleet. Currently, the company's stores are on average 12 years old, and it's working to get that down to seven. In fiscal 2024, it remodeled around 56 stores, and in the year ahead, the company plans to remodel between 90 and 100 doors as part of its $300 million capex guidance.In prior quarters, American Eagle has said it's been contending with an uncertain economic environment and a consumer that tends to only come out and shop during key moments, but now a wide range of other retailers are reporting similar dynamics as cracks in the economy spread.In February, consumer confidence saw the biggest drop since 2021, job growth slowed more than expected and unemployment ticked up. These signals and the effect they've had on the markets have led to concerns that a recession could be coming, especially if President Donald Trump's trade war with Canada, Mexico and China continues.A slowing economy is bad news for any retailer but especially those that primarily sell discretionary goods such as new clothes. During a call with analysts, Schottenstein shared his thoughts on the consumer and said the biggest thing affecting shoppers is uncertainty.""They have the fear of the unknown, not just tariffs, not just inflation. They see the government cutting people off. They don't know how that's going to affect them. They see programs being cut, they don't know how that's gonna affect them,"" said Schottenstein. ""They just don't know how it's gonna affect them … they get very conservative.""",CNBC,12/03/2025,"['In this articleAmerican Eagle warned investors on Wednesday that consumers are pulling back on spending and it\'s seen a ""slower start"" to the year than it expected.', '""Entering 2025, the first quarter is off to a slower start than expected, reflecting less robust demand and colder weather,"" CEO Jay Schottenstein said in a news release. ""', 'While we anticipate improvement as the Spring season gets underway, we are also taking proactive steps to strengthen the top-line, manage inventory and reduce expenses.', 'As we navigate through an uncertain consumer and operating landscape, we will also remain focused on our long-term strategic priorities.', '""Shares fell about 5% in extended trading.', 'The downbeat commentary, which came along with weak guidance for the current quarter and year ahead, is the latest warning sign that the consumer might be slowing down as shoppers contend with persistent inflation and concerns around tariffs.', 'Over the past couple of weeks, a string of other retailers, including both strong companies and ones that tend to struggle, issued weak guidance and cautious commentary about the current macroeconomic conditions and warned 2025 might be a weaker than expected year for sales.', 'Beyond its outlook, American Eagle issued mixed holiday results and comparable sales that beat expectations.', ""Here's how the apparel company did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $104 million, or 54 cents per share, compared with $6.31 million, or 3 cents per share, a year earlier."", 'Sales dropped to $1.60 billion, down slightly from $1.68 billion a year earlier.', 'Similar to other retailers, American Eagle benefited from an extra week in the year-ago period, which has negatively skewed results.', ""Comparable sales, which don't include the effect of one less selling week, were up 3% during the quarter, ahead of expectations of up 2.1%, according to StreetAccount."", ""Aerie, American Eagle's intimates and activewear line, drove the company's growth during the quarter with comps up 6%."", ""Meanwhile, the company's namesake banner saw comparable sales up 1%.For the current quarter, American Eagle is expecting to see a mid-single-digit decline in sales, while analysts expected revenue to increase 1.3%, according to LSEG."", 'For the full year, it is expecting sales to decline by a low single digit, compared with expectations of 3% growth, according to LSEG.On a call with analysts, finance chief Michael Mathias said Aerie sales are expected to be positive for the year but that growth will be offset by a steeper decline at the American Eagle banner.', 'Tariffs are also expected to weigh on results, Mathias said.', ""The company currently sources just under 20% of its products from China and is expecting a $5 million to $10 million hit from the new duties in fiscal 2025, which will also affect American Eagle's gross margin."", ""At the moment, the company isn't planning on passing those costs on to the consumer and is working to get its China exposure down to under 10% by the end of the fiscal year, Mathias said."", 'Over the past year, American Eagle has made significant strides in improving profitability but has seen slower sales growth.', ""In the three prior quarters, it missed Wall Street's sales expectations, and on Wednesday, it issued revenue numbers that were in line with analysts' forecasts but didn't exceed them."", ""During the quarter, the company acknowledged it had some product misses and had certain items that were out of stock, which affected sales, but American Eagle's stores are also weighing on its results."", ""The company still has a large mall footprint, and while there are some signals that malls are seeing a resurgence, traffic is still down significantly at U.S. malls, which means fewer people are coming into the retailer's stores."", 'For example, online sales are expected to be positive during the first quarter while store sales are expected to fall steeper than a mid-single-digit.', 'To combat the effect of declining malls, rival Abercrombie & Fitch has worked to move its stores to locations outside of malls while American Eagle has been working to remodel its existing fleet.', ""Currently, the company's stores are on average 12 years old, and it's working to get that down to seven."", 'In fiscal 2024, it remodeled around 56 stores, and in the year ahead, the company plans to remodel between 90 and 100 doors as part of its $300 million capex guidance.', ""In prior quarters, American Eagle has said it's been contending with an uncertain economic environment and a consumer that tends to only come out and shop during key moments, but now a wide range of other retailers are reporting similar dynamics as cracks in the economy spread."", 'In February, consumer confidence saw the biggest drop since 2021, job growth slowed more than expected and unemployment ticked up.', ""These signals and the effect they've had on the markets have led to concerns that a recession could be coming, especially if President Donald Trump's trade war with Canada, Mexico and China continues."", 'A slowing economy is bad news for any retailer but especially those that primarily sell discretionary goods such as new clothes.', 'During a call with analysts, Schottenstein shared his thoughts on the consumer and said the biggest thing affecting shoppers is uncertainty.', '""They have the fear of the unknown, not just tariffs, not just inflation.', 'They see the government cutting people off.', ""They don't know how that's going to affect them."", 'They see programs being cut, they don\'t know how that\'s gonna affect them,"" said Schottenstein. ""', 'They just don\'t know how it\'s gonna affect them … they get very conservative.""']",0.0137665375270078,"While we anticipate improvement as the Spring season gets underway, we are also taking proactive steps to strengthen the top-line, manage inventory and reduce expenses.","These signals and the effect they've had on the markets have led to concerns that a recession could be coming, especially if President Donald Trump's trade war with Canada, Mexico and China continues.",-0.1441023441461416,"Meanwhile, the company's namesake banner saw comparable sales up 1%.For the current quarter, American Eagle is expecting to see a mid-single-digit decline in sales, while analysts expected revenue to increase 1.3%, according to LSEG.","Over the past couple of weeks, a string of other retailers, including both strong companies and ones that tend to struggle, issued weak guidance and cautious commentary about the current macroeconomic conditions and warned 2025 might be a weaker than expected year for sales.",2025-03-19
-"Spirit Airlines, fresh from bankruptcy, is ready to take on the new Southwest, CEO says",https://www.cnbc.com/2025/03/13/spirit-airlines-ceo-on-new-southwest.html,2025-03-13T19:21:22+0000,"In this articleSpirit Airlines is out of bankruptcy, hitting its target to emerge in the first quarter, after a crippling few years. CEO Ted Christie says the carrier is leaner and ready to take on competitors, including rival Southwest Airlines.Earlier this week, Southwest shocked customers by announcing it will start charging for checked bags for the first time in its half-century of flying, a huge strategy move for the largest domestic U.S. carrier. (There are some exceptions to Southwest's new bag rules, which take effect in late May.)""I think it's going to be painful for a little bit as they find their footing, and we're going to take advantage of that,"" Spirit's Christie said in an interview Thursday.Southwest had been a standout in the U.S. by offering all customers two free checked bags, a perk that has endured recessions, spikes in fuel prices and other crises while most rivals introduced bag fees and raised them every few years.Spirit Airlines, on the other hand, made a la carte pricing common in the U.S., with fees for seat assignments, checked bags and other add-ons. It's a strategy most large airlines, except for Southwest, have copied in one form or another.As Southwest starts charging for bags and introduces its first basic economy class, which doesn't include a seat assignment or allow free changes, Spirit could possibly win over customers, Christie said.Southwest said it would get rid of its single-class open seating model last year.""There at least was an audience of people who were intentionally selecting and flying Southwest because they felt that it was easy. They knew they were going to get two bags,"" Christie said. ""Now that that's no longer the case, it's easy to say that they're going to widen their aperture and they're now going to look around.""Spirit is far smaller than Southwest and even smaller than it was last year, but it competes with the airline in cities like Kansas City, Missouri; Nashville, Tennessee; Columbus, Ohio; and Milwaukee. If customers look on travel sites like Expedia, where Southwest is a new entrant, Spirit's tickets could be cheaper and appear higher in results, Christie said.Other airline executives have also said they expect to win over some Southwest customers.Delta Air Lines President Glen Hauenstein said at a JPMorgan industry conference Tuesday that there are consumers who choose Southwest based on its free bag perk ""and now those customers are up for grabs.""Spirit, for its part, has recently been offering more ticket bundles that include things like seat assignments and luggage.The carrier is now focused on returning to profitability. It posted a net loss of over $1.2 billion last year, more than double its loss in 2023 as it grappled with grounded jets because of a Pratt & Whitney engine recall, higher costs, more domestic competition and a failed acquisition by JetBlue Airways.Spirit has rejected multiple recent merger attempts by fellow budget carrier Frontier Airlines. Christie said Thursday that nothing is ""off the table"" and that a fifth-largest airline in the U.S. as a low-cost carrier makes sense, but that the airline is focused on stabilizing itself after bankruptcy.Through its restructuring process, which started in November, Spirit said it reduced its debt by about $795 million. The transaction converted debt into equity for major creditors. The carrier also received a $350 million equity infusion.Spirit plans to relist its shares on a stock exchange but hasn't set a date yet.",CNBC,13/03/2025,"['In this articleSpirit Airlines is out of bankruptcy, hitting its target to emerge in the first quarter, after a crippling few years.', 'CEO Ted Christie says the carrier is leaner and ready to take on competitors, including rival Southwest Airlines.', 'Earlier this week, Southwest shocked customers by announcing it will start charging for checked bags for the first time in its half-century of flying, a huge strategy move for the largest domestic U.S. carrier. (', 'There are some exceptions to Southwest\'s new bag rules, which take effect in late May.)""I think it\'s going to be painful for a little bit as they find their footing, and we\'re going to take advantage of that,"" Spirit\'s Christie said in an interview Thursday.', 'Southwest had been a standout in the U.S. by offering all customers two free checked bags, a perk that has endured recessions, spikes in fuel prices and other crises while most rivals introduced bag fees and raised them every few years.', 'Spirit Airlines, on the other hand, made a la carte pricing common in the U.S., with fees for seat assignments, checked bags and other add-ons.', ""It's a strategy most large airlines, except for Southwest, have copied in one form or another."", ""As Southwest starts charging for bags and introduces its first basic economy class, which doesn't include a seat assignment or allow free changes, Spirit could possibly win over customers, Christie said."", 'Southwest said it would get rid of its single-class open seating model last year.', '""There at least was an audience of people who were intentionally selecting and flying Southwest because they felt that it was easy.', 'They knew they were going to get two bags,"" Christie said. ""', ""Now that that's no longer the case, it's easy to say that they're going to widen their aperture and they're now going to look around."", '""Spirit is far smaller than Southwest and even smaller than it was last year, but it competes with the airline in cities like Kansas City, Missouri; Nashville, Tennessee; Columbus, Ohio; and Milwaukee.', ""If customers look on travel sites like Expedia, where Southwest is a new entrant, Spirit's tickets could be cheaper and appear higher in results, Christie said."", 'Other airline executives have also said they expect to win over some Southwest customers.', 'Delta Air LinesPresident Glen Hauenstein said at a JPMorgan industry conference Tuesday that there are consumers who choose Southwest based on its free bag perk ""and now those customers are up for grabs.', '""Spirit, for its part, has recently been offering more ticket bundles that include things like seat assignments and luggage.', 'The carrier is now focused on returning to profitability.', 'It posted a net loss of over $1.2 billion last year, more than double its loss in 2023 as it grappled with grounded jets because of a Pratt & Whitney engine recall, higher costs, more domestic competition and a failed acquisition by JetBlue Airways.', 'Spirit has rejected multiple recent merger attempts by fellow budget carrier Frontier Airlines.', 'Christie said Thursday that nothing is ""off the table"" and that a fifth-largest airline in the U.S. as a low-cost carrier makes sense, but that the airline is focused on stabilizing itself after bankruptcy.', 'Through its restructuring process, which started in November, Spirit said it reduced its debt by about $795 million.', 'The transaction converted debt into equity for major creditors.', 'The carrier also received a $350 million equity infusion.', ""Spirit plans to relist its shares on a stock exchange but hasn't set a date yet.""]",0.2022658279187688,"As Southwest starts charging for bags and introduces its first basic economy class, which doesn't include a seat assignment or allow free changes, Spirit could possibly win over customers, Christie said.","It posted a net loss of over $1.2 billion last year, more than double its loss in 2023 as it grappled with grounded jets because of a Pratt & Whitney engine recall, higher costs, more domestic competition and a failed acquisition by JetBlue Airways.",0.6402744325724515,Other airline executives have also said they expect to win over some Southwest customers.,"It posted a net loss of over $1.2 billion last year, more than double its loss in 2023 as it grappled with grounded jets because of a Pratt & Whitney engine recall, higher costs, more domestic competition and a failed acquisition by JetBlue Airways.",2025-03-19
-"Ulta issues weak guidance, citing consumer uncertainty, rising competition and company missteps",https://www.cnbc.com/2025/03/13/ulta-beauty-ulta-earnings-q4-2024.html,2025-03-13T21:29:34+0000,"In this articleUlta Beauty on Thursday issued weak guidance for the year ahead as it navigates a series of internal missteps, rising competition and what it called ""consumer uncertainty.""The retailer, which appointed Kecia Steelman as its new CEO in January, said it's expecting comparable sales to be flat or grow 1% in 2025, while analysts had anticipated they would rise by 1.2%, according to StreetAccount. It's expecting full-year earnings to be between $22.50 and $22.90, lower than expectations of $23.47, according to LSEG. Ulta is the latest company to forecast a rocky year ahead. While it factored uncertain consumer spending into its guidance, the retailer is also navigating a series of company-specific challenges and views 2025 as a transition year. Fixing those issues will cost money, which is part of the reason why it's expecting profits to be lower than Wall Street anticipated in the year ahead.""I've shared our plan to make important guest-facing investments, which are necessary to improve our competitiveness and re-accelerate long term share growth,"" said Steelman on a call with analysts. ""These investments will pressure profitability in 2025 but we believe they are critical to driving long-term sustainable growth in a competitive, innovative category.""Shares rose 6% in extended trading.Here's how the beauty retailer did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $393 million, or $8.46 per share, compared with $394 million, or $8.08 per share, a year earlier.Sales dropped to $3.49 billion, down about 2% from $3.55 billion a year earlier. Like other retailers, Ulta benefited from an extra selling week in the year-ago period, which has negatively skewed results. Beauty has been one of retail's brightest spots over the last couple of years, but Ulta has fallen behind due to a series of self-inflicted challenges. The company's business has become more complex as it has grown, and Ulta has stumbled when launching new fulfillment choices, such as buy online, pickup in store, same-day delivery and ship from store.""As a result, our in-store presentation and guest experience today are not as strong as we would like,"" said Steelman. ""These are opportunities well within our control.""In January, Ulta announced that its longtime CEO Dave Kimbell would be replaced by its then-Chief Operating Officer Steelman, who has been with the retailer for more than a decade. Her experience as an operations guru makes her well suited to tackle some of the execution issues that have plagued Ulta.During her first earnings call as CEO, Steelman was candid about what Ulta is doing right and what it's doing wrong. She said the company will spend the next year resetting its business and working to take back the market share that it has lost.""The competitive environment in beauty has never been more intense,"" said Steelman. ""For the first time, we lost market share in the beauty category in 2024.""During Ulta's holiday quarter, comparable sales climbed 1.5%, beating expectations of 0.8% growth, according to StreetAccount. Customers spent more during the quarter, resulting in a 3% rise in average ticket, but fewer shoppers came to Ulta's stores to buy beauty products. Transactions during the quarter decreased by 1.4%. Part of that is likely because so many more companies are expanding into beauty. Not only does it compete with rival Sephora, but also mass retailers like Macy's, Walmart and Amazon have made beauty a cornerstone of their strategies and have all expanded their selections of makeup and skincare products.Last year, Ulta warned of a cooling beauty market, but companies like E.l.f. Beauty and Oddity didn't see similar dynamics, and beauty sales remained strong at retailers like Macy's and Target. In the meantime, Ulta has focused on boosting profitability. It managed to grow earnings during the quarter, even with one less selling week.",CNBC,13/03/2025,"['In this articleUlta Beauty on Thursday issued weak guidance for the year ahead as it navigates a series of internal missteps, rising competition and what it called ""consumer uncertainty.', '""The retailer, which appointed Kecia Steelman as its new CEO in January, said it\'s expecting comparable sales to be flat or grow 1% in 2025, while analysts had anticipated they would rise by 1.2%, according to StreetAccount.', ""It's expecting full-year earnings to be between $22.50 and $22.90, lower than expectations of $23.47, according to LSEG.Ulta is the latest company to forecast a rocky year ahead."", 'While it factored uncertain consumer spending into its guidance, the retailer is also navigating a series of company-specific challenges and views 2025 as a transition year.', ""Fixing those issues will cost money, which is part of the reason why it's expecting profits to be lower than Wall Street anticipated in the year ahead."", '""I\'ve shared our plan to make important guest-facing investments, which are necessary to improve our competitiveness and re-accelerate long term share growth,"" said Steelman on a call with analysts. ""', 'These investments will pressure profitability in 2025 but we believe they are critical to driving long-term sustainable growth in a competitive, innovative category.', '""Shares rose 6% in extended trading.', ""Here's how the beauty retailer did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $393 million, or $8.46 per share, compared with $394 million, or $8.08 per share, a year earlier."", 'Sales dropped to $3.49 billion, down about 2% from $3.55 billion a year earlier.', 'Like other retailers, Ulta benefited from an extra selling week in the year-ago period, which has negatively skewed results.', ""Beauty has been one of retail's brightest spots over the last couple of years, but Ulta has fallen behind due to a series of self-inflicted challenges."", ""The company's business has become more complex as it has grown, and Ulta has stumbled when launching new fulfillment choices, such as buy online, pickup in store, same-day delivery and ship from store."", '""As a result, our in-store presentation and guest experience today are not as strong as we would like,"" said Steelman. ""', 'These are opportunities well within our control.', '""In January, Ulta announced that its longtime CEO Dave Kimbell would be replaced by its then-Chief Operating Officer Steelman, who has been with the retailer for more than a decade.', 'Her experience as an operations guru makes her well suited to tackle some of the execution issues that have plagued Ulta.', ""During her first earnings call as CEO, Steelman was candid about what Ulta is doing right and what it's doing wrong."", 'She said the company will spend the next year resetting its business and working to take back the market share that it has lost.', '""The competitive environment in beauty has never been more intense,"" said Steelman. ""', 'For the first time, we lost market share in the beauty category in 2024.""During Ulta\'s holiday quarter, comparable sales climbed 1.5%, beating expectations of 0.8% growth, according to StreetAccount.', ""Customers spent more during the quarter, resulting in a 3% rise in average ticket, but fewer shoppers came to Ulta's stores to buy beauty products."", 'Transactions during the quarter decreased by 1.4%.Part of that is likely because so many more companies are expanding into beauty.', ""Not only does it compete with rival Sephora, but also mass retailers like Macy's, Walmart and Amazon have made beauty a cornerstone of their strategies and have all expanded their selections of makeup and skincare products."", 'Last year, Ulta warned of a cooling beauty market, but companies like E.l.f.', ""Beauty and Oddity didn't see similar dynamics, and beauty sales remained strong at retailers like Macy's and Target."", 'In the meantime, Ulta has focused on boosting profitability.', 'It managed to grow earnings during the quarter, even with one less selling week.']",0.321555487728933,"Beauty and Oddity didn't see similar dynamics, and beauty sales remained strong at retailers like Macy's and Target.","During her first earnings call as CEO, Steelman was candid about what Ulta is doing right and what it's doing wrong.",0.1701443940401077,"""Shares rose 6% in extended trading.","Fixing those issues will cost money, which is part of the reason why it's expecting profits to be lower than Wall Street anticipated in the year ahead.",2025-03-19
-"Dollar General CEO warns consumers are cash-strapped, and says 2025 won't be better",https://www.cnbc.com/2025/03/13/dollar-general-ceo-consumer-warning.html,2025-03-13T20:08:00+0000,"In this articleDollar General CEO Todd Vasos said on Thursday that inflation continues to hurt the discounter's customers and that the macroeconomic environment won't improve this year.On the company's fourth-quarter earnings call, Vasos said customers are expecting value and convenience ""more than ever"" from the dollar-store chain.""Our customers continue to report that their financial situation has worsened over the last year, as they have been negatively impacted by ongoing inflation. Many of our customers report they only have enough money for basic essentials, with some noting that they have had to sacrifice even on the necessities,"" Vasos said. ""As we enter 2025, we are not anticipating improvement in the macro environment, particularly for our core customer.""Dollar General's core consumer is ""always strained"" due to their economic status, but also resourceful, Vasos said.""We've started to see where [our customer is] getting her sea legs, if you will, on the additional inflation that's been very sticky out there, and she's starting to understand her budgets even more,"" Vasos said.Part of the uncertainty, Vasos said, stems from the potential impact of President Donald Trump's tariffs on the consumer.When Trump imposed tariffs during his first term in office in 2018 and 2019, Dollar General had to raise some prices in line with others in the industry, Vasos said. But the general store was able to mitigate the impact back then and is ""well positioned"" to do so again this year, he said.""Given the already stressed financial condition of our core customer, we are closely monitoring these and any other potential economic headwinds, including any changes to government entitlement programs,"" Vasos said.CFO Kelly Dilts said the company's 2025 guidance factors in continued economic pressure on the consumer, but does not account for further changes to tariff policy or government initiatives like the Supplemental Nutrition Assistance Program, which subsidizes food for low-income Americans.For the fourth-quarter, Dollar General said same-store sales growth of 1.2% was driven entirely by 2.3% growth in average transaction. Customer traffic fell 1.1% during the period, ""impacted by ongoing financial pressures of our core consumer,"" Vasos said.Alongside its fourth-quarter earnings, Dollar General said Thursday it would close 96 Dollar General stores and 45 Popshelf stores and will convert six other Popshelf stores into flagship banner locations this year. Popshelf primarily serves higher-income shoppers with lower-priced products.Shares of Dollar General closed up nearly 7% on Thursday.",CNBC,13/03/2025,"[""In this articleDollar General CEO Todd Vasos said on Thursday that inflation continues to hurt the discounter's customers and that the macroeconomic environment won't improve this year."", 'On the company\'s fourth-quarter earnings call, Vasos said customers are expecting value and convenience ""more than ever"" from the dollar-store chain.', '""Our customers continue to report that their financial situation has worsened over the last year, as they have been negatively impacted by ongoing inflation.', 'Many of our customers report they only have enough money for basic essentials, with some noting that they have had to sacrifice even on the necessities,"" Vasos said. ""', 'As we enter 2025, we are not anticipating improvement in the macro environment, particularly for our core customer.', '""Dollar General\'s core consumer is ""always strained"" due to their economic status, but also resourceful, Vasos said.', '""We\'ve started to see where [our customer is] getting her sea legs, if you will, on the additional inflation that\'s been very sticky out there, and she\'s starting to understand her budgets even more,"" Vasos said.', ""Part of the uncertainty, Vasos said, stems from the potential impact of President Donald Trump's tariffs on the consumer."", 'When Trump imposed tariffs during his first term in office in 2018 and 2019, Dollar General had to raise some prices in line with others in the industry, Vasos said.', 'But the general store was able to mitigate the impact back then and is ""well positioned"" to do so again this year, he said.', '""Given the already stressed financial condition of our core customer, we are closely monitoring these and any other potential economic headwinds, including any changes to government entitlement programs,"" Vasos said.', ""CFO Kelly Dilts said the company's 2025 guidance factors in continued economic pressure on the consumer, but does not account for further changes to tariff policy or government initiatives like the Supplemental Nutrition Assistance Program, which subsidizes food for low-income Americans."", 'For the fourth-quarter, Dollar General said same-store sales growth of 1.2% was driven entirely by 2.3% growth in average transaction.', 'Customer traffic fell 1.1% during the period, ""impacted by ongoing financial pressures of our core consumer,""Vasos said.', 'Alongside its fourth-quarter earnings, Dollar General said Thursday it would close 96Dollar Generalstores and 45 Popshelf stores and will convert six other Popshelf stores into flagship banner locations this year.', 'Popshelf primarily serves higher-income shopperswith lower-priced products.', 'Shares of Dollar General closed up nearly 7% on Thursday.']",-0.0437389128385915,"For the fourth-quarter, Dollar General said same-store sales growth of 1.2% was driven entirely by 2.3% growth in average transaction.","""Our customers continue to report that their financial situation has worsened over the last year, as they have been negatively impacted by ongoing inflation.",-0.0899762565439397,"For the fourth-quarter, Dollar General said same-store sales growth of 1.2% was driven entirely by 2.3% growth in average transaction.","Customer traffic fell 1.1% during the period, ""impacted by ongoing financial pressures of our core consumer,""Vasos said.",2025-03-19
-"Delta Air Lines slashes earnings outlook on weaker U.S. demand, sending shares lower",https://www.cnbc.com/2025/03/10/delta-air-lines-cuts-forecast-softer-demand.html,2025-03-10T21:21:48+0000,"In this articleDelta Air Lines slashed its first-quarter revenue and profit outlooks, citing weaker domestic demand, backing up growing concerns about lackluster sales in some corners of the travel industry.Delta expects revenue in the quarter ending March 31 to rise no more than 5% from last year, down from a forecast in January of 6% to 8% growth. It slashed its adjusted earnings forecast to 30 cents to 50 cents per share from a previous guidance of 70 cents to $1 a share. Delta's shares were off more than 13% in after-hours trading after falling more than 5% in the regular session on Monday.""The outlook has been impacted by the recent reduction in consumer and corporate confidence caused by increased macro uncertainty, driving softness in Domestic demand,"" Delta said in a securities filing.Delta CEO Ed Bastian told CNBC's ""Closing Bell"" on Monday that he does not expect a recession but said consumer confidence has weakened and that both leisure and business customers have pulled back on bookings.He said concerns about safety ""somewhat exacerbated the impact on us"" after the deadly midair collision between a regional jet and an Army helicopter in January in Washington, D.C., as well as Delta's crash on landing in Toronto last month that was not fatal.Bastian's comments come after a broad market sell-off.Delta's forecast, delivered after the market closed on Monday, comes a day before a JPMorgan airline industry conference in which CEOs are expected to update investors on current demand trends. Delta said in a filing that demand for premium travel, international travel and loyalty revenue growth is still in line with its expectations.American Airlines, Southwest Airlines and United Airlines are among the other carriers that will also update Wall Street on demand trends.Airline shares prices have dropped sharply in recent days as growing signs of weaker consumer spending hit the sector, which had been resilient compared with other industries in the wake of the Covid-19 pandemic.",CNBC,10/03/2025,"['In this articleDelta Air Lines slashed its first-quarter revenue and profit outlooks, citing weaker domestic demand, backing up growing concerns about lackluster sales in some corners of the travel industry.', 'Delta expects revenue in the quarter ending March 31 to rise no more than 5% from last year, down from a forecast in January of 6% to 8% growth.', 'It slashed its adjusted earnings forecast to 30 cents to 50 cents per share from a previous guidance of 70 cents to $1 a share.', ""Delta's shares were off more than 13% in after-hours trading after falling more than 5% in the regular session on Monday."", '""The outlook has been impacted by the recent reduction in consumer and corporate confidence caused by increased macro uncertainty, driving softness in Domestic demand,"" Delta said in a securities filing.', 'Delta CEO Ed Bastian told CNBC\'s ""Closing Bell"" on Monday that he does not expect a recession but said consumer confidence has weakened and that both leisure and business customers have pulled back on bookings.', 'He said concerns about safety ""somewhat exacerbated the impact on us"" after the deadly midair collision between a regional jet and an Army helicopter in January in Washington, D.C., as well as Delta\'s crash on landing in Toronto last month that was not fatal.', ""Bastian's comments come after a broad market sell-off."", ""Delta'sforecast, delivered after the market closed on Monday, comes a day before a JPMorgan airline industry conference in which CEOs are expected to update investors on current demand trends."", 'Delta said in a filing that demand for premium travel, international travel and loyalty revenue growth is still in line with its expectations.', 'American Airlines, Southwest Airlines and United Airlines are among the other carriers that will also update Wall Street on demand trends.', 'Airline shares prices have dropped sharply in recent days as growing signs of weaker consumer spending hit the sector, which had been resilient compared with other industries in the wake of the Covid-19 pandemic.']",0.2305367101588302,"Delta said in a filing that demand for premium travel, international travel and loyalty revenue growth is still in line with its expectations.","In this articleDelta Air Lines slashed its first-quarter revenue and profit outlooks, citing weaker domestic demand, backing up growing concerns about lackluster sales in some corners of the travel industry.",-0.7982749700546264,"Delta said in a filing that demand for premium travel, international travel and loyalty revenue growth is still in line with its expectations.","In this articleDelta Air Lines slashed its first-quarter revenue and profit outlooks, citing weaker domestic demand, backing up growing concerns about lackluster sales in some corners of the travel industry.",2025-03-19
-Trump finds unexpected ally in auto union leader over tariffs,https://www.cnbc.com/2025/03/10/trump-uaw-auto-union-shawn-fain-tariffs.html,2025-03-10T20:01:55+0000,"DETROIT — The head of the United Auto Workers has become an unexpected ally for President Donald Trump's plans for North American tariffs.UAW President Shawn Fain, who was boisterous about his disdain for Trump during the president's campaign, is openly voicing approval of the tariffs, which include 25% levies on automobiles and supporting parts.""Tariffs are an attempt to stop the bleeding from the hemorrhaging of jobs in America for the last 33 years,"" Fain said Sunday on ABC News' ""This Week,"" referring to the implementation of the North American Free Trade Agreement in 1992. ""Tariffs aren't the end solution, but they are a huge factor in creating, fixing the problem.""Tariffs for auto companies that currently meet standards under the United States-Mexico-Canada Agreement, or USMCA, are paused until April 2, following Trump speaking with leaders from General Motors, Ford Motor and Stellantis.The April 2 delay, which occurred a day after implementation of broader 25% tariffs on goods from Canada and Mexico, aligns with other Trump-initiated automotive tariffs for vehicles and parts being imported from outside of North America.Fain on Sunday said he had not spoken directly to Trump, but ""has been working with his team.""Fain's comments follow the union releasing a statement supporting the tariffs earlier in the week, saying it's up to companies to handle any additional costs that may occur.The union, which had endorsed then-Vice President Kamala Harris, said it's in ""active negotiations with the Trump administration about their plans to end the free trade disaster.""""We are glad to see an American president take aggressive action on ending the free trade disaster that has dropped like a bomb on the working class,"" the union said Tuesday. ""There's been a lot of talk of these tariffs 'disrupting' the economy. But if corporate America chooses to price-gouge the American consumer or attack the American worker because they don't want to pay their fair share, corporate America bears the blame for that decision.""Fain is one of the only high-profile supporters of Trump's tariffs among automotive leaders. Auto executives as well as trade associations supporting automakers have described the tariffs as adding unnecessary chaos and additional costs to the industry.""President Trump has talked a lot about making our U.S. auto industry stronger, bringing more production here, more innovation in the U.S., and if his administration can achieve that, it would be one of … the most signature accomplishments,"" Ford CEO Jim Farley said last month. ""So far what we're seeing is a lot of cost, and a lot of chaos.""Fain has previously condemned the North American Free Trade Agreement — which has been superseded by Trump's USMCA trade deal since 2020 — saying such trade agreements have caused the country to lose jobs and manufacturing.Fain and Trump have been at odds and publicly trading remarks since the union leader was elected in 2023. Trump called for Fain to be fired during a speech last year at the Republican National Convention.Fain has regularly called Trump a ""scab"" and billionaire who doesn't care about American workers, but his comments Sunday on Trump show his stance may have softened.""The election is over. Donald Trump is the president, and we want to get to work to fix the problems that are wrong with this country, with our economy,"" Fain said. ""And the American people expect that. They expect leaders to stand up and lead. They don't expect us to sit back.""The UAW remains under a federal monitorship following a yearslong investigation into the union involving embezzlement, bribery and other charges ahead of Fain's election. That probe resulted in several convictions of union leaders and Fiat Chrysler executives, including two past union presidents.Federal monitor Neil Barofsky last year disclosed an investigation into Fain as well as other union leaders, accusing them of obstructing the probe and interfering with access to information.In January, the monitor's office said it would provide further updates on its investigative activities in a subsequent report.",CNBC,10/03/2025,"[""DETROIT — The head of the United Auto Workers has become an unexpected ally for President Donald Trump's plans for North American tariffs."", ""UAW President Shawn Fain, who was boisterous about his disdain for Trump during the president's campaign, is openly voicing approval of the tariffs, which include 25% levies on automobiles and supporting parts."", '""Tariffs are an attempt to stop the bleeding from the hemorrhaging of jobs in America for the last 33 years,"" Fain said Sunday on ABC News\' ""This Week,"" referring to the implementation of the North American Free Trade Agreement in 1992. ""', ""Tariffs aren't the end solution, but they are a huge factor in creating, fixing the problem."", '""Tariffs for auto companies that currently meet standards under the United States-Mexico-Canada Agreement, or USMCA, are paused until April 2, following Trump speaking with leaders from General Motors, Ford Motor and Stellantis.', 'The April 2 delay, which occurred a day after implementation of broader 25% tariffs on goods from Canada and Mexico, aligns with other Trump-initiated automotive tariffs for vehicles and parts being imported from outside of North America.', 'Fain on Sunday said he had not spoken directly to Trump, but ""has been working with his team.', '""Fain\'s comments follow the union releasing a statement supporting the tariffs earlier in the week, saying it\'s up to companies to handle any additional costs that may occur.', 'The union, which had endorsed then-Vice President Kamala Harris, said it\'s in ""active negotiations with the Trump administration about their plans to end the free trade disaster.', '""""We are glad to see an American president take aggressive action on ending the free trade disaster that has dropped like a bomb on the working class,"" the union said Tuesday. ""', ""There's been a lot of talk of these tariffs 'disrupting' the economy."", ""But if corporate America chooses to price-gouge the American consumer or attack the American worker because they don't want to pay their fair share, corporate America bears the blame for that decision."", '""Fain is one of the only high-profile supporters of Trump\'s tariffs among automotive leaders.', 'Auto executives as well as trade associations supporting automakers have described the tariffs as adding unnecessary chaos and additional costs to the industry.', '""President Trump has talked a lot about making our U.S. auto industry stronger, bringing more production here, more innovation in the U.S., and if his administration can achieve that, it would be one of … the most signature accomplishments,"" Ford CEO Jim Farley said last month. ""', ""So far what we're seeing is a lot of cost, and a lot of chaos."", '""Fain has previously condemned the North American Free Trade Agreement — which has been superseded by Trump\'s USMCA trade deal since 2020 — saying such trade agreements have caused the country to lose jobs and manufacturing.', 'Fain and Trump have been at odds and publicly trading remarks since the union leader was elected in 2023.', 'Trump called for Fain to be fired during a speech last year at the Republican National Convention.', 'Fain has regularly called Trump a ""scab"" and billionaire who doesn\'t care about American workers, but his comments Sunday on Trump show his stance may have softened.', '""The election is over.', 'Donald Trump is the president, and we want to get to work to fix the problems that are wrong with this country, with our economy,"" Fain said. ""', 'And the American people expect that.', 'They expect leaders to stand up and lead.', ""They don't expect us to sit back."", '""The UAW remains under a federal monitorship following a yearslong investigation into the union involving embezzlement, bribery and other charges ahead of Fain\'s election.', 'That probe resulted in several convictions of union leaders and Fiat Chrysler executives, including two past union presidents.', 'Federal monitor Neil Barofsky last year disclosed an investigation into Fain as well as other union leaders, accusing them of obstructing the probe and interfering with access to information.', ""In January, the monitor's office said it would provide further updates on its investigative activities in a subsequent report.""]",0.0949665563900431,"""Tariffs for auto companies that currently meet standards under the United States-Mexico-Canada Agreement, or USMCA, are paused until April 2, following Trump speaking with leaders from General Motors, Ford Motor and Stellantis.","Donald Trump is the president, and we want to get to work to fix the problems that are wrong with this country, with our economy,"" Fain said. """,-0.0606703758239746,"""President Trump has talked a lot about making our U.S. auto industry stronger, bringing more production here, more innovation in the U.S., and if his administration can achieve that, it would be one of … the most signature accomplishments,"" Ford CEO Jim Farley said last month. ""","""Fain has previously condemned the North American Free Trade Agreement — which has been superseded by Trump's USMCA trade deal since 2020 — saying such trade agreements have caused the country to lose jobs and manufacturing.",2025-03-19
-"American Eagle says consumer is slowing down, issues weak guidance",https://www.cnbc.com/2025/03/12/american-eagle-aeo-earnings-q4-2024.html,2025-03-12T22:29:06+0000,"In this articleAmerican Eagle warned investors on Wednesday that consumers are pulling back on spending and it's seen a ""slower start"" to the year than it expected. ""Entering 2025, the first quarter is off to a slower start than expected, reflecting less robust demand and colder weather,"" CEO Jay Schottenstein said in a news release. ""While we anticipate improvement as the Spring season gets underway, we are also taking proactive steps to strengthen the top-line, manage inventory and reduce expenses. As we navigate through an uncertain consumer and operating landscape, we will also remain focused on our long-term strategic priorities."" Shares fell about 5% in extended trading.The downbeat commentary, which came along with weak guidance for the current quarter and year ahead, is the latest warning sign that the consumer might be slowing down as shoppers contend with persistent inflation and concerns around tariffs.Over the past couple of weeks, a string of other retailers, including both strong companies and ones that tend to struggle, issued weak guidance and cautious commentary about the current macroeconomic conditions and warned 2025 might be a weaker than expected year for sales. Beyond its outlook, American Eagle issued mixed holiday results and comparable sales that beat expectations. Here's how the apparel company did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $104 million, or 54 cents per share, compared with $6.31 million, or 3 cents per share, a year earlier.Sales dropped to $1.60 billion, down slightly from $1.68 billion a year earlier. Similar to other retailers, American Eagle benefited from an extra week in the year-ago period, which has negatively skewed results.Comparable sales, which don't include the effect of one less selling week, were up 3% during the quarter, ahead of expectations of up 2.1%, according to StreetAccount. Aerie, American Eagle's intimates and activewear line, drove the company's growth during the quarter with comps up 6%. Meanwhile, the company's namesake banner saw comparable sales up 1%.For the current quarter, American Eagle is expecting to see a mid-single-digit decline in sales, while analysts expected revenue to increase 1.3%, according to LSEG. For the full year, it is expecting sales to decline by a low single digit, compared with expectations of 3% growth, according to LSEG.On a call with analysts, finance chief Michael Mathias said Aerie sales are expected to be positive for the year but that growth will be offset by a steeper decline at the American Eagle banner.Tariffs are also expected to weigh on results, Mathias said. The company currently sources just under 20% of its products from China and is expecting a $5 million to $10 million hit from the new duties in fiscal 2025, which will also affect American Eagle's gross margin. At the moment, the company isn't planning on passing those costs on to the consumer and is working to get its China exposure down to under 10% by the end of the fiscal year, Mathias said.Over the past year, American Eagle has made significant strides in improving profitability but has seen slower sales growth. In the three prior quarters, it missed Wall Street's sales expectations, and on Wednesday, it issued revenue numbers that were in line with analysts' forecasts but didn't exceed them. During the quarter, the company acknowledged it had some product misses and had certain items that were out of stock, which affected sales, but American Eagle's stores are also weighing on its results. The company still has a large mall footprint, and while there are some signals that malls are seeing a resurgence, traffic is still down significantly at U.S. malls, which means fewer people are coming into the retailer's stores. For example, online sales are expected to be positive during the first quarter while store sales are expected to fall steeper than a mid-single-digit.To combat the effect of declining malls, rival Abercrombie & Fitch has worked to move its stores to locations outside of malls while American Eagle has been working to remodel its existing fleet. Currently, the company's stores are on average 12 years old, and it's working to get that down to seven. In fiscal 2024, it remodeled around 56 stores, and in the year ahead, the company plans to remodel between 90 and 100 doors as part of its $300 million capex guidance.In prior quarters, American Eagle has said it's been contending with an uncertain economic environment and a consumer that tends to only come out and shop during key moments, but now a wide range of other retailers are reporting similar dynamics as cracks in the economy spread.In February, consumer confidence saw the biggest drop since 2021, job growth slowed more than expected and unemployment ticked up. These signals and the effect they've had on the markets have led to concerns that a recession could be coming, especially if President Donald Trump's trade war with Canada, Mexico and China continues.A slowing economy is bad news for any retailer but especially those that primarily sell discretionary goods such as new clothes. During a call with analysts, Schottenstein shared his thoughts on the consumer and said the biggest thing affecting shoppers is uncertainty.""They have the fear of the unknown, not just tariffs, not just inflation. They see the government cutting people off. They don't know how that's going to affect them. They see programs being cut, they don't know how that's gonna affect them,"" said Schottenstein. ""They just don't know how it's gonna affect them … they get very conservative.""",CNBC,12/03/2025,"['In this articleAmerican Eagle warned investors on Wednesday that consumers are pulling back on spending and it\'s seen a ""slower start"" to the year than it expected.', '""Entering 2025, the first quarter is off to a slower start than expected, reflecting less robust demand and colder weather,"" CEO Jay Schottenstein said in a news release. ""', 'While we anticipate improvement as the Spring season gets underway, we are also taking proactive steps to strengthen the top-line, manage inventory and reduce expenses.', 'As we navigate through an uncertain consumer and operating landscape, we will also remain focused on our long-term strategic priorities.', '""Shares fell about 5% in extended trading.', 'The downbeat commentary, which came along with weak guidance for the current quarter and year ahead, is the latest warning sign that the consumer might be slowing down as shoppers contend with persistent inflation and concerns around tariffs.', 'Over the past couple of weeks, a string of other retailers, including both strong companies and ones that tend to struggle, issued weak guidance and cautious commentary about the current macroeconomic conditions and warned 2025 might be a weaker than expected year for sales.', 'Beyond its outlook, American Eagle issued mixed holiday results and comparable sales that beat expectations.', ""Here's how the apparel company did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $104 million, or 54 cents per share, compared with $6.31 million, or 3 cents per share, a year earlier."", 'Sales dropped to $1.60 billion, down slightly from $1.68 billion a year earlier.', 'Similar to other retailers, American Eagle benefited from an extra week in the year-ago period, which has negatively skewed results.', ""Comparable sales, which don't include the effect of one less selling week, were up 3% during the quarter, ahead of expectations of up 2.1%, according to StreetAccount."", ""Aerie, American Eagle's intimates and activewear line, drove the company's growth during the quarter with comps up 6%."", ""Meanwhile, the company's namesake banner saw comparable sales up 1%.For the current quarter, American Eagle is expecting to see a mid-single-digit decline in sales, while analysts expected revenue to increase 1.3%, according to LSEG."", 'For the full year, it is expecting sales to decline by a low single digit, compared with expectations of 3% growth, according to LSEG.On a call with analysts, finance chief Michael Mathias said Aerie sales are expected to be positive for the year but that growth will be offset by a steeper decline at the American Eagle banner.', 'Tariffs are also expected to weigh on results, Mathias said.', ""The company currently sources just under 20% of its products from China and is expecting a $5 million to $10 million hit from the new duties in fiscal 2025, which will also affect American Eagle's gross margin."", ""At the moment, the company isn't planning on passing those costs on to the consumer and is working to get its China exposure down to under 10% by the end of the fiscal year, Mathias said."", 'Over the past year, American Eagle has made significant strides in improving profitability but has seen slower sales growth.', ""In the three prior quarters, it missed Wall Street's sales expectations, and on Wednesday, it issued revenue numbers that were in line with analysts' forecasts but didn't exceed them."", ""During the quarter, the company acknowledged it had some product misses and had certain items that were out of stock, which affected sales, but American Eagle's stores are also weighing on its results."", ""The company still has a large mall footprint, and while there are some signals that malls are seeing a resurgence, traffic is still down significantly at U.S. malls, which means fewer people are coming into the retailer's stores."", 'For example, online sales are expected to be positive during the first quarter while store sales are expected to fall steeper than a mid-single-digit.', 'To combat the effect of declining malls, rival Abercrombie & Fitch has worked to move its stores to locations outside of malls while American Eagle has been working to remodel its existing fleet.', ""Currently, the company's stores are on average 12 years old, and it's working to get that down to seven."", 'In fiscal 2024, it remodeled around 56 stores, and in the year ahead, the company plans to remodel between 90 and 100 doors as part of its $300 million capex guidance.', ""In prior quarters, American Eagle has said it's been contending with an uncertain economic environment and a consumer that tends to only come out and shop during key moments, but now a wide range of other retailers are reporting similar dynamics as cracks in the economy spread."", 'In February, consumer confidence saw the biggest drop since 2021, job growth slowed more than expected and unemployment ticked up.', ""These signals and the effect they've had on the markets have led to concerns that a recession could be coming, especially if President Donald Trump's trade war with Canada, Mexico and China continues."", 'A slowing economy is bad news for any retailer but especially those that primarily sell discretionary goods such as new clothes.', 'During a call with analysts, Schottenstein shared his thoughts on the consumer and said the biggest thing affecting shoppers is uncertainty.', '""They have the fear of the unknown, not just tariffs, not just inflation.', 'They see the government cutting people off.', ""They don't know how that's going to affect them."", 'They see programs being cut, they don\'t know how that\'s gonna affect them,"" said Schottenstein. ""', 'They just don\'t know how it\'s gonna affect them … they get very conservative.""']",0.0137665375270078,"While we anticipate improvement as the Spring season gets underway, we are also taking proactive steps to strengthen the top-line, manage inventory and reduce expenses.","These signals and the effect they've had on the markets have led to concerns that a recession could be coming, especially if President Donald Trump's trade war with Canada, Mexico and China continues.",-0.1441023441461416,"Meanwhile, the company's namesake banner saw comparable sales up 1%.For the current quarter, American Eagle is expecting to see a mid-single-digit decline in sales, while analysts expected revenue to increase 1.3%, according to LSEG.","Over the past couple of weeks, a string of other retailers, including both strong companies and ones that tend to struggle, issued weak guidance and cautious commentary about the current macroeconomic conditions and warned 2025 might be a weaker than expected year for sales.",2025-03-18
-"Goodbye to 'bags fly free' on Southwest Airlines, the last freebie in America",https://www.cnbc.com/2025/03/15/goodbye-free-bags-southwest-airlines.html,2025-03-15T12:49:04+0000,"Almost nothing is guaranteed in life. Certainly not weather, electricity, health, tariffs or eggs. But for more than 50 years, American consumers could count on Southwest Airlines letting them check bags for free.Dallas-based Southwest is ending the policy in May. Customers are not happy.""It was the only reason I flew Southwest,"" said MaKensey Kaye Alford, a 21-year-old singer and actress who lives near Birmingham, Alabama.Alford, who is planning to move to New York City later this year, said she would ""definitely"" consider taking another airline now.Southwest's customer-friendly policies have survived recessions, oil price spikes and even the Covid-19 pandemic, winning it years of goodwill and a loyal following, even as it has grown. No other airline carries more people in the United States than Southwest.Now, the airline with an unrivaled streak of profitability (its almost never posted an annual loss) is under pressure to increase profits as big competitors outpace the airline. So it's backpedaling off of years of banishing the thought that they would charge customers for bags, adding to other business-model tweaks like assigned seating that give it more in common with all other airlines.Errol Joseph, 36, a sales consultant who lives in New York and Dallas, said he would now consider flying on Delta Air Lines if the price is the same as Southwest because its planes have seatback screens, unlike Southwest. Joseph added that with baggage policy change, there's ""pretty much no reason to be loyal.""The bag policy had been around longer than most women were able to get credit cards on their own without a man's signature. But those days are over. No more freebies, America.Retailers, restaurants and airlines are among the businesses that have been pulling back on free perks, from complimentary birthday coffees to free package returns, since the pandemic ended. Increasingly, airline perks are only available for loyalty program members or customers who buy a more expensive ticket.Delta offers customers free Wi-Fi on board, but only for those who have signed up for its SkyMiles loyalty program. United Airlines is making a similar move, meanwhile, installing equipment on its planes so customers can soon connect to Elon Musk's Starlink satellite Wi-Fi for free if they are members of the airline's MileagePlus program.It typically takes real financial pressure for companies to return to giveaways, but it's not unprecedented. Starbucks, for example, got rid of upcharges for dairy alternatives to attract customers to try to reverse a sales slump.Southwest's decision pits investors against customers.Activist hedge fund and, as of last year, big Southwest shareholder Elliott Investment Management has been increasing pressure on the airline to raise its profits as rivals like Delta and United have pulled ahead. Elliott pushed for faster changes at the carrier, which has been long hesitant to change, so it could increase revenue. The firm last year won five board seats in a settlement with Southwest.In fact, after Southwest unveiled the bag shift and other policy changes, its shares rose close to 9% this week, while Delta, United and American, each fell more than 11%. CEOs of all the carriers raised concerns about weaker-than-expected travel demand, but Southwest bucked the trend, as it expects the changes to add hundreds of millions of dollars to its bottom line.""Shareholder activism is reshaping LUV into a company that we believe investors will eventually gravitate to,"" wrote Seaport Research Partners airline analyst Dan McKenzie in a note Wednesday as he raised his price target on Southwest's shares to $39 thanks to the policy changes even though ""macro backdrop is glum.""The decision to ditch the two-free-checked bags is part of the airline's big profit-seeking makeover in which it is shedding other long-standing offerings like open-seating and single-class cabins for seat assignments and pricier extra legroom options.It will also start offering a no-frills, no-changes basic economy ticket. Flight credits will also soon have expiration dates. Last month, Southwest had its first-ever mass layoff, cutting about 15% of corporate jobs. It has also slashed unprofitable flying.Air travel hasn't stood still over the last half century, and while it's held onto many core tenets, neither has Southwest. It has gradually made changes over the years, starting to sell things like early boarding, for example. And with air travel breaking new records, assigned seating is necessary for both customers and to make the jobs of employees easier, Southwest executives have argued.Charging for checked bags was something Southwest leaders repeatedly said would cost it more than it could make. (U.S. carriers brought in more than $7 billion in baggage fees in 2023.)In a presentation at an investor day last September, Southwest said it would gain between $1 billion and $1.5 billion from charging for bags but lose $1.8 billion of market share.Southwest executives said that's changed.Hours after breaking the news to customers, CEO Bob Jordan said at a JPMorgan industry conference on Tuesday that ""in contrast to our previous analysis, actual customer booking behavior through our new booking channels such as metasearch, did not show that we are getting the same benefit from our bundled offering with free bags, which has led us to update the assumptions.""Jordan added that the carrier has new executives with ""direct experience implementing bag fees at multiple airlines, and that's also helped further validate the new assumptions.""But thousands joined in consumers' cri de coeur.Southwest posted on Instagram on Thursday, two days after its bombshell announcement, saying ""It's not like we traded Luka,"" a nod to the shocking February trade of Dallas Mavericks superstar Luka Doncic to the Los Angeles Lakers. As of Friday afternoon, the post, which also included information about the change, got more than 14,000 replies, far more than couple of hundred responses the account usually gets.""Taking a screen shot of this as it will be the thumbnail for the harvard business review case study of destroying a brand an entire company,"" replied Instagram user rappid_exposure.Frances Frei, a professor of technology and operations management at Harvard Business School, said that, indeed, no other company is likely as studied as Southwest.""I sure hope this isn't a case of activist investors coming in and insisting on a set of decisions that they won't be around to have to endure,"" she said. ""Great organizations get built over time. It doesn't take very long to ruin an organization, and I really don't want this to be an example of that.""Southwest's two checked bags-fly-free policy officially ends May 28 but for now the slogan is still found on board, printed on cocktail napkins.There will be exceptions: Customers who have a Southwest Airlines co-branded credit card can get one bag for free, and customers in its top tiers of service (read: pricier tickets) or its top-tier loyalty program members will get one to two free checked bags.Whether customers abandon Southwest or are simply reacting to the change remains to be seen.The CEOs of Delta, United and Spirit this week said they see an opportunity to win over customers who might turn away from Southwest.Many travelers won't have a lot of other options, however, with so much consolidation among U.S. carriers and stronghold hubs, though they might have to venture to other airports.Southwest has a roughly 73% share at Baltimore/Washington International Thurgood Marshall Airport, a more than 83% share in San Francisco Bay Oakland International Airport, and 89% share in Long Beach, California, according to aviation-data firm Cirium.The real test, Harvard's Frei said, will be whether the bag change will slow down Southwest's operation, with more customers bringing carry-on bags on board to avoid the checked luggage fees.""I just fear the cost is being underestimated,"" she said. ""It's real operational harm to Southwest if they go slower.""Southwest is already preparing its employees for an onslaught of customer luggage at the gate.Just after its announcement on Tuesday, Southwest told its employees in a memo that customers will ""undoubtedly carry on more luggage than before.""Gate agents will receive mobile bag-tag printers ""reducing the need for string bag tags"" and the company will design new carry-on size guides so customers can see if their luggage fits as a carry on, according to a staff memo sent by Justin Jones, EVP of operations, and Adam Decaire, senior vice president of network planning, a copy of which was seen by CNBC.The airline also plans to speed up retrofits of its Boeing 737-800s and Max aircraft with bigger overhead bins.Frei said not charging for bags, unlike the Costco $1.50 hot dog, is not a loss leader, something a company sells at a loss just to win over customers who might buy more expensive, and profitable, items.As much as it's been beloved by customers, the checked bag policy also had a helped the airline turn planes around faster.""The reason isn't because it's kinder to customers. It's because it's a fast turnaround airline,"" she said. ""If I charge for bags, you will be more likely to carry more luggage on board. And when you carry more luggage on board, I lose my fast turnaround advantage.""Southwest is confident that it's prepared for an increase in gate-checked bags and onboard luggage.""We have a series of work streams that are underway with our with our current operations, to make this not impact our turn times,"" COO Andrew Watterson said in an interview.Time will tell how it shakes out. For now, we have the $1.50 Costco hot dogs.",CNBC,15/03/2025,"['Almost nothing is guaranteed in life.', 'Certainly not weather, electricity, health, tariffs or eggs.', 'But for more than 50 years, American consumers could count on Southwest Airlines letting them check bags for free.', 'Dallas-based Southwest is ending the policy in May.', 'Customers are not happy.', '""It was the only reason I flew Southwest,"" said MaKensey Kaye Alford, a 21-year-old singer and actress who lives near Birmingham, Alabama.', 'Alford, who is planning to move to New York City later this year, said she would ""definitely"" consider taking another airline now.', ""Southwest's customer-friendly policies have survived recessions, oil price spikes and even the Covid-19 pandemic, winning it years of goodwill and a loyal following, even as it has grown."", 'No other airline carries more people in the United States than Southwest.', 'Now, the airline with an unrivaled streak of profitability (its almost never posted an annual loss) is under pressure to increase profits as big competitors outpace the airline.', ""So it's backpedaling off of years of banishing the thought that they would charge customers for bags, adding to other business-model tweaks like assigned seating that give it more in common with all other airlines."", 'Errol Joseph, 36, a sales consultant who lives in New York and Dallas, said he would now consider flying on Delta Air Lines if the price is the same as Southwest because its planes have seatback screens, unlike Southwest.', 'Joseph added that with baggage policy change, there\'s ""pretty much no reason to be loyal.', '""The bag policy had been around longer than most women were able to get credit cards on their own without a man\'s signature.', 'But those days are over.', 'No more freebies, America.', 'Retailers, restaurants and airlines are among the businesses that have been pulling back on free perks, from complimentary birthday coffees to free package returns, since the pandemic ended.', 'Increasingly, airline perks are only available for loyalty program members or customers who buy a more expensive ticket.', 'Delta offers customers free Wi-Fi on board, but only for those who have signed up for its SkyMiles loyalty program.', ""United Airlines is making a similar move, meanwhile, installing equipment on its planes so customers can soon connect to Elon Musk's Starlink satellite Wi-Fi for free if they are members of the airline's MileagePlus program."", ""It typically takes real financial pressure for companies to return to giveaways, but it's not unprecedented."", 'Starbucks, for example, got rid of upcharges for dairy alternatives to attract customers to try to reverse a sales slump.', ""Southwest's decision pits investors against customers."", 'Activist hedge fund and, as of last year, big Southwest shareholder Elliott Investment Management has been increasing pressure on the airline to raise its profits as rivals like Delta and United have pulled ahead.', 'Elliott pushed for faster changes at the carrier, which has been long hesitant to change, so it could increase revenue.', 'The firm last year won five board seats in a settlement with Southwest.', 'In fact, after Southwest unveiled the bag shift and other policy changes, its shares rose close to 9% this week, while Delta, United and American, each fell more than 11%.', 'CEOs of all the carriers raised concerns about weaker-than-expected travel demand, but Southwest bucked the trend, as it expects the changes to add hundreds of millions of dollars to its bottom line.', '""Shareholder activism is reshaping LUV into a company that we believe investors will eventually gravitate to,"" wrote Seaport Research Partners airline analyst Dan McKenzie in a note Wednesday as he raised his price target on Southwest\'s shares to $39 thanks to the policy changes even though ""macro backdrop is glum.', '""The decision to ditch the two-free-checked bags is part of the airline\'s big profit-seeking makeover in which it is shedding other long-standing offerings like open-seating and single-class cabins for seat assignments and pricier extra legroom options.', 'It will also start offering a no-frills, no-changes basic economy ticket.', 'Flight credits will also soon have expiration dates.', 'Last month, Southwest had its first-ever mass layoff, cutting about 15% of corporate jobs.', 'It has also slashed unprofitable flying.', ""Air travel hasn't stood still over the last half century, and while it's held onto many core tenets, neither has Southwest."", 'It has gradually made changes over the years, starting to sell things like early boarding, for example.', 'And with air travel breaking new records, assigned seating is necessary for both customers and to make the jobs of employees easier, Southwest executives have argued.', 'Charging for checked bags was something Southwest leaders repeatedly said would cost it more than it could make. (', 'U.S. carriers brought in more than $7 billion in baggage fees in 2023.)In a presentation at an investor day last September, Southwest said it would gain between $1 billion and $1.5 billion from charging for bags but lose $1.8 billion of market share.', ""Southwest executives said that's changed."", 'Hours after breaking the news to customers, CEO Bob Jordan said at a JPMorgan industry conference on Tuesday that ""in contrast to our previous analysis, actual customer booking behavior through our new booking channels such as metasearch, did not show that we are getting the same benefit from our bundled offering with free bags, which has led us to update the assumptions.', '""Jordan added that the carrier has new executives with ""direct experience implementing bag fees at multiple airlines,and that\'s also helped further validate the new assumptions.', '""But thousands joined in consumers\' cri de coeur.', 'Southwest posted on Instagram on Thursday, two days after its bombshell announcement, saying ""It\'s not like we traded Luka,"" a nod to the shocking February trade of Dallas Mavericks superstarLuka Doncic to the Los Angeles Lakers.', 'As of Friday afternoon, the post, which also included information about the change, got more than 14,000 replies, far more than couple of hundred responses the account usually gets.', '""Taking a screen shot of this as it will be the thumbnail for the harvard business review case study of destroying a brand an entire company,"" replied Instagram user rappid_exposure.', 'Frances Frei, a professor of technology and operations management at Harvard Business School, said that, indeed, no other company is likely as studied as Southwest.', '""I sure hope this isn\'t a case of activist investors coming in and insisting on a set of decisions that they won\'t be around to have to endure,"" she said. ""', 'Great organizations get built over time.', ""It doesn't take very long to ruin an organization, and I really don't want this to be an example of that."", '""Southwest\'s two checked bags-fly-free policy officially ends May 28 but for now the slogan is still found on board, printed on cocktail napkins.', 'There will be exceptions: Customers who have a SouthwestAirlinesco-branded credit card can get one bag for free, and customersin its top tiers of service (read: pricier tickets) or its top-tier loyalty program members will get one to two free checked bags.', 'Whether customers abandon Southwest or are simply reacting to the change remains to be seen.', 'The CEOs of Delta, United and Spirit this week said they see an opportunity to win over customers who might turn away from Southwest.', ""Many travelers won't have a lot of other options, however, with so much consolidation among U.S. carriers and stronghold hubs, though they might have to venture to other airports."", 'Southwest has a roughly 73% share at Baltimore/Washington International Thurgood Marshall Airport, a more than 83% share in San Francisco Bay Oakland International Airport, and 89% share in Long Beach, California, according to aviation-data firm Cirium.', ""The real test, Harvard's Frei said, will be whether the bag change will slow down Southwest's operation, with more customers bringing carry-on bags on board to avoid the checked luggage fees."", '""I just fear the cost is being underestimated,"" she said. ""', ""It's real operational harm to Southwest if they go slower."", '""Southwest is already preparing its employees for an onslaught of customer luggage at the gate.', 'Just after its announcement on Tuesday, Southwest told its employees in a memo that customers will ""undoubtedly carry on more luggage than before.', '""Gate agents will receive mobile bag-tag printers ""reducing the need for string bag tags"" and the company will design new carry-on size guides so customers can see if their luggage fits as a carry on, according to a staff memo sent by Justin Jones, EVP of operations, and Adam Decaire, senior vice president of network planning, a copy of which was seen by CNBC.The airline also plans to speed up retrofits of itsBoeing737-800s and Max aircraft with bigger overhead bins.', 'Frei said not charging for bags, unlike the Costco $1.50 hot dog, is not a loss leader, something a company sells at a loss just to win over customers who might buy more expensive, and profitable, items.', ""As much as it's been beloved by customers, the checked bag policy also had a helped the airline turn planes around faster."", '""The reason isn\'t because it\'s kinder to customers.', 'It\'s because it\'s a fast turnaround airline,"" she said. ""', 'If I charge for bags, you will be more likely to carry more luggage on board.', 'And when you carry more luggage on board, I lose my fast turnaround advantage.', '""Southwest is confident that it\'s prepared for an increase in gate-checked bags and onboard luggage.', '""We have a series of work streams that are underway with our with our current operations, to make this not impact our turn times,"" COO Andrew Watterson said in an interview.', 'Time will tell how it shakes out.', 'For now, we have the $1.50 Costco hot dogs.']",0.1903498908221562,"There will be exceptions: Customers who have a SouthwestAirlinesco-branded credit card can get one bag for free, and customersin its top tiers of service (read: pricier tickets) or its top-tier loyalty program members will get one to two free checked bags.","""I just fear the cost is being underestimated,"" she said. """,0.1440805991490682,"Southwest's customer-friendly policies have survived recessions, oil price spikes and even the Covid-19 pandemic, winning it years of goodwill and a loyal following, even as it has grown.",It has also slashed unprofitable flying.,2025-03-18
-FAA briefly halts flights to several Florida airports after SpaceX rocket testing failure,https://www.cnbc.com/2025/03/06/faa-halts-flights-florida-airports-spacex-starsship-testing-failure.html,2025-03-07T14:51:59+0000,"The Federal Aviation Administration briefly halted flights to several Florida airports on Thursday night after a SpaceX Starship testing failure.The incident marks the second time this year that SpaceX experienced a mishap during a flight test of Starship resulting in debris raining down and commercial flights disrupted.Affected airports included Miami International Airport, which is an American Airlines hub, and airports serving Fort Lauderdale, West Palm Beach, and Orlando, Florida.The regulator said, in a statement on Thursday, it is now requiring SpaceX to ""perform a mishap investigation into the loss of the Starship vehicle during launch operations on March 6.""During the event, the FAA said, it ""activated a Debris Response Area and briefly slowed aircraft outside the area where space vehicle debris was falling or stopped aircraft at their departure location. Normal operations have resumed.""SpaceX said, in a post on X on Thursday night: ""During Starship's ascent burn, the vehicle experienced a rapid unscheduled disassembly and contact was lost. Our team immediately began coordination with safety officials to implement pre-planned contingency responses.""The Elon Musk-led aerospace and defense contractor also said it plans to ""review the data from today's flight test to better understand"" the root cause of the mishap.Starship took off from the company's spaceport near Brownsville, Texas, at 6:30 p.m. ET for its eighth test flight.In a livestream showing the test flight, several engines appeared to cut out as the upper-stage Starship vehicle was still climbing. The company then lost communication with the spacecraft but was able to successfully use the arms of its launch tower to catch the rocket's Super Heavy Booster.On Jan. 16, dozens of flights were diverted after SpaceX's Starship rocket broke up, and the FAA warned of ""space vehicle debris"" falling. The regulator had warned pilots of ""dangerous area for falling debris of rocket Starship.""Commercial airlines, private planes and the space industry compete for airspace, particularly in the congested area off of Florida.SpaceX was working on a mishap investigation into what caused the earlier incident but was allowed by the FAA to proceed with the eighth test flight before completing the inquiry.SpaceX did not immediately respond to a request for further information.The tallest and most powerful rocket ever launched, Starship is critical to SpaceX's ambitions. When it is stacked on the Super Heavy booster, Starship stands 403 feet tall and is about 30 feet in diameter.SpaceX founder Musk is also a senior Trump advisor, tasked by the president with making sweeping cuts to government agencies. His reach into regulatory agencies, including the FAA, has drawn criticism and concern from Democratic lawmakers worried about conflicts of interest, security risks and more.",CNBC,07/03/2025,"['The Federal Aviation Administration briefly halted flights to several Florida airports on Thursday night after a SpaceX Starship testing failure.', 'The incident marks the second time this year that SpaceX experienced a mishap during a flight test of Starship resulting in debris raining down and commercial flights disrupted.', 'Affected airports included Miami International Airport, which is an American Airlines hub, and airports serving Fort Lauderdale, West Palm Beach, and Orlando, Florida.', 'The regulator said, in a statement on Thursday, it is now requiring SpaceX to ""perform a mishap investigation into the loss of the Starship vehicle during launch operations on March 6.""During the event, the FAA said, it ""activated a Debris Response Area and briefly slowed aircraft outside the area where space vehicle debris was falling or stopped aircraft at their departure location.', 'Normal operations have resumed.', '""SpaceX said, in a post on X on Thursday night: ""During Starship\'s ascent burn, the vehicle experienced a rapid unscheduled disassembly and contact was lost.', 'Our team immediately began coordination with safety officials to implement pre-planned contingency responses.', '""The Elon Musk-led aerospace and defense contractor also said it plans to ""review the data from today\'s flight test to better understand"" the root cause of the mishap.', ""Starship took off from the company's spaceport near Brownsville, Texas, at 6:30 p.m. ET for its eighth test flight."", 'In a livestream showing the test flight, several engines appeared to cut out as the upper-stage Starship vehicle was still climbing.', ""The company then lost communication with the spacecraft but was able to successfully use the arms of its launch tower to catch the rocket's Super Heavy Booster."", 'On Jan. 16, dozens of flights weredivertedafter SpaceX\'s Starship rocket broke up, and the FAA warned of ""space vehicle debris"" falling.', 'The regulator had warned pilots of ""dangerous area for falling debris of rocket Starship.', '""Commercial airlines, private planes and the space industry compete for airspace, particularly in the congested area off of Florida.', 'SpaceX was working on a mishap investigation into what caused the earlier incident but was allowed by the FAA to proceed with the eighth test flight before completing the inquiry.', 'SpaceX did not immediately respond to a request for further information.', ""The tallest and most powerful rocket ever launched, Starship is critical to SpaceX's ambitions."", 'When it is stacked on the Super Heavy booster, Starship stands 403 feet tall and is about 30 feet in diameter.', 'SpaceX founder Musk is also a senior Trump advisor, tasked by the president with making sweeping cuts to government agencies.', 'His reach into regulatory agencies, including the FAA, has drawn criticism and concern from Democratic lawmakers worried about conflicts of interest, security risks and more.']",-0.0639575313967778,The company then lost communication with the spacecraft but was able to successfully use the arms of its launch tower to catch the rocket's Super Heavy Booster.,"The regulator had warned pilots of ""dangerous area for falling debris of rocket Starship.",-0.9557285990033833,,The incident marks the second time this year that SpaceX experienced a mishap during a flight test of Starship resulting in debris raining down and commercial flights disrupted.,2025-03-18
-Sen. Blumenthal asks Visa for records of its payments deal with Elon Musk’s X,https://www.cnbc.com/2025/03/07/blumenthal-asks-visa-for-details-on-elon-musk-x-payments-deal.html,2025-03-07T17:52:46+0000,"In this articleSen. Richard Blumenthal this week pressed Visa for detailed plans and documents related to its deal to provide payments services to Elon Musk's social media site, X, as it prepares to launch a digital wallet.Blumenthal, a Democrat from Connecticut and the ranking member of the Senate's Permanent Subcommittee on Investigations, pointed to Musk's role in hobbling the Consumer Financial Protection Bureau — the consumer watchdog that would be a key regulator of the X Money service — as among the reasons for the information request, according to a March 6 letter obtained by CNBC.""Given the unique position of X Chairman and Chief Technology Officer Elon Musk as leader of the Department of Government Efficiency and his recent role in gutting the Consumer Financial Protection Bureau … Visa stands to take advantage of the deep conflicts of interest and unscrupulous conduct of its new business partner,"" Blumenthal wrote.The Senate request is one of the first signs of scrutiny on Visa, which runs the world's largest credit card network, after a late January announcement that it had agreed to power peer-to-peer payments on X. Days after the deal was disclosed, operatives from Musk's Department of Government Efficiency gained access to CFPB data systems, leading to accusations that Musk wanted to kneecap a future regulator and that he could steal trade secrets of competitors to his nascent X Money service.The letter, addressed to Visa CEO Ryan McInerney, also cast doubts about whether a social media network known for ""bots, scams and hate speech"" would be able to prevent scams and fraud from proliferating on the site. Musk purchased the site in 2022, when it was known as Twitter.""These concerns raise questions about X's ability to protect consumers from fraud and scams as it ventures into the financial sector,"" Blumenthal wrote.""As the largest payment processor in the world, Visa has a legal responsibility to ensure its network is free of financial crime such as scams and fraud, money-laundering, terrorist financing, and more,"" he said.Blumenthal asked for a detailed description of Visa's plans to enable payments on X, including the business model of the service and Visa's role in compliance with regulatory requirements around money laundering and illicit remittances.He also pressed Visa for ""all records"" related to the deal and communications between X, Visa, DOGE and CFPB personnel.""We are currently reviewing the letter and will respond appropriately,"" a Visa spokesman said in a statement.A representative for X didn't immediately have comment.",CNBC,07/03/2025,"['In this articleSen.', ""Richard Blumenthal this week pressed Visa for detailed plans and documents related to its deal to provide payments services to Elon Musk's social media site, X, as it prepares to launch a digital wallet."", 'Blumenthal, a Democrat from Connecticut and the ranking member of the Senate\'s Permanent Subcommittee on Investigations, pointed to Musk\'s role in hobbling the Consumer Financial Protection Bureau — the consumer watchdog that would be a key regulator of the X Money service — as among the reasons for the information request, according to a March 6 letter obtained by CNBC.""Given the unique position of X Chairman and Chief Technology Officer Elon Musk as leader of the Department of Government Efficiency and his recent role in gutting the Consumer Financial Protection Bureau … Visa stands to take advantage of the deep conflicts of interest and unscrupulous conduct of its new business partner,"" Blumenthal wrote.', ""The Senate request is one of the first signs of scrutiny on Visa, which runs the world's largest credit card network, after a late January announcement that it had agreed to power peer-to-peer payments on X. Days after the deal was disclosed, operatives from Musk's Department of Government Efficiency gained access to CFPB data systems, leading to accusations that Musk wanted to kneecap a future regulator and that he could steal trade secrets of competitors to his nascent X Money service."", 'The letter, addressed to Visa CEO Ryan McInerney, also cast doubts about whether a social media network known for ""bots, scams and hate speech"" would be able to prevent scams and fraud from proliferating on the site.', 'Musk purchased the site in 2022, when it was known as Twitter.', '""These concerns raise questions about X\'s ability to protect consumers from fraud and scams as it ventures into the financial sector,"" Blumenthal wrote.', '""As the largest payment processor in the world, Visa has a legal responsibility to ensure its network is free of financial crime such as scams and fraud, money-laundering, terrorist financing, and more,"" he said.', ""Blumenthal asked for a detailed description of Visa's plans to enable payments on X, including the business model of the service and Visa's role in compliance with regulatory requirements around money laundering and illicit remittances."", 'He also pressed Visa for ""all records"" related to the deal and communications between X, Visa, DOGE and CFPB personnel.', '""We are currently reviewing the letter and will respond appropriately,"" a Visa spokesman said in a statement.', ""A representative for X didn't immediately have comment.""]",-0.1084182607990205,"Blumenthal, a Democrat from Connecticut and the ranking member of the Senate's Permanent Subcommittee on Investigations, pointed to Musk's role in hobbling the Consumer Financial Protection Bureau — the consumer watchdog that would be a key regulator of the X Money service — as among the reasons for the information request, according to a March 6 letter obtained by CNBC.""Given the unique position of X Chairman and Chief Technology Officer Elon Musk as leader of the Department of Government Efficiency and his recent role in gutting the Consumer Financial Protection Bureau … Visa stands to take advantage of the deep conflicts of interest and unscrupulous conduct of its new business partner,"" Blumenthal wrote.","The letter, addressed to Visa CEO Ryan McInerney, also cast doubts about whether a social media network known for ""bots, scams and hate speech"" would be able to prevent scams and fraud from proliferating on the site.",-0.3826399644215901,"The Senate request is one of the first signs of scrutiny on Visa, which runs the world's largest credit card network, after a late January announcement that it had agreed to power peer-to-peer payments on X. Days after the deal was disclosed, operatives from Musk's Department of Government Efficiency gained access to CFPB data systems, leading to accusations that Musk wanted to kneecap a future regulator and that he could steal trade secrets of competitors to his nascent X Money service.","The letter, addressed to Visa CEO Ryan McInerney, also cast doubts about whether a social media network known for ""bots, scams and hate speech"" would be able to prevent scams and fraud from proliferating on the site.",2025-03-18
-"Delta Air Lines slashes earnings outlook on weaker U.S. demand, sending shares lower",https://www.cnbc.com/2025/03/10/delta-air-lines-cuts-forecast-softer-demand.html,2025-03-10T21:21:48+0000,"In this articleDelta Air Lines slashed its first-quarter revenue and profit outlooks, citing weaker domestic demand, backing up growing concerns about lackluster sales in some corners of the travel industry.Delta expects revenue in the quarter ending March 31 to rise no more than 5% from last year, down from a forecast in January of 6% to 8% growth. It slashed its adjusted earnings forecast to 30 cents to 50 cents per share from a previous guidance of 70 cents to $1 a share. Delta's shares were off more than 13% in after-hours trading after falling more than 5% in the regular session on Monday.""The outlook has been impacted by the recent reduction in consumer and corporate confidence caused by increased macro uncertainty, driving softness in Domestic demand,"" Delta said in a securities filing.Delta CEO Ed Bastian told CNBC's ""Closing Bell"" on Monday that he does not expect a recession but said consumer confidence has weakened and that both leisure and business customers have pulled back on bookings.He said concerns about safety ""somewhat exacerbated the impact on us"" after the deadly midair collision between a regional jet and an Army helicopter in January in Washington, D.C., as well as Delta's crash on landing in Toronto last month that was not fatal.Bastian's comments come after a broad market sell-off.Delta's forecast, delivered after the market closed on Monday, comes a day before a JPMorgan airline industry conference in which CEOs are expected to update investors on current demand trends. Delta said in a filing that demand for premium travel, international travel and loyalty revenue growth is still in line with its expectations.American Airlines, Southwest Airlines and United Airlines are among the other carriers that will also update Wall Street on demand trends.Airline shares prices have dropped sharply in recent days as growing signs of weaker consumer spending hit the sector, which had been resilient compared with other industries in the wake of the Covid-19 pandemic.",CNBC,10/03/2025,"['In this articleDelta Air Lines slashed its first-quarter revenue and profit outlooks, citing weaker domestic demand, backing up growing concerns about lackluster sales in some corners of the travel industry.', 'Delta expects revenue in the quarter ending March 31 to rise no more than 5% from last year, down from a forecast in January of 6% to 8% growth.', 'It slashed its adjusted earnings forecast to 30 cents to 50 cents per share from a previous guidance of 70 cents to $1 a share.', ""Delta's shares were off more than 13% in after-hours trading after falling more than 5% in the regular session on Monday."", '""The outlook has been impacted by the recent reduction in consumer and corporate confidence caused by increased macro uncertainty, driving softness in Domestic demand,"" Delta said in a securities filing.', 'Delta CEO Ed Bastian told CNBC\'s ""Closing Bell"" on Monday that he does not expect a recession but said consumer confidence has weakened and that both leisure and business customers have pulled back on bookings.', 'He said concerns about safety ""somewhat exacerbated the impact on us"" after the deadly midair collision between a regional jet and an Army helicopter in January in Washington, D.C., as well as Delta\'s crash on landing in Toronto last month that was not fatal.', ""Bastian's comments come after a broad market sell-off."", ""Delta'sforecast, delivered after the market closed on Monday, comes a day before a JPMorgan airline industry conference in which CEOs are expected to update investors on current demand trends."", 'Delta said in a filing that demand for premium travel, international travel and loyalty revenue growth is still in line with its expectations.', 'American Airlines, Southwest Airlines and United Airlines are among the other carriers that will also update Wall Street on demand trends.', 'Airline shares prices have dropped sharply in recent days as growing signs of weaker consumer spending hit the sector, which had been resilient compared with other industries in the wake of the Covid-19 pandemic.']",0.2305367101588302,"Delta said in a filing that demand for premium travel, international travel and loyalty revenue growth is still in line with its expectations.","In this articleDelta Air Lines slashed its first-quarter revenue and profit outlooks, citing weaker domestic demand, backing up growing concerns about lackluster sales in some corners of the travel industry.",-0.7982749700546264,"Delta said in a filing that demand for premium travel, international travel and loyalty revenue growth is still in line with its expectations.","In this articleDelta Air Lines slashed its first-quarter revenue and profit outlooks, citing weaker domestic demand, backing up growing concerns about lackluster sales in some corners of the travel industry.",2025-03-18
-Kohl's shares plunge 20% as retailer gives rough outlook for the year ahead,https://www.cnbc.com/2025/03/11/kohls-kss-q4-2024-earnings.html,2025-03-11T20:04:58+0000,"In this articleKohl's posted an earnings and revenue beat for the fiscal fourth quarter on Tuesday, but its stock plunged as it issued much worse-than-expected guidance for the year ahead.Shares of the company closed down over 24% on Tuesday.For 2025, Kohl's expects revenue to fall 5% to 7%, compared with Wall Street estimates of a 1.6% decrease, according to LSEG. The company projected comparable sales will decline 4% to 6%, while analysts anticipated a 0.9% decrease, according to StreetAccount. Kohl's expects earnings per share to come in between 10 cents and 60 cents, a miss compared with a midpoint Wall Street estimate of $1.23, according to LSEG.On a Tuesday earnings call, CEO Ashley Buchanan said the company has fallen short in recent years by focusing too much on new categories and de-emphasizing core products such as fine jewelry, petite clothing and proprietary brands.""A lot of the issues were probably self-inflicted over many years of decisions,"" Buchanan said. ""We have a very loyal customer. When I toured stores, all I heard was how much they love Kohl's. And what I realized is we're kind of making it hard for them to love us.""Buchanan, who stepped in as CEO of the company in January, said Kohl's has also excluded too many brands from its coupons, with those exclusions peaking in 2024. That change frustrated and confused customers, he added, and is in the process of being partially reversed.Here's how the retailer did compared with what Wall Street was expecting, based on a survey of analysts by LSEG:Kohl's has navigated significant turmoil in the last few months. The retailer in November named Buchanan its new CEO as of Jan. 15, succeeding Tom Kingsbury after he spent two years leading Kohl's.Shares of the company have fallen more than 65% in the past year.In January, Kohl's announced it had cut nearly 10% of its corporate workforce and would close 27 underperforming stores by April.Overall most Kohl's stores are ""incredibly healthy"" and profitable, CFO Jill Timm said on the earnings call, but the company has many store leases coming up for renewal in the next few years that are an opportunity for reevaluation.As with other retailers, Kohl's lower-income customers are prioritizing value amid elevated inflation, Buchanan said. Kohl's became the latest retailer to say it expected a turbulent 2025, following Dick's Sporting Goods earlier Tuesday. Falling consumer confidence, President Donald Trump's tariff policy and weaker-than-expected job growth have all raised fears about a potential recession.Kohl's fourth-quarter net sales of $5.18 billion fell from $5.71 billion during the same period in 2023. Full-year 2024 sales came in at $15.39 billion, down from $16.59 billion in 2023. Both the fourth quarter and full year of fiscal 2023 were one week longer than their 2024 counterparts, which the company said added $164 million in net sales to 2023.Quarterly comparable sales, defined by Kohl's as sales from e-commerce and stores open for at least 12 months, fell 6.7% year over year. Wall Street expected a 6.8% decrease, according to StreetAccount.Kohl's reported net income for the quarter, which ended Feb. 1, of $48 million, or 43 cents per share, compared with net income of $186 million, or $1.67 per share, during the fourth quarter of 2023.Adjusting for costs associated with impairments and store closures, Kohl's reported fourth-quarter earnings of 95 cents per share.Timm said Tuesday that while store sales were strong, digital sales underperformed, especially in the legacy home category.Comparable beauty sales increased 13%, Timm said, with the retailer's Sephora partnership continuing to drive revenue in the business.",CNBC,11/03/2025,"[""In this articleKohl's posted an earnings and revenue beat for the fiscal fourth quarter on Tuesday, but its stock plunged as it issued much worse-than-expected guidance for the year ahead."", 'Shares of the company closed down over 24% on Tuesday.', ""For 2025, Kohl's expects revenue to fall 5% to 7%, compared with Wall Street estimates of a 1.6% decrease, according to LSEG."", 'The company projected comparable sales will decline 4% to 6%, while analysts anticipated a 0.9% decrease, according to StreetAccount.', ""Kohl's expects earnings per share to come in between 10 cents and 60 cents, a miss compared with a midpoint Wall Street estimate of $1.23, according to LSEG.On a Tuesday earnings call, CEO Ashley Buchanan said the company has fallen short in recent years by focusing too much on new categories and de-emphasizing core products such as fine jewelry, petite clothing and proprietary brands."", '""A lot of the issues were probably self-inflicted over many years of decisions,"" Buchanan said. ""', 'We have a very loyal customer.', ""When I toured stores, all I heard was how much they love Kohl's."", ""And what I realized is we're kind of making it hard for them to love us."", '""Buchanan, who stepped in as CEO of the company in January, said Kohl\'s has also excluded too many brands from its coupons, with those exclusions peaking in 2024.', 'That change frustrated and confused customers, he added, and is in the process of being partially reversed.', ""Here's how the retailer did compared with what Wall Street was expecting, based on a survey of analysts by LSEG:Kohl's has navigated significant turmoil in the last few months."", ""The retailer in November named Buchanan its new CEO as of Jan. 15, succeeding Tom Kingsbury after he spent two years leading Kohl's."", 'Shares of the company have fallen more than 65% in the past year.', ""In January, Kohl's announced it had cut nearly 10% of its corporate workforce and would close 27 underperforming stores by April."", 'Overall most Kohl\'s stores are ""incredibly healthy"" and profitable, CFO Jill Timm said on the earnings call, but the company has many store leases coming up for renewal in the next few years that are an opportunity for reevaluation.', ""As with other retailers, Kohl's lower-income customers are prioritizing value amid elevated inflation, Buchanan said."", ""Kohl's became the latest retailer to say it expected a turbulent 2025, following Dick's Sporting Goods earlier Tuesday."", ""Falling consumer confidence, President Donald Trump's tariff policy and weaker-than-expected job growth have all raised fears about a potential recession."", ""Kohl's fourth-quarter net sales of $5.18 billion fell from $5.71 billion during the same period in 2023."", 'Full-year 2024 sales came in at $15.39 billion, down from $16.59 billion in 2023.', ""Both the fourth quarter and full year of fiscal 2023 were one week longer than their 2024 counterparts, which the company said added $164 million in net sales to 2023.Quarterly comparable sales, defined by Kohl's as sales from e-commerce and stores open for at least 12 months, fell 6.7% year over year."", 'Wall Street expected a 6.8% decrease, according to StreetAccount.', ""Kohl's reported net income for the quarter, which ended Feb. 1, of $48 million, or 43 cents per share, compared with net income of $186 million, or $1.67 per share, during the fourth quarter of 2023.Adjusting for costs associated with impairments and store closures, Kohl's reported fourth-quarter earnings of 95 cents per share."", 'Timm said Tuesday that while store sales were strong, digital sales underperformed, especially in the legacy home category.', ""Comparable beauty sales increased 13%, Timm said, with the retailer's Sephora partnership continuing to drive revenue in the business.""]",0.0867239270263079,And what I realized is we're kind of making it hard for them to love us.,"That change frustrated and confused customers, he added, and is in the process of being partially reversed.",-0.6253400336612355,"Comparable beauty sales increased 13%, Timm said, with the retailer's Sephora partnership continuing to drive revenue in the business.","In this articleKohl's posted an earnings and revenue beat for the fiscal fourth quarter on Tuesday, but its stock plunged as it issued much worse-than-expected guidance for the year ahead.",2025-03-18
-Trump finds unexpected ally in auto union leader over tariffs,https://www.cnbc.com/2025/03/10/trump-uaw-auto-union-shawn-fain-tariffs.html,2025-03-10T20:01:55+0000,"DETROIT — The head of the United Auto Workers has become an unexpected ally for President Donald Trump's plans for North American tariffs.UAW President Shawn Fain, who was boisterous about his disdain for Trump during the president's campaign, is openly voicing approval of the tariffs, which include 25% levies on automobiles and supporting parts.""Tariffs are an attempt to stop the bleeding from the hemorrhaging of jobs in America for the last 33 years,"" Fain said Sunday on ABC News' ""This Week,"" referring to the implementation of the North American Free Trade Agreement in 1992. ""Tariffs aren't the end solution, but they are a huge factor in creating, fixing the problem.""Tariffs for auto companies that currently meet standards under the United States-Mexico-Canada Agreement, or USMCA, are paused until April 2, following Trump speaking with leaders from General Motors, Ford Motor and Stellantis.The April 2 delay, which occurred a day after implementation of broader 25% tariffs on goods from Canada and Mexico, aligns with other Trump-initiated automotive tariffs for vehicles and parts being imported from outside of North America.Fain on Sunday said he had not spoken directly to Trump, but ""has been working with his team.""Fain's comments follow the union releasing a statement supporting the tariffs earlier in the week, saying it's up to companies to handle any additional costs that may occur.The union, which had endorsed then-Vice President Kamala Harris, said it's in ""active negotiations with the Trump administration about their plans to end the free trade disaster.""""We are glad to see an American president take aggressive action on ending the free trade disaster that has dropped like a bomb on the working class,"" the union said Tuesday. ""There's been a lot of talk of these tariffs 'disrupting' the economy. But if corporate America chooses to price-gouge the American consumer or attack the American worker because they don't want to pay their fair share, corporate America bears the blame for that decision.""Fain is one of the only high-profile supporters of Trump's tariffs among automotive leaders. Auto executives as well as trade associations supporting automakers have described the tariffs as adding unnecessary chaos and additional costs to the industry.""President Trump has talked a lot about making our U.S. auto industry stronger, bringing more production here, more innovation in the U.S., and if his administration can achieve that, it would be one of … the most signature accomplishments,"" Ford CEO Jim Farley said last month. ""So far what we're seeing is a lot of cost, and a lot of chaos.""Fain has previously condemned the North American Free Trade Agreement — which has been superseded by Trump's USMCA trade deal since 2020 — saying such trade agreements have caused the country to lose jobs and manufacturing.Fain and Trump have been at odds and publicly trading remarks since the union leader was elected in 2023. Trump called for Fain to be fired during a speech last year at the Republican National Convention.Fain has regularly called Trump a ""scab"" and billionaire who doesn't care about American workers, but his comments Sunday on Trump show his stance may have softened.""The election is over. Donald Trump is the president, and we want to get to work to fix the problems that are wrong with this country, with our economy,"" Fain said. ""And the American people expect that. They expect leaders to stand up and lead. They don't expect us to sit back.""The UAW remains under a federal monitorship following a yearslong investigation into the union involving embezzlement, bribery and other charges ahead of Fain's election. That probe resulted in several convictions of union leaders and Fiat Chrysler executives, including two past union presidents.Federal monitor Neil Barofsky last year disclosed an investigation into Fain as well as other union leaders, accusing them of obstructing the probe and interfering with access to information.In January, the monitor's office said it would provide further updates on its investigative activities in a subsequent report.",CNBC,10/03/2025,"[""DETROIT — The head of the United Auto Workers has become an unexpected ally for President Donald Trump's plans for North American tariffs."", ""UAW President Shawn Fain, who was boisterous about his disdain for Trump during the president's campaign, is openly voicing approval of the tariffs, which include 25% levies on automobiles and supporting parts."", '""Tariffs are an attempt to stop the bleeding from the hemorrhaging of jobs in America for the last 33 years,"" Fain said Sunday on ABC News\' ""This Week,"" referring to the implementation of the North American Free Trade Agreement in 1992. ""', ""Tariffs aren't the end solution, but they are a huge factor in creating, fixing the problem."", '""Tariffs for auto companies that currently meet standards under the United States-Mexico-Canada Agreement, or USMCA, are paused until April 2, following Trump speaking with leaders from General Motors, Ford Motor and Stellantis.', 'The April 2 delay, which occurred a day after implementation of broader 25% tariffs on goods from Canada and Mexico, aligns with other Trump-initiated automotive tariffs for vehicles and parts being imported from outside of North America.', 'Fain on Sunday said he had not spoken directly to Trump, but ""has been working with his team.', '""Fain\'s comments follow the union releasing a statement supporting the tariffs earlier in the week, saying it\'s up to companies to handle any additional costs that may occur.', 'The union, which had endorsed then-Vice President Kamala Harris, said it\'s in ""active negotiations with the Trump administration about their plans to end the free trade disaster.', '""""We are glad to see an American president take aggressive action on ending the free trade disaster that has dropped like a bomb on the working class,"" the union said Tuesday. ""', ""There's been a lot of talk of these tariffs 'disrupting' the economy."", ""But if corporate America chooses to price-gouge the American consumer or attack the American worker because they don't want to pay their fair share, corporate America bears the blame for that decision."", '""Fain is one of the only high-profile supporters of Trump\'s tariffs among automotive leaders.', 'Auto executives as well as trade associations supporting automakers have described the tariffs as adding unnecessary chaos and additional costs to the industry.', '""President Trump has talked a lot about making our U.S. auto industry stronger, bringing more production here, more innovation in the U.S., and if his administration can achieve that, it would be one of … the most signature accomplishments,"" Ford CEO Jim Farley said last month. ""', ""So far what we're seeing is a lot of cost, and a lot of chaos."", '""Fain has previously condemned the North American Free Trade Agreement — which has been superseded by Trump\'s USMCA trade deal since 2020 — saying such trade agreements have caused the country to lose jobs and manufacturing.', 'Fain and Trump have been at odds and publicly trading remarks since the union leader was elected in 2023.', 'Trump called for Fain to be fired during a speech last year at the Republican National Convention.', 'Fain has regularly called Trump a ""scab"" and billionaire who doesn\'t care about American workers, but his comments Sunday on Trump show his stance may have softened.', '""The election is over.', 'Donald Trump is the president, and we want to get to work to fix the problems that are wrong with this country, with our economy,"" Fain said. ""', 'And the American people expect that.', 'They expect leaders to stand up and lead.', ""They don't expect us to sit back."", '""The UAW remains under a federal monitorship following a yearslong investigation into the union involving embezzlement, bribery and other charges ahead of Fain\'s election.', 'That probe resulted in several convictions of union leaders and Fiat Chrysler executives, including two past union presidents.', 'Federal monitor Neil Barofsky last year disclosed an investigation into Fain as well as other union leaders, accusing them of obstructing the probe and interfering with access to information.', ""In January, the monitor's office said it would provide further updates on its investigative activities in a subsequent report.""]",0.0949665563900431,"""Tariffs for auto companies that currently meet standards under the United States-Mexico-Canada Agreement, or USMCA, are paused until April 2, following Trump speaking with leaders from General Motors, Ford Motor and Stellantis.","Donald Trump is the president, and we want to get to work to fix the problems that are wrong with this country, with our economy,"" Fain said. """,-0.0606703758239746,"""President Trump has talked a lot about making our U.S. auto industry stronger, bringing more production here, more innovation in the U.S., and if his administration can achieve that, it would be one of … the most signature accomplishments,"" Ford CEO Jim Farley said last month. ""","""Fain has previously condemned the North American Free Trade Agreement — which has been superseded by Trump's USMCA trade deal since 2020 — saying such trade agreements have caused the country to lose jobs and manufacturing.",2025-03-18
-PepsiCo buys prebiotic soda brand Poppi for nearly $2 billion,https://www.cnbc.com/2025/03/17/pepsico-buys-prebiotic-soda-brand-poppi-for-more-than-1point6-billion.html,2025-03-17T18:22:35+0000,"In this articlePepsiCo said Monday that it is buying prebiotic soda brand Poppi for nearly $2 billion.While soda consumption has broadly fallen over the past two decades in the U.S., prebiotic sodas, fueled by industry newcomers Poppi and Olipop, have won over health-conscious consumers over the past five years.The category's growth makes it attractive for Pepsi and its rival, Coca-Cola, which recently launched its own prebiotic soda brand, Simply Pop. Pepsi had reportedly aimed to launch its own functional soda under its Soulboost brand, but it canceled those plans, likely paving the way to a deal with Poppi.Pepsi said it plans to acquire the upstart Poppi for $1.95 billion. The deal includes $300 million of anticipated cash tax benefits, making the net purchase price $1.65 billion.Pepsi will also have to make additional payments if Poppi achieves certain performance milestones within a set time frame after the acquisition closes. The company did not say when the deal is expected to close, pending regulatory approval.Poppi's founders Allison and Stephen Ellsworth launched the brand back in 2018, the same year that Olipop was founded. Poppi's formula includes apple cider vinegar, prebiotics and just five grams of sugar.By 2023, Poppi's annual sales reportedly crossed $100 million.The company recently made its second straight Super Bowl appearance with an ad during the big game, demonstrating both its deep pockets and a desire to reach an even wider audience.But as Poppi's sales have grown, it has also attracted backlash for its health claims. For example, the company faced a class action lawsuit that alleged that its drinks were not as healthy as its packaging claimed. Poppi and the plaintiff moved to settle the suit on Friday for $8.9 million, according to court filings.For its part, rival Olipop was valued at $1.85 billion during its latest funding round, which was announced in February. In 2023, Olipop founder and CEO Ben Goodwin told CNBC that soda giants PepsiCo and Coca-Cola had already come knocking about a potential sale.",CNBC,17/03/2025,"['In this articlePepsiCo said Monday that it is buying prebiotic soda brand Poppi for nearly $2 billion.', 'While soda consumption has broadly fallen over the past two decades in the U.S., prebiotic sodas, fueled by industry newcomers Poppi and Olipop, have won over health-conscious consumers over the past five years.', ""The category's growth makes it attractive for Pepsi and its rival, Coca-Cola, which recently launched its own prebiotic soda brand, Simply Pop."", 'Pepsi had reportedly aimed to launch its own functional soda under its Soulboost brand, but it canceled those plans, likely paving the way to a deal with Poppi.', 'Pepsi said it plans to acquire the upstart Poppi for $1.95 billion.', 'The deal includes $300 million of anticipated cash tax benefits, making the net purchase price $1.65 billion.', 'Pepsi will also have to make additional payments if Poppi achieves certain performance milestones within a set time frame after the acquisition closes.', 'The company did not say when the deal is expected to close, pending regulatory approval.', ""Poppi's foundersAllison and Stephen Ellsworth launched the brand back in 2018, the same year that Olipop was founded."", ""Poppi's formula includes apple cider vinegar, prebiotics and just five grams of sugar."", ""By 2023, Poppi's annual sales reportedly crossed $100 million."", 'The company recently made its second straight Super Bowl appearance with an ad during the big game, demonstrating both its deep pockets and a desire to reach an even wider audience.', ""But as Poppi's sales have grown, it has also attracted backlash for its health claims."", 'For example, the company faced a class action lawsuit that alleged that its drinks were not as healthy as its packaging claimed.', 'Poppi and the plaintiff moved to settle the suit on Friday for $8.9 million, according to court filings.', 'For its part, rival Olipop was valued at $1.85 billion during its latest funding round, which was announced in February.', 'In 2023, Olipop founder and CEO Ben Goodwin told CNBC that soda giants PepsiCo and Coca-Cola had already come knocking about a potential sale.']",0.2130677468922047,"The company recently made its second straight Super Bowl appearance with an ad during the big game, demonstrating both its deep pockets and a desire to reach an even wider audience.","For example, the company faced a class action lawsuit that alleged that its drinks were not as healthy as its packaging claimed.",0.6602089703083038,"The category's growth makes it attractive for Pepsi and its rival, Coca-Cola, which recently launched its own prebiotic soda brand, Simply Pop.","For example, the company faced a class action lawsuit that alleged that its drinks were not as healthy as its packaging claimed.",2025-03-18
-"Ulta issues weak guidance, citing consumer uncertainty, rising competition and company missteps",https://www.cnbc.com/2025/03/13/ulta-beauty-ulta-earnings-q4-2024.html,2025-03-13T21:29:34+0000,"In this articleUlta Beauty on Thursday issued weak guidance for the year ahead as it navigates a series of internal missteps, rising competition and what it called ""consumer uncertainty.""The retailer, which appointed Kecia Steelman as its new CEO in January, said it's expecting comparable sales to be flat or grow 1% in 2025, while analysts had anticipated they would rise by 1.2%, according to StreetAccount. It's expecting full-year earnings to be between $22.50 and $22.90, lower than expectations of $23.47, according to LSEG. Ulta is the latest company to forecast a rocky year ahead. While it factored uncertain consumer spending into its guidance, the retailer is also navigating a series of company-specific challenges and views 2025 as a transition year. Fixing those issues will cost money, which is part of the reason why it's expecting profits to be lower than Wall Street anticipated in the year ahead.""I've shared our plan to make important guest-facing investments, which are necessary to improve our competitiveness and re-accelerate long term share growth,"" said Steelman on a call with analysts. ""These investments will pressure profitability in 2025 but we believe they are critical to driving long-term sustainable growth in a competitive, innovative category.""Shares rose 6% in extended trading.Here's how the beauty retailer did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $393 million, or $8.46 per share, compared with $394 million, or $8.08 per share, a year earlier.Sales dropped to $3.49 billion, down about 2% from $3.55 billion a year earlier. Like other retailers, Ulta benefited from an extra selling week in the year-ago period, which has negatively skewed results. Beauty has been one of retail's brightest spots over the last couple of years, but Ulta has fallen behind due to a series of self-inflicted challenges. The company's business has become more complex as it has grown, and Ulta has stumbled when launching new fulfillment choices, such as buy online, pickup in store, same-day delivery and ship from store.""As a result, our in-store presentation and guest experience today are not as strong as we would like,"" said Steelman. ""These are opportunities well within our control.""In January, Ulta announced that its longtime CEO Dave Kimbell would be replaced by its then-Chief Operating Officer Steelman, who has been with the retailer for more than a decade. Her experience as an operations guru makes her well suited to tackle some of the execution issues that have plagued Ulta.During her first earnings call as CEO, Steelman was candid about what Ulta is doing right and what it's doing wrong. She said the company will spend the next year resetting its business and working to take back the market share that it has lost.""The competitive environment in beauty has never been more intense,"" said Steelman. ""For the first time, we lost market share in the beauty category in 2024.""During Ulta's holiday quarter, comparable sales climbed 1.5%, beating expectations of 0.8% growth, according to StreetAccount. Customers spent more during the quarter, resulting in a 3% rise in average ticket, but fewer shoppers came to Ulta's stores to buy beauty products. Transactions during the quarter decreased by 1.4%. Part of that is likely because so many more companies are expanding into beauty. Not only does it compete with rival Sephora, but also mass retailers like Macy's, Walmart and Amazon have made beauty a cornerstone of their strategies and have all expanded their selections of makeup and skincare products.Last year, Ulta warned of a cooling beauty market, but companies like E.l.f. Beauty and Oddity didn't see similar dynamics, and beauty sales remained strong at retailers like Macy's and Target. In the meantime, Ulta has focused on boosting profitability. It managed to grow earnings during the quarter, even with one less selling week.",CNBC,13/03/2025,"['In this articleUlta Beauty on Thursday issued weak guidance for the year ahead as it navigates a series of internal missteps, rising competition and what it called ""consumer uncertainty.', '""The retailer, which appointed Kecia Steelman as its new CEO in January, said it\'s expecting comparable sales to be flat or grow 1% in 2025, while analysts had anticipated they would rise by 1.2%, according to StreetAccount.', ""It's expecting full-year earnings to be between $22.50 and $22.90, lower than expectations of $23.47, according to LSEG.Ulta is the latest company to forecast a rocky year ahead."", 'While it factored uncertain consumer spending into its guidance, the retailer is also navigating a series of company-specific challenges and views 2025 as a transition year.', ""Fixing those issues will cost money, which is part of the reason why it's expecting profits to be lower than Wall Street anticipated in the year ahead."", '""I\'ve shared our plan to make important guest-facing investments, which are necessary to improve our competitiveness and re-accelerate long term share growth,"" said Steelman on a call with analysts. ""', 'These investments will pressure profitability in 2025 but we believe they are critical to driving long-term sustainable growth in a competitive, innovative category.', '""Shares rose 6% in extended trading.', ""Here's how the beauty retailer did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $393 million, or $8.46 per share, compared with $394 million, or $8.08 per share, a year earlier."", 'Sales dropped to $3.49 billion, down about 2% from $3.55 billion a year earlier.', 'Like other retailers, Ulta benefited from an extra selling week in the year-ago period, which has negatively skewed results.', ""Beauty has been one of retail's brightest spots over the last couple of years, but Ulta has fallen behind due to a series of self-inflicted challenges."", ""The company's business has become more complex as it has grown, and Ulta has stumbled when launching new fulfillment choices, such as buy online, pickup in store, same-day delivery and ship from store."", '""As a result, our in-store presentation and guest experience today are not as strong as we would like,"" said Steelman. ""', 'These are opportunities well within our control.', '""In January, Ulta announced that its longtime CEO Dave Kimbell would be replaced by its then-Chief Operating Officer Steelman, who has been with the retailer for more than a decade.', 'Her experience as an operations guru makes her well suited to tackle some of the execution issues that have plagued Ulta.', ""During her first earnings call as CEO, Steelman was candid about what Ulta is doing right and what it's doing wrong."", 'She said the company will spend the next year resetting its business and working to take back the market share that it has lost.', '""The competitive environment in beauty has never been more intense,"" said Steelman. ""', 'For the first time, we lost market share in the beauty category in 2024.""During Ulta\'s holiday quarter, comparable sales climbed 1.5%, beating expectations of 0.8% growth, according to StreetAccount.', ""Customers spent more during the quarter, resulting in a 3% rise in average ticket, but fewer shoppers came to Ulta's stores to buy beauty products."", 'Transactions during the quarter decreased by 1.4%.Part of that is likely because so many more companies are expanding into beauty.', ""Not only does it compete with rival Sephora, but also mass retailers like Macy's, Walmart and Amazon have made beauty a cornerstone of their strategies and have all expanded their selections of makeup and skincare products."", 'Last year, Ulta warned of a cooling beauty market, but companies like E.l.f.', ""Beauty and Oddity didn't see similar dynamics, and beauty sales remained strong at retailers like Macy's and Target."", 'In the meantime, Ulta has focused on boosting profitability.', 'It managed to grow earnings during the quarter, even with one less selling week.']",0.321555487728933,"Beauty and Oddity didn't see similar dynamics, and beauty sales remained strong at retailers like Macy's and Target.","During her first earnings call as CEO, Steelman was candid about what Ulta is doing right and what it's doing wrong.",0.1701443940401077,"""Shares rose 6% in extended trading.","Fixing those issues will cost money, which is part of the reason why it's expecting profits to be lower than Wall Street anticipated in the year ahead.",2025-03-18
-"Klarna, nearing IPO, plucks lucrative Walmart fintech partnership from rival Affirm",https://www.cnbc.com/2025/03/17/walmart-klarna-nearing-ipo-wins-fintech-partnership-from-affirm.html,2025-03-17T21:14:32+0000,"In this articleSwedish fintech firm Klarna will be the exclusive provider of buy now, pay later loans for Walmart, taking a coveted partnership away from rival Affirm, CNBC has learned.Klarna, which just disclosed its intention to go public in the U.S., will provide loans to Walmart customers in stores and online through the retailer's majority-owned fintech startup OnePay, according to people with knowledge of the situation who declined to be identified speaking about the partnership.OnePay, which updated its brand name from One this month, will handle the user experience via its app, while Klarna will make underwriting decisions for loans ranging from three months to 36 months in length, and with annual interest rates from 10% to 36%, said the people.The new product will be launched in the coming weeks and will be scaled to all Walmart channels by the holiday season, likely leaving it the retailer's only buy now, pay later option by year-end.The move heightens the rivalry between Affirm and Klarna, two of the world's biggest BNPL players, just as Klarna is set to go public. Although both companies claim to offer a better alternative for borrowers than credit cards, Affirm is more U.S.-centric and has been public since 2021, while Klarna's network is more global.Shares of Affirm dropped 4.2% Monday after falling as much as 14% earlier in the session.The deal comes at an opportune time for Klarna as it readies one of the year's most highly anticipated initial public offerings. After a dearth of big tech listings in the U.S. since 2021, the Klarna IPO will be a key test for the industry. The firm's private market valuation has been a roller coaster: It soared to $46 billion in 2021, then crashed by 85% the next year amid the broader decline of high-flying fintech firms.CEO Sebastian Siemiatkowski has worked to improve Klarna's prospects, including touting its use of generative artificial intelligence to slash expenses and headcount. The company returned to profitability in 2023, and its valuation is now roughly $15 billion, according to analysts, nearly matching the public market value of Affirm.The OnePay deal is a ""game changer"" for Klarna, Siemiatkowski said in a release confirming the pact.""Millions of people in the U.S. shop at Walmart every day — and now they can shop smarter with OnePay installment loans powered by Klarna,"" he said. ""We look forward to helping redefine checkout at the world's largest retailer — both online and in stores.""As part of the deal, OnePay can take a position in Klarna. In its F-1 filing, Klarna said it entered into a ""commercial agreement with a global partner"" in which it is giving warrants to purchase more than 15 million shares for an average price of $34 each. OnePay is the partner, people with knowledge of the deal confirmed.For Affirm, the move is likely to be seen as a blow at a time when tech stocks are particularly vulnerable. Run by CEO Max Levchin, a PayPal co-founder, the company's stock has surged and fallen since its 2021 IPO. The lender's shares have dipped 18% this year before Monday.Affirm executives frequently mention their partnerships with big merchants as a key driver of purchase volumes and customer acquisition. In November, Affirm's chief revenue officer, Wayne Pommen, referred to Walmart and other tie-ups including those with Amazon, Shopify and Target as its ""crown jewel partnerships.""An Affirm spokesman had this statement: ""We win business when merchants want superior performance and maximum value, given our underwriting and capital markets advantages. We will continue our long-term strategy of competing on our products and entering into sustainable partnerships.""The deal is no less consequential to Walmart's OnePay, which has surged to a $2.5 billion pre-money valuation just two years after rolling out a suite of products to its customers.The startup now has more than 3 million active customers and is generating revenue at an annual run rate of more than $200 million.As part of its push to penetrate areas adjacent to its core business, Walmart executives have touted OnePay's potential to become a one-stop shop for Americans underserved by traditional banks.Walmart is the world's largest retailer and says it has 255 million weekly customers, giving the startup — which is a separate company backed by Walmart and Ribbit Capital — a key advantage in acquiring new customers.Last year, the Walmart-backed fintech began offering BNPL loans in the aisles and on checkout pages of Walmart, CNBC reported at the time. That led to speculation that it would ultimately displace Affirm, which had been the exclusive provider for BNPL loans for Walmart since 2019.OnePay's move to partner with Klarna rather than going it alone shows the company saw an advantage in going with a seasoned, at-scale provider versus using its own solution.OnePay's push into consumer lending is expected to accelerate its conversion of Walmart customers into fintech app users. Cash-strapped consumers are increasingly relying on loans to meet their needs, and the installment loan is seen as a wedge to also offer users the banking, savings and payments features that OnePay has already built.Americans held a record $1.21 trillion in credit card debt in the fourth quarter of last year, about $441 billion higher than balances in 2021, according to Federal Reserve Bank of New York data.""It's never been more important to give consumers simple and convenient ways to access fair credit at the point of sale,"" said OnePay CEO Omer Ismail. ""That's especially true for the millions of people who turn to Walmart every week for everything.""Next up is likely a OnePay-branded credit card offered with the help of a new banking partner after Walmart successfully exited its partnership with Capital One.""We're looking forward to going down this new path where not only can they provide installment credit ... but also revolving credit,"" Walmart CFO John David Rainey told investors in June.— CNBC's MacKenzie Sigalos and Melissa Repko contributed to this report.",CNBC,17/03/2025,"['In this articleSwedish fintech firm Klarna will be the exclusive provider of buy now, pay later loans for Walmart, taking a coveted partnership away from rival Affirm, CNBC has learned.', ""Klarna, which just disclosed its intention to go public in the U.S., will provide loans to Walmart customers in stores and online through the retailer's majority-owned fintech startup OnePay, according to people with knowledge of the situation who declined to be identified speaking about the partnership."", 'OnePay, which updated its brand name from One this month, will handle the user experience via its app, while Klarna will make underwriting decisions for loans ranging from three months to 36 months in length, and with annual interest rates from 10% to 36%, said the people.', ""The new product will be launched in the coming weeks and will be scaled to all Walmart channels by the holiday season, likely leaving it the retailer's only buy now, pay later option by year-end."", ""The move heightens the rivalry between Affirm and Klarna, two of the world's biggest BNPL players, just as Klarna is set to go public."", ""Although both companies claim to offer a better alternative for borrowers than credit cards, Affirm is more U.S.-centric and has been public since 2021, while Klarna's network is more global."", 'Shares of Affirm dropped 4.2% Monday after falling as much as 14% earlier in the session.', ""The deal comes at an opportune time for Klarna as it readies one of the year's most highly anticipated initial public offerings."", 'After a dearth of big tech listings in the U.S. since 2021, the Klarna IPO will be a key test for the industry.', ""The firm's private market valuation has been a roller coaster: It soared to $46 billion in 2021, then crashed by 85% the next year amid the broader decline of high-flying fintech firms."", ""CEO Sebastian Siemiatkowski has worked to improve Klarna's prospects, including touting its use of generative artificial intelligence to slash expenses and headcount."", 'The company returned to profitability in 2023, and its valuation is now roughly $15 billion, according to analysts, nearly matching the public market value of Affirm.', 'The OnePay deal is a ""game changer"" for Klarna, Siemiatkowski said in a release confirming the pact.', '""Millions of people in the U.S. shop at Walmart every day — and now they can shop smarter with OnePay installment loans powered by Klarna,"" he said. ""', ""We look forward to helping redefine checkout at the world's largest retailer — both online and in stores."", '""As part of the deal, OnePay can take a position in Klarna.', 'In its F-1 filing, Klarna said it entered into a ""commercial agreement with a global partner"" in which it is giving warrants to purchase more than 15 million shares for an average price of $34 each.', 'OnePay is the partner, people with knowledge of the deal confirmed.', 'For Affirm, the move is likely to be seen as a blow at a time when tech stocks are particularly vulnerable.', ""Run by CEO Max Levchin, a PayPal co-founder, the company's stock has surged and fallen since its 2021 IPO."", ""The lender's shares have dipped 18% this year before Monday."", 'Affirm executives frequently mention their partnerships with big merchants as a key driver of purchase volumes and customer acquisition.', 'In November, Affirm\'s chief revenue officer, Wayne Pommen, referred to Walmart and other tie-ups including those with Amazon, Shopify and Target as its ""crown jewel partnerships.', '""An Affirm spokesman had this statement: ""We win business when merchants want superior performance and maximum value, given our underwriting and capital markets advantages.', 'We will continue our long-term strategy of competing on our products and entering into sustainable partnerships.', '""The deal is no less consequential to Walmart\'s OnePay, which has surged to a $2.5 billion pre-money valuation just two years after rolling out a suite of products to its customers.', 'The startup now has more than 3 million active customers and is generating revenue at an annual run rate of more than $200 million.', ""As part of its push to penetrate areas adjacent to its core business, Walmart executives have touted OnePay's potential to become a one-stop shop for Americans underserved by traditional banks."", ""Walmart is the world's largest retailer and says it has 255 million weekly customers, giving the startup — which is a separate company backed by Walmart and Ribbit Capital — a key advantage in acquiring new customers."", 'Last year, the Walmart-backed fintech began offering BNPL loans in the aisles and on checkout pages of Walmart, CNBC reported at the time.', ""That led to speculation that it would ultimately displace Affirm, which had been the exclusive provider for BNPL loans for Walmart since 2019.OnePay's move to partner with Klarna rather than going it alone shows the company saw an advantage in going with a seasoned, at-scale provider versus using its own solution."", ""OnePay's push into consumer lending is expected to accelerate its conversion of Walmart customers into fintech app users."", 'Cash-strapped consumers are increasingly relying on loans to meet their needs, and the installment loan is seen as a wedge to also offer users the banking, savings and payments features that OnePay has already built.', 'Americans held a record $1.21 trillion in credit card debt in the fourth quarter of lastyear, about $441 billion higher than balances in 2021, according to Federal Reserve Bank of New York data.', '""It\'s never been more important to give consumers simple and convenient ways to access fair credit at the point of sale,"" said OnePay CEO Omer Ismail. ""', ""That's especially true for the millions of people who turn to Walmart every week for everything."", '""Next up is likely a OnePay-branded credit card offered with the help of a new banking partner after Walmart successfully exited its partnership with Capital One.', '""We\'re looking forward to going down this new path where not only can they provide installment credit ... but also revolving credit,"" Walmart CFO John David Rainey told investors in June.—', ""CNBC's MacKenzie Sigalos and Melissa Repko contributed to this report.""]",0.2201782648605297,"""An Affirm spokesman had this statement: ""We win business when merchants want superior performance and maximum value, given our underwriting and capital markets advantages.","After a dearth of big tech listings in the U.S. since 2021, the Klarna IPO will be a key test for the industry.",0.250191193819046,"""The deal is no less consequential to Walmart's OnePay, which has surged to a $2.5 billion pre-money valuation just two years after rolling out a suite of products to its customers.",The lender's shares have dipped 18% this year before Monday.,2025-03-18
-Take a look inside the world's largest 3D printed housing development,https://www.cnbc.com/2025/03/12/inside-the-worlds-largest-3d-printed-housing-development.html,2025-03-12T18:26:48+0000,"In this articleJust outside Austin, in Georgetown, Texas, brand new planned communities sprawl out as far as the eye can see, which is pretty far in this part of the country. But one small subdivision instantly draws focus. Just completed, it is now the world's largest 3D-printed community.Two years ago, Lennar, the nation's second-largest homebuilder, partnered with Icon, a 3D technology company, to print 100 homes in the Wolf Ranch development. The companies say about 75% of them have already sold.All the walls have rounded edges, as that's how the printers navigate with the concrete. The layering process makes it feel like hard, wide-wale corduroy. The roofing is the only part of the structures not 3D-printed, and, in this community, is made of metal. Each home is solar-powered.""We have a durable product here that if you look at its wind resistance for hurricanes, its fire resistance for fire-worn areas — the ability to adapt modern product to what we need for the future in housing and building a healthier housing market is amazing,"" said Stuart Miller, chairman and co-CEO of Lennar.Icon started the project at Wolf Ranch in 2022, using two 40-foot robotic printers. By the second year, the company was using 11 machines, cutting print time in half and squeezing out two homes per week. Each printer does the job of more than a dozen construction workers. The systems operated 24 hours a day.""All the learnings about this technology need to happen at scale,"" said Jason Ballard, CEO of Icon. ""The truth is in the field, not in the lab.""Ballard said his team had to work out large-scale logistics with Lennar's teams, everything from laying foundations to printing walls, installing interior systems and adding roofing.""Figuring out how to integrate with Lennar's operations, who are probably the best scale builders in the world, was a real growing up moment for our company,"" Ballard said.The homes have all the amenities of a conventionally built Lennar community. They come in 2- and 3-bedroom models and start at just under $400,000.Holly Feekings and her husband, both retired, moved into their 3D-printed home about a year ago. She said the best part of living in the printed home is her electric bill — just $26 last month. Concrete retains its temperature, heat or cold air, better than her previous standard colonial, Feekings said. She also likes the home's durability.""I feel safer in this house than any house I've ever lived in, because it's so well built, it's not going to burn down,"" said Feekings.Around the corner, Pierre Megie and his girlfriend were drawn in by the look and feel of the home.""We wanted tall doors, taller ceilings, cement floors, somehow, and this home had everything. Really just a combination of energy efficiency, the practicality, the price point, and then the aesthetics,"" said Megie.The community was an experiment for Lennar. The cost to stand it up, according to Miller and Ballard, was slightly higher than anticipated as they worked through the kinks.Miller said Lennar is now planning its second 3D-printed community in Texas with Icon, roughly 200 homes, which will cost even less to build, given what the companies learned in Georgetown. The next community will have larger homes, and Ballard expects them to go up even faster, and cheaper.""We've seen our costs go down by half. We've seen our cycle time go down by half. This is significant improvement in evolving a housing market that has the ability to change over time and being more adaptable and more functional in providing affordable and attainable housing for a broader swath of the market,"" said Miller.As for the rising risk of tariffs between U.S. and trade partners, Ballard said all of the concrete his company uses is sourced stateside.",CNBC,12/03/2025,"['In this articleJust outside Austin, in Georgetown, Texas, brand new planned communities sprawl out as far as the eye can see, which is pretty far in this part of the country.', 'But one small subdivision instantly draws focus.', ""Just completed, it is now the world's largest 3D-printed community."", ""Two years ago, Lennar, the nation's second-largest homebuilder, partnered with Icon, a 3D technology company, to print 100 homes in the Wolf Ranch development."", 'The companies say about 75% of them have already sold.', ""All the walls have rounded edges, as that's how the printers navigate with the concrete."", 'The layering process makes it feel like hard, wide-wale corduroy.', 'The roofing is the only part of the structures not 3D-printed, and, in this community, is made of metal.', 'Each home is solar-powered.', '""We have a durable product here that if you look at its wind resistance for hurricanes, its fire resistance for fire-worn areas — the ability to adapt modern product to what we need for the future in housing and building a healthier housing market is amazing,"" said Stuart Miller, chairman and co-CEO of Lennar.', 'Icon started the project at Wolf Ranch in 2022, using two 40-foot robotic printers.', 'By the second year, the company was using 11 machines, cutting print time in half and squeezing out two homes per week.', 'Each printer does the job of more than a dozen construction workers.', 'The systems operated 24 hours a day.', '""All the learnings about this technology need to happen at scale,"" said Jason Ballard, CEO of Icon. ""', 'The truth is in the field, not in the lab.', '""Ballard said his team had to work out large-scale logistics with Lennar\'s teams, everything from laying foundations to printing walls, installing interior systems and adding roofing.', '""Figuring out how to integrate with Lennar\'s operations, who are probably the best scale builders in the world, was a real growing up moment for our company,"" Ballard said.', 'The homes have all the amenities of a conventionally built Lennar community.', 'They come in 2- and 3-bedroom models and start at just under $400,000.Holly Feekings and her husband, both retired, moved into their 3D-printed home about a year ago.', 'She said the best part of living in the printed home is her electric bill — just $26 last month.', 'Concrete retains its temperature, heat or cold air, better than her previous standard colonial, Feekings said.', ""She also likes the home's durability."", '""I feel safer in this house than any house I\'ve ever lived in, because it\'s so well built, it\'s not going to burn down,"" said Feekings.', 'Around the corner, Pierre Megie and his girlfriend were drawn in by the look and feel of the home.', '""We wanted tall doors, taller ceilings, cement floors, somehow, and this home had everything.', 'Really just a combination of energy efficiency, the practicality, the price point, and then the aesthetics,"" said Megie.', 'The community was an experiment for Lennar.', 'The cost to stand it up, according to Miller and Ballard, was slightly higher than anticipated as they worked through the kinks.', 'Miller said Lennar is now planning its second 3D-printed community in Texas with Icon,roughly 200 homes, which will cost even less to build, given what the companies learned in Georgetown.', 'The next community will have larger homes, and Ballard expects them to go up even faster, and cheaper.', '""We\'ve seen our costs go down by half.', ""We've seen our cycle time go down by half."", 'This is significant improvement in evolving a housing market that has the ability to change over time and being more adaptable and more functional in providing affordable and attainable housing for a broader swath of the market,"" said Miller.', 'As for the rising risk of tariffs between U.S. and trade partners, Ballard said all of the concrete his company uses is sourced stateside.']",0.1382498367404432,"This is significant improvement in evolving a housing market that has the ability to change over time and being more adaptable and more functional in providing affordable and attainable housing for a broader swath of the market,"" said Miller.","As for the rising risk of tariffs between U.S. and trade partners, Ballard said all of the concrete his company uses is sourced stateside.",0.7973626255989075,"The cost to stand it up, according to Miller and Ballard, was slightly higher than anticipated as they worked through the kinks.",We've seen our cycle time go down by half.,2025-03-18
-DC housing market shows signs of cracks amid mass federal layoffs,https://www.cnbc.com/2025/03/13/washington-dc-housing-market-shows-cracks-amid-federal-layoffs.html,2025-03-13T20:11:17+0000,"The supply of homes for sale across the nation always rises ahead of the busy spring market, but the Washington, D.C., metropolitan area is seeing an outsized increase, according to Realtor.com.Inventory gains in the region, which includes the District as well as Maryland and Virginia suburbs, began to accelerate in January and February, up 35.9% and 41% year over year, respectively. Inventory in the area from June to December had already been 20% to 30% higher than the previous year, but the increases accelerated even further in recent months.As of last week, active listings were up 56% compared with the same week one year ago.""The adjustment period following federal layoffs and funding cuts has likely put some Washington D.C. home searches on hold, both for those whose jobs have been directly impacted and those who may be concerned about what's ahead, and the data hints at these challenges,"" wrote Danielle Hale, chief economist for Realtor.com, in a release.For comparison, active listings nationally were up 28% last week compared with the same week in 2024, according to Realtor.com, coinciding with a decline in mortgage rates. The average rate on the popular 30-year fixed loan was around 7.25% in mid-January but fell steadily to 6.82% now, according to Mortgage News Daily.The inventory gains in the D.C. area are not all due to people putting their homes on the market. New listings rose, but by much less than overall inventory, so the increase in overall supply is a combination of new listings and slowing buyer activity.New listings were 24% higher year over year last week, contributing to the increase in for-sale inventory and dropping median days on market, Realtor.com found. New listings year to date are 11.9% above the year-ago level, but still 12.8% below where they were in 2022, according to Hale.There also may be an outsized bump in inventory due to newly built condominiums and townhomes coming on the market now. Construction in the D.C. area has been very active over the past few years. The share of new construction listings is tilted much more toward condos than it was five years ago.As for prices, the median list price in the D.C. metro area was down 1.6% year over year last week. For context, in the fourth quarter of last year, that median list price was down 1.5% annually.The median list price nationally, as of last week, was down 0.2%, though it is heavily skewed by the type of home for sale. Controlling for the size of home, the median list price per square foot increased 1.2% annually, which means there are more smaller or lower-end homes on the market compared to last year. ""While D.C. has the largest share of federal workers in the country, other highly federally employed markets could see similar shifts in the coming weeks or months,"" said Hale. ""While I expect many households will choose to stay in the area and pivot to find new job opportunities, some will likely choose to leave and retire or find a job elsewhere.""",CNBC,13/03/2025,"['The supply of homes for sale across the nation always rises ahead of the busy spring market, but the Washington, D.C., metropolitan area is seeing an outsized increase, according to Realtor.com.', 'Inventory gains in the region, which includes the District as well as Maryland and Virginia suburbs, began to accelerate in January and February, up 35.9% and 41% year over year, respectively.', 'Inventory in the area from June to December had already been 20% to 30% higher than the previous year, but the increases accelerated even further in recent months.', 'As of last week, active listings were up 56% compared with the same week one year ago.', '""The adjustment period following federal layoffs and funding cuts has likely put some Washington D.C. home searches on hold, both for those whose jobs have been directly impacted and those who may be concerned about what\'s ahead, and the data hints at these challenges,"" wrote Danielle Hale, chief economist for Realtor.com, in a release.', 'For comparison, active listings nationally were up 28% last week compared with the same week in 2024, according to Realtor.com, coinciding with a decline in mortgage rates.', 'The average rate on the popular 30-year fixed loan was around 7.25% in mid-January but fell steadily to 6.82% now, according to Mortgage News Daily.', 'The inventory gains in the D.C. area are not all due to people putting their homes on the market.', 'New listings rose, but by much less than overall inventory, so the increase in overall supply is a combination of new listings and slowing buyer activity.', 'New listings were 24% higher year over year last week, contributing to the increase in for-sale inventory and dropping median days on market, Realtor.com found.', 'New listings year to date are 11.9% above the year-ago level, but still 12.8% below where they were in 2022, according to Hale.', 'There also may be an outsized bump in inventory due to newly built condominiums and townhomes coming on the market now.', 'Construction in the D.C. area has been very active over the past few years.', 'The share of new construction listings is tilted much more toward condos than it was five years ago.', 'As for prices, the median list price in the D.C. metro area was down 1.6% year over year last week.', 'For context, in the fourth quarter of last year, that median list price was down 1.5% annually.', 'The median list price nationally, as of last week, was down 0.2%, though it is heavily skewed by the type of home for sale.', 'Controlling for the size of home, the median list price per square foot increased 1.2% annually, which means there are more smaller or lower-end homes on the market compared to last year.', '""While D.C. has the largest share of federal workers in the country, other highly federally employed markets could see similar shifts in the coming weeks or months,"" said Hale. ""', 'While I expect many households will choose to stay in the area and pivot to find new job opportunities, some will likely choose to leave and retire or find a job elsewhere.""']",0.2219384292513283,"Inventory gains in the region, which includes the District as well as Maryland and Virginia suburbs, began to accelerate in January and February, up 35.9% and 41% year over year, respectively.","""The adjustment period following federal layoffs and funding cuts has likely put some Washington D.C. home searches on hold, both for those whose jobs have been directly impacted and those who may be concerned about what's ahead, and the data hints at these challenges,"" wrote Danielle Hale, chief economist for Realtor.com, in a release.",0.2502719724879545,"For comparison, active listings nationally were up 28% last week compared with the same week in 2024, according to Realtor.com, coinciding with a decline in mortgage rates.","The average rate on the popular 30-year fixed loan was around 7.25% in mid-January but fell steadily to 6.82% now, according to Mortgage News Daily.",2025-03-18
-Airline CEOs warn domestic travel demand is slowing,https://www.cnbc.com/2025/03/11/airline-ceo-domestic-travel-demand.html,2025-03-11T20:10:58+0000,"In this articleAirlines are cutting their first-quarter profit and sales estimates, warning that a weaker economic backdrop is weighing on travel demand.Ahead of a JPMorgan industry conference, American Airlines on Tuesday said it expects to lose between 60 cents a share and 80 cents a share in the first three months of the year, a wider loss than the 20 cents to 40 cents a share it previously forecast. It said revenue would likely be flat on the year compared with a January estimate of a rise of as much as 5%.American said in a securities filing that ""the revenue environment has been weaker than initially expected due to the impact of Flight 5342 and softness in the domestic leisure segment, primarily in March,"" referring to the deadly collision of one of its regional jets and an Army helicopter in Washington, D.C., in January.The forecast followed Delta Air Lines slashing its first-quarter estimates after the market closed Monday. Delta said its outlook was ""impacted by the recent reduction in consumer and corporate confidence caused by increased macro uncertainty, driving softness in Domestic demand.""In addition to leisure travel, carriers have said also noted a sharp decline in government travel since the start of the latest Trump administration and its policies like tariffs, government layoffs and other cost cuts.""I think people are cautious and they're pulling back a little bit on travel, not in an organized manner but just kind of waiting to see what's going to transpire, whether it's trade and tariff challenges or macroeconomic policy changes or just a little bit of the unsettledness of the market that we all see,"" CEO Ed Bastian said at the JPMorgan conference.United Airlines CEO Scott Kirby echoed that sentiment at the same conference.""We have also seen weakness in the demand market,"" Kirby said. Government travel is about 2% of United's business, but other workers' travel is also affected, like consultants and contractors, which account for another 2% to 3%.""We've seen some bleed over to that into the domestic leisure market,"" Kirby said.One cost-saving measure: Kirby said United is retiring 21 aircraft early, airplanes that it would otherwise have to spend $100 million on to overhaul engines this year.Both executives were more upbeat on longer-term trends and bright spots like long-haul international and premium travel demand.Delta shares ended the day more than 7% lower. United shed 2% and American shares fell more than 8%.Southwest Airlines also cut its unit revenue guidance, to up no more than 4%, down from a forecast of as much as 7% for the first quarter over last year. The carrier also announced on Tuesday an end to its ""two bags fly free"" policy to charge customers for checked luggage for the first time, starting in May. Its shares rose more than 8%.JetBlue Airways shares ended 4% higher.",CNBC,11/03/2025,"['In this articleAirlines are cutting their first-quarter profit and sales estimates, warning that a weaker economic backdrop is weighing on travel demand.', 'Ahead of a JPMorgan industry conference, American Airlines on Tuesday said it expects to lose between 60 cents a share and 80 cents a share in the first three months of the year, a wider loss than the 20 cents to 40 cents a share it previously forecast.', 'It said revenue would likely be flat on the year compared with a January estimate of a rise of as much as 5%.American said in a securities filing that ""the revenue environment has been weaker than initially expected due to the impact of Flight 5342 and softness in the domestic leisure segment, primarily in March,"" referring to the deadly collision of one of its regional jets and an Army helicopter in Washington, D.C., in January.', 'The forecast followed Delta Air Lines slashing its first-quarter estimates after the market closed Monday.', 'Delta said its outlook was ""impacted by the recent reduction in consumer and corporate confidence caused by increased macro uncertainty, driving softness in Domestic demand.', '""In addition to leisure travel, carriers have said also noted a sharp decline in government travel since the start of the latest Trump administration and its policies like tariffs, government layoffs and other cost cuts.', '""I think people are cautious and they\'re pulling back a little bit on travel, not in an organized manner but just kind of waiting to see what\'s going to transpire, whether it\'s trade and tariff challenges or macroeconomic policy changes or just a little bit of the unsettledness of the market that we all see,"" CEO Ed Bastian said at the JPMorgan conference.', 'United Airlines CEO Scott Kirby echoed that sentiment at the same conference.', '""We have also seen weakness in the demand market,"" Kirby said.', 'Government travel is about 2% of United\'s business, but other workers\' travel is also affected, like consultants and contractors, which account for another 2% to 3%.""We\'ve seen some bleed over to that into the domestic leisure market,"" Kirby said.', 'One cost-saving measure: Kirby said United is retiring 21 aircraft early, airplanes that it would otherwise have to spend $100 million on to overhaul engines this year.', 'Both executives were more upbeat on longer-term trends and bright spots like long-haul international and premium travel demand.', 'Delta shares ended the day more than 7% lower.', 'United shed 2% and American shares fell more than 8%.Southwest Airlines also cut its unit revenue guidance, to up no more than 4%, down from a forecast of as much as 7% for the first quarter over last year.', 'The carrier also announced on Tuesday an end to its ""two bags fly free"" policy to charge customers for checked luggage for the first time, starting in May.', 'Its shares rose more than 8%.JetBlue Airways shares ended 4% higher.']",0.1657399893064658,"""I think people are cautious and they're pulling back a little bit on travel, not in an organized manner but just kind of waiting to see what's going to transpire, whether it's trade and tariff challenges or macroeconomic policy changes or just a little bit of the unsettledness of the market that we all see,"" CEO Ed Bastian said at the JPMorgan conference.","In this articleAirlines are cutting their first-quarter profit and sales estimates, warning that a weaker economic backdrop is weighing on travel demand.",-0.5685901045799255,Both executives were more upbeat on longer-term trends and bright spots like long-haul international and premium travel demand.,"United shed 2% and American shares fell more than 8%.Southwest Airlines also cut its unit revenue guidance, to up no more than 4%, down from a forecast of as much as 7% for the first quarter over last year.",2025-03-18
-"Dollar General CEO warns consumers are cash-strapped, and says 2025 won't be better",https://www.cnbc.com/2025/03/13/dollar-general-ceo-consumer-warning.html,2025-03-13T20:08:00+0000,"In this articleDollar General CEO Todd Vasos said on Thursday that inflation continues to hurt the discounter's customers and that the macroeconomic environment won't improve this year.On the company's fourth-quarter earnings call, Vasos said customers are expecting value and convenience ""more than ever"" from the dollar-store chain.""Our customers continue to report that their financial situation has worsened over the last year, as they have been negatively impacted by ongoing inflation. Many of our customers report they only have enough money for basic essentials, with some noting that they have had to sacrifice even on the necessities,"" Vasos said. ""As we enter 2025, we are not anticipating improvement in the macro environment, particularly for our core customer.""Dollar General's core consumer is ""always strained"" due to their economic status, but also resourceful, Vasos said.""We've started to see where [our customer is] getting her sea legs, if you will, on the additional inflation that's been very sticky out there, and she's starting to understand her budgets even more,"" Vasos said.Part of the uncertainty, Vasos said, stems from the potential impact of President Donald Trump's tariffs on the consumer.When Trump imposed tariffs during his first term in office in 2018 and 2019, Dollar General had to raise some prices in line with others in the industry, Vasos said. But the general store was able to mitigate the impact back then and is ""well positioned"" to do so again this year, he said.""Given the already stressed financial condition of our core customer, we are closely monitoring these and any other potential economic headwinds, including any changes to government entitlement programs,"" Vasos said.CFO Kelly Dilts said the company's 2025 guidance factors in continued economic pressure on the consumer, but does not account for further changes to tariff policy or government initiatives like the Supplemental Nutrition Assistance Program, which subsidizes food for low-income Americans.For the fourth-quarter, Dollar General said same-store sales growth of 1.2% was driven entirely by 2.3% growth in average transaction. Customer traffic fell 1.1% during the period, ""impacted by ongoing financial pressures of our core consumer,"" Vasos said.Alongside its fourth-quarter earnings, Dollar General said Thursday it would close 96 Dollar General stores and 45 Popshelf stores and will convert six other Popshelf stores into flagship banner locations this year. Popshelf primarily serves higher-income shoppers with lower-priced products.Shares of Dollar General closed up nearly 7% on Thursday.",CNBC,13/03/2025,"[""In this articleDollar General CEO Todd Vasos said on Thursday that inflation continues to hurt the discounter's customers and that the macroeconomic environment won't improve this year."", 'On the company\'s fourth-quarter earnings call, Vasos said customers are expecting value and convenience ""more than ever"" from the dollar-store chain.', '""Our customers continue to report that their financial situation has worsened over the last year, as they have been negatively impacted by ongoing inflation.', 'Many of our customers report they only have enough money for basic essentials, with some noting that they have had to sacrifice even on the necessities,"" Vasos said. ""', 'As we enter 2025, we are not anticipating improvement in the macro environment, particularly for our core customer.', '""Dollar General\'s core consumer is ""always strained"" due to their economic status, but also resourceful, Vasos said.', '""We\'ve started to see where [our customer is] getting her sea legs, if you will, on the additional inflation that\'s been very sticky out there, and she\'s starting to understand her budgets even more,"" Vasos said.', ""Part of the uncertainty, Vasos said, stems from the potential impact of President Donald Trump's tariffs on the consumer."", 'When Trump imposed tariffs during his first term in office in 2018 and 2019, Dollar General had to raise some prices in line with others in the industry, Vasos said.', 'But the general store was able to mitigate the impact back then and is ""well positioned"" to do so again this year, he said.', '""Given the already stressed financial condition of our core customer, we are closely monitoring these and any other potential economic headwinds, including any changes to government entitlement programs,"" Vasos said.', ""CFO Kelly Dilts said the company's 2025 guidance factors in continued economic pressure on the consumer, but does not account for further changes to tariff policy or government initiatives like the Supplemental Nutrition Assistance Program, which subsidizes food for low-income Americans."", 'For the fourth-quarter, Dollar General said same-store sales growth of 1.2% was driven entirely by 2.3% growth in average transaction.', 'Customer traffic fell 1.1% during the period, ""impacted by ongoing financial pressures of our core consumer,""Vasos said.', 'Alongside its fourth-quarter earnings, Dollar General said Thursday it would close 96Dollar Generalstores and 45 Popshelf stores and will convert six other Popshelf stores into flagship banner locations this year.', 'Popshelf primarily serves higher-income shopperswith lower-priced products.', 'Shares of Dollar General closed up nearly 7% on Thursday.']",-0.0437389128385915,"For the fourth-quarter, Dollar General said same-store sales growth of 1.2% was driven entirely by 2.3% growth in average transaction.","""Our customers continue to report that their financial situation has worsened over the last year, as they have been negatively impacted by ongoing inflation.",-0.0899762565439397,"For the fourth-quarter, Dollar General said same-store sales growth of 1.2% was driven entirely by 2.3% growth in average transaction.","Customer traffic fell 1.1% during the period, ""impacted by ongoing financial pressures of our core consumer,""Vasos said.",2025-03-18
-Dollar General store review and closures dent fourth-quarter earnings,https://www.cnbc.com/2025/03/13/dollar-general-dg-q4-2024-earnings.html,2025-03-13T20:07:57+0000,"In this articleDollar General on Thursday reported fiscal fourth-quarter revenue that narrowly beat Wall Street estimates, while a store portfolio review cut into the chain's profit.As part of the reevaluation, the dollar-store chain said it will close 96 Dollar General stores and 45 Popshelf stores and will convert six other Popshelf stores into flagship banner locations in the first quarter. Popshelf stores cater to higher-income shoppers seeking inexpensive products.On the company's earnings call, CEO Todd Vasos warned consumers ""only have enough money for basic essentials"" and that the macro environment isn't likely to improve this year.Shares of the company closed up nearly 7% on Thursday.Here's how the discounter did compared with what Wall Street was expecting for the quarter ended Jan. 31, based on a survey of analysts by LSEG:Fourth-quarter revenue rose 4.5% from $9.86 billion during the same quarter in 2023. Revenue for the full year came in at $40.61 billion, up almost 5% from $38.69 billion in 2023.For fiscal 2025, the chain forecasts revenue to grow between 3.4% and 4.4%, while Wall Street was expecting annual growth of 4.1%, according to LSEG. Dollar General expects earnings per share for the year to come in between $5.10 and $5.80, slightly under the $5.85 anticipated by analysts, according to LSEG.Dollar General reported fourth-quarter net income of $191 million, or 87 cents per share, compared with net income of $402 million, or $1.83 per share, during the same quarter a year prior.The discounter said its portfolio review impacted earnings per share by 81 cents.Operating profit for the quarter fell over 49% year over year to $294 million. The company attributed $232 million in charges to the store closures from the portfolio review as well as Popshelf impairment charges.""As we look to build on the substantial progress we made on our Back to Basics work in fiscal 2024, we believe this review was appropriate to further strengthen the foundation of our business,"" said Vasos in a news release. ""While the number of closings represents less than one percent of our overall store base, we believe this decision better positions us to serve our customers and communities.""Same-store sales, which Dollar General defines as revenue from stores open for at least 13 months, grew 1.2% year over year for the quarter. They're expected to grow 1.2% to 2.2% for the coming fiscal year, the company said.Dollar General announced in December that it was testing same-day delivery for customers. As inflation takes a toll on lower-income consumers, dollar stores like Dollar General and Dollar Tree have faced increased competition from retailers like Walmart with greater e-commerce presences.In January, Dollar General said it would begin selling about 100 new private-brand products, most of which will fall under its Clover Valley label and includes items such as honey mustard and cinnamon rolls, in the first quarter.",CNBC,13/03/2025,"[""In this articleDollar General on Thursday reported fiscal fourth-quarter revenue that narrowly beat Wall Street estimates, while a store portfolio review cut into the chain's profit."", 'As part of the reevaluation, the dollar-store chain said it will close 96Dollar Generalstores and 45 Popshelf stores and will convert six other Popshelf stores into flagship banner locations in the first quarter.', 'Popshelf stores cater to higher-income shoppers seeking inexpensive products.', 'On the company\'s earnings call, CEO Todd Vasos warned consumers ""only have enough money for basic essentials"" and that the macro environment isn\'t likely to improve this year.', 'Shares of the company closed up nearly 7% on Thursday.', ""Here's how the discounter did compared with what Wall Street was expecting for the quarter ended Jan. 31, based on a survey of analysts by LSEG:Fourth-quarter revenue rose 4.5% from $9.86 billion during the same quarter in 2023."", 'Revenue for the full year came in at $40.61 billion, up almost 5% from $38.69 billion in 2023.For fiscal 2025, the chain forecasts revenue to grow between 3.4% and 4.4%, while Wall Street was expecting annual growth of 4.1%, according to LSEG.', 'Dollar General expects earnings per share for the year to come in between $5.10 and $5.80, slightly under the $5.85 anticipated by analysts, according to LSEG.Dollar General reported fourth-quarter net income of $191 million, or 87 cents per share, compared with net income of $402 million, or $1.83 per share, during the same quarter a year prior.', 'The discounter said its portfolio review impacted earnings per share by 81 cents.', 'Operating profit for the quarter fell over 49% year over year to $294 million.', 'The company attributed $232 million in charges to the store closures from the portfolio review as well as Popshelf impairment charges.', '""As we look to build on the substantial progress we made on our Back to Basics work in fiscal 2024, we believe this review was appropriate to further strengthen the foundation of our business,"" saidVasos in a news release. ""', 'While the number of closings represents less than one percent of our overall store base, we believe this decision better positions us to serve our customers and communities.', '""Same-store sales, which Dollar General defines as revenue from stores open for at least 13 months, grew 1.2% year over year for the quarter.', ""They're expected to grow 1.2% to 2.2% for the coming fiscal year, the company said."", 'Dollar General announced in December that it was testing same-day delivery for customers.', 'As inflation takes a toll on lower-income consumers, dollar stores like Dollar General and Dollar Tree have faced increased competition from retailers like Walmart with greater e-commerce presences.', 'In January, Dollar General said it would begin selling about 100 new private-brand products, most of which will fall under its Clover Valley label and includes items such as honey mustard and cinnamon rolls, in the first quarter.']",0.2379552392793426,"As inflation takes a toll on lower-income consumers, dollar stores like Dollar General and Dollar Tree have faced increased competition from retailers like Walmart with greater e-commerce presences.",The company attributed $232 million in charges to the store closures from the portfolio review as well as Popshelf impairment charges.,0.0338358084360758,"Revenue for the full year came in at $40.61 billion, up almost 5% from $38.69 billion in 2023.For fiscal 2025, the chain forecasts revenue to grow between 3.4% and 4.4%, while Wall Street was expecting annual growth of 4.1%, according to LSEG.",Operating profit for the quarter fell over 49% year over year to $294 million.,2025-03-18
-"Southwest Airlines as we know it is over. Here's what's changing, from bag fees to basic economy",https://www.cnbc.com/2025/03/11/southwest-airlines-bag-fees-to-basic-economy-what-to-know.html,2025-03-12T11:12:29+0000,"In this articleSouthwest Airlines announced Tuesday what was once unthinkable: It will start charging customers to check their luggage.It's a $300 million gamble. Last year, Southwest said its ""rigorous research"" found it would lose that much in market share if it started charging bag fees. The policy has set Southwest apart from its competitors for decades.Getting rid of its famous ""two bags fly free"" strategy is part of a massive push at the carrier to ditch its long-standing customer perks and policies. Southwest also announced last year that it's moving from open seating to a single-class cabin in order to raise revenue. Another change announced Tuesday: basic economy tickets that don't allow free changes.Here's what travelers need to know about the new policies:Travelers who buy any ticket except Southwest's top-level Business Select fare will have to pay fees to check bags. Customers who purchase a Business Select ticket will be able to check two bags for free.Top-tier A-List Preferred frequent flyer program members will also get two checked bags for free. A-List level members will be able to check one bag for free, as will those with a Southwest credit card.Southwest didn't disclose how much it will cost to check a bag, but fees start at $35 apiece on competitors Delta, United and American.The new checked baggage fees go into effect for tickets purchased on or after May 28.Carry-on bag policies haven't changed, even for basic economy tickets.All tickets will include a free carry-on bag, even for the new basic economy tickets.Southwest told employees on Tuesday, just after the announcement, that customers will ""undoubtedly carry on more luggage than before"" so it's taking a few steps to try to keep things moving.Gate agents will get mobile bag-tag printers ""reducing the need for string bag tags"" and the company will design new carry-on size guides so customers can see if their luggage fits as a carry on, according to a staff memo from Justin Jones, EVP of operations, and Adam Decaire, senior vice president of network planning, a copy of which was seen by CNBC.The airline also plans to speed up retrofits of its Boeing 737-800s and Max aircraft to include larger overhead bins.Possibly. In airport lobbies, Southwest said it could redistribute staff to handle changing customer needs with the new bag rules. It will also equip staff there with mobile printers.""With an additional step for Customers to pay for bags at the ticket counter or kiosks, we have to plan for longer transaction and queue times, even if fewer Customers are checking their bags altogether,"" the executives wrote.Southwest has been under increasing pressure to raise revenue and improve returns after activist hedge fund Elliott Investment Management took a stake in the airline last year and pushed for changes to the carrier's business model.Southwest executives have long told Wall Street investors and customers that its ""two bags fly free"" policy is sacrosanct, something that sets it apart from competitors.At an investor day in September, the carrier said it would make up to about $1.5 billion if it charged for bags but lose $1.8 billion in market share from the policy change.Lots! Southwest is going to launch a basic economy fare that is not refundable and doesn't allow for changes. It won't allow for same-day standby tickets.Flight credits for those ""basic"" tickets, if unused, will expire in six months while credits for other flights will expire in 12 months. Previously, Southwest credits didn't expire.The carrier last year said it plans to start selling tickets with assigned seats, ending its decades-old open-seating policy. It will also soon offer seats with extra legroom, a bid to compete with more full-service airlines.Southwest Airlines CEO Bob Jordan said Tuesday that the carrier's executive team thinks the policy changes will drive sign-ups for its co-branded credit card.He said the new channels the airline is selling tickets through, like Expedia, will help the carrier.Southwest passengers will earn Rapid Rewards frequent flyer miles based on how much they pay for their ticket. Redemption rates will depend on demand for the flight, a similar model to what other carriers have.",CNBC,12/03/2025,"['In this articleSouthwest Airlines announced Tuesday what was once unthinkable: It will start charging customers to check their luggage.', ""It's a $300 million gamble."", 'Last year, Southwest said its ""rigorous research"" found it would lose that much in market share if it started charging bag fees.', 'The policy has set Southwest apart from its competitors for decades.', 'Getting rid of its famous ""two bags fly free"" strategy is part of a massive push at the carrier to ditch its long-standing customer perks and policies.', ""Southwest also announced last year that it's moving from open seating to a single-class cabin in order to raise revenue."", ""Another change announced Tuesday: basic economy tickets that don't allow free changes."", ""Here's what travelers need to know about the new policies:Travelers who buy any ticket except Southwest's top-level Business Select fare will have to pay fees to check bags."", 'Customers who purchase a Business Select ticket will be able to check two bags for free.', 'Top-tier A-List Preferred frequent flyer program members will also get two checked bags for free.', 'A-List level members will be able to check one bag for free, as will those with a Southwest credit card.', ""Southwest didn't disclose how much it will cost to check a bag, but fees start at $35 apiece on competitors Delta, United and American."", ""The new checked baggage fees go into effect for tickets purchased on or after May 28.Carry-on bag policies haven't changed, even for basic economy tickets."", 'All tickets will include a free carry-on bag, even for the new basic economy tickets.', 'Southwest told employees on Tuesday, just after the announcement, that customers will ""undoubtedly carry on more luggage than before"" so it\'s taking a few steps to try to keep things moving.', 'Gate agents will get mobile bag-tag printers ""reducing the need for string bag tags"" and the company will design new carry-on size guides so customers can see if their luggage fits as a carry on, according to a staff memo from Justin Jones, EVP of operations, and Adam Decaire, senior vice president of network planning, a copy of which was seen by CNBC.The airline also plans to speed up retrofits of its Boeing 737-800s and Max aircraft to include larger overhead bins.', 'Possibly.', 'In airport lobbies, Southwest said it could redistribute staff to handle changing customer needs with the new bag rules.', 'It will also equip staff there with mobile printers.', '""With an additional step for Customers to pay for bags at the ticket counter or kiosks, we have to plan for longer transaction and queue times, even if fewer Customers are checking their bags altogether,"" the executives wrote.', ""Southwest has been under increasing pressure to raise revenue and improve returns after activist hedge fund Elliott Investment Management took a stake in the airline last year and pushed for changes to the carrier's business model."", 'Southwest executives have long told Wall Street investors and customers that its ""two bags fly free"" policy is sacrosanct, something that sets it apart from competitors.', 'At an investor day in September, the carrier said it would make up to about $1.5 billion if it charged for bags but lose $1.8 billion in market share from the policy change.', 'Lots!', ""Southwest is going to launch a basic economy fare that is not refundable and doesn't allow for changes."", ""It won't allow for same-day standby tickets."", 'Flight credits for those ""basic"" tickets, if unused, will expire in six months while credits for other flights will expire in 12 months.', ""Previously, Southwest credits didn't expire."", 'The carrier last year said it plans to start selling tickets with assigned seats, ending its decades-old open-seating policy.', 'It will also soon offer seats with extra legroom, a bid to compete with more full-service airlines.', ""Southwest Airlines CEO Bob Jordan said Tuesday that the carrier's executive team thinks the policy changes will drive sign-ups for its co-branded credit card."", 'He said the new channels the airline is selling tickets through, like Expedia, will help the carrier.', 'Southwest passengers will earn Rapid Rewards frequent flyer miles based on how much they pay for their ticket.', 'Redemption rates will depend on demand for the flight, a similar model to what other carriers have.']",0.200470337028205,"A-List level members will be able to check one bag for free, as will those with a Southwest credit card.","Last year, Southwest said its ""rigorous research"" found it would lose that much in market share if it started charging bag fees.",0.2935198810365464,Southwest has been under increasing pressure to raise revenue and improve returns after activist hedge fund Elliott Investment Management took a stake in the airline last year and pushed for changes to the carrier's business model.,"Last year, Southwest said its ""rigorous research"" found it would lose that much in market share if it started charging bag fees.",2025-03-18
-Walgreens to go private in roughly $10 billion deal with Sycamore Partners,https://www.cnbc.com/2025/03/06/walgreens-to-go-private-in-10-billion-deal-with-sycamore-partners.html,2025-03-06T22:56:15+0000,"In this articleStruggling drugstore chain Walgreens is going private. The company on Thursday said it inked a deal with private equity firm Sycamore Partners that will take it off the public market for an equity value of around $10 billion.Sycamore will pay $11.45 per share in cash for Walgreens, representing a roughly 8% premium to the stock's closing price on Thursday. Shareholders could also receive up to $3 more per share in the future from sales of Walgreens' primary-care businesses, including Village Medical, Summit Health and CityMD. Walgreens said the total value of the transaction would be up to $23.7 billion when including debt and possible payouts down the line.Walgreens and Sycamore expect to close the take-private deal in the fourth quarter of this year. Shares of Walgreens jumped more than 5% in after-hours trading on Thursday before being halted.The historic deal ends Walgreens' tumultuous run as a public company, which began in 1927. As of Thursday morning, shares of the company were up more than 15% for 2025, but the stock was still down more than 48% for the last year and had fallen 70% for the past three years. ""While we are making progress against our ambitious turnaround strategy, meaningful value creation will take time, focus and change that is better managed as a private company,"" Walgreens CEO Tim Wentworth, who stepped into the role in 2023, said in a release on Thursday. ""Sycamore will provide us with the expertise and experience of a partner with a strong track record of successful retail turnarounds.Stefan Kaluzny, Sycamore's managing director, said in the release the transaction reflects the firm's confidence in Walgreens' ""pharmacy-led model and essential role in driving better outcomes for patients, customers and communities.""Walgreens will maintain its headquarters in Chicago. The company currently has more than 310,000 employees globally and 12,500 retail pharmacy locations across the U.S., Europe and Latin America, according to the release. Walgreens still plans to release its second-quarter earnings on April 8.Walgreens's market value reached a peak of more than $100 billion in 2015 as investors gained confidence in its health-care business and expansion plans, making it one of the most prominent American retail companies. But the company's market cap shrank to under $8 billion in late 2024 due to competition from its main rival CVS, grocery chains, big-box retailers and Amazon, along with a slew of challenges. Walgreens has been squeezed by the transition out of the Covid pandemic, pharmacy reimbursement headwinds, softer consumer spending and a troubled push into health care.Both Walgreens and CVS have pivoted from years of store expansions to shuttering hundreds of retail pharmacy locations across the U.S. to shore up profits. But unlike CVS, which has diversified its business model by offering insurance and pharmacy benefits, Walgreens largely doubled down on its now-flailing retail pharmacy business. In October, Walgreens said it plans to close roughly 1,200 of its drugstores over the next three years, including 500 in fiscal 2025 alone. Walgreens has around 8,700 locations in the U.S., a quarter of which it says are unprofitable. The company has also scaled back its push into primary care by cutting its stake in provider VillageMD. Walgreens tapped health-care industry veteran Tim Wentworth as its new CEO in late 2023 to help regain its footing. The company has reportedly been seen as a potential private equity target in the past. In 2019, private equity firm KKR made a roughly $70 billion buyout offer to Walgreens, the Financial Times and Bloomberg reported at the time.",CNBC,06/03/2025,"['In this articleStruggling drugstore chain Walgreens is going private.', 'The company on Thursday said it inked a deal with private equity firm Sycamore Partners that will take it off the public market for an equity value of around $10 billion.', ""Sycamore will pay $11.45 per share in cash for Walgreens, representing a roughly 8% premium to the stock's closing price on Thursday."", ""Shareholders could also receive up to $3 more per share in the future from sales of Walgreens' primary-care businesses, including Village Medical, Summit Health and CityMD."", 'Walgreens said the total value of the transaction would be up to $23.7 billion when including debt and possible payouts down the line.', 'Walgreens and Sycamore expect to close the take-private deal in the fourth quarter of this year.', 'Shares of Walgreens jumped more than 5% in after-hours trading on Thursday before being halted.', ""The historic deal ends Walgreens' tumultuous run as a public company, which began in 1927."", 'As of Thursday morning, shares of the company were up more than 15% for 2025, but the stock was still down more than 48% for the last year and had fallen 70% for the past three years.', '""While we are making progress against our ambitious turnaround strategy, meaningful value creation will take time, focus and change that is better managed as a private company,"" Walgreens CEO Tim Wentworth, who stepped into the role in 2023, said in a release on Thursday. ""', 'Sycamore will provide us with the expertise and experience of a partner with a strong track record of successful retail turnarounds.', 'Stefan Kaluzny, Sycamore\'s managing director, said in the release the transaction reflects the firm\'s confidence in Walgreens\' ""pharmacy-led model and essential role in driving better outcomes for patients, customers and communities.', '""Walgreens will maintain its headquarters in Chicago.', 'The company currently has more than 310,000 employees globally and 12,500 retail pharmacy locations across the U.S., EuropeandLatin America, according to the release.', ""Walgreens still plans to release its second-quarter earnings on April 8.Walgreens's market value reached a peak of more than $100 billion in 2015 as investors gained confidence in its health-care business and expansion plans, making it one of the most prominent American retail companies."", ""But the company's market cap shrank to under $8 billion in late 2024 due to competition from its main rival CVS, grocery chains, big-box retailers and Amazon, along with a slew of challenges."", 'Walgreens has been squeezed by the transition out of the Covid pandemic, pharmacy reimbursement headwinds, softer consumer spending and a troubled push into health care.', 'Both Walgreens and CVS have pivoted from years of store expansions to shuttering hundreds of retail pharmacy locations across the U.S. to shore up profits.', 'But unlike CVS, which has diversified its business model by offering insurance and pharmacy benefits, Walgreens largely doubled down on its now-flailing retail pharmacy business.', 'In October, Walgreens said it plans toclose roughly 1,200 of its drugstoresover the nextthree years, including 500 in fiscal 2025 alone.', 'Walgreens has around 8,700 locations in the U.S., a quarter of which it says are unprofitable.', 'The company has also scaled back its push into primary care by cutting its stake inprovider VillageMD.Walgreens tapped health-care industry veteran Tim Wentworth as its new CEO in late 2023 to help regain its footing.', 'The company has reportedly been seen as a potential private equity target in the past.', 'In 2019, private equity firm KKR made a roughly $70 billion buyout offer to Walgreens, the Financial Times and Bloomberg reported at the time.']",0.2717442142228549,"""While we are making progress against our ambitious turnaround strategy, meaningful value creation will take time, focus and change that is better managed as a private company,"" Walgreens CEO Tim Wentworth, who stepped into the role in 2023, said in a release on Thursday. ""","As of Thursday morning, shares of the company were up more than 15% for 2025, but the stock was still down more than 48% for the last year and had fallen 70% for the past three years.",0.3318427483240763,"Walgreens still plans to release its second-quarter earnings on April 8.Walgreens's market value reached a peak of more than $100 billion in 2015 as investors gained confidence in its health-care business and expansion plans, making it one of the most prominent American retail companies.","Walgreens has been squeezed by the transition out of the Covid pandemic, pharmacy reimbursement headwinds, softer consumer spending and a troubled push into health care.",2025-03-18
-Boeing Starliner astronauts who were supposed to be in space for nine days returning to Earth after nine months on ISS,https://www.cnbc.com/2025/03/18/boeing-starliner-astronauts-butch-wilmore-suni-williams-returning-spacex-iss.html,2025-03-18T06:38:48+0000,"In this articleThe two U.S. astronauts who had been at the International Space Station for nine months after their faulty Boeing Starliner capsule returned without them are finally heading home.NASA astronauts Butch Wilmore and Suni Williams left Earth in June on a test flight that was originally intended to last about nine days.But their stay was extended after thrusters on Boeing's Starliner capsule ""Calypso"" failed during docking, raising concerns about the ship's ability to carry them home. The agency ultimately sent the capsule back empty after it was docked for about three months at the space station, saying it wanted to ""further understand the root causes"" of the spacecraft's issues.NASA also announced that Wilmore and Williams, who are both veteran astronauts and retired Navy test pilots, would return on a SpaceX Dragon spacecraft instead. The agency adjusted its rotation of astronauts as a result, removing two people from SpaceX's Crew-9 mission — which is returning to Earth this week — to make room for Wilmore and Williams.That capsule carrying the two people on Crew-9 arrived at the ISS back in September. Crews rotate on the ISS, which means that each group of astronauts works until the next arrives at the space station, when a ceremonial ""handover"" occurs.NASA had originally planned for SpaceX's Crew-10 mission — which needed to arrive before the Crew-9 members could come back down — to launch in February, but it was delayed by about a month.The rocket carrying the four new crew members launched on Friday evening, and its capsule docked at the space station about 29 hours later.Wilmore, Williams, NASA astronaut Nick Hague and Roscosmos cosmonaut Aleksandr Gorbunov are set to splash down Tuesday evening, about 19 hours after closing the hatch on the SpaceX capsule, according to NASA's estimated schedule.The Starliner crew flight test was supposed to check a final box for Boeing and deliver a key asset for NASA. The agency was hoping to fulfill its dream of having two competing companies — Boeing and Elon Musk's SpaceX — flying alternating missions to the ISS.Instead, it's unclear what Boeing's future crewed space plans are. The company has lost more than $2 billion on its Starliner spacecraft.Wilmore and Williams' journey became entangled in politics once President Donald Trump took office. Trump and Musk, who has become a close advisor to the president, urged a quicker Crew-10 launch and said without evidence that the two astronauts were ""stranded"" on the space station and that the Biden administration had kept them up there for political reasons. NASA had delayed the Crew-10 launch in December to allow more time to process a new Dragon capsule, but decided to use a reusable capsule to cut down on wait time.NASA's plans for returning the two astronauts have remained consistent since the agency announced them in August.During their extended stay, Wilmore and Williams became part of a normal rotation, conducting scientific experiments and routine maintenance as any other astronaut on rotation at the ISS would. Williams also conducted a spacewalk.Williams has said repeatedly that the pair doesn't feel ""abandoned"" at the ISS, but that she was looking forward to returning home to see her family and her two dogs.""It's been a roller coaster for them, probably a little bit more so than for us,"" she told reporters earlier this month.",CNBC,18/03/2025,"['In this articleThe two U.S. astronauts who had been at the International Space Station for nine months after their faulty Boeing Starliner capsule returned without them are finally heading home.', 'NASA astronauts Butch Wilmore and Suni Williams left Earth in June on a test flight that was originally intended to last about nine days.', 'But their stay was extended after thrusters on Boeing\'s Starliner capsule ""Calypso""failed during docking, raising concerns about the ship\'s ability to carry them home.', 'The agency ultimately sent the capsule back empty after it was docked for about three months at the space station, saying it wanted to ""further understand the root causes"" of the spacecraft\'s issues.', 'NASA also announced that Wilmore and Williams, who are both veteran astronauts and retired Navy test pilots, would return on a SpaceX Dragon spacecraft instead.', ""The agency adjusted its rotation of astronauts as a result, removing two people from SpaceX's Crew-9 mission — which is returning to Earth this week — to make room for Wilmore and Williams."", 'That capsule carrying the two people on Crew-9 arrived at the ISS back in September.', 'Crews rotate on the ISS, which means that each group of astronauts works until the next arrives at the space station, when a ceremonial ""handover"" occurs.', ""NASA had originally planned for SpaceX's Crew-10 mission — which needed to arrive before the Crew-9 members could come back down — to launch in February, but it was delayed by about a month."", 'The rocket carrying the four new crew members launched on Friday evening, and its capsule docked at the space station about 29 hours later.', ""Wilmore, Williams, NASA astronaut Nick Hague and Roscosmos cosmonaut Aleksandr Gorbunov are set to splash down Tuesday evening, about 19 hours after closing the hatch on the SpaceX capsule, according to NASA's estimated schedule."", 'The Starliner crew flight test was supposed to check a final box for Boeing and deliver a key asset for NASA.', ""The agency was hoping to fulfill its dream of having two competing companies — Boeing andElon Musk's SpaceX — flying alternating missions to the ISS.Instead, it's unclear what Boeing's future crewed space plans are."", 'The company has lost more than $2 billion on its Starliner spacecraft.', ""Wilmore and Williams' journey became entangled in politics once President Donald Trump took office."", 'Trump and Musk, who has become a close advisor to the president, urged a quicker Crew-10 launch and said without evidence that the two astronauts were ""stranded"" on the space station and that the Biden administration had kept them up there for political reasons.', 'NASA had delayed the Crew-10 launch in December to allow more time to process a new Dragon capsule, but decided to use a reusable capsule to cut down on wait time.', ""NASA's plans for returning the two astronauts have remained consistent since the agency announced them in August."", 'During their extended stay, Wilmore and Williams became part of a normal rotation, conducting scientific experiments and routine maintenance as any other astronaut on rotation at the ISS would.', 'Williams also conducted a spacewalk.', 'Williams has said repeatedly that the pair doesn\'t feel ""abandoned"" at the ISS, but that she was looking forward to returning home to see her family and her two dogs.', '""It\'s been a roller coaster for them, probably a little bit more so than for us,"" she told reporters earlier this month.']",-0.0081875028085984,"The agency was hoping to fulfill its dream of having two competing companies — Boeing andElon Musk's SpaceX — flying alternating missions to the ISS.Instead, it's unclear what Boeing's future crewed space plans are.","NASA had delayed the Crew-10 launch in December to allow more time to process a new Dragon capsule, but decided to use a reusable capsule to cut down on wait time.",-0.8697511355082194,,The company has lost more than $2 billion on its Starliner spacecraft.,2025-03-18
-Dick's Sporting Goods is latest retailer to forecast rocky 2025 as recession fears swirl,https://www.cnbc.com/2025/03/11/dicks-sporting-goods-dks-earnings-q4-2024.html,2025-03-11T14:18:47+0000,"In this articleDick's Sporting Goods on Tuesday said it's expecting 2025 profits to be far lower than Wall Street anticipated, making it the latest retailer to forecast a rocky year ahead as consumers contend with tariffs, inflation and fears around a potential recession. In an interview with CNBC, Executive Chairman Ed Stack said the company's exposure to China, Mexico and Canada for sourcing is very small, but it recognizes that falling consumer confidence could impact spending.""I do think it's just a bit of an uncertain world out there right now,"" said Stack. ""What's going to happen from a tariff standpoint? You know, if tariffs are put in place and prices rise the way that they might, what's going to happen with the consumer?""On a call with analysts, CEO Lauren Hobart insisted the company is not seeing a weak consumer, and said its guidance is based on the overall uncertain environment.""We definitely are feeling great about our consumer,"" said Hobart. ""We are just reflecting an appropriate level of caution given so much uncertainty out in the marketplace.""Shares of the company opened about 2% lower.Despite the weak guidance, the sporting goods retailer posted its best holiday quarter on record. Its comparable sales rose 6.4%, far ahead of the 2.9% growth that analysts expected, according to StreetAccount. Here's how Dick's did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $300 million, or $3.62 per share, compared with $296 million, or $3.57 per share, a year earlier.  Sales rose to $3.89 billion, up about 0.5% from $3.88 billion a year earlier. Like other retailers, Dick's benefited from an extra week in the year-ago period, which has skewed comparisons. But unlike many of its peers, Dick's still managed to grow both sales and profits during the quarter, even with one less selling week. In the year ahead, Dick's is expecting earnings per share to be between $13.80 and $14.40, well short of Wall Street estimates of $14.86, according to LSEG. It anticipates net sales will be between $13.6 billion and $13.9 billion, which at the high end is in line with estimates of $13.9 billion, according to LSEG. Dick's expecting comparable sales to grow between 1% and 3%, compared with estimates of up 2.5%, according to StreetAccount. The gloomy earnings outlook comes after a wide array of other retailers gave weak forecasts for the current quarter or the year ahead amid concerns about sliding consumer confidence and the impact tariffs and inflation could have on spending. Kohl's also offered a weak outlook for the year ahead on Tuesday, leading its shares to plummet 15%.Some retailers blamed an unseasonably cool February for a weak start to the current quarter, but most recognized they're also operating in a tough macroeconomic backdrop, and it's harder than ever to forecast how consumers are holding up. In February, consumer confidence slid to its lowest levels since 2021, the jobs report came in weaker than expected and unemployment ticked up. Over the last few years, a strong job market has led many economists to brush away concerns about rising credit card delinquencies and debt, but those cracks could grow deeper if unemployment continues to rise. On Monday, some of those concerns triggered a stock market sell-off, extending losses after the S&P 500 posted three consecutive negative weeks. The Nasdaq Composite saw its worst day since September 2022, while the Dow lost nearly 900 points and closed below its 200-day moving average for the first time since Nov. 1, 2023.Beyond the uncertain macroeconomic environment, Dick's plans to invest more heavily in its ""House of Sport"" concept and e-commerce in the year ahead, which it also expects will weigh on profits. The massive, 100,000-square-foot stores are a growth area for the company and include features like rock climbing walls and running tracks. In the year ahead, Dick's plans to spend $1 billion on a net basis building 16 additional House of Sport locations and 18 Field House locations, which take some of the experimental elements of the House of Sport but fit it into the size of a traditional Dick's store. The strategy comes at a strong point for sports in the country, which is expected to be a tail wind for the business. The 2026 World Cup will be held in North America, women's sports are more popular than ever, and consumers are increasingly focused on health and wellness. ""We're going to have a moment here in the next three or four years, from a sports standpoint, that I think is going to put sport on steroids,"" said Stack. ""We're going into a sports moment right now, and we are investing very heavily into that sports moment over the next several years because this is going to last through [2030] and maybe beyond.""— Additional reporting by CNBC's Courtney Reagan.",CNBC,11/03/2025,"[""In this articleDick's Sporting Goods on Tuesday said it's expecting 2025 profits to be far lower than Wall Street anticipated, making it the latest retailer to forecast a rocky year ahead as consumers contend with tariffs, inflation and fears around a potential recession."", ""In an interview with CNBC, Executive Chairman Ed Stack said the company's exposure to China, Mexico and Canada for sourcing is very small, but it recognizes that falling consumer confidence could impact spending."", '""I do think it\'s just a bit of an uncertain world out there right now,"" said Stack. ""', ""What's going to happen from a tariff standpoint?"", 'You know, if tariffs are put in place and prices rise the way that they might, what\'s going to happen with the consumer?""On a call with analysts, CEO Lauren Hobart insisted the company is not seeing a weak consumer, and said its guidance is based on the overall uncertain environment.', '""We definitely are feeling great about our consumer,"" said Hobart. ""', 'We are just reflecting an appropriate level of caution given so much uncertainty out in the marketplace.', '""Shares of the company opened about 2% lower.', 'Despite the weak guidance, the sporting goods retailer posted its best holiday quarter on record.', 'Its comparable sales rose 6.4%, far ahead of the 2.9% growth that analysts expected, according to StreetAccount.', ""Here's how Dick's did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $300 million, or $3.62 per share, compared with $296 million, or $3.57 per share, a year earlier."", 'Sales rose to $3.89 billion, up about 0.5% from $3.88 billion a year earlier.', ""Like other retailers, Dick's benefited from an extra week in the year-ago period, which has skewed comparisons."", ""But unlike many of its peers, Dick's still managed to grow both sales and profits during the quarter, even with one less selling week."", ""In the year ahead, Dick's is expecting earnings per share to be between $13.80 and $14.40, well short of Wall Street estimates of $14.86, according to LSEG."", 'It anticipates net sales will be between $13.6 billion and $13.9 billion, which at the high end is in line with estimates of $13.9 billion, according to LSEG.', ""Dick's expecting comparable sales to grow between 1% and 3%, compared with estimates of up 2.5%, according to StreetAccount."", 'The gloomy earnings outlook comes after a wide array of other retailers gave weak forecasts for the current quarter or the year ahead amid concerns about sliding consumer confidence and the impact tariffs and inflation could have on spending.', ""Kohl's also offered a weak outlook for the year ahead on Tuesday, leading its shares to plummet 15%.Some retailers blamed an unseasonably cool February for a weak start to the current quarter, but most recognized they're also operating in a tough macroeconomic backdrop, and it's harder than ever to forecast how consumers are holding up."", 'In February, consumer confidence slid to its lowest levels since 2021, the jobs report came in weaker than expected and unemployment ticked up.', 'Over the last few years, a strong job market has led many economists to brush away concerns about rising credit card delinquencies and debt, but those cracks could grow deeper if unemployment continues to rise.', 'On Monday, some of those concerns triggered a stock market sell-off, extending losses after theS&P 500posted three consecutive negative weeks.', 'TheNasdaq Compositesaw its worst day since September 2022, while theDow lost nearly 900 points and closed below its 200-day moving average for the first time since Nov. 1, 2023.Beyond the uncertain macroeconomic environment, Dick\'s plans to invest more heavily in its ""House of Sport"" concept and e-commerce in the year ahead, which it also expects will weigh on profits.', 'The massive, 100,000-square-foot stores are a growth area for the company and include features like rock climbing walls and running tracks.', ""In the year ahead, Dick's plans to spend $1 billion on a net basis building 16 additional House of Sport locations and 18 Field House locations, which take some of the experimental elements of the House of Sport but fit it into the size of a traditional Dick's store."", 'The strategy comes at a strong point for sports in the country, which is expected to be a tail wind for the business.', ""The 2026 World Cup will be held in North America, women's sports are more popular than ever, and consumers are increasingly focused on health and wellness."", '""We\'re going to have a moment here in the next three or four years, from a sports standpoint, that I think is going to put sport on steroids,"" said Stack. ""', 'We\'re going into a sports moment right now, and we are investing very heavily into that sports moment over the next several years because this is going to last through [2030] and maybe beyond.""—', ""Additional reporting by CNBC's Courtney Reagan.""]",-0.0458609676023459,"Despite the weak guidance, the sporting goods retailer posted its best holiday quarter on record.","TheNasdaq Compositesaw its worst day since September 2022, while theDow lost nearly 900 points and closed below its 200-day moving average for the first time since Nov. 1, 2023.Beyond the uncertain macroeconomic environment, Dick's plans to invest more heavily in its ""House of Sport"" concept and e-commerce in the year ahead, which it also expects will weigh on profits.",0.0043099576776677,"Its comparable sales rose 6.4%, far ahead of the 2.9% growth that analysts expected, according to StreetAccount.","Kohl's also offered a weak outlook for the year ahead on Tuesday, leading its shares to plummet 15%.Some retailers blamed an unseasonably cool February for a weak start to the current quarter, but most recognized they're also operating in a tough macroeconomic backdrop, and it's harder than ever to forecast how consumers are holding up.",2025-03-18
-Goodyear Tire's transformation plan is underway — in the sky and on the ground,https://www.cnbc.com/2025/03/08/goodyear-tire-transformation-plan-investors.html,2025-03-09T01:42:45+0000,"AKRON, Ohio — Does the Goodyear blimp sell tires?That was one question veteran auto executive Mark Stewart had when he started as CEO of Goodyear Tire & Rubber Co. a little more than a year ago, seeking to lead a transformation plan for the quintessential American company.For a century, Goodyear Tire has used helium-filled airships to tout its brand. Stewart wanted to ensure consumers connected the blimps to the company's products and services, which it has increasingly done as Goodyear celebrates the 100-year anniversary of its first blimp, called Pilgrim, in 1925.""The answer is yes it can, and yes it does,"" Stewart told CNBC during an interview at the company's headquarters. ""It really is about using one of our most powerful marketing icon pieces, the blimp, both here as well as in Europe, to in fact sell tires.""The blimp question was an easy one to answer compared with the rest of the challenges Stewart, who has become known for transformation plans, has tackled since joining the company in January 2024.Much like automakers and related suppliers, Goodyear's business is rapidly changing with new technologies, increased competition from low-cost countries such as China and investor skepticism on whether a legacy company can transform itself to be more efficient, profitable and competitive.Goodyear's answer, which was prompted by activist investor Elliott Investment Management revealing a stake in the company in 2023, is ""Goodyear Forward"" — a two-year transformation plan that ends in December.The plan includes doubling operating income margin to 10%, enacting top-line and cost reductions of $1.5 billion, and bringing in gross proceeds of $2 billion in business asset sales. It's also reducing its debt load by $1.5 billion, net of approximately $1.1 billion for restructuring.To assist, the company is investing in and deploying artificial intelligence technologies and 3D-printing for things such as tread teeth, as well as using simulation to speed development and production of its products.Roughly halfway through the initial plan, Stewart said Goodyear is ahead of schedule for its benchmarks, including upping the cuts by $200 million. But investors remain skeptical amid geopolitical uncertainty such as tariffs and a disbelief in the longevity, or ""stickiness"" in tire terminology, of the changes.Stewart believes Goodyear is at a ""show me"" period with investors, which he plans to continue to deliver on as the company has reported five consecutive quarters of margin growth and its best retail performance in more than 20 years.""We're continuing to execute, and I think we're doing a better job of communicating in terms of our single and double hit wins as we go through the Goodyear Forward, and structurally changing the business,"" said Stewart, whose father worked at an Alabama plant for Goodyear's recently sold Dunlop brand. ""It's continuing to stack those up.""Shares of Goodyear received a 17% boost after the company reported its 2024 and fourth-quarter results. But shares of the company are down 30.3% since the plan's announcement, and 33.4% since Stewart became CEO.A spokesperson for Elliott, which has taken board seats at companies including Southwest Airlines and eBay, declined to comment on Goodyear. Goodyear reached a cooperation agreement with Elliott, which FactSet reports retains a roughly 9% stake in the company, that included adding three directors to its board.Stewart succeeded Goodyear CEO Richard Kramer, who retired after 14 years leading the company.What started out as a new emerging aeronautics business for Goodyear in 1910 has grown into a cultural icon as the company's Goodyear blimps have flown over major sporting events and historical landmarks.The first Goodyear blimp, called Pilgrim, took flight in 1925 from a hangar the company continues to use near Akron, Ohio.Goodyear has built more than 300 blimps, also known as airships, including over 200 for the U.S. Navy to patrol oceans during World War II.There have been five major generation changes of the blimps, according to Gerald Hissem, a chief pilot who has flown Goodyear blimps for 27 years.""The technology really has advanced,"" he told CNBC during a tour of the company's hangar in Ohio. ""It's totally different flying.""Today's airship debuted in 2014 and feature a ""fly-by-wire"" system that eliminate many physical parts, according to Hissem. They were designed by Zeppelin Luftschifftechnik GmbH in Germany to Goodyear's specifications, followed by a joint team constructing them in the U.S.The blimps are powered by three four-cylinder engines — left, right and back — that are each capable of 200 horsepower. They can travel at speeds of up to 73 miles per hour. Other blimp facts include:Airship bases: Pompano Beach, Florida; Carson, California; Suffield, Ohio; and Essen, Germany.Names: America, Columbia, Defender, Eagle, Enterprise, Europa, Mayflower, Pilgrim, Rainbow, Ranger, Reliance, Resolute, Spirit of Akron, Spirit of Goodyear, Volunteer.Longest flight? In March 1957, an airship called Snow Bird went 11 consecutive days in flight. It flew from Weymouth, Massachusetts, to Europe, Africa and Key West, Florida, without refueling or landing.Want to ride? Goodyear's current blimps have a bathroom, room for two pilots and typically six to eight passengers. To be a blimp passenger is by invitation only, but the company also donates ""ride certificates,"" largely for nonprofit causes.Goodyear is well on its way to achieving its plan, but its success is not guaranteed. In addition to achieving its own targets, it's unclear how changing regulations such as President Donald Trump's tariffs will impact the tire company's business.Stewart, prior to the implementation and then delay of 25% tariffs on Canada and Mexico for automakers and suppliers, declined to go into detail on Goodyear's preparation and potential contingency plans for such tariffs on North American operations as well as other countries.""We're running all the scenarios with that right now,"" Stewart said. ""And bottom line is we'll continue to add projects into Goodyear Forward to keep marching on our journey.""Goodyear has built up an international business from its humble beginnings 127 years ago in Akron, Ohio. The company employs about 68,000 people and manufactures its products in 53 facilities in 20 countries, with major operations in North and South America, Asia-Pacific and Europe.Its manufacturing operations in the Americas, which represented roughly half of its tire sales in 2024, include making tires in eight plants in the U.S., two plants in both Canada and Mexico and a plant each in Brazil, Chile, Colombia and Peru.The Goodyear Forward plan reaches across the operations, aiming to achieve the goals through a mix of cost cutting, headcount reductions and making the business more efficient through new processes and technologies.In addition to those targets, Stewart also has set priorities to re-establish focus on its retail business, increase fleet business, including telematics, and ink high-profile business deals such as Goodyear's first launch in decades on a Ferrari sports car.""Goodyear Forward is just getting embedded into our DNA,"" Stewart said. ""What's next for us is we are going to get aggressive about growth in retail and service. We are getting aggressive in growth in the high-end [tires].""Tires — Goodyear's main business — seem simple. Rubber is made into different shapes and treads, put on wheels and then put on a vehicle. They're literally where the rubber meets the road.But the process, material chemistry and production of tires continue to evolve. Goodyear has expanded its top-tier products to include massive tires for off-road vehicles such as the Jeep Wrangler and Ford Bronco, as well as the Tesla Cybertruck and large SUVs that feature 22-inch or 24-inch wheels such as the Cadillac Escalade.Such businesses are highly profitable for the company, which is investing an unspecified amount into a facility in Oklahoma to expand production by 10 million units annually and modernize the plant.""We will ensure we're running at the optimal level of output and efficiency, and we're running the products that will yield the highest opportunities for profitability this year,"" Stewart said last month on the company's quarterly call.In Asia–Pacific, where its newest plants are located, the company has been able to capitalize faster on such business. It increased its segment operating income by 37% last year to $277 million, with an operating margin of 11.4% — a juxtaposition from Western automakers with escalading problems in the region, specifically China.While its Asia–Pacific business is a tailwind at the moment, products from competitors and nearby nations are not. Similarly to how Chinese automakers have expanded outside their own country, tire manufacturers such as Sumitomo and Yokohama have been increasingly exporting products.Tires from that region have undercut Goodyear, as companies rushed to purchase them ahead of potential tariffs. Low-end imports outperformed the U.S. industry last year and grew 11%, CFO Christina Zamarro said during the company's quarterly earnings call.The company said low-cost imported tires are largely sourced from Southeast Asia, including from a number of countries that are either not subject to antidumping or countervailing duty tariffs.""As we look at the top line this past year, we've seen growth in the low-end imports impacting the consumer replacement industry in the U.S., Europe, as well Brazil,"" Stewart told investors. ""The inflows at the low-end of the market over the last two years are unprecedented.""Goodyear's the last major U.S. tire company: Its largest competitors globally are France-based Michelin; Bridgestone Corp., which is a subsidiary of a Japanese-based company; and German-based Continental.At Goodyear's headquarters, three floors of a historic building for the company that was built in 1916 continue to produce racing tires, most notably for NHRA professional classes and the top three series for NASCAR.The processes in this facility are traditional, with a lot of human interaction compared to newer plants with more automation like the company has at facilities in Luxembourg and China, and is expanding to the U.S.Down the road from the factory, which features wood floors similar to those in the factory in Detroit where Henry Ford started building the Model T in 1900s, is a different Goodyear.Walking into the nondescript building in the shadow of the headquarters is a glimpse into the future Stewart wants for the company.In the building is Goodyear's simulation machine, a multimillion investment that promises to cut research and development costs and time, while improving product profits.To be clear, no actual tires are used in the simulator and the ""vehicle"" cockpits — a hatchback and a pickup truck — are held up by hydraulics, surround by 270 degrees of screens.""The goal is to be able to evaluate and test tire designs and theories virtually before ever having to spend the money to build a mold or build the tire,"" said Patrick Renz, a senior engineer at Goodyear. ""We're really using this now to win [automaker business].""Goodyear has worked with many of the major automakers on such virtual development, including Ferrari, according to Renz. He said the earlier in the development Goodyear can work with a company, the more impactful the virtual testing can be.Mahesh Kavaturu, Goodyear senior director of global performance and simulation technology, said such simulations, as well as AI, aim to transform Goodyear's processes.""We actually have a lot of capabilities on physical tire testing, and now we are getting into artificial intelligence, machine learning,"" he told CNBC in the company's ""Innovation Center"" that includes conceptual and unique products made by the company such as airless tires. ""In Goodyear, [AI] is not a buzz word.""On Wall Street, hype is building for Goodyear, but many investors remain on the sidelines waiting to see if the company's recent efforts under Goodyear Forward can be ingrained in the company as much as its blimps.Goodyear's stock is rated overweight with a target price of $11.47 a share, according to nine analysts compiled by FactSet.""The company has reported inconsistent levels of profit growth over the past several years. But, we believe that an inflection point developed with the reporting of fourth quarter 2024 results, which were much better than we expected,"" Argus analyst Bill Selesky said in a Feb. 14 investor note upgrading Goodyear to buy.",CNBC,09/03/2025,"['AKRON, Ohio — Does the Goodyear blimp sell tires?That was one question veteran auto executive Mark Stewart had when he started as CEO of Goodyear Tire & Rubber Co. a little more than a year ago, seeking to lead a transformation plan for the quintessential American company.', 'For a century, Goodyear Tire has used helium-filled airships to tout its brand.', 'Stewart wanted to ensure consumers connected the blimps to the company\'s products and services, which it has increasingly done as Goodyear celebrates the 100-year anniversary of its first blimp, called Pilgrim, in 1925.""The answer is yes it can, and yes it does,"" Stewart told CNBC during an interview at the company\'s headquarters. ""', 'It really is about using one of our most powerful marketing icon pieces, the blimp, both here as well as in Europe, to in fact sell tires.', '""The blimp question was an easy one to answer compared with the rest of the challenges Stewart, who has become known for transformation plans, has tackled since joining the company in January 2024.Much like automakers and related suppliers, Goodyear\'s business is rapidly changing with new technologies, increased competition from low-cost countries such as China and investor skepticism on whether a legacy company can transform itself to be more efficient, profitable and competitive.', 'Goodyear\'s answer, which was prompted by activist investor Elliott Investment Management revealing a stake in the company in 2023, is ""Goodyear Forward"" — a two-year transformation plan that ends in December.', 'The plan includes doubling operating income margin to 10%, enacting top-line and cost reductions of $1.5 billion, and bringing in gross proceeds of $2 billion in business asset sales.', ""It's also reducing its debt load by $1.5 billion, net of approximately $1.1 billion for restructuring."", 'To assist, the company is investing in and deploying artificial intelligence technologies and 3D-printing for things such as tread teeth, as well as using simulation to speed development and production of its products.', 'Roughly halfway through the initial plan, Stewart said Goodyear is ahead of schedule for its benchmarks, including upping the cuts by $200 million.', 'But investors remain skeptical amid geopolitical uncertainty such as tariffs and a disbelief in the longevity, or ""stickiness"" in tire terminology, of the changes.', 'Stewart believes Goodyear is at a ""show me"" period with investors, which he plans to continue to deliver on as the company has reported five consecutive quarters of margin growth and its best retail performance in more than 20 years.', '""We\'re continuing to execute, and I think we\'re doing a better job of communicating in terms of our single and double hit wins as we go through the Goodyear Forward, and structurally changing the business,"" said Stewart, whose father worked at an Alabama plant for Goodyear\'s recently sold Dunlop brand. ""', ""It's continuing to stack those up."", '""Shares of Goodyear received a 17% boost after the company reported its 2024 and fourth-quarter results.', ""But shares of the company are down 30.3% since the plan's announcement, and 33.4% since Stewart became CEO.A spokesperson for Elliott, which has taken board seats at companies including Southwest Airlines and eBay, declined to comment on Goodyear."", 'Goodyear reached a cooperation agreement with Elliott, which FactSet reports retains a roughly 9% stake in the company, that included adding three directors to its board.', 'Stewart succeeded Goodyear CEO Richard Kramer, who retired after 14 years leading the company.', ""What started out as a new emerging aeronautics business for Goodyear in 1910 has grown into a cultural icon as the company's Goodyear blimps have flown over major sporting events and historical landmarks."", 'The first Goodyear blimp, called Pilgrim, took flight in 1925 from a hangar the company continues to use near Akron, Ohio.', 'Goodyear has built more than 300 blimps, also known as airships, including over 200 for the U.S. Navy to patrol oceans during World War II.There have been five major generation changes of the blimps, according to Gerald Hissem, a chief pilot who has flown Goodyear blimps for 27 years.', '""The technology really has advanced,"" he told CNBC during a tour of the company\'s hangar in Ohio. ""', ""It's totally different flying."", '""Today\'s airship debuted in 2014 and feature a ""fly-by-wire"" system that eliminate many physical parts, according to Hissem.', ""They were designed by Zeppelin Luftschifftechnik GmbH in Germany to Goodyear's specifications, followed by a joint team constructing them in the U.S.The blimps are powered by three four-cylinder engines — left, right and back — that are each capable of 200 horsepower."", 'They can travel at speeds of up to 73 miles per hour.', 'Other blimp facts include:Airship bases: Pompano Beach, Florida; Carson, California; Suffield, Ohio; and Essen, Germany.', 'Names: America, Columbia, Defender, Eagle, Enterprise, Europa, Mayflower, Pilgrim, Rainbow, Ranger, Reliance, Resolute, Spirit of Akron, Spirit of Goodyear, Volunteer.', 'Longest flight?', 'In March 1957, an airship called Snow Bird went 11 consecutive days in flight.', 'It flew from Weymouth, Massachusetts, to Europe, Africa and Key West, Florida, without refueling or landing.', 'Want to ride?', ""Goodyear's current blimps have a bathroom, room for two pilots and typically six to eight passengers."", 'To be a blimp passenger is by invitation only, but the company also donates ""ride certificates,"" largely for nonprofit causes.', 'Goodyear is well on its way to achieving its plan, but its success is not guaranteed.', ""In addition to achieving its own targets, it's unclear how changing regulations such as President Donald Trump's tariffs will impact the tire company's business."", ""Stewart, prior to the implementation and then delay of 25% tariffs on Canada and Mexico for automakers and suppliers, declined to go into detail on Goodyear's preparation and potential contingency plans for such tariffs on North American operations as well as other countries."", '""We\'re running all the scenarios with that right now,"" Stewart said. ""', ""And bottom line is we'll continue to add projects into Goodyear Forward to keep marching on our journey."", '""Goodyear has built up an international business from its humble beginnings 127 years ago in Akron, Ohio.', 'The company employs about 68,000 people and manufactures its products in 53 facilities in 20 countries, with major operations in North and South America, Asia-Pacific and Europe.', 'Its manufacturing operations in the Americas, which represented roughly half of its tire sales in 2024, include making tires in eight plants in the U.S., two plants in both Canada and Mexico and a plant each in Brazil, Chile, Colombia and Peru.', 'The Goodyear Forward plan reaches across the operations, aiming to achieve the goals through a mix of cost cutting, headcount reductions and making the business more efficient through new processes and technologies.', ""In addition to those targets, Stewart also has set priorities to re-establish focus on its retail business, increase fleet business, including telematics, and ink high-profile business deals such as Goodyear's first launch in decades on a Ferrari sports car."", '""Goodyear Forward is just getting embedded into our DNA,"" Stewart said. ""', ""What's next for us is we are going to get aggressive about growth in retail and service."", 'We are getting aggressive in growth in the high-end [tires].""Tires — Goodyear\'s main business — seem simple.', 'Rubber is made into different shapes and treads, put on wheels and then put on a vehicle.', ""They're literally where the rubber meets the road."", 'But the process, material chemistry and production of tires continue to evolve.', 'Goodyear has expanded its top-tier products to include massive tires for off-road vehicles such as the Jeep Wrangler and Ford Bronco, as well as the Tesla Cybertruck and large SUVs that feature 22-inch or 24-inch wheels such as the Cadillac Escalade.', 'Such businesses are highly profitable for the company, which is investing an unspecified amount into a facility in Oklahoma to expand production by 10 million units annually and modernize the plant.', '""We will ensure we\'re running at the optimal level of output and efficiency, and we\'re running the products that will yield the highest opportunities for profitability this year,"" Stewart said last month on the company\'s quarterly call.', 'In Asia–Pacific, where its newest plants are located, the company has been able to capitalize faster on such business.', 'It increased its segment operating income by 37% last year to $277 million, with an operating margin of 11.4% — a juxtaposition from Western automakers with escalading problems in the region, specifically China.', 'While its Asia–Pacific business is a tailwind at the moment, products from competitors and nearby nations are not.', 'Similarly to how Chinese automakers have expanded outside their own country, tire manufacturers such as Sumitomo and Yokohama have been increasingly exporting products.', 'Tires from that region have undercut Goodyear, as companies rushed to purchase them ahead of potential tariffs.', ""Low-endimportsoutperformedtheU.S. industrylast year andgrew11%, CFO Christina Zamarro said during the company's quarterly earnings call."", 'The company said low-cost imported tires are largely sourced from Southeast Asia, including from a number of countries that are either not subject to antidumping or countervailing duty tariffs.', '""As we look at the top line this past year, we\'ve seen growth in the low-end imports impacting the consumer replacement industry in the U.S., Europe, as well Brazil,"" Stewart told investors. ""', 'The inflows at the low-end of the market over the last two years are unprecedented.', '""Goodyear\'s the last major U.S. tire company: Its largest competitors globally are France-based Michelin; Bridgestone Corp., which is a subsidiary of a Japanese-based company; and German-based Continental.', ""At Goodyear's headquarters, three floors of a historic building for the company that was built in 1916 continue to produce racing tires, most notably for NHRA professional classes and the top three series for NASCAR.The processes in this facility are traditional, with a lot of human interaction compared to newer plants with more automation like the company has at facilities in Luxembourg and China, and is expanding to the U.S.Down the road from the factory, which features wood floors similar to those in the factory in Detroit where Henry Ford started building the Model T in 1900s, is a different Goodyear."", 'Walking into the nondescript building in the shadow of the headquarters is a glimpse into the future Stewart wants for the company.', ""In the building is Goodyear's simulation machine, a multimillion investment that promises to cut research and development costs and time, while improving product profits."", 'To be clear, no actual tires are used in the simulator and the ""vehicle"" cockpits — a hatchback and a pickup truck — are held up by hydraulics, surround by 270 degrees of screens.', '""The goal is to be able to evaluate and test tire designs and theories virtually before ever having to spend the money to build a mold or build the tire,"" said Patrick Renz, a senior engineer at Goodyear. ""', 'We\'re really using this now to win [automaker business].""Goodyear has worked with many of the major automakers on such virtual development, including Ferrari, according to Renz.', 'He said the earlier in the development Goodyear can work with a company, the more impactful the virtual testing can be.', ""Mahesh Kavaturu, Goodyear senior director of global performance and simulation technology, said such simulations, as well as AI, aim to transform Goodyear's processes."", '""We actually have a lot of capabilities on physical tire testing, and now we are getting into artificial intelligence, machine learning,"" he told CNBC in the company\'s ""Innovation Center"" that includes conceptual and unique products made by the company such as airless tires. ""', 'In Goodyear, [AI] is not a buzz word.', '""On Wall Street, hype is building for Goodyear, but many investors remain on the sidelines waiting to see if the company\'s recent efforts under Goodyear Forward can be ingrained in the company as much as its blimps.', ""Goodyear's stock is rated overweight with a target price of $11.47 a share, according to nine analysts compiled by FactSet."", '""The company has reported inconsistent levels of profit growth over the past several years.', 'But, we believe that an inflection point developed with the reporting of fourth quarter 2024 results, which were much better than we expected,"" Argus analyst Bill Selesky said in a Feb. 14 investor note upgrading Goodyear to buy.']",0.1735829456552653,"Stewart wanted to ensure consumers connected the blimps to the company's products and services, which it has increasingly done as Goodyear celebrates the 100-year anniversary of its first blimp, called Pilgrim, in 1925.""The answer is yes it can, and yes it does,"" Stewart told CNBC during an interview at the company's headquarters. ""","But investors remain skeptical amid geopolitical uncertainty such as tariffs and a disbelief in the longevity, or ""stickiness"" in tire terminology, of the changes.",0.6627129282270159,"""Shares of Goodyear received a 17% boost after the company reported its 2024 and fourth-quarter results.","Tires from that region have undercut Goodyear, as companies rushed to purchase them ahead of potential tariffs.",2025-03-18
-Here's why banks don’t want the CFPB to disappear,https://www.cnbc.com/2025/03/10/why-banks-dont-want-the-cfpb-to-disappear.html,2025-03-10T18:47:11+0000,"For years, American financial companies have fought the Consumer Financial Protection Bureau — the chief U.S. consumer finance watchdog — in the courts and media, portraying the agency as illegitimate and as unfairly targeting industry players.Now, with the CFPB on life support after the Trump administration issued a stop-work order and shuttered its headquarters, the agency finds itself with an unlikely ally: the same banks that reliably complained about its rules and enforcement actions under former Director Rohit Chopra.That's because if the Trump administration succeeds in reducing the CFPB to a shell of its former self, banks would find themselves competing directly with nonbank financial players, from big tech and fintech firms to mortgage, auto and payday lenders, that enjoy far less federal scrutiny than Federal Deposit Insurance Corp.-backed institutions.""The CFPB is the only federal agency that supervises non-depository institutions, so that would go away,"" said David Silberman, a veteran banking attorney who lectures at Yale Law School. ""Payment apps like PayPal, Stripe, Cash App, those sorts of things, they would get close to a free ride at the federal level.""The shift could wind the clock back to a pre-2008 environment, where it was largely left to state officials to prevent consumers from being ripped off by nonbank providers. The CFPB was created in the aftermath of the 2008 financial crisis that was caused by irresponsible lending.But since then, digital players have made significant inroads by offering banking services via mobile phone apps. Fintechs led by PayPal and Chime had roughly as many new accounts last year as all large and regional banks combined, according to data from Cornerstone Advisors.""If you're the big banks, you certainly don't want a world in which the nonbanks have much greater degrees of freedom and much less regulatory oversight than the banks do,"" Silberman said.The CFPB and its employees are in limbo after acting Director Russell Vought took over last month, issuing a flurry of directives to the agency's then 1,700 staffers. Working with operatives from Elon Musk's Department of Government Efficiency, Vought quickly laid off about 200 workers, reportedly took steps to end the agency's building lease and canceled reams of contracts required for legally mandated duties.In internal emails released Friday, CFPB Chief Operating Officer Adam Martinez detailed plans to remove roughly 800 supervision and enforcement workers.Senior executives at the CFPB shared plans for more layoffs that would leave the agency with just five employees, CNBC has reported. That would kneecap the agency's ability to carry out its supervision and enforcement duties.That appears to go beyond what even the Consumer Bankers Association, a frequent CFPB critic, would want. The CBA, which represents the country's biggest retail banks, has sued the CFPB in the past year to scuttle rules limiting overdraft and credit card late fees. More recently, it noted the CFPB's role in keeping a level playing field among market participants.""We believe that new leadership understands the need for examinations for large banks to continue, given the intersections with prudential regulatory examinations,"" said Lindsey Johnson, president of the CBA, in a statement provided to CNBC. ""Importantly, the CFPB is the sole examiner of non-bank financial institutions.""Vought's plans to hobble the agency were halted by a federal judge, who is now considering the merits of a lawsuit brought by a CFPB union asking for a preliminary injunction.In the meantime, bank executives have gone from antagonists of the CFPB to among those concerned it will disappear.At a late October bankers convention in New York, JPMorgan Chase CEO Jamie Dimon encouraged his peers to ""fight back"" against regulators. A few months before that, the bank said that it could sue the CFPB over its investigation into peer-to-peer payments network Zelle.""We are suing our regulators over and over and over because things are becoming unfair and unjust, and they are hurting companies, a lot of these rules are hurting lower-paid individuals,"" Dimon said at the convention.Now, there's growing consensus that an initial push to ""delete"" the CFPB is a mistake. Besides increasing the threat posed from nonbanks, current rules from the CFPB would still be on the books, but nobody would be around to update them as the industry evolves.Small banks and credit unions would be even more disadvantaged than their larger peers if the CFPB were to go away, industry advocates say, since they were never regulated by the agency and would face the same regulatory scrutiny as before.""The conventional wisdom is not right that banks just want the CFPB to go away, or that banks want regulator consolidation,"" said an executive at a major U.S. bank who declined to be identified speaking about the Trump administration. ""They want thoughtful policies that will support economic growth and maintain safety and soundness.""A senior CFPB lawyer who lost his position in recent weeks said that the industry's alignment with Republicans may have backfired.""They're about to live in a world in which the entire nonbank financial services industry is unregulated every day, while they are overseen by the Federal Reserve, FDIC and OCC,"" the lawyer said. ""It's a world where Apple, PayPal, Cash App and X run wild for four years. Good luck.""",CNBC,10/03/2025,"['For years, American financial companies have fought the Consumer Financial Protection Bureau — the chief U.S. consumer finance watchdog — in the courts and media, portraying the agency as illegitimate and as unfairly targeting industry players.', 'Now, with the CFPB on life support after the Trump administration issued a stop-work order and shuttered its headquarters, the agency finds itself with an unlikely ally: the same banks that reliably complained about its rules and enforcement actions under former Director Rohit Chopra.', ""That's because if the Trump administration succeeds in reducing the CFPB to a shell of its former self, banks would find themselves competing directly with nonbank financial players, from big tech and fintech firms to mortgage, auto and payday lenders, that enjoy far less federal scrutiny than Federal Deposit Insurance Corp.-backed institutions."", '""The CFPB is the only federal agency that supervises non-depository institutions, so that would go away,"" said David Silberman, a veteran banking attorney who lectures at Yale Law School. ""', 'Payment apps like PayPal, Stripe, Cash App, those sorts of things, they would get close to a free ride at the federal level.', '""The shift could wind the clock back to a pre-2008 environment, where it was largely left to state officials to prevent consumers from being ripped off by nonbank providers.', 'The CFPB was created in the aftermath of the 2008 financial crisis that was caused by irresponsible lending.', 'But since then, digital players have made significant inroads by offering banking services via mobile phone apps.', 'Fintechs led by PayPal and Chime had roughly as many new accounts last year as all large and regional banks combined, according to data from Cornerstone Advisors.', '""If you\'re the big banks, you certainly don\'t want a world in which the nonbanks have much greater degrees of freedom and much less regulatory oversight than the banks do,"" Silberman said.', ""The CFPB and its employees are in limbo after acting Director Russell Vought took over last month, issuing a flurry of directives to the agency's then 1,700 staffers."", ""Working with operatives from Elon Musk's Department of Government Efficiency, Vought quickly laid off about 200 workers, reportedly took steps to end the agency's building lease and canceled reams of contracts required for legally mandated duties."", 'In internal emails released Friday, CFPB Chief Operating Officer Adam Martinez detailed plans to remove roughly 800 supervision and enforcement workers.', 'Senior executives at the CFPB shared plans for more layoffs that would leave the agency with just five employees, CNBC has reported.', ""That would kneecap the agency's ability to carry out its supervision and enforcement duties."", 'That appears to go beyond what even the Consumer Bankers Association, a frequent CFPB critic, would want.', ""The CBA, which represents the country's biggest retail banks, has sued the CFPB in the past year to scuttle rules limiting overdraft and credit card late fees."", ""More recently, it noted the CFPB's role in keeping a level playing field among market participants."", '""We believe that new leadership understands the need for examinations for large banks to continue, given the intersections with prudential regulatory examinations,"" said Lindsey Johnson, president of the CBA, in a statement provided to CNBC. ""', 'Importantly, the CFPB is the soleexaminer of non-bank financial institutions.', '""Vought\'s plans to hobble the agency were halted by a federal judge, who is now considering the merits of a lawsuit brought by a CFPB union asking for a preliminary injunction.', 'In the meantime, bank executives have gone from antagonists of the CFPB to among those concerned it will disappear.', 'At a late October bankers convention in New York, JPMorgan Chase CEO Jamie Dimon encouraged his peers to ""fight back"" against regulators.', 'A few months before that, the bank said that it could sue the CFPB over its investigation into peer-to-peer payments network Zelle.', '""We are suing our regulators over and over and over because things are becoming unfair and unjust, and they are hurting companies, a lot of these rules are hurting lower-paid individuals,"" Dimon said at the convention.', 'Now, there\'s growing consensus that an initial push to ""delete"" the CFPB is a mistake.', 'Besides increasing the threat posed from nonbanks, current rules from the CFPB would still be on the books, but nobody would be around to update them as the industry evolves.', 'Small banks and credit unions would be even more disadvantaged than their larger peers if the CFPB were to go away, industry advocates say, since they were never regulated by the agency and would face the same regulatory scrutiny as before.', '""The conventional wisdom is not right that banks just want the CFPB to go away, or that banks want regulator consolidation,"" said an executive at a major U.S. bank who declined to be identified speaking about the Trump administration. ""', 'They want thoughtful policies that will support economic growth and maintain safety and soundness.', '""A senior CFPB lawyer who lost his position in recent weeks said that the industry\'s alignment with Republicans may have backfired.', '""They\'re about to live in a world in which the entire nonbank financial services industry is unregulated every day, while they are overseen by the Federal Reserve, FDIC and OCC,"" the lawyer said. ""', ""It's a world where Apple, PayPal, Cash App and X run wild for four years."", 'Good luck.""']",0.0894025557251356,They want thoughtful policies that will support economic growth and maintain safety and soundness.,"""We are suing our regulators over and over and over because things are becoming unfair and unjust, and they are hurting companies, a lot of these rules are hurting lower-paid individuals,"" Dimon said at the convention.",-0.1253910660743713,"But since then, digital players have made significant inroads by offering banking services via mobile phone apps.","""A senior CFPB lawyer who lost his position in recent weeks said that the industry's alignment with Republicans may have backfired.",2025-03-18
-White House pulls Trump’s nomination for CDC director hours before confirmation hearing,https://www.cnbc.com/2025/03/13/white-house-pulls-trump-cdc-director-nominee-dave-weldon.html,2025-03-13T17:46:50+0000,"The White House has pulled President Donald Trump's nominee to lead the Centers for Disease Control and Prevention, former Rep. Dave Weldon, the Senate's health committee confirmed Thursday.The move came just hours before the Republican former Florida lawmaker, a vaccine critic, was set to appear before the U.S. Senate Committee on Health, Education, Labor and Pensions for a confirmation hearing. The panel said the hearing, which had been scheduled for 10 a.m. ET, is canceled.Axios first reported the decision on Thursday. Robert F. Kennedy Jr., who leads the Department of Health and Human Services, said Weldon wasn't ready for the role, Axios reported. HHS oversees the CDC and all other federal health agencies.Weldon said he had been excited to work with Kennedy and serve the country again, The New York Times reported Thursday.""It is a shock, but, you know, in some ways, it's relief,"" Weldon told the paper. ""Government jobs demand a lot of you, and if God doesn't want me in it, I'm fine with that.""He said he plans to ""get on an airplane at 11 o'clock and I'm going to go home and I'm going to see patients on Monday,"" according to the newspaper.""I'll make much more money staying in my medical practice,"" Weldon added.But Weldon's views align closely with Kennedy, a notorious vaccine skeptic. Weldon, 71, has long questioned the safety of certain vaccines, promoting the false claim linking vaccines to autism. In 2006, Weldon appeared with parents who claimed that the CDC had covered up evidence tying vaccines to children developing autism.The CDC will reportedly reexamine that link under Kennedy despite decades of research debunking it.While in Congress, Weldon sponsored a bill that would transfer responsibility for vaccine safety away from the CDC. He claimed the agency had a conflict of interest because it purchases and promotes vaccines. The bill never made it past committees. Weldon is an internal medicine doctor who served in Congress for 14 years, from 1995 to 2009. Sen. Patty Murray, a Democrat from Washington and HELP committee member, has said she was ""deeply disturbed"" by Weldon's false claims about vaccines.In a statement on Thursday, Murray said, ""While I have little to no confidence in the Trump administration to do so, they should immediately nominate someone for this position who at bare minimum believes in basic science and will help lead CDC's important work to monitor and prevent deadly outbreaks.""She added that Kennedy is already doing ""incalculable damage by spreading lies and disinformation as the top health official in America.""HHS did not immediately respond to a request to comment on why the administration pulled Weldon's nomination and when Trump may choose another person for the post.",CNBC,13/03/2025,"[""The White House has pulled President Donald Trump's nominee to lead the Centers for Disease Control and Prevention, former Rep. Dave Weldon, the Senate's health committee confirmed Thursday."", 'The move came just hours before the Republican former Florida lawmaker, a vaccine critic, was set to appearbefore the U.S. Senate Committee on Health, Education, Labor and Pensions for a confirmation hearing.', 'The panel said the hearing, which had been scheduled for 10 a.m. ET, is canceled.', 'Axios first reported the decision on Thursday.', ""Robert F. Kennedy Jr., who leads the Department of Health and Human Services, said Weldon wasn't ready for the role, Axios reported."", 'HHS oversees the CDC and all other federal health agencies.', 'Weldon said he had been excited to work with Kennedy and serve the country again, The New York Times reported Thursday.', '""It is a shock, but, you know, in some ways, it\'s relief,"" Weldon told the paper. ""', ""Government jobs demand a lot of you, and if God doesn't want me in it, I'm fine with that."", '""He said he plans to ""get on an airplane at 11 o\'clock and I\'m going to go home and I\'m going to see patients on Monday,"" according to the newspaper.', '""I\'ll make much more money staying in my medical practice,"" Weldon added.', ""But Weldon's views align closely with Kennedy, a notorious vaccine skeptic."", 'Weldon, 71, has long questioned the safety of certain vaccines, promoting the false claim linking vaccines to autism.', 'In 2006, Weldon appearedwith parents who claimed that the CDC had covered up evidence tying vaccines to children developing autism.', 'The CDC will reportedly reexamine that link under Kennedy despite decades of research debunking it.', 'While in Congress, Weldon sponsored a bill that would transfer responsibility for vaccine safety away from the CDC.', 'He claimed the agency had a conflict of interest because it purchases and promotes vaccines.', 'The bill never made it past committees.', 'Weldon is an internal medicine doctor who served in Congress for 14 years, from 1995 to 2009.Sen.', 'Patty Murray, a Democrat from Washington and HELP committee member, has said she was ""deeply disturbed"" by Weldon\'s false claims about vaccines.', 'In a statement on Thursday, Murray said, ""While I have little to no confidence in the Trump administration to do so, they should immediately nominate someone for this position who at bare minimum believes in basic science and will help lead CDC\'s important work to monitor and prevent deadly outbreaks.', '""She added that Kennedy is already doing ""incalculable damage by spreading lies and disinformation as the top health official in America.', '""HHS did not immediately respond to a request to comment on why the administration pulled Weldon\'s nomination and when Trump may choose another person for the post.']",0.1053608637340835,"Weldon, 71, has long questioned the safety of certain vaccines, promoting the false claim linking vaccines to autism.","But Weldon's views align closely with Kennedy, a notorious vaccine skeptic.",0.0045524338881174,"""I'll make much more money staying in my medical practice,"" Weldon added.","""She added that Kennedy is already doing ""incalculable damage by spreading lies and disinformation as the top health official in America.",2025-03-18
-"Spirit Airlines, fresh from bankruptcy, is ready to take on the new Southwest, CEO says",https://www.cnbc.com/2025/03/13/spirit-airlines-ceo-on-new-southwest.html,2025-03-13T19:21:22+0000,"In this articleSpirit Airlines is out of bankruptcy, hitting its target to emerge in the first quarter, after a crippling few years. CEO Ted Christie says the carrier is leaner and ready to take on competitors, including rival Southwest Airlines.Earlier this week, Southwest shocked customers by announcing it will start charging for checked bags for the first time in its half-century of flying, a huge strategy move for the largest domestic U.S. carrier. (There are some exceptions to Southwest's new bag rules, which take effect in late May.)""I think it's going to be painful for a little bit as they find their footing, and we're going to take advantage of that,"" Spirit's Christie said in an interview Thursday.Southwest had been a standout in the U.S. by offering all customers two free checked bags, a perk that has endured recessions, spikes in fuel prices and other crises while most rivals introduced bag fees and raised them every few years.Spirit Airlines, on the other hand, made a la carte pricing common in the U.S., with fees for seat assignments, checked bags and other add-ons. It's a strategy most large airlines, except for Southwest, have copied in one form or another.As Southwest starts charging for bags and introduces its first basic economy class, which doesn't include a seat assignment or allow free changes, Spirit could possibly win over customers, Christie said.Southwest said it would get rid of its single-class open seating model last year.""There at least was an audience of people who were intentionally selecting and flying Southwest because they felt that it was easy. They knew they were going to get two bags,"" Christie said. ""Now that that's no longer the case, it's easy to say that they're going to widen their aperture and they're now going to look around.""Spirit is far smaller than Southwest and even smaller than it was last year, but it competes with the airline in cities like Kansas City, Missouri; Nashville, Tennessee; Columbus, Ohio; and Milwaukee. If customers look on travel sites like Expedia, where Southwest is a new entrant, Spirit's tickets could be cheaper and appear higher in results, Christie said.Other airline executives have also said they expect to win over some Southwest customers.Delta Air Lines President Glen Hauenstein said at a JPMorgan industry conference Tuesday that there are consumers who choose Southwest based on its free bag perk ""and now those customers are up for grabs.""Spirit, for its part, has recently been offering more ticket bundles that include things like seat assignments and luggage.The carrier is now focused on returning to profitability. It posted a net loss of over $1.2 billion last year, more than double its loss in 2023 as it grappled with grounded jets because of a Pratt & Whitney engine recall, higher costs, more domestic competition and a failed acquisition by JetBlue Airways.Spirit has rejected multiple recent merger attempts by fellow budget carrier Frontier Airlines. Christie said Thursday that nothing is ""off the table"" and that a fifth-largest airline in the U.S. as a low-cost carrier makes sense, but that the airline is focused on stabilizing itself after bankruptcy.Through its restructuring process, which started in November, Spirit said it reduced its debt by about $795 million. The transaction converted debt into equity for major creditors. The carrier also received a $350 million equity infusion.Spirit plans to relist its shares on a stock exchange but hasn't set a date yet.",CNBC,13/03/2025,"['In this articleSpirit Airlines is out of bankruptcy, hitting its target to emerge in the first quarter, after a crippling few years.', 'CEO Ted Christie says the carrier is leaner and ready to take on competitors, including rival Southwest Airlines.', 'Earlier this week, Southwest shocked customers by announcing it will start charging for checked bags for the first time in its half-century of flying, a huge strategy move for the largest domestic U.S. carrier. (', 'There are some exceptions to Southwest\'s new bag rules, which take effect in late May.)""I think it\'s going to be painful for a little bit as they find their footing, and we\'re going to take advantage of that,"" Spirit\'s Christie said in an interview Thursday.', 'Southwest had been a standout in the U.S. by offering all customers two free checked bags, a perk that has endured recessions, spikes in fuel prices and other crises while most rivals introduced bag fees and raised them every few years.', 'Spirit Airlines, on the other hand, made a la carte pricing common in the U.S., with fees for seat assignments, checked bags and other add-ons.', ""It's a strategy most large airlines, except for Southwest, have copied in one form or another."", ""As Southwest starts charging for bags and introduces its first basic economy class, which doesn't include a seat assignment or allow free changes, Spirit could possibly win over customers, Christie said."", 'Southwest said it would get rid of its single-class open seating model last year.', '""There at least was an audience of people who were intentionally selecting and flying Southwest because they felt that it was easy.', 'They knew they were going to get two bags,"" Christie said. ""', ""Now that that's no longer the case, it's easy to say that they're going to widen their aperture and they're now going to look around."", '""Spirit is far smaller than Southwest and even smaller than it was last year, but it competes with the airline in cities like Kansas City, Missouri; Nashville, Tennessee; Columbus, Ohio; and Milwaukee.', ""If customers look on travel sites like Expedia, where Southwest is a new entrant, Spirit's tickets could be cheaper and appear higher in results, Christie said."", 'Other airline executives have also said they expect to win over some Southwest customers.', 'Delta Air LinesPresident Glen Hauenstein said at a JPMorgan industry conference Tuesday that there are consumers who choose Southwest based on its free bag perk ""and now those customers are up for grabs.', '""Spirit, for its part, has recently been offering more ticket bundles that include things like seat assignments and luggage.', 'The carrier is now focused on returning to profitability.', 'It posted a net loss of over $1.2 billion last year, more than double its loss in 2023 as it grappled with grounded jets because of a Pratt & Whitney engine recall, higher costs, more domestic competition and a failed acquisition by JetBlue Airways.', 'Spirit has rejected multiple recent merger attempts by fellow budget carrier Frontier Airlines.', 'Christie said Thursday that nothing is ""off the table"" and that a fifth-largest airline in the U.S. as a low-cost carrier makes sense, but that the airline is focused on stabilizing itself after bankruptcy.', 'Through its restructuring process, which started in November, Spirit said it reduced its debt by about $795 million.', 'The transaction converted debt into equity for major creditors.', 'The carrier also received a $350 million equity infusion.', ""Spirit plans to relist its shares on a stock exchange but hasn't set a date yet.""]",0.2022658279187688,"As Southwest starts charging for bags and introduces its first basic economy class, which doesn't include a seat assignment or allow free changes, Spirit could possibly win over customers, Christie said.","It posted a net loss of over $1.2 billion last year, more than double its loss in 2023 as it grappled with grounded jets because of a Pratt & Whitney engine recall, higher costs, more domestic competition and a failed acquisition by JetBlue Airways.",0.6402744325724515,Other airline executives have also said they expect to win over some Southwest customers.,"It posted a net loss of over $1.2 billion last year, more than double its loss in 2023 as it grappled with grounded jets because of a Pratt & Whitney engine recall, higher costs, more domestic competition and a failed acquisition by JetBlue Airways.",2025-03-18
-"U.S. consumers are starting to crack as tariffs add to inflation, recession concerns",https://www.cnbc.com/2025/03/14/delta-walmart-warn-about-consumer-spending-amid-tariffs-inflation.html,2025-03-15T11:18:46+0000,"It's not just Walmart.The leaders of companies that serve everyone from penny-pinching grocery shoppers to first-class travelers are seeing cracks in demand, a shift after resilient consumers propped up the U.S. economy for years despite prolonged inflation. On top of high interest rates and persistent inflation, CEOs are now grappling with how to handle new hurdles like on-again, off-again tariffs, mass government layoffs and worsening consumer sentiment.Across earnings calls and investor presentations in recent weeks, retailers and other consumer-facing businesses warned that first-quarter sales were coming in softer than expected and the rest of the year might be tougher than Wall Street thought. Many of the executives blamed unseasonably cool weather and a ""dynamic"" macroeconomic environment, but the early days of President Donald Trump's second term have brought new challenges — perhaps none greater than trying to plan a global business at a time when his administration shifts its trade policies by the hour.Economists largely expect Trump's new tariffs on goods from China, Canada and Mexico will raise prices for consumers and dampen spending at a time when inflation remains higher than the Federal Reserve's target. In February, consumer confidence — which can help to signal how much shoppers are willing to shell out — saw the biggest drop since 2021. A separate consumer sentiment measure for March also came in worse than expected.Another sign of weakness has been in air travel. The sector, especially large international airlines, had been a bright spot following the pandemic, with consumers proving again and again that they wouldn't give up trips even in the face of the biggest jump inflation in more than four decades. This week, however, the CEOs of the four largest U.S. airlines — United, American, Delta and Southwest — said they are seeing a slowdown in demand this quarter. American, Delta and Southwest cut their first-quarter forecasts.Plus, the strong U.S. job market of recent years is showing early signs of stress as job growth slows and unemployment ticks up.These trends have thrown cold water on what was a red-hot stock market and sparked new fears about a potential recession, sending the S&P 500 tumbling 10% from its record highs in February, though it had recovered significant ground by Friday afternoon.Now, as investors and executives grow more worried about the impact tariffs will have on consumer spending and fret about an administration they had high hopes for just a few months ago, even the strongest companies are striking cautious tones as the weaker ones get even louder. Take Walmart, the retail industry's de facto leader, which has spent the last year turning an uncertain economy into fuel for growth as it courted higher-income consumers. When Walmart announced fiscal fourth-quarter earnings last month, its stock fell after it warned that profit growth would be slower than expected in the year ahead. It was a rare warning sign from a company that tends to thrive in a weaker economy, and an indication that it's expecting consumers to pull back from higher-margin discretionary goods in favor of essentials like milk and paper towels in the year ahead. ""We don't want to get out over our skis here. There's a lot of the year to play out,"" Walmart's finance chief, John David Rainey, told analysts when discussing the company's outlook. ""It's prudent to have an outlook that is somewhat measured.""Ed Bastian, chief executive of Delta Air Lines – the most profitable U.S. carrier that has reaped the rewards of big spenders in recent years – struck a similar tone after it slashed its earnings and revenue forecast for the first quarter. In an interview Monday on CNBC's ""Closing Bell,"" Bastian said that consumer confidence has weakened and that both leisure and business customers have pulled back on bookings, which led it to cut its guidance.""Consumers in a discretionary business do not like uncertainty,"" said Bastian. ""And while we do believe this will be a period of time that we pass through, it is also something that we need to understand and get to calmer waters.""To be sure, it wasn't just fewer people booking trips that led the airline to cut its first-quarter forecast. Questions about air safety compounded the problem after two major airline accidents, including Delta's own crash landing in Toronto, in which no one died.Beyond Delta, rival United said it will retire 21 aircraft early, a move that aims to cut costs.""We have also seen weakness in the demand market,"" United CEO Scott Kirby said at Tuesday's JPMorgan airline industry conference. ""It started with government. Government is 2% of our business. Government adjacent, all the other consultants and contracts that go along with that are probably another 2% to 3%. That's running down about 50% right now. So a pretty material impact in the short term.""The airline has seen some of that dynamic ""bleed over"" into the domestic leisure market, as well, Kirby added. He said the company is already looking at where it will cut flights, eyeing a big drop in traffic from Canada into the U.S. and in markets that were popular with government workers.American Airlines cut its first-quarter earnings forecast and said in addition to demand pressures, bookings were hurt after a deadly midair collision of an Army helicopter with one of its regional jets in Washington, D.C., in January.The company also felt the pullback in government travel and associated trips like those for contractors.""We know that there's some follow-on effect in terms of leisure travel associated with that as well,"" said CEO Robert Isom.Airline executives were upbeat about longer-term demand in 2025, however.Other strong companies, such as Dick's Sporting Goods, E.l.f. Beauty and Abercrombie & Fitch, also issued weak forecasts in recent weeks, though they indicated they were feeling positive about the second half of the year. ""I do think it's just a bit of an uncertain world out there right now,"" Ed Stack, chairman of Dick's Sporting Goods, told CNBC when asked about the company's guidance. ""What's going to happen from a tariff standpoint? You know, if tariffs are put in place and prices rise the way that they might, what's going to happen with the consumer?""Over the last year, companies like United, Walmart and Abercrombie have managed to outperform the S&P 500, even as shoppers reduced discretionary spending, so this change in commentary marks a major shift. It's a warning sign that shoppers could be starting to crack, and that even excellent execution is no match for tariff-induced price increases after four years of historic inflation. Meanwhile, the companies that have already spent the last year calling out uncertain consumer dynamics are sounding even more worried.""Our customers continue to report that their financial situation has worsened over the last year, as they have been negatively impacted by ongoing inflation. Many of our customers report they only have enough money for basic essentials, with some noting that they have had to sacrifice even on the necessities,"" the CEO of Dollar General, Todd Vasos, said on the company's fourth-quarter earnings call Thursday, adding customers are expecting value and convenience ""more than ever."" The worsening consumer outlook has compounded the company's own internal challenges.""As we enter 2025,"" Vasos continued. ""We are not anticipating improvement in the macro environment, particularly for our core customer.""Elsewhere in the retail industry, American Eagle on Tuesday warned that cold weather led to a slower-than-expected start to the first quarter, but said it wasn't just temperatures. The apparel retailer specifically called out ""less robust demand"" and said it's taking steps to reduce expenses and manage inventory as it braces for what's still to come. ""[Consumers] have the fear of the unknown. Not just tariffs, not just inflation, we see the government cutting people off. They don't know how that's going to affect them. They see programs being cut, they don't know how that's going to affect them,"" said CEO Jay Schottenstein. ""And when people don't know what they don't know – they get very conservative … it makes everyone a little nervous.""",CNBC,15/03/2025,"[""It's not just Walmart."", 'The leaders of companies that serve everyone from penny-pinching grocery shoppers to first-class travelers are seeing cracks in demand, a shift after resilient consumers propped up the U.S. economy for years despite prolonged inflation.', 'On top of high interest rates and persistent inflation, CEOs are now grappling with how to handle new hurdles like on-again, off-again tariffs, mass government layoffs and worsening consumer sentiment.', 'Across earnings calls and investor presentations in recent weeks, retailers and other consumer-facing businesses warned that first-quarter sales were coming in softer than expected and the rest of the year might be tougher than Wall Street thought.', 'Many of the executives blamed unseasonably cool weather and a ""dynamic"" macroeconomic environment, but the early days of President Donald Trump\'s second term have brought new challenges — perhaps none greater than trying to plan a global business at a time when his administration shifts its trade policies by the hour.', ""Economists largely expect Trump's new tariffs on goods from China, Canada and Mexico will raise prices for consumers and dampen spending at a time when inflation remains higher than the Federal Reserve's target."", 'In February, consumer confidence — which can help to signal how much shoppers are willing to shell out — saw the biggest drop since 2021.', 'A separate consumer sentiment measure for March also came in worse than expected.', 'Another sign of weakness has been in air travel.', ""The sector, especially large international airlines, had been a bright spot following the pandemic, with consumers proving again and again that they wouldn't give up trips even in the face of the biggest jump inflation in more than four decades."", 'This week, however, the CEOs of the four largest U.S. airlines — United, American, Delta and Southwest — said they are seeing a slowdown in demand this quarter.', 'American, Delta and Southwest cut their first-quarter forecasts.', 'Plus, the strong U.S. job market of recent years is showing early signs of stress as job growth slows and unemployment ticks up.', 'These trends have thrown cold water on what was a red-hot stock market and sparked new fears about a potential recession, sending the S&P 500 tumbling 10% from its record highs in February, though it had recovered significant ground by Friday afternoon.', 'Now, as investors and executives grow more worried about the impact tariffs will have on consumer spending and fret about an administration they had high hopes for just a few months ago, even the strongest companies are striking cautious tones as the weaker ones get even louder.', ""Take Walmart, the retail industry's de facto leader, which has spent the last year turning an uncertain economy into fuel for growth as it courted higher-income consumers."", 'When Walmart announced fiscal fourth-quarter earnings last month, its stock fell after it warned that profit growth would be slower than expected in the year ahead.', ""It was a rare warning sign from a company that tends to thrive in a weaker economy, and an indication that it's expecting consumers to pull back from higher-margin discretionary goods in favor of essentials like milk and paper towels in the year ahead."", '""We don\'t want to get out over ourskishere.', 'There\'s a lot of the year to play out,"" Walmart\'s finance chief, John David Rainey, told analysts when discussing the company\'s outlook. ""', ""It'sprudentto have an outlook that is somewhat measured."", '""Ed Bastian, chief executive of Delta Air Lines – the most profitable U.S. carrier that has reaped the rewards of big spenders in recent years – struck a similar tone after it slashed its earnings and revenue forecast for the first quarter.', 'In an interview Monday on CNBC\'s ""Closing Bell,"" Bastian said that consumer confidence has weakened and that both leisure and business customers have pulled back on bookings, which led it to cut its guidance.', '""Consumers in a discretionary business do not like uncertainty,"" said Bastian. ""', 'And while we do believe this will be a period of time that we pass through, it is also something that we need to understand and get to calmer waters.', '""To be sure, it wasn\'t just fewer people booking trips that led the airline to cut its first-quarter forecast.', ""Questions about air safety compounded the problem after two major airline accidents, including Delta's own crash landing in Toronto, in which no one died."", 'Beyond Delta, rival United said it will retire 21 aircraft early, a move that aims to cut costs.', '""We have also seen weakness in the demand market,"" United CEO Scott Kirby saidat Tuesday\'s JPMorgan airline industry conference. ""', 'It started with government.', 'Government is 2% of our business.', 'Government adjacent, all the other consultants and contracts that go along with that are probably another 2% to 3%.', ""That's running down about 50% right now."", 'So a pretty material impact in the short term.', '""The airline has seen some of that dynamic ""bleed over"" into the domestic leisure market, as well, Kirby added.', 'He said the company is already looking at where it will cut flights, eyeing a big drop in traffic from Canada into the U.S. and in markets that were popular with government workers.', 'American Airlines cut its first-quarter earnings forecast and said in addition to demand pressures, bookings were hurt after a deadly midair collision of an Army helicopter with one of its regional jets in Washington, D.C., in January.', 'The company also felt the pullback in government travel and associated trips like those for contractors.', '""We know that there\'s some follow-on effect in terms of leisure travel associated with that as well,"" said CEO Robert Isom.', 'Airline executives were upbeat about longer-term demand in 2025, however.', ""Other strong companies, such as Dick's Sporting Goods, E.l.f."", 'Beauty and Abercrombie & Fitch, also issued weak forecasts in recent weeks, though they indicated they were feeling positive about the second half of the year.', '""I do think it\'s just a bit of an uncertain world out there right now,"" Ed Stack, chairman of Dick\'s Sporting Goods, told CNBC when asked about the company\'s guidance. ""', ""What's going to happen from a tariff standpoint?"", 'You know, if tariffs are put in place and prices rise the way that they might, what\'s going to happen with the consumer?""Over the last year, companies like United, Walmart and Abercrombie have managed to outperform the S&P 500, even as shoppers reduced discretionary spending, so this change in commentary marks a major shift.', ""It's a warning sign that shoppers could be starting to crack, and that even excellent execution is no match for tariff-induced price increases after four years of historic inflation."", 'Meanwhile, the companies that have already spent the last year calling out uncertain consumer dynamics are sounding even more worried.', '""Our customers continue to report that their financial situation has worsened over the last year, as they have been negatively impacted by ongoing inflation.', 'Many of our customers report they only have enough money for basic essentials, with some noting that they have had to sacrifice even on the necessities,"" the CEO of Dollar General, Todd Vasos, said on the company\'s fourth-quarter earnings call Thursday, adding customers are expecting value and convenience ""more than ever.', '""The worsening consumer outlook has compounded the company\'s own internal challenges.', '""As we enter 2025,"" Vasos continued. ""', 'We are not anticipating improvement in the macro environment, particularly for our core customer.', '""Elsewhere in the retail industry, American Eagle on Tuesday warned that cold weather led to a slower-than-expected start to the first quarter, but said it wasn\'t just temperatures.', 'The apparel retailer specifically called out ""less robust demand"" and said it\'s taking steps to reduce expenses and manage inventory as it braces for what\'s still to come.', '""[Consumers] have the fear of the unknown.', 'Not just tariffs, not just inflation, we see the government cutting people off.', ""They don't know how that's going to affect them."", 'They see programs being cut, they don\'t know how that\'s going to affect them,"" said CEO Jay Schottenstein. ""', 'And when people don\'t know what they don\'t know – they get very conservative … it makes everyone a little nervous.""']",-0.002404490490382,"Beauty and Abercrombie & Fitch, also issued weak forecasts in recent weeks, though they indicated they were feeling positive about the second half of the year.","Questions about air safety compounded the problem after two major airline accidents, including Delta's own crash landing in Toronto, in which no one died.",-0.437673362188561,"You know, if tariffs are put in place and prices rise the way that they might, what's going to happen with the consumer?""Over the last year, companies like United, Walmart and Abercrombie have managed to outperform the S&P 500, even as shoppers reduced discretionary spending, so this change in commentary marks a major shift.","Across earnings calls and investor presentations in recent weeks, retailers and other consumer-facing businesses warned that first-quarter sales were coming in softer than expected and the rest of the year might be tougher than Wall Street thought.",2025-03-18
-"Southwest Airlines will charge to check bags for the first time, launch basic economy tickets",https://www.cnbc.com/2025/03/11/southwest-airlines-charge-checked-bags.html,2025-03-11T20:08:25+0000,"In this articleIt's happening: Southwest Airlines will start charging passengers to check bags for the first time.It's a stunning reversal that shows the low-cost pioneer is willing to part with a customer perk executives have said set it apart from rivals for more than half a century of flying in hopes of increasing revenue.Southwest's changes come after months of pressure from activist Elliott Investment Management. The firm took a stake in the airline last year and won five board seats as it pushed for quick changes at the company, which held on for decades — until now — to perks like free checked bags, changeable tickets and open seating.For tickets purchased on or after May 28, Southwest customers in all but the top-tier fare class will have to pay to check bags, though there will be exceptions. Elite frequent flyers who hold A-List Preferred status will still get two bags, and A-List level members will get one free checked bag. Southwest credit card holders will also get one free checked bag.""Two bags fly free"" is a registered trademark on Southwest's website. But its decision to about-face on what executives long cast as a sacrosanct passenger perk brings the largest U.S. domestic carrier in line with its rivals, which together generated more than $5 billion from bag fees last year, according to federal data.Southwest didn't say how much it plans to charge to check bags, but a single bag costs $35 to check on Delta, American and United.Southwest shares rose 8% Tuesday after its baggage fee announcement and investor update, while other large carriers' shares and the broader market fell.Southwest executives have long said they didn't plan to charge for bags, telling Wall Street analysts that it was a major reason why customers chose the airline.At an investor day in September, Southwest said that it would gain between $1 billion and $1.5 billion from charging for bags but lose $1.8 billion of market share. Southwest said its ""rigorous research"" found that ""our 'bags fly free' policy generates market share gains in excess of potential lost revenue from bag fees.""Some airline executives see an opportunity.""I think, clearly, there are some customers who [chose Southwest] because of that, and now those customers are up for grabs,"" Delta Air Lines President Glen Hauenstein said at an investor conference on Tuesday, after Southwest's announcement. ""We'll see how that plays out over the next period of time as they continue to implement multiple changes to their products.""United Airlines CEO Scott Kirby, speaking at the same conference, likened Southwest's baggage policy change to ""the slaying of a sacred cow"" and said lower-paying customers will be most affected.""I view it as a big deal because it's more — it feels more financially driven — a results-driven airline than it's ever been before,"" he said.Southwest CEO Bob Jordan had cited the company's long-standing bag policy in an earnings call last July.""After fare and schedule, bags fly free is cited as the No. 1 issue in terms of why customers choose Southwest,"" Jordan said.But Southwest has changed its tune.""What's changed is that we've come to realize that we need more revenue to cover our costs,"" COO Andrew Watterson said in an interview with CNBC about the baggage fee changes. ""We think that these changes that we're announcing today will lead to less of that share shift than would have been the case otherwise.""Jordan said Tuesday that the new baggage policy will likely help drive sign-ups for its co-branded credit card and that it made sense because of its commercial reach, listing its tickets through outside platforms like Google Flights and Expedia.""In contrast to our previous analysis, actual customer booking behavior through our new booking channels such as metasearch, did not show that we are getting the same benefit from our bundled offering with free bags, which has led us to update the assumptions,"" he said.Jordan said the carrier has new executives with ""direct experience implementing bag fees at multiple airlines and that's also helped further validate the new assumptions.""Southwest said the changes it announced Tuesday will add $800 million in earnings before interest and taxes this year and $1.7 billion in 2026, bringing 2026 total increases, including other initiatives, to $4.3 billion, up from a $2.6 billion target it shared at its investor day in September.During those presentations in September, Southwest's then chief transformation officer, Ryan Green, told analysts that an analysis showed Southwest would lose more money from passengers defecting to rivals if it started charging for bags than it would make from the fees.""The fact that free bags is a key driver of choice creates the risk that customers may choose the competition if we change the policy,"" he said.Southwest said last month that it had parted ways with Green.The airline also said Tuesday that it will launch a new, basic economy fare, something rivals have offered for years.Southwest, in addition, will change the way customers earn Rapid Rewards: Customers will earn more of the frequent flyer miles depending on how much they pay. Redemption rates will vary depending on flight demand, a dynamic pricing model competitors use.And flight credits for tickets purchased on or after May 28 will expire in one year, or earlier, depending on the type of fare purchased.It's the latest in a string of massive strategy changes at Southwest as its performance has fallen behind rivals.Last July, Southwest shocked passengers when it announced it would ditch its open seating model for assigned seats and add ""premium"" extra legroom options, ending decades of an single-class cabin.The airline is also looking to slash its costs. Higher expenses coming out of the pandemic have taken a bite out of airline margins.Last month, Southwest announced its first mass layoff, cutting about 1,750 jobs roughly 15% of its corporate staff, many of them at its headquarters, a decision CEO Jordan called ""unprecedented"" in the carrier's more than 53 years of flying.""We are at a pivotal moment as we transform Southwest Airlines into a leaner, faster, and more agile organization,"" he said last month.Earlier this year, Southwest announced the retirement of its longtime finance chief, Tammy Romo, who was replaced by Breeze executive Tom Doxey, and its chief administrative officer, Linda Rutherford. Both executives worked at Southwest for more than 30 years.Southwest has also cut unprofitable routes, summer internships and employee team-building events its held for decades.",CNBC,11/03/2025,"[""In this articleIt's happening: Southwest Airlines will start charging passengers to check bags for the first time."", ""It's a stunning reversal that shows the low-cost pioneer is willing to part with a customer perk executives have said set it apart from rivals for more than half a century of flying in hopes of increasing revenue."", ""Southwest's changes come after months of pressure from activist Elliott Investment Management."", 'The firm took a stake in the airline last year and won five board seats as it pushed for quick changes at the company, which held on for decades — until now — to perks like free checked bags, changeable tickets and open seating.', 'For tickets purchased on or after May 28, Southwest customers in all but the top-tier fare class will have to pay to check bags, though there will be exceptions.', 'Elite frequent flyers who hold A-List Preferred status will still get two bags, and A-List level members will get one free checked bag.', 'Southwest credit card holders will also get one free checked bag.', '""Two bags fly free"" is a registered trademark on Southwest\'s website.', 'But its decision to about-face on what executives long cast as a sacrosanct passenger perk brings the largest U.S. domestic carrier in line with its rivals, which together generated more than $5 billion from bag fees last year, according to federal data.', ""Southwest didn't say how much it plans to charge to check bags, but a single bag costs $35 to check on Delta, American and United."", ""Southwest shares rose 8% Tuesday after its baggage fee announcement and investor update, while other large carriers' shares and the broader market fell."", ""Southwest executives have long said they didn't plan to charge for bags, telling Wall Street analysts that it was a major reason why customers chose the airline."", 'At an investor day in September, Southwest said that it would gain between $1 billion and $1.5 billion from charging for bags but lose $1.8 billion of market share.', 'Southwest said its ""rigorous research"" found that ""our \'bags fly free\' policy generates market share gains in excess of potential lost revenue from bag fees.', '""Some airline executives see an opportunity.', '""I think, clearly, there are some customers who [chose Southwest] because of that, and now those customers are up for grabs,"" Delta Air Lines President Glen Hauenstein said at an investor conference on Tuesday, after Southwest\'s announcement. ""', ""We'll see how that plays out over the next period of time as they continue to implement multiple changes to their products."", '""United Airlines CEO Scott Kirby, speaking at the same conference, likened Southwest\'s baggage policy change to ""the slaying of a sacred cow"" and said lower-paying customers will be most affected.', '""I view it as a big deal because it\'s more — it feels more financially driven — a results-driven airline than it\'s ever been before,"" he said.', ""Southwest CEO Bob Jordan had cited the company's long-standing bag policy in an earnings call last July."", '""After fare and schedule, bags fly free is cited as the No.', '1 issue in terms of why customers choose Southwest,"" Jordan said.', 'But Southwest has changed its tune.', '""What\'s changed is that we\'ve come to realize that we need more revenue to cover our costs,"" COO Andrew Watterson said in an interview with CNBC about the baggage fee changes. ""', ""We think that these changes that we're announcing today will lead to less of that share shift than would have been the case otherwise."", '""Jordan said Tuesday that the new baggage policy will likely help drive sign-ups for its co-branded credit card and that it made sense because of its commercial reach, listing its tickets through outside platforms like Google Flights and Expedia.', '""In contrast to our previous analysis, actual customer booking behavior through our new booking channels such as metasearch, did not show that we are getting the same benefit from our bundled offering with free bags, which has led us to update the assumptions,"" he said.', 'Jordan said the carrier has new executives with ""direct experience implementing bag fees at multiple airlinesand that\'s also helped further validate the new assumptions.', '""Southwest said the changes it announced Tuesday will add $800 million in earnings before interest and taxes this year and $1.7 billion in 2026, bringing 2026 total increases, including other initiatives, to $4.3 billion, up from a $2.6 billion target it shared at its investor day in September.', ""During those presentations in September, Southwest's then chief transformation officer, Ryan Green, told analysts that an analysis showed Southwest would lose more money from passengers defecting to rivals if it started charging for bags than it would make from the fees."", '""The fact that free bags is a key driver of choice creates the risk that customers may choose the competition if we change the policy,"" he said.', 'Southwest said last month that it had parted ways with Green.', 'The airline also said Tuesday that it will launch a new, basic economy fare, somethingrivalshave offered for years.', 'Southwest, in addition, will change the way customers earn Rapid Rewards: Customers will earn more of the frequent flyer miles depending on how much they pay.', 'Redemption rates will vary depending on flight demand, a dynamic pricing model competitors use.', 'And flight credits for tickets purchased on or after May 28 will expire in one year, or earlier, depending on the type of fare purchased.', ""It's the latest in a string of massive strategy changes at Southwest as its performance has fallen behind rivals."", 'Last July, Southwest shocked passengers when it announced it would ditch its open seating model for assigned seats and add ""premium"" extra legroom options, ending decades of an single-class cabin.', 'The airline is also looking to slash its costs.', 'Higher expenses coming out of the pandemic have taken a bite out of airline margins.', 'Last month, Southwest announced its first mass layoff, cutting about 1,750 jobs roughly 15% of its corporate staff, many of them at its headquarters, a decision CEO Jordan called ""unprecedented"" in the carrier\'s more than 53 years of flying.', '""We are at a pivotal moment as we transform Southwest Airlines into a leaner, faster, and more agile organization,"" he said last month.', 'Earlier this year, Southwest announced the retirement of its longtime finance chief, Tammy Romo, who was replaced by Breeze executive Tom Doxey, and its chief administrative officer, Linda Rutherford.', 'Both executives worked at Southwest for more than 30 years.', 'Southwest has also cut unprofitable routes, summer internships and employee team-building events its held for decades.']",0.1842474383288667,"The firm took a stake in the airline last year and won five board seats as it pushed for quick changes at the company, which held on for decades — until now — to perks like free checked bags, changeable tickets and open seating.","During those presentations in September, Southwest's then chief transformation officer, Ryan Green, told analysts that an analysis showed Southwest would lose more money from passengers defecting to rivals if it started charging for bags than it would make from the fees.",0.3572239518165588,"Southwest said its ""rigorous research"" found that ""our 'bags fly free' policy generates market share gains in excess of potential lost revenue from bag fees.",It's the latest in a string of massive strategy changes at Southwest as its performance has fallen behind rivals.,2025-03-18
-Boeing Starliner astronauts who were supposed to be in space for nine days returning to Earth after nine months on ISS,https://www.cnbc.com/2025/03/18/boeing-starliner-astronauts-butch-wilmore-suni-williams-returning-spacex-iss.html,2025-03-18T06:38:48+0000,"In this articleThe two U.S. astronauts who had been at the International Space Station for nine months after their faulty Boeing Starliner capsule returned without them are finally heading home.NASA astronauts Butch Wilmore and Suni Williams left Earth in June on a test flight that was originally intended to last about nine days.But their stay was extended after thrusters on Boeing's Starliner capsule ""Calypso"" failed during docking, raising concerns about the ship's ability to carry them home. The agency ultimately sent the capsule back empty after it was docked for about three months at the space station, saying it wanted to ""further understand the root causes"" of the spacecraft's issues.NASA also announced that Wilmore and Williams, who are both veteran astronauts and retired Navy test pilots, would return on a SpaceX Dragon spacecraft instead. The agency adjusted its rotation of astronauts as a result, removing two people from SpaceX's Crew-9 mission — which is returning to Earth this week — to make room for Wilmore and Williams.That capsule carrying the two people on Crew-9 arrived at the ISS back in September. Crews rotate on the ISS, which means that each group of astronauts works until the next arrives at the space station, when a ceremonial ""handover"" occurs.NASA had originally planned for SpaceX's Crew-10 mission — which needed to arrive before the Crew-9 members could come back down — to launch in February, but it was delayed by about a month.The rocket carrying the four new crew members launched on Friday evening, and its capsule docked at the space station about 29 hours later.Wilmore, Williams, NASA astronaut Nick Hague and Roscosmos cosmonaut Aleksandr Gorbunov are set to splash down Tuesday evening, about 19 hours after closing the hatch on the SpaceX capsule, according to NASA's estimated schedule.The Starliner crew flight test was supposed to check a final box for Boeing and deliver a key asset for NASA. The agency was hoping to fulfill its dream of having two competing companies — Boeing and Elon Musk's SpaceX — flying alternating missions to the ISS.Instead, it's unclear what Boeing's future crewed space plans are. The company has lost more than $2 billion on its Starliner spacecraft.Wilmore and Williams' journey became entangled in politics once President Donald Trump took office. Trump and Musk, who has become a close advisor to the president, urged a quicker Crew-10 launch and said without evidence that the two astronauts were ""stranded"" on the space station and that the Biden administration had kept them up there for political reasons. NASA had delayed the Crew-10 launch in December to allow more time to process a new Dragon capsule, but decided to use a reusable capsule to cut down on wait time.NASA's plans for returning the two astronauts have remained consistent since the agency announced them in August.During their extended stay, Wilmore and Williams became part of a normal rotation, conducting scientific experiments and routine maintenance as any other astronaut on rotation at the ISS would. Williams also conducted a spacewalk.Williams has said repeatedly that the pair doesn't feel ""abandoned"" at the ISS, but that she was looking forward to returning home to see her family and her two dogs.""It's been a roller coaster for them, probably a little bit more so than for us,"" she told reporters earlier this month.",CNBC,18/03/2025,"['In this articleThe two U.S. astronauts who had been at the International Space Station for nine months after their faulty Boeing Starliner capsule returned without them are finally heading home.', 'NASA astronauts Butch Wilmore and Suni Williams left Earth in June on a test flight that was originally intended to last about nine days.', 'But their stay was extended after thrusters on Boeing\'s Starliner capsule ""Calypso""failed during docking, raising concerns about the ship\'s ability to carry them home.', 'The agency ultimately sent the capsule back empty after it was docked for about three months at the space station, saying it wanted to ""further understand the root causes"" of the spacecraft\'s issues.', 'NASA also announced that Wilmore and Williams, who are both veteran astronauts and retired Navy test pilots, would return on a SpaceX Dragon spacecraft instead.', ""The agency adjusted its rotation of astronauts as a result, removing two people from SpaceX's Crew-9 mission — which is returning to Earth this week — to make room for Wilmore and Williams."", 'That capsule carrying the two people on Crew-9 arrived at the ISS back in September.', 'Crews rotate on the ISS, which means that each group of astronauts works until the next arrives at the space station, when a ceremonial ""handover"" occurs.', ""NASA had originally planned for SpaceX's Crew-10 mission — which needed to arrive before the Crew-9 members could come back down — to launch in February, but it was delayed by about a month."", 'The rocket carrying the four new crew members launched on Friday evening, and its capsule docked at the space station about 29 hours later.', ""Wilmore, Williams, NASA astronaut Nick Hague and Roscosmos cosmonaut Aleksandr Gorbunov are set to splash down Tuesday evening, about 19 hours after closing the hatch on the SpaceX capsule, according to NASA's estimated schedule."", 'The Starliner crew flight test was supposed to check a final box for Boeing and deliver a key asset for NASA.', ""The agency was hoping to fulfill its dream of having two competing companies — Boeing andElon Musk's SpaceX — flying alternating missions to the ISS.Instead, it's unclear what Boeing's future crewed space plans are."", 'The company has lost more than $2 billion on its Starliner spacecraft.', ""Wilmore and Williams' journey became entangled in politics once President Donald Trump took office."", 'Trump and Musk, who has become a close advisor to the president, urged a quicker Crew-10 launch and said without evidence that the two astronauts were ""stranded"" on the space station and that the Biden administration had kept them up there for political reasons.', 'NASA had delayed the Crew-10 launch in December to allow more time to process a new Dragon capsule, but decided to use a reusable capsule to cut down on wait time.', ""NASA's plans for returning the two astronauts have remained consistent since the agency announced them in August."", 'During their extended stay, Wilmore and Williams became part of a normal rotation, conducting scientific experiments and routine maintenance as any other astronaut on rotation at the ISS would.', 'Williams also conducted a spacewalk.', 'Williams has said repeatedly that the pair doesn\'t feel ""abandoned"" at the ISS, but that she was looking forward to returning home to see her family and her two dogs.', '""It\'s been a roller coaster for them, probably a little bit more so than for us,"" she told reporters earlier this month.']",-0.0081875028085984,"The agency was hoping to fulfill its dream of having two competing companies — Boeing andElon Musk's SpaceX — flying alternating missions to the ISS.Instead, it's unclear what Boeing's future crewed space plans are.","NASA had delayed the Crew-10 launch in December to allow more time to process a new Dragon capsule, but decided to use a reusable capsule to cut down on wait time.",-0.8697511355082194,,The company has lost more than $2 billion on its Starliner spacecraft.,2025-03-17
-"Klarna, nearing IPO, plucks lucrative Walmart fintech partnership from rival Affirm",https://www.cnbc.com/2025/03/17/walmart-klarna-nearing-ipo-wins-fintech-partnership-from-affirm.html,2025-03-17T21:14:32+0000,"In this articleSwedish fintech firm Klarna will be the exclusive provider of buy now, pay later loans for Walmart, taking a coveted partnership away from rival Affirm, CNBC has learned.Klarna, which just disclosed its intention to go public in the U.S., will provide loans to Walmart customers in stores and online through the retailer's majority-owned fintech startup OnePay, according to people with knowledge of the situation who declined to be identified speaking about the partnership.OnePay, which updated its brand name from One this month, will handle the user experience via its app, while Klarna will make underwriting decisions for loans ranging from three months to 36 months in length, and with annual interest rates from 10% to 36%, said the people.The new product will be launched in the coming weeks and will be scaled to all Walmart channels by the holiday season, likely leaving it the retailer's only buy now, pay later option by year-end.The move heightens the rivalry between Affirm and Klarna, two of the world's biggest BNPL players, just as Klarna is set to go public. Although both companies claim to offer a better alternative for borrowers than credit cards, Affirm is more U.S.-centric and has been public since 2021, while Klarna's network is more global.Shares of Affirm dropped 4.2% Monday after falling as much as 14% earlier in the session.The deal comes at an opportune time for Klarna as it readies one of the year's most highly anticipated initial public offerings. After a dearth of big tech listings in the U.S. since 2021, the Klarna IPO will be a key test for the industry. The firm's private market valuation has been a roller coaster: It soared to $46 billion in 2021, then crashed by 85% the next year amid the broader decline of high-flying fintech firms.CEO Sebastian Siemiatkowski has worked to improve Klarna's prospects, including touting its use of generative artificial intelligence to slash expenses and headcount. The company returned to profitability in 2023, and its valuation is now roughly $15 billion, according to analysts, nearly matching the public market value of Affirm.The OnePay deal is a ""game changer"" for Klarna, Siemiatkowski said in a release confirming the pact.""Millions of people in the U.S. shop at Walmart every day — and now they can shop smarter with OnePay installment loans powered by Klarna,"" he said. ""We look forward to helping redefine checkout at the world's largest retailer — both online and in stores.""As part of the deal, OnePay can take a position in Klarna. In its F-1 filing, Klarna said it entered into a ""commercial agreement with a global partner"" in which it is giving warrants to purchase more than 15 million shares for an average price of $34 each. OnePay is the partner, people with knowledge of the deal confirmed.For Affirm, the move is likely to be seen as a blow at a time when tech stocks are particularly vulnerable. Run by CEO Max Levchin, a PayPal co-founder, the company's stock has surged and fallen since its 2021 IPO. The lender's shares have dipped 18% this year before Monday.Affirm executives frequently mention their partnerships with big merchants as a key driver of purchase volumes and customer acquisition. In November, Affirm's chief revenue officer, Wayne Pommen, referred to Walmart and other tie-ups including those with Amazon, Shopify and Target as its ""crown jewel partnerships.""An Affirm spokesman had this statement: ""We win business when merchants want superior performance and maximum value, given our underwriting and capital markets advantages. We will continue our long-term strategy of competing on our products and entering into sustainable partnerships.""The deal is no less consequential to Walmart's OnePay, which has surged to a $2.5 billion pre-money valuation just two years after rolling out a suite of products to its customers.The startup now has more than 3 million active customers and is generating revenue at an annual run rate of more than $200 million.As part of its push to penetrate areas adjacent to its core business, Walmart executives have touted OnePay's potential to become a one-stop shop for Americans underserved by traditional banks.Walmart is the world's largest retailer and says it has 255 million weekly customers, giving the startup — which is a separate company backed by Walmart and Ribbit Capital — a key advantage in acquiring new customers.Last year, the Walmart-backed fintech began offering BNPL loans in the aisles and on checkout pages of Walmart, CNBC reported at the time. That led to speculation that it would ultimately displace Affirm, which had been the exclusive provider for BNPL loans for Walmart since 2019.OnePay's move to partner with Klarna rather than going it alone shows the company saw an advantage in going with a seasoned, at-scale provider versus using its own solution.OnePay's push into consumer lending is expected to accelerate its conversion of Walmart customers into fintech app users. Cash-strapped consumers are increasingly relying on loans to meet their needs, and the installment loan is seen as a wedge to also offer users the banking, savings and payments features that OnePay has already built.Americans held a record $1.21 trillion in credit card debt in the fourth quarter of last year, about $441 billion higher than balances in 2021, according to Federal Reserve Bank of New York data.""It's never been more important to give consumers simple and convenient ways to access fair credit at the point of sale,"" said OnePay CEO Omer Ismail. ""That's especially true for the millions of people who turn to Walmart every week for everything.""Next up is likely a OnePay-branded credit card offered with the help of a new banking partner after Walmart successfully exited its partnership with Capital One.""We're looking forward to going down this new path where not only can they provide installment credit ... but also revolving credit,"" Walmart CFO John David Rainey told investors in June.— CNBC's MacKenzie Sigalos and Melissa Repko contributed to this report.",CNBC,17/03/2025,"['In this articleSwedish fintech firm Klarna will be the exclusive provider of buy now, pay later loans for Walmart, taking a coveted partnership away from rival Affirm, CNBC has learned.', ""Klarna, which just disclosed its intention to go public in the U.S., will provide loans to Walmart customers in stores and online through the retailer's majority-owned fintech startup OnePay, according to people with knowledge of the situation who declined to be identified speaking about the partnership."", 'OnePay, which updated its brand name from One this month, will handle the user experience via its app, while Klarna will make underwriting decisions for loans ranging from three months to 36 months in length, and with annual interest rates from 10% to 36%, said the people.', ""The new product will be launched in the coming weeks and will be scaled to all Walmart channels by the holiday season, likely leaving it the retailer's only buy now, pay later option by year-end."", ""The move heightens the rivalry between Affirm and Klarna, two of the world's biggest BNPL players, just as Klarna is set to go public."", ""Although both companies claim to offer a better alternative for borrowers than credit cards, Affirm is more U.S.-centric and has been public since 2021, while Klarna's network is more global."", 'Shares of Affirm dropped 4.2% Monday after falling as much as 14% earlier in the session.', ""The deal comes at an opportune time for Klarna as it readies one of the year's most highly anticipated initial public offerings."", 'After a dearth of big tech listings in the U.S. since 2021, the Klarna IPO will be a key test for the industry.', ""The firm's private market valuation has been a roller coaster: It soared to $46 billion in 2021, then crashed by 85% the next year amid the broader decline of high-flying fintech firms."", ""CEO Sebastian Siemiatkowski has worked to improve Klarna's prospects, including touting its use of generative artificial intelligence to slash expenses and headcount."", 'The company returned to profitability in 2023, and its valuation is now roughly $15 billion, according to analysts, nearly matching the public market value of Affirm.', 'The OnePay deal is a ""game changer"" for Klarna, Siemiatkowski said in a release confirming the pact.', '""Millions of people in the U.S. shop at Walmart every day — and now they can shop smarter with OnePay installment loans powered by Klarna,"" he said. ""', ""We look forward to helping redefine checkout at the world's largest retailer — both online and in stores."", '""As part of the deal, OnePay can take a position in Klarna.', 'In its F-1 filing, Klarna said it entered into a ""commercial agreement with a global partner"" in which it is giving warrants to purchase more than 15 million shares for an average price of $34 each.', 'OnePay is the partner, people with knowledge of the deal confirmed.', 'For Affirm, the move is likely to be seen as a blow at a time when tech stocks are particularly vulnerable.', ""Run by CEO Max Levchin, a PayPal co-founder, the company's stock has surged and fallen since its 2021 IPO."", ""The lender's shares have dipped 18% this year before Monday."", 'Affirm executives frequently mention their partnerships with big merchants as a key driver of purchase volumes and customer acquisition.', 'In November, Affirm\'s chief revenue officer, Wayne Pommen, referred to Walmart and other tie-ups including those with Amazon, Shopify and Target as its ""crown jewel partnerships.', '""An Affirm spokesman had this statement: ""We win business when merchants want superior performance and maximum value, given our underwriting and capital markets advantages.', 'We will continue our long-term strategy of competing on our products and entering into sustainable partnerships.', '""The deal is no less consequential to Walmart\'s OnePay, which has surged to a $2.5 billion pre-money valuation just two years after rolling out a suite of products to its customers.', 'The startup now has more than 3 million active customers and is generating revenue at an annual run rate of more than $200 million.', ""As part of its push to penetrate areas adjacent to its core business, Walmart executives have touted OnePay's potential to become a one-stop shop for Americans underserved by traditional banks."", ""Walmart is the world's largest retailer and says it has 255 million weekly customers, giving the startup — which is a separate company backed by Walmart and Ribbit Capital — a key advantage in acquiring new customers."", 'Last year, the Walmart-backed fintech began offering BNPL loans in the aisles and on checkout pages of Walmart, CNBC reported at the time.', ""That led to speculation that it would ultimately displace Affirm, which had been the exclusive provider for BNPL loans for Walmart since 2019.OnePay's move to partner with Klarna rather than going it alone shows the company saw an advantage in going with a seasoned, at-scale provider versus using its own solution."", ""OnePay's push into consumer lending is expected to accelerate its conversion of Walmart customers into fintech app users."", 'Cash-strapped consumers are increasingly relying on loans to meet their needs, and the installment loan is seen as a wedge to also offer users the banking, savings and payments features that OnePay has already built.', 'Americans held a record $1.21 trillion in credit card debt in the fourth quarter of lastyear, about $441 billion higher than balances in 2021, according to Federal Reserve Bank of New York data.', '""It\'s never been more important to give consumers simple and convenient ways to access fair credit at the point of sale,"" said OnePay CEO Omer Ismail. ""', ""That's especially true for the millions of people who turn to Walmart every week for everything."", '""Next up is likely a OnePay-branded credit card offered with the help of a new banking partner after Walmart successfully exited its partnership with Capital One.', '""We\'re looking forward to going down this new path where not only can they provide installment credit ... but also revolving credit,"" Walmart CFO John David Rainey told investors in June.—', ""CNBC's MacKenzie Sigalos and Melissa Repko contributed to this report.""]",0.2201782648605297,"""An Affirm spokesman had this statement: ""We win business when merchants want superior performance and maximum value, given our underwriting and capital markets advantages.","After a dearth of big tech listings in the U.S. since 2021, the Klarna IPO will be a key test for the industry.",0.250191193819046,"""The deal is no less consequential to Walmart's OnePay, which has surged to a $2.5 billion pre-money valuation just two years after rolling out a suite of products to its customers.",The lender's shares have dipped 18% this year before Monday.,2025-03-17
-White House pulls Trump’s nomination for CDC director hours before confirmation hearing,https://www.cnbc.com/2025/03/13/white-house-pulls-trump-cdc-director-nominee-dave-weldon.html,2025-03-13T17:46:50+0000,"The White House has pulled President Donald Trump's nominee to lead the Centers for Disease Control and Prevention, former Rep. Dave Weldon, the Senate's health committee confirmed Thursday.The move came just hours before the Republican former Florida lawmaker, a vaccine critic, was set to appear before the U.S. Senate Committee on Health, Education, Labor and Pensions for a confirmation hearing. The panel said the hearing, which had been scheduled for 10 a.m. ET, is canceled.Axios first reported the decision on Thursday. Robert F. Kennedy Jr., who leads the Department of Health and Human Services, said Weldon wasn't ready for the role, Axios reported. HHS oversees the CDC and all other federal health agencies.Weldon said he had been excited to work with Kennedy and serve the country again, The New York Times reported Thursday.""It is a shock, but, you know, in some ways, it's relief,"" Weldon told the paper. ""Government jobs demand a lot of you, and if God doesn't want me in it, I'm fine with that.""He said he plans to ""get on an airplane at 11 o'clock and I'm going to go home and I'm going to see patients on Monday,"" according to the newspaper.""I'll make much more money staying in my medical practice,"" Weldon added.But Weldon's views align closely with Kennedy, a notorious vaccine skeptic. Weldon, 71, has long questioned the safety of certain vaccines, promoting the false claim linking vaccines to autism. In 2006, Weldon appeared with parents who claimed that the CDC had covered up evidence tying vaccines to children developing autism.The CDC will reportedly reexamine that link under Kennedy despite decades of research debunking it.While in Congress, Weldon sponsored a bill that would transfer responsibility for vaccine safety away from the CDC. He claimed the agency had a conflict of interest because it purchases and promotes vaccines. The bill never made it past committees. Weldon is an internal medicine doctor who served in Congress for 14 years, from 1995 to 2009. Sen. Patty Murray, a Democrat from Washington and HELP committee member, has said she was ""deeply disturbed"" by Weldon's false claims about vaccines.In a statement on Thursday, Murray said, ""While I have little to no confidence in the Trump administration to do so, they should immediately nominate someone for this position who at bare minimum believes in basic science and will help lead CDC's important work to monitor and prevent deadly outbreaks.""She added that Kennedy is already doing ""incalculable damage by spreading lies and disinformation as the top health official in America.""HHS did not immediately respond to a request to comment on why the administration pulled Weldon's nomination and when Trump may choose another person for the post.",CNBC,13/03/2025,"[""The White House has pulled President Donald Trump's nominee to lead the Centers for Disease Control and Prevention, former Rep. Dave Weldon, the Senate's health committee confirmed Thursday."", 'The move came just hours before the Republican former Florida lawmaker, a vaccine critic, was set to appearbefore the U.S. Senate Committee on Health, Education, Labor and Pensions for a confirmation hearing.', 'The panel said the hearing, which had been scheduled for 10 a.m. ET, is canceled.', 'Axios first reported the decision on Thursday.', ""Robert F. Kennedy Jr., who leads the Department of Health and Human Services, said Weldon wasn't ready for the role, Axios reported."", 'HHS oversees the CDC and all other federal health agencies.', 'Weldon said he had been excited to work with Kennedy and serve the country again, The New York Times reported Thursday.', '""It is a shock, but, you know, in some ways, it\'s relief,"" Weldon told the paper. ""', ""Government jobs demand a lot of you, and if God doesn't want me in it, I'm fine with that."", '""He said he plans to ""get on an airplane at 11 o\'clock and I\'m going to go home and I\'m going to see patients on Monday,"" according to the newspaper.', '""I\'ll make much more money staying in my medical practice,"" Weldon added.', ""But Weldon's views align closely with Kennedy, a notorious vaccine skeptic."", 'Weldon, 71, has long questioned the safety of certain vaccines, promoting the false claim linking vaccines to autism.', 'In 2006, Weldon appearedwith parents who claimed that the CDC had covered up evidence tying vaccines to children developing autism.', 'The CDC will reportedly reexamine that link under Kennedy despite decades of research debunking it.', 'While in Congress, Weldon sponsored a bill that would transfer responsibility for vaccine safety away from the CDC.', 'He claimed the agency had a conflict of interest because it purchases and promotes vaccines.', 'The bill never made it past committees.', 'Weldon is an internal medicine doctor who served in Congress for 14 years, from 1995 to 2009.Sen.', 'Patty Murray, a Democrat from Washington and HELP committee member, has said she was ""deeply disturbed"" by Weldon\'s false claims about vaccines.', 'In a statement on Thursday, Murray said, ""While I have little to no confidence in the Trump administration to do so, they should immediately nominate someone for this position who at bare minimum believes in basic science and will help lead CDC\'s important work to monitor and prevent deadly outbreaks.', '""She added that Kennedy is already doing ""incalculable damage by spreading lies and disinformation as the top health official in America.', '""HHS did not immediately respond to a request to comment on why the administration pulled Weldon\'s nomination and when Trump may choose another person for the post.']",0.1053608637340835,"Weldon, 71, has long questioned the safety of certain vaccines, promoting the false claim linking vaccines to autism.","But Weldon's views align closely with Kennedy, a notorious vaccine skeptic.",0.0045524338881174,"""I'll make much more money staying in my medical practice,"" Weldon added.","""She added that Kennedy is already doing ""incalculable damage by spreading lies and disinformation as the top health official in America.",2025-03-17
-"Southwest Airlines will charge to check bags for the first time, launch basic economy tickets",https://www.cnbc.com/2025/03/11/southwest-airlines-charge-checked-bags.html,2025-03-11T20:08:25+0000,"In this articleIt's happening: Southwest Airlines will start charging passengers to check bags for the first time.It's a stunning reversal that shows the low-cost pioneer is willing to part with a customer perk executives have said set it apart from rivals for more than half a century of flying in hopes of increasing revenue.Southwest's changes come after months of pressure from activist Elliott Investment Management. The firm took a stake in the airline last year and won five board seats as it pushed for quick changes at the company, which held on for decades — until now — to perks like free checked bags, changeable tickets and open seating.For tickets purchased on or after May 28, Southwest customers in all but the top-tier fare class will have to pay to check bags, though there will be exceptions. Elite frequent flyers who hold A-List Preferred status will still get two bags, and A-List level members will get one free checked bag. Southwest credit card holders will also get one free checked bag.""Two bags fly free"" is a registered trademark on Southwest's website. But its decision to about-face on what executives long cast as a sacrosanct passenger perk brings the largest U.S. domestic carrier in line with its rivals, which together generated more than $5 billion from bag fees last year, according to federal data.Southwest didn't say how much it plans to charge to check bags, but a single bag costs $35 to check on Delta, American and United.Southwest shares rose 8% Tuesday after its baggage fee announcement and investor update, while other large carriers' shares and the broader market fell.Southwest executives have long said they didn't plan to charge for bags, telling Wall Street analysts that it was a major reason why customers chose the airline.At an investor day in September, Southwest said that it would gain between $1 billion and $1.5 billion from charging for bags but lose $1.8 billion of market share. Southwest said its ""rigorous research"" found that ""our 'bags fly free' policy generates market share gains in excess of potential lost revenue from bag fees.""Some airline executives see an opportunity.""I think, clearly, there are some customers who [chose Southwest] because of that, and now those customers are up for grabs,"" Delta Air Lines President Glen Hauenstein said at an investor conference on Tuesday, after Southwest's announcement. ""We'll see how that plays out over the next period of time as they continue to implement multiple changes to their products.""United Airlines CEO Scott Kirby, speaking at the same conference, likened Southwest's baggage policy change to ""the slaying of a sacred cow"" and said lower-paying customers will be most affected.""I view it as a big deal because it's more — it feels more financially driven — a results-driven airline than it's ever been before,"" he said.Southwest CEO Bob Jordan had cited the company's long-standing bag policy in an earnings call last July.""After fare and schedule, bags fly free is cited as the No. 1 issue in terms of why customers choose Southwest,"" Jordan said.But Southwest has changed its tune.""What's changed is that we've come to realize that we need more revenue to cover our costs,"" COO Andrew Watterson said in an interview with CNBC about the baggage fee changes. ""We think that these changes that we're announcing today will lead to less of that share shift than would have been the case otherwise.""Jordan said Tuesday that the new baggage policy will likely help drive sign-ups for its co-branded credit card and that it made sense because of its commercial reach, listing its tickets through outside platforms like Google Flights and Expedia.""In contrast to our previous analysis, actual customer booking behavior through our new booking channels such as metasearch, did not show that we are getting the same benefit from our bundled offering with free bags, which has led us to update the assumptions,"" he said.Jordan said the carrier has new executives with ""direct experience implementing bag fees at multiple airlines and that's also helped further validate the new assumptions.""Southwest said the changes it announced Tuesday will add $800 million in earnings before interest and taxes this year and $1.7 billion in 2026, bringing 2026 total increases, including other initiatives, to $4.3 billion, up from a $2.6 billion target it shared at its investor day in September.During those presentations in September, Southwest's then chief transformation officer, Ryan Green, told analysts that an analysis showed Southwest would lose more money from passengers defecting to rivals if it started charging for bags than it would make from the fees.""The fact that free bags is a key driver of choice creates the risk that customers may choose the competition if we change the policy,"" he said.Southwest said last month that it had parted ways with Green.The airline also said Tuesday that it will launch a new, basic economy fare, something rivals have offered for years.Southwest, in addition, will change the way customers earn Rapid Rewards: Customers will earn more of the frequent flyer miles depending on how much they pay. Redemption rates will vary depending on flight demand, a dynamic pricing model competitors use.And flight credits for tickets purchased on or after May 28 will expire in one year, or earlier, depending on the type of fare purchased.It's the latest in a string of massive strategy changes at Southwest as its performance has fallen behind rivals.Last July, Southwest shocked passengers when it announced it would ditch its open seating model for assigned seats and add ""premium"" extra legroom options, ending decades of an single-class cabin.The airline is also looking to slash its costs. Higher expenses coming out of the pandemic have taken a bite out of airline margins.Last month, Southwest announced its first mass layoff, cutting about 1,750 jobs roughly 15% of its corporate staff, many of them at its headquarters, a decision CEO Jordan called ""unprecedented"" in the carrier's more than 53 years of flying.""We are at a pivotal moment as we transform Southwest Airlines into a leaner, faster, and more agile organization,"" he said last month.Earlier this year, Southwest announced the retirement of its longtime finance chief, Tammy Romo, who was replaced by Breeze executive Tom Doxey, and its chief administrative officer, Linda Rutherford. Both executives worked at Southwest for more than 30 years.Southwest has also cut unprofitable routes, summer internships and employee team-building events its held for decades.",CNBC,11/03/2025,"[""In this articleIt's happening: Southwest Airlines will start charging passengers to check bags for the first time."", ""It's a stunning reversal that shows the low-cost pioneer is willing to part with a customer perk executives have said set it apart from rivals for more than half a century of flying in hopes of increasing revenue."", ""Southwest's changes come after months of pressure from activist Elliott Investment Management."", 'The firm took a stake in the airline last year and won five board seats as it pushed for quick changes at the company, which held on for decades — until now — to perks like free checked bags, changeable tickets and open seating.', 'For tickets purchased on or after May 28, Southwest customers in all but the top-tier fare class will have to pay to check bags, though there will be exceptions.', 'Elite frequent flyers who hold A-List Preferred status will still get two bags, and A-List level members will get one free checked bag.', 'Southwest credit card holders will also get one free checked bag.', '""Two bags fly free"" is a registered trademark on Southwest\'s website.', 'But its decision to about-face on what executives long cast as a sacrosanct passenger perk brings the largest U.S. domestic carrier in line with its rivals, which together generated more than $5 billion from bag fees last year, according to federal data.', ""Southwest didn't say how much it plans to charge to check bags, but a single bag costs $35 to check on Delta, American and United."", ""Southwest shares rose 8% Tuesday after its baggage fee announcement and investor update, while other large carriers' shares and the broader market fell."", ""Southwest executives have long said they didn't plan to charge for bags, telling Wall Street analysts that it was a major reason why customers chose the airline."", 'At an investor day in September, Southwest said that it would gain between $1 billion and $1.5 billion from charging for bags but lose $1.8 billion of market share.', 'Southwest said its ""rigorous research"" found that ""our \'bags fly free\' policy generates market share gains in excess of potential lost revenue from bag fees.', '""Some airline executives see an opportunity.', '""I think, clearly, there are some customers who [chose Southwest] because of that, and now those customers are up for grabs,"" Delta Air Lines President Glen Hauenstein said at an investor conference on Tuesday, after Southwest\'s announcement. ""', ""We'll see how that plays out over the next period of time as they continue to implement multiple changes to their products."", '""United Airlines CEO Scott Kirby, speaking at the same conference, likened Southwest\'s baggage policy change to ""the slaying of a sacred cow"" and said lower-paying customers will be most affected.', '""I view it as a big deal because it\'s more — it feels more financially driven — a results-driven airline than it\'s ever been before,"" he said.', ""Southwest CEO Bob Jordan had cited the company's long-standing bag policy in an earnings call last July."", '""After fare and schedule, bags fly free is cited as the No.', '1 issue in terms of why customers choose Southwest,"" Jordan said.', 'But Southwest has changed its tune.', '""What\'s changed is that we\'ve come to realize that we need more revenue to cover our costs,"" COO Andrew Watterson said in an interview with CNBC about the baggage fee changes. ""', ""We think that these changes that we're announcing today will lead to less of that share shift than would have been the case otherwise."", '""Jordan said Tuesday that the new baggage policy will likely help drive sign-ups for its co-branded credit card and that it made sense because of its commercial reach, listing its tickets through outside platforms like Google Flights and Expedia.', '""In contrast to our previous analysis, actual customer booking behavior through our new booking channels such as metasearch, did not show that we are getting the same benefit from our bundled offering with free bags, which has led us to update the assumptions,"" he said.', 'Jordan said the carrier has new executives with ""direct experience implementing bag fees at multiple airlinesand that\'s also helped further validate the new assumptions.', '""Southwest said the changes it announced Tuesday will add $800 million in earnings before interest and taxes this year and $1.7 billion in 2026, bringing 2026 total increases, including other initiatives, to $4.3 billion, up from a $2.6 billion target it shared at its investor day in September.', ""During those presentations in September, Southwest's then chief transformation officer, Ryan Green, told analysts that an analysis showed Southwest would lose more money from passengers defecting to rivals if it started charging for bags than it would make from the fees."", '""The fact that free bags is a key driver of choice creates the risk that customers may choose the competition if we change the policy,"" he said.', 'Southwest said last month that it had parted ways with Green.', 'The airline also said Tuesday that it will launch a new, basic economy fare, somethingrivalshave offered for years.', 'Southwest, in addition, will change the way customers earn Rapid Rewards: Customers will earn more of the frequent flyer miles depending on how much they pay.', 'Redemption rates will vary depending on flight demand, a dynamic pricing model competitors use.', 'And flight credits for tickets purchased on or after May 28 will expire in one year, or earlier, depending on the type of fare purchased.', ""It's the latest in a string of massive strategy changes at Southwest as its performance has fallen behind rivals."", 'Last July, Southwest shocked passengers when it announced it would ditch its open seating model for assigned seats and add ""premium"" extra legroom options, ending decades of an single-class cabin.', 'The airline is also looking to slash its costs.', 'Higher expenses coming out of the pandemic have taken a bite out of airline margins.', 'Last month, Southwest announced its first mass layoff, cutting about 1,750 jobs roughly 15% of its corporate staff, many of them at its headquarters, a decision CEO Jordan called ""unprecedented"" in the carrier\'s more than 53 years of flying.', '""We are at a pivotal moment as we transform Southwest Airlines into a leaner, faster, and more agile organization,"" he said last month.', 'Earlier this year, Southwest announced the retirement of its longtime finance chief, Tammy Romo, who was replaced by Breeze executive Tom Doxey, and its chief administrative officer, Linda Rutherford.', 'Both executives worked at Southwest for more than 30 years.', 'Southwest has also cut unprofitable routes, summer internships and employee team-building events its held for decades.']",0.1842474383288667,"The firm took a stake in the airline last year and won five board seats as it pushed for quick changes at the company, which held on for decades — until now — to perks like free checked bags, changeable tickets and open seating.","During those presentations in September, Southwest's then chief transformation officer, Ryan Green, told analysts that an analysis showed Southwest would lose more money from passengers defecting to rivals if it started charging for bags than it would make from the fees.",0.3572239518165588,"Southwest said its ""rigorous research"" found that ""our 'bags fly free' policy generates market share gains in excess of potential lost revenue from bag fees.",It's the latest in a string of massive strategy changes at Southwest as its performance has fallen behind rivals.,2025-03-17
-DC housing market shows signs of cracks amid mass federal layoffs,https://www.cnbc.com/2025/03/13/washington-dc-housing-market-shows-cracks-amid-federal-layoffs.html,2025-03-13T20:11:17+0000,"The supply of homes for sale across the nation always rises ahead of the busy spring market, but the Washington, D.C., metropolitan area is seeing an outsized increase, according to Realtor.com.Inventory gains in the region, which includes the District as well as Maryland and Virginia suburbs, began to accelerate in January and February, up 35.9% and 41% year over year, respectively. Inventory in the area from June to December had already been 20% to 30% higher than the previous year, but the increases accelerated even further in recent months.As of last week, active listings were up 56% compared with the same week one year ago.""The adjustment period following federal layoffs and funding cuts has likely put some Washington D.C. home searches on hold, both for those whose jobs have been directly impacted and those who may be concerned about what's ahead, and the data hints at these challenges,"" wrote Danielle Hale, chief economist for Realtor.com, in a release.For comparison, active listings nationally were up 28% last week compared with the same week in 2024, according to Realtor.com, coinciding with a decline in mortgage rates. The average rate on the popular 30-year fixed loan was around 7.25% in mid-January but fell steadily to 6.82% now, according to Mortgage News Daily.The inventory gains in the D.C. area are not all due to people putting their homes on the market. New listings rose, but by much less than overall inventory, so the increase in overall supply is a combination of new listings and slowing buyer activity.New listings were 24% higher year over year last week, contributing to the increase in for-sale inventory and dropping median days on market, Realtor.com found. New listings year to date are 11.9% above the year-ago level, but still 12.8% below where they were in 2022, according to Hale.There also may be an outsized bump in inventory due to newly built condominiums and townhomes coming on the market now. Construction in the D.C. area has been very active over the past few years. The share of new construction listings is tilted much more toward condos than it was five years ago.As for prices, the median list price in the D.C. metro area was down 1.6% year over year last week. For context, in the fourth quarter of last year, that median list price was down 1.5% annually.The median list price nationally, as of last week, was down 0.2%, though it is heavily skewed by the type of home for sale. Controlling for the size of home, the median list price per square foot increased 1.2% annually, which means there are more smaller or lower-end homes on the market compared to last year. ""While D.C. has the largest share of federal workers in the country, other highly federally employed markets could see similar shifts in the coming weeks or months,"" said Hale. ""While I expect many households will choose to stay in the area and pivot to find new job opportunities, some will likely choose to leave and retire or find a job elsewhere.""",CNBC,13/03/2025,"['The supply of homes for sale across the nation always rises ahead of the busy spring market, but the Washington, D.C., metropolitan area is seeing an outsized increase, according to Realtor.com.', 'Inventory gains in the region, which includes the District as well as Maryland and Virginia suburbs, began to accelerate in January and February, up 35.9% and 41% year over year, respectively.', 'Inventory in the area from June to December had already been 20% to 30% higher than the previous year, but the increases accelerated even further in recent months.', 'As of last week, active listings were up 56% compared with the same week one year ago.', '""The adjustment period following federal layoffs and funding cuts has likely put some Washington D.C. home searches on hold, both for those whose jobs have been directly impacted and those who may be concerned about what\'s ahead, and the data hints at these challenges,"" wrote Danielle Hale, chief economist for Realtor.com, in a release.', 'For comparison, active listings nationally were up 28% last week compared with the same week in 2024, according to Realtor.com, coinciding with a decline in mortgage rates.', 'The average rate on the popular 30-year fixed loan was around 7.25% in mid-January but fell steadily to 6.82% now, according to Mortgage News Daily.', 'The inventory gains in the D.C. area are not all due to people putting their homes on the market.', 'New listings rose, but by much less than overall inventory, so the increase in overall supply is a combination of new listings and slowing buyer activity.', 'New listings were 24% higher year over year last week, contributing to the increase in for-sale inventory and dropping median days on market, Realtor.com found.', 'New listings year to date are 11.9% above the year-ago level, but still 12.8% below where they were in 2022, according to Hale.', 'There also may be an outsized bump in inventory due to newly built condominiums and townhomes coming on the market now.', 'Construction in the D.C. area has been very active over the past few years.', 'The share of new construction listings is tilted much more toward condos than it was five years ago.', 'As for prices, the median list price in the D.C. metro area was down 1.6% year over year last week.', 'For context, in the fourth quarter of last year, that median list price was down 1.5% annually.', 'The median list price nationally, as of last week, was down 0.2%, though it is heavily skewed by the type of home for sale.', 'Controlling for the size of home, the median list price per square foot increased 1.2% annually, which means there are more smaller or lower-end homes on the market compared to last year.', '""While D.C. has the largest share of federal workers in the country, other highly federally employed markets could see similar shifts in the coming weeks or months,"" said Hale. ""', 'While I expect many households will choose to stay in the area and pivot to find new job opportunities, some will likely choose to leave and retire or find a job elsewhere.""']",0.2219384292513283,"Inventory gains in the region, which includes the District as well as Maryland and Virginia suburbs, began to accelerate in January and February, up 35.9% and 41% year over year, respectively.","""The adjustment period following federal layoffs and funding cuts has likely put some Washington D.C. home searches on hold, both for those whose jobs have been directly impacted and those who may be concerned about what's ahead, and the data hints at these challenges,"" wrote Danielle Hale, chief economist for Realtor.com, in a release.",0.2502719724879545,"For comparison, active listings nationally were up 28% last week compared with the same week in 2024, according to Realtor.com, coinciding with a decline in mortgage rates.","The average rate on the popular 30-year fixed loan was around 7.25% in mid-January but fell steadily to 6.82% now, according to Mortgage News Daily.",2025-03-17
-Airline CEOs warn domestic travel demand is slowing,https://www.cnbc.com/2025/03/11/airline-ceo-domestic-travel-demand.html,2025-03-11T20:10:58+0000,"In this articleAirlines are cutting their first-quarter profit and sales estimates, warning that a weaker economic backdrop is weighing on travel demand.Ahead of a JPMorgan industry conference, American Airlines on Tuesday said it expects to lose between 60 cents a share and 80 cents a share in the first three months of the year, a wider loss than the 20 cents to 40 cents a share it previously forecast. It said revenue would likely be flat on the year compared with a January estimate of a rise of as much as 5%.American said in a securities filing that ""the revenue environment has been weaker than initially expected due to the impact of Flight 5342 and softness in the domestic leisure segment, primarily in March,"" referring to the deadly collision of one of its regional jets and an Army helicopter in Washington, D.C., in January.The forecast followed Delta Air Lines slashing its first-quarter estimates after the market closed Monday. Delta said its outlook was ""impacted by the recent reduction in consumer and corporate confidence caused by increased macro uncertainty, driving softness in Domestic demand.""In addition to leisure travel, carriers have said also noted a sharp decline in government travel since the start of the latest Trump administration and its policies like tariffs, government layoffs and other cost cuts.""I think people are cautious and they're pulling back a little bit on travel, not in an organized manner but just kind of waiting to see what's going to transpire, whether it's trade and tariff challenges or macroeconomic policy changes or just a little bit of the unsettledness of the market that we all see,"" CEO Ed Bastian said at the JPMorgan conference.United Airlines CEO Scott Kirby echoed that sentiment at the same conference.""We have also seen weakness in the demand market,"" Kirby said. Government travel is about 2% of United's business, but other workers' travel is also affected, like consultants and contractors, which account for another 2% to 3%.""We've seen some bleed over to that into the domestic leisure market,"" Kirby said.One cost-saving measure: Kirby said United is retiring 21 aircraft early, airplanes that it would otherwise have to spend $100 million on to overhaul engines this year.Both executives were more upbeat on longer-term trends and bright spots like long-haul international and premium travel demand.Delta shares ended the day more than 7% lower. United shed 2% and American shares fell more than 8%.Southwest Airlines also cut its unit revenue guidance, to up no more than 4%, down from a forecast of as much as 7% for the first quarter over last year. The carrier also announced on Tuesday an end to its ""two bags fly free"" policy to charge customers for checked luggage for the first time, starting in May. Its shares rose more than 8%.JetBlue Airways shares ended 4% higher.",CNBC,11/03/2025,"['In this articleAirlines are cutting their first-quarter profit and sales estimates, warning that a weaker economic backdrop is weighing on travel demand.', 'Ahead of a JPMorgan industry conference, American Airlines on Tuesday said it expects to lose between 60 cents a share and 80 cents a share in the first three months of the year, a wider loss than the 20 cents to 40 cents a share it previously forecast.', 'It said revenue would likely be flat on the year compared with a January estimate of a rise of as much as 5%.American said in a securities filing that ""the revenue environment has been weaker than initially expected due to the impact of Flight 5342 and softness in the domestic leisure segment, primarily in March,"" referring to the deadly collision of one of its regional jets and an Army helicopter in Washington, D.C., in January.', 'The forecast followed Delta Air Lines slashing its first-quarter estimates after the market closed Monday.', 'Delta said its outlook was ""impacted by the recent reduction in consumer and corporate confidence caused by increased macro uncertainty, driving softness in Domestic demand.', '""In addition to leisure travel, carriers have said also noted a sharp decline in government travel since the start of the latest Trump administration and its policies like tariffs, government layoffs and other cost cuts.', '""I think people are cautious and they\'re pulling back a little bit on travel, not in an organized manner but just kind of waiting to see what\'s going to transpire, whether it\'s trade and tariff challenges or macroeconomic policy changes or just a little bit of the unsettledness of the market that we all see,"" CEO Ed Bastian said at the JPMorgan conference.', 'United Airlines CEO Scott Kirby echoed that sentiment at the same conference.', '""We have also seen weakness in the demand market,"" Kirby said.', 'Government travel is about 2% of United\'s business, but other workers\' travel is also affected, like consultants and contractors, which account for another 2% to 3%.""We\'ve seen some bleed over to that into the domestic leisure market,"" Kirby said.', 'One cost-saving measure: Kirby said United is retiring 21 aircraft early, airplanes that it would otherwise have to spend $100 million on to overhaul engines this year.', 'Both executives were more upbeat on longer-term trends and bright spots like long-haul international and premium travel demand.', 'Delta shares ended the day more than 7% lower.', 'United shed 2% and American shares fell more than 8%.Southwest Airlines also cut its unit revenue guidance, to up no more than 4%, down from a forecast of as much as 7% for the first quarter over last year.', 'The carrier also announced on Tuesday an end to its ""two bags fly free"" policy to charge customers for checked luggage for the first time, starting in May.', 'Its shares rose more than 8%.JetBlue Airways shares ended 4% higher.']",0.1657399893064658,"""I think people are cautious and they're pulling back a little bit on travel, not in an organized manner but just kind of waiting to see what's going to transpire, whether it's trade and tariff challenges or macroeconomic policy changes or just a little bit of the unsettledness of the market that we all see,"" CEO Ed Bastian said at the JPMorgan conference.","In this articleAirlines are cutting their first-quarter profit and sales estimates, warning that a weaker economic backdrop is weighing on travel demand.",-0.5685901045799255,Both executives were more upbeat on longer-term trends and bright spots like long-haul international and premium travel demand.,"United shed 2% and American shares fell more than 8%.Southwest Airlines also cut its unit revenue guidance, to up no more than 4%, down from a forecast of as much as 7% for the first quarter over last year.",2025-03-17
-"Goodbye to 'bags fly free' on Southwest Airlines, the last freebie in America",https://www.cnbc.com/2025/03/15/goodbye-free-bags-southwest-airlines.html,2025-03-15T12:49:04+0000,"Almost nothing is guaranteed in life. Certainly not weather, electricity, health, tariffs or eggs. But for more than 50 years, American consumers could count on Southwest Airlines letting them check bags for free.Dallas-based Southwest is ending the policy in May. Customers are not happy.""It was the only reason I flew Southwest,"" said MaKensey Kaye Alford, a 21-year-old singer and actress who lives near Birmingham, Alabama.Alford, who is planning to move to New York City later this year, said she would ""definitely"" consider taking another airline now.Southwest's customer-friendly policies have survived recessions, oil price spikes and even the Covid-19 pandemic, winning it years of goodwill and a loyal following, even as it has grown. No other airline carries more people in the United States than Southwest.Now, the airline with an unrivaled streak of profitability (its almost never posted an annual loss) is under pressure to increase profits as big competitors outpace the airline. So it's backpedaling off of years of banishing the thought that they would charge customers for bags, adding to other business-model tweaks like assigned seating that give it more in common with all other airlines.Errol Joseph, 36, a sales consultant who lives in New York and Dallas, said he would now consider flying on Delta Air Lines if the price is the same as Southwest because its planes have seatback screens, unlike Southwest. Joseph added that with baggage policy change, there's ""pretty much no reason to be loyal.""The bag policy had been around longer than most women were able to get credit cards on their own without a man's signature. But those days are over. No more freebies, America.Retailers, restaurants and airlines are among the businesses that have been pulling back on free perks, from complimentary birthday coffees to free package returns, since the pandemic ended. Increasingly, airline perks are only available for loyalty program members or customers who buy a more expensive ticket.Delta offers customers free Wi-Fi on board, but only for those who have signed up for its SkyMiles loyalty program. United Airlines is making a similar move, meanwhile, installing equipment on its planes so customers can soon connect to Elon Musk's Starlink satellite Wi-Fi for free if they are members of the airline's MileagePlus program.It typically takes real financial pressure for companies to return to giveaways, but it's not unprecedented. Starbucks, for example, got rid of upcharges for dairy alternatives to attract customers to try to reverse a sales slump.Southwest's decision pits investors against customers.Activist hedge fund and, as of last year, big Southwest shareholder Elliott Investment Management has been increasing pressure on the airline to raise its profits as rivals like Delta and United have pulled ahead. Elliott pushed for faster changes at the carrier, which has been long hesitant to change, so it could increase revenue. The firm last year won five board seats in a settlement with Southwest.In fact, after Southwest unveiled the bag shift and other policy changes, its shares rose close to 9% this week, while Delta, United and American, each fell more than 11%. CEOs of all the carriers raised concerns about weaker-than-expected travel demand, but Southwest bucked the trend, as it expects the changes to add hundreds of millions of dollars to its bottom line.""Shareholder activism is reshaping LUV into a company that we believe investors will eventually gravitate to,"" wrote Seaport Research Partners airline analyst Dan McKenzie in a note Wednesday as he raised his price target on Southwest's shares to $39 thanks to the policy changes even though ""macro backdrop is glum.""The decision to ditch the two-free-checked bags is part of the airline's big profit-seeking makeover in which it is shedding other long-standing offerings like open-seating and single-class cabins for seat assignments and pricier extra legroom options.It will also start offering a no-frills, no-changes basic economy ticket. Flight credits will also soon have expiration dates. Last month, Southwest had its first-ever mass layoff, cutting about 15% of corporate jobs. It has also slashed unprofitable flying.Air travel hasn't stood still over the last half century, and while it's held onto many core tenets, neither has Southwest. It has gradually made changes over the years, starting to sell things like early boarding, for example. And with air travel breaking new records, assigned seating is necessary for both customers and to make the jobs of employees easier, Southwest executives have argued.Charging for checked bags was something Southwest leaders repeatedly said would cost it more than it could make. (U.S. carriers brought in more than $7 billion in baggage fees in 2023.)In a presentation at an investor day last September, Southwest said it would gain between $1 billion and $1.5 billion from charging for bags but lose $1.8 billion of market share.Southwest executives said that's changed.Hours after breaking the news to customers, CEO Bob Jordan said at a JPMorgan industry conference on Tuesday that ""in contrast to our previous analysis, actual customer booking behavior through our new booking channels such as metasearch, did not show that we are getting the same benefit from our bundled offering with free bags, which has led us to update the assumptions.""Jordan added that the carrier has new executives with ""direct experience implementing bag fees at multiple airlines, and that's also helped further validate the new assumptions.""But thousands joined in consumers' cri de coeur.Southwest posted on Instagram on Thursday, two days after its bombshell announcement, saying ""It's not like we traded Luka,"" a nod to the shocking February trade of Dallas Mavericks superstar Luka Doncic to the Los Angeles Lakers. As of Friday afternoon, the post, which also included information about the change, got more than 14,000 replies, far more than couple of hundred responses the account usually gets.""Taking a screen shot of this as it will be the thumbnail for the harvard business review case study of destroying a brand an entire company,"" replied Instagram user rappid_exposure.Frances Frei, a professor of technology and operations management at Harvard Business School, said that, indeed, no other company is likely as studied as Southwest.""I sure hope this isn't a case of activist investors coming in and insisting on a set of decisions that they won't be around to have to endure,"" she said. ""Great organizations get built over time. It doesn't take very long to ruin an organization, and I really don't want this to be an example of that.""Southwest's two checked bags-fly-free policy officially ends May 28 but for now the slogan is still found on board, printed on cocktail napkins.There will be exceptions: Customers who have a Southwest Airlines co-branded credit card can get one bag for free, and customers in its top tiers of service (read: pricier tickets) or its top-tier loyalty program members will get one to two free checked bags.Whether customers abandon Southwest or are simply reacting to the change remains to be seen.The CEOs of Delta, United and Spirit this week said they see an opportunity to win over customers who might turn away from Southwest.Many travelers won't have a lot of other options, however, with so much consolidation among U.S. carriers and stronghold hubs, though they might have to venture to other airports.Southwest has a roughly 73% share at Baltimore/Washington International Thurgood Marshall Airport, a more than 83% share in San Francisco Bay Oakland International Airport, and 89% share in Long Beach, California, according to aviation-data firm Cirium.The real test, Harvard's Frei said, will be whether the bag change will slow down Southwest's operation, with more customers bringing carry-on bags on board to avoid the checked luggage fees.""I just fear the cost is being underestimated,"" she said. ""It's real operational harm to Southwest if they go slower.""Southwest is already preparing its employees for an onslaught of customer luggage at the gate.Just after its announcement on Tuesday, Southwest told its employees in a memo that customers will ""undoubtedly carry on more luggage than before.""Gate agents will receive mobile bag-tag printers ""reducing the need for string bag tags"" and the company will design new carry-on size guides so customers can see if their luggage fits as a carry on, according to a staff memo sent by Justin Jones, EVP of operations, and Adam Decaire, senior vice president of network planning, a copy of which was seen by CNBC.The airline also plans to speed up retrofits of its Boeing 737-800s and Max aircraft with bigger overhead bins.Frei said not charging for bags, unlike the Costco $1.50 hot dog, is not a loss leader, something a company sells at a loss just to win over customers who might buy more expensive, and profitable, items.As much as it's been beloved by customers, the checked bag policy also had a helped the airline turn planes around faster.""The reason isn't because it's kinder to customers. It's because it's a fast turnaround airline,"" she said. ""If I charge for bags, you will be more likely to carry more luggage on board. And when you carry more luggage on board, I lose my fast turnaround advantage.""Southwest is confident that it's prepared for an increase in gate-checked bags and onboard luggage.""We have a series of work streams that are underway with our with our current operations, to make this not impact our turn times,"" COO Andrew Watterson said in an interview.Time will tell how it shakes out. For now, we have the $1.50 Costco hot dogs.",CNBC,15/03/2025,"['Almost nothing is guaranteed in life.', 'Certainly not weather, electricity, health, tariffs or eggs.', 'But for more than 50 years, American consumers could count on Southwest Airlines letting them check bags for free.', 'Dallas-based Southwest is ending the policy in May.', 'Customers are not happy.', '""It was the only reason I flew Southwest,"" said MaKensey Kaye Alford, a 21-year-old singer and actress who lives near Birmingham, Alabama.', 'Alford, who is planning to move to New York City later this year, said she would ""definitely"" consider taking another airline now.', ""Southwest's customer-friendly policies have survived recessions, oil price spikes and even the Covid-19 pandemic, winning it years of goodwill and a loyal following, even as it has grown."", 'No other airline carries more people in the United States than Southwest.', 'Now, the airline with an unrivaled streak of profitability (its almost never posted an annual loss) is under pressure to increase profits as big competitors outpace the airline.', ""So it's backpedaling off of years of banishing the thought that they would charge customers for bags, adding to other business-model tweaks like assigned seating that give it more in common with all other airlines."", 'Errol Joseph, 36, a sales consultant who lives in New York and Dallas, said he would now consider flying on Delta Air Lines if the price is the same as Southwest because its planes have seatback screens, unlike Southwest.', 'Joseph added that with baggage policy change, there\'s ""pretty much no reason to be loyal.', '""The bag policy had been around longer than most women were able to get credit cards on their own without a man\'s signature.', 'But those days are over.', 'No more freebies, America.', 'Retailers, restaurants and airlines are among the businesses that have been pulling back on free perks, from complimentary birthday coffees to free package returns, since the pandemic ended.', 'Increasingly, airline perks are only available for loyalty program members or customers who buy a more expensive ticket.', 'Delta offers customers free Wi-Fi on board, but only for those who have signed up for its SkyMiles loyalty program.', ""United Airlines is making a similar move, meanwhile, installing equipment on its planes so customers can soon connect to Elon Musk's Starlink satellite Wi-Fi for free if they are members of the airline's MileagePlus program."", ""It typically takes real financial pressure for companies to return to giveaways, but it's not unprecedented."", 'Starbucks, for example, got rid of upcharges for dairy alternatives to attract customers to try to reverse a sales slump.', ""Southwest's decision pits investors against customers."", 'Activist hedge fund and, as of last year, big Southwest shareholder Elliott Investment Management has been increasing pressure on the airline to raise its profits as rivals like Delta and United have pulled ahead.', 'Elliott pushed for faster changes at the carrier, which has been long hesitant to change, so it could increase revenue.', 'The firm last year won five board seats in a settlement with Southwest.', 'In fact, after Southwest unveiled the bag shift and other policy changes, its shares rose close to 9% this week, while Delta, United and American, each fell more than 11%.', 'CEOs of all the carriers raised concerns about weaker-than-expected travel demand, but Southwest bucked the trend, as it expects the changes to add hundreds of millions of dollars to its bottom line.', '""Shareholder activism is reshaping LUV into a company that we believe investors will eventually gravitate to,"" wrote Seaport Research Partners airline analyst Dan McKenzie in a note Wednesday as he raised his price target on Southwest\'s shares to $39 thanks to the policy changes even though ""macro backdrop is glum.', '""The decision to ditch the two-free-checked bags is part of the airline\'s big profit-seeking makeover in which it is shedding other long-standing offerings like open-seating and single-class cabins for seat assignments and pricier extra legroom options.', 'It will also start offering a no-frills, no-changes basic economy ticket.', 'Flight credits will also soon have expiration dates.', 'Last month, Southwest had its first-ever mass layoff, cutting about 15% of corporate jobs.', 'It has also slashed unprofitable flying.', ""Air travel hasn't stood still over the last half century, and while it's held onto many core tenets, neither has Southwest."", 'It has gradually made changes over the years, starting to sell things like early boarding, for example.', 'And with air travel breaking new records, assigned seating is necessary for both customers and to make the jobs of employees easier, Southwest executives have argued.', 'Charging for checked bags was something Southwest leaders repeatedly said would cost it more than it could make. (', 'U.S. carriers brought in more than $7 billion in baggage fees in 2023.)In a presentation at an investor day last September, Southwest said it would gain between $1 billion and $1.5 billion from charging for bags but lose $1.8 billion of market share.', ""Southwest executives said that's changed."", 'Hours after breaking the news to customers, CEO Bob Jordan said at a JPMorgan industry conference on Tuesday that ""in contrast to our previous analysis, actual customer booking behavior through our new booking channels such as metasearch, did not show that we are getting the same benefit from our bundled offering with free bags, which has led us to update the assumptions.', '""Jordan added that the carrier has new executives with ""direct experience implementing bag fees at multiple airlines,and that\'s also helped further validate the new assumptions.', '""But thousands joined in consumers\' cri de coeur.', 'Southwest posted on Instagram on Thursday, two days after its bombshell announcement, saying ""It\'s not like we traded Luka,"" a nod to the shocking February trade of Dallas Mavericks superstarLuka Doncic to the Los Angeles Lakers.', 'As of Friday afternoon, the post, which also included information about the change, got more than 14,000 replies, far more than couple of hundred responses the account usually gets.', '""Taking a screen shot of this as it will be the thumbnail for the harvard business review case study of destroying a brand an entire company,"" replied Instagram user rappid_exposure.', 'Frances Frei, a professor of technology and operations management at Harvard Business School, said that, indeed, no other company is likely as studied as Southwest.', '""I sure hope this isn\'t a case of activist investors coming in and insisting on a set of decisions that they won\'t be around to have to endure,"" she said. ""', 'Great organizations get built over time.', ""It doesn't take very long to ruin an organization, and I really don't want this to be an example of that."", '""Southwest\'s two checked bags-fly-free policy officially ends May 28 but for now the slogan is still found on board, printed on cocktail napkins.', 'There will be exceptions: Customers who have a SouthwestAirlinesco-branded credit card can get one bag for free, and customersin its top tiers of service (read: pricier tickets) or its top-tier loyalty program members will get one to two free checked bags.', 'Whether customers abandon Southwest or are simply reacting to the change remains to be seen.', 'The CEOs of Delta, United and Spirit this week said they see an opportunity to win over customers who might turn away from Southwest.', ""Many travelers won't have a lot of other options, however, with so much consolidation among U.S. carriers and stronghold hubs, though they might have to venture to other airports."", 'Southwest has a roughly 73% share at Baltimore/Washington International Thurgood Marshall Airport, a more than 83% share in San Francisco Bay Oakland International Airport, and 89% share in Long Beach, California, according to aviation-data firm Cirium.', ""The real test, Harvard's Frei said, will be whether the bag change will slow down Southwest's operation, with more customers bringing carry-on bags on board to avoid the checked luggage fees."", '""I just fear the cost is being underestimated,"" she said. ""', ""It's real operational harm to Southwest if they go slower."", '""Southwest is already preparing its employees for an onslaught of customer luggage at the gate.', 'Just after its announcement on Tuesday, Southwest told its employees in a memo that customers will ""undoubtedly carry on more luggage than before.', '""Gate agents will receive mobile bag-tag printers ""reducing the need for string bag tags"" and the company will design new carry-on size guides so customers can see if their luggage fits as a carry on, according to a staff memo sent by Justin Jones, EVP of operations, and Adam Decaire, senior vice president of network planning, a copy of which was seen by CNBC.The airline also plans to speed up retrofits of itsBoeing737-800s and Max aircraft with bigger overhead bins.', 'Frei said not charging for bags, unlike the Costco $1.50 hot dog, is not a loss leader, something a company sells at a loss just to win over customers who might buy more expensive, and profitable, items.', ""As much as it's been beloved by customers, the checked bag policy also had a helped the airline turn planes around faster."", '""The reason isn\'t because it\'s kinder to customers.', 'It\'s because it\'s a fast turnaround airline,"" she said. ""', 'If I charge for bags, you will be more likely to carry more luggage on board.', 'And when you carry more luggage on board, I lose my fast turnaround advantage.', '""Southwest is confident that it\'s prepared for an increase in gate-checked bags and onboard luggage.', '""We have a series of work streams that are underway with our with our current operations, to make this not impact our turn times,"" COO Andrew Watterson said in an interview.', 'Time will tell how it shakes out.', 'For now, we have the $1.50 Costco hot dogs.']",0.1903498908221562,"There will be exceptions: Customers who have a SouthwestAirlinesco-branded credit card can get one bag for free, and customersin its top tiers of service (read: pricier tickets) or its top-tier loyalty program members will get one to two free checked bags.","""I just fear the cost is being underestimated,"" she said. """,0.1440805991490682,"Southwest's customer-friendly policies have survived recessions, oil price spikes and even the Covid-19 pandemic, winning it years of goodwill and a loyal following, even as it has grown.",It has also slashed unprofitable flying.,2025-03-17
-"Dollar General CEO warns consumers are cash-strapped, and says 2025 won't be better",https://www.cnbc.com/2025/03/13/dollar-general-ceo-consumer-warning.html,2025-03-13T20:08:00+0000,"In this articleDollar General CEO Todd Vasos said on Thursday that inflation continues to hurt the discounter's customers and that the macroeconomic environment won't improve this year.On the company's fourth-quarter earnings call, Vasos said customers are expecting value and convenience ""more than ever"" from the dollar-store chain.""Our customers continue to report that their financial situation has worsened over the last year, as they have been negatively impacted by ongoing inflation. Many of our customers report they only have enough money for basic essentials, with some noting that they have had to sacrifice even on the necessities,"" Vasos said. ""As we enter 2025, we are not anticipating improvement in the macro environment, particularly for our core customer.""Dollar General's core consumer is ""always strained"" due to their economic status, but also resourceful, Vasos said.""We've started to see where [our customer is] getting her sea legs, if you will, on the additional inflation that's been very sticky out there, and she's starting to understand her budgets even more,"" Vasos said.Part of the uncertainty, Vasos said, stems from the potential impact of President Donald Trump's tariffs on the consumer.When Trump imposed tariffs during his first term in office in 2018 and 2019, Dollar General had to raise some prices in line with others in the industry, Vasos said. But the general store was able to mitigate the impact back then and is ""well positioned"" to do so again this year, he said.""Given the already stressed financial condition of our core customer, we are closely monitoring these and any other potential economic headwinds, including any changes to government entitlement programs,"" Vasos said.CFO Kelly Dilts said the company's 2025 guidance factors in continued economic pressure on the consumer, but does not account for further changes to tariff policy or government initiatives like the Supplemental Nutrition Assistance Program, which subsidizes food for low-income Americans.For the fourth-quarter, Dollar General said same-store sales growth of 1.2% was driven entirely by 2.3% growth in average transaction. Customer traffic fell 1.1% during the period, ""impacted by ongoing financial pressures of our core consumer,"" Vasos said.Alongside its fourth-quarter earnings, Dollar General said Thursday it would close 96 Dollar General stores and 45 Popshelf stores and will convert six other Popshelf stores into flagship banner locations this year. Popshelf primarily serves higher-income shoppers with lower-priced products.Shares of Dollar General closed up nearly 7% on Thursday.",CNBC,13/03/2025,"[""In this articleDollar General CEO Todd Vasos said on Thursday that inflation continues to hurt the discounter's customers and that the macroeconomic environment won't improve this year."", 'On the company\'s fourth-quarter earnings call, Vasos said customers are expecting value and convenience ""more than ever"" from the dollar-store chain.', '""Our customers continue to report that their financial situation has worsened over the last year, as they have been negatively impacted by ongoing inflation.', 'Many of our customers report they only have enough money for basic essentials, with some noting that they have had to sacrifice even on the necessities,"" Vasos said. ""', 'As we enter 2025, we are not anticipating improvement in the macro environment, particularly for our core customer.', '""Dollar General\'s core consumer is ""always strained"" due to their economic status, but also resourceful, Vasos said.', '""We\'ve started to see where [our customer is] getting her sea legs, if you will, on the additional inflation that\'s been very sticky out there, and she\'s starting to understand her budgets even more,"" Vasos said.', ""Part of the uncertainty, Vasos said, stems from the potential impact of President Donald Trump's tariffs on the consumer."", 'When Trump imposed tariffs during his first term in office in 2018 and 2019, Dollar General had to raise some prices in line with others in the industry, Vasos said.', 'But the general store was able to mitigate the impact back then and is ""well positioned"" to do so again this year, he said.', '""Given the already stressed financial condition of our core customer, we are closely monitoring these and any other potential economic headwinds, including any changes to government entitlement programs,"" Vasos said.', ""CFO Kelly Dilts said the company's 2025 guidance factors in continued economic pressure on the consumer, but does not account for further changes to tariff policy or government initiatives like the Supplemental Nutrition Assistance Program, which subsidizes food for low-income Americans."", 'For the fourth-quarter, Dollar General said same-store sales growth of 1.2% was driven entirely by 2.3% growth in average transaction.', 'Customer traffic fell 1.1% during the period, ""impacted by ongoing financial pressures of our core consumer,""Vasos said.', 'Alongside its fourth-quarter earnings, Dollar General said Thursday it would close 96Dollar Generalstores and 45 Popshelf stores and will convert six other Popshelf stores into flagship banner locations this year.', 'Popshelf primarily serves higher-income shopperswith lower-priced products.', 'Shares of Dollar General closed up nearly 7% on Thursday.']",-0.0437389128385915,"For the fourth-quarter, Dollar General said same-store sales growth of 1.2% was driven entirely by 2.3% growth in average transaction.","""Our customers continue to report that their financial situation has worsened over the last year, as they have been negatively impacted by ongoing inflation.",-0.0899762565439397,"For the fourth-quarter, Dollar General said same-store sales growth of 1.2% was driven entirely by 2.3% growth in average transaction.","Customer traffic fell 1.1% during the period, ""impacted by ongoing financial pressures of our core consumer,""Vasos said.",2025-03-17
-"Spirit Airlines, fresh from bankruptcy, is ready to take on the new Southwest, CEO says",https://www.cnbc.com/2025/03/13/spirit-airlines-ceo-on-new-southwest.html,2025-03-13T19:21:22+0000,"In this articleSpirit Airlines is out of bankruptcy, hitting its target to emerge in the first quarter, after a crippling few years. CEO Ted Christie says the carrier is leaner and ready to take on competitors, including rival Southwest Airlines.Earlier this week, Southwest shocked customers by announcing it will start charging for checked bags for the first time in its half-century of flying, a huge strategy move for the largest domestic U.S. carrier. (There are some exceptions to Southwest's new bag rules, which take effect in late May.)""I think it's going to be painful for a little bit as they find their footing, and we're going to take advantage of that,"" Spirit's Christie said in an interview Thursday.Southwest had been a standout in the U.S. by offering all customers two free checked bags, a perk that has endured recessions, spikes in fuel prices and other crises while most rivals introduced bag fees and raised them every few years.Spirit Airlines, on the other hand, made a la carte pricing common in the U.S., with fees for seat assignments, checked bags and other add-ons. It's a strategy most large airlines, except for Southwest, have copied in one form or another.As Southwest starts charging for bags and introduces its first basic economy class, which doesn't include a seat assignment or allow free changes, Spirit could possibly win over customers, Christie said.Southwest said it would get rid of its single-class open seating model last year.""There at least was an audience of people who were intentionally selecting and flying Southwest because they felt that it was easy. They knew they were going to get two bags,"" Christie said. ""Now that that's no longer the case, it's easy to say that they're going to widen their aperture and they're now going to look around.""Spirit is far smaller than Southwest and even smaller than it was last year, but it competes with the airline in cities like Kansas City, Missouri; Nashville, Tennessee; Columbus, Ohio; and Milwaukee. If customers look on travel sites like Expedia, where Southwest is a new entrant, Spirit's tickets could be cheaper and appear higher in results, Christie said.Other airline executives have also said they expect to win over some Southwest customers.Delta Air Lines President Glen Hauenstein said at a JPMorgan industry conference Tuesday that there are consumers who choose Southwest based on its free bag perk ""and now those customers are up for grabs.""Spirit, for its part, has recently been offering more ticket bundles that include things like seat assignments and luggage.The carrier is now focused on returning to profitability. It posted a net loss of over $1.2 billion last year, more than double its loss in 2023 as it grappled with grounded jets because of a Pratt & Whitney engine recall, higher costs, more domestic competition and a failed acquisition by JetBlue Airways.Spirit has rejected multiple recent merger attempts by fellow budget carrier Frontier Airlines. Christie said Thursday that nothing is ""off the table"" and that a fifth-largest airline in the U.S. as a low-cost carrier makes sense, but that the airline is focused on stabilizing itself after bankruptcy.Through its restructuring process, which started in November, Spirit said it reduced its debt by about $795 million. The transaction converted debt into equity for major creditors. The carrier also received a $350 million equity infusion.Spirit plans to relist its shares on a stock exchange but hasn't set a date yet.",CNBC,13/03/2025,"['In this articleSpirit Airlines is out of bankruptcy, hitting its target to emerge in the first quarter, after a crippling few years.', 'CEO Ted Christie says the carrier is leaner and ready to take on competitors, including rival Southwest Airlines.', 'Earlier this week, Southwest shocked customers by announcing it will start charging for checked bags for the first time in its half-century of flying, a huge strategy move for the largest domestic U.S. carrier. (', 'There are some exceptions to Southwest\'s new bag rules, which take effect in late May.)""I think it\'s going to be painful for a little bit as they find their footing, and we\'re going to take advantage of that,"" Spirit\'s Christie said in an interview Thursday.', 'Southwest had been a standout in the U.S. by offering all customers two free checked bags, a perk that has endured recessions, spikes in fuel prices and other crises while most rivals introduced bag fees and raised them every few years.', 'Spirit Airlines, on the other hand, made a la carte pricing common in the U.S., with fees for seat assignments, checked bags and other add-ons.', ""It's a strategy most large airlines, except for Southwest, have copied in one form or another."", ""As Southwest starts charging for bags and introduces its first basic economy class, which doesn't include a seat assignment or allow free changes, Spirit could possibly win over customers, Christie said."", 'Southwest said it would get rid of its single-class open seating model last year.', '""There at least was an audience of people who were intentionally selecting and flying Southwest because they felt that it was easy.', 'They knew they were going to get two bags,"" Christie said. ""', ""Now that that's no longer the case, it's easy to say that they're going to widen their aperture and they're now going to look around."", '""Spirit is far smaller than Southwest and even smaller than it was last year, but it competes with the airline in cities like Kansas City, Missouri; Nashville, Tennessee; Columbus, Ohio; and Milwaukee.', ""If customers look on travel sites like Expedia, where Southwest is a new entrant, Spirit's tickets could be cheaper and appear higher in results, Christie said."", 'Other airline executives have also said they expect to win over some Southwest customers.', 'Delta Air LinesPresident Glen Hauenstein said at a JPMorgan industry conference Tuesday that there are consumers who choose Southwest based on its free bag perk ""and now those customers are up for grabs.', '""Spirit, for its part, has recently been offering more ticket bundles that include things like seat assignments and luggage.', 'The carrier is now focused on returning to profitability.', 'It posted a net loss of over $1.2 billion last year, more than double its loss in 2023 as it grappled with grounded jets because of a Pratt & Whitney engine recall, higher costs, more domestic competition and a failed acquisition by JetBlue Airways.', 'Spirit has rejected multiple recent merger attempts by fellow budget carrier Frontier Airlines.', 'Christie said Thursday that nothing is ""off the table"" and that a fifth-largest airline in the U.S. as a low-cost carrier makes sense, but that the airline is focused on stabilizing itself after bankruptcy.', 'Through its restructuring process, which started in November, Spirit said it reduced its debt by about $795 million.', 'The transaction converted debt into equity for major creditors.', 'The carrier also received a $350 million equity infusion.', ""Spirit plans to relist its shares on a stock exchange but hasn't set a date yet.""]",0.2022658279187688,"As Southwest starts charging for bags and introduces its first basic economy class, which doesn't include a seat assignment or allow free changes, Spirit could possibly win over customers, Christie said.","It posted a net loss of over $1.2 billion last year, more than double its loss in 2023 as it grappled with grounded jets because of a Pratt & Whitney engine recall, higher costs, more domestic competition and a failed acquisition by JetBlue Airways.",0.6402744325724515,Other airline executives have also said they expect to win over some Southwest customers.,"It posted a net loss of over $1.2 billion last year, more than double its loss in 2023 as it grappled with grounded jets because of a Pratt & Whitney engine recall, higher costs, more domestic competition and a failed acquisition by JetBlue Airways.",2025-03-17
-"Southwest Airlines as we know it is over. Here's what's changing, from bag fees to basic economy",https://www.cnbc.com/2025/03/11/southwest-airlines-bag-fees-to-basic-economy-what-to-know.html,2025-03-12T11:12:29+0000,"In this articleSouthwest Airlines announced Tuesday what was once unthinkable: It will start charging customers to check their luggage.It's a $300 million gamble. Last year, Southwest said its ""rigorous research"" found it would lose that much in market share if it started charging bag fees. The policy has set Southwest apart from its competitors for decades.Getting rid of its famous ""two bags fly free"" strategy is part of a massive push at the carrier to ditch its long-standing customer perks and policies. Southwest also announced last year that it's moving from open seating to a single-class cabin in order to raise revenue. Another change announced Tuesday: basic economy tickets that don't allow free changes.Here's what travelers need to know about the new policies:Travelers who buy any ticket except Southwest's top-level Business Select fare will have to pay fees to check bags. Customers who purchase a Business Select ticket will be able to check two bags for free.Top-tier A-List Preferred frequent flyer program members will also get two checked bags for free. A-List level members will be able to check one bag for free, as will those with a Southwest credit card.Southwest didn't disclose how much it will cost to check a bag, but fees start at $35 apiece on competitors Delta, United and American.The new checked baggage fees go into effect for tickets purchased on or after May 28.Carry-on bag policies haven't changed, even for basic economy tickets.All tickets will include a free carry-on bag, even for the new basic economy tickets.Southwest told employees on Tuesday, just after the announcement, that customers will ""undoubtedly carry on more luggage than before"" so it's taking a few steps to try to keep things moving.Gate agents will get mobile bag-tag printers ""reducing the need for string bag tags"" and the company will design new carry-on size guides so customers can see if their luggage fits as a carry on, according to a staff memo from Justin Jones, EVP of operations, and Adam Decaire, senior vice president of network planning, a copy of which was seen by CNBC.The airline also plans to speed up retrofits of its Boeing 737-800s and Max aircraft to include larger overhead bins.Possibly. In airport lobbies, Southwest said it could redistribute staff to handle changing customer needs with the new bag rules. It will also equip staff there with mobile printers.""With an additional step for Customers to pay for bags at the ticket counter or kiosks, we have to plan for longer transaction and queue times, even if fewer Customers are checking their bags altogether,"" the executives wrote.Southwest has been under increasing pressure to raise revenue and improve returns after activist hedge fund Elliott Investment Management took a stake in the airline last year and pushed for changes to the carrier's business model.Southwest executives have long told Wall Street investors and customers that its ""two bags fly free"" policy is sacrosanct, something that sets it apart from competitors.At an investor day in September, the carrier said it would make up to about $1.5 billion if it charged for bags but lose $1.8 billion in market share from the policy change.Lots! Southwest is going to launch a basic economy fare that is not refundable and doesn't allow for changes. It won't allow for same-day standby tickets.Flight credits for those ""basic"" tickets, if unused, will expire in six months while credits for other flights will expire in 12 months. Previously, Southwest credits didn't expire.The carrier last year said it plans to start selling tickets with assigned seats, ending its decades-old open-seating policy. It will also soon offer seats with extra legroom, a bid to compete with more full-service airlines.Southwest Airlines CEO Bob Jordan said Tuesday that the carrier's executive team thinks the policy changes will drive sign-ups for its co-branded credit card.He said the new channels the airline is selling tickets through, like Expedia, will help the carrier.Southwest passengers will earn Rapid Rewards frequent flyer miles based on how much they pay for their ticket. Redemption rates will depend on demand for the flight, a similar model to what other carriers have.",CNBC,12/03/2025,"['In this articleSouthwest Airlines announced Tuesday what was once unthinkable: It will start charging customers to check their luggage.', ""It's a $300 million gamble."", 'Last year, Southwest said its ""rigorous research"" found it would lose that much in market share if it started charging bag fees.', 'The policy has set Southwest apart from its competitors for decades.', 'Getting rid of its famous ""two bags fly free"" strategy is part of a massive push at the carrier to ditch its long-standing customer perks and policies.', ""Southwest also announced last year that it's moving from open seating to a single-class cabin in order to raise revenue."", ""Another change announced Tuesday: basic economy tickets that don't allow free changes."", ""Here's what travelers need to know about the new policies:Travelers who buy any ticket except Southwest's top-level Business Select fare will have to pay fees to check bags."", 'Customers who purchase a Business Select ticket will be able to check two bags for free.', 'Top-tier A-List Preferred frequent flyer program members will also get two checked bags for free.', 'A-List level members will be able to check one bag for free, as will those with a Southwest credit card.', ""Southwest didn't disclose how much it will cost to check a bag, but fees start at $35 apiece on competitors Delta, United and American."", ""The new checked baggage fees go into effect for tickets purchased on or after May 28.Carry-on bag policies haven't changed, even for basic economy tickets."", 'All tickets will include a free carry-on bag, even for the new basic economy tickets.', 'Southwest told employees on Tuesday, just after the announcement, that customers will ""undoubtedly carry on more luggage than before"" so it\'s taking a few steps to try to keep things moving.', 'Gate agents will get mobile bag-tag printers ""reducing the need for string bag tags"" and the company will design new carry-on size guides so customers can see if their luggage fits as a carry on, according to a staff memo from Justin Jones, EVP of operations, and Adam Decaire, senior vice president of network planning, a copy of which was seen by CNBC.The airline also plans to speed up retrofits of its Boeing 737-800s and Max aircraft to include larger overhead bins.', 'Possibly.', 'In airport lobbies, Southwest said it could redistribute staff to handle changing customer needs with the new bag rules.', 'It will also equip staff there with mobile printers.', '""With an additional step for Customers to pay for bags at the ticket counter or kiosks, we have to plan for longer transaction and queue times, even if fewer Customers are checking their bags altogether,"" the executives wrote.', ""Southwest has been under increasing pressure to raise revenue and improve returns after activist hedge fund Elliott Investment Management took a stake in the airline last year and pushed for changes to the carrier's business model."", 'Southwest executives have long told Wall Street investors and customers that its ""two bags fly free"" policy is sacrosanct, something that sets it apart from competitors.', 'At an investor day in September, the carrier said it would make up to about $1.5 billion if it charged for bags but lose $1.8 billion in market share from the policy change.', 'Lots!', ""Southwest is going to launch a basic economy fare that is not refundable and doesn't allow for changes."", ""It won't allow for same-day standby tickets."", 'Flight credits for those ""basic"" tickets, if unused, will expire in six months while credits for other flights will expire in 12 months.', ""Previously, Southwest credits didn't expire."", 'The carrier last year said it plans to start selling tickets with assigned seats, ending its decades-old open-seating policy.', 'It will also soon offer seats with extra legroom, a bid to compete with more full-service airlines.', ""Southwest Airlines CEO Bob Jordan said Tuesday that the carrier's executive team thinks the policy changes will drive sign-ups for its co-branded credit card."", 'He said the new channels the airline is selling tickets through, like Expedia, will help the carrier.', 'Southwest passengers will earn Rapid Rewards frequent flyer miles based on how much they pay for their ticket.', 'Redemption rates will depend on demand for the flight, a similar model to what other carriers have.']",0.200470337028205,"A-List level members will be able to check one bag for free, as will those with a Southwest credit card.","Last year, Southwest said its ""rigorous research"" found it would lose that much in market share if it started charging bag fees.",0.2935198810365464,Southwest has been under increasing pressure to raise revenue and improve returns after activist hedge fund Elliott Investment Management took a stake in the airline last year and pushed for changes to the carrier's business model.,"Last year, Southwest said its ""rigorous research"" found it would lose that much in market share if it started charging bag fees.",2025-03-17
-"Ulta issues weak guidance, citing consumer uncertainty, rising competition and company missteps",https://www.cnbc.com/2025/03/13/ulta-beauty-ulta-earnings-q4-2024.html,2025-03-13T21:29:34+0000,"In this articleUlta Beauty on Thursday issued weak guidance for the year ahead as it navigates a series of internal missteps, rising competition and what it called ""consumer uncertainty.""The retailer, which appointed Kecia Steelman as its new CEO in January, said it's expecting comparable sales to be flat or grow 1% in 2025, while analysts had anticipated they would rise by 1.2%, according to StreetAccount. It's expecting full-year earnings to be between $22.50 and $22.90, lower than expectations of $23.47, according to LSEG. Ulta is the latest company to forecast a rocky year ahead. While it factored uncertain consumer spending into its guidance, the retailer is also navigating a series of company-specific challenges and views 2025 as a transition year. Fixing those issues will cost money, which is part of the reason why it's expecting profits to be lower than Wall Street anticipated in the year ahead.""I've shared our plan to make important guest-facing investments, which are necessary to improve our competitiveness and re-accelerate long term share growth,"" said Steelman on a call with analysts. ""These investments will pressure profitability in 2025 but we believe they are critical to driving long-term sustainable growth in a competitive, innovative category.""Shares rose 6% in extended trading.Here's how the beauty retailer did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $393 million, or $8.46 per share, compared with $394 million, or $8.08 per share, a year earlier.Sales dropped to $3.49 billion, down about 2% from $3.55 billion a year earlier. Like other retailers, Ulta benefited from an extra selling week in the year-ago period, which has negatively skewed results. Beauty has been one of retail's brightest spots over the last couple of years, but Ulta has fallen behind due to a series of self-inflicted challenges. The company's business has become more complex as it has grown, and Ulta has stumbled when launching new fulfillment choices, such as buy online, pickup in store, same-day delivery and ship from store.""As a result, our in-store presentation and guest experience today are not as strong as we would like,"" said Steelman. ""These are opportunities well within our control.""In January, Ulta announced that its longtime CEO Dave Kimbell would be replaced by its then-Chief Operating Officer Steelman, who has been with the retailer for more than a decade. Her experience as an operations guru makes her well suited to tackle some of the execution issues that have plagued Ulta.During her first earnings call as CEO, Steelman was candid about what Ulta is doing right and what it's doing wrong. She said the company will spend the next year resetting its business and working to take back the market share that it has lost.""The competitive environment in beauty has never been more intense,"" said Steelman. ""For the first time, we lost market share in the beauty category in 2024.""During Ulta's holiday quarter, comparable sales climbed 1.5%, beating expectations of 0.8% growth, according to StreetAccount. Customers spent more during the quarter, resulting in a 3% rise in average ticket, but fewer shoppers came to Ulta's stores to buy beauty products. Transactions during the quarter decreased by 1.4%. Part of that is likely because so many more companies are expanding into beauty. Not only does it compete with rival Sephora, but also mass retailers like Macy's, Walmart and Amazon have made beauty a cornerstone of their strategies and have all expanded their selections of makeup and skincare products.Last year, Ulta warned of a cooling beauty market, but companies like E.l.f. Beauty and Oddity didn't see similar dynamics, and beauty sales remained strong at retailers like Macy's and Target. In the meantime, Ulta has focused on boosting profitability. It managed to grow earnings during the quarter, even with one less selling week.",CNBC,13/03/2025,"['In this articleUlta Beauty on Thursday issued weak guidance for the year ahead as it navigates a series of internal missteps, rising competition and what it called ""consumer uncertainty.', '""The retailer, which appointed Kecia Steelman as its new CEO in January, said it\'s expecting comparable sales to be flat or grow 1% in 2025, while analysts had anticipated they would rise by 1.2%, according to StreetAccount.', ""It's expecting full-year earnings to be between $22.50 and $22.90, lower than expectations of $23.47, according to LSEG.Ulta is the latest company to forecast a rocky year ahead."", 'While it factored uncertain consumer spending into its guidance, the retailer is also navigating a series of company-specific challenges and views 2025 as a transition year.', ""Fixing those issues will cost money, which is part of the reason why it's expecting profits to be lower than Wall Street anticipated in the year ahead."", '""I\'ve shared our plan to make important guest-facing investments, which are necessary to improve our competitiveness and re-accelerate long term share growth,"" said Steelman on a call with analysts. ""', 'These investments will pressure profitability in 2025 but we believe they are critical to driving long-term sustainable growth in a competitive, innovative category.', '""Shares rose 6% in extended trading.', ""Here's how the beauty retailer did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $393 million, or $8.46 per share, compared with $394 million, or $8.08 per share, a year earlier."", 'Sales dropped to $3.49 billion, down about 2% from $3.55 billion a year earlier.', 'Like other retailers, Ulta benefited from an extra selling week in the year-ago period, which has negatively skewed results.', ""Beauty has been one of retail's brightest spots over the last couple of years, but Ulta has fallen behind due to a series of self-inflicted challenges."", ""The company's business has become more complex as it has grown, and Ulta has stumbled when launching new fulfillment choices, such as buy online, pickup in store, same-day delivery and ship from store."", '""As a result, our in-store presentation and guest experience today are not as strong as we would like,"" said Steelman. ""', 'These are opportunities well within our control.', '""In January, Ulta announced that its longtime CEO Dave Kimbell would be replaced by its then-Chief Operating Officer Steelman, who has been with the retailer for more than a decade.', 'Her experience as an operations guru makes her well suited to tackle some of the execution issues that have plagued Ulta.', ""During her first earnings call as CEO, Steelman was candid about what Ulta is doing right and what it's doing wrong."", 'She said the company will spend the next year resetting its business and working to take back the market share that it has lost.', '""The competitive environment in beauty has never been more intense,"" said Steelman. ""', 'For the first time, we lost market share in the beauty category in 2024.""During Ulta\'s holiday quarter, comparable sales climbed 1.5%, beating expectations of 0.8% growth, according to StreetAccount.', ""Customers spent more during the quarter, resulting in a 3% rise in average ticket, but fewer shoppers came to Ulta's stores to buy beauty products."", 'Transactions during the quarter decreased by 1.4%.Part of that is likely because so many more companies are expanding into beauty.', ""Not only does it compete with rival Sephora, but also mass retailers like Macy's, Walmart and Amazon have made beauty a cornerstone of their strategies and have all expanded their selections of makeup and skincare products."", 'Last year, Ulta warned of a cooling beauty market, but companies like E.l.f.', ""Beauty and Oddity didn't see similar dynamics, and beauty sales remained strong at retailers like Macy's and Target."", 'In the meantime, Ulta has focused on boosting profitability.', 'It managed to grow earnings during the quarter, even with one less selling week.']",0.321555487728933,"Beauty and Oddity didn't see similar dynamics, and beauty sales remained strong at retailers like Macy's and Target.","During her first earnings call as CEO, Steelman was candid about what Ulta is doing right and what it's doing wrong.",0.1701443940401077,"""Shares rose 6% in extended trading.","Fixing those issues will cost money, which is part of the reason why it's expecting profits to be lower than Wall Street anticipated in the year ahead.",2025-03-17
-Goodyear Tire's transformation plan is underway — in the sky and on the ground,https://www.cnbc.com/2025/03/08/goodyear-tire-transformation-plan-investors.html,2025-03-09T01:42:45+0000,"AKRON, Ohio — Does the Goodyear blimp sell tires?That was one question veteran auto executive Mark Stewart had when he started as CEO of Goodyear Tire & Rubber Co. a little more than a year ago, seeking to lead a transformation plan for the quintessential American company.For a century, Goodyear Tire has used helium-filled airships to tout its brand. Stewart wanted to ensure consumers connected the blimps to the company's products and services, which it has increasingly done as Goodyear celebrates the 100-year anniversary of its first blimp, called Pilgrim, in 1925.""The answer is yes it can, and yes it does,"" Stewart told CNBC during an interview at the company's headquarters. ""It really is about using one of our most powerful marketing icon pieces, the blimp, both here as well as in Europe, to in fact sell tires.""The blimp question was an easy one to answer compared with the rest of the challenges Stewart, who has become known for transformation plans, has tackled since joining the company in January 2024.Much like automakers and related suppliers, Goodyear's business is rapidly changing with new technologies, increased competition from low-cost countries such as China and investor skepticism on whether a legacy company can transform itself to be more efficient, profitable and competitive.Goodyear's answer, which was prompted by activist investor Elliott Investment Management revealing a stake in the company in 2023, is ""Goodyear Forward"" — a two-year transformation plan that ends in December.The plan includes doubling operating income margin to 10%, enacting top-line and cost reductions of $1.5 billion, and bringing in gross proceeds of $2 billion in business asset sales. It's also reducing its debt load by $1.5 billion, net of approximately $1.1 billion for restructuring.To assist, the company is investing in and deploying artificial intelligence technologies and 3D-printing for things such as tread teeth, as well as using simulation to speed development and production of its products.Roughly halfway through the initial plan, Stewart said Goodyear is ahead of schedule for its benchmarks, including upping the cuts by $200 million. But investors remain skeptical amid geopolitical uncertainty such as tariffs and a disbelief in the longevity, or ""stickiness"" in tire terminology, of the changes.Stewart believes Goodyear is at a ""show me"" period with investors, which he plans to continue to deliver on as the company has reported five consecutive quarters of margin growth and its best retail performance in more than 20 years.""We're continuing to execute, and I think we're doing a better job of communicating in terms of our single and double hit wins as we go through the Goodyear Forward, and structurally changing the business,"" said Stewart, whose father worked at an Alabama plant for Goodyear's recently sold Dunlop brand. ""It's continuing to stack those up.""Shares of Goodyear received a 17% boost after the company reported its 2024 and fourth-quarter results. But shares of the company are down 30.3% since the plan's announcement, and 33.4% since Stewart became CEO.A spokesperson for Elliott, which has taken board seats at companies including Southwest Airlines and eBay, declined to comment on Goodyear. Goodyear reached a cooperation agreement with Elliott, which FactSet reports retains a roughly 9% stake in the company, that included adding three directors to its board.Stewart succeeded Goodyear CEO Richard Kramer, who retired after 14 years leading the company.What started out as a new emerging aeronautics business for Goodyear in 1910 has grown into a cultural icon as the company's Goodyear blimps have flown over major sporting events and historical landmarks.The first Goodyear blimp, called Pilgrim, took flight in 1925 from a hangar the company continues to use near Akron, Ohio.Goodyear has built more than 300 blimps, also known as airships, including over 200 for the U.S. Navy to patrol oceans during World War II.There have been five major generation changes of the blimps, according to Gerald Hissem, a chief pilot who has flown Goodyear blimps for 27 years.""The technology really has advanced,"" he told CNBC during a tour of the company's hangar in Ohio. ""It's totally different flying.""Today's airship debuted in 2014 and feature a ""fly-by-wire"" system that eliminate many physical parts, according to Hissem. They were designed by Zeppelin Luftschifftechnik GmbH in Germany to Goodyear's specifications, followed by a joint team constructing them in the U.S.The blimps are powered by three four-cylinder engines — left, right and back — that are each capable of 200 horsepower. They can travel at speeds of up to 73 miles per hour. Other blimp facts include:Airship bases: Pompano Beach, Florida; Carson, California; Suffield, Ohio; and Essen, Germany.Names: America, Columbia, Defender, Eagle, Enterprise, Europa, Mayflower, Pilgrim, Rainbow, Ranger, Reliance, Resolute, Spirit of Akron, Spirit of Goodyear, Volunteer.Longest flight? In March 1957, an airship called Snow Bird went 11 consecutive days in flight. It flew from Weymouth, Massachusetts, to Europe, Africa and Key West, Florida, without refueling or landing.Want to ride? Goodyear's current blimps have a bathroom, room for two pilots and typically six to eight passengers. To be a blimp passenger is by invitation only, but the company also donates ""ride certificates,"" largely for nonprofit causes.Goodyear is well on its way to achieving its plan, but its success is not guaranteed. In addition to achieving its own targets, it's unclear how changing regulations such as President Donald Trump's tariffs will impact the tire company's business.Stewart, prior to the implementation and then delay of 25% tariffs on Canada and Mexico for automakers and suppliers, declined to go into detail on Goodyear's preparation and potential contingency plans for such tariffs on North American operations as well as other countries.""We're running all the scenarios with that right now,"" Stewart said. ""And bottom line is we'll continue to add projects into Goodyear Forward to keep marching on our journey.""Goodyear has built up an international business from its humble beginnings 127 years ago in Akron, Ohio. The company employs about 68,000 people and manufactures its products in 53 facilities in 20 countries, with major operations in North and South America, Asia-Pacific and Europe.Its manufacturing operations in the Americas, which represented roughly half of its tire sales in 2024, include making tires in eight plants in the U.S., two plants in both Canada and Mexico and a plant each in Brazil, Chile, Colombia and Peru.The Goodyear Forward plan reaches across the operations, aiming to achieve the goals through a mix of cost cutting, headcount reductions and making the business more efficient through new processes and technologies.In addition to those targets, Stewart also has set priorities to re-establish focus on its retail business, increase fleet business, including telematics, and ink high-profile business deals such as Goodyear's first launch in decades on a Ferrari sports car.""Goodyear Forward is just getting embedded into our DNA,"" Stewart said. ""What's next for us is we are going to get aggressive about growth in retail and service. We are getting aggressive in growth in the high-end [tires].""Tires — Goodyear's main business — seem simple. Rubber is made into different shapes and treads, put on wheels and then put on a vehicle. They're literally where the rubber meets the road.But the process, material chemistry and production of tires continue to evolve. Goodyear has expanded its top-tier products to include massive tires for off-road vehicles such as the Jeep Wrangler and Ford Bronco, as well as the Tesla Cybertruck and large SUVs that feature 22-inch or 24-inch wheels such as the Cadillac Escalade.Such businesses are highly profitable for the company, which is investing an unspecified amount into a facility in Oklahoma to expand production by 10 million units annually and modernize the plant.""We will ensure we're running at the optimal level of output and efficiency, and we're running the products that will yield the highest opportunities for profitability this year,"" Stewart said last month on the company's quarterly call.In Asia–Pacific, where its newest plants are located, the company has been able to capitalize faster on such business. It increased its segment operating income by 37% last year to $277 million, with an operating margin of 11.4% — a juxtaposition from Western automakers with escalading problems in the region, specifically China.While its Asia–Pacific business is a tailwind at the moment, products from competitors and nearby nations are not. Similarly to how Chinese automakers have expanded outside their own country, tire manufacturers such as Sumitomo and Yokohama have been increasingly exporting products.Tires from that region have undercut Goodyear, as companies rushed to purchase them ahead of potential tariffs. Low-end imports outperformed the U.S. industry last year and grew 11%, CFO Christina Zamarro said during the company's quarterly earnings call.The company said low-cost imported tires are largely sourced from Southeast Asia, including from a number of countries that are either not subject to antidumping or countervailing duty tariffs.""As we look at the top line this past year, we've seen growth in the low-end imports impacting the consumer replacement industry in the U.S., Europe, as well Brazil,"" Stewart told investors. ""The inflows at the low-end of the market over the last two years are unprecedented.""Goodyear's the last major U.S. tire company: Its largest competitors globally are France-based Michelin; Bridgestone Corp., which is a subsidiary of a Japanese-based company; and German-based Continental.At Goodyear's headquarters, three floors of a historic building for the company that was built in 1916 continue to produce racing tires, most notably for NHRA professional classes and the top three series for NASCAR.The processes in this facility are traditional, with a lot of human interaction compared to newer plants with more automation like the company has at facilities in Luxembourg and China, and is expanding to the U.S.Down the road from the factory, which features wood floors similar to those in the factory in Detroit where Henry Ford started building the Model T in 1900s, is a different Goodyear.Walking into the nondescript building in the shadow of the headquarters is a glimpse into the future Stewart wants for the company.In the building is Goodyear's simulation machine, a multimillion investment that promises to cut research and development costs and time, while improving product profits.To be clear, no actual tires are used in the simulator and the ""vehicle"" cockpits — a hatchback and a pickup truck — are held up by hydraulics, surround by 270 degrees of screens.""The goal is to be able to evaluate and test tire designs and theories virtually before ever having to spend the money to build a mold or build the tire,"" said Patrick Renz, a senior engineer at Goodyear. ""We're really using this now to win [automaker business].""Goodyear has worked with many of the major automakers on such virtual development, including Ferrari, according to Renz. He said the earlier in the development Goodyear can work with a company, the more impactful the virtual testing can be.Mahesh Kavaturu, Goodyear senior director of global performance and simulation technology, said such simulations, as well as AI, aim to transform Goodyear's processes.""We actually have a lot of capabilities on physical tire testing, and now we are getting into artificial intelligence, machine learning,"" he told CNBC in the company's ""Innovation Center"" that includes conceptual and unique products made by the company such as airless tires. ""In Goodyear, [AI] is not a buzz word.""On Wall Street, hype is building for Goodyear, but many investors remain on the sidelines waiting to see if the company's recent efforts under Goodyear Forward can be ingrained in the company as much as its blimps.Goodyear's stock is rated overweight with a target price of $11.47 a share, according to nine analysts compiled by FactSet.""The company has reported inconsistent levels of profit growth over the past several years. But, we believe that an inflection point developed with the reporting of fourth quarter 2024 results, which were much better than we expected,"" Argus analyst Bill Selesky said in a Feb. 14 investor note upgrading Goodyear to buy.",CNBC,09/03/2025,"['AKRON, Ohio — Does the Goodyear blimp sell tires?That was one question veteran auto executive Mark Stewart had when he started as CEO of Goodyear Tire & Rubber Co. a little more than a year ago, seeking to lead a transformation plan for the quintessential American company.', 'For a century, Goodyear Tire has used helium-filled airships to tout its brand.', 'Stewart wanted to ensure consumers connected the blimps to the company\'s products and services, which it has increasingly done as Goodyear celebrates the 100-year anniversary of its first blimp, called Pilgrim, in 1925.""The answer is yes it can, and yes it does,"" Stewart told CNBC during an interview at the company\'s headquarters. ""', 'It really is about using one of our most powerful marketing icon pieces, the blimp, both here as well as in Europe, to in fact sell tires.', '""The blimp question was an easy one to answer compared with the rest of the challenges Stewart, who has become known for transformation plans, has tackled since joining the company in January 2024.Much like automakers and related suppliers, Goodyear\'s business is rapidly changing with new technologies, increased competition from low-cost countries such as China and investor skepticism on whether a legacy company can transform itself to be more efficient, profitable and competitive.', 'Goodyear\'s answer, which was prompted by activist investor Elliott Investment Management revealing a stake in the company in 2023, is ""Goodyear Forward"" — a two-year transformation plan that ends in December.', 'The plan includes doubling operating income margin to 10%, enacting top-line and cost reductions of $1.5 billion, and bringing in gross proceeds of $2 billion in business asset sales.', ""It's also reducing its debt load by $1.5 billion, net of approximately $1.1 billion for restructuring."", 'To assist, the company is investing in and deploying artificial intelligence technologies and 3D-printing for things such as tread teeth, as well as using simulation to speed development and production of its products.', 'Roughly halfway through the initial plan, Stewart said Goodyear is ahead of schedule for its benchmarks, including upping the cuts by $200 million.', 'But investors remain skeptical amid geopolitical uncertainty such as tariffs and a disbelief in the longevity, or ""stickiness"" in tire terminology, of the changes.', 'Stewart believes Goodyear is at a ""show me"" period with investors, which he plans to continue to deliver on as the company has reported five consecutive quarters of margin growth and its best retail performance in more than 20 years.', '""We\'re continuing to execute, and I think we\'re doing a better job of communicating in terms of our single and double hit wins as we go through the Goodyear Forward, and structurally changing the business,"" said Stewart, whose father worked at an Alabama plant for Goodyear\'s recently sold Dunlop brand. ""', ""It's continuing to stack those up."", '""Shares of Goodyear received a 17% boost after the company reported its 2024 and fourth-quarter results.', ""But shares of the company are down 30.3% since the plan's announcement, and 33.4% since Stewart became CEO.A spokesperson for Elliott, which has taken board seats at companies including Southwest Airlines and eBay, declined to comment on Goodyear."", 'Goodyear reached a cooperation agreement with Elliott, which FactSet reports retains a roughly 9% stake in the company, that included adding three directors to its board.', 'Stewart succeeded Goodyear CEO Richard Kramer, who retired after 14 years leading the company.', ""What started out as a new emerging aeronautics business for Goodyear in 1910 has grown into a cultural icon as the company's Goodyear blimps have flown over major sporting events and historical landmarks."", 'The first Goodyear blimp, called Pilgrim, took flight in 1925 from a hangar the company continues to use near Akron, Ohio.', 'Goodyear has built more than 300 blimps, also known as airships, including over 200 for the U.S. Navy to patrol oceans during World War II.There have been five major generation changes of the blimps, according to Gerald Hissem, a chief pilot who has flown Goodyear blimps for 27 years.', '""The technology really has advanced,"" he told CNBC during a tour of the company\'s hangar in Ohio. ""', ""It's totally different flying."", '""Today\'s airship debuted in 2014 and feature a ""fly-by-wire"" system that eliminate many physical parts, according to Hissem.', ""They were designed by Zeppelin Luftschifftechnik GmbH in Germany to Goodyear's specifications, followed by a joint team constructing them in the U.S.The blimps are powered by three four-cylinder engines — left, right and back — that are each capable of 200 horsepower."", 'They can travel at speeds of up to 73 miles per hour.', 'Other blimp facts include:Airship bases: Pompano Beach, Florida; Carson, California; Suffield, Ohio; and Essen, Germany.', 'Names: America, Columbia, Defender, Eagle, Enterprise, Europa, Mayflower, Pilgrim, Rainbow, Ranger, Reliance, Resolute, Spirit of Akron, Spirit of Goodyear, Volunteer.', 'Longest flight?', 'In March 1957, an airship called Snow Bird went 11 consecutive days in flight.', 'It flew from Weymouth, Massachusetts, to Europe, Africa and Key West, Florida, without refueling or landing.', 'Want to ride?', ""Goodyear's current blimps have a bathroom, room for two pilots and typically six to eight passengers."", 'To be a blimp passenger is by invitation only, but the company also donates ""ride certificates,"" largely for nonprofit causes.', 'Goodyear is well on its way to achieving its plan, but its success is not guaranteed.', ""In addition to achieving its own targets, it's unclear how changing regulations such as President Donald Trump's tariffs will impact the tire company's business."", ""Stewart, prior to the implementation and then delay of 25% tariffs on Canada and Mexico for automakers and suppliers, declined to go into detail on Goodyear's preparation and potential contingency plans for such tariffs on North American operations as well as other countries."", '""We\'re running all the scenarios with that right now,"" Stewart said. ""', ""And bottom line is we'll continue to add projects into Goodyear Forward to keep marching on our journey."", '""Goodyear has built up an international business from its humble beginnings 127 years ago in Akron, Ohio.', 'The company employs about 68,000 people and manufactures its products in 53 facilities in 20 countries, with major operations in North and South America, Asia-Pacific and Europe.', 'Its manufacturing operations in the Americas, which represented roughly half of its tire sales in 2024, include making tires in eight plants in the U.S., two plants in both Canada and Mexico and a plant each in Brazil, Chile, Colombia and Peru.', 'The Goodyear Forward plan reaches across the operations, aiming to achieve the goals through a mix of cost cutting, headcount reductions and making the business more efficient through new processes and technologies.', ""In addition to those targets, Stewart also has set priorities to re-establish focus on its retail business, increase fleet business, including telematics, and ink high-profile business deals such as Goodyear's first launch in decades on a Ferrari sports car."", '""Goodyear Forward is just getting embedded into our DNA,"" Stewart said. ""', ""What's next for us is we are going to get aggressive about growth in retail and service."", 'We are getting aggressive in growth in the high-end [tires].""Tires — Goodyear\'s main business — seem simple.', 'Rubber is made into different shapes and treads, put on wheels and then put on a vehicle.', ""They're literally where the rubber meets the road."", 'But the process, material chemistry and production of tires continue to evolve.', 'Goodyear has expanded its top-tier products to include massive tires for off-road vehicles such as the Jeep Wrangler and Ford Bronco, as well as the Tesla Cybertruck and large SUVs that feature 22-inch or 24-inch wheels such as the Cadillac Escalade.', 'Such businesses are highly profitable for the company, which is investing an unspecified amount into a facility in Oklahoma to expand production by 10 million units annually and modernize the plant.', '""We will ensure we\'re running at the optimal level of output and efficiency, and we\'re running the products that will yield the highest opportunities for profitability this year,"" Stewart said last month on the company\'s quarterly call.', 'In Asia–Pacific, where its newest plants are located, the company has been able to capitalize faster on such business.', 'It increased its segment operating income by 37% last year to $277 million, with an operating margin of 11.4% — a juxtaposition from Western automakers with escalading problems in the region, specifically China.', 'While its Asia–Pacific business is a tailwind at the moment, products from competitors and nearby nations are not.', 'Similarly to how Chinese automakers have expanded outside their own country, tire manufacturers such as Sumitomo and Yokohama have been increasingly exporting products.', 'Tires from that region have undercut Goodyear, as companies rushed to purchase them ahead of potential tariffs.', ""Low-endimportsoutperformedtheU.S. industrylast year andgrew11%, CFO Christina Zamarro said during the company's quarterly earnings call."", 'The company said low-cost imported tires are largely sourced from Southeast Asia, including from a number of countries that are either not subject to antidumping or countervailing duty tariffs.', '""As we look at the top line this past year, we\'ve seen growth in the low-end imports impacting the consumer replacement industry in the U.S., Europe, as well Brazil,"" Stewart told investors. ""', 'The inflows at the low-end of the market over the last two years are unprecedented.', '""Goodyear\'s the last major U.S. tire company: Its largest competitors globally are France-based Michelin; Bridgestone Corp., which is a subsidiary of a Japanese-based company; and German-based Continental.', ""At Goodyear's headquarters, three floors of a historic building for the company that was built in 1916 continue to produce racing tires, most notably for NHRA professional classes and the top three series for NASCAR.The processes in this facility are traditional, with a lot of human interaction compared to newer plants with more automation like the company has at facilities in Luxembourg and China, and is expanding to the U.S.Down the road from the factory, which features wood floors similar to those in the factory in Detroit where Henry Ford started building the Model T in 1900s, is a different Goodyear."", 'Walking into the nondescript building in the shadow of the headquarters is a glimpse into the future Stewart wants for the company.', ""In the building is Goodyear's simulation machine, a multimillion investment that promises to cut research and development costs and time, while improving product profits."", 'To be clear, no actual tires are used in the simulator and the ""vehicle"" cockpits — a hatchback and a pickup truck — are held up by hydraulics, surround by 270 degrees of screens.', '""The goal is to be able to evaluate and test tire designs and theories virtually before ever having to spend the money to build a mold or build the tire,"" said Patrick Renz, a senior engineer at Goodyear. ""', 'We\'re really using this now to win [automaker business].""Goodyear has worked with many of the major automakers on such virtual development, including Ferrari, according to Renz.', 'He said the earlier in the development Goodyear can work with a company, the more impactful the virtual testing can be.', ""Mahesh Kavaturu, Goodyear senior director of global performance and simulation technology, said such simulations, as well as AI, aim to transform Goodyear's processes."", '""We actually have a lot of capabilities on physical tire testing, and now we are getting into artificial intelligence, machine learning,"" he told CNBC in the company\'s ""Innovation Center"" that includes conceptual and unique products made by the company such as airless tires. ""', 'In Goodyear, [AI] is not a buzz word.', '""On Wall Street, hype is building for Goodyear, but many investors remain on the sidelines waiting to see if the company\'s recent efforts under Goodyear Forward can be ingrained in the company as much as its blimps.', ""Goodyear's stock is rated overweight with a target price of $11.47 a share, according to nine analysts compiled by FactSet."", '""The company has reported inconsistent levels of profit growth over the past several years.', 'But, we believe that an inflection point developed with the reporting of fourth quarter 2024 results, which were much better than we expected,"" Argus analyst Bill Selesky said in a Feb. 14 investor note upgrading Goodyear to buy.']",0.1735829456552653,"Stewart wanted to ensure consumers connected the blimps to the company's products and services, which it has increasingly done as Goodyear celebrates the 100-year anniversary of its first blimp, called Pilgrim, in 1925.""The answer is yes it can, and yes it does,"" Stewart told CNBC during an interview at the company's headquarters. ""","But investors remain skeptical amid geopolitical uncertainty such as tariffs and a disbelief in the longevity, or ""stickiness"" in tire terminology, of the changes.",0.6627129282270159,"""Shares of Goodyear received a 17% boost after the company reported its 2024 and fourth-quarter results.","Tires from that region have undercut Goodyear, as companies rushed to purchase them ahead of potential tariffs.",2025-03-17
-Here's why banks don’t want the CFPB to disappear,https://www.cnbc.com/2025/03/10/why-banks-dont-want-the-cfpb-to-disappear.html,2025-03-10T18:47:11+0000,"For years, American financial companies have fought the Consumer Financial Protection Bureau — the chief U.S. consumer finance watchdog — in the courts and media, portraying the agency as illegitimate and as unfairly targeting industry players.Now, with the CFPB on life support after the Trump administration issued a stop-work order and shuttered its headquarters, the agency finds itself with an unlikely ally: the same banks that reliably complained about its rules and enforcement actions under former Director Rohit Chopra.That's because if the Trump administration succeeds in reducing the CFPB to a shell of its former self, banks would find themselves competing directly with nonbank financial players, from big tech and fintech firms to mortgage, auto and payday lenders, that enjoy far less federal scrutiny than Federal Deposit Insurance Corp.-backed institutions.""The CFPB is the only federal agency that supervises non-depository institutions, so that would go away,"" said David Silberman, a veteran banking attorney who lectures at Yale Law School. ""Payment apps like PayPal, Stripe, Cash App, those sorts of things, they would get close to a free ride at the federal level.""The shift could wind the clock back to a pre-2008 environment, where it was largely left to state officials to prevent consumers from being ripped off by nonbank providers. The CFPB was created in the aftermath of the 2008 financial crisis that was caused by irresponsible lending.But since then, digital players have made significant inroads by offering banking services via mobile phone apps. Fintechs led by PayPal and Chime had roughly as many new accounts last year as all large and regional banks combined, according to data from Cornerstone Advisors.""If you're the big banks, you certainly don't want a world in which the nonbanks have much greater degrees of freedom and much less regulatory oversight than the banks do,"" Silberman said.The CFPB and its employees are in limbo after acting Director Russell Vought took over last month, issuing a flurry of directives to the agency's then 1,700 staffers. Working with operatives from Elon Musk's Department of Government Efficiency, Vought quickly laid off about 200 workers, reportedly took steps to end the agency's building lease and canceled reams of contracts required for legally mandated duties.In internal emails released Friday, CFPB Chief Operating Officer Adam Martinez detailed plans to remove roughly 800 supervision and enforcement workers.Senior executives at the CFPB shared plans for more layoffs that would leave the agency with just five employees, CNBC has reported. That would kneecap the agency's ability to carry out its supervision and enforcement duties.That appears to go beyond what even the Consumer Bankers Association, a frequent CFPB critic, would want. The CBA, which represents the country's biggest retail banks, has sued the CFPB in the past year to scuttle rules limiting overdraft and credit card late fees. More recently, it noted the CFPB's role in keeping a level playing field among market participants.""We believe that new leadership understands the need for examinations for large banks to continue, given the intersections with prudential regulatory examinations,"" said Lindsey Johnson, president of the CBA, in a statement provided to CNBC. ""Importantly, the CFPB is the sole examiner of non-bank financial institutions.""Vought's plans to hobble the agency were halted by a federal judge, who is now considering the merits of a lawsuit brought by a CFPB union asking for a preliminary injunction.In the meantime, bank executives have gone from antagonists of the CFPB to among those concerned it will disappear.At a late October bankers convention in New York, JPMorgan Chase CEO Jamie Dimon encouraged his peers to ""fight back"" against regulators. A few months before that, the bank said that it could sue the CFPB over its investigation into peer-to-peer payments network Zelle.""We are suing our regulators over and over and over because things are becoming unfair and unjust, and they are hurting companies, a lot of these rules are hurting lower-paid individuals,"" Dimon said at the convention.Now, there's growing consensus that an initial push to ""delete"" the CFPB is a mistake. Besides increasing the threat posed from nonbanks, current rules from the CFPB would still be on the books, but nobody would be around to update them as the industry evolves.Small banks and credit unions would be even more disadvantaged than their larger peers if the CFPB were to go away, industry advocates say, since they were never regulated by the agency and would face the same regulatory scrutiny as before.""The conventional wisdom is not right that banks just want the CFPB to go away, or that banks want regulator consolidation,"" said an executive at a major U.S. bank who declined to be identified speaking about the Trump administration. ""They want thoughtful policies that will support economic growth and maintain safety and soundness.""A senior CFPB lawyer who lost his position in recent weeks said that the industry's alignment with Republicans may have backfired.""They're about to live in a world in which the entire nonbank financial services industry is unregulated every day, while they are overseen by the Federal Reserve, FDIC and OCC,"" the lawyer said. ""It's a world where Apple, PayPal, Cash App and X run wild for four years. Good luck.""",CNBC,10/03/2025,"['For years, American financial companies have fought the Consumer Financial Protection Bureau — the chief U.S. consumer finance watchdog — in the courts and media, portraying the agency as illegitimate and as unfairly targeting industry players.', 'Now, with the CFPB on life support after the Trump administration issued a stop-work order and shuttered its headquarters, the agency finds itself with an unlikely ally: the same banks that reliably complained about its rules and enforcement actions under former Director Rohit Chopra.', ""That's because if the Trump administration succeeds in reducing the CFPB to a shell of its former self, banks would find themselves competing directly with nonbank financial players, from big tech and fintech firms to mortgage, auto and payday lenders, that enjoy far less federal scrutiny than Federal Deposit Insurance Corp.-backed institutions."", '""The CFPB is the only federal agency that supervises non-depository institutions, so that would go away,"" said David Silberman, a veteran banking attorney who lectures at Yale Law School. ""', 'Payment apps like PayPal, Stripe, Cash App, those sorts of things, they would get close to a free ride at the federal level.', '""The shift could wind the clock back to a pre-2008 environment, where it was largely left to state officials to prevent consumers from being ripped off by nonbank providers.', 'The CFPB was created in the aftermath of the 2008 financial crisis that was caused by irresponsible lending.', 'But since then, digital players have made significant inroads by offering banking services via mobile phone apps.', 'Fintechs led by PayPal and Chime had roughly as many new accounts last year as all large and regional banks combined, according to data from Cornerstone Advisors.', '""If you\'re the big banks, you certainly don\'t want a world in which the nonbanks have much greater degrees of freedom and much less regulatory oversight than the banks do,"" Silberman said.', ""The CFPB and its employees are in limbo after acting Director Russell Vought took over last month, issuing a flurry of directives to the agency's then 1,700 staffers."", ""Working with operatives from Elon Musk's Department of Government Efficiency, Vought quickly laid off about 200 workers, reportedly took steps to end the agency's building lease and canceled reams of contracts required for legally mandated duties."", 'In internal emails released Friday, CFPB Chief Operating Officer Adam Martinez detailed plans to remove roughly 800 supervision and enforcement workers.', 'Senior executives at the CFPB shared plans for more layoffs that would leave the agency with just five employees, CNBC has reported.', ""That would kneecap the agency's ability to carry out its supervision and enforcement duties."", 'That appears to go beyond what even the Consumer Bankers Association, a frequent CFPB critic, would want.', ""The CBA, which represents the country's biggest retail banks, has sued the CFPB in the past year to scuttle rules limiting overdraft and credit card late fees."", ""More recently, it noted the CFPB's role in keeping a level playing field among market participants."", '""We believe that new leadership understands the need for examinations for large banks to continue, given the intersections with prudential regulatory examinations,"" said Lindsey Johnson, president of the CBA, in a statement provided to CNBC. ""', 'Importantly, the CFPB is the soleexaminer of non-bank financial institutions.', '""Vought\'s plans to hobble the agency were halted by a federal judge, who is now considering the merits of a lawsuit brought by a CFPB union asking for a preliminary injunction.', 'In the meantime, bank executives have gone from antagonists of the CFPB to among those concerned it will disappear.', 'At a late October bankers convention in New York, JPMorgan Chase CEO Jamie Dimon encouraged his peers to ""fight back"" against regulators.', 'A few months before that, the bank said that it could sue the CFPB over its investigation into peer-to-peer payments network Zelle.', '""We are suing our regulators over and over and over because things are becoming unfair and unjust, and they are hurting companies, a lot of these rules are hurting lower-paid individuals,"" Dimon said at the convention.', 'Now, there\'s growing consensus that an initial push to ""delete"" the CFPB is a mistake.', 'Besides increasing the threat posed from nonbanks, current rules from the CFPB would still be on the books, but nobody would be around to update them as the industry evolves.', 'Small banks and credit unions would be even more disadvantaged than their larger peers if the CFPB were to go away, industry advocates say, since they were never regulated by the agency and would face the same regulatory scrutiny as before.', '""The conventional wisdom is not right that banks just want the CFPB to go away, or that banks want regulator consolidation,"" said an executive at a major U.S. bank who declined to be identified speaking about the Trump administration. ""', 'They want thoughtful policies that will support economic growth and maintain safety and soundness.', '""A senior CFPB lawyer who lost his position in recent weeks said that the industry\'s alignment with Republicans may have backfired.', '""They\'re about to live in a world in which the entire nonbank financial services industry is unregulated every day, while they are overseen by the Federal Reserve, FDIC and OCC,"" the lawyer said. ""', ""It's a world where Apple, PayPal, Cash App and X run wild for four years."", 'Good luck.""']",0.0894025557251356,They want thoughtful policies that will support economic growth and maintain safety and soundness.,"""We are suing our regulators over and over and over because things are becoming unfair and unjust, and they are hurting companies, a lot of these rules are hurting lower-paid individuals,"" Dimon said at the convention.",-0.1253910660743713,"But since then, digital players have made significant inroads by offering banking services via mobile phone apps.","""A senior CFPB lawyer who lost his position in recent weeks said that the industry's alignment with Republicans may have backfired.",2025-03-17
-Trump finds unexpected ally in auto union leader over tariffs,https://www.cnbc.com/2025/03/10/trump-uaw-auto-union-shawn-fain-tariffs.html,2025-03-10T20:01:55+0000,"DETROIT — The head of the United Auto Workers has become an unexpected ally for President Donald Trump's plans for North American tariffs.UAW President Shawn Fain, who was boisterous about his disdain for Trump during the president's campaign, is openly voicing approval of the tariffs, which include 25% levies on automobiles and supporting parts.""Tariffs are an attempt to stop the bleeding from the hemorrhaging of jobs in America for the last 33 years,"" Fain said Sunday on ABC News' ""This Week,"" referring to the implementation of the North American Free Trade Agreement in 1992. ""Tariffs aren't the end solution, but they are a huge factor in creating, fixing the problem.""Tariffs for auto companies that currently meet standards under the United States-Mexico-Canada Agreement, or USMCA, are paused until April 2, following Trump speaking with leaders from General Motors, Ford Motor and Stellantis.The April 2 delay, which occurred a day after implementation of broader 25% tariffs on goods from Canada and Mexico, aligns with other Trump-initiated automotive tariffs for vehicles and parts being imported from outside of North America.Fain on Sunday said he had not spoken directly to Trump, but ""has been working with his team.""Fain's comments follow the union releasing a statement supporting the tariffs earlier in the week, saying it's up to companies to handle any additional costs that may occur.The union, which had endorsed then-Vice President Kamala Harris, said it's in ""active negotiations with the Trump administration about their plans to end the free trade disaster.""""We are glad to see an American president take aggressive action on ending the free trade disaster that has dropped like a bomb on the working class,"" the union said Tuesday. ""There's been a lot of talk of these tariffs 'disrupting' the economy. But if corporate America chooses to price-gouge the American consumer or attack the American worker because they don't want to pay their fair share, corporate America bears the blame for that decision.""Fain is one of the only high-profile supporters of Trump's tariffs among automotive leaders. Auto executives as well as trade associations supporting automakers have described the tariffs as adding unnecessary chaos and additional costs to the industry.""President Trump has talked a lot about making our U.S. auto industry stronger, bringing more production here, more innovation in the U.S., and if his administration can achieve that, it would be one of … the most signature accomplishments,"" Ford CEO Jim Farley said last month. ""So far what we're seeing is a lot of cost, and a lot of chaos.""Fain has previously condemned the North American Free Trade Agreement — which has been superseded by Trump's USMCA trade deal since 2020 — saying such trade agreements have caused the country to lose jobs and manufacturing.Fain and Trump have been at odds and publicly trading remarks since the union leader was elected in 2023. Trump called for Fain to be fired during a speech last year at the Republican National Convention.Fain has regularly called Trump a ""scab"" and billionaire who doesn't care about American workers, but his comments Sunday on Trump show his stance may have softened.""The election is over. Donald Trump is the president, and we want to get to work to fix the problems that are wrong with this country, with our economy,"" Fain said. ""And the American people expect that. They expect leaders to stand up and lead. They don't expect us to sit back.""The UAW remains under a federal monitorship following a yearslong investigation into the union involving embezzlement, bribery and other charges ahead of Fain's election. That probe resulted in several convictions of union leaders and Fiat Chrysler executives, including two past union presidents.Federal monitor Neil Barofsky last year disclosed an investigation into Fain as well as other union leaders, accusing them of obstructing the probe and interfering with access to information.In January, the monitor's office said it would provide further updates on its investigative activities in a subsequent report.",CNBC,10/03/2025,"[""DETROIT — The head of the United Auto Workers has become an unexpected ally for President Donald Trump's plans for North American tariffs."", ""UAW President Shawn Fain, who was boisterous about his disdain for Trump during the president's campaign, is openly voicing approval of the tariffs, which include 25% levies on automobiles and supporting parts."", '""Tariffs are an attempt to stop the bleeding from the hemorrhaging of jobs in America for the last 33 years,"" Fain said Sunday on ABC News\' ""This Week,"" referring to the implementation of the North American Free Trade Agreement in 1992. ""', ""Tariffs aren't the end solution, but they are a huge factor in creating, fixing the problem."", '""Tariffs for auto companies that currently meet standards under the United States-Mexico-Canada Agreement, or USMCA, are paused until April 2, following Trump speaking with leaders from General Motors, Ford Motor and Stellantis.', 'The April 2 delay, which occurred a day after implementation of broader 25% tariffs on goods from Canada and Mexico, aligns with other Trump-initiated automotive tariffs for vehicles and parts being imported from outside of North America.', 'Fain on Sunday said he had not spoken directly to Trump, but ""has been working with his team.', '""Fain\'s comments follow the union releasing a statement supporting the tariffs earlier in the week, saying it\'s up to companies to handle any additional costs that may occur.', 'The union, which had endorsed then-Vice President Kamala Harris, said it\'s in ""active negotiations with the Trump administration about their plans to end the free trade disaster.', '""""We are glad to see an American president take aggressive action on ending the free trade disaster that has dropped like a bomb on the working class,"" the union said Tuesday. ""', ""There's been a lot of talk of these tariffs 'disrupting' the economy."", ""But if corporate America chooses to price-gouge the American consumer or attack the American worker because they don't want to pay their fair share, corporate America bears the blame for that decision."", '""Fain is one of the only high-profile supporters of Trump\'s tariffs among automotive leaders.', 'Auto executives as well as trade associations supporting automakers have described the tariffs as adding unnecessary chaos and additional costs to the industry.', '""President Trump has talked a lot about making our U.S. auto industry stronger, bringing more production here, more innovation in the U.S., and if his administration can achieve that, it would be one of … the most signature accomplishments,"" Ford CEO Jim Farley said last month. ""', ""So far what we're seeing is a lot of cost, and a lot of chaos."", '""Fain has previously condemned the North American Free Trade Agreement — which has been superseded by Trump\'s USMCA trade deal since 2020 — saying such trade agreements have caused the country to lose jobs and manufacturing.', 'Fain and Trump have been at odds and publicly trading remarks since the union leader was elected in 2023.', 'Trump called for Fain to be fired during a speech last year at the Republican National Convention.', 'Fain has regularly called Trump a ""scab"" and billionaire who doesn\'t care about American workers, but his comments Sunday on Trump show his stance may have softened.', '""The election is over.', 'Donald Trump is the president, and we want to get to work to fix the problems that are wrong with this country, with our economy,"" Fain said. ""', 'And the American people expect that.', 'They expect leaders to stand up and lead.', ""They don't expect us to sit back."", '""The UAW remains under a federal monitorship following a yearslong investigation into the union involving embezzlement, bribery and other charges ahead of Fain\'s election.', 'That probe resulted in several convictions of union leaders and Fiat Chrysler executives, including two past union presidents.', 'Federal monitor Neil Barofsky last year disclosed an investigation into Fain as well as other union leaders, accusing them of obstructing the probe and interfering with access to information.', ""In January, the monitor's office said it would provide further updates on its investigative activities in a subsequent report.""]",0.0949665563900431,"""Tariffs for auto companies that currently meet standards under the United States-Mexico-Canada Agreement, or USMCA, are paused until April 2, following Trump speaking with leaders from General Motors, Ford Motor and Stellantis.","Donald Trump is the president, and we want to get to work to fix the problems that are wrong with this country, with our economy,"" Fain said. """,-0.0606703758239746,"""President Trump has talked a lot about making our U.S. auto industry stronger, bringing more production here, more innovation in the U.S., and if his administration can achieve that, it would be one of … the most signature accomplishments,"" Ford CEO Jim Farley said last month. ""","""Fain has previously condemned the North American Free Trade Agreement — which has been superseded by Trump's USMCA trade deal since 2020 — saying such trade agreements have caused the country to lose jobs and manufacturing.",2025-03-17
-Dollar General store review and closures dent fourth-quarter earnings,https://www.cnbc.com/2025/03/13/dollar-general-dg-q4-2024-earnings.html,2025-03-13T20:07:57+0000,"In this articleDollar General on Thursday reported fiscal fourth-quarter revenue that narrowly beat Wall Street estimates, while a store portfolio review cut into the chain's profit.As part of the reevaluation, the dollar-store chain said it will close 96 Dollar General stores and 45 Popshelf stores and will convert six other Popshelf stores into flagship banner locations in the first quarter. Popshelf stores cater to higher-income shoppers seeking inexpensive products.On the company's earnings call, CEO Todd Vasos warned consumers ""only have enough money for basic essentials"" and that the macro environment isn't likely to improve this year.Shares of the company closed up nearly 7% on Thursday.Here's how the discounter did compared with what Wall Street was expecting for the quarter ended Jan. 31, based on a survey of analysts by LSEG:Fourth-quarter revenue rose 4.5% from $9.86 billion during the same quarter in 2023. Revenue for the full year came in at $40.61 billion, up almost 5% from $38.69 billion in 2023.For fiscal 2025, the chain forecasts revenue to grow between 3.4% and 4.4%, while Wall Street was expecting annual growth of 4.1%, according to LSEG. Dollar General expects earnings per share for the year to come in between $5.10 and $5.80, slightly under the $5.85 anticipated by analysts, according to LSEG.Dollar General reported fourth-quarter net income of $191 million, or 87 cents per share, compared with net income of $402 million, or $1.83 per share, during the same quarter a year prior.The discounter said its portfolio review impacted earnings per share by 81 cents.Operating profit for the quarter fell over 49% year over year to $294 million. The company attributed $232 million in charges to the store closures from the portfolio review as well as Popshelf impairment charges.""As we look to build on the substantial progress we made on our Back to Basics work in fiscal 2024, we believe this review was appropriate to further strengthen the foundation of our business,"" said Vasos in a news release. ""While the number of closings represents less than one percent of our overall store base, we believe this decision better positions us to serve our customers and communities.""Same-store sales, which Dollar General defines as revenue from stores open for at least 13 months, grew 1.2% year over year for the quarter. They're expected to grow 1.2% to 2.2% for the coming fiscal year, the company said.Dollar General announced in December that it was testing same-day delivery for customers. As inflation takes a toll on lower-income consumers, dollar stores like Dollar General and Dollar Tree have faced increased competition from retailers like Walmart with greater e-commerce presences.In January, Dollar General said it would begin selling about 100 new private-brand products, most of which will fall under its Clover Valley label and includes items such as honey mustard and cinnamon rolls, in the first quarter.",CNBC,13/03/2025,"[""In this articleDollar General on Thursday reported fiscal fourth-quarter revenue that narrowly beat Wall Street estimates, while a store portfolio review cut into the chain's profit."", 'As part of the reevaluation, the dollar-store chain said it will close 96Dollar Generalstores and 45 Popshelf stores and will convert six other Popshelf stores into flagship banner locations in the first quarter.', 'Popshelf stores cater to higher-income shoppers seeking inexpensive products.', 'On the company\'s earnings call, CEO Todd Vasos warned consumers ""only have enough money for basic essentials"" and that the macro environment isn\'t likely to improve this year.', 'Shares of the company closed up nearly 7% on Thursday.', ""Here's how the discounter did compared with what Wall Street was expecting for the quarter ended Jan. 31, based on a survey of analysts by LSEG:Fourth-quarter revenue rose 4.5% from $9.86 billion during the same quarter in 2023."", 'Revenue for the full year came in at $40.61 billion, up almost 5% from $38.69 billion in 2023.For fiscal 2025, the chain forecasts revenue to grow between 3.4% and 4.4%, while Wall Street was expecting annual growth of 4.1%, according to LSEG.', 'Dollar General expects earnings per share for the year to come in between $5.10 and $5.80, slightly under the $5.85 anticipated by analysts, according to LSEG.Dollar General reported fourth-quarter net income of $191 million, or 87 cents per share, compared with net income of $402 million, or $1.83 per share, during the same quarter a year prior.', 'The discounter said its portfolio review impacted earnings per share by 81 cents.', 'Operating profit for the quarter fell over 49% year over year to $294 million.', 'The company attributed $232 million in charges to the store closures from the portfolio review as well as Popshelf impairment charges.', '""As we look to build on the substantial progress we made on our Back to Basics work in fiscal 2024, we believe this review was appropriate to further strengthen the foundation of our business,"" saidVasos in a news release. ""', 'While the number of closings represents less than one percent of our overall store base, we believe this decision better positions us to serve our customers and communities.', '""Same-store sales, which Dollar General defines as revenue from stores open for at least 13 months, grew 1.2% year over year for the quarter.', ""They're expected to grow 1.2% to 2.2% for the coming fiscal year, the company said."", 'Dollar General announced in December that it was testing same-day delivery for customers.', 'As inflation takes a toll on lower-income consumers, dollar stores like Dollar General and Dollar Tree have faced increased competition from retailers like Walmart with greater e-commerce presences.', 'In January, Dollar General said it would begin selling about 100 new private-brand products, most of which will fall under its Clover Valley label and includes items such as honey mustard and cinnamon rolls, in the first quarter.']",0.2379552392793426,"As inflation takes a toll on lower-income consumers, dollar stores like Dollar General and Dollar Tree have faced increased competition from retailers like Walmart with greater e-commerce presences.",The company attributed $232 million in charges to the store closures from the portfolio review as well as Popshelf impairment charges.,0.0338358084360758,"Revenue for the full year came in at $40.61 billion, up almost 5% from $38.69 billion in 2023.For fiscal 2025, the chain forecasts revenue to grow between 3.4% and 4.4%, while Wall Street was expecting annual growth of 4.1%, according to LSEG.",Operating profit for the quarter fell over 49% year over year to $294 million.,2025-03-17
-FAA briefly halts flights to several Florida airports after SpaceX rocket testing failure,https://www.cnbc.com/2025/03/06/faa-halts-flights-florida-airports-spacex-starsship-testing-failure.html,2025-03-07T14:51:59+0000,"The Federal Aviation Administration briefly halted flights to several Florida airports on Thursday night after a SpaceX Starship testing failure.The incident marks the second time this year that SpaceX experienced a mishap during a flight test of Starship resulting in debris raining down and commercial flights disrupted.Affected airports included Miami International Airport, which is an American Airlines hub, and airports serving Fort Lauderdale, West Palm Beach, and Orlando, Florida.The regulator said, in a statement on Thursday, it is now requiring SpaceX to ""perform a mishap investigation into the loss of the Starship vehicle during launch operations on March 6.""During the event, the FAA said, it ""activated a Debris Response Area and briefly slowed aircraft outside the area where space vehicle debris was falling or stopped aircraft at their departure location. Normal operations have resumed.""SpaceX said, in a post on X on Thursday night: ""During Starship's ascent burn, the vehicle experienced a rapid unscheduled disassembly and contact was lost. Our team immediately began coordination with safety officials to implement pre-planned contingency responses.""The Elon Musk-led aerospace and defense contractor also said it plans to ""review the data from today's flight test to better understand"" the root cause of the mishap.Starship took off from the company's spaceport near Brownsville, Texas, at 6:30 p.m. ET for its eighth test flight.In a livestream showing the test flight, several engines appeared to cut out as the upper-stage Starship vehicle was still climbing. The company then lost communication with the spacecraft but was able to successfully use the arms of its launch tower to catch the rocket's Super Heavy Booster.On Jan. 16, dozens of flights were diverted after SpaceX's Starship rocket broke up, and the FAA warned of ""space vehicle debris"" falling. The regulator had warned pilots of ""dangerous area for falling debris of rocket Starship.""Commercial airlines, private planes and the space industry compete for airspace, particularly in the congested area off of Florida.SpaceX was working on a mishap investigation into what caused the earlier incident but was allowed by the FAA to proceed with the eighth test flight before completing the inquiry.SpaceX did not immediately respond to a request for further information.The tallest and most powerful rocket ever launched, Starship is critical to SpaceX's ambitions. When it is stacked on the Super Heavy booster, Starship stands 403 feet tall and is about 30 feet in diameter.SpaceX founder Musk is also a senior Trump advisor, tasked by the president with making sweeping cuts to government agencies. His reach into regulatory agencies, including the FAA, has drawn criticism and concern from Democratic lawmakers worried about conflicts of interest, security risks and more.",CNBC,07/03/2025,"['The Federal Aviation Administration briefly halted flights to several Florida airports on Thursday night after a SpaceX Starship testing failure.', 'The incident marks the second time this year that SpaceX experienced a mishap during a flight test of Starship resulting in debris raining down and commercial flights disrupted.', 'Affected airports included Miami International Airport, which is an American Airlines hub, and airports serving Fort Lauderdale, West Palm Beach, and Orlando, Florida.', 'The regulator said, in a statement on Thursday, it is now requiring SpaceX to ""perform a mishap investigation into the loss of the Starship vehicle during launch operations on March 6.""During the event, the FAA said, it ""activated a Debris Response Area and briefly slowed aircraft outside the area where space vehicle debris was falling or stopped aircraft at their departure location.', 'Normal operations have resumed.', '""SpaceX said, in a post on X on Thursday night: ""During Starship\'s ascent burn, the vehicle experienced a rapid unscheduled disassembly and contact was lost.', 'Our team immediately began coordination with safety officials to implement pre-planned contingency responses.', '""The Elon Musk-led aerospace and defense contractor also said it plans to ""review the data from today\'s flight test to better understand"" the root cause of the mishap.', ""Starship took off from the company's spaceport near Brownsville, Texas, at 6:30 p.m. ET for its eighth test flight."", 'In a livestream showing the test flight, several engines appeared to cut out as the upper-stage Starship vehicle was still climbing.', ""The company then lost communication with the spacecraft but was able to successfully use the arms of its launch tower to catch the rocket's Super Heavy Booster."", 'On Jan. 16, dozens of flights weredivertedafter SpaceX\'s Starship rocket broke up, and the FAA warned of ""space vehicle debris"" falling.', 'The regulator had warned pilots of ""dangerous area for falling debris of rocket Starship.', '""Commercial airlines, private planes and the space industry compete for airspace, particularly in the congested area off of Florida.', 'SpaceX was working on a mishap investigation into what caused the earlier incident but was allowed by the FAA to proceed with the eighth test flight before completing the inquiry.', 'SpaceX did not immediately respond to a request for further information.', ""The tallest and most powerful rocket ever launched, Starship is critical to SpaceX's ambitions."", 'When it is stacked on the Super Heavy booster, Starship stands 403 feet tall and is about 30 feet in diameter.', 'SpaceX founder Musk is also a senior Trump advisor, tasked by the president with making sweeping cuts to government agencies.', 'His reach into regulatory agencies, including the FAA, has drawn criticism and concern from Democratic lawmakers worried about conflicts of interest, security risks and more.']",-0.0639575313967778,The company then lost communication with the spacecraft but was able to successfully use the arms of its launch tower to catch the rocket's Super Heavy Booster.,"The regulator had warned pilots of ""dangerous area for falling debris of rocket Starship.",-0.9557285990033833,,The incident marks the second time this year that SpaceX experienced a mishap during a flight test of Starship resulting in debris raining down and commercial flights disrupted.,2025-03-17
-"American Eagle says consumer is slowing down, issues weak guidance",https://www.cnbc.com/2025/03/12/american-eagle-aeo-earnings-q4-2024.html,2025-03-12T22:29:06+0000,"In this articleAmerican Eagle warned investors on Wednesday that consumers are pulling back on spending and it's seen a ""slower start"" to the year than it expected. ""Entering 2025, the first quarter is off to a slower start than expected, reflecting less robust demand and colder weather,"" CEO Jay Schottenstein said in a news release. ""While we anticipate improvement as the Spring season gets underway, we are also taking proactive steps to strengthen the top-line, manage inventory and reduce expenses. As we navigate through an uncertain consumer and operating landscape, we will also remain focused on our long-term strategic priorities."" Shares fell about 5% in extended trading.The downbeat commentary, which came along with weak guidance for the current quarter and year ahead, is the latest warning sign that the consumer might be slowing down as shoppers contend with persistent inflation and concerns around tariffs.Over the past couple of weeks, a string of other retailers, including both strong companies and ones that tend to struggle, issued weak guidance and cautious commentary about the current macroeconomic conditions and warned 2025 might be a weaker than expected year for sales. Beyond its outlook, American Eagle issued mixed holiday results and comparable sales that beat expectations. Here's how the apparel company did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $104 million, or 54 cents per share, compared with $6.31 million, or 3 cents per share, a year earlier.Sales dropped to $1.60 billion, down slightly from $1.68 billion a year earlier. Similar to other retailers, American Eagle benefited from an extra week in the year-ago period, which has negatively skewed results.Comparable sales, which don't include the effect of one less selling week, were up 3% during the quarter, ahead of expectations of up 2.1%, according to StreetAccount. Aerie, American Eagle's intimates and activewear line, drove the company's growth during the quarter with comps up 6%. Meanwhile, the company's namesake banner saw comparable sales up 1%.For the current quarter, American Eagle is expecting to see a mid-single-digit decline in sales, while analysts expected revenue to increase 1.3%, according to LSEG. For the full year, it is expecting sales to decline by a low single digit, compared with expectations of 3% growth, according to LSEG.On a call with analysts, finance chief Michael Mathias said Aerie sales are expected to be positive for the year but that growth will be offset by a steeper decline at the American Eagle banner.Tariffs are also expected to weigh on results, Mathias said. The company currently sources just under 20% of its products from China and is expecting a $5 million to $10 million hit from the new duties in fiscal 2025, which will also affect American Eagle's gross margin. At the moment, the company isn't planning on passing those costs on to the consumer and is working to get its China exposure down to under 10% by the end of the fiscal year, Mathias said.Over the past year, American Eagle has made significant strides in improving profitability but has seen slower sales growth. In the three prior quarters, it missed Wall Street's sales expectations, and on Wednesday, it issued revenue numbers that were in line with analysts' forecasts but didn't exceed them. During the quarter, the company acknowledged it had some product misses and had certain items that were out of stock, which affected sales, but American Eagle's stores are also weighing on its results. The company still has a large mall footprint, and while there are some signals that malls are seeing a resurgence, traffic is still down significantly at U.S. malls, which means fewer people are coming into the retailer's stores. For example, online sales are expected to be positive during the first quarter while store sales are expected to fall steeper than a mid-single-digit.To combat the effect of declining malls, rival Abercrombie & Fitch has worked to move its stores to locations outside of malls while American Eagle has been working to remodel its existing fleet. Currently, the company's stores are on average 12 years old, and it's working to get that down to seven. In fiscal 2024, it remodeled around 56 stores, and in the year ahead, the company plans to remodel between 90 and 100 doors as part of its $300 million capex guidance.In prior quarters, American Eagle has said it's been contending with an uncertain economic environment and a consumer that tends to only come out and shop during key moments, but now a wide range of other retailers are reporting similar dynamics as cracks in the economy spread.In February, consumer confidence saw the biggest drop since 2021, job growth slowed more than expected and unemployment ticked up. These signals and the effect they've had on the markets have led to concerns that a recession could be coming, especially if President Donald Trump's trade war with Canada, Mexico and China continues.A slowing economy is bad news for any retailer but especially those that primarily sell discretionary goods such as new clothes. During a call with analysts, Schottenstein shared his thoughts on the consumer and said the biggest thing affecting shoppers is uncertainty.""They have the fear of the unknown, not just tariffs, not just inflation. They see the government cutting people off. They don't know how that's going to affect them. They see programs being cut, they don't know how that's gonna affect them,"" said Schottenstein. ""They just don't know how it's gonna affect them … they get very conservative.""",CNBC,12/03/2025,"['In this articleAmerican Eagle warned investors on Wednesday that consumers are pulling back on spending and it\'s seen a ""slower start"" to the year than it expected.', '""Entering 2025, the first quarter is off to a slower start than expected, reflecting less robust demand and colder weather,"" CEO Jay Schottenstein said in a news release. ""', 'While we anticipate improvement as the Spring season gets underway, we are also taking proactive steps to strengthen the top-line, manage inventory and reduce expenses.', 'As we navigate through an uncertain consumer and operating landscape, we will also remain focused on our long-term strategic priorities.', '""Shares fell about 5% in extended trading.', 'The downbeat commentary, which came along with weak guidance for the current quarter and year ahead, is the latest warning sign that the consumer might be slowing down as shoppers contend with persistent inflation and concerns around tariffs.', 'Over the past couple of weeks, a string of other retailers, including both strong companies and ones that tend to struggle, issued weak guidance and cautious commentary about the current macroeconomic conditions and warned 2025 might be a weaker than expected year for sales.', 'Beyond its outlook, American Eagle issued mixed holiday results and comparable sales that beat expectations.', ""Here's how the apparel company did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $104 million, or 54 cents per share, compared with $6.31 million, or 3 cents per share, a year earlier."", 'Sales dropped to $1.60 billion, down slightly from $1.68 billion a year earlier.', 'Similar to other retailers, American Eagle benefited from an extra week in the year-ago period, which has negatively skewed results.', ""Comparable sales, which don't include the effect of one less selling week, were up 3% during the quarter, ahead of expectations of up 2.1%, according to StreetAccount."", ""Aerie, American Eagle's intimates and activewear line, drove the company's growth during the quarter with comps up 6%."", ""Meanwhile, the company's namesake banner saw comparable sales up 1%.For the current quarter, American Eagle is expecting to see a mid-single-digit decline in sales, while analysts expected revenue to increase 1.3%, according to LSEG."", 'For the full year, it is expecting sales to decline by a low single digit, compared with expectations of 3% growth, according to LSEG.On a call with analysts, finance chief Michael Mathias said Aerie sales are expected to be positive for the year but that growth will be offset by a steeper decline at the American Eagle banner.', 'Tariffs are also expected to weigh on results, Mathias said.', ""The company currently sources just under 20% of its products from China and is expecting a $5 million to $10 million hit from the new duties in fiscal 2025, which will also affect American Eagle's gross margin."", ""At the moment, the company isn't planning on passing those costs on to the consumer and is working to get its China exposure down to under 10% by the end of the fiscal year, Mathias said."", 'Over the past year, American Eagle has made significant strides in improving profitability but has seen slower sales growth.', ""In the three prior quarters, it missed Wall Street's sales expectations, and on Wednesday, it issued revenue numbers that were in line with analysts' forecasts but didn't exceed them."", ""During the quarter, the company acknowledged it had some product misses and had certain items that were out of stock, which affected sales, but American Eagle's stores are also weighing on its results."", ""The company still has a large mall footprint, and while there are some signals that malls are seeing a resurgence, traffic is still down significantly at U.S. malls, which means fewer people are coming into the retailer's stores."", 'For example, online sales are expected to be positive during the first quarter while store sales are expected to fall steeper than a mid-single-digit.', 'To combat the effect of declining malls, rival Abercrombie & Fitch has worked to move its stores to locations outside of malls while American Eagle has been working to remodel its existing fleet.', ""Currently, the company's stores are on average 12 years old, and it's working to get that down to seven."", 'In fiscal 2024, it remodeled around 56 stores, and in the year ahead, the company plans to remodel between 90 and 100 doors as part of its $300 million capex guidance.', ""In prior quarters, American Eagle has said it's been contending with an uncertain economic environment and a consumer that tends to only come out and shop during key moments, but now a wide range of other retailers are reporting similar dynamics as cracks in the economy spread."", 'In February, consumer confidence saw the biggest drop since 2021, job growth slowed more than expected and unemployment ticked up.', ""These signals and the effect they've had on the markets have led to concerns that a recession could be coming, especially if President Donald Trump's trade war with Canada, Mexico and China continues."", 'A slowing economy is bad news for any retailer but especially those that primarily sell discretionary goods such as new clothes.', 'During a call with analysts, Schottenstein shared his thoughts on the consumer and said the biggest thing affecting shoppers is uncertainty.', '""They have the fear of the unknown, not just tariffs, not just inflation.', 'They see the government cutting people off.', ""They don't know how that's going to affect them."", 'They see programs being cut, they don\'t know how that\'s gonna affect them,"" said Schottenstein. ""', 'They just don\'t know how it\'s gonna affect them … they get very conservative.""']",0.0137665375270078,"While we anticipate improvement as the Spring season gets underway, we are also taking proactive steps to strengthen the top-line, manage inventory and reduce expenses.","These signals and the effect they've had on the markets have led to concerns that a recession could be coming, especially if President Donald Trump's trade war with Canada, Mexico and China continues.",-0.1441023441461416,"Meanwhile, the company's namesake banner saw comparable sales up 1%.For the current quarter, American Eagle is expecting to see a mid-single-digit decline in sales, while analysts expected revenue to increase 1.3%, according to LSEG.","Over the past couple of weeks, a string of other retailers, including both strong companies and ones that tend to struggle, issued weak guidance and cautious commentary about the current macroeconomic conditions and warned 2025 might be a weaker than expected year for sales.",2025-03-17
-Kohl's shares plunge 20% as retailer gives rough outlook for the year ahead,https://www.cnbc.com/2025/03/11/kohls-kss-q4-2024-earnings.html,2025-03-11T20:04:58+0000,"In this articleKohl's posted an earnings and revenue beat for the fiscal fourth quarter on Tuesday, but its stock plunged as it issued much worse-than-expected guidance for the year ahead.Shares of the company closed down over 24% on Tuesday.For 2025, Kohl's expects revenue to fall 5% to 7%, compared with Wall Street estimates of a 1.6% decrease, according to LSEG. The company projected comparable sales will decline 4% to 6%, while analysts anticipated a 0.9% decrease, according to StreetAccount. Kohl's expects earnings per share to come in between 10 cents and 60 cents, a miss compared with a midpoint Wall Street estimate of $1.23, according to LSEG.On a Tuesday earnings call, CEO Ashley Buchanan said the company has fallen short in recent years by focusing too much on new categories and de-emphasizing core products such as fine jewelry, petite clothing and proprietary brands.""A lot of the issues were probably self-inflicted over many years of decisions,"" Buchanan said. ""We have a very loyal customer. When I toured stores, all I heard was how much they love Kohl's. And what I realized is we're kind of making it hard for them to love us.""Buchanan, who stepped in as CEO of the company in January, said Kohl's has also excluded too many brands from its coupons, with those exclusions peaking in 2024. That change frustrated and confused customers, he added, and is in the process of being partially reversed.Here's how the retailer did compared with what Wall Street was expecting, based on a survey of analysts by LSEG:Kohl's has navigated significant turmoil in the last few months. The retailer in November named Buchanan its new CEO as of Jan. 15, succeeding Tom Kingsbury after he spent two years leading Kohl's.Shares of the company have fallen more than 65% in the past year.In January, Kohl's announced it had cut nearly 10% of its corporate workforce and would close 27 underperforming stores by April.Overall most Kohl's stores are ""incredibly healthy"" and profitable, CFO Jill Timm said on the earnings call, but the company has many store leases coming up for renewal in the next few years that are an opportunity for reevaluation.As with other retailers, Kohl's lower-income customers are prioritizing value amid elevated inflation, Buchanan said. Kohl's became the latest retailer to say it expected a turbulent 2025, following Dick's Sporting Goods earlier Tuesday. Falling consumer confidence, President Donald Trump's tariff policy and weaker-than-expected job growth have all raised fears about a potential recession.Kohl's fourth-quarter net sales of $5.18 billion fell from $5.71 billion during the same period in 2023. Full-year 2024 sales came in at $15.39 billion, down from $16.59 billion in 2023. Both the fourth quarter and full year of fiscal 2023 were one week longer than their 2024 counterparts, which the company said added $164 million in net sales to 2023.Quarterly comparable sales, defined by Kohl's as sales from e-commerce and stores open for at least 12 months, fell 6.7% year over year. Wall Street expected a 6.8% decrease, according to StreetAccount.Kohl's reported net income for the quarter, which ended Feb. 1, of $48 million, or 43 cents per share, compared with net income of $186 million, or $1.67 per share, during the fourth quarter of 2023.Adjusting for costs associated with impairments and store closures, Kohl's reported fourth-quarter earnings of 95 cents per share.Timm said Tuesday that while store sales were strong, digital sales underperformed, especially in the legacy home category.Comparable beauty sales increased 13%, Timm said, with the retailer's Sephora partnership continuing to drive revenue in the business.",CNBC,11/03/2025,"[""In this articleKohl's posted an earnings and revenue beat for the fiscal fourth quarter on Tuesday, but its stock plunged as it issued much worse-than-expected guidance for the year ahead."", 'Shares of the company closed down over 24% on Tuesday.', ""For 2025, Kohl's expects revenue to fall 5% to 7%, compared with Wall Street estimates of a 1.6% decrease, according to LSEG."", 'The company projected comparable sales will decline 4% to 6%, while analysts anticipated a 0.9% decrease, according to StreetAccount.', ""Kohl's expects earnings per share to come in between 10 cents and 60 cents, a miss compared with a midpoint Wall Street estimate of $1.23, according to LSEG.On a Tuesday earnings call, CEO Ashley Buchanan said the company has fallen short in recent years by focusing too much on new categories and de-emphasizing core products such as fine jewelry, petite clothing and proprietary brands."", '""A lot of the issues were probably self-inflicted over many years of decisions,"" Buchanan said. ""', 'We have a very loyal customer.', ""When I toured stores, all I heard was how much they love Kohl's."", ""And what I realized is we're kind of making it hard for them to love us."", '""Buchanan, who stepped in as CEO of the company in January, said Kohl\'s has also excluded too many brands from its coupons, with those exclusions peaking in 2024.', 'That change frustrated and confused customers, he added, and is in the process of being partially reversed.', ""Here's how the retailer did compared with what Wall Street was expecting, based on a survey of analysts by LSEG:Kohl's has navigated significant turmoil in the last few months."", ""The retailer in November named Buchanan its new CEO as of Jan. 15, succeeding Tom Kingsbury after he spent two years leading Kohl's."", 'Shares of the company have fallen more than 65% in the past year.', ""In January, Kohl's announced it had cut nearly 10% of its corporate workforce and would close 27 underperforming stores by April."", 'Overall most Kohl\'s stores are ""incredibly healthy"" and profitable, CFO Jill Timm said on the earnings call, but the company has many store leases coming up for renewal in the next few years that are an opportunity for reevaluation.', ""As with other retailers, Kohl's lower-income customers are prioritizing value amid elevated inflation, Buchanan said."", ""Kohl's became the latest retailer to say it expected a turbulent 2025, following Dick's Sporting Goods earlier Tuesday."", ""Falling consumer confidence, President Donald Trump's tariff policy and weaker-than-expected job growth have all raised fears about a potential recession."", ""Kohl's fourth-quarter net sales of $5.18 billion fell from $5.71 billion during the same period in 2023."", 'Full-year 2024 sales came in at $15.39 billion, down from $16.59 billion in 2023.', ""Both the fourth quarter and full year of fiscal 2023 were one week longer than their 2024 counterparts, which the company said added $164 million in net sales to 2023.Quarterly comparable sales, defined by Kohl's as sales from e-commerce and stores open for at least 12 months, fell 6.7% year over year."", 'Wall Street expected a 6.8% decrease, according to StreetAccount.', ""Kohl's reported net income for the quarter, which ended Feb. 1, of $48 million, or 43 cents per share, compared with net income of $186 million, or $1.67 per share, during the fourth quarter of 2023.Adjusting for costs associated with impairments and store closures, Kohl's reported fourth-quarter earnings of 95 cents per share."", 'Timm said Tuesday that while store sales were strong, digital sales underperformed, especially in the legacy home category.', ""Comparable beauty sales increased 13%, Timm said, with the retailer's Sephora partnership continuing to drive revenue in the business.""]",0.0867239270263079,And what I realized is we're kind of making it hard for them to love us.,"That change frustrated and confused customers, he added, and is in the process of being partially reversed.",-0.6253400336612355,"Comparable beauty sales increased 13%, Timm said, with the retailer's Sephora partnership continuing to drive revenue in the business.","In this articleKohl's posted an earnings and revenue beat for the fiscal fourth quarter on Tuesday, but its stock plunged as it issued much worse-than-expected guidance for the year ahead.",2025-03-17
-Dick's Sporting Goods is latest retailer to forecast rocky 2025 as recession fears swirl,https://www.cnbc.com/2025/03/11/dicks-sporting-goods-dks-earnings-q4-2024.html,2025-03-11T14:18:47+0000,"In this articleDick's Sporting Goods on Tuesday said it's expecting 2025 profits to be far lower than Wall Street anticipated, making it the latest retailer to forecast a rocky year ahead as consumers contend with tariffs, inflation and fears around a potential recession. In an interview with CNBC, Executive Chairman Ed Stack said the company's exposure to China, Mexico and Canada for sourcing is very small, but it recognizes that falling consumer confidence could impact spending.""I do think it's just a bit of an uncertain world out there right now,"" said Stack. ""What's going to happen from a tariff standpoint? You know, if tariffs are put in place and prices rise the way that they might, what's going to happen with the consumer?""On a call with analysts, CEO Lauren Hobart insisted the company is not seeing a weak consumer, and said its guidance is based on the overall uncertain environment.""We definitely are feeling great about our consumer,"" said Hobart. ""We are just reflecting an appropriate level of caution given so much uncertainty out in the marketplace.""Shares of the company opened about 2% lower.Despite the weak guidance, the sporting goods retailer posted its best holiday quarter on record. Its comparable sales rose 6.4%, far ahead of the 2.9% growth that analysts expected, according to StreetAccount. Here's how Dick's did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $300 million, or $3.62 per share, compared with $296 million, or $3.57 per share, a year earlier.  Sales rose to $3.89 billion, up about 0.5% from $3.88 billion a year earlier. Like other retailers, Dick's benefited from an extra week in the year-ago period, which has skewed comparisons. But unlike many of its peers, Dick's still managed to grow both sales and profits during the quarter, even with one less selling week. In the year ahead, Dick's is expecting earnings per share to be between $13.80 and $14.40, well short of Wall Street estimates of $14.86, according to LSEG. It anticipates net sales will be between $13.6 billion and $13.9 billion, which at the high end is in line with estimates of $13.9 billion, according to LSEG. Dick's expecting comparable sales to grow between 1% and 3%, compared with estimates of up 2.5%, according to StreetAccount. The gloomy earnings outlook comes after a wide array of other retailers gave weak forecasts for the current quarter or the year ahead amid concerns about sliding consumer confidence and the impact tariffs and inflation could have on spending. Kohl's also offered a weak outlook for the year ahead on Tuesday, leading its shares to plummet 15%.Some retailers blamed an unseasonably cool February for a weak start to the current quarter, but most recognized they're also operating in a tough macroeconomic backdrop, and it's harder than ever to forecast how consumers are holding up. In February, consumer confidence slid to its lowest levels since 2021, the jobs report came in weaker than expected and unemployment ticked up. Over the last few years, a strong job market has led many economists to brush away concerns about rising credit card delinquencies and debt, but those cracks could grow deeper if unemployment continues to rise. On Monday, some of those concerns triggered a stock market sell-off, extending losses after the S&P 500 posted three consecutive negative weeks. The Nasdaq Composite saw its worst day since September 2022, while the Dow lost nearly 900 points and closed below its 200-day moving average for the first time since Nov. 1, 2023.Beyond the uncertain macroeconomic environment, Dick's plans to invest more heavily in its ""House of Sport"" concept and e-commerce in the year ahead, which it also expects will weigh on profits. The massive, 100,000-square-foot stores are a growth area for the company and include features like rock climbing walls and running tracks. In the year ahead, Dick's plans to spend $1 billion on a net basis building 16 additional House of Sport locations and 18 Field House locations, which take some of the experimental elements of the House of Sport but fit it into the size of a traditional Dick's store. The strategy comes at a strong point for sports in the country, which is expected to be a tail wind for the business. The 2026 World Cup will be held in North America, women's sports are more popular than ever, and consumers are increasingly focused on health and wellness. ""We're going to have a moment here in the next three or four years, from a sports standpoint, that I think is going to put sport on steroids,"" said Stack. ""We're going into a sports moment right now, and we are investing very heavily into that sports moment over the next several years because this is going to last through [2030] and maybe beyond.""— Additional reporting by CNBC's Courtney Reagan.",CNBC,11/03/2025,"[""In this articleDick's Sporting Goods on Tuesday said it's expecting 2025 profits to be far lower than Wall Street anticipated, making it the latest retailer to forecast a rocky year ahead as consumers contend with tariffs, inflation and fears around a potential recession."", ""In an interview with CNBC, Executive Chairman Ed Stack said the company's exposure to China, Mexico and Canada for sourcing is very small, but it recognizes that falling consumer confidence could impact spending."", '""I do think it\'s just a bit of an uncertain world out there right now,"" said Stack. ""', ""What's going to happen from a tariff standpoint?"", 'You know, if tariffs are put in place and prices rise the way that they might, what\'s going to happen with the consumer?""On a call with analysts, CEO Lauren Hobart insisted the company is not seeing a weak consumer, and said its guidance is based on the overall uncertain environment.', '""We definitely are feeling great about our consumer,"" said Hobart. ""', 'We are just reflecting an appropriate level of caution given so much uncertainty out in the marketplace.', '""Shares of the company opened about 2% lower.', 'Despite the weak guidance, the sporting goods retailer posted its best holiday quarter on record.', 'Its comparable sales rose 6.4%, far ahead of the 2.9% growth that analysts expected, according to StreetAccount.', ""Here's how Dick's did in its fiscal fourth quarter compared with what Wall Street was anticipating, based on a survey of analysts by LSEG:The company's reported net income for the three-month period that ended Feb. 1 was $300 million, or $3.62 per share, compared with $296 million, or $3.57 per share, a year earlier."", 'Sales rose to $3.89 billion, up about 0.5% from $3.88 billion a year earlier.', ""Like other retailers, Dick's benefited from an extra week in the year-ago period, which has skewed comparisons."", ""But unlike many of its peers, Dick's still managed to grow both sales and profits during the quarter, even with one less selling week."", ""In the year ahead, Dick's is expecting earnings per share to be between $13.80 and $14.40, well short of Wall Street estimates of $14.86, according to LSEG."", 'It anticipates net sales will be between $13.6 billion and $13.9 billion, which at the high end is in line with estimates of $13.9 billion, according to LSEG.', ""Dick's expecting comparable sales to grow between 1% and 3%, compared with estimates of up 2.5%, according to StreetAccount."", 'The gloomy earnings outlook comes after a wide array of other retailers gave weak forecasts for the current quarter or the year ahead amid concerns about sliding consumer confidence and the impact tariffs and inflation could have on spending.', ""Kohl's also offered a weak outlook for the year ahead on Tuesday, leading its shares to plummet 15%.Some retailers blamed an unseasonably cool February for a weak start to the current quarter, but most recognized they're also operating in a tough macroeconomic backdrop, and it's harder than ever to forecast how consumers are holding up."", 'In February, consumer confidence slid to its lowest levels since 2021, the jobs report came in weaker than expected and unemployment ticked up.', 'Over the last few years, a strong job market has led many economists to brush away concerns about rising credit card delinquencies and debt, but those cracks could grow deeper if unemployment continues to rise.', 'On Monday, some of those concerns triggered a stock market sell-off, extending losses after theS&P 500posted three consecutive negative weeks.', 'TheNasdaq Compositesaw its worst day since September 2022, while theDow lost nearly 900 points and closed below its 200-day moving average for the first time since Nov. 1, 2023.Beyond the uncertain macroeconomic environment, Dick\'s plans to invest more heavily in its ""House of Sport"" concept and e-commerce in the year ahead, which it also expects will weigh on profits.', 'The massive, 100,000-square-foot stores are a growth area for the company and include features like rock climbing walls and running tracks.', ""In the year ahead, Dick's plans to spend $1 billion on a net basis building 16 additional House of Sport locations and 18 Field House locations, which take some of the experimental elements of the House of Sport but fit it into the size of a traditional Dick's store."", 'The strategy comes at a strong point for sports in the country, which is expected to be a tail wind for the business.', ""The 2026 World Cup will be held in North America, women's sports are more popular than ever, and consumers are increasingly focused on health and wellness."", '""We\'re going to have a moment here in the next three or four years, from a sports standpoint, that I think is going to put sport on steroids,"" said Stack. ""', 'We\'re going into a sports moment right now, and we are investing very heavily into that sports moment over the next several years because this is going to last through [2030] and maybe beyond.""—', ""Additional reporting by CNBC's Courtney Reagan.""]",-0.0458609676023459,"Despite the weak guidance, the sporting goods retailer posted its best holiday quarter on record.","TheNasdaq Compositesaw its worst day since September 2022, while theDow lost nearly 900 points and closed below its 200-day moving average for the first time since Nov. 1, 2023.Beyond the uncertain macroeconomic environment, Dick's plans to invest more heavily in its ""House of Sport"" concept and e-commerce in the year ahead, which it also expects will weigh on profits.",0.0043099576776677,"Its comparable sales rose 6.4%, far ahead of the 2.9% growth that analysts expected, according to StreetAccount.","Kohl's also offered a weak outlook for the year ahead on Tuesday, leading its shares to plummet 15%.Some retailers blamed an unseasonably cool February for a weak start to the current quarter, but most recognized they're also operating in a tough macroeconomic backdrop, and it's harder than ever to forecast how consumers are holding up.",2025-03-17
-"Delta Air Lines slashes earnings outlook on weaker U.S. demand, sending shares lower",https://www.cnbc.com/2025/03/10/delta-air-lines-cuts-forecast-softer-demand.html,2025-03-10T21:21:48+0000,"In this articleDelta Air Lines slashed its first-quarter revenue and profit outlooks, citing weaker domestic demand, backing up growing concerns about lackluster sales in some corners of the travel industry.Delta expects revenue in the quarter ending March 31 to rise no more than 5% from last year, down from a forecast in January of 6% to 8% growth. It slashed its adjusted earnings forecast to 30 cents to 50 cents per share from a previous guidance of 70 cents to $1 a share. Delta's shares were off more than 13% in after-hours trading after falling more than 5% in the regular session on Monday.""The outlook has been impacted by the recent reduction in consumer and corporate confidence caused by increased macro uncertainty, driving softness in Domestic demand,"" Delta said in a securities filing.Delta CEO Ed Bastian told CNBC's ""Closing Bell"" on Monday that he does not expect a recession but said consumer confidence has weakened and that both leisure and business customers have pulled back on bookings.He said concerns about safety ""somewhat exacerbated the impact on us"" after the deadly midair collision between a regional jet and an Army helicopter in January in Washington, D.C., as well as Delta's crash on landing in Toronto last month that was not fatal.Bastian's comments come after a broad market sell-off.Delta's forecast, delivered after the market closed on Monday, comes a day before a JPMorgan airline industry conference in which CEOs are expected to update investors on current demand trends. Delta said in a filing that demand for premium travel, international travel and loyalty revenue growth is still in line with its expectations.American Airlines, Southwest Airlines and United Airlines are among the other carriers that will also update Wall Street on demand trends.Airline shares prices have dropped sharply in recent days as growing signs of weaker consumer spending hit the sector, which had been resilient compared with other industries in the wake of the Covid-19 pandemic.",CNBC,10/03/2025,"['In this articleDelta Air Lines slashed its first-quarter revenue and profit outlooks, citing weaker domestic demand, backing up growing concerns about lackluster sales in some corners of the travel industry.', 'Delta expects revenue in the quarter ending March 31 to rise no more than 5% from last year, down from a forecast in January of 6% to 8% growth.', 'It slashed its adjusted earnings forecast to 30 cents to 50 cents per share from a previous guidance of 70 cents to $1 a share.', ""Delta's shares were off more than 13% in after-hours trading after falling more than 5% in the regular session on Monday."", '""The outlook has been impacted by the recent reduction in consumer and corporate confidence caused by increased macro uncertainty, driving softness in Domestic demand,"" Delta said in a securities filing.', 'Delta CEO Ed Bastian told CNBC\'s ""Closing Bell"" on Monday that he does not expect a recession but said consumer confidence has weakened and that both leisure and business customers have pulled back on bookings.', 'He said concerns about safety ""somewhat exacerbated the impact on us"" after the deadly midair collision between a regional jet and an Army helicopter in January in Washington, D.C., as well as Delta\'s crash on landing in Toronto last month that was not fatal.', ""Bastian's comments come after a broad market sell-off."", ""Delta'sforecast, delivered after the market closed on Monday, comes a day before a JPMorgan airline industry conference in which CEOs are expected to update investors on current demand trends."", 'Delta said in a filing that demand for premium travel, international travel and loyalty revenue growth is still in line with its expectations.', 'American Airlines, Southwest Airlines and United Airlines are among the other carriers that will also update Wall Street on demand trends.', 'Airline shares prices have dropped sharply in recent days as growing signs of weaker consumer spending hit the sector, which had been resilient compared with other industries in the wake of the Covid-19 pandemic.']",0.2305367101588302,"Delta said in a filing that demand for premium travel, international travel and loyalty revenue growth is still in line with its expectations.","In this articleDelta Air Lines slashed its first-quarter revenue and profit outlooks, citing weaker domestic demand, backing up growing concerns about lackluster sales in some corners of the travel industry.",-0.7982749700546264,"Delta said in a filing that demand for premium travel, international travel and loyalty revenue growth is still in line with its expectations.","In this articleDelta Air Lines slashed its first-quarter revenue and profit outlooks, citing weaker domestic demand, backing up growing concerns about lackluster sales in some corners of the travel industry.",2025-03-17
-PepsiCo buys prebiotic soda brand Poppi for nearly $2 billion,https://www.cnbc.com/2025/03/17/pepsico-buys-prebiotic-soda-brand-poppi-for-more-than-1point6-billion.html,2025-03-17T18:22:35+0000,"In this articlePepsiCo said Monday that it is buying prebiotic soda brand Poppi for nearly $2 billion.While soda consumption has broadly fallen over the past two decades in the U.S., prebiotic sodas, fueled by industry newcomers Poppi and Olipop, have won over health-conscious consumers over the past five years.The category's growth makes it attractive for Pepsi and its rival, Coca-Cola, which recently launched its own prebiotic soda brand, Simply Pop. Pepsi had reportedly aimed to launch its own functional soda under its Soulboost brand, but it canceled those plans, likely paving the way to a deal with Poppi.Pepsi said it plans to acquire the upstart Poppi for $1.95 billion. The deal includes $300 million of anticipated cash tax benefits, making the net purchase price $1.65 billion.Pepsi will also have to make additional payments if Poppi achieves certain performance milestones within a set time frame after the acquisition closes. The company did not say when the deal is expected to close, pending regulatory approval.Poppi's founders Allison and Stephen Ellsworth launched the brand back in 2018, the same year that Olipop was founded. Poppi's formula includes apple cider vinegar, prebiotics and just five grams of sugar.By 2023, Poppi's annual sales reportedly crossed $100 million.The company recently made its second straight Super Bowl appearance with an ad during the big game, demonstrating both its deep pockets and a desire to reach an even wider audience.But as Poppi's sales have grown, it has also attracted backlash for its health claims. For example, the company faced a class action lawsuit that alleged that its drinks were not as healthy as its packaging claimed. Poppi and the plaintiff moved to settle the suit on Friday for $8.9 million, according to court filings.For its part, rival Olipop was valued at $1.85 billion during its latest funding round, which was announced in February. In 2023, Olipop founder and CEO Ben Goodwin told CNBC that soda giants PepsiCo and Coca-Cola had already come knocking about a potential sale.",CNBC,17/03/2025,"['In this articlePepsiCo said Monday that it is buying prebiotic soda brand Poppi for nearly $2 billion.', 'While soda consumption has broadly fallen over the past two decades in the U.S., prebiotic sodas, fueled by industry newcomers Poppi and Olipop, have won over health-conscious consumers over the past five years.', ""The category's growth makes it attractive for Pepsi and its rival, Coca-Cola, which recently launched its own prebiotic soda brand, Simply Pop."", 'Pepsi had reportedly aimed to launch its own functional soda under its Soulboost brand, but it canceled those plans, likely paving the way to a deal with Poppi.', 'Pepsi said it plans to acquire the upstart Poppi for $1.95 billion.', 'The deal includes $300 million of anticipated cash tax benefits, making the net purchase price $1.65 billion.', 'Pepsi will also have to make additional payments if Poppi achieves certain performance milestones within a set time frame after the acquisition closes.', 'The company did not say when the deal is expected to close, pending regulatory approval.', ""Poppi's foundersAllison and Stephen Ellsworth launched the brand back in 2018, the same year that Olipop was founded."", ""Poppi's formula includes apple cider vinegar, prebiotics and just five grams of sugar."", ""By 2023, Poppi's annual sales reportedly crossed $100 million."", 'The company recently made its second straight Super Bowl appearance with an ad during the big game, demonstrating both its deep pockets and a desire to reach an even wider audience.', ""But as Poppi's sales have grown, it has also attracted backlash for its health claims."", 'For example, the company faced a class action lawsuit that alleged that its drinks were not as healthy as its packaging claimed.', 'Poppi and the plaintiff moved to settle the suit on Friday for $8.9 million, according to court filings.', 'For its part, rival Olipop was valued at $1.85 billion during its latest funding round, which was announced in February.', 'In 2023, Olipop founder and CEO Ben Goodwin told CNBC that soda giants PepsiCo and Coca-Cola had already come knocking about a potential sale.']",0.2130677468922047,"The company recently made its second straight Super Bowl appearance with an ad during the big game, demonstrating both its deep pockets and a desire to reach an even wider audience.","For example, the company faced a class action lawsuit that alleged that its drinks were not as healthy as its packaging claimed.",0.6602089703083038,"The category's growth makes it attractive for Pepsi and its rival, Coca-Cola, which recently launched its own prebiotic soda brand, Simply Pop.","For example, the company faced a class action lawsuit that alleged that its drinks were not as healthy as its packaging claimed.",2025-03-17
-Walgreens to go private in roughly $10 billion deal with Sycamore Partners,https://www.cnbc.com/2025/03/06/walgreens-to-go-private-in-10-billion-deal-with-sycamore-partners.html,2025-03-06T22:56:15+0000,"In this articleStruggling drugstore chain Walgreens is going private. The company on Thursday said it inked a deal with private equity firm Sycamore Partners that will take it off the public market for an equity value of around $10 billion.Sycamore will pay $11.45 per share in cash for Walgreens, representing a roughly 8% premium to the stock's closing price on Thursday. Shareholders could also receive up to $3 more per share in the future from sales of Walgreens' primary-care businesses, including Village Medical, Summit Health and CityMD. Walgreens said the total value of the transaction would be up to $23.7 billion when including debt and possible payouts down the line.Walgreens and Sycamore expect to close the take-private deal in the fourth quarter of this year. Shares of Walgreens jumped more than 5% in after-hours trading on Thursday before being halted.The historic deal ends Walgreens' tumultuous run as a public company, which began in 1927. As of Thursday morning, shares of the company were up more than 15% for 2025, but the stock was still down more than 48% for the last year and had fallen 70% for the past three years. ""While we are making progress against our ambitious turnaround strategy, meaningful value creation will take time, focus and change that is better managed as a private company,"" Walgreens CEO Tim Wentworth, who stepped into the role in 2023, said in a release on Thursday. ""Sycamore will provide us with the expertise and experience of a partner with a strong track record of successful retail turnarounds.Stefan Kaluzny, Sycamore's managing director, said in the release the transaction reflects the firm's confidence in Walgreens' ""pharmacy-led model and essential role in driving better outcomes for patients, customers and communities.""Walgreens will maintain its headquarters in Chicago. The company currently has more than 310,000 employees globally and 12,500 retail pharmacy locations across the U.S., Europe and Latin America, according to the release. Walgreens still plans to release its second-quarter earnings on April 8.Walgreens's market value reached a peak of more than $100 billion in 2015 as investors gained confidence in its health-care business and expansion plans, making it one of the most prominent American retail companies. But the company's market cap shrank to under $8 billion in late 2024 due to competition from its main rival CVS, grocery chains, big-box retailers and Amazon, along with a slew of challenges. Walgreens has been squeezed by the transition out of the Covid pandemic, pharmacy reimbursement headwinds, softer consumer spending and a troubled push into health care.Both Walgreens and CVS have pivoted from years of store expansions to shuttering hundreds of retail pharmacy locations across the U.S. to shore up profits. But unlike CVS, which has diversified its business model by offering insurance and pharmacy benefits, Walgreens largely doubled down on its now-flailing retail pharmacy business. In October, Walgreens said it plans to close roughly 1,200 of its drugstores over the next three years, including 500 in fiscal 2025 alone. Walgreens has around 8,700 locations in the U.S., a quarter of which it says are unprofitable. The company has also scaled back its push into primary care by cutting its stake in provider VillageMD. Walgreens tapped health-care industry veteran Tim Wentworth as its new CEO in late 2023 to help regain its footing. The company has reportedly been seen as a potential private equity target in the past. In 2019, private equity firm KKR made a roughly $70 billion buyout offer to Walgreens, the Financial Times and Bloomberg reported at the time.",CNBC,06/03/2025,"['In this articleStruggling drugstore chain Walgreens is going private.', 'The company on Thursday said it inked a deal with private equity firm Sycamore Partners that will take it off the public market for an equity value of around $10 billion.', ""Sycamore will pay $11.45 per share in cash for Walgreens, representing a roughly 8% premium to the stock's closing price on Thursday."", ""Shareholders could also receive up to $3 more per share in the future from sales of Walgreens' primary-care businesses, including Village Medical, Summit Health and CityMD."", 'Walgreens said the total value of the transaction would be up to $23.7 billion when including debt and possible payouts down the line.', 'Walgreens and Sycamore expect to close the take-private deal in the fourth quarter of this year.', 'Shares of Walgreens jumped more than 5% in after-hours trading on Thursday before being halted.', ""The historic deal ends Walgreens' tumultuous run as a public company, which began in 1927."", 'As of Thursday morning, shares of the company were up more than 15% for 2025, but the stock was still down more than 48% for the last year and had fallen 70% for the past three years.', '""While we are making progress against our ambitious turnaround strategy, meaningful value creation will take time, focus and change that is better managed as a private company,"" Walgreens CEO Tim Wentworth, who stepped into the role in 2023, said in a release on Thursday. ""', 'Sycamore will provide us with the expertise and experience of a partner with a strong track record of successful retail turnarounds.', 'Stefan Kaluzny, Sycamore\'s managing director, said in the release the transaction reflects the firm\'s confidence in Walgreens\' ""pharmacy-led model and essential role in driving better outcomes for patients, customers and communities.', '""Walgreens will maintain its headquarters in Chicago.', 'The company currently has more than 310,000 employees globally and 12,500 retail pharmacy locations across the U.S., EuropeandLatin America, according to the release.', ""Walgreens still plans to release its second-quarter earnings on April 8.Walgreens's market value reached a peak of more than $100 billion in 2015 as investors gained confidence in its health-care business and expansion plans, making it one of the most prominent American retail companies."", ""But the company's market cap shrank to under $8 billion in late 2024 due to competition from its main rival CVS, grocery chains, big-box retailers and Amazon, along with a slew of challenges."", 'Walgreens has been squeezed by the transition out of the Covid pandemic, pharmacy reimbursement headwinds, softer consumer spending and a troubled push into health care.', 'Both Walgreens and CVS have pivoted from years of store expansions to shuttering hundreds of retail pharmacy locations across the U.S. to shore up profits.', 'But unlike CVS, which has diversified its business model by offering insurance and pharmacy benefits, Walgreens largely doubled down on its now-flailing retail pharmacy business.', 'In October, Walgreens said it plans toclose roughly 1,200 of its drugstoresover the nextthree years, including 500 in fiscal 2025 alone.', 'Walgreens has around 8,700 locations in the U.S., a quarter of which it says are unprofitable.', 'The company has also scaled back its push into primary care by cutting its stake inprovider VillageMD.Walgreens tapped health-care industry veteran Tim Wentworth as its new CEO in late 2023 to help regain its footing.', 'The company has reportedly been seen as a potential private equity target in the past.', 'In 2019, private equity firm KKR made a roughly $70 billion buyout offer to Walgreens, the Financial Times and Bloomberg reported at the time.']",0.2717442142228549,"""While we are making progress against our ambitious turnaround strategy, meaningful value creation will take time, focus and change that is better managed as a private company,"" Walgreens CEO Tim Wentworth, who stepped into the role in 2023, said in a release on Thursday. ""","As of Thursday morning, shares of the company were up more than 15% for 2025, but the stock was still down more than 48% for the last year and had fallen 70% for the past three years.",0.3318427483240763,"Walgreens still plans to release its second-quarter earnings on April 8.Walgreens's market value reached a peak of more than $100 billion in 2015 as investors gained confidence in its health-care business and expansion plans, making it one of the most prominent American retail companies.","Walgreens has been squeezed by the transition out of the Covid pandemic, pharmacy reimbursement headwinds, softer consumer spending and a troubled push into health care.",2025-03-17
-Take a look inside the world's largest 3D printed housing development,https://www.cnbc.com/2025/03/12/inside-the-worlds-largest-3d-printed-housing-development.html,2025-03-12T18:26:48+0000,"In this articleJust outside Austin, in Georgetown, Texas, brand new planned communities sprawl out as far as the eye can see, which is pretty far in this part of the country. But one small subdivision instantly draws focus. Just completed, it is now the world's largest 3D-printed community.Two years ago, Lennar, the nation's second-largest homebuilder, partnered with Icon, a 3D technology company, to print 100 homes in the Wolf Ranch development. The companies say about 75% of them have already sold.All the walls have rounded edges, as that's how the printers navigate with the concrete. The layering process makes it feel like hard, wide-wale corduroy. The roofing is the only part of the structures not 3D-printed, and, in this community, is made of metal. Each home is solar-powered.""We have a durable product here that if you look at its wind resistance for hurricanes, its fire resistance for fire-worn areas — the ability to adapt modern product to what we need for the future in housing and building a healthier housing market is amazing,"" said Stuart Miller, chairman and co-CEO of Lennar.Icon started the project at Wolf Ranch in 2022, using two 40-foot robotic printers. By the second year, the company was using 11 machines, cutting print time in half and squeezing out two homes per week. Each printer does the job of more than a dozen construction workers. The systems operated 24 hours a day.""All the learnings about this technology need to happen at scale,"" said Jason Ballard, CEO of Icon. ""The truth is in the field, not in the lab.""Ballard said his team had to work out large-scale logistics with Lennar's teams, everything from laying foundations to printing walls, installing interior systems and adding roofing.""Figuring out how to integrate with Lennar's operations, who are probably the best scale builders in the world, was a real growing up moment for our company,"" Ballard said.The homes have all the amenities of a conventionally built Lennar community. They come in 2- and 3-bedroom models and start at just under $400,000.Holly Feekings and her husband, both retired, moved into their 3D-printed home about a year ago. She said the best part of living in the printed home is her electric bill — just $26 last month. Concrete retains its temperature, heat or cold air, better than her previous standard colonial, Feekings said. She also likes the home's durability.""I feel safer in this house than any house I've ever lived in, because it's so well built, it's not going to burn down,"" said Feekings.Around the corner, Pierre Megie and his girlfriend were drawn in by the look and feel of the home.""We wanted tall doors, taller ceilings, cement floors, somehow, and this home had everything. Really just a combination of energy efficiency, the practicality, the price point, and then the aesthetics,"" said Megie.The community was an experiment for Lennar. The cost to stand it up, according to Miller and Ballard, was slightly higher than anticipated as they worked through the kinks.Miller said Lennar is now planning its second 3D-printed community in Texas with Icon, roughly 200 homes, which will cost even less to build, given what the companies learned in Georgetown. The next community will have larger homes, and Ballard expects them to go up even faster, and cheaper.""We've seen our costs go down by half. We've seen our cycle time go down by half. This is significant improvement in evolving a housing market that has the ability to change over time and being more adaptable and more functional in providing affordable and attainable housing for a broader swath of the market,"" said Miller.As for the rising risk of tariffs between U.S. and trade partners, Ballard said all of the concrete his company uses is sourced stateside.",CNBC,12/03/2025,"['In this articleJust outside Austin, in Georgetown, Texas, brand new planned communities sprawl out as far as the eye can see, which is pretty far in this part of the country.', 'But one small subdivision instantly draws focus.', ""Just completed, it is now the world's largest 3D-printed community."", ""Two years ago, Lennar, the nation's second-largest homebuilder, partnered with Icon, a 3D technology company, to print 100 homes in the Wolf Ranch development."", 'The companies say about 75% of them have already sold.', ""All the walls have rounded edges, as that's how the printers navigate with the concrete."", 'The layering process makes it feel like hard, wide-wale corduroy.', 'The roofing is the only part of the structures not 3D-printed, and, in this community, is made of metal.', 'Each home is solar-powered.', '""We have a durable product here that if you look at its wind resistance for hurricanes, its fire resistance for fire-worn areas — the ability to adapt modern product to what we need for the future in housing and building a healthier housing market is amazing,"" said Stuart Miller, chairman and co-CEO of Lennar.', 'Icon started the project at Wolf Ranch in 2022, using two 40-foot robotic printers.', 'By the second year, the company was using 11 machines, cutting print time in half and squeezing out two homes per week.', 'Each printer does the job of more than a dozen construction workers.', 'The systems operated 24 hours a day.', '""All the learnings about this technology need to happen at scale,"" said Jason Ballard, CEO of Icon. ""', 'The truth is in the field, not in the lab.', '""Ballard said his team had to work out large-scale logistics with Lennar\'s teams, everything from laying foundations to printing walls, installing interior systems and adding roofing.', '""Figuring out how to integrate with Lennar\'s operations, who are probably the best scale builders in the world, was a real growing up moment for our company,"" Ballard said.', 'The homes have all the amenities of a conventionally built Lennar community.', 'They come in 2- and 3-bedroom models and start at just under $400,000.Holly Feekings and her husband, both retired, moved into their 3D-printed home about a year ago.', 'She said the best part of living in the printed home is her electric bill — just $26 last month.', 'Concrete retains its temperature, heat or cold air, better than her previous standard colonial, Feekings said.', ""She also likes the home's durability."", '""I feel safer in this house than any house I\'ve ever lived in, because it\'s so well built, it\'s not going to burn down,"" said Feekings.', 'Around the corner, Pierre Megie and his girlfriend were drawn in by the look and feel of the home.', '""We wanted tall doors, taller ceilings, cement floors, somehow, and this home had everything.', 'Really just a combination of energy efficiency, the practicality, the price point, and then the aesthetics,"" said Megie.', 'The community was an experiment for Lennar.', 'The cost to stand it up, according to Miller and Ballard, was slightly higher than anticipated as they worked through the kinks.', 'Miller said Lennar is now planning its second 3D-printed community in Texas with Icon,roughly 200 homes, which will cost even less to build, given what the companies learned in Georgetown.', 'The next community will have larger homes, and Ballard expects them to go up even faster, and cheaper.', '""We\'ve seen our costs go down by half.', ""We've seen our cycle time go down by half."", 'This is significant improvement in evolving a housing market that has the ability to change over time and being more adaptable and more functional in providing affordable and attainable housing for a broader swath of the market,"" said Miller.', 'As for the rising risk of tariffs between U.S. and trade partners, Ballard said all of the concrete his company uses is sourced stateside.']",0.1382498367404432,"This is significant improvement in evolving a housing market that has the ability to change over time and being more adaptable and more functional in providing affordable and attainable housing for a broader swath of the market,"" said Miller.","As for the rising risk of tariffs between U.S. and trade partners, Ballard said all of the concrete his company uses is sourced stateside.",0.7973626255989075,"The cost to stand it up, according to Miller and Ballard, was slightly higher than anticipated as they worked through the kinks.",We've seen our cycle time go down by half.,2025-03-17
-Sen. Blumenthal asks Visa for records of its payments deal with Elon Musk’s X,https://www.cnbc.com/2025/03/07/blumenthal-asks-visa-for-details-on-elon-musk-x-payments-deal.html,2025-03-07T17:52:46+0000,"In this articleSen. Richard Blumenthal this week pressed Visa for detailed plans and documents related to its deal to provide payments services to Elon Musk's social media site, X, as it prepares to launch a digital wallet.Blumenthal, a Democrat from Connecticut and the ranking member of the Senate's Permanent Subcommittee on Investigations, pointed to Musk's role in hobbling the Consumer Financial Protection Bureau — the consumer watchdog that would be a key regulator of the X Money service — as among the reasons for the information request, according to a March 6 letter obtained by CNBC.""Given the unique position of X Chairman and Chief Technology Officer Elon Musk as leader of the Department of Government Efficiency and his recent role in gutting the Consumer Financial Protection Bureau … Visa stands to take advantage of the deep conflicts of interest and unscrupulous conduct of its new business partner,"" Blumenthal wrote.The Senate request is one of the first signs of scrutiny on Visa, which runs the world's largest credit card network, after a late January announcement that it had agreed to power peer-to-peer payments on X. Days after the deal was disclosed, operatives from Musk's Department of Government Efficiency gained access to CFPB data systems, leading to accusations that Musk wanted to kneecap a future regulator and that he could steal trade secrets of competitors to his nascent X Money service.The letter, addressed to Visa CEO Ryan McInerney, also cast doubts about whether a social media network known for ""bots, scams and hate speech"" would be able to prevent scams and fraud from proliferating on the site. Musk purchased the site in 2022, when it was known as Twitter.""These concerns raise questions about X's ability to protect consumers from fraud and scams as it ventures into the financial sector,"" Blumenthal wrote.""As the largest payment processor in the world, Visa has a legal responsibility to ensure its network is free of financial crime such as scams and fraud, money-laundering, terrorist financing, and more,"" he said.Blumenthal asked for a detailed description of Visa's plans to enable payments on X, including the business model of the service and Visa's role in compliance with regulatory requirements around money laundering and illicit remittances.He also pressed Visa for ""all records"" related to the deal and communications between X, Visa, DOGE and CFPB personnel.""We are currently reviewing the letter and will respond appropriately,"" a Visa spokesman said in a statement.A representative for X didn't immediately have comment.",CNBC,07/03/2025,"['In this articleSen.', ""Richard Blumenthal this week pressed Visa for detailed plans and documents related to its deal to provide payments services to Elon Musk's social media site, X, as it prepares to launch a digital wallet."", 'Blumenthal, a Democrat from Connecticut and the ranking member of the Senate\'s Permanent Subcommittee on Investigations, pointed to Musk\'s role in hobbling the Consumer Financial Protection Bureau — the consumer watchdog that would be a key regulator of the X Money service — as among the reasons for the information request, according to a March 6 letter obtained by CNBC.""Given the unique position of X Chairman and Chief Technology Officer Elon Musk as leader of the Department of Government Efficiency and his recent role in gutting the Consumer Financial Protection Bureau … Visa stands to take advantage of the deep conflicts of interest and unscrupulous conduct of its new business partner,"" Blumenthal wrote.', ""The Senate request is one of the first signs of scrutiny on Visa, which runs the world's largest credit card network, after a late January announcement that it had agreed to power peer-to-peer payments on X. Days after the deal was disclosed, operatives from Musk's Department of Government Efficiency gained access to CFPB data systems, leading to accusations that Musk wanted to kneecap a future regulator and that he could steal trade secrets of competitors to his nascent X Money service."", 'The letter, addressed to Visa CEO Ryan McInerney, also cast doubts about whether a social media network known for ""bots, scams and hate speech"" would be able to prevent scams and fraud from proliferating on the site.', 'Musk purchased the site in 2022, when it was known as Twitter.', '""These concerns raise questions about X\'s ability to protect consumers from fraud and scams as it ventures into the financial sector,"" Blumenthal wrote.', '""As the largest payment processor in the world, Visa has a legal responsibility to ensure its network is free of financial crime such as scams and fraud, money-laundering, terrorist financing, and more,"" he said.', ""Blumenthal asked for a detailed description of Visa's plans to enable payments on X, including the business model of the service and Visa's role in compliance with regulatory requirements around money laundering and illicit remittances."", 'He also pressed Visa for ""all records"" related to the deal and communications between X, Visa, DOGE and CFPB personnel.', '""We are currently reviewing the letter and will respond appropriately,"" a Visa spokesman said in a statement.', ""A representative for X didn't immediately have comment.""]",-0.1084182607990205,"Blumenthal, a Democrat from Connecticut and the ranking member of the Senate's Permanent Subcommittee on Investigations, pointed to Musk's role in hobbling the Consumer Financial Protection Bureau — the consumer watchdog that would be a key regulator of the X Money service — as among the reasons for the information request, according to a March 6 letter obtained by CNBC.""Given the unique position of X Chairman and Chief Technology Officer Elon Musk as leader of the Department of Government Efficiency and his recent role in gutting the Consumer Financial Protection Bureau … Visa stands to take advantage of the deep conflicts of interest and unscrupulous conduct of its new business partner,"" Blumenthal wrote.","The letter, addressed to Visa CEO Ryan McInerney, also cast doubts about whether a social media network known for ""bots, scams and hate speech"" would be able to prevent scams and fraud from proliferating on the site.",-0.3826399644215901,"The Senate request is one of the first signs of scrutiny on Visa, which runs the world's largest credit card network, after a late January announcement that it had agreed to power peer-to-peer payments on X. Days after the deal was disclosed, operatives from Musk's Department of Government Efficiency gained access to CFPB data systems, leading to accusations that Musk wanted to kneecap a future regulator and that he could steal trade secrets of competitors to his nascent X Money service.","The letter, addressed to Visa CEO Ryan McInerney, also cast doubts about whether a social media network known for ""bots, scams and hate speech"" would be able to prevent scams and fraud from proliferating on the site.",2025-03-17
-"U.S. consumers are starting to crack as tariffs add to inflation, recession concerns",https://www.cnbc.com/2025/03/14/delta-walmart-warn-about-consumer-spending-amid-tariffs-inflation.html,2025-03-15T11:18:46+0000,"It's not just Walmart.The leaders of companies that serve everyone from penny-pinching grocery shoppers to first-class travelers are seeing cracks in demand, a shift after resilient consumers propped up the U.S. economy for years despite prolonged inflation. On top of high interest rates and persistent inflation, CEOs are now grappling with how to handle new hurdles like on-again, off-again tariffs, mass government layoffs and worsening consumer sentiment.Across earnings calls and investor presentations in recent weeks, retailers and other consumer-facing businesses warned that first-quarter sales were coming in softer than expected and the rest of the year might be tougher than Wall Street thought. Many of the executives blamed unseasonably cool weather and a ""dynamic"" macroeconomic environment, but the early days of President Donald Trump's second term have brought new challenges — perhaps none greater than trying to plan a global business at a time when his administration shifts its trade policies by the hour.Economists largely expect Trump's new tariffs on goods from China, Canada and Mexico will raise prices for consumers and dampen spending at a time when inflation remains higher than the Federal Reserve's target. In February, consumer confidence — which can help to signal how much shoppers are willing to shell out — saw the biggest drop since 2021. A separate consumer sentiment measure for March also came in worse than expected.Another sign of weakness has been in air travel. The sector, especially large international airlines, had been a bright spot following the pandemic, with consumers proving again and again that they wouldn't give up trips even in the face of the biggest jump inflation in more than four decades. This week, however, the CEOs of the four largest U.S. airlines — United, American, Delta and Southwest — said they are seeing a slowdown in demand this quarter. American, Delta and Southwest cut their first-quarter forecasts.Plus, the strong U.S. job market of recent years is showing early signs of stress as job growth slows and unemployment ticks up.These trends have thrown cold water on what was a red-hot stock market and sparked new fears about a potential recession, sending the S&P 500 tumbling 10% from its record highs in February, though it had recovered significant ground by Friday afternoon.Now, as investors and executives grow more worried about the impact tariffs will have on consumer spending and fret about an administration they had high hopes for just a few months ago, even the strongest companies are striking cautious tones as the weaker ones get even louder. Take Walmart, the retail industry's de facto leader, which has spent the last year turning an uncertain economy into fuel for growth as it courted higher-income consumers. When Walmart announced fiscal fourth-quarter earnings last month, its stock fell after it warned that profit growth would be slower than expected in the year ahead. It was a rare warning sign from a company that tends to thrive in a weaker economy, and an indication that it's expecting consumers to pull back from higher-margin discretionary goods in favor of essentials like milk and paper towels in the year ahead. ""We don't want to get out over our skis here. There's a lot of the year to play out,"" Walmart's finance chief, John David Rainey, told analysts when discussing the company's outlook. ""It's prudent to have an outlook that is somewhat measured.""Ed Bastian, chief executive of Delta Air Lines – the most profitable U.S. carrier that has reaped the rewards of big spenders in recent years – struck a similar tone after it slashed its earnings and revenue forecast for the first quarter. In an interview Monday on CNBC's ""Closing Bell,"" Bastian said that consumer confidence has weakened and that both leisure and business customers have pulled back on bookings, which led it to cut its guidance.""Consumers in a discretionary business do not like uncertainty,"" said Bastian. ""And while we do believe this will be a period of time that we pass through, it is also something that we need to understand and get to calmer waters.""To be sure, it wasn't just fewer people booking trips that led the airline to cut its first-quarter forecast. Questions about air safety compounded the problem after two major airline accidents, including Delta's own crash landing in Toronto, in which no one died.Beyond Delta, rival United said it will retire 21 aircraft early, a move that aims to cut costs.""We have also seen weakness in the demand market,"" United CEO Scott Kirby said at Tuesday's JPMorgan airline industry conference. ""It started with government. Government is 2% of our business. Government adjacent, all the other consultants and contracts that go along with that are probably another 2% to 3%. That's running down about 50% right now. So a pretty material impact in the short term.""The airline has seen some of that dynamic ""bleed over"" into the domestic leisure market, as well, Kirby added. He said the company is already looking at where it will cut flights, eyeing a big drop in traffic from Canada into the U.S. and in markets that were popular with government workers.American Airlines cut its first-quarter earnings forecast and said in addition to demand pressures, bookings were hurt after a deadly midair collision of an Army helicopter with one of its regional jets in Washington, D.C., in January.The company also felt the pullback in government travel and associated trips like those for contractors.""We know that there's some follow-on effect in terms of leisure travel associated with that as well,"" said CEO Robert Isom.Airline executives were upbeat about longer-term demand in 2025, however.Other strong companies, such as Dick's Sporting Goods, E.l.f. Beauty and Abercrombie & Fitch, also issued weak forecasts in recent weeks, though they indicated they were feeling positive about the second half of the year. ""I do think it's just a bit of an uncertain world out there right now,"" Ed Stack, chairman of Dick's Sporting Goods, told CNBC when asked about the company's guidance. ""What's going to happen from a tariff standpoint? You know, if tariffs are put in place and prices rise the way that they might, what's going to happen with the consumer?""Over the last year, companies like United, Walmart and Abercrombie have managed to outperform the S&P 500, even as shoppers reduced discretionary spending, so this change in commentary marks a major shift. It's a warning sign that shoppers could be starting to crack, and that even excellent execution is no match for tariff-induced price increases after four years of historic inflation. Meanwhile, the companies that have already spent the last year calling out uncertain consumer dynamics are sounding even more worried.""Our customers continue to report that their financial situation has worsened over the last year, as they have been negatively impacted by ongoing inflation. Many of our customers report they only have enough money for basic essentials, with some noting that they have had to sacrifice even on the necessities,"" the CEO of Dollar General, Todd Vasos, said on the company's fourth-quarter earnings call Thursday, adding customers are expecting value and convenience ""more than ever."" The worsening consumer outlook has compounded the company's own internal challenges.""As we enter 2025,"" Vasos continued. ""We are not anticipating improvement in the macro environment, particularly for our core customer.""Elsewhere in the retail industry, American Eagle on Tuesday warned that cold weather led to a slower-than-expected start to the first quarter, but said it wasn't just temperatures. The apparel retailer specifically called out ""less robust demand"" and said it's taking steps to reduce expenses and manage inventory as it braces for what's still to come. ""[Consumers] have the fear of the unknown. Not just tariffs, not just inflation, we see the government cutting people off. They don't know how that's going to affect them. They see programs being cut, they don't know how that's going to affect them,"" said CEO Jay Schottenstein. ""And when people don't know what they don't know – they get very conservative … it makes everyone a little nervous.""",CNBC,15/03/2025,"[""It's not just Walmart."", 'The leaders of companies that serve everyone from penny-pinching grocery shoppers to first-class travelers are seeing cracks in demand, a shift after resilient consumers propped up the U.S. economy for years despite prolonged inflation.', 'On top of high interest rates and persistent inflation, CEOs are now grappling with how to handle new hurdles like on-again, off-again tariffs, mass government layoffs and worsening consumer sentiment.', 'Across earnings calls and investor presentations in recent weeks, retailers and other consumer-facing businesses warned that first-quarter sales were coming in softer than expected and the rest of the year might be tougher than Wall Street thought.', 'Many of the executives blamed unseasonably cool weather and a ""dynamic"" macroeconomic environment, but the early days of President Donald Trump\'s second term have brought new challenges — perhaps none greater than trying to plan a global business at a time when his administration shifts its trade policies by the hour.', ""Economists largely expect Trump's new tariffs on goods from China, Canada and Mexico will raise prices for consumers and dampen spending at a time when inflation remains higher than the Federal Reserve's target."", 'In February, consumer confidence — which can help to signal how much shoppers are willing to shell out — saw the biggest drop since 2021.', 'A separate consumer sentiment measure for March also came in worse than expected.', 'Another sign of weakness has been in air travel.', ""The sector, especially large international airlines, had been a bright spot following the pandemic, with consumers proving again and again that they wouldn't give up trips even in the face of the biggest jump inflation in more than four decades."", 'This week, however, the CEOs of the four largest U.S. airlines — United, American, Delta and Southwest — said they are seeing a slowdown in demand this quarter.', 'American, Delta and Southwest cut their first-quarter forecasts.', 'Plus, the strong U.S. job market of recent years is showing early signs of stress as job growth slows and unemployment ticks up.', 'These trends have thrown cold water on what was a red-hot stock market and sparked new fears about a potential recession, sending the S&P 500 tumbling 10% from its record highs in February, though it had recovered significant ground by Friday afternoon.', 'Now, as investors and executives grow more worried about the impact tariffs will have on consumer spending and fret about an administration they had high hopes for just a few months ago, even the strongest companies are striking cautious tones as the weaker ones get even louder.', ""Take Walmart, the retail industry's de facto leader, which has spent the last year turning an uncertain economy into fuel for growth as it courted higher-income consumers."", 'When Walmart announced fiscal fourth-quarter earnings last month, its stock fell after it warned that profit growth would be slower than expected in the year ahead.', ""It was a rare warning sign from a company that tends to thrive in a weaker economy, and an indication that it's expecting consumers to pull back from higher-margin discretionary goods in favor of essentials like milk and paper towels in the year ahead."", '""We don\'t want to get out over ourskishere.', 'There\'s a lot of the year to play out,"" Walmart\'s finance chief, John David Rainey, told analysts when discussing the company\'s outlook. ""', ""It'sprudentto have an outlook that is somewhat measured."", '""Ed Bastian, chief executive of Delta Air Lines – the most profitable U.S. carrier that has reaped the rewards of big spenders in recent years – struck a similar tone after it slashed its earnings and revenue forecast for the first quarter.', 'In an interview Monday on CNBC\'s ""Closing Bell,"" Bastian said that consumer confidence has weakened and that both leisure and business customers have pulled back on bookings, which led it to cut its guidance.', '""Consumers in a discretionary business do not like uncertainty,"" said Bastian. ""', 'And while we do believe this will be a period of time that we pass through, it is also something that we need to understand and get to calmer waters.', '""To be sure, it wasn\'t just fewer people booking trips that led the airline to cut its first-quarter forecast.', ""Questions about air safety compounded the problem after two major airline accidents, including Delta's own crash landing in Toronto, in which no one died."", 'Beyond Delta, rival United said it will retire 21 aircraft early, a move that aims to cut costs.', '""We have also seen weakness in the demand market,"" United CEO Scott Kirby saidat Tuesday\'s JPMorgan airline industry conference. ""', 'It started with government.', 'Government is 2% of our business.', 'Government adjacent, all the other consultants and contracts that go along with that are probably another 2% to 3%.', ""That's running down about 50% right now."", 'So a pretty material impact in the short term.', '""The airline has seen some of that dynamic ""bleed over"" into the domestic leisure market, as well, Kirby added.', 'He said the company is already looking at where it will cut flights, eyeing a big drop in traffic from Canada into the U.S. and in markets that were popular with government workers.', 'American Airlines cut its first-quarter earnings forecast and said in addition to demand pressures, bookings were hurt after a deadly midair collision of an Army helicopter with one of its regional jets in Washington, D.C., in January.', 'The company also felt the pullback in government travel and associated trips like those for contractors.', '""We know that there\'s some follow-on effect in terms of leisure travel associated with that as well,"" said CEO Robert Isom.', 'Airline executives were upbeat about longer-term demand in 2025, however.', ""Other strong companies, such as Dick's Sporting Goods, E.l.f."", 'Beauty and Abercrombie & Fitch, also issued weak forecasts in recent weeks, though they indicated they were feeling positive about the second half of the year.', '""I do think it\'s just a bit of an uncertain world out there right now,"" Ed Stack, chairman of Dick\'s Sporting Goods, told CNBC when asked about the company\'s guidance. ""', ""What's going to happen from a tariff standpoint?"", 'You know, if tariffs are put in place and prices rise the way that they might, what\'s going to happen with the consumer?""Over the last year, companies like United, Walmart and Abercrombie have managed to outperform the S&P 500, even as shoppers reduced discretionary spending, so this change in commentary marks a major shift.', ""It's a warning sign that shoppers could be starting to crack, and that even excellent execution is no match for tariff-induced price increases after four years of historic inflation."", 'Meanwhile, the companies that have already spent the last year calling out uncertain consumer dynamics are sounding even more worried.', '""Our customers continue to report that their financial situation has worsened over the last year, as they have been negatively impacted by ongoing inflation.', 'Many of our customers report they only have enough money for basic essentials, with some noting that they have had to sacrifice even on the necessities,"" the CEO of Dollar General, Todd Vasos, said on the company\'s fourth-quarter earnings call Thursday, adding customers are expecting value and convenience ""more than ever.', '""The worsening consumer outlook has compounded the company\'s own internal challenges.', '""As we enter 2025,"" Vasos continued. ""', 'We are not anticipating improvement in the macro environment, particularly for our core customer.', '""Elsewhere in the retail industry, American Eagle on Tuesday warned that cold weather led to a slower-than-expected start to the first quarter, but said it wasn\'t just temperatures.', 'The apparel retailer specifically called out ""less robust demand"" and said it\'s taking steps to reduce expenses and manage inventory as it braces for what\'s still to come.', '""[Consumers] have the fear of the unknown.', 'Not just tariffs, not just inflation, we see the government cutting people off.', ""They don't know how that's going to affect them."", 'They see programs being cut, they don\'t know how that\'s going to affect them,"" said CEO Jay Schottenstein. ""', 'And when people don\'t know what they don\'t know – they get very conservative … it makes everyone a little nervous.""']",-0.002404490490382,"Beauty and Abercrombie & Fitch, also issued weak forecasts in recent weeks, though they indicated they were feeling positive about the second half of the year.","Questions about air safety compounded the problem after two major airline accidents, including Delta's own crash landing in Toronto, in which no one died.",-0.437673362188561,"You know, if tariffs are put in place and prices rise the way that they might, what's going to happen with the consumer?""Over the last year, companies like United, Walmart and Abercrombie have managed to outperform the S&P 500, even as shoppers reduced discretionary spending, so this change in commentary marks a major shift.","Across earnings calls and investor presentations in recent weeks, retailers and other consumer-facing businesses warned that first-quarter sales were coming in softer than expected and the rest of the year might be tougher than Wall Street thought.",2025-03-17