No-deal Brexit? That’s no problem, at least for Britain’s wealthiest people. Their bigger fear is leftist firebrand Jeremy Corbyn.
For more than a year, some of the most affluent have prepared for a hard separation from the European Union, making clear they can take a chaotic Brexit in their stride. But the prospect of a Labour victory is turning out to be the more worrisome development. Read the rest of this entry »
Kaput. Fini. Terminado. 完. законченный. Done. Over. No more.
Dan Harris writes: Not sure why nobody has just come out and said this yet, but Hong Kong as an international business and financial center is no more. I take no comfort in saying this because I have many friends in Hong Kong and I’ve always loved going there, but Hong Kong’s special position is over. Kaput. Fini. Terminado. 完. законченный. Done. Over. No more.
I challenge you to say “one country two systems” with a straight face.
For the last few months I have been relentlessly asking everyone I know in Hong Kong or who used to be in Hong Kong or who at one time contemplated setting up a business in Hong Kong how what has been happening in Hong Kong has and will or would impact their doing business in Hong Kong. Based on those responses and on my own experience with how international companies operate, I foresee the following:
- Companies that were deciding between Hong Kong or Singapore for their Asian headquarters will choose somewhere other than Hong Kong.
- Growing companies with offices in Hong Kong and with offices somewhere else in Asia will increase their hiring outside Hong Kong and decrease or eliminate their hiring in Hong Kong.
- Companies with offices in Hong Kong and with offices somewhere else in Asia will be move personnel from their Hong Kong office to their other offices.
- Fewer contracts will be drafted with Hong Kong as the venue for arbitration.
- Companies will move their Hong Kong bank accounts elsewhere. It is no coincidence HSBC stock hit its 52 week low today.
- Travelers will choose somewhere other than Hong Kong as their Asia stopover. It is no coincidence Cathay Pacific stock hit its 52 week low today.
- Many Hong Kongers will eventually go elsewhere.
- Shares of The New York Times Company plunged as much as 20% on Wednesday after the publisher said it expects total advertising revenue to fall next quarter.
- The newspaper publisher reported second quarter results on Wednesday that beat expectations for earnings per share but fell short of revenue estimates.
- The New York Times also said it added 197,000 new digital-only subscribers during the period, bringing the publication’s total subscriber base to 4.7 million.
- Watch The New York Times Company trade live.
The New York Time Company saw its stock tumble as much as 20% on Wednesday after the newspaper publisher said it expects advertising revenue to shrink by high-single digits in the third quarter.
The publisher reported second quarter financial results on Wednesday. Here are the key numbers:
- Revenue: $436.25 million, compared to $439.25 million estimated by analysts
- Earnings per share: $0.17, compared to $0.15 estimated by analysts
- Operating profit: $37.9 million, down from $40 million last year
The company said it expects total ad revenue to decline in the high-single digits Read the rest of this entry »
Data suggest more opportunities are available to some groups that historically struggled to find jobs.
>Andrew Duehren reports: The unemployment rate among young Americans fell to its lowest level in more than 50 years this summer, though the share of young people looking for work remained well below its peak in 1989.
Of Americans between 16 and 24 years old actively looking for work this summer, 9.2% were unemployed in July, the Labor Department said Thursday, a drop from the 9.6% youth unemployment rate in July 2017. It was the lowest midsummer joblessness rate for youth since July 1966.
One of those finding work was Teandre Blincoe, 17, who placed in a job this summer in an information technology division at Humana, a health insurance company based in Louisville, Ky., by KentuckianaWorks, which has partnered with JPMorgan Chase & Co. to place low-income youth in summer jobs.
With his first job under his belt, Mr. Blincoe said he would feel more confident looking for employment in the future. “I have a really solid idea of how I can present myself and actually get a job.”
Low unemployment among young people shows that in a tight labor market more opportunities are opening to groups that historically have struggled to find jobs. Read the rest of this entry »
Elon Musk’s SpaceX Will Be the Third Most Valuable Private Company in the Country After a $500 Million Fundraising RoundPosted: April 15, 2018
Elon told you so.
SpaceX filed paperwork in Delaware to raise an additional $500 million in capital, according to Equidate, a stock market for private technology companies that tracks such filings. Once the fundraising round is completed, the company’s value will have increased by approximately 25% in the last nine months, according to Equidate COO Hari Raghavan. It has more than doubled since 2015.
It’s not clear yet which investors will provide the cash, but the company has preferred to retain old investors than add new ones. Fidelity is rumored to be leading the round, and Musk is supposedly set to put up more equity in the company he founded out of his own pocket in 2002.
SpaceX confirmed the fundraising round, but did not share any details about how the capital will be used. Read the rest of this entry »
Source: New York Post
‘Woke Barbie’ Torches Mattel Profits, Company Anticipates ‘Margin Deterioration’ During Disappointing Christmas HolidayPosted: December 13, 2017
Chloe Aiello reports: Mattel anticipates “gross margin deterioration,” during what is typically the biggest shopping season of the year.
Struggling to stay afloat, Mattel released updated full year and fourth quarter guidance, anticipating a disappointing holiday season. The toy maker predicts “gross margin deterioration,” during what is typically the biggest shopping season of the year.
“The unfavorable year-over-year gross margin experienced during the first nine months of 2017 is expected to continue throughout the fourth quarter of 2017, as a result of unfavorable product mix, higher freight and logistics expense, and lower fixed cost absorption,” the company said in a filing with the Securities and Exchange Commission. “In addition, continued negative trends in top line performance for the balance of the year could result in additional gross margin deterioration as a result of higher inventory write-downs and discounts offered to clear inventory.”
Mattel said it expects its fourth quarter operating income margin to be significantly lower year-over-year, and anticipates 2017 full-year gross sales will decline by the mid-to-high single digits compared to 2016.
The revised guidance hints at worsening conditions within Mattel, which has watched its margins suffer for years from cheaper imports, competition from big box retailers and the impact of technology on toys.
“Based on preliminary quarter-to-date data for the fourth quarter, Mattel currently anticipates its gross sales during the fourth quarter of 2017 will continue to be negatively impacted by key retail partners moving toward tighter inventory management and by challenges in the Toy Box and certain under performing brands,” Mattel said in the filing. Read the rest of this entry »