“Big Four” U.S. airlines will go down to three 4 Jan 2021 Stricken travel is worsening carriers’ positions. They’ve already slimmed staff, and restructuring is next. But U.S. taxpayers are invested in them succeeding, and have already benefitted from a long descent in ticket prices. A merger stamped by the government is on the horizon.
Viewsroom: Predictions and prescriptions (Part 1) 23 Dec 2020 Governments will become activist investors; U.S. airlines will merge; data centres will be the new ESG target; energy giants to consider renewable spinoffs; Tesla will buy Daimler; European soccer gets more American and more. Rob Cox, Peter Thal Larsen and Lauren Silva weigh in.
China Inc will recycle used white guys 21 Dec 2020 American firms are pushing to make rosters more inclusive. That, plus downsizing, will shove skilled – if Caucasian – older male managers and experts into the job market. Chinese firms seeking IP and insight into U.S. markets will scoop them up. It could work better than M&A.
U.S. airlines need rules as well as rescues 17 Dec 2020 They could get another $17 billion if Congress approves a new relief bill. Since American Airlines and its peers merit taxpayer rescues, bailouts ought to come with tighter strings. That could mean limits on debt, or ensuring they have enough cash to remain aloft for longer.
Corona Capital: Private jet deal 17 Dec 2020 Concise views on the pandemic’s corporate and financial fallout: Blackstone bets that plutocrats will be back in the air before the rest of us.
Corona Capital: Gaming M&A, Beauty’s bold face 9 Dec 2020 Concise views on the pandemic’s corporate and financial fallout: Consolidation in video games reaches the next level as Sweden’s MTG buys Hutch Games for $375 million; and Spanish cosmetics, fashion and perfume group Puig predicts revenue will double by 2023.
Corona Capital: Chevron, Boeing, OPEC, Orange 3 Dec 2020 Concise views on the pandemic’s corporate and financial fallout: Chevron cuts spending, prudently; Boeing orders are a solid step; OPEC makes up its mind; and Orange’s Belgian deal has some juice.
Tui’s third bailout puts German taxpayers in shade 3 Dec 2020 Europe’s largest tour operator has secured a state-backed 1.8 bln euro rescue to ensure it survives until 2021. Shareholders face dilution but creditors get bailed out. By taking non-voting stock and capping any future stake, the government misses out on the benefits of recovery.
Corona Capital: Skis, Italian banks, Dividends 26 Nov 2020 Concise views on the pandemic’s corporate and financial fallout: Europe’s hopes for a common ski policy hit a mogul; Italian lender Credito Valtellinese faces a lonely bidding war; Aviva’s payout cut is less stingy than it looks.
Corona Capital: Cash stockpiles, Empty real estate 23 Nov 2020 Concise views on the pandemic’s corporate and financial fallout: U.S. companies hoard money; retailer rout causes real estate double whammy.
Corona Capital: U.S. airlines 20 Nov 2020 Concise views on the pandemic’s corporate and financial fallout: The CDC issued a warning to Americans not to travel over the upcoming Thanksgiving holiday as Covid-19 cases surge. Airlines, once again, are going hat-in-hand to Washington.
Boeing’s next big hurdles are out of its control 18 Nov 2020 The aircraft maker got a lift after regulators approved returning its 737 MAX planes to the skies. While an important step for CEO David Calhoun’s turnaround, a pandemically challenged travel industry awaits. Further delivery delays will exacerbate Boeing’s worrisome cash burn.
Corona Capital: Vaccine storage 16 Nov 2020 Concise views on the pandemic’s corporate and financial fallout: Warehouse centers get another boost with Moderna’s vaccine prospects.
Tui makes cheeky last grab for German largesse 11 Nov 2020 Europe’s largest tour operator may get another 1.8 bln euros of funds from Berlin. That would allow CEO Friedrich Joussen to survive the winter and delay a dilutive equity issue. Still, with Covid-19 vaccines emerging and markets buoyant, the case for more bailouts looks weak.
Corona Capital: Salvatore Ferragamo 10 Nov 2020 Concise views on the pandemic’s corporate and financial fallout: Faded heels-and-loafers brand Salvatore Ferragamo could benefit from a coronavirus vaccine-induced return to airport shopping, but the Florentine fashion house would still need a makeover.
Corona Capital: Warren Buffett, Burger boost 9 Nov 2020 Concise views on the pandemic’s corporate and financial fallout: Rising share prices take the sting out of Berkshire Hathaway’s Covid-19 profit hit; and McDonald’s reports a good quarter for American nugget-lovers.
Italy’s oldest bank risks becoming a new Alitalia 5 Nov 2020 Banca Monte dei Paschi di Siena needs another bailout. A government rescue would cost around 2 bln euros. Winding it down and selling the rump to a rival like UniCredit would be politically toxic. Like Rome’s loss-making airline, it is turning into a lasting burden on taxpayers.
Corona Capital: GM earnings, Third-quarter readout 5 Nov 2020 Concise views on the pandemic’s corporate and financial fallout: General Motors swerves around Covid-19 potholes; and U.S. companies look to have emerged from a difficult three months in better shape than expected.
Corona Capital: Friendly’s and Dunkin’ Donuts 2 Nov 2020 Concise views on the pandemic’s corporate and financial fallout: Two Massachusetts casual-dining chains change hands, one in bankruptcy. Friendly's found Covid-19 even more unfriendly than did Dunkin' Brands.
Corona Capital: Netflix price hike 30 Oct 2020 Concise views on the pandemic’s corporate and financial fallout: The streaming-video service hiked the price on subscriptions as binge-watching booms during the pandemic.