Tribune News Service
Business Budget for Friday, January 10, 2020
Updated at 9 p.m. EST (0200 UTC)
Adds BOEING-CONGRESS:SE, BOEING-FAA-FINE:BLO
This budget is now available at www.TribuneNewsService.com, with direct links to stories and art. See details at the end of the budget.
^Electric cars will challenge state power grids<
^AUTO-EV-GRID:SH—<Seattle aims to have nearly a third of its residents driving electric vehicles by 2030. Washington state is No. 3 in the nation in per-capita adoption of plug-in cars, behind California and Hawaii. But as Washington and other states urge their residents to buy electric vehicles — a crucial component of efforts to reduce carbon emissions — they also need to make sure the electric grid can handle it.
The average electric vehicle requires 30 kilowatt-hours to travel 100 miles — the same amount of electricity an average American home uses each day to run appliances, computers, lights and heating and air conditioning.
1600 by Alex Brown in Seattle. MOVED
^Boeing apologizes as internal memos reveal how workers spoke of deceiving regulators, airlines<
^BOEING-INTERNAL-DOCUMENTS:SE—<Boeing released more than 100 pages of documents to Congress on Thursday detailing internal messages that reveal how, during certification of the 737 Max, company employees spoke of deceiving international air safety regulators and Boeing's airline customers, and successfully fought off moves over several years to require anything but minimal pilot training for the new airplane.
The documents also confirm that Boeing rejected a proposed system safety upgrade to the Max on the grounds that doing so would add cost by triggering a need for all pilots to have flight-simulator training to qualify to fly the Max.
1650 by Dominic Gates and Lewis Kamb. MOVED
^Lawmakers blast Boeing for 'deliberate concealment' seen in latest 737 MAX emails<
^BOEING-CONGRESS:SE—<Disturbing revelations in the latest batch of internal Boeing communications released to Congress this week demonstrate the company's "deliberate concealment" of a new flight control system on its 737 MAX to keep it out of flight control manuals and avoid costly, additional training requirements for flying the new jets, two top House members investigating the MAX crisis told reporters on Friday.
Joined by Washington Congressman Rick Larsen, House Transportation and Infrastructure Chairman Peter DeFazio pointed to notes from a 2013 internal discussion that he said show how Boeing managers plotted to deceive safety regulators about the Maneuvering Characteristics Augmentation System (MCAS) during the plane's certification. The new flight control software on the MAX was later implicated in two crashes that killed 346 people and led to the plane's ongoing global grounding in March.
950 by Lewis Kamb. MOVED
^OTHER BUSINESS NEWS<
^ 'Wawa is pretty much dead to me': Founding family accused of cheating former workers out of millions in company stock<
^WAWA-STOCK:PH—<Engineer Brad Wall oversaw the modernization of Wawa Inc.'s industrial dairies near its headquarters in Wawa, Pa., and went on to lead the popular convenience chain's rapid store expansion from 1999 until 2013 as director of construction and design.
He was one of many proud Wawa employees who hoped one day to retire on Wawa stock grants. But today, as the company expands along the East Coast, "Wawa is pretty much dead to me," Wall said in an interview last week. "I am one of the ones who lost at least a couple million" after the company reversed a promise to let employees who left the company hold onto their shares until retirement age, as their value rose.
1600 by Joseph N. DiStefano. MOVED
^Verizon ditches hidden fees, cable bundles to lure cord cutters. Will Comcast, others follow?<
^VERIZON-HIDDEN-FEES:PH—<Verizon Communications is getting rid of hidden fees and cable bundles that lock customers into long-term contracts, hoping to win over consumers ditching pay-TV for cheaper online streaming.
The company said Thursday that it is letting Fios customers choose internet speeds and TV packages separately, without signing annual contracts that often leave customers paying more after a year or two. Verizon will also offer customers personalized TV packages based on their favorite channels.
750 by Christian Hetrick. MOVED
^Red Lobster to open ghost kitchen, emphasize delivery in 2020<
^RED-LOBSTER-GHOSTKITCHEN:OS—<Red Lobster, which offers its menu on apps like Uber Eats, also added a delivery option to its website in October that uses DoorDash drivers to bring customers their orders, Lopdrup said. The restaurant also expects to soon open its first prototype ghost kitchen — a new kind of restaurant without a dining room that focuses on delivery.
Moves like the innovations at Red Lobster will be worth noting in 2020, which analysts say could be another challenging year for the restaurant industry.
700 by Austin Fuller in Orlando, Fla. MOVED
^Is UAW headed for federal takeover? Feds say it's 'on the table'<
AUTO-UAW-FEDS:DE — The embattled UAW is in for more indictments and more scandal, sources say, as scores of tips about corrupt labor leaders continue to pour in — all of which could end in a federal takeover of the nation's sixth largest labor union.
U.S. Attorney Matthew Schneider said Thursday that once the criminal case is over — and it's far from over — there's a possibility that the federal government will step in and oversee the UAW.
1400 by Tresa Baldas and Eric D. Lawrence in Detroit. MOVED
^Women stand out in otherwise middling US December jobs report<
WRK-JOBS-WOMEN:BLO — Women have replaced men as the majority of jobholders, and the roles they're choosing signals a labor-market shift.
Women held 50.04% of nonfarm payroll positions in December, the highest share since 2010, according to Labor Department data Friday. The proportion has been steadily ticking up in recent years as a tight labor market pulls them in and offers higher wages and perks.
350 by Katia Dmitrieva in Washington. MOVED
^U.S. House passes bill mandating action on PFAS; unclear if Senate will consider it<
PFAS-CONGRESS:MS — The U.S. House of Representatives passed a sweeping bill Friday to address a growing national pollution crisis involving chemicals linked to high cholesterol, ulcerative colitis, thyroid disease, testicular cancer, kidney cancer, and pregnancy-induced hypertension.
Per- and polyfluoroakyl substances (PFAS) produced by 3M, DuPont, Chemours and other manufacturers have been used for more than a half-century to make hundreds of products waterproof or heat and stain resistant.
800 (with trims) by Jim Spencer in Washington. MOVED
^Deadspin moving to Chicago after New York staff walkout shut down sports website<
DEADSPIN-CHICAGO:TB — Deadspin, the irreverent sports website that was all but shut down by a mass exodus of New York staffers in October, is moving to Chicago to relaunch under the same roof as the co-owned humor site, The Onion.
The decision, announced Friday by G/O Media, follows a months-long standoff between the digital media publisher and the union representing the more than 20 writers and editors who resigned in protest over the website's direction under private equity ownership.
650 by Robert Channick in Chicago. MOVED
^FAA proposes $5.4 million fine for boeing over 737 Max parts<
BOEING-FAA-FINE:BLO — The Federal Aviation Administration proposed a $5.4 million civil penalty against Boeing Co. for misrepresenting the safety of wing components installed on 178 of its 737 Max airplanes, the agency said Friday.
The parts, known as slat tracks, guide moveable panels on the leading edge of the wing to provide extra lift during takeoff and landing. The FAA said the planemaker asserted the parts met safety standards when they didn't.
200 by Ryan Beene in Washington. MOVED
^Hackers on the other side of the world can take control of your vehicle<
^AUTO-HACKERS:DE—<No, you're not talking crazy.
The threat of regular people having their vehicles carjacked by cyberattackers is real.
Fact is, computer hackers on the other side of the world potentially could — while you're driving — crash your navigation system, cut your brakes, disrupt your steering or remotely take control of the entire vehicle. Hackers do not need to be in close proximity; all they need is something as simple as internet connectivity. Cars have become heavily connected to the internet.
They are essentially computers on wheels.
1150 by Phoebe Wall Howard. MOVED
^Mark Phelan: These are the best, most interesting, important vehicles coming in 2020<
^AUTO-PHELAN-COLUMN:DE—<This should be a great year for new-car buyers, fans of new technology and exciting designs.
New vehicles ranging from America's perennial bestseller, the Ford F-150, to luxury SUVs, electric sports cars and affordable entry-level models will all go on sale over the next 12 months.
The year's bonanza got an unexpected boost from GM's strike last fall, which pushed sales of the remarkable 2020 Chevrolet Corvette and the CT5, Cadillac's latest swing at the sport sedan market.
Here's a quick survey of some of the best, most interesting and important vehicles going on sale this year.
1700 by Mark Phelan. MOVED
^Carla Fried: Big cars, big car loans make for household financial fiasco<
^PFP-RATE-AUTO:GRA—<Buying a dependable used car with above-average mileage is the budget-smart move — remember, a car is a very expensive depreciating asset. And yet, more than 17 million new cars were purchased in each of the past five years.
Bought, as in financed. Experian reports that more than eight in 10 new cars are bought with loans, with the average loan more than $32,000. That's about the same as the average debt of a student who borrowed to get a bachelor's degree from a private college in 2018. Yet while a student loan typically pays off many times over in higher lifetime earnings, a car declines in value.
850 by Carla Fried. MOVED
^GM to revive Hummer as electric pickup<
AUTO-HUMMER-EV:DE — General Motors is bringing back the name Hummer, but not the whole brand.
The automaker will build an all-electric pickup dubbed Hummer to be sold within the GMC brand in early 2022, according to a person familiar with GM's product plan.
300 by Jamie L. Lareau in Detroit. MOVED
^Auto review: The 2020 Honda Passport's excellence shines through its benign demeanor<
^AUTO-PASSPORT-REVIEW:MCT—<The 2020 Honda Passport is the perfect embodiment of today's anti-aesthetic aesthetic.
Resuscitating a name first used in 1993 on a rebadged Isuzu Rodeo, the sensibly subdued Honda Passport slots between the compact CR-V and midsize three-row Pilot. Actually, its 6.5 inches shorter than the Pilot but shares its wheelbase and overall width. But the absence of extra seating provides for a massive 41.2 cubic-foot cargo hold that expands to a minivan-like 100.7 cubic feet with the second row folded, as much as nine cubic feet less than the Pilot but still impressive. The abundant space is a result of the Passport's sensible shape that does little to delight the eye but does much to appeal to America's practical nature. This is a device for family duty, an automotive utility knife; the excitement it delivers is from its down-to-earth, Conestoga-like sensibility.
650 by Larry Printz. MOVED
^Auto review: Kia puts even more joy in the Soul for 2020<
^AUTO-KIASOUL-REVIEW:PH—<I've often waxed poetic on Kia's ability to address its cars' shortcomings with each model upgrade. For most consumer goods, "new and improved" equals "same crap, shiny new packaging," but Kia and Hyundai have mostly avoided that.
Now, with the turbocharged engine and 7-speed transmission of the GT-Line, though, the Soul takes improvements to new heights.
It's a speedy Soul. Horsepower is now 201 — a lot from a tiny, 1.6-liter turbocharged engine — and the little box moves to 60 mph in just 6.5 seconds, according to Motor Trend. (The standard 2.0-liter engine creates 147 horses.)
Beyond that, though, it offers plenty of passing ability and quick acceleration from corners.
750 by Scott Sturgis. MOVED
^Auto review: GMC updates the Sierra HD for 2020, including latest high-end Denali model<
^AUTO-SIERRA-REVIEW:FT—<GMC's Sierra 2500 HD (heavy duty) is a capable work truck with a heart of comfort and luxury.
The next generation 2500 Sierra Denali for 2020 comes in four-wheel-drive Crew Cab with a six-foot, nine-inch standard bed or an available eight-foot bed. Base price is $63,700 (plus $1,595 freight), with the longer bed adding $200.
For 2020, the Sierra 2500 Denali is larger and bolder, the purpose-built exterior pairing functional design with exclusive style.
1250 by Emma Jayne Williams. MOVED
^DAILY MARKETS GRAPHIC <
Find here a daily Wall Street roundup graphic featuring Dow Jones Industrial Average, S&P 500 and Nasdaq data.
The 1-column x 4-inch graphic, Wall Street, will be posted by 6:30 p.m. EDT Monday through Friday.
To find the graphic, visit the Graphics section of TribuneNewsService.com.
Those with questions regarding the graphic should contact the graphics team at 312-222-4131 or firstname.lastname@example.org.
^Michael Hiltzik: The Postal Service is America's most popular government agency. Why does Trump hate it?<
^HILTZIK-COLUMN:LA—<It's time once again to stand up for the most popular government agency of all, the one that curiously has come under the most consistent attack by the Trump administration and its congressional henchpersons.
We're talking about the U.S. Postal Service. According to a survey last year by the Pew Research Center, 90% of the public has a favorable view of the USPS, handily outdistancing even such other popular agencies as the National Park Service and NASA.
1300 by Michael Hiltzik. MOVED
^Schafer: For Mayo and other nonprofits, operating in the black is about survival, not greed<
^SCHAFER-COLUMN:MS—<We have to once again talk about how it just isn't possible to have a greedy nonprofit, never mind what presidential candidate Bernie Sanders might think.
"Mayo Clinic executives have decided to strip away access to health care from tens of thousands of rural Midwesterners — putting profits over people," Sanders complained just before Christmas, in a Twitter post that also promised to end "corporate greed."
The big thing he gets wrong here is that Mayo is not a for-profit corporation.
1000 by Lee Schafer. MOVED
These features regularly move on Friday:
^Under the Hood: Careful when altering truck's power outlet<
^AUTO-HOOD:MCT—<Q: I'm incredibly frustrated with the power outlet in my 2016 F-150. It can only operate tiny things such as a phone or a laptop charger, but it blinks and fails to operate my cordless multitool battery charger or a small air compressor. Can it be upgraded or replaced with something more capable?
450 by Brad Bergholdt. MOVED
^Motormouth: Corrosion, especially in winter, can drain air from tires<
^AUTO-MOTORMOUTH-QA:TB—<The tires on my 2007 Highlander have gone flat or at least lost enough air to set off the "flat tire" warning six times in the last four years. I've never had this happen on any other car, and I've been driving for over 50 years.
650 by Bob Weber. MOVED
^The Week Ahead: Striking a balance of risk<
^WEEKAHEAD:MI—<Long-term investors are accustomed to assessing risk. After all, investment rewards are related to the risks involved.
Risk comes in many forms. This week investors will focus on two: economic and military.
First, this is the week President Trump is scheduled to welcome China's top trade negotiator back to the White House. The two are expected to sign the first phase of a trade deal on Wednesday.
350 by Tom Hudson. MOVED
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