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Mexico will build passenger train lines to US border in an expansion of its debt-laden rail projects None - Mexico's president says his successor is planning to build passenger train lines running from the capital to cities on the U.S. border Mexico will build passenger train lines to US border in an expansion of its debt-laden rail projects MEXICO CITY -- Mexico’s massive, debt-fueled passenger rail building program is not going to end with the administration of outgoing President Andrés Manuel López Obrador, but will instead double, he said Wednesday. López Obrador said his successor, President-elect Claudia Sheinbaum, is planning to build three passenger train lines running from the capital to some cities on the U.S. border. López Obrador and Sheinbaum agree she will build about 1,850 miles (3,000 kilometers) of passenger rail, double the amount he built. Sheinbaum said the trains would be electric and would run at speeds of up to 100 mph (160 kph). Almost all of Mexico's current freight trains run on diesel. Sheinbaum said she was planning to build a passenger line from Mexico City to the border city of Nuevo Laredo — across the border from Laredo, Texas — a distance of about 680 miles (1,100 kilometers) at a cost of about $22 billion. However, the cost of most recent railway projects in Mexico have ballooned far above initial estimates. Sheinbaum said she was also planning a train line from Mexico City to the western city of Guadalajara, for about another $3 billion, and said that rail line could be extended to border cities like Nogales, across from Nogales, Arizona, or other border cities further west if there was time in her six-year term. Sheinbaum's plan will involve army engineers directing private contractors to build passenger lines along the same rights-of way currently used by private concessionary operators to move freight. That could involve moving the existing rail lines to make way for the new tracks, which might mean some disruptions to current freight service if existing lines have to be moved. López Obrador had previously demanded that freight line operators provide passenger service as well, but that plan has apparently been shelved. López Obrador also acknowledged there could be big costs associated with confining the expected high-speed rail lines with walls or fences, and costs associated with recovering rights-of-way that have been invaded by squatters. Current private concessionary rail operators said they had no immediate comment on the plans, or did not respond to requests for comment. López Obrador said the project is expected to be nearly double the size of his own railway building programs, which included the $30 billion Maya tourist train on the Yucatan Peninsula, a railway across the Isthmus of Tehuantepec linking the Pacific and Gulf coasts, and a commuter railway linking Mexico City to the nearby city of Toluca. The cost of those railways has led López Obrador’s administration to post a budget deficit of nearly 6% of GDP this year, while experts question how much the trains will actually be used in a country where most travelers currently use cars, buses or airlines to cover the thousands of miles the routes involve. Observers say one of the key problems is that López Obrador's rail lines — and apparently Sheinbaum's as well — have been planned with a “build it and they will come” attitude, with little real effort to identify whether there is enough demand to justify passenger service to far-flung border cities. There is little passenger rail infrastructure in U.S. border cities to provide connections for any Mexican rail lines that might be built. López Obrador and Sheinbaum both belong to the Morena party, and Sheinbaum was elected on a pledge to continue or expand all of López Obrador's policies. The outgoing president has always said he regrets Mexico's decision to hand over the poorly run national railways to private operators in the 1990s, when they largely dropped unprofitable passenger services. But he also sees building rail lines as a way to create jobs and stimulate domestic growth. “What does this mean?” López Obrador said. “Jobs, lots of jobs.” ___ Follow AP’s coverage of Latin America and the Caribbean at https://apnews.com/hub/latin-america
How reggaeton stars are driving a basketball boom in Puerto Rico None - Puerto Rico’s professional basketball league is experiencing a renaissance thanks to reggaeton stars like Bad Bunny, Ozuna and Anuel AA CAROLINA, Puerto Rico -- Vianca Braña never used to attend basketball games in her hometown of Carolina, Puerto Rico — or anywhere else in the United States territory. But in recent years, the 23-year-old has left the arena with a hoarse voice, often wearing a T-shirt that reads “Carola,” a nickname for her town. “We started making this fun, and I wanted to represent the town where I'm from,” said Braña, who attended her first game the year Puerto Rican reggaeton star Bad Bunny bought a team in the island’s professional men’s basketball league. It was also around that time that she began placing bets on different teams across Puerto Rico with her girlfriends. Braña’s fervor illustrates how Puerto Rico's professional men's basketball league is experiencing a revival, driven by reggaeton stars like Bad Bunny, Ozuna and Anuel AA, who are stepping into the financial game, buying local teams and helping to stack up a loyal fan base the island hasn’t witnessed in over 40 years. What were once half-empty arenas in Puerto Rico are now packed, filled with families and young fans cheering for their favorite teams, from Los Capitanes de Arecibo in northern Puerto Rico to Los Leones de Ponce in the south. Attendance more than doubled from 2018 to 2023, skyrocketing from some 480,000 tickets sold to nearly 1 million, according to Puerto Rico's professional men’s basketball league, whose digital presence has also soared in the past few years. A pivotal moment in the league’s revival came in 2021, when three-time Grammy winner Bad Bunny became co-owner of Los Cangrejeros de Santurce, along with his manager, Noah Assad. Bad Bunny’s frequent game-day visits sparked a resurgence in Puerto Rico's basketball scene. Other artists like Anuel AA quickly followed, buying Arecibo’s Capitanes team before a new owner took over in 2023, and Ozuna acquiring Manatí’s team, renaming it Los Osos, in 2022. The league, known as BSN, currently has 12 teams playing, compared with nine just four years ago. Basketball games have transformed into premier rendezvous events, attracting celebrities like NBA legend LeBron James, former boxer Floyd Mayweather and reggaeton artists including Arcangel and Rauw Alejandro, capturing audiences of all ages hoping to get a glimpse of them. “When Noah and Bad Bunny came along, we generated a lot of noise,” said Ricardo Dalmau, president of BSN. “It was an explosion of attention.” Dalmau said local TV ratings also saw an upward tick after they began broadcasting some games in 2021, with the biggest surprise being their largest viewership block: women ages 18 to 49, a new audience that was also reflected in the bleachers. “You never know what artist you’re going to find in the (league),” he said. Before its recent surge in popularity, the league was under financial strain. Although Dalmau did not provide specific numbers, he said there used to be a lot of uncertainty about whether certain teams would participate or whether the league could fulfill players’ contracts. “We don't have those problems anymore," he said. Javier Sabath, a popular basketball commentator on the island, said he is witnessing what his father — a sports commentator himself decades ago — describes as the environment in the 1980s, the heyday of the league. “New generations have never seen this before,” Sabath said. “The boom with urban artists revived the Puerto Rican sports history that had been forgotten.” Sabath said the momentum created by artists has fueled fans’ excitement beyond just seeing reggaeton stars. “Indirectly, these artists are attracting enough attention to make people interested in our league,” he said. “It’s a domino effect.” A bittersweet moment took place recently, when Puerto Rico national men’s basketball team, composed of several of the league’s star players, qualified for the 2024 Summer Olympics in Paris. The victory over Lithuania broke a 20-year drought for the team that last competed in 2004, beating the USA team in the Athens Olympics. It is also a loss for the league’s teams playing later in the summer. The league’s renaissance comes after its peak over 40 years ago. Teams in Bayamón, Quebradillas, Ponce and other towns had produced renowned players, including Butch Lee, the first Puerto Rican player to enter the National Basketball Association; Raymond Dalmau, whose son currently presides over the league; and Rubén Rodríguez, who played for Los Vaqueros in Bayamón. As part of the current frenzy, ex-NBA players have moved to Puerto Rico in recent years to join the league. Will Barton and Jared Sullinger play for San Juan’s team, while other ex-NBA players like DeMarcus Cousins, Lance Stephenson and Brandon Knight also joined before moving on to other stints. Still, some problems remain beyond the league’s control, including severe budget cuts, with the government slashing the island’s sports and recreation department budget by more than half over the past decade. A lack of investment and maintenance in sports arenas across the island has caused leaks, leading to game suspensions after heavy rains. “Despite the lack of economic resources, we’ve been able to sort it out,” said Ray Quiñones, secretary of sports and recreation of Puerto Rico, whose infrastructure budget was cut from about $15,300 in 2014 to barely $7,500 in 2024. Sports arenas face the additional problem of chronic power outages across Puerto Rico, which is still rebuilding its electric grid after Hurricane María, a Category 4 storm that razed the island in September 2017. In June, a game in Carolina between the home team, Los Gigantes, and Los Indios of Mayagüez was suspended after a widespread power outage left more than 340,000 customers without electricity. A month earlier, a game in San Juan’s main arena was also suspended due to a power outage. Despite the challenges, younger generations are finding refuge outside their homes — which also contend with frequent power outages — and a new sense of pride by attending the games. For fans like Annais Ramírez, basketball arenas feel like safe spaces, especially for women looking to engage in historically male-dominated areas. “There are so many artists coming to the games, and you wonder if you’ll run into one,” the 27-year-old said as she stood next to her friend, who sported a necklace with a diamond-encrusted “C” for the town of Carolina. Her love for Carolina’s team has grown beyond her expectation to run into a celebrity. During her free time, Ramírez goes on social media to catch up on the games she couldn’t attend in person, checking out highlights, halftime performances and crowd reactions. “Those motivate you to be part of the movement,” she said. “On weekdays, this helps me unwind.” ___ Follow AP’s coverage of Latin America and the Caribbean at https://apnews.com/hub/latin-america
‘Morning Joe’ Is Pre-empted for Breaking News Coverage None - A member of the show’s staff, who spoke on the condition of anonymity, said the producers and hosts had been told over the weekend that MSNBC’s programming would be taken over by its corporate sibling, NBC News, which has a stable of major anchors and hosts including Lester Holt, Savannah Guthrie and Kristen Welker. Mr. Holt’s coverage ran on MSNBC immediately after the shooting on Saturday, and he was scheduled to interview Mr. Biden on Monday. The person said staff members were surprised on Monday when MSNBC ran programming from its digital news service, NBC News Now, instead of the main NBC News show, “Today,” which was not pre-empted. A spokesman for MSNBC denied that NBC had made the programming change because of political considerations. In a statement, the network said: “Given the gravity and complexity of this unfolding story, NBC News, NBC News NOW and MSNBC have remained in rolling breaking news coverage since Saturday evening. As we continue to cover this story into the week, the networks will continue to cross-simulcast, alternating between NBC News, NBC News Now and ‘MSNBC Reports,’ so there is one news feed covering this developing situation.” A spokesman for NBCUniversal News Group said “Morning Joe” would return Tuesday. MSNBC made other programming changes after the shooting on Saturday. The network scrapped “VelshiCast,” a planned YouTube livestream that was slated to feature commentary on the Republican convention in Milwaukee delivered by the anchor Ali Velshi, according to a person familiar with the decision.
Trump officially becomes 2024 Republican nominee after receiving delegate majority None - Former President Donald Trump officially became the 2024 Republican nominee for president after passing over the delegate majority threshold following a speech by his son Eric Trump.July 15, 2024
Demonstrators protest in Milwaukee outside RNC None - Demonstrators are marching through the streets in Milwaukee in protest of the Republican National Convention. The protests come amid high security concerns after the attempted assassination on former President Donald Trump.July 15, 2024
‘Somebody missed their assignment’: Fmr. CIA Director on assassination attempt None - Former CIA Director John Brennan joins Andrea Mitchell to discuss the dismissal of former President Trump’s classified documents case, saying it’s “disappointing for a number of national security professionals.” Brennan also weighs in on the attempted assassination of the former president.July 15, 2024
Biden: ‘It was a mistake’ to use ‘bull's-eye’ in remarks about Trump None - In an interview with NBC News, President Biden tells Lester Holt that he misspoke when he said that voters should put former President Trump “in a bullseye.” Watch more of the interview on NBC Nightly News with Lester Holt, and the full interview on NBC News.July 15, 2024
Who is JD Vance, Trump's running mate? None - IE 11 is not supported. For an optimal experience visit our site on another browser.
Tesla CEO Elon Musk appears to confirm delay in Aug. 8 robotaxi unveil event to make design change None - Tesla CEO Elon Musk appears to be confirming a report that the company’s much-ballyhooed event to unveil a robotaxi will be delayed beyond its scheduled Aug. 8 date DETROIT -- Tesla CEO Elon Musk on Monday appeared to confirm a report that the company's much-ballyhooed event to unveil a robotaxi will be delayed beyond its scheduled Aug. 8 date. Musk didn't give a new date for the event, but in a posting on X, the social media site he owns, he wrote that he requested a design change to the front of the vehicle. "The extra time allows us to show off a few other things,” he wrote. A message was left Monday seeking comment from Tesla. Bloomberg News reported on Thursday that the robotaxi event would be delayed until October due to changes sought by Musk. That sent Tesla shares down 8% for the day. But they have since rallied and closed Monday up 1.8% at $252.64. Tesla shares had been down more than 40% earlier in the year, but are up more than 80% since hitting a 52-week low in April. For many years Musk has said Tesla's “Full Self Driving” system will allow a fleet of robotaxis to generate income for the company and Tesla owners, making use of the electric vehicles when they would have been parked. Musk has been touting self-driving vehicles as a growth catalyst for Tesla since “Full Self Driving” hardware went on sale late in 2015. The system is being tested on public roads by thousands of owners. But in investigative documents, the U.S. National Highway Traffic Safety Administration said it found 75 crashes and one death involving “Full Self Driving.” It’s not clear whether the system was at fault. Tesla, which is based in Austin, Texas, has said the system cannot drive itself and that human drivers must be ready to intervene at all times.
Mexico's costly Maya Train draws few passengers in its first six months of partial operation None - The pet rail project of President Andrés Manuel López Obrador could wind up costing as much as $30 billion Mexico's costly Maya Train draws few passengers in its first six months of partial operation MEXICO CITY -- The pet rail project of President Andrés Manuel López Obrador could wind up costing as much as $30 billion, is only half finished as he heads into the final two months of his term, and has wreaked major damage on the environment. But the most damning judgment on the Maya Train tourist line, which runs in a loop around the Yucatan Peninsula, are the ridership figures on about half the railway that is now open: only about 1,200 people per day use the train, according to government figures released Monday. Most ride it only on short stretches between the city of Merida and Cancun, or the nearby city of Campeche. The big hope for paying the train’s massive cost was that tourists would use it to depart from the resort of Cancun and explore the whole 950-mile (1,500-kilometer) route to visit the Mayan archaeological sites that dot the peninsula. But a round-trip route from Cancun to the well-known Mayan temple complex of Palenque has drawn only about 100 passengers per day each way in the first six months of operation. That is a volume that a bus or two per day could handle. The government had originally promised the train would carry between 22,000 and 37,000 people per day. Current ridership is about 3-5% of that, with three of the four most popular stations — Cancun, Merida, Palenque and Campeche — already in service. Admittedly, the rail line down the heavily traveled corridor linking Cancun and the resorts of Playa del Carmen and Tulum — an area known as the Riviera Maya — isn't finished yet, and only 17 trains are operating; three times as many may eventually be added. But critics say there is little hope that the Cancun-Tulum line will make the project profitable, because it doesn't run particularly near any of the resort towns it is supposed to serve. The Cancun-Tulum railway was originally supposed to run on an elevated line over the coastal highway, where most hotels are. But facing technical difficulties, the government changed the route by cutting a 68-mile (110-kilometer) swath through the jungle and moving the tracks about 4½ miles (7 kilometers) inland. So instead of hopping one of the micro-buses that run constantly down the coastal highway, tourists or resort workers would have to take a taxi to the train station, wait for one of the few daily trains, and then take another taxi to the resorts once they reach their destination. “The uselessness of this project was foreseeable,” said Jose “Pepe” Urbina, a local diver who opposes the train because its steel pilings have damaged the caverns he has explored for decades. “In reality, the train doesn't go anywhere you couldn't get to by highway before.” “These are rail lines that don't provide any useful service for workers, for students, for any daily use,” Urbina said. One thing the railway project did create was jobs: Manuel Merino, the governor of the Gulf coast state of Tabasco, said the Maya Train had created 20,000 direct or indirect jobs in his state and lowered the unemployment rate by 40%. “This makes it truly a motor for developing the south,” a historically poorer and undeveloped part of Mexico, Merino said. But most of those jobs will be gone once construction is finished, and federal officials are also casting around for ways to try to make the railway pay for itself. Officials have suggested freight trains may run on the tracks as well, but there is little industry in the region, and thus freight demand is limited. It's not clear whether the government ever thought the railway would be profitable. López Obrador had already decided to build it before feasibility studies were carried out. According to a 2019 government study, the railway was going to cost $8.5 billion, and the estimated benefits would be about $10.5 billion. But those “estimated benefits” always included a lot of intangibles, like reduced traffic on highways, quicker travel or increased tourism revenues, all of which either didn't happen or were unrelated to the train. Moody’s Analytics Director Alfredo Coutiño noted that cost overruns are common on such projects. “As was expected, the Maya Train project was not finished as planned and the cost was much higher than the original budget,” Coutiño wrote. “The question that still must be resolved is if this project will be profitable in the medium term when it is expected to be fully functional, operating at full capacity and managed as a government concern and not as a private enterprise.”
UN body that regulates the deep sea tackles proposed mining code amid growing concerns None - Tense deliberations over how and if to allow deep sea mining are unfolding in Jamaica as at least one company threatens to apply for permission before rules and regulations are in place SAN JUAN, Puerto Rico -- Tense deliberations over how and if to allow deep sea mining unfolded Monday in Jamaica as at least one company threatened to apply for permission before rules and regulations are in place. More than two dozen countries have called for a ban, pause or moratorium on deep sea mining — including most recently Peru and Greece — as the U.N. International Seabed Authority resumed talks over a proposed mining code after last meeting in March. “We have two very busy weeks ahead of us,” said Olav Myklebust, the authority’s council president as some countries warned that the proposed regulator framework has significant gaps and does not include some of their proposals. The Jamaica-based authority, which is the global custodian for deep waters that don't fall under a country's jurisdiction, has granted 31 mining exploration contracts but has not authorized any exploitation as the debate continues. Much of the ongoing exploration is centered in the Clarion-Clipperton Fracture Zone, which covers 1.7 million square miles (4.5 million square kilometers) between Hawaii and Mexico. It is occurring at depths ranging from 13,000 to 19,000 feet (4,000 to 6,000 meters). Scientists have said that minerals at those depths take millions of years to form, and that mining them could unleash noise, light and suffocating dust storms. “The deep ocean sustains crucial processes that make the entire planet habitable, from driving ocean currents that regulate our weather to storing carbon and buffering our planet against the impacts of climate change,” said Sofia Tsenikli with the Deep Sea Conservation Coalition ahead of the meeting. Those who support deep sea mining argue that it is cheaper and has less of an impact than land mining. Among those pushing for exploitation is The Metals Company, a Canadian business that is largely expected to be the first to seek permission to start mining. The debate over deep sea mining comes amid growing demand for precious metals including cobalt, nickel and copper that grow in the ocean’s bowels and are used in electric car batteries and other green technology. “There is a lot of work that remains to be done," said France's representative, Olivier Guyonvarch. of the proposed mining code. Elza Moreira Marcelino de Castro, the representative for Brazil, said the draft needs more clarity about issues including liability and additional details about a proposed environmental compensation fund. The council is scheduled to debate the issue for two weeks and will then hold an assembly to elect a secretary general.
Macy's, Burberry fall; Trump Media, Tesla rise, Monday, 7/15/2024 None - Stocks that traded heavily or had substantial price changes on Monday: Macy’s and Burberry fall; Trump Media and Tesla rise The Associated Press By The Associated Press Stocks that traded heavily or had substantial price changes on Monday: Trump Media & Technology Group Corp. (DJT), up $9.69 to $40.58. A federal judge dismissed the stolen documents case against Donald Trump just days after a weekend assassination attempt on the former president. Macy's Inc. (M), down $2.24 to $16.85. The iconic New York department store chain tumbled after it said it's terminating monthslong buyout talks with investment firms Arkhouse and Brigade. Burberry Group plc (BURBY), down $1.90 to $9.88. The British luxury fashion house appointed a new chief executive and warned it expects to record an operating loss in the first half. BlackRock Inc. (BLK), down $5.01 to $822.96. The New York-based asset management company beat Wall Street's second-quarter profit forecast. Apple Inc. (AAPL), up $3.86 to $234.40. The iPhone maker jumped after reports of strong sales growth in India led to analyst upgrades to its price target. Goldman Sachs (GS), up $12.35 to $492.23. The New York investment bank posted a massive 150% jump in second quarter profits. SolarEdge Technologies Inc. (SEDG), fell $4.86 to $26.79. The photovoltaic products maker said it's laying off another 400 employees as revenue falls. Tesla Inc. (TSLA), up $4.41 to $252.64. CEO Elon Musk endorsed Donald Trump for president following an attempted assassination of the former president.
Trump's Truth Social stock soars after assassination attempt None - Shares of former President Donald Trump's social media platform Truth Social soared in early trading on Monday, extending a rally that began in the immediate aftermath of an assassination attempt two days earlier. In early trading on Monday, shares climbed about 30% to a price of $40. That figure marked the highest level for the stock in more than a month, but shares still stood well below a peak of about $62. "The stock serves as a little bit of a proxy for sentiment toward Donald Trump himself," Tyler Richey, an analyst at Sevens Report Research, told ABC News. "I think there's a resurgence of people -- your die-hard Trump fans and fair-weather supporters -- who think, 'This is a life or death situation, we're going all in,'" Richey added. Shares began rising in pre-market trading almost immediately after an assassination attempt at a Trump rally in Butler, Pennsylvania, on Saturday. The strong performance in recent days indicates the latest in a series of dramatic price swings for the stock. In the immediate aftermath of Trump's felony conviction in his hush money case in May, the stock tumbled about 15%, before soon rallying higher than the pre-conviction level. In March, shares vaulted from an initial offering price of about $50 to a peak of nearly $80. Over the ensuing two weeks, the price fell nearly 70%, reaching a low of about $23. Analysts who previously spoke to ABC News described the performance of Truth Social as the characteristic fluctuation of a so-called "meme stock." The term – made famous by pandemic-era examples such as GameStop and AMC – indicates a company that largely appeals to investors on the basis of ideology rather than financial outlook. Traders work on the floor of the New York Stock Exchange (NYSE) on July 11, 2024 in New York City. Spencer Platt/Getty Images Truth Social generated roughly $4 million in revenue last year, government filings show. Meanwhile, the company reported $58 million in net losses over that period. By comparison, Instagram-parent Meta delivered nearly $135 billion in revenue last year, company earnings revealed. The strong performance for Truth Social on Monday could grant the company an opportunity to reinvest funds and improve the service, Richey said, noting the possibility of an increase in users as Trump draws continued attention in the coming months. "The financials are atrocious," Richey said. "But the prospects, while a little doubtful, are still there." "If this generates a significant uptick in users, then that could be bullish. Or it becomes a blip of short-term optimism," he added. For now, the absence of financial underpinning leaves Truth Social vulnerable to volatility in response to even mildly negative or positive news, experts previously told ABC News. "The only thing that you can predict is that there will continue to be volatility," Jay Ritter, a professor of finance at the University of Florida, told ABC News. The surge in the price of Truth Social on Monday coincided with a swell across the wider stock market. Each of the major stock indexes ticked upward in early trading on Monday, including a record high for the Dow Jones Industrial Average.
Goldman Sachs profits more than double in second quarter as dealmaking comes back on Wall Street None - Goldman Sachs posted a massive 150% jump in its second quarter profits, helped by a general resurgence of dealmaking and underwriting that has revived investment banking after the slow down of the previous couple years Goldman Sachs profits more than double in second quarter as dealmaking comes back on Wall Street NEW YORK -- Goldman Sachs is posting a massive 150% jump in second quarter profits Monday, helped by a resurgence of dealmaking and underwriting that has revived investment banking after the slow down of the previous couple years. The New York investment bank posted net revenues of $3.04 billion, $8.62 per share, compared with $1.22 billion in the same period a year earlier. for the three months ended June 30, compared with $1.22 billion, or $3.08 per share, a year earlier. Part of the surge in profits is Goldman Sachs had some one-time items last year as it took charges against its books for the wind down of its consumer banking business. That said, nearly every aspect of Goldman's businesses saw revenue jump in the quarter, reflecting what has been a broad revival in dealmaking and activity on Wall Street this year in a healthy economy. Investment banking fees rose 21%, helped by a big jump in debt underwriting fees for the bank. Many companies are having to refinance their debts to deal with higher interest rates, and there has been a surge in leveraged financing packages Goldman's fixed income, currencies and commodities trading division had revenues up 17% from a year earlier. Equities trading was less robust than other parts of the market, with Goldman saying net revenues were up 7% in that division. Lastly the bank's asset management division posted 27% rise in revenues, helped by more fee income and the value of Goldman's own investments. Shares in the bank rose slightly before the opening bell.
Bank of America Corporation (BAC) Stock Forecasts None - Summary Bank of America is one of the largest financial companies in the world. The company is primarily a U.S. retail and commercial bank, with a network of more than 4,000 branches across much of the country. The 2005 acquisition of MBNA made Bank of America the nation's largest credit-card lender. As such, trends in consumer interest rates, employment, income growth and borrowing patterns represent a significant risk to the company's earnings. The 2008 acquisition of Country
Democrats circulate letter asking for delay of Biden nomination None - Congressional Democrats have drafted a letter asking the Democratic National Convention to delay a virtual roll call process that would confirm President Biden as the party's nominee prior to the August convention.July 16, 2024
Plain old bad luck? New Jersey sports betting revenue down 24% at casinos, and 9.5% overall in June None - New Jersey’s casinos saw their sports betting revenue decline by nearly 24% in June, and sports betting revenue overall in the state declined by 9.5% Plain old bad luck? New Jersey sports betting revenue down 24% at casinos, and 9.5% overall in June ATLANTIC CITY, N.J. -- New Jersey's casinos saw their sports betting revenue decline by nearly 24% in June, and sports betting revenue overall in the state declined by 9.5%, according to figures released Tuesday by state gambling regulators. The New Jersey Division of Gaming Enforcement reported that the nine casinos collectively saw their sports betting revenue decline by 23.9% in June compared with a year earlier. When the three horse tracks that take sports bets are included, the overall decline in such revenue for the state was 9.5%. Total gambling revenue in the state, including internet gambling and money won from in-person gamblers, was $491 million, up 7.4%. New Jersey was the state whose court challenge to a federal ban on sports betting in most of the country resulted in a 2018 ruling by the U.S. Supreme Court clearing the way for any state that wants it to offer legal sports betting. Since then, New Jersey has been among the nationwide leaders in sports betting revenue. But in June, according to the New Jersey Division of Gaming Enforcement, sports betting generated $27.1 million in revenue for the casinos after winning bets and other expenses were paid out. With horse tracks included, the total revenue figure was $60 million. “At first glance, a decline of nearly 24% in sports betting revenue for Atlantic City’s casino operators is a bit surprising given recent positive performance from that sector,” said Jane Bokunewicz, director of the Lloyd Levenson Institute at Stockton University, which studies the Atlantic City gambling market. But she noted that not all the casinos or racetracks saw declines, adding that the total amount wagered during the month was actually a bit higher than average for June. “It seems likely that the decline in sports betting revenue this June is a function of odds set by the oddsmakers, the bets made by the public, and the outcomes of live events,” she said. “At the end of the day there will always be some variability by nature in gambling activity.” Mark Giannantonio, president of Resorts Casino and of the Casino Association of New Jersey, was among industry officials attributing the decline in sports betting revenue to “mainly poor luck” in June. Resorts Digital, his casino's online arm affiliated with the DraftKings sportsbook, was down 43.3% in June, to $14.3 million in sports betting revenue. The physical Resorts casino saw its sports betting revenue decline by 34% to just over $99,000. The Ocean Casino swung from $82,000 in sports betting revenue last June to a loss of $18,725 this June. And Monmouth Park Racetrack, near the Jersey Shore in Oceanport, saw a 37% decline in sports betting, to $904,000. Other casinos saw better-than-expected sports betting revenue in June, including Bally's, which took in almost $1.9 million, up from $351,000 a year earlier, an increase of over 440%. Hard Rock nearly doubled its sports betting revenue in June, to $4.6 million. In terms of overall gambling revenue, Borgata won $110 million, up 5.7%; Golden Nugget won $64.2 million, up nearly 20%; Hard Rock won $63.7 million, up 24.4%; Ocean won $39.6 million, down 0.4%; Tropicana won $38.5 million, up 30.7%; Bally's won $24.6 million, up over 27%; Caesars won $19.2 million, down over 11%; Harrah's won $19.1 million, down 8.8%, and Resorts won $15 million, down 2.3%. But those figures include internet and sports betting money, much of which must be shared with parties including sports books and technology platforms, and is not solely for the casinos to keep. For that reason, the casinos consider money won from in-person gamblers to be their core business. Only two casinos — Ocean, and Hard Rock — won more from in-person gamblers this June than they did in June 2019, before the coronavirus pandemic hit. This remains a source of continuing concern for Atlantic City's casinos and their parent companies. ___ This story has been corrected to show that the sports betting revenue decline was nearly 24% at casinos, but only 9.5% when horse tracks are included.
Ex-TV host Carlos Watson convicted in trial over collapse of startup Ozy Media None - Former TV personality Carlos Watson has been convicted in a federal financial conspiracy case about collapsed startup Ozy Media NEW YORK -- Former TV personality Carlos Watson was convicted Tuesday in a federal financial conspiracy case about Ozy Media, an ambitious startup that collapsed after another executive impersonated a YouTube executive to hype the company’s success. Watson, 53, had been free on bail but was taken into custody to await sentencing. Brooklyn-based U.S. Attorney Breon Peace said the verdict held Watson accountable for “brazen crimes” that were meant to keep cash-strapped Ozy afloat but ultimately sank it. “The jury found that Watson was a con man who told lie upon lie upon lie to deceive investors into buying stock in his company," Peace said in a statement, adding that the company “collapsed under the weight of Watson’s dishonest schemes.” Peace's office said a jury found Watson guilty of all the charges against him: conspiracy to commit securities fraud, conspiracy to commit wire fraud and aggravated identity theft. Ozy Media also was convicted of the same conspiracy offenses, the only charges the company faced. Watson and Ozy had pleaded not guilty and denied the allegations. He testified that Ozy’s cash squeezes were standard startup speed bumps and that materials given to investors noted that the information wasn’t audited and could change — “like ‘buyer beware,’” he said. The defense blamed any misrepresentations on Ozy co-founder and chief operating officer Samir Rao, who has pleaded guilty. Watson and Ozy plan to appeal, lawyers Ronald Sullivan, Janine Gilbert and Shannon Frison said in a statement. Watson's relatives and supporters left court without commenting, but wearing black shirts emblazoned with, “Whose son is next?” Watson could face decades in prison, though sentencing guidelines for individual defendants vary. Now-defunct Ozy faces potential financial penalties. Watson, a cable news host who’d worked on Wall Street and sold his own education-related startup, conceived of Ozy in 2012. The Mountain View, California-based company produced shows and gave “Ozy Genius” awards to college students. It interviewed former President Bill Clinton, won an Emmy Award and produced an annual music-and-ideas festival that President Joe Biden attended in 2017, when he was a former VP. But prosecutors said that underneath Ozy’s hip public profile, the company was tottering financially from 2018 on. It routinely ran short of money to pay vendors, rent and even employees and took out expensive loans against future receipts to cover its bills, former finance Vice President Janeen Poutre testified. The prosecution and its key witnesses said Ozy, with Watson’s blessing, began floating increasingly audacious lies to try to snag a lifeline from investors. “Survival within the bounds of decency, fairness, truth, it morphed into survival at all costs and by any means necessary,” Rao told jurors, saying that Watson had sanctioned all his falsehoods. Ozy gave much bigger revenue numbers to its prospective backers than to its accountants, with the discrepancy widening to $53 million versus $11.2 million for 2020, according to testimony and documents shown at trial. Prosecutors said that the company claimed deals and offers it hadn’t really secured — for example, that Watson told a prospective investor that Google was willing to buy Ozy for hundreds of millions of dollars. Ozy’s lawyer said Watson never made that claim. Google CEO Sundar Pichai testified there was no such offer, though he did contemplate hiring Watson and providing $25 million to help Ozy move on if he took the Google job. To woo potential corporate suitors and lenders, Rao forged some terms of contracts with a network for one of Ozy’s TV shows. Then, when a bank wanted to check with the network, Rao set up a fake email account for an actual network executive and sent a message offering information. The bank loan didn’t happen. Rao went on to pose as a YouTube executive on a phone call with investment bankers, in a bizarre effort to back up a false claim that Rao had made about YouTube paying for another Ozy show. The bankers got suspicious, their potential investment evaporated and the real YouTube exec soon learned of the ruse. Watson’s lawyers hammered on Rao’s admissions about his own conduct to try to portray him as a liar trying to avoid prison by pleasing prosecutors. Rao is awaiting sentencing. Watson, who hosted multiple Ozy shows and podcasts, told jurors he concentrated on the company’s content, staff, vision and partnerships more than on “making sure that every decimal is in the right place.” He said he traveled about four days a week and left finance and operations largely to Rao and others. “I couldn’t be as hands-on as I probably wanted to be,” he testified. Ozy rapidly unraveled after The New York Times revealed Rao’s faux call in a September 2021 column that also questioned the start-up’s claims about its audience size. ___ Associated Press writer Philip Marcelo contributed to this report.
Elon Musk says he's moving SpaceX, X headquarters from California to Texas None - Billionaire Elon Musk says he’s moving the headquarters of SpaceX and social media company X to Texas from California Elon Musk says he's moving SpaceX, X headquarters from California to Texas By The Associated Press SAN FRANCISCO -- Billionaire Elon Musk says he's moving the headquarters of SpaceX and social media company X to Texas from California. Musk posted on X Tuesday that he plans on moving SpaceX from Hawthorne, California to the company's rocket launch site dubbed Starbase in Texas. X will move to Austin from San Francisco. He called a new law signed Monday by California Gov. Gavin Newsom that bars school districts from requiring staff to notify parents of their child’s gender identification change the “final straw.” “I did make it clear to Governor Newsom about a year ago that laws of this nature would force families and companies to leave California to protect their children,” Musk wrote. Tesla, where Musk is CEO, moved its corporate headquarters to Austin from Palo Alto, California in 2021. Musk has also said that he has moved his residence from California to Texas, where there is no state personal income tax. SpaceX builds and launches its massive Starship rockets from the southern tip of Texas at Boca Chica Beach, near the Mexican border at a site called Starbase. The company’s smaller Falcon 9 rockets take off from Cape Canaveral, Florida, and Southern California. It’s just below South Padre Island, and about 20 miles from Brownsville.
Summer pause: Small business sales growth tapers in June as consumers take a breather on spending None - Small business sales growth slowed in June as consumers took a pause on spending Summer pause: Small business sales growth tapers in June as consumers take a breather on spending Small business sales growth slowed in June as consumers took a pause on spending. That's according to new data from financial services and payments provider Fiserv. Consumers have been reining in spending as high prices on groceries and other necessities and high interest rates weigh on their pocketbooks. The Commerce Department reported Tuesday that sales for retailers of all sizes were flat in June from May. Nationally, the seasonally adjusted Fiserv Small Business Index, which rates small business performance, declined to 140 in June from 144 in May. Month-over-month sales at small businesses dipped 2.9% from May, and transactions fell by 1.5%. But sales and transactions rose compared to June 2023. The slowdown from May was driven by lower average ticket sizes as inflation slowed and consumers became more budget conscious, according to Fiserv. “As the quarter came to a close, consumers throttled back both spending and foot traffic across retail, restaurants and other service-based businesses,” said Prasanna Dhore, chief data officer at Fiserv. Some of this tapering could be due to short-term seasonal demand shifts, however. Notable increases in June spending came from rising premiums for insurance, higher summer foot traffic and new subscription sign-ups at web-based content hosting sites. But consumers cut back on small business spending and visits across a number of industries, including retail, accommodations, restaurants, ambulatory health care and professional services. The Fiserv Small Business Index uses point-of-sale transaction data, including card, cash, and check transactions in-store and online across about 2 million U.S. small businesses.