Business

No Image

Episode 661: The Less Deadly Catch

Alaskan fisherman David Fry and his baited hooks.
18:11

Download

Save this episode to Stitcher: Listen to this later on Stitcher

Alaskan fisherman David Fry and his baited hooks. Jess Jiang/NPR hide caption

itoggle caption Jess Jiang/NPR

Halibut fishermen in Alaska used to defy storms, exhaustion and good judgment. That’s because they could only fish in these handful of 24-hour periods. It was called the derby, and the derby made fishing the deadliest job in America.

Today on the show, the economic fix that made fishing safer. And why a lot of people hate it.

On the show we introduce you to David Fry, the owner of the Realist halibut boat.

Note: This episode contains explicit language.

Gutted halibut.

Gutted halibut. Jess Jiang/NPR hide caption

itoggle caption Jess Jiang/NPR

David Fry holds a hook, hoping for some halibut.

David Fry holds a hook, hoping for some halibut. Jess Jiang/NPR hide caption

itoggle caption Jess Jiang/NPR

Find us: Twitter/ Facebook/ Spotify/ Tumblr.

This entry passed through the Full-Text RSS service – if this is your content and you’re reading it on someone else’s site, please read the FAQ at fivefilters.org/content-only/faq.php#publishers.


No Image

Trader Found Guilty Of Commodity Fraud And 'Spoofing'

In the U.S. government’s first criminal prosecution of the manipulative trading practice known as “spoofing,” high-frequency trader Michael Coscia was found guilty on Tuesday. He was also found guilty of commodity fraud.

The practice of placing large orders to stimulate a market reaction, and then cancelling them while profiting off smaller orders is the manipulative trading practice called “spoofing.” It was banned under the Dodd Frank financial reforms.

NPR’s Sonari Glinton reports for the Newscast unit:

“Prosecutors say the goal was essentially to create the illusion that there was demand in a market. And then Coscia could make money off of small trades. … Coscia made about a million and half dollars on the scheme in three months, according to the government.

“Coscia was convicted of six counts of commodities fraud and six counts of spoofing. He faces a maximum sentence of 210 years in jail and seven and a half million dollars in fines.”

Bloomberg reports that one of Coscia’s lawyers “argued that high-frequency traders routinely canceled orders. He told the jury that Coscia’s trading strategy was unique but not illegal.”

This entry passed through the Full-Text RSS service – if this is your content and you’re reading it on someone else’s site, please read the FAQ at fivefilters.org/content-only/faq.php#publishers.


No Image

TransCanada Puts U.S. Permit Application For Keystone XL Pipeline On Hold

TransCanada, the company applying to build the controversial Keystone XL oil pipeline that is designed to run from Alberta, Canada, to the Gulf of Mexico, has suspended its U.S. permit application while it works with authorities to gain approval for its preferred route through Nebraska.

TransCanada has asked the State Department to pause its review of the application to build the project, the Associated Press reports.

The legal battle over the portion of the pipeline planned for Nebraska is ongoing, as we previously reported:

“The court battle is over where the pipeline will be located. An early proposed route through the environmentally sensitive Sand Hills region was widely criticized. But after the pipeline company TransCanada changed the route, Republican Gov. Dave Heineman approved it.

“Pipeline opponents have argued before the state Supreme Court that the governor did not have the authority to approve the new route. They say that under Nebraska law, only the state Public Service Commission can approve it. Justices are expected to announce their ruling in coming months.”

This entry passed through the Full-Text RSS service – if this is your content and you’re reading it on someone else’s site, please read the FAQ at fivefilters.org/content-only/faq.php#publishers.


No Image

Words You'll Hear: 'Marijuana Monopoly'

3:54

Download

Michel Martin takes a look at the phrase “marijuana monopoly.” It’s an idea at the heart of the debate over Ohio’s marijuana legalization initiative, which is on the ballot this week.

Transcript

MICHEL MARTIN, HOST:

Now we turn to our feature Words You’ll Hear. That’s where we highlight one of the big stories of the coming week by parsing one or two of the words associated with it. For this week’s conversation, it’s actually a phrase – marijuana monopoly. Now, I know that sounds like an unauthorized version of a popular board game, but it is not. It’s actually an idea at the heart of the debate over whether to legalize marijuana in Ohio. We’re talking about it because the issue is on the ballot this coming week. Lewis Wallace is an economics reporter with WYSO in Yellow Springs, Ohio, and he’s with us now to tell us all about it. Lewis, thanks so much for joining us.

LEWIS WALLACE, BYLINE: Thanks for having me.

MARTIN: So to begin with, what’s a marijuana monopoly? It just – I mean – I’m not trying to be mean but actually kind of sounds like a drug cartel?

WALLACE: Right, so the idea that this is a monopoly is itself a little bit controversial. But basically, the way this marijuana amendment would work if it passes is that it would grant growing rights to just 10 groups of investors in Ohio. So there would only be 10 growing sites in the state, and groups of wealthy investors already have the rights to those sites, meaning nobody else – your small farmer couldn’t sort of step in and become a part of this, at least not until quite a bit later.

MARTIN: What’s the logic of that? Why?

WALLACE: The idea, according to ResponsibleOhio, which is the group sponsoring this amendment, is one, to make it easier to just regulate and track all the marijuana that’s grown in the state, and two because they needed somebody to bankroll this campaign. And so they signed up this group of investors early on. They’re planning to spend $20 million by the time Tuesday is up.

MARTIN: Investors – I understand that there are some interesting names associated with this.

WALLACE: Right, so these 10 groups are really kind of amazing. They include people like former NBA star Oscar Robertson, NFL player Frostee Rucker, Nick Lachey from the boy band 98 Degrees. There’s a couple of people in Cincinnati who are relatives of the late-President William H. Taft, all of whom are part of investing in this marijuana initiative in Ohio.

MARTIN: How likely is the passage of this amendment? What are people saying about it? Where’s public opinion going on this?

WALLACE: The most recent poll that I looked at from the University of Akron shows that it’s basically a neck-and-neck race, and there’s about 8 percent of voters still undecided. So it’s really going to depend on those folks to pass Issue 3.

MARTIN: That’s what it’s called – Issue 3 – that’s where it is on the ballot. So where are the political alliances shaking out on this?

WALLACE: Well, we have our traditional marijuana legalization opponents – chambers of commerce, a lot of Republican legislators. And then we have our traditional marijuana legalization proponents, like people who are really into medical marijuana feel like this is a really important initiative. Then there’s a lot of people that fall in this weird in-between place. So there are some Republicans who are part of this kind of getting in at the ground level investment process with this marijuana initiative. And there are some pretty far to the left marijuana advocates who think this is the wrong way to do it, that it shouldn’t be a monopoly or an oligopoly that’s limited to certain growers. And so they don’t want to pass this particular amendment.

MARTIN: So not to get too far into the weeds, what’s the significance to the nationwide effort to legalize marijuana? Obviously, a lot of people are taking a look at this outside of the state. Why is that?

WALLACE: Ohio would be the most populous state to legalize medical and recreational marijuana. It would also be the first state to do it in this way, where it kind of comes out of the gate saying we’re really only going to allow certain people in on the ground floor in terms of growing rights. So that’s where this marijuana monopoly concept is really important. And if it does pass, I think we will be hearing about it a lot because it kind of sets a different precedent than other marijuana legalization efforts in other states.

MARTIN: Lewis Wallace is an economics reporter with WYSO in Yellow Springs, Ohio, telling us about marijuana monopolies. Lewis Wallace, thanks so much for speaking with us.

WALLACE: Thank you.

Copyright © 2015 NPR. All rights reserved. Visit our website terms of use and permissions pages at www.npr.org for further information.

NPR transcripts are created on a rush deadline by a contractor for NPR, and accuracy and availability may vary. This text may not be in its final form and may be updated or revised in the future. Please be aware that the authoritative record of NPR’s programming is the audio.

This entry passed through the Full-Text RSS service – if this is your content and you’re reading it on someone else’s site, please read the FAQ at fivefilters.org/content-only/faq.php#publishers.


No Image

At This Sandwich Shop, A Vietnamese Pop Star Serves Up Banh Mi

Lynda Trang Dai sits inside her restaurant, Lynda Sandwich, in Orange County, Calif.
4:50

Download

Lynda Trang Dai sits inside her restaurant, Lynda Sandwich, in Orange County, Calif. Lisa Morehouse/For NPR hide caption

itoggle caption Lisa Morehouse/For NPR

In Orange County, Calif., there’s no shortage of restaurants selling bánh mì, that delicious Vietnamese sandwich of meat, pate, fresh and pickled vegetables on a crunchy baguette. The OC’s Little Saigon is home to the largest Vietnamese population outside of Vietnam. One shop in the town of Westminster stands out from the rest: It’s got an actual pop star behind the counter, a woman known as the Vietnamese Madonna.

Lynda Trang Dai is certainly glamorous for a sandwich maven. She sports stiletto heels, a short skirt, and perfect make-up — including false eyelashes.

Her shop, Lynda Sandwich, sits in the middle of a parking lot in a strip mall. Inside, though, it feels like a posh living room, with lush plants, brightly painted murals of her idols like Michael Jackson and Marilyn Monroe, and a wide-screen TV playing the Food Network. And for many of her customers, Lynda is a bit of an idol herself.

“I used to, like, watch her in videos with my parents when I was a kid growing up. So, she’s pretty famous among the Vietnamese community,” says customer Patrick Pham, adding sheepishly, “I never met her, personally,” even though she’s actually at a table just a few feet away. He’s clearly star-struck, but he insists he comes for the bánh mì.

“They have really good food here,” he says. “Really simple. I think the whole baguette came from like France, when they colonized us for 100 years.”

Leaving Vietnam

Lynda Trang Dai’s life story is pretty extraordinary, but as she talks even about her earliest days, in the ’70s in Central Vietnam, it’s clear that food has always been central.

“I remember sitting on this wooden table, my grandmother taught me how to make bánh bèo, dough with shrimp on it,” a dish she still loves, she says. After the war, her family went from well-off to poor, and she remembers, “I would buy fruit, a whole big watermelon, cut it up, and sell it and make money.”

Then, in 1979, her father got tipped off that the government suspected him of aiding the CIA during the war. They escaped at 2 in the morning, family members split between tiny boats.

“We had to be quiet, so quiet,” Lynda remembers. “It was scary. If we got caught, we’d go to jail.” They went through storms and ran out of food, and finally found some refuge on a Chinese island, where she says they were fed rice with sugar. “It’s strange to eat rice with sugar, but it was so good at the time.”

They got back on the water, headed for Hong Kong, and then saw the large British ship that would save them. They all started waving. “I could never forget, it was just unbelievable, the most amazing moment,” Lynda remembers, choking up. “When we got up for them to rescue us into land, they gave us croissants. That was like going from hell to heaven.”

The beginning of pop stardom

Lynda Trang Dai performs at a show earlier this year in Westminster, Calif. She continues to perform internationally.

Lynda Trang Dai performs at a show earlier this year in Westminster, Calif. She continues to perform internationally. Lisa Morehouse/For NPR hide caption

itoggle caption Lisa Morehouse/For NPR

But when her family got to the U.S., she developed another passion, and found her first career. As a high school student, she started singing in tiny venues around Little Saigon, putting up her own fliers, until one night she was discovered singing at a club. She was invited to film her first spot in a variety show called Paris By Night — a hugely popular video series — so she missed her high school graduation and flew to France.

She became a star, dressing provocatively and singing in both English and Vietnamese, a draw for young Vietnamese Americans. In the 1990s in any home throughout the Vietnamese diaspora, you’d probably find a VHS tape featuring Lynda Trang Dai. The videos even made it back to Vietnam in a kind of grey market. “Back then, it’s illegal to watch,” Lynda explains, adding that if people got caught they could go to jail.

But millions in Vietnam did watch.

The influence of Vietnamese food

As she started touring, Lynda’s obsession with Vietnamese food remained constant. She says the first time she went to Australia, she brought food on the plane with her, including bánh bèo and a noodle soup that she asked the flight attendant to heat up. She soon found there was good Vietnamese food all over the world, and started a kind of ritual wherever she touched down. “In any city I’d go to, I’d just check in on the hotel, throw all my luggage down and go and find a Vietnamese restaurant,” she says.

She still tours a lot, but when I visit, she’s performing in Westminster, Calif., in a banquet hall converted to a club for the night. People in the crowd are dressed to the nines, including sisters Hang and Juliette Nguyen, who grew up in Alabama in the ’80s. Lynda, they say, was one of the big Vietnamese stars of their youth.

She was the Madonna, “the Vietnamese Madonna,” the Nguyen sisters say in unison.

Tonight, the singer is dressed in a barely-there strappy outfit, fitting the sex-symbol image the sisters remember. But Lynda says that’s just her onstage persona. “When I’m off stage, I’m like 100 percent completely different, a total Vietnamese traditional girl who takes care of their family, food on the table, everything,” she says.

Case in point: She started her sandwich shop as a business with her family, and though a small staff does most of the food prep and sales, Lynda Trang Dai is still is the only one to make the special Lynda Sauce.

“Sometimes when I travel to Australia to sing on a tour, or to Europe, I would be up all night here making sauce, and just sleep on the plane if I have to,” she says. Anything, she says, for a great meal.


Lisa Morehouse’s series California Foodways is supported by Cal Humanities. She produced this story while at a residency at Mesa Refuge. The story first aired on KCRW’s Good Food as part of the Independent Producer Project.

This entry passed through the Full-Text RSS service – if this is your content and you’re reading it on someone else’s site, please read the FAQ at fivefilters.org/content-only/faq.php#publishers.


No Image

NFL Player Pierre Garcon Files Class-Action Lawsuit Against FanDuel

NFL wide receiver Pierre Garcon has filed a class-action lawsuit against the daily fantasy company FanDuel, for misusing players' names and likenesses without proper licensing or permission.

NFL wide receiver Pierre Garcon has filed a class-action lawsuit against the daily fantasy company FanDuel, for misusing players’ names and likenesses without proper licensing or permission. Getty Images hide caption

itoggle caption Getty Images

Washington wide receiver Pierre Garcon has filed a class-action lawsuit on behalf of NFL players against the daily fantasy sports site FanDuel, alleging it misuses players’ names and likenesses without proper licensing or permission.

NPR’s Nathan Rott reports for the Newscast unit:

“Attorneys for Garcon, say that FanDuel ‘knowingly and improperly exploits the popularity and performance,’ of Garcon and other NFL players without their permission.

“Their class-action lawsuit, filed in Maryland, goes on to say that the daily fantasy site uses the names and likenesses of NFL players, like Garcon, in television ads without their authority.”

Daily fantasy sports, namely FanDuel and its competitor, DraftKings, have exploded in popularity in recent years. DraftKings, however, reached an agreement with the NFL Players Association in September, which would seem to protect it from a similar lawsuit, Rott reports.

FanDuel has this comment on the suit:

“We believe this suit is without merit. There is established law that fantasy operators may use player names and statistics for fantasy contests. FanDuel looks forward to continuing to operate our contests which sports fans everywhere have come to love.”

Garcon’s lawsuit isn’t the only potential legal trouble facing the daily fantasy industry.

Earlier this month, the New York State attorney general opened an investigation into the companies’ practices after questions emerged over whether employees for the daily fantasy companies use proprietary information to win thousands of dollars.

The investigation arose after an employee won hundreds of thousands of dollars, as we previously reported:

“On at least a temporary basis, the two large fantasy companies are barring their employees from games on either the Draft Kings or FanDuel site, after a DraftKings employee, in a seemingly inadvertent move, released data showing which NFL players were used in the most fantasy lineups — before some games had started.

“That same employee won $350,000 in a contest on the FanDuel site, reports theDaily Fantasy Sports site, which is using the scandal as a spur to call for regulationof the billion-dollar fantasy sports industry.”

This entry passed through the Full-Text RSS service – if this is your content and you’re reading it on someone else’s site, please read the FAQ at fivefilters.org/content-only/faq.php#publishers.


No Image

Pennsylvania Schools Short On Funds As Budget Stalemate Continues

3:53

Download

The governor and legislators can’t agree how to fix the deficit or how much money schools should get. Meanwhile, districts are taking out loans and racking up interest costs to keep the lights on.

Transcript

ARI SHAPIRO, HOST:

Pennsylvania’s Democratic governor is fighting over the state budget with the Republican-controlled legislature. At this point, this year’s budget is almost four months overdue. Schools that rely on state funding are feeling it. Solvejg Wastvedt sent this report.

SOLVEJG WASTVEDT, BYLINE: Fifth period just ended at Carbondale Area High School in northeastern Pennsylvania. Superintendent Joe Gorham stands in a patch of sun from a hallway skylight handing out hellos. He moves to the side as students rush by. Gorham says, the fishies are swimming.

JOE GORHAM: You don’t go against the stream, you follow the fishies. It’s much safer that way.

WASTVEDT: Despite the jokes, there are creases of worry on Gorham’s forehead and his voice is strained. Carbondale has big financial problems looming because of Pennsylvania’s late budget. The small district always has tight finances. Over half its students qualify for free or reduced-price lunches. Now they’re missing over half their $22 million budget because they haven’t received any state aid yet. Gorham says they took out almost a million dollars in loans back in June and that money is nearly gone.

GORHAM: We just had to authorize going after probably another $2.3 million.

WASTVEDT: The extra loan would just cover salaries and health care costs. Gorham rattles off a list of day-to-day expenses that it wouldn’t touch.

GORHAM: You have heating. You have lighting. You have the copier machines. You have technology. You have phone services.

WASTVEDT: Carbondale senior Sydney Toy says she hasn’t noticed changes at school yet, but she’s losing patience with her elected officials. The Democratic governor and Republican legislative leaders can’t agree on how to fix Pennsylvania’s big deficit. Toy says school findings should come ahead of all that political maneuvering.

SYDNEY TOY: We can’t just sit around and wait and keep putting it off, and putting it off and putting it off. I feel like this is something that needs to come first before anything else.

(SOUNDBITE OF ARCHIVED RECORDING)

TOM WOLF: The math has to actually work. We have to be honest about our budgeting.

WASTVEDT: That’s Governor Tom Wolf in a recent address. He insists that the state needs tax increases to balance its books, and he hasn’t budged yet. Earlier this fall, he vetoed a temporary funding bill. Instead, his administration offers to guarantee loans for school districts.

JAY BADAMS: We don’t see that as a good option.

WASTVEDT: Jay Badams leads the Erie School District. It’s much bigger than Carbondale and also has high levels of poverty. It depends on the state for 70 percent of its $178 million budget. The district hasn’t paid any of its vendors since July, and soon it won’t be able to pay teachers. But Badams bristles at interest costs that make loans expensive in the long run. His district arranged a loan that it hasn’t closed on yet. It would get them through mid-January and cost more than $100,000 in interest.

BADAMS: That would be the equivalent of two teacher salaries, a thousand textbooks, hundreds of computers.

WASTVEDT: Instead, Erie asked for an advance on its state funding, but the state treasury and the governor said no. Last month, the school board authorized Badams to consider temporarily shutting down the district if needed. So far he hasn’t taken that option.

Joe Gorham at Carbondale has thought about similarly drastic measures – taking three-day weekends to save on heating costs. But both superintendents hesitate because high numbers of their students get free or reduced-price meals at school. For Gorham, it’s a last resort and it depends how long the stalemate lasts.

GORHAM: We laughed back in June when they said, look, this budget’s not going to be realized until frost is on the pumpkins.

WASTVEDT: Now he worries it may not get done before February. For NPR News, I’m Solvejg Wastvedt.

Copyright © 2015 NPR. All rights reserved. Visit our website terms of use and permissions pages at www.npr.org for further information.

NPR transcripts are created on a rush deadline by a contractor for NPR, and accuracy and availability may vary. This text may not be in its final form and may be updated or revised in the future. Please be aware that the authoritative record of NPR’s programming is the audio.

This entry passed through the Full-Text RSS service – if this is your content and you’re reading it on someone else’s site, please read the FAQ at fivefilters.org/content-only/faq.php#publishers.


No Image

Uber Surge Price? Research Says Walk A Few Blocks, Wait A Few Minutes

This map, created by Christo Wilson of Northeastern University, shows Uber surge price areas in Boston.

This map, created by Christo Wilson of Northeastern University, shows Uber surge price areas in Boston. Courtesy of Christo Wilson hide caption

itoggle caption Courtesy of Christo Wilson

Uber prices vary in these sections of the Bay Area, as shown on a map created by Christo Wilson. He found differences in surge frequencies by cities, with San Francisco Uber prices surging 57 percent of the time.

Uber prices vary in these sections of the Bay Area, as shown on a map created by Christo Wilson. He found differences in surge frequencies by cities, with San Francisco Uber prices surging 57 percent of the time. Courtesy of Christo Wilson hide caption

itoggle caption Courtesy of Christo Wilson

Christo Wilson has created this map to show Uber surge areas in Manhattan, where he says prices surge 14 percent of the time.

Christo Wilson has created this map to show Uber surge areas in Manhattan, where he says prices surge 14 percent of the time. Courtesy of Christo Wilson hide caption

itoggle caption Courtesy of Christo Wilson

Uber has shaken up what it takes to get from point A to point B in cities across the country with a simple premise: If you need a ride, a driver nearby could pick you up within minutes.

Behind that idea is an algorithm, which promises to keep supply and demand in constant balance, encouraging drivers toward busy areas and tempering customer requests by increasing the price of each ride. It’s called surge pricing.

Those who have used Uber know what surge pricing is a temperamental beast. It changes quickly, varies seemingly unpredictably and has gotten heat from consumers, regulators and even drivers themselves. Uber says without surge pricing, the whole premise of a ride in minutes falls apart when there’s a crush of demand.

But how exactly does Uber’s algorithm work? The company doesn’t say. A team of researchers at Northeastern University decided to find out by doing what they call algorythmic auditing.

They found that for customers, it pays to be patient — or to walk a few blocks to a less crowded area.

“If you go on eBay or Amazon, you can see, these are all the people who are selling the product, these are all different prices,” says Christo Wilson, one of those researchers. “But Uber is different. They have this algorithm and they say it changes prices based on supply and demand, but it’s a black box. You have to trust that it’s working correctly, because you can’t verify. You don’t know how many customers there are, you don’t know how many other drivers there are.”

Here’s what Wilson and his colleagues, Le Chen and Alan Mislove, did. In simplest terms, they created 43 Uber accounts and wrote a script that logged into those accounts, pinged Uber’s servers every 5 seconds (as a regular account would) and recorded the information about Uber drivers in Manhattan and San Francisco.

The team tested their tracking methodology on a public database of New York taxis to make sure they could extrapolate information about the vast majority of cars in the fleet. Then they studied Uber cars’ comings and goings, and eventually combined that research with Uber’s publicly available tools and information to analyze how they correlated with surge prices.

In their paper, presented Thursday at the Internet Measurement Conference in Tokyo, they share what comes down to a few big takeaways:

  • Surge prices do temper demand.
  • Sometimes they do entice more drivers to go to busy areas and sometimes they don’t.
  • They vary not only by city but also by sections of the city with what appear to be manually created boundaries of each surge area.
  • They most commonly last less than 10 minutes and often less than 5 minutes (and prices are updated every 5 minutes).

“[Surge pricing] is working in a sense that it is responding to supply and demand, but I would argue that it’s not working as intended,” says Wilson, who is an assistant professor in the College of Computer and Information Science.

“What we see is that demand drops precipitously, cars stop getting booked and drivers are just sitting there. And actually there’s a lot of drivers who drive away from surges … . If the incentive was working the way it should, you would expect there always to be an incentive for [drivers] to always move in. But in this case, the result is mixed.”

With that, comes advice to Uber users: When prices are surging, waiting a few minutes or walking a few blocks to a different area may result in a cheaper ride.

Uber doesn’t dispute the existence of pre-defined surge areas and the super-fast turnaround of surges, and says both allow the app to quickly calibrate supply and demand.

Wilson suggests that it’s the short lifespan of a surge price that may create the mixed response from drivers, not giving drivers enough time to respond to the price surges that effectively reflect the demand from five minutes earlier.

Uber spokeswoman Molly Spaeth tells All Tech that the company has heard its drivers’ calls for better ways to make use of the surge prices — to make them work as they are intended.

Uber earlier this month revealed a redesigned app for its drivers. One of the elements is meant to help drivers predict where the next wave of customers will be located on an even more granular level than the surge area maps that Wilson’s team has figured out, which you can see on this page.

“People love Uber because they can push a button and get a ride quickly and reliably—wherever they are in a city. And dynamic or surge pricing helps make that possible,” Spaeth says in a statement.

“It encourages drivers to go to the neighborhoods with the highest demand, ensuring there’s always a ride available within minutes. Contrary to the findings in this report—which is based on extremely limited, public data—we’ve seen this work in practice day in day out, in cities all around the world.”

This entry passed through the Full-Text RSS service – if this is your content and you’re reading it on someone else’s site, please read the FAQ at fivefilters.org/content-only/faq.php#publishers.


No Image

Walgreens To Buy Drugstore Competitor Rite Aid For $9.4 Billion

On Tuesday, Walgreens confirmed that it plans to acquire drugstore competitor Rite Aid for $9.4 billion.

As The Wall Street Journal first reported, the move “would create a drugstore giant at a time when companies in nearly every corner of the health-care industry are seeking to gain advantage from bulking up.”

NPR’s Sonari Glinton reports for the Newscast unit:

“Walgreens buying the Rite Aid chain gives the company more than just stores, though it will get a lot of those.

“Walgreens is currently the largest drug store retailer and Rite Aid is No. 3. The combined company would have 18,000 stores worldwide.

“In addition to getting a retail presence that’s bigger by 50 percent, Walgreens is getting more leverage as a buyer of pharmaceuticals.

“The combination of the two companies would need the approval of the Federal Trade Commission, which studies retail mergers, to make sure they comply with antitrust law.

“Rite Aid is expected to keep its name after the deal closes.”

This entry passed through the Full-Text RSS service – if this is your content and you’re reading it on someone else’s site, please read the FAQ at fivefilters.org/content-only/faq.php#publishers.


No Image

Ready, Set, Drone: Walmart Joins Amazon, Google In Testing Delivery Drones

Joining Amazon, Google and other companies, Walmart will test drones for commercial uses like home deliveries.

Joining Amazon, Google and other companies, Walmart will test drones for commercial uses like home deliveries. Danny Johnston/AP hide caption

itoggle caption Danny Johnston/AP

Signaling its intent to compete with Amazon and other companies in using drones to fill and deliver online orders, Walmart has applied for permission to test drones for home deliveries and curbside pickup.

NPR’s Laura Sydell reports for our Newscast unit that Walmart has already been testing drones inside:

“According to an application filed with the Federal Aviation Administration the company wants permission to research drone use in deliveries to customers at Walmart facilities as well as consumer homes. The application comes as Amazon, Google and other companies test drones. The FAA is expected to establish rules for use of commercial drones over the next 12 months.

“Commercial drone use is currently illegal, and polls show that the majority of Americans don’t like the idea of drones making deliveries. The FAA will review Walmart’s application and decide if it should be fast-tracked or if the company qualifies for an exemption from the rules, which would involve seeking public comment.”

The drones will also be used to check warehouse inventory and make distribution more efficient.

“Drones have a lot of potential to further connect our vast network of stores, distribution centers, fulfillment centers and transportation fleet,” a Walmart spokesman told Reuters. “There is a Walmart within five miles of 70 percent of the U.S. population, which creates some unique and interesting possibilities for serving customers with drones.”

This entry passed through the Full-Text RSS service – if this is your content and you’re reading it on someone else’s site, please read the FAQ at fivefilters.org/content-only/faq.php#publishers.