18 Burst results for "Jb Stroble"
"jb straubel" Discussed on The Tech Guy
"There's been pilots done with used EV batteries using them for stationary storage. For power backup for data centers and things like that. But as we go forward, is more and more EVs are built. We're going to need a lot more batteries and a lot more of the raw materials that go into batteries. And so there's a lot of effort going into recycling now, battery recycling. And actually, lithium ion batteries are one of the areas where a lot of progress is being made, and then there's actually several companies that are doing lithium ion battery recycling. And a fairly large scale right now. Most particularly a company called redwood materials. There's based in Nevada started by JB straubel, the former chief technical officer of Tesla. And they are collecting both used EV and hybrid batteries from vehicles, but also consumer electronics batteries. And the nature of these batteries are a process process called hydro metallurgy, where they can basically they shred the battery, they break it down, and then they put it on a solvent bath, essentially. And they can separate out all the key raw materials, things like nickel, manganese, cobalt, copper, and aluminum. And then they reprocess it back into the forms to go right back into new battery production. And as the number of EV production ramps up over the next several years, this is going to be a key part of meeting the demand for raw materials for batteries. We expect eventually by sometime in the 2030s, when there's a critical mass of EVs reaching their end of life that a significant portion of the raw materials going into battery production will be recycled materials. And there's actually evidence that the performance of batteries made from these recycled materials can actually be better than from virgin materials right out of the ground. Because each time you recycle the battery, your continuously refining it, you're taking more impurities out of those cathode materials. And so you can actually get the superior performance with batteries made with recycled materials. Right now, redwood is doing about enough materials for about 6 gigawatt hours a year worth of batteries, which is probably about 60,000 vehicles, 60,060 to 80,000 new EVs depending on the size of the batteries. By 2030, or by 2025, they expect to be at a hundred gigawatt hours. And by 2030, they want to be at 500 gigawatt hours. And there are several other companies doing this as well. So we're going to see a lot of battery recycling as the number of available batteries to recycle increases over the course of the next ten years. You're going to see a lot more battery recycling done as well. Up until now, there hasn't been much of it because they're just enough batteries. Enough EVs that are reached end of life. Let's see. User 82 61 says hoping a third party will come along to offer replacement Tesla battery packs. Yeah, I wouldn't bet on that. I wouldn't hold your breath on that one..
"jb straubel" Discussed on Business Wars
"Damn right. It's been good for us and good for Panasonic, I think. Two years ago, Panasonic was undercut by cheaper Chinese competitors and lost billions on flat screen televisions and mobile phones. It's been rough. We've laid off over 10,000 workers, but we're restructuring our focus toward battery production, which is why renewing and growing our partnership with Tesla makes so much sense. All good. We'll sell 50,000 a year and the same for the model X in 2015. And there's going to be huge demand for the model three when it debuts in 2017. I'm looking at half a million a year. As usual, Musk is dreaming big. But if interest and demand keep rising, he may not be far off. It all hinges on having millions of lithium ion batteries on hand to keep assembly lines moving around the clock. Without the cells, Tesla can't compete with Detroit. Musk looks at the Panasonic reps and waits for the good news. No doubt they'll offer a price cut to reflect this huge increase in orders. This is an exciting growth period Elon. Panasonic will be happy to accommodate Tesla's needs. I'm sure we can work out the price increase. Excuse me, price increase, Musk is so shocked. He's not even yelling. That's right. Is there a problem? Musk smiled. A problem? No, nothing we can't deal with. Thanks for your time, gentlemen. The minute the Panasonic executives leave. Musk turns to his manager. He's strangely calm. Okay, here's the plan. We're building our own battery factory. The manager just stares at him in musters up a nod. It's a daunting, maybe even crazy idea. But that's the way Musk operates. Making lithium ion cells is not easy, and building a factory for such a task is not cheap. To create millions of batteries, Tesla engineers estimate they'll need a structure more than four times the size of Disneyland. It will be populated by some 6500 workers, and it will cost around $5 billion. But the benefits are enormous. Making batteries under its own roof will bring down costs on shipping alone. Tesla can finally mass produce an affordable EV. For under $35,000. If they can pull it off, Tesla could compete as a major automaker, and the move would allow EVs to climb out of a niche market that no company big or small from Tesla to Nissan de Chevy has been able to do. The only problem is the $5 billion price tag. Tesla has roughly $800 million to spend. But Panasonic isn't going away. Yoshi yamata is a veteran Panasonic vice president with a keen knowledge of western business practices. When word of Musk's plans reaches him, he steps in to calm things down and maintain relations. He reaches out to Tesla asking what he can do. He's going to get an answer. It's January 2014 in Palo Alto, California. Elon Musk and Tesla's chief technical officer cofounder JB straubel are taking a drive to clear their heads. JB, where are we going to get the funds for this factory? It's a question that Musk and strawberry have been ruminating on. The answer is the key to Tesla's future. Well, here's what I'm thinking. We hit up Panasonic for probably half the funding. Yeah, yamada is desperate to do business. That's for sure. And whichever state we end up building in, we get them to give us major incentives and say 10% of construction costs. Right, we'd be bringing in thousands of jobs. It's an excellent gambit. California would be good, close to home. Sure, but what about sparks Nevada? It's cheap and they'll jump at the idea. If we can get that going, we can have yamada come out for a visit. You can watch a few bulldozers at work and it'll sell the idea we're moving forward. With or without Panasonic, hell yes. The men know that secrecy is important. If the site is publicized, it will appear that Tesla is already good to go. Nevada will have no reason to kick in funding and incentives. It's risky, but if it pays off, the company's problems are solved. A month later, yamata makes the trip to Nevada. Straw bowl guides him around the side as bulldozers shift around massive amounts of dirt. Place is a hive of activity. It's pure theater, but it looks like a major project is underway. Yamada buys the ruse. He tells his bosses, they need to team up with Tesla, or be left in the cold. In July, the union between Tesla and Panasonic to create a large scale battery factory hits the press. Musk calls it the Gigafactory. It'll reduce battery costs. In turn, reducing the sticker price for any Tesla EV. In the coming weeks, the sparks Nevada site will become official. There's nothing standing in the way of Tesla taking on Detroit for EV dominance. And pushing electric vehicles beyond a niche market. But Musk isn't waiting to see whether that will go his way. No. He has his eyes set on going to war with Detroit. Over the biggest car market on the planet. China. In 2009, China pushed aside the United States as the world's leading auto market. It's held that position ever since. General Motors alone sold 3 million vehicles annually in China in the last three years. The company has over 40 models and 7 brands on sale in the country, with luxury SUVs being a huge draw to the growing middle class. But GM is hardly alone. Top sellers in 2014 include models by Hyundai. Volkswagen, and Nissan. But China is choking on its own pollution. Which helps to make it the largest market for electric cars. On the planet, in April, Musk personally delivers the first 9 model sedans in Beijing. The recipients pay about $122,000 each for the EVs. They're part of China's growing wealthy demographic who flaunt luxury cars. Just the people must wants..
"jb straubel" Discussed on TED Talks Daily
"All right. So I would love to try to understand this brain of yours. Here was one of the thousands of questions that people are. I thought this was actually quite a good one. If you could go back in time and change one decision, you made along the way. Do your own edit button, which one would it be and why? Do you mean like the career decision or something? Just any decision over the last few years, like your decision to invest in Twitter in the first place or anything. I mean, the worst business decision I ever made was not starting Tesla with just JV's travel. By far the worst decision I've ever made is not just starting Tesla with JB. That that's the number one by far. All right, so JB straubel was the visionary cofounder who was obsessed with and knew so much about batteries and your decision to go with Tesla. The companies that was meant that you got locked into what you concluded was a weird architecture now. There's a lot of confusion. Tesla Tesla did not exist in any Tesla was a shell company with no employees. I know intellectual property when I invested, but a false narrative has been created by one of the other cofounders of Martin eberhard. And I don't want to get into nastiness here, but I didn't invest in an existing company. We created a company. And ultimately, the creation of that company was done by JV and me. And unfortunately, there's someone else another cofounder who has made it his life's mission. To make it sound like he created the company, which is false. Wasn't there another issue right at the heart of the development of the Tesla Model three, where Tesla almost went bankrupt. And I think you have said that part of the reason for that was that you overestimated the extent to which it was possible at that time to automate a factory, huge amount was spent kind of over automating. And it didn't work. And it nearly took the company down. Is that fair? I mean, first of all, it's important to understand what is Tesla actually accomplished that is most noteworthy. It is not the creation of an electric vehicle or creating electrical vehicle prototype or low volume production of a car that have been hundreds of car startups over the years, hundreds. And in fact, at one point, Bloomberg counted up the number of electric vehicle startups, and I think they got to almost 500. So the hard part is not creating a prototype or going into limited production. The absolutely difficult thing, which has not been accomplished by an American car company in a hundred years, is reaching volume production without going bankrupt. What is the actual hard thing? The last company American company to reach volume production without going bankrupt was Chrysler in the 20s. And it nearly happened to Tesla. Yeah, so but it's not like, oh jeez, I guess if we're just done more manual stuff, things would have been fine. Of course not. That is definitely not the case. So we're basically messed up almost every aspect of the model three production lane. From cells to pax to driving voters, motors, body line, the paint shop, final assembly, everything, everything was messed up. And I lived in that I lived in the Fremont and Nevada factories for three years. Fixing that production line running around like a maniac through every part of that factory. Living with the team, and I slept on the floor so that the team who was going through a hard time could see me on the floor. They knew that I was not in some ivory tower. Whatever pain they experienced, I was I had it more. And some people who knew you well actually thought you were making a terrible mistake that you were driving your driving yourself to the edge of sanity almost. And that you were in danger of making bad choices. And in fact, I heard you say last week, Elon, that you because of Tesla's huge value now and the significance of every minute that you spend, that you are in danger of obsessing over it, spending all this time to the point of to the edge of sanity. That doesn't sound super wise, isn't there your time, your completely saying centered rested time and decision making is more powerful and compelling than that sort of I can barely hold my eyes open. So surely it should be an absolute strategic priority to look after yourself. I mean, there wasn't any other way to make it work. Those three years of hell, 17 8, 2017, 18 and 19, were three years as long as period of excruciating pain in my life. There wasn't any other way. And we barely made it and we were on the ragged edge of bankruptcy the entire time. So when you got one, I don't like it. Those were three, so much pain. But it had to be done or Tesla would be dead. When you looked around the Gigafactory that we saw images of earlier last week and just see where the company has come, I mean, do you feel that this challenge of figuring out the new way of manufacturing that you actually have an edge now that it's different that you've figured out how to do this? And those three years won't be repeated. You've actually figured out a new way of manufacturing. At this point, I think I know more about.
"jb straubel" Discussed on The Tech Guy
"Number of EVs on the road. And so as a result, the utilization of these chargers has not been as high as they would have expected. So they are, in fact, losing money. As for the manufacturers, I wouldn't necessarily say that they're gouging all that much. Yes, $55,000 is not cheap for a Mach-E. But it does cost more to build EVs currently. Still, than it does to build gas engine vehicles. And a big part of that is the battery. The battery accounts for about one third of the cost of a typical EV. And in some cases, even more. And one of the things we've seen over the last year, in particularly over the last several months, is a real run up in the commodity prices for some of the key metals that have to go into batteries, especially nickel. Since the start of the war in Ukraine, the price of nickel, which significant about 10% of the world's nickel supply is sourced from Russia. The price of nickel, more than doubled and they actually had to suspend trading on the spot market for nickel. And over the past year, the price of lithium has increased 5 fold. And to convert everything over to EVs, we're going to have to produce a lot more of these key metals. And also use other kinds of materials as well for batteries. And also rapidly increase recycling. Up until now, we haven't been able to do much battery recycling because for the same reason we haven't had as many EVs as we would have liked, which means that we haven't had as many EVs reach end of life. So there's not many batteries to recycle. As the number of EVs grows, we will have dramatically more recycling. Companies like redwood materials and life cycle and several others are cranking up their recycling efforts. Redwood, which was started by JB straubel, the former CTO of Tesla. Is already producing their recycling batteries and produce and extracting the key raw materials for battery production..
"jb straubel" Discussed on Tesla Daily: Tesla News & Analysis
"So maybe part of the logic is that if Tesla's getting another temporary permit, then maybe it's still going to be a little bit before that final permit is granted. Tobias does also note that the German government has received all of the documents that they need from Tesla, so there were some stories. I don't know when exactly maybe a couple weeks back, but some reports that some of those documents had been received yet. At least currently it doesn't seem to be the case. So that's where we're at with Berlin still just a waiting game as for Texas, kind of the same boat there. Some people expecting an announcement later this week. We shall see. I wouldn't be surprised if Tesla just throw some sort of an update into the Q four earnings report. That'll be in about three weeks. Then we do also have an update on Giga Shanghai. This is from Wuhan, who does the drone flowers there. He writes that, quote, according to the news, Tesla Shanghai factory internal transformation has begun. The current reservation is small and scale and does not affect production. At this stage, the main production is exporting Tesla and the working hours of employees are 12 hours per shift. So from my understanding, this is the continuation of a previous report that Tesla was going to be expanding from December 2021 through April 2022, adding a fourth General Assembly line, going from three to four lines, simple math on that. That could facilitate an increase of 33% or more in production. As for that 12 hours per shift component, it had previously been reported that Gigafactory Shanghai workers were working in 11 hour shifts, so who was actually saying this is an increase from 11 up to 12. Could possibly see increased production from that as well. Next on the docket, we've got a status update on the lawsuit of Tesla by Nikola motors. This was a $2 billion lawsuit in regard to the design of the Tesla semi. I say was because the lawsuit is no longer both Tesla Nicola filed to drop all claims and counterclaims against each other on this action. However, it was dismissed without prejudice, which means that the case could be pursued at a later time if things change in either company decides that they do want to end up pursuing it. I won't expect that. This is probably the last we'll hear of it, but that is a possibility. No updates on if Tesla decided to change anything, I would really doubt it. I think it's highly likely that Nicola just decided to stop pursuing. All right, next up here we've got an update from redwood materials and this actually is directly related to Tesla as well because redwood is going to be working with Panasonic for materials for the Gigafactory. Redwood materials writes quote by the end of 2022, Panasonic North America will include redwoods copper foil, produced from recycled materials back into new battery production at the Gigafactory. This will be the first time batteries will be recycled, remanufactured, and returned to the same factory and a closed loop. So kind of cool to see that. Obviously, redwood materials founded by JB straubel, former cofounder of Tesla, former CTO. Nice to see you a little bit of a reconnection there..
"jb straubel" Discussed on 90.3 KAZU
"Kim the toss who covered the Middle East for the BBC for twenty years and was raised in Lebanon during the civil wall she's written a new book called the black waves Saudi Arabia Iran and the forty year robbery and reveled culture religion and the collective memory in the Middle East that's on fresh it tonight this is market place I'm car result it's been quite a stretch for Tesla the past couple of months the electric car maker reported earnings yesterday blew past expectations shares continued the ride they've been on since before Christmas putting a market valuation of more than one hundred billion dollars on a company the last year so a little bit more than three hundred fifty thousand cars General Motors just for some context sold almost three million cars last year but never mind that this is been a pilot good news for Ilan mosque in his fans and a whole mess of bad news for the not small group of people selling Tesla's stock short dental wrote about him for Bloomberg thanks criminal my pleasure give me the thirty second this is short selling thing would you sure well there are traders who believe that companies are over valued and may bet against the company and when the company loses money they win and and what's fascinating about Tesla is that it is the most shorted stock right now as ever and even their shorts have lost I think it's about five point six billion dollars in twenty twenty they're still going at it and they are you know sort of doubling down the shorting thing with Tesla is really interesting for two reasons one is the fanatical nature and I say then operative we but these people are really obsessed with with Tesla anyone musk and shorting it but also how obsessed musk is with the shorts exactly it's been like a long running war for several years now and the obsession goes both ways the short sellers horse shorting the stock I mean they do an incredible amount of research not just digging through financials and filings in lawsuits and customer complaints but like on the ground research at the factory and they kind of shared on Twitter and then at the same time musky sort of obsessed with any tracks what they're doing very closely and they're not always really nice to each other but let me ask you this are shorts providing a service to the water investing public and and the rest of us for finding out what's going on with these admittedly important company in this economy well I I think it depends on who you ask I mean advocates would say that they have brought they have kind of democratize the due diligence process and they are sharing their research openly largely on social media for anyone else to pick up on and they have really done a lot of diligence where they might say that some investors have not detractors would say that they are just you know unrelentingly negative can't see the forest for the trees you know don't understand that the company has done a lot of good and that it's just like a toxic environment what's amazing to me is that they are hanging in there even after the last like what the six weeks in this stock where they're just getting killed the shorts on right and that's and that's what makes this such a such a sort of fascinating stories like the shorts will always live for another day I mean there's always something you look at that the earnings report yesterday you know everyone is digging into what's happening with the accounts receivable and why don't they give guidance for cap exiting there's always something that they're going to scrutinize to a level that I think is sort of unheard of for other publicly traded companies and it's interesting because so far anyway the shorts have been wrong they have not always been right but they write about some things I mean they often see they often sort of sense trends long before I mean the great example that I'll give is JB Straubel who was the CTO and co founder of the company frankly started selling off some of the shares and people in within Tesla queue which is what they're known called it they were like he's leaving he's leading and then sure enough you know he announced that he was moving on you know not that not that long ago so I mean they they they don't always I mean they're right just they don't always get it right but they are not always wrong just to recap here these people the shorts are losing real money five something billion dollars as you said is is there ability to keep doing this finite I mean that you can only lose so much yeah I mean you would think I mean I guess you would yeah you would you would think so and I mean this and this when we say short sellers me Mrs everything from you know large hedge funds to small retail investors did the way that people do their individual trades a sort of a mystery to me but the short interest is still very high and yeah I mean at what point people throw in the towel that'll cover set Tesla and SpaceX and she.
"jb straubel" Discussed on Bloomberg Radio New York
"Us through kind of what's going on here at Tesla is Lee indenting Liam's energy mining and commodities columns for bloodwork opinion joining us here in a Bloomberg interactive brokers studio so leave I want to start with the management change another bomb shell the investors were not expecting what happened so JB Straubel is as them a Tesla you know pretty much since the beginning he's listed as a co founder is the chief technology officer I would say second only to a mosque he is the person most identified with this company and to be honest rumors that he was stepping back was stepping down have been swirling for at least a few months so it didn't come as a total surprise but I think you know in the same way with the CFO's announced departure in January on on on the earnings coal you know the still came as a bit of a shock to people and it came after he sold some of his option three exercise his stock options so does this indicate a lack of faith in the company and he of course I know he has complete faith he's not stepping away for that it's personal reasons or whatever else that he said and in one mosque was saying you know this is not at all and I'm seeing healing is two hundred ninety thousand shares out Renison on the Bloomberg terminal right now doesn't you know much stock well yeah Lee C. virtually take the man as well as when he says that it's got nothing to do I love it you would because you're both are like you know about my skepticism yes of course well I mean that's my job I think I think what you can say is look you know that has a narrative is it is as I have a is it is it is on the cusp of greater things and so it is always a bit jarring when a company is on the cusp of greater things that was that was that I noticed someone that might be any steps down and it also see comes after a lot of other senior departures in management turnover so it can only be disconcerting so aside from this management change which can be disconcerting it was not a great quarter by any stretch I mean the delivered a record amount cars but you just can't make any money that's a problem yeah this is the problem I mean they you know they bounce back from what was a pretty terrible first quarter in terms of deliveries deliveries up fifty percent compared to that it was a record quarter but again it's still losing about four hundred million the bottom line and and you know this is the problem that has a if you go back to the second half of last year which is when they actually turned two consecutive quarters of profit some people full they had really turned a corner in making the model work the company is now selling more because but not making money on them and the problem is the model of three is now the dominant vehicle is eighty one percent of of the deliveries those sell at lower prices and they also appear to be cannibalizing sales of the higher priced as an ex and you know it doesn't disclose that the model three soul the roughly about fifty grand a piece in the quarter which by my math indicates the S. in the axle the about seventy three grand a piece which is really down I mean normally you would expect the A. S. pay for those costs be more like eighty five ninety grand so clearly some discounting was going on to move the calls out the other guy how much is is all due to China and the slowdown that we've seen there as well as the effort to ramp up the factory there the capital expenditure that they need to make you know I think it it doesn't it certainly doesn't help China is kind of the great hope for electric vehicles and to be honest the automotive industry in general and clearly you know tells the wants to get a local position that the to boost sales I think in the context of this quarter it wasn't the dominant factor the US is still the dominant market for Tesla and clearly they're trying to expand into other markets to to keep momentum going I think the main problem is as as as prices come down to try and incentivize Dimond Tesla is struggling to actually make its cost basis work is struggling to make a margin on low priced vehicles and until it figures that out it can keep growing and keep growing but it won't shift that reading on the bottom line so historically the bear case here was very simple they just can't make cars profitably okay now it seems like there's an added concern out there that I'm hearing more and more is and that goes to the actual ultimate demand for electric vehicles what is the company saying about kind of the demand picture out there well if you lost has lambing tells the you know says that it is not quote unquote Dimond constrained however it can be yes this with the rather bizarre all point that the you know there's lots of Dimond but lots of people so kana for its cause which sort of makes a mockery of the demand curve but you know I think there has always been this question of a demand for electric vehicles clearly Dimond has been growing for electric vehicles I think the problem Tesla has is full the models it is selling eight it is not selling enough at a price point that covers its cost even though it has been slashing those calls it's been cutting workers it is on the spending on its Catholics budget it's it's trying to make itself fits that Dimond all hoping that demand will will grow to the point where the company's profits grow into it Liam dating bullish on Tesla thank you so much the updating of lubricating columnist and joining us here in our eleven three oh studios has the shares not being very bullish today down about fourteen percent thirteen point seven percent definitely a great day for all the short sellers there plenty of them the question really here is there still are a lot of followers to a lot of people who think that Tessa makes really good cars yeah and you know that that they do you have a real foothold here so still it's a lot of lot of a lot of potential yeah I was look at this thing as a boy what a great technology great Kerr once you just license that to somebody because who was a gun built all these manufacturing plants and do a labor unions on that's a whole different business well that's where died perhaps you I must get is a learning coming up we're gonna be speaking about what happened with the Robert Muller hearings this sort of post script of it plus we're to talk about the expected approval of the T. mobile sprint merger.
"jb straubel" Discussed on News Radio 920 AM
"Check with you here on a Thursday morning where Tesla continues to be the lead story yeah answer test will this is a company where I always like to point this out to people if you bought this company five years ago you've made six dollars per share you've made three percent total over that five year period yeah and that's the danger when you buy a company that is valued as if they are going to grow at a hundred percent a year year after year after year after year use the growth might be priced in test look has made a whole lot more cars this year they have in previous years somebody bought the stock today and I'm trying to think why because they think that this is a good buying opportunity now like for one reason or another they think that this is actually representing a decent buying opportunity and they might be right I mean again after five years of stock price stagnation this might finally be priced closer to appropriate but it's not trading at a much different price the intern value then General Motors from what respect you meaning market cap and look at their market cap truck yeah we billion in GM's not that much different no that's the thing is if you're if you're buying test so you're not buying a car company car companies don't get valued this way if you're buying you are buying it's the whole ecosystem it's okay so you're gonna have your test for that you can drive in then you can rent out from self driving technology to gets powered by your solar city you know solar cells that also you have the test the power wall in your house that you store the bat you know all the power the battery you're buying that whole promise otherwise this is crazy yeah all right still so I guess the big question comes in which is do you think you on must will still be the CEO of Tesla year from now and I voted on this poll I voted yes I think you will and I think the the executive flight continues there's JB Straubel left it was announced that he's leaving the company yesterday so executives and founders you on must because the only founder that remains with the company and I think that's why he stays on is because his much of his net worth is invested in this company if he leaves a this company could go down the tubes a lot of people believe it or not invest in Tesla because of the lan must yeah according to the latest SEC filings you on mosque holds about thirty eight million shares of Tesla stock if if his disclosures actor which I have no reason at all it is and so that means he holds about eight point five billion dollars of hassle stock right now to about twenty percent of it in terms of the debt I I know he owns a significant chunk of that as well that's in the hundreds of millions it might be close to a billion now let me see what's their debt trading have they been training I could jump on not too long ago so he owns yeah it looks like it's somewhere in the high hundreds almost a billion dollars worth of tests with that as far as what that that's trading and I haven't looked at it recently but I can pull it up yeah in the meantime last time I looked at Tesla dat it was I think a six year bond you could buy it at a discount I mean the yield to maturity and the darn bond I think was like ten or eleven percent so these I'm looking right now at their eight year bonds that were issued in twenty seventeen it looks like so these yeah they were set on August of seventeen and then eat your bonds that mature in August of twenty five in their training in eighty nine cents on the dollar so that's pricing in bed a fifteen percent chance the test was out of business in the next six years all right if you're not familiar with these trucking companies trucking pensions is not just tracking pensions its mining baking industry pensions a lot of them are grossly underfunded and the pensioners are running out of time meaning they're about to collapse I was looking at some of the ratios on these truck and if it's shocking I guess maybe I was just on the online edition but I mean that that these pensions are grossly underfunded and I guess Congress and the Senate is considering bailing them out yeah so what what you have here is that Congress the the house has approved a forty eight and a half billion dollar package as of late yesterday that pretty much offers forgivable loans to these plans to try to prop them up it's estimated that these plans are under funded by somewhere in the ballpark hundred five billion dollars right now and the the this is occurred during the last thirty or forty years where these plants have become insolvent some of it is due to mismanagement part of the problem the truck is these industries have shrunk so much in the past thirty years yeah in in it's it's not a case where they if it's a case now where they don't have money to put into them today just because you don't have the number of employees that you used to as many Baker's as you had in a lot of years areas now you do you just don't you don't as many steel workers you stab you don't as many coal miners is used to have and so there's just a real challenge to try to use on rice is there going to be bailed out because it David I'm I'm thinking they're going to be bailed out those will always happens it's so if it's happening here why would they not bail out Chicago why would they not bailout Porter Rico why would they you know he's like that the list goes on it's pretty long list of pensions that are grossly underfunded you don't think they will well now I do they yell if if there because this is this is private sector right they're gonna bail out the private sector one point three million retirees are gonna get bailed out because their pensions are underfunded if their billing out the private sector you can be darn sure they're going to bail out the public sector so what what I'm curious about the the PBGC covers private pensions does it cover all private pensions just these multi employer ones so what does it cover like does it cover the U. P. S. pension is a covered the teamsters but like the does a couple eve got the PBGC and I think you also have a risa said that covers other private plan one thing I don't know do these does the PBGC at this point have any requirements as far as what kinds of projections are funding levels need to be maintained in order to be covered because in theory here's the path that I could see to actually doing this you say look we are going to provide this backstop but if you want to continue to have your new liabilities covered by the PBGC you have to say that you're going to have a maximum estimated return a five percent a year instead of seven or eight and you have to say that you're gonna have minimum funding requirements so that were not on the hook for this type of thing in the future going forward that you could see the same thing with the state plans that you you could see the the feds come in and say yeah we're gonna bail out Chicago because you're going bankrupt traffic Porter Rico's could be the next one to go bankrupt and you will do it but that means the other fifty states are going to have to change the with that they they fund their pensions and what that means you're looking at dramatic increases in tax rates it well it's it's either tax rates or contribution radiation rates from employee has to take a hundred percent of cops pay no you again you're looking at like a thirty year plan to fix this you would have to do it all at once but you do have to say look there's a thirty year plan to kind of get this squared away similar to what New York did back in the eighties when it occurs to me is that you know these plans rand irresponsibly for thirty years ago give her for thirty years for maybe forty years yep and now they're playing catch up in the you could look at the you look at these state liabilities whether it's the health insurance cost or the pension liability costs I mean mostly states are under funded do you know billions and billions of dollars yeah magic if the feds come in and say Hey you you've got to change your funding methods you go through and you take a look and and again your your worst offenders no surprise Jersey Illinois and Kentucky can I know there's a it's a close fourth worst yeah but you look at those states the New Jersey pension plans thirty one percent funded Kentucky is thirty one percent funded illinois' thirty six percent funded so do the feds come in well here and say you guys are idiots and we're we're not gonna allow you to run your own pension won't and here's the problem is you look at some of these projections everything this also assuming that like everything goes well yeah but if they make a percent of the money it might actually only be like twenty five percent funded if you have a twenty percent market deal in their assets go down so this is like this is in a bull market this is when things are as good as they get and you said New Jersey thirty one percent funded so maybe the you need an F. D. I. C. type intervention of the state pension plans you might need to it and and look they have the FDIC work they gave the F. any banker will tell you the FDIC is a pain in the neck because they limit the type of activity that those banks are allowed to partake in it's really it's about ten states that really have problems okay there's another ten that are kind of borderline but there's ten that really have problems thirty about thirty states have no problem you'll get Washington state eighty four percent funded Oregon eighty one Idaho eighty eight Florida seventy nine Tennessee ninety four Wisconsin nine like there's a whole bunch of states that actually handled things responsibly like if you're seventy five percent funded in above you're a pretty darn good shape okay but you look at you know the four that I mentioned and then you also take a look at Massachusetts fifty eight percent funded Rhode Island fifty four Colorado forty six percent funded Mississippi and Louisiana sixty percent funded but is that a fair statement that the states have been mismanaging their financial affairs at least a lot of the state fifteen of them have have been mismanaged ten to fifteen of in house and and this is in a short term problem the truck this is something that has occurred over thirty four years in any case it's a kick the can down the road it's a snowball fit in here's the thing the states that say oh well we just we couldn't find the money to do this I point you to the curious case of West Virginia is there any state in the country that has had a worse economy than West Virginia in the last thirty years probably not because I was bad this bad yeah west Virginia's pension is seventy two percent funded and you're telling me that New Jersey can't do better than thirty one percent right no yet mismanaged the pension if West Virginia you can do it you can do it don't forget to partake in the poll do you think you one must will still be the Tesla C. E. O. you're from now up next.
"jb straubel" Discussed on Bloomberg Radio New York
"US factories for business equipment posted the biggest gain in more than a year and shipments unexpectedly increased suggesting corporate investment is regaining momentum despite tariffs and global with this as a Bloomberg business life Bloomberg markets use under way with Lisa and Paul thank you so much Gregg Jarrett kind of interesting market reaction to the ECB's announcement earlier today they did hold rates steady but indicated they're gonna cut rates in September by ten basis points to negative zero point five percent also showing that they are looking into ways to mitigate the risk to banks with hearing systems basically not charging them for the money they're holding with the central bank overnight also saying that they are planning additional asset purchases they will simply work socks that are joining us here in our bloomer interactive brokers studios this to me was a pretty big ECB meeting a lot of expectations the initial market reaction was that this was for filling and even going further than market expectations with yields dropping to record lows but since then yields of actually reason we're seeing the euro strength versus the dollar which indicates that people think that perhaps this isn't quite as dovish as people thought previously please explain well good luck trying to figure it all because you have to look at what the E. C. B.'s doing in the context of what the federal reserve is doing you know I'm waiting for the who's got a bigger bazooka yeah I'm waiting for the tweet from president trump to talk about how the fed now has the move more aggressively on rates in so many words because he's certainly been pushing the fed chairman's our own power bring rates down we know more about a week away from a policy decision presumably a cut the question is how big at this point rather than whether they'll be one or not so you know you get all this back and forth going out and the idea that you know the the ECB has to pump up the economy in essence or at least try to by bringing down rates even more well you know if your US companies doing business in Europe that cannot be a positive sign in terms of your prospects in the question is really what does the ECB really have in terms of in its tool box left to really make an impact so I think that might be a little bit of what we're seeing in the market you know it with that they certainly took a very I think trying to get you know of a very aggressive stance today but I'm just I I maybe the Marxist question really today what can be done but David this is your time to shine this is earnings time day this is the earnings week of this call I disagree with you it is always time for tables it is for the peoples in this time but boy Tesla can we just start with that that's not shiny methods I need well if you're a short seller and there are certainly plenty of new investors that they're betting against the electric carmaker no question that if you're on the short side of the Tesla trade you're making out just fine today with the shares being down fourteen percent you know it it's not only about their second quarter figures which were disappointing wider loss lower sales than analysts expected concerned it you know so the demand for tens of cars is shifting toward the model three the lower priced vehicles and so therefore they can't necessarily make as much money as they have in past quarters the idea that this co founder and chief technology officer somebody who's been with ill I must even before you I must got to ten year though it and really kind of took on the role that he's he has now the JB Straubel I mean that gets your attention because we have seen such an exodus of top executives from Tesla and now you have this guy backing away and becoming a consultant you just you know have to be concerned about where this is headed definitely it Tesla is Tesla and it has a huge presence of short sellers looking for it to is sort of a correct to its current market cap to where people think it ought to be it's interesting I find Ford just as interesting today actually shares down six point seven percent and I do have to wonder you know tussle is facing a whole host of issues including the loss of a tax deduction for electric vehicles in United States less demand in China or the consumers buying fewer cars and many people ever I've been used to but Ford what is the reason with Ford well China's part of it me the idea if they're auto market's weakening and in fact you know as as as Tesla works to set up its factory in China you know Ford's out there selling cars and not doing so well because the market there isn't doing so well and on top of that there right introducing sport utility vehicles and pickup trucks and you that whole shift that's been going on now for a while because that's where the demand is you know people just don't wanna own notes the more traditional sedans or whatever so you know that comes at a cost and you put it all together and you know you you're seeing for take a hit off their earnings but still fun name Shelley Hershey candy bars kisses numbers weren't that great it's a thirty billion dollar market cap company numbers were percent I'm sorry let's talk about something fun Hershey's there do not let's talk about candy no I can't exactly put out there looks like the forecasters short of street expectations that stock down one percent one percent on a day like today that's going out more about that you want to worry about something okay you want it to have to do with people's teeth yes please align technology this is the company that offers the in wall line talking about like Facebook and Amazon carry on in his life down twenty five percent there are you caught my eyes and that is a lie third quarter you not looking so great in terms of what they're anticipating so you know there there's another example and a pretty extreme reaction we have certainly seen plenty of those you know so far is earning season and no doubt there will be more to come results role on David okay considering if this is the busiest earnings week of the season can you just give us a sort of state of play of where we're at and how we're doing because it really has been mixer for the number of beats there've been a number of Mrs but hi if you give us the overview what's it what's one of the two telling us well in the not a surprise that companies are beating estimates as a role I mean come on file at the bar down to yeah through then again you know you have to keep in mind that the second quarter was supposed to be one S. and P. five hundred earnings finally Phalle you know which analysts were to spending in the first quarter and that didn't happen and so you know as as far as things go for the companies that have reported and were close to forty percent yeah in or we will be certainly after the close of trading today at least for the ones around you look at our is growth of three and a half percent and that's enough to offset what analysts were anticipating in terms of the clients of the keep going the way we are yeah it's looking positive tables in liver socks and thank you so much I as always for being with us I do want to bring you some news the U. S. it is going to resume at the use of the death penalty in federal cases this just crossing the Bloomberg will bring you more as we get it right now let us head over toward I'm down one studios in Washington DC they were there.
"jb straubel" Discussed on Bloomberg Radio New York
"We radio good Thursday morning I am Paul Sweeney joined by Lisa Abramowitz Lisa good morning think of morning at all yeah well I wouldn't want to miss it especially on the ECB day definitely moving market's pretty dramatically over in Europe right now yeah very inching we yeah we have merit drug out there talking about the no rate decision at this meeting I'm sick but certainly signaling that the ECB expects to be very accommodative going forward we will certainly break that down for you during the show so that is very much on the front burner today we have equity futures at that the Dow up us like give up sixty points SMP up kind of flat the nasdaq down a little bit but we will get all of the movers with tables and Bloomberg stock senator Dave what you have force well let's start with a plus Facebook results out late yesterday and shares are up one and a half percent in early trading and the social media company's earnings revenue and average daily users for the second quarter beating analysts' average estimates of Bloomberg survey Alderson revenue growth is just extraordinary for even with all the data is Susan at five billion dollar fine yesterday that the company agreed to pay to the U. S. government do the talking you could argue that I suppose we can argue that all makers and I'm having a good day taz was down eleven percent the electric car maker had a wider loss and lower sales this quarter than analysts predicted and chief technology officer and co founder JB Straubel is leaving they'll be coming advisors has a Ford motor most active stock really trading down five and a half percent your maker's earnings miss estimates even though sales beat the average projection by the most in eight and a half years now for its full year profit forecast also came up short with a loss were looking for then we turn to chip makers we had the feel of the semiconductor index at a record yesterday today you have the chip makers islands down four and a half percent of their revenue forecasts with the fiscal second quarter trail estimates they were hurt by a loss of sales to China's Huawei technologies is I always ask the U. S. government for clearance to step up shipments to while away we'll see if that's a forthcoming Comcast is down one percent the media company second quarter revenue missed estimates as more cable television customers were loss than analysts expected earnings beat estimates at internet subscribers yet rose nonetheless Comcast down Bristol Myers Squibb also lower by one percent the drugmaker says cancer treatment up Devo fell to help some lung cancer patients live longer when combined with chemotherapy some more earnings related moves stocks and rob medical supplier Baxter international higher by two percent three am posted no Scotch tape you name it up four and a half percent space company Raytheon up three percent on the other hand chemical company down down two and a half percent Southwest Airlines lower by four percent the payment processor pay pal holdings down three and a half percent the industrial robot maker Rockwell automation down three percent and a line technology they make tea straighter is the end this alliance is down to twenty percent in the wake of their quarterly results bluemix accentor Dave Wilson thank you so much well Saturday Night Live has become an institution since nineteen seventy five Lorne Michaels has brought SNL into our living rooms each Saturday night David Rubenstein Carlyle group cofounder and host of peer to peer conversations sat down with Mister Michaels take a listen to what they had to say so from nineteen seventy five the late seventies early eighties how his humor changed for people and for the same kind of things are certain things you can make fun of now you couldn't or vice versa there's almost nothing we did in the seventies that I could do it now Gilda Radner would not be able to play resentment center down a John Belushi would not be able to play Japanese Morris Jr news the hard of hearing would have been making fun of a handicap so it's just full values change and then always said that between the movie Arthur and the movie Arthur to alcoholism.
"jb straubel" Discussed on WHAS 840 AM
"Right now too is we know we just learned in it so you can't really do as much as you want to the end of ice cream starting a lot more content making sly saxes been it would be all over the field centerfield brought most of his staff from Appalachian state with him to little cards open practice next Sunday August fourth and with the seasons September second against Notre Dame Paul Rodgers sports on news radio eight forty WHAS five Paul thanks seven twenty seven we got a citizen junior banks Bloomberg money update center now here's Courtney hello Hey there Tony good morning stock index futures are steady ahead of a busy day when it comes to earnings Amazon and Google parents alphabet headline today's reports the impact of Amazon's one day shipping Porsche will be the focus of the vets revenue performance will be closely watched after last quarter shortfall shares of top down more than eleven percent premarket trading the electric car maker posted a worse than expected loss in the second quarter plus a major management change casting doubts on its future also co founder JB Straubel is leaving his job as chief technology officer he's been with the company for fifteen years a new study says that private equity firms and hedge funds have killed almost six hundred thousand retail jobs in the US the study comes from the centers for popular democracy and the private equity stake holder project and Kentucky fried chicken is introducing a new clothing item the picnic follow again imprint polo that easily converts into a picnic blanket this comes complete with a utensil holder and a large pocket that houses the picnic blanket extension of the polo with the news radio eight forty WHAS Bloomberg money report on porting done thought about.
"jb straubel" Discussed on Bloomberg Radio New York
"Markets headline and breaking news twenty four hours a day the Bloomberg business the Bloomberg business slash and I'm here in Moscow it is six seventeen on Wall Street and Bloomberg daybreak is out on customer terminals bringing you all the news you need to start your day let's get a check of the latest headlines of Hannah George at the Bloomberg daybreak desk the morning Hannah Karen DCB may cut the deposit rate today robin tweet guidance and wait that's what some analysts say after yesterday's dismal PMI readings trade is a pricing in an eighty thirty nine percent chance of a reduction to as low as falling after reported a worse than expected loss Pasha red packets profitability time table its co founder JB Straubel also rattled investors by stepping down as chief technology officer Facebook sales rose twenty eight percent in the quarter beating projections that should help cushion the blow of its five billion dollar FTC settlement the company said possible new regulations may slow future games and is on an alphabet headline today's earnings being that intelligence as Amazon's guidance will probably get the base from a record prime day alphabets revenue performance will be closely watched after law school to show full full of uneasiness to start with a check out date break on your mobile phone on the plane back anywhere up Karen Hanna thank U. S. and P. futures are little change Dow futures up twenty nine nasdaq futures down twenty six the dax in Germany that'll change ten year treasury up three thirty seconds till two point oh three percent yield on the two year one point eight zero percent nine thanks for going I'll of nine tenths percent or fifty one cents at fifty six thirty nine a barrel comex gold up two tenths percent or three dollars twenty cents to fourteen thirty nine seventy announce the euro one point one one four zero against the dollar at the British pound one point two four nine three and again when I wait point oh seven that's a Bloomberg business flashover is Michael bar with more on what's going on around the world Michael the governor of Porter Rico is resigning under the pressure protest and calls for him to step down governor regard it was a announced his resignation overnight Rezaei always set to officially resigned August second now that special counsel Robert Muller is done with testimony to Congress Democrats are promising to continue to investigate president trump the White House has been resisting demands for information and testimony with Democrats say they have investigations under way that don't require White House cooperation in baseball the Yankees won the Mets lost along with the red Sox Orioles giants amaze the nationals one global news twenty four hours a day on Aaron a tick tock on Twitter powered by more than twenty seven hundred journalists and analysts in more than one hundred twenty countries on Michael bar this is Bloomberg John Michael thank you six twenty on Wall Street good morning I'm John Tucker and we are live for the Bloomberg interactive Roker studios this is Bloomberg daybreak also race to the bottom for central banks around the globe and this morning we hear from the European central bank in how low can they go joining us now they've a pal senior Ural here area communist for Bloomberg and London David let's start with the the economic background bones rising this morning a lot of the core in the semi core yields falling to all time lows we have that German I FO data of missed median estimates how bad is the data coming out of Europe lately yeah and that German I for days is the latest in number of dismal surveys we've also had the PMI this week that essentially showed once again that the manufacturing sector in Europe is being weighed upon very heavily by the slow down in global trade I'm and it's not only that there's the prospect of a no deal brexit as a prospect of the U. S. imposing tariffs on the Europe later this year and it's a slow down in China and those threats and even actually have to materialized when the economy all they have to do is dented confidence increase uncertainty and we're seeing the effects of that have already and that's what the C. B. wants to wants to tackle is there a recession parts of the of the continent we don't look for a recession and we look for out some some parts to be weaker for example in the second quarter it probably will turn out that the Italian economy didn't expand at all but not an outright contraction is is safe bet that for guidance changes today from the ECB we think that's pretty much a done deal so basically the forward guidance previously said the city expects interest rates remain at their present levels through the middle of next we think they'll say present or lower levels and that'll basically be druggy ushering in the first course of a stimulus fees but the rest of it the main course the rate cut and the addition the the re launch of quantity quantitative easing may not come until September the next meeting when the ECB has updated macro economic forecasts it tends to wait for those quarterly forecast to be refreshed before making major changes in monetary policy how does the at the federal reserve figure into this I mean that I have to the wood to wait but until after we hear from the federal reserve the the ECB is going to be setting monetary policy based on what's going on in Europe and that will be the primary determinant of what they do but of course they can't ignore what's going on in the in the rest of the world and for example if he if he if the if the fed were cutting and the CB were thinking about hiking they might not want to do that because of course would have a big impact on the euro but that's not the case right now and we think that that the fed's not going to have a huge impact on what the what the scene does today is everybody on the same page within the governing council's it is a shared narrative rarely is anyone is everyone on the same page ever in Europe when it comes to anything it's a very diverse place with lots of different countries have who share the same currency but it does seem that a consensus has built around additional stimulus and the reluctance is not there that was once there in the past to these unconventional measures such as quantitative easing but when you have negative rates that that's a pretty awful environment for banks and to savers alike so explain to me what tearing is and when that comes yeah so we're expecting a tearing system to be introduced it could come as soon as today but our our course in ours who doesn't come until September and basically what we but that would mean is that some portion of excess reserves are excluded from the ECB's deposit rate the Seabees the Padres negative now so if your bank can you put money on deposit ECB you have to pay for that privilege and to reduce the cost two banks of that deposit facility they might exempt some of those excess reserves those excess reserves are by product of quantitative easing if the ECB prince money to buy bonds inevitably that's going to end up in the in the accounts of bank safe deposit of the at the ECB so the Seabees printed all this money to bought bonds it's loaded these banks of the deposits and they're trying to reduce the cost of that so that those banks don't suffer too much in terms of profitability to the extent that it would prevent them from extending credit to the economy okay said that David just to recap no cut today will signal probably September and also may be announced that tearing ahead in September yeah just to summarize changing Foden kinds today but the cut is probably in September along with security relaunch.
"jb straubel" Discussed on Bloomberg Radio New York
"Announced the euro one point one one three zero against the dollar Nathan can we begin with earnings and another busy day led by tech let's get the latest live from Bloomberg John Tucker junk morning fair maiden today we're gonna hear from more than fifty companies in the S. and P. five hundred Amazon and Google parents alphabet highlight the day in tech earnings with both facing regulatory scrutiny along with Facebook for Amazon look for the recent record prime day performance to boost guidance this according to Bloomberg intelligence alphabet mobile search advertising expected to be a key driver there analysts ratings on the alphabet are overwhelmingly bullish a profit expected to be thirteen dollars ninety one cents a share on revenue of thirty point eight billion dollars John Tucker Bloomberg daybreak done thank you shares of Facebook up more than one percent in early trading it has proved yet again it can continue to grow in users an advertising well feeling the heat from regulators around the globe Bloomberg's Emily Chang is more from that nine sixty newsroom in San Francisco just hours after Facebook announced details of its five billion dollars settlement with the U. S. Federal Trade Commission to end of probe into the company's privacy practices the social media giant use its quarterly earnings report to confirm it is now also being investigated by the FTC on anti trust but the constant criticism over leaked user data the spread of violent or false content and scrutiny of its power hasn't deterred advertisers advertising sales in the second quarter beat analysts' estimates as the company continued to create an even bigger network by weaving together it's other assets include Instagram what sap in Facebook messenger in San Francisco I'm only Chang Bloomberg daybreak Emily thank you on the flip side shares of Tesla are down eleven percent despite delivering a record number of vehicles in the second quarter Tesla lost the dollar twelve a share a bigger deficit than any analyst projected still CEO you on must was bullish on the company conference call for proper books at fort we expect to be probably around break even this quarter and probable next quarter but I feel pretty confident about that and then in terms of deliveries respect leverage to be between sixty and quarter thousand would check production to be slightly higher number than that and demand to be a slightly higher numbered them from that in another development call center JB Straubel who's been with tassels since before the billionaire CEO joined the board fifteen years ago is leaving the chief technology officer job to become an adviser shares of four down more than five percent the automaker forecast annual profit that trailed analyst estimates more from Bloomberg surely palette it comes as the automaker rolls out new S. U. V. isn't struggles to compete in China's slumping car market CEO Jim Hackett is leading an eleven billion dollar overhaul aimed at reversing Ford's four tunes by cutting thousands of jobs reviving an aging line of sport utility vehicles and pickups and ditching slow selling sedans the company is losing money and market share in China with the car market is contracting for the first time in a generation Charlie public Bloomberg daybreak right Charlie thank you not a central bank news less than two hours from now we find out whether Mario Draghi will cut the key deposit right now or wait until September Bloomberg's field school the mosque is a preview of this morning's ECB decision from Frank Jackson this recession is deepening imprisoned drug because all but promised to deliver stimulus unless economic situation improves economists predict the first cut in over three years will come in September Johnny could also hinted to show measures for banks the ease the pain of more negative traits and set the stage for a new round of quantitative easing down the line in Frankford customers team number date rape yeah thank you new British prime minister Boris Johnson is purging its predecessors cabinet eighteen of the twenty nine ministers and to reset maze cabinet are now out let's get the latest live with Bloomberg daybreak here a banker Roger hearing in London Roger good morning good morning cara nation one newspaper called the knights of the blooms knives Sufjan job is one of the few survivors from may's lineup he gets transferred to the exchequer in charge of the nation's finances of the other top jobs Foreign Secretary goes to Dominic rob and a new home secretary is pretty Patel it's a cabinet of loyalists that also means there are some powerful and disappointed rivals now on the back benches from where they can derail Johnson's plan to race to brexit in ninety nine days reporting live in London I'm Roger hearing but daybreak hi Roger thank you in Asia stocks were mostly higher for the third session we get the recap from Bloomberg's Juliette Sally in Singapore good morning David and Karen Japan's Nikkei two to five index gained two tenths of one percent to close at twenty one thousand seven hundred and fifty six points while Nissan fell to percent ahead of its earnings which were released after the bell the comic it doubled its plan job losses and unveiled new job cuts after reporting and ninety nine percent plunge in first fiscal quarter operating profit hit by an aging product line up at a sliding vehicle sales in the US and Europe the broader all ordinaries index in Australia reached a record high well government bond yields in the old Z. fell as the I'll be a governess said he's ready to ease policy for the if he's back to that cuts failed to revive economic growth adding household should expect an extended period of low interest rates in Singapore I'm Juliet Solly Bloomberg daybreak thank you Liane and deal news U. S. buyout firm advent international is agreed to acquire U. K. defense and aerospace company compound for about five billion dollars and straight ahead we have the latest world and national news this is the Burke thanks Karen six oh seven on Wall Street and Michael bar has more.
"jb straubel" Discussed on Bloomberg Radio New York
"And advertising well feeling the heat from regulators around the globe Bloomberg's Emily Chang has more from that nine sixty newsroom in San Francisco just hours after Facebook announced details of its five billion dollars settlement with the U. S. Federal Trade Commission to end of probing the company's privacy practices the social media giant use its quarterly earnings report to confirm it is now also being investigated by the FTC on anti trust but the constant criticism over leaked user data the spread of violent or false content and scrutiny of its power hasn't deterred advertise advertising sales in the second quarter beat analysts' estimates as the company continued to create an even bigger network by weaving together it's other assets including Instagram what sap in Facebook messenger in San Francisco I'm only Chang Bloomberg daybreak all right Emily thank you on the flip side shares of Tassler down almost eleven percent despite delivering a record number of vehicles in the second quarter tussle lost the dollar twelve a share a bigger deficit than any analyst projected still CEO you on must was bullish on the company conference call our profitability standpoint we expect to be probably around break even this quarter and probable next quarter but I feel pretty pretty confident about that and then in terms of deliveries respect leverage to be between sixty and quarter thousand Patek production to be slightly higher number than that and demand to be a slightly higher numbers than than that in another development co founder JB Straubel who's been with Tesla since before the billionaire CEO joined the board fifteen years ago is leaving the chief technology officer job and becoming an adviser here's a for order down four percent the automaker forecast annual profit that trailed analyst estimates we get more from bloomers Charlie Pellett it comes as the automaker rolls out new S. U. V. isn't struggles to compete in China's slumping car market CEO Jim Hackett is leading an eleven billion dollar overhaul aimed at reversing Ford's four tunes by cutting thousands of jobs reviving an aging line of sport utility vehicles and pickups and ditching slow selling sedans the company is losing money and market share in China with the car market is contracting for the first time in a generation Charlie Pellett Bloomberg daybreak Charlie thanks not a central bank news less than three hours from now we find out whether Mario Draghi cuts the key deposit right now or wait till September Bloomberg's peeled skull the musky has a preview of this morning's ECB decision from Frankfurt Germany this recession is deepening imprisoned drug is all but promised to deliver stimulus unless economic situation improves economists predict the first cut in over three years will come in September Johnny could also him an additional measures for banks the ease the pain of more negative traits and set the stage for a new round of quantitative easing down the line in Frankford customers team number date very thank you and the new British prime minister Boris Johnson is purging his predecessors cabinet eighteen of the twenty nine ministers and Theresa may's cabinets are now out let's get the latest live with Bloomberg at daybreak Europe anchor Roger hearing in London Roger good morning good morning cara nation one newspaper called the knights of the blooms knives Sajid Javid is one of the few survivors from may's lineup he gets chancellor of the exchequer in charge of the nation's finances the other two took jobs Foreign Secretary goes to Dominic rob a menu home secretary's pretty Patel it's a company the loyalists but that also means there are some powerful and disappointed rivals now in the back benches from where they can derail his plan to race the brexit in ninety nine days reporting live in London I Roger hearing Bloomberg daybreak Roger thanks in Asia stocks were mostly higher for a third session we get the recap from Bloomberg's Juliette Sally in Singapore good morning David and Karen Japan's Nikkei two to five index gained two tenths of one percent to close at twenty one thousand seven hundred and fifty six points while Nissan fell to percent ahead of its earnings which were released after the bell the comic it doubled its planned job losses and unveiled new job cuts after reporting and ninety nine percent plunge in first fiscal quarter operating profit hit by an aging product line up and a sliding vehicle sales in the US and Europe the broader all ordinaries index in Australia reached a record high well government bond yields in the O. C. fell as the IBA governor said he's ready to ease policy further if he's back to that cuts failed to revive economic growth adding household should expect an extended period of low interest rates in Singapore I'm Julie at Sally bliver daybreak right Julie at thank you and deal news U. S. buyout firm advent international has agreed to acquire U. K. defense and aerospace company compound for about five billion dollars futures this morning are little changed and straight ahead we have the latest world and national news this is Bloomberg I think he cared it's five oh seven on Wall Street and Michael bar has more on what's going on around the world good morning Michael good morning David.
"jb straubel" Discussed on WAFS Biz 1190
"At the highest price since nineteen eighty nine and someone else is celebrating its AstraZeneca their second quarter earnings because even the highest test that's right but the stock hasn't opened yet so let's look out for those shares the with AstraZeneca they've raised their annual sales forecast and their business is being held by the by the demand for their roster of new cancer drugs and just like with LVMH a lot of the growth is coming from China V. W. course may start to their outlook of through the profits did come in about estimate to me that had a troubled time that's right well so the stock is doing really well this morning looking the preferred shares trading up one point nine percent on the German market yes just right they're sticking to their annual outlook it is a very troubled sector by their strong model lineup has helped offset it dropping vehicle sales on and pulled spike in is just the peering is really well considering the troubles that the auto sector has been facing this year percent affectionate causing you to lose Kobe looking at some of the stocks to watch this so much going on today Richard because I want to bring a Nokia to everyone's attention that's gaining as much as eight point three percent offer second quarter to beat with the guidance of change is actually the best performing stock all the stock six hundred right now at its sole is twenty nineteen adjusted operating margin at nine to twelve percent for that stayed the same for the earnings beat guidance is capped we will speak to the CEO later this hour so that's definitely something that we want to be keeping an eye on in the same space but I suppose it's kind of tech related as well I want to look at S. T. microbeads has there's been a lot of focus on the chip maker's US chip stocks trading at records off to Texas Instruments earlier this week we have good news from TSMC in terms of S. T. micro it sees its full year net revenue at nine point three five billion to nine point six five billion dollars it had seen high the not nine point four five to nine point eight five so basically it's caught it's twenty nineteen growth target despite a boost from new product line city says Esty mycorrhizal to reassuring enough to hold on to gays in terms of how the stock is trading well it's not holding on to gains is down one point four percent right now and I also just want to bring to attention to gadget was well one of the worst performance down two point seven percent because of course we heard about unity that from consent here that is planning to return up to four point five billion pounds to holders by fiscal twenty twenty two but full year organic net sales growth Mister little so perhaps that's why we're seeing the stock no leverage that Roger let's move on to the day's top stories it's a big day for central banks at twelve forty five London time today we're gonna find out with a married a drunk he will cut the key deposit right now or wait until September looks sort of musky has the full preview of today's ECB decision from Frankfort Germany this recession is deepening imprisoned target has all but promised to deliver stimulus unless economic situation improves economists predict the first cut in over three years will come in September Johnny could also have additional measures for banks to ease the pain of more negative traits and set the stage for a new round of quantitative easing down the line in Frankfurt this claim of skewed number daybreak Europe in Turkey the central bank may trigger another layer crisis with a deeper than expected rate caught this right decision is a first for central bank governor more out we sell who unexpectedly replaced more at check in Korea but Senate Democrats looks at what we can expect the central bank will lower its benchmark rate by two hundred fifty basis points to twenty one and a half percent according to the median estimate in a Bloomberg survey however there is uncertainty over how much the lender will cuts by estimates range from fifty to eight hundred basis points in Istanbul Simmons Emma can impact a break Europe and in the U. S. the former fed chairman Alan Greenspan has endorsed the idea of the federal reserve should be open to an insurance for interest rate cuts to counter risks to the economic outlook that's even if the probability of the west happening is relatively low the FOMC is widely expected to lower rates next week all it's nice to hear a little bit about the fed has been really quiet this week what with all the officials of being in the period ahead of the decision now here in the U. K. one person who sent me has been quite as prime minister Boris Johnson he's appointed a series of pro breaks allies to his cabinet lining up a completely new team at the top reeboks Alex Morales has the details Sajid Javid was named Johnson exchequer pretty Patel becomes homesick country and Dominic Roque was appointed Foreign Secretary below the new cabinet had a much more hard brexit flavor dejection of so many ministers could have a paradoxical effect Johnson is now stops the back benches of the Commons with conservatives ago him nothing and win support to know do break said that sixty foot policy if the European Union would agree to a new deal if he's serious about no deal Johnson will have to find a way to sideline parliament will change its make up by calling a general election in London Alex Morales being big daybreak Europe Tesla shares plummeted in after hours US trading on Wednesday that soft electric comic at the worse than expected loss for the quarter despite a record number of deliveries the company lost one point twelve dollars a share have yet another major management change confounded JB Straubel is stepping down as chief technology officer and becomes an adviser turning to face because well it's proved yes again it can continue to grow in use as advertising while feeling the heat from regulators around the globe the company is a settling a five billion dollar case with the Federal Trade Commission and the DOJ has announced a looming antitrust probe and yet advertising sales in the second quarter beat analysts' estimates the company continues to create an even bigger network by weaving together it's all the assets including Instagram what sap and messenger I was quiet for a beat that Roger because I'm a forensic to checking all the different opening prices across stocks in Europe because we've got so many earnings coming through and I just want to highlight a couple more of the consumer stocks I mentioned DR geo earlier it with Unilever and I just find it interesting that that ice cream sales have been held back by the rainy spring I just wanted to bring up just because of course when the middle of a heat wave right now so in terms of what we heard from you to leave a second quarter underlying sales up three point five percent the estimate was up three point seven percent so the market of the house a little bit disappointed with Dow one and a half percent AB InBev means that while its profit beats on the bass volume growth in five years Jeffries was expecting a positive reaction to that volume piece in terms of a B. above it is one of the best performers on the stock to cover the session up four percent what area now for the latest in global news his blue Bexley I'm currently in the morning good morning Richard posted we can only sense of political turning point governor Ricardo reseller will leave office in early August off his position became untenable following the two messages revealing sexist and homophobic comments the bugs Machel cascade report row sale announced his resignation after protesters took to the streets for two weeks demanding his ouster in the line of succession the secretary of state would become governor but that position is vacant next is the secretary of justice Porter Rico fell into bankruptcy in twenty seventeen it's six to restructure eighteen billion of debt tied to the central government in New York Michelle Caskey Bloomberg daybreak Europe North Korea has long at least two short range missiles into the sea east of the Korean peninsula this morning stepping up pressure on the US as it tries to receive nuclear disarmament talks with Pyongyang south Korean defense officials said the rogue regimes on identified missiles flew as far as four hundred and thirty kilometers a US naval ship has sailed through the timely one straight to meet growing tensions with China a the American military support for telling paid big Bucks currently says this is a sticking point between the two powers as they restart high level trade talks the guided missile cruiser USS Antietam conducted a transit Wednesday and Thursday as the U. S. up to hostages to the straight over the last year the latest comes a day after China's defence ministry accused the US of undermining global stability in Hong Kong Karen Li Bloomberg daybreak here at I'm a ten cent Laney had everyone worried he would force the collapse of its to these government now he's won concessions that have a piece that will at least for the moment but he begs Joan for lane reports premier Decepticon today handed some media victory with support for a high speed all pine railing legally to his campaign full and the government allocated fifty billion euros to infrastructure projects things are moving Savini commented in Rome John filling but daybreak Europe cable needs twenty four hours a day on Harran AT take took on Twitter by more than twenty seven hundred journalists and analysts have more than one hundred and twenty countries I'm Liane Gerrans it this is Bloomberg Russia not rich kids this is a report so rolled me or any of the above ready now K. began Lee Avenue circle that right thank you very much now let's have a look at what should we should be watching today big Dave central banks at mid day we get the right decision from Turkey investors expect the first rate cut in three years the concern for investors is if pressure from president one will force policy makers to cut too far and too fast the forty five minutes later we gonna get that answer to the question of if the ECB will act this week or wait until September to increase the stimulus the surgeon comes at twelve forty five followed by Mario druggies news conference at one thirty PM still ahead only by daybreak Europe we told Ted canasta can record yesterday Facebook weathers the regulators storm we discuss lost my settings and look ahead to.
US, JB Straubel And Chief Technology Officer discussed on Financial Issues
"Tesla shares plummeted in after hours US trading on Wednesday that soft electric comic at the worse than expected loss for the quarter despite a record number of deliveries the company lost one point twelve dollars a share have yet another major management change confounded JB Straubel is stepping down as chief technology officer and becomes an
"jb straubel" Discussed on Bloomberg Radio New York
"I'm Roger here and I'm Caroline had can you listen to be back at daybreak Europe where we are in the thick of earnings season and the endings out of the U. S. so interesting face but climbed in after hours trading because of how the vocals read he says in food and test the slum a new Europe where she still says he can't just a modest gain or Tyson tex gains yesterday also this morning the embassy I Asia Pacific is up two tenths of one percent but it's been a very muted trading session we have of course the ECB meeting today the German ifos index of business sentiment a very important look at the big driver of the European growth in the European economy as for the project on the spot it's a soldier flat to slightly weaker the Japanese yen gains a tenth of one percent the pound is a again we can we've got the new prime minister in place what one sport twenty four she didn't see the pound suffering as much as we thought it might do yesterday given of the tower and pro brexit tone of this new government WTI crude oil I'm bring food both gaining as gold declines two tenths of one percent family getting news breaking across the terminals earnings from orange their second quarter a bit it was of beats three point three eight billion year is the estimate was three point three six second quarter revenue also beats at ten point three nine billion euros beating the code compile the estimate of ten point two nine I am the only says operating in Spain is more difficult than before the CFO in X. comma French market and they reaffirm their objectives for twenty nineteen okay so that some orange as to download first offer coloring operating income is a slight beat one point eight six billion euros dinner in saying a good execution driving a profitable growth that is on track according to the nine second quarter sales come in at six point five billion euros again that is a beat on the S. my which was a six point four seven billion like for like sales growth at two and a half to send the estimate was for two point three is a beat also on sales growth in terms of done I'd and we getting Telefonica the first half revenue twenty four point one billion year is that I'm V. W. announcing as well yeah first Hoffa Justin operating profit ten billion euros up from nine point eight billion a year earlier that is really crucial because the automakers in Europe have been on the such enormous pressure I need to eat food did badly yesterday in the United States a lot of pressure on the which I make as we speak will say to VW's executives later today in the looks of earnings coming straight and that scared to Bloomberg daybreak which is out on customer terminals when you're older news you need to start your day we can get a check of the top headlines with daybreak editor Christine book life on the line now from Dubai to Christine ECB die big meeting some traders not expecting a cut to the key deposit right rather than just a tweak to guidance yeah that's right I mean by in large I think the consensus is still back to we will see the ECB hold on rates and not take any further action but really changed the policy language to set up a cut for the next meeting in September and to also flight the possibility of more stimulus down the road but as you said in there there are some traders other that are now expecting that we may see a cut and and that is after we got very ugly PMI data from the region yesterday I mean here's a look at Germany factory orders were the worst in seven years in manufacturing just as a whole it does not look like it's it's doing very well in the E. U. and there were some concerns about whether or not that's going to trickle over to the services industry and what that really means for a potential rebound in the European economy in the second half so with those concerns playing out in the background you know a it's hard to say for sure whether or not we will see Mario Draghi do well he rates are well he kind of go further with it and perhaps deliver a cut as some people are saying I think there's a little bit of room for surprise here yep attention ME Bloomberg economic says expecting that ten basis point cut in September as you say and then also the announcement of another round of asset purchases they be fascinated to see what is said by my doggie in the decisions at twelve forty five U. K. type turning to earnings have been a little over night that we had for both tests and Facebook give us the main takeaways well Sir what type of because I I like a bit of hassle news and and it was pretty ugly this time around to that shares absolutely plummeted in after hours trading and that was after tussle reported a bigger loss than analysts were expecting for the second quarter we also sell eagle on must kind of walk back a little bit from prioritizing a profitable third quarter he said look the companies is really gonna be focusing on deliveries and other things in the third quarter rather than getting a positive a quarter for earnings and then the other key thing any of bomb shell really was that the co founder JB Straubel is leaving his post as chief technology officer he's going to come on as an adviser instead and so that's just another departure for tussle that seems to be ruffling but if others are always causing a bit concern over Facebook it was much better I mean sales estimates talk sales topped estimates and other company delivered solid user growth so really what that tells us is that Facebook is managing to at least maintain or keep up with its business even as it grapples with regulatory scrutiny and other issues are looming in the background Christine oil finally now that certain a bit later this morning on the use of Kuwait and Saudi coordinating to resume production in the neutral zone that separates and said what we know about them well I really oil prices it word down earlier they I think they've that they've come back banner in positive territory now but when it comes to this story so they're officials from Kuwait and Saudi Arabia that are meeting this week trying to work through the details on this neutral zone this is a neutral zone between the countries that hasn't been producing crude for at least four years and so a person familiar has said that officials are having discussions and have been able to resolve most of their major issues and so that should pave the way for this area to be able to resume output it can produce about half a million barrels a day so obviously that is a bit significant for the oil market a what isn't clear though is what kind of time frame we're looking out for these barrels to come online and then of course you have to wonder how that affects OPEC plus supply agreement you know to Saudi Arabia cut elsewhere to account for these new barrels coming online or what's the deal with that so there are questions that need to be answered but something the market will be watching considering it's five hundred thousand barrels a day of potential output coming online at some point in the near future okay thank you so much so Christine back a day break at this is joining us live from to buy for the need to you need to start your day be that customers can access daybreak by talking and D. A. Y. B. E. all in the pre back terminal Russia and we were just speaking to Christine about Tesla and actually Tesla and the iPhone a one of the things that we thought would benefit STMicroelectronics they've come out with the earnings this morning I want to give you the breaking news lines because actually the full year net revenue for S. T. micro coming in slightly weaker than had previously been estimates the nine point three five billion to nine point six five billion is the full year net revenue a full costume S. T. might crack up previously that scene at nine point four five to nine point eight five you can keep those numbers in your mind I bought intensive third quarter gross margin in line with estimates thirty seven point five percent okay let's get the latest in global news now his.
"jb straubel" Discussed on Bloomberg Radio New York
"Bloomberg television at about half past seven so in about ninety minutes time Hey in the U. K. and then own radio we have the Nokia C. a Rashid zero he'll be speaking to us at eight thirty AM to can delve into those Nokia of earning seeing twenty nineteen adjusted operating margin in line with expectations in maintaining its guidance as ready key when it comes on eggs I was full Clarion's this morning our first house first Hoff adjusted the bit dull coming in at three hundred fifty five million US was flying so that's a beat intensive earnings before interest taxes and so on I come in saying that the first half of the year was admittedly challenging in that was as a lot from coming Sunday be InBev has also been announcing a second quarter adjusted a bit I interestingly beating the thing ask them a reason to be special five point eight six billion dollars of their and it says it's still see strong growth in the the the year going forward yeah okay so there's a little breaking and use lines this morning as I mentioned lots of earnings to get through but let's talk about our top stories today because it is also a big day for central banks at twelve forty five London time today we find out where the Mario Draghi will cut the key deposit right now or wait until September just call him house he has the full preview on today's ECB decision from Frankfurt Germany this recession is deepening imprisoned drug because all but promised to deliver stimulus unless economic situation improves economists predict the first cut in over three years will come in September Johnny could also hinted to show measures for banks the ease the pain of more negative traits and set the stage for a new round of quantitative easing down the line in Frankfurt this claim of skewed number daybreak Europe well it's not cross over to Singapore it's good one from the markets long team is joining us was a very good morning to you now European bone deals crashing we got the ECB's cool speaking back to that day so what does that tell us about that hi good morning yeah you know I mean a part of the catalyst here's this big huge tumble works on German manufacturing yesterday and that no that is driving calls for a rate cut or for some sort of easing to sort of absolute frenzy levels in the markets in I I I think it's safe to say that most people think that the ECB will use the meeting today just to prepare people for what may come later but it certainly could act and it could you know either cut interest rates to revive the Spahn purchase programs as your correspondent said but you know that's just sending you know European yields absolutely crashing you mentioned German bunds but you know Italian bond yields are falling which is kind of surprising because the nation is you know struggling to meet the new rules on its budget interesting how incredibly Greek bond you know it's just a few years ago Greece was sort of the poster child for the European debt crisis but just yesterday Greek bond yields fell below treasury yields so you know amid this frenzy over the ECB there's just this insatiable demand for European bonds yeah exactly I mean great yield sets at one spot ninety nine as you say below that to handle the wear out in US yields on ten basis points out for Italian the else look if you also you should of course look at W. I. L. P. on your perfect time to to look at that betting when it comes to the ECB records the possibility of a cop now being fifty four percent or what so that so that kind of interesting in terms of what we're looking at also similar story I mentioned the BA down in Australia governor low promising to keep rates low for an extended period was the message that wise you don't sing this language that we've seen elsewhere but that hasn't been the case in Australia yeah right we see the elsewhere he's using this language now in Australia for the first time this business about keeping rates low for an extended period you know globally is central banks want want to use lows and low interest rates to spur growth when they start using these phrases start you know adding new guidance about what you know what what's going to happen it it kind of begins to sound like really really very urgent versus urgency maybe not you know maybe they're not desperate but it does does bring this real sense of urgency to you know to to bring rates down so central bankers are responding you know by we also should bring rates down we we already discussed the ECB and of course the biggest one of all the fed is going to meet next week in and will probably cut in the U. S. ways thanks I was given a life on the line from Singapore real time market coming she notices checkout markets life Emily V. on your blue button meanwhile in Turkey the central bank vet may trigger another live a crisis with a deeper than expected rates caught this right decision is the first full central bank governor move all it will solve who unexpectedly replace Marat tenting kinda like cement dam account looks at what to expect let's move on to the fed in the US the former fed chairman Alan Greenspan's endorse the idea of the federal reserve should be open to an insurance interest rate cuts to counter risks to the economic outlook and that's even if the probability of the worst happening is relatively low because the effeminate if MC is widely expected to lower rates next week yeah and data site let's also talk about politics in the U. K. prime minister Boris Johnson appointed a series of pro brags it ally stays cabinet lighting up a completely new team at the top of eggs Alex Morales has the details Sajid Javid was name Trung through the exchequer pretty Patel becomes homesick country and Dominic Roque was appointed Foreign Secretary but although the new cabinet had a much more hard brexit flavor dejection of so many ministers could have a paradoxical effect Johnson is now stocks the back benches of the Commons with conservatives ago him nothing and win support to know do brexit that's his default policy if the European Union would agree to a new deal if he's serious about no deal Johnson will have to find a way to sideline parliament will change its make up by calling a general election in London Alex Morales being big daybreak Europe I think the other issue is about the bank of England I'm just out this morning to be big time and all a story about the credibility of the bank of England being in question because they all pricing in Ole Ole factoring in dancing a deal on brexit when now the risks of a no deal breaks that have gone up so much because it's not government policy the bank of England called change that the way they look at things so that policy was going to be shaped I guess we'll see more the shape of it with the cabinet meeting that's going to happen in the next few hours with Boris Johnson his first one as prime minister yeah now moving on to tech shares and that Tesla's shares plummeted all frowns US trading on Wednesday that's off electric comic oppose the worse than expected loss for the quarter it's not a record number of deliveries the company lost one point twelve dollars a share and yet another major management change confounded JB Straubel is stepping down as chief technology officer and becoming an adviser yeah that was a big shot for the markets meanwhile Facebook has proved yet again that it can continue to grow and uses an advertising will still say feeling the heat from regulators around the globe the company settling a five billion dollar case with the Federal Trade Commission and the DOJ has announced a looming anti trust and yet advertising sales in the second quarter beat analysts' estimates as the company continues to create an even bigger network by weaving together its assets including Instagram what's up and messenger wasting global news his Bloomberg's Leon.