Boeing 737 Max to Be Flying Again by December, FAA Official Says
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Boeing Co.’s 737 Max aircraft, grounded since March after two fatal crashes in five months, will be back in the air by December, according to a top Federal Aviation Administration safety official.
It’s not possible to give an exact date as work progresses on safety fixes to the aircraft, Ali Bahrami, the U.S. regulator’s associate administrator for aviation safety, said Wednesday in interview at an aviation safety conference in Cologne, Germany. While the FAA is “under a lot of pressure,” he said the Max will be returned to service “when we believe it will be safe.”
Knowing when the aircraft may return to service would help airlines contend with the disruption caused by the grounding of the narrow-body Max, Boeing’s most popular model. The FAA has said that there’s no time frame to sign off on Boeing’s proposed software fix for the jet.
Loose exercise ball causes 4-vehicle crash on Washmill Lake Road
A loose exercise ball caused a four-vehicle pileup in Halifax on Wednesday morning.
Halifax Regional Police say a driver was issued a ticket for following another vehicle too closely as a result of the crash.
The crash, which occurred in the vicinity of Washmill Lake Road and Dunbrack Street, was in the process of being cleared up by 8:30 a.m.
Halifax Regional Police are asking commuters to pay attention to the road and the vehicles around them during their commute.
WPP backs 2019 guidance as Kantar sale progresses
WPP PLC (WPP.LN) on Wednesday backed its guidance for the year and said the sale of Kantar is progressing in line with the board’s expectations.
The London-based advertising and marketing group had previously guided for like-for-like net sales to fall by 1.5% to 2.0% in 2019, and for headline operating margin to decline by 1.0 margin point on a constant-currency basis.
"In December we set out our vision for the future of WPP, and we continue to make progress in delivering our plan to return the company to sustainable growth over the next three years. Our financial guidance for the full year is unchanged," Chief Executive Mark Read said.
WPP’s plans to sell a stake in Kantar were made public in October and are part of a broader effort by Mr. Read to streamline the group’s operations. Last year, the company combined its iconic creative agency J.Walter Thompson with digital agency Wunderman to create a new business called Wunderman Thompson and merged Young & Rubicam with VML to form VMLY&R.
Shares at 1132 GMT were down 0.2% at 1,001.50 pence.
Lam Research stock falls after Evercore downgrade
Shares of Lam Research Corp. LRCX, -0.08% were down 3.4% in premarket trading Wednesday after Evercore ISI analyst C.J. Muse downgraded the stock to in-line from outperform, arguing that a memory recovery now may not happen until the second half of calendar 2020. He had previously expected a first-half rebound. "At a bigger picture level, there is no change to our view on Lam – a high quality company with superior earnings power through cycles – just that the severity of the current memory correction combined with timing of a recovery leads us to see a better buying opportunity ahead," Muse wrote. "Amidst ever worsening pricing across both DRAM and NAND and industry participants moving closer and closer to cash costs, we now are hearing about delays not only in capacity adds but also technology buys." He cut his price target on the stock to $195 from $225. Shares are up almost 40% so far this year, as the S&P 500 SPX, -0.03% has gained 15%.
La Croix parent’s shares take a hit after new lawsuit
National Beverage Corp. SPX, -0.03% shares closed Tuesday down nearly 5% after a complaint was filed New Jersey alleging that the company "planned to falsely state in April that its sparkling water cans were BPA-free," months ahead of when the BPA-free cans were actually going to be produced. National Beverage brands include La Croix, which has seen its sales decline thanks to heightened competition and other factors. National Beverage could not be immediately reached for comment. National Beverage stock slumped to its lowest point since 2016, and has fallen about 37% for the year to date. The S&P 500 index SPX, -0.03% has gained 15.1% for 2019 so far.
Farfetch shares pop after JD.com launch
Farfetch Ltd. FTCH, +6.87% shares popped 3.3% in Wednesday premarket trading after closing up nearly 7% on Tuesday following news that the luxury e-commerce retailer launched a flagship on China’s JD.com. The move expands on a partnership that began in July 2017 and comes after the February announcement from Farfetch China that it was acquiring Toplife, JD’s luxury portal. JD.com is also a strategic investor in Farfetch. "Notably, the launch was originally slated for the tail end of 2019, but they have now launched the business about six months ahead of schedule, which we view very positively (they’ll be able to reap the potential rewards of this partnership earlier than expected)," wrote Wells Fargo analysts led by Ike Boruchow. Wells Fargo also highlights the three million JD.com users who "are considered ‘pre-qualified’ luxury customers" that Farfetch will now have "Level 1" access to, meaning users will see the Toplife button when they open the JD.com app. "Ultimately, we believe that China is Farfetch’s most compelling long-term opportunity (we see a $6 billion GMV opportunity by FY25 vs. ~$200 million today), and the launch on JD is a significant milestone for the company’s growth ambitions in this country," said Wells Fargo, which rates Farfetch stock outperform with a $32 price target. Farfetch shares have rallied 18.6% for the year to date outpacing the S&P 500 index SPX, -0.03% which has gained 15.1% for the period.