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Barclays EMEA private bank head Grosoli leaves the firm

FILE PHOTO: Workers are seen in at Barclays bank offices in the Canary Wharf financial district in London
FILE PHOTO: Workers are seen in at Barclays bank offices in the Canary Wharf financial district in London, Britain, November 17, 2017. REUTERS/Toby Melville/File Photo

April 3, 2019

LONDON (Reuters) – Barclays said the head of its private bank in Europe, Middle East and Africa, Francesco Grosoli, has decided to leave the bank after 12 years, the latest senior departure from the lender following the exit of its investment bank chief last week.

Grosoli will be replaced on an interim basis by Jean-Christophe Gerard, a spokesman for the bank said.

(Reporting By Lawrence White; Editing by Kirsten Donovan)

Source: OANN

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New York Times CEO warns publishers ahead of Apple news launch

FILE PHOTO: Mark Thompson, president and CEO of the New York Times Company, poses for a portrait in New York
FILE PHOTO: Mark Thompson, president and CEO of the New York Times Company, poses for a portrait in New York, November 26, 2013. REUTERS/Lucas Jackson/File Photo

March 21, 2019

By Kenneth Li and Helen Coster

NEW YORK (Reuters) – Apple Inc is expected to launch an ambitious new entertainment and paid digital news service on Monday, as the iPhone maker pushes back against streaming video leader Netflix Inc. But it likely will not feature the New York Times Co.

Mark Thompson, chief executive of the biggest U.S. newspaper by subscribers, warned that relying on third-party distribution can be dangerous for publishers who risk losing control over their own product.

“We tend to be quite leery about the idea of almost habituating people to find our journalism somewhere else,” he told Reuters in an interview on Thursday. “We’re also generically worried about our journalism being scrambled in a kind of Magimix (blender) with everyone else’s journalism.”

Thompson, who took over as New York Times CEO in 2012 and has overseen a massive expansion in its online readership, warned publishers that they may suffer the same fate as television and film makers in the face of Netflix’s Hollywood insurgence.

“If I was an American broadcast network, I would have thought twice about giving all of my library to Netflix,” Thompson said in response to questions about any talks with Apple to participate in the iPhone maker’s new news service.

Thompson declined to comment on any conversations with Apple. But he used the tale of how Netflix made huge inroads into Hollywood to explain why the Times has avoided striking deals with digital platforms in which it had little control over relationships with customers or its content.

“Even if Netflix offered you quite a lot of money. … Does it really make sense to help Netflix build a gigantic base of subscribers to the point where they could actually spend $9 billion a year making their own content and will pay me less and less for my library?” he asked.

In 2007 the answer for Hollywood was yes. In exchange for billions of dollars, studios helped Netflix launch a fledgling streaming video service by licensing their libraries of shows and movies, but that decision may have sown the seeds of their own demise.

By 2016, Time Warner Inc was forced to sell itself to AT&T Inc and Rupert Murdoch sold his 21st Century Fox film and TV studios to Walt Disney Co.

Apple is the latest company to offer a direct-to-consumer streaming video, along with a news subscription service, by leveraging the power of its more than 1 billion devices.

Through its subscription news service, Apple will charge about $10 monthly for access to a variety of magazine and newspaper content, according to media reports. Apple is expected to take 50 percent of the revenue. The Wall Street Journal has agreed to join Apple’s service, according to a recent New York Times report. News Corp, owner of the Journal, was not immediately reachable for comment.

A monthly digital subscription to the New York Times costs $15, and Thompson said he has no plans to give that up to participate on other platforms such as Apple’s.

Last year, the Times generated over $700 million in digital revenue, close to the company’s target of $800 million in annual digital sales by 2020. Digital ad revenue surpassed print ad revenue for the first time in the fourth quarter of 2018. The Times has plowed investment back into its newsroom, which at 1,550 journalists is now at its largest ever.

Despite the company’s insistence on keeping readers on its own products and platforms, Thompson said it has experimented on other services, highlighting content the Times developed just for Snap Inc’s Snapchat app, which helped reach new, younger readers.

These new audiences, he said, will play a big role in helping the Times reach its new target of 10 million subscribers by 2025.

(Reporting by Kenneth Li; Editing by Bill Rigby)

Source: OANN

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Federal judge blocks Medicaid work rules in setback for Trump

A federal judge in Washington blocked specific Medicaid work requirements in Arkansas and Kentucky on Wednesday, though he stopped short of deciding whether any work requirements are incompatible with the program's mission to provide health care to underprivileged people.

U.S. District Judge James E. Boasberg ruled that the Department of Health and Human Services' approval of the Arkansas work requirement was "arbitrary and capricious because it did not address ... whether and how the project would implicate the 'core' objective of Medicaid: the provision of medical coverage to the needy." The Obama-appointed judge invoked similar language in his ruling on the Kentucky requirement.

Work requirements are already in effect in Arkansas, but Kentucky's program has been on hold because of lawsuits. Both states want "able-bodied" adults who get health insurance through ObamaCare's Medicaid expansion to work, study, volunteer or participate in "community engagement" activities.

Kentucky Republican Gov. Matt Bevin said his state would appeal. Bevin has threatened to end Kentucky's Medicaid expansion covering more than 400,000 people if work requirements are ultimately struck down.

CONGRESSIONAL REPUBLICANS RATTLED BY TRUMP'S PIVOT TO OBAMACARE FIGHT

"We have one guy in Washington who thinks he owns Kentucky," said Bevin, apparently referring to the judge. "We're right, and we'll be right in the end. And one guy can gum up the works if he wants, for a while, but this, too, shall pass."

Arkansas Gov. Asa Hutchinson, also a Republican, said he was disappointed by the decision and would publicly address it on Thursday.

The GOP leader of the Arkansas Senate said he doesn't believe the ruling jeopardizes the future of Medicaid expansion, which covers more than 200,000 residents. About 18,000 have lost coverage as a result of the work requirements.

"I don't think there's any reason for the state to panic," said Senate President Jim Hendren, who's also the governor's nephew. "This is another obstacle in our path to try to do the best we can in Arkansas with the chips the federal government and the judiciary gives us."

States are traditionally allowed broad leeway to set Medicaid benefits and eligibility. Overall, Medicaid is the government's largest health insurance program, covering about one in five Americans, ranging from many pregnant women and infants to severely disabled people and elderly nursing home residents.

Advocates for the poor say that Medicaid is a health care program and that work requirements have no place in it.

"It is nonsensical and illegal to add obstacles to Medicaid for large groups of individuals who are already working, or full-time health care providers for family members, or suffering chronic health matters," said Jane Perkins, legal director of the National Health Law Program, a nonprofit that sued the government.

"Work should not be a key to health care access."

The Trump administration isn't giving up, said the head of the Centers for Medicare and Medicaid Services.

"We will continue to defend our efforts to give states greater flexibility to help low-income Americans rise out of poverty," Seema Verma said in a statement. "We believe, as have numerous past administrations, that states are the laboratories of democracy and we will vigorously support their innovative, state-driven efforts to develop and test reforms that will advance the objectives of the Medicaid program."

President Trump supports work requirements for public programs across the government. Last year, he signed an executive order directing Cabinet agencies to add or strengthen work requirements for programs including subsidized housing, food stamps and cash welfare.

HHS had already acted. Early in the administration, top officials invited states to apply for waivers that would allow Medicaid work requirements. Verma says she believes work is important to improving the health and well-being of Medicaid recipients.

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Eight states have had their requests approved, though not all have put their programs in place, according to the Kaiser Family Foundation. Requests from seven others are pending. In one of those states, Virginia, a work requirement was key to getting the legislature to approve Medicaid expansion.

Nationally, some 12 million people are covered by the Medicaid expansion, a key component of former President Barack Obama's health care law, adopted by 37 states. Officials in GOP-led states have argued that work requirements and other measures such as modest premiums are needed to ensure political acceptance for the expansion.

The Associated Press contributed to this report.

Source: Fox News Politics

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Less to lose: Germany’s poorer East embraces tech revolution

The Goethe Galerie shopping mall next to the headquarters of Jenoptik is pictured in Jena
The Goethe Galerie shopping mall next to the headquarters of Jenoptik is pictured in Jena, Germany March 21, 2019. REUTERS/Fabrizio Bensch

April 25, 2019

By Paul Carrel

JENA, Germany (Reuters) – From the 12th floor of Jenoptik’s headquarters, chief executive Stefan Traeger points to his laser factory and the university that provides it with talent. Welcome to “Optics Valley” – a role model for Germany’s East in a big year for the region.

Three elections in eastern states this autumn are focusing the minds of Chancellor Angela Merkel and her allies, who want to win over voters unhappy that their living standards still lag the West 30 years after the fall of the Berlin Wall.

They have work to do. The East was given big promises after reunification but its economy languished.

After cash injections of 2 trillion euros ($2 trillion) over three decades, the East’s economic output per capita is still three quarters of western German levels.

But the East is slowly closing the gap and several tech hubs are giving it hope of catching – and maybe eventually overtaking – the West.

In Jena, Traeger says his predecessors turned “the ruins of the old East German Carl Zeiss conglomerate” into Jenoptik – a multinational lasers and imaging equipment group.

With most of the East’s old industries long gone, Merkel’s government is trying to encourage hubs like Jena to profit from disruptive new technologies.

“I do feel at times that here in the East, still today, there is this feeling of ‘well, maybe it’s okay that we just play’. No, we want to win,” Traeger told Reuters after presenting record earnings for 2018 and a bullish outlook.

Many East German firms closed after reunification, so why was Jenoptik different? Traeger says its first CEO, Lothar Spaeth, a former premier of Baden-Wuerttemberg in Germany’s West, saw potential to create a world-class business out of an “unpolished gemstone”.

With the aid of government loans, Spaeth built Jenoptik from the Carl Zeiss group, but at a price.

“It was a very difficult time. Several thousand people lost their jobs,” said Helmut Bernitzki, 62, who joined the forerunner to Jenoptik in 1984.

“We had to expand into new markets,” Bernitzki, now an expert in optical coatings at Jenoptik, said. “We fought to be profitable and to create jobs here again.”

In a city of 110,000 inhabitants, 22,000 of them students, Jenoptik has channeled ideas from the university into specialized laser and optics products to give the company a technological edge.

(For a graphic: https://tmsnrt.rs/2GGQUVz)

PRODUCTIVITY PREMIUM

The upshot is high productivity: Jena’s output per worker is the highest in the eastern state of Thuringia, and slightly higher than towns like Bielefeld and Bochum in the western state of North Rhine-Westphalia, Federal Statistics Office data show.

“Here in the ‘Optics Valley’ in Jena, we have a very closely connected community and it does feel like Silicon Valley, on a smaller scale,” said Traeger.

He aims to turn ideas stimulated by Jena’s university into high-tech products that “create and justify price premiums”.

Generating this added value has eluded other industries in Germany’s East. Solar power firms made a promising start in the early 2000s before Asian rivals undercut many of them, with the loss of thousands of jobs.

Developing products that rivals cannot beat on price is the holy grail for the optics, biotech and artificial intelligence start-ups taking root in the East – many around universities and research institutes.

But for the East as a whole, productivity was three quarters the western average in 2017, the latest government figures show.

“The availability of skilled labor is much lower in east Germany,” said Reint Gropp, head of the Halle Institute for Economic Research (IWH).

His policy prescription: make the East more attractive to qualified migrants, and invest in universities, research facilities and urban centers. In short, be more like Jena, home to the Fraunhofer optics research institute and the Friedrich Schiller University, where 14 percent of students are foreign.

The East’s appeal to foreigners took a hit last year, however, when Chemnitz, a town east of Jena, saw Germany’s most violent right-wing protests in decades after the killing of a German man, for which two immigrants were arrested and one later released.

INNOVATION CLUSTERS

The federal government is now encouraging high-tech hubs in Berlin, Potsdam, Leipzig, Dresden and Jena.

The initiatives are bearing fruit. For the first time since reunification, more people moved from the West to the East – excluding booming Berlin – in 2017 than the other way around, government figures show. Small and mid-sized enterprises are driving the revival.

Success stories include Halle-based ProBioDrug, which is developing products to treat Alzheimer’s disease, and Jena medical devices maker Avatera Medical, which people close to the matter say is considering a stock market flotation.

Not all areas are thriving. In the Lausitz region south of Berlin, plans to phase out coal mining are worrying locals.

Unemployment in the East – at 6.7 percent – is still 2 points higher than in the West, and the population is older.

Easterners also feel their prospects are poorer. A recent study by the DeZIM institute for research on integration found a third of ‘Ossies’ believe they are treated as second-class citizens, about the same proportion as Muslims.

FAR-RIGHT CURSE

In Jena, mayor Thomas Nitzsche wants to export his city’s success to surrounding areas, where the far-right and left play on people’s fears of being left behind.

Between 1990 and 2016, the East’s population fell by 11.2 percent to 16.2 million, government figures show. The number of working-age people is expected to decline up to 2030, with those over 65 rising to a third from a quarter.

Nitzsche is trying to meet Jena’s demand for talent.

“Even if we retained all the school leavers and university graduates we have here, that would still be too few,” said Nitzsche, a liberal Free Democrat.

“So we need to attract people here – not just from Thuringia, but across the country and abroad.”

Ahead of the regional elections on Sept. 1 in Brandenburg and Saxony and on Oct. 27 in Thuringia, the anti-immigration Alternative for Germany (AfD) is polling close to 20 percent in all three states – putting it in second or third place.

None of the major parties want to share power with the AfD. Mainstream politicians, business leaders and think-tanks agree: the East can continue on an upward trajectory if remains open to skilled outsiders to help its young firms grow.

The East, said Gropp at the IWH institute, has less to lose by taking a chance on new technologies than the West, where the auto sector and other mature industries face challenges from innovations like electric cars.

“East Germany has a better chance of handling this more disruptive structural change, which can take place much more easily in new firms,” Gropp said. Could the East even overtake the West? “I think it could, absolutely.”

(Additional reporting by Michael Nienaber and Markus Wacket; Editing by Giles Elgood)

Source: OANN

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U.S. corporate breakups could be catalyst to change Dow index

FILE PHOTO: A screen displays the trading information for chemical producer DowDuPont Inc. on the floor at the NYSE in New York
FILE PHOTO: A screen displays the trading information for chemical producer DowDuPont Inc. on the floor at the New York Stock Exchange (NYSE) in New York, U.S., March 20, 2019. REUTERS/Brendan McDermid/File Photo

March 22, 2019

By Lewis Krauskopf

NEW YORK (Reuters) – Shake-ups come infrequently for the Dow Jones Industrial Average, but some degree of change may be in the works for the stock index as two of its 30 constituents prepare to transform from large conglomerates into smaller companies.

The latest occasion to re-examine the Dow stems from chemical company DowDuPont Inc, which is breaking up into three publicly listed stocks. The first step, the separation of the company’s Dow materials science division, is due to take effect on April 1.

Another index component, industrial conglomerate United Technologies Corp, is also in the process of separating into three companies, possibly in about a year.

While many professional investors prefer other stock gauges to the Dow, membership in the blue-chip index – often thought of as Main Street’s market barometer – still carries allure because of its relatively few constituents. Funds with billions of dollars under management are also linked to the index, so constituent changes affect flows into and out of stocks.

While pieces of the original components could stay in the Dow, those corporate actions could spur the overseers of the index to add fresh blood, some market watchers say.

“All of the options are certainty on the table,” said Todd Rosenbluth, head of ETF and mutual fund research at CFRA. “This could be a catalyst for a new addition to the broader index.”

S&P Dow Jones Indices, which publishes the Dow index, will make an announcement before April 1, according to spokesman Ray McConville.

Any time there is a corporate action in an index, McConville said, “S&P DJI will review the index and make any necessary changes and issue a public announcement before the transaction takes place.”

Known for its inclusion of large U.S. companies as well as its relatively few members compared to other barometers, the Dow has changed components roughly every two years over the past 20 years. The most recent such move came last June, when longtime member General Electric Co was replaced by Walgreens Boots Alliance Inc.

Prior to that, DowDupont took over for DuPont in September 2017, after the latter company merged with Dow Chemical, and Apple replaced AT&T in March 2015.

The index is a measure of 30 companies designed to provide suitable sector representation, except for transportation and utilities stocks, which are covered by other Dow Jones indexes, according to published methodology for the index.

The overall level of the Dow does not change when its components do, because the divisor used to calculate the index is adjusted.

Stock selection is “not governed by” quantitative rules, according to the published methodology, which also says “a stock typically is added only if the company has an excellent reputation, demonstrates sustained growth and is of interest to a large number of investors.”

The subjectivity of the criteria regularly prompts speculation about which companies may qualify.

Some companies that seem like obvious candidates at first blush may have strikes against them. For example, two of the largest U.S. companies – Amazon.com Inc and Alphabet Inc, the parent of Google – have share prices that are both well over $1,000 each.

That’s a problem because such high prices would warp the Dow, whose constituents carry more weight the higher their share price. At about $375 a share, Boeing Co is the highest priced stock in the Dow by more than $100.

Many indexes, such as the S&P 500, are weighted by companies’ market capitalization, rather than by their share price.

One remaining piece of DowDuPont – the only materials sector stock in the Dow – could stay in the Dow Jones index.

“If you take DowDuPont off, then there is nothing really with that materials” exposure, said James Ragan, director of wealth management research at D.A. Davidson in Seattle. “I am not sure this is an opportunity to make a big change here.”

The DowDuPont breakup will leave Dow, specialty products company DuPont and Corteva, which focuses on agriculture.

Dow and DuPont would be the biggest of the three, with market values estimated at about $50 billion and $60 billion, respectively, according to Nomura Instinet analyst Aleksey Yefremov. “If they want to have a materials company they have to pick one of these two, just because they are so broad,” Yefremov said.

United Tech is separating into an aerospace supplier, an elevator manufacturer, and a provider of building products including air-conditioning systems.

Aerospace is by far the biggest division of the three by sales, but with one aerospace stock already in the Dow – planemaker Boeing – that new company may be redundant.

In many investors’ eyes, the Dow pales in importance as a market barometer to the S&P 500, with its 500 constituents weighted by market value. Just over $23 billion is invested in mutual and exchange-traded funds tied to the Dow Jones Industrial Average compared to nearly $4.3 trillion tied to the S&P 500, according to Lipper research.

But the more than 120-year-old index remains a popular market gauge.

“The Dow’s price-weighted construct and the fact that it’s only 30 names makes it reasonably distinct from measures that folks will more likely look at to be representing the market as a whole,” said Simeon Hyman, global investment strategist at ProShares, which has five ETFs with $1.5 billion linked to the Dow.

But, adds Hyman: “The fact that it’s distinct means that some folks will find utility in it.”

(Reporting by Lewis Krauskopf; Editing by Alden Bentley and Leslie Adler)

Source: OANN

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New Zealand officer guilty of planting camera in embassy

A naval commodore who served as New Zealand's senior military attache to the United States has been found guilty of planting a hidden camera in a bathroom at the embassy in Washington.

A jury in the Auckland District Court deliberated for 4 1/2 hours on Thursday before finding Commodore Alfred Harold Keating guilty on a charge of attempting to make an intimate visual recording. He will be sentenced on June 25 and faces the possibility of up to three years in jail.

Judge Robert Ronayne told the jury there was no dispute that a camera was hidden in the embassy bathroom.

Keating resigned from the defense force after pleading not guilty in March, ending a 40-year career during which he became one of New Zealand's most senior naval officers.

Source: Fox News World

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Ultimate Compilation: Dems and MSM Talking Heads Freak Out Over AG Barr’s Impending Spying Investigation

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Members of The Cranberries, bassist Mike Hogan, drummer Fergal Lawler and guitarist Noel Hogan speak to Reuters during an interview in London
Members of The Cranberries, bassist Mike Hogan, drummer Fergal Lawler and guitarist Noel Hogan speak to Reuters during an interview in London, Britain, April 24, 2019. REUTERS/Gerhard Mey

April 26, 2019

By Hanna Rantala

LONDON (Reuters) – Irish rockers The Cranberries are saying goodbye with their final album released on Friday, a poignant tribute to lead singer Dolores O’Riordan who died last year.

“In the End” is the eighth studio album from the band that rose to fame in the early 1990s with hits likes “Zombie” and “Linger”, and includes the final recordings by O’Riordan, who drowned in a London hotel bath in January 2018 due to alcohol intoxication.

Work on the album began during a 2017 tour and by that winter, O’Riordan and guitarist Neil Hogan had penned and demoed 11 tracks.

With O’Riordan’s vocals recorded, Hogan, bassist Mike Hogan and drummer Fergal Lawler completed the album in tribute to her.

“When we realized how strong the songs were, that was the deciding factor really… There was no point… trying to ruin the legacy of the band,” Noel Hogan said in an interview.

“It was obvious that Dolores wanted this album done because when you hear the album, you hear the songs and how strong they are, and she was very, very excited to get in and record this.”

The Cranberries formed in Limerick in 1989 with another singer. O’Riordan replaced him a year later and the group went on to become Ireland’s best-selling rock band after U2, selling more than 40 million records.

O’Riordan, known for her strong distinctive voice singing about relationships or political violence, was 46 when she died.

“She was actually in quite a good place mentally. She was feeling quite content and strong and looking forward to a new phase of her life,” Lawler said.

“A lot of the lyrics in this album are about things ending… people might read into it differently but it was a phase of her personal life that she was talking about.”

The group previously announced their intention to split after the release of “In The End”.

“We are absolutely gutted we can’t play (the songs) live because that’s something that’s been a massive part of this band from day one,” Noel Hogan said.

“A few people have said to us about maybe even doing a one off where you have different vocalists… as kind of guests of ours. A year ago that’s definitely something we weren’t going to entertain but I don’t know, I think it’s something we need to go away and take time off for the summer and have a think about.”

Critics have generally given positive reviews of the album; NME described it as “(seeing) the band’s career go full-circle” while the Irish Times called it “an unexpected late career high and a remarkable swan song for O’Riordan”.

Their early songs still play on the radio. This week, “Dreams” was performed at the funeral of journalist Lyra McKee, who was shot dead in Londonderry last week as she watched Irish nationalist youths attack police following a raid.

“We wrote them as kids, as a hobby and 30 years later they are on radio and on TV, like all the time… That’s far more than any of us ever thought we would have,” Noel Hogan said.

“That would make Dolores really happy because she was very precious about those songs. Her babies, she called them and to have that hopefully long after we’re gone… that’s all any band can wish for.”

(Reporting by Hanna Rantala; additoinal reporting by Marie-Louise Gumuchian; Writing by Marie-Louise Gumuchian; Editing by Susan Fenton)

Source: OANN

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2020 Democratic presidential candidate Elizabeth Warren participates in the She the People Presidential Forum in Houston
2020 Democratic presidential candidate Elizabeth Warren participates in the She the People Presidential Forum in Houston, Texas, U.S. April 24, 2019. REUTERS/Loren Elliott

April 26, 2019

By Joshua Schneyer and M.B. Pell

NEW YORK (Reuters) – Senator Elizabeth Warren will introduce a bill Friday that offers new protections for U.S. military families facing unsafe housing, following a series of Reuters reports revealing squalid conditions in privately managed base homes.

The Reuters reports and later Congressional hearings detailed widespread hazards including lead paint exposure, vermin infestations, collapsing ceilings, mold and maintenance lapses in privatized base housing communities that serve some 700,000 U.S. military family members.

(View Warren’s military housing bill here. https://tmsnrt.rs/2Dy5aht)

(Read Reuters’ Ambushed at Home series on military housing here. https://www.reuters.com/investigates/section/usa-military)

The Massachusetts Democrat’s bill would mandate both regular and unannounced spot inspections of base homes by certified, independent inspectors, holding landlords accountable for quickly fixing hazards. The military’s privatization program for years allowed real estate firms to operate base housing with scant oversight, Reuters found, leaving some tenants in unsafe homes with little recourse against landlords.

The bill would also require the Department of Defense and its private housing operators to publish reports annually detailing housing conditions, tenant complaints, maintenance response times and the financial incentives companies receive at each base. The provisions aim to enhance transparency of housing deals whose finances and operations the military had allowed to remain largely confidential under a privatization program since the late 1990s.

The measure would also require private landlords to cover moving costs for at-risk families, and healthcare costs for people with medical conditions resulting from unsafe base housing, ensuring they receive continuing coverage even after they leave the homes or the military.

“This bill will eliminate the kind of corner-cutting and neglect the Defense Department should never have let these private housing partners get away with in the first place,” Warren said in a statement Friday.

The proposed legislation comes after February Senate hearings where Warren, a member of the Senate Armed Services Committee who is seeking the Democratic nomination for the 2020 U.S. presidential election, slammed private real estate firms for endangering service families, and sought answers about why military branches weren’t providing more oversight.

Her legislation would direct the Defense Department to allow local housing code enforcers onto federal bases, following concerns they were sometimes denied access. Warren’s office said a companion bill in the House of Representatives would be introduced by Rep. Deb Haaland, Democrat of New Mexico.

In response to the housing crisis, military branches are developing a tenant bill of rights and hiring hundreds of new housing staff. The branches recently dispatched commanders to survey base housing worldwide for safety hazards, resulting in thousands of work orders and hundreds of tenants being moved. The Defense Department has pledged to renegotiate its 50-year contracts with private real estate firms.

Congress has been quick to take its own measures. Earlier legislation proposed by senators Dianne Feinstein and Kamala Harris of California, along with Mark Warner and Tim Kaine of Virginia, would compel base commanders to withhold rent payments and incentive fees from the private ventures if they allow home hazards to persist.

(Editing by Ronnie Greene)

Source: OANN

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FILE PHOTO: Offices of Deloitte are seen in London
FILE PHOTO: Offices of Deloitte are seen in London, Britain, September 25, 2017. REUTERS/Hannah McKay/File Photo

April 26, 2019

By Noor Zainab Hussain and Tanishaa Nadkar

(Reuters) – Deloitte quit as Ferrexpo’s auditor on Friday, knocking its shares by more than 20 percent, days after saying it was unable to conclude whether the iron ore miner’s CEO controlled a charity being investigated over its use of company donations.

Blooming Land, which coordinates Ferrexpo’s Corporate Social Responsibility (CSR) program, came under scrutiny after auditors found holes in the charity’s statements.

Ferrexpo on Tuesday said findings of an ongoing independent investigation launched in February indicated some Blooming Land funds could have been “misappropriated”. It did not provide any details or publish its findings.

Shares in Ferrexpo, the third largest exporter of pellets to the global steel industry, were 23.4 percent lower at 206.1 pence at 1022 GMT following news of Deloitte’s resignation.

“Ferrexpo’s shares are deeply discounted vs peers … following the resignation of Deloitte, we expect downside risks to dominate Ferrexpo’s shares near term.” JP Morgan analyst Dominic O’Kane said in a note on Friday.

Swiss-headquartered Ferrexpo did not provide a reason for the resignation of Deloitte, which declined to comment, while Blooming Land did not respond to a request for comment.

Funding for Blooming Land’s CSR activities is provided by one of Ferrexpo’s units in Ukraine and Khimreaktiv LLC, an entity ultimately controlled by Ferrexpo’s CEO and majority owner Kostyantin Zhevago, Ferrexpo said on Tuesday.

Ferrexpo’s board has found that Zhevago did not have significant influence or control over the charity, but Deloitte said it was unable reach a conclusion on this.

Reuters was not immediately able to contact Zhevago.

In a qualified opinion, a statement addressing an incomplete audit, Deloitte said it had been unable to conclude whether $33.5 million of CSR donations to Blooming Land between 2017 and 2018 was used for “legitimate business payments for charitable purposes”.

Deloitte said on Tuesday that total CSR payments made to Blooming Land by Ferrexpo since 2013 total about $110 million.

Ferrexpo, whose major mines are in Ukraine, has said that the investigation was ongoing and new evidence pointed to potential discrepancies.

Zhevago, 45, who ranked 1,511 on Forbes magazine’s list of billionaires for 2019 with a net worth of $1.4 billion, owns the FC Vorskla soccer club and has been a member of Ukraine’s parliament since 1998.

(Reporting by Noor Zainab Hussain and Tanishaa Nadkar in Bengaluru and additional reporting by Pavel Polityuk in Kiev; editing by Gopakumar Warrier, Bernard Orr)

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Children walk past a damaged building in the aftermath of the Cyclone Kenneth in Pemba
Children walk past a damaged building in the aftermath of the Cyclone Kenneth in Pemba, Mozambique April 26, 2019 in this still image obtained from social media. SolidarMed via REUTERS ATTENTION EDITORS – THIS IMAGE HAS BEEN SUPPLIED BY A THIRD PARTY. MANDATORY CREDIT. NO RESALES. NO ARCHIVES

April 26, 2019

By Emma Rumney and Stephen Eisenhammer

JOHANNESBURG/LUANDA (Reuters) – Cyclone Kenneth killed at least one person and left a trail of destruction in northern Mozambique, destroying houses, ripping up trees and knocking out power, authorities said on Friday.

The cyclone brought storm surges and wind gusts of up to 280 km per hour (174 mph) when it made landfall on Thursday evening, after killing three people in the island nation of Comoros.

It was the most powerful storm on record to hit Mozambique’s northern coast and came just six weeks after Cyclone Idai battered the impoverished nation, causing devastating floods and killing more than 1,000 people across a swathe of southern Africa.

The World Food Programme warned that Kenneth could dump as much as 600 millimeters of rain on the region over the next 10 days – twice that brought by Cyclone Idai.

One woman in the port town of Pemba died after being hit by a falling tree, the Emergency Operations Committee for Cabo Delgado (COE) said in a statement, while another person was injured.

In rural areas outside Pemba, many homes are made of mud. In the main town on the island of Ibo, 90 percent of the houses were destroyed, officials said. Around 15,000 people were out in the open or in “overcrowded” shelters and there was a need for tents, food and water, they said.

There were also reports of a large number of homes and some infrastructure destroyed in Macomia district, a mainland district adjacent to Ibo.

A local group, the Friends of Pemba Association, had earlier reported that they could not reach people in Muidumbe, a district further inland.

Mark Lowcock, United Nations under-secretary-general for humanitarian affairs, warned the storm could require another major humanitarian operation in Mozambique.

“Cyclone Kenneth marks the first time two cyclones have made landfall in Mozambique during the same season, further stressing the government’s limited resources,” he said in a statement.

FLOOD WARNINGS

Shaquila Alberto, owner of the beach-front Messano Flower Lodge in Macomia, said there were many fallen trees there, and in rural areas people’s homes had been damaged. Some areas of nearby Pemba had no power.

“Even my workers, they said the roof and all the things fell down,” she said by phone.

Further south, in Pemba, Elton Ernesto, a receptionist at Raphael’s Hotel, said there were fallen trees but not too much damage. The hotel had power and water, he said, while phones rang in the background. “The rain has stopped,” he added.

However Michael Charles, an official for the International Federation of the Red Cross and Red Crescent Societies (IFRC), said heavy rains over the next few days were likely to bring a “second wave of destruction” in the form of flooding.

“The houses are not all solid, and the topography is very sandy,” Charles said.

In the days after Cyclone Idai, heavy inland rains prompted rivers to burst their banks, submerging entire villages, cutting areas off from aid and ruining crops. There were concerns the same could happen again in northern Mozambique.

Before Kenneth hit, the government and aid workers moved around 30,000 people to safer buildings such as schools, however authorities said that around 680,000 people were in the path of the storm.

(Reporting by Emma Rumney and Stephen Eisenhammer; Writing by Emma Rumney; Editing by Janet Lawrence and Alexandra Zavis)

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A worker holds a nozzle to pump petrol into a vehicle at a fuel station in Mumbai
FILE PHOTO: A worker holds a nozzle to pump petrol into a vehicle at a fuel station in Mumbai, India, May 21, 2018. REUTERS/Francis Mascarenhas

April 26, 2019

By Manoj Kumar and Nidhi Verma

NEW DELHI (Reuters) – Surging global oil prices will pose a first big challenge to India’s new government, whoever wins an election now under way, especially as domestic prices have been allowed to lag, meaning consumers are in for a painful surge as they catch up.

For oil-import dependent India, higher global prices could lead to a weaker rupee, higher inflation, the ruling out of interest rate cuts and could further weigh on twin current account and budget deficits, economists warned.

But compounding the future pain, state-run fuel suppliers and retailers have held off passing on to consumers the higher prices during a staggered general election, which began on April 11 and ends on May 23, according to sources familiar with the situation.

That delay is expected to be unwound once the election is over. And there could be additional price increases to make up for losses or profits missed during the period of delayed increases, the sources said.

In some major Asian countries, such as Japan and South Korea, pump prices are adjusted periodically so they move largely in tandem with international crude prices.

That was what was supposed to happen in India but the election means there have been many days when pump prices have been unchanged.

In New Delhi, for example, while crude oil prices have gone up by nearly $9 a barrel, or about 12 percent, in the past six weeks, gasoline prices have only risen by 0.47 rupees a liter, or 0.6 percent.

State-controlled fuel suppliers and retailers declined to say why they had delayed price increases, or discuss whether there has been any pressure from the government of Prime Minister Narendra Modi.

A government spokesman declined to comment.

The opposition Congress party said Modi’s government was violating its own policy of daily price revision by advising the state oil companies to hold prices steady.

“The government should cut fuel taxes otherwise consumers will have to pay much higher oil prices once the elections are over,” said Akhilesh Pratap Singh, a senior leader of the Congress party.

(GRAPHIC: India Polls: Fuel price hike lags crude surge – https://tmsnrt.rs/2XLlxik)

Nitin Goyal, treasurer at the All India Petroleum Dealers Association, representing fuel stations in 25 states, said prices were similarly held down for 19 days in the southern state of Karnataka last year, when it held state assembly elections.

Only for them to surge after the vote.

“Consumers should be ready for a rude shock of a massive jump in retail prices, similar to the level we have seen in the Karnataka state election,” Goyal said.

‘CREDIT NEGATIVE’

Sri Paravaikkarasu, director for Asia oil at Singapore-based consultancy FGE, said retail prices of gasoline and gasoil prices would have been up to 6 percent, or about 4 rupee, higher if they had been allowed to rise in line with global prices.

“Indian pump prices have failed to keep up with the recent uptrend in crude prices,” Paravaikkarasu said.

“With the country’s general elections underway, the incumbent government has been keeping pump prices relatively unchanged.”

India had switched to a daily price revision in June 2017 from a revision every two weeks, as the government allowed retailers to set prices.

But the government faced protests last October when retailers raised prices by up to 10 rupees a liter after the crude oil price went above $80 a barrel, forcing it to cut fuel taxes.

Global prices rose to their highest level in 2019 on Thursday, days after the United States announced all Iran sanction waivers would end by May, pressuring importers including India to stop buying Tehran’s oil. [O/R]

Higher oil prices will mean Asia’s third largest economy is likely to see growth of less than 7 percent rate this fiscal year, economists said. Growth slowed to 6.6 percent in the October-December quarter, the slowest in five quarters.

Rating agency CARE has warned that a 10 percent rise in global oil prices could increase demand for dollars, putting pressure on the rupee and widening the current account deficit.

India’s oil import bill rose by nearly one-third in the fiscal year ending March 31 to $140.5 billion, against $108 billion the previous year.

“The increase in international oil prices is a credit negative for the Indian economy,” ICRA, the Indian arm of the Fitch rating agency, said in a note.

“Every $10/ bbl increase in crude oil prices increases the fiscal deficit by about 0.1 percent of GDP.”

Any big price rise would also build a case for the central bank to keep rates steady, or even raise them.

The Reserve Bank of India’s Monetary Policy Committee, which cut the benchmark policy repo rate by 25 basis points this month, warned that rising oil and food prices could push up inflation.

Policymakers are worried that a sustained increase in the oil price in the range of $70-75/barrel or higher can move the rupee down by 3-4 percent on an annual basis.

The rupee has depreciated by 1.24 percent against the dollar since a year high in mid-March.

($1 = 70.1800 Indian rupees)

(Reporting by Manoj Kumar and Nidhi Verma; Editing by Martin Howell and Rob Birsel)

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