Production halted. Boeing announced that all Boeing South Carolina 787 production-related activities will be temporarily suspended until further notice, beginning at the end of the second shift on Wednesday, April 8. Airbus has suspended production and assembly at its sites in Bremen and Stade (Germany) and Mobile (USA) pending better days. The manufacturer has already halted production in France, Spain and the UK.
Also in the car industry. Fiat Chrysler is extending the closure of its plants in the United States and Canada until May 4, BMW until April 30.
Infineon buys Cypress Semiconductor. Infineon Technologies announced today that all necessary regulatory approvals have been received for its acquisition of Cypress Semiconductor Corporation for €9 billion. The German semiconductor manufacturer expects to close the transaction within five business days. This will create the world's number 8 in the sector.
Better than expected. Samsung will exceed revenue expectations in the first quarter, thanks to PC and server chip sales, which offset the decline in demand for smartphones and televisions caused by the Covid-19 outbreak. South Korea will not escape a more violent bite from the Covid-19 crisis in the second quarter.
What does the future hold for Germanwings? Lufthansa could take advantage of the current crisis to close its low-cost subsidiary Germanwings, according to rumors circulating ahead of a board meeting scheduled for today. A spokesman for the carrier told Reuters that no decision has yet been made and that all options remain on the table, probably a smokescreen as the board is expected to decide today.
Trump and 3M. U.S. authorities ordered 167 million masks from 3M Company. The group has been severely criticized last week by Donald Trump. Some of the equipment will have to be imported from China, where 3M has a production plant.
Austerity cure. The American oil giant Exxon Mobil will reduce its investments by 30% this year. The CEO, Darren Woods, said the company has never been faced with such a situation before. Expenses are expected to be around $23bn, compared to a range of $26 to $33bn previously.
Jet2 at a standstill. The UK's number two tour operator, Jet2, a subsidiary of Dart Group, has announced that it will cease operations, flights and holidays until mid-June.
In other news. The Visa Foundation is mobilizing $210 million to help SMEs deal with Covid-19. Carnival shares jumped by 20% yesterday following the announcement that the Saudi sovereign wealth fund had acquired 8.2% of the capital. Godaddy acquires Neustar's Registry business. Pershing Square strengthens its position in Berkshire Hathaway and takes over its position in Starbucks. Silver Lake and Sixth Street Partners will invest $1 billion in Airbnb. Yesterday, a press release was mistakenly left on Businesswire to announce JPMorgan Chase's 1st quarter results: fortunately, it was empty and the bank will publish its quarterly results on April 14. Alcon is forgoing its dividend and 2020 targets, and Cineworld is closing all its theatres in 10 countries because of the coronavirus. Hugo Boss and Sandvik are forgoing their dividends. Volkswagen plans to partially reopen its Spanish site in Navarra on April 20.