|Day's range||32.60 - 36.95|
Tesla, Eldorado Resorts, Dick???s Sporting Goods, Gaming and Leisure Properties and Target highlighted as Zacks Bull and Bear of the Day
(Bloomberg) -- Another Tesla Inc. vehicle operating on the carmaker’s driver-assistance system branded as Autopilot has crashed into a parked emergency vehicle, eliciting fresh warnings about the shortcomings of automated technology on public roads.A Tesla Model 3 sedan hit a parked police cruiser with its hazard lights flashing on a major highway near Norwalk, Connecticut, over the weekend. The collision occurred around 12:40 a.m. local time Saturday, when a highway-patrol vehicle stopped to assist a disabled SUV in the left-center lane of Interstate 95, according to a Connecticut State Police report.“When operating a vehicle your full attention is required at all times to ensure safe driving,” the state police wrote Saturday in a Facebook post. “Although a number of vehicles have some automated capabilities, there are no vehicles currently for sale that are fully automated or self-driving.”A similar incident last year in which a Tesla Model S slammed into the rear of a fire truck on a Southern California highway triggered an investigation by the U.S. National Transportation Safety Board. While neither crash resulted in injuries, both raise questions about the use and limitations of advanced driver-assist technology that can struggle to detect stationary objects.There’s no indication at this time that the NTSB’s Office of Highway Safety intends to investigate the latest crash, a spokesman for the agency said in an email. Representatives for Tesla didn’t immediately respond to requests for comment.On Saturday, the 2018 Model 3 was traveling in the same lane as the parked police cruiser, which it hit before continuing on and damaging the bumper of the disabled Jeep. The rear end of the police cruiser and front end of the Model 3 sustained “heavy” damage, but the state trooper was outside the police car at the time of the accident, according to the police report.The driver of the Tesla told police his car’s Autopilot feature had been activated and he was not facing forward -- he was checking on his dog in the back seat, according to the state police’s Facebook post. Police issued him a ticket for first degree reckless driving and endangerment.Tesla releases quarterly reports that it says indicate drivers using Autopilot are safer than those operating without it. The company also has said the system repeatedly reminds drivers they are responsible for remaining attentive and prohibits the use of Autopilot when warnings are ignored.(Updates with NTSB spokesman’s comment in fifth paragraph.)\--With assistance from Ryan Beene.To contact the reporter on this story: Chester Dawson in Southfield at firstname.lastname@example.orgTo contact the editors responsible for this story: Craig Trudell at email@example.com, David WelchFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- China’s third-richest man is set to get a $2 billion cash windfall.Hui Ka Yan, chairman of China Evergrande Group, will pocket the money after the property developer and electric-car wannabe declared a record dividend for fiscal 2018.The board proposed a 1.42 yuan per-share payout for the year ended Dec. 31, according to a statement late Sunday. That would total 18.7 billion yuan ($2.7 billion), and with a 78% stake in the company, Hui will get the lion’s share.Evergrande shares rose 3.3% in morning trading in Hong Kong, paring this year’s decline to 13%.The 61-year-old company founder didn’t take a salary last year, and was paid the equivalent of about $34,000 in fees. However, he’s worth $27.5 billion, according to the Bloomberg Billionaires Index.Read more: Musk’s Latest Challenger Is a Politically Savvy Chinese TycoonEvergrande has poured billions of dollars into acquisitions as Hui pursues an ambition to make the company the world’s biggest maker of electric cars in the next three to five years.The cash burning foray into electric-cars comes as Evergrande’s net debt-to-equity ratio hovers around 153%, one of the highest among Chinese developers.What Bloomberg Opinion says:Evergrande’s dividend “is set to further aggravate its cash crunch. The confluence of weak first-half sales, falling cash collections, and cash burn from its electric-vehicle foray means Evergrande will struggle to shake off enough net debt to hit its target -- 70% of equity -- by mid-2020.”\--Kristy Hung, banking & real estate analystTo read the full report, click hereSo far, Hui doesn’t have much to show for all his grand plans, last month vowing to unveil a debut car by June 2020 -- a year later than first promised.Not only does that pit him against Elon Musk’s Tesla Inc., which has been churning out EVs for years, but also all the world’s major automakers, which are plowing tens of billions of dollars into EV production and research. Evergrande will also be entering a crowded local field at a time sales are slumping as the government reduces subsidies.The proposed dividend translates to a 50% payout ratio of the developer’s 37.4 billion yuan profit last year, the same since its listing. Shareholders will vote whether to approve the dividend at an extraordinary general meeting Jan. 15.Evergrande had deferred a decision on the 2018 dividend twice since March, partly to comply with Chinese regulatory rules as it pursues a back-door listing on the mainland for its real estate assets.The dividend is expected to be paid on or before Feb. 26, 2020, if it is approved by shareholders.While Evergrande has delayed dividend payments for the past three fiscal years, it indicated the fiscal 2019 payout will be made after it releases its annual report in March 2020.(Updates with share price in fourth paragraph.)To contact Bloomberg News staff for this story: Emma Dong in Shanghai at firstname.lastname@example.orgTo contact the editors responsible for this story: Katrina Nicholas at email@example.com, Peter VercoeFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- When U.S. prosecutors charged an Apple Inc. engineer in January with stealing trade secrets for a Chinese startup, a search of his home turned up something else, they said: a classified file from the Patriot missile program that belonged to his ex-employer, Raytheon Co.The discovery has added a striking national security wrinkle to an otherwise routine corporate espionage case, and the government says it merits keeping Jizhong Chen under close scrutiny.The Patriot document was discovered among numerous electronic devices and paper files from Chen’s former employers including General Electric -- some of which were stamped “confidential,” according to prosecutors.Chen, a U.S. citizen who was arrested on his way to catch a flight to China, is awaiting trial on charges that he collected photos, schematics and manuals from his work on Apple’s tightly guarded self-driving car project as he prepared to take a job with an unidentified rival.He has pleaded not guilty and remains free on $500,000 bail. But prosecutors argue the stash of sensitive data found in Maryland justifies subjecting him to location monitoring with an electronic device so he doesn’t disappear before his trial.Lawyers representing Chen and a second former Apple engineer facing similar charges -- who is also fighting prosecutors over the need for location monitoring -- contend the government is exaggerating the risk they’ll try to flee.The 2011 document relating to one of Raytheon’s best-known weapons was so secret that it “was not (and is not) permitted to be maintained outside of Department of Defense secured locations,” prosecutors said in an Oct. 29 filing that hasn’t previously been reported on by the media. Chen “has, for over eight years, illegally possessed classified national security materials taken from a former employer.”How a classified document ended up at an engineer’s home raises provocative questions, but they’re unlikely be answered in open court at a hearing set for Monday. A prosecutor and an attorney for Chen both declined to comment ahead of the hearing. A Raytheon spokeswoman didn’t respond to a request for comment.Read More: Tesla to Apple: Help Us Nail Robocar-Secrets Thief at China FirmAfter prosecutors first raised concerns about the evidence they found in Maryland, a magistrate judge agreed in March to extend an electronic monitoring requirement to give the government time to investigate. She finally ordered an end to the monitoring in October -- and prosecutors are now asking a district judge to overrule her.Lawyers for Chen say prosecutors have had enough time to present further evidence of criminal conduct. They also note that the federal office that supervises defendants on probation has concluded monitoring is no longer necessary because Chen has complied with all the conditions of his release and found full-time employment.Daniel Olmos represents both Chen and Zhang Xiaolang, who also worked on Apple’s autonomous driving project before he was arrested in July 2018 and accused of trying to take the company’s trade secrets to China-based XMotors. The lawyer makes an argument that goes to the heart of the cases against both men: There’s no evidence that Apple’s intellectual property was shared with a third party. That’s significant because possession of the information alone isn’t necessarily a crime.Olmos also contends that each of the engineers has strong ties in the U.S. and the trips they were about to take to China when they were arrested were planned for the purpose of visiting relatives, not escaping prosecution.“The government’s argument that Mr. Zhang poses a flight risk because he is a Chinese citizen is insufficient to warrant GPS monitoring,” Olmos said in a filing. “Mr. Zhang has full-time employment, a new family, and no travel documents.”The cases are U.S. v. Chen, 19-cr-00056, and U.S. v. Zhang, 18-cr-00312, U.S. District Court, Northern District of California (San Jose).To contact the reporters on this story: Peter Blumberg in San Francisco at firstname.lastname@example.org;Robert Burnson in San Francisco at email@example.comTo contact the editors responsible for this story: David Glovin at firstname.lastname@example.org, Anthony Lin, Peter BlumbergFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Elon Musk beat back a defamation claim from a British cave expert who sued the billionaire CEO over a tweet in which Musk labeled Vernon Unsworth a “pedo guy.”A federal jury in Los Angeles Friday took about an hour to return a verdict that said Musk’s insult fell short of defamation.“We were pretty much unanimous from the word ‘go,”’ said Carl Shusterman, a 70-year-old immigration lawyer who served on a jury for the first time.Shusterman said the verdict was straight-forward because it wasn’t clear if the tweet was actually about Unsworth, since Musk didn’t name him. The judge told the jurors that was one of the elements required to establish defamation, Shusterman said.“My faith in humanity has been restored,” Musk said after the verdict.It’s another win for Musk, 48, who’s managed to get out of legal trouble relatively unscathed. Musk agreed to step down from his role of chairman of Tesla Inc. for three years in 2018 to settle a U.S. Securities and Exchange Commission lawsuit over a tweet the regulator said misled investors. But he’s run Tesla and SpaceX as usual.“It’s the last formal distraction from when Elon Musk went off the Twitter rails in 2018,” said Gene Munster of Loup Ventures. “Putting that to rest -- regardless of what the jury decided --is a step forward for Musk.”Unsworth had sought $190 million in damages for the harm he claimed to have suffered from the tweet, and to punish Musk. Musk said he fired off the tweet in anger after Unsworth insulted him and his team in a television interview.“I respect the jury’s decision,” Unsworth said after the verdict. “I’ll take it on the chin and move on.”His lawyers were less gracious, repeatedly referring to Musk as a “billionaire bully.”L. Lin Wood, one of Unsworth’s lawyers, said he wasn’t happy with the outcome. “He deserved a different kind of justice,” Wood said. Wood said he hasn’t decided whether to appeal the verdict.The four-day civil trial featured Wood and Alex Spiro -- two heavyweights squaring off in the courtroom. Wood had represented Richard Jewell, the security guard falsely accused of being connected to the Centennial Olympic Park bombing during the 1996 Summer Olympics.Spiro, a former prosecutor based in New York, lists rapper Jay-Z, New England Patriots owner Robert Kraft and several NBA players, including ex-Knick Charles Oakley as former clients.Spiro issued a five-word statement after the verdict.“The jury got it right,” he said.It was the first time that Musk has been called as a witness at a trial, despite numerous legal spats, including one with the U.S. Securities and Exchange Commission over a tweet the regulator said misled investors.Musk told the jury the tweet aimed at Unsworth shouldn’t have been taken literally and was sent because the caver insulted his effort to help rescue members of a Thai soccer team from a flooded cave in 2018.The rescue effort had riveted the attention of the world’s media. Musk and engineers at his companies prepared a mini submarine, built with rocket parts, to help. The kids, aged 11 to 16, were saved without the use of the sub.The high-profile effort from the celebrity CEO drew derision from Unsworth, who knew the caves well and helped in the rescue effort. He told CNN that Musk could “stick his submarine where it hurts” and that it had no chance of working.Musk responded on Twitter, calling Unsworth a “pedo guy” and adding: “Never saw this British expat guy who lives in Thailand (sus) at any point when we were in the caves.” Sus -- meaning suspect, or suspicious.Later, he asked why Unsworth hadn’t sued him. Musk also hired a private investigator to dig into Unsworth’s personal life and leak information to British tabloids.Unsworth, a financial consultant who divides his time between England and Thailand, described to the jury the effect the tweet had on him.“When you combine ‘sus’ and ‘pedo guy,’ I took it as I was being branded a pedophile,” Unsworth said on Wednesday. “I feel vulnerable and sometimes, when I’m in the U.K., I feel isolated.”490 StoriesIt was a tweet heard around the world. An expert witness for Unsworth told the jury that 490 English-language stories were published mentioning the “pedo guy” tweet -- not including stories about the litigation.Musk, who had apologized to Unsworth on Twitter, did so again in court. But Unsworth told the jury he had nothing to apologize for to Musk.Musk told the jury he found Unsworth’s comments in the CNN interview wrong and insulting -- especially to his team which he said worked hard to help in the rescue effort -- and so he fired back.“I thought he was just some random, creepy guy that the media interviewed,” Musk said of Unsworth.Neither man impressed Shusterman, the juror. He said there was no need for Unsworth to put down Musk’s mini submarine, and Musk’s response was equally immature.“I felt it was like two junior high school students fighting,” Shusterman said.(Updates with juror’s comment in third paragraph)To contact the reporters on this story: Edvard Pettersson in Los Angeles at email@example.com;Kelly Gilblom in London at firstname.lastname@example.org;Dana Hull in San Francisco at email@example.comTo contact the editors responsible for this story: Craig Trudell at firstname.lastname@example.org, Joe Schneider, Steve StrothFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
(Bloomberg) -- Even before the verdict came in Friday, Elon Musk had earned the sobriquet Teflon Man on Twitter.Once a jury decided that he hadn’t defamed a British man by calling him a “pedo guy” in a post on the social media platform -- Musk’s favorite -- his reputation as a controversy-stirring billionaire who escapes relatively unscathed from the firestorms he creates for himself seemed to be sealed.Dan Ives, a Wedbush Securities analyst who covers Tesla Inc., one of Musk’s companies, repeated it: “Right now he’s the Teflon man.” But, Ives added, “it’s a cautionary tale and hopefully situations like this don’t repeat.”There have been more than a few of those already for Musk, who is chief executive officer of Tesla and chairman and CEO of SpaceX. His boards have tolerated them, his fans love him all the more for his antics and investors don’t seem to mind. Tesla shares have rallied more than 60% in the past six months.The defamation lawsuit “was the last formal distraction from when Elon Musk went off the Twitter rails in 2018,” said Gene Munster of Loup Ventures.Even with the positive outcome for Musk, it remains a highly unusual case for a CEO.In July 2018, as the world was riveted by efforts to save a Thai youth soccer team stuck in a flooded cave, Musk’s engineers tried to help by making a mini submarine out of rocket parts. Vernon Unsworth, an expert caver instrumental in the rescue, told CNN that the mini-sub was little more than a publicity stunt. Musk fired off the “pedo guy” tweet -- and hired a private investigator to dig into Unsworth’s personal life and leak information to British tabloids.From there, Musk seemed to lurch from crisis to crisis -- and emerged each time with relatively mild consequences. Another Twitter post in August 2018 got him into hot water with the Securities and Exchange Commission; the agency sued him for securities fraud because he said he was taking Tesla private at $420 a share and had “funding secured,” which he in fact did not. (Tesla is still a public company, by the way.)His settlement with the SEC cost him $20 million and stripped him of his board chairmanship for three years, but he kept running the company as before anyway.Then there was the famous pot-smoking episode on Joe Rogan’s popular podcast in September 2018. Photos of Musk puffing on a cigar-sized joint went viral in a case of unfortunate optics for SpaceX, which has a contract with NASA to fly astronauts to the International Space Station. Musk later acknowledged in an email to SpaceX employee that the stunt was “not wise.”Musk was back in the SEC’s sights this February with a Twitter post about Tesla production figures that the agency contended violated the settlement agreement. A judge declined the SEC’s request to hold Musk in contempt and told both sides to “put on your reasonableness pants” and work something out. They did, amending the original deal to include specific topics that Musk can’t tweet about without prior approval from a Tesla lawyer.On the highly active Twitterverse of Tesla watchers, Friday’s outcome brought a mix of condemnation and applause -- as well as marveling that Teflon Musk had struck again.Lin Wood, Unsworth’s attorney, had his own take: “Goliath wins almost every time.”To contact the reporter on this story: Dana Hull in San Francisco at email@example.comTo contact the editors responsible for this story: Craig Trudell at firstname.lastname@example.org, Anne Reifenberg, Kara WetzelFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
After a three-day trial, Elon Musk was found not liable for defamation in a federal court today in Los Angeles, where Musk reportedly owns a cluster of six homes as well as oversees the operations of both SpaceX and Tesla. British diver Vernon Unsworth had brought the suit against Musk in the fall of 2018 after Musk tweeted that Unsworth was a "pedo guy," meaning a pedophile. Why: after Musk and his employees developed what they called a mini-submarine or escape pod to save a children's soccer team from a flooded cave in Thailand in July of 2018, Unsworth -- a stranger to Musk and an experienced diver with specific knowledge of the cave -- called the production a "PR stunt" when asked about the effort in an interview with CNN.
A U.S. District Court jury in Los Angeles on Friday found in favour of Tesla Inc boss Elon Musk in the defamation lawsuit brought against him by a British cave explorer who Musk had branded a "pedo guy" on Twitter. The plaintiff, Vernon Unsworth, was seeking $190 million (£148 million) damages against Musk, who during the trial estimated his net worth at $20 billion.
(Bloomberg) -- Elon Musk should pay $190 million in damages to a British cave expert who claims he was defamed by the chief executive of Tesla Inc. in a tweet, the caver’s lawyer told a jury at the end of a trial in Los Angeles.A jury of five women and three men will decide the issue. Before the panel began deliberating, shortly after 1 p.m. in Los Angeles, standing next to the defense table where Musk was seated, L. Lin Wood told them: “Elon Musk is a liar.”Wood asked the jury to award $5 million in actual damages, $35 million in assumed damages and $150 million in punitive damages.Musk called Vernon Unsworth a “pedo guy” in a tweet, responding to an interview the caver gave on television in which he criticized Musk’s effort to use a miniature submarine to rescue members of a soccer team trapped in a Thai cave in 2018.Musk had argued “pedo guy” actually meant “creepy old man,” but Wood said Musk knows that’s not true.“He dropped a bomb on this man,” Wood told the jury, as a tight-lipped Musk glared at the lawyer.Musk’s lawyer Alex Spiro said in his closing argument that Unsworth hadn’t provided any evidence showing he was harmed by the tweets. Although he claimed on the stand to have suffered emotional damage from being a called a pedophile, Spiro said nobody believed he was accused of the crime.Spiro also argued that there had been no independent confirmation that Unsworth suffered emotionally. Unsworth’s Thai companion, Tik, was the only one who noticed when he had a “bad day,” the caver told the jury. But Tik never testified.“Tik’s been with him through this whole thing,” Spiro said. “Where’s Tik?”(Updates with Musk’s lawyer)To contact the reporters on this story: Edvard Pettersson in Los Angeles at email@example.com;Dana Hull in San Francisco at firstname.lastname@example.orgTo contact the editors responsible for this story: David Glovin at email@example.com, Joe Schneider, Steve StrothFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.
Wall Street ended solidly higher on Friday as a strong jobs report and optimism about U.S.-China trade negotiations ahead of an upcoming deadline helped stoke investor risk appetite. The Dow and the Nasdaq ended the session down from last Friday's close. "This type of report shows underlying economic strength, and it gives corporate management confidence in the strength of the economy," said Tim Ghriskey, chief investment strategist at Inverness Counsel in New York.
Alibaba (BABA)-backed AutoX applies for testing its self-driving vehicles, without in-car driver backup, thereby stirring competition in the autonomous-vehicle tech space.
Tesla Inc boss Elon Musk emerged victorious on Friday from a closely watched defamation trial as a federal court jury swiftly rejected the $190 million claim brought against him by a British cave explorer who Musk had branded a "pedo guy" on Twitter. The unanimous verdict by a panel of five women and three men was returned after roughly 45 minutes of deliberation on the fourth day of Musk's trial. Legal experts believe it was the first major defamation lawsuit brought by a private individual over remarks on Twitter to be decided by a jury.
Tesla Inc said on Friday its Chinese-built Model 3 cars would receive state subsidies, a move that will help the U.S. electric vehicle maker's push into the world's biggest auto market. China's industry ministry had earlier said Tesla's Model 3 cars, being built at its $2 billion factory in Shanghai, were on a list recommended for subsidies for new energy vehicles (NEVs), which include plug-in hybrids, battery-only electric vehicles and those powered by hydrogen fuel cells. Tesla said in a statement the subsidies had been secured.
(Bloomberg) -- Tesla Inc.’s made-in-China sedans qualified to receive subsidies in the country, a potential boon for Elon Musk’s carmaker as it prepares to start selling locally-built models in the world’s biggest market for electric vehicles.The company’s Model 3 sedan was included in a list of qualified models published by China’s Ministry of Industry and Information Technology Friday. That means buyers will get a subsidy of as much as about 25,000 yuan ($3,550) from the government. Tesla said in October the vehicles will be priced from about $50,000 in China.The company has said it’s planning to start delivering made-in-China Model 3 cars before late January as it nears the start of mass production at its new Shanghai plant, its first outside the U.S.A Tesla representative in China also confirmed the company’s locally built vehicles have been approved for subsidies. While the government has been scaling back electric-vehicle handouts, certain support measures still exist as the country seeks to move toward cleaner energy and reduce reliance on imported oil.The China plant will be a crucial test for Musk as he seeks to prove the carmaker can sustain profitability. The Shanghai Gigafactory, which broke ground in January, will initially build Model 3 sedans that will compete with electric cars from local contenders such as NIO Inc. and Xpeng Motors, as well as global manufacturers including BMW AG and Daimler AG.To contact Bloomberg News staff for this story: Chunying Zhang in Shanghai at firstname.lastname@example.orgTo contact the editors responsible for this story: Young-Sam Cho at email@example.com, Ville Heiskanen, Reed StevensonFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.