Author: Vitaliy Dadalyan

Bayer shares plunge on prospect of write-downs, earnings decline

Shares in Bayer plunged 11% after it flagged that adjusted profit may slip next year and it may have to write down the value of agriculture assets by close to 10 billion euros ($11.7 billion). Bayer, which acquired seed maker Monsanto in 2018, said late on Wednesday that the impact of the coronavirus on the agriculture business will be more severe than originally expected because of competition in soy, lower biofuel demand and negative currency effects. The company now expects 2021 sales to come in at around the 2020 levels, with 2021 core earnings per share slightly below 2020 levels, based on constant exchange rates....

CDC Extends 'No Sail' Order Only For Another Month, In A Ray Of Hope For Cruise Companies

The United States Centers for Disease Control and Prevention late Wednesday extended its "No Sail" order till the end of October, prohibiting cruise ships with 250-plus passenger capacity to operate on U.S. waters.What Happened: The official CDC declaration followed an Axios report that President Donald Trump's administration overruled the agency in a meeting earlier this week on extending the ban to mid-February.The White House only agreed to extend the cruise sail ban until October-end. According to Axios, the move may be politically motivated, as the cruise industry has a major presence in Florida, a crucial swing state in the upcoming presidential election.Cruise ships have remained docked since the pandemic took hold earlier this year under past CDC orders.The April-September surveillance data recorded 41 deaths in addition to approximately 3,689 potential COVID-19 cases on cruises. The CDC noted that this data is not exhaustive and the figures could have been underestimated.Why Does...

Bayer Slumps as Bleak Crop Outlook Undermines Monsanto Rationale

(Bloomberg) -- Bayer AG slumped after the agriculture and pharma giant said it would have to slash costs as the pandemic’s impact on farm commodities extends into next year, further undermining the rationale for its $63 billion purchase of Monsanto Co.The stock fell as much as 13% in German trading. Bayer, already reeling from a legal battle over its herbicide Roundup, late Wednesday said it would cut 1.5 billion euros ($1.8 billion) of annual costs and may also eliminate jobs and sell businesses.Chief Executive Officer Werner Baumann is confronting multiple challenges after getting his contract extended earlier this month. Besides Roundup, the German company faces slumping crop prices and demand for biofuel that threaten its agriculture unit just two years after the controversial Monsanto takeover.“It was already quite clear that the growth prospects of Monsanto had deteriorated over the last 2.5 years, though the magnitude of this decline is greater than...