Current Events in March 2019

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    Trucker shortage could raise prices for consumers

    The cost of goods isn’t going up nearly as fast as the cost of moving them

    For years the inflation rate has remained low, in part because the internet and global economy have vastly expanded the production system. There are plenty of “things” for consumers to buy, so the price hasn’t gone up much.

    But what if it costs more to get those “things” from the factory to consumers? Might that not make their price go up?

    That’s a question economists are asking as trucking companies find it harder to hire and retain drivers and are having to pay increasingly high salaries and bonuses to do so.

    The government’s Producer Price Index (PPI), which tracks inflation at the production level, shows transportation and warehousing costs are up 6.8 percent in the last 12 months. Not all of that is higher trucking costs but it’s likely those higher costs are a significant contributing factor.

    Walmart drivers earning more

    Walmart, which makes its living on low prices of the things it sells, has recently been forced to raise the pay of its truck drivers to keep its truck rolling. Walmart drivers make about $86,000 a year their first year on the job. At the beginning of 2019, the retailer announced that its fleet drivers will get a penny more a mile plus an extra $1 each time they drop off their trailer at a designated location. That extra penny adds up to nearly $1,500 a year.

    This issue hasn’t popped up overnight. Nearly a year ago, CNBC reported that demand for 18-wheelers was skyrocketing, a sign that inflationary pressures could be building in the supply chain.

    "It's an indication that there's capacity pressure in the marketplace, that brokers are searching more and posting more in order to find a truck," Peggy Dorf, market analyst at DAT told the network last May. "This is an indicator that pressure is much higher than it was a year ago."

    When trucking companies have to pay their drivers more, they normally pass that along to their customers, who in turn usually pass the higher costs along to consumers. According to a report from Bloomberg News, that appears to be happening now.

    More expensive Big Macs?

    The Bloomberg report suggests McDonald’s may soon be raising its prices because its distributor, Martin-Brower Co. recently raised its shipping fees. The report also says Procter & Gamble, Hasbro, and Church & Dwight are also facing higher trucking costs.

    Despite its solid pay and benefits, the romance of the open road is not drawing as many drivers as it once did, in part because millennials don’t want to do it. Trucking companies have responded with more aggressive recruitment efforts, including trying to lure more women, who currently make up a small portion of the nation’s truck drivers.

    Bob Costella, chief economist at the American Trucking Association, says driver pay and perks are likely to keep increasing for the foreseeable future as a growing economy increases the demand for trucking services.

    For years the inflation rate has remained low, in part because the internet and global economy have vastly expanded the production system. There are plenty...

    Giving birth at home is three times more dangerous than at the hospital, study finds

    Researchers found that complications are much more likely

    Women today have several options when it comes time to deliver their babies, but going to the hospital might be the safest choice, according to a new study.

    Researchers suggest that delivering a baby in the home or in another non-hospital setting can increase the risk for complications by up to three times.

    “This study matches the findings of larger studies conducted in the United States and confirmed our hypothesis that childbirth in non-hospital settings is far more dangerous than in hospitals,” said Dr. Eyal Sheiner.

    “There is no question that a hospital provides the most secure environment to give birth, both for mothers and their babies. Even with advances in modern medicine, childbirth is still traumatic for both the mother and child and it is critical to be prepared for any scenario.”

    Reducing risks

    To compare how at-home births differ with hospital births, the researchers compared statistics on the two. They analyzed birth records of over 3,500 women who gave birth in non-hospital settings with nearly 240,000 hospital deliveries over a 23-year period.

    Though many women opt to deliver outside of the hospital to have a more natural and relaxing birthing experience, this study found that delivery complications are more likely when not in a hospital.

    The researchers accounted for outside factors, such as ethnicity, age, health, and smoking, and hospital births were still found to be nearly three times safer for mothers and babies. According to the study, five out of every 1,000 babies born in hospitals are at risk of death, whereas 15 of every 1,000 babies born outside of hospitals are at the same risk.

    “Once-upon-a-time, the difference between home and hospital for giving birth was less important because of our ancestors’ limited understanding of medicine, but today there is a quantum difference,” Dr. Sheiner said. “Tracking both the mother’s and baby’s progress, and vital signs in real time as well as immediate access to emergency treatment and operating rooms gives the medical team a far better chance to effectively navigate a difficulty birth situation.”

    Staying safe and informed

    Despite advances in medical technology, giving birth still comes with some risk for mothers. According to another recent study, delivery complications could depend on when and where women are giving birth.

    Researchers found that women who gave birth during the night, on weekends, during holidays, or in teaching hospitals were more likely to experience complications during delivery.

    “Across an ensemble of hospital situations where clinical quality is known to vary independently of patient characteristics and volume, we see corresponding variation in the risk of preventable harm to expectant mothers,” said researcher Sammy Zahran.

    Women today have several options when it comes time to deliver their babies, but going to the hospital might be the safest choice, according to a new study...

    Qualcomm files patent actions against Apple

    The chipset manufacturer alleges that Apple is infringing on its patented power savings technology

    Mobile chipmaker Qualcomm has alleged that Apple violated three of its patents and is asking for tens of millions of dollars in damages, or $1.41 per iPhone containing an Intel modem, Reuters reports.

    Qualcomm, which has been locked in a legal battle with Apple since 2017, is set to begin an eight-day trial on Monday in a San Diego federal court regarding the alleged patent violations.

    During the trial, U.S. District Judge Dana Sabraw will seek to determine whether Apple violated Qualcomm patents that help phones boot up faster and conserve battery life. An antitrust case filed by Apple in early 2017 will head to trial in April.

    The alleged patent violations involve iPhones with Intel chips. Analysts estimate that as many as half of iPhones manufactured between mid-2017 and fall 2018 contain these products.

    "Qualcomm’s technologies enable the cellular ecosystem that allows smartphones to send and receive vast amounts of data and voice communications at rapid speeds, seamlessly and reliably, from anywhere within reach of a cellular network," the company said in a 2017 court filing. "Qualcomm’s inventions are necessary for the entire cellular network to function, they are not limited to technologies in modem chipsets or even cell phones."

    Apple believes the patents to be invalid

    Towards the end of last year, Qualcomm won two preliminary injunctions against Apple that would stop the sale and import of recent iPhone models in China and Germany. The Chinese ban has not yet been enforced, and Apple has resumed selling phones in Germany, Reuters noted.

    In a statement, Qualcomm general counsel Don Rosenberg argued that the chipmaker’s inventions are “at the heart of every iPhone and extend well beyond modem technologies or cellular standards. Apple continues to use Qualcomm’s technology while refusing to pay for it.”

    In court documents, Apple has said that it doesn’t believe the patents are valid and that it does not infringe them. The company said previously that Qualcomm’s “tactics” are harming consumers.

    “Qualcomm’s campaign is a desperate attempt to distract from the real issues between our companies,” the company said in a statement last year. “Their tactics, in the courts and in their everyday business, are harming innovation and harming consumers. Qualcomm insists on charging exorbitant fees based on work they didn’t do and they are being investigated by governments all around the world for their behavior.”

    Mobile chipmaker Qualcomm has alleged that Apple violated three of its patents and is asking for tens of millions of dollars in damages, or $1.41 per iPhon...

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      Amazon reportedly planning to open dozens of grocery stores in major cities

      The new stores will be separate from its Whole Foods stores

      Amazon is planning to open new grocery stores in urban areas of the U.S., according to a report from the Wall Street Journal. Unnamed sources told the publication that the company is trying to expand its grocery footprint beyond its Whole Foods Market chain.

      The new stores will be smaller than most traditional supermarkets but larger than a typical convenience store. The stores will reportedly make customer service a top priority and have a wider selection of items than Whole Foods. Online shopping and delivery options will also be available.

      Amazon has plans to open one of the new stores in Los Angeles as early as the end of this year, sources said. Leases have also been signed for locations including San Francisco, Seattle, Chicago, Washington, D.C., and Philadelphia.

      Possible threat to traditional grocers

      The Journal noted that the launch of the new grocery stores coincides with a rocky period for the traditional grocery market.

      "The timing of Amazon’s store development comes during a difficult period for the roughly $1 trillion food and consumer-product retail sector, which already deals with low margins and extreme competition," warns the publication.

      In a statement on Friday, Amazon said it “doesn’t comment on rumors or speculation.”

      Amazon, which acquired Whole Foods in 2017 for $13.7 billion, has been expanding the availability of its Prime Now online grocery delivery and pickup program since early last year. Prime Now is currently available at Whole Foods stores in 63 cities for delivery and 22 markets for pickup.

      The e-commerce giant has also expressed an interest in growing its lineup of cashierless Amazon Go convenience stores. Amazon now runs 10 Go stores in Seattle, San Francisco, and Chicago. Media reports have suggested that Amazon plans to open as many as 3,000 Go stores over the next several years, which could also take a toll on brick-and-mortar food retailers.

      The Journal’s report didn’t say whether or not the company’s upcoming grocery stores will rely on the technology that enables shoppers to skip the checkout line at its Go stores.

      Amazon is planning to open new grocery stores in urban areas of the U.S., according to a report from the Wall Street Journal. Unnamed sources told the publ...

      Eli Lilly to introduce a cheaper version of its insulin drug

      The drugmaker is responding to pressure to bring down prescription drug costs

      Drugmaker Eli Lilly is introducing a cheaper version of its insulin drug, Humalog, in response to the growing pressure on the pharmaceutical industry to cut the price of prescription drugs.

      Lilly says the new version will cost 50 percent less than Humalog, which is used in the treatment of diabetes. The company made clear it is responding to growing complaints from consumers and policymakers about expensive drugs.

      "We've engaged in discussions about the price of insulin with many different stakeholders in America's health care system: people living with diabetes, caregivers, advocacy groups, health care professionals, payers, wholesalers, lawmakers, and leading health care scholars," said David Ricks, Lilly's chairman and CEO. "Solutions that lower the cost of insulin at the pharmacy have been introduced in recent months, but more people need help. We're eager to bring forward a low-priced rapid-acting insulin.”

      Executive grilling

      The announcement comes a week after the Senate Finance Committee grilled executives from seven drug companies about the skyrocketing costs of prescription medicines. Many of the executives -- which included none from Eli Lilly -- blamed the drug distribution system in part for high prices.

      They said drugmakers pay huge rebates and discounts to pharmacy benefit managers (PBM) which are supposed to lower the cost for patients. Skeptical lawmakers countered that many patients never see those discounts. In announcing its new drug, Lilly says it understands that.

      “The significant rebates we pay on insulins do not directly benefit all patients. This needs to change," Ricks said.

      Open to reform

      Ricks says the company is open to various rebate reform ideas, including a proposal being floated by the Department of Health and Human Services (HHS). But until reforms are enacted he says a cheaper insulin drug can serve as a bridge that “addresses gaps in the system.”

      The new insulin product will be called Lispro, based on the same molecule used in the more expensive version. It will come in both vials and injector pens.

      Lilly plans to price a single vial at $137.35 with a five-pack of KwikPens going for $265.20. Lilly says the drug has already been manufactured, and the company is now working with its supply chain partners to make them into pharmacies as quickly as possible.

      The Lilly subsidiary, ImClone Systems, will also produce a generic version on Lispro. The more expensive Humalog will remain as an option for patients who want to continue accessing it through their current insurance plans.

      Drugmaker Eli Lilly is introducing a cheaper version of its insulin drug, Humalog, in response to the growing pressure on the pharmaceutical industry to cu...

      Extra sleep on the weekend doesn't make up for missed hours during the week

      Researchers say the negative health effects can add up over time

      Sleep is imperative to the body’s functioning for countless reasons. But, unfortunately, a recent shows that it can be nearly impossible to make up for lost rest by sleeping more at other times of the week.

      Researchers found that those who try to catch up on sleep over the weekend aren’t actually doing their bodies any favors. That’s because once the work week starts, sleep is once again decreased. According to the study, this can lead to issues with metabolism, such as diabetes or obesity.

      “The key take-home message from this study is that ad libitum weekend recovery or catch-up sleep does not appear to be an effective countermeasure to reverse sleep loss induced disruptions of metabolism,” said researcher Kenneth Wright.

      Sleep affects the way we eat

      To see how catch-up sleep affects the metabolism, the researchers divided participants into three groups and varied their sleeping patterns over the course of 9 days.

      The first group slept for nine hours each night, the second group had five hours, and the third group slept for five hours during the five days of the work week and were then given the weekend to sleep as much as they wanted before returning to the mid-week schedule.

      Insufficient sleep affected the participants’ sensitivity to insulin. Participants in the third group were most affected by this; they experienced a drop in insulin sensitivity between nine and 27 percent once they returned to their shortened sleep cycle, while the first group saw a 13 percent drop.

      “Our findings show that muscle- and liver-specific insulin sensitivity were worse in subjects who had weekend recovery sleep,” said researcher Christopher Depner. “This finding was not anticipated and further shows that weekend recovery sleep is likely [not to] be an effective sleep-loss countermeasure regarding metabolic health when sleep loss is chronic.”

      The researchers found that participants’ eating habits were also affected by the change in sleep, as the first two groups gained weight due to late-night snacking.

      The third group was most affected by returning to the shortened sleep schedule during the week. After the initial seven days of sleep, they were also more likely to eat later at night and put on more weight.

      The researchers suggest seven or more hours of sleep per night for adults so that they can function at their best. The team hopes these results further prove how crucial sleep is for the overall wellbeing of our bodies.

      Getting enough sleep

      Lack of sleep is a growing problem for young children, teens, and older people. In a separate study, researchers found that consumes who spend too much time in front of screens could also be disrupting their sleep cycles.

      Based on the way different cells in our eyes take in the glow from phones, tablets, or laptops, our internal clocks can get disrupted, thus creating issues sleeping.

      “We are continuously exposed to artificial light, whether from screen time, spending the day indoors, or staying awake late at night,” said researcher Satchin Panda. “This lifestyle causes disruptions to our circadian rhythms and has deleterious consequences on health.”

      Sleep is imperative to the body’s functioning for countless reasons. But, unfortunately, a recent shows that it can be nearly impossible to make up for los...

      Macleods Pharmaceuticals recalls Losartan Potassium/Hydrochlorothiazide combination tablets

      Trace amounts of an unexpected impurity were found in the product

      Macleods Pharmaceuticals Limited is recalling one lot of Losartan Potassium/Hydrochlorothiazide combination tablets, a high blood pressure treatment.

      Trace amounts of an unexpected impurity -- N-nitrosodiethylamine (NDEA) -- were detected found in the product. NDEA, which occurs naturally in certain foods, drinking water, air pollution, and industrial processes, has been classified as a probable human carcinogen by the International Agency for Research on Cancer.

      There are no reports of adverse events related to this recall.

      The following product, which is packaged in bottles, is being recalled:

      • NDC: 33342-0052-10
      • Manufacturer: Macleods Pharmaceuticals Limited
      • Product Description: Losartan Potassium/ Hydrochlorothiazide combination tablets 100mg/25mg, 90 count bottles
      • Lot/Batch: BLM715A
      • Expiration Date: Jul -2019

      The recalled product was sold nationwide to Macleods wholesale distributor and retail customers.

      What to do

      Macleods Pharmaceuticals is notifying its customers by phone and/or in writing. Instructions for returning recalled products are given in the recall letter.

      Consumers with questions regarding the return of the recalled product may contact Qualanex at (888) 280-2042 from 7:00 am to 4:00 pm (CST) Monday – Friday or by email at recall@qualanex.com.

      Macleods Pharmaceuticals Limited is recalling one lot of Losartan Potassium/Hydrochlorothiazide combination tablets, a high blood pressure treatment.Tr...

      Russ Davis Wholesale - Crazy-Fresh recalls chicken Caesar salad

      The products contain milk and anchovies, allergens not declared on the label

      Russ Davis Wholesale – Crazy-Fresh of Eagan, Minn., is recalling approximately 702 pounds of chicken Caesar salad.

      The products contain milk and anchovies, allergens not declared on the label.

      There are no confirmed reports of adverse reactions due to consumption of these products.

      The following items, produced from February 11 – 22, 2019, are being recalled:

      • 10-oz. black plastic bowl with a clear plastic lid containing “CRAZY FRESH Chicken Caesar Salad” and “Use By” dates of 02/15/2019 through 02/26/2019 represented on the label.
      • 10-oz. black plastic bowl with a clear plastic lid containing “JERRY’S the kitchen CHICKEN CAESAR SALAD” and “SELL BY” dates of 02/15/2019 through 02/26/2019 represented on the label.

      The recalled products, bearing establishment number “P-45204” inside the USDA mark of inspection, were shipped to retail locations in Iowa, Michigan, Minnesota, Montana, Nebraska, North Dakota, South Dakota, Wisconsin and Wyoming.

      What to do

      Customers who purchased the recalled products should not consume them, but discard them or return them to the place of purchase.

      Consumers with questions about the recall may contact the company at (877) 433-2173.

      Russ Davis Wholesale – Crazy-Fresh of Eagan, Minn., is recalling approximately 702 pounds of chicken Caesar salad.The products contain milk and anchovi...

      Baby boomers get the nod for being the generation most likely to protect their online privacy

      Europe and California have upped their privacy policy game. Now, the rest of the U.S. has to catch up

      Time for a truth check-up…

      When you sign up for something online -- say, an email subscription, a new account, or a cloud service like DropBox -- do you actually read the company’s privacy policy before you check the “I agree” box?

      Didn’t think so. Unless, of course, you’re an older consumer -- a “baby boomer.”

      A new survey from Axios and SurveyMonkey uncovered that while most people say it's pertinent to know what a company's privacy policy says before signing up for its service online, most never give it the time of day. Instead, most consumers usually tick “I agree” and move forward.

      Why does it matter?

      “Consumers are increasingly aware that companies share and sell their personal data in exchange for free services, but consumers' privacy concerns aren't translating into concrete action to protect their data,” Axios’ Managing Editor, Kim Hart wrote in her analysis of the poll.

      The results

      Here’s what the survey results showed about consumers and privacy policies:

      • Eighty-seven percent say it’s either very or somewhat important to have a clear understanding of a company's privacy policy before signing up.

      • Older adults aged 65+ (91 percent) are more likely than younger adults aged 18-24 (75 percent) to say this is important.

      • Fifty-six percent of respondents say they either "always" or "usually" accept the privacy policy without reading it.

      • Fifty-three percent of those who say it's important to understand terms of service before signing up say sign up without reading the terms of service "every time" or "most of the time."

      • Forty-six percent of 18-24-year-olds say they will accept the terms without reading them "every time," compared to 15 percent of seniors aged 65+ who say they skip reading them.

      Less income = more scrutiny

      The study brought out an interesting angle relating to income. Sixty-seven percent of people (a clear majority) with household incomes under $50,000 say it's "very important" to have a clear understanding of privacy policies before signing up for services. On the other hand, only 50 percent of those with incomes of $100,000 or more think it's "very important."

      “If so many people want to better understand how companies use their data, yet so few are willing to actually read the policies, it could be that consumers care less about their privacy than they say they do,” Hart mused. “It may also suggest that bombarding consumers with more consent or opt-in notices about data collection practices won't be effective.”

      Axios’ bottom line takeaway on the poll is that the public’s unresponsiveness to giving privacy policies a thorough examination likely stems from how boring, rambling, and legalese-y those policies are.

      It’s also possible that consumers feel there’s nothing to gain if they check “I don’t agree” just because they found something in the privacy policy and don’t like it. And, then, there’s good ol’ fashioned trust -- the sour taste that companies such as Facebook have left in consumers’ mouths over protecting personal data may not apply to other companies that consumers interact with on a daily basis.

      Seeing a lot of privacy policy checkboxes these days?

      Have you noticed the onslaught of sites and services asking you to renew your privacy policy approval? Many of the larger online sites and services sure seem like they’re in a hurry to get their new privacy policies and terms of service nailed down and up to snuff.

      The mighty wind behind this rush is Europe’s new General Data Protection Regulations (GDPR), which went into effect in 2018 and is at the top of many U.S. internet watchers’ wishlists. If the U.S. crafts its own version of GDPR, consumers would have the right to clearly and explicitly opt into having their data collected -- and used -- and any online company or service they choose to use.

      If a provision like that becomes reality, the “illusion” of privacy will give way to genuine online privacy. California already got its foot in that door by passing a new online privacy law that will give consumers in the Golden State sweeping control over their personal data starting in 2020.

      "The state that pioneered the tech revolution is now, rightly, a pioneer in consumer privacy safeguards, and we expect many additional states to follow suit," James P. Steyer, CEO and founder of Common Sense Media, said in a statement.

      Time for a truth check-up…When you sign up for something online -- say, an email subscription, a new account, or a cloud service like DropBox -- do you...

      Amazon launches weekly delivery day program

      The ‘Amazon Day’ option is intended to cut down on deliveries and packaging

      Amazon has announced that it’s giving Prime members the ability to schedule a day of the week to have all of their packages arrive under a new feature dubbed Amazon Day.

      On Amazon Days of a customer’s choosing, the e-commerce giant will deliver a week’s worth of Amazon orders. The company says there are several reasons to get excited about the new feature:

      • Added predictability. “Rest easy knowing your packages will arrive the same day each week,” Amazon said.

      • Less waste. “With all of your items arriving on the same day, we will combine your orders when possible.”

      • Convenience. “Keep adding items throughout the week and we’ll deliver everything on your Amazon Day.”

      “Amazon Day makes shopping throughout the week so easy,” said Susan T. from Wilmington, DE, one of the Prime members who received early access to the service. “Whenever I think of something I need, I just buy it with Amazon Day and know it’s going to arrive on the day I work from home.”

      Reducing waste

      To use the new feature, simply select the Amazon Day option at checkout and pick a designated day for all of your orders to arrive. Amazon will hold off on shipping products individually as orders are submitted and will instead round up a week’s worth of orders to deliver all at once.

      The feature is intended to reduce deliveries, cut down on packaging, and help further the company’s goal of becoming more environmentally friendly.

      Orders can still be shipped via normal delivery if a customer needs a particular item to arrive sooner than a week later. Amazon says customers can choose the Amazon Day feature as often as they’d like, “or if there’s another option that’s better for a certain order, choose that instead.”

      Amazon’s rollout of the new feature comes amid its ongoing effort to slash its carbon footprint. Last week, the company announced that it intends to make half of its deliveries carbon neutral by 2030 under a sustainability initiative called “Shipment Zero.”

      Amazon has announced that it’s giving Prime members the ability to schedule a day of the week to have all of their packages arrive under a new feature dubb...

      Bernie Sanders steps up his campaign against $375,000 drug

      The lawmaker is urging the FDA to allow all drug companies to make a cheaper version

      Sen. Bernie Sanders (I-Vt.), who has declared as a candidate for the 2020 Democratic presidential nomination, has escalated his campaign to focus attention on high prescription drug prices.

      In the same week that pharmaceutical executives were called before the Senate Finance Committee, Sanders appealed to the Food and Drug Administration (FDA) to allow manufacturers to distribute a lower-cost drug to treat a rare disease -- as they once were under the FDA’s “compassionate use” program.

      Almost a month ago, Sanders sought to bring attention to the situation in which the drug, once provided to patients at no cost, now costs $375,000 a year. The drug -- Firdapse -- treats Lambert-Eaton Myasthenic Syndrome (LEMS), which is a muscle disease.

      When the drug was owned by Jacobus Pharmaceuticals, the firm made it available to patients at no charge under the government’s compassionate use program. But last fall, Catalyst Pharmaceuticals acquired the rights to Firdapse, offering it at the new price.

      Now unaffordable

      In early February, Sanders fired off a letter to Catalyst executives asking for an explanation. Sanders said he has spoken with a patient in Iowa who is being treated for LEMS. He quoted her as saying her fellow patients can’t afford the drug now and “they’re just going to go to bed when their 3,4 DAP (the generic version of the drug) runs out.”

      Sanders called the price hike exploitation of patients who depend on the drug.

      “By setting such a high price and forcing production and distribution of the older, inexpensive version to cease, you are threatening access that patients had to a cheap version of this product, and handing a completely unwarranted bill to American taxpayers,” Sanders wrote in his letter to the company last month.

      In a letter to the FDA, obtained by Reuters, Sanders called the drug’s price “shocking” and asked the regulatory agency to take steps to make the drug available -- if not for free then at a much cheaper price.

      How to make the drug cheaper

      One way to do that, Sanders said, is for the FDA to formally declare that it will not take enforcement action against any drugmaker that decides to provide the drug to patients at a reasonable cost.

      Neither the FDA nor Catalyst Pharmaceutical has commented publicly on Sanders’ proposal.

      There is growing consensus in Washington among both Republicans and Democrats that some action may be needed to curb skyrocketing drug costs.

      In their testimony before the Senate Finance Committee this week, drug company executives blamed most of the drug price escalation on rebates and discounts paid to pharmacy benefit managers (PBM), a claim the trade group representing PBMs rejects.

      Sen. Bernie Sanders (I-Vt.), who has declared as a candidate for the 2020 Democratic presidential nomination, has escalated his campaign to focus attention...

      Gap to separate into two public companies

      Old Navy will become a standalone entity

      Gap revealed on Thursday that it plans to split into two public companies with the goal of enabling its Old Navy brand to expand on its own.

      One company will be home to Old Navy, and the other company (which has yet to be officially named but is currently referred to as “NewCo”) will contain Gap and other brands like Banana Republic and Athleta.

      Robert Fisher, Gap’s board chairman, said “it’s clear that Old Navy’s business model and customers have increasingly diverged from our specialty brands over time, and each company now requires a different strategy to thrive moving forward.”

      Revitalizing the Gap

      As part of a larger plan to “revitalize” the Gap brand, the company said Thursday that it plans to shutter 230 “specialty” Gap stores over the next two years.

      “While stores are an important part of the customer journey, the company is actively working on multiple initiatives to revitalize the Gap brand by re-engaging with customers and expanding its loyal customer base, leveraging the multigenerational, democratic appeal of the brand,” Gap said in a press release.

      Splitting the companies into two stand-alone entities will equip each “with a sharpened strategic focus and tailored operating structure,” said Art Peck, President and CEO of Gap. “As a result, both companies will be well positioned to capitalize on their respective opportunities and act decisively in an evolving retail environment.”

      The company said it estimates an annualized sales loss of approximately $625 million as a result of the planned store closures.

      Gap’s announcement comes the same week that several other retailers revealed plans to close some of their physical stores due to poor performance.

      On Thursday, Victoria’s Secret announced that it will shut down around 50 locations in 2019. J.C. Penney also said this week that it has planned another round of store closures, and Payless ShoeSource recently announced that it filed for bankruptcy for the second time in two years.

      Gap revealed on Thursday that it plans to split into two public companies with the goal of enabling its Old Navy brand to expand on its own.One company...

      Twitter testing ‘hide tweet’ feature

      The platform is continuing its quest to improve the user experience

      As part of its ongoing effort to facilitate healthy conversations on its platform, Twitter is experimenting with a new feature that lets original posters hide and unhide replies to their tweet instead of blocking or muting them.  

      The new tool will be tested publicly “in the coming months,” said Michelle Yasmeen Haq, a senior product manager at Twitter. In a tweet thread, Yasmeen Haq provided a few more details on potential new feature:

      “With this feature, the person who started a conversation could choose to hide replies to their tweets. The hidden replies would be viewable by others through a menu option,” she said.

      “We think the transparency of the hidden replies would allow the community to notice and call out situations where people use the feature to hide content they disagree with. We think this can balance the product experience between the original Tweeter and the audience.”

      Increasing moderation

      Yasmeen Haq noted that Twitter users are already utilizing the site’s block, mute, and report features in an effort to keep their conversations “healthy.” However, these tools “don’t always address the issue,” she said.

      “Block and mute only change the experience of the blocker, and report only works for the content that violates our policies,” she said in a Thursday tweet.

      Over the past few years, Twitter has taken several steps to curb abuse on its site and improve the user experience. Last May, the micro-blogging platform announced that it would begin hiding replies that its system deemed to be from so-called “troll” accounts.

      “The result is that people contributing to the healthy conversation will be more visible in conversations and search,” the company said in a blog post.

      A few weeks ago, Twitter CEO Jack Dorsey said the company was “looking at” possibly rolling out a clarification tool that would enable users to edit their tweets within a five to 30-second window while still keeping the original version of the tweet publicly viewable.

      As part of its ongoing effort to facilitate healthy conversations on its platform, Twitter is experimenting with a new feature that lets original posters h...

      Wheezing linked to e-cigarette use in new study

      Researchers suggest that vaping side effects could rival traditional cigarettes

      Electronic cigarettes have been dominating headlines recently, as experts continue to go back and forth on the risks associated with the devices.

      Amidst countless headlines touting negative health effects, researchers from the University of Rochester Medical Center suggest that adults who are experiencing wheezing and other respiratory issues should look to their electronic cigarettes.

      “The take-home message is that electronic cigarettes are not safe when it comes to lung health,” said researcher Deborah J. Ossip, PhD. “The changes we’re seeing with vaping, both in laboratory experiments and studies of people who vape, are consistent with early signs of lung damage, which is very worrisome.”

      Discovering more dangers

      To see the effect that e-cigarettes have on wheezing, the researchers evaluated responses from over 28,000 adults involved in the Population Assessment of Tobacco and Health (PATH) study.

      While the PATH study relies on participants to report on their own behaviors, and doesn’t include information about the participants’ physical activity levels or eating habits, the researchers did find a correlation between adults who vape and those who experience wheezing.

      Based on the responses, those who vape were nearly two times more likely to experience respiratory issues. The finding is significant because wheezing -- and difficulty breathing -- can lead to more serious health complications. While the researchers couldn’t prove a causal relationship between vaping and wheezing, they say the two are linked.

      Teens at risk

      As teens and young adults continue to be the primary users of electronic cigarettes, lawmakers have been working to make it harder for them to access the devices in an effort to eliminate any negative health effects.

      The Food and Drug Administration (FDA) was working to ban online e-cigarette sales, as FDA Commissioner Scott Gottlieb called vaping an “epidemic” among teens. In late January, Gottlieb suggested that e-cigarettes could be taken off the market completely should use among teens continue to rise.

      “I still believe e-cigs offer an opportunity for currently addicted adult smokers to transition off cigarettes and onto products that may not have the same level of risks. But if youth use continues to rise, the entire category faces an existential threat,” Gottlieb tweeted.

      Electronic cigarettes have been dominating headlines recently, as experts continue to go back and forth on the risks associated with the devices.Amidst...

      Personal incomes fell in January for the first time in three years

      But the decline mostly affected investors instead of workers

      In recent months, incomes have begun to grow as the economy gains steam. But those gains came to an abrupt halt in January.

      In a report delayed by the government shutdown, the Commerce Department said personal incomes fell 0.1 percent in January. It was the first decline since November 2015.

      Paychecks weren’t getting smaller in January. In fact, wages were up 0.3 percent, building on a 0.5 percent increase in December. Instead, investors earned less on their money as both dividend and interest payments went down.

      The report also showed consumers spent less in December, confirming reports from retailers that normal last-minute Christmas shopping never materialized to the extent it did in past years. Consumer spending was down 0.5 percent in the last month of the year.

      Not only is it troubling that it occurred at the height of the holiday season, but it was also the biggest decline since September 2009, when the economy was still recovering from the Great Recession.

      The Fed is still optimistic

      While the results might have taken many economists by surprise, they don’t necessarily signal a weakening economy. In a speech Thursday, Federal Reserve Chairman Jerome Powell said the short-term economy appears to be in a good place.

      “The current economic expansion has been underway for almost 10 years,” Powell said. “This long period of growth has pushed the unemployment rate down near historic lows. The employment gains have been broad-based across all racial and ethnic groups and all levels of educational attainment as well as among the disabled.”

      Powell said nearly all job market indicators are better than they were a few years ago, and some are at their most favorable levels in decades. He also noted that wages, which were slow to respond to an improving economy, have finally begun to grow.

      “It is especially encouraging that the labor force participation rate of people in their prime working years, ages 25 to 54, has been rising for the past three years,” Powell said. “More plentiful jobs and rising wages are drawing more people into the workforce and encouraging others who might have left to stay.”

      In recent months, incomes have begun to grow as the economy gains steam. But those gains came to an abrupt halt in January.In a report delayed by the g...

      Gasoline prices rise four cents a gallon in the last week

      Once again, low-price states see the biggest gains

      Winter is coming to an end, with refineries preparing for annual maintenance and the switch-over to summer grade blends. When that happens, fuel prices always rise.

      The AAA Fuel Gauge Survey shows the national average price of regular gasoline is $2.42 a gallon, up four cents in the last seven days. That’s 16 cents higher than a month ago but 12 cents lower than at this point in 2018.

      The average price of premium gas is $2.97 a gallon, up three cents in the last week. The average price of diesel fuel is $2.98, two cents higher than last Friday.

      The average price of fuel barely budged in Hawaii and California, the two states with the most expensive gasoline. At the same time, states in the Southeast that routinely enjoy low prices at the pump are continuing to see the price rise.

      Alabama, one of two states with the lowest gas prices last week, experienced a 12 cents a gallon increase in the last week. Florida became one of the 10 most expensive states to buy gas in this week thanks to a 14 cents a gallon increase.

      The gasoline market is being pressured by output reductions at refineries, as well as rising oil prices. Crude oil spiked this week after the Energy Information Administration (EIA) reported a big one-week drop in U.S. supplies, mainly because U.S. producers have increased exports.

      Despite rising oil prices, AAA’s Jeanette Casselano says crude is still cheaper than it was in the first two months of last year.

      “Even though pump prices are on the rise, the increase has been countered by mostly decreasing demand, leading to the majority of people still paying less than $2.50 a gallon,” she said.

      The states with the most expensive regular gas

      These states currently have the highest prices for regular gas, according to the AAA Fuel Gauge Survey:

      • Hawaii ($3.29)

      • California ($3.28)

      • Washington ($2.86)

      • Nevada ($2.83)

      • Alaska ($2.80)

      • Oregon ($2.74)

      • Pennsylvania ($2.64)

      • New York ($2.52)

      • Connecticut ($2.50)

      • Florida($2.48)

      The states with the cheapest regular gas

      The survey found these states currently have the lowest prices for regular gas:

      • Arkansas ($2.15)

      • Missouri ($2.15)

      • South Carolina ($2.16)

      • Mississippi ($2.16)

      • Colorado ($2.17)

      • Texas ($2.18)

      • Oklahoma ($2.20)

      • Virginia ($2.19)

      • Louisiana ($2.19)

      • Utah ($2.20)

      Winter is coming to an end, with refineries preparing for annual maintenance and the switch-over to summer grade blends. When that happens, fuel prices alw...

      Nissan recalls model year 2019 Altimas

      The vehicle's fuel tube may leak or disconnect

      Nissan North America is recalling 23,903 model year 2019 Altimas.

      The retainer clip connecting the low pressure fuel tube to the high pressure fuel pump may not have been locked into position.

      If the retainer clip is unlocked, the fuel tube may shift and cause a fuel leak, increasing the risk of a fire. If the fuel tube fully disconnects, the engine can stall, increasing the risk of a crash.

      What to do

      Nissan has notified owners, and dealers will route the fuel hose into the holding clip and lock the retainer clip into place, as necessary, free of charge.

      The recall began February 11, 2019.

      Owners may contact Nissan customer service at 1-800-867-7669.

      Nissan North America is recalling 23,903 model year 2019 Altimas.The retainer clip connecting the low pressure fuel tube to the high pressure fuel pump...