Raphael Stevens

The new contract includes 38% raises over four years and other improvements.
The unionized machinists walked off the job on Sept. 13 after rejecting an original tentative agreement and last week rejected another proposal.
The walk-out has halted most of Boeing’s aircraft production.

Boeing workers from the International Association of Machinists and Aerospace Workers District 751 gather on a picket line near the entrance to a Boeing production facility on the day of a vote on a new contract proposal during an ongoing strike in Renton, Washington, U.S. October 23, 2024. 
David Ryder | Reuters

Boeing and its machinists’ union have agreed on a new negotiated offer to raise worker pay and potentially end a crippling strike that began seven weeks ago with a vote on the new proposal set for Monday.
The union urged workers to approve the contract.

“In every negotiation and strike, there is a point where we have extracted everything that we can in bargaining and by withholding our labor,” the International Association of Machinists and Aerospace Workers District 751 said Thursday. “We are at that point now and risk a regressive or lesser offer in the future.”
The union said that asking its members to stay on strike longer “Wouldn’t be right as we have achieved so much success.”
Boeing’s more than 32,000 machinists, mostly based in the Seattle area, walked off the job on Sept. 13 after turning down a tentative agreement. They rejected another proposal earlier this month, extending the strike.
The new proposal includes 38% general wage increases over four years, up from a previous offer for 35%, bringing the compounding pay increases to close to 44%, the union said Thursday. It also gives workers the option of a $12,000 one-time ratification bonus or to choose a previous offer for a $7,000 ratification bonus and a $5,000 401(k) contribution.
Boeing said Thursday at the end of the contract, machinist pay will average $119,309.

“We encourage all of our employees to learn more about the improved offer and vote on Monday, Nov. 4,” Boeing said in a statement.

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CEO Kelly Ortberg said on his first earnings call last week since taking the top job in August that the company has been “feverishly working to find a solution that works for the company and meets our employees’ needs.” Hours later, the workers rejected a negotiated proposal.
Workers have repeatedly pushed for higher compensation as the cost of living in the Seattle area — where technology giants like Microsoft and Amazon have ramped up staffing — has surged in recent years.
The strike has further pushed back Boeing leaders’ plans to stabilize the aerospace behemoth as it reels from the impact of production flaws and the fallout from safety issues, most recently a door plug that blew out midair from a Boeing 737 Max 9 at the start of the year.
Boeing lost more than $6 billion in the last quarter and warned it would continue to burn cash through 2025.
The Boeing strike impacted Friday’s U.S. jobs report.

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Comcast said it is considering separating or spinning off NBCUniversal’s cable networks.
If Comcast moves forward with the idea, it could kick off a broader media reconfiguration of cable assets.
Cable networks still account for billions in revenue and profit, but both metrics are declining as millions of Americans have cut the cord in recent years.

Mike Cavanagh, president of Comcast Corporation, at center, during the Allen & Company Sun Valley Conference in Sun Valley, Idaho, July 12, 2023.
David A. Grogan | CNBC

Comcast is thinking about separating or spinning off NBCUniversal’s cable networks. If it moves forward with the idea, it could lay the groundwork for a reconfiguration of the entire American media landscape.
The logic for Comcast is fairly straightforward. NBCUniversal’s cable networks aren’t growing anymore. The company’s energy and focus is on promoting Peacock, NBCUniversal’s growing but still money-losing streaming service. Carving out the cable portfolio could placate Comcast investors by removing declining assets from the balance sheet.

Comcast shares gained more than 3% on Thursday after the company’s third-quarter earnings release and conference call.
“We are now exploring whether creating a new well-capitalized company, owned by our shareholders and comprised of our strong portfolio of cable networks, would position them to take advantage of opportunities in the changing media landscape and create value for our shareholders,” Comcast President Mike Cavanagh said during the call. “We are not ready to talk about any specifics yet, but we’ll be back to you as and when we reach firm conclusions.”
Though executives stressed that the exploration is in the very early stages, it could be a prelude to broader industry consolidation. NBCUniversal’s cable networks, which include Bravo, E!, Syfy, Oxygen True Crime and USA Network, as well as news networks MSNBC and CNBC, could be merged with another media company or could be a catalyst for a rollup, or consolidation, of cable channels at a number of different companies.
The idea of a rollup isn’t new. It’s something media mogul John Malone discussed way back in 2016 when Lionsgate acquired premium network Starz.
“Lionsgate could buy Starz and potentially other free radicals in the industry,” Malone said at the time, referring to cable network groups not owned by larger media conglomerates such as AMC Networks, which is controlled by the Dolan family, or A&E Networks, which is co-owned by Hearst and Disney.

That vision never materialized, in part because the media world’s attention shifted from traditional pay TV to streaming, which devalued cable networks. Earlier this year, Warner Bros. Discovery reported a noncash goodwill impairment charge of $9.1 billion, triggered by the reevaluation of the book value of its TV networks segment.
Still, the loss of value for cable networks has now led to a new opportunity for a rollup, if companies such as Comcast, Warner Bros. Discovery and Disney decide they want to shed declining cable assets in favor of focusing on streaming.
Thus far, media companies have opted to keep their cable networks, which still pump out billions in profit even as millions of Americans cut the cord each year.
Comcast may set a template if it moves forward with a spin and sees a spike in its overall valuation.
Ironically, Starz could again play a role in a media shakeup. The small media company wants to be the vehicle for a cable network rollup, CNBC reported in 2022. Starz is set to separate from Lionsgate at the end of 2024.
There’s broad uncertainty about whether a company that consists of only cable networks has a viable path forward as a publicly traded entity. Equity investors typically aren’t fans of declining assets, even if they’re cash rich.
But even if Starz doesn’t achieve its vision of a cable network rollup, it’s possible a private equity firm may have interest in harvesting a group of cable networks for cash. Apollo Global Management, for one, had late interest in acquiring Paramount Global and has made several media-related investments in recent years, including buying Yahoo.
Disclosure: Comcast owns NBCUniversal, the parent company of CNBC. More

Ford plans to halt production of the F-150 Lightning from mid-November until early January to address high inventories and narrow losses.
The shutdown will last from Nov. 18 until Jan. 6, including previously planned holiday downtime at the end of the year.
Ford on Monday said its Model e electric vehicle operations are expected to lose about $5 billion this year.

Ford workers produce the electric F-150 Lightning pickup at the automaker’s Ford Rouge Electric Vehicle Center on Dec. 13, 2022.
Michael Wayland | CNBC

DETROIT — Ford Motor plans to halt production of its all-electric F-150 Lightning from mid-November until early next year to address bloated inventories and narrow losses on the pickup trucks.
The automaker on Thursday confirmed the seven-week shutdown would occur at its Rouge Electric Vehicle Center in suburban Detroit from Nov. 18 until Jan. 6, including previously planned holiday downtime at the end of the year.

“We continue to adjust production for an optimal mix of sales growth and profitability,” Ford said in an emailed statement.
The roughly 730 hourly workers at the Michigan plant will be placed on temporary layoff. Ford said not all of the workers will be laid off for the entire duration of the downtime. 
The canceled production, which was first reported by Automotive News, comes as sales of all-electric vehicles have not grown as quickly as many had expected amid higher costs and reluctant consumer adoption.

Sales of the F-150 Lightning are up 86% this year, but the company loses money on the vehicle and has been subsidizing sales. That includes a reported program offering dealers up to $1,500 for each 2024 F-150 Lightning they order from one of the automaker’s new regional electric vehicle distribution centers.
Ford on Monday said its Model e EV operations are expected to lose about $5 billion this year.

Ford executives have said the automaker’s next generation of EVs will be less costly than its current generation, and that it won’t launch a product unless it can be profitable within a year.
The production slowdown represents a fall from grace for the F-150 Lightning. Ford executives such as CEO Jim Farley once touted the vehicle as having the same importance as the Model T, but the company has moved to slashing planned output of the pickup in half to begin this year.
Ford’s overall days’ supply of new vehicles was 112 days as of the end of September, according to Cox Automotive. The F-150, including electric and traditional models, was at 100 days. Ford’s other EV models — Mustang Mach-E crossover and E-Transit van — were at 128 days and 112 days, respectively, Cox reports.
Ford has a target range of 50 days to 60 days of supply. More

Comcast said Thursday it has begun to explore a separation of its cable networks business.
The separation would not include the broadcast network NBC or streaming platform Peacock.
The comments came during Comcast’s third-quarter earnings call on Thursday.

Brian Roberts, chairman and chief executive officer of Comcast NBCUniversal, during the Bloomberg Screentime event in Los Angeles, California, US, on Thursday, Oct. 10, 2024.
Kyle Grillot | Bloomberg | Getty Images

Comcast is exploring a separation of its cable networks business, President Mike Cavanagh said Thursday.
During the company’s third-quarter earnings call with investors, Cavanagh said the company is exploring creating “a new, well-capitalized company owned by our shareholders and comprised of our strong portfolio of cable networks.”

The possible separation would not include broadcast network NBC nor streaming service Peacock, he added. NBCUniversal’s cable networks portfolio includes Bravo, E!, Syfy, Oxygen True Crime, USA Network, as well as news networks MSNBC and CNBC.
The company lost 365,000 cable TV customers during the third quarter.
“Like many of our peers in media, we are experiencing the effects of the transition in our video businesses and have been studying the best path forward for these assets,” Cavanagh said, according to preliminary transcript of the call from FactSet.
“We are not ready to talk about any specifics yet, but we’ll be back to you as and when we reach firm conclusions,” he said.
Shares of Comcast were up more than 6% in premarket trading.

The comments come as millions of customers continue to flee the traditional pay TV bundle in favor of streaming. Comcast has been beefing up Peacock, which got a boost during the third quarter when it exclusively aired the Summer Olympics in Paris.
Disclosure: Comcast owns NBCUniversal, the parent company of CNBC.
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Comcast reported third-quarter earnings before the bell.
The company beat on estimates as the Summer Olympics in Paris helped boost NBCUniversal’s revenue and Peacock’s subscriber count. 
Domestic broadband revenue grew despite continued slowing customer growth in the segment.

NBCUniversal kicks off it’s new Peacock streaming service.
Todd Williamson | Peacock | NBCUniversal | Getty Images

Comcast beat third-quarter earning expectations on Thursday, as the Summer Olympics in Paris boosted NBCUniversal’s revenue and Peacock’s subscriber count. 
Shares of Comcast gained 6% in premarket trading Thursday.

Here is how Comcast performed, compared with estimates from analysts surveyed by LSEG:

Earnings per share: $1.12 adjusted vs. $1.06 expected
Revenue: $32.07 billion vs. $31.66 billion expected

For the quarter ended Sept. 30, net income was down 10% to $3.63 billion, or 94 cents a share, compared with $4.05 billion, or 98 cents a share, a year earlier. Adjusted earnings before interest, taxes, depreciation and amortization, or EBITDA, fell 2% to roughly $9.74 billion. Adjusting for one-time items, Comcast reported earnings per share of $1.12 for the quarter.
The company’s revenue rose 6.5% to $32.07 billion compared with the same period last year. Overall revenue was boosted by the Summer Olympics in Paris, which NBCUniversal exclusively broadcast in the U.S., and domestic broadband revenue — despite continued slowing customer growth. 
Revenue for the media segment – mainly comprised of NBCUniversal – was up nearly 37% to $8.23 billion, largely due to the Olympics. Excluding the Summer Games, revenue was up almost 5%. 
This more than offset the decrease in adjusted EBITDA for the media segment, due to higher operating expenses related to the Olympics, as well as higher programming costs at Peacock and in other sports TV programming. 

The Summer Olympics in Paris proved to be a success for NBCUniversal, as it attracted an average daily viewership of 31 million people across NBC’s TV and streaming platforms and generated a record $1.2 billion in advertising revenue, CNBC previously reported.
This boosted the overall revenue for the content and experiences segment – which also includes the theme parks and film studios – by 19.3% to roughly $12.6 billion. That total includes $1.9 billion of incremental revenue from the Paris Olympics. 
Peacock also enjoyed a boost from the Olympics – where the entirety of the Games were exclusively streamed – with 3 million added subscribers. Paid subscribers for the platform increased 29% year over year to 36 million. Peacock revenue was up 82% to $1.5 billion. 
Losses stemming from Peacock improved for the segment, with an adjusted EBTIDA loss of $436 million during the quarter, compared with $565 million in the same period last year. 
The company’s film studios, also part of the content and experiences segment, saw revenue increase 12.3% to $2.83 billion compared with the prior year. Theatrical revenue was boosted by the recent successful releases of “Despicable Me 4” and “Twisters.”
NBCUniversal’s theme parks revenue decreased 5.3% to roughly $2.3 billion due to lower attendance. The theme parks have weighed on the company recently as surging attendance following Covid lockdowns has cooled.
Meanwhile, the broadband unit – the cornerstone of Comcast’s business – continued to reflect the ongoing industry trends. 
Cable broadband customer growth has slumped across the industry. Comcast executives have pinned this on a slowdown in the buying and selling of homes. Competition has also ramped up from wireless providers like Verizon and T-Mobile.
For Comcast this quarter, it was a mixed bag. The government’s Affordable Connectivity Program (ACP), which had offered a discount for qualifying low-income households, ended earlier this year.
Total domestic broadband net losses amounted to 87,000, but excluding those that stemmed from the end of the ACP, the company estimates there was growth of 9,000 customers.
Domestic broadband revenue increased 2.7% to $6.54 billion compared to the prior year, and average revenue per user – the continued source of growth for the segment despite lagging additions – increased 3.6%. 
Meanwhile, Comcast’s wireless business added 319,000 customers, bringing its total to about 7.5 million lines. The company lost 365,000 cable TV customers during the quarter. 
Disclosure: Comcast owns NBCUniversal, the parent company of CNBC. NBCUniversal owns NBC Sports and NBC Olympics. NBC Olympics is the U.S. broadcast rights holder to all Summer and Winter Games through 2032.
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The U.S. Labor Department said about 44,000 U.S. workers were on strike at the time of its employment survey earlier this month.
Economists expect the U.S. to have added 100,000 jobs in the month.
The DOL’s jobs report on Friday will be its last before the Nov. 5 election.

Boeing workers gather on a picket line near the entrance to a Boeing facility during an ongoing strike on October 24, 2024 in Seattle, Washington. 
David Ryder | Getty Images

Boeing’s more than seven-week machinist strike is set to hit Friday’s U.S. jobs report — the last one that will be released before Nov. 5 presidential election and the Federal Reserve’s meeting next week. The company’s impending job cuts, meanwhile, will take months more to show up.
Some 44,000 U.S. workers were on strike when the Labor Department conducted its survey in mid-October. About 33,000 of them are Boeing machinists, who walked off the job on Sept. 13 after overwhelmingly voting against a union-endorsed labor contract and in favor of their first strike since 2008.

Economists expect the U.S. to have added 100,000 jobs in October. Bank of America this week forecast that payroll tallies will be at least 50,000 lower than they would have otherwise been because of the strikes and affects of both Hurricane Helene and Hurricane Milton.
Federal Reserve Governor Christopher Waller said in an Oct. 14 speech that those factors could have a 100,000-job impact on the October report and called the reductions a “significant but temporary loss of jobs.” He said they “may have a small effect on the unemployment rate, but I’m not sure it will be that visible.”
Boeing’s machinist strike has complicated the plane maker’s already difficult position as its new CEO Kelly Ortberg tries to steer the giant U.S. manufacturer and exporter out of safety, quality and financial crises. The unionized machinists, mostly in the Seattle area, voted 64% against a new proposal last week, which included 35% wage increases, compared with a 25% wage increase in an earlier tentative agreement.

In an aerial view, a Boeing 737 Max fuselage is seen on a railcar during an ongoing strike by Boeing factory workers in Seattle on Oct. 24, 2024.
David Ryder | Getty Images

The Biden administration has gotten involved, urging the two sides to reach a deal.
“With the continued assistance of Acting Secretary of Labor Julie Su, your Union bargaining committee had a productive face-to-face meeting with the company to address key bargaining issues,” the International Association of Machinists and Aerospace Workers District 751 said late Tuesday.

Su had met with both sides before the last proposal was brought to a vote on Oct. 23.
Boeing’s impact on U.S. employment numbers is set to continue. CEO Ortberg said earlier this month that the company will cut 10% of its global workforce, or 17,000 people, though job-loss warning letters aren’t expected to go out until mid-November.
Ortberg, who took over as CEO in early August, said Boeing needs to become leaner and focus on its core businesses.
“One of the things I’ve heard from a lot of employees is there’s just too much overhead. It slows them down in being able to get their work done,” he said on an Oct. 23 quarterly call. “So we’re going to really focus this workforce reduction in streamlining those overhead activities, consolidating things that can be consolidated.”
Layoffs and their announcements are more complicated to factor into federal employment surveys than strikes because “we don’t have a good sense of when they occur,” noted Bank of America economist Stephen Juneau.
The impact of the Boeing’s strike could lead to further cuts in the fragile aerospace supply chain.
Boeing fuselage maker Spirit AeroSystems earlier this week put about 700 Wichita, Kansas, workers on a 21-day furlough. A spokesman for the company, which Boeing is in the process of acquiring, told CNBC last week that Spirit is considering hundreds of additional furloughs or layoffs if the Boeing strike lasts past Nov. 25. More