More stories

  • in

    Here's how to navigate buying a car amid low inventory and high prices

    Any shopper who has stepped onto a vehicle sales lot during the coronavirus pandemic has likely noticed at least two things: There are very few cars and they have very high sticker prices.
    Amid inflation and fear of a recession, buying a car in this climate is certainly not for the faint of heart.

    “If you go by a car dealership these days, you either see a lot of asphalt or you see a lot of used cars in spaces where normally there would be new cars,” said Tyson Jominy, vice president of data and analytics at J.D. Power.
    More from Invest in You:Retirement is expensive – here’s how much you really need to save for itHere’s a simple way to make a monthly budget and start saving moneyHow this former waitress paid off $30,000 in debt and learned to invest
    In January 2015, the average price for a new vehicle sold in the U.S. was $30,694. By February 2022, that number had ballooned by 44% to $44,232.
    “So what we see in terms of vehicle prices really stems from that fact that there’s hardly any inventory out there,” Jominy said.
    Watch the video for advice on purchasing a car when prices are high and inventory is low.

    SIGN UP: Money 101 is an 8-week learning course to financial freedom, delivered weekly to your inbox. For the Spanish version Dinero 101, click here.
    CHECK OUT: I generate thousands of dollars a month in passive income teaching online classes: Here’s how to get started with Acorns+CNBC
    Disclosure: NBCUniversal and Comcast Ventures are investors in Acorns. More

  • in

    Here's why people are still flipping out on airliners

    CNBC Travel

    Incidents involving unruly passengers in the United States are decreasing.
    But the good news may end there.

    On average, there were about 500 reports of unruly passengers per month in 2021, according to the U.S. Federal Aviation Administration. In the first three months of 2022, this number fell to about 350 reports per month, according to FAA statistics.
    That’s progress, especially considering that there are far more flights than in early 2021, when incident reports reached an all-time peak.
    However, it’s still a far cry from the number of in-flight outbursts logged before the pandemic, which from 2014 to 2019 happened about 10 times a month, according to CNBC’s calculations.  

    Why unruliness skyrocketed

    In 2021, nearly 3 out of 4 unruly passenger reports were related to mask compliance, according to the FAA, which monitors flights that depart from or arrive in the United States.
    For some, refusing to wear a mask became both a political statement and a marker of personal autonomy, said Sharona Hoffman, co-director of the Law-Medicine Center at Case Western Reserve University School of Law.

    Many of these people do not want to be told what to do, and flying is “an environment where they are told what to do — all the time — for hours.”

    People are used to thinking they’ll get an exception.

    Sharona Hoffman
    Case Western Reserve University School of Law.

    Rage in the not-so-friendly skies is also a manifestation of anger happening on the ground, she said. For every video of an airline passenger losing it on a flight, there are others at grocery stories, school board meetings and banks.
    Covid measures have added to the stress of flying, said Hoffman. Meals, drinks and snacks were taken away at one point, “so all the things that used to distract and entertain people were removed,” she said.
    Bryan Del Monte, president of The Aviation Agency, a marketing company for the aviation industry, agreed stress may be behind the increase in unruly behavior.   
    “However, I’m under a fair amount of stress and somehow, I don’t go bananas on an airplane, punch out the flight attendant … while 20-30 people film it,” he said.

    Why people continue to act out

    Threatening or interfering with the duties of a crewmember can result in fines, flight bans, federal criminal charges and jail time. With most passengers armed with video cameras on their phones, there’s also the risk of becoming the unwitting star of a viral video, which can — and has — led to job terminations and deportations.  
    But what’s a devastating public tantrum to one person may be an act of gallantry to another, said Hoffman, citing those who many want to be a “hero for anti-mask advocates.”  

    The Aviation Agency’s Del Monte said people throw tantrum on flights “because they feel they can … We have a place for people who believe they can do whatever they want when they want. It’s called prison.”
    Ems-forster-productions | Digitalvision | Getty Images

    Others don’t feel the rules apply to them, said Hoffman, adding that “people are used to thinking they’ll get an exception,” which may have been the case for them with vaccine mandates.
    Hoffman said although a lot is at stake for bad behavior aboard commercial flights, “people commit crimes all the time.”
    Most don’t think they’ll get caught or punished, she said.

    Few face the music

    They could be right.
    Of the 1,091 unruly passenger reports this year, fewer than 30% have been investigated and just 15% have resulted in “enforcement action,” according to the FAA. Still, that’s higher than the 6% of reports that resulted in enforcement action in 2021, said Del Monte.
    “Enforcement action” now means proposed fines, an FAA spokesperson told CNBC. In the past, it included warnings and counseling, but that ended under the FAA’s “zero tolerance” policy which started in January 2021.

    “Fining these people is obviously not a deterrent. … They’re judgment proof.

    Bryan Del Monte
    President of The Aviation Agency

    Maximum fines have increased too — from $25,000 to $37,000 per violation — and one incident can result in multiple violations, according to the FAA.
    But this isn’t enough, said Del Monte, who said much more should be done.
    “Fining these people is obviously not a deterrent,” he said. “Most [of] them — $300, $3,000, $30,000 or $3 million — it wouldn’t matter. They’re judgment proof.”
    Even fewer people face criminal proceedings, he said. The FAA, which lacks criminal prosecutorial authority, said it referred 37 unruly passengers to the FBI last November. Later that month, Attorney General Merrick Garland directed U.S. attorneys to prioritize the prosecution of federal crimes on commercial aircraft.

    Will bad behavior end soon?

    Since most problems are related to masks, unruly passenger reports will likely drop once mask mandates end, said Del Monte.
    Masks are no longer required on several major European airlines and could end in the United States on April 18, when the federal mandate expires. Asia, on the other hand, is expected to keep mandates in place longer. News of unruly flyers in the region remains scarce thanks in part to a culture of mask-wearing that predates the pandemic.
    Yet even with mandates gone, incidents aren’t likely to return to pre-pandemic numbers, said Del Monte.

    The FAA said it proposed $5 million in fines against unruly passengers in 2021.
    Lindsey Nicholson | Universal Images Group | Getty Images

    About 28% of U.S. unruly passenger reports in 2021 were not related to masks, according to the FAA. Ignoring mask-related incidents altogether, unruly passenger incidents still increased some 1,300% last year compared with the five years before the pandemic, according to CNBC’s calculations.
    The most violent onboard attacks “have nothing to do with masks,” said Sara Nelson, president of the Association of Flight Attendants-CWA in a statement published Feb.15 in support of a centralized list of banned passengers shared between airlines.
    Still, Del Monte said, the problem isn’t likely to go away soon.  
    “I doubt sincerely … the ignoramus sod who is suddenly an expert on both epidemiology and the rule of law will be placated by lack of a mask,” he said. “That person will undoubtedly find some other small injustice to create the conditions he’ll wind up fined or imprisoned over.”
    Plus, airlines may have to contend with another mask problem then — the “radicalization” of flyers who want the mandates to continue.
    “They may replace those who refuse to wear a mask as being unruly,” he said.
      More

  • in

    Disney's networks among outlets that will air new PSA featuring trans teen

    Disney is one of four companies that will air a new public service from GLAAD that features a transgender teen and calls for nationwide support of LGBTQ youth.
    The video comes as tensions between Disney and Florida lawmakers have escalated over the passing of Florida’s HB 1557 law, which has been dubbed the “Don’t Say Gay” bill.
    The new PSA will be aired by outlets owned by Disney, Comcast, WarnerMedia and Paramount.

    Disney employee Nicholas Maldonado holds a sign while protesting outside of Walt Disney World on March 22, 2022 in Orlando, Florida. Employees are staging a company-wide walkout today to protest Walt Disney Co.’s response to controversial legislation passed in Florida known as the “Don’t Say Gay” bill.
    Octavio Jones | Getty Images News | Getty Images

    With tensions high between The Walt Disney Company and Florida lawmakers, the entertainment giant, alongside three other major media companies, will air new a new public service announcement from GLAAD featuring a transgender teen which calls for nationwide support of LGBTQ youth.
    The PSA centers on Texas mom Amber Briggle and her son Max.

    “If you’ve never met a transgender child before what I want you to know is that that child is no different than yours,” Briggle says in the announcement. “They have the same hopes and dreams and deserve the same equality as yours does.”

    The video launches as several states proposing and passing bills that many see as harmful to LGBTQ youth. This includes legislation such as Florida’s HB 1557 law, which has been dubbed the “Don’t Say Gay” bill, as well as a Texas directive, which was recently barred, that called for investigations of parents of transgender children for child abuse.
    The new PSA will be aired by outlets owned by Disney, Comcast, WarnerMedia and Paramount.
    Disney’s participation comes at a time when company executives are working to be more aggressive in advocating for LGBTQ rights. CEO Bob Chapek, in particular, came under scrutiny in the past month for not publicly opposing Florida’s “Don’t Say Gay” legislation until after it passed through the Florida Senate.
    The company has vowed to help repeal the new law which forbids instruction on sexual orientation and gender identity in public schools for kindergarten through third grade.

    Gov. Ron DeSantis, a Republican, has been critical of Disney since its executives came out against the legislation calling the company “woke” and threatening to repeal the 1967 Reedy Creek Improvement Act, which allows Disney to act as its own government within the outer limits of Orange and Osceola counties in Florida.
    Amid this discord, Disney hired Kristina Schake as its new executive vice president of global communications. Schake was a cofounder of the organization behind a federal lawsuit challenging Proposition 8, a California state constitutional amendment that was intended to ban same-sex marriage.
    The company also announced Wednesday earmarked nearly 80 acres of land in Florida for affordable housing to be built upon. The new development is expected to include more than 1,300 units and offer residents a variety of home choices located in close proximity to schools.
    “We are invested in working together with our community to solve complex issues,” said Jeff Vahle, president of Walt Disney World Resort, in a statement.
    Disclosure: Comcast is the parent company of NBCUniversal and CNBC.

    WATCH LIVEWATCH IN THE APP More

  • in

    Scientists divided on need for 4th Covid shot after FDA quietly approved another round of boosters

    The FDA and CDC OK’d a second booster shot for people age 50 and older last week.
    The decision was based on data from Israel, which rolled out fourth doses months ago.
    Dr. Peter Marks, who heads the FDA office responsible for vaccine safety and efficacy, said shortly after the decision that another round of boosters will likely be needed in the fall.

    Leading U.S. scientists and physicians worry that the FDA and CDC are moving too fast in approving a fourth round of Covid shots, with little public debate that gives the vaccine makers too big a role in setting the pace with which the doses are distributed across the nation.
    The top U.S. public health agencies last week endorsed a fourth Covid shot for older adults without holding public meetings, drawing criticism from leading vaccine experts who believe federal health officials haven’t provided enough transparency about the reasons for the decision.

    Cathy Dozal gets her second booster shot against COVID-19 from Vocational nursing student, Patricia Lizardo, at Long Beach City College in Long Beach on Wednesday, March 30, 2022.
    Brittany Murray | Medianews Group | Getty Images

    The authorization of a fourth dose for adults age 50 and older comes as the scientific community is divided over whether the data is sufficient to support another round of boosters, and whether authorizing additional shots is a sustainable public health policy, especially since protection against infection simply wears off over time. There is a debate over whether the goal of the vaccines is to prevent severe illness, which they’ve largely achieved, or infection as well — a more challenging proposition.
    The Food and Drug Administration authorized a second booster shot for people age 50 and older last week, and the Centers for Disease Control and Prevention quickly backed their distribution hours later based on data from Israel, which rolled out fourth doses months ago. Dr. Peter Marks, who heads the FDA office responsible for vaccine safety and efficacy, said shortly after the decision that another round of boosters will likely be needed in the fall.

    Rapid approval

    The rapid regulatory clearance of fourth shots for older adults came just weeks after Pfizer and Moderna asked the FDA to permit them. Several FDA and CDC committee members as well as other leading experts said Pfizer and Moderna are playing too large a role in setting the agenda around U.S. vaccine policy by announcing the need for fourth doses and possibly a variant-specific vaccine before the public health agencies have made any recommendations.
    Moderna CEO Stephane Bancel said during a January interview with Goldman Sachs that fourth doses would be needed in the fall as the protective antibodies from the shots wane over time. Pfizer CEO Albert Bourla told CNBC in early March, before the company filed its request with the FDA, that there’s a need for a fourth dose though he said the regulators would ultimately come to their own conclusion.
    “I just think it’s sort of booster mania. I think the companies are frankly acting like public health agencies,” said Dr. Paul Offit, a member of the FDA committee and one of the nation’s top vaccine experts. Offit said the CDC, which has the final say on vaccine recommendations, needs to develop a clear national strategy to reduce public confusion about what it means to be fully vaccinated at this stage in the Covid pandemic.

    Michael Osterholm, a leading epidemiologist, said repeated boosting is not a sustainable public health strategy because of the challenge posed by waning immunity against infection. “We’re not gonna be able to boost our way out of this,” said Osterholm, director of the Center for Infectious Disease Research and Policy at the University of Minnesota.

    Call for more transparency

    The FDA and CDC vaccine advisory panels weigh safety and efficacy data before making recommendations to top federal health officials on the best path forward. Though the recommendations are nonbinding, the meetings provide an open forum where the public can listen to the nation’s top health experts debate the pros and cons of vaccine policy, and often even participate by phoning in to voice their views.
    The FDA’s Vaccines and Related Biological Products Advisory Committee is meeting Wednesday to debate the future of boosters. However, it will not vote on any specific recommendations, according to the FDA. The CDC’s Advisory Committee on Immunization Practices did not meet before CDC Director Dr. Rochelle Walensky signed off on the fourth shots for older adults last week.
    “It’s just sort of fait accompli,” Offit said. “I feel that we’re in a time, this sort of Covid exceptionalism, where we don’t do things the way we normally do it, which is that the science precedes the recommendation. Here, it’s the other way around,” he said.
    Offit said that the FDA is effectively asking the public to believe that the data supports a fourth dose by providing sufficient protection against serious illness. He said the American public benefits from hearing an open discussion about vaccine decisions, particularly at a time when many people are not taking advantage of the third dose. Offit is an infectious disease expert at Children’s Hospital Philadelphia and a co-inventor of a rotavirus vaccine.

    Marks, during a call with reporters last week, said the FDA did not call a committee meeting because the decision was “relatively straightforward.” He said data from Israel suggested a fourth dose can reduce the risk of hospitalization and death in older adults. The CDC, in a statement to CNBC, said the fourth dose was an incremental change that did not need to go before its committee.
    Dr. William Schaffner, a nonvoting member of ACIP, disagreed that the CDC recommendation was an incremental change. Schaffner said clearing fourth doses for older adults is a big decision that would have benefited from a meeting of outside advisors to provide the public with transparency.
    “I think to have this decision made in-house behind closed doors without having the transparency of a full debate that a regularly called ACIP meeting would have provided – I think that’s unfortunate,” said Schaffner, an infectious disease expert at Vanderbilt University Medical Center.
    Dr. James Hildreth, who is attending the FDA committee’s Wednesday meeting as a temporary member, noted that the drug regulator wasn’t required to call a public meeting before authorizing the shots, and the agency has seasoned experts who can determine if there is evidence to support a new authorization. However, Hildreth said moving forward without a recommendation from outside experts fuels the perception that industry is playing too big a role in the nation’s vaccine strategy.
    “When the FDA makes a decision like that without calling together an outside group of experts, it just adds to the optics of the pharmaceutical companies having an impact on decisions that are being made,” said Hildreth, president of Meharry Medical College in Nashville, Tennessee. Meharry is a clinical trial site for Novavax’s vaccine as well as Moderna’s shots for younger children.

    CNBC Health & Science

    Read CNBC’s latest global coverage of the Covid pandemic:

    ‘Diminishing returns’

    While some health experts believe the central purposes of the vaccines is to prevent severe illness, others think it is important to also stop infections from the virus. The protection provided by the Pfizer and Moderna vaccines against infection has declined substantially over time, particularly in the context of omicron, which has numerous mutations that give it an enhanced capability to cause breakthrough infections and mild illness. However, the vaccines are still providing substantial protection against severe illness.
    “If you’ve gotten a mild illness after you’ve been vaccinated, you’ve won — that’s it. You’ve been prevented from having serious illness, which is the stated goal of this vaccine,” said Offit, who believes three doses were necessary for the elderly and four for the people with weak immune systems, but is skeptical of the need for additional shots right now.
    But if the goal is also to prevent infection, that means, at least for now, booster shots are the only available tool to increase antibodies until a longer-lasting vaccine is available. The problem is that the vaccines eventually run into diminishing returns, according John Moore,  a professor of microbiology and immunology at Weill Cornell Medical College. Moore said a three-dose regimen is fairly standard with vaccines to help boost the immune system to its peak response. A fourth shot, however, begins to hit a ceiling — at least in terms of protecting younger people against infection.
    The Israeli Health Ministry and scientists at Sheba Medical Center found that a fourth dose does restore antibodies that waned off after a third dose among health-care workers ages 18 and older, but it provided little protection against infection. Pfizer cited that study, which has not undergone peer-review, among others in its statement on the FDA authorization, focusing on the increased antibodies without highlighting the issues with breakthrough infections.

    Different age, different needs

    Dr. Peter Hotez, a vaccine expert at the Baylor College of Medicine in Houston, strongly supports a fourth dose for older adults, pointing to a CDC study from February that found the third shot’s effectiveness against hospitalization dropped from 91% to 78% after four months.
    Pfizer, in its public statements on the fourth dose, cited a separate Israeli study that found a fourth dose reduced mortality by 78% in people ages 60 and over. The study from Ben Gurion University and Clalit Health Services, which has not undergone peer-review, analyzed the medical records of more than 500,000 people.
    ‘We continue to collect and assess all available data and remain in open dialogue with regulators and health authorities to help inform a Covid-19 vaccine strategy as the virus evolves,” Pfizer said in a statement to CNBC.
    While the Ben Gurion study may point in the direction of a benefit for older adults at the moment, the evidence for boosting younger adults again is scant as the U.S. considers lowering the eligibility for fourth doses sometime later in the year.

    Dr. Gili Regev-Yochay and her team of scientists at Sheba said a fourth dose “may only have marginal benefits” for younger people, according to a letter published in the New England Journal of Medicine. While Pfizer originally filed for adults age 65 and older, Moderna asked the FDA authorize a fourth dose for ages 18 and older. Moore called Moderna’s filing “aggressive,” arguing that it didn’t distinguish between the needs of the elderly, who may benefit from an additional dose, compared with younger adults where the data is less convincing.
    Moderna CEO Bancel told CNBC last month that the company wanted to give the FDA flexibility to decide which age group would benefit most from a fourth shot right now. Moderna, in its public statements on its application for a fourth dose, pointed to data from Israel but didn’t cite specific studies.
    Though Hotez supports a fourth dose for older adults, he said the FDA and the CDC have not done an effective job at communicating whether the goal of the vaccines is to prevent severe illness, infection or both, and the vaccines makers have filled that void with statements on data from their clinical trials and lab studies. Hotez and a team of scientists in Texas developed a Covid vaccine, Corbevax, based on traditional protein-based technology that has received authorization in India.
    Hotez also expressed frustration that the U.S. relies heavily on data from abroad, particularly Israel and the U.K. Offit also questioned why the U.S. is relying on data from countries that are smaller than the U.S. and have different demographic backgrounds.

    Long-term strategy needed

    Hildreth said the U.S. should put off additional booster doses as long as the public health situation allows so the nation can more clearly define how it measures protection against the virus and develop a long-term strategy to achieve that end. He said if the public is asked to get boosted every several months, many people will simply stop listening.
    “We don’t know a specific measure we can do to say whether or not a person is truly protected, and whether or that’s the same with everybody,” said Hildreth. For example, there’s no clear measure of whether a certain level of antibodies is sufficient to protect people, he said.
    Beyond vaccination with the current vaccines, Pfizer and Moderna are developing shots that target omicron as well as other variants. Dr. Arnold Monto, who is chairing the FDA’s committee meeting on booster strategy Wednesday, said public health authorities need to develop a consensus about what goes into the vaccines moving forward. Monto said collaboration between the vaccine makers and the government is crucial, but industry has started playing a larger public role in decisions about about what kind of vaccines should be developed to target specific Covid variants.
    “Industry has a double-headed goal. They are trying to do public good like we all are. They also have stockholders, and we need to be sure that the public health good is kept mind,” Monto said.

    WATCH LIVEWATCH IN THE APP More

  • in

    GM expects record year of Chevy Bolt EV sales following fire recall

    GM expects sales of its electric Chevrolet Bolt models can rebound from a high-profile recall last year after several vehicles caught fire.
    The automaker restarted production and shipments of the Bolt EV and a larger “EUV” version this week.
    The fires and recall were a major setback for the automaker in terms of EV sales and its reputation.

    2022 BOLT EUV
    Source: Chevrolet

    DETROIT – General Motors expects sales of its electric Chevrolet Bolt models can rebound from a high-profile recall after several vehicles caught fire to achieve record results in 2022.
    “We see record numbers of sales and production for ’22, and we see ’23 being bigger than ’22. We are bullish on both EV and EUV,” Steve Majoros, vice president of Chevrolet marketing, told media Wednesday.

    The automaker restarted production and shipments of the Bolt EV and a larger “EUV” version this week. Production of the vehicles at a plant in Michigan had largely been down since August, when the automaker recalled every Bolt that had been produced at the factory since 2016.
    The recall followed the Detroit automaker determining two “rare manufacturing defects” in the lithium-ion battery cells of the vehicle’s battery pack could cause a fire. GM is aware of 19 vehicle fires related to the problem, a spokesman said.
    The fires and recall were a major setback for the automaker in terms of EV sales and its reputation, despite its battery supplier, an LG company, taking blame for the issues.

    The Vermont State Police released this photo of the 2019 Chevrolet Bolt EV that caught fire on July 1, 2021 in the driveway of state Rep. Timothy Briglin, a Democrat.
    Vermont State Police

    GM will attempt to relaunch the Bolt models to Americans starting Thursday with a new national television campaign for the cars, Majoros said. Ads shown to media do not mention the recall or fires.
    “We think we have a lot of interest and awareness for this,” he said, adding the advertising will have a “big presence” during the opening day games of Major League Baseball. “I think it’s just going to continue with our advertising efforts.”

    Majoros, calling it an “arm’s race,” said the record Bolt sales expectations are largely due to increased interest overall in EVs, not necessarily connected to record gas prices nationally this year.
    The Bolt EV went on sale in December 2016, while the Bolt EUV went on sale last year shortly before all the vehicles were recalled. The Bolt nameplates achieved record sales of nearly 25,000 units last year, topping sales of the Bolt EV of more than 23,000 in 2017.

    Read more about electric vehicles from CNBC Pro

    WATCH LIVEWATCH IN THE APP More

  • in

    Cramer's lightning round: I'm on board with Douglas Elliman

    Monday – Friday, 6:00 – 7:00 PM ET

    It’s that time again! “Mad Money” host Jim Cramer rings the lightning round bell, which means he’s giving his answers to callers’ stock questions at rapid speed.

    Loading chart…

    Bluelinx Holdings Inc: “I think this stock completely anticipated that [interest] rates would be increasing, and so therefore I would actually be a buyer, not a seller of that stock.”

    Loading chart…

    DigitalOcean Holdings Inc: “We’re not recommending companies that aren’t making money. We just don’t think that they are conducive at all to the bulls winning.”

    Loading chart…

    Loading chart…

    Loading chart…

    Poshmark Inc: “We are not in favor of companies that are losing money hand over fist, even if we like the management.”

    Loading chart…

    Loading chart…

    Tutor Perini Corp: “I do not want to sell Tutor Perini down here. The company makes a lot of money.”

    Loading chart…

    Bank of America: “The group that is going to determine the ultimate direction of this market is the banks. And if Bank of America does well, then this market is going higher. And I think that it will.”

    WATCH LIVEWATCH IN THE APP More

  • in

    Army Corps of Engineers withdraws SpaceX application to expand Starship facilities in Texas

    The US Army Corps of Engineers has withdrawn SpaceX’s application to expand in Texas after the company failed to provide environmental information it requested.
    The Corps informed SpaceX of the decision in March.
    The letter came after CEO and founder Elon Musk threatened to move operations to Florida if regulatory approval didn’t move along in Texas.

    Starship prototype 20 stacked on top of Super Heavy booster 4 at the company’s facility in Boca Chica, Texas.

    The US Army Corps of Engineers has withdrawn SpaceX’s application to expand launch facilities in Boca Chica, Texas, after the company failed to provide environmental information the agency requested, according to documents obtained by CNBC.
    SpaceX was seeking approvals to construct a new launch pad, new landing pad, and other launch-related infrastructure that would support its existing reusable launch vehicle operations in the South Texas facility.

    The expansion would have been built on about 17 acres including wetlands and mud flats.
    The Army Corps of Engineers is responsible for oversight of wetland development under section 404 of the Clean Water Act. In this role, the Corps makes sure that developers do not harm natural resources and drinking water, nor cause stress to endangered species and their habitat when alternative sites or approaches could be used instead.
    In a letter to SpaceX dated March 7, 2022, the US Army Corps of Engineers said that, after repeated requests for specific environmental impact information, Elon Musk’s aerospace venture had failed to say how it might be able to build its facilities differently, or whether it could locate them elsewhere to minimize harm to wetlands, water, and wildlife. Bloomberg previously reported on the withdrawal.
    The agency noted that on February 10, 2022, SpaceX CEO and founder Elon Musk held a press conference where he explained that if regulatory approvals didn’t move along in Texas, allowing the company to expands its Starship and Super Heavy rocket testing and launches soon, he would move a bulk of SpaceX operations to Florida’s Cape Canaveral and Kennedy Space Center.

    Stock picks and investing trends from CNBC Pro:

    If that were to happen, Musk said at the time, SpaceX would turn its Boca Chica assets into more of a research and development hub.

    The Corps told SpaceX it could re-initiate its application if it still wants to pursue the vertical launch area expansion. The Corps did not immediately respond to requests for comment on whether SpaceX has replied or submitted the requested information in the past month. SpaceX did not immediately respond to a request for comment on the news.
    In a parallel review process, an environmental engineer who blogs under the handle ESG Hound reported, the U.S. Fish and Wildlife Service has expressed similar concerns. FWS submitted comments to the Federal Aviation Administration saying SpaceX has not provided adequate environmental information to obtain approval to expand in Boca Chica.
    SpaceX has completed multiple high-altitude flight tests with its Starship prototypes, but its next major step is to reach space. Starship is the spacecraft the company is developing to someday embark on a mission to Mars. The company’s Starship progress was delayed on multiple fronts last year, and an orbital flight test is now pending regulatory approval.
    SpaceX still needs a license from the Federal Aviation Administration to move ahead with the flight test, and a separate, key environmental assessment is still pending.
    Here’s the letter:

    WATCH LIVEWATCH IN THE APP More

  • in

    Walgreens expands its medical-care offerings in major California markets

    Walgreens is opening more Health Corner locations as part of a deal with Blue Shield of California.
    Health Corners are discrete spaces in stores where a registered nurse or pharmacist can schedule a mammogram, or screen a patient for high blood pressure or diabetes.
    These new services are being offered in “health-care deserts” that have few doctor’s offices and a predominant number of patients with chronic conditions like diabetes.

    Walgreens is opening more Health Corner locations through a deal with Blue Shield of California. At the dedicated spaces, it can provide medical care that’s billed to the insurer.
    Blue Shield of California

    At Walgreens stores in California, the drugstore chain is previewing how it plans to become a place where more customers go for medical care — not just prescriptions.
    Walgreens Boots Alliance said Wednesday that it will expand the number of stores in the San Francisco and Los Angeles areas with so-called Health Corners, which offers medical care in association with health insurer Blue Shield of California. It has opened 12 Health Corner locations in California and plans to open eight more by mid-year.

    Health Corners are discrete spaces in stores where a registered nurse or pharmacist can schedule a mammogram, screen a patient for high blood pressure or diabetes or help set up a high-tech medical device.
    Dr. Sashi Moodley, chief clinical officer of Walgreens Health, said Health Corners act as “connective tissue that are keeping these patients on track, especially when they’re between doctor’s visits.”
    These new services are being offered in “health-care deserts” that have few doctor’s offices and a predominant number of patients with chronic conditions like diabetes, Moodley said.
    Blue Shield reimburses billable services that the health advisor provides to its members. Customers who aren’t covered by the insurer can also get select services from a Health Corner, but for Blue Shield members there’s a longer list of available health services and no copay.
    So far, the 9,000-store chain has opened a total of 48 Health Corners, including 36 in New Jersey, where it has a deal with Clover Health. It’s looking to have 100 locations by year-end.

    Walgreens declined to share financial terms or the length of the deals.
    The expansion with the insurers forms part of the company’s strategy to push into health care, as companies from Amazon to Capsule drain its typical sales of shampoo, pain relievers and prescriptions.
    Walgreens has made several acquisitions, including becoming the majority owner of VillageMD, a primary care company, which is opening doctor’s offices connected to the chain’s stores. In addition, it’s opening robot-powered fulfillment centers across the country, which help fill prescriptions and free up pharmacists’ time to provide more medical care.
    Rival CVS Health also is turning some stores into health-care destinations by adding more services and medical devices and expanding a new store format called a HealthHub. CVS owns health insurer Aetna and directs members to MinuteClinic locations, which are located in stores.
    Its many store locations make the Walgreens deal appealing, D.D. Johnice, vice president of the Health Transformation Lab at Blue Shield of California, said in a news release. It will “make these resources available closer to home” and “offer more satisfying and convenient support to our members and their families,” she said.
    Each Health Corner location will be staffed by a Walgreens pharmacist or a nurse and will include a private room and a “tech bar,” Moodley said.
    Moodley said Walgreens can drive down health-care costs for insurers by interacting with patients more frequently at the Health Corner locations. Nearly 80% of the U.S. population lives within five miles of a Walgreens store, and many of its regular customers are seniors, caregivers and people who juggle multiple medical conditions, which means they often see their pharmacist more than their doctor as they retrieve prescriptions, he said.
    “You can only impact patients that you can engage and that’s a critical reason why we think we’re so well-positioned,” he said.

    WATCH LIVEWATCH IN THE APP More