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Disney to pay almost $439 million to take full control of streaming service Hulu

Disney will pay ‘s nearly $439 million for its stake in , taking full control of the streaming service.

The move closes out an appraisal process that’s dragged on for a few years. said in November 2023 that it was acquiring a 33% stake in Hulu from Comcast for at least $8.6 billion. That amount reflected Hulu’s guaranteed floor value of $27.5 billion, according to a regulatory filing.

Disney has run Hulu since 2019, when Comcast ceded its authority to Disney and effectively became a silent partner.

Hulu began in 2007 and quickly evolved into as a service backed by entertainment conglomerates who hoped to stave off the internet with an online platform for their own TV shows. Disney joined in 2009, planning to offer shows from ABC, ESPN and the Disney Channel. A decade later, Disney gained majority control of the business when it acquired 21st Century Fox.

Disney said in a regulatory filing on Monday that its appraiser arrived at a valuation below the guaranteed floor value during the initial phase of the appraisal process, while NBCUniversal’s appraiser arrived at a valuation substantially in excess of the guaranteed floor value.

A third appraiser was brought in and concluded that The Walt Disney Co. will pay $438.7 million for the Hulu stake.

“We are pleased this is finally resolved. We have had a productive partnership with NBCUniversal, and we wish them the best of luck,” Disney CEO Bob Iger said in a statement. “Completing the Hulu acquisition paves the way for a deeper and more seamless integration of Hulu’s general entertainment content with Disney+ and, soon, with ESPN’s direct-to-consumer product, providing an unrivaled value proposition for consumers.”

The transaction is anticipated to close by July 24. It’s not expected to impact Disney’s fiscal 2025 adjusted earnings forecast.

Shares of Disney rose slightly in morning trading on Tuesday.

Technomics to add 248 jobs in Arlington expansion

Government contractor will invest $5.38 million to expand its headquarters, adding 25,200 square feet of office space and creating 248 jobs.

made the announcement Tuesday. Virginia successfully competed with Washington, D.C., for the expansion.

“The expansion of Technomics in Virginia marks a significant milestone not only for our local economy with 248 new jobs, but also for the future of innovation and evidence-based decision-making,” said Youngkin in a statement. “As a leader in data and , Technomics is helping drive smarter solutions across their federal government clients. Virginia continues to be the best place for companies to build their future.”

Technomics specializes in providing data and analytics-driven support services for both United States and international government clients.

Technomics was established in 1984 and opened its headquarters in Arlington in 2000. The company’s website states, “… for the first 15 or so years, it was a stretch to call ourselves a business, as we were a very small team of experts.”

The company, which became employee-owned in 2009, has expanded its Arlington office three times since 2022. The worked with Arlington County to secure the latest expansion project for Virginia.

“For over 25 years, our mission has been to be great stewards of the taxpayers by using our analytical and quantitative skills to help our federal government clients spend their resources wisely,” Technomics CEO Al Leung said in a statement. “The current efficiency-focused environment presents enormous opportunities for us. We are thrilled to have earned the trust and support of our clients, Gov. Youngkin and the VEDP to enable achievement of our mission and the next phase of not only our growth but that of the local community.”

Technomics currently employs about 300 people in Arlington. A timeline for when the expansion will be completed was not provided and the company did not immediately return requests for comment.

Virginia Senate Dems refuse to confirm Cuccinelli, other Youngkin board nominees

SUMMARY:

  • Democratic-controlled committee rejects eight appointees to three universities’ boards by Gov. Glenn Youngkin
  • Among appointees were former state AG Kenneth Cuccinelli, former state commerce and trade secretary
  • Appointees to VMI, GMU, U.Va. viewed as disruptive choices for university boards by Democratic senators

Updated June 10

In a Monday evening vote, Democrats on a Virginia State Senate committee declined to confirm eight of Gov. Glenn Youngkin’s appointees for three university boards, including former Virginia Attorney General Kenneth Cuccinelli and former state commerce and trade secretary Caren Merrick.

Rejected in an 8-4 vote of the Senate Committee on Privileges and Elections were eight Youngkin appointees to the boards of , the University of Virginia and . Cuccinelli, who also served as acting director of the U.S. Citizenship & Immigration Services during President ‘s first term, was appointed in March to serve on U.Va.’s board.

Cuccinelli replaced Bert Ellis on U.Va.’s board of visitors after Youngkin dismissed Ellis, whom the governor appointed to the board in 2022 as a vocal opponent of diversity, equity and inclusion. Ultimately, Ellis proved to be too outspoken for the governor, despite sharing views on DEI. In Youngkin’s March letter to Ellis notifying him of his removal from the board, the governor wrote, “Your conduct on many occasions has violated the Commonwealth’s Code of Conduct for our Boards and Commissions and the ‘ Statement of Visitor Responsibilities.”

George Mason appointments

Charles J. Cooper, a Florida appellate attorney who represented former U.S. Attorneys General Jeff Sessions and John Ashcroft and served as a U.S. assistant attorney general under President Ronald Reagan, was among the rejected appointees to George Mason’s board, along with Merrick, who served as the state’s commerce secretary under Youngkin. William Hansen, a former U.S. deputy secretary of education under President George W. Bush, and Maureen Ohlhausen, a former Federal Trade Commission chair, were also rejected by the Senate committee.

VMI appointments

VMI’s board has been at the epicenter of controversy surrounding the ouster of the military college’s first Black superintendent, retired Army Maj. Gen. Cedric Wins, who was named in 2021 while VMI was putting its first DEI programs in place after a study on racist and sexist conduct among students and staff was ordered by former Gov. Ralph Northam, an alumnus. Wins said in March when the board — now dominated by Youngkin appointees — voted against renewing his contract that the decision was “a partisan choice that abandons the values of honor, integrity and excellence upon which VMI was built.”

Youngkin named John Hartsock, deputy chief of staff for U.S. Rep. Ben Cline; Stephen Reardon, an attorney with Spotts Fain; and Jose Suarez, a Florida businessman, to VMI’s board. All three are alumni, according to their board bios.

Although the governor makes thousands of appointments to state boards and commissions, the has some control over the process and must vote to confirm appointments — which it typically does without much controversy. However, public universities’ boards have become hotbeds of controversy in recent years due mainly to political disputes.

Cuccinelli’s appointment was a lightning rod for some student and faculty critics at U.Va., who called for the legislature to deny him the board seat. In an open letter signed by more than a dozen student organizations and employee groups, opponents cited Cuccinelli’s “track record of undermining the rights and safety of marginalized groups,” as well as a probe he launched as attorney general into a professor conducting climate research at U.Va.

Meanwhile, Sen. Adam Ebbin, D-Alexandria, said Monday during the committee meeting that the eight nominees “are not good choices” for the three universities’ boards. He added that there has been a “disturbing pattern of conduct” on George Mason’s board since spring 2024.

“The previously civil climate at that university has devolved,” Ebbin said, adding that meetings have been punctuated by “demeaning exchanges, hostile questions, even rude personal taunts that have been documented on the internet.”

He added that President Gregory Washington, who is Black, was asked by a board member “how it would feel to hear, ‘Get a rope and hang them all’ invoked as free speech. Sadly, it appears that some of the visitors do not seem to be there for academic or even university governance purposes. They seem to be there … to disrupt and, if they can, to destroy.”

Although Ebbin did not name the George Mason board member who allegedly made the comment to Washington, the George Mason student newspaper reported in March that member Robert Pence, a businessman who was the U.S. ambassador to Finland during Trump’s first term, said similar words during a board discussion over a resolution regarding antisemitism amid widespread campus protests of the war in Gaza.

Sen. Aaron Rouse, who chairs the Senate Privileges and Elections committee and is seeking the Democratic nomination for lieutenant governor, called Cuccinelli “a Trump crony who is simply too extreme to have a role in shaping one of our commonwealth’s flagship universities” in a statement after the vote.

Letter to rectors

Sen. Scott Surovell, the Senate’s majority leader, sent a letter to the state’s 15 public university rectors on Monday that was provided to Virginia Business. It addresses the governance of Virginia’s public higher education institutions and refers to the Senate committee vote to reject the eight nominees.

“As you are aware, Virginia’s public universities operate under a framework established by the Code of Virginia and are subject to the ultimate authority and control of the of the Commonwealth of Virginia,” Surovell wrote. “It is important to understand that Virginia is currently and for the next six months will experience divided government. This means that governance of our universities is a shared exercise between coequal branches of government.”

Surovell added, “I am aware that the governor has advised his appointees that they are to follow his directives. The governor of Virginia, while an important partner in higher education policy, does not possess the authority to issue binding directives to boards of visitors regarding university operations, policies or governance decisions.”

He also wrote that the “people of Virginia expect and deserve board members who will act independently, thoughtfully and in the best interests of their respective institutions and the commonwealth,” and that if “any board of visitors fail to exercise appropriate independent judgment or allow external influences to compromise their fiduciary duties, the General Assembly will not hesitate to examine the situation and take whatever legislative action may be necessary to ensure proper governance and accountability.

“Finally, I remind you that … the Code of Virginia requires that all members of boards of visitors be confirmed by the General Assembly,” Surovell concluded. “The General Assembly takes this confirmation responsibility seriously and will not confirm individuals who do not possess the judgment, character or willingness to follow the principles articulated in this letter.”

Questioning process

Republican Sen. Glen Sturtevant defended the governor’s picks, saying, “There is nothing about any of these individuals that makes them unqualified to serve the commonwealth of Virginia in any of these positions. These are all highly qualified appointees.”

Sturtevant argued that the 15-member committee, which is controlled by eight Democrats, doesn’t meet the state’s constitutional standard in rejecting the governor’s appointees. Sturtevant suggested that a meeting of the joint subcommittee was required before this committee met: “There are steps in this process.”

Rouse responded to Sturtevant, saying that the committee had held sessions before to confirm “hundreds and hundreds” of Youngkin appointees without first holding a joint subcommittee meeting, and that the committee’s mission was to “provide accountability and oversight to our prestigious institutions to ensure that those bodies align with our values.”

Apple unveils software redesign while reeling from AI missteps, tech upheaval and Trump’s trade war

SUMMARY:

  • showcases and new features at .
  • No launch date announced for delayed Siri upgrade.
  • Analysts say Apple is refining, not reinventing, its platforms.
  • Apple’s stock slips amid investor concerns over AI lag and regulation.

CUPERTINO, Calif. (AP) — After stumbling out of the starting gate in Big Tech’s pivotal race to capitalize on , Apple tried to regain its footing Monday during an annual developers conference that focused mostly on incremental advances and cosmetic changes in its technology.

The presummer rite, which attracted thousands of developers from nearly 60 countries to Apple’s Silicon Valley headquarters, was more subdued than the feverish anticipation that surrounded the event during the previous two years.

Apple highlighted plans for more AI tools designed to simplify people’s lives and make its products even more intuitive while also providing an early glimpse at the biggest redesign of its software in a decade. In doing so, Apple executives refrained from issuing bold promises of breakthroughs that punctuated recent conferences.

In 2023, Apple unveiled a mixed-reality headset that has been little more than a niche product, and last year WWDC trumpeted its first major foray into the AI craze with an array of new features highlighted by the promise of a smarter and more versatile version of its virtual assistant, Siri — a goal that has hasn’t been achieved yet.

Apple had intended the planned Siri upgrade to herald its long-awaited attempt to become a major player in the AI craze after getting a late start in a phenomenon that so far has been largely led by OpenAI, Google, Microsoft and an array of cutting-edge startups.

“This work needed more time to reach our high-quality bar,” Craig Federighi, Apple’s top software executive, said Monday at the outset of the conference. The company didn’t estimate when its upgraded Siri would be completed.

“The silence surrounding Siri was deafening,” said Forrester Research analyst Dipanjan Chatterjee said. “No amount of text corrections or cute emojis can fill the yawning void of an intuitive, interactive AI experience that we know Siri will be capable of when ready. We just don’t know when that will happen. The end of the Siri runway is coming up fast, and Apple needs to lift off.”

The showcase unfolded amid nagging questions about whether Apple has lost some of the mystique and innovative drive that turned it into a tech trendsetter during its nearly 50-year history.

Instead of making a big splash as it did with the Vision Pro headset and its AI suite, Apple took a mostly low-key approach that emphasized its effort to spruce up the look of its software while also unveiling a new hub for its video games and new features like a “Workout Buddy” to help track physical fitness on its smartwatch.

Apple executives promised will make its software more compatible with the increasingly sophisticated computer chips that have been powering its products while also making it easier to toggle between the iPhone, iPad, and Mac.

“Our product experience has become even more seamless and enjoyable,” Apple CEO told the crowd as the 90-minute showcase wrapped up.

IDC analyst Francisco Jeronimo said Apple seemed to be largely using Monday’s conference to demonstrate the company still has blueprint for success in AI, even if it’s clearly going to take longer to realize the vision that was presented a year ago.

“This year’s event was not about disruptive innovation, but rather careful calibration, platform refinement and developer enablement —positioning itself for future moves rather than unveiling game-changing technologies,” Jeronimo said.

Besides redesigning its software. Apple will switch to a method that automakers have used to telegraph their latest car models by linking them to the year after they first arrive at dealerships. That means the next version of the iPhone operating system due out this autumn will be known as iOS 26 instead of iOS 19 — as it would be under the previous naming approach that has been used since the device’s 2007 debut.

The iOS 26 upgrade is expected to be released in September around the same time Apple traditionally rolls out the next iPhone models.

In an early sign that AI wasn’t going to be a focal point of this year’s conference, Apple opened the proceedings with a short video clip featuring Federighi speeding around a track in a Formula 1 race car. Although it was meant to promote the June 27 release of the Apple film, “F1” starring Brad Pitt, the segment could also be viewed as an unintentional analogy to the company’s attempt to catch up to the rest of the pack in .

While some of the new AI tricks compatible with the latest iPhones began rolling out late last year as part of free software updates, Apple still hasn’t been able to soup up Siri in the ways that it touted at last year’s conference. The delays became so glaring that a chastened Apple retreated from promoting Siri in its AI marketing campaigns earlier this year.

While Apple has been struggling to make AI that meets its standards, the gap separating it from other tech powerhouses is widening. Google keeps packing more AI into its Pixel smartphone lineup while introducing more of the technology into its search engine to dramatically change the way it works. Samsung, Apple’s biggest smartphone rival, is also leaning heavily into AI. Meanwhile, ChatGPT recently struck a deal that will bring former Apple design guru Jony Ive into the fold to work on a new device expected to compete against the iPhone.

Besides grappling with innovation challenges, Apple also faces regulatory threats that could siphon away billions of dollars in revenue that help finance its research and development. A federal judge is currently weighing whether proposed countermeasures to Google’s illegal monopoly in search should include a ban on long-running deals worth $20 billion annually to Apple while another federal judge recently banned the company from collecting commissions on in-app transactions processed outside its once-exclusive payment system.

On top of all that, Apple has been caught in the crosshairs of ‘s trade war with China, a key manufacturing hub for the Cupertino, California, company. Cook successfully persuaded Trump to exempt the iPhone from during the president’s first administration, but he has had less success during Trump’s second term, which seems more determined to prod Apple to make its products in the U.S.

The multidimensional gauntlet facing Apple is spooking investors, causing the company’s stock price to plunge by nearly 20% so far this year — a decline that has erased $750 billion in shareholder wealth. After beginning the year as the most valuable company in the world, Apple now ranks third behind longtime rival Microsoft, another AI leader, and AI chipmaker Nvidia.

Apple’s shares closed down by more than 1% on Monday — an early indication the company’s latest announcements didn’t inspire investors.

Amazon to spend $20B on data centers in Pennsylvania, including one next to a nuclear power plant

SUMMARY:

  • plans $20B investment in two .
  • One data center will connect directly to Susquehanna nuclear plant.
  • State to provide $10M for workforce training and job development.
  • reviewing power-sharing deal over “behind the meter” setup.

HARRISBURG, Pa. (AP) — Amazon said Monday that it will spend $20 billion on two data center complexes in Pennsylvania, including one it is building alongside a plant that has drawn federal scrutiny over an arrangement to essentially plug right into the power plant.

Kevin Miller, vice president of global data centers at Amazon’s subsidiary, Amazon Web Services, told The Associated Press that the company will build another data center complex just north of Philadelphia.

One data center is being built next to northeastern Pennsylvania’s Susquehanna nuclear power plant. The other will be in Fairless Hills at a logistics campus, the Keystone Trade Center, on what was once a U.S. Steel mill.

At a news conference in Berwick in the shadow of the power plant, Gov. called it the largest private sector investment in Pennsylvania’s history. He said Monday’s announcement is “just the beginning” because his administration is working with Amazon on additional data center projects in the state.

While critics say data centers employ relatively few people and pack little long-term job-creation punch, their advocates say they require a huge number of construction jobs to build, spend enormous sums at area vendors and generate strong tax revenues for local governments.

Shapiro touted the work that will keep construction trades members busy building Amazon’s data centers, the tech jobs that will be waiting for graduates of area colleges and the millions of dollars in property taxes that will flow to schools and local governments.

“For too long, we’ve watched as talents across Pennsylvania got hollowed out and left behind,” Shapiro said at the news conference. “No more. Now is our time to rebuild those communities and invest in them. This investment in Pennsylvania starts reversing that trend.”

Pennsylvania will provide millions of dollars, and possibly tens of millions, in incentives, typically a key element of data center deals as states compete for the large installations they hope will be an economic bonanza.

Shapiro’s administration said it would spend $10 million to pay for training classes and facilities at schools, community colleges and union halls to meet the skills demand for the data centers.

Amazon also will qualify for Pennsylvania’s existing sales tax exemption on purchases of data center equipment, such as servers and routers, an exemption that most states offer and that is viewed as a must-have for a state to compete.

The announcements add to the billions of dollars in Big Tech’s data center cash already flowing into the state.

Since 2024 started, Amazon has committed to about $10 billion apiece to data center projects in Mississippi, Indiana, Ohio and North Carolina as it ramps up its infrastructure to compete with other tech giants to meet growing demand for products.

The rapid growth of cloud computing and artificial intelligence has meanwhile fueled demand for energy-hungry data centers that need power to run servers, storage systems, networking equipment and cooling systems.

The majority owner of the Susquehanna nuclear power plant, Talen Energy, announced last year that it had sold its data center to Amazon for $650 million in a deal to eventually provide 960 megawatts. That’s 40% of the output of one of the nation’s largest nuclear power plants, or enough to power more than a half-million homes.

However, the arrangement between Talen and Amazon — called a “behind the meter” connection — has been held up by the Federal Energy Regulatory Commission in the first such case to come before the agency.

It has raised questions over whether diverting power to higher-paying customers will leave enough for others and whether it’s fair to excuse big power users from paying for the grid.

For Big Tech, plugging data centers directly into a power plant can take years off their development timelines and is a much faster route to procuring power than connecting to the congested electricity grid.

It’s not clear when FERC, which blocked the deal on a procedural grounds, will decide the matter, leaving in limbo regulatory treatment of the deal and others that likely would follow.

Already in Pennsylvania, Microsoft announced a deal with the owner of the shuttered Three Mile Island nuclear power plant to restart the reactor under a 20-year agreement to supply its data centers in four states with energy.

Meanwhile, the owners of what was once Pennsylvania’s biggest coal-fired power plant say they will turn it into a $10 billion natural gas-powered data center campus.

The US and China are holding trade talks in London after Trump’s phone call with Xi

SUMMARY:

  • U.S. and China held high-level in Monday.
  • A 90-day suspension of is currently in effect.
  • Rare earth exports and semiconductor tensions are key issues.
  • U.K. hosted talks but was not directly involved in negotiations.

LONDON (AP) — High-level delegations from the United States and China met in London on Monday to try and shore up a fragile truce in a trade dispute that has roiled the ,

A Chinese delegation led by Vice Premier He Lifeng held talks with U.S. Commerce Secretary Howard Lutnick, Treasury Secretary Scott Bessent and Trade Representative Jamieson Greer at Lancaster House, an ornate 200-year-old mansion near Buckingham Palace.

Wang Wentao, China’s commerce minister, also was part of Beijing’s delegation.

The talks, which may continue Tuesday, follow negotiations in Geneva last month that brought a temporary respite in the .

The two countries announced May 12 they had agreed to a 90-day suspension of most of the 100%-plus tariffs they had imposed on each other in an escalating trade war that had sparked fears of recession.

The U.S. and China are the world’s biggest and second-biggest economies. Chinese trade data shows that exports to the United States fell 35% in May from a year earlier.

Since the Geneva talks, the U.S. and China have exchanged angry words over advanced that power , visas for Chinese students at American universities and ” rare earth ” minerals that are vital to carmakers and other industries.

 spoke at length with Chinese leader by phone last Thursday in an attempt to put relations back on track. Trump announced on social media the following day that the trade talks would resume in London.

were expected to be a focus of the talks. The Chinese government started requiring producers to obtain a license to export seven rare earth elements in April. Resulting shortages sent automakers worldwide into a tizzy. As stockpiles ran down, some worried they would have to halt production.

Beijing indicated Saturday that it is addressing the concerns, which have come from European companies as well as U.S. firms.

Kevin Hassett, a U.S. economic adviser, told CNBC on Monday that he expected a short meeting with “a big, strong handshake” on rare earths.

The U.K. government says it is providing the venue and logistics but is not involved in the talks, though British Treasury chief Rachel Reeves met with both Bessent and He on Sunday, and U.K. Business Secretary Jonathan Reynolds was due to meet Wang.

“We are a nation that champions free trade and have always been clear that a trade war is in nobody’s interests, so we welcome these talks,” the British government said in a statement.

Precision Walls, Inc.

Randall Swift

Precision Walls Inc. (“PWI”) is proud to announce the promotion of Randall Swift from General Manager to Vice President of our Richmond, VA branch.

Randall joined Precision Walls as an intern in 2010 at our Raleigh, NC branch. After graduating from East Carolina’s Construction Management Program, he returned to our team in 2011 and spent the next 14 years advancing in various roles of increased responsibility, including Sales Manager, before moving to Richmond in 2021 to lead our Richmond branch team as General Manager. As Precision Walls continues its dedication to building strong customer relationships in the construction industry, Randall exemplifies being the partner that helps drive your job.

East Carolina University

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US stocks drift and Chinese markets rise as trade talks start between the world’s largest economies

SUMMARY:

  • U.S. and China resumed in to ease .
  • nears record as markets rebound quickly from April slump.
  • and IonQ rise after billion-dollar buyouts.
  • rebounds 4.6% after recent slump amid Musk-Trump fallout.

NEW YORK (AP) — U.S. stocks drifted through a quiet Monday as the world’s two largest economies began talks on trade that could help avoid a recession.

The S&P 500 edged up by 0.1% and is within 2.3% of its record, which was set in February. The Dow Jones Industrial Average slipped by 1 point, which is well below 0.1%, and the Nasdaq composite added 0.3%.

Officials from the United States and China met in London to talk about a range of different disputes that are separating them. The hope is that they can eventually reach a deal that will lower each’s punishing level of tariffs against the other, which are currently on pause, so that the flow of everything from tiny tech gadgets to enormous machinery can continue.

Hopes that President Donald Trump will lower his tariffs after reaching such trade deals with countries around the world have been among the main reasons the S&P 500 has rallied so furiously since dropping roughly 20% from its record two months ago. It’s back above where it was when Trump shocked financial markets in April with his wide-ranging tariff announcement on what he called “Liberation Day.”

This may be the shortest sell-off following a shock of heightened volatility on record, according to Parag Thatte, Binky Chadha and other strategists at Deutsche Bank. Typically, stocks take around two months to bottom following a spike in volatility and then another four to five months to recover their losses. This time around, stocks have basically made a round trip in less than two months.

But nothing is assured, of course, and that helped keep trading relatively quiet on Monday.

Some of the market’s biggest moves came from the announcement of big buyout deals. Qualcomm rallied 4.1% after saying it agreed to buy Alphawave Semi in a deal valued at $2.4 billion. IonQ, meanwhile, rose 2.7% after the quantum computing and networking company said it agreed to purchase Oxford Ionics for nearly $1.08 billion.

On the losing side of Wall Street was Warner Bros. Discovery, which flipped from a big early gain to a loss of 3% after saying it would split into two companies. One will get Warner Bros. Television, and other studio brands, while the other will hold onto , TNT Sports and other entertainment, sports and news television brands around the world, along with some digital products.

Tesla recovered some of its sharp, recent drop. The electric vehicle company tumbled last week as Elon Musk’s relationship with Trump broke apart, and it rose 4.6% Monday after flipping between gains and losses earlier in the day.

The frayed relationship could end up damaging Musk’s other companies that get contracts from the U.S. government, such as SpaceX. Rocket Lab, a space company that could pick up business at SpaceX’s expense, rose 2.5%.

All told, the S&P 500 rose 5.52 points to 6,005.88. The Dow Jones Industrial Average slipped 1.11 to 42,761.76, and the Nasdaq composite rose 61.28 to 19,591.24.

In stock markets abroad, indexes were modestly lower in Europe after rising across much of Asia.

Chinese markets climbed even though the government reported that exports slowed in May, growing 4.8% from a year earlier after jumping more than 8% in April. China also reported that consumer prices fell 0.1% in May from a year earlier, marking the fourth consecutive month of deflation.

Stocks rallied 1.6% in Hong Kong and rose 0.4% in Shanghai.

In the bond market, the yield on the 10-year Treasury eased to 4.48% from 4.51% late Friday. It fell after a survey by the Federal Reserve Bank of New York found that consumers’ expectations for coming inflation eased a bit in May.

That provides some relief for the Fed, which has been keeping its main interest rate steady as it waits to see how much Trump’s tariffs will raise inflation and how much they will hurt the economy. A persistent increase in expectations for inflation among U.S. households could drive behavior that creates a vicious cycle that only worsens inflation.

Economists expect a report coming on Wednesday to show inflation across the country accelerated last month to 2.5% from 2.3%.

Warner Bros. Discovery to split into two companies, dividing cable and streaming services

SUMMARY:

  • will split into two separate companies.
  • Streaming & Studios will include HBO, Max, and Warner Bros. films.
  • Global Networks will handle , TNT Sports, Discovery, and more.
  • The move follows industry losses from years of cord-cutting.

NEW YORK (AP) — Warner Bros. Discovery will calve off cable operations from its streaming service, creating two independent companies as the number of people “cutting the cord” brings with it a sustained upheaval in the .

HBO, and , as well as Warner Bros. Television, Warner Bros. Motion Picture Group, DC Studios, will become part of the streaming and studios company, Warner Bros. said Monday.

The cable company will include CNN, TNT Sports in the U.S., and Discovery, top free-to-air channels across Europe, and digital products such as the Discovery+ streaming service and Bleacher Report.

Shares jumped 11% at the opening bell.

Warner Bros. Discovery CEO will become serve as CEO of the company that for right now is called Streaming & Studios. Gunnar Wiedenfels, chief financial officer of Warner Bros. Discovery, will be CEO of the cable-focused entity, for now known as Global Networks.

“By operating as two distinct and optimized companies in the future, we are empowering these iconic brands with the sharper focus and strategic flexibility they need to compete most effectively in today’s evolving media landscape,” Zaslav said in a statement.

Just days ago Warner Bros. Discovery shareholders in a vote that was symbolic as it’s nonbinding, rejected the 2024 pay packages of some executives, including Zaslav, who will make more than $51 million.

Warner Bros. Discovery said in December that it was implementing a plan in which Warner Bros. Discovery would become the parent company for two operating divisions, Global Linear Networks and Streaming & Studios. That was seen as a preview of the separation announced Monday.

Warner Bros. Discovery was created just three years ago when AT&T spun off WarnerMedia and it was merged with Discovery Communications in a $43 billion deal.

The cable industry has been under assault for years from like , Netflix, and Warner Bros. own HBO Max. The industry is also being pressured by internet plans offered by mobile phone companies. Comcast, which is of nearly equal size to Charter, spun off many of its cable television networks in November, seeing so many customers swap out their cable TV subscriptions for streaming platforms.

Last month Charter Communications offered to acquire Cox Communications, a $34.5 billion merger that would combine two of the top three cable companies in the U.S.

So-called “” has cost the industry millions of customers and left them searching for ways to successfully compete.

The Warner Bros. Discovery split is expected to be completed by the middle of next year. It still needs final approval from the Warner Bros. Discovery board.

Navy, Dominion sign power agreement for Naval Weapons Station Yorktown

Leaders from the Naval Weapons Station Yorktown, which provides weapons and munitions support for the U.S. Navy, and signed an agreement Friday to explore the construction of a “reliable, resilient and responsible” energy source at the base.

The power generated would serve the installation and the surrounding community, according to a spokesperson for the Naval Weapons Station Yorktown. The types of energy sources that could be considered run the gamut from solar facilities to a natural gas power plant to a small modular nuclear reactor, according to a news release received Sunday from the weapons station.

Ed Baine, president of Dominion Energy Virginia, stated Friday that the company will look at sites on or near Navy property for a new power generation asset to maximize land use and infrastructure, the news release stated.

“The men and women of our armed forces have never let this country down, and Dominion … will never let them down,” Baine said at the signing, according to the release. “Together we will build a stronger, more resilient future.”

Last year, Dominion Energy signed a similar agreement with Fort Gregg-Adams, a U.S. Army garrison located near Petersburg. A spokesperson for Dominion Energy did not immediately respond to a request for comment.

The Virginia Department of Energy announced in October that four of seven locations being considered by the Navy for potential shore-based sites are in Virginia. Those sites under consideration are: Naval Air Station Oceana, Naval Support Activity South Potomac, Naval Weapons Station Yorktown and Marine Corps Base Quantico.

Last week, the Board of Supervisors approved a resolution to study possible amendments to its code regarding small modular nuclear reactors. Currently, there are no land use regulations for those facilities.

In October, Amazon.com and Dominion Energy Virginia entered into an agreement to explore potential development of small modular nuclear reactors at North Anna Power Station in Louisa County.

Naval Weapons Station Yorktown is the largest employer in York County. More than 2,400 active duty service members, 1,100 U.S. Department of Defense civilian employees and 530 contractors work at the base, according to the spokesperson.