Deutsche Telekom explores full merger with T-Mobile US
Deutsche Telekom AG is considering a full merger with its U.S. subsidiary, T-Mobile US Inc., which could result in one of the largest public acquisitions in history, creating the world's largest wireless operator by market capitalization. Currently, Deutsche Telekom holds approximately 53% of T-Mobile US, which has a market capitalization of around $217 billion and serves approximately 86 million postpaid and 26 million prepaid customers. The merger would require political support in Berlin and Washington, as well as approval from the Federal Communications Commission for spectrum transfers.
Lufthansa cancels 20,000 flights to cut fuel costs
Deutsche Lufthansa announced the cancellation of 20,000 short-haul flights, primarily operated by its regional carrier CityLine, to achieve a 1% reduction in passenger capacity and save on jet fuel costs. The airline cited the doubling of jet fuel prices since the onset of the Iran conflict as a key factor in this decision, with the cancellations expected to reduce fuel consumption by approximately 40,000 metric tons.
Oil Supply Disruptions Drive Demand for Heavy Sweet Oil
Marine fuel blenders and refiners are actively seeking heavy sweet oil due to significant disruptions in oil supply routes caused by the ongoing conflict in Iran, which escalated following U.S.-Israeli strikes on February 28. Brent crude prices have surged over 55% since the start of the war, reaching nearly $120 a barrel, as Iranian military actions have halted energy exports from the Middle East and led to increased volatility in oil markets.
RTX and Northrop Grumman Boost Profit and Revenue Forecasts
RTX raised its profit and revenue forecasts, reporting an 8.7% year-on-year increase in sales to $22.08 billion and a 21% rise in adjusted earnings per share to $1.78 for the quarter, surpassing Wall Street estimates. Similarly, Northrop Grumman reported higher revenue, attributing its growth to rising global conflicts and increased military spending.
California AG Bonta Releases Emails in Amazon Antitrust Case
California Attorney General Rob Bonta has released internal emails as part of a 2022 antitrust lawsuit against Amazon, alleging that the company coerced vendors to raise prices across various online marketplaces. The documents indicate that Amazon pressured brands like Levi Strauss & Co. and Hanes to inflate prices on rival platforms such as Walmart and Chewy, effectively stifling competition and keeping consumer prices high. Amazon has disputed these claims, stating it will respond in court.
