Kia Motors' union in South Korea approves tentative labour deal

SEOUL (Reuters) - South Korean workers for Kia Motors Corp have agreed to a freeze in base salary for the first time in 11 years under a preliminary deal with the automaker following 16 rounds of negotiations, a union official said on Tuesday.

© Reuters/KIM HONG-JI FILE PHOTO: 

The logo of Kia Motors is seen during the 2019 Seoul Motor Show in Goyang

Instead of a raise in base salary, each unionised worker would receive a one-time bonus of 150% of their monthly base pay, as well as an incentive worth 1.20 million won ($1,095) and a gift card worth 1.30 million won, the official said.

Kia also offered to restore a 25-minute overtime pay system which was scrapped in 2017, but it rejected proposals to raise the retirement age by five years to 65. (USUALLY THE BOSSES ASK FOR THIS NOT THE UNION)

Union members had voted in favour of the preliminary labour deal, the union official told Reuters. The vote came after union negotiators reached a tentative agreement with Kia Motors last week.

The union said in a statement that about 58.6% of members approved the salary agreement, while about 42.3% rejected the terms.

The two sides have had 16 rounds of negotiations since August and workers have staged several partial strikes since Nov. 25, costing the automaker about 30,000 vehicles in lost production, according to analysts' estimates.

In September, Kia's bigger affiliate Hyundai Motor Co and its South Korean union approved a tentative wage deal, marking a second consecutive year without a strike.

($1 = 1,095.4700 won)

(Reporting by Heekyong Yang; editing by Stephen Coates and Jason Neely)

Experts who wrestled with SolarWinds hackers say cleanup could take months - or longer

"There's a lot of time, treasury, talent and Mountain Dew that's involved" 

© Reuters/SERGIO FLORES FILE PHOTO: Exterior view of SolarWinds headquarters in Austin

WASHINGTON (Reuters) - Cybersecurity expert Steven Adair and his team were in the final stages of purging the hackers from a think tank's network earlier this year when a suspicious pattern in the log data caught their eye.

The spies had not only managed to break back in – a common enough occurrence in the world of cyber incident response – but they had sailed straight through to the client's email system, waltzing past the recently refreshed password protections like they didn't exist.

"Wow," Adair recalled thinking in a recent interview. "These guys are smarter than the average bear."

It was only last week that Adair's company - the Reston, Virginia-based Volexity - realized that the bears it had been wrestling with were the same set of advanced hackers who compromised Texas-based software company SolarWinds.

Using a subverted version of the company's software as a makeshift skeleton key, the hackers crept into a swathe of U.S. government networks, including the Departments of Treasury, Homeland Security, Commerce, Energy, State and other agencies besides.

When news of the hack broke, Adair immediately thought back to the think tank, where his team had traced one of the break-in efforts to a SolarWinds server but never found the evidence they needed to nail the precise entry point or alert the company. Digital indicators published by cybersecurity company FireEye on Dec. 13 confirmed that the think tank and SolarWinds had been hit by the same actor.

Senior U.S. officials and lawmakers have alleged that Russia is to blame for the hacking spree, a charge the Kremlin denies.

Adair – who spent about five years helping defend NASA from hacking threats before eventually founding Volexity – said he had mixed feelings about the episode. On the one hand, he was pleased that his team's assumption about a SolarWinds connection was right. On the other, they had been at the outer edge of a much bigger story.

A big chunk of the U.S. cybersecurity industry is now in the same place Volexity was earlier this year, trying to discover where the hackers have been and eliminate the various secret access points the hackers likely planted on their victims' networks. Adair's colleague Sean Koessel said the company was fielding about 10 calls a day from companies worried that they might have been targeted or concerned that the spies were in their networks.

His advice to everyone else hunting for the hackers: "Don't leave any stone unturned."

Koessel said the effort to uproot the hackers from the think tank - which he declined to identify - stretched from late 2019 to mid-2020 and occasioned two renewed break-ins. Performing the same task across the U.S. government is likely to be many times more difficult.

"I could easily see it taking half a year or more to figure out - if not into the years for some of these organizations," Koessel said.

Pano Yannakogeorgos, a New York University associate professor who served as the founding dean of the Air Force Cyber College, also predicted an extended timeline and said some networks would have to be ripped out and replaced wholesale.

In any case, he predicted a big price tag as caffeinated experts were brought in to pore over digital logs for traces of compromise.

"There's a lot of time, treasury, talent and Mountain Dew that's involved," he said.

(Reporting by Raphael Satter; Editing by Andrea Ricci)

Study: As pot rules relax, more U.S. teens driving while stoned

IT'S HARD TO DRIVE WHILE GIGGLING

America's roads are notoriously unsafe on New Year's Eve, and a new study shows that marijuana legalization could be making the situation even worse.

Almost half of teenagers who regularly use pot admit they've gotten behind the wheel while stoned, a new study in JAMA Network Open reveals.

Overall, twice as many teens report driving under the influence of marijuana than admit to drinking and driving, according to results drawn from a federal survey on youth risk behaviors.

Nearly 13% of teen drivers said they'd operated a vehicle while stoned within the past month, compared with 5% who said they drove drunk, the study says.

RELATED 12 million people drove while stoned in 2018

"Marijuana can impair cognitive abilities that are critical for safe driving," said lead researcher Dr. Motao Zhu, an associate professor of epidemiology at Ohio State University College of Public Health. "This is a serious issue that requires our attention."

The wave of marijuana legalization that has swept the United States has likely contributed to the problem by making pot easier than ever to obtain, Zhu said.

Two-thirds of states have passed laws that legalize marijuana use for either medicinal or recreational purposes.

RELATED Marijuana use by U.S. teens has increased tenfold since 1990s

"Definitely, there's more availability of marijuana from legal channels," Zhu said. "Maybe teens feel marijuana isn't as harmful as they thought in the past."

For the study, Zhu and his team analyzed responses from more than 6,800 students 14 or older who participated in the 2017 Youth Risk Behavior Survey. It's a nationwide survey conducted regularly by the U.S. Centers for Disease Control and Prevention.

More than 1 in 8 teen drivers who are casual pot users said they'd driven under the influence of marijuana in the past month, Zhu said.

RELATED Marijuana use doesn't increase conduct problems in teens

Among teens who regularly use marijuana, nearly 49% said they had driven while stoned, the survey showed.

Helen Witty, national president of Mothers Against Drunk Driving, said her organization has had to pivot in the face of marijuana legalization, to help teens and parents understand that it's not safe to drive while stoned.

"MADD has its work cut out for us, because the programs that we had for alcohol we are now adjusting for alcohol and marijuana, so that people are at least informed," she said.

RELATED Study examines ways U.S. teens use marijuana

Witty lost her 16-year-old daughter to a drunk-and-drugged driver in June 2000. Nevertheless, she's had students tell her to her face that they drive better when they are high.

That runs counter to evidence from earlier studies that show the risk of being involved in a crash can more than double following marijuana use, according to the U.S. National Institute on Drug Abuse.

"Impairment is impairment," Witty said. "You're having a hard time focusing. You're having a hard time staying in the lane. There's all kinds of spatial disparity -- you might think something is farther away when it isn't. You may be speeding and have no idea you're speeding."

All the critical skills that you need to drive are affected, she added, "especially when it's the two drugs, alcohol and marijuana, together."

There's no rapid test that police can use to determine marijuana intoxication, as the breathalyzer does for drinking, Zhu said.

But old-school touch-your-nose and walk-the-line tests remain useful in ferreting out impaired drivers, Witty said.

"There's no standard for impairment, but a person who is impaired on marijuana, they usually will fail the roadside test," she said.

Witty said she was particularly disturbed that the study showed both boys and girls are driving under the influence of pot at roughly equal rates.

"It used to be there was a greater prevalence of young men using marijuana and driving, and now we're seeing that there's no statistical difference," Witty said. "It used to be a greater difference between the two genders."More information

The U.S. National Institute on Drug Abuse has more about driving while stoned.

Copyright 2020 HealthDay. All rights reserved.

upi.com/7064169

Michigan establishes $641M fund for Flint water crisis settlement



Michigan Gov. Gretchen Whitmer signed two bills into law on Wednesday approving the establishment of a $641 million trust fund to deliver settlement money to residents affected by the Flint water crisis. File Photo by Molly Riley/UPI | License Photo


Dec. 30 (UPI) -- Michigan Gov. Gretchen Whitmer on Wednesday approved the creation of a trust fund to distribute a $641 million settlement to residents affected by the Flint water crisis.

Whitmer signed a pair of bills passed by the state Senate creating the Flint Settlement Trust Fund, which authorizes the state to issue bonds to cover its $600 million share of the settlement.

The settlement includes $20 million from the city of Flint, $20 million from the McLaren Regional Medical Center and $1.25 million from the Rowe Professional Services Co., which will be repaid through an annual $35 million appropriation over the next 30 years.

In August, the state reached the settlement over the crisis that began in 2014 when Flint changed its water source from treated Lake Huron and Detroit water to water from the Flint River treated at the Flint Water Treatment Plant. In the process, officials failed to apply corrosion inhibitors leading to aging pipes leaching lead into the water supply, exposing residents to toxic contamination.

The settlement includes hundreds of millions of dollars for a victim compensation fund with nearly 80% of the payments going to residents who were under age 18 at the time of the crisis, since they are especially vulnerable to toxic effects of lead that can impact brain development and a designated $12 million fund to provide special education for students who suffer health and behavioral effects from lead poisoning.

On Wednesday, Whitmer said the legislation represented a bipartisan effort to help move toward helping the people of Flint heal.
"What happened in Flint should never have happened," she said. "From my first month in office, Attorney General Dana Nessel and I made it clear to our teams that even though we inherited this situation, it was our responsibility to achieve the best possible settlement for the children and families of Flint. While this settlement manever be enough to compensate for what happened, it is a major step toward helping the people of Flint heal."

U.N.: Trump's Blackwater pardons violate International law, affront to justice


Experts with the United Nations chastised pardons President Donald Trump gave last week to four Blackwater contractors who were convicted of killing 14 civilians in Iraqi in 2007. 

Photo by Oliver Contreras/UPI | License Photo

Dec. 30 (UPI) -- President Donald Trump's pardon last week of four former Blackwater Worldwide military contractors convicted of killing 14 Iraqis in 2007 violates U.S. obligations under international law, experts with the United Nations said Wednesday in urging member states to condemn the presidential action.

"Pardoning the Blackwater contractors is an affront to justice and to the victims of the Nisour Square massacre and their families," said Jelena Aparac, the chair-rapporteur of the U.N. Working Group on the use of mercenaries that issued the statement.

Nicholas Slatten was convicted of first-degree murder and Paul Slough, Evan Liberty and Dustin Heard were convicted of voluntary and attempted manslaughter by U.S. courts in 2015 for their involvement in the 2007 shooting in Nisour Square that left 14 civilians dead and 17 wounded. Slatten was sentenced to life while the other three received at least 12-year-imprisonment orders.

On Dec. 22, Trump pardoned the four former contractors and justified it by questioning the merits of the Justice Department's prosecution.

The five independent U.N. experts on Wednesday said on top of violating U.S. obligations under international law, the pardons undermine humanitarian law and international human rights.

"Ensuring accountability for such crimes is fundamental to humanity and to the community of nations," Aparac said. "Pardons, amnesties or any other forms of exculpation for war crimes open doors to future abuses when states contract private military and security companies for inherent state functions."

The working group said it is "extremely concerned" that by permitting contractors to operate with impunity other nations will seek to circumvent international humanitarian law.

Despite Trump saying the pardons were "broadly supported by the public," those abroad, including family members of the victims, and those at home condemned them.

Sen. Ben Sasse, R-Neb., said, "this is rotten to the core."

Retired Gen. David Petraeus, former head of U.S. Central Command, and Ryan Crocker, former ambassador to Iraq, said in a joint statement that the pardons tell the world "Americans abroad can commit the most heinous of crimes with impunity."

"It places our military and civilian personnel at increased risk and it betrays our most fundamental values," the pair said. "American prestige, credibility and security have all been seriously undermined."
 

LIVE FREE OR DIE STATE

N.H. Gov. Sununu cancels inauguration ceremony citing anti-mask protests

(YES, IT'S RULED BY THE OLD FAMILY COMPACT)


New Hampshire Gov. Chris Sununu canceled the state's outdoor inaugural ceremony due to armed protesters that have gathered outside of his home. Photo by Rich Girard/Wikimedia Commons


Dec. 30 (UPI) -- New Hampshire Gov. Chris Sununu on Wednesday canceled the state's inaugural ceremony citing concerns over armed anti-mask protests.

In a statement, Sununu, a Republican, said he and the executive council will be sworn in Jan. 7 during a small ceremony attended by leaders of both houses of the legislature and attended by other members virtually, instead of holding an outdoor ceremony.

"My first responsibility is ensuring the safety of my family and our citizens," he said. "For weeks, armed protesters have increasingly become more aggressive, targeting my family, protesting outside my private residence and trespassing on my property -- an outdoor public ceremony simply brings too much risk. We do not make this decision lightly but it is the right thing to do."

Protesters have gathered outside of Sununu's home for weeks opposing a mask mandate requiring all people above the age of 5 to wear face covering when they are unable to remain 6 feet away from people from outside their households through Jan. 15.

RELATED New Hampshire House Speaker Richard Hinch dies of COVID-19

On Monday, one person was arrested and nine people were fined $100 after a protest outside the governor's home.

Brennan Christen, one of the organizers of the protests, accused Sununu of misleading the public, saying none of the protesters had ever "open-carried" a firearm outside of the governor's home.

Christen also suggested that Sununu canceled the inauguration after groups opposing the mask mandate had received commitments from about 1,000 people to protest the inauguration.

RELATED Congressman-elect Luke Letlow of Louisiana dies from COVID-19

New Hampshire Democratic Party Chairman Raymond Buckley condemned the protesters, lamenting that they had forced the cancelation of the ceremony.

"While I understand the very real concern, it is a truly sad situation when our elected officials need to even think about such a decision due to a small group of truly unhinged gun-toting citizens," he said. "Reasonable people across the state need to rise up against these bullies and say 'enough.'"

PETULA CLARK IS STILL ALIVE

Records say Nashville PD alerted to bomb-making a year before attack


According to a Metro Nashville Police Department report, officials investigated a report that Anthony Quinn Warner was making explosives more than a year before he detonated a suicide bomb in the city's downtown area last Friday. 

Photo courtesy Nashville Fire Department | License Photo


Dec. 30 (UPI) -- The girlfriend of a suicide bomber who detonated his RV in downtown Nashville on Christmas Day alerted police he was making explosives inside the vehicle more than a year before the attack, police records indicate.

The records -- obtained by The Tennessean and WSMV-TV on Wednesday-- showed that Anthony Quinn Warner's girlfriend told police in August 2019 that she feared for his safety and that he "frequently talks about the military and bomb making."

Nashville police identified Quinn as the man who drove an RV into downtown Nashville and detonated a bomb inside last Friday, damaging dozens of businesses and killing himself. Police were able to evacuate most people from the area before the explosion, though eight were injured.

After the bombing, the Tennessee Bureau of Investigation said Quinn was "not on our radar," but the police documents showed the Metro Nashville Police Department and FBI both investigated the 2019 tip from his girlfriend.

RELATED Nashville police release bodycam footage of Christmas RV bombing

The police report indicates Warner's lawyer, Raymond Throckmorton III, alerted them that his client's girlfriend had made suicidal remarks over the telephone. When they arrived at her home, she was sitting on the porch and had two unloaded firearms with her.

She told police she didn't want the guns, which belonged to Warner, in her home any longer and that she didn't feel safe. She also told them that Warner was building a bomb in an RV on his property.

The police report said the woman was taken by ambulance for a psychological evaluation because she was experiencing a mental health crisis.

RELATED CCTV footage shows RV explosion in downtown Nashville

Police then went to Warner's residence, but he didn't answer the door. They observed the RV on his property, but couldn't get close to it because of a fence. Warner later refused to allow police onto his property.

Nashville police alerted the FBI about their investigation and asked for a background check, which found no records.

"They saw no evidence of a crime and had no authority to enter his home or fenced property," MNPD spokesman Don Aaron told The Tennessean.

"At no time was there any evidence of a crime detected and no additional action was taken. No additional information about Warner came to the department's or the FBI's attention after August 2019."

The FBI has been investigating the Christmas Day bombing, but was expected to hand the case over to Nashville police on Wednesday, police representatives told WSMV. Officials said the street where the bombing took place, Broadway, was expected to reopen Wednesday, as well.

Meanwhile, British singer Petula Clark said Tuesday she was shocked to hear that the rigged RV played her song "Downtown" over speaker before the explosion. In addition to the song, the RV played a message saying it would detonate in 15 minutes, giving police time to evacuate the area before the blast.

"I feel the need to express my shock and disbelief at the Christmas Day explosion in our beloved Music City. I love Nashville and its people. Why this violent act -- leaving behind it such devastation?" Clark posted on Facebook.

"A few hours later -- I was told that the music in the background of that strange announcement -- was me -- singing "Downtown"! Of all the thousands of songs -- why this one?"

Clark said she wanted to "wrap my arms around Nashville" and "give you all a hug."

CRIMINAL CAPITALI$M

Samsung's de facto chief says he's 'sorry' amid bribery retrial

South Korean prosecutors are seeking a nine-year sentence for Samsung Electronics vice chairman Lee Jae-Yong, in connection to bribes involving Choi Soon-sil, an acquaintance of former President Park Geun-hye. File Photo by Yonhap/EPA-EFE

Dec. 30 (UPI) -- Samsung Electronics vice chairman Lee Jae-Yong apologized during a bribery retrial for "debts owed" to the South Korean people, as local prosecutors seek a nine-year prison sentence for the de facto chief of Samsung Group.

Lee, who faced charges of stock manipulation in September and buried his father Lee Kun-hee in October, said Wednesday he has "received the most benefits" of society, MoneyToday reported. Lee is the richest man in the country by stock value.

Lee's bribery retrial comes after several court hearings that began in 2017, following the impeachment of former South Korean President Park Geun-hye.

Lee was sentenced to five years in prison that year for paying $27.4 million worth of bribes to receive under-the-table government assistance in securing control of Samsung Group from his father. In South Korea, family-controlled groups increasingly have come under fire for the practice of passing power to heirs.

Lee received a reduced and suspended prison sentence in 2018, but in 2019, South Korea's Supreme Court overturned the ruling, citing other bribes Lee used to curry favor with Choi Soon-sil, a powerful acquaintance of Park who was jailed 20 years for corruption.

Wednesday's retrial is revisiting allegations against Lee, who said he was "confused" after meeting with Park, according to Yonhap.

His father, Samsung chairman Lee Kun-hee, had collapsed at the time.
RELATED South Korea surpasses neighbors in migrant integration, data show

"I would never have acted like that," Lee Jae-yong said Wednesday.

South Korean prosecutors said the powers of Samsung must be reined in.

"Samsung is a group with overwhelming power, to the extent that people say our nation's businesses are either Samsung or non-Samsung," prosecutors said.

"For our society's wholesome development, Samsung's position is such that it should demonstrate a firm stance against corruption and set an example."

The Samsung heir ranks ahead of Chung Mong-koo, chairman of Hyundai Motor Group, in terms of stock value, local news network YTN reported Wednesday. Lee's shares in his company are worth $8.9 billion.

Samsung leader Jay Y. Lee vows change in graft trial's final hearing

© Reuters/KIM HONG-JI FILE PHOTO: 

Samsung Group heir Jay Y. Lee arrives at a court in Seoul

SEOUL (Reuters) - Samsung Electronics Co Ltd Vice Chairman Jay Y. Lee told a Seoul court on Wednesday he would "make a new Samsung" in the final hearing of a trial that will decide whether he returns to jail for alleged bribery.

The heir of one of South Korea's most powerful families was convicted of bribing an associate of former President Park Geun-hye and jailed for five years in 2017.

That sentence was reduced and suspended on appeal and he served just one year in jail before being freed in 2018.

A subsequent Supreme Court ruling sent the matter back to the Seoul High Court, which must now decide on a new sentence. The decision is scheduled for Jan. 18.

"Samsung has been running without looking back but I missed something vital. Although it became Korea's leading company, the importance of its social role, responsibility and public trust was overlooked," Lee said reading a statement in court, dressed in a dark suit and grey tie.

"Now Samsung will be different. I'll be the first to change... No matter what happens, I will never do anything to pursue my personal interests. I will raise the value of the company and focus on social contributions, fix what the court has pointed out as the harms of chaebol," he said.

South Korea’s big family-run conglomerates, or chaebol, are credited with helping raise the country out of poverty following the Korean War but have been criticised for wielding too much power preserved in part through elaborate internal cross-shareholdings.

Lee shed tears when talking about the memory of his deceased father, saying he wanted to do his filial duty by making "a new Samsung" that is sustainable and has "a thorough compliance system that can resist undue outside pressure".

While not the only legal challenge Lee is dealing with - he is also on trial for alleged fraud and stock price manipulation - the bribery case is the biggest immediate threat to his leadership of Samsung Electronics.

Lee, 52, has been the de facto head of Samsung Electronics since his father Lee Kun-hee was hospitalised in 2014. The elder Lee passed away in October but his role as chairman has yet to be filled.

A return to jail could see the younger Lee sidelined from major decisions at the smartphone-to-semiconductor giant, at a time when the family needs to raise funds to pay a hefty inheritance tax bill and potentially juggle equity stakes in key affiliates to shore up its control.

How much more jail time Lee serves, if any, will partly depend on the court's evaluation of the work of an independent compliance committee set up by Samsung earlier this year.

The committee, headed by a former Supreme Court judge, was established in January to monitor wrongdoing by executives.

Prosecutors sought a nine-year jail term for Lee, saying that defendants, including Lee, "did not show passive resistance" to former President Park's unlawful demands.

Lee's lawyers said Lee had gained nothing in this case while the country's former president violated corporate freedom and property rights by abusing her "imperial status and authority".

Under South Korean law, a jail term of three years or less can be suspended; for longer sentences, the person must serve out the term barring a presidential pardon.

(Reporting by Joyce Lee; editing by Gerry Doyle and Jason Neely)

THAT WAS 2020

These People Made Tons Of Money 

In 2020 As The World Fell Apart

If you still need proof that the world is built for the wealthy to succeed, just take a look at how fortunes diverged this year.

Venessa Wong BuzzFeed News Reporter
Posted on December 27, 2020

BuzzFeed News / Getty Images

As millions of Americans end 2020 sick, jobless, hungry, indebted, or at risk of losing their homes, it’s unimaginable that at the other end of the spectrum, the wealthy, shielded from much of this misfortune, became even richer this cursed year.

But this is the reality of 2020. The same forces that made this year so awful for most people helped a select few add immense wealth.

As more than 20 million people were receiving unemployment benefits and Congress held back too long on passing a second round of stimulus, American billionaires’ wealth had increased by $931 billion by the fall — more than the entire economy of the Netherlands. This divergence underscores just how drastically financial, political, and corporate systems are built to benefit those who already have so much, even in times of widespread loss, and exclude the have-nots. People with money, assets, and stocks saw their wealth and savings rise this year while those excluded from the year’s stock market rally were too often left in dire circumstances; some tech companies powered by low-paid contract labor thrived while their workers became sick or injured; and the widespread collapse of small businesses bolstered the success of competitors with greater access to resources and capital.

Meanwhile, existing economic structures almost ensure that the benefits of any financial recovery next year will continue to be spread unequally without some deliberate intervention. “Looking ahead to the next decade, investors face a world that is more indebted, more unequal,” according to a report by UBS. While top-line metrics about an improving economy will capture all the wealth held by the richest, it is important not to overlook the fallout experienced on the other side.

Consider, for example, who has benefited during the pandemic so far and who has lost.




Samuel Rigelhaupt / Sipa USA via Getty Images, Smith Collection / Getty Images

Left: Grubhub delivery bicycles in Manhattan. Right: A restaurant in California advertises its DoorDash delivery option.

It’s hard to imagine food delivery companies thriving when their partner businesses — restaurants — are hanging by a thread, but that is how things have shaken out.

Delivery services like Grubhub and DoorDash saw a huge jump in demand as shelter-in-place orders were issued around the country and restaurants were forced to close or limit indoor dining capacity. Small, local restaurants struggling to survive the pandemic turned to these services as a lifeline, despite unsustainably being charged high fees and commissions for orders placed through these platforms. Low-paid “gig workers” delivering for these companies were arrested and assaulted during the pandemic. 

“We have experienced strong growth in both new consumers and increased orders from existing consumers” during the pandemic, DoorDash stated in a company filing. The company is not profitable, but its revenue more than tripled during the first nine months of 2020 compared to the same period a year ago. This trend fueled DoorDash’s successful IPO this month, making billions for executives including CEO Tony Xu. DoorDash listed at $102 on Dec. 9 and ended the day with shares up 85%. As Wall Street enjoyed this windfall, 100,000 small businesses have closed so far.

A DoorDash spokesperson said, “Our three founders are also deciding how they want to personally give back to their communities and are each finding their own ways to do so.” She added the company has committed over $200 million to help restaurants and local communities.


Mandel Ngan / AFP via Getty Images

Jeff Bezos

Amazon shareholders have been among the biggest beneficiaries of the pandemic as brick-and-mortar stores shut down; Amazon workers less so.

In the first nine months of the year, as local businesses around the country went out of business, Amazon’s profit increased by about 70% to $14.1 billion. “Prime members continue to shop with greater frequency and across more categories than before the pandemic began,” an Amazon executive told investors. The company’s rising stock price, which has nearly doubled since March, helped CEO Jeff Bezos’ net worth rise by $74 billion this year to nearly $190 billion. Meanwhile, about 20,000 Amazon employees have tested positive for COVID-19, and thousands of workers protested for higher pay, paid sick leave, and better protections during the pandemic.

The company has said it spent $750 million in additional pay for its front-line workforce, $500 million on a thank you bonus earlier this year, and established a $25 million relief fund for workers facing financial hardship or quarantine. Bezos has made donations this year as well, including $791 million to fight climate change, and $100 million to Feeding America.


Mykal Mceldowney / Reuters

The Tyson Fresh Meats plant in Logansport, Indiana.

Food companies continued to produce meat despite outbreaks of the coronavirus at their processing plants.

Tyson, for example, which makes chicken, beef, and pork, saw profits rise this last fiscal year to $2.15 billion while thousands of its workers tested positive for COVID. Tyson did not immediately respond to a request for comment.

A Walmart store in North Bergen, New Jersey.

View Press / Getty Images

Walmart’s revenue increased 6.5% to $407 billion from February to October compared to a year ago, with considerable growth in e-commerce, and its profit was up by about 45% — but many employees still lost their jobs.

The company laid off hundreds of corporate workers “in units including store planning, logistics, merchandising and real estate,” Bloomberg reported in July. Walmart also recently confirmed it will lay off 1,200 people in Arkansas and New Jersey in January as part of a reorganization. The company said it has hired 500,000 new associates since March across its stores and supply chain locations to meet demand. The company said in a statement that it has issued $2.8 billion in special bonuses this year, offered paid leave for workers affected by COVID-19, and increased the starting salary for some positions.


Andrew Harnik / AP

Moderna CEO Stéphane Bancel

Some pharmaceutical companies developing COVID-19 vaccines have pledged not to profit from the pandemic (like Johnson & Johnson and AstraZeneca) — but not all.

Moderna struck a $1.5 billion deal with the US for 100 million doses of the vaccine, which it also developed with $955 million from the government, bringing the government’s total investment to $2.48 billion. Pfizer developed its vaccine without government funding and reached a nearly $4 billion deal for the purchase of 200 million doses. Both companies stand to make billions from the vaccine, which has drawn criticism. Stéphane Bancel, CEO of Massachusetts-based Moderna, gained $4.8 billion in wealth this year as the biotech company’s share price skyrocketed. Neither Moderna nor Pfizer responded to requests for comment.


Mike Blake / Reuters

UnitedHealth Group offices in Santa Ana, California.

As people were not getting routine and elective medical care during the pandemic, insurers saw their profits rise.

For example, UnitedHealth, the country’s largest insurer by members, reported an increase in net earnings of 27% to $13.4 billion in the first nine months of the year. The company’s share price has increased dramatically since March. A spokesperson for UnitedHealth said, “We have taken a number of steps to support those we serve, our employees, their families, our communities and the broader health care system. You can find a summary of those actions here.” As insurers continued to pay out fewer claims for care while collecting premiums, some people also reported trouble getting their COVID-19 tests covered — during a pandemic. It’s possible the insurance heyday may draw to an end if the economy doesn’t improve, however, with United warning that rising unemployment could reduce revenue from employer-sponsored plans next year.


Tami Chappell / Reuters

Equifax corporate offices in Atlanta.

Credit bureaus — companies that gather data about you and determine your credit score for lenders — are also doing well as inequality widened during the pandemic, with the wealthy spending their money while others lost their jobs.

Consider Equifax: On one end, Equifax has benefited from the 2020 homebuying spree. The company offers specialized credit reports to mortgage lenders, and its US mortgage revenue from the summer was up by almost 90%, Equifax CEO told investors. On the other end of the spectrum, the company also offers employers services such as unemployment claims management. The rise in joblessness was a boon to the company — with so many people newly out of work, Equifax’s unemployment insurance claims business earned $50 million in revenue in the third quarter, up by over 70%, Equifax CEO told investors. The data Equifax gets about people from such employer services has been valuable to lenders this year too, as recent pay cuts and furloughs do not immediately impact a person’s credit score, but do impact their ability to borrow. “Data is valuable in all times. But during this COVID crisis, it's become increasingly valuable,” the CEO said at a conference. Equifax did not immediately respond to a request for comment.


Jessica Mcgowan / Getty Images


Sen. Kelly Loeffler

The stock trades of wealthy politicians drew scrutiny this year when a number made transactions based on suspected access to privileged information.

The Justice Department did not pursue insider trading charges against Sens. Kelly Loeffler, James Inhofe, and Dianne Feinstein after its investigation did not find sufficient evidence that they had done anything illegal. The lawmakers all sold large amounts of stock, worth hundreds of thousands to millions, before the stock market crashed in the spring. Prolific trading by Sen. David Perdue has also raised eyebrows, as have trades by Sen. Richard Burr. As Fortune points out: “Although some suspicious trading activities have been widely condemned, the fact that no member of Congress has been prosecuted under the STOCK Act reveals the challenge in proving illegal insider trading by elected politicians. Those accused of such activity often claim that their transactions are based on public information or are managed by independent trusts. The difficulty arises from the lack of clarity in US securities law; indeed, years of legal practice in this area suggest that the boundaries of illegal insider trading are difficult to define. The fact is that the law ultimately fails to deter members of Congress from allegedly engaging in such activities.” All of the politicians deny any wrongdoing.



Amr Alfiky / Reuters


A JP Morgan Chase Bank in Manhattan.

And while Congress sat on its hands instead of passing a second round of stimulus, the government paid banks billions of dollars in fees for processing PPP loans to businesses that were impacted by the pandemic.

Banks say the cost of handling PPP loans will wipe out any potential profit from the fees they’re receiving, and Bank of America, JPMorgan, Citibank, and Wells Fargo pledged not to profit from the program, the New York Times reported. While banks have laid off thousands of workers this year, overall they have remained profitable despite ongoing economic uncertainty that may affect banking customers’ ability to repay loans. They continued to pay dividends to investors and will also be able to resume stock buybacks soon, which have been criticized for enriching “shareholders, generally wealthier Americans, at the expense of workers, new plants and research, and broader economic development,” according to the Wall Street Journal. Sen. Elizabeth Warren in October said these payouts would deplete banks’ “capital buffers at a time when they should be preserving them to support lending to households and small businesses.”

A spokesperson for JPMorgan said the company has “delayed payments and refunded fees for customers on over 2 million accounts,” provided $50 million in philanthropic support, helped “business clients secure more than $45 billion in new credit and $950mm in new loans for small businesses,” helped “corporate clients raise hundreds of billions in capital,” among other efforts.


Citi said in a statement, “Throughout this crisis, we have continuously supported our customers, clients and communities while maintaining strong capital and liquidity positions.”

These are just a few of the organizations that made money during the pandemic — and as the financial crisis continues to affect millions of people across the country, 2021 is looking set to be another banner year for inequality in America.

U.S. News // 7 hours ago

Dow Jones hits record high, rising for fourth session out of five

Dec. 30 (UPI) -- The Dow Jones Industrial Average climbed to a record close at 30,409.56 points after rising for four out of the last five sessions.

PERMANENT ARMS ECONOMY; GRIFTER GUN RUNNER

State Department approves possible $4.2B 

in weapons sales to Kuwait


A Patriot missile launcher sat Ali Al Salem Air Base, Kuwait, Nov. 20. 

Photo by Staff Sgt. Kenneth Boyton/U.S. Air Force



Dec. 29 (UPI) -- The State Department approved two possible arms sales to Kuwait totaling $4.2 billion Tuesday.

Per the larger of the two deals, for $4 billion, Kuwait's government has asked to buy 24 AH-64E Apache helicopters -- eight new and 16 remanufactured -- along with related equipment, according to the Defense Security Cooperation Agency.

The deal, if approved, would also include 22 T700-GE 701D engines, 36 remanufactured T700-GE 701D engines as well as support equipment, tools and test equipment, technical data and publications.

The deal lists six principal contractors, including Boeing, Lockheed Martin and General Electric.

Under the second possible deal, for $200 million, the United States would sell spare parts to upgrade Kuwait's Patriot missile systems.

The principal contractor for that deal, if it's approved, would be Raytheon.

The DSCA's rationale for both deals was the same: "The proposed sale will support the foreign policy and national security of the United States by helping to improve the security of a Major Non-NATO Ally that is an important force for political stability and economic progress in the Middle East."

The DSCA's announcement of the Patriot missile deal also notes that, the United States approves the sale, it would ensure Kuwait's systems continue to be interoperable with U.S. systems.

The helicopter deal, according to the DSCA, "will supplement and improve Kuwait's capability to meet current and future threats by enhancing Kuwait's close air support, armed reconnaissance, and antitank warfare mission capabilities."

In May the State Department approved a possible $425 million deal for work on Kuwait's Patriot missile system, and in July it approved a possible $59.6 million deal to sell various M1A2K training ammunition and related equipment to Kuwait.

BOMBS FOR YEMEN
State Dept. approves $300M bomb sale to Saudi Arabia


The Trump administration on Tuesday approved the sale of 3,000 Boeing-made GBU-39 Small Diameter Bomb I Munitions to Saudi Arabia. File Photo by Kevin Dietsch/UPI | License Photo

Dec. 29 (UPI) -- The Trump administration on Tuesday approved a possible $300 million arms sale to Saudi Arabia.

The State Department's Defense Security Cooperation Agency announced it has approved the sale of 3,000 Boeing-made GBU-39 Small Diameter Bomb I Munitions and related equipment to the ally Middle Eastern country for $290 million.

"This proposed sale will support U.S. foreign policy and national security objectives by helping to improve the security of a friendly country that continues to be an important force for political stability and economic growth in the Middle East," the statement said, adding "there will be no adverse impact on U.S. defense readiness as a result of this proposed sale."

The State Department said the munitions will increase Saudi Arabia's stock of long-range, precision air-to-ground munitions that will improve the nation's "capability to meet current and future threats."

President Donald Trump has sought to strengthen ties with Saudi Arabia as the kingdom implements new domestic and foreign policies, and last year he deployed additional troops and military equipment to the country amid an increase in attacks the United States blamed on Iran that targeted the kingdom, according to the Congressional Research Service.

In October, U.S. Secretary of State Mike Pompeo announced that the United States plans to sell arms to Saudi Arabia to combat Iranian aggression in the region.

Last week, The Washington Post, Bloomberg and The Hill reported citing unnamed sources that State Department officials have notified Congress of its intent to sell Saudi Arabia 7,500 Paveway air-to-ground so-called smart bombs for nearly $500 billion.

But the Trump administration has received push back for dealing with Saudi Arabia, particularly following the 2018 brutal death of Saudi journalist Jamal Khashoggi in the Saudi consulate in Turkey.

The Trump administration on Tuesday also approved a possible arms deal with Egypt worth $104 million and two possible deals worth $4.2 billion with Kuwait.