Activist Elliott Bets $1.3B on SAP Profit Growth

Activist investor Elliott Management is adding its clout to the push for change at SAP, disclosing it has built up a 1.2 billion euro ($1.35 billion) stake in the German software giant.The disclosure came as SAP unveiled plans Wednesday to improve its performance with a focus on positioning the c...

By Matthew Heller • April 24, 2019

Apollo Adds French Stores to Grocery Assets

Private-equity firm Apollo Global Management has agreed to acquire a portfolio of 32 grocery stores from France’s Casino Group for 470 million euros ($529 million), extending a recent series of grocery business acquisitions.The stores include 12 Géant Casino hypermarkets and 20 Monoprix and Casin...

By Matthew Heller • April 23, 2019

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Tax policy shifts: What CFOs need to know to stay ahead

Discover how evolving tax policies are creating new opportunities and challenges for CFOs.

By CFO.com staff

The Key to Regional Investment: Understanding Complexity

A new regional investment fund focused on technology startups across Latin America is looking to take advantage of expectations that the region is poised for robust economic growth. At the same time, the fund is subject to weighty risks that face any initial entry to geographic markets.With fundi...

By David McCann • April 23, 2019

U.S. Housing Starts Fall to Near 2-Year Low

U.S. housing starts slipped to their lowest level in nearly two years in March, continuing a slowdown fueled by labor shortages and rising materials prices.The Commerce Department reported that housing starts fell 0.3% to a seasonally adjusted annual rate of 1.139 million units last month. It was...

By Matthew Heller • April 22, 2019

Campbell Soup to Sell Bolthouse Farms for $510M

Campbell Soup has agreed to sell its Bolthouse Farms business to private-equity firm Butterfly Equity for $510 million, completing its unwinding of a bet on fresh foods that didn’t pay off.Campbell had acquired Bolthouse, known for fruit juices and packaged carrots, in 2012 for about $1.55 billio...

By Matthew Heller • April 15, 2019

Fed Cited Sluggish Growth for Patience on Rates

The majority of U.S. Federal Reserve policymakers believe economic conditions warrant no further interest rate increases this year, according to the minutes of their March meeting.As Reuters reports, the Fed “pivoted abruptly at that meeting to a much-less aggressive posture,” agreeing to be “pat...

By Matthew Heller • April 11, 2019

U.S. Consumer Prices Jump 0.4% in March

U.S. consumer prices increased by the most in 14 months in March but the core measure slipped to its lowest level in a year, indicating inflation pressures remain muted.The Labor Department reported Wednesday that the Consumer Price Index rose 0.4%, boosted by increases in the costs of food, gaso...

By Matthew Heller • April 10, 2019

Wells Fargo to Sell Retirement Unit for $1.2B

Wells Fargo said Tuesday it had agreed to sell its retirement plan services business to Principal Financial for $1.2 billion as the bank continues to shed businesses in the wake of its fake-accounts scandal.As of Dec. 31, 2018, Wells Fargo’s Institutional Retirement & Trust division had $827 ...

By Matthew Heller • April 9, 2019

Oil Prices Jump on Risk of Libya Output Shortage

Global oil prices rose to a five-month high on Monday as the threat of a civil war in Libya added to uncertainties over supply.The possible disruption in oil supply from Libya — where rebel forces loyal to renegade General Khalifa Haftar based in the eastern part of the country have been advancin...

By Matthew Heller • April 8, 2019

Today’s Purpose for M&A: Gaining Digital Expertise

Last year was a big one for mergers and acquisitions. Many market forecasters point to an equally robust 2019.And who knows — maybe some of the deals will be big category-spanning moves like such recent ones as Amazon leaping into gourmet grocery stores through Whole Foods and AT&T striding d...

By David McCann • April 5, 2019

WTO Rebuffs Trump on ‘National Security’ Claims

In a decision with implications for the Trump administration’s global automobile tariffs, the World Trade Organization has ruled it does have the power to review whether a member nation has properly made national security claims.The Trump administration has said such claims are not subject to WTO...

By Matthew Heller • April 5, 2019

WeWork Buys Managed by Q Logistics Platform

WeWork is making another move to diversify beyond shared-office leasing by acquiring office management startup Managed by Q.The acquisition combines two companies that, according to Quartz, have taken “different approaches to workplace disruption and the on-demand economy.”Managed by Q, which was...

By Matthew Heller • April 4, 2019

Are Unicorns Ready for Their Close-up?

While Lyft’s long-anticipated IPO last Friday was a big success, the company’s journey in the public markets is just beginning, as evidenced by its stock price this week.As the trend to stay private longer has become pervasive, with easy access to cross-over investors and inexpensive debt, many o...

By David McCann • April 3, 2019

U.S. Retail Sales Take Surprising Dip in February

U.S. retail sales fell for the second time in three months in February, signaling economic growth for the first quarter will be tepid despite a surge in consumer spending in January.The Commerce Department said on Monday retail sales dropped 0.2% in February as households cut back on purchases of...

By Matthew Heller • April 1, 2019

U.S. Current Account Deficit Grows to $134.4B

The U.S. current account deficit widened in the fourth quarter to its highest level in 10 years and increased slightly as a percentage of gross domestic product.The Commerce Department said the current account deficit, which measures the flow of goods, services and investments into and out of the...

By Matthew Heller • March 28, 2019

Apple Enters Streaming Wars With Apple TV+

Apple has unveiled its long-awaited streaming service as part of its push to grow its services business amid slower iPhone sales.The new Apple TV+ service will launch in the fall and feature original content, with roughly two dozen shows already in production or development. It will be ad-free on...

By Matthew Heller • March 26, 2019

Treasury Yields ‘Invert’ in Possible Recession Sign

Long-term Treasury bond yields fell below short-term yields on Friday for the first time since 2007, indicating growing pessimism over the outlook for U.S. economic growth.Around 10 a.m., the three-month note yielded 2.468% while the benchmark 10-year was around 2.44%. A yield curve inversion has...

By Matthew Heller • March 22, 2019

Key Investment Measure Gains 0.8% in January

U.S. core capital goods orders rose by the most in six months in January, rebounding from a sharp slowdown the previous month.The Commerce Department reported Wednesday that orders for non-defense capital goods excluding aircraft — a key measure of business investment — increased 0.8% in January ...

By Matthew Heller • March 13, 2019

Banks Warned on Crypto-Asset Exposures

The Basel Committee on Banking Supervision (BCBS) on Wednesday provided some clarity to financial institutions about the dangers it thinks crypto-assets pose to the global financial system. It also gave some details of the steps banks need to take to manage any exposures to them.The BCBS, the int...

By Vincent Ryan • March 13, 2019

Execs’ Optimism About Economy Drops to 34%

Business executives’ optimism about the global economy has fallen sharply over the past year, reflecting concerns over trade conflicts, according to the American Institute of CPAs.In its Business and Industry Economic Outlook Survey for the first quarter, AICPA found that 34% of respondents were ...

By Matthew Heller • March 7, 2019

U.S. Trade Gap Jumps 12.5% to 10-Year High

The U.S. trade deficit surged to a 10-year high in 2018, belying President Donald Trump’s efforts to close the gap through protectionist trade policies.The Commerce Department reported Wednesday that the deficit rose 12.5% last year to $621 billion, the highest level since 2018.Counting only good...

By Matthew Heller • March 6, 2019

Gap to Spin off Old Navy, Keep Specialty Brands

Gap is planning to spin off Old Navy, its strongest brand, into a standalone company, betting that its namesake and other specialty brands will benefit from its undivided attention.With the spinoff, Gap would lose a brand that accounted for $8 billion in sales, or 47% of company-wide sales, in 20...

By Matthew Heller • March 1, 2019

U.S. Economic Growth Slows to 2.6% in Q4

U.S. economic growth slowed significantly in the fourth quarter of 2018 but the economy remains on track for its longest-ever expansion, reflecting healthy consumer and business spending.In its first GDP reading for the fourth quarter, the Commerce Department reported Thursday that the economy gr...

By Matthew Heller • Feb. 28, 2019

Where Should Companies Plant Their Stakes?

Amazon is far from the only company evaluating where to invest for growth, geographically speaking. While others aren’t necessarily seeking a second headquarters location, certain cities may be more attractive than others for new or expanded business units or sales outposts.However, identifying t...

By David McCann • Feb. 25, 2019

Philadelphia Sues Banks for Bond Rate Collusion

The City of Philadelphia has accused seven of the largest U.S. banks of conspiring to “substantially inflate” interest rates on floating-rate municipal bonds to benefit themselves and money market funds they managed at the expense of issuers.The harm inflicted by the banks, including JPMorgan Cha...

By Matthew Heller • Feb. 22, 2019