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Starbucks (SBUX) union workers are now on strike in nine states. (00:21) Honda (HMC) and Nissan (OTCPK:NSANY) share details of merger talks; Mitsubishi (OTCPK:MMTOF) may also come aboard. (01:39) Stellantis (STLA) calls off plans to lay off 1,000 workers at Ohio Jeep factories: report. (02:30)
This is an abridged transcript of the podcast.
Starbucks (NASDAQ:SBUX) workers are now on strike in locations across nine states as of Sunday, according to the union Workers United, which represents over 10,000 workers at more than 525 stores.
The strike could impact the coffee chain’s sales during the busy holiday season.
The five-day strike began on Friday in Chicago, Los Angeles and Seattle, where Starbucks (NASDAQ:SBUX) is based. Union workers from locations in Ohio, Colorado and Pennsylvania joined the strike on Saturday, and those from New York, New Jersey and Missouri joined on Sunday.
Around 30 locations were closed in the U.S. before Sunday, and the union has warned that the number could reach “hundreds” by Tuesday.
“Workers are on strike in response to Starbucks (NASDAQ:SBUX) backtracking on their commitment to negotiate a foundational framework by the end of the year and resolve all outstanding unfair labor practice charges,” the union said Saturday night.
“Workers United proposals call for an immediate increase in the minimum wage of hourly partners by 64%, and by 77% over the life of a three-year contract. These proposals are not sustainable,” Starbucks (SBUX) said in a statement.
Now an update to a story we told you about less than a week ago here on Wall Street Breakfast.
It’s official! Japanese automakers Honda (NYSE:HMC) and Nissan (OTCPK:NSANY) have entered into merger talks to form the world’s third-largest carmaker, behind Toyota (TM) and Volkswagen (OTCPK:VWAGY).
Over the next six months, the companies will explore the best way to set up a joint holding company, with the aim of completing the merger by August 2026.
A majority of the holding company’s board will be appointed by Honda (HMC), while Mitsubishi (OTCPK:MMTOF) has also been offered to join the new group and will make a decision by the end of next month (Nissan owns 24.5% of Mitsubishi).
The integration of Honda (HMC) and Nissan (OTCPK:NSANY) would be the latest deal to reshape the auto industry, as well as the biggest merger since Fiat Chrysler and PSA combined into Stellantis (STLA) in 2021.
Honda is up 15% in premarket action.
Stellantis has called off its plans to lay off around 1,100 employees at its Jeep factories in Ohio, according to media reports, citing a statement from the automaker.
The reversal for its plans at the Toledo plant lands three weeks after the sudden resignation of Chief Executive Carlos Tavares.
Stellantis announced last month that it planned to put the Toledo Assembly Complex employees on indefinite layoff on January 5.
The Toledo Blade on Friday reported that the United Auto Workers union told members in a letter that the layoffs had been cut to 125.
Stellantis reportedly told outlets in a statement that “employees are expected to return to work as scheduled after the new year.”
According to Stellantis’ website, the Toledo complex produces the Jeep brand’s Gladiator, Wrangler, and Wrangler 4xe models.
Neither Stellantis nor the UAW immediately responded to requests for comment by Seeking Alpha.
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Apollo Global Management (NYSE:APO) and Workday (WDAY) will replace Qorvo (QRVO) and Amentum Holdings (AMTM) in the S&P 500 Index.
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The post-IPO quiet period expires on Pony AI (PONY) to free up analysts to post ratings.
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The IPO lock-up periods expire on WEBTOON (WBTN), Alumis (ALMS), and LandBridge (LB).
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Covenant Logistics (CVLG) will begin to trade on a split-adjusted basis following the 2-for-1 stock split.
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It is the expiration date of the CFIUS review on the US Steel (X)-Nippon Steel deal.
Now let’s take a look at the markets as of 6 am. Ahead of the opening bell today, Dow, S&P and Nasdaq futures are in mixed territory. Crude oil is down 0.3% at $69/barrel. Bitcoin is down 1% at $95,000.
In the world markets, the FTSE 100 is up 0.1% and the DAX is flat.
The biggest movers for the day premarket: Rumble (NASDAQ:RUM) shares jumped 50% after announcing a $775M strategic investment from Tether.
On today’s economic calendar:
Editor’s Note: This article discusses one or more securities that do not trade on a major U.S. exchange. Please be aware of the risks associated with these stocks.
