This article is from the source 'nytimes' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at https://www.nytimes.com/2020/03/23/business/softbank-buyback.html
The article has changed 12 times. There is an RSS feed of changes available.
| Version 5 | Version 6 |
|---|---|
| SoftBank Says It Will Sell $41 Billion in Assets to Buy Back Shares | SoftBank Says It Will Sell $41 Billion in Assets to Buy Back Shares |
| (32 minutes later) | |
| TOKYO — SoftBank, operator of the world’s largest tech fund, said on Monday that it would sell as much as $41 billion in assets as it seeks to vacuum up its own shares, which have dropped precipitously in the last month amid investor concerns about the coronavirus outbreak. | TOKYO — SoftBank, operator of the world’s largest tech fund, said on Monday that it would sell as much as $41 billion in assets as it seeks to vacuum up its own shares, which have dropped precipitously in the last month amid investor concerns about the coronavirus outbreak. |
| SoftBank has used its $100 billion investment fund to bet heavily on companies offering services, such as hailing rides and booking hotels, that are likely to take a significant financial hit as consumers stay home. | SoftBank has used its $100 billion investment fund to bet heavily on companies offering services, such as hailing rides and booking hotels, that are likely to take a significant financial hit as consumers stay home. |
| In a statement released Monday morning, SoftBank said it would use 2 trillion yen ($18 billion) from the sale of its assets to purchase its own shares over the next year. The amount is on top of a ¥500 billion buyback announced earlier this month. | In a statement released Monday morning, SoftBank said it would use 2 trillion yen ($18 billion) from the sale of its assets to purchase its own shares over the next year. The amount is on top of a ¥500 billion buyback announced earlier this month. |
| Taken together, the company could retire as much as 45 percent of its outstanding stock, it said. The rest of the money will be used to pay down its debt and shore up its cash reserves. | Taken together, the company could retire as much as 45 percent of its outstanding stock, it said. The rest of the money will be used to pay down its debt and shore up its cash reserves. |
| The company’s share price went into free-fall in mid-February, dropping more than 50 percent, but the announcement on Monday seemed to ease investors’ anxiety. SoftBank shares were up nearly 19 percent at the close of trading in Tokyo. | The company’s share price went into free-fall in mid-February, dropping more than 50 percent, but the announcement on Monday seemed to ease investors’ anxiety. SoftBank shares were up nearly 19 percent at the close of trading in Tokyo. |
| Masayoshi Son, the company’s founder and chief, said in the statement that the planned buyback would be the largest ever for the company and would significantly increase its cash holdings. “This will allow us to strengthen our balance sheet while significantly reducing debt,” he said. | Masayoshi Son, the company’s founder and chief, said in the statement that the planned buyback would be the largest ever for the company and would significantly increase its cash holdings. “This will allow us to strengthen our balance sheet while significantly reducing debt,” he said. |
| The move is also aimed at enhancing SoftBank’s credit rating, the company said. Last week, S&P Global Ratings changed the company’s outlook to “negative,” pointing to large outstanding debt and the earlier decision to buy back shares. | The move is also aimed at enhancing SoftBank’s credit rating, the company said. Last week, S&P Global Ratings changed the company’s outlook to “negative,” pointing to large outstanding debt and the earlier decision to buy back shares. |
| SoftBank did not specify which assets it intends to sell. | SoftBank did not specify which assets it intends to sell. |
| In recent months, SoftBank has come under pressure from the activist hedge fund Elliot Management, which has taken a multibillion-dollar stake in the company and urged it to spend as much as $20 billion to drive up its share price. | In recent months, SoftBank has come under pressure from the activist hedge fund Elliot Management, which has taken a multibillion-dollar stake in the company and urged it to spend as much as $20 billion to drive up its share price. |
| SoftBank has spent the last several months trying to recover investor confidence after the dizzying fall of the office-space company WeWork, one of Mr. Son’s flagship investments. WeWork was forced to withdraw its initial public offering after investors began questioning its corporate governance and the behavior of its chief executive. | SoftBank has spent the last several months trying to recover investor confidence after the dizzying fall of the office-space company WeWork, one of Mr. Son’s flagship investments. WeWork was forced to withdraw its initial public offering after investors began questioning its corporate governance and the behavior of its chief executive. |
| SoftBank was forced to foot the bill for the collapse, putting together a multibillion-dollar rescue package. SoftBank said this month that it might walk back part of its WeWork deal, threatening to withdraw an offer to buy $3 billion worth of WeWork shares. | SoftBank was forced to foot the bill for the collapse, putting together a multibillion-dollar rescue package. SoftBank said this month that it might walk back part of its WeWork deal, threatening to withdraw an offer to buy $3 billion worth of WeWork shares. |
| Updated June 12, 2020 | Updated June 12, 2020 |
| Touching contaminated objects and then infecting ourselves with the germs is not typically how the virus spreads. But it can happen. A number of studies of flu, rhinovirus, coronavirus and other microbes have shown that respiratory illnesses, including the new coronavirus, can spread by touching contaminated surfaces, particularly in places like day care centers, offices and hospitals. But a long chain of events has to happen for the disease to spread that way. The best way to protect yourself from coronavirus — whether it’s surface transmission or close human contact — is still social distancing, washing your hands, not touching your face and wearing masks. | |
| So far, the evidence seems to show it does. A widely cited paper published in April suggests that people are most infectious about two days before the onset of coronavirus symptoms and estimated that 44 percent of new infections were a result of transmission from people who were not yet showing symptoms. Recently, a top expert at the World Health Organization stated that transmission of the coronavirus by people who did not have symptoms was “very rare,” but she later walked back that statement. | So far, the evidence seems to show it does. A widely cited paper published in April suggests that people are most infectious about two days before the onset of coronavirus symptoms and estimated that 44 percent of new infections were a result of transmission from people who were not yet showing symptoms. Recently, a top expert at the World Health Organization stated that transmission of the coronavirus by people who did not have symptoms was “very rare,” but she later walked back that statement. |
| A study by European scientists is the first to document a strong statistical link between genetic variations and Covid-19, the illness caused by the coronavirus. Having Type A blood was linked to a 50 percent increase in the likelihood that a patient would need to get oxygen or to go on a ventilator, according to the new study. | A study by European scientists is the first to document a strong statistical link between genetic variations and Covid-19, the illness caused by the coronavirus. Having Type A blood was linked to a 50 percent increase in the likelihood that a patient would need to get oxygen or to go on a ventilator, according to the new study. |
| The unemployment rate fell to 13.3 percent in May, the Labor Department said on June 5, an unexpected improvement in the nation’s job market as hiring rebounded faster than economists expected. Economists had forecast the unemployment rate to increase to as much as 20 percent, after it hit 14.7 percent in April, which was the highest since the government began keeping official statistics after World War II. But the unemployment rate dipped instead, with employers adding 2.5 million jobs, after more than 20 million jobs were lost in April. | The unemployment rate fell to 13.3 percent in May, the Labor Department said on June 5, an unexpected improvement in the nation’s job market as hiring rebounded faster than economists expected. Economists had forecast the unemployment rate to increase to as much as 20 percent, after it hit 14.7 percent in April, which was the highest since the government began keeping official statistics after World War II. But the unemployment rate dipped instead, with employers adding 2.5 million jobs, after more than 20 million jobs were lost in April. |
| Mass protests against police brutality that have brought thousands of people onto the streets in cities across America are raising the specter of new coronavirus outbreaks, prompting political leaders, physicians and public health experts to warn that the crowds could cause a surge in cases. While many political leaders affirmed the right of protesters to express themselves, they urged the demonstrators to wear face masks and maintain social distancing, both to protect themselves and to prevent further community spread of the virus. Some infectious disease experts were reassured by the fact that the protests were held outdoors, saying the open air settings could mitigate the risk of transmission. | Mass protests against police brutality that have brought thousands of people onto the streets in cities across America are raising the specter of new coronavirus outbreaks, prompting political leaders, physicians and public health experts to warn that the crowds could cause a surge in cases. While many political leaders affirmed the right of protesters to express themselves, they urged the demonstrators to wear face masks and maintain social distancing, both to protect themselves and to prevent further community spread of the virus. Some infectious disease experts were reassured by the fact that the protests were held outdoors, saying the open air settings could mitigate the risk of transmission. |
| Exercise researchers and physicians have some blunt advice for those of us aiming to return to regular exercise now: Start slowly and then rev up your workouts, also slowly. American adults tended to be about 12 percent less active after the stay-at-home mandates began in March than they were in January. But there are steps you can take to ease your way back into regular exercise safely. First, “start at no more than 50 percent of the exercise you were doing before Covid,” says Dr. Monica Rho, the chief of musculoskeletal medicine at the Shirley Ryan AbilityLab in Chicago. Thread in some preparatory squats, too, she advises. “When you haven’t been exercising, you lose muscle mass.” Expect some muscle twinges after these preliminary, post-lockdown sessions, especially a day or two later. But sudden or increasing pain during exercise is a clarion call to stop and return home. | Exercise researchers and physicians have some blunt advice for those of us aiming to return to regular exercise now: Start slowly and then rev up your workouts, also slowly. American adults tended to be about 12 percent less active after the stay-at-home mandates began in March than they were in January. But there are steps you can take to ease your way back into regular exercise safely. First, “start at no more than 50 percent of the exercise you were doing before Covid,” says Dr. Monica Rho, the chief of musculoskeletal medicine at the Shirley Ryan AbilityLab in Chicago. Thread in some preparatory squats, too, she advises. “When you haven’t been exercising, you lose muscle mass.” Expect some muscle twinges after these preliminary, post-lockdown sessions, especially a day or two later. But sudden or increasing pain during exercise is a clarion call to stop and return home. |
| States are reopening bit by bit. This means that more public spaces are available for use and more and more businesses are being allowed to open again. The federal government is largely leaving the decision up to states, and some state leaders are leaving the decision up to local authorities. Even if you aren’t being told to stay at home, it’s still a good idea to limit trips outside and your interaction with other people. | States are reopening bit by bit. This means that more public spaces are available for use and more and more businesses are being allowed to open again. The federal government is largely leaving the decision up to states, and some state leaders are leaving the decision up to local authorities. Even if you aren’t being told to stay at home, it’s still a good idea to limit trips outside and your interaction with other people. |
| Common symptoms include fever, a dry cough, fatigue and difficulty breathing or shortness of breath. Some of these symptoms overlap with those of the flu, making detection difficult, but runny noses and stuffy sinuses are less common. The C.D.C. has also added chills, muscle pain, sore throat, headache and a new loss of the sense of taste or smell as symptoms to look out for. Most people fall ill five to seven days after exposure, but symptoms may appear in as few as two days or as many as 14 days. | Common symptoms include fever, a dry cough, fatigue and difficulty breathing or shortness of breath. Some of these symptoms overlap with those of the flu, making detection difficult, but runny noses and stuffy sinuses are less common. The C.D.C. has also added chills, muscle pain, sore throat, headache and a new loss of the sense of taste or smell as symptoms to look out for. Most people fall ill five to seven days after exposure, but symptoms may appear in as few as two days or as many as 14 days. |
| If air travel is unavoidable, there are some steps you can take to protect yourself. Most important: Wash your hands often, and stop touching your face. If possible, choose a window seat. A study from Emory University found that during flu season, the safest place to sit on a plane is by a window, as people sitting in window seats had less contact with potentially sick people. Disinfect hard surfaces. When you get to your seat and your hands are clean, use disinfecting wipes to clean the hard surfaces at your seat like the head and arm rest, the seatbelt buckle, the remote, screen, seat back pocket and the tray table. If the seat is hard and nonporous or leather or pleather, you can wipe that down, too. (Using wipes on upholstered seats could lead to a wet seat and spreading of germs rather than killing them.) | If air travel is unavoidable, there are some steps you can take to protect yourself. Most important: Wash your hands often, and stop touching your face. If possible, choose a window seat. A study from Emory University found that during flu season, the safest place to sit on a plane is by a window, as people sitting in window seats had less contact with potentially sick people. Disinfect hard surfaces. When you get to your seat and your hands are clean, use disinfecting wipes to clean the hard surfaces at your seat like the head and arm rest, the seatbelt buckle, the remote, screen, seat back pocket and the tray table. If the seat is hard and nonporous or leather or pleather, you can wipe that down, too. (Using wipes on upholstered seats could lead to a wet seat and spreading of germs rather than killing them.) |
| Taking one’s temperature to look for signs of fever is not as easy as it sounds, as “normal” temperature numbers can vary, but generally, keep an eye out for a temperature of 100.5 degrees Fahrenheit or higher. If you don’t have a thermometer (they can be pricey these days), there are other ways to figure out if you have a fever, or are at risk of Covid-19 complications. | Taking one’s temperature to look for signs of fever is not as easy as it sounds, as “normal” temperature numbers can vary, but generally, keep an eye out for a temperature of 100.5 degrees Fahrenheit or higher. If you don’t have a thermometer (they can be pricey these days), there are other ways to figure out if you have a fever, or are at risk of Covid-19 complications. |
| The C.D.C. has recommended that all Americans wear cloth masks if they go out in public. This is a shift in federal guidance reflecting new concerns that the coronavirus is being spread by infected people who have no symptoms. Until now, the C.D.C., like the W.H.O., has advised that ordinary people don’t need to wear masks unless they are sick and coughing. Part of the reason was to preserve medical-grade masks for health care workers who desperately need them at a time when they are in continuously short supply. Masks don’t replace hand washing and social distancing. | The C.D.C. has recommended that all Americans wear cloth masks if they go out in public. This is a shift in federal guidance reflecting new concerns that the coronavirus is being spread by infected people who have no symptoms. Until now, the C.D.C., like the W.H.O., has advised that ordinary people don’t need to wear masks unless they are sick and coughing. Part of the reason was to preserve medical-grade masks for health care workers who desperately need them at a time when they are in continuously short supply. Masks don’t replace hand washing and social distancing. |
| If you’ve been exposed to the coronavirus or think you have, and have a fever or symptoms like a cough or difficulty breathing, call a doctor. They should give you advice on whether you should be tested, how to get tested, and how to seek medical treatment without potentially infecting or exposing others. | If you’ve been exposed to the coronavirus or think you have, and have a fever or symptoms like a cough or difficulty breathing, call a doctor. They should give you advice on whether you should be tested, how to get tested, and how to seek medical treatment without potentially infecting or exposing others. |
| If you’re sick and you think you’ve been exposed to the new coronavirus, the C.D.C. recommends that you call your healthcare provider and explain your symptoms and fears. They will decide if you need to be tested. Keep in mind that there’s a chance — because of a lack of testing kits or because you’re asymptomatic, for instance — you won’t be able to get tested. | If you’re sick and you think you’ve been exposed to the new coronavirus, the C.D.C. recommends that you call your healthcare provider and explain your symptoms and fears. They will decide if you need to be tested. Keep in mind that there’s a chance — because of a lack of testing kits or because you’re asymptomatic, for instance — you won’t be able to get tested. |
| As a result of the WeWork debacle, SoftBank booked billions of dollars in losses — compounded by disappointing showings for other major investments. In the last three months of 2019, SoftBank reported a loss of $2 billion, though Mr. Son said the financial hit would soon be erased by growth in other investments. | As a result of the WeWork debacle, SoftBank booked billions of dollars in losses — compounded by disappointing showings for other major investments. In the last three months of 2019, SoftBank reported a loss of $2 billion, though Mr. Son said the financial hit would soon be erased by growth in other investments. |
| The economic chaos sown by the coronavirus outbreak, however, has issued a new threat to SoftBank’s portfolio. Some of its flagship investments, like the ride-hailing company Uber and the Indian hospitality start-up Oyo, are likely to experience steep drops in revenue as large parts of the world retreat into quarantine. | The economic chaos sown by the coronavirus outbreak, however, has issued a new threat to SoftBank’s portfolio. Some of its flagship investments, like the ride-hailing company Uber and the Indian hospitality start-up Oyo, are likely to experience steep drops in revenue as large parts of the world retreat into quarantine. |