व्यापार

(Reuters) -Chipmaker Wolfspeed said on Monday it has exited Chapter 11 bankruptcy after cutting its total debt by nearly 70% and lowering annual cash interest expense by roughly 60%. The company said it has sufficient liquidity to continue supplying customers with silicon carbide-based chips. Wolfspeed filed for Chapter 11 protection in late June in the U.S. Bankruptcy Court for the Southern District of Texas, after flagging going‑concern doubts in May, citing deepening economic uncertainty from changing U.S. trade policies and weakening demand that triggered financial challenges. The company on Monday also added five new directors to its board, including Mike Bokan, most recently senior vice president of worldwide sales at Micron, and Eric Musser, who is set to retire this year as president of Corning Inc. Wolfspeed makes silicon carbide-based chips, which are more energy‑efficient and used in high-power‑conversion applications such as electric vehicles, solar inverters and industrial power systems. (Reporting by Juby Babu in Mexico City; Editing by Tasim Zahid)

(The article has been published through a syndicated feed. Except for the headline, the content has been published verbatim. Liability lies with original publisher.)

By Saeed Azhar, Anirban Sen, Mike Spector and Shivansh Tiwary NEW YORK (Reuters) -U.S. auto parts maker First Brands filed for bankruptcy protection on Monday after disclosing liabilities exceeding $10 billion, marking the collapse of a company whose rapidly deteriorating finances have shocked debt investors in recent weeks. First Brands is expected to soon disclose an issue with its factoring arrangements amounting to nearly $2 billion, according to people familiar with the matter. The company's board and creditors are investigating the issue, one of these people said, confirming an earlier report in the Wall Street Journal. Factoring is a financing method that is tied to the future revenue of a company.  The company, whose fortunes unraveled in recent weeks as it grappled with a debt pile from a flurry of acquisitions over the past few years, has obtained $1.1 billion in debtor-in-possession financing from its first-lien lenders to support ongoing operations, it said in a statement.  Financial troubles at the auto parts supplier, coupled with the recent bankruptcy of subprime auto lender Tricolor Holdings, have rattled debt investors and stoked fears of broader stress in corporate debt markets, according to bondholders and bankruptcy experts. The high-profile collapse of First Brands has raised questions among investors about potential ripple effects across the automotive parts industry, although experts said automaker supply chains are not likely to be affected broadly since First Brands is primarily an aftermarket parts provider.  Ohio-based First Brands, which is owned by businessman Patrick James, said that its Chapter 11 cases pertain solely to U.S. operations, and expects its global operations to continue uninterrupted. In its Chapter 11 petition, First Brands estimated liabilities in the range of $10 billion to $50 billion, while its assets were estimated at between $1 billion and $10 billion.  Bankers and creditors had been racing to restructure First Brands' debt as investor confidence eroded leading up to the filing, with several of its associated companies also declaring bankruptcy. Privately held First Brands, which makes replacement components including filters, brakes and lighting systems for the automotive aftermarket, emerged as a significant player in the industry through debt-financed acquisitions of rival auto parts makers. Its well-known brands include Raybestos brake solutions, TRICO wiper blades, and FRAM filtration products. Last week, ratings agency Fitch downgraded First Brands' credit rating, saying the company's options for managing its debt were increasingly limited to off-market solutions. Asset manager Apollo Global Management and investment firm Diameter Capital Partners had amassed a short position against the company's debt earlier in September. Both firms have now closed their bets against First Brands' loans.  HIGH-PROFILE COLLAPSE Over the past week, First Brands' loans plummeted in value as its bondholders braced for the group's debt to be restructured.  Several Wall Street lenders and hedge funds, including Jefferies and Millennium, are exposed to First Brands' supplier invoice-linked facilities. More than a dozen companies affiliated with First Brands, including Carnaby Capital Holdings, filed for bankruptcy protection last week, according to court documents signed by First Brands' owner and CEO, James. The affiliated entities had secured loans that were backed by guarantees from First Brands, Reuters reported on Friday. Carnaby Capital Holdings' petition listed assets of over $500 million and liabilities exceeding $1 billion. "We believe Carnaby was a material source of off-balance sheet financing that First Brands used to fund its working capital. Therefore, the loss of this short-term financing likely led to a significant liquidity shortfall at the company," analysts at S&P Global said in a note on Monday. S&P downgraded First Brands' credit rating following its bankruptcy filing.  In addition to its debt, the company has several billion dollars more in financing facilities that are tied to its customers and suppliers, Reuters has previously reported. The latest filings reveal that First Brands and its related intermediaries had more than $8 billion of debt and inventory-backed financing. This figure is not linked to its customer and supplier invoices.  Some of the financial firms exposed to First Brands included UBS-backed hedge fund manager O'Connor; CIT Group, which is now owned by First Citizens Bancorp; Nomura; and SouthState Bank. They were among the 30 largest creditors, which had unsecured claims against First Brands, according to the filing. UBS and Nomura declined to comment, while First Citizens and SouthState did not respond to requests for comment.  Ryan O'Malley, head of portfolio management at Ducenta Squared Asset Management, said the cases of First Brands and the poor second-quarter results of used-car retailer CarMax had not sparked broader investor concerns over the asset-backed securities bond market.  However, he said, these two cases indicated some weakness in consumer auto spending, probably resulting from years of high interest rates. Law firm Weil, Gotshal & Manges, investment bank Lazard, and consulting firm Alvarez & Marsal are advising First Brands on its bankruptcy proceedings. Gibson, Dunn & Crutcher and Evercore are advising the creditor group.  (Reporting by Shivansh Tiwary and Shivani Tanna in Bengaluru; Additional reporting by Mike Spector, Davide Barbuscia and Anirban Sen in New York; Editing by Mrigank Dhaniwala, Megan Davies, Marguerita Choy and Matthew Lewis)

(The article has been published through a syndicated feed. Except for the headline, the content has been published verbatim. Liability lies with original publisher.)

By Lucia Mutikani WASHINGTON (Reuters) -The U.S. Labor and Commerce departments said on Monday that their statistics agencies would halt economic data releases in the event of a partial government shutdown, including closely watched employment data for September, construction spending and possibly international trade data for August. The employment report, crucial for decision-making by officials at the Federal Reserve, businesses and households, is scheduled for Friday. Government funding will expire at midnight on Tuesday unless Republicans and Democrats agree to a last-minute temporary spending deal. The Labor Department identified the Bureau of Labor Statistics as among the key agencies whose activities would cease during a lapse in funding. President Donald Trump was due to meet with Republican and Democratic leaders on Monday. While it would suspend some activities, the statistical agency said it would publish the August Metropolitan Area Employment and Unemployment report due on Wednesday. Similarly, the Commerce Department said monthly economic indicators from the U.S. Census Bureau would not be available in the event of a government shutdown. The department's Bureau of Economic Analysis would cease most services. The Census Bureau is scheduled to release U.S. construction spending data for August on Wednesday and manufacturers' shipments, inventories and orders for August on Thursday. The two agencies are scheduled to release data on August international goods and services trade on October 7. A prolonged shutdown could impact the Bureau of Economic Analysis' initial estimate of third-quarter gross domestic product due on October 30. BLS also said a prolonged shutdown could delay the release of other data. "Once funding is restored, BLS will resume normal operations and notify the public of any changes to the news release schedule on the BLS release calendar," the agency said in a statement. It was not clear whether the weekly jobless claims report would continue to be published. The data is collected by states, which run the unemployment insurance programs, but the BLS does the seasonal adjustment. CONCERNS ARE RISING OVER DATA QUALITY Possible delays publishing the employment report would come at a time when concerns are growing over the quality of government-produced economic data, long viewed as the gold standard. The BLS warned "a reduction in quality of data collected might impact the quality of future estimates produced." The BLS has suffered years of underfunding under both Republican and Democratic administrations. That situation has been worsened by mass firings, voluntary resignations, early retirements and hiring freezes, which are part of an unprecedented campaign by the Trump administration to drastically reduce the size of government. Response rates for the employment report have declined and the agency has suspended data collection for portions of the consumer price index in some areas across the country. Should September's CPI report be delayed, that could leave the Social Security Administration unable to make its annual Cost of Living Adjustment announcement, which retirees depend on to plan their budgets. (Reporting by Lucia Mutikani; Additional reporting by David Lawder and Courtney Rozen; Editing by Lisa Shumaker)

(The article has been published through a syndicated feed. Except for the headline, the content has been published verbatim. Liability lies with original publisher.)

(Reuters) -U.S. telecom company Verizon Communications is in discussions with EchoStar about purchasing some of its wireless spectrum, Bloomberg News reported on Monday, citing people familiar with the matter. The discussions involve the satellite communications firm's AWS-3 licenses, valuable for carrying 5G wireless signals, the report said. If the deal goes through, Verizon would join AT&T and SpaceX as buyers of EchoStar's wireless spectrum licenses, according to Bloomberg. Earlier this month, EchoStar said it expects to hold $24.1 billion in cash after using spectrum sale proceeds to repay debt, further strengthening its balance sheet and supporting growth across wireless, satellite and tech. The company started selling certain assets after the U.S. Federal Communications Commission raised concerns over its compliance with spectrum buildout rules and use of mobile-satellite service spectrum. EchoStar's regulatory filing values its AWS-3 spectrum at a "carrying amount" of $9.8 billion, according to the report. Another part of it is set to be auctioned off by the federal government next year. (Reporting by Anuja Bharat Mistry in Bengaluru; Editing by Alan Barona)

(The article has been published through a syndicated feed. Except for the headline, the content has been published verbatim. Liability lies with original publisher.)

By Ju-min Park INCHEON, South Korea (Reuters) -From the muddy grounds of a former amusement park on South Korea's coast, tens of thousands of vehicles are being packed for shipment overseas as booming used car exports help to mitigate the impact of U.S. tariffs on new car sales. Soaked in sweat from the outdoor heat, workers are loading and strapping cars into containers around the clock for shipment from the makeshift facilities at South Korea's largest used car export hub in Incheon, west of Seoul. "It is embarrassing for us to say ourselves our business is a star export item," said Kevin Seol, a trader who ships about 100 used cars monthly. "But the industry keeps growing by numbers so I think we are contributing to the national exports." South Korea's auto shipments to the U.S. have declined for six consecutive months since President Donald Trump announced 25% tariffs. But its global car exports have risen for three straight months, supported by record-high second-hand vehicle sales, which accounted for a quarter of the total auto exports by volume and 13% by value, according to trade ministry and customs data. South Korea exported $5.5 billion of cars in August, up 9% from a year earlier and the highest monthly total on record, the trade ministry said. Used car exports jumped 35% to $711.5 million the same month, according to the Korea Used Car Distribution Research Institute. The used vehicle growth is largely propelled by insatiable demand for older Hyundai and Kia cars in Russia and in the Middle East and a weaker won, traders and experts said. "Exports to the U.S. don't account for much of our business," Seol said. "Demand from other countries is strong, so the tariffs haven't really hurt us." TARIFFS COULD RAISE USED CAR PRICES South Korea exports most of the used cars that are sold to the Middle East, Central Asia and Russia, according to government data and traders. In those markets, Korean cars can be more attractive than those from export rival Japan because they are designed for driving on the right side of the road, whereas Japan drives on the left, traders said. In South Korea's biggest new car export market, the U.S., exports have been hobbled by a 25% tariff that remains higher than the 15% rate for Japanese and European cars, though Seoul is in negotiations for a reduction. But while U.S. tariffs are a negative for the new car market, they could lead to further demand and higher prices for used vehicles, said Shin Hyun-do, director of the Korea Used Car Distribution Research Institute. "If U.S. tariffs on new cars rise, car prices will go up. That will lead to a rise in car prices globally," he said. "In that case used car prices are likely to follow suit." In the first half of the year, South Korea's used car exports jumped 72% to $3.9 billion, with 437,151 vehicles shipped abroad, accounting for about a quarter of total auto exports by volume, Shin said. South Korea sold more used cars to the Middle East than new vehicles between January and June and reported a 40% rise in monthly average sales to Russia, he added. POOR INFRASTRUCTURE THREATENS GROWTH POTENTIAL Demand from Russia and its trade partners like Kyrgyzstan has surged since the outbreak of the war in Ukraine. In response to the invasion, Japan curbed trade in used vehicles in 2023 by banning all but used compact cars from being sold directly to Russia. South Korea added restrictions in 2024, but only for new or used vehicles with 2,000 cc engines or larger, such as bigger SUVs, and some of those are being sold to Russia through Central Asian countries, market participants said. South Korea's used car exports are expected to set a new record high in volumes and value this year, experts say, even though fast-growing market Syria banned used car imports in July, according to state media. But traders said the growth in overseas sales risked being capped by poor infrastructure at the country's export hubs, including the one at Incheon, a dirt field with makeshift offices and inadequate facilities. "Private businesses rent these dirt lots here and park their cars there," said Park Young-hwa, a trader who runs the Korea Used Car Export Association. "In summer, conditions are so bad that buyers with their feet are stuck in mud find it difficult to inspect the cars." Ruling Democratic Party lawmaker Heo Jong-sik proposed a bill in April to establish a registration system for used car exporters and develop dedicated export complexes. Used car exports and cosmetics were the fastest-growing export industries by value for small and medium-sized companies in the first half of 2025, according to government data. "Since used car exports have already become one of our country's main export items, the government should step in to manage and foster the industry through policies," Heo said. (Reporting by Ju-min Park; Editing by Josh Smith and Jamie Freed)

(The article has been published through a syndicated feed. Except for the headline, the content has been published verbatim. Liability lies with original publisher.)

By Roberto Samora SAO PAULO, Sep 29 (Reuters) -More Brazilians have reduced their coffee consumption, according to a bi-annual study carried out with over 4,000 people in Latin America's largest economy reported on Monday. WHY IT'S IMPORTANT Brazil, the world's largest coffee producer, is also the second largest coffee consumer, behind the U.S. Earlier this year, global coffee prices hit record highs due to supply issues in producers such as Brazil and Vietnam. In Brazil, coffee has been among the foods and drinks whose prices have risen the most within the country's official inflation index IPCA in last two years. BY THE NUMBERS Some 24% of respondents said they have reduced their coffee consumption, according to the study, commissioned by the Brazilian coffee industry lobby Abic to research institute Axxus. That was up substantially from 3% in 2023, 5% in 2021 and 7% in 2019. Meanwhile, 2% of respondents said they have increased their coffee consumption in 2025, far lower than 16% in 2023, 49% in 2021 and 36% in 2019. Respondents who said they drink more than six cups of coffee per day fell to 26% in 2025, from 29% in the previous edition of the study. KEY QUOTES "The survey showed an important drop in the intensity of consumption," said Sergio Pereira, one of the coordinators of the study. "We also observed a greater weight of price in the purchasing decision," said Pereira, also a scientific researcher at the Coffee Center of the Campinas Agronomic Institute, a partner in the study together with the Center for Industrial Economics and Technology at University of Campinas. (Reporting by Roberto Samora; Writing by Andre Romani; Editing by David Gregorio)

(The article has been published through a syndicated feed. Except for the headline, the content has been published verbatim. Liability lies with original publisher.)

By Jody Godoy (Reuters) -California Governor Gavin Newsom signed into state law on Monday a requirement that ChatGPT developer OpenAI and other big players disclose how they plan to mitigate potential catastrophic risks from their cutting-edge AI models. California is the home to top AI companies including OpenAI, Alphabet's Google, Meta Platforms, Nvidia and Anthropic, and with this law seeks to lead on regulation of an industry critical to its economy, Newsom said. "California has proven that we can establish regulations to protect our communities while also ensuring that the growing AI industry continues to thrive," Newsom said in a press release on the law. Newsom's office said the law, known as SB 53, fills a gap left by the U.S. Congress, which so far has not passed broad AI legislation, and provides a model for the U.S. to follow. If federal standards are put in place, Newsom said the state legislature should "ensure alignment with those standards – all while maintaining the high bar established by SB 53." Last year, Newsom vetoed California's first attempt at AI legislation, which had faced fierce industry pushback. The bill would have required companies that spent more than $100 million on their AI models to hire third-party auditors annually to review risk assessments and allowed the state to levy penalties in the hundreds of millions of dollars. The new law requires companies with more than $500 million in revenue to assess the risk that their cutting-edge technology could break free of human control or aid the development of bioweapons, and disclose those assessments to the public. It allows for fines of up to $1 million per violation. Jack Clark, co-founder of AI company Anthropic, called the law "a strong framework that balances public safety with continued innovation." (Reporting by Jody Godoy in New York; Editing by Chris Sanders and Edmund Klamann)

(The article has been published through a syndicated feed. Except for the headline, the content has been published verbatim. Liability lies with original publisher.)

By Ju-min Park INCHEON, South Korea (Reuters) -From the muddy grounds of a former amusement park on South Korea's coast, tens of thousands of vehicles are being packed for shipment overseas as booming used car exports help to mitigate the impact of U.S. tariffs on new car sales. Soaked in sweat from the outdoor heat, workers are loading and strapping cars into containers around the clock for shipment from the makeshift facilities at South Korea's largest used car export hub in Incheon, west of Seoul. "It is embarrassing for us to say ourselves our business is a star export item," said Kevin Seol, a trader who ships about 100 used cars monthly. "But the industry keeps growing by numbers so I think we are contributing to the national exports." South Korea's auto shipments to the U.S. have declined for six consecutive months since President Donald Trump announced 25% tariffs. But its global car exports have risen for three straight months, supported by record-high second-hand vehicle sales, which accounted for a quarter of the total auto exports by volume and 13% by value, according to trade ministry and customs data. South Korea exported $5.5 billion of cars in August, up 9% from a year earlier and the highest monthly total on record, the trade ministry said. Used car exports jumped 35% to $711.5 million the same month, according to the Korea Used Car Distribution Research Institute. The used vehicle growth is largely propelled by insatiable demand for older Hyundai and Kia cars in Russia and in the Middle East and a weaker won, traders and experts said. "Exports to the U.S. don't account for much of our business," Seol said. "Demand from other countries is strong, so the tariffs haven't really hurt us." TARIFFS COULD RAISE USED CAR PRICES South Korea exports most of the used cars that are sold to the Middle East, Central Asia and Russia, according to government data and traders. In those markets, Korean cars can be more attractive than those from export rival Japan because they are designed for driving on the right side of the road, whereas Japan drives on the left, traders said. In South Korea's biggest new car export market, the U.S., exports have been hobbled by a 25% tariff that remains higher than the 15% rate for Japanese and European cars, though Seoul is in negotiations for a reduction. But while U.S. tariffs are a negative for the new car market, they could lead to further demand and higher prices for used vehicles, said Shin Hyun-do, director of the Korea Used Car Distribution Research Institute. "If U.S. tariffs on new cars rise, car prices will go up. That will lead to a rise in car prices globally," he said. "In that case used car prices are likely to follow suit." In the first half of the year, South Korea's used car exports jumped 72% to $3.9 billion, with 437,151 vehicles shipped abroad, accounting for about a quarter of total auto exports by volume, Shin said. South Korea sold more used cars to the Middle East than new vehicles between January and June and reported a 40% rise in monthly average sales to Russia, he added. POOR INFRASTRUCTURE THREATENS GROWTH POTENTIAL Demand from Russia and its trade partners like Kyrgyzstan has surged since the outbreak of the war in Ukraine. In response to the invasion, Japan curbed trade in used vehicles in 2023 by banning all but used compact cars from being sold directly to Russia. South Korea added restrictions in 2024, but only for new or used vehicles with 2,000 cc engines or larger, such as bigger SUVs, and some of those are being sold to Russia through Central Asian countries, market participants said. South Korea's used car exports are expected to set a new record high in volumes and value this year, experts say, even though fast-growing market Syria banned used car imports in July, according to state media. But traders said the growth in overseas sales risked being capped by poor infrastructure at the country's export hubs, including the one at Incheon, a dirt field with makeshift offices and inadequate facilities. "Private businesses rent these dirt lots here and park their cars there," said Park Young-hwa, a trader who runs the Korea Used Car Export Association. "In summer, conditions are so bad that buyers with their feet are stuck in mud find it difficult to inspect the cars." Ruling Democratic Party lawmaker Heo Jong-sik proposed a bill in April to establish a registration system for used car exporters and develop dedicated export complexes. Used car exports and cosmetics were the fastest-growing export industries by value for small and medium-sized companies in the first half of 2025, according to government data. "Since used car exports have already become one of our country's main export items, the government should step in to manage and foster the industry through policies," Heo said. (Reporting by Ju-min Park; Editing by Josh Smith and Jamie Freed)

(The article has been published through a syndicated feed. Except for the headline, the content has been published verbatim. Liability lies with original publisher.)

WASHINGTON (Reuters) -The Pentagon said on Monday that it has awarded a $5.04 billion U.S. Army contract to Raytheon for its Coyote missile system. (Reporting by Jasper Ward)

(The article has been published through a syndicated feed. Except for the headline, the content has been published verbatim. Liability lies with original publisher.)

By Prakhar Srivastava and Lananh Nguyen (Reuters) -Jefferies beat third-quarter profit estimates on Monday, as a rebound in dealmaking pushed advisory fees to a record, giving investors an early read on how Wall Street's investment-banking business may perform this earnings season. Despite a short pause in April as tariff concerns briefly clouded sentiment, optimism around M&A has remained strong. Companies have pressed ahead with multibillion-dollar transactions across sectors, reflecting confidence in growth prospects and a willingness to commit capital even in a choppy policy environment. Dealmakers say the pipeline for 2026 remains strong, with expectations of Federal Reserve rate cuts adding to confidence that financing conditions will improve. "Interest rates are starting to come down, the economy is holding up, business confidence is reasonable and, as a result, M&A activity continues to pick up," Jefferies President Brian Friedman told Reuters in an interview. "We do expect it to continue." Jefferies' total investment banking net revenues jumped 20.3% to $1.14 billion from a year earlier.  Results from bigger rivals, including Morgan Stanley, Goldman Sachs and JPMorgan Chase, are due next month and will give a broader picture of how strongly Wall Street's dealmaking engine is recovering. Jefferies shares fell 1.6% in after-market trading. DEALS REVIVAL Global dealmaking reached $2.6 trillion in the first seven months of the year, the highest since the 2021 pandemic-era peak, as a quest for growth in corporate boardrooms and the impact of a surge in AI activity helped overcome uncertainty caused by U.S. tariffs. "The recent periods have been characterized by greater strength in corporate M&A, and not yet a robust M&A market for private equity and sponsor-backed transactions," Friedman said. "Our backlog would suggest that there will be an increase in sponsor-oriented M&A activity … I think you’ll see increased activity into 2026." Advisory revenue at Jefferies rose 10.7% to a record of $655.6 million in the quarter. Jefferies said its equity and debt underwriting revenues climbed 20.7% and 36.3%, respectively. "Our equities business continues to perform well, our market position has clearly grown … and we expect that to continue," he said, citing the strength of Jefferies' equity research and advisory services, as well as its global presence in derivatives, swaps and prime brokerage. It acted as bookrunner on several high-profile U.S. IPOs during the quarter, including Firefly Aerospace and crypto exchange Bullish. Revenue from the capital markets business, which houses its trading desks, rose 6.9% to $723.4 million from the previous quarter. Earlier this month, Japan's Sumitomo Mitsui Banking Corp agreed to raise its stake in Jefferies, aimed at strengthening cross-border dealmaking and equity capital markets as Japanese capital flows surge. Net earnings attributable to common shareholders rose to $224 million, or $1.01 per share, in the three months ended August 31. That compares with $167.1 million, or 75 cents per share, a year earlier. Analysts on average had expected a profit of 80 cents per share, according to data compiled by LSEG. (Reporting by Lananh Nguyen in New York and Prakhar Srivastava in Bengaluru; Editing by Alan Barona)

(The article has been published through a syndicated feed. Except for the headline, the content has been published verbatim. Liability lies with original publisher.)