Mar 6, 2017

Sale of Opel will reduce GM profit by $4 billion

Zacharie Scheurer/AP

General Motors is selling its European unit, Opel, to rival Peugeot for $1.9 billion, forcing America's largest car maker to take a $4 billion charge against earnings to account for a decline in Opel's value. The sale will reduce GM's revenue going forward, and will result in a short-term reduction in GM profits. Though investors bid up GM's stock price in recent weeks on rumors of this deal, the details disappointed somewhat, as the stock fell more than 2% in early trading Monday.

Fighting over scraps: European politicians are already scrambling for guarantees that the deal won't result in job losses, but workforce reductions will be part of Peugeot's strategy to put Opel in the black. The global auto industry is moving towards automating manufacturing in high-wage countries. U.S. employment in auto manufacturing, for instance, declined by more than 7% over the past decade even as sales of light vehicles have risen by just shy of 9%.

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Biden says he'll follow CDC mask guidance: "Listen to the Faucis of the world"

Joe Biden said on ABC's "This Week" Sunday that he will follow the Centers for Disease Control and Prevention's new recommendation that people wear face coverings when they leave home to prevent the spread of the coronavirus.

Why it matters: After the White House announced the guideline last week, President Trump said he will likely not wear a mask and emphasized that the guidance was "voluntary."

Louisiana governor says state will run out of ventilators on April 9

Louisiana Gov. John Bel Edwards said on CNN's "State of the Union" Sunday that modeling projects his state will run out of ventilators for coronavirus patients on April 9 and hospital beds on April 11.

Why it matters: New York is the only state in the country with a worse per-capita death rate than Louisiana, where around 12,500 people have been infected and 409 have been killed.

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Coronavirus dashboard

Illustration: Sarah Grillo/Axios

  1. Global: Total confirmed cases as of 9 a.m. ET: 1,216,422 — Total deaths: 65,711 — Total recoveries: 252,478Map.
  2. U.S.: Total confirmed cases as of 9 a.m. ET: 312,245 — Total deaths: 8,503 — Total recoveries: 15,021Map.
  3. Public health latest: CDC launches national trackers and recommends face coverings in public. Federal government will cover costs of COVID-19 treatment for uninsured. The virus is hitting poor, minority communities harder and upending childbirth.
  4. 2020 latest: "We have no contingency plan," Trump said on the 2020 Republican National Convention. "We're having the convention at the end of August."
  5. Business updates: Restaurants step up for health care workers. Employees are pressuring companies to provide protections during coronavirus.
  6. Oil latest: Monday meeting among oil-producing countries to discuss supply curbs is reportedly being delayed amid tensions between Saudi Arabia and Russia.
  7. Education update: Many college-age students won't get coronavirus relief checks.
  8. What should I do? Pets, moving and personal health. Answers about the virus from Axios expertsWhat to know about social distancingQ&A: Minimizing your coronavirus risk.
  9. Other resources: CDC on how to avoid the virus, what to do if you get it.

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