Disney's profit plunged 91% last quarter as parks closed due to coronavirus
From CNN’s Frank Pallotta
Daniel Slim/AFP/Getty Images
Disney's profit dropped 91% during the first three months of 2020, showcasing the widespread decimation the coronavirus pandemic has brought on its media empire.
Although sales for the quarter were up 21% to $18 billion, Disney's profit took an enormous hit from the closure of its parks as well as large costs associated with getting the Disney+ streaming service off the ground.
The company's parks and experiences unit was hit particularly hard by the outbreak. That segment saw a 58% drop in operating compared to last year, a result of Disney shuttering its theme parks and resorts around the world.
4:30 p.m. ET, May 5, 2020
Denver will begin reopening Saturday
From CNN’s Sarah Turnbull
Denver will allow some businesses to reopen on Saturday given the guidelines laid out by the state of Colorado, according to Denver Mayor Michael Hancock.
“These businesses can start to reopen offices with only 50% of their employees on site, and 6 feet of physical distancing between them, retail businesses with only 50% of their employees on site and six feet of physical distancing available between customers,” Hancock said at an afternoon news conference.
Hancock says restaurants and bars in the city will remain closed. Personal care businesses like hair salons will be allowed to open on a by appointment only basis with no walk-ins.
6:14 p.m. ET, May 5, 2020
Ousted vaccine director to testify on Capitol Hill next week
From CNN's Kaitlan Collins and Jeremy Diamond
Dr. Rick Bright HHS
Dr. Rick Bright, the ousted director of the office involved in developing a coronavirus vaccine, will testify on Capitol Hill next Thursday, his lawyers were informed.
“I’ve received notification from Congresswoman Eshoo that she is going to be scheduling hearings next week, May 14, and Dr. Bright will be testifying,” Bright's attorney told reporters during a conference call Tuesday.
CNN reported last month that Rep. Anna Eshoo, the chairwoman of the House's Health subcommittee, told CNN she plans to call in Bright to testify before her panel as she reviews the circumstances of his removal from a key position after he raised concerns about the safety of a drug that President Trump touted as a potential treatment to the coronavirus.
Bright had led the Biomedical Advanced Research and Development Authority since 2016 when he was reassigned last month to a narrower position at the National Institutes of Health.
Airbnb is laying off about 25% of its workforce as the coronavirus pandemic upends the travel industry and threatens the company's core business.
The short-term rental startup on Tuesday said nearly 1,900 employees will be let go worldwide, out of 7,500.
"We are collectively living through the most harrowing crisis of our lifetime, and as it began to unfold, global travel came to a standstill," Airbnb CEO and cofounder Brian Chesky said in a letter to employees.
He added that Airbnb's business has been "hit hard" and revenue this year is expected to be less than half of what the company earned in 2019.
Airbnb has also reportedly delayed plans for a Wall Street debut this year.
In the US, Airbnb said it will cover 12 months of health insurance for its employees through COBRA. In all other countries, it will cover health insurance costs through the end of this year.
"I have a deep feeling of love for all of you," Chesky wrote in the letter. "I am truly sorry. Please know this is not your fault. The world will never stop seeking the qualities and talents that you brought to Airbnb."
Airbnb has also grappled with appeasing frustrated customers with refunds, and supporting its hosts, many of whom are struggling to make mortgage payments and pay bills due to coronavirus-related cancellations.
4:08 p.m. ET, May 5, 2020
US stocks finish higher
From CNN’s Anneken Tappe
US stocks closed higher on Tuesday, as investors grew optimistic about the reopening of the US economy.
Here's where the markets closed today:
The Dow closed up 133 points, or 0.6%.
The S&P 500 ended 0.9% higher.
The Nasdaq Composite finished up 1.1%.
It marked the second straight day of gains for the three indexes, though they finished well off their session highs Tuesday.
4:22 p.m. ET, May 5, 2020
Some Orange County beaches to begin phased reopening
From CNN's Alexandra Meeks
Lifeguards keep a lookout at Laguna Beach, California after officials reopened access to the sand on Tuesday, May 5. The beach has been closed since March 23. City parks along the beach are still closed and people cannot sit or linger on the sand. Paul Bersebach/MediaNews Group/Orange County Register via Getty Images
After a standoff with Gov. Gavin Newsom last week that led to the closure of all Orange County beaches, California is now allowing three cities in the county to begin reopening their coastlines, the California Natural Resources Agency announced in a statement Tuesday.
The cities of Huntington Beach, Dana Point and Seal Beach submitted plans to avoid overcrowding and allow safe public access to their beaches to protect public health, the statement said.
The plans were approved Tuesday by state officials after they were found to be consistent with the stay-at-home order.
“I cannot impress upon people more that we’re not going back to normal," Newsom said at a news conference Tuesday.
"It’s back to a new normal, with adaptations and modifications until we get to immunity, until we get to a vaccine. We’ll get there," he said.
California's state agencies say they are working with other local governments in Orange County that are developing similar plans to safely restore access to beaches under their jurisdictions.
Newport Beach submitted a plan with California to safely reopen its beaches but has not yet received any information on an approval or modifications, the city said today.
Some background: This comes after Newsom ordered a hard closure for all Orange County beaches last week, after significant crowds packed the waterfront, and protesters rallied against coronavirus restrictions.
4:19 p.m. ET, May 5, 2020
California governor says counties reopening are "making a big mistake"
From CNN's Cheri Mossburg
Pool
California counties reopening ahead of the state’s plans are “making a big mistake,” Gov. Gavin Newsom said.
Three of the state’s more rural counties, Modoc, Yuba, and Sutter, have already begun reopening stores and restaurants in defiance of the stay-at-home orders.
“The overwhelming majority of Californians are playing by the rules doing the right thing, they put us in a position where we're making these announcements this week,” Newsom said.
Newsom warned that they are putting businesses at risk by reopening early. He encouraged them to "do the right thing.”
The governor stressed that he is committed to working with counties and urged leaders to seek the guidance of their health directors to accommodate local needs and regional variances.
4:12 p.m. ET, May 5, 2020
Pence: "We're having conversations" about winding down the coronavirus task force next month
From CNN's Jeremy Diamond
CNN
Vice President Mike Pence said the White House is considering disbanding the coronavirus task force as early as Memorial Day.
"We're having conversations about that and about what the proper time is for the task force to complete its work and for the ongoing efforts to take place on an agency-by-agency level," Pence said today.
He noted that the White House has begun to discuss a "transition plan with FEMA."
Pence said the discussions are a "reflection of the tremendous progress we've made as a country."
Pence said Dr. Deborah Birx would remain in her role "every bit as long as we need to."
About the possible wind down: On the timeline, Pence said the White House is "starting to look at the Memorial Day window, early June window as a time when we could begin to transition" away from the task force.
Pence's comments came during a pen and pad briefing today with reporters to which CNN was not invited. The Vice President's office provided CNN with a partial transcript after the fact.
4:08 p.m. ET, May 5, 2020
More than 400 asymptomatic workers at Triumph Foods test positive for Covid-19
From CNN’s Brad Parks
Triumph Foods in St. Joseph, Missouri KQTV
The Missouri Department of Health and Senior Services (DHSS) updated the number of employees and contract workers testing positive for Covid-19 at Triumph Foods in Buchanan County to 412. This is an increase of 39 more positive cases than were reported over the weekend.
All 412 individuals presented with no related Covid-19 symptoms.
This is out of 2,367 workers who were tested on site April 27- May 1 at Triumph Foods as part of Missouri’s “box in” testing strategy when an outbreak is present among people living or working closely together, according to the DHSS statement.
Based on an assessment by DHSS and guidance from the Centers for Disease Control and Prevention (CDC), Triumph Foods has informed its staff that return to work guidelines have been changed from seven days to 10 days.
