McDonald’s and Yum’s Impacts in China, GM Awaits the Fiscal Cliff: Consumer Biz Update
New Hope Liuhe Company, which is the largest poultry vendor in China, will sustain “a certain amount of impact” on its sales and profits, from a report which is circulating that says McDonald’s Corporation (NYSE:MCD) and Yum! Brands (NYSE:YUM) have quit buying meat from the company because it was said to have been improperly inspected for antibiotics and hormones. Liuhe said in a statement that it shut the deep-freeze plant in the city of Pingdu that was cited in a Chinese TVreport, and is cooperating with a government inquiry.
General Motors Company (NYSE:GM) saw its Overweight reiterated by the analyst Ryan Brinkman at JPMorgan, who remarked that ”(W)e continue to recommend shares of both GM and Ford. We believe the recent rally in automaker shares can be sustained, and is likely to be helped by the strong pickup truck month in December.” But, the current fiscal situation in Washington could well impact the ongoing rally in vehicles sales, if consumers react to the very likely automatic tax hikes and spending cuts set to go into effect on January 1st, should the government fail to fix the crisis in a few days or weeks.
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In a Monday press release, The Walt Disney Company (NYSE:DIS) and Charter Communications have reached a comprehensive long-term distribution arrangement through which to deliver Disney’s lineup of sports, news and entertainment content to Charter TV customers via televisions, smartphones, computers, tablets, gaming consoles and internet-enabled televisions. It is intended that the launch of content across the new distribution platforms is planned to commence in the first half of 2013.
The Silicon Valley entrepreneur and investor Blake Krikorian has stepped down from the board of Amazon.com (NASDAQ:AMZN), to assume an unspecified role with the buyer of a firm he owns. Spokesman Ty Rogers added that Krikorian, whose most recent endeavor is home-automation startup id8 Group R2 Studios, has divested a company and resigned so as to take up a position with the acquirer. He did not disclose the company involved or the buyer.
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