fortune--2020-05-22--What it’s like to fly with new pandemic guidelines: Heightened anxiety and not enough masks

“Aha! Put your mask on!” says the United Airlines flight attendant whom I’d asked, a few minutes earlier, if there was a reason he had his mask pulled down under his nose when boarding passengers.
Now he’s caught me with my mask down. I’d just torn through a peanut butter and jelly sandwich in my seat as we waited for takeoff and had left my Rainforest Cafe–themed cloth mask dangling from my ears. As I heard someone approaching, I snapped it back into place, but it was too late to avoid his jab.
I never expected my trip from Dallas/Fort Worth to Newark on May 20 to be a day at the spa. It was my first flight since the airlines implemented new guidelines. But I was surprised by the lax compliance when it came to following Centers for Disease Control and Prevention (CDC) and company rules to wear masks and stay six feet away from others.
I was distressed by this at first, but as the day progressed, I was able to gain a deeper understanding of how difficult it is for ride-share drivers and airline and airport workers to do their jobs right now. Companies and government agencies involved with travel are changing the rules frequently to keep up with public health guidance. The burden of properly carrying out these policy changes lies with their employees, many of whom have stressful jobs in an industry that has been completely shaken up by the pandemic.
These concerns, though, were barely on my mind when I flew to Dallas on March 22. Back then, I believed that the novel coronavirus did not pose much of a threat to a healthy thirtysomething like myself. I was mostly concerned that I might infect my mom and her husband—both over 60—since I was flying to stay with them in the Dallas metro area. (After I started making a music video about isolation in my Brooklyn one-bedroom, I decided it might be smart to ride out the quarantine with other human beings.)
Back in March, basically no one was wearing a mask, including me. I didn’t even own one. Newark airport and the plane were essentially empty; some passengers behind me had to be moved to the back of the plane to balance its weight distribution. The trip was unremarkable.
For my flight this week, I spent ample time researching how safe it was to fly—reading about virus spread in enclosed spaces, HEPA filters, and airline policies on leaving empty seats between passengers. We called the airline to ask about that last one. Their response: We will try to keep a seat between you and others, but if the flight is booked up, we can’t guarantee it. Hoping to reduce that chance, my mom booked us all Economy Plus seats. A few days after making our reservations, I saw the viral picture of a packed United flight, which cranked my anxiety up a few more notches.
Little as we wanted to fly, we had to: I’m moving out of my apartment, and my mom and her husband are relocating to their home in the New York City area. So we decided we would pack our masks and do what we could to stay safe.
I prepare for other passengers to not be wearing masks and to brutally judge them for it. But I learn quickly there’s an even bigger issue: Not everyone working for organizations with COVID-19 safety policies is following them, starting with our Lyft driver who takes us to the airport. He’s not wearing a mask, a violation of the company’s standards.
By the time we pull up to the departures terminal, I’m angry, but I resolve not to say anything, to avoid making a scene. As the driver tries to help us unload our baggage—normally a kind gesture—I aggressively motion for him to stay back from us. He smiles awkwardly and steps away in surprise. I walk away feeling sad and unsure if I overreacted.
Entering the terminal, we find two unmasked United workers at baggage check. As my mom checks her bag, I ask one employee what United’s policy is regarding their employees wearing masks.
“We have to, but my shift is over, and I’m leaving,” she responds.
“I understand. And what about him?” I ask, pointing to the man checking my mom’s suitcase.
“You don’t have to wear one if there’s a shield between you and the customer.”
He is behind a shield, but he has to move to the side of it to weigh my mom’s bag and say something to her.
Once my mom’s bag is checked, we walk through a mostly empty terminal toward security. A woman stands at the entrance of TGI Fridays asking people if they want to come in for lunch, like a shop owner at a flea market. The Bubble presented by Coca-Cola, an open and very red lounge, is as empty as its name suggests. I feel more like I’m walking through a New Jersey shopping mall on a Monday afternoon than one of the most highly trafficked airports in the country.
The TSA agents working the checkpoints are all wearing masks, though four of them who enter alongside us are uncovered. But at this next stop on our journey, we encounter a new issue: social distancing. Fifteen or so TSA agents are pooled at the end of the checkpoint, talking to each other with far less than six feet of distance. One employee retrieves me to watch them search my bag since I forgot to take out my laptop. He stands and walks only about a foot away from me.
Once we’re on the plane, the situation feels safer. The flight attendants all wear masks throughout the flight. It looks like they’ve done their best to leave empty seats next to people traveling alone, including mine. The attendants do an admirable job maintaining a sense of normalcy in the cabin.
During the flight, I reflect on the start of our trip. I still feel that all the employees we interacted with should have been wearing masks, and I wonder whether companies are being strict enough in enforcing their safety policies. But I also can’t imagine what it’s like to have to work in a service position with a mask on every day. Even over the course of a three-and-a-half hour flight, there were several times I wanted to rip mine off and gulp in some fresh recirculated air.
My trip was a crucial reminder that many people are doing their best at a time when we have so little reassurance and so much stress—every interaction is potentially a life or death situation. I nobly intended to wear my mask for the entire journey and help my mom and her husband stay as far away from others as possible. But after devouring two sandwiches at high speed—an action that was itself probably a stress response to our ride to the airport—and getting lost in my phone, I completely forgot about trying to keep myself and others safe.
I’ve been fortunate to be able to work remotely without much shift in my day-to-day responsibilities, but even then, it’s been a major adjustment. So I can’t imagine how difficult it’s been for travel industry workers to make drastic changes on such a short timeline. At a time when social behavior and safety go hand in hand, we need to be patient with one another, and remember that we’re all still learning to get by in new and unfamiliar ways.


fortune--2020-05-22--A new arrest in the Ahmaud Arbery case

A new arrest in the Ahmaud Arbery case

Social distance , party of one : Photos showing how the coronavirus is changing how we dine out

This is the web version of raceAhead, Fortune’s daily newsletter on race, culture, and inclusive leadership. To get it delivered daily to your inbox, sign up here.
Happy almost Memorial Day Weekend! A new arrest in the Ahmaud Arbery murder, bots are dominating the online coronavirus conversation, and the University of California is eliminating requirements for standardized testing.
But first, here’s your marketing-inspired week in review, in Haiku.
In these challenging
times; unprecedented, right?!
I hope this note finds
you well. Amid these
times: You can finally lose
that belly fat! And
wrinkles. Organize
your closet. Do a handstand.
Write that screenplay, dawg!
Whiter teeth, for the
front line workers. We’re all in
this together! Now,
more than ever:
We thank you. And want you to
have really nice hair.
On this strange start of the summer season, we are grateful for you. Be safe, have fun, look up, if you can.
Ellen McGirt
@ellmcgirt
Ellen.McGirt@fortune.com
On point
The man who filmed the pursuit and murder of Ahmaud Arbery has been arrested The charge is suspicion of murder, says the Georgia Bureau of Investigation. William "Roddie" Bryan Jr. allegedly first observed the pursuit while working in his yard, then followed behind and filmed the fatal shooting committed by Travis McMichael. But Gregory McMichael, who was riding in the bed of the pickup truck used to chase down Arbery, told police that Bryan had earlier attempted to help the two men track down Arbery. Bryan's attorney says his client is innocent and had no prior contact or plan with the McMichaels and will be the state’s “star witness.”
CNN
Listen up, sheeple: All those Twitter coronavirus conspiracy theories? Probably bots According to researchers at Carnegie Mellon University, some 45% of 200 million tweets talking about the pandemic behaved more like bots — irritating algorithms — than humans. And, they appeared to have mischief as part of their operating systems. "We do know that it looks like it's a propaganda machine, and it definitely matches the Russian and Chinese playbooks, but it would take a tremendous amount of resources to substantiate that," said one professor who is preparing to publish her research.
NPR
The University of California will no longer use SAT or ACT in its admissions process The move, which will remove standardized testing requirements across its ten campuses, is expected to be a galvanizing moment for reform-minded advocates. “These tests are extremely flawed and very unfair,” said California Lt. Gov. Eleni Kounalakis, who supported the decision as a member of the University’s board.“Enough is enough.” But some experts worry that the decision, designed to increase the likelihood that underrepresented and low-income students would be able to complete and afford the admission process, would have the opposite impact. A faculty task force found that test scores predict college success within the University of California system more effectively than high school grades, boosting to the chances of prospective Black and Latinx students with lower grades.
New York Times
Dig into The New York Times Company Diversity Report I will not bury the lede: Their progress on gender is impressive; on race, particularly in the newsroom, less so.
New York Times Compan
Coronavirus in the community
Today's big number
$3.6 million
The amount of money donated to the Navajo Nation to fight the coronavirus pandemic. The money comes from a combination of tribal businesses, outside corporations, and individuals. Navajo officials are struggling to allocate the funds, citing red tape, understaffing, and jurisdictional confusion.
On background
What is AI good at? Let’s examine the list by exploring what it’s not good at: predicting life outcomes for marginalized people based on things such as grade averages, how public policies impact families, whether a parent living in an economically “fragile family” will be laid off or evicted, grit—pretty much anything that could lessen racial bias or inform better policies or services. One paper coauthored by over 112 researchers across 160 data and social science teams found that AI and statistical models were inaccurate even under ideal research conditions—13,000 data points from over 4,000 families. It’s a cautionary tale, they said. “Here’s a setting where we have hundreds of participants and a rich data set, and even the best AI results are still not accurate,” said the study's co-lead author. “These results show us that machine learning isn’t magic; there are clearly other factors at play when it comes to predicting the life course.”
Venture Beat
How you can tell that a company is really committed to diversity and inclusion Job seekers are facing a myriad of special pressures these days. But how can you tell if a new or prospective employer really understands how to create a fully welcoming environment? Author and consultant Minda Harts says open your eyes ahead of time. “Many of the issues we face inside toxic work environments might have been avoided if we did some early research,” she says. Skip the diversity statements and stock-photo’d website and hit the whisper networks. Check Dipper, for executives of color, Glassdoor chatter, industry-specific Slack channels, and don’t forget the company’s social feeds. “If an organization is thoughtful in how they run their social and digital communication, there will be inclusive language and consistent conversations,” adds Sarah Saska, Ph.D., consultant and CEO of Feminuity.
Diversity in Research
Randall Jacobs has died and his obituary will make you miss him.
Hansen Mortuaries and Cemeteries
Today's mood board


fortune--2020-05-22--Birth control gel approved as first no-hormone option in decades

A new birth control gel is the first non-hormonal contraceptive to win FDA approval in decades, bringing another option to the $5.4 billion market.
The gel, marketed as Phexxi by Evofem Biosciences Inc., works by making pH levels in the vagina inhospitable to sperm when applied up to an hour before sex.
The approval marks a rare new option in the contraceptive market, which has been dominated by pills for the past 60 years. The last wholly new type of birth control without hormones was the female condom, approved in 1993.
“This is for women who aren’t using hormonal contraceptive, who want to prevent against pregnancy and won’t use an IUD (intrauterine device),” Evofem Chief Executive Officer Saundra Pelletier said by telephone. “Our product is the only contraceptive product with no hormones, with no systemic side effects, and that women use only when they need it.”
Shares of Evofem reversed an initial drop to rise 2.5% at 1:07 p.m. in New York after the thinly traded biopharmaceutical company won its first regulatory approval. The stock has fallen about 20% this year.
Oppenheimer analyst Leland Gershell, who recommends investors buy shares, forecast annual sales in the U.S. could reach $440 million by 2024. The company is still working on the exact pricing, which is expected to be in-line with branded birth control pills. However, it anticipates health insurance companies will pay between $250 and $275 per pack of 12 prefilled applicators.
Rather than “replace or compete with the pill” out of the gate, Pelletier said the company is looking to first target the 17 million U.S. women who identify “as beyond hormone,” meaning they either don’t want to use or can’t use a hormonal contraceptive.
Currently approved hormonal products can trigger side effects like pain, nausea, headaches, bleeding, mood changes and weight gain. Traditional birth control pills can also cause blood clots and increase the risk of heart problems like a stroke or heart attack.
In Phexxi trials, more than 10% of women experienced vaginal burning and itching, which was the most common side effect of the gel. However, Evofem said the events decreased with each consecutive cycle.
While similar, at first glance, to over-the-counter spermicides — which work by blocking the entrance to the cervix and slowing sperm — the gel differs in that it uses vaginal pH levels to create an acidic environment to prevent fertilization.
In a late-stage clinical study of about 1,400 women, Evofem said the gel prevented pregnancy 93.3% of the time when it was used correctly and 86% of the time overall. That compares to an effective rate for spermicides at 82% when used correctly and 72% overall, according to Planned Parenthood. The group recommends the use of spermicide in addition to another methods like condoms.
Evofem is planning to start a pivotal study of the gel for the potential prevention of chlamydia and gonorrhea in women later this year, which could also boost its appeal to users and investors. It expects to start the study later this year after a mid-stage trial met its primary and secondary targets in December.
The gel is expected to be available in September with a “staged launch” focused on areas where businesses shut from the coronavirus are reopening more rapidly. The company says it will also look to buck the trend of uninspiring launches for women’s health products, taking advantage of social media promotions and online influencers. The company is planning for a “very big” social push ahead of Valentine’s Day and will then expand into other media avenues, Pelletier said.


fortune--2020-05-22--These are the changes being proposed to the PPP loan program by the House and Senate

Lawmakers in both the House and Senate are proposing some pretty major changes to the Paycheck Protection Program, as businesses and lobbyists voice concerns the program doesn’t give them enough flexibility to spend the funds.
On Thursday, the Senate adjourned without voting on a bipartisan bill to extend the time frame in which small businesses need to use funds for the PPP loans to 16 weeks, from the current eight weeks, as well as extend the June 30 deadline for applying to Dec. 31 (lawmakers had expected to pass the bill unanimously). The Senate session ended late Thursday without a vote, and senators headed to a weeklong recess.
Under the current legislation, the first recipients of PPP loans are almost out of time to spend the funds.
The new proposed bill in the Senate, spearheaded by Sen. Marco Rubio (R-Fla.), chairman of the Committee on Small Business and Entrepreneurship; Sen. Ben Cardin (D-Md.); Sen. Susan Collins (R-Maine); and Sen. Jeanne Shaheen (D-N.H.); comes with some big changes: The bill would double the time frame in which businesses needed to spend the money, push back the deadline to apply to the end of the year, ensure lenders weren’t liable for certifications provided by borrowers, and even “allow borrowers to use loan funds to purchase personal protective equipment for employees and to pay for adaptive investments needed to reopen safely,” according to a summary of the bill, entitled the Paycheck Protection Program Extension Act.
The PPP loans, which range up to $10 million, can become grants if used over eight weeks, and if 75% of the funds are used for payroll, while 25% are used for mortgage interest payments and other expenses. The Small Business Administration and Treasury recently released a forgiveness application for businesses, but many say that only raised further issues, including the time and spending limits.
Small businesses have expressed concerns that the eight-week period to spend the funds for full forgiveness has been too short, as shutdowns that remain in place in many areas have made it difficult for businesses to spend the funds while remaining closed.
Lobbyists for restaurant groups and other industries have asked the administration and lawmakers to make changes to this time frame: “When it was implemented…eight weeks probably seemed like an eternity,” José Cil, chief executive of Restaurant Brands International, the owner of Burger King and other chains, told President Trump at the White House this week. “But today, we’re in the 10th week of the pandemic, and I think it’s going to take some time for our restaurants and our owners to get back to the capacity levels and the traffic levels that we were seeing pre-COVID.” Lobbyists asked for 24 weeks, not 16, for the extension, and President Trump said on Monday that extending the time frame to 24 weeks to use funds “should be easy.” Lobbyists also wanted to change the 75/25 rule to be able to spend more money on other costs like rent and utilities, as many businesses (especially restaurants, bars, and salons) remain closed.
In a separate bill, the House proposed extending the time frame to 24 weeks, also amending the 75/25 rule so businesses could have more flexibility to spend funds where they needed them most, as well as extend the time for businesses to repay the loans beyond two years, among other amendments. The House’s proposal has garnered support from the U.S. Chamber of Commerce, the American Hotel and Lodging Association, and the National Restaurant Association, among others. The bill is also separate from the new $3 trillion Democratic stimulus package, and Speaker Nancy Pelosi announced on Wednesday the House will vote next week on the legislation.
Treasury Secretary Steven Mnuchin said he supports extending the eight-week period, but was less open to changing the 75% rule. “We want most of this money to go to workers,” Mnuchin said Thursday during an online event hosted by publication The Hill. “We believe that the 75% was exactly consistent with the way the program was designed.”
The loans were intended to help keep employees on the payroll. But the program’s rollout has been chaotic from the start, as loopholes allowed big chains and public companies to receive funds, and an overwhelming demand created issues for lenders and the SBA’s systems. The SBA and lawmakers have been continually issuing new guidance as issues and confusion continue to plague the $660 billion program.
Sen. Rubio wrote on Twitter early Thursday that he anticipated the bill would pass before the Senate adjourned, citing “strong bipartisan support.”
Feel increasingly(yet cautiously)optimistic we will have strong bipartisan support to pass a bill today that would extend the period in which small businesses can use #PPP funds.Thanks to @SenatorCollins @BenCardinforMD @SenatorShaheen @SenCoryGardner @SenThomTillis @SteveDaines — Marco Rubio (@marcorubio) May 21, 2020
Separately, he said in a video on his Twitter on Wednesday that the first challenge was to get bipartisan support for the bill in the Senate—but “Number two, can we get the House to take it up and pass it as well?”
While it’s clear there is support on both sides of the aisle to extend the eight-week time period and make loans more flexible, it’s unclear how or when differing proposals could be resolved. It’s also unclear if senators might vote on the bill before returning in June, but the House is expected to vote on its proposal next week. Either bill would need to pass both the House and the Senate and be signed by the President.
More must-read finance coverage from Fortune:
—Saving lives vs. saving the economy is a false tradeoff, economists say
—Real unemployment rate soars past 24.9%—and the U.S. has now lost 33.5 million jobs
—17% of unemployed workers aren’t looking for work—and that’s warping the official unemployment rate
—Does Apple’s stock buyback strategy make sense in this market?
—Goldman Sachs doubts there will be a Round 3 of PPP loans for small businesses
—Listen to Leadership Next, a Fortune podcast examining the evolving role of CEO
—WATCH: Why the banks were ready for the financial impact of coronavirus
Subscribe to How To Reopen, Fortune’s weekly newsletter on what it takes to reboot business in the midst of a pandemic


fortune--2020-05-22--Amazon reportedly set to delay Prime Day until September

Amazon.com will hold its annual Prime Day shopping event in September this year rather than July to give the strains on its operations more time to subside, the Wall Street Journal reported this week. A company spokesperson declined to comment.
The two-day event is a big sales bonanza for Amazon, bringing in an estimated $7 billion last year. But Prime Day, a shopping holiday invented in 2015 with no link to any larger social occasion, aims to help Amazon reach a more important goal: get people to sign up for Prime, its membership service that offers unlimited faster shipping for an annual fee and entertainment like music and movies, in the aim of making Amazon the default e-commerce site for consumers.
And Prime has been a success on that front: According to one report, 112 million Americans were Prime members as of December. At the same time, that success has meant Amazon has struggled with demand during the pandemic as online sales surged while most physical stores were idle.
The Journal reported that delaying Prime Day would help Amazon process orders more quickly in its warehouses and make room for more inventory, addressing the recent problem it has had with longer than expected shipping times that have frustrated shoppers. Amazon has not reinstated one-day shipping for many Prime orders, though there have been big improvements in two-day shipping, the Journal reported.
Amazon has lifted restrictions on nonessential goods and restored coupons and deals. But it is still dealing with many out-of-stock items. Last month, the company warned investors it would spend $4 billion in the current quarter on coronavirus-related expenses, including “getting products to customers and keeping employees safe.”
Though Amazon has an enormous lead on its rivals, many brick-and-mortar chains have stepped up during the COVID-19-related lockdowns, using stores to offer faster delivery and give shoppers an additional option to quickly retrieve online orders. Lowe’s and Target saw digital sales rise around 150% last month, greatly aided by stores offering curbside pickup. At Walmart, online sales rose 74% last quarter, adding to the pressure on Amazon.
Last month, Reuters reported that Amazon would postpone the event until at least August and potentially take a $100 million hit from the excess devices it would have to sell at a discount.


fortune--2020-05-22--Lori Loughlin and Mossimo Giannulli plead guilty in college admissions scandal

“Full House” star Lori Loughlin and her fashion designer husband, Mossimo Giannulli, pleaded guilty Friday to paying $500,000 to get their two daughters into the University of Southern California as part of a college admissions bribery scheme, but a judge has not decided whether he’ll accept their plea deals with prosecutors.
Under the proposed deals, Loughlin, 55, hopes to spend two months in prison and Giannulli, 56, is seeking to serve five months. But U.S. District Judge Nathaniel Gorton said Friday at the famous couple’s video hearing that he will decide whether to accept or reject the plea deals after further consideration of the presentencing report.
The famous couple, who appeared on separate video screens, both sitting with a lawyer, made no comments during the hearing other than to answer the judge’s questions.
They were among dozens of wealthy parents, athletic coaches and others charged last year in the bribery scheme. The parents paid hefty bribes to get their kids into elite universities with bogus test scores or fake athletic credentials, authorities said.
The couple have been scheduled to go to trial in October on charges that they got their two daughters into USC as crew recruits, even though neither girl was a rower. Prosecutors say they funneled money through a sham charity operated by college admissions consultant Rick Singer, who has pleaded guilty to orchestrating the scheme.
Loughlin has also agreed to pay a $150,000 fine and perform 100 hours of community service. Giannulli has agreed to pay a $250,000 fine and perform 250 hours of community service.
Loughlin pleaded guilty to conspiracy to commit wire and mail fraud. Giannulli pleaded guilty to conspiracy to commit wire and mail fraud and honest services wire and mail fraud. Prosecutors agreed to dismiss charges of money laundering and federal programs bribery that were added after the case was filed.
Loughlin and Giannulli had argued they believed their payments were legitimate donations to the school or Singer’s charity and accused prosecutors of withholding evidence that would exonerate them. The judge this month r ejected the defense’s bid to dismiss the case over allegations of misconduct by federal agents.
An attorney for the couple declined Thursday to comment.
They are the 23rd and 24th parents to plead guilty in the case.
Others who have admitted to participating in the scheme include “Desperate Housewives” actress Felicity Huffman, who paid $15,000 to have someone rig her daughter’s entrance exam. Huffman was sentenced to two weeks in prison.


fortune--2020-05-22--The Coronavirus Economy: What it’s like running a chef-prepared meal service while there’s a run on

The Coronavirus Economy: What it’s like running a chef-prepared meal service while there’s a run on grocery stores

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Tatiana Boncompagni is a journalist and author turned entrepreneur, having previously worked for the Wall Street Journal in Brussels and in New York before becoming a freelancer for the New York Times and the Financial Times, among other publications. And she has also written three novels.
It was at this point her career, about two years ago, when she says she had “one of those lightbulb moments—or epiphanies, as we used to call them—and realized that I had gotten away from my original purpose or reason for becoming a journalist, which was to have a positive impact on the world.” So she made a pivot into wellness and became a personal trainer and holistic health coach. And more recently, she launched a wellness-oriented food business—just in time for the COVID-19 crisis to radically shake up the way people shop, cook, and eat.
Fortune spoke with Boncompagni about her New York–based chef-prepared meals business, Eat Sunny, for a new series, The Coronavirus Economy. We asked her about how the outbreak has affected her business and her thoughts on the future, and how she has been handling this news, both emotionally and financially.
Tatiana Boncompagni is an author turned entrepreneur. Tatiana Boncompagni
The following interview has been lightly edited and condensed for clarity.
Fortune: What inspired the launch of Eat Sunny?
Boncompagni: I started a business selling nutrition and fitness e-books. One of my customers asked me why I couldn’t just make the food in the plan and put it in their fridge, and that’s when the seeds of Eat Sunny started to take hold. I saw a real space in the marketplace that I believe the Weight Watchers and Jenny Craigs are going to lose—customers who care about their health and well-being but don’t want to be marketed to for weight loss. We provide satisfying, fiber-and- antioxidant-rich meals that are also portioned for optimal health, but we are never going to tell you that you need to lose weight. I want my customers to take more joy from their food and at the same time support their wellness goals by making eating healthy easy.
One of our value propositions from the start has been immunity boosting, because when I think “health” I don’t think “diet,” but all the nutrients we know can help you prevent chronic conditions, fend off infectious disease and really [help you] look and feel your best.
For many consumers, grocery shopping has changed dramatically over the past few months. Some consumers might be turning to alternative services, like subscription and delivery programs, to stock up on food and meals for the week. How has demand for Eat Sunny fared since the onset of the pandemic?
Well, we actually just launched. The week we were scheduled to do our desk sides was the same week everyone started working from home. All of our events were canceled. I almost decided to press the pause button, but then I realized a few things.
One, my partners are in the catering business, and all their events had been canceled. They could use work delivering to homes to keep their kitchen staff employed. I wanted to do what I could to keep people employed. Two, we started delivering, in partnership with a charity, meals to frontline health care workers. My mission is to bolster people’s health, and who could possibly use our help more than our frontline medical workers?
And last, yes, I did anticipate that this terrible, nightmare scenario might mean greater demand for the product that I’d already realized was my life’s calling to provide. It worried me that a lot of people were stockpiling highly processed foods that would only diminish their body’s ability to fight off COVID. If there was a time when my meals were more relevant and needed, I can’t imagine it.
“I saw a real space in the marketplace that I believe the Weight Watchers and Jenny Craigs are going to lose—customers who care about their health and well-being but don’t want to be marketed to for weight loss.” Rocky Luten
There have been some concerns about the safety of food delivery—not only of preventing the transmission of COVID-19 via food packaging but also protecting employees who are providing an essential service. What kind of precautions has your business set up, and have any of those changed during the pandemic?
Great question. We have done quite a bit to make sure our kitchen and delivery/supply chain are as safe as possible.
Here’s what we are doing: Hourly cleaning around the clock of all surfaces including door handles, press countertops, and cooking equipment, using all antibacterial, hospital-approved cleaning products. [We] created a sanitizing station for our employees to utilize prior to entering our main kitchen area as well as exiting. [We] implemented extra staff training and guidance to review NYC Department of Health guidelines in both Spanish and English, free delivery and “touch free” service to your building or door to help “flatten the curve,” and we placed a hiring freeze to ensure less risk.
We meet the highest sanitary standards, and all the public health criteria governed by the FDA Food Code. Our facility is closed to the public, and we have also tightened our employee hygiene practices and increased procedures for cleaning and sanitizing, especially during preparation, distribution, and delivery. We are constantly tracking updates from health organizations such as the CDC and WHO to ensure we protect you at the highest level.
Looking toward the next few weeks and months, how do you expect consumers will continue to shop for food? Do you expect more interest in delivered meals, even as restrictions lift in some areas? And does Eat Sunny plan to expand in this economic climate?
We are already expanding. We’ve had so much demand that we are now servicing Long Island and the Hamptons as well as Connecticut—in addition to Manhattan, Brooklyn, and parts of New Jersey. In two to three weeks we hope to be able to be shipping, and that will allow us to reach the Midwest and all of the Mid-Atlantic and Northeast. I anticipate this will help us double our business.
I do think people will be eating home more often, even if lockdown restrictions are eased, at least for the short term—say, the next six to nine months or end of 2020. And hopefully there will be a vaccine or a way of containing the virus, and we will return to normal as an economy and society, but what we offer will always be relevant.
COVID-19 or not, people are busy and time-pressed, but they want to feel good, and they need to eat. We can help them achieve their goals, feel good, and also enjoy their food. If need be, and if COVID is more like a dimmer than an off/on switch, we will be there for you and bring our delicious, immunity-boosting food to your doorstep.
On a personal note, how have you been faring amid all this?
Me? Oh, well, I have three kids: 15, 13, and nine, and am a single parent, so that has added another hurdle. As if being an entrepreneur wasn’t hard enough? Add launching in a pandemic and managing three kids who have all struggled with homeschooling/remote learning in their own ways. I think one day I will look back at this time and think, “Wow, how did you do that?” But that’s also why I created Eat Sunny, to support all the people out there, the moms and dads and the people who are working until 10:30 p.m. at night (like I am), with comforting, healthy meals. I know I’m hardly alone in how I feel or how hard I work.
What’s helping is also doing what I can to maintain a positive outlook during this time. That means getting regular workouts and eating healthy, not drinking too much and getting enough sleep. For self-care, I try to take a long bath, do an intense yoga once a week, watch stand-up, and lift weights, as big as I can get my hands on. Lifting heavy is my joy; it makes me feel powerful and joyful and optimistic. Exercise is a good antidote to all the stress of launching a business, even one as well-positioned as mine, in the middle of a pandemic.


fortune--2020-05-22--How Lowe’s is finally emerging as a strong e-commerce player

Lowe’s has spent decades helping customers make repairs to their homes. Now it’s successfully carrying out its own fix-up job in its e-commerce business.
The retailer had a blowout first quarter, helped by outside factors such as the COVID-19 outbreak prompting people to buy new appliances like freezers and to make repairs and renovations like installing decks and repainting their homes since they were going to be spending so much more time there.
In the quarter ended May 1, comparable sales at Lowe’s U.S. stores rose a staggering 12.3%, giving it rare bragging rights of having bested its archrival, Home Depot, where sales were up 7.5%.
But Lowe’s strong numbers didn’t just stem from a favorable macro environment. The single biggest factor helping Lowe’s take advantage of the surge in home improvement spending was an e-commerce operation that is far better than it was last year. That is helping it begin to narrow the gap with Home Depot, which is the fourth largest online retailer in the U.S. with annual digital sales of about $10 billion.
In the quarter, Lowe’s online sales grew 80% (including a 150% surge last month), something chief executive Marvin Ellison says is the result of more than a year of big investments to bring Lowe’s e-commerce up to par with other major retailers.
The improvements have included better search capability, more stability, and better interaction with employees’ handheld devices so they can tell customers in real time on the store floor if something is in stock or online. And, most crucially, it has enabled Lowe’s to offer curbside pickup of online orders, critical at a time when many shoppers are reluctant to go into stores, at least for an extended period of time. Lowe’s was not set up for that service prior to the pandemic, but the company got it up and running within days.
“That would have been impossible a year ago because we did not have the IT infrastructure nor the mobile devices in the store,” Ellison tells Fortune. In recent quarters, Lowe’s online sales were growing at the same rate as store sales, far from the surge other retailers were seeing, notably Home Depot.
But Ellison, who became CEO two years ago after a few years at the helm of J.C. Penney, made fixing Lowe’s e-commerce a top priority, a move that has proved prescient given the pandemic.
Another way more robust e-commerce will help Lowe’s in the near future: reducing how much merchandise it puts in stores, notably slower-selling items, and selling them online instead to facilitate social distance. “We can push a lot more SKUs [stock-keeping units, or items] online more quickly,” he says. “With our current process, it takes too long to load product online. I want it to take minutes and hours, not days and weeks.”
Until recently, basic features like giving customers the ability to schedule a delivery in a narrow time window hadn’t been available. Lowe’s was set to complete the “re-platforming” of its e-commerce site in the second quarter, but the company accelerated these improvements when the outbreak hit the U.S.
Lowe’s saw strong demand in the quarter for COVID-19-related items such as cleaning supplies and appliances like refrigerators and freezers. Kitchen and bath renovations lagged since people were more hesitant to invite people into their homes.
It also benefited from being more rural than Home Depot: Some 25% of Lowe’s stores are in rural markets, while business in cities was much more affected by the lockdowns.
As things inch toward normalization, Lowe’s knows that cleanliness and spaciousness will be essential to winning customers’ business. For instance, in its garden centers, which are large and a big draw for customers, it has removed some shelving and certain products to make it easier to get around and not bump into others. And Lowe’s has reduced business hours to allow for more frequent and thorough cleaning.
“Retailers adhering to cleanliness is going to be a determining factor for customers on where they go,” says Ellison.


fortune--2020-05-22--A state-by-state breakdown of unemployment in the U.S., according to the latest figures

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The hustle and bustle of tourists along the Las Vegas Strip has been replaced by shuttered hotels, shops, and casinos. The damage to U.S. tourism is so great that Nevada now leads the entire nation with a 28.2% unemployment rate in April—a figure that is greater than the 25.6% peak U.S. jobless rate during the Great Depression.
The national unemployment rate sits at 14.7%, however, 17 states have surpassed that, according to data state unemployment figures released by the U.S. Bureau of Labor Statistics on Friday.
Michigan is among the hardest hit by the coronavirus with over 5,000 deaths. And it has seen quite an economic shock with its unemployment rate rising from 4.1% in March to 22.7% in April—the second highest jobless rate in the nation.
The third highest rate is in another state well known for its tourism: Hawaii at 22.3%. It was followed by Rhode Island at 17% and Indiana at 16.9%.
Despite a huge coronavirus outbreak, Connecticut actually has the lowest rate in the country at 7.9%. The state’s economy leans heavily toward insurance and finance—industries that haven’t been as battered as tourism or aerospace.
And New York, which leads the nation in COVID-19 deaths, has a 14.5% jobless rate, which is slightly below the 14.7% national level. But even that isn’t something to cheer, considering New York’s unemployment rate was just 4.5% in March.
But the real unemployment rates are actually much higher. The U.S. Bureau of Labor Statistics rate for April goes through just mid-April. Since then, another 12.2 million Americans have already claimed unemployment benefits.
And the official unemployment rate undercounts actual joblessness, given that only out-of-work Americans who are searching for new positions are categorized as unemployed. That divide may be particularly pronounced right now as many unemployed Americans are choosing to wait out the virus and stay-at-home orders before starting their search.


fortune--2020-05-22--States with the least coronavirus restrictions all voted for Trump

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As state-regulated COVID-19 restrictions around the country ease, Americans separated by state and county borders find themselves living increasingly polarized lives. A short, masked walk is currently a great freedom to someone living in New York City while those living in Texas may feel as if life has returned to normal. Most live somewhere in between these two extremes, in a sort of quarantine limbo.
But with stay-at-home orders lifting and business resuming, a new problem has emerged. It’s become difficult to define what it means to be fully “open” and if any one state is more “open” than another. Financial advisory and research site, WalletHub, looked at 11 key metrics to determine which areas had the least restrictions. Factors included whether face masks were recommended or required, if travel was restricted, if there were large-gathering restrictions, if nonessential businesses and schools were allowed to open, and if residents were asked to shelter in place.
The study found that the states with the fewest restrictions were South Dakota, Wisconsin, Idaho, Missouri, and Utah. The areas with the most restrictions were Vermont, Massachusetts, the District of Columbia, Rhode Island, and Illinois.
The divide is almost evenly split between red states and blue states. The least restrictive states all voted for President Donald Trump in 2016, and the most restricted states voted in favor of Hillary Clinton, showing that safety precautions around COVID-19 have become increasingly politically disjointed.
Trump’s son Eric took to Fox News this week to claim that coronavirus-related shutdowns were part of a Democratic conspiracy to stop the President from being reelected. “[Former Vice President Joe] Biden loves this. His campaign is thrilled. They think they’re taking away Trump’s greatest tool, which is going into an arena and being able to fill it with 50,000 people,” Eric Trump said. “You watch, they’ll milk it every single day between now and November 3rd. And guess what, after November 3rd, coronavirus will magically go away and disappear, and everybody will be able to reopen. To a lot of them this is a very cognizant strategy that they’re trying to employ.”
The President has also advocated economic reopenings and downplayed the need to wear a mask. In comments made this week, he suggested that even without a vaccine COVID-19 will “go away at some point. It’ll go away.”
In a Rose Garden press conference, the President said that economies should reopen without vaccines: “Vaccine or no vaccine, we’re back. And we’re starting the process. In many cases, they don’t have vaccines and a virus or a flu comes, and you fight through it.”
The Centers for Disease Control and Prevention (CDC) recommends that everyone remain at least six feet apart from people not in their immediate household and cover their mouths and noses with a cloth face cover when around others to prevent the spread of the virus.
Democrats accuse the right of also politicizing the pandemic. “In the wake of disaster, Donald Trump once again showed us who he is—threatening to pull federal funding and encouraging division,” Biden said of Trump’s visit to Michigan on Thursday. “Michigan is in the fight of its life as it battles this pandemic and flooding disaster, and now more than ever, leadership and empathy matter.”
The messaging has trickle-down effects on politicians and voters. A recent study by Pew found that Democrats are more likely than Republicans to see the virus in more serious terms. About eight in 10 Democrats and Democratic leaners told Pew that they believe the outbreak is a major threat to the health of the U.S. population as a whole; only half of Republicans and GOP leaners (52%) said the same. Meanwhile, about 40% of Republicans believe the country is overreacting to the outbreak, while half of Democrats say people across the country are not taking the outbreak seriously enough.
Another poll by Civiqs found that 36% of Republicans are not concerned at all about a coronavirus outbreak in their local area and just 9% are extremely concerned. Only 3% of Democrats, meanwhile, are not concerned at all, and 55% are extremely concerned.
Still, death rates and a lack of restrictions are not always in line. States like Utah and Idaho have few restrictions and low death rates while New York and New Jersey have high restrictions and are among the hardest-hit states. But other Trump voting states, like Iowa, Mississippi, and Alabama, have chosen to limit COVID-19-related restrictions despite having some of the highest death rates in the country owing to COVID-19.
The lack of restrictions and “reopening” of economies also don’t line up with unemployment numbers. South Dakota, the state with the least COVID-19-related restrictions in the country was also the state with the fourth biggest increase in unemployment claims owing to the coronavirus last week. Vermont, meanwhile, which is one of the most restrictive states, was almost at the bottom of the list for increased unemployment claims.
Impartial officials are asking the country to end the politicization of the virus. “My short message is: Please quarantine politicizing COVID,” said World Health Organization chief Tedros Adhanom Ghebreyesus at a United Nations press conference in Geneva. “We should work across party lines, across religious lines. We shouldn’t waste time pointing fingers.”


fortune--2020-05-22--Memorial Day weekend may be a great time to buy a car: 5 things to know before you shop around

It will come as no surprise that the automobile market has not been spared from the economic damage caused by the coronavirus lockdown. U.S. car sales hit a 30-year low in April, with sales of new cars and trucks down 53% from the previous year, according to automotive research and information website Edmunds.
That’s undoubtedly trouble for dealers and manufacturers alike, as companies like Nissan (–55%), Toyota (–44%), and Ford (–39%) saw huge declines in sales from March to April. But depressed car market conditions also present an opportunity for consumers, who can take advantage of everything from declining vehicle prices to unusually accommodating financing terms.
Here are some things to know if you happen to be in the market for a new car in the time of COVID-19.
Used car prices have fallen steeply—but could rebound soon
Resale values have taken a dive as the pandemic has led to a slowdown in sales and an increase in inventory sitting on lots. Used car sales fell more than 34% year over year in April, according to wholesale vehicle auction firm Manheim, which reported that its auction inventory was up 40% by mid-April.
That means a corresponding decline in used vehicle prices, with wholesale used car prices falling more than 11% in April, according to Manheim. Wholesale prices rebounded nearly 6% through the first half of May, however, indicating that market conditions could be improving as the U.S. economy gradually restarts.
Still, Edmunds forecasts that retail values for used vehicles will take a hit as the economy presumably remains sluggish over the course of this year. It pointed to a 10% decline in the value of three-year-old vehicles in 2008, during the Great Recession, as a comparison. “Recessions aren’t kind to used [car] values,” notes Ivan Drury, Edmunds’s senior manager of insights.
Used car trade-in values have also taken a hit
Unfortunately, depressed used car prices also mean a corresponding decline in trade-in values. Edmunds notes that car owners looking to trade in their vehicle for a new purchase may be surprised at the offers they receive compared with list values.
In April, a record 44% of new-vehicle sales featuring a trade-in had negative equity on the existing car loan, compared with only 33% in April 2019, according to Edmunds. The amount owed on those “upside-down,” or underwater, loans climbed to an all-time high of $5,571 last month, compared with $5,036 in April of last year.
New-car buyers may find good deals this Memorial Day
New-car values are altogether more resilient than those of their secondhand counterparts, but that doesn’t mean there aren’t good deals to be had. With shelter-in-place orders gradually lifting across the country, dealerships are gearing up with the usual Memorial Day deals—and this year, those deals may be particularly generous.
“We’re seeing far more generous incentives and deals out there than we typically would for Memorial Day weekend,” notes Jessica Caldwell, Edmunds’s executive director of insights.
The best deals will likely be found for trucks and SUVs. On 2019 model year vehicles, Edmunds says it is seeing average discounts of 17% on full-size trucks, 14.4% on midsize SUVs, and 16.3% on subcompact SUVs compared with the manufacturer’s suggested retail price. Discounts are slightly less on 2020 model year vehicles, to the tune of 13.4% on full-size trucks, 11% on midsize SUVs, and 13.5% on subcompact SUVs.
Auto loans are cheaper than ever
Given the auto market’s struggles, lenders are offering historically generous terms in an attempt to draw prospective buyers to the lot.
Zero-percent auto loan deals hit a record level in April, representing nearly 26% of all financed purchases in the month, according to Edmunds. By comparison, 0% deals accounted for less than 5% of all financed purchases in March. In total, the average APR on new financed vehicles fell to 4.3% in April, compared with 5.8% in March and 6.3% in April 2019.
But the influx in lower-interest loans could be driving some buyers to make riskier purchases financed by longer-term loans. Edmunds notes that the average loan term length hit a record 73 months in April—with 81% of car buyers who financed their purchase agreeing to a term between 67 and 84 months—while the average down payment fell to $3,159, the lowest seen since July 2011. Buyers are also using cheaper financing terms to buy more expensive cars; the average amount financed for a new vehicle climbed to a record high of $37,681 in April.
More lenders are offering forbearance on existing auto loans
For those who have been hit hard by the pandemic and the associated economic lockdown, it’s never been easier to have your outstanding loans put in forbearance for a certain period of time—allowing you to delay payment until circumstances improve.
While the federal government has already moved to put government-backed mortgages and federal student loans into forbearance for up to six months, auto loans unfortunately don’t fall under the CARES Act’s forbearance provisions. Still, many auto lenders have taken steps to alleviate the burden on their borrowers.
Ally Financial, for instance, is among those offering payment deferrals of up to 120 days for those impacted by COVID-19. Though interest will still accrue on the borrower’s balance, Ally will not charge late fees, and won’t count the deferral toward the number of extensions borrowers are allowed in the future.
Automakers are also taking action through their own customer financing arms. GM Financial is waiving late fees on loans incurred between March 1 and April 30; Honda and Acura are offering 60-day payment deferrals and waiving late fees; and Kia is offering payment deferrals for up to 90 days.
More personal finance coverage from Fortune:
—What to do if you can’t pay your bills this month
—Stimulus checks are depositing: How people are spending the money
—Stuck in the unemployment benefit backlog? What you should know
—What you should know about mortgage forbearance and skipping payments
—Furlough vs. layoff? What to know about your rights and benefits
—Listen to Leadership Next, a Fortune podcast examining the evolving role of CEOs
—VIDEO: 401(k) withdrawal penalties waived for anyone hurt by COVID-19
Subscribe to How to Reopen, Fortune’s weekly newsletter on what it takes to reboot business in the midst of a pandemic.


fortune--2020-05-22--What to watch this weekend on Amazon Prime Video, Netflix, and more

Between traditional television, video-on-demand releases, and a growing number of streaming services, it can be hard to keep up with what one should watch week to week. Fortune is here to help you keep track of new releases as well as the occasional older title worth checking out. Take a look at this weekend’s notable arrivals, a couple you may have missed earlier in the week, and what titles are coming soon:
Amazon Prime Video
Janelle Monáe in “Homecoming” season two, available on Amazon Prime Video on May 22. Ali Goldstein—Amazon, Courtesy Everett Collection
Homecoming (Season Two): The next season of Homecoming is back with a new star instead of Julia Roberts—though she’s still on board as executive producer. Janelle Monáe plays the main character, who wakes up in a boat at the start of the season, with no memory of how she got there. The season, which the actor-singer calls “more suspenseful,” arrives on the streamer May 22.
Apple TV+
Mythic Quest: Raven’s Banquet: It’s time for another virtually produced episode of TV. The gaming-industry workplace comedy from Rob McElhenney returns May 22 with the team working from…where else? Home. Read Fortune’s February interview with McElhenney here.
Netflix
The Lovebirds: Originally intended for a theatrical release, this flick starring Issa Rae and Kumail Nanjiani as a couple embroiled in a murder mystery will hit the streamer May 22.
Trailer Park Boys: The Animated Series (Season Two): The animated adaptation of the live-action series has a whole new season, which arrives on the streamer May 22.
Patton Oswalt: I Love Everything: In case you missed it earlier this week, the comedian’s special is officially out, tackling a range of topics that include turning 50 and falling in love again.
On VOD
From left: Rob Brydon and Steve Coogan in “The Trip to Greece.” IFC Films—Courtesy Everett Collection
The Trip to Greece: Steve Coogan and Rob Brydon are back in what is supposed to be the final installment in a series of movies (The Trip, The Trip to Italy, and The Trip to Spain). The films generally rely on a predictable formula: The two men travel, eat fancy meals, bicker, throw in some fun impressions, and so on. It may be just what audiences need at a time where it’s not that easy to enjoy some leisure time in a new place.
On TV
AKA Jane Roe, a documentary from FX, premieres on the channel May 22. In the film, Norma McCorvey—otherwise known as “Jane Roe”—makes a deathbed confession, revealing she was paid to eventually say she opposed abortion. The documentary will be available via streaming on FX on Hulu the day after its TV premiere.
The finale of HBO’s limited series Run airs May 24 at 10:30 p.m. (It will, of course, be available for streaming via related apps.) Read Fortune’s April interview with creator Vicky Jones here.
CBS continues its Sunday night movie series with Titanic, at 7 p.m. on May 24.
Coming Soon
A few other titles are also hitting Netflix in the coming week. The next Hannah Gadsby special, Douglas, will arrive May 26. On May 27, four-part docuseries Jeffrey Epstein: Filthy Rich will be available for streaming.
After kicking off a revival of The Wonderful World of Disney last week with Moana, ABC offers viewers a slice of the Marvel Cinematic Universe by airing Thor: The Dark World at 8 p.m. May 27.
HBO Max officially launches May 27. While the Friends reunion has been delayed by the coronavirus pandemic, the streamer still has a few new things up its sleeve. Some of its new titles include Looney Tunes Cartoons, which brings the iconic characters back to our screens, as well as comedy anthology series Love Life with Anna Kendrick. The launch also signals an exciting moment for Studio Ghibli fans—the animation studio’s full library of films, which include Howl’s Moving Castle, Ponyo, and Princess Mononoke, will officially stream for the first time in the U.S. on HBO Max.


fortune--2020-05-22--Arriving in the U.K.? Expect two weeks in quarantine—or face a massive fine

The U.K. will become the latest country to impose strict fines on travelers and returning citizens who fail to observe strict quarantine rules when they arrive in the country, all in an effort to limit cases being imported into the country.
Arrivals to the U.K. who fail to self-quarantine for 14 days after traveling from abroad will now be fined 1,000 pounds ($1,217), according to the BBC and other British media sources.
While details of a quarantine requirement have been in the works for weeks, the latest details of the plan were provided to the British press ahead of the U.K. government’s daily press conference briefing on Friday, in what has become a standard communications strategy for Boris Johnson’s government throughout the pandemic.
Those arriving in the U.K. will be required to fill out a contact form detailing the location where they will quarantine, the BBC reported. Those without a suitable place to self-isolate will have accommodation arranged by the government. The rule will not go into force until next month.
Exemptions
There are reportedly exceptions: Travelers from Ireland will not be included in the restrictions. But travelers who come via France, a major trade partner, will be required to quarantine. That’s a big U-turn from earlier pledges to exempt those coming from France via train or ferry.
Agricultural workers will also be one of the exempted groups, though they will be required to remain on the farms where they are contracted to work, The Times reported Friday. The U.K., like other major European economies, has heavily relied on seasonal workforces from Eastern Europe to pick, pack, and distribute crops throughout the spring and summer. Even as the U.K. left the EU officially in January, that workforce dynamic has not changed.
The focus on preventing cases from being imported into the U.K. is somewhat ironic. Other countries, including China, have seen cases resurge as visitors or citizens returned from abroad, bringing the virus with them. The U.K., though, finds itself near the top of global leaderboard in COVID-19 cases, suggesting the risk is at least as bad inside the country as it is abroad.
The country currently has the second-highest COVID-19 death toll in the world, after the U.S., with more than 36,000 deaths linked to the virus as of Friday. As nearby European countries have begun to reopen their economies, the U.K.’s lockdown remains largely in force, with only small shifts to government policy, reflecting the fact that transmission rates for the virus are still relatively high.
Tougher rules while others relax
The U.K.’s decision to put in place mandatory quarantines comes well after similar measures were implemented by major travel hubs, including Hong Kong and Austria, and months after such restrictions were implemented in China. The U.K. has in fact been unusual in not closing borders or restricting arrivals until now; the European Union shut down its Schengen free-trade-and-movement zone in mid-March.
But there are already signs Europe will do what it can to save the summer season. For example, Italy, which went into lockdown sooner, plans to reopen its borders to foreign visitors on June 3. There will be no quarantine for those traveling from abroad.
Late as they come, the U.K. quarantine measures are being met with criticism by those who fear it would exact further harm on tourism and the country’s faltering airlines.
The U.K. is a major global travel hub. Last week, London’s Heathrow Airport was the second busiest airport in Europe, after Frankfurt, according to Eurocontrol. The London area is also home to IAG—parent company of British Airways—and EasyJet, one of the stalwarts of low-cost, European budget flights.
Earlier this week, Heathrow’s chief executive said he hoped the U.K. would consider exemptions for “low-risk” flights from countries with low infection rates, noting that aviation was the lifeblood of the economy, according to the Financial Times.
Ryanair, the Irish carrier, also has a heavy presence in the U.K., but CEO Mike O’Leary called the expected quarantine measures “ineffective and unimplementable.” Never reluctant to say what’s on his mind, O’Leary declared the 14-day quarantine rules had no basis in scientific evidence.
“It’s unimplementable and unenforceable anyway, so I think people will largely ignore it, which is not good,” O’Leary told BBC television earlier this month.


fortune--2020-05-22--How work will be different for young professionals—and their employers—because of the coronavirus pa

How work will be different for young professionals—and their employers—because of the coronavirus pandemic

With a historic 38.6 million jobs lost in just nine weeks, the coronavirus pandemic is wreaking havoc on the labor market.
As the class of 2020 graduates into that uncertain professional landscape, both those new grads and the companies hiring them face quite a bit of work to adapt and create the opportunities and culture that both employees and employers need to thrive.
For a new hire, starting a career virtually means it’s much harder to get a feel for the work and to immerse oneself in the culture of a company, said Miecha Ranea Forbes, senior vice president of culture, inclusion, and strategic advising at executive search and consulting firm Koya Leadership Partners. And that lack of connection can start a career off on the wrong foot.
“Statistics show that the more engaged a person is in the organization, the culture, and the work, the more likely it is they’re going to be retained for a long period of time,” Forbes said. “Even through bumps like a pandemic.”
One of the biggest challenges Forbes said she encounters in her work, which often includes helping companies engage their workforce virtually, is getting employees and employers to understand that a workforce doesn’t have to be together in person to build relationships and an engaging culture. Forbes stressed that remote work can be meaningful and enjoyable if employers are “intentional” with new hires from the start—planning their training thoughtfully before their first day, slotting time for them to meet one-on-one via video chat with mentors, and encouraging friendships between coworkers.
Scott Dettman, CEO of “education to work” platform Avenica, which specializes in matching job seekers with entry-level career opportunities, said that, as companies focus on this new way of work, they will likely take a closer look at how effective their recruiting and talent evaluation tools are.
The criteria on which job applicants are measured will change, too, Dettman said. For instance, many employers have traditionally given a lot of weight to in-person interview performance, but now remote work will force them to cast their gaze elsewhere.
Dettman predicts that companies will focus on finding self-starters with the ability to independently manage themselves, rather than zeroing in on the most charismatic interviewees. He also said that analysis of digital presence and social media profiles will be increasingly important in lieu of in-person evaluation.
Corporations have also begun to question whether a lot of their automated tools and algorithms are evaluating talent as well as they could be, he said. Often, those tools scan résumés for language that matches the job posting, allowing applicants to tailor their résumés to the description, Dettman said. But that doesn’t always lead employers to the best person for the job. Perhaps the bots aren’t really picking out the best applicants after all.
“The environment’s changed, the dynamics have changed, and people are weighting things differently,” Dettman said. “I think in some ways, it’s kind of opening their eyes to maybe they haven’t set up these pieces all that well.”
For those new grads who haven’t secured postgrad work, the bounce back will be slower than for the rest of the economy, Dettman said. Younger professionals can expect to see a year or so of challenges owing to a larger pool of unemployed people racing to any job they can get, he said, resulting in over-skilled, more experienced workers taking the entry-level positions that 2020 grads want.
Those challenges will likely result in a cohort of workers taking jobs in fields they never expected to be working in, because they have to be more open-minded to find jobs, according to Stephanie Worden, assistant director of undergraduate recruitment at Syracuse’s School of Information Studies. She, too, graduated in an economic downturn, finishing college during the Great Recession.
“My message to the class of 2020 would be, you gotta hustle a little bit differently,” Worden said. “Having a positive attitude and entering into different sectors with the skills that you have, being a digital native, will help organizations and will help people, but you have to have an open mind.”
In the time between now and when hiring picks up again, Dettman said he expects to see a bend toward virtual work that leads to even more competition, since location will have less to do with viability. There will also be a lot of cost-cutting as companies realize that the streamlining of their organizations necessitated by the pandemic didn’t disrupt work or productivity nearly as much as expected, he said. For example, companies will likely keep many roles remote, cutting down on transportation costs and the price of rent for larger offices. And those remote roles, Dettman said, can be filled by people living in locations with a lower cost of living, helping companies reduce salary costs, as well.
Aside from that, though, the entry-level recruitment expert said he expects professional life for recent grads to return to normal relatively quickly. He expects the flow of entry-level job openings to resume fairly rapidly, something that didn’t happen for millennials graduating into the cataclysmic job market of the late 2000s.
And once that flow returns, young professionals will be looking for different things in an employer than they were pre-pandemic. Worden said that she’s already seen an uptick in students emphasizing company benefits, ranging from health care to stipends for moving expenses and Wi-Fi. She said these used to be much lower on the priority list for her students, with salary taking the top spot.
“A couple years ago, they weren’t really thinking stability, because the pay rate was so high. But with the anxiety now, I think we’re shifting,” Worden said.
Dettman predicts that job seekers will also focus more on company values in the wake of this crisis. The generation graduating from college over the next few years has emphasized social responsibility for a while, prioritizing companies with strong missions that align with their values. For this demographic group, how a business helped its employees and communities through this moment in history will carry even more weight, he said.
“Students are looking at companies and saying, ‘Are they doing things to be part of the solution, or are they contributing to the problem?’ So I think there’s a brand judgment that’s happening,” Dettman said.
With both employers and prospective employees questioning the norms in recruitment, hiring, and company culture, the only thing that’s certain as the world navigates this crisis is that professional life is going to change.


fortune--2020-05-22--Hydroxychloroquine linked to deaths and heart risks in new COVID-19 study after Trump touted and cla

Hydroxychloroquine linked to deaths and heart risks in new COVID-19 study after Trump touted and claimed to be taking the drug

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Antimalaria drugs that U.S. President Donald Trump has touted for treatment of COVID-19 were linked to an increased risk of death and heart ailments in a study.
Hydroxychloroquine and chloroquine didn’t benefit patients with the coronavirus, either alone or in combination with an antibiotic, according to the study published Friday by The Lancet medical journal.
Researchers are searching through available options to treat the coronavirus, which has killed more than 330,000 people, including drugs like the antimalarials that are also already approved to treat lupus and rheumatoid arthritis. Trump’s endorsement has led many people to take the medications without scientific proof of their benefit.
The study looked at the records of 15,000 people who had been treated with the antimalarials and one of two antibiotics that have sometimes been paired with them. Treatment with any combination of the four drugs was associated with a higher risk of death than seen in 81,000 patients who didn’t receive them.
The drugs should only be used for COVID treatment as part of robust studies that will definitively show their impact, the researchers said.
Only one drug, Gilead Sciences Inc.’s remdesivir, has been shown to benefit coronavirus patients in a clinical trial. It reduced patients’ recovery time from an average of 15 days to 11 days in that study.
Trump said this week that he’s taking hydroxychloroquine in an effort to ward off the coronavirus.


fortune--2020-05-22--What the post-coronavirus dealmaking world looks like

The work-from-home economy is booming. Companies like Facebook, Twitter, and Shopify say that some employees can work at home permanently even after the pandemic passes.
But, says Sarah Cannon, a partner at Index Ventures, much of the decentralized workforce talk will be headiness.
“I think [work from home] is getting overhyped at the moment. The reality is, we can do this for some period of time, but fundamentally, I think people like to work with other people,” she told me. “I think we will go back to 80% of what our behavior was before.”
Cannon, known for her focus on productivity and the future of work, was a board observer at Slack and invested in note-taking and organization startup Notion. She spent her last financial crisis as part of the National Economic Council, which helped coordinate recovery policy across government agencies.
That experience led to a macro mindset of investing for her. Below is our conversation, lightly edited for clarity and length.
Term Sheet will be back on Tuesday—happy Memorial Day weekend.
You worked on economic policy during the financial crisis under President Barack Obama and National Economic Council Director Larry Summers. Tell me about your time there.
I was an intern about 10 years ago during Obama’s first term. I was going to go to graduate school, but then picked a fight with Larry [Summers] and said: “We’re not doing enough for poor people in the recession.” He and I had a whole discussion about how the right thing to do was to grow the economy and how that will help individuals. And after that, Larry asked: “Who is that intern who challenged me?”
He ended up hiring me, and I started working as a policy advisor with him on a whole series of issues. Obama at the time was quite upset that the veteran unemployment rate was higher than the civilian—which is not usually true. So I helped devise a tax credit to employers to help veterans get jobs, or the Hiring Our Heroes initiative.
It’s interesting how it’s influenced me as an investor. I think my view tends to be very macro-oriented. In the case of Hiring Our Heroes, it was analyzing what’s going on in the labor markets, here’s the problem, why is it happening, and then what are the most influential policy levers to change that? [In investing], it’s what is the macro trend, is this a good business to be in, and who is the most original thinker?
You focus on the future of work and productivity. The coronavirus has put entire corporations online—how has the pandemic impacted your investing thesis?
My most broad framework is loneliness. Loneliness is a trend: I think people feel isolated and more people are living alone, and it’s not well addressed by [existing products]. The funny thing is, Facebook can make you feel more lonely, so I wonder if there is not a version that makes us feel belonging.
So the thing I am most interested in right now is the future of communication for consumers. I was fortunate to be a board observer at Slack and thought a lot about it from the enterprise side of things. But on the consumer side, everyone said there was not going to be a new platform until AR or VR, so there’s been fewer consumer investments and opportunities.
I think there is an opportunity now for a platform that is audio, video, messaging, maybe some combination of the three at once. I think there are a lot of new ways of communication—but I don’t think communication has been replicated in a way that’s natural. I’m in Notion right now, [you and I] are on Zoom, I’m sure my partners are Slacking me right now, and people are texting—it’s just a really broken consumer and enterprise experience and it’s not naturally how we want to communicate.
I do think Discord is the closest thing to it—or WeChat. WeChat is a consolidated platform where I can chat with you, I can talk to my founders, and I can send payments.
What do you think of Clubhouse which has gained a lot of traction with the tech community?
I’m very intrigued by it. But if my thesis is [the communication winner] is not only audio, then I wouldn’t want to invest in an audio-only platform. I’m in thesis formation about it.
Workplace productivity is all the hype right now, in this work-from-home economy.
I think [work from home] is getting overhyped at the moment. The reality is, we can do this for some period of time, but fundamentally, I think people like to work with other people. I think we will go back to 80% of what our behavior was before—so If I went to four board meetings a year for my Berlin-based portfolio company, Pitch, I’ll go to about three because fundamentally my relationship with my team matters that I am there.
We’ll see—but I think there will be a consolidation of a few tools. I was like, I think it is going to be Zoom, and Slack, and Notion, and I think it may be Airtable. Talk about the Balkanization of productivity tools—you could spend days interviewing the founders of productivity companies, and they all sound the same. So at the end of this, there are going to be a few that we choose to use.
So I think we’ll see more consolidation, and we’ll see market leaders being revealed.
Do you expect more startups to turn to M&A, rather than IPOs?
Across all sectors, I’m not sure you’re going to see a lot more people going public except for maybe people who need to go public. And for those that can’t, I think we’ll definitely see more consolidation because this oversupply of capital has created tons of similar companies. We’re always like: Wait, we just saw six of you.
In the future of work—it’s interesting. The natural acquirers would be Microsoft, Adobe, Atlassian, Salesforce, and Google. But because private companies have been so attractive recently, their valuations have been very high and are expensive acquisition targets. I think you’ll see a lot of activity at the seed or Series A—but again, they’re expensive. I wouldn’t be surprised if Microsoft, Adobe, Atlassian, Salesforce, and Google are more active, but the prices are unattractive.
Last year there was a lot of attention around direct listings. Slack, where you are a board observer, was the second company to take that route. Do you think direct listings will be less in vogue during the coronavirus?
It was very bold of Spotify and Slack to pursue that path and I absolutely think founders should have alternatives. But times of uncertainty, I think there is less experimentation—especially in a time when there is so much market volatility. The SEC has been actively looking at ways for [direct listings] to raise primary as well. But if I were in my economic seat right now, I would say it’s not a priority.
Lucinda Shen
Twitter: @shenlucinda
Email: lucinda.shen@fortune.com
VENTURE DEALS
- Samsara Networks Inc., an internet-of-things startup, raised $400 million, cutting its valuation to $5.4 billion, per Bloomberg. AllianceBernstein, Franklin Templeton, General Atlantic, Sands Capital Management, and Warburg Pincus invested alongside existing investors Andreessen Horowitz, General Catalyst, Dragoneer, and Tiger Global Management. Read more.
- Magic Leap, the Florida-based augmented reality firm, raised $350 million in funding led by an existing investor, according to a memo from CEO Rony Abovitz seen by Business Insider. Read more.
- Mindstrong, a Mountain View, Calif.-based mental health virtual care company, raised $100 million in Series C funding. Investors included General Catalyst, ARCH Venture Partners, Foresite Capital, 8VC, Optum Ventures, and What If Ventures.
- HotSpot Therapeutics, a Boston, Mass.-based biotech focused on allosteric therapies, raised $65 million in Series B funding. S.R. One led the round and was joined by investors including funds managed by Tekla Capital Management, MRL Ventures Fund, Solasta Ventures and Brace Pharma, Atlas Venture and Sofinnova Partners.
- Spruce, a New York--based platform for online real estate transactions, raised $29 million in Series B funding. Scale Venture Partners led the round, and was joined by investors Zigg Capital and Bessemer Venture Partners.
- Rent the Runway, the New York-based fashion startup, is seeking to raise at least $25 million in a funding round led by T. Rowe Price Group, which would value the company at $750 million, per Bloomberg. The startup was last valued at $1 billion. Read more.
- Evervault, a Dublin-based internet infrastructure company, raised $16 million in Series A - funding. Index Ventures led the round, and was joined by existing investors Sequoia Capital, Kleiner Perkins, and Frontline Ventures.
- Chief, a New York-based network for women in leadership, raised $15 million funding. The investors were General Catalyst, Inspired Capital, GGV Capital, Primary Venture Partners, Flybridge Capital, and BoxGroup.
- Deel, a California-based payroll platform for disparate workforces, raised $14 million in Series A funding. Andreessen Horowitz led the round.
- Run The World, a Mountain View, Calif.-based virtual events startup, raised $10.8 million in Series A funding co-led by earlier backer Andreessen Horowitz and new investor Founders Fund. Read more.
- ThoughtTrace, a Houston-based contract analytics software provider, raised $10 million in funding. McRock Capital led the round, and was joined by investors including Chevron Technology Ventures and existing investor Altira Group.
VergeSense, a San Francisco-based workplace sensor provider, raised $9 million in funding. Allegion Ventures led the round, and was joined by investors including JLL Spark, Metaprop, Y Combinator, Pathbreaker Ventures, and West Ventures.
- Skyflow, a Mountainview, Calif.-based maker of an API for privacy, raised $7.5 million in seed funding. Foundation Capital led the round, and was joined by investors including Jeff Immelt (former CEO of GE), Jonathan Bush (former CEO of AthenaHealth).
- PathSpot, a New York-based hand hygiene management scanner that tracks handwashing frequency, raised $6.5 million in Series A funding. Valor Siren Ventures led the round, and was joined by investors including FIKA Ventures and Walden Venture Capital. Read more.
- Company Six, a Boulder, Colo.-based maker of robotics and AI for dangerous situations, raised $3 million in seed funding. Spider Capital led the round, and was joined by investors including Foundry Group and Techstars. Read more.
PRIVATE EQUITY
- KKR plans to invest $1.5 billion in Jio Platforms, an Indian telecom company.
- Smarsh, a portfolio company of K1 Investment Management, acquired Entreda, a Santa Clara, Calif.-based developer cybersecurity risk and compliance management software. Financial terms weren't disclosed.
- Sherpa Capital invested in CityBike, a Spanish bike-sharing operator. Financial terms weren't disclosed.
- Development Partners International invested in Société Industrielle des Conserves Alimentaires, a Tunisia-based food business and tomato processor. Financial terms weren't disclosed.
OTHERS
- Italian payments firms Nexi and SIA are exploring a potential tie-up, per Reuters citing sources. Read more.
IPOS
- Sonovia, an Israeli-maker of washable and reusable antiviral masks, is weighing an IPO on the Nasdaq by the end of this year, per Reuters. Read more.
F+FS
- Apollo Global Management closed Apollo Accord Fund III B with $1.75 billion in commitments.
- Spectrum Equity closed Spectrum Equity IX at a hard cap of $1.5 billion.
PEOPLE
- SeventySix Capital, the sports tech venture capital company, named Michael Schreiber as a General Partner. Schreiber previously served as the Chief Content Officer at Altice USA.
- Energize Ventures named Mark Tomasovic as an Investment Associate.