Category Archives: News

Defunct Cambridge Analytica Under Investigation by Justice and CIA

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The New York Times is reporting that the FBI and the US Justice Department are investigating the out-of-business political data company Cambridge Analytica. The company was recently implicated in a scandal over how it used the information it mined from Facebook users, bringing into question any ties it may have had with Russian agents engaged in meddling in the US elections.

Prosecutors from the US government have been questioning former employees and banks associated with Cambridge Analytica, said the Times, citing an American official and others familiar with the investigation.

The company already announced its intention to close by the end of this month since it lost many clients and faced growing legal fees as a result of reports that the company had taken personal data about millions of Facebook users without their knowledge, as far back as 2014.

The company is being accused of using the data of about 87 million Facebook users improperly. Cambridge Analytica was hired by the now President Trump’s 2016 election campaign. As a result several investigation were launched in the US and also in Europe.

Shire Selling Oncology Division to French Company Servier for $2.4 billion

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Dublin-based Shire pharmaceutical company has come to an agreement with French firm Servier Laboratories to purchase its oncology business for $2.4 billion ((£1.68 billion). The deal comes before a potential takeover bid by Takeda of Japan could be realized.

Shire’s board gave the OK for the agreement, which is expected to be finalized by the second or third quarter this year. The deal does not need approval by shareholders.
The drug-making giant began its search for a buyer for its oncology wing last December, considering potential companies in Europe, the United States and in Japan. The company is considering an option to return the profits from the sale back to investors via a share buyback program when the current offer period expires. During this time Japanese firm Takeda could still launch a bid.

CEO of Shire, Flemming Ornskov said:

“This transaction is a key milestone for Shire, demonstrating the clear value embedded in our portfolio.

“While the oncology business has delivered high growth and profitability, we have concluded that it is not core to Shire’s longer-term strategy.

“We will continue to evaluate our portfolio for opportunities to unlock further value and sharpen our focus on rare disease leadership with selective disposals of non-strategic assets.

“We are confident that Servier will continue to invest in this business and our colleagues who are expected to transfer as part of the transaction in order to meet the needs of cancer patients globally.”

Amazon Wins Luxembourg Business Award

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Photo courtesy
Marco Verch

Mega on-line store Amazon will be the recipient of the coveted Luxembourg-American business award for 2018. The award is given to company’s that are considered to contribute significantly to the European country’s economy.

The award was established in 1999, and every since it has been awarded to manufacturing companies. Amazon is the first service company in the history of the award to be so honored.

Previous winners include Goodyear Rubber & Tire Company, DuPont guardian Industries, Avery Dennison Corporation, and others.

The awards ceremony is scheduled for May 15, 2018 and will take place at the Luxembourg American Chamber of Commerce in New York. Miami University will also be celebrating 50 years of a presence in Luxembourg and will receive an honorary business award for its high standards in its academic, economic and institutional partnerships between Luxembourg and the United States.

It is expected that crown prince Guilaume, crown princess Stéphanie and economy minister Étienne Schneider will be present at the ceremony.

President Trump to Present a $1.5 Trillion Infrastructure Plan

Economy, News, Politics,

Fulfilling one of his campaign promises, US President Donald Trump will uncover his plan for rebuilding the country’s infrastructure this week. The plan will cost US taxpayers $1.5 trillion, but is heavily dependent on state and local funding sources.

The plan will centerpiece a $200 billion pledge from the federal government which will be used to leverage money from cities and state budgets which will earmark them to roads, highways, ports, airports and more.

“Every federal dollar should be leveraged by partnering with state and local governments and — where appropriate — tapping into private sector investment to permanently fix the infrastructure deficit,” Trump said at last month’s State of the Union address.

Trump has said many times that the deteriorating roads and highways are holding the country back from faster expansion of the economy. Some lawmakers and others say that this issue should have been dealt with last year and Trump’s first big push in Congress, instead of the health care issue. Infrastructure is a bipartisan issue that would have helped create a more unified Congress.

The plan was previewed by administration officials as containing two key components: funding for new investments which will help speed up repairs on crumbling roads and airports; and a more efficient way for projects to get the permits they need, so projects can get underway faster. The officials added that the $200 million will come from cuts in other programs.

EY Appoints first Woman to Lead US Division

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Kelly Grier, 48, was appointed to be chairman and managing partner of Ernst & Young LLP, an appointment which distinguishes her as the  firm’s first woman to lead the company in the United States.

Until her promotion Ms. Grier served as the central US regional managing partner for EY. She will replace Steve Howe, the current chairman, on July 1, 2018. When Grier takes over it will make her the third female head at the Big Four accounting firms. Deloitte and KPMG have both had women at the helm since 2015, Cathy Engelbert and Lynne Doughtie, respectively. Only PwC is led by a man, Tim Ryan.

“Kelly was the best choice to lead us forward,” Mr. Howe said in an interview. “We’re very proud of our focus on diversity and inclusion.”

Ms. Grier has been at EY since 1990, and was promoted to US regional managing partner in 2015. She was the company’s vice chair of talent for the Americas and was also a managing partner at EY’s office in Chicago. She has also worked in Switzerland and Germany.

EY, and other major accounting firms, are international umbrella organizations. They have separate member companies in each different country where they have operations. Ms. Grier will lead the US firm, plus serve as the managing partner of EY’s Americas region. EY’s global chairman and CEO is and will remain Mark Weinberger.

“Kelly has demonstrated uncompromised integrity and an ability to manage high-performing teams, while delivering exceptional results for EY clients,” Mr. Weinberger stated.