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Baltimore bridge collapse is port’s version of global pandemic: “It’s almost scary how quiet it is”

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Businesses and workers that provide services based on the Baltimore port’s maritime activities are already feeling pain with all vessel traffic suspended after the Francis Scott Key Bridge collapse.

Theresa Abel, operations manager for Davis Ship Service, a logistics company that offers garbage removal, engine part replacements, and other vessel support services at the port, told CBS MoneyWatch that 100% of her company’s work is tied to the port.

For decades, Abel received a steady flow of calls and emails from vessel operators seeking out the company’s services. Now, the phones are silent. “It’s almost scary how quiet it is. We have no emails, no phone calls,” she said. 

The 10-person company’s warehouse stores ship parts for incoming vessels, and she expects it to be empty by the end of the week, with vessels at sea diverting to nearby ports and no new orders coming in. 

“Now that they’ve been diverted, I’m sending shipments out. I sent four or five boxes to New York yesterday,” Abel said. 


New video shows aftermath of Baltimore bridge collapse

04:45

Davis Ship Service is still working on a handful of ships that were already docked at the port of Baltimore when the bridge collapsed. “They need stuff, they’ll have to have their sewage pumped off while they are here, but it’s very quiet,” she said. 

Michael Moss, owner of Moss Marine, another small business that performs technical repairs on ships at the port, said that “if ships don’t come in, then my market is not there.” 

He said he could be tapped to help make repairs to the Dali, the ship that crashed into the Key Bridge. 

“They will need to spend some money in the port before they leave to make it safe to travel. They’re going to have to do something in my arena, whether I am the contractor or somebody else,” he said. Otherwise he expects to be called to other nearby ports to service ships, requiring him to travel, and making his services more expensive to clients.

“It will cost more for them, because I have to travel. It’s an inconvenience,” he said. 

Bigger disruption than COVID-19

Indeed, every business at the port of Baltimore will be “severely challenged” by the bridge collapse, Maryland Senate president Bill Ferguson told CBS MoneyWatch Wednesday.

Ferguson referred to the event as the port’s version of a “global pandemic,” comparing the potential upheaval to the impact on businesses and employment during COVID-19, which had severely disrupted supply chains.

The port’s operations directly support 15,000 jobs. Indirectly, the port supports another 140,000 jobs in hospitality and other industries, making it a major economic engine for the region. Port workers are employed by different businesses, including trucking companies, container repair businesses, tug boat operators and more. The economic outlook for such businesses is grim, if they don’t receive meaningful financial support fast, Ferguson added. 

“The range of businesses and jobs that will be affected is so unbelievably diverse,” Ferguson said. “There are companies that fix the hinges on cargo containers, we have bay pilots, longshoreman and dockworkers. At this point, all of them are affected.”

Unlike some industries and commercial operations, Baltimore’s port was able to withstand COVID-19, because international commerce persisted. “The port still functioned and businesses related to it were deemed essential,” Ferguson said. “But this shuts down international commerce for this region.’

Layoffs expected

Ferguson said he’s spoken to small business owners who say they expect to have to lay off workers in the coming weeks, with no new business coming in. 

“We are trying to put together legislation for small businesses like them that are trying to find a way to keep their workers on and utilize them even though the port is shut down,” Ferguson said. 

It’s essential that they receive aid as fast as possible, too. “They can’t wait, because the port is shut down today,” Ferguson said. 


Baltimore bridge collapse investigation could take up to 2 years, officials say

01:58

The bridge collapse has made even Ferguson rethink how important the port has been to the region. “We take it for granted sometimes because it’s always just there, and now it’s not,” he said. 

Cruise line operator Carnival told shareholders it could lose up to $10 million in earnings as a result of the collapse, while a workers union said thousands of its members could lose their jobs. 

Scott Cowan, president of the International Longshoreman Association’s Baltimore local, told WTOP news that 2,400 ILA members “are soon going to be without jobs.”

That’s why Maryland lawmakers are currently drafting emergency legislation that would provide direct support to affected businesses. 

Providing incentives to port-related businesses to encourage them to maintain a presence in Baltimore is another important component of the legislation, according to Ferguson.

Won’t effect overall U.S. economy

While it’s clear the bridge collapse will have an outsize impact on the local economy, the incident won’t have a significant effect on the overall U.S. economy. 

Nevertheless, since that port is the 15th largest in the country, handling only 1.5% of total nationwide container traffic, even an extended closure wouldn’t have any impact on either GDP or inflation,” Capital Economics chief North America economist Paul Ashworth said in a research note. 



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At BET Awards 2024 Usher honored, Will Smith debuts song, election on minds

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Usher accepted the lifetime achievement award at the 2024 BET Awards – even if the superstar mused it might be a bit early.

The Grammy winner stayed on his feet as a parade of artists performed his hits – Childish Gambino kicked it off with “U Don’t Have to Call,” joined by Keke Palmer, who took the lead on “You Make Me Wanna…” Coco Jones appeared in the audience for a sultry rendition of “There Goes My Baby,” serenading Usher and his wife Jenn Goicoechea.

2024 BET Awards
Usher gestures after accepting the Lifetime Achievement award during the 2024 BET Awards at the Peacock Theater in Los Angeles on June 30, 2024.

Aude Guerrucci / REUTERS


Summer Walker hit the stage for “Good Good,” Tinashe did “Nice & Slow,” Marsha Ambrosius tackled “Superstar” and Chlöe performed “Good Kisser.” Teyana Taylor and Victoria Monét teamed up for “Bad Girl,” mirroring Usher and Beyoncé’s choreography from their performance of the song. Latto brought the energy for “Yeah!” In some ways, the homage underscored the women that carried much of the night – dominating the performances.

After introductions by Terry Lewis and Jimmy Jam, Usher accepted the award from music executive L.A. Reid.

“Getting here has definitely not been easy, but it has been worth it,” Usher began his lengthy speech, reflecting on his career, which has spanned over three decades. He questioned the timing, saying, “I’m still running and gunning and I still love this (expletive) like I did when I was 8 years old,” he said.

Much of his speech couldn’t be heard to audiences at home because it was censored.

“I forgive each and every person who had anything to say negative about me because it only motivated me to be who I am,” he said at one point.

Earlier in the night, Will Smith stood in a circle of fire – joined by Fridayy and the gospel choir Sunday Service – to make the live debut of his latest single, “You Can Make It.”

“I don’t know who needs this right now,” Smith opened his set. “But I am here to tell you, you can make it.”

Mid-way through, Kirk Franklin joined, and then two rapped together. “Nobody gets an easy ride,” Smith, who is in the midst of his comeback from slapping Chris Rock at the Oscars two years ago, told the room. “There is wisdom in that fire. Dance in your darkest moments.”

2024 BET Awards
Will Smith performs during the 2024 BET Awards at the Peacock Theater in Los Angeles on June 30, 2024.

Aude Guerrucci / REUTERS


The forthcoming presidential election was a huge topic of conversation throughout the show. After Childish Gambino presented Killer Mike with the album of the year award for “Michael,” the rapper used his acceptance speech to address his Grammys arrest and voting.

“Technically, I was not supposed to be here. I was put in handcuffs, and I was marched out of this building. But I want to tell you, look at God. ‘Cause I’m back, baby. I’m back and I’m winning,” he said in his speech. Killer Mike was arrested at the Grammys earlier this year over a physical altercation he said was caused by an “over-zealous” security guard; he was not charged over the incident.

“They going to tell you who we vote for is important,” he continued his speech, “And it is who we vote for on the big stage. It’s important, but it’s more important you know who your city council person is, who your prosecutor is.”

Megan Thee Stallion opened the show by emerging from an egg – a metaphor for her a new musical rebirth – before diving into with an energetic medley of her new singles “Hiss” and “Boa.”

“BET, Where my girls at?” she said, shouting out Monét and Jones in the crowd before launching into “Where Them Girls At” – a track that’s been an immediate fan favorite since Friday’s release of her third studio album, “Megan.”

Taraji P. Henson hosted the show at the Peacock Theater in Los Angeles. Her opening monologue was a performance, Henson rapping “It’s about us,” in a loose parody of Kendrick Lamar’s “Not Like Us,” which he released in the midst of his reignited feud with Drake.

“No beef in here tonight,” she joked, “Can we say plant-based?”

Tyla, the Johannesburg , South African amapiano superstar, won two honors on the show, starting with best international act.

Later in the night, she’d take home the award for best new artist. “This is crazy,” she said. “I just want to dedicate this one to Africa.”

Monét, who earlier this year won the Grammy for best new artist, made her BET debut and set a high bar for performances, condensing a full set into a few mins with three costume changes and a pair of songs, “On My Mama” and “Alright.”

Then Sexyy Red took the stage, performing her smooth bedroom ballad “U My Everything” before moving to another stage and a costume change – tackling “Get It Sexyy” in front of an LED screen depicting the White House and dancers dressed like the Secret Service.

The show took a tonal shift when VanVan and Heiress Harris, two child rappers, their empowerment anthem “Be You” in a school room set. Harris is the daughter of rapper T.I. and singer Tiny Harris.

Best female R&B/pop artist went to SZA and best actress to Regina King, both of whom were not in attendance; the BET HER award went to Monét for “On My Mama.” She brought her mother up to accept it.

Country musician Tanner Adell brought her “Buckle Bunny” and her new song, “Cowboy Break My Heart.” GloRilla emerged from above, descending to join her dancers for “Yeah Glo!” and “Wanna Be” – the latter of which saw a surprise appearance from Megan Thee Stallion. Shaboozey kept the country coming with “A Bar Song (Tipsy)” and was joined by rapper J-Kwon, who appears on the track, creating an unexpected and rewarding collaboration across genres.

Lauryn Hill closed the night, beginning with “The Miseducation of Lauryn Hill” going into “Lost Ones,” before introducing her son YG Marley for his reggae tracks “Survival” and “Praise Jah In The Moonlight.” Best of all: Wyclef Jean appeared, and the trio – in front of a full-band – performed Fugees’ “Fu-Gee-La.” Pras, the third member of Fugees, was not present. The rapper, who was accused in multimillion-dollar political conspiracies spanning two presidencies, was convicted in April.



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Boeing, Airbus announce plans to buy parts of subcontractor Spirit AeroSystems

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Boeing announced plans to acquire Spirit AeroSystems for $4.7 billion in an all-stock transaction. Spirit is part of the aerospace giant’s supply chain.

Boeing, located in Arlington, Virginia, announced the purchase in a statement early Monday. Spirit is headquartered in Wichita, Kansas.

At about the same time, European aerospace giant Airbus said it had entered into an agreement to buy “major activities related to Airbus” from Spirit.

Under intentions laid out in the announcements, Boeing would take over most of Spirit’s operations.

Spirit builds fuselages and other significant parts for both Boeing and Airbus.

The Airbus agreement is set to commence when Boeing’s acquisition of Spirit is completed, the two U.S. companies said.

The Boeing acquisition’s equity value of $4.7 billion is $37.25 per share, while the total value of the deal is around $8.3 billion, which includes Spirit’s last reported net debt, Boeing said.

Airbus said it would “be compensated by payment of $559 million” from Spirit “for a nominal consideration of $1.00, subject to adjustments including based on the final transaction perimeter.”

Boeing on why it’s making the move

Boeing President and CEO Dave Calhoun said in the company’s statement that, “We believe this deal is in the best interest of the flying public, our airline customers, the employees of Spirit and Boeing, our shareholders and the country more broadly.”

Boeing previously owned Spirit, and Boeing said bringing the supplier back into the Boeing fold would improve plane quality and safety, which have come under increasing scrutiny by regulators, Congress and airlines.

“By reintegrating Spirit, we can fully align our commercial production systems, including our Safety and Quality Management Systems, and our workforce to the same priorities, incentives and outcomes – centered on safety and quality,” Calhoun said.

The purchase of Spirit would reverse a longtime Boeing strategy of outsourcing key work on its passenger planes. That approach has been criticized as problems at Spirit disrupted production and delivery of popular Boeing jetliners, including 737s and 787s.

Concerns about safety came to a head after the Jan. 5 blowout of a panel on an Alaska 737 Max 9 at 16,000 feet over Oregon. The Federal Aviation Administration soon after announced increased oversight of Boeing and Spirit.

Plea deal for Boeing?

Separately, the Justice Department on Sunday presented Boeing with a plea deal after it accused Boeing of violating the terms of a 2021 deferred prosecution agreement that was put in place following two 737 Max crashes in 2018 and 2019.

The department told Boeing it could plead guilty or go to trial, people familiar with the talks confirmed to CBS News. The agreement would have the company plead guilty to the conspiracy charge it originally faced in 2021. In exchange, Boeing would pay a fine and enter a three-year probationary period, the people said.

The DOJ outlined the deal in a presentation to family members of the 737 Max crash victims earlier Sunday before presenting it to Boeing.

News of the plea deal was first reported by Reuters.

If Boeing agrees, a judge would have to sign off on the accord.  

But Paul Cassell, an attorney who represents 15 of the victims’ families, told CBS News the proposal was “another sweetheart plea deal” and said the families will “strenuously object” to the deal.

Titanium parts a concern

On another safety front, the FAA said in June it is investigating how titanium parts that were sold with falsified quality documentation were used in the construction of Boeing and Airbus passenger jets in recent years.

Boeing and Airbus said the planes with the falsely documented parts are safe to fly, but Boeing said it would remove affected parts from planes that had not yet shipped to airline customers.



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Here’s how much Americans say they need to earn to feel financially secure

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Americans have a specific dollar figure in mind for what it would take to financially secure, according to a new survey from Bankrate. That magic number? $186,000 in annual income.

Currently, only 6% of U.S. adults make that amount or more, Bankrate said. The median family income falls between $51,500 and $86,000, according to the latest federal data

Attaining a sense of financial security means paying all of one’s bills as well as purchasing some wants, while having enough left over to save for the future, the personal finance site said. However, many inflation-weary consumers are experiencing increased financial stress, with a new Federal Reserve Bank of Philadelphia survey finding that 35% of Americans are worried about making ends meet, up from 29% a year earlier.

That gap between what the typical American makes now and what they aspire to earn means “Americans have their eyes set on this high income, and they think they need to make more money even if they know it’s unrealistic they’ll never make that amount,” Sarah Foster, an analyst at Bankrate, told CBS MoneyWatch.

Earning more remains at the top of many Americans’ priorities as the price of shelter, food and medical care remain stubbornly high after two years of rising inflation. To cope, consumers are cutting spending on dining out, entertainment and travel, a TransUnion study found.

Bankrate’s survey of 2,400 Americans in mid-May found that younger generations are more optimistic about eventually earning enough to live comfortably.

What does it take to be rich?

Americans have an even higher yardstick for feeling rich. The survey found they believe they would need to earn $520,000 a year to qualify as wealthy — up from their $483,000 response during the same survey last year. 

The rising cost of consumer goods is a chief reason for the increase, Foster said.  “Inflation is the centerpiece to this narrative,” Foster said. “Americans know where the bar is for living comfortably, but every time they get there, the cost of living goes up and the bar grows further and further away.”

Another recent report found that adults in major U.S. cities need to earn $96,500 annually before taxes to afford basic necessities and savings, while a two-parent household with two children needs a combined $235,000 for a comfortable life.

Interestingly, 2023 research from the late Nobel Prize-winning economist Daniel Kahneman and colleagues suggests that happiness does increase with income, up to about $500,000 – roughly the income Americans told Bankrate would make them feel rich.



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