Archives de catégorie : Video Marketing
Unilever Remains Cool to Kraft Heinz Takeover Bid Despite Rally
As the clock ticks toward a takeover deadline, Kraft Heinz Co. faces an uphill battle getting Unilever to negotiate.
Publicly, the company has decried Kraft’s $143 billion buyout offer as lacking merit and said there was no basis for further talks. Behind the scenes, Unilever executives have fretted over Kraft’s penchant for slashing costs and lack of vision for cultivating brands, according to people familiar with the situation. Kraft also lacks experience managing home and personal-care businesses, which account for about 60 percent of Unilever’s revenue, they said.
While both companies sell food, Unilever has pursued higher-end brands, such as Ben Jerry’s ice cream and Talenti gelato. Kraft, meanwhile, sells Velveeta and Jell-O.
“If I was Unilever, I would fight this with hand and fist,” said Erich Joachimsthaler, a branding expert who runs the Vivaldi consulting firm. “It would crush everything we celebrate about Unilever.”
Though Unilever publicly rejected the $50-a-share bid on Friday, Kraft has said it’s still pursuing a deal. The prospect of both reaching an agreement sent shares of Unilever soaring 13 percent to a record high. The Anglo-Dutch company, which makes Hellmann’s mayonnaise and Dove soap, is now valued at more than 114 billion pounds ($142 billion).
The rally makes it more likely that Kraft will increase its offer, a person with knowledge of the bidder’s deliberations. Shares of Kraft also jumped on the news, climbing 11 percent to $96.65. That values the food giant at $117.6 billion. An acquisition of Unilever would depend on financing from Kraft’s largest investor, Berkshire Hathaway Inc., a separate person familiar with the situation said.
Against that backdrop, Unilever is trying to convince investors that a deal wouldn’t make sense. The company has been speaking to shareholders about why it should remain a stand-alone business, arguing that there aren’t many synergies between the two entities, said people with knowledge of the matter.
Surprise Offer
The unsolicited approach from Kraft took Unilever by surprise, they said. Executives didn’t expect an offer from Kraft because they see the companies as too different, according to the people. Unilever has less of a focus on food, and it’s spent recent years acquiring upstart brands that appeal to millennials. That includes Dollar Shave Club and Seventh Generation.
At issue is whether Unilever’s diverse investor base will see Kraft as a strategic fit. BlackRock Inc. is its largest shareholder, with a roughly 8 percent stake. Under U.K. takeover rules, Kraft has just under a month to make a firm bid — or else it has to walk away for six months.
Kraft’s overture follows a 17 percent slump in the pound against the dollar since Britain voted to leave the European Union, along with Unilever’s worst annual stock performance since the financial crisis in 2008. The shares fell 2.5 percent over the course of 2016, though European rival Nestle fared only marginally better, losing 2 percent in the same 12 months.
Beer Merger
The investors behind 3G Capital, the private equity firm that runs Kraft, succeeded last year in orchestrating Anheuser-Busch InBev SA’s purchase of SABMiller Plc for about $123 billion. In that case, they had support from a large SABMiller shareholder, Altria Group Inc.
The proposal by Kraft, which has dual headquarters in Chicago and Pittsburgh, was about two-thirds in cash and one third in new stock. It’s possible that a new offer could just be for Unilever’s food interests, according to Jefferies Co. That would enable Unilever to continue operating its mainstay household and consumer-goods brands.
Unilever also could try to find a white-knight suitor that it sees as more compatible, according to Stifel Financial Corp. analyst Mark Astrachan. That may include companies such as Colgate-Palmolive Co. or Kimberly-Clark Corp., he said in a report.
Consolidation Pressure
Large consumer-goods companies, facing slowing sales around the world, are increasingly under pressure to merge. Kraft Heinz itself was forged in a $55 billion combination orchestrated by 3G and Berkshire Hathaway, which is run by Warren Buffett. The two investors had previously teamed up two years earlier on a buyout of H.J. Heinz.
There had been speculation that 3G would look to buy another food company and resume a cost-cutting cycle spearheaded by Kraft Chief Executive Officer Bernardo Hees. Mondelez International Inc., General Mills Inc. and Kellogg Co. had been mentioned as potential targets.
Unilever Boss Must Square Up to Kraft in Big Food Fight: Gadfly
“Kraft Heinz’s approach demonstrates the pressure on brand owners to consolidate in the face of international pressure on margins,” said Paul Hickman, an analyst at Edison Investment Research.
Kraft’s bid represented an 18 percent premium to Unilever’s closing share price on Thursday. The valuation would imply multiples of three times sales and 21 times earnings, “which strikes us as very low,” according to analysts at Berenberg.
Combined, Kraft and Unilever would have had sales of $84.8 billion last year. That would have ranked them second among food and beverage companies, trailing Nestle SA’s $91.2 billion, according to data compiled by Bloomberg.
Among food and beverage transactions, a deal for Unilever would surpass last year’s purchase of SABMiller, as well as InBev’s earlier acquisition of Anheuser-Busch Cos. in 2008 and the 2015 transaction that created Kraft Heinz, according to data compiled by Bloomberg.
Brazilian Investors
The investors behind the Unilever bid worked on all those deals as well. 3G — founded by Brazilian executives Jorge Paulo Lemann, Marcel Telles, Carlos Alberto Sicupira, Roberto Thompson and Alex Behring — has engineered a series of huge transactions in the food and drink industries. Their approach is to acquire companies, install new managers and slash expenses. 3G also acquired Burger King Worldwide Inc. and merged it in 2014 with Canadian doughnut chain Tim Hortons Inc.
Many Unilever investors may be waiting for the big payday that a takeover would bring. Even as Unilever balks at any kind of deal with Kraft, the company could ultimately cave if the terms are sweetened enough, Stifel’s Astrachan said.
“Unilever could angle for a higher price,” he said.
Scott Pruitt, longtime adversary of EPA, confirmed to lead the agency
Scott Pruitt woke up Friday morning as Oklahoma’s attorney general, a post he had used for six years to repeatedly sue the Environmental Protection Agency for its efforts to regulate mercury, smog and other forms of pollution. By day’s end, he had been sworn in as the agency’s new leader, setting off a struggle over what the EPA will become in the Trump era.
Pruitt begins what is likely to be a controversial tenure with a clear set of goals. He has been outspoken in his view, widely shared by Republicans, that the EPA zealously overstepped its legal authority under President Barack Obama, saddling the fossil-fuel industry with unnecessary and onerous regulations.
But rolling back the environmental actions of the previous administration won’t happen quickly or easily. Even if President Trump issues executive orders aimed at undoing Obama initiatives to combat climate change, oversee waterways and wetlands and slash pollution from power plants — as he is expected to do as early as next week — existing regulations won’t disappear overnight.
To reverse or revamp existing rules around vehicle fuel standards, mercury pollution or a range of other environmental issues, Pruitt would have to repeat the lengthy bureaucratic process that generated them. Other initiatives, such as the so-called Clean Power Plan aimed at regulating emissions from power plants, remain tied up federal courts.
In addition, Pruitt will encounter an EPA workforce on edge, in which some employees are wary about the direction he plans to take the agency and fearful he might adhere more to ideology than science. Environmental groups also are likely to oppose him at every turn, eager to sue over any rollback of existing regulations.
For his part, Pruitt has said he intends to return the agency to its central mission of protecting the quality of the nation’s air and water while respecting the role of states as primary enforcers of environmental laws.
“It is our state regulators who oftentimes best understand the local needs and the uniqueness of our environmental challenges,” he said during his confirmation hearing last month.
[On eve of confirmation vote, judge orders EPA nominee to release thousands of emails]
Pruitt cleared the Senate Friday afternoon by a vote of 52-46, winning support from Democrats Joe Manchin of West Virginia and Heidi Heitkamp of North Dakota. Only one Republican, Susan Collins of Maine, voted against him.
The vote came after Democrats held the Senate floor for hours overnight Thursday and then through the morning to criticize Pruitt and push for a last-minute delay of his confirmation. Part of their argument centered on an Oklahoma judge’s ruling late Thursday that Pruitt’s office must turn over thousands of emails related to his communication with oil, gas and coal companies. The judge set a Tuesday deadline for release of the emails, which a nonprofit group has been seeking for years.
Republicans pressed forward with the vote, saying Pruitt had been thoroughly vetted and calling on Democrats to end what Senate Majority Leader Mitch McConnell (R-Ky.) labeled “a historic level of obstruction” in holding up Trump administration nominees.
It took only minutes after Pruitt’s confirmation to catch a glimpse of the contentious fights that lie ahead.
Environmental advocacy groups, which had written letters, lobbied lawmakers, organized protests and waged a furious campaign online and in television ads calling him a friend to polluters, reacted with a mixture of anger and despair.
One group termed the confirmation a “sad day for the country.” Another described it the “stuff Big Oil’s dreams are made of.”
“Scott Pruitt as administrator of the EPA likely means a full-scale assault on the protections that Americans have enjoyed for clean air, clean water and a healthy climate,” Michael Brune, executive director of the Sierra Club, said in an interview. “For environmental groups, it means we’re in for the fight of our lives for the next four years.”
But amid such hand-wringing, there was relief among those who welcomed his nomination — a group that includes fossil-fuel firms that chafed under the regulation of the Obama era. Many have helped fund Pruitt’s campaigns over the years.
The National Association of Manufacturers proclaimed Pruitt would “restore balance to the way environmental regulations are developed.” The head of the National Mining Association said he will be “mindful of the costs that regulations can impose on the economy.”
The White House itself rejoiced at Pruitt’s confirmation, with spokeswoman Sarah Huckabee Sanders telling reporters aboard Air Force One that “the EPA will no longer spend unnecessary taxpayer dollars on an out-of-control, anti-energy agenda.”
Jeff Holmstead, who headed EPA’s air and radiation office under President George W. Bush and is now a lawyer representing energy firms, said he thinks Pruitt will be a good steward of the agency.
“Over the past eight years in particular, [the EPA] has completely micromanaged the states. I think you’ll see a real effort to reset that balance,” Holmstead said. “I think he really does believe in the rule of the law. He believes the role of executive branch is to carry out the intent of Congress.”
Pruitt sued the EPA more than a dozen times during the Obama administration, challenging the agency’s authority to regulate toxic mercury pollution, smog, carbon emissions from power plants and the quality of wetlands and other waters. In Oklahoma, he dismantled a specialized environmental protection unit that had existed under his Democratic predecessor and established a “federalism unit” to combat what he called “unwarranted regulation and systematic overreach” by Washington.
[Acting EPA head: Hiring freeze challenges ‘our ability to get the agency’s work done’]
That combative approach won him praise from fellow Republicans and the oil and gas industry. But the prospect of Pruitt leading the EPA horrified environmental advocates, who accuse him of repeatedly questioning the overwhelming scientific consensus around climate change and defending the interests of fossil-fuel firms over the health of ordinary citizens.
His nomination also rattled some agency employees, who fear he will be eager to carry out the promise that Trump made on the campaign trail to “get rid of [EPA] in almost every form.We’re going to have little tidbits left, but we’re going to take a tremendous amount out.”
“Unless he has a revelation like St. Paul did on road to Damascus, I don’t anticipate anything good,” said John O’Grady, who heads a national council of EPA unions and has worked at the agency for more than 30 years.
More than 700 former EPA officials recently wrote to Congress opposing Pruitt’s confirmation, saying he “has gone to disturbing lengths to advance the views and interests of business.” Even some current employees openly protested his nomination, notably during a recent rally in downtown Chicago near the agency’s Region 5 offices.
Minutes after Friday’s confirmation, the EPA tweeted for the first time since Trump’s inauguration. “We’d like to congratulate Mr. Pruitt on his confirmation!” the tweet read.
Soon after, the agency issued its first press releases since Trump became president. One included praise for Pruitt from more than a dozen Republican lawmakers and industry executives. The EPA also posted an online biography for its new administrator, which made no mention of the many lawsuits Pruitt had filed against the agency he now leads.
We’d like to congratulate Mr. Pruitt on his confirmation! We look forward to welcoming him to EPA.
— U.S. EPA (@EPA) February 17, 2017
Susan Hogan and Sean Sullivan contributed to this report.
Read more:
Scientists just detected a major change in Earth’s oceans linked to warming climate
Antarctic sea ice used to be the darling of climate doubters. Not anymore.
Scientists are frantically copying U.S. climate data, fearing it might vanish under Trump
Endangered Species Act may be heading for the threatened list
The EPA’s social-media accounts have been silent since the inauguration
For more, you can sign up for our weekly newsletter here and follow us on Twitter here.
Trump calls media ‘enemy of the American People’ in 13th ‘fake news’ tweet this month
President Donald Trump took his frustration with the American media to a new level Friday afternoon, accusing several media outlets of being “the enemy of the American People.”
Trump tweeted a similar message at 4:32 p.m., then deleted it. Many people created a screen grab of the tweet.
But Trump reposted the tweet – with additional media outlets mentioned and the word “SICK!” eliminated — at 4:48 p.m. Trump mentioned The New York Times and four television networks – CNN, ABC, CBS and NBC — in his second tweet.
Trump later followed up the tweet with another citing a positive review of the press conference by conservative talk radio host Rush Limbaugh, who called the news conference “one of the most effective” he had seen. In the tweet, he also used the term “FAKE MEDIA.”
quot;One of the most effective press conferences Ive ever seen!quot; says Rush Limbaugh. Many agree.Yet FAKE MEDIA calls it differently! Dishonest
mdash; Donald J. Trump (@realDonaldTrump) February 17, 2017
Friday’s tweet comes on the heels of his press conference Thursday in which Trump repeatedly attacked the media’s credibility while making several false claims about the size of his Electoral College victory. He also attacked a stream of leaks from the intelligence community under his presidency, saying that while the information in the leaks has been accurate, “The news is fake because so much of the news is fake.”
“The press — the public doesn’t believe you people anymore. Now, maybe I had something to do with that. I don’t know. But they don’t believe you, » Trump added. « But you’ve got to be at least a little bit fair, and that’s why the public sees it. They see it. They see it’s not fair. You take a look at some of your shows and you see the bias and the hatred. »
Trump also repeatedly used the term “fake news” to refer to the coverage of his administration, a common rallying cry among his supporters who believe the press has been lying in its coverage in an attempt to discredit Trump.
Also on Thursday, the president’s political action committee sent a survey to supporters after the news conference that blasted the mainstream media.
In the survey, which also asked participants to donate money to the Republican National Committee, users were asked 25 questions, most of which suggested that the media had acted unfairly in their coverage of Trump’s presidency, per Yahoo News.
However, several of Trump’s critics online called on others to take the survey, seemingly hoping to skew the results.
[Today in Trump tweets: ‘Fake media not happy,’ Kellogg considered for NSA]
Since Feb. 3, Trump has tweeted 15 times using the terms “fake news” or “fake media.”
Thank you for all of the nice statements on the Press Conference yesterday. Rush Limbaugh said one of greatest ever. Fake media not happy!
mdash; Donald J. Trump (@realDonaldTrump) February 17, 2017
FAKE NEWS media, which makes up stories and quot;sources,quot; is far more effective than the discredited Democrats – but they are fading fast!
mdash; Donald J. Trump (@realDonaldTrump) February 16, 2017
Trump first used the term “fake news” on Twitter on Dec. 10. Since then, he has used some variation of the phrase 30 times, mostly in 2017.
Trump hires Mike Dubke as White House communications director
President Trump speaks during a news conference Thursday. (Jabin Botsford/The Washington Post)
Mike Dubke, a veteran Republican media strategist, has been hired as the White House communications director, potentially providing some relief for its embattled press secretary, Sean Spicer, who’s been holding down both jobs.
With the appointment, which a White House official confirmed Friday, President Trump is reaching outside his circle of trusted campaign aides to try to bolster his messaging operation. Dubke is founder of Crossroads Media, an Alexandria-based firm with political and corporate clients, that’s considered part of the GOP establishment.
Dubke’s hiring could be announced as soon as Friday, according to a White House official, who spoke on the condition of anonymity to discuss a personnel decision that hasn’t been announced.
Before taking office, Trump named Jason Miller, a senior campaign and transition aide, to the role of communications director. But Miller stepped aside before Inauguration Day, saying he wanted to spend more time with his family.
[Trump claims he ‘inherited a mess’ at sprawling, grievance-filled news conference]
Since then, Spicer, the former communications director for the Republican National Committee, has been holding down both jobs, which traditionally have been separate positions. The press secretary is typically the face of the administration, appearing at press briefings, while the communications director engages in longer-term message planning.
Dubke has been involved in local, state and federal politics since 1988, according to his biography on the Crossroads Media website. He has also served as co-founder and president of Americans for Job Security, a pro-business advocacy organization.
Donald Trump: 28 Days Later
Donald Trump will hit the four-week-mark Friday on a presidency that has begun like no other — full of big promises, constant controversy, the ever-present encroaching of major scandal, and zero regard for the previous norms of American politics.
Beneath the noise, however, there has been a march, however halting and disorganized, toward Trump’s promised radical remaking of American policy, foreign and domestic. The border wall his critics said he’d never build has been ordered, his promised rollback of regulations is in full swing, his Supreme Court pick that will likely sit on the bench for decades, and even the “Muslim ban” he promised during the Republican primary was put in place, however briefly, in altered form.
Story Continued Below
The dual track is familiar to those who watched his campaign, during which a series of controversies and scandals garnered mass attention while few foresaw Trump’s success in building a winning coalition. But a presidency is a longer race than even the campaign, and it remains to be seen whether Trump can outrun his missteps the way he did last fall.
So far, Trump has signed at least 23 executive actions, signed five bills into law, seen 12 members of his Cabinet confirmed, nominated one justice to the Supreme Court, sent 168 (undeleted) tweets, fired one acting attorney general and demanded one resignation: that of his own national security adviser.
It has been 28 days. Here they are.
Inauguration Day: Jan. 20
Where things went according to plan:
The speech: In a short address, Trump stuck to the themes that won him the election, painting a scene of current “American carnage” — claims of economic decay and rising crime that are contradicted by a considerable volume of statistical evidence — as well as his own promise to usher in a new American glory.
First executive actions: Trump signed an executive order that allowed for the delay or waiver of certain Affordable Care Act provisions, and another that froze pending regulations until they won approval from the White House or a newly appointed agency head — early moves toward core promises of his campaign.
Cabinet confirmations kick off: Two of Trump’s best-received Cabinet picks, retired Marine Gens. James Mattis for Defense Secretary and John Kelly for Homeland Security, both won easy confirmation in the Senate. Vice President Mike Pence swore them in that evening.
Where things went off the rails:
The crowd size: The crowds for the inauguration and ensuing parade were bested by the audience that attended former President Barack Obama’s first inauguration, a disparity unveiled both by Metro rail ridership numbers and, more immediately, by aerial photographs.
Day 2: Jan. 21
According to plan:
First foreign leader visit is announced: Press secretary Sean Spicer announced the first visit from a foreign leader, with the Prime Minister Theresa May of the United Kingdom scheduled to visit Trump at the White House during his first week in office.
Off the rails:
The Women’s March: Hundreds of thousands of protesters descended on Washington and cities around the nation (as well as internationally) in massive numbers to demonstrate against the new president, opening questions about whether his election would galvanize progressives into a more politically effective resistance.
The CIA speech: Trump visited the CIA headquarters to show his support for their work, but while standing before the Agency’s wall honoring the 117 CIA officers who died in service, he delivered a campaign-style address that stepped on his message.
Sean Spicer: The new press secretary called a news conference, but instead of taking questions, he offered a searing critique of the news media’s accuracy while delivering no fewer than five demonstrably (at times even obviously) false statements in five minutes. The appearance won Spicer widespread mockery as his inaccuracy became the subject of a short-lived but widely shared meme.
Day 3: Jan. 22
According to plan:
Conversation with Netanyahu: Trump spoke by phone with Israeli Prime Minister Benjamin Netanyahu, extending the invitation for him to visit the United States in February and taking an early step toward a promise of warmer U.S.-Israeli relations.
Trump’s second response to the Women’s March: After initially complaining about the protests (see below), Trump took a more measured tone in a follow-up tweet: “Peaceful protests are a hallmark of our democracy. Even if I don’t always agree, I recognize the rights of people to express their views.”
Off the Rails:
“Alternative facts”: White House counselor Kellyanne Conway defended Spicer’s Saturday night falsehoods by telling NBC’s Chuck Todd that Spicer was simple presenting “alternative facts.” The phrase was widely mocked and cast further doubt on White House credibility just days into the administration.
The beginning of the end of Flynn: Sunday night, The Wall Street Journal published an article with an eyebrow-raising lede: “U.S. counterintelligence agents have investigated communications that President Donald Trump’s national security adviser had with Russian officials, according to people familiar with the matter.” The problem would not go away quietly.
Day 4: Jan. 23
According to plan:
More executive actions: Trump signed three more executive actions aimed at fulfilling campaign promises on what the White House billed as the first work day of the administration. The orders officially withdrew the U.S. from negotiations over the Trans-Pacific Partnership, froze federal hiring (except for the military and in certain security situations) and barred federal funds from going to international groups that provide abortions. The move on trade was the final nail in the coffin for U.S. participation in TPP, which had been slowly careening toward doom during the presidential campaign in which Trump and Clinton both voiced opposition to it. The hiring and abortion orders represented two more boxes checked on the conservative wish list.
Spicer, take 2: Spicer’s much-anticipated Monday briefing was mostly drama-free, and the press secretary pledged the administration’s “intention is never to lie to you.”
Tillerson on the move: Rex Tillerson won a party line vote in the Senate Foreign Relations Committee to advance his nomination for secretary of state. His prospects were uncertain after a rocky confirmation hearing and doubts voiced by Sen. Marco Rubio (R-Fla.), who ended up supporting the former ExxonMobil CEO nonetheless.
Off the Rails:
Trump’s meeting with lawmakers: In a meeting with bipartisan congressional leadership at the White House, Trump repeated his false claim that widespread voter fraud cost him the popular vote in the general election.
Conway on tax returns: Conway walked back a claim she made Sunday — in which she seemed to indicate Trump never had any intention of releasing his tax returns — and returned to the line repeated throughout the campaign, that his returns would be released after the completion of an audit.
Day 5: Jan. 24
According to plan:
More executive orders: Trump signed five more executive actions: Two encouraged the construction of pipelines, one sought to expedite the approval of infrastructure projects, one called for material used to build pipelines to be made in America “to the maximum extent possible,” and another called for swifter permitting for domestic manufacturers.
Nikki Haley: Trump’s pick for ambassador to the United Nations, former South Carolina Gov. Nikki Haley, was confirmed by the Senate 96-4.
Off the Rails:
Spicer on voter fraud: Spicer defended Trump’s voter fraud claims by incorrectly citing a widely debunked study. He did not say whether he agreed with Trump’s claim, though he claimed that Trump had based his belief on “studies and evidence.”
I will be asking for a major investigation into VOTER FRAUD, including those registered to vote in two states, those who are illegal and….
— Donald J. Trump (@realDonaldTrump) January 25, 2017
Day 6: Jan. 25
According to plan:
Immigration orders, Part 1: Trump signed two orders on immigration. One included a call for the beginning of planning and construction of the border wall and the hiring of 5,000 more border patrol agents, another pushed for the hiring of 10,000 additional Immigration and Customs Enforcement officers and aimed to cut off federal funding to “sanctuary cities.”
Paul Ryan’s Philly speech: In a speech at congressional Republicans’ retreat in Philadelphia, House Speaker Paul Ryan said the Republican-led Congress would replace Obamacare, cut taxes and fund Trump’s border wall by August. It’s usually the White House making grand predictions and Congress coming in with the cold water, but Ryan’s statements represented a show of unity.
Off the Rails:
Voter fraud tweet: While his administration worked to steer the conversation toward Trump’s policy, the president himself — possibly still upset over focus on his loss in the popular vote — couldn’t resist relitigating the election. “I will be asking for a major investigation into VOTER FRAUD, including those registered to vote in two states, those who are illegal and…. even, those registered to vote who are dead (and many for a long time). Depending on results, we will strengthen up voting procedures!”
Day 7: Jan. 26
According to plan:
Bannon bashes the press: From the campaign trail into the White House, Trump and his team have grown fond of attacking the news media — a move that seems always to rile up their base. Trump’s chief strategist Steve Bannon added his voice to the chorus, telling The New York Times that the media is “the opposition party” and that the press should “keep its mouth shut and just listen for awhile.” Trump would later repeat the “opposition party” phrase to describe the press.
Off the Rails:
Spicer, again: On a flight back from Philadelphia, where Trump addressed the Republican congressional retreat, Spicer suggested a 20 percent tax on imports from countries “like Mexico” could be used to pay for the border wall. But Spicer quickly walked back the proposal, saying it was not a policy proposal but rather “one idea” for how the wall could be paid for. The idea was out there long enough to get panned by some Republicans, including Sens. Ben Sasse and Lindsey Graham.
Mexico responds: Mexican President Enrique Peña Nieto canceled a planned visit to the U.S. in response to Trump’s Jan. 25 executive actions.
Day 8: Jan. 27
According to plan:
March for Life: The March for Life came to Washington with anti-abortion activists feeling a sense of renewed vigor now that Trump has been elected. Pence, in particular, won plaudits by being the first sitting vice president to address the annual event — a hometown crowd for him if there ever was one.
First presidential presser: Donald Trump welcomed British Prime Minister Theresa May, an event that went smoothly and showcased a tight partnership between the two nations. Trump answered his first questions from reporters as president.
Off the Rails:
Refugee executive order stumbles out of the gate: Trump signed a far-reaching executive order that temporarily halted the admission of new refugees into the United States, imposed an indefinite ban on the entry of refugees from Syria, and suspended the entry of citizens of seven Muslim-majority countries. The executive order, signed late on a Friday afternoon, prompted immediate confusion about its enforcement, including chaos at points of U.S. entry. And, within hours, it met resistance in court, including legal challenges that would eventually succeed in putting the order on ice.
Holocaust Remembrance Day statement: The White House released a statement to honor International Holocaust Remembrance Day, but made no explicit mention Jewish people. Later in the weekend, two Republican groups joined in criticism of the statement. The White House later called criticism of its statement “pathetic.”
Senate pushback: Senate Majority Leader Mitch McConnell felt compelled to warn Donald Trump not to lift sanctions on Russia, ahead of a scheduled Saturday morning call between Trump and Russian President Vladimir Putin.
Day 9, Jan. 28
According to plan:
Executive orders: Trump signed three executive actions — a reorganization of the National Security Council; a five-year ban on lobbying for administration appointees and a lifetime ban on lobbying the government for other countries; and an order tasking the Department of Defense with coming up with a plan to defeat the Islamic State within 30 days. The NSC order proved the most significant, as it moved Trump’s chief strategist, Steve Bannon, onto the principals committee of the National Security Council.
Putin on the line: Trump’s first phone call with Russian President Vladimir Putin was “positive,” the White House said, and involved discussions of how the nations could cooperate to combat terrorism. The White House made no announcement regarding election interference-related sanctions after the call, assuaging the fears of some who worried Trump would roll back the sanctions.
Off the Rails:
Travel ban fallout rulings: A series of rulings from federal courts Saturday night significantly curtailed Trump’s order. A judge in Brooklyn suspended deportations, a Boston judge issued a temporary restraining order on the action and a Virginia judge blocked the deportation of green-card holders.
Travel ban fallout optics: As some travelers from the seven affected countries found themselves detained at American airports — even if they had valid visas — and government officials scrambled to make sense of the order, civil liberties lawyers, protesters and Democratic politicians descended on airports. The backlash marked a spontaneous rebuke to Trump’s order and raised questions about how much planning went into the sweeping action.
Australia calling: Trump’s phone call with Australian Prime Minister Malcolm Turnbull went off the rails after Trump bragged about his election win, expressed anger over a deal to take refugees from Australia and told Turnbull it was his “worst call by far” of the day. Details of the contentious conversation emerged in a Washington Post report a few days later.
Day 10, Jan. 29
According to plan:
Order rewrite: The Department of Homeland Security attempted to modify the travel order by saying it no longer applied to green-card holders from the seven targeted countries. That portion of the ban had been especially troubling to the courts.
Clarification: Trump posted a statement on Facebook defending his travel ban, saying the order was “not a Muslim ban,” and stressing the temporary nature of it.
Off the Rails:
Yemen raid: A special operations raid ordered by Trump in Yemen resulted in the death of a U.S. service member, Chief Petty Officer William “Ryan” Owens, the wounding of three others and significant civilian casualties. The White House argued that the raid, which targeted fighters from a branch of Al Qaeda, was successful because 14 militants were killed and intelligence was gathered.
Continued protests: Protesters continued to rally against the travel ban with protests in cities and at airports around the country, and at a large, impromptu march from the White House to the Capitol.
ACLU money haul: The American Civil Liberties Union, a nonprofit spearheading legal challenges to Trump’s immigration ban, raised more than $24 million in online donations over the weekend — about six times what they typically receive annually in online donations.
Day 11, Jan. 30
According to plan:
One in, two out: Rolling ahead with executive orders to fulfill campaign promises, Trump signed an order decreeing that for every new federal regulation, two existing regulations must be repealed. Conservative groups cheered the move.
You’re fired: Trump took authoritative action Monday night in defense of his travel ban, firing acting Attorney General Sally Yates for refusing to defend it. Trump also swiftly replaced Yates, an Obama administration appointee, with Dana Boente, the U.S. attorney in Alexandria, Virginia, ensuring essential functions of the Justice Department remained intact.
Off the Rails:
‘Betrayal’ attack: The White House statement on Yates’ firing was inflected with personal attacks and sounded less like a presidential statement than a piece of campaign rhetoric. “ »The acting Attorney General, Sally Yates, has betrayed the Department of Justice by refusing to enforce a legal order designed to protect the citizens of the United States. This order was approved as to form and legality by the Department of Justice Office of Legal Counsel. Ms. Yates is an Obama Administration appointee who is weak on borders and very weak on illegal immigration. »
Spicer vs. State: As State Department employees registered dissent with the travel ban, Spicer announced from the White House that career employees who disagree with the new administration “can go.”
Behind the scenes: A Monday night report revealed Hill staffers had aided the drafting of the controversial immigration order — but without informing party leadership, explaining some of the initial confusion and crossed wires after the order dropped.
Day 12, Jan. 31
According to plan:
LGBT order: Making good on another campaign theme, Trump pledged to keep in place an Obama order barring federal contractors from discriminating on the basis of sexual orientation. Trump ran as the most outspoken supporter of LGBT rights to win the Republican nomination.
Gorsuch for SCOTUS: In a crowning moment for Trump and the conservative movement — not to mention Sen. Mitch McConnell, who made it possible — the president announced Neil Gorsuch as his pick for the Supreme Court in a prime-time unveiling from the White House. For many Republicans who disliked Trump but voted for him anyway with the Supreme Court in mind, this was a moment of vindication. The announcement went off without a hitch, and Gorsuch was quickly the recipient of praise, at least some of it bipartisan.
Off the Rails:
A ban, or not a ban?: Spicer told the press that the travel ban — which both he and the president had referred to previously as a “ban” — was not, in fact, a ban. His attempted explanation would later be mocked on “Saturday Night Live.”
Wisconsin trip nixed: Trump’s planned trip to the Harley-Davidson factory in Milwaukee was canceled in part over concerns about protests, CNN reported. Trump ended up hosting Harley-Davidson executives at the White House later, instead.
Day 13, Feb. 1
According to plan:
Tillerson gets in: Rex Tillerson, among the more controversial of Trump’s Cabinet picks due to allegations of excessive coziness with the Putin regime, was confirmed as secretary of state by the Senate in a 56-43 vote.
Saber rattling: Trump ran on taking a tougher stance against Iran, and his White House made good on the pledge. National security adviser Michael Flynn announced the White House was officially putting Iran “on notice” for recent provocative behavior, and senior officials later would not rule out military action in response.
Getting to know you: Paul Ryan and Trump’s son-in-law/senior adviser Jared Kushner dined together at the Capitol Hill Club.
Off the Rails:
DeVos by a thread: Two Republican senators, Lisa Murkowski of Alaska and Susan Collins of Maine, announced they would oppose Trump’s pick to lead the Education Department, Betsy DeVos. With Democrats unanimously opposed to the Michigan billionaire, that left DeVos headed for a 50-50 vote if the status quo held. The White House voiced confidence that she would be confirmed, which she later was with Pence casting the tie-breaking vote.
Day 14, Feb. 2
According to plan:
On message: Trump told the National Prayer Breakfast that he would “totally destroy” the Johnson Amendment, which restricts political activity by religious groups. The message was one he and Pence trumpeted often on the campaign trail, and it went over well with the Prayer Breakfast crowd.
Off the Rails:
Bowling Green outrage: Trump counselor Kellyanne Conway cites a fictitious “Bowling Green massacre” in an interview on on MSNBC’s “Hardball” as she presses the case for Trump’s immigration ban, an attack she said “most people” weren’t aware of “because it didn’t get covered.” The next day, after the Internet had a lot to say about it, Conway apologized saying she got her facts scrambled.
Talking Arnold: In a move that struck some as tone deaf, Trump used a speech at the National Prayer Breakfast to mock the ratings of The Celebrity Apprentice ratings with its new host, Arnold Schwarzenegger.
Uber out: Uber CEO Travis Kalanick quit Trump’s business council after some questioned whether his presence with the group represented an endorsement of Trump’s policies.
Day 15, Feb. 3
According to plan:
Dodd-Frank pull back: Trump signed an executive order that backed sweeping changes to U.S. financial regulations, in what was viewed as a first step toward undoing Obama’s signature financial regulatory reforms. Trump also moved to revamp a controversial conflict-of-interest rule for financial advisers.
Court victory: Trump’s travel ban won a legal battle — albeit a fleeting one. A 21-page decision from U.S. District Court Judge Nathaniel Gorton offered preliminary backup for the ban, concluding that Trump’s executive order was legally sound.
Off the Rails:
Judge halts ban: Late Friday, U.S. District Judge James Robart, a George W. Bush appointee, granted a temporary restraining order that halted Trump’s travel ban and restrictions on a nationwide basis, setting up a protracted legal fight. Robart rejected arguments from Justice Department attorneys who said the ban was within the president’s national-security powers.
Viola drops out: Vincent Viola, Trump’s pick serve as Army secretary abruptly quit, saying he was concerned he couldn’t disentangle extensive financial ties. Viola, who had been nominated in mid-December, said he concluded he couldn’t clear all of his conflicts. He is the founder of trading firm Virtu Financial and owner of the National Hockey League’s Florida Panthers.
Day 16, Feb. 4
According to plan:
Ukraine promise: In a call with Ukrainian President Petro Poroshenko, Trump promised that the U.S. would work to restore peace on the border between the Ukraine and Russia, according to a readout released by the White House. « We will work with Ukraine, Russia, and all other parties involved to help them restore peace along the border, » Trump said during the 5 p.m. call, which was described by the White House as « a very good call. »
Off the Rails:
Judge assault: Reacting to a court ruling late on Friday night, Trump assailed a federal judge who issued a broad block on his executive order restricting immigration from seven Muslim-majority countries. In a series of tweets, Trump called the ruling from Robart “ridiculous” and lashed out at him. “The opinion of this so-called judge, which essentially takes law-enforcement away from our country, is ridiculous and will be overturned!” Trump tweeted.
‘Saturday Night Live’ hits: A pair of skits that focused on the Trump White House quickly went viral with their scathing portrayals of Trump’s relationship with world leaders (and top aide Steve Bannon) and White House press secretary Sean Spicer. Spicer, played by Melissa McCarthy, is lampooned as a combative, inarticulate press basher. In another skit, Trump, portrayed by Alec Baldwin, calls world leaders as Steve Bannon, dressed as the Grim Reaper, coaches him — before relegating Trump to a child’s desk.
Day 17, Feb. 5
Off the Rails:
Putin problem: Trump shook up an otherwise quiet day when, in an interview with Fox News’ Bill O’Reilly, he seemed to equate Russian President Vladimir Putin with American leadership. O’Reilly said to Trump: “Putin’s a killer.” And Trump responded, “A lot of killers. We got a lot of killers. What, you think our country’s so innocent?” Critics, including GOP Sen. Marco Rubio, pounced on Trump’s apparent moral equivalence.
More judge attacks: Trump took to Twitter on Sunday afternoon to rip a federal judge and warn that he would be at fault if the U.S. was attacked. « Just cannot believe a judge would put our country in such peril. If something happens blame him and court system. People pouring in. Bad! »
Day 18, Feb. 6
According to plan:
Hearing set: The 9th Circuit Court of Appeals gave the Trump administration hope — ultimately short-lived — that the travel ban could resume. The court agreed to hear arguments for and against a stay on Trump’s executive action that temporarily halted entry by refugees, including those from Syria, and banned travel from seven Muslim-majority nations.
Off the Rails:
Media cover-up speech: Speaking to U.S. troops at Central Command in Tampa, Florida, Trump delivered an overtly political address that accused the news media of covering up terrorist attacks. Later, Spicer told reporters on a flight back to Washington that Trump was merely suggesting some attacks don’t receive the coverage they deserve, and that things like protests receive too much coverage.
Terror pushback: The White House released a list of 78 terrorist attacks later that night that it said had been underreported by the U.S. media. The list was riddled with misspellings and typos, and included dozens of attacks that received significant, in some cases, blanket U.S. media coverage. Among the “under covered” attacks cited: A shooting at an Orlando, Florida, nightclub that left dozens dead; an attack in San Bernardino, California, and large-scale attacks in Paris and Brussels.
Bowling Green continued: White House counselor Kellyanne Conway came under fire after news emerged she cited the fictitious “Bowling Green massacre” in at least two previous interviews. In interviews with Cosmopolitan and “TMZ” Conway made reference to fictitious events in Bowling Green.
Melania lawsuit: A lawyer for first lady Melania Trump argued in a lawsuit filed Monday that an article falsely alleging she once worked for an escort service hurt her chance to establish “multimillion dollar business relationships” during the years in which she would be “one of the most photographed women in the world.”
Day 19, Feb. 7
According to plan:
DeVos confirmed: Education Secretary Betsy DeVos won Senate confirmation by the narrowest possible margin, with Vice President Mike Pence casting the deciding vote. Two Republican senators, Lisa Murkowski of Alaska and Susan Collins of Maine voted against DeVos, who faced criticism for past comments and lack of background in public education, and had a rocky confirmation hearing. Pence’s vote was the first time a vice president was called upon to help confirm a member of the Cabinet.
Off the Rails:
Teleconference in court: The Trump administration was able to argue the merits of the travel ban on a teleconference with the 9th Circuit Court of Appeals. A Justice Department lawyer argued that presidents have broad authority when it comes to decisions involving national security.
Murder claims: Trump held two listening sessions at the White House to kick off the day, one with county sheriffs and one with veterans’ advocates. But the message was stepped on by Trump’s false claim that the U.S. murder rate is at its highest level in more than four decades and by his offer to help “destroy” the career of a Texas state lawmaker who opposes asset forfeiture.
Kelly regrets: Testifying on Capitol Hill, Homeland Security Secretary John Kelly said he should have delayed the implementation of the travel ban.
Yemen fallout: Yemen withdrew permission for American special operations forces to conduct ground operations in the country, The New York Times reported. The move came in the aftermath of a U.S. raid — the first commando raid ordered by Trump — that resulted in the death of one U.S. service member and significant civilian casualties.
Faux pas avec la France: Word leaked of a rocky phone call between Trump and French President Francois Hollande, with Trump veering into rants about the U.S. getting shaken down by other countries.
My daughter Ivanka has been treated so unfairly by @Nordstrom. She is a great person — always pushing me to do the right thing! Terrible!
— Donald J. Trump (@realDonaldTrump) February 8, 2017
Day 20, Feb. 8
According to plan:
Sessions in: Trump’s pick for attorney general, Jeff Sessions, won confirmation by a 52-47 vote.
Off the Rails:
Nevertheless, she persisted: In another galvanizing event for Democratic critics of Trump and Republicans, Sen. Elizabeth Warren was reprimanded and told to sit down and be quiet during debate on Sessions after reading a letter critical of sessions written by Coretta Scott King. Mitch McConnell said that Warren was warned but “nevertheless, she persisted,” a phrase that spawned thousands of Facebook posts and tweets, T-shirts and more.
Supreme discontent: In a meeting with Sen. Richard Blumenthal, Supreme Court nominee Neil Gorsuch lambasted the president’s pointed criticisms of a federal judge who put a stay on his travel ban. Gorsuch said Trump’s remarks were « disheartening » and « demoralizing. » The comments marked an extraordinary break between a top White House nominee and the president.
Nordstrom attack: President Trump used Twitter to blast luxury retail store Nordstrom for dropping the clothing line of his daughter Ivanka Trump from its stores. Ethics experts and others immediately criticized Trump for using his Twitter account (and the bully pulpit) to attack an individual business. Nordstrom had previously announced it was dropping Ivanka Trump’s clothing line due to poor sales numbers.
Day 21, Feb. 9
Off the Rails:
Flynn in free fall: The Washington Post published a report citing nine sources stating Flynn had discussed U.S. sanctions in a phone call with the Russian ambassador, contrary to Flynn’s and the administration’s statements about the call.
Ban on ban upheld: A federal appeals court unanimously rejected the Trump administration’s request to reinstate a travel ban that blocked refugees from entering the U.S. as well as citizens of seven Muslim-majority countries. Trump responded to the ruling by tweeting, in all caps, “SEE YOU IN COURT, THE SECURITY OF OUR NATION IS AT STAKE!”
Nordstrom problems: House adviser Kellyanne Conway came under fire for encouraging people to buy Ivanka Trump’s clothing line, a likely violation of ethics rules that bar such advocacy from White House officials.
Day 22, Feb. 10
According to plan:
Diplomatic display: Trump held a joint news conference and met with Japanese Prime Minister Shinzo Abe.
Keeping options open: After legal setbacks for his travel and refugee ban, Trump alluded to future action on the issue: Twice during the day, Trump suggested that the White House would try to redraft the order in order to strengthen it against legal challenges.
Off the Rails:
Flynn fallout: Vice President Mike Pence became entangled in reports that national security adviser Mike Flynn discussed sanctions with Russia before President Trump was sworn in. Pence had denied on national television that sanctions had been discussed. The Pence camp insists Pence was speaking based on what Flynn told him — raising the possibility that Flynn had lied to the vice president.
Abrams tanked: President Trump blocked Elliott Abrams’ appointment to a top post at the State Department because of his criticisms of Trump during the campaign. Newly sworn-in Secretary of State Rex Tillerson had favored Abrams, a veteran Republican foreign policy hand, for the role because of his breadth of knowledge.
Conspiracy theorist: Reports emerged that Trump once again espoused conspiracy theories about illegal voters — with no evidence. In a closed-door meeting with congressional leaders, Trump asserted that he, and former Sen. Kelly Ayotte, would have won in New Hampshire without illegal votes.
Day 23, Feb. 11
According to plan:
Getting in a round: Trump continued a diplomatic visit with Japanese Prime Minister Shinzo Abe by hitting the links with him in Palm Beach, Florida.
Diplomatic partnership: Trump and Abe showcased a tight, on-message partnership in the face of an apparent missile test by North Korea. The two worked closely together to craft a denunciation of the launch. Appearing with Trump at a hastily called news conference at in Florida, Abe called the attack “intolerable.”
Off the Rails:
North Korea problem: North Korea’s decision to test the missile is another implicit challenge to Trump — and seemed designed to rattle Trump and Abe’s otherwise feel-good meeting.
Public diplomacy: Trump and Abe came under fire for apparently reacting to the launch in public view at Mar-a-Lago. Members took pictures of the two world leaders, huddled over documents lit by cellphone flashlights, in plain view of diners at the Trump-owned property. Rep. Jason Chaffetz, chairman of the House Oversight and Government Reform Committee, called for a review of the security protocols at Mar-a-Lago after images popped up on Facebook and elsewhere.
Day 24, Feb. 12
According to plan:
Quiet-ish day: After a day of golf and a night of diplomatic crisis the night before, Trump avoided much spectacle. He met with his Treasury nominee, Steve Mnuchin, and casino magnate Steve Wynn at Mar-a-Lago before flying back to Washington.
Miller impresses the boss: White House senior policy adviser Stephen Miller did a round of Sunday shows — which Trump cheered on, via Twitter.
Off the Rails:
But Miller fails with others: Miller was ripped as shaky and dissembling on Twitter and faced sharp questions from his Sunday-morning show inquisitors, including this back-and-forth with NBC’s Chuck Todd about national security adviser Michael Flynn: TODD: « Let me ask you this, if you were caught misleading the vice president of the United States, would that be considered a fireable offense in the Trump White House? » MILLER: « It’s not for me to answer hypothetical. It wouldn’t be responsible. It’s a sensitive matter.” But Trump was satisfied with the performance.
Tweeting the morning away: Trump started his Sunday with a rapid-fire string of tweets targeting critics and got into a back and forth with fellow billionaire Mark Cuban. « I know Mark Cuban well,” Trump tweeted. “He backed me big-time but I wasn’t interested in taking all of his calls. He’s not smart enough to run for president! » Notably, Cuban campaigned for former Secretary of State Hillary Clintonand aided her campaign.
Day 25, Feb. 13
According to plan:
Welcome, neighbor: Trump and Canadian Prime Minister Justin Trudeau had a productive meeting, reaffirming the warm relations between the U.S. and Canada. Trudeau talked about the two nations’ common ground and avoided talk of Trump’s controversial travel ban. Trump said that U.S. trade issues with Canada are less egregious than those with Mexico.
Growing Cabinet: Trump’s pick for Veterans Affairs secretary, David Shulkin, was unanimously confirmed by the Senate. His pick to lead the Treasury Department, Steven Mnuchin, was confirmed in a 53-47 vote.
Off the Rails:
Out like Flynn: As night fell in Washington, so did the ax on Flynn, who resigned over reports he misled Pence about his discussions of sanctions with the Russian ambassador to the United States.
Lingering questions: Flynn’s ouster didn’t end the story. There were an array of questions: Who knew what, and when? Why did Trump wait weeks after he learned about his calls with the Russian ambassador to relieve him of his post? And will Flynn eventually be asked to testify to Congress about his tenure?
Pudzer problems: Problems continued to emerge for Trump’s embattled Labor nominee, Andy Puzder. Talk show host Oprah Winfrey gave the Senate committee considering his nomination a 1990 tape of a show in which Puzder’s wife, in disguise, discussing allegations of domestic violence.
Day 26, Feb. 14
According to plan:
Regulatory blow: In a tangible strike at regulations, Trump signed a bill that killed SEC regulations requiring companies to disclose payments made to foreign governments.
Off the Rails:
Bombshells: The New York Times reported that members of Trump’s campaign staff had regular contacts with Russian security officials. About an hour later, CNN largely matches the development. The stories come hours after Spicer denied that Trump’s campaign had any contact with Russians.
Conway conflict: The Office of Government Ethics said it wanted White House lawyers to investigate Conway after she called on people to buy Ivanka Trump’s clothing line during a television appearance.
Day 27, Feb. 15
According to plan:
Netanyahu’s visit: Trump and Israeli Prime Minister Benjamin Netanyahu had an amiable meeting and a joint news conference. Trump also seemed to affirm his commitment to the Jewish State’s conservative governing coalition by abandoning the U.S. commitment to the two-state solution.
Shifting the conversation: Trump took to Twitter in response to allegations his associates had been in contact with the Russians during the campaign, writing: “The real scandal here is that classified information is illegally given out by ‘intelligence’ like candy. Very un-American!” Conservative media outlets added their voice to the argument, slamming leakers within the government.
Off the Rails:
Puzder pulls out: Andy Puzder, Trump’s pick for Labor secretary, withdrew from consideration after POLITICO published a tape of his ex-wife discussing abuse allegations on “Oprah” and a number of Senate Republicans urged his withdrawal.
Day 28, Feb. 16
According to plan:
The accomplishment-touting part of the presser: At his first solo news conference as president, Trump ticked through his accomplishments so far, touting his first four weeks in the White House as the most productive of any presidency.
The media-bashing part of the presser: Trump’s base loves when he attacks the media, and he served up the red meat at his news conference, deploying his favorite insults for the press: “fake news” and “dishonest people.”
Signing a bill into law: Trump signed into law a bill nullifying a Department of Interior rule, much loathed by Republicans, aimed at protecting streams.
Off the Rails:
The rest of the presser: Trump warned about the dangers of “nuclear holocaust.” He asked a black reporter if she was “friends” with the Congressional Black Caucus, and if she could set up a meeting with its members. He bragged, falsely, about the historic margin of his election win, only to be corrected on the spot — then blamed his staff for giving him bad information. And he said never instructed Flynn to talk about sanctions with the Russian ambassador but said that he would have.
At one point in the presser, Trump said he didn’t think “there’s ever been a president who in a short period of time has done what we’ve done. »
Zach Montellaro and Diana D’Abruzzo contributed to this report.
Unilever rejects $143 billion Kraft Heinz bid as without merit
LONDON Unilever (ULVR.L) rejected a surprise $143 billion takeover bid from U.S. food company Kraft Heinz Co (KHC.O) on Friday, saying it saw no reason to discuss a deal which it said had no financial or strategic merit.
But while Unilever, the maker of Lipton tea and Dove soap, said the $50 per share offer undervalued it and recommended its shareholders take no action, Kraft Heinz said it looked forward to « working to reach agreement on the terms of a transaction ».
Analysts saw this as a sign Kraft was open to a higher bid, although the Anglo-Dutch company said in a statement it saw no basis for further talks. Unilever shares jumped as much as 14 percent to a record high. They were up 13 percent at 37.79 pounds ($46.92) at 1338 GMT, short of the offer price.
A combination of the two multinationals would be the third-biggest takeover in history and the biggest ever acquisition of a UK-based company, according to Thomson Reuters data.
The Kraft Heinz approach comes as the global packaged food industry grapples with slowing growth, new competition from upstart brands, deflation in developed markets and increasingly health-conscious consumers.
Unilever has a larger presence than some peers in emerging markets, which were once the big driver of industry growth, but which have slowed in recent years. It is also feeling the after-effects of Britain’s decision to leave the European Union.
Although Kraft is smaller than Unilever, with a market value of $106 billion as of Thursday, it is 50.9 percent owned by billionaire Warren Buffett’s Berkshire Hathaway (BRKa.N) and 3G Capital, the private equity firm that also controls Anheuser-Busch InBev (ABI.BR). It has been widely expected to do a deal this year, given earlier reports that 3G had raised a new fund.
3G has orchestrated a string of big deals rocking the food and drink industry, including Anheuser-Busch InBev’s takeover of SABMiller and the combination of Kraft and Heinz.
FAST FORWARD
Unilever said Kraft’s proposal represented an 18 percent premium to its share price on Thursday, the day before news of the bid was announced in a stock market statement.
It said Kraft’s proposal included $30.23 per share in cash, payable in U.S. dollars, and 0.222 of a share in a new enlarged entity per Unilever share.
« This is cheap money meeting industrial logic, » Steve Clayton, manager of the HL Select UK Shares fund at Hargreaves Lansdown, which owns Unilever shares, said.
A deal would offer opportunities to combine marketing, manufacturing and distribution in addition to cutting costs.
« Kraft Heinz are attempting a massive push on the Fast Forward button…to acquire the sheer scale of brands that Unilever represents through one-off acquisitions could take decades, » Clayton added.
(Additional reporting by Angelika Gruber in Zurich and Danilo Massoni in Milan; Editing by Keith Weir/Ruth Pitchford/Alexander Smith)
Showing Real Ads to Fake People Zaps Digital Marketing
If we believe the numbers, the recent Methbot video advertising fraud ring that showed real ads to fake people collectively cost advertisers more than $3 million a day at its peak.
While our first instinct is to focus on the wasted ad spend, the problem is actually much larger.
Digital ad fraud is a fact of life. An advertiser’s goal is to minimize it, not eliminate it, because there is a point of diminishing return, whereby it costs more to eliminate the final remnants of ad fraud than to absorb the costs.
The key is being able to identify it when it does happen so its signals do not send a campaign in the wrong direction and waste the entire budget.
Automakers surely are jealous of auto insurance companies in that insurers can achieve closed-loop attribution on so many purchases so quickly. An auto insurer can run digital media, know the users who saw their ads and instantly know when one of those users purchases auto insurance via the company’s website or mobile app.
OEMs are less fortunate, because most auto purchases still occur offline with the customer signing a piece of paper. It then takes months to aggregate that customer data and link it back to online behavior.
Since it’s not wise to wait for months before optimizing a digital media campaign, many OEMs and their agencies optimize to lower funnel activities on the OEM and dealer websites as an interim proxy for purchase data.
For example, many auto advertisers will optimize towards locate-a-dealer, contact us and view inventory. They’re all website-based conversions that don’t involve a monetary transaction.
What most advertisers don’t know, however, is that even if media is being optimized to closed-loop results, ad fraud can cause those optimizations to direct greater amounts of the budget to be spent on fraud.
This won’t happen with basic fraud, because bots don’t buy cars. But bots definitely are programmed to perform lower-funnel activities and even inject their codes into real human browsing to give fraudsters’ invalid websites credit for real offline customer purchase activity.
We’ve seen that even advertisers who are laissez-faire about fraud typically don’t feel impacts of more than 4% to 8% of their spend. But start optimizing toward fraud and it can eat up 20% of a budget or more in no time.
Optimizing towards fraud occurs when you start chasing performance metrics that look too good to be true.
Let’s say you’re running a video campaign with two different programmatic video providers, and you assess mid-campaign how each is performing. One provider delivers a 75% video completion rate at an $18 cost per impression and a second provider delivers an 80% completion rate at $11 CPM. Additionally, provider No.2 delivers 25% more lower-funnel site-based activities than provider No.1.
It would be extremely tempting to shift the remaining budget to No.2 given these metrics, but without digging deeper, you may be setting yourself up to give more of your remaining budget to fraudsters.
As the programmatic video space matures, quality inventory and quality users are becoming increasingly tough to obtain.
Supply and demand effects are strong, and the reality is the best inventory is going to cost more, even though the vanity metrics like conversion and completion rates may not look as good as you’re used to seeing.
Working more transparently with video providers is a way to understand the true value of what you’re getting.
Are you able to see what sites are actually running? Are you able to validate fraud levels using a third-party tech provider? These are ways you can dig deeper with video providers to understand whether ads are reaching real people capable of spending real dollars at the dealership.
An expert in home security once told me, “You’re not going to stop the robbers. Just make your house difficult enough that they go to the next house.” We’ve found the same applies to ad fraud.
Even SIVT – sophisticated invalid traffic – isn’t that difficult to detect. But, eradicating it requires admitting there isn’t as much scale in digital as we thought. This becomes especially painful when managing Tier II or Tier III budgets. Just as it’s easier to leave the doors unlocked and not set the alarm at night, having seemingly unlimited scale in a campaign is tempting. It’s a dangerous way to live and luck ultimately will run out.
David Wolk is CEO of Goodway Group, a marketing firm. He is at david@goodwaygroup.com
Not Your Dad’s Content Marketing Trends—But Maybe Your Great (x5000) Granddad’s
Nailing down marketing trends is targeting something that’s ever-moving. One day’s list might be topped with a push for bigger big data, the next insisting that more personalization is the thing, while the next declares that inbound, top-of-funnel crusades pave the road to conversion nirvana. Whatever the strategy du jour, narrowband hit-and-run tactics aren’t definitive enough for C-level execs who often need to map out blue-sky content strategies—ones with staying power.
So, say you’re the VP of marketing at an enterprise firm, and you’re looking at your company’s website traffic over the first quarter. You notice something: although your traffic is overall much higher than it was this time last year, things are stagnating, and, you’re disturbed to realize, taking a turn toward a decline. As a marketer, you know you need to be pushing the boundaries and engaging your audience in new ways, but you don’t know what to improve first.
You’re not alone. That’s why we’re looking here to survey the kind of trends for 2017 that have operational components—things that industry leaders are drafting into their master plans. And, just to make you wonder whether we’re going to say Windows 95 is back as well, let’s start out with one of the granddaddies: email.
This Isn’t Your Dad’s Email
Email—it will not die! With all the whiz-bang connectivity apps (and their advertising) burning consumers’ smartphone batteries these days, it seems ludicrous to claim that email is still one of the kings of content strategy. Yet, the inbox remains a sacred space—it’s the Rip Van Winkle of marketing trends.
The table-busting wealth of internet distractions finds consumers clicking then vaporizing in a nanosecond; in comparison, their inboxes are calm confines of sweet repose, where your message—if sticky (and storified) enough—might make its way to top of mind. Joe Pulizzi of the Content Marketing Institute cited an email renaissance swelling subscription numbers at places like BuzzFeed and the Washington Post.
Pulizzi specifically cited targeted email newsletters as an audience-growing trend. Sumo Stories and MailChimp’s What’s In Store newsletter are good examples of companies expressing the basics of their brand—often using video and good graphics—with good humor and worthy information.
Ooh, Look—Pretty Pictures!
Video, video, and more video moved in the minds (and came out of the mouths) of industry pundits as one of the huge marketing trends of 2016—and it ain’t going away. Creatively composed imagery, as any moviegoer knows, has a way of slipping behind your rational mind and grabbing your gut. And these days, you don’t need a hushed audience and a darkened auditorium to reach your clients with video—as Facebook Live has shown, the right movie messages on their phones can equally tingle their spines.
The impact of video on conversion and engagement suggests that it’s a tool with persuasive power, and that millennial viewers are particularly hungry audiences. But soul-grabbing video content isn’t usually the result of a tossed-off iPhone capture. Producing solid and inviting video messages takes considerable skill and resource allocation—with more companies investing time in recording and production, the bar has been upped. Many companies have YouTube channels with sophisticated video products, but with its Planet of the Apps show, Apple is even getting into original programming to expand its brand offerings.
And if you want to see companies dancing on the film edge (but sticking, because of their charm) check out this First Moon Party video for the Period Starter Kit from HelloFlo, or perhaps the 50 Shades of Grey-inspired Burger King Valentine. These aren’t your dad’s videos, either.
Peddling Influence
Instead of scrambling with scattered promotions, ads, deep campaigns, or other measures to gain the attention of rapt followers, why not just piggyback on some company or person who already has a fervent following? Influencer marketing is a tried-and-true strategy with considerable sales charge, as TapInfluence and Nielsen can attest.
As this Inc. Magazine article suggested, “. . . the potential customers you’re looking to attract would prefer to hear about you, not from you.” Markets are often better served by some glittery outsider singing your product’s praises—even if it’s clear you’re paying a pretty penny for them. As another Inc. piece stated: you’re paying for trust.
However, when that trust is lost, the influence can go bust, and with it, your shiny association. Witness the recent debacle with the wildly popular YouTube star, PewDiePie, whose YouTube Premium channel was just shut down because of Pew’s anti-Semitic content. When reports of the vile content became news, Disney’s Maker Network ended its association with the channel.
Tell Me a Story
Hmm, this “what’s old is new” thing might be a theme (or better yet, a marketing trend). Going back a mere 40,000 years or so, someone stenciled some images of human hands on a wall. Someone was telling a story, trying to connect. The group probably worked it up around the campfire, as well. Lots of evidence suggests that we are hardwired for stories: tales of courage, lust, conflict, loss, good and evil—we gobble them up. And many brands are turning to storytelling as a key 2017 content strategy.
A well-told story is a beguiling thing—and if you can integrate your company’s story into a creative, richly told tale, one with emotional resonance, audiences will lean in. Procter Gamble’s Thank You, Mom campaign hit the right notes. Dos Equis’ Most Interesting Man in the World promotions continued to amuse (and reinforce the brand), even when the original concept became meme fodder. A new Most Interesting Man even took over the role last September.
If you invite people into the story, rather than hammering them over the head with it, you lull them defenseless and cultivate receptivity to a product or a message. Storytelling has a good shot at being a content strategy for the next 40,000 years—so start sprucing up your cave paintings.
I Like My Reality on the Virtual Side
It seems that, since we started seeing 3-D glasses in movie theaters, virtual reality has been talked about in bug-eyed tones as “the next big thing.” Wasn’t that during Eisenhower’s term? Facebook’s purchase—which was not without some fiscal hitches—of Oculus Rift a couple years back seemed to ensure the legitimacy of the experiential technology, but its true adoption has only been seen in fits and starts. But 2017 should deem it one of the true marketing trends. Maybe.
Not that some analysts don’t see big bucks in the near future. Google’s release of its Daydream headset is pushing what seemed like a stalled momentum, and some brands, like Jaguar, Volvo, and The New York Times, have made forays into VR programming where the user can, for instance, take a test drive using their phones as the base display for the VR headset.
One issue is that the hardware (like the Oculus and the HTC Vive) that supplies the truly immersive experiences is expensive. I ran through a number of the supplied programs on a less pricey Samsung Gear headset this past Christmas, and though the experience was interesting, the video quality was just fair (though the illusion of depth and spatial experience did provide some thrills). But I soon tired of the headset feel, even though it was only modestly bulky. Still, there is some buzz that 2017 will be the year that the VR experience is normalized.
Trends come and go, but some examples, like those cave paintings, are seemingly forever. The tools to tell your stories might change, but the fundamentals apply: the stories have to be good. Aim high.
5 Retail Marketing Trends to Watch in 2017
The first half of the first quarter of 2017 has come and gone, and while consumers might be reneging on their resolutions, marketers aren’t afforded that luxury for their campaigns. So if you’re the VP of marketing at a retail brand and you’ve recently realized that you’re not on track to get the return on investment you were banking on when you set your Q1 goals, you’re probably stressing. Big time.
Don’t despair: new hope for retail marketing resides in new technologies and understanding consumer data, and can lead to a marketing transformation. If numbers are worrying, maybe it’s time to try counting different metrics—ones that show exactly what’s bringing in the bacon and what isn’t. If it’s figuring out customer service strategies that don’t result in consumer frustration, try streamlining the process of getting help with new applications. If it’s better understanding the consumer journey—not just online and in-store, but the full scope of a consumer’s needs and habits—consider updating online to offline tracking systems.
As the second quarter of 2017 gets going, it might be time to start iterating your marketing strategy. Take a look at what other brands are working on and see if it might make sense to give them a try.
Custom Experiences That Don’t (Have to) Break the Bank
Though it’s no longer open, the Made By Google pop-up shop was exciting for many, and it was a great showcase of some home-based Alphabet gadgets that would prove to be big competition for Amazon: Google Daydream, and the new Google Pixel. Obviously, not every retail marketer can afford to rent out space in SoHo to show off its newest product launch—but the space itself wasn’t the most important thing about Made By Google. What was most interesting about the pop-up was that it was exclusively democratic: everyone could get inside and experience the new products, but they had to wait in line for half an hour or more to enter.
What this confirms about the future of retail is that consumers, especially millennial consumers, will continue to prefer experiences and takeaways to actual products. They want to be able to show off their rich, unique lives on social media. Made By Google did a fantastic job of capturing this sentiment—it was an inviting destination for all who wanted to come, and it provided numerous opportunities for consumers to promote it via their social channels and to their friends without it feeling like a forced production.
Offline to Online and Back Again
In early December, Amazon debuted its retail concept: Amazon Go. The YouTube video showing how the store would work has since racked up more than 8 million views as stunned marketers and businesses watched digital payment systems in action. A person’s digital self was seamlessly integrated within the overall shopping experience, creating a no-hassle situation for consumers. Here’s the video again to refresh your memory:
Though the technology isn’t available to other retailers just yet, retail marketers only need to look at such brands as Cos Bar. Cos Bar is using the RetailNext platform to track consumers’ movements around stores, and to document what products they pick up, what they put back, and what they eventually buy. They also are using the system to get a sense of the market outside the store. Is there enough foot traffic passing by? Have consumers noticed the marketing on the outside, or should signs be reconfigured so that they attract more attention?
Video, Video, Video, and Artificial Intelligence Chat Bots
If you haven’t already added video to your content strategy, go and do it now. As consumers will eventually reach Amazon Go-levels of integration within retail stores, video is a key tool that can help consumers understand how a product is used or how it works in the absence of an available sales person. Additionally, some companies, such as BlueSmart luggage, are experimenting with live chat options via in-store tablet displays so that if their products are part of a department store, a consumer can still get specialized help from the company directly. Especially since BlueSmart is selling a relatively new product, it helps that there’s always a way for the company to manage its customer service presence. When live chat isn’t possible, some companies are experimenting with artificial intelligence options—not to completely replace a human experience, but to better understand human needs without going through a ton of menus to reach the correct customer service person at a call center. These advancements could help speed up product returns, which makes for happier shoppers.
Measuring Actions, Not Words
It’s easy to be excited by big social media numbers. Likes, views, and shares all seem like great brand building—and don’t get me wrong, they are—but a marketer’s main objective is to aid sales. If your retail marketing efforts aren’t fueling sales, it’s not working. Take online retailer ASOS, for example. The brand has a conversion rate that’s twice as high as most other retailers: a whopping 6 percent, compared to the industry average of 3 percent.
How does ASOS double its sales? The brand strives to keep customers on its website as long as it can, and it concentrates its efforts on making the design more shoppable and engaging. This has nothing to do with social media—and that’s the point. Conversions happen when customers are comfortable and satisfied with their online experiences. Even retail marketers with brick-and-mortar stores along with ecommerce sites can learn from this: the longer a consumer sticks around, the more likely they are to buy something.
Free Shipping
When other options are exhausted (or won’t work), there’s always free shipping. If December’s Free Shipping Day is any indication, more retailers will start to offer free shipping on an ongoing basis because it was so successful during the holidays. It’s also a smart way to undercut your competitors who don’t offer such perks to consumers. It’s not exactly a marketing transformation, but it’s a start!
