FT : Alber Elbaz and Frédéric Malle: when fashion meets fragrance

Alber Elbaz and Frédéric Malle: when fashion meets fragrance
Over a series of leisurely lunches, the designer and the perfumer dreamt up a dynamic new scent


“We are both superstitious and we believe the irrational part of the world should invade a bit more,” says Frédéric Malle of his new perfume created with designer Alber Elbaz. We are seated in a corner of wood-panelled Mayfair restaurant Chucs, surrounded by men with luxuriant hair in expensive suits whom Malle identifies as Italian playboys.

The spirit of Superstitious is about more than just the pair’s shared avoidance of bad luck, Malle says over tuna tartare. “Alber and I were talking about the fact that we hate recipes, recipes to success, the whole idea of having a successful dress and having to turn it into a handbag and sunglasses, positioning something at this price and not that . . . To us, superstitious means no rules.”

The collaboration was initiated by Malle, who founded luxury fragrance label Éditions de Parfum Frédéric Malle in 2000, at a time when big brands were fixated on creating one-scent-fits-all blockbusters. He works with perfumers, guiding and editing their creations rather than mixing up the “juice” himself, and was the first luxury perfumer to put the name of the nose who created it on the bottle. Alongside other independent perfumers, including Serge Lutens, Malle helped to fuel the current explosion of interest in boutique perfume brands and higher-end scent collections from big brands: he sold his company to Estée Lauder in 2015.

Malle was looking for a fresh perspective and energy. A distant admirer of Elbaz’s, having followed the designer’s work at both Lanvin, the Parisian house he led for 14 years until his abrupt dismissal in October 2015, and previously at Yves Saint Laurent, he asked him for a meeting. “I am a very technical person when it comes to perfume and I feel we can get a bit trapped in our own ways talking shop all the time,” says Malle. “Having guests in our little world that will see with different eyes is something that I crave.”

The pair had the first of many long lunches, like “two people on a blind date”, bonded over a shared desire for individuality, and Superstitious was born on the proverbial napkin.

Conceiving the fragrance over a succession of lunch dates sounds a refreshing change from Lanvin’s more corporate world. For over a decade, Elbaz refined his vision of modern elegance at the brand with a series of memorable signatures such as his ultra-feminine one-shoulder cocktail dresses, exposed zips, grosgrain ribbon detailing and jewel-coloured silks. In 2016 he was awarded the Légion d’Honneur, France’s highest honour.

“It was almost like a little secret project,” says Elbaz of the collaboration. “It was so different from what I’ve done before, where you have a big meeting, and then a bigger meeting, and then a huge meeting. This was more of a chemistry, more of an alchemy even, between two people, two ideas, two worlds that came together and became one.” In Malle, he found a co-conspirator: “I saw a person with great individuality and new codes. Not with codes like everybody else’s.”

For Elbaz, who started working on the perfume the year after his departure from Lanvin, the fragrance also acted as a new creative outlet. “When we started the project, it was the year when I didn’t make dresses [after leaving Lanvin] and I really missed it. So when we started to work, I asked Frédéric if we could make a perfume that smells or feels like a dress.”

With an aesthete of Malle’s pedigree involved, making a fragrance that evoked a dress was never going to translate into a literal whiff of silk and zips. Instead, Malle explains as coffee arrives, he thought of “a dress, architecture . . . Alber is known for seamless draping, so something invisible. Something classic that becomes a second skin, even the inside of a dress, a souvenir of someone who has worn something.”

Malle and Elbaz didn’t start from scratch on Superstitious. They decided to adapt a grand aldehyde floral on which Malle had been working with perfumer Dominique Ropion. Chanel No 5 gets its lively, polished quality from an aldehyde (a type of organic compound) that was synthesised in the early 20th century, and Malle and Ropion wanted to revisit the ingredient in a modern, original version. Yet Ropion’s incarnation was deemed “too perfect” by Elbaz, who asked for it to be “a little bit more punk”.

Malle describes the final product as “very ladylike, sophisticated and sensuous, but it’s not saying, ‘jump on me’. It’s someone looking at you with excited eyes. Aldehydes transform other smells but you still understand that there is jasmine, rose, vetiver, amber (which smells like warm skin), patchouli. It’s really a journey through flowers, very classical.”

Superstitious is a potent cocktail of a fragrance, offering an instant champagney fizz, followed by fleeting floral hints as it settles on the skin; likely to appeal to wearers of distinctive fragrances such as Chanel No 5 or Miss Dior. Self-consciously sophisticated, it’s a little black dress, lashings of red lipstick, and a clandestine date at the Paris Ritz.

Malle’s brand has always appealed to consumers who can handle complex scents with unusual concentrations and combinations of ingredients. For years the brand used no imagery, enabling people to respond instinctively to scents such as Une Rose with its earthy garden aroma that takes in soil as well as petals, and the ambery oriental Musc Ravageur, which Malle expected to appeal to women until the male customers kept on coming. He thinks that Superstitious is quite feminine, but adds: “Today, I am probably more conservative than my customers and I am sure men will wear it. We live in a moment where gender is more blurred. People have complete freedom, they want to be themselves. It’s almost a convention to want to be original.”

While the seamless blend of ingredients gives Superstitious a classic quality, its structure lends an original twist. “There are so many copies in our industry,” says Elbaz. “When people create perfumes they tend to approach it as, ‘here is a perfume we like, redo it’. This was not about redoing something that existed, it was about creation.”

Superstitious — Alber Elbaz by Frédéric Malle is £158/50ml at Liberty.co.uk, from March 25

FT : A Franco-German bargain to save Europe

A Franco-German bargain to save Europe
After a deluge of crises the next few years will confound the doubters

The importance of the Treaty of Rome lay in the fact that even at the moment of signature Germany and France did not agree. Germany wanted the common market, while France was more enthusiastic about the new atomic energy agency, Euratom. Bonn was keen to abolish tariffs on manufactured products; Paris was determined to protect the incomes of its farmers. The future strength of the European enterprise rested on a shared willingness to put aside such differences in the cause of compromise.

There is a mythology, particularly prevalent in Britain, that says that the EU has always reflected a close identity of interests and outlook between the continent’s two largest nations. This explains the success of what has been called the Franco-German locomotive.

The reverse is true. The Germans and the French have argued from the outset about the shape of Europe. In Paris, integration has been about building a firebreak against an overmighty US. For an Atlanticist Germany, Europe has been a route back to national reunification and the way to banish the demons of recent history.

Shortly before the Benelux nations came up with a blueprint for a European Economic Community, France had scuppered German plans for a European defence association. In the decades since the Rome treaty, Germany’s federalist inclinations have frequently collided with the Gaullist preference for national sovereignty.

For France, the single currency was an instrument to contain its partner’s economic dominance. For a Germany reluctant to surrender the Deutschmark, the euro was the necessary route to its desired political union. Berlin is mostly protective of the EU’s smaller nations, France disdainful.

The habit of compromise has been entrenched by the Elysee Treaty — an agreement that by institutionalising bilateral co-operation at every level of government has generated centripetal force to counter the natural centrifugal forces. Even here, a close observer will spot the forced accommodation. The treaty’s German-language text includes an affirmation of the transatlantic relationship; the sentiment somehow never made it into the French version.

Such agreements have served at once as a foundation and catalyst for the wider bargains within the EU that have driven the process of unifying Europe. If France and Germany could bridge their differences in the search for a shared European interest — the one sacrificing sovereignty, the other, ultimately, giving up its precious national currency — how could their partners in the enterprise refuse to make their own compromises?

British politicians never quite grasped this, wasting their time instead in a vain quest to drive a wedge between two nations. Germany’s instincts are almost Anglo-Saxon, the argument has run, so surely we can prise it away from France?

Theresa May has absented herself from the celebrations to mark the Rome treaty’s 60th anniversary, but, on past form, the prime minister will try the same divide-and-rule tactic when Brexit negotiations get under way. And once again it will fail. Germany’s Angela Merkel does want to strike a reasonable deal with the departing UK, but not at the expense of her relationship with Paris.

The deluge of crises these past few years has robbed European leaders of a capacity to think about opportunities. Stagnant economies, a eurozone under siege, the rush of new migrants and the new populism have drained confidence. No one has lost money betting against Europe. Even now, a breakdown of the Brexit talks could destabilise the union. Marine Le Pen’s bid for the French presidency puts a still darker cloud on the near horizon. Were the National Front leader to win, nothing would be certain.


So what better moment to imagine the opposite. That the skies may be lightening, that the Europe of the next few years, albeit in a modest way, will surprise the Jeremiahs, and that the process will start with another political bargain between Germany and France.

The odds are that Ms Le Pen will lose — to the independent centrist Emmanuel Macron, the favourite in the presidential race, or, possibly, to the Republican party’s François Fillon. Mr Macron is the more pro-European of the two; and Gaullist Mr Fillon the more radical about economic reform. What unites them is a recognition that something has to be done to break France’s economic stasis and consequent political enfeeblement. France has to modernise to become relevant again.

Berlin has been waiting for just this message. France’s weakness has left Germany exposed and the EU unbalanced. By default, Ms Merkel has found herself at once the continent’s reluctant leader and its principal villain.

The chancellor wants above all to restore the old partnership with Paris. So does Martin Schulz, the Social Democrat challenger in this autumn’s German election. Mr Schulz would find Mr Macron the more amenable partner. So might Ms Merkel. Both would try to make it work with Mr Fillon.

There is no magic formula to fill the cracks in a fractured union. A Franco-German locomotive has less traction in an EU of 27 than six. But a restored relationship between Berlin and Paris would be an important source of confidence. It might also mark the beginning of a new “core Europe” with the will and capacity to deepen co-operation. Hard as it is to be optimistic about Europe, it is time to temper some of the pessimism.

FT : Akzo Nobel shareholders urge takeover talks with rival PPG



From: LAURENT CHEKROUN (MAKOR SECURITIES LO) At: 03/22/17 21:17:09
Subject: FT : Akzo Nobel shareholders urge takeover talks with rival PPG
Akzo Nobel shareholders urge takeover talks with rival PPG
Call follows Dutch company rejecting revised €22.4bn bid from rival US group

Three large shareholders in Akzo Nobel have urged the company to enter into talks with rival PPG Industries after the Dutch paints and chemicals group rejected a revised €22.4bn takeover attempt from its US rival.

The latest unsolicited bid from PPG represented a €1.5bn improvement on an earlier offer, made on March 9, but Akzo Nobel’s two boards again rejected it unanimously. 

Akzo Nobel’s instant rebuff goes against the tide of large-scale consolidation sweeping the broader chemicals sector and drew criticism from several investors, with one warning that the management was “losing credibility”.

The maker of Dulux paint said the second offer, worth €88.72 per share and made on March 20, undervalued the company and its prospects. It also said the proposal did not address “the significant uncertainties and risks for shareholders and other stakeholders” and warned a tie-up would lead to substantial divestitures on competition grounds, as well as job cuts.

Combining the groups would be likely to attract stiff scrutiny from antitrust regulators because it would create a dominant group in the $130bn global paints and coatings market.

Activist investor Elliott Advisors, a top five shareholder with more than 3 per cent of the stock, said that while the offer price was inadequate, it provided a “credible basis for engagement”.

The hedge fund urged Akzo Nobel’s management “to engage with PPG immediately” to determine whether the US group was prepared to bid higher and address all relevant stakeholder considerations.

Two other top-20 shareholders echoed Elliott’s position, suggesting that Akzo Nobel’s chief executive, Ton Büchner, faces rising investor dissent as he attempts to see off a hostile buyout of one of Europe’s oldest industrial companies.

“We see strong logic in a combination of Akzo Nobel and PPG and the potential benefits this offers all stakeholders. Akzo needs to recognise this and engage,” said David Dudding, portfolio manager at Columbia Threadneedle.

John Bennett, head of European equities at Henderson Global Investors, said Akzo Nobel should “hear out” PPG on its proposal. “If you don’t think it’s right, present a recommendation to the board and shareholders [to vote on].”

“The management team is rapidly losing credibility,” he added.

VEB, an influential Dutch shareholder group, also called for the company to consider the deal. “They can’t just shut the door. I can understand them saying it is too low. But when a second bid comes in from a serious player, then you should talk to each other,” said Paul Koster, its director.



PPG’s new cash and stock offer was worth a total of €88.72 per share. Of this, €56.22 was in cash and 0.331 in PPG shares. Shares in Akzo Nobel fell 1.1 per cent to €75.75 on Wednesday.

However, there was some confusion over the actual value of the bid. PPG put the offer at €90 per share including a dividend, for a total value of €22.70, but Akzo Nobel said that included a payout which shareholders would receive regardless.

PPG’s advance has attracted criticism from politicians in the Netherlands, who are worried about job losses and the country’s corporate champions being picked off by larger rivals.

Their response was especially fierce as PPG’s first bid came during an election campaign and just weeks after Kraft-Heinz’s failed bid for Unilever, the Anglo-Dutch consumer group. Dismissing the new bid on Wednesday, Akzo Nobel’s management complained that there was a “significant culture gap” between the two companies.

In his defence, Mr Büchner said the company had “listened carefully” to shareholders and taken their views into consideration when arriving at the decision.


Analysts were doubtful whether PPG would return with a third offer.

Jeremy Redenius, analyst at Bernstein, said that a survey of investors carried out by the brokerage found investors had been hoping for €95 a share.

“We think PPG knew they needed a second bid in the €90s to get engagement from Akzo (eg, opportunity to do due diligence) and elected to not be aggressive enough, which calls into question their desire to return with a yet higher offer,” he wrote in a note.

Even so, the latest bid will pile pressure on Mr Büchner to explain his plans for the company, which is planning to sell or float its speciality chemicals business to focus on paints and industrial coatings.

During five years at the helm of the group, which traces its roots to Swedish inventor Alfred Nobel, Mr Büchner has concentrated on making Akzo Nobel a more efficient operation.

But analysts say the company’s stock trades at an earnings multiple discount to its peers, a situation that can make it more susceptible to takeover attempts.

If PPG returns with a higher bid, the Dutch group’s corporate governance has a decades-old provision that creates a foundation with priority shares, which acts as a poison pill to protect the incumbent board and prevent a hostile takeover.

But Elliott suggested it might attempt to convene an extraordinary general meeting, at which members of the management and supervisory boards can be voted out, should Akzo Nobel not accede to the shareholders’ requests for engagement.

>>> Asian Update

Asia Mid-Session Market Update: RBNZ holds rates as expected and maintains neutral policy stance; US GOP lawmakers continue to negotiate healthcare bill ahead of Thursday vote

***US Session Highlights***
- (EU) ECB's Villeroy: Recovery in inflation did not yet warrant a change in current accommodative policy
- (US) MBA MORTGAGE APPLICATIONS W/E MAR 17TH: -2.7% V 3.1% PRIOR
- (US) JAN FHFA HOUSE PRICE INDEX M/M: 0.0% V 0.4%E
- (US) FEB EXISTING HOME SALES: 5.48M V 5.55ME
- (US) SEC votes unanimously to approve rules to shorten standard securities settlement time to two days from three days
- (US) DOE CRUDE: +5.0M V +2ME; GASOLINE: -2.8M V -2ME; DISTILLATE: -1.9M V -1.5ME
- (UK) Metropolitan Polices Dep Commissioner: London attack "inspired by international Islamist terrorism" results in 5 deaths and 40 injured - press

***US markets on close: Dow flat, S&P500 +0.2%, Nasdaq +0.5%***
- Best Sector in S&P500: Technology
- Worst Sector in S&P500: Telecom
- Biggest gainers: MAR +3.4%, VTR +2.8%, FMC +2.7%, ILMN +2.6%, UAL +2.6%
- Biggest losers: FTR -10.6%, NKE -7.1%, TDG -4.4%, MNK -3.4%, LB -2.7%
- At the close: VIX 12.8 (+0.3 pts); Treasuries: 2-yr 1.26% (flat), 10-yr 2.40% (-4bps), 30-yr 3.01% (-4bps)

***US movers afterhours***
- HTGM: Obtains CE Mark for its HTG EdgeSeq ALKPlus Assay EU; +69.6% afterhours
- FIVE: Reports Q4 $0.90 v $0.89e, R$388.1M v $387Me; Guides Q1 $0.12-0.14 (GAAP) v $0.14e, R$228-232M v $229Me, SSS flat to +2%; +8.2% afterhours
- PVH: Reports Q4 $1.23 v $1.21e, R$2.11B v $2.09Be; Increases share buyback by $750M extended to Jun 2020 (10.4% of market cap); Guides Q1 $1.58-1.60 v $1.57e; +7.2% afterhours
- BEBE: Confirms exploring strategic alternatives; +6.5% afterhours
- MLHR: Reports Q3 $0.37 v $0.33e, R$524.9M v $531Me (2 est); +5.1% afterhours
- CPB: Announces $1.5B share repurchase program (9% of market cap); +1.6% afterhours
- RARE: Phase 2 UX007 Glucose Transporter Type-1 Deficiency Syndrome Seizure Study: Overall seizures not significantly reduced; decrease in absence seizures observed; -6.6% afterhours

***Politics***
- (US) FBI said to have information that associates of Pres Trump communicated with Russian operatives during elections and may have released information damaging to Clinton campaign - CNN
- (US) Trump administration reportedly considering making last minute changes to House healthcare bill to appease Freedom Caucus - Axios

***Asia Key economic data:***
- (NZ) NEW ZEALAND CENTRAL BANK (RBNZ) LEAVES OFFICIAL CASH RATE (OCR) UNCHANGED AT 1.75%; AS EXPECTED
- (HK) Macau Feb Visitor Arrivals -13.2% m/m, -5.6% y/y to 2.50M

***Asia Session Notable Observations, Speakers and Press***
- Asian equities have come off overnight lows as the selling in US stocks subsided, however the focus for sentiment remains primarily on the fate of the US healthcare legislation in the House vote on Thursday evening. Despite reports of limited progress made in swaying the members of a more conservative Freedom Focus during US hours, the administration claims it will proceed with the vote. In late US hours on Wednesday, press reports suggest that the White House is considering last-minute concessions to the right wing of the party, namely reducing some of the "essential benefit" requirements of Obamacare, though it is unclear whether that would dissuade some of the more moderate lawmakers from supporting the bill.
- In FX, USD majors traded rangebound as selling in the greenback subsided during US hours. USD/JPY rose nearly 80pips from US session lows to 111.50, while EUR/USD spent much of the day in 1.0780-0820 range. GBP/USD was volatile in early US hours amid reports of a terror attack in London that claimed the lives of 5 people, falling to low 1.2420s before returning toward 1.25 handle. NZD/USD hit session high just shy of 0.7070 in the wake of RBNZ policy statement that expressed more concern over housing inflation while reiterating that exchange rate should depreciate more to achieve balanced growth. RBNZ's tempered view of progress in housing as attributed to macroprudential measures risks a rush to tighten late this year, and indeed the OIS swaps market saw Q1 2018 odds of a hike inch up 4pts to near 50%. However, RBNZ also expressed awareness of "surplus capacity in the global economy and extensive geo-political uncertainty", giving markets little reason to anticipate a shift from policy status quo.

China
- (CN) China plans to hold a meeting of BRICS economy and trade ministers in July - press
- (CN) China Commerce Ministry (MOFCOM): Working with Saudi Arabia to push ahead energy cooperation - press
- (CN) Some China coal-fired plants urge coal price cut - Chinese press

Australia/New Zealand
- (AU) Australia PM Turnbull: China and Australia are reaping the benefits of free trade agreement - press
- (NZ) Rabobank: New Zealand pessimism about rural economy has fallen to a 3-year low - press

Korea
- (KR) US govt reportedly readying cases that link North Korea to cybertheft at the NY Fed - press


***Asian Equity Indices/Futures (00:00ET)***
- Nikkei flat, Hang Seng +0.4%, Shanghai Composite +0.3%, ASX200 +0.3%, Kospi +0.2%
- Equity Futures: S&P500 +0.2%; Nasdaq +0.1%; Dax +0.2%; FTSE100 +0.1%

***FX ranges/Commodities/Fixed Income (00:00ET)***
- EUR 1.0780-1.0800; JPY 111.10-111.60; AUD 0.7650-0.7680; NZD 0.7025-0.7050
- Apr Gold -0.3% at $1,246/oz; May Crude Oil +0.7% at $48.39/brl; May Copper flat at $2.64/lb
- (CN) PBOC SETS YUAN MID POINT AT 6.8856 V 6.8889 PRIOR; 2nd straight firmer setting
- (CN) PBOC to inject combined CNY30B v CNY90B prior in 7,14, and 28-day reverse repos

***Asia equities / Notables / movers by sector***
- Consumer discretionary: 2331.HK Li Ning Co -3.3% (annual result); 288.HK WH Group +8.6% (annual result)
- Financials: 416.HK Bank of Jinzhou -0.3% (annual result); 998.HK China CITIC Bank -0.4% (annual result); 2318.HK Ping An Insurance +2.3%, 1113.HK Cheung Kong Property Holdings +1.8%, 1.HK CK Hutchison Holdings +0.6% (annual result)
- Industrials: 631.HK Sany Heavy Equipment International Holdings -1.2%, 175.HK Geely Automobile Holdings -2.0% (FY16 result); FBU.NZ Fletcher Building Limited -2.3% (new CEO); 5631.JP Japan Steel Works -2.4% (cuts guidance)
- Technology: 700.HK Tencent Holdings -1.0% (Q4 result); 763.HK ZTE Corp +2.3% (settlement); 1169.HK Haier Electronics Group +12.3% (annual result); ISD.AU iSentia Group -2.0% (CFO resigns)
- Materials: 743.HK Asia Cement China Holdings -0.8% (annual result)
- Energy: 1898.HK China Coal Energy -2.0%; 2208.HK Xinjiang Goldwind Science & Technology +0.8% (annual result)
- Healthcare: SIP.AU Sigma Pharmaceuticals +2.3% (FY17 result)
- Utilities: AST.AU AusNet Services -0.9% (Citi cuts rating)

>>> US After Hours Summary: FIVE +8%, PVH +7%, MLHR +5% higher followi


After Hours Summary: FIVE +8%, PVH +7%, MLHR +5% higher following earnings, PENN +4% on S&P600 addition news, CPB +1% on buyback news... DX -7% on dividend cut

After Hours Gainers:

Companies trading higher in after hours in reaction to earnings/guidance: FIVE +8%, PVH +7%, MLHR +5%, CTAS +0.8%

Companies trading higher in after hours in reaction to news: HTGM +58.4% (obtains CE marking in the European Union for its HTG EdgeSeq ALKPlus Assay EU), DRWI +40.7% (announced the selection of the Harmony Enhanced MC backhaul solution by Corridor Communication), BEBE +9.8% (says exploring strategic alternatives), PENN +4.1% (will replace Cynosure in the S&P SmallCap 600), PRKR +2.2% (seeing continued strength in afterhours - confirms will report financial results on March 30), VNCE +2.1% (following late move higher), CPB +1.1% (announces $1.5 bln share repurchase program), VFC +0.6% (following PVH earnings)

After Hours Losers:

Companies trading lower in after hours in reaction to earnings/guidance: KDMN -10.7%

Companies trading lower in after hours in reaction to news: HTBX -13.5% (intends to offer for sale shares of its common stock in an underwritten public offering), DX -6.7% (reduces quarterly dividend), RARE -5.9% (announces topline data from the Phase 2 study of UX007 in glucose transporter type-1 deficiency syndrome patients with seizures; study did not meet the primary endpoint), KEM -5.1% (still checking), SHLD -5.1% (continued weakness), BLCM -4.7% (commences an underwritten public offering of 5,000,000 shares of its common stock), ENPH -3.2% (files for approx 12 mln share common stock offering by selling shareholder), CHMI -2.2% (commences 4.5 mln common stock offering),

(Recode.net) The Senate could take the first step tonight to kill the FCC’s priv

The Senate could take the first step tonight to kill the FCC’s privacy rules
Sources say lawmakers could hold the first of two votes to kill the Obama administration’s protections.

Congress could take its first step as soon as Wednesday toward gutting the tough privacy rules imposed on Internet providers like AT&T, Comcast and Verizon last year during the Obama administration.

In October, the Federal Communications Commission — then under former Democratic Chairman Tom Wheeler — began mandating that ISPs obtain consumers’ permission before turning over their private data to third parties, like advertisers.

Internet providers obviously loathed the rules, lambasting them as unfair and burdensome — and Republicans in Congress have heard their cries. To that end, the Senate could try to hammer the first nail in the coffin with a vote Wednesday evening on the measure, called a resolution of disapproval, that would overturn the FCC’s privacy order, according to two sources familiar with the plan.

A spokesman for Sen. Jeff Flake, one of the lawmakers who spearheaded the effort, confirmed the hope is to advance it this evening. A spokesman for Senate Majority Leader Mitch McConnell declined to comment.

As always in the Senate, schedules can change. But if lawmakers there prevail — along with another, expected successful vote in the House in the coming weeks — the FCC’s privacy rules would be officially wiped from the books.

An end to the FCC’s efforts would amount to a major victory for the telecom industry — not the least because it would allow companies hungry for new revenue streams to gather and monetize more customer data. That includes the likes of Verizon, which sought to buy Yahoo (that cyber attack notwithstanding) to take advantage of the web company’s data and ad tools.

That’s why the leading trade groups for those telecom companies, like CTIA, which represents wireless firms, and U.S. Telecom, which works on behalf of the broader industry, wrote Congress in January, asking them to kill the FCC’s privacy rules. New FCC Chairman Ajit Pai also opposes the order and voted against it last year.

Consumer protections advocates, however, long have stressed that the FCC’s privacy rules are increasingly necessary. The Electronic Frontier Foundation, for example, said in February that Republicans’ efforts could “result in years of your private information being at the complete mercy of cable and telephone companies who would face no federal repercussions from monetizing and reselling your personal information without your permission and without your knowledge.”

NYP : Hackers threaten to delete 300M Apple accounts: report

Pay up or grandma’s photos of her grandkids are toast.

That’s the threat being laid down by a hacker or hackers who claim to have access to as many as 300 million iCloud and Apple email accounts.

The hackers, who call themselves “Turkish Crime Family,” want Apple to pay a ransom of $75,000 to $100,000 in exchange for not deleting the contents of the accounts.

“I just want my money and thought this would be an interesting report that a lot of Apple customers would be interested in reading and hearing,” one of the hackers told Motherboard, the Vice Media online magazine.

So far, Apple has told the hackers to take a hike — telling them in an email seen by Motherboard that the Cupertino, Calif., company does not “reward cyber criminals for breaking the law.”

The hackers are threatening to hit delete on April 7.

The group doesn’t want the ransom in good old American greenbacks — perhaps knowing it would be too easy to trace.

They want either $75,000 in bitcoin or ethereum, another increasingly popular crypto-currency, or $100,000 worth of iTunes gift cards.

To prove they actually could carry out such a hack, the group uploaded a YouTube video of them allegedly logging into some of the stolen accounts, Motherboard reported.

The hacker appears to access an elderly woman’s iCloud account, which includes backed-up photos, and the ability to remotely wipe the device.

Apple did not reply to multiple attempts by Motherboard to get comment.

Reuters - Fed's Kaplan sees three rate hikes in 2017, eyes balance sheet

Fed's Kaplan sees three rate hikes in 2017, eyes balance sheet

With the U.S. workforce nearly fully employed and inflation heading toward 2 percent, the Federal Reserve should raise interest rates two more times this year and continue work on a plan to gradually trim its massive balance sheet, Dallas Federal Reserve Bank President Robert Kaplan said.

"I think we are moving toward a period where we should begin allowing the balance sheet to gradually and patiently run off," said Kaplan, a voter this year on the Fed's policy-setting panel, in an interview with Reuters late Tuesday. "But I think we have work to do, probably, to get to that point."

By "work to do," Kaplan was referring to further interest-rate hikes. Kaplan supported last week's interest-rate increase, only the Fed's third since the financial crisis, and said Tuesday the "country will be well-served" by the decision.

"Now that we’ve done it, I think that we’ve got the benefit of a little time here to see how the economy unfolds," he said. "I plan to take advantage of that to assess how the economy is unfolding and be prepared to make a judgment as we head toward the next meetings."

Over a Dr. Pepper and bagel after a morning of meetings at the San Francisco Fed, Kaplan reiterated his view that two more rate hikes this year is a "reasonable" base case, as long as labor market slack continues to decline and inflation continues to rise toward the Fed's 2-percent goal.

"We are still accommodative and I think it’s very appropriate for us to be accommodative," he said. If inflation rises above the Fed's 2-percent target for a brief period, it is not going trigger faster rate hikes as long as it is not a persistent trend, he said.

Though the current rate of U.S. unemployment, at 4.7 percent, is below the level historically thought to be consistent with full employment, Kaplan said he does not believe it will generate undue upward pressure on prices.

Kaplan also said he is "mindful" that some of the policies expected under President Donald Trump's new administration, including changes to immigration and trade policies and changes to health insurance, could slow economic growth or hurt consumer spending. He and his staff have been trying to figure out why some of the latest readings on consumer spending already suggest some sluggishness, and will keep a close eye on those figures going forward.

But, he said, he will not be factoring in impacts from Trump's new policies, including those like tax reform that may boost growth, until he is pretty sure they will be enacted.

BALANCE SHEET

Last week, in addition to raising rates, the Fed discussed what to do with its $4.5 trillion balance sheet, built up after years of bond-buying aimed at stimulating investment and hiring by pushing down long-term borrowing costs.

Now that the economy is in better shape, the Fed wants to eventually trim the balance sheet to a more normal size. So far Fed Chair Janet Yellen has given few details on the plan, and has said nothing has been decided yet.

Kaplan said he believes the discussion on what to do with the balance sheet should continue throughout the year, and that once rates are a bit higher, the plan should be published and put into effect soon after.

He declined to say when that should be, but said he would like rates to be high enough that there would be little chance of rates falling back to zero any time in the near future.

Kaplan said he would favor a plan to reduce the balance sheet in a way that would not "unduly affect" financial markets. "That for me means gradually," he said, adding that reductions should be kept to a "reasonably manageable" percentage of the daily volume of trading in mortgage-backed securities and Treasuries, among other factors.

Reuters - Gundlach - If healthcare vote fails, would jeopardize 'Trump trades'

Reuters - If healthcare vote fails, would jeopardize 'Trump trades' - Gundlach - http://reut.rs/2nSD8Ue

If the U.S. healthcare legislation overhaul is not passed, or is postponed, it will put "a lot of doubt" on the "Trump trades," which include higher U.S. equities and bond yields, DoubleLine Capital Chief Executive Jeffrey Gundlach said on Wednesday.

"Surveys show that people believe the (Obamacare) repeal is the most likely part of Trump’s agenda to be passed," said Gundlach, who oversees more than $101 billion in assets at DoubleLine, told Reuters. "So if you can’t pass the repeal, everything else is in doubt for sure."

Investors have been bracing for Thursday's floor vote scheduled in the U.S. House of Representatives, with safe-haven securities including Treasuries and gold seeing price gains on Wednesday. Trump and Republican congressional leaders appeared on Wednesday to be losing the battle to get enough support to pass the Obamacare rollback bill.

Gundlach repeated his recommendation that investors would do better selling U.S. equities into any kind of stock rally and diversifying into emerging markets. He noted that the iShares MSCI Emerging Markets ETF has outperformed the Standard & Poor's Index by over 4 percentage points since early March.

Gundlach said Tuesday's stock-market slump illustrated how "investors are questioning whether the pro-growth U.S. policies are really going to happen."

>>> PVH beats by $0.05, reports revs in-line; guides Q1 EPS and rev just above c

PVH beats by $0.05, reports revs in-line; guides Q1 EPS and rev just above consensus; guides FY18 EPS and rev just above consensus; adds $750 mln to buyback
  • Reports Q4 (Jan) earnings of $1.23 per share, excluding non-recurring items, $0.05 better than the Capital IQ Consensus of $1.18; revenues fell 0.2% year/year to $2.11 bln vs the $2.09 bln Capital IQ Consensus.
    • CK rev -1%; TH rev +3%
  • Co issues upside guidance for Q1, sees EPS of $1.58-1.60, excluding non-recurring items, vs. $1.56 Capital IQ Consensus Estimate; sees Q1 revs +2% to ~$1.96 bln vs. $1.92 bln Capital IQ Consensus; +4% ex-FX. Negatively impacting revenue in the first quarter of 2017 as compared to the prior year period is a reduction in revenue resulting from the Mexico deconsolidation and the G-III license, partially offset by an increase in revenue from the Tommy Hilfiger China business, which was acquired in April 2016, as the first quarter of 2017 will include a full quarter of revenue, while the first quarter of 2016 included less than one month of revenue. Revenue for the Calvin Klein business in the first quarter is projected to increase ~3% (increase ~5% on a constant currency basis), which includes the negative impact of the Mexico deconsolidation. Revenue for the Tommy Hilfiger business in the first quarter is projected to increase ~4% (increase ~8% on a constant currency basis), which includes an increase in revenue from the Tommy Hilfiger China business, partially offset by the negative impact of the G-III license. Revenue for the Heritage Brands business in the first quarter is projected to decrease ~3%.
  • Co issues upside guidance for FY18, sees EPS of $7.30-7.40, excluding non-recurring items, vs. $7.26 Capital IQ Consensus Estimate; sees FY18 revs +2% to ~$8.37 bln vs. $8.35 bln Capital IQ Consensus Estimate; +4% ex-FX. Negatively impacting revenue in 2017 as compared to 2016 is a decrease due to the Mexico deconsolidation, which resulted in the Company no longer recognizing revenues from a directly operated business in Mexico, and a decrease due to the G-III license, which resulted in the discontinuation of the Company's directly operated womenswear wholesale business in the U.S. and Canada in the fourth quarter of 2016. Revenue for the Calvin Klein business is projected to increase ~5% (increase ~7% on a constant currency basis), which includes the negative impact of the Mexico deconsolidation. Revenue for the Tommy Hilfiger business is projected to increase ~1% (increase ~4% on a constant currency basis), which includes the negative impact of the G-III license. Revenue for the Heritage Brands business is projected to decrease ~1%.
  • On March 21, 2017, the Board of Directors authorized a $750 million increase to the program and extended it to June 3, 2020.
  • Marriot's (MAR) Amy McPherson was appointed to its Board of Directors