Investors responded positively to General Electric’s decision to oust John Flannery as chief executive. He had held the job for a year, a blink of an eye compared with predecessors Jeff Immelt (16 years) and Jack Welch (20 years). During his time in the job Flannery announced a plan to refocus GE on power, aerospace and health care, but investors weren’t happy at the slow pace of the turnaround, nor at GE’s lackluster share price. The new CEO is Larry Culp, an outsider who joined the board this year.
Danske Bank immediately removed Thomas Borgen as chief executive after the revelation that much of the €200 billion ($230 billion) in foreign money, mostly Russian, that flowed through a branch of the Danish bank in Estonia had been laundered. Borgen had resigned but offered to stay until a replacement was named.
Facebook began an investigation into the source of a cyberattack that compromised the accounts of as many as 50 million users, the biggest hack yet to hit the social network. It was another setback for the company, which has had to contend with privacy scandals and criticisms about the infiltration of its network by rogue groups.
Tesla’s share price yo-yoed. It plunged by 15 percent after the Securities and Exchange Commission accused Elon Musk of making fraudulent statements when he tweeted in August that he planned to take the company private. It rebounded when Musk reached a quick settlement with the regulator, relinquishing his role as chairman but remaining chief executive.
Honda said it would invest $2.75 billion in General Motors’ autonomous-vehicle development project. GM Cruise hopes to have its first cars on the road next year. Toyota and SoftBank, meanwhile, formed a strategic partnership to develop “new mobility services.”
Aston Martin’s share price fell sharply on its first day of trading on the stock market. The British maker of sports cars priced its IPO at £19 ($24.70) a share, giving it a lower valuation than it had sought.
Volkswagen ended the contract of Rupert Stadler as CEO of its Audi unit, as a criminal investigation continues into his alleged role in VW’s emissions-cheating scandal. Stadler has not been charged with a crime.
Deliveroo, a food-delivery firm and one of the fastest-growing startups in Britain’s gig economy, reported that although sales had more than doubled last year, its pretax annual loss had widened to £185 million ($240 million) as it invested in new technology. Deliveroo is said to be discussing a partnership with Uber.
Amid political pressure about its pay practices in the United States and Britain, Amazon announced new minimum wages for its workers in both countries. In the U.S., its national hourly wage will be $15, smoothing out differences among cities. In Britain, Amazon will pay staff in London £10.50 ($13.70) an hour. Outside London it will pay £9.50.
Global politics from the Economist
Toll rises after disasters hit Indonesia
An earthquake and tsunami struck the Indonesian island of Sulawesi, causing widespread destruction in and around the city of Palu. The death toll rose to nearly 2,000. But thousands more are believed unaccounted for and officials said search teams plan to stop looking for victims later this week. One disaster management official said there could be as many as 5,000 victims still buried in mud. Damaged roads and bridges have hampered emergency crews. Some affected areas remain cut off.
Rosmah Mansor, the wife of Malaysia’s former prime minister, Najib Razak, was charged with money-laundering. She and Najib are being investigated in connection with the disappearance of billions of dollars from a government investment fund.
Fan Bingbing, a Chinese film star whose credits include “Iron Man 3” and “Despicable Me 3,” was fined 883 million yuan ($129 million) for tax evasion. Fan had been detained since July.
Jamal Khashoggi, a prominent Saudi journalist and government critic, vanished after visiting a Saudi consulate in Istanbul. Khashoggi had been living in exile in Washington, D.C. “We don’t know if he is being detained, questioned or when he will be released,” said the Washington Post, for which he wrote.
Canada agreed to join the U.S. and Mexico in a deal to revise the North American Free Trade Agreement. Under its new name, the United States-Mexico-Canada Agreement, Canada will give U.S. farmers a bit more access to its dairy market but the much larger car trade will become less free.