TOP NEWS
* Thailand is considering implementing value-added tax on sales of online companies such as Amazon.com Inc. and Facebook Inc., Bloomberg News reported, citing an interview with Pinsai Suraswadi, principal adviser in the country's revenue department. Pinsai reportedly said the government is also looking at a separate digital services tax on Thailand-derived earnings for e-commerce platforms. Legislation for proper taxation of online sales and profits may reach the Thai parliament by the end of 2019.
* The French competition regulator fined The Procter & Gamble Co., Coty Inc., Chanel SA and their wholesale importers for setting up exclusive import agreements for distribution of perfumes and cosmetic products in French territories. Autorité de la concurrence said the companies maintained or established exclusive import agreements in Guadeloupe, Martinique, French Guiana and La Réunion after a law prohibiting such deals came into effect in March 2013. P&G, Coty and Chanel did not immediately respond to S&P Global Market Intelligence's requests for comment.
TEXTILES, APPAREL AND LUXURY GOODS
* Levi Strauss & Co.'s third-quarter adjusted diluted EPS was 31 cents, down from 34 cents in the year-ago period but above the S&P Global Market Intelligence consensus normalized EPS estimate 28 cents. Net revenue rose 4% year over year to $1.45 billion from $1.39 billion, driven by double-digit constant-currency growth in areas of strategic priority.
* Anta Sports Products Ltd. ended contract renewal negotiations with the National Basketball Association, Reuters reported, citing a company statement on Weibo. Anta reportedly did not provide details on the nature of the contract that was being negotiated. Chinese sponsors have been cutting ties with the NBA after Houston Rockets general manager Daryl Morey tweeted in support of protesters in Hong Kong.
* Chanel SA acquired a 40% stake each in Italian leather goods manufacturers Renato Corti SpA and Mabi International SpA, as well as 34% of French clothing company Grandis SAS, Women's Wear Daily reported, citing Chanel's annual report. Bruno Pavlovsky, the company's president of fashion, reportedly said the investments are part of Chanel's strategy of bringing specialized manufacturers into its Paraffection business unit.
MULTILINE RETAIL
* Lidl Stiftung & Co. KG's U.S. arm will provide medical benefits to around 1,200 part-time employees at more than 70 of its stores, starting Jan. 1, 2020. Lidl US will invest up to $9 million in the first year of the initiative and expects to increase the value as the company expands.
* Nordstrom Inc. teamed up with Boll & Branch for a sustainable bedding collection that will be launched at the Seattle-based retailer's physical and online stores starting Oct. 21, Women's Wear Daily reported.
E-COMMERCE
* Chinese e-commerce giant Alibaba Group Holding Ltd.'s wholesale platform Alibaba.com will suspend sales of e-cigarettes components and accessories to buyers in the U.S. Alibaba.com said in a statement that starting Oct. 10, electronic cigarettes products including box mods, vape pens, herbal vaporizers, heat-not-burn devices, empty cartridges and wraps for e-cigarette and vaping devices will not be displayed to buyers in the U.S. market.
* Farfetch Ltd. partnered with clothing donation platform Thrift+ to provide customers access to a free collection service for unwanted items, Retail Gazette reported. Under the program, a third of the proceeds from an item's sale will be given to the customer via Farfetch credits.
* Rent the Runway Inc. resumed its usual operations after experiencing supply chain disruptions that led to weeks of delays, CNBC reported, citing a company statement. CEO Jennifer Hyman reportedly said the e-commerce platform is welcoming new orders and subscribers after the company completed its system upgrades ahead of its Oct. 15 deadline.
HOUSEHOLD AND PERSONAL PRODUCTS
* The Procter & Gamble Co. disclosed the appointment of The Walt Disney Co. CFO Christine McCarthy to its board of directors, effective immediately.
* Natura Cosméticos SA debuted in Malaysia through a pop-up store at Sunway Pyramid in the city of Petaling Jaya.
* Coty Inc. partnered with film production company Marv Studios to launch a new line of fragrances for men based on the "Kingsman" film series. The collection will be rolled out in February 2020, alongside the debut of "The King's Man" movie.
FOOD AND STAPLES RETAILING
* Koninklijke Ahold Delhaize NV-owned pharmacy chain Etos acquired online health platform Solvo Group for an undisclosed sum. The Solvo Group is based in Utrecht, Netherlands, and operates a number of health-related websites and a booking platform with about 5,000 active healthcare specialists.
HOUSEHOLD DURABLES AND SPECIALTY RETAIL
* Kingfisher PLC named Travelport Worldwide Ltd. CFO Bernard Bot to be its CFO and board director. Meanwhile, interim CFO John Wartig has been appointed to the newly created role of chief transformation and development officer. Both appointments are effective Oct. 21.
* Ikea AB is recalling about 7,000 units of its MATVRÅ bibs after receiving two reports that the snaps on the bibs detach, posing a choking hazard. Ikea, which sold the product between August and September, will provide consumers a full refund.
* Jeweler Vivara Participações priced its IPO at 24 Brazilian reais per share, slightly above the midpoint of its 21.17 reais to 25.40 reais range, Reuters reported, citing two people familiar with the matter. Sources reportedly said the offering raised 2.3 billion reais.
* Peloton Interactive Inc. sued Echelon Fitness LLC over "cheap, copycat" products that allegedly infringed the company's patents and for launching false advertisements that misled customers about prices of items from the two companies, Reuters reported, citing a court filing. Echelon reportedly could not be immediately reached for comment. "Echelon has unfairly stolen customers from Peloton and attracted funding from investors," Peloton reportedly claimed.
HOTELS, RESORTS AND CRUISE LINES
* SeaLink Travel Group Ltd. agreed to acquire bus operator Transit Systems Group for an enterprise value of A$$635 million, plus an earnout component of up to A$63 million. Under the agreement, Transit Systems Group CEO Clint Feuerherdt will own about 2.6% of the tour company and replace Jeff Ellison as SeaLink Group CEO. Ellison will remain as a nonexecutive director of SeaLink's board, and Transit Systems chairman Neil Smith will join the board as well.
* Hays Travel Ltd. will buy acquire Thomas Cook Group PLC's entire U.K. retail estate, which consists of 555 stores, from the official receiver and special managers from KPMG that the collapsed company appointed in September. The travel agent, which has already recruited 421 former Thomas Cook workers, has further reemployment offers outstanding to other employees.
CASINOS AND GAMING
* GVC Holdings PLC reported that total group net gaming revenue in the third quarter of 2019 declined 1% year over year, or 2% at constant currency. Total online net gaming revenue grew 12%, while U.K. retail net gaming revenue dropped 18%. The company raised its full-year EBITDA guidance to between £670 million and £680 million, from its the previous outlook of £650 million to £670 million.
The day ahead
Early morning futures indicators pointed to a higher opening for the U.S. market.
In Asia, the Hang Seng fell 0.81% to 25,682.81, and the Nikkei 225 declined 0.61% to 21,456.38.
In Europe, around midday, the FTSE 100 climbed 0.45% to 7,175.70, and the Euronext 100 was up 0.63% to 1,066.43.
On the macro front
The job openings and labor turnover survey, the wholesale trade report, the EIA Petroleum Status Report and the FOMC minutes are due out today.
Click here to read about today's financial markets, setting out the factors driving stocks, bonds and currencies around the world ahead of the New York open.
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