Page 25 - ARUBA TODAY

BUSINESS Thursday 2 March 2017
A25

Wells Fargo cuts pay for CEO, other top executives

KEN SWEET The cuts in pay for CEO Tim None of the executives Sanger said in a statement. unethical behavior. Feder-
AP Business Writer Sloan, Chief Financial Of- were implicated in wrong- Wells Fargo acknowledged al and California regulators
NEW YORK (AP) — Wells ficer John Shrewsberry and doing in the scandal, how- in September that its em- fined Wells Fargo $185 mil-
Fargo’s board of directors others were widely expect- ever they are the heads of ployees opened up to 2 lion for the practices.
slashed the bonuses and ed. Wells’ board had al- several divisions that were million bank and credit The board is conducting its
other compensation of its ready clawed back some affected. card accounts without cus- own investigation into the
CEO and seven other top $59 million in compensa- “These compensation ac- tomer authorization in order sales practices scandal.
executives on Wednesday, tion from former CEO John tions ... are part of the to meet lofty sales goals. The results of that investi-
a little more than a week Stumpf and Carrie Tolstedt, board’s ongoing efforts Numerous employees have gation are expected to be
after the board publicly who was the head of the to promote accountabil- said that intense pressure announced before Wells
fired four senior managers community banking busi- ity and ensure Wells Fargo from management to sell Fargo’s annual shareholder
amid an investigation into ness that was at the center puts customer interests and open accounts was meeting in April. q
the bank’s sales practices. of the sales scandal. first,” Chairman Stephen why they were pushed into
Snap passes big test: IPO at $17 a share, above expectation

BARBARA ORTUTAY might not have as much
MICHAEL LIEDTKE time — or might not feel
AP Technology Writers like spending that time on
NEW YORK (AP) — For Snap social media — as their
Inc., a social media com- young millennial counter-
pany that started its official parts.
bid to go public last Hallow- SNAPCHAT’S IDENTITY:
een, the looming question Since Snapchat was never
now is whether investors about typing, the phone’s
are in for a trick or a treat. camera is already its main
Snap passed its first ma- focus. In fact, CEO Evan
jor test on Wall Street on Spiegel has taken to calling
Wednesday, when the it a “camera company,”
company behind the pop- and this is how the compa-
ular messaging app Snap- ny describes itself in its IPO
chat priced its initial public documents.
offering of 200 million shares That doesn’t necessarily
at $17 each. That’s above just mean that Snap wants
the expected range of $14 to make cameras, though
to $16. Snap is expected last year it launched Spec-
to start trading on the New tacles, actual physical sun-
York Stock Exchange on glasses that snap photos for
Thursday under the symbol you.
“SNAP.” People pass by the New York Stock Exchange after the banner for the Snap Inc. IPO was raised “I don’t really understand
Snap’s IPO is one of the most on the building’s facade, Wednesday, March 1, 2017. Snap Inc. is expected to start trading on why he and his friends use
anticipated for a technolo- the New York Stock Exchange on Thursday under the symbol “SNAP.” the app so extensively, but
gy company since Twitter’s (AP Photo/Richard Drew) I am trying to keep up,” she
stock market debut in 2013. the Los Angeles company teenagers and younger of the game. said. “It allows me to be silly
That, in turn, had created at $24 billion. millennials. While Face- But its user growth has and show a silly side of my-
the biggest stir since Face- PROSPECTS FOR SNAP: book launched in the era slowed down in recent self to my son and it allows
book took its first bow on Snap’s Snapchat app is of desktop computers and months. him to be silly with me.”
Wall Street in 2012. Twitter best known for disappear- Twitter in text-based mo- Easing this feeling of pres- Snap just needs millions
is now valued at $11 billion, ing messages and quirky bile, Snapchat jumped sure will be key for Snap- more like Murphy willing to
while Facebook is $393 bil- facial filters for jazzing up straight to photos and vid- chat, especially if it wants make time for yet another
lion. Snap’s pricing values selfies. It’s popular with eos. In a sense, it’s ahead to attract older users. They social network. q

McDonald’s lays out plan it hopes can reverse drop in visits

CANDICE CHOI ing its investor day in Chi- in 2016, despite the fanfare delivery, with 75 percent of rant industry consultant
AP Food Industry Writer cago that it had lost some over the rollout of an all- the population in the com- and former McDonald’s
NEW YORK (AP) — McDon- of its customer visits to other day breakfast menu. The pany’s top five markets — franchisee, noted that the
ald’s acknowledged that major fast-food chains, company also trimmed its including the U.S. — living restaurant industry has nev-
it lost 500 million customer rather than to newer rivals. domestic store base for the within three miles of a Mc- er been more competitive.
transactions in the U.S. since To reverse the declines, it second year in a row. Donald’s.Asked by an an- While McDonald’s may be
2012 and laid out plans to said it will also more aggres- In addition to letting cus- alyst why a person would able to drive up customer
get more people back into sively market coffee and tomers order on their order McDonald’s once visits again, he questioned
its restaurants — including pastries and that it is look- phones, McDonald’s noted delivery is widely available whether the company will
by offering more tempting ing to expand delivery in it is transforming restaurants in the restaurant indus- be able to get back to the
value deals, and the option major markets such as the to incorporate ordering try, Easterbrook said the level of total transactions it
to order and pay on mobile U.S. McDonald’s outlined its kiosks and table service. chain’s expansive footprint had four years ago.
phones by the end of the plans after having record- CEO Steve Easterbrook, gives it the advantage of “If you look at the eating
year. ed its fourth straight year of who took over in March being able to get food to out options, it’s just so much
The world’s biggest burger declining guest counts at 2015, also on Wednesday people more quickly. more than 10 years ago,”
chain said Wednesday dur- established U.S. locations discussed the potential for Richard Adams, a restau- Adams said. q