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Ex-Florida congressman convicted for secretly lobbying for Venezuela

Former U.S. Rep. David Rivera, R-Fla., was convicted on Friday of lobbying on behalf of the Venezuelan government without declaring himself to be a foreign agent. Photo by U.S. House of Representatives

May 1 (UPI) — Former U.S. Rep. David Rivera, R-Fla., was found guilty on Friday of being paid to secretly lobby elected U.S. officials to ease sanctions against Venezuela.

Rivera and a co-conspirator were each found guilty of taking payment from Nicholas Maduro to try to repair ties between the South American nation and the United States but never registering as an agent of a foreign country, The Miami Herald and NBC News reported.

A 12-person jury found the former Miami-Dade congressman and consultant Esther Nuhfer guilty of lobbying Secretary of State Marco Rubio and Rep. Pete Sessions, R-Texas, and attempting to set meetings up for Delcy Rodriguez, Venezuela’s then-foreign minister and current acting president.

Rivera was also found guilty of conspiring to commit money laundering and tax evasion.

Rivera had long been friends with his former roommate Rubio and became friends with Sessions when he was in Congress, and after Maduro gave him a $50 million contract he attempted to leverage those relationships.

Both Rivera and Nuhfer were caught having not registered themselves of lobbying for the federal government on behalf of another nation.

The convictions come after a 5-week trial that saw Rubio, who was in the Senate in 2017, when he met with Rivera and was told a plan to convince Maduro to step down was afoot.

Rivera denied that he was working on behalf of Maduro and the Venezuelan government, insisting that he was working to overthrow the now-deposed ruler rather than to promote his interests.

Nuhfur was released on bond ahead of her sentencing, while Rivera was judged to be a flight risk and will remain in jail until he is sentenced.

Rivera also still faces charges in another foreign lobbying case, as well.

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Spirit may shut down after ‘final’ bailout offer from Trump admin

May 1 (UPI) — President Donald Trump on Friday said that his administration had made a “final” bailout offer to Spirit Airlines as reports suggest it is on the verge of shutting down.

Although Trump said his administration is still discussing a $500 million bailout for the beleaguered airline, its investors have not agreed to the government’s proposal and Spirit could shut down as soon as Saturday, The Wall Street Journal and CBS News reported.

Trump has for the past two weeks said the government would try to get involved to save the airline and its 7,500 employees, unveiling last weekend a plan to loan Spirit $500 million under the Defense Production Act and become its main debtor.

The price of jet fuel has doubled since Feb. 28 because of the war in Iran, raising costs for all airlines globally, but Spirit has been working to emerge from bankruptcy for the second time in a year and its financial plan has been completely upended.

“We’re looking at it,” Trump told reporters on Friday, hours after reports of the airline’s demise started to spread.

“If we could do it, we’d do it, but only if it’s a good deal,” he said. “No institution has been able to do it. I said I’d like to save the jobs but we’ll have an announcement sometime today … We gave them a final proposal.”

Spirit told a bankruptcy court on April 23 that its cash was “not going to last for very much longer” and that, without some sort of bailout, it would likely have to cease operations within a matter of days.

The Trump administration’s bailout plan — of which some Republicans and members of Trump’s administration have been critical — would give Spirit the loan it needs in exchange for the government becoming its largest debtor and potentially owning 90% of the airline.

The Fort Lauderdale-based airline told the South Florida Sun-Sentinel that it is “operating as usual,” and travelers at its main hub at Fort Lauderdale-Hollywood International Airport said that their flights had not been canceled.

Officials at Miami-International Airport also told the Sentinel that they had not been notified by Spirit that it was shutting down.

Spirit is said to have revolutionized air travel as one of the first of several value airlines that has managed to offer flights at rock-bottom prices, but it also has struggled since the COVID-19 pandemic.

The company flew less than half the number of flights in April than it had two years ago — it dropped from roughly 25,000 to 12,000 — and has not turned an annual profit since 2019, The New York Times reported.

Having renegotiated contracts with its employees, shook off engine defects that doomed parts of its fleet and charted a path forward, Spirit was expected to emerge from bankruptcy in better shape sometime this summer.

After the war in Iran launched, affecting oil and gas prices worldwide, the cost of jet fuel doubled and tanked the company’s financial plan.

In the event that Spirit does shut down, United Airlines, American Airlines and JetBlue Airways all have said they are preparing to assist the airline’s customers and employees, which includes helping customers to travel in places where they operate routes similar to Spirit, CNBC reported.

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Trump lifts whiskey tariff after visit from King Charles III

President Donald Trump dropped tariffs on whiskey coming out of the United Kingdom — scotch, in particular — after King Charles and Queen Camilla concluded their trip to the United States this week. File Photo by Billie Jean Shaw/UPI

April 30 (UPI) — President Donald Trump on Thursday lifted tariffs that he had levied but limited business between bourbon makers in Kentucky and Scotland.

Trump announced he was scrapping the tariffs after King Charles III and Queen Camilla were starting to wrap up their visit to the United States this week, which included the king addressing a joint session of Congress, a state dinner at the White House and a trip through Virginia before they head home.

King Charles and Queen Camilla have just wrapped up a four-day trip to the United States, which Trump scheduled and invited them for after a state dinner in the United Kingdom last year.

“In honor of the King and Queen of the United Kingdom … I will be removing the Tariffs and Restrictions on Whiskey having to do with Scotland’s ability to work with the Commonwealth of Kentucky on Whiskey and Bourbon, two very important Industries within Scotland and Kentucky,” Trump said in a post on Truth Social.

“People have wanted to do this for a long time, in that there had been great Inter-Country Trade, especially having to do with the Wooden Barrels used,” he said.

Trump reinstituted a tariff on whiskey and other spirits coming out of the European Union in March 2025 that he had instituted during his first term in the White House that had been discontinued by the Biden administration in 2021.

Some whiskey distilleries in Kentucky age their bourbon in barrels that have been used to age Scotch and the tariff had increased costs for U.S. whiskey manufacturers — and in the absence of a U.K. tariff on American spirits — had been a problem, USA Today reported.

In the reverse, bourbons that are sold as “Kentucky bourbon” — a specific product unique to Kentucky, and which includes brands such as Jim Beam, Woodford Reserve and Buffalo Trace, among many others — are required to be aged in new, charred oak barrels that are later sold to some scotch distillers who use them to age their spirits, Politico reported.

Artemis II pilot Victor Glover (L) and mission specialist Christina Koch meet with President Trump in the Oval Office of the White House on Wednesday. Photo by Graeme Sloan/UPI | License Photo

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Union Pacific, Norfolk Southern resubmit railroad merger proposal

A Union Pacific freight train sits idle in the Lincoln Heights section of Los Angeles on January 15, 2022. On Thursday, the rail company, along with Norfolk Southern, resubmitted their merger application to the Surface Transportation Board. File Photo by Jim Ruymen/UPI | License Photo

April 30 (UPI) — The Union Pacific and Norfolk Southern corporations announced Thursday a new merger proposal after a federal regulator rejected their initial plan in January.

The two companies applied for a merger in July, seeking to create the United States’ first transcontinental freight railroad.

The Surface Transportation Board rejected the proposal saying the application was incomplete.

A statement from the two companies said they resubmitted the application with “additional analysis” indicating cost savings for customers and improvement to the U.S. supply chain. It said the deal would take 2 million truckloads off the nation’s roadways and save $3.5 billion each year.

“After completing the additional work requested by the STB, the facts remain clear: This merger enhances competition and delivers real public benefits that make America’s supply chain stronger, Union Pacific CEO Jim Vena said in a statement.

The new submission includes traffic data from each of the six North American Class I railroads instead of sample data provided by the STB, the companies said.

The STB will have 30 days to review the new application.

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Korea Zinc seeks to replicate its competitive edge in United States

An autonomous forklift operates at Korea Zinc’s smelter in Ulsan, about 250 miles southeast of Seoul, on Wednesday. Photo by Tae-gyu Kim/UPI

ULSAN, South Korea, April 29 (UPI) — Founded in 1974, Korea Zinc began to churn out 50,000 tons of zinc in 1978 at its Onsan smelter about 250 miles southeast of Seoul. Over the next five decades, it expanded annual zinc capacity by more than 11-fold to 560,000 tons.

In addition, Korea Zinc added lead and copper into its production portfolio, a diversified smelting model it says underpins the competitive edge of the world’s largest non-ferrous metal manufacturer.

“In other smelters making just one substance, they have to deal with waste. But we take advantage of them to retrieve other materials,” Korea Zinc engineer Kang Ki-tae said. “That’s why our Onsan smelter is both competitive and environmentally friendly.”

That approach is evident on-site. Korea Zinc is reclaiming a former byproduct storage pond for the construction of a germanium plant targeted for operation in 2028, showing its reduced need for such storage facilities.

As a result, the company’s product portfolio extends beyond the three base metals of zinc, lead,and copper to include such precious and critical metals as gold, silver, indium, bismuth, antimony, gallium and germanium.

Among its customers are Hyundai Motor, Posco, Samsung Electronics, SK hynix and Lockheed Martin. In August, Korea Zinc signed a memorandum of understanding with Lockheed Martin to supply germanium.

Kang said the company aims to replicate those competitive strengths in its U.S. facility to support the efforts of Washington in securing a stable supply chain of critical minerals.

Late last year, Korea Zinc laid out plans to develop an integrated smelter in Clarksville, Tenn., in cooperation with the U.S. government. Called Project Crucible, it will cost up to $7.4 billion.

Groundbreaking is scheduled for next year at a 160-acre site, with the plant targeted to come online in 2029. The complex is slated to produce 13 materials, including 11 designated as critical minerals.

At full ramp-up, Korea Zinc expects the facility to generate about 300,000 metric tons of zinc annually, in addition to 200,000 tons of lead and 35,000 tons of copper, as well as such strategic metals as antimony, indium, bismuth, tellurium and gallium.

China holds a dominant position in the production of rare earths and other critical minerals, often facing criticism for using export controls as leverage in trade tensions, including with the United States.

Amid those concerns, the Trump administration has pushed to develop alternative supply chains for rare earths and other critical minerals beyond China’s influence.

Korea Zinc engineer Lee Sung-jung said that the company also has focused heavily on the environment and automation.

“Autonomous forklifts have already been deployed, and last week we introduced a dozen of fuel-cell forklifts at our facilities,” he said.

Win-win initiative

Korea Zinc Executive Vice President Jimmy Kim said the U.S. investment could also help improve the Onsan smelter.

“We plan to incorporate more advanced technologies, including AI automation and digital twin systems developed by our core engineers, to build an even more sophisticated facility in the United States,” said Kim, who oversees the Onsan plant.

“If AI transformation proves successful there, it could also accelerate AI transformation at our factory here. We believe this could become a win-win opportunity for both countries while helping upgrade Onsan, as well,” he said.

Kim also welcomed the initiative’s selection last week for FAST-41, a federal fast‑track program that accelerates environmental reviews and permitting for major infrastructure projects.

“It shows the project is being highly valued by the U.S. government. We hope that by 2029, this will become an opportunity to further contribute to Korea-U.S. cooperation in technology security and mineral security,” he said.

According to the U.S. Permitting Council, FAST-41 participants have secured federal approvals about 18 months faster on average than comparable developments not covered by the program.

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Agents with search warrants keep focus on Minnesota in fraud inquiry

Federal agents executed multiple searches in Minnesota on Tuesday, seizing records and other evidence in an ongoing fraud investigation by the Trump administration of publicly funded social programs for children, authorities said.

Few details were released, though armed agents were seen at child-care centers in the Minneapolis area. KSTP-TV said one crew even had a battering ram.

Democratic Gov. Tim Walz, who has been on the defensive amid Trump administration claims that he hasn’t done enough to root out fraud, welcomed the raids. The state child welfare agency said it shared key information with law enforcement to “hold bad actors accountable.”

“We catch criminals when state and federal agencies share information. Joint investigations work, and securing justice depends on it,” Walz said.

The searches were being conducted at daycares, businesses and some residences, according to a person familiar with the matter who spoke to The Associated Press on the condition of anonymity because they were not authorized to publicly discuss the investigation.

Tensions between Minnesota officials and the federal government were high during an extraordinary immigration crackdown that led to the deaths of two people before Operation Metro Surge was eased in February.

Before that crackdown, the government had brought fraud charges against dozens of people, many of them Somali Americans, who were accused of fleecing a federal program that was meant to provide food to children. The investigation began during the Biden administration. More than 60 people have been convicted.

Various state and federal agencies, including the Department of Homeland Security, participated in searches Tuesday. Officers from Minnesota’s Bureau of Criminal Apprehension were removing boxes at some sites.

“The American people deserve to know how their taxpayer money was abused. … No stone will be left unturned,” DHS said.

Jason Steck, an attorney who represents childcare centers, said the names of targeted businesses that were shared with him show they’re operated by Somali immigrants. They were not his clients.

“A few childcare centers, a few autism centers, a few healthcare agencies of some type,” Steck said, adding that it appeared to be a “particular sweep for fraud.”

The executive director of Child Care Aware of Minnesota, a nonprofit that serves childhood educators, said the publicity will be unflattering.

“The majority are in business to do good business. You’re going to come across individuals who try to capitalize on systems that are broken and need to be fixed,” Candace Yates said.

Right-wing influencer Nick Shirley posted a video in December that caught the attention of the Trump administration. He alleged that members of Minnesota’s Somali community were running fake child care centers so they could collect federal subsidies, fueling suspicions on top of the food aid scandal. The claims were disproven by inspectors.

President Trump, meanwhile, has used dehumanizing rhetoric, calling Somali immigrants “garbage” and “low IQ.”

In February, Vice President JD Vance said the government would temporarily halt $243 million in Medicaid funding to Minnesota over fraud concerns. Minnesota sued in response, warning it may have to cut healthcare for low-income families, but a judge on April 6 declined to grant a restraining order.

Walz told Congress in March that he wanted to work with the federal government in fraud investigations, but that the immigration surge had made it more difficult.

“The people of Minnesota have been singled out and targeted for political retribution at an unparalleled scale,” he said at the time.

Vancleave and Richer write for the Associated Press. Durkin Richer contributed from Washington. AP reporters Steve Karnowski in Minneapolis and Corey Williams and Ed White in Detroit contributed to this story.

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Group of budget airlines seeks relief fund from Trump administration

An industry group representing budget airlines such as Frontier has asked the Department of Transportation to create a $2.5 billion pool of money to help its member airlines because the price of jet fuel has nearly doubled since February, endangering their ability to stay in business. File Photo by CJ Gunther/EPA-EFE

April 27 (UPI) — An industry group that represents budget airlines has reached out to the Department of Transportation about creating a $2.5 billion pool to help keep them in business as the price of jet fuel remains high.

The Association of Value Airlines — which represents Allegiant Air, Avelo Air, Frontier Airlines, Spirit Airlines and Sun Country — said Monday that it has approached the Trump administration about the pool because an 88% increase in the cost of jet fuel is endangering their ability to do business, The Wall Street Journal and The New York Times reported.

Spirit Airlines itself has been negotiating a possible $500 million bailout from the federal government after warning that it is running out of cash that is separate from the AVA request.

Airlines worldwide started raising fees in March after the United States and Israel started the war in Iran, which led the country to blockade the Strait of Hormuz in response and has caused the price of gas and oil to increase significantly.

Fuel expenses account for about 30% of airline operating costs and even a sustained $1 increase in per barrel of oil can increase those costs by millions of dollars.

“Since February, jet fuel prices have increased by nearly 100% and are placing significant financial pressure on value airlines,” the industry group said in a statement.

It also said that the “liquidity pool” would be used “exclusively” to offset fuel costs that are expected to stay above $4 per gallon in North America for the rest of the year.

The AVA also has approached Congress about waiting a 7.5% excise tax and $5.30 per-segment fee that airlines pay the government for each passenger they transport for the same reason it asked the administration for the emergency pool.

President Donald Trump acknowledged last week that Spirit has been in conversation with his administration for a bailout as it has struggled to exit its second bankruptcy filing in a year.

Trump said that the discussions are ongoing, but that he would like to help keep Spirit in business because competition is good for consumers and he is concerned about job losses should it go out of business.

Wreathes are seen amongst the statues at the Korean War Veterans Memorial during Memorial Day weekend in Washington on May 27, 2023. Memorial Day, which honors U.S. military personnel who died while in service, is held on the last Monday of May. Photo by Bonnie Cash/UPI | License Photo

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Elon Musk trial against Sam Altman to reveal OpenAI power struggle | Business and Economy News

The trial’s outcome could sway the balance of power in AI, and jury selection starts on Monday.

Technology tycoons Elon Musk and Sam Altman are poised to face off in a high-stakes trial revolving around the alleged betrayal, deceit and unbridled ambition that blurred the bickering billionaires’ once-shared vision for the development of artificial intelligence.

The trial, which is scheduled to begin on Monday with jury selection, centres on the 2015 birth of ChatGPT maker OpenAI as a nonprofit start-up primarily funded by Musk before evolving into a capitalistic venture now valued at $852bn.

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The trial’s outcome could sway the balance of power in AI, breakthrough technology that is increasingly being feared as a potential job killer and an existential threat to humanity’s survival.

Those perceived risks are among the reasons that Musk, the world’s richest person, has cited for filing a lawsuit in August 2024 that will now be decided by a jury and US District Judge Yvonne Gonzalez Rogers in Oakland, California.

The civil lawsuit accuses Altman, OpenAI’s CEO, and his top lieutenant and a cofounder, Greg Brockman, of double-crossing Musk by straying from the San Francisco company’s founding mission to be an altruistic steward of a revolutionary technology. The lawsuit alleges they shifted OpenAI into moneymaking mode behind his back.

The bitter legal fight may come down to a few pages in one executive’s personal diary.

“This is the only chance we have to get out from Elon,” wrote Brockman in the autumn of 2017. “Is he the ‘glorious leader’ that I would pick?”

Brockman’s diary entry is part of the thousands of pages of internal documents revealed in court.

Musk said the defendants kept him in the dark about their plans, exploited his name and financial support to create a “wealth machine” for themselves, and owe damages for having conned him and the public.

He also wants OpenAI to revert to a nonprofit, for Altman and Brockman to be removed as officers and for Altman to be removed from its board.

OpenAI has brushed off Musk’s allegations as an unfounded case of sour grapes that’s aimed at undercutting its rapid growth and bolstering Musk’s own xAI, which he launched in 2023 as a competitor.

The trial also carries risks for Musk, who last month was held liable by another jury for defrauding investors during his $44bn takeover of Twitter in 2022. Any damaging details about Musk and his business tactics could be particularly hurtful now because his rocket ship maker, SpaceX, plans to go public this summer in an initial public offering that could make him the world’s first trillionaire.

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Argentina sees early results from investment incentive plan

Argentina’s incentive program designed to attract large-scale investments is a key pillar of President Javier Milei economic agenda, File Photo by Juan Ignacio Roncoroni/EPA

BUENOS AIRES, April 27 (UPI) — Argentina’s incentive program designed to attract large-scale investments, a key pillar of President Javier Milei economic agenda, is showing early signs of success through increased foreign currency flowing into the country.

In an economy in which hard currency shortages often shape government policy and financial stability, early results from the Large Investment Incentive Regime, known by its Spanish acronym RIGI, are being closely watched by government officials and financial markets.

According to figures from Argentina’s central bank, projects approved under the program generated a net inflow of $762 million through March. The funds entered the country directly and helped provide some stability to the exchange rate.

Gonzalo Brest, a legal partner at KPMG Argentina, told UPI the progress of the investment regime sends a positive signal for the country’s economy.

“In concrete terms, this could translate into more private-sector jobs, especially in areas such as construction, transportation, metalworking, logistics, energy and mining, along with greater economic activity in the provinces where the investments are established,” Brest said.

He added that the program’s impact could extend beyond employment and affect Argentina’s external accounts.

“If these projects move forward, Argentina could increase exports and generate greater foreign currency inflows — something that is critical for an economy that has historically faced external constraints and balance-of-payments pressures,” he said.

Brest said the RIGI program is also intended to address Argentina’s long-standing difficulty in attracting large-scale investment in capital-intensive industries that require stable rules over long periods.

“In the government’s view, the regime functions as a kind of ‘island of stability’ aimed at accelerating investment decisions that, without a special framework, would likely be postponed or relocated to other countries,” he said.

The program is primarily focused on sectors such as oil and gas, mining, renewable energy, ports and heavy industry, all with strong export potential. Brest said the initiative’s main goals are to boost exports, increase foreign currency inflows and create jobs.

Many of the proposed projects are tied to lithium, copper, gold, silver, liquefied natural gas and oil development in Vaca Muerta, one of Argentina’s largest shale oil and gas formations.

“These are sectors where Argentina has abundant resources, but needed greater certainty to turn them into production and exports,” Brest said.

He cautioned, however, that the program’s long-term success will depend on factors beyond the design of the regime itself, including macroeconomic stability, infrastructure, access to financing and public support for large-scale projects.

“Even so, the RIGI is already functioning as a strong signal to international markets that Argentina wants to compete for major investment capital,” he said.

The program has received more than 35 project proposals totaling more than $80 billion. Of those, 13 projects have received government approval, representing combined investments of more than $18 billion.

Among the latest proposals under review is the “Fértil Pampa” project led by Pampa Energía. The initiative calls for a nearly $2.4 billion investment to produce fertilizers in the industrial hub of Bahía Blanca in Buenos Aires province.

With these developments, the RIGI program is moving beyond its initial phase of announcements and expectations.

The next challenge will be determining whether the promised investments can be sustained over time and translated into real economic activity, jobs and a stable flow of foreign currency for a country seeking relief from one of its most persistent economic constraints.

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United Airlines CEO approached American Airlines with merger plan

April 27 (UPI) — The chief executive officer of United Airlines confirmed Monday that he pitched a potential merger to American Airlines, but was turned down.

United CEO Scott Kirby said in a statement Monday that American Airlines rejected his proposal.

“I approached American about exploring a combination because I thought we could do something incredible for customers together,” Kirby wrote in the statement.

Kirby wrote that he was seeking “a willing partner that shared my big, bold vision.”

He said the plan was aimed at increasing coverage for customers, creating a globally competitive airline and growing the U.S. economy.

“I was hoping to pitch that story to American, but they declined to engage and instead responded by publicly closing the door,” he wrote. “And without a willing partner, something this big simply can’t get done.”

American Airlines CEO Robert Isom said last week that a merger with United would be anticompetitive and bad for customers.

Kirby had reportedly approached the Trump administration with his idea earlier this year, but President Donald Trump told CNBC last week that he would be against such a merger.

President Donald Trump speaks during a Health Care Affordability event in the Oval Office at the White House on Thursday. Trump announced announced a new drug price deal with Regeneron. Photo by Will Oliver/UPI | License Photo

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Sen. Thom Tillis will vote to confirm Trump nominee for Fed chair

Sen. Thom Tillis, R-N.C., said on Sunday that he will vote to confirm President Donald Trump’s nominee for Federal Reserve chairman after the Department of Justice assured him it has ended its investigation into current chair Jerome Powell. Photo by Bonnie Cash/UPI | License Photo

April 26 (UPI) — U.S. Sen. Thom Tillis, R-N.C., said on Sunday that he will end his blockade of Kevin Warsh’s confirmation as Federal Reserve chair after the Department of Justice ended its investigation into current chair Jerome Powell.

U.S. Attorney Jeanine Pirro on Friday said the Justice Department was ending its investigation into Powell over the Fed’s budget for renovations to its headquarters and has threatened him with criminal charges over testimony he gave about the costs.

Tillis made the announcement during an interview on NBC News’ “Meet The Press,” because the department assured him that it has “completely and fully ended” the investigation.

He had previously said he would block all Trump nominees until the probe was dropped.

“We worked a lot over the weekend to make sure that we were very clear that we have assurances from the Department of Justice that I needed to feel like they were not using the department as a weapon to threaten the independence of the Fed,” Tillis told NBC News.

The Justice Department launched a criminal investigation into Powell in January after President Donald Trump questioned the Fed being over budget on renovations to its headquarters in Washington, D.C.

The investigation was condemned by several members of Congress as improper, including Tillis, because it was seen as politically motivated punishment from Trump for not setting interest rates at levels he preferred.

Pirro said Friday that she has asked the Federal Reserve’s inspector general to investigate the renovation costs, which she said is “billions of dollars” over budget, and that she expects a “comprehensive report” on the matter.

She noted, however, that she “will not hesitate to restart a criminal investigation should the facts warrant doing so.”

President Donald Trump and first lady Melania Trump participate in the 2026 White House Correspondents’ Association Dinner in Washington on April 25, 2026. Photo by Yuri Gripas/UPI | License Photo

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‘Sloth World’ attraction will not open after 31 of its animals died

April 25 (UPI) — An attraction planned for Central Florida called Sloth World Orlando will not open after at least 31 of its sloths died during the last two years in a facility that had not been properly permitted.

Sloth World Orlando had imported at least 69 wild-caught sloths that it planned to put on display in an educational “slotharium,” but an investigation by The Sloth Conservation Foundation, The Sloth Institute and investigative reporters found the animals were being mistreated and dying, the organizations said.

Orange County, Fla., building inspectors had posted a stop-work order at a warehouse that Sloth World Orlando was storing its sloths because of alterations made to the building with permits, and because the last use permit issued for the building was for vehicle storage, the Orlando Sentinel reported.

Ben Agresta, who owns Sloth World Orlando, told Fox35Orlando, that he has ended plans for the slotharium and plans to file for bankruptcy after it was forced to give up its 13 surviving sloths in the wake of the reports.

The 13 sloths will live at the Central Florida Zoo until the Association of Zoos and Aquariums can help find long-term homes for them.

The two Costa Rica-based non-profits have been running a campaign about the facility and “following the initial press release, we received reports from former employees raising concerns about the welfare of the animals,” they said in a press release.

The organization’s report, published by Inside Climate News, found that at least 31 of Sloth World Orlando’s sloths died between December 2024 and February 2025 when they started importing the animals, and that another 24 slots remain unaccounted for.

A separate report from the Florida Fish and Wildlife Conservation Commission last year performed unannounced routine inspection of the storage facility that resulted in warnings about the sloths living conditions and improper records being kept on all of them.

Among the issues raised about the facility was the lack of power, heat or air conditioning and no water.

The state report also noted that in one shipment of 10 sloths wild-caught sloths, two arrived deceased, and the other eight appeared to be in poor health and later died as well.

Agresta said in a statement that allegations the animals were poorly treated are “false and inaccurate,” claiming instead that the company “lost sloths that had a virus with showed barely any symptoms and was undetectable even after necropsy.”

President Donald Trump speaks during a Health Care Affordability event in the Oval Office at the White House on Thursday. Trump announced announced a new drug price deal with Regeneron. Photo by Will Oliver/UPI | License Photo

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Trump administration contemplates Spirit Airlines bailout

April 24 (UPI) — The Trump administration is working on a bailout of Spirit Airlines, which is in bankruptcy for the second time in a year, to keep it from shutting down.

President Donald Trump several times this week that the government may get involved in the situation — specifically highlighting his concerns about jobs and the airline industry — after increases in jet fuel cost made the airline’s situation even worse, CNBC and USA Today reported.

Spirit has not commented on the bailout negotiations, which would have to be approved by its creditors, but the administration has offered Spirit a $500 million loan, with the government receiving the right to own 90% of the company when it exits bankruptcy, CBS News reported.

“We’re thinking about doing it, helping them out, meaning bailing them out, or buying it,” Trump said on Thursday.

“I’d love to be able to save those jobs,” he said. “I’d love to be able to save an airline. I like having a lot of airlines so it’s competitive.”

Commerce Secretary Howard Lutnick has argued it is necessary for the government to step in and save Spirit because if it is shut down and liquidated during bankruptcy, at least 7,500 jobs will be lost.

The White House may use the Defense Production Act, which gives the government the ability to compel private companies to prioritize its contracts in the event of an emergency and to loan money to those companies, to give Spirit a loan.

The loan would make the government Spirit’s main debtor and, while the company is working its way through bankruptcy, the Department of Defense would use extra seats for transporting troops or moving other military cargo.

The union that represents Spirit’s ramp service employees, the International Association of Machinists and Aerospace Workers, urged the administration to prioritize employees at the airline, The Hill reported.

“IAM Union members at Spirit, and all frontline aviation workers, did not cause this crisis,” the union said in a statement.

“They should not be the ones forced to pay the price. Any federal assistance must prioritize protecting jobs, preserving pay and benefits, and maintaining the affordable air service that millions of Americans rely on,” the union statement said.

Spirit filed for chapter 11 bankruptcy protection in November 2024 after a judge blocked its proposed $3.8 billion merger with JetBlue Airlines in March of that year, and filed for bankruptcy again in 2025.

Spirit’s current bankruptcy plan includes the cost of jet fuel, which has roughly doubled for the company since the United States and Israel launched the war in Iran. The cost of fuel has also tanked their current business model, according to reports.

Spirit missed an interest payment this week, leading to it being warned that it could be in default with its creditors — to which Spirit has warned they may only have days to operate, which spurred the bailout talks.

The federal government already is working with the company’s creditors and has made a loan offer, CBS News reported, and Spirit has said it continues to operate normally, which includes deeply discounted flights.

President Donald Trump speaks during a Health Care Affordability event in the Oval Office at the White House on Thursday. Trump announced announced a new drug price deal with Regeneron. Photo by Will Oliver/UPI | License Photo

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Maine Gov. Janet Mills vetoes bill pausing AI data center development

Maine Gov. Janet Mills on Friday vetoed a bill that would have paused construction of artificial intelligence data centers in the state because lawmakers in the Maine legislature refused a carve-out to the pause for an already in progress project there. File Photo CJ Gunther/EPA

April 24 (UPI) — Maine Gov. Janet Mills on Friday vetoed a bill that would have paused artificial intelligence data center construction in the state for 18 months.

Mills said she decided to veto it because it would have potentially harmed a permitted and in progress data center expected to create hundreds of jobs, both for construction and once the center opens.

The project, a $550 million data center in Jay, Maine, is a multi-year effort to redevelop the former Androscoggin Mill, which was damaged in a 2020 boiler explosion and then closed in 2023, took with it hundreds of jobs and 22% of the town’s tax revenue.

The bill would have been the first in the country restricting or slowing the spread of large-scale data centers required for power-hungry AI systems, which have driven up the cost of both electricity and water for residents living near them, NBC News and Politico reported.

“A moratorium is appropriate given the impacts of massive data centers in other states on the environment and electricity rates,” Mills said in a press release.

“But the final version of this bill fails to allow for a specific project in the Town of Jay that enjoys strong local support from its host community and region,” she said.

There are more than 5,000 data centers in the United States — more than any country in the world — and that number has grown significantly in the last four years as artificial intelligence has become a focus the tech industry.

While many state and local leaders have started to respond to concerns among residents about the huge amounts of electricity needed to power AI data centers and the huge amounts of water needed to keep them cool, as have some members of Congress.

As states have contemplated increased regulation and scrutiny from tech and AI companies, President Donald Trump at the same time has worked to keep the cuffs of tech companies because they “must be free to innovate without cumbersome regulation,” he said in December.

“Excessive state regulation thwarts this imperative,” Trump said in an executive order meant to prevent states from creating new regulations.

Mills said she worked with Maine’s legislature to carve out an exemption for the data center in Jay but was unsuccessful, so she vetoed the law.

The development in Jay, she said, is under contract and permitted, and is expected to create 800 construction jobs, more than 100 high-paying permanent jobs and “substantial tax revenue” for the Town of Jay.

In a letter informing the legislature that she planned to veto the bill, Mills said she plans to issue an executive order to establish a council to study the impacts — real and potential — of data centers in Maine.

“I believe it necessary and important to examine and plan for the potential impacts of large-scale data centers in Maine, as the use of artificial intelligence becomes more widespread,” Mills said.

“Given the serious conversations about data centers here and around the country, I believe this work should commence without delay,” she told legislators.

President Donald Trump speaks during a Health Care Affordability event in the Oval Office at the White House on Thursday. Trump announced announced a new drug price deal with Regeneron. Photo by Will Oliver/UPI | License Photo

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US Justice Department drops criminal probe of Fed chair Jerome Powell | Business and Economy News

The announcement on Friday is expected to clear the path for the confirmation of his successor, Kevin Warsh.

The United States Department of Justice has ended its probe into US Federal Reserve chair Jerome Powell, clearing a major roadblock to the confirmation of his successor, Kevin Warsh.

US Attorney for the District of Columbia Jeannine Pirro said on X on Friday that her office was ending its probe into the Fed’s extensive building renovations because the Fed’s inspector general would scrutinise them instead.

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Pirro, a Trump ally and the top federal prosecutor in Washington, DC, said she had instead asked the Fed’s internal watchdog, the Office of Inspector General, to examine cost overruns in renovations of the central bank’s Washington headquarters.

“The IG has the authority to hold the Federal Reserve accountable to American taxpayers,” Pirro said in a social media post. “I expect a comprehensive report in short order and am confident the outcome will assist in resolving, once and for all, the questions that led this office to issue subpoenas.”

The move could lead to a swift confirmation vote by the Senate for Warsh, a former top Fed official whom US President Donald Trump, a Republican, nominated in January to replace Powell. Powell’s term as chair ends May 15.

Senator Thom Tillis, a North Carolina Republican, had said he would oppose Warsh until the investigation was resolved, effectively blocking his confirmation.

The leadership transition at the world’s leading central bank could now proceed quickly.

Republicans praised Warsh during a Tuesday hearing even as Democrats questioned his independence from Trump, the lack of transparency around some of his financial holdings, and what they said was his flip-flopping on interest rates. Senator Elizabeth Warren of Massachusetts, the ranking Democrat on the committee, questioned if Warsh will be a “sock puppet“.

Still, Trump’s previous appointment to the Fed’s board of governors, Stephen Miran, was approved by the full Senate just 13 days after his nomination.

No evidence

The investigation was among several undertaken by the Department of Justice into Trump’s perceived adversaries. For months, it had failed to gain traction as prosecutors struggled to articulate a basis to suspect criminal conduct.

A prosecutor handling the case conceded at a closed-door court hearing in March that the government had not yet found any evidence of a crime, and a judge subsequently quashed subpoenas issued to the Federal Reserve.

The judge, James Boasberg, said prosecutors had produced “essentially zero evidence” to suspect Powell of a crime. Boasberg branded prosecutors’ justification for the subpoenas as “thin and unsubstantiated”.

More recently, prosecutors made an unannounced visit to a construction site at the Fed’s headquarters but were turned away, drawing a rebuke from a defence lawyer in the case who called the manoeuvre “not appropriate”.

Warsh said during the Senate hearing on Tuesday that he never promised the White House that he would cut interest rates, even as the president renewed his calls for the central bank to do so.

“The president never once asked me to commit to any particular interest rate decision, period,” Warsh said during the hearing. “Nor would I ever agree to do so if he had … I will be an independent actor if confirmed as chair of the Federal Reserve.”

Warsh’s comments came just hours after Trump, in an interview on CNBC, was asked if he would be disappointed if Warsh did not immediately cut rates and responded, “I would.”

The decision to abandon the investigation represents a rare pullback for a Department of Justice that over the last year has moved aggressively, albeit unsuccessfully, to prosecute public figures the president does not like.

Robert Hur, an lawyer for the Federal Reserve Board of Governors, did not immediately respond on Friday to an email seeking comment.

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Coupang denies lobbying U.S. to pressure S. Korea

E-commerce firm Coupang on Friday denied allegations that it lobbied U.S. government officials to pressure South Korea after a data leak controversy. This February 27 photo shows a Coupang distribution center in Seoul. File Photo by Yonhap

E-commerce firm Coupang Inc. on Friday denied allegations that it lobbied U.S. government officials to pressure the South Korean government following a data leak controversy that emerged in November.

The company also rejected claims that its lobbying activities involved security-related issues, calling such assertions unfounded.

Citing disclosures under the U.S. Lobbying Disclosure Act (LDA), Coupang said its lobbying efforts focused on promoting economic cooperation between Seoul and Washington and expanding professional visa opportunities for South Koreans seeking employment in the United States.

The filings show the company also engaged with U.S. authorities on plans to expand investment and commercial activity in South Korea, Taiwan and Japan, without addressing security matters, Coupang said in a text message.

Coupang said it has prioritized communication on artificial intelligence (AI) innovation, investment, job creation and cross-border commerce involving the U.S. and other markets, including South Korea.

The company said it spent 1.6 billion won (US$1.09 million) on lobbying in the January-March period.

“Lobbying activities by both U.S. and South Korean companies are conducted within legal frameworks,” Coupang said, adding that major U.S. firms typically spend three to four times more than it does.

Copyright (c) Yonhap News Agency prohibits its content from being redistributed or reprinted without consent, and forbids the content from being learned and used by artificial intelligence systems.

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Meta lines up layoffs while Microsoft offers buyouts | Business and Economy News

Meta will lay off 8,000 workers while Microsoft is offering buyouts to 8,750 people, a first for the Windows maker.

Meta is laying off about 8,000 workers, or about 10 percent of its workforce, the company has said as it continues to ramp up spending on artificial intelligence infrastructure and highly paid AI-expert hires.

On Thursday, the company said it was making the cuts for the sake of efficiency and to allow new investments in parts of its business, as first reported by Bloomberg, which also said the company will leave about 6,000 jobs unfilled.

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Also on Thursday, Microsoft said it was offering voluntary buyouts to thousands of its US employees.

The software giant plans to make the offers in early May to about 8,750 people, or 7 percent of its US workforce, according to two people familiar with the plan who were not authorised to speak about it publicly.

While an alternative to the sudden layoffs removing tech workers from peers like Meta and Oracle, the savings are likely tied to a similar industry upheaval that is requiring huge spending on the costs of artificial intelligence.

Meta has already warned investors that its 2026 expenses will grow significantly — to the range of $162bn to $169bn — driven by infrastructure costs and employee compensation, particularly for the AI experts it has been hiring at eye-popping pay levels.

This week, Meta also said it was breaking ground on an AI-optimised data centre in Tulsa, Oklahoma, a $1bn investment and its 28th data centre in the US.

Wedbush analyst Dan Ives welcomed Meta’s cuts in a note to investors on Thursday.

He said he sees it as part of a strategy of using AI tools to “automate tasks that once required large teams, allowing the company to streamline operations and reduce costs while maintaining productivity, driving an increased need for a leaner operating structure”.

Microsoft, based in Redmond, Washington state, has spent billions of dollars on operating an ever-expanding global network of data centres that power cloud computing services, AI systems and its own suite of productivity tools, including the AI assistant Copilot.

CNBC reported earlier on Thursday on a memo from Microsoft’s chief people officer, Amy Coleman, announcing the voluntary retirement plan.

“Our hope is that this program gives those eligible the choice to take that next step on their own terms, with generous company support,” Coleman wrote, according to CNBC.

Meta stock fell 2.3 percent on Thursday, while Microsoft stock ended the day down 3.97 percent.

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Why UAE Is Becoming the Global Hub for Entrepreneurs and Investors

In recent years, the United Arab Emirates (UAE) has transformed itself into one of the most attractive destinations for entrepreneurs, startups, and international investors. What used to be primarily known as an oil-driven economy has now evolved into a diversified, innovation-focused business hub with strong global connections.

For anyone considering international expansion, relocation, or asset structuring, the UAE offers a combination of strategic advantages that are difficult to match elsewhere. From tax optimization to ease of doing business, the country continues to attract companies from Europe, Asia, and beyond.

Strategic Location and Global Connectivity

One of the key reasons why the UAE stands out is its geographic position. Located between Europe, Asia, and Africa, it serves as a natural gateway for international trade. Major cities like Dubai and Abu Dhabi are well connected through world-class airports and seaports, making logistics and operations significantly more efficient.

This strategic positioning allows businesses to operate across multiple markets with minimal friction. Whether you’re running an e-commerce operation, a consulting firm, or a trading company, the UAE provides access to billions of consumers within a few hours’ flight.

Business-Friendly Environment

The UAE government has made significant efforts to create a pro-business environment. Over the past decade, regulations have been simplified, and bureaucratic barriers have been reduced.

Some of the key advantages include:

  • Fast company registration processes
  • Minimal reporting requirements compared to many Western jurisdictions
  • Strong legal framework protecting investors
  • Access to free zones with tailored business benefits

Entrepreneurs who previously struggled with complex regulatory systems in their home countries often find the UAE refreshingly straightforward.

If you’re exploring international expansion, understanding the process of company formation in uae is one of the first steps to unlocking these advantages.

Tax Efficiency and Financial Benefits

One of the most compelling reasons businesses move to the UAE is its tax structure. While global tax regulations are evolving, the UAE still offers highly competitive conditions:

  • 0% personal income tax
  • Competitive corporate tax rates
  • No capital gains tax in many cases
  • No withholding taxes

For founders and business owners, this translates into significantly higher retained earnings and better capital allocation.

However, it’s important to approach this strategically. Many entrepreneurs make the mistake of focusing only on “zero tax” narratives without understanding compliance requirements, substance rules, and international reporting obligations. Poor structuring can eliminate all the benefits you’re aiming for.

Free Zones vs Mainland: What Actually Matters

A common misconception is that choosing between free zones and mainland structures is just a formality. In reality, this decision has long-term consequences for your operations.

Free zones offer:

  • 100% foreign ownership
  • Simplified setup
  • Industry-specific ecosystems

Mainland companies provide:

  • Access to the local UAE market
  • Fewer restrictions on business activities
  • More flexibility in scaling

The right choice depends entirely on your business model. If you’re running a digital business or international service company, a free zone might be sufficient. But if you plan to operate locally or work with government contracts, mainland becomes necessary.

Most founders underestimate this decision and later face restructuring costs. That’s avoidable if the setup is done correctly from the beginning.

Reputation and Credibility

Beyond operational and tax benefits, the UAE also provides a strong reputational advantage. Having a company registered in Dubai or Abu Dhabi often enhances credibility when dealing with international partners.

Clients and investors tend to view UAE-based companies as more stable and globally oriented compared to entities registered in offshore or less regulated jurisdictions.

This matters especially in industries like:

  • Finance and consulting
  • E-commerce and trading
  • IT and digital services

A well-structured UAE company can significantly improve your positioning in competitive markets.

Banking and Financial Infrastructure

Opening a corporate bank account has become more complex globally, and the UAE is no exception. However, compared to many jurisdictions, it still offers relatively accessible banking solutions—if your structure and documentation are prepared correctly.

Key considerations include:

  • Clear business activity
  • Transparent ownership structure
  • Proof of business operations
  • Compliance with AML requirements

Many entrepreneurs fail at this stage not because the system is broken, but because they approach it unprepared. Proper planning significantly increases approval chances.

Scaling Opportunities

The UAE is not just a place to register a company—it’s a platform for scaling.

The country actively supports:

  • Startups and innovation hubs
  • Venture capital and investment funds
  • Tech and digital transformation initiatives

Dubai, in particular, has become a hotspot for founders building global products. Access to capital, talent, and infrastructure creates an environment where scaling is not just possible—it’s expected.

However, there’s a blind spot many entrepreneurs have: they move to the UAE expecting growth to happen automatically. It doesn’t. The environment amplifies good strategies, but it also exposes weak ones.

If your business model is flawed, the UAE won’t fix it—it will just make the problems more expensive.

Cost Considerations

While the UAE offers numerous advantages, it’s not a “cheap” jurisdiction.

Typical costs include:

  • Company registration fees
  • License renewals
  • Office requirements (depending on structure)
  • Visa costs

This is where many people miscalculate. They focus on tax savings but ignore operational expenses. The result? A setup that looks good on paper but doesn’t make financial sense.

The correct approach is to evaluate total cost vs. total benefit—not just taxes.

Long-Term Perspective

The biggest mistake entrepreneurs make when entering the UAE is treating it as a short-term hack rather than a long-term strategic move.

If you approach it purely as a tax-saving tool, you’ll likely:

  • Underinvest in structure
  • Ignore compliance
  • Face issues with banks or authorities

But if you treat it as a base for international growth, the UAE becomes one of the most powerful jurisdictions available today.

Final Thought

The UAE isn’t a magic solution—but it’s one of the few places where business, tax efficiency, global access, and infrastructure align at a high level.

Most people either overestimate it (“it solves everything”) or underestimate it (“just another offshore”). Both views are wrong.

The real advantage comes from execution:

  • Choosing the right structure
  • Setting up properly from day one
  • Aligning your business model with the environment

If done correctly, the UAE doesn’t just optimize your business—it changes the trajectory of it.

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LG strengthens alliance with NVIDIA for AI

LG AI Research head Lim Woo-hyung (L) speaks with NVIDIA Vice President Bryan Catanzaro at the company’s head office in Seoul on Tuesday. Photo by LG Group

SEOUL, April 22 (UPI) — South Korea’s LG AI Research said that it has agreed to strengthen cooperation with NVIDIA to develop next-generation AI technologies and expand the ecosystem of its flagship AI model, EXAONE.

Toward that goal, LG AI Research’s chief Lim Woo-hyung met with NVIDIA Vice President Bryan Catanzaro, who visited Korea to attend the NVIDIA Nemotron Developer Days Seoul 2026.

The two companies have collaborated before. LG AI Research said that it has leveraged datasets of NVIDIA’s Nemotron open ecosystems to develop and upgrade its EXAONE models.

“Purpose-built, domain-specific models unlock the full value of AI by using culture- and language-specific data aligned with what makes nations and industries unique,” Catanzaro said in a statement.

“By integrating the LG AI Research EXAONE platform with NVIDIA Nemotron, organizations can create high-quality local models that advance sovereign AI initiatives-opening the door to new business opportunities and enhanced social services.”

Lim stressed that NVIDIA has been a key partner throughout the development of EXAONE.

“We will expand our collaboration with NVIDIA beyond research into a broader innovation ecosystem to deliver tangible sovereign AI outcomes that can be realized across industries,” he said.

As one of the leaders in South Korea’s sovereign AI project, LG Group has recently sought to accelerate the conglomerate’s AI transformation.

Earlier this month, for example, Chairman Koo Kwang-mo flew to Silicon Valley to meet with chiefs of global tech companies Palantir Technologies and Skild AI.

The share price of LG Corp., the holding company of LG Group, gained 0.95% on the Seoul bourse Wednesday.

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March retail sales jump on higher gas prices, Commerce Department says

April 21 (UPI) — Retail sales rose by 1.7% in March mostly due to high gas prices from the ongoing conflict with Iran, the Commerce Department announced Tuesday.

It was the fastest monthly change in three years, according to a release.

In February, sales rose 0.7%.

Retail sales are seasonally adjusted but not for inflation. In March inflation rose by 0.9%, which was three times the February rate, according to the latest Consumer Price Index.

The war between the United States, Israel and Iran has caused gas prices to spike. The Strait of Hormuz, a critical transportation route for oil, has been closed to most traffic throughout the fighting. It has dramatically affected the price of gas in the United States and abroad.

Gas station sales jumped in March by 15.5% from February. Without gas station sales, retail rose 0.6% in March, which was at 0.7% in February.

Some categories were stronger. Furniture and home furnishing sales were up 2.2% in March.

Electronics and building materials held up well, too.

Gary Schlossberg, global strategist at Wells Fargo Investment Institute, said in commentary to investors on Tuesday: “Pressure on household budgets is being cushioned, for now, by sizable increases in tax refunds tied to last year’s legislation.”

Consumers adjusted their spending in other areas. Apparel sales were flat, and restaurant sales rose only 0.1%.

Gas prices likely caused that, said Dan North, Allianz Trade senior economist for North America.

“Gasoline is a thing you love to hate, because you have to buy it; there’s really no substitute,” North told CNN in an interview.

Eventually, consumers will deplete savings and tax refunds, and for lower-income Americans, it could be a struggle, North said.

“If we can wind this up, so to speak, in the next few months, the damage to the consumer and economy might not be so bad,” North said. “If you start stretching it out for months and months and toward the end of the year, then consumers and the rest of the economy get in trouble.”

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Southwest jets take evasive action to avoid mid-air crash over Nashville

April 20 (UPI) — A Southwest Airlines flight arriving at Nashville International Airport over the weekend was directed into the path of another Southwest flight that was taking off, causing them to pass within 500 vertical feet of each other.

A flight arriving from Myrtle Beach, S.C., on Saturday evening initiated a go-around before landing because it was facing “gusty winds” during it’s approach, but air traffic controllers directed the crew into the path of another flight, USA Today, WSMV and WTVF reported.

The other flight was departing NIA on a parallel runway, which caused the close call, and “both flight crews responded to onboard alerts” because the two aircraft were 500 feet apart, the Federal Aviation Administration said in a statement.

Five hundred feet is equivalent to 1 2/3 football fields, including the end zones, or two Boeing 747s lined up nose-to-tail, which is half the 1,000-foot distance the FAA requires aircraft to maintain.

The air traffic controller who gave the errant order recognized the mistake and corrected himself with both flight crews, who had already responded to alerts from their Traffic Collision Avoidance System, devices that are standard on all commercial aircraft.

“We are engaged with the FAA as part of the investigation,” Southwest said in a statement.

“Southwest appreciates the professionalism of its Pilots and Flights Crews in responding to the event,” the company said. “Nothing is more importing to Southwest than the Safety of our Customers and Employees.”

Secretary of Health and Human Services Robert F. Kennedy, Jr. speaks during a House Appropriations Subcommittee on Labor, Health and Human Services, Education, and Related Agencies hearing on the budget for the Department of Health and Human Services in the Rayburn House Office Building near the U.S. Capitol on Thursday. Photo by Bonnie Cash/UPI | License Photo

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FAA grounds New Glenn rocket after botched satellite release

The FAA has grounded Blue Origin’s New Glenn rocket because although its launch was successful, one of the engines on its second stage did not fire properly when it got to space, which resulted in the spacecraft releasing a communications satellite in too low of an orbit to be useful. Photo by Joe Marino/UPI | License Photo

April 20 (UPI) — The Federal Aviation Administration grounded Blue Origin‘s New Glenn rocket after it botched the release of a satellite following its successful launch two hours earlier.

The third launch of New Glenn and second landing of its reusable booster stage “Never Tell Me The Odds” on a drone ship in the Atlantic Ocean was a success in those terms, but the spacecraft delivered AST SpaceMobile’s BlueBird 7 satellite to an orbit too low for it to operate properly.

Blue Origin said Monday that it is leading an investigation into one of New Glenn’s engines producing insufficient thrust to reach the mission’s target orbit.

“While we were pleased with the nominal booster recovery, we clearly didn’t deliver the mission our customer wanted, and our team expects,” Blue Origin CEO Dave Limp said in a post on X.

The FAA, NASA, the National Transportation Safety Board and the U.S. Space Force also have been monitoring the situation and will require Blue Origin to complete its investigation and report on the engine anomaly, the Orlando Sentinel reported.

“A return to flight is based on the FAA determining that any system, process or procedure related to the mishap does not affect public safety,” the FAA said in explaining why it grounded the rocket.

The New Glenn-3 rocket launched around 7:30 a.m. EDT on Sunday morning, nailing the flight and landing portion of its mission, and successfully released the BlueBird 7 satellite once it reached orbit.

Because one of the two BE-3U engines that power New Glenn’s upper stage didn’t produce sufficient thrust on its second engine burn, which is meant to boost the spacecraft to its target orbit above Earth, it never got there.

Although the satellite was released and powered on properly, the off-nominal orbit — which was too low for it to be useful — AST said it would be jettisoned.

BlueBird 7 is one of 45 satellites that AST SpaceMobile hopes to get in orbit by the end of 2026 as part of a satellite-based cellular network designed to operate with standard smartphones.

The satellite would have been the companies eighth to reach orbit, and it’s share price Feller by more than 6% on Monday, The BBC reported.

Limp said Blue Origin is analyzing data as it conducts the investigation and is “in steady communication with the team at AST SpaceMobile.”

“We appreciate their partnership, and we’re looking forward to many flights together,” Limp said.

NASA’s Orion spacecraft, with the four-member Artemis II crew aboard, is seen under parachutes as it lands in the Pacific Ocean off the coast of California on Friday after its nearly 10-day journey around the Moon and back. NASA Photo by Bill Ingalls/UPI | License Photo

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