A violent worker protest broke out at Apple’s Foxconn iPhone factory in Zhengzhou, central China. According to witnesses, the protests began Wednesday morning and were caused by Foxconn’s plan to delay bonus payments to workers and rising COVID-19 outbreaks at the facility. Workers felt Foxconn executives weren’t doing enough to curb outbreaks at the factory. More: - Videos show workers clashing with police, flipping over carts, charging into the factory’s offices, smashing glass entrance doors, and bashing a COVID testing booth.
- The Foxconn facility employs more than 200,000 workers.
- Earlier this month, Apple warned investors that global shipments of its latest iPhones would be delayed due to China’s zero-COVID lockdowns at its Foxconn factory.
- Apple said demand for its iPhone 14 Pro and Pro Max models remained strong; however, customers will experience longer wait times to receive their devices.
- About 95% of Apple’s iPhones are produced in China.
- Foxconn said it is working with employees and the government to prevent further violent acts.
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Amazon plans to invest more than $1B annually to produce movies that will be released in theaters. According to sources, the e-commerce giant aims to make between 12 and 15 movies a year that will get a theatrical release. This number of releases puts Amazon on par with major studios like Paramount Pictures. More: - On the news of Amazon’s movie plans, Cinema stocks rose on Wednesday.
- Cinemark shares rose 11%, IMAX rose 7%, and AMC rose 5%.
- Amazon has been investing in original content in recent years through its Prime Video streaming division.
- Earlier this year, Amazon announced it bought MGM Studios for $8.45B.
- Amazon has had theatrical releases for some of its Prime Video original content.
- The company premiered the first two episodes of its Lord of the Rings series in cinemas and its 2017 comedy “The Big Sick.”
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Independent Franchise Partners (IFP), a London-based investment firm and one of the largest shareholders of News Corp and Fox, is against the firms’ planned merger and wants the companies to consider other alternatives, including breaking up News Corp. IFP said it told a special committee of News Corp’s board that the union would not realize the full value of News Corp. More: - Rupert Murdoch’s family trust controls about 40% of the voting rights of both News Corp and Fox.
- Last month Murdoch proposed merging both firms nearly 10 years after they initially split.
- News Corp is a media and publishing company with brands including The Wall Street Journal, Barrons, and Dow Jones.
- Fox Corp., previously known as 21st Century Fox, owns Fox News, Fox Sports, and Fox Entertainment, among other Fox brands.
- IFP said it would not be opposed to the merger if it would guarantee News Corp shares are valued at more than $30.
- News Corp was trading at around $18 a share on Wednesday.
- IFP believes the only way to get to that amount would be to sell News Corp in parts.
- IFP manages about $15B and has stakes in Bristol-Myers Squibb, Philip Morris International, and Microsoft.
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Credit Suisse said it expects to register a pre-tax loss of up to SFr1.5B ($1.6B) in Q4 due to clients withdrawing their deposits over fears of the bank’s financial health. Credit Suisse said its wealthy clients had withdrawn up to 10% of assets since October. More: - In its wealth management unit, the Swiss bank saw outflows of about SFr63.5B ($67.4B) by the end of Q3.
- Across the firm, the bank has lost SFr84B ($89B) in assets.
- Credit Suisse expects its wealth management and investment banking units to post a loss for Q4.
- At an extraordinary shareholder meeting on Wednesday, more than 90% of Credit Suisse shareholders voted in favor of the bank raising SFr4B ($4.25B) in new capital from investors, including the Saudi National Bank.
- The new capital would pay for the recently proposed restructuring plan.
- Credit Suisse shares fell more than 6% on Wednesday, trading around $3.84, its lowest price in 30 years.
- The bank is down ~61% YTD.
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Chinese state-backed banks announced more than Rmb220B ($30.7B) in new credit lines on Wednesday for the nation’s struggling property developers. China’s sixth-largest bank, Bank of Communications, was the first to announce the government support package, agreeing to a Rmb100B (~$14B) credit line for Chinese developer Vanke and Rmb20B (~$2.8B) for Midea Real Estate. More: - Bank of Communications said the funds would help the developers’ needs in project developments, mortgages, merger and acquisition deals, bond investment, letters of guarantee, and supply chain financing.
- China’s fourth largest bank, Bank of China, announced it would offer an additional Rmb100B ($14B) credit line to Vanke.
- The country’s third largest bank, Agricultural Bank of China, said it would also offer credit lines to five developers: Vanke, China Overseas Land and Investment, China Resources Land, Longfor, and Gemdale.
- The bank did not disclose credit line amounts.
- According to local media reports, China’s largest bank, Industrial and Commercial Bank of China, is also considering extending credit lines to developers, including Longfor and Country Garden.
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According to a recent survey, business activity in the Eurozone contracted for the fifth consecutive month. The S&P Global’s flash eurozone composite purchasing managers’ index (PMI), a measure of business conditions, rose 0.5 points to 47.8 in November. A reading below 50 signifies a contraction instead of growth. More: - Economists polled by Reuters had predicted a decline in the index to 47.
- The survey reported falling factory output, declining new orders, and slowing employment growth in the Euro region.
- The chief business economist at S&P Global Market Intelligence, Chris Williamson, said data from the survey still point to a possible recession; however, the scale of the recession might not be as severe as previously feared.
- According to the survey, Eurozone GDP is expected to decline by 0.2% in Q4.
- German businesses reported the steepest contraction in eurozone activity; however, its PMI score rose to a three-month high of 46.4.
- In the U.K., business activity declined, and its PMI remained unchanged in November at 48.3.
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- During FTX's first bankruptcy hearing on Tuesday, attorneys said one of FTX's units spent $300M on homes and vacation properties in the Bahamas for its senior staff. Attorneys noted that FTX was run as a personal fiefdom of Sam Bankman-Fried.
- Sequoia Capital partner Doug Leone warned that the current economic downturn would be more challenging than the recessions in 2000 and 2008. Leone added that he does not expect the economy to recover until 2024.
- New York Gov. Kathy Hochul signed a law on Tuesday banning certain bitcoin mining operations that run on carbon-based power sources. For the next two years, unless a proof-of-work mining company uses 100% renewable energy, it will not be allowed to expand or renew permits, and new entrants will not be allowed to come online.
- Saudi Arabia is in talks with Turkey to deposit $5B into Turkey's central bank. A Turkish finance ministry official confirmed the two countries were discussing the deposit, and the talks were in their final stages.
- A Walmart manager pulled out a handgun before a routine employee meeting and began firing wildly around the break room of a Virginia store, killing six people and injuring six. The gunman is believed to have shot himself and was pronounced dead when police arrived. He had been a Walmart employee since 2010.
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 |  | Vanessa Omeokachie is a writer for Inside.com; she writes the daily Inside Business newsletter. Her interests include finance, technology, and entrepreneurship. In her free time, she enjoys reading, hiking, attending concerts and music festivals, traveling, and exploring. Connect with her on Twitter @VanessaOmeo or on LinkedIn. |   | | Editor | Aaron Crutchfield is based in the high desert of California. Over the last two decades, he has spent time writing and editing at various local newspapers and defense contractors in California. When he's not working, he can often be found looking at the latest memes with his kids or working on his 1962 and 1972 Fords. | |
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