Archive for the ‘Media Control’ Category

Keep the Trophies Coming: Can-Am Set to Continue Leading the Industry with Introduction of Smart-Shox Technology – GlobeNewswire

2021 Can-Am Maverick X3 X rs Turbo RR

The 2021 Can-Am Maverick X3 X rs Turbo RR with Smart-Shox Technology has the industrys first fully self-adjustable suspension, providing superior performance, control and comfort

VALCOURT, Quebec, June 30, 2020 (GLOBE NEWSWIRE) -- BRP (TSX: DOO; NASDAQ: DOOO) and its lineup of Can-Am Off-Road vehicles have been on a roll recently, leading the performance off-road world. But never one to take success for granted on and off the track, Can-Am is about to push the boundaries even further with the introduction of Smart-Shox technology, available on the highly anticipated Can-Am Maverick X3 X rs Turbo RR for 2021.

Smart-Shox technology is an industry-first, fully self-adjustable suspension technology for superior performance, control and comfort. It is the only suspension in the industry that controls both compression and rebound for enhanced precision, delivering superior ride and handling, no matter the terrain or conditions. Even better? Shock adjustments are a thing of the past now drivers can dominate at the touch of a button.

It doesnt matter if youre a pro or a weekend warrior, this technology will make your rides better, says Casey Currie, winner of the 2020 Dakar Rally in a Can-Am Maverick X3. Smart-Shox is one of those game-changing innovations that brings a smile to my face knowing Ill have a competitive advantage over anything else out there. With Smart-Shox, the Maverick X3 sticks to the ground in a way Ive never experienced, and I cant wait to get out and race.

There are three major benefits to Smart-Shox semi-active suspension technology:

What does this mean? Better tracking of the ground surface for increased traction. Better launches. More comfort on undulating terrain. And the feeling youre truly connected to the ground as lesser machines struggle to keep up.

Why do you care? Significantly improved stability means high performance with high confidence.

Why does it matter? Experts need not apply: just get in and drive, and reap all the benefits while the system does all the work. It also means less mechanical stress, with reduced impact loads on key components. And beyond that, the improved ride quality means less rider fatigue, so you dont have to think twice about extending epic days.

Available in store this fall, these elements are what make the 2021 Can-Am Maverick X3 X rs Turbo RR the pinnacle of performance in the Can-Am Maverick lineup, which offers something for everyone. From two-seaters to four-seaters, and the entry-level RS to the new high-end X rs with Smart-Shox, the entire lineup is purpose-built for high performance.

For more technical details and product specs, as well as information about the complete MY21 lineup of Can-Am Off-Road vehicles, visit https://can-am.brp.com/off-road/.

About BRPWe are a global leader in the world of powersports vehicles, propulsion systems and boats, built on over 75 years of ingenuity and intensive consumer focus. Our portfolio of industry-leading and distinctive products includes Ski-Doo and Lynx snowmobiles, Sea-Doo watercraft, Can-Am on- and off-road vehicles, Alumacraft, Manitou, Quintrex, Stacer and Savage boats, Evinrude and Rotax marine propulsion systems as well as Rotax engines for karts, motorcycles and recreational aircraft. We complete our lines of products with a dedicated parts, accessories and apparel business to fully enhance the riding experience.

With annual sales of CA$6.1 billion from over 120 countries, our global workforce is made up of approximately 12,600 driven, resourceful people.

http://www.brp.com@BRPNews

Ski-Doo, Lynx, Sea-Doo, Can-Am, Rotax, Evinrude, Manitou, Alumacraft, Telwater and the BRP logo are trademarks of Bombardier Recreational Products Inc. or its affiliates. All other trademarks are the property of their respective owners.

For information: Brian ManningLead, Global Consumer Public RelationsTel: 913.424.9709brian.manning@brp.com media@brp.com

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Keep the Trophies Coming: Can-Am Set to Continue Leading the Industry with Introduction of Smart-Shox Technology - GlobeNewswire

Nissan survey says: More Americans road tripping with fun in tow this summer – GlobeNewswire

2020 Nissan Armada towing

The 2020 Armada features best-in-class standard maximum towing capacity of 8,500 pounds, which allows for easy towing of most travel trailers.

NASHVILLE, Tenn., June 30, 2020 (GLOBE NEWSWIRE) -- As the world adapts its summer travel plans, many Americans are turning to recreational vehicles and boats as new ways to get out while maintaining safe distances. In fact, 71 percent of Americans are more comfortable traveling by car than by air, according to a recent omnibus survey conducted by Nissan1. This percentage climbs to 85 percent for those age 65 and older.

Nearly half the survey respondents are also now more likely to take a vacation with a recreational vehicle, and one-third are now more likely to spend money on an RV or boat.

As we emerge as a nation from the stay at home orders, it is clear that Americans want to get back outdoors, said Craig Kirby, RV Industry Association president. We are seeing more and more people turn to RVs as a way to continue to enjoy their summer vacations, while also adhering to social distancing, which will likely be around in some form for the foreseeable future.

With increased interest in camping and boating this summer, 28 percent of Americans have intentions to buy or rent a vehicle capable of towing within the next three months. However, two-thirds of respondents have no experience towing and nearly three out of four have some level of concern with towing.

Towing can be intimidating for first-timers and even those with experience, said Jared Haslam, vice president, Product Planning, Nissan North America. Before hitting the road, its important to do your homework and understand what your vehicle is capable of and, just as importantly, understand that with the right vehicle and a bit of practice, you have all the tools necessary to pull off a dream vacation on wheels.

While towing, Nissans available Trailer Sway Control helps keep trailers in line should wind or bad roads play a role, and the available Tow/Haul Mode with Downhill Speed Control helps drivers maintain control on steep declines and inclines. When preparing for a towing adventure, the available Trailer Light Check system allows one-person hook-up operation checking turn signals, brake lights and running/clearance lights from inside the cab or with the key fob.

Whether its your first summer towing adventure or youre an experienced outdoor enthusiast, Nissan has a complete lineup of tow-capable trucks and SUVs prime for summer adventure, added Haslam.

For more on Nissan trucks and SUVs, media can visit Nissannews.com, and consumers can find buying information at NissanUSA.com.

About Nissan North America

In North America, Nissan's operations include automotive styling, engineering, consumer and corporate financing, sales and marketing, distribution and manufacturing. Nissan is dedicated to improving the environment under the Nissan Green Program and has been recognized annually by the U.S. Environmental Protection Agency as an ENERGY STAR Partner of the Year since 2010. More information on Nissan in North America and the complete line of Nissan and INFINITI vehicles can be found online atwww.nissanusa.comandwww.infinitiusa.com, or visit the U.S. media sitesnissannews.comandinfinitinews.com.

Media Contact:Kevin RafteryNissan Product Communications615-725-5236kevin.raftery@nissan-usa.com

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Nissan survey says: More Americans road tripping with fun in tow this summer - GlobeNewswire

Pfizer and BioNTech Announce Early Positive Data from an Ongoing Phase 1/2 Study of mRNA-based Vaccine Candidate Against SARS-CoV-2 – GlobeNewswire

NEW YORK and MAINZ, Germany, July 01, 2020 (GLOBE NEWSWIRE) -- Pfizer Inc. (NYSE: PFE) and BioNTech SE (Nasdaq: BNTX, BioNTech or the Company) today announced preliminary U.S. data from the most advanced of four investigational vaccine candidates from their BNT162 mRNA-based vaccine program, Project Lightspeed, against SARS-CoV-2, the virus causing the current global pandemic. The BNT162 program is evaluating at least four experimental vaccines, each of which represents a unique combination of mRNA format and target antigen. The manuscript describing the preliminary clinical data for the nucleoside-modified messenger RNA (modRNA) candidate, BNT162b1, which encodes an optimized SARS-CoV-2 receptor binding domain (RBD) antigen, is available on an online preprint server at https://www.medrxiv.org/content/10.1101/2020.06.30.20142570v1and is concurrently undergoing scientific peer-review for potential publication. Overall, the preliminary data demonstrated that BNT162b1 could be administered in a dose that was well tolerated and generated dose dependent immunogenicity, as measured by RBD-binding IgG concentrations and SARS-CoV-2 neutralizing antibody titers.

We are encouraged by the clinical data of BNT162b1, one of four mRNA constructs we are evaluating clinically, and for which we have positive, preliminary, topline findings, said Kathrin U. Jansen, Ph.D., Senior Vice President and Head of Vaccine Research & Development, Pfizer. We are dedicated to develop potentially groundbreaking vaccines and medicines, and in the face of this global health crisis, we approach this goal with the utmost urgency. We look forward to publishing our clinical data in a peer-reviewed journal as quickly as possible.

These preliminary data are encouraging, showing that BNT162b1 which exploits RBD SARS-CoV-2 as a target antigen is able to produce neutralizing antibody responses in humans at or above the levels observed in convalescent sera and that it does so at relatively low dose levels. We look forward to providing further data updates on BNT162b1, said Ugur Sahin, M.D., CEO and Co-founder of BioNTech.

The ongoing U.S. Phase 1/2 randomized, placebo-controlled, observer-blinded study is evaluating the safety, tolerability, and immunogenicity of escalating dose levels of BNT162b1. The initial part of the study included 45 healthy adults 18 to 55 years of age. Preliminary data for BNT162b1 was evaluated for 24 subjects who received two injections of 10 g and 30 g, 12 subjects who received a single injection of 100 g, and 9 subjects who received 2 doses of placebo control.

The participants received two doses, 21 days apart, of placebo, 10 g or 30 g of BNT162b1, or received a single dose of 100 g of the vaccine candidate. Because of a strong vaccine booster effect, the highest neutralizing titers were observed seven days after the second dose of 10 g or 30 g on day 28 after vaccination. The neutralizing GMTs were 168 and 267 for the 10 g and 30 g dose levels, respectively, corresponding to 1.8- and 2.8-times the neutralizing GMT of 94 observed in a panel of 38 sera from subjects who had contracted SARS-CoV-2.

In all 24 subjects who received 2 vaccinations at 10 g and 30 g dose levels of BNT162b1, elevation of RBD-binding IgG concentrations was observed after the second injection with respective GMCs of 4,813 units/ml and 27,872 units/ml at day 28, seven days after immunization. These concentrations are 8- and 46.3-times the GMC of 602 units/ml in a panel of 38 sera from subjects who had contracted SARS-CoV-2.

At day 21 after a single injection, the 12 subjects who received 100 g of BNT162b1 had an RBD-binding IgG GMC of 1,778 units/ml and a SARS-CoV neutralizing GMT of 33, which are 3-times and 0.35-times, respectively, the GMC and GMT of the convalescent serum panel.

At the 10 g or 30 g dose levels, adverse reactions, including low grade fever, were more common after the second dose than the first dose. Following dose 2, 8.3% of participants who received 10 g and 75.0% of participants who received 30 g BNT162b1 reported fever 38.0 C. Local reactions and systemic events after injection with 10 g and 30 g of BNT162b1 were dose-dependent, generally mild to moderate, and transient. The most commonly reported local reaction was injection site pain, which was mild to moderate, except in one of 12 subjects who received a 100 g dose, which was severe. No serious adverse events were reported. Given higher numbers of subjects experiencing local reactions and systemic events after a single 100 g dose with no significant increases in immunogenicity compared to the 30 g dose level, the 12 participants in the 100 g group were not administered a second dose.

These preliminary data, together with additional preclinical and clinical data being generated, will be used by the two companies to determine a dose level and select among multiple vaccine candidates to seek to progress to a large, global Phase 2b/3 safety and efficacy trial. That trial may involve up to 30,000 healthy participants and is anticipated to begin in late July 2020, if regulatory approval to proceed is received. The preliminary clinical data from this ongoing study has been submitted for potential publication in a peer-reviewed journal and is available on an online preprint manuscript server.

The BNT162b1 candidate remains under clinical study and is not currently approved for distribution anywhere in the world. If the ongoing studies are successful and the vaccine candidate receives regulatory approval, the companies expect to manufacture up to 100 million doses by the end of 2020 and potentially more than 1.2 billion doses by the end of 2021. In that event, BioNTech and Pfizer would work jointly to distribute the potential COVID-19 vaccine worldwide (excluding China, where BioNTech has a collaboration with Fosun Pharma for BNT162 for both clinical development and commercialization). The development of the vaccine is also supported by partners like Acuitas Therapeutics. The Canadian company provides lipid nanoparticles (LNP) for the formulation of various mRNA vaccines.

Pfizer Conference Call and Webcast InformationTo view and listen to the webcast, visit our web site at http://www.pfizer.com/investors. Participants are advised to pre-register in advance of the conference call.

You can also listen to the conference call by dialing either (866) 669-8582 in the United States and Canada or (702) 495-1304 outside of the United States and Canada. The password is PFIZER 2020.

BioNTech Conference Call and Webcast InformationBioNTech SE will host a conference call to review the Phase 1/2 clinical results for BNT162. Details for the call will be available shortly. Please check on https://investors.biontech.de/investors-media for exact timing of the call.

To participate in the conference call, please dial the following numbers 10-15 minutes prior to the start of the call and provide the Conference ID: 7176269.

United States international: +1 646 741 3167United States domestic (toll-free): +1 877 870 9135Germany: +49 692 2222 625

Participants may also access the slides and the webcast of the conference call via the Events & Presentations page of the Investor Relations section of the Companys website at https://biontech.de/. A replay of the webcast will be available shortly after the conclusion of the call and archived on the Companys website for 30 days following the call.

About Pfizer: Breakthroughs That Change Patients LivesAt Pfizer, we apply science and our global resources to bring therapies to people that extend and significantly improve their lives. We strive to set the standard for quality, safety and value in the discovery, development and manufacture of health care products, including innovative medicines and vaccines. Every day, Pfizer colleagues work across developed and emerging markets to advance wellness, prevention, treatments and cures that challenge the most feared diseases of our time. Consistent with our responsibility as one of the world's premier innovative biopharmaceutical companies, we collaborate with health care providers, governments and local communities to support and expand access to reliable, affordable health care around the world. For more than 150 years, we have worked to make a difference for all who rely on us. We routinely post information that may be important to investors on our website at http://www.Pfizer.com. In addition, to learn more, please visit us on http://www.Pfizer.com and follow us on Twitter at @Pfizer and @Pfizer News, LinkedIn, YouTube and like us on Facebook at Facebook.com/Pfizer.

Pfizer Disclosure NoticeThe information contained in this release is as of July 1, 2020. Pfizer assumes no obligation to update information or forward-looking statements contained in this release as the result of new information or future events or developments.

This release contains forward-looking information about Pfizers efforts to combat COVID-19, the BNT162 mRNA vaccine program, and a collaboration between BioNTech and Pfizer to develop a potential COVID-19 vaccine, including their potential benefits, and anticipated publication of data and the expected timing of clinical trials, that involves substantial risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. Risks and uncertainties include, among other things, the uncertainties inherent in research and development, including the ability to meet anticipated clinical endpoints, commencement and/or completion dates for clinical trials, regulatory submission dates, regulatory approval dates and/or launch dates, as well as the possibility of unfavorable new preclinical or clinical trial data and further analyses of existing preclinical or clinical trial data; risks associated with preliminary data; the risk that clinical trial data are subject to differing interpretations and assessments, including during the peer review/publication process, in the scientific community generally, and by regulatory authorities; whether the scientific journal publications referenced above will occur and, if so, when and with what modifications; whether regulatory authorities will be satisfied with the design of and results from these and future preclinical and clinical studies; whether and when any biologics license applications may be filed in any jurisdictions for any potential vaccine candidates under the collaboration; whether and when any such applications may be approved by regulatory authorities, which will depend on myriad factors, including making a determination as to whether the products benefits outweigh its known risks and determination of the products efficacy and, if approved, whether any such vaccine candidates will be commercially successful; decisions by regulatory authorities impacting labeling, manufacturing processes, safety and/or other matters that could affect the availability or commercial potential of any such vaccine candidates, including development of products or therapies by other companies; manufacturing capabilities or capacity; including whether the estimated numbers of doses can be manufactured within the projected time periods indicated; uncertainties regarding the ability to obtain recommendations from vaccine technical committees and other public health authorities regarding any such vaccine candidates and uncertainties regarding the commercial impact of any such recommendations; and competitive developments.

A further description of risks and uncertainties can be found in Pfizers Annual Report on Form 10-K for the fiscal year ended December 31, 2019 and in its subsequent reports on Form 10-Q, including in the sections thereof captioned Risk Factors and Forward-Looking Information and Factors That May Affect Future Results, as well as in its subsequent reports on Form 8-K, all of which are filed with the U.S. Securities and Exchange Commission and available at http://www.sec.gov and http://www.pfizer.com.

About BioNTechBiopharmaceutical New Technologies is a next generation immunotherapy company pioneering novel therapies for cancer and other serious diseases. The Company exploits a wide array of computational discovery and therapeutic drug platforms for the rapid development of novel biopharmaceuticals. Its broad portfolio of oncology product candidates includes individualized and off-the-shelf mRNA-based therapies, innovative chimeric antigen receptor T cells, bi-specific checkpoint immuno-modulators, targeted cancer antibodies and small molecules. Based on its deep expertise in mRNA vaccine development and in-house manufacturing capabilities, BioNTech and its collaborators are developing multiple mRNA vaccine candidates for a range of infectious diseases alongside its diverse oncology pipeline. BioNTech has established a broad set of relationships with multiple global pharmaceutical collaborators, including Genmab, Sanofi, Bayer Animal Health, Genentech, a member of the Roche Group, Genevant, Fosun Pharma, and Pfizer. For more information, please visit http://www.BioNTech.de.

BioNTech Forward-looking statementsThis press release contains forward-looking statements of BioNTech within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements may include, but may not be limited to, statements concerning: BioNTechs efforts to combat COVID-19; the timing to initiate clinical trials of BNT162 and anticipated publication of data from these clinical trials; collaborations between BioNTech and Pfizer, and BioNTech and Fosun Pharma, to develop a potential COVID-19 vaccine; the nature of the clinical data, which is subject to ongoing peer review, regulatory review and market interpretation; and the ability of BioNTech to supply the quantities of BNT162 to support clinical development and, if approved, market demand. Any forward-looking statements in this press release are based on BioNTech current expectations and beliefs of future events, and are subject to a number of risks and uncertainties that could cause actual results to differ materially and adversely from those set forth in or implied by such forward-looking statements. These risks and uncertainties include, but are not limited to: competition to create a vaccine for Covid-19 and potential difficulties. For a discussion of these and other risks and uncertainties, see BioNTechs Annual Report on Form 20-F filed with the SEC on March 31, 2020, which is available on the SECs website at http://www.sec.gov. All information in this press release is as of the date of the release, and BioNTech undertakes no duty to update this information unless required by law.

Pfizer Media RelationsAmy Rose+1 (212) 733-7410Amy.Rose@pfizer.com

Pfizer Investor RelationsChuck Triano+1 (212) 733-3901Charles.E.Triano@Pfizer.com

BioNTech Media RelationsJasmina Alatovic+49 (0)6131 9084 1513 or +49 (0)151 1978 1385Media@biontech.de

BioNTech Investor RelationsSylke Maas, Ph.D.+49 (0)6131 9084 1074Investors@biontech.de

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Pfizer and BioNTech Announce Early Positive Data from an Ongoing Phase 1/2 Study of mRNA-based Vaccine Candidate Against SARS-CoV-2 - GlobeNewswire

Luckin Announces the Substantial Completion of the Internal Investigation – GlobeNewswire

BEIJING, July 01, 2020 (GLOBE NEWSWIRE) -- Luckin Coffee Inc. (the Company) (OTC: LKNCY) announced that its Special Committee of the Board of Directors (the Special Committee), with the assistance of its advisors, Kirkland & Ellis International LLP and FTI Consulting, has substantially completed its independent internal investigation (the Internal Investigation) into the issues disclosed in the press release issued by the Company on April 2, 2020.

The Special Committee was formed on March 19, 2020 and authorized by the Board of Directors (the Board) to access documents, records and information of the Company, and to conduct interviews with any employee, officer and director, as the Special Committee deemed appropriate. In the course of the Internal Investigation, the Special Committee and its advisors reviewed over 550,000 documents collected from over 60 custodians, interviewed over 60 witnesses, and performed extensive forensic accounting and data analytics testing.

Based on its work, the Special Committee has found that the fabrication of transactions began in April 2019 and that, as a result, the Companys net revenue in 2019 was inflated by approximately RMB 2.12 billion ( consisting of RMB 0.25 billion in the second quarter, RMB 0.70 billion in the third quarter, and RMB 1.17 billion in the fourth quarter.) The Companys costs and expenses were inflated by RMB 1.34 billion in 2019 (consisting of RMB 0.15 billion in the second quarter, RMB 0.52 billion in the third quarter, and RMB 0.67 billion in the fourth quarter).

Evidence discovered to date demonstrates that the Companys former Chief Executive Officer, Ms. Jenny Zhiya Qian, former Chief Operating Officer, Mr. Jian Liu and certain employees reporting to them participated in the fabricated transactions and that the funds supporting the fabricated transactions were funneled to the Company through a number of third parties associated with the Company employees and/or related parties.

Following the Special Committees recommendations, the Board terminated its former Chief Executive Officer and former Chief Operating Officer based on evidence demonstrating their participation in the fabricated transactions. In addition, the Board resolved to require Mr. Charles Zhengyao Lu to resign as a director and the chairman of the Board and a meeting of the Board will be held on July 2, 2020 to consider the proposal to remove Mr. Charles Zhengyao Lu, as a director and the chairman of the Board. The proposed resignation and removal regarding Mr. Charles Zhengyao Lu was requested by the majority of directors of the Board, and based on findings presented by and the recommendations of the Special Committee. The Special Committee based its recommendations regarding Mr. Charles Zhengyao Lu on documentary and other evidence identified in the Internal Investigation and its assessment of Mr. Charles Zhengyao Lus degree of cooperation in the Internal Investigation. The Board has further resolved to terminate 12 other employees who, at the direction of the former Chief Executive Officer and former Chief Operating Officer, participated in, and/or had knowledge of, the fabricated transactions, including previously suspended employees. An additional 15 employees are subject to other disciplinary actions. In addition, the Company is in the process of terminating relationships with all third parties involved in the fabricated transactions.

In connection with the Special Committees findings,the Company has implemented several immediate enhancements to its finance functions and engaged an internal controls consultant to evaluate the existing controls environment and recommend enhancements to detect and prevent misconducts in the future. The Company is chartering an internal audit function to test and evaluate its control functions.The Company will also strengthen ongoing compliance training to its employees.

The Special Committee may continue to perform certain additional investigation steps if additional relevant information becomes available.

Safe Harbor Statement

This announcement contains forward-looking statements within the meaning of Section21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements are made under the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements can be identified by terminology such as will, expects, anticipates, future, intends, plans, believes, estimates, potential, continue, ongoing, targets, guidance and similar statements. The Company may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission (the SEC), in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Any statements that are not historical facts, including statements about the Companys beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties. A number of factors could cause actual results to differ materially from those contained in any forward-looking statement, including but not limited to the following: the Companys growth strategies; its future business development, results of operations and financial condition; its ability to understand buyer needs and provide products and services to attract and retain buyers; its ability to maintain and enhance the recognition and reputation of its brand; its ability to rely on merchants and third-party logistics service providers to provide delivery services to buyers; its ability to maintain and improve quality control policies and measures; its ability to establish and maintain relationships with merchants; trends and competition in Chinas e-commerce market; changes in its revenues and certain cost or expense items; the expected growth of Chinas e-commerce market; PRC governmental policies and regulations relating to the Companys industry, and general economic and business conditions globally and in China and assumptions underlying or related to any of the foregoing. Further information regarding these and other risks, uncertainties or factors is included in the Companys filings with the SEC. All information provided in this press release and in the attachments is as of the date of this press release, and the Company undertakes no obligation to update any forward-looking statement, except as required under applicable law.

About Luckin Coffee Inc.

Luckin Coffee Inc.(OTC: LKNCY) has pioneered a technology-driven retail network to provide coffee and other products of high quality, high affordability, and high convenience to customers. Empowered by big data analytics, AI, and proprietary technologies, the Company pursues its mission to be part of everyones everyday life, starting with coffee. The Company was founded in 2017 and is based inChina. For more information, please visit investor.luckincoffee.com.

Investor and Media Contacts

Investor Relations:Luckin Coffee Inc. IREmail:ir@luckincoffee.com

Bill Zima / Fitzhugh TaylorICR,Inc.Phone: 646 880 9039

Media Relations:Luckin Coffee Inc. PREmail:pr@luckincoffee.com

Ed Trissel/Jack KelleherJoele Frank, Wilkinson Brimmer KatcherPhone: 212 355 4449

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Luckin Announces the Substantial Completion of the Internal Investigation - GlobeNewswire

New regime needed to take on tech giants – GOV.UK

The dynamic nature of digital advertising markets and the types of concerns identified by the Competition and Markets Authority (CMA) in its market study are such that existing laws are not suitable for effective regulation. It is therefore recommending a new pro-competition regulatory regime to govern the behaviour of major platforms funded by digital advertising, like Google and Facebook.

This recommendation to government is the result of a year-long examination of the markets. The CMA used its statutory information gathering powers to lift the lid on how advertising revenue drives the business model of major platforms.

UK expenditure on digital advertising was around 14bn in 2019, equivalent to about 500 per household. About 80% of this is earned by just 2 companies: Google and Facebook. Google enjoys a more than 90% share of the 7.3 billion search advertising market in the UK, while Facebook has a share of over 50% of the 5.5 billion display advertising market. Googles revenue per search has more than doubled since 2011, while Facebooks average revenue per user has increased from less than 5 in 2011 to over 50 in 2019.

The services provided by Facebook and Google are highly valued by consumers and help many small businesses to reach new customers. While both originally grew by offering better services than the main platforms in the market at the time, the CMA is concerned that they have developed such unassailable market positions that rivals can no longer compete on equal terms:

Their large user base is a source of market power it means that Facebook is a must-have network for users to remain in contact with each other, and enables Google to train its search algorithms in ways that other search engines cannot.

Each has unmatchable access to user data, allowing them to target advertisements to individual consumers and tailor the services they provide.

Both use default settings to nudge people into using their services and giving up their data for example Google paid around 1.2bn in 2019 to be the default search provider on mobile devices and browsers in the UK, while Facebook requires people to accept personalised advertising as a condition for using their service.

Their presence across many different markets, partially acquired through many acquisitions over the years, also makes it harder for rivals to compete.

Each of these factors individually presents a potential barrier to new competition, but together they work to reinforce each other and are extremely difficult to overcome.

These issues matter to consumers. Weak competition in search and social media leads to reduced innovation and choice, as well as to consumers giving up more data than they would like. Further, if the 14bn spend in the UK last year on digital advertising is higher than it would be in a more competitive market, this will be felt in the prices for hotels, flights, consumer electronics, books, insurance and many other products that make heavy use of digital advertising. The CMA found that Googles prices are around 30% to 40% higher than Bing when comparing like-for-like search terms on desktop and mobile.

Google and Facebooks market positions also have a profound impact on newspapers and other publishers. The CMA has found that newspapers are reliant on Google and Facebook for almost 40% of all visits to their sites. This dependency potentially squeezes their share of digital advertising revenues, undermining their ability to produce valuable content.

The scale and nature of these issues mean that a new pro-competition regulatory regime is needed so that users can continue to benefit from innovative new services; rival businesses can compete on a level playing field and publishers do not find their revenues unduly squeezed. The CMAs proposals are consistent with those made by Professor Jason Furman in his report for the government.

The CMA has proposed that within the new regime a Digital Markets Unit should have the ability to:

enforce a code of conduct to ensure that platforms with a position of market power, like Google and Facebook, do not engage in exploitative or exclusionary practices, or practices likely to reduce trust and transparency, and to impose fines if necessary.

order Google to open up its click and query data to rival search engines to allow them to improve their algorithms so they can properly compete. This would be designed in a way that does not involve the transfer of personal data to avoid privacy concerns.

order Facebook to increase its interoperability with competing social media platforms. Platforms would need to secure consumer consent for the use of any of their data.

restrict Googles ability to secure its place as the default search engine on mobile devices and browsers in order to introduce more choice for users.

order Facebook to give consumers a choice over whether to receive personalised advertising.

introduce a fairness-by-design duty on the platforms to ensure that they are making it as easy as possible for users to make meaningful choices.

order the separation of platforms where necessary to ensure healthy competition.

Whilst this recommendation is UK-focused, many of the problems that the CMA has identified are international in nature. It will therefore continue to take a leading role globally in relation to these issues as part of the CMAs wider digital strategy.

CMA Chief Executive Andrea Coscelli said:

Through our examination of this market, we have discovered how major online platforms like Google and Facebook operate and how they use digital advertising to fuel their business models. What we have found is concerning if the market power of these firms goes unchecked, people and businesses will lose out. People will carry on handing over more of their personal data than necessary, a lack of competition could mean higher prices for goods and services bought online and we could all miss out on the benefits of the next innovative digital platform.

Our clear recommendation to government is that a new pro-competitive regulatory regime be established to address the concerns we have identified and regulate a sector which is central to all our lives.

Safeguarding peoples control over their data is paramount to privacy as well as to the healthy operation of the market, so the CMA has worked with the Information Commissioners Office (ICO) to examine the impact of privacy regulation on the market.

The General Data Protection Regulation is still in its early stages and the CMA is concerned that big platforms could be interpreting it in a way which favours their business models, instead of in a way which gives users control of their data. For example, big platforms might share user data freely across their own sizeable business ecosystem, while at the same time refusing to share data with reputable third parties which could have a detrimental impact on smaller players. The CMAs market study advocates a competitive-neutral approach to implementing privacy regulation, so that the big platforms are not able to exploit privacy regulation to their advantage. It will be working with the ICO and Ofcom further to address these issues through the Digital Regulation Cooperation Forum, the details of which were also published today.

The CMA, working with the ICO and Ofcom, is today formally launching a Digital Markets Taskforce. The Taskforce, originally commissioned by the government, will build on the conclusions of the market study, as well as looking more widely across all platforms to consider the functions, processes and powers which may be needed to promote competition. It will advise government on how a new regulatory regime for digital markets should be designed. To inform its work, the CMA is publishing a call for information, and writing to a number of platforms, seeking views and information. The Taskforce will deliver advice to government by the end of 2020.

The final report can be found in full on the online platforms and digital advertising market study webpage

The CMA is the UKs primary competition and consumer authority. It is an independent non-ministerial government department with responsibility for carrying out investigations into mergers, markets and the regulated industries and enforcing competition and consumer law.

In March the CMA was asked by government to lead a Digital Markets Taskforce, comprising CMA, Ofcom and the Information Commissioners Office to advise government on how a new pro-competition approach should be designed for digital markets. Find out more in the Terms of Reference for this work.

As a result of its clear recommendation for a new regulatory regime, and the ongoing work of the Taskforce, the CMA is not currently recommending making a market investigation reference. However, after the work of the Taskforce has concluded, it will assess whether the actions being taken by the government are sufficient to address the full range of issues identified by its market study, or whether direct action by the CMA is likely to be required.

Media queries should be directed to:press@cma.gov.ukor 020 3738 6460.

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New regime needed to take on tech giants - GOV.UK