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CONWAY GITTENS: I'm Conway Gittens reporting from the New York Stock Exchange. This is what we are seeing today on TheStreet.
stocks are coming off a six-week winning streak, the longest in 2024. Wall Street is gearing up for one of the busiest weeks of earnings season yet. Some 112 S&P 500 companies will publish their results. Meanwhile, Walt Disney is in the news this Monday. James Gorman, former CEO of Morgan Stanley, has been named the new chairman of the board. A CEO to replace Bob Iger won't arrive until 2026.
Moving on to other corporate headlines… It could be a watershed moment for Boeing. The 33,000 machinists who have been on strike for more than a month have to vote on a new contract proposal. If Boeing can get this contract approved, it will be able to get factories back up and running and stop losing about $1 billion a month.
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This latest offer comes with a 35 percent salary increase over four years. It also comes with a $7,000 confirmation bonus plus a one-time deposit of $5,000 into each worker's 401K plan. Additionally, Boeing has agreed to contribute up to 12 percent to retirement accounts. The new package is expected to add more than $1 billion in additional labor costs for Boeing.
The union was fighting for a 40 percent pay increase and the reinstatement of a traditional defined benefit pension plan. Some analysts covering the stock fear that the offer, while better than the previous one, is still not good enough to convince the machinists to return to work. The International Association of Machinists and Aerospace Workers did not explicitly endorse this latest offer, but did tell workers that it “deserves our consideration.”
Related: Boeing makes tough decision to repair finances amid strike
Even if workers returned to factories this week, one analyst noted that it will take an average of 6 to 12 months after the strike ends for Boeing to return to full production levels.
That will be enough for your daily report. From the New York Stock Exchange, I'm Conway Gittens of TheStreet.
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