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Walmart warns China tariffs will lead to higher prices in the U.S. – National

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Walmart warns China tariffs will lead to higher prices in the U.S. National

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NEW YORK — Walmart warned on Thursday that higher tariffs on imports from China will mean higher prices.

The comments came after the nation’s largest retailer reported its best sale performance at its established U.S. namesake stores for the fiscal first quarter in nine years. It marked 19 straight quarters of same-store sales gains.

“We’re monitoring the tariff discussions and are hopeful that an agreement can be reached,” said Chief Financial Officer Brett Biggs. But he told reporters, “Increased tariffs will lead to increased prices for our customers.”

READ MORE: ‘Fight to the finish’ — China vows to continue trade war as U.S. threatens $300B in tariffs

Walmart declined to comment on what type of price hikes shoppers could expect and which products would get the biggest increases. But the specter of higher prices was also echoed by Macy’s CEO Jeff Gennette. He told investors Wednesday that if a fourth round of tariffs takes effect, that could mean higher retail prices for both store label and national brands. Target, J.C. Penney and other major retailers will be reporting results in the next few days and should shed more light on the issue.

WATCH: Trump says China buys 6 times more worth of goods from U.S.





Walmart, Macy’s and other major retailers have been left largely unscathed by the first several rounds of tariffs since they focused more on industrial and agricultural products. But that changed last week when the Trump administration slapped 25% tariffs on imports like furniture. The administration wants to extend the 25% tariffs to practically all Chinese imports not already hit with levies including toys, shirts, household goods and sneakers. That’s roughly $300 billion worth of products on top of the $250 billion targeted earlier

Walmart and others have benefited from a continued strong economy and low unemployment, but shoppers continue to look for deals. In particular, Walmart’s core customers who live paycheck to paycheck would be particularly sensitive to any price increases. Still, Walmart has clout with its suppliers and is working with its manufacturing partners to mitigate the impact.

READ MORE: China’s Liu says trade negotiations with U.S. have not broken down

Such looming extra costs come as Walmart is investing more in its business to compete with online leader Amazon in a fight to see who can get packages to customers faster.

Walmart launched free next-day delivery on its most popular items this week in Phoenix and Las Vegas. It plans to roll out next-day delivery to most of the country by year-end, covering 220,000 popular items from diapers to toys, with a minimum order of $35. Walmart has said the costs for next-day delivery are lower versus two-day service because eligible items will come from a single fulfillment center located closest to the customer. This means orders will ship in one box, or in as few as possible, unlike two-day deliveries that come in multiple boxes from multiple locations.

The announcement was made two weeks after Amazon said it would upgraded its free shipping for members from the standard two-day delivery, to one day.

Walmart, based in Bentonville, Arkansas, said that U.S. sales at stores opened at least a year rose 3.4% during the fiscal first quarter, fueled by its grocery business.

WATCH: Tariff war between China and the United States





U.S. e-commerce business rose 37%, helped by strong sales in fashion and home goods. Walmart’s online growth was also fueled by its continued expansion of online grocery services, including curbside pickup and home delivery.

Walmart has about 2,450 stores that offer free grocery pickup for customers who shop online. It also has nearly 1,000 stores that offer same-day grocery delivery. The company said it was on track to offer same-day grocery delivery from 1,600 stores, while also offering grocery pickup from 3,100 stores by year-end.

READ MORE: China adds tariffs on $60 billion of U.S. goods in retaliation

Walmart’s Sam’s Clubs posted a 0.3% increase in same-store sales, excluding fuel.

Walmart is also testing innovative new ways to cut costs and make workers more efficient. It officially opened a lab in a Neighborhood Store , a smaller grocer concept, in Levittown, New York, that has thousands of cameras that mind the store and help keep track of items that need to be replenished. It’s hoping to scale some of the technology to other stores.

The company reported first quarter net income of $3.84 billion, or $1.33. Earnings, adjusted for non-recurring gains, came to $1.13 per share. That beat per-share earnings projections by 11 cents, according to a survey of industry analysts by Zacks Investment Research.

Revenue was $123.93 billion, missing forecasts for $125.33 billion. Excluding currency impacts, Walmart’s revenue rose 2.5 percent to $125.8 billion.

Walmart Inc. stuck to its outlook for the year. Shares rose $2.81, or nearly 3%, to $102.61 in afternoon trading.



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FOREIGN NEWS

Catholic Bishops react to military coup in Mali

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Catholic Bishops react to military coup in Mali

Contrary to the expectations of the people, the leadership of the Episcopal Conference of Mali (CEM) has termed the Tuesday, August 18 military coup in the West African nation as “regrettable” and “a big failure for our democracy” and called for a change of mentality if the country has to put an end to coups.

In an interview with ACI Africa Wednesday, August 19, made available to RECOWACERAO NEWS AGENCY, RECONA, the President of CEM, Bishop Jonas Dembélé said that the governance challenges the country is facing can be managed through dialogue.

“The military coup that led to the ousting of President Ibrahim Boubacar Keïta is regrettable because we are in a state of law and democracy. This is the second time that Mali has had a military coup as a result of the way in which the country is governed. It is a big failure for our democracy even if there were reasons for it,” Bishop Dembélé told ACI Africa.

“It is true that our country has serious challenges including bad governance, the poor management of the economy, corruption, insecurity and so on,” Bishop Dembélé said and probed, “Why is it that we Malians have not managed to engage in dialogue to be able to discuss these problems and face up to these challenges responsibly?”

“Our leaders, our people lack transparency, they hate those who speak the truth and advocate for good governance. This mentality must change for our country to move on,” the Prelate told ACI Africa August 19.

Bishop Dembélé who is a frontline member of RECOWA-CERAO urged the military officials “to ensure a return to democracy as promised but most especially ensuring the new leadership of the country put the people first and tackle the security challenges facing the nation.”

Asked about the role of the Church in the current crisis, the 57-year-old Prelate noted, “For us the Catholic Church in Mali, our role is to preach peace; our role is to preach dialogue. We shall continue in this path of dialogue for peace just like Cardinal Jean Zerbo and some religious leaders initiated.”

“In a state of law, power is not in the hands of certain individuals but to the people. The anger of our people led to this crisis, but we must work for peace and reconciliation in Mali,” Bishop Dembélé said.

He continued in recollections, “The Bishops in Mali have always issued messages before every election in our country sounding the alert and inviting the government to organize transparent elections, ensure good governance and better management of resources.”
“But it seems our messages are never taken into consideration that is why we find ourselves in this situation today,” the Local Ordinary of Kayes Diocese told ACI Africa and added, “If the opinion of the Episcopal Conference of Mali is needed to mediate in bringing back stability and peace in the country, then we are ready.”

As a way forward, the Bishop urged the people of God in Mali to “seek the path to conversion” and to accept dialogue in the spirit of truth and honesty.
“We all want change in our

country, but this change can only be possible if individually we seek the path to conversion. It is for Malians be they Muslims or Christians or members of traditional religion, to do an examination of conscience and accept personal and community conversion in order to engage in sincere dialogue,” he said.

The Malian Prelate added, “Now there is this coup d’état to demand change we really wonder where change should come from. As long as we don’t change our behavior, our mentality, we will always have a repeat of the current situation.”

On Tuesday, August 18, President Keita announced his resignation and dissolved parliament hours after mutinying soldiers detained him at gunpoint, Aljazeera reported.
“For seven years, I have with great joy and happiness tried to put this country on its feet. If today some people from the armed forces have decided to end it by their intervention, do I have a choice? I should submit to it because I do not want any blood to be shed,” President Keita said August 18 during the televised address to the nation.

Rev. Fr. George Nwachukwu
RECOWACERAO NEWS AGENCY, RECONA

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Harris accepts VP nomination

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Harris accepts VP nomination

Senator Kamala Harris formally accepted the Democratic nomination for vice president on Wednesday following a scathing speech by former President Barack Obama, who said the fate of the nation” depends entirely on the outcome of this election.”

Both Mr. Obama and Harris stressed the importance of voting, with Harris saying “we’re all in this fight together.” Harris sounded an optimistic note by highlighting her personal history and the promise of America, saying she was “so inspired by a new generation.”

“Make no mistake, the road ahead will not be not easy,” she said. “We will stumble. We may fall short. But I pledge to you that we will act boldly and deal with our challenges honestly. We will speak truths. And we will act with the same faith in you that we ask you to place in us.” She called Mr. Trump a “predator” in a speech that came after Mr. Obama issued his most forceful rebuke of his successor to date, saying Mr. Trump “hasn’t grown into the job because he can’t.”

“This president and those in power — those who benefit from keeping things the way they are — they are counting on your cynicism,” Mr. Obama said. “They know they can’t win you over with their policies. So they’re hoping to make it as hard as possible for you to vote, and to convince you that your vote doesn’t matter.

That’s how they win. That’s how they get to keep making decisions that affect your life, and the lives of the people you love. That’s how the economy will keep getting skewed to the wealthy and well-connected, how our health systems will let more people fall through the cracks. That’s how a democracy withers, until it’s no democracy at all.”

Mr. Obama and Hillary Clinton, speaking earlier in the night, both said they had hoped Mr. Trump would rise to the occasion. But they both stressed what they called his failures while in office, with Mr. Obama saying Mr. Trump has shown “no interest in treating the presidency as anything but one more reality show that he can use to get the attention he craves.”

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Mali coup leaders vow to hold elections as history repeats itself

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Mali coup leaders vow to hold elections as history repeats itself

The Malian soldiers who forced President Ibrahim Boubacar Keita to resign in a coup promised early Wednesday to organize new elections after their takeover was swiftly condemned by the international community.

In a statement carried overnight on state broadcaster ORTM, the mutinous soldiers who staged Tuesday’s military coup identified themselves as the National Committee for the Salvation of the People led by Colonel Major Ismael Wagué.

“With you, standing as one, we can restore this country to its former greatness,” Wagué said, announcing that borders were closed and that a curfew was going into effect from 9 p.m. to 5 a.m

The news of Keita’s departure was met with jubilation by anti-government demonstrators in the capital, Bamako, and alarm by former colonial ruler France and other allies and foreign nations.

The U.N. Security Council scheduled a closed meeting Wednesday August 19, 2020 afternoon to discuss the unfolding situation in Mali, where the U.N. has a 15,600-strong peacekeeping mission. Keita, who was democratically elected in a 2013 landslide and re-elected five years later, still had three years left in his term.

But his popularity had plummeted, and demonstrators began taking to the streets calling for his ouster in June.

West African regional bloc ECOWAS had sent mediators to try and negotiate a unity government but those talks fell apart when it became clear that the protesters would not accept less than Keita’s resignation.

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