Business News

Serta Simmons' plan to fight Casper: Buy Tuft & Needle

Serta Simmons' plan to fight Casper: Buy Tuft & Needle

NEW YORK (CNNMoney) - Mattress makers are consolidating as digital upstarts threaten to upend their business.Serta Simmons Bedding, the company behind Serta, Beautyrest and Tomorrow mattresses, ann ... Continue Reading
Cannabis stocks soar to new highs

Cannabis stocks soar to new highs

NEW YORK (CNNMoney) - Cannabis stocks have been soaring since the maker of Corona beer boosted its investment in Canadian cannabis company Canopy Growth by $4 billion. Rival Cronos Group has soared ... Continue Reading
Uber finally hires a chief financial officer as it preps for IPO

Uber finally hires a chief financial officer as it preps for IPO

NEW YORK (CNNMoney) - Uber finally hired a chief financial officer to help it go public in 2019.On Tuesday, the ride-share company announced that Nelson J. Chai will fill a role that has been vacan ... Continue Reading
Tesla wouldn't be as private as Elon Musk wants

Tesla wouldn't be as private as Elon Musk wants

NEW YORK (CNNMoney) - Even if Elon Musk takes Tesla private, its finances might stay public.The SEC can still require a company to report its results, even if it doesn't have publicly traded stock. ... Continue Reading
The rise of diversity and inclusion jobs

The rise of diversity and inclusion jobs

NEW YORK (CNNMoney) - Earlier this year, Uber hired its first ever chief diversity officer, following a string of sexual harassment claims and other PR crises for the brand. Last month, after a year p ... Continue Reading
Toll Brothers' record shows the housing boom has no end in sight

Toll Brothers' record shows the housing boom has no end in sight

NEW YORK (CNNMoney) - Unemployment keeps falling and home prices keep going up. It's a great recipe for a strong housing market.Nothing has been able to stop the housing boom -- not even higher int ... Continue Reading
Goldman Sachs will pay for mothers to ship breast milk home

Goldman Sachs will pay for mothers to ship breast milk home

LONDON (CNNMoney) - Mothers working for Goldman Sachs will no longer have to pump and dump on the road.The investment bank will now pay for women to ship breast milk home when they're traveling for ... Continue Reading
What killed coal? Technology and cheaper alternatives

What killed coal? Technology and cheaper alternatives

NEW YORK (CNNMoney) - Coal is dying because of dirt-cheap natural gas. The rise of renewable energy isn't helping.The Environmental Protection Agency announced Tuesday an effort to prop up coal by ... Continue Reading
WhatsApp's new CEO meets Indian officials after lynchings

WhatsApp's new CEO meets Indian officials after lynchings

NEW DELHI (CNNMoney) - WhatsApp has rolled out a slew of features designed to prevent mob violence in India. But officials there say the company needs to do even more.The Facebook-owned messaging a ... Continue Reading
How Costco thrives in the Amazon era

How Costco thrives in the Amazon era

NEW YORK (CNNMoney) - Retailers around the world are radically reshaping their strategies to contend with Amazon. Costco has a different tactic: Perfect what's been working for four decades.Costco ... Continue Reading
JPMorgan Chase will offer free online trades to customers

JPMorgan Chase will offer free online trades to customers

NEW YORK (CNNMoney) - There's a new 800-pound gorilla in the world of free online stock trading: JPMorgan Chase, the nation's largest bank.The new service, which JPMorgan plans to launch next week, ... Continue Reading
Maersk to send first container ship through Arctic

Maersk to send first container ship through Arctic

HONG KONG (CNNMoney) - The world's biggest shipping company is about to try out a new route.Denmark's Maersk said Tuesday it plans to send the first container ship from East Asia to Europe via the ... Continue Reading
How Brexit could smash the British pound a second time

How Brexit could smash the British pound a second time

LONDON (CNNMoney) - Brexit has already slammed the pound once. It could happen again.The currency would be put under severe pressure if Britain crashes out of the European Union next year without s ... Continue Reading
Australia has a lot to lose in the US-China trade war

Australia has a lot to lose in the US-China trade war

HONG KONG (CNNMoney) - One country could lose more than most from the trade war between the United States and China. Australia risks getting caught in the crossfire as the world's two biggest econo ... Continue Reading
Trump criticizes Powell; Stocks steady; Kohl's earnings

Trump criticizes Powell; Stocks steady; Kohl's earnings

LONDON (CNNMoney) - 1. Trump on the Fed: President Donald Trump has again criticized Federal Reserve Chairman Jerome Powell over his handling of monetary policy.In an interview with Reuters, Trump ... Continue Reading
Google's data collection is hard to escape, study claims

Google's data collection is hard to escape, study claims

SAN FRANCISCO (CNNMoney) - Short of chucking your phone into the river, shunning the internet, and learning to read paper maps again, there's not much you can do to keep Google from collecting data ab ... Continue Reading
Arianna Huffington won't let Elon Musk off the hook, says he must recharge

Arianna Huffington won't let Elon Musk off the hook, says he must recharge

NEW YORK (CNNMoney) - Arianna Huffington isn't buying Elon Musk's line about being too busy to sleep.The two high-profile entrepreneurs continued their running debate on the merits of catching more ... Continue Reading
Trump goes after the Fed again: 'I should be given some help'

Trump goes after the Fed again: 'I should be given some help'

WASHINGTON (CNNMoney) - President Donald Trump is chastising the Federal Reserve chairman yet again.In an interview with Reuters, Trump said he is "not thrilled" with Fed Chairman Jerome Powell for ... Continue Reading
Amazon hires star cardiologist as it pushes deeper into health care

Amazon hires star cardiologist as it pushes deeper into health care

NEW YORK (CNNMoney) - Amazon has hired a top cardiologist as it broadens its involvement in the health care industry.Maulik Majmudar, who is also associate director of the Healthcare Transformation ... Continue Reading
How much trouble is Elon Musk in?

How much trouble is Elon Musk in?

NEW YORK (CNNMoney) - Tesla and Elon Musk have always made big promises. Now those promises could cause big problems.

The reason is simple: When companies make promises, shareholders count on them. And when companies fail to deliver, it can cause legal trouble.

The Securities and Exchange Commission is reportedly looking at Musk's tweet earlier this month that he had "funding secured" to take Tesla private. Musk's surprise announcement briefly sent the stock soaring.

Musk later explained that he was talking about a meeting he had had with officials of the Saudi sovereign wealth fund. He said he left the meeting with "no question" that a deal could be closed.

But he gave no indication - and still hasn't - that he had "secured" funding.

Regulators are reportedly looking at other Tesla promises, too.

The Wall Street Journal reported Friday that the SEC has subpoenaed a Tesla parts supplier in a probe into whether it misled investors last year about production of the Model 3, Tesla's least expensive electric car.

Musk originally projected the company would turn out 1,500 of them in the third quarter of last year, but it built only 260. Tesla expected to ramp up to 5,000 per week by the end of 2017, but it took six months longer.

It's possible the SEC inquiries result in no sanctions. But Musk could face a range of penalties if the SEC determines he was purposely deceptive in his tweet, or his predictions about the Model 3.

Those penalties range from a slap on the wrist to a fine to a ban on serving as an officer of a publicly traded company. The ban could be temporary or permanent, though experts say the latter is extremely unlikely.

"The SEC wants cases where the deception is black-and-white," said Brad Bennett, a securities lawyer who was formerly director of enforcement for the Financial Industry Regulatory Authority. "It doesn't want a case where things that turn on his selection of vocabulary."

Those are all civil penalties. Criminal charges are reserved for officers who are accused of repeatedly and willfully presenting false information.

But even if the SEC doesn't find he crossed the line, Musk and Tesla face legal problems from shareholder suits.

Investors have already filed two lawsuits against Tesla over Musk's "funding secured" tweet.

And a class-action suit filed by investors in federal court last year questions the Model 3 projections.

Tesla argues in that case that the Model 3 forecasts were within reach at the time, and that it even warned the task would be difficult. Tesla is seeking to have the suit thrown out; a hearing is set in San Francisco for the end of this month.

Beyond the legal problems, Tesla is at risk of losing some potential customers who are apparently frustrated with the company's failure to keep its promises.

Customers have to put down a refundable $1,000 deposit to reserve a Model 3, then pay $2,500 more when the time comes to choose the specific version they want to buy.

More than 300,000 customers put down the deposits during the first week that Tesla accepted orders, in April 2016. Now customers are increasingly seeking refunds, according to Rajvindra Gill, an analyst for Needham & Co.

Tesla denied a claim by Gill that refunds were outpacing new deposits for the Model 3. And this month it reported that the amount of money held on deposit from customers rose during the second quarter, suggesting that new orders are still increasing.

Tesla declined to comment on the reports of the various SEC probes, as did the agency.

- CNNMoney's Jordan Valinsky contributed to this report.