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Chesto means business
Thinking globally while acting locally:As global trade becomes one of the biggest issues facing the federal government, it’s emerging as an important topic on Beacon Hill as well. House and Senate leaders just created a new committee focused on export development as a way to do more for the Massachusetts manufacturers that contribute to the state’s $25 billion annual export market. Senator Eileen Donoghue and Representative Lori Ehrlich will lead the committee. Donoghue is familiar with the business community from her tenure as head of the economic development committee, while Ehrlich can draw from her long career as a CPA.
To some extent, the committee grew out of meetings that legislative leaders have been having with their counterparts in Quebec. (Canada happens to be the biggest market for Massachusetts exports.) It also reflects the Massachusetts Competitive Partnership’s advocacy for a bigger state focus on trade.
Cynics might wonder what state government can do to address a portion of the economy often dictated by federal policies and foreign affairs. But it’s a reasonable question, and one that Ehrlich and Donoghue will try to answer as they explore ways state government can make life easier for local exporters.
The Trump administration is shaking up the trade game on the national level, with talk of new import taxes to help domestic manufacturers. In theory, that should benefit companies that export. But such moves could prompt trading partners to reciprocate. With the uncertainty in Washington, it’s a good time for exporters to have some allies on Beacon Hill.
Jon Chesto is a Globe reporter. Reach him at jon.chesto@globe.com and follow him on Twitter @jonchesto.
Executive summary
Fidelity to offer buyouts: Cost-cutting helped Fidelity Investments report record annual profit earlier this month. The expense-containment drive will continue, with the mutual fund giant now preparing to offer employees a voluntary buyout package , according to three people briefed on the plan.
We don't know how many people the Boston-based company wants to entice into leaving. But the packages are said to be generous, with employees age 55 or older and at least 10 years on the job getting several weeks of severance pay for each year of service, as well as health care coverage for 18 months.
Fidelity said that it had no announcement to make Monday.
The buyout offer comes less than two weeks after Fidelity reported record revenue and operating income for 2016.
GE likes its global positioning: General Electric Co. sees itself as a worldwide company, and so it's with good reason that chief executive Jeff Immelt, in a letter to shareholders, isn't embracing the policies of protectionism promoted by President Donald Trump.
It’s hard to argue with GE’s global success. Seventeen years ago, the company was doing about 70 percent of its business in the United States. Today, that number is closer to 40 percent, with GE selling $20 billion worth of exports each year abroad.
There was also mention of GE’s Boston move in Immelt's letter. “Boston will make GE hungrier, smarter, and better,” he wrote.
Targeting a new approach: Arrakis Therapeutics, a Waltham biotech, will use $38 million in venture capital financing to seek a new way to tackle disease.
From our colleagues at STAT: With new CEO Michael Gilman at the helm, Arrakis will seek to “attack the RNA molecules that direct protein production in the first place.”
It’s an area of opportunity, which as Gilman points out is what startups are all about “to coalesce around these interesting ideas that are maybe too risky for pharma to invest in.”
Qatar is on company’s radar: Raytheon has landed a $1.07 billion contract to create an early detection radar system for Qatar.
From Boston Business Journal: The radar system for the Persian Gulf country will be built in the defense contractor’s Woburn plant. It is scheduled to be completed by June 30, 2021.
It’s not the first major contract that the Waltham-based company has won in Qatar. In 2014, Raytheon won a $2.4 billion contract to build a Patriot missile defense system.
Putting the win in East Windsor: Two tribes in Connecticut are betting on East Windsor to help them protect their casino brands. The move, announced Monday, is a direct response to the two Massachusetts casinos being built in Springfield and Everett.
From the Hartford Courant: The Mashantucket Pequots, which operates Foxwoods, and the Mohegans, which operates Mohegan Sun, have selected East Windsor for a third facility, a $300 million casino 0n what was the site of a movie theater.
The casino is not a done deal because it still needs legislative approval before moving ahead. MGM, which is building the Springfield, is expected to fight the Connecticut expansion because it's not on tribal lands.
Trending pick
Power shortage: It's been a tough few weeks for Tesla, the electric car maker. Things got worse on Monday when a Goldman Sachs analystdowngraded its stock from "neutral" to "sell" based on how much cash the company is using in its launch of Model 3 dropping its stock by a little more than 4 percent to $246.23 per share.
Line items
Trump gives marching orders:
Wants $54 billion in new military spending -- New York Times
Is anyone nostalgic for BlackBerry?:
Licensing companies are hoping the answer is yes -- Wall Street Journal
Apple of Buffet's eye:
Berkshire Hathaway owns $18 billion stake -- Financial Times
Janitor cleans up in salary:
He made $270,000 in one year -- Washington Post
ICYMI
Nothing to sneeze at: Anyone who knows someone with severe allergies knows it can be difficult — nearly impossible — to enjoy dinner out or a potluck at a friend’s house. For some people, they are literally taking their lives in their hands.
As reported in this morning’s Globe, several Boston startups are looking to change that by seeking “non-medical alternatives to help allergy sufferers better maneuver through life.”
In one instance, Allergy Amulet is working in a Lowell laboratory on development of a wearable device the would detect allergens in food. In another, engineers at Widzy in Boston are working on gaming apps to teach children techniques in using an Epi-pen and inhalers.
The ideas aren’t without controversy, including whether the companies are taking advantage of people who suffer from allergies. There’s been pushback to some of the prices charged by companies for allergy-related products and there is some concern about the liability for a company that offers a detection product that doesn’t live up to its claims.
This Talking Points newsletter is compiled by George Brennan. Follow George on Twitter at @gpb227. If you liked what you've read, please tell your friends to sign up.