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United Airlines (UAL) 1Q 2024 earnings

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A United Airlines Boeing 737 Max 9 aircraft lands at San Francisco International Airport.

Justin Sullivan | Getty Images

United Airlines on Tuesday cut its aircraft-delivery expectations for the year as it grapples with delays from Boeing, the latest airline to face growth challenges because of the plane-maker’s safety crisis.

United expects to receive just 61 new narrow-body planes this year, down from 101 it said it had expected at the beginning of the year and contracts for as many as 183 planes in 2024.

“We’ve adjusted our fleet plan to better reflect the reality of what the manufacturers are able to deliver,” CEO Scott Kirby said in an earnings release. “And, we’ll use those planes to capitalize on an opportunity that only United has: profitably grow our mid-continent hubs and expand our highly profitable international network from our best in the industry coastal hubs.”

United said it plans to lease 35 Airbus A321neos in 2026 and 2027, turning to Boeing’s rival for new planes as the U.S. manufacturer faces caps on its production and increased federal scrutiny. In January, United said it was taking Boeing’s not-yet-certified Max 10 out of its fleet plan. The airline said it has converted some Max 10 planes for Max 9s.

It lowered its annual capital expenditure estimate to $6.5 billion from about $9 billion.

United is also facing a Federal Aviation Administration safety review, which has prevented some of its planned growth. A spokeswoman told CNBC earlier this month that the carrier will have to postpone its planned service from Newark, New Jersey, to Faro, Portugal, and service between Tokyo and Cebu, Philippines.

United earlier this month postponed its investor day, which was scheduled for May, “because our entire team is focused on cooperating with the FAA to review our safety protocols and it would simply send the wrong message to our team to have an exciting investor day focused primarily on financial results.”

The airline said it would have reported a profit for the quarter if not for a $200 million hit from the temporary grounding of the Boeing 737 Max 9 in January.

The FAA temporarily grounded those jets after a door plug blew out minutes into an Alaska Airlines flight, sparking a new safety crisis for Boeing and slowing deliveries of its planes to customers including United, Southwest and others.

The airline posted a net loss of $124 million, or a loss of 38 cents a share, in the first quarter compared with a $194 million loss, or 59 cents, a year earlier. Revenue rose nearly 10% in the first quarter compared with the year-earlier period to $12.54 billion, with capacity up more than 9% on the year.

Here’s what United reported in the first quarter compared with what Wall Street expected, based on average estimates compiled by LSEG:

  • Loss per share: 15 cents adjusted vs. a loss of 57 cents expected
  • Revenue: $12.54 billion vs. $12.45 billion expected

The airline expects to post earnings of between $3.75 and $4.25 in the second quarter, ahead of analysts’ estimates of about $3.76 a share. Airlines make the bulk of their profits in the second and third quarters, during peak travel season.

The carrier also reiterated its full-year earnings forecast of between $9 and $11 a share.

United’s shares were up more than 4% in after-hours trading on Tuesday.

United executives will hold a call with analysts at 10:30 a.m. ET on Wednesday.

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West Health-Gallup poll: American mental illness treated worse than physical

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Mental health takes a backseat to physical health in the U.S., according to a new survey about the American health care system. About 75% of respondents said mental health issues are identified and treated “somewhat worse” or “much worse” than physical ailments—despite 81% perceiving an increased incidence of mental illness in the last five years.

West Health, a national nonprofit centered on aging and health care, teamed up with Gallup to poll nearly 2,300 U.S. adults in February. The results were released Wednesday.

About 5% of respondents thought mental health issues are treated “somewhat better” or “much better,” and 15% thought mental and physical health issues are treated equally. 

The older the respondents, the more likely they were to think mental health issues are treated worse:

  • 18–29: 66%
  • 30–49: 76%
  • 50–64: 78%
  • 65+: 82%

“Many Americans struggle with mental and behavioral health conditions that often go unaddressed in the context of treating and managing other medical conditions,” West Health President Timothy Lash said in a news release. “Health systems, providers, caregivers, and patients themselves need to pay just as much attention to mental health as they grow older as they do their physical health. The two are inextricably linked and critical to overall health, aging successfully, and quality of life.”

Respondents were also asked whether they had had a mental health condition themselves within the past year. Those who said no were more likely to think mental health is treated worse than physical health, 79% compared to 72% of people who had experienced mental illness.

The U.S. health care system’s report card was poor, too, with a plurality of respondents giving it a D in dealing with mental health conditions:

  • A: 1%
  • B: 8%
  • C: 27%
  • D: 32%
  • F: 25%

People perceive skyrocketing mental health conditions in US

The vast majority of respondents said the number of Americans with mental health conditions, including depression and anxiety, has “increased some” or “increased a lot” compared to five years ago, 39% and 42%, respectively.

Women and people 50–64 were most likely to say incidence has increased, while men and people 30–49 were most likely to say it has stayed the same. Only 4% of all respondents said incidence has decreased.

Mental illness still clouded by stigma

The topic of mental illness may no longer be the taboo it was as recently as half a century ago, yet 70% of survey respondents felt society views people with mental health conditions “very negatively” or “somewhat negatively.” Just 6% said society doesn’t see them negatively at all.

Respondents who reported having a mental health disorder within the last year were more likely to say society has a negative opinion of people like them.

Adults 65 and older were most likely to think people frown upon mental illness, while young adults 18–29 were most likely to think society views mental illness more positively.

Cost of treatment major barrier to mental health care

Mental health treatment is too expensive. That’s the top factor respondents said would prevent them from seeking care for such a condition. Difficulty finding a provider was the second-most common reason. Respondents were allowed to select more than one reason; other choices included being able to deal with the condition without treatment, shame or embarrassment, and not thinking treatment would help.

People 18–29 and those who had recently had a mental health condition were most likely to say treatment is unaffordable. People 65 and older were least likely to say shame or embarrassment would prevent them from seeking treatment for a mental or emotional health condition. Respondents who hadn’t recently experienced mental illness were slightly more likely to say they could deal with such a condition without treatment.

“Effectively meeting the behavioral health needs of Americans and their families throughout the different stages of life requires providers, caregivers, policymakers, payers, and patients themselves work together to reduce barriers to care,” Lash said in the news release. “There are still sizable numbers of people not getting the treatment they need—a situation that may only worsen as the population ages. 

“Effective approaches, including integrated and person-centered models of behavioral health that deliver services through clinics or community-based organizations, should be more fully leveraged to ensure people are able to get the care they need when and where they need it.”

If you need immediate mental health support, contact the 988 Suicide & Crisis Lifeline.

For more on mental health:

Subscribe to Well Adjusted, our newsletter full of simple strategies to work smarter and live better, from the Fortune Well team. Sign up for free today.



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Warren Buffett’s shopping extravaganza kicks off with Squishmallows pit

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Squishmallows of Waren Buffett and Charlie Munger display at the Berkshire Hathaway Annual Shareholders Meeting at Omaha, Nevada on May 3, 2024.

Sarah Min | CNBC

OMAHA, Nebraska — Warren Buffett’s annual shopping event, the pregame to Berkshire Hathaway‘s annual meeting, is wowing shareholders flocking to Omaha this weekend.

With over 20,000 square feet of showroom space and more than 50,000 items of inventory, the exhibit hall in downtown Omaha at the CHI Health Center features goodies from various Berkshire’s holding companies, from Brooks Running to See’s Candies and Jazwares.

Only shareholders can participate at the event and they can buy items at a special discount.

The annual meeting will be exclusively broadcast on CNBC and livestreamed on CNBC.com. Our special coverage will begin Saturday at 9:30 a.m. ET.

Jazwares

Squishmallow pit at the Berkshire Hathaway Annual Shareholders Meeting in Omaha, Nevada on May 3, 2024.

Sarah Min | CNBC

Jazwares, the American toymaker best known for its Squishmallows plushie line, was a hit last year when it first displayed its wares at Berkshire Hathaway’s conference, including the debut of a Warren Buffett plushie. This year, the company expanded its exhibit in the convention hall, making it three times larger.

Displays at the Berkshire Hathaway Annual Shareholders Meeting in Omaha, Nevada on May 3, 2024. 

Sarah Min | CNBC

Some highlights include the latest Squishmallows toys for Buffett and Charlie Munger, a splashy Squishmallows pit, as well as other displays.

Poor Charlie’s Almanack

Charles Munger remembrance ahead of the Berkshire Hathaway Annual Shareholders Meeting at Omaha, Nevada on May 3, 2024.

Sarah Min | CNBC

The Bookworm only had one book to sell this year: “Poor Charlie’s Almanack: The Essential Wit and Wisdom of Charles T. Munger.” That was at the request of Buffett in honor of his business partner of more than 60 years, who passed away in November at the age of 99.

FlightSafety

Flight Safety at the Berkshire Hathaway Annual Shareholders Meeting in Omaha, Nevada on May 3, 2024. 

Sarah Min | CNBC

Berkshire acquired pilot training company FlightSafety in 1996. At Friday’s shopping event, the firm brought a taste of what its training program looks like for professional pilots. Shareholders lined up to put on virtual reality glasses and experience the flight simulation training.

Pilot Travel Centers

Pilot display ahead of the Berkshire Hathaway Annual Shareholders Meeting at Omaha, Nevada on May 3, 2024. 

Sarah Min | CNBC

Truck-stop giant Pilot Travel Centers put up a big display with a real-sized red truck. The firm is largest operator of travel centers in North America, with more than 750 locations. Berkshire now fully owns Pilot Travel after buying the remaining 20% ownership interest from the Haslam family. The deal was not without drama as the Haslams last year sued Berkshire in a complaint that accused the conglomerate of using so-called pushdown accounting without authorization from the family.

Duracell

Duracell display at the Berkshire Hathaway Annual Shareholders Meeting in Omaha, Nevada on May 3, 2024. 

Sarah Min | CNBC

In 2016, Warren Buffett’s Berkshire Hathaway bought Duracell from Procter & Gamble, offering the consumer giant $4.7 billion of the shares it owned in P&G in exchange for the battery maker.

Brooks Running

Displays at the Berkshire Hathaway Annual Shareholders Meeting in Omaha, Nevada on May 3, 2024. 

Sarah Min | CNBC

Brooks Running attracted a long line of shareholders snapping up the 2024 special edition of its running shoes with “brk” on the side and a cartoon of a running Buffett on the insoles. Many shareholders are also set to participate in the Brooks “Invest in Yourself” 5K fun run and walk on Sunday, the morning following the annual meeting.

Dairy Queen

Dairy Queen display at the Berkshire Hathaway Annual Shareholders Meeting in Omaha, Nevada on May 3, 2024. 

Sarah Min | CNBC

Warren Buffett bought Dairy Queen in 1998 in a roughly $600 million transaction, and has made trips to the Omaha locations with his great-grandchildren. According to The Wall Street Journal, the billionaire investor has said in the past that his favorite DQ order is a vanilla soft serve topped with chocolate syrup and malted milk power.



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Post Office lawyer accused of 'big fat lie'

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Former senior Post Office solicitor Jarnail Singh denies knowing about Horizon bugs in 2010.



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