Business
After repeated delays, Starliner finally blasts into space
Beoing’s Starliner capsule with two astronauts aboard was finally launched into space Wednesday after a series of delays that have vexed the troubled aerospace giant.
The test flight of the crew ship, developed to service the International Space Station, took off as scheduled at 7:52 a.m. Pacific from the Cape Canaveral Space Force Station in Florida.
The capsule reached orbit after 32 minutes of flight and is expected to dock with the station around 9:15 a.m. Pacific tomorrow. It’s the first time the capsule has carried astronauts after two prior uncrewed test flights.
The last scheduled launch of the CST-100 Starliner, which is years behind SpaceX in servicing the space station, was halted Saturday less than four minutes before liftoff by the ground computer that controls the final steps of the process. The problem was traced to a faulty computer power supply unit that was replaced.
The capsule was originally set to blast off May 6, but that flight was scuttled hours before liftoff because of a malfunctioning valve on the Atlas V rocket that launches it into space. The Atlas V, considered a reliable workhorse, is manufactured by United Launch Alliance, a joint venture of Boeing and Lockheed Martin.
Additional launch dates were missed last month after a helium leak was found in the Starliner’s propulsion system, which maneuvers the capsule. NASA and Boeing officials decided the leak was not serious enough to replace a defective seal, which would have taken months, and instead developed software fixes to work around it.
“For all practical purposes, SpaceX has become the player in the launch market. It’s never good to have a monopoly,” said aerospace analyst Marco Caceres of Teal Group, who applauded the flight’s initial success. “The best Boeing can hope for now is that they remain a player in this segment of the market.”
The 15-foot diameter capsule is only the sixth spacecraft that NASA astronauts have ridden since the dawn of the space age, the first being the Project Mercury capsule and the most recent being SpaceX’s Crew Dragon.
Veteran astronauts Butch Wilmore and Suni Williams, who have previously flown to the space station, are expected to spend about a week testing the capsule before returning to Earth mid-month.
The capsule will touch down in the Arizona or New Mexico desert in a parachute ground landing pioneered by the Soviets decades ago, rather than the ocean landings typical of U.S. space flights. Ground landings make it easier to refit the reusable capsule for future missions, though Starliner also can land in water in an emergency.
The flight, also carrying 760 pounds of cargo to the space station, is critical for the Arlington, Va., aerospace company, which is far behind SpaceX in launching a crewed capsule to service the space station.
Both companies were given multibillion-dollar contracts in 2014 to develop their crafts, and since 2020 Elon Musk’s Hawthorne company has ferried more than a half dozen crews aboard its Crew Dragon to the station — while Boeing has managed only two remote flights, including one in May 2022 that docked with the orbiting lab.
The companies were chosen by NASA after the agency has had to rely on the Russian program to send U.S. astronauts to the station when the space shuttle program ended in 2011. Assuming the Starliner mission goes well, it would then be certified to send four-person operational crews to the station for six-month missions. NASA would then have two U.S. spacecraft to service the station, but it also plans to continue to send some American astronauts via the Russian Soyuz craft.
Russia and the U.S. were the primary builders of the space station, and play critical roles in keeping it aloft.
Boeing has reportedly had to eat $1.5 billion in Starliner cost overruns and can ill afford a failure, especially after two crashes of its 737 Max 8 jets and the blowout of a door plug during a 737 Max 9 flight this year to Ontario International Airport in San Bernardino County.
Business
Heidi O’Neill, Formerly of Nike, Will Be New Lululemon’s New CEO
Lululemon, the yoga pants and athletic clothing company, has hired a former executive from a rival, Nike, as its new chief executive.
Heidi O’Neill, who spent more than 25 years at Nike, will take the reins and join Lululemon’s board of directors on Sept. 8, the company announced on Wednesday.
The leadership change is happening during a tumultuous time for Lululemon, which had grown to $11 billion in revenue by persuading shoppers to ditch their jeans and slacks for stretchy leggings. But lately, sales have declined in North America amid intense competition and shifting fashion trends, with consumers favoring looser styles rather than the form-fitting silhouettes for which Lululemon is best known.
“As I step into the C.E.O. role in September, my job will be to build on that foundation — to accelerate product breakthroughs, deepen the brand’s cultural relevance, and unlock growth in markets around the world,” Ms. O’Neill, 61, said in a statement.
Lululemon, based in Vancouver, British Columbia, has also been entangled in a corporate power struggle over the company’s future. Its billionaire founder, Chip Wilson, has feuded with the board, nominated independent directors and criticized executives.
Lululemon’s previous chief executive, Calvin McDonald, stepped down at the end of January as pressure mounted from Mr. Wilson and some investors. One activist investor, Elliott Investment Management, had pushed its own chief executive candidate, who was not selected.
The interim co-chiefs, Meghan Frank and André Maestrini, will lead the company until Ms. O’Neill’s arrival, when they are expected to return to other senior roles. The pair had outlined a plan to revive sales at Lululemon, promising to invest in stores, save more money and speed up product development.
“We start the year with a real plan, with real strategies,” Mr. Maestrini said in an interview this year. “We make sure decisions are made fast.”
Lululemon said last month that it would add Chip Bergh, the former chief executive of Levi Strauss, to its board to replace David Mussafer, the chairman of the private equity firm Advent International, whom Mr. Wilson had sought to remove.
Ms. O’Neill climbed the organizational chart at Nike for decades, working across divisions including consumer sports, product innovation and brand marketing, and was most recently its president of consumer, product and brand. She left Nike last year amid a shake-up of senior management that led to the elimination of her role.
Analysts said Ms. O’Neill would be expected to find ways to energize Lululemon’s business and reset the company’s culture in order to improve performance.
“O’Neill is her own person who will come with an agenda of change,” said Neil Saunders, the managing director of GlobalData, a data analytics and consulting company. “The task ahead is a significant one, but it can be undertaken from a position of relative stability.”
Business
Angry Altadena residents ask officials to halt Edison’s undergrounding work
Eaton wildfire survivors’ anger about Southern California Edison’s burying of electric wires in Altadena boiled over Tuesday with residents calling on government officials to temporarily halt the work.
In a letter to the Los Angeles County Board of Supervisors, more than 120 Altadena residents and the town’s council wrote that they had witnessed “manifest failures” by Edison in recent months as it has been tearing up streets and digging trenches to bury the wires.
The residents cited the unexpected financial cost of the work to homeowners and possible harm to the town’s remaining trees. They also pointed out how the work will leave telecommunication wires above ground on poles.
“The current lack of coordination is compounding the stress of a community still reeling from the Eaton Fire, and risks causing further irreparable harm,” the residents wrote.
The council voted unanimously Tuesday night to send the letter.
Scott Johnson, an Edison spokesman, said Wednesday that the company has been working to address the concerns, including by looking for other sources of funds to help pay for the homeowners’ costs.
“We recognize this community has already faced a number of challenges,” he said.
Johnson said the company will allow homeowners to keep existing overhead lines connecting their homes to the grid if they are worried about the cost.
Edison’s crews, Johnson said, have also been trained to use equipment that avoids roots and preserves the health of trees.
The utility has said that burying the wires as the town rebuilds thousands of homes destroyed in the fire will make the electrical grid safer and more reliable.
But anger has grown as work crews have shown up unexpectedly and residents learned they’re on the hook to pay tens of thousands of dollars to connect their homes to the buried lines.
Residents have also found the crews digging under the town’s oak and pine trees that survived last year’s fire. Arborists say the trenches could destroy the roots of some of the last remaining trees and kill them.
Amy Bodek, the county’s regional planning director, recently warned Edison that a government ordinance protects oak trees and that “utility trenching is not exempt from these requirements.”
Residents have also pointed out that in much of Altadena, the telecom companies, including Spectrum and AT&T, have not agreed to bury their wires in Edison’s trenches. That means the telecom wires will remain on poles above ground, which residents say is visually unappealing.
“While our community supports the long-term benefits of moving utilities underground, the current execution by SCE is placing undue financial and planning burdens on homeowners, causing irreparable harm to our heritage tree canopy, and proceeding without adequate local oversight,” the residents wrote.
They want the project halted until the problems are addressed.
Edison announced last year that it would spend as much as $925 million to underground and rebuild its grid in Altadena and Malibu, where the Palisades fire caused devastation.
The work — which costs an estimated $4 million per mile — will earn the utility millions of dollars in profits as its electric customers pay for it over the next decades.
Pedro Pizarro, chief executive of Edison International, told Gov. Gavin Newsom last year that state utility rules would require Altadena and Malibu homeowners to pay to underground the electric wire from their property line to the panel on their house. Pizarro estimated it would cost $8,000 to $10,000 for each home.
But some residents, who need to dig long trenches, say it will cost them much more.
“We are rebuilding and with the insurance shortfall, our finances are stretched already,” Marilyn Chong, an Altadena resident, wrote in a comment attached to the letter. “Incurring the additional burden of financing SCE’s infrastructure is not something we can or should have to do.”
Other fire survivors complained of Edison’s lack of planning and coordination with residents.
“I’ve started rebuilding, and apparently there won’t be underground power lines for me to connect with in time when my house will be done,” wrote Gail Murphy. “So apparently I’m supposed to be using a generator, and for how long!?”
Johnson said the company has set up a phone line for people with concerns or questions. That line — 1-800-250-7339 — is answered Monday through Saturday, he said.
Residents can also go to Edison’s office in Altadena at 2680 Fair Oaks Avenue. The office is open Monday to Friday from 8 to 4:30.
It’s unclear if the Eaton fire would have been less disastrous if Altadena’s neighborhood power lines had been buried.
The blaze ignited under Edison’s towering transmission lines that run through Eaton Canyon. Those lines carry bulk power through the company’s territory. In Altadena, Edison is burying the smaller distribution lines, which carry power to homes.
The government investigation into the cause of the fire has not yet been released. Pizarro has said that a leading theory is that a century-old transmission line, which had not carried power for 50 years, somehow re-energized to spark the blaze.
The fire killed at least 19 people and destroyed more than 9,400 homes and other structures.
Business
Oil Prices Rise as Investors Weigh Cease-Fire Extension
Oil prices rose and stocks moved slightly higher on Wednesday as investors tried to make sense of President Trump’s decision to extend the cease-fire with Iran despite doubts about the status of another round of peace talks.
An adviser to Mohammad Bagher Ghalibaf, the influential speaker of the Iranian Parliament, dismissed the cease-fire announcement, saying that it had “no meaning.” He equated the U.S. naval blockade with bombings, with commercial vessels coming under attack near the Strait of Hormuz, the crucial shipping lane that has been at the center of a growing energy crisis.
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