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Amazon Repackaging of Shipping Services Fuels UPS, FedEx Selloff · Bloomberg Intelligence

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  Speaker 1: Bloomberg Audio Studios, podcasts, radio news. You're listening to the
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  Speaker 2: All right, one of the most read stories on the
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  Speaker 2: Bloomberg terminally today impacts some of these FedEx ups and
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  Speaker 2: some of these shipping companies. US transportation stocks plunged Monday
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  Speaker 2: after Amazon dot Com announced expanded logistics offering. Amazon will
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  Speaker 2: offer freight distribution and fulfillment and parcel shipping to businesses
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  Speaker 2: beyond Amazon sellers, including companies such as three M and
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  Speaker 2: lands Ed. Wow, that's a change, Lee Clascal. He covers
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  Speaker 2: all the logistics companies here, including the fedex'es and the
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  Speaker 2: UPS's of the world. Are this seems like a big announcement.
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  Speaker 2: Lead put it into context for us?
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  Speaker 3: Yeah, Actually, you know, it's pretty interesting the mark reaction.
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  Speaker 3: Amazon has been kind of doing this quietly. A lot
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  Speaker 3: of the services that they announced that they're going to
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  Speaker 3: be offering for quite some time, for two or three
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  Speaker 3: years now. I guess they're you know, making an official
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  Speaker 3: push that they're trying to get broader or cast a
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  Speaker 3: wider net in terms of the customers that they can reach.
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  Speaker 3: You know, we would say for the freight transportation, well
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  Speaker 3: the sky really isn't falling. Yes, Amazon will be a competitor,
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  Speaker 3: but we expect that the things that they're going to
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  Speaker 3: go after might not be the high margin businesses that
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  Speaker 3: the Fedexes and the UPS's of the world we're going after,
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  Speaker 3: and it's going to be felt by you know, freight
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  Speaker 3: forwarders such as like companies like Expediters or DSV and
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  Speaker 3: also also folks in the warehousing and distribution a business
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  Speaker 3: like a GXO.
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  Speaker 4: Yeah, but Amazon doesn't just stop there, right, I mean,
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  Speaker 4: it may start there and then eventually it's going to
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  Speaker 4: continue building out this logistics business.
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  Speaker 5: How long do we think that'll take.
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  Speaker 3: Yeah, So they're already offering these services, and what they
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  Speaker 3: tend to do is they go into a market because
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  Speaker 3: they want to reduce their costs to serve their cost
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  Speaker 3: to do their core competency their main businesses, which obviously
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  Speaker 3: at the Amazon dot Com business. So what they're trying
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  Speaker 3: to do is really take the excess capacity the expertise
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  Speaker 3: that they have that they've built, doing things in house
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  Speaker 3: and kind of be able to lower the like I said,
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  Speaker 3: lower the average costs. How long will it take? I mean,
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  Speaker 3: it really depends on what they're going after. We don't
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  Speaker 3: think they're like a huge threat to the lesson truckload market.
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  Speaker 3: We think that, you know, for commoditized freight. Yes, they
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  Speaker 3: can make inroads into the brokersion freight forwarding businesses, but
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  Speaker 3: you know those businesses, it's not just about executing right,
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  Speaker 3: it's about relationships. It's about being able to provide consistency
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  Speaker 3: and quality over time. And Amazon has to earn some
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  Speaker 3: of that business as well. Just because they're in the
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  Speaker 3: business doesn't mean people are going to go to them.
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  Speaker 2: So how does how does this strategy different from what
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  Speaker 2: they have been doing because it seems like you do
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  Speaker 2: see them the trucks everywhere.
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  Speaker 6: So house has changed.
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  Speaker 3: Yeah, so you know a lot of things that they
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  Speaker 3: do for other shippers. It's really kind of on a
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  Speaker 3: non asset basis. So those trucks you're seeing, they might
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  Speaker 3: own the trailers, but they don't own the truck. The
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  Speaker 3: truck is an independent contractor that maybe their brokerage business secured,
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  Speaker 3: or maybe they did it through somebody else. So you
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  Speaker 3: know they're going to continue to do that sort of
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  Speaker 3: stuff where they're going to say, you know, to a
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  Speaker 3: three M three, I might have a load to go
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  Speaker 3: somewhere and there they could broker that load for them,
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  Speaker 3: or they might you know, store some of their stuff
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  Speaker 3: in their warehouses and you know, try to get it
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  Speaker 3: to their other distribution warehouses or maybe to the final
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  Speaker 3: final mile, if you will. So you know, they are
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  Speaker 3: definitely going to be incrementally encroaching on these transportation logistics businesses.
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  Speaker 3: But like like I mentioned earlier, like they've been kind
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  Speaker 3: of doing this for two and three years, and we
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  Speaker 3: just we expect them to continue to build those businesses,
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  Speaker 3: but like I don't expect to wake up tomorrow and
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  Speaker 3: all of a sudden. You know, FedEx and ups are
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  Speaker 3: at a disadvantage because those companies are going after higher
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  Speaker 3: margin business. You know, they realized that the B two
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  Speaker 3: C business, while to growing business, is really a low
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  Speaker 3: margin business and they'd rather grow their B to B.
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  Speaker 3: They'd rather grow into higher margin or verticals like healthcare.
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  Speaker 3: And they're really focusing on the small to mid size customers,
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  Speaker 3: and that's probably where Amazon's going to compete with them
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  Speaker 3: the most.
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  Speaker 4: So Lee given all of that, and thank you for
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  Speaker 4: you know, just kind of talking down people who might
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  Speaker 4: be panicking. You're looking at FedEx down nine percent, You're
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  Speaker 4: looking at UPS down almost ten percent.
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  Speaker 5: Is that just an overreaction?
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  Speaker 3: I mean, I would say so, you know, these these
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  Speaker 3: names have had somewhat of a decent run as of late,
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  Speaker 3: maybe UPS or I should say maybe FedEx more than UPS.
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  Speaker 3: But you know, I think it's just, yeah, it's really
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  Speaker 3: kind of a bit of an over reaction because fundamentally
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  Speaker 3: FedEx and EPs are no different than they were yesterday.
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  Speaker 5: Stay with us. More from Bloomberg Intelligence coming up after this.
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  Speaker 4: Tyson Foods the Meat Processor coming in with results and
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  Speaker 4: the big question here is what happens between beef and
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  Speaker 4: chicken and port. They're kind of moving in opposite directions.
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  Speaker 4: But protein is protein and there's a lot of demand.
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  Speaker 6: Tell me that's what they tell me.
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  Speaker 4: Jena is joining us from Princeton. Jennifer bartashis our senior
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  Speaker 4: retail staples.
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  Speaker 5: And packaged food analysts.
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  Speaker 4: So Jennifer, just walk us through here protein demand and
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  Speaker 4: how chicken and pork purchases are definitely benefiting. But even
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  Speaker 4: though there's a lot of demand for beef, this is
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  Speaker 4: a money losing business.
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  Speaker 7: Yeah, good morning. So you know, protein demand is through
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  Speaker 7: the roof. Consumers are continuing to seek protein across all
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  Speaker 7: the different meal parts of the day, and so this
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  Speaker 7: is really, you know, a great tailwind for companies like
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  Speaker 7: Tyson that are involved in multiple proteins. Chicken is by
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  Speaker 7: far the most stable part of the company at the moment.
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  Speaker 7: It's continuing to grow. Pork demand is also pretty solid,
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  Speaker 7: and you know, everybody likes their bacon, you know, and
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  Speaker 7: that sort of thing. But as you said, Scarlet pork,
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  Speaker 7: I mean, beef really is the big challenge, and that's
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  Speaker 7: because we have record low cattle supply in the United
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  Speaker 7: States right now, and that's just keeping the cost of
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  Speaker 7: animals very high, which is leading to the operating losses
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  Speaker 7: that we're seeing in the beef segment.
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  Speaker 2: Can you explain to me why we think about chicken
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  Speaker 2: beef I don't know pork as protein.
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  Speaker 6: When did that enter the lexicon?
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  Speaker 7: Yeah, Paul, it's a it's a good it's a good question.
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  Speaker 7: I mean, we've historically used to talk about center of
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  Speaker 7: the plate, and that just sort of implied it was
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  Speaker 7: a meat product. But in the past maybe six seven,
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  Speaker 7: eight years, what we've seen is when when we had
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  Speaker 7: the big spike of interest around plant based protein, the
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  Speaker 7: dialogue really shifted to protein in general, and consumers are
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  Speaker 7: looking to find protein in a lot of different ways.
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  Speaker 7: And so meat is obviously a natural protein, but so
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  Speaker 7: are legumes, So are you know, other plant based types.
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  Speaker 7: Dairries a great protein, and so now it's become more
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  Speaker 7: of a broader topic where protein is sort of that
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  Speaker 7: more generic word that everybody's.
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  Speaker 4: Using, right, And Tyson is kind of in a sweet
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  Speaker 4: spot here given that it processes chicken, pork, and beef.
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  Speaker 4: We know that DOJ, the Department of Justice, is investigating
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  Speaker 4: the meat packing industry because of those record high beef prices.
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  Speaker 4: How involved is and I mean, is it a target?
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  Speaker 4: Is it a potential beneficiary if the government focuses.
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  Speaker 5: More on foreign meat processors.
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  Speaker 7: Yeah, the government is. They've specifically really called out foreign
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  Speaker 7: meat processors like JBS, you know, but you know, Tyson
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  Speaker 7: does have a pretty good sized beef business at the
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  Speaker 7: end of the day. You know, a lot of this,
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  Speaker 7: this this sentiment coming from the government is about the
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  Speaker 7: whole idea of affordability, and people point to beef as
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  Speaker 7: prices that are just have gone up and up and
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  Speaker 7: up and up. But there is a supplied demand to
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  Speaker 7: equation behind that that accounts for why those prices are
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  Speaker 7: still high. And so you know, when it comes to
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  Speaker 7: collusion on price fixing or that there's something nefarious going on,
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  Speaker 7: I think that sometimes kind of that that subject of
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  Speaker 7: affordability overshadows the fact that we just have a basic
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  Speaker 7: supplied demand equation imbalance, and that's that's really, you know,
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  Speaker 7: as we see it, something that's not going to change
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  Speaker 7: for the next probably two or three years.
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  Speaker 6: Why is that Why is it going to have that
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  Speaker 6: supply a man out of balance for beef.
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  Speaker 7: It's that we just don't have enough cattle being raised
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  Speaker 7: to be processed, and we see no signs on the
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  Speaker 7: horizon really right now that ranchers are retaining more cows
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  Speaker 7: to have calves to increase the size of the herds,
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  Speaker 7: and that comes from a lot of different things. It
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  Speaker 7: comes from higher interest rates, it costs more to raise
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  Speaker 7: the animals, it comes from weather. You have to have
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  Speaker 7: pretty good weather to have the past years that you
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  Speaker 7: need in order to raise those animals. And right now
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  Speaker 7: there's just a lot of risk in that. And so
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  Speaker 7: we haven't seen the inclination to increase that number of
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  Speaker 7: cows that are of the cattle that are being raised.
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  Speaker 7: And until you have a better supply and demand stays high,
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  Speaker 7: it's just going to keep meaning high prices for the consumer.
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  Speaker 4: Yeah, and we know that Tyson is trying to make
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  Speaker 4: some adjustments on its and right sizes beef unit. It
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  Speaker 4: closed a plant Nebraska, it cut shifts at a Texas plant.
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  Speaker 4: But Jennifer, how much of this is really beyond on
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  Speaker 4: Tyson's control.
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  Speaker 7: Well, they really can't control the size of the of
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  Speaker 7: the cattle herds, you know. So I think the company
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  Speaker 7: has done a very very good job of looking at
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  Speaker 7: what they can control, taking the actions needed, whether it's
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  Speaker 7: closing plants, reducing shifts, and optimizing kind of their network.
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  Speaker 7: And then when the cattle herd comes back, Remember it
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  Speaker 7: takes eighteen months, you know, for a cow to be
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  Speaker 7: born to get to the point where it's ready to
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  Speaker 7: be processed. There's plenty of there's plenty of notice when
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  Speaker 7: the herds start to rebuild that they can adjust their
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  Speaker 7: capacity if needed. And so right now I think Tyson
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  Speaker 7: is taking all the prudent measures needed to sort of
• 10:39
  Speaker 7: optimize what they can control.
• 10:41
  Speaker 2: Stay with us more from Bloomberg Intelligence coming up after this.
• 10:48
  Speaker 1: You're listening to the Bloomberg Intelligence podcast. Catch us live
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  Speaker 1: weekdays at ten am Eastern on Apple, Cocklay and Android
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• 10:59
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• 11:03
  Speaker 2: We had some news out of the Norwegian Cruise Lines,
• 11:04
  Speaker 2: which just a little strange, I think, given some of
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  Speaker 2: the other cruise operators and their results.
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  Speaker 6: But Norwegian came out.
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  Speaker 2: With some profit drop, some tepid guidance, and stock has
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  Speaker 2: taken on the chin today. Brian Nigger, Bloomberg Intelligence senior
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  Speaker 2: gaming lodging analystsy also covers the cruise lines here.
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  Speaker 6: Talk to us about Norwegian. Is their business unique, Brian
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  Speaker 6: versus some of the other companies we stalled before.
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  Speaker 8: Yeah, they just installed a new CEO in February. They're
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  Speaker 8: going through a bit of a realignment, some operational changes
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  Speaker 8: and marketing changes. I think that was a big part
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  Speaker 8: of what's really happened here. They are guiding a three
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  Speaker 8: to five percent decline in net revenue yield for twenty
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  Speaker 8: twenty six and this is the same environment where Royal
• 11:42
  Speaker 8: Caribbean's looking for two percent increase, so obviously a bit
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  Speaker 8: of a disparity, and I think a lot of this
• 11:47
  Speaker 8: is because part of the reason one of the prior
• 11:50
  Speaker 8: CEO left was they've not done a great job recently
• 11:53
  Speaker 8: in commercializing their Caribbean product of lining all their private
• 11:57
  Speaker 8: islands and the water parks with their new cruise ship,
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  Speaker 8: and I think that's part of why they've underperformed. That's
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  Speaker 8: also why you think about why they cut their profit
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  Speaker 8: guidance thirteen percent. Our third that was for fuel costs,
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  Speaker 8: which is basically due to the more in Iran. The
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  Speaker 8: other two thirds was not from fuel costs, so presumably
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  Speaker 8: something is changing operationally.
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  Speaker 5: You got it.
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  Speaker 8: A number of operators have seen pressure in Europe because
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  Speaker 8: of the Middle East conflict in terms of European cruise demand,
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  Speaker 8: but obviously Norwegian here is seeing something worse.
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  Speaker 4: So this sounds like it's an execution issue, and we
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  Speaker 4: also know that Norwegian is a target of activist investors.
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  Speaker 4: Elliott Management has built more than a ten percent stake
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  Speaker 4: at least according to reports back in February. So when
• 12:39
  Speaker 4: it comes to Norwegian, the company says the war is
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  Speaker 4: impacting all three of its brands. Who are Norwegian's customers
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  Speaker 4: compared with other cruise operators or is there just overlap?
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  Speaker 8: Well, first of all, I do think that the kind
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  Speaker 8: of mid upper mid market Norwegian cruise line brand has
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  Speaker 8: been more affected. The luxury brands like Oceania Region seventies
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  Speaker 8: has been more resilient. So that's something at kind of
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  Speaker 8: disparity we've seen across the travel industry. But they've really
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  Speaker 8: had to work on their marketing strategy. I mean, they
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  Speaker 8: are taking steps to address some of the prior missteps.
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  Speaker 8: That's to say, they're going to reducing their SG and
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  Speaker 8: A costs by fifteen percent. They're shaving about one hundred
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  Speaker 8: and twenty five million off of marketing costs, so they're
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  Speaker 8: kind of trying to target their marketing much more effectively.
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  Speaker 8: So they are going through a series of changes under
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  Speaker 8: new CEO. That being said, obviously a disappointing performance particularly
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  Speaker 8: given the strength of some of those brands, to see
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  Speaker 8: such a significant guidance cut. Even putting aside what we
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  Speaker 8: know about the impact of Iran on European cruises and
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  Speaker 8: fuel costs, there's a still disappointment.
• 13:42
  Speaker 2: So one analyst on Wall Street rights, and I'll quote
• 13:45
  Speaker 2: you here is pretty funny quote. This is nc LH.
• 13:48
  Speaker 2: That's the ticker we are dealing with here. And by
• 13:51
  Speaker 2: now you should have learned to always expect the unexpected,
• 13:54
  Speaker 2: aka expect the worst.
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  Speaker 6: Is this this is come We have a management credibility problem.
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  Speaker 8: I don't think I don't think this has always been true,
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  Speaker 8: but there were obviously missteps that led up to the
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  Speaker 8: CEO change happened in February. Along with that replenishment of
• 14:10
  Speaker 8: the board as they called it, new board members, and
• 14:14
  Speaker 8: along with that they are trying to under new CEO
• 14:16
  Speaker 8: undergo a series of changes, religning people. You know, fifty
• 14:20
  Speaker 8: percent reduction in salarine benefits costs means they're really revisiting
• 14:24
  Speaker 8: the entire off onshore infrastructure. So there are some company
• 14:30
  Speaker 8: specific things here, and I think you see it in
• 14:31
  Speaker 8: the stock price action you know today in trading, Norwegian
• 14:36
  Speaker 8: is ebsfully underperforming.
• 14:37
  Speaker 2: Again, this could be new CEO kitchen sync this thing.
• 14:41
  Speaker 2: And if that's the case, Sen Tomorlow set the borrow
• 14:43
  Speaker 2: and if you believe in management, this is your buying opportunity.
• 14:47
  Speaker 2: That could be the bullish call, right, it could be,
• 14:49
  Speaker 2: I mean, because it comes down to a call on management.
• 14:51
  Speaker 8: Yeah, this is also I think a not readily known
• 14:54
  Speaker 8: new CEO. I think we have to give them time
• 14:56
  Speaker 8: to execute. But at the same time, there were events
• 14:59
  Speaker 8: that led up to this board and management change, and
• 15:03
  Speaker 8: now they're going through this process of essentially rewigning, restructuring.
• 15:07
  Speaker 8: It happens to be in an unfortunate backdrop at the
• 15:09
  Speaker 8: same time that you have this warn Iran effecttional fuel
• 15:12
  Speaker 8: costs and European cruise demand, so they're navigating both industry
• 15:16
  Speaker 8: as well as company specific issues.
• 15:18
  Speaker 4: Okay, we have one more cruise line operator that will
• 15:20
  Speaker 4: be reporting Viking holdings.
• 15:22
  Speaker 5: Of reporting in ten days.
• 15:23
  Speaker 4: Paul is going to go on his first cruise later
• 15:25
  Speaker 4: on this year, and he's already booked it. What do
• 15:28
  Speaker 4: we think Viking is going to say, is it how
• 15:30
  Speaker 4: much of a similar story is it going to tell
• 15:33
  Speaker 4: to the other cruise line operators.
• 15:35
  Speaker 5: Royal Caribbean and Carnival.
• 15:37
  Speaker 8: Yeah, I think the except they're involved in this kind
• 15:39
  Speaker 8: of luxury river cruising market.
• 15:41
  Speaker 5: Harry Possweeny.
• 15:42
  Speaker 8: The other part of the business is ocean cruising, so
• 15:44
  Speaker 8: it's kind of a hybrid that is a bit of
• 15:46
  Speaker 8: a niche. And generally speaking, across the travel industry, high
• 15:50
  Speaker 8: end luxury offerings have been outperforming, got a more mass
• 15:54
  Speaker 8: market opportunity, and they have also their yeal growth has
• 15:57
  Speaker 8: been outperforming. So while it's not necessarily presenter of the
• 16:00
  Speaker 8: entire ocean cruising industry, it is a niche that's done
• 16:04
  Speaker 8: pretty well in this environment.
• 16:05
  Speaker 2: Yeah, I was surprised at the price tag that came
• 16:09
  Speaker 2: along with this.
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  Speaker 5: Thing, pleasantly surprised.
• 16:11
  Speaker 6: No, finally, wowser.
• 16:15
  Speaker 4: But they didn't come back to you and say like, hey,
• 16:17
  Speaker 4: we're adding a fuel surcharge by the way, right, No.
• 16:19
  Speaker 6: No, they didn't, so we'll have to. So that's that's
• 16:22
  Speaker 6: a high end product.
• 16:24
  Speaker 5: Stay with us. More from Bloomberg Intelligence coming up after this.
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  Speaker 1: You're listening to the Bloomberg Intelligence Podcast. Catch us live
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  Speaker 1: weekdays at ten am Eastern on Apple Cocklay and Android
• 16:37
  Speaker 1: Auto with the Bloomberg Business app. Listen on demand. Wherever
• 16:41
  Speaker 1: you get your podcasts or watch us live on YouTube.
• 16:45
  Speaker 4: Game Stop making a bid for eBay, a company that
• 16:50
  Speaker 4: is four times its size, fifty six billion dollars. I'm
• 16:53
  Speaker 4: trying to get my head around it because game Stop
• 16:56
  Speaker 4: is a meme stock and it's retail stores like I
• 17:00
  Speaker 4: don't know. They don't look that busy a lot of
• 17:01
  Speaker 4: the times I know, And so we need to make
• 17:04
  Speaker 4: sense of all this. Spencer Soaper covers Amazon, a bunch
• 17:09
  Speaker 4: of eBay, a bunch of other companies.
• 17:11
  Speaker 5: For us on the West coast. But he is in
• 17:12
  Speaker 5: New York today, Spencer, great to see you in New York.
• 17:15
  Speaker 5: Thank you help us make sense of this.
• 17:17
  Speaker 4: What is the thinking behind Gameshop Ryan Cohen, who of
• 17:20
  Speaker 4: course is the guy behind GameStop now looking to buy eBay.
• 17:25
  Speaker 9: Well, the thinking he's presented is that he's going to
• 17:29
  Speaker 9: do a much better job than the current CEO, Jamie Ioni.
• 17:32
  Speaker 9: But that's where he's got a The most important thing
• 17:35
  Speaker 9: for him to do now is to convince lenders that
• 17:40
  Speaker 9: that's the case, because who the heck knows where this
• 17:42
  Speaker 9: money is going to come from. GameStop as nine billion
• 17:45
  Speaker 9: in cash, that's quite a bit short. They've said they
• 17:47
  Speaker 9: have a high confidence letter from TD Bank. I don't
• 17:51
  Speaker 9: even know what that means. I think if I go
• 17:53
  Speaker 9: on the used car lot, they're usually pretty confident they
• 17:55
  Speaker 9: can get me financing, you know. So there's some potential
• 18:00
  Speaker 9: twenty billion dollars offer there, and then a big question
• 18:03
  Speaker 9: is where's the rest of this money coming from? Are
• 18:04
  Speaker 9: they counting on equity? And what is the confidence of
• 18:07
  Speaker 9: eBay shareholders on that? It just sounds like it's it's
• 18:10
  Speaker 9: going to be a heck of a sales pitch he's
• 18:11
  Speaker 9: going to have to do to either find other sources
• 18:14
  Speaker 9: of funding or convince shareholders that somehow this deal is
• 18:18
  Speaker 9: worth that gap.
• 18:20
  Speaker 2: Yeah, I mean, did we have any reason to believe
• 18:23
  Speaker 2: that there was a potential tiet that or the game
• 18:25
  Speaker 2: stop had such ambitions, or did this really come out
• 18:28
  Speaker 2: of kind of a field.
• 18:29
  Speaker 9: I've covered eBay for years and it surprised me. I hadn't. Like,
• 18:33
  Speaker 9: I've always thought eBay could certainly be a be an
• 18:37
  Speaker 9: attractive target for some company, but game stoff never really rose.
• 18:40
  Speaker 9: I just I never saw them as.
• 18:42
  Speaker 5: Really being in gobbler mode, you know.
• 18:45
  Speaker 9: And and to your point, Yeah, there's a game stop
• 18:47
  Speaker 9: near me and it's the place people like kill time
• 18:49
  Speaker 9: when they're waiting for their subway sandwich to be made
• 18:52
  Speaker 9: next door, you know, And so it's uh, yeah, I
• 18:55
  Speaker 9: just I it was a surprise. Then are there are
• 18:57
  Speaker 9: there legits potential synergies maybe? I mean eBay's been focused
• 19:02
  Speaker 9: on these core categories like luxury items, car parts, those
• 19:06
  Speaker 9: sorts of things. I haven't really heard video games come
• 19:09
  Speaker 9: up at all on their earnings calls. They do sell
• 19:12
  Speaker 9: those things, and there is a used game market, and
• 19:14
  Speaker 9: there are a lot of enthusiasts, and there are limited
• 19:16
  Speaker 9: edition things which eBay can be collectibles, right, collectibles exactly,
• 19:20
  Speaker 9: and limited edition releases, you know, and a lot of
• 19:22
  Speaker 9: times those things resurface on eBay.
• 19:24
  Speaker 5: So there's something there.
• 19:26
  Speaker 9: I just don't know if game Stop is the one
• 19:29
  Speaker 9: to pull it off or if they're gonna be able
• 19:31
  Speaker 9: to find the money to do it right.
• 19:33
  Speaker 4: Game Stop offering one hundred and twenty five dollars a
• 19:35
  Speaker 4: share for eBay. That's a twenty percent premium to eBay's
• 19:39
  Speaker 4: last clothes on Friday. The stock this morning up about
• 19:42
  Speaker 4: five percent and trading at just below one hundred and
• 19:45
  Speaker 4: ten dollars.
• 19:46
  Speaker 5: There's a pretty good, big gap there. So what does
• 19:48
  Speaker 5: that tell you, Spenser.
• 19:49
  Speaker 9: Yeah, there's definitely a lot of skepticism in the market.
• 19:53
  Speaker 9: And that's what I heard from an analyst this morning,
• 19:57
  Speaker 9: a long time eBay shareholder, was this questioning of this
• 19:59
  Speaker 9: some kind of and dump thing, and that's gonna be
• 20:02
  Speaker 9: the that's gonna be the big uh. The big question
• 20:04
  Speaker 9: is is uh uh is it sustainable? You know, even
• 20:08
  Speaker 9: if even if they find the money to to buy
• 20:11
  Speaker 9: eBay and get get some lenders to loan of money
• 20:14
  Speaker 9: to buy eBay, how.
• 20:17
  Speaker 6: Have you of a debt burden?
• 20:18
  Speaker 9: Is Ebak going to carry on the other side of
• 20:21
  Speaker 9: the other side of this and how sustainable will it be.
• 20:24
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