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Customers leave a Kohl’s store on November 12, 2015 in San Rafael, California.

Justin Sullivan | Getty Images News | Getty Images

The group of activists seeking control of Kohl’s board of directors released a letter Friday morning saying the retailer’s latest quarterly results were flawed and underscored the need for a revised strategy.

“The board of directors seems to be satisfied and only marginally better than the worst companies in the retail sector,” said the group in a letter to the shareholders of Kohl. “‘Best of the Worst’ is neither a viable strategy nor does it satisfy shareholders like us who seek long-term superior performance.”

“Kohl’s is tremendously well positioned with off-mall locations, which has significant advantages, but it also means Kohl’s is up against thriving off-mall players like TJX Companies, Ross Stores, Target, Old Navy and Burlington,” he added added.

The investor group, which consists of Macellum Advisors, Ancora Holdings, Legion Partners Asset Management and 4010 Capital, together has a 9.5% stake in Kohl’s.

In late February, Kohls turned down an attempt to take control of his board, arguing that doing so would disrupt the momentum in reshaping his business.

When Kohl’s reported fourth quarter earnings earlier this week, he beat Wall Street estimates, pointing to stronger growth in 2021 as his sales growth initiatives (like partnering with makeup retailer Sephora) are likely to take effect. Kohl’s also announced that it would reinstate the dividend and buy back shares.

Additionally, some new details were cited to allay a number of activists’ frustrations, including the fact that Kohl’s gained more than 2 million new customers in 2020 thanks to its Amazon returns service.

The group of activists said Friday, however, it remains skeptical that Kohl’s Amazon return program will add to the revenue.

Kohl’s shares fell less than 1% in premarket trading. The stock is up about 50% over the past 12 months. Kohl’s has a market cap of $ 8.64 billion, which is larger than Nordstrom and Macy’s.

A Kohl’s representative did not immediately respond to CNBC’s request for comment.

Read the activists’ full letter here.

As the adoption of vaccinations gains momentum around the world, attention is now turning to vaccines of a different kind: vaccination records.

Last week, the International Air Transport Association (IATA) announced the launch of its new digital passport as a “way forward” for the resumption of quarantine-free international travel.

The app, which has been tested by 30 airlines to date, enables governments and airlines to collect, access and share encrypted information related to passengers’ Covid-19 test and vaccination status before departure.

Both the International Chamber of Commerce and the World Economic Forum have developed similar apps – ICC AOKpass and CommonPass – that travelers can use to electronically document their medical status. Countries like Denmark and Sweden are introducing their own health passports, and even tech giants want to join.

What are digital health passes and will they allow a return to heaven this year?

What is a vaccination certificate?

A vaccination card, also known as a digital health card, is digital documentation that a person has been vaccinated against a virus, in this case Covid-19.

Stored on a phone or digital wallet, the data is usually presented as a QR code and can also indicate whether a person has had a negative virus test.

Digital health passports are tested to validate people’s Covid-19 test and vaccination status.

Maskot | Getty Images

Such documentation is not unprecedented. For decades, people traveling to certain countries have had to show physical “yellow cards” as proof of vaccination against diseases such as cholera, yellow fever and rubella.

However, this is the first time the industry has advocated an electronic alternative to improve auditability and bypass some of the delays caused by paper peers.

“Imagine the scene when 180,000 people present a piece of paper that needs review and validation,” said Mike Tansey, general manager at Accenture, CNBC’s Global Traveler said, referring to the number of daily passengers at Changi Airport in Singapore before Covid.

Do we need digital health passes to travel?

Tansey, who heads Accenture’s APAC Travel and Hospitality division, has worked with a number of major airlines on their digital health passport strategies, including three in the US and several in the Asia Pacific region.

He said these plans had “accelerated” since the vaccine was launched and the need for such IDs was clear to him.

The obvious answer is yes we do.

Mike Tansey

General Manager, Travel and Hospitality, Accenture

“The obvious answer is’ yes,” Tansey said when asked if we would need digital health cards to resume the trip.

He used to call debates a “red herring”.

“Governments may not say you have to have one, but the effects of not will be so ridiculous that travel isn’t worth it,” he said, referring to extensive testing and “draconian” quarantines.

What are the security concerns?

Tansey is not alone in his thinking. Other experts agree that digital health passes are the fastest, most effective way to resume international travel.

Dr. Jase Ramsey, professor of management at Florida Gulf Coast University’s Lutgert College of Business, agreed that the likelihood of adoption was “very high”. However, he noted that concerns about security and personal information could make consumers less willing to use digital health passports than their physical alternatives.

“As with any app that stores health records, there are privacy and fraud concerns,” said Ramsey.

Vaccination records electronically store medical information that is displayed as a QR code.

da-kuk | E + | Getty Images

Accredify is a Singapore-based document accreditation firm whose technology is currently being used as part of the Singapore government mandated Covid-19 pre-travel health screening. It is claimed that the appeal of digital accreditation systems – like its own, which is based on the blockchain – is that they are tamper-proof and therefore cannot be forged.

“Medical documents that are privately and securely stored in the app are only accessible to users, so they can decide who and when to share their medical records with,” a spokesman said via email.

Meanwhile, traveler resistance may be overrated. A recent study by travel news website The Vacationer found that nearly three-quarters (73.6%) of Americans say they use a Covid-19 health passport or app to help airlines and border agencies check their vaccination status and test results can check.

What are the challenges for health passports?

Crucially, the success of digital health passports depends on the effectiveness of vaccines. Little is known about whether vaccines will prevent the spread of Covid-19, although research is currently underway.

For this reason, the World Health Organization has so far urged caution with regard to health cards and urged the authorities and tour operators not to provide proof of vaccination as a condition for international travel.

The effectiveness of vaccines in preventing transmission is not yet clear and global vaccine supplies are limited.

speaker

World health organization

“This is because the effectiveness of vaccines in preventing transmission is not yet clear and global vaccine supplies are limited,” said a WHO spokesman.

Coordinating the various existing and pending vaccination records in the market and ensuring that users’ certifications are linked to verified and approved medical facilities will prove to be a major challenge.

“For vaccine passports to be an internationally practical tool, there must be a standardized platform that crosses all borders – like the current passport system,” said Dr. Harry Severance, Assistant Professor at Duke University School of Medicine.

WHO works with agencies such as IATA and the International Civil Aviation Organization to develop standards for digital vaccination cards. It added that its position on health passports “will evolve as the evidence for existing and new Covid-19 vaccines is updated”.

What about the social impact?

Add to this, of course, the social, legal and political implications of a system based on unequal global access to vaccines and technology.

According to the WHO, around 3.6 billion people worldwide cannot access the Internet and more than 1.1 billion cannot officially prove their identity. Therefore, paper IDs will remain indispensable for many.

Access to vaccinations is still far from fair around the world

Luis Alvarez | DigitalVision | Getty Images

“People from different countries, regions or communities may not have access to vaccines or Covid-19 tests,” said Dr. Sharona Hoffman, a bioethics professor at Case Western Reserve University’s School of Medicine, noting that low-income countries may not get vaccinations until 2023 or beyond. “Policies that prevent them from traveling or using other services could be discriminatory and exacerbate socio-economic disparities.”

Such systems could also set a precedent for other groups that are also eager to reopen, such as B. Restaurants and Event Venues. In fact, Israel has already created a “green passport” to give vaccinated citizens access to public venues.

This week, some US states decided to lift mask mandates, which could exacerbate this problem.

“As one community moves in this direction, many, many more will follow. As decisions like this are made across the country, you may find that ‘carding’ vaccines becomes the standard,” Severance said.

What could this mean for the future of travel?

Ultimately, resumption of international travel will depend as much on countries’ willingness to reopen as it does on existing travel verification technology.

In the Asia-Pacific region, where borders remain largely closed to tourists, governments may lean towards bilateral agreements or “travel bubbles” with select neighbors before opening further, Accenture’s Tansey said.

An internationally recognized system of health passports … will potentially enable us to survive an impending pandemic.

Harry Severance

Assistant Professor at Duke University School of Medicine

“The The reality … is that we are six months away from meaningful air travel, “he said.” Agreements are only made with one or two locations at a time. “

However, with much of the technology in place and society moving towards an increasingly digitized future, today’s developments in digital health passports could better prepare the travel industry – and society – for potential turmoil.

“As we evolve into an internationally recognized system of monitoring health passports (or) etc, it will be a facet of a downstream preparedness system that may allow us to survive an impending pandemic that may have worse dynamics than Covid- 19. ” “said the severance pay from Duke University.

A picture taken on February 28, 2021 shows palm trees on the empty “Promenade des Anglais” in Nice on the French Riviera.

VALERY HACHE | AFP | Getty Images

LONDON – Airlines in Europe see sunshine and beaches as their way to make money again.

The sector has been badly hit by the coronavirus pandemic and people have been advised to stay home. Lufthansa announced on Thursday that the number of passengers had decreased by 75% between 2019 and 2020. This underscores the devastating impact many airlines have had since the Covid hit.

However, they are currently examining ways to adjust business models as economies seek to reopen in the coming months.

“European airlines will focus on vacation travel,” Adrian Yanoshik, a stock analyst at Berenberg, told CNBC on Wednesday. “This is a tactical answer. You follow the flow of people,” he said.

Given the easing of restrictions in European economies, people are expected to try to go on vacation as soon as possible after about a year at home. In contrast, it takes longer for business trips to recover.

I think we’ll see a little less business travel and more vacation travel.

Rickard Gustafson

CEO of Scandinavian Airlines

“Will I be making the one-day trip from London to New York for a three-hour meeting? Probably not, so this will have some impact on business travel,” Keith Barr, CEO of IHG Hotels & Resorts, told CNBC’s “Squawk” Box Europe “last Month.

Rickard Gustafson, CEO of Scandinavian Airlines, also expects “some significant changes in the dynamics of the (airline) market”.

“I think we’ll see a little less business travel and more vacation travel,” he told CNBC. “We have to adapt our operations more to the seasonality than we do today,” he added.

Low-cost airlines like Ryanair and easyJet have always tempted customers to take breaks in sunny European destinations like Greece, Spain and Italy. However, more airlines such as Lufthansa and British Airways, which traditionally cater to those who travel for work, could do the same.

“Business travel will be above 2019 levels by the end of the decade,” Stephen Furlong, senior analyst at wealth management firm Davy, told CNBC on the phone, adding that “leisure (travel) could snap back very quickly.”

Another mix of cabins

Business travel has led airlines to develop business class, premium seats and loyalty cards. However, as part of a new focus on leisure, analysts expect a different aircraft layout.

“You will get a cabin reconfiguration,” said Furlong, mentioning that business class will be a much smaller part of the aircraft. “The size of the plane is (also) smaller,” he added.

When you consider how low-cost airlines have traditionally organized their aircraft, the focus is far less on premium customers. In fact, for example, Ryanair does not have a frequent flyer loyalty card.

People sit on the “Castel” beach along the “Promenade des Anglais” on the French Riviera in Nice, southern France.

VALERY HACHE | AFP | Getty Images

“This is probably a temporary phenomenon. You will focus on business (travel) again,” said Yanoshik from Berenberg.

However, as more airlines focus on vacation travel in the short to medium term, he added that ticket prices “will be weak”.

Vaccination records

European airlines hope vaccine passports will be used to restore lost businesses this year.

The idea of ​​a vaccination pass is still debated by European politicians, but the travel industry sees it as a must that some trips can return during this summer season.

“IATA is pushing extremely hard within the industry,” Andrew Lobbenberg, equity analyst at HSBC, told CNBC.

The International Air Transport Association is currently working on a passport, a digital platform where passengers can upload their health information. She has asked the EU heads of state and government to introduce vaccination records so that customers can feel safe again.

Vaccination records “will be part of the reopening of air traffic,” said Lobbenberg.

In this handout image from SportsPro, Dan Porter, overtime speaks during the SportsPro OTT USA 2020 Summit at Turner Studios on February 19, 2020 in Atlanta, Georgia.

John Nowak | SportsPro | Getty Images

Dan Porter, CEO of Overtime, is losing his mind?

The sports company’s co-founder recalled the reaction of former National Basketball Association commissioner David Stern when he was building another Hoops League.

Overtime announced Thursday that it plans to create a basketball league for 16-18 year olds that can earn them at least $ 100,000 a year.

The Overtime Elite League allows players to bypass traditional high school and college levels while building their brand before qualifying for the NBA. It will start in September with 30 players and will take place in a single location that is still under discussion.

In an interview on Wednesday, Porter confirmed that overtime would pay for all health insurance and allow players to earn bonuses and equity in overtime. He also recalled the star’s skepticism.

“It’s a pretty interesting opportunity,” Porter said of OTE’s launch.

Overtime distributes original sports content on social media, including Snapchat, Google’s YouTube, and Facebook’s Instagram, and sells apparel with logos and branding. Most of the content revolves around high school or other amateur players, but no highlights or materials from major sports leagues are licensed.

Porter and Zachary Weiner, both former William Morris Endeavor executives, formed Overtime in 2016 with investments from Stern and others.

Since then, the company has built a massive Generation Z followed by high school basketball players. The company has over 40 million followers on its social media channels and has built credibility among NBA stars like Zion Williamson and Atlanta Hawks point guard Trae Young.

The company says its content is streamed over 1.7 billion times a month across all social platforms – mostly from Gen Z. According to surveys, this group of 13- to 24-year-olds prefer highlights and fast-paced sports content over traditional formats they prefer Basketball versus other sports.

Overtime’s revenue comes from two sources. You target brands indirectly by incorporating them into their content and making money from video ads. The other is direct revenue from e-commerce, where Porter says the company makes “millions of dollars” in clothing.

“Just like with a sports team, when you buy a hat or jersey,” Porter said, “people feel part of that community and they buy clothes to represent that. We believe there is a great opportunity to lean into the essentials. ” Basketball for young people and create a clothing brand. “

Overtime refused to disclose its financial information.

With OTE, Porter expects the sales model to change a little “from e-commerce and media to e-commerce, media, rights and licenses similar to a league”. He said OTE would eventually sell its media rights.

“Not early. We’ll take our time,” said Porter.

Overtime also has active conversations for brand partners and sales for the league.

LaMelo Ball # 2 of the Charlotte Hornets dribbles the ball during the first half of an NBA basketball game at the Chase Center on February 26, 2021 in San Francisco, California against the Golden State Warriors.

Thearon W. Henderson | Getty Images

A new basketball farm system?

Porter said he spoke to families of elite athletes for two years to get information about OTE. He said families frowned upon the current path to the professionals where prominent colleges earn millions of talent in exchange for free education.

OTE says it will provide world-class education, residencies and training, and offer advanced analysis of players’ performance to help them improve. The big advantage, however, is that OTE gives players the right to benefit from their brands while getting paid to participate.

“We’re the only country in the world that forces you to go to high school and then to college to become a professional athlete, at least in basketball and soccer,” Porter said.

As part of its collective agreement, the NBA prohibits players under the age of 19 from entering the league. Some players attend college for at least a year while awaiting eligibility. hence the popular term “one and done”.

Porter pointed to players like former NBA security guard Brandon Jennings and Charlotte Hornets security guard LaMelo Ball, who both bypassed college.

“We’re doing this based on watching these young athletes try to change the system and make it work for them,” Porter said.

“We’re a great platform and that makes us a good place to find talent,” said Porter. “We’re starting a league from scratch. We don’t have an old overhang. We can build a model that feels like a 21st century model, both in terms of starting startups and creating digital businesses.”

An overtime logo on a basketball court

Source: overtime

Porter said OTE could serve as a new avenue to the NBA. The NBA already has a non-college route with its NBA G League Ignite program with top high school prospects Jalen Green and Isaiah Todd. This route allows younger players to train in the program until they are eligible.

Players in the NBA program can earn anywhere from $ 200,000 to $ 500,000 while waiting to be eligible.

Should OTE players fail to pursue a career, an additional $ 100,000 will be made available for tuition fees. When teenagers enter the league, players will lose their NCAA eligibility for receiving payment.

“It’s a professional way,” said Porter. “But in contrast to a pure farm system, this is competition. We expect tens of millions of people to tune in and want to watch. And why do we expect that? Because they are already watching on our platforms today.”

Portland Trail Blazers forward Carmelo Anthony, an OTE investor and board member, said many athletes are not properly prepared for the life of a professional athlete.

“We need to better empower the next generation of players and prepare them for success,” he said. “OTE leads the way in this regard by providing players with a comprehensive route that fully develops the athlete – not just basketball skills, but education, economic empowerment, and branding. That kind of guidance for high school players is critical to recruitment. ” them for a successful career on and off the pitch. “

Then-NBA Commissioner David Stern speaks to the media ahead of the first game of the 2013 NBA Finals between the Miami Heat and the San Antonio Spurs at the American Airlines Arena on June 6, 2013 in Miami.

Mike Ehrmann | Getty Images

I am seeking approval

Porter said the early reactions in the league have been positive and that they are made up of NBA names that can help OTE operate efficiently.

In addition to Anthony, investors include Brooklyn Nets star Kevin Durant and Silicon Valley venture capital firm Andreessen Horowitz. The commissioner is former NBA manager Aaron Ryan and ex-Sacramento Kings deputy general manager Brandon Williams will oversee the operation of the league.

“There’s a lot of NBA DNA in there,” Porter said.

But Stern was the most influential. He was the first investor in overtime, helping it raise $ 2.5 million in 2017, three years before his death.

Porter remembered Stern telling him to avoid starting a league. “I’ve spent 30 years on it. You don’t want to do that,” Porter recalled.

“But we are annoyingly persistent,” he added.

When Stern watched overtime take off at GenZ, he believed OTE was a good idea and agreed, Porter said.

“He said, ‘I think you not only can do this, you have to do it,” Porter recalled. “We were like wow. It’s like a 180, so we felt we could do it. If you’re building a business in this world, you can’t rely on people to give you opportunities,” added Porter . “You have to go your own way.”

Richard Besser, who served as the deputy director of the Centers for Disease Control and Prevention under former President Barack Obama, said he feared people will discount Covid numbers if governors decide to reopen their states.

“In Texas, where they lifted the mask mandate, less than 10% of the people have been vaccinated and the levels are higher than last summer when they first put the mandates on,” Besser said. “I worry these numbers are going a little numb, and we don’t remember the fact that over 2,000 people die from Covid every day in America.”

Texas and Mississippi governors announced Tuesday that they were lifting mask mandates and allowing companies to reopen at full capacity.

“Now is the time to open Texas 100%,” said Texas Republican Governor Greg Abbott.

Connecticut governor, Democrat Ned Lamont, announced Thursday that some of his state’s businesses will be allowed to operate at full capacity again from March 19.

Besser told CNBC’s The News with Shepard Smith that states should follow the CDC’s lead and take into account the concerns of Director Rochelle Walensky, who said she was still “deeply concerned” about the virus.

“Our recent declines seem to be stalling – at over 70,000 cases a day,” Walensky said during a press conference Monday at the White House. “With these new statistics, I am very concerned about reports that more and more states are rolling back the exact public health measures we have recommended to protect people from Covid-19.”

Besser’s old agency is expected to release new guidelines on Friday for people who are fully vaccinated. He advised host Shepard Smith that people should meet their expectations.

“I don’t think they will give the go-ahead to wholesale that many people are hoping for. There will be another downward trend and more people will be vaccinated than we currently have in the country,” Besser said.