Tag Archives: United States

Exclusive: Internal Chinese report warns Beijing faces Tiananmen-like global backlash over virus

BEIJING (Reuters) – An internal Chinese report warns that Beijing faces a rising wave of hostility in the wake of the coronavirus outbreak that could tip relations with the United States into confrontation, people familiar with the paper told Reuters.

The report, presented early last month by the Ministry of State Security to top Beijing leaders including President Xi Jinping, concluded that global anti-China sentiment is at its highest since the 1989 Tiananmen Square crackdown, the sources said.

As a result, Beijing faces a wave of anti-China sentiment led by the United States in the aftermath of the pandemic and needs to be prepared in a worst-case scenario for armed confrontation between the two global powers, according to people familiar with the report’s content, who declined to be identified given the sensitivity of the matter.

The report was drawn up by the China Institutes of Contemporary International Relations (CICIR), a think tank affiliated with the Ministry of State Security, China’s top intelligence body.

Reuters has not seen the briefing paper, but it was described by people who had direct knowledge of its findings.

“I don’t have relevant information,” the Chinese foreign ministry spokesperson’s office said in a statement responding to questions from Reuters on the report.

China’s Ministry of State Security has no public contact details and could not be reached for comment.

CICIR, an influential think tank that until 1980 was within the Ministry of State Security and advises the Chinese government on foreign and security policy, did not reply to a request for comment.

Reuters couldn’t determine to what extent the stark assessment described in the paper reflects positions held by China’s state leaders, and to what extent, if at all, it would influence policy. But the presentation of the report shows how seriously Beijing takes the threat of a building backlash that could threaten what China sees as its strategic investments overseas and its view of its security standing.

Relations between China and the United States are widely seen to be at their worst point in decades, with deepening mistrust and friction points from U.S. allegations of unfair trade and technology practices to disputes over Hong Kong, Taiwan and contested territories in the South China Sea.

In recent days, U.S. President Donald Trump, facing a more difficult re-election campaign as the coronavirus has claimed tens of thousands of American lives and ravaged the U.S. economy, has been ramping up his criticism of Beijing and threatening new tariffs on China. His administration, meanwhile, is considering retaliatory measures against China over the outbreak, officials said.

It is widely believed in Beijing that the United States wants to contain a rising China, which has become more assertive globally as its economy has grown.

The paper concluded that Washington views China’s rise as an economic and national security threat and a challenge to Western democracies, the people said. The report also said the United States was aiming to undercut the ruling Communist Party by undermining public confidence.

Chinese officials had a “special responsibility” to inform their people and the world of the threat posed by the coronavirus “since they were the first to learn of it,” U.S. State Department spokeswoman Morgan Ortagus said in response to questions from Reuters.

Without directly addressing the assessment made in the Chinese report, Ortagus added: “Beijing’s efforts to silence scientists, journalists, and citizens and spread disinformation exacerbated the dangers of this health crisis.”

A spokesman for the U.S. National Security Council declined to comment.

REPERCUSSIONS

The report described to Reuters warned that anti-China sentiment sparked by the coronavirus could fuel resistance to China’s Belt and Road infrastructure investment projects, and that Washington could step up financial and military support for regional allies, making the security situation in Asia more volatile.

Three decades ago, in the aftermath of Tiananmen, the United States and many Western governments imposed sanctions against China including banning or restricting arms sales and technology transfers.

China is far more powerful nowadays.

Xi has revamped China’s military strategy to create a fighting force equipped to win modern wars. He is expanding China’s air and naval reach in a challenge to more than 70 years of U.S. military dominance in Asia.

In its statement, China’s foreign ministry called for cooperation, saying, “the sound and steady development of China-U.S. relations” serve the interests of both countries and the international community.

It added: “any words or actions that engage in political manipulation or stigmatization under the pretext of the pandemic, including taking the opportunity to sow discord between countries, are not conducive to international cooperation against the pandemic.”

COLD WAR ECHOES

One of those with knowledge of the report said it was regarded by some in the Chinese intelligence community as China’s version of the “Novikov Telegram”, a 1946 dispatch by the Soviet ambassador to Washington, Nikolai Novikov, that stressed the dangers of U.S. economic and military ambition in the wake of World War Two.

Novikov’s missive was a response to U.S. diplomat George Kennan’s “Long Telegram” from Moscow that said the Soviet Union did not see the possibility for peaceful coexistence with the West, and that containment was the best long-term strategy.

The two documents helped set the stage for the strategic thinking that defined both sides of the Cold War.

China has been accused by the United States of suppressing early information on the virus, which was first detected in the central city of Wuhan, and downplaying its risks.

Beijing has repeatedly denied that it covered up the extent or severity of the virus outbreak.

China has managed to contain domestic spread of the virus and has been trying to assert a leading role in the global battle against COVID-19. That has included a propaganda push around its donations and sale of medical supplies to the United States and other countries and sharing of expertise.

But China faces a growing backlash from critics who have called to hold Beijing accountable for its role in the pandemic.

Trump has said he will cut off funding for the World Health Organization (WHO), which he called “very China-centric,” something WHO officials have denied.

Australia’s government has called for an international investigation into the origins and spread of the virus.

Last month, France summoned China’s ambassador to protest a publication on the website of China’s embassy that criticized Western handling of coronavirus.

The virus has so far infected more than 3 million people globally and caused more than 200,000 deaths, according to a Reuters tally.

(Editing by Peter Hirschberg)

In a pandemic-caused first, U.S. Supreme Court hears cases by teleconference

By Lawrence Hurley and Andrew Chung

WASHINGTON (Reuters) – In a break from tradition caused by the coronavirus pandemic, the U.S. Supreme Court on Monday for the first time will hear arguments in a case not in person but by teleconference – a trademark dispute involving the popular hotel reservation website Booking.com.

The nine justices over the next two weeks are set to participate in arguments in 10 cases, using a dial-in format to combat the spread of the pathogen. In another first, the court will provide a live audio feed, making these the first arguments that the public can hear live. Cable TV network C-SPAN said it plans to broadcast that feed in all the cases.

Rather than the wide-open questioning exhibited during typical cases in the justices’ ornate courtroom, the court has tweaked the format for the teleconference arguments so justices will take turn asking questions in order of seniority.

Justice Clarence Thomas is the court’s longest-serving member, though he typically refrains from asking questions during arguments. The next most senior justice is Ruth Bader Ginsburg, a frequent questioner.

The first case is due to begin at 10 a.m. ET (1400 GMT). The justices will hear a bid by the U.S. Patent and Trademark Office to prevent Booking.com, a unit of Norwalk, Connecticut-based Booking Holdings Inc <BKNG.O>, from trademarking the site’s name, contending that it is too generic to deserve legal protection.

The case comes as Booking.com, along with the rest of the travel industry, has been slammed by the coronavirus pandemic, which has caused tourism and business travel to evaporate worldwide.

The agency is appealing a lower court decision allowing the trademark because by adding “.com” to the generic word “booking” it became eligible for a trademark. The online reservation service filed several trademark applications in 2011 and 2012.

A Patent and Trademark Office tribunal in 2016 rejected those applications, saying Booking.com referred generically to the common meaning of booking lodging and transportation and cannot be used exclusively through a federal trademark registration. Under U.S. law, only terms that distinguish a particular product or service from others on the market can be trademarked.

Booking.com appealed, presenting a survey that showed that 74% of consumers identified Booking.com as a brand name. The Richmond, Virginia-based 4th U.S. Circuit Court of Appeals sided with the company last year because the name as a whole is understood by the public to refer to a business.

Booking.com spokeswoman Kimberly Soward said the company is “honored to be a small part of the U.S. Supreme Court history being made this week” as one of the cases being heard by teleconference.

“We remain hopeful the Supreme Court will uphold the decisions of the two lower courts, recognizing the changing landscape of the digital world we live in,” Soward said.

The court will hear arguments on Monday, Tuesday and Wednesday of this week and the same days next week. The biggest cases to be considered by teleconference are three that focus on the question of whether President Donald Trump can keep his financial records including tax returns secret. Those cases will be argued on May 12.

The Supreme Court building has been closed to the public since March 13 due to the pandemic. The justices have met only via teleconference, and have issued rulings only online.

The coronavirus has proven to be particularly dangerous in elderly people, especially those with underlying medical issues. Three of the nine justices are over age 70: Ginsburg (87), Stephen Breyer (81) and Thomas (71).

(For a graphic on major cases before the Supreme Court, click https://graphics.reuters.com/USA-COURT/0100B2E31KB/index.html)

(Reporting by Lawrence Hurley in Washington and Andrew Chung in New York; Editing by Will Dunham)

Warm weather draws crowds in some cities as parts of U.S. start easing coronavirus lockdowns

By Doina Chiacu and Jonathan Allen

(Reuters) – Sunny days and warm weather are proving to be as challenging to manage as restaurants, hair salons and other businesses, as about half of U.S. states partially reopen their economies after the coronavirus lockdown.

On Saturday, thousands of people gathered on the National Mall in Washington to view a U.S. Navy flyover to honor healthcare workers and others battling the pandemic.

In New York City, the warmest weather yet this spring caused picnickers and sunbathers to flock to green spaces in Manhattan, including crowded conditions at the Christopher Street Pier in Greenwich Village, according to photos on social media.

Last week, California ordered beaches in Orange County to close, after crowds defied public health guidelines to throng the popular shoreline. Police in the county’s Huntington Beach said people were complying on Sunday.

New York Mayor Bill de Blasio said there were “some real issues” near the pier and police would increase patrols.

Dr. Deborah Birx, response coordinator for the White House coronavirus task force, said on “Fox News Sunday” that massing on beaches was not safe unless people kept at least 6 feet (1.8 m) apart. She also weighed in against allowing such businesses as beauty salons and spas to reopen in the first phase.

“We’ve made it clear that that is not a good phase one activity,” she said, as the number of U.S. cases topped 1.1 million and the death toll rose to more than 67,000 on Sunday.

Protesters gathering, as they did last week in Michigan and other parts of the country to demonstrate against stay-at-home restrictions, posed a huge risk, she said.

“It’s devastatingly worrisome to me personally if they go home and infect their grandmother or their grandfather who has a comorbid condition and they have a serious or a very – or an unfortunate outcome, they will feel guilty for the rest of our lives,” Birx said.

Scott Gottlieb, a former Food and Drug Administration commissioner, said on Sunday the country was seeing a “mixed bag” of results from coronavirus mitigation efforts. He said there were about 20 states seeing a rising number of new cases including Illinois, Texas, Maryland, Indiana, Virginia, North Carolina and Tennessee. Virginia reported a record number of deaths on Sunday, up 44 for a total of 660.

“We expected that we would start seeing more significant declines in new cases and deaths around the nation at this point. And we’re just not seeing that,” he said on CBS’ “Face the Nation.” “If we don’t snuff this out more and you have this slow burn of infection, it can ignite at any time.”

‘PUTTING A TOE BACK IN’

Even in the face of rising cases, some Americans are eager to return to jobs, classrooms, socializing and large gatherings.

In a town hall event hosted by Fox News on Sunday night, President Donald Trump said he understood people’s desire to go back to work and school and that he expected classrooms to reopen in September.

But he said more needed to be done to ease the economic hit of the pandemic and that more help was coming for people who were unemployed.

In sports, the National Football League said it would announce its schedule for the upcoming season this week including its season-opening game on Sept. 10 and the Super Bowl, which is scheduled to be played in Tampa, Florida, on Feb. 7.

“We are planning on playing the 2020 NFL season as scheduled,” NFL spokesman Brian McCarthy said in an email, noting that the most popular U.S sports league would adjust to government regulations.

On the other side of the spectrum was Boston Mayor Marty Walsh in Massachusetts, which has not begun reopening and is seeing coronavirus cases still climbing. Massachusetts also has issued a statewide order telling people to wear masks in public.

He said the rallies against coronavirus mitigation efforts were causing confusion and making his job harder.

“I don’t understand it. That makes messaging really confusing. … It’s the wrong message, because we’re still very much in the beginning days of coronavirus. Even if you’re a state that is seeing numbers go down,” Walsh said.

In New Mexico, where numbers have yet to see a sustained decline and Native Americans represent more than half of the cases, Governor Michelle Lujan Grisham extended road closings into the city of Gallup to stem the state’s largest outbreak.

The shutdowns will continue until Thursday to slow infections in McKinley County, which is straddled by the Navajo Nation, an area suffering one of the highest per capita case rates in the country relative to U.S. states.

(GRAPHIC: Tracking the novel coronavirus in the U.S. – https://graphics.reuters.com/HEALTH-CORONAVIRUS-USA/0100B5K8423/index.html)

(Reporting by Doina Chiacu in Washington and Jonathan Allen in New York; Additional reporting by Ben Klayman in Detroit; Writing by Lisa Shumaker and Andrew Hay; Editing by Daniel Wallis, Peter Cooney and Gerry Doyle)

Facing meat shortages, some Americans turn to hunting during pandemic

By Andrew Hay

TAOS, N.M. (Reuters) – David Elliot first thought of shooting an elk to help feed family and friends back in January when the United States reported its first novel coronavirus case.

Elliot, emergency manager at Holy Cross Hospital in Taos, New Mexico, had always wanted to go big-game hunting and, with the pandemic spreading, there seemed no better time to try to fill his freezer with free-range, super-lean meat.

So for the first time in his life, despite not owning a rifle or ever having hunted large animals, he put his name in for New Mexico’s annual elk permit draw.

With some U.S. meat processors halting operations as workers fall ill, companies warning of shortages, and people having more time on their hands and possibly less money due to shutdowns and layoffs, he is among a growing number of Americans turning to hunting for food, according to state data and hunting groups.

“I understand some people might be driven by like antlers or some sort of glory. I don’t want to do that,” said Elliot, 37, who received a prized permit to shoot a female elk in an area of Taos County where herds of the animal graze in vast plains studded with extinct volcanoes.

Elliot plans to borrow a rifle and maybe even a horse to carry the elk back to his vehicle after the hunt in November. “I want to make sure it’s a clean, humane shot, as much as possible, and get a bunch of food.”

Game and fish agencies from Minnesota to New Mexico have reported an increase in either hunting license sales, permit applications, or both this spring.

Indiana saw a 28% jump in turkey license sales during the first week of the season as hunters likely had more time to get out into the woods, said Marty Benson, a spokesman for the state’s Department of Natural Resources.

Firearm manufacturers have reported sales increases, and the FBI carried out 3.74 million background checks in March, a record for any month.

That followed a decline of 255,000 in the number of hunters between 2016 and 2020, based on U.S. Fish and Wildlife Service license data, a 2% fall, as fewer young people took up the activity, hunting advocates say.

Hank Forester of Quality Deer Management Association expects a resurgence after many Americans saw empty meat shelves at the grocery store for the first time during March and April.

“People are starting to consider self-reliance and where their food comes from,” said Forester of the hunter research and training group. “We’re all born hunters.”

‘MENTAL CLEANSE’

Teachers Brian Van Nevel and Nathaniel Evans get up at 4 a.m. to try to be first into the forests around Taos to hunt wild turkey.

Evans, a middle-school teacher, has seen a lot more people stalking birds this year.

A town councilor as well, he is hunting not just for food but to reconnect with himself at a time when he is guiding Taos’ response to the pandemic as well as teaching online classes.

“Its been so important for me, being able to go out and kind of cleanse my mental card and just go and be present, you really have to be present, and quiet and listening,” said Evans, 38, who in April shot a 17-pound (7.7-kg) bird.

Some states such as Washington and Illinois closed state lands as the virus spread, prompting the National Rifle Association to lobby governors to keep them open to allow people to hunt for food.

Officials in Washington issued 10 poaching charges between March 25 and April 26 compared with three in the year-earlier period, the state’s Fish and Wildlife Department reported.

‘A GOOD IDEA’

Nina Stafford, 42, a building contractor from Fayetteville, Georgia, killed her first deer in January. She described the experience as “thrilling, exciting and remorseful for the deer.”

“The coronavirus has only made me want to go and do it more so that I don’t have that scared feeling of where’s my next meal going to come from,” said Stafford, who also grows vegetables and fruit.

To be sure, stocks of species like wild turkey can only sustain so many hunters. Wildlife ecologists Michael Chamberlain and Brett Collier fear the turkey’s existing population decline will steepen this spring.

Turkey hunter numbers in wildlife management areas in Georgia increased 47% this year from 2019, while turkeys killed during the first 23 days of the season rose 26%, despite no recent increase in bird numbers, the ecologists, respectively with the University of Georgia and Louisiana State University, wrote in a report, citing state department of natural resources preliminary data.

Not all states have reported an increase in hunting license applications, with both California and Florida seeing declines.

Still, big game such as deer could see similar pressure in the autumn as hunters have more time to max out “bag limits,” which in the case of Georgia is 12 animals, the ecologists said.

Elk hunts in most states are limited to a single animal per hunter who draws a permit in an annual lottery. Elliot sees no downside to paying $60 for a tag that could allow him to get close to 200 pounds (91 kg) of meat, if he can get a cow elk.

“It’s not just because what’s going on in the world right now. Frankly I don’t make that much money, so like this is just a good idea anyway,” said Elliot.

(Reporting by Andrew Hay in Taos, New Mexico; Editing by Bill Tarrant, Daniel Wallis and Peter Cooney)

China, Russia take advantage of virus emergency, U.S defense secretary says

ROME (Reuters) – Russia and China are taking advantage of the coronavirus emergency to put their interests forward in Europe, U.S. Defense Secretary Mark Esper said on Monday, describing Chinese efforts to promote Huawei mobile phone network equipment as malign.

“(The United States) is aware that some (countries) will try to use the pandemic as a way to invest in critical industry and infrastructure, with effect on security in the long term,” Esper told newspaper La Stampa, when asked whether China and Russia were trying to gain influence in Italy by sending aid.

“Potential opponents will almost certainly try to use their interest to put their interests forward and create divisions in NATO and Europe,” he said. “Huawei and 5G are an important example of this malign activity by China.”

Esper’s comments come at a time when some U.S. officials have blamed China for the coronavirus outbreak. Secretary of State Mike Pompeo said on Sunday Washington had evidence the disease emerged from a Chinese lab, which Beijing strongly denies.

Both China and Russia have offered support to Italy, sending doctors, medical equipment and face masks to the country which was the first in Europe to be hit hard by the outbreak.

The United States has long advised countries to boycott Huawei, the world’s biggest maker of telecoms equipment, in setting up new 5G mobile phone networks, and also to scrutinise gear from another Chinese firm, ZTE.

Washington says the equipment could be used by China to spy on communications. Huawei and ZTE deny their gear poses a security threat.

“Dependence on Chinese suppliers could make crucial systems vulnerable to interruption, manipulation and espionage. This would put at risk our capacity to communicate and to share intelligence,” Esper said.

Russia’s assistance, including army medical staff, drew attention to the limited support Italy received from the European Union, and EU and NATO diplomats and officials have seen it as a geopolitical move.

(Reporting by Giulia Segreti; Editing by Peter Graff)

Texas, Ohio join array of U.S. states reopening their economies

By Maria Caspani

NEW YORK (Reuters) – Texas and Ohio pushed ahead on Friday with a phased relaxation of restrictions that U.S. states put in place weeks ago to curb the coronavirus pandemic, as Georgia took another step toward a full restart by allowing all businesses to reopen.

With White House guidelines for reopening having expired on Thursday, half of all U.S. states were forging ahead with a patchwork of strategies to allow businesses, from restaurants and retailers to construction and manufacturing, to emerge from a month of dormancy.

In Texas, one of the most populous U.S. states, all retail stores, restaurants, movie theaters and malls could resume activity on Friday while limiting capacity to 25% of their listed occupancy, on orders of Governor Greg Abbott.

Ohio will start by allowing non-essential surgeries on Friday and then move to open construction and manufacturing on Monday, and retail shops and many consumer services on May 12, Governor Mike DeWine said earlier this week.

States are feeling enormous pressure to reopen businesses and restore social life, despite a lack of wide-scale virus testing and other safeguards urged by health experts, as the outbreak appears to have waned across many parts of the country.

No companies are required to reopen and it was unclear how many business owners and their employees would return to work, and how many patrons would venture back into stores and restaurants.

U.S. Labor Department data released on Thursday showed some 30 million Americans had sought unemployment benefits since March 21. The jobless toll amounts to more than 18.4% of the U.S. working-age population, a level not seen since the Great Depression of the 1930s.

GEORGIA LEADS WAY

States, mostly in the South, the Midwest and mountain West, have moved to relax restrictions since Georgia led the way late last week. Georgia Governor Brian Kemp said late on Thursday he was relaxing his state’s month-long shelter-in-place orders, allowing all businesses to reopen on Friday.

Dr. Anthony Fauci, director of the National Institute of Allergy and Infectious Diseases, said late on Thursday he was concerned about states and communities “leapfrogging” over the first phase of federal guidelines for reopening.

“Obviously, you could get away with that, but you’re making a really significant risk,” Fauci told CNN.

Phase One of the White House “Opening Up America Again” guidelines recommends states and regions satisfy a series of criteria including a 14-day decline in cases of the COVID-19 disease caused by the virus, a robust testing program and the healthcare capacity to handle a possible surge.

They also recommend that Americans “maximize physical distance” and avoid social settings of more than 10 people and that employers encourage telework whenever possible and a gradual return to the workplace.

Large venues that include sit-down dining, movie theaters, sporting venues and places of worship can operate under “strict physical distancing protocols,” the guidelines state.

The number of coronavirus cases is still climbing in many parts of the country, although peaks appear to have been reached in New York state, the epicenter of the U.S. outbreak, and other places.

Arizona, Kansas, Minnesota, Nebraska, Pennsylvania, Virginia and Wisconsin all reported a record number of new cases on Thursday, though greater testing could account for some of the increases, revealing infections present but previously undetected.

Several states, including Indiana, Massachusetts, New Jersey, New Mexico, Ohio, Texas and West Virginia, posted new highs in their daily death tolls.

As of late on Thursday, the number of known infections nationwide had climbed to well over 1 million, including nearly 63,000 deaths, far exceeding the tally of American war dead from all the years of U.S. military involvement in Vietnam.

(Reporting by Maria Caspani, Jessica Resnick-Ault in New York, Doina Chiacu in Washington and Steve Gorman in Los Angeles; Writing by Maria Caspani; Editing by Howard Goller)

Trump confident that coronavirus may have originated in Chinese lab

By Jeff Mason

WASHINGTON (Reuters) – U.S. President Donald Trump said on Thursday he was confident the coronavirus may have originated in a Chinese virology lab, but declined to describe the evidence, ratcheting up tensions with Beijing over the origins of the deadly outbreak.

Trump did not mince words at a White House event on Thursday, when asked if he had seen evidence that gave him a “high degree of confidence” the virus came from the Wuhan Institute of Virology.

“Yes, yes I have,” he said, declining to give specifics. “I can’t tell you that. I’m not allowed to tell you that.”

The Chinese state-backed Wuhan Institute of Virology has dismissed the allegations, and other U.S. officials have downplayed their likelihood. Most experts believe the virus originated in a market selling wildlife in Wuhan and jumped from animals to people.

Trump has shown increasing frustration with China in recent weeks over the pandemic, which has cost tens of thousands of lives in the United States alone, sparked an economic contraction and threatened his chances of re-election in November.

The Republican president said previously his administration was trying to determine whether the coronavirus emanated from the Wuhan lab, following media reports it may have been artificially synthesized at a China state-backed laboratory or perhaps escaped from such a facility.

U.S. Secretary of State Mike Pompeo said on Thursday it was not known whether the virus came from the lab.

“We don’t know if it came from the Wuhan Institute of Virology. We don’t know if it emanated from the wet market or yet some other place. We don’t know those answers,” Pompeo said in an interview with Newsradio 1040.

The spread of the coronavirus, which causes the respiratory disease COVID-19, has contributed to a deepening rift between the Trump administration and China. Beijing has suggested the U.S. military might have brought the virus to China and Trump has said China failed to alert the world to the risks in a timely and transparent fashion.

Trump also said on Thursday it was possible that China either could not stop the spread of the coronavirus or let it spread. He declined to say whether he held Chinese President Xi Jinping responsible for what he feels is misinformation about the emergence of the coronavirus.

Trump said of China’s efforts to get to the bottom of how the virus emerged: “At least they seem to be trying to be somewhat transparent with us.”

“But we’re going to find out. You’ll be learning in the not-too-distant future. But it’s a terrible thing that happened – whether they made a mistake or whether it started off as a mistake and then they made another one. Or did somebody do something on purpose?” he said.

Trump told Reuters in an interview on Wednesday that he was looking at different options in terms of consequences for Beijing over the virus. “I can do a lot,” he said.

(Reporting by Jeff Mason; Additional reporting by David Brunnstrom; Writing by Steve Holland and Alexandra Alper; Editing by Sandra Maler and Peter Cooney)

Long lines, lots of kids, and plenty to touch: How does Disney reopen its parks?

By Helen Coster and Lisa Richwine

(Reuters) – For a glimpse at how Disney recovers from the coronavirus pandemic, look no further than Shanghai, where the entertainment giant has staged a limited reopening of Shanghai Disney Resort. Adults, kids and senior citizens wear masks while wandering among staff and security guards who carry contact-less thermometers and hand sanitizer.

As some U.S. states lift stay-at-home orders, investors and park fans are watching to see how Walt Disney Co — which makes a third of its revenue from parks, experiences and products — reimagines the “happiest place on earth” for a world altered by the coronavirus.

The high-touch, high-volume, kid-centered nature of the parks, and Disney’s need to prevent damage to a brand synonymous with safety and families, will make reopening difficult, experts said.

Disney’s ability to reopen its parks in Asia, the United States and France will also be a powerful signal about how the world can get back to a semblance of normal as it deals with COVID-19.

“This is the greatest challenge that the industry has ever faced,” said Phil Hettema, founder of The Hettema Group, which designs theme park rides and other experiences.

Disney, which has not announced any plans to reopen the parks, declined to comment for this story.

Executive Chairman Bob Iger recently said checking guests’ temperature could become routine at Disney park entrances. Among other plans under consideration, according to a source briefed on Disney’s thinking: Rides like the Space Mountain roller coaster could stagger guests in each “rocket” to enforce social distancing. Guests could be notified via app or another technology when they can go on a ride or in a restaurant to eliminate lines.

Staffers, known as cast members, and guests could be required to wear masks. But in true Disney fashion, employees’ masks would be fun, not scary, the source said.

Disney on Thursday began online sales of face masks featuring Mickey Mouse, Baby Yoda and other characters and said up to $1 million in profits would go to charity.

Masks, now worn commonly across China, are ubiquitous in the shopping district outside Shanghai Disney, where workers disinfect a playground for 5- to 12-year-olds at noon and 3 p.m. daily. Temperature checks are mandated by local regulations, according to Shanghai Disney’s website.

Business and political leaders in Florida, home to Walt Disney World, have floated ideas such as limiting capacity at all theme parks during an initial re-opening phase.

The question that health experts and financial analysts are asking is whether any of these measures will be enough to protect employees, guests or Disney’s bottom line.

Social distancing could come at a steep price.

In April, UBS downgraded its rating on Disney and lowered its division profit estimates to $500 million in fiscal 2020 and just $200 million in 2021 compared to $6.8 billion in 2019.

Disney parks need to be running at roughly 50% of capacity to be profitable, according to the firm.

Investors will see a fuller impact of coronavirus when Disney releases its second-quarter results on May 5; Comcast said on Thursday that if its Universal Studios parks remain closed for the entire second quarter, the company would suffer an earnings before interest, tax, depreciation and amortization loss of roughly $500 million.

Financial analysts have predicted reopen dates for Disney ranging from as early as June to Jan. 1. Guidelines will be set by governors in California and Florida, where Iger and Walt Disney World Resort President Josh D’Amaro sit on state reopening task forces. The rest is up to Disney.

Although Disney and other large venues face an unprecedented challenge protecting guests from an easily spread airborne virus, experts and a former executive pointed to its experience handling crowds.

More than 157 million people visited Disney parks in 2018, according to the Themed Entertainment Association.

“If anybody can figure it out, Disney will,” said Dave Schmitt, founder of MR-ProFun, a consultant to theme parks.

Safeguards have limits. Temperature checks will not catch everyone infected, and most vaccines are not 100% effective, said Dr. Megan Murray, a global health professor at Harvard Medical School.

Even so, a vaccine would provide some reassurance for park-goers, according to a Reuters/Ipsos poll conducted from April 15-21. While a fifth of respondents said they would attend an amusement, theme or water park whenever they reopen, about 30% would go if a vaccine was available. The poll, which surveyed 4,429 American adults, noted that a vaccine might not be available for more than a year.

Loyal fans are counting on Disney to get this right. Chicago resident Kelly Alexis, 50, has been to Disney resorts 35 to 40 times and plans to go to Disney World with her family in October if the park is open.

“It’s just the feeling that they do things so perfectly and they will take every precaution,” Alexis said. “They’re not going to want to have an epidemic where everyone gets sick at Disney. They would never let that happen.”

(Reporting by Helen Coster in New York, Lisa Richwine in Los Angeles, and Shanghai Newsroom; Additional reporting by Arriana McLymore in Raleigh, North Carolina; Editing by Kenneth Li and Lisa Shumaker)

Trump signs order to protect the U.S. electricity system: Energy Dept

WASHINGTON (Reuters) – President Donald Trump signed an executive order on Friday that seeks to protect the U.S. electricity system from cyber and other attacks, the Energy Department said in a release, in a move that could put barriers on some imports from China and Russia.

“It is imperative the bulk-power system be secured against exploitation and attacks by foreign threats,” Energy Secretary Dan Brouillette said in the news release. The order will “greatly diminish the ability of foreign adversaries to target our critical electric infrastructure,” he said.

A senior Energy Department official said that the order was not directed at any new threat, but the result of a process to bolster the power system.

The 2019 Worldwide Threat Assessment issued by then-U.S. Director of National Intelligence Dan Coates said that China and Russia and other countries were using cyber techniques to spy on U.S. infrastructure.

The power system not only delivers electricity to homes and businesses, but supports the military and emergency systems.

The Energy Department said that government rules about buying equipment for the power grid “often result in contracts being awarded to the lowest-cost bids, a vulnerability that can be exploited by those with malicious intent.”

The order authorizes Brouillette to work with Trump’s Cabinet and the energy industry on protecting the electricity system.

(Reporting by Timothy Gardner, Doina Chiacu and Nichola Groom in Los Angeles; Editing by Chizu Nomiyama and Jonathan Oatis)

Woman living in her car brings sandwiches, love to the homeless of Houston

(Reuters) – Dominick SeJohn Walton spots a man with a shopping cart piled high with belongings and a sign that says “Homeless. Please Help” under a Texas highway overpass. With the coronavirus keeping many at home, the road is quieter than usual.

FILE PHOTO: Dominick Walton, who is homeless herself, leaves food bags for homeless people amid the coronavirus disease (COVID-19) outbreak in Houston, Texas, U.S., April 19, 2020. REUTERS/Go Nakamura

She hands him a plastic bag filled with a baloney and cheese sandwich, cookies, and applesauce. On the outside she has written in permanent blue marker: ‘God Bless. Jesus loves you. I love you!’

Walton knows what it is like to be homeless and hungry. She is currently living mainly in her car, sleeping at her sister’s apartment in Houston sometimes.

“I started serving meals to the homeless because I understand what it’s like not to know where your next meal is going to come from and that’s the least that I feel like we can do for our community is to give back,” said the 27-year-old.

Walton’s car became her home after she became depressed following surgery for an ectopic pregnancy. She quit her job as a gas station cashier and is now living in the 2010 Chevrolet Malibu, trying to save enough money to start a t-shirt business featuring her own designs. She was recently hired by a non-profit organization that distributes meals to low-income families.

In many U.S. cities, homeless people are spending their nights on empty trains, or camping behind closed businesses and under deserted highways. Many fear to enter homeless shelters, where the coronavirus can spread fast.

Walton drives around and spots a man sitting on the ground.

“Hello sir,” she calls out, her big smile hidden behind the surgical mask she wears. He does not respond, perhaps dozing, so she touches his elbow with her gloved hand to give him some food.

FILE PHOTO: Dominick Walton, who is homeless, sleeps in her car amid the coronavirus disease (COVID-19) in Houston, Texas, U.S., April 26, 2020. REUTERS/Go Nakamura

Walton buys the groceries herself or uses leftovers from her employer, making the bags in her sister’s apartment, where her 1-year-old and 4-year-old nieces play.

When she is done for the day, she parks her car near a mall, park, or just a quiet neighborhood, propping her cellphone against the car window while she stretches out in the front seat.

Her dreams: A t-shirt business so successful that she can give away even more food.

(Reporting by Go Nakamura; Writing by Lisa Shumaker; Editing by Rosalba O’Brien)