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UBS must face US investor litigation over Credit Suisse demise
By Jonathan Stempel
NEW YORK (Reuters) -UBS must face two lawsuits by investors who said the former Credit Suisse defrauded them prior to its March 2023 demise with false and misleading statements about its financial condition, a U.S. judge ruled on Monday.
U.S. District Judge Colleen McMahon in Manhattan said Core Capital Partners may sue on behalf of U.S. purchasers of Credit Suisse Additional Tier 1 bonds, which a Swiss regulator ordered written down to zero as part of UBS’ rescue of that bank.
McMahon also said U.S. purchasers of Credit Suisse’s American depositary shares and several other bond issues may pursue their separate lawsuit, which she refused to dismiss last September, as a group in a class action.
She declined to combine the two lawsuits, after Core Capital accused the lead plaintiff in the other case, a New York University engineering professor, of having “abandoned” the AT1 bondholders.
UBS declined to comment.
Other defendants include Credit Suisse’s former chief executive Ulrich Koerner, former chairman Axel Lehmann and former chief financial officer Dixit Joshi. Their lawyers did not immediately respond to requests for comment.
AT1 bonds are a capital cushion that can support banks during market turmoil.
Though they rank above shares in banks’ capital structures, Switzerland’s financial regulator FINMA ordered Credit Suisse to write down 16 billion Swiss francs (now about $20 billion) of the bonds, while letting UBS buy that bank for $3 billion.
The writedown shocked investors and prompted many lawsuits in the United States and Europe.
In seeking a dismissal of Core Capital’s lawsuit, the defendants said the FINMA-ordered writedown, not any alleged fraudulent misstatements, caused the bondholder losses.
But the judge found it plausible that disclosures of the defendants’ alleged fraud caused the value of the AT1 bonds to decline, “ultimately culminating in the eventual write-down of all Credit Suisse AT1 bonds to a value of zero.”
In February 2024, McMahon dismissed a separate U.S. investor lawsuit blaming two decades of “continuous mismanagement” for Credit Suisse’s collapse.
(Reporting by Jonathan Stempel in New York; Editing by Stephen Coates)
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Amazon doubles Prime Day to a four-day event
NEW YORK (AP) — Amazon is extending its annual Prime Day sales and offering new membership perks to Gen Z shoppers amid tariff-related price worries and possibly some consumer boredom with an event marking its 11th year.
The e-commerce giant’s promised blitz of summer deals for Prime members starts at 3:01 a.m. Eastern time on Tuesday. For the first time, Seattle-based Amazon is holding the now-misnamed Prime Day over four days; the company launched the event in 2015 and expanded it to two days in 2019.
Before wrapping up Prime Day 2025 early Friday, Amazon said it would have deals dropping as often as every 5 minutes during certain periods. Prime members ages 18-24, who pay $7.49 per month instead of the $14.99 that older customers not eligible for discounted rates pay for free shipping and other benefits, will receive 5% cash back on their purchases for a limited time.
Amazon executives declined to comment on the potential impact of tariffs on Prime Day deals. The event is taking place two and a half months after an online news report sparked speculation that Amazon planned to display added tariff costs next to product prices on its website.
White House Press Secretary Karoline Leavitt denounced the purported change as a “hostile and political act” before Amazon clarified the idea had been floated for its low-cost Haul storefront but never approved.
Amazon’s past success with using Prime Day to drive sales and attract new members spurred other major retail chains to schedule competing sales in July. Best Buy, Target and Walmart are repeating the practice this year.
Like Amazon, Walmart is adding two more days to its promotional period, which starts Tuesday and runs through July 13. The nation’s largest retailer is making its summer deals available in stores as well as online for the first time.
Here’s what to expect:
More days might not mean more spending
Amazon expanded Prime Day this year because shoppers “wanted more time to shop and save,” Amazon Prime Vice President Jamil Ghani recently told The Associated Press.
Analysts are unsure the extra days will translate into more purchases given that renewed inflation worries and potential price increases from tariffs may make consumers less willing to spend. Amazon doesn’t disclose Prime Day sales figures but said last year that the event achieved record global sales.
Adobe Digital Insights predicts that the sales event will drive $23.8 billion in overall online spending from July 8 to July 11, 28.4% more than the similar period last year. In 2024 and 2023, online sales increased 11% and 6.1% during the comparable four days of July.
Vivek Pandya, lead analyst at Adobe Digital Insights, noted that Amazon’s move to stretch the sales event to four days is a big opportunity to “really amplify and accelerate the spending velocity.”
Caila Schwartz, director of consumer insights and strategy at software company Salesforce, noted that July sales in general have lost some momentum in recent years. Amazon is not a Salesforce customer, so the business software company is not privy to Prime Day figures.
“What we saw last year was that (shoppers) bought and then they were done, ” Schwartz said. “We know that the consumer is still really cautious. So it’s likely we could see a similar pattern where they come out early, they’re ready to buy and then they take a step back.”
Tariffs don’t seem to be impacting costs much (so far)
Amazon executives reported in May that the company and many of its third-party sellers tried to beat big import tax bills by stocking up on foreign goods before President Donald Trump’s tariffs took effect. And because of that move, a fair number of third-party sellers hadn’t changed their pricing at that time, Amazon said.
Adobe Digital Insights’ Pandya expects discounts to remain on par with last year and for other U.S. retail companies to mark 10% to 24% off the manufacturers’ suggested retail price between Tuesday and Friday.
Salesforce’s Schwartz said she’s noticed retailers becoming more precise with their discounts, such as offering promotion codes that apply to selected products instead of their entire websites.
Shoppers might focus on necessities
Amazon Prime and other July sales have historically helped jump-start back-to-school spending and encouraged advance planners to buy other seasonal merchandise earlier. Analysts said they expected U.S. consumers to make purchases this week out of fear that tariffs will make items more expensive later.
Brett Rose, CEO of United National Consumer Supplies, a wholesale distributor of overstocked goods like toys and beauty products, thinks shoppers will go for items like beauty essentials.
“They’re going to buy more everyday items,” he said.
A look at the discounts
As in past years, Amazon offered early deals leading up to Prime Day. For the big event, Amazon said it would have special discounts on Alexa-enabled products like Echo, Fire TV and Fire tablets.
Walmart said its July sale would include a 32-inch Samsung smart monitor priced at $199 instead of $299.99; and $50 off a 50-Inch Vizio Smart TV with a standard retail price of $298.00. Target said it was maintaining its 2024 prices on key back-to-school items, including a $5 backpack and a selection of 20 school supplies totaling less than $20.
Some third-party sellers will sit out Prime Day
Independent businesses that sell goods through Amazon account for more than 60% of the company’s retail sales. Some third-party sellers are expected to sit out Prime Day and not offer discounts to preserve their profit margins during the ongoing tariff uncertainty, analysts said.
Rose, of United National Consumer Supplies, said he spoke with third-party sellers who said they would rather take a sales hit this week than use up a lot of their pre-tariffs inventory now and risk seeing their profit margins suffer later.
However, some independent businesses that market their products on Amazon are looking to Prime Day to make a dent in the inventory they built up earlier in the year to avoid tariffs.
Home fragrance company Outdoor Fellow, which makes about 30% of its sales through Amazon’s marketplace, gets most of its candle lids, labels, jars, reed diffusers and other items from China, founder Patrick Jones said. Fearing high costs from tariffs, Jones stocked up at the beginning of the year, roughly doubling his inventory.
For Prime Day, he plans to offer bigger discounts, such as 32% off the price of a candle normally priced at $34, Jones said.
“All the product that we have on Amazon right now is still from the inventory that we got before the tariffs went into effect,” he said. “So we’re still able to offer the discount that we’re planning on doing.”
Jones said he was waiting to find out if the order he placed in June will incur large customs duties when the goods arrive from China in a few weeks.
___
AP Business Writer Mae Anderson contributed to this report.
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MacBooks, Windows 11 machines, Chromebooks and others
So you need a new laptop — you’ve waited for the right time. Amazon Prime Day 2025, as has been in years past, offers a ton of laptop deals to consider. All kinds of devices are on sale this year, from refreshed MacBooks to high-end gaming machines to already affordable notebooks. But sussing out a good deal from a just-ok deal (or even worse, a bad deal all together), can be a challenge. Laptop prices on Amazon are all over the place even when it’s not Prime Day depending on the configuration of the notebook, the brand, the seller and a bunch of other factors.
This is where Engadget can help. We’ve poured over the Prime Day laptop deals available this year to pick out the best ones you can get across all kinds of computers. As always, if you’re super particular about the display panel you want in your next laptop, or you know you want to get as much RAM as possible, we recommend going straight to manufacturers to customize your next PC. But if you’re willing to work with premade models, Prime Day deals could help you save some cash on your next laptop.
Prime Day laptop deals: MacBooks
Apple’s latest laptops are the MacBook Air M4 and the MacBook Pro M4, but the M3-powered machines are still available and great values when you can get them at steep discounts. But for the most future-proof options, we recommend going with the M4 MacBooks. Amazon actually has decent MacBook deals throughout the year, most of the time on the base configurations of any given model. In a welcomed update, Apple recently made all base models of the MacBook Air M4 have 16GB of RAM by default (which is the same as you’ll find on the base-level Pros).
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MacBook Air (15-inch, M4, 16GB RAM, 256GB SSD) for $1,049 ($150 off)
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MacBook Air (15-inch, M3, 24GB RAM, 512GB SSD) for $1,249 (26 percent off)
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MacBook Pro (14-inch, M4, 16GB RAM, 512GB SSD) for $1,429 (11 percent off)
Prime day laptop deals: Windows laptops
You’ve got a lot of variety to choose from when it comes to Windows laptops, and that can be a blessing or a curse. We recommend looking for a laptop from a reputable brand (i.e. Microsoft, Dell, Acer, Lenovo and others like them), and one that can handle daily work or play pressures. That means at least 8GB of RAM and 245GB of SSD storage, plus the latest Intel or AMD CPUs. If you’re looking for a new gaming laptop, you’ll need a bit more power and a dedicated graphics card to boot. Now is a good time to consider upgrading as well since Windows 10 will be sunset in October this year and Microsoft has recommended users upgrade to newer Windows 11 laptops.
Prime Day laptop deals: Chromebooks
Most Chromebooks start off pretty affordable, so that just means you can get them for even less during an event like Prime Day. If you’re a Chrome OS lover, it’s also a decent time to check out sales on premium Chromebooks, which can usually cost $500 or more. In general, we recommend looking for at least 4 to 8GB of RAM and at least 128GB of SDD storage in a Chromebook that you plan on using as your daily driver.
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