Business briefs - June 26, 2024

FDA warns maker of Sara Lee and Entenmann's not to claim foods contain allergens when they don't

Federal food safety regulators are warning Bimbo Bakeries USA to stop using misleading labels that say products contain potentially dangerous allergens when they don't. Bimbo is the company behind major baked goods brands such as Sara Lee, Thomas', Oroweat and Entenmann's. U.S. Food and Drug Administration inspectors found that the company listed ingredients such as sesame or tree nuts on labels when they weren't in the foods. FDA officials said Tuesday that food labels must be truthful. They also say labeling is not a substitute for preventing cross-contamination. Bimbo says it's working with FDA to resolve the issue.

Midwestern carbon dioxide pipeline project gets approval in Iowa, but still has a long way to go

Iowa regulators have approved a controversial carbon dioxide pipeline for transporting emissions of the climate-warming greenhouse gas for storage underground. But the project faces setbacks in other states and landowners around the Midwest. Regulators on Tuesday approved Summit Carbon Solutions' application for a permit to build and operate its pipeline. The $5.5 billion, 2,500-mile pipeline network would carry CO2 emissions from dozens of ethanol plants to be buried deep underground in North Dakota. Farmers and the ethanol industry see it a way to support new aviation fuel markets. Many landowners are opposed because they fear the taking of their land or a pipeline rupture releasing dangerous CO2 gas.

Microsoft breached antitrust rules by bundling Teams with office software, European Union says

LONDON (AP) — European Union regulators have accused Microsoft of "possibly abusive" practices that violate the bloc's antitrust rules by tying its Teams messaging and videoconferencing app to its widely used business software. The European Commission said it's concerned the U.S. tech giant has been "restricting competition" by bundling Teams with its core office productivity applications such as Office 365 and Microsoft 365. The commission, the 27-nation bloc's top antitrust enforcer, said it suspects Microsoft might have granted Teams a "distribution advantage." Microsoft has since stopped packaging teams with Office in Europe but the commission said it's not enough. Microsoft President Brad Smith said the company will work to find solutions to address the Commission's remaining concerns."

Consumer confidence in U.S. falls in June as Americans fret about near-term prospects

American consumers lost some confidence in June as expectations over the near-term future fell again. The Conference Board, a business research group, said Tuesday that its consumer confidence index fell in June to 100.4 from 101.3 in May. The index's decline was in line with what analysts were expecting. The measure of Americans' short-term expectations for income, business and the job market fell to 73 from 74.9 in May. A reading under 80 can signal a potential recession in the near future. Consumers' view of current conditions rose in June to 141.5, up from 140.8 in May.

GM brings in new CEO to steer troubled Cruise robotaxi service while Waymo ramps up in San Francisco

General Motors has named a veteran technology executive with roots in the video game industry to steer its troubled robotaxi service Cruise. The announcement comes as Cruise tries to recover from a gruesome collision that triggered the suspension of its California license. Marc Whitten, will take over as Cruise's chief executive nearly nine months after one of the service's robotaxis dragged a jaywalking pedestrian — who had just been struck by a vehicle driven by a human — across a darkened street in San Francisco. He was one of the key engineers behind the Xbox video game console. Meanwhile, rival robotaxi service Waymo says its driverless vehicles are ready to give rides to anyone who wants one in San Francisco after limited service to a waiting list.