US, EU Economies Going Opposite Ways? & The Fatal Aircraft Collision in DC

Summary

Morning Brew Daily - January 31, 2025

Hosts: Neal Freyman and Toby Howell
Episode Title: US, EU Economies Going Opposite Ways? & The Fatal Aircraft Collision in DC
Description: Morning Brew Daily delivers the latest news on business, the economy, and more with a witty and informative twist to kickstart your day.

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1. Deadliest Aircraft Collision in Over Two Decades

The episode opens with a somber discussion about the tragic mid-air collision in Washington D.C., marking the deadliest plane crash on US soil in nearly 24 years. An American Airlines regional jet collided with a U.S. Army Blackhawk helicopter, resulting in 67 fatalities.

Key Points:

• Investigation Insights: The preliminary FAA investigation revealed that a single air traffic controller was managing both the helicopters and planes landing at Reagan Airport at the time of the accident, a role typically split between two controllers ([03:45]).
• Airspace Congestion: The skies over D.C. are among the busiest globally, with Reagan National Airport experiencing approximately 800 daily takeoffs and landings. The congested airspace, combined with chronic understaffing, raises significant safety concerns ([05:16]).
• Political Reactions: Former President Trump attributed the crash to DEI hiring policies without providing evidence, while current administration officials like Biden and Obama did not support his claims ([03:45]).

Notable Quotes:

• Neal Freyman: "Air traffic control facilities all over the country have been understaffed for years, but this crash highlights the dangers." ([03:45])
• Toby Howell: "The nation's air traffic infrastructure is just very stressed right now, and this is just potentially a manifestation of that." ([05:16])

2. Diverging Economies: US vs. Europe

Neal and Toby delve into the stark contrast between the economic trajectories of the United States and Europe.

United States:

• Economic Growth: The US economy grew at a 2.3% annualized pace in Q4 2024, totaling a 2.8% GDP increase for the year ([07:00]).
• Consumer Spending: Driven by robust consumer spending, which rose 4.2% in the final quarter ([07:00]).
• Employment: Low unemployment rates and a strong job market underpin the steady economic performance ([07:00]).

Europe:

• Economic Stagnation: The Eurozone experienced zero GDP growth for the final three quarters of the year, prompting the European Central Bank (ECB) to lower interest rates for the fifth time in six meetings ([08:40]).
• Inflation Challenges: Despite rate cuts, inflation in Europe rose to 2.4%, creating a tough balancing act for the ECB ([08:40]).
• Country-Specific Struggles: Major economies like Germany and France saw contractions, while only Spain and Portugal managed some growth, primarily from tourism ([09:19]).

Notable Quotes:

• Toby Howell: "The split screen could not be more stark... Fed Chair Jerome Powell hold rates steady because the US economy is booming. Not 12 hours later, Europe's central bank cut rates because their economy has hit a wall." ([08:40])
• Neal Freyman: "Germany... their economy fell in the final three months of 2020. For France... fell. Output was flat in Italy." ([09:19])

3. Stock of the Week: Chili's

Chili's has emerged as a standout performer in the restaurant industry, earning the Stock of the Week accolade.

Key Points:

• Stock Performance: Shares surged by 20% following Brinker International's earnings report, with sales at long-standing locations up by 31% in Q4 2024 ([11:00]).
• Innovative Strategies: Introduction of the "Triple Dipper Platter" on TikTok propelled Chili's into a viral sensation, attracting more foot traffic without raising prices ([12:44]).
• Analyst Praise: Analysts lauded Chili's for achieving unprecedented sales growth without relying on price hikes, hailing CEO Kevin Hockman for transformative leadership ([11:00]).

Notable Quotes:

• Neal Freyman: "Chili's is doing things no restaurant of its size and age has ever done." ([11:00])
• Toby Howell: "Chili's is America's hottest restaurant... part of the reason people love Chili's is it just found this groove on a social media." ([12:44])

4. Dog of the Week: UPS's Strategic Shift Away from Amazon

UPS announced a significant strategic move to reduce its dependency on Amazon, planning to phase out over half of its business with the e-commerce giant within the next 18 months.

Key Points:

• Profitability Focus: UPS CEO Carol Tomei explained that despite the high volume, Amazon's business had thin margins, impacting overall profitability ([14:39]).
• Market Realignment: The move necessitates a substantial realignment of UPS's delivery network, posing execution challenges ([15:15]).
• Industry Context: FedEx had previously eliminated Amazon from its delivery network in 2019, adding pressure on UPS to optimize its client portfolio ([15:55]).

Notable Quotes:

• Neal Freyman: "It's all about protecting its margins... shedding itself off Amazon will allow it to focus on more profitable lines of business." ([14:39])
• Toby Howell: "It's all about protecting its margins... it's shedding 50% of its entire revenue to move into more profitable segments." ([15:55])

5. Blue Man Group Bids Farewell to NYC

The iconic Blue Man Group is closing its New York City show after a 34-year run, marking the end of an era for fans and the city's cultural landscape.

Key Points:

• Cultural Impact: Over 17,800 performances and 82,150 gallons of paint used, the Blue Man Group became a staple of NYC's entertainment scene since 1991 ([18:07]).
• Reasons for Closure: Owned by Cirque du Soleil, the closure follows financial struggles post-2020 bankruptcy, though specific reasons remain undisclosed ([21:12]).
• Fan Reactions: Hosts reminisce about personal experiences and the group's influence on pop culture, citing appearances on shows like Jay Leno and "Arrested Development" ([18:07]).

Notable Quotes:

• Toby Howell: "I think it was in San Francisco when I was growing up. I still remember it. It is incredible. One of my favorite performances." ([18:07])
• Neal Freyman: "They truly are a global phenomenon... they became something bigger than just three guys in a dark basement playing PVC pipe drums." ([21:12])

6. Global Planetary Defense: Asteroid 2024 YR4

An asteroid approximately 100 meters wide, designated 2024 YR4, has triggered global planetary defense protocols due to a 1.3% chance of impacting Earth in December 2032.

Key Points:

• Risk Assessment: Rated as a 3 on the Torino Scale, this is the second-highest rating ever assigned, signifying significant but not certain risk ([22:13]).
• Impact Potential: If it strikes, it could devastate a major city, similar to the 1908 Tunguska event that flattened 800 square miles of Siberian forest ([23:05]).
• Future Monitoring: Further observations are scheduled for 2028 when the asteroid returns, refining impact probability estimates ([24:03]).

Notable Quotes:

• Neal Freyman: "They know the exact date that it could impact Earth. If it does happen on December 22, 2032, that is some physics." ([24:03])
• Toby Howell: "Because there's also a 98.7% chance that it misses. I'm choosing to take the glass 98.7% full approach here." ([23:05])

7. Pizza Chains Enter the Wine Market

Domino's and Pizza Hut are launching wine offerings tailored to complement their pizzas, sparking what Neal humorously refers to as a "wine and pizza war."

Key Points:

• Domino's Initiative: Partnering with an Australian winemaker to release a limited-edition red blend aimed at pairing with their Triple Dipper Platter ([24:11]).
• Pizza Hut's Approach: Introducing a tomato-based wine infused with natural basil, aligning closely with their pizza flavors ([25:14]).
• Consumer Pairing Trends: Neal questions the practicality of wine with "crappy pizza," while Toby suggests alternative pairings like coffee to complement cheese ([25:48]).

Notable Quotes:

• Toby Howell: "I think we're in the middle of a wine and pizza war right now." ([24:11])
• Neal Freyman: "The bigger question is, is wine what you want to drink to accompany a crappy pizza?" ([25:14])

8. Wholesome Story: Baby Born at Krispy Kreme

Ending on a heartwarming note, Toby shares the story of a baby born in the parking lot of a Krispy Kreme in Alabama during a severe snowstorm. Krispy Kreme responded by offering free donuts and annual birthday parties for the child, Dallas.

Key Points:

• Circumstances: Shania Bennett's water broke during a snowstorm while driving to the hospital, leading her to give birth at a familiar Krispy Kreme location ([26:15]).
• Community Support: Krispy Kreme's generous response highlights the brand's commitment to community and customer care ([27:28]).
• Fun Anecdote: Toby humorously contemplates middle names like "Glaze" for Dallas, tying the story back to Krispy Kreme's signature product ([27:59]).

Notable Quotes:

• Toby Howell: "Imagine. Oh, that's Glaze. He was born in the parking lot of Krispy Kreme. I would definitely accept the nickname Glaze." ([27:59])
• Neal Freyman: "Which store's parking lot would you like to be born in?" ([27:28])

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Conclusion

Neal and Toby wrap up the episode with their characteristic blend of insightful analysis and lighthearted banter, encouraging listeners to share the podcast and engage with their content. The episode offers a comprehensive overview of significant events ranging from economic shifts and corporate strategies to cultural phenomena and uplifting human-interest stories.

Final Remarks:

• Neal Freyman: "Thanks so much for starting your morning with us. Have a great Friday and an even better weekend." ([28:05])
• Toby Howell: "I want you to share the podcast with someone who, unlike me, completed dry January." ([28:51])

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Credits:
Executive Producer: Emily Milian
Producer: Raymond Liu
Associate Producer: Olivia Graham
Technical Director: Lonnie Fiskus
Audio: Scoops Garderas
Chief Content Officer: Devin Emery
Production: Morning Brew

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This structured summary captures all the essential discussions, insights, and conclusions from the Morning Brew Daily episode, complete with notable quotes and timestamps for reference. It provides a comprehensive overview suitable for those who haven't listened to the episode.

Transcript

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[Neal Freyman]

Good morning Brew Daily Show. I'm Neal Freyman.

[Toby Howell]

And I'm Toby Howell.

[Neal Freyman]

Today, everything we know about the deadliest plane crash on US soil in over two decades.

[Toby Howell]

Then the US and Europe's economies are heading in two completely different directions. It's Friday, January 31st. Let's ride.

[Neal Freyman]

It is January 31st, the final day of the first month of the year. And congratulations to everyone who successfully completed Dry January. I raise a glass of apple, apple juice to you, Toby. You were doing Dry January. Should I be toasting to you as well?

[Toby Howell]

Well, Neil, I did Slightly Wet January, but I have a good excuse. I had a friend visit New York City last weekend. We went to a comedy show that, to put it lightly, was the worst comedy show I have ever seen. And I didn't want to leave. So I did the next best thing, which led to the unfortunate end of my Dry January. So do not blame me. Blame a really deadbeat audience in a 6pm start time. So Slightly Wet January. Thank you though you can still toast me. Now a word from our sponsor, Yahoo Finance. Neil, I've been listening to the Odyssey while I've been working out recently and I got to say, it slaps.

[Neal Freyman]

I'm sure Homer appreciates your review, Toby.

[Toby Howell]

Two themes have stood out to me. One, characters like Odysseus, his wife Penelope take a very long term view of things, holding out hope over years that Odysseus will return.

[Neal Freyman]

I see where you're going with this. Kind of like how investors need to have long term horizons when considering where they put their money.

[Toby Howell]

And then the other theme, knowledge. Odysseus visits tons of gods and oracles, even goes down to Hades to talk to the dead. All in the pursuit of learning more about how he may complete his journey home.

[Neal Freyman]

Yahoo Finance makes it way easier than traveling to the underworld. You can just head to its research tab to get insights from experts or read research reports. No bargains with Persephone required.

[Toby Howell]

If you want to stay informed about the market without going on an Odyssey, head to yahoo.finance.com that's yahoo.finance.com no survivors are expected to be found from the mid air collision between an American Airlines regional jet and a U.S. army Blackhawk helicopter that shocked the D.C. community late Wednesday night. With 67 victims in total, it was the deadliest crash in nearly 24 years and ending an era of unprecedented US airline safety. After a moment of silence to honor the victims before his remarks at the White House, Trump was quick to lay the blame for the crash on DEI hiring policies and his Democratic predecessors. Biden and Obama, though, didn't provide any evidence to support his theories. Here's what we do know. Audio recordings show air traffic controllers made two attempts to warn the helicopter. The first was made 30 seconds before the crash. The second just a few seconds before A preliminary investigation by the FAA found that a single controller was handling both helicopters and planes landing at the Reagan Airport when the accident occurred. Those jobs are typically assigned to two controllers, not just one, the New York Times reported. Neal Air traffic control facilities all over the country have been understaffed for years, but this crash highlights the dangers. You push a fragile system to its limit.

[Neal Freyman]

Yeah, and we should say that investigators are still it's just the beginning of the investigation to figure out exactly what happened. These things take weeks, months, but two major concerns have been raised here. Is D.C. airspace too crowded and are there enough air traffic controllers on the job? Let's start with that congested airspace. Skies over D.C. are among the busiest of anywhere in the world. You have planes landing at DCA Reagan, two other airports in the vicinity, as well as a ton of military helicopter flights. This is the capital of the United states. Over a three year period ending in 2019, there were 88,000 helicopter flights within 30 miles of Reagan National Airport. That's nearly 100 per day. @ the same time, DCA is very busy. It's squashed on this peninsula of land surrounded by water on three sides. And this Runway that they use, the one that's most active, they use 90% for their flights, basically is the busiest Runway in the entire United states. You have 800 daily takeoffs and landings. That effectively means you have a takeoff or landing once a minute across the entire day. So this is a very busy airspace. It is very controlled and should be very safe because it is Washington D.C. the cradle of the United States government. So people were quick to point out the congestion around DC's skies and that has been actually A major talking point among lawmakers about whether to allow more flights into DCA over the past few years.

[Toby Howell]

And then the background context of all this too is that there's been a lot of internal upheaval at the highest levels of the FAA right now. Mike Whitaker, the former FAA administrative administration head, resigned 11 days ago under pressure from Elon Musk, actually. And then yet just yesterday, Trump appointed a new acting head. But again, this is someone who is coming in one day after this, this accident. So it's, it's been unclear who was actually running the FAA for a period of around 10 days. I mean, U.S. transportation Secretary Sean Duffy was sworn in on January 28th. That was one day before this accident. And if you just zoom out further in the post pandemic era, a lot of airline experts have warned that, you know, US Air traffic systems are just over capacity right now. There are more flights now than there were in that pre pandemic period. But a lot of people have retired. There's been a lot of turnover at both on the ground and in operations. So they're saying that this is the nation's air traffic infrastructure is just very stressed right now, is remain very stressed. And this is just potentially a manifestation of that.

[Neal Freyman]

There is chronic, chronic staffing shortages at air traffic control facilities. In 2023, they found that the tower at DCA there were nearly a third of staff below their target levels. They wanted, they, the Union and the FAA said they wanted 30 at this tower. There are 19 fully certified controllers as of September 2023. And I just want to stress these are the very early innings. These are big picture topics about FAA shortages and congested airspace. So we don't know exactly what happened on in disguise here, why this helicopter crashed into this, this regional jet, which both were flying very routine missions. The, the jet was on its final approach. Nothing seemed, seemed off. They were both equipped with, with these transponders that should alert each other and communicate with each other about different aircraft in the vicinity. So this, this investigation is just beginning. New data released yesterday showed the US And European economies going in wildly different directions as America zooms ahead while Europe, unlike its ranks, remains on ice. The U.S. economy grew at a 2.3% annualized pace in the fourth quarter. The Commerce Department said Thursday. That was below expectations, but still really, really solid. It caps off a year 2024 in which GDP rose 2.8%, pretty much on par with growth in 2023 and faster than in 2022. All those economists who predicted a years back have been inducted into the freezing cold takes hall of Fame. A truly resilient economy we've got right now in Europe. They cannot say the same growth in the eurozone. The 20 countries that use the euro came in at zero for the final three quarters of the year. Economic stagnation prompted the European Central bank to lower interest rates yesterday for the fifth time in six meetings. Explaining the rate cut, ECB President Christine Lagarde gave the opposite of a halftime pop up speech, warning that the region's economy was set to remain weak in the near term. Toby the split screen could not be more stark. On Wednesday, you had Fed Chair Jerome Powell hold rates steady because the US economy is booming. Not 12 hours later, Europe's central bank cut rates because their economy has hit a wall.

[Toby Howell]

And they're in such an awkward spot right now because how many more times can the European Central bank even afford to cut rates? Because inflation has also risen for the last three months in a row. It's at 2.4%. It's got this. It's just creating this uncomfortable backdrop to this very stagnant economy. Because on the one hand, what are you supposed to do? Your economy isn't growing at all. You cannot burden it with higher interest rates. But at the same time, you do not want inflationary pressure to start creeping back up. So they're really in this tough situation. I'm not sure what you're supposed to do if you are the European Central bank, because both roads that you see in front of you lead to not very happy outcomes.

[Neal Freyman]

I think they have to continue to cut rates. They can't cut rates fast enough. Right now. If you just go country by country, things are just not looking good. Germany, which is this manufacturing, industrial, industrial powerhouse, historically contracted, their economy fell in the final three months of 2020. For France, the other eurozone powerhouse, fell, Their economy fell in the fourth quarter. Output was flat in Italy. And the only countries that seem to be doing okay are Spain and Portugal, whose economies grew partially thanks to all the tourism that those countries are getting. So line by line, it is not a pretty picture across the continent.

[Toby Howell]

And Europe has this very export oriented economy. They very much send a lot of goods to the United States. And what does that make them? It makes them very exposed. Exposed to tariffs that come from the United States. A lot of businesses have said we're pausing investment before we figure out what's going on, what Trump will pass down, what policies he will actually institute. Those policies are becoming clearer because yesterday Trump reiterated that he does plan to put 25% tariffs on imports from Mexico and Canada. Those are two of America's top three trading partners. So even though there is some uncertainty when it comes to Europe, it does look like Trump will follow through on some of these tariffs. So that just intensifies pressure on the eurozone because if those tariffs come down, it is not going to be good because it is such an export heavy economy.

[Neal Freyman]

And we've been ragging on Europe a lot over this segment. But let's talk about the United States economy. I mean, it is doing really well. 2.3% growth in the past quarter, 2.8% growth over the past year. It is powered again and again by consumer spending. Consumer spending rose 4.2% in the final quarter of 2024. It accounts for 2/3 of the entire GDP of America. So kudos to everyone just keeping keeping on spending. It has to do with that low unemployment rate and the strong job market that America has. So really we've seen such a divergence between the US And European economies since COVID You know, since COVID happened, basically. Welcome to Stock of the Week. Dog of the Week, the segment where Toby and I bring you one stock that harmonizes like Jacob Collier and another that sounds more like Bob Dylan. I won the pre show ticket to ride match. Charleston to Portland is undefeated, defeated. So I get to go first. And my stock of the week is Chili's. Yes. A two time Stock of the week awardee. Aren't you tired of winning? Chili's hasn't been sucking up to us. It's just that every time its parent company, Brinker International reports earnings, its stock keeps going up, setting fresh record highs. This week. Shares soared 20% after a quarter that one analyst called otherworldly. Basically, Chili's is doing things no restaurant of its size and age has ever done. Sales at locations open for at least a year jumped 31% in the last three months of 2024, its third straight quarter of double digit sales growth. And that's not from higher prices. Foot traffic jumped 20%. The quarter was so ridiculous that analysts said the word congratulations to the company 11 times, according to CNN. One told CEO Kevin Hockman that he's going to write a great book on this someday. He needs to. Because other companies could learn a lot from how he turned Chilies from a run of the mill casual chain into a viral sensation and financial juggernaut. Toby While the broader restaurant industry is seeing empty chairs at empty tables, Chili's is master of the house.

[Toby Howell]

I mean, CNN wrote the headline Chili's is America's hottest restaurant. And I am not one to disagree. That foot traffic stat is really illuminating of what's going on here because yes, you can increase profits by raising prices. A lot of fast food companies have done that recently to make up for falling foot traffic. Chili's went and said absolutely not. We did not raise prices. People just love us. And more people are coming in to our restaurant. Part of the reason why people love Chili's is it just found this groove on a social media Remember we talked about TikTok and the rise of its triple dipper platter, which lets you order three appetizers for under $20. This is something that has been around for decades, but for some reason, one TikTok video, a couple of Tik Tok videos just hit the algorithm correctly and all of a sudden it became like this meme. But it's not even a meme because people are actually following through on it. So it's definitely a story of a little bit of luck. But then I guess some they just found the right dish at the right price point for the right consumer at the right time. Here our dog of the week is up. If you want a fast track to the MBD Dog of the Week section of the show, a good way to get there is to announce you are going to do a lot less business with your biggest customer. UPS plans to phase out more than half of the business it does with Amazon over the next 18 months, a move that sent its stock spiraling 14% yesterday. Now, why would you want to wean yourself off the Amazon money faucet that accounted for over $1 billion of UPS total revenue last year? Amazon is our largest customer, but it's not our most profitable customer, UPS CEO Carol Tomei explained on yesterday's earnings call. Even though the volume is there, margins are tight and it's hurting overall profitability. Neal seems counterintuitive to cut ties like this, but UPS thinks that finally shedding itself of Amazon will allow it to focus on more profitable lines of business.

[Neal Freyman]

It's all about protecting its margins, like a coffee shop saying, yeah, we sell a lot of drip coffee, but that's not really moving the needle in terms of our profits. Let's sell $6 $7 lattes and that's where we'll make our business. So it's shedding 50% of 12% of its entire revenue to move into more profitable segments. It was a surprise, which is why you saw UPS stock head down so much. I think it was their worst day ever on the stock market down 14% for a big company like UPS, I mean, that is a huge wipeout. So it is an interesting move. We'll see if it pays off for them.

[Toby Howell]

The problem with shedding that too is that you're not just losing revenue, you're also losing volume. So now suddenly you have some empty planes, some empty trucks. You have to realign your entire delivery network so it's going to affect results. That's why analysts were like, whoa, this was going. They, they knew UPS has been hinting that they were going to phase down their Amazon's business. I mean, its main rival, FedEx actually went through the process of completely eliminating Amazon from its delivery network back in 2019. So this wasn't unexpected. It was just the speed at which they're doing this. Analysts said, all right, I don't know how you're going to be able to pull this off because it takes such a big realignment of your entire vast delivery network.

[Neal Freyman]

Their saving grace could be Sheehan and T because UPS has seen a lot more deliveries from those, you know, those ultra cheap marketplaces which they say are more profitable than Amazon business. So Temu and she. And you're propping up ups's business right now as it completes this transformation from, you know, a major supplier for Amazon to controlling more of its own destiny.

[Toby Howell]

Up next, a story about the Blue Man Group.

[Neal Freyman]

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[Toby Howell]

Let's hear it.

[Neal Freyman]

Virgin Voyages is not your average cruise line. Let's start with the food. You get access to more than 20 eateries on board with menus curated by Michelin star chefs.

[Toby Howell]

Yeah, that does not sound like your average cruise experience. Plus everything is catered to adults on these kid free cruises. Whether it's the entertainment, parties or relaxing spaces throughout the ship, it's all super lux.

[Neal Freyman]

Virgin Voyages also hits so many interesting destinations on top of exotic ports throughout the Caribbean. They're launching themed summer cruises to the British Isles, Iceland, North America and the Mediterranean.

[Toby Howell]

They've got the accolades too. They were just voted the world's best cruise line by Travel and Leisure and Conde Nast readers for the second year in a row.

[Neal Freyman]

Book now@virgin voyages.com or contact your travel advisor.

[Toby Howell]

It is a sad day for fans of bald, earless men covered in paint. After a 34 year run, the Blue Man Group is playing its last show in New York City this Sunday. The Blue man group arrived in NYC in 1991 before the world Wide Web was even invented, and it leaves a cultural phenomenon after performing 17,800 shows and going through 82,150 gallons of paint as calculated by the New York Times. For anyone who hasn't been to a show, the Blue Man Group do a very specific sort of performance art where three silent performers clad in black and painted blue catch marshmallows in their mouth, eat Twinkies and play drums made of PVC pipes. But its PE controlled owner, Cirque du Soleil said that it had to make the difficult decision to shut down the iconic Off Broadway show as it deals with financial struggles following a 2020 bankruptcy. Fortunately, the end of its NYC show is not the end of the group. You can still catch them in Boston, Vegas, Berlin or any other of a dozen cities across the globe. But Neil, should we go to this show Sunday? I've been one time and it was one of the not in New York City. I've been elsewhere. I think it was in San Francisco when I was growing up. I still remember it. It is incredible. One of my favorite performances.

[Neal Freyman]

I've never been we I absolutely let's go on on four tickets because just reading about the history of the Blue Man Group is pretty incredible. They have one of the longest Off Broadway runs of all times going back to 1991. Just truly a cultural phenomenon. They were also helped along the way by various TV appearances which raised their profile in the United States and around the world. They truly are a global phenomenon. They went on the Jay Leno show the the first week he he was on NBC and then who could forget the whole narrative arc of Tobias Fukay on Arrested Development trying to become a Blue Man Group member. So it was a Blue Man Group is a stage performance, but it had such a larger presence due to. Due to some of these appearances on TV and broader pop culture.

[Toby Howell]

Yeah. And some of the founders of the Blue Man Group gave some pretty great quotes to the New York Times. One founder put the idea was always to jumpstart other people's weirdness. Part of what New York is all about is be your crazy self, get your freak on, try your. Your thing out. And there's nothing freakier that a man dressed in all blue paint in black, just doing completely random things like, it is just absurdist performance art. And they also said people would be like, who's that weird guy over there? If one of the founders went out alone dressed in blue. But if they counted a blue trio, suddenly that changes everything. They would ask what's going on. It becomes an event. So they understood the power of, you know, putting on a show, the power of being weird. And I do think that it has just transcended, like, people just know the Blue Man Group, Even if, like yourself, you've never seen a show. It just became something bigger than just three guys, you know, in a dark basement playing PVC pipe drums.

[Neal Freyman]

And there's a lot of questions around why it was shut down in New York and in Chicago, you mentioned it is owned by Cirque du Soleil, the live entertainment behemoth, which is owned by private equity. It bought Blue man Group in 2017. They just really haven't been transparent or forthcoming about why they're closing these shows in New York and Chicago. They're not explaining why. In Chicago, which closed a few weeks ago, there were protests. Dozens of people came out in Blue Man Group garb and started playing drums, did this silent protest to. To sort of accuse Cirque du Soleil of putting, you know, corporate profits over art. And so it's pretty interesting to see what. What this large corporation has done to Blue Man Group. And it could be, you know, they could be losing money. We just don't know because they haven't talked about it.

[Toby Howell]

I did look up ticket prices to the show too. Astronomical. They are extremely expensive. Super bowl more. They're on, like, super bowl level, essentially. So I don't know if we actually will be able to sneak into this final show.

[Neal Freyman]

All right, let's take into your final work day of the week with some more headlines. An asteroid 100 meters wide has triggered global planetary defense procedures for the first time after it was discovered. It could make impact with Earth in the year 2032, seven years from now. And by could, there's a 1.3% probability that it smashes into the Earth in December 2032. So yes, I'm saying there's a chance. And astronomers are on pretty high alert. The Torino Scale communicates to the public how much we should be worried about a deadly asteroid collision. Zero means there's effectively no likelihood of impact, while 10 means we're certainly all going to die. This asteroid named 2024 yr4 clocked in at a 3 on that scale, which is the second highest rating ever given to an asteroid. Toby, a 3. Are you worried?

[Toby Howell]

I am not worried and I'll tell you why. Because yes, there's a 1.3% chance it hits, but there's also a 98.7 chance percent chance that it misses. So I'm choosing to take the glass 98.7% full approach here. But yes, it is interesting that this is the technically the second most likely asteroid we've encountered that to impact Earth. And it is pretty big right now. Estimates put it at between 130 and 330ft long. Now that isn't an extinction level size. It's not going to, you know, and wipe out the dinosaurs per se. But it will do though is it could wipe out a major city. If it did impact that there has been an asteroid that hit back in 1908 around a similar side was 130ft so on the lower end. And that wiped out a force 800 square miles in size that is twice the size of New York City. So even though it is small, it definitely is mining and could pack a punch.

[Neal Freyman]

And we won't know more about it until 2028 because right now it's traveling away from Earth. It has to come back to Earth for us to measure it again. So by 2028 when it comes back around, that's when we'll learn more information about it. Whether that 1.3% chance goes to 100 or it goes to zero. But to me it is crazy that they know the exact date that it could impact Earth. They're saying it will happen. If it does happen on December 22, 2032, that is some physics that I could definitely not do. I could barely execute an F equals MA function. So to know when an asteroid might hit Earth on the exact day seven years from now is truly crazy.

[Toby Howell]

Wine and pizza isn't exactly appearing on the level of peanut butter and jelly, but it's one that major pizza chains are trying to make a thing. Domino's is collabing with a winemaker out of Australia to release a limited edition red blend that it says pairs quite well with its classic cheese zar that comes just months after its rival Pizza Hut introduced a sauce inspired wine made from tomatoes and infused with natural basil to its pizza loving customers. Now, I can't believe I'm saying this, Neil, but I think we're in the middle of a wine and pizza war right now.

[Neal Freyman]

It looks like we are. Now Domino's and Pizza Hut are always trying to out innovate each other. Domino's took a huge step ahead with the Pizza Tracker because who could forget that? But on this one, I do think that Pizza Hut took a bigger swing because their wine is literally made from tomatoes that is a little more aggressive and ambitious. Domino's is just partnering with a regular wine company, so that feels a little lame compared to Pizza Hut. But the bigger question is, is wine what you want to drink to accompany a crappy pizza?

[Toby Howell]

So I was looking at to what other drinks would pair well with pizza because it's not exactly something you want to pair a drink with. But I did some research. Coffee actually pairs very well with cheese because the tannins in the coffee cut the richness of the cheese a little bit. So I don't know if you'd ever find yourself in a situation where you're having a cup of joe with a pizza. But it does seem like that cheese and coffee pairing is actually pretty, you know, classy.

[Neal Freyman]

Okay, but forget the science. Like what do you want to drink when you're drinking when you're eating pizza?

[Toby Howell]

Well, I think pizza companies have already figured it out. It's like that 2 liter bottle of Coca Cola they offer, you know, large pizza, 2 liter bottle of soda. Deal. So I don't know, I'm still stuck on this coffee thing and I want there to be a pizza coffee war. We've had the pizza wine war. Let's get Dunkin and Starbucks, you know, pairing with Domino's and Pizza Hut to see if they can create, you know, that Domino's latte.

[Neal Freyman]

Finally, here's a wholesome story to end on. A baby was born in the parking lot of a Krispy Kreme in Alabama earlier this month. And the chain has responded by giving him and his family free donuts for a year and will throw him an annual birthday party until he turns 18. This all happened because of that once in a century snowstorm that hit the South a few weeks ago. Shania Bennett and her partner, the baby's dad, were trying to drive to the hospital in terrible conditions when her water broke at an intersection. She looked at where she was right next to their local Krispy Kreme and turned to him and said, please take me to Krispy Kreme. And in that parking lot, her new son, Dallas came into the world. You merely adopted Krispy Kreme. Dallas was born in it, molded by it.

[Toby Howell]

I totally understand this because she said, I do not want to give birth in the middle of this intersection right now. She had been to the Krispy Kreme earlier that week. She saw it. It was familiar. She says, take me to that parking lot. It's better than right here. Also, the best part of this story, too, is that a lot of her relatives have suggested some middle names for this new baby, and they all want her to call him Glaze, which would be the sickest nickname ever. Imagine. Oh, that's Glaze. He was born in the parking lot of Krispy Kreme. I would definitely accept the nickname Glaze.

[Neal Freyman]

Which stores parking lot would you like to be born in?

[Toby Howell]

Well, I, I none of us.

[Neal Freyman]

I would say a mall because then you get free stuff from every single store there.

[Toby Howell]

I don't know if that's how it works, though.

[Neal Freyman]

Need for more wishes, but still, Neal.

[Toby Howell]

Wants to be born in front of a Dillard's. The first thing that came to my mind was Home Depot. For some reason, I don't know, I feel there'd be Home Depot employees in there that would know what to do.

[Neal Freyman]

But not your nickname would be 2.

[Toby Howell]

By 4 or PVC or something like that.

[Neal Freyman]

All right, that is all the time we have. Thanks so much for starting your morning with us. Have a great Friday and an even better weekend. For any questions, comments or feedback, send an email to Morning Brew daily at Morning Broadcom. And if you're enjoying the show, share it with a friend, family member, or coworker. You have two days to do this over the weekend, so absolutely no excuses. Toby, who should our listeners share the pod with?

[Toby Howell]

I want you to share the pod podcast with someone who, unlike me, completed dry January. Congrats. You did make it. Excited for you now to take on moist February with some MBD podcast listening to get you through the month.

[Neal Freyman]

Let's roll the credits. Emily Milian is our executive producer. Raymond Liu is our producer. Olivia Graham is our associate producer. Lonnie Fiskus is our technical director. Scoops Garderas is on audio, hair and makeup was born in a circle for a parking lot. Devin Emery is our chief content officer, and our show is a production of Morning Brew.

[Toby Howell]

Great show today, Neil. I wish you all well.