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About The Bulletin. (Bend, OR) 1963-current | View Entire Issue (June 1, 2021)
A11 B USINESS THE BULLETIN • TUESDAY, JUNE 1, 2021 Editor’s note: The markets were closed Monday for Memorial Day. BRIEFING Many businesses bounce back Nearly 13,000 Ore- gon businesses closed during the spring of 2020, according to data from the Bureau of Labor Sta- tistics compiled by state economic development agency Business Oregon. That’s an astonishingly high number — the larg- est tally in nearly 30 years, and nearly double any single quarter on record. In a typical quarter, about 5,500 Oregon businesses close permanently. Last spring’s closures didn’t last, though. Over the next three months, Oregon recorded 11,600 business openings — another record. Most of those were businesses that closed briefly, ac- cording to Business Ore- gon, then reopened after the “stay home” order that accompanied COVID-19’s arrival in Oregon in March 2020. The gap between busi- nesses that closed in the spring and opened in the summer numbers more than 1,100. Those could be businesses that closed permanently, but the bu- reau doesn’t officially clas- sify them as gone forever until they report no em- ployment at all for four consecutive quarters. First-class stamp will rise to 58 cents The U.S. Postal Service said it plans to boost the price of a first-class stamp to 58 cents from 55 cents as it works to stabilize fi- nances amid slumping mail volume and lagging delivery. The increase of 6.8% in the first-class stamp is part of a set of proposed rate hikes filed Friday with Postal Regulatory Com- mission. It would take effect Aug. 29, the Postal Service said in a news release. The postal service in March announced a slower delivery sched- ule and other changes in order to stabilize its fi- nances following chronic deficits. Mail delivery has remained sluggish since slowing down last year after Postmaster General Louis DeJoy cut overtime and extra trips by delivery trucks in an effort to rein in costs. Spending growth stays moderate U.S. personal spending rose at a steady yet mod- erate pace in April after a stimulus-fueled binge a month earlier. The reading is con- sistent with sustained growth in the biggest part of the economy and partly reflects faster in- flation. Purchases of goods and services increased 0.5% following an up- wardly revised 4.7% jump in March that was the biggest since June, Com- merce Department fig- ures showed Friday. The personal con- sumption expenditures core price gauge, which excludes food and fuel, increased 0.7%, exceed- ing expectations and the biggest monthly advance since October 2001. The figures indicate that even as the impact of a third round of stimulus checks wanes, consum- ers have the wherewithal to continue spending at a solid pace and deliver more support for eco- nomic growth. — Bulletin wire reports bendbulletin.com/business Amazon hit with 2 new antitrust suits Lawsuits say platform for third-party vendors hurts them for setting lower prices elsewhere tens of millions of consumers who have bought merchan- dise on Amazon.com, describe Marketplace as a pay-to-play scheme in which Amazon is the only winner. Earlier this week, Washing- ton, D.C., attorney general Karl Racine lobbed an antitrust suit against Amazon also focused on its Marketplace pricing re- strictions. Attorneys general from five states — including Washington — and the Federal Trade Commission are explor- BY KATHERINE ANNE LONG The Seattle Times Amazon’s Marketplace plat- form for third-party sellers harms competition by pe- nalizing merchants who sell products on other platforms for lower prices than they of- fer on Amazon.com, two new class-action antitrust suits against the commerce giant contend. The suits, filed Wednesday in federal court in Seattle on behalf of proposed classes of ing antitrust cases against the retail behemoth. Amazon did not imme- diately respond to questions about the lawsuits. It has pre- viously rebutted claims that its Marketplace policies raise prices. Plaintiffs in the two new suits are represented by Hagens Berman, the Seattle firm that previously filed class-action antitrust cases against Ama- zon’s bookselling division, and attorneys in the Seattle office of Quinn Emanuel Urquhart & Sullivan. Amazon raises prices for consumers by taking action against sellers that offer goods at a lower price elsewhere, suspending their accounts or making it harder for buyers to find their products, the suits contend. Between payments for lo- gistics services and other fees, Amazon earns an average of 27% of the selling price on ev- ery transaction on its platform, according to research firm In- stinet. Many sellers pay Am- azon even more to boost the visibility of their listings. To- gether, those fees — which are higher than on competing plat- forms, like Walmart or Ebay — inflate the price of goods sold on Amazon’s Marketplace, the lawsuits assert. Amazon’s control of as much as 70% of the e-commerce mar- ketplace in the U.S. means that vendors cannot avoid selling on Amazon.com, according to the suits. The company’s high trans- action fees also batter vendors’ profit margins, the suits add. Sales on Marketplace likely generate nearly $120 billion in revenue for Amazon each year, one Marketplace consultant and former Amazon executive has estimated. Amazon does not share revenue figures for Marketplace. Plaintiffs’ attorneys are ask- ing the court to rule that Am- azon violated antitrust law and award monetary damages. Oregon vineyard tests UV light to treat mildew BY GEORGE PLAVEN • Capital Press T he robot shines an eerie green in the dark of night as it maneuvers over rows of grapevines at Willamette Valley Vineyards outside Turner. Developed by Norwegian-based Saga Robotics, Thorvald — as the system is named — is an autonomous, self-driving vehicle that looks a bit like a small shed on wheels. Inside, it is equipped with a special band of ultraviolet lights designed to suppress powdery mildew and other plant diseases. As research continues to demonstrate the efficacy of UV light as a management tool for farmers, Willamette Valley Vineyards has become the first commercial operation to adopt Thorvald in place of traditional chemical fungicides to control powdery mildew in wine grapes. “We see this as a remarkable opportunity for our industry to grow high quality wine grapes and do it in a very natural, sus- tainable way,” said Jim Bernau, the winery’s founder and CEO. While Bernau and Willamette Valley Vineyards began experi- menting with UV light last year, scientists from around the world have been conducting field trials on and off for decades, spanning a variety of crops including strawber- ries, apples, cucumbers and hops. Today, a research team led by David Gadoury, plant pathologist at Cornell University, is gathering data and refining treatments us- ing UV light, with results showing promise. Gadoury was the featured speaker at a webinar May 27 hosted by Washington State University and the Washington State Wine Commission, providing vintners with the latest information about UV light and its potential as an al- ternative for curbing plant diseases. Willamette Valley Vineyards Powdery mildew, in particu- Willamette Valley Vineyards in Turner is the first commercial operation to lar, is one of the most widespread adopt the Thorvald, an autonomous, self-driving robot equipped with a spe- problems in the wine industry. If cial band of UV lights to suppress powdery mildew. not suppressed, the disease can reduce crop yield by as much as 95% and degrade wine quality. down to conserve energy. commercial strawberry farm in The first field trials using UV Not only are the pathogens Florida. This time, they proved a light took place in 1991, though more susceptible at night, but rousing success, performing sig- they were less than successful, Gadoury said they were able to nificantly better than applications Gadoury said. Though it effec- use 10% less UV-C to achieve the of chemical fungicides. tively reduced powdery mildew in same levels of disease reduction, Additional trials are now un- grapes, it also defoliated vines and at levels that won’t cause damage derway in places like California caused the fruit to shrivel, resem- to the plants or fruit. and Nova Scotia, Canada, as well bling miniature russet potatoes. “Pathogens such as powdery as overseas in Europe. Then came a key discovery 10 mildew, and many other organ- “I think we’re beyond the point years ago. A doctoral student in isms, just really don’t like UV light where we have to worry about Norway found that UV light was at night,” Gadoury said. “That whether or not this technology is much more effective at killing means we can kill them with a going to provide sustainable con- powdery mildew at night, when fraction of the dose that’s required trol of strawberry powdery mil- the pathogens’ natural systems during daylight.” dew,” Gadoury said. “It actually for repairing their DNA have shut New trials started in 2017 at a works quite well.” Bend house with lava tube cave hits the market BY JANET EASTMAN The Oregonian Who needs to travel to the Lava Beds National Monument in Northern California when there’s a private lava tube cave for sale in Bend? The $1,795,000 asking price includes an updated farm- house with a wraparound porch and rooftop deck plus a workshop on 10 acres. But the thought of buying a private cave is getting all the attention. The buzz about a secret sub- terranean rock shelter started when the property at 62802 NE Montara Drive hit the market May 13. Shelly Swanson of Cascade Sotheby’s International Realty teased that “with renovations, the cave could be a perfect wine cellar or simply enjoy the sport of spelunking at your very own private grotto.” Lava tube fans reacted fa- vorably to the listing, and the large cavity, which formed thousands of years ago, was featured in many news stories — including one from Futur- ism.com, which deemed the cave “Mars like” and touted its possible use as “protection against meteorite rains and ra- diation.” Hopeful homeowners envi- sioned the natural asset as be- coming the centerpiece of an outdoor explorer’s dream bed and breakfast inn or glamor- ous camping (“glamping”) site, Swanson said. Others saw the venue as a perfect place in High Desert terrain for private events, con- certs or farm-to-table dinner parties, she added. Educational tours also may be in the offing, explaining that such underground tubes form as flowing lava cools and hard- ens on the surface while the interior hot lava is extruded, creating a hollowed space with delicate stalactites and stalag- mites. Owners James and Suzanne Brierley told Swanson that they didn’t know there was an un- derground escape tall enough to walk through when they purchased the property in 2017. Now that they’ve explored the cavern with the Oregon High Desert Grotto Club, they told Swanson that they hope the lava tube will be preserved. Members of the club, which is part of the National Speleo- logical Society, estimate there are 1,000 caves in Deschutes County, the majority of which are lava tubes. The property has an irriga- tion canal and is located in a multiple use agricultural zone. It does not have covenants, conditions and restrictions or a homeowners association, said Swanson. “There are a variety of op- tions for this property under conditional uses with De- schutes County, subject to ap- proval,” Swanson said. “We believe there are many buyers who would love this property.” The lava tube is not accessi- ble from the house, which was designed and built in 1999. Cave openings are near the driveway and past the shop, which has office lofts and RV garage bays. The renovated farmhouse has three bedrooms, 2.5 bath- rooms and 2,181 square feet of living space. It would appeal to people who want acreage near downtown Bend, Swan- son said.