WEBVTT - Restaurants, Bars May Pivot To Private Buyout Models 0:00:01.400 --> 0:00:04.160 Welcome to the Bloomberg Markets Podcast. I'm Paul Sweeney, along 0:00:04.160 --> 0:00:06.240 with my co host of Bonnie Quinn. Every business day, 0:00:06.280 --> 0:00:10.400 we bring you interviews from CEO, market pros, and Bloomberg experts, 0:00:10.440 --> 0:00:13.640 along with essential market moving news. Find the Bloomberg Markets 0:00:13.640 --> 0:00:17.040 Podcast on Apple Podcasts or wherever you listen to podcasts, 0:00:17.040 --> 0:00:21.240 and on Bloomberg dot com. Well, outdoor dining in New 0:00:21.280 --> 0:00:24.320 York City and other areas generally was deemed I believe 0:00:24.360 --> 0:00:27.240 a success. Uh you know, I guess had band aid 0:00:27.240 --> 0:00:30.080 on a very difficult wound there for restaurant owners. But 0:00:30.120 --> 0:00:32.080 as we head into the autumn and then the winter, 0:00:32.120 --> 0:00:34.800 you have to think about indoor dining. How is that 0:00:34.880 --> 0:00:37.280 going to work in New York and in other markets. 0:00:37.479 --> 0:00:39.840 To get a sense of that, we welcome Kate Creator, 0:00:39.920 --> 0:00:43.240 food editor for Bloomberg Pursuits. Kate some really interesting stories 0:00:43.240 --> 0:00:46.080 on the Bloomberg recently. I guess one that caught our 0:00:46.159 --> 0:00:48.800 I librot it In will be New York's first three 0:00:48.800 --> 0:00:53.200 star dining room to reopen, so I guess they're gonna 0:00:53.240 --> 0:00:55.720 give it a try. What are most restaurants how are 0:00:55.760 --> 0:00:59.840 they thinking about it? I think most restaurants are excited 0:01:00.080 --> 0:01:02.120 to be back. And so many of them have done 0:01:02.160 --> 0:01:04.520 such a terrific job with outdoor dining here in New 0:01:04.600 --> 0:01:07.039 York City. UM, but a lot of them have just 0:01:07.160 --> 0:01:10.920 waiting holding their cards for indoor dining. And then Governor 0:01:10.959 --> 0:01:13.319 Cromo announced it in a place like Lea Bernadine that 0:01:13.400 --> 0:01:16.400 had not been open, that wasn't doing take out, jumped 0:01:16.400 --> 0:01:17.840 and was like, you know what, it's going to be 0:01:17.880 --> 0:01:19.560 a risk no matter when we do it. And so 0:01:19.600 --> 0:01:22.960 now as the time so September thirty, they'll be reopening. 0:01:22.959 --> 0:01:25.480 Well so interestingly with Lebernardna and they obviously have a 0:01:25.520 --> 0:01:28.520 huge amount of resources. It's a huge airy space. UM. 0:01:28.840 --> 0:01:32.240 People were probably socially distant in there even before COVID. 0:01:32.480 --> 0:01:34.800 Given the amount of space it's it's in midtown Manhattan. 0:01:35.560 --> 0:01:38.080 They will be able to potentially make a little bit 0:01:38.080 --> 0:01:41.080 of money or least cover their overheads. But what about 0:01:41.160 --> 0:01:47.440 smaller or more closely uh fitted restaurants. I mean, it's 0:01:47.440 --> 0:01:49.400 going to be such a challenge. I know you talked 0:01:49.400 --> 0:01:52.400 to Amanda Cohen from Dirk Candy, whose restaurant is tiny, 0:01:52.440 --> 0:01:56.960 who would maybe have six guests, eight guests, and those 0:01:57.040 --> 0:02:00.480 numbers just don't work. I think air Repair, like you said, 0:02:00.560 --> 0:02:03.919 has resources. He got p PP money and was able 0:02:04.400 --> 0:02:07.920 to say even in the best case, will break even, 0:02:08.400 --> 0:02:11.119 and we're willing to take a loss. But they all 0:02:11.200 --> 0:02:14.440 everybody's betting that it's going to go up to in 0:02:15.040 --> 0:02:18.320 the near future. Governor Cuomo hinted that it might happen 0:02:18.360 --> 0:02:20.840 as soon as November one, which can't come soon enough 0:02:20.880 --> 0:02:23.160 for a lot of these places. So, Kate, how did 0:02:23.639 --> 0:02:25.600 how did some of the restaurants that really did make 0:02:25.600 --> 0:02:28.320 the investment in outdoor dining? Um? You know, you drive, 0:02:28.360 --> 0:02:30.359 I've been in the city a few times, and even 0:02:30.400 --> 0:02:33.079 out here New New Jersey, We've seen people get really 0:02:33.120 --> 0:02:36.240 creative on how they outfit space and now I'm starting 0:02:36.240 --> 0:02:38.760 to see more of the space eaters popping up. Hell, 0:02:39.120 --> 0:02:41.680 how did those restaurants do? Do you think in hindsight? Um, 0:02:41.720 --> 0:02:44.160 I mean, I think a lot of them have sort 0:02:44.200 --> 0:02:47.120 of gotten into the moment and then engaged. And also 0:02:47.200 --> 0:02:49.359 a lot of them have a hospitality gene and they 0:02:49.600 --> 0:02:52.399 like to serve people, and they want to see customers 0:02:52.400 --> 0:02:55.240 and faces and cook. You know, chefs like Tom Colichio, 0:02:55.720 --> 0:02:58.320 they want to cook. You know, they're not They're not 0:02:58.400 --> 0:03:00.920 like lobbyists. They don't want to spend their time in Washington. 0:03:01.440 --> 0:03:04.200 So I think for a lot of them, you know, 0:03:04.919 --> 0:03:07.840 until as as the numbers start to shake out, and 0:03:07.840 --> 0:03:10.640 then we'll start to see I think, more and more closings, 0:03:10.680 --> 0:03:12.200 which is gonna be hard. But right now I think 0:03:12.200 --> 0:03:15.200 a lot of them are engaged and going day to day. 0:03:15.320 --> 0:03:17.200 The p PP money obviously it's coming to an end 0:03:17.200 --> 0:03:18.919 of the end of the month, and there's no word 0:03:18.960 --> 0:03:21.520 on whether it's going to be an extension as all. 0:03:21.639 --> 0:03:23.560 Right now it looks like there isn't going to be. 0:03:23.639 --> 0:03:25.840 So what about the restaurants that took p PP money 0:03:25.880 --> 0:03:28.400 that now don't feel like they can reopen. Do they 0:03:28.400 --> 0:03:31.239 have to pay that back in full? Um? They do, well, 0:03:31.280 --> 0:03:33.919 they have to pay back. It's the loans. The terms 0:03:33.960 --> 0:03:37.000 of the loans are actually pretty good. I think it's 0:03:37.160 --> 0:03:40.680 one percent um that you have a year two to 0:03:40.760 --> 0:03:43.960 pay back. So in terms of in terms of taking 0:03:43.960 --> 0:03:48.200 money and and you know, making having an investment in 0:03:48.200 --> 0:03:51.240 your restaurant, it wasn't the worst deal to make. But 0:03:51.800 --> 0:03:53.640 a lot of them, I mean, the best case scenarios 0:03:53.720 --> 0:03:55.560 is if they can follow the guidelines and not have 0:03:55.640 --> 0:03:57.040 to pay it back at all, and then that just 0:03:57.120 --> 0:04:00.920 becomes money that like for our repair at laburner Den Fuels, 0:04:00.960 --> 0:04:05.440 they're reopening. So, Kate, do we know how many restaurants 0:04:05.840 --> 0:04:09.240 have closed in New York or are expected to close? 0:04:09.320 --> 0:04:12.880 Have you heard any reliable data on that? There's um no, everybody. 0:04:12.720 --> 0:04:14.840 I mean there's a lot of like scary numbers. I 0:04:14.840 --> 0:04:18.120 think open table ahead, um an eight percent number that 0:04:18.240 --> 0:04:21.080 might close. That was nationwide and New York has been 0:04:21.400 --> 0:04:24.720 really hard hit because a lot of these restaurants are 0:04:24.760 --> 0:04:29.320 small and the signs aren't aren't great for them reopening 0:04:29.400 --> 0:04:34.280 given current guidelines. But there's no we we haven't seen 0:04:34.360 --> 0:04:38.960 numbers that we really trust yet. What are restaurants, the 0:04:39.000 --> 0:04:42.479 smaller ones in particular, putting money into in order to 0:04:42.480 --> 0:04:46.960 try to keep going? What's the design you know, costs 0:04:47.000 --> 0:04:50.200 that they're spending on. What are they spending will see on? 0:04:50.680 --> 0:04:52.640 They've been you know what a lot of them have been. 0:04:53.320 --> 0:04:57.080 Really they've they've figured out like fun ways to make money, 0:04:57.160 --> 0:04:59.120 like meal kits and take out. A lot of them 0:04:59.120 --> 0:05:02.839 have pivoted to meal kids. I'm actually betting that a 0:05:02.880 --> 0:05:05.600 lot of them also, like bars, will become sort of 0:05:05.640 --> 0:05:09.920 private dining rooms. So Amanda Cohen, for instance, could you 0:05:09.960 --> 0:05:12.679 could buy out her restaurant with ten of your friends 0:05:12.800 --> 0:05:16.760 or whatever the mandated group is, and then it becomes 0:05:16.760 --> 0:05:21.400 something that's viable for her, viable for you and your friends, 0:05:21.400 --> 0:05:23.240 and then you feel safe when you're there. And that's 0:05:23.279 --> 0:05:26.080 also bars are going to be really hard hit right now, 0:05:26.160 --> 0:05:28.359 especially in New York City, because you don't go to 0:05:28.440 --> 0:05:30.839 a bar for it to be empty, you know, you 0:05:30.880 --> 0:05:32.640 go to a bar for it to be sort of 0:05:32.680 --> 0:05:35.760 crowded and fun and um, so I think a lot 0:05:35.800 --> 0:05:38.080 of bars are going to rely at a model like 0:05:38.360 --> 0:05:41.520 um buyouts, having like a group of friends buy it out, 0:05:42.040 --> 0:05:47.360 and then that hopefully will be economically sustainable for them. 0:05:47.400 --> 0:05:49.840 So it's interesting, Kase. I mean they guess the next 0:05:49.839 --> 0:05:51.800 several months are gonna be critical here as we pivot 0:05:51.839 --> 0:05:54.680 to the cooler months. Um, how much longer can out 0:05:54.680 --> 0:05:58.520 were dining really go? Do you think that's the that's 0:05:58.560 --> 0:06:02.400 the what D twenty billion dollar question? But I think 0:06:02.440 --> 0:06:05.200 I'm I've talked to like there's a lot of enterprising 0:06:05.240 --> 0:06:07.520 she have some restaurateurs and someone was like, I'm going 0:06:07.560 --> 0:06:09.760 to go full Game of Thrones, you know, I'm going 0:06:09.839 --> 0:06:13.760 to have like sterilized furs and wraps and we'll figure 0:06:13.800 --> 0:06:16.640 out some really good heating lamps. And I found that engaging. 0:06:16.720 --> 0:06:19.080 I feel like I'm in Like I'll put on my 0:06:19.160 --> 0:06:21.880 down jacket and go eat outside, and I feel like 0:06:21.880 --> 0:06:26.120 I'm in Game of Thrones totally, as long as the 0:06:26.160 --> 0:06:29.719 cast is there as well. Thank you so much. Always 0:06:29.839 --> 0:06:33.320 fun and very informative. Kate Crater is food editor for 0:06:33.480 --> 0:06:37.159 Bloomberg Pursuits, and her recent story, What the Future of 0:06:37.200 --> 0:06:39.960 Restaurants Might look Like has some terrifying data in there, 0:06:40.000 --> 0:06:43.640 but also some some great pointers for restaurants and people 0:06:43.640 --> 0:06:47.440 who might want to eat in them. It is time 0:06:47.520 --> 0:06:51.080 for Bloomberg Opinion. We're joined today by Noah Felment, Professor 0:06:51.200 --> 0:06:54.880 of Law at Harvard University. Professor is also a Bloomberg 0:06:54.960 --> 0:06:58.680 Opinion Calmness from Boston, Massachusetts. Professor, thanks so much for 0:06:58.760 --> 0:07:00.240 joining us here. I want to go to your when 0:07:00.240 --> 0:07:03.240 of your most recent comments, a new justice won't win 0:07:03.320 --> 0:07:06.400 Trump an election verdict? Talk to us about that, because 0:07:06.400 --> 0:07:09.840 it seems like if Trump gets his another appointment on there, 0:07:09.840 --> 0:07:15.400 it will be six to three conservative verses, perhaps more liberal. Um, 0:07:15.440 --> 0:07:18.720 how does that play a How does a math work? Well? 0:07:18.720 --> 0:07:20.840 First of all, it's important to say that that could happen. 0:07:20.880 --> 0:07:23.440 You might get all of the Republican appointees lining up 0:07:23.480 --> 0:07:26.360 with the president. But until now, Chief Justice John Roberts 0:07:26.400 --> 0:07:28.880 has been signaling like crazy that he does not want 0:07:28.880 --> 0:07:30.800 the Court to be seen as a partisan body, and 0:07:30.840 --> 0:07:32.720 I don't think he would be on board, which means 0:07:32.720 --> 0:07:35.320 that without a new appointment, it could well be five 0:07:35.360 --> 0:07:38.320 to four, you know, without with Justice Ginsburg still haven't 0:07:38.320 --> 0:07:40.280 been alive, it could have been five to four with 0:07:40.400 --> 0:07:43.440 ch Chief Justice Roberts crossing the aisle. The point is 0:07:43.600 --> 0:07:46.880 that right now, a new justice might actually not go 0:07:46.920 --> 0:07:50.280 along with the other Republicans. Imagine a new justice who 0:07:50.280 --> 0:07:53.280 has just been named by Trump. That person's reputation would 0:07:53.280 --> 0:07:55.200 be ruined not just for today or tomorrow, but for 0:07:55.240 --> 0:07:58.240 twenty or thirty years if she decided to vote in 0:07:58.360 --> 0:08:01.320 order to give the presidency to Trump in a closely 0:08:01.360 --> 0:08:05.320 contested case, so she might act differently, or other Republican 0:08:05.440 --> 0:08:08.240 nominated justices might also cross the line. So my point 0:08:08.320 --> 0:08:11.160 is just that we don't have a guarantee. Yeah, I mean, 0:08:11.520 --> 0:08:14.920 what about the idea of court packing, because if the 0:08:15.040 --> 0:08:18.200 conservative justice were to fear that that might also sort 0:08:18.200 --> 0:08:19.480 of play into it. If there's a whole lot of 0:08:19.520 --> 0:08:22.400 game theory going on here, isn't there? No, there absolutely is. 0:08:22.840 --> 0:08:25.480 You know, imagine that we get a Republican nominee confirmed 0:08:25.560 --> 0:08:29.000 right now before the election, and then Um, in a 0:08:29.080 --> 0:08:32.760 close vote, gives the election to the president. Democrats are 0:08:32.800 --> 0:08:35.200 going to be enraged, not just for a day or two, 0:08:35.360 --> 0:08:37.960 but Democrats are gonna be enraged for four years, and 0:08:38.000 --> 0:08:40.120 the call to pack the court is going to become 0:08:40.520 --> 0:08:44.000 almost impossible for a Democratic majority to stop. You know, 0:08:44.080 --> 0:08:47.280 many people, including Joe Biden, have said they don't like 0:08:47.400 --> 0:08:50.920 court packing. What court packing would need to become mainstream 0:08:50.960 --> 0:08:53.200 would be four more years of Donald Trump. That would 0:08:53.320 --> 0:08:56.040 really change I think almost everybody's mind if the Supreme 0:08:56.040 --> 0:08:57.720 Court gave the election to Trump. So I think some 0:08:57.760 --> 0:08:59.800 of the justices who care a lot about the court 0:08:59.840 --> 0:09:03.920 might be worried about producing that outcome. So Noah, it 0:09:04.000 --> 0:09:07.480 looks like, uh, we're going to get a vote on 0:09:08.240 --> 0:09:12.640 a replacement for Ruth Bader Ginsburg. Um. You know, before 0:09:12.720 --> 0:09:16.080 the election, we're gonna get an appointment here. How do 0:09:16.080 --> 0:09:18.360 you what do you think the ramifications are of that? First, 0:09:20.360 --> 0:09:22.600 you know, some Democrats are going to turn out and 0:09:22.679 --> 0:09:26.239 vote more aggressively for Donald against Donald Trump as a consequence, 0:09:26.320 --> 0:09:28.160 But there's also going to be part of Trump's base 0:09:28.280 --> 0:09:30.520 that sees this as a major accomplishment. There are many 0:09:30.520 --> 0:09:32.599 Republicans who voted for him just because of what he 0:09:32.640 --> 0:09:34.600 would do for the Supreme Court, and some of those 0:09:34.640 --> 0:09:36.840 people are also going to turn up. So it's not 0:09:36.880 --> 0:09:39.199 at all clear that it helps or hurts Trump. And 0:09:39.240 --> 0:09:42.040 from Trump's perspective, he also can't take the risk probably 0:09:42.440 --> 0:09:44.840 of not choosing somebody because then his base one might 0:09:44.880 --> 0:09:47.920 become frustrated or angry with him. So we don't really 0:09:47.960 --> 0:09:50.000 know what it's going to mean in that term. In 0:09:50.040 --> 0:09:51.800 those terms, what we do know is that it's going 0:09:51.840 --> 0:09:53.840 to create a new norm in the United States that 0:09:53.920 --> 0:09:55.960 if you're the president from one party and the senators 0:09:56.000 --> 0:09:58.000 from the same party, you're going to choose justices, and 0:09:58.040 --> 0:10:00.240 if there's any split between those things, you're not gonna 0:10:00.240 --> 0:10:02.200 be able to pick any justices. That's the new world 0:10:02.240 --> 0:10:04.839 that we're going to be entering. What about the tenor 0:10:04.880 --> 0:10:07.600 of the court just more generally, maybe definitely have had 0:10:07.640 --> 0:10:13.960 some non typical or maybe unexpected decisions from the likes 0:10:13.960 --> 0:10:18.440 of Justice Roberts and others. You know that you would 0:10:18.440 --> 0:10:20.680 have assumed would vote one way, and then they arrive 0:10:20.720 --> 0:10:22.560 in the court and they vote another. In recent years, 0:10:23.360 --> 0:10:26.000 it's a super important point that you're making. We have 0:10:26.080 --> 0:10:29.439 to remember that even people who look extremely conservative, chief 0:10:29.440 --> 0:10:32.160 just as Roberts or Justice Neil Gorsuch who is put 0:10:32.200 --> 0:10:34.800 on the Court by Donald Trump, have come up with 0:10:34.840 --> 0:10:38.080 some surprisingly liberal outcomes, not because they're liberal, but because 0:10:38.120 --> 0:10:41.679 they're jurisprudence in those cases pushed to a liberal outcome. 0:10:41.800 --> 0:10:44.600 So you know, this past July, we got a vast 0:10:44.640 --> 0:10:48.080 expansion in the rights of LGBTQ people from Justice Core 0:10:48.160 --> 0:10:51.200 such joined by Justice Roberts. So even though we're about 0:10:51.240 --> 0:10:54.240 to get a very conservative nominee, in my opinion, somebody 0:10:54.280 --> 0:10:58.480 more conservative than Roberts or Gore such. Nevertheless, you can't 0:10:58.480 --> 0:11:01.240 predict for certain that for ever that person will always 0:11:01.320 --> 0:11:04.280 line up with the conservatives. There is always some element 0:11:04.320 --> 0:11:07.760 of unpredictability in it. So, Professor, what do we know 0:11:07.840 --> 0:11:12.120 about some of the leading candidates for this vacant spot. 0:11:13.679 --> 0:11:16.599 The leading candidate, I think, by pretty much all accounts 0:11:16.800 --> 0:11:20.160 is Judge Amy Coney Barrett, who is a judge on 0:11:20.200 --> 0:11:21.920 the Seventh Circuit, one of the appeals courts in the 0:11:22.000 --> 0:11:25.240 United States, and she previously was a professor for many 0:11:25.320 --> 0:11:29.040 years at the Notre Dame Law School. She's incredibly smart. 0:11:29.040 --> 0:11:31.040 I clerked at the same time she collected the Supreme Court, 0:11:31.120 --> 0:11:33.559 she worked for Justice Scalia, I worked for Justice Suitor. 0:11:34.360 --> 0:11:37.840 By all accounts, everyone agreed was maybe the smartest or 0:11:37.840 --> 0:11:39.760 one of the two smartest lawyers in our entire group. 0:11:41.080 --> 0:11:46.440 Very very well thought of, and extremely conservative. Um openly, 0:11:46.480 --> 0:11:48.600 so it's not, you know, I'm not saying anything negative 0:11:48.600 --> 0:11:51.720 about her. She would own that that description. So you know, 0:11:51.840 --> 0:11:54.640 she seems overwhelmingly likely to be the pick because she's 0:11:54.679 --> 0:11:58.959 eminently qualified and her perspective matches that of many of 0:11:59.000 --> 0:12:01.160 Trump's voters. I would add that she was involved in 0:12:01.200 --> 0:12:05.480 a confrontation with Senator Diane Feinstein when she was up 0:12:05.480 --> 0:12:09.199 for nomination, in which Diane Finstein used kind of um 0:12:09.360 --> 0:12:11.319 antique what I would call when did call at the 0:12:11.360 --> 0:12:14.920 time in Bloomberg anti Catholic language to question her about 0:12:14.920 --> 0:12:18.679 her religious beliefs, and that further galvanized support for Judge 0:12:18.679 --> 0:12:21.560 Barrett among conservatives. I would say that backfired very badly 0:12:21.600 --> 0:12:25.240 for Senator Finstein. No, it is briefly is it true 0:12:25.440 --> 0:12:28.880 that as the country wishes, so the Supreme Court goes. 0:12:28.960 --> 0:12:31.559 It does seem to have been that way over the 0:12:31.600 --> 0:12:36.000 past number of years. Sometimes the Supreme Court, as they say, 0:12:36.000 --> 0:12:39.520 follows the election returns, but not always. You know, there 0:12:39.559 --> 0:12:41.480 are there have been moments in our history where the 0:12:41.520 --> 0:12:43.480 Court got way out ahead of what the public wanted. 0:12:43.920 --> 0:12:46.640 Um An example would be Citizens United the Supreme Court 0:12:46.679 --> 0:12:48.640 opinion that says the corporations have free speech and that 0:12:48.679 --> 0:12:52.440 they can spend essentially unlimited amounts of money on candidates. 0:12:52.960 --> 0:12:55.440 Most people in the public, acquainted poles, don't like that outcome, 0:12:55.480 --> 0:12:58.679 but it's still out there. On the other hand, as 0:12:58.679 --> 0:13:01.120 the public became more in favor of rites, the Court 0:13:01.320 --> 0:13:04.959 started delivering constitutional men statuary decisions on gay rights. So 0:13:05.120 --> 0:13:07.440 you know, you can't you can't absolutely make a rule. 0:13:07.520 --> 0:13:10.040 Sometimes the Court is with sometimes it's out had right. 0:13:10.679 --> 0:13:12.839 Noah Feltman, thank you so much for joining us once again. 0:13:12.880 --> 0:13:14.880 Fascinating discussion. We will keep a close eye on this. 0:13:14.960 --> 0:13:18.120 Noah Feldman, Professor of Law, Harvard University, also a Bloomberg 0:13:18.120 --> 0:13:20.960 Opinion columnists. You can read his work at Bloomberg dot Com, 0:13:21.040 --> 0:13:25.079 Slash Opinion, or O P I N Go on the terminal. 0:13:25.120 --> 0:13:28.360 Fascinating work coming out of our Bloomberg opinion folks, and interesting. 0:13:28.400 --> 0:13:31.960 It's gonna be very uh interesting to watch, I think 0:13:32.040 --> 0:13:34.800 Vannie just kind of not only kind of the appointment, 0:13:35.240 --> 0:13:39.240 the voting, the vetting, the hearings for the Supreme Court 0:13:39.280 --> 0:13:43.800 nominee once again highly contentious. It's always fascinating. I mean, 0:13:43.840 --> 0:13:46.440 just think back to the Kavana hearings. You know, it's 0:13:46.520 --> 0:13:49.319 just really fascinating to watch. But isn't it a small 0:13:49.480 --> 0:13:52.520 world pole when you know, we're speaking with no Feldman 0:13:52.520 --> 0:13:54.559 who literally clerks at the same time as the top 0:13:54.600 --> 0:13:56.840 contender for the post right now, it really is just 0:13:56.920 --> 0:14:03.600 a very you know, not small, but very rare world. Yeah, yeah, 0:14:03.760 --> 0:14:06.600 it's it's interesting and U you know, so he Professor 0:14:06.640 --> 0:14:09.960 Feltman obviously has a great read on this potential Supreme 0:14:09.960 --> 0:14:13.720 Court nominee. And uh, I think my takeaway was two things. 0:14:13.720 --> 0:14:17.320 You know, obviously very qualified, as you would expect, but 0:14:17.440 --> 0:14:20.800 also very conservative, and I guess you would expect that 0:14:20.880 --> 0:14:24.520 as well. So we'll see how the vetting process and 0:14:24.560 --> 0:14:26.400 the you know, the hearing and the you know, the 0:14:26.480 --> 0:14:28.440 testimony and so on and so forth, how that plays 0:14:28.480 --> 0:14:30.880 out over the next several weeks. Again, President Trump would 0:14:30.920 --> 0:14:35.240 like to get this nominee, uh, you know, put forward 0:14:35.280 --> 0:14:37.560 and kind of on the court by election day. I 0:14:37.600 --> 0:14:40.280 do think it's important to read editorials like Noah as 0:14:40.280 --> 0:14:42.720 though a new justice won't win Trump in an election. 0:14:42.880 --> 0:14:45.960 Verdict is his his editorial today, because there are so 0:14:45.960 --> 0:14:48.200 many factors that go into these things, and to tease 0:14:48.240 --> 0:14:50.640 out all the elements is really important. It's I think 0:14:50.640 --> 0:14:53.200 it's it's so important not to just jump to an 0:14:53.240 --> 0:14:58.960 initial conclusion from an initial reading of something. Dr Anthony 0:14:59.000 --> 0:15:01.400 Fauci still believes that we could be back to relative 0:15:01.400 --> 0:15:04.800 normalcy in America by the end of one The head 0:15:04.800 --> 0:15:07.800 of the National Institute for Allergy and Infectious Diseases spoke 0:15:07.840 --> 0:15:11.800 with Carlile co founder David Rubinstein at the Bloomer Equality Summit, 0:15:12.080 --> 0:15:14.560 and they discussed how the US will ensure it is 0:15:14.600 --> 0:15:18.480 distributed fairly throughout the population. Now there's a concern in 0:15:18.520 --> 0:15:22.080 the minority community. I believe that when the vaccine is available, 0:15:22.520 --> 0:15:25.560 wealthy white people will get it first, and then it 0:15:25.560 --> 0:15:27.600 will trickle down and the last people to get it 0:15:27.640 --> 0:15:29.960 will be minorities who might need it better more than 0:15:30.200 --> 0:15:33.080 than wealthy white people. What can you do to assure 0:15:33.120 --> 0:15:36.400 people that people of minority backgrounds will be getting this 0:15:36.560 --> 0:15:39.840 in the same fair way that it should be distributed. Well, 0:15:39.880 --> 0:15:46.320 there will be a prioritization, I mean classically, notwithstanding COVID nineteen, 0:15:46.440 --> 0:15:50.000 whenever there is a shortage of vaccine in the sense 0:15:50.400 --> 0:15:52.480 of when you're rolling it out and you don't have 0:15:52.520 --> 0:15:57.840 all the doses. Classically, the Advisory Committee on Immunization Practices 0:15:58.320 --> 0:16:02.440 advises the c d C who makes that determination about 0:16:02.480 --> 0:16:06.600 what prioritization is going to be done. We're complementing that 0:16:07.080 --> 0:16:10.480 with another group from the National Academy of Medicine, which 0:16:10.560 --> 0:16:14.760 has recently met to also give a recommendation. We don't 0:16:14.760 --> 0:16:17.360 know exactly what the decision is going to be, but 0:16:17.520 --> 0:16:21.800 I can tell you, David, from past experience, clearly people 0:16:21.840 --> 0:16:25.720 who can benefit from the vaccine the most and those 0:16:25.760 --> 0:16:30.160 who are at the highest risk of serious complications will 0:16:30.240 --> 0:16:34.320 be in the higher priority. Almost certainly, the first priority 0:16:34.360 --> 0:16:37.520 will be the frontline workers, the people such as the 0:16:37.520 --> 0:16:41.440 health care providers who put themselves at risk, but close 0:16:41.560 --> 0:16:46.240 behind them will very likely be people who could benefit 0:16:46.280 --> 0:16:50.320 the most, and almost certainly that would include minorities. The 0:16:50.400 --> 0:16:53.800 vaccine has become a political football with President Trump pushing 0:16:53.840 --> 0:16:57.360 for a vaccine pre election. Our next guest, Riley Griffin 0:16:57.400 --> 0:16:59.520 and Bloomberg health care reporters here to tell us how 0:16:59.520 --> 0:17:02.360 the Trumpet illustrations going overdrive to make that happen again. 0:17:02.400 --> 0:17:05.639 We just heard from Dr Fauci with David Rubinstein with 0:17:05.760 --> 0:17:09.879 those interesting comments. So interesting, Riley, what do you take 0:17:10.080 --> 0:17:12.159 from what we just heard from Dr Fauci as you're 0:17:12.160 --> 0:17:16.639 speaking with David Rubinstein. I think that's fairly consistent with 0:17:16.640 --> 0:17:20.400 with what we've been hearing previously, which is that frontline workers, 0:17:20.400 --> 0:17:22.960 those who are in health care facilities, and those who 0:17:22.960 --> 0:17:25.080 are on the grounds and say today jobs where they 0:17:25.080 --> 0:17:29.320 can't work from home are certainly going to receive prioritization. Next, 0:17:29.400 --> 0:17:32.359 Ye're gonna want to consider at risk communities. But one 0:17:32.640 --> 0:17:37.080 major concern here is an increasing embudding sense of vaccine 0:17:37.119 --> 0:17:41.960 hesitancy among broad Americans as this game of political football, 0:17:41.960 --> 0:17:46.879 as you say, um create an additional set of doubts 0:17:46.920 --> 0:17:51.920 surrounding vaccines efficacy. So explain that a little bit more. 0:17:52.240 --> 0:17:56.240 Is this across groups and across the country, or is 0:17:56.280 --> 0:18:00.680 it in particular demographics and in particular communities. We're still 0:18:00.760 --> 0:18:03.680 learning more about their distribution plans, so that's all subject 0:18:03.680 --> 0:18:06.680 to change. But the idea would be that communities that 0:18:06.720 --> 0:18:10.520 are at risk UM, Black American Hispanics and so forth 0:18:10.960 --> 0:18:14.560 might get prioritization. But again we don't know this yet. 0:18:14.680 --> 0:18:17.600 We have yet to see a vaccine receive an emergency 0:18:17.680 --> 0:18:21.919 use approval. UM vaccine makers are still in late stage studies. 0:18:21.960 --> 0:18:25.000 We actually saw Johnson and Johnson launch its Phase three 0:18:25.040 --> 0:18:29.399 trial just today in sixty thou patients. So all of 0:18:29.440 --> 0:18:31.120 this is going to depend on the data and as 0:18:31.160 --> 0:18:34.639 soon as we have a positive read out. The Trump 0:18:34.640 --> 0:18:38.840 administration suggests that within twenty four hours of clearance by 0:18:38.960 --> 0:18:43.160 US regulators, those vaccines which have been manufactured at risk 0:18:43.680 --> 0:18:48.480 amid the clinical trial process will be deployed to administration site. 0:18:48.520 --> 0:18:51.159 So we can really get this going, Riley. Do we 0:18:51.200 --> 0:18:53.800 even know how the decision or is going to be 0:18:53.840 --> 0:18:55.560 made or who is going to make it in terms 0:18:55.560 --> 0:19:00.119 of who gets the vaccine first. Is it simply a 0:19:00.440 --> 0:19:03.840 f D A type of decision or does can it 0:19:03.880 --> 0:19:07.400 become politicized by having some involvement by the White House 0:19:07.480 --> 0:19:11.719 or other political entities. So this is certainly a team effort. 0:19:11.800 --> 0:19:15.200 What we have right now is a cohort called Operation 0:19:15.280 --> 0:19:18.920 Warp Speed, which brings together the Department of Health and 0:19:19.040 --> 0:19:23.440 Human Services, It sells the health federal agencies UM as 0:19:23.560 --> 0:19:26.119 well as the Department of Defense, which brings to it 0:19:26.640 --> 0:19:32.560 a logistics expertise, and they are determining these IS strategies 0:19:32.600 --> 0:19:36.480 together with the CDC, and that's quite critical. Something my 0:19:36.560 --> 0:19:39.760 college and I have reported today UM actual in Santaz 0:19:39.840 --> 0:19:42.720 and Sheriffs Dine and I is that the Trump administration 0:19:42.760 --> 0:19:46.400 has shifted billions of dollars previously allocated to public health 0:19:46.400 --> 0:19:51.040 programs into its Operation Warp Speed Vaccine Push, which reflects 0:19:51.080 --> 0:19:54.199 the US government's increasing focus on a medical solution to 0:19:54.320 --> 0:19:58.520 use the COVID nineteen pandemic. But simultaneously are reporting raises 0:19:59.200 --> 0:20:03.760 um question about how transparent the effort is being in 0:20:03.840 --> 0:20:06.919 terms of disclosing the funding it's received as well as 0:20:06.960 --> 0:20:10.520 the money deploying to vaccine makers. And that has taken 0:20:10.560 --> 0:20:13.399 some money away from p PP equipment and masks and 0:20:13.400 --> 0:20:16.000 so on as well. According to the story Riley talked 0:20:16.040 --> 0:20:20.560 us about Johnson and Johnson, it's now entering the last 0:20:20.640 --> 0:20:24.159 age and its trials. Is this particularly because we had 0:20:24.160 --> 0:20:26.040 the story on Fiser yesterday. Do they really want to 0:20:26.080 --> 0:20:29.919 jump in there. They've been planning for a September started 0:20:30.000 --> 0:20:33.040 date for its Phase three clinical trials for quite some time, 0:20:33.160 --> 0:20:36.560 really pushing UM their clinical trials to the test in 0:20:36.640 --> 0:20:39.240 terms of acceleration. So what we know from today is 0:20:39.240 --> 0:20:42.880 they've launched the sixties thousand person final stage studies. It's 0:20:42.920 --> 0:20:45.520 one of the largest two dates and that's bringing it 0:20:45.560 --> 0:20:48.119 into the folds of only a handful of front renders 0:20:48.119 --> 0:20:50.919 conducting trials in the US in hopes of bringing a 0:20:50.920 --> 0:20:54.080 shot to market to call the pandemic um. The important 0:20:54.119 --> 0:20:56.320 day to keep in mind here is that the company 0:20:56.400 --> 0:20:58.959 expects to be able to approach US regulators with an 0:20:58.960 --> 0:21:04.600 emergency authorization in the beginning of contingent on good data. 0:21:04.800 --> 0:21:06.760 And we'll have answers as to whether or not this 0:21:06.960 --> 0:21:09.719 is safe and effective as soon as by the end 0:21:09.720 --> 0:21:11.919 of the year. And Vonnie, one thing I want to 0:21:11.960 --> 0:21:14.960 share with you that makes this candidate so different from 0:21:14.960 --> 0:21:18.720 Madernas and spisors and after Zenica's is that J and 0:21:18.800 --> 0:21:22.159 J is taking a one dose shot approach, which is 0:21:22.200 --> 0:21:25.720 different from those other other front runners which have a 0:21:26.160 --> 0:21:30.719