Businessweek - Is Funeral Home Chain SCI's Growth Coming at the Expense of Mourners? 5-15min

Steering his jet-black Cadillac CTS sedan along the streets of West Palm Beach, Fla., Brad Zahn offers a tour of the area’s cemeteries, one more tropically lush than the next. Zahn, owner of the Tillman Funeral Home & Crematory, embalms and buries people for a living. He employs his wife, Maribel, and one of their adult sons. Another son attends mortuary school. “My succession plan is in place,” Zahn says. He speaks evenly and wears muted business attire. One hand on the wheel, he seems the very picture of a confident entrepreneur. His demeanor turns anxious, however, when I ask about the funeral chain Service Corporation International (SCI). “How can you not be nervous,” he responds, “when the 1,000-pound gorilla gets even bigger?” In the death-care industry, as practitioners call it, SCI casts a long shadow. Based in Houston and publicly traded on the New York Stock Exchange (NYX), it operates more than 1,800 funeral homes and cemeteries in the U.S. and Canada. It has 20,000 employees and a market capitalization of $4 billion. For 40 years, SCI has gobbled competitors as the pioneer consolidator of a fragmented industry. Although it has overreached at times, suffering a corporate near-death experience after a late-1990s debt binge, SCI is hungry once again.

Bloomberg - Inside Shell’s Extreme Plan to Drill for Oil in the Arctic 5-15min

A global oil glut has tanked prices and cut profits—so why won’t Shell give up on the north? ... geologists believe that beneath Burger J—70 miles offshore and 800 miles from the Anchorage command center—lie up to 15 billion barrels of oil. An additional 11 billion barrels are thought to be buried due east under the Beaufort Sea. All told, Arctic waters cover about 13 percent of the world’s undiscovered petroleum, or enough to supply the U.S. for more than a decade, according to government estimates. ... Surprise lurks in the Chukchi, whose frigid waters north of the Bering Strait span from Alaska to Siberia. Logistical and legal obstacles have repeatedly delayed the Arctic initiative, on which Shell is spending more than $1 billion a year—more than $7 billion so far and counting. The single well in the Chukchi Shell aims to excavate this summer could be the most expensive on earth, and it hasn’t yielded its first barrel of crude. ... Shell’s Scenarios group, an in-house think tank that management points to as an emblem of its open-mindedness, has done extensive work undergirding the company’s support for government policies encouraging development of renewable energy sources, she says. But the Scenarios research also justifies aggressive exploration for more crude. With the global population rising from 7 billion to more than 9 billion by 2050 and total energy demand nearly doubling ... Most of the world’s “easy oil” has already been pumped or nationalized by resource-rich governments, Pickard says, leaving independent producers such as Shell no choice but to pursue “extreme oil” in dicey places.

Bloomberg - Three Days Behind the Counter at a Vegas Gun Shop 5-15min

“It’s been this way for the last seven years,” since President Obama got into office, says Mike Moore, Westside’s account manager at RSR Group, a large national gun-and-ammunition wholesaler based in Winter Park, Fla. Moore and others in the industry marvel at the staying power of what they call “the Obama surge”—elevated sales driven by the (unfulfilled) fear of tougher federal gun control. ... “There’s four things selling guns at the moment,” says Rocky Fortino, one of Hopkins’s employees. “One: ‘I’m afraid they’re going to make it harder to buy a gun, so I better get one now.’ Two: ‘I’m afraid of home invasions and other violent crime.’ Three: ‘I’m afraid of mass shootings.’ And four: ‘I’m afraid of terrorism.’” ... With an estimated 300 million firearms already in private hands and surveys showing that a third or so of American households possess a gun, one might assume that the consumer market is saturated. “It’s not,” Hopkins says. “Gun owners are buying more guns, and lately we’re seeing some first-time buyers, too.”

Bloomberg - Is the F-35 a Trillion-Dollar Mistake? 13min

The ambition to create the version of the F-35 that I watched on the tarmac at Patuxent River—one that can make short takeoffs and vertical landings—was what got the fighter jet’s development under way in the 1980s. The Defense Advanced Research Projects Agency (Darpa), the Pentagon’s tech arm, began working at the Marine Corps’ behest on an improved version of the Harrier, a crash-prone vertical-landing jet of British design. According to a Pentagon history of the F-35, Darpa quietly sought assistance from a research and development arm of Lockheed Martin known as the Skunk Works. By the early 1990s, the Darpa-Skunk Works collaboration had produced preliminary concepts, and the Marine Corps began pressing Congress for funding. The Air Force and Navy insisted that they, too, needed stealthy, supersonic fighters to replace aging Cold War-era models. Out of this clamoring grew a consensus that the only way to afford thousands of cutting-edge fighters was to build a basic model that could be customized for each service. ... The degree of commonality among the three versions of the F-35—the shared features—turned out to be not the anticipated 70 percent but a mere 25 percent, meaning that hoped-for economies of scale never materialized. A pattern of continual reengineering resulted in billions of dollars in cost overruns and yearslong delays.