The daily business briefing: November 4, 2019

1. McDonald's CEO resigns over consensual relationship with employee

McDonald's CEO Steve Easterbrook has left the fast-food giant after having a consensual romantic relationship with an employee in violation of company policy, McDonald's said Sunday. Easterbrook acknowledged in an email that he had a relationship with a subordinate, and said it was a mistake. "Given the values of the company, I agree with the board that it is time for me to move on," Easterbrook said in the email. Easterbrook became CEO in 2015. The details of his separation package are expected to be released Monday in a federal filing. The McDonald's board named Chris Kempczinski, who has served as McDonald's USA president, to succeed Easterbrook. The company reports third quarter earnings on Tuesday.

The Associated Press

2. Report: Under Armour accounting practices under investigation

Federal authorities are investigating Under Armour's accounting practices to determine whether the sportswear maker moved sales from one quarter to another to make the company's finances look better, The Wall Street Journal reported Sunday, citing people familiar with the matter. A Journal source said federal prosecutors are conducting a criminal inquiry, and coordinating with counterparts at the Securities and Exchange Commission who are conducting a civil case. Neither the Justice Department nor the SEC immediately released any comment. Under Armour, once among the nation's fastest growing apparel brands, has been working on restructuring its operations as it struggles with weak sales.

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The Wall Street Journal MarketWatch

3. Columbia Sportswear leader Gert Boyle dies at 95

Columbia Sportswear chairwoman Gert Boyle, who starred in ads dubbing her "One Tough Mother," died Sunday. She was 95. Boyle established herself as a colorful corporate leader after taking over the company in 1970 when her husband died of a heart attack. Boyle, then a 46-year-old homemaker, had no significant business experience at that point, but helped build the company into a leading national brand. She became known for no-nonsense business wisdom, such as, "Early to bed, early to rise, work like hell and advertise." Her ads in the 1980s helped cement her reputation. They showed her making her son, company president Tim Boyle, perform rigorous feats to demonstrate the quality of the company's products.

The Associated Press

4. Stock futures rise further after Friday's surge

U.S. stock index futures gained early Monday ahead of the start of the week's trading, potentially adding to Friday's gains after a stronger-than-expected October employment report. Futures for the Dow Jones Industrial Average, the S&P 500, and the Nasdaq were up by 0.4 percent or more. Investors continued to focus on developments in efforts to end the U.S.-China trade war. Commerce Secretary Wilbur Ross said Sunday that "phase one" of an agreement might not be ready this month, but "we're making good progress." He also said licenses for U.S. companies to conduct business with China's Huawei Technologies will be issued "very shortly." Corporate earnings season continues with reports from Ferrari, Under Armour, and Ryanair before the bell, and Uber, Marriott, and Groupon after trading closes.

CNBC MarketWatch

5. Saudi Aramco IPO could surpass Alibaba's as biggest ever

Potential investors scrambled for details on Saudi Aramco's plans after the state oil company announced Sunday what could be the world's biggest initial public offering of stock. The Saudi Arabian energy giant offered no specifics on the IPO's timeframe or size, but Reuters reported Monday that the company could offer up to 2 percent of its shares and raise $20 billion to $40 billion. Anything over $25 billion would surpass Chinese e-commerce giant Alibaba's record 2014 debut. Fund managers who have seen banks' research on Saudi Aramco said valuations vary by more than $1 trillion, from a low of $1.2 trillion to a high of $2.3 trillion. Saudi Crown Prince Mohammed bin Salman has talked of a $2 trillion target value.

Reuters