Tag Archives: economy

Business/Economics, International, Technology, U.S.

No Longer Made in the U.S.A.? Former Ohio company now owned by China

Hydraulic Press Manufacturing (HPM) was a 135 year old Ohio plastics company, but it went bust in 2009.

However, you can still buy products with the HPM brand, but it’s not a U.S. company anymore.

In 2011 a Chinese company called Guangdong Yizumi Precision Machinery, bought all the rights to HPM and all its products.   Production has been started in southern China.

The Chinese company says they’ve even hired former U.S. employees of HPM.  They are setting up shop in the United States and already have contracts in north America worth $3 million USD.

 

Business/Economics, International, U.S.

Oil & Gas Prices: Iran officially stops oil shipments to Spain & Greece. Germany and Italy next.

April 10, 2012, Iran has officially halted oil exports to Spain and Greece.

The official government announcement comes after Iran canceled oil shipments to two Greek companies on April 5.

Back on March 16 Iran had named the next countries on its oil export ban list.  Those countries are Greece, Italy, Netherlands, Portugal and Spain.  This is in retaliation for the up coming European Union oil sanctions that go into effect on July 1.

Iran had already halted oil shipments to France and United Kingdom back in February.

According to an April 10 Reuters report, Iran is now considering halting oil exports to Germany as well.

 

Business/Economics, International, Technology, U.S.

What Economic Recovery? Sony posts record loss, Sharp says they’re about to follow suit, blames the United States for lack of economic recovery

April 10, 2012, Sony announced the biggest loss in its history!

Sony says it lost about $6.4 billion USD for their quarter ending in March!  That’s $4 billion more than they first estimated back in February.

Sony officials blame the monster loss on huge declines in sales in the United States!

Another Japanese company, Sharp, says it will post record loses as well.

Sharp says loses could be as high as $4.6 billion USD, much higher than first thought back in February!

They also blame lack of economic recovery, saying their TV sales have crashed!

Sharp is now forced to sell controlling stake in its liquid crystal panel factory to a Taiwan company, Hon Hai Precision Industry.

 

 

 

Business/Economics, U.S.

False Capitalism & Class Warfare: While social programs are slashed & burned, Corporate America makes billions off taxes! Where are the jobs you elitist A-Holes?

Ever wonder how Corporate America can make money when we Consumers are spending less because most of us have less income?  It’s called “tax loopholes”, or “backdoor subsidies”, or “corporate welfare”!

Citizens for Tax Justice, and the Institute on Taxation and Economic Policy, just updated their recent study on how too big to fail Corporate America is making money off the U.S. tax system.

The study, first published in November 2011, showed that so called Corporate America was actually getting paid by the U.S. tax system due to loopholes.

From 2008 through 2010, 30 of the top U.S. corporations actually had negative tax rates, even though the same 30 companies had total pre-tax profits in the hundreds of billions of dollars!  All together they had a -7.1% tax rate, but Pepsi led the pack with a -57.6% tax rate, and General Electric took second with -45.3%!

For 2011 the number of corporations with negative tax rates dropped to 26.   Pepsi and GE still led the pack with negative tax rates.

Basically what Corporate America is getting is a type of backdoor government subsidy, something right wing neo-conservative Capitalists have always said shouldn’t be done in a true capitalist system.

The study showed that from 2008 through 2011 the 30 companies have received more than $78 billion in total tax subsidies!

Here’s a list of some of the big subsidy recipients: “Wells Fargo alone garnered $21.6 billion in tax subsidies over the four years, followed by General Electric ($10.6 billion), Verizon ($7.7 billion), and Boeing ($6.0 billion).”–Big No-Tax Corps Just Keep on Dodging

Now realize that all this free tax money to Corporate America has not resulted in the creation of the millions of new jobs that are needed to create an economic recovery!

Wake up people!!!  “Accordingly, they [elitist individuals & corporations] ink multi-billion dollar agreements and loot the energy, oil, wealth and existence of the nations, whereas they are the major cause of insecurity themselves!”-Mahmoud Ahmadinejad, President of Iran, April 10, 2012

 

 

 

Business/Economics, U.S.

Corporate Evil: More proof the Too Big to Fail Banks mortgage forclosures are intentional, Bank president pleads guilty in court

April 9, 2012, Gerard Canino, president of New York’s First Class Equities, pled guilty to $66 million USD mortgage fraud scheme.

“As the president and owner of First Class Equities, Gerard Canino should have promoted responsible home ownership and protected the integrity of the mortgage finance industry. Instead, he used his firm to commit a massive mortgage fraud scheme that left scores of foreclosed properties in its wake.”-Preet Bharara, U.S. Attorney  

Canino and his firm recruited “straw buyers”; people who posed as home buyers to purchase distressed properties but who had no intention of paying the mortgages.  The bank loans meant for buying the properties actually went to Canino and his co-conspirators. Court papers said the Long Island based firm ran the fraud from 2004 to 2009.

If you think about it, $66 million is a drop in the big bucket of home foreclosures. 

Business/Economics, Technology, U.S.

Former Postal Employees, and former contractors, convicted of ripping off the USPS and its customers, USPS warns of malware fraud

April 6, 2012, a 45 year old California man pled guilty to ripping off the United States Postal Service using a trucking company called Golden Pacific Logistics (GPL).

According to the prosecutor the man was awarded $6.4 million USD in contracts to do business with the USPS, of which $4.4 million were fraudulent.  His 39 year old wife pled guilty back on March 28.

The man was also a U.S. Postal Service manager, and he used his position to get the fraudulent contracts for his trucking company.  They will be sentenced on July 11.

In Connecticut, a 50 year old former postal clerk was just sentenced for stealing money orders he sold to customers, and for embezzling union funds.

He managed to steal $11,300 worth of money orders by voiding them after he sold them to customers, or by going through people’s mail and taking the postal money orders.  He ripped off his fellow postal workers by stealing more than $8,800 in Postal Union funds, while serving as president of Local 3093 Union from 2007 through 2008.

He was sentenced to five years probation, the first six months being home arrest with electronic monitoring, 200 hours of community service and paying restitution of $20,201.

The USPS is also warning people of a malware (malicious software) email.

People are getting emails basically telling them they have a refund waiting, and it looks like you’re clicking on the USPS ClicknShip link, but you’re actually opening a program that collects all your info off your computer.

The USPS says just delete such emails, and contact them directly about any refunds.

Note: The United States Postal Service operates on money that comes from you and me buying postal products, not our taxes!

 

 

 

Business/Economics, Idaho, U.S.

What Economic Recovery? Department of Labor to end long term unemployment help, even though job creation is slacking, Merry early Xmas!

“It’s a hard cut off, there is no phase out. Nobody gets squat after December 31!”-Bob Fick, U.S. Department of Labor

The U.S. government is ending long term unemployment help (stop calling it “benefits” main stream U.S. media!!!).  Emergency unemployment compensation is being reduced from 53 weeks, to just 13.  Another program known as extended benefits is being ended altogether.

As a result, in the state of Idaho overall maximum unemployment help will drop from 99 weeks to 39!

The official U.S. unemployment rate is at 8.2%, Idaho’s official unemployment rate is around 8%. But that doesn’t mean companies are hiring enough people.

April 9, 2012, U.S. stock markets dropped because of news that hiring is not what everyone thought it was. The U.S. Department of Labor announced that 120,000 jobs were created in March.  That’s 80,000 less than expected!

Many “experts” were sure it would be more than 200,000!   In fact many of those “experts” now think the job gains of the previous three months were temporary, and more losses are to come: “We’re thinking that the economic data is going to lose some momentum from here going forward.”-Bob Baur, Principal Global Investors

Even Federal Reserve chairman Ben Bernanke said the recent drop in official unemployment numbers was “out of sync”.

Teenagers continue to get hit hard with lack of jobs.  The official rate of unemployment for them is 25%!  The highest rate since last year, and getting close to the all time record of 25.5% in 2009 (the highest since 1948)!

Here’s a fact: There are 5.1 million less U.S. jobs now, than in December 2007! The U.S. economy needed to create at least 4.7 million new jobs since then, in order to “recover”, and it has not!

Here’s another interesting fact about the official unemployment numbers game:  New York City is considered to have made a faster “recovery” than the rest of the country, yet their unemployment numbers have gone up!  They’re now around 9.6% unemployment, close to the 10% they hit in 2009.

This is just an example of how you can’t trust the “official” numbers.  Remember, the official unemployment rate does not count people who have been unemployed for so long they no longer qualify for unemployment assistance. Also, the Department of Labor issues at least six different “unemployment numbers”.

U-3 is the one the main stream U.S. media runs with.  It’s the one giving us the 8.2% rate for March.  The Department of Labor calls it the “official unemployment rate”.

But there is also U-6, and it says the unemployment rate is 14.5%!  It’s also known as the “under-employed”, which means people who are working part time but want full time work.  The Department of Labor said there were 7.7 million under-employed people in March 2012.

U-1 is also the “employment to population rate”, which looks at how many people have jobs, and it says 58.5% of the people have jobs.

Then there’s U-4 and U-5 (aka “long term unemployment” or “discouraged workers”) numbers which tries to count people who’ve been out of work for more than six months. It’s now at 5.3 million long term unemployed.

There’s also U-2 which tries to count people who just lost their jobs.

It’s confusing, especially when you get to the “discouraged” calculations.  Examples: U-4 is U-3 + “discouraged workers”.  U-5 is U-4 + “marginally attached workers”.  U-6 is U-5 + “part time workers who want full time work”.

The bottom line is that there are millions of people in the United States still without jobs, or without good paying jobs, and that is a sign that there is no economic recovery.

 

 

 

 

 

 

 

Fukushima, Idaho, Technology

Radiation mystery at Idaho National Laboratory, Cesium & Cobalt

U.S. department of Energy reported on April 6, 2012, that radioactive particles of cesium and cobalt are being found on construction materials.

A contractor discovered the contamination.  Officials think it could be from the demolition of old buildings in that area of the INL site, which would imply that the buildings were contaminated before being torn down.

A local east Idaho DOE spokesman said there was no concern “…unless you get it onto your skin…” and you had “…prolonged exposure…”

Employees and vehicles are now being checked for contamination as they enter and leave the site.

Business/Economics, International, Technology, U.S.

Oil & Gas Prices: Egyptian pipeline blown up again, Natural Gas Glut results in 10 years low prices, U.S. investigates European oil companies in Libya, Iran reduces oil exports

According to Azerbaijani media, Iran’s Oil Ministry is confirming that their oil exports are dropping due to Western oil sanctions.

Iranian oil officials say Japan has made the biggest cut in oil purchases, despite recently getting an exemption from the United States.  Japan cut Iranian oil imports by 28% from January to April 2012.

However, Iran’s oil exports have also gone down due to their own oil embargo of the European Union.  The EU’s own oil sanctions go into effect on July 1.

Speaking of Japan, Tokyo Electric, the operator of the nuclear disaster reactors at Fukushima Daiichi, has been using oil to generate electricity, a lot more oil.

TEPCo reported that in March 2012 they used four times the amount of oil than in March 2011.  They also used the most natural gas since August 2011, and August was a record for gas use by TEPCo; 2.079 million tons.

Regarding natural gas, the United States is so full of it, that there is no where left to store the stuff.  Underground salt caverns, depleted oil fields and aquifers are being used but even they are rapidly filling.

The result is that drilling and pumping of the LNG will have to stop, natural gas prices are at ten year lows (we consumers like that).  Maybe this will mean an end to fracking and man made earthquakes?

But that might be bad news for places like Williamsport, Pennsylvania.  The town has seen an economic boom; their tax revenues have gone up more than 10% between 2006 and 2010, and 115 new business in and around Lycoming County have been created.

In Egypt, ever since the January 2011 Revolution their gas pipeline to Israel and Jordan keeps getting blown up.  April 9, 2012, it got blown up again, for the 14th time since the Revolution.

In Libya, U.S. officials are investigating oil deals made with Italy’s Eni, and France’s Total.  The companies are being investigated for their connections to Muammar Gaddafi.

Eni officials said certain payments made to Gaddafi might have violated the U.S. Foreign Corruption Practice Act.  The U.S. is helping the new Libyan government investigate many oil companies, and could result in huge fines being levied in favor of the new government.