Tag Archives: CEO

Videos

Democrat Jim Cramer explains how Obamacare forces businesses to outsource

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Transcript:

CNBC’s Jim Cramer:  “This is — look, I think the debate is a fabulous one to have, but it has completely taken away from the fact that we are really going to have a hard time hiring once this plan is put in place. I’ve had a couple of CEOs come on just in the last few weeks. When you talk about whether they want to hire, this is what they bring up. Chipotle, look, use this as maybe one of the great job creators in this country and they pay a lot for their people. This is a company that is very forward. When I ask them, what does ObamaCare do for you? They just say well, nothing we hope because the Supreme Court has got to say no to it. I mean, this is at the front and center of what could derail the economy.”

MSNBC’s Joe Scarbarough: “You’re talking about health care reform?”

CNBC’s Jim Cramer:  “I’m just saying, look, the issue the Catholic charities issue, front and center, I want church and state separation, but whatever I want doesn’t matter as much as what I’m telling you. Business leaders fear this more than anything, they don’t want to hire, this is part of the underground economy. It’s gonna develop because no one wants people on the books because of ObamaCare and people have to recognize that this is a front and center issue for every CEO I deal with and another reason why they don’t want to hire here, they want to hire there. They want to put the jobs in Asia, they want to put the jobs in Mexico because they don’t want to think about how much more it’s going to cost to hire a new person. Don’t lose that debate. That is a major debate for the economy.”

Is Jim Cramer some sort of radical tea party conservative?

He wrote this in 2008:

What will New York look like a year from now? The answer: bad and probably worse, and perhaps downright catastrophic. Three degrees of awful. The first step was passing the bank-bailout legislation. Now that it’s done—and if it didn’t get done we would have been looking at a guaranteed economic collapse—the critical issue will be presidential leadership. And while any president will be an improvement over the current one, there is a growing belief on Wall Street that Barack Obama has the capacity to lead us out of this wilderness while John McCain does not. I’ll go a step further: Obama is a recession. McCain is a depression.

Cramer back Barack Obama for President and is a well-known Democrat.

News

Women in business report that regulatory uncertainty hurts job growth

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The Independent Women’s Forum explains what happened at a panel discussion of women CEOs.

Excerpt:

Rep. Cathy McMorris-Rodgers hosted a panel discussion on Capitol Hill today that focused on the economy and job creation.  All of the panelists were CEOs.  All of them were women.

In their opening remarks, one word was mentioned by every panelist: uncertainty.

Another word, that went hand-in-hand with the uncertainty that America’s job creators are facing was “regulations.”  This word was also mentioned by every panelist.

Sandra Parrillo, President & CEO of Providence Mutual Fire Insurance, said that, as a property and casuality insurance company, they are very familiar with risk.  This year has been unprecedented in the amount of claims they’ve paid out due to an usually high number of natural disasters.  But Parrillo said her company faces enough uncertainty from nature; they don’t need uncertainty coming from Washington, DC, where hundreds of new rules are being written – often to solve problems that don’t really exist.

Lisa Hook, President & CEO, Neustar, Inc., said, “The outcome of the budget is less important to us than that there is a budget.”  Her company is traded on the stock market, and she says that the uncertainty fueling the ups and downs of the market, often driven by headlines from D.C., affects her business and her borrowing costs.

Several of the panelists derided Congress for failing to pass a budget for FY 2011.  They want to know that Congress is working to get its fiscal house in order.   They want to know what to expect from the executive branch as well, rather than having to readjust their budgets to deal with costly new regulations as soon as they are written.

Alison Brown, President & CEO, NAVSYS Corporation, went on to explain how difficult it is for small businesses to find access to working capital.  She said, “I have had to become my own bank.”  Her company isn’t publicly traded, and she pointed to Dodd-Frank and Sarbanes-Oxley as two laws that have wrestled working capital from the hands of small business.

Catherine Heigel, President of Duke Energy South Carolina, echoed the sentiments of the other panelists.  She also pointed out Duke Energy would like to repatriate their foreign earnings, but without reform, they would face an effective tax rate of over 50 percent.  All of the panelists agreed that certainty (that often comes from having more cash available) could be restored to the American economy with regulatory reform, tax reform, and health care reform.  They pointed to these three areas as the areas that currently are most burdensome to businesses.

In many ways the panel today was depressing.  All of the CEOs recognized that we are in a tough time, and all of them expressed disappointment that they could not expand and add more jobs in the current business climate.

There is a problem on the left where they have this idea that they can seize profits, control businesses, impose politically correct agendas, and engage in judicial activism and businesses will just keep hiring, producing and so on. It’s the ultimate narcissism. Bureaucrats are so busy spending other people’s money and making speeches about how generous they are that they completely forget who is paying the bill.

News

Has Obama’s buddy Jon Corzine misplaced $1.2 billion of customer funds?

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From the Washington Times.

Excerpt:

The facts are that on Oct. 25, Jon Corzine, a former New Jersey governor, stated he was confident that MF Global would successfully manage its $6.3 billion exposure to European debt (Spain, Portugal, Belgium and Italy). Yet a week after a failed attempt to sell the company, MF Global filed for Chapter 11 bankruptcy on Oct. 31.

Now let’s discuss the failure of management at MF Global. Mr. Corzine who is considered by many one of the smartest fixed-income minds in the business took immeasurable risk with the capital of his firm. It was revealed that the company was leveraged 40-1. In summary, the company only had 2.5 percent equity invested against risk positions. Note: Even in the height of the subprime crisis a 40-1 leverage would have been considered extremely risky, where small movements in underlying positions could represent deleterious outcomes for investors.

Did the great Jon Corzine not learn from the greatest financial meltdown seen in the U.S. economy? The answer is simple, here is another example to the entrusted “gambling with other people’s money.” The irony of this is that in the August 2011 bond deal there is a key clause that states if Mr. Corzine departs as MF Global’s full-time chief executive officer prior to July 1, 2013, because of an appointment to a federal position by the president and confirmation of that appointment by the U.S. Senate, investors would get an additional 1 percent coupon on their existing 6.250 percent bonds. I beg to differ in that the “clause” should have said if Mr. Corzine decides to increase the risk-taking at MF Global similar to previous risk positions at Goldman Sachs, investors should be redeemed their money at 100 cents on the dollar. We will find out more but another concern, there is approximately $600 million of unaccounted for customer funds.

UPDATE: The figure is now $1.2 billion.

Excerpt:

The court-appointed trustee overseeing MF Global’s bankruptcy says up to $1.2 billion is missing from customer accounts, double what the firm had reported to regulators last month.

Obama is the Solyndra president. He’s been raiding the public coffers to reward his billionaire campaign fundraisers from day 1 with from his “stimulus” funding – running 1.3 trillion deficits to pay off all the people who got him elected. The young people who will have to pay off this debt still keep voting for him like lemmings – they have no idea about his connections to rich Wall Street bankers. They buy the rhetoric. And the Obama-media has no interest of informing anyone about his connections to dodgy people and organizations.

Look for Corzine to get a presidential pardon in 2012, when Obama leaves office.