March 25, 2010
— Ace Ain't that America.
Caterpillar Inc. said Wednesday it will take a $100 million charge to earnings this quarter to reflect additional taxes stemming from newly enacted U.S. health-care legislation....
The charge is expected to be a one-time cost, but Caterpillar has argued that higher taxes and other potential cost increases related to insurance coverage mandates in the legislation will hinder the companyÂ’s recovery this year after a 75% plunge in income during 2009.
“From our point of view, a tax increase like this cannot come at a worse time,” said Jim Dugan, a Caterpillar spokesman.
And John Deere:
Farm equipment maker Deere expects after-tax expenses to rise by $150 million this year as a result of the health care reform law President Barack Obama signed this week.Most of the higher expense will come in DeereÂ’s second quarter, the company said on Thursday. The expense was not included in the companyÂ’s earlier 2010 forecast, which called for net income of about $1.3 billion. Â…
The law could raise expenses for large U.S. employers. Industrial companies, which typically have large numbers of retirees, may be among those facing the biggest bill. Caterpillar had argued before the legislation passed that health reform would put it at a disadvantage against global competitors.
Video at Hot Air of Obama saying "you can measure America's bottom line by looking at Caterpillar's bottom line." Well, Caterpillar just took a massive tax hit. How's that workiin' out then?
Posted by: Ace at
10:04 AM
| Comments (92)
Post contains 262 words, total size 2 kb.
Posted by: Butters at March 25, 2010 10:06 AM (wuv1c)
Posted by: Barack Insane Obama at March 25, 2010 10:07 AM (Vu6sl)
ObamaCare is a Job-killing TAX INCREASE.
While the democrats use their emotional propaganda to deceive a nation, the reality is that private industry is being held up at gun-point.
Posted by: Lemon Kitten at March 25, 2010 10:08 AM (0fzsA)
Posted by: Dr. Spank at March 25, 2010 10:08 AM (I1/U/)
Posted by: Niles Standish at March 25, 2010 10:08 AM (fGMGp)
Posted by: Barry Soetoro at March 25, 2010 10:08 AM (LKkE8)
Posted by: Rachel Corrie at March 25, 2010 10:08 AM (YCVBL)
blah, blah, blah... You vote for a Marxist, you get a Marxist.
Did I mention that the biggest news of the day is that I'm no longer on Facebook?
Posted by: Truman North at March 25, 2010 10:09 AM (e8YaH)
Posted by: runningrn at March 25, 2010 10:09 AM (CfmlF)
Posted by: ryukyu at March 25, 2010 10:10 AM (MOHSR)
Posted by: doug at March 25, 2010 10:10 AM (Sa/HV)
Posted by: John Conyers at March 25, 2010 10:10 AM (YCVBL)
WSJ: Why the Personal Mandate to Buy Health Insurance Is Unprecedented and Unconstitutional
A mandate requiring all individuals to purchase health insurance would be an unprecedented form of federal action. The government has never required people to buy any good or service as a condition of lawful residence in the United States. An individual mandate would have two features that, in combination, would make it unique. First, it would impose a duty on individuals as members of society. Second, it would require people to purchase a specific service that would be heavily regulated by the federal government.[1]
Posted by: conscious and not a lawyer at March 25, 2010 10:10 AM (Vu6sl)
Posted by: Truman North at March 25, 2010 10:11 AM (e8YaH)
Posted by: Butters at March 25, 2010 10:12 AM (wuv1c)
#10 Did I mention that the biggest news of the day is that I'm no longer on Facebook?
Good for you, Truman! I burned Facebook a long time ago and never looked back.
Posted by: Kratos (missing from the side of Mt Olympus) at March 25, 2010 10:12 AM (9hSKh)
Posted by: Jane D'oh at March 25, 2010 10:13 AM (UOM48)
Posted by: The PLO at March 25, 2010 10:13 AM (I1/U/)
So, how many John Deere empleyees were in favor of HC? They thought they'd get something for nothing and supported it. Instead, they will be getting a pink slip and still be on the hook for their own healthcare. Those people ldeserve what they have coming.
For those that did not support the corrupt, dishonest socialist take over of HC, you have my sympathy
Posted by: you wnated it at March 25, 2010 10:14 AM (0cUgO)
Caterpillar regularly makes Comrade Zero look like an ass, and their products are big, powerful and destructive. They even flatten terrorist houses in Gaza, as well as an occasional useful idiot.
I nominate Caterpillar for the title of Dick Cheney of American manufacturers.
Posted by: Cicero at March 25, 2010 10:14 AM (QKKT0)
This shit keeps up I think we CAN take back BOTH houses of Congress.
Posted by: Kemp at March 25, 2010 10:14 AM (2+9Yx)
I guess the Administration's hard pivot to "jobs, jobs, jobs" is to take even more money from companies to make people lose their "jobs, jobs, jobs".
One might have the crazy notion that was the whole point...
/In the end, only financial chaos!
Posted by: Kratos (missing from the side of Mt Olympus) at March 25, 2010 10:14 AM (9hSKh)
Posted by: Mephitis at March 25, 2010 10:15 AM (ehXLT)
Truman and Kratos. People keep telling me to open a facebook account. I don't really want to broadcast my personal stuff. I understand that it is addicitive too. Why did you leave?
Catepillar guy said that Obama lied about their meeting too.
Posted by: dagny at March 25, 2010 10:17 AM (ClTG+)
Posted by: madtechie at March 25, 2010 10:17 AM (VVz4l)
Posted by: Rachel Corrie at March 25, 2010 10:17 AM (YCVBL)
Posted by: Scott at March 25, 2010 10:17 AM (/vyvP)
Those union assholes out there deserve what they get. The state is a bag of S*it. The only thing they do out there worth a damn is wrestle and that's because most of those farm boys like holding on to each other.
F*ck Iowa, if they hadn't giving "Our Leader" a win this would not be happening now.
Posted by: Kemp at March 25, 2010 10:20 AM (2+9Yx)
-a Torie, 1776.
Posted by: dfbaskwill at March 25, 2010 10:20 AM (usjNq)
This just in: Rahm seen killing unicorns in their barn on the WH grounds. Plans to blame tea partiers and bitter clingers.
Posted by: Jane D'oh, who never says at March 25, 2010 10:20 AM (UOM48)
Posted by: CUS at March 25, 2010 10:21 AM (wOGfT)
Posted by: Jean at March 25, 2010 10:21 AM (PjevJ)
Maybe not, I think the UAW contract is not covered and is already broken out of GM's balance sheet.
Posted by: Kemp at March 25, 2010 10:24 AM (2+9Yx)
This shit keeps up I think we CAN take back BOTH houses of Congress.
Posted by: Kemp at March 25, 2010 02:14 PM (2+9Yx)
I for one will richly enjoy seeing Nancy Pelosi take up her new position as ranking minority member on the Subcommittee on Federal Workforce, Post Office, and the District of Columbia"
Maybe she'll give a press conference from her new office.
In the basement of the Ford House Building....
Next to the trash room...
Posted by: Nighthawk at March 25, 2010 10:24 AM (OtQXp)
If so, they got what they deserved.
Posted by: Vic at March 25, 2010 10:25 AM (QrA9E)
#29 Catepillar guy said that Obama lied about their meeting too.
Surprise, surprise, surprise.
I left because a) I hated the Facebook quizzes and pokes, b) Had only a grand total of 4 people as "friends" that I cared about, and c) Yeah, I hate broadcasting my personal stuff.
Posted by: Kratos (missing from the side of Mt Olympus) at March 25, 2010 10:26 AM (9hSKh)
Posted by: Chgofan3 at March 25, 2010 10:26 AM (ObTcs)
Posted by: Bosk at March 25, 2010 10:26 AM (pUO5u)
From WSJ, portions of the email Verizon employees received titled "President Obama Signs Health Care Legislation" from Marc Reed, VP of Human Resources:
"'We expect that Verizon's costs will increase in the short term. It is difficult at this point to gauge the precise impact of this legislation,'... the message to workers was clear: Expect changes for the worse to your health benefits as the direct result of this bill, and maybe as soon as this year.
Mr. Reed specifically cited a change in the tax treatment of retiree health benefits. When Congress created the Medicare prescription drug benefit in 2003, it included a modest tax subsidy to encourage employers to keep drug plans for retirees, rather than dumping them on the government. The Employee Benefit Research Institute says this exclusion--equal to 28% of the cost of a drug plan will run tax payers $665 per person next year while the same Medicare coverage will cost $1209.
In a $5.4 billion revenue grab, Democrats decided that this $665 fillip should be subject to the ordinary corporate income tax of 35%. Most consulting firms and independent analysts say the higher costs will induce some companies to drop drug coverage, which could affect about 5 million retirees and 3500 businesses....The new bill might cause some to drop retiree coverage altogether. Others...bound by labor contracts to retirees will find other ways to cut costs. This means raising costs or reducing coverage for other employees. so much for Mr. Obama's claim that if you like your coverage, you can keep it--even at Fortune 500 companies.
In its employee note, Verizon also warned about the 40% tax on high end health plans..."'Many of the plans that Verizon offers to employees and retirees are projected to have costs above the threshold in the legislation and will be subject to the 40% tax'."
Posted by: runningrn at March 25, 2010 10:27 AM (CfmlF)
Think before you type. The loss of earnings, and the loss of jobs rolls down hill not up.
Posted by: gus at March 25, 2010 10:27 AM (Vqruj)
44 Well now that the bill has been passed I guess we can see what's in it.
Even they don't know what's in it (example: the "no denial of pre-existing conditions on children"). It's like the Pandora's box of bills.
Posted by: Kratos (missing from the side of Mt Olympus) at March 25, 2010 10:28 AM (9hSKh)
blah, blah, blah... You vote for a Marxist, you get a Marxist.
Did I mention that the biggest news of the day is that I'm no longer on Facebook?
Posted by: Truman North at March 25, 2010 02:09 PMSorry to see you go, TN. Was it that creep who was making the threats? I thought only teabaggrz did that
Posted by: kbdabear at March 25, 2010 10:30 AM (sYxEE)
I am sure the $17 million they got was just a consistence.
Posted by: Kemp at March 25, 2010 10:30 AM (2+9Yx)
Posted by: Chgofan3 at March 25, 2010 10:31 AM (ObTcs)
Some have said that the stimulus hasn't saved any jobs, but here is a case where at least one job was saved. Oregon State University Athletic Director Bob DeCarolis was considering firing their basketball coach, Craig Robinson, after an 8-11 start (2-5 in the Pac 10 conference). When word of this reached Washington , Undersecretary of Education Martha Kanter was dispatched to Corvallis with $17 million in stimulus money for the university. Craig Robinson's job is safe for this year. For those of you unfamiliar with Coach Robinson, he just so happens to be Michelle Obama's brother. Just a coincidence I'm sure!
Posted by: Kemp at March 25, 2010 10:33 AM (2+9Yx)
Posted by: Chgofan3 at March 25, 2010 10:35 AM (ObTcs)
Posted by: dagny at March 25, 2010 10:36 AM (ClTG+)
Posted by: RM at March 25, 2010 10:38 AM (1kwr2)
Posted by: Circa (Insert Year Here) at March 25, 2010 10:43 AM (B+qrE)
Posted by: runningrn at March 25, 2010 10:48 AM (CfmlF)
They were. The media decided to cover their boyfriend's exploits on the field.
Posted by: AmishDude at March 25, 2010 11:14 AM (T0NGe)
Posted by: WaterCow at March 25, 2010 11:28 AM (cQyWA)
The CEO of Caterpillar actually called Obama out for his mischaracterizations. It was a Joe The Plumber moment for The One. I don't think Cat deserves our generalized spittle-flecked hatred quite so much. You hear me there, upthread?
A lot of us have quite a bit of loyalty to these two firms, based on their products. Commenters are well advised to keep this in mind, union or no union.
Now. Obama and Pelosi just fucked with John Deere. This means war.
Posted by: comatus at March 25, 2010 11:54 AM (/VEEI)
If big businesses allowed themselves to be played (I'm looking at you, Big Pharma.), it was in an effort to forestall the inevitable. The whole point is to collapse the capitalist system.
Posted by: BigDaddy1964 at March 25, 2010 12:06 PM (pOcKt)
<hateful sarcasm/> off...
Posted by: Chainsaw Chimp at March 25, 2010 12:07 PM (pLTLS)
Posted by: Titus Quinctius Cincinnatus at March 25, 2010 12:30 PM (DrGKS)
The United States of America will be renamed "Chicago" Detroit.
And the Demunist Commiecrats who harp about "exportig jobs" need to be confronted with a simple question: Who exported the jobs? The answer is They did.
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/sarc (for the trolls)
Posted by: Jane D'oh at March 25, 2010 10:06 AM (UOM48)