H/t: Teabonics
Daily Archives: November 19, 2012
Twinkie Gate: Republicans Admit Hostess Closing was About Killing Unions
Who knew? (sarcasm)
PoliticusUSA
While the right has been blaming unions for the closing of Hostess, Newt Gingrich and George Will admitted that they expect the company to return without union workers in a right to work state.
RADDATZ: Can we have — can we a very quick thoughts of Twinkies in your life? Just — not you, Jon Karl. You’re too young. You’re the youngest member of this roundtable. Did you like Twinkies growing up?
WILL: I liked Hostess cupcakes, but don’t despair. Someone’s going to buy — someone’s going to — the brand has value. Someone will buy it.
RADDATZ: It’s not the…
WILL: And they will go and manufacture it in a right-to-work state, where Hostess does not have to operate under 372 collective bargaining agreements.
RADDATZ: OK. OK. Quickly, just Twinkie memories.
BRAZILE: I remember when it was 25 cent a pack, when my grandmother — it was two for five cents. It’s $1.69. I would like the original Twinkie back.
RADDATZ: Twinkies…
KARL: But I just have to say very quickly, I mean, what about Wonder Bread? Wonder Bread’s going, too.
RADDATZ: Yeah, that’s…
KARL: And this is not just about Twinkies.
RADDATZ: You brought that with you, because you like it so much.
BECERRA: I’m a chocolate fiend. Hostess has a company in Sacramento where I was born and raised, saw it every — almost every day of the week.
RADDATZ: Five seconds?
GINGRICH: I’m with George. Twinkie will survive in a new corporate framework.
All of the blame of unions by Hostess and the right wing media is a bunch of malarkey designed to further the conservative agenda of destroying organized labor. The reality is that by closing the company, the investment bankers that run Hostess can suck even more profit out of an already twice bankrupted company. The door is open for someone to buy the company, and relocate it to a right to work state.
According to Fortune, this is how Hostess emerged from bankruptcy in 2009, “Hostess was able to exit bankruptcy in 2009 for three reasons. The first was Ripplewood’s equity infusion of $130 million in return for control of the company (it currently owns about two-thirds of the equity). The second reason: substantial concessions by the two big unions. Annual labor cost savings to the company were about $110 million; thousands of union members lost their jobs. The third reason: Lenders agreed to stay in the game rather than drive Hostess into liquidation and take whatever pieces were left. The key lenders were Silver Point and Monarch. Both are hedge funds that specialize in investing in distressed companies — whether you call them saviors or vultures depends on whether you’re getting fed or getting eaten.”
Hostess was a distressed company that was taken over by Bain style management that had one eye on closing the company the whole time. Hostess had already stopped contributing to employee pensions, was swimming in debt, and demanded that workers take an additional 27%-32% pay cut.
The vulture capitalists don’t care that 18,500 people just lost their jobs. Like Mitt Romney, to the job killers running Hostess profit is king. The Hostess brand will resurface. It is likely to come back in a Southern red state with a labor force earning a bit above minimum wage and no benefits. The Twinkie will be back, but those 18,500 decently paying jobs with benefits will never return.
Related articles
- Hostess, maker of Twinkies and Wonder Bread, says it will shut down (qz.com)
- Hostess Brands Liquidation: Twinkie Maker Seeks Court Permission To Liquidate (huffingtonpost.com)
- Relax everyone, Twinkies aren’t going away (martinicity.wordpress.com)
- Hostess Is Shutting Down, But Don’t Let the Right Fool You — The Twinkie Will Live On (blogs.dallasobserver.com)
- Who Killed the Twinkie? (newyorker.com)
- The Day The Twinkie Died (geekalabama.com)
- Union Strike Kills ‘Twinkie’ Maker Hostess; 18,500 To Lose Jobs (tammybruce.com)
- Mexican company may rescue Twinkies (nbclatino.com)
- Bye-Bye, Twinkies: Hostess Is Closing (aegisnewsagency.wordpress.com)
Filed under Twinkie-gate, Unions
10 things you need to know today: November 19, 2012
The Week
Obama makes a historic visit to Myanmar, the civilian toll rises in Gaza, and more in our roundup of the stories that are making news and driving opinion
Israeli soldiers prepare an artillery emplacement overlooking Gaza on Nov. 19.
1. OBAMA MAKES HISTORIC MYANMAR VISIT
On Monday, President Obama became the first sitting U.S. president to visit Myanmar, aiming to encourage the country, also known as Burma, to continue implementing democratic reforms and shake off the international isolation that came with decades of military rule. Obama met with both President Thein Sein, a former junta member who has presided over reforms since taking office in March 2011, and opposition leader Aung San Suu Kyi. Obama, who has sent the first U.S. ambassador in 22 years to Myanmar and eased sanctions, said he had come to “extend the hand of friendship,” adding that “the flickers of progress that we have seen must not be extinguished.” The visit comes as part of a three-day Southeast Asia trip aiming to demonstrate Obama’s commitment to the region in a bid to counter China’s rising influence. [New York Times]
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2. ISRAEL’S GAZA ASSAULT TAKES MOUNTING TOLL
Israel’s air strikes continued for a sixth day in the densely populated Gaza Strip on Monday, pushing the civilian toll to 91. After warning that it would step up strikes on the homes of suspected Hamas activists, Israel fired missiles on Sunday that destroyed a two-story house, killing 11 people, mostly women and children. Israel says its campaign is focused on hitting “terror sites” used by Islamist militants who have been firing rockets into Israel, and President Obama has backed Israel’s right to defend itself. United Nations Secretary General Ban Ki Moon is traveling to neighboring Egypt, which is trying to broker a peace between Israel and Hamas, which controls Gaza. [Washington Post]
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3. GLOBAL STOCKS LIFTED BY FISCAL CLIFF TALKS
Stock markets rebounded around the world early Monday thanks partly to apparent progress made in talks between President Obama and congressional leaders on avoiding the fiscal cliff. There was a global sell-off last week as investors became increasingly worried that gridlock in Washington would prevent Congress from reaching a deficit reduction deal that would avert $600 billion in spending cuts and tax hikes scheduled to hit on Jan. 1, potentially sending the U.S. economy back into recession. But the mood shifted after congressional leaders left a Friday meeting at the White House expressing confidence they could reach an agreement. [Reuters]
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4. PETRAEUS HIRES LAWYER
Former CIA director General David Petraeus has hired a high-powered Washington lawyer, Robert Barnett, to help him map out a future following the exposure of his career-ending extramarital affair with his biographer, Paula Broadwell. Barnett is best known for his work negotiating book deals for the nation’s biggest political stars, including President Obama and former GOP vice presidential candidate Sarah Palin. Politico reported that no Petraeus book is in the works, though. Petraeus, who testified Friday before congressional committees on the deadly Sept. 11 Benghazi attack, is under investigation by the CIA, the Justice Department, and Congress. [Reuters]
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5. ACTIVISTS PROTEST KEYSTONE PIPELINE
More than 3,000 people gathered in Washington, D.C., on Sunday to urge President Obama to reject the proposed Keystone XL tar sands pipeline. Mitt Romney had vowed to approve construction of the 1,700-mile pipeline, saying it would be a huge job creator, but Obama has dismissed pressure from Republicans to rush the matter, saying the administration needed to take sufficient time to assess the potential for environmental damage and other problems from the pipeline, which would extend from Alberta, Canada’s tar sands to refineries on the coast of the Gulf of Mexico. [CNN]
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6. SOLDIER FACES CHARGES FOR IRAQ RAMPAGE
A U.S. soldier will face charges Monday for a 2009 shooting spree in Baghdad that killed five fellow U.S. servicemen. The arraignment hearing is a step toward a trial that could result in the death penalty. Sgt. John Russell is accused of five counts of premeditated murder in a case that military leaders said may have been triggered by combat stress. Russell’s lawyer has said his client could face execution “because the Army’s mental health system failed him.” [Reuters]
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7. ROMNEY LATINO SURROGATE REJECTS “GIFTS” CLAIM
One of Mitt Romney’s top Latino campaign surrogates, Carlos Gutierrez, expressed outrage on Sunday over the former GOP presidential candidate’s assertion that minorities voted for President Obama because he gave them “gifts,” such as health-care reform and college-loan interest forgiveness. “I was shocked. And frankly I don’t think that’s why Republicans lost the election,” Gutierrez told CNN. “I think we lost the election because the far right of this party has taken the party to a place that it doesn’t belong.”
[Huffington Post]
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8. WALMART COUNTERS BLACK FRIDAY STRIKE
In a rare move, Walmart has filed a complaint with the National Labor Relations Board in a bid to stop a union-backed group from staging protests against the company on Black Friday, the launch of the holiday shopping season and the discount chain’s busiest day of the year. The group, known as OUR Walmart, is planning to demand better pay and benefits for Walmart workers by staging demonstrations online and outside hundreds of Walmart stores. [New York Times]
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9. FINAL TWILIGHT FILM RULES BOX OFFICE
The Twilight Saga: Breaking Dawn — Part 2 steamrolled the competition at the box office, grossing $141 million in its opening weekend. The fifth and final film in the wildly popular vampire franchise easily swept past Skyfall, which last week posted the best debut ever for a James Bond film. (Skyfall hauled in $41.5 million over the weekend). Breaking Dawn — Part 2 boasts the eighth highest-grossing opening ever, and the fourth highest of 2012, but it fell just short of New Moon‘s 2009 record ($143 million) for best Twilight opening weekend. [TV Guide]
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10. BIEBER RULES MUSIC AWARDS
Teen superstar Justin Bieber dominated Sunday night’s American Music Awards, winning favorite pop/rock artist and album awards as well as the ceremony’s top prize, artist of the year. The night’s most flashy performance came from Korean rapper PSY and MC Hammer, who teamed up to perform the South Korean pop star’s viral hit Gangnam Style. Still, the 18-year-old Bieber, who performed solo and with Nicki Minaj, came out the big winner. “I want to say this is for all the haters who thought I was just here for one or two years,” Bieber said. “I feel like I’m going to be here for a very long time.” [Associated Press]
Related articles
- Myanmar Welcomes Obama With Graffiti (abcnews.go.com)
- AP PHOTOS: Myanmar ready for historic Obama visit (miamiherald.com)
- CNN’s GUT CHECK for November 16, 2012 (politicalticker.blogs.cnn.com)
- FBI Suppressed Petraeus Scandal to Protect President (conservativebyte.com)
- Fox News Goes Full Metal Tin Foil Hat with Claim Obama Blackmailed Petraeus (kaystreet.wordpress.com)
Filed under U.S. Politics
Allen West falls further behind
Allen West truly deserves everything that has come his way since November 6, 2012…
West’s desperate attempts to retain his seat in Congress gets more hilarious by the day. It’s such a feel-good story to write about, knowing that this narcissistic former congressman will not keep his seat after all, no matter how many recounts he asks for.
Politico
Florida Rep. Allen West’s reelection prospects grew dimmer Sunday, as a recount of early ballots showed him falling further behind his Democratic opponent.
Democrat Patrick Murphy, a 29-year-old construction company executive, gained 242 votes after the St. Lucie County Supervisor of Elections completed its re-tabulation, increasing his lead to more than 2,100 votes over West, a tea party hero. Murphy’s lead is just outside the 0.5 percent margin that would trigger an automatic district-wide recount under Florida law.
West won a legal battle Friday when the office’s canvassing board decided to re-tally all early votes that had been cast. The Republican had argued that those votes had been accidentally double-counted on election night and provided a winning margin to Murphy.
But with Murphy’s margin growing after the recount, West’s legal options appeared to narrow. With St. Lucie County having a noon deadline Sunday for certifying its election results, Murphy’s campaign argued that the election was effectively over. Florida has a Tuesday deadline for certifying the results from all three counties that make up the 18th Congressional District.
“By state law, he is effectively the winner,” Eric Johnson, a senior Murphy advisor, said in an interview.
Tim Edson, West’s campaign manager, said the advisers would be spending the coming hours assessing the vote totals. He did not specify whether the congressman had any plans to concede. Advisers said it was unlikely any decision would come Sunday.
“We’re going to take a look at where things stand,” Edson said. “If we believe the results are fair and accurate, we’re going to decide how to move forward. That decision has not been made.”
The fresh results marked the latest chapter in an increasingly chaotic and drawn-out election, which has extended nearly two weeks past the Nov. 6 election.
Gertrude Walker, the St. Lucie elections supervisor, has acknowledged errors in counting ballots, saying there was an initial error in feeding memory cards from voting machines through the vote-counting system. At a press conference last week, Walker said her office had acted in “haste” to make public results on Nov. 6 and that “mistakes were made.” On Friday, at a canvassing board hearing, the office announced that it had found 304 early-cast ballots in a box that had previously been uncounted.
Related articles
- Judge denies Allen West recount request (politico.com)
- St. Lucie to resume recount on Sunday (wptv.com)
- St. Lucie County recount underway (wptv.com)
- Allen West Closer to Triggering Full Recount (breitbart.com)
- West campaign: Murphy trying to suppress votes in Fla. county (thehill.com)
- Judge denies Allen West’s recount request; focus now on 4 p.m. canvassing board meeting (postonpolitics.com)
- Good news for Allen West in St. Lucie County (legalinsurrection.com)
- Florida recount begins in Allen West district (tv.msnbc.com)
- West wins request for recount of some ballots (washingtontimes.com)
- Allen West Wins Round in Recount Battle (theroot.com)
Filed under U.S. Politics
