With the relationship between AT&T (and Time Warner) and the Trump administration on the rocks, as the DOJ is now suing to break up the merger which just happens to include Trump’s media nemesis CNN, it appears that AT&T is offering an olive branch to the president, as well as a little backdoor bribe to improve sentiment, and moments ago announced that once tax reform – i.e., Trump’s signature act to date – is signed into law, AT&T will not only invest an additional $1 billion in CapEx in the US in 2018, but also pay a “special bonus” of $1,000 to its more than 200,000 U.S. employees, “all union-represented, non-management and front-line managers.” And, to push Trump to sign the bill into law in the next hours instead of waiting for January, AT&T said that “if the President signs the bill before Christmas, employees will receive the bonus over the holidays.”
In a surprisingly polite address to the president, AT&T CEO Randall Stephenson said that “Congress, working closely with the President, took a monumental step to bring taxes paid by U.S. businesses in line with the rest of the industrialized world,”and added that “this tax reform will drive economic growth and create good-paying jobs. In fact, we will increase our U.S. investment and pay a special bonus to our U.S. employees.” AT&T was also quick to note that “since 2012, AT&T has invested more in the United States than any other public company. Every $1 billion in capital invested in the telecom industry creates about 7,000 jobs for American workers, research shows.”
The timing of the announcement is not surprising for another reason: earlier this week we reported that AT&T and Time Warner failed to settle acquisition talks with the DOJ. As a result, AT&T will be forced to challenge the DOJ verdict in court, a step it would much rather avoid since a court ruling is unlikely to come before May 2018. Notably, both the companies have resettled the closing date for the deal at Apr 20, 2018. A trial to decide the matter is set to begin on Mar 19, 2018 and run for about 15 days, according to the filing. AT&T’s growth in 2018 will largely depend on the court ruling on the Time Warner merger deal.
If the court ruling goes against AT&T, three options will be available: either scrapping the deal, divesting its DIRECTV division, or acquiring Time Warner without the Turner Broadcasting assets including CNN.
Now if only the DOJ will notice our kind gesture and nice words addressed at Trump and Congress, and please drop the merger lawsuit, all would be great.
#AdiosAmerica: Republicans (with Democrats) Are Selling Out America to Corporations to Decrease Living Standards
Since the turn of the 20th century, living standards became an important, almost central part to the progressive and labor movements of those times. Now it has become a mainstream of both parties to sell out your labor to lowest bidders in low and high paying jobs. Low paying jobs are being taken by low-wage immigrants protected by Democrats and the high-end jobs are brought in by bi-partisan means, and greatly boasted by Republicans.
This effort has crippled the middle-class for close to 30 years now and with the job market being already tightened by the looming threat of A.I., importing more workers, whether legal or illegal is decreasing the value of labor in America for each and American Citizen. Corporations and Businesses, who rely on keeping employee costs as low as possible generally don’t complain about these practices across the board, why would they?
Americans have an increasingly difficult task ahead of them with the mass illegal migration at the Southern Border but also the legal importation of immigrants through H1-b1 Visas. These challenges will increasingly change the look, heritage of this country. There is no incentive for either Government or Business to care about reigning in immigration to the benefit of the American worker, the bottom dollar line will look better anyways.
Soros Newest Investor Of Tesla Bonds
Tesla looks to have a new bond holder and it’s none other than George Soros. Whatever this mean, Soros has also taken a stake in Crypto-Currencies .
Zerohedge Reports: Amid Elon Musk’s darkest hour in late March – as his stocks and bonds tumbled in price – it seems there was at least one other billionaire willing to buy the ‘blood on the street’.
According to the latest 13Fs, George Soros’ investment firm took a $35 million stake in Tesla’s convertible bonds during the first three months of the year.
As a reminder, convertibles are hybrid securities, either bonds or preferred stock, that can be exchanged for a predetermined number of common shares. That effectively lets an investor participate in stock-price changes, but with the yield and greater security of a fixed-income instrument.
The March 2019 Converts bounced handsomely off those lows – tracking the stock’s divergent bounce – but in recent days has fallen back towards the lows, catching down to the straight bonds record low price.
“Racial Bias Education Day” To Close Down Starbucks Nationwide
Starbucks is going to the illogical extreme by taking an entire day to put their employees through what they call “Racial Bias Education Day”. Coming after a viral videos showed two men being arrested in a Starbucks in Philadelphia. Starbucks almost instantly gave into calls to do ‘something’ but will this really fix anything in a culture where ‘racism’ is more of a political talking point than an actual substantive conversation or debate.
CNBC Reports: Starbucks said Tuesday it will be closing all of its company-owned restaurants in the U.S. during the afternoon of May 29 to conduct a racial-bias education program.
“I’ve spent the last few days in Philadelphia with my leadership team listening to the community, learning what we did wrong and the steps we need to take to fix it,” Kevin Johnson, CEO of Starbucks, said in a statement Tuesday. “While this is not limited to Starbucks, we’re committed to being a part of the solution. Closing our stores for racial bias training is just one step in a journey that requires dedication from every level of our company and partnerships in our local communities.”