And The Bullying Begins

Discussion in 'Healthcare/Insurance/Govt Healthcare' started by boedicca, Mar 28, 2010.

  1. boedicca
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    boedicca Uppity Water Nymph Supporting Member

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    Companies which are legally required to provide GAAP compliant financial statements to the SEC are now being order by Henry Waxman to justify their accounting of how ObamaCare will affect them.

    Waxman doesn't like it - and he's going to harangue them into submission, if he can.

    Rep. Henry Waxman, chairman of the House Committee on Energy and Commerce, has summoned some of the nation's top executives to Capitol Hill to defend their assessment that the new national health care reform law will cost their companies hundreds of millions of dollars in health insurance expenses. Waxman is also demanding that the executives give lawmakers internal company documents related to health care finances -- a move one committee Republicans describes as "an attempt to intimidate and silence opponents of the Democrats' flawed health care reform legislation."

    On Thursday and Friday, the companies -- so far, they include AT&T, Verizon, Caterpillar, Deere, Valero Energy, AK Steel and 3M -- said a tax provision in the new health care law will make it far more expensive to provide prescription drug coverage to their retired employees. Now, both retirees and current employees of those companies are wondering whether the new law could mean reduced or canceled benefits for them in the future.

    The news is an embarrassment for Democrats. As President Obama and congressional leaders tout the purported benefits of the new health care law, some of the nation's biggest companies are saying it will mean higher costs and fewer benefits -- not exactly what Democrats want to hear in the days after their historic victory.

    So Waxman has ordered the executives to explain themselves at an April 21 hearing before the Energy and Commerce Committee's investigative subcommittee. That subcommittee just happens to be chaired by Rep. Bart Stupak, the Michigan Democrat who held out his vote on health care reform until a few hours before final passage on March 21, giving the bill's opponents the unfounded hope that he might vote against it.

    Waxman's demands came Friday in letters to several executives. "After the president signed the health care reform bill into law, your company announced that provisions in the law could adversely affect your ability to provide health insurance," Waxman wrote to Randall Stephenson, chairman and CEO of AT&T. A few hours before Waxman sent his letter, AT&T announced it will take a $1 billion charge against earnings because of the tax provision in the new health bill. AT&T also said it will be "evaluating prospective changes" to its health care benefits for all workers.

    Waxman's letter suggests he does not accept the company's decision. "The new law is designed to expand coverage and bring down costs, so your assertions are a matter of concern," Waxman wrote to Stephenson, in addition to letters to Verizon CEO Ivan Seidenberg, Caterpillar CEO James Owens, and Deere & Company CEO Samuel Allen. The companies' decisions, Waxman wrote, "appear to conflict with independent analyses."...


    Democrats threaten companies hit hard by health care bill | Washington Examiner
     
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  2. Zander
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    Zander Platinum Member

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    Nothing like shooting the messenger! The Democrats were hoping that ObamaCare would be like boiling a frog - by the time you realized the water was getting hot - it would be too late to repeal. Fortunately, this legislation is so bad, so full of jerry-rigged bullshit and kickbacks, so ill conceived and poorly designed, that the bad news is already rolling in......I will be very interested to hear the court's take on the mandate to purchase insurance.
     
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  3. Luissa
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    Luissa Annoying Customer Supporting Member

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    So you think providing proof is a bad thing?
     
    Last edited: Mar 28, 2010
  4. California Girl
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    California Girl BANNED

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    Where is truthmatters to provide us with facts?
     
  5. boedicca
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    boedicca Uppity Water Nymph Supporting Member

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    The companies are required to provide audited financial statements to the SEC. We already have regulations and agencies in place to handle this. If there is a problem, the SEC and the IRS have jurisdiction.

    The only reasons for this issue to come before Congress is to engage in a political witch hunt, grand standing, and making an example of these companies in order to intimidate others.

    I don't believe Waxman is a Certified Public Accountant nor qualified to perform an audit. If you have evidence to the contrary, please provide it.
     
  6. boedicca
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    boedicca Uppity Water Nymph Supporting Member

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    :clap2::clap2::clap2::clap2::clap2::clap2::clap2:
     
  7. Skull Pilot
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    Skull Pilot Platinum Member

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    Kind of reminds me of the fucking government locking the CEOs of the top 9 banks in a room and telling them that they will take government money whether they want to or not.
     
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  8. boedicca
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    boedicca Uppity Water Nymph Supporting Member

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    Indeed. Abuse of Power by whomever holds it is Abuse of Power.
     
  9. Zander
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    Zander Platinum Member

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    The proof is in the accounting Luissa. Accounting rules require that corporations immediately restate their earnings to reflect the "present value" of their long-term health liabilities, including higher tax burden. Should AT&T lie to the SEC so that the Democrats can live in fantasy world a bit longer?? Would that make you feel better? Democrats don't like what their bill is doing in the real world, so they now want to intimidate CEO's into keeping quiet.

    It is not just AT&T either - Deere & Co., $150 million; Caterpillar, $100 million; AK Steel, $31 million; 3M, $90 million; and Valero Energy, up to $20 million. Verizon has also warned its employees about its new higher health-care costs, and there will be many more in the coming days and weeks. Do you think all of these corporations are just making this shit up?
     
    Last edited: Mar 28, 2010
  10. boedicca
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    boedicca Uppity Water Nymph Supporting Member

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    And Medtronics has said it will need to lay off 1,000 employees (less innovations in pace makers, insulin pumps etc.). Oh Goody.
     

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