Skip to comments.Forty Four Companies That Could Get Crushed If The Government Cuts Spending
Posted on 09/22/2012 7:09:34 AM PDT by blam
44 Companies That Could Get Crushed If The Government Cuts Spending
Sep. 21, 2012, 4:16 PM
The threat of the "fiscal cliff" remains one of the most important events weighing on U.S. markets
To recap, if Congress does nothing before the end of the year, a series of tax cuts and spending programs will expire and combine to shrink GDP by up to 4 percent, according to Goldman Sachs analysts.
While we'd all suffer, some companies would get hit more than others.
The last time we had a major debate on government spending levels the debt ceiling talks of 2011 companies with heavy exposure to government significantly underperformed, Goldman says.
Earlier this year, Goldman put together the list of U.S. companies whose revenues rely most on the government.
We grabbed the 44 whose revenues are 50 percent or more taxpayer dependent.
Click here to see the companies.
(Excerpt) Read more at businessinsider.com ...
Live by government, die by government.
If they aren’t profitable without government money put them under.
The majority are health services... Something off there. Some generic sounding contractors and communications and waste management companies.
Except for the specialized military equipment manufacturers, I don’t see what makes these other companies special snowflakes.
“If they arent profitable without government money put them under.”
Yeah, who needs a main battle tank anyway?
Romney andd the GOP-E will figure out a way to keep them afloat. Engaging in corporate welfare isn’t just a democrat addiction.
Someone else who runs a efficient operation will pick up the slack.
Keynesianism still fails when the spending is defense spending.
I figured the weasel Jeffrey Immelt-For-Obama and GE would’ve been Number 1. They didn’t even make the list.
We could outsource to China.
“Keynesianism still fails when the spending is defense spending.”
No doubt, and military budgets are not sacred. I am OK with some levels of subsidy for wholly domestic production capacity of -necessary- military equipment however.
For centuries Rome and the successor state of Byzantium maintained entirely government owned military factories and horse breeding operations to ensure they never had -any- dependence on foreign or usurious civilian sources. A modernized version of that is not a bad idea.
Didn’t a considerable amount of Goldman Sachs employees CAUSE a lot of this nations problems in the first place?
Just as when the incompetent traitor, Jimmy Carter, was POTUS, the cuts that have to be made are in so-called green companies — in the case of the Kenyan, such front companies are losing billions that are unaccounted for, because they vanish as part of his money laundering operation. Thanks blam.
|3||Molina Healthcare Inc.||100|
|4||WellCare Health Plans Inc.||93|
|5||Huntington Ingalls Industries Inc.||99|
|6||Lockheed Martin Corp.||97|
|7||Granite Construction Inc.||95|
|8||Northrop Grumman Corp.||90|
|10||Universal American Corp.||90|
|18||FLIR Systems Inc.||78|
|19||Edwards Life Sciences||72|
|22||Tetra Tech Inc.||69|
|23||Becton Dickinson & Co.||68|
|24||Zimmer Holdings Inc.||68|
|26||St. Jude Medical Inc.||68|
|28||Boston Scientific Corp.||68|
|31||Magellan Health Services Inc.||65|
|35||AECOM Technology Corp.||62|
|38||HCA Holdings Inc.||53|
|43||Health Net Inc.||50|
Companies that made buggy wheels are gone, too.
Thanks for the list: My computer buffers and loads so slowly it would take me a hour to click onto each one of those companies at the site to review the list!
I HATE articles where you have to click multiple times to get the info, and it all lands in your browser history. Especially in a business publication, which should value user efficiency.
That’s the one I was wondering about too. Obviously they’re funded by local govt. I wasn’t aware that they get money from the federal govt too.
I dislike it too. Was not that much trouble to list if I had to page through it anyway.
They’re not going to cut anything.
They can always “reach across the aisle” to increase spending.
They’ll do it by temporary spending bills, from now until the crash, if they have to.
The 47% nobody wants to talk about.
so, Lockheed Martin, Northrup Grumman, every defense contractor in the country, put them under.
I guess you have lost your mind.
You dont bite the hands that feed you, unless you work it out in advance with a wink and a nod.
You are correct, sir!
Taking a built in 5% increase and reducing it to a 3% increase is a cut to these people!
Dittos on hating the multi-click pages. It’s a cheating way to gain more page hits and increase revenues. Most sites limit it to one or two extra clicks, but I ran across one today that took 7 pages for a smallish article — at a rate of one paragraph per page!
Meh!! Didn’t read the article, and will never return to that site.
I was informed fist thing this morning that I’m an idiot for suggesting that the tax on all manufacturing should be eliminated. Most people don’t have a clue how heavily taxed the local thingamajig factory really is. They only see corporate taxes and assume that cutting those will spur job creation. Unfortunately tax cuts at the top will be invested overseas and who could blame them.
Downsized, as in Los Angeles 1989 to 1992?
All the major aerospace companies were laying off in massive quantities.
Whole departments were eliminated, from the manager on down.
It was brutal and many people never were able to get back into the industry when it finally started to recover.
Entire shopping malls closed because the factory workers that shopped there were out of work.
That mall is still closed.
This time if it happens again, I don’t think folks will ever work in the field again, due to that “unemployed need not apply” meme.
I don’t owe them a job.
This article reminds me of Democrats who trot out one or two sob-stories helped by a government program, yet ignore the millions of other people “crushed” by government regulation, debt and taxes.
I’m much less worried about the 44 companies that would get “crushed” by government spending cuts than the hundreds of thousands of companies that would be buoyed upward by reduced government.
Excepting defense companies, of course.
Not me. Government produces nothing but waste. Somebody has to manage the effluvium.
Wow, I don't think I've ever been able to use the word "effluvium" in a sentence before. What a great way to start Saturday morning!
My union cousin works in a factory that has a contract with Boeing. The idiot takes time off work to protest our evil republican congressman who voted to keep those Boeing jobs away from union members.
“If they arent profitable without government money put them under.”
Do you realize just how ridiculous your statement is? Take a look at the list! Most of the companies are in the Healthcare business, the rest are military hardware contractors. Just how would you propose that these specialized businesses “diversify?”
This assumes the cuts are primarily defense. If the government cuts social programs, then is list should look at all the NGO’s, consultants and community organizations who will get hit. But that doesn’t scare Republicans so they produce this list. Business Insider is leftist. Don’t trust them.
Get rid of all their lazy overstafed union help!
I wanted to illustrate the collateral damage done by those layoffs...
people without jobs don’t buy anything or go on vacations...
thus the huge mall still empty and the travel industry nearby taking a hit, not to mention the restaurants....
Oh, and some defense factories are non-union and/or in right-to-work states.
I work and live in one of them.
I moved 1500 miles to avoid layoffs in the L.A. branch of the company, and am much happier in the other branch of the company where they make goods that are in fact NEEDED.
I’ve been in the industry for 34 years; I wanted to be career military but couldn’t qualify due to a severe hearing impairment, so I did the next best thing.... in the words of my mom I became a “Rosie the Riveter”
Is GM on the List??
The Government needs help in WASTING $$$$??
Maybe Waste Management can throw AWAY the TRASH in the White HUT...
I use a private waste management company.
Much of Waste Management industry is Mafia owned.
Whatever it takes we have to remove the trash from the White Hut in November for the survival of the nation.
I do at my house at the farm too. It is called a couple of 55 gal. barrels on stands. i.e. incinerator. And we have a huge burn pile site in our pasture for tree limbs and logs that we dispose of. Also have a compost pile for garden debris and leaves. Works pretty well.
Yeah I don’t make much in the way of trash. Kitchen scraps are compost and I burn my papers. I have my trash picked up every two weeks.