Seeking Alpha

kmi

kmi
Send Message
View as an RSS Feed
View kmi's Comments BY TICKER:
Latest  |  Highest rated
  • In a letter leaked to newspapers, Caterpillar (CAT) CEO Doug Oberhelman presses Illinois Gov. Pat Quinn to roll back recent corporate tax hikes. "I want to stay here," writes Oberhelman of the company's home state, but "I have to do what's right for Caterpillar," implying the company may shift jobs or its HQ elsewhere.
     [View news story]
    Yup, middle class pays taxes. Just don't tell me I have to pay more when GE is paying less, thanks!
    Mar 27, 2011. 09:40 PM | 3 Likes Like |Link to Comment
  • We may see peak oil by the end of the decade, but it won't be from a lack of ground oil, Suncor (SU) CEO Rick George - who believes "this peak oil theory" is "more politically driven than it is physically driven" - says. George, naturally, is bullish on the long-term prospects of oil.  [View news story]
    peak demand will precede peak oil...

    it's all about how much it costs versus how much value you get out of it...

    of course when either even happens we'll know some 10 years after the fact....
    Mar 27, 2011. 09:39 PM | Likes Like |Link to Comment
  • In a letter leaked to newspapers, Caterpillar (CAT) CEO Doug Oberhelman presses Illinois Gov. Pat Quinn to roll back recent corporate tax hikes. "I want to stay here," writes Oberhelman of the company's home state, but "I have to do what's right for Caterpillar," implying the company may shift jobs or its HQ elsewhere.
     [View news story]
    money.msn.com/top-stoc...=

    GE corp tax bill = zero.
    Mar 27, 2011. 09:07 PM | 1 Like Like |Link to Comment
  • Google's (GOOG) incoming CEO has been mum about his management plans, but sources say Larry Page wants Google to operate more like it did as a 200-person company than it does now as a 24,000-employee behemoth. Page aims to roll back red tape, quicken decision making, and make company execs more accessible to workers.  [View news story]
    Sounds like every new little project needs to be íntegrated into the behemoth and this is causing headwinds...

    Although I'm willing to bet there's some graft up in there like Junker implied...
    Mar 27, 2011. 07:46 PM | Likes Like |Link to Comment
  • Ford (F) will shut a Belgian plant for five days from April 4 in order to conserve supplies of Japanese parts that could run low following the earthquake. The company has also canceled overtime at three plants in the U.S. and one in Thailand.  [View news story]
    Friends take notice:

    This is an example of a major bug in the globalization of industry....

    Or perhaps it is a 'feature'.

    A major geopolitical or environmental situation can crimp global production for manufacturers... or allow them not to expose 100% of their assets to a given situation...
    Mar 27, 2011. 07:42 PM | 1 Like Like |Link to Comment
  • Research In Motion (RIMM) buys start-up tinyHippos, the creator of Ripple, a cross-platform mobile application development and testing tool. Terms of the deal weren't disclosed. RIM is undoubtedly trying to leverage its growth in the tablet market, but given some of the PlayBook's flaws, this seems like a tiny step indeed. (also)  [View news story]
    The hate wow...

    Few things:

    Playbook will be able to run Android apps. Sandboxed, via a process less complicated than jailbreaking your iOS or Android device, which is what you need to do to get access to the better apps/functionality of those devices.

    3G is a non issue, I can't believe people are dying to buy another data plan, iPhone's new software, and most Android and WM users can already use their phones as a hotspot, and you can run net through your Blackberry on Playbook. No additional sub required.

    Playbook mail app as an issue? Really? Who pulls out a device larger than a phone to reply to their email? I don't get it... certainly it is nice to have, but as an issue?

    Here's what I think.

    Apple controls the consumer side of the tablet market, and won't lose it, not anytime soon. RIMM never cared or was interested in it, Google and MSFT are going after that segment. RIM has already shown off its enterprise apps, which are stellar. They aren't for browisng the net - which the Playbook does well, they aren't for watching TV on the Playbook - but it still performs beautifully with Flash. And its hedging its bets for the future. How?

    Let me explain since no one else will...

    Smartphone/tablet and even desktop OS are experiencing convergence... Basically, Android and iOS and HP's WebOS are coming to desktop like devices. And may eventually become de facto standard on them. Microsoft sees this coming, so Windows 8 is being adapted to ARM architecture and Intel is hauling ass to make x86 as efficient as ARM. The hardware and software are both converging.

    Meanwhile, there's half a dozen companies creating virtualization environments for the various OS's to allow effective sandboxing of apps. Adobe's strategy is to allow developers to develop once, and run on everything. Alien Dalvik is bringing Android apps to non-andorid devices.

    The short of it all is what? Convergence on the horizon, where the OS becomes irrelevant. This is what Apple absolutely does not want to happen. Apple's entire business model is premised on controlling its environment, creating an ecosystem,,and locking out everyone. Google, WebOS, WM, and now Blackberry are moving in another direction.

    The future - 1-2 years out - is a world where the OS means nothing. And RIM sees it coming, and they bought Ripple.

    I think RIMM may see some more downward pressure since really it has nothing compelling in the handset sphere for months out. This quarter will suck. But 32% revenue growth y/y, and now we have Playbook (revenue generator RIMM explicitly called additive) coming out and Nokia switching to WM = opportunity for RIMM to expand in Nokia's Asia/SE Asia strongholds (where Apple growth is beginning but RIM/Nokia are the big pl;ayers).

    Where's my money?

    Apple isn't going away but growth is slowing, with Android overtaking it recently, but Google hasn't really monetized Android all that much yet, Nokia is transitioning, MSFT is going tot ake a while to grow, and RIm is a couple years out, I think the virutalization guys are where the money is right now.
    Mar 27, 2011. 10:14 AM | 4 Likes Like |Link to Comment
  • More than the earthquake in Japan or events in MENA, it's the EU debt crisis that could cause a serious market hiccup, says Matt Mutti of Raymond James. Pay attention to CDS pricing, not bond yields - if Spain and/or Italy move up into the Portugal zone, tossing another €100B at the problem will solve nothing.  [View news story]
    Behind the scenes the legislation is being passed to deal with defaults.

    The ship is sailing.

    They just need to extend things until all the backroom deals are done. I am starting to suspect orderly defaults will eventually surface.

    Will result in some volatility but nothing bigger than 9.0 earthquake could cause I'd guess...
    Mar 25, 2011. 08:56 PM | Likes Like |Link to Comment
  • Initial Jobless Claims: -5K to 382K vs. consensus of 385K. Continuing claims -2K to 3,721,000.  [View news story]
    As I said, the top percentage pays a smaller percent of their actual INCOME in taxes, where the middle class pays a higher percentage of what they earn. The poor who don't pay won't pay more whether you increase taxes or not. You are merely reciting a talking point without putting any thought into it.

    The point I am making is, that the middle class pays more of their income, and food/energy/essentials makes up a significantly larger proportion of their income than for the top percentages.

    Suggesting it is appropriate to further burden the middle class when you can negligibly increase real rates on the upper percentiles of earners is precisely the decimation of the middle class I am discussing.

    Since consumption is 70% of US GDP, decimating the consumption class is also destructive to the economy. It simply doesn't make sense.

    And just to make a counterpoint to your other talking point that seems popular: this isn't Robin Hood economics, Robin Hood didn't build roads. I'm a big fan of capitalism. And capitalism is absolutely fundamentally premised on a pyramid economic structure - some folks will always be better off than others, and a large pool at the bottom of cheap available labor is also required.
    Mar 25, 2011. 04:30 PM | 1 Like Like |Link to Comment
  • Initial Jobless Claims: -5K to 382K vs. consensus of 385K. Continuing claims -2K to 3,721,000.  [View news story]
    Blueokie: the pain and suffering of increasing rates slightly on the top 1% versus forcing the vast majority of tax paying middle class americans - who pay a significantly larger percentage of their income to taxes than the top 1% - is disproportionate. Raising taxes does not impact the non-tax-paying bottom rungs of the income spectrum (not to mention those are the folks who can barely afford to eat), so I won't bother to talk about them.

    The suggestion that a one percenter should be entitled a larger yacht, or a more vast mansion, versus raising quality of life for the middle class which forms the backbone of a country where 70% of gdp is consumption is wrongheaded and will lead to a deterioration both of the quality of life in the country and of the middle class's ability to continue consuming. It's also part of an ideology that has been systematically decimating the middle class in the country for a very long time.

    Are you of the mind that crimping a Blankfein's double digit million income by 1% will significantly deteriorate his lifestyle?

    Certainly the argument that gov't spending must go down is a valid one (hat tip to Republican Rob Astorino, Westchester County executive, and Democrat Governor Cuomo in NY), but before people start throwing around that taxes must go up, on the middle class, or that retirement age needs to be raised - which impacts the middle class more than 1 percenters - I'll make the argument all day that we should look at the real tax rates paid by 1 percenters and do what Reagan did.
    Mar 25, 2011. 08:47 AM | 2 Likes Like |Link to Comment
  • Research In Motion (RIMM) hits targets for EPS and shipments, but downward Q1 guidance crushes shares AH. In an unusual move, RIMM also offers full-year guidance, and those numbers look good - and that could be the problem, since investors may not believe RIMM can hit its lofty full-year projections in light of its weak Q1 forecast. RIMM -10.8 AH. (live analysis)  [View news story]
    RIMM is Canadian...
    Mar 24, 2011. 09:05 PM | 2 Likes Like |Link to Comment
  • More people 55 and up are staying in the labor force, and participation rates for older workers are the only ones rising in recent years. But while the CBO provides a laundry list of reasons - improved health, fewer jobs requiring physical strength, etc. - it ignores the most important: They can't afford to retire. For Barry Ritholtz, it's proof of the "tremendous disconnect" between Main Street and D.C.  [View news story]
    The 1800s part was the root at this comment branch up up above in bbro and my reply comments, which you replied to;

    My argument was mostly against the concept that increasing the retirement age is the solution to the woes plaguing the nation, not about whether as a nation we are fiscally responsible.

    My understanding of your comment was that you were suggesting the failures of the nation were a result of fiscal irresponsibility, and I meant to suggest that fiscal irresponsibility was not a new development, suddenly showing up in the recent past, when all the talk of raising the retirement age was initiated...
    Mar 24, 2011. 06:54 PM | Likes Like |Link to Comment
  • More people 55 and up are staying in the labor force, and participation rates for older workers are the only ones rising in recent years. But while the CBO provides a laundry list of reasons - improved health, fewer jobs requiring physical strength, etc. - it ignores the most important: They can't afford to retire. For Barry Ritholtz, it's proof of the "tremendous disconnect" between Main Street and D.C.  [View news story]
    I found a linked article in the... linked article very enlightening:

    "U.S. employees old enough to retire are outnumbering their teenage counterparts for the first time since at least 1948 when Harry Truman was president."

    www.bloomberg.com/insi...

    Interesting. I further found the charts here:

    www.blah3.com/article....

    also linked in the linked article, interesting, in consideration of the fact that retirement ready folks re-entered the workforce in large numbers during and since the recession.

    I don't know why its fashionable to claim the retirement age is the problem, when even on SA intelligent methods to resolve the underfunded SS issue have come up, but I'll shrug and take the unpopular side of the debate cause someone has to.
    Mar 24, 2011. 06:23 PM | 1 Like Like |Link to Comment
  • More people 55 and up are staying in the labor force, and participation rates for older workers are the only ones rising in recent years. But while the CBO provides a laundry list of reasons - improved health, fewer jobs requiring physical strength, etc. - it ignores the most important: They can't afford to retire. For Barry Ritholtz, it's proof of the "tremendous disconnect" between Main Street and D.C.  [View news story]
    Let me understand; 3 years ago retirement at 65 wasn't an issue, but today we have too many grasshoppers?

    FYI - I'm not near retirement, and I'm self-employed and likely will work well past whatever the official "retirement" age is, but are you sure you want to argue that "since people live longer, and they make less money [real incomes are down over the past whatever], they should work harder, and in fact they should work as hard as people did during the 1800s when there were no labor laws."
    Mar 24, 2011. 06:04 PM | 2 Likes Like |Link to Comment
  • Research In Motion (RIMM) hits targets for EPS and shipments, but downward Q1 guidance crushes shares AH. In an unusual move, RIMM also offers full-year guidance, and those numbers look good - and that could be the problem, since investors may not believe RIMM can hit its lofty full-year projections in light of its weak Q1 forecast. RIMM -10.8 AH. (live analysis)  [View news story]
    Weak Q1 guidance = nothing meaningful in pipeline till Playbook, they completely missed a quarter at a very critical point in the evol;ution of the smartphone industry, shares crushed because the quarter will bring the pain long term.
    Mar 24, 2011. 05:55 PM | 1 Like Like |Link to Comment
  • In a deal to be sealed shortly, NATO agrees to take over command and enforcement of the Libyan no fly zone from the U.S. The U.S. will have just limited participation in the so-called Operation Odyssey Dawn going forward.  [View news story]
    Turkey better get its head straight they have tens of thousands of nationals and lots of economic interests in Libya...
    Mar 24, 2011. 05:52 PM | Likes Like |Link to Comment
COMMENTS STATS
4,429 Comments
4,369 Likes