Month: October 2018

Why didn’t GE use the $45bn in buybacks to take care of the $31bn negative equity?

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After GE’s monster $22bn goodwill impairment charge, the company remains in negative equity to the tune of $31.3bn. $79.2bn in goodwill remains on the balance sheet with $31.5bn in shareholders equity and $16.4bn in non-controlling interests. To think GE spent $45bn on buy backs over 2015 & 2016. Imagine if the company had used those funds to shore up the balance sheet and go back to positive equity?

While the kitchen sinking of GE Power should be deemed a positive (although somewhat expected) it is interesting to see the reaction to the shares (-9%) which flirted with April 2009 lows. Cutting the 1 cent dividend from 12 cents in the grand scheme of things was optics.

Although the goodwill charge is a non cash item on the balance sheet, she is clearly not in a position to deal with the rest of the goodwill just yet.

The brand new CEO has done the right thing to restructure the former largest company in the world but he has drawn attention to the most gangrenous wound that needs to be cauterized.

It is still a rough ride from here for an industrial stock at the top of the megacycle to have such a dreadful balance sheet.

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Umbrellagate – operating the mainstream media’s button flawlessly instead

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The mainstream media just doesn’t get it. Despite record low trust in the media, this umbrella incident just proves their derangement syndrome is beyond chronic. Is this really an issue?

The Sydney Morning Herald wrote a puff piece this morning reporting how worried Republicans were becoming as they were being outspent by the Democrats heading into the midterms.

They needn’t worry at all. All that paid for Dem ad dollar undone by the mainstream media who will dedicate Trump 24-hr global free airtime over his inability to find the button to close an umbrella! He certainly found the media’s button to lose their senses. One wonders if it is deliberate just to gather free media coverage?

Is it any surprise the early voting stats according to NBC look like this so far?

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As written last week, with all of the upsets in global politics, why would anyone put value in the decades of consensus thinking that midterms tend to fall to the opposition party? CM still thinks Trump wins both houses.

This Brazilian won by more than a whisker

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Known as the Brazilan Trump, Jair Bolsonaro is set to become the next Brazilian president with a 10mn vote lead. Bolsonaro has been criticized for making denigrating remarks about women, gays and blacks. Despite this, more Brazilians seemingly prefer to break away from decades of establishment corruption.

There in lies the argument. How bad does an opposition have to be to lose to a person who says these unnecessary things? Once again pocket books, jobs, feeding families and dumping crooked self serving incumbents supersedes several incidences of off coloured and unnecessary remarks.

Exactly the same issues Americans faced in the 2016 US election which the mainstream media ignored. Those living in hardship didn’t buy rosy government stats saying how great things were. They weren’t living them. Record levels on food stamps and working multiple jobs wasn’t their idea of the American dream.

Isn’t this also telling from the Brazilian President-elect?

Bolsonaro said, “The people saw the truth, despite the media. A big part of the media put me on a shaming position…Thank you all for your prayers and confidence. Lets together change Brazil’s destiny. We knew where Brazil was headed and now we know where we want to go…We couldn’t continue to flirt with communism and socialism…All pledges will be fulfilled, the  mission of rescuing Brazil will be accomplished.”

Whether he achieves this or not is besides the point. Clearly more Brazilians have had enough of the incompetence to date and are willing to give a left (right?)-field leader a chance to revive their fortunes. A Molotov cocktail to blow up the system.

In recent years Brazil’s currency has fallen 40% in value vs US$ and the GDP growth rate has averaged 0.58% from 1996 until 2018. In the last quarter reported, it was 0.2% with the previous quarter revised down 0.1% in part due to nationwide trucker strikes. 

Switch to the media in the US which thinks Trump’s umbrella event is newsworthy. They just don’t get that he gets even more press coverage this way. It has the opposite effect and only lifts the likelihood of more Americans tuning out of this Trump Derangement Syndrome and voting for him not against. Keep up the good work!

The power of last place at Invictus

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Here is a picture of Dutch Invictus athlete, Alina Zoet. She was in the Women’s Heavy Weightlifting today. She finished stone cold last. However she got the biggest cheers and dragged out what is so important at Invictus. She had to bench press 50kg.  She failed first go. When she failed the second time she burst into tears as a failure. Distraught wasn’t even close to capturing her emotions. The packed crowd applauded her none-the-less. She was giving her best

Third attempt. Bundle of nerves. Crowd going absolutely bonkers in support.  Then silence as she prepared her last attempt. The bar comes down.  Her left side was letting her down again. The crowd goes completely apeshit as she battled with the bar. Two whites and one red light. Alina has done it! While the Aussie lifters cleared the podium for medals everyone in that hall knew the biggest winner had been the last place. But a personal best and tears of being unconquered. An emotional moment.

We got to congratulate her afterwards and she was overwhelmed with tears of joy. It was powerful.

As a general observation just wandering around the games, the sheer number of prosthetic limbs boggles the mind. Yet those who have them aren’t moaning about all the garbage that clogs our social media feeds on how hard we think we have it. We’ve got it easy.

Deepest respect for those who serve.

Trump mid term victory more probable than not

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Actions not words. Forget all of one’s personal opinions (hatred) of Trump and analyze the facts.  This is a picture of Obama trying to rally Democrats in Nevada this week. Despite the small audience, Obama mentioned himself 92 times in 38 minutes as opposed to talking up the candidate he was there to support. Sounded like a desperate attempt to save his own legacy. The following pictures are of Trump’s rally for Ted Cruz in Houston, Texas.

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Conventional wisdom tells us that the party in opposition tends to get the House in the mid terms. Politics is in such a funk, why would we for one second believe that consensus should be the default in November 2018? How did that work out on 2016?

Ahh yes, but the Democrats have learned from treating the prior election as a coronation for Hillary Clinton. They’ll be out in droves. No doubt they will but after the Kavanaugh debacle in the Senate and over 10,000 strong Honduran caravan surging to the US southern border (the Dems have been eerily quiet over this) it only plays to Trump’s domestic agenda. What many overlook is that ICE records indicate there are  474,000 illegal immigrants still in the queue for processing. Four hundred and seventy four thousand. Think of the costs to process that.

So to the polls? They were wildly inaccurate at the 2016 election. Largely because they are telephone polls to 1,000 people with landlines. Hardly an accurate assessment. Only old folk have landlines now don’t they?

A MSN (left leaning) online poll conducted last month showed 76% of 73,000 would lean Republican in the mid terms. How valuable are polls? Let’s be honest, a Fox poll leaning to conservatives and and a CNN poll swaying to liberals Shouldnt shock anyone. It is the anomaly that should cause us to question a mood as this MSN poll did. Are 73,000 people representative of the 250mn eligible to vote? More than 1,000 would be that is for sure.

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Once again, forget personal dislikes for Trump. If a p*ssy grabbing, racist, xenophobic, bigoted, nationalist silver back Nazi orange buffoon as he is often referred to as can get this many people to a gathering imagine if he had none of the baggage? Potentially less people because there is not as much shock value.

CM has said for ages that the mainstream media is his best ally. The constant one-eyed bias against him only gives more air time. He is a showman. The White House has become  a reality TV program. All the MSM does is feed his exposure. Sadly ratings reflect that he is winning. The media can only tell the public that Trump is the antithesis of the establishment so many times before it wears thin and people tune out.

Then again perhaps it is more telling that the average American doesn’t look to him as a spiritual leader. Or put that another way, the mid terms will be a measure of how successful he has been to date (even if blasted Russian bots meddling in the voting machines are behind it).

If he has genuinely helped put Americans on a better financial footing in their minds that is all that matters to them. Call Stormy ‘Horseface’, slag off Blasey-Ford for her amnesia and bash CNN at a rally for “fake news”. None of it matters. It appears Americans are less likely to be intimidated by thuggery (chasing Republicans out of restaurants or shooting them) of the left than to join their ranks as the #WalkAway campaign has demonstrated.

Trump is the most left field curve ball President in US history.  So unconventional in his diplomacy. He has shown that pushing back can get results. Whether smashing NATO members for failing to execute on  their own self imposed military spending targets, stopping Rocketman testing nukes or getting Juncker to sign an FTA a week after he stumbled blind drunk at a NATO summit there is some method to the madness.

In two weeks time we’ll get a result which will reflect the mood of America. The observation of CM is that the Dems are playing all the same party tricks as the 2016 election albeit at 11.

CM may be well off the reservation on this but those same vibes from Nov 2015 suggest Trump may well upset decades of history. Fake views? Allie Stuckey did a rather amusing parody of the Democrats here.

We’ll know soon enough.

The #IAmSoldierX mutiny

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In the last two weeks the #IAMSOLDIERX campaign against terrorism has caught on like a firestorm in the UK. Numerous squaddies have been placed under investigation by the MoD for taking a selfie with Tommy Robinson who just happened to be in the same highway service area. One has been discharged.

Now serving soldiers and veterans are posting 1,000s of their own pictures with the above hashtag to protest the MoD’s bending to political correctness. Around 200,000 have signed a petition on http://www.StandWithOurLads.com to show the MoD they are against limp wristed folding to complaints made by minority groups who just happen to abhor Robinson.

Putting any personal bias against Robinson to one side, we should ask ourselves why he has two best selling books (which point to a two tier police state) on Amazon UK? He is no saint and admits as much. Yet he questions the double standards. They are pretty blatant.

Ask why a bunch of squaddies wanted a selfie with him? Do we presume that the couple of dozen 17yos in the picture who joined the army to defend their country are alt-right by wanting a picture with a celebrity with a bad boy image? We’d be hard pressed to find any 17yo turn down an opportunity to get a selfie with the famous. A selfie with a David Beckham? He was red carded in a World Cup. Bad role model.

What if it was Sid Vicious of the Sex Pistols? Would that infer squaddies were anarchists? Would they discharge troops for taking a selfie with Katie Price (aka Jordan) because a bunch of feminists complained that wanting a snap with a buxom former Page 3 girl was irrefutable grounds of inappropriate exploitation of women? Where do they draw a line?

How many times did we see UK armed forces appear on Top Gear? Jeremy Clarkson has said some pretty outrageous politically incorrect things in his time, even one which poked fun at terrorists. No repercussions…or is it Top Gear’s audience reach makes for such a great recruiting tool? The soldiers he promoted on the show loved the way he pushed their service.

Could it be the armed forces respect Robinson’s bravery (prison terms, death threats in/outside jail and kangaroo court trials) to call out gross injustices (e.g. grooming gangs) and government cover ups which turned a blind eye to 11-12yo girls being raped because they feared being thought of as racist?

CM read the entire 200 page Rotherham investigation. You can read the summarized  horror here. Robinson is not wrong in his fight over grooming gangs even if one questions his methods or dislikes his brutal delivery.

The BBC recently took up the exact same story which Robinson had spoken of for over a decade. He was pilloried for all that time as a far right wing racist for pointing out this black mark on the judiciary and constabulary. Only now does the mainstream media declare it safe ground after the event to report on it.

What of the 1000s of girls who have been permanently psychologically damaged because of political correctness? Are these girls a worthy sacrifice in defence of diversity? Labour MP Naz Shah tweeted that “these abused girls in Rotherham and elsewhere should shut their mouths. For the good of diversity.”

The Rotherham Inquiry showed evidence that the police deemed many of these underage girls unworthy of protection. The councils had known about it for decades yet chose silence for the sake of inclusion. It is all documented. It should make your blood boil. Arresting fathers for trespassing while trying to rescue their daughters from rape dens. It is absurd.

The majority of the grooming gangs in the UK have been Pakistani Muslim men. It is a fact.

Does it mean all Pakistani Muslims should be held under suspicion of being associated? Not at all. One could argue that the very political correctness which tries to protect them from being tied to such abhorrent behaviour makes it worse. The authorities would be far better placed to work with the affected communities to publicly out the perpetrators and show a united front that such behaviour won’t be tolerated under any circumstances.

Winning hearts and minds comes from collective purpose, not smoke and mirrors. Otherwise it becomes easy (rightly or wrongly) for people to jump to conclusions that sweeping it under the carpet is less hassle for law makers. Which is what is happening.

Others grooming gangs have been of Eastern European extraction. There have been white child sex traffickers too. It doesn’t matter who have perpetrated these acts – they should equally be dealt with under the law of the land. These squaddies would likely hold all of them with the same contempt. It is more than likely Robinson’s beliefs resonate against the soft approach to dealing with serious widespread problems. Failure to do so will lead to vigilantism which we saw with the Guardian Angels in New York in the 1980s.

There is a vigilante group in the UK operating since 2016 called Guardians of The North which lures online sexual predators and films them when making their scheduled encounter to engage in underage sex. 205 captured. 101 convictions. The videos are compelling. The excuses and denials are telling. We should applaud their dedication.

Why do they feel the need to operate? They claim the police are under budget and stretched so see a need to fill the void.

CM is not a vet and never served but the clear message from every person met that is or has been ‘behind the wire’ are all about the defence of freedom, be it speech, culture, religion or anything else. As long as laws are dispensed equally without fear or favour they’re content. If they see gross double standards or rigged application of justice they feel it betrays every reason they joined.

To have some young cadets face possible discharge for being in a photo is hardly a crime. Did the MoD teach these kids who they could and couldn’t take selfies with? There are rules and regulations over what is acceptable behaviour in the military. The photo doesn’t display them making Nazi salutes, holding offensive banners or anything remotely pushing hatred against any minority. .

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Does the MoD truly understand the morale of troops and veterans alike? There were 8 UK veteran suicides last week alone. There have been 42 this year alone in the UK. These Soldiers have also been posting pictures of the squalid conditions they live in, ones which prisoners would get immediate rectification were it discovered their basic amenities were in such disrepair. Many soldiers say morale in the UK forces is next to mix existent. This won’t help.

The whole saga is so sad. Who would have thought a bunch of squaddies would be slaughtered by selfie? Is this the way we treat our brave military souls? They deserve much better. The victims of sexual slavery deserve to have their story told to point out why diversity isn’t always as wonderful as the activists/apparatchiks would have us believe.

This movement seems to have momentum. How will the state react when so many that serve their country have had enough!?

Veterans running for Congress in 2018

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Army Times reports that 172 veterans are running for Congress in 2018. 104 of the 160 men are representing  the GOP. 9 of the 12 women are representing the Democrats. One male is running as an independent in CA

So 65% of the veteran men are representing the GOP. 75% of the veteran women are representing the Democrats.

Their military service spans from the 1950s to Afghanistan/Iraq and includes time spent in the active-duty ranks, reserves as well as the Coast Guard.