Wuerth While Wily Wakenings

US Big High Tech Corps: 4Q 2011 Earnings Up 17%, but it's all Apple (Part Two)

2012-02-10T07:22:00.000-08:00

There are twelve US Big Technology Corps which have Pretax Income above $1 bil in either the 4Q 2011 or the 4Q 2010.

Of these twelve, eight had December 2011 quarter ends, and four of them had either October or November 2011 quarter ends.

Below here are the 4Q 2011 Pretax Earnings of these 12 US Big Technology Corps, along with that earned in the prior year's 4Q.

..........................................4Q............4Q..........Increase
........................................2011.........2010......(Decrease)
.......................................PTI(L)......PTI(L).....Amount......%
........................................(in millions of dollars)......
Big 12 US High Tech
Ones With Dec 11 Quarters
Apple............................17,477.......7,963......9,514....119%
Microsoft........................8,239.......8,497........(258)....-3%
IBM................................7,274.......6,956..........318......5%
Intel...............................4,587.......4,163..........424.....10%
Google............................3,489.......3,142..........347.....11%
Qualcomm......................1,721.......1,470..........251.....17%
EMC................................1,048.........909..........139.....15%
Texas Instruments(1)........349.......1,104........(755)...-68%
Total all 8.....................44,184.....34,204......9,980.....29%

Ones With Oct & Nov 11 Quarters
Oracle............................2,960.......2,646.........314.....12%
Hewlett Packard(2).........2,310.......3,214.......(904)...-28%
Cisco Systems.................2,245.......2,425.......(180)....-7%
Dell................................1,072.......1,076...........(4).....0%
Total all 4.......................8,587.......9,361.......(774)....-8%

Grand Total all 12.........52,771.....43,565......9,206....21%

(1) Texas Instruments 2010 PTI excludes gains on asset sales.
(2) Hewlett Packard 2011 PTI excludes asset impairment charge, winding down Web OS device business charge, and acquisition foreign currency exchange risk charge.

And through Friday, February 10, 2012, there were 56 US Big Technology Corps which have Pretax Income or Pretax Loss above $100 mil but below $1 bil in either the 4Q 2011 or the 4Q 2010.

In addition, there are four other High Tech Corps, which met the $100 mil Pretax Income threshold in the 4Q 2010, but they aren't included below, since they haven't released their December 2011 quarterly earnings yet. These four are Priceline, First Solar, Garmin Ltd, and Verisk Analytics.

Of these 56 High Tech Corps, 43 of them had December 2011 quarter ends, and 13 of them had either October or November 2011 quarter ends.

Below here are the 4Q 2011 Pretax Earnings of these 56 US Big Technology Corps, along with that earned in the prior year's 4Q.

..........................................4Q............4Q..........Increase
........................................2011.........2010......(Decrease)
.......................................PTI(L)......PTI(L).....Amount......%
........................................(in millions of dollars)......
56 Rest of US Big High Tech
Ones With Dec 11 Quarters
Ebay(1).............................771..........587..........184......31%
Seagate Technology...........558..........175..........383....219%
Facebook(2)......................548..........437..........111......25%
AutomaticDataProc(3)......514..........485............29.......6%
Sandisk.............................419..........347............72......21%
CA Technologies...............404..........322............82......25%
Western Digital(4).............359..........239..........120......50%
Xerox(5)...........................340..........177..........163......92%
Cognizant Tech.................323..........249............74......30%
ThermoFisherSci..............307..........298..............9.......3%
Broadcom(6)....................276..........321...........(45)....-14%
Symantec.........................273..........177............96......54%
Amazon.com....................273..........506........(233)....-46%
Motorola Solutions...........267..........248............19.......8%
Yahoo..............................252..........228............24......11%
VMWare...........................209..........125............84......67%
CheckpointSftwre.............203..........170............33......19%
Harris Corp......................201..........222...........(21).....-9%
Roper Industries..............171..........148............23......16%
Altera..............................160..........264.........(104)....-39%
BMC Software...................158..........141............17......12%
Ingram Micro..................156..........158.............(2)......-1%
KLA Tencor.....................147..........251.........(104)....-41%
Cerner.............................140..........104............36......35%
Citrix Systems..................139..........116............23......20%
Teradata..........................133..........116............17......15%
Xilinx..............................130..........180..........(50)....-28%
Juniper Networks............122..........232.........(110)...-47%
Linear Technology..........119..........189..........(70)....-37%
MaximIntegrProd...........117..........148..........(31)....-21%
Flextronics.....................116..........178..........(62)....-35%
Unisys............................111..........103..............8........8%
FLIR Systems.................108..........102..............6........6%
CSC(7)............................107..........230........(123)....-53%
Amdocs..........................105...........84............21......25%
F5 Networks...................102...........82............20......24%
Microchip Tech................84..........114..........(30)....-26%
Lam Research..................40..........242.........(202)...-83%
Adv Micro Dev(8)............32..........107..........(75)....-70%
Vishay Intertech..............31..........114..........(83)....-73%
Freescale Semi...................5.........(128).........133.....104%
Groupon(9)......................(2)........(173).........171......99%
Electronic Arts.............(193)........(303).........110......36%
Total 43 Dec 11 Qtrs.....8,835........8,112.........723.......9%

Oct & Nov 11 Quarters
Accenture......................993..........845..........148......18%
Applied Materials...........344..........703........(359)....-51%
Agilent Technologies......293..........243............50......21%
Adobe Systems...............233..........286..........(53)....-19%
Analog Devices...............231..........288..........(57)....-20%
Paychex.........................219..........205............14........7%
Nvidia............................205..........104..........101......97%
Marvell Technology.......199..........257..........(58)....-23%
SAIC(10)........................186..........240..........(54)....-23%
NetApp..........................184..........202..........(18)......-9%
Jabil Circuit...................143..........135.............8.........6%
Intuit.............................(98)........(111)...........13.......12%
MicronTechnolgy(11)...(189).........131.........(320)..-244%
Total 13 Oct&Nov Qtrs.2,943......3,528.........(585)....-17%

Total all 56................11,778.....11,640..........138.......1%

Total Big 12...............52,771.....43,565......9,206.....21%

Grand Total all 68.....64,549.....55,205.......9,344.....17%

Grand Total 67
...without Apple.......47,072.....47,242........(170)......0%

(1) Ebay 2011 PTI excludes Gain on Sale of Skype.
(2) Facebook PTI in both years is Income from Operations.
(3) Automatic Data Processing 2011 PTI excludes Gain on Sale of Assets.
(4) Western Digital 2011 PTI excludes Thailand Flood Loss Charges.
(5) Xerox 2011 PTI excludes Pension Curtailment Gain.
(6) Broadcom 2010 PTI excludes Settlement Costs.
(7) CSC 2011 PTI excludes both National Health Service Contract Charges and Goodwill Impairment Charge.
(8) Advanced Micro Devices 2011 PTI excludes Investment in Global Foundries Impairment Charge. Its 2010 PTI excludes Legal Settlement Gain.
(9) Groupon 2010 PTI excludes Acquisition-related costs, primarily the Fair Value Remeasurement of Contingent Consideration related to its Acquisitions.
(10) SAIC 2011 PTI excludes City Time Loss Provision.
(11) Micron Technology 2010 PTI excludes both Samsung Patent Cross-license Agreement Gain and Loss on Debt Extinguishment.

Yeah, that's right, Apple's 4Q 2011 Pretax Earnings increase of $9,514 mil, made up more than 100% of the $9,344 mil total 4Q 2011 earnings increase for all 68 of these US High Tech Corps. And in Fiscal Year Ended September 2011, 70% of Apple's earnings were generated overseas, mostly in China.

It's pretty clear that the US Congressional Republicans are holding back the US recovery, and especially holding back the US High Technology and US Broad-Based Manufacturing Sectors.

The 100% first-year tax expensing of equipment purchases, which really helped real US GDP growth and propelled earnings growth in these two critical US sectors in the past five quarters, went away at the end of 2011 and needs to be reinstated, and even expanded to include more property and more computer software costs.

But to play fair and maximize US job creation, there should be a minimum full-time US jobs added requirement in order for the very largest US Corps to be eligible to earn this highly-charged tax incentive. If not, there will be many huge US Corps that will get this massive tax benefit, but at the same time, they will be laying off workers. That's not right.....not even close to being right.

And there also clearly needs to be some more explosive R&D investment tax incentives.

And there also should be some highly incentivized green energy tax credit incentives, for both renewables and green building retrofits.

And there also needs to be very lucrative tax incentives for US large corps to insource back to the US much of their manufacturing now done in low income taxed foreign tax havens.

And there should be whole-scale, massive US infrastructure investments, yeah even including very carefully-vetted, secure, environment-friendly pipelines.

And there should also be whole-scale, massive school building fixup remodelings, both K-12 Buildings and Public College and University Buildings.

And Fannie Mae and Freddie Mac should permit all homeowners to refinance their mortgages at the current low prevailing market interest rates. And so should all of the exceedingly greedy, private financial institutions, who created the financial meltdown in the first place.

And all of the above strong US job creating, economic growth initiatives, should be wisely and fairly paid for. And it is really not that difficult to derive wise, fair pay fors here. You just have to be financially astute, creative, fair-minded and also open-minded. And a substantial portion of these pay fors should be the closing of some of the Big Corporation Tax Loopholes.

Unemployment compensation benefits should be extended, and the unemployment compensation process should be improved. And a 2% Payroll Tax Holiday targeted at the forgotten Underemployed is needed. But an across-the-board one-year, very costly, untargeted 2% Payroll Tax Holiday for US middle income and above citizens does not even come close to passing the cost-benefit test. All of the above earlier-mentioned targeted economic initiatives are monumentally more needed and much more effective in spurring the US economy and US job creation than is the untargeted 2% Payroll Tax Holiday.

And there should be permanent substantially lower income tax rates on lower amounts of US business income, both corporate and individual, to really spur small business formation and expansion.

The vast majority of the country knows all of the above economic initiatives are needed. And they don't understand why the US Congressional Republicans think it is perfectly acceptable to override what the country wants done here on improving the US economy and spurring US job creation. That is why the favorable ratings of US Congressional Republicans is already extremely low, and also why it is headed even much lower, given their stubbornly complete lack of compromise with both the US Congressional Democrats and with the Obama Administration.

US Big Oil Corps 4Q 2011 Earnings: Massive Earnings Growth Deceleration.....Finally

2012-02-07T15:30:00.000-08:00

There are four Big Oil companies that massively dominate in the US.

The two of these that are US owned Corps are Exxon Mobil and Chevron. The two that are foreign owned companies are Royal Dutch Shell and BP.

Since the earnings level of these four Big Oil Corps was so monumentally high prior to 2010, it seems that there is no way that the percentage earnings growth on such an incredibly high base could be robust after 2009.

But guess what? The total earnings growth of these four Big Oil Corps has been truly exceptional since the start of 2010.

Let me lay out the Pretax Income numbers and percentage growth since the beginning of 2010.

In annual 2009, even after the start of the Great Recession and Job Depression, the total Pretax Income of these four Big Oil Corps was $99.4 bil.....yeah, that's an incredibly high earnings base.

But in annual 2010, the total Pretax Income (with BP's Gulf Oil Spill Charges excluded) of these four Big Oil Corps surged to $156.5 bil, up a massive 57% in just one year.

But it didn't stop there.

In the 1Q 2011, the Total Pretax Income growth of these four Big Oil Corps over the prior year's 1Q was 49%.

And in the 2Q 2011, this Total Pretax Income growth was 44%.

And then in the 3Q 2011, this Total Pretax Income growth shot up to 53%. Whew!

So what happened in the most recent 4Q 2011?

Well, believe it or not, there was a massive earnings growth deceleration, with 4Q 2011 earnings growth of these four Big Oil Corps plummeting to a meager 2%.

Let me break down these earnings percentage growth numbers by each of these four Big Oil Corps.

......................Pretax Income Percentage Growth over Prior Year
................................Annual.....1Q.......2Q.......3Q........4Q
.................................2010.....2011....2011....2011....2011

Exxon Mobil...............52%......57%....47%......45%......11%
Chevron.....................73%......65%.....71%....133%.......5%
Royal Dutch Shell.......68%......45%.....51%......94%......14%
BP(1)..........................44%......24%.......4%....(15)%....(27)%

Total all 4..................57%.....49%....44%.....53%.......2%

(1) BP Pretax Income excludes Gulf of Mexico Oil Spill Charges and Credits.

I think what happened here with this massive earnings growth deceleration in the 4Q 2011 by these four Big Oil Corps, after seven straight quarters of earnings growth over the prior year's quarter of roughly 50% each, is the single best economic development for sustainable full-time US job creation, at a fair wage, and US small business development, along with that around the world, in over a decade.

What happened in the Bush/Cheney Presidential years was a massive transfer of wealth from the pocketbooks of US citizens due to unreasonably high gas prices, and from Non-Oil US businesses, due to these high energy costs, to these four Big Oil Corps as windfall pretax profits. And the US Government piled on by giving these four Big Oil Corps substantial tax subsidies, which turned these windfall pretax profits into truly obscene after-tax profits.

High energy costs put severe economic strain on consumers, and also substantial downward pressure on consumer confidence. But high energy costs also keep potential entrepreneurs from starting a business. And they also keep small business owners and medium-sized businesses from expanding their businesses.....not just due to the high energy costs, but also due to the risk that they will continue to vastly grow unabatedly on end.

Further, somewhat under the radar screen, high energy costs have been one of the main causes of the massive US Corp outsourcing trend. CEOs and CFOs of US Big Corps are driven by worldwide after-tax profits. With the severe and continuing energy cost pressure, in order to still get their desired after-tax profit goal, these CEOs and CFOs of US Big Corps take advantage of the lower labor environment and the lower income tax in foreign tax havens. They call it "managing their worldwide after-tax earnings". After all, these CEOs and CFOs work for their stockholders, and worldwide after-tax earnings drive stock prices.

When the US Government cannot stop the continuing windfall profits of US Big Oil, due to all Republicans in the US Congress, and even a handful of Democrats, protecting the awesomely powerful Big Oil Industry, then the 99% all around the world must take it in their own hands at the gas pump and boycott, as best they can, the clearly dominating Exxon Mobil, Chevron, Shell and BP.

When you are cruising down the Interstate in the US or in highways around the world, and in need of a gas fix, it is so easy to spot the highly visible Exxon, Chevron, BP and Shell signs. And it is usually much more convenient to just pull into the huge Exxon, Chevron, BP or Shell gas stations, after all, their immense wealth permits them to have accumulated all the choice real estate gas fill-up locations.

But for the US economy and US job creation's sake, and also for that of the world, it is usually much wiser to go the inconvenient route and avoid Exxon, Chevron, BP and Shell. The only way this dormant economy is going to turn around in the long run on a sustainable basis is for the 99%, including small businesses, to take charge and act on their own to remove the massive windfall profits from the income statements of the dominant ExxonMobil, Chevron, BP and Shell Big Oil Titans.

Below here are the 4Q 2011 Pretax Earnings, along with a comparison to the prior year’s 4Q 2010 amounts, of the 32 US Big Oil Corps and Partnerships, with Pretax Income (PTI) or Pretax Loss (PTL) of more than $100 mil in either the 4Q 2011 or the 4Q 2010, and which have already released their 4Q 2011 earnings through February 7, 2012. I’ve included Royal Dutch Shell and BP, since they have such substantial US operations.

........................................PTI(L).......PTI(L)..........Increase.....
..........................................4Q.............4Q............(Decrease)....
........................................2011.........2010......Amount.......%..
............................................(millions of dollars)

4 Big Oil That Should Be Boycotted
Exxon Mobil..................17,041......15,327........1,714.......11%
Royal Dutch Shell..........11,805.......11,261...........544.........5%
Chevron..........................9,965........8,766........1,199.......14%
BP(1)..............................7,023........9,599......(2,576).....-27%
Total of all 4..................45,834......44,953...........881........2%

Rest of Big Oil
ConocoPhillips................5,833.......4,292.........1,541......36%
Occidental Petroleum......2,590.......1,810..........780.......43%
Schlumberger..................1,886.......1,335..........551........41%
Halliburton......................1,354.........910..........444........49%
Marathon Oil....................1,218.........841..........377........45%
Anadarko Petroleum(2)...1,054.........289..........765.....265%
National Oilwell Varco........843.........623..........220.......35%
Baker Hughes(3).................784.........520..........264.......51%
Enterprise Productss LP.....727.........295..........432.....146%
KinderMorganEnergy LP.....491.........419...........72........17%
Murphy Oil(4).....................469.........286..........183........64%
Spectra Energy...................425.........493..........(68)......-14%
Kinder Morgan Inc.............397.........364...........33.........9%
Hess(5)..............................327.........357..........(30).......-8%
Cameron Intl(6).................234.........215............19.........9%
Helmerich & Payne.............228.........167...........61........37%
Diamond Offshore..............204.........311.........(107)......-34%
Pioneer Natural Res(7)......163..........(18).........181......1006%
Noble Corp........................150.........115............35........30%
EQT....................................141.........113............28........25%
Patterson UTI....................140...........92...........48........52%
Sunoco Logistics LP(8)......128...........64............64.......100%
RPC...................................122...........90............32........36%
CompleteProductionSvcs..122...........54............68.......126%
Magellan Midstream LP.....111...........57............54........95%
Valero Energy....................93.........334.........(241)......-72%
Marathon Petroleum.......(180)........361.........(541).....-150%
Tesoro............................(191)..........13.........(204)....-1569%
Total 28 Rest of Big Oil..19,863....14,802.......5,061.......34%

(1) BP 2011 PTI excludes Gulf of Mexico Oil Spill Response Credit. Its 2010 PTI excludes Gulf of Mexico Oil Spill Response Charge.
(2) Anadarko Petroleum 2011 PTI excludes Asset Impairment Charge.
(3) Baker Hughes 2011 PTI excludes Trade Name Impairment Charge.
(4) Murphy Oil 2011 PTI excludes Republic of Congo Property Impairment Charge.
(5) Hess 2011 PTI excludes Loss on Refinery Shutdown.
(6) Cameron International 2011 PTI excludes Deepwater Horizon Charge.
(7) Pioneer Natural Resources 2011 PTI excludes Oil and Gas Properties Impairment Charge.
(8) Sunoco Logistics LP 2011 PTI excludes Asset Impairment Charge.

It is really good for the US and world economies to see so many Oil Corps other than the Big 4 perform so well in the 4Q 2011. These 28 Oil Corps had their 4Q 2011 earnings increase by 34%, as compared with the huge Big 4 Oil Corps that dominate, whose 4Q 2011 total earnings were up only by 2%.

It's particularly good for the US economy to see ConocoPhillips, which is going the patriotic route by breaking up its businesses, do so well, and unlike the Big 4 Oil Corps, actually saw its earnings growth tick up to 36% in the 4Q 2011, as compared with its 34% earnings growth in the 3Q 2011.

And it's also good to see Occidental Petroleum register 4Q 2011 earnings growth of 43%, also an uptick from its 3Q 2011 earnings growth of 41%. In 2010, Occidental Petroleum patriotically added 600 jobs.

It's also good for the US economy and US job creation, as well as that of the world, to see Oil-Related Giant Schlumberger continue to do so well. This is basically a best-of-breed technology company. And it is hiring the very best and brightest from the top engineering, science and math programs of universities all across the country.

Marathon also went the patriotic route and broke itself up into two parts. It seems fair to me that the 99% should reward them for an action like this.....and so should the US Government, which should be encouraging breakups, which nearly always result, in the long run, in very nice full-time job growth.

US Big Corps 4Q 2011 Earnings...Massive Earnings Growth Deceleration (Part Two)

2012-02-04T16:59:00.000-08:00

Through Friday, February 3, 2012, there have been 85 US Big Corps, with Pretax Income of more than $700 mil each in any quarter of the most recent two years, which have released their December 2011 quarterly earnings.

I decided to use a $700 mil quarterly Pretax Income cutoff for US Big Corps in order to obtain a reasonably high sample to be able to have a good underlying basis to make logical conclusions.

My definition of Core Pretax Income is not nearly as liberal as that of many US Big Corps. I start with Pretax Income under US Generally Accepted Accounting Principles, and exclude just a handful of large unusual items relative to Pretax Income, including:

.....Asset Impairments, mainly related to Goodwill and other Intangible Assets
.....Loss and Gains on Early Extinguishment of Debt
.....Acquired In Process Research & Development Charges
.....Gains and Losses on Sales of Assets and Businesses
.....Special Huge Litigation Charges

Here is the Total Core Pretax Income of these 85 US Big Corps for Annual 2010, as well as for each 2011 quarter, along with the Total Increased Amount and the Total Percentage Increase over the prior year or over the prior year's quarter:

Annual 2010...$648,308 mil,..up $202,797 mil..or up 46%

1Q 2011..........$200,125 mil,...up $43,576 mil,....or up 28%
2Q 2011..........$209,496 mil,...up $41,786 mil,....or up 25%
3Q 2011..........$205,486 mil,.up $40,324 mil,.or up 24%
4Q 2011..........$191,943 mil,...up $21,996 mil,.or up 13%

Of the above $21,996 mil 4Q 2011 total earnings increase over the prior year's quarter, $9,514 mil or 43% of it was due solely to Apple, whose 4Q 2011 earnings increased by a massive 119%. If Apple is backed out, the above total earnings growth deceleration is much more pronounced, going from 23% in the 3Q 2011 to only 8% in the 4Q 2011.

When you review the above income trend numbers, how in the world can nearly half of the country objectively assert that the Obama Administration hasn't helped the US economy immensely in all of 2010 and in all of 2011. And when I review the 2009 quarterly income statement numbers of these US Big Corps, the clear conclusion is that the huge upturn in the Total Pretax Income of these US Big Corps started in the 4Q 2009, when the Obama economic stimulus really started kicking into gear.

The stock market has this all figured out. After all, the Dow Industrials Index has nearly doubled in the past 35 months, going from a 6,547 close on March 9, 2009, to 12,862 on last Friday, February 3, 2012, thus up 96%.

Earnings drive stock prices. And the Earnings Per Share growth of these 85 US Big Corps for 2010 and 2011 is even substantially higher than the above very robust increases for two reasons.

First, these US Big Corps are generating after-tax Net Income growth that far exceeds their Pretax Income growth, due to their continually increasing the portion of their worldwide income generated in low-taxed foreign tax havens, due also to their receiving more and more tax subsidies each year, and as it can be easily seen by reviewing their income tax footnotes, due also to their continually obtaining extremely favorable settlements with the IRS in their income tax audits.

And second, these US Big Corps are taking advantage of the extremely cheap interest rate environment provided by the US Government to take massive advantage of stock buyback programs, which substantially increase their Earnings Per Share.

And it's not just these 85 US Big Corps that have reported their December 2011 quarterly earnings.

There were 26 US Big Corps, with October or November 2011 quarter ends, which generated Pretax Income above $700 mil in any quarter of 2011 or 2010. Here is the Total Pretax Income for these 26 US Big Corps for each 2011 quarter, along with the Total Increased Amount and the Total Percentage Increase over the prior year's quarter:

1Q 2011..........$31,986 mil,...up $5,378 mil,....or up 22%
2Q 2011..........$32,266 mil,...up $4,521 mil,....or up 16%
3Q 2011..........$29,158 mil,...up $3,104 mil,....or up 12%
4Q 2011..........$26,015 mil,...up ...$396 mil,.....or up 2%

Thus, when you combine the above 85 US Big Corps with December 2011 quarter ends and the above 26 US Big Corps with October or November 2011 quarter ends, below here is the Total Pretax Income for these 111 US Big Corps for each 2011 quarter, along with the Total Increased Amount and the Total Percentage Increase over the prior year's quarter:

1Q 2011..........$232,111 mil,....up ..$49,254 mil,.......or up 27%
2Q 2011..........$241,762 mil,....up ..$46,307 mil,......or up 24%
3Q 2011..........$234,644 mil,...up $43,428 mil,....or up 23%
4Q 2011..........$217,958 mil,....up $22,392 mil,....or up 11%

And if Apple is backed out, after all 70% of Apple's earnings in the 4Q 2011 were generated overseas, this monstrous earnings growth deceleration drops in a much more pronounced manner, going from 22% earnings growth in the 3Q 2011 to a meager 7% in the 4Q 2011.

It is clear that the country must focus like a laser on the reasons for this massive dismal earnings growth deceleration from the 3Q 2011 to the 4Q 2011.

And the reason this focus is even more critical is that this major drop in earnings growth in the 4Q 2011 occurred despite a more robust 2.8% real US GDP growth rate in the 4Q 2011, which was much higher than that of the first three quarters of 2011, and also occurred despite the fact that there was a substantial pulling forward of US equipment purchases by so many US Corps from 2012 to the 4Q 2011, and particularly to the month of December 2011, due to the huge drop in 100% first-year tax expensing on US equipment purchases in 2011 to only 50% bonus tax depreciation in 2012.

If this is what’s happening to the US largest corporations, which have been both dramatically and continually “propped up” by both US Government and Fed actions, I can just imagine how badly many of the neglected US small businesses have done on the earnings front in the most recent 4Q 2011.

Let me give my thoughts on the main reasons for this massive earnings growth drop in the 4Q 2011.

First, and clearly foremost, this significant US earnings growth deceleration stems from irresponsible US Congressional Actions and Inaction, which resulted in the substantial loss in US consumer confidence and the substantial increase in US business uncertainty.

This was the direct result of Republicans in the US Congress irresponsibly breaking off the critical Grand Bargain Talks on huge long-term US deficit reduction with the Obama Administration, coupled with the horrific Debt Ceiling Negotiations, which even resulted in the highly embarrassing US Debt Downgrade by Standard and Poors. And then all US Republicans on the US Debt Super-Committee recalcitrantly refused to budge on any meaningful amount of increased Tax Revenues, thereby resulting in the disgraceful demise of this Super-Committee.

Further, the Republican Congress wreaked havoc on both the US economy and US job creation by recalcitrantly and unpatriotically rejecting on arrival the American Jobs Act, which had some awfully powerful US job creation initiatives, particularly the substantial US infrastructure investments.

Second, and nearly as important as the irresponsible actions and inaction by the Republicans in the US Congress, relates to the key business tax incentive for US equipment purchases.

The very highly-charged 100% tax expensing for US equipment purchases was applicable to every quarter of 2011 and also to the entire 4Q 2010. However, it wasn't applicable to the first two quarters of 2010 nor to the majority of the third quarter of 2010.

Companies that sell equipment have their sales, gross margins, and earnings increase significantly. In addition, this 100% first-year tax expensing highly motivates the purchaser to purchase the US equipment when the 100% first-year tax expensing is in effect.

Thus, in the quarters that 100% first-year expensing is in effect, these US companies selling a lot of this equipment in the US will have their Pretax Income increase dramatically in that quarter.

There was the same 100% first-year tax expensing in the 4Q 2011 and in the 4Q 2010. However, in the first three quarters of 2011, the 100% tax expensing was double the 50% bonus tax depreciation in the first three quarters of 2011. Thus, it only makes economic sense that CFOs and CEOs would decide to purchase this US equipment in the quarters that 100% first-year tax expensing would apply.

Therefore, it also only makes sense that the Pretax Income growth would be substantially higher in the first three quarters of 2011, where 100% tax expensing was in effect, as compared to the comparable first three quarters of 2010, where the much less enticing 50% bonus tax depreciation applied.

So what does this mean? Well, very bad news for 2012 US equipment purchases.

Thus, it would be very wise for the US Congress to legislate to step up the 50% bonus tax depreciation to 100% first-year tax expensing for all of 2012. If not, I think you'll see real US real GDP growth drop markedly in 2012. Likewise, you'll see Pretax Earnings growth drop dramatically in 2012.

Also, I would make this 100% first-year tax expensing incentive substantially more robust in 2012.

How?

Well, I would also give some very substantial first-year tax depreciation deductions for investments in new buildings and in building improvements (especially green building retrofits) for US businesses of all sizes. And I would also step up first-year tax writeoffs for all Research and Development investments, including all computer software costs incurred.

However, to be fair in benefiting both the 1% and the neglected 99%, I would allow these massively lucrative tax incentives to the very large US businesses only if they are accompanied by a fairly-designed minimum full-time job increase requirement. If the US Congress irresponsibly excludes this requirement like it always has in the past, you will see the majority of large US Corps reap billions of dollars of upfront tax benefits, but still unpatriotically refusing to hire US workers on a full-time basis, and in many cases, even continuing to shed thousands of US workers, despite still receiving all of this income tax benefit largesse.

And to minimize the CBO-scored cost of the very effective above tax incentives, I would reduce the tax depreciation allowed on the new buildings and building improvements in years two through ten. And I would also accelerate markedly the remaining tax depreciation starting in year 11.

And to help struggling US businesses, I would give businesses that can't take advantage of the 100% tax expensing on equipment purchases, the much accelerated tax depreciation deductions on buildings and building improvements, or the increased upfront tax writeoffs on R&D and computer software investments, an upfront equivalent tax credit in the first year for these investments made.

Third, and also very importantly and really a great development to both the US economy and US job creation, as well as that around the globe, there was a massive deceleration in 4Q 2011 earnings growth of the Big Oil Corps that dominate.....specifically, Exxon Mobil, Chevron, and Royal Dutch Shell. The fourth Big Oil Corp that dominates is BP, but it hasn't released its 4Q 2011 earnings yet.

Just how substantial was this 4Q 2011 earnings growth deceleration of these Big Oil Corps? Well, it was nearly a complete collapse. The neglected 99%, including small businesses, have spoken.

Here is the Total Core Pretax Income of Exxon Mobil for Annual 2010, as well as for each 2011 quarter, along with the Total Increased Amount and the Total Percentage Increase over the prior year or over the prior year's quarter:

Annual 2010...$52,959 mil,..up $18,182 mil..or up 52%

1Q 2011..........$18,917 mil,...up $6,849 mil,...or up 57%
2Q 2011..........$18,619 mil,...up $5,913 mil,....or up 47%
3Q 2011..........$18,680 mil, up $5,822 mil, or up 45%
4Q 2011..........$17,041 mil, up..$1,714 mil,..or up 11%

Here is the Total Core Pretax Income of Chevron for Annual 2010, as well as for each 2011 quarter, along with the Total Increased Amount and the Total Percentage Increase over the prior year or over the prior year's quarter:

Annual 2010...$32,055 mil,..up $13,527 mil..or up 73%

1Q 2011..........$11,122 mil,...up $7,650 mil,...or up 45%
2Q 2011..........$13,207 mil,...up $4,441 mil,...or up 51%
3Q 2011..........$13,340 mil, up $6,467 mil, or up 94%
4Q 2011...........$9,965 mil, up..$1,199 mil,..or up 14%

Here is the Total Core Pretax Income of Royal Dutch Shell for Annual 2010, as well as for each 2011 quarter, along with the Total Increased Amount and the Total Percentage Increase over the prior year or over the prior year's quarter:

Annual 2010...$35,344 mil,..up $14,320 mil..or up 68%

1Q 2011..........$16,423 mil,...up $6,457 mil,...or up 65%
2Q 2011..........$14,894 mil,...up $6,162 mil,....or up 71%
3Q 2011..........$12,538 mil, up $7,153 mil, or up 133%
4Q 2011..........$11,805 mil, up....$544 mil,...or up 5%

And it was really good for the US economy and US job creation to see that the 4Q 2011 earnings growth did not decelerate from that of the 3Q 2011 for the two US Big Oil Corps just below these above three giants that dominate.

ConocoPhillips, which very favorably to the US economy and US job creation is breaking up, registered 4Q 2011 earnings growth of 36%, an uptick from its 3Q 2011 earnings growth of 34%.

And Occidental Petroleum registered 4Q 2011 earnings growth of 43%, also an uptick from its 3Q 2011 earnings growth of 41%.

It's also good for the US economy and US job creation, as well as that of the world, to see Oil-Related Giant Schlumberger continue to do so well. This is basically a best-of-breed technology company. And it is hiring the very best and brightest from the top engineering, science and math programs of universities all across the country.

When the US Government cannot stop the continuing windfall profits of US Big Oil, due to all Republicans in the US Congress, and even a handful of Democrats, protecting the awesomely powerful Big Oil Industry, then the 99% all around the world must take it in their own hands at the gas pump and boycott, as best they can, the clearly dominating Exxon Mobil, Chevron, Shell and BP.

When you are cruising down the Interstate in the US or in highways around the world, and in need of a gas fix, it is so easy to spot the highly visible Exxon, Chevron, BP and Shell signs. And it is usually much more convenient to just pull into the huge Exxon, Chevron, BP or Shell gas stations, after all, their immense wealth permits them to have accumulated all the choice real estate gas fill-up locations.

But for the US economy and US job creation's sake, and also for that of the world, it is usually much wiser to go the inconvenient route and avoid Exxon, Chevron, BP and Shell. The only way this dormant economy is going to turn around in the long run on a sustainable basis is for the 99%, including small businesses, to take charge and act on their own to remove the massive windfall profits from the income statements of the dominant ExxonMobil, Chevron, BP and Shell Big Oil Titans.

Here are these 111 US Big Corps and their 4Q 2011 Pretax Income as compared to that of the 4Q 2010:

..........................................4Q............4Q..........Increase
........................................2011.........2010......(Decrease)
.......................................PTI(L).......PTI(L).....Amount......%
........................................(in millions of dollars)......

Dec 11 Quarters
Apple............................17,477.......7,963........9,514.....119%
Exxon Mobil..................17,041.....15,327........1,714.......11%
Royal Dutch Shell..........11,805......11,261...........544.........5%
Chevron..........................9,965.......8,766........1,199.......14%
Microsoft........................8,239.......8,497.........(258).......-3%
IBM................................7,274.......6,956...........318.........5%
Wells Fargo.....................6,057.......5,165...........892.......17%
ConocoPhillips................5,833.......4,292.........1,541.......36%
JP Morgan Chase.............4,747......7,012.......(2,265).....-32%
Intel...............................4,587.......4,163...........424.......10%
GE..................................4,476.......3,540...........936.......26%
Procter & Gamble(1).......4,075.......4,090...........(15).......0%
Verizon(2)......................3,823.......3,970..........(147)......-4%
AT&T(3)..........................3,681.......4,068..........(387).....-10%
JohnsonandJohnson(4)..3,663.......3,451...........212........6%
Google............................3,489.......3,142...........347.......11%
Bank of America(5).........3,013......(1,595).......4,608......289%
Pfizer(6).........................2,730.......2,136...........594.......28%
Occidental Petroleum.....2,590.......1,810...........780.......43%
Abbott Labs(7)...............2,354.......2,006...........348.......17%
McDonalds......................1,984.......1,734...........250.......14%
Caterpillar......................1,978.......1,232............746.......61%
UnitedHealth..................1,935.......1,684............251.......15%
UnitedParcelService(8)...1,889......1,730............159........9%
Schlumberger.................1,886.......1,335............551.......41%
US Bancorp.....................1,855.......1,271............584.......46%
United Technologies.......1,832.......1,686............146........9%
Merck(9)........................1,824.......1,524............300.......20%
American Express..........1,748.......1,477...........271.......18%
Qualcomm.....................1,721.......1,470............251.......17%
Bristol Myers Squibb......1,594.......1,413............181.......13%
Union Pacific.................1,530.......1,180............350.......30%
Boeing...........................1,444.......1,003............441.......44%
Citigroup.......................1,364.......1,060............304.......29%
Halliburton...................1,354..........910............444.......49%
3M................................1,329.......1,262..............67........5%
Morgan Stanley(10).......1,285.......1,191..............94........8%
Freeport McMoran(11)..1,253.......2,986........(1,733).....-58%
Goldman Sachs..............1,247.......3,474........(2,227).....-64%
Marathon Oil.................1,218..........841...........377.......45%
Altria Group..................1,183.......1,407..........(224).....-16%
Honeywell(12)...............1,145..........930...........215.......23%
Ford(13)........................1,052.......1,173..........(121).....-10%
Allstate.........................1,052..........363...........689......190%
Amgen(14)....................1,051.......1,117............(66)......-6%
EMC..............................1,048..........909...........139.......15%
Eli Lilly.........................1,042.......1,410..........(368).....-26%
General Dynamics(15)..1,022.......1,043.............(21)......-2%
Lockheed Martin.............966.......1,056............(90)......-9%
Bank of NY Mellon...........945..........834...........111.......13%
Viacom...........................917..........960............(43)......-4%
Colgate Palmolive...........908..........889.............19........2%
Ace Ltd...........................872.......1,134..........(262).....-23%
Natl Oilwell Varco...........843..........623...........220.......35%
PNC Financial(16)...........838..........961..........(123).....-13%
AFLAC............................834..........667...........167.......25%
Raytheon(17)..................821..........715...........106.......15%
Gilead Sciences...............819..........800.............19........2%
BlackRock.......................815..........958..........(143).....-15%
SLM................................795..........760.............35........5%
Baker Hughes(18)............784..........520...........264.......51%
Northrop Grumman(19)..782..........639...........143.......22%
Travelers........................778........1,197..........(419).....-35%
Ebay...............................771..........587...........184.......31%
MasterCard(20)..............758..........582...........176.......30%
Danaher..........................742..........566...........176.......31%
Enterprise Products LP...727..........295...........432......146%
Norfolk Southern............723..........562...........161.......29%
CSX.................................712..........701.............11........2%
Cummins........................705..........530...........175.......33%
Corning(21)....................682..........804..........(122).....-15%
Chubb.............................614..........699............(85).....-12%
Aetna.............................607..........313...........294.......94%
Capital One Financial......571.......1,032..........(461).....-45%
Baxter............................548..........467.............81.......17%
State Street.....................532..........252...........280......111%
WellPoint.......................478..........752..........(274).....-36%
ArcherDanielsMidland...460..........998..........(538)......-54%
Delta Air Lines(22).........447............52...........395......760%
DuPont(23).....................422..........405.............17........4%
Dow Chemical.................354..........646..........(292).....-45%
Texas Instruments(24)....349.......1,104..........(755).....-68%
Hess................................327..........357...........(30)......-8%
Valero Energy...................93..........334..........(241).....-72%
Marathon Petroleum......(180).........361..........(541)....-150%
Total all 85................191,943...169,947........21,996.......13%
Total all but Apple.....174,466...161,984........12,482........8%

Oct & Nov 11 Quarters
Walmart........................5,343.......5,095...........248........5%
Oracle...........................2,960.......2,646...........314.......12%
Hewlett Packard(25).....2,310.......3,214..........(904).....-28%
Cisco Systems...............2,245.......2,425..........(180)......-7%
Home Depot..................1,457.......1,306...........151.......12%
Dell...............................1,072.......1,076.............(4).......0%
Deere............................1,057.........750...........307.......41%
Medtronic(26)..............1,053.......1,031.............22........2%
Accenture.......................993..........845...........148.......18%
Walgreens.......................883..........921...........(38)......-4%
Target.............................857..........773.............84.......11%
Mosaic............................855..........621...........234.......38%
DiscoverFinancialSvcs....818..........585...........233.......40%
FedEx.............................777..........437...........340.......78%
General Mills...................630..........741..........(111).....-15%
Nike................................618..........609...............9........1%
Costco............................553..........504..............49.......10%
Lowes(27).......................352..........651..........(299).....-46%
Applied Materials............344..........703..........(359).....-51%
Kohls..............................340..........277.............63.......23%
Carnival..........................209..........255...........(46).....-18%
Best Buy..........................204..........373..........(169).....-45%
Monsanto........................204............24...........180......750%
Macys..............................183............52...........131......252%
Intuit...............................(98)........(111)............13.......12%
H&R Block......................(204).......(184)...........(20).....-11%
Total all 26..................26,015......25,619...........396........2%

Grand Total 111.........217,958....195,566.......22,392.......11%
Grand Total
.....all but Apple........200,481....187,603.......12,878........7%

(1) Procter & Gamble 2011 PTI excludes both Intangible Asset Impairment Charge and Gain on Sale of Business.
(2) Verizon PTI in both years exclude Severance, Pension, and Benefit Special Charges.
(3) AT&T PTI in both years exclude Actuarial Losses on Benefit Plan. Its 2011 PTI also excludes both Charge related to T-Mobile Acquisition Termination and Directory Asset Impairment Charge.
(4) Johnson and Johnson PTI for both 2011 and 2010 exclude Special Litigation Settlement Charges, Special Product Liability Expense Charges, and DePuy Hip Recall Program Charges. Its 2011 PTI also excludes Currency Option on Planned Acquisition Charge.
(5) Bank of America PTI in both years exclude Goodwill Impairment Charges.
(6) Pfizer PTI for both 2011 and 2010 exclude Special Litigation Charges and Asset Impairment Charges.
(7) Abbott Labs PTI for both 2011 and 2010 exclude Acquired In Process Research and Development Charges.
(8) United Parcel Service PTI in both years are before Pension Accounting Mark-to-Market Adjustments.
(9) Merck PTI for both 2011 and 2010 exclude Acquired In Process Research and Development Charges.
(10) Morgan Stanley 2011 PTI excludes Loss related to MBIA Settlement.
(11) Freeport McMoran 2011 PTI includes Indonesian Operations Labor and Pipeline Disruption Charges.
(12) Honeywell PTI in both years are before Pension Accounting Mark-to-Market Adjustments.
(13) Ford 2011 PTI excludes FordSollers Gain. Its 2010 PTI excludes Debt Reduction Charges.
(14) Amgen 2010 PTI excludes Asset Impairment Charge re BI Transaction.
(15) General Dynamics 2011 PTI excludes Intangible Asset Impairment Charge.
(16) PNC Financial PNC Financial 2011 PTI excludes Charge from Redemption of Trust Preferred Securities. Its 2010 PTI excludes Gain on Sale of BlackRock Shares.
(17) Raytheon 2010 PTI excludes Loss on Debt Retirement.
(18) Baker Hughes 2011 PTI excludes Impairment of Trade Names Charge.
(19) Northrop Grumman 2010 PTI excludes Debt Redemption Charge.
(20) MasterCard 2011 PTI excludes Special Litigation Settlement Charge.
(21) Corning 2011 PTI excludes Asset Impairment Charge. Its 2010 PTI excludes both Insurance Settlement Gain and Special Korean Tax Credit.
(22) Delta Air Lines PTI in both years excludes Loss on Debt Extinguishment.
(23) DuPont 2010 PTI excludes Loss on Debt Extinguishment.
(24) Texas Instruments 2010 PTI excludes Gain on Sale of Assets.
(25) Hewlett Packard Hewlett Packard 2011 PTI excludes Asset Impairment Charge, Winding Down Web OS Device Business Charge, and Acquisition Foreign Currency Exchange Risk Charge.
(26) Medtronic 2010 PTI excludes Special Litigation Charge.
(27) Lowes 2011 PTI includes Store Closing Charges.

Much More to Come!

US Big Pharma 4Q 2011 Earnings Rock, While Drug Consumers and Medicare Get Rolled

2012-02-02T11:17:00.000-08:00

From SEC filings, below here are the 4Q 2011 Pretax Earnings (PTI), along with a comparison to the prior year’s 4Q 2010 amounts, of the 6 US Big Pharma Corps.

..........................................PTI..........PTI..........Increase.......
..........................................4Q............4Q..........(Decrease)....
........................................2011........2010.....Amount....%..
..........................................(millions of dollars)
US Big Pharma
Johnson&Johnson(1)......3,663.......3,451.........212.......6%
Pfizer(2).........................2,730.......2,136.........594......28%
Abbott Labs(3)...............2,354.......2,006.........348......17%
Merck(4)........................1,824........1,524.........300......20%
BristolMyersSquibb.......1,594........1,413..........181......13%
Eli Lilly..........................1,042........1,410........(368)....-26%

Total all 6....................13,207......11,940.......1,267......11%

(1) Johnson & Johnson PTI for both 2011 and 2010 exclude Special Litigation Settlement Charges, Special Product Liability Expense Charges, and DePuy Hip Recall Program Charges. Its 2011 PTI also excludes Currency Option on Planned Acquisition Charge.
(2) Pfizer PTI for both 2011 and 2010 exclude Special Litigation Charges and Asset Impairment Charges.
(3) Abbott Labs PTI for both 2011 and 2010 exclude Acquired In Process Research and Development Charges.
(4) Merck PTI for both 2011 and 2010 exclude Acquired In Process Research and Development Charges.

Yeah, that's correct, while the 99%ers and also US Government Medicare are paying incredibly high prices for their drugs, the 6 US Big Pharma Corps, who are major beneficiaries of the Affordable Health Care Plan, register very robust Total Pretax Profits, which increased 11% in the 4Q 2011. And in addition, these Big Pharma Corps are getting a massive income tax benefit from shifting much of their income to foreign tax havens, including to Puerto Rico.

The 99%ers have a very difficult time understanding how the US Congressional Republicans, the protectors of Big Pharma, can continue to push so hard for these US Big Pharma Corps to generate year-after-year of very robust after-tax profits, which get an additional massive kick from the majority of this worldwide income being taxed in foreign tax havens.

And in a excessive greed pile on, the US Big Pharma Corps now are lobbying heavily the US Government to permit them to repatriate these exceeding low income taxed foreign earnings at an incredibly low US federal income tax rate. And people want to know why the Occupy Movement has so many supporters? Someone has to fight against Big Corp dominance of the US Congress. It is devastating economically the country's 99%ers.

Also, it is very difficult for me to understand how it is right for the one-issue (debt reduction) US Congressional Republicans to continue to push vehemently to reduce Medicare, Medicaid, and Social Security benefits, while at the same time, not permitting the US Government to negotiate for fairer drug prices with the large drug companies, including the foreign ones.

And even after given all of this largesse from their US Congressional Republican supporters, these US Big Pharma Corps also see nothing wrong with continually shedding thousands of good-paying US jobs.

US Big Corps with $1 Bil 4Q 2011 Earnings up 14%, but Marked Deceleration (Part One)

2012-01-29T12:50:00.000-08:00

Through Friday, January 27, 2012, there have been 52 US Big Corps with Pretax Income of just short of $1 bil or above in any of the quarters of 2011 or 2010, which have released their December 2011 quarterly earnings.

Here is the Total Pretax Earnings Growth for these 52 US Big Corps for each of the four quarters of 2011 over 2010:

1Q 2011 over 1Q 2010.....21%
2Q 2011 over 2Q 2010.....21%
3Q 2011 over 3Q 2010.....19%
4Q 2011 over 4Q 2010.....14%

And when you back away Apple, whose $17.5 bil of Pretax Earnings in its December 2011 quarter was a just massive 119% earnings growth over its December 2010 quarter, the remaining 51 US Big Corps had their Total Pretax Earnings Growth drop dramatically from 17% in the 3Q 2011 to only 6% in the 4Q 2011.

This is great for China's economy, where the overwhelming majority of Apple employees are located.

And this is great for Apple's stockholders and executives, and their employees receiving stock options.

Of Apple's $34 bil worldwide pretax earnings in its fiscal year ended September 2011, $24 bil, or 70%, was earned overseas, where it's not just lower labor and lower employee benefit costs, but also just as importantly, substantially lower income tax rates. In fact, its 2011 foreign income tax expense of $602 mil is only a 2.5% effective income tax rate on its $24 bil of foreign pretax income. But at least that is double the 1.2% foreign income tax rate on its foreign pretax income earned in 2010.

Because of these massive amounts of earnings generated predominantly overseas, Apple has accumulated $97.6 bil of Cash and Marketable Securities at the end of December 2011. And Apple has zero of interest-bearing debt.

And at its September 2011 fiscal year end, $54.3 bil, or 67%, of Apple's $81.6 bil of Cash and Marketable Securities were held by its low income taxed foreign subsidiaries.

But there's more to the Apple story.

At the end of December 2011, $20 bil of its Marketable Securities are Investments in US Government Agencies, which I assume is Fannie Mae and Freddie Mac, and $14.7 bil are Investments in US Treasury Securities.

The only reason someone would invest in clearly bankrupt Fannie Mae and Freddie Mac, rather than US Treasury Securities, is because the interest rate earned is much higher.

But bankrupt Fannie Mae and Freddie Mac are in essence US taxpayers. Thus what is in essence happening is that Apple, through its Investments in Fannie Mae and Freddie Mac, is receiving tax benefits from the higher interest yield it is receiving from US taxpayers, who are bankrolling Fannie and Freddie's massive losses.

So, I suggest that when normal US citizens think Apple is doing wonders for the US economy and US job creation, they are flat out wrong. Apple's elevation of the US economy and US job creation has been substantially over exaggerated.

But it's not just Apple. So many US Big Corps have reaped enormous US taxpayer subsidies from their Investments In, and/or Guarantees by, bankrupt Fannie Mae and Freddie Mac over the years.

Big US Financial Corps are really heavy debt instrument investors in bankrupt Fannie and Freddie.

Based on reviewing its 10K footnote disclosures, at December 31, 2010, JPMorgan Chase had Investments in Mortgage-backed US Government Agencies classified as Trading Assets of $48 bil and those classified as Available For Sale Assets of another $120 bil, for a total of $168 bil. I can only assume these are Investments in Fannie and Freddie and/or guaranteed by them. And a lot of these Investments in Fannie and Freddie are financed by the US Government at close to a zero percent interest rate to JP Morgan.

Since Fannie and Freddie are both bankrupt and thus in essence bankrolled by US taxpayers, then effectively US taxpayers are granting substantial annual tax subsidies to JPMorgan Chase for the interest it earns on these massive amount of Investments in Fannie and Freddie.

And to show their incredible greed and selfishness, after getting all of this largesse from US taxpayers, JPMorgan Chase refuses to either reduce the principal balance of underwater home mortgages, or even letting underwater homeowners refinance at the current very low market interest rates!

And at December 31, 2010, Bank of America had Investments in Mortgage-backed US Government Agencies classified as Trading Assets of $30 bil and those classified as Available For Sale Assets of another $191 bil, for a total of $221 bil.

And at December 31, 2010, Citigroup had Investments in Mortgage-backed Debt Securities, which were US Government-sponsored Agency Guaranteed, classified as Trading Assets of $27.1 bil and classified as Available For Sale of another $23.6 bil. In addition, Citigroup had Investments in US Government Agency Debt Securities classified as Trading Assets of $3.4 bil and classified as Available For Sale of another $43.6 bil. Thus the total of all four of these Investments in Debt Securities either of, or guaranteed by, US Government Agencies (logically Fannie and Freddie) was $97.7 bil.

And at December 31, 2010, Wells Fargo had Investments in Mortgage-backed US Government Agencies classified as Available For Sale Assets of $82 bil.

When I get some time, I'll see if I can get a better handle on the aggregate amounts of these tax subsidies given by the US taxpayer to US Big Corps, due to their massive investments in Fannie and Freddie. My hunch is that the cumulative amount is hundreds of billions of dollars.

And these same US Big Corps now want their US Corporate Federal Income Tax Rate reduced? What thoroughly disgusting greed.

And these US Big Corps don't understand why the Occupy Movement is targeting them, especially the Big Banks? The US Congressional Republicans are protecting and covering up the wrongdoings of the Big Banks, while the Occupy Movement courageously and patriotically exposes these wrongdoings. Clearly for the common good, exposure here trumps protection and coverup.

And when you think about it, why shouldn't US Big Corps, who went for, and continue to go for, the higher sticker interest rate earned greed by investing in Fannie Mae and Freddie Mac, be now subject to the same downside risk from these unwise Investments in now bankrupt Fannie Mae and Freddie Mac? Isn't this free enterprise?

What kind of unfair deal is this.....US Big Corps benefit monstrously from their risk-free Investments in Fannie Mae and Freddie Mac, which are in essence tax subsidized by US taxpayers bankrolling bankrupt Fannie and Freddie. But yet bankrupt Fannie and Freddie refuse to either write down the underwater mortgages of these same US taxpayers, or even let them refinance their mortgage loans at the current very low market interest rates.

Anyway, back to the big picture, the overall US economy was clearly under downward real growth assault in the 4Q 2011, especially US small businesses, modestly paid US full-time workers, the rapidly-growing, huge struggling US jobette community, and the so many desperate want-to-be workers.

And this substantial earnings growth deceleration in the 4Q 2011 occurred despite the huge profit boost from 100% first-year tax expensing, due to the substantial pulling forward of future equipment purchases from 2012 to the 4Q 2011, mostly to the month of December 2011. This fine-tuning, financial engineering happened on a whole-scale basis in the 4Q 2011 because the 100% first-year tax expensing drops in half in 2012.

Here are these 52 US Big Corps and their 4Q 2011 Pretax Income as compared to that of the 4Q 2010:

..........................................4Q............4Q..........Increase
........................................2011.........2010......(Decrease)
.........................................PTI.........PTI(L).....Amount......%
........................................(in millions of dollars)......

Apple............................17,477......7,963........9,514......119%
Chevron..........................9,965......8,766........1,199.......14%
Microsoft........................8,239......8,497.........(258)......-3%
IBM................................7,274......6,956..........318........5%
Wells Fargo.....................6,057......5,165..........892.......17%
ConocoPhillips................5,833......4,292........1,541.......36%
JP Morgan Chase.............4,747......7,012......(2,265).....-32%
Intel................................4,587......4,163..........424.......10%
GE...................................4,476......3,540..........936.......26%
Procter&Gamble(1).........4,075......4,090..........(15).......0%
Verizon(2)......................3,823......3,970.........(147)......-4%
AT&T(3)..........................3,681......4,068.........(387).....-10%
JNJ(4)............................3,663......3,451...........212........6%
Google............................3,489......3,142...........347.......11%
Bank of America(5).........3,013.....(1,595).......4,608......289%
Occidental Petroleum.....2,590......1,810...........780.......43%
Abbott Labs(6)...............2,354......2,006...........348.......17%
McDonalds.....................1,984......1,734............250.......14%
Caterpillar......................1,978......1,232............746.......61%
UnitedHealth..................1,935......1,684............251.......15%
Schlumberger.................1,886......1,335............551.......41%
US Bancorp.....................1,855......1,271............584.......46%
United Technologies.......1,832......1,686............146........9%
American Express..........1,748......1,477............271.......18%
Bristol Myers Squibb......1,594......1,413.............181.......13%
Union Pacific..................1,530......1,180............350.......30%
Boeing............................1,444......1,003............441.......44%
Citigroup........................1,364......1,060............304.......29%
Halliburton.....................1,354........910............444.......49%
3M..................................1,329......1,262.............67........5%
Morgan Stanley(7)..........1,285......1,191.............94........8%
Freeport McMoran(8).....1,253......2,986......(1,733).....-58%
Goldman Sachs...............1,247......3,474......(2,227).....-64%
Altria Group...................1,183......1,407.........(224).....-16%
Honeywell(9)..................1,145........930...........215.......23%
Ford(10).........................1,052......1,173.........(121).....-10%
Amgen(11)......................1,051......1,117..........(66)......-6%
EMC................................1,048........909...........139.......15%
General Dynamics(12).....1,022......1,043..........(21)......-2%
Lockheed Martin................966......1,056..........(90)......-9%
Bank of NY Mellon..............945........834...........111.......13%
Colgate Palmolive...............908........889............19........2%
PNC Financial(13)...............838........961.........(123)......-13%
BlackRock...........................815........958.........(143)......-15%
Baker Hughes(14)...............784........520...........264........51%
Travelers...........................778......1,197.........(419)......-35%
Corning(15)........................682........804.........(122)......-15%
Capital One Financial..........571......1,032.........(461)......-45%
WellPoint...........................478........752.........(274)......-36%
DuPont(16)........................422........405.............17.........4%
Texas Instruments.............349......1,104.........(755)......-68%
Hess...................................327........357..........(30).......-8%

Total all 52..................136,325...119,642......16,683.......14%

Total 51 without Apple.118,848..111,679........7,169.........6%

(1) Procter & Gamble 2011 PTI excludes Intangible Asset Impairment Charge and Gain on Sale of Business.
(2) Verizon Communications both 2011 and 2010 PTI exclude Severance, Pension and Benefit Special Charges.
(3) AT&T both 2011 and 2010 PTI exclude Actuarial Losses related to Benefit Plan. Its 2011 PTI also excludes Termination of T-Mobile Acquisition Charge and Directory Asset Impairment Charge.
(4) Johnson & Johnson both 2011 and 2010 PTI exclude Net Litigation Settlement Charges, Special Product Liability Charges, and DePuy Hip Recall Program Charges. Its 2011 PTI also excludes Currency Option Adjustment on Planned Acquisition Charge.
(5) Bank of America both 2011 and 2010 PTI exclude Goodwill Impairment Charges.
(6) Abbott Labs both 2011 and 2010 PTI exclude In Process Research & Development Charges.
(7) Morgan Stanley 2011 PTI excludes Loss Related to MBIA Settlement.
(8) Freeport McMoran 2011 PTI includes Indonesian Operations Labor and Pipeline Disruption Expenses.
(9) Honeywell both 2011 and 2010 PTI exclude Mark-to-Market Pension Expense Charges.
(10) Ford 2011 PTI excludes FordSollers Gain. Its 2010 PTI excludes Debt Reduction Action Charges.
(11) Amgen 2010 PTI excludes Asset Impairment Charge on BI Transaction.
(12) General Dynamics 2011 PTI excludes Intangible Asset Impairment Charge.
(13) PNC Financial 2011 PTI excludes Charges for Redemption of Trust Preferred Securities. Its 2010 PTI excludes Gain on Sale of BlackRock Shares.
(14) Baker Hughes 2011 PTI excludes Trade Names Impairment Charges.
(15) Corning 2011 PTI excludes Asset Impairment Charges. Its 2010 PTI excludes Insurance Settlement Gain and Special Korean Tax Credit.
(16) DuPont 2010 PTI excludes Loss on Debt Extinguishment.

And this massive earnings growth deceleration isn't just related to the above US Big Corps with December 2011 quarter ends.

There were 19 additional US Big Corps with Pretax Income of just short of $1 bil or above in any of the quarters of 2011 or 2010, which have either October or November 2011 quarter ends.

Here is the Total Pretax Earnings Growth for these 19 US Big Corps for each of the four quarters of 2011 over 2010:

1Q 2011 over 1Q 2010.....19%
2Q 2011 over 2Q 2010.....14%
3Q 2011 over 3Q 2010......9%
4Q 2011 over 4Q 2010......1%

Whoa, now that is what I call earnings growth going off the cliff!

Here are these 19 US Big Corps, with either October or November 2011 quarter ends, and their 4Q 2011 Pretax Income or Loss as compared to that of the 4Q 2010:

..........................................4Q............4Q..........Increase
........................................2011.........2010......(Decrease)
.......................................PTI(L).......PTI(L).....Amount......%
........................................(in millions of dollars)......

Walmart...........................5,343.......5,095..........248........5%
Oracle..............................2,960.......2,646..........314.......12%
Hewlett Packard(1)..........2,310.......3,214.........(904).....-28%
Cisco Systems..................2,245.......2,425.........(180)......-7%
Home Depot.....................1,457.......1,306..........151.......12%
Dell..................................1,072.......1,076...........(4).......0%
Deere...............................1,057..........750.........307.......41%
Medtronic(2)...................1,053........1,031...........22........2%
Accenture..........................993...........845..........148.......18%
Walgreens..........................883...........921..........(38)......-4%
Target................................857..........773...........84.......11%
Discover Fincl Svcs............818...........585..........233.......40%
Lowes(3)...........................352...........651.........(299).....-46%
Carnival............................209...........255..........(46).....-18%
Best Buy............................204...........373.........(169).....-45%
Monsanto..........................204.............24..........180......750%
Macys...............................183..............52..........131......252%
Intuit................................(98)...........(111)..........13.......12%
H&R Block.......................(204)..........(184).........(20).....-11%

Total all 19...................21,898.......21,727..........171........1%

(1) Hewlett Packard 2011 PTI excludes asset impairment charge, winding down Web OS device business charge, and acquisition foreign currency exchange risk charge.
(2) Medtronic 2010 PTI excludes special litigation charge.
(3) Lowes 2011 PTI includes large store closing charges.

This huge earnings growth deterioration in the last half of 2011 of US Big Corps with October, November and December 2011 quarter ends is predominantly due to US Congressional Republican action and inaction in purposefully putting the breaks on the US economy and on US job creation, in an attempt to get President Obama voted out of office in November 2012. It's all about protecting the "dollars over decency" philosophy of the 1%.

These US Congressional Republicans have flat out wreaked havoc on the US economy in the last half of 2011, due to their irresponsible actions in both the Grand Bargain Talks Collapse with the Obama Administration and, in the horrific Debt Ceiling Negotiations, which even resulted in the highly embarrassing US Debt Downgrade by Standard and Poors.

And then these US Congressional Republicans piled on by recalcitrantly rejecting on arrival the American Jobs Act, which had some awfully powerful US job creation initiatives, particularly the substantial US infrastructure investments.

When one party purposely acts in such a destructive manner to the US economy and to the 99%, the proper thing that should happen is that every US Republican Congressmen acting in such an unpatriotic manner should immediately resign from Congress, due to their massive harm to the country.

Unfortunately, this isn't going to happen. Thus, there is nothing that the 99% can do now, until they vote in November 2012, except to take to the Streets and protest against these economic injustices.

And it is only logical that key targets of these peaceful protests should include wisely selected US Big Corp executive offices all over the country, and specifically focusing on US Big Corps, which have generated substantial profit increases in the past couple of years, but yet very minor increases in their US full-time payroll counts, and in many cases, even reductions in their US full-time payroll counts, over those same couple of years.

And the 2012 Annual Stockholders' Meeting, usually held in the Spring, when the weather will be much better, would also be a very effective venue for these protests against US Big Corp "Dollars over Decency".

I think a Very Simple Sign something like this one would be most effective.

Front Side in Huge Bold Letters:
.....US Big Corp Name
.....Profit Increase 2009 to 2011

Back Side also in Huge Bold Letters:
.....US Big Corp Name
.....# of US Full-Time Employees Change 2009 to 2011
...........or to simplify....."US Full-Time Jobs Added or Slashed"

In addition, key targets should also include the many far right-wing US Republican Congressmen, K Street and other lobbyists for the 1%, far right-wing State Governors, the many far-right wing State Congressmen, and even the extreme right-wing majority of the US Supreme Court.

Big US National/Regional Banks 4Q 2011 Earnings: Down 7% and Low Quality

2012-01-26T13:25:00.000-08:00

In my most recent post, I reported that the Largest Big Nine US Financial Corps, with Pretax Income of more than $1 bil in either the 4Q 2011 or the 4Q 2010, registered a solid 4Q 2011 Total Pretax Earnings increase of 15%, but with very low quality earnings, due mainly to the substantial reduction in Provision for Credit Losses recorded in the 4Q 2011 as compared with the prior year's quarter. These Big Nine are:

Bank of America
Wells Fargo
JPMorgan Chase
Citigroup
Morgan Stanley
Goldman Sachs
GE Capital Services
US Bancorp
American Express

In this post, I am focusing on the large US National and Regional Banks that are a bit smaller than the above nine mega US banks.

I found 19 of these banks, with Pretax Earnings or Losses of at least $100 mil each in either the 4Q 2011 or in the 4Q 2010, which have already reported their 4Q 2011 earnings. There were two other ones, California HQed UnionBanCal and Oklahoma HQed BOK Financial, which probably would have made this earnings threshold, but they haven't reported their 4Q 2011 earnings yet, and thus weren't included below. Instead, they were included later at the very bottom of this post.

How did they do? Well, not so hot. These 19 Banks had a Total Pretax Earnings Decrease of 7% in the 4Q 2011. Here they are, along with their 4Q 2011 Pretax Earnings (PTI):

.............................................4Q............4Q..........Increase
...........................................2011.........2010......(Decrease)
............................................PTI.........PTI(L)....Amount......%
...........................................(in millions of dollars)......

PNC Financial(1).........PA....838...........961.........(123).....-13%
Bank NY Mellon..........NY...689...........970.........(281).....-29%
Capital One Financial..VA....571........1,032.........(461).....-45%
State Street Corp........MA....532...........252..........280......111%
BB&T..........................NC....484...........232..........252......109%
Fifth Third Bancorp....OH....418...........417..............1........0%
Key Corp....................OH....276...........508.........(232).....-46%
M&T Bank...................NY...203...........307.........(104).....-34%
Regions Financial(2)...AL....190...........111............79.......71%
NY Community Banc..NY....181...........231..........(50).....-22%
Northern Trust............IL....171...........214..........(43).....-20%
Huntington Banc.........OH....169...........158............11........7%
SunTrust Banks...........GA....143...........238..........(95).....-40%
First Republic Bank.....CA....141...........127............14.......11%
Zions Bancorp............UT....137...........(96).........233......243%
Comerica....................TX....129...........126..............3........2%
East West Bancorp......CA....103............86............17.......20%
Hudson City Banc(3)...NJ.....93...........200.........(107).....-54%
Synovus Financial......GA.....27..........(160).........187......117%

Total all 19......................5,495.........5,914.........(419)......-7%

(1) PNC Financial 2011 PTI excludes Charge from Redemption of Trust Preferred Securities. Its 2010 PTI excludes Gain on Sale of BlackRock Shares.
(2) Regions Financial 2011 PTI excludes Goodwill Impairment Charge.
(3) Hudson City Bancorp 2011 PTI excludes Loss on Debt Extinguishment.

Well it's bad enough that the Total Pretax Earnings of these 19 US Big National/Regional Banks decreased by 7%, or by $419 mil, in the most recent quarter over the prior year's quarter. But it gets much worse.

Of these 19 Banks, 13 of them had very puzzling Reduction in Loan Loss Provision Charges in the 4Q 2011 as compared to that recorded in the 4Q 2010, and some of these reductions are just huge.

These 13 Banks had a Total Reduction in Loan Loss Provision Charges to Earnings of a massive $1,825 mil in the 4Q 2011 as compared to 4Q 2010, and even with the huge resultant $1,825 mil increase in Pretax Income from this accounting action, all 19 combined had their Total Pretax Income drop by $419 mil in the 4Q 2011 vs. the 4Q 2010.

Here are the 13 Big US National/Regional Banks with Reductions in their Provision for Credit Losses in the 4Q 2011 vs. 4Q 2010:

..................................Provision for Credit Losses
................................4Q 2011...4Q 2010...Decrease
....................................(millions of dollars)

Regions Financial........295..........682.........(387)
BB&T...........................272..........643.........(371)
PNC Financial..............190..........442.........(252)
Synovus Financial.........55..........252.........(197)
SunTrust Banks...........327..........512.........(185)
Zions Bancorp...............(1).........173.........(174)
Fifth Third Bancorp.......55..........166.........(111)
Huntington Banc...........45............87..........(42)
Comerica......................19............57..........(38)
Northern Trust.............13............40..........(27)
Hudson City Banc.........25............45..........(20)
M&T Bank.....................74............85..........(11)
East West Bancorp........20............30..........(10)

Total all 13...............1,389.......3,214.......(1,825)

So the 99%ers, including US small businesses, who these 13 Big US Banks are making much of their profits from, have their financial status mostly deteriorate substantially in the past year, and these 13 Big Banks react to this by making just the opposite assessment, by reducing their Total Loan Loss Charges on their books by $1.8 bil. I call that pouring salt on the open wounds of the 99% bank customers. And then they pour additional salt on the wounds of the 99% by "dollars over decency" adamantly refusing to reduce the principal balance of underwater homeowner mortgages.

Something just doesn't seem right here. The Occupy Movement all throughout the country, and all of their 99% supporters, including many small businesses, are spot on. The deck is stacked against them, the Big Corps are continually dealing from the bottom of the deck, and the US Government, specifically the US Congressional Republicans, the "dollars over decency" advocates, facilitate this patently unfair process, which is destroying the fabric of the US Democracy.

=======================================

Late Additions Feb 1, 2012

.............................................4Q............4Q..........Increase
...........................................2011.........2010......(Decrease)
............................................PTI.........PTI(L)....Amount......%
...........................................(in millions of dollars)......

UnionBanCal..............CA....165...........221..........(56).....-25%
BOK Financial............OK....105............90............15.......17%

Big Eleven US High Tech Corps: 4Q 2011 Earnings Up 21%, but it's all Apple (Part One)

2012-01-24T13:39:00.004-08:00

There are eleven US Big Technology Corps which have Pretax Income above $1 bil in either the 4Q 2011 or the 4Q 2010.

Of these eleven, seven had December 2011 quarter ends, and four of them had either October or November 2011 quarter ends.

Qualcomm would also be included, since its Pretax Income in the December 2010 quarter exceeded $1.3 bil, but it will not be releasing its December 2011 quarterly earnings until February 1, 2012. Thus, it is not included with the below 11.

The Total Pretax Income growth for these 11 Big US Technology Corps increased by a very robust 21% in the 4Q 2011. However, excluding Apple's blowout earnings growth, the remaining 10 had their 4Q 2011 Total Pretax Income drop by 2%.

I think you'll see this 4Q 2011 21% earnings growth drop markedly in the 1Q 2012, mainly due to 100% first-year tax expensing of US equipment purchases dropping in half in 2012.

It's pretty clear that the US economy critically needs major US Government incentives, including wisely designed US federal income tax ones, to entice Apple to insource to the US a good chunk of its overseas manufacturing. And the same can be said of all of US Big Tech, and also all of Big US Broad-Based Manufacturing Corps.

I don't buy US Big Multinational Manufacturing Corps whining about their not hiring US workers because they aren't skilled. That's inaccurate, very selfish, "dollars over decency", and frankly unpatriotic, in these just horrible US job depression times, where so many are unemployed, where those having full-time jobs are not paid fairly, and where the best job growth is for jobettes, where the pay is extremely low, and the employee benefits even lower.

And so what are all Republican Presidential Candidates proposing to deal with this horrible US job depression? A National Right to Work for Less Program, mirrored after the State of Indiana's present initiative orchestrated by its far right-wing legislature and its Governor, which has thrown the entire State of Indiana into absolutely bitter, dysfunctional chaos.

I think these US Multinational Corps are substantially understating the present skill set of US workers, and also substantially understating how quickly these workers will be able to step up their skill set to be able to add substantial value to the products manufactured.

Also, when you look at it historically, in the heyday of US Manufacturing, US Manufacturers trained their US workers. They didn't expect the US Government to pay for this training. These Corps took the lead here, hired workers, and trained them.

Further, from much research I performed on the unremitted foreign earnings of US Big Multinational Corps, in the Clinton Presidential years and before, the extent of US Big Corps shipping jobs overseas was a drop in the bucket as compared to what has happened in the 2000 decade.

Below here are the 4Q 2011 Pretax Earnings of these 11 US Big Technology Corps, along with that earned in the prior year's 4Q.

..........................................4Q............4Q..........Increase
........................................2011.........2010......(Decrease)
.......................................PTI(L)......PTI(L).....Amount......%
........................................(in millions of dollars)......
Big Eleven US Tech
Ones With Dec 11 Quarters
Apple............................17,477.......7,963......9,514....119%
Microsoft........................8,239.......8,497........(258)....-3%
IBM................................7,274.......6,956..........318......5%
Intel...............................4,587.......4,163..........424.....10%
Google............................3,489.......3,142..........347.....11%
EMC................................1,048.........909..........139.....15%
Texas Instruments(1)........349.......1,104........(755)...-68%
Total all 7.....................42,463.....32,734......9,729.....30%

Ones With Oct & Nov 11 Quarters
Oracle............................2,960.......2,646.........314.....12%
Hewlett Packard(2).........2,310.......3,214.......(904)...-28%
Cisco Systems.................2,245.......2,425.......(180)....-7%
Dell................................1,072.......1,076...........(4).....0%
Total all 4.......................8,587.......9,361.......(774)....-8%

Grand Total all 11.........51,050.....42,095......8,955.....21%

(1) Texas Instruments 2010 PTI excludes gains on asset sales.
(2) Hewlett Packard 2011 PTI excludes asset impairment charge, winding down Web OS device business charge, and acquisition foreign currency exchange risk charge.

================================

Late Addition February 2012

..........................................4Q............4Q..........Increase
........................................2011.........2010......(Decrease)
.......................................PTI(L)......PTI(L).....Amount......%
........................................(in millions of dollars)......

Qualcomm......................1,721.......1,470..........251.....17%
Cisco Systems(A)...........2,749.......1,730........1,019.....59%

(A) Cisco Systems released these Quarter Ended Jan 28, 2012 very robust earnings numbers on February 8, 2012.

Big Nine US Financial Corps: 4Q 2011 Earnings Up 15%, but Low Quality

2012-01-20T07:22:00.000-08:00

There are 9 US Big Financial Corps with December year ends and with annual pretax earnings north of $5 bil in either 2011 or 2010. Visa, which earned $5.7 bil in its most recent year, wasn't included below because it has a September fiscal year end. Also, Visa won't be releasing its December 2011 earnings until early February 2012.

For the 4Q 2011, the Total Pretax Income of these 9 US Big Financial Corps was up 15%, a deceleration from the earnings growth of every quarter of the last several years.

Below here is the Pretax Income (PTI) or Pretax Loss (PTL) of each of these 9 US Big Financial Corps for the 4Q 2011, and as compared with the 4Q 2010.

..........................................4Q............4Q..........Increase
........................................2011.........2010......(Decrease)
.......................................PTI(L)......PTI(L).....Amount......%
........................................(in millions of dollars)......

Wells Fargo....................6,057........5,165.........892......17%
JP Morgan Chase............4,747........7,012....(2,265)....-32%
Bank of America(1).........3,013.......(1,595)....4,608.....289%
US Bancorp.....................1,855........1,271.........584......46%
American Express..........1,748........1,477.........271......18%
GE Capital Services.........1,720..........896..........824......92%
Citigroup........................1,364........1,060.........304......29%
Morgan Stanley(2)..........1,285........1,191...........94........8%
Goldman Sachs...............1,247.......3,474.....(2,227)....-64%

Total all 9.....................23,036......19,951......3,085.......15%

(1) Bank of America 2011 and 2010 PTI(L) both exclude Goodwill Impairment Charges.
(2) Morgan Stanley 2011 PTI excludes Loss related to MBIA Settlement.

Frankly, I think this 15% 4Q 2011 total earnings growth of these Big 9 Financial Corps is remarkable, given not just the European financial crisis, but just as important, given how the US Congressional Republicans have flat out wreaked havoc on the US economy in the last half of 2011, due to their irresponsible actions in both the Grand Bargain Talks Collapse with the Obama Administration and, in the horrific Debt Ceiling Negotiations, which even resulted in the highly embarrassing US Debt Downgrade by Standard and Poors. And then these US Congressional Republicans piled on by recalcitrantly rejecting on arrival the American Jobs Act, which had some awfully powerful US job creation initiatives, particularly the substantial US infrastructure investments.

But you have to just shake your head at the quality of this 15% total earnings growth for two main reasons.

First, included in Bank of America's 4Q 2011 earnings was a $2.9 bil gain on sale of China Construction Bank shares and a $1.2 bil gain on exchange of trust preferred securities.

And second, and much more substantively, of these 9 Financial Corps, 6 had huge reductions in their Provision for Credit Losses, which totaled $6.6 bil, more than double the total increase in the total Pretax Earnings of $3.1 bil of all of the Big 9 Financial Corps.

Here are these reduced Provision for Credit Losses:

...............................4Q 2011...4Q 2010.....Decrease
..................................(millions of daollars)

Bank of America.......2,934........5,129......(2,195)
Citigroup..................2,874.......4,840......(1,966)
Wells Fargo..............2,040........2,989........(949)
JP Morgan Chase......2,184........3,043........(859)
US Bancorp.................497...........912........(415)
GE Capital Services..1,095.........1,352........(257)

Total all 6...............11,624.......18,265......(6,641)

The Occupy Movement has to be incensed at this assessment by these 6 Big Financial Corps that the credit status of their customers has substantially advanced like this in the past year. The 99% isn't feeling this same increased financial status at all.

This just shows that it is not just Mitt Romney, but also the 1% Big Financial Corps, that are completely out-of-touch with the financial status of the 99%, who are their customers.

And the Occupy Movement has to also be incensed that these greedy Big Financial Corps continue to refuse to write down the principal balance of underwater mortgages, even though they played a major role is causing this massive underwater mortgage situation, which is wreaking havoc on the US economy and US job creation. And the US Government bailed them out after they totally wrecked the US economy.

As long as their accounting is not fraudulent, these Big Financial Corps would not have much in the way of an earnings charge from going the patriotic route and responsibly writing down loan principal balances of the underwater mortgages they hold, because the related Credit Loss Provision should have already been recorded on their books, since US Generally Accepted Accounting Principles already require it, for a substantial portion of the total amounts of these underwater mortgage amounts.

And what is Republican Presidential Candidate Mitt Romney's solution to solving the horrible underwater mortgage mess? Let the underwater homeowner drown, he proclaims.

Also, these massive reductions in Provision for Credit Losses in the past several years reveal the extent of the massive pullback in loans, except to almost risk-free borrowers, by these incredibly greedy Big Financial Corps. Small businesses unable to obtain loans at a reasonable interest rate have to be incensed. This freezing up of the loans to small businesses by these Big Financial Corps have wreaked havoc on the US economy and on US job creation.

And these Big Financial Corps are not making these loans to small businesses even though the US Government has provided funding to them at incredibly low interest rates, very close to zero percent.

And the Occupy Movement has to be just incensed with the massive across-the-board profit increases subsequent to the financial meltdown of nearly all of the Big Financial Corps, driven in part by the sky-high interest rates and late fees charged on credit cards loans made to the 99%.

But something needs to be said about the extent of the common stock buybacks, and other financial engineering occurring here.

JP Morgan Chase had the following operating results for annual 2011 and 2010:

Pretax Income in annual 2011 of $26,749 mil, up 7.6%
Net Income in annual 2011 of $18,976 mil, up 9.2%
Earnings Per Share in annual 2011 of $4.48, up 13.1%

So what going on with the favorable spread between these growth rates?

Well, like just about every other US Big Corp, JP Morgan Chase is using tax strategy to continually reduce its effective income tax rate, thus its Net Income grows more quickly than its Pretax Income.

But look of the huge spread on the Net Income growth vs. the Earnings Per Share growth.

That's caused by common stock buybacks, which the US Government is financing by letting JP Morgan Chase borrow money from them at nearly zero percent.

These common stock buybacks reduce the number of common shares outstanding and thus increase EPS.

And EPS is what drives stock prices and the majority of the high level executive compensation.

How extensive were JP Morgan Chase stock buybacks?

Well, in 2010, they were $2.3 bil.

JP Morgan hasn't disclosed its cash flow statement for annual 2011, but for just the first 9 months of 2011, its common stock buybacks totaled $8.0 bil. I'm not kidding.

On March 18, 2011, JP Morgan Chase's Board of Directors approved a massive $15.0 bil of common stock buybacks, $8.95 bil of which could be made in 2011.

And it's not just JP Morgan Chase.

US Bancorp's Pretax Income for annual 2011 was $6,628 mil, an increase of a huge 58% over 2010. So they are getting this massive earnings increase from the 99% and from the US Government by near zero interest rate borrowing, but how have they shared this incredible financial largesse with the 99%? Well, they haven't. They still refuse to reduce the principal balances of their underwater mortgages.

Citigroup's Pretax Income for annual 2011 was $14,899, a 13% increase over 2010. So they are getting this very nice earnings increase from the 99%, including from unreasonably high interest rate and late charge fees on credit card loans, and from the US Government by near zero interest rate borrowing, but how have they shared this incredible financial largesse with the 99%? Well, they haven't. They still refuse to reduce the principal balances of their underwater mortgages or to lower their sky-high credit card interest rates and late fees.

GE Capital Services' Pretax Income for annual 2011 was $7,452 mil, up a massive 264% from the $2,048 mil earned in 2010. A substantial portion of this massive earnings increase was from the 99%, including small businesses. Also, the US Government has substantially helped GE Capital Services by providing an extremely low interest rate cost of funding. In return, what has GE done to help the 99% and the US Government? They haven't done anything. Not only have they shed thousands of US jobs, they also haven't paid any US federal income taxes in total for many years.

American Express' 2011 annual Pretax Income was $6,956 mil, a robust 17% increase over 2010, driven by very high credit card fees and interest rates charged, both on the 99%, including small businesses. Its 2011 annual Net Income was $4,899 mil, up an even more robust 21% over 2010. This higher after-tax Net Income percentage growth was caused by shrewd income tax engineering.

San Francisco-based Visa's year ended September 2011 Pretax Income was $5,656, up a very strong 22% over the prior year, driven by extremely high interest rates and late payment fees on their credit card loans, substantially with the 99%. Visa's Earnings Per Share growth was an even higher 29% in 2011, due to its substantial stock buyback program. In 2010, it paid $1.0 bil on stock buybacks. This was doubled in 2011 to $2.0 bil.

And lastly, San Francisco-based Wells Fargo's Pretax Income for annual 2011 was $23,656 mil, an increase of 24% over 2011. Its Net Income for annual 2011 was $15,869 mil, a much higher increase of 28%. Why the spread? It's all about shrewd, clever-by-half income tax engineering.

On March 18, 2011, Wells Fargo's Board of Directors authorized an additional 200 mil common shares to be repurchased, which at the current stock price of Wells Fargo, would amount to more than $6 bil of stock buybacks authorized.

And the 1% want to know why the Occupy Wall Street Movement has been so intense? And also why the volume of this protest has been raised up so much on the West Coast?

4Q 2011 Earnings: Very Early Insight…..Clear Earnings Growth Deceleration

2012-01-18T13:28:00.000-08:00

There were 72 US Big Corps, with earnings or losses of at least $100 mil each in their October or November quarters of either 2011 or 2010, which have released their October or November 2011 quarterly earnings.

From a review of them, the clear conclusion is a significant earnings growth deceleration from the previous year’s quarter.

These 72 US Big Corps had their 4Q 2011 Total Pretax Earnings almost precisely equal to that of the prior year's quarter.

If this is what’s happening to the US largest corporations, which have been both dramatically and continually “propped up” by both US Government and Fed actions, I can just imagine how badly many of the neglected US small businesses have done on the earnings front in the most recent quarter.

The many very astute Occupying Protesters on Wall Street and around the globe know that this significant US earnings growth deceleration is mainly "on the Republicans" in both the US House and in the US Senate, for mainly two reasons.

First, the Republican Congress severely damaged the US economy due to their irresponsible actions in both the Grand Bargain Talks Collapse with the Obama Administration and, in the horrific Debt Ceiling Negotiations, which even resulted in the highly embarrassing US Debt Downgrade by Standard and Poors.

And second, and even more importantly, the Republican Congress wreaked havoc on both the US economy and US job creation by recalcitrantly and unpatriotically rejecting on arrival the American Jobs Act, which had some awfully powerful US job creation initiatives, particularly the substantial US infrastructure investments.

Below here are these 72 US Big Corps, as well as their Pretax Income (PTI) or Pretax Loss (PTL) for the 4Q 2011 and 4Q 2010 quarters, sorted by Pretax Earnings size.

.........................................4Q.........4Q....Increase (Decrease)
.......................................2011......2010......Amount.....%
........................................(millions of dollars)

Walmart.........................5,343.....5,095.........248.......5%
Oracle............................2,960.....2,646.........314......12%
Hewlett Packard(1).........2,310.....3,214.......(904)....-28%
Cisco Systems................2,245.....2,425........(180).....-7%
Home Depot...................1,457.....1,306.........151......12%
Dell................................1,072.....1,076..........(4).......0%
Deere.............................1,057........750........307......41%
Medtronic(2).................1,053......1,031..........22........2%
Accenture........................993.........845.........148......18%
Walgreens........................883.........921.........(38)......-4%
Target..............................857........773...........84......11%
Mosaic(3)........................855.........621..........234......38%
Discover Fincl Svcs..........818.........585..........233.....40%
FedEx..............................777........437..........340.....78%
TJX..................................664.........597...........67......11%
General Mills....................630.........741........(111)....-15%
Nike.................................618.........609.............9........1%
Costco..............................553........504...........49......10%
CHS..................................531.........231.........300....130%
Staples.............................490.........462...........28........6%
Campbell Soup.................388.........414..........(26)....-6%
Bed Bath & Beyond...........356.........307...........49......16%
Lowes(4)..........................352.........651........(299)....-46%
Applied Materials.............344.........703.......(359)....-51%
Kohls................................340.........277..........63......23%
GAP..................................325.........502.......(177)....-35%
Kroger..............................305.........304............1........0%
Autozone..........................302........269...........33......12%
Agilent Technologies........293.........243...........50......21%
HJ Heinz...........................293.........347.........(54)....-16%
Joy Global........................286.........222...........64......29%
Navistar...........................275...........56..........219....391%
Dollar General..................272.........199...........73......37%
Apollo Group...................263.........406........(143)....-35%
ConAgra Foods.................251.........298.........(47)....-16%
Brown Forman..................239.........229..........10........4%
Adobe Systems.................233.........286.........(53)....-19%
Analog Devices.................231.........288.........(57)....-20%
Ross Stores.......................221.........194...........27......14%
Paychex...........................219.........205...........14........7%
Nordstrom.......................209.........190...........19......10%
Carnival...........................209.........255.........(46).....-18%
Nvidia..............................205.........104..........101.....97%
Best Buy...........................204.........373........(169)...-45%
Monsanto.........................204...........24.........180....750%
Marvell Technology..........199.........257.........(58)....-23%
JM Smucker......................193.........222.........(29)....-13%
SAIC(5).............................186.........240.........(54)....-23%
NetApp.............................184.........202.........(18)......-9%
Macy's(6)..........................183...........52.........131.....252%
Hormel Foods...................180.........188...........(8)......-4%
Smithfield Foods...............174.........205.........(31)....-15%
Constellation Brands.........167.........192.........(25)....-13%
PVH..................................165.........137..........28......20%
Dollar Tree........................164.........145..........19.......13%
Jabil Circuit......................143.........135............8.........6%
Tiffany..............................136...........85...........51......60%
CarMax.............................133.........133............0........0%
Family Dollar Stores.........128.........118...........10........8%
Limited Brands.................122.........102...........20.....20%
Cintas...............................115...........91...........24......26%
Foot Locker......................105..........73...........32......44%
Urban Outfitters.................75.........106.........(31)....-29%
Darden Restaurants............73.........103.........(30)....-29%
Jefferies Group...................71.........124.........(53)....-43%
Intuit................................(98).......(111)..........13......12%
Hovnanian Enterpris(7)..(109).......(132)..........23......17%
Toys R Us........................(179).......(218)..........39......18%
Micron Technology(8).....(189)........131........(320)..-244%
H&R Block.......................(204).......(184)........(20)....-11%
JC Penney(9)...................(226)..........67........(293).-437%
Sears Holdings.................(523).......(362).......(161)...-44%

Total all 72...............34,353....34,316..........37.......0%

(1) Hewlett Packard 2011 PTI excludes asset impairment charge, winding down Web OS device business charge, and acquisition foreign currency exchange risk charge.
(2) Medtronic 2010 PTI excludes special litigation charge.
(3) Mosaic 2010 PTI excludes gain on sale of equity investment.
(4) Lowes 2011 PTI includes large store closing charges.
(5) SAIC 2011 PTI excludes City Time loss provision.
(6) Macy's 2010 PTI excludes loss on debt retirement.
(7) Hovnanian Enterprises 2011 PTI excludes gain on debt extinguishment.
(8) Micron Technology 2010 PTI excludes both Samsung patent cross-license agreement gain and loss on debt extinguishment.
(9) JC Penney 2011 PTI includes restructuring charges.

And to give a better understanding how major industries were impacted in the 4Q 2011 by the US Republican irresponsibly inappropriate actions on the US economy, which severely hurt US consumer confidence, caused a dramatic increase in business uncertainty, and put clear downward pressure on US job creation, below here are these 72 US Big Corps, as well as their Pretax Income (PTI) or Pretax Loss (PTL) for the 4Q 2011 and 4Q 2010 quarters, sorted by major sectors.

.........................................4Q.........4Q....Increase (Decrease)
.......................................2011......2010......Amount.....%
........................................(millions of dollars)

Technology
Oracle............................2,960.....2,646.........314......12%
Hewlett Packard........2,310.....3,214.......(904)...-28%
Cisco Systems................2,245.....2,425........(180).....-7%
Dell................................1,072.....1,076..........(4).......0%
Accenture.........................993........845.........148......18%
Applied Materials.........344.......703.......(359)...-51%
Agilent Technologies........293........243...........50......21%
Adobe Systems.................233........286..........(53)....-19%
Analog Devices.................231........288..........(57)....-20%
Paychex...........................219........205............14........7%
Nvidia..............................205........104..........101......97%
Marvell Technology..........199........257..........(58)....-23%
SAIC.................................186........240..........(54)....-23%
NetApp.............................184........202..........(18).....-9%
Jabil Circuit......................143........135.............8........6%
Intuit................................(98)......(111)...........13......12%
Micron Technology...(189).......131.......(320)..-244%
Total Technology...11,530...12,889.....(1,359)...-11%

Retail
Walmart........................5,343.....5,095.........248........5%
Home Depot..................1,457.....1,306..........151......12%
Walgreens........................883........921..........(38).....-4%
Target..............................857........773...........84......11%
TJX..................................664........597...........67......11%
Costco..............................553........504...........49......10%
Staples.............................490........460...........28........6%
Bed Bath & Beyond...........356........307...........49......16%
Lowes.............................352.......651.......(299)....-46%
Kohls...............................340........277...........63......23%
GAP................................325.......502.......(177)....-35%
Kroger.............................305........304............1........0%
Autozone.........................302........269..........33.......12%
Dollar General..................272........199...........73......37%
Ross Stores.......................221........194...........27......14%
Nordstrom.......................209........190...........19......10%
Best Buy........................204.......373.......(169)....-45%
Macy's..............................183.........52..........131.....252%
Dollar Tree.......................164........145...........19......13%
Tiffany..............................136.........85...........51......60%
CarMax.............................133........133............0........0%
Family Dollar Stores.........128........118...........10........8%
Limited Brands.................122........102...........20......20%
Foot Locker......................105.........73...........32......44%
Urban Outfitters.................75........106..........(31)....-29%
Darden Restaurants............73........103..........(30)....-29%
Toys R Us........................(179)......(218)..........39......18%
JC Penney....................(226)........67.......(293)..-437%
Sears Holding..............(523).....(362)......(161)....-44%
Total Retail...............13,324...13,328..........(4)......0%

Manufacturing
Deere............................1,057......750........307.....41%
Mosaic............................855.......621........234.....38%
General Mills.....................630.......741........(111)....-15%
Campbell Soup..................388........414.........(26)......-6%
HJ Heinz...........................293........347.........(54)....-16%
Joy Global........................286........222..........64......29%
Navistar.........................275.........56.........219...391%
ConAgra Foods..................251.......298.........(47)....-16%
Brown Forman..................239........229..........10........4%
Monsanto......................204.........24........180...750%
JM Smucker......................193........222.........(29)....-13%
Hormel Foods...................180........188..........(8)......-4%
Smithfield Foods...............174........205.........(31)....-15%
Constellation Brands.........167........192.........(25)....-13%
Total Manufacturing..5,192...4,509.......683.....15%

Other Sectors
Medtronic......................1,053.....1,031..........22........2%
Discover Fincl Svcs......818.......585........233.....40%
FedEx.............................777.......437........340.....78%
Nike..................................618.......609............9........1%
CHS.................................531.......231........300....130%
Apollo Group....................263.......406.......(143)....-35%
Carnival............................209.......255.........(46)....-18%
PVH..................................165.......137..........28......20%
Cintas...............................115.........91...........24......26%
Jefferies Group...................71.......124.........(53)....-43%
Hovnanian Enterprises...(109).....(132)..........23......17%
H&R Block......................(204).....(184)........(20)....-11%
Total Other Sectors..4,307...3,590........717......20%

Total all 72.................34,353....34,316..........37.......0%

As you can see from the above, the US Congress needs to act to provide more incentives to the Technology sector in order to foster both economic growth and job creation there.

It amazes me how so many pundits have been so elated by the December 2011 US job data of the US Bureau of Labor. When you examine the detail of the 212,000 private sector US jobs added in the month of December 2011, more than half of them are "jobettes", driven by increases in courier and messenger service jobettes (up 42,000), retailing jobettes (up 28,000), leisure and hospitality jobettes (up 21,000), and numerous jobettes in many other sectors.

The US Government, as well as State and Local Governments, need to do a much better job of getting US Big Corps, and all US businesses, to move many of their jobettes to the full-time real job category. Many in the Occupy Movement have undesirable "jobettes" and this issue is particularly important to them.

Even though the earnings of these 72 US Big Corps, reporting on their October and November 2011 quarterly results, are flat, I think you'll see substantially better earnings results for the December 2011 reporting companies for several reasons.

First, Big Oil will again rock, and nearly every one of them have December 2011 quarters.

Second, most of Big Financial will also again rock, and nearly every one of them have December 2011 quarters.

And third, the 100% first-year tax expensing of equipment purchases ends on December 31, 2011, and thus there should be a huge pick up of equipment purchases in the month of December 2011. That should particularly benefit technology and manufacturing companies.

On the downside, I think you'll see GDP growth be much more modest in the 1Q 2012 than in the 4Q 2011 because the 100% first-year tax expensing drops in half in 2012.

I think the economists have it all wrong in their emphasis on the economically explosive nature of extending the payroll tax holiday. I think its impact on GDP growth is minor, and it does absolutely nothing for US job creation. Just throwing money into the US economy in an untargeted manner like this is just horrible economic policy. Both parties should be embarrassed by pushing this initiative, just for the sake of getting votes in the November 2012 election.

What drives US GDP growth and US Big Corp earnings is the 100% first-year tax expensing of equipment purchases. However, the major problem with it is that it also reduces US jobs significantly due to the technological advances resulting in people being replaced by machines. It clearly and substantially increases the wealth gap between the 1% and the 99%, and the Occupy Movement should focus like a laser on every person in the US Congress who supported its passage, and are now pushing for it again, reacting to pressure from US Big Corp lobbyists.

========================

Late Addition

.........................................4Q.........4Q....Increase (Decrease)
.......................................2011......2010......Amount.....%
........................................(millions of dollars)

McCormick.......................178.......174..............4........2%

US Big Corps: Spectacular Earnings Growth But Lackluster Jobs Added (Part Two)

2012-01-13T10:55:00.000-08:00

In a recent post, from a review of SEC filings, I found 102 US Big Corps, which have Pretax Income or Loss of more than $500 mil each in any of the most recent three years, which have fiscal year ends from February through November, and which have released their 2011 annual earnings.

My definition of Pretax Income used below excludes various large unusual items, including:

.....Asset Impairments, mainly related to Goodwill and other Intangible Assets
.....Loss and Gains of Early Extinguishment of Debt
.....Acquired In Process Research & Development Charges
.....Gains and Losses on Sales of Assets and Businesses
.....Special Huge Litigation Charges

These 102 US Big Corps had the following Total Pretax Income for the most recent three fiscal year ends (FYEs):

FYEs Feb 2011/Nov 2011..$256,081 mil (up 22% over FYE 2010)
FYEs Feb 2010/Nov 2010..$210,671 mil (up 35% over FYE 2009)
FYEs Feb 2009/Nov 2009..$155,688 mil

Thus, Total Pretax Income of $256,081 mil for FYEs Feb 2011/Nov 2011 was up a very robust 64% over that of $155,688 mil for FYEs Feb/Nov 2009, just two years earlier.

The Total Earning Per Share (EPS) growth of these 102 US Big Corps for this two-year period will be markedly higher than 64%, due both to the widespread use of much lower effective income tax rates over time by US Big Corps, and also to the massive and increasing use of common stock buybacks by US Big Corps, which substantially increase EPS, particularly in these extremely low interest rate times.

Now in this post, I am turning my attention to the much larger category of US Big Corps with December and January FYEs. These US Big Corps haven't filed their annual financial statements for the year ended December 2011 or January 2012 yet. Thus, the information below is just for the years ended December 2010 and 2009, and for the years ended January 2011 and 2010. When these US Big Corps file their current annual financial statements with the SEC, I'll with then update this key information contained below in this post.

I found 332 US Big Corps with either December or January FYEs, with Pretax Income of Loss of more than $500 mil each in either 2010 or 2011, and which have more than a small number of employees.

I have included in these 332, a handful of US Big Corps HQed in Foreign Jurisdictions, including both Royal Dutch Shell and BP, because their US operations are so huge.

Because there are so many of these US Big Corps and also because of ease of preparing and viewing the information, I'll will first present an Abbreviation Legend for each of these 332 US Big Corps. These US Corp Abbreviations will be used in the various charts below.

1STD First Data
AA Alcoa
AAP Advance Auto Parts
ABT Abbott Labs
ACE ACE Ltd
AES AES
AET Aetna
AFL AFLAC
AGN Allergan
AIG AIG
AIZ Assurant
ALL Allstate
ALLY Ally Financial
ALTR Altera
AMD Advanced Micro Devices
AMGN Amgen
AMP Ameriprise Financial
AMR AMR
AMT American Tower REIT
AMZN Amazon.com
AON AON
APA Apache
APC Anadarko Petroleum
APH Amphenol
ARW Arrow Electronics
ATVI Activision Blizzard
AVP Avon Products
AXAE AXA Equitable Life Insurance US
AXAF AXA Financial US
AXP American Express
BA Boeing
BAC Bank of America
BAX Baxter
BBT BB&T
BC Brunswick
BCR CR Bard
BG Bunge Ltd
BHI Baker Hughes
BIIB Biogen IDEC
BK Bank of NY Mellon
BLK BlackRock
BLL Ball Corp
BMY Bristol Myers Squibb
BP BP
BRCM Broadcom
BRKA Berkshire Hathaway
BSX Boston Scientific
BTU Peabody Energy
BX Blackstone Group
C Citigroup
CAES Caesars Entertainment
CAM Cameron Intl
CNA CNA Financial
CAT Caterpillar
CB Chubb
CBE Cooper Industries
CBS CBS
CCMO Clear Channel Communications
CE Celanese
CELG Celgene
CEPH Cephalon
CF CF Industries
CHK Chesapeake Energy
CHRW CH Robinson
CI Cigna
CIT CIT Group
CL Colgate Palmolive
CLF Cliffs Natural Resources
CMCSA Comcast
CME CME Group
CMI Cummins
CNX CONSOL Energy
COF Capital One Financial
COP ConocoPhillips
CRYS Chrysler
CSE CapitalSource
CSX CSX
CTL CenturyLink
CTSH Cognizant Technologies
CVC Cablevision Systems
CVH Coventry HC
CVS CVS Caremark
CVX Chevron
CYH Community Health Systems
DAL Delta Air Lines
DD DuPont
DELL Dell
DG Dollar General
DGX Quest Diagnostics
DHR Danaher
DISCA Discovery Communications
DISH DISH Network
DLTR Dollar Tree
DOV Diamond Offshore
DOV Dover
DOW Dow Chemical
DPS Dr Pepper Snapple
DTV DirecTV
DVA DaVita
DVN Devon Energy
EBAY Ebay
ECL Ecolab
EMC EMC
EMN Eastman Chemical
EOG EOG Resources
EP El Paso
ERIE Erie Indemnity
ESI ITT Educational Services
ESRX Express Scripts
ESV Ensco Intl
ETFL E*Trade Financial
ETN Eaton
EXCO EXCO Resources
EXPD Expeditors Intl Washington
EXPE Expedia
F Ford
FB Fortune Brands
FCX Freeport McMoran
FIG Fortress Investment
FIS Fidelity National Information Services
FISV Fiserv
FITB Fifth Third Bancorp
FLR Fluor
FLS Flowserve
FNF Fidelity National Financial
FNM Fannie Mae
FRE Freddie Mac
FRSC Freescale Semiconductor
FSLR First Solar
FTI FMC Technologies
GCI Gannett
GD General Dynamics
GE GE
GILD Gilead Sciences
GLW Corning
GM General Motors
GME GameStop
GNW Genworth Financial
GOOG Google
GPS GAP
GPS Genuine Parts
GR Goodrich
GS Goldman Sachs
GWW WW Grainger
HAL Halliburton
HBAN Huntington Bancshares
HCA HCA
HCBK Hudson City Bancorp
HD Home Depot
HES Hess
HIG Hartford Financial Services
HON Honeywell
HSBC HSBC USA
HSBF HSBC Finance Corp
HSIC Henry Schein
HSY Hershey
HUM Humana
IBM IBM
ICE InterContinentalExchange
INTC Intel
IP Intl Paper
IR Ingersoll-Rand plc
ISRG Intuitive Surgical
ITT ITT
ITW IllinoisTool Works
IVZ Invesco Ltd
JCP JC Penney
JNJ JNJ
JNPR Juniper Networks
JPM JPMorgan Chase
JWN Nordstrom
K Kellogg
KBR KBR
KEY Key Corp
KFT Kraft Foods
KKR KKR LP
KMB Kimberly Clark
KO Coca Cola
KR Kroger
KSS Kohls
L Loews
LBZ Lubrizol
LCC US Airways
LH Lab Corp of America
LLL L-3 Communications
LLY Eli Lilly
LMED Liberty Media
LMT Lockheed Martin
LNC Lincoln National
LO Lorillard
LOW Lowe's
LTD Limited Brands
LUV Southwest Airlines
LVS Las Vegas Sands
LYB LyondellBasell
M Macys
M&I Marshall & Ilsley
MA Mastercard
MAR Marriott Intl
MAT Mattel
MCD McDonalds
MCO Moodys
MET MetLife
MGIC MGIC Investment
MGM MGM Resorts
MHP McGraw Hill
MHS Medco Health Solutions
MJN Mead Johnson Nutrition
MMC Marsh & McLennan
MMI Motorola Mobility
MMM 3M
MO Altria Group
MRK Merck
MRO Marathon Oil
MRVL MarvellTechnology
MS Morgan Stanley
MSI Motorola Solutions
MTB M&T Bank
MUR Murphy Oil
NBL Noble Energy
NDAQ Nasdaq OMX Group
NEM Newmont Mining
NEM Noble Corp
NFX Newfield Exploration
NIHD NII Holdings
NLY Annaly Capital Management
NOC Northrop Grumman
NOV National Oilwell Varco
NSC Norfolk Southern
NTRS Northern Trust
NWL Newell Rubbermaid
NYB NY Community Bank
NYX NYSE Euronext
OKE OneOK
OMC Omnicom Group
ORLY O'Reilly Automotive
OXY Occidental Petroleum
PBI Pitney Bowes
PBLX Publix Super Markets
PCAR Paccar
PCLN Priceline
PEP PepsiCo
PFE Pfizer
PGR Progressive Corp
PHM Pulte Group
PM Phillip Morris
PNC PNC Financial Services
PPG PPG Industries
PRU Prudential Financial
PSA Public Storage
PX Praxair
PXD Pioneer Natural Resources
Q Qwest Communications
RAI Reynolds American
RCL Royal Caribbean
RDN Radian Group
RDS Royal Dutch Shell
RF Regions Financial
RIG Transocean Ltd
ROST Ross Stores
RSG Republic Services
RTN Raytheon
S Sprint Nextel
SAI SAIC
SANT Santander Holdngs USA
SCCO Southern Copper
SCHW Charles Schwab
SE Spectra Energy
SHW Sherwin Williams
SIAL Sigma Aldrich
SLB Schlumberger
SLM SLM
SNDK Sandisk
SNI Scripps Networks Interactive
SNV Synovus Financial
SPG Simon Property Group
SPLF Springleaf Finance
SPLS Staples
STI SunTrust Banks
STJ St Jude Medical
STT State Street Corp
SUN Sunoco
SWN Southwestern Energy
SWY Safeway
SYK Stryker
T ATT
TAP Molson Coors Brewing
TEX Terex Corp
TGT Target
TIF Tiffany
TJX TJX
TMO Thermo Fisher Scientific
TROW T Rowe Price
TRV Travelers
TRW TRW Automotive
TWC Time Warner Cable
TWX Time Warner
TXN Texas Instruments
UAL United Continental
UNBC Unionbancal
UNH United Health Group
UNM Unum Group
UNP Union Pacific
UPL Ultra Petroleum
UPS United Parcel Services
URS URS
USB US Bancorp
UTX United Technologies
VFC VF Corp
VLO Valero Energy
VNO Vornado Realty Trust
VZ Verizon
WFC Wells Fargo
WHR Whirlpool
WIN Windstream
WLL Whiting Petroleum
WLP WellPoint
WLT Walter Energy
WM Waste Management
WMB Williams Companies
WMT Walmart
WU Western Union
WY Weyerhaeuser REIT
WYND Wyndham WW
X United States Steel
XEC Cimarex Energy
XOM Exxon Mobil
XRX Xerox
YHOO Yahoo
YUM Yum Brands
ZION Zions Bancorp
ZMH Zimmer Holdings

Below here is the Pretax Income (PTI) or Pretax Loss (PTL) of these 332 US Big Corps for 2010 and 2009 for December year end companies and for 2011 and 2010 for January year end companies.

.............................PTI(L)...........PTI(L)..............PTI(L)
..............................FYE...............FYE...............Increase
...........................Dec 2010......Dec 2009.........(Decrease)
.........................or Jan 2011...or Jan 2010.....Amount.......%
……………………………............(in millions of dollars)

XOM....................52,959...........34,777........18,182......52%
BP.......................36,110...........25,124.........10,986......44%
RDS.....................35,344...........21,020........14,324......68%
CVX....................32,055...........18,528.........13,527......73%
JPM....................24,859...........16,067...........8,792......55%
WMT...................23,538...........22,118...........1,420.......6%
IBM....................19,723...........18,138...........1,585.......9%
BRKA..................19,051...........11,552...........7,499......65%
WFC....................19,001...........17,998...........1,003.......6%
T........................18,238...........18,518............(280).....-2%
JNJ....................16,947...........15,755...........1,192.......8%
INTC..................16,045............5,704.........10,341.....181%
COP...................15,727............9,957...........5,770......58%
VZ.....................14,522...........14,007..............515.......4%
GE.....................14,208............9,995...........4,213......42%
C.......................13,184..........(10,199)........23,383.....229%
GS.....................12,892...........19,829.........(6,937)....-35%
PFE...................12,522...........10,827...........1,695......16%
BAC..................11,077............4,360...........6,717.....154%
GOOG................10,796............8,381...........2,415......29%
PM...................10,324............9,243...........1,081......12%
KO.....................9,709............8,946..............763.......9%
FCX...................8,512............5,816...........2,696......46%
PEP...................8,232............8,019..............213.......3%
F.......................8,002...........(2,115)........10,117.....478%
KKR..................7,852............6,889..............963......14%
OXY..................7,636............5,265...........2,371......45%
UNH.................7,383............5,808...........1,575......27%
MCD.................7,000............6,487..............513.......8%
UTX..................6,538............5,760..............778......14%
LLY..................6,525............6,042..............483.......8%
BMY.................6,299............5,602..............697......12%
MS....................6,202..............983...........5,219.....531%
CMCSA..............6,104............5,106.............998......20%
ABT...................6,027............6,279............(252).....-4%
AXP...................5,964............2,841...........3,123.....110%
MMM.................5,755............4,632...........1,123......24%
GM....................5,737..........(25,659)........31,396.....122%
MO....................5,723............4,877..............846......17%
CVS...................5,629............5,913............(284).....-5%
UPS...................5,523............3,366...........2,157......64%
AMGN...............5,317............5,204..............113.......2%
HD....................5,273............3,982...........1,291......32%
APA..................5,206............3,144...........2,062......66%
MRK..................5,044............4,597..............447......10%
MRO..................4,916............3,236...........1,680......52%
TXN...................4,551............2,017...........2,534.....126%
BA.....................4,507............1,731...........2,776.....160%
TGT...................4,495............3,872..............623......16%
UNP..................4,433............2,974...........1,459......49%
PRU..................4,422............1,552...........2,870.....185%
WLP..................4,354............3,611..............743......21%
COF..................4,330............1,336...........2,994.....224%
TRV..................4,306............4,711............(405).....-9%
USB..................4,200............2,632...........1,568......60%
PNC..................4,061............2,149...........1,912......89%
NEM.................3,997............2,954...........1,043......35%
MET.................3,958...........(4,334)..........8,292.....191%
TWX.................3,919............3,237..............682......21%
GILD................3,914............3,502..............412......12%
SLB..................3,886............3,934..............(48)......1%
GLW.................3,845............1,934...........1,911......99%
LMT.................3,826............4,230............(404)....-10%
GD...................3,790............3,513..............277.......8%
CAT.................3,750..............569...........3,181.....559%
DD...................3,711............2,184...........1,527......70%
CL...................3,701............3,538..............163.......5%
BK...................3,694...........(2,208)..........5,902.....267%
ACE.................3,667............3,077..............590......19%
KFT.................3,642............3,946............(304).....-8%
AFL.................3,585............2,235...........1,350......60%
DVN.................3,568............1,882...........1,686......90%
DTV.................3,514............2,325...........1,189......51%
DELL................3,350............2,024...........1,326......66%
LOW.................3,228............2,825..............403......14%
BLK..................3,021............1,272...........1,749.....138%
AXAE...............3,015...........(3,079)..........6,094.....198%
CB....................2,988............2,962................26.......1%
L......................2,902............2,766..............136.......5%
CHK.................2,884............1,712...........1,172......68%
HON.................2,843............2,049..............794......39%
NOC.................2,826............2,266..............560......25%
DOW................2,802..............469...........2,333.....497%
MA..................2,757............2,218..............539......24%
HAL................2,655............1,682..............973......58%
AET................2,644............1,901..............743......39%
HES.................2,635............1,522...........1,113......73%
EMC................2,608............1,375...........1,233......90%
KMB................2,550............2,576..............(26).....-1%
CSX.................2,546............1,746..............800......46%
BAX.................2,478............2,734............(256).....-9%
RTN.................2,432............2,930............(498)....-17%
SCCO...............2,431............1,404...........1,027......73%
HIG.................2,417...........(1,728)..........4,145.....340%
NOV................2,397............2,208..............189.......9%
NSC.................2,367............1,622..............745......46%
HCA................2,354............2,045..............309......15%
MHS................2,334............2,103..............231......11%
HSBC...............2,300.............(299)..........2,599.....869%
AES.................2,286............2,019..............267......13%
ITW.................2,212............1,320..............892......68%
TWC................2,196............1,912..............284......15%
RAI.................2,192............2,101................91.......4%
TJX.................2,164............1,952..............212......11%
EBAY..............2,098............1,429..............669......47%
STT..................2,086............2,525............(439)....-17%
RIG..................2,054............4,258.........(2,204)....-52%
DHR.................2,052............1,425..............627......44%
PBLX.................2,039............1,775..............264......15%
GPS...................1,982............1,816..............166.......9%
PX....................1,964............1,724..............240......14%
ESRX................1,909............1,308..............601......46%
CI....................1,870............1,898..............(28).....-1%
APC..................1,857.............(650)..........2,507.....386%
KSS..................1,782............1,588..............194......12%
DISH................1,767............1,374..............393......29%
HUM................1,750............1,602..............148.......9%
K.....................1,742............1,684................58.......3%
KR...................1,734............1,702................32.......2%
SYK.................1,730............1,624..............106.......7%
CME.................1,722............1,438..............284......20%
LO....................1,635............1,519..............116.......8%
WM...................1,631............1,473..............158......11%
CMI..................1,617..............640..............977.....153%
YUM..................1,594............1,396..............198......14%
AMP..................1,594..............920..............674......73%
PGR....................1,565............1,557..................8.......1%
LMED................1,558..............621..............937.....151%
CTL...................1,532..............815..............717......88%
EP.....................1,527............1,250..............277......22%
LYB...................1,512...........(1,322)..........2,834.....214%
SE.....................1,506............1,271..............235......18%
VLO...................1,498..............(94)..........1,592....1694%
AMZN................1,497............1,161..............336......29%
LLL...................1,484............1,386................98.......7%
BIIB..................1,475............1,333..............142......11%
YHOO.................1,466..............824..............642......78%
SNDK.................1,457..............504..............953.....189%
SLM...................1,433..............272...........1,161.....427%
MUR...................1,414............1,033..............381......37%
SPLS...................1,357............1,156..............201......17%
WMB...................1,352..............943..............409......43%
OMC...................1,350............1,274................76.......6%
MHP...................1,339............1,179..............160......14%
DOV...................1,336............1,868............(532)....-28%
UNM..................1,331............1,292................39.......3%
M......................1,320..............507..............813.....160%
NLY..................1,300............1,996............(696)....-35%
CLF...................1,298..............291...........1,007.....346%
PPG..................1,295..............617..............678.....110%
BHI...................1,282..............611..............671.....110%
LNC...................1,234..............209...........1,025.....490%
CBS...................1,222..............653..............569.....87%
STJ...................1,209............1,057..............152.....14%
IP.....................1,201..............133...........1,068.....803%
DGX..................1,184............1,228..............(44).....-4%
DAL..................1,181...........(1,498)..........2,679.....179%
ALLY................1,179...........(6,959)..........8,138.....117%
NBL..................1,175..............340..............835.....246%
TMO..................1,165..............927..............238......26%
AGN..................1,149..............849..............300......35%
WU...................1,145............1,132................13.......1%
CELG................1,134............1,011..............123......12%
ALL..................1,126............1,248............(122)....-10%
BTU..................1,113..............652..............461......71%
CNA..................1,112..............540..............572.....106%
LTD..................1,103..............641..............462......72%
SCHW................1,099............1,276............(177)....-14%
BRCM................1,097...............72...........1,025....1424%
MTB..................1,093..............519..............574.....111%
DISCA...............1,071..............787..............284......36%
TROW................1,070..............689..............381......55%
ZMH..................1,064............1,071................(7).....-1%
AON..................1,059..............949..............110......12%
TRW..................1,041..............140..............901.....644%
RSG..................1,038..............862..............176......20%
ETN..................1,036..............303..............733.....242%
IR....................1,007..............589..............418......71%
LBZ..................1,004..............726..............278......38%
ERIE....................999..............524..............475......91%
SWN.....................995..............856..............139......16%
JWN.....................991..............696..............295......42%
NTRS...................990............1,255............(265)....-21%
DG........................985..............552..............433......78%
Q.........................970..............903................67.......7%
BBT.....................969............1,036..............(67).....-6%
CVH.....................965..............505..............460......91%
AIZ.....................960..............793..............167......21%
VFC.....................952..............777..............175......23%
AVP.....................945..............914................31.......3%
FITB...................940.............(991)..........1,931.....195%
EOG.....................927..............643..............284......44%
DOV.....................925..............492..............433......88%
DPS.....................921..............868................53.......6%
NEM....................917............2,016.........(1,099)....-55%
LH......................916..............885................31.......4%
XEC.....................914..............303..............611.....202%
MRVL..................910..............343..............567.....165%
ROST...................897..............719..............178......25%
XRX.....................893..............668..............225......34%
HCBK...................892..............874................18.......2%
SAI......................883..............799................84......11%
SWY.....................881............1,021............(140)....-14%
CTSH...................879..............637..............242......38%
ALTR...................868..............306..............562.....184%
LVS.....................856.............(204)..........1,060.....520%
GWW....................854..............707..............147......21%
MAT....................847..............660..............187......28%
GCI.....................846..............570..............276......48%
NYB.....................837..............453..............384......85%
IVZ.....................834..............358..............476.....133%
NFX.....................829..............459..............370......81%
DVA.....................819..............758................61.......8%
ATVI...................818..............401..............417.....104%
ITT.....................818..............810..................8.......1%
HSY.....................809..............671..............138......21%
TAP.....................809..............718................91......13%
GR......................805..............784................21.......3%
KEY.....................793...........(2,298)..........3,091.....135%
SPG.....................793..............652..............141......22%
FISV...................793..............734................59.......8%
UNBC...................793.............(226)..........1,019.....451%
PXD.....................788.............(247)..........1,035.....419%
JNPR...................778..............494..............284......57%
MMC...................769..............552..............217......39%
CIT......................768...........(3,411)..........4,179.....123%
FSLR...................762..............686................76......11%
GPS.....................762..............644..............118......18%
OKE.....................755..............699................56.......8%
BSX......................754...........(1,308)..........2,062.....158%
EMN....................751..............433..............318......73%
VNO....................751..............109..............642.....589%
ECL.....................748..............620..............128......21%
PCLN...................746..............442..............304......69%
LUV....................745..............164..............581.....354%
SNI......................740..............520..............220......42%
CAM....................733..............643................90......14%
UPL....................723..............241..............482.....200%
CEPH..................719..............517..............202......39%
BCR.....................718..............672................46.......7%
MCO....................714..............646................68......11%
PSA.....................689..............798............(109)....-14%
ORLY..................689..............497..............192......39%
CF.......................688..............696................(8).....-1%
NYX....................686..............265..............421.....159%
ARW....................679..............189..............490.....259%
SHW....................678..............623................55.......9%
MSI....................677.............(503)..........1,180.....235%
EXCO..................674.............(506)..........1,180.....233%
CBE....................665..............483..............182......38%
APH....................664..............447..............217......49%
PCAR..................660..............109..............551.....506%
SANT...................653.............(982)..........1,635.....166%
ESV.....................645..............935............(290)....-31%
MJN....................634..............587................47.......8%
DLTR...................630..............508..............122......24%
CHRW..................624..............587................37.......6%
EXPE...................621..............458..............163......36%
GME....................621..............589................32.......5%
FIS.....................616..............164..............452.....276%
ESI.....................614..............491..............123......25%
BG......................610..............145..............465.....321%
ICE.....................610..............494..............116......23%
BLL....................606..............537................69......13%
NIHD..................598..............586................12.......2%
CVC....................591..............456...............135......30%
FB......................588..............283..............305.....108%
KBR....................586..............532................54......10%
SUN....................586.............(617)..........1,203.....195%
WHR...................586..............294..............292......99%
JCP......................581..............403..............178......44%
WLT....................578..............184..............394.....214%
ISRG...................572..............396..............176......44%
EXPD..................564..............403..............161......40%
WYND.................563..............493................70......14%
FNF....................562..............345..............217......63%
FLR....................560............1,137............(577)....-51%
AAP...................557..............432..............125......29%
AMT...................556..............421..............135......32%
MAR...................551..............334..............217......65%
AA.....................548...........(1,498)..........2,046.....137%
RCL....................547..............162..............385.....238%
TIF.....................547..............390..............157......40%
SIAL...................544..............490................54......11%
WLL....................541.............(163).............704.....432%
CE......................538..............251..............287.....114%
FTI.....................538..............518................20.......4%
PBI.....................535..............693............(158)....-23%
FLS.....................530..............585..............(55).....-9%
NDAQ..................526..............391..............135......35%
NWL....................519..............428...............91......21%
URS.....................514..............468...............46......10%
CYH....................508..............446...............62......14%
WIN....................505..............546..............(41).....-8%
LCC.....................502.............(243).............745.....307%
HSIC...................502..............453................49......11%
CNX....................468..............788............(320)....-41%
AMD...................363.............(834)..........1,197.....144%
HBAN.................352...........(1,071)..........1,423.....133%
UAL...................250.............(672).............922.....137%
WY.....................213.............(728).............941.....129%
AIG.....................169..........(13,036)........13,205.....101%
GNW.....................76.............(792).............868.....110%
STI........................21...........(1,699)..........1,720.....101%
ETFL.....................(3)............(816).............813.....100%
MMI......................(4)..........(1,335)..........1,331.....100%
BC.......................(85)............(685).............600......88%
AXAF.................(119)..........(4,582)..........4,463......97%
CSE....................(161)............(775).............614......79%
TEX....................(238)............(524).............286......55%
SPLF..................(253)............(889).............636......72%
MGIC..................(359)..........(1,765)..........1,406......80%
X........................(385)..........(1,845)..........1,460......79%
ZION..................(403)..........(1,664)..........1,261......76%
AMR...................(506)..........(1,752)..........1,246......71%
CRYS..................(513)..........(8,325)..........7,812......94%
BX......................(523)..........(2,291)..........1,768......77%
PHM...................(579)..........(1,412).............833......59%
FRSC...................(661)..........(1,449).............788......54%
CCMO..................(683)..........(1,136).............453......40%
FIG....................(727)............(914).............187......20%
MGM..................(741)............(317)...........(424)...-134%
SNV...................(849)..........(1,606).............757......47%
RF.....................(885)..........(1,202).............317......26%
M&I...................(901)..........(1,396).............495......35%
1STD................(1,171)..........(1,434).............263.....-18%
CAES................(1,215)............(830)...........(385)....-46%
RDN.................(1,580)............(242)........(1,338)...-553%
HSBF................(2,906)..........(7,466)..........4,560......61%
S......................(3,299)..........(3,494).............195.......6%
FNM...............(14,100)........(73,007).......58,907......81%
FRE................(14,882).........(22,384).........7,502......34%

Total all 332..924,872........454,936......469,936.....103%

Yeah, the Total Pretax Income of these 332 US Big Corps more than doubled (up 103%) in the fiscal year end Dec 2010 or Jan 2011 over the previous year.

When you exclude Fannie Mae and Freddie Mac, the Pretax Income of the remaining 330 US Big Corps is still up an incredible 73%.

And about half of the country doesn't think the Obama Administration has helped US large businesses!

So just how have these US Big Corps paid the country back for the incredibly robust economic environment that the Obama Administration has created for them and permitted their profits to flat out flourish?

Well, they haven't. Many of these US Big Corps slashed jobs worldwide in 2010, and the ones that added jobs, the number jobs added were so incredibly modest, especially those jobs added in the US.

From information disclosed in their annual reporting with the SEC, below here are the Worldwide Number of Jobs that each of these 332 US Big Corps had at the end of December 2010 and 2009 or at the end of January 2011 and 2010. This schedule also compares the Worldwide Number of Jobs (Slashed) or Added in 2010 with the Pretax Income Increase (Decrease) in 2010.

..................................................................2010..............2010
............................WW#..........WW#...........WW#.............Pretax
.......................Employees..Employees......Jobs...............Profit
............................FYE............FYE........(Slashed)..........Increase
..........................Dec10.........Dec09........Added...........(Decrease)
.............................or...............or...............by....................of.....
..........................Jan11..........Jan10..."Job Creators"."Job Creators"
…………………………………………………………………….............mils of $s
US Big Corp Job Slashers in 2010
AIG..................63,000.......96,000......(33,000)...........13,205
VZ..................194,400......222,900......(28,500)...............515
GE..................287,000.....304,000......(17,000)............4,213
KBR..................35,000.......51,000......(16,000).................54
T.....................265,410......281,000......(15,590).............(280)
KFT(1)............127,000......141,798......(14,798).............(304)
F.....................164,000......177,000......(13,000)..........10,117
GM..................202,000......215,000......(13,000)..........31,396
KO(2)...............139,600......151,800......(12,200)...............763
CVS.................201,000......211,000......(10,000).............(284)
LMT.................132,000......140,000.......(8,000).............(404)
MAR................129,000......137,000.......(8,000)...............217
UPS.................400,600......408,000.......(7,400)............2,157
MRK..................94,000......100,000.......(6,000)..............447
SWY................180,000......186,000.......(6,000)..............(140)
PFE.................110,600......116,500.......(5,900)...............1,695
C.....................260,000.....265,300.......(5,300)............23,383
HSBF...................6,650........11,900.......(5,250)..............4,560
CMCSA............102,000.....107,000.......(5,000)................998
LOW................161,000......166,000.......(5,000)................403
PNC..................44,817.........49,761.......(4,944)...............1,912
ALLY................14,400........18,800.......(4,400)..............8,138
LLL..................63,000........67,000.......(4,000)..................98
RDS..................97,000......101,000.......(4,000)...........14,324
HD...................189,390......193,370.......(3,980)..............1,291
NOC................117,000......120,700.......(3,700)................560
CBE..................24,800........28,200.......(3,400).................182
RTN.................72,000........75,000.......(3,000)...............(498)
WLP.................37,500........40,500.......(3,000)................743
SAI..................43,400........46,200.......(2,800)...................84
DOW.................49,505........52,195.......(2,690)...............2,333
DISH................22,000........24,500.......(2,500).................393
GCI..................32,600........35,000.......(2,400).................276
XOM(3)...........103,700......106,035.......(2,335).............18,182
PBI..................30,700........33,004.......(2,304)................(158)
UAL.................86,000........88,300.......(2,300).................922
LLY..................38,350........40,360.......(2,010).................483
CVX.................62,000........64,000.......(2,000)............13,527
MSI..................51,000........53,000.......(2,000)..............1,180
Q......................28,343........30,138........(1,795)...................67
BAX.................48,000........49,700.......(1,700)................(256)
GD...................90,000........91,700.......(1,700).................277
PPG..................38,300........39,900.......(1,600).................678
JNJ.................114,000......115,500.......(1,500)...............1,192
PHM...................4,363..........5,700.......(1,337)..................833
RIG..................18,050........19,300.......(1,250)..............(2,204)
SPLS.................52,919........54,149.......(1,230)..................201
HIG..................26,800........28,000.......(1,200)...............4,145
DAL..................80,000........81,106.......(1,106)...............2,679
ESRX.................13,170........14,270.......(1,100).................601
KEY..................15,610........16,698.......(1,088)...............3,091
AET..................34,000........35,000.......(1,000)................743
AIZ..................14,000........15,000.......(1,000).................167
ALL..................35,000........36,000.......(1,000)...............(122)
BBT..................31,400........32,400.......(1,000)..................(67)
BMY.................27,000........28,000.......(1,000)................697
BSX..................25,000........26,000.......(1,000)..............2,062
DGX..................42,000........43,000.......(1,000)................(44)
FISV.................19,000........20,000.......(1,000).................59
GPS.................134,000......135,000.......(1,000)................166
MGM.................45,000........46,000.......(1,000)..............(424)
MMC..................51,000........52,000.......(1,000)...............217
RSG..................30,000........31,000.......(1,000)................176
SUN..................10,200........11,200.......(1,000)..............1,203
X......................42,000........43,000.......(1,000)..............1,460
CNA....................8,000..........8,900.........(900).................572
PRU..................41,044........41,943..........(899)...............2,870
LYB..................14,000........14,860..........(860)...............2,834
HSY..................11,300........12,100..........(800).................138
MTB..................12,031........12,802..........(771).................574
RAI....................5,700..........6,400..........(700)..................91
RF....................27,829........28,509..........(680).................317
AMR.................78,250........78,900..........(650).............1,246
UNP..................42,884........43,531..........(647)..............1,459
VLO..................20,313........20,920..........(607).............1,592
BP....................79,700........80,300..........(600)..........10,986
SPLF...................5,900..........6,500..........(600)...............636
WM...................42,800........43,400..........(600)...............158
CIT.....................3,778..........4,293..........(515)..............4,179
BLL..................14,000........14,500..........(500)..................69
CVC..................16,350........16,795..........(445).................135
1STD.................24,500........24,900..........(400)................263
CVH..................14,000........14,400..........(400)................460
DVN....................5,000..........5,400..........(400).............1,686
LCC..................30,900........31,300..........(400)................745
SLM....................7,600..........8,000..........(400).............1,161
NYX....................2,968..........3,367..........(399)................421
SCCO.................11,126.........11,523..........(397).............1,027
COP..................29,700........30,000..........(300)............5,770
K......................30,600........30,900..........(300).................58
YHOO................13,600........13,900..........(300)...............642
SNV....................6,109..........6,385..........(276)................757
M&I....................9,137..........9,410..........(273)................495
AON(4)..............59,000........59,200..........(200)...............110
CBS...................25,380........25,580..........(200)................569
DISCA.................4,200..........4,400..........(200)...............284
DOV....................5,300..........5,500..........(200)..............(532)
ITT..................40,000........40,200..........(200)...................8
UNM...................9,500..........9,700..........(200).................39
COF..................27,826.........28,000..........(174).............2,994
NIHD................13,500........13,673..........(173)..................12
FITB.................20,838........20,998..........(160)..............1,931
CE......................7,250..........7,400..........(150)................287
AFL....................7,919..........8,057..........(138)..............1,350
BTU....................7,200..........7,300..........(100)................461
CB....................10,100........10,200..........(100)..................26
ETFL...................3,000..........3,100..........(100)................813
L......................18,400........18,500..........(100).................136
NWL.................19,400........19,500..........(100)..................91
FRE.....................5,231..........5,323...........(92)..............7,502
NYB....................3,883..........3,970...........(87).................384
MHP.................21,000........21,077...........(77).................160
EP......................4,937..........4,991............(54)..................277
CSE.......................625.............665............(40)..................614
RDN......................767.............803............(36)............(1,338)
NSC..................28,559........28,593............(34).................745
PGR..................24,638........24,661............(23)....................8
MGIC...................1,010..........1,020...........(10).............1,406
ZION.................10,524........10,529............(5)...............1,261
Totalall119..6,491,683..6,832,962..(341,279)......235,219

US Big Corps Not Slashing Jobs in 2010
AA................59,000.........59,000.............0...............2,046
AAP...............29,000.........29,000.............0.................125
CAES..............69,000.........69,000.............0................(385)
CSX...............30,000.........30,000.............0.................800
DPS...............19,000.........19,000.............0..................53
EMN...............10,000.........10,000.............0.................318
ERIE...............4,200..........4,200.............0.................475
ETN...............70,000.........70,000.............0.................733
FLS...............15,000.........15,000.............0.................(55)
GME...............17,000.........17,000.............0..................32
HSBC..............12,000.........12,000.............0...............2,599
KSS...............29,000.........29,000.............0.................194
LO.................2,700..........2,700.............0.................116
MMI...............19,000.........19,000.............0...............1,331
MO................10,000.........10,000.............0.................846
PSA................4,900..........4,900.............0................(109)
S.................40,000.........40,000.............0.................195
TRV...............32,000.........32,000.............0................(405)
TWX...............31,000.........31,000.............0.................682
WLT................2,100..........2,100.............0.................394
WMT........2,100,000....2,100,000.............0.............1,420
AXAF...............9,509..........9,508.............1...............4,463
UPL..................108.............94............14.................482
XEC..................775............756............19.................611
NLY..................114.............87............27................(696)
LNC................8,270..........8,208............62...............1,025
HCBK...............1,462..........1,387............75..................18
WLL..................561............481............80.................704
FIG..................900............819............81.................187
OKE................4,839..........4,758............81..................56
PX................26,261.........26,164............97.................240
APC................4,400..........4,300...........100...............2,507
BIIB...............4,850..........4,750...........100.................142
CTL...............20,300.........20,200...........100.................717
SE.................5,500..........5,400...........100.................235
ICE..................933............826...........107.................116
AXAE...............5,253..........5,139...........114...............6,094
ALTR...............2,666..........2,551...........115.................562
KKR..................698............582...........116.................963
TAP...............14,660.........14,540...........120..................91
EXCO.................927............802...........125...............1,180
NBL................1,772..........1,630...........142.................835
BX.................1,440..........1,295...........145...............1,768
GILD...............4,000..........3,852...........148.................412
SIAL...............7,890..........7,740...........150..................54
LUV...............34,901.........34,726...........175.................581
NDAQ...............2,395..........2,216...........179.................135
VNO................4,780..........4,597...........183.................642
EOG................2,290..........2,100...........190.................284
MUR................3,460..........3,261...........199.................381
AMGN..............17,400.........17,200...........200.................113
LBZ................6,900..........6,700...........200.................278
NEM................5,900..........5,700...........200...............1,043
SNI................2,000..........1,800...........200.................220
SPG................3,500..........3,300...........200.................141
WU.................7,000..........6,800...........200..................13
SNDK...............3,469..........3,267...........202.................953
NFX................1,352..........1,148...........204.................370
WMB................5,022..........4,801...........221.................409
TROW...............5,052..........4,802...........250.................381
CHRW...............7,628..........7,347...........281..................37
BC................15,290.........15,003...........287.................600
RCL................5,200..........4,900...........300.................385
AMT................1,729..........1,420...........309.................135
CME................2,570..........2,260...........310.................284
FB................24,600.........24,248...........352.................305
PXD................2,248..........1,888...........360...............1,035
SWN................2,088..........1,702...........386.................139
ISRG...............1,660..........1,263...........397.................176
LTD...............17,500.........17,100...........400.................462
NTRS..............12,800.........12,400...........400................(265)
SCHW..............12,800.........12,400...........400................(177)
TEX...............16,300.........15,900...........400.................286
ESV................2,752..........2,347...........405................(290)
BLK................9,127..........8,629...........498...............1,749
ECL...............26,500.........26,000...........500.................128
GNW................6,500..........6,000...........500.................868
GPS...............29,500.........29,000...........500.................118
GWW...............17,000.........16,500...........500.................147
HES...............13,800.........13,300...........500...............1,113
MA.................5,600..........5,100...........500.................539
MCO................4,500..........4,000...........500..................68
TWC...............47,500.........47,000...........500.................284
DLTR..............13,060.........12,480...........580.................122
ATVI...............7,600..........7,000...........600.................417
ZMH................8,800..........8,200...........600..................(7)
CNX................8,630..........8,012...........618................(320)
MRVL...............5,893..........5,241...........652.................567
AMP...............10,472..........9,793...........679.................674
ORLY..............31,070.........30,379...........691.................192
AMD...............11,100.........10,400...........700...............1,197
BCR...............11,700.........11,000...........700..................46
CEPH...............3,726..........3,026...........700.................202
ROST..............14,000.........13,300...........700.................178
IVZ................5,617..........4,890...........727.................476
ESI................6,300..........5,500...........800.................123
TIF................9,200..........8,400...........800.................157
WY................14,250.........13,450...........800.................941
MRO...............29,677.........28,855...........822...............1,680
EXPD..............12,880.........12,010...........870.................161
AGN................9,200..........8,300...........900.................300
CF.................2,400..........1,500...........900..................(8)
MJN................6,500..........5,600...........900..................47
OXY...............11,000.........10,100...........900...............2,371
EXPE...............8,900..........7,960...........940.................163
CCMO..............20,283.........19,295...........988.................453
APA................4,449..........3,452...........997...............2,062
ACE...............16,000.........15,000.........1,000.................590
AVP...............42,000.........41,000.........1,000..................31
FNF...............18,200.........17,200.........1,000.................217
FRSC..............19,000.........18,000.........1,000.................788
HSIC..............13,500.........12,500.........1,000..................49
KMB...............57,000.........56,000.........1,000.................(26)
LMED..............24,000.........23,000.........1,000.................937
NEM...............15,500.........14,500.........1,000..............(1,099)
PBLX..............70,000.........69,000.........1,000.................264
PM................78,300.........77,300.........1,000...............1,081
STJ...............15,000.........14,000.........1,000.................152
UNBC..............10,715..........9,676.........1,039...............1,019
STI...............29,056.........28,001.........1,055...............1,720
HBAN..............11,341.........10,272.........1,069...............1,423
CL................39,200.........38,100.........1,100.................163
FTI...............11,500.........10,400.........1,100..................20
SANT..............10,515..........9,391.........1,124...............1,635
MS................62,542.........61,388.........1,154...............5,219
CLF................6,567..........5,404.........1,163...............1,007
CI................30,600.........29,300.........1,300.................(28)
EBAY..............17,700.........16,400.........1,300.................669
FCX...............29,700.........28,400.........1,300...............2,696
FNM................7,300..........6,000.........1,300..............58,907
VFC...............47,000.........45,700.........1,300.................175
STT...............28,670.........27,310.........1,360................(439)
CELG...............4,182..........2,813.........1,369.................123
PCLN...............3,400..........2,010.........1,390.................304
ARW...............12,700.........11,300.........1,400.................490
CAM...............19,500.........18,100.........1,400..................90
DTV...............23,200.........21,800.........1,400...............1,189
FSLR...............6,100..........4,700.........1,400..................76
SYK...............20,036.........18,582.........1,454.................106
UTX..............208,200........206,700.........1,500.................778
MHS...............23,425.........21,900.........1,525.................231
JNPR...............8,772..........7,231.........1,541.................284
BRCM...............8,950..........7,407.........1,543...............1,025
DHR...............48,200.........46,600.........1,600.................627
GR................25,600.........24,000.........1,600..................21
CHK...............10,000..........8,200.........1,800...............1,172
TMO...............37,200.........35,400.........1,800.................238
WYND..............26,400.........24,600.........1,800..................70
TXN...............28,412.........26,584.........1,828...............2,534
AES...............29,000.........27,000.........2,000.................267
DD................60,000.........58,000.........2,000...............1,527
FIS...............33,000.........31,000.........2,000.................452
IR................59,000.........57,000.........2,000.................418
ITW...............61,000.........59,000.........2,000.................892
JCP..............156,000........154,000.........2,000.................178
URS...............47,000.........45,000.........2,000..................46
USB...............60,584.........58,229.........2,355...............1,568
DVA...............36,500.........34,000.........2,500..................61
OMC...............65,500.........63,000.........2,500..................76
PCAR..............17,700.........15,200.........2,500.................551
AXP...............61,000.........58,300.........2,700...............3,123
DOV...............32,000.........29,300.........2,700.................433
GLW...............26,200.........23,500.........2,700...............1,911
INTC..............82,500.........79,800.........2,700..............10,341
WIN...............10,086..........7,385.........2,701.................(41)
BRKA.............260,000........257,000.........3,000...............7,499
LH................31,000.........28,000.........3,000..................31
SHW...............32,228.........29,220.........3,008..................55
FLR...............39,229.........36,152.........3,077................(577)
NOV...............35,584.........32,423.........3,161.................189
GS................35,700.........32,500.........3,200..............(6,937)
IP................59,500.........56,160.........3,340...............1,068
BA...............160,500........157,100.........3,400...............2,776
TRW...............61,300.........57,500.........3,800.................901
YUM...............52,920.........49,000.........3,920.................198
BAC..............288,000........284,000.........4,000...............6,717
JWN...............52,000.........48,000.........4,000.................295
KR.............. 338,000........334,000.........4,000..................32
MAT.............. 31,000.........27,000.........4,000.................187
TGT..............355,000........351,000.........4,000.................623
WHR...............71,000.........67,000.........4,000.................292
CRYS..............51,623.........47,326.........4,297...............7,812
BHI...............53,100.........48,800.........4,300.................671
CMI...............39,200.........34,900.........4,300.................977
GOOG..............24,400.........19,835.........4,565...............2,415
WFC..............272,200........267,300.........4,900...............1,003
HCA..............146,000........141,000.........5,000.................309
M................166,000........161,000.........5,000.................813
MMM...............80,057.........74,835.........5,222...............1,123
EMC...............48,500.........43,200.........5,300...............1,233
CYH...............64,000.........58,555.........5,445..................62
BK................48,000.........42,200.........5,800...............5,902
DELL.............100,300.........94,300.........6,000...............1,326
DG................85,900.........79,800.........6,100.................433
XRX..............136,500........130,000.........6,500.................225
APH...............39,100.........32,200.........6,900.................217
HAL...............58,000.........51,000.........7,000.................973
LVS...............34,000.........27,000.........7,000...............1,060
UNH...............87,000.........80,000.........7,000...............1,575
BG................33,021.........25,945.........7,076.................465
HUM...............35,200.........28,100.........7,100.................148
PEP(5)...........294,000........286,600.........7,400.................213
HON..............130,000........122,000.........8,000.................794
SLB(6)...........108,000.........98,931.........9,069.................(48)
AMZN..............33,700.........24,300.........9,400.................336
CAT..............104,000.........93,813........10,187...............3,181
MET...............66,000.........54,000........12,000...............8,292
TJX..............166,000........154,000........12,000.................212
MCD..............400,000........385,000........15,000.................513
JPM..............239,831........222,316........17,515...............8,792
ABT(7)............90,700.........73,000........17,700................(252)
CTSH(8)..........104,000.........78,400........25,600.................242
IBM(9)...........426,751........399,409........27,342...............1,585

Total all 332..17,612,288...17,486,002...126,286...........469,936

Total % Increase in WW Net Jobs Added in 2010....0.72%

KFT(1) Kraft Dec 2009 Number of Employees include Cadbury, which was acquired in 2010.
KO(2) Coca-Cola Dec 2009 Number of Employees include those in Coca-Cola Enterprises in North America, which was acquired in 2010.
XOM(3) Exxon Mobil Dec 2009 Number of Employees include those of XTO Energy, which was acquired in 2010.
AON(4) AON Dec 2009 Number of Employees include those of Hewitt Associates, which was acquired in 2010.
PEP(5) Pepsico Dec 2009 Number of Employees include those of both Pepsi Bottling and Pepsi Americas, both of which were acquired in 2010.
SLB(6) Schlumberger Dec 2009 Number of Employees include those of Smith Intl, which was acquired in 2010.
ABT(7) Abbott Labs' large increase in Number of Employees in 2010 is artificial, since there was a huge acquisition in 2010 of Solvay's Pharma segment. Abbott Labs paid $6.1 bil for this acquisition.
CTSH(8) Cognizant Technology has 83,000 of its 104,000 employees located in the Asia Pacific area.
IBM(9) IBM's largest increase in Number of Employees in 2010 is at least somewhat artificial, since it made 17 acquisition in 2010 for a total cost of $6.5 bil.

I find it incredible that 119 of these 332 US Big Corps actually slashed Worldwide Jobs in 2010.

And how many Worldwide Jobs were slashed by these 119 US Big Corps? An amazing 341,279 jobs.

And while these 119 US Big Corps were slashing these 341,279 jobs, their Total Pretax Profits increased by a staggering $235 bil in 2010. Go Figure!

The US Congress, especially members that are wholehearted supporters of US Big Corps, has incredibly low favorable ratings. which have been continually plummeting.

With US Big Corp CEOs and CFOs continuing to act so greedily and cruelly to workers, I am certain that you will be seeing their already low favorable ratings drop even further, and dramatically so.

Let me focus on Big Oil, included in the above numbers. And specifically on just the ones that have more than 10,000 employees and are in the two following SEC industry categories: Crude Petroleum and Petroleum Refining.

Here are these ten Big Oil Corps, and comparison of their jobs added (slashed) and the amount of their profit increase, both in 2010.

..................................................................2010..............2010
............................WW#..........WW#...........WW#.............Pretax
.......................Employees..Employees......Jobs...............Profit
............................FYE............FYE........(Slashed)..........Increase
..........................Dec10.........Dec09........Added...........(Decrease)
.............................or...............or...............by....................of.....
..........................Jan11..........Jan10..."Job Creators"."Job Creators"
…………………………………………………………………….............mils of $s

RDS.................97,000.......101,000......(4,000)............14,324
XOM...............103,700......106,035......(2,335).............18,182
CVX.................62,000........64,000......(2,000)............13,527
SUN.................10,200........11,200.......(1,000)..............1,203
VLO.................20,313........20,920..........(607)..............1,592
BP...................79,700........80,300..........(600)............10,986
COP.................29,700........30,000..........(300).............5,770
HES.................13,800........13,300............500...............1,113
MRO................29,677........28,855............822...............1,680
OXY.................11,000........10,100...........900...............2,371

Total all 10.....457,090......465,710.....(8,620)...........70,748

Yeah, that's right, a total of 8,620 worldwide jobs slashed in 2010, while at the same time, they increased their total Pretax Profits by $70.7 bil in 2010. Where's the economic fairness here?

But the worldwide job cuts of these 10 Big Oil Corps were much more pronounced in 2009 than they were in 2010. While these 10 Big Oil Corps slashed 8,620 worldwide jobs in 2010, they slashed an additional 26,644 in 2009. Thus, they reduced their employee count by 35,264, or by 7%, in the two years from 2008 to 2010. Here are the numbers:

BP..............(12,300)
COP..............(4,100)
CVX.............(5,000)
HES..................300
MRO................(683)
OXY.................600
RDS..............(5,000)
SUN..............(3,500)
VLO..............(1,452)
XOM..............(4,129)

Total all 10...(35,264)

Anyway, so overall, there were a worldwide net jobs added by these 332 US Big Corps of a very meager 126,286 in 2010, or an increase in jobs of only 0.7%.

But you know what, it gets worse on the US job depression front.

So many of these 332 US Big Corps made numerous business acquisitions in 2010. When a US Big Corp makes a business acquisition, it picks up additional jobs. But this isn't real job creation to the US and global economies.

Thus, my hunch is that instead of having 126,286 real jobs added, the more salient measure of true job additions to the US and global economies by these 332 US Big Corps, exclusive of those by artificial acquisitions, was not a net job addition at all, but instead of slashing of jobs.

Also, many of the large retailing companies had net job increases in 2010. However, the overwhelming portion of these net job adds were really "jobettes" added, which is the addition of part-time, temporary, seasonal, and independent contractor employees, which all have low pay, and even lower employee benefits.

But it gets even much worse on the US job depression situation when you just focus on the jobs created just in the US.

Of these 332 US Big Corps, 153 of them either disclosed their Number of US jobs separately, or have an overwhelming portion of their operations in the US. Thus for the latter predominantly US Big Corps, I used the worldwide Number of Jobs in the below chart.

Of these 153 US Big Corps, 66 of them slashed a total of 156,086 US jobs in 2010, or a huge 5% reduction. All 153 combined, slashed US jobs by a net of 64,346 in 2010.

And the real US job slashing by these 153 US Big Corps was substantially higher due to so many of them getting net job adds by making so many business acquisitions.

Below here are these 153 US Big Corps, and their Number of US Jobs at the end of 2010 and 2009:

...........................................................................2010...
.................................US#................US#..............US#......
............................Employees.....Employees.........Jobs.....
.................................FYE...............FYE...........(Slashed)..
...............................Dec10............Dec09...........Added....
..................................or..................or..................by.......
...............................Jan11.............Jan10......"Job Creators"
US Big Corp US Job Slashers in 2010

VZ........................194,400.........222,900........(28,500)
T...........................265,410.........281,000........(15,590)
CVS......................201,000.........211,000........(10,000)
UPS......................330,600.........340,000.........(9,400)
YUM.......................64,260...........73,500.........(9,240)
LMT......................132,000.........140,000.........(8,000)
HSBF.........................6,650...........11,900.........(5,250)
CMCSA.................102,000.........107,000.........(5,000)
LOW......................161,000.........166,000.........(5,000)
PNC.........................44,817...........49,761.........(4,944)
MRK.......................37,600...........42,000.........(4,400)
LLL.........................52,290...........56,280.........(3,990)
NOC......................117,000.........120,700.........(3,700)
RTN........................72,000...........75,000.........(3,000)
WLP........................37,500...........40,500.........(3,000)
DISH.......................22,000...........24,500.........(2,500)
LLY.........................17,650...........20,060.........(2,410)
PBI..........................21,600...........23,465.........(1,865)
Q.............................28,343............30,138.........(1,795)
BLL...........................8,900...........10,500.........(1,600)
CVX........................30,000...........31,500.........(1,500)
IP............................36,120...........37,500.........(1,380)
PHM..........................4,363.............5,700.........(1,337)
HIG.........................26,800............28,000........(1,200)
KEY.........................15,610............16,698.........(1,088)
ESRX.......................12,950............14,020.........(1,070)
RSG........................30,000............31,000.........(1,000)
GE.........................133,000..........134,000.........(1,000)
AET........................34,000............35,000.........(1,000)
HON.......................53,000............54,000.........(1,000)
DGX.......................42,000............43,000.........(1,000)
ALL.......................35,000............36,000.........(1,000)
BSX........................15,000............16,000.........(1,000)
BBT........................31,400............32,400.........(1,000)
SUN.......................10,200............11,200.........(1,000)
FIS........................14,000............15,000.........(1,000)
FISV......................19,000............20,000........(1,000)
CNA.........................8,000.............8,900...........(900)
MTB........................12,031............12,802...........(771)
BP..........................22,100............22,800...........(700)
RAI.........................5,700..............6,400...........(700)
RF..........................27,829............28,509...........(680)
UNP.......................42,884.............43,531...........(647)
WM........................42,800............43,400...........(600)
CVC........................16,350............16,795...........(445)
CVH.......................14,000............14,400...........(400)
SLM.........................7,600.............8,000...........(400)
CIT...........................2,750.............3,067...........(317)
SNV..........................6,109.............6,385...........(276)
M&I..........................9,137.............9,410...........(273)
AFL..........................3,903.............4,111............(208)
FITB.......................20,838...........20,998...........(160)
CE.............................2,350.............2,500...........(150)
PX...........................10,183............10,315...........(132)
ETFL........................3,000..............3,100...........(100)
FRE..........................5,231...............5,323.............(92)
NYB.........................3,883...............3,970.............(87)
CEPH........................2,026..............2,107.............(81)
PRU.......................20,036............20,094.............(58)
CSE.............................625.................665.............(40)
RDN............................767................803.............(36)
NSC........................28,559............28,593.............(34)
PGR........................24,638............24,661.............(23)
MGIC........................1,010.............1,020.............(10)
ZION......................10,524............10,529...............(5)
ALTR........................1,154..............1,156...............(2)
Total all 66....2,815,480....2,971,566......(156,086)

US Big Corps Not Slashing Jobs in 2010
S...........................40,000...........40,000..............0
WMT................1,400,000.......1,400,000..............0
HSBC.....................12,000...........12,000..............0
DPS.......................16,000...........16,000..............0
ERIE.......................4,200............4,200..............0
MO........................10,000...........10,000..............0
CSX.......................30,000...........30,000..............0
LO..........................2,700............2,700..............0
GM........................77,000...........77,000..............0
ZMH........................4,900............4,900..............0
KSS.......................29,000...........29,000..............0
WLT........................2,100............2,100..............0
PSA.........................4,900............4,900..............0
AAP.......................29,000...........29,000..............0
AXAF.......................9,509............9,508..............1
XEC............................775..............756.............19
CCMO.....................15,036...........14,980.............56
LNC.........................8,270............8,208.............62
HCBK.......................1,462............1,387.............75
WLL...........................561..............481.............80
OKE........................4,839............4,758.............81
CTL.......................20,300...........20,200............100
MA.........................3,400............3,300............100
SE..........................2,000............1,900............100
OXY........................7,100............7,000............100
LBZ.........................3,588............3,484............104
AXAE......................5,253............5,139............114
EXCO..........................927..............802............125
SIAL.......................4,070............3,920............150
LUV.......................34,901...........34,726............175
NFX........................1,229............1,047............182
VNO........................4,780............4,597............183
AVP........................6,200............6,000............200
SNI........................2,000............1,800............200
SPG........................3,500............3,300............200
BLK........................5,330............5,097............233
PCLN.........................750..............493............257
EXPD.......................4,410............4,130............280
CHRW......................7,628............7,347............281
DHR.......................21,400...........21,100............300
DELL......................36,900...........36,600............300
AGN........................4,600............4,300............300
TIF.........................5,200............4,900............300
FTI.........................3,500............3,200............300
CME........................2,570............2,260............310
NDAQ.......................1,313..............978............335
NEM........................1,298..............912............386
GLW.......................10,600...........10,200............400
SCHW......................12,800...........12,400............400
LTD.......................17,500...........17,100............400
TWC.......................47,500...........47,000............500
UTX.......................72,870...........72,345............525
DLTR......................13,060...........12,480............580
TEX.........................5,600............5,000............600
ORLY......................31,070...........30,379............691
VFC.......................20,300...........19,600............700
ROST......................14,000...........13,300............700
ESI..........................6,300............5,500............800
PBLX.....................70,000...........69,000..........1,000
FNF.......................18,200...........17,200..........1,000
UNBC.....................10,715............9,676..........1,039
STI........................29,056...........28,001..........1,055
HBAN.....................11,341...........10,272..........1,069
SANT.....................10,515............9,391..........1,124
CELG.......................2,909............1,762..........1,147
FNM........................7,300............6,000..........1,300
GR.........................16,300...........15,000..........1,300
EBAY......................11,100............9,700..........1,400
MMM......................32,955...........31,513..........1,442
INTC......................45,375...........43,890..........1,485
WYND....................18,300...........16,800..........1,500
MHS.......................23,425...........21,900..........1,525
CHK.......................10,000............8,200..........1,800
JCP......................156,000..........154,000..........2,000
USB........................60,584...........58,229..........2,355
DVA.......................36,500...........34,000..........2,500
WIN.......................10,086............7,385..........2,701
LH.........................31,000...........28,000..........3,000
JWN.......................52,000...........48,000..........4,000
TGT......................355,000..........351,000..........4,000
CAT........................47,319...........43,251..........4,068
HCA......................146,000..........141,000..........5,000
M.........................166,000..........161,000..........5,000
CYH.......................64,000...........58,555..........5,445
DG..........................85,900...........79,800..........6,100
UNH.......................87,000...........80,000..........7,000
HUM.......................35,200...........28,100..........7,100

Total all 153....6,613,559......6,677,905.....(64,346)

When you look at the very last part of this list, which shows the US Big Corps with some very healthy US job creation in 2010, I think a couple of salient comments should be pointed out.

First, the health insurance corps and hospital and related health care service corps are clearly here, with 6 of the top 12 US job creators in 2010 being in US Big Corps in the health care industry.

These 6 huge Health Care Corps are Health Insurance giants Humana (HUM) and United Health (UNH), Hospital giants HCA and Community Health Systems (CYH), Kidney Dialysis Service Provider Davita (DVA), and Medical Lab Services Provider Lab Corp of America (LH).

All of these 6 Health Care Corps are benefiting immensely from the new, much unfairly maligned Affordable Health Care legislation, which is actually also acting as a highly-charged US full-time jobs creation engine.

Second, the retail industry comprises 5 of the top 14 US job creators here in 2010. These 5 are Dollar General (DG), Macy's (M), Target (TGT), Nordstrom (JWN), and JC Penney (JCP). The problem here is that in all 5 cases, the overwhelming portion of the US jobs created are really low-paying, no employee benefit, temporary, part-time "jobettes."

And third, Windstream's job creation is driven by many large acquisitions made in 2010.

Also, as you can see from the above charts, GE job creation was just horrible in 2010. Let me give a longer term perspective on the Number of US Employees GE had at the end of the respective years below.

2000 (end of Clinton Presidency)...168,000
2008..............................................152,000
2009..............................................134,000
2010..............................................133,000

Yeah, GE's US Number of Employees have dropped by 35,000, or by an incredible 21%, in the past decade.

And the Obama Administration picks the CEO of GE to head its effort to create US Jobs? Give me a break. GE CEO Jeffrey Immelt's primary objective is to see to it that President Obama is defeated in November 2012.

After all, at the end of 2010, GE has $94 bil of unremitted foreign earnings, income taxed at extremely low tax rates in foreign jurisdictions, parked overseas, which GE lobbyists are vehemently pushing to be allowed to be repatriated back to the US at an extremely low US federal income tax rate.

And don't think it's just Republicans who are for this tax holiday on foreign earnings repatriation by US Big Multinational Corps, the 1%ers. So are many normally progressive Democrats like US Senators Chuck Schumer and Barbara Boxer. The major beneficiaries of the foreign earnings repatriation tax holdiay are US Big Corps headquartered in their States (New York and California). This just shows how quickly high principles can easily succumb to US Big Corp demands.

From my close analysis, the 3 Democratic US Senators who are clearly US Big Corp supporters are Virginia's Mark Warner, Montana's Max Baucus, and Nebraska's Ben Nelson.

Warner even voted last year to retain US Big Corp tax incentives for shipping US jobs overseas.

And Baucus has been the top Democrat on the critical US Senate Finance Committee all throughout the past decade, when the huge wealth gap between the 1% and the 99% has substantially widened. When US Big Corps talk, Baucus listens.....and continually caves in to their demands.

And fortunately for progressives, Nelson, a huge health insurance industry and consistent US Big Corp supporter, is leaving the US Senate. Nebraska used to have giants in the US Senate, like Republican Chuck Hegel and Democrat Bob Kerrey. They now have Senators there of the same quality as Kentucky's twosome: huge Citizens United supporter Mitch McConnell and just one issue (debt reduction), seemingly from another planet Rand Paul.

This gives you a clue as to why the Occupy Movement is focusing on all of the US Congress, not just on the Republicans. Although they publicly say otherwise, facilitators of economic injustice are widespread all throughout the US Congress. Don't listen to what they say.....watch how they vote.

And Immelt's predecessor, former GE CEO Jack Welch, has precisely the same primary objective of having Obama go down in November 2012. They, like so many other US Big Corp CEOs and CFOs, as well as numerous members of the Board of Directors, of US Big Corps, are fierce advocates for the further expansion of the gargantuan wealth gap between the 1% and the 99%.

From their audited financial statements and related income tax footnotes filed with the SEC, here's GE Consolidated Pretax Income and US Federal Income Taxes Paid or (Tax Benefits Received) during the 8 Clinton Presidential Years from 1993 to 2000, and then during the 10 subsequent years from 2001 to 2010, with the bulk of these later years being the 8 Bush/Cheney Presidential Years from 2001 to 2008:

..............................................................US Federal........Effective
....................................Consolidated....Income Tax.....US Fed Inc
...................................Pretax Income..Paid(Benefit).Tax Rate Paid
..........................................(in millions of dollars)
Clinton Presidential Years
1993.................................6,136................1,126
1994.................................8,661................1,299
1995.................................9,737...............1,409
1996...............................10,806..................971
1997...............................11,179................1,176
1998...............................13,477................1,459
1999...............................15,577................1,632
2000..............................18,446................3,005...........16.3%
Total Clinton 8 Yrs......94,019..............12,077...........12.8%

Subsequent 10 Years
2001.............................19,701.................2,514
2002.............................18,891....................137
2003.............................19,904.................1,555
2004.............................20,106.................1,839
2005.............................21,178.................2,755...........13.0%
2006.............................23,330....................514............2.2%
2007.............................26,598......................87............0.3%
2008.............................19,770..................(651)..........(3.3)%
2009...............................9,995..................(833)..........(8.3)%
2010.............................14,208................(3,253)........(22.9)%
Total 10 Yrs 2001-10..193,681.................4,664............2.4%

Yeah, that's right, during the 8 years of the Clinton Presidency, GE Consolidated generated Total Consolidated Pretax Income of $94.0 bil, and paid what seemed like a pretty fair amount of Total US Federal Income Tax of $12.1 bil, which resulted in an effective tax rate paid of 12.8%.

And what has happened in the 10 years since then?.....8 of which were the Bush/Cheney Presidential years, and also most of which had the US House Ways and Means Committee and the US Senate Finance Committee both in Republican control.

Well, in these 10 years from 2000 to 2010, GE Consolidated generated Total Consolidated Pretax Income of $193.7 bil, and paid Total US Federal Income Tax of only $4.7 bil, or an incredibly low effective tax rate paid of 2.4%.

Do you really think that GE wants a Democratic President in 2012? And do you really think that GE wants a US House Ways and Means and US Senate Finance Committee under Democratic control in 2012? GE's CEO works for his stockholders, not for the Obama Administration.

I have a hunch that GE, just like nearly all of the US Big Corps that have paid so very little in US Federal Income Taxes under Bush/Cheney and under Republican House and Republican Senate control, will do everything in their power to prevent the Obama Administration, and the Democrats in both the US Senate and in the US House, from being successful in their clearly laser-like focus on substantial US job creation in both the short run and in the long run.

And the CEO of GE is now in charge of US Jobs? What motivation does he have to be successful here in creating US jobs? I suggest he has absolutely none.

When you think about it, with the incredible tax benefits that GE Consolidated has received over the past 10 years, while so many of the country's citizens and its small businesses have been suffering so severely, US citizens have to be outraged, particularly at the US House Ways and Means Committee, and to a somewhat lesser extent, at the US Senate Finance Committee, for permitting this to happen. With the US economy in such shambles for everyone other than US Big Corps, I think it is in the country's best interests that anyone presently on the US House Ways and Means Committee, who continues to shirk his critical responsibility, should be moved to a less critical US House Committee, and replaced by someone who wants to move both the US economy and US job creation forward.

It is pretty clear to me that US Capitalism hasn't worked properly since the end of the Clinton Administration. This is what happens when you have such a substantial portion of the CEO and CFO population that run US Big Corps only interested in their bottom line, no matter what the cost is to the country.

And this is also what happens when you have a US Congress that is unwilling to prevent, and in many cases even fosters, these whole-scale economic injustices to occur, where the 99% is continually stomped on by the greedy 1%.

Much More to Come!

Indiana Big Corp Earnings: Surged Under Obama, while CEOs Slashed Jobs, and Will Soar under Right to Work, while Low-Paying Jobettes Will Proliferate

2012-01-09T20:42:00.000-08:00

Indiana has a Republican Governor. And its Senate and its House are also both Republican controlled.

Thus, the Republicans in Indiana are using their awesome power, and trying to fast track Big Corp favored Right to Work Legislation, without a Due Process of Reasonable Discussion.

It's pretty clear that the Republicans are afraid that if Indiana citizens are properly educated on the impact of Right to Work Legislation, its many serious flaws will be unveiled.

US Citizens rightly criticize the US Congress for its lack of action. Wise Indiana Citizens should rightly criticize the Indiana Legislature and the Indiana Governor for trying to hastily pass Big Corp favored Right to Work Legislation, which is so detrimental to 99% of Indiana's Citizens.

Right to Work Legislation substantially reduces employee pay and employee benefits and transfers this employee cost reduction to the bottom-line profits of Big Corps, which further expands the gargantuan wealth gap between the 1% and the 99%.

And because this employee pay and benefits reduction is taken out of local economies all over the country, small businesses get economically pummeled by Right to Work.

Right to Work Legislation also substantially shifts jobs from decent full-time ones to the already monstrously-growing, highly-undesirable Jobette ones, which include part-time, temporary, seasonal, employee contractor, and full-time low-paying jobs, where the only thing worse than the low pay is the even lower employee benefits.

These jobettes don't pay enough to permit citizens to house and feed their families.

Isn't the wealth gap between the 1% and the 99% enough already? Just how much does the 1% want, that the clearly dominant Republicans in the Indiana State Government are even now drastically demanding this step-on-the-toes-of-the-99% Right to Work Legislation? What ever happened to the sense of decency?

Having studied extensively the key issues of fast-tracked legislation passed in the past year or so by the Republican controlled States of Florida, Wisconsin, Ohio, and Indiana, in all fairness, I think it is a complete tossup as to which of these four States has acted in the most damaging, egregious manner.

But then a case can be made that Indiana did take this egregious conduct to a completely different level, since it appears that it was the only State that used an Enron-like, Cook-the-Budget-Books strategy of ignoring massive amounts of unrecorded State Revenues to deceptively and inappropriately support drastic education and State Government employee and other cuts.

And what was the ultimate result of these ruthless cost cutting actions, severely harming the 99%? An Indiana State Rainy Day Fund headed for $2 bil, which will permit the State Republicans to assert that when Governor Mitch Daniels leaves office, he will leave a legacy behind of being a fiscal genius. What a pyrrhic victory.

And when the Indiana State Democrats demanded that an independent outside-of-the government audit be performed because of the magical appearance belatedly of all of these substantial State funds after all of these State Employees, including educators, were canned, the dominating State Republicans covered this up by instead having the Indiana Republican-controlled State audit itself on this manner.

Go Figure!

I think that if the Republicans in the Indiana State House were to attempt to maliciously and punitively impose what seems to be a clearly unconstitutional $1,000 daily fine on brave, patriotic Indiana House Democrats, who are acting in the best interests of 99% of the Indiana citizens, who will be severely harmed by Right to Work Legislation, then it is only reasonable that patriotic, compassionate, fair-minded, economic justice-seeking activists publicly expose in a lot more detail the specifics of the seemingly intentional massive low-balling of Indiana Revenues by Indiana State Republicans in order to make their deceptive and ruthless case for supporting substantial, unfair cuts in jobs and employee benefits of State Employees, including State Educators. When you have an oppressive ruling State Government trouncing on the 99%, this action is only fair.

Indiana Citizens should be outraged at this whole-scale devious conduct and governing ineptitude. The Indiana State Republicans are turning the Indiana State Government into the laughing stock of the country.

Anyway, given the very damaging economic consequences to Indiana Citizens resulting from Big Corp favored Right to Work Legislation, I think it would be wise to give a better understanding of just what has been going on with Indiana Big Corp Earnings and Indiana Big Corp Jobs.

In a very quick review of SEC filings, I found 35 Non-Utility Indiana HQed companies, filing with the SEC, with Pretax Income or Pretax Loss of at least $40 mil in any of the most recent three fiscal year ends.

First, below here is an abbreviated Legend I'll be using later below, Indiana HQ's location, Most Recent Fiscal Year End, Most Recent Fiscal Year End Worldwide Core Pretax Income(Loss), and Most Recent Fiscal Year End Worldwide Number of Employees for each of these 35 Indiana Big Corps. As I find more Indiana Corps with the requisite profit size, I'll add them to the below list.

........................................................................Most..........Most
.......................................................................Recent........Recent
.........................................................................FYE...........FYE
...........................................................Most.......WW...........WW
.............................Legend........IN.....Recent.....Core..........# of
Indiana Big Corp...Abbrev.......HQs......FYE.....PTI(L)....Employees
........................................................................mils

Cummins.................CMI....Columbus.Dec10..$1,617......39,200
Eli Lilly.................LLY............Indy.Dec10..$6,625......38,350
WellPoint.............WLP............Indy.Dec10..$4,354......37,500
Berry Plastics.........BRPL...Evansville.Sep11.......$28.......16,000
KARAuctionSrvcs...KAR........Carmel.Dec10.....$130.......12,558
Finish Line.............FINL...........Indy.Feb11......$110.......11,500
Republic Airways....RPA...........Indy.Dec10......($22).......9,850
Zimmer Holdings....ZMH......Warsaw.Dec10..$1,064.........8,800
Biomet...................BIOM.....Warsaw.May11....($124).......7,678
MeadJohnsonNutr..MJN..Evansville.Dec10.....$634........6,500
ITTEducatntlSvcs.....ESI.......Carmel.Dec10.....$614........6,300
Hill-Rom Hldngs......HRC...Batesville.Sep11.....$207........6,230
Steel Dynamics...STLD...Ft Wayne.Dec10.....$213........6,180
SpringleafFinance...SLFC.Evansville.Dec10....($253).......5,900
HHGregg.................HGG..........Indy.Mar11.......$79........5,600
Shoe Carnival.........SCVL.Evansville.Dec10.......$42........4,300
Hillenbrand...............HI...Batesville.Sep11......$158........4,200
Brightpoint............CELL..........Indy.Dec10.......$52........3,909
UCI Intl...................UCI..Evansville.Dec10.......$46........3,900
CNOFinancialGrp....CNO......Carmel.Dec10......$294........3,680
SimonProptyGrp.....SPG..........Indy.Dec10.....$793........3,500
Franklin Electric...FELE.....Bluffton.Dec10........$55........3,470
Accuride...............ACW.Evansville.Dec10.......($44).......2,927
AllisonTransmsn..ALST..........Indy.Dec10........$83........2,750
Old Natl Bancp.......ONB.Evansville.Dec10........$44........2,491
CommrclBargeLne..CBL.Jeffrsnvlle.Dec10........$12........2,432
Wabash National...WNC..Lafayette.Dec10.......($20).......1,800
Vera Bradley.........VRA..Ft Wayne.Jan11.........$52........1,427
First Merchants...FMRC.....Muncie.Dec10..........$3........1,178
1st Source Corp....SRCE.SouthBend.Dec10.......$60........1,160
Haynes Intl.........HAYN...Kokomo..Sep11........$49........1,057
DukeRealtyREIT..DUKR.........Indy.Dec10.........($1).......1,000
FirstFinanclCp.....THFF..TerreHte..Dec10........$40...........813
CalumSpecPdsLP.CLMT.........Indy.Dec10........$17...........650
Baldwin&Lyons......B&L.........Indy.Dec10........$35...........299

Total all 35...............................................$17,046....265,089

Yeah, Eli Lilly and WellPoint combined comprise 28.6% of the total Number of Jobs of these 35 US Big Indiana Corps, substantially lower than the gargantuan 64.4% they comprise of the total Profits.

The fair focus should be on the Number of Jobs, not on the amount of profit. The Indiana Republican-controlled Legislature and Executive Branch is was off target here. It shows that their focus is on the 1%, not on the 99%. And not just the 1% vs. the 99% of Indiana Citizens, but also the 1% vs. the 99% of Indiana businesses.

The Indiana Republican Controlled Executive and Legislative Branches have focused an inordinate amount of effort in financially aiding the most profitable companies. Thus, they have done absolute economic wonders for Eli Lilly and WellPoint.

Clearly, this is not right.....not even close to being right.

From an extensive review of past years of SEC annual report filings of both WellPoint and Eli Lilly, here is the Current Year State Income Tax Paid or Payable and the related Consolidated Pretax Income for each of the most recent 12 years:

................WellPoint.................................Eli Lilly
..............Current Year..........................Current Year
..............State & Local.....WellPoint...........State............ Eli Lilly
...............Income Tax...Consolidated....Income Tax...Consolidated
..............Expense Paid......Pretax........Expense Paid.......Pretax
...............or Payable........Income.........or Payable........Income
………………………….(millions of dollars)....................................

2010..............29..............4,354..................23...............6,525
2009..............87.............7,403..................49...............5,358
2008............126..............3,122.................(45).............(1,308)
2007............117.............5,258...................28...............3,877
2006............134.............4,914..................(25)..............3,418
2005............114.............3,890...................12...............2,718
2004.............27.............1,443..................(11)...............2,942
2003.............15..............1,219...................(6)...............3,262
2002.............14................808..................(13)..............3,458
2001...............8................525...................17...............3,507
2000..............4................330...................(7)...............3,859
1999.............(7)..................61...................(5)...............3,245

12 YR Total.668..........33,327...................17...............40,861

Effective State Income
…..Tax Rate Paid
.....For Past 12 Years
..........WellPoint.........2.00%...............Eli Lilly......0.04%

And the Indiana Statutory Corporate State Income Tax Rate was 8.50% when a substantial portion of these earnings were generated.....and yeah, that's as compared to WellPoint's state income tax rate paid of 2.00% and Eli Lilly's 0.04%.

And WellPoint had such an incredibly low effective state income tax rate paid of 2.00% over the past dozen years, despite the fact that 100% of WellPoint's earnings were generated in the US.

And yes, Governor Mitch Daniels was previously a key high-level executive of Eli Lilly, which paid an effective state income tax rate of 0.04% over the past dozen years.

And how does the Indiana Republican-Controlled Executive and Legislative Branches react to these meager amounts of State Income Tax paid by these two giants that control Indiana Republicans?

They just recently cut Indiana's Corporate State Income Tax Rate by 25%! I'm not kidding. And simultaneously, they substantially reduced State Unemployment Benefits in these desperate economic times. Clearly, a redistribution of the wealth between the rich and the poor, thereby further enlarging the already huge wealth gap between the 1% and the 99%.

Go Figure!

And what's with the Evansville Entrepreneurial Spirit? Seven of these 35 IN Big Corps, or 20%, are based in Evansville. That's pretty cool.

And the 8th is coming. SS&C Technologies, a Connecticut-based high tech software company for the financial industry, is moving its HQs to Evansville.

And this SS&C Technologies has an incredible track record.

Here are its Full-Time Employee Counts at the end of each of the most recent five years:

2006.......901
2007....1,059
2008....1,128
2009....1,253
2010....1,399

That's a consistently great up trend and these are aren't Jobettes, but rather good-paying jobs.

And check out its Pretax Earnings track record.

2006.....$3 mil loss
2007.....$6 mil profit
2008....$26 mil profit
2009....$29 mil profit
2010....$44 mil profit

And for the 9 months ended September 2011, SS&C's Pretax Profits are $56 mil, up 87% over 2010. Whew!

The past Mayors of Evansville must have done an excellent job in bringing businesses to, and keeping businesses in, the Evansville Area. The one main exception is Whirlpool, whose departure just devastated the middle class of the Evansville Area.

Below here is the Pretax Income (PTI) or Pretax Loss (PTL) for each of these 35 Indiana Big Corps for the two most recent fiscal year ends. I am looking forward to updating these numbers when the December 2011 earnings are released.

........................................................................................Most
.......................................................................................Recent
.....................PTI(L)............PTI(L)................PTI(L).........FYE
...................... FYE................FYE.................. FYE...........PTI(L)
...............Dec10/Nov11.Dec09/Nov10.Dec08/Nov09..% Change
.............................(millions of dollars)...................

LLY(1)..........6,625..............6,042...............5,367...........10%
WLP(2).........4,354..............3,611................3,122............21%
CMI..............1,617.................640...............1,178..........153%
ZMH(3)........1,064..............1,071................1,122.............-1%
SPG(4)............793.................652..................628............22%
MJN...............634.................587..................652..............8%
ESI.................614.................491...................327............25%
CNO...............294.................174......................4.............69%
STLD..............213..................(18).................735.........1283%
HRC(5)...........207.................163...................94............27%
HI..................158..................146..................161..............8%
KAR(6)..........130....................34..................(84).........282%
FINL..............110....................72...................51............53%
ALST(7)..........83...................(93)................(111)..........189%
HGG................79....................64...................63............23%
SRCE...............60....................32...................46............88%
FELE...............55....................39...................68............41%
VRA................52....................44...................25............18%
CELL(8)...........52....................35...................24............49%
HAYN(9).........49....................16..................(17).........206%
UCI(10)...........46....................14..................(17).........229%
ONB.................44....................(7)..................62..........729%
SCVL...............42....................25.....................8............68%
THFF...............40....................30...................33............33%
B&L.................35.....................64..................(17).........-45%
BRPL(11).........28....................(89).................(28).........131%
CLMT..............17......................62...................45..........-73%
CBL(12)...........12......................15...................75..........-20%
FMRC...............3.....................(69)..................29..........104%
DUKR(13)........(1).....................(5)...................86...........80%
WNC(14).......(20)....................(72).................(43)..........72%
RPA(15)........(22).....................46...................137........-148%
ACW(16).......(44)...................(123).................(56)..........64%
BIOM(17)....(124)...................(142)...............(369)..........13%
SLFC(18).....(253)...................(889)...............(925)..........72%

Total all 35..17,046.............12,662.............12,475..........35%

LLY(1) Eli Lilly PTI in all three years excludes both Acquired In Process R&D Charges and Asset Impairment Charges. Its 2009 and 2008 PTI also exclude Zyprexa Product Liability Charges.
WLP(2) WellPoint 2009 PTI excludes Gain on sale of business.
ZMH(3) Zimmer Holdings 2010 and 2009 PTI both exclude Goodwill Impairment Charges.
SPG(4) Simon Property Group PTI is Operating Income less Interest Expense, plus Income from Unconsolidated Entities, and is exclusive of large Impairment Charges.
HRC(5) Hill-Rom Holdings 2011 PTI excludes Special Litigation Charge. Its 2010 PTI excludes Special Litigation Credit. And its 2009 PTI excludes Intangible Asset Impairment Charge.
KAR(6) KAR Auction Services 2010 PTI excludes Loss on debt extinguishment. Its 2008 PTI excludes Intangible Asset Impairment Charge.
ALST(7) Allison Transmission 2009 and 2008 PTL both exclude Trademark Impairment Charges.
CELL(8) Brightpoint 2008 PTI excludes Goodwill Impairment Charge.
HAYN(9) Haynes Intl 2009 PTI excludes Goodwill Impairment Charge.
UCI(10) UCI Intl 2010 PTI excludes Loss on debt extinguishment.
BRPL(11) Berry Plastics 2011 PTI excludes Asset Impairment Charges and Debt Retirement Charges.
CBL(12) Commercial Barge Line 2010 PTI excludes Loss on debt retirement.
DUKR(13) Duke Realty REIT PTI is Operating Income less Interest Expense and excludes Impairment Charges.
WNC(14) Wabash National 2010 and 2009 PTL both exclude Change in Fair Value of Warrant Charges. Its 2008 PTL excludes Goodwill Impairment Charge.
RPA(15) Republic Airways 2009 PTI excludes both Goodwill Impairment Charge and Gain on Bargain Purchase.
ACW(16) Accuride 2010 PTL excludes both Gain on market value change on convertible debt and large Inducement Expenses.
BIOM(17) Biomet 2010 and 2011 PTL both exclude Goodwill Impairment Charges.
SLFC(18) Springleaf Finance 2010 PTL excludes $1.5 bil Gain on Bargain Purchase.

I find it incredible how the Indiana Big Corps were so resilient in the heart of the Deep Recession in 2009, where the Total Pretax Income of these 35 Indiana Big Corps actually increased from $12,475 mil to $12,662 mil. Not so for the majority of Big Corps in other US States, whose earnings in 2009 steeply declined.

And then these 35 Indiana Big Corp Total Earnings increased very robustly by 35% in the most recent fiscal year end.

But what was the story with the trend in the Number of Employees of these Indiana Big Corps in the most recent two years? Well, just horrible.

Of these 35 Indiana Big Corps, 3 of them didn't disclose their Number of Employees in each of the 3 most recent years. In addition, Republic Airways made a huge acquisition in 2009 and Berry Plastics made several significant acquisitions in 2009.

Thus, below here are the Worldwide Number of Employees of each of these remaining 30 Indiana Big Corps at the end of each of the most recent three fiscal years.

.........................Worldwide Number of Employees
.........................At the end of each Fiscal Year End
...........................Dec10........Dec09........Dec08
............................Thru...........Thru..........Thru
...........................Nov11........Nov10.......Nov09

CMI...................39,200.......34,900......39,800
LLY...................38,350.......40,360......40,500
WLP..................37,500.......40,500......42,900
KAR..................12,558........12,648.......14,003
FINL.................11,500........11,100.......12,300
ZMH...................8,800.........8,200.........8,500
BIOM.................7,678..........7,469.........7,107
MJN...................6,500.........5,600.........5,300
ESI....................6,300...........5,500.........4,620
HRC...................6,230..........6,350.........6,500
STLD..................6,180..........5,990.........6,650
SLFC..................5,900.........6,500.........7,900
HGG...................5,600.........4,900.........3,500
SCVL..................4,300.........4,300.........4,200
HI......................4,200.........3,850.........3,250
CELL..................3,909.........2,705.........3,032
UCI....................3,900.........4,350.........4,900
CNO....................3,680.........3,500.........3,700
SPG....................3,500.........3,300.........3,500
FELE..................3,470.........3,500.........3,500
ACW...................2,927.........2,450.........2,980
ONB....................2,491.........2,812.........2,507
WNC...................1,800.........1,600........2,800
FMRC.................1,178.........1,207.........1,367
SRCE..................1,160.........1,170.........1,280
HAYN................1,057...........980............940
DUKR.................1,000........1,000.........1,200
THFF.....................813...........830............766
CLMT....................650...........620............640
B&L.......................299...........293............312

Total all 30...232,630....228,484....240,454

Reduction in WW Number of Employees Most Recent 2 Years
.....Total...........7,823
.....Percentage.....(3)%

Yeah, that's right, while the Total Pretax Income of these Indiana Big Corps increased by 37% in the most recent 2 years, the CEOs of these above 30 Indiana Big Corps slashed a total of 7,823 Worldwide Jobs, or a 3% reduction.

But it gets even much worse, when viewed domestically.

Of these 30 Indiana Big Corps, 19 of them either disclosed their US Number of Employees or operated only in the US in the most recent 3 years.

Below here are these 19 Indiana Big Corps, and the number of US employees they had, at the end of each of the most recent 3 fiscal year ends (FYEs).

...........................US Number of Employees
....................At the end of each Fiscal Year End
......................Dec10........Dec09........Dec08...Most Recent 2 Year
.......................Thru...........Thru..........Thru......US Job Slashing
......................Nov11........Nov10.......Nov09....By "Job Creators"

WLP..............37,500.......40,500......42,900..........5,400
LLY...............17,650.......20,060......20,900..........3,250
FINL..............11,500........11,100......12,300.............800
KAR.................9,663..........9,819......11,044...........1,381
ESI..................6,300..........5,500.......4,620
STLD...............6,180...........5,990.......6,650.............470
HGG................5,600...........4,900......3,500
ZMH................4,900..........4,900.......5,200............300
SCVL...............4,300..........4,300.......4,200
CNO.................3,680..........3,500.......3,700..............20
SPG.................3,500..........3,300.......3,500
BIOM..............3,233...........3,453.......3,548..............315
ONB................2,491...........2,812.......2,507................16
WNC...............1,800...........1,600......2,800..........1,000
FMRC.............1,178...........1,207.......1,367..............189
SRCE..............1,160...........1,170.......1,280..............120
DUKR.............1,000..........1,000.......1,200.............200
THFF................813..............830..........766
CLMT...............650..............620..........640

Total all 19..123,098......126,561...132,622...........13,461

Net Reduction in US Number of Employees Most Recent 2 Years
.....Total...........9,524
.....Percentage.....(7)%

Yeah, in the most recent two years, these Indiana Big Corps slashed US jobs by 7%, while they simultaneously increased their Total Pretax Earnings by 37% and their Total After-tax Earnings Per Share (EPS) by even a much higher percentage.

To better explain the latter point, giant WellPoint's Net Income was $2,877 mil in 2010, an increase of 16% from 2008, which had a $481 mil tax benefit from extremely favorable income tax audit settlements.

So what happened to WellPoint's EPS, which is what drives its stock price and much of its executive compensation?

Would you believe that its EPS increased by a massive 46%, going from $4.76 in 2008 to $6.94 in 2010? It's true.

How could that be? Net Income up 16% and EPS up 46%? It's all about magical financial engineering, that the 1% Big Corps have over everyone else.

WellPoint reduced its average number of common shares outstanding by spending $10.3 bil in buying back its own common stock in the most recent three years (2008 to 2010). By doing this, the denominator in its EPS computation dropped dramatically, thereby increasing EPS dramatically.

And WellPoint sees absolutely nothing wrong with slashing 5,400 US Jobs in the most recent 2 years, while simultaneously increasing its EPS by 46%.

Go Figure!

Republican Presidential Candidate Mitt Romney boldly says that the 99% envy the wealth of the 1%. He's way out of touch on this key issue here. It's not about envy.....not even close to being about envy. Instead, it's all about economic fairness. And it's also all about having enough take-home pay, after paying payroll taxes, paying income withholding taxes, and paying exorbitant gas prices, to house and feed your family. The live-in-their-own-world Big Oil and Big Financial Engineers, and their 1% beneficiaries, just don't get this.

This is precisely why the Occupy Movement was so strong in the 4Q 2011, and will get substantially stronger in 2012, especially after the horrible winter weather is history.

===================================

Late Additions to Above Indiana Big Corp List:

........................................................................Most..........Most
.......................................................................Recent........Recent
.........................................................................FYE...........FYE
...........................................................Most.......WW...........WW
.............................Legend........IN.....Recent.....Core..........# of
Indiana Big Corp...Abbrev.......HQs......FYE.....PTI(L)....Employees
........................................................................mils

Remy.....................REM...Pendleton..Dec10.....$59.........5,717
Lakeland Financial.LKLF.....Warsaw...Dec10.....$37...........467

Of Remy's 5,717 employees, only 830 of them are in the US.

Lakeland Financial's Pretax Income is just short of $40 mil in 2010, but it should be there in 2011, since its earnings are up 19% in the first 9 months of 2011.

........................................................................................Most
.......................................................................................Recent
.....................PTI(L)............PTI(L)................PTI(L).........FYE
...................... FYE................FYE.................. FYE...........PTI(L)
...............Dec10/Nov11.Dec09/Nov10.Dec08/Nov09..% Change
.............................(millions of dollars)...................

REM(19)..........59..................27......................2..............119%
WLP................37..................28.....................29................32%

REM(19) Remy Intl 2010 PTI excludes Loss on debt retirement.

Much More to Come!

US Big Corps: Spectacular Earnings Growth But Lackluster Jobs Added (Part One)

2012-01-04T13:03:00.000-08:00

In a recent post, I found 245 US Big Corps, which have fiscal year ends from February through November, and which have released their 2011 annual earnings.

For Corps HQed in the Big 2 US States (Texas and New York), where the bulk of the extremely profitable Big Oil and Big Financial Corps are HQed, I am defining US Big Corps as ones which have Annual Pretax Income or Pretax Loss of $200 mil or more in any of the most recent three fiscal year ends.

For Corps in all of the other 48 US States, I am defining US Big Corps as ones which have Annual Pretax Income or Pretax Loss of $100 mil or more in any of the most recent three fiscal years.

How did these 245 US Big Corps do?

Well, spectacular. The Total Pretax Income growth was 66% for the two years from 2009 to 2011, which translates to a Total After-tax EPS Growth in the range of 75% to 80%.

How fair were these US Big Corps in sharing this incredibly robust earnings largesse by adding jobs in this same two-year period?

Well frankly, just horrible.

From a review of SEC annual filings, below here are the 102 of these 245 US Big Corps which had Pretax Income or Loss of more than $500 mil in any of the most recent three years.

Below here are these 102 US Big Corps, and the number of worldwide employees they had, at the end of each of the most recent four fiscal year ends (FYEs).

............................................Worldwide Number of Employees
............................................At the end of each Fiscal Year End
........................................2011........2010.........2009........2008

Hewlett Packard...........349,600...324,600...304,000...321,000
Accenture....................236,000...204,000..177,000...186,000
Best Buy.......................180,000...180,000...155,000...150,000
Walgreens....................176,000...177,000...166,000...163,000
Flextronics..................176,000...165,000...160,000...162,000
Johnson Controls.........162,000...137,000...130,000...140,000
Disney..........................156,000...149,000...144,000...150,000
Starbucks.....................149,000...137,000...142,000...176,000
Supervalu.....................142,000...160,000...178,000...192,000
Emerson Electric(1)......133,200...127,700...129,000...140,700
Procter&Gamble...........129,000...127,000...132,000...135,000
Tyson Foods.................115,000...115,000....117,000...107,000
Oracle(2)......................108,000...105,000...115,000....119,133
Tyco Intl......................102,000...108,000...106,000...113,000
FedEx............................95,000.....93,000.....93,000.....94,700
TE Connectivity.............95,000.....89,000.....78,000.....96,000
Costco...........................92,000.....82,000.....79,000.....75,000
CSC................................91,000.....94,000.....92,000.....89,000
Microsoft......................90,000.....89,000.....93,000.....91,000
Cisco Systems................71,825.....70,700.....65,500.....66,129
Western Digital..............65,431......62,500.....45,991......50,072
Autozone......................65,000.....63,000.....60,000.....57,000
Deere............................61,300......55,700.....51,300.....56,700
Apple............................60,400.....46,600.....34,300.....32,000
Parker Hannifin.............58,400.....54,800......51,639.....61,722
Apollo Group................55,535......56,146......52,385.....44,372
Seagate Technology......52,700.....52,600.....47,000.....54,000
Rite Aid........................51,408......54,600......57,680.....60,912
ADP..............................51,000.....47,000.....45,000.....47,000
NewsCorp(3).................51,000.....51,000.....55,000.....64,000
WholeFoodsMkt............48,200.....45,300.....43,000.....46,800
Smithfield Foods...........46,350.....48,000.....52,400......58,100
Sysco...........................46,000.....46,000.....47,000.....50,000
Jacobs Eng...................45,700.....38,500.....38,900.....43,700
Medtronic....................45,000.....43,000.....41,000.....40,000
BedBath&Beyond.........45,000.....41,000.....37,000.....39,000
Covidien Ltd................41,300......41,500.....41,800......41,700
Nike.............................38,000.....34,400.....34,300......32,500
McKesson....................36,400.....32,500.....32,500......32,900
General Mills...............35,000.....33,000.....30,000......29,500
HJ Heinz......................34,800.....29,600.....32,400......32,500
Estee Lauder................32,300.....31,200.....31,300......32,000
Cardinal Health(4).......31,900.....31,200.....46,500......47,600
FamilyDollarStrs.........31,000.....30,000....27,000......25,000
ArcherDanMidland......30,700....29,300.....28,200......27,600
Becton Dickinson.........29,369.....28,803......29,116......28,277
Micron Technology.....26,100.....25,900.....18,200......22,800
Polo Ralph Lauren.......24,000.....19,900....17,000......15,000
ConAgra Foods............23,200.....24,400....25,600......25,000
Qualcomm...................21,200.....17,500.....16,100......15,400
Sara Lee......................21,000.....33,400.....41,000......44,000
Rockwell Automation..21,000.....19,000.....19,000......21,000
Monsanto....................20,600.....21,400.....22,900......21,700
Rockwell Collins..........20,500.....20,000.....19,300......20,300
Hormel Foods..............19,500.....19,300.....18,600......19,100
Air Prods&Chems.........18,900.....18,300.....18,900......21,100
Agilent Technology......18,700.....18,500.....16,800......19,600
Symantec.....................18,600.....17,400.....17,400.....17,600
PrecisCastParts............18,300.....18,100.....20,300......21,400
Avnet..........................17,600.....14,200.....12,900......12,800
Campbell Foods...........17,500.....18,400.....18,700......19,400
Harris Corp..................16,900.....15,800.....15,400......16,500
CarMax.........................15,565.....13,439.....13,035......15,637
Coach...........................15,000....13,000.....12,000......12,000
Joy Global....................14,500.....11,900.....11,300.......11,800
CA................................13,400.....13,800.....13,200.....13,700
Oshkosh.......................13,100.....12,400.....12,300......14,000
Applied Matls...............13,000.....13,000....12,619.......14,824
Paychex.......................12,400.....12,200.....12,500......12,200
Viacom........................10,580.....11,200......11,500.....10,800
DiscoverFinclSvcs........10,300.....10,500....11,900......12,800
NetApp........................10,212........8,333.......7,976.......7,645
Carnival.......................10,200.....10,600.....10,700.....10,900
Darden Rests................10,000.....10,000......9,200.......9,600
CHS................................9,562........8,812.......8,802.......8,099
AmeriSourceBerg..........9,400........9,100.......9,100.......9,700
Maxim Integr................9,370........9,200.......8,765.......9,810
Analog Devices..............9,200........8,500......8,300.......9,000
Adobe Systems..............9,117.........8,660......7,335.......6,959
Helmerich&Payne..........8,707........7,475......5,371.......7,356
FranklinResources.........8,500.......7,900......7,700.......8,800
Clorox...........................8,100........8,300......8,300.......8,300
Intuit............................8,000.......7,700......7,800.......8,200
H&R Block.....................7,900.......7,700......8,300.......9,700
Mosaic..........................7,700........7,500.....7,500.......7,400
Electronic Arts.............7,600........7,800......9,100.......9,000
Visa..............................7,500........6,800......5,700.......5,765
BMC Software................6,200.......6,100......5,800........5,800
Varian Med Syst............5,700.......5,300......5,100........4,900
Forest Labs...................5,600........5,200......5,225........5,211
KLA Tencor...................5,500.......5,000......4,900.......6,000
TD Ameritrade..............5,451........5,240.......5,196........4,660
Linear Technology........4,505.......4,191........3,821........4,173
JM Smucker..................4,500.......4,850.......4,700.......3,250
ConstelltnBrnds............4,300.....6,000........6,600........8,200
Lam Research...............3,700.......3,232.......2,711........3,800
Brown Forman.............3,700.......3,700.......3,800........4,135
Legg Mason..................3,395........3,550.......3,890........4,220
ToyotaMotorCredit......3,170........3,250.......3,300.......3,200
Xilinx...........................3,099........2,948.......3,145........3,415
DR Horton....................3,010........3,214.......2,926.......3,800
Hovnanian Enterpr......1,500........1,629.......1,750........2,816

Total all 102........4,683,661..4,491,972..4,369,478..4,555,892

Total Annual % Change
.....2010 to 2011.....+4%
.....2009 to 2010....+3%
.....2008 to 2009.....(4)%
Two-Year % Change(2009 to 2011)....+7%
Three-Year % Change(2008 to 2011)..+3%

(1) Emerson Electric's above number of employees are the average for the year.
(2) Oracle's above number of employees in 2009 and 2008 also include those of Sun Microsystems, which they acquired in 2010.
(3) NewsCorp's above number of employees are its full-time employees only for each of the most recent three years (2009 through 2011), but included both its full-time and part-time employees in 2008.
(4) Cardinal Health's above number of employees include those of CareFusion in both 2008 and 2009, which it spun off in 2010.

Below here compares the Earnings Growth with the Worldwide Number of Employees Growth of these 102 US Big Corps in the most recent two years.

...........................................................Worldwide.....Magnitude of
.............................Pretax Income..# of Employees..1% (Trounce)
.............................2009 to 2011......2009 to 2011.....of the 99%
................................% Change............% Change.......2009 to 2011

Agilent Technology...14643%.................11%..............-14632%
Tyson Foods................6218%.................-2%...............-6219%
Oshkosh......................3375%..................7%...............-3368%
DiscoverFinclSvcs.......1433%................-13%...............-1447%
TE Connectivity...........1424%.................22%...............-1402%
Johnson Controls........1120%.................25%...............-1095%
KLA Tencor...................812%.................12%.................-800%
Maxim Integrated.........670%..................7%..................-663%
Applied Materials..........589%..................3%.................-586%
Lam Research...............580%.................36%.................-544%
CarMax.........................532%.................19%..................-513%
NetApp.........................480%.................28%.................-452%
Flextronics...................442%.................10%.................-432%
Toyota Motor Credit.....385%.................-4%..................-389%
Smithfield Foods...........266%.................-12%................-278%
Analog Devices.............257%..................11%.................-246%
Constellation Brands.....185%................-35%.................-220%
Starbucks......................223%...................5%.................-218%
Rockwell Automation....217%..................11%................-206%
Seagate Technology.......217%..................12%................-205%
Estee Lauder..................199%...................3%.................-196%
Deere.............................215%..................19%.................-196%
Avnet.............................176%..................36%.................-139%
Legg Mason....................119%.................-13%.................-132%
CHS................................128%....................9%.................-119%
Whole Foods Market......120%..................12%..................-108%
Apple.............................183%..................76%................-107%
Tyco Intl........................102%..................-4%.................-106%
NewsCorp.........................93%..................-7%.................-101%
DR Horton......................102%...................3%...................-99%
Air Products&Chems........98%...................0%...................-98%
Micron Technology........139%..................43%...................-96%
Parker Hannifin..............107%..................13%...................-94%
Franklin Resources.........104%..................10%...................-93%
Hovnanian Enterprises.....73%.................-14%...................-87%
JM Smucker......................81%..................-4%....................-85%
Linear Technology............96%..................18%...................-78%
Xilinx................................68%..................-1%...................-70%
Bed Bath & Beyond............89%..................22%...................-68%
Sara Lee...........................17%.................-49%...................-66%
Cardinal Health.................31%.................-31%...................-62%
Electronic Arts.................43%.................-16%...................-59%
Oracle...............................46%...................-6%...................-52%
Emerson Electric..............48%....................3%...................-45%
Microsoft.........................42%...................-3%...................-45%
Intuit...............................48%....................3%...................-45%
ConAgra Foods................35%...................-9%...................-44%
FedEx..............................44%....................2%...................-42%
Viacom............................34%...................-8%...................-42%
Rite Aid...........................29%..................-11%...................-40%
Qualcomm.......................66%...................32%...................-35%
AmeriSource Bergen........37%....................3%...................-34%
Disney.............................42%....................8%....................-34%
Brown Forman.................32%...................-3%....................-34%
Hormel Foods..................36%....................5%....................-31%
Forest Labs......................38%....................7%....................-31%
Covidien Ltd....................23%...................-1%....................-24%
Adobe Systems................47%...................24%...................-23%
Costco.............................38%...................16%...................-22%
Family Dollar Stores........37%..................15%....................-22%
BMC Software..................28%....................7%....................-21%
Autozone.........................28%....................8%....................-20%
Clorox.............................16%...................-2%.....................-18%
Darden Restaurants.........26%....................9%.....................-18%
Walgreens.......................22%....................6%.....................-16%
Campbell Foods................8%...................-6%.....................-15%
CA...................................15%....................2%.....................-14%
Western Digital................56%...................42%....................-13%
Mosaic............................16%....................3%.....................-13%
Medtronic.......................22%...................10%....................-12%
ArcherDanMidland..........21%....................9%.....................-12%
Varian Medical Systems..24%...................12%.....................-12%
Carnival............................6%...................-5%.....................-11%
Nike................................21%...................11%.....................-10%
Visa................................41%....................32%....................-10%
Harris Corp.....................19%...................10%.....................-9%
General Mills...................25%...................17%.....................-8%
Becton Dickinson..............9%....................1%......................-8%
Procter & Gamble..............5%...................-2%.....................-8%
Coach.............................32%...................25%.....................-7%
McKesson.......................19%...................12%.....................-7%
Precision CastParts..........-4%..................-10%.....................-6%
Sysco................................3%...................-2%......................-5%
CSC...................................2%...................-1%......................-3%
Joy Global.......................31%...................28%.....................-3%
Hewlett Packard...............16%..................15%.....................-1%
Polo Ralph Lauren...........40%..................41%.......................1%
Accenture.......................31%...................33%.....................2%
Paychex...........................-2%...................-1%......................2%
HJ Heinz...........................4%....................7%......................3%
Apollo Group....................2%....................6%......................4%
Best Buy..........................11%...................16%......................5%
Rockwell Collins................0%....................6%......................7%
Cisco Systems...................2%...................10%......................8%
Monsanto......................-19%..................-10%......................9%
TD Ameritrade................-4%.....................5%......................9%
ADP.................................2%....................13%....................12%
H&R Block.....................-19%...................-5%.....................14%
Symantec......................-16%....................7%.....................23%
Supervalu.....................-53%.................-20%.....................33%
Jacobs Engineering.......-17%..................17%.....................35%
Helmerich & Payne.........15%..................62%.....................47%

Total all 102................64%...................7%...................-57%

Yeah, the Worldwide Total Pretax Income in 2011 of these 102 US Big Corps increased by a massive 64%, and markedly even higher on a Total EPS Growth basis, in the most recent two years, far surpassing the 7% worldwide employee growth of these 102 US Big Corps in the same two years. This gives a good indication of one key reason as to why there is so much protesting in the Streets by 99%ers around the world, and to why it will continue in 2012, and even in a much more explosive manner. This also shows why US Big Corps, along with their CEOs and CFOs, are viewed so unfavorably around the globe.

But it gets even much worse, when viewed domestically.

Of these 102 US Big Corps, 38 of them either disclosed their Number of US jobs separately, or have an overwhelming portion of their operations in the US. Thus for the latter predominantly US Big Corps, I used the worldwide Number of Jobs in the below chart.

I have excluded Oracle below since it made a huge acquisition of Sun Microsystems in FYE 2010, but there was no disclosure of the US employee additions due to this acquisition. I also excluded Cardinal Health below since it spun off CareFusion in 2010, but there was no disclosure of the US employee reductions due to this spinoff.

These 38 US Big Corps had almost precisely the same Number of Jobs at the end of each of the most recent 3 years. And these 389 US Big Corps slashed a total of 72,611 in the most recent 3 years from 2008 to 2011.

Below here are these 38 US Big Corps, and the number of US employees they had, at the end of each of the most recent four fiscal year ends (FYEs).

...................................................US Number of Employees
............................................At the end of each Fiscal Year End
........................................2011........2010.........2009........2008

Walgreens....................176,000...177,000...166,000....163,000
Supervalu....................142,000...160,000...178,000....192,000 Starbucks....................112,000...107,000....111,000....143,000
Tyson Foods..................97,000....97,000...100,000.....99,000
Autozone.......................61,500....60,000.....57,000.....54,400
Microsoft.......................54,000....54,000.....56,000.....55,000
Rite Aid..........................51,408....54,600.....57,680......60,912
Whole Foods Market......48,200....45,300.....43,000......46,800
Bed Bath & Beyond........45,000....41,000.....37,000......39,000
Tyco Intl.......................39,000....41,000.....38,000......42,000
Cisco Systems................37,300....38,350.....37,050......37,429
Family Dollar Stores.......31,000....30,000....27,000.....25,000
Parker Hannifin..............27,460....25,900....23,722.......29,802
ConAgra Foods...............23,200....24,400....25,600......25,000
Polo Ralph Lauren..........16,000....13,000....12,000......11,700
CarMax..........................15,565.....13,439.....13,035.......15,637
Harris Corp....................14,872.....14,378.....14,168.......14,685
Paychex.........................12,400.....12,200....12,500......12,200
Becton Dickinson............12,041....12,262.....12,698........12,649
Micron Technology........10,600.....10,000.....9,300.......12,300
Discover Fincl Svcs........10,300.....10,500....11,900.......12,800
Darden Restaurants........10,000....10,000.....9,200.........9,600
CHS..................................9,562........8,812.....8,802.........8,099
AmeriSource Bergen........9,400........9,100.....9,100.........9,700
Symantec.........................8,556........8,178.....8,352..........9,328
Rockwell Automation.......8,000.......8,000.....8,300.........9,800
H&R Block........................7,900.......7,700.....8,300.........9,700
Helmerich & Payne...........7,677.......6,383......4,237.........6,184
Joy Global........................7,218.......5,600......5,300.........5,700
Air Prods & Chems...........7,200.......7,300......7,500.........9,500
CA...................................7,000.......7,500......7,100.........7,300
TD Ameritrade.................5,451........5,240......5,196..........4,660
Varian Medical System.....3,500.......3,100......3,300.........3,000
Toyota Motor Credit.........3,170.......3,250......3,300.........3,200
Electronic Arts.................3,100.......3,200......4,000.........3,900
DR Horton........................3,010.......3,214......2,926..........3,800
Constellation Brands........2,800.......2,800......2,900.........3,900
Hovnanian Enterprises.....1,500.......1,629......1,750..........2,816

Total all 38................1,141,890..1,142,335..1,142,216..1,214,501

Total Annual % Change
.....2010 to 2011.....+0%
.....2009 to 2010....+0%%
.....2008 to 2009.....(6)%
Two-Year % Change(2009 to 2011)....+0%
Three-Year % Change(2008 to 2011)..(6)%

Yeah, even when these 38 US Big Corps were reporting explosive earnings growth in the most recent two years, their Total US number of employees remained precisely flat. Where's the economic fairness and sense of decency? This is a main reason you see the Occupy Movement in the US being so strong in the fourth quarter of 2011, and also why it will be even substantially more explosive in 2012.

When I review all of the above numbers, all that I can conclude is that unbridled, unregulated capitalism just doesn't work. Capitalism does work if you have a widespread cadre of Corporate Leaders with a sense of decency and fairness to everyone, not just to their stockholders. But with so many of the US Big Corp CEOs and CFOs having such a narrow intense focus on achieving awesome power and self-interest greed, coupled with their widespread lack of character, you get severe job depression and very low employee wages, which is precisely where the country is now.

The US Government's role is to put in the wise regulations and legislation that makes capitalism work for everyone, not just for the US Big Corps and their 1% beneficiaries.

The US Congress is not doing this, and so many of them need to be replaced.....nearly all of the Republicans, and even a handful of the Democrats.

The Obama Administration continually tries to do this, but is always stopped cold in its tracks by the Republicans in the US House and US Senate, who are the Serfs of the US Big Corps and their 1% beneficiaries.

That is why it would be so devastating to the country if Mitt Romney, the personification of the 1%, is our next President. If you think the 1% has all of the economic benefits and power now, Romney would see to it that this awesome power and economic benefits bestowed on the US Big Corps and their 1% beneficiaries by the US Government will be taken to a completely different level. And I think the ultimate result could well be a revolution of the oppressed against the 1%.

Much more to come!

US Government Should Highly Incentivize Corps Increasing Payroll Counts, Pay and Benefits

2012-01-03T09:16:00.000-08:00

Clearly the whole ball game is in full-time US job creation, at a fair wage, for the 99%.

But with this near-sighted, close-minded, uncompromising, dysfunctional, ineffective US Congress, which while declaring otherwise, clearly legislates only for the 1%, this isn’t going to happen.

Thus the Obama Administration is spot on, when it says it can’t wait for the US Congress. It must take the initiative and act on its own to spur the highly-depressed US job situation.

I think a very wise, very simple, and highly effective step for the Obama Administration to take is to reward companies which increase their US full-time head counts significantly, and also continue to do so.

Also, I think it would be wise for the Obama Administration to reward companies which significantly increase the average pay and the average employee benefit costs of their US full-time employees, and also continue to do so.

Thus, successful companies that share their wealth fairly with their existing and future employees will get special treatment by the US Government. And companies that refuse to help solve the horrible US job and wage depression get no special treatment by the US Government. That is only fair, and clearly the right thing to do.

I can come up with a very long list of wise actions that would substantively reward companies taking these patriotic actions on jobs and fair wages.

One of the many particularly effective steps would be for the US Government to place companies, which significantly increase their US full-time payroll counts, their average pay, and/or their average employee benefit costs, way up the preferential list on the awarding and renewal of US Government Contracts.

And there are so many ways the US Government could reward these companies by fast-tracking so many reasonable requests made by these companies.

Also, the US Government could go out of its way to prudently short-cut prolonged negotiations on various legal issues with these companies.

I also think it would be wise to ask each of the US Cabinet Secretary Heads, as well as other key US Government Employees, to prepare a long list of US Government actions, where US Congressional Action is not needed, which effectively and fairly reward companies that increase significantly their US full-time employee counts, their average pay and their average employee benefits, and continue to do so.

Further, I think the Obama Administration should also simply ask US Corps how they would like to be rewarded if they were to significantly increase their US full-time payroll counts, their average pay, and/or their average employee benefit costs.

Big Corps love thinking about and having open discussions on creative requests like this one. And man are they ever good at coming up with highly effective, very creative rewards that no one has contemplated. This is what they are trained to do well.

US Government Should Disincentivize Excessive Stock Buybacks

2012-01-03T08:17:00.000-08:00

Very profitable US Big Corps are clearly overdosing on stock buybacks.

Such a greedy, unpatriotic overdosing on these stock buybacks substantially benefits Earnings Per Share, and thus stock prices.

However, it economically devastates further the 99%, since instead of these US Big Corps making wise US job-creation investments, they heavily spend an outsized portion of their Cash Flow Generated From Operations on these stock buybacks.

Clearly, it is in nearly everyone's best interest to prevent this overdosing on stock buybacks.

But with this US Congress, which consistently legislates for the 1%, it is not going to happen.

The Obama Administration can't wait on the clearly dysfunctional, ineffective US Congress. It must act on its own and take wise steps, which don't require US Congressional Action, to prevent this clear overdosing on stock buybacks.

There is a long list of disincentives that I can easily come up with to prevent this harmful overdosing on stock buybacks.

I think one of the many particularly effective steps is for the US Government to place Corps that clearly overdose on stock buybacks way down the preferential list on getting US Government Contracts.

US Government Cabinet Heads and other key US Government employees can derive their own very long lists of wise steps the US Government can take to prevent US Big Corps from taking steps that clearly harm US job creation, such as by US Big Corps overdosing on stock buybacks.

SEC Should Require Corps To Be More Transparent in Their Employee Reporting

2012-01-03T06:59:00.000-08:00

Given how US unemployment and US underemployment is the dominant issue of concern to US citizens, I thought it would be wise to review the annual SEC filings of US Corps to see just what they are disclosing.

Amazingly, there is such a paucity of employee reporting to the SEC by US Corps.

All you see is mostly a very brief paragraph, and in many cases, just one sentence.

And there is little consistency in the US Big Corp SEC reporting of employees.

Some Corps report the number of full-time employees, while others also include part-time and temporary employees. With this US job depression, the relevant number that should be reported separately is the number of full-time employees, along with the related average pay and average employee benefits. These are the real jobs.

From reviewing more than 1,000 of US large corp SEC disclosures on their employees, I find it incredible of the number of part-time, seasonal, temporary, and contract workers.....all "Jobettes" that so many large US Corps have. These all fall into the neglected "Underemployed" Category that is such a devastating US job problem. And these underemployed people aren't included in the already extremely high US Unemployment Rate.

Let me just cite a couple of specific problems with these number of Jobettes being reported or not reported in US Big Corp SEC filings.

Walmart has 2.1 million employees, but refused to disclose the breakdown here between its number of full-time and part-time employees. All Walmart would say is that they have a large number of part-time employees. I'm not kidding.....that's their SEC disclosure, and the SEC has absolutely no problem with this.

And the same goes for giants McDonalds, Target, Safeway, Kroger, Macy's (including Bloomingdale's), Best Buy, JC Penney, TJX (including T.J. Maxx, Marshalls and HomeGoods), Safeway, Starbucks, the Gap (including also Old Navy and Banana Republic) and many more huge US Corps with their decision to not report their substantial number of part-time employees.

Yum Brands (Kentucky Fried Chicken, Pizza Hut and Taco Bell) did report its number of part-time employees, which comprised an amazingly high 86% of its 378,000 work force.

And Limited Brands (Victoria Secret's and Bath & Body Works) also reported its 79,000 part-time employees, which made up an incredible 82%% of its total work force.

So did Kohls, whose 107,000 part-time employees comprised 79% of its total work force.

So did Ross Stores also reported its 35,500 part-time employees, which made up 72% of its total work force.

So did Publix Super Markets, whose 78,000 part-time employees comprised 53% of its work force.

So did Costco, whose 72,000 part-time employees comprised 44% of its work force.

So did Home Depot, whose 41% of their 321,000 employees are part-time.

So did Staples, whose 36,100 part-time employees comprised 41% of its work force.

So did Lowe's, whose 73,000 part-time employees comprised 31% of its work force.

So did Walgreen's, whose 71,000 part-time employees comprised 29% of its work force.

And so did CVS Caremark, whose 79,000 part-time employees comprised 28% of its work force.

Carnival's 75,000 Crew Members on its cruise ships are more than 7 times its number of 10,200 full-time employees.

Darden Restaurant's (Olive Garden, Red Lobster and LongHorn Steakhouse) 168,500 hourly restaurant personnel made up a massive 94% of its total work force.

And a substantially high percentage of US For-Profit Education Corp employees, including professors, are part-time employees, or even worse, independent contractors.

And FedEx didn't report their massive number of Drivers, who are very questionably treated as jobette independent contractors.

And all US Republican Presidential Candidates proudly proclaim that they are wholeheartedly for deceptively and intentionally inaccurately-named National "Right to Work"?

Right to Work Legislation substantially reduces employee pay and employee benefits and transfers this employee cost reduction to the bottom-line profits of US Big Corps, which further expands the gargantuan wealth gap between the 1% and the 99%.

And because this employee pay and benefits reduction is taken out of local economies all over the country, small businesses get economically pummeled by Right to Work.

Right to Work Legislation also substantially shifts jobs from decent full-time ones to the already monstrously-growing, highly-undesirable Jobette ones.

Isn't the wealth gap between the 1% and the 99% enough already? Just how much does the 1% want, that they are even now drastically demanding this step-on-the-toes-of-the-99% Right to Work Legislation? What ever happened to the country's sense of decency?

I think what has happened here with these large US Corps maximizing their "Jobette" worker category is flat out criminal. It's all about maximizing the bottom-line profits of large US Corps, regardless of the horrible economic consequences to these so many underemployed, who aren't earning anyway near a livable wage.

And it is another case of the 1% coldly trouncing on the 99%. But what these 1% Corps have to realize is that it is just a matter of time before this incredibly and brutally cruel and unfair economic situation gets corrected, one way or another.

The Occupying Movement is closely watching how US Big Corps, the US Congress, and the State Legislators deal with this huge "Jobette" problem, since many of these brave Occupiers are presently Jobettely employed.

Also, the overwhelming majority of US Big Corps simply report the approximate number of employees to the nearest thousand, as if they don't know exactly how many employees they have. What an incredibly devious, cold-hearted approach. They know precisely the exact number of employees they have and they should report them. These are real people who have jobs, not some sarcastic approximation, which is just an afterthought to the intensely bottom-line-profit-focused large US Corps.

Very few US Corps report the reason for the annual change in the number of full-time employees. Clearly, the change caused by significant business acquisitions and spinoffs are both highly relevant to US financial readers. One company that sticks out here in its transparent reporting is Qualcomm, which discloses how much of the increase in the number of employees each year is due to business acquisitions. And Qualcomm also discloses the other major reason for the annual increase in the number of jobs.....due to engineering resources.

In reviewing over 1,000 US Big Corp employee SEC disclosures, the posture child for meaningful disclosure is Norfolk Southern, which is the only one of the 1,000 plus that discloses its average pay and average employee benefit costs. Let me copy its SEC Employee Reporting below here:

"EMPLOYEES - The following table shows the average number of employees and the average cost per employee for wages and benefits:

.............................2010......2009......2008......2007......2006

Average number of
..employees.........28,559...28,593...30,709...30,806...30,541

Average wage cost
..per employee.$69,000.$63,000.$66,000.$62,000.$62,000

Average benefit cost
..per employee.$37,000.$32,000.$31,000.$30,000.$32,000"

The SEC should be requiring every large public corporation to report the above numbers that Norfolk Southern has elected to disclose. They are very meaningful to all financial readers.

But by far the key disclosure that is most lacking in these very trying US job depression times is the number of US full-time employees. Few companies report in their SEC filings that critically important US full-time employee number to US citizens.

It only makes sense that since the SEC isn't now requiring US Corps to disclose this key information, that the Obama Administration should take charge and require them to do so. No Congressional Action is needed here, just a wise Executive Order.

How can US citizens effectively help the horrible US job situation if they have a US government agency (the SEC) that keeps them from having critical information necessary to take proper actions to improve the US job situation.

And how can investors properly make stock and bond investments when the the SEC prevents them from having salient information on the number of employees of companies. The key point here is that if a company continually and substantially reduces its key work force, the earnings and cash flows from operations being reported are of low-quality, and frankly artificial, from a looking forward long-term perspective.

Also what is critically needed here is for the SEC to require US Corps to disclose the precise US federal income tax benefit they are receiving each year from 100% first-year tax expensing and 50% first-year bonus tax depreciation, both related to equipment purchases.

This US Congressional initiative has just devastated the US Government coffers in the past four years or so. The promise was that it would create a lot of US jobs. I don't think it has. It has been great for the profits of US Big Corps, and their 1% beneficiaries, but not so great for the 99%, who continue to be economically devastated by a US Congress whose legislation consistently favors the 1%.

Financial readers should be able to see each Big Corp's US federal income tax benefit received from 100% tax expensing and from 50% bonus tax depreciation in each of the past four years or so. Then, they can properly compare it with the change in the number of US full-time employees of these same US Big Corps in these same years.

This assessment will give an excellent reading on the extent of financial greed and US patriotism of each of the public companies reporting to the SEC.

And frankly, I think just requiring public companies to do this much improved financial reporting in their annual SEC filing of the number of US full-time employees and the tax benefit from 100% tax expensing and 50% bonus tax depreciation will make companies much more careful in both overdosing in laying off employees, and in keeping from hiring employees.

When I get some time, I will be presenting a summary of present SEC reporting of the number of employees of the largest, most profitable US Corps.

===========================

Late Addition

Another US Big Corp that did an excellent job in very transparently reporting in its 4Q 2011 Earnings Release, which is also filed with the SEC, the details of its workforce is Caterpillar.

Below here is Caterpillar's recent 4Q 2011 Earnings Release Workforce Disclosure.

"Global Workforce

Caterpillar worldwide full-time employment was 125,099 at the end of 2011 compared with 104,490 at the end of 2010, an increase of 20,609 full-time employees. In addition, we increased the flexible workforce by 5,818 for a total increase in the global workforce of 26,427.

We increased our workforce to support higher sales volume across all geographic regions. In addition, acquisitions, primarily Bucyrus and MWM, added 13,720 people, while the sale of Carter and a portion of the Bucyrus distribution business reduced the workforce by 1,506 people.

...........................................December 31,
.........................................2011........2010.........Change
Full-time employment...125,099...104,490.......20,609
Flexible workforce..........27,884.....22,066..........5,818
Total.............................152,983....126,556........26,427

Summary of change
U.S. workforce additions.......................6,496
Non-U.S. workforce additions...............7,717
Total additions....................................14,213

Acquisitions/divestitures net..............12,214
Total...................................................26,427"

All US Big Corps should take Caterpillar's patriotic lead here. US Citizens, including US investors, have to be impressed with what Caterpillar did here. When the SEC is not performing its duties properly, then the best US Corps should fill in for them and take the lead.

US Government Should Highly Incentivize US Big Corp Spinoffs

2011-12-26T10:41:00.001-08:00

A very simple way to create a lot of good-paying US jobs quickly and cheaply is for the US Government to offer very robust incentives for US Big Corps to go through Corporate Spinoffs/Breakups.

When US Big Corps acquire other businesses, what always happens is a loss of many good-paying US jobs. The US Government should be much tougher on allowing these acquisitions, not just because of the resultant lack of competition, but just as importantly, because of the resultant massive job-killing result of acquisitions.

But on the other hand, when a US Big Corp spins off a segment, this always results in just the opposite situation, where many attractive US jobs are created immediately, due to the necessary additional high-quality infrastructure that is needed for the company now separately spun off.

Corporate spinoffs also have the additional advantage of unlocking the hidden value of parts of large corporations.

Further, the separately created company spun off can perform much better as a separate unit. Due to a much more intense, targeted focus on the separate unit, the spun off corp is in a much better position to grow its business and to continually create even more US jobs.

So clearly, since spinoffs of large US Corps are a substantial winner for everyone, the US Government should simply ask US Big Corps what kind of government incentives, to both the US Big Corp doing the spinoff and to the new spinoff company, they would view as very attractive to encourage more spinoffs.

Certainly, wise tax incentives would be desirable. When you think about it, a fair CBO scoring for tax incentives provided by the US Government for spinoffs should substantially more than pay for themselves.

The separate unit spun off will usually generate significantly more earnings as a separate unit, and thus the US Government will receive more US corporate income taxes.

In addition, the US government will receive more individual federal income and payroll tax receipts from the jobs created due to the spinoff.

But probably more effective than tax incentives, there are many other nontax incentives that US Big Corps would like to have in order to induce them to do more spinoffs. All you have to do is simply ask them. And I think that even reduced government regulations should be on the table.

Given the makeup of the US Congress, with so many near-sighted, one issue (debt reduction) members, it is nearly impossible to get the US Congress to pass any job creation legislation right now. Thus, I think that the Obama Administration should take it on their own and do everything in its power to offer very attractive incentives for US Big Corp spinoffs where US Congressional legislation is not needed.

The Obama Administration can't wait for the US Congress, which refuses to act on US job creation. Thus, it should offer incentives for corporate spinoffs that will do just that.

And frankly, there are so many nontax incentives US Big Corps would love to have to entice them to do Corporate Spinoffs. I could easily prepare a very long list of some. I also think if would be wise to ask each of the US Cabinet Secretary Heads, as well as other key US Government Employees, to prepare such a list for further consideration.

And US States should consider offering very attractive tax and nontax incentives to entice US Big Corps to do more spinoffs.

Also, it shouldn't just be the largest US Corps, but Corps of all sizes, that should be given these highly-charged US Government incentives to induce them to do more spinoffs.

Hundreds of new Corporate Spinoffs, creating new companies all over the country, is precisely what the country's dormant economy now needs.

US Big Corp Annual Earnings On Fire Under Obama: Part One

2011-12-22T16:24:00.000-08:00

In this Part One, below here is the Annual Pretax Income (PTI) for the most recent three years of all US Big Corps filing with the SEC which have fiscal year ends from February through November.

For Corps HQed in the Big 2 US States (Texas and New York), where the bulk of the extremely profitable Big Oil and Big Financial Corps are HQed, I am defining US Big Corps as ones which have Annual Pretax Income or Pretax Loss of $200 mil or more in any of the most recent three fiscal year ends.

For Corps in all of the other 48 US States, I am defining US Big Corps as ones which have Annual Pretax Income or Pretax Loss of $100 mil or more in any of the most recent three fiscal years.

As you can see below, the Obama Administration has created a robust economic environment which has permitted nearly all of these 245 US Big Corps to flat-out flourish.

There are a handful of US Big Corps which haven't released their 2011 Fiscal Year ended November 2011 annual earnings yet, and thus they weren't included in the below 245 US Big Corps.

These 245 US Big Corps generated Total Pretax Income growth of a very strong 22% in the most recent year and of a spectacular 66% in the most recent two years. Because of the widespread use of both much lower effective income tax rates and substantial stock buybacks, the equivalent Total Earnings Per Share (EPS) growth for these 245 US Big Corps for the most recent two years should be in the range of 75% to 80%.

The economic initiative that drove this robust earnings growth more than any other was the 100% first-year tax expensing of equipment. Unfortunately, this initiative did not translate into robust employment because there was no requirement that very large US businesses had to increase their full-time payroll counts to be eligible for this incredibly lucrative tax incentive. Clearly another case of the US Congress legislating for the 1% over the 99%.

..........................................................................................Obama
...........................................................................................Bump
..................................Fiscal.......................................PTI.....PTI
...................................Year...PTI.......PTI........PTI....1YR....2YR
...................................End...2011.....2010.....2009..%Chge.%Chge
.............................................(millions of dollars)
Technology
Apple.........................Sep..34,205..18,540...12,066...84%...183%
Microsoft...................Jun..28,071..25,013...19,821....12%....42%
Oracle........................May..11,411....8,243....7,834....38%....46%
Hewlett Packard(1)....Oct...10,898..10,974....9,415.....-1%.....16%
Cisco Systems............Jul.....7,825....9,415....7,693...-17%......2%
Qualcomm(2).............Sep....5,687....4,493....3,416....27%....66%
Accenture.................Aug....3,512.....2,914....2,678....21%....31%
Applied Materials.......Oct....2,378....1,387.....(486)....71%...589%
ADP...........................Jun....1,933....1,863.....1,900......4%......2%
TE Connectivity(3).....Sep....1,629....1,558......(123)......5%..1424%
CA.............................Mar....1,209....1,152.....1,049......5%....15%
KLA Tencor(4)...........Jun....1,110.......291......(156)...281%...812%
Analog Devices..........Oct.....1,061.......902......297.....18%...257%
Adobe Systems..........Nov....1,035......943......702.....10%......47%
Agilent Technol(5).....Oct.....1,032......560..........7.....84%.14643%
CSC............................Mar.......968....1,022......950.....-5%.......2%
Intuit..........................Jul.......966.......815......653.....19%.....48%
Harris Corp(6)............Jun.......881.......840......741......5%.....19%
Lam Research(7).......Jun........801.......430.....(167)...86%...580%
Netapp(8)..................Apr.......794.......447......137....78%...480%
Paychex.....................May......792.......729......812......9%.....-2%
Western Digital...........Jun.......780....1,520......501...-49%....56%
Xilinx.........................Mar.......771.......422......458....83%....68%
Symantec(9)..............Mar.......729.......865......869...-16%...-16%
Linear Technology.....Jun.......724.......490......369....48%....96%
Maxim Integr(10)......Jun.......662.......300........86...121%...670%
Flextronics(11)..........Mar.......616.......182.....(180)..238%..442%
Seagate Technol(12)...Jun.......579....1,569.....(494)..-63%..217%
Micron Technol(13)...Aug.......551....1,483...(1,852)..-63%..139%
BMC Software(14).......Mar.......531......504.......414......5%....28%
Jabil Circuit(15).........Aug.......481......247.........18....95%..2572%
Microchip Technol....Mar........461......238.......232....94%....99%
National Semicond....May.......403......269.......114....50%...254%
Amdocs.....................Sep........385......366.......418......5%.....-8%
F5 Networks..............Sep........361......238.......132....52%...173%
Skywks Solutions.......Sep........294......195........70....51%...320%
CACI Intl...................Jun........228......168......153....36%....49%
Synopsys...................Oct........219......199......233....10%.....-6%
Micros Systems.........Jun........210......168......147....25%....43%
JackHenry&Assoc.....Jun........208......181......157....15%....32%
Cree..........................Jun.........178.....205.......40...-13%...345%
Intl Rectifier(16).......Jun........158........29.....(133)..445%..219%
Compuware(17)........Mar........155......157......213.....-1%...-27%
Red Hat.....................Feb.........154.....122......122.....26%....26%
TIBCO Software.........Nov........150......111.......90.....35%....67%
Logitech...................Mar........148........84......127.....76%....17%
Qlogic.......................Mar........145......110......169.....32%...-14%
RF Micro Dev(18)......Mar.......124........85.....(260)...46%...148%
Sanmina-SCI(18A).....Sep........116......125.....(113)....-7%...203%
Scansource...............Jun.........111........76.......76.....46%....46%
Parametric Tech........Sep........105........82.......17.....28%...518%
Finisar(18B)..............Apr........101.........1.......(19).10000%.632%
LTX-Credence...........Jul..........60........18.....(137)...233%...144%
JDS Uniphase(18C)...Jun..........46......(70)....(167)...166%...128%
Aspen Tech..............Jun.........(44).....(101)......54.....56%..-181%
Electronic Arts(19)..Mar.......(279)....(706)...(487)...60%....43%

Total 56 Technology.......128,819..102,463..70,676..26%...82%

Broad-Based Manufacturing
Deere........................Oct.....4,223....3,025....1,339...40%...215%
Emerson Electric......Sep.....3,631....2,879....2,450...26%....48%
Parker Hannifin........Jun.....1,414.......755.......683...87%...107%
Joy Global................Oct........896.......679.......683...32%....31%
RockwellAutomat.....Sep.......868.......544.......274...60%...217%
Molex(20)................Jun.......430.......168.......(21)..156%.2148%
Pall Corp..................Jul........420.......328.......271...28%....55%
AVX.........................Mar.......334.......176........97...90%...244%
Nordson(21).............Oct.......315........231.......116...36%...172%
Donaldson................Jul........312.......230.......161...36%....94%
Valspar(22)..............Oct.......307.......319.......238...-4%....29%
Kennametal..............Jun.......296........77.......(12).284%.2567%
RPM Intl...................May......295......268.......181...10%....63%
Rock-Tenn(23)..........Sep.......256......266.......264...-4%.....-3%
Greif..........................Oct.......243......252.......138...-4%....76%
Woodward................Sep.......188......155.......122...21%....54%
WorthingtonInd(24).May......183......113.......(44)...62%...516%
Schnitzer Steel..........Aug.......181......125.......(47)..45%...485%
Actuant(25).............Aug.......159.......89........58....79%...174%
Acuity Brands..........Aug.......158......119.......127...33%....24%
Esterline Technol.....Oct........158......155.......118.....2%....34%
Hillenbrand..............Sep.......158......146.......161.....8%.....-2%
Brady.......................Jul........144......109........97...32%....48%
WMS Industries........Jun.......124......171.......140..-27%...-11%
Matthews..................Sep.......112......110........91......2%....23%
CarpentrTech(25A)..Jun.......112.......33..........7..239%..1500%
Kemet(26)................Mar.......104.....(22)....(103).573%...201%
Herman Miller..........May......103........35........99..194%......4%
SpectrumBrnds(27)..Sep........49......(121)........15..140%...227%
CommerclMtls(28)...Aug.........9......(205).........2..104%...350%

Totl 30 Broad-basedMfg..16,182...11,209..7,705...44%...110%

Financial
Visa.........................Sep....5,656....4,638....4,000...22%....41%
DiscovFinSvcs(29)..Nov....3,511....1,269.......229..177%.1433%
ToyotaMotorCredt..Mar...3,003....1,679...(1,052)..79%...385%
Franklin Resrcs.......Sep....2,624....2,070.....1,289...27%...104%
TD Ameritrade........Sep....1,016.......912.....1,059....11%.....-4%
H&R Block...............Apr......677......784.......839...-14%...-19%
Raymond James......Sep......451.......356.......236....27%....91%
Jeffries Group.........Nov......419.......397.......508.....6%...-18%
Eaton Vance............Oct......384.......327.......207....17%....86%
Legg Mason(30)......Mar......365.......330...(1,880)...11%...119%
Global Payments.....May......324.......310.......292.....5%....11%
Amerco...................Mar......289.......100........23..189%.1157%
Broadridge..............Jun......270.......342.......346..-21%...-22%
Factset Research.....Aug......239.......222.......212.....8%....13%
Washington Fedl......Sep......174.......123.........76...41%...129%
World Acceptance...Mar......143.......119.........92...20%....55%
Royal Gold..............Jun.......116........44.........63..164%....84%
CapitolFedFin(30A).Sep.......97.......105........105...-8%....-8%

Total 18 Financial..........19,758..14,127.....6,644..40%...197%

Health Care
Walgreens(31)........Aug....3,860...3,373...3,164....14%....22%
Medtronic(32)........Apr....3,723...3,969...3,061....-6%.....22%
Covidien Ltd...........Sep....2,216....1,926...1,807....15%....23%
McKesson(33).........Mar...1,848....1,864...1,557.....-1%....19%
Becton Dickinson.....Sep...1,716....1,661...1,579......3%......9%
Cardinal Health.......Jun....1,518....1,212...1,160....25%....31%
Forest Labs.............Mar...1,338.......951.....971....41%....38%
AmerisourceBerg....Sep....1,131....1,028.....824....10%....37%
Varian Med Syst......Sep......589.......533.....475....11%....24%
Perrigo...................Jun......451.......309.....206....46%...119%
CareFusion.............Jun......415.......341.....338....22%....23%
Patterson...............Apr......356.......339.....320......5%....11%
ResMed..................Jun......304.......261.....202....16%....50%
Hill-RomHldgs(34)..Sep.....207......162.......94....28%...120%
Cooper Cos(34A)....Oct......209......124......115....69%....82%
Steris(34B).............Mar......204......192.....166......6%....23%
Hologic(35)............Sep......172.......165.....190......4%.....-9%
Techne...................Jun......165.......156.....155......6%......6%
Myriad Genetics.....Jun......160.......141.....136....13%....18%
Coherent(35A).......Sep......124........58.....(17)..114%...829%
PSSWorldMedcl......Mar......119.......110......84......8%....42%
Haemonetics(36)....Mar......110.......97.......85....13%....29%
II-VI Inc................Jun......102........51.......46...100%...122%
Iasis HC(37)............Sep.......95.......121.....131...-21%...-27%
Biomet(38).............May.....(124)...(142)..(369)...13%....66%
Rite Aid(39)............Feb.....(546)...(480)..(773)..-14%....29%

Total 26 Health Care.....20,462..18,522..15,707...10%...30%

Retail
Costco....................Aug....2,383....2,054...1,727....16%....38%
Best Buy(40)...........Feb....2,078....2,195...1,877.....-5%....11%
Starbucks................Sep....1,811.....1,437.....560....26%...223%
Autozone...............Aug....1,324.....1,161...1,034....14%....28%
BedBath&Beyond....Feb....1,293.......985......683....31%....89%
Darden Rests..........May......648.......544......513....19%....26%
FamilyDollarStrs....Aug......617.......564......451......9%....37%
CarMax..................Feb......613........452........97....36%...532%
WholeFoodsMkt.....Sep......552........412.......251....34%...120%
Supervalu(41)........Feb......347........632......745...-45%...-53%
SallyBeautyHldgs...Sep......336........228......165.....47%...104%
Ascena Retail.........Jul.......284........209......102....36%...178%
CoPart...................Jul.......264........239.......228....10%....16%
Ruddick.................Sep......181........158.......152.....15%....19%
AmergasPrtns(42).Sep......179........171.......190......5%.....-6%
CaseysGenlStrs......Apr......151........182.......139...-17%.......9%
Jack in the Box......Sep.......126.......106.......211.....19%...-40%
99CentStrs(42A)..Mar.......118.........94.........24.....26%...392%
Cracker Barrel......Jul........116........116........90......0%.....29%
Finish Line...........Feb.......110.........72.........51.....53%...116%
Zale......................Jul......(110).....(125).....(219)...12%....50%

Total 21 Retail..............13,421...11,886....9,071...13%....48%

Foods
ArcherDanMdlnd..Jun....3,015....2,585....2,500....17%....21%
General Mills........May....2,428....2,205....1,942....10%....25%
HJ Heinz...............Apr....1,374....1,290....1,320.....7%.....4%
ConAgra Foods.....May....1,225....1,081......908....13%....35%
Campbell Soup......Jul.....1,168....1,242....1,079....-6%.....8%
Tysons Foods(43).Sep....1,074....1,203........17...-11%..6218%
Hormel Foods.......Oct.......719......625.......528....15%....36%
JM Smucker..........Apr......717......731.......396....-2%....81%
SmithfieldFds(44).Apr......636.....(215)....(382)...396%..266%
Sara Lee(45).........Jun......542......573.......462....-5%....17%
Ralcorp(46)..........Sep......400......354.......350....13%....14%
DelMnteFds(46A).Apr......360......382.......227....-6%....59%
Green Mtn Coffee..Sep......303......133.........88...128%...244%
MN-DakFrmCoop.Aug......187......101.........96....85%....95%
Lancaster Colony..Jun......162......175.......137....-7%....18%
Cal-Maine Foods...May.......92......103.......121...-11%...-24%
Sanderson Farms..Oct......(194).....207......128.-194%.-252%

Total 17 Foods..............14,208..12,775..9,917...11%....43%

Other Sectors
Procter&Gamble......Jun....15,189....15,047...14,413......1%.....5%
Walt Disney..............Sep.....8,043.....6,627.....5,658....21%....42%
News Corp(47).........Jun.....4,177.....3,323.....2,161....26%....93%
Viacom....................Sep.....3,245.....2,838.....2,417....14%....34%
Nike(48)..................May.....2,844.....2,517.....2,358....13%....21%
Mosaic(49)..............May.....2,585.....1,190.....2,233...117%....16%
Monsanto................Aug.....2,374.....1,490.....2,918....59%...-19%
FedEx(50)...............May.....2,265.....1,894.....1,577....20%....44%
JohnsnContrls(51)...Sep.....2,111......1,763......(207)...20%..1120%
Carnival..................Nov.....1,912......1,979.....1,806....-3%.....6%
Tyco Intl(52)...........Sep.....1,893......1,270.......935....49%...102%
Sysco......................Jun.....1,827......1,850.....1,771....-1%.....3%
AirProducts&Chm...Sep.....1,661.......1,394........837....19%....98%
PrecisionCstprts......Mar.....1,510......1,412.....1,575.....7%....-4%
Coach......................Jun.....1,301......1,158.......983....12%....32%
Apollo Group(53)....Aug.....1,174......1,364.....1,148...-14%.....2%
CHS.........................Aug.....1,148........584.......504....97%...128%
Estee Lauder............Jun.....1,026........688.......343....49%...199%
Avnet(54)................Jun.......871........585.......316....49%...176%
Rockwell Collins.......Sep.......855........796.......858.....7%.....0%
Brown Forman.........Apr.......829........682.......630....22%....32%
Polo Ralph Lauren....Mar......825........689.......588....20%....40%
Clorox(55)...............Jun.......821........805.......709.....2%....16%
Helmlerich&Payne....Sep......687........438.......598....57%....15%
ConstelltnBrnds(56).Feb.......551........362.......193....52%...185%
Jacobs Enginring......Sep.......517........392.......624....32%...-17%
DeVry......................Jun.......494........413.......237....20%...108%
Airgas(57)...............Mar.......450........355.......429....27%.....5%
Dolby Labs..............Mar.......441........437.......371.....1%....19%
Alliant Tech(58)......Mar.......439........473.......407....-7%.....8%
IntlGameTechn(59).Sep.......428........369.......291....16%....47%
Oshkosh(60)...........Sep.......417......1,212........12...-66%..3375%
Energizer Hldgs.......Sep.......406........543.......445...-25%....-9%
Cintas(61)...............May.......393........344.......411....14%....-4%
Aecom Technol.......Sep.......384........341.......278....13%....38%
Natl Fuel Gas(62).....Sep.......372........356.......339.....4%....10%
Education Mgt(63)...Jun.......369........297.......166....24%...122%
MSC Ind Direct........Aug.......349........241.......202....45%....73%
Towers Watson........Jun.......327........170.......222....92%....47%
Atwood Oceanics.....Sep.......325........320.......296.....2%....10%
Navistar..................Oct.......320........290.......359....10%...-11%
Atmos Energy.........Sep.......313........323.......281....-3%....11%
Transdigm(64)........Sep.......301........251.......251....20%....20%
Universal Corp........Mar......243........257.......197....-5%....23%
Triumph..................Mar......234........126.......136....86%....72%
JohnWiley&Sons.....Apr.......231........200.......164....16%....41%
Meredith(65)..........Jun.......212........167.......143....27%....48%
Cabot Corp..............Sep.......203........166.......(99)...22%...305%
ScottsMiracleGro....Sep.......195........320.......208...-39%....-6%
Toro.......................Oct.......175........141.........96.....24%....82%
HarmnIndstrs(66)..Jun.......160.........49......(211)..227%...176%
Meritor...................Sep.......159.........76.......(52)..109%...406%
AmerGreetngs(67)..Feb.......156........121........15....29%...940%
Thor Industries(68).Jul.......153........171........33...-11%...364%
AppldIndTech(69)..Jun.......153........105.......103....46%....49%
EnerSys..................Mar.......151..........87.......119....74%....27%
Tidewater...............Mar.......148........268.......492...-45%...-70%
Bally Technol.........Jun........143........171.......185...-16%...-23%
Plantronics.............Mar.......141........101........58....40%...143%
Tetra Tech..............Sep........140........123.......119....14%...18%
BuckeyeTechn(70).Jun.......129..........48........32...169%...303%
BoozAllenHamltn....Mar......128..........49......(515)..161%...125%
United Nat Foods....Jul........126........112.......100....13%....26%
Maximus.................Sep.......126........108........89....17%....42%
Unifirst...................Aug.......121........123.......126....-2%....-4%
AAR.......................May.......109.........68........90....60%....21%
CntrlGrd&Pet(70A).Sep.........48.........88.......104....-45%...-54%
DR Horton..............Sep..........12........100.....(557)..-88%...102%
Ashland..................Sep...........3..........75.....(323)..-96%...101%
Toll Brothers..........Oct........(29)......(117)....(496)...75%....94%
LionsGateEnt(70B).Mar.......(34).......(24)....(176)...-42%....81%
Shaw Group(71).....Aug........(94)......263.......227..-136%..-141%
KB Home................Nov.......(181).....(76).....(311).-138%....42%
Ciena(72)...............Oct.......(188).....(332)....(126)...43%...-49%
Beazer Homes(73)..Sep.......(197).....(193)....(330)...-2%....40%
HovnanianEnt(74).Oct.......(292).....(295)..(1,082)....1%....73%
Avaya(74A)..........Sep.......(549).....(853)....(520)...36%....-6%

Total77inOtherSectors..71,004....61,665...50,981...15%....39%

Total all 245................283,854..232,647..170,701..22%...66%

(1) Hewlett Packard 2011 PTI excludes intangible asset impairment charge, business wind down charges, and acquisition-related foreign currency exchange rate risk charge.
(2) Qualcomm 2009 PTI excludes litigation settlement charges and fine.
(3) TE Connectivity Ltd 2009 PTI excludes goodwill impairment charge.
(4) KLA Tencor 2009 PTI excludes intangible asset impairment charge.
(5) Agilent Technologies 2010 PTI excludes gain on sale of division.
(6) Harris Corp 2009 PTI excludes asset impairment charge.
(7) Lam Research 2009 PTI excludes goodwill impairment charge.
(8) Netapp 2009 PTI excludes GSA settlement charge.
(9) Symantec 2009 PTI excludes intangible asset impairment charge.
(10) Maxim Integrated Products 2009 PTI excludes asset impairment charge.
(11) Flextronics 2010 and 2009 PTI exclude asset impairment charges.
(12) Seagate Technology 2009 PTI excludes asset impairment charge.
(13) Micron Technology 2010 PTI excludes gain on acquisition.
(14) BMC Software 2009 PTI excludes in-process research and development charge.
(15) Jabil Circuit 2009 PTI excludes goodwill impairment charge.
(16) International Rectifier 2009 PTL excludes asset impairment charges and gain on divestiture.
(17) Compuware 2010 PTI excludes gain on asset sale.
(18) RF Micro Devices 2009 PTI excludes goodwill impairment charge.
(18A) Sanmina-SCI 2011 PTI excludes loss on debt extinguishment. Its 2010 PTI excludes gain on debt extinguishment.
(18B) Finisar 2011 and 2010 PTI both exclude loss on debt extinguishment. Its 2009 PTL excludes goodwill impairment charge and acquisition in-process r&d charge.
(18C) JDS Uniphase 2010 PTL excludes gain on sale of investments. Its 2009 PTL excludes goodwill impairment charge.
(19) Electronic Arts 2009 PTI excludes goodwill impairment charge.
(20) Molex 2010 and 2009 PTI excludes asset impairment charges.
(21) Nordson 2009 PTI excludes asset impairment charge.
(22) Valspar 2011 PTI excludes intangible asset impairment charge.
(23) Rock-Tenn 2011 PTI excludes loss on debt extinguishment. Both 2010 and 2009 PTI exclude alternative fuel tax credits.
(24) Worthington Industries 2010 and 2009 PTI exclude asset impairment charges.
(25) Actuant 2009 PTI excludes asset impairment charge.
(25A) Carpenter Technology numbers are for the 12 months ended September.
(26) Kemet 2011 PTI excludes loss on debt extinguishment. Its 2010 PTI excludes gain on debt extinguishment and change in value of warranty charge. Aits 2009 PTI excludes asset impairment charge, gain on asset sale, and gain on pension plan curtailment.
(27) SpectrumBrands 2011 and 2009 PTI excludes intangible asset impairment charges.
(28) Commercisl Metals 2011 PTI excludes asset impairment charge.
(29) Discover Financial Services 2009 PTI excludes antitrust litigation settlement gain.
(30) Legg Mason 2009 PTI excludes intangible asset impairment charge and includes fund support charge.
(30A) Capitol Federal Financial 2011 PTI excludes Foundation contribution.
(31) Walgreens 2011 PTI excludes gain on sale of business.
(32) Medtronic 2009 PTI excludes acquisition-related items, mostly in-process r&d charge.
(33) McKesson 2011 and 2009 PTI exclude special litigation charges.
(34) Hill-Rom Holdings 2011 PTI excludes special litigation charge. Its 2010 PTI excludes special litigation credit. Its 2009 PTI excludes intangible asset charge.
(34A) Cooper Companies 2011 PTI excludes loss on debt extinguishment.
(34B) Steris 2011 PTI excludes SYSTEM 1 Rebate Program and Class Action Settlement Charge.
(35) Hologic 2011 PTI excludes gain on sale of assets and loss on debt extinguishment. Its 2010 and 2009 PTI exclude intangible asset impairment charges.
(35A) Coherent 2009 PTI excludes goodwill impairment charge.
(36) Haemonetics 2010 PTI excludes asset impairment charge.
(37) Iasis Healthcare 2011 PTI excludes loss on debt extinguishment. Its 2009 PTI excludes goodwill impairment charge.
(38) Biomet 2011 and 2009 PTL exclude intangible asset impairment charges.
(39) Rite Aid 2009 PTL excludes goodwill impairment charge.
(40) Best Buy 2009 PTI excludes asset impairment charge.
(41) Supervalu 2011 and 2009 PTI exclude intangible asset impairment charges.
(42) Amerigas Partners 2011 PTI excludes loss on debt extinguishment. Its 2009 PTI excludes gain on asset sale.
(42A) 99 Cents Only Stores 2009 PTI excludes asset impairment charge.
(43) Tysons Foods 2009 PTI excludes goodwill impairment charge.
(44) Smithfield Foods 2011 PTI excludes gain on insurance recovery.
(45) Sara Lee 2011 PTI excludes loss on debt extinguishment. Its 2010 and 2009 PTI both exclude contingent sale proceeds credit. Its 2009 PTI also excludes asset impairment charge.
(46) Ralcorp 2011 and 2010 PTI exclude intangible asset impairment charges. Its 2009 PTI excludes gain on asset sale.
(46A) Del Monte Foods 2011 PTI excludes acquisition transaction costs.
(47) News Corp 2009 PTI excludes asset impairment charge and gain on NBS.
(48) Nike 2009 PTI excludes asset impairment charge.
(49) Mosaic 2011 and 2009 PTI both excludes gain on sale of assets.
(50) FedEx 2009 PTI excludes intangible asset impairment charge.
(51) JohnsonControls 2009 PTI excludes debt conversion costs.
(52) Tyco Intl 2009 PTI excludes intangible asset impairment charge.
(53) Apollo Group 2011 and 2010 PTI both exclude intangible asset impairment charges. Its 2010 and 2009 PTI both exclude litigation charges.
(54) Avne 2009 PTI excludes asset impairment charge.
(55) Clorox 2011 PTI excludes goodwill impairment charge.
(56) Constellation Brands 2010 and 2009 PTI exclude intangible asset impairment charges.
(57) Airgas 2011 and 2010 PTI exclude unsolicitated attempted takeover charges. Its 2010 PTI also excludes loss on debt extinguishment.
(58) Alliant Techsystems 2010 and 2009 PTI exclude intangible asset impairment charges.
(59) International Game Technology 2010 and 2009 PTI both exclude asset impairments and losses.
(60) Oshkosh 2009 PTI excludes intangible asset impairment charge.
(61) Cintas 2009 PTI excludes asset impairment charge.
(62) National Fuel Gas 2011 PTI excludes gain on sale of assets. Its 2009 PTI excludes ceiling test charge.
(63) Education Management 2010 PTI excludes loss on debt extinguishment.
(65) Transdigm 2011 PTI excludes refinancing costs charge.
(65) Meredith 2009 PTI excludes intangible asset impairment charge.
(66) Harman Industries 2009 PTI excludes goodwill impairment charge.
(67) American Greetings 2009 PTI excludes intangible asset impairment charge.
(68) Thor Industries 2009 PTI excludes intangible asset impairment charge.
(69) Applied Industrial Technologies 2009 PTI excludes goodwill impairment charge.
(70) Buckeye Technologies 2011 and 2009 PTI exclude asset impairment charges. Its 2010 and 2009 PTI exclude alternative fuel tax credits.
(70A) Central Garden & Pet 2010 PTI excludes intangible asset impairment charge.
(70B) Lions Gate Enterprise 2011 PTI excludes loss on debt extinguishment. Its 2010 PTI excludes gain on debt extinguishment.
(71) Shaw Group 2011, 2010 and 2009 PTI exclude foreign currency translation loss. Its 2011 PTI also excludes asset impairment charge.
(72) Ciena 2009 PTI excludes goodwill impairment charge.
(73) Beazer Homes 2010 and 2009 PTI both exclude gain on debt extinguishment.
(74) Hovnanian Enterprises 2009 PTI excludes gain on debt extinguishment.
(74A) Avaya 2011 PTL excludes loss on debt extinguishment. Its 2009 PTL excludes intangible asset impairment charge.

Later in Part Two, I will be showing similar information for the many more than 1,000 US Big Corps having December and January fiscal year ends. Given the much higher earnings growth of US Big Oil and US Big Financial, the overwhelming majority of which have December year ends, I expect that these much more than 1,000 additional US Big Corps which I will be including in Part Two should have Total EPS growth of much higher than the spectacular growth rates related to the above 245 US Big Corps.

EPS growth drives stock prices.

I think that through its many wise economic initiatives, the Obama Administration has driven the massive US stock market increase of the past 33 months, with the Dow Jones Industrials Index going from 6,547 on March 9, 2009 to 12,294 on Dec 23, 2011.....yeah, that's an increase of 88%.

Without these actions, I am certain that the US economy would have been headed for a deep, lengthy depression.

And the vast majority of the 1% want to now make Obama a one-term President!

That's the thanks he gets.

The Obama Administration is the only part of the US Government that is functioning effectively.

And the vast majority of the 1% thinks it's perfectly acceptable to continue to take their 1% riches to a completely higher level, even if it results in the 99% being further beaten into the ground economically.

I also think you'll see robust Total EPS growth of US Big Corps in 2012. Due mainly to 100% first year tax expensing of equipment purchases in 2011 dropping to 50% in 2012, this EPS growth will be a bit less than that spectacular EPS growth of the past two years, but it will still be very nice EPS growth. Thus I think the US stock market is headed much higher in 2012.....great for the 1%ers.

However, to have a spectacular economic year for all Americans in 2012, both the 1% and the 99%, it would be wise to step up the 50% first-year tax expensing of equipment purchases to 100% in 2012, along with additional highly-charged tax incentives for investments in new buildings, in building improvements (especially green building retrofits), in computer software, and in research and development, but also allowing these massively lucrative tax incentives to the very large US businesses only if they are accompanied by a fairly-designed minimum full-time job increase requirement.

In addition, to help both the 1% and the 99%, the country is shouting out for massive US infrastructure investments.

However, with this US Congress, which is under the control of the 1% and their lobbyists, and which has by far the lowest favorable approval rating of all time, which is richly deserved, these necessary economic initiatives are not going to happen in 2012.

The entire focus of the key Congressional point men facilitators of enhancing the economic status of only the 1%, Eric Cantor and Jeb Hensarling in the US House and Mitch McConnell and Jon Kyl in the US Senate, will continue to be to wreck the US economy for the 99%ers even more in 2012, hoping the result will be that Obama won't get reelected.

Thus the yachts of the 1% will be substantially elevated again in 2012, like they have in each year of the past decade. These 1% yachts have risen so high now that pretty soon they will be airborne.

Now if only similar wise economic initiatives are enacted to lift the boats of the 99%, that have continually submerged toward the bottom of the sea in each year of the past decade.

But since these wise economic initiatives are not going to happen in 2012, the substantial wealth gap between the 1% and the 99% will expand even more dramatically in 2012.

With the US Congress stubbornly and inhumanely continuing to ignore the 99%, I think you will see an Occupy Movement that is demonstrably more robust in 2012 than it was in 2011. I also think that the Occupy Movement will focus more intensely on members of the US Congress, who are the ones mainly responsible for creating this substantial income inequality and all of the many and massive economic injustices.

I think the only way wise economic initiatives are going to happen is for there to be a massive change in the makeup of the US Congress in November 2012, not just a switch in emphasis from the 1% to the 99%, but also many new members with extensive financial expertise, like Massachusetts US Senate Candidate Elizabeth Warren.

US Congressional members with a very high dose of financial savvy are needed to solve the many extremely complex financial issues facing the country. Unfortunately, this critical trait is now so lacking in the US Congress in these very troubled economic times.

This substantial reconfiguration of the US Congress in the November 2012 election would have the potential to make America great again.

============================================

Jan 2012 Late Additions to Above List of 245 US Big Corps

..........................................................................................Obama
...........................................................................................Bump
..................................Fiscal.......................................PTI.....PTI
...................................Year...PTI.......PTI........PTI....1YR....2YR
...................................End...2011.....2010.....2009..%Chge.%Chge
.............................................(millions of dollars)

CorinthianColleges(A).Jun....117......241........117.....-51%......0%
Brooks Automation(B).Sep.....83.......56........(119)....48%....170%
Kulicke & Soffa...........Sep.....162......140........(77).....16%...310%
Westco Aircraft..........Sep.....128......118..........96........8%....33%
Cubic Corp.................Sep.....118......106..........85.......11%....39%
Brocade Comm(C)......Oct.......92......107.........27....-14%...241%
Synnex.......................Nov....230......184........135.....25%....70%
Lennar.......................Nov......98........95.......(760).....3%...113%
HB Fuller....................Nov....124........96........120......29%.....3%
Clarcor.......................Nov....181.......143........106.....27%....71%
McCormick................Nov.....491......463........417.......6%....18%
Intl Speedway............Nov.....114........75..........48.....52%...138%
Levi Strauss...............Nov

(A) Corinthian Colleges 2011 PTI excludes goodwill impairment charge.
(B) Brooks Automation 2009 PTI excludes asset impairment charges.
(C) Brocade Communication Systems 2011 PTI excludes loss on sale of subsidiary. Its 2009 PTI excludes special litigation charge, in process research & development charge, and intangible asset impairment charge.

2 Month Payroll Tax Holiday Extension Favors the 1%

2011-12-19T06:11:00.000-08:00

I have to give it to the Senate Republicans. As a whole, they are clearly much smarter and much more savvy than the Democrats when it comes to quickly assessing the economic impact on US citizens of their legislation.

The way the massive amount of executive compensation bonuses work is that the overwhelming majority of them are paid in the first two months of the year. Thus the overwhelming portion of the US Big Corp bonuses will get the 2% payroll tax holiday.

And thus many Wall Steet employees and also many Big Corp executives in all industries will get the entire annual 2% payroll tax holiday on the more than $100,000 of their compensation which is paid in the first 2 months of the year. Yeah, that's more than $2,000 of payroll tax relief in only the first two months of the year.

Not so for the 99%, who are fortunate to even be working, and whose compensation is earned equally over the year.

Thus, someone making $60,000 per year makes $10,000 in the first two months of the year, and thus gets only $200 of payroll tax relief in the first two months of the year, less than 10% of the payroll tax benefit of many Wall Street employees and most Big Corp executives.

And someone clearly underemployed, working several part-time jobs, and making $18,000 per year gets a meager $60 of payroll tax relief in the first two months of 2012, which is less than 3% of the more than $2,000 of payroll tax relief that many Wall Street employees and nearly all Big Corp executives will receive.

That's clearly not fair. This US Senate legislated Temporary 2 Month 2% Payroll Tax Holiday is not as it is widely touted by the US Congress as a Middle-Class Tax Break, but instead another tax break that clearly favors the 1%.

And even ignoring the bonuses paid in the first 2 months of the year, someone making a very high annual compensation will get an outsized benefit from the 2% First 2 Month payroll tax holiday as compared with modestly paid employees.

And Docs, the majority of whom are 1%ers, get a double benefit with this Senate legislation. Not only do they get the Doc Fix on Medicare fees, but also most of them receive outsized benefits in the first two months of the year from the 2% Payroll Tax Holiday on their very lucrative pay earned in the first two months of 2012.

No wonder Republican Senators McConnell from Kentucky and Physician Barrasso from Wyoming were so brazenly and arrogantly high five-ing each other after the 2 Month Payroll Tax Holiday passed the US Senate. These two US Senate Republican Leaders were openly displaying their elation from orchestrating another outcome where the 1% trounce on the 99%. There is a reason that the US Congress has by far the lowest approval rating since these ratings have started.

And the Democrats in the US Congress wonder why the Occupy Movement is focusing on all of the US Congress, not just on the Republicans?

The legislation in the US Congress consistently favors the awesomely powerful, smart, and clearly deceptive 1% over the 99%.

US Big Corp Stock Buybacks Propel the 1% But Pummel the 99%

2011-12-11T21:04:00.000-08:00

US Big Corp Pretax Income increases went through the roof in 2010, and are doing just fine in 2011.

But the driver of this incredible US Big Corp Pretax Income growth in both 2010 and 2011 is mainly the Pretax profits generated overseas. This overseas income shift, along with the shipping overseas of the related US jobs, accelerated dramatically at the start of the 2000 Decade, and continues unabated, due both to lower overseas labor costs and to lower income tax rates in foreign tax havens.

And the much more modest US Pretax Profit increases in the most recent two years is driven more by US cost reductions, mostly much lower labor and related employee costs, rather than by highly desirable true increased economic profits from improved US demand.

Thus these massive increases in Pretax Income of US Big Corps haven't translated into highly-charged real US GDP growth.

This real US GDP growth has also been hampered by the severe US housing crisis, and the linked widespread underwater mortgage situation, which continue unabated.

In addition, this real US GDP growth has been negatively impacted by the very high energy cost environment.

Given this troubled US economic environment, despite the sky high Pretax Profits of the Big US Corps, it is only logical that US unemployment and US underemployment continue to be at a very high level. And it is also only logical that the US median income of those employed full time is unacceptably too low.

This horrible US job situation is a perfect storm for Big US Corps, the key members of the 1%. They get the benefit of having extremely hard-working, very loyal employees, who are afraid of losing their jobs. Thus the annual pay raises are modest. And these Big US Corps can freely replace workers by trading down for lower pay and related employee benefit costs of new workers. Further, many of these Big US Corps have taken full advantage of the much cheaper temporary work market.

Suffice it to say that the deck has been stacked against the US worker. And the Republicans in the US Congress, and sadly even a handful of the Democrats, continue to protect this very unfavorable environment for workers, which clearly benefits the US Big Corps, the 1%.

But to pile on, by using widespread financial engineering, the increases in the after-tax Net Income of the US Big Corps is even much more pronounced than the increases in the Pretax Income of these US Big Corps.

Let me focus on the 30 Dow Industrial Companies to show how substantial the spread is between the increased Pretax Profits and the increased after-tax Profits of these huge Dow companies.

Of the 30 Dow companies, 21 of them have had Net Income From Continuing Operations percentage increases that have exceeded their related Pretax Income From Continuing Operations percentage increases in the 8 years from 2002 to 2010. And 17 of them had this spread to be above 8%. Below here are these 17 Dow companies.

Pretax Income (PTI) vs Net Income (NI) % Growth (2002 to 2010)
...................................................................NI % Growth
........................% Change......% Change........Higher Than
..........................in PTI............in NI............PTI % Growth

ATT.....................78%.............164%..................86%
MCD...................321%.............399%..................77%
JPM...................887%.............944%..................58%
MSFT.................154%.............207%..................53%
HD.....................(10)%...............31%..................41%
KO......................159%.............198%..................39%
PG......................102%.............127%..................26%
CSCO....................56%...............81%..................25%
BAC(1)...............(15)%...............10%..................25%
JNJ......................82%.............102%..................20%
IBM....................162%.............178%..................16%
3M.......................92%.............104%..................13%
GE.....................(25)%.............(13)%..................12%
PFE...................(20)%...............(9)%..................10%
CAT...................237%.............247%..................10%
CVX(2)................27%...............36%....................9%
WMT...................90%...............99%....................9%

(1) Bank of America (BAC) 2010 PTI excludes huge Goodwill Impairment Charge.
(2) Chevron (CVX) earlier year is 2005, rather than 2002.

This substantially more robust Net Income growth over Pretax Income growth is mainly due to the shifting of US income overseas to foreign tax havens.

And the increased number and amounts of tax subsidies granted to US Big Corps, such as those favoring Big Oil and Big Financial Corps, have also helped this very favorable income increase spread.

In addition, these US Big Corps have benefited immensely from taking widespread advantage of very favorable tax settlements with the IRS in their Tax Audits. You can see this from the massive amounts of tax benefits booked by many of these large US Corps, as is shown in their income tax footnotes in their annual and quarterly reports filed with the SEC.

While the IRS has consistently caved in to the 1% US Big Corps in their tax audits, it doesn't take similar actions in its tax audits of small businesses. So it's not just many in the US Congress, but also many suits working for the dysfunctional IRS, who take actions that clearly and consistently favor the 1% over the 99%. Frankly, I think the Occupy Movement should add the IRS to its protest targets against the 1%.

With the bottom line after-tax Net Income percentage increases of these huge US corporations being substantially higher than their Pretax Income percentage increases, the stock prices of these Big Corps are substantially advanced, since bottom line after-tax Net Income is much more relevant to the stock market than is Pretax Income.

But you know what? US citizens, the 99%, get absolutely no economic benefit from this creative financial engineering causing this very favorable income spread accruing to the benefit of US Big Corps.

In fact, the 99% suffer from this financial engineering.

Why? Because the main cause of this income spread is the shifting of income from the US to lower foreign income tax havens, with the resultant substantial US job loss.

But now let me turn my attention to the main topic of this post, the massive stock buyback programs of US Big Corps.

While nearly all of them spend heavily on Common Stock Buybacks, there are 10 of these 30 Dow Industrial companies, as you can see below, which had their Total Amount Spent on Common Stock Buybacks exceed 50% of their Total Cash Flow Generated From Operations in the most recent 6 years (from 2005 to 2010).

.......................Six Years 2005 to 2010
..................Common Stock........Cash Flow
.....................Buybacks.......From Operations.....%
...........................( millions of dollars)

CSCO..............44,790..................60,241..........74%
MSFT..............91,492................123,916..........74%
DIS................26,074..................35,695..........73%
HPQ...............52,863..................73,499..........72%
HD.................23,430..................35,246..........66%
IBM...............68,033.................105,161..........65%
PG.................51,868...................84,846..........61%
TRV...............14,447..................24,072..........60%
MCD..............17,519...................31,565..........56%
XOM............148,131.................286,002..........52%

So how is the 99% impacted by these massive stock buybacks of US Big Corps, the 1%?

Well, they are crushed.

Why? Because these greedy US Big Corps are spending a very significant portion of their Cash Flow Generated From Operations on these Common Stock Buybacks. This doesn't help the 99% at all. In fact, it hurts them.

How? Well, the Big Corps elect to greedily spend on buying back their own common stock, which does absolutely nothing for US job creation, rather than electing to make wise, patriotic investment spending on hiring workers, on training workers, on capital expenditures, and on research and development, all of which increase real US GDP growth and US job creation.

So, what's with all of these massive common stock buybacks, which were approved by the Board of Directors, mostly 1%ers, of these US Big Corps?

It's all about the substantially favorable impact of stock buyback programs on Earnings Per Share (EPS), which is the true driver of the market prices of common stocks. And much of the compensation of top executives of US Big Corps, who are mostly 1%, is driven by the market prices of the US Big Corps that they work for.

When a company buys back its own stock, the number of common shares outstanding, the denominator in the EPS computation, is reduced. Thus, this bumps up EPS.

To quantify the extent on the EPS denominator, there were 21 of the 30 Dow Industrial Corps which had their Diluted Weighted Average Number of Common Shares Outstanding decrease by more than 5% in the past 8 years, from 2002 to 2010, as you can see below.

........Weighted Average Number of Common Shares Outstanding
.....................2010...............2002........% Decrease
..................(millions of shares)

TRV...............483.................713(1)..........-32%
HPQ............2,128...............3,063.............-31%
HD..............1,658...............2,344.............-29%
XOM...........4,897...............6,803.............-28%
IBM............1,287...............1,731.............-26%
CSCO..........5,563...............7,223.............-23%
MSFT.........8,593..............10,882.............-21%
WMT..........3,670...............4,446.............-17%
MCD...........1,080...............1,282.............-16%
INTC..........5,696...............6,759.............-16%
AXP...........1,195................1,330.............-10%
UTX.............923................1,011...............-9%
JNJ...........2,789...............3,054...............-9%
PG............3,002...............3,286...............-9%
3M...............726..................791...............-8%
BA...............744..................808...............-8%
DD...............922..................999...............-8%
DIS...........1,909...............2,067...............-8%
CAT.............650..................694...............-6%
KO............2,333...............2,483...............-6%
CVX.........2,007...............2,126...............-6%

(1) Travelers (TRV) earlier year is 2005, rather than 2002.

Granted, when a company buys back its own stock, the Net Income of the Controlling Interest of the Corporation, which is predominantly the entire numerator in this EPS computation, is also reduced. This reduces EPS.

But with the financial meltdown, the US Government created an economic environment where interest rates are so incredibly low. In addition, the larger US Corps benefit from having lower interest rates on their debt due to their financial strength. Thus the negative impact on the EPS numerator of US Big Corp from common stock buybacks is minor as compared with the substantially positive impact on the EPS denominator.

But the 99%, including small businesses, don't benefit from these common stock buybacks of US Big Corps. Only the 1% do. Again the deck is stacked against the 99%.

Just how much impact is there on EPS from all of these common stock buybacks of US Big Corps? Well, it's just massive.

There were 21 of the 30 Dow companies which had their EPS From Continuing Operations percentage increase exceed by at least 12% their percentage increase of Net Income From Continuing Operations of the Controlling Interest(NI of CI), of the Big Corp, for the past 8 years, from 2002 to 2010, as you can see below.

........EPS % Change vs NI of CI % Change (2002 to 2010)
..........................................................EPS % Change
...........................................................Higher Than
......................NI of CI.............EPS..........NI of CI
.....................% Change.......% Change....% Change

HPQ.................179%.............300%...........121%
XOM................177%.............286%...........110%
IBM.................178%.............275%............97%
CVX................1626%...........1723%............97%
MCD.................399%.............495%............96%
MSFT...............207%.............290%............82%
INTC................268%.............337%............69%
TRV(1)..............56%..............124%............68%
CSCO.................81%..............134%............53%
DIS.................259%..............306%............47%
WMT.................96%..............138%............41%
HD.....................-9%...............29%............38%
CAT.................238%.............261%............23%
KO..................197%..............216%............19%
JNJ.................102%..............121%............19%
UTX..................96%..............114%............19%
3M..................107%.............125%............18%
AXP..................52%...............67%............15%
DD....................65%...............78%............14%
PG(1)................36%...............49%............13%
BA....................44%...............57%............12%

(1) Both Travelers (TRV) and Procter & Gamble (PG) have 2005 as their earlier year above, rather than 2002.

Given the devastatingly negative effect of these massive US Big Corp Common Stock Buybacks on the 99%, including small businesses, and the incredibly outsized positive effect on the 1% US Big Corps, I think it would be wise for the US Government to provide a measured disincentive for US Big Corps that overdose on common stock buybacks.

Perhaps, something like the following would make sense. For any US Corporation whose dollar amounts of its Common Stock Buybacks in any year exceed perhaps 40% of its Cash Flow Generated From Operations, a financial fee would be paid to the US Government for a certain percentage of these excess Common Stock Buybacks which exceed this 40%.

When I get some time, I'll expand this research to include some non-Dow US Big Corps. I expect that the results for these non-Dow US Big Corps will be very similar to what was found here for the above Dow Industrial companies.

Here is my subsequent research related to the extent of Common Stock Buybacks by the Big 4 Health Insurance Corps for just the most recent 6 years from 2005 to 2010:

.............................Six Years 2005 to 2010
........................Common Stock........Cash Flow
...........................Buybacks.......From Operations.....%
.................................(millions of dollars)

WellPoint.............21,308..................18,516.........115%
Cigna......................6,147...................6,846..........90%
Aetna.....................9,836..................11,464..........86%
United Health.......18,503.................32,622..........57%

.......Weighted Average Number of Common Shares Outstanding
..............................2010...............2005........% Decrease
...........................(millions of shares)

WellPoint................416..................626..............-34%
Aetna.....................423..................606..............-30%
Cigna......................275..................389..............-29%
United Health.......1,131...............1,333...............-15%

...........EPS % Change vs NI of CI % Change (2005 to 2010)
...............................................................EPS % Change
................................................................Higher Than
.........................NI of CI*..............EPS..........NI of CI
........................% Change.........% Change....% Change

WellPoint.............17%.................76%..............59%
Aetna...................12%.................61%..............49%
Cigna.....................5%.................49%..............44%
United Health......50%................77%...............27%

* Net Income of Controlled Interest, or of the Corp

And here is my subsequent research related to the extent of Common Stock Buybacks by the Big 4 US Defense Contractor Corps for just the most recent 6 years from 2005 to 2010:

...................................Six Years 2005 to 2010
..............................Common Stock........Cash Flow
.................................Buybacks.......From Operations.....%
....................................(millions of dollars)

Raytheon....................6,780..................11,596..........58%
Lockheed Martin.......12,754..................22,359..........57%
Northrop Grumman....7,042..................14,851..........47%
General Dynamics.......3,854..................16,106..........24%

.......Weighted Average Number of Common Shares Outstanding
.................................2010...............2005........% Decrease
..............................(millions of shares)

Lockheed Martin........368.................446...............-17%
Northrop Grumman...301.................363...............-17%
Raytheon...................377.................453...............-17%
General Dynamics......385.................405.................-5%

................EPS % Change vs NI of CI % Change (2005 to 2010)
....................................................................EPS % Change
.....................................................................Higher Than
..............................NI of CI*..............EPS..........NI of CI
.............................% Change.........% Change....% Change

Raytheon.................101%................142%............41%
Northrop Grumman...46%.................76%............30%
Lockheed Martin.......45%..................75%............30%
General Dynamics......81%..................91%............10%

* Net Income of Controlled Interest, or of the Corp

And here is my subsequent research related to the extent that non-Dow, non-Health Insurance Big US Health Care Corps have overdosed on Common Stock Buybacks for just the most recent 6 years from 2005 to 2010:

.......................................Six Years 2005 to 2010
..................................Common Stock........Cash Flow
.....................................Buybacks.......From Operations.....%
...........................................(millions of dollars)

Biogen IDEC.....................7,202..................7,014.........103%
Medco Health Solutions..11,067.................11,130..........99%
Cardinal Health................6,844...................8,745..........78%
Gilead Sciences................8,024..................11,746..........68%
Amgen..........................20,792..................33,812..........61%
McKesson........................6,534...................11,151..........59%
Forest Labs......................2,955...................5,878..........50%
Baxter.............................7,247..................14,465..........50%
Becton Dickinson.............4,149...................9,058..........46%
Medtronic.......................9,101..................20,438..........45%
Walgreens.......................6,090..................19,334..........31%

.......Weighted Average Number of Common Shares Outstanding
.....................................2010...............2005........% Decrease
..................................(millions of shares)

Biogen IDEC...................255..................346...............-26%
Amgen...........................965...............1,258...............-23%
Medco Health Solutions.452..................587...............-23%
Cardinal Health..............353..................429...............-18%
McKesson......................263..................316...............-17%
Forest Labs....................291..................340...............-14%
Becton Dickinson...........226..................257...............-12%
Medtronic...................1,082...............1,217...............-11%
Walgreens......................925...............1,019.................-9%
Gilead Sciences..............873..................949.................-8%
Baxter...........................594..................629.................-6%
Stryker..........................400.................411..................-3%

................EPS % Change vs NI of CI % Change (2005 to 2010)
...........................................................................EPS % Change
............................................................................Higher Than
.....................................NI of CI*..............EPS..........NI of CI
....................................% Change.........% Change....% Change

Biogen IDEC.....................524%...............738%...........214%
Medco Health Solutions..137%................207%............70%
Amgen..............................26%..................63%............37%
McKesson.........................52%..................82%............30%
Gilead Sciences...............256%................286%............30%
Forest Labs......................48%..................73%............25%
Becton Dickinson.............55%..................76%............21%
Cardinal Health...............-17%....................1%............18%
Walgreens........................55%..................71%............16%
Medtronic........................22%..................37%............15%
Baxter.............................48%..................57%..............9%
Stryker..........................101%................107%..............6%

The Health Care Industry is rampant with large Corps that are able to continually reduce their effective income tax rates. Below here are the non-Dow, non-Health Insurance Big US Health Care Corps that had their Net Income From Continuing Operations percentage increases that have exceeded their related Pretax Income From Continuing Operations percentage increases in the 5 years from 2005 to 2010.

Pretax Income (PTI) vs Net Income (NI) % Growth (2005 to 2010)
........................................................................NI % Growth
.............................% Change......% Change........Higher Than
...............................in PTI............in NI............PTI % Growth

Biogen IDEC..............380%............458%.................78%
Gilead Sciences.........237%.............255%.................18%
Baxter........................31%...............49%..................18%
Stryker.......................85%.............101%..................17%
Amgen..........................9%..............26%..................17%
Covidien.....................17%..............32%..................15%
Abbott Labs................24%..............37%..................13%
Eli Lilly.....................140%.............153%..................13%
McKesson...................40%..............52%..................12%
Medtronic...................18%..............22%....................4%
Becton Dickinson........52%..............55%....................3%
HCA............................-4%...............-2%....................2%

And here is my subsequent research related to the extent that non-Dow Big US Financial Corps have overdosed on Common Stock Buybacks for just the most recent 6 years from 2005 to 2010:

.......................................Six Years 2005 to 2010
..................................Common Stock........Cash Flow
.....................................Buybacks.......From Operations.....%
...........................................(millions of dollars)

Charles Schwab.................4,657..................5,713..........82%
Aon..................................4,278..................5,305..........81%
Franklin Resources...........5,825..................8,275..........70%
Western Union..................3,043..................6,682..........46%
Chubb..............................7,947.................17,620.........45%
Visa*................................3,024..................7,675..........39%
T Rowe Price.....................1,484..................3,902..........38%
Progressive......................3,865.................10,525..........37%
Allstate............................9,337.................27,993..........33%

.......Weighted Average Number of Common Shares Outstanding
....................................2010...............2005........% Decrease
.....................................(millions of shares)

Chubb...........................322.................408...............-21%
Allstate.........................543.................667...............-19%
Progressive..................663..................799...............-17%
Franklin Resources.......222.................262...............-15%
Aon..............................298..................342...............-13%
Western Union.............669..................764...............-12%
Charles Schwab..........1,194..............1,308.................-9%
Visa*...........................707.................769.................-8%
Aflac...........................473..................508.................-7%
MasterCard..................131..................135.................-3%
T Rowe Price...............265..................273.................-3%

................EPS % Change vs NI of CI % Change (2005 to 2010)
...........................................................................EPS % Change
............................................................................Higher Than
.....................................NI of CI*..............EPS..........NI of CI
....................................% Change.........% Change....% Change

Visa*..............................392%................438%............46%
Chubb...............................19%..................51%............32%
Franklin Resources...........52%..................77%............25%
Aon..................................76%..................98%............22%
MasterCard......................591%................610%...........19%
Progressive......................-23%..................-7%............16%
Western Union...................-2%..................12%............14%
Allstate............................-47%.................-35%............12%
Aflac.................................58%..................70%............12%
Charles Schwab................-28%.................-21%..............7%
T Rowe Price.....................56%..................60%..............4%

* Visa's above earlier year is 2007, rather than 2005.

And here is my subsequent research related to the extent that extremely profitable Non-Dow US Big Corps, with Annual Pretax Income just short of $2 bil and above, and which are in Other Sectors which were not already covered above in this post, have overdosed on Common Stock Buybacks for just the most recent 6 years from 2005 to 2010:

...................................Six Years 2005 to 2010
..............................Common Stock.......Cash Flow
.................................Buybacks.......From Operations.....%
....................................(millions of dollars)

Texas Instruments......19,869................20,261............98%
Dell.............................17,946................22,438............80%
Gap...............................7,961..................9,966............80%
Time Warner...............25,538................32,942............78%
Applied Materials.........7,831................10,378............75%
Viacom........................8,176................11,024.............74%
Accenture..................12,754................17,796............72%
DirecTV......................14,983................21,526............70%
ADP.............................6,784..................9,834............69%
Phillip Morris*............15,911................25,256............63%
General Mills................6,790................10,861............63%
Best Buy.......................6,025................10,800............56%
TJX..............................4,990..................9,117.............55%
Deere...........................5,776................11,165..............52%
Nike..............................6,243................12,195.............51%
Colgate Palmolive.........7,106................14,600............49%
PepsiCo......................20,010................41,113.............49%
CSX...............................5,661................13,531.............42%
UPS.............................12,526................30,051............42%
Kimberly Clark..............6,558................16,062............41%
Illinois Tool Works........4,988................12,332............40%
Honeywell.....................8,474................21,504............39%
Costco...........................5,560................14,153............39%
Ebay..............................6,041................15,435............39%
Target..........................10,265................29,020...........35%
Praxair..........................3,742................11,296............33%
EMC...............................6,112................18,931............32%
Lowe's...........................7,916................24,719............32%
Oracle..........................14,151................45,613............31%
Qualcomm....................8,095................26,770...........30%
Norfolk Southern...........4,151................13,933............30%

* Phillip Morris above numbers are for the 3 years from 2008 to 2010.

.......Weighted Average Number of Common Shares Outstanding
....................................2010..........2005.....% Decrease
.....................................(millions of shares)

DirecTV.........................886..........1,395..........-36%
GPS................................641............902..........-29%
Texas Instruments......1,213..........1,671..........-27%
Time Warner...............1,145..........1,570..........-27%
Loews............................420............558..........-25%
Dell.............................1,955..........2,449..........-20%
Newscorp...................2,633..........3,228..........-18%
Target...........................729.............889..........-18%
TJX...............................406.............492..........-17%
Best Buy........................417.............505..........-17%
Accenture.....................742.............895..........-17%
Viacom.........................594.............716..........-17%
CSX...............................385.............456..........-16%
Applied Materials.......1,330..........1,565..........-15%
Comcast.....................2,820..........3,312..........-15%
ADP..............................498.............580..........-14%
Kimberly Clark..............414............477..........-13%
Deere............................429............493..........-13%
Lowes........................1,403..........1,607..........-13%
Phillip Morris*...........1,842..........2,109..........-13%
Illinois Tool Works.......503.............575..........-13%
General Mills................665.............758..........-12%
Halliburton...................911..........1,038..........-12%
EMC...........................2,148..........2,433..........-12%
Kroger..........................638.............731..........-13%
UPS...........................1,003...........1,116..........-10%
Norfolk Southern..........372.............412..........-10%
Emerson Electric..........754.............825............-9%
Honeywell....................781.............852............-8%
Colgate Palmolive.........511.............557............-8%
Nike.............................486.............528............-8%
Costco..........................443.............480............-8%
Devon Energy..............436.............470............-7%
Praxair.........................311.............330............-6%
Union Pacific................503............533............-6%
Carnival.......................805.............853............-6%
PepsiCo......................1,614..........1,706............-5%
Ebay..........................1,327..........1,394............-5%
Southern Copper..........850.............883............-4%
Oracle........................5,128..........5,287............-3%
Monsanto.....................542.............552............-2%
Altria Group*............2,079..........2,113............-2%

* Phillip Morris and Altria Group both have an earlier year above of 2007, rather than 2005.

................EPS % Change vs NI of CI % Change (2005 to 2010)
........................................................................EPS % Change
.........................................................................Higher Than
..................................NI of CI*..............EPS..........NI of CI
.................................% Change.........% Change....% Change

DirecTV........................621%...............945%..........325%
Comcast........................339%...............416%...........77%
Texas Instruments..........49%...............102%...........53%
Loews.............................36%.................86%...........50%
Gap..................................6%.................49%...........43%
TJX................................94%...............134%...........40%
Time Warner....................3%.................42%...........39%
CSX..............................117%...............150%...........38%
Accenture.....................77%...............114%............36%
Viacom..........................37%.................65%...........28%
Target............................21%.................48%...........26%
ADP...............................49%.................74%...........25%
Best Buy.........................12%.................36%...........24%
Applied Materials..........27%.................49%...........23%
General Mills.................65%.................86%...........21%
Deere............................32%.................52%...........20%
EMC..............................68%.................87%...........20%
Dell..............................-27%.................-8%............19%
Kimberly Clark..............17%.................34%...........18%
Newscorp........................6%.................24%...........17%
Union Pacific...............171%...............188%...........17%
Phillip Morris*..............20%.................37%...........17%
Kroger...........................16%.................33%...........16%
Illinois Tool Works..........3%.................18%...........15%
Colgate Palmolive..........63%................77%...........14%
Nike...............................53%................66%...........13%
Halliburton...................-15%.................-3%...........12%
Emerson Electric...........33%.................45%...........12%
Norfolk Southern...........17%.................29%...........12%
Honeywell.....................29%.................41%...........11%
Costco...........................33%.................43%...........11%
UPS..............................-10%...................0%...........10%
Praxair..........................63%.................73%...........10%
Lowe's..........................-27%................-18%.............9%
PepsiCo.........................55%.................64%.............9%
Oracle..........................153%...............161%.............8%
Ebay.............................66%.................74%.............8%
Devon Energy..............-20%...............-15%.............6%
Southern Copper...........11%.................15%.............4%
Carnival.......................-12%.................-9%.............4%
Monsanto....................139%..............143%.............3%
Qualcomm.....................85%...............88%.............2%
Altria Group*................25%...............26%.............2%

* Phillip Morris and Altria Group both have an earlier year above of 2007, rather than 2005.

When I review all of the above numbers, it is pretty clear to me that the Occupying Protesters are spot on.....the deck is clearly stacked in favor of the US Big Corps and their beneficiaries, nearly all 1%ers, who are amassing this incredibly lucrative wealth from the very simple financial engineering strategy of overdosing on Common Stock Buybacks.

The 99%, including all small US businesses and the overwhelming majority of all US businesses, either can't do this or fair-mindedly elect to not do this. And even worse, this US Big Corp Common Stock Buyback Overdosing negatively impacts the economic situation of all of the 99%, thereby markedly expanding the Wealth GAP between the 1% and the 99%.

It's not right.....not even close to being right. And the US Congress has consistently allowed, and even fostered, this devastatingly detrimental, greedy overdosing by US Big Corps on Common Stock Buybacks to happen.

The country's 99% is shouting out for the US Congress to completely reverse course and to start serving the entire country, instead of just the 1%. Many in the US Congress publicly claim that they are serving the entire country, but by their actions, they are consistently and clearly legislating for just the 1%. The only part of the US Government that is consistently attempting to serve the entire country is the Obama Administration, although even they do go off target on the US economy at times.

==================

Dow Industrials
3M 3M
AA Alcoa
ATT ATT
AXP American Express
BA Boeing
BAC Bank of America
CAT Caterpillar
CSCO Cisco
CVX Chevron
DD Dupont
DIS Walt Disney
GE GE
HD Home Depot
HPQ Hewlett Packard
IBM IBM
INTC Intel
JNJ JNJ
JPM JPMorgan Chase
KFT Kraft Foods
KO Coca Cola
MCD McDonalds
MRK Merck
MSFT Microsoft
PFE Pfizer
PG Procter & Gamble
TRV Travelers
UTX United Technologies
VZ Verizon
WMT Walmart
XOM Exxon Mobil

99% Have No Choice But To Boycott Exxon Mobil, Chevron, Shell and BP

2011-11-21T13:21:00.000-08:00

Given that all 6 Republicans on the US Deficit Reduction Super-Committee have adamantly refused to eliminate the massive Tax Subsidies granted to Big Oil, I think that all the 99%, including small businesses, can do is to take it in their own hands, and boycott at the gas pump, as best they can, the 4 Big Oil That Rule: Exxon Mobil, Chevron, Royal Dutch Shell, and BP.

And since high energy prices are causing such a severe global economic problem, I think 99%ers around the world should boycott at the gas pump these 4 Big Oil Giants.

US Big Oil is devastating the 99%ers, including small businesses, with their sky high pricing. And this steep pricing is occurring despite the Big Oil Corps generating back to back years of monstrous Pretax Earnings growth, and despite the fact that they are receiving all of these massive Tax Subsidies to boot.

It's not right.....and it's not even close to being right.

Let me show the magnitude of Big Oil profits. I am including Shell and BP, because even though they are both foreign-owned, they have substantial operations in the US.

Below here are the 24 US Big Corps with Pretax Income(PTI) of at least $9 bil for either the first 9 months 2011 or the first 9 months 2010.

..............................................PTI...........PTI...........Increase
.............................................First.........First.........(Decrease)
............................................9 Mos.......9 Mos.........................
.............................................2011........2010.......Amount......%
.................................................(millions of dollars)

4 Big Oil That Rule
Exxon Mobil...................56,216......37,632......18,584....49%
Royal Dutch Shell.........43,855......24,083......19,772....82%
Chevron.........................37,669......23,289.......14,380....62%
BP(1)................................27,352......26,511............841.......3%
Total 4 Big Oil That Rule...165,092....111,515......53,577....48%

Next 20 Largest Corps
Apple..............................26,242......13,782......12,460....90%
JPMorgan Chase...............22,002......17,847........4,155.....23%
Microsoft..........................19,650......18,595........1,055.......6%
Wells Fargo.......................17,599......13,836........3,763.....27%
Conoco Phillips.............17,168......15,458........1,710......11%
Walmart(2).......................16,526......16,066...........460.......3%
ATT..................................16,406......16,691..........(285).....(2)%
GE....................................15,622......10,545........5,077.....48%
IBM..................................13,729......12,767..........962.......8%
Citigroup..........................13,535......12,124.........1,411.....12%
Intel.................................13,194......11,882.........1,312.....11%
Verizon............................12,285........6,684........5,601.....84%
JNJ..................................12,043......14,719.......(2,676)...(18)%
Procter & Gamble.............10,941......10,661...........280.......3%
Berkshire Hathaway.........10,862......12,570.......(1,708)...(14)%
Pfizer...............................10,469........8,489........1,980.....23%
Phillips Morris Intl............9,783........7,797........1,986.....25%
Oracle(3)...........................9,440........6,452........2,988.....46%
Coca Cola..........................9,228........8,002........1,226.....15%
Goldman Sachs..................4,922........9,418.......(4,496)...(48)%
Total Next 20................281,646....244,385.......37,261.....15%

Total all 24....................446,738....355,900.......90,838.....26%

(1) BP 2010 PTI above excludes the huge Gulf of Mexico Oil Spill Charges.
(2) Walmart PTI amounts are for the 9 months ended October 31st.
(3) Oracle PTI amounts are for the 9 months ended August 31st.

Yeah, that's right, the 4 Oil Corps that dominate all have higher Pretax Income in the first 9 months of 2011 than any other US Corp, with the widely revered Apple in the #5 spot, but still more than $1 bil below the bottom of the 4 Big Oil Giants.

And the Total Pretax Income for the first 9 months 2011 of these 4 Big Oil Corps comprised 37% of the Total Pretax Income of the 24 Largest US Corps.

Further, when you also include ConocoPhillips, which is #9 on the above list of the 24 largest US Corps, the 5 largest Oil Corps comprised 41% of the Total Pretax Income of the 24 Largest US Corps.

And these 4 Giant Oil Corps generated total Pretax Income of $165.1 bil in the first 9 months of 2011, which was a gigantic increase of 48% over that of the first 9 months of 2010. In comparison, the next 20 largest US Corps generated a Total Pretax Income increase of a dramatically lower 15% in the first 9 months of 2011.

And the 48% Pretax Earnings growth of these 4 Giant Big Oil Corps in the first 9 months of 2011 are on top of an even higher earnings growth of 57% in annual 2010 over 2009, as you can see below.

...............................................................................Increase
................................................PTI...........PTI........(Decrease)
..............................................Annual.....Annual..................
...............................................2010.......2009......Amount.....%
.................................................(millions of dollars)

4 Big Oil That Rule
Exxon Mobil.....................52,959....34,777.....18,182....52%
BP(1)...................................36,110.....25,124.....10,986....44%
Royal Dutch Shell............35,344....21,020.....14,324....68%
Chevron............................32,055....18,528.....13,527....73%
Total 4 Big Oil That Rule......156,468....99,449.....57,019....57%

Next 20 Largest Corps
Microsoft(2)........................25,013.....19,821........5,192.....26%
JPMorgan Chase..................24,859.....16,067.......8,792.....55%
Walmart(3)..........................23,538.....22,118........1,420.......6%
ConocoPhillips....................19,750.......9,582......10,168....106%
IBM.....................................19,723.....18,138........1,585.......9%
Berkshire Hathaway.............19,051.....11,552.......7,499.....65%
Wells Fargo..........................19,001.....17,998.......1,003.......6%
Apple(4)..............................18,540.....12,066.......6,474.....54%
ATT.....................................18,238.....18,518.........(280).....(2)%
JNJ.....................................16,947.....15,755........1,192.......8%
Intel...................................16,045.......5,704......10,341....181%
Procter & Gamble(2)...........15,047.....14,413...........634.......4%
Coca Cola............................14,243.......8,946........5,297.....59%
GE.......................................14,208.......9,995........4,213.....42%
Citigroup............................13,184......(7,799).....20,983....269%
Goldman Sachs...................12,892.....19,829........(6,937)...(35)%
Verizon..............................12,684.....13,520..........(836).....(6)%
Phillips Morris Intl.............10,324.......9,243.........1,081.....12%
Pfizer...................................9,422.....10,827........(1,405)....(13)%
Oracle(5).............................8,243.......7,834...........409.......5%
Total Next 20..................330,952....254,127......76,825.....30%

Total all 24.....................487,420....353,576.....133,844.....38%

(1) BP 2010 PTI above excludes the huge Gulf of Mexico Oil Spill Charges.
(2) Microsoft and Procter & Gamble PTI amounts are for the fiscal years ended June 30, 2010 and 2009.
(3) Walmart PTI amounts are for the fiscal years ended January 31, 2011 and 2010.
(4) Apple PTI amounts are for the fiscal years ended September 30, 2010 and 2009.
(5) Oracle PTI amounts are for the fiscal years ended May 31, 2010 and 2009.

How many 99%ers, including small businesses, had their earnings in both 2011 and 2010 increase annually in the range of 48% to 57% per year, like the 4 Giant Oil Corps did? My guess is substantially less than 1% of them.

But it's not just a most recent two year thing. The earnings of these 4 Big Oil Corps grew dramatically during the four-year period from 2002 to 2006, in the heart of the very Big-Oil-friendly, laissez faire, pretty much regulation free Bush/Cheney Presidency, as you can see from the following Pretax Income(PTI)chart.

.................................................Royal...................
................Exxon.......................Dutch.......................Total
................Mobil.....Chevron......Shell.........BP............All 4
.................PTI...........PTI...........PTI..........PTI...........PTI
……………..........(millions of US dollars)...............................

2002.....17,510........4,100.....17,447.....11,189......50,246
2003.....31,966......12,676.....21,772.....17,731......84,145
2004.....41,241......20,551.....31,659......24,966....118,417
2005.....59,432.....25,197.....44,567......31,421....160,617
2006....67,402......31,976.....44,628......35,142....179,148

Yeah, that's right, the Total Pretax Income of these 4 Big Oil Giants was $179.1 bil in 2006, or 3.6 times the Total Pretax Income of only 4 years earlier in 2002 of $50.2 bil. In comparison, Average Annual Domestic Crude Oil Prices in 2006 were $58.30 ber barrel, which was a lower 2.6 times such Crude Oil Prices in 2002 of $22.81. That's what I call Big Oil greedily, unconscionably, and unnecessarily piling on the profits on the backs of the 99%ers, including those engaged in all Non-Oil and Gas Businesses.

How many 99%ers, including small businesses, had their earnings in 2006 that were at least 3.6 times that earned in 2002, only 4 years earlier? My guess is much less than 1% of them.

Just what were Oil Prices during the entire Bush/Cheney Presidential Years? Well, the Average Annual Domestic Crude Oil Prices in the last year of their Presidency, or in 2008, was $91.48 ber barrel, an amazingly high 4.0 times such Crude Oil Prices in the first year of their Presidency, or in 2001, of $23.00 per barrel.

How have Oil Prices fared in the Obama Administration? Well, the Average Annual Domestic Crude Oil Prices are actually down some from $91.48 per barrel in 2008 to $86.84 so far in 2011. Clearly, Big Oil will do anything it can to remove President Obama from office. All of the Republican Presidential Candidates are strong supporters of Big Oil, despite their devastation to the US economy and to the 99%ers.

And below here is the Pretax Income for the first 9 months of 2011, in comparison to the first 9 months of 2010, of all 29 US Big Oil Corps with Pretax Income or Pretax Loss of at least $1 bil in either of these two periods.

..............................................PTI...........PTI..........Increase
.............................................First........First.........(Decrease)
.............................................9 Mos......9 Mos..................
..............................................2011.......2010.....Amount......%
.................................................(millions of dollars)

4 Big Oil That Rule
Exxon Mobil..................56,216.....37,632......18,584.....49%
Royal Dutch Shell.........43,855.....24,083.....19,772.....82%
Chevron.........................37,669.....23,289......14,380.....62%
BP....................................27,352.....26,511...........841.......3%
Total 4 Big Oil That Rule...165,092....111,515......53,577.....48%

Next 25 Largest Big Oil
ConocoPhillips..............17,168.....15,458........1,710.....11%
Oxy Petroleum................8,251.......5,812........2,439.....42%
Apache................................6,152.......3,938........2,214.....56%
Schlumberger......................4,453.......3,822...........631.....17%
Marathon Petroleum............3,899.........662........3,237....489%
Devon Energy......................3,496......2,900...........596.....21%
Valero Energy.....................3,229.......1,164........2,065....177%
Marathon Oil.......................3,209.......3,216.............(7)......0%
Halliburton.........................3,095.......1,745........1,350.....77%
Hess....................................2,659.......2,954.........(295)....(10)%
Chesapeake Energy.............2,081.......2,520.........(439)....(17)%
Natl Oilwell Varco...............2,079......1,774...........305.....17%
Baker Hughes......................1,870.........762.........1,108....145%
EOG Resources....................1,668.........268.........1,400....522%
Murphy Oil..........................1,451......1,102............349.....32%
Enterprise Products LP.......1,389.......1,115............274.....25%
Spectra Energy...................1,319.......1,013............306.....30%
HollyFrontier.....................1,290.........163..........1,127....691%
Williams Companies...........1,233......(1,284)........2,517....196%
Noble Energy.....................1,185..........962............223.....23%
Tesoro...............................1,096..........(38).........1,134....2984%
Anadarko Petroleum(1)......1,064.......1,352..........(288)....(21)%
Diamond Offshore.................976.......1,026............(50).....(5)%
Transocean Ltd.....................536.......2,126........(1,590)...(75)%
El Paso Corp.........................109........1,131........(1,022)...(90)%

Total all 25 Next Largest.74,957.....55,663........19,294.....35%

(1) Anadarko Petroleum 2011 PTI excludes large Deepwater Horizon Settlement and Related Costs.

Look at the incredibly wide gap between the Pretax Income of the lowest of the Big 4 Oil Giants BP, which has Pretax Income which is more than $10 bil higher than #5 ConocoPhillips.

And then look also at the incredibly wide gap of nearly $9 bil between #5 Big Oil ConocoPhillips and #6 Big Oil Occidental Petroleum.

A very positive development in Big Oil Land is that ConocoPhillips has decided to break itself up and that Marathon has already done so. But not the Ruling Big 4 Oil Corps. They just want to see their total profits keep rocketing skyward, despite the devastating economic harm to the 99%ers.

Given how the 4 Big Oil Corps dominate in the US, while earning these absolutely obscene profits for so many years, I think it would be wise for the 99%ers to boycott, as best they can, just the Big 4 Oil Giants: Exxon Mobil, Chevron, Shell, and BP.

Big Oil controls all of the Republicans in the US Congress, and even some of the Democrats. But it has to frustrate them that they cannot control the Occupy Movement.

Given that the Republicans in the US Congress continue to stop all of the wise Obama Administration attempts to strengthen the economic status of the 99%ers, I can think of no more effective initiative than for concerned 99%ers to boycott at the gas pump, starting during the upcoming Thanksgiving Holiday period, and continuing to build from there, these 4 Big Oil Giants, who are greedily destroying the fabric of the US Democracy.

It might be a little inconvenient at times to find another gas station, but it is the right thing to do for the sake of the entire country's economic future.

105 US Big Corp Late Additions in Many Sectors: 3Q 2011 Earnings Generally on Fire

2011-11-20T13:00:00.000-08:00

I previously made numerous posts on the 3Q 2011 Earnings of US Big Corps in all of the Non-Utility Sectors.

In this final post on 3Q 2011 Earnings, I am addressing my late Big Corp 3Q 2011 Additions, and even later ones, which I discovered from a much more exhaustive review of SEC filings.

There were 105 US Big Corp Late, and even Later, Additions spread across many Sectors, with Pretax Income or Loss of just short of $100 mil or higher in either the 3Q 2011 or the 3Q 2010.

Given the depth of the industries and that these 105 Corps are located all across the US, their earnings growth should give a good perspective on how US Big Corps did financially in the most recent 3Q 2011.

So, how did they do? Frankly, fantastic.

The Total Pretax Earnings growth of these 105 Big Corps was an exceptionally robust 34% in the most recent 3Q 2011.

The CEOs, Board of Directors, employees, and stockholders of a clear majority of these 105 Big Corps have to be very pleased with how the Obama Administration has created an excellent economic environment for these Big Corps to flourish.

What is needed now is to create the same proper economic environment, along with wise directly-targeted US Government initiatives, that will permit the 99%ers also to flourish and find decent full-time jobs, at a fair wage. This is a key objective of the courageous, driven, very perceptive Occupy Movement.

Below here are these 105 US Big Corps, first sorted by 3Q 2011 Pretax Earnings size. Later below, I'll also show these 105 Big Corps, sorted by Sector.

...........................................................................Increase
................................................PTI........PTI.......(Decrease)
.................................................3Q.........3Q..................
...............................................2011......2010....Amount....%
.................................................(millions of dollars)

Late Additions
HollyFrontier 836 91 745 819%
Covidien Ltd 573 380 193 51%
Tyco Intl 442 335 107 32%
Royal Caribbean 399 350 49 14%
Mattel 386 347 39 11%
Hertz 308 168 140 83%
Wyndham WW 271 235 36 15%
American Capital Agency 252 60 192 320%
Joy Global 230 168 62 37%
Hasbro 221 219 2 1%
Avis Budget Group(1) 202 144 58 40%
CVR Energy 189 36 153 425%
Helmerich&Payne 188 131 57 44%
HCP REIT 158 94 64 68%
Manpower 147 101 46 46%
Western Refining 131 12 119 992%
Aecom Technology 125 101 24 24%
Tyson Foods 125 323 (198) -61%
Dick's Sporting Goods 122 84 38 45%
Nalco Holding 121 93 28 30%
Raymond James Fincl 119 99 20 20%
Silgan Holdings 119 100 19 19%
Unisys 117 51 66 129%
Dolby Labs 117 99 18 18%
McCormick 116 114 2 2%
Sunoco(2) 114 69 45 65%
Guess(3) 113 96 17 18%
Eaton Vance 112 72 40 56%
Fossil 112 111 1 1%
Hunt JB Transport 112 85 27 32%
EQT(4) 106 57 49 86%
Polaris Industries 104 70 34 49%
F5 Networks 103 76 27 36%
PVH Corp(5) 102 5 97 1940%
Sealed Air 100 106 (6) -6%
Spirit Aero Systems 100 72 28 39%
Health Net 99 102 (3) -3%
Green Mountain Coffee 99 40 59 148%
Chipotle 98 78 20 26%
East West Bancorp 98 74 24 32%
Wabco Holdings 96 58 38 66%
United Rentals 96 38 58 153%
Chicago Bridge&Iron 94 74 20 27%
Transdigm Group 94 76 18 24%
Valspar 94 107 (13) -12%
Autodesk 94 80 14 18%
SM Energy(6) 93 25 68 272%
Tempur Pedic 93 64 29 45%
Stericycle 92 88 4 5%
Triumph Group 91 63 28 44%
Deckers Outdoor 91 67 24 36%
Sara Lee 90 98 (8) -8%
Urban Outfitters 89 107 (18) -17%
AmeriGroup 77 135 (58) -43%
Vornado Realty REIT 70 125 (55) -44%
Huntsman(7) 66 98 (32) -33%
Chimera Investm REIT 66 117 (51) -44%
Teradyne 57 152 (95) -63%
Legg Mason 56 103 (47) -46%
Genworth 46 140 (94) -67%
McDermott Intl(8) 36 105 (69) -66%
Cincinnati Financial 11 221 (210) -95%
Navistar Intl(9) 10 148 (138) -93%
AOL(10) 7 95 (88) -93%
Freescale SemiCdtr(11) (19) (156) 137 88%
First Data (77) (365) 288 79%
Gen Growth Prop REIT(12) (92) (150) 58 39%
Monsanto (93) (281) 188 67%
Old Republic (183) (61) (122) -200%
PHH (242) (2) (240) NM

Total 70 Late Addts 8,831 6,609 2,222 34%

Late Late Additions
Toyota Motor Credit 730 434 296 68%
Estee Lauder 414 282 132 47%
General Motors Fincl 177 91 86 95%
Amerco 161 136 25 18%
American Fincl Grp 155 208 (53) -25%
Energen 137 60 77 128%
Protective Life 131 107 24 22%
Rock-Tenn 127 96 31 32%
WR Grace 122 72 50 69%
Hubbell 118 109 9 8%
Jones Financial Cos 116 97 19 20%
Penn Natl Gaming 109 83 26 31%
Global Payments 107 79 28 35%
Dollar Thrifty 106 78 28 36%
Gardner Denver 104 63 41 65%
MDU Resources 102 92 10 11%
Affiliated Managers 100 93 7 8%
Commerce Bancshrs 98 82 16 20%
Towers Watson 96 59 37 63%
Rayonier REIT 96 79 17 22%
MSC Industrial Direct 94 70 24 34%
Quanta Services 93 95 (2) -2%
Adv Micro Devices 92 69 23 33%
Donaldson 90 73 17 23%
Bemis 87 99 (12) -12%
HCC Insurance 83 132 (49) -37%
AVX 81 95 (14) -15%
SEI Investments 75 91 (16) -18%
Veeco Instruments 74 96 (22) -23%
Markel Corp 67 91 (24) -26%
Pulte Group 38 (96) 134 140%
ON Semiconductor (32) 93 (125) -134%
Zale (32) (97) 65 67%
Toys R Us (62) (96) 34 35%
Hawker Beechcraft (75) (118) 43 36%
Total 35 Late Late Addts 3,979 2,997 982 33%

Total all 105 12,568 9,414 3,154 34%

(1) Avis Budget Group 2011 PTI excludes Acquisition Related Cost Charges.
(2) Sunoco 2011 PTI excludes Asset Impairment Charges. Its 2010 PTI excludes Gain on Pipeline Equity Investment Remeasurement.
(3) Guess 2011 PTI excludes Settlement Charge.
(4) EQT 2011 PTI excludes Gains on Dispositions.
(5) PVH Corp 2010 PTI excludes Acquistion Hedging Loss.
(6) SM Energy 2011 PTI exclude both Gains on Derivatives and Asset Impairment Charges.
(7) Huntsman 2011 PTI excludes Asset Impairment Charges.
(8) McDermott Intl 2010 PTI excludes Asset Impairment Charges.
(9) Navistar Intl 2011 PTI excludes Asset Impairment Charges.
(10) AOL 2010 PTI excludes Gain on Sale of Business.
(11) Freescale SemiConductor 2011 PTI excludes Loss on Debt Extinguishment.
(12) General Growth Properties REIT 2011 PTI excludes Warrant Credit Adjustment.

And below here is the Pretax Income (PTI) for the 3Q 2011, as compared with the 3Q 2010, of these 105 US Big Corp Late, and even Later, Additions, sorted by Sector.

...........................................................................Increase
................................................PTI........PTI.......(Decrease)
.................................................3Q.........3Q..................
...............................................2011......2010....Amount....%
.................................................(millions of dollars)

Late Additions

Oil&Gas
..HollyFrontier 836 91 745 819%
..CVR Energy 189 36 153 425%
..Helmerich&Payne 188 131 57 44%
..Western Refining 131 12 119 992%
..Sunoco 114 69 45 65%
..EQT 106 57 49 86%
..SM Energy 93 25 68 272%
..Total of all 7 1,657 421 1,236 294%

Chemicals
..Nalco Holding 121 93 28 30%
..Valspar 94 107 (13) -12%
..Huntsman 66 98 (32) -33%
..Monsanto (93) (281) 188 67%
..Total all 4 188 17 171 1006%

Conglomerates
..Tyco Intl 442 335 107 32%

Foods
..Tyson Foods 125 323 (198) -61%
..McCormick 116 114 2 2%
..Sara Lee 90 98 (8) -8%
..Total all 3 331 535 (204) -38%

Health Insurance
..Health Net 99 102 (3) -3%
..AmeriGroup 77 135 (58) -43%
..Total of both 176 237 (61) -26%

Home Products
..Tempur Pedic 93 64 29 45%

Insurance
..Life Insurance
….Genworth 46 140 (94) -67%

..Property Casualty Insurance
….Cincinnati Financial 11 221 (210) -95%

..Surety Insurance
….Old Republic (183) (61) (122) -200%

Leisure and Entertainment
..Royal Caribbean 399 350 49 14%
..Mattel 386 347 39 11%
..Wyndham WW 271 235 36 15%
..Hasbro 221 219 2 1%
..Polaris Industries 104 70 34 49%
..Green Mountain Coffee 99 40 59 148%
..Total all 6 1,480 1,261 219 17%

Motor Vehicles and Parts
..Wabco Holdings 96 58 38 66%
..Navistar Intl 10 148 (138) -93%
..Total of both 106 206 (100) -49%

National/Regional Banks
..East West Bancorp 98 74 24 32%

Other Financial
..Brokers and Investment Advice
….Raymond James Fincl 119 99 20 20%
….Eaton Vance 112 72 40 56%
….Legg Mason 56 103 (47) -46%

..Financial Data Services
….First Data (77) (365) 288 79%

..Diversified Financial Services
….American Capital Agency 252 60 192 320%
….PHH (242) (2) (240) NM

..Other Financial
….HCP REIT 158 94 64 68%
….Vornado Realty REIT 70 125 (55) -44%
….Gen Growth Prop REIT (92) (150) 58 -39%

..Financial REIT Investment Firms
….Chimera Investm REIT 66 117 (51) -44%

..Rental Firms
….Hertz 308 168 140 83%
….Avis Budget Group 202 144 58 40%
….United Rentals 96 38 58 153%
...Total of all 3 606 350 256 73%

Health Care
..Covidien Ltd 573 380 193 51%

Retail
..Dick's Sporting Goods 122 84 38 45%
..Guess 113 96 17 18%
..Chipotle 98 78 20 26%
..Urban Outfitters 89 107 (18) -17%
..Total all 4 422 365 57 16%

Technology
..Unisys 117 51 66 129%
..Dolby Labs 117 99 18 18%
..F5 Networks 103 76 27 36%
..Autodesk 94 80 14 18%
..AOL 7 95 (88) -93%
..Freescale SemiCdtr (19) (156) 137 88%
..Total all 6 419 245 174 71%

Transportation
..Hunt JB Transport 112 85 27 32%

Other Sectors
..Aircraft Parts and Equipment
….Spirit Aero Systems 100 72 28 39%
….Transdigm Group 94 76 18 24%
….Triumph Group 91 63 28 44%

..Apparel and Footwear
….PVH Corp 102 5 97 1940%
….Deckers Outdoor 91 67 24 36%

..Employment
….Manpower 147 101 46 46%

..Engineering and Construction
….Aecom Technology 125 101 24 24%
….Chicago Bridge&Iron 94 74 20 27%

..Industrial Instruments
….Teradyne 57 152 (95) -63%

..Industrial Machinery
….McDermott Intl 36 105 (69) -66%

..Mining Equipment
….Joy Global 230 168 62 37%

..Packaging and Containers
….Silgan Holdings 119 100 19 19%

..Paper and Paperboard
….Sealed Air 100 106 (6) -6%

..Waste Management
….Stericycle 92 88 4 5%

..Watches and Clocks
….Fossil 112 111 1 1%

Total all 70 8,831 6,609 2,222 34%

Late Late Additions

Chemicals
..WR Grace 122 72 50 69%

Home Products
..Estee Lauder 414 282 132 47%

Insurance
..Life Insurance
….Protective Life 131 107 24 22%

..Property Casualty Insurance
….American Fincl Grp 155 208 (53) -25%
….HCC Insurance 83 132 (49) -37%
….Markel Corp 67 91 (24) -26%

Leisure and Entertainment
..Penn Natl Gaming 109 83 26 31%

Mining
..MDU Resources 102 92 10 11%

National/Regional Banks
..Commerce Bancshrs 98 82 16 20%

Oil&Gas
..Energen 137 60 77 128%

Other Financial
..Brokers and Investment Advice
….Jones Financial Cos 116 97 19 20%
….Affiliated Managers 100 93 7 8%
….SEI Investments 75 91 (16) -18%

..Diversified Financial Services
….Toyota Motor Credit 730 434 296 68%
….General Motors Fincl 177 91 86 95%

..Financial Data Services
….Global Payments 107 79 28 35%

..Rental
….Amerco 161 136 25 18%
….Dollar Thrifty 106 78 28 36%

Retail
..Zale (32) (97) 65 67%
..Toys R Us (62) (96) 34 35%

Technology
..Adv Micro Devices 92 69 23 33%
..ON Semiconductor (32) 93 (125) -134%

Other
..Aircraft Parts and Equipment
….Hawker Beechcraft (75) (118) 43 36%

..Electrical Equipment
….Hubbell 118 109 9 8%
….AVX 81 95 (14) -15%

..Engineering and Construction
….Quanta Services 93 95 (2) -2%

..Forest and Forest Products
….Rayonier REIT 96 79 17 22%

..Homebuilding
….Pulte Group 38 (96) 134 140%

..Industrial Machinery
….Gardner Denver 104 63 41 65%
….Donaldson 90 73 17 23%
….Veeco Instruments 74 96 (22) -23%

..Management Consulting
….Towers Watson 96 59 37 63%

..Packaging and Containers
….Rock-Tenn 127 96 31 32%

..Paper and Paperboard
….Bemis 87 99 (12) -12%

..Wholesale Diversified
….MSC Industrial Direct 94 70 24 34%

Total 35 Late Late Addts 3,979 2,997 982 33%

Total all 105 12,568 9,414 3,154 34%

59 US Big Corps in Other 15 Sectors 3Q 2011 Earnings Generally on Fire

2011-11-16T12:11:00.000-08:00

I made numerous posts on the 3Q 2011 Earnings of US Big Corps in many large Sectors.

In this second to the final post on 3Q 2011 Earnings, I am addressing the remaining 15 Sectors, excluding Utilities, which I don't cover.

There were 59 US Big Corps spread across 15 Other Sectors, with Pretax Income or Loss of just short of $100 mil or higher in either the 3Q 2011 or the 3Q 2010.

Given the depth of the industries and that these 59 Corps are located all across the US, their earnings growth should give a good perspective on how US Big Corps did financially in the most recent 3Q 2011.

So, how did they do? Frankly, generally fantastic.

The Total Pretax Earnings growth of these 59 Big Corps was a very impressive 21% in the most recent 3Q 2011.

The CEOs, Board of Directors, and employees of a clear majority of these 59 Big Corps have to be very pleased with how the Obama Administration has created an excellent economic environment for these Big Corps to flourish.

What is needed now is to create the same proper economic environment, along with wise directly-targeted US Government initiatives, that will permit the 99%ers also to flourish and find decent full-time jobs, at a fair wage. This is a key objective of the brave, very perceptive Occupy Movement.

Below here are these 59 US Big Corps, first sorted by 3Q 2011 Pretax Earnings size. Later below, I'll also show these 59 Big Corps, sorted by Sector.

...........................................................................Increase
................................................PTI........PTI.......(Decrease)
.................................................3Q.........3Q..................
...............................................2011......2010....Amount....%
.................................................(millions of dollars)

Emerson Electric 1,093 838 255 30%
Nike 852 755 97 13%
Illinois Tool Works 690 577 113 20%
McGraw-Hill 589 611 (22) -4%
Danaher(12) 581 524 57 11%
Sysco 480 477 3 1%
International Paper(11) 463 547 (84) -15%
Eaton 432 305 127 42%
Waste Management 421 411 10 2%
Parker Hannifin 412 336 76 23%
VF 404 335 69 21%
Ingersoll-Rand(1) 396 349 47 13%
Polo Ralph Lauren 348 306 42 14%
Omnicom Group 342 284 58 20%
AES(13) 320 262 58 22%
Dover 307 257 50 19%
WW Grainger 300 250 50 20%
Republic Services 296 230 66 29%
Nucor 284 58 226 390%
Alcoa 280 60 220 367%
Rockwell Automation 256 158 98 62%
Genuine Parts 247 212 35 17%
Crown Holdings 245 208 37 18%
CHS 237 171 66 39%
Fluor 231 25 206 824%
Apollo Group(9) 229 317 (88) -28%
Avnet(5) 196 174 22 13%
Amphenol(3) 191 180 11 6%
Cooper Industries 189 179 10 6%
Arrow Electronics 186 167 19 11%
Ball Corp 186 197 (11) -6%
Timken 182 111 71 64%
URS(8) 173 153 20 13%
Meadwestvaco 170 112 58 52%
Gannett 157 169 (12) -7%
Interpublic Group(10) 155 69 86 125%
Owens Corning 149 41 108 263%
Owens-Illinois 148 188 (40) -21%
US Steel(6) 147 (195) 342 175%
Jacobs Engineering 145 120 25 21%
Flowserve 140 140 0 0%
Ametek 139 109 30 28%
KBR 137 160 (23) -14%
Airgas 124 107 17 16%
Molex 119 111 8 7%
Reliance Steel&Alum 119 73 46 63%
Hanesbrands 114 77 37 48%
Cintas 112 89 23 26%
ITT Educational 110 152 (42) -28%
Pall Corp(2) 109 110 (1) -1%
Snap-On 98 71 27 38%
Kennametal 96 50 46 92%
Allegheny Technologies 95 10 85 850%
RR Donnelley 94 92 2 2%
Devry 80 112 (32) -29%
Whirlpool(4) 58 169 (111) -66%
Washington Post 13 145 (132) -91%
AK Steel (7) (100) 93 93%
Aleris Intl(7) (140) (43) (97) -226%

Total all 59 in 15 Sectors 14,719 12,162 2,557 21%

Below here are the 3Q 2011 Pretax Income (PTI) for these 59 US Big Corps, sorted by Sector.

...........................................................................Increase
................................................PTI........PTI.......(Decrease)
.................................................3Q.........3Q..................
...............................................2011......2010....Amount....%
.................................................(millions of dollars)

Big Industrial Machinery Corps
Illinois Tool Works 690 577 113 20%
Eaton 432 305 127 42%
Parker Hannifin 412 336 76 23%
Ingersoll-Rand(1) 396 349 47 13%
Dover 307 257 50 19%
Timken 182 111 71 64%
Flowserve 140 140 0 0%
Ametek 139 109 30 28%
Pall Corp(2) 109 110 (1) -1%
Snap-On 98 71 27 38%
Kennametal 96 50 46 92%
Total all 11 3,001 2,415 586 24%

Electronics Electrical Equipment
Emerson Electric 1,093 838 255 30%
Rockwell Automation 256 158 98 62%
Amphenol(3) 191 180 11 6%
Cooper Industries 189 179 10 6%
Molex 119 111 8 7%
Whirlpool(4) 58 169 (111) -66%
Total all 6 1,906 1,635 271 17%

Big Wholesaler Corps
Wholesale Food & Grocery
Sysco 480 477 3 1%
CHS 237 171 66 39%
Total of 2 Food&Grocery 717 648 69 11%
Wholesale Diversified
WW Grainger 300 250 50 20%
Genuine Parts 247 212 35 17%
Airgas 124 107 17 16%
Reliance Steel&Alum 119 73 46 63%
Total of 4 Diversified 790 642 148 23%
Wholesale Electronics
Avnet(5) 196 174 22 13%
Arrow Electronics 186 167 19 11%
Total of 2 Electronics 382 341 41 12%

Total of all 8 Wholesalers 1,889 1,631 258 16%

Apparel and Footwear
Nike 852 755 97 13%
VF 404 335 69 21%
Polo Ralph Lauren 348 306 42 14%
Hanesbrands 114 77 37 48%
Cintas 112 89 23 26%
Total all 5 1,830 1,562 268 17%

Metal Corps
Nucor 284 58 226 390%
Alcoa 280 60 220 367%
US Steel(6) 147 (195) 342 175%
Allegheny Technologies 95 10 85 850%
AK Steel (7) (100) 93 93%
Aleris Intl(7) (140) (43) (97) -226%
Total all 6 659 (210) 869 414%

Engineering and Construction
Fluor 231 25 206 824%
URS(8) 173 153 20 13%
Jacobs Engineering 145 120 25 21%
KBR 137 160 (23) -14%
Total all 4 686 458 228 50%

Waste Management
Waste Management 421 411 10 2%
Republic Services 296 230 66 29%
Total of 2 717 641 76 12%

Publishing and Printing
McGraw-Hill 589 611 (22) -4%
Gannett 157 169 (12) -7%
RR Donnelley 94 92 2 2%
Total all 3 840 872 (32) -4%

Education and Training
Apollo Group(9) 229 317 (88) -28%
ITT Educational 110 152 (42) -28%
Devry 80 112 (32) -29%
Washington Post 13 145 (132) -91%
Total all 4 432 726 (294) -40%

Advertising Agencies
Omnicom Group 342 284 58 20%
Interpublic Group(10) 155 69 86 125%
Total of 2 497 353 144 41%

Forest and Paper Products
International Paper(11) 463 547 (84) -15%
Meadwestvaco 170 112 58 52%
Total of 2 633 659 (26) -4%

Packaging and Containers
Crown Holdings 245 208 37 18%
Ball Corp 186 197 (11) -6%
Owens-Illinois 148 188 (40) -21%
Total of all 3 579 593 (14) -2%

Industrial Instruments
Danaher(12) 581 524 57 11%

Cogeneration Power Producer
AES(13) 320 262 58 22%

Building Materials
Owens Corning 149 41 108 263%

Total 59 all in 15 Sectors 14,719 12,162 2,557 21%

(1) Ingersoll-Rand 2011 PTI excludes Loss on Asset Sales and Impairments.
(2) Pall Corp 2010 PTI excludes Loss on Debt Extinguishment.
(3) Amphenol 2011 PTI excludes Flood Casualty Loss Charge.
(4) Whirlpool 2010 PTI excludes Antitrust Settlement Charge.
(5) Avnet 2010 PTI excludes Gain on Bargain Purchase.
(6) US Steel PTI and PTL excludes in both years Foreign Exchange Gains and Losses.
(7) Aleris International 2011 PTI excludes Loss on Derivatives.
(8) URS 2011 PTI excludes Goodwill Impairment Charge.
(9) Apollo Group 2010 PTI excludes Intangible Asset Impairment Charge.
(10) Interpublic Group 2011 PTI excludes Gain from Sale of Facebook Investment.
(11) International Paper 2011 PTI exclude Loss on Sale of Business and Asset Impairment Charge.
(12) Danaher 2010 PTI excludes Gain on Contribution to Joint Venture.
(13) AES PTI in both years excludes in both years Foreign Exchange Gains and Losses.