permafrost wrote:
Yes, my buds in Wisconsin, my wife home state are indeed seeing what trump can do in his orange tinted world of fantasy..
He is so proud of Foxconn and their new facility in SE Wisconsin..
So be sure to give trump full credit.. he has done the most wonderful deal for them..
A man named David says it so well... let him speak..
oxconn said that it will build flat screens in Wisconsin after their talk with President Trump? Can we give some credit to President Trump for this?
David Douglas
David Douglas, MBA Finance
Updated 36m ago
Sure, let's give President Trump the credit he is due for the Foxconn “deal”. So, let's see what credit he is actually due by examining the deal a little bit.
Let's see what Foxconn got out of it:
4 billion dollars to build a facility here in the United States. Yes, that's billion with a “B”. No company in history has ever received that kind of deal for what they are building.
What do we get out of it:
Well clearly we get a new manufacturing plant here in the United States to help prop up our manufacturing sector…right? That is what we're getting isn't it? I mean that's what the president keeps saying that we're getting…even when Foxconn repeatedly says “no, that's not what we're building”. Hmm…maybe that deserves a little looking into since we have two strongly conflicting statements. So, let's start with the fact that Foxconn is not contractually obligated to produce anything at all! They are building an R&D facility, not a production facility. Well, they're still going to hire a bunch of workers right? No, not really. They will have a couple of hundred research scientists, finance people, and managers on site…many simply being relocated from other locations. I guess that means it won't be much of a job creator. Even if it were, would you care to divide 4 billion by the number of employees to see how much we're paying for these jobs? Aren't you guys supposed to be against make-work jobs? Oh, but Foxconn said they were going to produce flat screen TV's here after all after the deal maker in chief got off the phone with them a few weeks ago right? Didn't they? Because I actually read that release as opposed to the spin from the White House. First, let's recall that they are contractually obligated to build precisely nothing to get that 4 billion dollar handout. Let's also remember that their statement was a press release, not a contract. Then let's look at the press release. It said that they still plan on the building being “at least 2/3 dev**ed to research”, and that they would look into building some small quantities of small displays. They aren't talking about 40″ flat screen TV's when they say this. They are talking about those tiny little displays that go on washing machines and coffee makers. But hey, they will still need lots of labor for that right? No, those devices will be largely produced in an automated process. There will be a few employees sure…if they actually do it…which they don't have to…but only a handful of laborers will be required.
Does it really still sound like a great deal? Are you sure you want us giving President Trump the credit he is due for this one? Personally, I really hope he does get everything he “deserves” for this deal and for so much more that he's “accomplished”. Oh, and on a side note... Career economists and corporate finance professionals, who tend towards the conservative end of the political spectrum, are literally laughing at the President for this “spectacular” deal that he made.
Yes, my buds in Wisconsin, my wife home state are ... (
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