Somehow, amidst the TV's talking about Rush Limbaugh this week, I didn't hear that General Electric (the GE) is in deep shit.
Joe Nocera, who impressed on the Daily Show's Wednesday episode which featured an epic indictment of CNBC, thoroughly explains GE's current situation and how it came to be.
To sum up, GE was creating a false impression of its earnings each and every month by using some neat, irresponsible financial tricks. This worked great, until the market collapsed, that is.
Last April, however, G.E. missed its earnings estimate by a huge amount, some $700 million. Even worse, it did so after assuring investors just two weeks earlier that it would hit its numbers.
GE says it won't need a bailout and that its capital is fine. We've heard this story before.
If we end up giving a bailout to GE, which would be a disaster for the American economy in itself, I'd like to set one basic ground rule that I think the majority of Americans can agree with:
I REFUSE TO PAY RICK SANTELLI'S SALARY. This isn't charity, I don't need to give money to a 'loser' like Santelli just because his company drank the water instead of carrying it.
Cross-posted (sans poll) at The New Argument