CEOs are literally bragging about hiking prices while hiding behind "inflation."

[Nevilledog]

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Lindsay Owens, PhD
@owenslindsay1
As you read today's inflation report, pay close attention to what the CEOs who set prices are saying. We got our hands on the latest batch of earnings reports, and it's a doozy. They're literally bragging about hiking prices while hiding behind "inflation." The receipts...(1/7)
7:09 AM · Feb 10, 2022

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https://threadreaderapp.com/thread/1491776417700491266.html

As you read today's inflation report, pay close attention to what the CEOs who set prices are saying. We got our hands on the latest batch of earnings reports, and it's a doozy. They're literally bragging about hiking prices while hiding behind "inflation." The receipts...(1/7)

CEOs often speak more candidly on earnings calls (held when a new report comes out), in an effort to impress investors, by bragging about their ruthless profit-rigging schemes. It apparently doesn't occur to them that the public might find out about them! For instance... (2/7)

The company 3M, which produces N95 masks (and other things) crowed on its earnings call that “the team has done a marvelous job in driving price. Price has gone up from 0.1% to 1.4% to 2.6%." The CFO told investors, "We see that to be a tailwind." (3/7)

Tyson, one of the big 4 meat monopolies Biden is targeting for price-fixing saw profits nearly DOUBLE after price hikes of 32% on beef and 20% on chicken which the CEO attributed to the "continued resilience of our multi-protein portfolio." (4/7)

Tyson Foods shares set record as high meat prices fatten profits
Tyson Foods Inc shares climbed more than 11% to an all-time high on Monday after the company reported that first-quarter profits nearly doubled due to soaring U.S. meat prices.
https://www.reuters.com/business/retail-consumer/tyson-foods-beats-revenue-estimates-higher-meat-prices-2022-02-07/

In its 4th quarter report, Johnson & Johnson revealed it raised prices…despite raking in billions from COVID vaccine sales. Its CEO told investors that the need for medical care & to “address suffering and death” is part of J&J's “optimism” & “opportunity” for its future. (5/7)

Kimberly Clark is a mega-corporation manufacturing everything from paper towels to diapers. On its recent earnings call, CEO Mike Hsu crowed to investors about “multiple rounds” of “significant pricing actions” & admitted he plans to continue doing it throughout the year. (6/7)

If you want to understand the role of corporate greed in price hikes & inflation in America today, you don't have to take the word of watchdogs or critics of corporations. CEO's are admitting it themselves in plain daylight.

And they're betting they can get away with it. (END)

[SheltieLover]

1. Of course they are!

Scum!

[DURHAM D]

2. The Media is the bigger scum.

The only thing they want to report is INFLATION, INFLATION, INFLATION.

No interest in the truth.

[dalton99a]

5. +1. There is zero reporting on price gouging

[uponit7771]

7. +1

[BlueIdaho]

3. Today's inflation is not the result

Of some kid getting $3/hour more for flipping burgers or the scarcity of items on the shelf - it is the result of CEOs deciding they can charge more and deliver less.

[dalton99a]

4. They're marking everything up 15, 25%. The profit margin is huge

[uponit7771]

8. +1, RIGHT !! If they were just passing com to consumers there *MARGIN* would be flat !

[fescuerescue]

6. It's a message to stockholders that inflation will not erode their investment

It's basically the CEO saying that profitability will remain even if their wage and supply costs go up.

It's kinda of infuriating that they are bragging about it of course.

But not raising prices in concert with rising costs would violate the fiduciary duty to the shareholders and invite a shareholder lawsuit. Then the CEO would just be replaced by another CEO who DOES raise prices in response.

That's tough thing about inflation. It's like a house fire where the fire just gets worse and worse.

Inflation causes more inflation. If the country doesn't stop it, it'll destroy us.

[Tommymac]

9. No, it's called price gouging. President Biden is unfairly judged by the 1% owned Media

Yes, there is inflation.

No, it is not being caused soley, or even largely, by President Biden.

Yes, it is being driven by the selfish 1%.

My messaging is just as valid as yours.

[fescuerescue]

22. We can apply any label that suits our needs

But it's quite predictable.

These companies all behave the same way for a reason.

[global1]

10. When These Greedy Bastards Learned About All The Money That Was Being Doled Out To....

Americans to carry them over this pandemic - they found ways to get their hands on those dollars by creating false supply shortages as excuses that would allow them to raise prices and take that money right out of the wallets and back pockets of the American People.

The inflation issue that we are dealing with right now is simply a money grab to gather up as much of the pandemic distribution of dollars as they can.

[moondust]

11. Making a list and checking it twice.

3M
Tyson
J&J
Kimberly Clark
No doubt others

Shit to avoid. Always had appreciation for quality 3M products but won't tolerate opportunistic gouging.

[tenderfoot]

12. Yep

Hopefully, voters will see through the ruse.

[EleanorR]

13. K & R

Thanks for posting.

[ck4829]

14. K&R

[peggysue2]

15. Think the Administration needs to bring these profiteers to heel

Kimberly Clark was one of the first corporations mentioned last night during an interview with Owens. My husband worked for the company for 25 years, a finance guy. He watched the segment and shook his head saying back in the day the company was always careful not to hike prices like this.

Now, the current CEO is bragging about it, ensuring shareholders that the process will continue ad infinitum.

These greed heads need to be reined in, tout suite!

[TexasBushwhacker]

16. It's called CAPITALISM - However

The thing is, they use their windfall profits to buy back stock and give executives big ass bonuses. IMHO, companies should have to pay an excise tax on funds used to buy back stock and massive compensation of executives should have an upper limit (say $10 Million) that includes ALL compensation. Beyond that, it shouldn't be deductible and the corporations should have to pay tax on it as part of their profits.

But, but, but, the executives pay income tax on those big bonuses you? That's double taxation you say! You know what? TOUGH SHIT!

BTW, fix the damn Social Security contribution limit. Either remove the cap altogether, or leave an untaxed donut hole that can be adjusted, as needed. But, but, but the rich folks won't get fair SS checks when they retire. Again, with feeling, TOUGH SHIT!!! Social Security and Medicare are the programs we have to keep the elderly, the disabled, and survivors who lost their family bread winner FROM LIVING IN POVERTY!!! It's the cost of living in a civilized society. Deal with it or move move to some "shit hole country".

THE United States should not be supporting income inequality. They should not be support the establishment of dynasties. There should not be a stepped up basis on estates passed onto heirs other than spouses.

[Emile]

17. You will never see a capitalist blame Predatory Capitalism. It's all blowing smoke

up our asses with bullshit!

[Pathwalker]

18. Thank you for this very important news. It lays it all out

very clearly.

[Solly Mack]

19. K&R

[VGNonly]

20. I'm shocked...

shocked I tell you, to find out inflation is going on!

[link:

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[JanMichael]

21. Can't wait for the "it is supply and demand" tweeds.

[Zeitghost]

24. You mean those who understand basic economics?

Maybe you could direct me towards an economic textbook that explains this "inflation is caused by greedy CEO's" theory to me because I must have missed it in the dozens I read completing my undergrad.

[Zeitghost]

23. If profit margins were that excessive

A competitor would undercut them, take their business and still turn a profit. For every CEO setting profit maximizing prices there are thousands of willing buyers making spending choices. Charge too much and customers will find alternatives. There is a lack of fundamental understanding of basic economic principles in these threads that while well intentioned, is doing more harm than good.