Commentary - 04/04/08

Are Pensioners Behind The Export of American Jobs?

I'm 60, and I'm certainly NOT in favor of exporting American jobs. But then again, I don't have any funds invested in these Major Holders [like FMR-Fidelity], either. However, I'm beginning to wonder about others? Today's article from Chattanooga, La-Z-Boy, Whirlpool Moving Hundreds Of Jobs To Mexico, does make me question what's going on here.

La-Z-Boy and Whirlpool are moving jobs to new plants in Mexico, bringing job losses to hundreds of workers in Dayton and Cleveland.

La-Z-Boy employees in Dayton were told today that the cutting and sewing operation is being moved to Mexico.

If pension funds are financing these moves (through FMR-Fidelity and other Major Holders), isn't that like eating your children's seed corn?

Looking back at the sordid history of Levi Strauss's operations in America, that causes me to think that La-Z-Boy and Whirlpool might be heading down that same road,

The company [Levi Strauss] took on multi-billion dollar debt in February 1996 to help finance a series of leveraged stock buyouts among family members.
The company is now Wal-Mart's largest worldwide strategic partner, conforming to Wal-Mart's business and labor practices. Levi Strauss & Co. closed 58 US manufacturing plants between 1981 and 1990, sending 25% of its sewing operations overseas. Levi's accelerated US plant closings through the 1990s, closing its last US domestic plant (in San Antonio, Texas) in January 2004.
It boggles my mind that Levi insiders could borrow billions to take the company private. In doing so, the real owners are those who hold these notes, which are either money center banks or investment banks. If you drill down through these links, you'll see the same Major Holders in ALL of these firms, as well as those below.

Just look at the percentages! The TOP 10 Major Holder of La-Z-Boy make up only 4% of the 125 institutional holders, but control a whopping 98.9% of the shares! And at Whirlpool, those Major Holders only make up 2.5% of the 387 institutional holders, but control 81.81% of the shares! Wow! It's obvious this did not happen overnight. This was PLANNED for a very long time.

Now do you understand the concentration of financial power here in America, and why employees everywhere do not get a break. I'm not socialist and do not advocate socialism. This example is NOT capitalism, but the pure form of imperialism. To me, the farmer's market is pure capitalism; Wal-Mart is pure imperialism. Many of these Major Holders are not even from our soil, but London and Paris. They always were.

Perhaps that's why: Sometimes The Dragon Wins

Symbol Name Of Corporation

La-Z-Boy Inc. (As of 31-Dec-2007)
Top 10 Institutional HoldersShares2007Value2006
FMR LLC (Fidelity)7,756,40015.09%$61,508,252-.--%
Barclays Global Investors UK Holdings Ltd5,333,65510.37%$42,295,884-.--%
Royce & Associates, Inc.4,330,1008.42%$34,337,693-.--%
Dimensional Fund Advisors Inc4,304,2128.37%$34,132,401-.--%
Franklin Resources, Inc3,457,6006.72%$27,418,768-.--%
Morgan Stanley2,541,8134.94%$20,156,577-.--%
Van Den Berg Management Inc, Dba Century Management2,391,9134.65%$18,967,870-.--%
Hartline Investment Corporation2,383,2914.64%$18,899,497-.--%
AGF Funds Inc1,505,6402.93%$11,939,725-.--%
Vanguard Group, Inc. (The)1,501,9342.92%$11,910,336-.--%
% of Shares Held by All Insider and 5% Owners:5%-.--%
Top 10 [4.0%] of 125 Institutional Holders Control69.05%-.--%
Percentage of Barclays and "Associates" Control30.45%-.--%
NOTE: FMR (Fidelity) manages three funds that control 14.88%.
Royce & Associates manages two funds that control 5.85%.
Barclays Ishares manage a fund that controls 4.89%.
Franklin manages two funds that control 4.23%.
Therefore, the TOP 10 Major Holders control 98.9%, and
Barclays/Associates control 45.42% of La-Z-Boy.

Symbol Name Of Corporation

Whirlpool Corp. (As of 31-Dec-2007)
Top 10 Institutional HoldersShares2007Value2006
FMR LLC (Fidelity) 9,532,28912.57%$778,120,751-.--%
Primecap Management Company8,606,15511.35%$702,520,432-.--%
Pzena Investment Management, LLC8,150,63310.75%$665,336,171-.--%
Allianz Global Investors of America L.P. (Munich, Germany)6,805,3328.97%$555,519,251-.--%
Vanguard Group, Inc. (The)4,206,2085.55%$343,352,759-.--%
LSV Asset Management2,821,4093.72%$230,311,616-.--%
State Street Corporation2,545,8103.36%$207,814,470-.--%
Barclays Global Investors UK Holdings Ltd2,464,1143.25%$201,145,625-.--%
Wellington Management Company, LLP2,125,1042.80%$173,472,239-.--%
Putnam Investment Management, LLC1,341,8171.77%$109,532,521-.--%
% of Shares Held by All Insider and 5% Owners:1%-.--%
Top 10 [2.5%] of 387 Institutional Holders Control64.09%-.--%
Percentage of Barclays and "Associates" Control8.38%-.--%
NOTE: Vanguard manages four funds that control 8.75%.
FMR (Fidelity) manages three funds that control 7.00%.
Allianz manages one fund that controls 1.97%.
Therefore, the TOP 10 Major Holders control 81.81% of Whirlpool.

2008 by Edward Ulysses Cate
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