GE Payback

            Events are moving so fast these days, it's hard to keep up. Comments made by pundits in the media might be appropriate one day, but are forgotten the next because the situation has changed so drastically. Yet, certain images remain etched in our brains. Pictures of the earthquake and tsunami in Japan, for instance. Or the riots in the Middle East. Or President Obama looking at me straight in the eye (no teleprompter needed for this) on March 29 and lying about how and why he exercised his leadership by taking us to war in Libya.

            Closer to home, another image is a recurrent visitor from my memory cells. It is the picture of President Obama welcoming GE CEO Jeffrey Immelt to his team as the new President of the Council on Jobs and Competitiveness.       

            Why does this image refuse to go away?

            In 2008, GE contributed over $3 million to political campaigns, most of it to Democrats, and a large chunk to candidate Obama. In 2009, the administration directed $80 billion in TARP funds to GE on the flimsy grounds that GE happened to own two banks in Utah.

            In 2010, GE contributed over $2 million to political campaigns, again with most of it going to Democrats. In January, President Obama made Immelt part of his administration.

            This couldn't possibly be political payback.....Could it?

            Special treatment you say? How about this: In 2010 GE made over $5 billion in profits; and in 2010 GE paid $0, yes ZERO dollars, in corporate taxes.

            How did GE manage to get all this special treatment? Political contributions buy lots of legislation that favors special interests. That we know. But there's another thing called lobbying. In 2010 GE spent over $39 million on lobbying. That's correct: over $39,000,000. Not confining its lobbying efforts to Washington, D.C., GE came up with over $1 million to defeat just one issue, a California ballot initiative to eliminate tax loopholes for major corporations. You just have to admire GE's concern for its stockholders!

            So I have this image that just won't go away: President Obama shaking hands with the man he put in charge of this country's Council on Jobs and Competitiveness. Great move. Jeffrey Immelt can sure show us how to be competitive.

            Maybe the president could put Immelt in charge of the IRS. No, wait. That job belongs to a guy who didn't pay his taxes.