Matters Dunaway

Choosing A Bad Credit Auto Loan
Presently, there are a number of financial institutions that offer credit loans to people with good, average and even bad credit scores. While a normal loan usually comes with a low interest rate, bad credit loans often have higher interest rates due to the risk for the lender. If you want to apply for bad credit financing, you must be ready to pay the higher repayment rates.
Bad credit auto loan lenders do not consider borrowers’ financial backgrounds when it comes to approving them for a loan. The lenders of Bad Credit Auto Loans understand that for you to seek help from them, you must be having a low credit score because of a poor financial background. Thus, you should not be worried on your financial situation when applying for financing from the lenders.
Moreover, bad credit auto finances are usually offered on unsecured terms. You can get financial aid without offering collateral to the lender. Generally, what many lenders require before granting you the financial aid is that you must be a legal citizen of the US and must be employed.

Characteristics of a Good Bad Credit Loan

• Negotiable interest rates

The loan should have a window for negotiation, specifically on the interest rates charged. The lender should have different offers for you, which are based on your financial capability and the repayment plan you opt for.

• Realistic monthly installments

The loan should also have single monthly installments that are realistic and attainable. The amount to be paid as monthly installment should be favorable to you.

• Fast processing

Many lenders will ensure you get results of your application in less than 24 hours. In addition, some lenders that offer Loans With Bad Credit have online services that give you an opportunity to communicate with the available customer care representatives and get direct results for the application made.

Tips On How To Get The Best Bad Credit Auto Loan
In the past, there was no easy way to getting the right financial aid. However, this has greatly changed with the improvement of technology and growth of many lending firms. When searching for a good financial aid, it is important to follow the simple steps mentioned below:

• Shop around and identify the various options available

Researching will enable you have an upper hand when it comes to picking the right loan. Use all the available research tools you have which include the Internet, the Yellow Pages and even auto loan lending books written by experts.

• Seek advice from people you know

Look for a friend who is banking industry and seek advice from him. You can also talk to a close friend who may have successfully applied for a bad credit loan in the recent past. Through this, come up with a list of options that you can pursue to get the right loan for you.

• Make applications and pick the best alternative based on the response you get

Many lending firms will send you all their information once you make an application. By going through the information you get, you can easily identify the best company that you can work with easily.

Sporting products retailer Big 5 Sporting Goods Corp. (BGFV – Analyst Report) is scheduled to report its first-quarter 2012 financial results after the market closes on May 1, 2012. The current Zacks Consensus Estimate for the quarter is 3 cents per share. For the quarter under review, revenue is expected to be $221 million, according to the Zacks Consensus Estimate.

Fourth-Quarter 2011, a Synopsis

Big 5 reported better-than-expected fourth-quarter 2011 results. The quarterly adjusted earnings of 5 cents per share came a penny ahead of the Zacks Consensus Estimate of 4 cents per share. The results also met the higher end of the companys recently revised guidance range of 25 cents. However, adjusted earnings dropped 80% from 25 cents per share reported in the same quarter last year.

Big 5s net sales of $226.7 million in the fourth quarter were flat compared with the year-earlier quarter. Quarterly sales almost came in line with the Zacks Consensus Estimate of $227 million. Same store sales in the fourth quarter were down 2.1% on a year-over-year basis. Soft same store sales results in the quarter, affected by unfavorable winter weather in most markets, where the company operates as well as heightened promotional activities, impacted the quarters sales.

Guidance for Fiscal 2012

For the first quarter of 2012, management expects earnings per share to range from break-even to 6 cents per share compared with 13 cents per share in the first quarter of fiscal 2011. Same store sales are pegged in the negative low-single digit range.

The companys outlook for first quarter is based on expectations of merchandising margins, which continue to struggle due to impacts of higher promotional and product costs, as well as shift in the product sales mix resulting from unfavorable winter weather.

Looking ahead, Big 5 targets to open nearly 10 new stores and relocate about 7 stores during fiscal 2012.

Zacks Consensus

The analyst covered by Zacks expects Big 5 to post first-quarter 2012 earnings of 3 cents a share, lower than 13 cents delivered in the prior-year quarter. Currently, the Zacks Consensus Estimate ranges between earnings of 2 cents and 6 cents a share.

For fiscal 2012, the Zacks Consensus Estimate stood at 61 cents per share, higher than its previous fiscal earnings of 46 cents. The current Zacks estimate ranges between 44 cents and 75 cents per share.

Agreement of Estimates

In the last 7 and 30 days, no movement in estimates has been noticed in either direction, either for first-quarter 2012 or fiscal 2012.

Magnitude of Estimate Revisions

In the last 30days, the Zacks Consensus Estimates for first-quarter as well as for fiscal 2012 has been lowered by a penny to 3 cents and 61 cents per share.

Surprise History

With respect to earnings surprises, Big 5 has missed as well as topped the Zacks Consensus Estimate over the last four quarters in the range of negative 31.6% to positive 60%. The average remained at positive 28.1%, indicating that Big 5 has missed the Zacks Consensus Estimate by that measure in the trailing four quarters.

Our Recommendation

Big 5 Sporting is in midst of its store expansion strategy in the emerging markets. During the period of recession in 2009, the company slowed down its store expansion program. Big 5 have now resumed its strategy of store expansion, which we believe will boost its top and bottom line in future.Looking ahead, Big 5 targets to open nearly 10 new stores and will relocate about 7 stores in fiscal 2012.

Further,Big 5 Sporting is introducing a business intelligence system, which will help in making decision for merchandising and assortment selection at the store level. Moreover, the company has opened a new distribution center in Oregon, which will service about 75 stores in Pacific Northwest. The new distribution channel is expected to save about $800,000 in transportation expense annually.

However, Big 5 faces intense competition from national players, such as Dicks Sporting Goods Inc. (DKS – Snapshot Report) and Hibbett Sports Inc. (HIBB – Analyst Report); mass merchandisers, such as Wal-Mart Stores Inc. (WMT – Analyst Report) and Target Corp. (TGT – Analyst Report), as well as regional and local sporting goods stores. Consequently, this may dent the companys future operating performance.

Big 5 currently retain a Zacks #5 Rank, which translates into a lsquo;Strong Sell rating. However, we are maintaining a long-term lsquo;Neutral recommendation on the stock.

Read the full analyst report on WMT

Read the full analyst report on TGT

Read the full analyst report on BGFV

Read the full analyst report on DKS

Read the full analyst report on HIBB

NEW JERSEY, says lobbyist William Pascrell III, is poised to become the Silicon Valley of Internet gambling. That sounds pretty impressive, but we have to wonder if its possible. More importantly, we dont think its even desirable.

Pascrell represents the online gambling industry and as such, he supports legislation permitting Internet wagering in New Jersey. A state Senate committee approved the bill this week and a similar bill is being considered by the Assembly.

Supporters say online gambling can increase casino revenue by as much as $250 million and bring the state $55 million annually in taxes. It may indeed do some of that, but it also would do something else: discourage people from visiting Atlantic City. And that makes no sense.

Governor Christie has spoken many times about remaking Atlantic City into a complete destination resort, a theme he most recently struck during opening ceremonies of the Revel Casino.

I think when folks see this place, theyll say, Ill spend a couple of days here, the governor told local reporters while touring the new, $2.4 billion casino-resort in late March. The key phrase is spend a couple of days in Atlantic City. That is what the state should be encouraging if it wishes to boost tourism there.

Internet gambling works against that goal by encouraging people to gamble at home as opposed to visiting Atlantic City and combining blackjack with patronizing city hotels, restaurants and other Boardwalk attractions. Besides giving gamblers a reason not to visit Atlantic City, we see other problems with the bill, notwithstanding proposed rules that are fairly strict. Players, who would create online accounts with casinos, would have to be 21 the same age they have to be to gamble in a casino and gambling would have to be done within state borders. As rigid as the regulations may be, it seems likely that some computer whiz would find a way to circumvent them.

An earlier version of the bill would have extended Internet wagering to the states horse-racing industry, but the governor vetoed it, partly because hes opposed to expanding gambling outside of Atlantic City. Christie should oppose this bill for the same reason.

There were high hopes for a revitalization of Atlantic City when casino gambling came to town in 1978. More than 30 years later, the anticipated turnaround has not occurred. Christie recognized that early in his term, expanding the powers of the Casino Reinvestment Development Authority to include planning and oversight of the citys prime tourist area.

In addition, the governor constantly promotes Atlantic City, sometimes by tweaking Las Vegas, the nations top gambling market, in the process. At a press conference last fall, he declared that those who visit Las Vegas in the heat of the summer are stupid and that they should head to the Boardwalk instead.

The best way to remake Atlantic City is to get more people to visit. Allowing people to gamble from their home computer is not the way to do that. This bill should be defeated. And if it passes, the governor should veto it again.

For the past few months, a group called EVOL (love spelled backwards) has been putting up paintings in the Humanities Building, on Dean’s Row, and around the PMAC. The group calls these works “crapart. ”

In addition, the group has put mailboxes outside the library and science center, tagged signs around campus, and written messages on Choate buildings in chalk saying “EVOL.” This anonymous group has also contacted faculty members, including Mr. Robert Mellon, Ms. Kayla Yannatos, and Headmaster Dr. Alex Curtis.

According to a source within EVOL, the inspiration to create this “street art” group stems from what the group sees as a lack of appreciation for art on the Choate campus. EVOL is also a strong believer in the motto: “Art is as subversive as subversion is artistic.” EVOL believes that more art needs to be exhibited around campus. According to an EVOL member, the definition of “crapart” is a piece of artwork that is based purely on the individual’s authentic vision and is not governed by today’s aesthetic standards. EVOL’s aim for putting up the mailboxes was to see if Choate students could communicate by sending letters. In addition to putting up mailboxes, EVOL wrote “EVOL” and “art is subversive” during winter exam period on buildings around campus.

EVOL contacted Ms. Kalya Yannatos, Director of the Arts, asking about how the gallery is run and how art is exhibited in the PMAC. They also declared that they were hoping to do their own display in the PMAC’s courtyard, even if they were not allowed. “I responded by saying that I was delighted by their energy and ideas, and that I hoped that they would come and introduce themselves to me so that we could have a real conversation about what was driving their movement,” said Ms. Yannatos, “[but] that hasn’t happened yet.”

According to Ms. Yannatos, in response to her email, EVOL wrote that they were enjoying their anonymity, so they were not willing to speak to her face-to-face. “I question them, to be honest,” said Ms. Yannatos. “There’s a long history of art that is used to generate thought and movement, and I am not fully seeing what is so intriguing at this point about the ‘crapart’. I still invite this person or group to come talk to me so that I can convey to them that I support them in their cause and [that] I can assist them.”

EVOL also contacted art teacher Mr. Bob Mellon to inform him of the mailboxes that were put across campus. They recommended these as a photo opportunity for his students. The group also contacted Headmaster Dr. Alex Curtis.  A source in EVOL explained that the group delivered a pizza box to Dr. Curtis with a “crapart” painting of a pizza inside and also a note that congratulated him on his first year as headmaster.

“The art department is happy that people are using art in order to send a message, but we can’t really figure out what this message is,” said Ms. Yannatos. “They have to meet us halfway, they can’t be hiding behind a cloak of darkness. Anybody who is using art to communicate with this community I want to support, but I need to understand their intentions first.”

To learn more about EVOL and “crapart” go to http://cargocollective.com/evoldominates.

The Chicago area’s 20 most dangerous intersections

BY TINA SFONDELES
Transportation Reporter
tsfondeles@suntimes.com

April 30, 2012 12:20AM

Australian stock futures climbed as
rising commodity prices boosted the earnings outlook for raw-
material companies and investors awaited tomorrow’s interest-
rate decision from the central bank. New Zealand shares gained.

American depositary receipts of BHP Billiton Ltd., the
world’s largest mining company, rose 1.6 percent from the
closing share price in Sydney. Spotless Group Ltd. (SPT) may climb
after people familiar with the transaction said Pacific Equity
Partners Ltd. will raise its bid for the Australian cleaning and
catering contractor. ADRs of Aluminum Corp. of China Ltd., the
nation’s biggest producer of the lightweight metal, rose 4.1
percent as plans to diversify into rare earths, coal and iron
ore overshadowed a first-quarter loss.

Futures on Australia’s Samp;P/ASX 200 Index (AS51) advanced 0.6
percent today. New Zealand’s NZX 50 Index (NZSE50FG) rose 0.3 percent in
Wellington. The Japanese equity market is closed for a public
holiday today.

“The investment boom is ongoing and driving strong
earnings in resource-related areas,” David Cassidy, an equity
strategist at UBS AG in Sydney, wrote in a report today.
“Reserve Bank of Australia rate cuts should encourage at least
moderately better domestic conditions.”

Futures on the Standard amp; Poor’s 500 Index gained 0.1
percent today. The index advanced 0.2 percent in New York on
April 27, capping its best weekly rally since March.

Reserve Bank of Australia Governor Glenn Stevens is set to
begin the biggest round of interest-rate cuts in three years
after faltering economic growth led to the slowest inflation
since the 1990s, credit markets show.

Bigger Cut

The RBA will lower its 4.25 percent cash-rate target at
least 25 basis points tomorrow, with a 34 percent chance of a
reduction to 3.75 percent, swaps data compiled by Bloomberg
show. There’s a 68 percent chance it will be 3.5 percent or
lower by July. The RBA’s cuts of 0.25 percentage point in
November and December were its first since reducing the rate by
4.25 percentage points in the eight months to April 2009.

Stocks on the MSCI Asia Pacific ex-Japan Index are valued
at 11.9 times estimated earnings on average, compared with a
multiple of 13.4 for the Samp;P 500 and 10.8 times for the Stoxx
Europe 600 Index.

The Bloomberg China-US Equity Index of the most-traded
Chinese stocks listed in the US, rose 0.9 percent last week,
paring its 12 percent tumble in the past 12 months.

The London Metal Exchange Index of prices for six
industrial metals including copper and aluminum climbed 0.9
percent on April 27. The Thomson Reuters/Jefferies CRB Index of
raw materials gained 0.7 percent.

To contact the reporter on this story:
Adam Haigh in London at
ahaigh1@bloomberg.net

To contact the editor responsible for this story:
John McCluskey at
j.mccluskey@bloomberg.net

4/30/12 – Commodity Update

Energy: Crude looks poised to get above $105…a level that has not been breached in three weeks. Today prices will finish slightly lower but well off their lows and another 50 cents puts futures over the 40 day MA which should trigger more buying. I would have stops in any remaining shorts just above that pivot point. RBOB lost 1% as $3.15 continues to act as serious resistance. I expect the sideways 10 cent range to persist until Crude gets moving. Heating oil was the lone positive gaining for the sixth consecutive session albeit marginally. I do not see any significant resistance for another 10 cents in heating oil. The 18 day MA held on all attempts the last three sessions as prices were back on the move today gaining nearly 5% in natural gas. A trade above the 40 day MA at $2.31 in June would likely cause another leg lifting prices in futures near $2.50 into next week. A 50% Fibonacci ytd would lift futures to $2.51 while 61.8% puts prices at $2.65.

Stock Indices: Stocks are consolidating near their recent highs. It is too early to see if the markets are catching their breath before an attempt at the March highs or were starting to see signs of exhaustion. Time will tell. As Ive said in recent posts Im a spectator with clients not trusting these levels. It will take a close back under 1360 in the Samp;P and 12900 in the Dow for me to have an interest in bearish trades…stay tuned.

Metals: As long as July copper stays above $3.80 I remain friendly. More so as a guide to trade other markets as I typically do not venture into these waters because the volatility and lack of liquidity. Gold pared losses to close flat but $20/ounce off its lows. It was a mildly positive sign but until prices trade above the 100 day MA at $1677 in June I expect muted action. Silver lost 1% today closing just above $31/ounce in July futures. I see limited upside but remain neutral. It will take consecutive closes back under $31 for me to be back in the bear camp.

Softs: Cocoa collapsed 4% today falling off from overbought levels. Aggressive traders can short around 2250 in July with stops just above the recent highs. This would be our second short probe attempt. A new high take you loss. On the downside if things calm down in the Pound and the dollar can stabilize we should see 2050 in the coming weeks. Cotton appears to be rolling over…aggressive traders can gain bearish exposure with stops above 93.00 in July. Other options include a bear put spread or selling futures while simultaneously selling out of the money puts 1:1. Contact me for exact pricing. New lows in OJ…stopped out on any long entries. Let coffee work higher before initiating fresh bearish trade.

Treasuries: 10-yr notes and 30-yr bonds are at elevated levels but until we get a settlement below the 20 day MA stand aside. Those levels in June contracts are 13128 and 14210 respectively.

Livestock: I am going to call an interim low in both live and feeder cattle. I do not claim to have a crystal ball but it looks like a good risk to reward starting to probe longs with stops below the recent lows. Start with a small position in futures or have some option protection until this thesis is proven. Lean hog prices continue to slide losing .80% today. Now that the recent support has given way we should see momentum traders drag hogs even lower. Do not attempt to pick a bottom here.

Grains: Corn advanced 1.4% today closing above its 50 day MA for the first time in three weeks. I expect July to challenge $6.50 in the coming sessions. CBOT wheat closed higher for the third session as prices look like we could a see another 20-25 cent advance this week. May and July soybeans settled above $15/bushel while November appears its on its way to a close above $14. Traders could be long November as long as the trend line holds. It really has been the relentless move in soybean meal that has carried beans but it does not look over posting a fresh contract high today. I do not like buying grains until we get a dip but I may leave money on the table being absent.

Currencies: A breakout higher in the Yen lifted prices to two month highs. Todays highs nearly completed a 50% Fibonacci retracement but the bulls should make an attempt at 1.2700 this week or next. The Pound closed lower for the first time in eleven sessions. I would suggest staggered stops on longs booking a profit just under 1.6200 on a portion of positions. Give another day in the commodity currencies from the sidelines as I did not like the action in the Loonie, Aussie and Kiwi today. I had mentioned last week that I may want to be a buyer.

Risk Disclaimer: The opinions contained herein are for general information only and not tailored to any specific investors needs or investment goals. Any opinions expressed in this article are as of the date indicated. Trading futures, options, and Forex involves substantial risk of loss and is not suitable for all investors. Past performance is not necessarily indicative of future results.

TAIWAN – Premier Sean Chen said yesterday that while some commodity prices are being increased to reflect higher costs, the government will take measures to prevent the prices from rising too much.

Chen made the remarks during a meeting with representatives of machinery and bicycle makers in central Taiwan when responding to the fact that even suppliers of lunchboxes to students are planning to raise their sales prices in the wake of a recent oil price hike.

The premier said that the prices of some commodities are raised to reflect increased costs. For instance, as international soybean prices shot up 58 per cent year-on-year in 2011, prices of soybean-related products can hardly be expected to remain unchanged.

The situation was also the same with wheat-related products. Last year, international wheat prices surged by 35-40 per cent, so suppliers of flour-based products have had no other choice but to raise their sales prices to offset increased costs, according to Chen.

He went on to say that domestic prices of many commodities have been increased by smaller increments than the price hikes of international raw materials as a result of the government having worked hard to stabilize domestic commodity prices.

The premier stressed that if measures are not taken at the moment, many negative effects will emerge in the future.

Meanwhile, Vice Premier Jiang Yi-huah said yesterday that the prices of daily necessities are expected to be raised in the next quarter as the government will closely monitor the fluctuations of domestic commodity prices to prevent abnormal price rises.

Jiang stressed that if suppliers or dealers are found to have collectively jacked up their sales prices or if unusually sharp price rises are detected, the government will bring them to justice.

The Cabinets commodity price stabilization panel will step up random checks on the sales prices of various daily necessities to curb unreasonable price hikes, according to Jiang.

The problem with gold is that it doesnt trade based on the fundamentals of supply and demand these days, Joshua Harris of the private equity group Apollo said.

Gold acts more like a currency than a commodity, Harris said. It is a bet against paper currencies.

Gold prices fell about 0.2 percent in April, with spot gold

NEW YORK, Apr 30, 2012 (BUSINESS WIRE) –
Fitch Ratings affirms Commonwealth Transportation Board’s (CTB or the
board) $176.6 million of outstanding federal highway reimbursement
anticipation notes (FRANs) at ‘AA’. The transportation board also has
$297.6 million of grant anticipation revenue notes (GARVEEs) outstanding
which are not rated by Fitch. Fitch notes that the pledge of federal
reimbursements for the GARVEE notes is subordinate to the pledge for the
FRANs. The Rating Outlook remains Stable.

KEY RATING DRIVERS

ROBUST COVERAGE AND STRONG BACKUP PLEDGE: Notes are secured by federal
highway reimbursements received by the commonwealth and subject to
appropriation by the general assembly. Pledge of federal highway
reimbursements has provided strong debt service (DS) coverage of 9.9
times (x) in 2011. At the discretion of the board, the notes also are
secured by legally available revenues of the transportation trust fund
and any other funds designated by the general assembly.

NATURE OF THE FEDERAL PROGRAM: The federal program has a long history of
low volatility in federal transportation funding. However, absence of a
long-term reauthorization has led to increasing uncertainty in future
federal funding levels. Congress recently passed a 90-day extension to
SAFETEA-LU with the previous extension having been set to expire on
March 31, 2012.

SOUND STRUCTURAL FEATURES: The authority to issue additional FRANs
expired on July 1, 2011. The GARVEE Act authorizes the Transportation
Board to issue GARVEE Notes provided that the aggregate principal amount
of FRANs and GARVEEs do not exceed $1.2 billion. CTB issued $297.6
million GARVEE Notes in 2012 and anticipates additional issuance of
approximately $793 by 2016. Future issuance is limited by additional
bonds test (ABT) equal to 3.0x maximum annual debt service (MADS). Board
debt policy also limits annual debt service to 25% of six-year average
of federal highway reimbursements.

WHAT COULD TRIGGER A RATING ACTION –Significant reduction in
federal funding, lapse in gas tax, delays in funding, or a change in
budgetary treatment of the highway trust fund (HTF).

–Continued extensions of SAFETEA-LU through 2012 without any progress
on a long-term solution may lower Fitch’s opinion of the strength of the
federal program.

–Enhancement value of legally available and designated TTF moneys could
be diluted by continued debt leveraging as a result of Virginia’s new
legislation or by transfer-related reductions in available funds.
Serving to mitigate this risk is the further pledge of any funds
designated by the general assembly.

SECURITY The notes are secured by federal highway reimbursements
received by the commonwealth and subject to appropriation by the general
assembly. At the discretion of the board, the notes also are secured by
legally available revenues of the transportation trust fund and any
other funds designated by the general assembly.

CREDIT UPDATE Congress recently passed a 90-day extension to
SAFETEA-LU with the previous extension having been set to expire on
March 31, 2012. Fitch continue to focus on concerns regarding the
growing uncertainty in federal transportation policy, less predictable
funding levels, and a pending expiration of a majority of federal motor
fuel taxes. These risks are somewhat mitigated by the back-up pledge of
legally available revenues of the TTF, which is funded from a retail
sales tax, motor fuel tax and motor vehicle related tax and fee
revenues. On a standalone basis, the TTF monies can cover the debt
service on the FRANs as well as all other notes it supports several
times over. Nevertheless, the ability of the commonwealth to expend
reimbursable highway project moneys and the sufficiency of monthly
reimbursement cash flows for future DS payments remain important credit
considerations for the FRANs.

Fitch notes the Senate recently passed a two-year $109 billion
transportation bill entitled Moving Ahead for Progress in the 21st
Century (MAP-21) while the House continues to consider a five-year $260
billion transportation bill. In addition to disparities in length and
funding levels, significant policy differences exist between the two
bills. How these issues will be sorted out remains to be seen.

The CTB is responsible for general policies for the construction and use
of Virginia’s highway system. Among its powers and duties, the board is
responsible for the allocation of funds in the TTF. The Virginia
Department of Transportation (VDOT) is responsible for the construction,
operation and maintenance of the commonwealth’s highway system in
accordance with policies and procedures adopted by the board.

Additional information is available at
www.fitchratings.com .
The ratings above were solicited by, or on behalf of, the issuer, and
therefore, Fitch has been compensated for the provision of the ratings.

Applicable Criteria and Related Research: –’Rating Criteria for
Infrastructure and Project Finance’ (Aug. 16, 2011); –’Rating
Criteria for GARVEE Bonds’ (Aug. 15, 2011).

Applicable Criteria and Related Research: Leveraging Federal
Transportation Grants
http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=648998 Rating
Criteria for Infrastructure and Project Finance

http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=648832

ALL FITCH CREDIT RATINGS ARE SUBJECT TO CERTAIN LIMITATIONS AND
DISCLAIMERS. PLEASE READ THESE LIMITATIONS AND DISCLAIMERS BY FOLLOWING
THIS LINK:
HTTP://FITCHRATINGS.COM/UNDERSTANDINGCREDITRATINGS .
IN ADDITION, RATING DEFINITIONS AND THE TERMS OF USE OF SUCH RATINGS ARE
AVAILABLE ON THE AGENCY’S PUBLIC WEBSITE
WWW.FITCHRATINGS.COM .
PUBLISHED RATINGS, CRITERIA AND METHODOLOGIES ARE AVAILABLE FROM THIS
SITE AT ALL TIMES. FITCH’S CODE OF CONDUCT, CONFIDENTIALITY, CONFLICTS
OF INTEREST, AFFILIATE FIREWALL, COMPLIANCE AND OTHER RELEVANT POLICIES
AND PROCEDURES ARE ALSO AVAILABLE FROM THE ‘CODE OF CONDUCT’ SECTION OF
THIS SITE.

SOURCE: Fitch Ratings

Fitch Ratings
Primary Analyst:
Raymond Wu, +1-212-908-0845
Analyst
One State Street Plaza
New York, NY 10004
or
Secondary Analyst:
Scott Zuchorski, +1-212-908-0695
Director
or
Committee Chairperson:
Chad Lewis, +1-212-908-0886
Senior Director
or
Media Relations:
Sandro Scenga, +1-212-908-0278
sandro.scenga@fitchratings.com

Copyright Business Wire 2012

Financial Glossary

Words used in this article:

Transportation Infrastructure = IMMEDIATE Jobs = Deficit Reduction

— by Dave Johnson

President Obama spoke today at the AFL-CIOs Building and Construction Trades Department Legislative Conference in Washington, asking Republicans to stop blocking infrastructure and transportation projects. (See transcript here.) These projects would immediately create jobs, which would immediately start reducing the countrys deficit — which is probably why Republicans are blocking them.

There are millions of infrastructure jobs that absolutely need doing. There are millions of people out of work who really, really need jobs. On top of that the cost of financing is the lowest ever. So maintaining and modernizing our infrastructure would immediately put millions of people to work. But wait, theres more! Modernizing our infrastructure would make our economy more efficient and our businesses more competitive, bringing returns for decades. So, of course, with all these points going for it Republicans are blocking it.

The Obstruction

We have been deferring infrastructure maintenance since the Reagan years, but in recent years Republicans have doubled down on blocking public investment, calling it just more government spending and even socialism. And, they complain, construction projects help union members.

So Republicans have blocked bill after bill to repair and modernize the infrastructure, or to maintain and modernize out aging transportation system, build high-speed rail, etc. The President discussed this obstruction in his speech today,

…over the last year, I’ve sent Congress a whole series of jobs bills that would have put your members back to work. But time after time, Republicans have gotten together and said “no.” I sent them a jobs bill that would have put hundreds of thousands of construction workers back to work repairing our roads, bridges, schools and transit systems, along with saving the jobs of cops, teachers, and firefighters, and creating a new tax cut for businesses. They said “no.” Then, I sent them just the part of that bill that would have created those construction jobs. They said “no.” And we’re seeing it again right now. As we speak, House Republicans are refusing to pass a bipartisan bill that could guarantee work for millions of construction workers. Seeing a pattern here? That makes no sense. Congress should do the right thing and pass this bill right away.

The Cost

Our aging infrastructure costs our economy. As things break down it gets harder to get things done. It is harder to start new businesses and our businesses are less competitive in the world. Shipments are delayed, etc.

There are other costs. Cars have to be repaired from driving on our substandard roads, people have to pay higher fuel costs as they try to get where they are going on clogged streets or taking detours around closed bridges, etc. Peoples time is wasted, which also costs. As we move toward third-world status property values decline, we lose tourism, etc.

From a report on the Presidents speech in The Hill, (differs from advance transcript.)

There are bridges between Kentucky and Ohio where some of the key Republican leadership come from, where folks are having to do detours an extra hour and half drive every day on their commute because these bridges dont work, Obama said in a speech to the Building and Construction Trades Department Legislative Conference in Washington. Time after time, the Republicans have gotten together and theyve said no, he said.

The Missed Opportunity

This infrastructure work has to get done at some point, and gets more expensive the longer we put it off. It not only gets more and more expensive to do this work the longer it is put off, but we are falling far behind our economic competitors as we fail to modernize.

But here’s the thing–as a share of the economy, Europe invests more than twice what we do in infrastructure; China about four times as much. Are we going to sit back and let other countries build the newest airports and the fastest railroads and the most modern schools, at a time when we’ve got private construction companies all over the world–or all over the country–and millions of workers who are ready and willing to do that work right here in the United States of America?

Jobs Fix Defitics

Jobs fix deficits. People are paying income taxes instead of collecting unemployment benefits or food stamps, they are spending their paychecks and the stores are paying taxes, etc. So government revenues are up and payouts are down.

This is why the deficit is jobs, but there is a deficit of jobs.

If you want to fix the deficit problem you have get people working again. And since we have to maintain and modernize the aging infrastructure anyway, then lets get people working on … maintaining and modernizing the aging infrastructure!

Take Back The American Dream Conference

This and other issues will be talked about and worked on at the Take Back The American Dream Conference, June 18-20 in Washington DC.

This is where you need to be to forge the relationships and develop the strategies to change the direction of the country.
At this conference, well be tackling some of the most pressing questions we face today:

• How do we compel candidates to embrace a jobs agenda big enough to end our economic crisis?
• How can we stop unlimited corporate campaign cash from buying this election?
• How many progressive champions can we help win in congressional, state and local races?
• How will we take back our democracy–to Take Back the American Dream?

Be part of the American Dream movement. Join Campaign for America’s Future, Rebuild the Dream, Progressive Majority and many other groups–and thousands of progressive activists–at the Take Back the American Dream conference.

This post originally appeared at Campaign for Americas Future (CAF) at their Blog for OurFuture. I am a Fellow with CAF.

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