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Reply #15: ESOPs rarely work. We had a local steel company [View All]

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doc03 Donating Member (1000+ posts) Send PM | Profile | Ignore Mon Nov-02-09 09:16 AM
Response to Reply #8
15. ESOPs rarely work. We had a local steel company
that went ESOP, it lasted maybe 10 years. When the company was making money the employee owners took all the profits instead of putting them back in the business, they were bringing in $30,000 profit sharing checks for a few years. Then when a recession came and they started losing money they were forced to sell shares of the company to raise cash until eventually they lost control of the company. There were many that warned about that happening but nobody listened, the (owners) lived high on the hog for a while. A socialist business model can rarely survive within a Capitalist system.
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  -Ford reports a nearly $1 billion profit (in Q3) Statistical  Nov-02-09 07:13 AM   #0 
  - so maybe they should hire more people  mucifer   Nov-02-09 07:14 AM   #1 
  - Recommend  TexasObserver   Nov-02-09 07:24 AM   #2 
  - I like my Ford Fusion hybrid, purchased because of CFC. nt  skipos   Nov-02-09 08:12 AM   #3 
  - I love my Ford Fusion 2009  goclark   Nov-02-09 08:30 AM   #7 
  - That's a lot of money that could be spread among  postulater   Nov-02-09 08:20 AM   #4 
  - You are aware Ford is in a lot of debt right?  Statistical   Nov-02-09 08:24 AM   #5 
  - I thought profit was what was left after you  postulater   Nov-02-09 10:27 AM   #16 
     - Debt is long term.  Statistical   Nov-02-09 12:12 PM   #19 
  - That profit does provide jobs  no limit   Nov-02-09 10:59 AM   #17 
  - Ford is the smarter of the big 3  AllentownJake   Nov-02-09 08:28 AM   #6 
  - I think Ford would be run even better if it had a full-blown ESOP  Selatius   Nov-02-09 08:32 AM   #8 
  - ESOPs rarely work. We had a local steel company  doc03   Nov-02-09 09:16 AM   #15 
     - Well, I wouldn't apply the failure of one steel mill with an ESOP to all companies with ESOPs.  Selatius   Nov-02-09 05:16 PM   #22 
        - I am sure some ESOPs make it but the vast majority don't.  doc03   Nov-02-09 06:51 PM   #25 
           - Typically speaking, they have to elect a leadership to the board of directors like any other company  Selatius   Nov-03-09 04:06 AM   #26 
  - It's amazing how much you can make with mass layoffs and goverment bailouts (incl Cash 4 Clunkers)nt  Shagbark Hickory   Nov-02-09 08:35 AM   #9 
  - If its so "easy" then why didn't GM post a $1 bill profit? Hell even Toyota didn't.  Statistical   Nov-02-09 08:42 AM   #10 
  - More so, not being involved with a Bush-RepubliCON housing bubble.  Festivito   Nov-02-09 09:00 AM   #13 
     - There's nothing anyone can say or do to convince me Cash 4 Clunkers was in the best interests of USA  Shagbark Hickory   Nov-02-09 09:03 AM   #14 
        - May be you have a personably non-transportable idea of what is best for America. /nt  Festivito   Nov-02-09 04:31 PM   #21 
           - I support the idea of Cash 4 Cars but rather than rebates to buy a new car... the rebate should be  Shagbark Hickory   Nov-03-09 09:00 AM   #27 
  - I guess the Ford workers were on to something  MSchreader   Nov-02-09 08:52 AM   #11 
  - good for them  Blue_Tires   Nov-02-09 08:52 AM   #12 
  - Ford posts larger than expected profits. Consumer reports gives for fantastic ratings but...  leeroysphitz   Nov-02-09 11:05 AM   #18 
  - Fords stock is also up 500% since lows and rally is likely over for some time.  Statistical   Nov-02-09 12:14 PM   #20 
  - Ford makes a good product is why  madokie   Nov-02-09 05:24 PM   #23 
  - People who feared buying GM or Chrysler, bought Fords instead  SoCalDem   Nov-02-09 05:27 PM   #24 

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