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Another U.S. company offshores (Philip Morris to Switzerland)

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rudder

Lifer
Nov 9, 2000
19,434
84
91
Originally posted by: senseamp
Originally posted by: Mxylplyx
We in the southern states are reaping massive benefits from northern flight. Alabama is becoming the next Michigan for the automotive industry, thanks to our right to work laws, and the workers in these plants do damn well for themselves. No need to offshore, just come down south.
Would you really want to drive a car built in Alabama though?
I would rather drive a built in Alabama Honda than a union made piece of crap Dodge caravan that I own now. This coming from a Tennessee Vols fan.
 

blackangst1

Lifer
Feb 23, 2005
20,967
843
126
Originally posted by: rudder
Originally posted by: blackangst1
No suprise. As the tax laws squeeze more and more from those who pay most of it anyway, they WILL leave. And why shouldnt they? I know of one person on this board who think farewell would be the best thing.
Once universal healthcare becomes a reality (factoring in the 20 million low paid illegal workers who would be eligible through amnesty) the taxes of such companies would double. They are getting out while the getting is good.
Yep. And lets not ponder what the tax burden on the middle class will be. Think people have tight budgets now? Just wait if this becomes reality.
 

Balt

Lifer
Mar 12, 2000
12,674
482
126
Originally posted by: rudder
Originally posted by: blackangst1
No suprise. As the tax laws squeeze more and more from those who pay most of it anyway, they WILL leave. And why shouldnt they? I know of one person on this board who think farewell would be the best thing.
Once universal healthcare becomes a reality (factoring in the 20 million low paid illegal workers who would be eligible through amnesty) the taxes of such companies would double. They are getting out while the getting is good.
Since Philip Morris is one of those companies that has contributed to the general unhealthiness of Americans it's kind of silly of you to complain about healthcare costs and then also say we should not tax cigarettes.

Their profits are a tax on our government. Their customers already get their healthcare on your dime if they don't have insurance.
 

Dissipate

Diamond Member
Jan 17, 2004
6,815
0
0
I have been planning to leave the U.S. for a long time and I'm middle class. If I can reduce my taxes by even 5% over my lifetime that is thousands and thousands of dollars.
 

rudder

Lifer
Nov 9, 2000
19,434
84
91
Originally posted by: Balt
Originally posted by: rudder
Originally posted by: blackangst1
No suprise. As the tax laws squeeze more and more from those who pay most of it anyway, they WILL leave. And why shouldnt they? I know of one person on this board who think farewell would be the best thing.
Once universal healthcare becomes a reality (factoring in the 20 million low paid illegal workers who would be eligible through amnesty) the taxes of such companies would double. They are getting out while the getting is good.
Since Philip Morris is one of those companies that has contributed to the general unhealthiness of Americans it's kind of silly of you to complain about healthcare costs and then also say we should not tax cigarettes.

Their profits are a tax on our government. Their customers already get their healthcare on your dime if they don't have insurance.
Good point about Phillip Morris... but I think it is more about just Phillip Morris and we will probably see more companies following suit in the next couple of years.
 

Fern

Elite Member
Super Moderator
Sep 30, 2003
26,907
173
106
I think everybodys' got it wrong.

Look like PM has always been incorporated in Switzerland. To take a domestic company and reincorp in a foreign country triggers a sh!t-load of US income taxes. It's treated like a sale.

This is just Altria spinning off PM. Likely "undoing" some earlier acquisition.

Fern
 

heyheybooboo

Diamond Member
Jun 29, 2007
6,278
0
0
Originally posted by: rudder
Originally posted by: senseamp
Originally posted by: Mxylplyx
We in the southern states are reaping massive benefits from northern flight. Alabama is becoming the next Michigan for the automotive industry, thanks to our right to work laws, and the workers in these plants do damn well for themselves. No need to offshore, just come down south.
Would you really want to drive a car built in Alabama though?
I would rather drive a built in Alabama Honda than a union made piece of crap Dodge caravan that I own now. This coming from a Tennessee Vols fan.
I think the overwhelming majority of ""piece of crap Dodge caravans"" are made in Ontario, Canada - for the last 25 years (or since its inception). Some are made at a St. Louis plant that's been around over 50 years.

You think they're bad now, the AMC days - Another (piece of) Mopar Crap - were even worse
 

sandorski

No Lifer
Oct 10, 1999
68,480
3,591
126
Originally posted by: heyheybooboo
Originally posted by: rudder
Originally posted by: senseamp
Originally posted by: Mxylplyx
We in the southern states are reaping massive benefits from northern flight. Alabama is becoming the next Michigan for the automotive industry, thanks to our right to work laws, and the workers in these plants do damn well for themselves. No need to offshore, just come down south.
Would you really want to drive a car built in Alabama though?
I would rather drive a built in Alabama Honda than a union made piece of crap Dodge caravan that I own now. This coming from a Tennessee Vols fan.
I think the overwhelming majority of ""piece of crap Dodge caravans"" are made in Ontario, Canada - for the last 25 years (or since its inception). Some are made at a St. Louis plant that's been around over 50 years.

You think they're bad now, the AMC days - Another (piece of) Mopar Crap - were even worse
AMC was not Mopar. ;)
 

ZebuluniteV

Member
Aug 23, 2007
165
0
0
Originally posted by: rudder
Originally posted by: blackangst1
No suprise. As the tax laws squeeze more and more from those who pay most of it anyway, they WILL leave. And why shouldnt they? I know of one person on this board who think farewell would be the best thing.
Once universal healthcare becomes a reality (factoring in the 20 million low paid illegal workers who would be eligible through amnesty) the taxes of such companies would double. They are getting out while the getting is good.
Uh...considering Switzerland already has universal healthcare link, and considering that per-capita America spends far more than any other industrialized country with its privatized healthcare (and presumably America's spending would fall once we get rid of the clear conflict of interests all-too evident in our current "system"), how do you come to that conclusion?


Edit: I did a bit of research, and found that the US's total per-capita expenditure on healthcare is 6096.2, the highest, while Switzerland's is $5571.9, in the top five.

So, basically, you're alleging that Philip Morris is moving to Switzerland, a more "socialistic" country at least in terms of healthcare, to avoid the effects of the United States going in Switzerland's direction in regards to healthcare (i.e. some form of universal healthcare to replace the current, very messed up/inefficient privatized system)?



Edit 20 (or so): I apologize to the server an anyone trying to read my post for editing it about 20 times getting this post "just right".

Edit 25 (or so): I edited the WHO link to zero on on just the comparison I was referring to.
 

Thump553

Lifer
Jun 2, 2000
11,925
1,257
126
What actually happened was the parent company divided itself between US sales and foreign sales. The growth area is in foreign sales (got to get everyone in China hooked) while the US will remain a cash cow for a long, long time-but probably not grow. The "new" PM will not have sales in the US, nor the corporate presence here, so they most likely won't be subject to US tort law.

Both companies are traded on the NYSE.

I have my doubts that taxation was a big factor in the decision, but that it was more driven by stock valuation plans. All multi-nationals know how to suffle their money to keep it out of the taxing authorities of all countries.
 

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