Thursday, May 29, 2014

Report: Federal Directive Authorizes Military To Engage Civilians: “To Quell Large-scale, Unexpected Civil Disturbances”

        let it come   ....when did the American People ..become the enemy hum ,when did that shit happen huh

Mac Slavo
May 29th, 2014
SHTFplan.com


military-domestic-war
For years the government has been stockpiling weapons, ammunition, riot gear and armored vehicles. Military personnel have been training in tandem with federal and local police using everything from fully armed helicopters to tanks across America’s major cities in what appears to be a hybridization of  domestic law enforcement agencies. Yet, questions about these shadowy activities have been dismissed by media and public officials as nothing more than training designed to help our country’s fight against terrorism at home and abroad.
But while the majority of Americans either have no clue this is happening or simply prefer to keep their heads in the sand, a new report from the Washington Times via Infowars suggests otherwise.
The armaments, training and anti-terror directives are not for use against terrorists in some far-off war zone like Afghanistan, but rather, are designed for American citizens right here at home.
Yes, you are the target.
The troubling aspect of the directive outlines presidential authority for the use of military arms and forces, including unarmed drones, in operations against domestic unrest.
“This appears to be the latest step in the administration’s decision to use force within the United States against its citizens,” said a defense official opposed to the directive.
Directive No. 3025.18, “Defense Support of Civil Authorities,” was issued Dec. 29, 2010, and states that U.S. commanders “are provided emergency authority under this directive.”
“Federal military forces shall not be used to quell civil disturbances unless specifically authorized by the president in accordance with applicable law or permitted under emergency authority,” the directive states.
“In these circumstances, those federal military commanders have the authority, in extraordinary emergency circumstances where prior authorization by the president is impossible and duly constituted local authorities are unable to control the situation, to engage temporarily in activities that are necessary to quell large-scale, unexpected civil disturbances” under two conditions.
The conditions include military support needed “to prevent significant loss of life or wanton destruction of property and are necessary to restore governmental function and public order.” A second use is when federal, state and local authorities “are unable or decline to provide adequate protection for federal property or federal governmental functions.”
“Federal action, including the use of federal military forces, is authorized when necessary to protect the federal property or functions,” the directive states.
Military assistance can include loans of arms, ammunition, vessels and aircraft. The directive states clearly that it is for engaging civilians during times of unrest.
This is not some conspiracy theory or sensationalist view of government operations. This is an actual military directive to be executed under orders from the President of the United States.
The tens of of billions of dollars spent on ensuring that these directives are successful once implemented indicate, in no uncertain terms, that the government is planning on this actually happening at some point in the future. Otherwise, why spend the time, money and effort?
This latest revelation shows that the U.S. government has a plan for quelling widespread civil unrest. And, earlier this year Dave Hodges shed light on another important aspect of these directives: what to do with those civilians who aren’t killed when the military rises up against Americans:
There are two terms which should concern you, namely, Internment and Resettlement (I/R). As if this needs any further elaboration, the two terms simply mean that you will be snatched from your home and sent to a detention camp for an undetermined period of time and treated in a manner which will not be defined by any law.
The Authorities Practice Targeting Second Amendment Supporters
There exists solid evidence that our illegitimate government, hijacked by the banksters, possesses a detailed plan to mass arrest Americans and it has moved from the pages of government documents and it is actually being practiced by authorities on American soil.
You Have Been Targeted for Internment & Resettlement (via The Common Sense Show)
For the last decade numerous elements within the U.S. government have been war-gaming scenarios that include everything from large scale economic breakdown to massive natural catastrophes in anticipation of a major event that would lead to widespread civil unrest, violence and the disappearance of law and order.
Following these simulations they have begun implement directives such as the one cited above.
It’s as if they know it is coming.
Given the evidence, every individual in America should prepare for the worst and assume it is coming too

The So-called War on Terror Is A Criminal Fraud

WE ,now more than any OTHER Generation in Our History ! Have IT in OUR Power ..now in this moment ,Our moment  ...2 make America what it ought 2 b  ..it's US folks ..u & i  ...y u think "they" r throw~in every fucking thing  & the kitchen  sink ....  at US :o   ...just stop & ask yer~self ...that  huh 

Interview with Michael Keefer


AMERICA
Canadian scholar Prof. Michael Keefer believes that the US-engineered project of War on Terror is a “criminal fraud” that has virtually extinguished American democracy and the civil liberties of the American people.
“The so-called War on Terror is a criminal fraud, designed to frighten Americans and the citizens of its allies into supporting systematic violations of international law. It was from the outset Islamophobic both in intention and in the wars of aggression it has been used to justify,” said Prof. Michael Keefer in an exclusive interview with Fars News Agency.
 On the US special relationship with Israel and Washington’s unconditional support for the Tel Aviv regime, Prof. Keefer says, “The US policy of seeking to dominate Eurasia through control of Middle Eastern and central-Asian hydrocarbon resources aligns with Israel’s concern to ensure that no Middle Eastern state has the power to interfere with its policies of continued colonization of Palestinian land.”
 “The powerful and well-funded Israel lobby supports these policies—though there is evidence of a growing alienation among young Jews both from this lobby and from the state of Israel,” he added.
 Michael Keefer is a professor emeritus at the University of Guelph’s School of English and Theater Studies. He is a former president of the Association of Canadian College and University Teachers of English. He studied at the Royal Military College of Canada, the University of Toronto, and Sussex University, and has held research fellowships at Sussex University in the UK and at the Ernst-Moritz-Arndt Universität, Greifswald, Germany.
He has published widely on English Renaissance literature and early modern philosophy, and has also written widely on issues of contemporary politics and cultural politics. His books include an edition of Marlowe’s Doctor Faustus (2008), Antisemitism Real and Imagined (2010), and Sabotaging Democracy, a forthcoming study of electoral fraud in Canada’s 2011 federal election. He has written numerous articles about the US foreign policy, the War on Terror, Israel’s occupation of the Palestinian Territories and the plight of the Palestinian nation since 1948.
 FNA had the opportunity to conduct an extensive interview with Prof. Keefer and ask him questions on the Boycott/Divestment/Sanctions movement against Israel, the influence of the Israeli lobby on the US government, the excuse of anti-Semitism and how it is used to vilify the critics of Israel and the US foreign policy in the Middle East. What follows is the text of the interview
 Q: One of your recent articles has touched upon the Boycott/Divestment/Sanctions movement against Israel, which is apparently gaining momentum across the world. However, it seems that the Western governments will resist the movement and won’t allow their firms and companies to implement economic sanctions against Israel. What’s your view on that? Do you think that the Western companies and firms have the readiness and freedom to impose sanctions against Israel over its policies in the Occupied Territories and the Gaza Strip?
A: Corporations are not moral agents; they act according to calculations of profit and loss. But they can be persuaded by public pressure to withdraw from economic activity and investment in the Occupied West Bank and in Israel. Boycott campaigners have been able to prevent companies implicated in the infrastructure of the occupation from winning contracts for similar work in Europe; other companies are becoming increasingly concerned about damage to their reputation, and hence their sales, in North America, Europe, and elsewhere. And in Norway, the Netherlands, and the US, large pension funds have begun to respond to demands that they withdraw investments from Israel. This is the same process that led to the collapse of apartheid in South Africa.
 Most Western governments, meanwhile, are providing ever more flagrant displays of the same hypocrisy they showed decades ago in dealing with South African apartheid. Israel is in open violation of many instruments of international law, among them the Fourth Geneva Convention, whose first article requires signatories “to respect and ensure respect for” that convention “in all circumstances.” Western governments can’t stop corporations from withdrawing from Israel, but some of them (France, followed in this by the US, Australia and Canada) have been attempting to criminalize the human rights activism of BDS supporters as an “incitement of hatred.”
Q: Would you please share with us your perspective on the unofficial ban on the criticism of Israel in the mass media and academia in the West? The critics of the actions and policies of Israel are being branded anti-Semite and Jew-hater and those journalists, university professors and government officials who direct the most insignificant criticism against Israel are vilified and demonized. Is there any way to combat this criminalization of the criticism of Israel?
 A: The campaigns conducted by supporters of Israel—which go beyond slander and vilification into demands that critics of Israel be fired—can best be resisted by calm, rational, persistent, and evidence-based argument. Jewish scholars and public intellectuals have played a very important role in this struggle: people like Jacqueline Rose, Brian Klug, and the late Tony Judt in the UK; Judith Butler, Norman Finkelstein, and William I. Robinson in the US; Naomi Klein and Yakov Rabkin in Canada; and Eva Illouz, Neve Gordon, and David Shulman in Israel. It helps that these are all scholars and writers of high distinction and international reputation; the fact that they are also Jewish makes it idiotic to insinuate that their solidarity with the Palestinians and their ethical and far-reaching critiques of Israel’s actions and policies could be motivated by anti-Semitism.
 Organizations like Independent Jewish Voices in the UK and Canada, and Jewish Voice for Peace in the US, have also been important in helping to persuade their compatriots that firm and principled criticism of Israel is not anti-Semitic.
 The fall-back position of the slanderers is to insinuate that Jewish critics of Israel must be “self-hating Jews,” animated by a perverse hatred of their own people. The historian Tony Judt offered a characteristically witty response when a hostile journalist asked if he was indeed, as supporters of Israel had claimed, a “self-hating Jew.” After a meditative pause, Judt conceded that he did in fact hate himself—but not for being Jewish.
It is of course a large further step to criminalize criticism of Israel through revisions to the penal code of a country. Canadian supporters of Israel’s actions and policies have made repeated attempts in this direction—to which human rights activists have reacted with rational, evidence-based arguments. The book I edited and co-authored in 2010, “Antisemitism Real and Imagined”, brought together responses to one such attempt; my recent essay “Criminalizing Criticism of Israel in Canada” analyzes a current attempt by the Canadian government to make pro-Palestinian human rights discourse vulnerable to prosecution as hate speech.
Q: Do you agree with the comparison drawn by some scholars and intellectuals between the Israeli regime and the apartheid South Africa? Is it true that the measures adopted by Israel in the Occupied Territories, the West Bank and Gaza Strip resemble the characteristics of an apartheid, racist regime?
 A: The comparison is correct and accurate. In making it, one is of course not claiming that the apartheid regime in South Africa and the apartheid regime imposed by Israel on the Palestinians resemble one another in all respects. I’m content to be guided in this matter by the South African scholars and jurists who wrote the report “Occupation, Colonialism, Apartheid?” A reassessment of Israel’s policies in the occupied Palestinian territories under international law, published by the Human Sciences Research Council of South Africa in May, 2009. According to this report, what the Israeli government is doing puts it in breach of the International Convention on the Suppression and Punishment of the Crime of Apartheid.
Insofar as the two systems of apartheid differ, Israel’s is more violent and more oppressive. According to Ronnie Kasrils, one of the many South African Jews who struggled honorably against apartheid, and who subsequently served as a minister in Nelson Mandela’s government, “Israel’s methods of repression and collective punishment” are “far, far worse than anything we saw during our long and difficult liberation struggle.”
One of Israel’s leading sociologists, Eva Illouz of the Hebrew University of Jerusalem, has argued in “47 years a slave,” a long and compelling essay published in the Israeli newspaper Haaretz on February 7, 2014, that the Israeli occupation in fact subjects Palestinians to what she defines as “a condition of slavery.”
 Q: Some critics of the US government believe that Washington has attached its interests and foreign policy priorities to Israel and many of its differences with the Muslim world emanate from its unconditional support for Tel Aviv even at the time when it is applying discriminatory measures against the Palestinian people and suppressing them. Why has the United States engaged in such an unusual relationship with Israel to the extent of deteriorating its ties with many Muslim nations which disfavor the Israeli policies?
A: The United States and other Western countries had mixed motives in supporting the founding of the state of Israel in the years immediately following World War Two. One motive was anti-Semitism—a desire to ensure that Jewish survivors of the Nazi genocide in Europe settled in Palestine rather than in their countries.
 Canada’s behavior in this regard was especially shameful: restrictions against the admission of Jewish refugees were in place throughout the years in which the Nazis held power in Germany, and were not relaxed until 1948.
Another motive was a desire to see a garrison culture that would be geopolitically dependent on the West implanted in the Muslim Middle East—with the explicit calculation that this settler colony would serve Western interests in a region whose hydrocarbon reserves are of immense strategic importance.
During George W. Bush’s first term, the US enunciated a policy of attacking and fragmenting every Middle Eastern state that is not completely subordinate to US economic and geopolitical plans. The attacks on Libya and Syria show that that policy is still in place—and US actions in organizing the coup in Ukraine are part of the same geopolitical strategy.
The US policy of seeking to dominate Eurasia through control of Middle Eastern and central-Asian hydrocarbon resources aligns with Israel’s concern to ensure that no Middle Eastern state has the power to interfere with its policies of continued colonization of Palestinian land. The powerful and well-funded Israel lobby supports these policies—though there is evidence of a growing alienation among young Jews both from this lobby and from the state of Israel.
Q: What’s your viewpoint regarding the dominant US policy on the Middle East in the recent years? Our region has been witness to numerous wars and military expeditions waged by the United States and its allies; wars which many prudent people have termed as wars for oil and other energy resources available in the region. What’s your idea on that? Does the United States really intend to bring democracy to the countries it invades and attacks, or are there other reasons at work?
A: I’ve begun to answer this question in my response to the previous one. US wars of aggression have had a number of goals: gaining control over oil and gas reserves (Iraq, Libya); denying or controlling access by competing powers such as China, or Western European nations to these reserves; gaining control over important pipeline routes (Afghanistan, Ukraine); preventing nations that possess important oil and gas deposits from using the revenues from them to fund social infrastructure or a “civil commons” (Iraq, Libya); preventing oil and gas-exporting countries from escaping from the petrodollar exchange system; and attempting to weaken and intimidate opposing powers like Iran and Russia (Syria).
The notion that the US has any interest in ‘exporting democracy’ is absurd, and amply refuted by its behavior.
Q: In February 2006, you wrote an article about the Bush administration’s preparations for launching a military strike against Iran over the nuclear standoff. Israel had also repeatedly threatened Iran with aerial attacks on its nuclear facilities. But there were commentators and analysts who believed that the war threats were nothing more than a sort of media hype and propaganda campaign aimed at bullying Iran and leading it into making concessions. The attacks never happened, while people like John Bolton had categorically announced the dates of the possible attacks. What do you think about the veracity of their claims? Weren’t they simply trying to intimidate the Iranians?
 A: My view at the time was that a principal motive for US war plans against Iran was a desire to prevent Iran from opening an oil bourse in which currencies other than the US dollar would be the medium of exchange. The position of the US dollar as a global fiat currency used in the vast majority of commercial transactions involving oil and gas is to a large degree what sustains an otherwise radically unstable imperial power. A significant shift away from reliance on the dollar in this capacity, which could result, for example, from Russia deciding at some point that its future gas sales will be conducted in currencies other than the US dollar, would have a major impact on the US economy, and on the US’s ability to finance and sustain its military aggressions.  The US was indeed seeking to bully and intimidate Iran—and has continued to do so. But threats of aggression, coming from a country with the US’s record in such matters, should be taken very seriously.
 American elites have long since forgotten that their invasion of Canada in 1812-14 was a failure, and resulted in the burning of Washington, DC, in return for their sack of what is now the city of Toronto. They don’t need to remember it, since they have long since had something close to complete control of Canadian foreign policy. They have also forgotten that they overthrew the government of Mossadegh in 1953, and subjected Iran to a quarter-century of brutal dictatorship. But they have not forgotten their humiliation at the time of the Iranian revolution in 1979.
Q: As you note in your articles, there’s no evidence showing that Iran has ever intended or is trying to produce nuclear weapons; however, it has been under intensive, severe economic sanctions for some 10 years, and these sanctions, except for troubling the lives of Iranian citizens and complicating the process of talks between Iran and the six world powers, have produced no useful results. What do you think about the sanctions regime? Do you agree that it’s now up to West to lift the sanctions as a confidence-building measure?
A: I regard the sanctions against Iran as a very serious violation of international law. Although I am opposed to nuclear power generation, on the grounds that the technology is irreducibly dangerous, and that the risk calculations offered by the nuclear industry are systematically misleading, Iran has every right under international law to develop a civil nuclear power program. The behavior of the US and the European nations in their negotiations with Iran has been dishonest at every stage. The sanctions should be lifted immediately and unconditionally.
 Q: What’s your viewpoint on the official accounts of 9/11 terrorist attacks presented by the mainstream media and propagated by the Bush administration officials? Is it really the case that they were the Muslims who masterminded and perpetrated the attacks? If so, then how can we find appropriate answers for such questions as the five dancing Israelis arrested at the moment of the collapsing of the Twin Towers or the absence of 4,000 Israeli workers of the World Trade Center on September 11, 2001?
 A: The official account of the 9/11 terrorist attacks is systematically false. The narrative of the planning and organization of the terror attacks of 9/11 that is provided by the 9/11 Commission Report is almost entirely based upon ‘evidence’ acquired by torture. But the epistemic and evidential value of statements elicited under torture is zero. The Report is an impudent fiction, and should be catalogued in the same section of libraries as the equally foolish and tendentious fictions of Tom Clancy.
The key facts about the events of 9/11, in my opinion, are the following. First, the US air defense system in the northeastern US was effectively disabled on September 11, 2001 by overlapping exercises which transferred many of the available interceptor aircraft out of the region and confused the military control systems, whose operators were for an extended period of time uncertain as to which dots on their radar screens were electronic simulations and which represented actual aircraft, and which of those real aircraft were part of an exercise and which were the victims of actual hijackings. Secondly, the planes that hit the Twin Towers and the Pentagon could not have been flown by the supposed hijackers; the hijacking was carried out electronically, and not by suicidal fanatics wielding box-cutters. Thirdly, there is conclusive scientific evidence that the Twin Towers and World Trade Center Building 7 were destroyed by controlled demolitions.
None of these things was within the power of Osama bin Laden and his agents. The official story that Muslims carried out these terror attacks is therefore false.
Israeli operatives appear to have been involved in some peripheral aspects of the plot. But to the best of my knowledge, the story that thousands of Israelis working in the Twin Towers were warned to stay away is quite simply false. Significant numbers of Israelis and people with dual Israeli-American citizenship were victims of the attacks.
Q: The War on Terror project that began immediately following the 9/11 attacks has so far claimed the lives of thousands of innocent civilians in different Muslim countries and nobody has been held responsible for the excessive, brutal killings. Do you agree that the War on Terror is in practice a war on Islam and the Muslims?
 A: The so-called War on Terror is a criminal fraud, designed to frighten Americans and the citizens of its allies into supporting systematic violations of international law. It was from the outset Islamophobic both in intention and in the wars of aggression it has been used to justify. But a lack of concern for the lives of Muslims was already apparent in US policy: former Secretary of State Madeleine Albright calmly took responsibility for the deaths of half a million Iraqi children caused by the sanctions regime imposed during the 1990s; she thought this was an acceptable consequence of a valid policy.
Q: Do you agree with the premise that the 9/11 attacks laid the groundwork for the US government to impose restrictions and limitations on the civil liberties and social freedoms of the American people, silent the dissents and prevent the mass media from giving coverage to the controversial and sensitive matters of the US domestic and foreign policy?
A: The events of 9/11 are defined by some American social scientists, notably Lance DeHaven Smith and Matthew Witt, as a “state crime against democracy.” American democracy has for decades been under threat by corporate power—in particular the power of what President Dwight Eisenhower in 1960 called “the military-industrial complex,” and the power of state agencies operating outside of any control by democratic institutions, and effectively constituting an overtly anti-democratic shadow state.
 The unsolved assassinations of the 1960s—of John F. Kennedy, Malcolm X, Martin Luther King, and Robert Kennedy—marked an important stage in the growing ascendancy of these agencies. In the opinion of many political analysts in the US, 9/11, and the policies pursued since 9/11 by Presidents Bush and Obama, have marked the effective end of constitutional democracy in the US. Many of the forms and much of the rhetoric of democratic governance still persist, in much the same way as the forms and rhetoric of a senatorial republic persisted in ancient Rome long after the state’s devolution into a military-autocratic empire under Augustus and his successors. But the US Constitution and Bill of Rights have been displaced by War-on-Terror legislation.
 The consequences of the stifling of civil liberty, dissent, and, more generally, of the capacity for innovative, generous, and public-spirited critical thinking in the US and its allies may have tragic consequences on a global scale. Human civilization currently faces a wide array of crises related to planetary resource limits and processes of change triggered by human interventions. These include, in no particular order, peak oil; desertification and soil loss; increasing problems of access to clean drinking water; rising ocean acidity and the imminent extinction of fish stocks; and ecosystem and genetic damage caused both by nuclear weaponry including, very importantly, depleted uranium munitions, and by nuclear accidents like Fukushima. Overarching all of these are the processes of chaotic climate change and global warming that have been set in motion by greenhouse gas emissions: unchecked, these processes will accelerate a global mass-extinction event that is already underway. Over the past decade and more, the predictions of climate scientists have repeatedly been overtaken by climate change events that are moving much more rapidly than anticipated.
 At this moment in history, more than any other, we are in desperate need of creativity, open-mindedness, cross-cultural and inter-faith generosity, and a commitment to justice and human solidarity, based on a firm assertion of the dignity and equality of our brothers and sisters everywhere.
 Interview by Kourosh Ziabari

RETAIL DEATH RATTLE GROWS LOUDER

let it ALL fuck~in FALL ..all of it !! ..it looks like the ONLY thin ....that IS gonna make good people RISE the fuck UP  ...is the shit hit~in the fucking fan  &   the ONLY thin left fer each of U.S.        ....is investing in each ...other :0

The definition of death rattle is a sound often produced by someone who is near death when fluids such as saliva and bronchial secretions accumulate in the throat and upper chest. The person can’t swallow and emits a deepening wheezing sound as they gasp for breath. This can go on for two or three days before death relieves them of their misery. The American retail industry is emitting an unmistakable wheezing sound as a long slow painful death approaches.

It was exactly four months ago when I wrote THE RETAIL DEATH RATTLE. Here are a few terse anecdotes from that article:
The absolute collapse in retail visitor counts is the warning siren that this country is about to collide with the reality Americans have run out of time, money, jobs, and illusions. The exponential growth model, built upon a never ending flow of consumer credit and an endless supply of cheap fuel, has reached its limit of growth. The titans of Wall Street and their puppets in Washington D.C. have wrung every drop of faux wealth from the dying middle class. There are nothing left but withering carcasses and bleached bones.
Once the Wall Street created fraud collapsed and the waves of delusion subsided, retailers have been revealed to be swimming naked. Their relentless expansion, based on exponential growth, cannibalized itself, new store construction ground to a halt, sales and profits have declined, and the inevitable closing of thousands of stores has begun.
The implications of this long and winding road to ruin are far reaching. Store closings so far have only been a ripple compared to the tsunami coming to right size the industry for a future of declining spending. Over the next five to ten years, tens of thousands of stores will be shuttered. Companies like JC Penney, Sears and Radio Shack will go bankrupt and become historical footnotes. Considering retail employment is lower today than it was in 2002 before the massive retail expansion, the future will see in excess of 1 million retail workers lose their jobs. Bernanke and the Feds have allowed real estate mall owners to roll over non-performing loans and pretend they are generating enough rental income to cover their loan obligations. As more stores go dark, this little game of extend and pretend will come to an end.
Retail store results for the 1st quarter of 2014 have been rolling in over the last week. It seems the hideous government reported retail sales results over the last six months are being confirmed by the dying bricks and mortar mega-chains. In case you missed the corporate mainstream media not reporting the facts and doing their usual positive spin, here are the absolutely dreadful headlines:
Wal-Mart Profit Plunges By $220 Million as US Store Traffic Declines by 1.4%
Target Profit Plunges by $80 Million, 16% Lower Than 2013, as Store Traffic Declines by 2.3%
Sears Loses $358 Million in First Quarter as Comparable Store Sales at Sears Plunge by 7.8% and Sales at Kmart Plunge by 5.1%
JC Penney Thrilled With Loss of Only $358 Million For the Quarter
Kohl’s Operating Income Plunges by 17% as Comparable Sales Decline by 3.4%
Costco Profit Declines by $84 Million as Comp Store Sales Only Increase by 2%
Staples Profit Plunges by 44% as Sales Collapse and Closing Hundreds of Stores
Gap Income Drops 22% as Same Store Sales Fall
American Eagle Profits Tumble 86%, Will Close 150 Stores
Aeropostale Losses $77 Million as Sales Collapse by 12%
Best Buy Sales Decline by $300 Million as Margins Decline and Comparable Store Sales Decline by 1.3%
Macy’s Profit Flat as Comparable Store Sales decline by 1.4%
Dollar General Profit Plummets by 40% as Comp Store Sales Decline by 3.8%
Urban Outfitters Earnings Collapse by 20% as Sales Stagnate
McDonalds Earnings Fall by $66 Million as US Comp Sales Fall by 1.7%
Darden Profit Collapses by 30% as Same Restaurant Sales Plunge by 5.6% and Company Selling Red Lobster
TJX Misses Earnings Expectations as Sales & Earnings Flat
Dick’s Misses Earnings Expectations as Golf Store Sales Plummet
Home Depot Misses Earnings Expectations as Customer Traffic Only Rises by 2.2%
Lowes Misses Earnings Expectations as Customer Traffic was Flat
Of course, those headlines were never reported. I went to each earnings report and gathered the info that should have been reported by the CNBC bimbos and hacks. Anything you heard surely had a Wall Street spin attached, like the standard BETTER THAN EXPECTED. I love that one. At the start of the quarter the Wall Street shysters post earnings expectations. As the quarter progresses, the company whispers the bad news to Wall Street and the earnings expectations are lowered. Then the company beats the lowered earnings expectation by a penny and the Wall Street scum hail it as a great achievement. The muppets must be sacrificed to sustain the Wall Street bonus pool. Wall Street investment bank geniuses rated JC Penney a buy from $85 per share in 2007 all the way down to $5 a share in 2013. No more needs to be said about Wall Street “analysis”.
It seems even the lowered expectation scam hasn’t worked this time. U.S. retailer profits have missed lowered expectations by the most in 13 years. They generally “beat” expectations by 3% when the game is being played properly. They’ve missed expectations in the 1st quarter by 3.2%, the worst miss since the fourth quarter of 2000. If my memory serves me right, I believe the economy entered recession shortly thereafter. The brilliant Ivy League trained Wall Street MBAs, earning high six digit salaries on Wall Street, predicted a 13% increase in retailer profits for the first quarter. A monkey with a magic 8 ball could do a better job than these Wall Street big swinging dicks.
The highly compensated flunkies who sit in the corner CEO office of the mega-retail chains trotted out the usual drivel about cold and snowy winter weather and looking forward to tremendous success over the remainder of the year. How do these excuse machine CEO’s explain the success of many high end retailers during the first quarter? Doesn’t weather impact stores that cater to the .01%? The continued unrelenting decline in profits of retailers, dependent upon the working class, couldn’t have anything to do with this chart? It seems only the oligarchs have made much progress over the last four decades.
Screen-Shot-2014-03-29-at-9.23.25-PM.png
Retail CEO gurus all think they have a master plan to revive sales. I’ll let you in on a secret. They don’t really have a plan. They have no idea why they experienced tremendous success from 2000 through 2007, and why their businesses have not revived since the 2008 financial collapse. Retail CEOs are not the sharpest tools in the shed. They were born on third base and thought they hit a triple. Now they are stranded there, with no hope of getting home. They should be figuring out how to position themselves for the multi-year contraction in sales, but their egos and hubris will keep them from taking the actions necessary to keep their companies afloat in the next decade. Bankruptcy awaits. The front line workers will be shit canned and the CEO will get a golden parachute. It’s the American way.
The secret to retail success before 2007 was: create or copy a successful concept; get Wall Street financing and go public ASAP; source all your inventory from Far East slave labor factories; hire thousands of minimum wage level workers to process transactions; build hundreds of new stores every year to cover up the fact the existing stores had deteriorating performance; convince millions of gullible dupes to buy cheap Chinese shit they didn’t need with money they didn’t have; and pretend this didn’t solely rely upon cheap easy debt pumped into the veins of American consumers by the Federal Reserve and their Wall Street bank owners. The financial crisis in 2008 revealed everyone was swimming naked, when the tide of easy credit subsided.
The pundits, politicians and delusional retail CEOs continue to await the revival of retail sales as if reality doesn’t exist. The 1 million retail stores, 109,000 shopping centers, and nearly 15 billion square feet of retail space for an aging, increasingly impoverished, and savings poor populace might be a tad too much and will require a slight downsizing – say 3 or 4 billion square feet. Considering the debt fueled frenzy from 2000 through 2008 added 2.7 billion square feet to our suburban sprawl concrete landscape, a divestiture of that foolish investment will be the floor. If you think there are a lot of SPACE AVAILABLE signs dotting the countryside, you ain’t seen nothing yet. The mega-chains have already halted all expansion. That was the first step. The weaker players like Radio Shack, Sears, Family Dollar, Coldwater Creek, Staples, Barnes & Noble, Blockbuster and dozens of others are already closing stores by the hundreds. Thousands more will follow.
This isn’t some doom and gloom prediction based on nothing but my opinion. This is the inevitable result of demographic certainties, unequivocal data, and the consequences of a retailer herd mentality and lemming like behavior of consumers. The open and shut case for further shuttering of 3 to 4 billion square feet of retail is as follows:
  • There is 47 square feet of retail space per person in America. This is 8 times as much as any other country on earth. This is up from 38 square feet in 2005; 30 square feet in 2000; 19 square feet in 1990; and 4 square feet in 1960. If we just revert to 2005 levels, 3 billion square feet would need to go dark. Does that sound outrageous?

  • Annual consumer expenditures by those over 65 years old drop by 40% from their highest spending years from 45 to 54 years old. The number of Americans turning 65 will increase by 10,000 per day for the next 16 years. There were 35 million Americans over 65 in 2000, accounting for 12% of the total population. By 2030 there will be 70 million Americans over 65, accounting for 20% of the total population. Do you think that bodes well for retailers?

  • Half of Americans between the ages of 50 and 64 have no retirement savings. The other half has accumulated $52,000 or less. It seems the debt financed consumer product orgy of the last two decades has left most people nearly penniless. More than 50% of workers aged 25 to 44 report they have less than $10,000 of total savings.

  • The lack of retirement and general savings is reflected in the historically low personal savings rate of a miniscule 3.8%. Before the materialistic frenzy of the last couple decades, rational Americans used to save 10% or more of their personal income. With virtually no savings as they approach their retirement years and an already extremely low savings rate, do retail CEOs really see a spending revival on the horizon?

  • If you thought the savings rate was so low because consumers are flush with cash and so optimistic about their job prospects they are unconcerned about the need to save for a rainy day, you would be wrong. It has been raining for the last 14 years. Real median household income is 7.5% lower today than it was in 2001. Retailers added 2.7 billion square feet of retail space as real household income fell. Sounds rational.

  • This decline in household income may have something to do with the labor participation rate plummeting to the lowest level since 1978. There are 247.4 million working age Americans and only 145.7 million of them employed (19 million part-time; 9 million self-employed; 20 million employed by the government). There are 92 million Americans, who according to the government have willingly left the workforce, up by 13.3 million since 2007 when over 146 million Americans were employed. You’d have to be a brainless twit to believe the unemployment rate is really 6.3% today. Retail sales would be booming if the unemployment rate was really that low.

  • With a 16.5% increase in working age Americans since 2000 and only a 6.5% increase in employed Americans, along with declining real household income, an inquisitive person might wonder how retail sales were able to grow from $3.3 trillion in 2000 to $5.1 trillion in 2013 – a 55% increase. You need to look no further than your friendly Too Big To Trust Wall Street banks for the answer. In the olden days of the 1970s and early 1980s Americans put 10% to 20% down to buy a house and then systematically built up equity by making their monthly payments. The Ivy League financial engineers created “exotic” (toxic) mortgage products requiring no money down, no principal payments, and no proof you could make a payment, in their control fraud scheme to fleece the American sheeple. Their propaganda machine convinced millions more to use their homes as an ATM, because home prices never drop. Just ask Ben Bernanke. Even after the Bernanke/Blackrock fake housing recovery (actual mortgage originations now at 1978 levels) household real estate percent equity is barely above 50%, well below the 70% levels before the Wall Street induced debt debacle. With the housing market about to head south again, the home equity ATM will have an Out of Order sign on it.

  • We hear the endless drivel from disingenuous Keynesian nitwits about government and consumer austerity being the cause of our stagnating economy. My definition of austerity would be an actual reduction in spending and debt accumulation. It seems during this time of austerity total credit market debt has RISEN from $53.5 trillion in 2009 to $59 trillion today. Not exactly austere, as the Federal government adds $2.2 billion PER DAY to the national debt, saddling future generations with the bill for our inability to confront reality. The American consumer has not retrenched, as the CNBC bimbos and bozos would have you believe. Consumer credit reached an all-time high of $3.14 trillion in March, up from $2.52 trillion in 2010. That doesn’t sound too austere to me. Of course, this increase is solely due to Obamanomics and Bernanke’s $3 trillion gift to his Wall Street owners. The doling out of $645 billion to subprime college “students” and subprime auto “buyers” since 2010 accounts for more than 100% of the increase. The losses on these asinine loans will be epic. Credit card debt has actually fallen as people realize it is their last lifeline. They are using credit cards to pay income taxes, real estate taxes, higher energy costs, higher food costs, and the other necessities of life.

The entire engineered “recovery” since 2009 has been nothing but a Federal Reserve/U.S. Treasury conceived, debt manufactured scam. These highly educated lackeys for the establishment have been tasked with keeping the U.S. Titanic afloat until the oligarchs can safely depart on the lifeboats with all the ship’s jewels safely stowed in their pockets. There has been no housing recovery. There has been no jobs recovery. There has been no auto sales recovery. Giving a vehicle to someone with a 580 credit score with a 0% seven year loan is not a sale. It’s a repossession in waiting. The government supplied student loans are going to functional illiterates who are majoring in texting, facebooking and twittering. Do you think these indebted University of Phoenix dropouts living in their parents’ basements are going to spur a housing and retail sales recovery? This Keynesian “solution” was designed to produce the appearance of recovery, convince the masses to resume their debt based consumption, and add more treasure into the vaults of the Wall Street banks.
The master plan has failed miserably in reviving the economy. Savings, capital investment, and debt reduction are the necessary ingredients for a sustained healthy economic system. Debt based personal consumption of cheap foreign produced baubles & gadgets, $1 trillion government deficits to sustain the warfare/welfare state, along with a corrupt political and rigged financial system are the explosive concoction which will blow our economic system sky high. Facts can be ignored. Media propaganda can convince the willfully ignorant to remain so. The Federal Reserve can buy every Treasury bond issued to fund an out of control government. But eventually reality will shatter the delusions of millions as the debt based Ponzi scheme will run out of dupes and collapse in a flaming heap.

The inevitable shuttering of at least 3 billion square feet of retail space is a certainty. The aging demographics of the U.S. population, dire economic situation of both young and old, and sheer lunacy of the retail expansion since 2000, guarantee a future of ghost malls, decaying weed infested empty parking lots, retailer bankruptcies, real estate developer bankruptcies, massive loan losses for the banking industry, and the loss of millions of retail jobs. Since I always look for a silver lining in a black cloud, I predict a bright future for the SPACE AVAILABLE and GOING OUT OF BUSINESS sign making companies.