The longer this continues the worse it will be
Wave of COVID-19 bankruptcies poses next threat to US economy
Larger companies have generally survived the initial blow from the coronavirus crisis, but still face existential challenges to get through what will probably be a long and grinding recovery.
Since COVID-19 shuttered much of the global economy, airlines, major retail chains, oil companies and other hard-hit businesses have been able to tap bank facilities and public debt markets for the funds they need to keep paying the bills and stay afloat.
But many firms now bleeding cash are in for a tough ride until the economy fully rebounds, which likely will come only after a vaccine is developed and broadly employed.
That has raised worries about a much bigger wave of bankruptcies beyond the handful of retailers that have sought to restructure through the US process known as “Chapter 11.”
The US Congress moved with remarkable speed to approve rescue measures for small businesses, large industries and workers, amounting to nearly $3 trillion.
But that infusion simply “bought time… it postponed” bankruptcies, David Kotok, cofounder of Cumberland Advisors, said of the massive federal push to support the economy.
Kotok — who thinks it will take around five years for the US economy to fully recover — expects casualties in other sectors, including travel, leisure, real estate, energy and “more that haven’t surfaced yet,” he told AFP this week.
Federal Reserve Chief Jay Powell warned Wednesday of a potential “wave of bankruptcies” that could cause lasting harm to the world’s largest economy, and said more fiscal support may be needed to prevent the devastation, despite the massive cost.
Big companies, small companies, you name them, they are in deep trouble. Look, I understand the concern and even panic that COVID-19 caused among citizens and government (employees, appointees, and elected officials): we were seeing a massive dropoff in customers in early February, which only got worse, before government even could consider measures. People were worried. There were enough people who wanted MASSIVE government responses, which many government officials were more than happy to supply. Things were moving too fast, too many voices all over the place, and too many voices of doom. Hey, it’s easy to Monday morning QB. Cooler heads needed to prevail, but, easier said than done. So what happens now? Too many businesses will not survive.
You’ll see reduced employment at companies, who do not need as many employees. There could be an increase in low wage employment for restocking, cleaning, shipping, and such. Those who took voluntary furlough might be permanently laid off or offer positions elsewhere, both in job or location. And if schools do not come back, what are parents to do? Especially if child care centers remain closed and/or go out of business?
Restaurants will need a miracle to survive this
Restaurants, especially independent ones, have been decimated by the pandemic. Without access to the same financing options as large corporate chains, restaurant owners like me have to figure out whether and how to stay open — or just quit the business altogether. (snip)
Though we restaurateurs have faith in our creativity and resilience, the prognosis is dire. Some 1,400 of us responded to a recent survey by the Beard Foundation and the Independent Restaurant Coalition. It predicted that months of closings, mounting debt and diminished capacity will kill perhaps 80% of America’s independent restaurants.
Two-thirds of America’s restaurants are independent small businesses. They employ 11 million of the 15 million workers in this sector. Millions of them are now unemployed and facing permanent job loss.
Who survives?
The tRump Plague Virus will continue to wreak havoc on the US economy until the nation gets tPV under control.
How many millions of Americans need to die for tRump?
As Matt Lewis, who left the Republican party due to the president, explained, “If you were holding out hope for 2020 to be any less horrible, consider that the donning of protective face masks in the midst of a pandemic has emerged as the symbolic dividing line in the culture war,†before adding, “This is both stupid and sadly predictable. “
Stupid is as stupid does. A connie wearing a mask is considered cowardice.
Nanking Nasty is under control. Only thing not under control is tyrannical Democrats, but their day is coming.
more people are rising up and refusing to see their right trampled.
How many millions of Americans need to die for tRump?
Right now the real total is 0. But deaths due to Democrat incompetence and politics is about 660.
Yeah, the smart people haven’t been fooled and know masks don’t work. The Lefties are just virtue signalling.
Stupid is as stupid does.
You certainly are.
Federal Reserve Chief Jay Powell warned Wednesday of a potential “wave of bankruptcies†that could cause lasting harm to the world’s largest economy, and said more fiscal support may be needed to prevent the devastation, despite the massive cost.
How many trillions must we invest to cover for tRump’s ineptitude and ignorance?
The WH and the Fed have doled out around $10 trillion already, much of it as a trickle down approach. How many more trillions are needed?
No more. Just put pressure on the Democrats.
Speaking of which, Pelosi Galore has another 3T giveaway. I take it you oppose that as well.
And Powell has been as wrong as Fauci.
Another rant by Eleood. What triggered you today, Karen? You are one big continuous bullshiter. Trump’s ineptitude? Exactly what businesses did Trump close down? Exactly how was following the recommendations of your so-called “experts” Trump’s ineptitude you fukin’ idiot?
If any stimulus money was “trickle down” it is because of the Democommie’s who created it and administered it. Do you think Trump wanted money to go to Planned Parenthood and The Kennedy Center For The Arts? That shit is wholly on you commies. You all need a good lesson.
You have lost all reason and logic, you are a Karen. A commie Karen.
Trump 2020 Keep the Karen’s out of government.
A California company claims to have isolated an antibody that blocks SARS-CoV-2 from binding to ACE2, the “receptor” that allows the virus to enter human cells and proliferate!
Dr. Henry Li, Jiong Shao, Hui Li et al made the announcement.
How ironic if Chinese scientists cure Covid-19.
https://www.msn.com/en-us/health/other/california-biopharmaceutical-company-claims-coronavirus-antibody-breakthrough/ar-BB147Tvt?ocid=spartan-ntp-feeds
First, you expect us to believe Mr Gates.
Second, they gave it to us.
You’d like that wouldnt you 50 center.
the first thing China will do with the cure is spend the next 5 years giving shots to their 1.3 billion people while denying any cure to the rest of the world.
while the rest of the world suffers and goes down the tubes economically. China will be our newest commie big brother and be in charge of the world.
Who knows 50 center, you might find yourself in a reeducation camp along with the rest of us ANTI-COMMUNISTS.
Then there is this you anti-american propagandist.
US formally accuses China of hacking US entities working on COVID-19 research
Then there is this you anti-american propagandist.
US Says China Trying to Steal Covid-19 Vaccine Through Beijing-linked Hackers Amid Fears of a Second Wave.
You see 50 center. China can’t do shit. They only steal everything in sight and god help us if they are the ones that steal the cure, stealing everyone elses research.
Why?
Remdesivir.
Business
China Wants to Patent Gilead’s Experimental Coronavirus Drug
and:
Apr 29, 2020 · CHINA Stole Remdesivir from Gilead then Tried to Patent the Drug in January — Knowing Months Ago It Would Treat Coronavirus and Trying to Make Money off the Pandemic
Ironic dumbshit?
Hardly Ironic. PROBABLE SINCE THEY STEAL EVERYTHING IN SIGHT. PRAISE CHINA huh 50 center????
Jeff,
Why are you such a racist? Do you ever look at people without judging them on skin color or other characteristics that are meaningless to the rest of us? It really is disgusting.
Take the case of Obama. The most corrupt of leaders in our history. You can not bring yourself to desire a through evaluation of his administration and likely imprisonment simply because he is black.
The Demos want to destroy capitalism and the middle class. That’s part of what the stimulus is about – small biz loans.
The more businesses that go under, the more votes for Trump. The people know who’s causing this. That’s why a House seat was flipped last Tuesday.
Be ready for a lot more.
PS Teach, quoting an AFP article hosted by Yahoo? You know better. Just more Commie propaganda.
Form,
I am trying to figure the actions of Den leaders in response to COVID. None of their actions are rooted in science or in trying to improve the economy. It seems they are intentionally trying to destroy us in the name of the virus. Have you seen an authority that has analysed this?
There was a piece, I think on 90 Miles From Tyranny, saying the Demos in Congress are absolutely gleeful over all the distress caused by the panic. They think a third Depression is just the thing to finish Trump. The first gave us Franklin Roosevelt, the second gave us the Mocha Messiah*. Take it with a grain of salt as this is just off a Twit, but, given the mess the Demos have created for themselves, I can see the point. Best I could find.
The hole in this little plan is that the public is not mad at Trump, they’re mad at the Democrat governors and mayors. That’s where the protests are. Look at those 2 special elections this week.
If people were mad at Trump, they would probably have gone the other way.
There’s a desperation in this reminiscent of the Ghost Dance phenomena.
Found something better, by a Lefty yet.
You have to dig through the usual whining about Trump, but it’s there.
The headline says it all, Democrats have abandoned civil liberties.
Some context provided by the Eminent Mr Surber.
Thanks,
I saw the 90 mile article. The other is good. It appears to me that the liberals are not analysing the situation very well.
Not entirely unrelated, it seems as if NC DAs and sheriffs are in open revolt.
I guess it’s not going blue, after all.
Massive crack in the dam.
Don cuomo opens north and central NY.
Jeffery hardest hit.
Do idiots the likes of Sibley believe the states would be in lockdown forever?
That states are relaxing the restrictions puts the lie to the connies’ accusations of Nazis, Communists and fascists, oh my.
Stupid.
No, it only means the people raised enough Hell that the Demos couldn’t deny them. Especially Don Cuomo, who murdered literally thousands of old people. How many Demo votes will go R in the Fall?
Most of the states voluntarily relaxing restrictions are Trumplican.
The Demos’ big plan, as Jeffery keeps telling us, is to keep the country closed until there really is a depression like the one Purple Lips gave us. The excuse is no opening until there’s a cure, a vaccine, no more deaths, no more cases. There’s always a new excuse.
And Don Cuomo is still keeping Gotham closed. Still holding out for a bailout because he screwed up.
Do idiots the likes of Sibley believe the states would be in lockdown forever?
Anyone like me is smart. The only idiots I know are you.
And Blackface wants to keep VA in lockdown till ’22. And the others, Whitler and Murphy especially, keep extending the time arbitrarily.
“That states are relaxing the restrictions puts the lie to the connies’ accusations of Nazis, Communists and fascists, oh my.”
No it doesn’t you fukin moron, only Nazis, communists and fascists would have locked FREE PEOPLE down to begin with. As usual the only liar is Y-O-U.
https://i2.wp.com/www.powerlineblog.com/ed-assets/2020/05/Screen-Shot-2020-05-15-at-12.38.31-PM.png?resize=493%2C600&ssl=1
Trump 2020 Stop the bull shit from the lyin’ left.