Posts tagged ‘ASAP’

Best Thing I Have Read This Week, From Arnold Kling

From Arnold Kling:

My understanding of post-modernism is based pretty much on what I have read from its critics. What is the best defense of post-modernism that is out there?

These brief two sentences embody nearly everything that has been lost and desperately needs to return to public discourse and in particular to universities.  The equivalent bleg from much of current academia is:

Though I have not read anything he has written, someone is apparently dissenting from my views on post-modernism. Can someone please have him run off campus ASAP, or at least provide me with a safe room wherein I have no chance of his opinions reaching my brain?

Don't Ever Have an Ear Emergency in Phoenix

A couple of weeks ago, I started losing hearing in one ear.  A bit later, it started to hurt.  Suspecting an infection, I called my ENT's office.  They said they couldn't see me for four weeks, and would not let me switch to see anyone else in their 10-person practice (against their practice rules, which raises the question of, from a customer point of view, why there is any benefit to a large practice at all -- the large pool of doctors provides the illusion of more customer service capability but in fact the sole logic of the practice is cost-sharing of overhead and support staff).  So eventually I just went to one of those walk-in urgent care clinics in a strip mall near me and had the GP there look at it.  I found that I did in fact have an infection and got an antibiotic scrip and some drops and was told if it did not get better in 7 days, go see a specialist.

So it has been a week and the pain is mostly gone but I still have lost most of my hearing in the ear.  So I tried to make an appointment at my ENT again -- 4 weeks.  I described my situation, and said something seemed wrong.  4 weeks.

So I talked to two friends who are both semi-retired ENT's.  They said to get my butt to a doctor ASAP because it could be nothing or it could be something really bad that needs immediate intervention.  But no ENT would see me for weeks.  So one of my friends said they would help me, but they needed audiology tests.  Turns out, those are being scheduled 3 weeks out.  I finally called in a favor with a friend of a friend and found someone to test me next Monday, just four days from now.  Four days seems a long wait for something that could be an emergency, but it beats the hell out of 4 weeks.

This is what we have done to the practice of medicine.  With a myriad of professional licensing requirements and regulatory burdens that raise the fixed cost of opening a practice, we have managed to simultaneously raise prices while limiting supply.

Is This A Scam?

Came in via email this morning

Dear President & CEO,
 
We are an organization specified at dealing with domain name dispute and registration in Asia. We have something important on intellectual property right need to confirm with your company.
 
On April 13, 2013, we received an application formally, one company named "PhgbuhfcHolding Ltd" applied for the Brand Name "coyoteblog" and some domain names with our organization.
After checking, we found your company is the original trademark owner. If the company's action haven't been authorized by your company, so their behavior will conflict with your interests. In order to deal with the matter better, please contact us ASAP. (If you are NOT President, please forward this to your President & CEO, because this is urgent. Thanks.)

Best Regards,
 
Andy
Auditing Director

Update, from the comments:  Yes, it is!  I figured as such.  This blog gets pretty good Google ranking so I like to post this stuff for others to find in the future.

Solyndra Bankruptcy Process

I thought this article from Zero Hedge was a pretty good window into the bankruptcy process for those of us unfamiliar with what goes on.  The most interesting point is that by allowing Argonaut to cut ahead of taxpayers as the senior creditor, the Obama Administration virtually ceded control of the bankruptcy process to Argonaut.  Argonaut has put up the debtor-in-possession financing as well, and the combination of these two positions gives it pretty tight control of the process going forward

The plan put forward is a four-week sale of the company. The logic behind this very rapid schedule is that Solyndra is still burning cash at the rate of $1mm a week. How long will the $4mm DIP financing last? Four weeks. The terms of the DIP makes it a sure thing that Solyndra is going to be sold ASAP. That sounds good. But not for the DOE.

The one-month period is a very short time frame. The likely result will be that no serious alternative buyer will appear. Should that happen, the senior creditor will get all of the assets of the company at the end of 30 days. That would be Argonaut. It's possible that Argonaut will end up owning a company that lists $850mm in assets for less than $100mm.

I am not sure taxpayers were ever going to get anything out of this mess -- the combination of a high-cost manufacturing plant with me-too technology in a commoditized business was never going to be wildly valuable -- but the Administrations decision to allow Argonaut to jump the seniority line has pretty much assured that whatever value that might be there will go to Argonaut and not the taxpayers.

Postscript:  Someone might argue that the decision in February to allow Argnaut the senior position was required to get them to put up the $75 million that was necessary at the time to keep operating.  I am positive this is true, given the condition of Solyndra finances at the time.  However, the right answer at the time was to shut the thing down then, while the US had seniority and before Argonaut cleaned out all the assets of value (as they did this summer, selling inventories and receivables to themselves).  The company had no real prospects of ever making money when it was first financed two years ago and certainly did not in February.  The $75 million in February was less financing and more a pre-emptive bid for the company's carcass in the inevitable bankruptcy, and it will likely play out exactly this way.

Update:  I have read that Argonaut may be interested in the $500 million of tax losses.  These are tricky to use, and only Argonaut of all potential buyers could reasonably make use of them.  These might be worth $150 million in avoided taxes, so the $75 million price might make sense.  If Argonaut pulls this off, it would mean that the decision to accept their $75 million in financing is even more costly to the taxpayers.  Not only did they miss out on whatever value might be in the company, but it also created the opportunity for $150 million in tax avoidance that comes right out of Uncle Sam's coffers.

Is It OK To Laugh At Your Kid?

Today I dropped my son off in England for summer school.  As background you need to know that he has lived in brand-new-out-of-the-shrinkwrap American suburbs all of his life.  So it was funny to me to see the look on his face when he was told at the college that his dorm room elevator was broken and might not be fixed for at least a month.  The "WTF?" look was priceless.  I could see him thinking that a one hour outage of infrastructure would be something to comment on back home, but a month??

But the really funny part was when the Dean asked him to check his rooming envelope to see his room number, and he realized the implication of the three digit number that started with "7."  As with most teenage boys, he wanted me gone anyway ASAP, and I was happy to leave him to his independence and avoid the trudge up to his room.  After I left, he still had a small voyage of discovery as he learns that "floor 7" in England is actually euqivilent to "floor 8" in the US.

Person Who Will Lose a Lot of Money in GM Bankrupcy Says that GM Bankrupcy Would Be Bad

Via the AZ Republic:

Fritz Henderson, president and chief operating officer of GM, said that choosing the bankruptcy route would further erode consumer confidence in the automaker and "we want them to be confident in their ability to buy our cars and trucks."

In order to save the value of their executive stock portfolios, which are a large part of their compensation, auto executives are promoting the line now that consumers will for some reason stop buying GM cars if the company is operating under Chapter 11 protection.

The auto-makers real strategy is to get some kind of money, almost any amount will do, from the government ASAP.  It really doesn't matter how much, because with their cash burn rate almost any amount Congress gives them right now will not last much more than 6 months, and certainly will not be enough to reach recovery (their requests go up by a few billion each time they appear in front of Congress).  Automakers are facing potentially several years of recession, and any real restructuring would take 5 years or more (and even that is doubtful since the industry has had 30 years of notice on these issues and have not done anything).  But if they get some cash, then there will be a psychological pull for Congress to put in more.  They will say -- well, you've already put in $5 billion.  If you don't put in another X billion, that first 5 will have been wasted  (few people understand that "sunk costs are sunk" and Congress is no exception).  This is how expensive transit projects are funded.

The position that customers will stop buying the product due to some loss of confidence in chapter 11 doesn't hold up.  Most every airline traveler has flown on an airline operating under chapter 11 in the last 10 years or so, and if I can have enough confidence that an aircraft is being adequately maintained in bankruptcy, I can probably muster the courage to buy a car.  I presume the issue here is downstream warranty support.  But this is about the last thing that would ever be slashed in a chapter 11.   For God sakes, airlines have never even substantially disavowed frequent flier miles in a bankruptcy, surely a much more obvious target than warranty repairs.

I would argue that it is uncertainty that is driving any loss of confidence  (in fact, sales have plummeted already, ahead of any chapter 11).  A chapter 11 filing would actually increase certainty, as those running the receivership could quickly communicate principles to be followed in the bankruptcy, such as protection of warranties. Right now, people have a perception that in a bankruptcy, GM would go *poof*.  Once it actually files a chapter 11, the media and executives would switch modes from fanning panic to actually explaining how receivership works.

In fact, if there is any fear on the issue of long-term warranty support, it is being created by executives like Henderson who are fanning the flames of fear in a brinkmanship game to try to avoid chapter 11.  If he were really worried about this loss of confidence, he and other auto executives would be out there assuring people that their cars and servicing and dealers will also survive a chapter 11 filing.  But he is not.  This is totally disingenuous.

More on why GM should be allowed to fail here and here.

What Happened to Coyote Blog (Network Solutions Sucks Edition)

Years ago, I, without really knowing what I was doing, established a bunch of my URLs through Network Solutions.  I didn't understand at the time that Network Solutions was both irritating and the high-cost provider. 

Now that I know more, I have doing my registrations via a much lower cost supplier (GoDaddy).  A few weeks ago, I did a mass transfer from Network Solutions.  Apparently, Network Solutions locks the domains down, ostensibly for security (which is probably true) but also to make it harder to leave them, which makes sense as given their prices there must be a serious net drain of business out of the company.  Most of my domains cleared this Berlin Wall to freedom, but I screwed up on a couple, one of which was CoyoteBlog.com.  As a result, the domain ended up expired, and email dead.

Thanks for all of you who have tried to notify me of the problems.  Nearly two days ago I went ahead and renewed at Network Solutions for another year, just to get things back up ASAP.  Unfortunately, the URL still seems to be marked expired.  I don't know if that is their poor service or because I am in Hawaii and at the absolute end of the earth for name server updates.  Hopefully all will be right tomorrow.  For those who visited CoyoteBlog this weekend, I am sorry about the flurry of tacky popups Network Solutions was dealing out at the URL (as many as three at a time, the losers).  For those of you who access via http://www.coyoteblog.com/coyote_blog/ you should have been able to read the blog but without formatting.  I believe that RSS access was unaffected.