Marble Composition

Gangbusters

When the executive branch of the United States government is packed with oil men and people who represent the military-industrial complex, especially for over four years, it's good times. As Spring begins to bloom here in Middletown, and even in Poopville, these first quarter earnings statements from the following must have industry executives sprouting new buds of their own. Where on their bald, white, foreheads we care not to even fathom a guess, but Jeebus it must be party time! Sorry, I meant PARTY TIME! Cue Reuters:

U.S. defense contractors reported strong quarterly earnings on Thursday as the Pentagon put billions into high tech military equipment and services.

Earnings soared 76 percent at Northrop Grumman Corp., 30 percent at Raytheon Co. and 22 percent at Goodrich . All three aerospace and defense companies beat analysts earnings forecasts, and they raised their earnings outlooks for the rest of the year.

After the news, shares of aircraft part maker Goodrich rose 6.4 percent, while Northrop Grumman stock was up 1.6 percent and Raytheon's shares were 1.9 percent higher.

"Everybody's coming in like gangbusters," said Paul Nisbet, an analyst with independent research firm JSA Research. "They were all well above expectations, and there is certainly every indication of increased guidance for the year on all three."

Defense contractor Lockheed Martin Corp., which reported earnings this week, also beat forecasts and raised guidance for the rest of the year. However, results from No. 2 defense contractor General Dynamics were seen as being weak.

Demand from the Pentagon as well as the Department of Homeland Security also boosted results at Titan Corp. which provides intelligence and translation services. Titan said on Thursday its earnings rose sixfold, sending its shares 2.9 percent higher.

Contractors are reaping rewards of a surge in defense spending from a little over $300 billion before the September 11, 2001 attacks on the United States to about $500 billion now, Nisbet said.

And from the good Mr. Sirota via Kos:

President Bush is expected to trumpet his "long-term" energy "solutions" at a press conference tonight. He is talking about nuclear power, and he's talking about drilling, and he's talking about every other cockamamie idea except the one that could make a difference to middle class people - cracking down on oil companies who are literally price gouging the American people:

USA Today reports "Exxon Mobil said Thursday that first-quarter earnings soared 44% from last year, due mainly to strong crude and natural gas prices...The company's net income surged to $7.86 billion."

Reuters reports "Royal Dutch/Shell comfortably beat analysts' forecasts to report a 28 percent rise in first-quarter profits, helped by surging oil prices and strong refining margins...The company's earnings rose to $5.548 billion."

The Houston Chronicle reports "ConocoPhillips, the nation's third-largest oil and gas company, said today that first-quarter earnings soared year-over-year on high oil prices, though they were partially offset by unplanned downtime in the company's exploration and production unit. The company's net income jumped to $2.91 billion."

Come on now, you're not being gouged, you're being fondled, and there's quite a difference. The former sounds like an activity associated with possibly unimaginable pain, and the latter, well, can be very titallating. Who doesn't like to be fondled by a welcomed suitor? Maybe I'm just jealous that I don't own stock in any one of these companies. Anyway, somebody should profit from war waged for oil, right?

posted by FuzzFinger @ 4/28/2005 06:09:00 PM