Then and Now: Mississippi Power in line for another Credit Downgrade after Kemper Cost Continue to Skyrocket

RFP gets the credit for this post for doing most all of the legwork gathering these blasts from the past. First up is the latest from Moody’s Investor Service.

Moody’s Investors Service placed Mississippi Power Company’s ratings on review for another downgrade after the company last week announced a ninth extension for placing the now $7 billion Kemper energy facility into service using lignite. ~ Mary Perez 2-6-17

“There’s a big capital cost, I get that, but the energy coming out of this technology will be super-cheap,” Fanning said.He said Kemper’s technology, which would capture carbon dioxide and other byproducts and sell them to other users is “a home run, not only for the state of Mississippi but for America and the world.” ~ Tom Fanning, Chairman and CEO of Southern Company

Bonus quote from the above article:

Former New York City Mayor Rudolph Giuliani, Republican U.S. Rep. Gregg Harper and others attacked President Barack Obama’s administration and environmentalists.

Giuliani said those opposed to burning coal and drilling for oil are “living in some kind of ideological dream world that makes sense only to you.”

“As long as I’m governor, Mississippi is going to have an energy policy, and our energy policy is more American energy. It’s projects like these and efforts like this that will help us (economically), not only now, but in the long term. . . This is going to produce reliable power for Mississippi for decades and decades to come.” ~ Former Mississippi Governor Haley Barbour

Bonus quote:

But Barbour praised the plant for its relative eco-friendliness, saying, “The Left said there’s no such thing as clean coal — Well, this is it!”

Continue reading “Then and Now: Mississippi Power in line for another Credit Downgrade after Kemper Cost Continue to Skyrocket”

Tuesday Miscellany: Donald Trump is not the only World Leader on Twitter plus Stuxnet

The pols in DC have been on a spending spree since the turn of the century and our national debt has skyrocketed. Donald Trump has been promising his supporters the great wall of Mexico paid for by the Mexicans and on Twitter he keeps clicking his heels together while repeating that meme evidently in the hopes that if he says it enough, people will accept his alternate version of reality. The problem for Trump, his wall and threats of border taxes on auto makers, beyond simple economics, is the Mexican people do not seem to want to cooperate with Trump’s scapegoating of them and like Trump, the Mexican President also has access to Twitter:

The problem I see is today’s tough talk on trade seems to ignore both history and the basic fact that the US is the second largest world exporter behind China:

It would be a mistake to think the rest of the world will stand by and do nothing while we slap border taxes on their exports to us and proportionally we have way more to lose than say Mexico and Japan. Continue reading “Tuesday Miscellany: Donald Trump is not the only World Leader on Twitter plus Stuxnet”

You Decide 2016: Giant Douche or Turd Sandwich

Can’t help but notice even our own Tom Callaghan has grown steadily more disenchanted with the choice between a Giant Douche (Trump) and a Turd Sandwich (Clinton). Folks it is far better to laugh than cry:

Continue reading “You Decide 2016: Giant Douche or Turd Sandwich”

Supreme Court grants Cert on Ex Rel Rigsby….

Breaking news this AM on twitter folks. Look for State Farm to do well in what has been a very favorable venue for them so the case is bound to die there. After all, the NFIP ratepayers are really a bunch of freeloaders and all 5,206,241 of you don’t equal up to one member of the Rust family let alone State Farm in the eyes of the Supreme Court.

Finally for those that missed it last week we have this from PBS and our own Magnum:

The Business of Disaster ~ PBS Frontline

Jim Brown: Louisiana joins in giving bailouts to Wall Street

Thursday, January 29th, 2015
Baton Rouge, Louisiana

LOUISIANA JOINS IN GIVING BAILOUTS TO WALL STREET!

Well, here we go again. Big banks and major insurance companies are “high-fiving” each other after they won big in Washington last month. We thought lawmakers had learned an expensive lesson after the financial crash in 2008 that led to massive bailouts at taxpayer’s expense. Back then, the financial industry was allowed to carry on high stakes gambling with your money. And now, it’s déjà vu as congress has reopened the casino doors.

Following the 2008 financial meltdown, congress used a little common sense and passed legislation known as Dodd-Frank, that limited banks and insurance companies from engaging in risking investments backed up by the taxpayer. “Go ahead and gamble on high-risk investments if you want, but don’t expect a bailout,” so the logical reasoning went.

High-risk derivatives were one of the major financial culprits that led to the financial reforms. Insurance companies like A.I.G. were insuring risky Wall Street investments, knowing full well that if things went bad, old Uncle Sam would be there to pay for the damage done. And since insurance companies like A.I.G. are regulated at the state level, regulators in Washington paid little attention.

Here’s what happened that caused the financial crisis. Insurance regulators had for years allowed A.I.G and other insurance companies to privatize the gains but socialize the losses. The fat cats at A.I.G. got multi-million dollar bonuses year after year, but when the losses had to be paid, it was the taxpayer, you and me, that were called on to cover all the wild-eyed spending spree that regulators allowed to take place. Continue Reading…………..

Get on the wire to every squadron around the world………

Attention politicians that did not read the Biggert-Waters Flood Insurance Reform Act of 2012 before voting for it.

Federal flood insurance reform demands a renaissance of reason ~ Steve and Peggy Nicosia

Here is what you don’t hear in the mainstream media outlets like the New York Times:

(3) 40 percent of premium dollars going to the NFIP and private insurance companies for program administration, (4) adjusters who wrongly attribute wind damage to the flood program, and (5) 40 percent of federally backed mortgages required to carry insurance do not carry it — have led to premium increases of up to 3,000 percent and much more. Policies now costing $500 can increase to more than $20,000 when rates are fully phased in because structures are deemed out of compliance by Biggert-Waters.

True NFIP reform means clearing the rats off the money, not bankrupting your own people so insurance companies based in Illinois can make a fortune. And that’s the bottom line……..

BREAKING: Snake State Farm facing criminal investigation in Texas over Hurricane claims handling

Gee folks what else is new?  I wonder who the boogie man will be this time now that Dickie Scruggs isn’t around.

Texas’ Gregg Cox better get ready because when Ed Rust feels threatened he does very nasty things to people.  James Robie now sleeps with the fishes so Ed may need to break out the Wiretapper but I can pretty much guarantee Skadden partner Sheila Birnbaum will be slithering about. Gregg this will get very nasty indeed dude.

ABC News has all the skinny.

sop

Insurance Omnibus: Rigsby, Rossie and RE plus Pols on the take and Mississippians sold out by Team Phildo

Image courtesy of Mr Liberty Mutual
http://mrlibertymutual.com/

A bit over a week ago a print journalist familiar with Slabbed’s coverage of the post Katrina insurance wars sent me this link to a National Underwriter top 10 insurance living legends piece that featured Dickie Scruggs (one notch above true living legend Karen Clark) at the 7 spot.  We used to feature the NU a good bit on Slabbed but that ended after they ignored the insurance industry getting its ass kicked in Corban v USAA where Nationwide Insurance’s lawyers made particular asses of themselves asserting wind coverage was properly denied if, after the wind 99% destroys the covered property, storm surge destroys the other 1%.  The industry contends in such a scenario taxpayer provided coverage under the National Flood Insurance Program was the proper source of coverage and that is exactly the way they adjusted their claims here after Katrina tendering flood insurance policies pretty much sight unseen and denying any wind coverage that would come from their coffers.

For those of you folks still wondering why the country is broke after figuring out it is not the union pipe fitter that goes to work everyday for 6AM at the shipyard, or school teacher unions or Mexican ditch diggers, I’d submit if you multiply the above scenario 1000 times and you’d find the answer as most of the politicians that matter on any level are owned by some special interest.  To illustrate the point allow me to update several insurance business world stories Slabbed covered in years gone by and start with that NU story I linked above.

A few weeks ago word filtered out the Rigsby sisters false claims act complaint against State Farm would be moving to trial on the exemplar claim known around the blogs as McIntosh v State Farm.  State Farm is PR savvy and when that case heats up, invariably David Rossmiller, a partner at the Portland Oregon insurance defense firm of Dunn Carney pops up like a fly on shit regaling us with his knowledge of the minutiae of insurance contract law.  Since Rossie, as he is known on Slabbed, surfaced blogging on Hurricane wind water cases of the type he has never tried in Oregon, it naturally aroused suspicions locally that he was an adjunct of State Farm PR, a view now widely shared in the local print media in South Mississippi.  Back in the day Rossie was a darling in local insurance defense circles and on the Hard Line GOP political resource YallPolitics in the blogosphere, which still features the insurance litigation here on the coast in a section termed Scruggs scandal and it is indeed a popular insurance industry meme that the wind damage down here was all a figment of Dick Scruggs imagination thus the lumping.  Scapegoating trial lawyers in still popular in GOP circles folks but that stands to reason since the GOP is the party of big business special interests but I’m getting ahead of myself.

So how does a lawyer that has never tried a wind water Hurricane case emerge as a media expert in trade journals and business publications like the Wall Street Journal? Continue reading “Insurance Omnibus: Rigsby, Rossie and RE plus Pols on the take and Mississippians sold out by Team Phildo”

The best Senate Banking Committee money can buy to hold hearings on JP Morgan’s two billion dollar plus trading loss

Not surprisingly, Alabama Senator Dick Shelby leads the list of Wall Street spit shine boyz JP Morgan has on the hill.

Now sit back, grab a popcorn, and watch as the bribees pretend to interrogate their paymaster.