Corporate America is eating its seed corn — and our future



“Don’t eat your seed corn.” Every farmer gets it. Every American with common sense gets it. The only people who don’t? The people who run corporate America.

A farmer keeps part of this year’s crop for planting next year. He could sell it now and pocket more cash — but then there’s nothing to plant, nothing to harvest, nothing to live on later. That’s obvious to anyone who works the land.

Capitalism creates wealth. But when wealth is extracted at the expense of the product, the people, and the future — that’s not capitalism. That’s predatory ransacking.

But in today’s boardrooms, the rule is reversed. Short-term profit is all that matters. Strip the future bare, cash out, and leave the mess for someone else to clean up.

The rewards for this corporate vandalism are massive: fat bonuses, stock windfalls, golden parachutes. The damage — lost jobs, gutted industries, shoddy products — is someone else’s problem.

And the fastest way to pull it off? Slash costs to the bone. Ship jobs overseas. Push out the people who know the business best. Wreck customer service. Kill innovation. Downgrade quality until the product barely passes as the same thing you used to make.

Private equity and corporate strategists have a new trick for squeezing customers dry: “revenue mining.” That means cross-selling, upselling, jacking up prices, and hiding the real costs in creative contracts.

At first, it works. Existing customers tend to stick around — inertia keeps them from bolting right away. But each gimmick drives off a slice of loyal business. Combine that with lower service quality and cheaper products, and the exodus accelerates. Before long, the company is stuck with an overpriced product, lousy service, and no easy way to attract new customers.

I’ve watched this play out in my own life. My exterminator. My alarm company. My HVAC service. All wrecked by the same formula. The local phone number? Redirected to a call center overseas — if I can navigate the phone tree. The people I used to know? Gone. The contract? Suddenly much more expensive.

The service I get for my trouble? Less than before. And when the tech finally arrives, all he says is, “Things are much different now.” They might wring one more payment out of me, but I’m already shopping for a local outfit that treats me like a customer instead of prey.

In short, they ate their seed corn. They got one fat harvest out of me, then pushed me straight into the arms of their competition — for good.

At least my dentist is still a one-man shop who owns his own business. But even dentistry is under siege. Private equity-backed dental chains are giving dentistry a bad name, pushing unnecessary procedures just to meet revenue targets.

A USA Today investigation titled “Dentists under pressure to drill ‘healthy teeth’ for profit” uncovered one such example:

Dental Express was part of North American Dental Group, a chain backed by private-equity investors. At least a year earlier, the company had told dentists like Griesmer to meet aggressive revenue targets or risk being kicked out of the chain. Those targets ratcheted up pressure to find problems that might not even exist.

In my professional career, I have seen too many examples of the same pattern: private equity buying and destroying great businesses that had loyal customer bases. To be fair, I have also seen examples of private equity groups buying a business, embracing its product, and continuing to provide good service. I wish it weren’t the exception, though.

More often, private equity groups treat the acquisition as a mine: extract the capital through dividends and existing customers while accruing significant debt. In fact, the funds used to purchase the business are often borrowed and never even repaid.

Dig until empty, leave a crater, and move on.

An X user put it perfectly:

Some private equity is genuinely investing in the business to grow a solid business. This is good, full stop.

Some private equity buys up dying businesses, breaks them up, sells off the valuable bits and sometimes lets the worthless bits go through bankruptcy, taking advantage of bankruptcy laws to profit. This is good, actually, as it recycles the resources of dying businesses into good businesses.

The third type of private equity buys good businesses that are doing OK or even doing well. Then they sell off all the assets, load the company up on as much debt as they can, pay themselves giant dividends, and then take advantage of the same bankruptcy laws to discharge all the debt so they never have to pay it back. This is really bad.

This isn’t just happening to small companies. It’s hitting America’s industrial backbone.

I’ve written before about how Carlos Tavares, the former CEO of Stellantis (corporate parent of Chrysler, Dodge, and Jeep), awarded himself a $39 million compensation package for making short-term decisions that briefly maximized profit before revenue and sales collapsed, leaving dealers with overpriced, outdated inventory. He made off with the profits, then left behind a hollow pipeline for the dealers truly committed to Stellantis.

RELATED: Private equity’s losing streak is coming for your 401(k)

Greenseas via iStock/Getty Images

I also covered Boeing’s disastrous $43 billion stock buyback binge. The short-term boost to its share price came at the expense of critical investment in its products — and has cost the aerospace giant $35 billion since 2019. To plug the hole, Boeing had to raise another $15 billion in capital and push back the already overdue launch of the 777, citing “negligent engineering.”

That phrase used to be unthinkable in the aerospace industry. Boeing made it possible by gutting its engineering and technical staff to feed Wall Street.

The consequences keep coming. This month, United Airlines grounded much of its fleet after a failure in its proprietary “Unimatic” flight system. The airline claims it doesn’t know what caused the failure.

But I have a strong suspicion.

In recent years, United has aggressively outsourced its technical operations to contractors using foreign labor — often H-1B visa workers — at lower cost. One subcontractor, Vista Applied Solutions Group, boasts that it helps clients “increase productivity” while achieving “considerable cost savings.”

That’s great — until the system fails and planes can’t fly. United may have saved on salaries. The short-term reduction in salary expense has eaten United’s seed corn, leaving the company with a technology system that can’t keep its planes in the air.

It is imperative for those of us who defend capitalism to also repudiate those engaged in practices that give it a bad name. Capitalism creates wealth. But when wealth is extracted at the expense of the product, the people, and the future — that’s not capitalism. That’s predatory ransacking.

And it deserves our scorn.

Why Are There So Many Aviation Accidents?

Recent aviation tragedies and near misses do not come as a surprise. The path to safety failure has been years in the making.

United Airlines flight from LA to China forced to turn around mid-flight because pilot made 'embarrassing' mistake



A United Airlines flight from California to China was forced to turn around mid-flight because the pilot made the egregious mistake of forgetting to bring his passport, according to reports.

A United Airlines flight departed from Los Angeles International Airport just before 2 p.m. on Saturday. United Flight UA 198 was flying from LAX to Shanghai, China.

'How could someone mess up this badly at work?'

However, the pilot reportedly realized that he had forgotten to bring his passport on the international flight to China.

Radar shows the airliner traveling over the Pacific Ocean before making a U-turn and flying back to California.

Two hours into the flight, the plane had to turn around and divert to the San Francisco International Airport, according to CNN.

Citing a statement from United Airlines, NBC News reported that the "pilot on the flight did not have their passport."

“We arranged for a new crew to take our customers to their destination that evening," United stated.

Yang Shuhan — a Chinese passenger aboard the flight — told CNN that the pilot sounded “frustrated” while announcing on the intercom that he “forgot (his) passport.”

Data on FlightAware.com showed the plane landing in San Francisco shortly after 5 p.m. on Saturday.

“Your flight diverted to San Francisco due to an unexpected crew-related issue requiring a new crew,” a United Airlines spokesperson stated, according to travel site View from the Wing. “Once they arrive, we’ll get you back on your way to Shanghai as soon as possible. We sincerely apologize for this disruption and appreciate your patience.”

The failed flight touched down in Shanghai approximately six hours behind schedule. The New York Post reported that passengers were provided with "$15 meal vouchers and compensation."

There were 257 passengers and 13 crew members onboard the United airliner.

Alleged travelers on the plane vented on social media regarding the rerouted flight.

An alleged passenger wrote on the X social media platform, "UA 198 diverted to SFO because the pilot forgot his passport? Now stuck 6+ hours. Completely unacceptable. United, what compensation are you offering for this total mishandling?”

United Airlines replied, “Hi there. We sincerely apologize for this unexpected travel disruption."

An alleged passenger reportedly said on the Chinese social networking platform Rednote, "How could someone mess up this badly at work?"

Shukor Yusof — founder of Singapore-based Endau Analytics, an advisory company for the aviation industry — called the "absent-mindedness" mistake “embarrassing” and “unacceptable” for a prominent international airline like United Airlines, adding that it “shows a lack of discipline.”

A reported traveler told CNN, “I’m feeling pretty frustrated. Because of the delay, I have to reschedule all my plans for Monday, which is really inconvenient.”

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NFL Hall of Famer Terrell Davis: I was handcuffed, taken off United plane after simple 'tap' on flight attendant's shoulder



Super Bowl champion and Hall of Fame member Terrell Davis accused United Airlines of "mistreatment" after he was removed from a flight in mid-July.

Davis told reporters he was stripped of his dignity when he was arrested on a flight in front of his wife and children.

"I was powerless. I couldn't do anything," he told CNN.

'I believe if I were not a black man, I wouldn't have been in handcuffs.'

The incident occurred during a flight from Denver to Orange County, California, when Davis said that he gave a simple "tap" on a flight attendant's shoulder after the airline employee "either didn’t hear or ignored his request" for some ice and "continued past our row," Davis recalled.

"I calmly reached behind me and lightly tapped [the attendant's] arm to get his attention to again ask for a cup of ice for my son,” Davis wrote on Instagram July 15. "He shouted, 'Don’t hit me,' and left the cart to hurriedly approach the front of the plane. I was confused, as were the passengers in front of me who witnessed the exchange. I thought nothing of it other than this particular employee was incredibly rude and blatantly wrong in his accusations of me hitting him."

Davis went on to say that he thought that was the end of the incident until he was handcuffed and taken off the flight in front of his family after the plane landed. He later claimed he would not have received the same treatment if he were not black.

"I believe if I were not a black man, I wouldn't have been in handcuffs until they found out exactly what happened," Davis said, according to NBC News.

The news network also said the FBI confirmed that agents responded to "an allegation of a violent assault" on the United flight.

United Airlines told CNN that the flight attendant had been "removed" from duty while the company closely reviewed the matter.

"This is clearly not the kind of travel experience we strive to provide, and we have reached out to Mr. Davis' team to apologize," the airline said.

Nearly two weeks later, Davis revealed he had received a letter from United Airlines banning him from using the airline during its investigation.

The letter from United Airlines was posted to Davis' Instagram account Tuesday, and the letter said the airline's policy is to "delay or refuse any passenger whose conduct or condition threatens the safety of the employees and passengers."

The statement added, "Based on the nature of the reported incident that occurred on UA1061 on July 13, 2024, this shall serve as a notice that you are not permitted to fly on United Airlines or any regional carrier operating as United Express until a review of the incident by United's Passenger Incident Review Committee has occurred."

Davis added in the caption of the Instagram post that he was placed on United's "No Fly List after it was determined I did nothing wrong and was released."

He added, "While my family and I continue to have difficult conversations with our children, I will continue to fight for what is right for all passengers of [United]."

'We have apologized to Mr. Davis for his experience and continue to review our handling of incidents like this.'

NBC News also reported that on Tuesday — the same day Davis' follow-up Instagram post went live — United rescinded its travel ban on Davis and fired the flight attendant: "Mr. Davis received this letter the day after the incident. It was generated due to the report of the flight attendant — who is no longer employed by United. The day after the letter was sent, we discussed with Mr. Davis' team that it had been rescinded. We have apologized to Mr. Davis for his experience and continue to review our handling of incidents like this to protect our highest priority — the safety of our customers and crew."

However, the ordeal is still not finished, according to Davis' legal team at Stinar, Gould, Grieco, and Hensley. The law firm made its own post on Instagram alleging that United didn't contact the firm regarding any removal of Davis from the temporary ban list.

"United has claimed that this information was already communicated to the Davis Family through his lawyers. This is blatantly false," the statement read. "We continue to be disappointed by the inappropriate and disrespectful handling of this horrific incident by United's communication and legal teams."

The statement also called for an "overhaul" of the United Airlines "leadership" while alleging that United has attempted to "discredit the timeline of events."

United Airlines told Blaze News that the day after the letter was sent to Davis, airline officials discussed with Davis' legal team that the ban had been rescinded.

"We have apologized to Mr. Davis for his experience and continue to review our handling of incidents like this to protect our highest priority — the safety of our customers and crew," an unnamed spokesperson said.

According to United's own timeline, not only did the airline communicate to Davis' legal team the day after the initial letter was sent, it "communicated again" with Davis' legal team the next day about the letter being rescinded.

Lynn Smith — a public relations representative for Stinar, Gould, Grieco, and Hensley — provided Blaze News with the same statement from the firm's Instagram page. However, the spokeswoman added that United made "false claims" that "Mr. Stinar was informed of the travel ban being rescinded."

Parker Stinar is the founding and managing partner of the law firm.

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WTF! United Airlines kicks mom & baby off flight but keeps luggage because mom accidentally misgendered a flight attendant



After all the mechanical malfunctioning in its Boeing 737 planes, you'd think United Airlines would be doing everything in its power to keep customers coming back. But apparently that's not the case. In fact, United Airlines is booting people off planes.

Recently, a woman and her 16-month-old baby were kicked off a United Airlines flight when the mother accidentally misgendered a nonbinary flight attendant.

In a video, which has since gone viral, the mother explains how she, her mother, and her baby were “denied boarding" because while “speaking to one of the flight attendants, [she] got their pronouns wrong.”

Woman & Family Kicked Off This Airline for Saying This?youtu.be

If that wasn’t bad enough, the plane crew “took [their] luggage,” which contained vital medications for both the woman and her mother.

“I said ‘I'm really sorry ... I'm not very versed with pronouns,”’ she recounts in the video. “I was holding my son. He was having a temper tantrum. I had the car seat on my back. I wasn't really focusing on anything except getting my son's car seat on the flight and getting him comfortable and safe.”

The United crew deemed the situation a “hate crime” and allegedly barred the woman from flying United ever again.

“We don't even know how we're going to get back today,” she told the camera. “I don't know what to do ... I don't know what my rights are here.”

While Dave Rubin “can't speak to the legitimacy of her claims,” he does think it’s highly probable the mother was “not causing a real problem on the plane" — not to mention it’s a scenario we’ve seen a hundred times before.

“That is why these woke things are so dangerous,” he says. “They are breaking down the very fabric of society.”

To see the footage of the mother recounting her nightmarish United Airlines experience, watch the clip above.

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Are drags shows behind United Airlines' malfunctioning Boeing planes?



While Boeing planes continue to malfunction and fall apart mid-air, media outlets like Wired are insisting that noticing this alarming trend is just playing into a “far-right” conspiracy theory.

However, these “far-right” theories are grounded in a very real issue: DEI. It appears that the airplane manufacturer is placing diversity, equity, and inclusion above skills and safety.

Some right-wing influencers have gone as far as claiming it’s being done on purpose, but Glenn Beck doesn’t fall into that category.

“I don’t think it’s being done intentionally by Boeing,” Glenn says, acknowledging “this is a direct result of DEI.”

Stu Burguiere is in agreement.

“Go back to old school advertising,” Stu says. “You’d hear companies say stuff like, ‘We are obsessed with quality,’ ‘All we think about every day is how to make your experience better.’”

“Now their commercials are, ‘We never think about the product! All we think about is how many vaginas we have employed,’” he continues, adding, “It’s pretty freaking natural to think maybe quality isn’t their main focus.”

Many of the failing planes have malfunctioned under United Airlines' watch, and it just so happens their CEO has recently come under fire for a video of him performing as a drag queen.

“Isn’t it interesting that when you have the CEO of United come out in a dress and is like, ‘We’re doing transgender strip shows all the time, and pilots, and stewardesses, the mechanics, they love it,’” Glenn says, adding, “He seems to be so focused on drag shows and DEI.”


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Toxic Bosses Like United Airlines’ Vaccine-Pushing CEO Must Be Held Accountable

Anything less than total vindication for the plaintiffs suing United would be a serious blow to freedom of conscience and personal sovereignty.

United Airlines CEO Warns Flight Over Russia Could Lead to Crisis for US

ISTANBUL (Reuters) -The United States is in a "business recession" but the consumer is "strong", Scott Kirby, chief executive of United Airlines, the world's largest carrier, told reporters at an aviation conference in Istanbul on Monday. This can be seen as leisure air travelers come back stronger and faster than business travelers, Kirby said at the annual meeting of […]

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