Just to reiterate and solidify what a joke we are when it comes to credit. S&P placed Boeing on credit watch negative because of strike related financial risk?
Meanwhile, the financial engineering over the past two decades, the lack of real leadership, the reduction of quality control in their supply lines due to efficiency ratios for financial performance, among many other factors, never enter the credit rating. How is that for burying the real bodies of a crisis situation? Boeing is just a prime example of the blame shifting and lack of accountability throughout the financial sector.
Twelve years ago the majority of Boeing board members had direct private equity underwriter (PEU) affiliations (6 out of 11) while a seventh lobbied for the PEU association. Board members are recruited for their specific skills and background. Over half of the 2012 Boeing board knew PEU financial machinations which includes significant cost cutting.
The public has seen Emergency Room care plummet quality wise under PEU ownership. Vox reported:
When private equity comes for health care, though, the result is human suffering: Elderly and intellectually disabled people sitting in puddles of their own waste, sick patients not getting the care they need, worse outcomes for patients.
Oddly enough, I recently flew next to a Medical Ambulance pilot. His employer is private equity owned. He'd recently reached out to friends, professionals in a variety of industries, and they all said the same thing. "You can't believe what they (executives) are doing here!" Across the board senior leaders were blowing through basic and longstanding practices.
I'm sure some worked for PEU affiliates while others, like Boeing, had PEUs on their board. The game will continue as long as capital can be had.
