McDonald's, PepsiCo urged to cease Russia op

Investment Analysis Clubs Macro Economic Trends and Risks
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McDonald’s, PepsiCo urged to cease Russia operations by NY pension fund

New York State’s Common Retirement Fund, one of the largest public pension funds in the U.S., is urging McDonald’s, PepsiCo and others to consider pausing or ending business operations in Russia amid the country’s ongoing invasion of Ukraine.

The fund’s trustee, New York State Comptroller Thomas DiNapoli, warned in a series of letters that companies who continue to operate in Russia and invest in Russian assets “face significant and growing legal, compliance, operational, human rights and personnel, and reputational risks.”

…

https://www.foxbusiness.com/lifestyle/mcdonalds-pepsico-russ…

Even if this little dustup doesn’t trigger WWIII it’s going to have a lasting impact on investments.

As a buy and hold investor I’m willing to ride it out, but those of you who hit the SELL! button over these things had better have already done so to avoid losses. Then again, maybe y’all can buy back in when it starts up again.

What’s that phrase? Oh yeah, catching a falling knife.

Desert (CVX, XOM, T, BNS, BKH, ED, ATGFF, NI, NWN, TRP, WRE, WGL, WTR, XEL, DUK, SO, KO & O) Dave

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Coca-cola has 12 bottling plants there - still doing big business.

KFC has 1000 outlets in Russia…through a holding company in the arab states.

a bunch of US companies have continuing operations.

Airbus, Boeing not shipping any spare parts/maintenance items to Russia now

Coke, Pepsi, KFC, etc, should SUSPEND all operations.

Plus, we don’t want no Russian oil. We still import it. But the alternatives are not much better. Venezuela, Iran, Saudi Arabia…

Too bad Obama and Biden put the screws to the US oil industry. Stopped the pipeline. Stopped drilling on the North Slope. Made bank and wall street financing impossible. Suspended off shore leasing on fed lands. Suspended leasing on fed lands in most states. So…instead, we get $4 and $5 and $7 gas depending where you are and it will GO HIGHER. Right around the corner is ‘summer gas’ blend and it usually causes another 30c jump.

Don’t look…but your NG prices are going sky high. Those firms who can switch will…and demand will go up and prices go up and up. NG prices follow oil prices. Up up and up.

So…if you buy Coca-Cola, Pepsi, buy KFC…think twice. They don’[t give a darn about the current situation, just the Rubles and Dollars.

t.

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Too bad Obama and Biden put the screws to the US oil industry. Stopped the pipeline. Stopped drilling on the North Slope. Made bank and wall street financing impossible. Suspended off shore leasing on fed lands. Suspended leasing on fed lands in most states.

That’s an…interesting point of view.

Biden has outpaced Donald Trump in issuing drilling permits on public lands. After setting a record for the largest offshore lease sale last year in the Gulf of Mexico, the Interior Department plans to auction off oil and gas drilling rights on more than 200,000 acres across Western states by the end of March, followed by 1 million acres in the Cook Inlet, off the coast of Alaska.

https://www.washingtonpost.com/climate-environment/2022/01/2…

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Energy independence is key to superpower status.

If Imperial Russia can pull your plug, you are powerless [pun intended].

The same applies to excessive globalism.

The Captain

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Nope. Beside massive pressure to stop all bank/investment company financing of the oil/gas industry…depite shutting down any North Slope permits…

Biden halts oil, gas leases

"https://abcnews.go.com/Business/wireStory/biden-halts-oil-ga…

Biden suspends oil-drilling leases in Alaska’s Arctic refuge

https://www.nbcnews.com/business/energy/biden-suspends-oil-d…

t

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Energy independence is key to superpower status.

Years ago, I offered that, to be secure, a country needs to be able to defend itself, feed itself, fuel itself, and finance itself.

The US abandoned any hope of financing itself with multiple waves of unpaid for tax cuts for the “JCs”.

In the late 70s, there were multiple attempts to impose a tariff on imported oil to give financial protection to higher cost domestic production, but they were all shouted down by the “we want cheap gas” crowd. When new technology made more sources of domestic oil cost effective, the government abandoned the old fleet average fuel consumption regs, in favor of a system that encouraged automakers to build nothing but the largest, heaviest, more fuel hunger, vehicles.

There was “bipartisan” tweaking of the “reformed” CAFE reg, but the trend remained the same. VW, who, at that time, did not have a large line of big SUVs and trucks, publicly called out how biased the “reformed” regs were:

Volkswagen responded to the July 29, 2011 agreement with the following statement: "Volkswagen does not endorse the proposal under discussion. It places an unfairly high burden on passenger cars, while allowing special compliance flexibility for heavier light trucks. Passenger cars would be required to achieve 5% annual improvements, and light trucks 3.5% annual improvements. The largest trucks carry almost no burden for the 2017–2020 timeframe, and are granted numerous ways to mathematically meet targets in the outlying years without significant real-world gains.

https://en.wikipedia.org/wiki/Corporate_average_fuel_economy…

So, here we are: dependent on China for rare earths and a lot of manufactured goods, and still influenced by foreign oil producers, because the mob, corporate lobbyists, and their elected representatives, all chose the quick, cheap and easy way, for forty years.

Steve

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Starbucks has stopped operations in Russia.

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NYT Breaking
Snippet

McDonald’s, Starbucks and Coca-Cola will pause sales in Russia, after weeks of pressure to respond to the invasion of Ukraine.

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Starbucks has stopped operations in Russia.

Excuse me while I amuse myself with images of Russian yuppies trying to start their day without their cup of foofoo coffee.

Steve

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McDonald’s, Starbucks and Coca-Cola will pause sales in Russia, after weeks of pressure to respond to the invasion of Ukraine.

{Update}

Pressure mounts on KFC to shutter its 1,000 Russian restaurants as McDonald’s Coca-Cola, Starbucks and Pepsi ALL halt business there indefinitely over Ukraine invasion

Sales of Coca-Cola and Pepsi will be halted in Russia indefinitely, companies said

Starbucks and McDonald’s said Tuesday they are closing all locations in Russia

Both companies say they will continue to pay their employees in the country

It leaves KFC parent Yum Brands as last major fast-food chain in Russia

McDonald’s has about 850 locations in Russia and some 62,000 employees

Starbucks has about 130 locations, which are operated through a licensing deal

…

https://www.dailymail.co.uk/news/article-10591047/McDonalds-…

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McDonald’s, Starbucks and Coca-Cola will pause sales in Russia, after weeks of pressure to respond to the invasion of Ukraine.

Let’s see, invasion started February 24, the news report is dated March 8. That’s 12 days. A week has 7 days. The lowest multiple of weeks is 2 or 14 days.

Typical NewsCrapCrapCrap.

The Captain
trust the news media at your own peril