Archive for the 'Uncategorized' Category


Why Bell Canada is losing customers?

May 09, 2010 in Uncategorized

So as of late I have been traveling extensively to the United States. As such I have been looking around at carriers and their competitiveness.  First off: None of the Canadian providers are cost competitive with major ones in the US. In the US it is fairly common for no plans to charge long distance fees. In Canada I can’t even make a call that is within a 30 minute drive without charges. Data plans are $30 for unlimited… I pay $30 for 1GB. Just absolute crap. ATT offers plans that are cheaper with no roaming, long distance or data charges in Canada/US for cheaper than any Canadian provider offers a Canada only plan. Just think of the business/economic loss due to the lack or disincentive to communicate and share. I know it has really hindered my ability to search and talk while down here. But now getting to the major point. Rogers offers a North American Data option for $10 a month for up to 1GB…. Bell offers a “US Plan”… which for the awesome price of $10 per month fixed plus $1 per MEGABYTE does the same. Pretty much makes it useful only for email because in Canada I typically use 20-30MB a day. The worst part was my interaction on the phone. They basically said that was our price and we can’t do anything about it. I think that is unacceptable to not be competitive with your direct competition. I mean I would not care if it was $15 for the one month versus Rogers $10… but comparing a $10 charge with a potential for several hundred seems to be ludicrous at best.  BELL CANADA if you read this… The way you dealt with this situation was below unacceptable. I needed to get a ATT SIM and buy their $20 UNLIMITED Data plan for the month.  The fact they can offer me a service for $20 for unlimited while you wanted to gouge me is terrible. Also my billing for my Satellite is repeatedly error filled and requires me to call in… from my house in Canada that gets terrible reception despite being in one of the most tourist filled areas in Ontario (Thousand Islands Parkway). I drop calls repeatedly and get no service more often than not.As soon as I have a chance I am going drop all my Bell services and go completely American based service since I get better signal and service quality. You would think for a customer that does $2500 in business a year would be treated a bit better. Sorry for the rant. </End Frustration> 

Really? That is your logic.

Jan 22, 2010 in Uncategorized

A visionary president once said:

“My resolve to reform the system is only strengthened when I see a return to old practices at some of the very firms fighting reform; and when I see record profits at some of the very firms claiming that they cannot lend more to small business, cannot keep credit card rates low, and cannot refund taxpayers for the bailout. It is exactly this kind of irresponsibility that makes clear reform is necessary”

So for those of you that don’t know Obama has been proposing bills that fight at the very heart of capitalism.

1) Tax on assets of 0.5% per annum on financial institutions whether or not they took government money or paid it back. Just an indiscriminate tax all financial businesses holding $50B in assets, despite if they dealt in MBS or other securitization procedures that the White House blames whole heartedly for this mess. Why not a mortgage broker tax too? They were the foot soldiers in this mess.

2) Reinstate draconian measures to limit the size and dealings of banks. So any bank holding government backed deposits cannot invest, transfer money or run a hedge fund or private equity company. Who does the government thinks funds innovation in this era? Way to not allow companies to integrate and leverage their size.

So his latest public address (attached below again)

“cannot lend more to small business, cannot keep credit card rates low, and cannot refund taxpayers for the bailout”

“cannot lend more to small business” – Isn’t it their choice who they lend funds to and what risks they take? If the businesses were solid, had good cash flow and were lucrative to lend to…. they would.  However there are other oppurtunities right now presenting much better returns, and that is the function of efficient capital allocation.

“cannot keep credit card rates low” – Credit card defaults are rising… and they need to address that risk and build reserves. The concept seems easy to understand: we are losing money on this business, lets accurately price the risk. It almost seems like Obama wishs that these companies subsidize poor performing arms of their businesses with profits from the other arms.

“Cannot refund taxpayers for the bailout” – The companies who could, have repaid the tax payer as fast as they could to escape the often ridiculous scrutiny of this administration. The other companies who haven’t, clearly couldn’t pay it back and this was known ahead of time. AIG for instance. Let’s lend them hundreds of billions, make all the smart people quit and demonize the rest… and then realize that their is no hope of ever recovering the money. At this point they are going after the other healthy businesses. If this isn’t punishing success I don’t know what is a better example.

Capitalism has never been stronger.

The Stimulus Package Explained

Feb 28, 2009 in Uncategorized

Found this on the web. Anonymous author. Pretty much a good summary… Obama really had a chance to make a difference and I don’t think this is it. Warren Buffet seems to agree that this bill is A)Somewhat lacking and B)Will cause major problems in the future. Housing needs to fall inline with a single income salary.  

Shortly after class, an economics student approaches his economics professor and says, “I don’t understand this stimulus bill. Can you explain it to me?”

The professor replied, “I don’t have any time to explain it at my office, but if you come over to my house on Saturday and help me with my weekend project, I’ll be glad to explain it to you.” The student agreed.

At the agreed-upon time, the student showed up at the professor’s house. The professor stated that the weekend project involved his backyard pool.

They both went out back to the pool, and the professor handed the student a bucket. Demonstrating with his own bucket, the professor said, “First, go over to the deep end, and fill your bucket with as much water as you can.” The student did as he was instructed.

The professor then continued, “Follow me over to the shallow end, and then dump all the water from your bucket into it.” The student was naturally confused, but did as he was told.

The professor then explained they were going to do this many more times, and began walking back to the deep end of the pool.

The confused student asked, “Excuse me, but why are we doing this?” The professor matter-of-factly stated that he was trying to make the shallow end much deeper.

The student didn’t think the economics professor was serious, but figured that he would find out the real story soon enough.

However, after the 6th trip between the shallow end and the deep end, the student began to become worried that his economics professor had gone mad. The student finally replied, “All we’re doing is wasting valuable time and effort on unproductive pursuits. Even worse, when this process is all over, everything will be at the same level it was before, so all you’ll really have accomplished is the appearance of doing something when all we did was the destruction of what could have been truly productive action!”

The professor put down his bucket and replied with a smile, “Congratulations. You now understand the stimulus bill.”

Bank the rest!

Jun 02, 2008 in Uncategorized

Ok, so on my disappointing Sunday night I was coaxed into watching Sex and the city (At gun point). Now the most interesting thing about the night was one of the ads by Scotia bank. Yes the bank infamous for their “Your richer than you think” commercials.

Well the industry famous for subprime, the housing crisis has out done itself with the  Bank the rest program. For consumers who really have no clue how to live within their means you can now “save” with every purchase you make! Score!

You see for every purchase you make, you can choose to have it rounded up to the nearest dollar or five dollars. The difference is “conveniently” deposited into a saving account that costs a fee to remove from directly (you can transfer funds from one account to another).

The fact that this product exists, does not lend itself to sustainable society. Remember 50% of americans (Canadians savings rate is note very much better, but we have CPP) aged 50-55 have less than $15,000 saved for retirement (National Post). Also out of the 120 million tax payers, 20 million took out loans to get their stimulus checks early. Is that sad? U.S. Government consumes 89% of the entire world savings for the last two years, to fund their account deficit and now their own citizens borrow money to get that borrowed money a few weeks early.

I am really curious on how this baby boomer generation is going to be in 10 years or so and what effect it is going to have on me. Comments?