Iberdrola to the rescue?

Posted: 27/06/2007 in Uncategorized
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I came across this little tidbit in the Portland Press Herald paper today. How many large corporations are left in the United States that are still owned by Americans? The propensity for more and more companies to sell to foreign interests is becoming ridiculous. This is especially bad in this situation. Read this little tidbit…

“By DAVID SHARP The Associated Press
June 26, 2007


“Spanish power utility Iberdrola SA plans to pay $4.5 billion to
“buy Energy East Corp., the owner of Central Maine Power Co.
“and other regional utilities, giving it a foothold in the United
“States, the companies announced Monday

“The boards of both utilities, meeting in New York and Madrid,
“agreed to the deal that would provide Energy East shareholders
“$28.50 per share, representing a 26 percent premium over
“Energy East’s closing stock price on Monday.

“The deal, which is expected to close next year, would require
“approval of shareholders, the Federal Energy Regulatory
“Commission and state agencies.

CMP is the largest electrical company in Maine. Sure, there was a deregulation trick played on us a few years ago. CMP had to divest itself of interests to promote “healthy” competition in the market place. CMP sold off the electrical producing portion of its business, and all they do now is distribute it. FPL (Florida Power & Light) bought the producing end of the business and now every thing is cool. CMP brags about how they’re reducing the costs of distribution. Of course, FPL is charging more for the electricity, so the bills are actually higher than they were a few years ago. But that’s OK because CMP isn’t charging more. You don’t have to use FPL for power, you can by from some other source, you know. Not that any other source is really any cheaper. But here’s the rub.

Energy East owns CMP. OK no problem there. Energy East owns FPL, hmmm. Problem developing? Maybe, since CMP was ordered to divest its producing assets. You see, there really wasn’t any divestiture of the producing part of CMP. CMP, a subsidiary of EE (Energy East) sold its portion of the electrical production business to FPL, another EE subsidiary. If this deal with Iberdrola goes through, our future with electrical power supply in Maine will become very fragile. We will be held to demands from a foreign interest and subject to their whims and wants. If an American business wants to open outlets or factories in almost any other country in the world, they will almost certainly be required to have a majority of stock to be held by citizens of that country.

Why is it foreign interests are allowed to come to this country and buy up company after company, and maintain 100% control? They owe us nothing, and we have no control over their actions, including having an ability to fix costs, and not worry about having to answer for it. These liberals in Washington and Augusta are quick to leap all over big oil and accuse them of price fixing and operating unfairly, why is it they don’t want to say anything against these foreign companies? Could it be that the leftists in the Capitol(s) prefer to have foreign companies own us? After all, most of them are operated by people with a bent towards Socialism. This would help these left leaning liberals to further their cause. Capitalism isn’t the grievous sin they want you to believe it is. Capitalism puts bread on the table and pays the rent. Well, Socialism does too, but it’s a poor quality bread, and the taxpayers pay the rent.

Take a look at your energy usage and the rates you have been paying over the last five years. See if I’m right. This is a bad deal for the state. Let your elected officials know your feelings about it, as well as the regulatory agencies. This is what the article says about our good comrade Baldacci : “Maine Gov. John Baldacci, also in Canada, said he was “cautiously optimistic” about the proposal based on a conversation with CMP President Sara Burns. He said he planned to meet with company officials upon his return to Maine later this week.” Not surprising, since Spain is a Socialist leaning nation. And further from Iberdrola: “The combination with Energy East fits with the philosophy of our strategic plan, will serve to enhance the international expansion we initiated several years ago in markets with stable growth, and consolidates our position as one of the world’s leading electricity companies,” said Ignacio Galan, Iberdrola’s chairman and CEO. “The combination with Energy East fits with the philosophy of our strategic plan, will serve to enhance the international expansion we initiated several years ago in markets with stable growth, and consolidates our position as one of the world’s leading electricity companies,” said Ignacio Galan, Iberdrola’s chairman and CEO.” Yep, I can see it now. All the electricity in the world controlled by just a few greedy Socialists. I think it may be time to stock up on those solar cells. We may need them pretty soon.

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