Stanley Tools Moving to Bermuda

Fox News TV | 5/9/02

[pabianice]

Fox News reports that Stanley Tools is moving its headquarters from Connecticut to Bermuda to escape US and CT taxes. The Dems are having a fit and are threatening legislation to prohibit such moves. Labor Unions are cheering the Dems on.

Developing.

[pabianice]

"Unions. Proudly putting their members out of work."

[El Sordo]

Sounds like a great start at never having a new business in this country again.

[Jolly Green]

From a purely management perspective, this would seem like a very foolish move. They are talking about saving $30 million a year, according to news reports. I should think that a lot of negative publicity would cost them far more than that.

[Willie Green]

Perhaps Stanley corporate management is more concerned about their personal tax obligations rather than savings for the company.

[sinkspur]

I should think that a lot of negative publicity would cost them far more than that.

Most of their competitors are offshore.

It's either move or continue to lose market share.

What "negative publicity?" Do people really care where the headquarters of a company is located? Most of the plants are still here.

[Noumenon]

Atlas shrugs

[Bobalu]

You can always spot a developing tyranny.....it will begin to restrict escape... remember that the Berlin wall was erected to keep people and their skills (and money) from escaping.

Smart people (and their companies) will flee a socialist tyranny... a free man will vote with his feet.

[RobFromGa]

The late Ayn Rand stated: "No Comment."

[DownWithGreenspan]

But they really don't need to go all the way to Bermuda just to thwart the labor union thugs, do they? Why not just relocate to a lower-tax, right-to-work state in the South?

I would assume that ANY Southern state has less confiscatory taxation than Connecticut. Of course, the idea for Stanley might be to avoid the confiscatory federal taxes and regulations as well. More power to you, Stan!

DWG

[RobFromGa]

And Jim Jeffords readies the "Anti Dog-Eat-Dog" Act.

[KantianBurke]

You know, college grads are being told no one owes them a job when they get out. Why are those union thugs any different? No one owes them anything.

[Lazamataz]

Fox News reports that Stanley Tools is moving its headquarters from Connecticut to Bermuda to escape US and CT taxes. The Dems are having a fit and are threatening legislation to prohibit such moves.

How the eff do you write legislation preventing this?!?!?

"You vill continue to manuvacture products in zee Fatherland. If you do not, zings vill get very... complicated."

[Lazamataz]

From a purely management perspective, this would seem like a very foolish move. They are talking about saving $30 million a year, according to news reports. I should think that a lot of negative publicity would cost them far more than that.

Not on my part. I need a whole house full of tools, and anyone who spurns unions and leaves a socialist northeastern state actually gets GREATER consideration by me than otherwise.

[Springman]

I heard about this today on Paul Harvy, that is what I thought.

[caa26]

But what about tarriffs? Stanley Tools is going to feel pretty stupid if all of their products have a tarriff placed on them after they set up shop in Bermuda. Why not just move to Florida or Texas where they can avoid state income taxes and deal with less regulations?

[StriperSniper]

$30 mil is 37% of what they pay in the dividend.

[shaggy eel]

,,, Stanley had product lines made in China, didn't it? I understand Hutchinson Whampoa is developing a large port facility in Bermuda too.

[ArcLight]

Let 'em move. I sure won't buy another screwdriver from 'em. Jerks.

[SauronOfMordor]

But what about tarriffs? Stanley Tools is going to feel pretty stupid if all of their products have a tarriff placed on them after they set up shop in Bermuda.

The headquarters office is going to Bermuda. The factories stay here. No tariffs on good made in the USA, regardless of where the CEO has his office

[discostu]

Tariffs only apply to stuff imported, if they leave the factories here no tariffs (same trick all the Japanese companies use), but taxation is based on where the headquarters are. Overall a pretty sharp decision, move the cheapest part of the organization, leave the rest, very few costs go up (phone calls to the factories and some mail) and your tax footprint shrink. They can even still use the Made in the USA stickers since it will be.