All taxes are penalties.
It helped soda sales in Montgomery and Delaware Counties...
“But it is just 3 cents!”
I could read that over 12% of food stamps goes towards soda.
Having been in the soft drink business for about 25 years as a general manager. I know the P&L numbers.
Having a 32 % drop in sales volume and only laying off only 40 out of 700 employees was just a start.
I’m sure Philly Coke is unionized and 40 was probably the number management and the union worked out for now.
More layoffs will be coming.
Coca Cola sells him the concentrate to make the end products, those always come with volume incentives to reach a certain annual volume increase.
It’s a substantial amount of money which he will lose.
This is going to be interesting how it all plays out.
I’d love to see his P&L statements.
Of course diabetics never drank the stuff anyway (I know since I am one) and kids will just eat more fast food and still be fat.
And on the good side, a bunch of union people can now get welfare and unemployment which probably is more money than they were making working hard at the bottling plants.
The capital city here in NM wants to do the same thing, but with a 2-cent-per-ounce tax on pretty much all non-water, non-alcohol beverages. That would more than double the current price of a two-liter bottle of soda. Diet, sugared, teas, energy drinks, sports drinks, all of ‘em. It would just apply to sales within the city of Santa Fe, but would be collected at the distributor level. The city wants to fund pre-K education with the money, but they’re already sitting on a multi-million dollar surplus for the city itself.
the company’s workforce has been reduced by about 40 positions.” and they reduced sales by 32%.
From their perspective it is a Win Win!, they knocked down to size a Big Greedy Business exploiting the Public and it’s own employee’s, then it created a potential 40 new democrat Voters as soon as they become dependent on Democrat Government Welfare.
Ah, but imbecile Mayor Kenny brags that he’s now raised millions for Pre-K education - that keeps the teachers union happy, and that keeps the donations coming to the ‘rat party, and that keeps the party faithful happy - and that’s all that matters......