The Good, the Bad & the Ugly
ABC showcases successful Walgreens distribution center employing disabled; Couric proposes that stamps are a ‘safer investment’; ‘Good Morning America’ warns recession fears causing a spike in arson.

February 13, 2008

The Good

        It’s always a good thing when the media notice something a corporation is doing for the betterment of society.

     ABC’s February 11 “World News with Charles Gibson” featured an Anderson, S.C., Walgreens (NYSE:WAG) distribution facility where 40 percent of its 700 employees have a disability.

     "At first glance, this Walgreens distribution center in Anderson, South Carolina, seems ordinary enough. But look a little closer,” ABC correspondent Betsy Stark said. “What's special about this place is that Julia Turner and more than 40 percent of her 700 co-workers are disabled. Julia has Down syndrome. Derrill Perry who works right next to her, mentally retarded.”

     According to Walgreens executive Randy Lewis, the facility isn’t struggling in the category of productivity.

     “Lewis said Anderson's is no less productive than other distribution centers,” Stark added.

The Bad

     Fear not, ye economically downtrodden: Katie Couric is looking out for you.

     The "CBS Evening News" broadcasts over the last few months have found a multitude of ways to frame the U.S. economy in the worst possible light, so much so that Couric compared CBS News correspondent Anthony Mason to the grim reaper on a recent newscast.

     But Couric offered a solution to the pending doom and gloom you see every night on the news on the February 11 "Evening News" – stamp futures.

     "And are you looking for a safer investment than the stock market these days?" Couric asked. "Well, how about postage stamps? The post office announced today the cost of first class postage is going up a penny in May to 42 cents. So if you buy one of those Forever Stamps now for 41 cents, it'll be worth 42 in May. Return on your investment, 2.4 percent tax free."

     Yes, Couric recommended investing in the "Forever Stamp." The "Forever Stamp" is offered by the U.S. Postal Service, and costs the same price as a first-class postage stamp, but is always good for first-class postage, regardless of any increase in postal fees. Couric's suggestion implied flipping those stamps when the postage rate goes up to 42 cents on May 12 for a penny-per-stamp profit.

     While a guaranteed 2.4 percent return wouldn't be bad, it's less than other safe investment options. For example, the yield on a one-year certificate of deposit at many banks has a higher return of 3.5 percent, according to BankRate.com.

     Let's hope the "Stamp Bubble" isn't next.

The Ugly

     Just when you thought the economic doom and gloom couldn't get any worse in the news, "Good Morning America" has determined the assumed recession is now causing arson.

     "We have news this morning on the home foreclosure front, word that cash-strapped homeowners are taking desperate measures," ABC co-host Diane Sawyer said.

     The February 11 "GMA" has determined "cash-strapped homeowners" are taking "desperate measures" – that is, they are burning down their homes to avoid foreclosure. That notion ABC's Bianna Golodryga based upon two isolated cases of anecdotal evidence.

     One home supposedly burned because Sheryl Christman, a 38-year-old Michigan woman, was three days short of foreclosure. She pleaded no contest after the Sept. 1, 2007, arson. The other case was a Colorado arson where a man "may have" committed arson before an "imminent foreclosure."

     But even Golodryga said some of these arson cases are just coincidence. "Experts say that's all they have right now – coincidences," Golodryga said.

     Sawyer led into the story citing an Associated Press/IPSOS Poll that indicated 61 percent of Americans "believe" we are in a recession and that is causing these "desperate measures." She cited that poll even though economists can't tell whether the country is in a recession or not – until the official data come out much later.

The Good, the Bad & the Ugly tracks the best and worst media coverage of business and economics. Readers are invited to submit suggestions or news tips to Staff Writer Jeff Poor at jpoor@mediaresearch.org.