Wednesday, August 8, 2012

Poppa Obamacare

John Schnatter, founder and owner of Poppa John's Pizza is letting us know the pizza wars will take a new direction in 2014.

In addition to pepperoni, cheese, onions and garlic all pizza's will come with a new topping.

Obamacare health insurance.

Yes, your 2014 pizza's will have a price increase to fund the cost of health insurance for everyone (including your deadbeat neighbor).

"Our best estimate is that the Obamacare will cost 11 to 14 cents per pizza, or 15 to 20 cents per order from a corporate basis," Schnatter said.
 "We're not supportive of Obamacare, like most businesses in our industry. But our business model and unit economics are about as ideal as you can get for a food company to absorb Obamacare," he said.
"If Obamacare is in fact not repealed, we will find tactics to shallow out any Obamacare costs and core strategies to pass that cost onto consumers in order to protect our shareholders best interests," Schnatter vowed.
While 11 - 14 cents may not sound like much this is just one more line item cost that must be passed on to the consumer.
So when ordering your pizza you can still hold the anchovies but not the health insurance.
Bigger health care, higher prices, Poppa Washington.

Thanks to Henry Stern for the tip!

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