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Forget Holiday Sales -- Struggling Retailers May Turn to Defense Contracts to Keep From Going Under

By Nick Turse, Tomdispatch.com. Posted December 16, 2008.


With the consumer economy on the skids, civilian companies may turn their attention to making products for the Pentagon.

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Is it possible that one of the Pentagon's contractors has a tripartite business model for our tough economic times: one division that specializes in crock-pots, another in adult diapers, and a third in medium caliber tactical ammunition? Can the maker of the SaladShooter, a hand-held electric shredder/dicer that hacks up and fires out sliced veggies, really be a tops arms manufacturer? Could a company that produces the Pizzazz Pizza Oven also be a merchant of death? And could this company be a model for success in an economy heading for the bottom?

Once upon a time, the military-industrial complex was loaded with household-name companies like General Motors, Ford, and Dow Chemical, that produced weapons systems and what arms expert Eric Prokosch has called, "the technology of killing." Over the years, for economic as well as public relations reasons, many of these firms got out of the business of creating lethal technologies, even while remaining Department of Defense (DoD) contractors.

The military-corporate complex of today is still filled with familiar names from our consumer culture, including defense contractors like iPod-maker Apple, cocoa giant Nestle, ketchup producer Heinz, and chocolate bar maker Hershey, not to speak of Tyson Foods, Procter & Gamble, and the Walt Disney Company. But while they may provide the everyday products that allow the military to function, make war, and carry out foreign occupations, most such civilian firms no longer dabble in actual arms manufacture.

Whirlpool: Then and Now

Take the Whirlpool Corporation, which bills itself as "the world's leading manufacturer and marketer of major home appliances" and boasts annual sales of more than $19 billion to consumers in more than 170 countries. Whirlpool was recently recognized as "one of the World's Most Ethical Companies by the Ethisphere Institute." The company also professes a "strong" belief in "ethical values" that dates back almost 100 years to founders who believed "there is no right way to do a wrong thing."

In the middle of the last century, however -- as Prokosch has documented -- Whirlpool was engaged in what many might deem a wrong thing. In 1957, Whirlpool took over work on flechettes -- razor-sharp darts with fins at the blunt end -- for the U.S. military. While International Harvester, the prior Pentagon contractor producing them, had managed to pack only 6,265 of these deadly darts into a 90mm canister round, Whirlpool set to work figuring out a way to cram almost 10,000 flechettes into the same delivery vehicle. Its goal: to "improve the lethality of the canisters." (In addition, Whirlpool also reportedly worked on "Sting Ray" -- an Army project involving a projectile filled with flechettes coated in a still-undisclosed chemical agent.)

In 1967, an Associated Press report noted that U.S. troops were using new flechette artillery rounds to "spray thousands of dart-shaped steel shafts over broad areas of the jungle or open territory" in Vietnam. "I've seen reports of enemy soldiers actually being nailed to trees by these things," commented one Army officer.

On a recent trip to Vietnam, I spoke to a Vietnamese witness who had seen such "pin bullets" employed by U.S. forces many times in those years. In one case, Bui Van Bac recalled that a woman from his village, spotted by U.S. aircraft while she was walking in a rice paddy, was gravely wounded by them. Local guerillas came to the woman's aid and brought her to a hospital where a surgeon found a number of extremely sharp, three centimeter long "pins" inside her body. Medically, it was all but hopeless and the woman died.


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See more stories tagged with: pentagon, consumer spending

Nick Turse is the associate editor and research director of Tomdispatch.com. His first book, The Complex: How the Military Invades Our Everyday Lives, an exploration of the new military-corporate complex in America, was recently published by Metropolitan Books. His website is Nick Turse.com.

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RE: Time for the money to stop flowing
Posted by: EncinoM on Dec 17, 2008 8:21 AM   
Current rating: 2    [1 = poor; 5 = excellent]
Great idea, lets put millions more out of work after the holidays.

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

From Mean to Green
Posted by: racetoinfinity on Dec 17, 2008 12:22 AM   
Current rating: 5    [1 = poor; 5 = excellent]
Here's hoping Obama will support and enable green industries rather than the masters of death.

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

Sorry, this comment has been removed from the system.
Why some people donot understand USA
Posted by: richholland on Dec 17, 2008 4:20 AM   
Current rating: Not yet rated    [1 = poor; 5 = excellent]
Because Jewish people are choosen as special by GOD
and capitalistic people are superior as well.

And in spite of this truth some people do not like americans

Let us call them terrorists and nuke them

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

Um, they already have.
Posted by: maxpayne on Dec 17, 2008 5:27 AM   
Current rating: 4    [1 = poor; 5 = excellent]
And we've been in Iraq for OIL that's needed to manufacture all that "cheap" shit for the holidays be it the junk foods or the plastics.

[« Reply to this comment] [Post a new comment »] [Rate this comment: 1 - 2 - 3 - 4 - 5]

Pretty concise depiction of "National Socialist" economics
Posted by: sausage on Dec 17, 2008 9:24 AM   
Current rating: 5    [1 = poor; 5 = excellent]
O.K., here's the Nazi reference...what do they call it?...Godwin's law?...and the topic string's not even all that long or developed.

But as I recall from high school history a feature of fascist economics is, the government is the primary customer of goods and services from privately held industries.

Another feature of fascist economics is, repression and suppression of organized, i.e. union, labor.

And now we're witnessing a third feature of fascist economics, state intervention in privately held corporations at their request. Think of the no-strings-attached bailout of the interstate banking industry or the money handed over to AIG which is now busily handing over your tax dollars in executive bonuses! The state, and the taxpayer, takes the risk, private management gets the profits.

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The reality of economical situatio.
Posted by: Terrance M on Jan 6, 2009 12:18 AM   
Current rating: Not yet rated    [1 = poor; 5 = excellent]
Almost manufacturer, retailers and all the business firms suffer so much with the economical situation of the country. Holiday season comes on the way that many just do something not so expensive to enjoy the season. In fact, Amazon.com, the undisputed champ of online retail has been raking in a lot of extra money this holiday season. Retail sales on the whole dropped 20% from last years' numbers, including mainstays such as jewelry and consumer electronics. Amazon's convenience continues to be its most valued asset, and with people spending less on gas, it makes more sense to take care of your shopping in an hour or two in front of the computer rather than spend hours dealing with traffic, other shoppers, and then having to traipse all over town because the malls' puny offerings' pale in comparison to the online shopping Mecca of Amazon. Amazon's holiday take for 2008 was down 1% from last year, which is amazing, considering that sales for jewelry – one of the items most popular in the holidays – suffered a 35% drop in sales this year. Read this article to learn more about how retailers fared this holiday season and to check out your options if you’re in need of extra cash.

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