Group Mocks CME’s Financial ‘Struggle’ With Bake Sale

UPDATED 06/13/11 10:19 a.m.

CHICAGO (CBS) — A group held a bake sale Monday morning, mocking the “struggling” Chicago Mercantile Exchange and its threats to leave the state because it’s losing money due to a tax hike.

As WBBM Newsradio 780’s Mike Krauser reports, the group, which is calling itself the Grassroots Collaborative, sold muffins outside the CME Headquarters, 20 S. Wacker Dr., beginning at 10 a.m.

Members say almost $1 billion in profits last year for the firm is apparently not enough.

LISTEN: Newsradio 780’s Nancy Harty reports

The collaborative is made up of unions and activists, responding to CME Group executive chairman Terrence Duffy’s assertion that he might move the company out of state because of the hike in the corporate income take.

Duffy says the hike in the corporate state tax rate from 7.3 percent to 9.5 percent will cost about $50 million dollars this year.

The CME is joining a rebellion over the tax hike.

Peoria-based Caterpillar made headlines in March for a letter indicating that it might leave the state, but chief executive officer Doug Oberhelman decided to keep the company in following a meeting with Gov. Pat Quinn.

Later, Quinn offered Motorola Mobility $100 million in financial incentives to keep its corporate headquarters in Libertyville.

Navistar and Sears, Roebuck & Co., have also reportedly considered moving out of Illinois over the tax hike.

The CME Group donated $200,000 Mayor Rahm Emanuel’s campaign, and Emanuel has said he expects the firm to stay.

The firm has also given Gov. Pat Quinn nearly $100,000 in the last two years.

On Monday morning, Crain’s Chicago Real Estate Daily reported that CME also plans to sell and lease back two of the three buildings in the Board of Trade complex at 141 W. Jackson Blvd. – the historic main tower and the annex to the south. CME would keep ownership of the east building, which houses its financial derivatives office, Crain’s reported.

  • larry

    Absolute greed !! Remember folks, when someone/something wins on Wall Street—————————————————-someone/something LOSES !!! If you think money leaves BIG pockets—–You’re who they’re looking for. Every single person who has ever invested, should tell you (if being honest) that they were trying to get something for nothing. (as minimal risk as possible) That is the basis for the greed that has run rampant in our financial sector————absolute, pure, unadulterated, GREED good luck with that !!!

    • Vincent

      Larry- You don’t think that 9+% on corporate tax ON TOP OF FEDERAL CORPORATE TAX is excessive( regardless of how much money you make)? Is making a lot of money an excuse to be ripped off?

      If you step back a moment, with all the taxes we pay all the taxing bodies, we aren’t that far from the Soviet Union, except that the rulers of the United States con us into believing we are free.

  • steve kelly

    It is called good business. If your bottom line can increase or not lose money than it just makes sense. Call it greed, but I would rather have my money with people who know how to make money rather than lose or just spend it. You believe this is greed beause you have less. Hope you vote for a flat tax next so that everyone is on a LEVEL playing field. Have you ever shopped around to find the best car deal or used a coupon? This is know diffferent….a way to save a dollar which is what most forgot how to do!

    • larry

      What I believe Steve is that, those who “have” take from those who “have-not”——that is the nature of the beast. You don’t believe that your money-managers are conducting “good business” by shopping around for coupons, or good car deals ? Do you ? No, they are looking for the weak, and they are pouncing. However , the argument that weeding out the weak and prospering the strong….that ends up with ALL strong battling each other——–hopefully, that comes to fruition sooner than later.

      • IfAWoodChuckCould

        How does one take from the “have-nots” if the “have-nots” “have-not”?

  • Vincent

    Read between the lines guys. Major companies are threating to move, and some have gotten concessions because of thte threat. Two points:

    1) If existing companies are thinking of moving, do you think we are attracting more business in the state?

    2) Why are SOME companies getting exceptions? Sort of like Obamacare waivers.

    Quinn is a moron. He has been in public office far too long, as has Mike Madigan. For some reason, Illinoisians, particularly Chicagoans are OK with being perpetually ripped off by our governments. I just don’t get it.

  • Centurion

    THE CME MAY LEAVE. They should open up shop in HYDERABAD.
    GOODBYE CME…SO LONG CME…nobody CME. The CME with its electronic trading initiatives have eliminated thousands of jobs for clerks, runners, etc etc etc. GOOD BYE CME, PLEASE LEAVE, your not wanted in Chicago.
    Now, Idiot Quinn gave Motorolastan $100MM dollars. Motorolastan in turn will hire 400 new employees…95 percent of which will be on H1B visas from India and Pakistan. NICE MOVE QUINN……YOU ARE A MORON! LET MOTOROLA LEAVE. They can move to KABUL and not have to worry about those pesky H1B visas anymore.

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