Small Biz Talks to White House - CNBC Street Signs

CNBC Street Signs December 1, 2011: >> Jobs in the U.S. were part of a discussion of Baltimore business leaders at the White House yesterday. Let's hear some of the concerns and ideas that they had. Joining us is Drew Greenblatt, President of Marlin Steel Wire. Drew, what did you talk about? Anybody come up with real ideas that the government could help create jobs or should the government stay out of the business of trying to create jobs?

DREW GREENBLATT >> I brought to the attention of the Obama administration four things that I thought could really help power jobs at this stage. I complimented the Obama administration because of their emphasis to double exports. I thought that's a very good strategy. Our two biggest jobs running through the factory right now are for Brazil and Japan. I think that's an important way for us to grow out of this bad economy. The challenge is that we have a very uncompetitive tax structure. For example, one of our archrivals is a Canadian wire factory and a Canadian sheet metal factory. They have a tax rate of 18% and that includes health insurance. I told the Obama administration, if you really want us to help grow jobs in Baltimore and in Maryland, you have to make our taxes competitive with the foreigners like Japan, like Germany, like Canada.

CNBC Street Signs: >> What do people say when you say that? There's all these stories out there that companies are paying a lot less than the advertised tax rate might be.

DREW GREENBLATT >> Well, I think there are some companies that have -- are taking advantage of loopholes. But a lot of guys out there are vanilla guys that are playing it without fancy tax accountants helping them out and they can't take advantage of every single loophole. A lot of us are just paying the conventional rate and that makes us uncompetitive against Japan, against Germany, against Canada. If you want us to hire more $77,000 a year manufacturers, the average wage of a manufacturing employee is $77,000 in the USA, we have to be more competitive with our taxes.

CNBC Street Signs: >> I want to switch quick gears here. Very quickly, we've been talking about the economy, the real economy versus the market in Europe and Greece. Is your business better now than it was one year ago? Are things getting better for Marlin Steel Wire? DREW GREENBLATT >> Yes. Matter of fact, 8 days ago we bought the most expensive thing we ever bought. It’s a laser to cut sheet metal fabrications much quicker than we ever cut in the past.

CNBC Street Signs: >> A solid gold laser?

DREW GREENBLATT >> No. It's a laser that cuts steel and aluminum and stainless so that we could provide to Baxter and Genentech and Roche and our kinds of clients, very quick sheet metal fabrications.

CNBC Street Signs: >> Drew, we’ve got to leave it there. You are always welcome on Streets Signs. Great to hear your business is up year over year, the laser manufacturer is no doubt happy as well. Thank you.


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