Sunday, January 27, 2013

Papa John’s Blames The Media For Obamacare Blunder – Requests They Take Stories Down | Addicting Info

Papa John’s Blames The Media For Obamacare Blunder – Requests They Take Stories Down | Addicting Info:

'via Blog this' quote:

In reference to why Papa John’s would come after a publication like ours for simply relaying something that CNN had reported about the pizza chain, the PR firm claims that it “somehow missed the CNN story about which you wrote.” This despite the fact that CNN first aired the clip in August of last year, and has since become the most often cited proof that Schnatter’s claims of increased costs were dishonest…
In the interest of fairness, Papa John’s representative offered this as its reasoning for why our coverage of the matter should be unpublished, which we’ll share here: “What [Schnatter] said, in response to an investor call, was the company estimated that Obamacare would result in an increased cost to the company of approximately 11 cents to 14 cents per pizza, ‘but our business model and unit economics are about as ideal as you can get for a food company to absorb Obamacare, ergo, we have a high ticket average with extremely high frequency of order counts, millions of pizzas per year.’” The pizza chain appears to be attempting to split hairs as to whether Schnatter claimed he would actually raise prices as a result of ObamaCare, or whether he would simply see his own costs rise and absorb the cost. But the research done by CNN makes clear that ObamaCare will not cause Papa John’s to see a cost increase of any kind, which means that in either case Schnatter’s claim is a false one…

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