Friday March 22, 2013
Leno Bashes Sugar Bailout
Los Angeles — Jay Leno, host of NBC’s Tonight Show ripped on the USDA’s potential sugar bailout, in which it might buy 400,000 tons of sugar to prevent processors from defaulting on $862 million in government loans.
“I saw this in the paper today,” Leno said on his March 19 show. ”The Department of Agriculture wants to use our tax money to buy 400,000 tons of sugar to limit supply and boost prices so sugar producers can pay back government loans that they could default on. You follow me here on this? We loaned them money and now we're giving them more money so they can pay back our loan. You still wonder why we're $16 trillion in debt? Anybody?“
The potential action comes as a result of the 18 percent drop in sugar prices since October after four years of record-high prices stimulated production. Under a 2008 Farm Bill provision, the Feedstock Flexibility Program, the government is required to sell the excess sugar to ethanol producers at a loss that could amount to $80 million.