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FBN’s Diane Macedo on Papa John’s plans to pass on the increased costs from the health-care law to its customers.
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How much of a new health care a lot cost businesses one restaurant chain.
Actually did the math on the -- it's priced into the cost of pizzas that is every pizza they sell a piece of it.
Is devoted to the new health care law -- -- has been looking into all those who she joins us with -- next place fascinating idea.
So many people have been asking how is this of the Affordable Care Act going to affect businesses bottom lines and basically CEO.
John Shatner from -- the -- came out yesterday during his earnings call and said that.
For -- fourteen in this company it will cost them roughly eleven to fourteen cents per people that they're best as -- right now.
So -- so like most businesses -- -- -- does not support the Affordable Care Act but he did point out.
That they have a little bit of an advantage -- that they have such a high volume of order numbers -- there able to absorb this better than some other companies.
Because it can distributed over the value of all -- so many orders and so one hit each individual -- customer.
So hard but he has you know that the company never likes to raise prices and if the Obama -- doesn't get repealed.
He will in fact have to raise prices.
It compromise we have the airlines and how they were getting upset about all the taxes that were being incurred so they actually showed customers on their web -- how much you're paying in taxes medical taxes so that customers new.
That they weren't just raising prices to raise prices.
Some sort of similar and that a lot of other companies might follow suit and he may -- -- to be an interesting comparison in saying that when commodity costs -- up when you know when gas prices got for example they have to raise delivery charges that's not the company just wanted to make more money.
They have to deal with that the same way if this -- goes through.
They will have to raise these prices.
And -- -- some other companies are trying to currencies numbers as well this is the first time we've seen a purse sale price but on it but McDonald's came out just last month saying it would cost each individual McDonald's restaurant.
101000 to 30000 dollars and they say now that this Supreme Court ruling came down.
They will be looking more into its vacancy had a sort of minimized the impact that this will -- on their bottom line.
And again I think -- didn't really nailed it you get the customers is angry is the business owners.
Of people coming that the regulators into the taxes and keep in mind these are large companies that they're able to divide the -- pretty widely if you take a smaller company the customers will get hit harder.
By these price and we don't let them get it and I've been here since how long since -- assets -- have.
Stay dessert I -- -- I had at times he.
