Many elderly waive Part D -

Comments about those that have Medicare Advantage plans or other health care coverage that includes prescription coverage are exempted from the necessity of joining Part D nor do they face a penalty for failure to have joined.

FREE PRESS - The Medicare drug bill, designed to give seniors prescription-drug coverage, has another effect that's not so widely discussed: It should save Detroit's automakers and largest suppliers billions of dollars and enhance their profits.

Under the new law, the U.S. government is effectively subsidizing companies for providing a certain level of drug benefits for retirees.

In just the first three months of 2004, GM's savings from the bill was $67 million; Ford's was about $62.5 million.

At GM, the bill is estimated to reduce that long-term health care tab by $4 billion. The long-term savings at Ford:$1.8 billion. Chrysler Group will also see savings in the tens of millions of dollars, but the company has not released estimates.

Critics of the law call it a corporate handout and are troubled by legislation sending billions of dollars to large U.S. corporations. Defenders of the subsidy say there needed to be a provision to reward employers for providing good prescription-drug benefits. Other corporations in town will also benefit. The country's two largest auto suppliers, Delphi Corp. and Visteon Corp., posted first-quarter gains from the Medicare bill of $16 million and $5 million, respectively.

They say those gains should be duplicated quarter after quarter this year, working out to $64 million for Delphi and about $20 million at Visteon.

Corporate Welfare Testimony Ralph Nader
http://tinyurl.com/rdsoq
http://www.nader.org/releases/63099.html

CORPORATE TAX EXPENDITURES
http://tinyurl.com/rdsoq
http://www.nader.org/releases/63099.html#D