THIS IS AN ADVERTISEMENT, A WEB PROMOTION, DESIGNED TO GET YOU TO BUY STOCK. This is not an academic or financial report carefully researched by financial or academic researchers. Please bear that in mind. But it makes it very clear the kind of ploy American business is going to use in selling outsourcing to us.

Read carefully the narrative at the start of the Promotion. What about Michael Bellington and his co-workers? They live next door to you and me, and their jobs, their hope of pensions, all is gone. Oh, sure, they can get another job. Where? Our other reading this morning suggests that the jobs created in July 2004 went mostly overseas in outsourcing. Social issues agenda time, folks. Where's our safety net? Now that's a left perspective.

Agora, Inc.'s message: "We publish ideas on a variety of subjects. Some of these ideas are very practical -- such as how to get the best price on an airline ticket. Others are rather abstract -- such as our discussion of man's relationship to the state. But all of Agora's messages have something in common. They all celebrate the virtue of thinking independently and taking responsibility for your own life."
From Agor, Inc.'s mssion statement.

That's a libertarian perspective, which is a right perspective, but not the religious right. Emphasis on minimal government intervention in our lives, and minimal, if any, safety nets.

Agora, Inc's Promotion of Outsourcing Stock

This backup copy is to be used only if the original site on the Web is not accessible. It is meant to preserve the document for teaching purposes, when sometimes the URLS are changed when sites are updated, or sites are eliminated. Please be certain to give credit if you refer to this to the original URL: http://www.agora-inc.com/reports/PSI/WPSIE707/. Original URL, consuslted: August 29, 2004.

This reading is called a Web Promo by the group that owns the website. That means an ad, folks. Theyr'e trying to sell you something. What? Stock in an outsourcing company. Now, just because this is somebody's ad, it doesn't mean we can't learn from it. They're maintaining that if you're smart enough to see outsourcing coming, you can protect yourself and get in on the ground floor of outsourcing other people. I'm not at all sure how I feel about the ethics of all that, but here's a totally different perspective of outsourcing from the one you'll hear from us. I didn't back up the whole thing. Just enough to give you an idea . . .

How 56-year-old Michael Bellington Got Fired by Saddam Hussein

It's the single biggest threat to American business

This warning could save your family fortune... And make you very rich at the same time

Dear Reader,

"People were trying not to cry," says Michael Bellington.

He recalls the scene in his company's boardroom... where he was surrounded by 60 co-workers and 120 replacements.

The night before, Bellington got an e-mail, instructing him to show up for a 10 a.m. meeting in the boardroom the next morning. "No way can that be good," he thought.

After receiving the e-mail, Bellington checked his company's Internet message board. He found a letter written by someone with the screen name "Saddam Hussein." It read: "Here's what's going to happen tomorrow. Your jobs are gone. At this very moment, your replacements from India are making their way here for training. Your company has chosen them over you."

very word posted by the anonymous "Saddam Hussein" was true.

Just like that... gone was Bellington's $76,500-a-year salary (plus an annual bonus). Outsourced to India, where the company could get two workers for the price of one.

Of course, Bellington is not alone.

IBM recently moved 5,000 jobs to India and China. General Electric, Microsoft, American Express, Continental Airlines, Best Buy, Bank of America, and almost every big company in the U.S. has either already sent work offshore... or is planning to do so soon.

In fact, 40% of the 500 biggest companies in America will have outsourced workers overseas by the end of 2004, according to Gartner, Inc.

But it's not all bad news. You see, right now there's an easy way to make a lot of money from this trend–whether you have a job or not... or even if you are already retired.

In fact, one simple financial move today could return 750% or more over the next few years. And as much as 3,000% over the next decade. If I'm right about this, $10,000 will become $100,000 in the next four years. And you can get started with less than $25.

In this report, I'll describe exactly what to do. And I'll show you how to get the details on this opportunity free of charge. Let me get right to it...

Where the Money is Really Being Made Right Now

The model for U.S. businesses has changed dramatically over the past few decades.

In short, most companies no longer make the things they sell. Instead, the work is outsourced, often overseas.

Just a few of the U.S. companies outsourcing jobs overseas right now:

• Ace Hardware
• Aetna
• AFLAC
• Amazon
• Ann Taylor
• AOL
• Apple Computer
• Aquafina
• Band Aid
• Bank of America
• Best Buy
• Best Western
• Boeing
• CBS
• Chili's
• Circuit City
• Cisco
• Citibank
• Coca-Cola
• Dannon Yogurt
• Days Inn
• Dell
• Delta
• eBay
• Epson
• Evian
• Federal Express
• Fingerhut
• Ford
• The Gap
• Gateway
• General Motors
• Gillette
• Goldman Sachs
• Hasbro
• Hertz
• Hewlett-Packard
• Home Depot
• Howard Johnson
• IBM
• Intel
• J.P. Morgan
• Jackson Hewitt
• Jaguar
• Jimmy Dean
• Kroger
• Land's End
• Levi Strauss
• Lipton
• Lockheed Martin
• Lucent
• Macaroni Grill
• Macy's
• Marshalls
• Mattel
• Maytag
• Merrill Lynch
• METlife
• Microsoft
• Miller Brewing
• Minute Maid
• Nationwide
• Nestea
• Nestle
• Old Navy
• Olive Garden
• Oracle
• Otis
• PacBell
• Pepsi
• Playtex
• Proctor & Gamble
• Prudential
• Qwest
• Radio Shack
• Ramada Inn
• Red Lobster
• Reebok
• Sara Lee
• Schweppes
• Seagram's
• Sheraton Hotels
• Sprite
• Sunkist
• T.J. Maxx
• Tasters Choice
• Timberland
• ToysRUs
• Tylenol
• Unisys
• United Airlines
• Verizon
• Wal-Mart
• Whirlpool
• Wonderbra
• Xerox
• Yahoo

It began in the 1950s, when U.S. clothing companies began offshoring production to Hong Kong, Korea, and other parts of Asia.

Then came an important decision in 1975. Ampex (an American company with a monopoly on video recording technology) outsourced its work to Japanese companies like Sony and Toshiba. Soon, the Japanese dominated not only the video market, but also many other high-tech businesses too.

About 20 years later, IBM made another important outsourcing move.

The company sold most of its factories, and today uses dozens of companies around the world to build and assemble IBM products. A company in Toronto, for example, called Celestica, makes most of IBM's big computers used as servers to host Internet websites.

The truth is, many of today's high-tech U.S. manufacturing companies don't really manufacture anything at all. They're just brand names. For example...

Cisco sells routers, which allow computers to talk to one another, but a company called Flextronics actually designs and builds the things. Palm Pilot sells hand-held computers, but they're actually made by Solectron, in Mexico. Sony's Play Station is actually built by a company called MIPS Technologies. MIPS also makes products for Canon, Motorola, Hewlett Packard, and Pioneer.

The offshore outsourcing trend started with manufacturing–but has now made its way into almost every aspect of every business.

And the list of offshored jobs grows by the day: computer programmers, accountants, engineers, customer service reps, telemarketers, programmers, mechanics, paralegals, journalists, mortgage brokers, and even radiologists are losing their jobs to foreign workers.

If you have a problem with your computer and call the tech-help line, the person helping you might actually be 8,000 miles away in Calcutta, India.

The next time you visit a hospital, the person reading your X-Ray might actually be in Bangladesh.

If you apply for a mortgage, the paperwork might actually be done in Hungary or the Czech Republic, or one of a dozen other places.

This list goes on and on.

The point is, offshore outsourcing makes businesses more profitable–that's why it's a trend that's only going to get bigger.

Massachusetts based Forrester Research, in fact, estimates that in the next 11 years, 3.4 million jobs will have been offshored (which represents about $151 BILLION in wages).

Let me show you how you can make a lot of money from this trend, beginning right away.

The Bill Gates of India

When Azim Premji was studying at Stanford, he got a telephone call with terrible news.

His father, who ran a small business in India and pinched pennies to send his youngest son to college, died suddenly of a massive heart attack.

Premji dropped out of school immediately, and returned home to run the family business–selling cooking oil to tiny retailers.

At the first company meeting following Premji's father's death, a shareholder told Premji, in front of the entire board: "You should sell your shareholding and give it to more mature management because there is no way a person of your age with your experience can lead this company."

But Premji kept control and got a big break in the late 1970s, when he was able to offer offshore technical services to help high-tech U.S. businesses, like Intel and Texas Instruments.

As the global offshore outsourcing trend took off, Premji and his company called Wipro made a fortune. Today Wipro has more than 30,000 employees, who do a wide variety of tasks for large U.S. companies–everything from handling a major airline's baggage-claim service... to interpreting X-rays for a Boston-based hospital.

Azim Premji is now the Bill Gates of India. He's the richest man in the country–worth about $8 billion.

Why offshore outsourcing is such a good business

Three reasons:

Reason #1) Skilled workers are much, much cheaper overseas

In the United States, the average computer programmer makes about $70,000 a year. In India, the same employee makes about $13,000 a year. In the United States, a radiologist might make $90,000 a year. The same employee in the Philippines will be lucky to make $15,000. In other words, labor costs are as much as 80% lower overseas.

Reason #2) The raw materials of doing business are also much cheaper

In New York, a 1,000-sq. ft. office might cost you $5,000 a month. In Bangalore, India, the same office would cost only about $200 a month–that's a savings of more than 90%.

Reason #3) New technologies make doing business 8,000 miles away as easy as doing business right next door

Ten years ago, a phone call from Bombay to Los Angeles would have cost $2 a minute. Today it costs 2 cents a minute... or even less. And E-mail makes the communications free. Computers, which sold for $3,000 a decade ago, now cost less than $500–and today's machines are five times as fast with about 20 times as much memory as the models sold a decade ago.

The chart to the right shows how the costs of international communications have plummeted.

When you look at these three trends, it's easy to see how Premji made so much money.

The good news is that there's a U.S. company that's been growing its business the same way Premji made a fortune...

How to Make Your Own Fortune with Outsourcing

Drive 40 miles North-East of Walt Disney World, on I-4 in Orlando, and you'll come to a giant, unassuming warehouse, located on Interstate Parkway.

While it looks from the outside like any other office building, inside is one of the most complex technology centers in the world.

"Outsourcing shows no signs of fading"
– The New York Times, May 9, 2004

Look at what a few of the world's most respected news sources have said about offshore outsourcing in the past few months...

"Many economists estimate that roughly 100,000 white-collar jobs migrate overseas each year"
– The Wall Street Journal, April 12, 2004

"Whether you believe such dislocations (as a result of offshoring) are ultimately good or bad, they're here, they're real, and they're happening at speeds and levels unforeseen just a few years ago."
– Fast Company Magazine, April 2004 "God's gift to the Saudis was oil. To us (India), it is two million well-educated, English speaking graduates a year."
– Vikram Talwar in theInternational Herald Tribune, April 14, 2004 "Many companies, including... half the Fortune 500, continue to move parts of their operations to low-cost areas around the world."
– The Los Angeles Times, May 6, 2004 "In fact, it [outsourcing] is a very big deal that is only going to get bigger, with far-reaching implications."
– The Korea Times, May 6, 2004

This is one of two primary data billing centers for the world's best outsourcing company. The building operates 24 hours a day, 7 days a week. The 440 production servers and thousands of regular computers calculate more than 4 TRILLION instructions every second.

The building is equipped with redundant power and communications feeds and emergency power back up supplied by diesel and turbine generators. The entire structure is built to withstand a full-force hurricane.

These data-centers in the United States are connected to a network of offshore outsourcing centers in Australia, Brazil, Canada, China, England, France, Germany, India, Israel, Japan, Mexico, the Philippines, Portugal, Scotland, Singapore, Spain, Sri Lanka, and Switzerland.

And the company has other outsourcing operations in 22 U.S. states, including Arizona, California, Colorado, Illinois, New Jersey, North Carolina, Texas, Washington, and Wisconsin, just to name a few.

This company has two main businesses:

First, it handles the billing for wireless companies such as Sprint PCS, ALLTEL and AT&T. The company has 1/3rd of the entire American market. If you have a cell phone, there's a good chance this company sends you your bill.

The company also handles the billing for Comcast Cable, Cox Cable, Insight Communications, Telewest and Time Warner. In other words, if you have cable TV, there's a good chance this company is delivering your bill.

This is a super-profitable business. Even in 2002, when dozens of start-up telecom firms went bankrupt, this outsourcing company made huge cash profits: $429 million.

The second part of this company's business involves handling the customer service for many of the same clients: AT&T, Comcast, Direct TV, Microsoft, and Sprint PCS, just to name a few.

If you've ever called these businesses, you've probably used this outsourcing company's services. Plus this company does other outsourcing work for lots of other large companies and organizations... such as Rite Aid, the United States Postal Office, Brazil Telecom, Office Depot, RR Donnelley, Time Warner... and even employees of the State of Florida.

In other words, they handle outsourcing operations for many of the biggest and most important companies in America.

To make your own fortune with the offshore outsourcing trend, all you have to do is buy shares of the fastest-growing, most profitable outsourcing company in the world.

It's still a very young company, having started only in 1998 as a spin-off of a major telephone company.

Today, this small company is one of the cheapest stocks in the entire market.

As it grows bigger over the next few years, you stand to make a fortune–beginning with only a tiny capital investment today.

How We Know It's Time to Buy

What would you do if you worked as a corporate executive at the best offshore outsourcing company in the world?

If you were smart, you'd be investing heavily in your own company, buying up as many shares as possible.

That's exactly what 71 insiders of this company are doing right now–that's almost every person at the executive level.

It's perfectly legal for these insiders to buy as much company stock as they want. The only requirement is that they report how much they buy to the U.S. government. These documents are public record... so we can see that this company's insiders are loading up on stock. It's one of the strongest "buy" signals a stock can have.

While most high-tech company insiders are selling, these guys are in a buying frenzy.

This business is going to corner the offshoring market. These executives know an easy payday when they see it. They are trying to get as big a piece of the pie as possible.

Not only are these men and women buying with their own money, they're also using large chunks of company profits to buy back as much stock as possible on the open market–13.6 million shares in all last year.

Plus, they are buying up smaller rivals left and right.

In early May of this year, the company went on a buying binge, picking up two companies in the same day: one is a bill-collecting company based in Olathe, Kansas... the other a collections company based in Kansas City.

In the previous 20 months, the company we've been following bought six other businesses in the same industry, totaling approximately $120 million.

Everything you need to know about the outsourcing industry, and the best outsourcing company you can buy right now, is explained in our recent Investment Research Report, called: The Outsourcing Guide–How to Profit on the Biggest Trend in American Business.

You can receive a copy of this Research Report, absolutely free. Here's how...

* * * * *

THIS IS AN ADVERTISEMENT, DESIGNED TO GET YOU TO BUY STOCK. This is not an academic or financial report carefully researched by financial or academic researchers. Please bear that in mind. But it makes itvery clear the kind of ploy American business is going to use in selling outsourcing to us.

Go back to the narrative at the start of the Promotion. What about Michael Bellington and his co-workers. They live next door to you and me, and their jobs, their hope of pensions, all is gone. Oh, sure, they can get another job. Where? Our other reading this morning suggests that the jobs created in July 2004 went mostly overseas in outsourcing. Social issues agenda time, folks. Where's our safety net?

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