Less-than-grand bargain

October 30, 2015, 1:34 PM UTC
US House Of Representatives Votes To Elect A New Speaker
WASHINGTON, DC - OCTOBER 29: Incoming Speaker of the House Rep. Paul Ryan (R-WI) (L) points at outgoing U.S. Speaker of the House Rep. John Boehner (R-OH) (R) in the House Chamber of the Capitol October 29, 2015 on Capitol Hill in Washington, DC. Rep. Ryan has been elected to succeed Rep. John Boehner (R-OH) to be the new speaker. (Photo by Alex Wong/Getty Images)
Alex Wong Getty Images

Early this morning, the Senate gave final approval to a two-year budget deal, stitched together with gimmicks that would make Valeant’s accountants blush. The deal gives the President an extra $80 billion to spend, delays any budget and tax showdown until after the election, and allows ex-speaker John Boehner to get the hell out of Dodge. The business lobby largely supported the deal; tea partiers and GOP presidential candidates opposed it.

Fortune’s Tory Newmyer breaks down the business winners and losers as follows:


Big business generally. AT&T CEO Randall Stephenson said eliminating the threat of another shutdown will boost business confidence.

Big business specifically. The agreement junks a provision of Obamacare requiring big businesses to automatically enroll new hires in health plans.

Defense contractors. Half the $80 billion would go to defense spending.


Generic drug makers: The deal cuts subsidies for generics by $1.3 billion over ten years.

Hedge funds: The deal streamlines the process for audits, raising $11 billion over ten years.

Companies with defined benefit pensions: The deal increases premiums to the Pension Benefit Guaranty Corporation.

The deal cleared the way for Paul Ryan to be elected speaker Thursday. Good luck to him.

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