Bain Cap Shutting Illinois factory-Sending jobs to China>Money goes in Romney's pocket (blind trust)

[DonRedwood]

http://thepoliticalcarnival.net/2012/07/06/bain-owned-company-outsourcing-illinois-jobs-to-china-employees-want-mitt-romney-to-intervene/

Romney supporters keep saying Romney is no longer with Bain Capital...but his "blind" trust still makes a fortune yearly from Bain Capital. So, any money made by Bain is money made for Romney. In this case Bain is firing 33 year employees, sending their jobs to China, making them train the Chinese people taking their jobs and all the money made from the outsourcing has NOTHING TO DO WITH ROMNEY. He just gets to spend it but he has no other ties to it. He is just the guy spending it and there should be no moral judgement of Mitt Romney--he didn't fire those people. BUT, it sure is fun to spend their pensions and wages.

The man and his family live off blood money. That's even lower than stealing it yourself.

[DonRedwood]

1. New Obama ad about outsourcing... I wish it had more teeth!

&feature=player_embedded

They kind of soft-peddled it but at least they are calling some attention to Bain and Romney.

[NNN0LHI]

7. The Obama campaign can't go full out yet

We want to be damn sure Romney makes it to Tampa and is officially awarded the nomination first.

Another candidate ... any other candidate ... could be disastrous for us.

Don

[DonRedwood]

8. Only a fool throws the big punches early

in a six-month tussle...I know. But dang I'm real sick of getting slapped around!

[NNN0LHI]

9. It will be worth the wait

I promise.

Before this is over with Romney is going to learn some details about himself that he doesn't even know about yet.

The campaign has been gathering information on this guy since before the last election because they didn't know for sure if he or McCain was going to win the nomination in 2008.



Don

[DonRedwood]

12. why do you think they there's no VP yet?

maybe waiting so there is less time to gather information on his running mate?

[NNN0LHI]

14. Because the people who the Romney campaign wants as VP don't want it

After the last Republican primary there was really only one thing that all the GOP candidates agreed on. They all hated Romney's guts.

I don't think that has changed.

Don

[DonRedwood]

21. I keep waiting for some VP gimmick he is hoping will give him momentum

but can't figure out who it will be. Though, I never expected Biden so I guess I'm not one to ponder...

[HiPointDem]

31. how do you know this?

[NNN0LHI]

33. It doesn't take a weatherman to know which way the wind is blowing

This stuff is common sense.

Don

[SDjack]

2. Rmoney (in absentia) strikes again.

The Rmoney formula for making money by killing companies is golden. They aren't going to stop using it. Congress needs to act on this.

[DonRedwood]

6. I want to see just how many jobs were outsourced by bain companies

during Romney's tenure AS WELL AS since he has left the company. Everyone keeps excusing Romney for EVERYTHING Bain has done since he left but the fact is Romney continues to pocket money made from every dirty business trick Bain uses. Even if he doesn't make the decisions, he is still making the money from those decision.

Pretty sickening how he has managed to try to stay "clean" from all those dirty business practices--or at least how easily he justifies his participation. It is a cold man who can sleep at night making his money this way.

[DonRedwood]

10. How though? Tax /fines for outsourcing?

But it is disasterous for the country. But, I kind of feel like I've been seeing Rs committing treason against the United States on a regular basis these days so I shouldn't be surprised by Romney being pardoned for business practices that undermine his home country.

[SDjack]

18. The rich have told us three big lies.

1. "The wealth will trickle down." It never happened, and they don't accept responsibility to fix it. That can be done by taxing them to maintain the people's safety net and to maintain the nation's infrastructure. Go back to the FDR tax rates and financial controls.
2. "Globalization is a win-win." It never was. When you make an error, the most direct path to correct it is to back-track to your previous position. Put in trade protections where we compete on an tilted field. If their labor costs are too low, we put on an import tax to correct it. If their currency is priced too low, another import tax to correct it. Anything priced too low, an import tax to correct it. But trade wars will start!!! We did better with trade wars than we do now.
3. "These wars are because our enemies hate our freedoms." Actually, the real reason is that we want to acquire their natural resources at a very favorable price. Bring these wars to an end.

[DonRedwood]

24. That trickle down you hear

is them trying to pee on us, I think!

[HiPointDem]

32. why are we so dumb that we keep buying this, though?

[Initech]

3. Hey those poor starving millionaires need to be able to afford their car elevators.

[AnotherMcIntosh]

4. This is terrible for the community. What's worse for the country is that Rmoney is supporting

the pending wage-lowering, let's-send-even-more-American-jobs-to-foreign-countries "free-trade" agreement.

Trans-Pacific negotiations have been taking place throughout the Obama presidency. The deal is strongly supported by the U.S. Chamber of Commerce, the top lobbying group for American corporations. Obama's Republican opponent in the 2012 presidential elections, Mitt Romney, has urged the U.S. to finalize the deal as soon as possible.
http://www.huffingtonpost.com/2012/06/13/obama-trade-document-leak_n_1592593.html

[DonRedwood]

20. thank you for the link :0)

[SoutherDem]

5. This is why it makes me sick when someone says Obama's ads are misleading or false.

Romney drew up the plan, she showed them how to do it, and he is still reaping the profits. I don't care if he is the CEO or not, I don't care if his signature is on the pink slips or not, he has blood on his hands as much as if he did it himself.

I read a short bio on Romney and he is as self made as a car is self made, he was built. His daddy paid to send him to the best private schools possible, his was a management consultant who was offered to take part in Bain's newest industry which he took no risk if it failed. He specialized in investing investors money (not his) pulling profit and once he milked the cow dry closed, or he shipped it off to China or India to save money, and he is still profiting from destroying peoples lives, yes there are a few who are getting filthy rich but most who keep their jobs by giving up benefits and/or wages to "help" save the companies then have them pull the plug.

Romney is slime, skum he profits on the misery of others and this is suppose to qualify him to run out country?

Wake up America!!!

[elehhhhna]

11. Prince Mitwit is as self-made as GWB.

Born or 3rd base, thinks he hit a triple.

[DonRedwood]

13. Snort!

I've never heard that before. Totally made me LOL.

[agent46]

19. I thought it was

Born on third base. Thinks he hit a home run.

[ProgressiveEconomist]

15. More on conflict-of-interest money Romney STILL gets from Bain,

money taxed at the 15 percent "carried interest" rate for COMPENSATION, not investment. Is Romney STILL working for Bain? The Obama campaign demands that Romney release his Bain "retirement" agreement:

From http://www.cbsnews.com/8301-503544_162-57449139-503544/obama-camp-romney-blind-trust-isnt-blind

"Obama camp: Romney 'blind trust' isn't blind
By Brian Montopoli; June 7, 2012

The Obama campaign on Thursday suggested that presumptive Republican presidential nominee Mitt Romney's financial entanglements may create conflicts of interest that impact his policy positions. The campaign grounded its arguments in two issues: One, the fact that Romney continues to receive payments from his old company Bain Capital, and two, the nature of his so-called 'blind trust,' which the Obama campaign says isn't really blind at all.

Last week, Romney disclosed that he received more than $2 million in fresh payments from Bain, the private equity firm he ran until 1999. Although Romney says his severance agreement with the company ended in 2009, the payment disclosed last week raised the possibility that he would continue to be paid by the company as president. The Obama campaign called on Romney to release his retirement agreement with Bain and suggested that he is still tied to the company in some unspecified capacity.... Obama for America General Counsel Robert Bauer said ... the fact that Romney is paying a 15 percent tax rate on the income, the tax rate for carried interest, suggests Romney is performing services for the company despite claims that he is no longer tied to it. ..."

Romney is not fully screened from his investment decisions because (1) the trust is run by Boston lawyer R. Bradford Malt, his longtime personal attorney, and (2) it would not qualify as a federal blind trust, since Romney has signed off on the broad outlines of his portfolio and thus has at least some knowledge of his investments. In response to a question from CBS News about whether the Obama campaign was alleging that Romney had conflicts of interest that were impacting his positions, Obama press secretary Ben LaBolt pointed to Malt having sold investments in China and tied them to Romney's public statements. ..."

[Igel]

22. Probably not.

It's a "Why haven't you released your birth certificate?" or "why haven't you released your transcripts?" kind of ad. The hope being that if he says "no" then, well, he must be guilty by innuendo; if he says "yes" then maybe the fishing expedition is worth it. Not issue, but character assassination. (Sorry, didn't like it with Obama 4 years ago; not going to change my principles because of my politics. My politics are based on my principles.)


http://www.nytimes.com/2011/12/19/us/politics/retirement-deal-keeps-bain-money-flowing-to-romney.html?_r=3&pagewanted=all

"In what would be the final deal of his private equity career, he negotiated a retirement agreement with his former partners that has paid him a share of Bain’s profits ever since, bringing the Romney family millions of dollars in income each year and bolstering the fortune that has helped finance Mr. Romney’s political aspirations."

[ProgressiveEconomist]

26. Your post subtitle says "Probably not", but your excellent NYT link

Your post subtitle says "Probably not", but your excellent NYT link says "new compensation" that belies Romney's claims he had no part of job-killing deals after February 1999.

Since Romney has staked his qualifcations for President on his Bain experience, IMO the public has a right to know exactly how Romney nd his wife apparently profited from thousands of layoffs that will have occurred up to 20 years after Mitt ostensibly left the company in 1999.

Your NY Times link shows that these deals included KB Toys' 2004 bankruptcy, which yielded 370 percent profit for Bain but cost 3,400 workers their livelihoods; and Sensata Technologies, which shipped several hundred jobs overseas after a 2006 Bain-led leveraged buyout.

From http://www.nytimes.com/2011/12/19/us/politics/retirement-deal-keeps-bain-money-flowing-to-romney.html?_r=4&pagewanted=all

"Buyout Profits Keep Flowing to Romney
By NICHOLAS CONFESSORE, CHRISTOPHER DREW and JULIE CRESWELL
Published: December 18, 2011

... Romney never really left Bain. ... he negotiated a retirement agreement ... that has paid him a share of Bain's profits ever since.... Bain continued to buy and restructure companies, potentially leaving Mr. Romney exposed to further criticism that he has grown wealthier over the last decade partly as a result of layoffs. Moreover, much of his income from the arrangement has probably qualified for a lower tax rate than ordinary income under a tax provision favorable to hedge fund and private equity managers....

Though Mr. Romney left Bain in early 1999, he received a share of the corporate buyout and investment profits enjoyed by partners from all Bain deals through February 2009: four global buyout funds and 18 other funds, more than twice as many over all as Mr. Romney had a share of the year he left. He was also given the right to invest his own money alongside his former partners. Because some of the funds and deals covered by Mr. Romney's agreement will not fully wind down for several years, Mr. Romney is still entitled to a share of some of Bain's profits. ...

'These are options that are not available to the ordinary taxpayer,' said Victor Fleischer, a law professor at the University of Colorado .... 'You continue to take your carried interest — a return on labor, not capital invested — and you're paying 15 percent on it instead of high marginal income rates.' ...

the family's Bain holdings are still considerable: in his 2011 disclosure, Mr. Romney reported Bain assets between $12.4 million and $60.9 million, which provided between $1.5 million and $9.3 million in income. The blind trust for his wife, Ann, held at least another $10 million, generating income of at least $4.1 million. ...

About every three years, the firm raised a new buyout fund, each doing business for about a decade... .... By giving Mr. Romney a stake in funds after his departure, Bain's partners effectively compensated him for his founding interest in the firm without having to write him a large check or taking Bain public, which would have allowed Mr. Romney to continue holding equity in the firm or cash out by selling his shares on the public market....

The 2000 purchase of KB Toys ... gave Mr. Romney and the other partners a quick 370 percent return on their money. But it also left the toy company with a heavy debt burden. Before long, the company began closing stores around the country and laid off 3,400 workers. It filed for bankruptcy protection in 2004. ... Two more recent deals have also led to spiraling debt loads and layoffs. Since Bain and another private equity firm led a buyout in 2008 of Clear Channel Communications, the company has struggled under nearly $20 billion in debt and has cut 2,500 jobs. Sensata Technologies, a European company that makes sensors and controls used by the auto and aerospace industries, prospered after a Bain-led buyout in 2006, but the firm also laid off several hundred American workers. Most of the jobs were moved overseas, and the federal Labor Department spent at least $780,000 to retrain some people who lost their jobs...."

[DonRedwood]

23. very good reading

thank you for sharing

[ProgressiveEconomist]

27. A 'NO-SHOW JOB'? IMO some enterprising reporter should ask Romney

if his retirement agreement with Bain provides him with a "no-show job" of the kind Tony Soprano negotiated with construction companies for his fictional HBO mob family cohorts. To the extent Romney pays "carried interest" on the millions he STILL gets from Bain, he's getting compensation for labor, not return on investing his money in Bain.

[DonRedwood]

29. And only paying 15% taxes on it

[DonRedwood]

29. and only paying 15 percent taxes on it

[FarCenter]

16. This has been in the cards since Honeywell sold them in 2010

Honeywell sold off the automotive sensors part of their business to Sensata Technologies, NV. They even let them continue in a part of the Honeywell plant.

Typically, when this happens, the buyer is only interested in the technology, designs, intellectual property, customer lists, etc. and will produce the product elsewhere by expanding one of its existing locations.

Honeywell transfered employees to Sensata along with the sale, but you can bet that they moved employees that they wanted to keep into the Honeywell business that they were keeping.

[DonRedwood]

25. Businessmen should not be allowed to be politicians

Hence the saying you shouldn't let the foxes guard the henhouse.

[sakabatou]

17. More of the same from him

Blegh.

[Liberal_in_LA]

28. Romney has kept his financial life so secret. Now I see why

[DonRedwood]

34. He has to!