With Romney Under Attack, Private Equity Fights Back

http://dealbook.nytimes.com/2012/01/10/with-romney-under-attack-private-equity-fights-back/

Liann

Bay Area

The one thing which cannot be denied is the 40,000,000 under-employed or unemployed Americans. No matter how much blah-blah-blah the public relation agents spew, the creation of jobs are not keeping up with the outsourcing and not keeping up with the consolidating-mergers eliminating competition. There are vowels and consonants coming out of their mouths, but the truth refuses to agree with their paid propaganda.

Attacks on Romney’s Business Background Could Actually Help Him

By JEFF ZELENY

Published: January 14, 2012

http://www.nytimes.com/2012/01/15/us/politics/attacks-on-romneys-business-background-could-actually-help-him.html

Generally, it is a lie that "Investment Companies turn failing businesses around". Investment companies are in it to make a quick fortune, or "to make a killing" as the saying goes.

Investment companies get their claws and fangs into a vulnerable company, pretty much the same way that loan sharks do. Since they ARE NOT interested in the long-term health of the company at all, they strip mine easily sold assets to payback their partners right away. They liquidate the pension plans, shed workers and shed union contracts. Since there is a temporary reduction in labor costs, and increased cashflow showing on the spreadsheets, they look good to Wall Street novices and yokels (internet trading newbies) whom don't know what is really going on inside the company being devoured by ravenous beasts. They sell out the stocks at the better price than they paid, based on paper improvements of a hemorrhaging company. They leave with fat profits doing nothing good. If the sick company can re-organize and survive, they claim that they caused the success, when surviving happened DESPITE the Investment company.

This is capitalism in 2012. Nobody can touch them because they bribe Supreme Court Judges in broad daylight, giving lavish checks to the Federalist Society, which is laundered and passed on as speaker's fees for a 45-minute blah-blah-blah, as the Supreme looks into the face of his benefactor who just paid him $100,000 all nice and legal.