Skip to comments.(Vanity) How to Completely Debunk Obama's Attack on Private Equity
Posted on 05/25/2012 11:25:16 AM PDT by VA Voter
I just heard Debby Wasserman Schultz on Rush claim that Romney made hundreds of millions of dollars by deliberately bankrupting companies.
Romney should offer to give Obama a $1 million campaign donation if Obama can do two things. First, create a hypothetical example of how this can be done and second, show a single example of how this was done by Bain Capital.
A private equity company cannot get debt funding, much less equityfunding, to execute a takeover without a business plan showing a plausable turn around concept and profitable exit strategy.
Once money goes into a troubled company, it is used for operating expenses, including salaries, and capital improvements. Bankruptcy means that liabilities exceed assets, including cash balances as well as the ability to make debt payments in an orderly fashion. In other words, a complete equity wipe out. For those of you in Ria Linda, a loss of all your investment.
Obama's strategy is built on maintaining massive ignorance on the part of the public which can easily be debunked.
The title should have said “Attack”. Sorry.
Can you pull this post and let me resubmit with a corrected title?
Just hit “Report Abuse” on reply 1 and ask to have the title corrected - the moderator will do it for you (and will probably move it to the Chat forum).
Could you please correct the title for VA Voter?
(I hope that is more helpful than the flea collar, but no guarantees)