BloombergBusinessweek did an article that is a real eye opener about the ruthlessness of Romney (click title to entry - thank you).
Romney has no right to talk about manufacturing jobs in the USA. He and Bain single handedly used their equity to destroy an entire segment of the USA economy.
Romney has no right to talk about manufacturing jobs in the USA. He and Bain single handedly used their equity to destroy an entire segment of the USA economy.
Back in 1992, Bain acquired a manufacturer called American Pad & Paper, or Ampad. Bain then used Ampad as a vehicle to buy and restructure similar companies. Following standard “roll-up” strategy, Bain closed factories and laid off workers in anticipation of selling off a leaner, more profitable company via an initial public stock offering.
Two years into the roll up, Bain had Ampad acquire an office supplies plant in Marion, Ind., a manufacturing town 70 miles northeast of Indianapolis. At the time, Johnson worked the night shift making hanging files. “We come back from the July 4th holiday, and this is what we find posted,” Johnson says, producing from the Romney box a one-page notice: “As of 3 p.m. today, July 5, 1994, your employment with SCM Office Supplies Inc. will end.” Most of the 258 employees were allowed to reapply for jobs at reduced wages and benefits. Johnson’s pay fell 22 percent, he says, from $10.05 an hour to $7.88. Dismayed to see their old union contract torn up, the Marion workers negotiated with Ampad management for several months, then called a risky strike. In early 1995, Ampad called the union’s bluff, closed the plant, and laid off the remaining workers.
The strategy was ruthless. No one can deny that. Bain under Romney's direction purchased plants with similar product lines and consolidated them one after another after another, laying off workers, harvesting treasuries and ultimately bankrupting the company and selling off capital investments as part of the bankruptcy.
The primary investment made by Romney with Bain's equity provided elimination of their competition and pushed up the prices of the products. Literally, Bain used the one survivor of their strategy to finance the hostile take over and dissolution of the competition. Some would argue that is very smart and agile to management to eliminate the competition, however, one might want to ask the consumers of the closed plants if it assisted their profit margin. The answer, of course, will be no. As each plant was closed the cost to customers went up.
What does that mean?
It means the effect on the American economy was cumulative. It wasn't enough to simply shut down the competition and increase the movement of quantities of inventory while reducing warehousing, the income to the survivor factory was increasing their costs to customers.
When costs to customers went up it contracted the ability of those customers to expand their competitive edge in their businesses. When companies are not competitive they have to evaluate their ability to hire new employees, open new stores and add to the economic growth of the nation's and ultimately the world's economy.
Romney was more than an equity king, he was a draconian element to the USA economy. Add to that the fact he designed 'the outsourcing dynamic' which caused the loss of American jobs over the past decades since he was at Bain and what you have is Romney the Economy Destroyer, not simply a smart businessman.
Romney thought nothing about the larger picture he was impacting and how it was impacted and how it was destroying lives in the USA. He never stopped to even value the idea the nation's sovereignty relies on a dynamic economy.
He has a lot of nerve coming forward now to actually expect to become President promising to grow the economy of the USA, he has no experience doing so. The quarter billion known to be the base of Romney's wealth, evidently Ann Romney has acted as a facade to more of Romney's wealth and that quantity is unknown, has come from the destruction of the USA economy. He has drained the economic wealth of the country into his own pockets for his own benefit and now he wants to use those monies to take a Presidency away from the Middle Class.
It is mind boggling to realize the immoral content to his wealth. I take issue with the Republican value system which is expressed as "More power to him." That power of wealth wasn't his in the first place.
Anyone should realize, this dynamic of consolidating USA businesses for equity gains has forced the outsourcing. When Romney increased prices on products of sole survivors of his takeovers it provided a great deal of impetus to look elsewhere for low cost products. Romney literally was the impetus to the China Connection. He not only provided the 'idea' he provided the economic drive to the movement.
The primary investment made by Romney with Bain's equity provided elimination of their competition and pushed up the prices of the products. Literally, Bain used the one survivor of their strategy to finance the hostile take over and dissolution of the competition. Some would argue that is very smart and agile to management to eliminate the competition, however, one might want to ask the consumers of the closed plants if it assisted their profit margin. The answer, of course, will be no. As each plant was closed the cost to customers went up.
What does that mean?
It means the effect on the American economy was cumulative. It wasn't enough to simply shut down the competition and increase the movement of quantities of inventory while reducing warehousing, the income to the survivor factory was increasing their costs to customers.
When costs to customers went up it contracted the ability of those customers to expand their competitive edge in their businesses. When companies are not competitive they have to evaluate their ability to hire new employees, open new stores and add to the economic growth of the nation's and ultimately the world's economy.
Romney was more than an equity king, he was a draconian element to the USA economy. Add to that the fact he designed 'the outsourcing dynamic' which caused the loss of American jobs over the past decades since he was at Bain and what you have is Romney the Economy Destroyer, not simply a smart businessman.
Romney thought nothing about the larger picture he was impacting and how it was impacted and how it was destroying lives in the USA. He never stopped to even value the idea the nation's sovereignty relies on a dynamic economy.
He has a lot of nerve coming forward now to actually expect to become President promising to grow the economy of the USA, he has no experience doing so. The quarter billion known to be the base of Romney's wealth, evidently Ann Romney has acted as a facade to more of Romney's wealth and that quantity is unknown, has come from the destruction of the USA economy. He has drained the economic wealth of the country into his own pockets for his own benefit and now he wants to use those monies to take a Presidency away from the Middle Class.
It is mind boggling to realize the immoral content to his wealth. I take issue with the Republican value system which is expressed as "More power to him." That power of wealth wasn't his in the first place.
Anyone should realize, this dynamic of consolidating USA businesses for equity gains has forced the outsourcing. When Romney increased prices on products of sole survivors of his takeovers it provided a great deal of impetus to look elsewhere for low cost products. Romney literally was the impetus to the China Connection. He not only provided the 'idea' he provided the economic drive to the movement.
