Thread: Bain Capital, tell me more

What, is Halliburton no longer the devil?

The sheer volume of Bain Capital Boner/Romney Boner threads is pretty amazing. In a few days I expect it to approach Sarah Palin-type levels. All the libdopes here must have ODed on Viagra en masse.

Originally Posted by Jer

The sheer volume of Bain Capital Boner/Romney Boner threads is pretty amazing. In a few days I expect it to approach Sarah Palin-type levels. All the libdopes here must have ODed on Viagra en masse.

I gotten emails from my GOP friends/family members making the same statement "what, is Bain Capital the new Haliburton?" evidently dumbasses that listen to Glen Beck and Rush Limbaugh heard it there...to give you an idea of where this idiocy comes from. Much like your disdain for MSNBC.

Originally Posted by Adolf Assbush

dumbasses that listen to Rush Limbaugh.

Don't be so hard on yourself Assbush.

I don't listen to Limbaugh, Hannity, Beck or any of those other blowhards. Same goes for that dude Maddow or that Chris guy who wets himself when Obama speaks.

I thought of that OP all by myself and I really am curious. Is Bain the new Haliburton, or is Haliburton cool now? Like the thread title says, "tell me about Bain".


By the way, what's up with all the Palin threads?

I'm just wondering why we need to know everything about Bain but no one really cared that they new nothing about Obama.

This picture = we're minting $$ on outsourcing, bankrupting businesses, abortion disposal............

Originally Posted by BmillsSkier

I don't listen to Limbaugh, Hannity, Beck or any of those other blowhards

Could've fooled me.

Originally Posted by BmillsSkier

I thought of that OP all by myself and I really am curious.

Congratulations!

Originally Posted by BmillsSkier

Is Bain the new Haliburton...

Bain Capital did not purchase Haliburton and as a company Bain Capital does not do the same type of work as Haliburton...

Originally Posted by BmillsSkier

...is Haliburton cool now?

I'm not a fan.

Originally Posted by NISA715

I'm just wondering why we need to know everything about Bain but no one really cared that they new nothing about Obama.

That's because (with the exception of DbT) nobody here gets a boner over obsessing about Obama. OTOH - the libdopes can't live without a constant stream of the latest info on anybody from the Dark Side. This is why you get feakiness such as Assbush listening to Rush Limbaugh and Hannity every single day.

Originally Posted by NISA715

I'm just wondering why we need to know everything about Bain but no one really cared that they new nothing about Obama.

Perhaps it has something to do with the idea that this is what R-money is running on. His record as a job creator at Bain, cause he most certainly can't run on his success as a Governor.

Originally Posted by Bunion

Perhaps it has something to do with the idea that this is what R-money is running on. His record as a job creator at Bain, cause he most certainly can't run on his success as a Governor.

Exactly. This is why Obama's last run was so successful: he didn't run on anything. There was nothing for the opposition to focus on. I mean - who can argue with "CHANGE"?? And it's not like Obama actually accomplished anything before being crowned POTUS.

Mittens has to start getting WAAAY more vague and nebulous or else he's gonna throw the whole match. What he really needs to do is come up with a rad one-word bumper sticker. Gotta limit your message to one syllable.

Originally Posted by Jer

That's because (with the exception of DbT) nobody here gets a boner over obsessing about Obama. OTOH - the libdopes can't live without a constant stream of the latest info on anybody from the Dark Side. This is why you get feakiness such as Assbush listening to Rush Limbaugh and Hannity every single day.

Lolz! do you really believe this shit? I'm not voting for Obama...but his background was most certainly looked into. There were several attempts to paint him as a Kenyan, Indonesian, Muslim, domestic terrorist (Ayers), the list could go on and on. Each of these attempts to take his background and flip it into something negative didn't really work...unless you're a complete nutjob like DBT who is still in the birther camp, for example.

Why are you suggesting that Romney's business record off limits? If he doesn't want it scrutinized don't run for POTUS. Pretty simple.

Originally Posted by Adolf Assbush

Why are you suggesting that Romney's business record off limits?

Where did I suggest that? The only thing I'm suggesting is that you listen to Rush Limbaugh every day. And I'm not suggesting that. I'm stating that as fact.

Originally Posted by Jer

Where did I suggest that? The only thing I'm suggesting is that you listen to Rush Limbaugh every day. And I'm not suggesting that. I'm stating that as fact.

So what you are REALLY saying is that AA is into all kinds of self abuse?

Tell you more about Bain?

Here's another curveball for the lying flippster.

Illinois City Calls On Mitt Romney To Stop Bain-Owned Company From Outsourcing 170 Local Jobs

http://www.huffingtonpost.com/2012/0...n_1676991.html



=

Originally Posted by BmillsSkier

"tell me about Bain"

Bain is a private-equity firm that used Casino Capitalism by way of lots & lots of leverage through heavy use of tax-deductible debt, usually to finance outsized dividends for the firm’s partners and investors. When some of the investments went bad, workers and creditors felt most of the pain. Romney privatized the gains and socialized the losses:


Bain Capital’s acquisition in 1994 of Dade International, a supplier of in-vitro diagnostic products, was 81 percent financed by debt. Of the $85 million in equity, about $27 million came from Bain with the rest coming from a group of investors that included Goldman Sachs Group Inc.

From 1995 to 1999, Bain Capital tripled Dade’s debt from about $300 million to $902 million. Some of the debt was used to pay for acquisitions of DuPont Co.’s in-vitro diagnostics division in May 1996 and Behring Diagnostics, a German medical- testing company, in 1997. But some was used to finance a repurchase of half of Bain Capital’s equity for $242 million -- more than eight times its investment -- and to pay its investors almost $100 million in fees.

Dade was left in a weakened financial condition and couldn’t withstand the shocks of increased debt payments when interest rates rose and revenue from Europe fell because of a decline in the value of the euro. The company filed for bankruptcy in August 2002, because of its inability to service a $1.5 billion debt load. About 1,700 people lost their jobs while Bain Capital claimed capital gains (net of its losses in the bankruptcy) of roughly $216 million, an eightfold return.

Good summary Triage. There's another factor at play here too.

Bain, and every other private equity, hedge fund or venture capital firm, gets favorable tax treatment on what's called their "carried interest" (CI) fees. CI is a fee that the firms get from their own investors (pension funds, high net worth individuals, etc) - generally 20% of the fund's profits. Essentially a bonus paid to the PE/VC managers.

For most folks, a bonus is ordinary income taxable at the highest marginal rate. On the other hand, CI is taxed at capital gains rates,

But wait, it gets better. PE/VC/HF managers don't usually take the money out as income. Instead, they "leave" it as partners' equity in the firm and BORROW the same amount from the firm at incredibly low interest rates.

So they still get the cash, AND, instead of paying any tax on the distribution, they get a tax deduction for the interest expense on the loan.

At some point in time they will have to pay the tax at preferential cap gains rates - when they decide to repay the loans by netting against their partnership equity. But, they can also decide to take the income in a year when they have a bunch of capital losses on deals that went into the crapper.

Good work if you can get it.

Even better for The Mittster, he "negotiated" a deal when he retired in 1999 that gives him a share of Bain's profits into perpetuity. So all of those payouts are characterized as capital gains too. This is why he paid tax at about 15% of his income, even though he doesn't have a job.

I'm betting that he's also borrowed substantial amounts from his partners equity account - except in 2010. This will show up on his tax returns, which would be an excellent reason to avoid showing other years' returns.

Originally Posted by NISA715

I'm just wondering why we need to know everything about Bain but no one really cared that they new nothing about Obama.

Right, it's not like Obama wrote a detailed autobiography that told the whole story of his life. If he had done that, say a book called "Dreams Of My Father" then conservative party-liners would have no excuse for saying that they "new nothing about Obama". Because a book like that would certainly have contained more than "nothing".
Although maybe they would still have kept on making silly claims that could have been proved false with 5 seconds on google...

http://en.wikipedia.org/wiki/Dreams_of_My_Father

The autobiographical narrative tells the story of the life of Obama up to his enrollment in Harvard Law School. He was born in Honolulu, Hawaii, to Barack Obama, Sr. of Kenya, and Ann Dunham of Wichita, Kansas, who had met as students at the University of Hawaii. Obama's parents separated when he was two years old and divorced in 1964. Obama's father went to Harvard to pursue his Ph.D., but he didn't have the money to take his family with him. After that, he returned to Africa to fulfill his promise to the continent. Obama formed an image of his absent father from stories told by his mother and her parents. He saw his father only one more time, in 1971, when Obama Sr. came to Hawaii for a month's visit.[4] The elder Obama died in a car accident in 1982.[4]....

Originally Posted by Jer

The sheer volume of Bain Capital Boner/Romney Boner threads is pretty amazing. In a few days I expect it to approach Sarah Palin-type levels. All the libdopes here must have ODed on Viagra en masse.

Goddamn son...you are completely mesmerized by Palin. Give it a rest.

Originally Posted by BmillsSkier

"tell me about Bain"

More; on Romney's negotiated bailout of Bain by the FDIC in the 90s: By the time the 1989 recession began, Bain & Company found itself going broke fast. Cash flows weren't enough to service the debt imposed by the founders, and the firm could barely make payroll. In a panic, Bill Bain tapped Romney, his longtime protégé, to take the reins.

The federal records...reveal that Romney's initial rescue attempt at Bain & Company was actually a disaster – leaving the firm so financially strapped that it had "no value as a going concern." [And so] Romney was willing to go to extremes to secure a federal bailout to serve his own interests. He had a lot at stake, both financially and politically. Had Bain & Company collapsed, insiders say, it would have dealt a grave setback to Bain Capital, where Romney went on to build a personal fortune valued at as much as $250 million. It would also have short-circuited his political career before it began, tagging Romney as a failed businessman unable to rescue his own firm.

"None of us wanted to see Bain be the laughingstock of the business world," recalls a longtime Romney lieutenant who asked not to be identified. "But Mitt's reputation was on the line."

Originally Posted by Adolf Allerbush

I'm not voting for Obama...but his background was most certainly looked into.

Originally Posted by Jer

The sheer volume of Bain Capital Boner/Romney Boner threads is pretty amazing. In a few days I expect it to approach Sarah Palin-type levels. All the libdopes here must have ODed on Viagra en masse.

Do you EVER get tired of being a doosh?

Great use of facts and source Triage...

Originally Posted by gretch6364

Great use of facts and source Triage...

Excellent response, my friend. Or maybe you're not my friend and the response is not so excellent. I don't know what to say without hearts. Or horseshoes or four leaf clovers. Or an argument. Or an expertly placed emoticon.