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View Diary: Same BS, different day: Mitt Romney still not admitting he was wrong on Detroit (95 comments)

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  •  Romney wanted to cast the auto industry (9+ / 0-)

    into the clutches of his vulture capital cronies.  There is always a price at which assets could be liquidated.  GMs demise would have been a true fire sale, and all the suckers (employees, suppliers, their employees, retirees depending on pensions and benefits, etc.etc.) eat it.

    Then, to top it off, they would have the government (i.e. you and me) guarantee the financing that was done to purchase the carcass.  That way, after getting whatever remaining blood might have been squeezed out, they could come back and default on the purchase without penalty.

    In Mitt's world, this is referred to as a WIN-WIN.

    The alternative (what happened) was that the government stepped up with capital to preserve the value of the ongoing business to give it time to re-structure and weather the storm.

    It's the difference between stewardship and vampirism.

    •  Thank you. (6+ / 0-)

      So basically Mitt wanted to Bain harvest GM. Makes terrible but perfect sense.

      "A typical vice of American politics is the avoidance of saying anything real on real issues." Theodore Roosevelt.

      by StellaRay on Tue Oct 23, 2012 at 10:28:14 AM PDT

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    •  Yes (2+ / 0-)
      Recommended by:
      WheninRome, jfromga

      And that is why he cannot fully explain what he really meant or wanted to do.  

      Kind of like why he won't disclose his tax returns.  

    •  As it is, Mitt made millions (0+ / 0-)

      on the deal anyway.

      He would have made even more had he been able to crush GM and pick over its carcass.

      There was a push on from Lehman to acquire ACDelco, [which accounted for 38 Percent of GM's profits and the was felt to be sound even in the wake of car sales waning] probably pushed by GS and the rest of the vultures.

      Mitt saw more dollars and wanted to push the value down to nothing so he and his buddies could make bank. They got bank, but a smaller piece of it. It was entirely self serving.

      Rattner got owned anyway, he didn't prepare for these guys and he is a little mouse compared to them.

    •  Already happened (0+ / 0-)

      Romeny's friends in hedge funds (Paul Elliot(?) XXXX ) bought Delphi for $.67 on the dollar, it rose to $22 a share, then closed 30+ parts factories, put 25k UAW out of work and sent the jobs to China....

      Greg Palast wrote a diary on this a week so so ago....

      Without geometry, life is pointless. And blues harmonica players suck.

      by blindcynic on Tue Oct 23, 2012 at 12:26:51 PM PDT

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