Skip to main content

Romney touts bringing Samsonite to Massachusetts at minute 1:36.  IT WAS ONLY 220 JOBS!

Bain Capital was part owner of Samsonite at the time!   Details below.  

From the Press conference

We're the, you know, we're one part of that equation, but not the whole equation.

A lot of it is outside of our control, it's federal, it's international, it's private sector.

But I'm very pleased that over the last a 2, 2 and a half, years we've seen pretty consistent job growth. 50,000 new jobs created, some great companies.

We just had, last week, Samsonite* announced their headquarters moving here. Companies outside Massachusetts moving in to Massachusetts.


In October 2005, Samsonite moved 120 jobs from Rhode Island to Mansfield....  When the move is complete, the total number of employees in Mansfield will be 220 at an average salary of $67,000.

220 jobs.  WOW!


Without Romney's tax returns we can't know his personal shareholder interests in Samsonite.

Bain, Ares and the OTPPB first invested in Samsonite in 2003 with a $106m (£64.8m) recapitalisation, with Kirkland advising.

So in 2003 Romney became Governor and Bain Capital Et Al invested in Samsonite.  And then, in 2006, moved Samsonite's remaining 220 US Based employees to Massachusetts.

I think Bain and the 2 other entities bought Samsonite based on the following.  I could be wrong as I am admittedly not trained in the complexities of Private Equity funds.

What do you think?

Samsonite to Be Sold By REUTERS  Published: July 6, 2007

The luggage maker Samsonite said yesterday that it had agreed to be bought by the private equity firm CVC Capital Partners in an all-cash deal of about $1.7 billion, including assumption of debt.

Its principal shareholders  — entities controlled by Ares Management, Bain Capital Partners and Teachers’ Private Capital, a private investment branch of the Ontario Teachers’ Pension Plan — have agreed to the transaction, Samsonite said.

You can read the whole, sad Samsonite story here.   Samsonite's story is a classic example of how a man built a company, how it employed up to 8,500 laborers, and then when and how American manufacturing jobs were strip mined from our landscape by vulture capitalists like Bain Capital.

The Samsonite Story

Your Email has been sent.
You must add at least one tag to this diary before publishing it.

Add keywords that describe this diary. Separate multiple keywords with commas.
Tagging tips - Search For Tags - Browse For Tags


More Tagging tips:

A tag is a way to search for this diary. If someone is searching for "Barack Obama," is this a diary they'd be trying to find?

Use a person's full name, without any title. Senator Obama may become President Obama, and Michelle Obama might run for office.

If your diary covers an election or elected official, use election tags, which are generally the state abbreviation followed by the office. CA-01 is the first district House seat. CA-Sen covers both senate races. NY-GOV covers the New York governor's race.

Tags do not compound: that is, "education reform" is a completely different tag from "education". A tag like "reform" alone is probably not meaningful.

Consider if one or more of these tags fits your diary: Civil Rights, Community, Congress, Culture, Economy, Education, Elections, Energy, Environment, Health Care, International, Labor, Law, Media, Meta, National Security, Science, Transportation, or White House. If your diary is specific to a state, consider adding the state (California, Texas, etc). Keep in mind, though, that there are many wonderful and important diaries that don't fit in any of these tags. Don't worry if yours doesn't.

You can add a private note to this diary when hotlisting it:
Are you sure you want to remove this diary from your hotlist?
Are you sure you want to remove your recommendation? You can only recommend a diary once, so you will not be able to re-recommend it afterwards.
Rescue this diary, and add a note:
Are you sure you want to remove this diary from Rescue?
Choose where to republish this diary. The diary will be added to the queue for that group. Publish it from the queue to make it appear.

You must be a member of a group to use this feature.

Add a quick update to your diary without changing the diary itself:
Are you sure you want to remove this diary?
(The diary will be removed from the site and returned to your drafts for further editing.)
(The diary will be removed.)
Are you sure you want to save these changes to the published diary?

Comment Preferences

Subscribe or Donate to support Daily Kos.

Click here for the mobile view of the site