Bushmaster Closing...

[ldmaster]

No, truth is that he is linked to Cerberus in more than one way.

It's irrelevant that Cerberus is private, private organizations STILL have stock, they're just not publicly traded. I should know, I have stock in two private investment funds.

When a private investment firm buys a corporation, they do it for profitable reasons:

1. The business itself is potentially profitable, but might be dying under a debt load that's unmanageable. The investment groups buys out the debt and provides funding for the organization with either a deferred reimbursement, or a regulated one that doesn't cause the company to go under.

2. The holding then enters into an agreement, to whit, it will ONLY seek new funding for new ventures through the capital investment firm that owns it. The firm gives them management advice and risk analysis and generally regulates the potential expansion or improvements through either providing funding, or withholding it.

but it takes a holding company to administrate things, there is SUPPOSED to be a layer of insulation between the capital investment firm and the company itself, ostensibly, to protect the investors in the held company. But a privately held investment firm can hold publicly traded companies, it's actually a pretty normal thing.

Still scares me, since a privately held firm does not have to reveal their contracts with a holding company - only the FTC can review these, they're considered proprietary information and cannot be revealed.

With one company owning another, who owns another, with an interest in a fourth, etc... The spider's web is complex and even the dedicated investigators at the FTC are entirely overwhelmed, by the time they can get to the bottom of a problem, it's probable that the company in question who did the deed will have dissolved.

Soros Investments does, indeed, hold interests in three investment companies who hold interests in Cerberus, the EXTENT is unknown. But he managed to dump the British Pound and the Dollar with a position far less than 5 percent at the time he did it.

Oh, I forgot, like Matt Drudge, I must be a kook - President Clinton just COULDN'T have had sex with Monica Lewinsky - everybody said so. Forget that it's the kooks that set me off, I've just spent five hours tracing "positions" upwards from Cerberus.

But it's an absolute fallacy that a privately held company does not issue stock.