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Title: Sharks who made a killing out of 'care': How City predators destroyed firm caring for 31,000 old people
Source:
Mail Online
URL Source: http://www.dailymail.co.uk/news/art ... te-equity-firm-Blackstone.html
Published: Jun 2, 2011
Author: Tim Shipman
Post Date: 2011-06-03 11:13:45 by lucysmom
Keywords: Fat Cat Bailout, Privatization
Views: 10230
Comments: 19
* Care-home bailout could cost £600m * Second biggest care company also in trouble
Shark: Stephen Schwarzman's U.S. private equity firm Blackstone bought out Southern Cross Healthcare in 2004 before selling them three years later
Taxpayers face having to rescue more than 31,000 vulnerable people amid financial meltdown at the UK’s biggest care-home company.
The bill could run into hundreds of millions of pounds after ruthless City speculators left Southern Cross Healthcare in dire straits.
There is anger and outrage that so many lives have been thrown into turmoil through the actions of City venture capitalists.
The U.S. private equity firm Blackstone, led by Stephen Schwarzman, bought Southern Cross in 2004 for £162million and sold it three years later. It is believed to have quadrupled its investment.
But to achieve this it sold off the company’s homes, robbing Southern Cross of its capital and forcing it to lease the properties back from another company.
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#1. To: Badeye, A K A Stone, hondo68, Fred Mertz, Godwinson, go65, war, no gnu taxes, Skip Intro, ferret mike, jwpegler, brian s, mcgowanjm, Capitalist Eric, Mininggold (#0)
When Blackstone became a public company in 2007, it revealed that chief executive Stephen Schwarzman was paid more than a million dollars a day the previous year.That same year he had the dubious honour of being declared the ‘new King of Wall Street’ just months before the biggest crash in its history.
He was certainly the king of conspicuous consumption. While other private equity moguls tend to be shy of publicity, Schwarzman advertises his self-indulgence at every opportunity.
snip
Raised in suburban Philadelphia, Schwarzman, 64, who is estimated to be worth more than £4billion, went to Harvard Business School and was managing director of the investment bank Lehman Brothers by the time he was 31.
In 1985, he set up the Blackstone Group (schwarz is German for black) with Peter Peterson, a former Lehman’s colleague and former US Commerce Secretary under President Nixon.
It originally specialised in company mergers and acquisitions but after two decades of clever investments in almost every sector of the economy, it had grown into the world’s biggest private equity investment firm.
snip
In 2010, he compared one of President Obama’s plans to limit the financial rewards of Wall Street bosses to Hitler’s invasion of Poland in 1939.
In 2010, he compared one of President Obama’s plans to limit the financial rewards of Wall Street bosses to Hitler’s invasion of Poland in 1939.
Limiting financial rewards for these guys is too generous.
It is our responsibility to protect that child once that child’s born too. When we start debating a budget, let’s make sure we don’t cut 100,000 vaccines. Let’s make sure we’ve got health insurance. We seem to worship what we cannot see, but as soon as that baby’s born, oh no, we don’t want to be intrusive. Texas is going to shrink government until it fits inside a women’s uterus. Senator Leticia Van de Putte
#2. To: lucysmom (#1)
Democrats do this sort of thing on a nation-wide scale and reward themselves generously.
war has to do something for entertainment. The voices in his head aren't speaking to him and his imaginary friends have found reasons not to come over anymore.
#3. To: Rudgear (#2)
Democrats do this sort of thing on a nation-wide scale and reward themselves generously.
The best response you can come up with is an irrelevant "democrats do it too"?
It is our responsibility to protect that child once that child’s born too. When we start debating a budget, let’s make sure we don’t cut 100,000 vaccines. Let’s make sure we’ve got health insurance. We seem to worship what we cannot see, but as soon as that baby’s born, oh no, we don’t want to be intrusive. Texas is going to shrink government until it fits inside a women’s uterus. Senator Leticia Van de Putte
#4. To: lucysmom, Rudgear (#3)
Democrats do this sort of thing on a nation-wide scale and reward themselves generously.The best response you can come up with is an irrelevant "democrats do it too"?
If that was the case, seniors would hate SS and medicare. But they don't so you are a filthy liar Rud.
"Keep Your Goddamn Government Hands Off My Medicare!" - Various Tea Party signs.
#5. To: lucysmom (#1)
Limiting financial rewards for these guys is too generous.
The irony here is as hilarious as it is unintentional, GOOFY.
CEO pay on Wall Street has NEVER BEEN HIGHER than it is under your hero Owe- bama.
Too easy, cupcake.
Proxy IP's are amusing.....lmao
#6. To: Godwinson, Rudy (#4)
But they don't so you are a filthy liar Rud.
He's also a total idiot, something he proves with every post he makes.
#7. To: Skip Intro, Rudgear, lucysmom (#6)
The so called conservatives keep pushing a story that SS and medicare are killing seniors or is bad for seniors as a defense - yet seniors kill any politician that dares mess with those programs. That is customer loyalty. If it was a horrible program seniors, who vote in large numbers, would have eliminated the program long ago. This proves Rudgear's comment is based on willful ignorance, stupidity or outright lie.
"Keep Your Goddamn Government Hands Off My Medicare!" - Various Tea Party signs.
#8. To: Godwinson (#7)
Both you and Skippy hate being ignored, don't you Destro? You two are pathetic in your need.
war has to do something for entertainment. The voices in his head aren't speaking to him and his imaginary friends have found reasons not to come over anymore.
#9. To: Rudgear (#8)
Far out; you ignore him by posting to him to let him know this.
Were the the script writer for Palin's pep talk on Paul Revere?
#10. To: Rudgear, Skip Intro (#8)
I am Godwinson, and I just called you a filthy little liar, Rudgear. I don't ignore filthy liars like you. I call scum like you out for what you are.
"Keep Your Goddamn Government Hands Off My Medicare!" - Various Tea Party signs.
#11. To: Godwinson (#7)
The so called conservatives keep pushing a story that SS and medicare are killing seniors or is bad for seniors as a defense - yet seniors kill any politician that dares mess with those programs.
Every senior I know can't wait to qualify for SS. You know why?
Because nearly all of them are paying for their own health insurance, typically at a cost of $1,000+ per month, with annual increases of 20%-30%. Not being stupid, they all realize that soon they'll be priced out of the private insurance market. The most recent example is a lady who had her premiums increased from $1,000+ per month to over $1,400 simply because she turned 65. Needless to say, she's very happy to be able to exchange her private insurance for SS.
But when you try to explain that to the Limbot fringe they simply chant "private good, government bad" over and over.
#12. To: Godwinson (#10)
Here's a clue, Destro. Information you disagree with or reject is not by definition a lie. Needy, angry, little twerp.
war has to do something for entertainment. The voices in his head aren't speaking to him and his imaginary friends have found reasons not to come over anymore.
#13. To: Ferret Mike (#9)
Not that its any of yoru business but I reply to about a quarter to a third of Destro's and Skippy's posts to me. Go back to fretting about Sarah Palin.
war has to do something for entertainment. The voices in his head aren't speaking to him and his imaginary friends have found reasons not to come over anymore.
#14. To: Ferret Mike, Rudgear (#9)
You'll note Rudy never comments on the topic at hand. He reminds me more and more of yukon.
#15. To: Rudgear (#12)
Information you disagree with or reject
Data is data. You made a claim which was BS and I called you out on it like the scumbaggy liar you are.
"Keep Your Goddamn Government Hands Off My Medicare!" - Various Tea Party signs.
#16. To: Rudgear (#13)
Just noting the irony of your words. That doesn't bother you that much, does it?
That was too much information, but that's okay; it's good to know you do labor studies about how efficiently you use your posting time.
#17. To: Skip Intro (#14)
"You'll note Rudy never comments on the topic at hand. He reminds me more and more of yukon."
He doesn't have the legend in his own mind thing down quite yet. And he works alone, so there's still hope for him.
The Yukon group at their annual pick on any nick picnic.
#18. To: Godwinson (#7)
The so called conservatives keep pushing a story that SS and medicare are killing seniors or is bad for seniors as a defense - yet seniors kill any politician that dares mess with those programs.
Conservatives think seniors aren't capable of knowing what good for them.
It is our responsibility to protect that child once that child’s born too. When we start debating a budget, let’s make sure we don’t cut 100,000 vaccines. Let’s make sure we’ve got health insurance. We seem to worship what we cannot see, but as soon as that baby’s born, oh no, we don’t want to be intrusive. Texas is going to shrink government until it fits inside a women’s uterus. Senator Leticia Van de Putte
#19. To: Skip Intro (#11)
But when you try to explain that to the Limbot fringe they simply chant "private good, government bad" over and over.
Then there is the bit about how selfish seniors are stealing from hard working conservatives.
It is our responsibility to protect that child once that child’s born too. When we start debating a budget, let’s make sure we don’t cut 100,000 vaccines. Let’s make sure we’ve got health insurance. We seem to worship what we cannot see, but as soon as that baby’s born, oh no, we don’t want to be intrusive. Texas is going to shrink government until it fits inside a women’s uterus. Senator Leticia Van de Putte
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