Monday, May 14, 2018

Another vulture capitalism story

Toys R Us is filing for bankruptcy, despite having $11 billion in annual revenue. So why are they going under and firing 30,000 workers? Because vulture capital firms Bain Capital (remember Mitt Romney?) and KKR hostilely took over and straddled the company with $5 billion in long-term debt with $400 million in annual payments. Meanwhile Bain and KKR will walk away with $470 million in interest payments and management fees while screwing all the employees with no pension and no serverance, some of whom have been faithful to the company for over 20 years. Dump and his Dumpsters are part of parcel of this swamp.

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