CMD superman logo.jpg SourceWatch, a project of the Center for Media and Democracy,

depends on donations from people like you!

Click here to make a tax-deductable contribution.

Talk:Carlyle Group

From SourceWatch
Jump to: navigation, search

To complete your article about The Carlyle Group, I would add the swiss website Stop Carlyle ! in french and in english. This is the only website totally dedicated to monitor The Carlyle Group. European governments don't welcome The Carlyle Group. They fear to see this fund introducing their defence sector (Bofors, Qinetiq, FiatAvio, Arianespace...). Germany and France are the first to elaborate laws and decretes to protect their key sectors from such funds. For more informations : http://stopcarlyle.isuisse.com


2005.08.24

relocated from article:

  • Tony Blair -- joins in an unspecified capacity (DemocracyNow, August 24, 2005)

the democracynow (url) page for the day states:

Report: Tony Blair to Join Carlyle Group - In news from Britain, the Sunday Mirror is reporting that Prime Minister Tony Blair is expected to join the U.S.-based investment giant Carlyle Group after he leaves Downing Street. Nicknamed the Ex-President's Club, the investment firm already has on staff former President Bush, former British Prime Minister John Major and former secretary of state James Baker.

Amy Goodman hearsay, based upon a Sunday Mirror story that states an expectation of Blair joining Carlyle is a bit thin, and I was unable to locate the Sunday Mirror article in question, as Gooman's site did not link it.

--Hugh Manatee 02:14, 25 Aug 2005 (EDT)

Materials moved from Main page for Review per Lisa Graves, CMD

WARNING! Sewage sludge is toxic. Food should not be grown in "biosolids." Join the Food Rights Network.

The Carlyle Group, headquartered in Washington D.C., was established in 1987 as a "private global investment firm that originates, structures and acts as lead equity investor in management-led buyouts, strategic minority equity investments, equity private placements, consolidations and buildups, and growth capital financings." [3] According to their website, The Carlyle Group was co-founded by William Conway, Jr. Among its many assets is Synagro, the largest processor of toxic sewage sludge in the United States.

Carlyle states that its "mission is to become the premier global private equity firm and to generate extraordinary returns while maintaining our good name and the good name of our partners. Toward that end, we have established a family of funds in the Carlyle name and a network of offices around the world. We maintain the highest standards of ethical conduct and employ a conservative, proven and disciplined approach to investing."[4]

Synagro's Detroit Sludge Bribery Scandal Involving Felon Monica Conyers, Wife of Congressman John Conyers

Monica Conyers, the Detroit politician who is the wife of powerful liberal Congressman John Conyers, is a convicted felon. According to the Detroit Free Press, "She pleaded guilty in 2009 to taking bribes to vote for Synagro Technologies in a $1.2-billion sludge disposal deal. "[1] However, neither Synagro nor its owner, the Carlyle Group, has been charged.[2]

Background

Former associates include among others, John Major, former British Prime Minister; Fidel Ramos, former Philippines President; Park Tae Joon, former South Korean Prime Minister; Saudi Prince Al-Walid; Colin Powell, former Secretary of State; James Baker III, former Secretary of State; Caspar Weinberger, former Defense Secretary; Richard Darman, former White House Budget Director; the billionaire George Soros, and even some bin Laden family members. You can add Alice Albright, daughter of Madeleine Albright, former Secretary of State; Arthur Lewitt, former SEC head; William Kennard, former head of the FCC, to this list. Finally, add in the Europeans: Karl Otto Poehl, former Bundesbank president; the now-deceased Henri Martre, who was president of Aerospatiale; and Etienne Davignon, former president of the Belgian Generale Holding Company.

Hoover's Online describes the Carlyle Group as a military-industrial complex. The Carlyle Group, Hoover's continues:

"takes part in management-led buyouts (MBOs), acquires minority stakes, and provides other investment capital for companies. It is particularly hawkish on the aerospace and defense industries, putting to good use the experience of its chairman emeritus Frank Carlucci, a former Secretary of Defense. Firms in this arena make up a significant share of the portfolio at Carlyle, one of the world's largest private equity firms. The company has also engineered MBOs and other capital deals for firms in such industries as consumer products, energy, health care, information technology, real estate, beverages, and telecommunications. Carlyle's directorship reads like George Walker Bush's inaugural ball invite list. Reagan Secretary of the Treasury James Baker serves as a senior counselor, and Richard G. Darman, former director of the Office of Management and Budget under George Herbert Walker Bush, is a managing director. Former President George Bush has served with Carlyle and Colin L. Powell, before becoming Secretary of State, made an appearance on behalf of the firm.[5]
"The company has more than $13 billion in assets under management and has invested in such names as: United Defense Industries, of Crusader artillery and Bradley Fighting Vehicle fame; Dr Pepper/Seven Up Bottling Group; and MedPointe Inc..[6] Carlyle owns about 90% of Voight Aircraft Industries, Inc..
"Although the majority of the firm's money is in North America, it is also pushing more intensely overseas, launching funds aimed at Asia, Europe, Latin America, and Russia. The firm (along with [[[Apax Partners]] and UK-based Cinven) bought a 28% share of France-based health care and business publisher Vivendi Universal Publishing. One of the company's larger moves overseas is the purchase of the transportation business of The Daiei, Japan's #2 retailer in which the company has a 90 percent stake, worth $28 million.[7]
"Its moves overseas haven't all been as easy as picking up the phone or as lucrative, however. Carlyle, along with investment firm Welsh, Carson, Anderson & Stowe, are planning to buy the yellow pages business of the financially strapped Qwest Communications while navigating the lawsuit filed by Milberg Weiss Bershad Hynes & Lerach LLP. The firm also returned portions of its European venture capital group funds to investors after the values of its investments lessened and the availability of target acquisitions decreased.[8]
"Carlyle is keeping an eye on the transportation and healthcare industries as possible candidates for deal making, but the maturing buy-out market creates fewer prize deals and more competitors.[9]
"California Public Employees' Retirement System, or CalPERS, owns more than 5% of Carlyle."[10]

History

In March 2008, "Carlyle Capital, an affiliate of the private equity firm the Carlyle Group, said that its negotiations with lenders had broken down and that it was in default on $16.6 billion in loans. Carlyle had borrowed the money to buy mortgage securities backed by Fannie Mae and Freddie Mac. All appeared well until the prices of those bonds declined and the lenders made a margin call — a demand that Carlyle put up more collateral to cover the loans." [3]

The following is taken from Hoover's Online:

"In 1987 T. Rowe Price director Edward Mathias brought together David Rubenstein, a former President Carter aide; Stephen Norris and Daniel D'Aniello, both executives with Marriott Corp.; William Conway, Jr., the CFO of MCI; and Greg Rosenbaum, a VP with a New York investment firm. They pooled their experience along with a load of money from T. Rowe Price Associates, Alex. Brown & Sons (now Deutsche Banc Alex. Brown), First Interstate (now part of Wells Fargo), and Pittsburgh's Mellon family to form a buyout firm.
"Named after the Carlyle Hotel in New York, the firm opted to make Washington, DC, its headquarters so it wouldn't get lost in the crowd of New York investment firms. The company spent its first years investing in a mish-mash of companies, using Norris' and D'Aniello's Marriott experience to focus primarily on restaurant and food service companies (including Mexican restaurant chain Chi-Chi's).
"In 1989 it wooed the well-connected Frank Carlucci, who had served as President Reagan's secretary of defense, to join the group. Soon thereafter, Carlyle began making more high-profile deals. That year it acquired Coldwell Banker's commercial real estate operations (sold 1996) and Caterair International, Marriott's airline food services (sold 1995).
"Carlucci helped redirect the firm's focus to the downsizing defense industry. Among its targets were Harsco Corp. (1990), BDM International (1991), and LTV Corp.'s missile and aircraft units (1992). Carlyle helped overhaul their operations and make them attractive (for the right price) to the industry's elite, including Boeing and Lockheed Martin.
"As the company's reputation grew, so did its cast of players. Among its new backers were James Baker and Richard Darman (both Reagan and Bush administration alums) and investor George Soros, who chipped in some $100 million into the Carlyle Partners L.P. buyout fund. With the help of its 'access capitalists' such as Baker and Saudi Prince al-Waleed bin Talal (whom the firm helped add to his fortune in a 1991 Citicorp stock transaction), Carlyle made deals in the Middle East and Western Europe (including a bailout of Euro Disney) in the mid-1990s.
"While the firm continued to be a side in the iron triangle, acquiring such defense companies as aircraft castings maker Howmet in 1995, it picked up a grab bag of holdings, such as natural food grocer Fresh Fields Markets (1994; sold 1996); the quick turnaround helped build Carlyle's war chest. The firm also began investing in industrial-cleanup companies, seeing increased government spending as a major opportunity for profit.
"As Carlyle's esteem rose, so did the number of its investors. In the late 1990s the firm launched buyout funds targeting Asia (closed 1999), Europe (closed 1998), Russia, and Latin America. At home, it faced a dwindling number of opportunities as the long-running bull market drove up prices and more investors chased fewer deals. Among those was its partnership with Cadbury Schweppes to buy the Dr Pepper Bottling Co. of Texas and merge it with its own American Bottling Co.
"Carlyle began the new century by launching Carlyle Asset Management Group, selling its stake in Le Figaro to Socpresse, acquiring Rexnord and a majority stake in CSX Lines. Extending its reach, the company partnered with GMT Communications Partners and acquired Casema in 2003."

Carlyle Funds

The Carlyle Funds include: U.S. Buyout Funds group; U.S. Venture Funds group; U.S. Real Estate Funds group; U.S. High Yield Funds group; Europe Buyout Fund; Europe Venture Fund; Asia Buyout Fund; Asia Venture Fund; and Carlyle/Riverstone Global Energy and Power Funds.

Lobbying

The company spent $480,000 for lobbying in 2006. The lobbying was done through the two lobbying firms Federalist Group and Clark & Weinstock. [4]

Carlyle has investments in France :

  • Right after the 2007 Presidential elections in France, the State purchased the Imprimerie Nationale building in Paris back from the fund. Carlyle paid 85 million euros back in 2003 plus about 120 millions in the rehabilitation of this monument. The net gain was over 171 million euros. [5]
  • Nicolas Sarkozy, the French president, honored Paul Desmarais, an eminent Canadian member of the board, with the prestigious Grand' Croix de la Legion d'Honneur on February the 18th, 2008. On March the 3rd, 2008, Pierre-Olivier Sarkozy, half brother of Nicolas, joined Carlyle Group.[6]...

Founding Partners and Senior Advisors

Contact

1001 Pennsylvania Ave. NW, Ste. 220 South
Washington, DC 20004-2505
Phone: 202-347-2626
Fax: 202-347-1818
Web: http://www.carlyle.com

Resources and Articles

SourceWatch resources

External links

NYC Sludge

References

  1. [David Ashenfelter, Monica Conyers loses bid to delay doing prison time, Detroit Free Press, August 17, 2010.
  2. Diane Bukowski, Carlyle and Synagro escape charges; Powerful global firm, subsidy engineered city pay-offs, Michigan Citizen, July 29, 2010.
  3. Vikas Bijaj, "Economy Hammered by Toxic Blend of Ailments," New York Times, March 14, 2008.
  4. Carlyle Group lobbying expenses, Open Secrets.
  5. [1], Imprimerie Nationale - speculation.
  6. [2], The Carlyle Group Names Olivier Sarkozy Co-head of Global Financial Services Group.

Articles and reports