Clinton Campaign Ends January $7.6 Million in Debt.

[tekisui]

Hillary Rodham Clinton ended January with $7.6 million in debt — not including the $5 million personal loan she gave to her campaign in the run-up to the critical Super Tuesday elections, according to financial reports released Wednesday.

In contrast, Democratic rival Barack Obama’s campaign’s finances continued to be robust.

He reported raising nearly $37 million and spending nearly $31 million. His cash balance was $25 million, of which roughly $20 million can be spent on the primary. He reported a comparatively small $1 million in debts, owed largely to just three vendors.

The January monthly financial disclosure reports glimpse a behind-the-scenes imbalance that has had a significant impact on the primary contest — one that continues in the days leading up to the critical March 4 primaries in Texas and Ohio.

As the Clinton campaign scrambles for cash, Obama appears on track to raise more than $30 million again in February.

Phil Singer, a Clinton spokesman, downplayed the disparity. “Thanks to an enormous outpouring of support, we will raise more money this month than in any other so far. We have all the resources we need to compete and win,” he said.

But the Clinton report paints a picture of a one-time front-runner under enormous pressure after miscalculating that she would wrap up the nomination before or on Feb. 5.

According to the reports, Clinton raised about $20 million in January, including her loan. She spent nearly $29 million during the month.

more at link: http://www.politico.com/news/stories/0208/8613.html

[THUNDER HANDS]

1. she will be broke after Texas and Ohio

literally, broke.

Even if she wins those states, she'll struggle to put any ads on tv in Pennsylvania.

[Debi]

4. She's already broke and drowning in debt.

The cash on hand she's showing is General Election cash that her campaign cannot touch. And she owes money going all the way back to August of 2007 here in Iowa. This campaign was THE MOST poorly run campaign EVER (at least Howard Dean's campaign paid their bills - the Clinton campaign isn't even doing that).

[rox63]

20. That's why her 527 is starting up

They'll have to run the ads, since she can't afford to do it herself.

[Debi]

2. Several of those debts are from IOWA whose contest was seven weeks ago

Her campaign didn't pay taxes (Iowa, Arkansas, Missouri, Colorado to name a few), insurance fees, food/catering bills, phone bills, bills for events at schools and fair grounds, many staff members have a 'debt' owed to them.

Where did the $130 million go? How can the campaign still owe $$ to the Iowa State Fair ($6,000 some - and the fair was in August!)? What absolute piss-poor management.

[tekisui]

3. If they hit Obama on the Commander in Chief or inexperience or

any other leadership abilities, he should use this.

[Debi]

7. He SHOULD use this

I posted another thread the comparison of debt owed between the two campaigns (Clinton $7.6 million + $5 million loan vs. Obama $1.1 million). Obama does have debt in Iowa to be fair - $15,000 to the US Cellular Center and $700 dollars to Iowa Telcom. Of course his campaign kept their offices open and people on staff here in Iowa through Feb. 5th and yet owes no taxes, no back-salary, no back-rent and no catering bills here in Iowa.

A very good fiscal manager he is.

[sandnsea]

14. Wow

I know a guy who tried to run a business that way. He went around the country and just stacked up debt everywhere, was trying to turn it into a national internet development company. He's still running from the law, as far as I know. Funny how the definition of fraud changes from one person to another. I just don't know how the Clintons keep getting away with this.

[Debi]

17. I'm sure they let everyone know that they'd pay them back as soon

as the primaryes are over. ;)

[PresidentObama]

5. My question is how?

[HiFructosePronSyrup]

10. Parking spaces.

A few dozen parking spaces.

[LSK]

18. 900,000 people think he would make a good President

and send him money.

Not rocket science.

[PresidentObama]

21. Hillary Clinton is a he? Boy, that's more than rocket science right there....

[LSK]

22. thought you meant Obama

Which half the article is about.

Article mentions that Hillary thought the campaign would end by super tuesday.

[PresidentObama]

23. Read the OP headline, they were posting it to discuss Clinton.

Which I was doing.

[grantcart]

6. I am on your side but this report shows she had $ 29 million on hand

http://query.nictusa.com/pres/2008/M2/C00431569.html

[tekisui]

8. That's mentioned, read here from the article:

She reported a cash balance of $29 million. But more than $20 million of that is money dedicated to the general election. Her personal loan accounts for more than half of the remaining approximately $9 million, leaving just about $4 million in cash raised from donors.

But even that money is illusionary when measured against the reported $7.6 million in debts.

More than $2 million of the red ink is owed to chief consultant and adviser, Mark Penn. But the lengthy laundry list of IOUs also includes unpaid bills ranging from insurance coverage, phone banking, printing and catering at events in Iowa, New Hampshire and California.

[grantcart]

25. thank you

[grantcart]

26. Is there anyway to determine if recent donations are going for

current expenses or to pay past debt?

[Debi]

28. We really won't know until the reporting on February comes out

so we can see where the money went. However, many of the debts listed in her January 2008 reporting are bills that were due in 2007 and not paid.

[grantcart]

29. so probably not before the March 4th vote.

hmmm maybe they are continuing the campaign so they can continue to raise money and pay their debt.

[Debi]

30. But every day they continue the campaign they incur more debt

vicious circle and all.

[grantcart]

32. yeah but if they suddenly stop media buys that would mean that

most of their variable expenses are curtailed and the rest - rent salaries etc are fixed expenses.

[Debi]

34. You mean have the 527 take over their costs? I don't think so.

rent, salaries, etc. aren't fixed expenses because they have to open up offices in the next state and the next state and so on. They have to pay for venues to hold events and the printing/mailing costs of literature in each state.

They haven't paid their bills from 20-some contests ago - and media was only a portion of those costs - how will they pay the current and future bills?

[grantcart]

35. Well what I am saying is that they may stop all future committments

and just let the money roll in until March 4th. If they stop now their contributions will end. The key indicator will be media buys.

[Debi]

36. I guess I don't understand you - you mean stop campaigning

until March 4th? Anywhere? Nobody will give her money if she does that. It's a guarantee she'll lose on March 4th if she doesn't make the effort.

[grantcart]

37. carry on a facade until Mar 4

if she knows shes going to lose she is going to start working on the debt

[Debi]

38. Don't tell anyone

but that might be what she's doing right now.

;)

[grantcart]

39. somebody read my mind

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=132x4700549

[Debi]

41. Damn DUers are good n/t

[Debi]

13. That is General Election $$ that she cannot touch in the primary

Here's a story another poster gave me on that:

http://andrewsullivan.theatlantic.com/the_daily_dish/2008/02/january-fundrai.html

Plus it's obvious the campaign decided NOT to pay their bills to bolster the amount of COH shown and hoped that their debt would be ignored. Smarmy way of doing things.

[HiFructosePronSyrup]

9. I wonder how she feels about the bankruptcy bill now.

[ORDagnabbit]

11. repeat after me... if you cant run a campaign you cant run a country. period. end of story.

[tekisui]

15. Yep.

Talk about all talk and no substance.

[Debi]

16. Ding Ding Ding

we have a winner! :bounce:

[Adelante]

33. That's about it nt

[Independent-Voter]

12. That's some kind of fiscal responsibility! Good job HRC!

[ORDem]

19. K & R n/t

:kick:

[jakem]

24. what happens to the 20 mil if she doesnt make the GE?

just askin'

[Hawkeye-X]

27. Probably will be transferred to her Senate campaign

or pay off the debts, I dunno exactly how the law explains it.

[doni_georgia]

31. K&R

:kick:

[OzarkDem]

40. Obama's Wall Street friends

Let's hope we don't find out the hard way that he's sold them his presidency, just as he sold his senate seat to them.