Romney Campaign Press Release - Obama's Business Record: Dead Batteries, Bankrupt Companies

"President Obama may need a ‘Secretary of Business' because he just doesn't understand how business works. The Obama Administration tried to pick winners and losers in the private sector and the results are in — bankrupt companies, billions of wasted taxpayer dollars, and 23 million Americans still struggling for work. As president, Mitt Romney will deliver real change by implementing pro-growth policies that actually create millions of good-paying jobs for American workers." — Amanda Henneberg, Romney Campaign Spokesperson

On The Campaign Trail, President Obama Has Promised To Create American Jobs By Investing In Long-Lasting Batteries:

President Obama: "I Don't Want Fuel-Efficient Cars And Long-Lasting Batteries And Wind Turbines And Solar Panels Produced In China. ... I Want Them Made Right Here In America." OBAMA: "We've got to keep making those investments. I don't want fuel-efficient cars and long-lasting batteries and wind turbines and solar panels produced in China. I want them produced right here in New Hampshire. I want them made right here in America. And we can do that." (President Barack Obama, Remarks, Nashua, NH, 10/27/12)

But President Obama Has Already Wasted Billions Of Dollars On Risky "Investments" — Costing Taxpayers Nearly $160,000 For Each Job:

President Obama's Investments In The Advanced Battery Sector Have Cost Taxpayers Nearly $160,000 For Each Job Created. "The Obama administration's investment in the advanced battery sector created just over 12,000 jobs, costing nearly $160,000 per position, according to an analysis from two Republican senators released on Wednesday." ("US Senators Say Gov't Battery Program Spent $159,000 Per Job," Reuters, 10/31/12)

• The Department Of Energy Estimated The $2 Billion Program Only Created 12,613 Jobs. "This table shows that a total of 12,613.77 jobs were ‘created' by the EDVBM Initiative from the signing of the Recovery Act on February 13, 2009, to the present." (Memo To Sen. Chuck Grassley and Sen. John Thune, "Job Creation By The Recovery Act's Electric Drive Vehicle Battery And Manufacturing Initiative (‘EDVBM Initiative')," 10/31/12)

"Many Of The Battery Plants Funded By The Obama Administration Have Not Produced As Many Jobs As Initially Promised In The Face Of Dramatically Lower Demand For Electric Vehicle Batteries." "Many of the battery plants funded by the Obama administration have not produced as many jobs as initially promised in the face of dramatically lower demand for electric vehicle batteries. Earlier this month, a Department of Energy spokesman released an update on the advanced battery manufacturing program in response to the bankruptcy of A123 Systems, one of the grant recipients." (David Shepardson, "GOP: Stimulus Battery Grants Created Few Jobs," The Detroit News, 10/31/12)

The Washington Post: "The American Taxpayer Has Gotten Precious Little For The Administration's Investment In Battery-Powered Vehicles, In Terms Of Permanent Jobs Or Lower Carbon Dioxide Emissions." "No matter how you slice it, the American taxpayer has gotten precious little for the administration's investment in battery-powered vehicles, in terms of permanent jobs or lower carbon dioxide emissions. There is no market, or not much of one, for vehicles that are less convenient and cost thousands of dollars more than similar-sized gas-powered alternatives — but do not save enough fuel to compensate. The basic theory of the Obama push for electric vehicles — if you build them, customers will come — was a myth. And an expensive one, at that." (Editorial, "GM's Vaunted Volt Is On The Road To Nowhere Fast," The Washington Post, 9/14/12)

It's No Surprise Americans Haven't Seen The Jobs President Obama Promised — He Invested In Companies Like A123 That Have Gone Bankrupt:

President Obama Steered Nearly $250 Million In Grants To A123 Systems — The Company Has Drawn Down Approximately $131 Million Of The Grant. "A123 received a $249.1 million stimulus grant from the Energy Department in 2009 as part of a battery manufacturing grant program. To date, it has drawn down about $131 million, DOE said. In 2009, the company landed more than $100 million in tax credits from the state of Michigan for a facility located there." (Alex Guillen, "A123 Files For Bankruptcy," Politico, 10/16/12)

• President Obama, In 2010: "I Want To Congratulate And Thank All The Men And Women Of A123 Systems. ... The Work You're Doing Will Help Power The American Economy For Years To Come." OBAMA: "But most of all, I want to congratulate and thank all the men and women of A123 Systems. You guys are making us proud. The work you're doing will help power the American economy for years to come. And so everybody there should just feel very, very good about what you guys are doing." (President Barack Obama, Remarks, Washington, DC, 9/13/10)

Earlier This Month, A123 Systems Filed For Bankruptcy. "A123 Systems Inc. (AONE), a maker of rechargeable lithium-ion batteries for electric cars, filed for bankruptcy after failing to make a debt payment that was due yesterday. The company listed assets of $459.8 million and debt of $376 million as of Aug. 31 in Chapter 11 documents filed today in U.S. Bankruptcy Court in Wilmington, Delaware. Chapter 11 is the section of the Bankruptcy Code used by companies to reorganize." (Dawn McCarty and Craig Trudell, "Electric Car Battery Maker A123 Systems Files Bankruptcy Papers," Bloomberg Businessweek, 10/16/12)

A123's Bankruptcy Is Threatening Another Of President Obama's Taxpayer-Backed Companies — Fisker Automotive — Which Relies On Batteries From A123. "The recent bankruptcy of battery maker A123 Systems after it won a nearly quarter-billion-dollar federal grant threatens the business prospects of another well-known government-backed company: luxury car manufacturer Fisker Automotive. Fisker has received nearly $200 million in federal loan money in recent years, but one of its signature vehicles is powered by batteries that come off the assembly line of bankrupt A123 Systems." (Jim McElhatton, "Battery Firm's Bankruptcy Threatens High-End Carmaker," The Washington Times, 10/31/12)

• A123's Bankruptcy And Attempts To Break Contracts Will "Severely" Disrupt And Harm "Fisker's Ongoing Business And Operations." "A123 reported more than one-fourth of its revenue from Fisker in 2011, but the battery maker wants a judge to break its Fisker contract as well as other contracts, saying the deals are below market and unduly burdensome. The problem for Fisker is that the car manufacturer has no short-term suppliers for the batteries that help power a high-end sports sedan it makes called the Karma. Attorneys for Fisker said in a court filing that if a judge allows A123 to break the contract, ‘Fisker's ongoing business and operations will be severely disrupted and harmed.'" (Jim McElhatton, "Battery Firm's Bankruptcy Threatens High-End Carmaker," The Washington Times, 10/31/12)

And Now A Chinese Auto Parts Maker Is Providing A $50 Million Loan To Fund A123's Bankruptcy. "A123 Systems Inc., the electric-car battery maker that recently filed for bankruptcy, is seeking emergency approval to tap a $50 million loan provided by a Chinese auto parts maker to fund its Chapter 11 case pending an auction of the clean energy firm. Lawyers for A123 Systems said Sunday in a bankruptcy court filing that Chinese auto parts maker Wanxiang Group Corp. will provide the so-called debtor-in-possession financing, replacing initial lender Johnson Controls Inc." (Patrick Fitzgerald, "Chinese Firm To Provide A123 Funds," The Wall Street Journal, 10/29/12)

And Workers At Another Obama-Backed Company Have Been Left With "So Little Work" That They Spend Hours Playing Games And Watching Movies:

A Taxpayer-Backed LG Chem Plant In Michigan Received A $151 Million Stimulus Grant — They've Spent $133 Million, Including Millions To Foreign-Owned Companies. "The U.S. Department of Energy provided a $151 million grant, part of Obama's Recovery Act. ... The company has spent $133 million so far, most for construction and equipment, records show. About 40% has gone to foreign companies -- mostly to Korea, a Target 8 analysis shows." (Ken Kolker, "Volt No Jolt: LG Chem Employees Idle," WOOD TV-NBC Grand Rapids, 10/18/12)

Workers At The LG Chem Plant Have "So Little Work To Do That They Spend Hours Playing Cards And Board Games, Reading Magazines Or Watching Movies." "Workers at LG Chem, a $300 million lithium-ion battery plant heavily funded by taxpayers, tell Target 8 that they have so little work to do that they spend hours playing cards and board games, reading magazines or watching movies. They say it's been going on for months." (Ken Kolker, "Volt No Jolt: LG Chem Employees Idle," WOOD-TV [Holland, MI], 10/18/12)

Taxpayers Have Spent $7 Million Paying The Idle Workers. "A Target 8 analysis of federal records shows taxpayers spent $7 million to train workers and have paid more than $700,000 for workers' health and dental insurance." (Ken Kolker, "Volt No Jolt: LG Chem Employees Idle," WOOD-TV [Holland, MI], 10/18/12)