The SWFs are coming! (Foreign Dictators That Own American Companies)

WorldNetDaily ^ | 07/31/2007 | Pat Buchanan

[SirLinksalot]

Here is theoretical scenario that the article mentions which is entirely possible :

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Suppose China, with its $1.2 trillion in reserves steadily rising from its soaring trade surpluses, begins to invest, through its SWF, in Boeing, Microsoft, IBM, GE and U.S. companies that build our strategic submarines, stealth bombers, satellites and missiles. Will the United States rope off the industries that build the weapons of our national defense from any ownership by SWFs?

If foreign investors can buy stock in these companies, why not foreign countries through SWFs?

[FortWorthPatriot]

I thought they were talking about Single White Females...

[weegee]

Corporate America abandoned American interests long ago. Whether it be outsourcing, trade imbalances, illegal immigrant labor, or promoting hard liberal social issues like homosexuality and abortion.

[weegee]

Foreign nations have piled up huge cash reserves.

Billions in cash leave the US to the homelands of illegal immigrant labor through wire transfers.

[Domandred]

Same...beat me to it :(

[Vn_survivor_67-68]

“The Middle American revolt that killed amnesty for the 12 million illegal aliens has buried the idea of open-borders immigration.”

“buried”???

Is Patrick trying to fool us or is he just stupid and uninformed?

[UCFRoadWarrior]

More evidence we need to dump Business Socialism and Globalist Free Trade.

The one advantage we do have is that we can rock these countires worlds by limiting our purchases and trade. A few days of this (as they lose hundreds of millions per day) will make them kowtow.

[SirLinksalot]

I know you're kidding but

SWFs = SOVEREIGN WEALTH FUNDS

We'll be hearing more of this buzzword as the years go by, much as we are now hearing the words -- SUBPRIME MORTGAGES today.

[dfwgator]

I thought they were talking about Single White Females...

I thought they were talking about Adobe Flash.

[rfp1234]

[AdamSelene235]

Suppose China, with its $1.2 trillion in reserves steadily rising from its soaring trade surpluses, begins to invest, through its SWF, in Boeing, Microsoft, IBM, GE and U.S. companies

This is the natural consequence of using the Chinese to finance the massive growth of American debt both public and private. If Americans want bigger government and bigger houses without actually paying for it, then we will continue to mortgage our future to them eevil furriners.

[SirLinksalot]

we can rock these countires worlds by limiting our purchases and trade.

I'll go along with htis if you can show me the essential goods that are made in America.

[willgolfforfood]

Don't you have to report to the SEC in a handful of days if you acquire more than a 5% stake in a publicly traded company? There was a law along these lines in the 1980's, and I don't think it's been repealed.

I don't see how they acquire a controlling interest in American defense companies without it being known far and wide.

In addition, at least these guys are interested in maintaining their cash flow and assets, evil as they are. Why would they invest cumulatively trillions of $$$ in US companies, and then start WW III and blow up their own wealth and investments?

[henkster]

Corporate execs, many of whom are not American, don’t care a bit past the next four quarters’ bottom line. So they outsource everything, close down domestic operations, and as a result continue a cycle of wage deflation. For the next year it makes their balance sheets look good.

But in the long run, who do they think will buy their products?

The real question is: Do they care?

Answer: No. They’ve got theirs.

[rpgdfmx]

Hate to tell you this, but remittance funds are a positive for the U.S. in three ways. First, they are invested in the home country (mostly in education and small businesses) which improve the life of the people in “the old country” and make them less likely to emigrate to the U.S.; secondly, a good amont returns to the U.S. in purchases (on top of capturing the labor of the emigrants who remitted the money in the first place); and third, the actual U.S. currency is banked, taking it out of circulation — this has been true since the 1840s, confirmed by studies in the U.S., as well as Britain and Italy (which depended even more than Mexico does now on remittances in the early 1900s). Besides which, remittances are only a fraction of the money owed (not earned) other countries.

[AdamSelene235]

Interesting angle. A controlling stake in Lockheed Martin works out to about 1 month of the Chinese trade deficit.

[Clam Digger]

Chely Wright, SWF.

[snowsislander]

Suppose China, with its $1.2 trillion in reserves steadily rising from its soaring trade surpluses, begins to invest, through its SWF, in Boeing, Microsoft, IBM, GE and U.S. companies that build our strategic submarines, stealth bombers, satellites and missiles. Will the United States rope off the industries that build the weapons of our national defense from any ownership by SWFs?

Red China has already brought a significant stake in the Blackstone Group, which I think will be one of their vehicles for investing in other companies.

You can see some of Blackstone's real estate portfolio here.

You can see some of Blackstone's equity investments here. (I noticed TRW on that list, but apparently it's only the automotive side of TRW.)

[HockeyPop]

http://www.amazon.com/Revolt-Elites-Betrayal-Democracy/dp/0393313719

[caisson71]

Corporate America, for the most part, has been taken over by liberal politicians. There is absolutely nothing anymore that business can say is strictly business. Everything from hiring practices to labor contracts to accounting to funding production has a political aspect. I’m not talking about complying with even the most illogical of laws but buckling to the power of politics in business practices.