Monday, April 23, 2012

Carlyle Names Doty OE

The Carlyle Group's press release stated:

Global alternative asset manager The Carlyle Group today announced that Elmer L. Doty, former President and Chief Executive Officer of Vought Aircraft Industries, Inc., has joined the firm as an Operating Executive for the Aerospace and Defense team.
The release failed to mention how Vought stiffed Texas taxpayers of $35 million under Carlyle and Doty.  Vought promised 3,000 new jobs by 2010.  After holding $35 million for six years, Carlyle/Vought eliminated 35 positions.  Governor Rick Perry gave Vought $1 million per Texas job lost.

Vought gunked up Boeing 787 Dreamliner production under Doty.  Vought's CEO blamed it on a liquidity problem.  And I thought that was Carlyle's expertise.

In 2007 Doty told the Dallas Business Journal:

To his disappointment, Doty added in an April 17 interview with the Dallas Business Journal, expanding in Dallas is unlikely, as are plans to buy the old Naval Air Station from the U.S. Navy. So a $35 million cash grant in 2004 from Gov. Rick Perry's Texas Enterprise Fund most likely will be repaid

A morsel was repaid before Perry rode to the rescue, renegotiating Vought's deal in time for Carlyle to sell Vought to Triumph.  Earlier Boeing bought out two Vought associated Dreamliner production sites. 

None of that made Carlyle's press release or Governor Rick Perry's aspiring Presidential run.  Perry suspended his campaign.   Doty kicked off a new one with his effusive praise for Carlyle:

I have come to know Carlyle as a firm that clearly knows how to leverage its deep industry expertise to create value not just for its investors, but also for the customers and employees of the businesses that the firm invests in.”

Investors come first.  Spoken like a PEU operator.