Last night, Mitt Romney conducted some hastily-organized interviews with the major networks in part to respond to the deluge of attacks by Barack Obama about his role at Bain Capital. He did not do very well because I think he was confused by the lack of understanding of corporate governance the reporters exhibited in their questions.
Ironically, as the GOP pushes to slash education budgets, more and more Americans are learning less and less about how business works. Most kids are now being trained to go to work, punch a clock and expect money for work. They don’t understand the difference between passive and active income, an executive vs a shareholder position in a corporation or the relationship of a board member to a CEO. All they know now is you are either the boss or you isn’t.
Oops. I’ll bet Mitt did not see that coming. If he had, his explanations would make as much sense to the nails ladies and the dogs walkers as they do to the 1%-ers. In short, he would not be in this pickle.
As someone who holds annual shareholder meetings with the shareholders (me) and my board (me) and my CEO (me) I understand the nuance. Is it silly? Absolutely. I should not have to generate meeting minutes where the Secretary (me) takes role call of all the directors (me) and also calls for a vote on mundane things and seconds them (me and me.) But, the letter of the law and my corporate charter is very specific so we (me) do it.
But we should really move on and away from all this legal crap and into some questions everyone understands.
If you resigned as CEO, who specifically was then in charge? What was the organizational chart? Please name the names of who reported to whom. Will you release the Board of Directors meeting minutes that show these votes?
We will accept at face value that you resigned from Bain Captial in 1999. Since then, you have led the Olympics — a non profit — and were governor of Massachusetts, a public-sector job. Since being governor, you have been running for President of the United States. That is a thirteen year gap in your private-sector, for-profit business experience résumé. Please explain how this is not like a typical stay-at-home mom who may have left an executive career to raise her kids and is now trying to re-enter the workforce?
That should do it. Just two questions.
Which news organization is going to take me up on this?