COMMENTARY | It was the announcement that shocked no one. At an NBC event to announce its new fall lineup Monday, Donald Trump announced that he would not run in the 2012 presidential election, according to CNN. Trump originally told media that his announcement would follow the season finale of his prime time show, "Celebrity Apprentice." The early announcement likely would have soothed fidgety advertisers not sure about signing on for the coming season if Trump bailed on his show.
The reason Trump's announcement went as expected by most Americans is that he never had any intention of being a serious candidate. Why would he? He would have to disclose what has, up until now, been private financial information. He would have to give up many of his business dealings and divest himself of several investments. He would have to serve the financial needs of the country rather than his own. He would have to clean up his mouth and learn diplomacy -- something Trump has never been good at. He would have to work with others, both those who do and do not agree with his policies. He would have to make sound financial decisions -- another skill Trump sorely lacks.
But wait a minute, you might say. Trump is a brilliant businessman. His name is all over buildings around the world. He's one of the world's richest men. Isn't he? Here's a short history of Donald Trump and his business acumen:
* When Trump took over his father's company, Elizabeth Trump and Son, as CEO, his first task was removing his grandmother's name from the company and renaming it The Trump Organization.
* Trump's penchant for highly leveraged real estate deals left him unable to meet his financial obligations starting around 1988. By 1989, the only financing he could obtain was through high-interest rate junk bonds, which he continued to issue even after it was clear that he would not be able to make interest payments on his current debt.
* In 1991, at $3.8 billion in debt, Time reports Trump was forced by his creditors, including bond-holders, to dismantle most of his real estate holdings to begin to repay some of his debt. He dangled on the edge of personal bankruptcy but was able to come to terms with creditors on every holding except the Taj Mahal casino, which filed for bankruptcy protection. When the Taj Mahal re-emerged from bankruptcy, Trump had lost half-ownership in it to the bond-holders.
* In 1992, the Trump Plaza Hotel filed for Chapter 11 bankruptcy and lost 49 percent ownership in the complex.
* By 1994, Trump had sold off much of his real estate in order to settle almost a billion dollars in personal debt and $3.5 billion in business debt.
* In 2002, the Securities and Exchange Commission filed charges against Trump Hotels and Casino Resorts Inc. for improper and misleading statements on its 1999 earnings release. The case was settled privately.
* In 2004, Trump Hotels and Casino Resorts once again filed for Chapter 11 bankruptcy protection. Trump was forced to give up another 29 percent of his ownership in the company to bond-holders to restructure. His ownership of the company dropped to 27 percent and he stepped down as CEO.
* In 2008, Trump became embroiled in a lawsuit with Deutsche Bank over the financing of the Trump International Hotel and Tower in Chicago. Sales of the units were sluggish due to the real estate crisis, and Trump stopped payments on his loan, invoking a clause in his contract. Both parties came to an agreement to allow the project to continue; it is still not 100 percent sold yet.
* In 2009, Trump Entertainment Resorts filed Chapter 11 bankruptcy and Trump was forced to vacate the Board of Directors.
* Trump estimates his own net worth at tens of billions of dollars, stating that he does his valuations "in his head." Deutsche Bank estimated his net worth at $788 million in 2005. Trump lost a libel suit against a writer for estimating his net worth at $150 to $250 million, according to the New York Post.
With four business failures to his name, the loss of much of the ownership of his "empire" and continuing pomposity toward his own skills and abilities, the announcement Monday may have shocked no one, but certainly resulted in a collective sigh of relief in both Republican and Democrat circles. Trump got two free months of publicity for his television show and the American public got something more important: a terrifying glimpse of what the Donald might do if he got a hold of the federal coffers.
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