Newt's Cash Cow Gets Put Down

Reporting on Politics and Policy.
Aug. 26 2011 3:40 PM

Newt's Cash Cow Gets Put Down

Peter Stone breaks the news: Newt Gingrich's extremely successful 527, American Solutions, has shut down.

According to a filing with the IRS on August 18, the 527 spent $2.9 million in the first six months of the year, but only raised $2.4 million in the same period.
A close political confidant to Gingrich since 1989, Gaylord said that the group shuttered its spacious K Street offices on July 7, when the last six staffers were laid off. At one point, the group employed more than three times that number.
Paige Bray, a fundraiser for the 527, notified Gingrich of the decision to close the operation, said Gaylord. Gingrich had no role in the matter, he added.
Advertisement

What I understand is this: Gingrich's presidential campaign hobbled the group in more ways than one. With Gingrich out of the picture, there was no way to attract donors at the pace American Solutions was used to. That might have been survivable, but Gingrich's post-announcement appearance on Meet the Press dried up support from the rest of the former speaker's network. Thousands of e-mails rolled in from angry supporters who thought that Gingrich had undermined Paul Ryan in the interview. Their checkbooks snapped shut. Soon thereafter, so did the doors of American Solutions.

David Weigel is a Slate political reporter. 

TODAY IN SLATE

Medical Examiner

The Most Terrifying Thing About Ebola 

The disease threatens humanity by preying on humanity.

I Bought the Huge iPhone. I’m Already Thinking of Returning It.

Scotland Is Just the Beginning. Expect More Political Earthquakes in Europe.

Students Aren’t Going to College Football Games as Much Anymore

And schools are getting worried.

Two Damn Good, Very Different Movies About Soldiers Returning From War

The XX Factor

Lifetime Didn’t Think the Steubenville Rape Case Was Dramatic Enough

So they added a little self-immolation.

Politics

Blacks Don’t Have a Corporal Punishment Problem

Americans do. But when blacks exhibit the same behaviors as others, it becomes part of a greater black pathology. 

Why a Sketch of Chelsea Manning Is Stirring Up Controversy

How Worried Should Poland, the Baltic States, and Georgia Be About a Russian Invasion?

Trending News Channel
Sept. 19 2014 1:11 PM Watch Flashes of Lightning Created in a Lab  
  News & Politics
Weigel
Sept. 20 2014 11:13 AM -30-
  Business
Business Insider
Sept. 20 2014 6:30 AM The Man Making Bill Gates Richer
  Life
Quora
Sept. 20 2014 7:27 AM How Do Plants Grow Aboard the International Space Station?
  Double X
The XX Factor
Sept. 19 2014 11:33 AM Planned Parenthood Is About to Make It a Lot Easier to Get Birth Control
  Slate Plus
Slate Picks
Sept. 19 2014 12:00 PM What Happened at Slate This Week? The Slatest editor tells us to read well-informed skepticism, media criticism, and more.
  Arts
Brow Beat
Sept. 20 2014 3:21 PM “The More You Know (About Black People)” Uses Very Funny PSAs to Condemn Black Stereotypes
  Technology
Future Tense
Sept. 19 2014 5:03 PM White House Chief Information Officer Will Run U.S. Ebola Response
  Health & Science
Bad Astronomy
Sept. 20 2014 7:00 AM The Shaggy Sun
  Sports
Sports Nut
Sept. 18 2014 11:42 AM Grandmaster Clash One of the most amazing feats in chess history just happened, and no one noticed.