New York City Mayor Bill de Blasio announced last week that the city would cut business ties with the Trump Organization after this month’s riot at the Capitol, which Democrats blame solely on President Trump and his rhetoric.
“The city of New York will no longer have anything to do with The Trump Organization,” de Blasio said, according to the Financial Times. “The lawyers looked at it. It was clear as a bell: that’s grounds for severing the contracts.”
The fallout from the riot at the Capitol has been swift. Social media sites Twitter and Snapchat announced they would permanently ban Trump and some of his followers.
Michael D’Antonio, a CNN contributor and Trump biographer, said, “It’s a huge problem for him. He created toxicity for an important part of his market. I don’t know if some will ever come back. Most brands try to avoid controversy. I feel like he’s forced the hands of the companies that decided to disengage.”
Last week, the PGA announced it had canceled its contract with the Trump National Golf Club in Bedminster, N.J.
Deutsche Bank also announced it would no longer do business with Trump’s company, according to a report in Bloomberg. CNN reported Signature Bank said it would begin to close Trump’s personal bank account.
The FT reported New York City has maintained deals with The Trump Organization that include two ice skating rinks, a carousel, and a golf course in the Bronx. These facilities generate about $17 million a year for The Trump Organization. The Times also reported that Cushman & Wakefield, the real estate company, said they informed the Trump family they would no longer work with them in leasing properties.
The paper reported that Eric Trump, the president’s son who works in the family business, declared the fallout is nothing more than “political discrimination.”
TREND FORECAST: While an NBC News poll released on Monday found that 43 percent of voters nationwide gave Trump a positive job approval rating, just barely down from 45 percent who said the same before the November election, we forecast as time moves forward, Trump’s potential to run for office again, as well as his popularity, will be greatly diminished.
Indeed, a poll released today by Gallup showed his final job approval rating of 34 percent. However, according to Gallop, it is not the lowest rating among presidents. Harry Truman left office with a 32 percent rating, and Trump is tied with Jimmy Carter and George W. Bush for the second-lowest.
Moreover, with the hospitality and commercial real estate sectors in economic meltdown and losing events at a number of them, including the PGA, The Trump Organization, reportedly burdened with over a billion dollars in debt, will sink him lower.
It was reported that Deutsche Bank, Trump’s biggest creditor, and two other banks announced they are cutting ties with him. We also forecast that beyond the financial pressures, lawsuits and attempts by Democrats to charge him with crimes and violations will further sap the energy out of a Trump revival.
Indeed, The Hill reported that New York State prosecutors are ramping up their investigation into Trump’s business dealings, which could lead to criminal charges.
