Sen. Kerry Nearly Matches Bush’s Fund-Raising

By Jeremy Pelofsky

CRAWFORD, Texas (Reuters) - Democratic presidential contender Sen. John Kerry nearly caught up to President Bush’s record-breaking fund-raising efforts by taking in $233.5 million, his campaign said on Friday, just behind the incumbent’s $242 million.

Kerry, who ran behind in the early primary polls before mounting a comeback, took in $43.7 million in July just before he and running-mate Sen. John Edwards accepted their party’s nominations.

"On the last two days of the campaign, when John Kerry and John Edwards accepted the party’s nomination, we raised $9 million online alone," Kerry campaign manager Mary Beth Cahill said in a statement. "On the strength of over 1 million Americans, we nearly matched our opponent’s primary total."

The campaign said it raised more than $80 million via the Internet from 500,000 donors.

In comparison, Bush took in $14 million last month and can still raise and spend money until Sept. 2, when he accepts his party’s nomination. In April he stopped formally raising money for his campaign and has since focused on raising money for Republican candidates and his party.

The president had a $32.5 million war chest at the end of July that he can use or turn over to other organizations before the Republican convention in New York. Kerry’s campaign ended his primary effort with $46.7 million cash on hand.

PUBLIC FINANCING

Once the candidates accept their nominations, they were to each have about $75 million in public financing for the home stretch to the Nov. 2 election. If they accept that money, they are restricted to spending only that amount.

Bush likely has an advantage over Kerry in the money race, since he has an extra month to spend money he has raised and before he is limited to using only the federal funds.

The Bush campaign spent $45.8 million in July, with more than $38.3 million going to its advertising team Maverick Media Inc., according to its monthly filing with the Federal Election Commission. The group has mounted a vigorous ad war against Kerry, including slamming his record and credibility.

In comparison, Kerry’s campaign said it spent $37.8 million in July. Specific details of its spending were not immediately available.

The Bush campaign also confirmed it had returned $6,000 in contributions from the family of an Arab businessman in Michigan amid concerns he may have tried to do business with the Iraqi government under President Saddam Hussein.

It returned $2,000 each to Asaad, Lunia and Yousif Kalasho on July 19, according to the monthly report.

The Detroit Free Press in July reported it obtained documents showing Asaad Kalasho tried to negotiate a multimillion dollar satellite television deal in 2000. Kalasho told the newspaper he pulled out after the venture failed to get the necessary approval to do business with Iraq.

A spokesman for Kalasho was not available for comment. Sanctions against Iraq at that time prevented most U.S. companies from doing business in the country.

http://www.reuters.com/newsArticle.jhtml?type=politicsNews&storyID=6034239