WASHINGTON — Barack Obama began April with a 5-to-1 cash advantage over a debt-saddled Hillary Rodham Clinton, setting the stage for his lopsided spending in the crucial primary state of Pennsylvania.
Financial reports the Democratic presidential candidates filed with the Federal Election Commission on Sunday show Clinton had $10.3 million in debt at the start of the month and only about $9 million cash on hand for the primaries. Obama reported having $42 million for the primary.
Clinton’s red ink poses yet another obstacle to her campaign as she seeks to end the primary season with a string of victories. She trails Obama in delegates, states won and popular votes. And she can’t dent Obama’s superior fundraising.
The March money positioned Obama to undertake an expensive April campaign in Pennsylvania, where he has spent at least twice as much as Clinton and cut into her lead. Pennsylvania votes today.
Clinton, who had kept pace financially with Obama throughout last year, had even less cash on hand than Republican John McCain.
McCain raised $15.2 million in March and had $11.6 million in the bank at the start of April. It was his best fundraising performance of the campaign, coming after he had essentially secured his party’s presidential nomination.
McCain has been on the sidelines, saving money and completing loan payments.
Nearly half of Clinton’s debt in March is money owed to the firm of her demoted former chief strategist, Mark Penn. The report shows that the campaign owes $4.6 million to Penn, Schoen & Berland Associates. The campaign already has paid the firm $14 million, including $3 million in March for polling and direct mail.
Clinton took away Penn’s role as chief adviser earlier this month after he met with Colombian officials to discuss his private work on behalf of a Colombian free-trade agreement, a trade deal Clinton opposes.
The March reports marked the end of the first quarter of 2008 and illustrated how fundraising has spiked dramatically compared with the four quarters of 2007. Obama has raised $132 million so far this year, surpassing his total for all of 2007. Clinton raised $68.5 in the first quarter of this year; her average quarterly fundraising in 2007 was $27 million. McCain has raised $38 million this year, also exceeding his 2007 total.
Money alone hasn’t guaranteed Obama victories. He spent $30.6 million in March to Clinton’s $22 million. The month began with tough contests in Ohio and Texas. He lost the popular vote to Clinton in both state primaries even though he outspent her, but he emerged with more delegates in Texas.
