I have worked for two companies owned by Private Equity firms (like Cerberus) in the past five years. A PE firm's typical M.O. is to bleed as much cash out of the company as possible, "polish the financial books" for a couple quarters and then flip it to another PE firm. Rinse and repeat... Mediocrity is a way of life in a company owned by a PE firm because all available cash is flowing directly to the PE "partner"... Stupid decisions that give a short term boost to cash flow that are not long term sustainable are common.
Think of a giant lamprey eel that is attached directly to your bank account...
What I've seen is a slight variation. First, buy it with debt, then bleed as much cash as possible, take on more debt, give large bonuses and pay days to key people, then file for bankruptcy.
