Act 1: I like Newt. Newt is smart as hell. He knows Washington better than Romney. He is running a positive campaign. There is a good chance that Newt would be a good President.
Act 2: It will be very unfortunate for Republicans if Newt beats Romney. It will be a victory of the anti-mormom sentiment, justified by a fallacy that Newt is the more conservative candidate. Republicans know Romney is a better candidate.
Act 3: Newt cannot beat Obama. Too much baggage, too little charisma. It will just not happen. If Newt wins, Republicans lose.