In 2012, the South will have 181 electoral votes, while New England will have only 98. Three Southern states gained electoral votes, while two in New England lost them. The Democrats cannot afford to give up on the South.
Uh...New England has 33 electoral votes on that map.
The south is not important. Democrats are competitive naturally in Virginia, North Carolina, Florida, and Missouri already and are making huge gains out west. They can, have, and will win without the south. Obviously neither party should abandon entire regions like the GOP, but it's certainly not a priority. Democrats will retain a presence there for years to come. But please, by all means take it back.
I think when he says New England, he's including the Mid Atlantic states as well.
But you're right. The GOP doesn't need to abandon the northeast anymore than the Democrats should abandon the south. You saw how writing off the south helped Kerry in 2004, and how McCain writing off the northeast (well, Palin) as the fake America helped in 2008.