Treasury Secretary Henry Paulson agrees to help auto makers

[Modelworks]

Auto companies need more than $15B, which is all that is left in TARP. Treasury is considering loan guarantees, funding from selling securities and prepackaged bankruptcy.

 

[Thump553]

I stand corrected, I didn't think Bush would let Paulson do this if the GOP was serious about their position. Yesterday's drama must have been all political playacting on the GOP's part.

 

[dphantom]

Originally posted by: Thump553
I stand corrected, I didn't think Bush would let Paulson do this if the GOP was serious about their position. Yesterday's drama must have been all political playacting on the GOP's part.

Don't mistake Bush for a conservative. The sooner he is out of office, the better for us conservatives in the party.

 

[miketheidiot]

Originally posted by: JS80
This doesn't make sense. I see no contagion effect of Big 3 filing bk.

you've got to be kidding.

 

[PokerGuy]

Originally posted by: dphantom

Originally posted by: Thump553
I stand corrected, I didn't think Bush would let Paulson do this if the GOP was serious about their position. Yesterday's drama must have been all political playacting on the GOP's part.

Don't mistake Bush for a conservative. The sooner he is out of office, the better for us conservatives in the party.

Agreed, Bush was one of the worst things to ever happen to real conservatives.

 

[miketheidiot]

its amazing the the republican party is making bush look like the smart one now days.

 

[Modelworks]

Feds just bought another $3B from Fannie Mae. That drops the TARP to $12B available

 

[cubby1223]

No one wants anyone to lose their job - but the government absolutely does not, and cannot have the power to choose which companies live and which companies fail.

The government should have never let Bear Stearns live and Lehman Brothers fail. The government should not be playing favorites in the auto industry.

State bailouts will probably be next. Should California be bailed out but not, say, Kansas? Then after the government chooses which states succeed and which fail, we will begin electing government officials not based on their integrity but for their greed, as that will be the only way for any of us to get a return on our taxes.

Yeah, it's my "ripple of evil", but who will say that is not far fetched?



Give the auto industry *nothing* and if you don't want to feel too bad about it, put that $14b into Welfare.

 

[Modelworks]

The flint, MI mayor just said "Jesus Christ had his Judas and America manufacturing has the US senators who voted against this plan and the American people"
Not sure I would have gone that far.

 

[theeedude]

They have 350 more where that came from.
Anyways, GM, whose pension obligations are insured by the federal government is a much more appropriate candidate for a bailout than that black hole AIG, whose credit default swaps are not the government's liability.

 

[MikeMike]

thank god, i really didnt want to see this country take a shit, every automaker (foreign/domestic) begin to have money issues, suppliers begin to have issues, dealerships closing, towns dying, etc... its nice.

 

[RbSX]

So what happens when GM still has to lose 2grand per car to pay their union obligations?

 

[cubby1223]

Originally posted by: Modelworks
The flint, MI mayor just said "Jesus Christ had his Judas and America manufacturing has the US senators who voted against this plan and the American people"
Not sure I would have gone that far.

"If you are against war you are against America"

?

 

[cubby1223]

Seriously, how does making GM more competitive equate to Japan winning? As the UAW president said.

 

[DealMonkey]

Originally posted by: evident
700b slushfund now.

It's more like petty cash.

 

[Mani]

Originally posted by: Skoorb
The more I think about this the more I think it s just fvcking despicable. Congress approved the TARP for specific items. They then specifically said no to this bailout and now it's to be used, against their wishes, with money they wanted elsewhere? Ultimate, epic, legendary fail.

In fairness, the specific items TARP was approved for are not being carried out by the current recipients, who instead of using it to lend are using it for acquisitions, bonuses, padding bottom lines, etc. Paulson naively thought that if he gave his buddies the money, they would keep their word and use for the stuff he asked.

 

[Ktulu]

Originally posted by: daveymark
so what happens next year when auto sales continue to decline? Give them more?

EVERYBODY'S sales are declining not just the big 3's. This is to keep them going until 2010 when they can finally turn a profit.

 

[da loser]

Originally posted by: MIKEMIKE
thank god, i really didnt want to see this country take a shit, every automaker (foreign/domestic) begin to have money issues, suppliers begin to have issues, dealerships closing, towns dying, etc... its nice.

since when are dealerships so important?

i've heard this argument countless times, but i fail to see their importance.

they have what 100 employees, with the sales force making the money. and of course the owner.

big whoop.

 

[cubby1223]

Oh my gosh, it is so true! The Democratic war for bailouts is the Republican war against terror!

I'm not saying bailouts are terror - I am saying the arguments, tactics, and insults used against each other are the exact same just reversed positions.