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Old 03-31-2009, 08:25 PM
 
Location: West, Southwest, East & Northeast
3,446 posts, read 6,807,784 times
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Obama has decided bankruptcy best for GM

"Obama has determined that a prepackaged bankruptcy is the best way for General Motors Corp. to restructure and become a competitive automaker, Bloomberg reported, quoting people familiar with the matter."
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Old 03-31-2009, 08:44 PM
 
48,508 posts, read 88,463,443 times
Reputation: 18187
Don't count on it yet because there would then be no reason to insist that the CEO stepdown or for giving them 60 more days. It is going to be very difficult for a democrat to actaully do this wtihout political problems even within the party itself.
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Old 03-31-2009, 09:28 PM
 
42 posts, read 777,216 times
Reputation: 55
That is good!
Make GM more competitive. I remember two years ago when Toyato and GM made about the same amount of cars. The GM had a deficit of $32 billion dollars and Toyato made $17 billion dollars. Not to mention some auto workers made $50 to 70 bucks an hour without a college degree. This country has no hope without radical changes.
Health care is another issue! If it is not going to change, it is going to eat us all alive! We put ourselves right underneath a moving bus and we constantly blame the problems on other people.
Go ahead Obama! And make my day!

http://images.allnurses.com/smilies/added/deadhorse.gif (broken link)

Last edited by fortune-tellers; 03-31-2009 at 09:37 PM..
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Old 03-31-2009, 09:42 PM
 
Location: Great State of Texas
86,068 posts, read 76,646,398 times
Reputation: 27647
Well that should make shareholders think twice now about owning a company.
Bondholders will have to get in line but shareholders are SOL.

I wonder if the Board of Directors had any say...

This whole thing..firing the CEO, now bankruptcy and a bill in the House about executive and employee wages...doesn't bode right. A line has been crossed between business and government
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Old 03-31-2009, 09:50 PM
 
42 posts, read 777,216 times
Reputation: 55
Well, if GM did not ask for help/assistance, then the U.S. Government would never cross the line anyway. Look at AIG! Gave them $180 billion dollars...the executive did not turn things around and the U.S. taxpayers had to give the AIG an additional of $30 billion dollars.
http://images.allnurses.com/smilies/added/deadhorse.gif (broken link)
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Old 03-31-2009, 11:02 PM
 
Location: Great State of Texas
86,068 posts, read 76,646,398 times
Reputation: 27647
Go back even farther..the government gave the auto industry (GM & Chrysler) 25 billion and look what the President did. They gave the banks 700 billion..where are the banker firings and bankruptcies ?

Either play the same rules for everyone or no one. Don't pick and choose which company gets to survive and which goes under.
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Old 03-31-2009, 11:14 PM
 
1,820 posts, read 4,176,858 times
Reputation: 4907
Quote:
Originally Posted by fortune-tellers View Post
Well, if GM did not ask for help/assistance, then the U.S. Government would never cross the line anyway. Look at AIG! Gave them $180 billion dollars...the executive did not turn things around and the U.S. taxpayers had to give the AIG an additional of $30 billion dollars.
AIG? That's right what about AIG?!?!? What's your point? Oh that's right there is no point because I don't see many people clamoring for their bankruptcy and liquidation with the same passion many on here and on the street have for those "overpaid rivet pushing" blue-collar real-goods production entities we call US auto manufacturing. It just stinks of white collar "if I drink the kool-aid I too could make it to management" reverse class envy. The death of BIG banking is part #2 to the actual solution to this country's woes, and as such it will never happen. That will go a longer way towards saving this country from destitution than the white collar obsession over the fractional contention of restructuring two US car manufacturers. But white collar America doesn't want to take their medicine; blaming the blue collar worker, while mildly mentioning an incompetent management (they are like us though, with degrees, so we won't raise that point too much) is a more self-gratifying diversion....

Just because college degree holders are spineless lackies with an overblown sense of employment-worth as a proletariat (and way indebted, so by proxy obedient), doesn't mean it's all of the sudden "righteous" to rationalize the propping up of insolvent financial capital monopoly ponzi schemes such as the US banking system while villifying US manufacturing as insolvent and inefficient (both charges which the banking system is guilty of mind you). Just because AIG employs more over-leveraged "best and brightest" suburbanites (who yes, happen to be white in their majority) who consider their educational tenure at an overpriced 5 year summer camp more entitling (ironic, the entitlement comes from the white collar crowd) than an unrefined rivet pusher doesn't mean all is right with the world when all degree holders unite in one unified voice of class envy and 'stick it' to these overpaid shortcut takers, the blue collar brutes. Please, spare me the white collar sour grapes. I have an undergraduate and graduate degrees in engineering and I've never met a more collectively whiny entitled crowd than the college degree, at-will employment crowd.

Retirements didn't go the way of the dodo bird because a couple of rivet pushers decided to not take the boss' word for granted and rather opted to fight for their employment permanence. The country went to hell in a handbasket because of OUR labor class (the college holder class) who pursued the FIRE economy as a means of increasing faux productivity in the trading of "brain work" instead of export based real goods production, in a race to the bottom to produce nothing and get something out of it. The gig is up and instead of taking our medicine we pawn it off on the one class that still had the collective nads to fight for job protectionism.

That their business model is incapable of competing with foreign industries who get their "legacy costs" subsidized by their home countries doesn't faze the white collar crowd, as such facts would humanize the face of competitive disadvantage and open up the door to the idea that it was them, the white collar class, who led the way towards selling the country down the river under the 30 day money back guarantee mantra that so long as I admire my boss I can get my boss's paycheck. Lemmings.... Likewise, we rather rationalize away the national security implications of offshoring away our physical manufacturing capacity under passé arguments of "brain work" and thought trading. Works great in the ivory towers of wall st, but not much else. Von Goethe was right, there are no worse slaves than those who falsely believe they're free. To further base such belief in the possession of a printed piece of paper obtained in the pursuit of academic chaff is truly a work of slavery genius. The nerve of jabbing at GM while using AIG in the same sentence.....
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Old 04-01-2009, 02:17 AM
 
Location: Georgia, on the Florida line, right above Tallahassee
10,474 posts, read 14,494,671 times
Reputation: 6378
Quote:
Originally Posted by hindsight2020 View Post
AIG? That's right what about AIG?!?!? What's your point? Oh that's right there is no point because I don't see many people clamoring for their bankruptcy and liquidation with the same passion many on here and on the street have for those "overpaid rivet pushing" blue-collar real-goods production entities we call US auto manufacturing. It just stinks of white collar "if I drink the kool-aid I too could make it to management" reverse class envy. The death of BIG banking is part #2 to the actual solution to this country's woes, and as such it will never happen. That will go a longer way towards saving this country from destitution than the white collar obsession over the fractional contention of restructuring two US car manufacturers. But white collar America doesn't want to take their medicine; blaming the blue collar worker, while mildly mentioning an incompetent management (they are like us though, with degrees, so we won't raise that point too much) is a more self-gratifying diversion....

Just because college degree holders are spineless lackies with an overblown sense of employment-worth as a proletariat (and way indebted, so by proxy obedient), doesn't mean it's all of the sudden "righteous" to rationalize the propping up of insolvent financial capital monopoly ponzi schemes such as the US banking system while villifying US manufacturing as insolvent and inefficient (both charges which the banking system is guilty of mind you). Just because AIG employs more over-leveraged "best and brightest" suburbanites (who yes, happen to be white in their majority) who consider their educational tenure at an overpriced 5 year summer camp more entitling (ironic, the entitlement comes from the white collar crowd) than an unrefined rivet pusher doesn't mean all is right with the world when all degree holders unite in one unified voice of class envy and 'stick it' to these overpaid shortcut takers, the blue collar brutes. Please, spare me the white collar sour grapes. I have an undergraduate and graduate degrees in engineering and I've never met a more collectively whiny entitled crowd than the college degree, at-will employment crowd.

Retirements didn't go the way of the dodo bird because a couple of rivet pushers decided to not take the boss' word for granted and rather opted to fight for their employment permanence. The country went to hell in a handbasket because of OUR labor class (the college holder class) who pursued the FIRE economy as a means of increasing faux productivity in the trading of "brain work" instead of export based real goods production, in a race to the bottom to produce nothing and get something out of it. The gig is up and instead of taking our medicine we pawn it off on the one class that still had the collective nads to fight for job protectionism.

That their business model is incapable of competing with foreign industries who get their "legacy costs" subsidized by their home countries doesn't faze the white collar crowd, as such facts would humanize the face of competitive disadvantage and open up the door to the idea that it was them, the white collar class, who led the way towards selling the country down the river under the 30 day money back guarantee mantra that so long as I admire my boss I can get my boss's paycheck. Lemmings.... Likewise, we rather rationalize away the national security implications of offshoring away our physical manufacturing capacity under passé arguments of "brain work" and thought trading. Works great in the ivory towers of wall st, but not much else. Von Goethe was right, there are no worse slaves than those who falsely believe they're free. To further base such belief in the possession of a printed piece of paper obtained in the pursuit of academic chaff is truly a work of slavery genius. The nerve of jabbing at GM while using AIG in the same sentence.....
It's too late to be protectionist. And it's built into the American mindset.
Everything made in Walmart is not made in America. It's also why IBM is offshoring jobs. Because you can outsource IT to India, and IBM either plays the game, or going up in smoke. I thought about this the other day. I wanted to be mad at IBM, but I just couldn't. If they can't/won't compete, they are sunk.

GM can't compete. So they're sunk.

AIG needs backing while they wind down their business. It just so happens, their business is like a baby in the placenta. It's got little tethers tied into everywhere. I prefer to think of it as an ectopic pregnancy. It's got little feeders runing all throughout the abdomen, and it needs to be aborted. You can't just tear it out, though. You'd kill the mother.
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Old 04-01-2009, 02:38 AM
 
Location: Imaginary Figment
11,456 posts, read 13,300,656 times
Reputation: 4773
Quote:
Originally Posted by Kootr View Post
Obama has decided bankruptcy best for GM

"Obama has determined that a prepackaged bankruptcy is the best way for General Motors Corp. to restructure and become a competitive automaker, Bloomberg reported, quoting people familiar with the matter."
GM has bankrupted GM.
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Old 04-01-2009, 08:08 AM
 
22,770 posts, read 27,738,657 times
Reputation: 14617
So then what was the purpose of loaning them money?
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