What's another $25 billion?
Meanwhile, as all eyes were focused on the Wall Street bailout, Congress gave another $25 billion to US automakers:
The US Senate Saturday approved 25 billion dollars in loan guarantees for the financially strapped US auto industry, intended to spark a wave of automotive innovation.
Ha ha ha! Is that a joke? Government money intended to spark a wave of innovation? When has free money ever had that effect? The only effect that free money has is to promote laziness!
"We're very pleased Congress has chosen to act at this critical time," said Greg Martin, director of communications for General Motors Corp's Washington office.
I'd be pleased, too, if someone just handed me $25 billion. Apparently taxpayers weren't asked for a quote, but I'll give you one anyway: "I'm pissed! GM made a bunch of crappy cars that no one wants to buy, and now we have to give them money?! WTF?
And it continues:
Chrysler Chairman Robert Nardelli, however, said this week the loan guarantees should not be considered a rescue package for struggling carmakers. "This is not a bailout," he said.
This is not a bailout! Repeat: This is not a bailout! As if saying it will somehow change reality. Believe me folks, it is a bailout.
And guess what? Nissan and Honda are going to get some of the money, too.
Welcome to the United Socialist States of America. What can you do about it? Come November 4th, vote out your incumbent legislators. Spread the word: If in doubt, vote them out!
American car companies are finally paying the piper...
...oh wait, no they aren't.
How many decades of agreeing to obscene union contracts?
How many decades of (by and large) poorly engineered cars?
How many years of federal hand outs?
How many more decades of arrogance?
And now, trying to convince folks that it is somehow just plain dumb luck that they are stuck with all of this inventory of F-150's and land yachts onto folks when the price of gasoline is what it is and will become. Worse yet, trying to stymie more fuel efficient designs and technology.
One does not have to be a trained economist to see the oil price rise coming, a few hours on the internet is ample education. Maybe the big three need to hire some economists...
Don't get me wrong, I'd love to buy an American car. Last year we bought a new car, I kept on trying to talk myself into buying one. Heck we can get a GM discount... Sorry no dice, I could not buy one with a good conscience. The Saturns are getting closer, but not close enough.
We are still a happy Toyota/ Isuzu family.
Don't worry! It's okay!!
The Fed just decided to release $630 Billion into the wild! All those cute green rectangles will soon be out in your economy, and everything will be right as rain! See? No worries!!
: clenched teeth :
What's another $200B?
On top of the Federal Reserve throwing over half a trillion at the markets this morning (which is the only reason it didn't open at 500 down), there's yet another bailout proposal coming up behind this $700B "bailout".
if
the car companies are broke they could end all those non-stop TV commercials. they are very annoying.
Which bill is this?
I'm having a hard time finding this stuff online to see who voted for it. If anyone has the bill's identification, let me know!
Unbelievable.
Good to know that GM (generally mediocre) and the other two will be rewarded for the crap they continue to turn out year after year. I would not buy an american car even if someone put a gun to my head- and my wife's family are all GM workers at Lordstown, Ohio.
At the very least the American public should be able to get a shareholders discount for buying from the big three. These companies should have re-invested their own capital back into R&D instead of shoveling it all to shareholders?
Most of GM's money goes to legacy costs, not profit payouts
They're paying for health care for 285,000 employees and 400,000 retirees, plus pensions for the retirees. In Asia and Europe, home to the Detroit 3's competitors, these costs are paid by the government.
It's not much different at Ford, where it was noted a year or two ago that for an average new vehicle, health care costs exceeded the cost of the steel used to build the car.
As for quality, yes it sucked in years past, but if you take a look at this current J D Power link you'll see that some American brands are now on a par with Toyota etc. in dependability:
http://www.jdpower.com/autos/ratings/dependability-ratings-b...
P.S. The $25 billion federal loan was approved in legislation passed Congress last year. It's in the news now because the money is actually being appropriated.
http://www.VoterBomb.com
And where might one go, Michael, if one wanted to find out more about voting out incumbent legislators?
;)