Auto Execs Fly Corporate Jets to D.C., Tin Cups in Hand

[awkward1]

Originally Posted by PM_Mama00

On the radio this morning they mentioned a bunch of states and how many jobs would be lost if the companies went bankrupt. And that one guy, governor or senator of a southern state (Alabama? the one that is so very against a bailout), that state would lose a couple hundred thousand jobs.

Most of the southern states have foreign auto factories, not domestic. The exceptions being Tennessee, Lousiannna and Kentucky.

My understanding is that many southern politicians are against the bailout because the failure of Detroit will strengthen the auto industry in the south. The southern states have been attractive to these companies because of the lower cost of living, tax incentives, and not being unionized.

Louisanna - GMC
Mississippi- Toyota, Nissan
Alabama - 2 Hyundai plants, Mercedes
Georgia - Kia to open 2009
SC - BMW
TN - GM, Nissan
Ky - Toyota, Ford, GM

[SydneyK]

Congress sends auto bailout draft to the White House:
http://news.yahoo.com/s/ap/congress_autos

[Benzgirl]

Car Czar

"WASHINGTON (AP) — The White House and a top Democratic lawmaker said they were likely to strike a deal Monday on a multibillion-dollar automaker bailout that would put a government "car czar" in charge of overseeing a restructuring Detroit's Big Three"

http://www.google.com/hostednews/ap/..._v1PwD94UO0Q81


Anyone think to call Jack Welsh?

[PiKA2001]

Gee, didn't see this coming. The writings been on the wall for the last ten years, with the last 5 years being just a matter of WHEN not IF the Detroit companies will go under. I'm not against the bailout, but major restructuring will have to occur or these co.'s will be in the same predicament three months after the bailout.

[madmax]

Originally Posted by PiKA2001

Gee, didn't see this coming. The writings been on the wall for the last ten years, with the last 5 years being just a matter of WHEN not IF the Detroit companies will go under. I'm not against the bailout, but major restructuring will have to occur or these co.'s will be in the same predicament three months after the bailout.

Does that include the year they had record profits?

[PiKA2001]

Originally Posted by madmax

Does that include the year they had record profits?

Yeah, ten years ago back in the late 90's. Would you fancy a chart?

http://mjperry.blogspot.com/2008/12/...antasy-vs.html

[moe.ron]

Originally Posted by Benzgirl

Car Czar

"WASHINGTON (AP) — The White House and a top Democratic lawmaker said they were likely to strike a deal Monday on a multibillion-dollar automaker bailout that would put a government "car czar" in charge of overseeing a restructuring Detroit's Big Three"

http://www.google.com/hostednews/ap/..._v1PwD94UO0Q81


Anyone think to call Jack Welsh?

Carl Icahn would be better. He's pretty ruthless in stream lining companies.

[PM_Mama00]

Pray for yourselves America. You don't know what's about to hit you.

[Kevin]

Originally Posted by PM_Mama00

Pray for yourselves America. You don't know what's about to hit you.

nah... the UAW will be back to the table in record time if they think the Republicans won't blink here.

In the end, if this thing doesn't go through, the unions will have no one to blame for themselves when the last jobs dry up.

[KSig RC]

Originally Posted by PM_Mama00

Pray for yourselves America. You don't know what's about to hit you.

... Really? You don't think anyone gets it?

I mean . . . losing a million jobs sucks, but it's not like the situation is "pick one: jobs or no jobs" or anything nearly that simple. Maybe it's not the best idea to have 299 million people fund an archaic industry with shitty management, poor direction and a decided lack of common sense, for the betterment of the other one million?

What's "about to hit us" other than unemployment? We can deal with unemployment - turns out, the skills needed to run an assembly line are similar to the skills needed to repair bridges so people don't die during the morning commute, and that sort of investment from the majority at least shows tangible promise of return, including materials etc.

Let's not get overly dramatic here - this is an absolute tragedy for the city of Detroit. That's a fact. Extending anywhere past that is just hyperbole.

[AGDee]

The news this morning is that they are asking the President for an executive order.

The analyses of how far reaching this will be tends to agree more with PM_Mama than with Ksig RC. Some sources:
http://www.time.com/time/business/ar...862737,00.html
http://www.marketwatch.com/news/stor...6BE8721E73E%7D
http://blog.oregonlive.com/myoregon/..._would_ha.html

I'm off to move what I still have in a 2030 fund over to money markets. The Asian auto stocks are tanking today.
ETA: They pick a heck of a day to have the retirement fund website unavailable for maintenance. GRRRRRRR Ironically, during a big chunk of the bad crashing in early October, we were unable to move any funds because they were in the process of changing which of our funds were available and had a "freeze" period.

[PM_Mama00]

Originally Posted by KSig RC

... Really? You don't think anyone gets it?

I mean . . . losing a million jobs sucks, but it's not like the situation is "pick one: jobs or no jobs" or anything nearly that simple. Maybe it's not the best idea to have 299 million people fund an archaic industry with shitty management, poor direction and a decided lack of common sense, for the betterment of the other one million?

What's "about to hit us" other than unemployment? We can deal with unemployment - turns out, the skills needed to run an assembly line are similar to the skills needed to repair bridges so people don't die during the morning commute, and that sort of investment from the majority at least shows tangible promise of return, including materials etc.

Let's not get overly dramatic here - this is an absolute tragedy for the city of Detroit. That's a fact. Extending anywhere past that is just hyperbole.

I don't think YOU get it.

It's not just unemployment. This is millions of jobs across the country. That's millions of people on the street not spending money at the billions of big business and small business across the country. We can't deal with THAT MUCH unemployment. Michigan can't even deal with it now.

[AGDee]

Originally Posted by KSig RC

What's "about to hit us" other than unemployment? We can deal with unemployment - turns out, the skills needed to run an assembly line are similar to the skills needed to repair bridges so people don't die during the morning commute, and that sort of investment from the majority at least shows tangible promise of return, including materials etc.

Let's not get overly dramatic here - this is an absolute tragedy for the city of Detroit. That's a fact. Extending anywhere past that is just hyperbole.

This post makes it sound like it will have no effect on anywhere but Detroit and that it is only affecting blue collar workers on the assembly line. I would think that the people who work in the 100,000 dealerships around the country feel differently.

Here is a list of all the auto plants by state:
http://www.cnbc.com/id/27808154
They are hardly limited to Michigan.

That doesn't include suppliers, many of whom are not in Michigan. I guess we'll see how bad it could get if Bush doesn't assist. If he does, some will never believe how bad it would have been.

[ThetaPrincess24]

Originally Posted by KSig RC

... Really? You don't think anyone gets it?

I mean . . . losing a million jobs sucks, but it's not like the situation is "pick one: jobs or no jobs" or anything nearly that simple. Maybe it's not the best idea to have 299 million people fund an archaic industry with shitty management, poor direction and a decided lack of common sense, for the betterment of the other one million?

What's "about to hit us" other than unemployment? We can deal with unemployment - turns out, the skills needed to run an assembly line are similar to the skills needed to repair bridges so people don't die during the morning commute, and that sort of investment from the majority at least shows tangible promise of return, including materials etc.

Let's not get overly dramatic here - this is an absolute tragedy for the city of Detroit. That's a fact. Extending anywhere past that is just hyperbole.

Agreed.

[Benzgirl]

No more corporate jets and GM's CEO will most likely be axed.