Bush says no bailouts for automakers
07-16-2008, 03:46 PM
#1
Bush says no bailouts for automakers 
Originally Posted by AutoBlog
In the wake of GM's restructuring announcement, some observers are beginning to talk about government assistance to get automakers through tough times. President Bush has quickly shot down the idea of assitance for US automakers, saying that the government shouldn't be "bailing out companies." GM spokesman Greg Martin said the General isn't looking for a free pass from Uncle Sam, instead insisting the company is going to take care of itself.
While it's nice to see GM taking care of its own problems, there really isn't much else the Detroit automaker can say. Admitting that it needs help would be an admission of doom, which would further deplete its stock while signaling to customers that bankruptcy is near. A company in bankruptcy protection can go under, and companies that expire don't (theoretically) honor warranties or have parts available for repair.
As for President Bush's comments, it deserves noting that few industries are subject to more government oversight than the automotive sector, and no industry is more vital to reducing America's reliance on foreign oil.
[Source: Detroit News Photo: Getty/Luke Frazza]
While it's nice to see GM taking care of its own problems, there really isn't much else the Detroit automaker can say. Admitting that it needs help would be an admission of doom, which would further deplete its stock while signaling to customers that bankruptcy is near. A company in bankruptcy protection can go under, and companies that expire don't (theoretically) honor warranties or have parts available for repair.
As for President Bush's comments, it deserves noting that few industries are subject to more government oversight than the automotive sector, and no industry is more vital to reducing America's reliance on foreign oil.
[Source: Detroit News Photo: Getty/Luke Frazza]
07-16-2008, 06:15 PM
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i don't think the US should spend our tax dollars to bail out a multi-billion dollar company. I'm sure GM has some of the smartest minds in the business, they will figure it out.
07-16-2008, 11:36 PM
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GM wont go under. they might sell out to another company (although who can afford them), but if GM closed its doors the government would take a HUGE hit. They bail out companies that would cause economic unrest in the nation, and a huge part of this country relies on them.
same goes for FORD, even though they arent as big, and dont seem to be doing anything to correct themselves. the government wont let a big company go out...they are just making it clear that this is not their intention, considering we are headed into a recession.
same goes for FORD, even though they arent as big, and dont seem to be doing anything to correct themselves. the government wont let a big company go out...they are just making it clear that this is not their intention, considering we are headed into a recession.
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07-17-2008, 12:34 AM
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GM aint going anywhere is true. However how they operate and their size may change drastically! Which goes for all of the Big 3, which is bad news for everyone!
As for the brightest minds working for GM, I like to think that, but man, sometimes i look at some of the new cars and say.."Why the **** would GM do this?!...How could they be so stupid!!" Sometimes I am embarrased to call myself a GM lover.
Im not sure what we are going to do, only one thing is for sure, something must be done and done soon, otherwise the American Auto industry that we know it is finished!
As for the brightest minds working for GM, I like to think that, but man, sometimes i look at some of the new cars and say.."Why the **** would GM do this?!...How could they be so stupid!!" Sometimes I am embarrased to call myself a GM lover.
Im not sure what we are going to do, only one thing is for sure, something must be done and done soon, otherwise the American Auto industry that we know it is finished!
07-17-2008, 12:51 AM
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GM aint going anywhere is true. However how they operate and their size may change drastically! Which goes for all of the Big 3, which is bad news for everyone!
As for the brightest minds working for GM, I like to think that, but man, sometimes i look at some of the new cars and say.."Why the **** would GM do this?!...How could they be so stupid!!" Sometimes I am embarrased to call myself a GM lover.
Im not sure what we are going to do, only one thing is for sure, something must be done and done soon, otherwise the American Auto industry that we know it is finished!
As for the brightest minds working for GM, I like to think that, but man, sometimes i look at some of the new cars and say.."Why the **** would GM do this?!...How could they be so stupid!!" Sometimes I am embarrased to call myself a GM lover.
Im not sure what we are going to do, only one thing is for sure, something must be done and done soon, otherwise the American Auto industry that we know it is finished!
the ss hhr cobalt and silverado come to mind
07-17-2008, 11:22 AM
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The Government should be involved but not in their traditional manner where they over burden and fuckulate the matter.
Instead, a panel of experts from within the automotive community should direct the Government in its moves and, if necessary, subsidies should be used to bring this ailing industry back to full employment and prosperity - something good for all of us.
The panel of experts should be comprised solely of automotive icons and experts that have proven track records in business growth and are in touch with the general public. No tree buggers, no Senators, no congressmen, no lawyers.
Criteria of the first sessions would be to set realistic goals for control of pollution, growth of alternate power vehicles, reduction in useless & redundant Government over sight agencies, and plans to encourage after market investments.
Instead, a panel of experts from within the automotive community should direct the Government in its moves and, if necessary, subsidies should be used to bring this ailing industry back to full employment and prosperity - something good for all of us.
The panel of experts should be comprised solely of automotive icons and experts that have proven track records in business growth and are in touch with the general public. No tree buggers, no Senators, no congressmen, no lawyers.
Criteria of the first sessions would be to set realistic goals for control of pollution, growth of alternate power vehicles, reduction in useless & redundant Government over sight agencies, and plans to encourage after market investments.
07-17-2008, 11:25 AM
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I agree. I also think the government should step up and lead by example. By that I mean they should start using police hybrid vehicles, and even the President should ride around in a hybrid or alternative fuel vehicle.
07-17-2008, 06:06 PM
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Quick History Lesson - Lee Iacocca approched the Gov't when he was the head of Chrysler back in the early 80's when they were in deep trouble. Gov't said why should we help you out when you have been fighting us for years about these airbag regulations - take a hike.
Lee plopped a list of all the constituants (voters) in their state in front of each of them (senators I think) and said these are the people that would be put out of work if you let Chrysler go belly up. The Gov't quickly changed their mind and bailed out Chrysler.
GM could do the same if they chose to.
Lee plopped a list of all the constituants (voters) in their state in front of each of them (senators I think) and said these are the people that would be put out of work if you let Chrysler go belly up. The Gov't quickly changed their mind and bailed out Chrysler.
GM could do the same if they chose to.
07-17-2008, 08:00 PM
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all the hummvies in the middle east are made by gm right? and i know theres a whole lot full of brand new gm vehicles in miramar. if they have a government contract they shouldnt be doing that bad. right?
