Congress Puts Bailout On Hold

What happens in the USA happens here in Canada, too. Enough of bailout talks for the auto industry! The companies got themselves into trouble and should get themselves out. Even if a bailout succeeds who on earth will purchase their cars keeping in mind that nobody has any money and the banks don't loan any?!
Jim
Calgary AB

How about the gas companies bail out the auto industry. They where in cohorts with each other and drove so many into the ground with the high car prices and then with gas pricing spiking. It doesn't make sense that Tax payers to pick up the pieces.

Also, all the CEO's should step down and the companies should then be run by the tax payers, since we will be saving them while they've stepped on us.

I am very concerned about the automotive crisis in America. I am not the only one that has a problem with not treating all industries fairly. Congress gave billions to Wall Street and the banking industry but no one seems to care about "the big three." Billions were nearly handed to the banking indusrty with no questions asked. There was no proposal to say what they were going to do with the money, it was handed on a platter. The automotive industry should be bailed out, the trickle down would cost millions of jobs and money. Bailing out "the big three" is the only answer to this problem. If congress does not bail them out it shows that some industries are of higher importance. You can not hand money to the banking industry but let the automakers suffer, its unfair. The working class drives this country, without the automakers millions will suffer. Factories, restaurants, dealerships, and many other businesses will go under without the automotive industy, you can not let this happen!

I'm against all bailouts unless the government is going to give the bailout to us struggling Americans. Why would Congress gives a bailout to Wall Street, AIG and not to the automakers. Oh, I guess the Democratic congress thinks that they need to prop up Wall Street and AIG and their pricy ways/parties/retreats but not American companies that provide jobs to American workers. Whatever Congress! I wish I could fire every single one of them and bring in every day Americans to take their place. Then their job would get done!

I just read in my local paper that if they get there bail out they are thinking of moving south "Hub moving to the South to make a New Detroit. Now I'm confused, I thought one of the reasons these idiots want to be bailed out is to help save MI. They have cried & said that MI will be nothing but a state of ghost towns...So now they say they will take the money & run south. Sorry but i don't want a bunch of two faced jefks in my back yard. Stay up north & take care of your own.

Nice video coverage on CEO's arriving on Luxury Jets. What about banks ceo's who have received a bailout, have they sold their Jets.

I think they ought to treat this like federal financing of elections: add a check box to our 2008 tax return forms. "If you wish to donate a dollar to GM, Ford and Chrysler, check here. This will not increase your tax or decrease your refund."

I wonder how much they'd get?

Oh, and by the way, do the math: If GM alone is burning through $2 Billion per month (!), how long will it be before the three of 'em use up $25 B?

This "bridge loan" would be a bridge to where? To WHEN?

The Congress and the Senate MUST hold the automotive companies responsible for developing a serious improvement plan. This type of comprehensive plan cannot, realistically be done in a matter of 1-2 weeks. The auto companies have had years to do it, but didn't. Now that Congress is passing out money, they are in line with their hands held out.
They haven't done it to this point, they won't be doing it correctly in a few short days or weeks.
I feel very bad about the labor impact but this is all supposed to be part of the competitve American market.
Bailing out the auto industry is NOT the way to fix the problem.

This bailout needs to happen and soon. People keep focusing on being upset with the company leadership and totally disregarding the millions of people working for the big 3 and all their suppliers. These are millions of hardworking people that stand a great risk of losing their jobs. This will really hurt the economy and our industry base. This does NOT affect just a few states. This affects everyone. It affects your ability to get replacement car parts or even a car! This affects the amount of money available to the government to fund programs through loss of taxes. This affects our nation’s ability to step up and provide major manufacturing if a war required us to. This affects the viability of all industries that rely on people spending money. I should be Christmas shopping right now. Instead, because my husband is an engineer for Delphi and concerned about his job, we are NOT going to spend very much on Christmas this year. We are in save mode big time. Multiply that attitude by the other three million families in the same boat and the additional ten million ancillary people impacted by the potential job losses and you have a really low spending this holiday season. It just keeps spiraling on. Americans just need to realize this is one time they can't say no. The big three would not even be in Washington if it weren't for the credit crisis paralyzing the nation. The banking industry is NOT living up to the bargain of bringing liquidity to the market as part of their bailout. Get mad at the banks and not those affected by this situation.

Isn't this quite interesting. Politics as usual. Pelosi and Reid finally get smart and realize the need to cover their tails by demanding that the automakers present a detailed plan outlining how they are going to so effectively utilize any money given them that they won't be back in a few months crying for more because the reality is that without something far more concrete than what anyone else in this whole bailout fiasco has provided, they know they can't get the votes to get anything passed. AT LAST they are getting smart and giving more than mere lip service to the demand by tax payers that there be oversight and accountability - as well as viability. Too bad they didn't make sure all that was in place before half of the TARP money was doled out. And interesting, Levin (the Democrat) infers that we don't have time for all this plan stuff while Voinovich (the Republican) stands there inferring agreement but says nothing. Don't want to get our hands slapped by our fellow party members, do we. So my next question is just how low are they going to set the bar on what this plan has to promise before they go ahead and try to pass it. Personally, I want the sale of those blastid private jets at the top of the list and the key to my new car, that I'm darn sure being asked to pay for, in hand. I'd like a fuel efficient model but we know American automakers don't have many of those to pick from so would it be too much to ask if the color is red with tan (not leather) interior. I know, I know...beggers can't be choosers - unless those beggers are CEO's or union reps.

I dont see the top exects giving up the millions of dollars they recieve for salarys to save their companys, like the small business owner has to do to keep things going
And I dont get to go to the goverment and ask for a loan, why should they
It seems like they are followling the investment companys lead,- their thought seems to be we are in trouble let the tax payer pay for our mistakes, our high salarys but lets lay off 50k workers that is stupid thinking FIRE them get someone else in their take their bonuses and apply it to what they are asking for sieze their assets (asses) and make them pay for the mistakes.

the 700 billion should go to the tax payers. with the money we recieve would be returned by spending. some would buy a new car, a home, pay off credit cards.with this the auto makers, mortage companies credit cards companies would all recieve the money their asking for without paying the high price c.o.'s any extra cash.

GM is blowing through 5b per month so a 25b bailout would only delay the inevitable. We shouldn't reward companies that make bad financial decisions. Please contact your reps in Washington and email the White House to advise NO BAILOUTS for anyone.

I never thought I would say this, but it looks like Pelosi and Reid are starting to get the message. "House Speaker Nancy Pelosi and Senate Majority Leader Harry Reid said ...that the manufacturers should present a detailed plan on how they will use taxpayer money to become viable, profitable companies again."
Congress will not give them a blank check. The average auto worker earns over $74 per hour, including benefits. Do the math. Without overtime and based on a 40 hour week, that's $2960 per week or nearly $12,000 per month. Are you kidding me??? Teachers and public safety employees make far less. And don't forget the CEO's salaries, bonuses, perks (ie private jets) and golden parachutes when they retire.
They need to change how they do business or experience the challenges of Chapter 11 bankruptcy and reorganization.

No matter how smart and capable those CEO's are, they're not worth getting paid $28 millions a year or $18 millions a year if they can't make GM or Ford or Chrysler profitable enough to keep going, then they're not worth a damn. The US corporate system is so rotten and poisonous that shareholders, workers and taxpayers are ripped off to fatten the big boys. How can they have the ball to go to Congress to beg for taxpayers' money if they can't make their products competing against the Japanese products. Shame on them!!! Let them go belly up. They deserve it.

Problem Solved!! - Solution, who makes 40 billion dollars a quarter in profit?? The oil companies!! Get Ford, Gm, Chrysler execs to go ask them for a bailout!! Or how about a Saudi prince or two, pocket change to them!!
NO FEDERAL BAILOUT!!

I say GIve me the EV1 car and you can get your bailout. NO ev1 Car no bailout.

THIS IS... like giving money to homeless alcoholic in hopes he will buy food and not booze.

I have a feeling if they are bailed out, all the CEO's will
put the money into their own pockets and not restructure their companies.... and then claim bankruptcy later on anyway.

Lets compare GM and Toyota employee cost. GM UAW worker makes around $70 an hour, this includes wages and benefits. A Toyota UAW worker makes $40 an hour, which includes wages and benefits. $70-$40 = $30 an hour difference in pay.
$30 X 40 hours = $1,200 an hour difference per employee in one week. GM has 150,000 UAW workers.
150,000 X $1,200 = $180 MILLION dollars difference in ONE week. $180 million X 50 weeks = $ 9 BILLION dollars difference in ONE YEAR between GM payroll and Toyota’s payroll. No wonder the BIG 3 is going broke. Reason #2 CEO’s and executive pay and bonus structure. Reason #3 GM still has 8 U.S. brands that it manufactures…Cadillac, Saab, Buick, Pontiac, GMC, Saturn, Chevrolet & Hummer compared to Toyota’s 3 brands and Honda’s 2 brands. GM has over 7,000 dealerships compared to Toyota’s 1,500 and Honda’s 1,000 dealerships.
GM is contractually required to support thousands of workers in the UAW “Job Bank” program, which guarantees nearly FULL benefits and wages for workers who lose their job due to automation or plant closing.
GM is also under contract to provide health coverage for union retirees.