Congress Puts Bailout On Hold

11/17/08 UAW President, R. Gettelfinger is quoted as saying, “This industry is in a crisis situation NOT of its own making” There is no great mystery as to why this enormous decline in sales has occurred,” said Ron Gettelfinger, president of the United Automobile Workers union. “Because of the overall credit crunch, most families cannot get credit on reasonable terms to finance the purchase of a vehicle.” This UAW President is obviously on drugs if he thinks the current Auto crisis is due to the financial crisis. I guess it is not due to the fact that the UAW worker makes $70 an hour to screw in bolts on a car that last maybe 5 years.

Another case of the rich looking out for the rich, Paulson throws money at AIG, banks and Wall Street because it goes directly into the pockets of his pals. When it comes to providing a bridge loan to an industry that directly and indirectly employees a million Americans with living wage jobs, he, Bush and the Republicans say "let them eat cake". The CEO's who have plundered our industries for short term gain and shipped our jobs overseas need to hope they don't drive America beyond the rule of law because we unkempt working folks know where the money is. Enough of free market and giving away American jobs, the US and other nations that can produce more food than we consume should immediately form OFEN (organization of food exporting nations)and explain to other nations our terms for food, how much we will provide and the cost, just as OPEC does to us now. Enough Mr. Niceguy, it is time to put American jobs and citizens first!

They've had a plan for the last 25 years. Planned obsoleteness, sell Americans junk and make more money fixing it when it breaks. In the long run you need to buy 2 American cars for every Honda. My Honda Accord V6 with dual exhaust is 5 years old, has 240 HP, never broken, AND GETS 30 MPG.

Maureen---- I believe that someone somehow needs to convince the American taxpayer that turning over $25billion to these guys will fix the problem. What I have seen on the testimony of the BIG3 to Congress leaves me quite convinced that they don't have a clue as to how to fix this problem. Foe example 1) they all acknowledged they will need more money- very soon, 2)They have no business plan prepared to show how, where and for what they intend to use the money 3) when asked by congress "when will you run out of money"? They could not answer 4) When asked "what will you do differently to turn the business around to profitability"? They had no specific answer--- just a lot of rambling. 5) When asked " how did you come up with $25Billion"?--- They really had no answer, it was obvious that they just grabbed a number out of the air! I'm sorry for the situation. I'm sorry for everyone affected. But that doesn't make it right to expect the American taxpayer to hand over billions to throw down the same rat hole--- what will be different??? The BIG3 has no answer to this question--- What will be different?

I cannot believe that those top auto execs flew to Washington in their private jets to ask for bailout money. The amount of money they make (salary, bonuses, and perks) is incomprehensible to the average American worker. I work at a hotel, and most of the people I work with live paycheck to paycheck. The auto execs make me sick --- let them pay back their bonus money to their companies to bail themselves out!
And they can sell their private jets, yachts, whatever, and put that money in their company. We should not have to help them!

I think the big 3 do not deserve a bailout unless both they AND the union workers agree to serious cost reductions. That includes pay and benefits - all employees from the CEO to the janitor. Maybe the jobs so many gripe about would still be in America if they all were not so greedy.

GM.... Gimme More

55Mariposa wrote: "..the fact that the UAW worker makes $70 an hour.."

Not at all accurate. In 2006, the latest data available, the average non-union Toyota worker made $60,000. The average UAW worker made $54,000. Yet Toyota and the European car makers made profit their strategy was to make better cars. Detroit's was to sell American men on the idea that to be a man you have to buy a huge gas guzzler, which are Detroit's highest profit-margin vehicles. The commercials all present a folksy, low-pitched voice telling us not to think about it too much, that's just how things should be. What a crock!

The American Taxpayers should not have to shoulder any more bad financial decisions by corporate companies. Executives need to take a pay cut.

If Congress votes to bail out the Big 3, what is the taxpayer getting out of this. We should at least get a new car out of it. I'm sure they can find a way to right that off since they can afford to fly in private jets to D.C. to ask for OUR MONEY.

The foreign cars are beginning to pile up in the ports as well. The Republicans sure know how to spread poverty. It appears not to much is moving. Most of the foreign automakers are subsidized by their governments. The republicans have sure brought about a lot of shame to this Great Land. Jan 20th can't come quick enough for me.

They are wasting money in the stock market. It will disappear like flatulence in the wind. Money can't buy credibility. No amount of money will fix the stock market. I want to see those responsible for the looting on wallstreet in leg irons.

They should provide the automakers 25 billion each in exchange for getting high efficient new technologies on their lots by summer of 2010. Bypass the banks and use 20 billion to provide 0 % interest loans for all new technology vehicles and fire sale priced vehicles to move the existing inventory setting on their lots. No more than 2% of the 5 billion should be used for overtime to meet the deadline. This would encourage the hiring of new employees. The money should come from the bailout. Bypass the banks

I don't understand why Congress insists upon a "plan" from the auto makers. Their plan is to run full speed ahead, despite the icebergs ahead. They will waste every single dollar they get their hands on, and absolutely NOTHING will change. If there is a union still affiliated with the auto industry, then it is doomed to failure. The unions (uaw, or whoever) is a human version of cancer, producing the very same results. I can't (well actually I can), understand why the government won't just let them go bankrupt. Nothing good will come of loaning them money. This passes, and the rest of us will get screwed again. NEXT CHAPTER! Eleven...

Asking the auto companies for a plan isn't too much.

They have admitted they are hemorrhaging billions a month, so why do they expect to be given a transfusion when they have no plan to stop the hemorrhaging?

The money should be used for companies that can be fixed.

Give em a plan says "They have admitted they are hemorrhaging "

I agree...stop the bleeding don't just put a bandaid on the wound. Healing starts within...use some x-rays and look inside the company for where the bleeding begins.

We must help the thousands of hourly workers.It's the pompous and unbridled arrogance of these CEO's that needs to be brought to heel,and their contempt for the "average guy" squashed.They are not "special",nor do they deserve a salary that would rival a Saudi prince!Hey,like it,or lump it !

When will Washington wake up ? We have put them in office and pay them handsomely . Now , that mainstream America is in depression and we need real leadership from our elected officials , they bury thier heads in the sand . Political agenda has got America in this condition along with the promotion of personal agendas by polititions . We are not asking for a handout from Washington . They think we are asking for them to dig into their own pockets . It's not senator or congressman "joe's" money . It is the tax payers in America . We are those taxpayers . If they would take care of the peoples business instead of their own interests , we wouldn't be in this shape . Why are we , the only self sustaining society in the world , buying foreign oil at such prices ? Why are we spending trillions of dollars in aid to the very people that are raping our society and killing our soldiers ? Why would anyone in government stomach such actions ? Pull all military protection back , stop buying their oil , close our borders , close our financial markets , sieze their assetts in America , stop educating and feeding these people and stop providing them with infrastructure that they blow up the day after it is built . Pool these resources together and fix our problems here at home . This will either lower John Q Public's tax obligation , giving him more disposable income equalling recovery or use that tax base to give raises and health care and pension benefit to all Americans , equalling recovery , yet again . Oil prices go up to record highs = people stop spending . Realestate doesn't sell and new cars sit on lots because of this . Now instead of econonic stability you have economic stagnation . When the money stops flowing from consumers , because they have to decide "do I eat , go to the doctor , buy my medication or heat my home and put gas in the car" , the economy stops dead in it's tracts .Now , that this has hit home , politicians point fingers but don't have answers . Well , I say take all perks away from politicians and let them survive on their salary , without free healthcare . I bet you they get off their ass and find solutions then !

Can the unions, they are bankrupting the industry. Nobody deserves $78 an hour to be an assembly line worker. No one! Get rid of the unions and their stupid demands, within a month or two the same workers will be back begging for a job. Willing to work for a quarter of their ridiculous wages and benny's.

The big 3 have always paid their workers too much. (GM=GENEROUS MOTORS)
Next car I get will be a Toyota. We have enough other automakers to supply cars if these go down. Atleast for the people who can still afford one. The 3 can a flying leap. They will come back with a poor "deal" alright one that still makes them fat. And Congress will award their puny effort anyway.

Instead of giving cash to the auto industry why not do two things.
1-Give every family or single taxpayer a $20,000 tax credit to purchase a new American made car.
2-Freeze all american made car prices at their current level to prevent the car companies from profiteering.
Everybody wins.

I think we are headed to something even worse than the Depression era of the 1930s. The rich will try to hold onto everything they have but I think eventually they will lose a lot of it! People are not spending money because the money is NOT there to spend! These execs are filthy rich! I have no pity for them; only for the workers who will lose their jobs and yeah some of them are making $30-$40 per hour. I could see this coming a few years back, and GREED is what caused it all! Now they're sitting their begging with their tongues hanging out. Just like a greedy dog that never gets enuf to eat. Sad.

Smart corporate leaders have recognized the value of restructuring during Chapter 11.

Pelosi and Reid are not making an extraordinary request. They are doing the job that needs to be done. They are asking for a plan which demonstrates that American taxpayers' money will be used prudently.

The American auto industry has smart people in it. They understand the gravity of the situation. They know what they need to do. It is time to roll up their sleeves and draft a plan that makes financial sense.

This is not a complicated task. Honda and Toyota are doing it. [Maybe, our auto makers should try to recruit the best and the brightest from Honda and Toyota if they are unable to come up with a plan.]

The largest consumer of cars in America is the federal, state, county, and local governments. They work for the taxpayers. The customer wants American-made, energy-efficient cars that are just as good as the best made cars in the market.

If the American auto makers want taxpayers' money to float their re-structuring effort, then they need to comply with the terms of the lenders / investors.

Ultimately, the American auto makers need to develop and manufacture cars that AMERICAN CUSTOMERS WANT AND an incentive program to motivate American buyers buy these cars.

PanAm, TWA and many other companies were part of the American corporate landscape. They are gone.

Continental went through Chapter 11. It emerged from bankruptcy with a new fleet of planes and higher plane load levels.

America's big three auto makers should embrace the opportunity to get a "fresh start." They can be part of America's past or part of America's future. It is their choice.

Next.

The confidence