The US Big Three want more $$$

[Bossxr8]

Originally Posted by vztrt

Money going to the big three.....update

http://business.theage.com.au/busine...1210-6vqu.html

This makes me shake my head. I realize that they must put conditions on the bailout money but what sort of conditions were put on Wall Street for their bailout package that cost a few thousand times more money than what the automakers want, and and was those greedy clowns that caused this whole financial meltdown in the first place. And I bet 99% of them won't be losing their jobs either. America stinks.

[irlewy86]

Originally Posted by Bossxr8

This makes me shake my head. I realize that they must put conditions on the bailout money but what sort of conditions were put on Wall Street for their bailout package that cost a few thousand times more money than what the automakers want, and and was those greedy clowns that caused this whole financial meltdown in the first place. And I bet 99% of them won't be losing their jobs either. America stinks.

They didn't even put the same conditions on their own banks as they did the major Asian banks during the Asian meltdown. Nice way to kiss a trillion dollars away. One of the largest US employers says they need all of $30 billion to survive and they want everyone sacked and have the whole place run by some Prius lovin hippy who's never had a job beyond politics

[damir05]

lol i tell you guys whats the problem, underpaid labor you and me. Just look at all the prices rising in super markets, loan rates, fuel in last few years while all this is happening and big guys pocketing their bigger and bigger profits my salary and probavly yours still hasnt changed much in last 4 years. I wont say i live bad now but if my salary went double or more like the price of food and prices of houses and prices of fuel and everything else i be able to buy new car, but if they keep increasing prices everywhere while our salaryes are down or incresed 100 dollaras in last 4-5 years how the **** can i pocket out extra money for new car. So gov first fix our salaryes so that we can live like maybe 5 years ago and ill for buy new car straight away help ford or gm or who ever, but if you keep increasing pressure on our pockets there will not be fix

[SB076]

Originally Posted by damir05

lol i tell you guys whats the problem, underpaid labor you and me. Just look at all the prices rising in super markets, loan rates, fuel in last few years while all this is happening and big guys pocketing their bigger and bigger profits my salary and probavly yours still hasnt changed much in last 4 years. I wont say i live bad now but if my salary went double or more like the price of food and prices of houses and prices of fuel and everything else i be able to buy new car, but if they keep increasing prices everywhere while our salaryes are down or incresed 100 dollaras in last 4-5 years how the **** can i pocket out extra money for new car. So gov first fix our salaryes so that we can live like maybe 5 years ago and ill for buy new car straight away help ford or gm or who ever, but if you keep increasing pressure on our pockets there will not be fix

As much as I would love for my Salary to be doubled, this isnt the answer, this will simply push more jobs overseas - Countries like Oz and US are struggling to compete with cheaper labor (and legistlive costs) from overseas countries. If salaries doubled we would all be out of work in a relatively short period of time

[vztrt]

Originally Posted by Bossxr8

This makes me shake my head. I realize that they must put conditions on the bailout money but what sort of conditions were put on Wall Street for their bailout package that cost a few thousand times more money than what the automakers want, and and was those greedy clowns that caused this whole financial meltdown in the first place. And I bet 99% of them won't be losing their jobs either. America stinks.

It was the government that changed laws that was one big factor in the Banking system getting themselves in this crapper. Before this happened the law makers actually changed the law over there from the banking secor having a debt to equity ratio of 12:1 to 33:1. But then money talks and the banks will lobby.

[vztrt]

Update on the Bill

http://news.theage.com.au/world/hous...1211-6wj4.html

Originally Posted by the Age

House backs US auto industry bailout; vote shifts to Senate

December 11, 2008 - 6:24PM


The House of Representatives approved a 14-billion-dollar government lifeline for the teetering US auto industry, but the proposal now faces stiff Republican opposition in the Senate.

The plan passed 237 to 170 late on Wednesday following several hours of intense debate, and after senior Democrats in Congress and the White House hammered out a bridge loan deal to rescue the Big Three automakers.

The bill now moves to the Senate, where strong Republican opposition in a chamber with a razor-thin Democratic majority threatens to derail the legislation.

The rescue funds for the bailout are to be drawn from a loan program set up previously to bankroll the development of fuel-efficient cars.

The bill called for up to 15 billion US dollars (11.4 billion euros) but in the end lawmakers chose to leave some funds remaining in the loan program for use by smaller companies, US media reported.

At the end of floor debate, House Speaker Nancy Pelosi said the legislation would serve as "a jumpstart for an industry and our country's economic health."

The bill "sets us on a new path to viability. It is a test. And we will soon see in a matter of weeks if the executive suites in Detroit are willing to make the choices" laid out in the legislation.

"We want to throw a lifeline for success. We do not intend to afford life support," she said, warning that auto industry bankruptcy would send US manufacturing "down into a deep pit."

In the most far-reaching intervention in US industry in years, The Auto Industry Financing and Restructuring Act calls for emergency government loans to the car companies within days to be overseen by a "car czar" appointed by outgoing President George W. Bush.

In return, automakers by March 31 would have to cut costs, settle debts and make other changes to show a path to profitability or face possible bankruptcy.

The government could choose to revoke the loans if the companies fail to make progress, or could refuse further assistance after March 31 if the Big Three have no promising survival plan, officials said.

House Majority Leader Steny Hoyer said it was critical that the government bailout proceed.

"There is a great reluctance to directly assist carmakers," he said, stressing that "the impact on the economy would be very severe" if the industry collapsed.

"If we do nothing, we face the real threat that sometime soon there will be no American auto industry," he said during the House debate.

The White House hailed the vote Wednesday night, with spokeswoman Dana Perino calling the bill "an effective and responsible approach to deal with troubled automakers and ensure the necessary restructuring occurs."

But there were serious doubts voiced by Republicans, who warned the intervention was doomed and would only postpone a day of reckoning for the car companies and autoworkers' union.

Republican Representative Tom Feeney slammed it as a "short-term solution" that would merely drain federal coffers and strain taxpayers.

"Micro-managing a business from Washington is the supreme act of hubris. It will never work," he said on the House floor.

Republican Senator Richard Shelby of Alabama agreed.

"I'm going to oppose the package because I think this is just the down payment on billions and billions to come," he said. "These are failed or failing companies."

Influential House Financial Services Committee Chairman Barney Frank, one of the bill's architects, acknowledged the extent of opposition in the Senate, where Democrats currently have only 49 seats, plus two Independents who usually vote with them.

To overcome that opposition and pass the auto bill Democrats need at least 60 votes.

Republican Senate Majority Leader Mitch McConnell said Wednesday the rescue bill would be considered by the Senate by the end of the week.

The proposed short-term loans are meant to sustain the car giants through March, allowing president-elect Barack Obama time to address the crisis after he takes office on January 20.

GM and Chrysler are first in line, after warning they are fast running out of cash. Ford, though equally hampered by slumping sales, says it faces no immediate liquidity crisis but wants a nine-billion-dollar line of credit.

The auto giants had initially asked for more than twice as much -- 34 billion US dollars -- to stave off a "catastrophic collapse."

[chevypower]

Originally Posted by Clint Eastwood

Thats what i was saying,the customer has been walking away from gas guzzling tanks for years, why havent car companys adapted to consumer trends?

Because it takes about 5 or so years from conception, through R&D to production, and the trend from large cars has been down for less than two or so years? I would prefer to see development in alternative fuels than making cars smaller and smaller until we can't fit inside them anymore. In one year, oil went from the highest of $80 a barrel, up to $140 a barrel, and now down to $40 a barrel, and now we are saying the car companies should have done something 10 years ago? I bet you if GM launched the Volt today, it would still be low in sales from the economic situation.

[Gobes32]

People forget that we are in the midst of a once in a lifetime global crisis, no one supposedly saw it coming let alone prepared for it. Do you think anyone would care about fuel efficient cars if we had the same circumstances as five years ago? Low fuel costs and high wages and everybody's house suddenly doubling in value?