while you call him a idiot for this "threat" that you know has weight to is ,as well as they do, that the threat is they get no help at all from teh goverment if they dont have a plan....
Read the quote. He didn't require they have a plan. Further, if there was no bailout at all, wouldn't they still need a plan to survive? No, this is just Obama stupidity.
Whether the bailout existed or not, wouldn't change the fact they face bankruptcy. Further, if the bailout does happen, they will still face bankruptcy.
Bear Stearns received a bail out, and yet they still went bankrupt. Oh.... but Obama didn't threaten them! If he had threatened them with bankruptcy, maybe they wouldn't have gone bankrupt! Do you not see the stupidity of this argument?
When they first came to DC, they in fact had no plan and where ripped buy both sides for it. So I fail to see how how him making a clear point to them to have a better plan when they ask for money is so bad,
Did you read their "plan"? It's the same as going bankrupt, only instead of going to court, we are going to pay them tax money to do what would happen in court.
As part of its plan, GM envisions cutting a deal with creditors to reduce in half the amount of money it owes to bank lenders, bondholders and a new benefit plan set up to provide health care to retirees, in return for an unspecified ownership stake in the company. The automaker would effectively shed the Saab, Hummer, Pontiac and Saturn nameplates and reduce its network of dealers by 27 percent.
It would close an additional 9 assembly plants, shave an additional 25,000 jobs and negotiate reductions in pay and benefits to bring them in line with those at nonunionized plants. Shareholders would agree to go without dividends until the government loan is repaid and give ownership stakes to the government if things turn out as planned.
Let's review. They plan to: Drop four nameplates, close nine plants, cut 25K jobs, negotiate reductions in pay and benefits, cut deals with creditors to reduce by half the amount of debt owed, and suspend dividend payments.
What would you look at that... it's a bankruptcy plan! This is exactly what GM would do if they filed for bankruptcy, only we get to PAY THEM with our tax money to do it.
Better idea: Let them go bankrupt, and stop our government from blowing our tax money.
also when you call him dumb on the issue, you should try not making errors like saying that 3 companies are going to go under, only may GM and Chrysler...Ford is only asking that some money be set aside in case the need comes up , but said they don't believe they will need it.
To me, if they think they
might need
nine billion dollars... then they are not exactly doing great, yes or no? Yes, Ford is doing the best of the three, true.
I guess to me, giving Ford anything from the public dole, is too much, even if it's a line of nine billion in credit they 'might' use later. I'm against all corporate welfare.