Obama the Immaculate has accomplished in 100 days what Big Labor couldn't do in a century - turn control of 2 of the big 3 automakers over to the UAW.
GM's restructuring deal, approved by Obama, gives 50% ownership of the company to the federal government. 39% of the company will be owned by the UAW. Current GM stockholders will be allotted less than 1% of the company.
The Chrysler restructuring deal, to be approved by Obama, will give 59% of the company to the UAW, with the federal government getting 30%.
Think of that for a moment ....
Obama and his far left kook fringe will be determining what vehicles these companies will build. The EPA will decide what a large segment of the American car buying public will be offered - what that car buying public wants will be irrelevant.
The biggest problem these companies have had is the high cost of manufacturing vehicles, due directly to high labor costs and bloated union contracts. With the UAW running the companies, do you think the labor costs wil become more reasonable?
If the companies continue to have problems (as they surely will with these clowns in charge), the taxpayers are going to be on the hook for additional bailout money - Obama cannot allow a company failure after His vision has been implemented.
Anyone wanting one of those great looking Challengers or Camaros, a full size GM or Dodge pickup, or a SUV from these companies better go out any buy them now. V-8s will be a thing of the past. All of that is going to be phased out in favor of 3 cylinder plastic econo-boxes running on AA batteries.
Ford's choice to not take bailout money was a great move by farsighted management - they knew what hooks the money would come with. I believe that Ford will prosper in this environment, because they will be free to produce vehicles that the public actually wants to buy. If you have GM or Chrysler stock, dump it quickly. You might want to buy some Ford instead.
This is also going to force far more Americans into the showrooms of foreign car manufacturers.
GM's restructuring deal, approved by Obama, gives 50% ownership of the company to the federal government. 39% of the company will be owned by the UAW. Current GM stockholders will be allotted less than 1% of the company.
The Chrysler restructuring deal, to be approved by Obama, will give 59% of the company to the UAW, with the federal government getting 30%.
Think of that for a moment ....
Obama and his far left kook fringe will be determining what vehicles these companies will build. The EPA will decide what a large segment of the American car buying public will be offered - what that car buying public wants will be irrelevant.
The biggest problem these companies have had is the high cost of manufacturing vehicles, due directly to high labor costs and bloated union contracts. With the UAW running the companies, do you think the labor costs wil become more reasonable?
If the companies continue to have problems (as they surely will with these clowns in charge), the taxpayers are going to be on the hook for additional bailout money - Obama cannot allow a company failure after His vision has been implemented.
Anyone wanting one of those great looking Challengers or Camaros, a full size GM or Dodge pickup, or a SUV from these companies better go out any buy them now. V-8s will be a thing of the past. All of that is going to be phased out in favor of 3 cylinder plastic econo-boxes running on AA batteries.
Ford's choice to not take bailout money was a great move by farsighted management - they knew what hooks the money would come with. I believe that Ford will prosper in this environment, because they will be free to produce vehicles that the public actually wants to buy. If you have GM or Chrysler stock, dump it quickly. You might want to buy some Ford instead.
This is also going to force far more Americans into the showrooms of foreign car manufacturers.
3 comments:
I think you're right -- no more Buy American.
Part 2 is happening today - Chrysler's reorg plan wasn't good enought for Obama (it was a forgone conclusion that it would fail), so the company will file for chapter 11, and be re-org'd according to His plan.
I can't wait to see how he's going to force Ford to give it up and cave in. Taxes, regulations, etc. You just wait - it is coming.
Obama has announced that under the government's controlled chapter 11 filing by Chrysler, a new Board of Directors will be seated. 6 of its members will be installed by Obama. 3 will be installed by Fiat.
Chrysler's CEO will step down as soon as the Chapter 11 proceedings are complete. A new CEO will be appointed by Obama.
Chrysler will remain under federal control until every penny of taxpayer money loaned to Chrysler is paid back, including any additional bailout dollars that haven't been given yet. When all the money is paid back, Fiat will be allowed to gain majority ownership.
Geithner's stance on banks or other companies repaying government bailout dollars is that he will not accept any money back until he deems it appropriate. In other words, the government will own Chrysler as long as they want to.
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