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GM and Chrysler Request Billions More in Loans

hypocritexposer

Well-known member
DETROIT--

General Motors Corp. and Chrysler LLC on Tuesday told the U.S. government it needs even more taxpayer money to survive than originally thought.

Meanwhile, the United Auto Workers union said it has reached a tentative agreement with Chrysler, GM and Ford Motor Co. on modifications to existing labor contracts. The agreement was announced by UAW President Ron Gettelfinger as Chrysler unveiled new job cuts as part of its restructuring.

Acknowledging that industry conditions are worse than expected when it made the case in December for a government bailout, Chrysler requested an additional $5 billion in government loans. It originally said it would need $3 billion more. The company had previously received $4 billion from the Treasury Department.

General Motors Corp.'s restructuring proposal says the company may need up to $30 billion in government loans as it implements a survival plan that includes cutting 47,000 jobs and closing five more U.S. factories.

GM submitted the dire plan to the Treasury Department on Tuesday to explain how the Detroit automaker will become viable and repay its loans. It says GM will try to borrow up to $16.6 billion more from the government, on top of the $13.4 billion it has already received.

http://www.foxnews.com/politics/first100days/2009/02/17/gm-chrysler-billion-bailout-cash/
 

Sandhusker

Well-known member
They need to exhaust all other options before coming to the government. They haven't done that. We should be the last resort, not the first.
 
A

Anonymous

Guest
According to the Auto Execs- there is no money being loaned for people to buy with-- which kind of fits into what Congressman Rehberg said..

Last fall's TARP law aimed at freeing up lending hasn't worked, Rehberg said.

"The bigger banks are hoarding the money. That wasn't the intent. The intent was to free up the credit," he said.

Big banks considered "too big to fail," need to be broken up and bankers who broke laws and helped create this crisis should be punished, he said.

"I fall in the category of 'throw the bums in jail,' " Rehberg said, but he added that the country can never eliminate greed through legislation.

Instead of using the money the way it was intended- and freeing up credit- they've used it to pay off fat salaries, bonus's, Executive retreats (partys), buy new jetliners, and do more industry integration and monopolization.. :(
 

hypocritexposer

Well-known member
Maybe everybody has a car already that has credit. There must be a saturation point at sometime. They'll need to wait until the illegals get some money saved up!
 

aplusmnt

Well-known member
Oldtimer said:
According to the Auto Execs- there is no money being loaned for people to buy with-- which kind of fits into what Congressman Rehberg said..

Last fall's TARP law aimed at freeing up lending hasn't worked, Rehberg said.

"The bigger banks are hoarding the money. That wasn't the intent. The intent was to free up the credit," he said.

Big banks considered "too big to fail," need to be broken up and bankers who broke laws and helped create this crisis should be punished, he said.

"I fall in the category of 'throw the bums in jail,' " Rehberg said, but he added that the country can never eliminate greed through legislation.

Instead of using the money the way it was intended- and freeing up credit- they've used it to pay off fat salaries, bonus's, Executive retreats (partys), buy new jetliners, and do more industry integration and monopolization.. :(

Around here they sure are making a point to tell you that you can get financing to buy one in their commercials. I doubt that a person with good credit can not go and buy a new car if they chose to.

Maybe banks are finally doing as they should and not loaning to questionable borrowers. But I am sure the Democrats will do something about that again and encourage bad loans and the circle will begin again!
 
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