Bush: Automakers will get $13.4B from TARP plus an additional $4B later if they become 'viable.'

money.cnn.com ^ | 12/19/2008 | staff

[kellynla]

Bush: Automakers will get $13.4B from TARP plus an additional $4B later if they become 'viable.' More soon

[Rutles4Ever]

The money has already been appropriated for the TARP program.

So what? American Express has appropriated $15,000 to me with their shiny plastic card, but I'm not required to go out and charge $15,000 worth of fortune cookies to my account.

[70th Division]

Bob I had a lynx diesel in the 80s. Got over 40mpg. I would love to have that car again. But NO! The wacko's in Congress jacked up the diesel cost and will not let a small diesel in. You have the far right protecting their southern turf with non union foreign shops and you have the far left wacko's who want to tell YOU what you will drive and pay for. Cafe standards, emission controls, bla . . . bla . . Bla!

[kellynla]

UAW?

If you don’t like the UAW don’t join. LOL

Before this is all over, the UAW will be about as significant as a screen door on a submarine.

But you go right ahead and buy a foreign car...
the Japs & Germans will appreciate it very much!

Just don’t come crying to me when your grandchildren have to learn a foreign language to survive

[70th Division]

They have 3 months to change or give the money back. According to Bush. No jobs bank and change silly work rules. The UAW is not stupid. They know they are walking the plank. They have already put in a two tier wage system. But it will take time. Every new hire makes much lower.

[org.whodat]

The cave-in Bush.

Bush never farts, he sucks.

[org.whodat]

Here’s the kicker though,when they collapse,the “loan” is defaulted on ,money spent,and taxpayers will still be on the hook for it.

Cannot remember the congressman's name, but he said it wasn't your money. LOL

[ding_dong_daddy_from_dumas]

>>They have 3 months to change or give the money back.<<

No, the conditions like “viability” in this latest Bush bailout are so vague that they will not have to do anything except make PR statements.

[Rutles4Ever]

They have 3 months to change or give the money back. According to Bush. No jobs bank and change silly work rules. The UAW is not stupid. They know they are walking the plank. They have already put in a two tier wage system. But it will take time. Every new hire makes much lower.

Seeing that Paulson has lied repeatedly regarding the TARP, why on earth should anyone believe that there will actually be consequences after three months??

This is a total shell game, and we are the dupes.

[MBB1984]

Bush is the Edsel.

[vietvet67]

Ford is not getting any money.

My guess is that Ford will have their hand out very shortly..

[CatoRenasci]

They have 3 months to change or give the money back. According to Bush. No jobs bank and change silly work rules. The UAW is not stupid. They know they are walking the plank. They have already put in a two tier wage system. But it will take time. Every new hire makes much lower.

The stuff about the wages etc. is not binding, it's just a goal - so they don't have to change or give the money back. And the Democrats will never make them, anyway. Even if new hires are paid less, that doesn't solve the problem for decades on the wage side and doesn't even begin to address the legacy/retiree costs that add some $1500 to the price of a Detroit 3 vehicle on average. IF the Detroit 3 are going to be competitive, they have to eliminate that $1500 differential immediately (as they could in bankruptcy) so that the compete on an even playing field in terms of quality/price ratio. I will personally NEVER pay a penny towards those additional costs if I am buying the car. I can't do anything about the taxes, but I can sure as hell vote against anyone who supports the bailout.

[70th Division]

Thanks for the pic. This is exactly what Bush was talking about with work rules. The UAW will now have pressure to change because the other option is bankruptcy.

And I would venture that a year of loss is not short term. People are not buying cars world wide.

I remember in the 60s you would see people from the south come to Michigan to work. Why? Because they were paid well had health benefits and you were guaranteed a job if you showed up and worked. The unions never got it that The Big 3 is not an oligopoly anymore. We are a world market.

We went through this with the steel companies. We could ship RR over seas and get steel back cheaper than we could do it our selves because of antiquated Union work rules. Well we know where that went.

[Sir Francis Dashwood]

But you go right ahead and buy a foreign car... the Japs & Germans will appreciate it very much!

I'm keeping my 5 German cars, my Jag and my '69 Chevy truck. I'm not interested in any other American car besides the new Corvette and since I am paying for it, I want one delivered.

[Rutles4Ever]

They can’t force people to buy new cars and they can’t force banks to make auto loans. It’s as simple as that.

As unemployment does a rocket shot in 2009, the private used car market is going to put the last nails in the coffin of Detroit.

[CatoRenasci]

George Bush may end up like Millard Fillmore - his party's last president.

Unless the congressional republicans repudiate him big time, I'm done with the party after more than 50 years.

[MBB1984]

Yes, we have blatantly been betrayed by this President. In some ways he is worse than Carter in that: 1. I expected much more from Bush while I knew Carter would be a disaster and 2. He left the GOP in a much weaker position than when he was elected. Obama is the true Bush legacy. Carter helped elect Reagan.

[Gatún(CraigIsaMangoTreeLawyer)]

“Cannot remember the congressman’s name, but he said it wasn’t your money.”

I too read that and also cannot remember who said it. I wish I had kept the article.

He said something like: The tax money does not belong to the tax payers. It belongs to Congress.

[BnBlFlag]

“What GM needs to do, however, is bring back the ‘57 Chevy”.
I’d be the first in line to buy one!!!

[meyer]

Communist...

[Marathoner]

Well, guess I'll be hanging on to my 1991 Toyota Camry for a while longer.

After all, it's paid for and still runs good. It may not look the best anymore, but who cares.