Bush approves $17.4 billion in aid to automakers

[Chris]

In reluctantly tossing a $17.4-billion government lifeline to General Motors Corp. and Chrysler on Friday, President Bush ensured that the automakers would not fail in the coming weeks -- sparing the economy and his own legacy another potentially devastating blow. But Bush's action leaves most of the tough decisions about the the U.S. auto industry's future to President-elect Barack Obama.

The conditions Bush attached to the emergency loans, such as requiring trade unions to accept wages and benefits comparable to those at U.S. factories run by foreign automakers, were largely nonbinding and thus subject to change by the next president.

That could mean a far different future for American automakers than many analysts have been predicting.

Obama has consistently echoed Bush's call for major restructuring by U.S. automakers to assure their long-term viability in a changing global marketplace.


http://www.latimes.com/news/printedition/front/la-fi-auto-bailout20-2008dec20,0,2760713.story?track=rss

[Chris_]

A band aid for a near amputation.
 
The paient should just be allowed to expire.

[Eupher]

Dunno, free, I think the patient has been bleeding to death for some time now.

End result is still the same - terminal.

Cause of death -- Stupidity in the First Degree.

Autopsy to be performed? No.

Science doesn't even want to have the donated cadaver. Just bury the sumbitch in an unmarked grave.

[thundley4]

More reason to tell the "Big Three" to  off.

Dec. 17 (Bloomberg) -- General Motors Corp. opened its eighth vehicle plant in China and said it had no plans for adding further capacity amid slowing demand in Asia's biggest auto market.

This ``has been a big year in terms of expansion'' and it ``probably will keep us occupied for the foreseeable future,'' Kevin Wale, GM China's president, said by phone today. He spoke from the northeastern city of Shenyang after the opening of the carmaker's new 2.67 billion yuan ($390 million) plant.

GM expects to boost China sales about 9 percent next year as it adds new models and an economic stimulus plan helps revive overall demand. Auto sales in China have declined in three of the past four months because of the global economic slowdown.

``That is a short-term downturn,'' Wale said. We are ``building capacity for the long term and we are very comfortable with what we are doing.''

GM, the biggest overseas automaker in China, is counting on emerging markets and U.S. aid to help it survive a plunge in North American sales. The Detroit-based automaker expects to sell as many as 1.2 million vehicles in China next year, Wale said on Dec. 5.

Bullsh..

"GM, the biggest overseas automaker in China, is counting on emerging markets and U.S. aid to help it survive a plunge in North American sales."

Here's an idea. How about relying on producing a quality, reasonable priced vehicle like the foreign competitors can do?

[Chris]

GM needs to dump everything except Chevrolet and Cadillac. Case in point: the new GMC Acadia, which is also the new Saturn Vue, and some sort of Pontiac.  Sell Buick to the Chinese -- they'll love it.

[Baruch Menachem]

Can we still impeach the bastard? 

I am very upset about all this now.

Seriosly, would kerry have been that much worse?

[thundley4]

Can we still impeach the bastard? 

I am very upset about all this now.

Seriosly, would kerry have been that much worse?

Maybe not as far as the economy goes, but as for security of the US?  Yes Kerry would have been worse. IMO

[USA4ME]

GM needs to dump everything except Chevrolet and Cadillac.

I agree with a slight variation; I'd also keep GMAC.  IOW, Cadillac would build the luxury cars, Chevy would build the small and mid-size cars and the sports cars, and GMAC would have the SUV's and trucks.  But all these 10 different brands of essentailly the same cars and trucks, no reason for it.

.