White House Approves $17.4 Billion Auto Loans to GM & Chrysler

[Chevy Jim]

WOW what a relief. I was a little concearned about our Camaro order. just the thought of driving a discustang which my son said would be his second choice. no offense to any ford fans

[super60]

Originally Posted by SQUALO

Thank you from north of the border Now the Canadian gov't can implement their plan & funds...BIG ANNOUNCEMENT COMING FROM CDN GOV'T SATURDAY!

Any idea what the announcement is about ??

[josh1147]

I can't wait to vote this moron out of office....he voted FOR the Wall Street bailout and against Automotive.

What a jack-ass......

*************************************
Thank you for your correspondence regarding the proposed auto industry bailout. It was good to hear from you and I appreciate the opportunity to respond.

As you may know, the bailout package currently being discussed would provide up to $14 billion in loans to the auto industry.

There is no question that the American auto industry is in a serious predicament - one with far-reaching consequences. That said, I am concerned that adding to government debt will not help these businesses change course and address the issues that have brought them to this point. We simply cannot borrow our way into prosperity, obligating future generations to historic levels of national debt is a recipe for disaster.

It is not clear how the bailout would actually help the auto industry, auto workers and related businesses over the long term. I am very concerned with the tremendous cost of servicing our growing national debt and the real possibility of bankrupting our nation. Moreover, the appointment of a federal bureaucrat as an "auto czar" is a severe and dubious encroachment of government into industry. Auto workers and their families deserve better than a prolonged failure, accompanied by waves of layoffs and plant closings.

The auto industry is a vital part of our American economy. It supports many feeder industries and countless American workers contribute to building the vehicles we drive. The current crisis provides an excellent opportunity to re-think the way this industry does business and I am committed to supporting the kind of reform that will strengthen our domestic auto industry and encourage future innovation. I voted against the current package because I do not believe it did that effectively.

An alternative plan set forth by Republican leadership calls for restructuring from the management level down, incentivizes private investment and encourages innovation. You can view this plan here.

As Americans we have a history of overcoming hardship. Properly managed, I believe this failure will open the door to new successes, fresh ideas and worldwide leadership for the American auto industry. When the auto industry was in its infancy, partnership between eager American workers, innovative managers, and creative designers revolutionized transportation and inspired the world. We can and should be world leaders in evolving transportation once again - to be cleaner, more efficient and less expensive. I look forward to seeing what Americans can do when we address the current problems in the auto industry and innovate for a more competitive future.

Again, thank you for taking the time to contact my office. It is a privilege to represent you and I hope that you will not hesitate to contact me regarding any matter where I might be of assistance. If you would like more information on issues, or would like to share further thoughts with me via e-mail, you may visit my website.

Sincerely,

W. Todd Akin
Member of Congress

[HeatherR]

Originally Posted by bobscogin

From the fact sheet:

"If the firms have not attained viability by March 31, 2009, the loan will be called and all funds returned to the Treasury."

How could they return the funds if you're using them to offset billions per month in losses. Won't the money be spent? I'd think that by March 31, 2009, it'll all be gone up in smoke.

Bob

Good Point...I would think they would be forced into banckrupcy, liquidate, and repay GM does have assets, no liquid funds--I really don't even wat to consider this... :( Hopefully, this will get them through and back on their feet.

[GTAHVIT]

OK GM.

Keep up the fight and all the hard work you've done so far. We're behind you, with great faith that you'll get it done.

Game on.

[HeatherR]

Originally Posted by DGthe3

took em long enough.

I know...It was like they wanted to further torture them...Dragging them to Washington and grilling them twice wasn't enough...

While writing a blank check to the financials with no strings, accountability, oh yeah and they still get giant boonuses this year

[blakeequalshyphy]

this is a great christmas gift

[zebra]

Originally Posted by gtahvit

OK GM.

Keep up the fight and all the hard work you've done so far. We're behind you, with great faith that you'll get it done.

Game on.

+ infinity

[gladiatoro]

Originally Posted by Chevy Jim

WOW what a relief. I was a little concearned about our Camaro order. just the thought of driving a discustang which my son said would be his second choice. no offense to any ford fans

Discustang now that's funny

[Georgie]

ford gets a bad rap by GM loyalists and usually is the number 1 target of import drivers but they didn't ask for money upfront and are trying to resurface on their own accord without taxpayer dollars, that's pretty darn good on Ford's part and i'm proud of them for doing so :flag2:

[leatherneck]

My thinking on this bailout. It certainly isnt a done deal as of yet for the auto industry--they have alot of work ahead of them. Butt i find alot of relief in the fact that i feel no matter what happens after march 31st--that preordereed camaros will in all likely hood be built. If it stands at 10.000 pre orders as some have said --thats alottttt of income.

[garagelogic]

Forget it Georgie, it's not about what's in the best interest of the country for most of the folks on this site, but whether or not their Camaro will be produced/delivered. It's that kind of short-sighted, me-first, attitude that has put us in the financial pickle we find ourselves in today.

I can only hope that GM puts the money to good use and is not back with their hand out again in 3 months.

[GrnMchin]

Put it to good use and don't let us down.

[fastball]

Originally Posted by Georgie

ford gets a bad rap by GM loyalists and usually is the number 1 target of import drivers but they didn't ask for money upfront and are trying to resurface on their own accord without taxpayer dollars, that's pretty darn good on Ford's part and i'm proud of them for doing so :flag2:

Allan Mullaly had the forsight to refinance and pull equity out of the company and create more liquid cash shortly after he took over from Bill Ford Jr. He obviously didn't forsee this situation, but nonetheless it was a shrewd move on his part hindsight being 20/20.