Obama’s Toughest Decision?
EmailThe president said last week that the decision to send more troops to Afghanistan was his most difficult to date. I wonder if he’d now say that the GM-Chrysler decision he announced today was even tougher. Make no mistake: Obama may be giving GM and Chrysler one last chance to get it right, but the president also signaled how hard it will be for the companies to clear the bar he’s set. The key paragraph? After some internal debate, the president decided to openly discuss the B-word — bankruptcy: "While Chrysler and GM are very different companies with very different paths forward, both need a fresh start to implement the restructuring plans they develop. That may mean using our bankruptcy code as a mechanism to help them restructure quickly and emerge stronger," President Barack Obama said in his remarks Monday. "Now, I know that when people even hear the word ‘bankruptcy’ it can be a bit unsettling, so let me explain what I mean. What I am talking about is using our existing legal structure as a tool that, with the backing of the U.S. government, can make it easier for General Motors and Chrysler to quickly clear away old debts that are weighing them down so they can get back on their feet and onto a path to success; a tool that we can use, even as workers are staying on the job building cars that are being sold. What I am not talking about is a process where a company is broken up, sold off, and no longer exists. And what I am not talking about is having a company stuck in court for years, unable to get out." The economics of this decision are complex. The politics are perilous. The White House can’t afford headlines in Michigan like the notorious New York Daily News headline that followed President Ford’s 1975 decision to refuse federal aid to NYC: "Ford to City: Drop Dead." That’s why Obama opened his talk with praise for America’s autoworkers and closed it with a clear promise: "I will fight for you." For now, key Michigan politicians won’t abandon Obama. They’ll emphasize the positive in the president’s announcement. But look for them to join the pitchfork gang if bankruptcy proceedings begin before summer.
–George Stephanopoulos
Sen. DeMint: GOP Race Could Go Until Convention 
Obama Avoids Questions on Contraception Rule
Every one knows what “debt” GM has got to get rid of in order to survive. They can dance around it all they want…they will never be viable until they break all the pension and healthcare contracts for the workers and retirees.
Posted by: linda n carolina | March 30, 2009, 12:08 pm 12:08 pm
The question now becomes how soon before GM is fully nationalized? You can’t fire the CEO without generating this sort of speculation.
http://www.political-buzz.com/
Posted by: matt | March 30, 2009, 12:11 pm 12:11 pm
I have confidence in our president and Geithner. Should these Auto makers be allowed to fail you`ll see these same critics talking about how Obama allowed them to fail. They want government to not do anything about it.
Fact is 1 out of every 10 jobs is auto related. They are just too big to fail.
Obama is a very strong leader and will not play politics here at all even if it would cost him re-election.
Posted by: Norm | March 30, 2009, 12:31 pm 12:31 pm
America was the land of opportunity, that is why millions and millions of immigrants traveled to the US. Now America is becoming government owned, and it is okay because it is Obama’s change. America will no longer be the country of challenges, a country of ingenuity where brilliance is rewarded, where resourcefulness and initiative drive success, where inventiveness and creativity flourish—all is gone for the “change” to Obama’s way of GOVERNMENT CONTROL. If you cannot protect and cherish what you have, you do not deserve to have it.
Posted by: Mike | March 30, 2009, 12:33 pm 12:33 pm
Good to see that the current, existing mechanism for dealing with this sort of situation, bankruptcy, is clearly on the table. The auto companies are not like the banks (banks hit everyone if they go down, like the power company shutting down), they shouldn’t be treated the same just to pander to voters in the Rust Belt. Obama’s approach strikes me as a good balance between the value of the companies to the nation’s economy and security (that heavy industrial base is a national security asset) and the need to allow the market to work.
I’ll be glad when the economic crisis is in hand and Obama can turn to education. Judging just from the board their are an embarrassing number of Americans who don’t even know what socialism is.
Posted by: jhw539 | March 30, 2009, 12:54 pm 12:54 pm
Wall Street is playing games.
Posted by: Norm | March 30, 2009, 12:59 pm 12:59 pm
The Detroit ‘solution’ is window dressing. The socialist-in-chief has no problem with dismantling free enterprise. As usual, he finds somebody to blame and sends out his army to denigrate that enemy. The sheep continue to follow bleeping happily as they go along a worn path.
Posted by: dl | March 30, 2009, 1:02 pm 1:02 pm
It is clear that President Obama does not want the auto industry to fail nor does he want the government to run it. Never did. He is hoping that the restructure plans they outlined will keep it solvent but if the unions and others refuse to give up some things, all will be lost and he will be blamed,unfortunately. Not by anyone with sense but by those who want him to fail. He cannot continue to give out money to a failing company as the people are already upset with the bailout of AIG so he is in a catch 22 situation. However, I take my hat off to him as he is a president who is a doer and not afraid to take actions. He can stand the heat but I feel for him as he does not want the auto industry to fail. He would like to have them become makers of cars of the future and not a foreign company.
Posted by: talmag | March 30, 2009, 1:13 pm 1:13 pm
Obama’s lost a ton of support in Michigan, Ohio, and Indiana as a result of this announcement… Just look at the headlines at the Detroit Free Press. The goodwill can be easily regained, if the new plans work out, but if either company goes into bankruptcy, it’s the end for Democrats in Michigan, Ohio, and Indiana….
Posted by: Mike | March 30, 2009, 1:30 pm 1:30 pm
“they will never be viable until they break all the pension and healthcare contracts for the workers and retirees. ” Relax, Linda! I can see you getting all excited over screwing over other workers…
Posted by: Mike | March 30, 2009, 1:31 pm 1:31 pm
Mike:”Obama’s lost a ton of support in Michigan, Ohio, and Indiana as a result of this announcement… Just look at the headlines at the Detroit Free Press.”
Ah, the headlines of the Detroit Free Press. I am sure the national polling houses, right and left leaning alike, are chastised by this far more accurate metric…
The people in the midwest by and large are smart enough to know when the troubles really started and what party was firmly at the helm during that time.
Posted by: jhw539 | March 30, 2009, 1:36 pm 1:36 pm
Mike, Mike Mike: Obama can’t win with you. Government does not want to control the auto industry…plain and simple. Of course, they put conditions on them…you would have complained if they didn’t. He wants them to succeed and will do all to help but if they won’t help themselves why should he invest more money? You would complain about that, too. Give him a break Mike, this is a tough situation and he really wants them to be able to make cars of the future like other countries. Nothing wrong with that but he does not want to run it. He wants them to run it themselves. Help is one thing, take over is another and he does not want to take over. If you listened to him, you would understand this.
Posted by: talmag | March 30, 2009, 1:45 pm 1:45 pm
Grow up fools!! we are talking auto industry here Obama knows what to do with GM and hopefully a new CEO will support him.
Posted by: Susan | March 30, 2009, 2:41 pm 2:41 pm
This is both right and wrong at the same time.
While companies, even giant companies, can and do typically emerge from a chapter 11 filing leaner, stronger and a much more efficient company than when they entered. And the fact that from a elementary level, the executive management @ most of these large/huge corporations have been collectively tone deaf for years with respect management 101, and watched there competition move light years ahead of them in just about every area of there business.
Additionally, these businesses, at this level, (just barely below that of AIG in scope) and there intrinsic connectivity throughout there own segment(s) as well as touching many other business segments can and do have the ability to act/effect many others like domino’s, both upward, positively, as well as downwardly, can drive (take down) many other “good standing” businesses with them.
The checks and balances of our free market system have been perverted by these same individuals to distract/reflect/redirect any accountability at all………and here we are! Adding there relative size/scope of influence within there respective peer group and the potential systemic harm they could cause to many ancillary business segments collectively, it is prudent not to restructure as typically would scrub the balance sheets into a viable competing business.
So, to have a restructuring at these companies executive levels is absolutely necessary/required, and while we are at it, get to the root, common denominator, the boards & “compensation committees” that have laid the foundation for this entitlement these “executive managers” have stood on to rape there very companies as well as the rest of us.
That said, the government is inherently a very poor judge of how to manage anything in the free market environment. So we all need to make sure/demand that if and when these extraordinary steps are taken to correct the ships course’s that any stipulated insertion is short lived (one qtr or less) and singular in scope.
Take a step back for a minute.
Obama is nothing if not calculating, and he has surrounded himself with some of the brightest people in and out of DC.
He also knows that he take a much larger risk loosing more than gaining and a roughly 50/50 chance of this move producing positive results, but he does it anyway. Why? Because he knows that it is what is needed, both to accelerate bringing about the type of change that is desperately needed in this specific case but also sending several messages to the rest of the business community.
Posted by: Darryl the Contractor | March 30, 2009, 3:03 pm 3:03 pm
repost:Wow, not many here see the real problem. GM goes under… big deal. It’s not the end of the world. What is scary is that you are told the world will end if they do go under and the government again tries to run the free market. I don’t care if it’s Barry or Bush, the government should stay out. Let’s look at all the well run government companies/programs. Medicare, Medicade, Social Security, Fannie, Freddie, the IRS, and now they want us to think they can run the largest automakers, the largest insurance companies, and the largest banks. soon comes airlines and energy. To think most of you are going to and fro over Fiat. This is bad. Let them fail. When people stop buying a product there is a reason for it. What do I know maybe we should still be making black and white tvs.
Posted by: stickman | March 30, 2009, 3:10 pm 3:10 pm
His toughest decision has probably been what swings to put on that swingset. He was so busy doing that he couldn’t bother to pay enough attention to Britain’s PM, after all.
This guy is horrible for our country. Horrible. Did I mention horrible?
Posted by: Lizzie | March 30, 2009, 3:10 pm 3:10 pm
This is like forcing people to drink Coke and Pepsi, when they want Dr. Pepper. The Washington bailout mentality is a disaster in the making. And, the American People have known it from the start.
Posted by: Kari | March 30, 2009, 3:11 pm 3:11 pm
“Obama may be giving GM and Chrysler one last chance to get it right, but the president also signaled how hard it will be for the companies to clear the bar he’s set.” The bar is moving all the time. Tha game is rigged. GM should have take the Chapter 11 path long ago. Now America is billions of dollars poorer, the President has proven his administration has no business skills and GM is going to go to Chapter 11 anyway.
Posted by: Ed Bradford | March 30, 2009, 3:24 pm 3:24 pm
Toughest decisions? Maybe so far. However, this President, this Congress, and this America haven’t seen the toughest of issues, yet.
The Taliban and their allies are tough and determined foes that have the upper hand. American devisiveness and arrogance have galvanized huge populations of people against us. It will take more than troops and tough talk to really win this war.
As for the economy, picking who goes into bankruptcy and who gets an endless supply of tax dollars seems a little manipulative to me. You either believe in free markets, or you don’t. Seems to me the selectivity of the decisions made thus far are taking the easy road, not the hard road.
Posted by: Terry Sams | March 30, 2009, 3:25 pm 3:25 pm
Lets tell the CEO to step down but not the leader of the UAW. Why right? Anyone else see thru this? Obama is playing games and the faithful are following like sheep. Pretty soon GM will be gov’t run as well and everything else they touch. This is socialism!
Posted by: chad | March 30, 2009, 3:25 pm 3:25 pm
Chad – Yes, America sees through this, and the whole bailout fiasco that Washington started. Bailouts and ever more debt to solve the massive debt problem we’re in is like putting out fire with gasoline.
Posted by: cindy | March 30, 2009, 3:30 pm 3:30 pm
The US is in free fall towards a socialistic government. If this situation continues as the plans are now being made, you can kiss this country goodbye as it was founded by our Founding Fathers in 1776!
Posted by: Terrence | March 30, 2009, 3:32 pm 3:32 pm
Isn’t this what all of those republican people said to do in the beginning?
Posted by: jol | March 30, 2009, 3:42 pm 3:42 pm
What business did Obama EVER run or create? How is it that he and his cronies can dictate “free enterprise” thru the government? People like me saw this coming while that LOON was campaigning! TOO LATE FOR US NOW! Thanks Amerika! ‘Way to loose your nerve’!
Posted by: Mphilly | March 30, 2009, 3:42 pm 3:42 pm
America is the country that people used to come to in order to get AWAY from Socialism!
Posted by: Michelle | March 30, 2009, 3:45 pm 3:45 pm
George,Nothing offers a better example of the gap between the “haves” and “have nots” than the CEO of a failed company getting a golden parachute of $20mm while people in this country go without health insurance.
Posted by: Ken | March 30, 2009, 3:50 pm 3:50 pm
Herb Denenberg wrote an interesting article for The Philadephia Bulletin. It’s called:
Pres. Barack Obama: A Fraud You Can Believe In
thebulletin.us
Posted by: Michelle | March 30, 2009, 3:52 pm 3:52 pm
BO has never run any successful business and yet he acts like he has. We are in big trouble folks if he gets his way.
Posted by: taxpayer | March 30, 2009, 3:54 pm 3:54 pm
Harvard must be a pool of idiots with book smarts and no common sense. I hope BO fails fast so we can get this on the right track.
Posted by: taxpayer | March 30, 2009, 3:57 pm 3:57 pm
Is Obama Shia or Sunni?
Posted by: dl | March 30, 2009, 4:02 pm 4:02 pm
My uncle is a GM retiree. Got my fingers crossed for him. Maybe he and the missus can move in with the kids.
Still though, Wagoner’s 20 millon dollar golden parachute: Captain Edward John Smith had more guts when the Titanic went down, Smith went down with the boat. Wagoner is more like J. Bruce Ismay, the coward who saved his own life and let others die.
Posted by: Chris | March 30, 2009, 4:08 pm 4:08 pm
The reaction of the retching so called conservatives leaves me gasping. They complain of government interference yet what do they think bankruptcy is? They are simply mindless nay sayers. If only we could have an opposition with some substantive alternatives. The Republicans are more than the party of no. They are the party of no ideas, no alternatives, no hope. They will be eliminated from the public discourse in the next election.
Posted by: RW | March 30, 2009, 4:11 pm 4:11 pm
attention Ken: Obama did NOT get a golden parachute. He got his properly contracted RETIREMENT package. Big difference. Although, I doubt you gimmie-gimmies know the difference.
Posted by: dl | March 30, 2009, 4:12 pm 4:12 pm
Jhw: Yes, there is no doubt W is responsible for G
M’s precarious position and the terrible decisions that hav plagued the company for decades. After giving away the store and failing to adequately respond to consumer needs, GM is doa. Instead of placating voter groups & grandstanding by firing Wagoner, Barry should have gotten a Prepackaged bankruptcy moving.
Posted by: jb | March 30, 2009, 4:15 pm 4:15 pm
RW, are you aware that the republicans have brought ideas forth on the Stimulus, and the Omnibus? yes they brought alternatives and Pelosi didn’t even let them in the room. so before you run off thinking there are no ideas, please research how the dem’s in power are behaving. Next week the pubs will have an alternative to obie’s budget. But i bet it doesn’t see the light of day. And besides, Dem’s control it all. Why are you blaming republicans? Are you saying that a bad idea that will bankrupt our way of life is better than nothing? i would chose NOTHING.
Posted by: chad | March 30, 2009, 4:17 pm 4:17 pm
I applaud Obama He has fixed the immigration issues Who want to come to a country that just like the one your leaving The land of no opportunity
Posted by: law1023 | March 30, 2009, 4:22 pm 4:22 pm
Now that Obama owns them let see if the private Jets are sold I want to see who he get for 250,000 no incentive
Posted by: law1023 | March 30, 2009, 4:27 pm 4:27 pm
Why is AGI being bail out??? They have insured union Pension funds
Posted by: law1023 | March 30, 2009, 4:31 pm 4:31 pm
First of all the country is NOT moving toward a socialist system and the hysteriacs on this site should just take a pill and calm down.
Sadly America is a country that only manufacturers debt default swaps and other intangibles on paper, except for the medical, retail, technology, and some engineering feats, we are now a service industry nation, so get used to it. The days of our nation as a manufacturer are over. Therefore, let the big three fall to whatever fate awaits them without gov’t aid. People are creative and ingenious and will find something else to do. Rust belters (Ohio, Michigan, Indiana, and Illinois)find another profession and stop living in the past!
Posted by: addict42 | March 30, 2009, 4:55 pm 4:55 pm
To Chad: I heard about the Pubs budget it comes without numbers, figures, or costs, how convenient for such a lame party!
Posted by: addict42 | March 30, 2009, 5:07 pm 5:07 pm
What he is doing is destroying the Economy because he does not know what he is doing. He thinks he is the king of the World. He reminds me of GWB. We have elected GWB.
Don’t blame me I voted for Hillary and McCain.
Posted by: Hillarysmygirl16 | March 30, 2009, 5:16 pm 5:16 pm
To Hillarygirl16…he’s not acting like a king nor Doubya. If McCain had won we’d be in an even worse state of affairs!
Posted by: addict42 | March 30, 2009, 5:20 pm 5:20 pm
Rubbish. How about this for a tough decision — instead of doubling up Bush’s disgraceful deficits, how about bringing it down to ZERO by 2015 instead of forcing multi-hundred billion dollar deficits on us through the end of the 2010s?? This disasterous Administration makes me miss Bush — which is crazy since I never liked them too much anyway.
Posted by: Joe C | March 30, 2009, 5:26 pm 5:26 pm
I was willing to cut some slack to the Administration over the “bonus” issue with AIG as I was confident that it would be corrected. But today’s move to oust Rick Wagoner and do nothing with the CEO’s of Wall Street is beyond belief. Sure it sends a message, Wall Street go ahead and screw with us, its OK, we’ll look the other way but for the auto’s, we’re going to make you jusmp through hoops, cut you off at the knees and screw the American workers while we’re at it. SO much for change, it’s just same ole, same ole bought and paid for in new window dressing.
Posted by: Anne | March 30, 2009, 5:57 pm 5:57 pm
All my life (50+years & 30 cars) I have purchased American cars, but in the last decade I have been so disappointed with GM, Ford and to a lesser extent Chrysler products that I finally purchased my 1st foreign car in 2007. Problems solved. The US auto industry is working in the stone-age of technology and I believe they have big oil influencing them. They need an armed services type wakeup call of flipping an over sleeping cadet’s bunk on top of them, not breakfast in bed.
Posted by: dan | March 30, 2009, 7:15 pm 7:15 pm
That was no doubt a tough call to make, but a necessary one. I sincerely believe he will fight for the residents of Michigan and ensure their well being.
Hopefully we can turn this economy around and actually focus on solving the deeper, systemic issues for why we’re in this situation. Obviously bad banking’s a good place to start, but there are other issues, like global poverty, that have huge economic and geopolitical ramifications.
The Borgen Project (www.borgenproject.org) has some interesting insight into addressing the issues of global poverty, something we can remedy easily and sustainably.
Some interesting figures to ponder:
$30 billion USD: The annual shortfall to end global poverty.
$550 billion USD: The annual US defense budget.
Posted by: Jon Lilly | March 30, 2009, 7:24 pm 7:24 pm
I got an email: to solve the economic crisis, why don’t we do the following:
About 40 million people over 50 are in the workforce.
1.) Give them all 3 million dollars, tax free with the following requirements:
a.) They must retire immediately. 40 million jobs open up.
b.) They must purchase a car made in the US and a hybrid. Auto crisis solved.
c.) They must pay off an existing mortage or buy a house. Housing crisis solved. If they don’t need a house, donate one to a homeless family.
I stayed up all night trying to figure a way this can’t work. The only down side I could come up with was it eliminates any advantages for the ‘big’ people at the top. It is so simple, it just might work.
Will someone please explain to me why this won’t work?
Thanks,
Brownie
Posted by: Brownie | March 30, 2009, 7:27 pm 7:27 pm
I say let them bankrupt!
Posted by: Erin | March 30, 2009, 7:30 pm 7:30 pm
Recently on Good Morning America, Diane Sawyer went to Helsinki. They have health clinics in every neighborhood. Everyone pays $50 per year and they get constant care at their neighborhood clinic. The clinic tracks their health records and only 4% every go to the hospital. Problems are diagnosed and taken care of early. Can someone tell me how they do this? Can we do it, too?
Posted by: Brownie | March 30, 2009, 7:32 pm 7:32 pm
Obama may WISH he was back in Chicago being the “community organizer” that he was.. big jump from organizer to president.
Obama has no clue what he is in for.
For George…that is a ridiculous statement.
Posted by: mjl | March 30, 2009, 7:52 pm 7:52 pm
/—–
America was the land of opportunity, that is why millions and millions of immigrants traveled to the US.
—–/
Well if they want to come here to be poor like Americans, then foolish of them. If they are so talented, why can’t they grow their own economies?!
/—–
Now America is becoming government owned, and it is okay because it is Obama’s change. America will no longer be the country of challenges, a country of ingenuity where brilliance is rewarded
—–/
Perhaps the reward for importing cheap labor is that we all become third world country beggars — like the countries the imports fled. Again, if the imports can’t make change in their own countries, why do you think they are not part of the problem? I see the solution as a very simple one — stop all foreign labor visas until we the people are back on our feet.
Posted by: Common Sense | March 30, 2009, 7:52 pm 7:52 pm
Obama needs to replace Wagner with someone willing to cut medical benefits to past and current GM workers by putting them into the new National Healthcare system. If GM workers and government workers get the national healthcare system going, we will all save and have the same benefits they do — without a union.
Posted by: Common Sense | March 30, 2009, 7:57 pm 7:57 pm
I’m not a writer or an organizer. I’m just an ordinary citizen who retired from the U.S. Army and the federal government. I’m fed up with Congress and all our politicans. That is why I wrote American Tradition & Leadership: Take Back America. With the help of a few friends we produced the website ATL. Visit americantraditionandleadership dot org and join up if you want to help hold Congress accountable and stop the far-left liberals from ignoring our Constitution and destroying our country. Research ATL and you will understand.
Posted by: Leon Ives | March 30, 2009, 8:01 pm 8:01 pm
Being from Michigan but not in the auto industry I have seen first hand the empty houses, the unemployment lines, and the businesses boarded up. So where will it end. We give the finacial system free rein to take taxpayer money and pay off bad mortgages that they wrote. Then we have the nerve to make GM beg for money and forget that if they go under hundreds of thousands of jobs to include stores, restauarants, etc will go under too!
Yes GM and the Big 3 have been lazy but so have American’s, we love our dollar stores but forget that everything is now made in China. Who will make our car’s? and where will the money go if we have no American auto manufacturers …hmmmm???
So cut us some slack America, we are tired of bein kicked and punched and nade feel worthless here in Michigan. It just does not make sense to send a trillion dollars to the banking system to clear up their mistakes and then make the automakers seem to beg for 30 Billion dollars. Mr President you are about change but I see the same old stuff out of Washington…money talks and well you know the rest.
Lets quit making the auto workers feel like crap!! They helped create our middle class and abandoning them will be a big mistake.
Think about it!!!! The next job in trouble might be yours!!!
Posted by: Keith | March 30, 2009, 9:53 pm 9:53 pm
The Government has absolutely NO BUSINESS in the world of Business. This is a disaster and everyone knows it. When do we put the brakes on all of this?
Posted by: Jon | March 30, 2009, 9:59 pm 9:59 pm
George – do you feel dirty setting up the straw man for Obama, to make him sound like he’s talking tough to the auto industry? I guess you’re still a communications director at heart aren’t you? But why don’t you tell people the real story? Why don’t you tell them that the UAW is working with the executive branch right now, and that it’s just a matter of time before they get representation on GM’s board of directors. And then what next? The subsidized GM cars will compete head to head with Ford. Welcome to the banana republic.
Posted by: jchenn | March 30, 2009, 10:36 pm 10:36 pm
George and all of the major networks are in the President’s pocket, their job is to mold public opinion, not expose problems. All smoke and mirrors to distract the country until it is too late. Oh, by the way, turn off all off all extra lighting; don’t breathe quite so deep and save the planet. It really doesn’t matter because after the amount of wealth transfer planned by the new oligarchy you will not be able to afford it anyway.
Posted by: NuMan2 | March 30, 2009, 11:13 pm 11:13 pm
Will there finally be a “Big Move Fatigue” after all the plans the White House unveils?
next up Education Reform?
On deck: Health Care?
In the hole: Mars Landing?
Posted by: Jeff Hauge | March 30, 2009, 11:52 pm 11:52 pm
There are those who will never question anything Obama does, including his $100,000 donation from AIG. When government begins it’s march to take over business and banks you can expect the end of America to quickly follow. The welfare wannabes and lemmings can rejoice.
Posted by: Margaret | March 31, 2009, 1:46 am 1:46 am
This is a wonderful post. I think Barack is doing a pretty decent job and has taken many steps to show that he is serious about eliciting change in the Executive Office. I think that there are still a lot of challenges, and you can expect that it will not always be easy and that he ill have to make many tough and unpopular decisions. People might enjoy this list of the top ten signs the president’s gig is harder than you thought: http://www.toptentopten.com/topten/signs+president+gig+is+harder+than+you+thought
Posted by: Vince | March 31, 2009, 3:50 am 3:50 am
All the liberals who think a better US auto industry will come out of this are fools. The end result will be GM and CHRYSLER go bankrupt. No chapter 11 process will be clean with the government involved. It will be so slow that the hemorraging will force Obama to sell the good parts to the Chinese automakers. Bye bye American Manufacturing.
Posted by: Nick | March 31, 2009, 4:39 am 4:39 am
I say WAKE-UP auto industry
don’t waste a great crisis
you may not know (IT) but you have all the cards but you have to play them it takes GUTS ARE YOU UP TO IT????
Posted by: Alex Ramirez | March 31, 2009, 1:25 pm 1:25 pm
Keith: If you are from Michigan, you know that this problem didn’t start with Obama. The boarded up houses and loss of jobs have been going on for the last year or so, however, the last administration would not even admit there was a recession even though economists know it started before last January. The republicans said let the new guy deal with it whomever he/she is. You should not be disappointed in Obama as he is doing what needed be done. I can remember when government told the auto manufacturers to start making small cars now. That was 20 years ago and no one followed up…not the government,not the auto industry nor did the people as they loved the big cars. Now, we finally have someone who says “it’s time to do something” and he means it. You should look up to him not be unhappy with him. He did not cause the empty houses and he truly wants the industry to stay and be competitive with foreign countries. They,however, do not make the salaries we do, nor do they get the vacation time, benefits, sick days, etc. that our workers do. I am not saying they shouldn’t but things are not what they were in 1954 and to stay afloat, they must make adjustments.
Posted by: talmag | March 31, 2009, 3:53 pm 3:53 pm
talmag — That should be the end of the comments to this story. Amen
Posted by: Alan | April 1, 2009, 6:27 am 6:27 am
So far Obama’s toughest decision has been what kind of dog he was getting?That is the kind of hard hitting journalism ABC News and George Stephanopoulos has been delivering to the American people.George quit being a lap dog for this adminstration,do your job and report the news straight up.
Posted by: Johnny L | April 1, 2009, 10:00 am 10:00 am
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Joannah
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Posted by: Joannah | April 3, 2009, 2:30 am 2:30 am
What troubles me is that i live in Detroit. Maybe if the Omama and his lackys would free up the credit markets then our auto companies might not be in such bad shape. When americans cannot buy vehicles because there is no credit available then how will GM ever survive. Its funny to me that the very tax dollars we pay out to banks, our money, is supposed to be used to help americans but we havnt seen a red cent of it since it was spent. SOCIALISM is the name of the game here folks. Shame on Obama for thinking that he can treat Rick Wagner like a pawn. Do you think you can run GM mr president? I dont think so. You were a sub-par attorney for ACORN which was riddled with voting scandels. How about telling Geddlefinger to step down? No that wouldnt be right because all the UAW worjers that lobbied for you wouldnt like that right? Seems a little double sided to me. The american people are being brainwashed by this idea that Obama is the messiah. He has allready proven that his administration couldnt run a dairy queen. UM Um Um AH AH AH is it just me or is that all that comes out of his mouth when the teleprompter is not on? Well since my administration hasnt done a think and it was detrimental for us to step in, i guess you should file for BK. WOW what a concept, Gm could have done that a year ago. What a revolution…lets file Bk and keep the unions intact so they can continue to suck the life out of Gm even further after they come out of Bk more viable. SPREAD THE WEALTH, isnt that what he said? Well in my eyes it wont be an issue because if Americans continue to let the Obama adm socialize everything there will be no incentive to accumulate wealth and we might as well all live off the government dime.
Posted by: Vito | April 23, 2009, 1:52 pm 1:52 pm