Detroit Gets a Lifeline
By Barry Ritholtz - December 21st, 2008, 10:48AM
WSJ’s John McKinnon says automakers got at least a temporary lifeline from the White House with $17.4 billion in rescue funding. The money will tide GM and Chrysler over until March, when they become the Obama administration’s problem.
12/19/2008
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Big Three Gets Money, But It’s Not Easy
WSJ’s John Stoll talks about President Bush’s move to grant a $17.4 billion bailout for the Big Three, but this check doesn’t come without strings attached.
12/19/2008
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President Bush announced a $17.4 billion dollar rescue package for the auto industry. Fox’s Mike Emanuel has the reaction from Washington. Video courtesy of Fox News.
12/20/2008
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December 21st, 2008 at 1:57 pm
The automakers are handed 17bn of taxpayer money and the first thing the UAW does do is complain about “unfair conditions” applied to it? Screw them.
Nobody is going to buy a car from these ungrateful fools. I swear I will never buy a UAW made vehicle again. Ever. If I have a choice at the time of checkout, I won’t even rent one. The automaker management should be jumping at the chance to file for bankruptcy, ditch the UAW completely, go through whatever pain that involves them come out stronger, leaner and competitive. Then and only then might the public have enough confidence in them to consider buying.
Congratulations UAW, you won 100% of nothing, which I suppose is preferable to 80% of a viable future.
Money can’t buy the kind of publicity Honda and Toyota are indirectly getting from these vultures.
Grrrrr…..
December 21st, 2008 at 8:11 pm
the top 5 hedge fund guys made more than all GM’s UAW employees combined. Not sure why you get so hot in your panties about people making $30/hour.
December 21st, 2008 at 8:17 pm
So, are the shareholders and executives also bench marked to Toyota and Honda?
The management is the problem and bankruptcy won’t solve that. Management has the union and stupid work rules they deserve. Even then, the wages aren’t the problem- the underfunded pension funds and retiree health care costs are. Perhaps somehow combine them with the executive pension funds and health care plans?
Yeah, I get it, people have it out for the unions… Save the same outrage for AIG, because at least the UAW isn’t in total denial and understand the meaning of the word “concession”.
December 21st, 2008 at 8:28 pm
(actually, technically the top 2 hedgies made more than all GM’s UAW employees combined)…
GM has 74000 UAW employees. They make an average of a little under $30/hour (actually the US average, and I didn’t add retired people compensation). If they work 52 weeks a year full time (which they probably don’t), that total comes to:
4,617,600,000 – about 4.5 billion for 47000 people per year.
Here are the top Hedge fund manager salaries for 2007 (ahh, lets not even look at how much it cost to drive the whole financial industry into the ground):
John Paulson $3.7 billion
George Soros $2.9 billion
James Simons $2.8 billion
Philip Falcone $1.7 billion
Ken Griffin $1.5 billion
And we bail out the financial industry apparently so main street doesn’t have to feel the pain. All’s I can say is, at least the UAW made a fucking car or two.
http://www.businessweek.com/bwdaily/dnflash/content/sep2007/db20070926_079529.htm (74000 UAW workers at GM)
http://dealbook.blogs.nytimes.com/2007/08/30/new-study-criticizes-hedge-fund-salaries/ (avg US salary)
http://richard-wilson.blogspot.com/2008/05/hedge-fund-salary.html (Hedge salaries)
http://www.aftermarketnews.com/Item/28594/uaw_losing_pay_edge_foreign_automakers_bonuses_boost_wages_in_us_plants_as_detroit_car_companies_struggle.aspx ($30/hour)
December 21st, 2008 at 8:30 pm
(actually looking closer, the top 2 hedge fund people made more than all GM’s UAW employees combined, but who is counting) (and $30 is the US average wage, but who is counting)
December 22nd, 2008 at 6:04 am
This is what is going to happen with the “Big Three” over then next several months, ending with a settlement 3/09
UAW VEBA and pension obligations (In the Billions) will be taken from Ford, Chrysler, and GM future business plans, accounting records and profit and loss responsibilities and transferred to the US tax payers through the “magic” of the newly elected Democratic administration’s negotiating prowess and business perception.
After the negotiations have ended and been approved by the Democratic majority:
1. Ford, Chrysler, and GM will have a new business plan that works until the “heat” cools off and the UAW needs another life time pension, retirement, health care, unemployment, education and life insurance guarantee, that matches those of which the US House of Representatives, and US Senators are presently enjoying. What a deal…..
2. We, the taxpayers will continue to bail out the “down on their luck” like the crooked Wall Street traders, credit card companies, bank and insurance executives, the House, the Senate, and the UAW. And our teachers will continue to live at starvation level wages, all while the UAW (line workers) earn at the level of a Junior US Senator.
We are living in scary times. Take things into your own hands NOW
This is why you have got to start thinking about yourself. There is nothing one person can do to change an economy. I wouldn’t put faith into any government. I say prepare for the worst, and hope for the best. Do what I did, and learn to trade the forex. If you don’t know how, you can get a $100,000 free demo account by going to http://forex-currencyexchange.com click the link at the top left corner, if I remember correctly. It will take you to a sign up page where all you have to do is give your name and email. You can then start practicing trading. Trading with virtual money is so much fun… and addicting. The only problem is, more often than not, you will be wishing you were trading with real money. You never know, this may be something that you have a knack for, then go ahead and try your hand at it with the real stuff. I believe trading currencies is much better than gambling with the stock market these days that’s for sure.
Merry Christmas
December 22nd, 2008 at 6:38 am
Kerri,
You are wrong about the numbers of course, and you have pasted your fraudulent link and phony pitch in other places, word for word. Shame to you. You are the problem.
http://answers.yahoo.com/question/index?qid=20081218034148AAp5yte